Minneapolis City Council debates whether to renew liquor licenses for 2 hotels that allegedly housed ICE agents

The Minneapolis City Council debated the renewal of two liquor licenses on Tuesday, focusing on two hotels allegedly housing federal agents during Operation Metro Surge. 

In January, protestors descended on both the Depot and the Canopy hotels, believing ICE agents were staying inside. Some protestors faced off with Minnesota State Troopers after an unlawful assembly was declared. 

Hospitality union members spoke to the council about the license renewals, explaining that some employees from the hotels have expressed fear over ICE agents staying there. 

“We believe that a liquor license is a privilege and that privilege should be reserved for businesses who keep the public safety in mind,” said Wade Luneberg, who is part of the union, Unite Here Local 17.

Though another union member told the council there is “misinformation” that has caused anxiety. Joan Soholt said she’s worked as a hotel banquet server for 23 years.

“Claims that these facilities are contracting with ICE or overpouring liquor to agents are false and deeply damaging,” Soholt said. 

The licenses for these two locations were first singled out and held up at a council meeting in early February. On Tuesday, Chair Aurin Chowdhury pushed for further delay. 

“Do we want to take a moment to do due process and investigate the situation that our constituents throughout the city have raised up as a grave concern or not?” Chowdhury questioned. 

Though other council members, including a lawyer from the city attorney’s office, warned waiting too long could open the city up to legal risk. 

“Not respecting staff input and opinion here could have tremendous legal and financial impact,” said Councilmember Elizabeth Shaffer. 

Shaffer argued that delaying the renewal decision beyond Thursday could send a bigger message to business owners that Minneapolis “is not a safe place to do business.”

Councilmembers Pearll Warren and LaTisha Vetaw also spoke out against the delay. 

“This feels like exactly what the president did to Jimmy Kimmel; to me, I don’t like it,” said Vetaw.

During the discussion, several members deferred to Quinn O’Reilly, managing attorney for the city, for legal clarity. 

Councilmember Jamison Whiting asked O’Reilly whether housing ICE at these hotels was in itself a reason to deny a liquor license. 

“No, as we advised previously, there needs to be connection between licensed activity and identifying concerns,” O’Reilly said. “So who stays at the hotel, there’s no nexus between the license activity, which is the serving of alcohol and the activity that which we are concerned.”

Ultimately, the council voted 11-2 in favor of a day-long investigation, with city staff returning findings on Thursday.

Ahead of the next meeting, staff will review complaints, 911 and 311 calls and reach out to business owners. As of Tuesday, city staff confirmed both hotels have active liquor licenses and are able to serve alcohol as the council debates the renewal.