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Item 3.7 Failed Alcohol Compliance Imposing a Civil Penalty and Best Practices Training Request for City Council Action DEPARTMENT INFORMATION ORIGINATING DEPARTMENT REQUESTOR: MEETING DATE: Administration City Clerk Etzel August 12, 2024 PRESENTER(s) REVIEWED BY: ITEM #: Consent City Administrator/Finance Director Flaherty City Attorney Kendall 3.7 – Liquor License Penalty STRATEGIC VISION MEETS: THE CITY OF OTSEGO: X Is a strong organization that is committed to leading the community through innovative communication. Has proactively expanded infrastructure to responsibly provide core services. Is committed to delivery of quality emergency service responsive to community needs and expectations in a cost-effective manner. Is a social community with diverse housing, service options, and employment opportunities. Is a distinctive, connected community known for its beauty and natural surroundings. AGENDA ITEM DETAILS RECOMMENDATION: City staff recommends the City Council adopt a resolution imposing a civil penalty. ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED? No No BACKGROUND/JUSTIFICATION: Wright County recently performed alcohol compliance checks on all licensed establishments in the City. Unfortunately, Mississippi Valley Bar & Grill did not pass their compliance check on July 25, 2024. An ID was requested by a Mississippi Valley Bar & Grill employee, however the Mississippi Valley Bar & Grill employee failed to read it properly and sold to an under aged person. Mississippi Valley Bar & Grill has not had a compliance check failure in the last two years. The City Code (Title 4, Chapter 1, Section 9) outlines a $1,000 civil penalty with no license suspension. City Code additionally outlines that Best Practices Training be completed within 60 days. The penalty is subject to City Council discretion. City staff recommends that the City Council adhere to the ordinance guidelines as outlined in the attached Resolution. SUPPORTING DOCUMENTS ATTACHED: • Resolution 2024-55 POSSIBLE MOTION PLEASE WORD MOTION AS YOU WOULD LIKE IT TO APPEAR IN THE MINUTES: Motion to adopt Resolution 2024-55 imposing a civil penalty and other sanctions on Mississippi Valley Bar & Grill. BUDGET INFORMATION FUNDING: BUDGETED: N/A N/A 1 CITY OF OTSEGO COUNTY OF WRIGHT STATE OF MINNESOTA RESOLUTION NO: 2024-55 IMPOSING A CIVIL PENALTY AND OTHER SANCTIONS ON MISSISSIPPI VALLEY BAR & GRILL WHEREAS, the Wright County Sheriff’s Department, along with Wright County Public Health Staff, conducted alcohol compliance checks within the City of Otsego; and WHEREAS, Wright County has informed the City by letter dated August 1, 2024, that Mississippi Valley Bar & Grill failed the alcohol compliance check on July 25, 2024; and WHEREAS, Wright County Public Health, along with the State of Minnesota Department of Public Safety strongly recommends that the City issue a penalty to the license holder; and WHEREAS, that said violation is by ordinance the first liquor violation for Mississippi Valley Bar & Grill as they have had no similar violations in the preceding two-year period; and WHEREAS, the City Council has authority granted to it under the provisions of Section 340A.415 of Minnesota Statutes to either revoke the license or permit, suspend the license or permit for up to 60 days, impose a civil penalty of up to $2,000.00 for each violation, or impose any combination of these sanctions; and WHEREAS, the City has adopted guidelines for enforcement of said authority which are contained in Otsego City Code, Section 4-1-9 Enforcement and Penalties; Suspension and Revocation of License, and which outline a $1,000.00 fine and Best Practices Training for a first violation, subject to Council discretion; and WHEREAS, the City Council finds that the imposition of a civil penalty and required training is necessary to send a message to the liquor establishments located within the City of Otsego that said liquor establishments must prevent the sale of alcohol to minors. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OTSEGO, MINNESOTA: 1. The City does hereby impose a civil penalty upon Mississippi Valley Bar & Grill in the amount of $1,000.00, payable immediately as well as mandatory Best Practices Training to be completed within 60 days and reported back to the City. In the event that all of the sanctions imposed above are not complied with as directed, the matter will be brought back to the City Council for imposition of additional conditions or penalties. 2. That the ownership of Mississippi Valley Bar & Grill is hereby directed to provide any and all additional training in proper alcohol sales to its staff in order to avoid further violations. 2 ADOPTED by the Otsego City Council this 12th day of August, 2024. MOTION BY: SECONDED BY: IN FAVOR: OPPOSED: CITY OF OTSEGO __________________________________ Jessica L. Stockamp, Mayor ATTEST: __________________________________ Audra Etzel, City Clerk