Ordinance No. 1110 11-10-1997 ORDINANCE NO. 1110
OFFICIAL TITLE AND SUMMARY
I. TITLE
An ordinance recodifying the Fridley City Code, Chapter 602, entitled
"Beer Licensing, " by deleting the word "non-intoxicating" and
replacing it with "3.2 percent", and amending Sections 602.05. 01.C.
and 602 .13.01.
II. SUMMARY
The City Council of the City of Fridley does hereby ordain as
follows:
The proposed ordinance removes language which the 1996 Minnesota
Legislature deemed inappropriate. The term "non-intoxicating" is
replaced with "3.2 percent" to define a specific type of liquor. The
proposed ordinance changes the method for granting a public hearing
by enabling the City Clerk to designate and publish the public
hearing date. The proposed ordinance also updates language relating
to liability insurance, Section 602 .13.01.
III. NOTICE
This Title and Summary have been published to clearly inform the
public of the intent and effect of the City of Fridley's ordinance
requirements for beer licensing. A copy of the ordinance, in its
entirety, is available for inspection by any person during regular
business hours at the offices of the City Clerk of the City of
Fridley, 6431 University Avenue, N.E. , Fridley, MN 55432.
PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS
10TH DAY OF NOVEMBER, 1997.
�i� 1.L�j,..i -I„ItL
b ' CY A .A0' + N%2 - MAYOR
ATTEST:
A II ,Jt■ A4itl ii
WILLIAM A. CHAMPA - CITY C ERK
Publication: November 20, 1997
III
ORDINANCE NO. 1110
AN ORDINANCE AMENDING CHAPTER 602, "BEER
LICENSING" , OF THE FRIDLEY CITY CODE, TO
DELETE THE WORD "NON-INTOXICATING" AND
REPLACE IT WITH "3.2 PERCENT" AND TO
AMEND SECTIONS 602.05.01.0 AND 602.13.01
602.01. DEFINITIONS
The following definitions shall apply in the interpretation and
application of this Chapter and the following words and terms,
wherever they occur in this Chapter, are defined as follows:
1. Beer or 3.2 Percent Malt Liquor.
Any malt liquor with an alcoholic content of more than one-half of
one percent ( .5%) by volume and not more than 3.2 percent (3.2%) by
weight.
2. Entertainment.
Includes, but is not limited to, music; singing; plays; dancing,
either by the public or performers; motion pictures; exposition;
performances; male or female reviews; fashion shows; TV, other than
regular public channels; concerts; or any other deliberate act
intended to amuse or entertain patrons and/or employees.
3. Sale, Sell, or Sold.
All barters and all manners or means of furnishing beer or 3.2
percent malt liquor including such furnishing in violation or evasion
of law.
4 . Tavern.
An establishment for the sale of beer, cigars, cigarettes and all
forms of tobacco, beverages, and soft drinks sold at retail for
consumption on the premises.
602 . 02. LICENSES REQUIRED
1. Licenses.
No person, except wholesalers and manufacturers to the extent
authorized by law, shall deal in or dispose of by sale or keep or
offer for sale, any beer within the City without first having
received a license as hereinafter provided. Licenses shall be of
three kinds: (1) Regular "on-sale"; (2) Temporary "on-sale"; and (3)
"Off-sale".
2. Regular "On-sale".
Regular "on-sale" licenses shall be granted only to bona fide clubs,
, taverns, exclusive "on-sale" liquor stores, restaurants, and hotels
where food is prepared and served for consumption on the premises.
"On-sale" licenses shall permit the sale of beer for consumption on
the premises only.
Page 2 -- Ordinance No. 1110
3. Temporary "On-sale". Temporary "on-sale" licenses shall be
granted only to bona fide clubs and charitable, religious, and
nonprofit organizations for the sale of beer for consumption on the
premises only. Said temporary licenses shall be granted upon written
application to the City Council upon forms provided by the City. The
provisions of Chapter 602 of the Fridley City Code, as applicable,
shall be observed by said nonprofit organizations.
4 . "Off-sale". "Off-sale" licenses shall permit the sale of beer at
retail, in the original package for consumption off the premises
only.
5. Exemption. The serving or disposing of "free" beer without
consideration of purchase of tickets, coupons, goods, services or any
means of payment is allowed without a license. Notwithstanding the
license requirements, persons who serve or otherwise dispose of
"free" beer must comply with all laws pertaining to the serving or
disposing of beer. If in the opinion of the Public Safety Director
or such Director's designee, the serving of "free" beer is creating a
public safety danger or infringement of peace and tranquility or
violation of laws, persons serving or disposing of "free" beer shall
cease serving or disposing of "free" beer upon order of a law
enforcement officer. Persons who continue to serve or dispose of
"free" beer after being ordered to cease shall be guilty of a
misdemeanor. (Ref. 743)
602 . 03. LICENSE APPLICATIONS
Every application for a license to sell beer shall be made to the
City Clerk on a form supplied by the City and containing such
information as the Clerk or the City Council may require. It shall be
unlawful to make any false statement in an application.
602.04 . LICENSE FEES
1. Payment Required. Each application for a license shall be
accompanied by a receipt from the City Treasurer for payment in full
of the required fee for the license. All fees shall be paid into the
General Fund of the City. Upon rejection of any application for a
license, the Treasurer shall refund the amount paid.
2. Expiration; Pro Rata Fees. Every license except a temporary
license shall expire on the last day of April of each year. Each
license except a temporary license shall be issued for a period of
one (1) year, except that if a portion of the license year has
elapsed when the license is granted, the license shall be issued for
the remainder of the year for a pro rata fee. In computing such fee,
any unexpired fraction of a month shall be counted as one (1) month.
A temporary license shall be issued for a specific period in which a
special event to which the sale is incident is being held and such
period shall be stated on the license.
3. Fees.
Every "on-sale" license shall include an "off-sale" license. Each
"on-sale" license fee shall include an "off-sale" license at no
additional expense. The annual and temporary license fees and
initial investigation fee shall be as provided in Chapter 11 of this
Code.
Page 3 -- Ordinance No. 1110
602.05. GRANTING OF LICENSES
1. Initial Licenses
A. In order to assist the City Council in investigating the
facts set out in the application and in order to determine the
eligibility of the applicant for a license, pursuant to the
provisions of this Chapter and of the State Law, the City
Council may appoint a License Board. In the event that such
License Board is established, it shall be organized in such a
manner as the City Council shall determine by resolution.
B. All applications for a license shall be referred to the
Public Safety Director and to such other City Departments as the
City Manager shall deem necessary for verification and
investigation of the facts set forth in the application. The
Public Safety Director shall cause to be made such investigation
of the information requested in Section 602.03 as shall be
necessary and shall make a written recommendation and report to
the License Board, or to the City Council, as the case may be,
which shall include a list of all violations of Federal or State
law or Municipal ordinance. The License Board, or, City Council
may order and conduct such additional investigation as it shall
deem necessary.
C. Upon receipt of the written report and recommendation by the
Public Safety Director and within twenty (20) days thereafter,
the City Clerk shall cause to be published in the official
newspaper, ten (10) days in advance, a notice of a hearing to be
held by the License Board or the City Council, setting forth the
day, time and place when the hearing will be held, the name of
the applicant, the premises where the business is to be
conducted, the nature of the business and such other information
as the License Board may direct. At the hearing, opportunity
shall be given to any person to be heard for or against the
granting of the license. A license, other than a renewal, shall
not be approved before the next regular meeting of the City
Council following such hearing.
D. After receiving such report, recommendation and public
comment for the initial license, the City Council shall conduct
within a reasonable time such additional hearing as it may deem
advisable and thereafter shall grant or refuse the application
in its discretion.
E. Each license shall be issued to the applicant only. Each
license shall be issued only for the premises described in the
application. No license may be transferred to another person or
to another place without complying with the requirements of an
original application, including the approval of the City Council
and the Liquor Control Commissioner as required.
F. The City Clerk shall, within ten (10) days after the
issuance of any license under this Chapter, submit to the
Liquor Control Commissioner the full name and address of each
person granted a license, the trade name, the effective license
date, and the date of expiration of the license. The City Clerk
shall also submit to the Liquor Control Commissioner any change
of address, transfer, cancellation or revocation of any license
by the Council during the license period.
Page 4 -- Ordinance No. 1110
G. Where a license is granted to premises where the building is
under construction or otherwise not ready for occupancy, the
City Clerk shall not issue the license until notification by the
Building Inspection Department that a Certificate of Occupancy
has been issued and the building is ready for occupancy.
2 . Renewal Licenses
A. Applications for the renewal of an existing license shall be
made at least 60 days prior to the date of the expiration of the
license and shall be made in such abbreviated form as the City
Council may approve. If, in the judgment of the City Council,
good and sufficient cause is shown by an applicant for their
failure to file for a renewal within the time provided, the City
Council may, if the other provisions of this Chapter are
complied with, grant the application. A review shall be made of
all facts set out in the application. The City Council shall
grant or refuse the application in its discretion.
B. Each license holder shall be given written notice, by mail,
at least ten (10) days but not more than thirty (30) days before
the City Council acts upon their license renewal. This notice
shall be in a form as designated by the City Clerk and shall
specify the date and time when the renewal application will be
considered by the City Council. The license holder shall be
permitted an opportunity to address the City Council on its
license renewal application. (Ref. 806)
602 .06. PERSONS INELIGIBLE FOR LICENSES
No license shall be granted to or held by any person who:
1. Is under twenty-one (21) years of age; (Ref. 909)
2 . Has, within five (5) years prior to the application for such
license, been convicted of a felony, or of violating any law of this
State or local ordinance relating to the manufacture, sale,
distribution, or possession for sale or distribution of intoxicating
liquors or beer, and cannot show competent evidence under Minnesota
Statutes, Section 364.03, of sufficient rehabilitation and present
fitness to perform the duties of a beer licensee;
3. Is a manufacturer of beer or is interested in the control of any
place where beer is manufactured;
4. Is not of good moral character and repute. If the applicant has
been an owner, manager, or employee of a saloon, hotel, restaurant,
cafe, tavern, or other business of a similar nature, the City Council
may consider the applicant's past performance record in determining
whether a license shall be granted or renewed;
5. Is or during the period of this license becomes the holder of a
federal retail liquor dealer's special tax stamp for the sale of
intoxicating liquor at any place, unless there has also been
issued to him or her a local license to sell intoxicating liquor
at such place; or
6. Is not the proprietor of the establishment for which the license
is issued. (Ref. 14)
Page 5 -- Ordinance No. 1110
602 .07 . PLACES INELIGIBLE FOR LICENSE
1. Distance from Schools and Churches.
Except for those organizations who have been issued temporary
licenses to sell 3.2 percent malt liquor pursuant to Section
602.02.3, no license shall be granted for any place within 300 feet
of any public or parochial school or within 300 feet of any church.
In applying this restriction, the distance shall be measured in a
straight line from the school or church building to the main public
entrance of the premises described in the application. (Ref. 294)
2. Unpaid Financial Claims.
No license shall be granted for operation on any premises upon which
taxes or assessments or other financial claims of the City are
delinquent and unpaid.
602 . 08. CONDITIONS OF LICENSE
1. General Conditions.
Every license shall be granted subject to the conditions in the
following subdivisions and all other provisions of this Chapter and
of any other applicable ordinance of the City or State law.
2. Sales to Minors or Intoxicated Persons.
No beer shall be sold or served to any intoxicated person or to any
person under twenty-one (21) years of age. (Ref. 47, 909)
3. Consumption by Minors.
No person under the age of twenty-one (21) years shall be permitted
to consume beer on the licensed premises. (Ref. 909)
4. Employment Of Minors.
No person under eighteen (18) years of age shall be employed on the
premises of a tavern, except that persons under eighteen (18) years
of age may be employed as musicians, bus-boys and kitchen help. (Ref.
675)
5. Gambling
No gambling or any gambling device shall be permitted on any licensed
premises. Prohibited gambling shall include private social bets not
part of or incidental to organized, commercialized, or systematic
gambling. Gambling device shall include slot machines, roulette
wheels, punchboards, dice, playing cards, video game of chance and
pin-ball machines which return coins or slugs, chips, or tokens of
any kind which are redeemable in merchandise, cash or other item of
value. Gambling is prohibited whether or not licensed by the State.
(Ref. 958)
6. Interest of Manufacturers or Wholesalers.
No manufacturer or wholesaler of beer shall have any ownership or
interest in an establishment licensed to sell at retail contrary to
Page 6 -- Ordinance No. 1110
the provisions of Minnesota Statutes. No retail licensee and
manufacturer or wholesaler of beer shall be parties to any exclusive
purchase contract. No retail licensee shall receive any benefits
contrary to law from a manufacturer or wholesaler of beer and no such
manufacturer or wholesaler shall confer any benefits contrary to law
upon a retail licensee.
7 . Liquor Dealer's Stamp.
No licensee shall sell beer while holding or exhibiting in the
licensed premises a federal retail liquor dealer's special tax stamp
unless he or she is licensed under the laws of Minnesota to sell
intoxicating liquors.
8. Sales of Intoxicating Liquor.
No licensee who is not also licensed to sell intoxicating liquor and
who does not hold a "public drinking place license" shall sell or
permit the consumption and display of intoxicating liquors on the
licensed premises or serve any liquids for the purpose of mixing with
intoxicating liquor. The presence of intoxicating liquors on the
premises of such a licensee shall be prima facie evidence of
possession of intoxicating liquors for the purpose of sale.
9. Inspection.
Any police officer or health inspector may enter, inspect and search
the premises of a licensee during business hours without a search and
seizure warrant and may seize all intoxicating liquors and other
evidence of violations found on the licensed premises in violation of
this Chapter.
10. Licensee Responsibility.
Licensees shall be responsible for the conduct of their place of
business and shall maintain conditions of sobriety and order. The
act of any employee on the licensed premises authorized to sell or
serve beer shall be deemed the act of the licensee as well and the
licensee shall be liable to all penalties provided by this Chapter
equally with the employee.
602.09. HOURS
1. Closing Hours.
No sale of beer or 3.2 percent malt liquor may be made between 1:00
a.m. and 8:00 a.m. on the days of Monday through Saturday, nor
between 1:00 a.m. and 12:00 noon on Sunday. No sale may be made on
Christmas Day, December 25; or after 8:00 p.m. on Christmas Eve,
December 24. (Ref. 501, 550, 602, 647, 783, 932, 982)
2. Remaining on Premises.
It shall be unlawful for any persons or customers, other than the
licensee or their employees, to remain on the premises after
1:30\a.m. There shall be no consumption of wine, 3.2 percent malt
liquor, or any intoxicating liquor by any persons, including
licensees or their employees, after 1:30\a.m.
Page 7 -- Ordinance No. 1110
602.10. CLUBS
No club shall sell beer except to members and to guests in the
company of members.
602 .11. RESTRICTIONS ON PURCHASE AND CONSUMPTION
1. Age Misrepresentation.
Persons under twenty-one (21) years of age shall not misrepresent
their age for the purpose of obtaining beer. (Ref. 909)
2. Inducing Purchase.
No person shall induce a person under the age of twenty-one (21)
years to purchase or procure beer. (Ref. 909)
3. Procurement.
No person other than the parent or legal guardian shall procure beer
for any person under the age of twenty-one (21) years. (Ref. 909)
4 . Possession.
Persons under twenty-one (21) years of age shall not have beer in
their possession with the intent to consume it at a place other than
the household of their parents or guardians. (Ref. 909)
5. Liquor Consumption and Display.
No person shall consume or display any intoxicating liquor on the
premises of a licensee unless said licensee is also licensed to sell
intoxicating liquors or holds a "public drinking place license".
602 . 12 . ENTERTAINMENT LICENSE REQUIRED
No person operating an establishment in the business of selling,
permitting to be displayed or consumed an intoxicating liquor or 3.2
percent malt liquor shall permit any entertainment on the premises
without having secured a license from the City Council to permit such
entertainment.
602. 13. LIABILITY INSURANCE
1. Every person licensed to sell at retail intoxicating liquor or
3.2 percent malt liquor at on-sale or off-sale or on-sale wine shall
demonstrate proof of financial responsibility with regard to
liability imposed by Minnesota Statutes, Section 340A. 409 to the City
Clerk as a condition of the issuance or renewal of his or her
license. Proof of financial responsibility may be given by filing:
A. A certificate that there is in effect for the period covered
by the license an insurance policy or pool providing the
following minimum coverages:
(1) $50, 000 because of bodily injury to any one person in any
one occurrence, and, subject to the limit for one person, in
the
Page 8 -- Ordinance No. 1110
amount of $100, 000 because of bodily injury to two or more
persons in any one occurrence, and in the amount of $10, 000
because of injury to or destruction of property of others in
any one occurrence.
(2) $50, 000 for loss of means of support of any one person in
any one occurrence, and, subject to the limit for one
person, $100, 000 for loss of means of support of two or
more persons in one occurrence; or
B. A bond of a surety company with minimum coverages as
provided in clause (A) above, or
C. A certificate of the State Treasurer that the licensee has
deposited with the State Treasurer $100, 000 in cash or
securities which may legally be purchased by savings banks or
for trust funds having a market value of $100, 000.
2. A liability insurance policy required by Section 602.13.1 shall
provide that it may not be canceled for any cause, either by the
insured or the insurance company without first giving ten (10) days
notice to the City of Fridley in writing of the intention to cancel
it, addressed to the City Clerk of the City of Fridley.
3. A liability insurance policy required by Section 602.13.1 shall
provide that the insurance company agrees to contact the City of
Fridley in writing and addressed to the City Clerk of the City of
Fridley, within ten (10) days of any claim made against the policy.
4. A liability insurance policy required by Section 602.13.1 that
contains annual aggregate limits of liability shall require the
insured to buy additional coverage after any claim is made that
reduces the coverage under the policy below the requirements of
Section 602.13. 1.
5. The operation of a retail intoxicating or 3.2 percent malt
liquor business at on-sale or off-sale or on-sale wine, without
having on file at all times with the City of Fridley the liability
insurance policy or other evidence of financial responsibility
required under Section 602. 13. 1 shall be grounds for immediate
revocation of the license. Notice of cancellation of a current
liquor liability policy serves as notice to the licensee of the
impending revocation and unless evidence of compliance with the
financial responsibility requirements of Section 602 .13.1 is
presented to the City Clerk before the termination is effective, the
license will be revoked instantly upon the lapse.
6. The City Clerk shall submit the provided proof of financial
responsibility to the Commissioner of Public Safety.
602.14 . REVOCATION
The violation of any provision or condition of this Chapter by beer
licensees or their agents is ground for revocation or suspension of
the license. The license of any person who holds a federal retail
liquor dealer's special tax stamp without a license to sell
intoxicating liquors at such place shall be revoked without notice
and without hearing. In all other cases, except where mandatory
revocation is provided by law without notice and hearing and except
Page 9 -- Ordinance No. 1110
where suspension may be made without a hearing, the holder of the
license shall be granted a hearing upon at least ten (10) days notice
before revocation or suspension is ordered. The notice shall state
the time and place of hearing and the nature of the charges against
the licensee.
602.15 . PENALTIES
Any violation of the provisions of this Chapter is a misdemeanor and
is subject to all penalties provided for such violations under the
provisions of Chapter 901 of this Code.
PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS
10TH DAY OF NOVEMBER, 1997 .
• J. ,411g-NS/p.1 / MAYOR
ATTEST:
:ttiog, a,
WILLIAM A. CHAMPA - ITY CLERK
First Reading: October 17, 1997
Second Reading: November 10, 1997
Publish: November 20, 1997