A. The Town shall revoke a license if cause of suspension in Title 3.3.90 occurs and the license has been suspended within the preceding twelve (12) months.
B. The Town shall revoke a license if it determines that:
1. A licensee gave false or misleading information in the material submitted during the application Process;
2. A legally defined minor enters the premises under any conditions.
3. A licensee knew, or should have known, that possession, use, or sale of controlled substances occurred on the premises;
4. A licensee knew, or should have known, that prostitution occurred on the premises;
5. A licensee knew, or should have known, the sexually oriented business operated during a period of time when the licensee’s license was suspended;
6. A licensee knew, or should have known, that any act of sexual intercourse, sodomy, oral copulation, masturbation, or other sex act occurred in or on the licensed premises;
7. A licensee knew, or should have known, that obscene materials, child pornography in any form, or any other contraband is on the licensed premises;
8. A licensee is delinquent in payment to the town, county, or state for any taxes or fees past due; or
9. A licensee is no longer entitled to the license under the provisions of Title 3.3.50.
C. When the Town revokes a license, the revocation shall continue for one year and the licensee shall not be issued a sexually oriented business license for one year from the date the revocation became effective. If, subsequent to revocation, the Town finds that there are substantial mitigating factors, or substantial corrective measures have been employed by the licensee, the applicant may be granted a license if at least ninety (90) days have elapsed since the date the revocation became effective. An example of substantial mitigating factors would be the willful acts of an employee or customer disregarding the directions of the licensee. An example of substantial corrective measures would be the termination of an offending employee or prohibiting the return of an offending patron.
D. If any licensee has a license revoked three (3) times within any five (5) year period, the licensee will be precluded from regaining any such license.
E. After denial of an application, or denial of a renewal of an application, or suspension or revocation of any license, the applicant or licensee may appeal the decision to the Town Council. Any such appeal shall be in writing and submitted to the office of the Town’s license official within ten (10) days of the decision. The Town Council may review the matter on the record or may conduct a hearing in the manner described in Title 3.1.140. The Town Council may affirm, reverse, or modify the decision. The Town Council shall issue a decision within 30 days of receiving the appeal. An appeal after that shall be to the district court for judicial review. Unless either party obtains an injunction or mandamus, the status quo ante will be maintained during the appeal process; however, additional enforcement actions will not be precluded.