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6. Memo Liquor Licenses Penalties for Underage ServingCity of Scandia 14727 209 th St. N. PO Box 128, Scandia, Minnesota 55073 Phone (651) 433 -2274 Fax (651) 433 -5112 http://www.ci.scandia.mn.us DATE: April 1, 2021 TO: Honorable Mayor and City Council FROM: Ken Cammilleri, City Administrator RE: Liquor Licenses – Penalties for Underage Serving or Sale of Alchol to Minors § 110.99 The City Council previously requested to revisit the penalties imposed on liquor license holders for serving and/or selling alcoholic beverages to minors. The ordinance in question is found in Chapter 110 of the City’s General Code of Regulations. It can be found by following this link: https://codelibrary.amlegal.com/codes/scandiamn/latest/scandia_mn/0-0-0-1434 This ordinance was adopted with the intent to hold operators responsible for the service of alcohol to minors. It is a standard ordinance that supplements state laws that hold servers to account directly for service of alcohol to minors. Scandia’s ordinance is not unique. Similar local code requirements can be universally found state-wide. Licensed operators who take the appropriate precautions against the serving minors should be able to avoid facing the penalties prescribed under this ordinance. This includes carding unfamiliar customers. Based on my own personal experience having overseen a municipal liquor store in Minnesota, the risks of violating this ordinance are next to nothing, when the right procedures and practices are in place by the operator. This ordinance may frustrate operators who have been having compliance issues, but that is exactly what it was designed to do. It was intended to make conditions untenable for operators to not implement appropriate precautions so that minors are not served. That said, the continuation of this regulation and the level of penalty imposed remain at the full discretion of the City Council to decide. The current financial penalties are set based on the number of offenses over any 3-year period and can not exceed $2,000. The number of days of suspension remain mandated under the code based on the number of offenses in a 3 year period, but it leaves the City Council with the discretion on the selection of days of suspension. (The Council has traditionally left it up to the operator in violation to select the days for suspension.) In addition, the regulations also require the revocation of a license on the 4th offense in a 3-year period. Please let me know if you have any questions.