§ 112.28 SUSPENSION AND REVOCATION.
   (A)   The City Council shall either suspend for a period not to exceed 60 days or revoke any license upon finding that the licensee has failed to comply with any provision of this chapter. Except in cases of lapse of proof of managerial responsibility, no suspension or revocation shall take effect until the licensee has been afforded an opportunity for a hearing pursuant to the Administrative Procedures Act, M.S. §§ 14.57 through 14.69, as they may be amended from time to time. The City Council may act as the hearing body under that act, or it may contract with the Office of Hearing Examiners for a hearing officer.
   (B)   Points are to be assigned according to the following schedule.
      (1)   Violations meriting 5 points include commission by the licensee, or Principal owner, of a specified criminal activity that is a misdemeanor, whether on or off the premises; commission by the licensee, or principal owner, of use or possession of a controlled substance while on the premises; revocation of an adult use license issued by another municipality or county; operation without a valid adult use-primary business license.
      (2)   Violations meriting 3 points include false statement or omission in the license application or failure to provide subsequent information that would not have resulted in the revocation or denial of the license; suspension of an adult use license issued by another municipality or county; non-payment of civil fines imposed under § 112.29; interference with inspections or enforcement; hiring an unlicensed manager; commission by a licensed manager of a specified criminal activity that is a misdemeanor while on the premises; hiring a live entertainer under age 18; occurrence of prostitution, solicitation, inducement, or promotion of prostitution or coercion for prostitution on the premises.
      (3)   Violations meriting 2 points include failure to have a licensed manager on duty; allowing a minor on the premises; allowing performance in a prohibited area; allowing prohibited touching between patron and entertainer; failure to maintain visibility or lighting requirements; allowing prohibited conduct on premises.
      (4)   Violations meriting 1 point include failure to post license; failure to maintain required live entertainer records; failure to maintain physical design requirements; failure to maintain cleanliness; failure to maintain recordings for the 60 days prior in lieu of a manager station; conviction of a customer for specified criminal activity on the premises; violation of public nuisance ordinance.
   (C)   Points are cumulative and remain on license, including a renewed license, for 3 years. Occurrences continuing for more than 1 day shall be considered separate occurrences for each day; each occurrence shall be considered a separate violation. Violations will be cited in writing with opportunity for appeal. Failure to appeal shall be deemed to indicate no contest to the charge.
   (D)   The license shall be suspended by the City Council after a finding under division (A) above that the licensee has failed to comply with any provision of this chapter for at least the minimum periods below. The City Council shall select the day or days during which the license will be suspended.
      (1)   For 1 point, a 1-day suspension in addition to any criminal or civil penalties which may be imposed.
      (2)   For 2 points accumulated within any 3-year period, a 3 consecutive days suspension in addition to any criminal or civil penalties which may be imposed.
      (3)   For 3 points accumulated within any 3-year period, a 4 consecutive days suspension in addition to any criminal or civil penalties which may be imposed.
      (4)   For 4 points accumulated within any 3-year period, a 7 consecutive days suspension in addition to any criminal or civil penalties which may be imposed.
      (5)   For 5 points accumulated within any 3-year period, a 10 consecutive days suspension in addition to any criminal or civil penalties which may be imposed.
      (6)   For 6 points accumulated within any 3-year period, a 14 consecutive days suspension in addition to any criminal or civil penalties which may be imposed.
      (7)   For 7 points accumulated within any 3-year period, a 21 consecutive days suspension in addition to any criminal or civil penalties which may be imposed.
      (8)   For 8 points accumulated within any 3-year period, a 28 consecutive days suspension in addition to any criminal or civil penalties which may be imposed.
      (9)   For 9 points accumulated within any 3-year period, a 35 consecutive days suspension in addition to any criminal or civil penalties which may be imposed.
      (10)   For 10 points accumulated within any 3-year period, a 42 consecutive days suspension in addition to any criminal or civil penalties which may be imposed.
   (E)   The following are cause for revocation which shall be imposed by the City Council for violations of the provisions of this chapter. Revocations shall occur within 60 days following a violation for which the revocation is imposed:
      (1)   For over 10 points violation within any 3-year period;
      (2)   For discovery of a false statement or omission in the license application or failure to provide subsequent information that would have resulted in the denial or revocation of the license; and/or
      (3)   For commission of a specified criminal activity that is a felony.
(Ord. 223, passed 1-21-2003)