The D.C. Alcoholic Beverage Control Board on Wednesday, Oct 20, approved a compromise agreement it reached with Nellie’s Sports Bar that calls for the U Street, N.W. gay bar to pay a $5,000 fine and serve a seven-day license suspension over a June 13 incident in which a Black woman was dragged down a flight of stars by a Nellie’s security guard during a brawl between Nellie’s customers.

The agreement calls for a license suspension of 24 days with 17 days to be suspended and seven days to be served “so long as the Respondent does not commit any violations within (1) year from the date of this Order,” the ABC Board declared in a three-page order confirming the agreement.  

The order states that the license suspension will be served from Dec. 20-26 of this year. It also states that Nellie’s must pay the fine within 120 days from the date of the order. If the fine is not paid during that time “its license shall be immediately suspended until all amounts owed are paid.”

As a final stipulation of the agreement, the ABC Board states that Nellie’s must file a “legally compliant security plan” within 10 calendar days of the Oct. 20 order.

The security plan requirement stems from an earlier finding by the city’s Alcoholic Beverage Regulation Administration related to the June 13 incident that Nellie’s was in violation of several provisions of the city’s liquor law, including a provision that a security plan that meets the standards of the city’s liquor regulations is in place.

An ABRA investigation of the June 13 incident found, among other things, that “multiple assaults occurred inside the establishment while the licensee was engaged in a method of operation conducive to unlawful conduct.”

The action by the Nellie’s security guard, which took place during the city’s LGBTQ Pride weekend, was captured on video taken by one of the customers on their phone. The video went viral on social media, prompting a series of protests against the bar by LGBTQ activists and Black Lives Matter advocates.

Nellie’s issued an apology for the incident the following day and announced it had fired the private security company whose employee, who is Black, dragged Keisha Young, 22, down the stairs. Nellie’s also announced it would temporarily close for business to assess what had happened and develop plans for reopening as a safe space for all members of the community. It reopened 35 days later, with protesters continuing to assemble outside the bar for several more weeks.

 When the five-member ABC Board on Oct. 20 held a roll call vote to approve what is officially called an Offer-In-Compromise or OIC agreement with Nellie’s that includes the fine, license suspension, and other provisions, gay ABC Board member Edward Grandis voted against the agreement, becoming the only member to do so.

A video recording of the virtual ABC Board meeting available through YouTube shows that Grandis expressed general support for the decision by both the board and Nellie’s to reach a compromise agreement. But he said he objects to the license suspension requirement.

“In this particular regard, when the facts and the testimony indicate that the licensee on its own initiative without any knowledge, at least in the testimony, of prompting from the government or MPD or any party, to itself close for 35 days during – generally – the pandemic when so many companies lost their companies and their employees lost their jobs and the neighborhoods lost their establishments, I really believe that this particular situation shows that the licensee took this event seriously and accordingly in a manner that hopefully will prevent it from happening again or have better security measures to avoid this type of situation in the future,” Grandis told his fellow board members.

“And I just wanted the record to show I’m supportive of the OIC generally, but I don’t believe it was constructed in a way that indicates what this licensee has done since that incident,” Grandis said.

Nellie’s owner, Douglas Schantz, and Nellie’s attorney, Andrew Klein, couldn’t immediately be reached for comment.

Klein, who spoke at the ABC Board hearing on Wednesday, said in response to a question by Grandis that Nellie’s reluctantly agreed to the fine and license suspension, which he called “excessive,” among other things, because Schantz wants to put the matter behind him and to “heal” and “move on” with the community.

The ABC Board’s action came one day after the Washington City Paper announced that Nellie’s Sports Bar finished in second place among its readers in its annual Best of D.C. contest for the category of “Best Gay Bar/Club/Lounge.”