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5.f Tobacco License Renewals Staff Report Date of Meeting: December 17, 2019 To: City Council From: Brenda Eklund, Deputy Clerk Re: Tobacco License Renewals Background: Ordinance No. 212 regulates the sale and use of tobacco products within the City of Scandia. The Washington County Sheriff’s Department conducts compliance checks and reviews license applications on behalf of the City. Five businesses in Scandia have annual tobacco products licenses which expire on December 31, 2019. Scandia Olde Towne Liquor and Federated Coops were approved for 2020 renewals on November 19, 2019. Issue: Should renewal of the following tobacco licenses be approved? Proposal Details: The following businesses have applied for renewal of tobacco products sales licenses: • Scandia Tobacco • Big Marine Lake Liquor Store • Big Marine Lake Store The applications meet the requirements of Ordinance No. 212 regulating the sale of tobacco products. License fees have been paid. Upon completion of the requested investigations for the businesses, the Sheriff’s office found no reasons not to renew the licenses for Scandia Tobacco, Big Marine Lake Liquor Store and Big Marine Lake Store. However, Scandia Tobacco failed a compliance check on October 18, 2019 when one of the employees sold tobacco to an underage person. At the time of the failure, the legal age for tobacco sales was 18. The case is moving through the County Attorney’s office for charges of a Gross Misdemeanor, Sale of Tobacco to Children Under 18 Years Old and the business owner will be fined $100 for a first violation under the previous Ordinance No. 92, which was in effect at the time. Options: 1) Approve the renewal of tobacco sales licenses for the following businesses: • Scandia Tobacco • Big Marine Lake Liquor Store • Big Marine Lake Store 2) Delay action on the tobacco license renewals. 3) Do not approve the tobacco license renewals. Recommendation: Option 1.