1.1 	A bill for an act
1.2 	relating to liquor; modifying provisions relating to municipal liquor stores;
1.3 	amending Minnesota Statutes 2014, section 340A.601, subdivisions 5, 7.
1.4 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.5 	Section 1. Minnesota Statutes 2014, section 340A.601, subdivision 5, is amended to 
1.6 	read:
1.7 		Subd. 5.Issuance of licenses to private persons. A city owning and operating a 
1.8 	municipal liquor store may issue on-sale liquor licenses to hotels, clubs, and restaurants. A 
1.9 	city issuing on-sale licenses under this subdivision may continue to operate the municipal 
1.10 	liquor store or may resume operation of a municipal liquor store previously discontinued.
1.11 	The number of on-sale licenses issued under this section by a city is governed by 
1.12 	section 340A.413.
1.13 	A city may not issue licenses under this section, other than a license issued to a 
1.14 	club under section 340A.404, subdivision 1, clause (4), until authorized by the voters of 
1.15 	the city voting on the question at a special election called for that purpose. All other 
1.16 	provisions of this chapter, applying to the licensing of intoxicating liquor for on-sale or 
1.17 	off-sale, apply to a city with a municipal liquor store under this section. If a city denies 
1.18 	a retail license under this chapter to a private interest, it must be for a reason consistent 
1.19 	with section 340A.402, or other law. The city may not deny a license on the grounds that 
1.20 	it will provide competition to the municipal liquor store.

1.21 	Sec. 2. Minnesota Statutes 2014, section 340A.601, subdivision 7, is amended to read:
1.22 		Subd. 7.Notice of intent. A city which has issued retail intoxicating liquor 
1.23 	licenses may not establish a municipal liquor store until one year after publishing a 
2.1 	notice of its intention in the city's legal newspaper. The city must provide in the notice 
2.2 	if the municipality will be engaging in the sale of intoxicating liquor to the exclusion of 
2.3 	all private interests.