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HomeMy WebLinkAbout5E Tobacco Ordinance Amendment t~ l)i PRIO4,1 4646 Dakota Street SE Prior Lake,MN 55372 4r so CITY COUNCIL AGENDA REPORT MEETING DATE: JULY,13 2015 AGENDA#: 5E PREPARED BY: MARK ELLIOTT, CHIEF OF POLICE PRESENTED BY: MARK ELLIOTT, CHIEF OF POLICE AGENDA ITEM: CONSIDER APPROVAL OF AN ORDINANCE AMENDING SECTION 308 OF THE PRIOR LAKE CITY CODE RELATING TO TOBACCO DISCUSSION: Introduction The purpose of this agenda item is to amend the city tobacco ordinance section 308.803(2) Civil Penalties, and section 308.903 Instructional Program. History The tobacco ordinance has not been updated in several years. There seems to be a desire to amend the ordinance to have it more reflective of neighboring cities penalties. Minnesota statute 461.12 Municipal License of Tobacco, Tobacco-related Devices, and Similar Products, allows cities to set tobacco ordinance provisions and administrative penalties. Regulations issued by the U.S. Food and Drug Administration (FDA) require tobacco retailers to sell cigarettes and smokeless tobacco only to people age 18 and older. Minnesota law requires that all tobacco vendors be licensed and have at least one unannounced tobacco compliance check conducted annually. A compliance check is a tool to identify tobacco retail establishments that sell tobacco to underage youth. A person under age 18 attempts to purchase a tobacco product while a law enforcement officer observes or waits outside the premises. The underage person is instructed to not attempt to look older or lie about their age or use a false ID. If the young person is successful in purchasing tobacco, the enforcement agent issues a criminal citation to the clerk and an administrative citation to the license holder. Regular compliance checks enforce this regulation and help create a social norm that purchasing tobacco is illegal for youth under the age of 18. In 2014 the police department conducted compliance checks on two separate dates. 21 checks were completed with 2 failures, both first violations. Also last year we had one violation discovered that was not during a compliance check, but through an officers observation. That violation was a second violation within 36 months for that business. During that investigation the clerk who sold to the minor claimed to have checked the ID of the minor several months prior and believed that the minor was of legal age and relied on her recollection of that prior transaction as proof of age for the violation sale. Phone 952.447.9800 / Fax 952.447.4245/www.cityofpriorlake.com Current Circumstances Recently there was some discussion about the City of Prior Lake's tobacco ordinance penalties and whether they were consistent with other community's penalties. After the last license suspension imposed by the city council for a violation, the business expressed concern that under the current ordinance, another violation would mean a revocation of their license and effectively, put the store out of business due to the economic impact of a two year revocation. This issue was referred to the Community Safety Advisory Committee. After reviewing ordinances from several other surrounding cities, and subsequent discussion regarding the civil penalties for tobacco violations, the Community Safety Advisory Committee has made the following recommendations: 308.803 (2) Civil Penalties: Each license issued hereunder shall be subject to suspension or revocation for violation of any provisions of this chapter or the laws of the state of Minnesota as follows: a. First Violation: The first violation of this chapter shall be punishable by a civil penalty of five hundred dollars ($500.00) and a suspension of the license for three (3) consecutive days. b. Second Violation: A second violation of this chapter within any twenty four (24) month period shall be punishable by a civil penalty of seven hundred fifty dollars ($750.00) and a suspension of the license for five (5) consecutive days. c. Third Violation: A third violation of this chapter within any twenty four(24) month period shall be punishable by a civil penalty of one thousand dollars ($1,000.00) and a suspension of the license for ten (10) days. d. Subsequent Violation: A fourth or subsequent violation of this chapter within any thirty six (36) month period may be punishable by revocation of the license. Any licensee whose license is revoked under this section shall not be eligible for renewal for a period of two (2) license years after the revocation. This information was presented to the city council at the June 22, 2015 meeting and the council asked for several additional changes to the proposed ordinance amendment. Specifically that permissive language in the penalties be changed to restrictive, make the third violation penalty consecutive days, and language requiring checking ID's on every transaction be included in the ordinance. As such the following changes were made with additional language highlighted and removed language stricken: 2 308.803 (2) Civil Penalties: Each license issued hereunder shall be subject to suspension or revocation for violation of any provisions of this chapter or the laws of the state of Minnesota as follows: a. First Violation: The first violation of this chapter shall be punishable by a civil penalty of five hundred dollars ($500.00) and a suspension of the license for three (3) consecutive days. b. Second Violation: A second violation of this chapter within any twenty four(24) month period shall be punishable by a civil penalty of seven hundred fifty dollars ($750.00) and a suspension of the license for five (5) consecutive days. c. Third Violation: A third violation of this chapter within any twenty four (24) month period shall be punishable by a civil penalty of one thousand dollars ($1,000.00) and a suspension of the license for ten (10) consecutive days. d. Subsequent Violation: A fourth or subsequent violation of this chapter within any thirty six (36) month period ma.y shall be punishable by revocation of the license. Any licensee whose license is revoked under this section shall not be eligible for renewal for a period of two (2) license years after the revocation. 308.309 Instructional Program. No person shall be issued a license or renewal license to sell tobacco- related products unless an applicant or license holder has an approved program for instructing all employees at the business premises for which the license was issued, in the legal requirements pertaining to the sale of tobacco-related products, including, but not limited to, reviewing the law on the sale of tobacco-related products, providing information on the health risks of using tobacco-related products, and requiring employees to request identification from every customer who appears to be under 27 years of age on every transaction. No license shall be issued unless the applicant or license holder signs a City form attesting that each employee of the applicant or license holder has received training and instruction on the sale of tobacco-related products and the date such training occurred. The training shall include information that the sale of tobacco-related products to minors is illegal, explains what proof of age is legally acceptable, and that a sale to a minor can subject the applicant or license holder and their employees to criminal and/or civil liability. Conclusion 3 It is recommended that the city amend the city code, section 308, as per recommended by the Community Safety Advisory Committee and amended by the City Council. ISSUES: These penalties were taken from Lakeville's ordinances and are similar to some other south metro cities. Compared to the current ordinance, the penalties to the license holder are more severe on the front end but adds an additional violation before a license revocation takes place. The following changes were made. Instead of having a 36 month look back period the proposed ordinance has a 24 month except for step 4. The proposed first step now has both a fine penalty and suspension rather than fine only. The second step had a suspension of up to 21 days rather than the five called for in the new ordinance. The third step was revocation for two years. Prior Lake was the only community the committee looked at that had a revocation in step 3.The new third step is $1000 and 10 consecutive days. Only in the fourth step is there a mandatory two year revocation for four violations within a 36 month period. Attached is a Tobacco Penalty survey completed for other area cities for council information. The issue of what level of fine and license suspension or revocation is appropriate for each violation is at the discretion of the city council. The public safety goal is to have full compliance through diligent business practices adopted by the license holder and followed by the business employees. The license holder should have a training program for each employee, and business practices that encourage compliance with the law. The city ordinance should have penalties that deter violations in a manner that is fair and equitable and encourages compliance by the license holder and the businesses employees. There appeared to be council consensus on all of the highlighted changes. The single item that received some discussion without a unified conclusion was whether to include suspension for the first violation and the number of days of the suspension if included. Owing to the lack of consensus and the length of tonight's agenda the staff took the liberty of retaining the suspension at three days as originally proposed by the CSAC and placed this item on the consent agenda for disposition. Any councilmember can, of course, remove the item from consent if desired. FINANCIAL No financial impact IMPACT: ALTERNATIVES: 1. Adopt the Ordinance amendments to Section 308 as recommended by the Community Safety Advisory Committee and City Council. 2. Adopt another amendment to Section 308. 3. Leave The Ordinance as it currently is. 4 4. Deny this agenda item for a specific reason and provide staff with direction. RECOMMENDED Motion and second to approve Alternative #las part of the consent MOTION: agenda. 5 Local Tobacco Violation Penalties Prior Lake Bloomington Burnsville Lakeville Savage Shakopee Waconia State 1st $150-500 $250 $500+3 $500+3 $500+ $500+ $75 $75 Viol day susp day susp 3day susp 1day susp 2nd $700+7- $500 $500+ $500+ $750+ $750+ $200 $200 Viol 21 day 5day susp 5day susp 5day susp 5day susp susp 3rd Revocation $600+7day $1000+10 $1000+10 $1000+ $1000+ $250+ $250 Viol for 2 years susp day susp day susp 10day susp 30day 7day + susp susp 7day susp 4th Revoke or, Revocation Revocation $2000+12 revocation Viol $2000+up day susp up to 12 to 60 day Revocation mo susp on 5th Time 36 mo 5 years 1-3, 24mo/ 1-3, 24mo/ 1-3,24mo/ 36 mo 24 mo 24 frame 4th, 36 mo 4th, 36 mo 4th+, 36 mo mo 6 Ot '104 6 tri4646 Dakota Street SE 40Mvsso'tr Prior Lake,MN 55372 RESOLUTION 15- A RESOLUTION APPROVING THE SUMMARY OF ORDINANCE NO. AND ORDERING THE PUBLICATION OF SAID SUMMARY Motion By: Second By: WHEREAS, On July 13, 2015 the City Council adopted Ordinance No. amending Part 3 of the Prior Lake City Code by amending portions of subsection 308.803 relating to civil penalties for tobacco license violations and subsection 308.309 relating to instructional program; and WHEREAS, Minnesota Statutes requires publication of an Ordinance in the official newspaper before it becomes effective; and WHEREAS, Minnesota Statutes also allows the publication of a summary of an ordinance if the Council finds that the summary is an accurate representation of the Ordinance; and WHEREAS, The City Council desires to publish a summary of the amendments to Part 3 of the Prior Lake City Code and has determined the publication of a summary of this ordinance will meet the intent of the statute. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporated herein. 2. Ordinance No. is lengthy. 3. The text of summary of Ordinance No. , attached hereto as Exhibit A, conforms to M.S. § 331A.01, Subd. 10, and is approved, and publication of the title and summary of the Ordinance will clearly inform the public of the intent and effect of the Ordinance. 4. The title and summary shall be published once in the Prior Lake American in a body type no smaller than brevier or eight-point type. 5. A complete text of the newly amended City Code will be available for inspection at City Hall or in the Document Center on the City of Prior Lake Website after PASSED AND ADOPTED THIS 13th DAY OF JULY 2015 VOTE Hedberg Keeney McGuire Morton Thompson Aye ❑ ❑ ❑ ❑ ❑ Nay ❑ ❑ ❑ ❑ ❑ Absent ❑ ❑ ❑ ❑ ❑ Abstain ❑ ❑ ❑ ❑ ❑ Frank Boyles, City Manager Exhibit A SUMMARY ORDINANCE NO. CITY OF PRIOR LAKE ORDINANCE NO. AN ORDINANCE AMENDING PART 3 OF THE PRIOR LAKE CITY CODE BY AMENDING SUBSECTION 308.803 RELATING TO CIVIL PENALTIES FOR TOBACCO LICENSE VIOLATIONS, AND SUBSECTION 308.903 RELATING TO INSTRUCTIONAL PROGRAM. The following is only a summary of Ordinance No. . The full text will be available for public inspection after by any person during regular office hours at City Hall or in the Document Center on the City of Prior Lake Website. SUMMARY: The Ordinance amends subsection 308.803 relating to the civil penalties for tobacco license violations, and subsection 308.309 relating to instructional program;. This ordinance shall become effective from and after its passage and publication. Passed by the City Council of the City of Prior Lake this 13th Day of July 2015. ATTEST: Frank Boyles, City Manager Kenneth L. Hedberg, Mayor Summary published in the Prior Lake American on the day of , 2015. 2 PRip601 4646 Dakota Street SE Prior Lake. MN 55372 4f/NNEso'tt* CITY OF PRIOR LAKE ORDINANCE NO. AN ORDINANCE AMENDING PART 3 OF THE PRIOR LAKE CITY CODE BY AMENDING SUBSECTION 308.803 RELATING TO CIVIL PENALTIES FOR TOBACCO LICENSE VIOLATIONS AND SUBSECTION 308.309 RELATING TO INSTRUCTIONAL PROGRAM. THE CITY COUNCIL OF THE CITY OF PRIOR LAKE, MINNESOTA, ORDAINS: Section 1. City Code Section 308 is hereby amended by deleting subsection 308.803 (2) in its entirety and replacing it with the following: (2) Civil Penalties: Each license issued hereunder shall be subject to suspension or revocation for violation of any provisions of this chapter or the laws of the state of Minnesota as follows: a. First Violation: The first violation of this chapter shall be punishable by a civil penalty of five hundred dollars ($500.00) and a suspension of the license for three (3) consecutive days. b. Second Violation: A second violation of this chapter within any twenty four (24)month period shall be punishable by a civil penalty of seven hundred fifty dollars ($750.00) and a suspension of the license for five (5) consecutive days. c. Third Violation: A third violation of this chapter within any twenty four (24) month period shall be punishable by a civil penalty of one thousand dollars ($1,000.00) and a suspension of the license for ten(10) consecutive days. d. Subsequent Violation: A fourth or subsequent violation of this chapter within any thirty six (36) month period shall be punishable by revocation of the license. Any licensee whose license is revoked under this section shall not be eligible for renewal for a period of two (2) license years after the revocation. Section 2. City Code Section 308 is hereby amended by deleting subsection 308.903 in its entirety and replacing it with the following: Instructional Program: No person shall be issued a license or renewal license to sell tobacco-related products unless an applicant or license holder has an approved program for instructing all employees at the business premises for which the license was issued, in the legal requirements pertaining to the sale of tobacco-related products, including, but not limited to, reviewing the law on the sale of tobacco-related products, providing information on the health risks of using tobacco-related products, and requiring employees to request identification from every customer who appears to be under 27 years of age on every transaction. No license shall be issued unless the applicant or license holder signs a City form attesting that each employee of the applicant or license holder has received training and instruction on the sale of tobacco-related products and the date such training occurred. The training shall include information that the sale of tobacco-related products to minors is illegal, explains what proof of age is legally acceptable, and that a sale to a minor can subject the applicant or license holder and their employees to criminal and/or civil liability. Section 3. This ordinance shall become effective from and after its passage and publication. Passed by the City Council of the City of Prior Lake this day of , 2015. ATTEST: Frank Boyles, City Manager Kenneth L. Hedberg, Mayor Summary published in the Prior Lake American on the day of , 2015. Page 2 of 2