CHAPTER 111:  ALCOHOLIC BEVERAGES

111.01  Adoption of state law
111.02  License required
111.03  License application, bond, and insurance
111.04  License fee and term
111.05  License issuance and transferability
111.06  Persons ineligible
111.07  Places ineligible
111.08  Conditions of license
111.09  Restrictions on purchase and consumption
111.10  License suspension and revocation
111.11  Violations
111.12  Nudity on the premises of licensed establishments prohibited
Cross-reference:
General offenses; alcoholic beverages, see § 130.50
Public nuisances affecting morals and decency; intoxicating liquor, see § 92.03

§ 111.01  ADOPTION OF STATE LAW.

The provisions of M.S. Chapter 340A, as it may be amended from time to time, relating to the definition of terms, licensing, consumption, sales, conditions of bonds of licensees, hours of sale, and all other matters pertaining to the retail sale, distribution, and consumption of intoxicating liquor are adopted and made a part of this chapter as if set out in full.
(Ord. passed 10‑25‑93)

§ 111.02  LICENSE REQUIRED.

(A)  General requirement.  No person, except a wholesaler or manufacturer to the extent authorized under state license, shall directly or indirectly deal in, sell, or keep for sale in the city any intoxicating liquor without a license to do so as provided in this chapter.  Liquor licenses shall be of three kinds:  “on-sale,” “off-sale,” and club licenses.  A person meeting the requirements of this chapter shall be permitted at the discretion of the City Council to simultaneously hold both an “off-sale” and “on-sale” license; provided, however, that the business conducted in connection with each license shall be maintained in separate premises.
(B)  On-sale licenses.

          (1)  “On-sale” licenses shall be issued only to hotels, clubs, restaurants, and exclusive liquor stores and shall permit “on-sale” of liquor only.

          (2)  For purposes of this chapter, the term RESTAURANT shall mean any place, other than a hotel, having the appropriate facilities for the serving of meals and the seating for not fewer than 60 guests, and where, in consideration of payment therefor, meals are regularly served at tables and/or booths to the public, and which employs an adequate staff to provide the usual and suitable service to its guests, and the principal business of which is the serving of foods.

(C)  Off-sale licenses.  “Off-sale” licenses shall be issued only to drug stores and exclusive liquor stores and shall permit “off-sale” of liquor only.  No more than one “off-sale” license shall be issued in the calendar year 1994.  Thereafter, the City Council may issue two licenses; provided, however, that if two licenses are issued, one of the licensees must be a person or firm which owns a restaurant within the city limits.

(D)  Special club licenses.  Special club licenses shall be issued only to incorporated clubs which have been in existence for 15 years or more or to congressionally chartered veterans' organizations which have been in existence for 10 years.
(Ord. passed 10‑25‑93)

§ 111.03  LICENSE APPLICATION, BOND, AND INSURANCE.

(A)  Application form.

          (1)  Generally.

                   (a)  Every application for a license to sell liquor shall state:

                             1.  The name of the applicant and his or her age and address.

                            2.  Representations as to his or her character, with such references as the Council may require.

                             3.  His or her citizenship.

                             4.  The type of license applied for.

                            5.  The business in connection with which the proposed license will operate and the operator of the business.

                             6.  The length of time the applicant has been in that business at that place or, if a new business, the location of the   proposed business.

                             7.  The name and address of the owners of the real estate, fixtures, buildings, and furniture where the sales will be made.

                             8.  The name and address of every person who will have charge, management, or control or in any way participate in the charge, management, or control of the premises where the sales are to be made.

                             9.  Whether the applicant, the owner of the premises, or any person identified in division 7 above has been convicted in the preceding five years of any violation of any provision of M.S. Chapter 340A, as it may be amended from time to time.

                             10.  An acknowledgment that the information furnished under this subsection is a continuing obligation and any changes from the original application will be furnished to the City Administrator in writing within three days of the change.

                             11.  Such other information as the Council may require from time to time.

                   (b)  In addition to containing such information, the application shall be in the form prescribed by the Commissioner of Public Safety and shall be acknowledged under oath and filed with the City Administrator.  No person shall make a false statement in an application.

          (2)  Corporate applicants.  If the applicant is a corporation, the applicant shall also provide: 

                  (a)  The name and address of each shareholder, officer, and director.

                   (b)  The business purpose of the corporation.

                   (c)  The date of incorporation.

                   (d)  Such other information as the Council may require.

(B)  Bond.  Each application for a license shall be accompanied by a surety bond or, in lieu thereof, cash or United States Government bonds of equivalent market value.  The surety bond or other security shall be in the sum of $5,000 for an applicant for an “on-sale” license and $2,000 for an applicant for an “off-sale” license.  The bond shall provide for forfeiture to the city in the event of violation by the licensee of any provision of this chapter or of state law as incorporated herein.

(C)  Liability insurance.  Prior to the issuance of a liquor license, the applicant shall file with the City Administrator a liability insurance policy in the amount of not less than $50,000 coverage for bodily injury to, and $50,000 coverage for loss of means of support for, one person, $100,000 of the aforementioned coverages for more than one person, and $10,000 for property damage.  The policy of insurance issued pursuant to this chapter shall in all respects comply with state law and shall provide that coverages shall not be canceled by the insurer except upon 30 days advance notice to the city, or by the licensee except upon ten days advance notice to the city.  If a liability insurance policy is made subject to all the conditions of a bond under that statute, the policy may be accepted by the Council in lieu of the bond required.

(D)  Approval of security.  The security offered under divisions (B) and (C) shall be approved by the City Council and, in the case of applicants for “off-sale” licenses, by the State Commissioner of Public Safety.  Surety bonds and liability insurance policies shall be approved as to form by the City Attorney.  Operation of a licensed business without having on file with the city at all times effective security as required in divisions (B) and (C) is a cause for revocation of the license.
(Ord. passed 10‑25‑93)

§ 111.04  LICENSE FEE AND TERM.

(A)  Fees.  The annual fee for a liquor license shall be $500 for an “on-sale” license, $100 for an “off-sale” license, $100 for a special license for Sunday sales and the maximum permitted pursuant to M.S. § 340A.408(2)(b), as it may be amended from time to time, for a club license.

(B)  Payment.  Each application for a license shall be accompanied by a receipt from the City Administrator for payment in full of the license fee and the fixed investigation fee required under § 111.05, if any.  All fees shall be paid into the General Fund.  If an application for a license is rejected, the City Administrator shall refund the amount paid as the license fee.

(C)  Term, pro rata fee.

          (1)  Each license shall be issued for a period of one year except that if the application is made during the license year, a license may be issued for the remainder of the year for a pro rata fee, with any unexpired fraction of a month being counted as one month.

          (2)  Every license shall expire on the last day of the calendar year of issue.
(Ord. passed 10‑25‑93)

§ 111.05  LICENSE ISSUANCE AND TRANSFERABILITY.

(A)  Preliminary investigation.  On an application for issuance or transfer of an existing “on-sale” or “off-sale” license, the applicant shall pay with his or her application an investigation fee of $500 and the city shall conduct a preliminary background and financial investigation of the applicant.  The applicant shall be charged only for the actual costs incurred by the city in connection with its investigation up to a maximum amount of $500.  The application in such case shall be made on a form prescribed by the State Bureau of Criminal Apprehension and contain such additional information as the Council may require.  If the Council deems it in the public interest to have an investigation made on a particular application for renewal for an “on-sale” license, it shall so determine.  If the Council determines that a comprehensive background and investigation of the applicant is necessary, it may conduct the investigation itself or contract with the Bureau of Criminal Investigation for the investigation.  No license shall be issued, transferred, or renewed if the results show to the satisfaction of the Council that issuance would not be in the public interest.  If an investigation outside the state is required, the applicant shall be charged the actual cost not to exceed $10,000; provided, however, that $3,000 shall be payable in advance and such additional sums shall be paid in the amounts and at the times requested by the City Administrator as may be needed to complete the investigation.  The fee shall be payable by the applicant whether or not the license is granted.

(B)  Hearing and issuance.  The City Council shall investigate all facts set out in the application and not investigated in the preliminary background and financial investigation conducted pursuant to division (A).  Opportunity shall be given to any person to be heard for or against the granting of the license.  After the investigation and hearing, the Council shall, in its discretion, grant or refuse the application.  No “off-sale” license shall be effective until it, together with the security furnished by the applicant, has been approved by the Commissioner of Public Safety.

(C)  Person and premises licensed; transferability.  Each license shall be issued only to the applicant and for the premises described in the application.  No license may be transferred to another person or place without City Council approval.  Any transfer of stock of a corporate license is deemed a transfer of the license, and a transfer of stock without prior Council approval is a ground for revocation of the license.
(Ord. passed 10‑25‑93)

§ 111.06  PERSONS INELIGIBLE.

No license shall be granted to any person made ineligible for the license by state law.
(Ord. passed 10‑25‑93)

§ 111.07  PLACES INELIGIBLE.

(A)  General prohibition.  No license shall be issued for any place or any business ineligible for the  license under state law.

(B)  Delinquent taxes and charges.  No license shall be granted for operation on any premises on which taxes, assessments, or other financial claims of the city are delinquent and unpaid.

(C)  Distance from school or church.  No license shall be granted within 600 feet of any school or church.  In applying this restriction the distance shall be measured between the main front entrances of the two buildings following the route of ordinary pedestrian travel.
(Ord. passed 10‑25‑93)

§ 111.08  CONDITIONS OF LICENSE.

(A)  In general.  Every license is subject to the conditions in the following subdivisions and all other provisions of this chapter and of any applicable ordinance, code provision, state law, or regulation.

(B)  Licensee's responsibility.  Every licensee is responsible for the conduct of his or her place of business and the conditions of sobriety and order in it.  The act of any employee on the licensed premises authorized to sell intoxicating liquor there is deemed the act of the licensee as well, and the licensee shall be liable to all penalties provided by this chapter and the law equally with the employee.

(C)  Inspections.  Every licensee shall allow any peace officer, health officer, or properly designated officer or employee of the city to enter, inspect, and search the premises of the licensee during business hours without a warrant.

(D)  Display during prohibited hours.  No “on-sale” establishment shall display liquor to the public during hours when the sale of liquor is prohibited.

(E)  Federal stamps.  No licensee shall possess a federal wholesale liquor dealer's special tax stamp or a federal gambling stamp.
(Ord. passed 10‑25‑93)

§ 111.09  RESTRICTIONS ON PURCHASE AND CONSUMPTION.

(A)  Liquor in unlicensed places.  No person shall mix or prepare liquor for consumption in any public place or place of business unless it has a license to sell liquor “on-sale” or a permit from the Commissioner of Public Safety under M.S. § 340A.414, as it may be amended from time to time, and no person shall consume liquor in any such place.

(B)  Consumption in public places.  No person shall consume liquor in a public park or other public place without first securing a written permit from the City Council.
(Ord. passed 10‑25‑93)
Cross-reference:
Alcoholic beverages; permits and consumption in public places, see § 130.50

§ 111.10  LICENSE SUSPENSION AND REVOCATION.

The Council may either suspend for not to exceed 60 days or revoke any liquor license upon a finding that the licensee has failed to comply with any applicable statute, regulation, code provision, or ordinance relating to intoxicating liquor.  No suspension or revocation shall take effect until the licensee has been afforded an opportunity for a hearing pursuant to M.S. §§ 15.0418 through 15.0426, as they may be amended from time to time.
(Ord. passed 10‑25‑93)

§ 111.11  VIOLATIONS.

Any licensee who violates any section of this chapter may be prosecuted and punished in the manner prescribed by state law for the same offense.
(Ord. passed 10‑25‑93)

§ 111.12  NUDITY ON THE PREMISES OF LICENSED ESTABLISHMENTS PROHIBITED.

(A)  The City Council finds that it is in the best interests of the public health, safety, and general welfare of the people of the city that nudity is prohibited as provided in this section on the premises of any establishment licensed under this chapter. This is to protect and assist the owners, operators, and employees of the establishment, as well as patrons and the public in general, from harm stemming from the physical immediacy and combination of alcohol, nudity, and sex. The Council especially intends to prevent any subliminal endorsement of sexual harassment or activities likely to lead to the possibility of various criminal conduct, including prostitution, sexual assault, and disorderly conduct. The Council also finds that the prohibition of nudity on the premises of any establishment licensed under this chapter, as set forth in this section, reflects the prevailing community standards of the city. 

(B)  It is unlawful for any licensee to permit or allow any person or persons on the licensed premises when the person does not have his or her buttocks, anus, breasts, and genitals covered with a non‑transparent material. It is unlawful for any person to be on the licensed premises when the person does not have his or her buttocks, anus, breasts, and genitals covered with a non‑transparent material.

(C)  A violation of this section is a misdemeanor punishable as provided by law, and is justification for revocation or suspension of any liquor, wine, or 3.2 percent malt liquor license.
Penalty, see § 10.99