TITLE 8 ALCOHOLIC BEVERAGES¹ CHAPTER 1 ALCOHOLIC BEVERAGES - PDF

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1 Rev. 5/2011 CHAPTER 1. INTOXICATING LIQUORS. 2. BEER. TITLE 8 ALCOHOLIC BEVERAGES¹ CHAPTER 1 ALCOHOLIC BEVERAGES SECTION Alcoholic beverages subject to regulation Definitions Manufacturing

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1 Rev. 5/2011 CHAPTER 1. INTOXICATING LIQUORS. 2. BEER. TITLE 8 ALCOHOLIC BEVERAGES¹ CHAPTER 1 ALCOHOLIC BEVERAGES SECTION Alcoholic beverages subject to regulation Definitions Manufacturing prohibited within corporate limits Selling prohibited within corporate limits License required Limitations on issuance of license Limitations on number of licenses Bonds of licensees Retailer's license Display of license Transfer of licenses restricted Expiration date of license New license after revocation Federal license; effect of Inspection fee Regulations for purchase and sale of intoxicating liquors Solicitation Regulations of retail sales Failure to pay inspection fee Mayor to determine if provisions are being complied with Violation and penalty Visible possession prohibited. ¹Municipal code reference Alcoholic beverage tax: title 5. State law reference Tennessee Code Annotated, title 57. 2 Rev. 5/ Alcoholic beverages subject to regulation. It shall be unlawful to engage in the business of selling, storing, transporting, distributing, or to purchase or possess alcoholic beverages within the corporate limits of this municipality except as provided by Tennessee Code Annotated, title 57, by rules and regulations promulgated thereunder, and as provided in this chapter. (Ord. # , Jan. 1973) Definitions. Whenever used herein unless the context requires otherwise: (1) Alcoholic beverage or beverage means and includes alcohol, spirits, liquor, wine and every liquid containing alcohol, spirits, wine and capable of being consumed by a human being, other than patented medicine, beer, or wine, where the latter two (2) contain an alcoholic content of five per cent (5%) by weight, or less. (2) License means the license issued herein and licensee means any person to whom such license has been issued. (3) Retailer means any person who sells at retail any beverage for the sale of which a license is required under the provisions herein. (4) Retail sale or sale at retail means a sale to a consumer or to any person for any purpose other than for resale. (5) Manufacturer means and includes distiller, vintner and rectifier. Manufacture means and includes distilling, rectifying and operating a winery. (6) Wholesale sale or sale at wholesale means a sale to any person for purposes of resale. (7) Wholesaler means any person who sells at wholesale beverage for the sale of which a license is required under the provisions of Tennessee Code Annotated, (8) Wine means the product of the normal alcoholic fermentation of the juice of fresh, sound, ripe grapes, with the usual cellar treatment and necessary additions to correct defects due to climate, saccharine and seasonal conditions, including champagne, sparkling and fortified wine of an alcoholic content not to exceed twenty-one per cent (21%) by appropriate prefixes descriptive of the fruit or other product from which the same was predominantly the word gallon or gallons wherever used herein, shall be construed to mean a wine gallon or wine gallons, of one hundred and twenty-eight (128) ounces. The word quart whenever used herein will be construed to mean one-fourth (1/4) of a wine gallon. The word pint wherever used shall be construed to mean one-eighth (1/8) of a wine gallon. (10) Words importing the masculine gender shall include the feminine and the neuter, and singular shall include the plural. (11) The term federal license as used herein shall not mean tax receipt or permit. (Ord. # , Jan. 1973) Manufacturing prohibited within corporate limits. The manufacture of alcoholic beverages is prohibited within the corporate limits. (Ord. # , Jan. 1973) 3 Rev. 5/ Selling prohibited within corporate limits. No person, firm, or corporation shall engage in the business of selling alcoholic beverages at wholesale within the corporate limits except to a duly licensed local city retailer, as provided herein. (Ord. # , Jan. 1973) License required. (1) Before any person or other legal entity (the Applicant ) shall receive a license for the establishment of a retail liquor store, the Applicant shall make application for a license for a specific location and be granted such license for such specific location by the Board of Mayor and aldermen as required by Tennessee Code Annotated When the applicant which intends to obtain a liquor license is a legal entity owned, directly or indirectly, by a combination of persons and/or entities, the group of persons owning an interest, directly or indirectly, in the Applicant is referred to herein as the Applicant Group. The application for the license shall be filed with the Municipal Clerk giving the following information: (a) The name, date of birth and street address of each person to have an interest, direct or indirect, in the retail liquor store as an owner, partner, stockholder or otherwise. In the event that a corporation, partnership, limited liability company or other legally recognized entity is an Applicant or member of an Applicant Group, each person with an interest therein must be disclosed and must provide the information herein required by the City; (b) The name of the retail liquor store proposed; (c) The address of the retail liquor store proposed and it s zoning designation; (d) Number of years Applicant and persons in Applicant Group have been residents in Hendersonville City Limits, Zip Code, or Urban Growth Boundary (minimum of two years required); (e) The name of the licensee and the address of other retail liquor stores in which an ownership interest is held by the applicant or any member of the applicant Group, identifying the Applicant or group member holding each interest; (f) Occupation or business and name and location of such business, of Applicant and persons in Applicant Group and length of time engaged in such occupation or business; (g) Whether of not the Applicant or any persons in the Applicant Group has been convicted within the ten (10) year period immediately preceding the date of the application of any violation of any State or federal law or of any violation of any municipal ordinance (with the exception of minor traffic violations such as speeding or traffic signal violations, but not excepting alcohol related violations), and, if so, provide the details of such violation (i.e., charging entity, citation to and copy of law convicted of violating, copy of charge, etc.); (h) If employed, the name and address of the employer; 4 Rev. 5/2011 (i) The name and address of the owner of the real property of the proposed location and the amount to be paid for rent or purchase, together with a letter from such owner affirming either (i) that the parties have reached a written agreement on the terms of a lease and setting forth the amount of the rent provided for in the agreement, or (ii) that the parties have reached a written agreement on the terms of a sale of the premises to the Applicant; (j) The amount of money invested or to be invested, and the source of funds to be used, and, if borrowed, the name of the person from whom borrowed, the name of the bank with which the Applicant does business, and the name of any person who is aiding the venture financially, either by a loan or guaranty; (k) The name of any person who will have any interest, direct or indirect, in the business of the Applicant or in the profits thereof, and the nature and character thereof, and whether the person holds a wholesale or retail liquor license; (l) The identity of the Applicant(s) who will be in actual charge of the day-today operation of the business, and a certification that that individual has not been convicted of a felony within a ten (10) year period immediately preceding the date of the application, and if the Applicant is a corporation the identity of the officer or employee who will be in actual charge of the day-to-day operations of the business and that such officer or employee has not been convicted of a felony within a ten (10) year period immediately preceding the date of the application; (m) A statement that the persons receiving the requested license to the best of their knowledge if awarded the license could comply with all the requirements for obtaining the required licenses under State law and the provisions of this chapter for the operation of retail liquor stores in the City; and (n) The agreement of each Applicant or each member of an Applicant Group, as appropriate, to comply with all applicable laws and ordinances and with the Rules and Regulations of the Tennessee Alcoholic Beverage Commission and the City of Hendersonville with reference to the sale of alcoholic beverages, and the further agreement of each Applicant or each member of an Applicant Group as to the validity and the reasonableness of these regulations, inspection fees, and taxes provided in this Title with reference to the sale of alcoholic beverages. (2) Further documentation (a) The application shall be accompanied by six (6) copies of a site plan drawn to a scale of not less than one (1) inch equals twenty (20) feet giving the following information: (i) The shape, size and location of the lot which the retail liquor store is to be operated under the license; (ii) The shape, size, height and location of all building(s) whether they are to be erected, altered, moved or existing upon the lot; and 5 Rev. 5/2011 (iii) The off-street parking space and off-street loading and unloading space to be provided including the vehicular access to be provided from these areas to a public street. (b) A written certification by the Applicant that the premises of the proposed retail liquor store are in full and complete compliance with the distance requirements of this Chapter; and, that the Applicant has taken steps to verify compliance with the distance requirements. To the extent that the Applicant has documentation of such verification, or the process of verification, then Applicant shall submit such documentation with the application. (c) In the case where the Applicant is a partnership, the application shall be accompanied by a copy of the partnership agreement and an indication of who are general partners and who are limited partners, if any, and for each partner the profit sharing percentage in the partnership; (d) In the case where the Applicant is a corporation or limited liability company, the application shall be accompanied by a copy of the corporate charter or the operating agreement and a list of shareholders/members with their ownership percentage, a list of officers/managers and a list of names and addresses of directors. (3) Signature. The application shall be signed and verified by each person to have any interest in the retail liquor store either as an owner, partner, stockholder or otherwise. (4) Misrepresentation-concealment of fact-duty to amend. If any Applicant, member of an Applicant Group, or licensee either intentionally or innocently misrepresents or conceals any material fact in any application form or as to any other information required to be disclosed by this chapter, such Applicant, member of an applicant Group or licensee shall be deemed to have violated the provisions of this chapter and his or her application may be disregarded or his or her license restricted or revoked as deemed appropriate by the Board. In addition, if an application submitted does not contain the information required by this Chapter, it will not be deemed filed until all information has been submitted in writing. It shall be the duty of the Applicant to determine and submit the information required. (5) As of this date, three (3) liquor stores have been permitted and established within the City. In issuing the required license for the licensing of additional liquor stores in the City permitted by this Chapter, the Board will consider all applications filed before a closing date to be fixed by it and select from such applications the persons deemed by it in its sole discretion to have qualifications required by law and the most suitable circumstances and location in consideration of the health, safety and welfare of the citizens of the City for the lawful operation of liquor stores without regard to the order of time in which the applications are filed. Such persons and only such persons so selected shall receive the additional licenses issued by the City. (Ord , May 2011) Limitations on issuance of license. (1) No license shall be granted for the operation of a retail store for the sale of alcoholic beverages when, in the opinion of the board of Mayor and Aldermen, expressed by a majority thereof, the carrying on of such 6 Rev. 5/2011 business at the premises covered by the application for a license would be closer than 1000 feet as measured from the main and principal front entrance of such business at such premises of licensee to the main and principal front entrance of a church, school, or library; a retailer s license issued under this chapter shall not be valid except at the premises recited in the application, and any change of location of said business shall be cause for immediate revocation of said license by the mayor, unless the location is approved in writing by the Mayor. Said approval by the mayor must be authorized by approval of majority ob Board of Mayor and Aldermen. (2) No license shall be granted for the operation of a retail store for the sale of alcoholic beverages which is not located within 1,000 feet of Gallatin Road, or within 1, 000 feet of Indian Lake Boulevard, or within 3,000 feet of the intersection of Vietnam Veterans Boulevard at New Shackle Island Road, or within 3,000 feet of the intersection of Vietnam Veterans Boulevard at Indian Lake Boulevard. All distances shall be measured from the center line of the thoroughfare to the main and principal front entrance of the retail liquor store. (3) No license shall be granted for the operation of a retail store for the sale of alcoholic beverages in a building structure that provides less than 1,250 square feet of floor space. (4) No license shall be granted for the operation of a retail store for the sale of alcoholic beverages on property not properly zoned for such use according to the Hendersonville Zoning Ordinance. (Ord , May 2011) Limitations on number of licenses. (1) No more than one license for each 12,000 population for the sale of alcoholic beverages shall be issued under this chapter. Further, that the population limitations and restrictions as provided for above shall not be decreased unless, first, a public notice of such proposed change is published at least one (1) time fifteen (15) days before the first reading on such proposed amendment. (2) No license shall be issued to any person or persons unless such person s or persons legal residence has been within the Hendersonville City Limits, Zip Code or Urban Growth Boundary for at least two years prior to submittal of an application for retail license. Likewise, no license shall be issued to any partnership or corporation unless the partnership s or corporation s principal place of business has been within the Hendersonville City Limits, Zip Code or Urban Growth Boundary for at least two years prior to submittal of an application for the retail license. Thereafter, any change in such residence(s) or place of business, whereby such would be outside this area, such change must be approved by a majority of the Board of Mayor and Aldermen. However, in any event, such person s, persons, partners and stockholders legal residence, and, in the case of a partnership or corporation, its principal place of business and office, must be within the State of Tennessee. (Ord. # , Jan. 1973, as amended by Ord. # , Dec. 1973, as amended by Ord , June 1993, Ord , May 2011) 7 Rev. 5/ Bonds of licensees. Bonds required herein shall be executed by a surety company, duly authorized and qualified to do business in Tennessee; bonds of retailers shall be five hundred dollars ($500.00). Said bond shall be conditioned that the principal thereof shall pay any fine which may be assessed against such principal. (Ord. # , Jan. 1973) Retailer's license. (1) No retailer's license shall be issued to a person who is a holder of a public office, either appointive or elective, or who is a public employee, either national, state, city or county. It shall be unlawful for any such person to have any interest in such retail business, directly or indirectly, either proprietary or by means of any loan, mortgage, or lien, or to participate in the profits of any such business. The foregoing shall not apply to uncompensated appointees to municipal boards and commissioners where the boards or commissions on which such appointees serve have no duty to vote for, overlook, or in any manner superintend the sale of alcoholic beverages. (2) No retailer shall be a person who has been convicted of a felony involving moral turpitude, within ten (10) years prior to the time he or the concern with which he is connected shall receive a license; provided, however, that this provision shall not apply to any person who has been so convicted, but whose rights of citizenship have been restored or judgment of infamy has been removed by a court of competent jurisdiction; and in the case of any such conviction occurring after a license has been issued and received, the said license shall immediately be revoked, if such convicted felon be an individual licensee, and if not, the partnership, corporation or association with which he is connected shall immediately discharge him. (3) No license shall under any condition be issued to any person who, within ten (10) years preceding application for such license or permit shall have been convicted of any offense under the laws of the State of Tennessee or of any other state or of the United States prohibiting or regulating the sale, possession, transportation, storing, manufacturing, or otherwise handling intoxicating liquors or who has, during said period, been engaged in business alone or with others, in violation of any of said laws or rules and regulations promulgated pursuant thereto, or as they existed or may exist thereafter. (4) No manufacturer, brewer or wholesaler shall have any interest in the business or building containing licensed premises of any other person having a license hereunder, or in the fixtures of any such person. (5) It shall be unlawful for any person to have ownership in, or participate, either directly or indirectly, in the profits of any retail business licensed, unless his interest in said business and the nature, extent and character thereof shall appear on the application; or if the interest is acquired after the issuance of a license, unless it shall be fully disclosed to the mayor and approved by him. Where such interests is owned by such person on or before the application for any license, the burden shall be upon such person to see that this section is fully complied with, whether he, 8 Rev. 5/2011 himself, signs or prepares the application, or whether the same is prepared by another; or if said interest is acquired after the issuance of the license, the burden of said disclosure of the acquisition of such interest shall be upon the seller and the purchaser. (6) No person shall be employed in the sale of alcoholic beverages except a citizen of the United States. (7) No retailer, or any employee thereof, engaged in the sale of alcoholic beverages shall be a person under the age of eighteen (18) years, and it shall be unlawful for any retailer to employ any person under eighteen (18) years of age for the physical storage, sale, or distribution of alcoholic beverages, or to permit any such person under said age on its place of business to engage in the storage, sale or distribution of alcoholic beverages. (8) No retailer shall employ in the storage, sale or distribution of alcoholic beverages, any person who, within ten (10) years prior to the date of his employment, shall have been convicted
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