Terry E. Branstad Governor of Kim Reynolds Lieutenant Governor Stephen Larson Administrator ABD

IN RE: ) Stores Operating Co., LLC ) d/b/a Shopko Hometown #791 ) Docket No. D-2016-00015 616 Highway 9 E ) Forest City, Iowa 50436 ) ) O R D E R License/Permit No. BC0030021 )

This Order requires the Licensee, Shopko Stores Operating Co., LLC, d/b/a Shopko Hometown #791, to pay to the Iowa Alcoholic Beverages Division a civil penalty of five hundred dollars ($500.00), subject to the appeal rights stated below. This Order is issued pursuant to Iowa Code § 123.50 which mandates that the Division Administrator assess specified civil penalties upon licensees who, either themselves or through their agent or employees, have been found in violation of Iowa Code § 123.49(2)(h) (underage sales).

STATEMENT OF FACTS 1. Shopko Stores Operating Co., LLC, d/b/a Shopko Hometown #791, 616 Highway 9 E, Forest City, Iowa, (Licensee) possesses License/Permit No. BC0030021, and is subject to the jurisdiction of the Iowa Alcoholic Beverages Division.

2. On January 8, 2016, in criminal case number STA0010153 in Magistrate’s Court for Winnebago County, Iowa, the defendant, Autumn Cheyenne Karalius, pled guilty to, or was found guilty of, violating Iowa Code § 123.49(2)(h) by selling, giving or otherwise supplying an alcoholic beverage to a person knowing or failing to exercise reasonable care to ascertain whether the person was under legal age. The violation occurred on or about December 12, 2015, in the above-captioned licensed establishment in Forest City, Iowa.

3. The Defendant, in criminal case number STA0010153, was an employee of the above- captioned Licensee on December 12, 2015.

4. The Defendant, in criminal case number STA0010153, was adjudged guilty of violating Iowa Code § 123.49(2)(h) and was fined Seven Hundred Thirty Five Dollars ($735.00), plus court costs and a surcharge. See attached Exhibit A.

5. Records maintained by the Division indicate that the violation found in criminal case number STA0010153 constitutes the first violation of Iowa Code § 123.49(2)(h) found against the above-captioned Licensee, its agents or employees within a period of two years preceding the date of violation.

See 185 IAC 10.27(3). Upon receipt of a timely CONCLUSIONS OF LAW 6. If a licensee or an employee of that licensee is found in violation of Iowa Code §123.49(2)(h), the Division shall assess a mandatory civil penalty against the licensee. See Iowa Code §123.50. Upon a first violation of § 123.49(2)(h), the Division shall assess a civil penalty in the amount of five hundred dollars against the violating licensee. See Iowa Code §123.50 (3).

7. The Licensee is subject to the civil penalty provisions of Iowa Code § 123.50(3) because the Licensee, or an employee of the Licensee, was found in violation of Iowa Code § 123.49(2)(h).

ORDER 8. Pursuant to Iowa Code § 123.50, a civil penalty of five hundred dollars ($500.00) is hereby assessed against Shopko Stores Operating Co., LLC, d/b/a Shopko Hometown #791, Forest City, Iowa. The penalty shall be paid to the “Iowa Alcoholic Beverages Division,” 1918 SE Hulsizer Road, Ankeny, Iowa 50021, no later than February 19, 2016, unless an appeal of this Order is brought as provided below.

9. Absent a timely appeal of this Order, failure to pay the assessed civil penalty by the required date shall be grounds for the imposition of a fourteen (14) day suspension of your license. See Iowa Code § 123.50.

APPEAL 10. Pursuant to Iowa Code § 17A.18 and 185 Iowa Administrative Code § 10.27, the Licensee may file a written Notice of Appeal with the Iowa Alcoholic Beverages Division within 30 days after issuance of this Order. The written Notice of Appeal should be sent to the Administrator of the Iowa Alcoholic Beverages Division, 1918 SE Hulsizer Road, Ankeny, Iowa 50021, and shall identify the specific portion or portions of this Order being appealed and include a short plain statement of the reasons for appeal. See 185 IAC 10.27(3). Upon receipt of a timely Notice of Appeal, the Division shall commence a contested case hearing pursuant to Iowa Code chapter 17A and 185 Iowa Administrative Code chapter 10.

11. This order shall become the final order of the Iowa Alcoholic Beverages Division if the Licensee does not file an appeal within the timeframe provided.

DATED this 20th day of January, 2016, at Ankeny, Iowa.

IOWA ALCOHOLIC BEVERAGES DIVISION

STEPHEN LARSON Administrator See 185 IAC 10.27(3). Upon receipt of a timely

Witnesses: Roberto Lopez ISP, District #8 4425 S Ave Mason City, Iowa 50401

Copies to:

John Lundquist Steve E. Bogle Assistant Attorney General Iowa Lottery Department of Justice 2323 Grand Avenue Hoover State Office Building Des Moines, Iowa 50312 Des Moines, Iowa 50319

Steven Mandernach Chief Daniel Davis Social Gaming Unit Forest City Police Department Lucas State Office Bldg. 525 N. 4th St. Des Moines, Iowa 50319 Forest City, Iowa 50436

City Clerk Jessica Walske PO Box 346 Shopko Stores Operating Co., LLC Forest City, Iowa 504360346 d/b/a/ Shopko Hometown #791 PO Box 19060 700 Pilgrim Way Green Bay, 54307

Lt. Schaffer ISP, District #8 4425 S Washington Ave Mason City, Iowa 50401