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#1 Introduce and schedule a public hearing to alcohol regulations to allow sales starting at 6AM (File Ord. #2012-508) CITY ATTORNEY’S OFFICE MEMORANDUM January 3, 2012 TO: Common Council FROM: Wald Klimczyk, City Attorney SUBJECT: Introduction and Schedule a Public Hearing on a Proposed Ordinance Amending City of Janesville Alcohol Regulations to Allow Class A liquor and Beer Sales Starting at 6:00 o’clock a.m. (File Ord. 2012-508) BACKGROUND Governor Scott Walker recently signed into state law 2011 Wisconsin Act 97 adopted by the Wisconsin Legislature. That new law allows the sale of beer (fermented malt beverages) and alcohol (intoxicating liquor) by liquor stores (Class A alcohol licensed establishments) after 6:00 o’clock a.m. each day, two (2) hours earlier than the 8:00 o’clock a.m. later opening time previously mandated. 2011 Act 97 applies only to Class A off-premises consumption sales – meaning “liquor stores” that sell beer and liquor for consumption off of the premises. It does not apply to bars or taverns licensed Class B for on-premises consumption. City of Janesville ordinances (5.06.240) currently only allow the sale of fermented malt beverages after 8:00 o’clock a.m., but are silent regarding the sale of intoxicating liquor. Therefore, with the change in State law, intoxicating liquor may be sold after 6:00 o’clock a.m. whereas, fermented malt beverages may not be sold until 8:00 o’clock a.m. REQUEST Dawn Wenner, Liquor Sales Manager at Logli’s, 1501 Creston Park Drive, emailed the City on December 15, 2011 (see below), requesting that the Common Council amend its alcohol ordinances accordingly. RECOMMENDATION Staff believes that the hours of sale for intoxicating liquor and fermented malt beverages should be consistent. The Alcohol License Advisory Committee (ALAC) reviewed this request at their meeting on January 3 and recommended that the sale of fermented malt beverages be allowed after 6:00 o’clock a.m. CITY MANAGER’S RECOMMENDATION : It is my understanding that the change of fermented malt beverages to 6:00 a.m. is to make it consistent with the change in State law permitting the sale of intoxicating liquor at 6:00 a.m. This would make the time of the sale of both items consistent. The City Council may also consider a new ordinance to restrict the sale of intoxicating liquor until 8:00 a.m. This action would require bringing forward an ordinance change at a future meeting. Also, this action requires 4 votes. SUGGESTED ACTION Introduce Ordinance 2012-508 and schedule for a public hearing on February 13, 2012. ANALYSIS BEER SALES Under the new state law, Wis. Stats. § 125.32(3)(b), a Class A alcohol licensed retail establishment store may sell BEER (fermented malt beverages) from 6:00 o’clock a.m. to midnight daily unless a city establishes more restrictive hours by ordinance. Janesville does so under JGO 5.06.240 A. & B. – No BEER sales are permitted from 9:00 o’clock p.m. until 8:00 o’clock a.m. daily. State Law “125.32(3)(b) Class "A" premises may remain open for the conduct of their regular business but may not sell fermented malt beverages between 12 midnight and 8 a.m. Subsection (2) does not apply to Class "A" premises between 12 midnight and 8 a.m. or at any other time during which the sale of fermented malt beverages is prohibited by a municipal ordinance adopted under par. (d).” “125.32(3)(d) A municipality may, by ordinance, impose more restrictive hours than those provided in par. (am) or (b), but may not impose different hours than those provided in par. (a) or (c).” BEER Janesville Class A Sales HOURS Ordinance 5.06.240 Sale of Fermented Malt Beverages After 9:00 p.m. A. The sale of fermented malt beverages upon the premises of a Class “A” (liquor store) fermented malt beverage alcohol licensed premises shall cease daily at nine o’clock (9:00) p.m. and shall not resume until eight o’clock (8:00) a.m. the following morning. No fermented malt beverages may be sold between the hours of 9:00 p.m. and 8:00 a.m. upon any Class “A” fermented malt beverage alcohol licensed premises. This restriction by ordinance is authorized by Sections 125.32(3)(b) and (d) of the Wisconsin Statutes, as from time to time amended, and is hereby enacted in conformity therewith. B. By enacting this ordinance the Common Council for the City of Janesville hereby find that this ordinance and the enactment of more restrictive fermented malt beverage sales hours is for the betterment of the community; directly facilitates the health, welfare, peace, safety and tranquility of the community; directly and indirectly will reduce the probability and/or problem of the purchase of fermented malt beverages by underage persons within the community; and will directly and indirectly reduce the consumption of fermented malt beverages by underage persons within the community.” ALCOHOL INTOXICATING LIQUOR SALES State Law Under the new state law, Wis. Stats. § 125.68(4)(b), a Class A alcohol licensed retail establishment may sell ALCOHOL (intoxicating liquor) from 6:00 o’clock a.m. to 9:00 o’clock a.m. unless a city establishes more restrictive hours by ordinance. (4) “125.68 (b) "Class A" retailers. No premises for which a "Class A" license or permit has been issued may remain open for the sale of intoxicating liquor between the hours of 9 p.m. and 8 6 a.m. A municipality may, by ordinance, impose more restrictive hours than those provided in this paragraph.“ [the new law amendments are underlined] INTOXICATING LIQUOR Janesville Class A Sales HOURS Ordinance Previously, a city could not make the closing hours for Class A intoxicating liquor sales more restrictive than state law. With the recent amendment of the state statutes, a city may now impose hours more restrictive than state law for intoxicating liquor sales. Currently, Janesville has no special ordinance regulating the hours of Class A intoxicating liquor sales. Janesville follows the state’s alcohol laws when the City’s alcohol ordinances (JGO Chapter 5.06) do not provide a specific regulation. 5.06.010 State statutes adopted “JGO A. Except as prohibited by law, all provisions of Chapter 125 inclusive of the Wisconsin Statutes describing and defining regulations and procedures with respect to alcohol beverages are adopted and by reference made a part of this chapter as if fully set forth herein. Any act required to be performed or prohibited by any statutes so incorporated by reference is required or prohibited by this chapter. Any future amendments, revisions, or modifications of the statutes incorporated by this chapter are also adopted and incorporated as a part of this chapter.” Class A (liquor store) intoxicating liquor sales in Janesville, therefore, may lawfully occur between 6:00 o’clock a.m. and 9:00 o’clock p.m. daily in Janesville once this new law takes effect because that is what the new state law provides and because Janesville does not have a more restrictive ordinance governing the hours of intoxicating liquor sales in Class A alcohol licensed establishments. SUMMARY Under the new state law taking effect Wednesday, December 21, 2011, and current Janesville City Ordinances: Class A alcohol licensed establishments (liquor stores) in Janesville may lawfully:  intoxicating liquor SELL between 6:00 o’clock a.m. and 9:00 o’clock p.m. daily.  beer SELL (fermented malt beverages) between 6:00 o’clock a.m. and 9:00 o’clock p.m. daily. From: Wenner, Dawn [mailto:dwenner@Schnucks.com] Sent: Thursday, December 15, 2011 9:50 AM To: Wellnitz, Tim Cc: Klimczyk, Wald Subject: Law changing the start time for alcohol sales Mr. Wellnitz Governor Walker signed Act 97 changing the starting time for alcohol sales form 8:00 a.m. to 6:00 a.m. I am following up on this to see if your municipality is going to honor this new law? I am with Schnucks and we have a store located at 1501 Creston Park Dr., Janesville, WI. Thanks, Dawn Dawn Wenner| License Clerk | Schnuck Markets Inc. 11420 Lackland Rd. | St. Louis, MO 63146 | 314.994.4411 | dwenner@schnucks.com ORDINANCE NO. 2012 - 508 An ordinance permitting Class A alcohol licensed stores to sell beer and intoxicating liquor starting at 6:00 o’clock a.m. until 9:00 p.m. daily, with penalties for violations thereof as set forth in JGO 5.06.470. THE COMMON COUNCIL OF THE CITY OF JANESVILLE DO ORDAIN AS FOLLOWS: SECTION I. Section 5.06.240 A. of the Code of General Ordinances of the City of Janesville is hereby amended to read as follows: “5.06.240 Sale of Fermented Malt Beverages in Class A Stores After 9:00 p.m. A. The sale of fermented malt beverages upon the premises of a Class “A” (liquor store) fermented malt beverage alcohol licensed premises shall cease daily at nine o’clock (9:00) p.m. and shall not resume until eight six o’clock (86:00) a.m. the following morning. No fermented malt beverages may be sold between the hours of 9:00 p.m. and 86:00 a.m. upon any Class “A” fermented malt beverage alcohol licensed premises. This restriction by ordinance is authorized by Sections 125.32(3)(b) and (d) of the Wisconsin Statutes, as from time to time amended, and is hereby enacted in conformity therewith.” SECTION II. Section 5.06.242 of the Code of General Ordinances of the City of Janesville is hereby created to read as follows: “5.06.242 Sale of Intoxicating Liquor in Class A Stores After 9:00 p.m. A. The sale of intoxicating liquor upon the premises of a Class “A” (liquor store) intoxicating liquor alcohol beverage licensed premises shall cease daily at nine o’clock (9:00) p.m. and shall not resume until six o’clock (6:00) a.m. the following morning. No intoxicating liquor may be sold between the hours of 9:00 p.m. and 6:00 a.m. upon any Class “A” intoxicating liquor alcohol beverage licensed premises. This restriction by ordinance is authorized by Sections 125.68(4)(b) and (d) of the Wisconsin Statutes, as from time to time amended, and is hereby enacted in conformity therewith.” ADOPTED: Motion by: Second by: APPROVED: Councilmember Aye Nay Pass Absent Dongarra-Adams Eric J. Levitt, City Manager Liebert McDonald ATTEST: Rashkin Steeber Voskuil Jean Ann Wulf, City Clerk-Treasurer APPROVED AS TO FORM: Wald Klimczyk, City Attorney Proposed by: City Clerk-Treasurer Prepared by: City Attorney CITY ATTORNEY’S OFFICE MEMORANDUM January 3, 2012 TO: Common Council FROM: Wald Klimczyk, City Attorney SUBJECT: Class liquor and beer sales starting at 6:00 o’clock a.m. Governor Scott Walker recently signed into state law 2011 Wisconsin Act 97 adopted by the Wisconsin Legislature. That new law allows the sale of beer (fermented malt beverages) and alcohol (intoxicating liquor) by liquor stores (Class A alcohol licensed establishments) after 6:00 o’clock a.m. each day, two (2) hours earlier than the 8:00 o’clock a.m. later opening time previously mandated. 2011 Act 97 applies only to Class A off-premises consumption sales – meaning “liquor stores” that sell beer and liquor for consumption off of the premises. It does not apply to bars or taverns licensed Class B for on- premises consumption. Dawn Wenner, Liquor Sales Manager at Logli’s, 1501 Creston Park Drive, emailed the City on December 15, 2011 (see below), requesting that the Common Council amend its alcohol ordinances accordingly. Janesville Chief of Police Dave Moore finds the proposal acceptable, as does Janesville City Clerk-Treasurer Jean Ann Wulf. This ordinance is presented at this time for a first reading and to schedule a second reading, public hearing, and Council action. CITY MANAGER’S RECOMMENDATION: Bring Janesville’s alcohol ordinances into conformity with the extended state sales hours for Class A alcohol licensed establishments. DETAILED DISCUSSION: BEER SALES Under the new state law, Wis. Stats. § 125.32(3)(b), a Class A alcohol licensed retail establishment store may sell BEER (fermented malt beverages) from 6:00 o’clock a.m. to midnight daily unless a city establishes more restrictive hours by ordinance. Janesville does so under JGO 5.06.240 A. & B. – No BEER sales are permitted from 9:00 o’clock p.m. until 8:00 o’clock a.m. daily. State Law “125.32(3)(b) Class "A" premises may remain open for the conduct of their regular business but may not sell fermented malt beverages between 12 midnight and 8 a.m. Subsection (2) does not apply to Class "A" premises between 12 midnight and 8 a.m. or at any other time during which the sale of fermented malt beverages is prohibited by a municipal ordinance adopted under par. (d).” “125.32(3)(d) A municipality may, by ordinance, impose more restrictive hours than those provided in par. (am) or (b), but may not impose different hours than those provided in par. (a) or (c).” BEER Janesville Class A Sales HOURS Ordinance 5.06.240 Sale of Fermented Malt Beverages After 9:00 p.m. A. The sale of fermented malt beverages upon the premises of a Class “A” (liquor store) fermented malt beverage alcohol licensed premises shall cease daily at nine o’clock (9:00) p.m. and shall not resume until eight o’clock (8:00) a.m. the following morning. No fermented malt beverages may be sold between the hours of 9:00 p.m. and 8:00 a.m. upon any Class “A” fermented malt beverage alcohol licensed premises. This restriction by ordinance is authorized by Sections 125.32(3)(b) and (d) of the Wisconsin Statutes, as from time to time amended, and is hereby enacted in conformity therewith. B. By enacting this ordinance the Common Council for the City of Janesville hereby find that this ordinance and the enactment of more restrictive fermented malt beverage sales hours is for the betterment of the community; directly facilitates the health, welfare, peace, safety and tranquility of the community; directly and indirectly will reduce the probability and/or problem of the purchase of fermented malt beverages by underage persons within the community; and will directly and indirectly reduce the consumption of fermented malt beverages by underage persons within the community.” ALCOHOL INTOXICATING LIQUOR SALES State Law Under the new state law, Wis. Stats. § 125.68(4)(b), a Class A alcohol licensed retail establishment may sell ALCOHOL (intoxicating liquor) from 6:00 o’clock a.m. to 9:00 o’clock a.m. unless a city establishes more restrictive hours by ordinance. (4) “125.68 (b) "Class A" retailers. No premises for which a "Class A" license or permit has been issued may remain open for the sale of intoxicating liquor between the hours of 9 p.m. and 8 6 a.m. A municipality may, by ordinance, impose more restrictive hours than those provided in this paragraph.“ [the new law amendments are underlined] INTOXICATING LIQUOR Janesville Class A Sales HOURS Ordinance Previously, a city could not make the closing hours for Class A intoxicating liquor sales more restrictive than state law. With the recent amendment of the state statutes, a city may now impose hours more restrictive than state law for intoxicating liquor sales. Currently, Janesville has no special ordinance regulating the hours of Class A intoxicating liquor sales. Janesville follows the state’s alcohol laws when the City’s alcohol ordinances (JGO Chapter 5.06) do not provide a specific regulation. 5.06.010 State statutes adopted “JGO A. Except as prohibited by law, all provisions of Chapter 125 inclusive of the Wisconsin Statutes describing and defining regulations and procedures with respect to alcohol beverages are adopted and by reference made a part of this chapter as if fully set forth herein. Any act required to be performed or prohibited by any statutes so incorporated by reference is required or prohibited by this chapter. Any future amendments, revisions, or modifications of the statutes incorporated by this chapter are also adopted and incorporated as a part of this chapter.” Class A (liquor store) intoxicating liquor sales in Janesville, therefore, may lawfully occur between 6:00 o’clock a.m. and 9:00 o’clock p.m. daily in Janesville once this new law takes effect because that is what the new state law provides and because Janesville does not have a more restrictive ordinance governing the hours of intoxicating liquor sales in Class A alcohol licensed establishments. SUMMARY Under the new state law taking effect Wednesday, December 21, 2011, and current Janesville City Ordinances: Class A alcohol licensed establishments (liquor stores) in Janesville may lawfully:  intoxicating liquor SELL between 6:00 o’clock a.m. and 9:00 o’clock p.m. daily.  beer SELL (fermented malt beverages) between 6:00 o’clock a.m. and 9:00 o’clock p.m. daily. Wald 2011 WISCONSIN ACT 97 AA N CT relating to: to amend 125.32 (3) (b) and 125.68 (4) (b) of the statutes; closing hours for certain alcohol beverage retailers. The people of the state of Wisconsin, represented in senate and assembly, do enact as follows: S1. 97, s. 1 125.32 (3) (b) of the statutes is amended to read: ECTION (3) 125.32 (b) Class "A" premises may remain open for the conduct of their regular business but may not sell fermented malt beverages between 12 midnight and 8 6 a.m. Subsection (2) does not apply to Class "A" premises between 12 midnight and 8 6 a.m. or at any other time during which the sale of fermented malt beverages is prohibited by a municipal ordinance adopted under par. (d). S2. 97, s. 2 125.68 (4) (b) of the statutes is amended to read: ECTION (4) 125.68 (b) "Class A" retailers. No premises for which a "Class A" license or permit has been issued may remain open for the sale of intoxicating liquor between the hours of 9 p.m. and 8 6 a.m. A municipality may, by ordinance, impose more restrictive hours than those provided in this paragraph. From: Wenner, Dawn [mailto:dwenner@Schnucks.com] Sent: Thursday, December 15, 2011 9:50 AM To: Wellnitz, Tim Cc: Klimczyk, Wald Subject: Law changing the start time for alcohol sales Mr. Wellnitz Governor Walker signed Act 97 changing the starting time for alcohol sales form 8:00 a.m. to 6:00 a.m. I am following up on this to see if your municipality is going to honor this new law? I am with Schnucks and we have a store located at 1501 Creston Park Dr., Janesville, WI. Thanks, Dawn Dawn Wenner| License Clerk | Schnuck Markets Inc. 11420 Lackland Rd. | St. Louis, MO 63146 | 314.994.4411 | dwenner@schnucks.com