Key: (1) language to be deleted (2) new language
CHAPTER 131-S.F.No. 664 An act relating to alcoholic beverages; modifying brewpub regulations; regulating wine tastings; providing for uniform off-sale hours statewide; regulating Sunday on-sales; authorizing certain on-sale licenses; amending Minnesota Statutes 2004, sections 340A.301, subdivisions 6, 7; 340A.404, subdivision 2; 340A.412, subdivision 14; 340A.417; 340A.418; 340A.503, by adding a subdivision; 340A.504, subdivisions 1, 3, 4; Laws 2000, chapter 440, section 10; Laws 2003, chapter 126, section 28. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: Section 1. Minnesota Statutes 2004, section 340A.301, subdivision 6, is amended to read: Subd. 6. [FEES.] The annual fees for licenses under this section are as follows: (a) Manufacturers (except as provided in clauses (b) and (c)) $15,000 Duplicates $ 3,000 (b) Manufacturers of wines of not more than 25 percent alcohol by volume $ 500 (c) Brewers other than those described in clauses (d) and (i) $ 2,500 (d) Brewers who also hold one or more retail on-sale licenses and who manufacture fewer than 3,500 barrels of malt liquor in a year, at any one licensed premises,using only wort producedin Minnesota,the entire production of which is solely for consumption on tap on the licensed premises or for off-sale from that licensed premises. A brewer licensed under this clause must obtain a separate license for each licensed premises where the brewer brews malt liquor. A brewer licensed under this clause may not be licensed as an importer under this chapter $ 500 (e) Wholesalers (except as provided in clauses (f), (g), and (h)) $15,000 Duplicates $ 3,000 (f) Wholesalers of wines of not more than 25 percent alcohol by volume $ 2,000 (g) Wholesalers of intoxicating malt liquor $ 600 Duplicates $ 25 (h) Wholesalers of 3.2 percent malt liquor $ 10 (i) Brewers who manufacture fewer than 2,000 barrels of malt liquor in a year $ 150 If a business licensed under this section is destroyed, or damaged to the extent that it cannot be carried on, or if it ceases because of the death or illness of the licensee, the commissioner may refund the license fee for the balance of the license period to the licensee or to the licensee's estate. Sec. 2. Minnesota Statutes 2004, section 340A.301, subdivision 7, is amended to read: Subd. 7. [INTEREST IN OTHER BUSINESS.] (a) Except as provided in this subdivision, a holder of a license as a manufacturer, brewer, importer, or wholesaler may not have any ownership, in whole or in part, in a business holding a retail intoxicating liquor or 3.2 percent malt liquor license. The commissioner may not issue a license under this section to a manufacturer, brewer, importer, or wholesaler if a retailer of intoxicating liquor has a direct or indirect interest in the manufacturer, brewer, importer, or wholesaler. A manufacturer or wholesaler of intoxicating liquor may use or have property rented for retail intoxicating liquor sales only if the manufacturer or wholesaler has owned the property continuously since November 1, 1933. A retailer of intoxicating liquor may not use or have property rented for the manufacture or wholesaling of intoxicating liquor. (b) A brewer licensed under subdivision 6, clause (d), may be issued an on-sale intoxicating liquor or 3.2 percent malt liquor license by a municipality for a restaurant operated in the place of manufacture. Notwithstanding section 340A.405, a brewer who holds an on-sale license issued pursuant to this paragraph may, with the approval of the commissioner, be issued a license by a municipality for off-sale of malt liquor produced and packaged on the licensed premises. Off-sale of malt liquor shall be limited to the legal hours for off-sale at exclusive liquor stores in the jurisdiction in which the brewer is located, and the malt liquor sold off-sale must be removed from the premises before the applicable off-sale closing time at exclusive liquor stores. The malt liquor shall be packaged in 64-ounce containers commonly known as "growlers." The containers shall bear a twist-type closure, cork, stopper, or plug. At the time of the sale, a paper or plastic adhesive band, strip, or sleeve shall be applied to the container and extend over the top of the twist-type closure, cork, stopper, or plug forming a seal that must be broken upon opening of the container. The adhesive band, strip, or sleeve shall bear the name and address of the brewer. The containers shall be identified as malt liquor, contain the name of the malt liquor, bear the name and address of the brewer selling the malt liquor, and shall be considered intoxicating liquor unless the alcoholic content is labeled as otherwise in accordance with the provisions of Minnesota Rules, part 7515.1100. A brewer's total retail sales at on- or off-sale under this paragraph may not exceed 3,500 barrels per year, provided that off-sales may not total more than50 percent of the brewer's production or500 barrels, whichever is less. A brewer licensed under subdivision 6, clause (d), may hold or have an interest in other retail on-sale licenses, but may not have an ownership interest in whole or in part, or be an officer, director, agent, or employee of, any other manufacturer, brewer, importer, or wholesaler, or be an affiliate thereof whether the affiliation is corporate or by management, direction, or control. Notwithstanding this prohibition, a brewer licensed under subdivision 6, clause (d), may be an affiliate or subsidiary company of a brewer licensed in Minnesota or elsewhere if that brewer's only manufacture of malt liquor is: (i) manufacture licensed under subdivision 6, clause (d); (ii) manufacture in another state for consumption exclusively in a restaurant located in the place of manufacture; or (iii) manufacture in another state for consumption primarily in a restaurant located in or immediately adjacent to the place of manufacture if the brewer was licensed under subdivision 6, clause (d), on January 1, 1995. (c) Except as provided in subdivision 7a, no brewer as defined in subdivision 7a or importer may have any interest, in whole or in part, directly or indirectly, in the license, business, assets, or corporate stock of a licensed malt liquor wholesaler. Sec. 3. Minnesota Statutes 2004, section 340A.404, subdivision 2, is amended to read: Subd. 2. [SPECIAL PROVISION; CITY OF MINNEAPOLIS.] (a) The city of Minneapolis may issue an on-sale intoxicating liquor license to the Guthrie Theater, the Cricket Theatre, the Orpheum Theatre, the State Theatre, and the Historic Pantages Theatre, notwithstanding the limitations of law, or local ordinance, or charter provision relating to zoning or school or church distances. The licenses authorize sales on all days of the week to holders of tickets for performances presented by the theaters and to members of the nonprofit corporations holding the licenses and to their guests. (b) The city of Minneapolis may issue an intoxicating liquor license to 510 Groveland Associates, a Minnesota cooperative, for use by a restaurant on the premises owned by 510 Groveland Associates, notwithstanding limitations of law, or local ordinance, or charter provision. (c) The city of Minneapolis may issue an on-sale intoxicating liquor license to Zuhrah Shrine Temple for use on the premises owned by Zuhrah Shrine Temple at 2540 Park Avenue South in Minneapolis, and to the American Swedish Institute for use on the premises owned by the American Swedish Institute at 2600 Park Avenue South, notwithstanding limitations of law, or local ordinances, or charter provision relating to zoning or school or church distances. (d) The city of Minneapolis may issue an on-sale intoxicating liquor license to the American Association of University Women, Minneapolis branch, for use on the premises owned by the American Association of University Women, Minneapolis branch, at 2115 Stevens Avenue South in Minneapolis, notwithstanding limitations of law, or local ordinances, or charter provisions relating to zoning or school or church distances. (e) The city of Minneapolis may issue an on-sale wine license and an on-sale 3.2 percent malt liquor license to a restaurant located at 5000 Penn Avenue South, and an on-sale wine license and an on-sale malt liquor license to a restaurant located at 1931 Nicollet Avenue South, notwithstanding any law or local ordinance or charter provision. (f) The city of Minneapolis may issue an on-sale wine license and an on-sale malt liquor license to the Brave New Workshop Theatre located at 3001 Hennepin Avenue South, the Theatre de la Jeune Lune, the Illusion Theatre located at 528 Hennepin Avenue South, the Hollywood Theatre located at 2815 Johnson Street Northeast, the Loring Playhouse located at 1633 Hennepin Avenue South, the Jungle Theater located at 2951 Lyndale Avenue South, Brave New Institute located at 2605 Hennepin Avenue South, the Guthrie Lab located at 700 North First Street, and the Southern Theatre located at 1420 Washington Avenue South, notwithstanding any law or local ordinance or charter provision. The license authorizes sales on all days of the week. (g) The city of Minneapolis may issue an on-sale intoxicating liquor license to University Gateway Corporation, a Minnesota nonprofit corporation, for use by a restaurant or catering operator at the building owned and operated by the University Gateway Corporation on the University of Minnesota campus, notwithstanding limitations of law, or local ordinance or charter provision. The license authorizes sales on all days of the week. (h) The city of Minneapolis may issue an on-sale intoxicating liquor license to the Guthrie Theater's concessionaire or operator for a restaurant and catering operator on the premises of the Guthrie Theater, notwithstanding limitations of law, local ordinance, or charter provisions. The license authorizes sales on all days of the week. [EFFECTIVE DATE.] This section is effective the day following final enactment. Sec. 4. Minnesota Statutes 2004, section 340A.412, subdivision 14, is amended to read: Subd. 14. [EXCLUSIVE LIQUOR STORES.] (a) Except as otherwise provided in this subdivision, an exclusive liquor store may sell only the following items: (1) alcoholic beverages; (2) tobacco products; (3) ice; (4) beverages, either liquid or powder, specifically designated for mixing with intoxicating liquor; (5) soft drinks; (6) liqueur-filled candies; (7) food products that contain more than one-half of one percent alcohol by volume; (8) cork extraction devices; (9) books and videos on the use of alcoholic beverages; (10) magazines and other publications published primarily for information and education on alcoholic beverages; and (11) home brewing equipment. (b) An exclusive liquor store that has an on-sale, or combination on-sale and off-sale license may sell food for on-premise consumption when authorized by the municipality issuing the license. (c) An exclusive liquor store may offer live or recorded entertainment. Sec. 5. Minnesota Statutes 2004, section 340A.417, is amended to read: 340A.417 [SHIPMENTS INTO MINNESOTA.] (a) Notwithstanding section 297G.07, subdivision 2, or any provision of this chapter, a winery licensed in a statewhichaffords Minnesota wineries an equal reciprocal shippingprivilegeother than Minnesota, or a winery located in Minnesota, may ship, for personal use and not for resale, not more than two cases of wine, containing a maximum of nine liters per case, in any calendar year to any resident of Minnesota age 21 or over. Delivery of a shipment under this section may not be deemed a sale in this state. (b) The shipping container of any wine sent under this section must be clearly marked "Alcoholic Beverages: adult signature (over 21 years of age) required.". (c) No person may (1) advertise shipments authorized under this section, (2) by advertisement or otherwise, solicit shipments authorized by this section, or (3) accept orders for shipments authorized by this section by use of the Internet. No shipper located outside Minnesota may advertise interstate reciprocal wine shipments in Minnesota. (d) It is not the intent of this section to impair the distribution of wine through distributors or importing distributors, but only to permit shipments of wine for personal use. (e) No criminal penalty may be imposed on a person for a violation of this section other than a violation described in paragraph (f) or (g). Whenever it appears to the commissioner that any person has engaged in any act or practice constituting a violation of this section, and the violation is not within two years of any previous violation of this section, the commissioner shall issue and cause to be served upon the person an order requiring the person to cease and desist from violating this section. The order must give reasonable notice of the rights of the person to request a hearing and must state the reason for the entry of the order. Unless otherwise agreed between the parties, a hearing shall be held not later than seven days after the request for the hearing is received by the commissioner after which and within 20 days after the receipt of the administrative law judge's report and subsequent exceptions and argument, the commissioner shall issue an order vacating the cease and desist order, modifying it, or making it permanent as the facts require. If no hearing is requested within 30 days of the service of the order, the order becomes final and remains in effect until modified or vacated by the commissioner. All hearings shall be conducted in accordance with the provisions of chapter 14. If the person to whom a cease and desist order is issued fails to appear at the hearing after being duly notified, the person shall be deemed in default, and the proceeding may be determined against the person upon consideration of the cease and desist order, the allegations of which may be deemed to be true. (f) Any person who violates this section within two years of a violation for which a cease and desist order was issued under paragraph (e), is guilty of a misdemeanor. (g) Any person who commits a third or subsequent violation of this section, including a violation for which a cease and desist order was issued under paragraph (c), within any subsequent two-year period is guilty of a gross misdemeanor. [EFFECTIVE DATE.] This section is effective the day following final enactment. Sec. 6. Minnesota Statutes 2004, section 340A.418, is amended to read: 340A.418 [WINE TASTINGS.] Subdivision 1. [DEFINITION.] For purposes of this section, a "wine tasting" is an eventof not more than four hours'durationat which persons pay a fee or donation to participate, and are allowed to consume wine by the glass without paying a separate charge for each glass. Subd. 2. [TASTINGS AUTHORIZED.] (a) A charitable, religious, or other nonprofit organization may conduct a wine tasting of not more than four hours duration on premises the organization owns or leases or has use donated to it, or on the licensed premises of a holder of an on-sale intoxicating liquor license that is not a temporary license, if the organization holds a temporary on-sale intoxicating liquor license under section 340A.404, subdivision 10, and complies with this section. An organization holding a temporary license may be assisted in conducting the wine tasting by another nonprofit organization. (b) An organization that conducts a wine tasting under this section may use the net proceeds from the wine tasting only for: (1) the organization's primary nonprofit purpose; or (2) donation to another nonprofit organization assisting in the wine tasting, if the other nonprofit organization uses the donation only for that organization's primary nonprofit purpose. (c) No wine at a wine tasting under this section may be sold, or orders taken, for off-premises consumption. (d) Notwithstanding any other law, an organization may purchase or otherwise obtain wine for a wine tasting conducted under this section from a wholesaler licensed to sell wine, and the wholesaler may sell or give wine to an organization for a wine tasting conducted under this section and may provide personnel to assist in the wine tasting. A wholesaler who sells or gives wine to an organization for a wine tasting under this section must deliver the wine directly to the location where the wine tasting is conducted. (e) This section does not prohibit or restrict a wine tasting that is: (1) located on on-sale premises where no charitable organization is participating; or (2) located on on-sale premises where the proceeds are for a designated charity but where the tasting is primarily for educational purposes. (f) The four-hour limitation specified in paragraph (a) shall not apply to a wine tasting at a convention of fine wine and gourmet food exhibitors, provided the convention has at least 100 exhibitors and takes place over not more than three days. Sec. 7. Minnesota Statutes 2004, section 340A.503, is amended by adding a subdivision to read: Subd. 5a. [ATTAINMENT OF AGE.] With respect to purchasing, possessing, consuming, selling, furnishing, and serving alcoholic beverages, a person is not 21 years of age until 8:00 a.m. on the day of that person's 21st birthday. [EFFECTIVE DATE.] This section is effective the day following final enactment. Sec. 8. Minnesota Statutes 2004, section 340A.504, subdivision 1, is amended to read: Subdivision 1. [3.2 PERCENT MALT LIQUOR.] No sale of 3.2 percent malt liquor may be made between 2:00 a.m. and 8:00 a.m. on the days of Monday through Saturday, nor between 2:00 a.m. and12:00 noon10:00 a.m. on Sunday, provided that anestablishment located on land owned by the Metropolitan SportsCommission, or the sports arena for which one or more licenseshave been issued under section 340A.404, subdivision 2,paragraph (c), may sell 3.2 percent malt liquor between 10:00a.m. and 12:00 noon on a Sunday on which a sports or other eventis scheduled to begin at that location on or before 1:00 p.m. ofthat day. Sec. 9. Minnesota Statutes 2004, section 340A.504, subdivision 3, is amended to read: Subd. 3. [INTOXICATING LIQUOR; SUNDAY SALES; ON-SALE.] (a) A restaurant, club, bowling center, or hotel with a seating capacity for at least 30 persons and which holds an on-sale intoxicating liquor license may sell intoxicating liquor for consumption on the premises in conjunction with the sale of food between the hours of12:00 noon10:00 a.m. on Sundays and 2:00 a.m. on Mondays. (b)The governing body of a municipality may after onepublic hearing by ordinance permit a restaurant, hotel, bowlingcenter, or club to sell alcoholic beverages for consumption onthe premises in conjunction with the sale of food between thehours of 10:00 a.m. on Sundays and 2:00 a.m. on Mondays,provided that the licensee is in conformance with the MinnesotaClean Air Act.(c)An establishment serving intoxicating liquor on Sundays must obtain a Sunday license. The license must be issued by the governing body of the municipality for a period of one year, and the fee for the license may not exceed $200.(d)(c) A city may issue a Sunday intoxicating liquor license only if authorized to do so by the voters of the city voting on the question at a general or special election. A county may issue a Sunday intoxicating liquor license in a town only if authorized to do so by the voters of the town as provided in paragraph(e)(d). A county may issue a Sunday intoxicating liquor license in unorganized territory only if authorized to do so by the voters of the election precinct that contains the licensed premises, voting on the question at a general or special election.(e)(d) An election conducted in a town on the question of the issuance by the county of Sunday sales licenses to establishments located in the town must be held on the day of the annual election of town officers.(f)(e) Voter approval is not required for licenses issued by the Metropolitan Airports Commission or common carrier licenses issued by the commissioner. Common carriers serving intoxicating liquor on Sunday must obtain a Sunday license from the commissioner at an annual fee of $50, plus $20 for each duplicate. Sec. 10. Minnesota Statutes 2004, section 340A.504, subdivision 4, is amended to read: Subd. 4. [INTOXICATING LIQUOR; OFF-SALE.] No sale of intoxicating liquor may be made by an off-sale licensee: (1) on Sundays; (2) before 8:00 a.m. or after 10:00 p.m. on Monday through Saturday; (3)after 10:00 p.m. on Monday through Saturday at anestablishment located in a city other than a city of the firstclass or within a city located within 15 miles of a city of thefirst class in the same county;(4) after 8:00 p.m. on Monday through Thursday and after10:00 p.m. on Friday and Saturday at an establishment located ina city of the first class or within a city located within 15miles of a city of the first class in the same county, providedthat an establishment may sell intoxicating liquor until 10:00p.m. on December 31 and July 3, and on the day precedingThanksgiving day, unless otherwise prohibited under clause (1);(5)on Thanksgiving Day;(6)(4) on Christmas Day, December 25; or(7)(5) after 8:00 p.m. on Christmas Eve, December 24. Sec. 11. Laws 2000, chapter 440, section 10, is amended to read: Sec. 10. [WINE LICENSE; MAIN STREET STAGE THEATRE.] The city of Anoka may issue an on-sale wine and malt liquor license to the Lyric Arts Company of Anoka, Inc. for the Main Street Stage Theatre. The license authorizes sales of wine and malt liquor on all days of the week to holders of tickets for performances at the theater. All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section, apply to the license authorized under this section. [EFFECTIVE DATE.] This section is effective on approval by the Anoka City Council and compliance with Minnesota Statutes, section 645.021. Sec. 12. Laws 2003, chapter 126, section 28, is amended to read: Sec. 28. [ELKO SPEEDWAY; ON-SALE LICENSE.] Notwithstanding Minnesota Statutes, section 340A.404, subdivision 1, the city of Elko may issue an on-sale intoxicating liquor license to the Elko Speedway in addition to the number authorized by law. The license may authorize salesonlyboth to persons attendingracingany and all events, and sales in a restaurant/bar/banquet facility, at the speedway. The license authorizes sales on all days of the week. All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this provision, apply to the license authorized under this section. The license may be issued for a space that is not compact and contiguous, provided that the licensed premises may include only the space within the fencedgrandstandarea as described in the approved license application. [EFFECTIVE DATE.] This section is effective upon approval by the Elko City Council and compliance with Minnesota Statutes, section 645.021. Sec. 13. [BRECKENRIDGE; ON-SALE LICENSE.] Notwithstanding Minnesota Statutes, section 340A.404, subdivision 1, or any other law to the contrary, the city of Breckenridge may issue a seasonal on-sale intoxicating liquor license to the Bois de Sioux Golf Club for the nine holes of the golf course located in Breckenridge. The license may authorize sales only to persons that are patrons of the golf course or persons attending tournaments or special events hosted on the premises. The license authorizes sales on all days of the week. [EFFECTIVE DATE.] This section is effective the day following final enactment. Sec. 14. [CITY OF CALEDONIA; LIQUOR LICENSE.] Notwithstanding any other law, the city of Caledonia may issue an on-sale intoxicating liquor license to Caledonia Area Community Charities, Inc., for the Four Seasons Center in Caledonia. The license authorizes the licensee to dispense intoxicating liquor only to persons attending events at the center. All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section, apply to the license authorized under this section. [EFFECTIVE DATE.] This section is effective the day following final enactment. Sec. 15. [DETROIT LAKES; ON-SALE.] Notwithstanding Minnesota Statutes, section 340A.404, subdivision 1, the city of Detroit Lakes may issue an on-sale intoxicating liquor license, or an on-sale wine license and an on-sale malt liquor license, to the Castaway Inn and Resort located at 1200 East Shore Drive, notwithstanding any law, local ordinance, or charter provision. The license may authorize sales only to persons who are registered guests at the lodging establishment, their invitees, or persons attending the spa, a conference, a meeting, or other events at the lodging establishment. The license authorizes sales on all days of the week. Sec. 16. [CITY OF DULUTH; ON-SALE LICENSE.] Notwithstanding any other law, local ordinance, or charter provision, the city of Duluth may issue an on-sale intoxicating liquor license for the premises known and used as the Enger Park Golf Course, or for any portion of the premises as described in the approved license application. The license may be issued to the city or to any person or corporation under contract or agreement with the city with respect to operation of the golf course. All provisions of Minnesota Statutes, chapter 340A, not inconsistent herewith, apply to the license authorized under this section. [EFFECTIVE DATE.] This section is effective the day following final enactment. Sec. 17. [CITY OF EDEN PRAIRIE; ON-SALE LICENSE.] Notwithstanding any law, local ordinance, or charter provision, the city of Eden Prairie may issue an on-sale intoxicating liquor license to any entity holding an operating food service contract with the city for the operation of the cafeteria, for use by the entity at the premises owned by the city of Eden Prairie, at 8080 Mitchell Road in Eden Prairie. The license authorizes sales on all days of the week to persons attending special events in the cafeteria. The licensee may not dispense intoxicating liquor to any person attending or participating in an amateur athletic event held on the premises unless such dispensing is authorized by resolution of the city council. The license authorized by this subdivision may be issued for space that is not compact and contiguous, provided that all such space is within the City Center building and is included in the description of the licensed premises on the approved license application. [EFFECTIVE DATE.] This section is effective the day following final enactment. Sec. 18. [MANKATO; ON-SALE INTOXICATING LIQUOR LICENSE.] The city of Mankato may issue an on-sale intoxicating liquor license to the premises known as the Midwest Wireless Civic Center. The license authorizes sales on all days of the week to persons attending events at the center. All provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section, apply to the license authorized under this section. [EFFECTIVE DATE.] This section is effective the day following final enactment. Sec. 19. [OFF-SALE INTOXICATING LIQUOR LICENSE; MILLE LACS COUNTY.] Notwithstanding Minnesota Statutes, section 340A.405, subdivision 2, paragraph (e), the Mille Lacs County Board may issue an off-sale intoxicating liquor license to an exclusive liquor store located in Eastside Township. All other provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section, apply to the license authorized under this section. [EFFECTIVE DATE.] This section is effective the day following final enactment. Presented to the governor May 31, 2005 Signed by the governor June 2, 2005, 5:20 p.m.
Official Publication of the State of Minnesota
Revisor of Statutes