(A) License required.
(1) It is unlawful for an person directly or indirectly, on any pretense or by any device, to manufacture, import, sell, exchange, barter, dispose or keep for sale any intoxicating liquor or 3.2% malt liquor as part of a commercial transaction, whether directly or indirectly, without first having obtained a license therefor.
(2) The number of on-sale licenses shall be limited to the number allowed under M.S. § 340A.413, as it may be amended from time to time.
(3) Not more than five off-sale licenses shall be granted at any one time.
(B) Applications for license.
(1) General. Every application for a license issued under this chapter, new or renewal shall be on a form provided by the City. The application form shall be completed by the applicant to the satisfaction of the City. If the application form is not completed to the satisfaction of the City, the form and the application fee shall be returned by the City to the applicant. Every application shall state the name of the applicant, the applicant’s date of birth, driver’s license number or other government approved identification (subject to review and approval of the City), with references as the City may require, the type of license applied for the business in connection with which the proposed license will operate and its location, a description of the premises, whether the applicant is the owner and operator of the business, who will manage the business, how long the applicant has been in that business at that place and any other information as the City may require from time to time. An application for an on-sale intoxicating liquor license shall be in the form prescribed by the Commissioner of Public Safety and shall also contain the information required by this section. The form shall be verified and filed with the City. No person shall make a false statement in an application.
(2) Financial responsibility. No license may be issued, maintained or renewed unless the applicant demonstrates proof of financial responsibility as required by M.S. § 340A.409, as it may be amended from time to time, with regard to liability under M.S. § 340A.801, as it may be amended from time to time. The proof shall be approved by the City Council and filed with the Commissioner of Public Safety.
(C) License fees.
(1) Fee. The annual fee for all licenses shall be established by § 34.01 of this code of ordinances.
(2) Time of payment. All license fees shall be paid in full at the time of filing the application for a license under this chapter.
(3) Term; pro rata fee. All license fees shall expire on June 30 of each year. Each license shall be issued for a period of one year; except that, if a portion of the license year has elapsed when the application is made, a license may be issued for the remainder of the year for a pro rata fee. In computing the fee, any unexpired fraction of a month shall be counted as one month.
(4) Refunds. Pro rata refunds of license fees shall be permitted as authorized by M.S. § 340A.408, subd.5, as it may be amended from time to time; except that, no part of the investigation fee is refundable.
(5) Failure to pay. Failure to pay any required license fee automatically terminates the license and it may only be reinstated after a hearing before the Council.
(6) Changes in fee. Any change of a license fee shall take effect immediately for new licenses, but for renewal licenses, the fee shall take effect at the expiration of the current license year in which the new fee was approved.
(D) Investigation.
(1) The Council shall cause an investigation to be made of all the representations set forth in a license application under this chapter. Every new or renewal application or application for transfer of a license shall be referred to the City’s Police Department for investigation of each individual or person having any interest in the license.
(2) The Police Department shall make necessary inquiry and list all violations of federal and state law or municipal ordinance, including verified complaints that occurred at the establishment being investigated while under the same ownership. The findings and comments of the investigation shall be reported to the City Administrator, who shall order or conduct additional investigations as are deemed necessary or as the Council directs.
(3) Each application for a new license or renewal of a previously issued license shall be investigated as is deemed necessary by the Fire Chief and/or Building Official to establish that the business operation and structure to be licensed is in full compliance with all building and fire codes, laws and regulations of the state and the City. No license shall be issued until the proposed operation and premises is found to be in full compliance with building and fire codes, laws and regulations.
(E) Granting license.
(1) Persons and places ineligible. No license shall be granted to or held by any person or issued for any place or business that is ineligible for such a license under state law. The City Council shall not grant a license until the premises at issue has received a certificate of occupancy.
(2) Hearing. No license shall be granted until a public hearing shall have been conducted by the Council at least ten days after published notice in the official newspaper, unless the license shall be a renewal of a license previously granted at the same location to the same licensee. The City Council shall give an opportunity at a regular or special meeting of the Council to any person to be heard for or against the granting of a license.
(3) Council discretion. The Council, in its sound discretion, may either grant or deny the application for any license or for the transfer or renewal of any license. No applicant has a right to a license under this chapter.
(F) Transfer of intoxicating liquor or wine license.
(1) Each license shall be issued only to the applicant and for the premises described in the application. No license may be transferred to another person or place without City Council approval. Any transfer of stock of a corporate licensee is deemed a transfer of the license. In all cases where the approval of the Council is required, a new application, new investigation, new license fee and a new processing pursuant to this chapter is required. The failure to obtain prior Council approval or to produce books or other records in compliance with this chapter is grounds for immediate revocation of the license.
(2) Each corporate licensee having a change in ownership of 10% or more of the stock of the corporation shall report to the Clerk-Treasurer within ten days prior to each and any proposed change of legal ownership or beneficial interest in any of the shares of stock.
(a) The report shall be in writing and list all shareholders, their age, occupation, residence address and the number of shares held by each, whether individually or for the benefit of others.
(b) The report shall include all powers of attorney for proxies granted that relate to the voting of the corporate shares of stock.
(G) Transfer of 3.2% malt liquor license. A 3.2% malt liquor license is non-transferable with regard to the licensee or location of premises licensed.
(H) Suspension and revocation.
(1) The City Council shall either suspend for a period not to exceed 60 days or revoke any liquor license upon finding that the licensee has failed to comply with any applicable statute, regulation or ordinance relating to liquor. Neither the charging of a criminal violation nor a criminal conviction is required in order for the Council to suspend or revoke a license. Except in cases of lapse of proof of financial responsibility, no suspension or revocation shall take effect until the licensee has been afforded an opportunity for a hearing pursuant to M.S. §§ 14.57 to 14.69, the Administrative Procedures Act, as they may be amended from time to time. The Council may act as the hearing body, or it may contract with the state’s Office of Administrative Hearings or other appropriate agency for a Hearing Officer.
(2) Lapse of required dram shop insurance or bond, or withdrawal of required deposit of cash or securities, shall affect an immediate suspension of any license pursuant to this chapter without any action of the City Council. Notice of cancellation, lapse of a current liquor liability policy or bond, or withdrawal of deposited cash or securities shall also constitute notice to the licensee to the impending suspension of the license. The holder of a license who has received notice of lapse of required insurance or bond, or withdrawal of a required deposit, or of suspension or revocation of a license, may request a hearing thereon and, if a request is made in writing to the Clerk-Treasurer, a hearing shall be granted within ten days or a longer period as may be requested. Any suspension under this division (H)(2) shall continue until the City Council determines that the financial responsibility requirement of this chapter has again been met.
(Ord. 2011-02, passed 8-22-2011)