806.03 CLASSIFICATION OF LICENSES.
   The following classes of liquor licenses are available to qualified persons:
   (a)   Tier I Licenses.
      (1)   Class A - Tavern License (Sale of Alcoholic Liquors for On-Premises Consumption). Class A licenses shall authorize the sale of alcoholic liquor for consumption on the licensed premises only, in the original package or otherwise. Class A Licenses shall only be issued for locations where the sale of alcoholic liquors, for consumption on the premises, is the primary business, and shall in no event be issued to a market or other type of operation where the sale of alcoholic liquor is incidental to the sale of other goods or services.
      (2)   Class R - Restaurant License (Sale of Alcoholic Liquors in Conjunction with Sales of Prepared Food - Category I or Category II Food Service). Class R licenses shall authorize the sale of alcoholic liquor for consumption on the licensed premises only, in conjunction with the operation of a restaurant. Class R licensees shall be required to provide at the time of initial application, and upon each renewal of said license, proof of compliance with all applicable Federal, State and County sanitation and public health rules governing the operation of food service establishments generally, and specifically including proof of licensure by Stephenson County as a Category I or Category II food service establishment. Provided, that if a Class R License is sought by a licensee holding a Category II food service license, proof of on site preparation of raw foods, consisting of more than mere assembly of processed or prepackaged foods, shall be required, and the issuance of classification shall be subject to review at the discretion of the Liquor Commission. Any licensee currently holding a valid Class A-R License at the time of adoption of this ordinance, issued under the prior version of this Chapter 806, shall be deemed qualified to receive a Class R License for the license year following the date of enactment hereof.
      (3)   Class LR - Limited Restaurant License (Sale of Beer and Wine in Conjunction with Sales of Prepared Food — Category I or II Food Service). Class LR Licenses shall authorize the sale of beer and wine only for consumption on the licensed premises only, in conjunction with the operation of a restaurant. Class LR licensees shall be required to provide at the time of initial application, and upon each renewal of said license, proof of compliance with all applicable Federal, State and County sanitation and public health rules governing the operation of food service establishments generally, and specifically including proof of licensure by Stephenson County as a Category I or Category II food service establishment.
      (4)   Class P - Package Sales License (Off-Premises Package Sales). Class P Licenses shall authorize the sale of alcoholic liquor for off-premises consumption only by a licensee who operates a market or package liquor store at the licensed premises. Provided, that with respect to any market comprising less than 5,000 square feet of indoor sales area, all package sales of alcoholic liquor other than wine and beer shall be made from displays which are not accessible to the public and only accessible to employees of the licensee.
      (5)   Class K - Brew Pub or Wine Retailer License. Class K Licenses shall authorize the sale of alcoholic liquor, for consumption on the licensed premises by a brew pub or a wine retailer. A Class K License shall also authorize off-premises package sales of beverages actually produced and placed into containers at the licensed location without the need for a supplemental off premises sales license.
   (b)   Tier II Licenses.
      (1)   Class W - Beer and Wine Only (On-Premises Sales). Class W Licenses shall allow the sale of beer and wine only, for consumption on the licensed premises.
      (2)   Class WP - Beer and Wine (Off-Premises Package Sales). Class WP Licenses shall authorize the sale of beer and wine only for off-premises consumption only by a licensee who operates a market at the licensed premises.
   (c)   Tier III Licenses.
      (1)   Class CR - Caterer Retailer License. Class CR Licenses shall authorize the sale of alcoholic liquor by a caterer retailer for consumption at a licensed premises. For purposes of an event catered by a CR licensee at which liquor is intended to be served, the licensed premises for said event shall be such location as is identified in writing to the City Clerk by the licensee, on forms provided by the City Clerk, no less than ten (10) calendar days prior to the date of the event. The Liquor Commissioner may, at his or her sole discretion, require reasonable restrictions or requirements concerning crowd control, access control, and pedestrian and vehicular traffic control at a particular event. If the Liquor Commissioner elects to do so, said restrictions shall be communicated, in writing, to the licensee no less than five (5) calendar days after receipt of the notice contemplated hereby, or said restrictions shall be deemed waived.
      (2)   Class H - Rental Hall License. Class H Licenses shall authorize the sale of alcoholic liquor by the operator of a rental hall for consumption at the licensed premises. For any event at which liquor is intended to be served by a Class H licensee, the licensee shall be required to notify the City Clerk, in writing on forms provided by the City Clerk, no less than ten (10) calendar days prior to the date of the event.
   (d)   Tier IV Licenses.
      (1)   Class M - Park District License. Class M Licenses shall authorize the sale of alcoholic liquor for consumption on the licensed premises only, in the original package or otherwise, in buildings located within the boundaries of golf course properties owned by park districts under the Illinois Park District Code.
   (e)   Tier V Licenses.
      (1)   Class BYOB. Class BYOB Licenses shall authorize persons to bring alcoholic liquors into an establishment which is not otherwise authorized to sell alcoholic liquor of any kind at retail on the premises, and which is prohibited from allowing carry-in liquor without a license per the provisions of Section 608.17 or other provisions of these Codified Ordinances which specifically require such a license. No BYOB license shall be issued for any premises for which any other license has been issued under this section. Except as otherwise expressly stated below, all other provisions of this chapter apply to BYOB licensees.
            BYOB licensees need not show proof of dram shop insurance, but shall provide all other insurance as required by Section 806.08. Provided, said liability coverage requirement may not be satisfied by any coverage which contains a coverage exception for occurrences related to the sale or consumption of liquor on the licensed premises. The City may, at the City’s sole option, require any licensee to produce a copy of the full insurance policy in order to ensure compliance with this paragraph.
(Ord. 2018-12. Passed 3-5-18; Ord. 2019-16. Passed 4-1-19; Ord. 2020-55. Passed 11-2-20; Ord. 2022-22. Passed 5-16-22; Ord. 2022-45. Passed 10-3-22; Ord. 2022-67. Passed 12-5-22; Ord. 2023-15. Passed 4-3-23.)