First Substitute H.B. 258

Representative Blake D. Chard proposes to substitute the following bill:

1 GAMBLING AMENDMENTS
2 1998 GENERAL SESSION
3 STATE OF UTAH
4 Sponsor: Blake D. Chard
5 AN ACT RELATING TO THE CRIMINAL CODE; AMENDING THE OFFENSE OF
6 GAMBLING TO INCLUDE VIDEO GAMING DEVICES; AND AMENDING
7 OPERATIONAL RESTRICTIONS.
8 This act affects sections of Utah Code Annotated 1953 as follows:
9 AMENDS:
10 32A-4-106, as last amended by Chapter 40, Laws of Utah 1997
11 32A-4-206, as last amended by Chapter 95, Laws of Utah 1994
12 32A-5-107, as last amended by Chapter 95, Laws of Utah 1994
13 32A-7-106, as last amended by Chapters 7 and 10, Laws of Utah 1993
14 32A-10-206, as last amended by Chapter 95, Laws of Utah 1994
15 76-10-1101, as enacted by Chapter 196, Laws of Utah 1973
16 76-10-1102, as enacted by Chapter 196, Laws of Utah 1973
17 Be it enacted by the Legislature of the state of Utah:
18 Section 1. Section 32A-4-106 is amended to read:
19 32A-4-106. Operational restrictions.
20 Each person granted a restaurant liquor license and the employees and management
21 personnel of the restaurant shall comply with the following conditions and requirements. Failure
22 to comply may result in a suspension or revocation of the license or other disciplinary action taken
23 against individual employees or management personnel.
24 (1) (a) Liquor may not be purchased by a restaurant liquor licensee except from state stores
25 or package agencies.

1 (b) Liquor purchased may be transported by the licensee from the place of purchase to the
2 licensed premises.
3 (c) Payment for liquor shall be made in accordance with rules established by the
4 commission.
5 (2) A restaurant liquor licensee may not sell or provide any primary liquor except in one
6 ounce quantities dispensed through a calibrated metered dispensing system approved by the
7 department in accordance with commission rules adopted under this title, except that:
8 (a) liquor need not be dispensed through a calibrated metered dispensing system if used
9 as a secondary flavoring ingredient in a beverage subject to the following restrictions:
10 (i) the secondary ingredient may be dispensed only in conjunction with the purchase of
11 a primary liquor;
12 (ii) the secondary ingredient is not the only liquor in the beverage;
13 (iii) the licensee shall designate a location where flavorings are stored on the floor plan
14 provided to the department; and
15 (iv) all flavoring containers shall be plainly and conspicuously labeled "flavorings";
16 (b) liquor need not be dispensed through a calibrated metered dispensing system if used
17 as a flavoring on desserts and in the preparation of flaming food dishes, drinks, and desserts;
18 (c) wine may be served by the glass in quantities not exceeding five ounces per glass; and
19 (d) heavy beer may be served in original containers not exceeding one liter.
20 (3) (a) Restaurants licensed to sell liquor may sell beer in any size container not exceeding
21 two liters, and on draft for on-premise consumption without obtaining a separate on-premise beer
22 retailer license from the commission.
23 (b) Restaurants licensed under this chapter that sell beer pursuant to Subsection (3)(a) shall
24 comply with all appropriate operational restrictions under Chapter 10, Beer Retailer Licenses, that
25 apply to on-premise beer retailers except when those restrictions are inconsistent with or less
26 restrictive than the operational restrictions under this chapter.
27 (c) Failure to comply with the operational restrictions under Chapter 10, Beer Retailer
28 Licenses, required by Subsection (3)(b) may result in a suspension or revocation of the restaurant's:
29 (i) state liquor license; and
30 (ii) alcoholic beverage license issued by the local authority.
31 (4) Wine may be served in accordance with commission rule in containers not exceeding

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1 750 ml.
2 (5) (a) Liquor may not be stored or sold in any place other than as designated in the
3 licensee's application, unless the licensee first applies for and receives approval from the
4 department for a change of location within the restaurant.
5 (b) A patron may only make alcoholic beverage purchases in the restaurant from a server
6 designated and trained by the licensee.
7 (c) Any alcoholic beverage may only be consumed at the patron's table.
8 (d) Liquor may not be stored where it is visible to patrons of the restaurant.
9 (6) (a) Alcoholic beverages may not be dispensed directly to a patron from the storage
10 area.
11 (b) Alcoholic beverages shall be delivered by a server to the patron.
12 (7) The liquor storage area shall remain locked at all times other than those hours and days
13 when liquor sales are authorized by law.
14 (8) (a) Liquor may not be sold or offered for sale at a restaurant during the following days
15 or hours:
16 (i) on the day of any regular general election, regular primary election, or statewide special
17 election until after the polls are closed;
18 (ii) on the day of any municipal, special district, or school election, but only:
19 (A) within the boundaries of the municipality, special district, or school district; and
20 (B) if closure is required by local ordinance; and
21 (iii) on any other day after 12 midnight and before 12 noon.
22 (b) The hours of beer sales are those specified in Chapter 10, Beer Retailer Licenses, for
23 on-premise beer licensees.
24 (9) Alcoholic beverages may not be sold except in connection with an order for food
25 prepared, sold, and served at the restaurant.
26 (10) Alcoholic beverages may not be sold, delivered, or furnished to any:
27 (a) minor;
28 (b) person actually, apparently, or obviously drunk;
29 (c) known habitual drunkard; or
30 (d) known interdicted person.
31 (11) (a) Liquor may not be sold except at prices fixed by the commission.

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1 (b) Mixed drinks and wine may not be sold at discount prices on any date or at any time.
2 (12) Each restaurant patron may have only one alcoholic beverage at a time before the
3 patron on the patron's table.
4 (13) No more than one ounce of primary liquor may be served to a patron at a time, except:
5 (a) wine as provided in Subsection (2)(c); and
6 (b) heavy beer as provided in Subsection (2)(d).
7 (14) Alcoholic beverages may not be purchased by the licensee, or any employee or agent
8 of the licensee, for patrons of the restaurant.
9 (15) Alcoholic beverages purchased in a restaurant may not be served or consumed at any
10 location where they are stored or dispensed.
11 (16) (a) A wine service may be performed and a service charge assessed by the restaurant
12 as authorized by commission rule for wine purchased at the restaurant or carried in by a patron.
13 (b) If wine is carried in by a patron, the patron shall deliver the wine to a server or other
14 representative of the licensee upon entering the licensee premises.
15 (17) (a) A person may not bring onto the premises of a restaurant liquor licensee any
16 alcoholic beverage for on-premise consumption, except a person may bring, subject to the
17 discretion of the licensee, cork-finished wine onto the premises of any restaurant liquor licensee
18 and consume wine pursuant to Subsection (16).
19 (b) A restaurant, whether licensed under this title or unlicensed, or its officers, managers,
20 employees, or agents may not allow:
21 (i) a person to bring onto the restaurant premises any alcoholic beverage for on-premise
22 consumption; or
23 (ii) consumption of any such alcoholic beverage on its premises, except cork-finished wine
24 under Subsection (17)(a).
25 (c) If a restaurant licensee, or any of its officers, managers, employees, or agents violates
26 this Subsection (17):
27 (i) the commission may immediately suspend or revoke the restaurant's liquor license and
28 the restaurant licensee is subject to possible criminal prosecution under Chapter 12; and
29 (ii) the local authority may immediately suspend or revoke the restaurant's:
30 (A) local liquor license;
31 (B) local consent under Subsection 32A-4-102(1)[(c)]; or

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1 (C) local business license.
2 (18) Alcoholic beverages purchased from the restaurant may not be removed from the
3 restaurant premises.
4 (19) (a) Minors may not be employed by a restaurant licensee to sell or dispense alcoholic
5 beverages.
6 (b) Notwithstanding Subsection (19)(a), a minor may be employed to enter the sale at a
7 cash register or other sales recording device.
8 (20) An employee of a restaurant liquor licensee, while on duty, may not:
9 (a) consume an alcoholic beverage; or
10 (b) be under the influence of alcoholic beverages.
11 (21) (a) Advertising or other reference to the sale of liquor and wine is not allowed on a
12 food menu except that a statement of availability of a liquor and wine menu on request, the content
13 and form of which is approved by the department, may be attached to or carried on a food menu.
14 The context of both food and liquor and wine menus may not in any manner attempt to promote
15 or increase the sale of alcoholic beverages.
16 (b) A server, employee, or agent of a licensee may not draw attention to the availability
17 of alcoholic beverages for sale, unless a patron or guest first inquires about it.
18 (c) Any set-up charge, service charge, chilling fee, or any other charge or fee made in
19 connection with the sale, service, or consumption of liquor may be stated in food or alcoholic
20 beverage menus.
21 (22) Each restaurant liquor licensee shall display in a prominent place in the restaurant:
22 (a) the liquor license that is issued by the department;
23 (b) a list of the types and brand names of liquor being served through its calibrated
24 metered dispensing system; and
25 (c) a sign in large letters stating: "Warning: The consumption of alcoholic beverages
26 purchased in this establishment may be hazardous to your health and the safety of others."
27 (23) The following acts or conduct in a restaurant licensed under this chapter are
28 considered contrary to the public welfare and morals, and are prohibited upon the premises:
29 (a) employing or using any person in the sale or service of alcoholic beverages while the
30 person is unclothed or in attire, costume, or clothing that exposes to view any portion of the female
31 breast below the top of the areola or any portion of the pubic hair, anus, cleft of the buttocks,

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1 vulva, or genitals;
2 (b) employing or using the services of any person to mingle with the patrons while the
3 person is unclothed or in attire, costume, or clothing described in Subsection (23)(a);
4 (c) encouraging or permitting any person to touch, caress, or fondle the breasts, buttocks,
5 anus, or genitals of any other person;
6 (d) permitting any employee or person to wear or use any device or covering, exposed to
7 view, that simulates the breast, genitals, anus, pubic hair, or any portion of these;
8 (e) permitting any person to use artificial devices or inanimate objects to depict any of the
9 prohibited activities described in this subsection;
10 (f) permitting any person to remain in or upon the premises who exposes to public view
11 any portion of that person's genitals or anus; or
12 (g) showing films, still pictures, electronic reproductions, or other visual reproductions
13 depicting:
14 (i) acts or simulated acts of sexual intercourse, masturbation, sodomy, bestiality, oral
15 copulation, flagellation, or any sexual acts prohibited by Utah law;
16 (ii) any person being touched, caressed, or fondled on the breast, buttocks, anus, or
17 genitals;
18 (iii) scenes wherein artificial devices or inanimate objects are used to depict, or drawings
19 are used to portray, any of the prohibited activities described in this subsection; or
20 (iv) scenes wherein a person displays the vulva or the anus or the genitals.
21 (24) Nothing in Subsection (23) precludes a local authority from being more restrictive
22 of acts or conduct of the type prohibited in Subsection (23).
23 (25) (a) Although live entertainment is permitted on the premises of a restaurant liquor
24 licensee, a licensee may not allow any person to perform or simulate sexual acts prohibited by
25 Utah law, including sexual intercourse, masturbation, sodomy, bestiality, oral copulation,
26 flagellation, the touching, caressing, or fondling of the breast, buttocks, anus, or genitals, or the
27 displaying of the pubic hair, anus, vulva, or genitals. Entertainers shall perform only upon a stage
28 or at a designated area approved by the commission.
29 (b) Nothing in Subsection (25)(a) precludes a local authority from being more restrictive
30 of acts or conduct of the type prohibited in Subsection (25)(a).
31 (26) A restaurant liquor licensee may not engage in or permit any form of gambling, or

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1 have any video gaming device, as defined and proscribed by Title 76, Chapter 10, Part 11,
2 Gambling, on the premises of the restaurant liquor licensee.
3 (27) (a) Each restaurant liquor licensee shall maintain an expense ledger or record showing
4 in detail:
5 (i) quarterly expenditures made separately for:
6 (A) malt or brewed beverages;
7 (B) set-ups;
8 (C) liquor;
9 (D) food; and
10 (E) all other items required by the department; and
11 (ii) sales made separately for:
12 (A) malt or brewed beverages;
13 (B) set-ups;
14 (C) food; and
15 (D) all other items required by the department.
16 (b) The record required by Subsection (27)(a) shall be kept:
17 (i) in a form approved by the department; and
18 (ii) current for each three-month period.
19 (c) Each expenditure shall be supported by:
20 (i) delivery tickets;
21 (ii) invoices;
22 (iii) receipted bills;
23 (iv) canceled checks;
24 (v) petty cash vouchers; or
25 (vi) other sustaining data or memoranda.
26 (28) (a) Each restaurant liquor licensee shall maintain accounting and other records and
27 documents as the department may require.
28 (b) Any restaurant or person acting for the restaurant, who knowingly forges, falsifies,
29 alters, cancels, destroys, conceals, or removes the entries in any of the books of account or other
30 documents of the restaurant required to be made, maintained, or preserved by this title or the rules
31 of the commission for the purpose of deceiving the commission, council, or department, or any

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1 of their officials or employees, is subject to the immediate suspension or revocation of the
2 restaurant's liquor license and possible criminal prosecution under Chapter 12, Criminal Offenses.
3 (29) (a) A restaurant liquor licensee may not close or cease operation for a period longer
4 than 240 hours, unless:
5 (i) the restaurant liquor license notifies the department in writing at least seven days before
6 the closing; and
7 (ii) the closure or cessation of operation is first approved by the department.
8 (b) Notwithstanding Subsection (29)(a), in the case of emergency closure, immediate notice
9 of closure shall be made to the department by telephone.
10 (c) The department may authorize a closure or cessation of operation for a period not to
11 exceed 60 days. The department may extend the initial period an additional 30 days upon written
12 request of the restaurant licensee and upon a showing of good cause. A closure or cessation of
13 operation may not exceed a total of 90 days without commission approval.
14 (d) Any notice shall include:
15 (i) the dates of closure or cessation of operation;
16 (ii) the reason for the closure or cessation of operation; and
17 (iii) the date on which the licensee will reopen or resume operation.
18 (e) Failure of the licensee to provide notice and to obtain department authorization prior
19 to closure or cessation of operation shall result in an automatic forfeiture of:
20 (i) the license; and
21 (ii) the unused portion of the license fee for the remainder of the license year effective
22 immediately.
23 (f) Failure of the licensee to reopen or resume operation by the approved date shall result
24 in an automatic forfeiture of:
25 (i) the license; and
26 (ii) the unused portion of the license fee for the remainder of the license year.
27 (30) Each restaurant liquor licensee shall maintain at least 70% of its total restaurant
28 business from the sale of food, which does not include mix for alcoholic beverages or service
29 charges.
30 (31) A person may not transfer a restaurant liquor license from one location to another,
31 without prior written approval of the commission.

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1 (32) (a) A person, having been granted a restaurant liquor license may not sell, exchange,
2 barter, give, or attempt in any way to dispose of the license whether for monetary gain or not.
3 (b) A restaurant liquor license has no monetary value for the purpose of any type of
4 disposition.
5 (33) Each server of alcoholic beverages in a licensee's establishment shall keep a written
6 beverage tab for each table or group that orders or consumes alcoholic beverages on the premises.
7 The beverage tab shall list the type and amount of alcoholic beverages ordered or consumed.
8 (34) A person's willingness to serve alcoholic beverages may not be made a condition of
9 employment as a server with a restaurant that has a restaurant liquor license.
10 Section 2. Section 32A-4-206 is amended to read:
11 32A-4-206. Operational restrictions.
12 Each person granted an airport lounge liquor license and the employees and management
13 personnel of the airport lounge shall comply with the following conditions and requirements.
14 Failure to comply may result in a suspension or revocation of the license or other disciplinary
15 action taken against individual employees or management personnel.
16 (1) Liquor may not be purchased by an airport lounge liquor licensee except from state
17 stores or package agencies. Liquor purchased may be transported by the licensee from the place
18 of purchase to the licensed premises. Payment for liquor shall be made in accordance with the
19 rules established by the commission.
20 (2) An airport lounge liquor licensee may not sell or provide any primary liquor except in
21 one ounce quantities dispensed through a calibrated metered dispensing system approved by the
22 department in accordance with commission rules adopted under this title, except that:
23 (a) liquor need not be dispensed through a calibrated metered dispensing system if used
24 as a secondary flavoring ingredient in a beverage subject to the following restrictions:
25 (i) the secondary ingredient may be dispensed only in conjunction with the purchase of
26 a primary liquor;
27 (ii) the secondary ingredient is not the only liquor in the beverage;
28 (iii) the licensee shall designate a location where flavorings are stored on the floor plan
29 provided to the department; and
30 (iv) all flavoring containers shall be plainly and conspicuously labeled "flavorings";
31 (b) wine may be served by the glass in quantities not exceeding five ounces per glass; and

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1 (c) heavy beer may be served in original containers not exceeding one liter.
2 (3) (a) Airport lounges may sell beer in any size container not exceeding two liters, and
3 on draft without obtaining a separate on-premise beer retailer license from the commission.
4 (b) Airport lounges that sell beer pursuant to Subsection (3)(a) shall comply with all
5 appropriate operational restrictions under Chapter 10 that apply to on-premise beer retailers except
6 when those restrictions are inconsistent with or less restrictive than the operational restrictions
7 under this chapter that apply to airport lounges.
8 (c) Failure to comply with the operational restrictions under Chapter 10 as set forth in
9 Subsection (3)(b) may result in a suspension or revocation of the airport lounge's state liquor
10 license and its alcoholic beverage license issued by the local authority.
11 (4) Wine may be served in accordance with commission rule in containers not exceeding
12 750 ml.
13 (5) (a) Liquor may not be stored or sold in any place other than as designated in the
14 licensee's application, unless the licensee first applies for and receives approval from the
15 department for a change of location within the airport lounge.
16 (b) A patron or guest may only make purchases in the airport lounge from a server
17 designated and trained by the licensee.
18 (c) Alcoholic beverages may not be stored where they are visible to persons outside the
19 airport lounge.
20 (6) The liquor storage area shall remain locked at all times other than those hours and days
21 when liquor sales are authorized by law.
22 (7) Alcoholic beverages may not be sold or offered for sale at an airport lounge during the
23 following days or hours:
24 (a) on the day of any regular general election, regular primary election, or statewide special
25 election until after the polls are closed; and
26 (b) on any other day after 12 midnight and before 8 a.m.
27 (8) Alcoholic beverages may not be sold, delivered, or furnished to any:
28 (a) minor;
29 (b) person actually, apparently, or obviously drunk;
30 (c) known habitual drunkard; or
31 (d) known interdicted person.

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1 (9) Liquor may not be sold except at prices fixed by the commission. Mixed drinks and
2 wine may not be sold at discount prices on any day or at any time.
3 (10) An airport lounge patron or guest may have only one alcoholic beverage at a time
4 before him.
5 (11) No more than one ounce of primary liquor may be served to a patron or guest at a
6 time, except wine as provided in Subsection (2)(b) and heavy beer as provided in Subsection
7 (2)(c).
8 (12) Alcoholic beverages may not be purchased by the licensee, or any employee or agent
9 of the licensee, for patrons or guests of the airport lounge.
10 (13) (a) Beginning January 1, 1991, a person may not bring onto the premises of an airport
11 lounge licensee any alcoholic beverage for on-premise consumption.
12 (b) Beginning January 1, 1991, an airport lounge or its officers, managers, employees, or
13 agents may not allow a person to bring onto the airport lounge premises any alcoholic beverage
14 for on-premise consumption or allow consumption of any such alcoholic beverage on its premises.
15 (c) Beginning January 1, 1991, if any airport lounge liquor licensee or any of its officers,
16 managers, employees, or agents violates Subsection (13):
17 (i) the commission may immediately suspend or revoke the airport lounge's liquor license
18 and the airport lounge liquor licensee is subject to criminal prosecution under Chapter 12; and
19 (ii) the local authority may immediately suspend or revoke the airport lounge's local liquor
20 license, local consent under Subsection 32A-4-202(1)[(c)], or local business license.
21 (14) Alcoholic beverages purchased from the airport lounge may not be removed from the
22 airport lounge premises.
23 (15) Minors may not be employed by an airport lounge licensee to sell or dispense
24 alcoholic beverages.
25 (16) An employee of a licensee, while on duty, may not consume an alcoholic beverage
26 or be under the influence of alcoholic beverages.
27 (17) Each airport lounge liquor licensee shall display in a prominent place in the airport
28 lounge:
29 (a) the liquor license that is issued by the department;
30 (b) a list of the types and brand names of liquor being served through its calibrated
31 metered dispensing system; and

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1 (c) a sign in large letters stating: "Warning: The consumption of alcoholic beverages
2 purchased in this establishment may be hazardous to your health and the safety of others."
3 (18) (a) Each airport lounge liquor licensee shall maintain an expense ledger or record
4 showing in detail:
5 (i) quarterly expenditures made separately for malt or brewed beverages, liquor, and all
6 other items required by the department; and
7 (ii) sales made separately for malt or brewed beverages, food, and all other items required
8 by the department.
9 (b) This record shall be kept in a form approved by the department and shall be kept
10 current for each three-month period. Each expenditure shall be supported by delivery tickets,
11 invoices, receipted bills, canceled checks, petty cash vouchers, or other sustaining data or
12 memoranda.
13 (19) Each airport lounge liquor licensee shall maintain accounting and other records and
14 documents as the department may require. Any airport lounge or person acting for the airport
15 lounge, who knowingly forges, falsifies, alters, cancels, destroys, conceals, or removes the entries
16 in any of the books of account or other documents of the airport lounge required to be made,
17 maintained, or preserved by this title or the rules of the commission for the purpose of deceiving
18 the commission, council, or department, or any of their officials or employees, is subject to the
19 immediate suspension or revocation of the airport lounge's liquor license and possible criminal
20 prosecution under Chapter 12.
21 (20) There shall be no transfer of an airport lounge liquor license from one location to
22 another, without prior written approval of the commission.
23 (21) (a) A person, having been granted an airport lounge liquor license, may not sell,
24 exchange, barter, give, or attempt in any way to dispose of the license whether for monetary gain
25 or not.
26 (b) An airport lounge liquor license has no monetary value for the purpose of any type of
27 disposition.
28 (22) Each server of alcoholic beverages in a licensee's establishment shall keep a written
29 beverage tab for each table or group that orders or consumes alcoholic beverages on the premises.
30 The beverage tab shall list the type and amount of alcoholic beverages ordered or consumed.
31 (23) An airport lounge liquor licensee's premises may not be leased for private functions.

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1 (24) An airport lounge liquor licensee may not engage in or permit any form of gambling,
2 or have any video gaming device, as defined and proscribed by Title 76, Chapter 10, Part 11,
3 Gambling, on the premises of the airport lounge liquor licensee.
4 Section 3. Section 32A-5-107 is amended to read:
5 32A-5-107. Operational restrictions.
6 Each corporation or association granted a private club liquor license and its employees,
7 officers, managing agent, and members shall comply with the following conditions and
8 requirements. Failure to comply may result in a suspension or revocation of the license or other
9 disciplinary action taken against individual employees or management personnel.
10 (1) Each private club shall hold regular meetings as required by its articles or bylaws and
11 conduct its business through regularly elected officers. Within ten days following the election of
12 any officer, the department shall be notified in writing of the officer's name, address, and office
13 to which the officer has been elected, and the term of that office.
14 (2) Each private club may admit members only on written application signed by the
15 applicant, following investigation and approval of the governing body. Admissions shall be
16 recorded in the official minutes of a regular meeting of the governing body and the application,
17 whether approved or disapproved, shall be filed as a part of the official records of the licensee.
18 An applicant may not be accorded the privileges of a member until a quorum of the governing
19 body has formally voted upon and approved the applicant as a member. An applicant may not be
20 admitted to membership until seven days after the application is submitted.
21 (3) Each private club shall maintain a current and complete membership record showing
22 the date of application of each proposed member, the member's address, the date of admission
23 following application, and the date initiation fees and dues were assessed and paid. The record
24 shall also show the serial number of the membership card issued to each member. A current record
25 shall also be kept indicating when members were dropped or resigned.
26 (4) Each private club shall establish in the club bylaws initial fees and monthly dues, as
27 established by commission rules, which are collected from all members.
28 (5) Each private club may allow guests or visitors to use the premises only when
29 previously authorized by a member. A member is responsible for all services extended to guests
30 and visitors. If the guest or visitor is a member of the same fraternal organization as the private
31 club liquor licensee, no previous authorization is required.

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1 (6) Each private club shall limit the issuance of visitor cards for a period not to exceed two
2 weeks and assess and collect a fee from each visitor of not less than $5 for each two-week period
3 the visitor card is issued. One dollar of every visitor card fee shall be remitted quarterly to the
4 department for the administration of this title. A current record of the issuance of each card shall
5 be maintained and shall contain the name of the member sponsoring the visitor.
6 (7) A private club may not sell alcoholic beverages to any person other than a member,
7 guest, or visitor who holds a valid visitor card issued under Subsection (6).
8 (8) A person who is under 21 years of age may not be a member, officer, director, or
9 trustee of a private club.
10 (9) An employee of a club, while on duty, may not consume an alcoholic beverage, be
11 under the influence of alcoholic beverages, sponsor a person for visitor privileges, or act as a host
12 for a guest.
13 (10) A visitor to a club may not host more than five guests at one time.
14 (11) Each private club shall maintain an expense ledger or record showing in detail all
15 expenditures separated by payments for malt or brewed beverages, liquor, food, detailed payroll,
16 entertainment, rent, utilities, supplies, and all other expenditures. This record shall be kept in a
17 form approved by the department and balanced each month. Each expenditure shall be supported
18 by delivery tickets, invoices, receipted bills, canceled checks, petty cash vouchers, or other
19 sustaining data or memoranda. All invoices and receipted bills for the current calendar or fiscal
20 year documenting purchases made by officers of the club for the benefit of the club shall also be
21 maintained.
22 (12) Each private club shall maintain a bank account that shows all income and
23 expenditures as a control on the income and disbursements records. This account shall be balanced
24 each month under the direction of the treasurer or other officer of the licensee.
25 (13) Each private club shall maintain a minute book that is posted currently by the
26 secretary. This record shall contain the minutes of all regular and special meetings of the
27 governing body and all committee meetings held to conduct club business. Membership lists shall
28 also be maintained.
29 (14) Each private club shall maintain current copies of the club's articles of incorporation,
30 current bylaws, and current house rules. Changes in the bylaws are not effective unless submitted
31 to the department within ten days after adoption, and become effective 15 days after received by

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1 the department unless rejected by the department before the expiration of the 15-day period.
2 (15) Each private club shall maintain accounting and other records and documents as the
3 department may require.
4 (16) Any club or person acting for the club, who knowingly forges, falsifies, alters,
5 cancels, destroys, conceals, or removes the entries in any of the books of account or other
6 documents of the club required to be made, maintained, or preserved by this title or the rules of
7 the commission for the purpose of deceiving the commission, council, or department, or any of
8 their officials or employees, is subject to the immediate suspension or revocation of the club's
9 license and possible criminal prosecution under Chapter 12.
10 (17) Each private club shall maintain and keep all the records required by this section and
11 all other books, records, receipts, and disbursements maintained or utilized by the licensee, as the
12 department requires, for a minimum period of three years. All records, books, receipts, and
13 disbursements are subject to inspection by authorized representatives of the commission,
14 department, and council. The club shall allow the department, through its auditors or examiners,
15 to audit all records of the club at times the department considers advisable. The department shall
16 audit the records of the licensee at least once annually.
17 (18) Each private club shall make available to the department, upon request, verified
18 copies of any returns filed with the United States Treasury Department, Internal Revenue Service,
19 under the federal Internal Revenue Code. Failure to provide any returns and supporting documents
20 upon reasonable request by the department or, alternatively, to provide evidence of an extension
21 granted by the Internal Revenue Service, constitutes sufficient grounds for the commission to
22 suspend or revoke a license. Any return or copy of a return so filed with the department is
23 confidential and may not be used in any manner not directly connected with the enforcement of
24 this title, nor may it be disclosed to any person or any department or agency of government,
25 whether federal, state, or local.
26 (19) Each private club shall own or lease premises suitable for its activities in its own
27 name. A copy of the lease shall be filed with the department.
28 (20) Each private club shall operate the club under the supervision of a manager or house
29 committee, appointed by the governing body of the club.
30 (21) A private club may not maintain facilities in any manner that barricades or conceals
31 the club operation. Any member of the commission, authorized department personnel, member

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1 of the council, or any peace officer shall, upon presentation of credentials, be admitted
2 immediately to the club and permitted without hindrance or delay to inspect completely the entire
3 club premises and all books and records of the licensee, at any time during which the same are
4 open for the transaction of business to its members.
5 (22) A private club may not pay any person or entity any fee, salary, rent, or other payment
6 of any kind in excess of the fair market value for the service rendered, goods furnished, or facilities
7 or equipment rented. It is the intention of this subsection to insure that no officer, managing agent,
8 employee, or other person derives a principal economic benefit from the operation of a club.
9 (23) A private club may not engage in any public solicitation or public advertising
10 calculated to increase its membership.
11 (24) Each private club shall comply with the following operational restrictions:
12 (a) The liquor storage and sales area shall remain locked at all times when it is not open
13 for business.
14 (b) Liquor may not be purchased by a private club liquor licensee except from state stores
15 or package agencies. Liquor so purchased may be transported by the licensee from the place of
16 purchase to the licensed premises. Payment for liquor shall be made in accordance with rules
17 established by the commission.
18 (c) Beginning July 1, 1991, a private club liquor licensee may not sell or provide any
19 primary liquor except in one ounce quantities dispensed through a calibrated metered dispensing
20 system approved by the department in accordance with commission rules adopted under this title,
21 except that:
22 (i) liquor need not be dispensed through a calibrated metered dispensing system if used
23 as a secondary flavoring ingredient in a beverage subject to the following restrictions:
24 (A) the beverage shall contain liquor from a lawfully purchased container;
25 (B) the secondary ingredient is not the only liquor in the beverage;
26 (C) the licensee shall designate a location where flavorings are stored on the floor plan
27 provided to the department; and
28 (D) all flavoring containers shall be plainly and conspicuously labeled "flavorings";
29 (ii) liquor need not be dispensed through a calibrated metered dispensing system if used
30 as a flavoring on desserts and in the preparation of flaming food dishes, drinks, and desserts;
31 (iii) wine may be served by the glass in quantities not exceeding five ounces per glass; and

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1 (iv) heavy beer may be served in standard containers not exceeding one liter.
2 (d) (i) Private clubs licensed to sell liquor may sell beer in any size container not
3 exceeding two liters, and on draft without obtaining a separate on-premise beer retailer license
4 from the commission.
5 (ii) Private clubs licensed under this chapter that sell beer pursuant to Subsection (24)(d)(i)
6 shall comply with all appropriate operational restrictions under Title 32A, Chapter 10, Beer
7 Retailer Licenses, that apply to on-premise beer retailers except when those restrictions are
8 inconsistent with or less restrictive than the operational restrictions under this chapter.
9 (iii) Failure to comply with the operational restrictions under Title 32A, Chapter 10, as set
10 forth in Subsection (24)(d)(ii) may result in a suspension or revocation of the private club's state
11 liquor license and its alcoholic beverage license issued by the local authority.
12 (e) Wine may be served in accordance with commission rule in containers not exceeding
13 750 ml.
14 (f) A private club may not charge for the service or supply of glasses, ice, or mixers unless
15 the charges are fixed in the house rules of the club and a copy of the rules is kept on the club
16 premises and available at all times for examination by the members, guests, and visitors to the
17 club.
18 (g) Minors may not be employed by any club to sell, dispense, or handle any alcoholic
19 beverage.
20 (h) An officer, director, managing agent, employee, and any other person employed by or
21 acting for or in behalf of any licensee, may not sell, deliver, or furnish, or cause or permit to be
22 sold, delivered, or furnished any liquor to any:
23 (i) minor;
24 (ii) person actually, apparently, or obviously drunk;
25 (iii) known habitual drunkard; or
26 (iv) known interdicted person.
27 (i) (i) Liquor may not be sold or offered for sale at any private club during the following
28 days or hours:
29 (A) on the day of any regular general election, regular primary election, or statewide
30 special election until after the polls are closed;
31 (B) on the day of any municipal, special district, or school election, but only within the

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1 boundaries of the municipality, special district, or school district, and only if closure is required
2 by local ordinance; and
3 (C) on Sunday and any state or federal legal holiday after 12 midnight and before 12 noon.
4 (ii) The hours of beer sales are those specified in Chapter 10 for on-premise beer licensees.
5 (j) On all other days the liquor storage and sales area in the club shall be closed from 1
6 a.m. until 10 a.m.
7 (k) Liquor may not be sold except at prices fixed by the commission. Mixed drinks and
8 wine may not be sold at discount prices on any date or at any time.
9 (l) Beginning July 1, 1991, no more than one ounce of primary liquor may be served to
10 a member, guest, or visitor at a time, except wine as provided in Subsection (24)(c)(iii) and heavy
11 beer as provided in Subsection (24)(c)(iv).
12 (m) (i) Beginning January 1, 1991, a person may not bring onto the premises of a private
13 club liquor licensee any alcoholic beverage for on-premise consumption, except a person may
14 bring, subject to the discretion of the licensee, cork-finished wine onto the premises of any private
15 club liquor licensee and consume wine pursuant to Subsection (24)(n).
16 (ii) Beginning January 1, 1991, a private club or its officers, managers, employees, or
17 agents may not allow a person to bring onto the private club premises any alcoholic beverage for
18 on-premise consumption, except cork-finished wine under Subsection (24)(m)(i).
19 (iii) Beginning January 1, 1991, if any private club licensee or any of its officers,
20 managers, employees, or agents violates this subsection:
21 (A) the commission may immediately suspend or revoke the private club's liquor license
22 and the private club licensee is subject to criminal prosecution under Chapter 12; and
23 (B) the local authority may immediately suspend or revoke the private club's local liquor
24 license, local consent under Subsection 32A-5-102(1)[(c)], or local business license.
25 (n) A wine service may be performed and a service charge assessed by the private club as
26 authorized by commission rule for wine purchased at the private club or carried in by a member,
27 guest, or visitor. If wine is carried in by a member, guest, or visitor, the member, guest, or visitor
28 shall deliver the wine to a server or other representative of the licensee upon entering the licensee
29 premises.
30 (o) A member, guest, or visitor to a club may not carry from a club premises an open
31 container used primarily for drinking purposes containing any alcoholic beverage.

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1 (p) Each private club liquor licensee shall display in a prominent place in the private club:
2 (i) the private club liquor license that is issued by the department;
3 (ii) a list of the types and brand names of liquor being served through its calibrated
4 metered dispensing system; and
5 (iii) a sign in large letters stating: "Warning: The consumption of alcoholic beverages
6 purchased in this establishment may be hazardous to your health and the safety of others."
7 (q) The following acts or conduct in a private club licensed under this chapter are
8 considered contrary to the public welfare and morals, and are prohibited upon the premises:
9 (i) employing or using any person in the sale or service of alcoholic beverages while the
10 person is unclothed or in attire, costume, or clothing that exposes to view any portion of the female
11 breast below the top of the areola or any portion of the pubic hair, anus, cleft of the buttocks,
12 vulva, or genitals;
13 (ii) employing or using the services of any person to mingle with the patrons while the
14 person is unclothed or in attire, costume, or clothing described in Subsection (24)(q)(i);
15 (iii) encouraging or permitting any person to touch, caress, or fondle the breasts, buttocks,
16 anus, or genitals of any other person;
17 (iv) permitting any employee or person to wear or use any device or covering, exposed to
18 view, that simulates the breast, genitals, anus, pubic hair, or any portion of these;
19 (v) permitting any person to use artificial devices or inanimate objects to depict any of the
20 prohibited activities described in this subsection;
21 (vi) permitting any person to remain in or upon the premises who exposes to public view
22 any portion of his or her genitals or anus; or
23 (vii) showing films, still pictures, electronic reproductions, or other visual reproductions
24 depicting:
25 (A) acts or simulated acts of sexual intercourse, masturbation, sodomy, bestiality, oral
26 copulation, flagellation, or any sexual acts prohibited by Utah law;
27 (B) any person being touched, caressed, or fondled on the breast, buttocks, anus, or
28 genitals;
29 (C) scenes wherein artificial devices or inanimate objects are used to depict, or drawings
30 are used to portray, any of the prohibited activities described in this subsection; or
31 (D) scenes wherein a person displays the vulva or the anus or the genitals.

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1 (r) Nothing in Subsection (24)(q) precludes a local authority from being more restrictive
2 of acts or conduct of the type prohibited in Subsection (24)(q).
3 (s) (i) Although live entertainment is permitted on the premises of a club liquor licensee,
4 a licensee may not allow any person to perform or simulate sexual acts prohibited by Utah law,
5 including sexual intercourse, masturbation, sodomy, bestiality, oral copulation, flagellation, or the
6 touching, caressing, or fondling of the breast, buttocks, anus, or genitals, or the displaying of the
7 pubic hair, anus, vulva, or genitals. Entertainers shall perform only upon a stage or at a designated
8 area approved by the commission.
9 (ii) Nothing in Subsection (24)(s)(i) precludes a local authority from being more restrictive
10 of acts or conduct of the type prohibited in Subsection (24)(s)(i).
11 (25) A private club may not engage in or permit any form of gambling, or have any video
12 gaming device, as defined and proscribed in Title 76, Chapter 10, Part 11, Gambling, on the
13 premises of the private club.
14 (26) (a) A private club may not close or cease operation for a period longer than 240 hours,
15 unless written notice is given to the department at least seven days before the closing, and the
16 closure or cessation of operation is first approved by the department.
17 (b) In the case of emergency closure, immediate notice of closure shall be made to the
18 department by telephone.
19 (c) The department may authorize a closure or cessation of operation for a period not to
20 exceed 60 days. The department may extend the initial period an additional 30 days upon written
21 request of the private club and upon a showing of good cause. A closure or cessation of operation
22 may not exceed a total of 90 days without commission approval.
23 (d) Any notice shall include the dates of closure or cessation of operation, the reason for
24 the closure or cessation of operation, and the date on which the licensee will reopen or resume
25 operation.
26 (e) Failure of the licensee to provide notice and to obtain department authorization prior
27 to closure or cessation of operation shall result in an automatic forfeiture of the license and the
28 forfeiture of the unused portion of the license fee for the remainder of the license year effective
29 immediately.
30 (f) Failure of the licensee to reopen or resume operation by the approved date shall result
31 in an automatic forfeiture of the license and the forfeiture of the unused portion of the club's

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1 license fee for the remainder of the license year.
2 (27) Each private club shall conduct its affairs so that it is not operated for a pecuniary
3 profit.
4 (28) A private club may not transfer a private club liquor license from one location to
5 another, without prior written approval of the commission.
6 (29) A person, having been granted a private club liquor license, may not sell, exchange,
7 barter, give, or attempt in any way to dispose of the license, whether for monetary gain or not. A
8 private club liquor license has no monetary value for the purpose of any type of disposition.
9 Section 4. Section 32A-7-106 is amended to read:
10 32A-7-106. Operational restrictions.
11 (1) Any organization granted a single event permit and any person involved in the storage,
12 sale, or service of liquor at the event for which the permit is issued, shall abide by this title, the
13 rules of the commission, and the special conditions and requirements provided in this section.
14 Failure to do so may result in an immediate revocation of the permit, forfeiture of the surety bond,
15 immediate seizure of all liquor present at the event, and disqualifies the organization from applying
16 for a single event permit for a period of three years from the date of revocation of the permit. Any
17 liquor seized under this subsection shall be returned to the organization after the event if forfeiture
18 proceedings are not instituted under Section 32A-13-103.
19 (2) Special conditions and requirements for single event permittees include, but are not
20 limited to, the following:
21 (a) All persons involved in the storage, sale, or service of liquor at the event do so under
22 the supervision and direction of the permittee.
23 (b) All liquor stored, sold, served, and consumed at the event shall be purchased by the
24 permittee from a state store or package agency, and is considered under the control of the permittee
25 during the event. Attendees of the event may not bring any liquor other than that furnished by the
26 permittee onto the premises of the event.
27 (c) A permittee may not charge more than the maximum amount set forth in the permit for
28 any alcoholic beverage.
29 (d) Each permittee shall post in a prominent place in the area in which liquor is being sold,
30 served, and consumed, a copy of the permit, together with a list of the operational restrictions and
31 requirements of single event permittees set forth in this section.

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1 (e) Liquor purchased for the event may not be stored in any place other than that described
2 in the application and designated on the permit.
3 (f) Liquor purchased for the event may not be sold or served in any place other than the
4 site described in the application and designated on the permit.
5 (g) Liquor purchased for the event may not be consumed in any area other than that
6 described in the application and designated on the permit.
7 (h) (i) A single event permittee may not provide any primary liquor except in one ounce
8 quantities, except that:
9 (A) additional liquor may be used in a beverage if used as a secondary flavoring
10 ingredient, but only in conjunction with the primary liquor and only if the secondary ingredient
11 is not the only liquor in the beverage;
12 (B) wine may be served by the glass in quantities not exceeding five ounces per glass; and
13 (C) heavy beer may be served in original containers not exceeding one liter.
14 (ii) Liquor otherwise need not be dispensed through a calibrated metered dispensing
15 system.
16 (i) Hours of sale, service, and consumption shall be in accordance with any local ordinance
17 restrictions.
18 (j) Liquor may not be sold, served, or otherwise furnished on the day of any regular
19 general election, regular primary election, or statewide special election until after the polls are
20 closed.
21 (k) Liquor may not be sold, served, delivered, or furnished to any:
22 (i) minor;
23 (ii) person actually, apparently, or obviously drunk;
24 (iii) known habitual drunkard; or
25 (iv) known interdicted person.
26 (l) Minors may not sell, serve, dispense, or handle any alcoholic beverage at the event.
27 (m) Public advertising of the event may not include reference to the availability of any
28 alcoholic beverage at the event. However, the permittee may use signs or similar displays at the
29 site of the event to inform attendees of the locations where alcoholic beverages are being
30 dispensed.
31 (3) The following acts or conduct at an event for which a permit is issued under this

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1 chapter are considered contrary to the public welfare and morals, and are prohibited upon the
2 premises:
3 (a) employing or using any person in the sale or service of alcoholic beverages while the
4 person is unclothed or in attire, costume, or clothing that exposes to view any portion of the female
5 breast below the top of the areola or any portion of the pubic hair, anus, cleft of the buttocks,
6 vulva, or genitals;
7 (b) employing or using the services of any person to mingle with the patrons while the
8 person is unclothed or in attire, costume, or clothing described in Subsection (a);
9 (c) encouraging or permitting any person to touch, caress, or fondle the breasts, buttocks,
10 anus, or genitals of any other person;
11 (d) permitting any employee or person to wear or use any device or covering, exposed to
12 view, that simulates the breast, genitals, anus, pubic hair, or any portion of these;
13 (e) permitting any person to use artificial devices or inanimate objects to depict any of the
14 prohibited activities described in this subsection;
15 (f) permitting any person to remain in or upon the premises who exposes to public view
16 any portion of his or her genitals or anus;
17 (g) showing films, still pictures, electronic reproductions, or other visual reproductions
18 depicting:
19 (i) acts or simulated acts of sexual intercourse, masturbation, sodomy, bestiality, oral
20 copulation, flagellation, or any sexual acts prohibited by Utah law;
21 (ii) any person being touched, caressed, or fondled on the breast, buttocks, anus, or
22 genitals;
23 (iii) scenes wherein artificial devices or inanimate objects are used to depict, or drawings
24 are used to portray, any of the prohibited activities described in this subsection; or
25 (iv) scenes wherein a person displays the vulva or the anus or the genitals.
26 (4) Nothing in Subsection (3) precludes a local authority from being more restrictive of
27 acts or conduct of the type prohibited in Subsection (3).
28 (5) (a) Although live entertainment is permitted at the event for which a permit has been
29 issued under this chapter, a permittee may not allow any person to perform or simulate sexual acts
30 prohibited by Utah law, including sexual intercourse, masturbation, sodomy, bestiality, oral
31 copulation, flagellation, the touching, caressing, or fondling of the breast, buttocks, anus, or

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1 genitals, or the displaying of the pubic hair, anus, vulva, or genitals. Entertainers shall perform
2 only upon a stage or at a designated area approved by the commission.
3 (b) Nothing in Subsection (a) precludes a local authority from being more restrictive of
4 acts or conduct of the type prohibited in Subsection (a).
5 (6) The permittee shall maintain an expense and revenue ledger or record showing:
6 (a) expenditures made for liquor, set-ups, and other ingredients and components of
7 alcoholic beverages; and
8 (b) the revenue from sale of alcoholic beverages.
9 (7) Single event permits are not transferable.
10 (8) A single event permittee may not engage in or allow any form of gambling, or have
11 any video gaming device as defined and proscribed by Title 76, Chapter 10, Part 11, Gambling,
12 on the premises serviced by the single event permittee.
13 Section 5. Section 32A-10-206 is amended to read:
14 32A-10-206. Operational restrictions.
15 Each person granted an on-premise beer retailer license and the employees and
16 management personnel of the on-premise beer retailer licensee shall comply with the following
17 conditions and requirements. Failure to comply may result in a suspension or revocation of the
18 license or other disciplinary action taken against individual employees or management personnel.
19 (1) On-premise beer retailer licensees may sell beer in open containers, in any size not
20 exceeding two liters, and on draft.
21 (2) Liquor may not be stored or sold on the premises of any on-premise beer retailer
22 licensee.
23 (3) A patron or guest may only make purchases in the on-premise beer retailer licensee
24 from a server designated and trained by the licensee.
25 (4) (a) Beer may not be sold or offered for sale at any on-premise beer retailer licensee
26 after 1 a.m. and before 10 a.m.
27 (b) Beer may not be sold, delivered, or furnished to any:
28 (i) minor;
29 (ii) person actually, apparently, or obviously drunk;
30 (iii) known habitual drunkard; or
31 (iv) known interdicted person.

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1 (5) Beer sold in sealed containers by the on-premise beer retailer licensee may be removed
2 from the on-premise beer retailer premises.
3 (6) (a) Beginning January 1, 1991, a person may not bring onto the premises of an
4 on-premise beer retailer licensee any alcoholic beverage for on-premise consumption.
5 (b) Beginning January 1, 1991, an on-premise beer retailer licensee or its officers,
6 managers, employees, or agents may not allow a person to bring onto the on-premise beer retailer
7 licensee premises any alcoholic beverage for on-premise consumption or allow consumption of
8 any such alcoholic beverage on its premises.
9 (c) Beginning January 1, 1991, if any on-premise beer retailer licensee or any of its
10 officers, managers, employees, or agents violates Subsection (6):
11 (i) the commission may immediately suspend or revoke the on-premise beer retailer
12 license and the on-premise beer retailer licensee is subject to possible criminal prosecution under
13 Chapter 12; and
14 (ii) the local authority may immediately suspend or revoke the business license of the
15 on-premise beer retailer licensee.
16 (7) Minors may not be employed by or be on the premises of an on-premise beer retailer
17 licensee to sell or dispense beer. Minors may not be employed by or be on the premises of any
18 tavern.
19 (8) An employee of a licensee, while on duty, may not consume an alcoholic beverage or
20 be under the influence of alcoholic beverages.
21 (9) Each on-premise beer retailer licensee shall display in a prominent place in the
22 on-premise beer retailer licensee:
23 (a) the on-premise beer retailer license that is issued by the department; and
24 (b) a sign in large letters stating: "Warning: The consumption of alcoholic beverages
25 purchased in this establishment may be hazardous to your health and the safety of others."
26 (10) The following acts or conduct in an on-premise beer retailer outlet licensed under this
27 part are considered contrary to the public welfare and morals, and are prohibited upon the
28 premises:
29 (a) employing or using any person in the sale or service of alcoholic beverages while the
30 person is unclothed or in attire, costume, or clothing that exposes to view any portion of the female
31 breast below the top of the areola or any portion of the pubic hair, anus, cleft of the buttocks,

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1 vulva, or genitals;
2 (b) employing or using the services of any person to mingle with the patrons while the
3 person is unclothed or in attire, costume, or clothing as described in Subsection (10)(a);
4 (c) encouraging or permitting any person to touch, caress, or fondle the breasts, buttocks,
5 anus, or genitals of any other person;
6 (d) permitting any employee or person to wear or use any device or covering, exposed to
7 view, that simulates the breast, genitals, anus, pubic hair, or any portion of these;
8 (e) permitting any person to use artificial devices or inanimate objects to depict any of the
9 prohibited activities described in this section;
10 (f) permitting any person to remain in or upon the premises who exposes to public view
11 any portion of his or her genitals or anus; or
12 (g) showing films, still pictures, electronic reproductions, or other visual reproductions
13 depicting:
14 (i) acts or simulated acts of sexual intercourse, masturbation, sodomy, bestiality, oral
15 copulation, flagellation, or any sexual acts that are prohibited by Utah law;
16 (ii) any person being touched, caressed, or fondled on the breast, buttocks, anus, or
17 genitals;
18 (iii) scenes wherein artificial devices or inanimate objects are employed to depict, or
19 drawings are employed to portray, any of the prohibited activities described in this section; or
20 (iv) scenes wherein a person displays the vulva or the anus or the genitals.
21 (11) Nothing in Subsection (10) precludes a local authority from being more restrictive
22 of acts or conduct of the type prohibited in Subsection (10).
23 (12) An on-premise beer retailer licensee may not engage in or permit any form of
24 gambling, or have any video gaming device, as defined and proscribed in Title 76, Chapter 10, Part
25 11, Gambling, on the premises of the on-premise beer retailer licensee.
26 (13) (a) Although live entertainment is permitted on the premises of an on-premise beer
27 retailer licensee, a licensee may not permit any person to perform or simulate sexual acts
28 prohibited by Utah law, including sexual intercourse, masturbation, sodomy, bestiality, oral
29 copulation, flagellation, the touching, caressing, or fondling of the breast, buttocks, anus, or
30 genitals, or the displaying of the pubic hair, anus, vulva, or genitals. Entertainers shall perform
31 only upon a stage or at a designated area approved by the commission.

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1 (b) Nothing in Subsection (13)(a) precludes a local authority from being more restrictive
2 of acts or conduct of the type prohibited in Subsection (13)(a).
3 (14) Each on-premise beer retailer licensee shall maintain accounting and other records
4 and documents as the department may require. Any on-premise beer retailer licensee or person
5 acting for the on-premise beer retailer licensee, who knowingly forges, falsifies, alters, cancels,
6 destroys, conceals, or removes the entries in any of the books of account or other documents of
7 the on-premise beer retailer licensee required to be made, maintained, or preserved by this title or
8 the rules of the commission for the purpose of deceiving the commission, council, or department,
9 or any of their officials or employees, is subject to the immediate suspension or revocation of the
10 on-premise beer retailer license and possible criminal prosecution under Chapter 12.
11 (15) There shall be no transfer of an on-premise beer retailer license from one location to
12 another, without prior written approval of the commission.
13 (16) (a) A person having been granted an on-premise beer retailer license may not sell,
14 exchange, barter, give, or attempt in any way to dispose of the license whether for monetary gain
15 or not.
16 (b) An on-premise beer retailer license has no monetary value for the purpose of any type
17 of disposition.
18 Section 6. Section 76-10-1101 is amended to read:
19 76-10-1101. Definitions.
20 For the purpose of this part:
21 (1) "Gambling" means risking anything of value for a return or risking anything of value
22 upon the outcome of a contest, game, gaming scheme, or gaming device when the return or
23 outcome is based upon an element of chance and is in accord with an agreement or understanding
24 that someone will receive something of value in the event of a certain outcome, and gambling
25 includes a lottery; gambling does not include:
26 (a) A lawful business transaction, or
27 (b) Playing an amusement device that confers only an immediate and unrecorded right of
28 replay not exchangeable for value.
29 [(3)] (2) "Gambling bet" means money, checks, credit, or any other representation of
30 value.
31 [(4)] (3) "Gambling device or record" means anything specifically designed for use in

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1 gambling or used primarily for gambling.
2 [(5)] (4) "Gambling proceeds" means anything of value used in gambling.
3 [(2)] (5) "Lottery" means any scheme for the disposal or distribution of property by chance
4 among persons who have paid or promised to pay any valuable consideration for the chance of
5 obtaining property, or portion of it, or for any share or any interest in property, upon any
6 agreement, understanding, or expectation that it is to be distributed or disposed of by lot or chance,
7 whether called a lottery, raffle, or gift enterprise, or by whatever name it may be known.
8 (6) "Video gaming device" means any device that possesses all of the following
9 characteristics:
10 (a) a video display and computer mechanism for playing a game;
11 (b) the length of play of any single game is not substantially affected by the skill,
12 knowledge, or dexterity of the player;
13 (c) a meter, tracking, or recording mechanism that records or tracks any money, tokens,
14 games, or credits accumulated or remaining;
15 (d) a play option that permits a player to spend or risk varying amounts of money, tokens,
16 or credits during a single game, in which the spending or risking of a greater amount of money,
17 tokens, or credits:
18 (i) does not significantly extend the length of play time of any single game; and
19 (ii) provides for a chance of greater return of credits, games, or money; and
20 (e) an operating mechanism that requires inserting money, tokens, or other valuable
21 consideration in order to function.
22 Section 7. Section 76-10-1102 is amended to read:
23 76-10-1102. Gambling.
24 (1) A person is guilty of gambling if he:
25 (a) participates in gambling[, or];
26 (b) knowingly permits any gambling to be played, conducted, or dealt upon or in any real
27 or personal property owned, rented, or under the control of the actor, whether in whole or in part[.];
28 or
29 (c) knowingly allows the use of any video gaming device that is:
30 (i) in any business establishment or public place; and
31 (ii) accessible for use by any person within the establishment or public place.

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1 (2) Gambling is a class B misdemeanor, provided, however, that any person who is twice
2 convicted under this section shall be guilty of a class A misdemeanor.

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