CR 92-148 Adult Business License
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.~.IY 15, 1992 Council Report 92-148
ADUL T BUSINESS LICENSE
ProDosed Action
Staff recommends that the Council approve the following motion: Move that the Hopkins City Council approve Ordinance
#92-709 for second reading and order published and approve Resolution # 92-63 setting fees for licensing adult businesses.
This action will complete the process of establishing licensing procedures for adult businesses.
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Overview
The Hopkins City Council approved Ordinance #92-709 for first reading in May of this year. The ordinance has since been
reviewed by the Police Department, the Inspections Department, and the City Attorney. . Several changes have been made in the
ordinance based upon these reviews.
Resolution #92-63 will set the fees for adult establishments. The, investigation fee will be $500.00 which is identical to the
investigation fees charged for liquor licenses. The annual fee will be $400.00 which is what the City of Fridley charges for their
el!dult business license.
Primary Issues to Consider
. What changes have been made in the ordinance since first reading?
The following changes have been made:
1) Several definitions have been amended so that an establishment the does not completely bar minors but only allows
them in part of the establishment is still considered an adult establishment if its prim~ business is sexual in nature.
2) Day care centers have been added as a use that a adult business cannot be near.
3) Sections in the original ordinance that referred to an applicant's spouse have been deleted.
4) Other minor wording changes have been made,
SUDDortin2 Information
. Ordinance .#92-709
. Resolution #92-63
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. HENNEPIN COUNTY, MINNESOTA
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ORDINANCE NO. 92-709
AN ORDINANCE AMENDING THE HOPKINS CITY CODE
BY ADDING SECTION 1165
LICENSING ADULT ORIENTED BUSINESSES
BE IT ORDAINED by the Council of the City of Hopkins as follows:
'SECTION 1. That Chapter XI be amended by adding Section 1165 to read
as follows:
1165.01. Purpose and Intent. Subdivision 1. Findings. It is the purpose of this
ordinance to regulate Adult Oriented Businesses to promote the health, safety,
morals, and general welfare of the citizens of the City and to establish reasonable
and uniform regulations to:
a. Prevent additional criminal activity within the City;
b, Prevent deterioration of neighborhoods and its consequent adverse effect
on real estate values of properties within the neighborhood;
c. To locate Adult Oriented Businesses away from residential areas, schools,
. churches, and parks and playgrounds;
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d. Prevent concentration of Adult Oriented Businesses within certain areas
of the City.
Subd, 2. The provisions of this ordinance have' neither the purpose nor
effect of imposing a limitation or restriction on the content of any communicative
materials, including Adult oriented materials. Similarly, it is not the intent nor
effect of this ordinance to restrict or deny access by adults to Adult oriented
materials protected by the First Amendment, or to deny access by distributors and
exhibitors of Adult oriented entertainment to their intended market,
1165.03. Definitions. Subdivision 1. For purposes of this section the terms
defined in this section have the meanings given them.
Subd, 2. Adult Use. Any of the activities and businesses described below
constitute "Adult Oriented Businesses" which are subject to the regulations of this
ordinance.
Subd. 3. Adul t Book and/or. Media Store, An establishment which excludes
minors and which has a substantial portion of its stock, in trade or stock on display
books, magazines, films, videotape, or other media which are characterized by their
emphasis on matter depicting, describing, or relating to "specified sexual
activities" or "specified anatomical areas".
. Subd. 4. Adult Cabaret. An establishment which provides .dancing or other
live entertainment, if such establishment excludes minors by virtue of age from all
or part of the establishment and if such dancing or other live entertainment is
distinguished or characterized by an emphasis on the performance, depiction or
description of "specified sexual activities" or "specified anatomical areas".
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. Subd. 5. Adult Establishment. Any business which offers its patrons
services, entertainment, or the sale of , merchandise characterized by an emphasis on
matter depicting, exposing, describing, discussing, or relating to specified sexual
activities or specified anatomical areas. Specifically included in the term, but
without limitation, are adult book and media stores, adult cabarets, adult hotels or
motels, adult mini-motion picture theaters, adult modeling studios, adult motion
picture arcades, adult motion picture theaters, adult novelty businesses, and other
adult establishments.
Subd. 6. Adult Hotel or Motel. Adult hotel or motel means a hotel or motel
from which minors are specifically exciuded from patronage and wherein material is
presented which is distinguished or characterized by an emphasis on matter depicting,
describing, or relating to specified sexual activities or specified anatomical areas,
Subd. 7. Adult Mini-Motion Picture Theater.
a) A theater in an enclosed building, from which minors are excluded
from all or part of the establishment, with a capacity for less than 50 persons
used for presenting motion pictures, including but not limi ted to film, and
videotape, having as a dominant theme material distinguished or characterized
by an emphasis on matter depicting, describing, or relating to "specified
sexual activities" or "specified anatomical areas".
b) Any business which presents motion pictures, from which minors are
. excluded from all or part of the establishment, including films and videotapes,
having as a dominant theme material distinguished or characterized by an
emphasis on matter depicting, describing, or relating to "specified sexual
activities" or "specified anatomical areas" , for viewing on the premises,
including but not limited to private booths, viewing by means of coin operated
or other mechanical devices, and the viewing of excerpts of motion pictures
offered for sale or rent.
Subd. 8, Adult Modeling Studio. An establishment, which excludes minors
from all or part of the establishment, whose major business is the provision, to
customers, of figure models who are so provided with ,the intent of providing sexual
stimulation or sexual gratification to such customers and who engage in 'specified
sexual activities or display specified anatomi.cal areas while being observed,
painted, painted upon, sketched, drawn, sculptured, photographed, or otherwise
depicted by such customers,
Subd. 9. Adult Motion Picture Arcade. ' Any piace which excludes minors from
all or part of the establishment wherein coin or token operated or electronically,
electrically, or mechanically controlled or operated still or motor picture machines,
projectors, or other image-producing devices are maintained to show images to five or
fewer persons per machine at any one time, and where the images so displayed are
distinguished or characterized by an emphasis on depicting or describing specified
sexual activities or specified anatomical areas.
Subd. 10. Adult Motion Picture Theater. A theater in an enclosed building,
from which minors are excluded from all or part of the establishment, with a capacity
. of 50 or more persons used regularly and routinely for presenting live entertainment
or motion pictures, including but not limi ted to film and videotape, having as a.
dominant theme material distinguished or characterized by an emphasis on matter
depicting, describing, or relating to "specified sexual activities" or "specified
anatomical areas" for observation by patrons therein.
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Subd. 11. Adult Novelty Business. A business, from which minors are excluded
from all or part of the establishment, which sells, offers to sell, or displays
devices which simulate human genitals or devices which are designed for sexual
stimulation.
Subd. 12. Specified Anatomical Areas are any of the following conditions:
a) Less than completely and opaquely covered:
1) human genitals, pubic region, or pubic hair;
2) buttock; and
3) female breast below a point immediately above the top of the
areola; and
b) Human male genitals in a discernibly turgid state, even if opaquely'
covered.
Subd. 13. Specified Sexual Activities are any of the following conditions:
a) An act of sexual intercourse, normal or perverted, actual or
simulated, including genital-genital, anal-genital, or oral-genital
intercourse, whether between human beings or between a human being and an
animal,
. b) Sadomasochistic abuse, meaning flagellation or torture by or upon a
person who is nude or clad in undergarments or in a revealing costume or the
condition of being fettered, bound, or otherwise physically restricted on the
part of one so clothed.
c) Masturbation or lewd exhibitions of the genitals including any
explicit, close-up representation of a human genital organ,
d) Physical contact or simulated physical contact with the clothed or
unclothed pubic areas or buttocks of a human male or female, or the breasts of
a female, whether alone or between members of the same or opposite sex or
between humans and animals in an act of apparent sexual stimulation or
gratification.
1165.05. Application of this Ordinance, Except as in this ordinance specifically
provided, no structure shall be erected, converted, enlarged, reconstructed, or
altered, and no structure or land shall be used, for any purpose nor in any manner
which is not in conformity with this ordinance.
No Adult Oriented Business shall engage in any activity or conduct or permit any
other person to engage in any activity or conduct in or about the establishment which
is prohibited by any ordinance of the City of Hopkins, the laws of the State of
Minnesota, or the United States of America. Nothing in this ordinance shall be
cons trued as authorizing or permitting conduct which is prohibited or regulated by
. other statutes or ordinances, including but not 11mi ted to statutes or ordinance
prohibiting the, exhibition, sale, or distribution of obscene material generally, or
the exhibition, sale, or distribution of specified materials to minors.
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tit 1165.09. Location. During the term of this ordinance, no Adult Oriented
Businesses shall be located less than 300 feet from any residential zoning district
boundary or site used for residential purposes, and less than 1,000 feet from any
church site, from any school site, from any day care facility, or from any park which
is adjacent to property zoned residential. In addition, no Adult Oriented Business
may be located within 1'~000 feet of another Adult Oriented Business. For purposes of
this ordinance, this distance shall' be a horizontal measurement from the nearest
existing residential district boundary or site used for residential purposes, church
site, school site, day care site, park site, or another Adult Oriented Business site
to the nearest boundary of the proposed Adult Oriented Business site.
1165.11. Hours of Operation. No Adult Oriented Business site shall be open to, the
public from the hours of 10:00 o'clock p.m. to 8:00 o'clock a.m.
1165,13. Operation. Subdivision 1. Off-site Viewing. An establishment operating
as a Adult Oriented Business shall prevent off-site viewing of its merchandise, which
if viewed by a minor, would be in violation of M.S. Chapter 617 or other applicable
Federal or State Statutes or local ordinances. .
Subd. 2. Entrances. All entrances to the business, with the exception of
emergency fire exits which are not useable by patrons to enter the business, shall be
visible from a public right-of-way.
Subd. 3 Layout. The layout of the display areas shall be designed so that
, 'the management of the establishment and any law enforcement personnel inside the
..~'" store can observe all patrons while they have access to any merchandise offered for
sale or viewing including but not limited to books ,magazines, photographs, video
tapes, or any other material.
Subd. 4 Illumination. Illumination of the premises exterior shall be
adequate to observe the location and activities of all persons on the exterior
premises.
Subd. 5 Signs. Signs for Adult Oriented Businesses shall comply with the
City's sign ordinance, and in addition signs for Adult Oriented Businesses shall not
contain representational depictions of an 'adult nature or graphic descriptions of the
adult theme of the operation.
1165.15, Licenses. Subd. 1 License Reauired. All establishments, including any
business operating at the time this ordinance becomes effective, operating or
intending to operate Adult Oriented Business, shall apply for and obtain a license
with the City of Hopkins. A person is in violation of the City Code if he or she
operates a Adult Oriented Business without a valid license, issued by the City.
Subd 2. Applications. An application for a license must be made on a form
provided by the City.
a) The application must be accompanied by a sketch or diagram showing the
configuration of the premises, including a statement of total floor space
occupied by the business. The sketch or diagram need not be
.' professionally prepared but must be drawn to a designated scale or drawn
, with marked dimensions of the interior of the premises to an accuracy of
plus or minus six inches.
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. b) The applicant must be qualified according to the provisions of this
chapter and the premises must be inspected and found to be in compliance
with the appropriate state, county, and local laws and codes by the
health official, fire marshal, and building official.
c) Application for license shall contain the address and legal description
of the property to be used; the names, addresses, phone numbers, date of
birth, of the owner, lessee, if any, the operator or manager, and all '
employees; the name, address, and phone number of two persons, who shall
be residents of the State of Minnesota, and who may be called upon to
attest, to the applicant's, manager's, or operator's character; whether
the applicant, manager, or operator has ever been convicted ora crime or
offense other than a traffic offense and, if so, complete and accurate
information as to the time, place, and nature of such crime or offense
including the disposition thereof; the names and addresses of all
creditors of the applicant, owner, lessee, or manager insofar as and
regarding credit which has been extended for the purposes of
constructing, equipping, maintaining, operating, or furnishing! or
acquiring the premises, personal effects, equipment, or anything incident
to the establishment, maintenance and operation of the business.
d) If the application is made on behalf of a corporation, 'joint business
venture, partnership, or any legally constituted business association, it
shall submit along with its application, accurate and complete business
records showing the names, addresses, and dates of birth of all
. individuals having an interest in the business, including partners,
officers, owners, and creditors furnishing credit for the establishment,
acquisition, maintenance, and furnishings of said business and, in the
case of a corporation, the names, addresses, and dates of birth of all
officers, general managers, members of the board of directors as well as
any creditors who have extended credit for the acquisition, maintenance,
operation, or furnishing of the establishment including the purchase or
acquisition of any items of personal property for use in said operation.
e) All applicants shall furnish to the City, along with their applications,
complete and accurate documentation establishing the interest of the
applicant and any other person having an interest in the premises upon
which the building is proposed to be located or the furnishings thereof,
personal property thereof, or the operation or maintenance thereof,
Documentation shall be in the form of a lease, deed, contract for deed,
mortgage deed, mortgage credit arrangement, loan agreements, security
agreements, and any other documents establishing the interest of the
applicant or any other person in the operation, acquisition, or
maintenance of the enterprise.
Subd. 3. Issuance or Renewal of License. The City Manager shall recommend
approval of the issuance or renewal of a license by the City to an applicant within
45 days after receipt of an application unless the Manager finds one or more of the
following to be true:
'. a) An applicant is under 18 years of age.
b) An applicant is overdue in his payment to the City, County, or State of
taxes, fees, fines, or penalties assessed against him or her or imposed
upon him or her in relation to a Adult Oriented Business, or if the State
of Minnesota prohibits the issuance of such a license because of taxes,
fees, fines, or penalties assessed against him or her,
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. c) An applicant has failed to provide information reasonably necessary for
issuance of the license or has falsely answered a question or request for
information on the application form.
d) An applicant has been convicted of a violation of a provision of this
chapter, other than the offense of operating a Adult Oriented Business
without a license, ' within two years immediately preceding the
application, The fact that a conviction is being appealed shall have no
effect.
e) The premises to be used for the Adult Oriented Business have not been
approved by the health official, fire marshal, and the building official
as being in compliance with applicable laws and ordinances; such
inspections shall be completed within thirty (30) days from the date the
application was submitted, provided that the application contains all of
the information required by this ordinance. If the application is
deficient, the inspections shall be completed within thirty (30) days
from the date the deficiency has been corrected.
f) The license fee required by this chapter has not been paid.
g) An applicant has been convicted of a crime involving any of the following
offenses:
1) Any sex crimes as defined by Minnesota statutes 609.29 through
. 609.352 inclusive or as defined by any ordinance' or statute in
conformity therewith;
2) Any obscenity crime is defined by Minnesota statutes 617.23 through
617.299 inclusive, or as defined by any ordinance or statute in
conformity therewith; for which:
less than two years have elapsed since the date of conviction or
the date of release from confinement imposed for the conviction,
whichever is the later date, if the conviction is ,of a misdemeanor
offense;
less than five years have elapsed since the date of the last
conviction or the date of release from confinement for the
conviction, whichever is the later date, if the conviction is a
felony offense; or
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less than five years have elapsed since the date of the last
conviction or the date of release from confinement for the last
conviction, whichever is the later date, if the conviction are of
two or more misdemeanor offenses or combination of misdemeanor
offenses occurring within any 24 month period.
3) The fact that a conviction is being appealed shall have no effect
on the disqualification of the applicant or applicant's spouse.
. Subd. 4. Reaualification. An applicant who has been convicted of an offense
listed in Section 1165.15, Subd. 3g may qualify for a Adult Oriented Business license
only when the time period required by Section 1165.15, Subd, 3g has elapsed,
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.' Subd. 5. Posting. The license, if granted, shall state on its face the name
of the person or persons to whom it is granted, the expiration date, and the address
of the Adult Oriented Business. The license shall be posted in a conspicuous place
at or near the entrance to the Adult Oriented Business so that it may be easily read
at any time.
Subd. 6. Council Action. The City Council shall act to approve or
disapprove the license application within 120 days from the date the application was
submitted, provided that toe application contains all of the information required by
this ordinance. If the application is deficient, the Council shall act on the
application within 120 days from the date that the deficiency has been corrected,
Subd. 7. Appeals. Within 90 days after the decision by the Council, the
applicant may appeal to the District Court by serving a notice upon the Mayor or
Clerk of the Municipality.
1165,17 Fees, Fees shall be set by City Council Resolution.
1165.19 Inspection, Subdivision 1. Access. An applicant or license shall
permit health officials, representatives of the police department, fire department,
and building inspection division, to inspect the premises of a Adult Oriented
Business for the purpose of ensuring compliance with the law, at any time it is
occupied or open for. business,
Subd. 2. Refusal to Permit Inspections, A person who operates a Adult
. Oriented Business or his agent or employee commits an offense if she or he refuses to
permit a lawful inspection of the premises by health officials, representatives of
the police department, fire department, and building inspection division at any time
it is occupied or open for business. ,Refusal to permit inspections may result in the
suspension of the license as provided in Section 1165.23.
Subd. 3. Exceptions. The provisions of this section do not apply to areas
of an adult motel which are currently being rented by a customer for use as a
permanent or temporary habitation.
1165.21 Expiration and Renewal. Subdivision 1. Expiration. Each license shall
expire at the end of the calendar year and may be renewed only by making application
as provided in Section 1165.15., Subd. 1. Application for renewal should be made at
least 60 days before the expiration date, and when made less than 60 days before the
expiration date, the expiration of the license will not be affected.
Subd. 2, Denial of Renewal. When the City denies renewal of a license, the
applicant shall not ,be issued a ~icense for one year from the date of denial. If,
subsequent to denial, the City rinds that the basis for denial of the renewal license
has been corrected or abated, the applicant may be granted a license if at least 90
days have elapsed since the date denial became final.
1165,23, Suspension. Subdivision 1. Causes of Suspension. The City may suspend
a license for a period not to exceed 30 days if it determines that a licensee or an
employee of a license has:
. a) Violated or is not in compliance with any provisions of this chapter.
b) Engaged in the use of alcoholic beverages while on the Adul t Oriented
Business premises other than at an Adult Hotel or Motel.
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. c) Refused to allow an inspection of the Adult Oriented Business premises as
authorized by this chapter.
d) Knowingly permitted gambling by any person on the Adult Oriented ~usiness
premises.
e) Demonstrated inability to operate or manage a Adult Oriented Business in
a peaceful and law-abiding manner, thus necessitating action by law
enforcement officers.
Subd. 2. Notice. A suspens ion by the City shall be proceeded by written
notice to the licensee and a public hearing. The notice shall give at least 10 days
notice of the time and place of the hearing and shall state the nature of the charges
against the licensee. The notice may be served upon the licensee personally, or by
leaving the same at the licensed business premises with the person in charge thereof.
1165.25 Revocation. Subdivision 1. ,SusDended Licenses. The City may revoke a
license if a cause of suspension in section 1165.23 occurs and the license has been
suspended within the preceding 12 months.
Suhd. 2. Causes of Revocation. The City shall revoke a license if it
determines that:
a) A licensee gave false or misleading information in the material submitted
. to the City during the application process;
b) A licensee or an employee has knowingly 'allowed possession, use, or sale
of controlled substances on the premises;
c) A licensee or an employee has knowingly allowed prostitution on the
premises;
d) A licensee or an employee knowingly operated the Adult Oriented Business
during a period of time when the licensee's license was suspended;
e) A licensee has been convicted of an offense listed in Section 1165.15,
Subd. 3g for which the time period required in Section 1165.15, Subd. 3g
has not elapsed;
f) On two or more occasions within a 12 month period, a person or persons
committed an offense occurring in or on the licensed premises of a crime
listed in Section 1165.15, Subd. 3g for which a conviction has been
obtained, and the ,person or persons were, employees of the Adult Oriented
Business at the time the offenses were committed.
g) A licensee or an employee has knowingly allowed any act of sexual
intercourse, sodomy, oral copulation or masturbation to occur in or on
the licensed premises.
Subd. 3. Al'Deals. The fact that a conviction is being appealed shall
. have no effect on the revocation of the license.
Subd. 4. Exceptions. 1165.25, Subd, 2g does not apply to adult motels
as ,a ground for revoking the license unless the licensee or employee knowingly
allowed the act of sexual intercourse, sodomy, oral copulation, masturbation,
or sexual contact to occur in a public place or within public view.
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. Subd. 5. Granting a License after Revocation. When the City revokes a
license, the revocation shall continue for one year and the licensee shall not
be iSsued a Adult Oriented Business license for one year from the date
revocation became effective. If, subsequent to revocation, the City finds that
the basis for the revocation has been corrected or abated, the applicant may be
granted a license if at least 90 days have elapsed since the date the
revocation became effective. If the license was revoked under Section 1165.25,
Subd. 2e an applicant may not be granted another. license until the appropriate
number of years required under Section 1165.15, Subd. 3g has elapsed.
Subd. 6. Notice. A revocation by the City shall be proceeded by
written notice to the li~ensee and a public hearing. The notice shall give at
least 10 days notice of the time and place of the hearing and shall state the
.nature of the charges against the licensee. The notice may be served upon the
licensee personally, or by leaving the same at the licensed premises with the
person in charge thereof.
1165.27 Transfer of License. A licensee shall not transfer this license to
another, nor shall a licensee operate a Adult Oriented Business under the authority
of a license at any place other than the address designated in the application.
1165.29. Severability. Every section, provision, or part of this ordinance or any
permit issued to this ordinance is declared severable from every other section,
provision, or part thereof to the extent that if any section, provision, or part of
. this ordinance or any permit issued pursuant to this ordinance shall be held invalid
by a court of competent j urisdic tion it shall not invalidate any other section,
provision, or part thereof.
First Reading: MayS, 1992 :J
Second Reading: July 21, 1992
Date of Publication: July 29, 1992
Date Ordinance Takes Effect: August 19, 1992
Mayor
Attest:
City Clerk
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WHEREAS, the Hopkins City Council has authorized by ordinance the charging of fees
for the licensing of adult establishments, and
WHEREAS, the Hopkins City Council has authorized by ordinance the charging of fees
for the investigation of applicants for an adult establishment license, and
WHEREAS, the ordinance . allows the City Council to establish fees by resolution,
Adopted by the City Council of the City of Hopkins this 21st day of July, 1992.
By