Section
General Provisions
111.001 Definitions
111.002 Applications and licenses under this chapter - procedure and administration
111.003 Renewal of licenses
111.004 Delinquent taxes and charges
111.005 Limitation on ownership
111.006 Conditional licenses
111.007 Premises licensed
111.008 Unlawful acts
111.009 Conduct on licensed premises
111.010 Sale by employee
111.011 License condition and unlawful act
111.013 Financial responsibility of licensees
111.014 Insurance certificates requirements
111.015 Gambling prohibited
111.016 Consumption and possession of alcoholic beverages on streets, public property and private parking lots to which the public has access
111.017 Alcoholic beverages in certain buildings and grounds
111.018 Workers’ compensation
111.019 Confections containing alcohol
Beer
111.030 Beer license required
111.031 Beer license fees
111.032 Temporary beer license
111.033 Beer license restrictions and regulations
111.034 Hours and days of beer sales
111.035 Unlawful acts (beer)
Liquor
111.050 Liquor license required
111.051 Liquor license fees
111.052 Liquor license restrictions and regulations
111.053 Hours and days of liquor sales
111.054 Sunday sales
111.055 Unlawful acts (liquor)
111.056 Sports or convention facility license
Temporary Licenses
111.070 Temporary liquor license
111.071 Temporary on-sale beer and liquor license regulations
Wine
111.085 On-sale wine
111.086 Hours and days of sales by on-sale wine licenses
111.087 Unlawful acts (wine)
Consumption and Display
111.100 Consumption and display - one-day license
111.101 Consumption and display
Nudity or Obscenity
111.115 Nudity or obscenity prohibited
GENERAL PROVISIONS
For the purpose of this chapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.
ALCOHOLIC BEVERAGE. Any beverage containing more than 1/2 of 1% alcohol by volume, including, but not limited to, beer, wine, and liquor as defined in this section.
APPLICANT. Any person making an application for a license under this chapter.
APPLICATION. A form with blanks or spaces thereon, to be filled in and completed by the applicant as his or her request for a license, furnished by the city and uniformly required as a prerequisite to the consideration of the issuance of a license for a business.
BEER. Malt liquor containing not less than 1/2 of 1% alcohol by volume nor more than 3.2% alcohol by weight. This definition includes so-called MALT COOLERS with the alcoholic content limits stated herein.
CASUAL RESTAURANT. A business establishment, other than a hotel and traditional restaurant, under the control of a single proprietor or manager, where all of the following exist:
(1) Meals are regularly prepared on the premises for the general public;
(2) The principal part of the business is service of meals which shall be at least 50% of the gross revenues;
(3) The facilities for seating shall not be less than 40 guests at one time;
(4) Customers receive partial meal service by waitstaff whereby the customer orders the meal and beverages at a counter, but the meal is consumed at the customer’s table;
(5) Reusable dinnerware, such as eating utensils, plates, bowls, and cups, is used by the customer for the consumption of the meal and beverages;
(6) Bussing or cleaning of the tables is done by restaurant staff; and
(7) No drive-through service is provided.
BREWER. A person who manufactures beer for sale.
CHURCH. A building which is principally used as a place where persons of the same faith regularly assemble for the public worship of God.
CLUB.
(1) An incorporated entity organized under the laws 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:
(a) Has more than 15 members;
(b) 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;
(c) Is directed by a board of directors, executive committee, or other similar body chosen by the members at a meeting held for that purpose.
(2) 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. The club or congressionally chartered veterans organization must have been in existence for at least three years.
COMMISSIONER. The State Commissioner of Public Safety.
CONFECTION CONTAINING ALCOHOL. Any confection that contains or bears not more than 5% alcohol by volume where the alcohol is in a nonliquid form by reason of being mixed with other substances in the manufacture of the confection.
GENERAL FOOD STORE. A business, including convenience stores/marts, primarily engaged in selling food and grocery supplies to the public for off premises consumption.
HOTEL. Includes any establishment having a resident proprietor or manager, where, in consideration of payment therefor, food (consisting of a full menu as distinguished from exclusively FAST FOOD items such as pizza, hamburgers and other sandwiches) and lodging are regularly furnished to transients, and which contains not less than 25 guest rooms with bedding and other suitable and necessary furnishings in each room, and which is provided with a suitable lobby, desk and office for the registration of its guests at the main entrance and on the ground floor, which employs an adequate staff to provide suitable and usual service, and which maintains under the same management and control as the rest of the establishment and has an integral part thereof a dining room with appropriate facilities for seating not less than 40 guests at one time, where the general public is, in consideration of payment therefor, served with meals at tables, where the principal part of the business (meaning at least 50% of the gross income from sales during each calendar quarter) is from serving foods and furnishing lodging, and where there is an appraised value of at least $350,000 as to the building or portion of the building associated with liquor sales.
LICENSE. A document, issued by the city, to an applicant permitting him or her to carry on and transact the business stated therein.
LICENSE FEE. 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. The premises described in the issued license. In the case of a restaurant or a club licensed for on-sales of alcoholic beverages and located on a golf course, LICENSED PREMISES means the entire golf course except for areas where motor vehicles are regularly parked or operated.
LICENSEE. An applicant who, pursuant to his or her approved application, holds a valid, current, unexpired license, which has neither been revoked nor is then under suspension, from the city for carrying on the business stated therein.
LIQUEUR-FILLED CANDY. Any confectionery containing more than 1/2 of 1% alcohol by volume in liquid form that is intended for or capable of beverage use.
LIQUOR. Ethyl alcohol and distilled, fermented, spirituous, vinous and malt beverages containing in excess of 3.2% of alcohol by weight. This definition includes so-called wine coolers and malt coolers with the alcoholic content limits stated herein.
LIQUOR STORE. An establishment used exclusively for off-sale of liquor except for the incidental sale of ice, tobacco, beer, beverages for mixing with liquor, soft drinks, cork extraction devices, and books and videos on the use of alcoholic beverages in the preparation of food.
MALT LIQUOR. Any beer, ale, or other beverage made from malt by fermentation and containing not less than 1/2 of 1% alcohol by volume.
MANUFACTURER. Every person who, by any process of manufacture, fermenting, brewing, distilling, refining, rectifying, blending, or by the combination of different materials, prepares or produces alcoholic beverages for sale.
MINOR. Any natural person who has not attained the age of 21 years.
OFF-SALE. The sale of alcoholic beverages in original packages for consumption off the licensed premises only.
ON-SALE. The sale of alcoholic beverages for consumption on the licensed premises only.
PACKAGE and ORIGINAL PACKAGE. Any container or receptacle holding alcoholic beverages, which container or receptacle is corked, capped or sealed by a manufacturer or wholesaler.
SALE, SELL and SOLD. All barters and all manners or means of furnishing alcoholic beverages to persons, including furnishing in violation or evasion of law.
TRADITIONAL RESTAURANT. A business establishment, other than a hotel, under the control of a single proprietor or manager, where all of the following exist:
(a) Meals are regularly prepared on the premises for the general public;
(b) The principal part of the business is service of meals, which shall be at least 50% of the gross revenues;
(c) Facilities for seating shall not be less than 40 guests at one time; and
(d) Customers receive full meal service by waitstaff whereby meals and beverages are ordered, served, and consumed at the customer’s table.
WHOLESALER. Any person engaged in the business of selling alcoholic beverages to a licensee from a stock maintained in a warehouse.
WINE. The product made from the normal alcoholic fermentation of grapes, including still wine, sparkling and carbonated wine, made from condensed grape musk, wine made from other agricultural products than sound, ripe grapes, imitation wine, compounds sold as wine, vermouth, cider, sherry and sake, in each instance containing not less than 1/2 of 1% nor more than 24% alcohol by volume for nonindustrial use. WINE does not include distilled spirits, as defined in M.S. § 340A.101, Subd. 9, as it may be amended from time to time.
(Ord. 2006-4-2, passed 4-24-2006)
(A) Application. All applications shall be made at the office of the City Clerk upon forms prescribed by the city or, if by the state, then together with additional information as the Council may desire. Information required may vary with the type of business organization making application. All questions asked or information required by the application forms shall be answered fully and completely by the applicant.
(B) False statements. It is unlawful for any applicant to intentionally make a false statement or omission upon any application form. Any false statement in an application or any willful omission to state any information called for on the application form shall, upon discovery of the 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.
(C) Application and investigation fees. At the time of the initial application, an applicant for an on-sale liquor, wine or beer license or off-sale liquor or beer license shall pay to the city a non-refundable base application and investigation fee in the amount set forth in the current city fee schedule. An additional fee for each person or entity beyond five having an interest in the proposed licensed establishment shall be required in the amount set forth in the current city fee schedule. An escrow of $1,000 for applicants residing outside of the state shall be required to reimburse the city for out-of-pocket investigative costs and the escrow shall be released upon payment in full of actual investigation costs. A non-refundable investigation fee shall be paid to the city for all changes in managers in the amount set forth in the current city fee schedule. No fee shall be required of an applicant for a temporary liquor or beer license.
(D) Action.
(1) Granting. The Council may approve any application for the period of the remainder of the then current license year or for the entire ensuing license year. All applications including proposed license periods must be consistent with this chapter. Prior to consideration of any application for a license, the applicant shall pay the license fee and, if applicable, pay the investigation fee. Upon rejection of any application for a license or upon withdrawal of an application before approval of the issuance by the Council, the license fee shall be refunded to the applicant. Failure to pay any portion of a fee when due shall be cause for revocation.
(2) Issuing. If an application is approved, the City Clerk shall forthwith issue a license pursuant thereto in the form prescribed by the city or the proper department of the state, as the case may be, and upon payment of the license fee. All licenses shall be on a calendar-year basis unless otherwise specified herein. For licenses issued and which are to become effective other than on the first day of the license year, the fee to be paid with the application shall be a pro rata share of the annual license fee. Licenses shall be valid only at one location and on the premises therein described.
(3) License refund in certain cases. A pro rata share of an annual license fee for a license to sell liquor or beer, either on-sale or off-sale, shall be refunded to the licensee or to his or her 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 or suspension; or
(d) The licensee ceases to carry on the licensed business under the license.
(4) Transfer. No license shall be transferable between persons or to a different location. Any change in individual ownership or substitution of partners is a transfer. However, a change in corporate name of a beer licensee shall not be considered a transfer if at least 90% of the issued and outstanding shares are in the same ownership as at the time of original application and § 111.005 has not been violated. It is unlawful to make any transfer in violation of this division.
(5) 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.
(6) Violation. For this section, a violation shall be defined as any failure to comply with a statute, regulation or provision of the city code relating to alcoholic beverages. A peace officer or an agent of the state liquor control commission who becomes aware of a violation, regardless of whether any action is taken to issue an oral or written warning, a citation or a complaint, shall prepare a written report of the violation. One copy of the report shall be given to the Chief of Police, the licensee, and the City Clerk, respectively. A violation by an officer, employee or agent of the licensee shall be deemed to be a violation by the licensee.
(7) Penalty. Upon a finding that the licensee has sold alcoholic beverages to another retail licensee for the purpose of resale; purchased alcoholic beverages from another retail licensee for the purposes of resale; conducted or permitted the conduct of gambling on the licensed premises in violation of the law; failed to remove or dispose of alcoholic beverages when ordered by the Commissioner to do so under Minnesota Statutes; or failed to comply with any other applicable state statute or rule, or code provision herein relating to alcoholic beverages, a civil penalty of $500 for the first violation, $1,000 for the second violation within a 24-month period, and $1,500 and a seven-day suspension of license for a third violation within a 24-month period shall be imposed upon the licensee who shall pay the civil penalty within 30 days of the date of a notice from the city. Notwithstanding the foregoing civil penalties, a civil penalty of $2,000 and 30-days’ suspension of the license, unless a greater civil penalty, suspension or revocation is otherwise determined by City Council, shall be imposed upon a licensee upon the fourth or more violation within a 36-month period. The foregoing penalties shall not restrict the City Council from ordering the revocation of the license, suspension of the license for up to 60 days, a civil penalty up to $2,000, or impose any combination thereof. If the licensee fails to pay the civil penalty within 30 days of notice, the licensee’s license shall be suspended until the civil penalty, plus any surcharge or interest for late payment, is paid in full.
(8) Hearing. No suspension or revocation of a license or civil penalty under this section shall take effect until the licensee has been given an opportunity for a hearing under the Minnesota Administrative Procedure Act. If the licensee files a request for hearing with the City Clerk within ten business days of the date of the notice of the license action or civil penalty, the City Clerk shall schedule a hearing before a hearing officer duly appointed by the City Council. In the event that the licensee fails to timely request a hearing or fails to appear at a scheduled hearing, the licensee shall be deemed to have waived his or her right to a hearing and shall be subject to the license action or civil penalties imposed hereunder. If the licensee timely requests a hearing, the hearing shall be held before the hearing officer within 14 days of the date the licensee files a request for hearing with the City Clerk. Upon conclusion of the hearing, the hearing officer shall issue written findings of fact and conclusions as to whether a violation has occurred and the penalty imposed as authorized herein. If the hearing involves a fourth or more violation by the licensee, the hearing officer shall present written findings of fact and conclusions to the City Council for its consideration of additional penalties, including revocation of the license.
(9) Additional restrictions. As additional restrictions or regulations on licensees under this chapter, and in addition to grounds for revocation or suspension stated in the city code or statute, the following shall also be grounds for action:
(a) The licensee suffered or permitted illegal acts upon licensed premises unrelated to the sale of beer, wine or liquor;
(b) The licensee had knowledge of illegal acts upon licensed premises, but failed to report the same to police;
(c) The licensee failed or refused to cooperate fully with police in investigating alleged illegal acts upon licensed premises; or
(d) The activities of the licensee created a serious danger to public health, safety, or welfare.
(10) Corporate applicants and licensees. A corporate applicant, at the time of application, shall furnish the city with a list of all persons that have an interest in a corporation and the extent of the interest. The list shall name all shareholders and show the number of shares held by each, either individually or beneficially for others. It is the duty of each corporate licensee to notify the City Clerk in writing of any change in legal ownership or beneficial interest in the corporation or in the shares. Any change in the ownership or beneficial interest in the shares entitled to be voted at a meeting of the shareholders of a corporate licensee, which results in the change of voting control of the corporation by the persons owning the shares therein, shall be deemed equivalent to a transfer of the license issued to the corporation, and any license shall be revoked 30 days after any change in ownership or beneficial interest of shares unless the City Council has been notified of the change in writing and has approved it by appropriate action. The City Council or any officer of the city designated by it may at any reasonable time examine the stock transfer records and minute books of any corporate licensee in order to verify and identify the shareholders, and the Council or its designated officer may examine the business records of any other licensee to the extent necessary to disclose the interest which persons other than the licensee have in the licensed business. The Council may revoke any license issued upon its determination that a change of ownership of shares in a corporate licensee or any change of ownership of any interest in the business of any other licensee has actually resulted in the change of control of the licensed business so as materially to affect the integrity and character of its management and its operation, but no action shall be taken until after a hearing by the administrative hearing officer on notice to the licensee.
(E) Duplicate licenses. Duplicates of all original licenses under this chapter may be issued by the City Clerk subject to approval by the Council, upon licensee’s affidavit that the original has been lost, and upon payment of a fee for issuance of the duplicate as set forth in the current city fee schedule. All duplicate licenses shall be clearly marked “Duplicate.”
(F) Posting. All licensees shall conspicuously post their licenses in their places of business.
(G) Resident manager or agent.
(1) Before a license is issued under this chapter to an individual who is a nonresident of the state, to more than one individual whether or not they are residents of the state, or to a corporation, company, partnership, or association, the applicant or applicants shall appoint in writing a natural person who is a resident of the state as its manager or agent.
(2) The resident manager or agent shall, by the terms of his or her written consent:
(a) Take full responsibility for the conduct of the licensed premises; and
(b) Serve as agent for service of notices and other process relating to the license.
(3) The manager or agent must be a person who, by reason of age, character, reputation, and other attributes, could qualify individually as a licensee. If the manager or agent ceases to be a resident of the state or ceases to act in that capacity for the licensee without appointment of a successor, the license issued pursuant to the appointment shall be subject to revocation or suspension.
(H) Persons disqualified.
(1) No license under this chapter may be issued to:
(a) A person not a citizen of the United States or a resident alien;
(b) A person who within five years of the license application has been convicted of a willful violation of a federal or state law or local ordinance governing the manufacture, sale, distribution, or possession for sale or distribution of alcoholic beverages;
(c) A person who has had an alcoholic beverage 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 5% of the capital stock of a corporate 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 person is in any manner interested;
(d) A person under the age of 21 years; or
(e) A person not of good moral character and repute.
(2) No person holding a license from the Commissioner as a manufacturer, brewer or wholesaler may have a direct or indirect interest, in whole or in part, in a business holding an alcoholic beverage license from the city.
(Ord. 2006-4-2, passed 4-24-2006)
Applications for renewal of all licenses under this chapter shall be made at least 60 days prior to the date of expiration of the license and shall contain information as is required by the city. This time requirement may be waived by the Council for good and sufficient cause.
(Ord. 2006-4-2, passed 4-24-2006)
(A) No license under this chapter shall be granted for operation on any premises upon which taxes, assessments, or installments thereof, or other financial claims of the city, are owed by the applicant and are delinquent and unpaid.
(B) For the purpose of this section, APPLICANT includes persons and related persons:
(a) Owning at least a 50% beneficial interest in the proposed license or in the entity making the application; and
(b) At least an undivided 1/2 interest in the premises proposed to be licensed, or at least a 50% beneficial interest in the entity owning the premises.
(Ord. 2006-4-2, passed 4-24-2006)
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