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HomeMy WebLinkAbout7A Lakers Hearing Report Phone 952.447.9800 / Fax 952.447.4245 / www.cityofpriorlake.com 4646 Dakota Street SE Prior Lake, MN 55372 CITY COUNCIL AGENDA REPORT MEETING DATE: NOVEMBER 6, 2017 AGENDA #: 7A PREPARED BY: FRANK BOYLES, CITY MANAGER; MARK ELLIOTT, POLICE CHIEF PRESENTED BY: MARK ELLIOTT, POLICE CHIEF AGENDA ITEM: PUBLIC HEARING TO CONSIDER LAKERS TAVERN AND PIZZA LIQUOR LICENSE VIOLATION APPEAL DISCUSSION: Introduction This agenda item is an appeal by the Liquor license holder for a violation of city ordinance section 301. On December 18, 2016 the business failed an alcohol compliance check. Following the criminal conviction of the server for the violation a letter was sent to the license holder advising them of the ordinance violation and penalty for a first-time violation ($1000 fine, $500 stayed for no similar violations in one year and a one day license suspension). The license holder has appealed the penalty and requested a hearing before the city council. History The Prior Lake Police Department conducts compliance checks as required by state law twice each year for all on and off sale liquor license holders. The purpose of these compliance checks is to ensure that the licensed businesses are following state law and city ordinance in only serving alcohol to customers of legal drinking age. City Ordinance 301 states that license holders are required to provide training to their employees on proper ID checking protocols. In 2015 the city reviewed the liquor ordinance which included a review of peer and neighboring cities, and a review by the city Community Safety Advisory Committee. Some changes were made to the ordinance based on the recommendations of the committee in bringing the penalties in line with neighboring cities. The committee felt it was important that the penalties were reflective of the seriousness of the issue and the important role the liquor serving establishments play in keeping alcohol out of the hands of minors. The City Council agreed and passed the ordinance with the new penalty structure on August 10, 2015. The ordinance defines, “presumptive” civil penalties which apply to certain types and in some cases the frequency of violations over a multi-year period. Subsection 301.1703 (1) is as follows:” Presumptive Civil Penalties; Purpose. “The purpose of this subsection is to establish a standard by which the city council determines the length of license suspension, the propriety of revocations, and the amount of fines, and shall apply to all premise licensed under this section. These penalties are presumed to be appropriate for every case; however, the council may deviate in an individual case where the council finds there exist substantial reasons making it appropriate to deviate, such as, but not limited to a license holder’s efforts in combination by the State or city to prevent the sale of alcohol related products to minors. When suspending or revoking a license or imposing a fine for a violation of this section, the council will provide written findings that support the penalty which is selected. Further when deviating from the standard set forth herein, the council shall set forth in writing the rationale for the deviation.” Subsection 301.1703 (2) “Presumptive Penalties for Violations” states:” The minimum penalties for civil violations as determined by the city council shall be presumed as follows (unless specified, number indicate consecutive days suspension):” In the case of a first-time violation of selling alcohol to a minor individual, the ordinance provides for a one day suspension of the license and a $1000 fine. If there are no same or similar violations within one year, $500 of the fine is suspended and ultimately dismissed. Current Circumstances On 12/18/2016 at 4:38pm the PLPD conducted compliance checks of on-sale liquor license holders. On this date two license holders failed the checks. At Lakers Tavern, an underage operative 19 years old entered the business and sat with a licensed police officer in plain clothes. The server took their order and the underage operative ordered a beer. The server did not request to see id or ask the operatives age. The server returned and gave the beer to the operative. The server was identified and issued a summons for serving to an underage person. The server plead guilty to the violation in Scott County court. Conclusion The violation letter and request for appeal are attached to this item. The city council should hear the staff report and ask any questions they might have. The hearing should then be opened to allow anyone to address this topic. Following that the council should close the public hearing and determine if they believe that the penalty should be other than the ordinance minimum. If so the council’s rationale should be included in the minutes pursuant to the code. ISSUES: As set forth above, the server pled guilty to sale to liquor to a minor. The City code is intended to address both the server and the business. The server’s violation has been addressed by the courts. The business owner has requested that the city council reduce the penalty to the business. The rational for the reduction is the restaurant had just opened, the server was new and the business was overwhelmed by the amount of business. The owner also believes that the penalty is harsh for a first-time violation. FINANCIAL IMPACT: No financial impact ALTERNATIVES: 1. Motion and second to follow the ordinance and impose the fine of $1000, $500 stayed if there are no violations within 1 year, and a one (1) day suspension of the liquor license. 2. Motion and second to impose a different sanction and the rationale therefore. RECOMMENDED MOTION: Alternative #1 U PRI S, Px E'4646 Dakota Street SE I Prior Lake, MN 55372 9 52.9 49.9 80 0 | www.cityofpriorlake.com tr,tvllrsol ! September '19, 20'17 Lakers Tavern and Pizza LLC 15750 Highway 13 South Prior Lake, MN 55372 Thomas Zimmeth 15721 Mitchell Circle SE Prior Lake, IVN 55372 Donna Mankowski 15721 Mitchell Circle SE Prior Lake, MN 55372 Dear License Holder, On 12118116 the police department conducted an alcohol sale compliance check at Lakers Tavern, During the check an employee served a beer to an operative that was 19 years old. This transaction was witnessed by a police officer. The officer made contact with the employee and identified her. A charge of sale to an underage person was submitted to the Scott County Attomey, The employee entered a guilty plea in court and was sentenced for the violation. The sale of alcohol to a person under age 21 is a violation of your liquor license issued by the City of Prior Lake (city ordinance 301.1600s2). Per city ordinance the penalty for the flrst violation is a one (1) day suspension of the liquor license and a $'1000 fine, $500 stayed if no same or similar violations occur within a year. You may request a hearing before the city council on this penalty, A request for a hearing shall be made by the license holder in writing and filed with the City Manager within ten 10 days of the mailing of the notice of violation. lf no request for a hearing is made in that time the penalty will be imposed an invoice will be mailed to you. At that time the police chief or his designee will contact you about arranging the suspension date, lf you have questions about the violation, or the process contact the Chief of Police, Mark Elliott, at 952- 440-3555. Frank B nagerCity '(Vc tofT L a I> KCTS Tavern es Pizza September 29, 2017 Frank Boyles city of Prio{ Lake 4 6 Dakota St SE Prior Lake, MN 55372 Frank, We received the notice about the f2hSlLG compliance check at Lakers Tavern and the pending penalties. We would like to request a hearing before the city council as we feel the penalty of 1 day suspension and S100O fine is very steep for a first time offense. We were in our flrst month of being open and were ovenrvhelmed with the response from customers during the first weeks of being open. The employee was new and has never had a violation like this before either. She felt so bad that she missed work at her full time job and didn't come back to work for us for 3 weeks' She is very aware of her mistake and will not serve a minor again. We also have passed other compliance checks since that time. Please let us know what, ifanything else, we need to do to set up a hearing. Thank you Thomas Zimmeth Lakers Tavern & Pizza 15750 Hwy 13 South Prior Lake, MN 55372 Phone 952.447.9800 / Fax 952.447.4245 / www.cityofpriorlake.com 4646 Dakota Street SE Prior Lake, MN 55372 October 4, 2017 Mr. Thomas Zimmeth Lakers Tavern & Pizza 15750 Hwy 13 South Prior Lake, MN 55372 Dear Mr. Zimmth: I have received your request of a hearing regarding the liquor license violation issued by the City of Prior Lake. I have scheduled this hearing at the Monday, November 6, 2017 City Council meeting which begins at 7:00 p.m. in the Prior Lake City Hall Council Chambers. I am attaching for your information a copy of the Prior Lake City Code Section 301 relating to Liquor Control. At the November 6, 2017 hearing the City Council will expect you to explain the grounds for your requested reconsideration of the penalty. Please let me know if you have any questions or if your schedule precludes you from an appeal hearing on November 6, 2017. Sincerely, Frank Boyles City Manager CC: Police Chief Elliott Business Regulations City of Prior Lake 301/p1 SECTION 301 LIQUOR CONTROL SUBSECTIONS: 301.100: PROVISIONS OF STATE LAW ADOPTED 301.200: DEFINITIONS 301.300: LICENSE TYPES 301.400: LICENSE REQUIRED AND PROHIBITED SALES 301.500: APPLICATION FOR LICENSE 301.600: DENIALS 301.700: RENEWALS 301.800: TERM 301.900: TRANSFERS 301.1000: NON-EMPLOYEES ON PREMISES 301.1100: DISPLAY 301.1200: RIGHT OF INSPECTION 301.1300: MOVEABLE PLACE OF BUSINESS 301.1400: OUTDOOR AREAS IN ON-SALE ESTABLISHMENTS 301.1500: PROHIBITIONS 301.1600: OBSCENITY AND NUDITY 301.1700: CIVIL VIOLATIONS AND PENALTIES 301.1800: HEARING ON DENIAL OR VIOLATIONS 301.1900: CRIMINAL VIOLATIONS AND PENALTIES 301.2000: AFFIRMATIVE DEFENSE 301.2100: COMPLIANCE CHECKS 301.2200: SEVERABILITY 301.100: Provisions Of State Law Adopted: The provisions of Minnesota Statutes, Chapter 340A, relating to alcohol are adopted and made a part of this Section as if fully set forth. Except to the extent the provisions of this Section are more restrictive, the provisions of Minnesota Statutes, Chapter 340A, as may be amended, regarding the terms, licensing, consumption, sales, hours of sale, and all other matters pertaining to the retail sale, distribution, and consumption of intoxicating liquor and 3.2 percent malt liquor are adopted and made a part of this Section as if set out in full. (Amd. Ord 105-21 – pub 9/17/05) 301.200: Definitions: The following words and terms when used in this Section shall have the following meanings unless the context clearly indicates otherwise: Alcohol-related product: Any food or beverage containing more than one-half of one percent (0.5%) alcohol by volume, including but not limited to intoxicating liquor, malt liquor, and wine. Applicant: A person who completes or signs an application for a license to sell alcohol-related products under this Section. Business Regulations City of Prior Lake 301/p2 Bowling Center. An establishment where the primary business is bowling, other family recreational activities and equipment sales including, but not limited to, bowling, arcade games, and billiards; and where food, beverage, and vending sales are offered and served. A bowling center must have a minimum of 12 lanes of bowling available and a minimum of 50% of the bowling center’s square footage dedicated to bowling, which includes, but is not limited to, the bowling lanes, approach to the bowling lanes, settee area, mechanical area for pin machines, locker area for bowling balls, counter space for bowling business transactions, and the bowling pro shop. Brew pub. A brewer who also holds one or more retail on-sale licenses and who manufactures fewer than 3,500 barrels of malt liquor in a year at any one licensed premises, the entire production of which is solely for consumption on tap on any licensed premises owned by the brewer as permitted by Minnesota Statutes § 340A.24, subdivision 1, or for off-sale from those licensed premises as permitted by Minnesota Statutes § 340A.24, subdivision 2. Brewer. A person who manufacturers malt liquor for sale. Brewer Taproom. An establishment located on the premises of or adjacent to one brewery location owned by a brewer licensed under Minnesota Statutes § 340A.301, subdivision 6, clause (c), (i), or (j) where the on-sale and consumption of malt liquor produced by the brewer is permitted pursuant to Minnesota Statutes § 340A.26. Club. An incorporated organization organized under the laws of the state for civic, fraternal, social, or business purposes, for intellectual improvement, or for the promotion of sports, or a congressionally chartered veterans' organization, each of which: (1) has more than 30 members; (2) has owned or rented a building or space in a building for more than one year that is suitable and adequate for the accommodation of its members; and (3) is directed by a board of directors, executive committee, or other similar body chosen by the members at a meeting held for that purpose. No member, officer, agent, or employee shall receive any profit from the distribution or sale of beverages to the members of the club, or their guests, beyond a reasonable salary or wages fixed and voted each year by the governing body. Cocktail Room. An establishment on the premises of or adjacent to one distillery location owned by a distiller, where the on-sale of distilled spirits produced by the distiller is permitted pursuant to Minnesota Statutes § 340A.22. Distilled Spirits. Ethyl alcohol, hydrated oxide of ethyl, spirits of wine, whiskey, rum, brandy, gin, and other distilled spirits, including all dilutions and mixtures thereof, for nonindustrial use. Distiller. A person who manufacturers distilled spirits for sale. Exclusive Liquor Store: An establishment used exclusively for the sale of those items authorized in Minnesota Statutes § 340A.412, Subd. 14. Business Regulations City of Prior Lake 301/p3 On-Site Food Service: Regular service of meals prepared on the premises and served on-site at tables to the general public. Prepackaged snack foods do not qualify as on-site food service. Growler. Malt liquor sold off-sale by a small brewer or brew pub, which has been produced and packaged by the brewer in 64-ounce containers commonly known as growlers or in 750 milliliter bottles. Hotel. Any establishment having a resident proprietor or manager where: (i) in consideration of payment food and lodging are regularly furnished; (ii) which maintains for the use of its guests not less than 25 guest rooms with bedding and other usual, suitable and necessary furnishings in each room; (iii)_which has a main entrance with a suitable lobby, desk and office for the registration of its guests on the ground floor; (iv) which employs an adequate staff to provide suitable and usual service; and (v) which maintains under the same management and control as the rest of the establishment and has, as an integral part thereof, a dining room with appropriate facilities for seating not less than 30 guests at one time, where the general public is, in consideration of payment served meals at tables. Intoxicating Liquor: Ethyl alcohol, distilled, fermented, spirituous, vinous, and malt beverages containing more than three and two-tenths percent (3.2%) of alcohol by weight. Licensed Premises: The premises described in the approved license application under this Section. In the case of on-sale licenses located on a golf course, licensed premises means the entire golf course except for areas where motor vehicles are regularly parked or operated. License Holder: An applicant who, pursuant to an approved application, holds a valid, current, unexpired license to sell alcohol-related products under this Section, which has neither been revoked nor suspended. For the purposes of this Section, license holder also includes owners, agents and employees of the license holder. Manufacturer. Any person who, by any process of manufacturing, fermenting, brewing, distilling, refining, rectifying, blending, or by the combination of different materials, prepares or produces alcohol-related products for sale. Malt Liquor. Any beer, ale, or other beverage made from malt by fermentation and containing not less than one half of one percent alcohol by volume. 3.2% Malt Liquor. Malt liquor containing not less than one half of one percent alcohol by volume nor more than 3.2% alcohol by weight. Microdistillery. A distillery operated within the state producing premium, distilled spirits in total quantity not to exceed 40,000 proof gallons in a calendar year, which distillery is licensed under Minnesota Statutes Chapter 340A. Business Regulations City of Prior Lake 301/p4 Off-Sale: The sale of alcohol-related products in original packages for consumption off the licensed premises only. On-Sale: The sale of alcohol-related products for consumption on the licensed premises only. Original Package. The bottle or sealed container in which the alcohol-related product is placed by the manufacturer. Person: One (1) or more natural persons; a partnership, including a limited partnership; a corporation, including a foreign, domestic, or nonprofit corporation; a limited liability company; a trust; a political subdivision of the State; or any other entity. Restaurant. An establishment, other than a hotel, under the control of a single proprietor or manager, where on-site food service is provided to the general public, and having a minimum seating capacity of 20 guests Small Brewer. A brewer licensed under Minnesota Statutes § 340A.301, subdivision 6, clause (c), (i), or (j) who also holds a retail license to sell off-sale malt liquor at its licensed premises which has been produced and packaged by the brewer where the off-sale of malt liquor produced by the brewer is permitted pursuant to Minnesota Statutes § 340A.28. Wholesaler. Any person who is engaged in the business of selling alcohol-related products to retail dealers. Wine. The product made from the normal alcoholic fermentation of grapes, including still wine, sparkling and carbonated wine, wine made from condensed grape must, wine made from other agricultural products than sound, ripe grapes, imitation wine, compounds sold as wine, vermouth, cider, perry and sake, in each instance containing not less than one half of one percent nor more than 24% alcohol by volume for nonindustrial use. 301.300: License Types: The following types of licenses may be available from the City for the sale of alcohol-related products: 301.301 On-Sale Intoxicating Liquor License: A license for on-sale of intoxicating liquor may be issued only to hotels, restaurants, bowling centers, clubs or congressionally chartered veterans organizations. A license may be issued to a congressionally chartered veterans’ organization only if it has been in existence for at least three (3) years and intoxicating liquor sales will only be to members and bona fide guests. On-sale intoxicating liquor licenses are subject to the following conditions: 1) Where the licensed premises is a free standing building, the building (exclusive of land) shall have a minimum valuation of $100,000 as established by the Scott County Assessors determination of fair market value; Business Regulations City of Prior Lake 301/p5 2) No on-sale of intoxicating liquor may be made after 2 a.m. or before 8 a.m. Monday through Saturday. No on-sale of intoxicating liquor may be made after 2 a.m. on Sunday without an on-sale Sunday liquor license. 301.302 Off-Sale Intoxicating Liquor License: A license for off-sale of intoxicating liquor may be issued only to exclusive liquor stores. No off-sale of intoxicating liquor may be made before 8 a.m. or after 10 p.m. Monday through Saturday, on Thanksgiving Day, on Christmas Day, or after 8 p.m. on Christmas Eve. No off-sale of intoxicating liquor may be made on Sundays, except between the hours of 11:00 a.m. and 6:00 p.m. (Ord. Amd. 117-09, publ. 05.27.2017) 301.303 On-Sale 3.2 Percent Malt Liquor. A license for on-sale of 3.2 percent malt liquor may be issued. No sale of 3.2 percent malt liquor may be made after 2 a.m. or before 8 a.m. Monday through Saturday, nor between 2 a.m. and 10 a.m. on Sunday. 301.304 Off-Sale 3.2 Percent Malt Liquor License. A license for off-sale of 3.2 percent malt liquor may be issued. No sale of 3.2 percent malt liquor may be made after 2 a.m. or before 8 a.m. Monday through Saturday, nor between 2 a.m. and 10 a.m. on Sunday. 301.305 On-Sale Malt Liquor Brewer Taproom License. A license for on-sale of malt liquor may be issued to brewer taprooms. On-sale malt liquor brewer taproom licenses are subject to all conditions and restrictions contained in Minnesota Statutes § 340A.26. No on-sale of malt liquor may be made after 2 a.m. or before 8 a.m. Monday through Saturday. No on-sale of malt liquor may be made after 2 a.m. on Sunday without an on-sale Sunday liquor license. 301.306 Off-Sale Malt Liquor Small Brewer (Growler) License. A license for off-sale of malt liquor may be issued to small brewers. Off-sale malt liquor small brewer licenses are subject to all conditions and restrictions contained in Minnesota Statutes §§ 340A.28 and 340A.285. No off-sale of malt liquor may be made before 8 a.m. or after 10 p.m. Monday through Saturday, on Thanksgiving Day, on Christmas Day, or after 8 p.m. on Christmas Eve. No off-sale of malt liquor may be made on Sundays, except that malt liquor in growlers only may be sold off-sale on Sundays between the hours of 8 a.m. and 10 p.m. 301.307 On-Sale Brew Pub License. A license for on-sale of intoxicating liquor or 3.2 malt liquor may be issued to brew pubs for a restaurant operated in the place of manufacture. On-sale brew pub licenses are subject to all conditions and restrictions contained in Minnesota Statutes § 340A.24. No on-sale of intoxicating liquor may be made after 2 a.m. or before 8 a.m. Monday through Saturday. No on-sale of intoxicating liquor may be made after 2 a.m. on Sunday without an on- sale Sunday liquor license. No sale of 3.2 percent malt liquor may be made after 2 a.m. or before 8 a.m. Monday through Saturday, nor between 2 a.m. and 10 a.m. on Sunday. 301.308 Off-Sale Malt Liquor Brew Pub (Growler) License. A license for off-sale of malt liquor may be issued to brew pubs for a restaurant operated in the place of manufacture. Off-sale malt liquor brew pub licenses are subject to all conditions Business Regulations City of Prior Lake 301/p6 and restrictions contained in Minnesota Statutes §§ 340A.24 and 340A.285. No off- sale of malt liquor may be made before 8 a.m. or after 10 p.m. Monday through Saturday, on Thanksgiving Day, on Christmas Day, or after 8 p.m. on Christmas Eve. No off-sale of malt liquor may be made or at any time on Sundays, except that malt liquor in growlers only may be sold off-sale on Sundays between the hours of 8 a.m. and 10 p.m. 301.309 On-Sale Wine License. A license for on-sale of wine may be issued to restaurants having facilities for seating and providing on-site food service for at least twenty-five 25) guests at one time. Notwithstanding the prohibition contained in subsection 301.400, the holder of an on-sale wine license who also holds an on-sale 3.2 percent malt liquor license may sell malt liquor containing in excess of 3.2% of alcohol by weight at on-sale without an additional license. No on-sale of wine may be made after 2 a.m. or before 8 a.m. Monday through Sunday. 301.310 On-Sale Cocktail Room License. A license for on-sale of distilled spirits may be issued to a cocktail room. Cocktail room licenses are subject to all conditions and restrictions contained in Minnesota Statutes § 340A.22. No on-sale of intoxicating liquor may be made after 2 a.m. or before 8 a.m. Monday through Saturday. No on-sale of intoxicating liquor may be made after 2 a.m. on Sunday. 301.311 Off-Sale Microdistillery License. A license for off-sale of distilled spirits may be issued to a microdistillery. Microdistillery off-sale licenses are subject to all conditions and restrictions contained in Minnesota Statutes § 340A.22. No off-sale of intoxicating liquor may be made before 8 a.m. or after 10 p.m. Monday through Saturday, on Thanksgiving Day, on Christmas Day, or after 8 p.m. on Christmas Eve. No off-sale of intoxicating liquor may be made on Sundays. 301.312 On-Sale Sunday License. A license for on-sale of intoxicating liquor on Sunday may be issued to a hotel, bowling center, club, or restaurant, to which an on-sale intoxicating liquor license has been issued. Such licenses may permit the sale of alcohol-related products to be consumed on the premises between the hours of 8:00 a.m. on Sunday and 2:00 a.m. on Monday in conjunction with on-site food service provided that the license holder is in conformance with the Minnesota Clean Air Act and provided a public hearing is held prior to the issuance of the license. No Sunday license is needed for on-sale of 3.2 percent malt liquor or on-sale of wine. Amd. Ord. 04-29, pub. 10/23/05) 301.313 Temporary On-Sale Intoxicating Liquor License. A license for temporary on-sale of intoxicating liquor in connection with a social event within the City sponsored by the license holder may be issued to: (1) a club or charitable, religious or nonprofit organization, comprised of at least 35 members, in existence for at least three (3) years, or (2) a political committee registered under Minn. Stat. §10A.14. 1) The license may authorize the sale of alcohol-related products for not more than four (4) consecutive days, and may authorize sales on premises other than premises the license holder owns or permanently occupies. The license may provide that the license holder may contract for catering services with the holder of a full-year on-sale license issued by the City. The licenses are subject to the terms, including license fee, imposed by the City. In addition to any terms and conditions Business Regulations City of Prior Lake 301/p7 that the City Council may impose as a condition of approval for a temporary on-sale license, the licenses issued under this subsection are subject to all laws and ordinances governing the sale of alcohol-related products except Minnesota Statute 340A.409 and §340A.504, subd. 3, paragraph (d). Temporary licenses must be approved by the Minnesota Commissioner of Public Safety before they become valid. 2) The City may not issue more than three (3) four-day temporary licenses, four (4) three-day licenses, six (6) two-day licenses, or twelve (12) one-day licenses, in any combination not to exceed 12 days per year to any one organization or for any one location. No more than one temporary license may be issued to any one organization or for any one location within any 30-day period, unless the licenses are issued in connection with an official community festival, designated as such by the City. 301.314 Temporary On-Sale Malt Liquor Licenses. A license for temporary on-sale of 3.2 percent malt liquor may be issued to a club or charitable, religious, or nonprofit organization. (Amd. Ord. 105-21 – pub 9/17/05) 301.400: License Required and Prohibited Sales: 301.401 License. No person shall directly or indirectly, on any pretense or by any device, sell, barter, keep for sale, charge for possession or otherwise dispose of any alcohol-related products at any place in the City without first obtaining a license as provided by this Section and paying the accompanying license fee. This subsection does not apply to (1) to possession or handling for sale or otherwise of sacramental wine or to any representative of any religious order or for use in connection with a legitimate religious ceremony; (2) to such potable liquors as are prescribed by licensed physicians and dentists for therapeutic purposes; (3) to industrial alcohol and its compounds not prepared or used for beverage purposes; or (4) to sales by manufacturers to wholesalers duly licensed as such by the State of Minnesota and to sales by wholesalers to persons holding on-sale or off-sale licenses from the City. 301.402 Prohibited Sales. No person shall sell, offer for sale, give away, furnish, or otherwise deliver any alcohol-related product: 1) To any person under the age of twenty-one (21) years. 2) By any means, or to any other person, prohibited by Federal, State, or local law, ordinance provision, or other regulation. 301.403 Instructional Program. Other than temporary licenses issued under subsections 301.313 and 301.314, no person shall be issued a license or renewal license to sell alcohol-related products unless the applicant has a program for instructing all employees in the legal requirements pertaining to the sale of alcohol-related products, including, but not limited to, reviewing the law on the sale of alcohol- related products, providing information on the health risks of using alcohol-related products, and requiring employees to request identification where age may be in doubt. The training shall include information that the sale of alcohol-related products to minors is illegal, what proof of age is legally acceptable, and that a sale to a minor Business Regulations City of Prior Lake 301/p8 can subject the applicant or license holder and their employees to criminal and/or civil liability. At the request of the City, a license holder or applicant shall provide copies of written and other materials used in connection with the program. 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 alcohol-related products and the date such training occurred. Any new employee of the license holder who begins employment during the license period shall participate in the training prior to serving or selling any alcohol-related product. 301.500: Application for and issuance of License: 301.501 Application: An application for a license to sell alcohol-related products shall be made on a form prescribed by the proper Department of the State of Minnesota, together with such additional information as the City may desire. If State forms are not prescribed, then applications shall be made on forms provided by the City. Information required may vary with the type of entity making application. All questions asked or information required by the application forms shall be answered fully and completely by the applicant. No person shall make a false statement in an application. The completed application along with the documents described herein, shall be submitted to the City Manager or designee for approval by the City Council. 301.502 Documents to Accompany Application. At the time of application, the following shall be provided by the applicant: 1) License Fee. Each application for a license shall include proof of payment of the license fee. The license fee shall be determined by the City Council and set forth in the City Fee Schedule. License fees which are in excess of $500.00 and are issued for less than a full year may be prorated on a monthly basis based on the date of issuance of the license. The license fee is non-refundable except as provided in Minnesota Statute § 340A.408, Subd. 5. 2) Investigation Fee. Applications for an initial license or transfer of an existing license shall also include payment of an investigation fee of Five Hundred ($500.00) dollars. If an investigation outside of the State of Minnesota is required, the applicant shall pay the $500 fee plus all actual costs of the out of State investigation, prior to consideration of the license application by the City Council. The investigation fee is non-refundable. Applications for the following licenses do not require an investigation fee: i) temporary licenses issued under subsections 301.313 and 301.314; ii) off-sale malt liquor small brewer license issued under subsection 301.306 provided that concurrent with the application, applicant pays an investigation fee for an on-sale malt liquor brewer taproom license under subsection 301.305; iii) off-sale malt liquor brew pub license issued under subsection 301.308 provided that concurrent with the application, applicant pays an investigation fee for an on-sale brew pub license under subsection 301.307; iv) off-sale microdistillery license issued under subsection 301.311 provided that concurrent with the application, applicant pays an investigation fee for an on-sale cocktail room license subsection 301.310; v) on-sale Sunday license issued under subsection 301.312. Business Regulations City of Prior Lake 301/p9 3) Legal Documents. All applications shall be accompanied by copies of each summons received by the applicant under Minnesota Statute § 340A.802 during the preceding year. 4) General Liability Insurance. Licenses shall be issued, maintained, or renewed only if the applicant or license holder demonstrates financial responsibility as defined in Minnesota Statute § 340A.409 for the applicant’s liability under Minnesota Statute § 340A.801 (“Dram shop liability”). Such proof of financial responsibility shall be filed with the Minnesota Commissioner of Public Safety and a copy filed with the City with the application for a license. The sale of alcohol-related products without having on file with the City effective proof of financial responsibility is subject to the provisions of subsection 301.1704. Proof of financial responsibility shall be given by: (i) a certificate that there is in effect for the license period an insurance policy or pool providing at least $500,000 of coverage because of bodily injury to any one person in any one occurrence, $1,000,000 because of bodily injury to two or more persons in any one occurrence, $500,000 because of injury to or destruction of property of others in any one occurrence, $500,000 for loss of means of support of any one person in any one occurrence, and $1,000,000.00 for loss of means of support of two or more persons in any one occurrence; (ii) a bond of a surety company with minimum coverage as provided in (i); or (iii) a certificate of the State Treasurer that the license holder has deposited with him $100,000.00 in cash or securities which may legally be purchased by savings bank or trust funds having a market value of $100,000.00. The proof of financial responsibility shall provide that the insurer or holder will provide the City with thirty (30) days’ notice prior to the termination or any change in coverage. Proof of financial responsibility is not required for licensees identified by Minnesota Statute § 340A.409, Subd. 4; provided that the required affidavit is provided by the applicant prior to issuance of the license. 5) Workers’ Compensation Insurance. The policy limits for workers’ compensation insurance shall be as provided for by state law. 6) Partial Refund. In circumstances where an existing license holder discontinues its license before the expiration date and a new license is issued for the same location for the remainder of the license period, a pro rata refund of the discontinued license for the remainder of the license term may be granted at the discretion of the City Council subject to the following: a. The request for refund shall be made during the term for which the discontinued license was issued. b. A refund will be considered only for license fees not for investigation fees. c. If the pro rata refund is less than $1,000 no refund shall be issued. d. An administrative fee of $400 shall be charged for every refund. e. The reason the license was discontinued is a result of the issuance of a new license at the same location. f. License discontinuation is not the result of a violation of this Section. Ord 107-04 – adopted 1/27/07) 7) Corporate Applicants and License Holders. A corporate applicant, at the time of application, shall furnish the City with a list of all persons that have an interest in Business Regulations City of Prior Lake 301/p10 such corporation and the extent of such interest. The list shall name all shareholders holding more than five percent (5%) of all issued and outstanding stock of the corporation and show the number of shares held by each, either individually or beneficially for others. It is the duty of each corporate license holder to notify the City in writing of any change in legal ownership or beneficial interest in such corporation or in such shares. The notice of such change must be given within ten 10) days of its occurrence. Any change in the ownership or beneficial interest in the shares entitled to be voted at a meeting of the shareholders of a corporate license holder, which results in the change of voting control of the corporation by the persons owning the shares therein, shall be deemed equivalent to a transfer of the license issued to the corporation. The Council or any officer of the City designated by it may at any reasonable time examine the stock transfer records and minute books of any corporate license holder in order to verify and identify the shareholders, and the Council or its designated officer may examine the business records of any other license holder to the extent necessary to disclose the interest which persons other than the license holder have in the licensed business. 301.503 Review. If the City Manager determines that an application is incomplete or without supporting documentation, he or she shall return the application to the applicant with notice of the deficiencies. If the City Manager determines the application is complete, he or she shall refer the application to the Chief of Police who shall institute such investigation of the applicant and the contents of the application as is deemed necessary including, but not limited to, a criminal history check with the Bureau of Criminal Apprehension. The Chief of Police shall provide a report of the investigation to the City Manager. The City Manager shall review the application, supporting documents, and the result of a background investigation, and prepare a report to the City Council, recommending: (i) approval; (ii) approval with conditions; (iii) denial; or (iv) delay of any action for such reasonable period of time to permit the City to complete any additional investigation of the application or the applicant deemed necessary. The report shall include the basis for the recommendation and shall indicate whether the licensed premises will be subject to a Conditional Use Permit. 301.504 Manager or Agent. Before a license is issued under this Section to an individual who is a non-resident of the City, to more than one individual whether or not they are residents of the City, or to a corporation, partnership, company or association, the applicant or applicants shall appoint in writing a natural person who is its manager or agent. Such manager or agent shall, by the terms of a written consent, 1) take full responsibility for the conduct of the licensed premises and (2) serve as agent for service of notices and other process relating to the license. Such manager or agent must be a person who, by reason of age, character, reputation, and other attributes, could qualify individually as a license holder. If such manager or agent ceases to act in such capacity for the license holder without appointment of a successor, the license issued pursuant to such appointment shall be subject to revocation or suspension. 301.505 Action. After the investigation and review, the Council shall grant or deny the issuance of the license. No license shall become effective until approved by the Business Regulations City of Prior Lake 301/p11 Commissioner of Public Safety if required by Minnesota Statute Chapter 340A. The City Council may impose reasonable conditions on the issuance of any license. If the licensed premises is subject to a Conditional Use Permit, the conditions applicable to the Conditional Use Permit are automatically incorporated in and apply to the license. If the City Council, and the Commissioner of Public Safety if required, approve issuance of the license, a license shall be issued to the applicant. If the City Council denies issuance of the license, a written notice of denial along with the reasons for the denial shall be sent to the applicant at the address provided on the application. If a license is mistakenly issued, it shall be revoked by the City Manager upon the discovery of the mistake. Ord. Amd. 111-05, publ. 06/11/11) 301.506 Duplicate licenses. Duplicates of all original licenses under this Section may be issued by the City Clerk without action by the Council 301.600: Denials: The following shall be grounds for denying the issuance, transfer, or renewal of a license under this Section. The following list is not exhaustive or exclusive: 1) The applicant is under the age of twenty-one (21) years. 2) The applicant has within the past five (5) years violated any provision of this Section, City Code, or a Federal, State, or local law, ordinance provision, or other regulation relating to alcohol-related products. 3) The applicant or license holder, including any person who holds an interest of more than five percent (5%) of an applicant or license holder, has had a license to sell alcohol-related products revoked within the preceding five (5) years of the date of application. 4) The applicant fails to provide any information required on the application, or provides false or misleading information. 5) The applicant or license holder has outstanding fines, penalties or property taxes owed to the City, County or State. 6) The applicant is directly or indirectly the owner of any current license issued under this Section. 7) The proposed licensed premises is ineligible for a license under state law or the City Code. 8) Taxes, assessments, fines or other financial claims of the City, County or State are delinquent and unpaid as to the premises to be licensed. Notwithstanding the foregoing, if the delinquent taxes, assessments, fines or financial claims are against a landowner, and the applicant is a tenant of landowner and has no financial interest in landowner, then the City Council may, in its discretion, but shall not be required to, grant a license to an applicant so long as the applicant is not delinquent on any taxes, assessments, fines or financial claims as set forth herein. Business Regulations City of Prior Lake 301/p12 9) The premises to be licensed is located within 300 feet of any church or school; except that in the City Council’s discretion and with the written consent of the church and/or school, temporary on-sale malt liquor licenses and temporary on-sale intoxicating liquor licenses may be issued for: church property, property within 300 feet of any church, or property within 300 feet of any school. No license shall be issued for school property. 10) It is impractical to conduct a background or financial investigation due to the unavailability of information or the results of the background or financial investigation show that issuance would not be in the public interest. 11) The applicant is not of good moral character and repute. 12) The applicant or license holder has a direct or indirect interest in a manufacturer, brewer or wholesaler, except where the application is for a cocktail room, microdistillery, brew pub, brewer taproom, or small brewer, as defined in this Section. 301.700: RENEWALS: The renewal of a license under this Section shall be handled in the same manner as the original application and issuance. Any person intending to apply to renew a license shall submit a renewal application, on a form provided by the City, and pay the investigation and license fee. A license renewal application shall be submitted to the City no later than forty-five (45) days prior to the expiration of the license. The issuance of a license under this Section is a privilege and not an absolute right and shall not entitle the holder to an automatic renewal of the license. A late fee of Fifty dollars ($50.00) shall be imposed on any license holder who fails to submit a timely renewal application. 301.800: Term: All licenses shall expire annually on June 30. 301.900: Transfers: All licenses issued under this Section shall be valid only on the licensed premises and only for the person to whom the license was issued. No transfer of any license to another location or person shall be valid without the prior approval of the City Council. Any sale or transfer of stock of a corporate license holder is deemed a transfer of the license, which, without Council approval, is grounds for revocation of the license. 301.1000: Non-Employees on Premises: A license holder shall not allow non-employees on the licensed premises from twenty (20) minutes after the sale of alcohol-related products is prohibited until the sale is again permitted except as hereinafter provided. Non-employees are allowed on the on-sale premises of a hotel, restaurant, club, or bowling center during normal hours of operation. During the hours that the sale of alcohol-related products is prohibited, there may be no sale, consumption, or display of alcohol-related products. The license holder shall close off all access to alcohol-related products or any bar area in a manner approved by the City. 301.1100: Display: Every license shall be conspicuously posted at the licensed premises and shall be exhibited to any person upon request. Business Regulations City of Prior Lake 301/p13 301.1200: Right of Inspection: Any Prior Lake police officer, City employee, or other appropriate officer shall have the unqualified right to enter, inspect, and search the licensed premises of any license holder hereunder without a warrant, during business hours or when owners, managers, or other employees are located on the licensed premises. The business records of the license holder, including Federal and State tax returns, shall be available for inspection by the City at all reasonable times upon written request. 301.1300: Moveable Place of Business: No license of any type shall be issued for any business whose physical location is not permanent or is capable of being moved or changed, including but not limited to kiosks or trailers. Moveable place of business does not include golf carts when used on golf course property or any moveable structure when specifically permitted by the City Council under subsection 301.1400. 301.1400: Outdoor Areas in On-Sale Establishments: All outdoor areas in on-sale licensed establishments are subject to the following limitations: 1) Every outdoor area must be approved as part of the original licensed premises or by the granting of an application for expansion of the license premises. No sales may be made nor may alcohol-related products be consumed in parking lots or any portion of any property without a permanent or temporary license from the City. 2) Regardless of the type of license issued to an outdoor area, the City Council may regulate and restrict the hours, days, nature, volume, and other aspects of alcohol- related product sales and entertainment in any outdoor area to protect the safety and welfare of residents, businesses and other uses near the licensed premises. 3) The City Council may authorize temporary entertainment not otherwise allowed under the license in an outdoor area by permit for special events pursuant to City Code Section 307. 4) Customers shall not be allowed to occupy the outdoor area in numbers greater than the seating capacity permits. 5) No bar shall be located in an outdoor area except a service bar for the exclusive use of employees of the license holder. 6) The license holder shall provide on-site food service to the outdoor area during all hours of operation of the outdoor area, 7) Access to and from the outdoor area shall be through the licensed premises or through property controlled by the license holder. 8) No sales of alcohol-related products may be made on any public or private property open to the public for passageway purposes except as specifically authorized by the City Council. The City Council may regulate and restrict the hours, days, nature, Business Regulations City of Prior Lake 301/p14 volume and other aspects of sales in these areas, and may require the license holder to procure insurance naming the City as an additional insured to protect the safety and welfare of residents, businesses and other uses near the licensed premises. 301.1500: Obscenity and Nudity: No license holder shall: 1) Employ or use any person in the sale or service of alcohol-related products or as employees while such person is unclothed or in such attire, costume or clothing as to expose to view any portion of the pubic hair, anus, cleft of the buttocks, male or female genitals, or the female breast below the top of the areola; 2) Employ or use the services of any wait person while such person is unclothed or in such attire, costume or clothing as described in paragraph (1) above. 3) Encourage or permit any person on the licensed premises to touch, caress or fondle the breast, buttocks, anus or genitals of any other person; 4) Permit any employee or person to wear or use any device or covering exposed to view, which simulates the breast, genitals, anus, pubic hair or any portion thereof. 301.1600: Prohibitions: No license holder, or its owners, agents, and/or employees shall: 1) Knowingly permit the licensed premises or any room in those premises or any adjoining building directly under the license holder’s control to be used by prostitutes. 2) Knowingly permit the sale, possession or consumption of controlled substances on the licensed premises in violation of federal, state or local law nor shall any license holder permit consumption of alcohol-related products on the licensed premises more than twenty (20) minutes after the hour when a sale thereof can be legally made. 3) Except for charitable gambling as defined and permitted under state law, gambling and gambling devices are not permitted on licensed premises. State lottery tickets may be purchased and sold within licensed premises as authorized by the director of the state lottery. 4) Employ or use any person in the sale or service of alcohol-related products or as employees for the purpose of staging any nature of “lingerie show” in or upon the licensed premises while such person is unclothed or in such attire, costume or clothing as to expose to view any portion of the female breast below the top of the areola or of any portion of the pubic hair, anus, cleft of the buttocks, or genitals. 5) Fail to comply with the conditions of a Conditional Use Permit whether the conditions are set out in City Code or were imposed by the Planning Commission or City Council upon approval of the Conditional Use Permit. 6) Violate any portion of this Section. Business Regulations City of Prior Lake 301/p15 7) Violate any applicable Federal, State or local, civil or criminal statute, ordinance, or regulation pertaining to alcohol-related products. 8) Violate a condition under which the license was granted, including, but not limited to, the timely payment of real estate taxes or other charges. 9) Violate a Federal, State or local law regulating the sale of alcohol-related products or controlled substances. 10) Create a public nuisances, as described in the City Code, on the premises or in the surrounding area. 11) Suffer or permit illegal acts upon the licensed premises or on property owned, controlled by, or adjacent to the licensed premises, whether related or unrelated to the sale of alcohol-related products. 12) Have knowledge of illegal acts upon or attributable to the licensed premises, but fail to report the same to the police. 13) Fail to comply with a condition of the license imposed by the City Council or fail to meet a deadline for any such condition. 14) Commit any act which would allow for denial of a license under this Section. 301.1700: Civil Penalties; revocation and suspension: 301.1701 Violations. Any violation of this Section shall be considered an act of the license holder for purposes of imposing a civil penalty, license suspension, or revocation. Each violation, and every day in which a violation occurs or continues, shall constitute a separate offense. The license holder shall be responsible for the conduct of its agents and employees on the licensed premises. A civil penalty, revocation, and/or suspension may be pursued and imposed regardless of any criminal adjudication. 301.1702 Notice of Violation. The Police Department shall inform the City Manager of the suspected violation. The City Manager shall send to the license holder a written notice of the suspected violation. The notice shall advise the license holder of the penalty and the license holder’s right to request a hearing regarding the violation pursuant to subsection 301.1800. 301.1703 Civil Penalties. Each license issued hereunder shall be subject to suspension or revocation and/or imposition of a civil fine of up to Two Thousand Dollars 2,000.00) for violation of any provisions of this Section or the laws of the State of Minnesota as follows: 1) Presumptive Civil Penalties; Purpose. The purpose of this subsection is to establish a standard by which the City Council determines the length of license suspension, the propriety of revocations, and the amount of fines, and shall apply to all premises licensed under this Section. These penalties are presumed to be appropriate for every case; however, the Council may deviate in an individual case Business Regulations City of Prior Lake 301/p16 where the Council finds that there exist substantial reasons making it appropriate to deviate, such as, but not limited to, a license holder’s efforts in combination with the State or City to prevent the sale of alcohol-related products to minors. When suspending or revoking a license or imposing a fine for a violation of this Section, the Council will provide written findings that support the penalty selected. Further, when deviating from the standard set forth herein, the Council shall set forth in writing the rationale for the deviation. 2) Presumptive Penalties for Violations. The minimum penalties for civil violations as determined by the City Council shall be presumed as follows (unless specified, number indicate consecutive days’ suspension): Appearance Type of Violation 1st 2n d 3rd 4th Commission of a felony related to the licensed activity. Revocation NA NA NA Sale of alcohol-related products while license is under suspension Revocation NA NA NA Sale of alcohol-related products to underage person 1 and 1,000 (1 day sus- pension and $500 suspended for 1 year and dis- missed if no same or similar vio- lations in that year) 6 18 Revoca- tion Sale of alcohol-related products to obviously intoxicated person 3 6 18 Revoca- tion After hours sale of alcohol-re- lated products 3 6 18 Revoca- tion After hours display or consump- tion of alcohol-related products 3 6 18 Revoca- tion Refusal to allow City Inspectors or Police admission to inspect premises 5 15 Revoca- tion NA Illegal gambling on premises 3 6 18 Revoca- tion Failure to take reasonable steps to stop person from leaving premises with alcohol-related products 3 6 18 Revoca- tion Business Regulations City of Prior Lake 301/p17 Sale of intoxicating liquor where only license is for 3.2 percent malt liquor Revocation NA NA NA Ord. Amend. 114-09, publ. 04 26 14) 301.1704 Automatic Suspension. Any license issued under this Section shall be immediately suspended, without further action by the City Council, upon notice from the City Manager to the applicant or license holder for lapse of required insurance, including but not limited to dram shop insurance, lapse of financial responsibility, or failure to notify City within a reasonable time of any modifications to insurance or financial responsibility. 301.1705 Automatic Revocation. Any license issued under this Section shall be immediately revoked, without further action by the City Council, upon written notice from the City Manager to the applicant or license holder of the mistaken issuance or renewal of a license. 301.1706 Multiple Violations. At a license holder’s first appearance before the Council, the Council may act upon all of the violations that have been alleged in the notice sent to the license holder. The Council in that case shall consider the presumptive penalty for each violation under the first appearance column in subsection 301.1703. The occurrence of multiple violations is grounds for deviation from the presumed penalties in the Council’s discretion. 301.1707 Subsequent Violations. Violations occurring after the notice of hearing has been mailed, but prior to the hearing, shall be treated as a separate violation and dealt with as a second appearance before the Council, unless the City Manager and license holder agree in writing to add the violation to the first appearance. The same procedure applies to a second, third, or fourth appearance before the Council. 301.1708 Computation of Appearances. After the first appearance, a subsequent appearance by the same license holder will be determined as follows: 1) If the first appearance was within three (3) years of the current violation, the current violation will be treated as second appearance. 2) If a license holder has appeared before the Council on two (2) previous occasions, and the current violation occurred within five (5) years of the first appearance, the current violation will be treated as a third appearance. 3) If a license holder has appeared before the Council on three (3) previous occasions, and the current violation occurred within seven (7) years of the first appearance, the current violation will be treated as a fourth appearance. 4) Any appearance not covered by paragraphs (1), (2) or (3) above will be treated as a first appearance. 301.1709 Other Penalties. Nothing in this Section shall restrict or limit the authority of the Council to suspend the license up to sixty (60) days, revoke the license, impose a Business Regulations City of Prior Lake 301/p18 civil fine not to exceed two thousand dollars ($2,000.00), to impose conditions, or take any other action; provided, that the license holder has been afforded an opportunity for a hearing in the manner provided in subsection 301.1800. Penalties imposed under this Section do not require a prior criminal adjudication. 301.1710 Reinstatement. A license shall be reinstated following expiration of the suspension period and upon payment of all fines by the license holder. No license shall be reinstated, and no sales of alcohol-related products may be made until all fines have been paid. The sales of any alcohol-related products while a license is under suspension shall constitute a violation of subsection 301.1705 and result in the automatic revocation of the license. 301.1711 Other Enforcement of Action. A civil penalty, suspension or revocation or combination thereof under this Section does not preclude any private civil action or any criminal prosecution under this Section or any other federal, state or local law, statute, ordinance or regulation. 301.1800: Hearing on Denial or Violation: Following receipt of a notice of denial issued under subsection 301.505 or a notice of a violation and penalty issued under subsection 301.1700, an applicant or license holder may request a hearing before the City Council. The City Council may appoint a hearing examiner who shall be a member of the City Council, or may conduct a hearing itself. A request for a hearing shall be made by the applicant or license holder in writing and filed with the City Manager within ten (10) days of the mailing of the notice of denial or notice of violation. If a hearing examiner conducts the hearing, the hearing examiner shall report its findings and make a recommendation to the full Council. If, after the hearing, the applicant or license holder is found ineligible for a license, or in violation of this Section, the Council may affirm the denial, impose a fine, issue a suspension or revocation, or impose any combination thereof. The City Manager shall mail notice of the denial, fine, suspension or revocation and the reason therefor to the applicant or license holder. If the applicant or license holder has been provided written notice of the denial or violation and if no request for a hearing is filed within the ten (10) day period, then the denial, penalty, suspension or revocation imposed shall take immediate effect without any further notice. The City Police Department shall investigate compliance with the suspension or revocation. 301.1900: Criminal Violations and Penalties: 301.1901 Criminal Violations: License Holder and Employees. As set forth in Minnesota Statutes §§ 340A.503 and 340A.705, it shall be a gross misdemeanor for anyone to sell, furnish, or provide alcohol-related products to a person under the age of twenty-one (21) years. It shall be a gross misdemeanor for anyone under the age of twenty-one (21) years to sell, furnish, or give away any alcohol-related products. This subsection shall not apply to an employee of the license holder under the age of twenty-one (21) years but over the age of eighteen (18) years while serving alcohol-related products. Business Regulations City of Prior Lake 301/p19 301.1902 Criminal Violations. 1) No person under the age of twenty-one (21) years shall enter a licensed premises for the purpose of purchasing or consuming any alcohol-related product. It is not unlawful for any person who has attained the age of 18 years to enter licensed premises for the purposes of (a) performing work at the licensed premises, including the serving of alcohol-related products, unless otherwise prohibited by statute, (b) consuming meals, or (c) attending social functions that are held in a portion of the licensed premises where alcohol-related products are not sold. 2) It shall be a misdemeanor for anyone under the age of twenty-one (21) years to use, purchase, attempt to purchase, or possess alcohol-related products. This subsection shall not apply to a person under the age of twenty-one (21) but over the age of eighteen (18) years who purchases or attempts to purchase alcohol- related products while under the direct supervision of a responsible adult for training, education, research or enforcement purposes. 3) No person under the age of twenty-one (21) years shall misrepresent the person’s age for the purpose of obtaining alcohol-related products, nor shall the person enter any licensed premises for the purposes of purchasing or having served or delivered any alcohol-related product. Nor shall any such person purchase, attempt to purchase, consume, or have another person purchase for the underage person any alcohol-related products. 4) Any person shall, upon demand of the license holder, its employee, or agent, produce and permit to be examined one of the forms of identification provided under Minnesota Statutes §340A.503, subd. 6. 5) No person shall possess open containers of alcohol-related products or consume alcohol-related products on public property including but not limited to public streets, sidewalks, parking lots, or in parks except where specifically permitted by City Code. No person shall possess open containers of alcohol-related products or consume alcohol-related products in parking lots under the control of a license holder outside the licensed premises or on private property generally open to the public unless possession or consumption for a specific event on such property is approved by the City Manager in advance of the event. The requesting party for such approval shall submit an application to the City Manager on a form authorized by the City. 6) No person shall consume nor any license holder permit consumption of alcohol- related products on licensed premises more than twenty (20) minutes after the hour when a sale thereof can be legally made. 301.1903 Criminal Enforcement. Upon discovery of a suspected violation of any portion of this subsection, the City Police Department or other appropriate authority shall issue a criminal citation to the individual offender and license holder where appropriate. 301.2000: Affirmative Defense: A license holder may reasonably and in good faith rely on proof of age as described in Minnesota Statute § 340A.503, Subd. 6, in making sales of alcohol-related products. In every appearance before the City Council for a violation of the provisions of this Section relating to the sale or furnishing of alcohol- Business Regulations City of Prior Lake 301/p20 related products to underage persons, the fact that the underage person involved has obtained and presented to the license holder, its employee or agent, a form of identification identified in Minnesota Statute. § 340A.503, Subd. 6 from which it appears that said person was not an underage person and was regularly issued such identification, shall be prima facie evidence that the license holder, its agent or employee is not guilty of a civil violation of this Section and, when proven by a preponderance of the evidence, shall be conclusive evidence that a violation, if one has occurred, was not willful or intentional. 301.2100: Compliance Checks: All licensed premises shall be open to inspection by the City police or other authorized City officials during regular business hours. From time to time, but at least once per year, the City shall conduct compliance checks. Such compliance checks may involve, but are not limited to, engaging minors to enter the licensed premises to attempt to purchase alcohol-related products. If minors are used for compliance checks, they shall not be guilty of unlawful possession of alcohol-related products when such items are obtained as a part of a compliance check. No minor used in compliance checks shall attempt to use a false identification misrepresenting the minor’s age, and all minors lawfully engaged in a compliance check shall answer all questions about the minor’s age asked by the license holder or his or her employee and shall produce any identification for which he or she is asked. 301.2200: Severability: If any provision of this Section is for any reason held to be invalid, such decision shall not affect the validity of the remaining provisions of this Section. Ord. Amd. 115-21, publ. 08/22/2015) Ord. Amd. 116-12, publ. 06/04/2016) SPACE INTENTIONALLY BLANK FOR FUTURE AMENDMENTS)