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HomeMy WebLinkAbout10A - 2am Liquor Sales Ordinanc MEETING DATE: AGENDA #: PREPARED BY: AGENDA ITEM: DISCUSSION: ISSUES: CITY COUNCIL AGENDA REPORT July 7, 2003 @ 10A Frank Boyles, City Manager CONSIDER APPROVAL OF AN ORDINANCE AMENDING THE PRIOR LAKE CITY CODE REGULATING HOURS FOR ON-SALE LIQUOR SALES, AND A REQUEST FROM CAPTAIN JACK'S TO AUTHORIZE ON-SALE LIQUOR HOURS UNTIL 2AM. History: Prior Lake City Code Section 301 regulates the sale of on-sale liquor. The hours for sale of on-sale liquor are established in the ordinance by referencing State Statutes 340A which regulates such matters state-wide. Before July 1st, the hours for liquor sales are 8am to 1am, Monday through Saturday, and noon to 1 am on Sundays. Current Circumstances: The legislature adopted new hours for the sale of on-sale liquor. The new hours allow sales from 8am to 2am, Monday through Saturday, and noon to 2am on Sundays. For an on-sale establishments to remain open pursuant to the new 2am provision, two things must happen: · The liquor licensee must apply to the state for a 2am extension and pay a fee of $200 to $600 dependent upon sales volume. · The City as part of the license application must confirm that the license has been approved at an official meeting of the local governing body and/or the City approves the sale of alcoholic beverages until 2am. Conclusion: Captain Jack's has submitted an application to a 2am on-sale license, and Hooligans has inquired about the extension as well. The Council could take one of three actions: 1. Approve the license request. Such action would allow Captain Jack's to sell until 2am seven days a week. In the future, other Prior Lake businesses that have a liquor license may seek a state extension pursuant to theprocess described above. 2. Amend the City Code to retain the present hours for on-sale liquor sales. 3. Amend the City Code to allow 2am sales on Friday and Saturday nights and the nights before holidays for some or all liquor licensees. The Council could treat on-sale establishments differently based upon their location. I believe that this approach could lead to problems between vendors, complicate enforcement efforts and confuse the public. Any change in the on-sale liquor hours will have an impact upon the Police Department. According to Chief O'Rourke, the 2am closing could necessitate 16200 Eagle Creek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (952) 447-4230 / Fax (952) 447-4245 1:\COUNCIL\AGNRPTS\2003\2AM LIQUOR SAbI!fStI).OOPPORTUNITY EMPLOYER ALTERNATIVES: (1) RECOMMENDED MOTION: modest additional overtime as our current schedule is more geared for 1 am closing. He believes that the key impact of the 2am closing will be to delay police activity for one hour, meaning that activities now occurring between 1 am and 2am will occur between 2am and 3am. Volume and response times are not expected to change dramatically. Few resident complaints are received regarding noise associated with 1 am closing. Those that are received are typically associated with larger volume weekends and holidays. We do not expect the 2am closing to dramatically increase such activity. Each year on-sale vendors within the City conduct a total of four to six outdoor events. City Code restricts these events to no later than midnight. The extension of on-sale hours will allow patrons of such events to remain in the establishment until 2am which will delay by one hour any impact their leaving has on the surrounding neighborhood. The Council may also wish to consider competition between Prior Lake businesses and those of neighboring cities. Shakopee has already taken action to allow 2am sales seven days a week. Savage is still considering the matter, but is not likely to act until they receive requests. The Council may wish to consider a "reasonable person" approach and consider 2am closing for Friday and Saturday nights and the evening before certain holidays. This approach is beneficial to the business owners, continues to protect residents during the traditional work week and entails less impact on the Police Department than extending the closing hours seven days a week. The City staff will be meeting with the neighborhood surrounding Captain Jack's on July 12th to discuss outdoor events, but I expect that the 2am question will also be discussed. (2) (3) Take no action which will automatically extend on-sale hours to 2am seven days a week. Adopt an ordinance retaining 1 am closing seven days a week. Adopt an ordinance authorizing 2am closing on Friday night, Saturday night and holiday eves. Alternative 3. Assuming the Council believes it has sufficient information, this alternative seems to best balance the interests of businesses, residents and the Police Department. The staff can continue to monitor this change and report back if problems arise which merit additional ordinance amendments. 1:\COUNCIL\AGNRPTS\2003\2AM LIQUOR SALES.DOC CITY OF PRIOR LAKE ORDINANCE NO. 03. XX AN ORDINANCE AMENDING SECTION 301 OF THE PRIOR LAKE CITY CODE REGULATING ON. SALE LIQUOR SALES The City Council of the City of Prior Lake does hereby ordain that: 1. Section 301-301 (3) of the Prior Lake City Code is hereby amended as follows: 301.301 (3) No sale of intoxicating liquor for consumption on the licensed premises many be made: · between one o'clock a.m. (1am) and eight o'clock am (Bam) on the days Monday through Friday. · between two o'clock a.m. (2am) and eight o'clock am (Bam) on Saturday and Sunday. · between two o'clock a.m. (2am) and eight o'clock am (8am) on New Year's Day, Memorial Day, Independence Day, Labor Day, Thanksgiving, and Christmas. This ordinance shall become effective from and after its passage and publication. Passed by the City Council of the City of Prior Lake this 7th day of July, 2003. ATTEST: City Manager Mayor Drafted By: City of Prior Lake 16200 Eagle Creek Avenue Prior Lake, MN 55372 r:\ordinanc\2am liquor sales.doc PAGE I 16200 Eagle Creek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (952) 447-4230 / Fax (952) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER JUN-26-2003 THU 11:03 AM IVEX MORTGAGE !vuUJ 11;:>\1Lo'1 uC}JiJJ UUCl1l 01 ruuu~ '::>W.CL)' FAX NO, 9522264877 P. 02/04 Minnesota Department of Pub tic Safety (form 901\- 2AM) ALCOHOL AND GAMBLING ENFORCEMENT DIVISION (AGED) 444 Cedar Street, Suite 133, St. Paul, MN 55101-5133 Telephone 651-296-6979 Fax 651-297-5259 TTY 651-282-6555 CERTIFICATION OF LIQUOR LICENSE OR APPLICATION FOR OPTIONAL 2 A.M. CLOSING LICENSE Llccn1le~s: Effective July 1,2003, complete this form to apply for optional 2 A.M. closing license and make check payable to AGED for he amount indicated below Wlder 2 A.M. Section. Note: New Intoxicating Liquor Licensees must also purchase a $20 buyers card before establishments will be approved by AGED to receive liquor shipm<..'1'l.ts from wholesalers. Make check payable to: AGED Citie! and/or Counties: You are required to submit this signed form to certify the issuance of all city issued on sale intoxicating liquor and/ or Sunday liquor licenses, and 3.2% malt liquor licenses. City/County must also sign this form for 2 A.M. closing license applicants. Name of City or County Issuing License i';!..t~ LAJL€.. License tYlJe: (check all that apply) On Sale Intoxicating 0 3.2% Malt Beveragc:U Sunday Liquoro 2 A.M. Oplion9i (On ~le l.iCl!'IUe fee S _J (3.2% Licel"llC Fee S..__) (Sundoy License Fee S New License 0 License Transfer 0 ._. SuspcnsionIRevocationlCanccl 0 (Fom\~ ucel\S4'C Na."e) (Give: Doltes) Licensee Name: t>OCK..S,(.:)c. I LLC,.. DOB ~_ Social Security # lcc.rponuion. partllCMir. (Le. or Individu:ll) Cf\PTA\N .3f(:~'s Trade Name ON Pp.,uo... ~~ Business Address 3l(~ C-r<,^ \-\\-s "'irL City P~Ic)el.. Lat<e. Zip Code _ S$~"')2. County $(.;> * Home Address Po &.~ $\3 P/-li\Jr..... 1.<<(( ;...m~ S~37.L Business Phoneqs2-L{~~-2~~3:...Home Phone Licensee's 'M1f Tax ID .s 3JIo g\l$""" (To IIpply for numI>c:o' called 6S 1-296-611') Iflicensee is a corporation, partnership, or LLC, complete the following for each partner/officer: C h . L _ ( ~q~ fttlr\4,-^ &~! \11.;\ _ (( $.1'.'PIv! P Ro~e'f- tj-'1-t! 41'i- qt3 .l.Nl., fkldL- lat4-, /?l.v SS3iL- PonMrlOm~N~ (rirst Middle LIISl) COB Sociul Sccuril)'lI AdcI~ P~i.t" lil, ,'{ C(2.~ W)~t';j.b"7...~JL~,v ~;! ^ddn::;oi 7" ~"'SoA' 7~ C,., ;SIAL fJj (<0/ (",!l(t!.-) rh.J ~ ~i eI~('\Cr -:J Vevov?rf I'llllner/O/Ticcr Nunc (f-irg, M'1dciie LlI~t) ~ .I&-~ 0013 l.\ 1 \ -1~ - (,.I{?~ S~illl S~(;"ril)'H S~eue... 'f L deN o/~L(-fo2.. 411-c'fD...7bSl. PannerJOlTieer Name . (First i"d~ Ld) 008 Social SccurityH Addlll'll'i >t <5Ce.. tHt"',.l....JI s~uf ~ f\COi ''''n..(,. U...:J/v~1 I' JJ!.(!V(~~.&inE .lMIQllif:!~~..II'lAS~_ltD.dt~_c;.!.r.tifi.ea.~...Q[!JQ.1JQr.. LiabjJ'~lniu.ou!..~..mJbi$ .form, .(D~s nol u pply if only applying for Optional 2 AM license) The Insurance Certilicate must contain aU of the (allowing; 1. Show the exact Licensee name (corporation. partnership, LLC etc.) and business address as shown on the liccns~. 2. Cover completely the license period set by the city/county 3S shown on the license. DYes Cl No During the past yeat has a swnmOnS been issued to the licensee under the Civil Liquor Liability Law. Worke~ Compe.Dsanolllnson'nce is also required by aU lice.sees: PleII$e complete tbe following: Workers Compensllbon rnsurande Co. Name _ _ Policy # , - Li~~I1~~B.'''PIlJYJ.!u~JQr_Qptill~..U...~M~~I~..De.M.~,~...~omplde..d1l..!Jll~gs~P$,~ I. fill out the above application completely and check 2 AM box above for license type. 2. Report your previous 12 months on sate alcoholic beverage gross receipts by checking one ofthe following: http://www.dps.state.mn.us/alcgamb/2%20am%20application.htm. 6/16/03 JUN-26-2003 THU 11:03 AM IVEX MORTGAGE . Mmnesota uepartment 01 Yubbc ~a.lety FAX NO. 9522264877 p, 03/04 LJ Up to $100,000 in on sale gross receipts for alcoholic beverages - $200 2 AM license fee Ii( Over S100,OOO but not over $500.000 in on sale gross receipts for alcoholic beverages - $SOO 2 AM license fee DOver $500,000 in on sale gross receipts for alcoholic beverages - $600 2 AM license fee [) 3.2 % Malt Liquor licensees or Set Up License Holders - $200 2 AM liceJ* fee CJ Did not sell intoxicating liquor for a full 12 months prior to this application - $200 2 AM liceD8e fee 3. Does your liquor liCI.'1l!lC issuing c.:ity/cty/township allow the sale of alcoholic beverages until 2 AM?12' Yes DNa 4. Make check payable to: Alcohol and Gambling Enforcement Division (AGED) for the amount indicated above that you have checked. Mail check and this completed and signed cet'tification/application form to the address above. I cc-rtif)1 that this license(s) has been approved. in an official mecting by the governing body of the city/county and/or the city/county approves the $:lIe ofalcohtllic beverages until 2 AM. Date Date (P - lB--D.3 ~n:cflhe .hove qWlgions lMhfully and cocrettly.) psQOII-2blfl 7/2003 l~-I Alcohol Enforcement Page Return to Alcohol & Gambling Enforcement http://www.dps.state.:mn.u...htlcgamb/2O/020am%20application.htm 6/16/03 JUN-26-2003 THU 11:03 AM IVEX MORTGAGE FAX NO, 9522264877 p, 04/04 ", j:)oc..I(S;Je) Ltc. - AJcfJ('+.()~ CHJr\e;.s DANi el... I;: ()' l(~.~Fe. ~2 g I Bt( (.fAIY\ Str~ef Sw PP-lul2... ~ fCe / (hN $Ss?L SJJ\J: \.Il~ -l~- 5"3G:.8 SCulT 6. 1/ Ci('\cffr~('1 Je~ 20 ~3 (<oj &t(e.. lXiw.- S~G.AN) Mr-J SS:I2.l- S5 {\J ~ '-1,(p - 88.; {o(Pll. House Research Act Summary Page 1 of3 House Research Act Summary CHAPTER: 126 SESSION: 2003 Regular Session TOPIC: Omnibus liquor bill Analyst: John Williams, 651-296-5045 Date: June 9, 2003 This publication can be made available in alternative formats upon request. Please call 651-296-6753 (voice); or the Minnesota State Relay Service at 1-800-627-3529 (TTY) for assistance. Summaries are also available on our website at: www.house.1eg.state.mn.us/hrd/hrd.htm. Section 1 2 3 4 5 6 7 Overview This act moves from 1 :00 a.m. to 2:00 a.m. the hour after which on-sales of alcoholic beverages may not be made. It also exempts most on-sale licenses from the statutory limits on the number of on-sale intoxicating liquor licenses a city may issue, but also allows named cities to issue additional licenses. It allows brewpubs (restaurants that brew beer on the premises) to sell their products at off- sale in 64-ounce containers. It allows on-sale licenses at the Elko speedway, the St. Louis county heritage and arts center in Duluth, and the Minnesota centennial showboat in St. Paul, and allows sale of Minnesota-produced wine at the State Fair. (Note: In this act the effective date of the change in hours for alcohol sale and consumption was set at August 1, 2003. A subsequent act in the 2003 special session changed that effective date to July 1, 2003, and required establishments wanting to sell or allow consumption of alcohol between 1 :00 a.m. and 2:00 a.m. to obtain a permit from the state. See Laws 2003, fIrst special session, chapter 19.) Definition of "theater." Defines "theater" as a building with an auditorium in which live dramatic, musical, dance, or literary performances are regularly presented to ticket holders. Brewpubs. Amends the law authorizing brewpubs (restaurants that brew beer on the premises) by (1) requiring that they produce only beer made with Minnesota-produced wor and (2) allowing them to sell their products at off-sale. Brewpubs; off-sale. Allows brewpubs to be issued off-sale licenses by municipalities. Limits off-sales by brewpubs to beer brewed on the premises and sold in 64-ounce containers known as "growlers." Limits off-sales to the same hours that apply to liquor stores. Requires containers of beer sold at off-sale by brewpubs to be sealed at the time of sale and the containers labeled to identify the brewer. Limits off-sales by brewpubs to not more than one-half their total production in a year, up to a maximum of 500 barrels. Prohibited transactions. Provides that the prohibition against brewers or beer wholesaler giving anything of value to a retailer is subject to exceptions in the law. Price posting. Allows liquor wholesaler prices filed with the department of public safety to be posted on the Monday following receipt, rather than the day following receipt.. Licenses for theaters. Allows cities to issue on-sale intoxicating liquor, wine, or beer licenses to a theater within the city, authorizing sales to person attending events at the theater. Minneapolis licenses. Authorizes Minneapolis to issue intoxicating liquor licenses to the Historic Pantages Theatre and the American Swedish Institute. Authorizes Minneapolis to http://www.house.leg.state.mn.uslhrd/as/83/as 126.html 6/26/03 1 House Research Act Summary Page 2 of3 10 issue winelbeer licenses to the Jungle Theater, the Guthrie Lab, and the Southern Theatre. Golf courses, 3.2 licenses. Allows 3.2 beer on-sale licenses to be issued to golf courses. City license limits. Provides that statutory limits on the number of on-sale intoxicating liquor licenses that a city may issue do not apply to licenses issued to hotels, restaurants, and bowling center. On-sale 3.2 beer hours of sale. Extends from I :00 a.m. to 2:00 a.m. the hour after which on-sales of 3.2 beer may not be made On-sale intoxicating liquor hours of sale. Extends from 1 :00 a.m. to 2:00 a.m. the hour after which on-sales of intoxicating liquor may not be made. On-sale intoxicating liquor hours of sale, Sundays. Extends from 1 :00 a.m. to 2:00 a.m. on Monday morning the hour after which on-sales of intoxicating liquor may not be made with a Sunday liquor license. Samples of intoxicating liquor. Amends the law allowing samples of alcoholic beverage~ to be dispensed in off-sale establishments, to (1) allow samples at on-sale as well as off-sal establishments, (2) exclude beer (covered in section below), and (3) allow a manufacturer ( wholesaler to provide the samples on the retail premises. Beer samplings. Allows samplings of beer at on-sale as well as off-sale establishments. Allows the beer to be furnished by brewers. Provides that advance reports of sampling to the department of public safety include the maximum amount of beer to be provided, rathel than the exact amount. Bottle sizes. Allows bottles of 50 milliliters (approximately 1. 7 ounces) of intoxicating liquor to be sold by golf courses and common carriers. Blaine licenses. Authorizes Blaine to issue 15 on-sale intoxicating liquor licenses in addition to the number authorized by law. Duluth license; museum. Authorizes Duluth to issue an on-sale intoxicating liquor license to the St. Louis County Heritage and Arts Center. Hastings licenses. Authorizes Hastings to issue 3 on-sale intoxicating liquor licenses in addition to the number authorized by law. Maple Grove licenses. Authorizes Maple Grove to issue 12 on-sale intoxicating liquor licenses in addition to the number authorized by law. St. Joseph licenses. Allows S1. Joseph to issue 3 on-sale intoxicating liquor licenses in addition to the number authorized by law. St. Michael licenses. Authorizes St. Michael to issue 5 on-sale intoxicating liquor license in addition to the number authorized by law. Sartelllicenses. Authorizes Sartell to issue 5 on-sale intoxicating liquor licenses in addition to the number authorized by law. Stillwater licenses. Allows Stillwater to issue 2 on-sale intoxicating liquor licenses in addition to the number authorized by law. Thief River Falls licenses. Allows Thief River Falls to issue one on-sale intoxicating liquor license in addition to the number authorized by law. Waconia licenses. Authorizes Waconia to issue 3 on-sale intoxicating liquor licenses in addition to the number authorized by law. Woodbury licenses. Authorizes Woodbury to issue 12 on-sale intoxicating liquor license~ in addition to the number authorized by law. St. Paul license; Minnesota Centennial Showboat. Authorizes S1. Paul to issue an on- sale intoxicating liquor license for the Minnesota Centennial Showboat. Elko Speedway license. Authorizes Elko to issue an on-sale intoxicating liquor license to the Elko Speedway notwithstanding statutory requirements that a licensed premises be compact and contiguous, as long as the premises are within the fenced grandstand area. State fair wine licenses. Allows St. Paul to issue on-sale wine licenses to concessionaires at the state fair for sale of Minnesota-produced wine in connection with the sale of food. 8 9 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 http://www.house.1eg.state.mn.us/hrd/as/83/as 1 26.html 6/26/03 House Research Act Summary Page 3 of3 30 Effective date. Makes all sections except those extending on-sale hours of sale effective immediately. Under existing law the hours of sale changes take effect August 1,2003. http://www.house.1eg.state.mn.uslhrd/as/83/ as 126.html 6/26/03 T Minnesota Session Laws 2003, Chapter 126 Minnesota Session Laws Minnesota Session Laws - 2003 Key: ltll1~1:lB.~G t5 he deletea...new language Change language enhancement display. Legislative history and Authors CHAPTER 126-H.F.No. 719 An act relating to liquor; allowing brewpubs to make off-sales of the brewpub's own product under certain circumstances; modifying a posting requirement; modifying licensing provisions; expanding sale hours; modifying sampling provisions; authorizing certain local on-sale licenses; amending Minnesota Statutes 2002, sections 340A.101, by adding a subdivision; 340A.301, subdivisions 6, 7; 340A.308; 340A.318, subdivision 3; 340A.404, subdivisions 1, 2; 340A.411, subdivision 1; 340A.413, subdivision 4; 340A.504, subdivisions 1, 2, 3; 340A.510, subdivisions 1, 2; 340A.511. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: Section 1. Minnesota Statutes 2002, section 340A.101, is amended by adding a subdivision to read: Subd. 27a. [THEATER.] "Theater" means a buildinq containing an auditorium in which live dramatic, musical, dance, or literary performances are regularly presented to holders of tickets for those performances. Sec. 2. Minnesota Statutes 2002, section 340A.301, subdivision 6, is amended to read: Subd. 6. [FEES.] The annual fees for licenses under this section are as follows: (a) Manufacturers (except as provided in clauses (b) and (c)) Duplicates (b) Manufacturers of wines of not more than 25 percent alcohol by volume (c) Brewers other than those described in clauses (d) and (i) (d) Brewers who also hold one or more retail on-sale licenses and who manufacture fewer than 3,500 barrels of malt liquor in a year, at anyone licensed premises, using only wort produced in Minnesota, the entire production of which is solely for consumption on tap on the licensed premises or for off-sale from that licensed premises. A brewer licensed under this clause must obtain a separate license for each licensed premises where the brewer brews malt liquor. A brewer licensed under this clause may not be licensed as an importer under this chapter $ 500 $15,000 $ 3,000 $ 500 $ 2,500 http://www.revisor.leg.state.mn.us/slawsI2003/c 126.html Page 1 of 10 6/26/03 Minnesota Session Laws 2003, Chapter 126 (e) Wholesalers (except as provided in clauses (f), (g), and (h)) Duplicates (f) Wholesalers of wines of not more than 25 percent alcohol by volume (g) Wholesalers of intoxicating malt liquor Duplicates (h) Wholesalers of 3.2 percent mal t liquor (i) Brewers who manufacture fewer than 2,000 barrels of malt liquor in a year $ 150 If a business licensed under this section is destroyed, or damaged to the extent that it cannot be carried on, or if it ceases because of the death or illness of the licensee, the commissioner may refund the license fee for the balance of the license period to the licensee or to the licensee's estate. Sec. 3. Minnesota Statutes 2002, section 340A.301, subdivision 7, is amended to read: Subd. 7. [INTEREST IN OTHER BUSINESS.] (a) Except as provided in this subdivision, a holder of a license as a manufacturer, brewer, importer, or wholesaler may not have any ownership, in whole or in part, in a business holding a retail intoxicating liquor or 3.2 percent malt liquor license. The commissioner may not issue a license under this section to a manufacturer, brewer, importer, or wholesaler if a retailer of intoxicating liquor has a direct or indirect interest in the manufacturer, brewer, importer, or wholesaler. A manufacturer or wholesaler of intoxicating liquor may use or have property rented for retail intoxicating liquor sales only if the manufacturer or wholesaler has owned the property continuously since November I, 1933. A retailer of intoxicating liquor may not use or have property rented for the manufacture or wholesaling of intoxicating liquor. (b) A brewer licensed under subdivision 6, clause (d), may be issued an on-sale intoxicating liquor or 3.2 percent malt liquor license by a municipality for a restaurant operated in the place of manufacture. H:<llt li~l.H~r },u;g"ga :g~. lill1tKlR :<l litKl9RlilgQ 1R:il~' R",t :g6il rglR",HQa fr"'lR tR6il litKlQRlilQQ @rQlRililQlil 'lRl6illillil tR6il lR:alt li~""'r ilil QRtQl::9'iil iR :<l t:<lliltiR:J tKlg~Qtiti"'R "RQrg R"'Rg ..,f tRg lR:illt li~1.l"'r lil'" rglR"'H~a ilil lil",l'iil Notwithstanding section 340A.405, a brewer who holds an on-sale license issued pursuant to this paragraph may, with the approval of the commissioner, be issued a license by a municipality for off-sale of malt liquor produced and packaged on the licensed premises. Off-sale of malt liquor shall be limited to the legal hours for off-sale at exclusive liquor stores in the jurisdiction in which the brewer is located, and the malt liquor sold off-sale must be removed from the premises before the applicable off-sale closing time at exclusive liquor stores. The malt liquor shall be packaged in 64-ounce containers commonly known as "growlers." The containers shall bear a twist type closure, cork, stopper, or plug. At the time of the sale, a paper or plastic adhesive band, strip, or sleeve shall be applied to the container and extend over the top of the twist type closure, cork, stopper, or plug forming a seal that must be broken upon opening of the container. The adhesive band, strip, or sleeve shall bear the name and address of the brewer. The containers shall be identified as malt liquor, contain the name of the malt liquor, bear the name and address of the brewer selling the malt liquor, $15,000 $ 3,000 $ 2,000 $ $ 600 25 $ 10 http://www.revisor.leg.state.Inn.us/slaws/2003/ c 126.html Page 2 of 10 6/26/03 Minnesota Session Laws 2003, Chapter 126 and shall be considered intoxicating liquor unless the alcoholic content is labeled as otherwise in accordance with the provisions of Minnesota Rules, part 7515.1100. A brewer's total retail sales at on- or off-sale under this paraqraph may not exceed 3,500 barrels per year, provided that off-sales may not total more than 50 percent of the brewer's production or 500 barrels, whichever is less. A brewer licensed under subdivision 6, clause (d), may hold or have an interest in other retail on-sale licenses, but may not have an ownership interest in whole or in part, or be an officer, director, agent, or employee of, any other manufacturer, brewer, importer, or wholesaler, or be an affiliate thereof whether the affiliation is corporate or by management, direction, or control. Notwithstanding this prohibition, a brewer licensed under subdivision 6, clause (d), may be an affiliate or subsidiary company of a brewer licensed in Minnesota or elsewhere if that brewer's only manufacture of malt liquor is: (i) manufacture licensed under subdivision 6, clause (d); (ii) manufacture in another state for consumption exclusively in a restaurant located in the place of manufacture; or (iii) manufacture in another state for consumption primarily in a restaurant located in or immediately adjacent to the place of manufacture if the brewer was licensed under subdivision 6, clause (d), on January 1, 1995. (c) Except as provided in subdivision 7a, no brewer as defined in subdivision 7a or importer may have any interest, in whole or in part, directly or indirectly, in the license, business, assets, or corporate stock of a licensed malt liquor wholesaler. Sec. 4. Minnesota Statutes 2002, section 340A.308, is amended to read: 340A.308 [PROHIBITED TRANSACTIONS.] (a) Except as otherwise provided in section 340A.301, no brewer or malt liquor wholesaler may directly or indirectly, or through an affiliate or subsidiary company, or through an officer, director, stockholder, or partner: (1) give, or lend money, credit, or other thing of value to a retailer; (2) give, lend, lease, or sell furnishing or equipment to a retailer; (3) have an interest in a retail license; or (4) be bound for the repayment of a loan to a retailer. (b) No retailer may solicit any equipment, fixture, supplies, money, or other thing of value from a brewer or malt liquor wholesaler if furnishing of these items by the brewer or wholesaler is prohibited by law and the retailer knew or had reason to know that the furnishing is prohibited by law. (c) This section does not prohibit a manufacturer or wholesaler from: (1) furnishing, lending, or renting to a retailer outside signs, of a cost of up to $400 excluding installation and repair costs; (2) furnishing, lending, or renting to a retailer inside signs and other promotional material, of a cost of up to $300 in a year; (3) furnishing to or maintaining for a retailer equipment for dispensing malt liquor, including tap trailers, cold plates and other dispensing equipment, of a cost of up to $100 per tap in a year; http://www.revisor.leg.state.mn.us/slawsI2003/c 126 .html Page 3 of 10 6/26/03 Minnesota Session Laws 2003, Chapter 126 (4) using or renting property owned continually since November 1, 1933, for the purpose of selling intoxicating or 3.2 percent malt liquor at retail; (5) extending customary commercial credit to a retailer in connection with a sale of nonalcoholic beverages only, or engaging in cooperative advertising agreements with a retailer in connection with the sale of nonalcoholic beverages only; or (6) in the case of a wholesaler, with the prior written consent of the commissioner, selling beer on consignment to a holder of a temporary license under section 340A.403, subdivision 2, or 340A.404, subdivision 10. Sec. 5. Minnesota Statutes 2002, section 340A.318, subdivision 3, is amended to read: Subd. 3. [POSTING; NOTICE.] Verified lists or statements required by subdivision 2 shall be posted by the commissioner in offices of the department in places available for public inspection not later than the ~ Monday following receipt. Documents posted shall constitute notice to every distiller, manufacturer, or wholesaler of the information posted. Actual notice, however received, also constitutes notice. Sec. 6. Minnesota Statutes 2002, section 340A.404, subdivision I, is amended to read: Subdivision 1. [CITIES.] (a) A city may issue an on-sale intoxicating liquor license to the following establishments located within its jurisdiction: (1) hotels; (2) restaurants; (3) bowling centers; (4) clubs or congressionally chartered veterans organizations with the approval of the commissioner, provided that the organization has been in existence for at least three years and liquor sales will only be to members and bona fide guests; (5) sports facilities located on land owned by the metropolitan sports commission; and (6) exclusive liquor stores. (b) A city may issue an on-sale intoxicating liquor license, an on-sale wine license, or an on-sale malt liquor license to a theater within the city, notwithstanding any law, local ordinance, or charter provision. A license issued under this paragraph authorizes sales on all days of the week to persons attending events at the theater. Sec. 7. Minnesota Statutes 2002, section 340A.404, subdivision 2, is amended to read: Subd. 2. [SPECIAL PROVISION; CITY OF MINNEAPOLIS.] (a) The city of Minneapolis may issue an on-sale intoxicating liquor license to the Guthrie Theater, the Cricket Theatre, the Orpheum Theatre, ~ the State Theatre, and the Historic Pantages Theatre, notwithstanding the limitations of law, or local ordinance, or charter provision relating to zoning or school or church distances. The licenses authorize sales on all days of the week to holders of tickets for performances presented by the theaters and to members of the nonprofit corporations holding the licenses and to their guests. (b) The city of Minneapolis may issue an intoxicating liquor license to 510 Groveland Associates, a Minnesota cooperative, for use by a restaurant on the premises owned by 510 Groveland Associates, notwithstanding limitations of law, or local ordinance, or charter provision. (c) The city of Minneapolis may issue an on-sale http://www.revisor.leg.state.mn.us/slawsI2003/ c 126 .html Page 4 of 10 6/26/03 Minnesota Session Laws 2003, Chapter 126 intoxicating liquor license to Zuhrah Shrine Temple for use on the premises owned by Zuhrah Shrine Temple at 2540 Park Avenue South in Minneapolis, and to the American Swedish Institute for use on the premises owned by the American Swedish Institute at 2600 Park Avenue South, notwithstanding limitations of law, or local ordinances, or charter provision relating to zoning or school or church distances. (d) The city of Minneapolis may issue an on-sale intoxicating liquor license to the American Association of University Women, Minneapolis branch, for use on the premises owned by the American Association of University Women, Minneapolis branch, at 2115 Stevens Avenue South in Minneapolis, notwithstanding limitations of law, or local ordinances, or charter provisions relating to zoning or school or church distances. (e) The city of Minneapolis may issue an on-sale wine license and an on-sale 3.2 percent malt liquor license to a restaurant located at 5000 Penn Avenue South, and an on-sale wine license and an on-sale malt liquor license to a restaurant located at 1931 Nicollet Avenue South, notwithstanding any law or local ordinance or charter provision. (f) The city of Minneapolis may issue an on-sale wine license and an on-sale malt liquor license to the Brave New Workshop Theatre located at 3001 Hennepin Avenue South, the Theatre de la Jeune Lune, the Illusion Theatre located at 528 Hennepin Avenue South, the Hollywood Theatre located at 2815 Johnson Street Northeast, the Loring Playhouse located at 1633 Hennepin Avenue South, ~ the Jungle Theater located at 2951 Lyndale Avenue South, Brave New Institute located at 2605 Hennepin Avenue South, the Guthrie Lab located at 700 North First Street, and the Southern Theatre located at 1420 Washington Avenue South, notwithstanding any law or local ordinance or charter provision. The license authorizes sales on all days of the week. (g) The city of Minneapolis may issue an on-sale intoxicating liquor license to University Gateway Corporation, a Minnesota nonprofit corporation, for use by a restaurant or catering operator at the building owned and operated by the University Gateway Corporation on the University of Minnesota campus, notwithstanding limitations of law, or local ordinance or charter provision. The license authorizes sales on all days of the week. Sec. 8. Minnesota Statutes 2002, section 340A.411, subdivision 1, is amended to read: subdivision 1. [ON-SALE LICENSES.] On-sale 3.2 percent malt liquor licenses may only be issued to drugstores, restaurants, hotels, clubs, bowling centers, golf courses, and establishments used exclusively for the sale of 3.2 percent malt liquor with the incidental sale of tobacco and soft drinks. Sec. 9. Minnesota Statutes 2002, section 340A.413, subdivision 4, is amended to read: Subd. 4. [EXCLUSIONS FROM LICENSE LIMITS.] On-sale intoxicating liquor licenses may be issued to the following entities by a city, in addition to the number authorized by this section: (1) clubs, or congressionally chartered veterans organizations; (2) restaurants lQ~2ltg~ At 2l r2l~gtrA~k li~~nl.ii1g~ 'lRggr ~RAptgr :HQ; (3) establishments that are issued licenses to sell wine http://www.revisor.leg.state.mn.us/slawsI2003/c 126 .html ~--- Page 5 of 10 6/26/03 Minnesota Session Laws 2003, Chapter 126 under section 340A.404, subdivision 5; ~ (4) theaters that are issued licenses under section 340A. 404. Ii01.l.};oH,'li"i"ioR J1- (5) hotelsi and (6) bowling centers. Sec. 10. Minnesota Statutes 2002, section 340A.504, subdivision 1, is amended to read: Subdivision 1. [3.2 PERCENT MALT LIQUOR.] No sale of 3.2 percent malt liquor may be made between ~ 2:00 a.m. and 8:00 a.m. on the days of Monday through Saturday, nor between ~ 2:00 a.m. and 12:00 noon on Sunday, provided that an establishment located on land owned by the metropolitan sports commission, or the sports arena for which one or more licenses have been issued under section 340A.404, subdivision 2, paragraph (c), may sell 3.2 percent malt liquor between 10:00 a.m. and 12:00 noon on a Sunday on which a sports or other event is scheduled to begin at that location on or before 1:00 p.m. of that day. Sec. 11. Minnesota Statutes 2002, section 340A.504, subdivision 2, is amended to read: Subd. 2. [INTOXICATING LIQUORi ON-SALE.] No sale of intoxicating liquor for consumption on the licensed premises may be made: (1) between ~ 2:00 a.m. and 8:00 a.m. on the days of Monday through SaturdaYi (2) after ~ 2:00 a.m. on Sundays, except as provided by subdivision 3. Sec. 12. Minnesota Statutes 2002, section 340A.504, subdivision 3, is amended to read: Subd. 3. [INTOXICATING LIQUORi SUNDAY SALESi ON-SALE.] (a) A restaurant, club, bowling center, or hotel with a seating capacity for at least 30 persons and which holds an on-sale intoxicating liquor license may sell intoxicating liquor for consumption on the premises in conjunction with the sale of food between the hours of 12:00 noon on Sundays and ~ 2:00 a.m. on Mondays. (b) The governing body of a municipality may after one public hearing by ordinance permit a restaurant, hotel, bowling center, or club to sell alcoholic beverages for consumption on the premises in conjunction with the sale of food between the hours of 10:00 a.m. on Sundays and ~ 2:00 a.m. on Mondays, provided that the licensee is in conformance with the Minnesota Clean Air Act. (c) An establishment serving intoxicating liquor on Sundays must obtain a Sunday license. The license must be issued by the governing body of the municipality for a period of one year, and the fee for the license may not exceed $200. (d) A city may issue a Sunday intoxicating liquor license only if authorized to do so by the voters of the city voting on the question at a general or special election. A county may issue a Sunday intoxicating liquor license in a town only if authorized to do so by the voters of the town as provided in paragraph (e). A county may issue a Sunday intoxicating liquor license in unorganized territory only if authorized to do so by the voters of the election precinct that contains the licensed premises, voting on the question at a general or special election. (e) An election conducted in a town on the question of the issuance by the county of Sunday sales licenses to establishments located in the town must be held on the day of http://www.revisor.leg.state.mn.us/slaws/2003/ c 126.html T Page 6 of 10 6/26/03 Minnesota Session Laws 2003, Chapter 126 the annual election of town officers. (f) Voter approval is not required for licenses issued by the metropolitan airports commission or common carrier licenses issued by the commissioner. Common carriers serving intoxicating liquor on Sunday must obtain a Sunday license from the commissioner at an annual fee of $50, plus $20 for each duplicate. Sec. 13. Minnesota Statutes 2002, section 340A.510, subdivision 1, is amended to read: Subdivision 1. [SAMPLES FOR OTHER THAN MALT LIQUOR AUTHORIZED.] On- or off-sale lig~Rggg retail licensees and municipal liquor stores may provide, or permit a licensed manufacturer or a wholesaler or its agents to provide on the premises of the retail licensee or municipal liquor store, samples of m:alt li~'H~r, wine, liqueurs, cordials, and distilled spirits which the retail licensee or municipal liquor store currently has in stock and is offering for sale to the general public without obtaining an additional license, provided the wine, liqueur, cordial, and distilled spirits samples are dispensed at no charge and consumed on the licensed premises during the permitted hours of gff gAlg sale in a quantity less than 1QQ millilitgrlil gf malt li'!ygr pgr ..:;trigty pgr gYliltgmgr, 50 milliliters of wine per variety per customer, 25 milliliters of liqueur or cordial, and 15 milliliters of distilled spirits per variety per customer. Sec. 14. Minnesota Statutes 2002, section 340A.510, subdivision 2, is amended to read: Subd. 2. [MALT LIQUOR ~T~I~W~Q ~QR ~~MP~IN~ SAMPLES AUTHORIZED.] (a) Notwithstanding section 340A.308, "itg rglilp~gt gRl", tg lil:;tmp1iR3 Autggriliiga 'lRagr lilulo1ai'.ililigR 1, a brewer may purchase from or furnish at no cost to :aR gff g:alg a licensed retailer malt liquor the brewer manufactures if: (1) the malt liquor is dispensed by the retailer only for tAgtiRgg Autggriliiga ~Ragr lilulo1ai"igiQR 1 samples in a quantity of less than 100 milliliters of malt liquor per variety per customer; (2) where the brewer furnishes the malt liquor, the retailer makes available for return to the brewer any unused malt liquor and empty containers; (3) the samples are dispensed by an employee of the retailer or brewer or by a sampling service retained by the retailer or brewer and not affiliated directly or indirectly with a malt liquor wholesaler; (4) tgg lo1rg"'~r f'lrRigggg not more than three cases of malt liquor are purchased from or furnished to the retailer by the brewer for each sampling; (5) each sampling continues for not more than eight hours; (6) the brewer has furnished malt liquor for not more than five samplings for any retailer in any calendar year; (7) where the brewer furnishes the malt liquor, the brewer delivers the malt liquor for the sampling to its exclusive wholesaler for that malt liquor; (8) the brewer has at least seven days before the sampling filed with the commissioner, on a form the commissioner prescribes, written notice of intent to furnish malt liquor for the sampling, which contains (i) the name and address of the retailer conducting the sampling, (ii) the maximum amount of malt liquor ~ to be furnished or purchased by the brewer, (iii) the number of times the brewer has furnished malt liquor to the retailer in the calendar year in which the notice is http://www.revisor.leg.state.mn.us/slawsI2003/ c 126 .html Page 7 of 10 6/26/03 Minnesota Session Laws 2003, Chapter 126 filed, (iv) the date and time of the sampling, (v) where the brewer furnishes the malt liquor, the exclusive wholesaler to whom the brewer will deliver the malt liquor, and (vi) a statement by the brewer to the effect that to the brewer's knowledge all requirements of this section have been or will be complied with; and (9) the commissioner has not notified the brewer filing the notice under clause (8) that the commissioner disapproves the notice. (b) For purposes of this subdivision, "licensed retailer" means a licensed on-sale or off-sale retailer of alcoholic beverages and a municipal liquor store tR~t ggllg At gff gAlg. Sec. 15. Minnesota Statutes 2002, section 340A.511, is amended to read: 340A.511 [CERTAIN SIZES MAY BE SOLD.] ~ An off-sale retailer of intoxicating liquor may sell distilled spirits in bottles of 50 milliliters. (b) An on-sale intoxicating liquor licensee whose licensed premises includes a golf course or who is a common carrier may dispense distilled spirits from 50-milliliter bottles. Sec. 16. [CITY OF BLAINE; ON-SALE LICENSES.] The city of Blaine may issue 15 on-sale intoxicating liquor licenses in addition to the number authorized by law. All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section, apply to the licenses authorized by this section. Sec. 17. [CITY OF DULUTHj ON-SALE LICENSE.] The city of Duluth may issue one on-sale intoxicating liquor license in addition to the number authorized by law for the St. Louis County Heritage and Arts Center, commonly known as the Duluth Depot. All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section, apply to the license authorized by this section. Sec. 18. [CITY OF HASTINGS; ON-SALE LICENSES.] The city of Hastings may issue three on-sale intoxicating liquor licenses in addition to the number authorized by law. All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section, apply to the licenses authorized by this section. Sec. 19. [CITY OF MAPLE GROVEj ON-SALE LICENSES.] The city of Maple Grove may issue 12 on-sale intoxicating liquor licenses in addition to the number authorized by law. All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section, apply to the licenses authorized under this section. Sec. 20. [CITY OF ST. JOSEPHj ON-SALE LICENSES.] The city of St. Joseph may issue three on-sale intoxicating liquor licenses in addition to the number authorized by law. All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section, apply to the licenses authorized by this section. Sec. 21. [CITY OF ST. MICHAELj ON-SALE LICENSES.] The city of St. Michael may issue five on-sale liquor licenses in addition to the number authorized by law. All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section, apply to the licenses authorized under this section. Sec. 22. [CITY OF SARTELL; ON-SALE LICENSES.] The city of Sartell may issue five on-sale intoxicating liquor licenses in addition to the number authorized by law. http://www.revisor.leg.state.mn.us/slaws/2003/c 126.html T Page 8 of 10 6/26/03 Minnesota Session Laws 2003, Chapter 126 All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section, apply to the licenses authorized by this section. Sec. 23. [CITY OF STILLWATER; ON-SALE LICENSES.] The city of Stillwater may issue two on-sale intoxicating liquor licenses in addition to the number authorized by law. All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section, apply to the licenses authorized under this section. Sec. 24. [CITY OF THIEF RIVER FALLS; ON-SALE LICENSE.] The city of Thief River Falls may issue one on-sale intoxicatinq liquor license in addition to the number authorized by law. All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section apply to the licenses authorized by this section. Sec. 25. [CITY OF WACONIA; ON-SALE LICENSES.] The city of waconia may issue three on-sale intoxicatinq liquor licenses in addition to the number authorized by law. All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section, apply to the licenses authorized under this section. Sec. 26. [CITY OF WOODBURY; ON-SALE LICENSES.] The city of Woodbury may issue 12 on-sale intoxicatinq liquor licenses in addition to the number authorized by law. All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section, apply to the licenses authorized by this section. Sec. 27. [MINNESOTA CENTENNIAL SHOWBOAT.] The city of St. Paul may issue an on-sale intoxicating liquor license for the Minnesota Centennial Showboat, moored at 110 Yacht Club Road, Harriet Island, notwithstanding any law, local ordinance, or charter provision. The license must be issued to a holder of a river tour boat license under Minnesota Statutes, section 340A.404, subdivision 8. The license authorizes sales on all days of the week. Sec. 28. [ELKO SPEEDWAY; ON-SALE LICENSE.] Notwithstanding Minnesota Statutes, section 340A.404, subdivision 1, the city of Elko may issue an on-sale intoxicatinq liquor license to the Elko Speedway in addition to the number authorized by law. The license may authorize sales only to persons attendinq racinq events at the speedway. All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this provision, apply to the license authorized under this section. The license may be issued for a space that is not compact and contiguous, provided that the licensed premises may include only the space within the fenced grandstand area as described in the approved license application. Sec. 29. [WINE LICENSES; STATE FAIR.] (a) Notwithstanding Minnesota Statutes, sections 37.21 and 340A.412, subdivision 4, paraqraph (a), clause (3), the city of St. Paul may issue a license to the holder of a state fair concessions contract with the state agricultural society which authorizes the licensee to sell Minnesota-produced wine by the glass at the state fair in connection with the sale of food by the concessionaire. All provisions of Minnesota Statutes, chapter 340A, not inconsistent herewith, apply to licenses issued under this section. (b) For purposes of this section "Minnesota-produced wine" means wine produced by a farm winery licensed under Minnesota Statutes, section 340A.315, and made from at least 75 percent http://www.revisor.leg.state.mn.us/slawsI2003/ c 126.html Page 9 of 10 6/26/03 Minnesota Session Laws 2003, Chapter 126 Minnesota-grown grapes, grape juice, other fruit bases, other juices, and honey. Sec. 30. [EFFECTIVE DATE.] Sections 1 to 9 and 13 to 29 are effective the day following final enactment. Presented to the governor May 24, 2003 Signed by the governor May 28, 2003, 1:39 p.m. http://www.revisor.leg.state.mn.us/slawsI2003/cI26.html Page 10 of 10 6/26/03