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HomeMy WebLinkAboutOrdinance 965ORDINANCE NO. 965 BEING AN ORDINANCE AMENDING ORDINANCE NO. 853, CITY OODE OF 1977, PROVIDING FOR ISSUANCE OF ON-SALE WINE LICENSES AND PROVIDING FOR THE REGULATION THEREOF. The City Council of the City of Columbia Heights does ordain: Section 1: Section 5.504 of Ordinance No. 853, City Code of 1977, passed June 21, 1977, which is currently reserved, is herewith amended to read as follows, to-wit: 5.504(1) No person except wholesalers or manufacturers to the extent authorized under state license shall sell or offer for sale any wine without first having received an on-sale wine license issued pursuant to the provisions of this chapter, or an intoxicating liquor license issued pursuant to this chapter. 5.504(2) Definitions shall be as follows: a) "Intoxicating liquor" and "liquor, means ethyl alcohol, distilled, fermented, spiritous, vinous, and malt beverages containing in excess of 3.2% of alcohol by weight. b) "Sale" and "sell" and "sold" means all barters for pecu- niary gain, or all manner and means of furnishing wine in violation or evasion of law. c) "Off-sale" means the sale of wine in original packages in retail stores for consumption off or away from the premises where sold. d) e) "On-sale" means the sale of wine for consumption on the premises only. "Package" or "original package" means any container or receptacle holding liquor, which container or receptacle is corked or sealed. f) "Minor" is a person less than nineteen (19) years of age. g) "Hotel" shall be defined as provided in Section 5.503(1)(f). h) "Interest" shall be defined as provided in Section 5.503(1)(i). -1- i) The term, "on-sale wine license", means a license authorizing the sale of wine and non-intoxicating malt liquor for consumption on the licensed premises only in conjunction with the sale of food. J) The term, "restaurant", when used in connection with "on-sale wine licenses" means an establishment, other than a hotel, under the control of a single proprietor or manager, having appropriate facilities for and the primary purpose of the serving of meals prepared on the licensed premises, and where, in consideration of payment therefor, meals are regularly served at tables to the general public, and which employs an adequate staff to provide the usual and suitable service to its guests. Such establishment shall have facilities for seating not less than 75 guests at one time. At least eighty percent (80%) of the annual gross receipts of the establishment must result from the sale of food. Such establishment shall not have a facility, the pri- mary purpose of which is the selling and serving of non- intoxicating malt liquor or wine, where persons purchase or consume or are served non-intoxicating malt liquor or wine at an elevated counter, commonly known as a bar. k) "Wine" means a beverage containing not more than four- teen percent (14%) of alcohol by volume and made by the fermentation of grapes, grape Juice, other fruits or honey. 5.504(3) Every application for a license shall be verified and filed with the City Clerk. No license may be issued unless at the time of application the applicant shall have paid an investi- gation fee as the Council shall set by resolution. In the absence of any resolution, the fee shall be $250.00. The Council may waive a portion of the fee upon a finding that the application for a license is caused by a mere corporate reorganization with none of the owners of five-or-more per- .cent interest holders changing. Provided, however, that such investigation fee shall be required because of a change in the ownership or control of a licensed corporation or because a person not previously listed in the original application shall seek to acquire or shall have acquired an interest of five percent or more of the ownership of the corporation. No investigation fee shall be charged simply because of the incorporation of an existing licensee without change of ownership, control and interest in the premises or license. At any time that an additional investigation is required because of an alteration, enlargement, or extension of premi- -2- ses previously licensed or a transfer from place to place, the licensee shall pay an additional investigation fee of $100.00. Should the City Council find that an investigation is required outside the State of Minnesota, the Council ~ay require an investigation fee of up to $2,000.00 or such lesser sum as the Council may set by resolution. Upon completion of the investigation, the amount of such fee for an outside-the-state investigation not actually expended, including staff costs, shall be refunded to the applicant. 5.504(4) In addition to the information which may be required by the State Liquor Control Commissioner's form, the on-sale wine license application shall contain the information as provided in Section 5.503(4). 5.504(5) All on-sale wine license applications shall be referred to the Chief of Police for an investigation of whether the applicant has any criminal record, and a report thereon, and to such other City departments as the City Manager shall direct for verification and investigation of the facts set forth in the application. The application shall also be referred to the Chief of the Fire Prevention Bureau and the Building Inspector for a report indicating whether said prem- ises are in compliance with applicable ordinances and regula- tions. A public hearing shall then be held before the Council, at which time the application for a license shall be considered. 5.504(6) The Council may accept or reject the license application in its discretion upon completion of the public hearing, subject to the following criteria: a) No license shall be issued to any person under nineteen (19) years of age. b) No license shall be issued to any applicant who does not have a primary possessory property interest in the pre- mises or location for the sale of wine. c) No license shall be issued to any person convicted of a violation of any law directly related to the sale, possession, manufacture or transportation of liquor, beer or wine, subject to the provisions of Minnesota Statutes Chapter 364. d) No license shall be issued to any corporation or part- nership unless each shareholder and partner therein would be individually eligible and qualified for said license. -3- e) No license shall be issued to any applicant for the sale of wine on any premises also occupied by a previous licensee who was convicted of a violation of this chapter or where a license has been revoked by the Council within the last six months. f) No license shall be issued to any wine or beer manufac- turer, g) No license shall be granted for any hotel or restaurant building, the nearest point of which building structure is within 200 feet of the center of the main or front door of a church measured in a straight line. A church shall have only one main or front door for the purposes of this subdivision. The erection of a church within a prohibited area or a change of location of a main or front door, after an original application has been granted, shall not, in and of itself, render such premi- ses ineligible for renewal of the license; and no license shall be granted for any hotel or restaurant building, the nearest point of which measured in a straight line, is within 300 feet of a school building. h) Licenses shall only be issued to qualified corporations or organizations, or to United States citizens who are residents of the State of Minnesota. i) No license shall be issued to any person who is not of good moral character and repute. J) No license shall be issued to any person who is also the owner and holder of a federal retail liquor dealers spe- cial tax stamp for the sale of intoxicating liquor at any place unless there has also been issued to such per- son a license to sell intoxicating liquor pursuant to the laws of Minnesota. k) No license shall be issued to any applicant which owns an interest in more than one establishment or business within the City of Columbia Heights for which an on-sale wine license has been issued. 1) No license shall be issued for premises other than a hotel or restaurant. 5.504(7) Application for the renewal of an existing on-sale wine license shall be made at least 60 days prior to the date of the expiration of the license. If, in the Judgment of the City Council, good and sufficient cause is shown by an appli- cant for his failure to file for a renewal within the time provided, the City Council may, if the other provisions of this ordinance are complied with, grant the application. -4- 5 At the earliest practicable time after application is made for a renewal of an on-sale licerme, and in any event prior to the time that the application is considered by the City Council, the applicant shall file with the City Clerk a sta- tement prepared by a certified public accountant that shows the total gross sales and the total food sales of the restaurant for the twelve-month period immediately preceding the date for filing renewal applications. A foreign cor- poration shall file a current Certificate of Authority. If the application is by a natural person, it shall be signed and sworn to by such person; if by a corporation, by an officer thereof; if by a partnership, by one of the partners; if by an unincorporated association, by the manager or managing officer thereof. If the applicant is a partnership, the application, license and bond (or insurance policy) shall be made and issued in the name of all partners. On-sale wine license fees shall be as follows: a) The initial license fee shall be paid in full before the application for a license is accepted. Renewal license fees shall be paid in full by December 20 preceding each calendar year. All fees shall be paid into the general fund of the City. All licenses shall expire on the last day of December of each year. Upon rejection of any application for a license, or upon withdrawal of appli- cation before approval of the issuance by the City Council, the license fee shall be refunded to the appli- cant. b) The fee for an on-sale license granted after the commen- cement of the license year shall be prorated on a daily basis. c) When the license is for premises where the building is not ready for occupancy, the time fixed for computation of the license fee for the initial license period shall be 90 days after approval of the license by the City Council or upon the date the building is ready for occu- pancy, whichever is sooner. d) No transfer of a license shall be permitted from place to place or person to person without complying with the requirements of an original application. e) No part of the fee paid for any license issued under this ordinance shall be refunded as a result of the suspension or revocation of a license under this ordi- nance. The City Council may in its Judgment refund a pro rata portion of the fee paid for the unexpired por- tion of a license fee, when operation of the licensed -5- business ceases not less than one month before the expiration of the license because of: (i) (ii) Destruction or damage of the Licensed premises by fire or other catastrophe. The licensee's illness. (iii) The licensee' s death. (iv) A change in the legal status of the municipal- ity making it unlawful for a licensed business to continue. f) Where a new application is filed as a result of incor- poration by an existing licensee and the ownership control and interest in the license are unchanged, no additional license fee will be required. g) The annual license fee shall be set by resolution of the Council. In the absence of a resolution, the annual license fee shall be $2,000.00. 5.504(10) On-sale wine licenses granted pursuant to the provisions of this chapter shall be subject to the following conditions: a) Every license shall be granted subject to the conditions of the following subdivisions and all other subdivisions of this ordinance and of any other applicable ordinance of the City or State law. b) The license shall be posted in a conspicuous place in the licensed establishment at all times. c) d) e) Any police officer, building inspector, or any employee so designated by the City Hanager, shall have the unqualified right to enter, inspect, and search the licensed premises without a warrant during normal busi- ness hours and two hours thereafter if persons are observed upon the licensed premises. Every licensee shall be responsible for the conduct of his place of business and the conditions of sobriety and order in the place of business and on the premises. No on-sale licensee shall sell wine off-sale. f) No license shall be effective beyond the space named in the license for which it was granted. g) No wine shall be sold or furnished or delivered to any intoxicated person, to any habitual drunkard, to any -6- person under 19 years of age, or to any person to ~hom sale is prohibited by state law. h) No person under 19 years of age shall serve wine in any rooms constituting the place in which wine is sold at retail on sale. No person under 18 years of age shall be employed la any rooms constituting the place in which wine is sold at retail "on-sale', except that persons under 18 years of age may be employed as musicians or to perform the duties of a busboy or dishwashing services in places defined as a restaurant or hotel or motel serving food in rooms in which wine is sold at retail "0 rt-- S &le", i) No licensee shall sell, offer for sale, or keep for sale, wine from any original package which has been refilled or partly refilled. No licensee shall directly or through any other person delete or in any manner tamper with the contents of any original package so as to change its composition or alcoholic content while in the original package. Possession on the premises by the licensee of any wine in the original package differing in composition or alcoholic content in the liquor when received from the manufacturer or wholesaler from whom it was purchased, shall be prima facie evidence that the contents of the original package have been diluted, changed or tampered with. J) No licensee or person employed on the licensed premises shall apply for or possess a Federal Wholesale Liquor Dealer's special tax stamp or a federal gambling stamp. k) No licensee shall keep ethyl alcohol or neutral spirits on the licensed premises or permit their use on the prem- ises as a beverage or mixed with a beverage except for beverages licensed hereunder. l) The business records of the licensee, including federal and state tax returns, shall be available for inspection by the City Manager, or other duly authorized represen- tative of the City at all reasonable times. m) No licensee shall knowingly permit the licensed premises or any room in those premises or any adjoining building directly or indirectly under his control to be used as a resort for prostitutes. No licensee shall keep, possess, or operate or permit the keeping, possession, or operation of any slot machine, dice, or any gambling device or apparatus on the licensed premises; and he shall not permit any gambling therein, -7- o) A licensed restaurant shall be conducted in such a manner that eighty percent (80%) or more of the annual gross receipts for a licensee year is attributable to or derived from the serving of foods. A hotel shall be conducted in such a manner that, of that pert of the total annual gross receipts attributable to or derived from the serving of foods and wine, eighty percent or more of the annual gross receipts for a license year is %he serving of foods. 5.504(11) No sale of wine shall be made after one a.m. on Sunday, nor until eight a.m. on Monday, nor between the hours of one a.m. and eight p.m. on the day of any statewide election. No sale shall be made between the hours of one a.m. and eight a.m. on any weekday. No licensee shall permit the consumption of wine upon the licensed premises after 1:30 a.m. on Sunday, nor until 8:00 a.m. on Monday, nor between the hours of 1:30 a.m. and 8:00 p.m. on the day of any statewide election, nor between the hours of 1:30 a.m. and 8:00 a.m. on any weekday. 5.504(12) No sale of wine shall be made to or in guest rooms of hotels unless the rules of such hotel provide for the service of meals in guest rooms or unless the sale of such wine is made in the manner on sales are required to be made or unless such sale accompanies and is incidental to the regular service of meals to guests therein or unless the rules of such hotel and the description, location, and number of such guest rooms are fully set out in the application for a license. 5.504(13) Restrictions on purchase and consumption are as follows: a) No licensee, his agent, or employee shall serve or dispense upon the licensed premises wine to any person under the age of 19 years; nor shall such licensee, his agent, or employee permit any person under the age of 19 years to be furnished or consume wine on the licensed premises; nor shall such licensee, his agent, or employee permit any person under the age of 19 years to be delivered any wine. b) No person under 19 years of age shall misrepresent his age for the purpose of obtaining wine nor shall he enter any premises licensed for the retail on-sale of wine for the purpose of purchasing or having served or delivered to him for consuming any such wine nor shall any such person purchase, attempt to purchase, consume, or have another person purchase for him any wine. -8- c) No person under 19 years of age shall receive delivery of wine. d) No person shall induce a person under the age of 19 years to purchase or procure or obtain wine. e> Proof of age for purposes of consuming, purchasing, or possessing wine, the consumption, sale, or possession of which is regulated by age may only be established by a valid driver license or a current nonqualification certificate issued pursuant to Minnesota Statutes, Section 171.07. f) No person shall give, sell, procure, or purchase wine to or for any person to whom the sale of wine is forbidden by law. g) No person shall mix or prepare wine for consumption or consume in any public place not licensed in accordance with the ordinances of the City of Columbia Heights and State of Minnesota. 5.504(14) An applicant for an on-sale wine license shall file with the City Clerk a bond with corporate surety, or a liability insurance policy or, in lieu thereof, cash or United States government bonds in a sum set by resolution of the Council, which bond shall be approved by the Council. In the absence of a resolution, said sum shall be $5,000.00. In the event a liability insurance policy is filed, such liability insurance policy shall be in the amount of $100,000 coverage for one person and $300,000 coverage for more than one person and shall specifically provide for the payment by the insurance company on behalf of the insured of all sums which the insured shall become obliged to pay by reason of liability imposed upon him by law for injuries or damages to persons, other than employees, including the liability imposed upon the insured by reason of Minnesota Statute §340.95. Such liability insurance policy shall further provide that no can- cellation for any cause can be made either by the insured or the insurance company without first giving ten days' notice to the City in writing of the intention to cancel the same, addressed to the License Division. Further, it shall provide that no payment of any claim by the insurance company shall in any manner decrease the coverage provided for in respect to any other claim or claims brought against the insured or company thereafter. Such policy shall be conditioned that the insurer shall pay to the extent of the principal amount of the policy any damages for death or injury caused by or resulting from the violation of any law relating to the busi- ness for which such license has been granted. The licensee and the City shall be named as Joint insureds on the liabi- lity insurance policy. -9-