§ 1009.49 CONDUCT ON LICENSED PREMISES.
   (1)   Disorderly premises. The licensee shall be responsible for ensuring that persons occupying the licensed premises conduct themselves in a manner as not to cause the premises to be disorderly. For purposes of this section, a premises is disorderly at which any of the following activities occur:
      (a)   Violation of laws relating to the possession of controlled substances as defined in M.S. § 152.01, Subd. 4., as it may be amended from time to time;
      (b)   Violation of M.S. § 609.72 (Disorderly Conduct), as it may be amended from time to time;
      (c)   The unlawful sale of intoxicating liquor or 3.2% malt liquor;
      (d)   Violation of laws relating to gambling;
      (e)   Violation of laws relating to prostitution as defined in M.S. § 609.321, Subd. 9, as it may be amended from time to time, or acts relating to prostitution;
      (f)   Unlawful use or possession of a firearm or weapon in violation of M.S. §§ 609.66, Subd. la, 609.67 or 624.713, as they may be amended from time to time;
      (g)   Violation of M.S. § 609.506 (False Info to Police Officer), as it may be amended from time to time;
      (h)   Violation of M.S. § 609.705 (Unlawful Assembly), as it may be amended from time to time;
      (i)   Violation of M.S. § 609.71 (Riot), as it may be amended from time to time;
      (j)   Violation of M.S. § 609.713 (Terrorist Threat), as it may be amended from time to time;
      (k)   Violation of M.S. § 609.715 (Presence at Unlawful Assembly), as it may be amended from time to time; and
      (l)   Violation of M.S. § 609.487 (Fleeing, Other Than Vehicle), as it may be amended from time to time.
   (2)   Enforcement authority. The City Administrator shall be responsible for enforcement and administration of this chapter. Authority to take any action authorized by this chapter may be delegated to the City Administrator's authorized designee.
   (3)   Notice of violation. Upon determination by the city that a licensed premises was used in a disorderly manner notice of the violation shall be given to the licensee. The notice shall include a directive for the licensee to take steps to prevent further violations. The disorderly manner shall be as defined in division (9) below.
   (4)   Second instance. If a second instance of disorderly use of the licensed premises occurs within three months of an incident for which a notice was provided as specified in division (3) above, the city shall notify the licensee of the violation and shall also require the licensee to submit a written report of the actions taken and proposed to be taken by the licensee to prevent further disorderly use of the premises. This written report shall be submitted to the city within five days of receipt of the notice of disorderly use of the premises and shall detail all actions taken by the licensee in response to all notices of disorderly use of the premises within the preceding three months.
   (5)   Third instance. If a third instance of disorderly use of the licensed premises occurs within three months after any two previous instances of disorderly use for which notices were provided as specified in divisions (3) and (4) above, the rental dwelling license for the premises may be denied, revoked, suspended or not renewed. An action to deny, revoke, suspend or not renew a license under this division shall be initiated by the city by giving written notice to the licensee of a hearing before the City Council to consider the denial, revocation, suspension or non-renewal. The written notice shall specify all violations and shall state the date, time, place and purpose of the hearing. The hearing shall be held no less than ten days and no more than 30 days after giving the notice.
   (6)   Action of the City Council. Following the hearing, the City Council may deny, revoke, suspend or decline to renew the license for all or any part or parts of the licensed premises or may grant a license upon terms and conditions as it deems necessary to accomplish the purposes of this section.
   (7)   Instances defined. For purposes of this section, second and third instances of disorderly use shall be those which:
      (a)   Occur at the same rental unit;
      (b)   Involve tenants at the same rental unit;
      (c)   Involve guests or invitees at the same rental unit;
      (d)   Involve guests or invitees of the same tenant; or
      (e)   Involve the same tenant.
   (8)   Eviction proceedings. No adverse license action shall be imposed where the instance of disorderly use of the licensed premises occurred during the pendency of eviction proceedings (unlawful detainer) or within 30 days of notice given by the licensee to a tenant to vacate the premises where the disorderly use was related to conduct by that tenant or by other occupants or guests of the tenant's unit. Eviction proceedings shall not be a bar to adverse license action, however, unless they are diligently pursued by the licensee. Further, an action to deny, revoke, suspend or not renew a license based upon violations of this section may be postponed or discontinued at any time if it appears that the licensee has taken appropriate measures which will prevent further instances of disorderly use.
   (9)   Evidence of disorderly manner. A determination that the licensed premises have been used in a disorderly manner as described in division (1) above shall be made upon substantial evidence to support this determination. It shall not be necessary that criminal charges be brought in order to support a determination of disorderly use nor shall the fact or dismissal or acquittal of a criminal charge operate as a bar to adverse license action under this section.
   (10)   Serving of notice. All notices given by the city under this section shall be personally served on the licensee, sent by registered mail to the licensee's last known address, or, if neither method of service effects notice, by posting the notice in a conspicuous place on the licensed premises.
    (11)   Council action not exclusive. Enforcement actions provided in this section shall not be exclusive. The City Council may take any action with respect to a licensee, a tenant or the licensed premises as is authorized by the city code or state law.