A. Class A Or Class B License:
1. Bond To Guarantee Performance:
a. Each on premises or off premises beer retailer licensee shall post a cash or corporate surety bond in the penal sum of one thousand dollars ($1,000.00) guaranteeing faithful performance of the provisions of this chapter, payable to the city. The licensee must procure and must maintain said bond for so long as the licensee continues to operate as an on premises or off premises beer retailer licensee. Evidence of such bonding shall be provided to the city annually with each license renewal submission.
b. The bond shall be in a form approved by the city, conditioned upon the licensee's faithful compliance with this title and the rules of the city.
c. (1) If the one thousand dollar ($1,000.00) surety bond is canceled due to the licensee's negligence, a two hundred fifty dollar ($250.00) reinstatement fee may be assessed.
(2) No part of any cash or corporate bond so posted may be withdrawn during the period the license is in effect, or while revocation proceedings are pending against the licensee.
(3) In the event that the licensee's beer license is revoked, the bond shall be forfeited to the city. No showing of damage or loss to the city is required for the bond to be forfeited in favor of the city.
B. Class C, Seasonal Or Club License: Every applicant for a class C, seasonal or club license shall be required to post a cash or surety bond in the amount of two thousand dollars ($2,000.00), which is to remain in effect during the entire license period. The bond is in addition to all other licensing fees. The bond shall be forfeited to the city in the event of a conviction of the licensee or an employee of the licensee of a felony related to the operation of the business for which the licensee has obtained a class C, seasonal or club license, or for a violation of any laws or ordinances relating to alcoholic beverages, possession of controlled substances, gambling or prostitution.
C. Failure To Post Bond: Failure to post bond as required by this section shall be grounds for the revocation of the licensee's license.
D. Revocation Of License: The forfeiture within any two (2) year period of three (3) bonds posted pursuant to this section shall be grounds for revocation of the license. (Ord. 2012-9, 4-3-2012)