Download Zipped Introduced WP 9 SB0153.ZIP
[Status][Bill Documents][Fiscal Note][Bills Directory]
S.B. 153
1
ALCOHOLIC BEVERAGE AMENDMENTS
2
2003 GENERAL SESSION
3
STATE OF UTAH
4
Sponsor: John L. Valentine
5
Ron Allen
6
This act modifies the Alcoholic Beverage Title including technical changes. The act
7
modifies definitions. The act modifies provisions related to the administration of the title
8
by the commission and the department. The act modifies provisions related to state
9
stores. The act modifies provisions related to package agencies. The act modifies
10
provisions related to restaurant liquor licenses and airport lounge liquor licenses. The
11
act enacts provisions providing for limited restaurant licenses. The act enacts provisions
12
providing for on-premise banquet licenses. The act modifies provisions related to private
13
club licenses including the creation of classes of private club licenses. The act modifies
14
provisions related to special use permits. The act amends provisions related to single
15
event permits. The act modifies provisions related to manufacturing licenses, local
16
industry representative licenses, and warehousing licenses. The act modifies provisions
17
related to beer retail and wholesale licenses and enacts provisions providing for
18
temporary special event beer permits. The act modifies provisions related to criminal
19
offenses including restrictions on sales, purchase, possession, and consumption of
20
alcoholic beverages or products; restrictions on operations; restrictions on advertising;
21
restrictions on transportation and distribution of alcoholic beverages or products; and
22
restrictions on trade practices. Repeals provisions in the Sunset Act related to wine
23
mark-ups. The act enacts the Nuisance Licensees Act. This act appropriates as for fiscal
24
year 2002-03 only, $325,900 from the Liquor Control Fund to the Department of
25
Alcoholic Beverages and $62,000 from the General Fund to the Driver License Division of
26
the Department of Public Safety. Subject to future budget constraints, as an ongoing
27
appropriation, this act appropriates for fiscal year 2003-04 $1,396,900 from the Liquor
28
Control Fund to the Department of Alcoholic Beverages and $143,000 from the General
29
Fund to the Driver License Division of the Department of Public Safety.
30
This act affects sections of Utah Code Annotated 1953 as follows:
31
AMENDS:
32
32A-1-102, as renumbered and amended by Chapter 23, Laws of Utah 1990
33
32A-1-105, as last amended by Chapter 161, Laws of Utah 2002
34
32A-1-107, as last amended by Chapter 282, Laws of Utah 2002
35
32A-1-109, as last amended by Chapter 20, Laws of Utah 1993
36
32A-1-111, as renumbered and amended by Chapter 23, Laws of Utah 1990
37
32A-1-113, as last amended by Chapter 1, Laws of Utah 2000
38
32A-1-116, as renumbered and amended by Chapter 23, Laws of Utah 1990
39
32A-1-119, as last amended by Chapter 79, Laws of Utah 1996
40
32A-1-122, as last amended by Chapter 24, Laws of Utah 1995
41
32A-1-123, as enacted by Chapter 132, Laws of Utah 1991
42
32A-1-401, as last amended by Chapter 8, Laws of Utah 2002, Fifth Special Session
43
32A-2-101, as last amended by Chapter 132, Laws of Utah 1991
44
32A-2-103, as last amended by Chapter 282, Laws of Utah 2002
45
32A-3-101, as last amended by Chapter 354, Laws of Utah 2001
46
32A-3-102, as last amended by Chapter 1, Laws of Utah 2000
47
32A-3-103, as last amended by Chapter 132, Laws of Utah 1991
48
32A-3-106, as last amended by Chapter 282, Laws of Utah 2002
49
32A-3-108, as renumbered and amended by Chapter 23, Laws of Utah 1990
50
32A-4-101, as last amended by Chapter 87, Laws of Utah 2002
51
32A-4-102, as last amended by Chapters 1 and 197, Laws of Utah 2000
52
32A-4-103, as renumbered and amended by Chapter 23, Laws of Utah 1990
53
32A-4-105, as last amended by Chapter 132, Laws of Utah 1991
54
32A-4-106, as last amended by Chapter 282, Laws of Utah 2002
55
32A-4-201, as last amended by Chapter 19, Laws of Utah 1993
56
32A-4-202, as last amended by Chapters 1 and 197, Laws of Utah 2000
57
32A-4-203, as enacted by Chapter 23, Laws of Utah 1990
58
32A-4-206, as last amended by Chapter 282, Laws of Utah 2002
59
32A-5-101, as last amended by Chapter 132, Laws of Utah 1991
60
32A-5-102, as last amended by Chapters 1 and 197, Laws of Utah 2000
61
32A-5-103, as last amended by Chapter 30, Laws of Utah 1992
62
32A-5-104, as renumbered and amended by Chapter 23, Laws of Utah 1990
63
32A-5-107, as last amended by Chapter 282, Laws of Utah 2002
64
32A-6-102, as last amended by Chapter 132, Laws of Utah 1991
65
32A-6-103, as renumbered and amended by Chapter 23, Laws of Utah 1990
66
32A-6-105, as renumbered and amended by Chapter 23, Laws of Utah 1990
67
32A-6-201, as renumbered and amended by Chapter 23, Laws of Utah 1990
68
32A-6-202, as last amended by Chapter 282, Laws of Utah 2002
69
32A-6-301, as renumbered and amended by Chapter 23, Laws of Utah 1990
70
32A-6-401, as renumbered and amended by Chapter 23, Laws of Utah 1990
71
32A-6-501, as renumbered and amended by Chapter 23, Laws of Utah 1990
72
32A-7-101, as last amended by Chapter 88, Laws of Utah 1994
73
32A-7-102, as last amended by Chapter 1, Laws of Utah 2000
74
32A-7-103, as renumbered and amended by Chapter 23, Laws of Utah 1990
75
32A-7-104, as renumbered and amended by Chapter 23, Laws of Utah 1990
76
32A-7-106, as last amended by Chapter 127, Laws of Utah 1998
77
32A-8-101, as last amended by Chapters 77 and 88, Laws of Utah 1994
78
32A-8-102, as last amended by Chapter 1, Laws of Utah 2000
79
32A-8-103, as renumbered and amended by Chapter 23, Laws of Utah 1990
80
32A-8-106, as last amended by Chapter 1, Laws of Utah 2000
81
32A-8-501, as enacted by Chapter 20, Laws of Utah 1993
82
32A-8-502, as last amended by Chapter 1, Laws of Utah 2000
83
32A-8-503, as enacted by Chapter 20, Laws of Utah 1993
84
32A-8-505, as last amended by Chapter 1, Laws of Utah 2000
85
32A-9-102, as last amended by Chapter 1, Laws of Utah 2000
86
32A-9-103, as renumbered and amended by Chapter 23, Laws of Utah 1990
87
32A-9-106, as last amended by Chapter 1, Laws of Utah 2000
88
32A-10-101, as last amended by Chapter 132, Laws of Utah 1991
89
32A-10-102, as last amended by Chapters 77 and 88, Laws of Utah 1994
90
32A-10-201, as last amended by Chapter 87, Laws of Utah 2002
91
32A-10-202, as last amended by Chapters 1 and 197, Laws of Utah 2000
92
32A-10-203, as enacted by Chapter 23, Laws of Utah 1990
93
32A-10-205, as enacted by Chapter 23, Laws of Utah 1990
94
32A-10-206, as last amended by Chapter 282, Laws of Utah 2002
95
32A-11-101, as last amended by Chapters 77 and 88, Laws of Utah 1994
96
32A-11-102, as last amended by Chapter 1, Laws of Utah 2000
97
32A-11-103, as last amended by Chapter 88, Laws of Utah 1994
98
32A-11-106, as last amended by Chapter 1, Laws of Utah 2000
99
32A-11a-106, as enacted by Chapter 328, Laws of Utah 1998
100
32A-12-102, as renumbered and amended by Chapter 23, Laws of Utah 1990
101
32A-12-103, as renumbered and amended by Chapter 23, Laws of Utah 1990
102
32A-12-105, as renumbered and amended by Chapter 23, Laws of Utah 1990
103
32A-12-201, as last amended by Chapter 20, Laws of Utah 1993
104
32A-12-203, as last amended by Chapter 20, Laws of Utah 1995
105
32A-12-204, as renumbered and amended by Chapter 23, Laws of Utah 1990
106
32A-12-207, as renumbered and amended by Chapter 23, Laws of Utah 1990
107
32A-12-209, as last amended by Chapter 365, Laws of Utah 1997
108
32A-12-210, as renumbered and amended by Chapter 23, Laws of Utah 1990
109
32A-12-212, as last amended by Chapter 132, Laws of Utah 1991
110
32A-12-213, as last amended by Chapter 141, Laws of Utah 1998
111
32A-12-215, as last amended by Chapter 241, Laws of Utah 1991
112
32A-12-216, as renumbered and amended by Chapter 23, Laws of Utah 1990
113
32A-12-218, as renumbered and amended by Chapter 23, Laws of Utah 1990
114
32A-12-301, as last amended by Chapter 241, Laws of Utah 1991
115
32A-12-305, as last amended by Chapter 1, Laws of Utah 2000
116
32A-12-306, as last amended by Chapter 1, Laws of Utah 2000
117
32A-12-307, as last amended by Chapter 1, Laws of Utah 2000
118
32A-12-308, as last amended by Chapter 1, Laws of Utah 2000
119
32A-12-401, as last amended by Chapter 132, Laws of Utah 1991
120
32A-12-501, as last amended by Chapter 141, Laws of Utah 1998
121
32A-12-504, as last amended by Chapter 170, Laws of Utah 1996
122
32A-12-505, as renumbered and amended by Chapter 23, Laws of Utah 1990
123
32A-12-601, as enacted by Chapter 20, Laws of Utah 1993
124
32A-12-602, as enacted by Chapter 20, Laws of Utah 1993
125
32A-12-603, as last amended by Chapter 141, Laws of Utah 1998
126
32A-12-604, as last amended by Chapter 88, Laws of Utah 1994
127
32A-12-605, as last amended by Chapter 88, Laws of Utah 1994
128
32A-12-606, as enacted by Chapter 20, Laws of Utah 1993
129
ENACTS:
130
32A-4-301, Utah Code Annotated 1953
131
32A-4-302, Utah Code Annotated 1953
132
32A-4-303, Utah Code Annotated 1953
133
32A-4-304, Utah Code Annotated 1953
134
32A-4-305, Utah Code Annotated 1953
135
32A-4-306, Utah Code Annotated 1953
136
32A-4-307, Utah Code Annotated 1953
137
32A-4-401, Utah Code Annotated 1953
138
32A-4-402, Utah Code Annotated 1953
139
32A-4-403, Utah Code Annotated 1953
140
32A-4-404, Utah Code Annotated 1953
141
32A-4-405, Utah Code Annotated 1953
142
32A-4-406, Utah Code Annotated 1953
143
32A-4-407, Utah Code Annotated 1953
144
32A-6-502, Utah Code Annotated 1953
145
32A-6-503, Utah Code Annotated 1953
146
32A-6-603, Utah Code Annotated 1953
147
32A-10-301, Utah Code Annotated 1953
148
32A-10-302, Utah Code Annotated 1953
149
32A-10-303, Utah Code Annotated 1953
150
32A-10-304, Utah Code Annotated 1953
151
32A-10-305, Utah Code Annotated 1953
152
32A-10-306, Utah Code Annotated 1953
153
32A-12-222, Utah Code Annotated 1953
154
32A-15a-101, Utah Code Annotated 1953
155
32A-15a-102, Utah Code Annotated 1953
156
32A-15a-103, Utah Code Annotated 1953
157
32A-15a-201, Utah Code Annotated 1953
158
32A-15a-202, Utah Code Annotated 1953
159
32A-15a-203, Utah Code Annotated 1953
160
63-55b-132, Utah Code Annotated 1953
161
REPEALS:
162
32A-1-501, as enacted by Chapter 20, Laws of Utah 1993
163
32A-1-502, as enacted by Chapter 20, Laws of Utah 1993
164
32A-1-503, as enacted by Chapter 20, Laws of Utah 1993
165
32A-1-504, as last amended by Chapter 1, Laws of Utah 2000
166
32A-4-107, as renumbered and amended by Chapter 23, Laws of Utah 1990
167
32A-4-207, as enacted by Chapter 23, Laws of Utah 1990
168
32A-5-105, as last amended by Chapters 132 and 241, Laws of Utah 1991
169
32A-5-108, as renumbered and amended by Chapter 23, Laws of Utah 1990
170
32A-12-309, as last amended by Chapter 241, Laws of Utah 1991
171
32A-12-503, as renumbered and amended by Chapter 23, Laws of Utah 1990
172
63-55-232, as last amended by Chapter 175, Laws of Utah 1998
173
Be it enacted by the Legislature of the state of Utah:
174
Section 1.
Section
32A-1-102
is amended to read:
175
32A-1-102. Application of title.
176
[(1) Each license or permit issued by the former liquor control commission before July
177
1, 1985, shall continue in effect until either revoked by the commission for a violation of this
178
title, or voluntarily relinquished by the licensee or permittee.]
179
[(2) Each violation or offense committed before July 1, 1985, shall be governed by the
180
law, statutory and nonstatutory, existing when the violation of the title was committed. A
181
defense or limitation on punishment under this title shall be available to any defendant tried or
182
retried after July 1, 1985. If any of the elements of the offense occurred before July 1, 1985,
183
the offense is considered committed before July 1, 1985.]
184
[(3) The provisions of this] (1) This title [govern] governs alcoholic beverage control
185
in this state except where local authorities are expressly granted regulatory control by this title.
186
(2) Nothing in this title precludes local authorities from regulating the sale, storage,
187
service, or consumption of alcoholic beverages if [such] that regulation does not conflict with
188
the provisions of this title.
189
Section 2.
Section
32A-1-105
is amended to read:
190
32A-1-105. Definitions.
191
As used in this title:
192
(1) "Airport lounge" means a place of business licensed to sell alcoholic beverages, at
193
retail, for consumption on its premises located at an international airport with a United States
194
Customs office on its premises.
195
(2) "Alcoholic beverages" means "beer" and "liquor" as the terms are defined in this
196
section.
197
(3) (a) "Alcoholic products" means all products that contain at least 63/100 of 1% of
198
alcohol by volume or at least 1/2 of 1% by weight, and are obtained by fermentation, infusion,
199
decoction, brewing, distillation, or any other process that uses any liquid or combinations of
200
liquids, whether drinkable or not, to create alcohol in an amount greater than the amount
201
prescribed in this Subsection (3)(a).
202
(b) "Alcoholic products" does not include common extracts, vinegars, ciders, essences,
203
tinctures, food preparations, or over-the-counter drugs and medicines that otherwise come
204
within this definition.
205
(4) "Banquet" means an event:
206
(a) for which there is a contract:
207
(i) between any person and a person listed in Subsection (4)(b); and
208
(ii) under which a person listed in Subsection (4)(b) is required to provide alcoholic
209
beverages at the event;
210
(b) held at one or more designated locations approved by the commission in or on the
211
premises of a:
212
(i) hotel;
213
(ii) resort facility;
214
(iii) sports center; or
215
(iv) convention center; and
216
(c) at which food and alcoholic beverages may be sold and served.
217
(5) "Bar" means a counter or similar structure:
218
(a) at which alcoholic beverages are:
219
(i) stored; or
220
(ii) dispensed; or
221
(b) from which alcoholic beverages are served.
222
[(4)] (6) (a) "Beer" means [all products that contain] any product that contains:
223
(i) 63/100 of 1% of alcohol by volume or 1/2 of 1% of alcohol by weight, but not more
224
than 4% of alcohol by volume or 3.2% by weight[,]; and [are]
225
(ii) is obtained by fermentation, infusion, or decoction of any malted grain.
226
(b) Beer may or may not contain hops or other vegetable products.
227
(c) Beer includes [products] a product that:
228
(i) contains alcohol in the percentages described in Subsection (6)(a); and
229
(ii) is referred to as:
230
(A) malt liquor[,];
231
(B) malted beverages[,]; or
232
(C) malt coolers.
233
[(5)] (7) (a) "Beer retailer" means any business establishment that is:
234
(i) engaged, primarily or incidentally, in the retail sale [or distribution] of beer to
235
public patrons, whether for consumption on or off the establishment's premises[,]; and [that is]
236
(ii) licensed to sell beer by:
237
(A) the commission[, by];
238
(B) a local authority[,]; or
239
(C) both the commission and a local authority.
240
(b) (i) "On-premise beer retailer" means any beer retailer engaged, primarily or
241
incidentally, in the sale [or distribution] of beer to public patrons for consumption on the beer
242
retailer's premises.
243
(ii) "On-premise beer retailer" includes [taverns] a tavern.
244
[(c) (i) "Tavern" means any business establishment engaged primarily in the retail sale
245
or distribution of beer to public patrons for consumption on the establishment's premises, and
246
that is licensed to sell beer under Chapter 10, Part 2, On-Premise Beer Retailer Licenses.]
247
[(ii) "Tavern" includes a beer bar, parlor, lounge, cabaret, and night club where the
248
revenue from the sale of beer exceeds the revenue of the sale of food, although food need not
249
be sold in the establishment.]
250
[(6)] (8) "Billboard" means any public display used to advertise including:
251
(a) a light device[,];
252
(b) a painting[,];
253
(c) a drawing[,];
254
(d) a poster[,];
255
(e) a sign[,];
256
(f) a signboard[,]; or
257
(g) a scoreboard[, or other similar public display used to advertise, but does not
258
include:].
259
[(a) displays on beer delivery vehicles if the displays do not overtly promote the
260
consumption of alcoholic beverages;]
261
[(b) displays in taverns and private clubs, if the displays are not visible to persons
262
off-premises;]
263
[(c) point-of-sale displays, other than light devices, in retail establishments that sell
264
beer for off-premise consumption, if the displays are not visible to persons off-premises;]
265
[(d) private business signs on the premises of any business engaged primarily in the
266
distribution of beer;]
267
[(e) newspapers, magazines, circulars, programs, or other similar printed materials, if
268
the materials are not directed primarily to minors;]
269
[(f) menu boards in retail establishments that sell beer for on-premise consumption if
270
the menu boards also contain food items;]
271
[(g) handles on alcoholic beverage dispensing equipment that identify brands of
272
products being dispensed; and]
273
[(h) displays at the site of a temporary special event for which a single event liquor
274
permit has been obtained from the commission or a temporary special event beer permit has
275
been obtained from a local authority to inform attendees of the location where alcoholic
276
beverages are being dispensed.]
277
[(7)] (9) "Brewer" means any person engaged in manufacturing beer[, malt liquor, or
278
malted beverages].
279
(10) "Cash bar" means the service of alcoholic beverages:
280
(a) at:
281
(i) a banquet; or
282
(ii) a temporary event for which a permit is issued under this title; and
283
(b) if an attendee at the banquet or special event is charged for the alcoholic beverage.
284
[(8)] (11) "Chartered bus" means a passenger bus, coach, or other motor vehicle
285
provided by a bus company to a group of persons pursuant to a common purpose, under a
286
single contract, and at a fixed charge in accordance with the bus company's tariff, for the
287
purpose of giving the group of persons the exclusive use of the bus and a driver to travel
288
together to a specified destination or destinations.
289
[(9)] (12) "Church" means a building:
290
(a) set apart [primarily] for the purpose of worship;
291
(b) in which religious services are held;
292
(c) with which clergy is associated; and
293
[(d) the main body of which is kept for that use and not put to any other use
294
inconsistent with its primary purpose; and]
295
[(e)] (d) which is tax exempt under the laws of this state.
296
[(10)] (13) "Club" and "private club" means [any nonprofit corporation operating as a
297
social club, recreational, fraternal, or athletic association, or kindred association] any of the
298
following organized primarily for the benefit of its [stockholders or] members[.]:
299
(a) a social club;
300
(b) a recreational association;
301
(c) a fraternal association;
302
(d) an athletic association; or
303
(e) a kindred association.
304
[(11)] (14) "Commission" means the Alcoholic Beverage Control Commission.
305
[(12) "Cork-finished wine" means a container of wine stopped by a cork and finished
306
by foil, lead, or other substance by the manufacturer.]
307
(15) "Convention center" is as defined by rule by the commission.
308
[(13)] (16) "Department" means the Department of Alcoholic Beverage Control.
309
[(14)] (17) "Distressed merchandise" means any alcoholic beverage in the possession
310
of the department that is saleable, but for some reason is unappealing to the public.
311
[(15)] (18) "General food store" means any business establishment primarily engaged
312
in selling food and grocery supplies to public patrons for off-premise consumption.
313
[(16) "Governing body" means the board of not fewer than five shareholders or voting
314
members of a private club who have been elected and authorized to control or conduct the
315
business and affairs of that club.]
316
[(17)] (19) "Guest" means a person accompanied by an active member or visitor of a
317
club who enjoys only those privileges derived from the host for the duration of the visit to the
318
club.
319
[(18)] (20) (a) "Heavy beer" means [all products that contain] any product that:
320
(i) contains more than 4% alcohol by volume; and
321
(ii) is obtained by fermentation, infusion, or decoction of any malted grain.
322
(b) "Heavy beer" is considered "liquor" for the purposes of this title.
323
(21) "Hosted bar" means the service of alcoholic beverages:
324
(a) without charge; and
325
(b) at a:
326
(i) banquet; or
327
(ii) privately-hosted event.
328
(22) "Hotel" is as defined by rule by the commission.
329
[(19)] (23) "Identification card" means the identification card issued under Title 53,
330
Chapter 3, Part 8, Identification Card Act.
331
[(20)] (24) "Interdicted person" means a person to whom the sale, gift, or provision of
332
an alcoholic beverage is prohibited by:
333
(a) law; or
334
(b) court order.
335
(25) "Intoxicated" means that to a degree that is unlawful under Section
76-9-701
a
336
person is under the influence of:
337
(a) an alcoholic beverage;
338
(b) a controlled substance;
339
(c) a substance having the property of releasing toxic vapors; or
340
(d) a combination of Subsections (25)(a) through (c).
341
[(21)] (26) "Licensee" means any person issued a license by the commission to sell,
342
manufacture, store, or allow consumption of alcoholic beverages on premises owned or
343
controlled by the person.
344
[(22)] (27) "Limousine" means any motor vehicle licensed by the state or a local
345
authority, other than a bus or taxicab:
346
(a) in which the driver and passengers are separated by a partition, glass, or other
347
barrier; and
348
(b) that is provided by a company to an individual or individuals at a fixed charge in
349
accordance with the company's tariff for the purpose of giving the individual or individuals the
350
exclusive use of the limousine and a driver to travel to a specified destination or destinations.
351
[(23)] (28) (a) "Liquor" means alcohol, or any alcoholic, [spiritous] spirituous, vinous,
352
fermented, malt, or other liquid, or combination of liquids, a part of which is [spiritous]
353
spirituous, vinous, or fermented, and all other drinks, or drinkable liquids that contain more
354
than 1/2 of 1% of alcohol by volume and is suitable to use for beverage purposes.
355
(b) "Liquor" does not include any beverage defined as a beer, malt liquor, or malted
356
beverage that has an alcohol content of less than 4% alcohol by volume.
357
[(24)] (29) "Local authority" means:
358
(a) the [county legislative] governing body of the county if the premises are located in
359
an unincorporated area of a county; or
360
(b) the governing body of the city or town if the premises are located in an incorporated
361
city or a town.
362
[(25)] (30) "Manufacture" means to distill, brew, rectify, mix, compound, process,
363
ferment, or otherwise make an alcoholic product for personal use or for sale or distribution to
364
others.
365
[(26)] (31) "Member" means a person who, after paying regular dues, has full
366
privileges of a club under this title.
367
[(27)] (32) "Minor" means any person under the age of 21 years.
368
[(28)] (33) "Outlet" means a location other than a state store or package agency where
369
alcoholic beverages are sold pursuant to a license issued by the commission.
370
[(29)] (34) "Package" means any container, bottle, vessel, or other receptacle
371
containing liquor.
372
[(30)] (35) "Package agency" means a retail liquor location operated under a
373
contractual agreement with the department, by a person other than the state, who is authorized
374
by the commission to sell package liquor for consumption off the premises of the agency.
375
[(31)] (36) "Package agent" means any person permitted by the commission to operate
376
a package agency pursuant to a contractual agreement with the department to sell liquor from
377
premises that the package agent shall provide and maintain.
378
[(32)] (37) "Permittee" means any person issued a permit by the commission to
379
perform acts or exercise privileges as specifically granted in the permit.
380
[(33)] (38) "Person" means any individual, partnership, firm, corporation, limited
381
liability company, association, business trust, or other form of business enterprise, including a
382
receiver or trustee, and the plural as well as the singular number, unless the intent to give a
383
more limited meaning is disclosed by the context.
384
[(34)] (39) "Policy" means a statement of principles established by the commission to
385
guide the administration of this title and the management of the affairs of the department.
386
[(35)] (40) "Premises" means any building, enclosure, room, or equipment used in
387
connection with the sale, storage, service, manufacture, distribution, or consumption of
388
alcoholic products, unless otherwise defined in this title or in the rules adopted by the
389
commission.
390
[(36)] (41) "Prescription" means a writing in legal form, signed by a physician or
391
dentist and given to a patient for obtaining an alcoholic beverage for medicinal purposes only.
392
[(37)] (42) (a) "Privately hosted event" or "private social function" means a specific
393
social, business, or recreational event for which an entire room, area, or hall has been leased or
394
rented, in advance by an identified group, and the event or function is limited in attendance to
395
people who have been specifically designated and their guests.
396
(b) "Privately hosted event" and "private social function" does not include events or
397
functions to which the general public is invited, whether for an admission fee or not.
398
[(38)] (43) "Proof of age" means:
399
(a) an identification card;
400
(b) an identification that:
401
(i) is substantially similar to an identification card;
402
(ii) is issued in accordance with the laws of a state other than Utah in which the
403
identification is issued;
404
(iii) includes date of birth; and
405
(iv) has a picture affixed;
406
(c) a valid driver license certificate that:
407
(i) includes date of birth;
408
(ii) has a picture affixed; and
409
(iii) is issued:
410
(A) under Title 53, Chapter 3, Uniform Driver License Act; or
411
(B) in accordance with the laws of the state in which it is issued;
412
(d) a military identification card that:
413
(i) includes date of birth; and
414
(ii) has a picture affixed; or
415
(e) a valid passport.
416
[(39)] (44) (a) "Public building" means any building or permanent structure owned or
417
leased by the state, a county, or local government entity that is used for:
418
(i) public education;
419
(ii) transacting public business; or
420
(iii) regularly conducting government activities.
421
(b) "Public building" does not mean or refer to any building owned by the state or a
422
county or local government entity when the building is used by anyone, in whole or in part, for
423
proprietary functions.
424
[(40)] (45) "Representative" means an individual who is compensated by salary,
425
commission, or any other means for representing and selling the alcoholic beverage products of
426
a manufacturer, supplier, or importer of liquor, wine, or heavy beer.
427
[(41)] (46) "Residence" means the person's principal place of abode within Utah.
428
(47) "Resort facility" is as defined by rule by the commission.
429
[(42)] (48) "Restaurant" means any business establishment:
430
(a) where a variety of foods is prepared and complete meals are served to the general
431
public;
432
(b) located on a premises having adequate culinary fixtures for food preparation and
433
dining accommodations; and
434
(c) that is engaged primarily in serving meals to the general public.
435
[(43)] (49) "Retailer" means any person engaged in the sale or distribution of alcoholic
436
beverages to the consumer.
437
(50) "Room service" includes service of alcoholic beverages to a guest room of a:
438
(a) hotel; or
439
(b) resort facility.
440
[(44)] (51) (a) (i) "Rule" means a general statement adopted by the commission:
441
(A) in accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act;
442
and
443
(B) (I) to guide the activities of those regulated or employed by the department[,];
444
(II) to implement or interpret this title[,]; or
445
(III) to describe the organization, procedure, or practice requirements of the department
446
in order to carry out the intent of the law and ensure its uniform application. [This definition]
447
(ii) "Rule" includes any amendment or repeal of a prior rule.
448
(b) "Rule" does not include a rule concerning only the internal management of the
449
department that does not affect private rights or procedures available to the public, including
450
intradepartmental memoranda.
451
[(45)] (52) (a) "Sample" includes:
452
(i) a department [samples] sample; and
453
(ii) an industry representative [samples; and] sample.
454
[(iii) department trade show samples.]
455
(b) "Department sample" means liquor, wine, and heavy beer that has been placed in
456
the possession of the department for testing, analysis, and sampling.
457
[(c) "Department trade show sample" means liquor, wine, and heavy beer that has been
458
placed in the possession of the department for use in a trade show conducted by the
459
department.]
460
[(d)] (c) "Industry representative sample" means liquor, wine, and heavy beer that has
461
been placed in the possession of the department for testing, analysis, and sampling by local
462
industry representatives on the premises of the department to educate themselves of the quality
463
and characteristics of the product.
464
[(e) "Retail licensee wine tasting" means cork-finished wine checked out under the
465
procedures provided in Section
32A-12-603
:]
466
[(i) to a local industry representative holding a license described in Section
467
32A-8-501
;]
468
[(ii) to conduct the tasting of cork-finished wines to a retail licensee licensed to sell
469
wine at retail for consumption on its premises; and]
470
[(iii) for the purpose of disseminating information and educating the retail licensees
471
described in Subsection (45)(e)(ii) as to the quality and characteristics of the cork-finished
472
wines.]
473
[(46)] (53) (a) "School" means any building used primarily for the general education of
474
minors.
475
(b) "School" does not include:
476
(i) a nursery [schools,] school;
477
(ii) an infant day care [centers,] center; or
478
(iii) a trade or technical [schools] school.
479
[(47)] (54) "Sell," "sale," and "to sell" means any transaction, exchange, or barter
480
whereby, for any consideration, an alcoholic beverage is either directly or indirectly transferred,
481
solicited, ordered, delivered for value, or by any means or under any pretext is promised or
482
obtained, whether done by a person as a principal, proprietor, or as an agent, servant, or
483
employee, unless otherwise defined in this title or the rules made by the commission.
484
[(48)] (55) "Small brewer" means a brewer who manufactures less than 60,000 barrels
485
of beer and heavy beer per year.
486
(56) (a) "Spirituous liquor" means liquor that is distilled.
487
(b) "Spirituous liquor" includes an alcohol product defined as a "distilled spirit" by 27
488
U.S.C. 211 and 27 C.F.R. Sections 5.11 through 5.23.
489
(57) "Sports center" is as defined by rule by the commission.
490
[(49)] (58) (a) "State label" means the official label designated by the commission
491
affixed to all liquor containers sold in the state.
492
(b) "State label" includes the department identification mark and inventory control
493
number.
494
[(50)] (59) (a) "State store" means a facility for the sale of package liquor:
495
(i) located on premises owned or leased by the state; and
496
(ii) operated by state employees.
497
(b) "State store" does not apply to any:
498
(i) licensee[,];
499
(ii) permittee[,]; or [to]
500
(iii) package [agencies] agency.
501
[(51)] (60) "Supplier" means any person selling alcoholic beverages to the department.
502
(61) (a) "Tavern" means any business establishment that is:
503
(i) engaged primarily in the retail sale of beer to public patrons for consumption on the
504
establishment's premises; and
505
(ii) licensed to sell beer under Chapter 10, Part 2, On-Premise Beer Retailer Licenses.
506
(b) "Tavern" includes the following if the revenue from the sale of beer exceeds the
507
revenue of the sale of food, although food need not be sold in the establishment:
508
(i) a beer bar;
509
(ii) a parlor;
510
(iii) a lounge;
511
(iv) a cabaret; or
512
(v) a nightclub.
513
[(52)] (62) "Temporary domicile" means the principal place of abode within Utah of a
514
person who does not have a present intention to continue residency within Utah permanently or
515
indefinitely.
516
[(53)] (63) "Unsaleable liquor merchandise" means merchandise that:
517
(a) is unsaleable because [it] the merchandise is unlabeled, leaky, damaged, difficult to
518
open, or partly filled[, or];
519
(b) is in a container:
520
(i) having faded labels or defective caps or corks[, or];
521
(ii) in which the contents are cloudy, spoiled, or chemically determined to be impure[,];
522
or
523
(iii) that contains:
524
(A) sediment[,]; or
525
(B) any foreign substance[,]; or
526
(c) is otherwise considered by the department as unfit for sale.
527
[(54)] (64) "Visitor" means [a person holding] an individual that in accordance with
528
Section
32A-5-107
holds limited privileges in a private club by virtue of a visitor card
529
[purchased from the club and authorized by a sponsoring member of the club].
530
[(55)] (65) "Warehouser" means any person, other than a licensed manufacturer,
531
engaged in the importation for sale, storage, or distribution of liquor regardless of amount.
532
[(56)] (66) "Wholesaler" means any person engaged in the importation for sale, or in
533
the sale of beer in wholesale or jobbing quantities to retailers, other than a small brewer selling
534
beer manufactured by that brewer.
535
[(57)] (67) (a) "Wine" means any alcoholic beverage obtained by the fermentation of
536
the natural sugar content of fruits, plants, honey, or milk, or any other like substance, whether
537
or not other ingredients are added.
538
(b) "Wine" is considered "liquor" for purposes of this title, except as otherwise
539
provided in this title.
540
Section 3.
Section
32A-1-107
is amended to read:
541
32A-1-107. Powers and duties of the commission.
542
(1) The commission shall:
543
(a) act as a general policymaking body on the subject of alcoholic product control;
544
(b) adopt and issue policies, directives, rules, and procedures;
545
(c) set policy by written rules that establish criteria and procedures for:
546
(i) granting, denying, suspending, or revoking permits, licenses, and package agencies;
547
(ii) controlling liquor merchandise inventory including:
548
(A) listing and delisting products;
549
(B) the procedures for testing new products;
550
(C) purchasing policy;
551
(D) turnover requirements for regularly coded products to be continued; and
552
(E) the disposition of discontinued, distressed, or unsaleable merchandise; and
553
(iii) determining the location of state stores, package agencies, and outlets; [and]
554
[(iv) department trade shows;]
555
(d) decide within the limits and under the conditions imposed by this title, the number
556
and location of state stores, package agencies, and outlets established in the state;
557
(e) issue, grant, deny, suspend, [or] revoke, or not review the following permits,
558
licenses, and package agencies for the purchase, sale, storage, service, manufacture,
559
distribution, and consumption of alcoholic products:
560
(i) package agencies;
561
(ii) restaurant licenses;
562
(iii) airport lounge licenses;
563
(iv) limited restaurant licenses;
564
(v) beginning on July 1, 2003 and ending June 30, 2005, on-premise banquet licenses;
565
[(iv)] (vi) private club licenses;
566
[(v)] (vii) on-premise beer retailer licenses;
567
(viii) temporary special event beer permits;
568
[(vi)] (ix) special use permits;
569
[(vii)] (x) single event permits;
570
[(viii)] (xi) manufacturing licenses;
571
[(ix)] (xii) liquor warehousing licenses; and
572
[(x)] (xiii) beer wholesaling licenses;
573
(f) fix prices at which liquors are sold that are the same at all state stores, package
574
agencies, and outlets;
575
(g) issue and distribute price lists showing the price to be paid by purchasers for each
576
class, variety, or brand of liquor kept for sale by the department;
577
(h) require the director to follow sound management principles and require periodic
578
reporting from the director to ensure that these principles are being followed and that policies
579
established by the commission are being observed;
580
(i) receive, consider, and act in a timely manner upon all reports, recommendations,
581
and matters submitted by the director to the commission, and do all things necessary to support
582
the department in properly performing its duties and responsibilities;
583
(j) obtain temporarily and for special purposes the services of experts and persons
584
engaged in the practice of a profession or who possess any needed skills, talents, or abilities if
585
considered expedient and if approved by the governor;
586
(k) prescribe the duties of departmental officials authorized to issue permits and
587
licenses [and to conduct trade shows] under this title;
588
(l) prescribe, consistent with this title, the fees payable for permits, licenses, and
589
package agencies issued under this title, or for anything done or permitted to be done under this
590
title;
591
(m) prescribe the conduct, management, and equipment of any premises upon which
592
alcoholic beverages may be sold, consumed, served, or stored;
593
(n) make rules governing the credit terms of beer sales to retailers within the state; and
594
(o) require that each state store, package agency, licensee, and permittee, where
595
required in this title, display in a prominent place a sign in large letters stating: "Warning:
596
Driving under the influence of alcohol or drugs is a serious crime that is prosecuted
597
aggressively in Utah."
598
(2) The power of the commission to establish state stores, to create package agencies
599
and grant authority to operate package agencies, and to grant or deny licenses and permits is
600
plenary, except as otherwise provided by this title, and is not subject to review.
601
(3) The commission may appoint qualified hearing officers to conduct any suspension
602
or revocation hearings required by law.
603
(4) (a) In any case where the commission is given the power to suspend any license or
604
permit, it may impose a fine in addition to or in lieu of suspension. Fines imposed may not
605
exceed $25,000 in the aggregate for any single Notice of Agency Action.
606
(b) The commission shall promulgate, by rule, a schedule setting forth a range of fines
607
for each violation.
608
Section 4.
Section
32A-1-109
is amended to read:
609
32A-1-109. Powers and duties of the director.
610
Subject to the powers and responsibilities vested in the commission by this title the
611
director shall:
612
(1) prepare and propose to the commission general policies, directives, rules, and
613
procedures governing the administrative activities of the department and may submit other
614
recommendations to the commission as the director considers in the interest of its or the
615
department's business;
616
(2) within the general policies, directives, rules, and procedures of the commission,
617
provide day-to-day direction, coordination, and delegation of responsibilities in the
618
administrative activities of the department's business and promulgate internal department
619
policies, directives, rules, and procedures relating to department personnel matters, and the
620
day-to-day operation of the department;
621
(3) appoint or employ personnel as considered necessary in the administration of this
622
title and prescribe the conditions of their employment, define their respective duties and
623
powers, fix their remuneration in accordance with Title 67, Chapter 19, Utah State Personnel
624
Management Act, and designate those employees required to give bonds and specify the bond
625
amounts;
626
(4) establish and secure adherence to a system of reports, controls, and performance in
627
all matters relating to personnel, security, department property management, and operation of
628
department offices, warehouses, state stores, package agencies, and licensees;
629
(5) within the policies, directives, rules, and procedures approved by the commission
630
and provisions of law, buy, import, keep for sale, sell and control the sale, storage, service,
631
transportation, and delivery of alcoholic products;
632
(6) prepare for commission approval:
633
(a) recommendations regarding the location, establishment, relocation, and closure of
634
state stores and package agencies;
635
(b) recommendations regarding the issuance, suspension, nonrenewal, and revocation
636
of licenses and permits;
637
(c) annual budgets, proposed legislation, and reports as required by law and sound
638
business principles;
639
(d) plans for reorganizing divisions of the department and their functions;
640
(e) manuals containing all commission and department policies, directives, rules, and
641
procedures;
642
(f) an inventory control system;
643
(g) any other reports and recommendations as may be requested by the commission;
644
(h) rules governing the credit terms of beer sales to beer retailer licensees;
645
(i) rules governing the calibration, maintenance, and regulation of calibrated metered
646
dispensing systems;
647
(j) rules governing the posting of a list of types and brand names of liquor being served
648
through calibrated metered dispensing systems;
649
(k) price lists issued and distributed showing the price to be paid for each class, variety,
650
or brand of liquor kept for sale at state stores, package agencies, and outlets;
651
(l) directives prescribing the books of account kept by the department and by state
652
stores, package agencies, and outlets;
653
(m) an official state label and the manner in which the label shall be affixed to every
654
package of liquor sold under this title; and
655
(n) a policy prescribing the manner of giving and serving notices required by this title
656
or rules made under this title; [and]
657
[(o) rules governing department trade shows;]
658
(7) make available through the department to any person, upon request, a copy of any
659
policy or directive promulgated by the director;
660
(8) adopt internal departmental policies, directives, rules, and procedures relating to
661
department personnel matters and the day-to-day operation of the department that are
662
consistent with those of the commission;
663
(9) keep a current copy of the manuals containing the rules and policies of the
664
department and commission available for public inspection; [and]
665
(10) (a) after consultation with the governor, determine whether alcoholic products
666
should not be sold, offered for sale, or otherwise furnished in an area of the state during a
667
period of emergency that is proclaimed by the governor to exist in that area; and
668
(b) issue any necessary public announcements and directives with respect to the
669
determination described in Subsection (10)(a); and
670
[(10)] (11) perform other duties required by the commission and by law.
671
Section 5.
Section
32A-1-111
is amended to read:
672
32A-1-111. Department employees -- Requirements.
673
(1) (a) The commission may prescribe by policy, directive, or rule the qualifications of
674
persons employed by the department, subject to this title.
675
(b) A person may not obtain employment with the department [who] if that person has
676
been convicted of:
677
[(a) convicted of] (i) a felony under any federal or state law;
678
[(b) convicted of] (ii) any violation of any federal or state law or local ordinance
679
concerning the sale, manufacture, distribution, warehousing, adulteration, or transportation of
680
alcoholic beverages; [or]
681
[(c) convicted of] (iii) any crime involving moral turpitude[.]; or
682
(iv) on two or more occasions within the five years before the day on which the
683
employee is hired by the department, driving under the influence of alcohol, any drug, or the
684
combined influence of alcohol and any drug.
685
(2) [If any employee of the department is convicted of any offense as provided in
686
Subsection (1), the] The director may terminate [the] an employee or take other disciplinary
687
action consistent with Title 67, Chapter 19, [the] Utah State Personnel Management Act[.] if
688
after the day on which the employee is hired by the department, the employee of the
689
department:
690
(a) is found to have been convicted of any offense described in Subsection (1)(b)
691
before being hired by the department; or
692
(b) on or after the day on which the employee is hired:
693
(i) is convicted of an offense described in Subsection (1)(b)(i), (ii), or (iii); or
694
(ii) (A) is convicted of driving under the influence of alcohol, any drug, or the
695
combined influence of alcohol and any drug; and
696
(B) was convicted of driving under the influence of alcohol, any drug, or the combined
697
influence of alcohol and any drug within five years before the day on which the person is
698
convicted of the offense described in Subsection (2)(b)(ii)(A).
699
(3) The director may immediately suspend an employee of the department for the
700
period during which the criminal matter is being adjudicated if the employee:
701
(a) is arrested on a charge for an offense described in Subsection (1)(b)(i), (ii), or (iii);
702
or
703
(b) (i) is arrested on a charge for the offense of driving under the influence of alcohol,
704
any drug, or the combined influence of alcohol and any drug; and
705
(ii) was convicted of driving under the influence of alcohol, any drug, or the combined
706
influence of alcohol and any drug within five years before the day on which the person is
707
arrested on a charge described in Subsection (3)(b)(i).
708
[(3)] (4) (a) A person who seeks employment with the department shall file with the
709
department an application under oath or affirmation in a form prescribed by the commission.
710
(b) The commission may not require information designating the color, race, or creed
711
of [the] an applicant.
712
(c) Upon receiving an application the department shall determine whether the applicant
713
is:
714
(i) of good moral character; and [is]
715
(ii) qualified for the position sought.
716
(d) The selection of applicants for employment or advancement with the department
717
shall be in accordance with Title 67, Chapter 19, [the] Utah State Personnel Management Act.
718
[(4) A package agent or licensee or any employee of a package agent or a licensee is]
719
(5) The following are not considered an employee of the department[.]:
720
(a) a package agent;
721
(b) a licensee;
722
(c) an employee of a package agent; or
723
(d) an employee of a licensee.
724
[(5) Minors] (6) A minor may not be employed by the department to:
725
(a) work in:
726
(i) any state liquor store; or
727
(ii) departmental warehouse[,]; or [to]
728
(b) engage in any activity involving the handling of alcoholic beverages.
729
Section 6.
Section
32A-1-113
is amended to read:
730
32A-1-113. Department expenditures and revenues -- Liquor Control Fund --
731
Exempt from Division of Finance -- Annual audits.
732
(1) (a) All money received by the department in the administration of this title, except
733
as otherwise provided, together with all property acquired, administered, possessed, or received
734
by the department, is the property of the state. Money received in the administration of this
735
title shall be paid to the department and transferred into the state treasury to the credit of the
736
Liquor Control Fund.
737
(b) All expenses, debts, and liabilities incurred by the department in connection with
738
the administration of this title shall be paid from the Liquor Control Fund.
739
(c) The fiscal officers of the department shall transfer annually from the Liquor Control
740
Fund to the General Fund a sum equal to the amount of net profit earned from the sale of liquor
741
since the preceding transfer of funds. The transfer shall be made within 90 days of the end of
742
the department's fiscal year on June 30.
743
(2) (a) Deposits made by the department shall be made to banks designated as state
744
depositories and reported to the state treasurer at the end of each day.
745
(b) Any member of the commission and any employee of the department is not
746
personally liable for any loss caused by the default or failure of depositories.
747
(c) All funds deposited in any bank or trust company are entitled to the same priority of
748
payment as other public funds of the state.
749
(3) All expenditures necessary for the administration of this title, including the
750
payment of all salaries, premiums, if any, on bonds of the commissioners, the director, and the
751
department staff in all cases where bonds are required, and all other expenditures incurred in
752
establishing, operating, and maintaining state stores and package agencies and in the
753
administration of this title, shall be paid by warrants drawn on the state treasurer paid out of the
754
Liquor Control Fund.
755
(4) If the cash balance of the Liquor Control Fund is not adequate to cover the warrants
756
drawn against it by the state treasurer, the cash resources of the General Fund may be utilized
757
to the extent necessary. However, at no time may the fund equity of the Liquor Control Fund
758
fall below zero.
759
(5) (a) When any check issued in payment of any fees or costs authorized or required
760
by this title is returned to the department as dishonored[,]:
761
(i) the department may assess a service charge in an amount set by commission rule
762
against the person on whose behalf the check was tendered[.]; and
763
(ii) if the check that is returned to the department is from a licensee, permittee, or
764
package agent, it is grounds for:
765
(A) the suspension or revocation of the license or permit; or
766
(B) the suspension or termination of the operation of the package agency.
767
(b) The revocation of a license or permit under this Subsection (5) is grounds for the
768
forfeiture of the bond of the:
769
(i) licensee; or
770
(ii) permittee.
771
(c) The termination of the operation of a package agency under this Subsection (5) is
772
grounds for the forfeiture of the bond of the package agency.
773
(6) The laws that govern the Division of Finance and prescribe the general powers and
774
duties of the Division of Finance are not applicable to the Department of Alcoholic Beverage
775
Control in the purchase and sale of alcoholic products.
776
(7) The accounts of the department shall be audited annually by the state auditor or by
777
any other person, firm, or corporation the state auditor appoints. The audit report shall be made
778
to the state auditor, and copies submitted to members of the Legislature not later than January 1
779
following the close of the fiscal year for which the report is made.
780
Section 7.
Section
32A-1-116
is amended to read:
781
32A-1-116. Purchase of liquor.
782
(1) [Beginning July 1, 1991, the] The department may not purchase or stock alcoholic
783
beverages in containers smaller than 200 ml. except as otherwise allowed by the commission.
784
(2) (a) Each order for the purchase of liquor or any cancellation of an order:
785
(i) shall be executed in writing by the department; and
786
(ii) is not valid or binding unless [so] executed in writing.
787
(b) A [duplicate] copy of each order or cancellation shall be kept on file by the
788
department for at least three years.
789
Section 8.
Section
32A-1-119
is amended to read:
790
32A-1-119. Adjudicative proceedings -- Procedure.
791
(1) (a) The commission, director, and department may conduct adjudicative
792
proceedings to inquire into any matter necessary and proper for the administration of this title
793
and rules adopted under this title.
794
(b) The commission, director, and department shall comply with the procedures and
795
requirements of Title 63, Chapter 46b, Administrative Procedures Act, in their adjudicative
796
proceedings.
797
(c) Except where otherwise provided by law, all adjudicative proceedings shall be
798
conducted in accordance with Title 52, Chapter 4, Open and Public Meetings.
799
(d) All adjudicative proceedings concerning departmental personnel shall be conducted
800
in accordance with Title 67, Chapter 19, Utah State Personnel Management Act. All hearings
801
that are informational, fact gathering, and nonadversarial in nature shall be conducted in
802
accordance with rules, policies, and procedures promulgated by the commission, director, or
803
department.
804
(2) (a) Disciplinary proceedings shall be conducted under the authority of the
805
commission, which is responsible for rendering a final decision and order on any disciplinary
806
matter.
807
(b) (i) Nothing in this section precludes the commission from appointing necessary
808
officers, including hearing examiners, from within or without the department, to administer the
809
disciplinary hearing process.
810
(ii) Officers and examiners appointed by the commission may conduct hearings on
811
behalf of the commission and submit findings of fact, conclusions of law, and
812
recommendations to the commission.
813
(3) [When] (a) The department may initiate a proceeding described in Subsection
814
(3)(b) when the department [has on file] receives:
815
(i) a report from any government agency, peace officer, examiner, or investigator
816
alleging that a permittee or licensee or any [of its officers or employees] officer, employee, or
817
agent of a permittee or licensee has violated this title or the rules of the commission[, the];
818
(ii) a final adjudication of criminal liability against a permittee or licensee or any
819
officer, employee, or agent of a permittee or licensee based on an alleged violation of this title;
820
or
821
(iii) a final adjudication of civil liability under Chapter 14a, Alcoholic Beverage
822
Liability, against a permittee or licensee or any officer, employee, or agent of a permittee or
823
licensee based on an alleged violation of this title.
824
(b) The department may initiate disciplinary proceedings if the department receives an
825
item listed in Subsection (3)(a) to determine:
826
[(a)] (i) whether [or not] the permittee or licensee [is guilty of the violation] or any
827
officer, employee, or agent of the permittee or licensee violated this title or rules of the
828
commission; and
829
[(b)] (ii) if a violation is found [guilty], the [penalty] appropriate sanction to be
830
imposed.
831
(c) For purposes of this Subsection (3), "final adjudication" means an adjudication for
832
which a final unappealable judgment or order has been issued.
833
(4) (a) [An] Unless waived by the respondent, an adjudicative proceeding shall be held:
834
(i) if required by law[, and in all cases];
835
(ii) before revoking or suspending any permit or license [or permit] issued under this
836
title[, unless waived by the respondent]; or
837
(iii) before imposing a fine against:
838
(A) a permittee;
839
(B) a licensee; or
840
(C) any officer, employee, or agent of a permittee or licensee.
841
(b) Inexcusable failure of a respondent to appear at a scheduled evidentiary hearing
842
after receiving proper notice is an admission of the charged violation.
843
(c) The validity of any hearing is not affected by the failure of any person to attend or
844
remain in attendance.
845
(d) All evidentiary hearings shall be presided over by the commission or an appointed
846
hearing examiner.
847
(e) A hearing may be closed only after the commission or hearing examiner makes a
848
written finding that the public interest in an open hearing is clearly outweighed by factors
849
enumerated in the closure order.
850
(f) The commission or its hearing examiner may administer oaths or affirmations, take
851
evidence, take depositions within or without this state, require by subpoena from any place
852
within this state the testimony of any person at a hearing, and the production of any books,
853
records, papers, contracts, agreements, documents, or other evidence considered relevant to the
854
inquiry.
855
(i) Persons subpoenaed shall testify and produce any books, papers, documents, or
856
tangible things as required in the subpoena.
857
(ii) Any witness subpoenaed or called to testify or produce evidence who claims a
858
privilege against self-incrimination may not be compelled to testify, but the commission or the
859
hearing examiner shall file a written report with the county attorney or district attorney in the
860
jurisdiction where the privilege was claimed or where the witness resides setting forth the
861
circumstance of the claimed privilege.
862
(iii) A person is not excused from obeying a subpoena without just cause. Any district
863
court within the judicial district in which a person alleged to be guilty of willful contempt of
864
court or refusal to obey a subpoena is found or resides, upon application by the party issuing
865
the subpoena, may issue an order requiring the person to appear before the issuing party, and to
866
produce documentary evidence if so ordered, or to give evidence regarding the matter in
867
question. Failure to obey an order of the court may be punished by the court as contempt.
868
(g) In all cases heard by a hearing examiner, the hearing examiner shall prepare a
869
report to the commission. The report may not recommend a penalty more severe than that
870
initially sought by the department in the notice of violation. A copy of the report shall be
871
served upon the respective parties, and the respondent shall be given reasonable opportunity to
872
file any written objections to the report before final commission action.
873
(h) In all cases heard by the commission, it shall issue its final decision and order.
874
(5) (a) The commission shall render a decision and issue a written order on any
875
disciplinary action, and serve a copy on all parties.
876
(b) Any order of the commission is considered final on the date [it] the order becomes
877
effective.
878
(c) If the commission is satisfied that a permittee [or], licensee, or any officer,
879
employee, or agent of a permittee or licensee has committed a violation of this title[,] or the
880
commission's rules, [it] in accordance with Title 63, Chapter 46b, Administrative Procedures
881
Act, the commission may [take emergency action suspending or revoking]:
882
(i) suspend or revoke the permit or the license [according to the procedures and
883
requirements of Title 63, Chapter 46b, Administrative Procedures Act, and];
884
(ii) impose a fine against:
885
(A) the permittee;
886
(B) the licensee; or
887
(C) any officer, employee, or agent of a permittee or licensee;
888
(iii) assess the administrative costs of any hearing to the permittee or the licensee[.]; or
889
(iv) any combination of Subsections (5)(c)(i) through (iii).
890
(d) (i) A fine imposed in accordance with this Subsection (5) may not exceed $25,000
891
in the aggregate for any single notice of agency action.
892
(ii) The commission shall, by rule, establish a schedule of fines specifying the range of
893
fines for each violation of this title or commission rules.
894
(e) (i) If a permit or license is suspended under this Subsection (5), a sign provided by
895
the department shall be prominently posted:
896
(A) during the suspension;
897
(B) by the permittee or licensee; and
898
(C) at the entrance of the premises of the permittee or licensee.
899
(ii) The sign required by this Subsection (5)(e) shall:
900
(A) read "The Utah Alcoholic Beverage Control Commission has suspended the
901
alcoholic beverage license or permit of this establishment. Alcoholic beverages may not be
902
sold, served, furnished, or consumed on these premises during the period of suspension."; and
903
(B) include the dates of the suspension period.
904
(iii) A permittee or licensee may not remove, alter, obscure, or destroy a sign required
905
to be posted under this Subsection (5)(e) during the suspension period.
906
[(d)] (f) If the permit or license is revoked, the commission may order the revocation of
907
any compliance bond posted by the permittee or licensee.
908
[(e)] (g) Any permittee or licensee whose permit or license is revoked may not reapply
909
for a permit or license under this title for three years from the date the permit or license was
910
revoked.
911
[(f)] (h) All costs assessed by the commission shall be transferred into the General
912
Fund in accordance with Section
32A-1-113
.
913
(6) (a) [The commission] In addition to any action taken against a permittee or licensee
914
under this section, the department may [also] initiate disciplinary [actions] action against
915
[employees] an officer, employee, or [agents] agent of [licensees] a permittee or licensee.
916
(b) If any officer, employee, or agent is found to have violated this title, the
917
commission may prohibit the officer, employee, or agent from serving, selling, distributing,
918
manufacturing, wholesaling, warehousing, or handling alcoholic beverages in the course of
919
employment with any permittee or licensee [licensed] under this title for a period determined
920
by the commission.
921
[(7) If any manufacturer, supplier, or importer of liquor, wine, or heavy beer or their
922
employee, agent, or representative violates any provision of this title,]
923
(7) (a) The department may, initiate a disciplinary action for an alleged violation of this
924
title or the rules of the commission against:
925
(i) a manufacturer, supplier, or importer of alcoholic beverages; or
926
(ii) an officer, employee, agent, or representative of a person listed in Subsection
927
(7)(a)(i).
928
(b) (i) If the commission makes the finding described in Subsection (7)(b)(ii) the
929
commission may, in addition to other penalties prescribed by this title, order:
930
(A) the removal of the manufacturer's, supplier's, or importer's products from the
931
department's sales list; and
932
(B) a suspension of the department's purchase of [those] the products described in
933
Subsection (7)(b)(i)(A) for a period determined by the commission [if].
934
(ii) The commission may take the action described in Subsection (7)(b)(i) if:
935
(A) any manufacturer, supplier, or importer of liquor, wine, or heavy beer or its
936
employee, agent, or representative violates any provision of this title; and
937
(B) the manufacturer, supplier, or importer:
938
(I) directly committed the violation[,]; or
939
(II) solicited, requested, commanded, encouraged, or intentionally aided another to
940
engage in the violation.
941
Section 9.
Section
32A-1-122
is amended to read:
942
32A-1-122. Liquor prices.
943
(1) Except as provided in Subsections (2) and (3), all liquor sold within the state shall
944
be marked up in an amount not less than [61%] 64% above the cost to the department[,
945
excluding federal excise taxes].
946
(2) All liquor sold to military installations in Utah shall be marked up in an amount not
947
less than 15% above the cost to the department[, excluding federal excise taxes].
948
(3) [All wine sold in Utah by] If a wine manufacturer producing less than 20,000
949
gallons of wine in any calendar year, as verified by the department pursuant to federal or other
950
verifiable production reports, first applies to the department for a reduced markup, all wine
951
sold in Utah by the wine manufacturer shall be marked up in an amount not less than 30%
952
above the cost to the department[, excluding federal excise taxes, but only if the wine
953
manufacturer first applies to the department for the 30% markup].
954
(4) Nothing in this section prohibits the department from selling discontinued lines at a
955
discount.
956
Section 10.
Section
32A-1-123
is amended to read:
957
32A-1-123. Licensee compliance with other laws.
958
(1) Each applicant for a license and each licensee shall comply with all applicable
959
federal and state laws pertaining to payment of taxes and contributions to unemployment and
960
insurance funds to which it may be subject. [Failure to do so may result in the suspension or
961
revocation of the licensee's license.]
962
(2) The commission:
963
(a) may not issue a license to an applicant that violates this section; and
964
(b) may suspend, revoke, or not renew the license of any licensee who fails to comply
965
with this section.
966
Section 11.
Section
32A-1-401
is amended to read:
967
32A-1-401. Alcohol training and education -- Revocation or suspension of
968
licenses.
969
(1) The commission may [revoke,] suspend, [withhold] revoke, or not renew the
970
license of any [new or renewing] licensee if any of the following persons, as defined in Section
971
62A-15-401
, fail to complete the seminar required in Section
62A-15-401
:
972
(a) a person who manages operations at the premises of the licensee;
973
(b) a person who supervises the serving of alcoholic beverages to a customer for
974
consumption on the premises of the licensee; or
975
(c) a person who serves alcoholic beverages to a customer for consumption on the
976
premises of the licensee.
977
(2) A city, town, or county in which an establishment conducts its business may
978
[revoke,] suspend, [withhold] revoke, or not renew the business license of the establishment if
979
any person described in Subsection (1) fails to complete the seminar required in Section
980
62A-15-401
.
981
Section 12.
Section
32A-2-101
is amended to read:
982
32A-2-101. Commission's power to establish state stores -- Limitations.
983
(1) (a) The commission may establish state stores in numbers and at places, owned or
984
leased by the department, it considers proper for the sale of liquor, by employees of the state, in
985
accordance with this title and the rules made under this title.
986
(b) Employees of state stores are considered employees of the department and shall
987
meet all qualification requirements for employment outlined in Section
32A-1-111
.
988
(2) (a) The total number of state stores may not at any time aggregate more than that
989
number determined by dividing the population of the state by 48,000. [Population]
990
(b) For purposes of this Subsection (2), population shall be determined by:
991
(i) the most recent United States decennial or special census; or [by]
992
(ii) any other population determination made by the United States or state
993
governments.
994
(3) (a) A state store may not be established within 600 feet of any public or private
995
school, church, public library, public playground, or park as measured by the method in
996
Subsection (4).
997
(b) A state store may not be established within 200 feet of any public or private school,
998
church, public library, public playground, or park measured in a straight line from the nearest
999
entrance of the proposed state store to the nearest property boundary of the public or private
1000
school, church, public library, public playground, or park.
1001
(c) The restrictions contained in Subsections (3)(a) and (b) govern unless one of the
1002
following exceptions applies:
1003
[(i) The commission finds after full investigation that the premises are located within a
1004
city of the third class or a town, and compliance with the distance requirements would result in
1005
peculiar and exceptional practical difficulties or exceptional and undue hardships in the
1006
establishment of a state store. In that event, the commission may, after giving full
1007
consideration to all of the attending circumstances, following a public hearing in the city or
1008
town, and where practical in the neighborhood concerned, authorize a variance from the
1009
distance requirements to relieve the difficulties or hardships if the variance may be granted
1010
without substantial detriment to the public good and without substantially impairing the intent
1011
and purpose of this title.]
1012
(i) with respect to the establishment of a state store within a city of the third class, a
1013
town, or the unincorporated area of a county, the commission may authorize a variance that
1014
reduces the proximity requirements of Subsection (3)(a) or (b) if:
1015
(A) alternative locations for establishing a state store in the community are limited;
1016
(B) a public hearing has been held in the city, town, or county, and where practical in
1017
the neighborhood concerned; and
1018
(C) after giving full consideration to all of the attending circumstances, the commission
1019
determines that establishing the state store would not be detrimental to the public health, peace,
1020
safety, and welfare of the community; or
1021
(ii) [With] with respect to the establishment of a state store in any location, the
1022
commission may[, after giving full consideration to all of the attending circumstances,
1023
following a public hearing in the county, and where practical in the neighborhood concerned,
1024
reduce the proximity requirements] authorize a variance to reduce the proximity requirements
1025
of Subsection (3)(a) or (b) in relation to a church:
1026
(A) if the local governing body of the church in question gives its written [approval.]
1027
consent to the variance;
1028
(B) following a public hearing in the county, and where practical in the neighborhood
1029
concerned; and
1030
(C) after giving full considerations to all of the attending circumstances.
1031
(4) With respect to any public or private school, church, public library, public
1032
playground, or park, the 600 foot limitation is measured from the nearest entrance of the state
1033
store by following the shortest route of [either] ordinary pedestrian [traffic or, where
1034
applicable, vehicular travel along public thoroughfares, whichever is the closer,] travel to the
1035
property boundary of the public or private school, church, public library, public playground,
1036
school playground, or park.
1037
(5) (a) Nothing in this section prevents the commission from considering the proximity
1038
of any educational, religious, and recreational facility, or any other relevant factor in reaching a
1039
decision on a proposed location.
1040
(b) For purposes of this Subsection (5), "educational facility" includes:
1041
(i) a nursery [schools,] school;
1042
(ii) an infant day care [centers,] center; and
1043
(iii) a trade and technical [schools] school.
1044
Section 13.
Section
32A-2-103
is amended to read:
1045
32A-2-103. Operational restrictions.
1046
(1) Liquor may not be sold from a state store except in a sealed package. The package
1047
may not be opened on the premises of any state store.
1048
(2) (a) An officer, agent, clerk, or employee of a state store may not consume or allow
1049
to be consumed by any person any alcoholic beverage on the premises of a state store.
1050
(b) Violation of this Subsection (2) is a class B misdemeanor.
1051
(3) All liquor sold shall be in packages that are properly marked and labeled in
1052
accordance with the rules adopted under this title.
1053
(4) Liquor may not be sold except at prices fixed by the commission.
1054
(5) Liquor may not be sold, delivered, or furnished to any:
1055
(a) minor;
1056
(b) person actually, apparently, or obviously [drunk] intoxicated;
1057
(c) known habitual drunkard; or
1058
(d) known interdicted person.
1059
(6) Sale or delivery of liquor may not be made on or from the premises of any state
1060
store, nor may any state store be kept open for the sale of liquor:
1061
(a) on Sunday;
1062
(b) on any state or federal legal holiday;
1063
(c) on any day on which any regular general election, regular primary election, or
1064
statewide special election is held;
1065
(d) on any day on which any municipal, special district, or school election is held, but
1066
only within the boundaries of the municipality, special district, or school district holding the
1067
election and only if the municipality, special district, or school district in which the election is
1068
being held notifies the department at least 30 days prior to the date of the election; or
1069
(e) except on days and during hours as the commission may direct by rule or order.
1070
(7) Each state store shall display in a prominent place in the store a sign in large letters
1071
stating: "Warning: Driving under the influence of alcohol or drugs is a serious crime that is
1072
prosecuted aggressively in Utah."
1073
Section 14.
Section
32A-3-101
is amended to read:
1074
32A-3-101. Commission's power to establish package agencies -- Limitations.
1075
(1) (a) The commission may, when considered necessary, create package agencies by
1076
entering into contractual relationships with persons to sell liquor in sealed packages from
1077
premises other than those owned or leased by the state.
1078
(b) The commission shall authorize a person to operate a package agency by issuing a
1079
certificate from the commission that designates the person in charge of the agency as a
1080
"package agent" as defined under Section
32A-1-105
.
1081
(2) (a) Subject to this Subsection (2), the total number of package agencies may not at
1082
any time aggregate more than that number determined by dividing the population of the state
1083
by 18,000.
1084
(b) For purposes of Subsection (2)(a), population shall be determined by:
1085
(i) the most recent United States decennial or special census; or
1086
(ii) any other population determination made by the United States or state
1087
governments.
1088
(c) (i) The commission may establish seasonal package agencies established in areas
1089
[and for periods it] the commission considers necessary.
1090
(ii) A seasonal package agency [may not be operated] shall be for a period [longer than
1091
nine] of six consecutive months [subject to the restrictions stated in Subsections (2)(c)(i)
1092
through (iii)].
1093
[(i)] (iii) A package agency established for operation during a summer time period is
1094
known as a "Seasonal A" package agency. The period of operation for a "Seasonal A" agency
1095
[may begin as early as February 1 and may continue until October 31.] shall:
1096
(A) begin on May 1; and
1097
(B) end on October 31.
1098
[(ii)] (iv) A package agency established for operation during a winter time period is
1099
known as a "Seasonal B" package agency. The period of operation for a "Seasonal B" agency
1100
[may begin as early as September 1 and may continue until May 31.] shall:
1101
(A) begin on November 1; and
1102
(B) end on April 30.
1103
[(iii)] (v) In determining the number of package agencies that the commission may
1104
establish under this section:
1105
(A) a seasonal package agency is counted as [one half] 1/2 of one package agency; and
1106
(B) each "Seasonal A" agency shall be paired with a "Seasonal B" agency[; and].
1107
[(C) the total number of months that each combined pair may be established for
1108
operation may not exceed 12 months for each calendar year.]
1109
(d) (i) If the location, design, and construction of a hotel may require more than one
1110
package agency sales location to serve the public convenience, the commission may authorize a
1111
single package agent to sell liquor at as many as three locations within the hotel under one
1112
package agency if:
1113
(A) the hotel has a minimum of 150 guest rooms; and
1114
(B) all locations under the agency are:
1115
(I) within the same hotel facility; and
1116
(II) on premises that are managed or operated and owned or leased by the package
1117
agent.
1118
(ii) Facilities other than hotels may not have more than one sales location under a
1119
single package agency.
1120
(3) (a) As measured by the method in Subsection (4), the premises of a package agency
1121
may not be established within 600 feet of any[:] public or private school, church, public library,
1122
public playground, or park.
1123
[(i) public or private school;]
1124
[(ii) church;]
1125
[(iii) public library;]
1126
[(iv) public playground; or]
1127
[(v) park.]
1128
(b) [A] The premises of a package agency may not be established within 200 feet of
1129
any public or private school, church, public library, public playground, or park, measured in a
1130
straight line from the nearest entrance of the proposed package agency to the nearest property
1131
boundary of the public or private school, church, public library, public playground, or park.
1132
(c) The restrictions contained in Subsections (3)(a) and (b) govern unless [Subsection
1133
(3)(c)(i) or (ii)] one of the following exemptions applies[.]:
1134
[(i) If the commission finds after full investigation that the premises are located within a
1135
city of the third class or a town, and compliance with the distance requirements would result in
1136
peculiar and exceptional practical difficulties or exceptional and undue hardships in the
1137
establishment of a package agency, the commission may authorize a variance from the distance
1138
requirement to relieve the difficulties or hardships:]
1139
[(A) after giving full consideration to all of the attending circumstances;]
1140
[(B) following a public hearing in:]
1141
[(I) the city or town concerned; and]
1142
[(II) where practical, in the neighborhood concerned; and]
1143
[(C) if the variance may be granted without:]
1144
[(I) substantial detriment to the public good; and]
1145
[(II) substantially impairing the intent and purpose of this title.]
1146
[(ii) With respect to the establishment of a package agency in any location, the
1147
commission may reduce the proximity requirements in relation to a church:]
1148
[(A) after giving full consideration to all of the attending circumstances;]
1149
[(B) following a public hearing in:]
1150
[(I) the county concerned; and]
1151
[(II) where practical, in the neighborhood concerned; and]
1152
[(C) if the local governing body of the church in question gives its written approval.]
1153
(i) with respect to the establishment of a package agency within a city of the third class,
1154
a town, or the unincorporated area of a county, the commission may authorize a variance to
1155
reduce the proximity requirements of Subsection (3)(a) or (b) if:
1156
(A) the local governing authority has granted its written consent to the variance;
1157
(B) alternative locations for establishing a package agency in the community are
1158
limited;
1159
(C) a public hearing has been held in the city, town, or county, and where practical in
1160
the neighborhood concerned; and
1161
(D) after giving full consideration to all of the attending circumstances, the
1162
commission determines that establishing the package agency would not be detrimental to the
1163
public health, peace, safety, and welfare of the community;
1164
(ii) with respect to the establishment of a package agency in any location, the
1165
commission may authorize a variance to reduce the proximity requirements Subsection (3)(a)
1166
or (b) in relation to a church:
1167
(A) if the local governing body of the church in question gives its written consent to
1168
the variance;
1169
(B) following a public hearing in the city, town, or county and where practical in the
1170
neighborhood concerned; and
1171
(C) after giving full consideration to all of the attending circumstances; or
1172
(iii) with respect to the premises of a package agency issued by the commission that
1173
under goes a change of ownership, the commission may waive or vary the proximity
1174
requirements of Subsection (3)(a) or (b) in considering whether to grant a package agency to
1175
the new owner of the premises if:
1176
(A) the premises previously received a variance reducing the proximity requirements of
1177
Subsection (3)(a) or (b); or
1178
(B) a variance from proximity or distance requirements was otherwise allowed under
1179
this title.
1180
(4) With respect to any public or private school, church, public library, public
1181
playground, or park, the 600 foot limitation is measured from the nearest entrance of the
1182
package agency by following the shortest route of [either] ordinary pedestrian [traffic, or where
1183
applicable, vehicular travel along public thoroughfares, whichever is the closer,] travel to the
1184
property boundary of the public or private school, church, public library, public playground,
1185
school playground, or park.
1186
(5) (a) Nothing in this section prevents the commission from considering the proximity
1187
of any educational, religious, and recreational facility, or any other relevant factor in reaching a
1188
decision on a proposed location.
1189
(b) For purposes of Subsection (5)(a), "educational facility" includes:
1190
(i) a nursery school;
1191
(ii) an infant day care center; and
1192
(iii) a trade and technical school.
1193
(6) (a) The package agent, under the direction of the department, shall be responsible
1194
for implementing and enforcing this title and the rules adopted under this title to the extent they
1195
relate to the conduct of the agency and its sale of liquor.
1196
(b) A package agent may not be, or construed to be, a state employee nor be otherwise
1197
entitled to any benefits of employment from the state.
1198
(c) A package agent, when selling liquor from a package agency, is considered an agent
1199
of the state only to the extent specifically expressed in the package agency agreement.
1200
(7) The commission may prescribe by policy, directive, or rule, consistent with this
1201
title, general operational requirements of all package agencies relating to:
1202
(a) physical facilities;
1203
(b) conditions of operation;
1204
(c) hours of operation;
1205
(d) inventory levels;
1206
(e) payment schedules;
1207
(f) methods of payment;
1208
(g) premises security; and
1209
(h) any other matters considered appropriate by the commission.
1210
Section 15.
Section
32A-3-102
is amended to read:
1211
32A-3-102. Application requirements.
1212
(1) A person seeking to operate a package agency as a package agent under this chapter
1213
shall file a written application with the department in a form prescribed by the department.
1214
(2) The application shall be accompanied by:
1215
(a) a nonrefundable application fee of $100;
1216
(b) written consent of the local authority;
1217
(c) evidence of proximity to any public or private school, church, public library, public
1218
playground, or park, and if the proximity is within the 600 foot or 200 foot limitations of
1219
Subsections
32A-3-101
(3)[,] and (4)[, and (5)], the application shall be processed in
1220
accordance with those subsections;
1221
(d) a bond as specified by Section
32A-3-105
;
1222
(e) a floor plan of the premises, including a description and highlighting of that part of
1223
the premises in which the applicant proposes that the package agency be established;
1224
(f) evidence that the package agency is carrying public liability insurance in an amount
1225
and form satisfactory to the department;
1226
(g) a signed consent form stating that the package agent will permit any authorized
1227
representative of the commission, department, or any law enforcement officer to have
1228
unrestricted right to enter the package agency;
1229
(h) in the case of [a corporate] an applicant that is a partnership, corporation, or limited
1230
liability company, proper verification evidencing that the person or persons signing the package
1231
agency application are authorized to so act on [the corporation's] behalf of the partnership,
1232
corporation, or limited liability company; and
1233
(i) any other information as the commission or department may direct.
1234
Section 16.
Section
32A-3-103
is amended to read:
1235
32A-3-103. Qualifications.
1236
(1) (a) The commission may not grant a package agency to any person who has been
1237
convicted of:
1238
(i) a felony under any federal or state law;
1239
(ii) any violation of any federal or state law or local ordinance concerning the sale,
1240
manufacture, distribution, warehousing, adulteration, or transportation of alcoholic beverages;
1241
[or]
1242
(iii) any crime involving moral turpitude[.]; or
1243
(iv) on two or more occasions within the five years before the day on which the
1244
package agency is granted, driving under the influence of alcohol, any drug, or the combined
1245
influence of alcohol and any drug.
1246
(b) In the case of a partnership [or], corporation, or limited liability company, the
1247
proscription under Subsection (1)(a) applies if any of the following has been convicted of any
1248
offense described in Subsection (1)(a):
1249
(i) a partner[,];
1250
(ii) a managing agent[,];
1251
(iii) a manager;
1252
(iv) an officer[,];
1253
(v) a director[, or];
1254
(vi) a stockholder who holds at least 20% of the total issued and outstanding stock of
1255
[an] the applicant corporation [has been convicted of any offense as provided in Subsection
1256
(a)]; or
1257
(vii) a member who owns at least 20% of the applicant limited liability company.
1258
[(2) (a) If any employee or proprietor of a package agency is convicted of any offense
1259
designated in Subsection (1)(a), the]
1260
(c) The proscription under Subsection (1)(a) applies if any person employed to act in a
1261
supervisory or managerial capacity for a package agency has been convicted of any offense
1262
described in Subsection (1)(a).
1263
(2) The commission may[, pursuant to a package agency agreement,] immediately
1264
suspend or revoke the package agency[.] and terminate the package agency agreement
1265
if after the day on which the package agency is granted a person described in Subsection (1)(a),
1266
(b), or (c):
1267
(a) is found to have been convicted of any offense described in Subsection (1)(a) prior
1268
to the package agency being granted; or
1269
(b) on or after the day on which the package agency is granted:
1270
(i) is convicted of an offense described in Subsection (1)(a)(i), (ii), or (iii); or
1271
(ii) (A) is convicted of driving under the influence of alcohol, any drug, or the
1272
combined influence of alcohol and any drug; and
1273
(B) was convicted of driving under the influence of alcohol, any drug, or the combined
1274
influence of alcohol and any drug within five years before the day on which the person is
1275
convicted of the offense described in Subsection (2)(b)(ii)(A).
1276
[(b) In the case of a partnership or corporation that operates a package agency, if any
1277
partner, managing agent, officer, director, or stockholder who holds at least 20% of the total
1278
issued and outstanding stock of a corporation is convicted of any offense designated in
1279
Subsection (1)(a), the commission may, pursuant to a package agency agreement, immediately
1280
revoke the package agency.]
1281
(3) [Upon the arrest of any package agent on any charge set forth in Subsection (1)(a),
1282
the] The director may take emergency action by immediately suspending the operation of the
1283
package agency for the period during which the criminal matter is being adjudicated[.] if a
1284
person described in Subsection (1)(a), (b), or (c):
1285
(a) is arrested on a charge for an offense described in Subsection (1)(a)(i), (ii), or (iii);
1286
or
1287
(b) (i) is arrested on a charge for the offense of driving under the influence of alcohol,
1288
any drug, or the combined influence of alcohol and any drug; and
1289
(ii) was convicted of driving under the influence of alcohol, any drug, or the combined
1290
influence of alcohol and any drug within five years before the day on which the person is
1291
arrested on a charge described in Subsection (3)(b)(i).
1292
(4) (a) (i) The commission may not grant a package agency to any person who has had
1293
any type of license, agency, or permit issued under this title revoked within the last three years.
1294
(ii) The commission may not grant a package agency to any [corporation or
1295
partnership] applicant that is a partnership, corporation, or limited liability company if any
1296
partner, managing agent, manager, officer, director, [or] stockholder who holds at least 20% of
1297
the total issued and outstanding stock of the applicant corporation, or member who owns at
1298
least 20% of the applicant limited liability company is or was:
1299
(A) a partner or managing agent of any partnership[, or is or was] that had any type of
1300
license, agency, or permit issued under this title revoked within the last three years;
1301
(B) a managing agent, officer, director, or stockholder who holds or held at least 20%
1302
of the total issued and outstanding stock of any corporation that had any type of license,
1303
agency, or permit issued under this title revoked within the last three years; or
1304
(C) a manager or member who owns or owned at least 20% of any limited liability
1305
company that had [a liquor] any type of license, agency, or permit issued under this title
1306
revoked within the last three years.
1307
(b) [A corporation or partnership] An applicant that is a partnership, corporation, or
1308
limited liability company may not be granted a package agency if any of the following had any
1309
type of license, agency, or permit issued under this title revoked while acting in that person's
1310
individual capacity within the last three years:
1311
(i) any partner or managing agent of the applicant partnership [or];
1312
(ii) any managing agent, officer, director, or stockholder who holds at least 20% of the
1313
total issued and outstanding stock of the [corporate] applicant [had a liquor license, agency, or
1314
permit revoked while acting in their individual capacity within the last three years.]
1315
corporation; or
1316
(iii) any manager or member who owns at least 20% of the applicant limited liability
1317
company.
1318
(c) A person acting in an individual capacity may not be granted a package agency if
1319
that person was:
1320
(i) a partner or managing agent of a partnership[, or] that had any type of license,
1321
agency, or permit issued under this title revoked within the last three years;
1322
(ii) a managing agent, officer, director, or stockholder who held at least 20% of the
1323
total issued and outstanding stock of a corporation that had any type of license, agency, or
1324
permit issued under this title revoked within the last three years; or
1325
(iii) a manager or member who owned at least 20% of the limited liability company
1326
that had [a liquor] any type of license, agency, or permit issued under this title revoked within
1327
the last three years.
1328
(5) (a) Each package agency shall be operated by a natural person, who is either:
1329
(i) the package agent; or
1330
(ii) another natural person that package agent designates.
1331
(b) Each designee shall be:
1332
(i) an employee of the package agent; and [shall be]
1333
(ii) responsible for the operation of the agency.
1334
(c) The conduct of the designee shall be attributable to the package agent.
1335
(d) The package agent shall provide the name of the person operating the package
1336
agency to the department for [its] the department's approval.
1337
(e) The name and title of any designee shall be stated on the application for the
1338
package agency.
1339
(f) The package agent shall:
1340
(i) inform the department of any proposed change in the person designated to operate
1341
the agency[,]; and [shall]
1342
(ii) receive prior approval from the department before implementing the change as
1343
described in this Subsection (5)(f).
1344
(g) Failure to comply with the requirements of this Subsection (5) may result in the
1345
immediate termination of the package agency agreement.
1346
[(6) (a) A person having a license to sell draft beer may not be allowed to operate a
1347
package agency from the same location in which the draft beer is sold.]
1348
[(b) The commission may not establish a package agency in:]
1349
[(i) any restaurant;]
1350
[(ii) any eating place; or]
1351
[(iii) any other location that is situated or arranged so as to make the agency part of the
1352
restaurant or eating place.]
1353
[(7)] (6) (a) A minor may not be:
1354
(i) granted a package agency; or [be]
1355
(ii) employed by a package agent to handle liquor.
1356
(b) The commission may not grant a package agency to an applicant that is a
1357
partnership, corporation, or limited liability company if any of the following is a minor:
1358
(i) a partner or managing agent of the applicant partnership;
1359
(ii) a managing agent, officer, director, or stockholder who holds at least 20% of the
1360
total issued and outstanding stock of the applicant corporation; or
1361
(iii) a manager or member who owns at least 20% of the applicant limited liability
1362
company.
1363
[(8)] (7) If any package agent no longer possesses the qualifications required by this
1364
title for obtaining a package agency, the commission may terminate the package agency
1365
contract.
1366
Section 17.
Section
32A-3-106
is amended to read:
1367
32A-3-106. Operational restrictions.
1368
(1) (a) A package agency may not be operated until a package agency agreement has
1369
been entered into by the package agent and the department.
1370
(b) The agreement shall state the conditions of operation by which the package agent
1371
and the department are bound.
1372
(c) If the package agent violates the conditions, terms, or covenants contained in the
1373
agreement, or violates any provisions of this title, the department may take whatever action
1374
against the agent that is allowed by the package agency agreement.
1375
(d) Actions against the package agent are governed solely by the agreement and may
1376
include suspension or revocation of the agency.
1377
[(2) The department shall provide all liquor sold by package agencies.]
1378
(2) (a) A package agency may not purchase liquor from any person except from the
1379
department.
1380
(b) At the discretion of the department, liquor may be provided by the department to a
1381
package agency for sale on consignment.
1382
(3) The department may pay or otherwise remunerate a package agent on any basis
1383
[other than] including sales or volume of business done by the agency.
1384
(4) Liquor may not be sold from any package agency except in a sealed package. The
1385
package may not be opened on the premises of a package agency.
1386
(5) All liquor sold shall be in packages that are properly marked and labeled in
1387
accordance with the rules adopted under this title.
1388
(6) A package agency may not display liquor or price lists in windows or showcases
1389
visible to passersby.
1390
(7) (a) An officer, agent, clerk, or employee of a package agency may not consume or
1391
allow to be consumed by any person any alcoholic beverage on the premises of a package
1392
agency.
1393
(b) Violation of this Subsection (7) is a class B misdemeanor.
1394
(8) Liquor may not be sold except at prices fixed by the commission.
1395
(9) Liquor may not be sold, delivered, or furnished to any:
1396
(a) minor;
1397
(b) person actually, apparently, or obviously [drunk] intoxicated;
1398
(c) known habitual drunkard; or
1399
(d) known interdicted person.
1400
(10) Sale or delivery of liquor may not be made on or from the premises of any
1401
package agency nor may any package agency be kept open for the sale of liquor:
1402
(a) on Sunday;
1403
(b) on any state or federal legal holiday;
1404
(c) on any day on which any regular general election, regular primary election, or
1405
statewide special election is held until after the polls are closed;
1406
(d) on any day on which any municipal, special district, or school election is held until
1407
after the polls are closed, but only within the boundaries of the municipality, special district, or
1408
school district holding the election and only if the municipality, special district, or school
1409
district in which the election is being held notifies the department at least 30 days prior to the
1410
date of the election; or
1411
(e) except on days and during hours as the commission may direct by rule or order.
1412
(11) The package agency certificate issued by the commission shall be permanently
1413
posted in a conspicuous place in the package agency.
1414
(12) Each package agent shall display in a prominent place in the package agency a
1415
sign in large letters stating: "Warning: Driving under the influence of alcohol or drugs is a
1416
serious crime that is prosecuted aggressively in Utah."
1417
(13) (a) A package agency may not close or cease operation for a period longer than 72
1418
hours, unless [written notice is given to]:
1419
(i) the package agency notifies the department in writing at least seven days before the
1420
closing[,]; and
1421
(ii) the closure or cessation of operation is first approved by the department.
1422
(b) [In] Notwithstanding Subsection (13)(a), in the case of emergency closure,
1423
immediate notice of closure shall be made to the department by telephone.
1424
(c) (i) The department may authorize a closure or cessation of operation for a period
1425
not to exceed 60 days.
1426
(ii) The department may extend the initial period an additional 30 days upon written
1427
request of the package agency and upon a showing of good cause.
1428
(iii) A closure or cessation of operation may not exceed a total of 90 days without
1429
commission approval.
1430
(d) [Each] The notice required by Subsection (13)(a) shall include:
1431
(i) the dates of closure or cessation of operation[,];
1432
(ii) the reason for the closure or cessation of operation[,]; and
1433
(iii) the date on which the agency will reopen or resume operation.
1434
(e) Failure of the agency to provide notice and to obtain department authorization prior
1435
to closure or cessation of operation shall result in an automatic termination of the package
1436
agency contract effective immediately.
1437
(f) Failure of the agency to reopen or resume operation by the approved date shall
1438
result in an automatic termination of the package agency contract effective on that date.
1439
[(14) (a) All liquor shall be stored and sold from the location designated in the package
1440
agent's application as approved by the commission.]
1441
(14) Liquor may not be stored or sold in any place other than as designated in the
1442
package agent's application, unless the package agent first applies for and receives approval
1443
from the department for a change of location within the package agency premises.
1444
[(b)] (15) A package agency may not transfer its operations from one location to
1445
another without prior written approval of the commission.
1446
[(15)] (16) (a) A person, having been granted a package agency, may not sell, transfer,
1447
assign, exchange, barter, give, or attempt in any way to dispose of the package agency to any
1448
other person, whether for monetary gain or not.
1449
(b) A package agency has no monetary value for the purpose of any type of disposition.
1450
Section 18.
Section
32A-3-108
is amended to read:
1451
32A-3-108. Return of inventory.
1452
Any liquor previously [purchased] received from the department on consignment that
1453
remains unsold [and in saleable condition] at the time the package agent's package agency
1454
agreement terminates for any reason, shall be immediately returned to the department [for a
1455
refund of the current value of the liquor] or the liquor is subject to immediate seizure by the
1456
department.
1457
Section 19.
Section
32A-4-101
is amended to read:
1458
32A-4-101. Commission's power to grant licenses -- Limitations.
1459
(1) Before [any] a restaurant may sell or allow the consumption of liquor on its
1460
premises, it shall first obtain a license from the commission as provided in this part.
1461
(2) The commission may issue restaurant liquor licenses for the purpose of establishing
1462
restaurant liquor outlets at places and in numbers it considers proper for the storage, sale, and
1463
consumption of liquor on premises operated as public restaurants.
1464
(3) (a) (i) Subject to this Subsection (3), the total number of restaurant liquor licenses
1465
may not at any time aggregate more than that number determined by dividing the population of
1466
the state by [4,500] 5,500.
1467
(ii) If the total number of restaurant liquor licenses in effect on May 5, 2003, equals or
1468
exceeds the limitation of Subsection (3)(a)(i):
1469
(A) a license that is in effect on May 5, 2003:
1470
(I) is not invalidated by Subsection (3)(a)(i); and
1471
(II) may be renewed in accordance with this chapter; and
1472
(B) the commission may not grant a new restaurant liquor license until such time as the
1473
total number of restaurant liquor licenses granted under this chapter is less than the limitation
1474
of Subsection (3)(a)(i).
1475
(b) [Population] For purposes of this Subsection (3), population shall be determined
1476
by:
1477
(i) the most recent United States decennial or special census; or [by]
1478
(ii) any other population determination made by the United States or state
1479
governments.
1480
[(a)] (c) (i) The commission may issue seasonal restaurant liquor licenses established
1481
in areas [and for periods it] the commission considers necessary.
1482
(ii) A seasonal restaurant liquor license [may not be operated] shall be for a period
1483
[longer than nine] of six consecutive months [subject to the following restrictions:].
1484
[(i)] (iii) [Licenses] A restaurant liquor license issued for operation during a summer
1485
time [periods are] period is known as a "Seasonal A" restaurant [licenses] liquor license. The
1486
period of operation for a "Seasonal A" restaurant liquor license [may begin as early as February
1487
1 and may continue until October 31.] shall:
1488
(A) begin on May 1; and
1489
(B) end on October 31.
1490
[(ii)] (iv) [Licenses] A restaurant liquor license issued for operation during a winter
1491
time [periods are] period is known as a "Seasonal B" restaurant [licenses] liquor license. The
1492
period of operation for a "Seasonal B" restaurant liquor license [may begin as early as
1493
September 1 and may continue until May 31.] shall:
1494
(A) begin on November 1; and
1495
(B) end on April 30.
1496
[(iii)] (v) In determining the number of restaurant liquor licenses that the commission
1497
may issue under this section[,]:
1498
(A) a seasonal [licenses are] license is counted as 1/2 of one restaurant liquor license[.
1499
Each]; and
1500
(B) each "Seasonal A" license shall be paired with a "Seasonal B" license [and the total
1501
number of months that each combined pair may be issued for operation may not exceed 12
1502
months for each calendar year].
1503
[(b)] (d) If the location, design, and construction of a hotel may require more than one
1504
restaurant liquor sales location within the hotel to serve the public convenience, the
1505
commission may authorize the sale of liquor at as many as three restaurant locations within the
1506
hotel under one license if the hotel has a minimum of 150 guest rooms and if all locations
1507
under the license are within the same hotel facility and on premises that are managed or
1508
operated and owned or leased by the licensee. Facilities other than hotels shall have a separate
1509
restaurant liquor license for each restaurant where liquor is sold.
1510
(4) (a) [Restaurant liquor licensee] The premises of a restaurant liquor license may not
1511
be established within 600 feet of any public or private school, church, public library, public
1512
playground, or park, as measured by the method in Subsection (5).
1513
(b) [Restaurant liquor licensee] The premises of a restaurant liquor license may not be
1514
established within 200 feet of any public or private school, church, public library, public
1515
playground, or park, measured in a straight line from the nearest entrance of the proposed
1516
outlet to the nearest property boundary of the public or private school, church, public library,
1517
public playground, or park.
1518
(c) The restrictions contained in Subsections (4)(a) and (b) govern unless one of the
1519
following exemptions applies:
1520
[(i) The commission finds after full investigation that the premises are located within a
1521
city of the third class, a town, or the unincorporated area of a county, and compliance with the
1522
distance requirements would result in peculiar and exceptional practical difficulties or
1523
exceptional and undue hardships in the granting of a restaurant liquor license. In that event, the
1524
commission may, after giving full consideration to all of the attending circumstances,
1525
following a public hearing in the city or town, and where practical in the neighborhood
1526
concerned, authorize a variance from the distance requirements to relieve the difficulties or
1527
hardships if the variance may be granted without substantial detriment to the public good and
1528
without substantially impairing the intent and purpose of this title.]
1529
[(ii) With respect to the establishment of a restaurant licensee in any location, the
1530
commission may, after giving full consideration to all of the attending circumstances,
1531
following a public hearing in the county, and where practical in the neighborhood concerned,
1532
reduce the proximity requirements in relation to a church if the local governing body of the
1533
church in question gives its written approval.]
1534
[(iii) Any on-premises beer retailer licensee existing on March 1, 1990, need not
1535
comply with the restrictions contained in Subsections (4)(a) and (b) if it applies for a restaurant
1536
liquor license before January 1, 1991.]
1537
(i) with respect to the establishment of a restaurant liquor license in any location, the
1538
commission may authorize a variance to reduce the proximity requirements of Subsection
1539
(4)(a) or (b) if:
1540
(A) the local governing authority has granted its written consent to the variance;
1541
(B) alternative locations for establishing a restaurant liquor license in the community
1542