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ORD 91-08original copy 1,1 V 0 OTr�F COUNTY OF WRIGHT STATE OF MINNESOTA ORDINANCE NO. 91-08 AN ORDINANCE LICENSING AND REGULATING THE SALE AND CONSUMPTION OF INTOXICATING LIQUOR, AND WINE, AND PROVIDING A PENALTY FOR VIOLATION The Council of the City of Otsego ordains: Section 1. Provisions of State Law Adopted. The provisions of Minn. Stat. 340A and subsequent amendments to, relating to the definition of terms, licensing, consumption, sales, hours of sale, and all other matters pertaining to the retail sale, distribution, and consumption of intoxicating liquor are adopted and made a part of this ordinance as if set out in full. Section 2. License 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 any intoxicating liquor without a license to do so as provided in this ordinance Liquor licenses shall be of four kinds: "On -Sale", "Off -Sale", Temporary "On -Sale", and "On -Sale" Wine License. Subd. 1 On -Sale Licenses. "On -Sale" licenses shall be issued only to hotels, clubs, restaurants, and exclusive liquor stores, and shall permit "On -Sale" of liquor only. published in the Star News of Elk River this 20th day of Mnrch 1991 Subd. 2 Off -Sale Licenses. "Off -Sale" licenses shall be issued only to drug stores and exclusive liquor stores and shall permit "Off -Sale" of liquor only. Subd. 3 Temporary On -Sale License. The City may issue to a club or charitable, religious, or other other non-profit organization that has existed for at least three (3) years a temporary on -sale license for the sale of intoxicating liquor in connection with a social event within the City sponsored by the licensee, and subject to restrictions imposed by the State Liquor Act. The license may authorize the on -sale of intoxicating liquor for no more than three (3) consecutive days, and may authorize on -sale on premises not owned or permanently occupied by the licensee. No such license is valid unless first approved by the Commissioner of Public Safety. Subd. 4. On -Sale Wine Licenses. 1). General. The City may issue an on -sale wine license to a restaurant having a seating capacity of at least 25 guests, and shall permit only the sale of wine not exceeding fourteen percent (140) alcohol by, for consumption on the licensed premises only, in conjunction with the sale of food. No such license is effective until approved by the liquor control commissioner. 2). Days of Sale. A On -Sale Wine License shall authorize the sale of wine on all days of the week. Section 3. License Application. Subd. 1 Form. Every application for a license to sell liquor within the City of Otsego shall state the name of the applicant, his age, representations as to his character, with such references as the Council may require, his citizenship, the - 2 - type of license applied for, the business and/or corporation in connection with which the proposed license will operate and its location, whether the applicant is owner and operator of the business and/or corporation, how long he has been in that business at that place, whether or not that person owns or controls other liquor licenses in other municipalities, whether or not that person has ever been denied a liquor license or had a liquor license suspended or revoked in another jurisdiction including a summary of facts leading to such action(s), and such other information as the Council may require from time to time. Every application shall also include a copy of each summons and complaint received by the applicant under Minn. Stat. 340A.802 during the preceding year. In addition to containing such information, the application shall be in the form prescribed by the bureau of criminal apprehension and shall be verified and filed with the City Clerk. No person shall make a false statement in an application. Subd. 2 Insurance. Every applicant for the issuance or renewal of any "On -Sale" or "Off -Sale" license shall demonstrate proof of financial responsibility by filing with the City one of the following: (a). A certificate showing insurance against general liability and that imposed by Minn. Stat. 340A.801 in the amount of $1,000,000.00 coverage for bodily injury to any one person in any one occurrence, $1,500,000.00 coverage for two or more persons in any one occurrence, $100,000.00 coverage because of injury to or destruction of property of others in any one occurrence $100,000.00 coverage for loss of means of support of any one person in any one occurrence, and $100,000.00 for loss of means of support of two or more persons in any one occurrence; or - 3 - (b). A Surety Bond with minimum coverages as provided in clause (a) a certificate of the State Treasurer that the licensee has deposited with the State Treasurer $1,500,000.00 in cash or securities which may legally be purchased by savings banks or for trust funds having a market value of $1,500,000.00. Every licensee shall further demonstrate proof of financial responsibility by filing the insurance certificate, surety bond, or state treasurer's certificate with the Commissioner of Public Safety in compliance with Minn. Stat. 340.409, Subd. 1, except that if a license involves sales of wine by a prospective vendor who is not required by law to file such proof with the Commissioner of Public Safety, such proof need only be filed with the City Clerk. The liability insurance policy required by clause (a) of this section shall provide that it may not be canceled for any cause, except for non-payment of premium, by the insured or the insurer without first giving thirty (30) days written notice to the City, addressed to the Clerk. The policy shall also provide that it may not be canceled for non-payment of premium unless the canceling party first gives ten (10) days written notice to the City, addressed to the Clerk. The insurance certificate required by this section shall be approved as to form by the City Attorney. Subd. 4. Filing Violation. The operation of an "On -Sale" or "Off -Sale" liquor business, or "On -Sale" wine business, without having on file at all times the insurance bond or other security required by Subdivisions 2 and 3 of this section shall be grounds for immediate revocation of the license. - 4 - Section 4. License Fees. Subd. 1. Fees. The annual fee for an "On -Sale" liquor license shall be $4,000.00. The annual fee for an "Off -Sale" liquor license shall be $150.00 pursuant to Minn. Stat. 340A.408, Subd. 3. The annual fee for a "On -Sale" Wine License shall be $150.00. The fee for a Temporary "On -Sale" liquor license shall be $25.00 per day. Subd. 2. Payment. Each application for a license shall be accompanied by a receipt from the City Clerk for payment in full of the license fee and the investigation fee required under Section 5, Subd. 2 of this Ordinance. All fees shall be paid into the general fund. If an application for license is rejected, the Clerk shall refund the amount paid as the license fee. Subd. 3. Term, Pro Rata Fee. Each License shall be issued for a period of one year except that if the application is made during the license year, a license may be issued for the remainder of the year for a pro rata fee, with any unexpired fraction of a month being counted as one month. Every license shall expire on the last day of June. Subd. 4. Refunds. No refund of any fee shall be made except as authorized by statute. Section 5. Granting of Licenses. Subd. 1. Investigation. The Council shall investigate, or cause to be investigated, preliminarily, all facts set out in any application for an on -sale license or any application for transfer of an existing on -sale license. If the Council deems it - 5 - in the public interest to have an investigation made on a particular application for renewal of an on -sale license, it shall so determine. In any case, if the Council determines that a comprehensive background and financial investigation of the applicant is necessary, it may conduct the investigation itself or contract with another agency. No license shall be issued, transferred, or renewed if the results show to the satisfaction of the Council that issuance would not be in the public interest. Subd. 2. Hearing. The City Council or its designee(s), 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 or against the granting of the license. After the investigation and hearing, the Council shall in its discretion, grant or refuse the application. No on -sale wine license or off -sale liquor license shall become effective until it, together with the security furnished by the applicant, has been approved by the Commissioner of Public Safety. Subd. 3. Investigation Fee. Along with the initial application fee or application for transfer of an existing "on -sale" license, the applicant shall be required to remit an investigation fee of $500.00 if it is determined that the investigation required by Minn. Stat. 340A.412 can be accomplished within the State of Minnesota. If it is determined that said investigation will have to be conducted outside of the State, the investigation fee shall be the actual cost of such investigation not to exceed $10,000.00. All investigations shall be conducted by the City Council, the Wright County Sheriff's Office, or other agency as designated by the Otsego City Council. - 6 - Subd. 4. Person and Premises License; 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 Council approval. Any transfer of stock of a corporate licensee is deemed a transfer of the license, and a transfer of stock without prior Council approval is grounds for revocation of the license. Section 6. Persons Ineligible for License. No license shall be granted to any person ineligible for such license under state law. No more than one intoxicating liquor license shall be directly or indirectly issued within the City to any one person. Section 7. Place Ineligible for License. Subd. 1. General Prohibition. No license shall be issued for any place or any business ineligible for such a license under state law. Subd. 2. Delinquent Taxes and Charges. No license shall be granted for operation on any premises on which taxes, assessments, or other financial claims of the City are delinquent and unpaid. Subd. 3. Distance from School or Church. No license shall be granted within 500 feet of any independent school district building or within 500 feet of any church. Section S. Conditions of License. Subd. 1. In General. Every license is subject to the conditions in the following subdivisions and all other provisions - 7 - of this Section and of any other applicable ordinance, state law or regulation. Subd. 2. Insurance. Compliance with financial responsibility requirements of state law and of this ordinance is a continuing condition of any license granted pursuant to this ordinance. Subd. 3. Licensee's Responsibility. 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 employees in the licensed premises authorized to sell intoxicating liquor there is deemed the act of the licensee as well, and the licensee shall be liable to all penalties provided by this section and the law equally with the employee. Subd. 4. Inspections. Every licensee shall allow any peace officer, health officer, or properly designated officer or employee of the City to enter, inspect, and search the premises for the licensee during business hours without a warrant. Subd. S. Display During Prohibited Hours. No intoxicating beverage shall be displayed or exhibited upon the bar or tables or booths, within the premises of an establishment licensed for "on -Sale" of intoxicating liquor during hours when the sale of liquor is prohibited. Subd. 6. Federal Stamps. No licensee shall possess a Federal wholesale liquor dealer's special tax stamp or a Federal gambling stamp. Subd. 7. Minors. No licensee shall allow any person under 18 years of age to sell or serve liquor. No licensee shall allow any person under the age of 21 who has consumed intoxicating liquor or non -intoxicating malt liquor to be in or on the licensed premises whether such person has consumed such beverages on the premises or any other place. Section 9. Closing Hours. Subd. 1. Customers. No person other than an employee of the licensed establishment shall remain on the premises of any licensed liquor establishment later than one-half hour after sales are closed. Subd. 2. Employees. Employees shall be off the premises by one hour after sales are closed. Employees shall not re-enter the premises until 6:00 o'clock a.m. the following day. Subd. 3. Identification of Employees. The licensee shall post or display a legible list of the full names of all current employees. The list shall be displayed in the same location as the liquor license. Section 10. Restrictions on Purchase and Consumption. Subd. 1. Unlicensed Places. No person shall make or prepare liquor for consumption in any public place or place of business unless it has a license to sell liquor "On -Sale" or a permit from the Public Safety Commissioner under Minn. Stat. 340A.414, and no person shall consume liquor in any such place. Subd. 2. Public Places. No person shall consume liquor on a public street, public sidewalk or public parking lot. No - 9 - license holder shall allow the consumption of intoxicating liquor by its patrons within any parking lot owned or operated by any license holder. Section 11. Suspension and Revocation. Subd. 1. General. The Council shall either suspend for up to sixty (60) days, or revoke the licensee's license or impose a civil fine not to exceed $2,000.00, for each violation on a finding that the license or permit holder has failed to comply with an applicable statute, rule, or ordinance relating to alcoholic beverages. Except in cases of failure of financial responsibility, no suspension or revocation shall take effect until the licensee has been afforded an opportunity for a hearing pursuant to Minn. Stats. 14.57 to 14.69 The lapse of required dram shop insurance or bond, or withdrawal of 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, lapse of a current liquor liability policy, or bond, or withdrawal of deposited cash or securities shall also constitute notice to the licensee of the impending suspension of any license issued pursuant to this ordinance without further action of the City Council. Notice of cancellation, lapse of a current liquor liability policy, or bond, or withdrawal of deposited cash or securities shall also constitute notice to the licensee of the impending suspension of the 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 - 10 - a hearing thereon, and if such a request is made in writing to the City Clerk, a hearing shall be granted within 10 days or such longer period as may be requested. Any suspension under this paragraph shall continue until the city council determines that the financial responsibility of this ordinance has again been met. Subd. 2. Notice. Ten (10) days written notice of suspension or revocation shall be given to the licensee. Said notice shall contain the date, time and place of the hearing as well as the nature of the charges against the licensee. Section 12. Penalties . Subd. 1. Gross Misdemeanors. The following violations of this ordinance shall be gross misdemeanors: (1) selling alcoholic beverages without a license; (2) having a direct or indirect interest in more than one off -sale license in the City; (3) selling, giving, or furnishing alcoholic beverages to an obviously intoxicated person; (4) selling, bartering, furnishing, or giving alcoholic beverages to a person under 21 years of age; or (5) violating any other provision of Minn. Stat. 340A.702. and upon conviction shall be punished pursuant to the penalty provided by State statute for a gross misdemeanor, and as later amended, plus the costs of prosecution in any case. Subd. 2. Misdemeanors. Any violation of this ordinance or Minn. Stat. 340A for which another penalty is not specified shall be a misdemeanor and shall be punished pursuant to the penalty provided by State statute for a misdemeanor, and as later amended, plus the costs of prosecution in any case. Section 13. Effective Date. The ordinance becomes effective upon its passage and publication, according to law. Passed by the Otsego City Council this lith day of March 19 91 Norman F. Freske, Mayor ATTEST: r' J-¢rome Perrault, City Clerk - 12 - CITY OF OTSEGO COUNTY OF WRIGHT STATE OF MINNESOTA AN ORDINANCE LICENSING AND REGULATING THE SALE CONSUMPTION OF INTOXICATING LIQUOR AND WINE, AND PROVIDING A PENALTY FOR VIOLATION The following official summary of this ordinance has been approved by the Otsego City Council as clearly informing the public of the intent and effect of the ordinance: It is the intent and effect of the ordinance to adopt by reference statues relating to the licensing and sale of intoxicating liquor and wine within the city; to provide for "on -sale" and "off -sale" liquor licenses, and "on -sale" wine licenses, and suspension and revocation of such licenses for violation of statues and ordinances; to prohibit sales without a license; and to provide a penalty for violation. A printed copy of the ordinance is available for inspection by any person at the office of the City Clerk and at the Otsego City Hall. This su ary approved by the Otsego City Council this day of 1991. 640:2� ef__r� f��r No man F. Freske, Mayor h =terry :J ti J ome Perrctult, Ci y C erk v .