ORDINANCE 1997-76

The City of Grant ordains:

Section 1. Provisions of State Law Adopted. The provisions of Minnesota Statutes Chapter 340A, relating to the definition of terms, licensing, consumption, sales, financial responsibility of licensees, hours of sale, and all matters pertaining to the retail sale, distribution, and consumption of intoxicating liquor and non-intoxicating malt liquor are adopted and made a part of this ordinance as if set out in full.

'Section 2. Definitions.

Subdivision 1. Terms. All terms used in this Ordinance shall have the meanings prescribed by Minnesota Statutes Chapter 340A, unless specifically indicated otherwise.

Subdivision 2. Intoxicating Liquor or Liquor. "Intoxicating liquor" or "liquor" shall mean any distilled, fermented or vinous beverage containing more than three and two-tenths percent of alcohol by weight.

Subdivision 3. Non-intoxicating Liquor. "Non-intoxicating liquor" or "beer" means any malt beverage with an alcohol content of more than one-half of one percent volume and not more than three and two-tenths percent by weight.

Subdivision 4. Original Package. "Original package" shall mean a bottle or sealed container into which the liquor or beer is placed by the manufacturer.

Subdivision 5. Off Sale. "Off Sale" shall mean the sale of liquor, beer, or wine in its original package(s) for consumption off of or away from the premises where sold.

Subdivision 6. On Sale. "On Sale" shall mean the sale of liquor, beer, or wine by the glass, bottle or can for consumption on the premises only.

Section 3. License Required.

Subdivision 1. General Requirement. No person, except a wholesaler or manufacturer to the extent authorized under State license, shall directly or indirectly deal in, sell, or keep for sale in the City of Grant any liquor or beer without a license to

do so as provided in this ordinance Liquor and beer licenses shall be of nine (9) kinds:

1. "On-Sale Liquor"

2. "Club On Sale"

3. "On-Sale Sunday"

4. "One Day Permit"

5. "On-Sale Wine"

6. "Consumption and Display"

7. "On-Sale Beer"

8. "Off-Sale Beer"

9. "Off-Sale Liquor"

Subdivision 2. On-Sale Liquor Licenses. "On-Sale Liquor" licenses shall only be issued to hotels, clubs, restaurants, and exclusive liquor stores, and shall permit "on-sale" of liquor only.

Subdivision 3. Club On Sale Licenses. "Club On Sale" licenses shall only be issued to incorporated clubs which have been in existence for fifteen (15) years or more, or to congressionally chartered veteran's organizations which have been in existence for ten (10) years.

Subdivision 4. Consumption and Display Licenses. A license to operate a bottle club may be issued to any private club authorized to be licensed pursuant to appropriate Minnesota law.

Subdivision S. On Sale Sunday Licenses. A special On-Sale license for the sale of liquor on Sundays may only be issued to a restaurant holding a regular On-Sale license. The restaurant eligible for on-sale Sunday liquor license shall meet the requirements for a restaurant as defined in Minnesota Statutes 340A.101. A restaurant having a seating capacity for at least thirty (30) persons may sell intoxicating liquor for consumption on the premises with the sale of food between the hours of 10:00 a.m. Sunday morning and 1:00 a.m. on Monday morning, if the licensee complies with all requirements of the Minnesota Clean Air Act. If the licensee does not comply with the Minnesota Clean Air Act, the licensee is authorized to sell intoxicating liquor for consumption on the premises together with the sale of food between the hours of 12:00 noon on Sunday and 1:00 a.m. on Monday.

Subdivision 6. One Day Permit. A "One Day Permit" for the consumption and sale of liquor or beer may be issued to a nonprofit organization in conjunction with a social activity in the City of Grant sponsored by such organization. A certificate of liquor liability insurance must be provided by the organization before the permit is issued and such permit shall be valid only on the day indicated on the permit. No more than three, one-day permits may be issued to any one organization or location within a twelve (12) month period.

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Subdivision 7. On-Sale Wine Licenses. "On-Sale Wine" licenses shall be issued only to restaurants meeting the qualifications of Minnesota Statutes Section 340A.404, Subdivision 5, and shall permit only the sale of wine not exceeding fourteen percent (14%) alcohol by volume, for consumption on the licensed premises only, in conjunction with the sale of food.

Subdivision 8. On-Sale Beer. "On-Sale Beer" licenses shall only be granted to clubs, beer stores, drug stores, restaurants, hotels, and bowing centers where food is prepared and served for consumption on the premises. Holders of "on-Sale Liquor Licenses" shall be allowed to sell beer without an additional license, except they may not sell beer on Sundays without an "On-Sale Sunday" license.

Subdivision 9. Off-Sale Beer. "Off-Sale Beer" licenses shall only permit the sale of beer at retail, in the original package for consumption off the premises of the licensee. "Off-sale Beer" licenses shall only be granted to grocery stores, convenience stores selling food and drink for consumption off the premises, and persons holding "On-Sale Liquor" or "On-Sale beer" licenses for use on the same premises as their on-sale license.

Subdivision 10. Off-Sale Liquor. "Off-Sale Liquor" licenses shall only permit the sale of beer or liquor at retail, in the original package for consumption off the premises of the licensee.

Section 4. Application for License.

Subdivision 1. Form. Every application for license to sell liquor or beer shall be in the form prescribed by the City of Grant and include the name of the applicant, his or her age, representations as to the applicant's character (with such references as the Council may required), citizenship, the type of license applied for, the business or organization in connection with which the proposed license will operate and its location, whether the applicant is owner and operator of the business, how long the business has been at that location, and such other reasonable and/or necessary information as the Council may require from time to time. Every application shall also include a copy of each summons received by the Applicant under Minnesota Statutes Section 340A.802 during the preceding year.

Subdivision 2. Accuracy of Application. No person shall knowingly make a false or misleading statement on any application for a liquor or beer license, or in any proceeding regarding the issuing of a liquor, beer or wine license.

Subdivision 3. Insurance Required. Applicants for a license to sell liquor or beer shall provide the City a Certificate of Insurance, or other security acceptable to the City, providing

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coverage for liquor (dram shop) in the amount required by Minnesota Statutes.

Section 6. License Fees.

Subdivision 1. Fees. The fees for licenses issued under this ordinance shall be:

On-Sale Liquor $1,600.00

On-Sale Beer 100.00

Club On Sale 125.00

Consumption and Display 125.00

On-Sale Sunday 200.00

On-Sale Wine 200.00

Off-Sale Beer 3.2 25.00

Off-Sale Liquor 500.00

One Day Permit 15.00

Subdivision 2. Payment. Each application for a license shall be accompanied by a receipt from the City for payment in full of the license fee and the fixed investigation fee under Section 7, if any. All fees shall be paid into the general fund. I f any application for a license is rejected, the City shall refund the amount paid as the license fee.

Subdivision 3. License Terms and Pro Rata Fees. Each license, except one day permits, shall be issued for a period of one (1) year. If an application is made during the license year, a license may be issued for the remainder of the year for a prorata fee. Such pro-rata fee is to be determined on the number of months remaining in the year, with each unexpired fraction of a month being counted as one month. Every license shall expire on the last day of December of each year.

Subdivision 4. Refunds. Refunds of license fees shall be made only if:

2. The licensee dies; or,

The refund shall be based on a pro-rata basis determined by the number of months remaining until the end of the license year, with any fraction of a month remaining not being credited as part of the refund. Refunds shall only be made after the business ceases to operate.

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Section 7. Granting of Licenses.

Subdivision 1. New Licenses.

Subdivision 2. Renewals. Applications for renewal of a license issued in accordance with this Ordinance shall be the same, in form and procedure, as an initial application, except an initial investigation fee shall only be charged if the Council determines that such an investigation is warranted.

Subdivision 3. Hearing and Issuance. The City Council shall investigate all facts set out in the application and not investigated in the preliminary background and financial investigation conducted pursuant to Subdivision 1. Opportunity shall be given to any person to be heard for and against the granting of the license. After investigation and hearing, the Council shall, at its discretion, grant or refuse the application.

No license shall be issue, transferred, or renewed if the results of the City's investigations show to the satisfaction of the Council that issuance would not be in the public interest. No license shall become effective until it, together with the security furnished by the applicant, has been approved by the Commissioners of Public Safety, as required by law.

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Subdivision 4. Person and Premises Licensed; Transfer. Each license shall be issued only to the applicant and for the premises described in the application. No license may be transferred to another person or place without City Council approval. Any transfer of stock of a corporate license is deemed a transfer of the license, and transfer of stock without prior Council approval is a ground for revocation of the license. In case a licensee dies, his personal representative may continue operation of the business within the terms of the license for a period not to exceed ninety (90) days.

Section 8. Persons Ineligible for License. No license shall be granted to any person made ineligible for such a license by state law. No license shall be issued to any person who is not a citizen or resident alien of the United States, who is under the age of twenty-one (21), who is not of good moral character or repute, who within five (5) years of his or her license application has been convicted of a willful violation of a liquor or beer license or who has had a liquor or beer license revoked within five (5) years of his or her application. No person, corporation, or other business entity may be issued licenses for the sale of liquor or beer at more than one location, except a non-profit organization may be issued one-day permits at more than one site.

Section 9. Places Ineligible for License.

Subdivision 1. General Prohibition. No license shall be issued for any place or any business ineligible for such license under state law.

Subdivision 2. Delinquent Taxes or Charges. No license shall be granted or renewed for operation on any premises on which taxes, assessments, or other financial claims of the City are delinquent or unpaid.

Subdivision 3. Distance from School or Church. No license shall be granted within two hundred (200) feet of any school or church.

Section 10. Conditions of License.

Subdivision 1. General. Every license is subject to the conditions specified in this Ordinance and of any other applicable Ordinance, state law or regulation.

Subdivision 2. Posting of License. Posting of a current license at a conspicuous place on the premises of the licensed establishment is required.

Subdivision 3. Sales. Sale must be confined to a compact and contiguous place named in the license. Sale may not be made to an

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intoxicated person, persons under twenty-one (21) years of age, or known habitual drunkards.

Subdivision 4. Gambling. No gambling may be conducted on a licensed premises except in accordance with state law.

Subdivision 5. Hours. No sale or gift of liquor or beer may be made by a license holder or employee on a licensed premises except during the hours of sale authorized under state law. Every holder of any on-sale license shall cause the premises to be vacated of all persons except the owner or manager within one (1) hour after the licensed premises closes. All liquor or beer shall be stored out of public view after closing time. No licensee shall give or sell liquor or beer to any employee while such employee is working on the premises. All customers or persons not employed bv a licensee shall vacate the premises with one-half (%) hour after the established closing time.

Subdivision 6. Responsibility for Conduct of Business. Every licensee is responsible for the conduct of his place of business and the conditions of sobriety and order in it. The act of any employee on the licensed premises is deemed the act of the licensee as well, and the licensee shall be liable to all penalties provided by this Ordinance and the law equally with the employee.

Subdivision 7. Inspections. Every licensee shall allow any peace officer, health officer, or prcperly designated officer or employee of the City to enter, inspect, and search the premises of the licensee during business hours without a warrant.

Subdivision 8. Display. No establishment shall display liquor to the public during hours when the sale of liquor is prohibited.

Subdivision 9. Employment of Minors. No person under the age of eighteen (18) shall be employed on the premises of any establishment selling liquor or beer when such beverages are on display and offered for sale. This prohibition shall not apply to restaurants as defined in Minnesota Statutes 340A.101. In no case may a person under eighteen (18) years of age offer for sale, mix, or serve liquor or beer in any licensed establishment.

Section 11. Restrictions on Purchase and Consumption.

Subdivision 1. Liquor or Beer on Unlicensed Places. No person shall mix or prepare liquor for sale in any public place of business unless it has a license to sell liquor "on-sale" or a permit from the Commissioner of Public Safety under Minnesota Statutes, Section 340.119 and no person shall consume liquor or beer in such a place.

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Subdivision 2. Consumption in Public Places. No person shall consume liquor or beer on a public highway, public park, or other public space, or on the premises of an off-sale license holder, without the written consent of the City Council.

Subdivision 3. Consumption by Minors. It is unlawful for any person under twenty-one (21) years of age to consume liquor or beer unless in the household of the person's parent or guardian and with the consent of the parent or guardian. No person under the age of twenty-one (21) shall purchase or attempt to purchase or procure liquor or beer. It is unlawful for any person under twenty-one (21) years of age to misrepresent his or her age for the purpose of purchasing liquor or beer.

Subdivision 4. Proof of Age. Proof of age for purchasing liquor or beer may be established only by a valid driver's license or Minnesota Identification Card, or in the case of a foreign national, a valid passport.

Section 12. Suspension and Revocation.

Subdivision 1. Failure to Comply with the Law. The Council shall either suspend for a period up to sixty (60) days, or revoke, any liquor license, or impose a civil fine not to exceed Two Thousand Dollars ($2,000.00) for each violation upon a finding that the licensee has failed to comply with any applicable statute, regulation, or ordinance relating to alcoholic beverages. Except as required in Subdivision 2, no suspension or revocation shall take effect until the licensee has been afforded an opportunity for a hearing pursuant to Minnesota Statues Sections 14.57 and 14.70, and/or pursuant to Grant City Code Chapter 70.

Subdivision 2. Lapse of Financial Security. Lapse of required dram shop insurance, any required bond, or withdrawal of a required deposit of cash or securities, shall effect an immediate suspension of any license issued pursuant to this Ordinance without further action of the City Council. Notice of cancellation or lapse of a current liquor liability policy or bond, or withdrawal of deposited cash or securities shall constitute notice to the licensee of the suspension of license. The holder of a license who has received notice of lapse of required insurance or bond, or withdrawal of a required deposit, or of suspension or revocation of a license, may request a hearing thereon and if such request is made in writing to the City Clerk, a hearing shall be granted within ten (10) days or such longer period as may be requested. Any suspension under this paragraph shall continue until the City Council determines the financial responsibility requirements of this Ordinance have been met.

Section 13. Penalty. Any person violating any provision of this Ordinance is guilty of a misdemeanor and upon conviction shall

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be punished as allowed by law, plus the cost of prosecution in any case.

Section 14. Severability. If any part of this Ordinance shall be held void, such part shall be deemed severable, and the invalidity thereof shall not affect the remaining parts of this Ordinance.

Section 15. Effective Date. This Ordinance becomes effective upon is passage and publication according to law.

Passed by the City Council of the City of Grant this 1st day of April, 1997.

Gary Erichson, Mayor

Attest:

Sheila Davis, Acting City Clerk

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