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Memo - 2nd Reading for Ordinance 2004-938 Police Department . Memo To: Honorable Mayor and City Council Members From: Craig A. Reid, Chief of Police Date: 12/21/04 Re: Second Reading for Ordinance 2004-938 Staff recommends that the Council approve the following motion: Move to approve Ordinance #2004-938 for second readinq, approve the summary of Ordinance #2004-938 and order the summary published. This is the second reading of Ordinance 2004-938. Letters were sent to the liquor . licensees on May 17, 2004 inviting them to attend a meeting with the Chemical Health Commission to review the proposed changes to the liquor ordinance and the creation of the Best Practices Program. Seven (7) license holders attended this meeting. Letters were then sent out on November 10,2004 to the licensees informing them of the first reading of the ordinance. One (1) licensee attended this Council meeting. Letters were hand-delivered to liquor licensees on December 9, 2004 notifying them of the second reading of the liquor ordinance. One change was made since the first reading. In the second paragraph under "Suspensions", the sentence stating, "license holders have the right to request a hearing before City Council if not in agreement with the presumptive penalty" has been deleted. This change was made at the direction of the City Attorney as the right to a hearing is provided in the earlier provision dealing with the Administrative Procedures Act (1200.52. Hearing Notice). This does not impact the second reading of the ordinance. Attach ments: . Ordinance 2004-938 . Summary Ordinance 2004-938 . . Page 1 ----.-...---- .-- - --. CITY OF HOPKINS Hennepin County, Minnesota . Ordinance 2004 - 938 Amending Section 1200 of the Hopkins City Code THE CITY COUNCIL OF THE CITY OF HOPKINS DOES HEREBY ORDAIN AS FOllOWS: Section 1: Amend Section 1200.42 by adding Subd. 5. Training, Each licensee must have at least one representative attend all mandatory liquor license trainino seminars conducted by the city. The representative need not be the same person each time but must hold a position of responsibility in either the ownership or management of the licensee. Section 2: The following sections shall be added: 1200.52. Hearing Notice. No suspension or revocation will take effect until the licensee has been afforded an opportunity for a hearing pursuant to Administrative Procedure Act MN Statute Section 14,57 to 14.70. 1200.54. Presumptive Civil Penalties. Subdivision 1. Purpose. The purpose of this section is to establish a standard by which the City Council determines the length of license suspensions and the propriety of revocations, and shall apply to all licensed premises under this Chapter. These penalties are presumed to be appropriate for every case; however, the . Council may deviate in an individual case where the Council finds that there exist substantial reasons making it more appropriate to deviate, such as, but not limited to, a licensee's efforts in combination with the State or City to prevent the sale of alcohol to minors, When deviating from these standards, the Council will provide written findings that support the penalty selected. Subd. 2. Minimum Penalties for Violations. The minimum penalties for convictions or violations must be presumed as follows: The following violations require revocation of the license on the first violation: . Commission of a felony related to the licensed activity. . Sale of alcoholic beverages while license is under suspension. Best Practices Establishments. Establishments entering into an agreement with the Police Department as a Best Practices Establishment will use the Best Practices grid. The following violations are subject to the penalty grid described below: . Sale of alcoholic beverage to under-age person, . Sale of alcoholic beveraoe to obviously intoxicated person. . Sale/consumption of alcoholic beverage before/after hours, . Illegal gambling on premises, . Permit person to leave premises with alcoholic beverage (on-sale allowing off-sale). . Violations of City Ordinances pertaining to fire, building, or health codes. . 15t Violation 2nd Violation 3'd Violation 4th Violation $ 500 plus $1,000 plus $2,000 plus Revocation 4 days suspension 6 days suspension 10 days suspension CITY OF HOPKINS Hennepin County, Minnesota . Ordinance 2004 - 938 Amending Section 1200 of the Hopkins City Code THE CITY COUNCil OF THE CITY OF HOPKINS DOES HEREBY ORDAIN AS FOllOWS: Section 1: Amend Section 1200.42 by adding Subd. 5, Training. Each licensee must have at least one representative attend all mandatory liquor license training seminars conducted by the city. The representative need not be the same person each time but must hold a position of responsibility in either the ownership or mana~ement of the licensee. Section 2: The following sections shall be added: 1200.52. Hearin~ Notice. No suspension or revocation will take effect until the licensee has been afforded an opportunity for a hearin~ pursuant to Administrative Procedure Act MN Statute Section 14.57 to 14.70. 1200.54. Presumptive Civil Penalties. Subdivision 1, Purpose. The purpose of this section is to establish a standard by which the City Council determines the length of license suspensions and the propriety of revocations, and shall apply to all licensed premises under this Chapter. These penalties are presumed to be appropriate for every case; however, the . Council may deviate in an individual case where the Council finds that there exist substantial reasons makin~ it more appropriate to deviate, such as, but not limited to, a licensee's efforts in combination with the State or City to prevent the sale of alcohol to minors. When deviating from these standards, the Council will provide written findings that support the penalty selected. Subd. 2. Minimum Penalties for Violations, The minimum penalties for convictions or violations must be presumed as follows: The followin~ violations require revocation of the license on the first violation: . Com miss ion of a felony related to the licensed activity. . Sale of alcoholic beverages while license is under suspension. Best Practices Establish ments. Establishments entering into an agreement with the Police Department as a Best Practices Establishment will use the Best Practices ~rid. The following violations are subject to the penalty grid described below: . Sale of alcoholic beverar:Je to under-a~e person. . Sale of alcoholic beverage to obviously intoxicated person. . Sale/consumption of alcoholic beverage before/after hours. . Illegal gamblin~ on premises. . Permit person to leave premises with alcoholic beverage (on-sale allowin~ off-sale). . Violations of City Ordinances pertaining to fire, building, or health codes. . 151 Violation 2nd Violation 3'd Violation 4th Violation $500 plus $1,000 plus $ 2,000 plus Revocation 4 days suspension 6 days suspension 10 days suspension . BEST PRACTICES PENAL TV GRID: 1't Violation 2nd Violation 3'd Violation $500 $1 ,000 plus Return to regular penalty grid and off Best 5 days suspension, Practices for 1 year. stayed Suspensions. Suspensions will commence on the same day of the week as the occurrence of the violation. Unless specified, numbers indicate consecutive days' suspension during regular business hours. First violations would be handled by an administrative hearing with the Police Chief or his/her designee with the presumptive penalty given to license holders. For Best Practices establishments first and second violations would be handled by an administrative hearing with the Police Chief or his/her designee. Hearings shall take place immediately following the violation. The Police Chief has the right to request a hearing if he/she believes there exists substantial reason making it appropriate to deviate from the presumptive penalty. If the Police Chief and the licensee agree on the presumptive penalty, these will be reported to the City Council in a staff report, Computation of Time. For the purpose of determining the number of occurrences of violations, the Council shall consider a violation as a second occurrence if it occurred within 24 calendar months of the first violation; and shall consider a violation as a third occurrence if it occurred within 36 calendar months of the second violation. . Other Penalties. Nothing in this section shall restrict or limit the authority of the Council to suspend up to 60 days, revoke the license, assess a civil fine not to exceed $2,000, to i m pose conditions or take any adverse action in accordance with law, provided that the license holder has been afforded an opportunity for a hearing, Section 3: The effective date of this ordinance shall be the date of publication. FIRST READING December 7, 2004 SECOND READING December 21, 2004 DATE OF PUBLICATION December 30, 2004 Eugene J Maxwell, Mayor ATTEST: Terry Obermaier, City Clerk APPROVED AS TO FORM AND LEGALITY: . City Attorney Signature Date . CITY OF HOPKINS COUNTY OF HENNEPIN SUMMARY OF ORDINANCE NO. 2004-938 AN ORDINANCE REVISING VARIOUS SECTIONS OF THE CITY CODE RELATED TO LIQUOR LICENSES The following is a summary of the major revisions of the ordinance: Section 1200 Sale, Consumption and Display of Alcoholic Beverages . Adds requirement that each licensee have at least one representative attend all mandatory liquor license training conducted by the city. . No suspension or revocation will take effect until the licensee has had the opportunity for a hearing. . Adds presumptive civil penalties as part of the ordinance, . Creates a Best Practices Program, A printed copy of the entire ordinance is available from the City Clerk and the . Hopkins Library. First Reading of Ordinance 2004-938 December 7, 2004 Second Reading of Ordinance 2004-938 December 21,2004 Publication of Summary Ordinance 2004-938 December 21,2004 Effective Date of Ordinance 2004-938 December 30,2004 . -- -.".-.-