HomeMy WebLinkAbout6.g. Resolution and Consent Order Imposing Civil Penalty on MGM Wine & Spirits Inc. DBA MGM Wine & Spirits 4 ROSEtVILOUNT EXECUTIVE SUMMARY
CITY COUNCIL
City Council Regular Meeting: January 15, 2013
AGENDA ITEM: Resolution and Consent Order Imposing AGENDA SECTION:
Civil Penalty on MGM Wine & Spirits Inc. Consent
DBA MGM Wine & Spirits
PREPARED BY: Eric T. Werner, Chief of Police q�, AGENDA NO.
z.
ATTACHMENTS: Resolution and Consent Order APPROVED BY: DAJ
RECOMMENDED ACTION: Motion to approve a resolution and consent order imposing
civil penalty on MGM Wine & Spirits Inc. DBA MGM Wine & Spirits for a violation of the
City's liquor license regulation.
BACKGROUND
Compliance checks utilizing a cooperating underage purchaser were conducted on October 18,2012 at the
City's licensed liquor license establishments. The purchaser entered the MGM Wine&Spirits Inc. and
was sold an alcohol beverage by an employee of the MGM Wine& Spirits Inc. This is a criminal violation
by the employee and a violation of the City's ordinance regarding liquor licenses. This is considered a first
violation that has occurred at the establishment.
ISSUE
The sale of an alcoholic beverage to an underage person is a violation of City Code 3-1: Liquor
Regulations. Following the illegal sale,police staff met with the management of the establishment to
discuss the violation. In addition, the expectations and requirements of the City Code were reviewed and
the policies and procedures of the business related to the proper identification of persons purchasing
alcohol were discussed.
The manager of the MGM Wine &Spirits Inc. has agreed to the terms of the attached Resolution and
Consent Order imposing a $500 civil penalty on the license holder for this violation. The penalty amount
is consistent with the amount imposed for similar violations in prior years.
Rosemount City Attorney Charlie LeFevere drafted the document.
RECOMMENDATION
Council is asked to approve the Resolution and Consent Order
RESOLUTION NO.
RESOLUTION AND CONSENT ORDER IMPOSING CIVIL
PENALTY ON MGM WINE & SPIRITS
WHEREAS, the City of Rosemount (the "City") has issued a license for the sale of
alcoholic beverages to MGM Wine & Spirits Inc. DBA MGM Wine & Spirits (the "Licensee");
and
WHEREAS, an illegal activity has occurred on the licensed premises of the Licensee,
specifically, service of an alcoholic beverage to a person under the age of 21 by an employee of
Licensee on October 18, 2012, in violation of Minnesota Statutes, Section 340A.503 (the
"Violation"); and
WHEREAS,the occurrence of the Violation is not disputed by the Licensee; and
WHEREAS, the City Council regards such activities as very serious matters warranting
the sanctions hereinafter set forth; and
WHEREAS, the Licensee has, to date, maintained an establishment that has been
relatively free of criminal activity relating directly to the sale of alcohol; and
WHEREAS, the Licensee has been generally cooperative in the investigation of this
matter, has demonstrated a willingness and desire to work with City staff in resolving this matter
without putting the City to the expense of an administrative hearing, has expressed an
understanding of the seriousness of the offenses, and has committed to ensuring that such
offenses do not reoccur; and
WHEREAS, Licensee has worked with staff to identify personnel policies and training,
operational practices, and other means intended to minimize or eliminate such violations in the
future and to assure a more safe, responsible and lawful liquor operation, which have been set
forth in written policies and procedures adopted by Licensee, a copy of which is attached hereto
as Attachment One, and hereby made a part hereof(hereinafter the "Policies and Procedures");
and
WHEREAS, Licensee has represented, and by execution of a copy of this consent order
agreed, that it will faithfully and fully comply with all of the Policies and Procedures set forth in
Attachment One; and
WHEREAS, on the basis of such representation and agreement by Licensee and assuming
continuing compliance therewith, the City is willing to limit sanctions for the Violation to a civil
penalty in the amount of Five Hundred Dollars ($500); and
416789v1 CLL RS220-245
WHEREAS, were it not for such representation and agreement of continuing compliance
with the Policies and Procedures by Licensee, the City would not be willing to so limit sanctions
and is doing so solely on the basis of such representations and agreements of Licensee and on the
basis of the agreement by Licensee that the matter of the sanctions to be imposed for the
Violation may be reopened and reconsidered, pursuant to Minnesota Statutes, Section 340A.415,
in the event Licensee fails to comply fully with all of the Policies and Procedures at any time
during the three (3) year period following the date of this Resolution, all as hereinafter provided;
and
WHEREAS, the Council has determined that this Consent Order, resolving issues relating
to sanctions to be imposed by reason of the above-described violations is reasonable, necessary
and in the best interests of the public; and
WHEREAS, the Licensee has freely agreed to waive a statement of written charges and a
hearing thereon and to pay the civil penalty hereinafter described, for the consideration set forth
herein. The Licensee acknowledges and agrees that it freely executed this agreement, without
threat of criminal prosecution, for the purpose of avoiding a public hearing and resolving issues
relating to sanctions to be imposed by the City as the licensing authority, pursuant to Minnesota
Statutes, Section 340A.415.
ON THE BASIS OF THE FOREGOING, THEREFORE, IT IS RESOLVED THAT THE
CITY COUNCIL ORDERS AND AGREES AS FOLLOWS:
1. The Licensee will pay to the City Finance Director, within ten days of receipt of
written notification of approval of this Consent Order by the City Council, the sum of Five
Hundred Dollars ($500).
2. Licensee waives a written statement of charges, notice of hearing and hearing to
which it is entitled by Minnesota Statutes, Section 340A.415.
3. The undersigned admits the occurrence of the Violation.
4. The City will impose, as the sole civil sanction for the Violation, a civil penalty in
the amount of$500 payable as set forth in paragraph 1 hereof. This agreement shall not limit the
right of the City to pursue civil remedies or to take any action with respect to the license that is
authorized by state law or City Code for any activity to which this agreement does not
specifically apply and that is a violation of state law or City Code.
5. Except as provided in paragraph 6, in the event of future violations of state law or
City Code by Licensee, no additional penalty shall be imposed for unlawful activity covered by
this agreement. However, admissions of unlawful activity described herein may be taken into
consideration in determining appropriate sanctions in any future cases.
6. In the event the City Council determines that Licensee has failed to comply fully
with the Policies and Procedures at any time during the three year period following the date of
2
416789v1 CLL RS220-245
this Resolution, Licensee agrees that the City may revoke or suspend the Licensee's license or
impose civil penalties for the Violation pursuant to Minnesota Statutes, Section 340A.415,
provided the total penalty including the penalty agreed to pursuant to paragraph 1 hereof shall not
exceed amounts authorized by law.
7. Licensee understands and agrees:
a. That this agreement does not constitute an agreement not to bring criminal
charges for activities described herein;
b. That a decision whether to bring any charges rests within the discretion of
the City prosecuting attorney, the County attorney, or other authorized law enforcement
agencies;
c. That the Licensee freely enters into this agreement without any promises
from the City that no criminal charges will be brought;
d. That this agreement is entered into for the sole purpose of resolving and
settling any potential civil sanctions imposed pursuant to Minnesota Statute Section
340A.415, and not for the purpose of resolving or settling any potential criminal issues;
and
e. That in the event criminal charges are brought against the undersigned, the
Licensee or any of its employees for activities described herein, Licensee will not contest
the validity of this agreement, repudiate, or otherwise challenge this agreement in any
way, by reason of the initiation or prosecution of such criminal proceedings.
MGM WINE & SPIRITS
By
Its
By Order of the City Council of the City of Rosemount this day of ,
2013.
Mayor
ATTEST:
City Clerk
3
416789v1 CLL RS220-245
ATTACHMENT ONE
Policies and Procedures
A-1
416789v1 CLL RS220-245
I -
• LIQUOR
WAREHOUSEe
•
Laws & Po �licies Governing the Sale of Beverage Alcohol
IT IS ILLEGAL TO:
A) SELL TO UNDER-AGE CUSTOMERS
1) The legal drinking age in Minnesota is 21 years of age. It is MGM's
policy that any customer purchasing any product(soda, ice, lottery,
beverage alcohol, etc)must be 21 years of age or older.
2) With MGM's CARD ALL policy,it is mandatory to check every
customers identification. (A manager must review any situation where a
customer has no Valid ID or the customer has any form of ID other than
a Minnesota.Drivers.License or Minnesota ID Card.)
3) All members of a group must be 21 years of age or older,for any
member of that:group.to purchase•:beverage:alcohol. (Unless the under-
age individual(s).:is(are).accompanied by.their:parent or legal guardian
and then only the parent or legal•guardian.may purchase.)
4) Under Y
der the law,.you
do not have to sell beverage alcohol to anyone unless
they rp ove.:to.y.that they are of legal age.
B) SELL TO CUSTOMERS USING FALSE OR INVALID I.D.
1) The following are legal forms of identification:
a. State issued *VALID drivers license
*(not expired, altered, forged, stolen, counterfeit, etc.)
b. State issued VALID personal ID card (For all out-of-state ID's,
refer to guidebooks to determine validity). •
2) Any other form of ID is unacce table.
•
REMEMBER: IT IS ILLEGAL TO SELL TO SOMEONE WITH AN
ILLEGAL ID.
C) SELL TO INTOXICATED CUSTOMERS
1) The following are signs to watch for in an intoxicated person:
a) Slurred speech
b), Staggering •
c) Loss of sound judgment/loud aggressive behavior
d) Bloodshot eyes
e) Vomiting
• f) Strong alcohol breath •
C
Y
D) MAKE A SECOND-PARTY SALE
1) A second-party sale is a legal customer trying to buy alcohol for under-
age customers. (No under-age individuals shall be permitted to loiter or
remain on any of the store's premises.)
E) CONSUME ALCOHOL ON THE STORE'S PREMISES
F) SELL AFTER HOURS .
1) The hours for Store# to legally sell beverage alcohol are:
Monday- Thursday a.m. to p.m.
Friday & Saturday a.m. to p.m.
Sunday-Closed
- All employees must successfully complete a training program in"Techniques of
Alcohol Management" (TAM)before operating a cash register in the store.
•
• - If an employee is caught transacting an illegal sale in which the preceding
policies/procedures were not followed,they shall be terminated immediately.
I have read and understand the "Laws,:&Policies:.Governing the Sale of Beverage
Alcohol"and will abide by them..:I have.beemtrained in how check ID's by viewing the. .
. TAM(Techniques of AlcoholManagernent)video:a_nd;I.:have.successfully passed.the.
TAM Post Test. .
Signature:
•
• Printed Name:
• Date: • •
Store management portion below line .
TAM video watched(yes/no) •
•
TAM program completed(yes/no)
1
TAM Post Test Passed (yes/no) .
•
Manager on Duty Signature:
. Manager on Duty Printed Name: .
Date: ,
S tore#:
•
Store#: Name(Printed):-
TAM POST TEST,
years old to bu
1. You must be Y buy beverage alcohol in the State of Minnesota.
2. What is a second party sale?
3. The days and hours for legally selling beverage alcohol in store# _ are:
•
4. True/False: In your store,non-alcoholic beer usually does not require an ID to be
checked.
5. Fill in the meaning of each letter of the SIR step:
•
«j»
6a. The possible penalties under the law for failing to check under age customers for ID -
are:
6b. Our store's policy for failing to check under age customers for ID is:
•
7. Our company policy on checking customers for ID is:
8. The TAM step.that belps:you:handle°.a :alcoholrelated problem situation is:
9
Based on our store's policy,which of the following forms of identification are not
acceptable for purchasing alcohol?
Valid state drivers license
Immigrant registration card
Birth certificate
Social security card
Military ID
Student photo ID .
10. What are the exceptions to selling alcohol after the legal hour?
11. The second"M" in MAAM
" ' stands for"Move On"and/or
•
20. Describe the two things that you can do if you are suspicious of an ID:
a.
b.
Signature:
Name(Printed):
Date:
Store Manager on Duty Portion Below Line
TAM Post Test Passed YES/NO
Date:
Manager:Sig,ature._.: .
Store#:
•
` - erg.�,.. '47 bra'~
1 ��.. is� ®
COMPANY WORK RULES
At MGM,it is necessary that we have a few basic work rules. These work rules are designed to
insure all employees of fair treatment. Violations of these work rules not only inhibit the
operations of our stores, but it also creates extra work and an unfair work environment for
your fellow employees.
Therefore, any departure from these work rules necessitates disciplinary action.--Disciplinary-
action will come in the form of either a verbal warning or a written warning or suspension
without pay. Infractions that are more severe may result in dismissal without warnings. So be
sure you know the rules and what is expected of you.
Failure to adhere to the following work rules will result in disciplinary action:
1. Failure or refusal to carryout a specific order or instruction that is necessary to
operate an MGM Store.
2. Bringing, using,possessing or being under the influence of intoxicants or illegal
drugs on company premises.
3. Deliberate damage to or unauthorized removal of company property or that of
other employees.
4. Any unauthorized disclosure of privileged information such as salaries, sales,
pricing,personnel records, etc.
5. Falsification of personnel or company records.
6. Excessive absenteeism or tardiness.
7. Unauthorized or unexcused absence. You must call in if unable to work your
scheduled shift.
•
8. Filling out another employee's timecard or knowingly altering your own timecard.
•
9. Sleeping on the job.
10. Use of abusive or threatening language.
•
11. Continued low productivity or unsatisfactory quality of work.
12. Inattention to duties,loafing,visiting with friends,idle loitering or wasting time.
13. No discounting of merchandise outside of the MGM Discount Policy.
14. Stealing of money or property.
15.Any deviation in cash control procedures without proper explanation.
16.Improper cash register procedures.
_17.-Any action deemed not in the best interest of the compahy.-
18. Harassment of any kind; sexual or discriminatory. (Refer to Sexual Harassment Policy)
19. No playing of the radio during business hours. (Muzak on authorized channels only!)
20. PersonaI phone calls:should be limited to break time and should not be conducted on the
sales floor or behind the sales coup ers.`:No use of cell phones while on duty.
21. No guns.or.weapons of any kind may be carried by employees while on duty(unless
employed as security-personnel):
22. No smoking inside a MGM building. Smoking is allowed in designated areas outside
the building only.
23. No consumption of beverage alcohol on MGM property at anytime (Including after
business hours). Unless sampling has been pre-approved by the Corporate office.
24. No sampling of product to consumers or employees without pre-approval from the
corporate office. .
25. No sexual activity or pornographic material is allowed on company property.
26. No consumption of food on or in view of the sales floor or register area during business
hours. No food maybe stored in any cooler or ice machine or in any area in view of the
customer. .
27. No selling of product or exchanges of products(or taps) before or after business hours.
28. Any activity resulting in underage individuals obtaining beverage alcohol.
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•
I have read and understand the work rules of MGM and I will abide by them.
•
•
Signature
•
Print Name •
•
• Date
•
• Store Number •
PS 6/9/2003
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