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Key: (1) language to be deleted (2) new language

                            CHAPTER 440-S.F.No. 3581 
                  An act relating to liquor; providing exceptions to the 
                  prohibition on intoxicating liquors at the state 
                  fairgrounds; modifying the definition of club; 
                  authorizing the city of Minneapolis to issue an 
                  on-sale wine and malt liquor license for the Illusion 
                  Theatre and the Hollywood Theatre; exempting 
                  winemaking-on-premises stores from state licensing 
                  with certain restrictions; authorizing exclusive 
                  liquor stores to conduct wine tastings; exempting an 
                  on-sale intoxicating liquor license in Bemidji from 
                  statutory restrictions on proximity to a state 
                  university; authorizing the cities of Duluth, 
                  Springfield, Eveleth, and Cottage Grove to issue 
                  on-sale intoxicating liquor licenses; authorizing the 
                  city of Anoka to issue an on-sale wine license; 
                  authorizing an election on Sunday liquor sales in 
                  Sherman township; amending Minnesota Statutes 1998, 
                  sections 37.21; and 340A.101, subdivision 7; Minnesota 
                  Statutes 1999 Supplement, section 340A.404, 
                  subdivision 2; Laws 1999, chapter 202, section 15; 
                  proposing coding for new law in Minnesota Statutes, 
                  chapter 340A. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 1998, section 37.21, is 
        amended to read: 
           37.21 [SALE OF LIQUORS.] 
           Subdivision 1.  [LIQUOR PROHIBITED.] No person may sell, 
        barter, give away, or otherwise dispose of or introduce, have, 
        or keep for barter, gift, or sale, any intoxicating liquors of 
        any kind upon or within one-half mile of the state fairgrounds, 
        or aid and abet any of those acts.  The presence and possession 
        of any kind of these liquors, in any quantity, upon the person 
        or upon the premises leased or occupied by any person within 
        these limits is a public nuisance and is prima facie evidence of 
        the purpose of the person to barter, give away, or sell the 
        liquor.  Any person who violates this section is guilty of a 
        misdemeanor. 
           Subd. 2.  [EXCEPTIONS.] Notwithstanding subdivision 1, the 
        state agricultural society may authorize, under terms and 
        conditions it chooses, the sale, possession, and consumption of 
        intoxicating liquors at special events taking place on the 
        fairgrounds at times other than during the annual fair 
        including, but not limited to, family reunions, class reunions, 
        weddings, conventions, and similar events.  This section does 
        not authorize the society to issue retail licenses for the sale 
        of alcoholic beverages. 
           Sec. 2.  Minnesota Statutes 1998, section 340A.101, 
        subdivision 7, is amended to read: 
           Subd. 7.  [CLUB.] "Club" is an incorporated organization 
        organized under the laws of the state for civic, fraternal, 
        social, or business purposes, for intellectual improvement, or 
        for the promotion of sports, or a congressionally chartered 
        veterans' organization, which:  
           (1) has more than 50 30 members; 
           (2) has owned or rented a building or space in a building 
        for more than one year that is suitable and adequate for the 
        accommodation of its members; 
           (3) is directed by a board of directors, executive 
        committee, or other similar body chosen by the members at a 
        meeting held for that purpose.  No member, officer, agent, or 
        employee shall receive any profit from the distribution or sale 
        of beverages to the members of the club, or their guests, beyond 
        a reasonable salary or wages fixed and voted each year by the 
        governing body. 
           Sec. 3.  Minnesota Statutes 1999 Supplement, 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, and the State 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, 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, and to 
        the Theatre de la Jeune Lune, the Illusion Theatre located at 
        528 Hennepin Avenue South, and the Hollywood Theatre located at 
        2815 Johnson Street Northeast, 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. 
           Sec. 4.  [340A.34] [WINEMAKING ON PREMISES STORE.] 
           A commercial establishment in which individuals make wine 
        on the premises for personal and family use only and not for 
        resale, using ingredients or materials or both supplied by the 
        establishment, is not required to be licensed under this chapter 
        if the establishment is operated in accordance with Code of 
        Federal Regulations, title 27, section 24.75.  No person under 
        the age of 21 years may participate in the making of wine in 
        such an establishment.  Alcoholic beverages may not be sold or 
        otherwise provided to customers of an establishment described in 
        this section unless the establishment holds the appropriate 
        license for such sale or provision. 
           Sec. 5.  [340A.419] [WINE TASTINGS CONDUCTED BY EXCLUSIVE 
        LIQUOR STORE.] 
           Subdivision 1.  [DEFINITION.] For purposes of this section, 
        a "wine tasting" is an event of not more than four hours' 
        duration at which persons pay a fee to participate and are 
        allowed to consume wine by the glass without paying a separate 
        charge for each glass. 
           Subd. 2.  [TASTINGS.] (a) Notwithstanding any other law, an 
        exclusive liquor store may conduct a wine tasting on the 
        premises of a holder of an on-sale intoxicating liquor license 
        that is not a temporary license if the exclusive liquor store 
        complies with this section. 
           (b) No wine at a wine tasting under this section may be 
        sold for off-premises consumption.  A participant in the tasting 
        may fill out a form indicating preferences for wine.  The form 
        may be held on the premises of the exclusive liquor store to 
        assist the participant in making an off-sale purchase at a later 
        date. 
           (c) Notwithstanding any other law, an exclusive liquor 
        store may purchase or otherwise obtain wine for a wine tasting 
        conducted under this section from a wholesaler licensed to sell 
        wine.  The wholesaler may sell or give wine to an exclusive 
        liquor store for a wine tasting conducted under this section and 
        may provide personnel to assist in the wine tasting. 
           (d) An exclusive liquor store that conducts a wine tasting 
        under this section must use any fees collected from participants 
        in the tasting only to defray the cost of conducting the tasting.
           Sec. 6.  Laws 1999, chapter 202, section 15, is amended to 
        read: 
           Sec. 15.  [CITY OF BEMIDJI; LIQUOR LICENSE.] 
           The city of Bemidji may issue one on-sale intoxicating 
        liquor license in addition to the number authorized by law.  All 
        provisions of Minnesota Statutes, chapter 340A, not inconsistent 
        with this section, other than Minnesota Statutes, section 
        340A.412, subdivision 4, paragraph (a), clause (8), apply to the 
        licenses license authorized under this section. 
           Sec. 7.  [CITY OF DULUTH; LAKE SUPERIOR CENTER AUTHORITY.] 
           Notwithstanding any law, ordinance, or charter provision to 
        the contrary, the city of Duluth may issue an on-sale 
        intoxicating liquor license to the Lake Superior Center 
        authority for certain events at the Lake Superior Center.  The 
        license shall limit the sale of intoxicating liquor to persons 
        leasing space in the Lake Superior Center and their guests for 
        the purpose of conducting any convention, banquet, conference, 
        meeting, or social affair.  The fee for the license shall be set 
        by the Duluth city council.  The license must be issued in 
        accordance with laws governing issuance of on-sale intoxicating 
        liquor licenses in cities of the first class not inconsistent 
        with this section and with city charter provisions and 
        ordinances not inconsistent with this section. 
           Sec. 8.  [CITY OF SPRINGFIELD; AUTHORIZATION.] 
           The city of Springfield may authorize a holder of a retail 
        on-sale intoxicating liquor license issued by the city to 
        dispense intoxicating liquor at an event on December 31, 2000, 
        and January 1, 2001, at a facility owned by the city, 
        notwithstanding Minnesota Statutes, section 340A.504, 
        subdivision 3.  All provisions of Minnesota Statutes, section 
        340A.404, subdivision 4, paragraph (a), apply to the authority 
        granted under this section.  All provisions of Minnesota 
        Statutes, chapter 340A, not inconsistent with this section, 
        apply to the license authorized under this section. 
           Sec. 9.  [CITY OF EVELETH; LIQUOR LICENSE.] 
           Notwithstanding other law, the city of Eveleth may issue 
        one on-sale intoxicating liquor license to the Quad Cities Joint 
        Recreational Center authority.  The authority may, but shall not 
        be required to, contract with an independent contractor to 
        operate the on-sale liquor establishment.  The independent 
        contractor need not hold a license in its own name.  All 
        provisions of Minnesota Statutes, chapter 340A, not inconsistent 
        with this section, apply to the license authorized under this 
        section. 
           Sec. 10.  [WINE LICENSE; MAIN STREET STAGE THEATRE.] 
           The city of Anoka may issue an on-sale wine license to the 
        Lyric Arts Company of Anoka, Inc. for the Main Street Stage 
        Theatre.  The license authorizes sales 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. 
           Sec. 11.  [CITY OF COTTAGE GROVE; LIQUOR LICENSE.] 
           The city of Cottage Grove may issue to the Cottage Grove 
        economic development authority, and the Cottage Grove economic 
        development authority may hold, an on-sale intoxicating liquor 
        license for the River Oaks golf course grounds, clubhouse, and 
        restaurant located in the city of Cottage Grove.  The provisions 
        of Minnesota Statutes, chapter 340A, not inconsistent with this 
        section, apply to the license issued under this section.  The 
        provisions of Minnesota Statutes, sections 340A.603 and 
        340A.604, apply to the establishment licensed under this section 
        as if the establishment were a municipal liquor store, provided 
        that the commissioner of public safety may not impose any 
        penalty on the establishment under those sections if the city 
        has imposed a comparable or greater penalty on the licensee for 
        the same offense. 
           Sec. 12.  [CITY OF COTTAGE GROVE; LIABILITY.] 
           The city of Cottage Grove is the licensee under section 11 
        for purposes of compliance with Minnesota Statutes, section 
        340A.409.  The city of Cottage Grove is deemed the seller of 
        alcoholic beverages under the license authorized by section 11 
        for purposes of Minnesota Statutes, sections 340A.801 and 
        340A.802. 
           Sec. 13.  [INTOXICATING LIQUOR; SUNDAY SALES; ON-SALE; 
        SHERMAN TOWNSHIP.] 
           An election conducted in Sherman township in Redwood county 
        on the question of the issuance by the county of Sunday sales 
        licenses to establishments located in the town may be held on 
        the day of the annual election of town officers or at a special 
        election called and conducted by the town board.  The cost of 
        the election must be borne by the applicant for the Sunday sales 
        license. 
           Sec. 14.  [EFFECTIVE DATE; LOCAL APPROVAL.] 
           Section 3 is effective the day after the governing body of 
        Minneapolis and its chief clerical officer timely complete their 
        compliance with Minnesota Statutes, section 645.021, 
        subdivisions 2 and 3.  Section 6 is effective the day after the 
        governing body of Bemidji and its chief clerical officer timely 
        complete their compliance with Minnesota Statutes, section 
        645.021, subdivisions 2 and 3.  Section 7 is effective the day 
        after the governing body of Duluth and its chief clerical 
        officer timely complete their compliance with Minnesota 
        Statutes, section 645.021, subdivisions 2 and 3.  Section 8 is 
        effective the day after the governing body of Springfield and 
        its chief clerical officer timely complete their compliance with 
        Minnesota Statutes, section 645.021, subdivisions 2 and 3.  
        Section 9 is effective the day after the governing body of 
        Eveleth and its chief clerical officer timely complete their 
        compliance with Minnesota Statutes, section 645.021, 
        subdivisions 2 and 3.  Section 10 is effective the day after the 
        governing body of Anoka and its chief clerical officer timely 
        complete their compliance with Minnesota Statutes, section 
        645.021, subdivisions 2 and 3.  Sections 11 and 12 are effective 
        on approval by the Cottage Grove city council and compliance 
        with Minnesota Statutes, section 645.021.  Section 13 is 
        effective the day after the governing body of Sherman township 
        in Redwood county and its chief clerical officer timely complete 
        their compliance with Minnesota Statutes, section 645.021, 
        subdivisions 2 and 3. 
           Presented to the governor April 20, 2000 
           Signed by the governor April 24, 2000, 1:48 p.m.

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Revisor of Statutes