City of Grand Forks Staff Report Committee of the Whole – May 24, 2021 City Council – June 7, 2021
Agenda Item: Review of City Code relating to Alcohol Licensing
Submitted by: Dan Gaustad, City Attorney Maureen Storstad, Finance Director
Staff Recommended Action: Review city code relating to alcohol licensing. Approve amendment to code relating to legislatively required updates and discuss other potential updates.
Committee Recommended Action: Discussion of changes in various areas of city code with comments on changes to include given to City Attorney on areas of code to update and provide a draft ordinance for consideration at the June 7 City Council meeting.
Council Action:
BACKGROUND: Grand Forks City Code includes a section relating to Alcohol Control. This section was adopted in 1993 following a comprehensive review. Since then, minor updates and additions have been adopted to various areas of the code and legislative required changes have been incorporated, however a full review of the code has not been done. City Council has discussed various requests that have come forward from business owners and determined that a review of the full code should be done as part of the discussion on whether or not to include the requested modifications.
ANALYSIS AND FINDINGS OF FACT: • Changes in alcohol regulations have been made during the legislative session and must be updated in our City Code to be consistent with state law. • While legislative updates and occasional changes have been made to City Code related to alcohol control, City Code has not had a comprehensive review since 1993 • Per City Council request, staff and the City Attorney have reviewed the code and noted areas for potential updates based on legislative changes at the state level, language cleanup to make the code more understandable, and suggestions from business owners/the public.
SUPPORT MATERIALS: • City Code Section 21, Article 2, Alcoholic Beverage Control (annotated) • City of Minot city code related to delivery of alcohol ARTICLE 2. - ALCOHOLIC BEVERAGE CONTROL[1]
21-0200. - Preamble. The City of Grand Forks finds that the safety and welfare of its citizens and neighborhoods are of highest priority and the judicious dispensing of alcohol is in keeping with this premise. The possession of an alcoholic beverage license in the city is a privilege, not a right; a privilege that must not be taken for granted, but rather must be continually conditioned by the license holder's adherence to applicable laws and regulations.
(Ord. No. 3270, § 2, 3-1-93)
21-0201. - Definitions.
For purposes of this article, the following words and phrases shall have the meanings ascribed to them in this section:
(1) Alcoholic beverages. Any liquid suitable for drinking by human beings, which contains one-half (½) of one (1) percent or more of alcohol by volume.
(2) Beer. Any malt beverage containing more than one-half (½) of one (1) percent of alcohol by volume and includes an alcoholic beverage made by the fermentation of malt substitutes, including rice, grain of any kind, glucose, sugar or molasses, which has not undergone distillation. Commented [DG1]: This changed proposed due to HB 1099 being passed, which for this particular definition (3) Consume. The actual drinking of an alcoholic beverage, whether in its original form becomes effective beginning for taxable years after June 30, 2021 or mixed with any other ingredient, for the purpose of consumption.
(4) Interest. Includes any pecuniary interest in the ownership, operation, management or profits of a retail liquor establishment, but does not include: bona fide loans; bona fide fixed sum rental arrangements; bona fide open accounts or other obligations held with or without security arising out of the ordinary and regular course of business or selling or leasing merchandise, fixtures or supplies to such establishment; or any interest of ten (10) percent or less in any corporation possessing a license. A person who receives moneys from time to time directly or indirectly from a license holder, in the absence of a bona fide consideration therefor and excluding bona fide gifts or donations, shall be deemed to have a pecuniary interest in such retail license. In determining "bona fide," the reasonable value of the goods or things received as consideration for any payment by the license holder and all other facts reasonably tending to prove or disprove the existence of any purposeful scheme or arrangement to evade the prohibitions of this section shall be considered.
(5) Licensed premises. The premises on which alcoholic beverages are normally sold or dispensed. Licensed premises includes all areas where alcoholic beverages are routinely stored, displayed, opened or mixed, and all lounges, bars and restaurants
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where alcoholic beverages are dispensed or such other location or area as authorized by the Grand Forks City Council, and shall be designated by diagram or blueprint which shall be included with the license application or the license renewal application.
(6) Liquor. Any alcoholic beverage except beer and wine.
(7) Off-sale. The sale of alcoholic beverages in original packages for consumption off or away from the premises where sold and off-sale shall occur only at the place designated in such license and not elsewhere, and no opening of the package sold on the premises where sold shall be permitted. Such sale must, in each case, be completed by delivery of the liquor sold to the actual purchaser thereof on the licensed premises. However, if a full bottle of wine has been opened and the contents partially consumed on the licensed premises of a restaurant whose gross sales of food are at least thirty (30) percent of the establishment's gross sales on the premises, the person purchasing the wine in conjunction with the purchase of a meal may remove the bottle from the licensed premises if the license holder recorks the bottle, seals the bottle with a seal that must be made conspicuously inoperative to reopen the bottle, and places a receipt of sale with the bottle. The removal of the bottle under these conditions shall not constitute an off-sale transaction.
(8) On-sale. The sale of alcoholic beverages for consumption only on the premises where sold, and subject to the provisions of section 21-0212. An on-sale license shall authorize the license holder to conduct such on-sales only at the place designated in such license and not elsewhere.
(9) Package and original package. Any container or vessel containing an alcoholic beverage, which container or vessel is corked or sealed by the manufacturer thereof and which cork or seal has not been removed or broken prior to the sale of such package to the purchaser. The terms also include a reusable or single use container or vessel, commonly known as a growler, containing no more than sixty-four (64) U.S. fluid ounces for the purposes of off-sale beer sales. The growler shall be corked or sealed by the licensed retailer at the point of sale. The cork or seal must remain intact until removed from the licensed premise making the sale.
(10) Person. Any individual, firm, corporation, limited liability company, association, club, partnership, limited partnership, limited liability limited partnership, limited liability partnership, society, or any other entity or organization. The term shall also include the singular and the plural.
(11) Retail sale. The sale of alcoholic beverages for use or consumption and not for resale.
(12) Sale and sell. All manner or means of furnishing alcoholic beverages, including the selling, exchange, barter, disposition of, and keeping for sale of such alcoholic
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beverages. The term also includes transactions where the consideration for the alcoholic beverage is included or combined with another transaction or where the consideration is called a "donation" or used to purchase any ticket, token, or other object redeemable for alcoholic beverages.
(13) Service, convenience, or "mini" bar. A closed container in a hotel guest room with access to the interior of the container restricted by a locking device which requires the use of a key, magnetic card, or similar device.
(14) Service, convenience, or "mini" bar key. The key, magnetic card, or similar device which permits access to the interior of a service, convenience, or "mini" bar.
(15) Transfer. Any assignment, sale, exchange or other conveyance of any license issued pursuant to the provisions of this article. A transfer shall be deemed to have occurred upon the assignment, sale, exchange, or other conveyance of fifty (50) percent or more of the interest in a license holder partnership or stock in a license holder corporation, whether such assignment, sale, exchange or other conveyance occurred in one (1) single transaction or multiple transactions. However, the term "transfer" shall not apply to the following described conveyances:
(A) When an individual possessing a license issued pursuant to the provisions of this article has become deceased, the license may, upon application of the personal representative of the decedent, be transferred to another individual, partnership, firm or corporation.
(B) When any corporation possessing a license issued pursuant to the provisions of this article voluntarily dissolves, the license may be issued to any individual shareholder in such corporation who held the stock at the time of the issuance or last renewal of the license and whose application is approved by the holders owning a majority of the outstanding shares of stock in the corporation prior to the time of dissolution; provided, however, that such shareholder shall be subject to all the requirements of this article relating to the application for a license and the qualifications of license holder.
(C) When an individual license holder desires to transfer a license to a corporation in which the license holder is the owner of at least a majority of the outstanding shares of stock in the corporation; provided, however, that such license holder's stock ownership in the transferee corporation does not fall below the majority of the outstanding stock in the corporation without the prior approval of the city council and reapplication for license by the transferee corporation. The transferee corporation shall be subject to all the requirements of this article relating to the application for a license and the qualifications of a license holder.
(D) When a license holder is a corporation or partnership which desires to transfer a license to another corporation or partnership having substantially
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the same partners or stockholders; provided, however, that such transferee corporation or partnership shall be subject to all the requirements of this article relating to the application for a license and the qualifications of a license holder.
(E) When an individual license holder desires to transfer a license to a blood relative of the first degree, as defined by the North Dakota Century Code, or to a grandchild of the individual license holder if the grandchild's parents are deceased. For purposes of this subsection only, a similar conveyance of shares of stock in a license holder corporation shall not be considered a "transfer" if the person seeking to convey shares of stock owns at least a majority of the outstanding shares of stock in the corporation or is seeking to convey shares or stock to a blood relative of the first degree as defined by the North Dakota Century Code, or to a grandchild if the grandchild's parents are deceased.
(F) When a majority of the entire city council adopts a resolution and declares the conveyance not to be a transfer for the purposes of this article.
(16) Twenty-one years of age means it is after 8:00 a.m. on the date twenty-one (21) years after a person's date of birth.
(17) Wine. The alcoholic beverage obtained by fermentation of agricultural products containing natural or added sugar or such beverage fortified with brandy and containing not more than twenty-four (24) percent alcohol by volume.
(Ord. No. 3270, § 2, 3-1-93; Ord. No. 4091, § I, 9-19-05; Ord. No. 4091, § I, 9-19-05; Ord. No. 4201, § 1, 8-20-07; Ord. No. 4501, § I, 11-3-14)
21-0202. - Licenses generally—Required.
(1) No person shall sell at retail within the city limits of Grand Forks any alcoholic beverages without first having obtained a license therefor as herein provided.
(2) All licenses or permits issued by the city pursuant to this article confer a privilege on the license holder to engage in the activity or occupation so licensed, and do not constitute property or property rights or create any such rights in any license holder or applicant. No license or permit issued under this article may be mortgaged, encumbered, pledged, seized, levied upon, attached, executed upon, assessed or in any manner taken for the purpose of securing, or in satisfaction of, any debt, judgment, lien, mortgage, encumbrance or obligation.
(Ord. No. 3270, § 2, 3-1-93; Ord. No. 4195, § XVII, 7-2-07)
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21-0203. - Same—Exceptions.
(1) This article shall not apply to wines delivered to priests, rabbis, pastors and ministers for sacramental use.
(2) This article shall not be construed to apply to the following articles, when they are unfit for beverage purposes:
(A) Denatured alcohol produced and used pursuant to federal law;
(B) Patent, proprietary, medical, pharmaceutical, antiseptic, and toilet preparations;
(C) Flavoring extracts, syrups, food products or alcoholic products involved in food preparation;
(D) Scientific, chemical, and industrial products;
(E) Manufacture or sale of such articles containing alcohol.
(Ord. No. 3270, § 2, 3-1-93)
21-0204. - Same—Term and fee proration.
(1) Except where otherwise provided in this article, all licenses issued hereunder shall be for a period of not more than one (1) year and shall expire on the thirty-first day of December in each year. Where a license is granted for a period less than a year any subsequent renewal thereof must be made for the full annual term.
(2) When the application is made for a new alcoholic beverage license, permitting the retail sales of alcoholic beverages during the license year for the unexpired portion of such year, the fees shall be prorated on a monthly basis.
(3) In the event a license holder makes application to the city auditor and contemporaneously surrenders a license issued under this article prior to the expiration of the term of the license, the city shall refund fees for the remaining term, prorated on a monthly basis if the license holder can demonstrate the following qualifications:
(A) That the license holder has voluntarily terminated business prior to the expiration of the term of the issued license.
(B) That the license holder continues to meet the qualifications of section 21- 0206 of the Grand Forks City Code.
(Ord. No. 3270, § 2, 3-1-93; Ord. No. 4423, § I, 5-20-13)
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21-0205. - Same—Classifications.
The following classes of retail licenses are hereby established:
I. General licenses:
(1) General on- and off-sale alcoholic beverages (class 1).
(2) Off-sale alcoholic beverages (class 2).
(3) Off- and/or on-sale beer and wine (class 3).
(4) Food and beverage establishment (class 4).
(5) Hotel-motel alcoholic beverages (class 5).
(6) Hotel-motel limited service wine and beer (class 5.1).
II. Special licenses:
(1) Public facilities.
(A) Fairgrounds beer and wine (class 6).
(B) Golf course beer and wine (class 7).
(C) Airport alcoholic beverages (class 8).
(D) Kraft Field beer (class 8.1).
(E) Alerus Center (class 8.2).
(F) Engelstad Arena (class 8.3).
(2) Bowling center alcoholic beverages (class 9).
(3) Excursion boat alcoholic beverages (class 10) - Repealed. Commented [DG2]: Consider repeal because it appears this license has not been issued at any time after the 1997 (4) Special or limited license (class 11). flood.
(5) Domestic distilleries (class 12).
(6) Service, convenience, or "mini" bar license (class 13) - Repealed. Commented [DG3]: Consider repeal because it appears this license has never been issued. (7) Wine and beer maker license (class 14).
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(8) Winery on-sale and off-sale (class 15).
(9) Brewer taproom (class 16).
(10) Manufacturing Distillery (Class 17) Commented [DG4]: Proposed this added class because HB 1286 was passed for this type of license. HB 1286 III. Class descriptions and requirements: passed as an emergency legislation and in turn is effective now.
Class 1. General on- and off-sale alcoholic beverages. The Grand Forks City Council may issue an unlimited number of general on- and off-sale alcoholic beverage licenses. A license holder possessing such a license shall be permitted to sell alcoholic beverages on- sale, and may sell off-sale provided that it occurs upon the on-sale facilities. A minimum seating capacity of thirty (30) persons shall be required for a license. A license holder possessing such a license may provide their customers, free of charge, samples of alcoholic beverages as a promotion for the sale of the same provided that the size of the sample is no greater than two (2) fluid ounces and the total of all samples provided to a customer does not exceed eight (8) fluid ounces.
Class 2. Off-sale alcoholic beverages. The Grand Forks City Council may issue an unlimited number of off-sale alcoholic beverage licenses to permit the sale of alcoholic beverages off-sale. A license holder possessing such a license may, in addition to off-sales of liquor, wine and beer, be permitted to provide to their customers, free of charge, samples of alcoholic beverages as a promotion for the sale of the same so long as each sample does not exceed one (1) ounce in volume per customer.
Class 3. Off- and on-sale beer and wine. The Grand Forks City Council may issue an unlimited number of off- and on-sale beer and wine licenses. A license holder possessing such a license shall be permitted to sell beer and/or wine on an on-sale basis, or both off- and on-sale basis.
A license holder possessing such a license may provide their customers, free of charge, samples of wine, cordials and beer as a promotion for the sale of the same provided that the size of the sample is no greater than two (2) fluid ounces and the total of all samples provided to a customer does not exceed eight (8) fluid ounces.
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Class 4. Food and beverage establishment. The Grand Forks City Council may issue an unlimited number of food and beverage establishment licenses to permit the sale of alcoholic beverages on- sale. Such a license may be issued only upon the following conditions:
(A) A food and beverage establishment shall mean a licensee that operates a restaurant, as defined in City Code § 21-0701, and in which the licensed premises has a designated and permanent kitchen where cooks and/or chefs fully prepare and cook meals and food, and the licensed premises employees then serve such prepared and cooked meals for consumption by its patrons within the licensed premises, including providing multi-course meals of steak, fish, seafood, and other similarly menued main courses as well as hors d'oeuvres and desserts. A food and beverage establishment shall exclude a mobile food vendor and an establishment that prepares and serves only prepackaged, preprocessed or pre-prepared foods, such as frozen pizzas, soups and sandwiches, that receive no more than heat treatment and intended for fast or convenient serviceMain course menu items shall be fully prepared and cooked on the premises and shall not be primarily prepackaged, preprocessed, or pre-prepared food products intended for fast or convenient service.
(B) Sales of off-sale alcoholic beverages shall not be permitted.
(C) No sale of liquor, beer or wine may be made to a customer who does not also order at least one (1) food course from the menu unless no more than fifty (50) forty (40) percent of the annual gross income of the establishment is derived from the sales of alcoholic beverages. Upon renewal of any class 4 license, the applicant shall certify, under penalty of perjury, the total gross sales at the licensed premises and the total gross sales of alcoholic beverages for the most recent calendar year. The city may, in its discretion, require certification, under penalty of perjury, of any statement of sales by a certified public accountant retained and paid by the license holder of the annual gross sales at the license premises and the total gross sales of alcoholic beverages for the most recent calendar year.
(D) Holders of food and beverage establishment licenses may designate a lounge area not to exceed eight hundred (800)
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square feet of seating area in which patrons may consume alcoholic beverages (the “Class 4 Designated Lounge Area”). No minors are permitted within the designated lounge areaClass 4 Designated Lounge Area at any time.
(E) Holders of food and beverage establishment licenses shall be permitted to use a bar within the designated lounge areaClass 4 Designated Lounge Area for the preparation, sale and service of drinks to customers. Adult patronsPatrons who are at least twenty-one years of age may be seated in the designated lounge areaDesignated Lounge Area.
(F) The hours within which sales of alcoholic beverages may be made shall coincide with the hours permitted by the State of North Dakota for the sale of alcoholic beverages and shall also coincide with the hours the kitchen is in operation.
(G) No dance floor or dancing shall be allowed in any licensed food and beverage establishment except for private parties conducted in a room separate from the public dining area.
(H) The lounge areaClass 4 Designated Lounge Area must be entered through the restaurant only. No separate, exterior entrances are permitted. The Class 4 Designated Lounge Area shall be sufficiently separated from the other areas of the Class 4 food and beverage establishment premises and shall have signs at each entrance into the Class 4 Designated Lounge Area to notify patrons that no minors are permitted within such area.
(I) No gaming or gaming devices shall be allowed on the licensed premises except, however, gaming and gaming devices shall be permitted solely within the Class 4 Designated Lounge Area. All gaming, gaming devices and gaming activities shall be located, conducted and remain exclusively within the Class 4 Designated Lounge Area and in no other part of the licensed premises of a Class 4 food and beverage establishment. those eligible organizations possessing a site authorization for a Class 4 licensed premise and conducting gaming on the licensed premise as of May 1, 1993, shall be allowed to continue the existing site authorization until such time as the eligible organization conducting the existing gaming terminates gaming activities on the licensed premises. No other eligible organization shall be allowed to assume, continue, or operate the gaming activities on the licensed premise. § Commented [DG5]: If this change is acceptable, then City Code 9‐0404 would also need to be changed
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(J) The license holder must hold a valid and current city restaurant license for the licensed premise.
Class 5. Hotel-motel alcoholic beverages. The Grand Forks City Council may issue an unlimited number of hotel-motel alcoholic beverage licenses to hotels and motels having one hundred (100) or more guest rooms permitting the limited on- and off-sale of alcoholic beverages. A hotel-motel license shall not include the privilege of maintaining a separate store devoted exclusively to off-sale, but shall authorize off-sale only within the confines of one (1) room in which their on-sale bar or lounge is located. The hotel or motel shall not, in any manner, advertise as an off-sale package store. The intention of this limitation is to provide a service primarily to the registered guests at the hotel or motel. Provided further, that the room from which sales are made must be physically attached to and be a part of the hotel or motel and that all on-sale alcoholic beverages must be sold and consumed in the room or area of the premises that is designated in the license for that purpose. Temporary bars may be used in the banquet rooms or other areas for special events such as conventions, dinner meetings, or similar events; such areas need not be designated in that license.
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Class 5.1 Hotel-motel limited service wine and beer. The Grand Forks City Council may issue an unlimited number of hotel-motel limited service wine and beer licenses to hotels and motels having twenty (20) or more guest rooms with the following conditions, limitations and restrictions:
(1) No off-sale distribution or sale of wine or beer shall be permitted.
(2) Sale or service of wine or beer shall only be permitted to registered hotel-motel patrons and their guests.
(3) No wine or beer may be dispensed by any person other than a person legally employed by the licensee or an authorized agent of the licensee.
(4) No in-room service, sale or distribution of wine or beer is permitted.
(5) All wine and beer shall be opened or poured in a room separate from the room or area in which they are to be consumed.
(6) Wine or beer may only be consumed at tables or booths located within the hotel or motel.
(7) No counter or bar service is allowed.
(8) Service of wine or beer is allowed only during such time as the hotel/motel is providing food for its patrons and guests.
(9) No patron shall be allowed to self-serve wine or beer.
(10) No gaming shall be allowed on the premises.
(11) Service of wine or beer shall be allowed only between the hours of 3:00 p.m. and 10:00 p.m.
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Class 6. Fairgrounds beer and wine. The Grand Forks City Council may issue one (1) special on-sale beer and wine license for purposes of limited sales of on-sale beer and wine upon the Grand Forks County Fairgrounds to the Greater Grand Forks Fair and Exhibition Association. Such license may be issued only upon the following conditions:
(1) Sales of beer and wine shall be allowed only within the specific premises identified in the license issued.
(2) Beer and wine shall not be sold in cans or bottles but, rather, must be sold in disposable cups or similar containers.
(3) The license holder shall designate a specific area of the grandstand upon the Grand Forks County Fairgrounds within which beer and wine may be consumed. Consumption of beer and wine shall be allowed nowhere upon the Grand Forks County Fairground excepting upon the licensed premises and the area of the grandstand so designated, such area shall not exceed one-half (½) of the grandstand area and must be supervised by adult agents of the license holder. No minor shall be allowed within the area of the grandstand designated for the consumption of beer and wine.
(4) Beer and wine may be sold only during actual events held in and about the grandstand at the Grand Forks County Fairgrounds and one and one-half (1½) hours preceding such event. No sales of beer and wine shall be made after the completion of such events; provided, however, that during the Grand Forks County Fair, sales of beer and wine may be made during such times as is allowed for sales of alcoholic beverages by the North Dakota Century Code.
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Class 7. Golf course alcoholic beverages. The Grand Forks City Council may issue two (2) special on-sale alcoholic beverage licenses to the person(s) or entity(ies) designated by the Grand Forks Park District to sell alcoholic beverages at the Lincoln Park Golf Course and the King's Walk Golf Course. Such license may be issued only upon the following restrictions and conditions:
(1) The licenses shall be special limited alcoholic beverage licenses permitting limited on-sale retail sales of alcoholic beverages at the Lincoln Park Golf Course and King's Walk Golf Course, including any clubhouses.
(2) Retail sales of alcoholic beverages shall be restricted to patrons of golf courses or clubhouse facilities.
(3) Service of alcoholic beverages pursuant to this license shall be limited to the following hours and times described in City Code § 21-0221(1).:
(A) 8:00 a.m. to midnight Monday through Saturday.
(B) 12:00 noon to midnight on Sundays provided that the sales and service of alcoholic beverages are in conformance with the restrictions and conditions contained within section 21-0221 of this article.
(4) No off-sale distribution of alcoholic beverages shall be permitted.
(5) Any license issued hereunder shall not be subject to the qualification requirements contained within this article, nor to any zoning or location requirements.
Class 8. Airport alcoholic beverages. The Grand Forks City Council may issue one (1) special on-sale liquor license permitting on-sale retail sales of alcoholic beverages in the airport restaurant to the person or entity designated by the Grand Forks Regional Airport Authority to operate the restaurant facilities at the Grand Forks Mark Andrews International Airport, in order to provide service for patrons of and visitors to the Grand Forks Mark Andrews International Airport. Any license holder hereunder shall not be subject to the zoning or location requirements contained in this article. No off-sale distribution of alcoholic beverages shall be permitted under this special license, and all state and municipal regulations as to hours and times of service and clientele to be
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served shall be observed by the license holder. The license holder shall be required to maintain on-sale service of alcoholic beverages as provided herein during all hours in which retail dispensing of alcoholic beverages is permitted under state and local law when the restaurant facility is open for business. However, the license holder shall not be required to provide Sunday service of on-sale alcohol.
Class 8.1. Kraft Field beer. The Grand Forks City Council may issue one (1) on-sale beer license for the purposes of limited sales of on-sale beer upon or at Kraft Field. Such license may be issued only upon the following conditions:
(1) Sales of beer shall be allowed only within the specified premises identified in the license issued.
(2) Beer shall not be sold in cans or bottles but, rather, must be sold in disposable cups or similar containers.
(3) Beer may only be sold during actual events held in and about Kraft Field and one and one-half (1½) hours preceding such event. No sales of beer shall be made after the completion of such event.
(4) The license shall be issued on a seasonal basis commencing annually on the first day of April and terminating on the thirty-first day of October.
(5) No off-sale distribution of alcoholic beverages shall be permitted.
(6) Any license issued hereunder shall not be subject to the qualification requirements contained within this article, nor to any zoning or location requirements.
(7) The license may only be issued to that person or entity designated by the Grand Forks Park District.
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Class 8.2. Alerus Center alcoholic beverages. The Grand Forks City Council may issue one (1) on-sale alcoholic beverage license to the person or entity owning or managing the Alerus Center or the person or entity holding a concessions contract with the manager or owner of the Alerus Center for the purposes of limited sales of on-sale alcoholic beverages only. Such a license may be issued only upon the following conditions:
(1) On-sale sales of alcoholic beverages shall be allowed only:
(A) Upon or within the premises of the Alerus Center; and
(B) At the Chester Fritz Auditorium and the Empire Arts Theater for approved events where the licenseholder is promoting a sporting or entertainment event.
(C) At such other locations as approved by the city council for approved events where the licenseholder is promoting a sporting or entertainment event.
(2) For purposes of this class of license promoting shall mean the organizing, developing and financing of a sporting or entertaining event including the securing of the event through a formal event bid process, paying the artist, talent or event performers, and/or bearing the financial risk associated with the event.
(3) Alcoholic beverages shall not be sold in glass bottles within the arena portion of the facility or outside of the facility except, however, such prohibition shall not apply to the service or sale of alcoholic beverages in any suite.
(4) No sale of alcoholic beverage shall be made after the completion of any event being held at the facility.
(5) No off-sale distribution or sale of alcoholic beverages shall be permitted.
(6) No alcoholic beverages may be sold or dispensed by any person other than a person legally employed by the licensee or an authorized agent of the licensee.
(7) Upon request of the city council, the licensee shall provide a report of any special measures which have been or will be
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implemented, generally or for a particular event, to control or restrict the consumption of alcoholic beverages.
(8) The dispensing of alcoholic beverages at the Alerus Center shall be further regulated and restricted by the terms of any contract between the City of Grand Forks and the manager of the Alerus Center or the holder of the on-sale license. In addition, dispensing alcoholic beverages at the Alerus Center may be further regulated and restricted by action of the Grand Forks Events Center Commission.
Class 8.3. Ralph Engelstad Arenas alcoholic beverages. The Grand Forks City Council may issue one (1) on-sale alcoholic beverage license to the person or entity owning or managing the Ralph Engelstad Arenas or the person or entity holding a concessions contract with the manager or owner of the Ralph Engelstad Arenas for the purposes of limited sales of on-sale alcoholic beverages only. Such a license may be issued only upon the following conditions:
(1) On-sale sales of alcoholic beverages shall be allowed only:
(A) Upon or within the premises of the Ralph Engelstad Arenas; and
(B) At the Chester Fritz Auditorium and the Empire Arts Theater for approved events where the licenseholder is promoting a sporting or entertainment event.
(C) At such other locations as approved by the city council for approved events where the licenseholder is promoting a sporting or entertainment event.
(2) For purposes of this class of license promoting shall mean the organizing, developing and financing of a sporting or entertaining event including the securing of the event through a formal event bid process, paying the artist, talent or event performers, and/or bearing the financial risk associated with the event.
(3) Alcoholic beverages shall not be sold in glass bottles within the arenas portion of the facility or outside of the facility except, however, such prohibition shall not apply to the service or sale of alcoholic beverages in any suite.
(4) No sale of alcoholic beverage shall be made after the completion of any event being held at the facility.
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(5) No off-sale distribution or sale of alcoholic beverages shall be permitted.
(6) No alcoholic beverages may be sold or dispensed by any person other than a person legally employed by the licensee or an authorized agent of the licensee.
(7) Upon request of the city council, the licensee shall provide a report of any special measures which have been or will be implemented, generally or for a particular event, to control or restrict the consumption of alcoholic beverages.
Class 9. Bowling center alcoholic beverages. The Grand Forks City Council may issue an unlimited number of bowling center alcoholic beverage licenses to centers having twenty-four (24) or more lanes. This license shall permit the on-sale of alcoholic beverages primarily for the convenience of its bowling patrons. The area or portion of the premises licensed for the sales of alcoholic beverages in bowling centers shall be separated from the bowling area by a permanent wall or partition. Alcoholic beverages shall not be served in the bowling area nor consumed in the bowling area at times other than American Bowling Congress or W.I.B.C. sanctioned events.
Class 10. Excursion boat alcoholic beverages. Repealed. The Grand Forks Commented [DG6]: See comment above regarding the City Council may issue one (1) excursion boat on-sale alcoholic non‐use of this license. beverage license to permit on-sale retail sales of alcoholic beverages to passengers on an excursion boat operating upon the Red River of the North. Such license may be issued only upon the following restrictions and conditions:
(1) The vessel and applicant shall be in compliance with any and all other licenses and restrictions that may be imposed and required by any other regulatory or governing body.
(2) The vessel is regularly engaged, on an annual or seasonal basis, in the business of offering tours and excursions by boat on the Red River of the North.
(3) The vessel moors, docks and boards passengers at a location within the city limits of the City of Grand Forks.
(4) The vessel has a minimum certified seating capacity for one hundred (100) persons.
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(5) Sale or service of alcoholic beverages is limited to on-sale only to passengers of the vessel. Passengers may not be permitted to remove alcoholic beverages from the vessel.
(6) Sale or service of alcoholic beverages shall be allowed only while the vessel is engaged in the offering or course of a tour or excursion or when the vessel is moored to a dock within the jurisdiction and limits of the City of Grand Forks; provided that, alcoholic beverages shall not be sold or served at any time while the vessel is dry-docked, removed from the waterways of the Red River of the North or otherwise rendered incapable of engaging in the business of offering tours and excursions by boat on the Red River of the North.
(7) The vessel and its operation shall be in compliance with all applicable laws and regulations concerning health, fire and safety.
(8) The vessel regularly sells meals and provides food service in addition to sales of alcoholic beverages.
(9) Persons under the age of twenty-one (21) may be permitted on the vessel in accordance with Section 5-02-06 of the North Dakota Century Code, provided the area where persons under the age of twenty-one (21) are permitted is separate from the area where alcoholic beverages are opened or mixed.
(10) Temporary bars may be set up and sale or service of alcoholic beverages permitted to passengers anywhere on the vessel at times when persons under the age of twenty- one (21) are not permitted on the vessel.
(11) The license shall be issued on a seasonal basis commencing annually on the first day of April and terminating annually on the fifteenth day of November.
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Class 11. Special or limited license.
(1) In accordance with N.D.C.C. § 5-02-01.1, the Grand Forks City Council may issue special or limited licenses to existing on-sale, off-sale, or on- and off-sale license holders authorizing the sale of alcoholic beverages at special events designated by the license. The license may not be valid for a period greater than fourteen (14) consecutive days and may include Sundays. The license issued under this subsection shall be for a location other than the primary place of business of the license holder. Persons under twenty-one (21) years of age may attend and remain in the area of the event, or a portion thereof only in accordance with the provisions of N.D.C.C. § 5-02-01.1 and City Code § 21- 0228(3).
(2) In accordance with N.D.C.C. § 5-02-01.1, the Grand Forks City Council may issue special or limited licenses to existing on-sale, off-sale, or on- and off-sale license holders authorizing the sale of beer, wine or sparkling winealcoholic beverages at a special event held at the license holder's permanent licensed premises when such licensed premises are utilized for a private function and not otherwise open to the public. Persons under twenty-one (21) years of age may attend and remain in the area of the event, or a portion thereof only in accordance with the provisions of N.D.C.C. § 5-02-01.1 and City Code § 21-0228(3).As further provided by N.D.C.C. § 5-02-01.1, persons under twenty-one (21) years of age may remain in the area of the event, or a portion thereof, where such beer, wine or sparkling wine may be sold or served pursuant to the license. Commented [DG7]: This change proposed because HB 1284 was passed and becomes effective 8/1/2021 (3) In accordance with N.D.C.C. § 5-02-01.1, the Grand Forks City Council may issue to a domestic winery, brewery, distillery, cidery, or meadery owner or operator a special or limited license under N.D.C.C. Ch. 5-02 to engage in the "off-sale" of wine, beer, liquor, cider, or mead at special events occurring within the City of Grand Forks as designated by the license. The license under this subsection shall be valid for no more than three (3) days per event and no domestic winery, brewery, distillery, cidery, or meadery owner or operator shall be granted more than two (2) licenses under this subsection per year. The license may be issued for a location other than the primary place of business of the license holder and to a domestic winery, brewery, distillery,
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cidery, or meadery owner or operator whose primary place of business is outside of the city. Any license holder under this subsection shall be exempt from the provisions contained in Grand Forks City Code subsections 21- 0206(1)(I) and 21-0207(4). An applicant for license under this subsection shall complete and file such application as provided by the city auditor.
Class 12. Domestic distillery license. The Grand Forks City Council may issue an unlimited number of domestic distillery licenses to sell distilled spirits "on-sale" and "off-sale" subject to the following restrictions and conditions:
(1) Such license may be issued only to a person or entity holding a license from the state tax commissioner pursuant to N.D.C.C. § 5-01-19.
(2) Any license issued hereunder will only authorize the licensee to sell distilled spirits produced on the premises by the licensee at on-sale or off-sale.
(3) A licensee under this section may offer complimentary samples of distilled spirits produced on the premises provided that the size of each sample is no greater than one (1) fluid ounce and that the total of all samples not exceed three (3) fluid ounces per customer. No other alcoholic beverages may be sampled on the premises.
(4) A licensee under this section may apply for a class 11 special or limited license as provided in this article.
(5) A licensee under this section may sell glassware, accessories, publications, snack food items, and promotional items, excluding other alcoholic beverages, in addition to the sale of distilled spirits.
Class 13. Service, convenience or "mini" bar license. - Repealed. The Grand Commented [DG8]: See above comment regarding non‐ Forks City Council may issue an unlimited number of service, use of this license. convenience or "mini" bar licenses to all hotels or motels. Such a license allows a hotel or motel to sell alcoholic beverages to their guests through the operation of a service, convenience or "mini" bar located in the guest rooms, and may be issued only upon the following conditions:
(1) All service, convenience, or "mini" bars shall be located only in guest rooms.
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(2) All service, convenience, or "mini" bars shall be designed to prevent access to alcoholic beverages to all persons not having a key. The access to and/or issuance of service, convenience, or "mini" bar keys must be limited to the license holder, an employee of the license holder, or a registered adult guest of the hotel. The service, convenience, or "mini" bar key shall be different from the hotel guest room key, access by or issuance to persons not of legal drinking age shall be prohibited at all times.
(3) The holder of a Class 13 license may sell the following alcoholic beverages out of the service, convenience or "mini" bar:
(A) Liquor in containers of not less than one (1) ounce nor more than two (2) ounces;
(B) Wine in containers of not more than thirteen (13) fluid ounces; and
(C) Beer in containers of not more than twelve (12) fluid ounces.
(4) Stocking restrictions:
(A) All employees handling alcoholic beverages being stocked in the service, convenience or "mini" bar must be at least eighteen (18) years of age.
(B) A service, convenience, or "mini" bar may not be restocked or replenished between the hours of 9:00 p.m. and 9:00 a.m. and it may contain no more than forty (40) individual containers of alcoholic beverages at any one time.
(C) A service, convenience, or "mini" bar may only be maintained, serviced, or stocked with alcoholic beverages by a person who is an employee of the holder of the Class 13 license, and no other person shall be authorized to add alcoholic beverages to a service, convenience or "mini" bar, with the exception of a registered guest consumer.
Class 14. Wine and beer maker license. The Grand Forks City Council may issue an unlimited number of wine and beer maker licenses. A
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license holder possessing such a license may be permitted to offer complimentary samples of wines and beers produced on the premises provided that the size of each sample is no greater than two (2) fluid ounces and that the total of all samples not exceed eight (8) fluid ounces per customer. No other alcoholic beverages may be sampled on the premises. In the absence of an appropriate license, sales of off-sale or on-sale wine, beer, or liquor shall not be permitted.
Class 15. Winery on-sale and off-sale license. The Grand Forks City Council may issue an unlimited number of domestic winery licenses to operate a domestic winery and to sell wine "on-sale" and "off- sale," subject to the following restrictions and conditions:
(1) Such license may be issued only to a domestic winery owner or operator holding a license from the state tax commissioner allowing for the production of wine.
(2) Any license issued hereunder will only authorize the licensee to sell wine produced on the premises by the licensee at "on- sale" or "off-sale," in retail lots, and not for resale, in total quantities not in excess of ten thousand (10,000) gallons in a calendar year.
(3) A licensee under this section shall be authorized to sell glassware, wine literature, and accessories, cheese, cheese spreads, and other snack food items in addition to the sale of wine.
(4) A licensee under this section may apply for a Class 11 special or limited license as provided in this article.
(5) A winery licensee may offer complimentary samples of wine produced on the premises provided that the size of each sample is no greater than two (2) fluid ounces and that the total of all samples not exceed eight (8) fluid ounces per customer.
Class 16. Brewer taproom license. The Grand Forks city council may issue an unlimited number of brewer taproom licenses to sell beer "on- sale" and "off-sale", subject to the following restrictions and conditions:
(1) Such license may be issued only to a person or entity holding a license from the state tax commissioner pursuant to N.D.C.C. § 5-01-14 and/or § 5-01-21.
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(2) Any license issued hereunder will only authorize the licensee to sell beer produced on the premises by the licensee at "on- sale".
(3) Any license issued hereunder will only authorize the licensee to sell beer produced on the premises by the licensee at "off- sale" in brewery sealed containers of not less than 12 ounces (3.6 liters) and not more than 5.16 gallons (19.35 liters). Commented [DG9]: This change proposed because SB 2321 was passed and is effective 8‐1‐21 (4) A licensee under this section may apply for a Class 11 special or limited license as provided in this article.
(5) A licensee under this section may offer complimentary samples of beer produced on the premises provided that the size of each sample is no greater than two (2) fluid ounces and that the total of all samples not exceed eight (8) fluid ounces per customer.
Class 17 Manufacturing Distillery Commented [DG10]: See above comment regarding passage of HB 1286 to authorize this type of license that is (1) The Grand Forks city council may issue an unlimited effective now. number of manufacturing distillery licenses to distilled Formatted: Font: Not Italic spirits "on-sale" and "off-sale" subject to the following restrictions and conditions:
(A) The licensee has been issued a manufacturing Formatted: Indent: Left: 2.5" distillery license pursuant to N.D.C.C. § 5-01-19.2 from the North Dakota tax commissioner.
(B) A licensee may dispense free samples of spirits offered for sale only in accordance with N.D.C.C. § 5-01-19.2.
(C) Hours and times of sales by the licensee shall be in accordance with City Code § 21-0221(1), except the hours and times for off sale on Sundays shall be from twelve noon until 11:59 p.m.
(D) A licensee under this section may apply for a class 11 special or limited license as provided in this article.
(2) A licensee under this section may operate one satellite location in addition to its licensed premises for the purpose of providing samples, as defined in N.D.C.C. § 5-01-
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19.2(3)(a), and for on sale or off sale retail sales upon the following conditions:
(a) The licensee has been issued a retail license for the satellite location under this article.
(b) The licensee complies with and meets all the requirements of N.D.C.C. § 5-01-19.2(3)(b).
(3) A licensee under this section shall not be issued a Class 12 license.
(4) A licensee under this section may be issued a Class 1 or Class 4 license allowing for the sale of on-sale alcoholic beverages at a restaurant owned by the licensee and located at the licensee’s satellite location.
(Ord. No. 3270, § 2, 3-1-93; Ord. No. 3292, § 1, 5-17-93; Ord. No. 3302, §§ 1—5, 7-6-93; Ord. No. 3574, §§ 1, 2, 4-1-96; Ord. No. 3590, § 1, 5-20-96; Ord. No. 3875, § 1, 1-16-01; Ord. No. 3876, § 3, 1-16-01; Ord. No. 3876, § 3, 1-16-01; Ord. No. 3897, § II, 8-13-01; Ord. No. 3955, § XXX, 12-2-02; Ord. No. 4026, § I, 9-7-04; Ord. No. 4093, § II, 10-3-05; Ord. No. 4104, § I, 12- 5-05; Ord. No. 4156, § I, 10-23-06; Ord. No. 4195, § XVII, 7-2-07; Ord. No. 4356, §§ I, II, 3-19- 2012; Ord. No. 4389, § I, 11-5-2012; Ord. No. 4395, § I, 1-7-13; Ord. No. 4561, § III, 2-16-16; Ord. No. 4619, § I, 6-19-17; Ord. No. 4622, § I, 7-6-17, eff. 8-1-17; Ord. No. 4654, § I, 1-2-18; Ord. No. 4694, § I, 12-3-18; Ord. No. 4703, § I, 4-1-19; Ord. No. 4723, § I, 7-1-19; Ord. No. 4732, § I, 8-5-19)
21-0206. - Same—Qualifications of license holder.
(1) No retail licenses shall be issued to any person unless the applicant shall file a sworn application, accompanied by the required fee, showing the following qualifications:
(A) Applicant, if an individual, must be a legal resident of the United States and be a person of good moral character and be at least twenty-one (21) years of age.
(B) If the applicant is a corporation, it must be qualified to do business in North Dakota. The manager of the licensed premises must be a legal resident of the United States and of good moral character and the officers, directors and stockholders must be persons of good moral character.
(C) All corporate applicants must first be properly registered with the North Dakota Secretary of State and be qualified to do business within the state. Any corporation to which a license for the sale at retail of alcoholic beverages within the city limits of Grand Forks has been issued and is still in effect which contemplates any change in the manager, officers, directors
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and stockholders is required to report in writing within ten (10) days to the city council for purposes of evaluation and determination as to compliance with the requirements contained herein for continuance or revocation of the license; and the license of any corporation which makes any such change without compliance with the requirement for the report to the city council shall be automatically and immediately revoked.
(D) If applicant is a partnership, all of the members must be legal residents of the United States.
(E) Applicant or manager must not have been convicted of a felony in the last five (5) years. Commented [DG11]: NDCC 5‐02‐02(3) makes reference to not being convicted of an offense that would have direct (F) The building in which business is to be conducted must meet local and state bearing on applicant's/manager's ability to serve public alcoholic beverages unless the person is rehabilitated under requirements regarding sanitation and safety. NDCC 12.1‐33‐01, which then references not having been convicted within the past 5 years. (G) Applicants must not be delinquent in payment of property taxes, special assessments, parking assessments, nor in default to the City of Grand Forks The state application asks if been convicted of felony or misdemeanor in the last five years. in any manner. If the applicant is a partnership, limited partnership, limited liability limited partnership, limited liability partnership, company, limited liability company or any other similar entity, each partner and/or member must be current in such taxes, assessments, fees and all other matters to the City of Grand Forks.
(H) The property for which application for license is made must not be delinquent nor in default in any property taxes, special assessments, parking assessments, fees or any other matters to the City of Grand Forks.
(I) Applicant must own the premises for which an application is sought, or have a lease thereon for the full period for which the license is issued.
(J) Applicant must be, in the sole judgment of the city council, the real party in interest or beneficial owner of the business operated, or to be operated, under the license.
(K) Applicant manager or agent must not have been convicted of a violation of any federal or state law concerning the manufacture, possession or sale of alcoholic liquor, or have forfeited a bond to appear in court to answer charges for any such violation; provided, however, no applicant or applicant for renewal of license shall be disqualified for being in actual physical control of a motor vehicle while under the influence, open container of alcoholic beverages, or minor in possession of alcoholic beverages unless the applicant shall have been convicted of such offense two (2) or more times during the two (2) years immediately prior to the application for a license pursuant to this article. In the event an applicant for renewal of license has been convicted of being in actual physical control of a motor
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vehicle while under the influence, open container of alcoholic beverages, or minor in possession of alcoholic beverages, or forfeited bond to appear in court to answer such charges on more than two (2) occasions in the two (2) years immediately preceding the application for renewal, such application shall be referred to the city council to determine whether such convictions or forfeitures of bonds indicate sufficient basis for nonrenewal of the license.
(2) It is unlawful for any applicant to intentionally make a false statement or omission upon any application form. Any false statement in such application form, shall, upon discovery of such falsehood, work an automatic refusal of license, or if already issued, shall render any license or permit issued pursuant thereto void and of no effect to protect the applicant from prosecution for violation of this chapter or any part hereof.
(3) If the applicant's place of business is to be conducted by a manager or agent, the manager or agent must possess the same qualifications required of the license holder.
(Ord. No. 3270, § 2, 3-1-93)
21-0207. - Same—Application.
Any applicant desiring either a new or renewal license to sell alcoholic beverages at retail as hereinbefore described shall make and present a written verified application to the city council of the City of Grand Forks, North Dakota, filed with the city auditor. All applications shall contain the following information:
(1) The name, address, date of birth, social security number, and driver's license number of the applicant; if the applicant is a partnership, the name, address, date of birth, social security number, and driver's license number of each member of the partnership; if the applicant is a corporation, the name, address, date of birth, social security number, and driver's license number of the officers of the corporation and Commented [DG12]: As understood, police department the manager of the licensed premises. no longer requires SSN for background check.
(2) Whether the applicant is a citizen of the United States, and if a naturalized citizen, the date and place of naturalization, or, if not a citizen, whether the applicant is a legal resident of the United States who has been lawfully admitted to the United States for the purpose of obtaining permanent residency, and the place of residence of the applicant for a period of five (5) years preceding the date of application; if the applicant is a partnership the same preceding information of each member of the partnership shall be provided; if the applicant is a corporation, the date of incorporation, the state where incorporated, the purposes for which the corporation was incorporated, and if such corporation is a subsidiary of any corporation, the name of the parent corporation.
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(3) The legal description and the address of the premises for which license is sought and a diagram depicting all bar and lounge areas.
(4) The date on which the applicant acquired title to the premises sought to be licensed, or if the applicant does not have title to the premises, the name and address of the owner of the premises together with a copy of the applicant's lease under which the applicant holds possession of the premises.
(5) Whether there are any delinquent taxes, special assessments, parking assessments, fees, or other defaults to the City of Grand Forks against either the premises sought to be licensed or the applicant.
(6) Whether the applicant has ever engaged in the sale or distribution of alcoholic beverages prior to this application, and if so, the date and type of business and place where so engaged, whether within or without the State of North Dakota; and if the application is for a renewal license, the date the applicant first began to operate.
(7) Whether the applicant has ever had a license revoked or canceled by any municipal, state or federal authority, and if so, the date of such cancellation, the place and authority canceling same, and the reason for such cancellation.
(8) Whether the applicant has ever been convicted of the violation of any law of the United States or of any state, or of the violation of any local ordinance, with regard to the manufacture, sale, distribution or possession of alcoholic beverages, and if so, the dates, name of places, and courts in which the convictions were had.
(9) Whether the applicant has ever had a license for the sale of alcoholic beverages revoked for any violation of state laws or local ordinances, and if so, the names of the bodies revoking such license, the dates of such revocation, and the reasons assigned therefor.
(10) Whether the applicant has ever been convicted of any other crime than stated in subsections (7) and (8) hereof, in this state or any other state, or under any federal law, and if so, the date of such conviction, the name of the crime for which convicted, the amount and terms of sentence passed, and the court in which convicted.
(11) The name and address and the place of residence for a period of five (5) years prior to the date of application of any person who will have charge, management, or control of the establishment for which license is sought.
(12) Whether any person other than the applicant has any right, title, estate or interest in the leasehold or in the furniture, fixtures, or equipment in the premises for which license is sought, and if so, the name and address of such person, together with a statement of the interest so held.
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(13) Whether the applicant has any interest whatsoever, directly or indirectly, in any other establishment dispensing alcoholic beverages, either at wholesale or retail, within or without the State of North Dakota, and if so, the names and addresses of such establishments. This provision is meant to include the holders of capital stock in any corporation dealing in alcoholic beverages, either at wholesale or retail, and within the borders of the United States.
(14) The occupations which the applicant has followed during the past five (5) years.
(15) The names and addresses of at least three (3) business references.
(16) Whether the applicant is engaged in any other business or intends to be engaged in any business other than the sale of alcoholic beverages under the license for which application is made, and if so, the type of business, and if an employee, the name and address of employer.
(17) The classification of license applied for.
(18) A statement by the applicant that the applicant consents to entry and inspection of the premises for which license is sought or any part thereof at any time by any police officer, sheriff, or any peace officer of the City of Grand Forks, County of Grand Forks, or of the State of North Dakota, and further consents that any alcoholic beverages or any other property found upon the premises which is held therein in violation of the laws of the State of North Dakota or in violation of this article may be seized and taken away by such officer, and that such alcoholic beverages or other property so seized may be received in evidence against the applicant in any procedure brought pursuant to the laws of the State of North Dakota or pursuant to this article.
(19) An attached diagram or blueprint depicting all bars, lounges and areas to be included within the licensed premises where alcoholic beverages are to be regularly served, sold, or consumed.
(Ord. No. 3270, § 2, 3-1-93; Ord. No. 3302, § 6, 7-6-93; Ord. No. 4382, § I, 9-17-2012)
21-0208. - Same—Restrictions.
When a reasonable basis is found by the city council to impose reasonable restrictions upon a license held under this article, the city council, upon issuing a new license or renewing a license or approving a transfer of a license, may impose reasonable conditions and restrictions pertaining to the manner and circumstances in which the business shall be conducted to preserve the public peace and protect and promote good order and security. These reasonable conditions or restrictions may include, but are not limited to, the following:
(1) A limitation as to the hours when alcoholic beverages may be sold and/or consumed on the licensed premises;
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(2) A limitation and restriction as to the exact location where alcoholic beverages will be served and/or sold and/or consumed;
(3) A limitation and restriction as to the means of ingress to or egress from the licensed establishment;
(4) A requirement that certain off-street parking facilities be provided;
(5) A limitation and restriction as to the means and methods of advertising the sale of alcoholic beverages within and/or on the building and/or on the premises adjacent thereto;
(6) Reasonable conditions limiting the operation of the licensed premises so as to ensure that the licensed business will comport with the character of the district in which it is located, or to prevent the development or continuation of a nuisance.
(Ord. No. 3270, § 2, 3-1-93; Ord. No. 3955, § XXXI, 12-2-02)
21-0209. - Same—Investigation of fitness of applicant.
The chief of police or such other person or officer as may be designated by the city council shall, upon the filing of an application, investigate the facts as stated in the application and the character, reputation and fitness of the applicant, and shall report on the matters to the city council. In addition to the facts and information that is requested on the application forms the designated investigator is authorized by the licensing authority to request from the applicant any other information the investigator considers necessary to make a determination of the fitness of the applicant, including but not limited to information pertaining to financing of the proposed establishment and other business interests of the applicant, or of the applicant's stockholders in the case of a corporate applicant. It shall be a requirement of any applicant to furnish the designated investigator with the information that the investigator may request, and denial of such a request by any applicant shall be considered a violation of the alcoholic beverage license ordinances of the City of Grand Forks and thereby disqualify the applicant from any further consideration. The provisions of this section shall apply equally to applicants for new licenses and applicants for license renewals.
(Ord. No. 3270, § 2, 3-1-93)
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21-0210. - Same—Fees.
(1) Application fees. In addition to any other fees required by this chapter, each new application shall be accompanied by a nonrefundable application fee and each renewal application fee shall be accompanied by a nonrefundable application fee. Such fee shall be established by resolution of the Grand Forks City Council.
(2) Issuance fees.
(A) In addition to any other fees required by this chapter, issuance fees shall be paid prior to the issuance of any new license in an amount established by resolution of the Grand Forks City Council.
(B) In the event a license holder applies for a new license requiring the payment of a higher issuance fee than previously paid, credit shall be given in an amount equal to that previously paid, provided:
1. The subsequent application occurs within ten (10) years after the payment of the original issuance fee; and
2. The license holder surrenders to the city their present license simultaneously with the receipt of the new license.
(C) Issuance fees as provided herein for Class 1, 2, 4, 5, or 9 alcoholic beverage licenses may be paid in four (4) equal installments, the first installment due upon the issuance of the license and the subsequent installments paid upon the first, second, and third annual anniversary date of the issuance of the license. The license holder shall be required to deposit sufficient surety payable to the city during the period of time that such installments are outstanding. No license shall be transferred until such time as the entire issuance fee is paid in full.
(3) Annual fees. Except as otherwise provided herein, all licenses under this article shall run for an annual period commencing January 1 of each year and terminating on December 31 of each year. Fees shall be established by resolution of the Grand Forks City Council. Failure to pay any annual fee shall result in an automatic cancellation of such license.
(Ord. No. 3270, § 2, 3-1-93; Ord. No. 3302, § 7, 7-6-93; Ord. No. 3410, § 2, 5-2-94; Ord. No. 3609, § 1, 9-3-96; Ord. No. 3897, § III, 8-13-01; Ord. No. 4093, § III, 10-3-05; Ord. No. 4096, § XXVIII, 10-3-05; Ord. No. 4154, § XXVI, 9-5-06; Ord. No. 4252, § XXVIII, 10-6-08; Ord. No. 4321, § XI, 4-18-11)
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21-0211. - Same—Grant of license.
(1) Not more than two (2) licenses of each classification shall be issued to any applicantperson, and each license shall be valid only for the specific premises licensed, except that any holder of retail licenses of classes 1, 2, 3, 4 and 5 as herein described may also apply to the city auditor for approval as a caterer for the express purpose of catering and serving alcoholic beverages at functions held upon unlicensed premises.
(2) Solely for purposes of calculating the number of licenses in each classification a person may be issued under City Code § 21-0211(1), the following license counting rules shall apply:
(A) A license issued to an individual is counted as a license (1) for the individual’s spouse, (2) for each child of the individual, (3) for each parent of the individual (4) for each partnership, limited partnership, limited liability limited partnership, limited liability partnership in which the individual is a partner and (5) for each corporation, limited liability company, association, club, society, or any other entity or organization in which the individual has one percent (1%) or more of the outstanding shares, ownership interests, membership interests, or voting rights.
(B) A license issued to a partnership, limited partnership, limited liability limited partnership, limited liability partnership is counted as a license for each partner of said partnership, limited partnership, limited liability limited partnership, limited liability partnership.
(C) A license issued to a corporation, limited liability company, association, club, society, or any other entity or organization is counted as a license for each person having one percent (1%) or more of the outstanding shares, ownership interests, membership interests, or voting rights of said corporation, limited liability company, association, club, society, or other entity or organization.
(D) Each license is counted as a license for each employee of a retail license holder.
(E) The status of being a partner or having one percent (1%) or more of the outstanding shares, ownership interests, membership interests, or voting rights described in this City Code § 21-0211(2) shall include owning or holding such interests directly in such entities and owning or holding such interests indirectly through one or more combinations of subsidiary-parent entities.
(F) This City Code § 21-0211(2) is solely for calculating the limit of the number of licenses that may be issued to a person and does not, nor shall it be
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interpreted to provide, grant or otherwise provide any ownership or other claim to a license.
No license shall be granted to any person who is a member of a partnership or partnerships possessing two (2) or more retail alcoholic beverage licenses nor to any person owning more than one (1) percent of the total common or preferred capital stock of any corporations, or combination of corporations, possessing two (2) or more such licenses, nor shall any retail license be issued or granted to any person who is employed in any capacity in connection with any two (2) or more other licensed liquor establishments, nor shall any retail license to sell alcoholic beverages be issued or granted to any member of the immediate family of any person who is the holder of two (2) or more licenses within the city limits of the City of Grand Forks or within a two-mile radius thereof.
(Ord. No. 3270, § 2, 3-1-93)
21-0212. - License holder's responsibility.
Any act or conduct by any clerk, employee, manager or agent of a license holder, or by any person providing entertainment or working for or on behalf of a license holder, whether compensated or not, which act or conduct takes place either on the licensed premises or in any parking lot or other area adjacent to, or under the lease or control of the licensed premises, and which act or conduct violates any state or federal statutes or regulations, or any city ordinance, shall be considered to be and treated as the act or conduct of the license holder for the purpose of adverse action against all or any of the licenses held by such license holder.
(Ord. No. 3270, § 2, 3-1-93)
21-0213. - Posting of licenses.
Licenses issued hereunder shall be posted in an open and conspicuous place in the premises for which the license has been issued.
(Ord. No. 3270, § 2, 3-1-93)
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21-0214. - Area limitation.
No license shall be effective beyond the location and area identified in the license for which it was granted.
(Ord. No. 3270, § 2, 3-1-93)
21-0215. - Locations where licensed premises prohibited.
(1) Notwithstanding existing zoning or the existence of any previously-issued license, the issuance of a new license at a location within the city must be such that it will not detract from or adversely impact the surrounding area and neighborhoods. Such matters as traffic, noise, parking, proximity to public or parochial schools, proximity to college or university buildings used for academic purposes, and proximity to public libraries, day cares, hospitals and churches will be reviewed to determine if the proposed location will have a negative impact upon the surrounding area, neighborhoods or the community. The existence of the community need will also be assessed by the city council. In this regard, such things as the type of operation proposed will be reviewed for area, neighborhood and community impact. Liquor licenses may be issued or withheld in an effort to encourage overall community development or redevelopment, as the case may be. In recognition of the fact that the granting of a liquor license may artificially enhance the value of any parcel of property, the city council is also to consider the proposed location itself. A building should be appropriate for the intended use. The number of licensed premises within the immediate geographic area of the proposed location will be considered in order to avoid an undue concentration which may have the potential of creating public safety problems or deterring neighborhood development or redevelopment.
(2) No license for the retail sale of alcoholic beverages shall be issued to any premises as follows:
(A) Within three hundred (300) feet from the existing front door of any licensed premises to the proposed front door of the proposed licensed premises, the three hundred (300) feet to be measured upon a straight line drawn directly from the center of the existing front door to the center of the proposed front door; provided, however, the license for the retail sale of alcoholic beverages may be issued, at the discretion of the city council, to premises located within three hundred (300) feet of any previously licensed premises upon the written consent of all license holders operating licensed premises within such three-hundred-foot radius. Provided further, that the restrictions and prohibitions of this section shall not apply to any licensed premises within any area located in a B-4 zone, as specified and described by the zoning ordinances of the city nor shall the restrictions and prohibitions of this section apply to exclude a class 4 food and beverage licensed premises.
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(B) To any premises not located in zone B-2, B-3 or B-4 as specified and described by the zoning ordinances of the City of Grand Forks.
(3) These restrictions and prohibitions set forth in this section shall not apply to those licensed premises existing on June 30, 1993, which would otherwise be prohibited hereby.
(Ord. No. 3270, § 2, 3-1-93; Ord. No. 3302, §§ 8, 9, 7-6-93; Ord. No. 4094, § I, 10-3-05; Ord. No. 4316, § I, 4-4-11)
21-0216. - Inspection of licensed premises.
(1) All premises licensed under this chapter shall at all times be open to inspection by any police officer, health officer, public safety officer, fire department personnel or properly designated officer or employee of the city to determine whether or not this chapter and all other laws are being observed. All persons, as a condition to being issued a license under this chapter, hereby consent to such inspection by such officers and without a warrant for searches or seizures.
(2) Refusing to permit an inspection of the licensed premise under this section shall be grounds for revocation, suspension or nonrenewal of the license.
(3) It is unlawful for any licensee, or agent or employee of a licensee, to hinder or prevent any such officer from making such inspection.
(Ord. No. 4383, § II, 9-17-2012)
Editor's note— Ord. No. 4383, §§ I, II, adopted Sept. 17, 2012, repealed the former § 21-0216, and enacted a new § 21-0216 as set out herein. The former § 21-0216 pertained to similar subject matter and derived from Ord. No. 3270, § 2, 3-1-93.
21-0217. - Inspection of business records.
The business records pertaining to the ownership and operation of the license holder, including federal and state tax returns, shall be available for inspection by duly authorized representatives of the city or the city council at all reasonable times.
(Ord. No. 3270, § 2, 3-1-93)
21-0218. - Premises nonoperable or under construction.
If, at the time of granting a license or any time thereafter, actual use of the license cannot be made until a future date because the subject premises are under construction, remodeling or improvement, or are otherwise not ready for occupancy, then the city council shall set a date by which actual use of the license must be made. If actual use is not made by the city council's
Page 34 of 47 specified date, then the license shall be null and void. In no event shall the city clerk issue the license until notified by the building inspector that the building is ready for occupancy.
(Ord. No. 3270, § 2, 3-1-93)
21-0219. - Nonissuance of license.
Nothing contained in this section shall obligate the City of Grand Forks, nor imply any obligation, to issue or reissue any licenses under this article. The city council may, by resolution, declare that such licenses shall not be issued or reissued, specifying any length of time deemed advisable during which no such licenses shall be issued or reissued.
(Ord. No. 3270, § 2, 3-1-93)
21-0220. - Transfer of license prohibited.
(1) No license for the sale of alcoholic beverages shall be transferred either as to license holder or as to premises without first making application to and receiving the approval of the city council. The transferee shall also pay the annual fee as established by section 21-0210 and shall pay the transfer fee in an amount established by resolution of the Grand Forks City Council.
(2) In the event a transfer is made in consequence of a conveyance contingent upon satisfaction of periodic payments by the purchaser, no transfer fee shall be required for any transfer back to the prior license holder resulting from any default of the purchaser upon the contract calling for periodic payment.
(Ord. No. 3270, § 2, 3-1-93; Ord. No. 4096, § XXIX, 10-3-05; Ord. No. 4154, § XXVII, 9-5-06; Ord. No. 4321, § XII, 4-18-11)
21-0221. - Restrictions on sale, service or dispensing of alcoholic beverages.
(1) No license holder shall dispense or permit the consumption of alcoholic beverages on licensed premises between 2:00 a.m. and 118:00 a.m., on Sundays, between the hours of 2:00 a.m. and 8:00 a.m. on all other days of the week, or on Christmas Day or after 6:00 p.m. on Christmas Eve. No license holder shall dispense off-sale between 2:00 a.m. and 118:00 a.m. on Sundays or after 2:00 a.m. on Thanksgiving Day. Commented [DG13]: Change proposed because of passage of SB 2220, which is effective 8/1/2021 (2) It shall be unlawful for any license holder, individually or by or through any officer, employee, or agent, to:
(A) Sell, offer to sell or deliver to any person an unlimited number of alcoholic beverages for a fixed price or an "all you can drink" basis except, however, this prohibition shall not apply to:
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i. Private functions or events not open to the general public such as weddings, receptions, private dances, fundraising functions or meetings;
ii. Occasions when alcoholic beverages are included with the purchase of a meal;
iii. Occasions when alcoholic beverages are provided as part of a contract between a hotel or a multi-use establishment and another organization for the holding of a function, event, meeting, convention or trade show at such hotel or multi-use establishment;
iv. Events or functions involving the tasting of wines, cordials or beers where the individual servings do not exceed two (2) fluid ounces; or
v. Civic functions or events where alcoholic beverages are incidentally provided or available.
(Ord. No. 3270, § 2, 3-1-93; Ord. No. 3275, §§ 2, 3, 4-5-93; Ord. No. 3302, § 10, 7-6-93; Ord. No. 4027, § I, 9-7-04; Ord. No. 4090, § I, 9-19-05; Ord. No. 4092, § I, 9-19-05; Ord. No. 4162, § I, 1-2-07; Ord. No. 4283, § 1, 12-7-09; Ord. No. 4513, § I, 4-20-15, eff. 8-1-15; Ord. No. 4529, § I, 7-20-15, eff. 8-1-15; Ord. No. 4622, § II, 7-6-17, eff. 8-1-17)
21-0222. - Bottle clubs prohibited.
Commented [DG14]: Do you want to continue delivery It shall be unlawful to operate an establishment whereby persons are allowed to bring that is allowed by emergency orders. their own alcoholic beverages on the premises where the proprietor sells soft drinks, mix, ice, or charges for bringing such beverages on the premises. Currently Class 1, 3, 4 & 16 can deliver and do curbside delivery under their licenses, subject to limitations, including as to quantity. (Ord. No. 3270, § 2, 3-1-93) If considering this, other limitations you may want to 21-0223. - Consumption on public streets or alleys. consider (which is not an exhaustive list):
It shall be unlawful for any person to consume any alcoholic beverages, or to serve, sell, 1. Delivery must be with a meal prepared by the license or possess an open container which contains alcoholic beverages, upon any public right-of-way, holder. street, alley, highway or public sidewalk within the city, except when such public right-of-way street, alley, highway, or public sidewalk, or portion thereof, is included within an area for which 2. Delivery not by a 3rd party for delivery, i.e. taxi/Uber. the city council has granted authorization. 3. Assuring those that deliver have a sufficient on premises dining, i.e. on premises dining seating capacity and/or food (Ord. No. 3270, § 2, 3-1-93; Ord. No. 3302, § 11, 7-6-93; Ord. No. 4176, § II, 4-2-07) consumption on premises being at a certain % of all food sales.
21-0224. - Delivery of alcoholic beverages prohibited. 4. In sum, having the delivery of alcoholic beverages that would be equivalent to what one could consume if the meal It shall be unlawful for any license holder to deliver, or permit to be delivered, alcoholic was on the premises. beverages to any person outside the licensed premises. I have attached Minot's delivery ordinance which is not limited other than who can conduct the deliveries and manner of documenting the delivery. Page 36 of 47
(Ord. No. 3270, § 2, 3-1-93)
21-0225. - Delivery to certain persons prohibited.
It shall be unlawful for any person to knowingly deliver alcohol to a person under twenty-one (21) years of age, a habitual drunkard, an incompetent, or an obviously intoxicated person.
(Ord. No. 3270, § 2, 3-1-93; Ord. No. 3955, § XXXII, 12-2-02)
21-0226. - Sale of other items restricted.
(1) No Class 1, 2 or 3 alcoholic beverage license shall be issued to any applicant after July 1, 1993, whose primary business is not, or, upon the issuance of the license applied for shall not be, the sale of alcoholic beverages or the operation of a restaurant, hotel, motel, or amusement centers.
(2) Class 1, 2 and 3 license holders shall be prohibited from selling any item on the licensed premises other than the following convenience and incidental items:
(A) Any nonfood item containing the logo, advertising slogan, trade name or trade mark of the licensed premise or of any alcohol distributor, manufacturer or retailer.
(B) Alcoholic beverages, soft drinks, juices, bottled water, coffee, tea, ice cream, tobacco, candy products, alcoholic and nonalcoholic beverage making or mixing supplies, sauces, desserts, prepackaged preserved sandwiches, pizza, and other food products approved by the state laboratories department which shall be delivered to the purchaser with the packaging intact, dry packaged preserved food snacks, and pickled preserved products served to the purchaser from the original container.
(3) In addition to the aforementioned items, a Class 1, 2 or 3 license holder may offer hors d'oeuvres and other prepared foods to be served and consumed upon the licensed premises so long as the food is properly prepared, delivered and served by a person or business licensed to serve and prepare food. After consumption, all utensils used and uneaten food shall be returned to the licensed business or location at which the food was prepared.
(4) When a license holder conducts off-sale conveyances of wine, beer, liquor or other alcoholic beverages and also operates another retail business owned by the license holder, or a subsidiary thereof, or which the license holder is a subsidiary of, such sales or conveyances of alcoholic beverages may not be conducted in the same building as such other business or any other building adjacent thereto. When the license holder is a tenant of the holder of another retail business, or subsidiary thereof, license holder may sell or convey alcoholic beverages, provided the area
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in which such alcoholic beverages are sold may not be viewed from other portions of the building, is serviced by a separate exterior entrance, and is without any entrances into other areas of the building in which retail sales are conducted.
(Ord. No. 3270, § 2, 3-1-93; Ord. No. 3336, § 1, 10-18-93)
21-0227. - Sale of alcoholic beverages in exchange for goods prohibited.
License holders may only accept money, checks, legal tender, negotiable instruments, or other evidences of debt as payment for the retail sale of alcoholic beverages. Acceptance of goods, chattels, or other tangible personal property in lieu of an accepted method of payment for alcohol beverages is prohibited.
(Ord. No. 3270, § 2, 3-1-93)
21-0228. - Persons under twenty-one years—Prohibited on licensed premises; exceptions.
(1) (A) Except as otherwise provided in this article, no person under the age of twenty-one (21) shall be allowed in or upon any premises licensed for the sale of alcoholic beverages.
(B) For purposes of this section, a "restaurant" shall mean:
(1) an establishment holding a Class 4 alcoholic beverage license and
(2) an establishment holding a Class 3, 4, 5, 7, 8, 8.2, and/or 8.3 16 and/or 17 satellite location and/or Class 10 alcoholic beverage license issued by the city that is a restaurant, as defined in City Code § 21-0701, and where food and meals are prepared, served and, sold and consumed on site. including multi-course meals of steak, fish, seafood, and other similarly menued main courses or prepackaged foods, such as frozen pizza, soup and sandwiches, in which the establishment heats and then serves such food and meals for consumption on the licensed premises.
(2) A person under the age of twenty-one (21) is permitted in a premises licensed for the sale of alcoholic beverages subject to the following restrictions:
(A) At the discretion of the owner of the licensed premises, an individual under twenty-one (21) years of age may be permitted to enter and remain in a restaurant where alcoholic beverages are being sold and in the area of the restaurant designated for the opening or mixing of alcoholic beverages if the individual:
(1) Is accompanied by a parent or guardian;
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(2) Is not seated at or within three feet [0.91 meters] of the bar counter; and
(3) Does not enter or remain in the designated area after ten p.m. Commented [DG15]: This change proposed due to passage of HB 1184 that becomes effective 8/1/2021. (AB) Any person under the age of twenty-one (21) years of age may remain in a restaurant, if the restaurant is separated from the room designated area in which alcoholic beverages are being opened or mixed, and gross sales of food are at least equal to the gross sales of alcoholic beverages which are consumed in the dining area. Upon renewal of any license, the applicant shall certify, under penalty of perjury, the total gross sales at the licensed premises and the total gross sales of alcoholic beverages for the most recent calendar year. The city may, in its discretion, require certification, under penalty of perjury, by a certified public accountant, retained and paid by the license holder, of the annual gross sales at the license premises and the total gross sales of alcoholic beverages for the most recent calendar year;
(BC) Any person under the age of twenty-one (21) years of age when employed by a restaurant licensed to sell alcoholic beverages as a food waiter, food waitress, busboy or busgirl under the direct supervision of a person twenty- one (21) or more years of ageolder and is not engaged in the sale, dispensing, delivery, or consumption of alcoholic beverages; . Commented [DG16]: Do we want to include Class 1 so that under 21 years of age employees can remain on the (CD) Any person who is nineteen (19) years of age or older but under the age of premises to work as non‐alcohol serving employees. If so, do you want special rules for Class 1 such as (1) a minimum twenty-one (21) when employed by a restaurant licensed to sell alcoholic age to work, (2) time limit of work hours, say 9 pm and (3) beverages to serve and collect money for alcoholic beverages, if the person that only Class 1 have some minimum % of food sales? is under the direct supervision of a person twenty-one (21) or more years of age, but such person may not be engaged in mixing, dispensing, or I would also recommend that the effective date of such a change be upon an AG opinion that such employment consuming alcoholic beverages. would not be considered a violation of state statute to avoid possible sanction that would enforce state statute (NDCC 5‐ (DE) If the person is employed or acting as an authorized agent of a law 01‐08). enforcement office or agency, state's attorney's office, or city attorney's office entering the premises in the performance of official duty; .
(EF) Any person who is eighteen (18) years of age or older but under the age of twenty-one (21) when employed in the capacity of a musician may be allowed to remain in or upon a licensed premises provided that the underage musician is under the direct supervision of a person twenty-one (21) or more years of age.
(FG) A person under twenty-one (21) years of age may enter and remain on the licensed premises if the person is an independent contractor or the independent contractor's employee engaged in contract work and is not engaged in selling, dispensing, delivering or consuming alcoholic beverages.
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(GH) During a designated alcohol-free time period in any licensed premises, or in that portion of a licensed premises which is separated from the remainder of the premises or where the license holder has determined not to sell or permit the consumption of alcoholic beverages on the premises or the designated portion thereof during a particular time period and has determined to operate the licensed premises or portion thereof as alcohol- free during such period, provided that the license holder complies with the following conditions:
1. The license holder shall give written notice of the intention to operate an alcohol-free period at least forty-eight (48) hours in advance to the chief of police, which notice shall designate the portion of the premises to be used for the alcohol-free period and shall indicate whether alcoholic beverages will be sold on any portion thereof; and
2. The license holder shall post conspicuously at all entrances to the premises or portion thereof to be used during the alcohol-free period a notice stating that the sale and consumption of alcoholic beverages will not be permitted during the duration of this period, and shall also state that the participants are not allowed into any portion of the licensed premises where alcoholic beverages are sold; and
3. During the alcohol-free period of operation, the license holder shall remove from public view and secure on the premises to be used for the alcohol-free event, all containers of alcoholic beverages in that portion of the premises, and inactivate any devices which dispense alcoholic beverages therein; and
4. The license holder shall provide security measures within the portion of the licensed premises to be used for the alcohol-free period to prevent the consumption of alcoholic beverages by persons on the premises for the alcohol-free period; and
5. The licensed premises must be designed and constructed to provide for a physical barrier between the portion of the premises used for the alcohol-free period and other portions of the premises, and the license holder shall provide security measures to separate the guests attending the alcohol-free period from any portion of the premises where alcoholic beverages are served, and from persons using the portion of the premises where alcoholic beverages are being served.
(3) A person under twenty-one (21) years of age may attend and remain in the area of an approved special event, or portion thereof, where beer, wine or sparkling winealcoholic beverages are is being sold or served provided that a special or limited Class 11 license has been issued to the license holder for such special event
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in accordance with N.D.C.C. § 5-02-01.1. A person under twenty-one (21) years of age attending or remaining within any part of the special event area shall not consume or possess an alcoholic beverage. Commented [DG17]: This change proposed due to passage of HB 1284 that becomes effective 8/1/2021 (Ord. No. 3270, § 2, 3-1-93; Ord. No. 3955, § XXXIII, 12-2-02; Ord. No. 4091, § II, 9-19-05; Ord. No. 4619, II, 6-19-17)
21-0229. - Same—Liability.
It shall be unlawful for any person under twenty-one (21) years of age to purchase, attempt to purchase, or be in possession of alcoholic beverages, or to furnish money to any person for such purpose, or to enter any licensed premises where such beverages are being sold or displayed except as permitted in this article.
(Ord. No. 3270, § 2, 3-1-93; Ord. No. 4619, § III, 6-19-17)
21-0230. - Same—Misrepresentation of age.
Any license holder may keep a book and may require anyone who has shown documentary proof of that person's age, which substantiates that person's age to allow the purchase of alcoholic beverages, to sign the book if the age of that person is in question. The book must show the date of the purchase, the identification used in making the purchase and the appropriate numbers of such identification, the address of the purchaser, and the purchaser's signature.
(Ord. No. 3270, § 2, 3-1-93)
21-0231. - Entertainment upon licensed premises.
(1) No live performances are permitted on a licensed premise which contains any form of dancing. Such prohibition on dancing does not include the incidental movement or choreography of singers or musicians which are made in connection with their singing or playing of a musical instrument.
(2) No live performances are permitted on a licensed premises which involves the removal of clothing, garments or any other costume. Such prohibition does not include the removal of headwear or footwear; or the incidental removal of a tie, suitcoat, sportcoat, jacket, sweater or similar outer garments. Incidental removal for purposes of this section shall mean the removal of a garment or article of clothing which is not a part of the act or performance.
(3) No entertainment or activity on a licensed premise shall contain:
(A) The performance of acts, or simulated acts, of sexual intercourse, masturbation, sodomy, bestiality, oral copulation, flagellation or any sexual
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acts which are prohibited by law, whether by a paid entertainer or by any patron.
(B) The actual or simulated touching, caressing or fondling of the breasts, buttocks, anus or genitals, whether by a paid entertainer or by any patron.
(C) The actual or simulated displaying of the pubic hair, anus, vulva or genitals; or the nipples of a female, whether by a paid entertainer or by any patron.
(4) A license holder shall have the duty and responsibility to make available for inspection by a member of the Grand Forks Police Department an identification card, such as a driver's license, containing a photograph and the age of all entertainers or performers on the licensed premises. The license holder shall not permit a person to make a live performance on the licensed premise if the license holder is not able to obtain the required identification from the performer.
(Ord. No. 3270, § 2, 3-1-93)
21-0232. - Drive-up window sales.
Sales of alcoholic beverages in closed containers may be made to persons in motor vehicles at drive-up windows designed for such purpose. However, it shall be unlawful to sell or serve alcoholic beverages in open containers to drivers or occupants of motor vehicles. It shall further be unlawful to serve or sell alcoholic beverages to pedestrians through drive-up windows designed and utilized for sales to persons in motor vehicles.
(Ord. No. 3270, § 2, 3-1-93)
21-0233. - Termination, revocation or suspension of license.
(1) The city council may cancel, revoke, terminate, or suspend licenses issued pursuant to this article upon the happening of any one (1) or more of the following contingencies:
(A) One (1) year after the death of the license holder if no conveyance of the license has been approved by the city council.
(B) Ninety (90) days after cessation of business upon the licensed premises.
(C) When the license holder ceases to possess the qualifications required for an applicant for a license as set out in this article.
(D) When the license or permit of the license holder from the United States government or the State of North Dakota to sell alcoholic beverages at the location licensed has been suspended, terminated or revoked.
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(E) When the license holder has been convicted of violating any of the provisions of this article.
(F) When the business of the license holder at the location licensed shall be conducted in violation of health or sanitary regulations or other ordinances of the city.
(G) When the license holder, if an individual, or one of the general partners, is convicted in any court two (2) or more times within a two-year period, or is in actual physical control of a motor vehicle while under the influence, open container of alcoholic beverages, or minor in possession of alcoholic beverages.
(H) Failure to timely open for business or complete remodeling or construction.
(I) Violation of any law relating to the operation of a liquor establishment, including, but not limited to, state, federal and local laws on liquor, gambling, prostitution, health and fire safety.
(J) The establishment is operated in such a way as to constitute a public nuisance.
(K) Refusal to cooperate with the board or the police in any investigation and the refusal to admit police officers into the establishment at any time when people are in the establishment.
(L) Failure to follow the procedures set forth in this chapter with respect to change of ownership, change of location or changes in serving area of the establishment.
(M) Nonuse of the license.
(N) The filing of a license application containing information or statements known by the applicant to be false.
(2) Such causes as are hereinbefore detailed shall not be deemed to be exclusive and such license may also be canceled and revoked or suspended, upon a fair hearing by the city council, for any cause deemed by the city council to be sufficient cause and justified by reason of public health or public safety. Such termination shall be subject only to review by the courts of the State of North Dakota.
(3) When any license is terminated or revoked for cause, or the license holder voluntarily ceases the business, no portion of the license fee previously paid shall be returned to the license holder or to anyone claiming under or through the license holder.
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(Ord. No. 3270, § 2, 3-1-93)
21-0234. - Hearing on alleged violations.
Any persons having information that a retailer of alcoholic beverages has violated any provisions of this article may file with the city attorney an affidavit specifically setting forth such violation. Upon receipt of such affidavit the city attorney may file a complaint in the municipal court or cause the matter to be set for hearing before the city council or refer the complaint to the North Dakota Attorney General's Office. A copy of the affidavit and notice of hearing shall be mailed to the license holder by registered or certified mail not less than ten (10) days before such hearing.
(Ord. No. 3270, § 2, 3-1-93; Ord. No. 4705, § I, 4-1-19)
21-0235. - Mandatory alcohol server training.
(1) No person shall work in any premises licensed under this chapter for the sale of alcoholic beverages, whether on- or off-sale, as a manager, bartender, waiter, waitress, or in any other capacity where such person may sell, serve or deliver alcoholic beverages in or from premises licensed under this chapter or whose job description entails the checking of identification for the purchase of alcoholic beverages or admittance into the licensed premises unless such person has successfully completed server training presented by the Grand Forks Police Department or by a trainer approved by the Grand Forks Police Department, and has obtained a certificate of training.
(2) All certificates of training issued under this chapter shall be valid for three (3) years from the date of issuance. The certificate of training may be renewed by its holder prior to its expiration as provided herein.
(3) All persons licensed under this chapter for the sale of alcoholic beverages, whether on- or off-sale, shall require all employees engaged in the sale, service, delivery, or management of the sale or service of alcoholic beverages, or the checking of identification for the purchase of alcoholic beverages or admittance into the licensed premise to possess certification required hereunder.
(4) Each licensee under this article shall maintain on file at its licensed premises a listing of each person employed by the licensee, identifying all employees required to obtain training under this article, date of hire for such employees, and proof of a current certificate of server training that was presented or approved by the Grand Forks Police Department for such employee.
(5) Application for server testing shall be submitted to the Grand Forks Police Department, or approved trainer, upon forms provided by the Grand Forks Police Department or approved trainer and such application shall be verified under oath and shall contain such information as determined by the Grand Forks Police
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Department to be reasonably required for the purposes of determining competency and eligibility.
(6) All training programs and instructors must be approved by the Grand Forks Police Department.
(7) All training programs shall minimally include the following topics:
(a) Reducing accessibility of alcohol to minors.
(b) Over-consumption/over-serving of alcohol.
(c) Server liability.
(d) Drunk driving.
(8) The Grand Forks Police Department shall establish and/or approve a test for those persons completing an approved training program and for those seeking to renew a certificate of training.
(9) The Grand Forks Police Department may authorize and approve a person or entity for the administration of any test or training program required hereunder.
(10) Any person having completed the approved training must attain a minimum score of seventy-five (75) percent on a test administered by, under the direction of, or approved by the Grand Forks Police Department in order to successfully complete the training and obtain or renew a certificate.
(11) Each person successfully completing the training and test will be issued a certificate by the Grand Forks Police Department, or approved trainer, establishing the date of successful completion of training.
(12) Each certificate shall expire three years from the date of issuance.
(Ord. No. 4230, § I, 5-5-08; Ord. No. 4552, § I, 11-16-15, eff. 1-1-16)
21-0236. - Penalty.
(1) Any person violating the provisions of subsection 21-0235(1) shall be subject to a fine as follows:
(a) A fine not exceeding fifty dollars ($50.00) for a first violation;
(b) A fine not exceeding one hundred dollars ($100.00) for a second violation within one year of the first violation;
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(c) A fine not exceeding two hundred dollars ($200.00) for each violation within one year of the second violation.
(2) Any person violating the provisions of subsection 21-0235(3) or (4) shall be subject to a fine not exceeding five hundred dollars ($500.00) for each violation.
(Ord. No. 4230, § II, 5-5-08; Ord. No. 4552, § II, 11-16-15, eff. 1-1-16)
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Footnotes: --- (1) --- Editor's note— Section 1 of Ord. No. 3270, adopted Mar. 1, 1993, repealed Art. 2 in its entirety. Formerly, Art. 2 consisted of §§ 21-0201—21-0240, which pertained to alcoholic beverage control and derived from the 1987 Code, as amended by the following legislation: Ord. No. Date Sec. 2892 1 9-6-88 2960 1 8-7-89 2966 1 8-7-89 2970 1 8-21-89 2973 1 9-5-89 2974 1 9-5-89 2998 1 11-20-89
Ord. No. Date Sec. 3002 1 12-4-89 3007 1 1-15-90 3039 1 6-4-90 3122 1 9-3-91 3123 1 9-3-91 3134 1 10-21-91 3194 1 4-20-92
Section 2 of Ord. No. 3270 provided for the addition of a new Art. 2 as herein set out.
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5/17/2021 Minot, ND Code of Ordinances
Sec. 5-10. - Retail delivery prohibited; exception.
It shall be unlawful for any licensed taxicab driver to make, or assist in the making of any deliveries of alcoholic beverages outside of a place of business licensed pursuant to this chapter, except when accompanied by the purchaser. Any licensed retailer, using a vehicle marked as prescribed in this section, may make deliveries of alcoholic beverages or beer. Such deliveries shall not be made during the last thirty (30) minutes the licensee is legally open for business. Any vehicle so used for making such deliveries shall have the name of the licensee painted or attached in contrasting color on the side of such delivery vehicle. Such letters shall not be less than two (2) inches high and of corresponding proportionate width. The retail licensee shall secure a receipt from the purchaser in accordance with the form prescribed by the police department. Such receipt will show:
(1) The name of the licensee making the sale.
(2) The name and age of the purchaser.
(3) The name and age of the person making the delivery.
(4) The date of the delivery and the quantity delivered.
(5) The signature of the recipient of the beverage so sold and delivered.
It shall be the responsibility of the retail licensee to retain the above prescribed form and such receipts retained shall be open to inspection by the police department. The retail licensee shall be fully responsible for any and all deliveries made by and for the licensee.
(Ord. No. 5372, § 1)
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