§ 5.02 APPLICATIONS AND LICENSES UNDER THIS CHAPTER - PROCEDURE AND ADMINISTRATION.
   Subd. 1.   Application. All applications shall be made at the office of the City Administrator upon forms prescribed by the city or, if by the Commissioner, then together with such 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. The applicant will also authorize the completion of a criminal history background investigation as provided for in § 6.32 of this Code. Before any investigation is undertaken by the City Attorney, the applicant must authorize the City Attorney in writing to undertake the investigation and to release any information gathered during the investigation as provided in § 6.32 of this Code. The written consent must fully comply with the provisions of M.S. Chapter 13, as it may be amended from time to time, regarding the collection, maintenance and use of the information.
   Subd. 2.   False Statements. It is unlawful for any applicant to intentionally make a false statement or omission upon any application form. Any false statement in such application, or any willful omission to state any information called for on such 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.
    Subd. 3.   Application and Investigation Fees. At the time the initial application is made, an applicant for a license under this chapter shall accompany the application with payment of a fee to be considered an application and investigation fee, non-refundable to the applicant, to cover the cost of the city in processing the application and the investigation of the applicant. No investigation fee shall be required of an applicant for a temporary beer license.
   Subd. 4.   Action.
      A.   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. Failure to pay any portion of a fee when due shall be cause for revocation.
      B.   Issuing. If an application is approved, the City Administrator shall forthwith issue a license pursuant thereto in the form prescribed by the city or the Commissioner, as the case may be, and upon payment of the license fee. All licenses shall be on a calendar year basis beginning January 1 and ending December 31. Unless otherwise herein specified, license fees shall be prorated on the basis of one-twelfth for each calendar month or part thereof remaining in the then-current license year. Provided that, for licenses where the fee is $100 or less, a minimum license fee equal to one-half of the annual license fee shall be charged. Licenses shall be valid only at one location and on the premises therein described.
      C.   Transfer. No license shall be transferable between persons. Any change in individual ownership, incorporation or substitution of partners is a transfer. No license shall be transferable to a different location without prior consent of the Council and payment of the fee for a duplicate license. It is unlawful to make any transfer in violation of this subparagraph.
      D.   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.
      E.   Public Interest. No license under this chapter may be issued, transferred or renewed if the results of any investigation show, to the satisfaction of the Council, that the issuance, transfer or renewal would not be in the public interest.
      F.   Revocation or Suspension. For any license granted under the provisions of this chapter, the Council may revoke, suspend for a period not to exceed 60 days, impose a civil fine not to exceed $2,000, or any combination of these sanctions, for each violation on a finding that the licensee has failed to comply with a statute, regulation or provision of the City Code relating to alcoholic beverages, including any provision found in Chapter 11 relating to outdoor patio areas. The Council shall revoke the license upon conviction of any licensee or agent or employee of a licensee for violating any law relating to the sale or possession of beer, wine or liquor upon premises of the licensee, or if the revocation is mandatory by statute. If it shall be made to appear at the hearing thereon that the violation was not willful, the Council may order suspension; provided that, revocation shall be ordered upon the third violation or offense. No suspension or revocation shall take effect until the licensee has been afforded an opportunity for a hearing before the Council, a committee of the Council or a hearing under the Administrative Procedures Act, as may be determined by the Council in action calling the hearing. The hearing shall be called by the Council upon written notice to the licensee served in person or by certified mail not less than 15, nor more than 30, days prior to the hearing date, stating the time, place and purpose thereof. 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 the action:
         1.   The licensee suffered or permitted illegal acts upon licensed premises unrelated to the sale of beer, wine or liquor;
         2.   The licensee had knowledge of the illegal acts upon licensed premises, but failed to report the same to police;
         3.   The licensee failed or refused to cooperate fully with police in investigating the alleged illegal acts upon licensed premises; or
         4.   The activities of the licensee created a serious danger to public health, safety or welfare.
      G.   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 the 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 Administrator in writing of any change in legal ownership, or beneficial interest in such corporation or in such 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 such change in ownership or beneficial interest of shares unless the Council has been notified of the change in writing and has approved it by appropriate action. The 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 such action shall be taken until after a hearing by the Council on notice to the licensee.
   Subd. 5.   Duplicate Licenses. Duplicates of all original licenses under this chapter may be issued by the City Administrator without action by the Council, upon licensee's affidavit that the original has been lost. All duplicate licenses shall be clearly marked "DUPLICATE".
   Subd. 6.   Posting. All licensees shall conspicuously post their licenses in their places of business.
   Subd. 7.   Persons Disqualified.
      A.   No license under this chapter may be issued or renewed, to:
         1.   A person who within five years of the license application has been convicted of any felony or 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;
         2.   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 such person is in any manner interested;
         3.   A person under the age of 21 years; or
         4.   A person not of good moral character and repute.
      B.   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. 114, Third Series, passed 12-4-2007; Ord. 125, Third Series, passed 5-19-2009; Am. Ord. 27, Fourth Series, passed 10-2-2012; Am. Ord. 31, Fourth Series, passed 6-4-2013; Am. Ord. 38, Fourth Series, passed 7-1-2014)