A. Intent To Revoke: The city administrator shall issue a written statement of intent to revoke a sexually oriented business license if a cause of suspension in section 3-10-9 of this chapter occurs and the license has been suspended within the preceding twelve (12) months.
B. Basis For Revocation: The city administrator shall issue a written statement of intent to revoke a sexually oriented business license if the city administrator determines that:
1. A licensee gave false or misleading information to the city during the application process;
2. A licensee or operator has knowingly allowed possession, use, or sale of controlled substances on the premises;
3. A licensee or operator has knowingly allowed prostitution on the premises;
4. A licensee or operator knowingly operated the sexually oriented business during a period of time when the licensee's license was suspended;
6. On two (2) or more occasions within a twelve (12) month period, a person or persons committed an offense occurring in or on the licensed premises of a crime listed in subsection 3-10-5B8a of this chapter, for which a conviction has been obtained, and the person or persons were employees of the sexually oriented business at the time the offenses were committed;
7. A licensee or operator has knowingly allowed any act of sexual intercourse, sodomy, oral copulation, masturbation, or sexual contact to occur in or on the licensed premises. The term "sexual contact" shall have the meaning as it is defined in Minnesota statutes section 609.341, subdivision 11(b). This subsection shall not apply to an adult motel, unless the licensee knowingly allowed sexual activities to occur either: a) in exchange for money, or b) in a public place or within public view; or
8. A licensee is delinquent in payment to the city for ad valorem taxes, local lodging tax, or other taxes or fees related to the sexually oriented business.
C. Appeal Of Conviction: The fact that a conviction is being appealed shall have no effect on the revocation of the license.
D. Exception: Subsection B7 of this section does not apply to adult motels as a grounds for revoking the license unless the licensee or employee knowingly allowed the act of sexual intercourse, sodomy, oral copulation, masturbation, or sexual contact to occur in a public place or within public view.
E. Provisional License: When, after the notice and hearing procedure described in section 3-10-11 of this chapter, the city administrator 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 revocation became effective, provided that, if the conditions of subsection 3-10-11B of this chapter are met, a provisional license shall be granted pursuant to that section. If, subsequent to revocation, the city administrator finds that the, basis for the revocation has been corrected or abated, the applicant may be granted a license if at least ninety (90) days have elapsed since the date the revocation became effective. If the license was revoked under subsection B7 of this section, an applicant may not be granted another license until the appropriate number of years required under subsection 3-10-5B8b of this chapter have elapsed. (Ord. 685, sec. 1, 5-21-2001)