Ordinance 002ORDINANCE NO.
VILLAGE OF CHANHASSEN
Carver County, Minnesota
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AN ORDINANCE LICENSING AND REGULATING THE
SALE AND CONSUMPTION OF INTOXICATING LIQUOR
AND PROVIDING A PENALTY FOR VIOLATION.
The Village Council of the Village of Chanhassen ordains:
Section 1. Provisions of State Law Adopted.
The provisions of the Minnesota Intoxicating Liquor Act, Minnesota
0 Statutes , Chapter 340, with reference to the definition of terms , application
for license, granting of license, conditions of license, restrictions on con-
sumption, provisions on sales, conditions of bonds or insurance of licensees,
hours of sale, and all other matters pertaining to the retail sale, distribution,
and consumption of intoxicating liquor are hereby adopted and made a part of
this ordinance as if fully set out herein, except as modified herein.
• Section 2. License Required.
No person, except wholesalers or manufacturers to the extent authorized
under State License, shall directly or indirectly deal in, sell, keep for sale,
or deliver any intoxicating liquor without first having received a license to do so
as provided in this ordinance.
Section 3. Types of Licenses.
• Subdivision 1. "Off Sale". Licenses for the sale of intoxicating liquor
to be consumed off the premises shall be issued only to exclusive liquor stores.
AN ORDINANCE LICENSING AND REGULATING THE
SALE AND CONSUMPTION OF INTOXICATING LIQUOR
AND PROVIDING A PENALTY FOR VIOLATION.
The Village Council of the Village of Chanhassen ordains:
Section 1. Provisions of State Law Adopted.
The provisions of the Minnesota Intoxicating Liquor Act, Minnesota
0 Statutes , Chapter 340, with reference to the definition of terms , application
for license, granting of license, conditions of license, restrictions on con-
sumption, provisions on sales, conditions of bonds or insurance of licensees,
hours of sale, and all other matters pertaining to the retail sale, distribution,
and consumption of intoxicating liquor are hereby adopted and made a part of
this ordinance as if fully set out herein, except as modified herein.
• Section 2. License Required.
No person, except wholesalers or manufacturers to the extent authorized
under State License, shall directly or indirectly deal in, sell, keep for sale,
or deliver any intoxicating liquor without first having received a license to do so
as provided in this ordinance.
Section 3. Types of Licenses.
• Subdivision 1. "Off Sale". Licenses for the sale of intoxicating liquor
to be consumed off the premises shall be issued only to exclusive liquor stores.
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Subdivision 2. "On Sale". Licenses for the sale of intoxicating liquor
to be consumed on the premises shall be issued only to hotels, exclusive liquor
stores , restaurants or clubs whose fixtures and structures , exclusive of land, have
a fair market value of at least Two Hundred Fifty Thousand Dollars ($250,000.00).
An exclusive liquor store includes an on -sale or off -sale, or combination on -sale
and off -sale establishment operating a restaurant or selling food for consumption
is on the premises. The Village Council may provide for an independent appraisal at
the license applicant's expense as an aid in determining the value of said premises.
In the event this requirement as to investment in fixtures and structures is not
complied with within one year from the date of the issuance of the license, the
license may be revoked. Provided, however, that the Village may issue up to
two on sale licenses to establishments which have held on sale licenses for three
• years prior to the effective date of this ordinance whose fixtures and structures ,
exclusive of land, have a fair market value of less than Two Hundred Fifty Thousand
Dollars ($250,000.00).
Subdivision 3. Club Licenses. On sale licenses shall be issued to
clubs only in accordance with the provisions of Minnesota Statutes, Section 340. 11,
Subdivision 11.
• Subdivision 4. Bottle Clubs. Bottle Club licenses shall be issued to
bottle clubs only in accordance with the provisions of Minnesota Statutes, Section
340.119.
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Section 4. Persons and Premises Ineligible for License.
Subdivision 1. No license shall be granted, or renewed, for operation
on any premises on which taxes, assessments or other financial claims of the Village
are delinquent and unpaid.
Subdivision 2. No license shall be issued for premises owned by a person
to whom a license may not be granted under the provisions of Minnesota Statutes,
• Chapter 340.
Subdivision 3. No license shall be granted to or held by any person made
ineligible for such a license by state law.
Subdivision 4. No license shall be granted to a partnership or a corpora-
tion which does not have a managing partner or a manager who is eligible to hold a
license pursuant to the provisions of this section.
• Subdivision 5. No license shall be granted to a person who is the spouse
of a person ineligible for a license pursuant to the provisions of this section, or
who, in the judgment of the Village Council is not the real party in interest or
beneficial owner of the business operated, or to be operated, under the license.
Subdivision 6. A license will not be renewed if, in the case of an indi-
vidual, the licensee is not a resident of the Village at the time of renewal; if, in
• the case of a partnership, the managing partner is not a resident of the Village at
the time of renewal; or, in the case of a corporation, if the manager is not a resi-
dent of the Village at the time of renewal. The time for establishing residence may,
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f or good cause, be extended by the Village Council.
Section 5. Conditions of License.
Subdivision 1. Every license shall be granted subject to the conditions
of the following subdivision and all other subdivisions of this ordinance and of
any other applicable ordinance of the Village or State law.
• Subdivision 2. The license shall be posted in a conspicuous place in
the licensed establishment at all times.
Subdivision 3. Every licensee shall be responsible for the conduct of his
place of business and the conditions of sobriety and order in the place of
business and on the premises.
Subdivision 4. No license shall be effective beyond the space named in
0 the license for which it was granted.
Subdivision 5. No intoxicating liquor shall be sold or furnished or de-
livered to any intoxicated person, to any habitual drunkard, to any person under
21 years of age, or to any person to whom sale is prohibited by State law.
Subdivision 6. No person under 21 years of age shall be employed in a
room where "on sales" are made, and no such person shall be allowed to be or re-
• main in such room unless accompanied by his parent or guardian.
Subdivision 7. No person under 21 years of age shall be employed at an
"off sale" liquor establishment or to deliver or aid in the delivery of "off sale" liquor.
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Subdivision 8. No licensee shall keep, possess, or operate or permit
the keeping, possession, or operation of any slot machine, dice, or any gambling
device or apparatus on the licensed premises, and he shall not permit any gambling
therein.
Subdivision 9. No licensee shall knowingly permit the licensed premises
or any room in those premises or any adjoining building directly or indirectly under
his control to be used as a resort for prostitutes.
Subdivision 10. No equipment or fixture in any licensed place shall be
owned in whole or in part by any manufacturer or distiller of intoxicating liquor
except such as shall be expressly permitted by State law.
Subdivision 11. Any police officer, building inspector, fire marshal, or
any properly designated officer or employee of the City shall have the unquali-
fied right to enter, inspect, and search the premises of the licensee during
business hours without a warrant.
Subdivision 12. No licensee shall sell, offer for sale, or keep for sale,
intoxicating liquors in any original package which has been refilled or partly re-
filled. No licensee shall directly or through any other person delete or in any manner
tamper with the contents of any original package so as to change its composition or
• alcoholic content while in the original package. Possession on the premises by
the licensee of any intoxicating liquor in the original package differing in composition
or alcoholic content in the liquor when received from the manufacturer or wholesaler
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from whom it was purchased, shall be prima facie evidence that the contents of
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the original package have been diluted, changed or tampered with.
Subdivision 13. No "on sale" liquor establishment shall display liquor
to the public during hours when the sale of liquor is prohibited by this ordinance.
Subdivision 14. No licensee shall apply for or possess a Federal Whole-
sale Liquor Dealers special tax stamp or a Federal gambling stamp.
Subdivision 15. No licensee shall keep ethyl alcohol or neutral spirits
on any licensed premises or permit their use on the premises as a beverage or
mixed with a beverage.
Subdivision 16. For cause shown, the business records of the licensee,
including Federal and State income tax returns, shall be available for inspection
by a duly authorized representative of the Village Council at all reasonable times.
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Subdivision 17. No licenses shall be transferred without the approval of
the Village Council.
Section 6. License Fees.
Subdivision 1. The annual fee for on sale licenses granted to hotels,
restaurants, or exclusive liquor stores operating a restaurant or selling food for
consumption on the premises shall be determined at the February Village Council
0 meeting each year.
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Subdivision 2. The annual fee for all other on sale licenses shall be
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determined at the February Village Council meeting each year.
Subdivision 3. The annual fee for off sale licenses shall be One Hundred
Dollars ($100.00) .
Subdivision 4. The annual fee for bottle club licenses shall be Three
Hundred Dollars ($300.00) .
Subdivision 5. The annual license fee shall be paid in full before the
application for a license or renewal thereof is accepted. All fees shall be paid
into the general fund of the Village. Upon rejection of any application for a
license, or upon withdrawal of an application before approval of the issuance by
the Village Council, the license fee shall be refunded to the applicant except
where rejection is for a willful misstatement in the license application.
Subdivision 6. All licenses shall expire on the 30th day of April of each
year. Each license shall be issued for a period of one year, except that if a portion
of the license year has elapsed when the application is made, a license may be
issued for the remainder of the year for a pro rata fee. In computing such fee, any
unexpired portion of a month shall be counted as a month.
Subdivision 7. No part of the fee paid for any license shall be refunded
0 except as authorized by Minnesota Statutes, Section 340. 112.
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Section 7. Application for License.
Subdivision 1. Every application for a license to sell intoxicating
liquor shall be verified and filed with the Village Clerk in the form prescribed
by the State Liquor Control Commissioner.
Subdivision 2. In addition to the information which may be required
by the form prescribed by the State Liquor Control Commissioner, the Village
Council may require such additional information as it in the exercise of its
judgment deems necessary or helpful in passing on the application.
Subdivision 3. The Village Council shall investigate all facts set
out in the application. At the time of each initial application for a license, or
for a transfer thereof, the applicant shall pay to the Village an appropriate investi-
gation fee in an amount to be established by the Village Council.
Subdivision 4. Opportunity shall be given to any Person to be heard for
or against the granting of any license. After such investigation and hearing, the
Village Council shall grant or refuse the application in its discretion and as pro-
vided by law.
Section 8. Renewal Applications.
Application for the renewal of an existing license shall be made at least
• 60 days prior to the date of the expiration of the license and shall be made in such
abbreviated form as the Village Council may approve. If, in the judgment of the
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Village Council, good and sufficient cause is shown by any applicant for his
failure to file for a renewal within the time provided, the Village Council may,
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if the other provisions of this ordinance are complied with, grant the application.
Section 9. Execution of Application.
An application made by a natural person shall be signed and sworn to
by such person; if made by a corporation, by an officer thereof; if by a partner-
ship, by one of the partners; if by an association, by the manager or managing
officer thereof. If the applicant is a partnership, the application, license and
bond, or insurance policy in lieu thereof, shall be made and issued in the name
of all partners.
Section 10. State Approval and Report.
Subdivision 1. Off sale licenses issued by the Village Council shall
not be effective until approved, together with the bond or liability insurance policy
as herein required, by the State Liquor Control Commissioner.
Subdivision 2. The Village Clerk shall, within ten days after the issuance
of an on sale license, submit to the State Liquor Control Commissioner the full
name and address of each person granted a license, the trade name, effective
license date, the date of expiration and any change of address, transfer, cancellation
• or revocation of such license by the Village during the license period.
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Section 11. Public Street, Hiahway„Automobile .
No intoxicating liquor shall be sold or consumed on a public street,
alley or highway or in an automobile.
Secti on 12. Bond.
Subdivision 1. Bonds, Insuranoe or Deposit Required.
At the time of filing any application for either type of intoxicating
liquor license, the applicant shall file a bond with corporate surety, or a
liability insurance policy, or in lieu thereof cash or United States government
bonds which shall be deposited with the Village Clerk. Such bond, cash or
government bonds shall be in the amount of $3,000 for an "On Sale” license.
Such bond, cash or government bonds, shall be in the amount of $1,000 for an
"Off Sale" license. Such insurance policy shall be in the amounts specified
in Subdivision S of this section.
Subdivision 2. Approval of Bond or Insurance.
The surety bonds or insurance policies required by Subdivision 1 of
this section shall be subject to the approval of the Village Council.
Subdivision 3. Procedure Where Cash or Government Bonds Are Used.
If the applicant uses cash for security, it shall be deposited with the
• Village Clerk. If United States government bonds are permitted and are used as
such security, an assignment or agreement shall accompany them and they shall
be filed with the Village Clerk. The licensee shall be permitted to clip and take
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all interest bearing coupons thereto attached as they become due.
Subdivision 4. Surety or Insurance Companies.
The surety on such bond, or the insurer on such liability insurance
policy, shall be a surety company or insurance company, as the case may be,
duly licensed to do business in the State of Minnesota, and the bond and
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liability insurance policy shall be approved as to form and execution by the
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Village Attorney. All surety bonds or liability insurance policies, when approved
by the proper Village or State officers, shall be deposited with the Village Clerk.
Subdivision S. Amount and Terms of Insurance.
In the event a liability insurance policy is filed, such liability insurance
policy shall be in the amount of not less than $10,000 coverage for one person
and not less than $20,000 coverage for more than one person, and shall specifically
40 provide for the payment by the insurance company on behalf of the insured of all
sums which the insured shall become obliged to pay by reason of liability imposed
upon him by law for injuries or damages to persons, other than employees, in-
cluding the liability imposed upon the insured by reason of Section 340.95,
Minnesota Statutes. Such liability insurance policy shall further provide that no
cancellation for any cause can be made either by the insured or the insurance
company without first giving 10 days' notice to the Village in writing of intention
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to cancel the same, addressed to the Village Clerk. Further, it shall provide that
no payment of any claim by the insurance company shall, in any manner, decrease
the coverage provided for in respect to any other claim or claims brought against
the insured or company thereafter. Such policy shall be conditioned that the insurer
shall pay, to the extent of the principal amount of the policy, any damages for
death or injury caused by, or resulting from the violation of any law relating to
the business for which such license has been granted. The licensee and the
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Village shall be named as joint insureds on the liability insurance policy.
Subdivision 6. Terms of Bond.
All such bonds shall be conditioned as follows:
(a) The licensee will obey the law relating to the licensed business.
(b) That the licensee will pay to the Village when due all taxes,
license fees, penalties and other charges provided by law.
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(c) That in the event of violation of any law relating to the business
for which the license has been granted for the sale of liquor, the bond shall be
forfeited to the Village.
(d) That the licensee will pay, to the extent of the principal amount
of such bond, any damages for death or injury by, or resulting from, the violation
of any law relating to the business for which such license has been granted, and
• that such recovery may be had also against the surety on his bond.
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Subdivision 7. Benefit of Bond.
Such bonds shall be for the benefit of the Village, as obligee, and of
all persons suffering damages under the conditions set forth in Subdivision 6.
The amount specified in any bond is declared to be a penalty, and the amount
recoverable shall be measured by the actual damages . The surety shall not be
liable in excess of the penal amount of the bond. In case of forfeiture of any
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bond for violation of the law, the District Court of Carver County may forfeit the
penal sum of such bond to the Village.
Subdivision 8. Deposit of U. S. Bonds.
If United States government bonds are deposited with the Village Clerk
instead of a bond with a corporate surety, such bonds shall be accompanied by
a properly executed assignment, in form approved by the Village Attorney, assign -
0 ing such government bonds to the Village, to be held subject to the conditions,
forfeiture and penalties provided by the laws of the State of Minnesota and this
ordinance. Such assignment shall also contain a stipulation and agreement that
such bonds shall remain with the Village Clerk, subject to the terms and con-
ditions of such assignment and such State laws, during the term of the license in
connection with which such government bonds are deposited, and for 3 years
• thereafter, at which time such government bonds may, with the approval of the
Village Council, be returned by the Village Clerk to the licensee.
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Subdivision 9. Deposit of Cash.
In the event that applicant deposits cash in lieu of surety bond, the
deposit of such cash shall be accompanied by a written agreement and assignment
upon the part of the licensee, in form approved by the Village Attorney, wherein
the licensee assigns such deposit to the Village, to be held by the Village Clerk
subject to the conditions, forfeitures, and penalties required by the laws of the
State of Minnesota and this ordinance, for the period of the license in connection
with which such deposit is made, and for 3 years thereafter, at which time such
deposit may be returned, with the approval of the Village Council, by the Village
Clerk to the licensee.
Subdivision 10. Affidavit Required for Return of U. S. Bonds or Cash.
Upon application for return of United States government bonds or cash
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as provided for in this section, the licensee shall file with the Village Clerk an
affidavit stating that no action or proceedings has been commenced in any Court
for the forfeiture of such bonds or deposit, or for damages to any person or persons
under the terms and conditions thereof, and that the licensee has no knowledge of
any existing claim or cause of action under the terms and conditions of the assign-
ment and agreement relating to such government bonds or cash deposit.
0 Section 13. Revocation.
Subdivision 1. The Village Council may suspend or revoke any license
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for the sale of intoxicating liquor for the violation of any provision or condition of
this ordinance or of any State law or Federal law regulating the sale of intoxciating
liquor, and shall revoke such license for any wilful violation which, under the
laws of the State is grounds for mandatory revocation, and shall revoke for failure
to keep the bond, insurance or other deposit required by Section 12 in full force
and effect.
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Subdivision 2. Except in the case of a suspension pending a hearing on
revocation, revocation or suspension by the Council shall be preceded by written
notice to the licensee and a public hearing. The notice shall give at least eight
days' notice of the time and place of the hearing and shall state the nature of the
charges against the licensee. The Council may, without any notice, suspend any
license pending a hearing on revocation for a period not exceeding 30 days. The
isnotice may be served upon the licensee personally or by leaving the same at the
licensed premises with the person in charge thereof. No suspension shall exceed
60 days.
Section 14. Enlargement, Alterations or Extension of Premises.
Proposed enlargement, alteration or extension of licensed premises shall
be reported to the Village Clerk at or before the time application is made for a
• building permit for any such change, and the licensee shall also give such other
information as may be required by the Village Council.
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Section 15. Penalty.
Any person violating any provision of this ordinance shall be guilty of
a misdemeanor and upon conviction shall be punished by a fine of not more than
One Hundred Dollars ($100.00) or imprisonment for not more than ninety (90) days.
Section 16. Repeal.
Ordinance No. 14, passed March 27, 1933, Ordinance No. 15, passed
February 26, 1934, Ordinance No. 17, passed April 3, 1946, and Ordinance No.
53, passed August 3, 1964, are hereby repealed.
Section 17. Effective Date.
This ordinance shall be in full force and effect from and after its
passage and publication according to law.
Passed by the Council this 7 day of .,ct, 1967.
Mayor
Atte s t:
lerk Q�
PUBLISHED IN%��ti�c�� _ ON THE DAY OF 1967.
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