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ORD 00-001Ordinance 2000-01 AN ORDINANCE OF THE CITY OF ELK RIVER AN ORDINANCE AMENDING SECTION 800 OF THE CITYOF ELK RIVER CODE OF ORDINANCES ENTITLED BEER, WINE, AND LIQUOR LICENSING AND REGULATION Section 1. That Section 800 of the City of Elk River Code of Ordinances shall be amended to read as follows: SECTION 800 - BEER, WINE, AND LIQUOR LICENSING AND REGULATION ORDINANCE 800.00 - PROVISIONS OF STATE LAW ADOPTED Except to the extent the provisions of this Chapter are more restrictive, the provisions of Minnesota Statutes, Chapter 340A, as amended, regarding the terms, licensing, consumption, sales, hours of sale, and all other matters pertaining to the retail sale, distribution, and consumption of intoxicating liquor and 3.2 percent malt liquor are adopted and made a part of this Chapter as if set out in full. 800.02 - DEFINITIONS As used in this Chapter, unless otherwise stated in specific sections, the following words and terms shall have the meanings stated: ALCOHOLIC BEVERAGE: means any beverage containing more than one-half (1/2) of one percent (1%) alcohol by volume. APPLICANT: means any person making an application for a license under this Chapter. BEER: means malt liquor that contains not less than one-half (1/2) of one-percent (1%) alcohol. 3.2 PERCENT BEER: means malt liquor that contains not less than one-half (1/2) of one percent (1%) alcohol by volume and not in excess of 3.2 percent alcohol by weight. CLUB: means an incorporated organization under the law of the State for civic, fraternal, social, or business purposes, for intellectual improvement or for the promotion of sports, or a congressionally chartered veterans organization which: (1) has more than 50 members; (2) has owned or rented a building or space in a building for more than one year that is suitable and adequate for the accommodation of its members; and (3) is directed by a board of directors, executive committee, or other similar body chosen by the members at a meeting held for that purpose. No member, officer, agent, or employee shall receive any profit from the distribution or sale of beverages to the members of the club, or their guests, beyond a reasonable salary or wages fixed and voted each year by the governing body. COMMISSIONER: means the Minnesota Commissioner of Public Safety. COUNCIL: means the Elk River City Council. G~JEST: means a person not a member of the club licensee but present on the club-licensed premises in the company of a host member. HOTEL: an establishment where food and lodging are regularly furnished to transients and which has: (1) a dining room serving the general public at tables and having facilities for seating at least 30 guests at one time; (2) guest rooms in the following minimum numbers: in first class cities, 50; in second class cities, 25; in all other cities and unincorporated areas,10. INTOXICATIN~ LIQUOR: is ethyl alcohol and distilled, fermented, spirituous, vinous, and malt beverages containing in excess of 3.2 percent (3.2%) of alcohol by weight. LICENSE: means a document issued by the City to an applicant permitting him to carry on and transact the business stated therein. LICENSE FEE: means the money paid to the City pursuant to an application and prior to issuance of a license to transact and carry on the business stated therein. LICENSED PREMISES: means the premises described in the approved license application. The license may be issued only for a space that is compact and contiguous. In the case of a restaurant or a club licensed for on-sale of alcoholic beverages and located on a golf course, ~licensed premises" includes the entire golf course except for areas where motor vehicles are regularly parked or operated. MALT LIQUOR: means any beer, ale, or other beverage made from malt by fermentation and containing not less than one-half (1/2) of one percent (1%) alcohol by volume. MANUFACTURER: means every person who, by any process of manufacture, fermenting, brewing, distilling, refining, rectifying, blending, or by the combination of different materials, prepares or produces liquors, wine, or beer for sale. OFF-SALE: means the sale of alcoholic beverages in original packages for consumption off the premises only. ON-SALE: means the sale of alcoholic beverages for consumption on the licensed premises. RESTAURANT: means any establishment, other than a hotel, which is under the control of a single proprietor or manager where meals are regularly prepared on the premises and served at tables to the general public, and having a minimum seating capacity for guests as prescribed by the appropriate licensing authority. WHOLESALER: means any person who sells alcoholic beverages to persons to whom the sale is permitted under section 340A.310, from a stock maintained in a warehouse in the state. WINE: is the product made from the normal alcoholic fermentation of grapes, including still wine, sparkling and carbonated wine, wine made from condensed grape must, wine made from other agricultural products than sound, ripe grapes, imitation wine, compounds sold as wine, vermouth, cider, perry and sake, in each instance containing not less than one-half (1/2) of one percent (1%) nor more than 24 percent alcohol by volume for nonindustrial use. 3.24 MALT LIQUOR: is malt liquor containing not less than one- half (1/2) of one percent (1%) by volume nor more than 3.2 percent (3.2%) alcohol by weight. 800.04 - LICENSES REQUIRED. No person, except as otherwise provided in Minnesota Statutes chapter 340A shall directly or indirectly deal in, sell, keep for sale or deliver any intoxicating liquor, 3.2 percent malt liquor, or wine as part of a commercial transaction without first having received a license to do so as provided in this chapter; nor shall any private club or public place, directly or indirectly, or upon any pretense or by any device, allow the consumption or display of intoxicating liquor or serve any liquid for the purpose of mixing with intoxicating liquor without first obtaining a license from the City as provided in this chapter. 800.06 - TYPES OF LICENSES. The following types of licenses are issued under this Chapter: 1. Intoxicating Liquor License; 0n-Sale. 0n-sale intoxicating liquor licenses shall be granted only to hotels, restaurants, bowling centers, clubs, and exclusive liquor stores. A. Special Provision - Co~munity Festival~ - The City Council may authorize the holder of a retail on-sale intoxicating liquor license issued by the City Council to dispense intoxicating liquor off premises at a community festival held within the municipality. The authorization shall specify the area in which the intoxicating liquor may be dispensed and consumed, and shall not be issued unless the licensee demonstrates that it has liability insurance to cover the event. 2. Wine Licenses. Wine licenses may be issued with the approval of the Commissioner only to restaurants having facilities for seating at least 25 people at one time for the sale of wine not exceeding 14 percent alcohol by volume and for consumption on the licensed premises only in conjunction with the sale of food. Ao Provision to Sell Intoxicating~4alt Liquor. The holder of a wine license who is also licensed to sell 3.2 percent malt liquor on-sale and whose gross receipts are at least sixty percent (60%) attributable to the sale of food, may also sell intoxicating malt liquor at on-sale without an additional license. Bo Bed and Breakfast Wine License. The City may issue an on-sale wine license with the approval of the commissioner to a licensed bed and breakfast facility. 3. 3.2 Percent Malt Liquor Licenses. The City may issues off- sale or on-sale 3.2 percent malt liquor licenses. A. On-sale 3.2 Percent Malt Liquor License. 0n-sale 3.2 percent malt liquor license may be issued to drugstores, restaurants, hotels, clubs, bowling centers, and establishments used exclusively for the sale of 3.2 percent malt liquor with the incidental sale of tobacco and soft drinks and served for consumption on the premises only. B. Off-sale 3.2 Percent Malt Liquor License. Off-sale 3.2 percent malt liquor license may be issued to general food stores and drug stores and permit the sale of 3.2 percent malt liquor at retail in the original package for consumption off the premises only. C. Temporary 3.2 Percent Malt Liquor License. A club or charitable, religious, or nonprofit organization may be issued a temporary on-sale license for the sale of 3.2 percent malt liquor. The temporary license may authorize the sale of 3.2 percent malt liquor in any school or school buildings. 4. On-Sale Sunday Liquor License. An on-sale Sunday liquor license may be issued to a hotel or restaurant, club, or bowling center with facilities for serving not less than thirty (30) guests at one time, to which an on-sale intoxicating license has been issued. Such license may permit the sale of liquor to be constuned on the premises between the hours of 10:00 a.m. on Sunday and 1:00 a.m. on Monday in conjunction with the serving of food provided the licensee is in conformance with the Minnesota Clean Air Act. No Sunday license is needed for on-sale wine licenses. 5. Temporary On-sale Licenses. The City may issue to a club or charitable, religious, or nonprofit organization in existence for at least 3 years a temporary license for the on-sale of intoxicating liquor in connection with a social event within the municipality sponsored by the licensee. The license may authorize the sale of intoxicating liquor for not more than four (4) consecutive days and may allow on-sales on premises other than premises the licensee owns or permanently occupies. The license may provide that the licensee may contract for intoxicating liquor catering services with the holder of a full- year on-sale intoxicating liquor license issued by any municipality. Temporary on-sale intoxicating liquor licenses require the approval of the commissioner of public safety. Licenses are subject to terms and license fees normally imposed by the City. A. Temporary License Restrictions. i. The City may not issue more than three four-day, four three-day, six two-day, or 12 one-day temporary licenses in any combination not to exceed 12 days per year for the sale of alcoholic beverages to any one organization or for any one location, within a 12 month period. ii. The City may not issue more than one temporary license for the sale of alcoholic beverages to any one organization or for one location within any 30-day period unless the licenses are issued in connection with an event officially designated a community festival by the municipality. B. Insurance Required. The Council may, but at no time shall it be under any obligation whatsoever to, grant a temporary on-sale intoxicating liquor license or temporary on-sale 3.2 percent malt liquor license on premises owned or controlled by the city. Any such license may be conditioned, qualified or restricted as the council sees fit. If the premises to be licensed are owned or under the control of the city, the applicant shall file with the city, prior to issuance of the license, a certificate of liability insurance coverage in at least the sum of $100,000 for injury to any one person, $300,000.00 for injury to more than one person, and $25,000 for property damage, naming the city as an insured during the license period. 6. Club Licenses. Club licenses may be issued to clubs or congressionally chartered veterans organizations with the approval of the Commissioner, provided that the organization has been in existence for at least three years and liquor sales will only be to members and bona fide guests. 7. ConsumDtion and DisDlay Permits. Consumption and display permits may be issued to a bottle club which complies with the requirements of Minnesota Statutes 340A.414. A. Eligibility for Permit. The Commissioner of Public Safety may issue a consumption and display permit to: i. An applicant who has not, within five years prior to the application, been convicted of a felony or of violating any provisions of this chapter or rule adopted under this chapter. ii. A restaurant iii. A hotel iv. An establishment licensed for the sale of 3.2 percent malt liquor v. A resort vi. A club as defined in Minnesota Statutes Section 340A.101, Subdivision 7, or an unincorporated club otherwise meeting that definition. vii. The commissioner may not issue a permit to a club holding an on-sale intoxicating liquor license. B. Only Authorized to Permit the Cons~tion and Display. A permit issued under this section authorizes the establishment to permit the consumption and display of intoxicating liquor on the premises. The permit does not authorize the sale of intoxicating liquor. C. Permit Expiration. Ail permits issued under this section expire on March 31 of each year. D. Council Consent Required. A permit issued under this section is not effective until approved by the City Council. 8. Caterer's Permit. The Commissioner may issue a caterer's permit to a restaurant that holds an on-sale intoxicating liquor license issued by any municipality. The holder of a caterer's permit may sell intoxicating liquor as an incidental part of a food service that serves prepared meals at a place other than the premises for which the holder's on-sale intoxicating liquor license is issued. A. A caterer's permit is auxiliary to the primary on-sale license held by the licensee. B. The restrictions and regulations which apply to the sale of intoxicating liquor on the licensed premises also apply to the sale under the authority of a caterer's permit, and any act that is prohibited on the licensed premises is also prohibited when the licensee is operating other than on the licensed premises under the authority of the caterer's permit. C. Any act, which if done on the licensed premises, would be grounds for cancellation or suspension on the on-sale licensee, is grounds for cancellation of both the on-sale license and the caterer's permit if done when the permittee is operating away from the licensed premises under the authority of the caterer's permit. D. The permittee shall notify prior to any catered event the police chief of the city where the event will take place, if the event will take place within the corporate limits of the city. 800.08 - APPLICATIONS AND LICENSES UNDER THIS cW~PTER - PROCEDURE AND ADMINISTRATION 1. Application. Ail applications shall be made at the office of the City Clerk upon forms prescribed by the proper Department of the State of Minnesota, together with additional information, as the Council may desire. All questions asked, or information required, in the application shall be answered fully and completely by the applicant. 2. investigation of On-Sale Licenses. The City shall on initial application for an on-sale license or on an application for a transfer of an existing license conduct a preliminary background and financial investigation of the applicant. An investigation may be required prior to renewal of an existing on- sale license when the city council deems it in the public interest. A. No license may be issued, transferred, or renewed if the results of the investigation show, to the satisfaction of the Council, that issuance, transfer, or renewal would not be in the public interest. 3. F&lse Statements. It is unlawful for any applicant to intentionally make a false statement or omission upon any application form. Any false statement in such application or any willful omission to state any information called for on such application form shall, upon discovery of such falsehood, work an automatic refusal of license or, if already issued, shall render any license issued pursuant thereto void and of no effect to protect the applicant from prosecution for violation of this Chapter or any part thereof. 4. ADplication and Investigation Fees. Prior to consideration of any application for a license, the applicant shall pay the license fee and, if applicable, pay the investigation fee to cover the costs of the City in processing the application and the investigation thereof. The investigation fee is nonrefundable. No investigation fee shall be required of an applicant for on- sale 3.2 percent malt liquor license, off-sale 3.2 percent malt liquor license, temporary beer license or for a temporary license for the on-sale of intoxicating liquor. Failure to pay any portion of a fee when due shall be cause for revocation. 5. Licensee Fees Pro-rated. For licenses issued and which are to become effective other than on the first day of the licensed year, the fee to be paid with the application shall be a pro rata share of the annual license fee. 6. License Fee Refunds. License fees shall be refunded if an application for a license is denied by the City Council, except where rejection is for a willful misstatement in the license application. A pro rata share of an annual license fee for a retail license to sell intoxicating or 3.2 percent malt liquor, either on-sale or off-sale may be refunded to the licensee or to the licensee's estate if: A. The business ceases to operate because of destruction or damage. B. The licensee dies. C. The business ceases to be lawful for a reason other than a license revocation. D. The licensee ceases to carry on the licensed business under the license. 7. Granting of License. A. Issuing. If an application is approved by the City Council, the City Clerk shall issue a license in the form prescribed by the City or the proper Department of the State of Minnesota, as the case may be, upon payment of the license fee. All licenses shall expire on the last day of June each year unless otherwise specified herein. B. Premises Licensed. Unless expressly stated therein, a license issued under the provisions of this Chapter shall be valid only in the compact and contiguous building or structure situated on the premises described in the license, and all transactions relating to a sale under such license must take place within such building or structure. C. Transfer. Licenses may be transferred with the consent of the Council. D. Refusal and Termination. The Council may, in its sole discretion and for any reasonable cause, refuse to grant any application. No license shall be granted to a person of questionable moral character or business reputation. Licenses shall terminate only by expiration or revocation. E. Delinquent Taxes And Charges. The Council in its discretion, shall have the right to refuse to issue or renew a license for the sale of intoxicating liquor on any premises on which taxes, assessments or other financial claims of the city are delinquent or unpaid. Delinquent or unpaid taxes, assessments or other financial claims of the city on the premises for which the license has been issued shall be grounds for the revocation of an intoxicating liquor license. F. Duplicate Licenses. The City Clerk may issue duplicates of all original licenses under this Chapter without action by the Council upon licensee's affidavit that the original has been lost and upon payment of a fee of Two Dollars ($2.00) for issuance of the duplicate. All duplicate licenses shall be clearly marked DUPLICATE. G. Posting. i. License Posting. Ail licensees shall conspicuously post their licenses in their places of business. ii. Notice Posting. A premises licensed for the retail sale of alcoholic beverages and a municipal liquor store must post and maintain in a conspicuous place within the licensed premises clearly visible to consumers: one sign 14-1/2 inches wide by 8 inches high as designed by the commissioners of health and 9 public safety, which incorporates the following information: a. the penalties of driving while under the influence of alcohol; b. penalties for serving alcoholic beverages to a person who is obviously intoxicated or under 21 years of age; and c. a warning statement regarding drinking alcohol while pregnant. H. Renewal Of Licenses. Applications for renewal of all licenses under this Chapter shall be made at least sixty (60) days prior to the date of expiration of the license and shall contain such information as is required by the City Clerk. The Council for good and sufficient cause may waive this time requirement. I. Fixing License Fees and investigation Fees. Ail license and investigation fees provided for in this Chapter, including but not by way of limitation, fees for on-sale and off-sale of beer, temporary on-sale of beer, on-sale and temporary off-sale of liquor, and on-sale of wine, shall be fixed and determined by the Council, adopted by resolution, and uniformly enforced. The Council may amend such fees by resolution. A copy of the resolution shall be kept on file in the office of the City Clerk and open to inspection during regular business hours. a. Fee Increases. The City shall not increase the fee for a liquor license except after notice and hearing on the proposed increase. Notice of the proposed increase must be mailed to all affected licenses at least 30 days before the date set for the hearing. 8. Persons Ineligible For Licens-. No license may be granted to or held by any person: A. who is under 21 years of age; B. upon whom it is impractical to conduct a background and financial investigation due to the unavailability of information; C. who has had an intoxicating liquor or 3.2 percent malt liquor license revoked within five years of the license application, or to any person who at the time of the violation owns any interest, whether as a holder of more than five percent of the capital stock of a corporation 10 licensee, as a partner or otherwise, in the premises or in the business conducted thereon, or to a corporation, partnership, association, enterprise, business, or firm in which any such person is in any manner interested; D. who is not of good moral character and repute; or E. who has a direct or indirect interest in a manufacturer, brewer, or wholesaler; or F. who within five years of the license application, has been convicted of a felony or a willful violation of a federal or state law or local ordinance governing the manufacture, sale, distribution, or possession for sale or distribution~of an alcoholic beverage. 9. Additional restrictions. As additional restrictions or regulations on licenses under this chapter, and in addition to all other grounds for revocation or suspension stated in the City Code or state statute, the following shall also be grounds for such action: (1) that the licensee suffered or permitted illegal acts upon licensed premises, which acts were unrelated to the sale of beer, wine or liquor; (2) that the licensee had knowledge of such illegal acts upon licensed premises, but failed to report the same to police; (3) that the licensee failed or refused to cooperate fully with police in investigating such alleged illegal acts upon licensed premises; or (4) that the activities of the licensee created a serious danger to public health, safety or welfare. 800.10 - Liability Insurance 1. Insurance Required. No beer, wine, or intoxicating liquor license shall be issued, maintained, or renewed unless and until the applicant has provided the proof of financial responsibility with regard to liability imposed by Minnesota Statutes, Section 340A.801. The issuing authority must submit to the Commissioner the applicant's proof of financial responsibility. The requirement for proof of financial responsibility shall be fulfilled by filing the following: A. A certificate that there is in effect an insurance policy or pool providing minimum coverages of 1.} One Hundred Thousand Dollars ($100,000.00) because of bodily injury to any one (1) person in any one (1) occurrence, and Three Hundred Thousand Dollars ($300,000.00) because of bodily injury to two (2) or more persons in any one (1) occurrence, and in the amount of One Hundred Thousand Dollars ($100,000.00) because of injury to or destruction of property of others in any one (1) occurrence, and 2.} ($100,000.00) for loss of means of support of any one (1) person in any one (1) occurrence, and, subject to the limit of one (1) person, Three Hundred Thousand Dollars ($300,000.00) for loss of means of support of two (2) or more persons in any one (1) occurrence (an annual aggregate policy limit for dram shop liability of not less than Three Hundred Thousand Dollars ($300,000.00) per policy may be included in the Policy Provision); or B. A bond of a surety company with minimum coverages as provided in subparagraph A of this Section; o~ , C. A certificate of the State Treasurer that the licensee has deposited with him One Hundred Thousand Dollars ($100,000.00) in cash or securities which may legally be purchased by savings banks or for trust funds having a market value of One Hundred Thousand Dollars ($100,000.00). 2. Liability Insurance Policy Cancellation. A liability insurance policy required by this section must provide that it may not be canceled for: A. any cause, except for nonpayment of premium, by either the insured or the insurer unless the canceling party has first given 30 days' notice in writing to the issuing authority of intent to cancel the policy; and B. nonpayment of premium unless the canceling party has first given ten days' written notice of intenti n to cancel to the municipality's City Clerk. 3. Insurance Not Required (Exception). This Section does not apply to licensees who by affidavit establish that: A. they are on-sale 3.2 percent malt liquor licensees with sales of less than Twenty Five Thousand Dollars ($25,000.00) of 3.2 percent malt liquor for the preceding year; B. they are off-sale 3.2 percent malt liquor licensees with sales of beer of less than Fifty Thousand Dollars ($50,000.00) of 3.2 percent malt liquor for the preceding year; C. they are holders of on-sale wine licenses with sales of wine of less than Twenty Five Thousand Dollars ($25,000.00) for wine for the preceding year. 4. Documents Submittedto Commissioner. Ail proofs of financial responsibility and exemption affidavits filed with the City under this Section shall be submitted by the City to the Minnesota Commissioner of Public Safety. 5. Revocation of License for Failure of Security. Any failure of a licensee at any time to keep in full force and effect the insurance required by this section shall be grounds for immediate revocation of the license. 800.12 - CORPORATIONS, PARTNERSHIPS AND ASSOCIATION~. 1. Ail corporations, partnerships, and associations must designate an Operating Manager. The Operating Manager must be a person working full-time at the licensed premises who is in charge of day-to-day liquor sales. 2. Licenses issued to corporations shall be valid only so long as there is no change in the officers or ownership interest of the corporation, as defined in this Chapter, unless such change is approved by the Council. The requirement concerning change in officers does not apply to corporations whose stock is traded on the New York or American Stock Exchanges. 3. Licenses issued to associations or partnerships shall be valid only so long as there is no change in the partnership or association, unless such change is approved by the Council. 4. Corporations, partnerships, or associations holding licenses shall submit written notice to the city clerk of any changes described herein on or before 30 days prior to the effective date of any such change. In the case of a corporation, the licensee shall notify the city clerk when a person not listed in the application acquires an interest that, when combined with that of a spouse, parent, brother, sister, or child exceeds 5 percent and shall give all information about said person as is required by the city. 5. Corporations holding licenses shall submit written notice to the City Clerk of any change in Operating Managers prior to the effective date of such change. The written notice shall designate the new Operating Manager. The new Operating Manager shall be subject to the investigation authorized by this Chapter if an investigation is requested in writing by the license holder. 800.1& - CONDITIONAL LICENSES Notwithstanding any provision of law to the contrary, the Council may, upon a finding of the necessity therefore, place such special conditions and restrictions, in addition to those stated in this Chapter, upon any license as it, in its discretion, may deem reasonable and justified. 800.16 - MANAGER OR AGENT 13 Before a license is issued under this Chapter to an individual who is a nonresident of the City, or more than one individual whether or not they are residents of the City, or to a corporation, partnership, or association, the applicant or applicants shall appoint in writing a natural person who is its manager or agent. Such manager or agent shall, by the terms of his written consent, (1) take full responsibility for the conduct of the licensed premises, and (2) serve as agent for service of notices and other process relating to the license. Such manager or agent must be a person who, by reason of age, character, reputation, and other attributes, could qualify individually as a licensee. If such manager or agent ceases to act in such capacity for the licensee without appointment of a successor, the license issued pursuant to such appointment shall be subject to revocation or suspension. 800.18 - INACTIVE LICENSE The City Council may revoke the intoxicating liquor or 3.2 percent malt liquor license of any establishment proposed to be newly constructed that is not under construction and exhibiting satisfactory progress toward completion within 6 months from the issuance of a license to such establishment, or any establishment that ceases operation for a period of 6 months or longer. A hearing shall be held to review the progress made by the establishment toward opening or reopening the establishment and, if satisfactory progress is not demonstrated, the Council may revoke the license. 800.20 - REVOCATION, SUSPENSION OR FIN~, A. Grounds for Suspension, Revocation and Fines. The Council may suspend or revoke any license for the sale of intoxicating or 3.2 percent malt liquor and may levy a fine against the licensee upon finding that the licensee of any license granted pursuant to this Section has: 1. failed to comply with any applicable statute, regulation, or ordinance relating to intoxicating liquor or 3.2 percent malt liquor or to the conduct of the licensee's business; or 2. been convicted of a violation of the provisions of any law, ordinance or regulation relating to the exercise of any right granted by such license. B. Revocation of erroneously issued license. Any license issued to a person not entitled to receive the same under this Chapter or any law of the State of Minnesota shall be 14 revoked by the Council at any time after notice and public hearing. 800.22 - HEARING NOTICE No suspension, fine, or revocation shall take effect until the licensee or permit holder has been afforded an opportunity for a hearing before the Council, a committee of the Council, or a hearing examiner, as provided under 14.57 to 14.69 of the Minnesota Administrative Procedure Act. The Council, in its discretion, may determine the appropriate body to conduct the hearing, and shall so name such body in the Council action by which such hearing is called. Such hearing shall be conducted upon written notice to the licensee served in person or by certified mail not less than ten (10) nor more than thirty (30) days prior to the hearing date, stating the time, place, and purpose thereof. 800.24 - PRESUMPTIVE CIVIL PENALTIER The purpose of this Section is to establish standards by which the City Council may determine appropriate penalties, including fines, suspensions, and revocations, for violations of this Chapter or other laws and regulations. These standards shall apply to all licenses granted under this Chapter. The penalties set forth in this Section are presumed to be appropriate for every case; however, the Council may deviate from these penalties in any case in which the Council finds that there exist substantial reasons for such deviation, such as, by way of example and not of limitation, a licensee's efforts in cooperation with the State or City to prevent the sale of alcohol to minors. When deviating from these standards, the council shall provide written findings that support the penalty selected. 1. Minimum Penalties for Violations. The following minimum penalties shall be presumed appropriate. A. Upon a finding that a licensee has committed a violation of one of the following types, the license may be revoked: i. Commission of a felony related to the licensed activity. ii. Sale of alcoholic beverages while license is under suspension. iii. Sale of intoxicating liquor where license is only for sale of 3.2 percent malt liquor. B. The following violations shall presumptively be penalized according to the Violation Grid below, subject to the provisions of this section: i. Sale of alcoholic beverages to an under-age person. ii. Sale of alcoholic beverages to an obviously intoxicated person. iii. After-hours sale/display/consumption of alcoholic beverage. iv. Illegal gambling on licensed premises. v. Any other violation of this Chapter or of federal, state or local law relating to or governing the manufacture, sale, distribution or possession for sale of liquor or any alcoholic beverage. C. Violation Grid NUMBER OF VIOLATIONS DURING A 24 MONTH PERIOD First Violation Second Violation PRESUMPTIVE PENALTY $500 civil penalty 5 day suspension and $1,000 civil penalty to be paid before the expiration of the suspension Third Violation 10 day suspension and $2,000 civil penalty to be paid before the expiration of the suspension Fourth Violation License Revocation D. ~For the purposes of this section regarding penalties for violations relevant to licensing, the number of violations by a licensee shall be cumulative over a 24 month period on a rolling basis. Thus, after the end of 24 months following the day a violation occurred, that violation shall be removed from consideration for purposes of applying this grid to determine penalties. Nothing in this subsection shall restrict the discretion of the council with regard to determination of the appropriate penalty for any violation." 16 E. Other Penalties. Nothing in this Section shall restrict or limit the authority of the council to susDend up to sixty (60) days, revoke the license, impose a civil fine not to exceed two thousand dollars ($2,000.00), to impose conditions, or take any other action in accordance with law; provided, that the license holder has been afforded an opportunity for a hearing in the manner provided in this Chapter. F. Return of revoked licenses. Whenever any license issued for any purpose under this Chapter is revoked for any reason whatever, the licensee shall forthwith return such license to the City Clerk, and it shall be the duty of the police officer or other person notifying such licensee or person operating under such revoked license immediately to remove or cause to be removed such license from the wall or other place where such license shall be posted or exhibited and return such license to the City Clerk. 800.26 - UNLAWFUL ACTS 1. Consumption in Public Places. No person shall consume liquor on a public highway or public place. 2. Removal of Containers. It is unlawful for any on-sale licensee to permit any glass, bottle, or other container containing beer, wine, or liquor in any quantity, to remain upon any table, bar, stool, or other place where customers are served more than twenty (20) minutes after the hour when a sale thereof can legally be made. 3. Closing. It is unlawful for any person other than an on-sale licensee's bona fide employee actually engaged in the performance of his duties to be on the premises licensed under this Chapter more than thirty (30) minutes after the legal time for making licensed sales; provided, however, that this subdivision shall not apply to licensees, employees of licensees, and patrons on licensed premises for the sole purpose of preparing, serving, or consuming food or beverages other than beer, wine, or liquor. 4. Lewd or Indecent Conduct Prohibited. No lewd or indecent conduct shall be allowed or permitted on the licensed premises. For the purposes herein, lewd or indecent conduct shall include "nudity" and "sexual conduct" as those terms are defined in Minnesota Statutes Section 617.292. Any licensee providing live entertainment or dancing must conduct that activity entirely within the licensed Premises. 800.28 - CONDUCT ON LICENSED PREMISES Except as herein provided, every licensee under this Chapter shall be responsible for the conduct of his place of business and shall maintain conditions of sobriety and order therein. 800.30 - SALE BY EMPLOYEE Any sale of beer, wine, or liquor in or from any premises licensed under this Chapter by any employee authorized to make such sale in or from such place is the act of the employer as well as the person actually making the sale; and every such employer is liable to all of the penalties provided by law for such sale equally with the Person actually making the sale. 800.32 - INSPECTION BY POLICE OFFICER 1. Ail premises licensed under this Chapter shall at all times be open to inspection by any police officer to determine whether or not this Chapter and all other laws are being observed. All persons, as a condition to being issued such license, shall consent to such inspection by such officers and without a warrant for searches or seizures. 2. It is unlawful for any licensee or agent or employee of a licensee to hinder or prevent a police officer from making such inspection. 800.34 - LICENSE RESTRICTIONS AND REGULATIONS 1. No license shall be granted to a wholesaler or manufacturer of liquor or to anyone holding a financial interest in such manufacturer or wholesaler. 2. Every license shall be granted subject to the provisions of this Ordinance and all other applicable provisions of the City Code and other laws relating to the operation of the licensed business. 3. No retail establishment licensed to sell alcoholic beverages may keep, possess, or operate or permit the keeping, possession, or operation on the licensed premises of dice or any gambling device as defined in Minnesota Statute 349.30, or permit gambling therein. 4. No licensee shall sell, offer for sale, or keep for sale liquor in any original package which has been refilled or partly refilled. 5. No licensee shall display liquor to the public during hours when the sale of liquor is prohibited. 6. The Council may issue the number of licenses authorized by statute or restrict such number from time to time as it may, in its discretion, deem proper. 800.36 - HOURS AND DAYS OF LIQUOR SALES 1. 3.2 Percent Malt Liquor. No sale of 3.2 percent malt liquor shall be made between 1:00 a.m. and 8:00 a.m. on the days of Monday through Saturday, nor between 1:00 a.m. and 12:00 noon on Sunday. 2. Intoxicating Liquor; On Sale. No sale of intoxicating liquor for consumption on the licensed premises may be made between 1:00 a.m. and 8:00 a.m. on the days of Monday through Saturday, nor after 8:00 p.m. on December 24, nor between the hours of 1:00 a.m. and 10:00 a.m. on Sundays. 3. Intoxicating Liquor; Sunday Sales; On Sale. Sales of intoxicating liquor for consumption on the premises by hotels, restaurants, bowling centers, or clubs, as herein defined, which have on-sale licenses and which also have facilities for serving not less than thirty (30) guests at one time, shall be permitted between the hours of 10:00 a.m. on Sundays and 1:00 a.m. on Mondays in conjunction with the serving of food, provided that the licensee is in conformance with the Minnesota Clean Air Act. An establishment serving intoxicating liquor on Sunday must obtain a Sunday license. A Sunday license shall be issued for a one year period running from July 1 to June 30 and shall be subject to all provisions of this Chapter. 4. Intoxicating Liquor; Off Sale. No sale of intoxicating liquor may be made by an off-sale licensee on Sundays; before 8:00 a.m. on Monday through Saturday; after 10:00 p.m. on Monday through Saturday; on Thanksgiving Day; on Christmas Day, December 25; or after 8:00 p.m. on Christmas Eve, December 24. a. The Council may further limit the hours of sale of alcoholic beverages. 800.38 - RESTRICTIONS INVOLVING UNDERAGE PERSONS 1. No licensee, his agent, or employee shall serve or dispense upon the licensed premises any intoxicating or 3.2 percent malt liquor to a per~on under the legal drinking age; nor shall such licensee, or his agent or employee, permit any such person to be delivered any such liquors. 2. No person under the legal age shall enter a licensed premises for the purpose of purchasing or consuming any alcoholic beverage. It is not unlawful for any person who has attained the age of 18 years to enter licensed premises for the following purposes: ]9 A. to perform work for the establishment, including the serving of alcoholic beverages; B. to consume meals; and C. to attend social functions that are held in a portion of the establishment where liquor is not sold. 3. No person under the legal drinking age shall consume or possess with the intent to consume or receive delivery of intoxicating or 3.2 percent malt liquor except in the household of the minor's parent or guardian, and then only with the consent of such parent or guardian. 4. No person under the legal drinking age shall possess any intoxicating or 3.2 percent malt liquor. Possession of an alcoholic beverage by a person under the legal drinking age at a place other than the household of the parent or guardian is prima facie evidence of intent to consume it at a place other than the household of the person's parent or guardian. 5. MisreDresenting Age: No underage person shall misrepresent the person's age for the purpose of obtaining intoxicating liquor or 3.2 percent malt liquor. Nor shall any such person purchase, attempt to purchase, consume, or have another person purchase for the underage person any intoxicating liquor or 3.2 percent malt liquor. 6. Proof of Age: It is unlawful for the Licensee to fail, where doubt could exist, to require adequate proof of age of a person upon licensed premises. A. Identification Required: Proof of age for the purpose of consuming, purchasing, or possessing liquor may be established only by one of the following: i. a valid driver's license or current Minnesota identification card issued by Minnesota, another state, or a province of Canada, and including the photograph and date of birth of the licensed person; ii. a valid military identification card issued by the United States Department of Defense; iii. a valid passport by the United States; iv. in the case of a foreign national, by a valid passport 800.40 - EMPLOYMENT OF MINORS 20 No person under 18 years of age may serve or sell intoxicating liquor in a retail intoxicating liquor establishment. 800.42 - SPORTS OR CONVENTION FACILITIES LICENSR The Council may authorize any holder of an on-sale liquor license issued by the City or by an adjacent municipality to sell liquor at any convention, banquet, conference, meeting, or social affair conducted on the premises of a sports or convention facility owned by the City or instrumentality thereof having independent policy-making and appropriating authority and located within the City. The licensee must be engaged to sell liquor at such an event by the person or organization permitted to use the premises and may sell liquor only to persons attending the event. The licensee shall not sell liquor to any person attending or participating in any amateur athletic event. Such sales may be limited to designated areas of the facility. All such sales shall be subject to all laws relating thereto. 800.4~ - ADDITIONAL CLUB LICENSEE RESTRICTIONS AND REGULATIONS AND UNLAW~'u~ ACTS 1. Unlawful Acts. The following are in addition to all other unlawful acts set forth in this Chapter relating to sales and purchases of beer or liquor as the case may be. A. Special club licenses shall be issued only to incorporated clubs or to congressionally chartered veterans organizations which have been in existence for at least three years. B. It is unlawful for any club licensee to serve beer or liquor to any nonmember of the licensed club unless such nonmember is a guest. C. It is unlawful for any club licensee to hinder or prevent a police officer from determining compliance with this Section and Chapter and all other laws. D. It is unlawful for any person to refuse, upon request of a licensee or police officer, to provide information as to whether he or she is a member, guest, or host member or to give false, fraudulent, or misleading information in response to such request. 800.46 - MUNICIPAL DISPENSARY 1. Establishment. A municipal dispensary is hereby established to be operated within the City for the sale of liquor potable as a beverage and containing more than 3.2 percent (3.2%) of alcohol by weight. Such dispensary shall be at such place or places as the Council shall determine and may be either leased or owned by 2! the City. It shall be in the charge of a person known as the manager who shall have such assistants as may be necessary. All employees, including the manager, shall hold their positions at the pleasure of the Council. 2. Dispensary Fund. A liquor dispensary fund is hereby created into which all revenues received from the operation of the dispensary shall be paid and from which all operating expenses shall be paid. Any surplus accumulating in this fund may, from time to time, be transferred to the general fund by re~olution of the Council and expended for any municipal purpose. 800.~8 - VIOLATION A MISDEMEANOR Every person violates a section, subdivision, paragraph, or provision of this Chapter when he performs an act thereby prohibited or declared unlawful or fails to act when such failure is thereby prohibited or declared unlawful, and upon conviction thereof shall be punished as for a misdemeanor except as otherwise stated in specific provisions hereof. Section 2. That this ordinance shall take effect upon its adoption and publication as provided by law. Passed and adopted by the Elk River City Council this 13th day of March, 2000. Sandra Peine, City Clerk <- ~ May~ Stephani~__~nzi~g A: \Chap81iq. doc GP: :76229 v2 RESOLUTION 00- 18 A RESOLUTION OF THE CITY OF ELK RIVER A RESOLUTION APPROVING NOTICE OF PUBLICATION OF OFFICIAL SUMMARY OF ORDINANCE 2000-01, AN ORDINANCE AMENDING SECTION 800 OF THE ELK RIVER CITY CODE OF ORDINANCES ENTITLED BEER, WINE AND LIQUOR LICENSING AND REGUI~TION WHEREAS, the City Council of the city of Elk River has repealed Section 800 of the Elk River City Code of Ordinances entitled "Beer, Wine, and Liquor Licensing and Regulation" and has adopted a new section 800 in lieu thereof, entitled "Beer, Wine, and Liquor Licensing and Regulation;" and WHEREAS, the new Section 800 sets forth standards and provisions regarding the terms, definitions, licensing, consumption, sales, hours of sale, regulation, and all other matters pertaining to the retail sale, distribution, and consumption of intoxicating liquor and 3.2 percent malt liquor; and WHEREAS, a copy of the entire text of this ordinance is available for inspection by any person in the office of the City Clerk at City Hall and at the Elk River Public Library; and, WHEREAS, the City Council approves the text of the Official Summary of New Ordinance Section 800, Ordinance 2000-01, and has determined that it clearly informs the public of the intent and effect of the ordinance. NOW, THEREFORE, BE IT RESOLVED that this Official Summary of New Ordinance Section 800, Ordinance 2000-01, shall be published in lieu of publication of the entire ordinance as provided by Minnesota Law. Passed and adopted by the City Council of the City of Elk River this 3rd day of April, 2000. ~tepl~anie Klinzing,~tyor Sandra A. Peine, City Clerk OFFICIAL SUMMARY OF NEW ORDINANCE SECTION 800 OF THE ELK RIVER CITY CODE OF ORDINANCES The Elk River City Council has repealed Section 800 of the Elk River City Code of Ordinances, entitled "Beer, Wine, and Liquor Licensing and Regulation" and has adopted a new section 800 by the same title. The entire text of this ordinance is available for inspection by any person in the office of the City Clerk at Elk River City Hall and at the Elk River Public Library. The following is a summary of New Ordinance Section 800. ORDINANCE 2000-01 AN ORDINANCE OF THE CITY OF ELK RIVER AN ORDINANCE AMENDING SECTION 800 OF THE CITY OF ELK RIVER CODE OF ORDINANCES ENTITLED BEER, WINE, AND LIQUOR LICENSING AND REGULATION New Section 800 adopts the provisions of Minnesota Statutes, Chapter 340A, except to the extent the provisions of Section 800 are more restrictive. Under New Section 800, licenses are required for various types of liquor sales. Procedures are adopted for application and granting of such licenses, as well as for their posting and renewal. Provision is made for licensure eligibility. Under the New Section, liability insurance is required for licensure. The City Council is authorized to place additional conditions on licenses. Provisions are made in the Section for license revocation upon notice and a hearing. In addition, presumptive civil penalties for violation of Section 800 are prescribed. Violations of the Section are set forth with particularity. The Section provides for the inspection of licensed premises by a police officer. Additional restrictions on the operation of licensed premises are set forth, including restrictions on the hours of operation, sales to certain persons, and the employment of persons under 18 years of age. The Section also provides criminal penalties for its violation. Finally, provision is made for a Municipal Liquor Dispensary. S: \ DOCUMENT \ RESOLUTI \ liqsum. DOC . . . .. Affidavit of Publication STATE OF MINNESOTA ) )ss. COUN1Y OF SHERBURNE) l\\~\J~~ - \-\u.\( '( \ ') OFFICIAL StJMl\fARy OF NEW ORDINANCE SECTION 800 OF THE ELK RIVER~ITY CODE OF ORDIN CES TIle Elk River C ty Council has replilaled^Section 800 of the Elk river City Code of Ordihances, entitled "Beer, Wine, and Iiiquor Licensing and Reg.ulation" an4 has adopted a new section 800 by t~e same title. The entire text of this ordinance is avail- tJ:;e f:c~n~fe~~ncf&~krker:rE~~ River City Hall and lit the Elk River Public Library. . i .. .. . Th,e following is a s!ummary of New Ordman ceSe ct ion 8~. ORDINANC 2000-01 AN OJ{DINANCE F THE CITY 'OFELK R . AN ORDINANCE !AMENDING SECTION SOOOF tHE CITY OF ELK RIVER ODE OR ORDINANCESE ED BEER, WINE, AND LlQUO LICENSING AND REG TION.' New Section 800 l'I. opts the. provi- sions of Minnesota Stutes, Chapter 3~OA, excep~ to thee tent the provi- SIons of Section 800 a e more restric- tive. Under New Secti n 800 licenses are required for Vl' ous typl'lS of liquor s~es: Proced sare adopted ~or applIcation and. anting of such lIcenses, as well as fi their posting and renewal. Provisi n is made for licensure eligibility. , . Under th,e New S tion, liability msuraryce IS required for licensure. The CIty. Council is. authorized to pl(lceadditional condi ions on licens- es, .Provisions are mad in the Section for license revoca~ion on notice and a. ~earing. In ad~itio , presumptive CIvil penalties foriVi1'l1 ion of Section 800 . are prescribed. Vi lations of the Section are set fo}jth w th particulari- ty, The Section. pro 'des for the inspection of licensed remises by a police officer, . Additi.onal restription on the opera- tion of lIcensed prllmise are set forth, including restrictibn 0 the hours of operation, sales fuce ain persons and the employment of. ersons unde; 1~ years.~;age. The.6~ ifilJll; alBD.proo, VIdes cnmlnal p~~~tie}l for its viola- :';;i~'Zi~~f?r~'i:." '"' · being duly sworn, on oath says that he/she is the publisher or authorized agent and employee of the publisher of the newspaper known as the Elk River Star News, and has full knowledge of the facts which are stated below: A) The newspaper has complied with all the requirements constituting qualification as a qualified newspaper, as provided by Minnesota Statute 331A.02, 331A.07, and other applicabl~ la~s, as a~.ended.. .. r B). The printed D~.b..Lfb.\__~mffiClJiliQt \f\..l\.JJ (")'( M Y\ urn t..Jl Su 11 cry\ ?J which is attached was cut from the columns of said newspaper, and was printed and published once each week, for \ successive weeks; it was first published ~'d-1)'\ A. 'j. ' \ on Wednesday, the - day of i \ f \ , 20 00, and was thereafter printed and published every Wednesday to and including Wednesday, the day of , 20_; and printed below is a copy of the lower case alphabet from A to Z, both inclusive, which is hereby acknowledged as being the size and kind of type used in the composition and publication of the notice. a b c d e fg h ij k I m n 0 p q r s t u v w x y z (3) Rate actually charged for the above matter $ ~~ .0\ $ lolv,o \ Affidavit of Publication . RESOLUTION 00.18 A RESOLUTION OF THE CITY OF ELK RIVER A RESOLUTION APPROVING NOTICE OFPUlJLICATION OF OFFICIAL SUMMARY OF ORDINANCE 2000.01"AN ORDINANCE AMENDING SECTION 800 OFTH:E E:LK RIVER CITY COIlE OF ORDINANCE ENTITLED BEER, WINE AND' UORLICENSING .Al'W GULATION , wHEREAS, t e City Coun<:i1 of the city of Elk Rive has repealed SeCtion 800 of the EI River CitY Code of Ordinances ent tled ~Beer, Wine, and Liquor Licensin and Regulation"and has adopted a ew section 800 in lieu thereof, entitl d ~Beer, Wine,' an(i Liquor Licens' g and Regulation;" and WHEREAS, he new. Section 800 sets forth sta ards and. provisions regarding the terms, definitions, licensing, cons mption, sales'"hours ::s4:;=::'t~'t~:d;l;ut:~:,~~:: tribution, and onsumption of intoxi- cating liquor d 3.2 percent malt liquor; and W~, ,I1I~. OOIlY Q{~, ,.~tip(,,', r,'~".t,' vt'tNI' it..J mTD...."'...., ~,.~ r_....~!Ia ~~, _- Summary of New, Ordinance' Section 800, Ordinan~e2000-01,>lmd. has ~ritli7~te~:hi1~~~I=JYe~0tt.:: or~~~ce; THgREFORE, BE IT RESOLVEDithat this Official Summary of New Ordinance Section 800, Ordinanc~ 2000-01, shll.llbe pub- lished in liEm (of publication of the entire ordinahce as provided by Minnesota LaVli. Passed and iadopted by -'the City Council of the (City of Elk River this 3rd day of April, 2000. . Stephanie Klinzing Mayor STATE OF MINNESOTA ) )ss. COUNlY OF SHERBURNE) CC)'\~Q~G-t\\ t\ar r\ ~ being duly sworn, on oath says that he/she is the publisher or authorized agent and employee of the publisher of the newspaper known as the Elk River Star News, and has full knowledge of the facts which are stated below: A) The newspaper has complied with all the requirements constituting qualification as a qualified newspaper, as provided by Minnesota Statute 331A.02, 331A.07, and other applicable laws, as amended. B) The, printed ~ub-~_d:__~iQLt~Q QR--/ f GY e ( \ O~) \.1 '\-e... J--U~ which is attached was cut from the columns of said newspaper, and was printed and published once each week, for \ successive weeks; it was first published on Wednesday, the \d1~'\ day of J\?,""\ \ , 20 O(), and was thereafter printed and published every Wednesday to and including Wednesday, the day of , 20_; and printed below is a copy of the lower case alphabet from A to Z, both inclusive, which is hereby acknowledged as being the size and kind of type used in the composition and publication of the notice. . BY: TITLE: a be d e fghij k] mno p qrstuvwxyz iV~A!)J<< t~ tfJ~V'- C\ \ yy\ CvY\(,'--~r \\j~- \diD day of ATTEST: Sandra A. Pein~, City Clerk '(Ap12) Subscribed and sworn to before me on this -r'\pr-i \ ,2000 . t -m. . . CINDY M NOTARY . SCHIMINSKI'- e if- m. Expire SOTA RATE INFORMA~ (1) Lowest classified rate paid by ,J. commercial users for comparable space $J b) . QS (2) Maximum rate allowed by law for the above matter $\Q3, ~ 2 $ ~c3,Lo~ (3) Rate actually charged for the above matter