Ely council suspends Club Rio business and liquor licenses pending plan and court updates

Mayor Nathan Robertson and the Ely City Council unanimously suspended the business and liquor licenses for Club Rio, a bar at 735 Aultman Street, after hearing police testimony and prior-case history that officials said showed repeated incidents involving minors.

City Police Chief Scott Henriod told the council deputies responded about 1:40 a.m. on April 16 after a citizen complaint and "observed at least one minor drinking an alcoholic beverage" inside the establishment, officers said they were denied entry, and later saw black plastic covering windows that limited observation. The incident prompted referral to the council under Ely Municipal Code concerns about licensed premises.

The action followed a City Attorney summary that traced a string of prior cases dating back to April and October of the previous year, including citations and guilty pleas for loitering where liquor is sold and at least one minor-in-consumption charge. "A minor usually means someone under the age of eighteen, but minor in consumption goes all the way up to twenty-one," City Attorney Chris Arabia told the council while explaining why some matters proceed to District Court even as license issues remain a local administrative decision.

License holder Cari Matyja acknowledged past incidents but disputed that minors had been served alcohol, saying "there have been instances, but I have never seen any of them get served alcohol." Matyja said she planned operational changes including sealing off the back apartment's access to the bar after hours and requiring staff to enforce a strict 21-and-over rule even for parents; she said noncompliant staff would be fired.

An employee and resident of the building, Krisse Herline, who submitted written statements earlier and spoke at the meeting, said she was cleaning after hours during the April incident, that her children were under her supervision, and that "at no time were minors served or consuming alcohol on the premises." Herline also said covering windows with plastic was routine plant protection, not intended to conceal activity.

Council members pressed for clarity about when private family gatherings could lawfully include minors and stressed that the repeated pattern was a concern. Councilman Dennis Perea moved to approve Resolution 2026-04 to suspend Club Rio's business license and its liquor license until the next regular City Council meeting on May 14, 2026; Councilwoman Jerri Lynn Williams-Harper seconded. The resolution requires a written corrective plan from the licensee by close of business on May 7, 2026, and directed the City Attorney to update the council on pending criminal cases tied to the incidents. The motion passed unanimously.

The council noted the suspension takes effect immediately and suggested that if any employee is criminally cited in the interim the council could consider revocation. The council also instructed licensees to coordinate any physical changes (for example, closing internal access between a living area and the bar) with the City Building Official to ensure code compliance.

Mayor Robertson, staff and the licensee agreed the council would revisit the matter at the May 14 meeting after receipt of the written plan and any additional case disposition information. The meeting record shows the council sought a clear, enforceable plan rather than incremental exceptions for late-night occurrences, given the public-safety risk officers described.

The council adjourned at 6:35 p.m.