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S.B. 167 Enrolled

             1     

ALCOHOLIC BEVERAGE CONTROL ACT RECODIFICATION

             2     
2010 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Chief Sponsor: John L. Valentine

             5     
House Sponsor: Gregory H. Hughes

             6     
             7      LONG TITLE
             8      General Description:
             9          This bill recodifies the Alcoholic Beverage Control Act and updates language related to
             10      the regulation of an alcoholic product.
             11      Highlighted Provisions:
             12          This bill:
             13          .    repeals Title 32A, Alcoholic Beverage Control Act, and replaces it with Title 32B,
             14      Alcoholic Beverage Control Act, including:
             15              .    modifying terminology and inconsistency in use of terms;
             16              .    removing outdated language;
             17              .    addressing a business license and written consent;
             18              .    clarifying that disciplinary action can be taken if certain actions are taken with
             19      a record required to be made or maintained under the title;
             20              .    removing requirements related to posting bonds;
             21              .    permitting a commissioner to serve until a successor is appointed with the
             22      consent of the Senate;
             23              .    addressing commission duties including that the commission by rule may
             24      establish different types of package agencies;
             25              .    clarifying the posting of bonds related to a package agency;
             26              .    clarifying penalties that may be imposed by the commission against a person
             27      subject to administrative action;
             28              .    addressing department duties, including when the department may make a
             29      claim against a bond;


             30              .    clarifying the department's authority to require purchases to be made in cash by
             31      persons who have payed with a dishonored check;
             32              .    clarifying when a violation of commission rules is not a criminal offense;
             33              .    clarifying that if an applicant for a license or permit is a government entity, it
             34      may be exempted from certain requirements;
             35              .    renaming certain licenses and permits;
             36              .    removing certain price and posting requirements for an event permit; and
             37              .    removing the health care facility use permit; and
             38          .    makes technical and conforming amendments.
             39      Monies Appropriated in this Bill:
             40          None
             41      Other Special Clauses:
             42          This bill provides an effective date.
             43          This bill provides revisor instructions.
             44          This bill coordinates with S.B. 141, Utah Substance Abuse and Anti-violence
             45      Coordinating Council Amendments, to technically merge amendments.
             46      Utah Code Sections Affected:
             47      AMENDS:
             48          11-10-1, as last amended by Laws of Utah 2009, Chapter 383
             49          13-7-2, as last amended by Laws of Utah 1987, Chapter 92
             50          26-38-2, as last amended by Laws of Utah 2009, Chapter 383
             51          29-2-102, as enacted by Laws of Utah 1995, Chapter 231
             52          41-6a-526, as renumbered and amended by Laws of Utah 2005, Chapter 2
             53          53-3-207, as last amended by Laws of Utah 2009, Chapter 315
             54          53-3-219, as last amended by Laws of Utah 2009, Chapter 390
             55          53-3-220, as last amended by Laws of Utah 2009, Chapters 105, 291, 328, and 353
             56          53-3-229, as last amended by Laws of Utah 2005, Chapter 197
             57          53-3-231, as last amended by Laws of Utah 2009, Chapters 18, 40, and 390


             58          53-3-806, as last amended by Laws of Utah 2009, Chapter 315
             59          53-3-810, as last amended by Laws of Utah 2005, Chapter 197
             60          53-10-102, as last amended by Laws of Utah 2009, Chapter 73
             61          53-10-112, as renumbered and amended by Laws of Utah 1998, Chapter 263
             62          53-10-113, as renumbered and amended by Laws of Utah 1998, Chapter 263
             63          53-10-304, as last amended by Laws of Utah 2000, Chapter 1
             64          53-10-305, as last amended by Laws of Utah 2009, Chapter 383
             65          53A-11-904, as last amended by Laws of Utah 2007, Chapters 79 and 161
             66          58-37-2, as last amended by Laws of Utah 2009, Chapter 42
             67          58-82-102 (Effective 07/01/12), as enacted by Laws of Utah 2009, Chapter 47
             68          59-15-101, as last amended by Laws of Utah 2003, Chapter 307
             69          59-15-109, as last amended by Laws of Utah 2003, Second Special Session, Chapter 5
             70          62A-15-401, as last amended by Laws of Utah 2008, Chapter 382
             71          63G-4-201, as renumbered and amended by Laws of Utah 2008, Chapter 382
             72          76-5-113, as last amended by Laws of Utah 2008, Chapters 317 and 391
             73          76-10-1506, as last amended by Laws of Utah 2005, Chapter 2
             74          76-10-1602, as last amended by Laws of Utah 2008, Chapters 292, 298, 370, and 382
             75          77-39-101, as last amended by Laws of Utah 2006, Chapter 342
             76          78A-6-117, as renumbered and amended by Laws of Utah 2008, Chapter 3
             77          78A-6-606, as last amended by Laws of Utah 2009, Chapters 353 and 390
             78          78A-6-1001, as last amended by Laws of Utah 2009, Chapter 19
             79          78A-6-1202, as renumbered and amended by Laws of Utah 2008, Chapter 3
             80          78B-6-1602, as enacted by Laws of Utah 2009, Chapter 187
             81      ENACTS:
             82          32B-1-101, Utah Code Annotated 1953
             83          32B-1-102, Utah Code Annotated 1953
             84          32B-1-103, Utah Code Annotated 1953
             85          32B-1-104, Utah Code Annotated 1953


             86          32B-1-201, Utah Code Annotated 1953
             87          32B-1-202, Utah Code Annotated 1953
             88          32B-1-203, Utah Code Annotated 1953
             89          32B-1-204, Utah Code Annotated 1953
             90          32B-1-205, Utah Code Annotated 1953
             91          32B-1-301, Utah Code Annotated 1953
             92          32B-1-302, Utah Code Annotated 1953
             93          32B-1-303, Utah Code Annotated 1953
             94          32B-1-304, Utah Code Annotated 1953
             95          32B-1-305, Utah Code Annotated 1953
             96          32B-1-306, Utah Code Annotated 1953
             97          32B-1-307, Utah Code Annotated 1953
             98          32B-1-401, Utah Code Annotated 1953
             99          32B-1-402, Utah Code Annotated 1953
             100          32B-1-403, Utah Code Annotated 1953
             101          32B-1-404, Utah Code Annotated 1953
             102          32B-1-405, Utah Code Annotated 1953
             103          32B-1-406, Utah Code Annotated 1953
             104          32B-1-407, Utah Code Annotated 1953
             105          32B-1-408, Utah Code Annotated 1953
             106          32B-1-501, Utah Code Annotated 1953
             107          32B-1-502, Utah Code Annotated 1953
             108          32B-1-503, Utah Code Annotated 1953
             109          32B-1-504, Utah Code Annotated 1953
             110          32B-1-505, Utah Code Annotated 1953
             111          32B-1-506, Utah Code Annotated 1953
             112          32B-1-601, Utah Code Annotated 1953
             113          32B-1-602, Utah Code Annotated 1953


             114          32B-1-603, Utah Code Annotated 1953
             115          32B-1-604, Utah Code Annotated 1953
             116          32B-1-605, Utah Code Annotated 1953
             117          32B-1-606, Utah Code Annotated 1953
             118          32B-1-607, Utah Code Annotated 1953
             119          32B-1-608, Utah Code Annotated 1953
             120          32B-2-101, Utah Code Annotated 1953
             121          32B-2-102, Utah Code Annotated 1953
             122          32B-2-201, Utah Code Annotated 1953
             123          32B-2-202, Utah Code Annotated 1953
             124          32B-2-203, Utah Code Annotated 1953
             125          32B-2-204, Utah Code Annotated 1953
             126          32B-2-205, Utah Code Annotated 1953
             127          32B-2-206, Utah Code Annotated 1953
             128          32B-2-207, Utah Code Annotated 1953
             129          32B-2-208, Utah Code Annotated 1953
             130          32B-2-301, Utah Code Annotated 1953
             131          32B-2-302, Utah Code Annotated 1953
             132          32B-2-303, Utah Code Annotated 1953
             133          32B-2-304, Utah Code Annotated 1953
             134          32B-2-401, Utah Code Annotated 1953
             135          32B-2-402, Utah Code Annotated 1953
             136          32B-2-403, Utah Code Annotated 1953
             137          32B-2-404, Utah Code Annotated 1953
             138          32B-2-405, Utah Code Annotated 1953
             139          32B-2-501, Utah Code Annotated 1953
             140          32B-2-502, Utah Code Annotated 1953
             141          32B-2-503, Utah Code Annotated 1953


             142          32B-2-504, Utah Code Annotated 1953
             143          32B-2-601, Utah Code Annotated 1953
             144          32B-2-602, Utah Code Annotated 1953
             145          32B-2-603, Utah Code Annotated 1953
             146          32B-2-604, Utah Code Annotated 1953
             147          32B-2-605, Utah Code Annotated 1953
             148          32B-2-606, Utah Code Annotated 1953
             149          32B-2-607, Utah Code Annotated 1953
             150          32B-3-101, Utah Code Annotated 1953
             151          32B-3-102, Utah Code Annotated 1953
             152          32B-3-201, Utah Code Annotated 1953
             153          32B-3-202, Utah Code Annotated 1953
             154          32B-3-203, Utah Code Annotated 1953
             155          32B-3-204, Utah Code Annotated 1953
             156          32B-3-205, Utah Code Annotated 1953
             157          32B-3-206, Utah Code Annotated 1953
             158          32B-3-207, Utah Code Annotated 1953
             159          32B-3-301, Utah Code Annotated 1953
             160          32B-3-302, Utah Code Annotated 1953
             161          32B-3-303, Utah Code Annotated 1953
             162          32B-3-304, Utah Code Annotated 1953
             163          32B-3-305, Utah Code Annotated 1953
             164          32B-3-306, Utah Code Annotated 1953
             165          32B-3-307, Utah Code Annotated 1953
             166          32B-4-101, Utah Code Annotated 1953
             167          32B-4-102, Utah Code Annotated 1953
             168          32B-4-201, Utah Code Annotated 1953
             169          32B-4-202, Utah Code Annotated 1953


             170          32B-4-203, Utah Code Annotated 1953
             171          32B-4-204, Utah Code Annotated 1953
             172          32B-4-205, Utah Code Annotated 1953
             173          32B-4-206, Utah Code Annotated 1953
             174          32B-4-207, Utah Code Annotated 1953
             175          32B-4-208, Utah Code Annotated 1953
             176          32B-4-209, Utah Code Annotated 1953
             177          32B-4-301, Utah Code Annotated 1953
             178          32B-4-302, Utah Code Annotated 1953
             179          32B-4-303, Utah Code Annotated 1953
             180          32B-4-304, Utah Code Annotated 1953
             181          32B-4-305, Utah Code Annotated 1953
             182          32B-4-401, Utah Code Annotated 1953
             183          32B-4-402, Utah Code Annotated 1953
             184          32B-4-403, Utah Code Annotated 1953
             185          32B-4-404, Utah Code Annotated 1953
             186          32B-4-405, Utah Code Annotated 1953
             187          32B-4-406, Utah Code Annotated 1953
             188          32B-4-407, Utah Code Annotated 1953
             189          32B-4-408, Utah Code Annotated 1953
             190          32B-4-409, Utah Code Annotated 1953
             191          32B-4-410, Utah Code Annotated 1953
             192          32B-4-411, Utah Code Annotated 1953
             193          32B-4-412, Utah Code Annotated 1953
             194          32B-4-413, Utah Code Annotated 1953
             195          32B-4-414, Utah Code Annotated 1953
             196          32B-4-415, Utah Code Annotated 1953
             197          32B-4-416, Utah Code Annotated 1953


             198          32B-4-417, Utah Code Annotated 1953
             199          32B-4-418, Utah Code Annotated 1953
             200          32B-4-419, Utah Code Annotated 1953
             201          32B-4-420, Utah Code Annotated 1953
             202          32B-4-421, Utah Code Annotated 1953
             203          32B-4-422, Utah Code Annotated 1953
             204          32B-4-501, Utah Code Annotated 1953
             205          32B-4-502, Utah Code Annotated 1953
             206          32B-4-503, Utah Code Annotated 1953
             207          32B-4-504, Utah Code Annotated 1953
             208          32B-4-505, Utah Code Annotated 1953
             209          32B-4-506, Utah Code Annotated 1953
             210          32B-4-507, Utah Code Annotated 1953
             211          32B-4-508, Utah Code Annotated 1953
             212          32B-4-509, Utah Code Annotated 1953
             213          32B-4-510, Utah Code Annotated 1953
             214          32B-4-601, Utah Code Annotated 1953
             215          32B-4-602, Utah Code Annotated 1953
             216          32B-4-603, Utah Code Annotated 1953
             217          32B-4-701, Utah Code Annotated 1953
             218          32B-4-702, Utah Code Annotated 1953
             219          32B-4-703, Utah Code Annotated 1953
             220          32B-4-704, Utah Code Annotated 1953
             221          32B-4-705, Utah Code Annotated 1953
             222          32B-4-706, Utah Code Annotated 1953
             223          32B-4-707, Utah Code Annotated 1953
             224          32B-4-708, Utah Code Annotated 1953
             225          32B-5-101, Utah Code Annotated 1953


             226          32B-5-102, Utah Code Annotated 1953
             227          32B-5-201, Utah Code Annotated 1953
             228          32B-5-202, Utah Code Annotated 1953
             229          32B-5-203, Utah Code Annotated 1953
             230          32B-5-204, Utah Code Annotated 1953
             231          32B-5-205, Utah Code Annotated 1953
             232          32B-5-206, Utah Code Annotated 1953
             233          32B-5-301, Utah Code Annotated 1953
             234          32B-5-302, Utah Code Annotated 1953
             235          32B-5-303, Utah Code Annotated 1953
             236          32B-5-304, Utah Code Annotated 1953
             237          32B-5-305, Utah Code Annotated 1953
             238          32B-5-306, Utah Code Annotated 1953
             239          32B-5-307, Utah Code Annotated 1953
             240          32B-5-308, Utah Code Annotated 1953
             241          32B-5-309, Utah Code Annotated 1953
             242          32B-5-310, Utah Code Annotated 1953
             243          32B-5-401, Utah Code Annotated 1953
             244          32B-5-402, Utah Code Annotated 1953
             245          32B-5-403, Utah Code Annotated 1953
             246          32B-5-404, Utah Code Annotated 1953
             247          32B-6-101, Utah Code Annotated 1953
             248          32B-6-102, Utah Code Annotated 1953
             249          32B-6-201, Utah Code Annotated 1953
             250          32B-6-202, Utah Code Annotated 1953
             251          32B-6-203, Utah Code Annotated 1953
             252          32B-6-204, Utah Code Annotated 1953
             253          32B-6-205, Utah Code Annotated 1953


             254          32B-6-205.1, Utah Code Annotated 1953
             255          32B-6-301, Utah Code Annotated 1953
             256          32B-6-302, Utah Code Annotated 1953
             257          32B-6-303, Utah Code Annotated 1953
             258          32B-6-304, Utah Code Annotated 1953
             259          32B-6-305, Utah Code Annotated 1953
             260          32B-6-305.1, Utah Code Annotated 1953
             261          32B-6-401, Utah Code Annotated 1953
             262          32B-6-402, Utah Code Annotated 1953
             263          32B-6-403, Utah Code Annotated 1953
             264          32B-6-404, Utah Code Annotated 1953
             265          32B-6-405, Utah Code Annotated 1953
             266          32B-6-406, Utah Code Annotated 1953
             267          32B-6-406.1, Utah Code Annotated 1953
             268          32B-6-407, Utah Code Annotated 1953
             269          32B-6-408, Utah Code Annotated 1953
             270          32B-6-501, Utah Code Annotated 1953
             271          32B-6-502, Utah Code Annotated 1953
             272          32B-6-503, Utah Code Annotated 1953
             273          32B-6-504, Utah Code Annotated 1953
             274          32B-6-505, Utah Code Annotated 1953
             275          32B-6-601, Utah Code Annotated 1953
             276          32B-6-602, Utah Code Annotated 1953
             277          32B-6-603, Utah Code Annotated 1953
             278          32B-6-604, Utah Code Annotated 1953
             279          32B-6-605, Utah Code Annotated 1953
             280          32B-6-701, Utah Code Annotated 1953
             281          32B-6-702, Utah Code Annotated 1953


             282          32B-6-703, Utah Code Annotated 1953
             283          32B-6-704, Utah Code Annotated 1953
             284          32B-6-705, Utah Code Annotated 1953
             285          32B-6-706, Utah Code Annotated 1953
             286          32B-6-707, Utah Code Annotated 1953
             287          32B-6-708, Utah Code Annotated 1953
             288          32B-7-101, Utah Code Annotated 1953
             289          32B-7-102, Utah Code Annotated 1953
             290          32B-7-201, Utah Code Annotated 1953
             291          32B-7-202, Utah Code Annotated 1953
             292          32B-7-301, Utah Code Annotated 1953
             293          32B-7-302, Utah Code Annotated 1953
             294          32B-7-303, Utah Code Annotated 1953
             295          32B-7-304, Utah Code Annotated 1953
             296          32B-7-305, Utah Code Annotated 1953
             297          32B-8-101, Utah Code Annotated 1953
             298          32B-8-102, Utah Code Annotated 1953
             299          32B-8-201, Utah Code Annotated 1953
             300          32B-8-202, Utah Code Annotated 1953
             301          32B-8-203, Utah Code Annotated 1953
             302          32B-8-204, Utah Code Annotated 1953
             303          32B-8-301, Utah Code Annotated 1953
             304          32B-8-302, Utah Code Annotated 1953
             305          32B-8-303, Utah Code Annotated 1953
             306          32B-8-304, Utah Code Annotated 1953
             307          32B-8-401, Utah Code Annotated 1953
             308          32B-8-402, Utah Code Annotated 1953
             309          32B-8-501, Utah Code Annotated 1953


             310          32B-8-502, Utah Code Annotated 1953
             311          32B-8-503, Utah Code Annotated 1953
             312          32B-9-101, Utah Code Annotated 1953
             313          32B-9-102, Utah Code Annotated 1953
             314          32B-9-201, Utah Code Annotated 1953
             315          32B-9-202, Utah Code Annotated 1953
             316          32B-9-203, Utah Code Annotated 1953
             317          32B-9-204, Utah Code Annotated 1953
             318          32B-9-301, Utah Code Annotated 1953
             319          32B-9-302, Utah Code Annotated 1953
             320          32B-9-303, Utah Code Annotated 1953
             321          32B-9-304, Utah Code Annotated 1953
             322          32B-9-305, Utah Code Annotated 1953
             323          32B-9-401, Utah Code Annotated 1953
             324          32B-9-402, Utah Code Annotated 1953
             325          32B-9-403, Utah Code Annotated 1953
             326          32B-9-404, Utah Code Annotated 1953
             327          32B-9-405, Utah Code Annotated 1953
             328          32B-9-406, Utah Code Annotated 1953
             329          32B-10-101, Utah Code Annotated 1953
             330          32B-10-102, Utah Code Annotated 1953
             331          32B-10-201, Utah Code Annotated 1953
             332          32B-10-202, Utah Code Annotated 1953
             333          32B-10-203, Utah Code Annotated 1953
             334          32B-10-204, Utah Code Annotated 1953
             335          32B-10-205, Utah Code Annotated 1953
             336          32B-10-206, Utah Code Annotated 1953
             337          32B-10-207, Utah Code Annotated 1953


             338          32B-10-301, Utah Code Annotated 1953
             339          32B-10-302, Utah Code Annotated 1953
             340          32B-10-303, Utah Code Annotated 1953
             341          32B-10-304, Utah Code Annotated 1953
             342          32B-10-401, Utah Code Annotated 1953
             343          32B-10-402, Utah Code Annotated 1953
             344          32B-10-403, Utah Code Annotated 1953
             345          32B-10-404, Utah Code Annotated 1953
             346          32B-10-501, Utah Code Annotated 1953
             347          32B-10-502, Utah Code Annotated 1953
             348          32B-10-503, Utah Code Annotated 1953
             349          32B-10-601, Utah Code Annotated 1953
             350          32B-10-602, Utah Code Annotated 1953
             351          32B-10-603, Utah Code Annotated 1953
             352          32B-10-604, Utah Code Annotated 1953
             353          32B-10-605, Utah Code Annotated 1953
             354          32B-10-701, Utah Code Annotated 1953
             355          32B-10-702, Utah Code Annotated 1953
             356          32B-10-703, Utah Code Annotated 1953
             357          32B-10-704, Utah Code Annotated 1953
             358          32B-11-101, Utah Code Annotated 1953
             359          32B-11-102, Utah Code Annotated 1953
             360          32B-11-201, Utah Code Annotated 1953
             361          32B-11-202, Utah Code Annotated 1953
             362          32B-11-203, Utah Code Annotated 1953
             363          32B-11-204, Utah Code Annotated 1953
             364          32B-11-205, Utah Code Annotated 1953
             365          32B-11-206, Utah Code Annotated 1953


             366          32B-11-207, Utah Code Annotated 1953
             367          32B-11-208, Utah Code Annotated 1953
             368          32B-11-209, Utah Code Annotated 1953
             369          32B-11-301, Utah Code Annotated 1953
             370          32B-11-302, Utah Code Annotated 1953
             371          32B-11-303, Utah Code Annotated 1953
             372          32B-11-401, Utah Code Annotated 1953
             373          32B-11-402, Utah Code Annotated 1953
             374          32B-11-403, Utah Code Annotated 1953
             375          32B-11-501, Utah Code Annotated 1953
             376          32B-11-502, Utah Code Annotated 1953
             377          32B-11-503, Utah Code Annotated 1953
             378          32B-11-601, Utah Code Annotated 1953
             379          32B-11-602, Utah Code Annotated 1953
             380          32B-11-603, Utah Code Annotated 1953
             381          32B-11-604, Utah Code Annotated 1953
             382          32B-11-605, Utah Code Annotated 1953
             383          32B-11-606, Utah Code Annotated 1953
             384          32B-11-607, Utah Code Annotated 1953
             385          32B-11-608, Utah Code Annotated 1953
             386          32B-11-609, Utah Code Annotated 1953
             387          32B-12-101, Utah Code Annotated 1953
             388          32B-12-102, Utah Code Annotated 1953
             389          32B-12-201, Utah Code Annotated 1953
             390          32B-12-202, Utah Code Annotated 1953
             391          32B-12-203, Utah Code Annotated 1953
             392          32B-12-204, Utah Code Annotated 1953
             393          32B-12-205, Utah Code Annotated 1953


             394          32B-12-206, Utah Code Annotated 1953
             395          32B-12-301, Utah Code Annotated 1953
             396          32B-12-302, Utah Code Annotated 1953
             397          32B-13-101, Utah Code Annotated 1953
             398          32B-13-102, Utah Code Annotated 1953
             399          32B-13-201, Utah Code Annotated 1953
             400          32B-13-202, Utah Code Annotated 1953
             401          32B-13-203, Utah Code Annotated 1953
             402          32B-13-204, Utah Code Annotated 1953
             403          32B-13-205, Utah Code Annotated 1953
             404          32B-13-206, Utah Code Annotated 1953
             405          32B-13-301, Utah Code Annotated 1953
             406          32B-13-302, Utah Code Annotated 1953
             407          32B-14-101, Utah Code Annotated 1953
             408          32B-14-102, Utah Code Annotated 1953
             409          32B-14-103, Utah Code Annotated 1953
             410          32B-14-201, Utah Code Annotated 1953
             411          32B-14-202, Utah Code Annotated 1953
             412          32B-14-301, Utah Code Annotated 1953
             413          32B-14-302, Utah Code Annotated 1953
             414          32B-14-303, Utah Code Annotated 1953
             415          32B-14-304, Utah Code Annotated 1953
             416          32B-14-305, Utah Code Annotated 1953
             417          32B-14-401, Utah Code Annotated 1953
             418          32B-14-402, Utah Code Annotated 1953
             419          32B-15-101, Utah Code Annotated 1953
             420          32B-15-102, Utah Code Annotated 1953
             421          32B-15-201, Utah Code Annotated 1953


             422          32B-15-202, Utah Code Annotated 1953
             423          32B-15-203, Utah Code Annotated 1953
             424          32B-15-301, Utah Code Annotated 1953
             425          32B-15-302, Utah Code Annotated 1953
             426          32B-16-101, Utah Code Annotated 1953
             427          32B-16-102, Utah Code Annotated 1953
             428          32B-16-201, Utah Code Annotated 1953
             429          32B-16-301, Utah Code Annotated 1953
             430          32B-16-302, Utah Code Annotated 1953
             431      REPEALS:
             432          32A-1-101, as renumbered and amended by Laws of Utah 1990, Chapter 23
             433          32A-1-102, as last amended by Laws of Utah 2007, Chapter 284
             434          32A-1-103, as renumbered and amended by Laws of Utah 1990, Chapter 23
             435          32A-1-104, as last amended by Laws of Utah 2003, Chapter 314
             436          32A-1-105, as last amended by Laws of Utah 2009, Chapter 383
             437          32A-1-106, as last amended by Laws of Utah 2007, Chapter 284
             438          32A-1-107, as last amended by Laws of Utah 2009, Chapters 190 and 383
             439          32A-1-108, as last amended by Laws of Utah 2007, Chapter 284
             440          32A-1-109, as last amended by Laws of Utah 2009, Chapter 383
             441          32A-1-110, as renumbered and amended by Laws of Utah 1990, Chapter 23
             442          32A-1-111, as last amended by Laws of Utah 2003, Chapter 314
             443          32A-1-112, as renumbered and amended by Laws of Utah 1990, Chapter 23
             444          32A-1-113, as last amended by Laws of Utah 2003, Chapter 314
             445          32A-1-115, as last amended by Laws of Utah 2009, Chapter 383
             446          32A-1-116, as last amended by Laws of Utah 2008, Chapter 391
             447          32A-1-117, as last amended by Laws of Utah 2000, Chapter 1
             448          32A-1-118, as last amended by Laws of Utah 2008, Chapter 382
             449          32A-1-119, as last amended by Laws of Utah 2009, Chapters 190 and 383


             450          32A-1-119.5, as last amended by Laws of Utah 2009, Chapters 356 and 383
             451          32A-1-120, as last amended by Laws of Utah 2008, Chapters 317 and 382
             452          32A-1-121, as last amended by Laws of Utah 2000, Chapter 1
             453          32A-1-122, as last amended by Laws of Utah 2008, Chapters 98 and 391
             454          32A-1-123, as last amended by Laws of Utah 2003, Chapter 314
             455          32A-1-301, as last amended by Laws of Utah 2009, Chapter 353
             456          32A-1-302, as last amended by Laws of Utah 2008, Chapter 391
             457          32A-1-303, as last amended by Laws of Utah 2002, Chapters 5 and 161
             458          32A-1-304, as last amended by Laws of Utah 2008, Chapters 322 and 391
             459          32A-1-304.5, as enacted by Laws of Utah 2009, Chapter 383
             460          32A-1-305, as last amended by Laws of Utah 2009, Chapter 353
             461          32A-1-401, as last amended by Laws of Utah 2007, Chapter 284
             462          32A-1-601, as enacted by Laws of Utah 2007, Chapter 284
             463          32A-1-602, as enacted by Laws of Utah 2007, Chapter 284
             464          32A-1-603, as last amended by Laws of Utah 2009, Chapter 383
             465          32A-1-604, as enacted by Laws of Utah 2007, Chapter 284
             466          32A-1-701, as enacted by Laws of Utah 2008, Chapter 391
             467          32A-1-702, as enacted by Laws of Utah 2008, Chapter 391
             468          32A-1-703, as enacted by Laws of Utah 2008, Chapter 391
             469          32A-1-704, as enacted by Laws of Utah 2008, Chapter 391
             470          32A-1-801, as enacted by Laws of Utah 2008, Chapter 391
             471          32A-1-802, as enacted by Laws of Utah 2008, Chapter 391
             472          32A-1-803, as enacted by Laws of Utah 2008, Chapter 391
             473          32A-1-804, as enacted by Laws of Utah 2008, Chapter 391
             474          32A-1-805, as enacted by Laws of Utah 2008, Chapter 391
             475          32A-1-806, as enacted by Laws of Utah 2008, Chapter 391
             476          32A-1-807, as enacted by Laws of Utah 2008, Chapter 391
             477          32A-1-808, as enacted by Laws of Utah 2008, Chapter 391


             478          32A-1-809, as enacted by Laws of Utah 2008, Chapter 391
             479          32A-2-101, as last amended by Laws of Utah 2008, Chapter 391
             480          32A-2-102, as renumbered and amended by Laws of Utah 1990, Chapter 23
             481          32A-2-103, as last amended by Laws of Utah 2009, Chapter 383
             482          32A-2-104, as renumbered and amended by Laws of Utah 1990, Chapter 23
             483          32A-3-101, as last amended by Laws of Utah 2008, Chapter 391
             484          32A-3-102, as last amended by Laws of Utah 2008, Chapter 391
             485          32A-3-103, as last amended by Laws of Utah 2003, Chapter 314
             486          32A-3-104, as last amended by Laws of Utah 1993, Chapter 4
             487          32A-3-105, as last amended by Laws of Utah 1991, Chapter 132
             488          32A-3-106, as last amended by Laws of Utah 2009, Chapter 383
             489          32A-3-107, as renumbered and amended by Laws of Utah 1990, Chapter 23
             490          32A-3-108, as last amended by Laws of Utah 2003, Chapter 314
             491          32A-4-101, as last amended by Laws of Utah 2009, Chapter 383
             492          32A-4-102, as last amended by Laws of Utah 2009, Chapter 383
             493          32A-4-103, as last amended by Laws of Utah 2008, Chapters 26 and 382
             494          32A-4-104, as last amended by Laws of Utah 2008, Chapter 391
             495          32A-4-105, as last amended by Laws of Utah 2003, Chapter 314
             496          32A-4-106, as last amended by Laws of Utah 2009, Chapter 383
             497          32A-4-201, as last amended by Laws of Utah 2003, Chapter 314
             498          32A-4-202, as last amended by Laws of Utah 2009, Chapter 383
             499          32A-4-203, as last amended by Laws of Utah 2008, Chapter 382
             500          32A-4-204, as enacted by Laws of Utah 1990, Chapter 23
             501          32A-4-205, as enacted by Laws of Utah 1990, Chapter 23
             502          32A-4-206, as last amended by Laws of Utah 2008, Chapter 391
             503          32A-4-301, as enacted by Laws of Utah 2003, Chapter 314
             504          32A-4-302, as last amended by Laws of Utah 2009, Chapter 383
             505          32A-4-303, as last amended by Laws of Utah 2009, Chapter 383


             506          32A-4-304, as last amended by Laws of Utah 2008, Chapter 382
             507          32A-4-305, as last amended by Laws of Utah 2008, Chapter 391
             508          32A-4-306, as enacted by Laws of Utah 2003, Chapter 314
             509          32A-4-307, as last amended by Laws of Utah 2009, Chapter 383
             510          32A-4-401, as last amended by Laws of Utah 2009, Chapter 383
             511          32A-4-402, as last amended by Laws of Utah 2009, Chapter 383
             512          32A-4-403, as last amended by Laws of Utah 2008, Chapter 382
             513          32A-4-404, as enacted by Laws of Utah 2003, Chapter 314
             514          32A-4-405, as enacted by Laws of Utah 2003, Chapter 314
             515          32A-4-406, as last amended by Laws of Utah 2008, Chapters 266, 382, and 391
             516          32A-4a-101, as enacted by Laws of Utah 2009, Chapter 383
             517          32A-4a-102, as enacted by Laws of Utah 2009, Chapter 383
             518          32A-4a-201, as enacted by Laws of Utah 2009, Chapter 383
             519          32A-4a-202, as enacted by Laws of Utah 2009, Chapter 383
             520          32A-4a-203, as enacted by Laws of Utah 2009, Chapter 383
             521          32A-4a-204, as enacted by Laws of Utah 2009, Chapter 383
             522          32A-4a-205, as enacted by Laws of Utah 2009, Chapter 383
             523          32A-4a-301, as enacted by Laws of Utah 2009, Chapter 383
             524          32A-4a-302, as enacted by Laws of Utah 2009, Chapter 383
             525          32A-4a-303, as enacted by Laws of Utah 2009, Chapter 383
             526          32A-4a-304, as enacted by Laws of Utah 2009, Chapter 383
             527          32A-4a-305, as enacted by Laws of Utah 2009, Chapter 383
             528          32A-4a-401, as enacted by Laws of Utah 2009, Chapter 383
             529          32A-4a-402, as enacted by Laws of Utah 2009, Chapter 383
             530          32A-4a-501, as enacted by Laws of Utah 2009, Chapter 383
             531          32A-4a-502, as enacted by Laws of Utah 2009, Chapter 383
             532          32A-4a-503, as enacted by Laws of Utah 2009, Chapter 383
             533          32A-5-101, as last amended by Laws of Utah 2009, Chapter 383


             534          32A-5-102 (Subsec (1)(j) Superseded 07/01/10), as last amended by Laws of Utah
             535      2009, Chapter 383
             536          32A-5-102 (Subsec (1)(j) Effective 07/01/10), as last amended by Laws of Utah 2009,
             537      Chapter 383
             538          32A-5-103, as last amended by Laws of Utah 2009, Chapter 383
             539          32A-5-104, as last amended by Laws of Utah 2009, Chapter 383
             540          32A-5-106, as last amended by Laws of Utah 2009, Chapter 383
             541          32A-5-107, as last amended by Laws of Utah 2009, Chapters 356 and 383
             542          32A-5-109, as enacted by Laws of Utah 2009, Chapter 383
             543          32A-5-110, as enacted by Laws of Utah 2009, Chapter 190
             544          32A-6-101, as renumbered and amended by Laws of Utah 1990, Chapter 23
             545          32A-6-102, as last amended by Laws of Utah 2003, Chapter 314
             546          32A-6-103, as last amended by Laws of Utah 2008, Chapter 382
             547          32A-6-104, as renumbered and amended by Laws of Utah 1990, Chapter 23
             548          32A-6-105, as last amended by Laws of Utah 2003, Chapter 314
             549          32A-6-201, as last amended by Laws of Utah 2003, Chapter 314
             550          32A-6-202, as last amended by Laws of Utah 2003, Chapter 314
             551          32A-6-301, as last amended by Laws of Utah 2007, Chapter 284
             552          32A-6-302, as last amended by Laws of Utah 2007, Chapter 284
             553          32A-6-401, as last amended by Laws of Utah 2003, Chapter 314
             554          32A-6-501, as last amended by Laws of Utah 2003, Chapter 314
             555          32A-6-502, as enacted by Laws of Utah 2003, Chapter 314
             556          32A-6-503, as enacted by Laws of Utah 2003, Chapter 314
             557          32A-6-601, as last amended by Laws of Utah 1991, Chapter 5
             558          32A-6-602, as renumbered and amended by Laws of Utah 1990, Chapter 23
             559          32A-6-603, as enacted by Laws of Utah 2003, Chapter 314
             560          32A-7-101, as last amended by Laws of Utah 2008, Chapters 108 and 391
             561          32A-7-102, as last amended by Laws of Utah 2008, Chapter 108


             562          32A-7-103, as last amended by Laws of Utah 2008, Chapter 382
             563          32A-7-104, as last amended by Laws of Utah 2006, Chapter 162
             564          32A-7-105, as renumbered and amended by Laws of Utah 1990, Chapter 23
             565          32A-7-106, as last amended by Laws of Utah 2008, Chapters 266 and 391
             566          32A-8-101, as last amended by Laws of Utah 2009, Chapters 160 and 356
             567          32A-8-102, as last amended by Laws of Utah 2007, Chapter 284
             568          32A-8-103, as last amended by Laws of Utah 2008, Chapter 382
             569          32A-8-104, as renumbered and amended by Laws of Utah 1990, Chapter 23
             570          32A-8-105, as renumbered and amended by Laws of Utah 1990, Chapter 23
             571          32A-8-106, as last amended by Laws of Utah 2007, Chapter 284
             572          32A-8-201, as last amended by Laws of Utah 1991, Chapter 277
             573          32A-8-301, as renumbered and amended by Laws of Utah 1990, Chapter 23
             574          32A-8-401, as last amended by Laws of Utah 2008, Chapter 391
             575          32A-8-501, as last amended by Laws of Utah 2008, Chapter 391
             576          32A-8-502, as last amended by Laws of Utah 2003, Chapter 314
             577          32A-8-503, as last amended by Laws of Utah 2008, Chapters 382 and 391
             578          32A-8-504, as enacted by Laws of Utah 1993, Chapter 20
             579          32A-8-505, as last amended by Laws of Utah 2008, Chapter 391
             580          32A-9-101, as last amended by Laws of Utah 1991, Chapter 241
             581          32A-9-102, as last amended by Laws of Utah 2003, Chapter 314
             582          32A-9-103, as last amended by Laws of Utah 2009, Chapter 383
             583          32A-9-104, as renumbered and amended by Laws of Utah 1990, Chapter 23
             584          32A-9-105, as renumbered and amended by Laws of Utah 1990, Chapter 23
             585          32A-9-106, as last amended by Laws of Utah 2003, Chapter 314
             586          32A-10-101, as last amended by Laws of Utah 2008, Chapter 391
             587          32A-10-102, as last amended by Laws of Utah 2008, Chapter 391
             588          32A-10-103, as last amended by Laws of Utah 2007, Chapter 284
             589          32A-10-201, as last amended by Laws of Utah 2009, Chapter 383


             590          32A-10-202, as last amended by Laws of Utah 2009, Chapter 383
             591          32A-10-203, as last amended by Laws of Utah 2008, Chapter 382
             592          32A-10-204, as last amended by Laws of Utah 2008, Chapter 391
             593          32A-10-205, as last amended by Laws of Utah 2003, Chapter 314
             594          32A-10-206, as last amended by Laws of Utah 2008, Chapter 391
             595          32A-10-207, as enacted by Laws of Utah 2009, Chapter 190
             596          32A-10-301, as enacted by Laws of Utah 2003, Chapter 314
             597          32A-10-302, as last amended by Laws of Utah 2004, Chapter 268
             598          32A-10-303, as last amended by Laws of Utah 2008, Chapter 382
             599          32A-10-304, as last amended by Laws of Utah 2006, Chapter 162
             600          32A-10-305, as enacted by Laws of Utah 2003, Chapter 314
             601          32A-10-306, as last amended by Laws of Utah 2008, Chapter 391
             602          32A-11-101, as last amended by Laws of Utah 2004, Chapter 268
             603          32A-11-102, as last amended by Laws of Utah 2004, Chapter 268
             604          32A-11-103, as last amended by Laws of Utah 2008, Chapter 382
             605          32A-11-104, as last amended by Laws of Utah 1994, Chapter 88
             606          32A-11-105, as renumbered and amended by Laws of Utah 1990, Chapter 23
             607          32A-11-106, as last amended by Laws of Utah 2008, Chapter 391
             608          32A-11a-101, as enacted by Laws of Utah 1998, Chapter 328
             609          32A-11a-102, as last amended by Laws of Utah 2007, Chapter 272
             610          32A-11a-103, as enacted by Laws of Utah 1998, Chapter 328
             611          32A-11a-104, as enacted by Laws of Utah 1998, Chapter 328
             612          32A-11a-105, as enacted by Laws of Utah 1998, Chapter 328
             613          32A-11a-106, as last amended by Laws of Utah 2003, Chapter 314
             614          32A-11a-107, as last amended by Laws of Utah 2004, Chapter 268
             615          32A-11a-108, as last amended by Laws of Utah 2008, Chapter 3
             616          32A-11a-109, as enacted by Laws of Utah 1998, Chapter 328
             617          32A-11a-110, as enacted by Laws of Utah 1998, Chapter 328


             618          32A-11a-111, as enacted by Laws of Utah 1998, Chapter 328
             619          32A-12-101, as last amended by Laws of Utah 2009, Chapter 383
             620          32A-12-102, as last amended by Laws of Utah 2009, Chapter 383
             621          32A-12-103, as last amended by Laws of Utah 2003, Chapter 314
             622          32A-12-104, as last amended by Laws of Utah 2009, Chapter 383
             623          32A-12-105, as last amended by Laws of Utah 2003, Chapter 314
             624          32A-12-201, as last amended by Laws of Utah 2004, Chapter 268
             625          32A-12-202, as renumbered and amended by Laws of Utah 1990, Chapter 23
             626          32A-12-203, as last amended by Laws of Utah 2003, Chapter 314
             627          32A-12-204, as last amended by Laws of Utah 2003, Chapter 314
             628          32A-12-205, as renumbered and amended by Laws of Utah 1990, Chapter 23
             629          32A-12-206, as last amended by Laws of Utah 1991, Chapter 132
             630          32A-12-207, as last amended by Laws of Utah 2003, Chapter 314
             631          32A-12-208, as renumbered and amended by Laws of Utah 1990, Chapter 23
             632          32A-12-209, as last amended by Laws of Utah 2009, Chapters 353 and 390
             633          32A-12-209.5, as last amended by Laws of Utah 2009, Chapters 353, 383, and 390
             634          32A-12-210, as last amended by Laws of Utah 2003, Chapter 314
             635          32A-12-211, as renumbered and amended by Laws of Utah 1990, Chapter 23
             636          32A-12-212, as last amended by Laws of Utah 2009, Chapter 383
             637          32A-12-213, as last amended by Laws of Utah 2009, Chapter 383
             638          32A-12-214, as last amended by Laws of Utah 1995, Chapter 20
             639          32A-12-215, as last amended by Laws of Utah 2003, Chapter 314
             640          32A-12-216, as last amended by Laws of Utah 2003, Chapter 314
             641          32A-12-217, as enacted by Laws of Utah 1990, Chapter 23
             642          32A-12-219, as last amended by Laws of Utah 2009, Chapter 383
             643          32A-12-220, as renumbered and amended by Laws of Utah 1990, Chapter 23
             644          32A-12-221, as last amended by Laws of Utah 2002, Chapter 161
             645          32A-12-222, as last amended by Laws of Utah 2009, Chapter 383


             646          32A-12-223, as enacted by Laws of Utah 2009, Chapter 353
             647          32A-12-301, as last amended by Laws of Utah 2009, Chapter 383
             648          32A-12-302, as renumbered and amended by Laws of Utah 1990, Chapter 23
             649          32A-12-303, as last amended by Laws of Utah 2000, Chapter 1
             650          32A-12-304, as last amended by Laws of Utah 2000, Chapter 1
             651          32A-12-305, as last amended by Laws of Utah 2003, Chapter 314
             652          32A-12-306, as last amended by Laws of Utah 2003, Chapter 314
             653          32A-12-307, as last amended by Laws of Utah 2008, Chapter 391
             654          32A-12-308, as last amended by Laws of Utah 2003, Chapter 314
             655          32A-12-310, as last amended by Laws of Utah 2000, Chapter 1
             656          32A-12-401, as last amended by Laws of Utah 2007, Chapter 284
             657          32A-12-501, as last amended by Laws of Utah 2004, Chapter 268
             658          32A-12-502, as last amended by Laws of Utah 1996, Chapter 170
             659          32A-12-504, as last amended by Laws of Utah 2003, Chapter 314
             660          32A-12-505, as last amended by Laws of Utah 2005, Chapter 71
             661          32A-12-506, as last amended by Laws of Utah 1996, Chapter 170
             662          32A-12-601, as last amended by Laws of Utah 2004, Chapter 268
             663          32A-12-602, as last amended by Laws of Utah 2003, Chapter 314
             664          32A-12-603, as last amended by Laws of Utah 2008, Chapter 391
             665          32A-12-604, as last amended by Laws of Utah 2003, Chapter 314
             666          32A-12-605, as last amended by Laws of Utah 2003, Chapter 314
             667          32A-12-606, as last amended by Laws of Utah 2003, Chapter 314
             668          32A-13-101, as last amended by Laws of Utah 1992, Chapter 30
             669          32A-13-102, as last amended by Laws of Utah 1990, Chapter 163 and renumbered and
             670      amended by Laws of Utah 1990, Chapter 23
             671          32A-13-103, as last amended by Laws of Utah 2007, Chapters 153, 180, and 306
             672          32A-13-104, as last amended by Laws of Utah 1993, Chapter 38
             673          32A-13-105, as renumbered and amended by Laws of Utah 1990, Chapter 23


             674          32A-13-106, as last amended by Laws of Utah 2008, Chapter 305
             675          32A-13-107, as renumbered and amended by Laws of Utah 1990, Chapter 23
             676          32A-13-108, as last amended by Laws of Utah 1990, Chapter 118 and renumbered and
             677      amended by Laws of Utah 1990, Chapter 23
             678          32A-13-109, as last amended by Laws of Utah 2000, Chapter 1
             679          32A-14a-101, as enacted by Laws of Utah 2000, Chapter 197
             680          32A-14a-102, as last amended by Laws of Utah 2009, Chapter 383
             681          32A-14a-103, as last amended by Laws of Utah 2009, Chapter 383
             682          32A-14a-104, as renumbered and amended by Laws of Utah 2000, Chapter 197
             683          32A-14a-105, as enacted by Laws of Utah 2000, Chapter 197
             684          32A-14b-101, as enacted by Laws of Utah 2009, Chapter 353
             685          32A-14b-102, as enacted by Laws of Utah 2009, Chapter 353
             686          32A-14b-201, as enacted by Laws of Utah 2009, Chapter 353
             687          32A-14b-202, as enacted by Laws of Utah 2009, Chapter 353
             688          32A-14b-203, as enacted by Laws of Utah 2009, Chapter 353
             689          32A-15a-101, as enacted by Laws of Utah 2003, Chapter 314
             690          32A-15a-102, as last amended by Laws of Utah 2007, Chapter 341
             691          32A-15a-103, as last amended by Laws of Utah 2008, Chapter 382
             692          32A-15a-201, as last amended by Laws of Utah 2008, Chapter 382
             693          32A-15a-202, as enacted by Laws of Utah 2003, Chapter 314
             694          32A-15a-203, as enacted by Laws of Utah 2003, Chapter 314
             695      Utah Code Sections Affected by Coordination Clause:
             696          32B-2-402, Utah Code Annotated 1953
             697          32B-6-203, Utah Code Annotated 1953
             698          32B-6-303, Utah Code Annotated 1953
             699          32B-6-703, Utah Code Annotated 1953
             700          32B-7-305, Utah Code Annotated 1953
             701     


             702      Be it enacted by the Legislature of the state of Utah:
             703          Section 1. Section 11-10-1 is amended to read:
             704           11-10-1. Business license required -- Authorization for issuance, denial,
             705      suspension, or revocation by local authority.
             706          (1) As used in this chapter, the following have the meaning set forth in Section
             707      [ 32A-1-105 ] 32B-1-102 :
             708          (a) "alcoholic product";
             709          [(a)] (b) "club [licensee"] license";
             710          [(b)] (c) "local authority"; and
             711          [(c) "person"; and]
             712          (d) "restaurant."
             713          (2) A person may not operate an association, a restaurant, a business similar to a
             714      business operated under a club license, or other similar business that allows [customers,
             715      members, guests, or other persons] a person to possess or consume [alcoholic beverages] an
             716      alcoholic product on the premises of the [club licensee,] association, restaurant, club, or
             717      similar business premises without a business license.
             718          (3) [Any] (a) A local authority may issue a business license to [any] a person who
             719      owns or operates an association, restaurant, club [license premise], or similar business that
             720      allows [the customers, members, guests, or other persons] a person to hold, store, possess, or
             721      consume [alcoholic beverages] an alcoholic product on the premises. [This license]
             722          (b) A business license issued under this Subsection (3) does not permit [any] a person
             723      to hold, store, possess, or consume [alcoholic beverages] an alcoholic product on the premises
             724      other than as provided in Title [32A] 32B, Alcoholic Beverage Control Act.
             725          (4) [Any] A local authority may suspend or revoke a business license for a violation of
             726      Title [32A] 32B, Alcoholic Beverage Control Act.
             727          (5) [Each] A local authority shall set policy by written rules that establish criteria and
             728      procedures for granting, denying, suspending, or revoking [licenses] a business license issued
             729      under this chapter.


             730          (6) A business license issued under this section [constitutes] does not constitute
             731      written consent of the local authority within the meaning of Title [32A] 32B, Alcoholic
             732      Beverage Control Act.
             733          Section 2. Section 13-7-2 is amended to read:
             734           13-7-2. Definitions.
             735          (1) [The term "place] (a) "Place of public accommodation" includes every place,
             736      establishment, or facility of whatever kind, nature, or class that caters or offers its services,
             737      facilities, or goods to the general public for a fee or charge, except, [any] an establishment that
             738      is:
             739          (i) located within a building [which] that contains not more than five rooms for rent or
             740      hire; and [which is]
             741          (ii) actually occupied by the proprietor of [such] the establishment as [his] the
             742      proprietor's residence[; provided that any].
             743          (b) A place, establishment, or facility that caters or offers its services, facilities, or
             744      goods to the general public gratuitously shall be within the definition of this term if it receives
             745      any substantial governmental subsidy or support[; but the term shall].
             746          (c) "Place of public accommodation" does not apply to any institution, church, any
             747      apartment house, club, or place of accommodation which is in its nature distinctly private
             748      except to the extent that it is open to the public.
             749          (2) [The term "person"] "Person" includes one or more individuals, partnerships,
             750      associations, organizations, corporations, labor unions, legal representatives, trustees, trustees
             751      in bankruptcy, receivers, and other organized groups of persons.
             752          (3) "Enterprises regulated by the state" means:
             753          (a) [all institutions] an institution subject to regulation under Title 70C, Utah
             754      Consumer Credit Code;
             755          [(b) all places of business which sell beer to consumers or house a state liquor store, as
             756      permitted by Title 32A, Alcoholic Beverage Control Act;]
             757          (b) a place of business that sells an alcoholic product at retail as provided in Title 32B,


             758      Alcoholic Beverage Control Act;
             759          (c) [all insurers] an insurer regulated by Title 31A, Insurance Code; and
             760          (d) [all public utilities] a public utility subject to regulation under Title 54, Public
             761      Utilities Act.
             762          Section 3. Section 26-38-2 is amended to read:
             763           26-38-2. Definitions.
             764          As used in this chapter:
             765          (1) "Place of public access" means any enclosed indoor place of business, commerce,
             766      banking, financial service, or other service-related activity, whether publicly or privately
             767      owned and whether operated for profit or not, to which persons not employed at the place of
             768      public access have general and regular access or which the public uses, including:
             769          (a) buildings, offices, shops, elevators, or restrooms;
             770          (b) means of transportation or common carrier waiting rooms;
             771          (c) restaurants, cafes, or cafeterias;
             772          (d) taverns as defined in Section [ 32A-1-105 ] 32B-1-102 , or cabarets;
             773          (e) shopping malls, retail stores, grocery stores, or arcades;
             774          (f) libraries, theaters, concert halls, museums, art galleries, planetariums, historical
             775      sites, auditoriums, or arenas;
             776          (g) barber shops, hair salons, or laundromats;
             777          (h) sports or fitness facilities;
             778          (i) common areas of nursing homes, hospitals, resorts, hotels, motels, "bed and
             779      breakfast" lodging facilities, and other similar lodging facilities, including the lobbies,
             780      hallways, elevators, restaurants, cafeterias, other designated dining areas, and restrooms of any
             781      of these;
             782          (j) (i) any child care facility or program subject to licensure or certification under this
             783      title, including those operated in private homes, when any child cared for under that license is
             784      present; and
             785          (ii) any child care, other than child care as defined in Section 26-39-102 , that is not


             786      subject to licensure or certification under this title, when any child cared for by the provider,
             787      other than the child of the provider, is present;
             788          (k) public or private elementary or secondary school buildings and educational
             789      facilities or the property on which those facilities are located;
             790          (l) any building owned, rented, leased, or otherwise operated by a social, fraternal, or
             791      religious organization when used solely by the organization members or their guests or
             792      families;
             793          (m) any facility rented or leased for private functions from which the general public is
             794      excluded and arrangements for the function are under the control of the function sponsor;
             795          (n) any workplace that is not a place of public access or a publicly owned building or
             796      office but has one or more employees who are not owner-operators of the business;
             797          (o) any area where the proprietor or manager of the area has posted a conspicuous sign
             798      stating "no smoking", "thank you for not smoking", or similar statement; and
             799          [(p) a club licensee under Title 32A, Chapter 5, Club Licenses.]
             800          (p) a holder of a club license, as defined in Section 32B-1-102 .
             801          (2) "Publicly owned building or office" means any enclosed indoor place or portion of
             802      a place owned, leased, or rented by any state, county, or municipal government, or by any
             803      agency supported by appropriation of, or by contracts or grants from, funds derived from the
             804      collection of federal, state, county, or municipal taxes.
             805          (3) "Smoking" means the possession of any lighted tobacco product in any form.
             806          Section 4. Section 29-2-102 is amended to read:
             807           29-2-102. Definitions.
             808          As used in this chapter:
             809          (1) "Alcoholic beverage" has the same meaning as provided in Section [ 32A-1-105 ]
             810      32B-1-102 .
             811          (2) "Controlled substance" has the same meaning as provided in Section 58-37-2 .
             812          (3) "Guest" means a person for whom an innkeeper was paid to provide temporary
             813      sleeping accommodations in a lodging establishment.


             814          (4) "Innkeeper" means the proprietor or designated employee of a proprietor of a
             815      lodging establishment.
             816          (5) "Lodging establishment" means a place providing temporary sleeping
             817      accommodations to the public, including any of the following:
             818          (a) a bed and breakfast establishment;
             819          (b) a boarding house;
             820          (c) a hotel;
             821          (d) an inn;
             822          (e) a lodging house;
             823          (f) a motel;
             824          (g) a resort; or
             825          (h) a rooming house.
             826          (6) "Minor" means an unemancipated person younger than 18 years of age.
             827          Section 5. Section 32B-1-101 is enacted to read:
             828     
TITLE 32B. ALCOHOLIC BEVERAGE CONTROL ACT

             829     
CHAPTER 1. ALCOHOLIC BEVERAGE CONTROL GENERAL PROVISIONS

             830     
Part 1. General Provisions

             831          32B-1-101. Title.
             832          (1) This title is known as the "Alcoholic Beverage Control Act."
             833          (2) This chapter is known as "Alcoholic Beverage Control General Provisions."
             834          Section 6. Section 32B-1-102 is enacted to read:
             835          32B-1-102. Definitions.
             836          As used in this title:
             837          (1) "Airport lounge" means a business location:
             838          (a) at which an alcoholic product is sold at retail for consumption on the premises; and
             839          (b) that is located at an international airport with a United States Customs office on
             840      the premises of the international airport.
             841          (2) "Airport lounge license" means a license issued in accordance with Chapter 5,


             842      Retail License Act, and Chapter 6, Part 5, Airport Lounge License.
             843          (3) "Alcoholic beverage" means the following:
             844          (a) beer; or
             845          (b) liquor.
             846          (4) (a) "Alcoholic product" means a product that:
             847          (i) contains at least .5% of alcohol by volume; and
             848          (ii) is obtained by fermentation, infusion, decoction, brewing, distillation, or other
             849      process that uses liquid or combinations of liquids, whether drinkable or not, to create alcohol
             850      in an amount equal to or greater than .5% of alcohol by volume.
             851          (b) "Alcoholic product" includes an alcoholic beverage.
             852          (c) "Alcoholic product" does not include any of the following common items that
             853      otherwise come within the definition of an alcoholic product:
             854          (i) except as provided in Subsection (4)(d), an extract;
             855          (ii) vinegar;
             856          (iii) cider;
             857          (iv) essence;
             858          (v) tincture;
             859          (vi) food preparation; or
             860          (vii) an over-the-counter medicine.
             861          (d) "Alcoholic product" includes an extract containing alcohol obtained by distillation
             862      when it is used as a flavoring in the manufacturing of an alcoholic product.
             863          (5) "Alcohol training and education seminar" means a seminar that is:
             864          (a) required by Chapter 5, Part 4, Alcohol Training and Education Act; and
             865          (b) described in Section 62A-15-401 .
             866          (6) "Banquet" means an event:
             867          (a) that is held at one or more designated locations approved by the commission in or
             868      on the premises of a:
             869          (i) hotel;


             870          (ii) resort facility;
             871          (iii) sports center; or
             872          (iv) convention center;
             873          (b) for which there is a contract:
             874          (i) between a person operating a facility listed in Subsection (6)(a) and another person;
             875      and
             876          (ii) under which the person operating a facility listed in Subsection (6)(a) is required
             877      to provide an alcoholic product at the event; and
             878          (c) at which food and alcoholic products may be sold, offered for sale, or furnished.
             879          (7) (a) Subject to Subsection (7)(b), "bar" means a counter or similar structure:
             880          (i) at which an alcoholic product is:
             881          (A) stored; or
             882          (B) dispensed; or
             883          (ii) from which an alcoholic product is served.
             884          (b) For purposes of a full-service restaurant license or a limited-service restaurant
             885      license, "bar structure" means a surface or structure on the premises of a restaurant if on or at
             886      any place of the surface or structure an alcoholic product is:
             887          (i) stored; or
             888          (ii) dispensed.
             889          (8) (a) Subject to Subsection (8)(d), "beer" means a product that:
             890          (i) contains at least .5% of alcohol by volume, but not more than 4% of alcohol by
             891      volume or 3.2% by weight; and
             892          (ii) is obtained by fermentation, infusion, or decoction of malted grain.
             893          (b) "Beer" may or may not contain hops or other vegetable products.
             894          (c) "Beer" includes a product that:
             895          (i) contains alcohol in the percentages described in Subsection (8)(a); and
             896          (ii) is referred to as:
             897          (A) beer;


             898          (B) ale;
             899          (C) porter;
             900          (D) stout;
             901          (E) lager; or
             902          (F) a malt or malted beverage.
             903          (d) "Beer" does not include a flavored malt beverage.
             904          (9) "Beer retailer" means a business:
             905          (a) that is engaged, primarily or incidentally, in the retail sale of beer to a patron,
             906      whether for consumption on or off the business premises; and
             907          (b) to whom a license is issued:
             908          (i) for an off-premise beer retailer, in accordance with Chapter 7, Part 2, Off-premise
             909      Beer Retailer Local Authority; or
             910          (ii) for an on-premise beer retailer, in accordance with Chapter 5, Retail License Act,
             911      and Chapter 6, Part 7, On-premise Beer Retailer License.
             912          (10) "Beer wholesaling license" means a license:
             913          (a) issued in accordance with Chapter 13, Beer Wholesaling License Act; and
             914          (b) to import for sale, or sell beer in wholesale or jobbing quantities to one or more
             915      retail licensees or off-premise beer retailers.
             916          (11) "Billboard" means a public display used to advertise, including:
             917          (a) a light device;
             918          (b) a painting;
             919          (c) a drawing;
             920          (d) a poster;
             921          (e) a sign;
             922          (f) a signboard; or
             923          (g) a scoreboard.
             924          (12) "Brewer" means a person engaged in manufacturing:
             925          (a) beer;


             926          (b) heavy beer; or
             927          (c) a flavored malt beverage.
             928          (13) "Brewery manufacturing license" means a license issued in accordance with
             929      Chapter 11, Part 5, Brewery Manufacturing License.
             930          (14) "Certificate of approval" means a certificate of approval obtained from the
             931      department under Subsection 32B-11-201 (4).
             932          (15) "Chartered bus" means a passenger bus, coach, or other motor vehicle provided
             933      by a bus company to a group of persons pursuant to a common purpose:
             934          (a) under a single contract;
             935          (b) at a fixed charge in accordance with the bus company's tariff; and
             936          (c) to give the group of persons the exclusive use of the passenger bus, coach, or other
             937      motor vehicle, and a driver to travel together to one or more specified destinations.
             938          (16) "Church" means a building:
             939          (a) set apart for worship;
             940          (b) in which religious services are held;
             941          (c) with which clergy is associated; and
             942          (d) that is tax exempt under the laws of this state.
             943          (17) (a) "Club license" means a license issued in accordance with Chapter 5, Retail
             944      License Act, and Chapter 6, Part 4, Club License.
             945          (b) "Club license" includes:
             946          (i) a dining club license;
             947          (ii) an equity club license;
             948          (iii) a fraternal club license; or
             949          (iv) a social club license.
             950          (18) "Commission" means the Alcoholic Beverage Control Commission created in
             951      Section 32B-2-201 .
             952          (19) "Commissioner" means a member of the commission.
             953          (20) "Community location" means:


             954          (a) a public or private school;
             955          (b) a church;
             956          (c) a public library;
             957          (d) a public playground; or
             958          (e) a public park.
             959          (21) "Community location governing authority" means:
             960          (a) the governing body of the community location; or
             961          (b) if the commission does not know who is the governing body of a community
             962      location, a person who appears to the commission to have been given on behalf of the
             963      community location the authority to prohibit an activity at the community location.
             964          (22) "Convention center" means a facility that is:
             965          (a) in total at least 30,000 square feet; and
             966          (b) otherwise defined as a "convention center" by the commission by rule.
             967          (23) For purposes of a full-service restaurant license or limited-service restaurant
             968      license:
             969          (a) subject to Subsection (23)(b), "counter" means a surface or structure in a dining
             970      area of a restaurant where seating is provided to a patron for service of food; and
             971          (b) "counter" does not include a surface or structure if on or at any point of the surface
             972      or structure an alcoholic product is:
             973          (i) stored; or
             974          (ii) dispensed.
             975          (24) "Department" means the Department of Alcoholic Beverage Control created in
             976      Section 32B-2-203 .
             977          (25) "Department compliance officer" means an individual who is:
             978          (a) an auditor or inspector; and
             979          (b) employed by the department.
             980          (26) "Department sample" means liquor that is placed in the possession of the
             981      department for testing, analysis, and sampling.


             982          (27) "Dining club license" means a license issued in accordance with Chapter 5, Retail
             983      License Act, and Chapter 6, Part 4, Club License, that is designated by the commission as a
             984      dining club license.
             985          (28) "Director," unless the context requires otherwise, means the director of the
             986      department.
             987          (29) "Disciplinary proceeding" means an adjudicative proceeding permitted under this
             988      title:
             989          (a) against a person subject to administrative action; and
             990          (b) that is brought on the basis of a violation of this title.
             991          (30) For purposes of a full-service restaurant license or a limited-service restaurant
             992      license, "dispense" means:
             993          (a) drawing of an alcoholic product:
             994          (i) from an area where it is stored; or
             995          (ii) as provided in Subsection 32B-6-205 (12)(b)(ii) or 32B-6-305 (12)(b)(ii); and
             996          (b) using the alcoholic product described in Subsection (29)(a) on the premises of the
             997      restaurant to mix or prepare an alcoholic product to be furnished to a patron of the restaurant.
             998          (31) "Distillery manufacturing license" means a license issued in accordance with
             999      Chapter 11, Part 4, Distillery Manufacturing License.
             1000          (32) "Distressed merchandise" means an alcoholic product in the possession of the
             1001      department that is saleable, but for some reason is unappealing to the public.
             1002          (33) "Educational facility" includes:
             1003          (a) a nursery school;
             1004          (b) an infant day care center; and
             1005          (c) a trade and technical school.
             1006          (34) "Equity club license" means a license issued in accordance with Chapter 5, Retail
             1007      License Act, and Chapter 6, Part 4, Club License, that is designated by the commission as an
             1008      equity club license.
             1009          (35) "Event permit" means:


             1010          (a) a single event permit; or
             1011          (b) a temporary beer event permit.
             1012          (36) (a) "Flavored malt beverage" means a beverage:
             1013          (i) that contains at least .5% alcohol by volume;
             1014          (ii) that is treated by processing, filtration, or another method of manufacture that is
             1015      not generally recognized as a traditional process in the production of a beer as described in 27
             1016      C.F.R. Sec. 25.55;
             1017          (iii) to which is added a flavor or other ingredient containing alcohol, except for a hop
             1018      extract; and
             1019          (iv) (A) for which the producer is required to file a formula for approval with the
             1020      federal Alcohol and Tobacco Tax and Trade Bureau pursuant to 27 C.F.R. Sec. 25.55; or
             1021          (B) that is not exempt under Subdivision (f) of 27 C.F.R. Sec. 25.55.
             1022          (b) "Flavored malt beverage" is considered liquor for purposes of this title.
             1023          (37) "Fraternal club license" means a license issued in accordance with Chapter 5,
             1024      Retail License Act, and Chapter 6, Part 4, Club License, that is designated by the commission
             1025      as a fraternal club license.
             1026          (38) "Full-service restaurant license" means a license issued in accordance with
             1027      Chapter 5, Retail License Act, and Chapter 6, Part 2, Full-service Restaurant License.
             1028          (39) (a) "Furnish" means by any means to provide with, supply, or give an individual
             1029      an alcoholic product, by sale or otherwise.
             1030          (b) "Furnish" includes to:
             1031          (i) serve;
             1032          (ii) deliver; or
             1033          (iii) otherwise make available.
             1034          (40) "Guest" means an individual who meets the requirements of Subsection
             1035      32B-6-407 (9).
             1036          (41) "Health care practitioner" means:
             1037          (a) a podiatrist licensed under Title 58, Chapter 5a, Podiatric Physician Licensing Act;


             1038          (b) an optometrist licensed under Title 58, Chapter 16a, Utah Optometry Practice Act;
             1039          (c) a pharmacist licensed under Title 58, Chapter 17b, Pharmacy Practice Act;
             1040          (d) a physical therapist licensed under Title 58, Chapter 24b, Physical Therapist
             1041      Practice Act;
             1042          (e) a nurse or advanced practice registered nurse licensed under Title 58, Chapter 31b,
             1043      Nurse Practice Act;
             1044          (f) a recreational therapist licensed under Title 58, Chapter 40, Recreational Therapy
             1045      Practice Act;
             1046          (g) an occupational therapist licensed under Title 58, Chapter 42a, Occupational
             1047      Therapy Practice Act;
             1048          (h) a nurse midwife licensed under Title 58, Chapter 44a, Nurse Midwife Practice Act;
             1049          (i) a mental health professional licensed under Title 58, Chapter 60, Mental Health
             1050      Professional Practice Act;
             1051          (j) a physician licensed under Title 58, Chapter 67, Utah Medical Practice Act;
             1052          (k) an osteopath licensed under Title 58, Chapter 68, Utah Osteopathic Medical
             1053      Practice Act;
             1054          (l) a dentist or dental hygienist licensed under Title 58, Chapter 69, Dentist and Dental
             1055      Hygienist Practice Act; and
             1056          (m) a physician assistant licensed under Title 58, Chapter 70a, Physician Assistant
             1057      Act.
             1058          (42) (a) "Heavy beer" means a product that:
             1059          (i) contains more than 4% alcohol by volume; and
             1060          (ii) is obtained by fermentation, infusion, or decoction of malted grain.
             1061          (b) "Heavy beer" is considered liquor for the purposes of this title.
             1062          (43) "Hotel" is as defined by the commission by rule.
             1063          (44) "Identification card" means an identification card issued under Title 53, Chapter
             1064      3, Part 8, Identification Card Act.
             1065          (45) "Industry representative" means an individual who is compensated by salary,


             1066      commission, or other means for representing and selling an alcoholic product of a
             1067      manufacturer, supplier, or importer of liquor.
             1068          (46) "Industry representative sample" means liquor that is placed in the possession of
             1069      the department for testing, analysis, and sampling by a local industry representative on the
             1070      premises of the department to educate the local industry representative of the quality and
             1071      characteristics of the product.
             1072          (47) "Interdicted person" means a person to whom the sale, offer for sale, or furnishing
             1073      of an alcoholic product is prohibited by:
             1074          (a) law; or
             1075          (b) court order.
             1076          (48) "Intoxicated" means that a person:
             1077          (a) is significantly impaired as to the person's mental or physical functions as a result
             1078      of the use of:
             1079          (i) an alcoholic product;
             1080          (ii) a controlled substance;
             1081          (iii) a substance having the property of releasing toxic vapors; or
             1082          (iv) a combination of Subsections (48)(a)(i) through (iii); and
             1083          (b) exhibits plain and easily observed outward manifestations of behavior or physical
             1084      signs produced by the over consumption of an alcoholic product.
             1085          (49) "Investigator" means an individual who is:
             1086          (a) a department compliance officer; or
             1087          (b) a nondepartment enforcement officer.
             1088          (50) "Invitee" is as defined in Section 32B-8-102 .
             1089          (51) "License" means:
             1090          (a) a retail license;
             1091          (b) a license issued in accordance with Chapter 11, Manufacturing and Related
             1092      Licenses Act;
             1093          (c) a license issued in accordance with Chapter 12, Liquor Warehousing License Act;


             1094      or
             1095          (d) a license issued in accordance with Chapter 13, Beer Wholesaling License Act.
             1096          (52) "Licensee" means a person who holds a license.
             1097          (53) "Limited-service restaurant license" means a license issued in accordance with
             1098      Chapter 5, Retail License Act, and Chapter 6, Part 3, Limited-service Restaurant License.
             1099          (54) "Limousine" means a motor vehicle licensed by the state or a local authority,
             1100      other than a bus or taxicab:
             1101          (a) in which the driver and a passenger are separated by a partition, glass, or other
             1102      barrier;
             1103          (b) that is provided by a business entity to one or more individuals at a fixed charge in
             1104      accordance with the business entity's tariff; and
             1105          (c) to give the one or more individuals the exclusive use of the limousine and a driver
             1106      to travel to one or more specified destinations.
             1107          (55) (a) (i) "Liquor" means a liquid that:
             1108          (A) is:
             1109          (I) alcohol;
             1110          (II) an alcoholic, spirituous, vinous, fermented, malt, or other liquid;
             1111          (III) a combination of liquids a part of which is spirituous, vinous, or fermented; or
             1112          (IV) other drink or drinkable liquid; and
             1113          (B) (I) contains at least .5% alcohol by volume; and
             1114          (II) is suitable to use for beverage purposes.
             1115          (ii) "Liquor" includes:
             1116          (A) heavy beer;
             1117          (B) wine; and
             1118          (C) a flavored malt beverage.
             1119          (b) "Liquor" does not include beer.
             1120          (56) "Liquor Control Fund" means the enterprise fund created by Section 32B-2-301 .
             1121          (57) "Liquor warehousing license" means a license that is issued:


             1122          (a) in accordance with Chapter 12, Liquor Warehousing License Act; and
             1123          (b) to a person, other than a licensed manufacturer, who engages in the importation for
             1124      storage, sale, or distribution of liquor regardless of amount.
             1125          (58) "Local authority" means:
             1126          (a) for premises that are located in an unincorporated area of a county, the governing
             1127      body of a county; or
             1128          (b) for premises that are located in an incorporated city or a town, the governing body
             1129      of the city or town.
             1130          (59) "Lounge or bar area" is as defined by rule made by the commission.
             1131          (60) "Manufacture" means to distill, brew, rectify, mix, compound, process, ferment,
             1132      or otherwise make an alcoholic product for personal use or for sale or distribution to others.
             1133          (61) "Member" means an individual who, after paying regular dues, has full privileges
             1134      in an equity club licensee or fraternal club licensee.
             1135          (62) (a) "Military installation" means a base, air field, camp, post, station, yard, center,
             1136      or homeport facility for a ship:
             1137          (i) (A) under the control of the United States Department of Defense; or
             1138          (B) of the National Guard;
             1139          (ii) that is located within the state; and
             1140          (iii) including a leased facility.
             1141          (b) "Military installation" does not include a facility used primarily for:
             1142          (i) civil works;
             1143          (ii) a rivers and harbors project; or
             1144          (iii) a flood control project.
             1145          (63) "Minor" means an individual under the age of 21 years.
             1146          (64) "Nondepartment enforcement agency" means an agency that:
             1147          (a) (i) is a state agency other than the department; or
             1148          (ii) is an agency of a county, city, or town; and
             1149          (b) has a responsibility to enforce one or more provisions of this title.


             1150          (65) "Nondepartment enforcement officer" means an individual who is:
             1151          (a) a peace officer, examiner, or investigator; and
             1152          (b) employed by a nondepartment enforcement agency.
             1153          (66) (a) "Off-premise beer retailer" means a beer retailer who is:
             1154          (i) licensed in accordance with Chapter 7, Part 2, Off-premise Beer Retailer Local
             1155      Authority; and
             1156          (ii) engaged in the retail sale of beer to a patron for consumption off the beer retailer's
             1157      premises.
             1158          (b) "Off-premise beer retailer" does not include an on-premise beer retailer.
             1159          (67) "On-premise banquet license" means a license issued in accordance with Chapter
             1160      5, Retail License Act, and Chapter 6, Part 6, On-premise Banquet License.
             1161          (68) "On-premise beer retailer" means a beer retailer who is:
             1162          (a) authorized to sell, offer for sale, or furnish beer under a license issued in
             1163      accordance with Chapter 5, Retail License Act, and Chapter 6, Part 7, On-premise Beer
             1164      License; and
             1165          (b) engaged in the sale of beer to a patron for consumption on the beer retailer's
             1166      premises, regardless of whether the beer retailer sells beer for consumption off the licensed
             1167      premises.
             1168          (69) "Package" means any of the following containing an alcoholic product:
             1169          (a) a container;
             1170          (b) a bottle;
             1171          (c) a vessel; or
             1172          (d) other receptacle.
             1173          (70) "Package agency" means a retail liquor location operated:
             1174          (a) under an agreement with the department; and
             1175          (b) by a person:
             1176          (i) other than the state; and
             1177          (ii) who is authorized by the commission in accordance with Chapter 2, Part 6,


             1178      Package Agency, to sell packaged liquor for consumption off the premises of the package
             1179      agency.
             1180          (71) "Package agent" means a person who holds a package agency.
             1181          (72) "Patron" means an individual to whom food, beverages, or services are sold,
             1182      offered for sale, or furnished, or who consumes an alcoholic product including:
             1183          (a) a customer;
             1184          (b) a member;
             1185          (c) a guest;
             1186          (d) an attendee of a banquet or event;
             1187          (e) an individual who receives room service;
             1188          (f) a resident of a resort;
             1189          (g) a public customer under a resort spa sublicense, as defined in Section 32B-8-102 ;
             1190      or
             1191          (h) an invitee.
             1192          (73) "Permittee" means a person issued a permit under:
             1193          (a) Chapter 9, Event Permit Act; or
             1194          (b) Chapter 10, Special Use Permit Act.
             1195          (74) "Person subject to administrative action" means:
             1196          (a) a licensee;
             1197          (b) a permittee;
             1198          (c) a manufacturer;
             1199          (d) a supplier;
             1200          (e) an importer;
             1201          (f) an out-of-state brewer holding a certificate of approval; or
             1202          (g) staff of:
             1203          (i) a person listed in Subsections (74)(a) through (g); or
             1204          (ii) a package agent.
             1205          (75) "Premises" means a building, enclosure, or room used in connection with the


             1206      storage, sale, furnishing, consumption, manufacture, or distribution, of an alcoholic product,
             1207      unless otherwise defined in this title or rules made by the commission.
             1208          (76) "Prescription" means an order issued by a health care practitioner when:
             1209          (a) the health care practitioner is licensed under Title 58, Occupations and Professions,
             1210      to prescribe a controlled substance, other drug, or device for medicinal purposes;
             1211          (b) the order is made in the course of that health care practitioner's professional
             1212      practice; and
             1213          (c) the order is made for obtaining an alcoholic product for medicinal purposes only.
             1214          (77) (a) "Private event" means a specific social, business, or recreational event:
             1215          (i) for which an entire room, area, or hall is leased or rented in advance by an
             1216      identified group; and
             1217          (ii) that is limited in attendance to people who are specifically designated and their
             1218      guests.
             1219          (b) "Private event" does not include an event to which the general public is invited,
             1220      whether for an admission fee or not.
             1221          (78) (a) "Proof of age" means:
             1222          (i) an identification card;
             1223          (ii) an identification that:
             1224          (A) is substantially similar to an identification card;
             1225          (B) is issued in accordance with the laws of a state other than Utah in which the
             1226      identification is issued;
             1227          (C) includes date of birth; and
             1228          (D) has a picture affixed;
             1229          (iii) a valid driver license certificate that:
             1230          (A) includes date of birth;
             1231          (B) has a picture affixed; and
             1232          (C) is issued:
             1233          (I) under Title 53, Chapter 3, Uniform Driver License Act; or


             1234          (II) in accordance with the laws of the state in which it is issued;
             1235          (iv) a military identification card that:
             1236          (A) includes date of birth; and
             1237          (B) has a picture affixed; or
             1238          (v) a valid passport.
             1239          (b) "Proof of age" does not include a driving privilege card issued in accordance with
             1240      Section 53-3-207 .
             1241          (79) (a) "Public building" means a building or permanent structure that is:
             1242          (i) owned or leased by:
             1243          (A) the state; or
             1244          (B) a local government entity; and
             1245          (ii) used for:
             1246          (A) public education;
             1247          (B) transacting public business; or
             1248          (C) regularly conducting government activities.
             1249          (b) "Public building" does not include a building owned by the state or a local
             1250      government entity when the building is used by a person, in whole or in part, for a proprietary
             1251      function.
             1252          (80) "Public conveyance" means a conveyance to which the public or a portion of the
             1253      public has access to and a right to use for transportation, including an airline, railroad, bus,
             1254      boat, or other public conveyance.
             1255          (81) (a) "Record" means information that is:
             1256          (i) inscribed on a tangible medium; or
             1257          (ii) stored in an electronic or other medium and is retrievable in a perceivable form.
             1258          (b) "Record" includes:
             1259          (i) a book;
             1260          (ii) a book of account;
             1261          (iii) a paper;


             1262          (iv) a contract;
             1263          (v) an agreement;
             1264          (vi) a document; or
             1265          (vii) a recording in any medium.
             1266          (82) "Residence" means a person's principal place of abode within Utah.
             1267          (83) "Resident," in relation to a resort, is as defined in Section 32B-8-102 .
             1268          (84) "Resort" is as defined in Section 32B-8-102 .
             1269          (85) "Resort facility" is as defined by the commission by rule.
             1270          (86) "Resort license" means a license issued in accordance with Chapter 5, Retail
             1271      License Act, and Chapter 8, Resort License Act.
             1272          (87) "Restaurant" means a business location:
             1273          (a) at which a variety of foods are prepared;
             1274          (b) at which complete meals are served to the general public; and
             1275          (c) that is engaged primarily in serving meals to the general public.
             1276          (88) "Retail license" means one of the following licenses issued under this title:
             1277          (a) a full-service restaurant license;
             1278          (b) a limited-service restaurant license;
             1279          (c) a club license;
             1280          (d) an airport lounge license;
             1281          (e) an on-premise banquet license; or
             1282          (f) an on-premise beer license.
             1283          (89) "Room service" means furnishing an alcoholic product to a person in a guest
             1284      room of a:
             1285          (a) hotel; or
             1286          (b) resort facility.
             1287          (90) "Serve" means to place an alcoholic product before an individual.
             1288          (91) (a) "School" means a building used primarily for the general education of minors.
             1289          (b) "School" does not include an educational facility.


             1290          (92) "Sell" or "offer for sale" means a transaction, exchange, or barter whereby, for
             1291      consideration, an alcoholic product is either directly or indirectly transferred, solicited,
             1292      ordered, delivered for value, or by a means or under a pretext is promised or obtained, whether
             1293      done by a person as a principal, proprietor, or as staff, unless otherwise defined in this title or
             1294      the rules made by the commission.
             1295          (93) "Sexually oriented entertainer" means a person who while in a state of seminudity
             1296      appears at or performs:
             1297          (a) for the entertainment of one or more patrons;
             1298          (b) on the premises of:
             1299          (i) a social club licensee; or
             1300          (ii) a tavern;
             1301          (c) on behalf of or at the request of the licensee described in Subsection (93)(b);
             1302          (d) on a contractual or voluntary basis; and
             1303          (e) whether or not the person is designated as:
             1304          (i) an employee;
             1305          (ii) an independent contractor;
             1306          (iii) an agent of the licensee; or
             1307          (iv) a different type of classification.
             1308          (94) "Single event permit" means a permit issued in accordance with Chapter 9, Part
             1309      3, Single Event Permit.
             1310          (95) "Small brewer" means a brewer who manufactures less than 60,000 barrels of
             1311      beer, heavy beer, and flavored malt beverages per year.
             1312          (96) "Social club license" means a license issued in accordance with Chapter 5, Retail
             1313      License Act, and Chapter 6, Part 4, Club License, that is designated by the commission as a
             1314      social club license.
             1315          (97) "Special use permit" means a permit issued in accordance with Chapter 10,
             1316      Special Use Permit Act.
             1317          (98) (a) "Spirituous liquor" means liquor that is distilled.


             1318          (b) "Spirituous liquor" includes an alcoholic product defined as a "distilled spirit" by
             1319      27 U.S.C. Sec. 211 and 27 C.F.R. Sec. 5.11 through 5.23.
             1320          (99) "Sports center" is as defined by the commission by rule.
             1321          (100) (a) "Staff" means an individual who engages in activity governed by this title:
             1322          (i) on behalf of a business, including a package agent, licensee, permittee, or
             1323      certificate holder;
             1324          (ii) at the request of the business, including a package agent, licensee, permittee, or
             1325      certificate holder; or
             1326          (iii) under the authority of the business, including a package agent, licensee, permittee,
             1327      or certificate holder.
             1328          (b) "Staff" includes:
             1329          (i) an officer;
             1330          (ii) a director;
             1331          (iii) an employee;
             1332          (iv) personnel management;
             1333          (v) an agent of the licensee, including a managing agent;
             1334          (vi) an operator; or
             1335          (vii) a representative.
             1336          (101) "State of nudity" means:
             1337          (a) the appearance of:
             1338          (i) the nipple or areola of a female human breast;
             1339          (ii) a human genital;
             1340          (iii) a human pubic area; or
             1341          (iv) a human anus; or
             1342          (b) a state of dress that fails to opaquely cover:
             1343          (i) the nipple or areola of a female human breast;
             1344          (ii) a human genital;
             1345          (iii) a human pubic area; or


             1346          (iv) a human anus.
             1347          (102) "State of seminudity" means a state of dress in which opaque clothing covers no
             1348      more than:
             1349          (a) the nipple and areola of the female human breast in a shape and color other than
             1350      the natural shape and color of the nipple and areola; and
             1351          (b) the human genitals, pubic area, and anus:
             1352          (i) with no less than the following at its widest point:
             1353          (A) four inches coverage width in the front of the human body; and
             1354          (B) five inches coverage width in the back of the human body; and
             1355          (ii) with coverage that does not taper to less than one inch wide at the narrowest point.
             1356          (103) (a) "State store" means a facility for the sale of packaged liquor:
             1357          (i) located on premises owned or leased by the state; and
             1358          (ii) operated by a state employee.
             1359          (b) "State store" does not include:
             1360          (i) a package agency;
             1361          (ii) a licensee; or
             1362          (iii) a permittee.
             1363          (104) For purposes of a full-service restaurant license or a limited-service restaurant
             1364      license:
             1365          (a) "Storage area" means an area on licensed premises where the licensee stores an
             1366      alcoholic product.
             1367          (b) "Store" means to place or maintain in a location an alcoholic product from which a
             1368      person draws to prepare an alcoholic product to be furnished to a patron of the restaurant,
             1369      except as provided in Subsection 32B-6-205 (12)(b)(ii) or 32B-6-305 (12)(b)(ii).
             1370          (105) "Sublicense" is as defined in Section 32B-8-102 .
             1371          (106) "Supplier" means a person who sells an alcoholic product to the department.
             1372          (107) "Tavern" means an on-premise beer retailer who is:
             1373          (a) issued a license by the commission in accordance with Chapter 5, Retail License


             1374      Act, and Chapter 6, Part 7, On-premise Beer Retailer License; and
             1375          (b) designated by the commission as a tavern in accordance with Chapter 6, Part 7,
             1376      On-premise Beer Retailer License.
             1377          (108) "Temporary beer event permit" means a permit issued in accordance with
             1378      Chapter 9, Part 4, Temporary Beer Event Permit.
             1379          (109) "Temporary domicile" means the principal place of abode within Utah of a
             1380      person who does not have a present intention to continue residency within Utah permanently
             1381      or indefinitely.
             1382          (110) "Unsaleable liquor merchandise" means a package that:
             1383          (a) is unsaleable because the package is:
             1384          (i) unlabeled;
             1385          (ii) leaky;
             1386          (iii) damaged;
             1387          (iv) difficult to open; or
             1388          (v) partly filled;
             1389          (b) (i) has faded labels or defective caps or corks;
             1390          (ii) has contents that are:
             1391          (A) cloudy;
             1392          (B) spoiled; or
             1393          (C) chemically determined to be impure; or
             1394          (iii) contains:
             1395          (A) sediment; or
             1396          (B) a foreign substance; or
             1397          (c) is otherwise considered by the department as unfit for sale.
             1398          (111) (a) "Wine" means an alcoholic product obtained by the fermentation of the
             1399      natural sugar content of fruits, plants, honey, or milk, or other like substance, whether or not
             1400      another ingredient is added.
             1401          (b) "Wine" is considered liquor for purposes of this title, except as otherwise provided


             1402      in this title.
             1403          (112) "Winery manufacturing license" means a license issued in accordance with
             1404      Chapter 11, Part 3, Winery Manufacturing License.
             1405          Section 7. Section 32B-1-103 is enacted to read:
             1406          32B-1-103. Policy.
             1407          The policies of the state are as follows:
             1408          (1) This title shall be administered in a manner that is nonpartisan and free of partisan
             1409      political influence.
             1410          (2) Alcoholic product control shall be operated as a public business using sound
             1411      management principles and practices. This public business shall:
             1412          (a) be governed by a commission;
             1413          (b) be operated by a department; and
             1414          (c) function with the intent of servicing the public demand for alcoholic products.
             1415          (3) The commission and department may not promote or encourage the sale or
             1416      consumption of alcoholic products.
             1417          (4) The commission shall conduct, license, and regulate the sale of alcoholic products
             1418      in a manner and at prices that:
             1419          (a) reasonably satisfy the public demand and protect the public interest, including the
             1420      rights of citizens who do not wish to be involved with alcoholic products; and
             1421          (b) will promote the reduction of the harmful effects of:
             1422          (i) over consumption of alcoholic products by adults; and
             1423          (ii) consumption of alcoholic products by minors.
             1424          Section 8. Section 32B-1-104 is enacted to read:
             1425          32B-1-104. Exercise of police powers -- Severability.
             1426          (1) This title is an exercise of the police powers of the state for the protection of the
             1427      public health, peace, safety, welfare, and morals, and regulates the storage, sale, offer for sale,
             1428      furnishing, consumption, manufacture, and distribution of an alcoholic product. This title
             1429      governs alcoholic product control unless otherwise provided in this title.


             1430          (2) If a provision of this title or the application of a provision to a person or
             1431      circumstance is held invalid, the remainder of this title shall be given effect without the invalid
             1432      provision or application. The provisions of this title are severable.
             1433          Section 9. Section 32B-1-201 is enacted to read:
             1434     
Part 2. Miscellaneous Provisions

             1435          32B-1-201. Determining population.
             1436          For purposes of determining the number of state stores that the commission may
             1437      establish or the number of package agencies or retail licenses that the commission may issue,
             1438      the commission shall determine population by:
             1439          (1) the most recent United States decennial or special census; or
             1440          (2) another population determination made by the United States or state governments.
             1441          Section 10. Section 32B-1-202 is enacted to read:
             1442          32B-1-202. Proximity to community location.
             1443          (1) For purposes of this section, "outlet" means:
             1444          (a) a state store;
             1445          (b) a package agency; or
             1446          (c) a retail licensee, except an airport lounge licensee.
             1447          (2) Except as otherwise provided in this section, the premises of an outlet may not be
             1448      located:
             1449          (a) within 600 feet of a community location, as measured from the nearest entrance of
             1450      the outlet by following the shortest route of ordinary pedestrian travel to the property boundary
             1451      of the community location; or
             1452          (b) within 200 feet of a community location, measured in a straight line from the
             1453      nearest entrance of the outlet to the nearest property boundary of the community location.
             1454          (3) With respect to the location of an outlet, the commission may authorize a variance
             1455      to reduce the proximity requirement of Subsection (2) if:
             1456          (a) when the variance reduces the proximity requirement of Subsection (2)(b), the
             1457      community location at issue is:


             1458          (i) a public library; or
             1459          (ii) a public park;
             1460          (b) except with respect to a state store, the local authority gives its written consent to
             1461      the variance;
             1462          (c) the commission finds that alternative locations for locating that type of outlet in the
             1463      community are limited;
             1464          (d) a public hearing is held in the city, town, or county, and when practical in the
             1465      neighborhood concerned;
             1466          (e) after giving full consideration to the attending circumstances and the policies
             1467      stated in Subsections 32B-1-103 (3) and (4), the commission determines that locating the
             1468      outlet in that location would not be detrimental to the public health, peace, safety, and welfare
             1469      of the community;
             1470          (f) (i) the community location governing authority gives its written consent to the
             1471      variance; or
             1472          (ii) if the community location governing authority does not give its written consent to
             1473      a variance, the commission finds the following for a state store, or if the outlet is a package
             1474      agency or retail licensee, the commission finds that the applicant establishes the following:
             1475          (A) there is substantial unmet public demand to consume an alcoholic product:
             1476          (I) within the geographic boundary of the local authority in which the outlet is to be
             1477      located; and
             1478          (II) for an outlet that is a retail licensee, in a public setting;
             1479          (B) there is no reasonably viable alternative for satisfying the substantial unmet
             1480      demand other than through locating that type of outlet in that location; and
             1481          (C) there is no reasonably viable alternative location within the geographic boundary
             1482      of the local authority in which the outlet is to be located for locating that type of outlet to
             1483      satisfy the unmet demand.
             1484          (4) With respect to the premises of a package agency or retail licensee that undergoes
             1485      a change of ownership, the commission may waive or vary the proximity requirements of


             1486      Subsection (2) in considering whether to issue the package agency or same type of retail
             1487      license to the new owner of the premises if:
             1488          (a) the premises previously received a variance reducing the proximity requirement of
             1489      Subsection (2)(a);
             1490          (b) the premises received a variance reducing the proximity requirement of Subsection
             1491      (2)(b) on or before May 4, 2008; or
             1492          (c) a variance from proximity requirements was otherwise allowed under this title.
             1493          (5) Nothing in this section prevents the commission from considering the proximity of
             1494      an educational, religious, and recreational facility, or any other relevant factor in reaching a
             1495      decision on a proposed location of an outlet.
             1496          Section 11. Section 32B-1-203 is enacted to read:
             1497          32B-1-203. Licensee compliance with other laws.
             1498          (1) A licensee and a person applying for a license shall comply with the applicable
             1499      federal and state laws pertaining to payment of taxes and contributions to unemployment and
             1500      insurance funds to which the licensee or person may be subject.
             1501          (2) The commission:
             1502          (a) may not issue a license to a person who violates this section; and
             1503          (b) may not renew, suspend, or revoke the license of a licensee who violates this
             1504      section.
             1505          Section 12. Section 32B-1-204 is enacted to read:
             1506          32B-1-204. Powers of local authority.
             1507          (1) If this title expressly addresses an issue related to alcoholic product control in this
             1508      state, a local authority may not regulate in relation to that issue except when a local authority
             1509      is expressly granted regulatory authority to regulate the issue by this title.
             1510          (2) If this title does not expressly address an issue related to alcoholic product control,
             1511      a local authority may regulate that issue if the regulation:
             1512          (a) is of the sale, offer for sale, furnishing, or consumption of an alcoholic product;
             1513      and


             1514          (b) does not conflict with this title.
             1515          Section 13. Section 32B-1-205 is enacted to read:
             1516          32B-1-205. Falsifying or taking other actions with records prohibited.
             1517          (1) A person required to make or maintain a record under this title or rules of the
             1518      commission, or a person acting for that person, may not knowingly forge, falsify, alter, cancel,
             1519      destroy, conceal, or remove the record for the purpose of deceiving the commission, a
             1520      commissioner, the director, the department, a department employee, or a law enforcement
             1521      officer.
             1522          (2) A violation of this section may result in:
             1523          (a) disciplinary action in accordance with Chapter 3, Disciplinary Actions and
             1524      Enforcement Act, if the person who violates this section is a person subject to administrative
             1525      action; or
             1526          (b) criminal prosecution if the violation is a criminal offense under Chapter 4,
             1527      Criminal Offenses and Procedure Act.
             1528          Section 14. Section 32B-1-301 is enacted to read:
             1529     
Part 3. Qualifications and Background

             1530          32B-1-301. Title.
             1531          This part is known as "Qualifications and Background."
             1532          Section 15. Section 32B-1-302 is enacted to read:
             1533          32B-1-302. Definitions.
             1534          Reserved
             1535          Section 16. Section 32B-1-303 is enacted to read:
             1536          32B-1-303. Qualifications related to employment with the department.
             1537          (1) The department may not employ a person if that person has been convicted of:
             1538          (a) a felony under a federal law or state law;
             1539          (b) a violation of a federal law, state law, or local ordinance concerning the sale, offer
             1540      for sale, warehousing, manufacture, distribution, transportation, or adulteration of an alcoholic
             1541      product;


             1542          (c) a crime involving moral turpitude; or
             1543          (d) on two or more occasions within the five years before the day on which the
             1544      department employs the person, driving under the influence of alcohol, drugs, or the combined
             1545      influence of alcohol and drugs.
             1546          (2) The director may terminate a department employee or take other disciplinary
             1547      action consistent with Title 67, Chapter 19, Utah State Personnel Management Act, if:
             1548          (a) after the day on which the department employs the department employee, the
             1549      department employee is found to have been convicted of an offense described in Subsection
             1550      (1) before being employed by the department; or
             1551          (b) on or after the day on which the department employs the department employee, the
             1552      department employee:
             1553          (i) is convicted of an offense described in Subsection (1)(a), (b), or (c); or
             1554          (ii) (A) is convicted of driving under the influence of alcohol, drugs, or the combined
             1555      influence of alcohol and drugs; and
             1556          (B) was convicted of driving under the influence of alcohol, drugs, or the combined
             1557      influence of alcohol and drugs within five years before the day on which the person is
             1558      convicted of the offense described in Subsection (2)(b)(ii)(A).
             1559          (3) The director may immediately suspend a department employee for the period
             1560      during which a criminal matter is being adjudicated if the department employee:
             1561          (a) is arrested on a charge for an offense described in Subsection (1)(a), (b), or (c); or
             1562          (b) (i) is arrested on a charge for the offense of driving under the influence of alcohol,
             1563      drugs, or the combined influence of alcohol and drugs; and
             1564          (ii) was convicted of driving under the influence of alcohol, drugs, or the combined
             1565      influence of alcohol and drugs within five years before the day on which the person is arrested
             1566      on a charge described in Subsection (3)(b)(i).
             1567          Section 17. Section 32B-1-304 is enacted to read:
             1568          32B-1-304. Qualifications for a package agency, license, or permit -- Minors.
             1569          (1) (a) The commission may not issue a package agency, license, or permit to a person


             1570      who has been convicted of:
             1571          (i) a felony under a federal law or state law;
             1572          (ii) a violation of a federal law, state law, or local ordinance concerning the sale, offer
             1573      for sale, warehousing, manufacture, distribution, transportation, or adulteration of an alcoholic
             1574      product;
             1575          (iii) a crime involving moral turpitude; or
             1576          (iv) on two or more occasions within the five years before the day on which the
             1577      package agency, license, or permit is issued, driving under the influence of alcohol, drugs, or
             1578      the combined influence of alcohol and drugs.
             1579          (b) If the person is a partnership, corporation, or limited liability company, the
             1580      proscription under Subsection (1)(a) applies if any of the following has been convicted of an
             1581      offense described in Subsection (1)(a):
             1582          (i) a partner;
             1583          (ii) a managing agent;
             1584          (iii) a manager;
             1585          (iv) an officer;
             1586          (v) a director;
             1587          (vi) a stockholder who holds at least 20% of the total issued and outstanding stock of
             1588      the corporation; or
             1589          (vii) a member who owns at least 20% of the limited liability company.
             1590          (c) The proscription under Subsection (1)(a) applies if a person who is employed to act
             1591      in a supervisory or managerial capacity for a package agency, licensee, or permittee has been
             1592      convicted of an offense described in Subsection (1)(a).
             1593          (2) The commission may immediately suspend or revoke a package agency, license, or
             1594      permit, and terminate a package agency agreement, if a person described in Subsection (1):
             1595          (a) after the day on which the package agency, license, or permit is issued, is found to
             1596      have been convicted of an offense described in Subsection (1)(a) before the package agency,
             1597      license, or permit is issued; or


             1598          (b) on or after the day on which the package agency, license, or permit is issued:
             1599          (i) is convicted of an offense described in Subsection (1)(a)(i), (ii), or (iii); or
             1600          (ii) (A) is convicted of driving under the influence of alcohol, drugs, or the combined
             1601      influence of alcohol and drugs; and
             1602          (B) was convicted of driving under the influence of alcohol, drugs, or the combined
             1603      influence of alcohol and drugs within five years before the day on which the person is
             1604      convicted of the offense described in Subsection (2)(b)(ii)(A).
             1605          (3) The director may take emergency action by immediately suspending the operation
             1606      of the package agency, licensee, or permittee for the period during which a criminal matter is
             1607      being adjudicated if a person described in Subsection (1):
             1608          (a) is arrested on a charge for an offense described in Subsection (1)(a)(i), (ii), or (iii);
             1609      or
             1610          (b) (i) is arrested on a charge for the offense of driving under the influence of alcohol,
             1611      drugs, or the combined influence of alcohol and drugs; and
             1612          (ii) was convicted of driving under the influence of alcohol, drugs, or the combined
             1613      influence of alcohol and drugs within five years before the day on which the person is arrested
             1614      on a charge described in Subsection (3)(b)(i).
             1615          (4) (a) (i) The commission may not issue a package agency, license, or permit to a
             1616      person who has had any type of agency, license, or permit issued under this title revoked
             1617      within the last three years.
             1618          (ii) The commission may not issue a package agency, license, or permit to a
             1619      partnership, corporation, or limited liability company if a partner, managing agent, manager,
             1620      officer, director, stockholder who holds at least 20% of the total issued and outstanding stock
             1621      of the corporation, or member who owns at least 20% of the limited liability company is or
             1622      was:
             1623          (A) a partner or managing agent of a partnership that had any type of agency, license,
             1624      or permit issued under this title revoked within the last three years;
             1625          (B) a managing agent, officer, director, or stockholder who holds or held at least 20%


             1626      of the total issued and outstanding stock of any corporation that had any type of agency,
             1627      license, or permit issued under this title revoked within the last three years; or
             1628          (C) a manager or member who owns or owned at least 20% of a limited liability
             1629      company that had any type of agency, license, or permit issued under this title revoked within
             1630      the last three years.
             1631          (b) The commission may not issue a package agency, licence, or permit to a
             1632      partnership, corporation, or limited liability company if any of the following had any type of
             1633      agency, license, or permit issued under this title revoked while acting in that person's
             1634      individual capacity within the last three years:
             1635          (i) a partner or managing agent of a partnership;
             1636          (ii) a managing agent, officer, director, or stockholder who holds at least 20% of the
             1637      total issued and outstanding stock of a corporation; or
             1638          (iii) a manager or member who owns at least 20% of a limited liability company.
             1639          (c) The commission may not issue a package agency, license, or permit to a person
             1640      acting in an individual capacity if that person was:
             1641          (i) a partner or managing agent of a partnership that had any type of agency, license,
             1642      or permit issued under this title revoked within the last three years;
             1643          (ii) a managing agent, officer, director, or stockholder who held at least 20% of the
             1644      total issued and outstanding stock of a corporation that had any type of agency, license, or
             1645      permit issued under this title revoked within the last three years; or
             1646          (iii) a manager or member who owned at least 20% of the limited liability company
             1647      that had any type of agency, license, or permit issued under this title revoked within the last
             1648      three years.
             1649          (5) (a) The commission may not issue a package agency, license, or permit to a minor.
             1650          (b) The commission may not issue a package agency, license, or permit to a
             1651      partnership, corporation, or limited liability company if any of the following is a minor:
             1652          (i) a partner or managing agent of the partnership;
             1653          (ii) a managing agent, officer, director, or stockholder who holds at least 20% of the


             1654      total issued and outstanding stock of the corporation; or
             1655          (iii) a manager or member who owns at least 20% of the limited liability company.
             1656          (6) If a package agent, licensee, or permittee no longer possesses the qualifications
             1657      required by this title for obtaining a package agency, license, or permit, the commission may
             1658      terminate the package agency agreement, or revoke the license or permit.
             1659          Section 18. Section 32B-1-305 is enacted to read:
             1660          32B-1-305. Requirement for a criminal background check.
             1661          (1) The department shall require an individual listed in Subsection (2) to, in
             1662      accordance with this part:
             1663          (a) submit a fingerprint card in a form acceptable to the department; and
             1664          (b) consent to a fingerprint criminal background check by:
             1665          (i) the Utah Bureau of Criminal Identification; and
             1666          (ii) the Federal Bureau of Investigation.
             1667          (2) The following shall comply with Subsection (1):
             1668          (a) an individual applying for employment with the department if:
             1669          (i) the department makes the decision to offer the individual employment with the
             1670      department; and
             1671          (ii) once employed, the individual will receive benefits;
             1672          (b) an individual applying to the commission to operate a package agency;
             1673          (c) an individual applying to the commission for a license;
             1674          (d) an individual who with regard to an entity that is applying to the commission to
             1675      operate a package agency or for a license is:
             1676          (i) a partner;
             1677          (ii) a managing agent;
             1678          (iii) a manager;
             1679          (iv) an officer;
             1680          (v) a director;
             1681          (vi) a stockholder who holds at least 20% of the total issued and outstanding stock of a


             1682      corporation;
             1683          (vii) a member who owns at least 20% of a limited liability company; or
             1684          (viii) an individual employed to act in a supervisory or managerial capacity; or
             1685          (e) an individual who becomes involved with an entity that operates a package agency
             1686      or holds a license, if the individual is in a capacity listed in Subsection (2)(d) on or after the
             1687      day on which the entity:
             1688          (i) is approved to operate a package agency; or
             1689          (ii) is licensed by the commission.
             1690          (3) The department shall require compliance with Subsection (2)(e) as a condition of
             1691      an entity's:
             1692          (a) continued operation of a package agency; or
             1693          (b) renewal of a license.
             1694          (4) The department may require as a condition of continued employment that a
             1695      department employee:
             1696          (a) submit a fingerprint card in a form acceptable to the department; and
             1697          (b) consent to a fingerprint criminal background check by:
             1698          (i) the Utah Bureau of Criminal Identification; and
             1699          (ii) the Federal Bureau of Investigation.
             1700          Section 19. Section 32B-1-306 is enacted to read:
             1701          32B-1-306. Use of information from a criminal background check.
             1702          The commission or department may use information obtained pursuant to Section
             1703      32B-1-305 only for one or more of the following purposes:
             1704          (1) enforcing this title;
             1705          (2) determining whether an individual is convicted of any of the following offenses
             1706      that disqualify the individual under this title from acting in a capacity described in Subsection
             1707      32B-1-305 (2):
             1708          (a) a felony under federal law or state law;
             1709          (b) a violation of a federal law, state law, or local ordinance concerning the sale, offer


             1710      for sale, warehousing, manufacture, distribution, transportation, or adulteration of an alcoholic
             1711      product;
             1712          (c) a crime involving moral turpitude; or
             1713          (d) on two or more occasions within the previous five years, driving under the
             1714      influence of alcohol, drugs, or the combined influence of alcohol and drugs;
             1715          (3) determining whether an individual fails to accurately disclose the person's criminal
             1716      history on an application or document filed with the department or commission;
             1717          (4) approving or denying an application for employment with the department;
             1718          (5) taking disciplinary action against a department employee, including possible
             1719      termination of employment;
             1720          (6) issuing or denying an application to operate a package agency;
             1721          (7) issuing or denying an application for a license;
             1722          (8) issuing or denying the renewal of a package agency agreement;
             1723          (9) issuing or denying the renewal of a license;
             1724          (10) suspending the operation of a package agency;
             1725          (11) terminating a package agency contract; or
             1726          (12) suspending or revoking a license.
             1727          Section 20. Section 32B-1-307 is enacted to read:
             1728          32B-1-307. Criminal background check procedure.
             1729          (1) (a) An individual described in Subsections 32B-1-305 (2)(b) through (e) shall
             1730      submit a fingerprint card at the expense of the individual.
             1731          (b) The department shall pay the expense of obtaining a fingerprint card required of:
             1732          (i) an individual applying for employment with the department; or
             1733          (ii) a department employee.
             1734          (2) (a) The department shall obtain information from a criminal history record
             1735      maintained by the Utah Bureau of Criminal Identification pursuant to Title 53, Chapter 10,
             1736      Part 2, Bureau of Criminal Identification, for a purpose outlined in Section 32B-1-306 .
             1737          (b) An individual described in Subsections 32B-1-305 (2)(b) through (e) shall pay to


             1738      the department the expense of obtaining the criminal history record described in Subsection
             1739      (2)(a).
             1740          (c) The department shall pay the expense of obtaining the criminal history record
             1741      required for:
             1742          (i) an individual applying for employment with the department; or
             1743          (ii) a department employee.
             1744          (3) (a) The department shall submit a fingerprint card obtained under Section
             1745      32B-1-305 of an individual who has not resided in the state for at least two years before the
             1746      day on which the fingerprint card is submitted to the Utah Bureau of Criminal Identification to
             1747      be forwarded to the Federal Bureau of Investigation for a nationwide criminal history record
             1748      check.
             1749          (b) An individual described in Subsections 32B-1-305 (2)(b) through (e) shall pay to
             1750      the department the expense of obtaining the criminal history record described in Subsection
             1751      (3)(a).
             1752          (c) The department shall pay the expense of obtaining the criminal history record
             1753      required for:
             1754          (i) an individual applying for employment with the department; or
             1755          (ii) a department employee.
             1756          (4) The department shall pay the Utah Bureau of Criminal Identification the costs
             1757      incurred in providing the department criminal background information.
             1758          (5) (a) The following may not disseminate a criminal history record obtained under
             1759      this part to any person except for a purpose described in Section 32B-1-306 :
             1760          (i) the commission;
             1761          (ii) a commissioner;
             1762          (iii) the director;
             1763          (iv) the department; or
             1764          (v) a department employee.
             1765          (b) (i) Notwithstanding Subsection (5)(a), a criminal history record obtained under


             1766      this part may be provided by the department to the individual who is the subject of the
             1767      criminal history record.
             1768          (ii) The department shall provide an individual who is the subject of a criminal history
             1769      record and who requests the criminal history record an opportunity to:
             1770          (A) review the criminal history record; and
             1771          (B) respond to information in the criminal history record.
             1772          (6) If an individual described in Subsection 32B-1-305 (2) is determined to be
             1773      disqualified under Subsection 32B-1-306 (2)(b), the department shall provide the individual
             1774      with:
             1775          (a) notice of the reason for the disqualification; and
             1776          (b) an opportunity to respond to the disqualification.
             1777          (7) The department shall maintain the following in one or more separate files so that
             1778      they may be accessed only for a purpose under Section 32B-1-306 :
             1779          (a) a fingerprint card submitted under this part; and
             1780          (b) a criminal history record received from:
             1781          (i) the Utah Bureau of Criminal Identification; and
             1782          (ii) the Federal Bureau of Investigation.
             1783          Section 21. Section 32B-1-401 is enacted to read:
             1784     
Part 4. Proof of Age Act

             1785          32B-1-401. Title.
             1786          This part is known as the "Proof of Age Act."
             1787          Section 22. Section 32B-1-402 is enacted to read:
             1788          32B-1-402. Definitions.
             1789          As used in this part:
             1790          (1) "Applicable licensee" means the following:
             1791          (a) a dining club licensee; or
             1792          (b) a social club licensee.
             1793          (2) "Authorized person" means a person authorized by law to sell or otherwise handle


             1794      an alcoholic product.
             1795          (3) "Restricted area" means a place where an alcoholic product is sold or consumed,
             1796      but where under this title a minor is not permitted.
             1797          (4) "Statement of age" means a statement signed under Section 32B-1-405 verifying
             1798      the age of the person signing the statement.
             1799          Section 23. Section 32B-1-403 is enacted to read:
             1800          32B-1-403. Unlawful transfer or use of proof of age -- False information.
             1801          (1) (a) It is unlawful for a person to transfer that person's proof of age to another
             1802      person to aid that person:
             1803          (i) in procuring an alcoholic product;
             1804          (ii) in gaining admittance to a restricted area; or
             1805          (iii) in obtaining employment that under this title may not be obtained by a minor.
             1806          (b) A person who permits that person's proof of age to be used by another for a
             1807      purpose stated in Subsection (1)(a) is guilty of a class B misdemeanor.
             1808          (2) (a) It is unlawful for a person to use a proof of age containing false information
             1809      with the intent to:
             1810          (i) procure an alcoholic product;
             1811          (ii) gain admittance to a restricted area; or
             1812          (iii) obtain employment that under this title may not be obtained by a minor.
             1813          (b) Except as provided in Section 32B-4-411 , a person who violates this Subsection
             1814      (2) is guilty of a class A misdemeanor.
             1815          Section 24. Section 32B-1-404 is enacted to read:
             1816          32B-1-404. Presentation of proof of age upon request.
             1817          (1) To obtain one or more of the following, an individual shall present proof of age at
             1818      the request of a person listed in Subsection (2):
             1819          (a) an alcoholic product;
             1820          (b) admittance to a restricted area; or
             1821          (c) employment that under this title may not be obtained by a minor.


             1822          (2) To determine whether the individual described in Subsection (1) is 21 years of age,
             1823      the following may request a person described in Subsection (1) to present proof of age:
             1824          (a) an authorized person;
             1825          (b) a peace officer;
             1826          (c) a representative of the State Bureau of Investigation of the Department of Public
             1827      Safety, established in Section 53-10-301 ; or
             1828          (d) an authorized department employee.
             1829          Section 25. Section 32B-1-405 is enacted to read:
             1830          32B-1-405. Additional requirements when age is in question.
             1831          (1) (a) In addition to requesting the presentation of proof of age under Section
             1832      32B-1-404 , an authorized person shall require an individual whose age is in question to sign a
             1833      statement of age on the form provided under Subsection (1)(b) that includes:
             1834          (i) the date the statement of age is signed; and
             1835          (ii) the number assigned to the individual's proof of age by the issuing authority.
             1836          (b) At the request of a retail licensee, the commissioner of public safety shall provide
             1837      to a retail licensee the form for the statement of age described in this Subsection (1).
             1838          (2) (a) An authorized person shall:
             1839          (i) file in alphabetical order a statement of age obtained under Subsection (1) by no
             1840      later than the close of business on the day on which the statement of age is executed; and
             1841          (ii) maintain a statement of age on file for three years.
             1842          (b) A statement of age is subject to examination by:
             1843          (i) a peace officer;
             1844          (ii) a representative of the State Bureau of Investigation of the Department of Public
             1845      Safety, established in Section 53-10-301 ; or
             1846          (iii) an authorized department employee.
             1847          Section 26. Section 32B-1-406 is enacted to read:
             1848          32B-1-406. Acceptance of identification.
             1849          (1) An authorized person may accept as evidence of the legal age of the individual


             1850      presenting the following:
             1851          (a) proof of age; or
             1852          (b) if a statement of age is required under Section 32B-1-405 :
             1853          (i) proof of age; and
             1854          (ii) a statement of age.
             1855          (2) A statement of age, if properly completed, signed, and filed in accordance with
             1856      Section 32B-1-405 , may be offered as a defense in a case when there is at issue the legality of:
             1857          (a) selling, offering for sale, or furnishing an alcoholic product to the individual who
             1858      signed the statement of age;
             1859          (b) admitting the individual who signed the statement of age into a restricted area; or
             1860          (c) allowing the individual who signed the statement of age to be employed in
             1861      employment that under this title may not be obtained by a minor.
             1862          (3) An authorized person may not accept a driving privilege card issued in accordance
             1863      with Section 53-3-207 as evidence of the legal age of an individual.
             1864          Section 27. Section 32B-1-407 is enacted to read:
             1865          32B-1-407. Verification of proof of age by applicable licensees.
             1866          (1) Notwithstanding any other provision of this part, an applicable licensee shall
             1867      require that an authorized person under the applicable licensee verify proof of age as provided
             1868      in this section.
             1869          (2) An authorized person is required to verify proof of age under this section before an
             1870      individual who appears to be 35 years of age or younger:
             1871          (a) gains admittance to the premises of a social club licensee; or
             1872          (b) procures an alcoholic product on the premises of a dining club licensee.
             1873          (3) To comply with Subsection (2), an authorized person shall:
             1874          (a) request the individual present proof of age; and
             1875          (b) (i) verify the validity of the proof of age electronically under the verification
             1876      program created in Subsection (4); or
             1877          (ii) if the proof of age cannot be electronically verified as provided in Subsection


             1878      (3)(b)(i), request that the individual comply with a process established by the commission by
             1879      rule.
             1880          (4) The commission shall establish by rule an electronic verification program that
             1881      includes the following:
             1882          (a) the specifications for the technology used by the applicable licensee to
             1883      electronically verify proof of age, including that the technology display to the person described
             1884      in Subsection (1) no more than the following for the individual who presents the proof of age:
             1885          (i) the name;
             1886          (ii) the age;
             1887          (iii) the number assigned to the individual's proof of age by the issuing authority;
             1888          (iv) the birth date;
             1889          (v) the gender; and
             1890          (vi) the status and expiration date of the individual's proof of age; and
             1891          (b) the security measures that must be used by an applicable licensee to ensure that
             1892      information obtained under this section is:
             1893          (i) used by the applicable licensee only for purposes of verifying proof of age in
             1894      accordance with this section; and
             1895          (ii) retained by the applicable licensee for seven days after the day on which the
             1896      applicable licensee obtains the information.
             1897          (5) (a) An applicable licensee may not disclose information obtained under this
             1898      section except as provided under this title.
             1899          (b) Information obtained under this section is considered a record for any purpose
             1900      under Chapter 5, Part 3, Retail Licensee Operational Requirements.
             1901          Section 28. Section 32B-1-408 is enacted to read:
             1902          32B-1-408. Penalty.
             1903          (1) Unless otherwise provided in this title, including Section 32B-4-411 , a person who
             1904      violates this part is guilty of a class B misdemeanor.
             1905          (2) A person is not subject to a penalty for a violation of this part if it is proved to the


             1906      commission or the court hearing the matter that the person charged with the violation acted in
             1907      good faith.
             1908          Section 29. Section 32B-1-501 is enacted to read:
             1909     
Part 5. Attire, Conduct, and Entertainment Act

             1910          32B-1-501. Title.
             1911          This part is known as the "Attire, Conduct, and Entertainment Act."
             1912          Section 30. Section 32B-1-502 is enacted to read:
             1913          32B-1-502. Purpose -- Application to other laws.
             1914          (1) This part establishes reasonable and uniform time, place, and manner of operation
             1915      requirements relating to attire, conduct, and sexually oriented entertainers on premises or at an
             1916      event at which an alcoholic product is sold, offered for sale, furnished, or allowed to be
             1917      consumed under a retail license or permit issued by the commission so as to:
             1918          (a) reduce the adverse secondary effects that the attire, conduct, and sexually oriented
             1919      entertainers may have upon communities of this state; and
             1920          (b) protect the health, peace, safety, welfare, and morals of the residents of
             1921      communities of this state.
             1922          (2) Nothing in this part allows the showing or display of any matter that is contrary to:
             1923          (a) applicable federal or state statutes prohibiting obscenity; or
             1924          (b) state statutes relating to lewdness or indecent public displays.
             1925          (3) A local authority may be more restrictive of attire, conduct, or sexually oriented
             1926      entertainers of the type prohibited in this part.
             1927          Section 31. Section 32B-1-503 is enacted to read:
             1928          32B-1-503. Definitions.
             1929          Reserved
             1930          Section 32. Section 32B-1-504 is enacted to read:
             1931          32B-1-504. General requirements on attire and conduct.
             1932          The following attire and conduct on premises or at an event regulated by the
             1933      commission under this title are considered contrary to the public health, peace, safety, welfare,


             1934      and morals, and are prohibited:
             1935          (1) employing or using a person in the sale, offer for sale, or furnishing of an alcoholic
             1936      product while the person is in:
             1937          (a) a state of nudity;
             1938          (b) a state of seminudity; or
             1939          (c) performance attire or clothing that exposes to view any portion of:
             1940          (i) the female breast below the top of the areola; or
             1941          (ii) the cleft of the buttocks;
             1942          (2) employing or using the services of a person to mingle with patrons while the
             1943      person is in:
             1944          (a) a state of nudity;
             1945          (b) a state of seminudity; or
             1946          (c) performance attire or clothing that exposes to view any portion of:
             1947          (i) the female breast below the top of the areola; or
             1948          (ii) the cleft of the buttocks;
             1949          (3) encouraging or permitting a person to:
             1950          (a) engage in or simulate an act of:
             1951          (i) sexual intercourse;
             1952          (ii) masturbation;
             1953          (iii) sodomy;
             1954          (iv) bestiality;
             1955          (v) oral copulation;
             1956          (vi) flagellation; or
             1957          (vii) a sexual act that is prohibited by Utah law; or
             1958          (b) touch, caress, or fondle the breast, buttocks, anus, or genitals of any other person;
             1959          (4) permitting a person to wear or use a device or covering that:
             1960          (a) is exposed to view; and
             1961          (b) simulates all or any portion of the human genitals, anus, pubic area, or female


             1962      breast;
             1963          (5) permitting a person to use an artificial device or inanimate object to depict an act
             1964      prohibited by this section;
             1965          (6) permitting a person to remain on premises or at an event who exposes to public
             1966      view any portion of that person's:
             1967          (a) genitals, pubic area, or anus; or
             1968          (b) in the case of a female, the areola and nipple of the breast; or
             1969          (7) showing a film, still picture, electronic reproduction, or other visual reproduction
             1970      depicting:
             1971          (a) an act or simulated act of:
             1972          (i) sexual intercourse;
             1973          (ii) masturbation;
             1974          (iii) sodomy;
             1975          (iv) bestiality;
             1976          (v) oral copulation;
             1977          (vi) flagellation; or
             1978          (vii) a sexual act that is prohibited by Utah law;
             1979          (b) a person being touched, caressed, or fondled on the breast, buttocks, anus, or
             1980      genitals;
             1981          (c) a scene wherein an artificial device or inanimate object is employed to depict, or a
             1982      drawing is employed to portray, an act prohibited by this section; or
             1983          (d) a scene wherein a person displays the genitals or anus.
             1984          Section 33. Section 32B-1-505 is enacted to read:
             1985          32B-1-505. Sexually oriented entertainer.
             1986          (1) Subject to the requirements of this part, live entertainment is permitted on
             1987      premises or at an event regulated by the commission.
             1988          (2) Notwithstanding Subsection (1), a retail licensee or permittee may not permit a
             1989      person to:


             1990          (a) appear or perform in a state of nudity;
             1991          (b) perform or simulate an act of:
             1992          (i) sexual intercourse;
             1993          (ii) masturbation;
             1994          (iii) sodomy;
             1995          (iv) bestiality;
             1996          (v) oral copulation;
             1997          (vi) flagellation; or
             1998          (vii) a sexual act that is prohibited by Utah law; or
             1999          (c) touch, caress, or fondle the breast, buttocks, anus, or genitals.
             2000          (3) A sexually oriented entertainer may perform in a state of seminudity:
             2001          (a) only in:
             2002          (i) a tavern; or
             2003          (ii) a social club license premises; and
             2004          (b) only if:
             2005          (i) the windows, doors, and other apertures to the premises are darkened or otherwise
             2006      constructed to prevent anyone outside the premises from seeing the performance; and
             2007          (ii) the outside entrance doors of the premises remain unlocked.
             2008          (4) A sexually oriented entertainer may perform only upon a stage or in a designated
             2009      performance area that is:
             2010          (a) approved by the commission in accordance with rules made by the commission;
             2011          (b) configured so as to preclude a patron from:
             2012          (i) touching the sexually oriented entertainer; or
             2013          (ii) placing any money or object on or within the performance attire or the person of
             2014      the sexually oriented entertainer; and
             2015          (c) configured so as to preclude the sexually oriented entertainer from touching a
             2016      patron.
             2017          (5) A sexually oriented entertainer may not touch a patron:


             2018          (a) during the sexually oriented entertainer's performance; or
             2019          (b) while the sexually oriented entertainer is dressed in performance attire.
             2020          (6) A sexually oriented entertainer, while in the portion of the premises used by
             2021      patrons, must be dressed in opaque clothing which covers and conceals the sexually oriented
             2022      entertainer's performance attire from the top of the breast to the knee.
             2023          (7) A patron may not be on the stage or in the performance area while a sexually
             2024      oriented entertainer is appearing or performing on the stage or in the performance area.
             2025          (8) A patron may not:
             2026          (a) touch a sexually oriented entertainer:
             2027          (i) during the sexually oriented entertainer's performance; or
             2028          (ii) while the sexually oriented entertainer is dressed in performance attire; or
             2029          (b) place money or any other object on or within the performance attire or the person
             2030      of the sexually oriented entertainer.
             2031          (9) A minor may not be on premises described in Subsection (3).
             2032          (10) A person who appears or performs for the entertainment of patrons on premises or
             2033      at an event regulated by the commission that is not a tavern or social club licensee:
             2034          (a) may not appear or perform in a state of nudity or a state of seminudity; and
             2035          (b) may appear or perform in opaque clothing that completely covers the person's
             2036      genitals, pubic area, and anus if the covering:
             2037          (i) is not less than the following at its widest point:
             2038          (A) four inches coverage width in the front of the human body; and
             2039          (B) five inches coverage width in the back of the human body;
             2040          (ii) does not taper to less than one inch wide at the narrowest point; and
             2041          (iii) if covering a female, completely covers the breast below the top of the areola.
             2042          Section 34. Section 32B-1-506 is enacted to read:
             2043          32B-1-506. Compliance -- Administrative enforcement.
             2044          (1) A retail licensee, a permittee, and staff of a licensee or permittee shall comply with
             2045      this part.


             2046          (2) Failure to comply with this part may result in a disciplinary proceeding pursuant to
             2047      Chapter 3, Disciplinary Actions and Enforcement Act, against:
             2048          (a) a licensee or permittee;
             2049          (b) staff of the licensee or permittee;
             2050          (c) both a licensee and staff of the licensee; or
             2051          (d) both a permittee and staff of the permittee.
             2052          Section 35. Section 32B-1-601 is enacted to read:
             2053     
Part 6. Malted Beverage Act

             2054          32B-1-601. Title.
             2055          This part is known as the "Malted Beverage Act."
             2056          Section 36. Section 32B-1-602 is enacted to read:
             2057          32B-1-602. Definitions.
             2058          As used in this part:
             2059          (1) "Malted beverage" means:
             2060          (a) beer;
             2061          (b) a flavored malt beverage; and
             2062          (c) heavy beer.
             2063          (2) "Packaging" means the outer packaging that is visible to a consumer such as a
             2064      carton, case, or other wrapper of a package.
             2065          Section 37. Section 32B-1-603 is enacted to read:
             2066          32B-1-603. Power of the commission and department to classify flavored malt
             2067      beverages.
             2068          (1) The commission and department shall regulate a flavored malt beverage as liquor.
             2069          (2) (a) The department shall make available to the public on the Internet a list of the
             2070      flavored malt beverages authorized to be sold in this state as liquor.
             2071          (b) The list described in Subsection (2)(a) shall be updated at least quarterly.
             2072          (3) (a) A manufacturer shall file, under penalty of perjury, a report with the department
             2073      listing each flavored malt beverage manufactured by the manufacturer that the manufacturer


             2074      wants to distribute in this state subject to the manufacturer holding:
             2075          (i) a brewery manufacturing license issued in accordance with Chapter 11, Part 5,
             2076      Brewery Manufacturing License; or
             2077          (ii) a certificate of approval.
             2078          (b) A manufacturer may not distribute or sell in this state a flavored malt beverage if
             2079      the manufacturer does not list the flavored malt beverage in a filing with the department in
             2080      accordance with this Subsection (3) before distributing or selling the flavored malt beverage.
             2081          (4) The department may require a manufacturer of a flavored malt beverage to provide
             2082      the department with a copy of the following filed with the federal Alcohol and Tobacco Tax
             2083      and Trade Bureau, pursuant to 27 C.F.R. Sec. 25.55:
             2084          (a) a statement of process; or
             2085          (b) a formula.
             2086          (5) (a) A manufacturer of an alcoholic product that the department is classifying or
             2087      proposes to classify as a flavored malt beverage may submit evidence to the department that
             2088      its alcoholic product should not be treated as liquor under this section because the alcoholic
             2089      product:
             2090          (i) is obtained by fermentation, infusion, or decoction of a malted grain;
             2091          (ii) is produced by processing, filtration, or another method of manufacture that is
             2092      generally recognized as a traditional process in the production of beer as described in 27
             2093      C.F.R. Sec. 25.55;
             2094          (iii) does not have added to it a flavor or other ingredient containing alcohol, except
             2095      for a hop extract; and
             2096          (iv) (A) is not one for which the producer is required to file a formula for approval
             2097      with the federal Alcohol and Tobacco Tax and Trade Bureau pursuant to 27 C.F.R. Sec. 25.55;
             2098      or
             2099          (B) is exempt under Subdivision (f) of 27 C.F.R. Sec. 25.55.
             2100          (b) The department shall review the evidence submitted by the manufacturer under
             2101      this Subsection (5).


             2102          (c) The department shall make available to the public on the Internet a list of the
             2103      alcoholic products authorized under this Subsection (5) to be sold as beer in this state.
             2104          (d) A decision of the department under this Subsection (5) may be appealed to the
             2105      commission.
             2106          Section 38. Section 32B-1-604 is enacted to read:
             2107          32B-1-604. Requirements for labeling and packaging -- Authority of the
             2108      commission and department.
             2109          (1) A manufacturer may not distribute or sell a malted beverage:
             2110          (a) unless the label and packaging of the malted beverage:
             2111          (i) complies with the federal label requirements of 27 C.F.R. Parts 7, 13, and 16; and
             2112          (ii) clearly gives notice to the public that the malted beverage is an alcoholic product;
             2113      and
             2114          (b) until the day on which the department in accordance with this title and rules of the
             2115      commission approves the label and packaging of the malted beverage.
             2116          (2) The department shall review the label and packaging of a malted beverage to
             2117      ensure that the label and packaging meet the requirements of Subsection (1)(a).
             2118          (3) A manufacturer may comply with the requirement of Subsection (1)(a)(ii) by
             2119      including on a label and packaging for a malted beverage any of the following terms:
             2120          (a) beer;
             2121          (b) ale;
             2122          (c) porter;
             2123          (d) stout;
             2124          (e) lager;
             2125          (f) lager beer; or
             2126          (g) another class or type designation commonly applied to a malted beverage that
             2127      conveys by a recognized term that the product contains alcohol.
             2128          Section 39. Section 32B-1-605 is enacted to read:
             2129          32B-1-605. General procedure for approval.


             2130          (1) To obtain approval of the label and packaging of a malted beverage, the
             2131      manufacturer of the malted beverage shall submit an application to the department for
             2132      approval.
             2133          (2) The application described in Subsection (1) shall be on a form approved by the
             2134      department and include the following:
             2135          (a) a copy of a federal certificate of label approval from the Department of Treasury,
             2136      Tax and Trade Bureau, for each brand and label for which the manufacturer is seeking
             2137      approval;
             2138          (b) a complete set of original labels for each size of package of the malted beverage;
             2139          (c) a description of the size of the package on which a label will be placed;
             2140          (d) a description of each type of package of the malted beverage; and
             2141          (e) a description of any packaging for the malted beverage.
             2142          (3) The department may assess a reasonable fee for reviewing a label and packaging
             2143      for approval.
             2144          (4) (a) The department shall notify a manufacturer within 30 days after the day on
             2145      which the manufacturer submits an application whether the label and packaging is approved or
             2146      denied.
             2147          (b) If the department determines that an unusual circumstance requires additional
             2148      time, the department may extend the time period described in Subsection (4)(a).
             2149          (5) A manufacturer shall obtain the approval of the department of a revision of a
             2150      previously approved label and packaging before a malted beverage using the revised label and
             2151      packaging may be distributed or sold in this state.
             2152          (6) (a) The department may revoke a label and packaging previously approved upon a
             2153      finding that the label and packaging is not in compliance with this title or rules of the
             2154      commission.
             2155          (b) The department shall notify the person who applies for the approval of a label and
             2156      packaging at least five business days before the day on which a label and packaging approval
             2157      is considered revoked.


             2158          (c) After receiving notice under Subsection (6)(b), a manufacturer may present written
             2159      argument or evidence to the department on why the revocation should not occur.
             2160          (7) A manufacturer that applies for approval of a label and packaging may appeal a
             2161      denial or revocation of a label and packaging approval to the commission.
             2162          Section 40. Section 32B-1-606 is enacted to read:
             2163          32B-1-606. Special procedure for flavored malt beverages.
             2164          (1) If a flavored malt beverage is labeled or packaged in a manner that is similar to a
             2165      label or packaging used for a nonalcoholic beverage, a manufacturer of the flavored malt
             2166      beverage may not distribute or sell the flavored malt beverage in this state until the day on
             2167      which the manufacturer receives approval of the labeling and packaging from the department
             2168      in accordance with:
             2169          (a) Sections 32B-1-604 and 32B-1-605 ; and
             2170          (b) this section.
             2171          (2) The department may not approve the labeling and packaging of a flavored malt
             2172      beverage described in Subsection (1) unless in addition to the requirements of Section
             2173      32B-1-604 the labeling and packaging complies with the following:
             2174          (a) The label on the flavored malt beverage shall bear a prominently displayed label or
             2175      a firmly affixed sticker that provides the following information:
             2176          (i) the statement:
             2177          (A) "alcoholic beverage"; or
             2178          (B) "contains alcohol"; and
             2179          (ii) the alcohol content of the flavored malt beverage.
             2180          (b) Packaging of a flavored malt beverage shall prominently include, either imprinted
             2181      on the packaging or imprinted on a sticker firmly affixed to the packaging, the statement:
             2182          (i) "alcoholic beverage"; or
             2183          (ii) "contains alcohol".
             2184          (c) A statement required by Subsection (2)(a) or (b) shall appear in a format required
             2185      by rule made by the commission.


             2186          (d) A statement of alcohol content required by Subsection (2)(a)(ii):
             2187          (i) shall state the alcohol content as a percentage of alcohol by volume or by weight;
             2188          (ii) may not use an abbreviation, but shall use the complete words "alcohol,"
             2189      "volume," or "weight"; and
             2190          (iii) shall be in a format required by rule made by the commission.
             2191          (3) The department may reject a label or packaging that appears designed to obscure
             2192      the information required by Subsection (2).
             2193          (4) To determine whether a flavored malt beverage is described in Subsection (1) and
             2194      subject to this section, the department may consider in addition to other factors one or more of
             2195      the following factors:
             2196          (a) whether the coloring, carbonation, and packaging of the flavored malt beverage:
             2197          (i) is similar to those of a nonalcoholic beverage or product; or
             2198          (ii) can be confused with a nonalcoholic beverage;
             2199          (b) whether the flavored malt beverage possesses a character and flavor distinctive
             2200      from a traditional malted beverage;
             2201          (c) whether the flavored malt beverage:
             2202          (i) is prepackaged;
             2203          (ii) contains high levels of caffeine and other additives; and
             2204          (iii) is marketed as a beverage that is specifically designed to provide energy;
             2205          (d) whether the flavored malt beverage contains added sweetener or sugar substitutes;
             2206      or
             2207          (e) whether the flavored malt beverage contains an added fruit flavor or other flavor
             2208      that masks the taste of a traditional malted beverage.
             2209          Section 41. Section 32B-1-607 is enacted to read:
             2210          32B-1-607. Rulemaking authority.
             2211          The commission may adopt rules necessary to implement this part.
             2212          Section 42. Section 32B-1-608 is enacted to read:
             2213          32B-1-608. Disciplinary proceeding for violation.


             2214          A person who violates this part is subject to a disciplinary proceeding under Chapter 3,
             2215      Disciplinary Actions and Enforcement Act.
             2216          Section 43. Section 32B-2-101 is enacted to read:
             2217     
CHAPTER 2. ALCOHOLIC BEVERAGE CONTROL ADMINISTRATION ACT

             2218     
Part 1. General Provisions

             2219          32B-2-101. Title.
             2220          This chapter is known as the "Alcoholic Beverage Control Administration Act."
             2221          Section 44. Section 32B-2-102 is enacted to read:
             2222          32B-2-102. Definitions.
             2223          Reserved
             2224          Section 45. Section 32B-2-201 is enacted to read:
             2225     
Part 2. Organization and Operations of Commission and Department

             2226          32B-2-201. Alcoholic Beverage Control Commission created.
             2227          (1) There is created the "Alcoholic Beverage Control Commission." The commission
             2228      is the governing board over the department.
             2229          (2) (a) The commission is composed of five part-time commissioners appointed by the
             2230      governor with the consent of the Senate.
             2231          (b) No more than three commissioners may be of the same political party.
             2232          (3) (a) Except as required by Subsection (3)(b), as terms of commissioners expire, the
             2233      governor shall appoint each new commissioner or reappointed commissioner to a four-year
             2234      term.
             2235          (b) Notwithstanding the requirements of Subsection (3)(a), the governor shall, at the
             2236      time of appointment or reappointment, adjust the length of terms to ensure that the terms of no
             2237      more than two commissioners expire in a fiscal year.
             2238          (4) (a) When a vacancy occurs on the commission for any reason, the governor shall
             2239      appoint a replacement for the unexpired term with the consent of the Senate.
             2240          (b) Unless removed in accordance with Subsection (6), a commissioner shall remain
             2241      on the commission after the expiration of a term until a successor is appointed by the


             2242      governor, with the consent of the Senate.
             2243          (5) A commissioner shall take the oath of office.
             2244          (6) (a) The governor may remove a commissioner from the commission for cause after
             2245      a public hearing conducted by:
             2246          (i) the governor; or
             2247          (ii) an impartial hearing examiner appointed by the governor to conduct the hearing.
             2248          (b) At least 10 days before the hearing described in Subsection (6)(a), the governor
             2249      shall provide the commissioner notice of:
             2250          (i) the date, time, and place of the hearing; and
             2251          (ii) the alleged grounds for the removal.
             2252          (c) The commissioner shall have an opportunity to:
             2253          (i) attend the hearing;
             2254          (ii) present witnesses and other evidence; and
             2255          (iii) confront and cross examine witnesses.
             2256          (d) After a hearing under this Subsection (6):
             2257          (i) the person conducting the hearing shall prepare written findings of fact and
             2258      conclusions of law; and
             2259          (ii) the governor shall serve a copy of the prepared findings and conclusions upon the
             2260      commissioner.
             2261          (e) If a hearing under this Subsection (6) is held before a hearing examiner, the
             2262      hearing examiner shall issue a written recommendation to the governor in addition to
             2263      complying with Subsection (6)(d).
             2264          (f) A commissioner has five days from the day on which the commissioner receives
             2265      the findings and conclusions described in Subsection (6)(d) to file written objections to the
             2266      recommendation before the governor issues a final order.
             2267          (g) The governor shall:
             2268          (i) issue the final order under this Subsection (6) in writing; and
             2269          (ii) serve the final order upon the commissioner.


             2270          (7) (a) A commissioner may not receive compensation or benefits for the
             2271      commissioner's service, but may receive per diem and expenses incurred in the performance of
             2272      the commissioner's official duties at the rates established by the Division of Finance under
             2273      Sections 63A-3-106 and 63A-3-107 .
             2274          (b) A commissioner may decline to receive per diem and expenses for the
             2275      commissioner's service.
             2276          (8) (a) (i) The commission shall elect:
             2277          (A) one commissioner to serve as chair;
             2278          (B) another commissioner to serve as vice chair; and
             2279          (C) other commission officers as the commission considers advisable.
             2280          (ii) A commissioner shall serve in the office to which the commissioner is elected
             2281      under Subsection (8)(a)(i) at the pleasure of the commission.
             2282          (b) Each commissioner has equal voting rights on a commission matter when in
             2283      attendance at a commission meeting.
             2284          (c) Three commissioners is a quorum for conducting commission business.
             2285          (d) A majority vote of the quorum present at a meeting is required for the commission
             2286      to act.
             2287          (9) (a) The commission shall meet at least monthly, but may hold other meetings at
             2288      times and places as scheduled by:
             2289          (i) the commission;
             2290          (ii) the chair; or
             2291          (iii) three commissioners upon filing a written request for a meeting with the chair.
             2292          (b) Notice of the time and place of a commission meeting shall be given to each
             2293      commissioner, and to the public in compliance with Title 52, Chapter 4, Open and Public
             2294      Meetings Act. A commission meeting is open to the public, except for a commission meeting
             2295      or portion of a commission meeting that is closed by the commission as authorized by
             2296      Sections 52-4-204 and 52-4-205 .
             2297          Section 46. Section 32B-2-202 is enacted to read:


             2298          32B-2-202. Powers and duties of the commission.
             2299          (1) The commission shall:
             2300          (a) act as a general policymaking body on the subject of alcoholic product control;
             2301          (b) adopt and issue policies, rules, and procedures;
             2302          (c) set policy by written rules that establish criteria and procedures for:
             2303          (i) issuing, denying, not renewing, suspending, or revoking a package agency, license,
             2304      permit, or certificate of approval; and
             2305          (ii) determining the location of a state store, package agency, or retail licensee;
             2306          (d) decide within the limits, and under the conditions imposed by this title, the number
             2307      and location of state stores, package agencies, and retail licensees in the state;
             2308          (e) issue, deny, suspend, revoke, or not renew the following package agencies,
             2309      licenses, permits, or certificates of approval for the purchase, storage, sale, offer for sale,
             2310      furnishing, consumption, manufacture, and distribution of an alcoholic product:
             2311          (i) a package agency;
             2312          (ii) a full-service restaurant license;
             2313          (iii) a limited-service restaurant license;
             2314          (iv) a club license;
             2315          (v) an airport lounge license;
             2316          (vi) an on-premise banquet license;
             2317          (vii) a resort license, under which four or more sublicenses may be included;
             2318          (viii) an on-premise beer retailer license;
             2319          (ix) a single event permit;
             2320          (x) a temporary beer event permit;
             2321          (xi) a special use permit;
             2322          (xii) a manufacturing license;
             2323          (xiii) a liquor warehousing license;
             2324          (xiv) a beer wholesaling license; and
             2325          (xv) an out-of-state brewer certificate of approval;


             2326          (f) in accordance with Section 32B-5-205 , issue, deny, suspend, or revoke one of the
             2327      following conditional licenses for the purchase, storage, sale, furnishing, consumption,
             2328      manufacture, and distribution of an alcoholic product:
             2329          (i) a conditional full-service restaurant license; or
             2330          (ii) a conditional limited-service restaurant license;
             2331          (g) prescribe the duties of the department in assisting the commission in issuing a
             2332      package agency, license, permit, or certificate of approval under this title;
             2333          (h) to the extent a fee is not specified in this title, establish a fee allowed under this
             2334      title in accordance with Section 63J-1-504 ;
             2335          (i) fix prices at which liquor is sold that are the same at all state stores, package
             2336      agencies, and retail licensees;
             2337          (j) issue and distribute price lists showing the price to be paid by a purchaser for each
             2338      class, variety, or brand of liquor kept for sale by the department;
             2339          (k) (i) require the director to follow sound management principles; and
             2340          (ii) require periodic reporting from the director to ensure that:
             2341          (A) sound management principles are being followed; and
             2342          (B) policies established by the commission are being observed;
             2343          (l) (i) receive, consider, and act in a timely manner upon the reports,
             2344      recommendations, and matters submitted by the director to the commission; and
             2345          (ii) do the things necessary to support the department in properly performing the
             2346      department's duties;
             2347          (m) obtain temporarily and for special purposes the services of an expert or person
             2348      engaged in the practice of a profession, or a person who possesses a needed skill if:
             2349          (i) considered expedient; and
             2350          (ii) approved by the governor;
             2351          (n) prescribe the conduct, management, and equipment of premises upon which an
             2352      alcoholic product may be stored, sold, offered for sale, furnished, or consumed;
             2353          (o) make rules governing the credit terms of beer sales within the state to retail


             2354      licensees; and
             2355          (p) in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, take
             2356      disciplinary action against a person subject to administrative action.
             2357          (2) The power of the commission to do the following is plenary, except as otherwise
             2358      provided by this title, and not subject to review:
             2359          (a) establish a state store;
             2360          (b) issue authority to act as a package agent or operate a package agency; and
             2361          (c) issue or deny a license, permit, or certificate of approval.
             2362          (3) If the commission is authorized or required to make a rule under this title, the
             2363      commission shall make the rule in accordance with Title 63G, Chapter 3, Utah Administrative
             2364      Rulemaking Act.
             2365          Section 47. Section 32B-2-203 is enacted to read:
             2366          32B-2-203. Department of Alcoholic Beverage Control created.
             2367          (1) There is created the Department of Alcoholic Beverage Control. The department is
             2368      governed by the commission.
             2369          (2) The director of alcoholic beverage control appointed under Section 32B-2-205
             2370      shall administer the department.
             2371          (3) The director shall allocate the duties within the department into the divisions,
             2372      bureaus, sections, offices, and committees as the director considers necessary for the
             2373      administration of this title.
             2374          (4) The department shall cooperate with any other recognized agency in the
             2375      administration of this title and in the enforcement of a policy or rule of the commission or
             2376      policy of the director.
             2377          Section 48. Section 32B-2-204 is enacted to read:
             2378          32B-2-204. Powers and duties of the department -- Immunity.
             2379          (1) The department shall control liquor merchandise inventory including:
             2380          (a) listing and delisting a product;
             2381          (b) the procedures for testing a new product;


             2382          (c) purchasing policy;
             2383          (d) turnover requirements for a regularly coded product to be continued; and
             2384          (e) the disposition of discontinued, distressed, or unsaleable merchandise.
             2385          (2) (a) The department shall report to the governor on the administration of this title:
             2386          (i) as the governor may require; and
             2387          (ii) annually by no later than November 30, for the fiscal year ending June 30 of the
             2388      year in which the report is made.
             2389          (b) A report under this Subsection (2) shall contain:
             2390          (i) a statement of the nature and amount of the business transacted by the department
             2391      during the year;
             2392          (ii) a statement of the department's assets and liabilities including a profit and loss
             2393      account, and other accounts and matters necessary to show the results of operations of the
             2394      department for the year;
             2395          (iii) general information on the application of this title in the state; and
             2396          (iv) any other information requested by the governor.
             2397          (c) The department shall submit a copy of a report described in this Subsection (2) to
             2398      the Legislature.
             2399          (3) The department shall maintain insurance against loss on each motor vehicle
             2400      operated by it on any public highway. A motor vehicle shall be covered for:
             2401          (a) liability imposed by law upon the department for damages from bodily injuries
             2402      suffered by one or more persons by reason of the ownership, maintenance, or use of the motor
             2403      vehicle; and
             2404          (b) liability or loss from damage to or destruction of property of any description,
             2405      including liability of the department for the resultant loss of use of the property, which results
             2406      from accident due to the ownership, maintenance, or use of the motor vehicle.
             2407          (4) (a) The department may sue, be sued, and defend in a proceeding, in a court of law
             2408      or otherwise, in the name of the department.
             2409          (b) An action may not be taken:


             2410          (i) against the commission; or
             2411          (ii) in the name of a commissioner.
             2412          (5) The department is liable to respond in damages in a case if a private corporation
             2413      under the same circumstances would be liable.
             2414          (6) (a) Title 63G, Chapter 7, Governmental Immunity Act of Utah, applies in an action
             2415      commenced against the department for damages sustained as a result of department
             2416      ownership, maintenance, or use of a motor vehicle under Subsections (4) and (5).
             2417          (b) In an action described in Subsection (6)(a), the commission and each
             2418      commissioner are immune from suit.
             2419          Section 49. Section 32B-2-205 is enacted to read:
             2420          32B-2-205. Director of alcoholic beverage control.
             2421          (1) (a) The commission by a vote of four of the five commissioners, and with the
             2422      approval of the governor, shall appoint a director of alcoholic beverage control who is the
             2423      administrative head of the department.
             2424          (b) The director serves at the pleasure of the commission, except that the director may
             2425      only be removed from office by a vote of four commissioners.
             2426          (c) The director may not be a commissioner.
             2427          (d) The director shall:
             2428          (i) be qualified in administration;
             2429          (ii) be knowledgeable by experience and training in the field of business management;
             2430      and
             2431          (iii) possess any other qualification prescribed by the commission.
             2432          (2) The governor shall establish the director's compensation within the salary range
             2433      fixed by the Legislature in Title 67, Chapter 22, State Officer Compensation.
             2434          (3) The director shall:
             2435          (a) carry out the policies of the commission;
             2436          (b) carry out the policies of the department;
             2437          (c) fully inform the commission of the operations and administrative activities of the


             2438      department; and
             2439          (d) assist the commission in the proper discharge of the commission's duties.
             2440          Section 50. Section 32B-2-206 is enacted to read:
             2441          32B-2-206. Powers and duties of the director.
             2442          Subject to the powers and responsibilities of the commission under this title, the
             2443      director:
             2444          (1) (a) shall prepare and propose to the commission general policies, rules, and
             2445      procedures governing the administrative activities of the department; and
             2446          (b) may submit other recommendations to the commission as the director considers in
             2447      the interest of the commission's or the department's business;
             2448          (2) within the general policies, rules, and procedures of the commission, shall:
             2449          (a) provide day-to-day direction, coordination, and delegation of responsibilities in the
             2450      administrative activities of the department's business; and
             2451          (b) make internal department policies and procedures relating to:
             2452          (i) department personnel matters; and
             2453          (ii) the day-to-day operation of the department;
             2454          (3) subject to Section 32B-2-207 , shall appoint or employ personnel as considered
             2455      necessary in the administration of this title, and with regard to the personnel shall:
             2456          (a) prescribe the conditions of employment;
             2457          (b) define the respective duties and powers;
             2458          (c) fix the remuneration in accordance with Title 67, Chapter 19, Utah State Personnel
             2459      Management Act;
             2460          (d) designate those employees required to give a bond; and
             2461          (e) specify the bond amounts;
             2462          (4) shall establish and secure adherence to a system of reports, controls, and
             2463      performance in matters relating to personnel, security, department property management, and
             2464      operation of:
             2465          (a) a department office;


             2466          (b) a warehouse;
             2467          (c) a state store; and
             2468          (d) a package agency;
             2469          (5) within the policies, rules, and procedures approved by the commission and
             2470      provisions of law, shall purchase, store, keep for sale, sell, import, and control the storage,
             2471      sale, furnishing, transportation, or delivery of an alcoholic product;
             2472          (6) shall prepare for commission approval:
             2473          (a) recommendations regarding the location, establishment, relocation, and closure of
             2474      a state store or package agency;
             2475          (b) recommendations regarding the issuance, denial, nonrenewl, suspension, or
             2476      revocation of a license, permit, or certificate of approval;
             2477          (c) an annual budget, proposed legislation, and reports as required by law and sound
             2478      business principles;
             2479          (d) plans for reorganizing divisions of the department and the functions of the
             2480      divisions;
             2481          (e) manuals containing commission and department policies, rules, and procedures;
             2482          (f) an inventory control system;
             2483          (g) any other report or recommendation requested by the commission;
             2484          (h) rules described in Subsection 32B-2-202 (1)(o) governing the credit terms of the
             2485      sale of beer;
             2486          (i) rules governing the calibration, maintenance, and regulation of a calibrated metered
             2487      dispensing system;
             2488          (j) rules governing the display of a list of types and brand names of liquor furnished
             2489      through a calibrated metered dispensing system;
             2490          (k) price lists issued and distributed showing the price to be paid for each class,
             2491      variety, or brand of liquor kept for sale at a state store, package agency, or retail licensee;
             2492          (l) policies or rules prescribing the books of account maintained by the department
             2493      and by a state store, package agency, or retail licensee; and


             2494          (m) a policy prescribing the manner of giving and serving a notice required by this
             2495      title or rules made under this title;
             2496          (7) shall make available through the department to any person, upon request, a copy of
             2497      a policy made by the director;
             2498          (8) shall make and maintain a current copy of a manual that contains the rules and
             2499      policies of the commission and department available for public inspection;
             2500          (9) (a) after consultation with the governor, shall determine whether an alcoholic
             2501      product should not be sold, offered for sale, or otherwise furnished in an area of the state
             2502      during a period of emergency that is proclaimed by the governor to exist in that area; and
             2503          (b) shall issue a necessary public announcement or policy with respect to the
             2504      determination described in Subsection (9)(a); and
             2505          (10) shall perform any other duty required by the commission or by law.
             2506          Section 51. Section 32B-2-207 is enacted to read:
             2507          32B-2-207. Department employees -- Requirements.
             2508          (1) Subject to this title, including the requirements of Chapter 1, Part 3, Qualifications
             2509      and Background, the director may prescribe the qualifications of a department employee.
             2510          (2) (a) A person who seeks employment with the department shall file with the
             2511      department an application under oath or affirmation in a form prescribed by the commission.
             2512          (b) Upon receiving an application, the department shall determine whether the
             2513      individual is:
             2514          (i) of good moral character; and
             2515          (ii) qualified for the position sought.
             2516          (c) The department shall select an individual for employment or advancement with the
             2517      department in accordance with Title 67, Chapter 19, Utah State Personnel Management Act.
             2518          (3) The following are not considered a department employee:
             2519          (a) a package agent;
             2520          (b) a licensee;
             2521          (c) a staff member of a package agent; or


             2522          (d) staff of a licensee.
             2523          (4) The department may not employ a minor to:
             2524          (a) work in:
             2525          (i) a state store; or
             2526          (ii) a department warehouse; or
             2527          (b) engage in an activity involving the handling of an alcoholic product.
             2528          Section 52. Section 32B-2-208 is enacted to read:
             2529          32B-2-208. Services of State Health Laboratory.
             2530          The State Health Laboratory shall make its services available to the department when
             2531      necessary. The department shall pay for the services from the Liquor Control Fund to the
             2532      Department of Health.
             2533          Section 53. Section 32B-2-301 is enacted to read:
             2534     
Part 3. Fiscal Matters

             2535          32B-2-301. State property -- Liquor Control Fund.
             2536          (1) The following are property of the state:
             2537          (a) the money received by the department in the administration of this title, except as
             2538      otherwise provided; and
             2539          (b) property acquired, administered, possessed, or received by the department.
             2540          (2) (a) There is created an enterprise fund known as the "Liquor Control Fund."
             2541          (b) Except as provided in Section 32B-3-205 , money received in the administration of
             2542      this title shall be paid to the department and transferred to the Liquor Control Fund.
             2543          (c) The state treasurer shall by warrant draw from the Liquor Control Fund the
             2544      expenses, debts, and liabilities incurred by the department in connection with the
             2545      administration of this title or any other expense necessary for the administration of this title,
             2546      including:
             2547          (i) salaries;
             2548          (ii) premiums, if any, on a bond for which the department pays premiums; and
             2549          (iii) an expenditure incurred in establishing, operating, or maintaining a state store or


             2550      package agency.
             2551          (d) The department shall transfer annually from the Liquor Control Fund to the
             2552      General Fund a sum equal to the amount of net profit earned from the sale of liquor since the
             2553      preceding transfer of money under this Subsection (2)(d). The transfer shall be made by no
             2554      later than September 30 after a fiscal year.
             2555          (3) (a) By the end of each day, the department shall:
             2556          (i) make a deposit to a qualified depository, as defined in Section 51-7-3 ; and
             2557          (ii) report the deposit to the state treasurer.
             2558          (b) A commissioner or department employee is not personally liable for a loss caused
             2559      by the default or failure of a qualified depository.
             2560          (c) Money deposited in a qualified depository is entitled to the same priority of
             2561      payment as other public funds of the state.
             2562          (4) If the cash balance of the Liquor Control Fund is not adequate to cover a warrant
             2563      drawn against the Liquor Control Fund by the state treasurer, the cash resources of the General
             2564      Fund may be used to the extent necessary. At no time may the fund equity of the Liquor
             2565      Control Fund fall below zero.
             2566          Section 54. Section 32B-2-302 is enacted to read:
             2567          32B-2-302. Exempt from Division of Finance -- Annual audits.
             2568          (1) The laws that govern the Division of Finance are not applicable to the department
             2569      in the purchase and sale of an alcoholic product.
             2570          (2) (a) The state auditor, or a person appointed by the state auditor, shall annually
             2571      audit the department's accounts.
             2572          (b) If an audit is conducted by a person appointed by the state auditor, the person shall
             2573      make the audit report to the state auditor.
             2574          (c) The state auditor shall submit a copy of an audit report to the Legislature by no
             2575      later than the January 1 following the close of the fiscal year for which the audit report is
             2576      made.
             2577          Section 55. Section 32B-2-303 is enacted to read:


             2578          32B-2-303. Purchase of liquor.
             2579          (1) The department may not purchase or stock spirituous liquor in a package smaller
             2580      than 200 milliliters, except as otherwise allowed by the commission.
             2581          (2) (a) An order by the department for the purchase of liquor, or a cancellation by the
             2582      department of an order of liquor:
             2583          (i) shall be executed in writing by the department; and
             2584          (ii) is not valid or binding unless executed in writing.
             2585          (b) The department shall maintain a copy of an order or cancellation on file for at least
             2586      three years.
             2587          (c) An electronic record satisfies Subsections (2)(a) and (b) pursuant to Title 46,
             2588      Chapter 4, Uniform Electronic Transactions Act.
             2589          Section 56. Section 32B-2-304 is enacted to read:
             2590          32B-2-304. Liquor prices -- School lunch program.
             2591          (1) For purposes of this section:
             2592          (a) (i) "Landed case cost" means:
             2593          (A) the cost of the product; and
             2594          (B) inbound shipping costs incurred by the department.
             2595          (ii) "Landed case cost" does not include the outbound shipping cost from a warehouse
             2596      of the department to a state store.
             2597          (b) "Proof gallon" has the same meaning as in 26 U.S.C. Sec. 5002.
             2598          (c) Notwithstanding Section 32B-1-102 , "small brewer" means a brewer who
             2599      manufactures in a calendar year less than 40,000 barrels of beer, heavy beer, and flavored malt
             2600      beverage.
             2601          (2) Except as provided in Subsection (3):
             2602          (a) spirituous liquor sold by the department within the state shall be marked up in an
             2603      amount not less than 86% above the landed case cost to the department;
             2604          (b) wine sold by the department within the state shall be marked up in an amount not
             2605      less than 86% above the landed case cost to the department;


             2606          (c) heavy beer sold by the department within the state shall be marked up in an
             2607      amount not less than 64.5% above the landed case cost to the department; and
             2608          (d) a flavored malt beverage sold by the department within the state shall be marked
             2609      up in an amount not less than 86% above the landed case cost to the department.
             2610          (3) (a) Liquor sold by the department to a military installation in Utah shall be marked
             2611      up in an amount not less than 15% above the landed case cost to the department.
             2612          (b) Except for spirituous liquor sold by the department to a military installation in
             2613      Utah, spirituous liquor that is sold by the department within the state shall be marked up 47%
             2614      above the landed case cost to the department if:
             2615          (i) the spirituous liquor is manufactured by a manufacturer producing less than 30,000
             2616      proof gallons of spirituous liquor in a calendar year; and
             2617          (ii) the manufacturer applies to the department for a reduced markup.
             2618          (c) Except for wine sold by the department to a military installation in Utah, wine that
             2619      is sold by the department within the state shall be marked up 47% above the landed case cost
             2620      to the department if:
             2621          (i) the wine is manufactured by a manufacturer producing less than 20,000 gallons of
             2622      wine in a calendar year; and
             2623          (ii) the manufacturer applies to the department for a reduced markup.
             2624          (d) Except for heavy beer sold by the department to a military installation in Utah,
             2625      heavy beer that is sold by the department within the state shall be marked up 30% above the
             2626      landed case cost to the department if:
             2627          (i) a small brewer manufactures the heavy beer; and
             2628          (ii) the small brewer applies to the department for a reduced markup.
             2629          (e) The department shall verify an amount described in Subsection (3)(b) or (c)
             2630      pursuant to a federal or other verifiable production report.
             2631          (4) The department shall deposit 10% of the total gross revenue from sales of liquor
             2632      with the state treasurer to be credited to the Uniform School Fund and used to support the
             2633      school lunch program administered by the State Board of Education under Section


             2634      53A-19-201 .
             2635          (5) This section does not prohibit the department from selling discontinued items at a
             2636      discount.
             2637          Section 57. Section 32B-2-401 is enacted to read:
             2638     
Part 4. Alcoholic Beverage Enforcement and Treatment Restricted Account Act

             2639          32B-2-401. Title.
             2640          This part is known as the "Alcoholic Beverage Enforcement and Treatment Restricted
             2641      Account Act."
             2642          Section 58. Section 32B-2-402 is enacted to read:
             2643          32B-2-402. Definitions -- Calculations.
             2644          (1) As used in this part:
             2645          (a) "Account" means the Alcoholic Beverage Enforcement and Treatment Restricted
             2646      Account created in Section 32B-2-403 .
             2647          (b) "Alcohol-related offense" means:
             2648          (i) a violation of:
             2649          (A) Section 41-6a-502 ; or
             2650          (B) an ordinance that complies with the requirements of:
             2651          (I) Subsection 41-6a-510 (1); or
             2652          (II) Section 76-5-207 ; or
             2653          (ii) an offense involving the illegal:
             2654          (A) sale of an alcoholic product;
             2655          (B) consumption of an alcoholic product;
             2656          (C) distribution of an alcoholic product;
             2657          (D) transportation of an alcoholic product; or
             2658          (E) possession of an alcoholic product.
             2659          (c) "Annual conviction time period" means the time period that:
             2660          (i) begins on July 1 and ends on June 30; and
             2661          (ii) immediately precedes the fiscal year for which an appropriation under this part is


             2662      made.
             2663          (d) "Coordinating council" means the Utah Substance Abuse and Anti-Violence
             2664      Coordinating Council created in Section 63M-7-301 .
             2665          (e) "Municipality" means:
             2666          (i) a city; or
             2667          (ii) a town.
             2668          (2) For purposes of this part, the number of state stores, package agencies, and retail
             2669      licensees located within the limits of a municipality or county:
             2670          (a) is the number determined by the department to be so located;
             2671          (b) includes the aggregate number of premises of the following:
             2672          (i) a state store;
             2673          (ii) a package agency; and
             2674          (iii) a retail licensee, except for an on-premise beer retailer; and
             2675          (c) for a county, consists only of the number located within an unincorporated area of
             2676      the county.
             2677          (3) The department shall determine:
             2678          (a) a population figure according to the most current population estimate prepared by
             2679      the Utah Population Estimates Committee;
             2680          (b) a county's population for the 25% distribution to municipalities and counties under
             2681      Subsection 32B-2-404 (1)(b)(i) only with reference to the population in the unincorporated
             2682      areas of the county; and
             2683          (c) a county's population for the 25% distribution to counties under Subsection
             2684      32B-2-404 (1)(b)(iv) only with reference to the total population in the county, including that of
             2685      a municipality.
             2686          (4) (a) A conviction occurs in the municipality or county that actually prosecutes the
             2687      offense to judgment.
             2688          (b) If a conviction is based upon a guilty plea, the conviction is considered to occur in
             2689      the municipality or county that, except for the guilty plea, would have prosecuted the offense.


             2690          Section 59. Section 32B-2-403 is enacted to read:
             2691          32B-2-403. Alcoholic Beverage Enforcement and Treatment Restricted Account
             2692      created.
             2693          (1) (a) There is created in the General Fund a restricted account known as the
             2694      "Alcoholic Beverage Enforcement and Treatment Restricted Account."
             2695          (b) The account is funded from:
             2696          (i) money deposited by the state treasurer in accordance with Section 59-15-109 ;
             2697          (ii) appropriations made to the account by the Legislature; and
             2698          (iii) interest described in Subsection (1)(c).
             2699          (c) Interest earned on the account shall be deposited into the account.
             2700          (2) (a) Consistent with the policies provided in Subsection 32B-1-103 (4)(b), money in
             2701      the account shall be used for statewide public purposes, including promoting the reduction of
             2702      the harmful effects of over consumption of alcoholic products by an adult and alcohol
             2703      consumption by minors, by exclusively funding programs or projects related to prevention,
             2704      treatment, detection, prosecution, and control of violations of this title and other offenses in
             2705      which alcohol is a contributing factor except as provided in Subsection (2)(b).
             2706          (b) The portion distributed under this part to a county may also be used for the
             2707      confinement or treatment of persons arrested for or convicted of offenses in which alcohol is a
             2708      contributing factor.
             2709          (c) A municipality or county entitled to receive money shall use the money exclusively
             2710      as required by this Subsection (2).
             2711          (3) The appropriations provided for under Section 32B-2-404 are:
             2712          (a) intended to supplement the budget of the appropriate agencies of each municipality
             2713      and county within the state to enable the municipalities and counties to more effectively fund
             2714      the programs and projects described in Subsection (2); and
             2715          (b) not intended to replace money that would otherwise be allocated for the programs
             2716      and projects in Subsection (2).
             2717          Section 60. Section 32B-2-404 is enacted to read:


             2718          32B-2-404. Alcoholic Beverage Enforcement and Treatment Restricted Account
             2719      distribution.
             2720          (1) (a) The money deposited into the account under Section 32B-2-403 shall be
             2721      distributed to municipalities and counties:
             2722          (i) to the extent appropriated by the Legislature, except that the Legislature shall
             2723      appropriate each fiscal year an amount equal to at least the amount deposited in the account in
             2724      accordance with Section 59-15-109 ; and
             2725          (ii) as provided in this Subsection (1).
             2726          (b) The amount appropriated from the account shall be distributed as follows:
             2727          (i) 25% to municipalities and counties on the basis of the percentage of the state
             2728      population residing in each municipality and county;
             2729          (ii) 30% to municipalities and counties on the basis of each municipality's and
             2730      county's percentage of the statewide convictions for all alcohol-related offenses;
             2731          (iii) 20% to municipalities and counties on the basis of the percentage of the state
             2732      stores, package agencies, liquor licensees, and beer licensees in the state that are located in
             2733      each municipality and county; and
             2734          (iv) 25% to the counties for confinement and treatment purposes authorized by this
             2735      part on the basis of the percentage of the state population located in each county.
             2736          (c) (i) Except as provided in Subsection (1)(c)(ii), if a municipality does not have a
             2737      law enforcement agency:
             2738          (A) the municipality may not receive money under this part; and
             2739          (B) the State Tax Commission:
             2740          (I) may not distribute the money the municipality would receive but for the
             2741      municipality not having a law enforcement agency to that municipality; and
             2742          (II) shall distribute the money that the municipality would have received but for it not
             2743      having a law enforcement agency to the county in which the municipality is located for use by
             2744      the county in accordance with this part.
             2745          (ii) If the coordinating council finds that a municipality described in Subsection


             2746      (1)(c)(i) demonstrates that the municipality can use the money that the municipality is
             2747      otherwise eligible to receive in accordance with this part, the coordinating council may direct
             2748      the State Tax Commission to distribute the money to the municipality.
             2749          (2) To determine the distribution required by Subsection (1)(b)(ii), the State Tax
             2750      Commission shall annually:
             2751          (a) for an annual conviction time period:
             2752          (i) multiply by two the total number of convictions in the state obtained during the
             2753      annual conviction time period for violation of:
             2754          (A) Section 41-6a-502 ; or
             2755          (B) an ordinance that complies with the requirements of Subsection 41-6a-510 (1) or
             2756      Section 76-5-207 ; and
             2757          (ii) add to the number calculated under Subsection (2)(a)(i) the number of convictions
             2758      obtained during the annual conviction time period for the alcohol-related offenses other than
             2759      the alcohol-related offenses described in Subsection (2)(a)(i);
             2760          (b) divide an amount equal to 30% of the appropriation for that fiscal year by the sum
             2761      obtained in Subsection (2)(a); and
             2762          (c) multiply the amount calculated under Subsection (2)(b), by the number of
             2763      convictions obtained in each municipality and county during the annual conviction time
             2764      period for alcohol-related offenses.
             2765          (3) By not later than September 1 each year:
             2766          (a) the state court administrator shall certify to the State Tax Commission the number
             2767      of convictions obtained for alcohol-related offenses in each municipality or county in the state
             2768      during the annual conviction time period; and
             2769          (b) the coordinating council shall notify the State Tax Commission of any
             2770      municipality that does not have a law enforcement agency.
             2771          (4) By not later than December 1 of each year, the coordinating council shall notify
             2772      the State Tax Commission for the fiscal year of appropriation of:
             2773          (a) a municipality that may receive a distribution under Subsection (1)(c)(ii);


             2774          (b) a county that may receive a distribution allocated to a municipality described in
             2775      Subsection (1)(c)(i);
             2776          (c) a municipality or county that may not receive a distribution because the
             2777      coordinating council has suspended the payment under Subsection 32B-2-405 (2)(a); and
             2778          (d) a municipality or county that receives a distribution because the suspension of
             2779      payment has been cancelled under Subsection 32B-2-405 (2).
             2780          (5) (a) By not later than January 1 of the fiscal year of appropriation, the State Tax
             2781      Commission shall annually distribute to each municipality and county the portion of the
             2782      appropriation that the municipality or county is eligible to receive under this part, except for
             2783      any municipality or county that the coordinating council notifies the State Tax Commission in
             2784      accordance with Subsection (4) may not receive a distribution in that fiscal year.
             2785          (b) (i) The State Tax Commission shall prepare forms for use by a municipality or
             2786      county in applying for a distribution under this part.
             2787          (ii) A form described in this Subsection (5) may require the submission of information
             2788      the State Tax Commission considers necessary to enable the State Tax Commission to comply
             2789      with this part.
             2790          Section 61. Section 32B-2-405 is enacted to read:
             2791          32B-2-405. Reporting by municipalities and counties -- Grants.
             2792          (1) A municipality or county that receives money under this part during a fiscal year
             2793      shall by no later than October 1 following the fiscal year:
             2794          (a) report to the coordinating council:
             2795          (i) the programs or projects of the municipality or county that receive money under
             2796      this part;
             2797          (ii) if the money for programs or projects were exclusively used as required by
             2798      Subsection 32B-2-403 (2);
             2799          (iii) indicators of whether the programs or projects that receive money under this part
             2800      are effective; and
             2801          (iv) if money received under this part was not expended by the municipality or county;


             2802      and
             2803          (b) provide the coordinating council a statement signed by the chief executive officer
             2804      of the county or municipality attesting that the money received under this part was used in
             2805      addition to money appropriated or otherwise available for the county's or municipality's law
             2806      enforcement and was not used to supplant that money.
             2807          (2) The coordinating council may, by a majority vote:
             2808          (a) suspend future payments under Subsection 32B-2-404 (4) to a municipality or
             2809      county that:
             2810          (i) does not file a report that meets the requirements of Subsection (1); or
             2811          (ii) the coordinating council finds does not use the money as required by Subsection
             2812      32B-2-403 (2) on the basis of the report filed by the municipality or county under Subsection
             2813      (1); and
             2814          (b) cancel a suspension under Subsection (2)(a).
             2815          (3) The State Tax Commission shall:
             2816          (a) retain money that a municipality or county does not receive under Subsection
             2817      (2)(a); and
             2818          (b) notify the coordinating council of the balance of retained money under this
             2819      Subsection (3) after the annual distribution under Subsection 32B-2-404 (5).
             2820          (4) (a) Subject to the requirements of this Subsection (4), the coordinating council
             2821      shall award the balance of retained money under Subsection (3):
             2822          (i) as prioritized by majority vote of the coordinating council; and
             2823          (ii) as grants to:
             2824          (A) a county;
             2825          (B) a municipality;
             2826          (C) the department;
             2827          (D) the Department of Human Services;
             2828          (E) the Department of Public Safety; or
             2829          (F) the Utah State Office of Education.


             2830          (b) By not later than May 30 of the fiscal year of the appropriation, the coordinating
             2831      council shall notify the State Tax Commission of grants awarded under this Subsection (4).
             2832          (c) The State Tax Commission shall make payments of a grant:
             2833          (i) upon receiving notice as provided under Subsection (4)(b); and
             2834          (ii) by not later than June 30 of the fiscal year of the appropriation.
             2835          (d) An entity that receives a grant under this Subsection (4) shall use the grant money
             2836      exclusively for programs or projects described in Subsection 32B-2-403 (2).
             2837          Section 62. Section 32B-2-501 is enacted to read:
             2838     
Part 5. State Store

             2839          32B-2-501. Commission's power to establish a state store.
             2840          (1) The commission may establish state stores in the numbers and at places, owned or
             2841      leased by the department, that the commission considers proper for the sale of liquor by
             2842      employees of the state, in accordance with this title and the rules made under this title.
             2843          (2) The commission may not establish a total number of state stores that at any time
             2844      exceeds the number determined by dividing the population of the state by 48,000.
             2845          (3) The commission may not establish a state store at premises that do not meet the
             2846      proximity requirements of Section 32B-1-202 .
             2847          (4) An employee of a state store is considered a department employee and shall meet
             2848      the qualification requirements for employment in Sections 32B-1-303 and 32B-2-207 .
             2849          Section 63. Section 32B-2-502 is enacted to read:
             2850          32B-2-502. Commission and department duties before establishing a state store.
             2851          (1) (a) Before the commission may establish a state store, the department shall conduct
             2852      an investigation and may hold public hearings to gather information and make
             2853      recommendations to the commission to assure appropriate service to the general population of
             2854      the state.
             2855          (b) The department shall forward the information and recommendations described in
             2856      Subsection (1)(a) to the commission to aid in the commission's determination.
             2857          (2) Before establishing a state store, the commission shall:


             2858          (a) determine that the local authority of the locality where the state store will be
             2859      located is consulted;
             2860          (b) determine that the state store complies with the zoning ordinances of the locality
             2861      where the state store will be located;
             2862          (c) consider the locality within which the proposed state store will be located
             2863      including:
             2864          (i) economic factors, such as:
             2865          (A) bid price;
             2866          (B) lease terms;
             2867          (C) operating costs; and
             2868          (D) local taxes;
             2869          (ii) physical characteristics, such as:
             2870          (A) condition of the premises;
             2871          (B) space availability;
             2872          (C) parking;
             2873          (D) common areas;
             2874          (E) conformance to building and safety codes;
             2875          (F) delivery access; and
             2876          (G) expandability; and
             2877          (iii) operational factors, such as:
             2878          (A) tourist traffic;
             2879          (B) access to the public;
             2880          (C) demographics;
             2881          (D) population to be served;
             2882          (E) the nature of surrounding establishments;
             2883          (F) proximity to and density of other state stores, package agencies, and retail
             2884      licensees;
             2885          (G) proximity to residential communities; and


             2886          (H) proximity to educational, religious, and recreational facilities; and
             2887          (d) consider any other factor the commission considers necessary.
             2888          Section 64. Section 32B-2-503 is enacted to read:
             2889          32B-2-503. Operational requirements for a state store.
             2890          (1) A state store shall display in a prominent place in the store a sign in large letters
             2891      stating: "Warning: Driving under the influence of alcohol or drugs is a serious crime that is
             2892      prosecuted aggressively in Utah."
             2893          (2) A state store may not sell, offer for sale, or furnish liquor except at a price fixed by
             2894      the commission.
             2895          (3) A state store may not sell, offer for sale, or furnish liquor to:
             2896          (a) a minor;
             2897          (b) a person actually, apparently, or obviously intoxicated;
             2898          (c) a known interdicted person; or
             2899          (d) a known habitual drunkard.
             2900          (4) (a) A state store employee may not:
             2901          (i) consume an alcoholic product on the premises of a state store; or
             2902          (ii) allow any person to consume an alcoholic product on the premises of a state store.
             2903          (b) A violation of this Subsection (4) is a class B misdemeanor.
             2904          (5) (a) Sale or delivery of liquor may not be made on or from the premises of a state
             2905      store, and a state store may not be kept open for the sale of liquor:
             2906          (i) on Sunday; or
             2907          (ii) on a state or federal legal holiday.
             2908          (b) Sale or delivery of liquor may be made on or from the premises of a state store, and
             2909      a state store may be open for the sale of liquor, only on a day and during hours that the
             2910      commission directs by rule or order.
             2911          (6) (a) A minor may not be admitted into, or be on the premises of a state store unless
             2912      accompanied by a person who is:
             2913          (i) 21 years of age or older; and


             2914          (ii) the minor's parent, legal guardian, or spouse.
             2915          (b) A state store employee that has reason to believe that a person who is on the
             2916      premises of a state store is under the age of 21 and is not accompanied by a person described
             2917      in Subsection (6)(a) may:
             2918          (i) ask the suspected minor for proof of age;
             2919          (ii) ask the person who accompanies the suspected minor for proof of age; and
             2920          (iii) ask the suspected minor or the person who accompanies the suspected minor for
             2921      proof of parental, guardianship, or spousal relationship.
             2922          (c) A state store employee shall refuse to sell liquor to the suspected minor and to the
             2923      person who accompanies the suspected minor into the state store if the suspected minor or
             2924      person fails to provide information specified in Subsection (6)(b).
             2925          (d) A state store employee shall require a suspected minor and the person who
             2926      accompanies the suspected minor into the state store to immediately leave the premises of the
             2927      state store if the suspected minor or person fails to provide information specified in Subsection
             2928      (6)(b).
             2929          (7) (a) A state store may not sell, offer for sale, or furnish liquor except in a sealed
             2930      package.
             2931          (b) A person may not open a sealed package on the premises of a state store.
             2932          Section 65. Section 32B-2-504 is enacted to read:
             2933          32B-2-504. Delivery of liquor to state store.
             2934          (1) Liquor to be sold from a state store may be transported from a warehouse
             2935      authorized by the department to the state store if transported by a person authorized by the
             2936      department to transport the liquor to the state store, including a common carrier.
             2937          (2) A person, while in or about a vehicle in which liquor is being transported, may not
             2938      open, break, or allow to be opened or broken, a package containing liquor.
             2939          (3) A person may not drink, use, or allow to be drunk or used, liquor while it is in
             2940      transit under this section.
             2941          Section 66. Section 32B-2-601 is enacted to read:


             2942     
Part 6. Package Agency

             2943          32B-2-601. Commission's power to issue package agency.
             2944          (1) (a) The commission may, when the commission considers proper, issue authority
             2945      to operate as a package agency by directing the department to enter into a package agency
             2946      agreement with a person to sell, offer for sale, or furnish liquor in sealed packages from
             2947      premises other than those owned or leased by the state.
             2948          (b) The commission shall authorize a person to operate a package agency by issuing a
             2949      record that designates the person in charge of the package agency as a "package agent."
             2950          (2) (a) Subject to this Subsection (2), the commission may not issue a total number of
             2951      package agencies that at any time exceeds the number determined by dividing the population
             2952      of the state by 18,000.
             2953          (b) (i) The commission may issue a seasonal package agency in an area the
             2954      commission considers proper.
             2955          (ii) A seasonal package agency shall be for a period of six consecutive months.
             2956          (iii) A seasonal package agency issued for operation during a summer time period is
             2957      known as a "Seasonal A" package agency. The period of operation for a Seasonal A package
             2958      agency shall:
             2959          (A) begin on May 1; and
             2960          (B) end on October 31.
             2961          (iv) A seasonal package agency issued for operation during a winter time period is
             2962      known as a "Seasonal B" package agency. The period of operation for a Seasonal B package
             2963      agency shall:
             2964          (A) begin on November 1; and
             2965          (B) end on April 30.
             2966          (v) In determining the number of package agencies that the commission may issue
             2967      under this section:
             2968          (A) a seasonal package agency is counted as one-half of one package agency; and
             2969          (B) each Seasonal A package agency shall be paired with a Seasonal B package


             2970      agency.
             2971          (c) (i) If the location, design, and construction of a hotel may require more than one
             2972      package agency sales location to serve the public convenience, the commission may authorize
             2973      a single package agent to sell liquor at as many as three locations within the hotel under one
             2974      package agency if:
             2975          (A) the hotel has a minimum of 150 guest rooms; and
             2976          (B) all locations under the package agency are:
             2977          (I) within the same hotel; and
             2978          (II) on premises that are managed or operated, and owned or leased, by the package
             2979      agent.
             2980          (ii) A facility other than a hotel shall have a separate package agency for each location
             2981      where liquor may be sold, offered for sale, or furnished.
             2982          (3) (a) A package agent, under the direction of the department, is responsible for
             2983      implementing and enforcing this title and the rules adopted under this title to the extent this
             2984      title and the rules relate to the conduct of the package agency and a package agency's sale of
             2985      liquor.
             2986          (b) A package agent may not be a state employee. A package agent may not be
             2987      construed to be a state employee or otherwise entitled to any benefit of employment from the
             2988      state.
             2989          (c) A package agent, when selling liquor from a package agency, is considered an
             2990      agent of the state only to the extent specifically expressed in the package agency agreement.
             2991          (4) The commission may prescribe by rule one or more types of package agencies
             2992      issued under this part that are consistent with this title.
             2993          Section 67. Section 32B-2-602 is enacted to read:
             2994          32B-2-602. Application requirements for a package agency.
             2995          (1) Before a person may store, sell, offer for sale, or furnish liquor in a sealed package
             2996      on its premises under a package agency, the person shall first obtain a package agency issued
             2997      by the commission in accordance with this part.


             2998          (2) To obtain a package agency, a person seeking to be the package agent under this
             2999      part shall submit to the department:
             3000          (a) a written application in a form prescribed by the department;
             3001          (b) a nonrefundable application fee of $100;
             3002          (c) written consent of the local authority;
             3003          (d) evidence of proximity to any community location, with proximity requirements
             3004      being governed by Section 32B-1-202 ;
             3005          (e) a bond as specified by Section 32B-2-604 ;
             3006          (f) a floor plan of the premises, including a description and highlighting of that part of
             3007      the premises in which the person proposes that the package agency be located;
             3008          (g) evidence that the package agency is carrying public liability insurance in an
             3009      amount and form satisfactory to the department;
             3010          (h) a signed consent form stating that the package agent permits any authorized
             3011      representative of the commission, department, or any law enforcement officer to have
             3012      unrestricted right to enter the premises of the package agency;
             3013          (i) if the person applying is an entity, verification that a person who signs the package
             3014      agency application is authorized to sign on behalf of the entity; and
             3015          (j) any other information the commission or department may require.
             3016          (3) The commission may not issue a package agency to a person who is disqualified
             3017      under Section 32B-1-304 .
             3018          (4) The commission may not issue a package agency for premises that do not meet the
             3019      proximity requirements of Section 32B-1-202 .
             3020          Section 68. Section 32B-2-603 is enacted to read:
             3021          32B-2-603. Commission and department duties before issuing a package agency.
             3022          (1) (a) Before the commission may issue a package agency, the department shall
             3023      conduct an investigation and may hold public hearings to gather information and make
             3024      recommendations to the commission to assure appropriate service to the general population of
             3025      the state.


             3026          (b) The department shall forward the information and recommendations described in
             3027      Subsection (1)(a) to the commission to aid in the commission's determination.
             3028          (2) Before issuing a package agency, the commission shall:
             3029          (a) determine that the person filed a complete application and is in compliance with
             3030      Section 32B-2-602 ;
             3031          (b) determine that the person is not disqualified under Section 32B-1-304 ;
             3032          (c) determine that the package agency premises complies with the zoning ordinances
             3033      of the locality where the package agency will be located;
             3034          (d) consider the locality within which the proposed package agency will be located,
             3035      including:
             3036          (i) physical characteristics, such as:
             3037          (A) condition of the premises;
             3038          (B) square footage;
             3039          (C) parking; and
             3040          (D) delivery access; and
             3041          (ii) operational factors, such as:
             3042          (A) tourist traffic;
             3043          (B) access to the public;
             3044          (C) demographics;
             3045          (D) population to be served;
             3046          (E) the nature of surrounding establishments;
             3047          (F) proximity to and density of other state stores, package agencies, and retail
             3048      licensees;
             3049          (G) proximity to residential communities; and
             3050          (H) the extent of and proximity to educational, religious, and recreational facilities;
             3051          (e) consider the person's ability to manage and operate a package agency, including:
             3052          (i) management experience;
             3053          (ii) past retail liquor experience;


             3054          (iii) the type of establishment or business in which the package agency may be
             3055      located;
             3056          (iv) hours of operation; and
             3057          (v) ability to maintain inventory levels as set by the department; and
             3058          (f) consider any other factor the commission considers necessary.
             3059          Section 69. Section 32B-2-604 is enacted to read:
             3060          32B-2-604. Bond related to package agency.
             3061          (1) (a) A package agent who has a consignment liquor inventory owned by the state
             3062      shall post a consignment surety bond payable to the department in the amount of the
             3063      consignment inventory.
             3064          (b) A consignment surety bond shall be conditioned upon a package agent's return of
             3065      the unsold consignment liquor inventory at the termination of a package agency agreement.
             3066          (2) (a) A package agent that owns the package agency's liquor inventory shall post a
             3067      cash bond or surety bond:
             3068          (i) in the penal amount fixed by the department, except that the penal amount shall be
             3069      at least $1,000; and
             3070          (ii) payable to the department.
             3071          (3) A package agent shall procure and maintain the bond required under this section
             3072      for as long as the package agent continues to operate as a package agent.
             3073          (4) A bond required under this section shall be:
             3074          (a) in a form approved by the attorney general; and
             3075          (b) conditioned upon the package agent's faithful compliance with this title, the rules
             3076      of the commission, and the package agency agreement.
             3077          Section 70. Section 32B-2-605 is enacted to read:
             3078          32B-2-605. Operational requirements for package agency.
             3079          (1) (a) A person may not operate a package agency until a package agency agreement
             3080      is entered into by the package agent and the department.
             3081          (b) A package agency agreement shall state the conditions of operation by which the


             3082      package agent and the department are bound.
             3083          (c) (i) If a package agent or staff of the package agent violates this title, rules under
             3084      this title, or the package agency agreement, the department may take any action against the
             3085      package agent that is allowed by the package agency agreement.
             3086          (ii) An action against a package agent is governed solely by its package agency
             3087      agreement and may include suspension or revocation of the package agency.
             3088          (iii) Notwithstanding that this part refers to "package agency" or "package agent,"
             3089      staff of the package agency or package agent is subject to the same requirement or prohibition.
             3090          (2) (a) A package agency shall be operated by an individual who is either:
             3091          (i) the package agent; or
             3092          (ii) an individual designated by the package agent.
             3093          (b) An individual who is a designee under this Subsection (2) shall be:
             3094          (i) an employee of the package agent; and
             3095          (ii) responsible for the operation of the package agency.
             3096          (c) The conduct of the designee is attributable to the package agent.
             3097          (d) A package agent shall submit the name of the person operating the package agency
             3098      to the department for the department's approval.
             3099          (e) A package agent shall state the name and title of a designee on the application for a
             3100      package agency.
             3101          (f) A package agent shall:
             3102          (i) inform the department of a proposed change in the individual designated to operate
             3103      a package agency; and
             3104          (ii) receive prior approval from the department before implementing the change
             3105      described in this Subsection (2)(f).
             3106          (g) Failure to comply with the requirements of this Subsection (2) may result in the
             3107      immediate termination of a package agency agreement.
             3108          (3) A package agent shall display in a prominent place in the package agency:
             3109          (a) the record issued by the commission that designates the package agency; and


             3110          (b) a sign in large letters stating: "Warning: Driving under the influence of alcohol or
             3111      drugs is a serious crime that is prosecuted aggressively in Utah."
             3112          (4) A package agency may not display liquor or a price list in a window or showcase
             3113      that is visible to passersby.
             3114          (5) (a) A package agency may not purchase liquor from a person except from the
             3115      department.
             3116          (b) At the discretion of the department, liquor may be provided by the department to a
             3117      package agency for sale on consignment.
             3118          (6) A package agency may not store, sell, offer for sale, or furnish liquor in a place
             3119      other than as designated in the package agent's application, unless the package agent first
             3120      applies for and receives approval from the department for a change of location within the
             3121      package agency premises.
             3122          (7) A package agency may not sell, offer for sale, or furnish liquor except at a price
             3123      fixed by the commission.
             3124          (8) A package agency may not sell, offer for sale, or furnish liquor to:
             3125          (a) a minor;
             3126          (b) a person actually, apparently, or obviously intoxicated;
             3127          (c) a known interdicted person;
             3128          (d) a known habitual drunkard.
             3129          (9) (a) A package agency may not employ a minor to handle liquor.
             3130          (b) (i) Staff of a package agency may not:
             3131          (A) consume an alcoholic product on the premises of a package agency; or
             3132          (B) allow any person to consume an alcoholic product on the premises of a package
             3133      agency.
             3134          (ii) Violation of this Subsection (9)(b) is a class B misdemeanor.
             3135          (10) (a) A package agency may not close or cease operation for a period longer than
             3136      72 hours, unless:
             3137          (i) the package agency notifies the department in writing at least seven days before the


             3138      closing; and
             3139          (ii) the closure or cessation of operation is first approved by the department.
             3140          (b) Notwithstanding Subsection (10)(a), in the case of emergency closure, a package
             3141      agency shall immediately notify the department by telephone.
             3142          (c) (i) The department may authorize a closure or cessation of operation for a period
             3143      not to exceed 60 days.
             3144          (ii) The department may extend the initial period an additional 30 days upon written
             3145      request of the package agency and upon a showing of good cause.
             3146          (iii) A closure or cessation of operation may not exceed a total of 90 days without
             3147      commission approval.
             3148          (d) The notice required by Subsection (10)(a) shall include:
             3149          (i) the dates of closure or cessation of operation;
             3150          (ii) the reason for the closure or cessation of operation; and
             3151          (iii) the date on which the package agency will reopen or resume operation.
             3152          (e) Failure of a package agency to provide notice and to obtain department
             3153      authorization before closure or cessation of operation results in an automatic termination of
             3154      the package agency agreement effective immediately.
             3155          (f) Failure of a package agency to reopen or resume operation by the approved date
             3156      results in an automatic termination of the package agency agreement effective on that date.
             3157          (11) A package agency may not transfer its operations from one location to another
             3158      location without prior written approval of the commission.
             3159          (12) (a) A person, having been issued a package agency, may not sell, transfer, assign,
             3160      exchange, barter, give, or attempt in any way to dispose of the package agency to another
             3161      person, whether for monetary gain or not.
             3162          (b) A package agency has no monetary value for any type of disposition.
             3163          (13) (a) Subject to the other provisions of this Subsection (13):
             3164          (i) sale or delivery of liquor may not be made on or from the premises of a package
             3165      agency, and a package agency may not be kept open for the sale of liquor:


             3166          (A) on Sunday; or
             3167          (B) on a state or federal legal holiday.
             3168          (ii) Sale or delivery of liquor may be made on or from the premises of a package
             3169      agency, and a package agency may be open for the sale of liquor, only on a day and during
             3170      hours that the commission directs by rule or order.
             3171          (b) Subsection (13)(a) governs unless:
             3172          (i) the package agency is located at a winery licensed in accordance with Chapter 11,
             3173      Manufacturing and Related Licenses Act;
             3174          (ii) the winery licensed in accordance with Chapter 11, Manufacturing and Related
             3175      Licenses Act, holds:
             3176          (A) a full-service restaurant license; or
             3177          (B) a limited-service restaurant license;
             3178          (iii) the restaurant is located at the winery;
             3179          (iv) the restaurant sells wines produced at the winery;
             3180          (v) the winery:
             3181          (A) owns the restaurant; or
             3182          (B) operates the restaurant;
             3183          (vi) the package agency only sells wine produced at the winery; and
             3184          (vii) the package agency's days and hours of sale are the same as the days and hours of
             3185      sale at the restaurant.
             3186          (c) (i) Subsection (13)(a) does not apply to a package agency held by a resort licensee
             3187      if the package agent that holds the package agency to sell liquor at the resort does not sell
             3188      liquor in a manner similar to a state store.
             3189          (ii) The commission may by rule define what constitutes a package agency that sells
             3190      liquor "in a manner similar to a state store."
             3191          (14) (a) Except to the extent authorized by commission rule, a minor may not be
             3192      admitted into, or be on the premises of a package agency unless accompanied by a person who
             3193      is:


             3194          (i) 21 years of age or older; and
             3195          (ii) the minor's parent, legal guardian, or spouse.
             3196          (b) A package agent or staff of a package agency that has reason to believe that a
             3197      person who is on the premises of a package agency is under the age of 21 and is not
             3198      accompanied by a person described in Subsection (14)(a) may:
             3199          (i) ask the suspected minor for proof of age;
             3200          (ii) ask the person who accompanies the suspected minor for proof of age; and
             3201          (iii) ask the suspected minor or the person who accompanies the suspected minor for
             3202      proof of parental, guardianship, or spousal relationship.
             3203          (c) A package agent or staff of a package agency shall refuse to sell liquor to the
             3204      suspected minor and to the person who accompanies the suspected minor into the package
             3205      agency if the minor or person fails to provide any information specified in Subsection (14)(b).
             3206          (d) A package agent or staff of a package agency shall require the suspected minor and
             3207      the person who accompanies the suspected minor into the package agency to immediately
             3208      leave the premises of the package agency if the minor or person fails to provide information
             3209      specified in Subsection (14)(b).
             3210          (15) (a) A package agency may not sell, offer for sale, or furnish liquor except in a
             3211      sealed package.
             3212          (b) A person may not open a sealed package on the premises of a package agency.
             3213          (16) The department may pay or otherwise remunerate a package agent on any basis,
             3214      including sales or volume of business done by the package agency.
             3215          (17) The commission may prescribe by policy or rule general operational requirements
             3216      of a package agency that are consistent with this title and relate to:
             3217          (a) physical facilities;
             3218          (b) conditions of operation;
             3219          (c) hours of operation;
             3220          (d) inventory levels;
             3221          (e) payment schedules;


             3222          (f) methods of payment;
             3223          (g) premises security; and
             3224          (h) any other matter considered appropriate by the commission.
             3225          Section 71. Section 32B-2-606 is enacted to read:
             3226          32B-2-606. Delivery of liquor to package agency.
             3227          (1) Liquor to be sold from a package agency may be transported from a warehouse or
             3228      state store authorized by the department to the package agency if transported by a person
             3229      authorized by the department to transport the liquor to the package agency, including a
             3230      common carrier.
             3231          (2) A person, while in or about a vehicle in which liquor is being transported, may not
             3232      open, break, or allow to be opened or broken, a package containing liquor.
             3233          (3) A person may not drink, use, or allow to be drunk or used, any liquor while the
             3234      liquor is in transit under this section.
             3235          Section 72. Section 32B-2-607 is enacted to read:
             3236          32B-2-607. Return of inventory by package agent.
             3237          A package agent shall immediately return to the department liquor previously received
             3238      from the department on consignment that remains unsold at the time the package agent's
             3239      package agency agreement terminates or the liquor is subject to immediate seizure by the
             3240      department.
             3241          Section 73. Section 32B-3-101 is enacted to read:
             3242     
CHAPTER 3. DISCIPLINARY ACTIONS AND ENFORCEMENT ACT

             3243     
Part 1. General Provisions

             3244          32B-3-101. Title.
             3245          This chapter is known as the "Disciplinary Actions and Enforcement Act."
             3246          Section 74. Section 32B-3-102 is enacted to read:
             3247          32B-3-102. Definitions.
             3248          As used in this chapter, "final adjudication" means an adjudication for which a final
             3249      judgment or order is issued that:


             3250          (1) is not appealed, and the time to appeal the judgment has expired; or
             3251          (2) is appealed, and is affirmed, in whole or in part, on appeal.
             3252          Section 75. Section 32B-3-201 is enacted to read:
             3253     
Part 2. Disciplinary Proceedings

             3254          32B-3-201. Nature of adjudicative proceedings under title.
             3255          (1) An adjudicative proceeding under this title, including a disciplinary proceeding, is
             3256      a civil action, notwithstanding whether at issue in the adjudicative proceeding is a violation of
             3257      statute that can be prosecuted criminally.
             3258          (2) Unless specifically adopted in this title, a procedure or principal that is applicable
             3259      to a criminal proceeding does not apply to an adjudicative proceeding permitted under this
             3260      title including:
             3261          (a) Title 76, Chapter 1, General Provisions;
             3262          (b) Title 76, Chapter 2, Principles of Criminal Responsibility;
             3263          (c) Title 76, Chapter 3, Punishments; and
             3264          (d) Title 76, Chapter 4, Inchoate Offenses.
             3265          (3) (a) The burden of proof in an adjudicative proceeding under this title is by a
             3266      preponderance of the evidence.
             3267          (b) If the subject of an adjudicative proceeding under this title asserts an affirmative
             3268      defense, the subject has the burden of proof to establish the affirmative defense by the
             3269      preponderance of the evidence.
             3270          (4) In an adjudicative proceeding under this title, to find a violation of this title the
             3271      commission:
             3272          (a) is required to determine whether the conduct that constitutes the violation
             3273      occurred; and
             3274          (b) is not required to make a finding of knowledge or intent unless knowledge or intent
             3275      is expressly made an element of the violation by statute.
             3276          Section 76. Section 32B-3-202 is enacted to read:
             3277          32B-3-202. Timing of reporting violations.


             3278          Except when the person subject to administrative action is staff:
             3279          (1) A disciplinary proceeding may not be initiated or maintained by the commission or
             3280      department on the basis, in whole or in part, of a violation of this title unless a person subject
             3281      to administrative action against whom the violation is alleged is notified by the department of
             3282      the violation in accordance with this section.
             3283          (2) (a) A nondepartment enforcement agency or nondepartment enforcement officer
             3284      may not report a violation of this title to the department more than eight business days after
             3285      the day on which a nondepartment enforcement officer or agency completes an investigation
             3286      that finds a violation of this title.
             3287          (b) If the commission or department wants the right to initiate or maintain a
             3288      disciplinary proceeding on the basis, in whole or in part, of a violation of this title alleged in a
             3289      report described in Subsection (2)(a), the department shall notify a person subject to
             3290      administrative action who is alleged by the report to have violated this title:
             3291          (i) by no later than eight business days of the day on which the department receives
             3292      the report described in Subsection (2)(a); and
             3293          (ii) that the commission or department may initiate or maintain a disciplinary
             3294      proceeding on the basis, in whole or in part, of the violation.
             3295          (3) If the commission or department wants the right to initiate or maintain a
             3296      disciplinary proceeding on the basis, in whole or in part, of a violation of this title alleged by a
             3297      report of a department compliance officer, the department shall notify a person subject to
             3298      administrative action who is alleged by the report to have violated this title:
             3299          (a) by no later than eight business days of the day on which the department
             3300      compliance officer completes an investigation that finds a violation of this title; and
             3301          (b) that the commission or department may initiate or maintain a disciplinary
             3302      proceeding on the basis, in whole or in part, of the violation.
             3303          (4) (a) A notice required by this section may be done orally, if after the oral
             3304      notification the department provides written notification.
             3305          (b) The written notification described in Subsection (4)(a) may be sent outside the


             3306      time periods required by this section.
             3307          (5) The department shall maintain a record of a notification required by this section
             3308      that includes:
             3309          (a) the name of the person notified; and
             3310          (b) the date of the notification.
             3311          Section 77. Section 32B-3-203 is enacted to read:
             3312          32B-3-203. Initiating a disciplinary proceeding.
             3313          Subject to Section 32B-3-202 :
             3314          (1) The department may initiate a disciplinary proceeding described in Subsection (2)
             3315      if the department receives:
             3316          (a) a report from an investigator alleging that a person subject to administrative action
             3317      violated this title or the rules of the commission;
             3318          (b) a final adjudication of criminal liability against a person subject to administrative
             3319      action on the basis of an alleged violation of this title; or
             3320          (c) a final adjudication of civil liability in accordance with Chapter 15, Alcoholic
             3321      Beverage Liability Act, against a person subject to administrative action on the basis of an
             3322      alleged violation of this title.
             3323          (2) If the condition of Subsection (1) is met, the department may initiate a disciplinary
             3324      proceeding to determine:
             3325          (a) whether a person subject to administrative action violated this title or rules of the
             3326      commission; and
             3327          (b) if a violation is found, the appropriate sanction to be imposed.
             3328          (3) (a) Unless waived by the respondent, a disciplinary proceeding shall be held:
             3329          (i) if required by law;
             3330          (ii) before revoking or suspending a license, permit, or certificate of approval issued
             3331      under this title; or
             3332          (iii) before imposing a fine against a person subject to administrative action.
             3333          (b) Inexcusable failure of a respondent to appear at a scheduled disciplinary


             3334      proceeding hearing after receiving proper notice is an admission of the charged violation.
             3335          (c) The validity of a disciplinary proceeding is not affected by the failure of a person
             3336      to attend or remain in attendance.
             3337          Section 78. Section 32B-3-204 is enacted to read:
             3338          32B-3-204. Disciplinary proceeding procedure.
             3339          (1) (a) Subject to Section 32B-3-202 , the following may conduct an adjudicative
             3340      proceeding to inquire into a matter necessary and proper for the administration of this title and
             3341      rules adopted under this title:
             3342          (i) the commission;
             3343          (ii) a hearing examiner appointed by the commission to conduct a suspension or
             3344      revocation hearing required by law;
             3345          (iii) the director; and
             3346          (iv) the department.
             3347          (b) Except as provided in this section or Section 32B-2-605 , a person described in
             3348      Subsection (1)(a) shall comply with Title 63G, Chapter 4, Administrative Procedures Act, in
             3349      an adjudicative proceeding.
             3350          (c) Except when otherwise provided by law, an adjudicative proceeding before the
             3351      commission or a hearing examiner appointed by the commission shall be:
             3352          (i) video or audio recorded; and
             3353          (ii) subject to Subsection (3)(b), conducted in accordance with Title 52, Chapter 4,
             3354      Open and Public Meetings Act.
             3355          (d) A person listed in Subsection (1)(a) shall conduct an adjudicative proceeding
             3356      concerning departmental personnel in accordance with Title 67, Chapter 19, Utah State
             3357      Personnel Management Act.
             3358          (e) A hearing that is informational, fact gathering, and nonadversarial in nature shall
             3359      be conducted in accordance with rules, policies, and procedures made by the commission,
             3360      director, or department.
             3361          (2) (a) Subject to Section 32B-3-202 , a disciplinary proceeding shall be conducted


             3362      under the authority of the commission, which is responsible for rendering a final decision and
             3363      order on a disciplinary matter.
             3364          (b) (i) The commission may appoint a necessary officer, including a hearing examiner,
             3365      from within or without the department, to administer the disciplinary proceeding process.
             3366          (ii) A hearing examiner appointed by the commission:
             3367          (A) may conduct a disciplinary proceeding hearing on behalf of the commission; and
             3368          (B) shall submit to the commission a report including:
             3369          (I) findings of fact determined on the basis of a preponderance of the evidence
             3370      presented at the hearing;
             3371          (II) conclusions of law; and
             3372          (III) recommendations.
             3373          (iii) A report of a hearing examiner under this Subsection (2)(b) may not recommend a
             3374      penalty more severe than that initially sought by the department in the notice of agency action.
             3375          (iv) A copy of a hearing examiner report under this Subsection (2)(b) shall be served
             3376      upon the respective parties.
             3377          (v) Before final commission action, the commission shall give a respondent and the
             3378      department reasonable opportunity to file a written objection to a hearing examiner report.
             3379          (3) (a) The commission or an appointed hearing examiner shall preside over a
             3380      disciplinary proceeding hearing.
             3381          (b) A disciplinary proceeding hearing may be closed only after the commission or
             3382      hearing examiner makes a written finding that the public interest in an open hearing is clearly
             3383      outweighed by factors enumerated in the closure order.
             3384          (c) (i) The commission or its hearing examiner as part of a disciplinary proceeding
             3385      hearing may:
             3386          (A) administer an oath or affirmation;
             3387          (B) take evidence;
             3388          (C) take a deposition within or without this state; and
             3389          (D) require by subpoena from a place within this state:


             3390          (I) the testimony of a person at a hearing; and
             3391          (II) the production of a record or other evidence considered relevant to the inquiry.
             3392          (ii) A person subpoenaed in accordance with this Subsection (3)(c) shall testify and
             3393      produce a record or tangible thing as required in the subpoena.
             3394          (iii) A witness subpoenaed, called to testify, or called to produce evidence who claims
             3395      a privilege against self-incrimination may not be compelled to testify, but the commission or
             3396      the hearing examiner shall file a written report with the county attorney or district attorney in
             3397      the jurisdiction where the privilege is claimed or where the witness resides setting forth the
             3398      circumstance of the claimed privilege.
             3399          (iv) (A) A person is not excused from obeying a subpoena without just cause.
             3400          (B) A district court within the judicial district in which a person alleged to be guilty of
             3401      willful contempt of court or refusal to obey a subpoena is found or resides, upon application
             3402      by the party issuing the subpoena, may issue an order requiring the person to:
             3403          (I) appear before the issuing party; and
             3404          (II) (Aa) produce documentary evidence if so ordered; or
             3405          (Bb) give evidence regarding the matter in question.
             3406          (C) Failure to obey an order of the court may be punished by the court as contempt.
             3407          (d) In a case heard by the commission, the commission shall issue its final decision
             3408      and order in accordance with Subsection (2).
             3409          (4) (a) The commission shall:
             3410          (i) render a final decision and order on a disciplinary action; and
             3411          (ii) cause its final order to be prepared in writing, issued, and served on all parties.
             3412          (b) An order of the commission is final on the date the order is issued.
             3413          (c) The commission, after the commission renders its final decision and order, may
             3414      require the director to prepare, issue, and cause to be served on the parties the final written
             3415      order on behalf of the commission.
             3416          (5) (a) If a respondent requests a disciplinary proceeding hearing, the hearing held by
             3417      the commission or a hearing examiner appointed by the commission shall proceed formally in


             3418      accordance with Sections 63G-4-204 through 63G-4-209 if:
             3419          (i) the alleged violation poses, or potentially poses, a grave risk to public safety,
             3420      health, and welfare;
             3421          (ii) the alleged violation involves:
             3422          (A) selling or furnishing an alcoholic product to a minor;
             3423          (B) attire, conduct, or entertainment prohibited by Chapter 1, Part 5, Attire, Conduct,
             3424      and Entertainment Act;
             3425          (C) fraud, deceit, willful concealment, or misrepresentation of the facts by or on behalf
             3426      of the respondent;
             3427          (D) interfering or refusing to cooperate with:
             3428          (I) an authorized official of the department or the state in the discharge of the official's
             3429      duties in relation to the enforcement of this title; or
             3430          (II) a peace officer in the discharge of the peace officer's duties in relation to the
             3431      enforcement of this title;
             3432          (E) an unlawful trade practice under Chapter 4, Part 7, Trade Practices Act;
             3433          (F) unlawful importation of an alcoholic product; or
             3434          (G) unlawful supply of liquor by a liquor industry member, as defined in Section
             3435      32B-4-702 , to a person other than the department or a military installation, except to the extent
             3436      permitted by this title; or
             3437          (iii) the department determines to seek in a disciplinary proceeding hearing:
             3438          (A) an administrative fine exceeding $3,000;
             3439          (B) a suspension of a license, permit, or certificate of approval of more than 10 days;
             3440      or
             3441          (C) a revocation of a license, permit, or certificate of approval.
             3442          (b) If a respondent does not request a disciplinary proceeding hearing, a hearing shall
             3443      proceed informally unless it is designated as a formal proceeding pursuant to rules adopted by
             3444      the commission in accordance with Subsection (5)(c).
             3445          (c) The commission shall make rules to provide a procedure to implement this


             3446      Subsection (5).
             3447          Section 79. Section 32B-3-205 is enacted to read:
             3448          32B-3-205. Penalties.
             3449          (1) If the commission is satisfied that a person subject to administrative action violates
             3450      this title or the commission's rules, in accordance with Title 63G, Chapter 4, Administrative
             3451      Procedures Act, the commission may:
             3452          (a) suspend or revoke the person's license, permit, or certificate of approval;
             3453          (b) subject to Subsection (2), impose a fine against the person, including individual
             3454      staff of a licensee, permittee, or certificate holder;
             3455          (c) assess the administrative costs of a disciplinary proceeding to the person if the
             3456      person is a licensee, permittee, or certificate holder; or
             3457          (d) take a combination of actions described in this Subsection (1).
             3458          (2) (a) A fine imposed may not exceed $25,000 in the aggregate for:
             3459          (i) a single notice of agency action; or
             3460          (ii) a single action against a package agency.
             3461          (b) The commission shall by rule establish a schedule setting forth a range of fines for
             3462      each violation.
             3463          (3) The commission shall transfer the costs assessed under this section into the
             3464      General Fund in accordance with Section 32B-2-301 .
             3465          (4) (a) If a license or permit is suspended under this section, the licensee or permittee
             3466      shall prominently display a sign provided by the department:
             3467          (i) during the suspension; and
             3468          (ii) at the entrance of the premises of the licensee or permittee.
             3469          (b) The sign required by this Subsection (4) shall:
             3470          (i) read "The Utah Alcoholic Beverage Control Commission has suspended the
             3471      alcoholic product license or permit of this establishment. An alcoholic product may not be
             3472      sold, offered for sale, furnished, or consumed on these premises during the period of
             3473      suspension."; and


             3474          (ii) include the dates of the suspension period.
             3475          (c) A licensee or permittee may not remove, alter, obscure, or destroy a sign required
             3476      to be displayed under this Subsection (4) during the suspension period.
             3477          (5) (a) If a license or permit is revoked, the commission may order the revocation of a
             3478      bond posted by the licensee or permittee under this title.
             3479          (b) Notwithstanding Subsection (5)(a), the department may make a claim against a
             3480      bond posted by a licensee or permittee for money owed the department under this title without
             3481      the commission first revoking the license or permit.
             3482          (6) A licensee or permittee whose license or permit is revoked may not reapply for a
             3483      license or permit under this title for three years from the date on which the license or permit is
             3484      revoked.
             3485          (7) If a staff member of a licensee, permittee, or certificate holder is found to have
             3486      violated this title, in addition to imposing another penalty authorized by this title, the
             3487      commission may prohibit the staff member from handling, selling, furnishing, distributing,
             3488      manufacturing, wholesaling, or warehousing an alcoholic product in the course of acting as
             3489      staff with a licensee, permittee, or certificate holder under this title for a period determined by
             3490      the commission.
             3491          (8) (a) If the commission makes the finding described in Subsection (8)(b), in addition
             3492      to other penalties prescribed by this title, the commission may order:
             3493          (i) the removal of an alcoholic product of the manufacturer's, supplier's, or importer's
             3494      from the department's sales list; and
             3495          (ii) a suspension of the department's purchase of an alcoholic product described in
             3496      Subsection (8)(a)(i) for a period determined by the commission.
             3497          (b) The commission may take the action described in Subsection (8)(a) if:
             3498          (i) a manufacturer, supplier, or importer of liquor or its staff or representative violates
             3499      this title; and
             3500          (ii) the manufacturer, supplier, or importer:
             3501          (A) directly commits the violation; or


             3502          (B) solicits, requests, commands, encourages, or intentionally aids another to engage
             3503      in the violation.
             3504          (9) If the commission makes a finding that the brewer holding a certificate of approval
             3505      violates this title or rules of the commission, the commission may take an action against the
             3506      brewer holding a certificate of approval that the commission could take against a licensee
             3507      including:
             3508          (a) suspension or revocation of the certificate of approval; and
             3509          (b) imposition of a fine.
             3510          (10) Notwithstanding the other provisions of this title, the commission may not order a
             3511      disciplinary action or fine in accordance with this section if the disciplinary action or fine is
             3512      ordered on the basis of a violation:
             3513          (a) of a provision in this title related to intoxication or becoming intoxicated; and
             3514          (b) if the violation is first investigated by a law enforcement officer, as defined in
             3515      Section 53-13-103 , who has not received training regarding the requirements of this title
             3516      related to responsible alcoholic product sale or service.
             3517          Section 80. Section 32B-3-206 is enacted to read:
             3518          32B-3-206. Dishonored checks.
             3519          (1) If a check issued in payment of a fee or cost authorized or required by this title is
             3520      returned to the department as dishonored:
             3521          (a) the department may assess a service charge in an amount set by commission rule
             3522      against the person on whose behalf the check was tendered;
             3523          (b) if the check that is returned to the department is from a package agent, licensee, or
             3524      permittee, the commission may:
             3525          (i) suspend or revoke the license or permit; or
             3526          (ii) suspend or terminate the operation of the package agency;
             3527          (c) the department may require that the person who payed with the dishonored check
             3528      only pay money owed to the department under this title with cash for the time period
             3529      determined by the department; or


             3530          (d) the department or commission may take a combination of actions as provided in
             3531      this Subsection (1).
             3532          (2) (a) If a license or permit is revoked under this section, the commission may require
             3533      the forfeiture of the bond of the licensee or permittee.
             3534          (b) Notwithstanding Subsection (2)(a), the department may make a claim against a
             3535      bond posted by a licensee or permittee for money owed the department under this title without
             3536      the commission first revoking the license or permit.
             3537          (3) (a) If the operation of a package agency is terminated under this section and the
             3538      department has posted a bond for the package agency, the commission may require the
             3539      forfeiture of the bond.
             3540          (b) Notwithstanding Subsection (3)(a), the department may make a claim against a
             3541      bond posted for a package agency without the commission first terminating the operation of
             3542      the package agency.
             3543          Section 81. Section 32B-3-207 is enacted to read:
             3544          32B-3-207. Judicial review -- Enforcement.
             3545          (1) In a disciplinary proceeding, a respondent found in a final order of the commission
             3546      to have violated this title or rules of the commission made under this title may seek judicial
             3547      review in a court of competent jurisdiction pursuant to the judicial review provisions of
             3548      Sections 63G-4-401 through 63G-4-405 .
             3549          (2) Notwithstanding Subsection 63G-4-403 (4)(g), an appellate court may not grant
             3550      relief on the basis that a finding of fact by the commission in a formal disciplinary proceeding
             3551      is not supported, if the commission's finding of fact is supported by any evidence of substance
             3552      in the record of the formal disciplinary proceeding when viewed in light of the whole record
             3553      before the court.
             3554          (3) In addition to another remedy provided by law, the commission may seek
             3555      enforcement of a commission order in a disciplinary proceeding by seeking civil enforcement
             3556      in a state district court in accordance with Section 63G-4-501 .
             3557          Section 82. Section 32B-3-301 is enacted to read:


             3558     
Part 3. Nuisance Retail Licensee Act

             3559          32B-3-301. Title.
             3560          This part is known as the "Nuisance Retail Licensee Act."
             3561          Section 83. Section 32B-3-302 is enacted to read:
             3562          32B-3-302. Definitions.
             3563          As used in this part:
             3564          (1) "Nuisance activity" means:
             3565          (a) a judicial finding that a licensed establishment is a nuisance under Section
             3566      32B-4-208 ; or
             3567          (b) an act described in Section 32B-3-303 .
             3568          (2) "Objecting governmental entity" means:
             3569          (a) a local government entity;
             3570          (b) a prosecutor's office; or
             3571          (c) a law enforcement agency.
             3572          Section 84. Section 32B-3-303 is enacted to read:
             3573          32B-3-303. Acts making a person subject to this part.
             3574          (1) One or more of the following acts constitute a nuisance activity:
             3575          (a) a single felony conviction within the last two years of:
             3576          (i) a retail licensee; or
             3577          (ii) supervisory or managerial level staff of the retail licensee;
             3578          (b) a single conviction under Title 58, Chapter 37, Utah Controlled Substances Act:
             3579          (i) (A) of a retail licensee; or
             3580          (B) staff of the retail licensee;
             3581          (ii) within the last two years; and
             3582          (iii) made on the basis of an act that occurs on the licensed premises;
             3583          (c) three or more convictions of patrons of a retail licensee under Title 58, Chapter 37,
             3584      Utah Controlled Substances Act, if:
             3585          (i) the convictions are made on the basis of an act that occurs on the licensed


             3586      premises; and
             3587          (ii) there is evidence that the retail licensee knew or should have known of the illegal
             3588      activity;
             3589          (d) a single conviction within the last two years of a retail licensee or staff of the retail
             3590      licensee that is made on the basis of:
             3591          (i) pornographic and harmful materials:
             3592          (A) that violate Title 76, Chapter 10, Part 12, Pornographic and Harmful Materials
             3593      and Performances; and
             3594          (B) if the violation occurs on the licensed premises;
             3595          (ii) prostitution;
             3596          (iii) engaging in or permitting gambling, as defined and proscribed in Title 76,
             3597      Chapter 10, Part 11, Gambling, on the licensed premises;
             3598          (iv) having any video gaming device, as defined and proscribed by Title 76, Chapter
             3599      10, Part 11, Gambling, on the licensed premises;
             3600          (v) on the licensed premises engaging in or permitting a contest, game, gaming
             3601      scheme, or gaming device that requires the risking of something of value for a return or for an
             3602      outcome when the return or outcome is based upon an element of chance, excluding the
             3603      playing of an amusement device that confers only an immediate and unrecorded right of replay
             3604      not exchangeable for value;
             3605          (vi) a disturbance of the peace that occurs on the licensed premises; or
             3606          (vii) disorderly conduct that occurs on the licensed premises; or
             3607          (e) three or more adjudicated violations of this title within the last two years by a retail
             3608      licensee or by staff of the retail licensee that result in a criminal citation or an administrative
             3609      referral to the department relating to:
             3610          (i) the sale, offer for sale, or furnishing of alcohol to a minor;
             3611          (ii) the sale, offer for sale, or furnishing of alcohol to a person actually, apparently, or
             3612      obviously intoxicated;
             3613          (iii) the sale, offer for sale, or furnishing of alcohol after the lawful hours for the sale


             3614      or furnishing; or
             3615          (iv) acts or conduct on the licensed premises contrary to the public welfare and morals
             3616      involving lewd acts or lewd entertainment prohibited by this title.
             3617          (2) For purposes of Subsection (1), in the case of a retail licensee that is a partnership,
             3618      corporation, or limited liability company, a conviction under Subsection (1)(c) includes a
             3619      conviction of any of the following for an offense described in Subsection (1)(c):
             3620          (a) a partner;
             3621          (b) a managing agent;
             3622          (c) a manager;
             3623          (d) an officer;
             3624          (e) a director;
             3625          (f) a stockholder who holds at least 20% of the total issued and outstanding stock of a
             3626      corporate licensee; or
             3627          (g) a member who owns at least 20% of a limited liability company licensee.
             3628          Section 85. Section 32B-3-304 is enacted to read:
             3629          32B-3-304. Rulemaking.
             3630          In accordance with this chapter, the commission may make rules that govern the filing
             3631      under this chapter of:
             3632          (1) a formal objection to the renewal of a retail license; and
             3633          (2) a request for hearing filed by a retail licensee.
             3634          Section 86. Section 32B-3-305 is enacted to read:
             3635          32B-3-305. Commission to prohibit nuisance activity by licensee -- License not
             3636      renewed.
             3637          (1) In accordance with Section 32B-1-104 , the commission shall require a retail
             3638      licensee as a condition of being licensed under this title to operate in a manner so as not to
             3639      endanger the public health, peace, safety, welfare, or morals of the community.
             3640          (2) (a) In accordance with Title 63G, Chapter 4, Administrative Procedures Act, and
             3641      Sections 32B-3-306 and 32B-3-307 , the commission may deny the renewal of a retail license


             3642      if:
             3643          (i) a formal objection to the renewal is filed; and
             3644          (ii) the commission determines that the retail licensee has engaged in a nuisance
             3645      activity to such an extent that the nuisance activity has adversely impacted the public health,
             3646      peace, safety, welfare, or morals of the neighboring community of the licensed premises.
             3647          (b) In making a determination under this Subsection (2), the commission may
             3648      consider:
             3649          (i) the type of nuisance activity in which a retail licensee engages;
             3650          (ii) the frequency or pattern of the nuisance activity; and
             3651          (iii) the retail licensee's notice of and failure to abate or correct the nuisance activity.
             3652          Section 87. Section 32B-3-306 is enacted to read:
             3653          32B-3-306. Formal objections to renewal.
             3654          (1) The department shall notify governmental entities that in accordance with this part
             3655      an objecting governmental entity may file with the commission an objection to the renewal of
             3656      a retail licensee's license in the objecting governmental entity's community.
             3657          (2) The department or an objecting governmental entity may file with the commission
             3658      a formal objection to a retail license being renewed by the commission if the formal objection:
             3659          (a) is filed on the basis of a nuisance activity;
             3660          (b) is filed no later than 60 days before the expiration date of the retail licensee's
             3661      license; and
             3662          (c) states with particularity all relevant facts and circumstances relating to the
             3663      nuisance activity that forms the basis for the formal objection.
             3664          Section 88. Section 32B-3-307 is enacted to read:
             3665          32B-3-307. Hearing on formal objections to renewal.
             3666          (1) Upon receipt of a formal objection that meets the requirements of Section
             3667      32B-3-306 , the department shall:
             3668          (a) issue a notice of agency action; and
             3669          (b) serve on the retail licensee no later than 30 days before the expiration of the retail


             3670      licensee's license:
             3671          (i) the notice of agency action; and
             3672          (ii) a copy of the formal objection.
             3673          (2) (a) A retail licensee against whom a notice of agency action is served under
             3674      Subsection (1) may request a hearing.
             3675          (b) The request for hearing described in Subsection (2)(a) shall be:
             3676          (i) in writing; and
             3677          (ii) filed with the commission within 10 days of the day on which the notice of agency
             3678      action is served on the retail licensee.
             3679          (c) If a retail licensee fails to file a request for hearing in accordance with this
             3680      Subsection (2), the commission may not renew the license of the retail licensee.
             3681          (3) (a) Upon receipt of a request for hearing meeting the requirements of Subsection
             3682      (2), the department shall immediately schedule a hearing that shall be:
             3683          (i) held no later than 10 days before the expiration date of the retail licensee's license;
             3684      and
             3685          (ii) electronically recorded by the department.
             3686          (b) The retail licensee or an objecting governmental entity, at its own expense, may
             3687      have a reporter approved by the department prepare a transcript from the department's record
             3688      of the hearing.
             3689          (c) (i) The department shall present information at the hearing that supports a finding
             3690      that a nuisance activity occurred.
             3691          (ii) The information described in Subsection (3)(c)(i) shall be made a part of the
             3692      record of the hearing.
             3693          (d) A retail licensee shall:
             3694          (i) have the opportunity to challenge or explain whether any of the nuisance activity
             3695      that forms the basis for the formal objection occurred; and
             3696          (ii) be permitted to:
             3697          (A) testify;


             3698          (B) present evidence; and
             3699          (C) comment on the issues at the hearing.
             3700          (4) (a) A hearing held under this chapter shall be conducted under the authority of the
             3701      commission.
             3702          (b) The commission is responsible for rendering a final order on whether a retail
             3703      licensee's license shall be renewed.
             3704          (c) Notwithstanding Subsections (4)(a) and (b), the commission may appoint a
             3705      necessary hearing examiner to administer the hearing process.
             3706          (d) The commission or the hearing examiner appointed by the commission shall serve
             3707      as the presiding officer at a hearing held under this section.
             3708          (e) The presiding officer at a hearing held under this section:
             3709          (i) shall evaluate:
             3710          (A) the information presented at the hearing in support of the formal objection; and
             3711          (B) any explanation and evidence offered by the retail licensee; and
             3712          (ii) may consider such factors as:
             3713          (A) the length of time the retail licensee has operated the licensed premises;
             3714          (B) the condition of the licensed premises;
             3715          (C) whether the retail licensee knew or should have known of the nuisance activity in
             3716      question;
             3717          (D) whether the retail licensee failed to:
             3718          (I) make a substantial effort to correct the nuisance activity; and
             3719          (II) work with law enforcement to curtail the nuisance activity;
             3720          (E) whether the nuisance activity has been ongoing or temporary;
             3721          (F) whether the retail licensee or the retail licensee's staff:
             3722          (I) initiated contact with the law enforcement agency on the nuisance activity; and
             3723          (II) cooperated with the law enforcement agency's investigation; and
             3724          (G) whether prior efforts to stop the nuisance activity by the community or the retail
             3725      licensee have been unsuccessful.


             3726          (5) An order issued under this section shall:
             3727          (a) be based on the evidence presented at the hearing; and
             3728          (b) state whether:
             3729          (i) the continued operation of the licensed premises will endanger the public health,
             3730      peace, safety, welfare, or morals of the community; and
             3731          (ii) the retail license should or should not be renewed.
             3732          (6) (a) If the presiding officer is a hearing examiner appointed by the commission, the
             3733      hearing officer shall issue a signed order in writing that:
             3734          (i) complies with Subsection (5);
             3735          (ii) recommends to the commission whether the retail license should or should not be
             3736      renewed;
             3737          (iii) states the reasons for the hearing officer's decision; and
             3738          (iv) notifies the retail licensee and the objecting governmental entity that the hearing
             3739      examiner's order will be considered by the commission at the next regularly scheduled meeting
             3740      of the commission.
             3741          (b) The department shall promptly mail a copy of the hearing examiner's order to:
             3742          (i) the retail licensee; and
             3743          (ii) any objecting governmental entity.
             3744          (c) The commission at its next regularly scheduled meeting after receipt of a hearing
             3745      examiner's order, shall decide whether to renew or not renew the retail license on the basis of:
             3746          (i) the record and evidence presented at the hearing; and
             3747          (ii) the hearing examiner's recommendation.
             3748          (7) (a) As an alternative to ordering that a retail license not be renewed under this
             3749      section, the commission may conditionally renew a retail license by requiring that:
             3750          (i) the retail licensee and the licensed premises be closely monitored during the
             3751      licensing year by:
             3752          (A) the department;
             3753          (B) local government officials; and


             3754          (C) law enforcement; and
             3755          (ii) the matter be reviewed before the next renewal period.
             3756          (b) The commission may conditionally renew a retail license contingent on a person
             3757      listed in Subsection (7)(b)(ii) divesting all interest in the retail licensed business if:
             3758          (i) the retail licensee is a partnership, corporation, or limited liability company; and
             3759          (ii) the formal objection filed under this section if filed solely on the basis of a felony
             3760      conviction:
             3761          (A) of:
             3762          (I) a partner;
             3763          (II) a managing agent;
             3764          (III) a manager;
             3765          (IV) an officer;
             3766          (V) a director;
             3767          (VI) a stockholder who holds at least 20% of the total issued and outstanding stock of
             3768      a corporate licensee; or
             3769          (VII) a member who owns at least 20% of a limited liability company licensee; and
             3770          (B) for illegal activity that occurred off of the licensed premises.
             3771          (8) (a) In accordance with this section, the commission shall issue a written order
             3772      setting forth the commission's decision and the reason for the commission's decision.
             3773          (b) The order described in Subsection (8)(a) is considered final on the date the order
             3774      becomes effective.
             3775          (c) The department shall serve a copy of the order on the retail licensee.
             3776          (9) A retail licensee whose retail license is not renewed by order of the commission
             3777      may seek judicial review under the procedures provided in Section 32B-3-207 .
             3778          (10) A retail licensee whose retail license is not renewed may not reapply for a license
             3779      under this title for three years from the date the retail license is not renewed.
             3780          Section 89. Section 32B-4-101 is enacted to read:
             3781     
CHAPTER 4. CRIMINAL OFFENSES AND PROCEDURE ACT


             3782     
Part 1. General Provisions

             3783          32B-4-101. Title.
             3784          This chapter is known as the "Criminal Offenses and Procedure Act."
             3785          Section 90. Section 32B-4-102 is enacted to read:
             3786          32B-4-102. Definitions.
             3787          Reserved
             3788          Section 91. Section 32B-4-201 is enacted to read:
             3789     
Part 2. Criminal Procedure

             3790          32B-4-201. Applicability of Utah Code of Criminal Procedure.
             3791          Except as otherwise provided in this title, the procedure in a criminal case arising
             3792      under this title is governed by Title 77, Utah Code of Criminal Procedure, and any other rules
             3793      adopted by the Utah Supreme Court.
             3794          Section 92. Section 32B-4-202 is enacted to read:
             3795          32B-4-202. Duties to enforce this title.
             3796          (1) It is the duty of the following to diligently enforce this title in their respective
             3797      capacities:
             3798          (a) the governor;
             3799          (b) a commissioner;
             3800          (c) the director;
             3801          (d) an official, inspector, or department employee;
             3802          (e) a prosecuting official of the state or its political subdivisions;
             3803          (f) a county, city, or town;
             3804          (g) a peace officer, sheriff, deputy sheriff, constable, marshal, or law enforcement
             3805      official;
             3806          (h) a state health official; and
             3807          (i) a clerk of the court.
             3808          (2) Immediately upon conviction of a person for violation of this title or of a local
             3809      ordinance relating to an alcoholic product, it is the duty of the clerk of the court to notify the


             3810      department of the conviction in writing on forms supplied by the department.
             3811          Section 93. Section 32B-4-203 is enacted to read:
             3812          32B-4-203. Authority to inspect.
             3813          (1) (a) This Subsection (1) applies to:
             3814          (i) a commissioner;
             3815          (ii) an authorized representative of the commission or department; or
             3816          (iii) a law enforcement or peace officer.
             3817          (b) An individual described in Subsection (1)(a):
             3818          (i) shall be given access, ingress, and egress to and from premises or a conveyance
             3819      used in the storage, sale, furnishing, manufacture, or transportation of an alcoholic product;
             3820          (ii) may open a package containing, or supposed to contain, an article sold, or exposed
             3821      for sale, held in possession, or manufactured with intent to sell in violation of this title or
             3822      commission rules; and
             3823          (iii) may inspect the contents and take samples of the contents for analysis from a
             3824      package described in this Subsection (1).
             3825          (2) The following shall assist, when requested by a person described in Subsection (1),
             3826      in tracing, finding, or discovering the presence of an article prohibited by this title or
             3827      commission rules to the extent assistance would not infringe upon the person's federal and
             3828      state constitutional rights:
             3829          (a) a dealer;
             3830          (b) a clerk;
             3831          (c) a bookkeeper;
             3832          (d) an express agent;
             3833          (e) a railroad or airline official;
             3834          (f) a common or other carrier; and
             3835          (g) an employee of a person listed in this Subsection (2).
             3836          Section 94. Section 32B-4-204 is enacted to read:
             3837          32B-4-204. Arrests.


             3838          (1) Except as otherwise provided in this chapter, an arrest of a person for a violation of
             3839      this title shall be made in accordance with:
             3840          (a) Title 77, Chapter 7, Arrest, by Whom, and How Made; and
             3841          (b) Rules 6 and 7, Utah Rules of Criminal Procedure.
             3842          (2) A summons in lieu of a warrant of arrest shall be in accordance with Rule 6, Utah
             3843      Rules of Criminal Procedure.
             3844          Section 95. Section 32B-4-205 is enacted to read:
             3845          32B-4-205. Prosecutions.
             3846          (1) (a) A prosecution for a violation of this title shall be in the name of the state.
             3847          (b) A criminal action for violation of a county or municipal ordinance enacted in
             3848      furtherance of this title shall be in the name of the governmental entity involved.
             3849          (2) (a) A prosecution for violation of this title shall be brought by the county attorney
             3850      of the county or district attorney of the prosecution district where the violation occurs. If a
             3851      county attorney or district attorney fails to initiate or diligently pursue a prosecution
             3852      authorized and warranted under this title, the attorney general shall exercise supervisory
             3853      authority over the county attorney or district attorney to ensure prosecution is initiated and
             3854      diligently pursued.
             3855          (b) If a violation occurs within a city or town, prosecution may be brought by either
             3856      the county, district, or city attorney, notwithstanding any provision of law limiting the powers
             3857      of a city attorney.
             3858          (c) A city or town prosecutor has the responsibility of initiating and diligently
             3859      pursuing prosecutions for a violation of a local ordinance enacted in furtherance of this title or
             3860      commission rules.
             3861          (3) (a) A prosecution for a violation of this title shall be commenced by the return of
             3862      an indictment or the filing of an information with the district court of the county in which the
             3863      offense occurs or where the premises are located upon which an alcoholic product is seized, if
             3864      the offense involves an alcoholic product.
             3865          (b) An offense prescribed by this title that is not described in Subsection (3)(a) shall


             3866      be filed before a court having jurisdiction of the offense committed.
             3867          (4) (a) Unless otherwise provided by law, an information may not be filed charging the
             3868      commission of a felony or class A misdemeanor under this title unless authorized by a
             3869      prosecuting attorney.
             3870          (b) This Subsection (4) does not apply if the magistrate has reasonable cause to
             3871      believe that the person to be charged may avoid apprehension or escape before approval can
             3872      be obtained.
             3873          (5) (a) In describing an offense respecting the sale, keeping for sale, or other disposal
             3874      of an alcoholic product, or the possessing, keeping, purchasing, consumption, or giving of an
             3875      alcoholic product in an information, indictment, summons, judgment, warrant, or proceeding
             3876      under this title, it is sufficient to state the possessing, purchasing, keeping, sale, keeping for
             3877      sale, giving, consumption, or disposal of the alcoholic product without stating:
             3878          (i) the name or kind of alcoholic product;
             3879          (ii) the price of the alcoholic product;
             3880          (iii) any person to whom the alcoholic product is sold or disposed of;
             3881          (iv) by whom the alcoholic product is taken or consumed; or
             3882          (v) from whom the alcoholic product is purchased or received.
             3883          (b) It is not necessary to state the quantity of alcoholic product possessed, purchased,
             3884      kept, kept for sale, sold, given, consumed, or disposed of, except in the case of an offense
             3885      when the quantity is essential, and then it is sufficient to allege the sale or disposal of more or
             3886      less than the quantity.
             3887          (6) If an offense is committed under a local ordinance enacted to carry out this title, it
             3888      is sufficient if the charging document refers to the chapter and section of the ordinance under
             3889      which the offense is committed.
             3890          Section 96. Section 32B-4-206 is enacted to read:
             3891          32B-4-206. Searches, seizures, forfeitures, and fines.
             3892          (1) The following are subject to forfeiture pursuant to Title 24, Chapter 1, Utah
             3893      Uniform Forfeiture Procedures Act:


             3894          (a) an alcoholic product possessed, purchased, used, stored, sold, offered for sale,
             3895      furnished, given, received, warehoused, manufactured, distributed, shipped, carried,
             3896      transported, or adulterated in violation of this title or commission rules;
             3897          (b) a package or property used or intended for use as a package for an alcoholic
             3898      product in violation of this title or commission rules;
             3899          (c) raw materials, products, and equipment used, or intended for use, in
             3900      manufacturing, processing, delivering, importing, exporting, or adulterating an alcoholic
             3901      product in violation of this title or commission rules;
             3902          (d) implements, furniture, fixtures, or other personal property used or kept for a
             3903      violation of this title or commission rules;
             3904          (e) conveyances including an aircraft, vehicle, or vessel used or intended for use, to
             3905      transport or in any manner facilitate the transportation, sale, receipt, possession, or
             3906      concealment of property described in Subsection (1)(a), (b), (c), or (d); and
             3907          (f) a record used or intended for use in violation of this title or commission rules.
             3908          (2) (a) Property subject to forfeiture under this title may be seized by a peace officer of
             3909      this state or any other person authorized by law upon process issued by a court having
             3910      jurisdiction over the property in accordance with the Utah Rules of Criminal Procedure
             3911      relating to search warrants or administrative warrants.
             3912          (b) Notwithstanding Subsection (2)(a), seizure without process may be made when:
             3913          (i) the seizure is incident to an arrest or search under a search warrant or an inspection
             3914      under an administrative inspection warrant;
             3915          (ii) the property subject to seizure has been the subject of a prior judgment in favor of
             3916      the state in a criminal injunction or forfeiture proceeding under this title;
             3917          (iii) the peace officer or other person authorized by law has probable cause to believe
             3918      that the property is directly or indirectly dangerous to health or safety; or
             3919          (iv) the peace officer or other person authorized by law has probable cause to believe
             3920      that the property is being or has been used, intended to be used, held, or kept in violation of
             3921      this title or commission rules.


             3922          (3) If property is seized pursuant to a search or administrative warrant, a peace officer
             3923      or other person authorized by law shall comply with the requirements of the Utah Rules of
             3924      Criminal Procedure.
             3925          (4) (a) If property is seized without process:
             3926          (i) the peace officer or other person authorized by law shall make a return of the peace
             3927      officer's or person's acts without delay directly to the district court of the county in which the
             3928      property was located; and
             3929          (ii) the district court shall have jurisdiction of the case.
             3930          (b) A return shall describe:
             3931          (i) the property seized;
             3932          (ii) the place where the property is seized; and
             3933          (iii) any person in apparent possession of the property.
             3934          (c) A peace officer or other person described in Subsection (4)(a) shall promptly:
             3935          (i) deliver a written inventory of anything seized to any person in apparent authority at
             3936      the premises where the seizure is made; or
             3937          (ii) post a written inventory of anything seized in a conspicuous place at the premises.
             3938          (d) A written inventory under this Subsection (4) shall state the place where the
             3939      property is being held.
             3940          (5) Property taken or detained under this section is not repleviable but is considered in
             3941      custody of the law enforcement agency making the seizure subject only to the orders of the
             3942      court or the official having jurisdiction. When property is seized under this title, the
             3943      appropriate person or agency may:
             3944          (a) place the property under seal;
             3945          (b) remove the property to a place designated by:
             3946          (i) the person or agency; or
             3947          (ii) the warrant under which the property is seized; or
             3948          (c) take custody of the property and remove the property to an appropriate location for
             3949      disposition in accordance with law.


             3950          (6) When property is subject to forfeiture under this section, a proceeding shall be
             3951      instituted in accordance with Title 24, Chapter 1, Utah Uniform Forfeiture Procedures Act.
             3952          (7) When property is ordered forfeited under Title 24, Chapter 1, Utah Uniform
             3953      Forfeiture Procedures Act, by a finding of a court that no person is entitled to recover the
             3954      property, the property, if an alcohol package or product used as a package for an alcoholic
             3955      product, shall be disposed of as follows:
             3956          (a) An alcoholic product shall be sold in accordance with Section 24-1-17 if the
             3957      alcoholic product is:
             3958          (i) unadulterated, pure, and free from crude, unrectified, or impure form of ethylic
             3959      alcohol, or any other deleterious substance or liquid; and
             3960          (ii) otherwise in saleable condition.
             3961          (b) If the alcoholic product is impure, adulterated, or otherwise unfit for sale, the
             3962      department shall destroy the alcoholic product and its package under competent supervision.
             3963          (8) Except when otherwise provided, a fine or forfeiture levied under this title shall be
             3964      paid to the county treasurer of the county in which the prosecution occurred.
             3965          Section 97. Section 32B-4-207 is enacted to read:
             3966          32B-4-207. Right of appeal.
             3967          In a case arising under this title, the commission or the state has the right of appeal as
             3968      to a question of law.
             3969          Section 98. Section 32B-4-208 is enacted to read:
             3970          32B-4-208. Nuisances.
             3971          (1) As used in this section, "nuisance" means:
             3972          (a) a room, house, building, structure, place, aircraft, vehicle, vessel, or other
             3973      conveyance where an alcoholic product is possessed, purchased, used, kept, stored, sold,
             3974      offered for sale, furnished, given, received, warehoused, manufactured, distributed, shipped,
             3975      carried, transported, or adulterated in violation of this title; or
             3976          (b) an alcoholic product, package, equipment, or other property kept or used in
             3977      maintaining an item or property described in Subsection (1)(a).


             3978          (2) A person who maintains or assists in maintaining a nuisance is guilty of a class B
             3979      misdemeanor.
             3980          (3) If a person has knowledge that, or has reason to believe that the person's room,
             3981      house, building, structure, place, aircraft, vehicle, vessel, or other conveyance is occupied or
             3982      used as a nuisance, or allows it to be occupied or used as a nuisance, the nuisance property is
             3983      subject to a lien for and may be sold to pay the fines and costs assessed against the person
             3984      guilty of the common nuisance. This lien may be enforced by action in a court having
             3985      jurisdiction.
             3986          (4) (a) The department shall bring an action to abate a nuisance in the name of the
             3987      department in a court having jurisdiction.
             3988          (b) An action brought under this Subsection (4) is an action in equity.
             3989          (c) The department may not be required to post a bond to initiate an action under this
             3990      Subsection (4).
             3991          (d) A court may issue:
             3992          (i) if it appears that a nuisance exists, a temporary writ of injunction restraining the
             3993      defendant from conducting or permitting the continuance of the nuisance until the conclusion
             3994      of the trial; and
             3995          (ii) an order restraining the defendant and any other person from removing or
             3996      interfering with an alcoholic product, package, equipment, or other property kept or used in
             3997      violation of this title or commission rules.
             3998          (e) In an action to abate or enjoin a nuisance, the court need not find that the property
             3999      involved is being unlawfully used at the time of the hearing.
             4000          (f) On finding that a material allegation of a petition or complaint is true, the court
             4001      shall order that an alcoholic product may not be possessed, purchased, used, kept, stored, sold,
             4002      offered for sale, furnished, given, received, warehoused, manufactured, distributed, shipped,
             4003      carried, transported, or adulterated, in any portion of the room, house, building, structure,
             4004      place, aircraft, vehicle, vessel, or other conveyance.
             4005          (g) Upon judgment of a court ordering abatement of the nuisance, the court may order


             4006      that the premises or conveyance in question may not be occupied or used for any purpose for
             4007      one year, except under Subsection (4)(h).
             4008          (h) A court may permit premises or conveyance described in Subsection (4)(g) to be
             4009      occupied or used:
             4010          (i) if its owner, lessee, tenant, or occupant gives bond in an appropriate amount with
             4011      sufficient surety, approved by the court, payable to the state;
             4012          (ii) on the condition that an alcoholic product will not be present in or on the premises
             4013      or the conveyance; and
             4014          (iii) on the condition that payment of the fines, costs, and damages assessed for
             4015      violation of this title or commission rules will be made.
             4016          (5) If a tenant of the premises uses the premises or any part of the premises in
             4017      maintaining a nuisance, or knowingly permits use by another, the lease is void and the right to
             4018      possession reverts to the owner or lessor who is entitled to the remedy provided by law for
             4019      forcible detention of the premises.
             4020          (6) A person is guilty of assisting in maintaining a nuisance as provided in Section
             4021      76-10-804 , if that person:
             4022          (a) knowingly permits a building or premises owned or leased by the person, or under
             4023      the person's control, or any part of a building or premises, to be used in maintaining a
             4024      nuisance; or
             4025          (b) after being notified in writing by a prosecutor or other citizen of the unlawful use,
             4026      fails to take all proper measures to:
             4027          (i) abate the nuisance; or
             4028          (ii) remove the one or more persons from the premises.
             4029          Section 99. Section 32B-4-209 is enacted to read:
             4030          32B-4-209. Lawful detention.
             4031          (1) (a) To inform a peace officer of a suspected violation and subject to the
             4032      requirements of Subsection (1)(c), a person described in Subsection (1)(b) may:
             4033          (i) detain a person; and


             4034          (ii) hold any form of identification presented by the person.
             4035          (b) The following may take an action described in Subsection (1)(a):
             4036          (i) a state store employee;
             4037          (ii) a package agent;
             4038          (iii) a licensee or permittee;
             4039          (iv) a beer retailer; or
             4040          (v) staff of a person described in Subsections (1)(b)(ii) through (iv).
             4041          (c) A person described in Subsection (1)(b) may take an action described in
             4042      Subsection (1)(a) only:
             4043          (i) if that person has reason to believe that the person against whom the action is taken
             4044      is:
             4045          (A) in a facility where liquor or beer is sold; and
             4046          (B) in violation of Section 32B-4-409 , 32B-4-412 , or 32B-4-413 ;
             4047          (ii) in a reasonable manner; and
             4048          (iii) for a reasonable length of time.
             4049          (2) Unless the detention is unreasonable under all circumstances, the detention or
             4050      failure to detain does not create criminal or civil liability for:
             4051          (a) false arrest;
             4052          (b) false imprisonment;
             4053          (c) slander; or
             4054          (d) unlawful detention.
             4055          Section 100. Section 32B-4-301 is enacted to read:
             4056     
Part 3. Criminal Offenses in General

             4057          32B-4-301. Applicability of Utah Criminal Code.
             4058          Except as otherwise provided, Title 76, Chapters 1, 2, 3, and 4, apply to the
             4059      prosecution of a criminal offense defined in this chapter or expressly identified as a criminal
             4060      offense in this title.
             4061          Section 101. Section 32B-4-302 is enacted to read:


             4062          32B-4-302. Criminal responsibility for conduct of another.
             4063          In addition to Title 76, Chapter 2, Part 2, Criminal Responsibility for Conduct of
             4064      Another, the following principles apply to a violation of this title:
             4065          (1) (a) If a violation of this title is committed by a person in the employ of the
             4066      occupant of premises in which the offense is committed, or by a person who is required by the
             4067      occupant to be or remain in or upon the premises, or to act in any way for the occupant,
             4068      notwithstanding the fact that the offense is committed by a person who is not proved to have
             4069      committed it under or by the direction of the occupant, the occupant is:
             4070          (i) prima facie considered a party to the offense committed; and
             4071          (ii) liable as a principal offender.
             4072          (b) This section does not relieve the person actually committing the offense from
             4073      liability.
             4074          (2) (a) If a violation of this title is committed by a corporation, association,
             4075      partnership, or limited liability company, an officer or agent of the corporation or association,
             4076      a partner of the partnership, or a manager or member of the limited liability company in charge
             4077      of the premises in which the offense is committed is:
             4078          (i) prima facie considered a party to the offense committed; and
             4079          (ii) personally liable to the penalties prescribed for the offense as a principal offender.
             4080          (b) This section does not relieve the corporation, association, partnership, or limited
             4081      liability company, or the person who actually committed the offense from liability.
             4082          Section 102. Section 32B-4-303 is enacted to read:
             4083          32B-4-303. Special burdens of proof -- Inferences and presumptions.
             4084          (1) In a prosecution of an offense defined in this title or in a proceeding brought to
             4085      enforce this title:
             4086          (a) it is not necessary that the state or commission establish:
             4087          (i) the precise description or quantity of an alcoholic product; or
             4088          (ii) the precise consideration, if any, given or received for an alcoholic product;
             4089          (b) there is an inference, absent proof to the contrary, that an alcoholic product in


             4090      question is an alcoholic product if the witness describes it:
             4091          (i) as an alcoholic product;
             4092          (ii) by a name that is commonly applied to an alcoholic product; or
             4093          (iii) as intoxicating;
             4094          (c) if it is alleged that an entity for which a record is required to be filed with the
             4095      Division of Corporations and Commercial Code to be organized or conduct business in this
             4096      state has violated this title, the fact of the entity is presumed absent proof to the contrary;
             4097          (d) a record signed or purporting to be signed by a state chemist, assistant state
             4098      chemist, or state crime laboratory chemist, as to the analysis or ingredients of an alcoholic
             4099      product is:
             4100          (i) prima facie evidence:
             4101          (A) of the facts stated in that record; and
             4102          (B) of the authority of the person giving or making the record; and
             4103          (ii) admissible in evidence without proof of appointment or signature absent proof to
             4104      the contrary; and
             4105          (e) a copy of an entry made in a record of the United States internal revenue collector,
             4106      certified by the collector or a qualified notary public, showing the payment of the United
             4107      States internal revenue special tax for the manufacture or sale of an alcoholic product is prima
             4108      facie evidence of the manufacture or sale by the party named in the entry within the period set
             4109      forth in the record.
             4110          (2) (a) In proving the unlawful purchase, sale, gift, or disposal, gratuitous or otherwise,
             4111      or consumption of an alcoholic product, it is not necessary that the state or commission
             4112      establish that money or other consideration actually passed or that an alcoholic product is
             4113      actually consumed if the court or trier of fact is satisfied that:
             4114          (i) a transaction in the nature of a purchase, sale, gift, or disposal actually occurs; or
             4115          (ii) consumption of an alcoholic product is about to occur.
             4116          (b) Proof of consumption or intended consumption of an alcoholic product on
             4117      premises on which consumption is prohibited, by some person not authorized to consume an


             4118      alcoholic product on those premises, is evidence that an alcoholic product is sold, given to, or
             4119      purchased by the person consuming, about to consume, or carrying away the alcoholic product
             4120      as against the occupant of the premises.
             4121          (3) For purposes of a provision applicable under this chapter to a retail licensee or
             4122      staff of a retail licensee, the provision is applicable to a resort licensee or a person operating
             4123      under a sublicense of the resort licensee.
             4124          (4) Notwithstanding the other provisions of this chapter, a criminal offense identified
             4125      in this title as a criminal offense may not be enforced under this chapter if the criminal offense
             4126      relates to a violation:
             4127          (a) of a provision in this title related to intoxication or becoming intoxicated; and
             4128          (b) if the violation is first investigated by a law enforcement officer, as defined in
             4129      Section 53-13-103 , who has not received training regarding the requirements of this title
             4130      related to responsible alcoholic product sale or furnishing.
             4131          Section 103. Section 32B-4-304 is enacted to read:
             4132          32B-4-304. Violation of title a misdemeanor.
             4133          (1) Unless otherwise provided in this title, a person is guilty of a class B misdemeanor
             4134      if that person violates:
             4135          (a) this chapter; or
             4136          (b) a provision of this title that is expressly identified as a criminal offense.
             4137          (2) This section is not applicable to an adjudicative proceeding under Chapter 3,
             4138      Disciplinary Actions and Enforcement Act, but only:
             4139          (a) makes a violation described in Subsection (1) a criminal offense; and
             4140          (b) establishes a penalty for a violation described in Subsection (1) that is prosecuted
             4141      criminally.
             4142          Section 104. Section 32B-4-305 is enacted to read:
             4143          32B-4-305. Additional criminal penalties.
             4144          (1) (a) For purposes of this section, "business entity" means a corporation, partnership,
             4145      association, limited liability company, or similar entity.


             4146          (b) In addition to the penalties provided in Title 76, Chapter 3, Punishments, this
             4147      section applies.
             4148          (2) Upon a defendant's conviction of an offense defined in this title, the court may
             4149      order the defendant to make restitution or pay costs in accordance with Title 77, Chapter 32a,
             4150      Defense Costs.
             4151          (3) (a) Upon a business entity's conviction of an offense defined in this title, and a
             4152      failure of the business entity to pay a fine imposed upon it:
             4153          (i) if it is a domestic business entity, the powers, rights, and privileges of the business
             4154      entity may be suspended or revoked; and
             4155          (ii) if it is a foreign business entity, it forfeits its right to do intrastate business in this
             4156      state.
             4157          (b) The department shall transmit the name of a business entity described in
             4158      Subsection (3)(a) to the Division of Corporations and Commercial Code. Upon receipt of the
             4159      information, the Division of Corporations and Commercial Code shall immediately record the
             4160      action in a manner that makes the information available to the public.
             4161          (c) A suspension, revocation, or forfeiture under this Subsection (3) is effective from
             4162      the day on which the Division of Corporations and Commercial Code records the information.
             4163          (d) A certificate of the Division of Corporations and Commercial Code is prima facie
             4164      evidence of a suspension, revocation, or forfeiture.
             4165          (e) This section may not be construed as affecting, limiting, or restricting a proceeding
             4166      that otherwise may be taken for the imposition of any other punishment or the modes of
             4167      enforcement or recovery of fines or penalties.
             4168          (4) (a) Upon the conviction of a business entity required to have a business license to
             4169      operate its business activities, or upon the conviction of any of its staff of any offense defined
             4170      in this title, with the knowledge, consent, or acquiescence of the business entity, the
             4171      department shall forward a copy of the judgment of conviction to the appropriate
             4172      governmental entity responsible for issuing and revoking the business license.
             4173          (b) A governmental entity that receives a copy of a judgment under this Subsection (4)


             4174      may institute appropriate proceedings to revoke the business license.
             4175          (c) Upon revocation under this Subsection (4), a governmental entity may not issue a
             4176      business license to the business entity for at least one year from the date of revocation.
             4177          (d) Upon the conviction for a second or other offense, the governmental entity may not
             4178      issue a business license for at least two years from the date of revocation.
             4179          (5) (a) Upon conviction of one of the following of an offense defined in this title, the
             4180      department shall forward a certified copy of the judgment of conviction to the Division of
             4181      Occupational and Professional Licensing:
             4182          (i) a health care practitioner; or
             4183          (ii) an individual licensed as a veterinarian under Title 58, Chapter 28, Veterinary
             4184      Practice Act.
             4185          (b) The Division of Occupational and Professional Licensing may bring a proceeding
             4186      in accordance with Title 58, Occupations and Professions, to revoke the license issued under
             4187      Title 58 of an individual described in Subsection (5)(a).
             4188          (c) Upon revocation of a license under Subsection (5)(b):
             4189          (i) the Division of Occupational and Professional Licensing may not issue a license to
             4190      the individual under Title 58 for at least one year from the date of revocation; and
             4191          (ii) if the individual is convicted of a second or subsequent offense, the Division of
             4192      Occupational and Professional Licensing may not issue a license to the individual under Title
             4193      58 for at least two years from the date of revocation.
             4194          Section 105. Section 32B-4-401 is enacted to read:
             4195     
Part 4. Sale, Purchase, Possession, and Consumption

             4196          32B-4-401. Unlawful sale or furnishing.
             4197          (1) It is unlawful for a retail licensee, a permittee, or staff of a retail licensee or
             4198      permittee to keep for sale, or to directly or indirectly, sell, offer for sale, or furnish to another,
             4199      an alcoholic product, except as otherwise provided by this title.
             4200          (2) It is unlawful for a person in the business of selling liquor, a manufacturer, a
             4201      supplier, an importer of liquor, or staff of the person, manufacturer, supplier, or importer to


             4202      sell, ship, transport, or cause to be sold, shipped, or transported liquor from an out-of-state
             4203      location directly or indirectly into this state except to the extent authorized by this title to:
             4204          (a) the department;
             4205          (b) a military installation;
             4206          (c) a holder of a special use permit, to the extent authorized in the special use permit;
             4207      or
             4208          (d) a liquor warehouser licensee licensed to distribute and transport liquor to:
             4209          (i) the department; or
             4210          (ii) an out-of-state wholesaler or retailer.
             4211          (3) (a) It is unlawful for a person in the business of selling beer, a manufacturer, a
             4212      supplier, an importer of beer, or staff of the person, manufacturer, or importer to sell, ship,
             4213      transport, or cause to be sold, shipped, or transported beer from an out-of-state location
             4214      directly or indirectly into this state except to the extent authorized by this title to:
             4215          (i) a beer wholesaler licensee;
             4216          (ii) a military installation; or
             4217          (iii) a holder of a special use permit, to the extent authorized in the special use permit.
             4218          (b) Subsection (3)(a) does not preclude a small brewer that holds a certificate of
             4219      approval from selling, shipping, or transporting beer to the extent authorized by Subsection
             4220      32B-11-503 (5) directly to:
             4221          (i) a beer retailer; or
             4222          (ii) an event permittee.
             4223          (4) (a) It is unlawful for a manufacturer, supplier, or importer of liquor in this state, or
             4224      staff of the manufacturer, supplier, or importer to sell, ship, transport, or cause to be sold,
             4225      shipped, or transported liquor directly or indirectly to a person in this state except to the extent
             4226      authorized by this title to:
             4227          (i) the department;
             4228          (ii) a military installation;
             4229          (iii) a holder of a special use permit, to the extent authorized in the special use permit;


             4230      or
             4231          (iv) a liquor warehouser licensee who is licensed to distribute and transport liquor to:
             4232          (A) the department; or
             4233          (B) an out-of-state wholesaler or retailer.
             4234          (b) Subsection (4)(a) does not preclude a winery manufacturing licensee located in this
             4235      state from selling wine to a person on its winery premises:
             4236          (i) to the extent authorized by Subsection 32B-11-303 (4)(c); or
             4237          (ii) under a package agency issued by the commission on the winery premises.
             4238          (5) (a) It is unlawful for a manufacturer, supplier, or importer of beer in this state, or
             4239      staff of the manufacturer, supplier, or importer to sell, ship, transport, or cause to be sold,
             4240      shipped, or transported beer directly or indirectly to a person in this state except to the extent
             4241      authorized by this title to:
             4242          (i) a beer wholesaler licensee;
             4243          (ii) a military installation; or
             4244          (iii) a holder of a special use permit, to the extent authorized in the special use permit.
             4245          (b) Subsection (5)(a) does not preclude:
             4246          (i) a small brewer who is a brewery manufacturing licensee located in this state from
             4247      selling, shipping, and transporting beer to the extent authorized by Subsection 32B-11-503 (5)
             4248      directly to one of the following in this state:
             4249          (A) a beer retailer; or
             4250          (B) an event permittee; or
             4251          (ii) a brewery manufacturing licensee from selling beer to a person on its
             4252      manufacturing premises under Subsection 32B-11-503 (4)(c).
             4253          (6) It is unlawful for a person other than a person described in Subsection (2) or (3) to
             4254      sell, ship, transport, or cause to be sold, shipped, or transported an alcoholic product from an
             4255      out-of-state location directly or indirectly into this state, except as otherwise provided by this
             4256      title.
             4257          (7) It is unlawful for a person in this state other than a person described in Subsection


             4258      (4) or (5) to sell, ship, transport, or cause to be sold, shipped, or transported an alcoholic
             4259      product directly or indirectly to another person in this state, except as otherwise provided by
             4260      this title.
             4261          (8) (a) A violation of Subsection (1) is a class B misdemeanor, except when otherwise
             4262      provided by this title.
             4263          (b) A violation of Subsection (2), (3), (4), or (5) is a third degree felony.
             4264          (c) A violation of Subsection (6) or (7) is a class B misdemeanor.
             4265          Section 106. Section 32B-4-402 is enacted to read:
             4266          32B-4-402. Unauthorized sale, offer for sale, or furnishing.
             4267          A person authorized by this title to sell an alcoholic product and staff of that person
             4268      may not sell, offer for sale, or furnish, an alcoholic product in any place, or at any day or time
             4269      other than as authorized by this title or the rules of the commission.
             4270          Section 107. Section 32B-4-403 is enacted to read:
             4271          32B-4-403. Unlawful sale, offer for sale, or furnishing to minor.
             4272          (1) A person may not sell, offer for sale, or furnish an alcoholic product to a minor.
             4273          (2) (a) (i) Except as provided in Subsection (3), a person is guilty of a class B
             4274      misdemeanor if the person who violates Subsection (1) negligently or recklessly fails to
             4275      determine whether the recipient of the alcoholic product is a minor.
             4276          (ii) As used in this Subsection (2)(a), "negligently" means with simple negligence.
             4277          (b) Except as provided in Subsection (3), a person is guilty of a class A misdemeanor
             4278      if the person who violates Subsection (1) knows the recipient of the alcoholic product is a
             4279      minor.
             4280          (3) This section does not apply to the furnishing of an alcoholic product to a minor in
             4281      accordance with this title:
             4282          (a) for medicinal purposes by:
             4283          (i) the parent or guardian of the minor; or
             4284          (ii) the health care practitioner of the minor, if the health care practitioner is
             4285      authorized by law to write a prescription; or


             4286          (b) as part of a religious organization's religious services.
             4287          Section 108. Section 32B-4-404 is enacted to read:
             4288          32B-4-404. Unlawful sale, offer for sale, or furnishing to intoxicated person.
             4289          (1) A person may not sell, offer for sale, or furnish an alcoholic product to:
             4290          (a) a person who is actually or apparently intoxicated; or
             4291          (b) a person whom the person furnishing the alcoholic product knows or should know
             4292      from the circumstances is actually or apparently intoxicated.
             4293          (2) (a) A person who negligently or recklessly violates Subsection (1) is guilty of a
             4294      class B misdemeanor.
             4295          (b) A person who knowingly violates Subsection (1) is guilty of a class A
             4296      misdemeanor.
             4297          (3) As used in Subsection (2)(a), "negligently" means with simple negligence.
             4298          Section 109. Section 32B-4-405 is enacted to read:
             4299          32B-4-405. Unlawful sale, offer for sale, or furnishing to interdicted person.
             4300          (1) A person may not sell, offer for sale, or furnish an alcoholic product to a known
             4301      interdicted person.
             4302          (2) This section does not apply to the sale, offer for sale, or furnishing of an alcoholic
             4303      product to an interdicted person:
             4304          (a) under an order of a health care practitioner who is authorized by law to write a
             4305      prescription; or
             4306          (b) administered by a hospital or health care practitioner authorized by law to
             4307      administer the alcoholic product for medicinal purposes.
             4308          Section 110. Section 32B-4-406 is enacted to read:
             4309          32B-4-406. Unlawful sale, offer for sale, or furnishing of beer.
             4310          (1) Except as provided in Subsection (2):
             4311          (a) a person may not sell, offer for sale, or furnish beer to the general public in a
             4312      package that exceeds two liters; and
             4313          (b) a person may not purchase or possess beer in a package that exceeds two liters.


             4314          (2) (a) A retail licensee may sell, offer for sale, or furnish beer on draft subject to the
             4315      requirements of Section 32B-5-304 .
             4316          (b) A retail licensee may purchase or possess beer in a package that exceeds two liters
             4317      to be dispensed on draft for consumption subject to the requirements of Section 32B-5-304 .
             4318          (c) A beer wholesaler licensee may sell, offer for sale, or furnish beer in a package that
             4319      exceeds two liters to a retail licensee described in Subsection (2)(a).
             4320          Section 111. Section 32B-4-407 is enacted to read:
             4321          32B-4-407. Unlawful sale, offer for sale, or furnishing during emergency.
             4322          During a period of emergency proclaimed by the governor to exist in an area of the
             4323      state, it is unlawful for a person to sell, offer for sale, or furnish an alcoholic product in that
             4324      area if the director publicly announces and directs that in that area a person may not sell, offer
             4325      for sale, or furnish an alcoholic product in that area during the period of emergency.
             4326          Section 112. Section 32B-4-408 is enacted to read:
             4327          32B-4-408. Unlawful purchase or acceptance.
             4328          (1) It is unlawful for a person or the person's staff to purchase, take, or accept an
             4329      alcoholic product from another person, except as provided by this title or the rules of the
             4330      commission adopted under this title.
             4331          (2) An act is unlawful under Subsection (1) if it is taken:
             4332          (a) directly or indirectly; or
             4333          (b) upon a pretense or device.
             4334          Section 113. Section 32B-4-409 is enacted to read:
             4335          32B-4-409. Unlawful purchase, possession, consumption by minor -- Measurable
             4336      amounts in body.
             4337          (1) Unless specifically authorized by this title, it is unlawful for a minor to:
             4338          (a) purchase an alcoholic product;
             4339          (b) attempt to purchase an alcoholic product;
             4340          (c) solicit another person to purchase an alcoholic product;
             4341          (d) possess an alcoholic product;


             4342          (e) consume an alcoholic product; or
             4343          (f) have measurable blood, breath, or urine alcohol concentration in the minor's body.
             4344          (2) It is unlawful for the purpose of purchasing or otherwise obtaining an alcoholic
             4345      product for a minor for:
             4346          (a) a minor to misrepresent the minor's age; or
             4347          (b) any other person to misrepresent the age of a minor.
             4348          (3) It is unlawful for a minor to possess or consume an alcoholic product while riding
             4349      in a limousine or chartered bus.
             4350          (4) If a minor is found by a court to have violated this section and the violation is the
             4351      minor's second or subsequent violation of this section, the court:
             4352          (a) shall order the minor to participate in an educational series as defined in Section
             4353      41-6a-501 ; and
             4354          (b) may order the minor to participate in a screening as defined in Section 41-6a-501 .
             4355          (5) (a) When a minor who is at least 18 years old, but younger than 21 years old, is
             4356      found by a court to have violated this section, except as provided in Section 32B-4-411 , the
             4357      court hearing the case shall suspend the minor's driving privileges under Section 53-3-219 .
             4358          (b) Notwithstanding the provision in Subsection (5)(a), the court may reduce the
             4359      suspension period required under Section 53-3-219 if:
             4360          (i) the violation is the minor's first violation of this section; and
             4361          (ii) the minor completes an educational series as defined in Section 41-6a-501 .
             4362          (6) When a minor who is at least 13 years old, but younger than 18 years old, is found
             4363      by the court to have violated this section, Section 78A-6-606 applies to the violation.
             4364          (7) When a court issues an order suspending a person's driving privileges for a
             4365      violation of this section, the Driver License Division shall suspend the person's license under
             4366      Section 53-3-219 .
             4367          (8) When the Department of Public Safety receives the arrest or conviction record of a
             4368      person for a driving offense committed while the person's license is suspended pursuant to this
             4369      section, the Department of Public Safety shall extend the suspension for an additional like


             4370      period of time.
             4371          (9) This section does not apply to a minor's consumption of an alcoholic product in
             4372      accordance with this title:
             4373          (a) for medicinal purposes if:
             4374          (i) the minor is at least 18 years old; or
             4375          (ii) the alcoholic product is furnished by:
             4376          (A) the parent or guardian of the minor; or
             4377          (B) the minor's health care practitioner, if the health care practitioner is authorized by
             4378      law to write a prescription; or
             4379          (b) as part of a religious organization's religious services.
             4380          Section 114. Section 32B-4-410 is enacted to read:
             4381          32B-4-410. Unlawful admittance or attempt to gain admittance by minor.
             4382          (1) It is unlawful for a minor to gain admittance or attempt to gain admittance to the
             4383      premises of:
             4384          (a) a tavern; or
             4385          (b) a social club licensee, except to the extent authorized by Section 32B-6-406.1 .
             4386          (2) A minor who violates this section is guilty of a class C misdemeanor.
             4387          (3) If a minor is found by a court to have violated this section and the violation is the
             4388      minor's second or subsequent violation of this section, the court:
             4389          (a) shall order the minor to participate in an educational series as defined in Section
             4390      41-6a-501 ; and
             4391          (b) may order the minor to participate in a screening as defined in Section 41-6a-501 .
             4392          (4) (a) When a minor who is at least 18 years old, but younger than 21 years old, is
             4393      found by a court to have violated this section, except as provided in Section 32B-4-411 , the
             4394      court hearing the case shall suspend the minor's driving privileges under Section 53-3-219 .
             4395          (b) Notwithstanding the provision in Subsection (4)(a), the court may reduce the
             4396      suspension period required under Section 53-3-219 if:
             4397          (i) the violation is the minor's first violation of this section; and


             4398          (ii) the minor completes an educational series as defined in Section 41-6a-501 .
             4399          (5) When a minor who is at least 13 years old, but younger than 18 years old, is found
             4400      by a court to have violated this section, Section 78A-6-606 applies to the violation.
             4401          (6) When a court issues an order suspending a person's driving privileges for a
             4402      violation of this section, the Driver License Division shall suspend the person's license under
             4403      Section 53-3-219 .
             4404          (7) When the Department of Public Safety receives the arrest or conviction record of a
             4405      person for a driving offense committed while the person's license is suspended pursuant to this
             4406      section, the Department of Public Safety shall extend the suspension for an additional like
             4407      period of time.
             4408          Section 115. Section 32B-4-411 is enacted to read:
             4409          32B-4-411. Minor's unlawful use of proof of age.
             4410          (1) As used in this section, "proof of age violation" means a violation by a minor of:
             4411          (a) Chapter 1, Part 4, Proof of Age Act; or
             4412          (b) if as part of the violation the minor uses a proof of age in violation of Chapter 1,
             4413      Part 4, Proof of Age Act:
             4414          (i) Section 32B-4-409 ; or
             4415          (ii) Section 32B-4-410 .
             4416          (2) If a court finds a minor engaged in a proof of age violation, notwithstanding the
             4417      penalties provided for in Subsection (1):
             4418          (a) (i) for a first violation, the minor is guilty of a class B misdemeanor;
             4419          (ii) for a second violation, the minor is guilty of a class A misdemeanor; and
             4420          (iii) for a third or subsequent violation, the minor is guilty of a class A misdemeanor,
             4421      except that the court may impose:
             4422          (A) a fine of up to $5,000;
             4423          (B) screening, assessment, or substance abuse treatment, as defined in Section
             4424      41-6a-501 ;
             4425          (C) an educational series, as defined in Section 41-6a-501 ;


             4426          (D) alcoholic product related community service or compensatory service work
             4427      program hours;
             4428          (E) fees for restitution and treatment costs;
             4429          (F) defensive driver education courses; or
             4430          (G) a combination of these penalties; and
             4431          (b) (i) for a minor who is at least 13 years old, but younger than 18 years old:
             4432          (A) the court shall forward to the Driver License Division a record of an adjudication
             4433      under Title 78A, Chapter 6, Juvenile Court Act of 1996, for a violation under this section; and
             4434          (B) the provisions regarding suspension of a driver license under Section 78A-6-606
             4435      apply; and
             4436          (ii) for a minor who is at least 18 years old, but younger than 21 years old:
             4437          (A) the court shall forward to the Driver License Division a record of conviction for a
             4438      violation under this section; and
             4439          (B) the Driver License Division shall suspend the person's license under Section
             4440      53-3-220 .
             4441          (3) When the Department of Public Safety receives the arrest or conviction record of
             4442      an individual for a driving offense committed while the individual's license is suspended
             4443      pursuant to this section, the Department of Public Safety shall extend the suspension for an
             4444      additional like period of time.
             4445          (4) A court may not fail to enter a judgment of conviction under this section under a
             4446      plea in abeyance agreement.
             4447          Section 116. Section 32B-4-412 is enacted to read:
             4448          32B-4-412. Unlawful purchase by intoxicated person.
             4449          A person may not purchase an alcoholic product if the person is intoxicated.
             4450          Section 117. Section 32B-4-413 is enacted to read:
             4451          32B-4-413. Unlawful purchase by interdicted person.
             4452          A person may not purchase or possess an alcoholic product if that person is an
             4453      interdicted person, except:


             4454          (1) under an order of a health care practitioner who is authorized by law to write a
             4455      prescription; or
             4456          (2) when administered by a hospital or health care practitioner authorized by law to
             4457      administer the alcoholic product for medicinal purposes.
             4458          Section 118. Section 32B-4-414 is enacted to read:
             4459          32B-4-414. Unlawful possession -- Exceptions.
             4460          (1) A person may not possess liquor within this state unless authorized by this title or
             4461      the rules of the commission, except that:
             4462          (a) a person who clears United States Customs when entering this country may possess
             4463      for personal consumption and not for sale or resale, a maximum of two liters of liquor
             4464      purchased from without the United States;
             4465          (b) a person who moves the person's residence to this state from outside of this state
             4466      may possess for personal consumption and not for sale or resale, liquor previously purchased
             4467      outside the state and brought into this state during the move, if the person:
             4468          (i) obtains department approval before moving the liquor into the state; and
             4469          (ii) pays the department a reasonable administrative handling fee as determined by the
             4470      commission;
             4471          (c) a person who inherits liquor as a beneficiary of an estate that is located outside the
             4472      state, may possess the liquor and transport or cause the liquor to be transported into the state if
             4473      the person:
             4474          (i) obtains department approval before moving the liquor into the state;
             4475          (ii) provides sufficient documentation to the department to establish the person's legal
             4476      right to the liquor as a beneficiary; and
             4477          (iii) pays the department a reasonable administrative handling fee as determined by
             4478      the commission; or
             4479          (d) a person may transport or possess liquor if:
             4480          (i) the person transports or possesses the liquor:
             4481          (A) for personal household use and consumption; and


             4482          (B) not for:
             4483          (I) sale;
             4484          (II) resale;
             4485          (III) gifting to another; or
             4486          (IV) consumption on premises licensed by the commission;
             4487          (ii) the liquor is purchased from a store or facility on a military installation; and
             4488          (iii) the maximum amount the person transports or possesses under this Subsection
             4489      (1)(d) is:
             4490          (A) two liters of:
             4491          (I) spirituous liquor;
             4492          (II) wine; or
             4493          (III) a combination of spirituous liquor and wine; and
             4494          (B) (I) one case of heavy beer that does not exceed 288 ounces; or
             4495          (II) one case of a flavored malt beverage that does not exceed 288 ounces.
             4496          (2) (a) Approval under Subsection (1)(b) may be obtained by a person who:
             4497          (i) is transferring the person's permanent residence to this state; or
             4498          (ii) maintains separate residences both in and out of this state.
             4499          (b) A person may not obtain approval to transfer liquor under Subsection (1)(b) more
             4500      than one time.
             4501          Section 119. Section 32B-4-415 is enacted to read:
             4502          32B-4-415. Unlawful bringing onto premises for consumption.
             4503          (1) Except as provided in Subsection (4), a person may not bring an alcoholic product
             4504      for on-premise consumption onto the premises of:
             4505          (a) a retail licensee or person required to be licensed under this title as a retail licensee;
             4506          (b) an establishment that conducts a business similar to a retail licensee;
             4507          (c) an event where an alcoholic product is sold, offered for sale, or furnished under a
             4508      single event permit or temporary beer event permit issued under this title; or
             4509          (d) an establishment open to the general public.


             4510          (2) Except as provided in Subsection (4), the following may not allow a person to
             4511      bring onto its premises an alcoholic product for on-premise consumption or allow
             4512      consumption of an alcoholic product brought onto its premises in violation of this section:
             4513          (a) a retail licensee or a person required to be licensed under this title as a retail
             4514      licensee;
             4515          (b) an establishment that conducts a business similar to a retail licensee;
             4516          (c) a single event permittee or temporary beer event permittee;
             4517          (d) an establishment open to the general public; or
             4518          (e) staff of a person listed in Subsections (2)(a) through (d).
             4519          (3) Except as provided in Subsection (4)(c)(i)(A), a person may not consume an
             4520      alcoholic product in a limousine or chartered bus if the limousine or chartered bus drops off a
             4521      passenger at a location from which the passenger departs in a private vehicle.
             4522          (4) (a) A person may bring bottled wine onto the premises of the following and
             4523      consume the wine pursuant to Subsection 32B-5-307 :
             4524          (i) a full-service restaurant licensee;
             4525          (ii) a limited restaurant licensee;
             4526          (iii) a club licensee; or
             4527          (iv) a person operating under a resort spa sublicense.
             4528          (b) A passenger of a limousine may bring onto, possess, and consume an alcoholic
             4529      product on the limousine if:
             4530          (i) the travel of the limousine begins and ends at:
             4531          (A) the residence of the passenger;
             4532          (B) the hotel of the passenger, if the passenger is a registered guest of the hotel; or
             4533          (C) the temporary domicile of the passenger; and
             4534          (ii) the driver of the limousine is separated from the passengers by partition or other
             4535      means approved by the department.
             4536          (c) A passenger of a chartered bus may bring onto, possess, and consume an alcoholic
             4537      product on the chartered bus:


             4538          (i) (A) but may consume only during travel to a specified destination of the chartered
             4539      bus and not during travel back to the place where the travel begins; or
             4540          (B) if the travel of the chartered bus begins and ends at:
             4541          (I) the residence of the passenger;
             4542          (II) the hotel of the passenger, if the passenger is a registered guest of the hotel; or
             4543          (III) the temporary domicile of the passenger; and
             4544          (ii) if the chartered bus has a nondrinking designee other than the driver traveling on
             4545      the chartered bus to monitor consumption.
             4546          (5) A person may bring onto any premises, possess, and consume an alcoholic product
             4547      at a private event.
             4548          (6) The restrictions of Subsections (2) and (3) apply to a resort licensee or person
             4549      operating under a sublicense in relationship to:
             4550          (a) the boundary of a resort building; or
             4551          (b) a sublicense premises.
             4552          Section 120. Section 32B-4-416 is enacted to read:
             4553          32B-4-416. Unlawful permitting of consumption by minor.
             4554          (1) A person may not permit a minor to consume an alcoholic product in a chartered
             4555      bus or limousine of which the person is the owner or operator.
             4556          (2) A violation of Subsection (1) is an infraction.
             4557          Section 121. Section 32B-4-417 is enacted to read:
             4558          32B-4-417. Unlawful possession by licensee or permittee.
             4559          Except as authorized by Section 32B-4-415 , other provisions of this title, or the rules
             4560      of the commission, a licensee or permittee may not possess, store, or allow consumption of
             4561      liquor on its premises if the liquor is not purchased from:
             4562          (1) the department;
             4563          (2) a state store; or
             4564          (3) a package agency.
             4565          Section 122. Section 32B-4-418 is enacted to read:


             4566          32B-4-418. Unlawful storage.
             4567          It is unlawful for a person to store liquor on premises for which the person is
             4568      authorized to sell beer for on-premise consumption, but for which the person is not licensed
             4569      under this title to sell liquor.
             4570          Section 123. Section 32B-4-419 is enacted to read:
             4571          32B-4-419. Unlawful permitting of intoxication.
             4572          (1) A person may not permit another person to become intoxicated or an intoxicated
             4573      person to consume an alcoholic product in:
             4574          (a) premises of which the person is the owner, tenant, or occupant; or
             4575          (b) a chartered bus or limousine of which the person is the owner or operator.
             4576          (2) A violation of Subsection (1) is a class C misdemeanor.
             4577          Section 124. Section 32B-4-420 is enacted to read:
             4578          32B-4-420. Unlawful adulteration.
             4579          (1) For purposes of this section, "tamper" means to do one or more of the following to
             4580      the contents of a package:
             4581          (a) fortify;
             4582          (b) adulterate;
             4583          (c) contaminate;
             4584          (d) dilute;
             4585          (e) change its character or purity; or
             4586          (f) otherwise change.
             4587          (2) A person may not, for any purpose, mix or allow to be mixed with an alcoholic
             4588      product sold or supplied by the person as a beverage any of the following:
             4589          (a) a drug;
             4590          (b) methylic alcohol;
             4591          (c) a crude, unrectified, or impure form of ethylic alcohol; or
             4592          (d) another deleterious substance.
             4593          (3) (a) The following may not engage in an act listed in Subsection (3)(b):


             4594          (i) a package agent;
             4595          (ii) a retail licensee;
             4596          (iii) a permittee;
             4597          (iv) a beer wholesaler licensee;
             4598          (v) a liquor warehouser licensee;
             4599          (vi) a supplier; or
             4600          (vii) an importer.
             4601          (b) A person listed in Subsection (3)(a) may not:
             4602          (i) tamper with the contents of a package of alcoholic product as originally marketed
             4603      by a manufacturer;
             4604          (ii) refill or partly refill with any substance the contents of an original package of
             4605      alcoholic product as originally marketed by a manufacturer;
             4606          (iii) misrepresent the brand of an alcoholic product sold or offered for sale; or
             4607          (iv) sell or furnish a brand of alcoholic product that is not the same as that ordered by
             4608      a purchaser without first advising the purchaser of the difference.
             4609          Section 125. Section 32B-4-421 is enacted to read:
             4610          32B-4-421. Unlawful consumption in public place.
             4611          (1) A person may not consume liquor in a public building, park, or stadium, except as
             4612      provided by this title.
             4613          (2) A violation of this section is a class C misdemeanor.
             4614          Section 126. Section 32B-4-422 is enacted to read:
             4615          32B-4-422. Unlawful dispensing.
             4616          (1) For purposes of this section:
             4617          (a) "Primary spirituous liquor" means the main distilled spirit in a beverage.
             4618          (b) "Primary spirituous liquor" does not include a secondary alcoholic product used as
             4619      a flavoring in conjunction with the primary distilled spirit in a beverage.
             4620          (2) A retail licensee licensed under this title to sell, offer for sale, or furnish spirituous
             4621      liquor for consumption on the licensed premises, or staff of the retail licensee may not:


             4622          (a) sell, offer for sale, or furnish a primary spirituous liquor to a person on the licensed
             4623      premises except in a quantity that does not exceed 1.5 ounces per beverage dispensed through
             4624      a calibrated metered dispensing system approved by the department;
             4625          (b) sell, offer for sale, or furnish more than a total of 2.5 ounces of spirituous liquor
             4626      per beverage;
             4627          (c) allow a person on the licensed premises to have more than a total of 2.5 ounces of
             4628      spirituous liquor at a time; or
             4629          (d) (i) except as provided in Subsection (2)(d)(ii), allow a person to have more than
             4630      two spirituous liquor beverages at a time; or
             4631          (ii) allow a person on the premises of the following to have more than one spirituous
             4632      liquor beverage at a time:
             4633          (A) a full-service restaurant licensee;
             4634          (B) a person operating under a full-service restaurant sublicense;
             4635          (C) an on-premise banquet licensee;
             4636          (D) a person operating under an on-premise banquet license; or
             4637          (E) a single event permittee.
             4638          (3) A violation of this section is a class C misdemeanor.
             4639          Section 127. Section 32B-4-501 is enacted to read:
             4640     
Part 5. Operations

             4641          32B-4-501. Operating without a license or permit.
             4642          (1) A person may not operate the following businesses without first obtaining a license
             4643      under this title if the business allows a person to purchase or consume an alcoholic product on
             4644      the premises of the business:
             4645          (a) a restaurant;
             4646          (b) an airport lounge;
             4647          (c) a business operated in the same manner as a club licensee;
             4648          (d) a resort;
             4649          (e) a business operated to sell, offer for sale, or furnish beer for on-premise


             4650      consumption;
             4651          (f) a business operated as an on-premise banquet licensee; or
             4652          (g) a business similar to one listed in Subsections (1)(a) through (f).
             4653          (2) A person conducting an event that is open to the general public may not directly or
             4654      indirectly sell, offer for sale, or furnish an alcoholic product to a person attending the event
             4655      without first obtaining an event permit under this title.
             4656          (3) A person conducting a private event may not directly or indirectly sell or offer for
             4657      sale an alcoholic product to a person attending the private event without first obtaining an
             4658      event permit under this title.
             4659          (4) A person may not operate the following businesses in this state without first
             4660      obtaining a license under this title:
             4661          (a) a winery manufacturer;
             4662          (b) a distillery manufacturer;
             4663          (c) a brewery manufacturer;
             4664          (d) a local industry representative of:
             4665          (i) a manufacturer of an alcoholic product;
             4666          (ii) a supplier of an alcoholic product; or
             4667          (iii) an importer of an alcoholic product;
             4668          (e) a liquor warehouser; or
             4669          (f) a beer wholesaler.
             4670          (5) A person may not operate a public conveyance in this state without first obtaining
             4671      a public service permit under this title if that public conveyance allows a person to purchase or
             4672      consume an alcoholic product:
             4673          (a) on the public conveyance; or
             4674          (b) on the premises of a hospitality room located within a depot, terminal, or similar
             4675      facility at which a service is provided to a patron of the public conveyance.
             4676          Section 128. Section 32B-4-502 is enacted to read:
             4677          32B-4-502. Storing or possessing pursuant to federal stamp.


             4678          (1) Except as otherwise provided by this title, it is unlawful for a person who holds a
             4679      stamp issued by the Bureau of Internal Revenue of the United States as a retail dealer in
             4680      fermented malt liquor, or the person's operator or staff, to possess, hold, or store liquor in or on
             4681      premises described in the stamp while the stamp remains in effect unless that person is:
             4682          (a) acting for the commission; or
             4683          (b) licensed under this title.
             4684          (2) This section may not be construed to prevent a person from possessing and
             4685      consuming, but not storing, liquor on premises described by the fermented malt liquor stamp,
             4686      if that person is not:
             4687          (a) an owner or operator of a retail dealer described in Subsection (1); or
             4688          (b) a staff member of either the owner or operator.
             4689          Section 129. Section 32B-4-503 is enacted to read:
             4690          32B-4-503. Tampering with a record.
             4691          (1) It is unlawful for a person who has custody of a record required to be filed or
             4692      deposited with the commission or the department under this title to:
             4693          (a) steal, falsify, alter, willfully destroy, mutilate, deface, remove, or conceal in whole
             4694      or in part that record; or
             4695          (b) knowingly permit another person to take an action described in Subsection (1)(a).
             4696          (2) (a) Except as provided in Subsection (2)(b), a person is guilty of a class B
             4697      misdemeanor.
             4698          (b) A person who violates Subsection (1) is guilty of a third degree felony if that
             4699      person is a commissioner, the director, or a department employee.
             4700          Section 130. Section 32B-4-504 is enacted to read:
             4701          32B-4-504. Making false statements.
             4702          (1) (a) A person who makes a false material statement under oath or affirmation in an
             4703      official proceeding before the commission or the department is guilty of a second degree
             4704      felony.
             4705          (b) As used in Subsection (1)(a), "material" statement is as defined in Section


             4706      76-8-501 .
             4707          (2) A person is guilty of a class B misdemeanor if that person knowingly:
             4708          (a) makes a false statement under oath or affirmation in an official proceeding before
             4709      the commission or the department;
             4710          (b) makes a false statement with a purpose to mislead a public servant in performing
             4711      that public servant's official functions under this title;
             4712          (c) makes a false statement and the statement is required by this title to be sworn or
             4713      affirmed before a notary or other person authorized to administer oaths;
             4714          (d) makes a false written statement on or pursuant to a record required by this title;
             4715          (e) creates a false impression in a record required by this title by omitting information
             4716      necessary to prevent a statement in them from being misleading;
             4717          (f) makes a false written statement with intent to deceive a public servant in the
             4718      performance of that public servant's official functions under this title; or
             4719          (g) submits or invites reliance on a record required under this title which that person
             4720      knows to lack authenticity.
             4721          (3) A person is not guilty under Subsection (2) if that person retracts the falsification
             4722      before it becomes apparent that the falsification is or will be exposed.
             4723          Section 131. Section 32B-4-505 is enacted to read:
             4724          32B-4-505. Obstructing a search, official proceeding, or investigation.
             4725          (1) A person who is in the premises or has charge over premises may not refuse or fail
             4726      to admit to the premises or obstruct the entry of any of the following who demands entry when
             4727      acting under this title:
             4728          (a) a commissioner;
             4729          (b) an authorized representative of the commission or department; or
             4730          (c) a law enforcement officer.
             4731          (2) A person who is in the premises or has charge of the premises may not interfere
             4732      with any of the following who is conducting an investigation under this title at the premises:
             4733          (a) a commissioner;


             4734          (b) an authorized representative of the commission or department; or
             4735          (c) a law enforcement officer.
             4736          (3) A person is guilty of a second degree felony if, believing that an official
             4737      proceeding or investigation is pending or about to be instituted under this title, that person:
             4738          (a) alters, destroys, conceals, or removes a record with a purpose to impair its verity or
             4739      availability in the proceeding or investigation; or
             4740          (b) makes, presents, or uses anything that the person knows to be false with a purpose
             4741      to deceive any of the following who may be engaged in a proceeding or investigation under
             4742      this title:
             4743          (i) a commissioner;
             4744          (ii) an authorized representative of the commission or department;
             4745          (iii) a law enforcement officer; or
             4746          (iv) other person.
             4747          Section 132. Section 32B-4-506 is enacted to read:
             4748          32B-4-506. Conflicting interests.
             4749          (1) A commissioner, the director, or a department employee may not be directly or
             4750      indirectly interested or engaged in another business or undertaking dealing in an alcoholic
             4751      product:
             4752          (a) as:
             4753          (i) an owner;
             4754          (ii) a part-owner;
             4755          (iii) a partner;
             4756          (iv) a member of a syndicate;
             4757          (v) a shareholder;
             4758          (vi) an agent; or
             4759          (vii) an employee; or
             4760          (b) (i) for the commissioner's, director's, or department employee's own benefit; or
             4761          (ii) in a fiduciary capacity for another person.


             4762          (2) A commissioner, the director, or a department employee may not enter into or
             4763      participate in a business transaction with staff of a supplier of an alcoholic product to the
             4764      department as:
             4765          (a) a partner;
             4766          (b) a co-owner;
             4767          (c) a joint venturer; or
             4768          (d) a shareholder.
             4769          (3) The following are governed by Title 67, Chapter 16, Utah Public Officers' and
             4770      Employees' Ethics Act:
             4771          (a) a commissioner;
             4772          (b) the director; or
             4773          (c) a department employee.
             4774          (4) This section does not prevent the purchase of an alcoholic product as authorized by
             4775      this title by a commissioner, the director, or a department employee.
             4776          Section 133. Section 32B-4-507 is enacted to read:
             4777          32B-4-507. Interfering with manufacturer, supplier, or importer.
             4778          (1) Except as provided in Subsection (2), a commissioner, the director, or a
             4779      department employee may not directly or indirectly participate in any manner, by
             4780      recommendation or otherwise, in the appointment, employment, or termination of appointment
             4781      or employment of staff by:
             4782          (a) a manufacturer of liquor;
             4783          (b) a supplier of liquor; or
             4784          (c) an importer of liquor to the department.
             4785          (2) A person described in Subsection (1) may participate in the appointment,
             4786      employment, or termination of appointment or employment to:
             4787          (a) determine qualifications for licensing in accordance with Chapter 11,
             4788      Manufacturing and Related Licenses Act; or
             4789          (b) enforce compliance with this title.


             4790          Section 134. Section 32B-4-508 is enacted to read:
             4791          32B-4-508. Offering or soliciting bribe, gift, or profits.
             4792          (1) If a person sold, sells, offered for sale, or offers to sell an alcoholic product to the
             4793      commission or department, that person may not offer, make, tender, or in any way deliver or
             4794      transfer to a commissioner, the director, a department employee, or a law enforcement officer
             4795      responsible for the enforcement of this title the following:
             4796          (a) a bribe;
             4797          (b) a gift, as defined in Section 67-16-5 ; or
             4798          (c) a share of profits.
             4799          (2) A commissioner, the director, a department employee, or a law enforcement officer
             4800      responsible for the enforcement of this title may not knowingly solicit, receive, accept, take, or
             4801      seek, directly or indirectly, any of the following from a person who sold, sells, offered for sale,
             4802      or offers to sell an alcoholic product:
             4803          (a) a commission;
             4804          (b) compensation, as defined in Section 67-16-3 ;
             4805          (c) a gift, as defined in Section 67-16-5 ; or
             4806          (d) a loan.
             4807          (3) A violation of this section is punishable under Section 67-16-12 .
             4808          Section 135. Section 32B-4-509 is enacted to read:
             4809          32B-4-509. Forgery.
             4810          (1) (a) A person who with a purpose to defraud the commission or the department, or
             4811      who with knowledge that the person is facilitating a fraud to be perpetrated by anyone, forges
             4812      a record required under this title, is guilty of forgery as provided under Section 76-6-501 .
             4813          (b) A violation of Subsection (1)(a) is a second degree felony.
             4814          (2) A person who with intent to defraud the commission or the department knowingly
             4815      possesses a record that is a forgery as defined in Section 76-6-501 is guilty of a third degree
             4816      felony.
             4817          Section 136. Section 32B-4-510 is enacted to read:


             4818          32B-4-510. Advertising prohibited -- Exceptions.
             4819          (1) (a) The department may not advertise liquor, except:
             4820          (i) the department may provide for an appropriate sign in the window or on the front
             4821      of a state store or package agency denoting that it is a state authorized liquor retail facility;
             4822          (ii) the department or a package agency may provide printed price lists to the public;
             4823          (iii) the department may authorize the use of price posting and floor stacking of liquor
             4824      within a state store;
             4825          (iv) subject to Subsection (1)(b), the department may provide a listing of the address
             4826      and telephone number of a state store in one or more printed or electronic directories available
             4827      to the general public; and
             4828          (v) subject to Subsection (1)(b), a package agency may provide a listing of its address
             4829      and telephone number in one or more printed or electronic directories available to the general
             4830      public.
             4831          (b) A listing under Subsection (1)(a)(iv) or (v) in the business or yellow pages of a
             4832      telephone directory may not be displayed in an advertisement or other promotional format.
             4833          (2) (a) The department may not advertise an alcoholic product on a billboard.
             4834          (b) A package agency may not advertise an alcoholic product on a billboard, except to
             4835      the extent allowed by the commission by rule.
             4836          (3) (a) The department may not display liquor or price lists in a window or showcase
             4837      visible to passersby.
             4838          (b) A package agency may not display liquor or price lists in a window or showcase
             4839      visible to passersby, except to the extent allowed by the commission by rule.
             4840          (4) Except to the extent prohibited by this title, the advertising of an alcoholic product
             4841      is allowed under guidelines established by the commission by rule.
             4842          (5) The advertising or use of any means or media to offer an alcoholic product to the
             4843      general public without charge is prohibited.
             4844          Section 137. Section 32B-4-601 is enacted to read:
             4845     
Part 6. Transportation and Distribution


             4846          32B-4-601. Unlawful removal from conveyance or diversion of shipment.
             4847          (1) It is unlawful for a person transporting an alcoholic product, including a motor
             4848      carrier, in interstate or other commerce intended for, or consigned to, or claimed to be
             4849      intended for or consigned to a person outside of this state, to remove or to permit a person to
             4850      remove the alcoholic product or any part of the alcoholic product from the conveyance in
             4851      which it is carried while within this state.
             4852          (2) Notwithstanding Subsection (1), removal of an alcoholic product from a
             4853      conveyance may be allowed if the person described in Subsection (1) notifies the department
             4854      in writing at least 24 hours before the intended removal and complies with the instructions
             4855      given by the department.
             4856          (3) It is unlawful for a person to receive for storage or another purpose, or to possess
             4857      an alcoholic product, that is removed from a vehicle or other conveyance in violation of this
             4858      section.
             4859          (4) It is unlawful for a person, including a motor vehicle, to divert to any place within
             4860      this state, or to deliver to any person in this state, an alcoholic product that is consigned for
             4861      shipment to any place without this state, unless the person:
             4862          (a) first notifies the department in writing at least 24 hours before the intended
             4863      diversion or delivery; and
             4864          (b) complies with the instructions given by the department.
             4865          (5) Upon receiving a notice under Subsection (2) or (4), the department shall take
             4866      precautions as necessary to ensure compliance with the laws of this state relating to an
             4867      alcoholic product.
             4868          Section 138. Section 32B-4-602 is enacted to read:
             4869          32B-4-602. Unlawful transportation.
             4870          (1) It is unlawful for a person, including a motor carrier, or staff of the person to order
             4871      or purchase an alcoholic product or to cause an alcoholic product to be shipped, carried, or
             4872      transported into this state, or from one place to another within this state except as otherwise
             4873      authorized by this title.


             4874          (2) This section does not prohibit a person, including a motor carrier, from:
             4875          (a) transporting an alcoholic product in the course of export from the state; or
             4876          (b) transporting an alcoholic product across any part of this state while in transit
             4877      pursuant to a bona fide consignment of the alcoholic product to a person outside of this state.
             4878          Section 139. Section 32B-4-603 is enacted to read:
             4879          32B-4-603. Carriers' records.
             4880          (1) (a) A person, including a motor carrier, transporting an alcoholic product into or
             4881      within this state shall make and maintain a record in which is entered, immediately on the
             4882      receipt of an alcoholic product:
             4883          (i) the name of every person to whom the alcoholic product is consigned;
             4884          (ii) the amount and kind of alcoholic product received; and
             4885          (iii) the date when the alcoholic product is delivered.
             4886          (b) (i) Except as provided in Subsection (1)(b)(ii), a consignee shall sign the
             4887      consignee's name.
             4888          (ii) If the consignee is a corporation, partnership, or limited liability company, an
             4889      agent authorized in writing shall sign the record described in Subsection (1)(a).
             4890          (2) A person described in Subsection (1) shall make the record open to inspection by
             4891      an authorized official of the state or local authority at any time during the person's business
             4892      hours.
             4893          (3) A record under this section constitutes prima facie evidence of the facts stated in
             4894      the record and is admissible as evidence in a court proceeding to enforce this title.
             4895          Section 140. Section 32B-4-701 is enacted to read:
             4896     
Part 7. Trade Practices Act

             4897          32B-4-701. Title.
             4898          This part is known as the "Trade Practices Act."
             4899          Section 141. Section 32B-4-702 is enacted to read:
             4900          32B-4-702. Definitions.
             4901          As used in this part:


             4902          (1) (a) For purposes of Section 32B-4-703 , "exclusion" is as defined in 27 C.F.R. Sec.
             4903      8.51 through 8.54.
             4904          (b) For purposes of Section 32B-4-704 , "exclusion" is as defined in 27 C.F.R. Sec.
             4905      6.151 through 6.153.
             4906          (2) (a) "Industry member" means:
             4907          (i) an alcoholic product manufacturer;
             4908          (ii) a producer;
             4909          (iii) a supplier;
             4910          (iv) an importer;
             4911          (v) a wholesaler;
             4912          (vi) a bottler;
             4913          (vii) a warehouser and bottler; or
             4914          (viii) for a person described in Subsections (2)(a)(i) through (vii), any of its:
             4915          (A) affiliates;
             4916          (B) subsidiaries;
             4917          (C) officers;
             4918          (D) directors;
             4919          (E) partners;
             4920          (F) agents;
             4921          (G) employees; or
             4922          (H) representatives.
             4923          (b) "Industry member" does not include:
             4924          (i) the commission;
             4925          (ii) a commissioner;
             4926          (iii) the director;
             4927          (iv) the department; or
             4928          (v) a department employee.
             4929          (3) "Product" means an alcoholic product or item associated with an alcoholic


             4930      product.
             4931          (4) "Retailer" means:
             4932          (a) the holder of a license or permit issued by the commission or by a local authority to
             4933      allow the holder to engage in the sale of an alcoholic product to a patron whether for
             4934      consumption on or off the premises; or
             4935          (b) an agent, officer, director, shareholder, partner, or employee of a holder described
             4936      in Subsection (4)(a).
             4937          Section 142. Section 32B-4-703 is enacted to read:
             4938          32B-4-703. Exclusive outlets.
             4939          (1) It is unlawful for an industry member, directly or indirectly, or through an affiliate,
             4940      to require, by agreement or otherwise, that the department or a retailer purchase a product
             4941      from the industry member or the department to the exclusion in whole or in part of a product
             4942      that is sold or offered for sale by another person.
             4943          (2) (a) Subsection (1) applies only to a transaction between:
             4944          (i) one or more industry members; and
             4945          (ii) (A) the department; or
             4946          (B) one or more retailers.
             4947          (b) Subsection (1) does not apply to a transaction between two or more industry
             4948      members, including between a manufacturer and a wholesaler.
             4949          (3) Subsection (1) includes purchases coerced by an industry member through an act
             4950      or threat of physical or economic harm, as well as through a voluntary industry
             4951      member-retailer purchase agreement.
             4952          (4) (a) Subsection (1) includes a contract or agreement, written or unwritten, that has
             4953      the effect of requiring the department or retailer to purchase an alcoholic product from the
             4954      industry member beyond a single sales transaction.
             4955          (b) Examples of a contract or agreement described in Subsection (4)(a) include:
             4956          (i) an advertising contract between an industry member and a retailer with the express
             4957      or implied requirement of the purchase of the advertiser's product; or


             4958          (ii) a sales contract awarded on a competitive bid basis that has the effect of
             4959      prohibiting the department or retailer from purchasing from another industry member by:
             4960          (A) requiring that the retailer purchase a product or line of products exclusively from
             4961      the industry member for the period of the agreement; or
             4962          (B) requiring that the retailer purchase a specific or minimum quantity during the
             4963      period of the agreement.
             4964          (5) (a) Subsection (1) includes a contract, agreement, or other arrangement between an
             4965      industry member and a third party nonretailer that requires the department or a retailer to
             4966      purchase the industry member's product to the exclusion in whole or in part of a product sold
             4967      or offered for sale by another person.
             4968          (b) This Subsection (5) applies whether a contract, agreement, or other arrangement
             4969      originates with the industry member or the third party.
             4970          (c) Examples of a contract, agreement, or other arrangement described in this
             4971      Subsection (5) include:
             4972          (i) a contract, agreement, or arrangement:
             4973          (A) with a third party, such as a ball club or municipal or private corporation, that is
             4974      not a retailer;
             4975          (B) under which the third party leases the concession rights and is able to control the
             4976      purchasing decisions of a retailer; and
             4977          (C) that requires the retailer to purchase the industry member's product to the
             4978      exclusion in whole or in part of a product sold or offered for sale by another person; or
             4979          (ii) a contract, agreement, or arrangement with a third party nonretailer that requires a
             4980      retailer to purchase the industry member's product to the exclusion in whole or in part of a
             4981      product sold or offered for sale by another person in return for which the third party provides a
             4982      service or other thing of value such as:
             4983          (A) sponsoring radio or television broadcasting;
             4984          (B) paying for advertising; or
             4985          (C) providing other services or things of value.


             4986          Section 143. Section 32B-4-704 is enacted to read:
             4987          32B-4-704. Tied house -- Prohibitions.
             4988          (1) (a) It is unlawful for an industry member, directly or indirectly, or through an
             4989      affiliate, to induce a retailer to purchase an alcoholic product from the industry member or
             4990      from the department to the exclusion in whole or in part of a product sold or offered for sale by
             4991      another person by acquiring or holding an interest in a license with respect to the premises of a
             4992      retailer, except when the license is held by a retailer that is completely owned by the industry
             4993      member.
             4994          (b) Interest in a retail license includes an interest acquired by a corporate official,
             4995      partner, employee, or other representative of the industry member.
             4996          (c) An interest in a retail license acquired by a separate corporation in which the
             4997      industry member or the industry member's officials hold ownership or are otherwise affiliated
             4998      is an interest in a retail license.
             4999          (d) Less than complete ownership of a retail business by an industry member
             5000      constitutes an interest in a retail license within the meaning of Subsection (1)(a).
             5001          (2) (a) It is unlawful for an industry member, directly or indirectly, or through an
             5002      affiliate, to induce a retailer to purchase an alcoholic product from the industry member or
             5003      from the department to the exclusion in whole or in part of a product sold or offered for sale by
             5004      another person by acquiring an interest in real or personal property owned, occupied, or used
             5005      by the retailer in the conduct of the retailer's business.
             5006          (b) For purposes of Subsection (2)(a):
             5007          (i) "interest" does not include complete ownership of a retail business by an industry
             5008      member;
             5009          (ii) interest in retail property includes an interest acquired by a corporate official,
             5010      partner, employee, or other representative of the industry member;
             5011          (iii) any interest in a retail license acquired by a separate corporation in which the
             5012      industry member or its officials hold ownership or are otherwise affiliated is an interest in the
             5013      retailer's property;


             5014          (iv) less than complete ownership of a retail business by an industry member
             5015      constitutes an interest in retail property;
             5016          (v) the acquisition of a mortgage on a retailer's real or personal property by an industry
             5017      member constitutes an interest in the retailer's property; and
             5018          (vi) the renting of display space by an industry member at a retail establishment
             5019      constitutes an interest in the retailer's property.
             5020          (3) (a) Subject to Section 32B-4-705 , it is unlawful for an industry member, directly or
             5021      indirectly, or through an affiliate, to induce a retailer to purchase an alcoholic product from the
             5022      industry member or from the department to the exclusion in whole or in part of a product sold
             5023      or offered for sale by another person by furnishing, giving, renting, lending, or selling to the
             5024      retailer equipment, a fixture, a sign, supplies, money, a service, or other thing of value.
             5025          (b) (i) For purposes of this Subsection (3), indirect inducement includes:
             5026          (A) furnishing a thing of value to a third party when the benefit resulting from the
             5027      thing of value flows to an individual retailer; and
             5028          (B) making a payment for advertising to a retailer association or a display company
             5029      when the resulting benefits flow to an individual retailer.
             5030          (ii) Notwithstanding Subsection (3)(b)(i), an indirect inducement does not arise if:
             5031          (A) the thing of value is furnished to a retailer by the third party without the
             5032      knowledge or intent of the industry member; or
             5033          (B) the industry member does not reasonably foresee that the thing of value would be
             5034      furnished to a retailer.
             5035          (c) Anything that may lawfully be furnished, given, rented, lent, or sold by industry
             5036      members to retailers under Section 32B-4-705 may be furnished directly by a third party to a
             5037      retailer.
             5038          (d) (i) A transaction in which equipment is sold to a retailer by an industry member,
             5039      except as provided in Section 32B-4-705 , is the selling of equipment within the meaning of
             5040      Subsection (3)(a) regardless of how the equipment is sold.
             5041          (ii) The negotiation by an industry member of a special price to a retailer for


             5042      equipment from an equipment company is the furnishing of a thing of value within the
             5043      meaning of Subsection (3)(a).
             5044          (e) The furnishing of free warehousing by delaying delivery of an alcoholic product
             5045      beyond the time that payment for the product is received, or if a retailer is purchasing on
             5046      credit, delaying final delivery of products beyond the close of the period of time for which
             5047      credit is lawfully extended, is the furnishing of a service or thing of value within the meaning
             5048      of Subsection (3)(a).
             5049          (f) A financial, legal, administrative, or influential assistance given a retailer by an
             5050      industry member in the retailer's acquisition of the retailer's license is the furnishing of a
             5051      service or thing of value within the meaning of Subsection (3)(a).
             5052          (4) It is unlawful for an industry member, directly or indirectly, or through an affiliate,
             5053      to induce a retailer to purchase an alcoholic product from the industry member or from the
             5054      department to the exclusion in whole or in part of a product sold or offered for sale by another
             5055      person by paying or crediting the retailer for an advertising, display, or distribution service:
             5056          (a) as defined in and to the extent restricted by 27 C.F.R. Sec. 6.51 through 6.56; and
             5057          (b) subject to the exceptions:
             5058          (i) for newspaper cuts listed in 27 C.F.R. Sec. 6.92; and
             5059          (ii) for advertising services listed in 27 C.F.R. Sec. 6.98.
             5060          (5) It is unlawful for an industry member, directly or indirectly, or through an affiliate,
             5061      to induce a retailer to purchase an alcoholic product from the industry member or from the
             5062      department to the exclusion in whole or in part of a product sold or offered for sale by another
             5063      person by guaranteeing a loan or the repayment of a financial obligation of the retailer.
             5064          (6) (a) It is unlawful for an industry member, directly or indirectly, or through an
             5065      affiliate, to induce a retailer to purchase beer from the industry member to the exclusion in
             5066      whole or in part of a beer product sold or offered for sale by another person by extending to a
             5067      retailer credit for a period in excess of 15 days from the date of delivery to the date of full legal
             5068      discharge from all indebtedness arising from the transaction by the retailer paying cash or its
             5069      equivalent, unless:


             5070          (i) beer purchased or delivered during the first 15 days of any month is paid for in
             5071      cash or its equivalent on or before the 25th day of the same month; and
             5072          (ii) beer purchased or delivered after the 15th day of any month is paid for in cash or
             5073      its equivalent on or before the 10th day of the next succeeding month.
             5074          (b) A first party in-state check is considered cash payment if the check is:
             5075          (i) honored on presentment; and
             5076          (ii) received under the terms prescribed in Subsection (6)(a).
             5077          (c) An extension of credit for product purchased by an industry member to a retailer
             5078      whose account is in arrears does not constitute a violation of Subsection (6)(a) if the retailer
             5079      pays in advance or on delivery an amount equal to or greater than the value of each order,
             5080      regardless of the manner in which the industry member applies the payment in its records.
             5081          (7) (a) It is unlawful for an industry member, directly or indirectly, or through an
             5082      affiliate, to induce a retailer to purchase an alcoholic product from the industry member or
             5083      from the department to the exclusion in whole or in part of a product sold or offered for sale by
             5084      another person by requiring:
             5085          (i) the department to take and dispose of a certain quota of a product; or
             5086          (ii) a beer retailer to take and dispose of a certain quota of a beer product.
             5087          (b) (i) It is an unlawful means to induce to require:
             5088          (A) the department to purchase one product in order to purchase another product; or
             5089          (B) a beer retailer to purchase one beer product in order to purchase another beer
             5090      product.
             5091          (ii) This Subsection (7)(b) includes:
             5092          (A) the requirement to take a minimum quantity of a product in standard packaging in
             5093      order to obtain the same product in some type of premium package such as:
             5094          (I) a distinctive decanter; or
             5095          (II) a wooden or tin box; or
             5096          (B) combination sales if one or more products may be purchased only in combination
             5097      with another product and not individually.


             5098          (c) This Subsection (7) does not preclude the selling, at a special combination price, of
             5099      two or more kinds or brands of products so long as the department or beer retailer:
             5100          (i) has the option of purchasing either product at the usual price; and
             5101          (ii) is not required to purchase a product the department or beer retailer does not want.
             5102          (d) An industry member may package and distribute an alcoholic product in
             5103      combination with other nonalcoholic items.
             5104          (e) A combination package shall be designed to be delivered intact to the consumer
             5105      and the additional cost incurred by the industry member shall be included in the cost to the
             5106      department or beer retailer.
             5107          Section 144. Section 32B-4-705 is enacted to read:
             5108          32B-4-705. Exclusions from tied house prohibitions.
             5109          (1) Notwithstanding Subsection 32B-4-704 (3), a thing of value may be furnished by
             5110      an industry member to a retailer under the conditions and within the limitations prescribed in:
             5111          (a) this section; and
             5112          (b) the applicable federal laws cited in this section.
             5113          (2) The following may be furnished by an industry member:
             5114          (a) a product display as provided in 27 C.F.R. Sec. 6.83;
             5115          (b) point of sale advertising material or a consumer advertising specialty as provided
             5116      in 27 C.F.R. Sec. 6.84;
             5117          (c) a thing of value to a temporary retailer to the extent allowed in 27 C.F.R. Sec. 6.85;
             5118          (d) equipment and supplies as provided in 27 C.F.R. Sec. 6.88;
             5119          (e) combination packaging as provided in 27 C.F.R. Sec. 6.93;
             5120          (f) an educational seminar as provided in 27 C.F.R. Sec. 6.94;
             5121          (g) a consumer promotion as provided in 27 C.F.R. Sec. 6.96;
             5122          (h) an advertising service as provided in 27 C.F.R. Sec. 6.98;
             5123          (i) stocking, rotation, and pricing service as provided in 27 C.F.R. Sec. 6.99;
             5124          (j) merchandise as provided in 27 C.F.R. Sec. 6.101; and
             5125          (k) an outside sign as provided in 27 C.F.R. Sec. 6.102.


             5126          (3) The following exceptions provided in federal law are not applicable:
             5127          (a) the exception for a sample as provided in 27 C.F.R. Sec. 6.91;
             5128          (b) the exception for a consumer tasting or sampling at a retail establishment as
             5129      provided in 27 C.F.R. Sec. 6.95; and
             5130          (c) the exception for participation in a retailer association activity provided in 27
             5131      C.F.R. Sec. 6.100.
             5132          (4) To the extent required by 27 C.F.R. Sec. 6.81(b) an industry member shall
             5133      maintain a record:
             5134          (a) of an item furnished to a retailer;
             5135          (b) on the premises of the industry member; and
             5136          (c) for a three-year period.
             5137          (5) A sample of liquor may be provided to the department under the following
             5138      conditions:
             5139          (a) With the department's permission, an industry member may submit a department
             5140      sample to the department for product testing, analysis, and sampling.
             5141          (b) No more than two department samples of a particular type, vintage, and production
             5142      lot of a particular branded product may be submitted to the department for department testing,
             5143      analysis, and sampling within a consecutive 120-day period.
             5144          (c) (i) A department sample may not exceed 1 liter.
             5145          (ii) Notwithstanding Subsection (5)(c)(i), a department sample of the following may
             5146      not exceed 1.5 liters unless that exact alcoholic product is only commercially packaged in a
             5147      larger size, not to exceed 5 liters:
             5148          (A) wine;
             5149          (B) heavy beer; or
             5150          (C) a flavored malt beverage.
             5151          (d) A department sample submitted to the department:
             5152          (i) shall be shipped prepaid by the industry member by common carrier; and
             5153          (ii) may not be shipped by United States mail directly to the department's central


             5154      administrative warehouse office.
             5155          (e) A department sample may not be shipped to any other location within the state.
             5156          (f) The industry member shall submit with a department sample submitted to the
             5157      department a letter from the industry member that clearly:
             5158          (i) identifies the product as a "department sample"; and
             5159          (ii) states the FOB case price of the product.
             5160          (g) (i) The department may transfer a listed item from current stock:
             5161          (A) for use as a comparison control sample; or
             5162          (B) to verify product spoilage as considered appropriate.
             5163          (ii) The department shall charge back a sample transferred under this Subsection
             5164      (5)(g) to the respective industry member.
             5165          (h) The department shall:
             5166          (i) account for, label, and record a department sample received or transferred;
             5167          (ii) account for the department sample's disposition; and
             5168          (iii) maintain a record of the sample and its disposition for a two-year period.
             5169          (i) The department shall affix to each package of a department sample a label clearly
             5170      identifying the product as a "department sample".
             5171          (j) The department shall dispose of a department sample delivered to the department or
             5172      transferred from the department's current stock in one of the following ways as chosen by the
             5173      department:
             5174          (i) test and analyze the department sample, with the remaining contents destroyed
             5175      under controlled and audited conditions established by the department;
             5176          (ii) destroy the entire contents of the department sample under controlled and audited
             5177      conditions established by the department; or
             5178          (iii) add the department sample to the inventory of the department for sale to the
             5179      public.
             5180          (k) A person other than an authorized department official may not be in possession of
             5181      a department sample except as otherwise provided.


             5182          (l) The department shall handle a liquor item received by the department from a
             5183      supplier that is not designated as a sample by the supplier, but that is an item not specifically
             5184      listed on a department purchase order, in accordance with this Subsection (5).
             5185          (m) The department may not use its money to pay freight or charges on a sample or a
             5186      liquor item:
             5187          (i) shipped to the department by a supplier; and
             5188          (ii) not listed on a department purchase order.
             5189          (6) A sample of beer may be provided by a beer industry member to a retailer under
             5190      the conditions listed in this Subsection (6).
             5191          (a) A sample of beer may be provided by an industry member only to a retailer who
             5192      has not purchased the brand of beer from that industry member within the last 12 months.
             5193          (b) For each retailer, the industry member may give not more than three gallons of any
             5194      brand of beer, except that if a particular product is not available in a size within the quantity
             5195      limitation, an industry member may furnish the next largest size.
             5196          (7) An educational seminar may involve an industry member under the conditions
             5197      listed in this Subsection (7).
             5198          (a) An industry member may provide or participate in an educational seminar:
             5199          (i) involving:
             5200          (A) the department;
             5201          (B) a retailer;
             5202          (C) a holder of a scientific or educational special use permit;
             5203          (D) another industry member; or
             5204          (E) an employee of a person listed in Subsections (7)(a)(i)(A) through (D); and
             5205          (ii) regarding a topic such as:
             5206          (A) merchandising and product knowledge;
             5207          (B) use of equipment; and
             5208          (C) a tour of an alcoholic product manufacturing facility.
             5209          (b) An industry member may not pay the expenses of or compensate a person who is a


             5210      department employee, a retailer, or a permittee for attending a seminar or tour described in
             5211      Subsection (7)(a).
             5212          (8) (a) A liquor industry member may conduct a tasting of a liquor product of the
             5213      industry member:
             5214          (i) for the department, at the department's request; and
             5215          (ii) for a licensed industry representative, but only at the department's central
             5216      administrative warehouse office.
             5217          (b) A liquor industry member may only use a department sample or industry
             5218      representative sample when conducting a tasting of the industry member's liquor product.
             5219          (c) A beer industry member may conduct a tasting of a beer product for a beer retailer
             5220      either at:
             5221          (i) the industry member's premises; or
             5222          (ii) a retail establishment.
             5223          (d) Except to the extent authorized by commission rule, an alcoholic product industry
             5224      member may not conduct tasting or sampling activities with:
             5225          (i) a retailer; or
             5226          (ii) a member of the general public.
             5227          (9) A beer industry member may participate in a beer retailer association activity to
             5228      the extent authorized by 27 C.F.R. Sec. 6.100.
             5229          (10) (a) An industry member may contribute to a charitable, civic, religious, fraternal,
             5230      educational, or community activity, except the contribution may not be given to influence a
             5231      retailer in the selection of a product that may be sold at the activity.
             5232          (b) An industry member or retailer violates this Subsection (10) if:
             5233          (i) the industry member's contribution influences, directly or indirectly, the retailer in
             5234      the selection of a product; and
             5235          (ii) a competitor's product is excluded in whole or in part from sale at the activity.
             5236          (11) (a) An industry member may lease or furnish equipment listed in Subsection
             5237      (11)(b) to a retailer if:


             5238          (i) the equipment is leased or furnished for a special event;
             5239          (ii) a reasonable rental or service fee is charged for the equipment; and
             5240          (iii) the period for which the equipment is leased or furnished does not exceed 30
             5241      days.
             5242          (b) This Subsection (11) applies to the following equipment:
             5243          (i) a picnic pump;
             5244          (ii) a cold plate;
             5245          (iii) a tub;
             5246          (iv) a keg box;
             5247          (v) a refrigerated trailer;
             5248          (vi) a refrigerated van; or
             5249          (vii) a refrigerated draft system.
             5250          (12) (a) A liquor industry member may assist the department in:
             5251          (i) ordering, shipping, and delivering merchandise;
             5252          (ii) new product notification;
             5253          (iii) listing and delisting information;
             5254          (iv) price quotations;
             5255          (v) product sales analysis;
             5256          (vi) shelf management; and
             5257          (vii) an educational seminar.
             5258          (b) (i) A liquor industry member may, to acquire a new listing:
             5259          (A) solicit an order from the department; and
             5260          (B) submit to the department a sample of the liquor industry member's products under
             5261      Subsection (5) and price lists.
             5262          (ii) (A) An industry member is confined to the customer areas when the industry
             5263      member visits a state store or package agency unless otherwise approved.
             5264          (B) An industry member is confined to the office area of a state warehouse when the
             5265      industry member visits a state warehouse unless otherwise approved.


             5266          (13) A beer industry member may assist a beer retailer in:
             5267          (a) ordering, shipping, and delivering beer merchandise;
             5268          (b) new product notification;
             5269          (c) listing and delisting information;
             5270          (d) price quotations;
             5271          (e) product sales analysis;
             5272          (f) shelf management; and
             5273          (g) an educational seminar.
             5274          (14) A beer industry member may, to acquire a new listing:
             5275          (a) solicit an order from a beer retailer; and
             5276          (b) submit to a beer retailer a sample of the beer industry member's beer products
             5277      under Subsection (5) and price lists.
             5278          Section 145. Section 32B-4-706 is enacted to read:
             5279          32B-4-706. Commercial bribery.
             5280          This section adopts and makes applicable to an industry member, including a beer
             5281      industry member, doing business in this state, 27 U.S.C. Sec. 205(c) and 27 C.F.R. Sec. 10.1
             5282      through 10.54, which make it unlawful for an industry member, directly or indirectly, or
             5283      through an affiliate, to induce a wholesaler or retailer engaged in the sale of an alcoholic
             5284      product to purchase the industry member's products, to the complete or partial exclusion of
             5285      alcoholic beverages sold or offered for sale by other persons, by commercial bribery, or by
             5286      offering or giving a bonus, premium, compensation, or other thing of value, to any officer,
             5287      employee, or representative of the wholesaler or retailer.
             5288          Section 146. Section 32B-4-707 is enacted to read:
             5289          32B-4-707. Consignment sale.
             5290          (1) This section adopts and makes applicable to an industry member, including a beer
             5291      industry member, doing business in this state, 27 U.S.C. Sec. 205(d) and 27 C.F.R. Sec. 11.1
             5292      through 11.46, which make it unlawful for an industry member, directly or indirectly, or
             5293      through an affiliate to sell, offer for sale, or contract to sell to any wholesaler or retailer


             5294      engaged in the sale of an alcoholic product, or for any wholesaler or retailer to purchase, offer
             5295      to purchase, or contract to purchase any of those products on consignment or under
             5296      conditional sale or with the privilege of return or on any basis otherwise than a bona fide sale,
             5297      or where any part of the transaction involves, directly or indirectly, the acquisition by that
             5298      person from the wholesaler or retailer or that person's agreement to acquire from the
             5299      wholesaler or retailer other alcoholic beverages, if the sale, purchase, offer, or contract is made
             5300      in the course of interstate or foreign commerce, or if the person or wholesaler or retailer
             5301      engages in such practice to an extent so as substantially to restrain or prevent transactions in
             5302      interstate or foreign commerce in any of those products or if the direct effect of the sale,
             5303      purchase, offer, or contract is to prevent, deter, hinder, or restrict other persons from selling or
             5304      offering for sale any of those products to the wholesaler or retailer in interstate or foreign
             5305      commerce.
             5306          (2) This section does not apply to a transaction involving solely the bona fide return of
             5307      merchandise for ordinary and usual commercial reasons arising after the merchandise has been
             5308      sold.
             5309          Section 147. Section 32B-4-708 is enacted to read:
             5310          32B-4-708. Unlawful act involving consumers.
             5311          (1) (a) It is unlawful for an industry member, directly or indirectly, or through an
             5312      affiliate, to give away any of its product to a person except for testing, analysis, and sampling
             5313      purposes by the department or local industry representative licensee to the extent authorized by
             5314      this title.
             5315          (b) This Subsection (1) does not preclude an industry member from serving its product
             5316      to others at a private event hosted by the industry member in the industry member's home or
             5317      elsewhere so long as the product is not served:
             5318          (i) as part of a promotion of the industry member's product; or
             5319          (ii) as a subterfuge to provide a sample to a person for product testing, analysis, or
             5320      sampling purposes.
             5321          (2) It is unlawful for an industry member or retailer, directly or indirectly, or through


             5322      an affiliate, to engage in an advertisement or promotional scheme that requires the purchase or
             5323      sale of an alcoholic product, or consumption of an alcoholic product, in order to participate in
             5324      a promotion, program, or other activity.
             5325          (3) It is unlawful for an industry member or retailer, directly or indirectly, or through
             5326      an affiliate, to pay, give, or deliver to a person money or any other thing of value, including a
             5327      rebate, refund, or prize, on the basis of the purchase, display, use, sale, or consumption of an
             5328      alcoholic product.
             5329          (4) It is unlawful for an industry member or retailer to sponsor or underwrite an
             5330      athletic, theatrical, scholastic, artistic, or scientific event that:
             5331          (a) overtly promotes the consumption of a product;
             5332          (b) offers a product to the general public without charge; or
             5333          (c) takes place on the premises of a school, college, university, or other educational
             5334      institution.
             5335          Section 148. Section 32B-5-101 is enacted to read:
             5336     
CHAPTER 5. RETAIL LICENSE ACT

             5337     
Part 1. General Provisions

             5338          32B-5-101. Title.
             5339          This chapter is known as the "Retail License Act."
             5340          Section 149. Section 32B-5-102 is enacted to read:
             5341          32B-5-102. Definitions.
             5342          Reserved
             5343          Section 150. Section 32B-5-201 is enacted to read:
             5344     
Part 2. Retail Licensing Process

             5345          32B-5-201. Application requirements for retail license.
             5346          (1) (a) Before a person may store, sell, offer for sale, furnish, or permit consumption of
             5347      an alcoholic product on licensed premises as a retail licensee, the person shall first obtain a
             5348      retail license issued by the commission, notwithstanding whether the person holds a local
             5349      license or a permit issued by a local authority.


             5350          (b) Violation of this Subsection (1) is a class B misdemeanor.
             5351          (2) To obtain a retail license under this title, a person shall submit to the department:
             5352          (a) a written application in a form prescribed by the department;
             5353          (b) a nonrefundable application fee in the amount specified in the relevant part under
             5354      Chapter 6, Specific Retail License Act, for the type of retail license for which the person is
             5355      applying;
             5356          (c) an initial license fee:
             5357          (i) in the amount specified in the relevant part under Chapter 6, Specific Retail
             5358      License Act, for the type of retail license for which the person is applying; and
             5359          (ii) that is refundable if a retail license is not issued;
             5360          (d) written consent of the local authority;
             5361          (e) a copy of the person's current business license;
             5362          (f) evidence of proximity to any community location, with proximity requirements
             5363      being governed by Section 32B-1-202 ;
             5364          (g) a bond as specified by Section 32B-5-204 ;
             5365          (h) a floor plan, and boundary map where applicable, of the premises of the retail
             5366      license, including any:
             5367          (i) consumption area; and
             5368          (ii) area where the person proposes to store, sell, offer for sale, or furnish an alcoholic
             5369      beverage;
             5370          (i) evidence that the retail licensee is carrying public liability insurance in an amount
             5371      and form satisfactory to the department;
             5372          (j) evidence that the retail licensee is carrying dramshop insurance coverage of at least
             5373      $1,000,000 per occurrence and $2,000,000 in the aggregate;
             5374          (k) a signed consent form stating that the retail licensee will permit any authorized
             5375      representative of the commission, department, or any law enforcement officer to have
             5376      unrestricted right to enter the premises of the retail licensee;
             5377          (l) if the person is an entity, proper verification evidencing that a person who signs the


             5378      application is authorized to sign on behalf of the entity; and
             5379          (m) any other information the commission or department may require.
             5380          (3) The commission may not issue a retail license to a person who:
             5381          (a) is disqualified under Section 32B-1-304 ; or
             5382          (b) is not lawfully present in the United States.
             5383          (4) Unless otherwise provided in the relevant part under Chapter 6, Specific Retail
             5384      License Act, the commission may not issue a retail license to a person if the licensed premises
             5385      does not meet the proximity requirements of Section 32B-1-202 .
             5386          Section 151. Section 32B-5-202 is enacted to read:
             5387          32B-5-202. Renewal requirements.
             5388          (1) A retail license expires each year on the day specified in the relevant part under
             5389      Chapter 6, Specific Retail License Act, for that type of retail license.
             5390          (2) To renew a person's retail license, a retail licensee shall, by no later than the day
             5391      specified in the relevant part under Chapter 6, Specific Retail License Act, for the type of
             5392      retail license that is being renewed, submit:
             5393          (a) a completed renewal application to the department in a form prescribed by the
             5394      department; and
             5395          (b) a renewal fee in the amount specified in the relevant part under Chapter 6, Specific
             5396      Retail License Act, for the type of retail license that is being renewed.
             5397          (3) Failure to meet the renewal requirements results in an automatic forfeiture of the
             5398      retail license effective on the date the existing retail license expires.
             5399          Section 152. Section 32B-5-203 is enacted to read:
             5400          32B-5-203. Commission and department duties before issuing a retail license.
             5401          (1) (a) Before the commission may issue a retail license, the department shall conduct
             5402      an investigation and may hold public hearings to gather information and make
             5403      recommendations to the commission as to whether a retail license should be issued.
             5404          (b) The department shall forward the information and recommendations described in
             5405      Subsection (1)(a) to the commission to aid in the commission's determination.


             5406          (2) Before issuing a retail license, the commission shall:
             5407          (a) determine that the person filed a complete application and is in compliance with:
             5408          (i) Section 32B-5-201 ; and
             5409          (ii) the specific licensing requirements specified in the relevant part under Chapter 6,
             5410      Specific Retail License Act, for the type of retail license for which the person is applying;
             5411          (b) determine that the person is not disqualified under Section 32B-1-304 ;
             5412          (c) consider the locality within which the proposed licensed premises is located,
             5413      including:
             5414          (i) physical characteristics such as:
             5415          (A) condition of the licensed premises;
             5416          (B) square footage; and
             5417          (C) parking availability; and
             5418          (ii) operational factors such as:
             5419          (A) tourist traffic;
             5420          (B) demographics;
             5421          (C) population to be served;
             5422          (D) proximity to and density of other state stores, package agencies, and retail
             5423      licensees; and
             5424          (E) the extent of and proximity to any community location;
             5425          (d) consider the person's ability to manage and operate a retail license of the type for
             5426      which the person is applying, including:
             5427          (i) management experience;
             5428          (ii) past retail alcoholic product experience; and
             5429          (iii) the type of management scheme to be used by the retail licensee;
             5430          (e) consider the nature or type of retail licensee operation of the proposed retail
             5431      licensee, including:
             5432          (i) the type of menu items that will be offered and emphasized;
             5433          (ii) whether the retail licensee will emphasize service to an adult clientele or to minors;


             5434          (iii) the proposed hours of operation;
             5435          (iv) the seating capacity of the premises; and
             5436          (v) the estimated gross sales of food items; and
             5437          (f) consider any other factor the commission considers necessary.
             5438          Section 153. Section 32B-5-204 is enacted to read:
             5439          32B-5-204. Bond for retail license.
             5440          (1) (a) A retail licensee shall post a cash bond or surety bond:
             5441          (i) in the amount specified in the relevant part under Chapter 6, Specific Retail
             5442      License Act, for the type of retail license for which the person is applying; and
             5443          (ii) payable to the department.
             5444          (b) A retail licensee shall procure and maintain the bond required under this section
             5445      for as long as the retail licensee continues to operate as a retail licensee.
             5446          (2) A bond required under this section shall be:
             5447          (a) in a form approved by the attorney general; and
             5448          (b) conditioned upon the retail licensee's faithful compliance with this title and the
             5449      rules of the commission.
             5450          (3) (a) If a surety bond posted by a retail licensee under this section is canceled due to
             5451      the retail licensee's negligence, the department may assess a $300 reinstatement fee.
             5452          (b) No part of a bond posted by a retail licensee under this section may be withdrawn:
             5453          (i) during the period the retail license is in effect; or
             5454          (ii) while a revocation proceeding is pending against the retail licensee.
             5455          (4) (a) A bond posted under this section by a retail licensee may be forfeited if the
             5456      retail license is revoked.
             5457          (b) Notwithstanding Subsection (4)(a), the department may make a claim against a
             5458      bond posted by a retail licensee for money owed the department under this title without the
             5459      commission first revoking the retail license.
             5460          Section 154. Section 32B-5-205 is enacted to read:
             5461          32B-5-205. Conditional retail license.


             5462          (1) As used in this section:
             5463          (a) "Conditional retail license" means a retail license that:
             5464          (i) is for one of the following:
             5465          (A) a full-service restaurant license; or
             5466          (B) a limited-service restaurant license;
             5467          (ii) conditions the holder's ability to sell, offer for sale, furnish, or allow the
             5468      consumption of an alcoholic product on its licensed premises on the person submitting to the
             5469      department a copy of the holder's current business license before obtaining a valid retail
             5470      license; and
             5471          (iii) provides that the holder will be issued a valid retail license if the holder complies
             5472      with the requirements of Subsection (3).
             5473          (b) "Valid retail license" means a retail license issued pursuant to this part under
             5474      which the holder is permitted to sell, offer for sale, furnish, or allow the consumption of an
             5475      alcoholic product on its licensed premises.
             5476          (2) Subject to the requirements of this section, the commission may issue a conditional
             5477      retail license to a person if the person:
             5478          (a) meets the requirements to obtain the retail license for which the person is applying
             5479      except the requirement to submit a copy of the person's current business license; and
             5480          (b) agrees not to sell, offer for sale, furnish, or allow the consumption of an alcoholic
             5481      product on its licensed premises before obtaining a valid retail license.
             5482          (3) (a) A conditional retail license becomes a valid retail license on the day on which
             5483      the department notifies the person who holds the conditional retail license that the department
             5484      finds that the person has complied with Subsection (3)(b).
             5485          (b) For a conditional retail license to become a valid retail license, a person who holds
             5486      the conditional retail license shall:
             5487          (i) submit to the department a copy of the person's current business license; and
             5488          (ii) provide to the department evidence satisfactory to the department that:
             5489          (A) there has been no change in the information submitted to the commission as part


             5490      of the person's application for a retail license; and
             5491          (B) the person continues to qualify for the retail license.
             5492          (4) A conditional retail license expires six months after the day on which the
             5493      commission issues the conditional retail license, unless the conditional retail license becomes
             5494      a valid retail license before that day.
             5495          Section 155. Section 32B-5-206 is enacted to read:
             5496          32B-5-206. Seasonal retail license.
             5497          (1) If authorized in the relevant part under Chapter 6, Specific Retail License Act, for
             5498      the type of retail license, the commission may in accordance with this section issue a seasonal
             5499      retail license located in an area the commission considers proper.
             5500          (2) (a) A seasonal retail license shall be for a period of six consecutive months.
             5501          (b) A seasonal retail license issued for operation during a summer time period is
             5502      known as a "Seasonal A" retail license. The period of operation for a Seasonal A retail license:
             5503          (i) begins on May 1; and
             5504          (ii) ends on October 31.
             5505          (c) A seasonal retail license issued for operation during a winter time period is known
             5506      as a "Seasonal B" retail license. The period of operation for a Seasonal B retail license:
             5507          (i) begins on November 1; and
             5508          (ii) ends on April 30.
             5509          (3) In determining the number of each type of retail license that the commission may
             5510      issue under the relevant part under Chapter 6, Specific Retail License Act:
             5511          (a) a seasonal retail license is counted as one-half of one retail license of the specific
             5512      type of retail license; and
             5513          (b) each Seasonal A retail license shall be paired with a Seasonal B retail license of the
             5514      same type of retail license.
             5515          Section 156. Section 32B-5-301 is enacted to read:
             5516     
Part 3. Retail Licensee Operational Requirements

             5517          32B-5-301. General operational requirements.


             5518          (1) (a) A retail licensee and staff of a retail licensee shall comply with this title and the
             5519      rules of the commission, including the relevant part under Chapter 6, Specific Retail License
             5520      Act, for the specific type of retail license.
             5521          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             5522      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             5523          (i) a retail licensee;
             5524          (ii) individual staff of a retail licensee; or
             5525          (iii) both a retail licensee and staff of the retail licensee.
             5526          (2) (a) If there is a conflict between this part and the relevant part under Chapter 6,
             5527      Specific Retail License Act, for the specific type of retail license, the relevant part under
             5528      Chapter 6 governs.
             5529          (b) Notwithstanding that this part refers to "liquor" or an "alcoholic product," a retail
             5530      licensee may only sell, offer for sale, furnish, or allow the consumption of an alcoholic product
             5531      specifically authorized by the relevant part under Chapter 6, Specific Retail License Act.
             5532          (c) Notwithstanding that this part or the relevant part under Chapter 6, Specific Retail
             5533      License Act, refers to "retail licensee," staff of the retail licensee is subject to the same
             5534      requirement or prohibition.
             5535          (3) A retail licensee shall display in a prominent place in the licensed premises:
             5536          (a) the retail license that is issued by the department; and
             5537          (b) a sign in large letters stating: "Warning: Driving under the influence of alcohol or
             5538      drugs is a serious crime that is prosecuted aggressively in Utah."
             5539          (4) A retail licensee may not on the licensed premises:
             5540          (a) engage in or permit any form of gambling, as defined and proscribed in Title 76,
             5541      Chapter 10, Part 11, Gambling;
             5542          (b) have any video gaming device, as defined and proscribed by Title 76, Chapter 10,
             5543      Part 11, Gambling; or
             5544          (c) engage in or permit a contest, game, gaming scheme, or gaming device that
             5545      requires the risking of something of value for a return or for an outcome when the return or


             5546      outcome is based upon an element of chance, excluding the playing of an amusement device
             5547      that confers only an immediate and unrecorded right of replay not exchangeable for value.
             5548          (5) A retail licensee may not knowingly allow a person on the licensed premises to, in
             5549      violation of Title 58, Chapter 37, Utah Controlled Substances Act, or Chapter 37a, Utah Drug
             5550      Paraphernalia Act:
             5551          (a) sell, distribute, possess, or use a controlled substance, as defined in Section
             5552      58-37-2 ; or
             5553          (b) use, deliver, or possess with the intent to deliver drug paraphernalia, as defined in
             5554      Section 58-37a-3 .
             5555          (6) Upon the presentation of credentials, at any time during which a retail licensee is
             5556      open for the transaction of business, the retail licensee shall immediately:
             5557          (a) admit a commissioner, authorized department employee, or law enforcement
             5558      officer to the retail licensee's premises; and
             5559          (b) permit, without hindrance or delay, the person described in Subsection (6)(a) to
             5560      inspect completely:
             5561          (i) the entire premises of the retail licensee; and
             5562          (ii) the records of the retail licensee.
             5563          Section 157. Section 32B-5-302 is enacted to read:
             5564          32B-5-302. Recordkeeping.
             5565          (1) A retail licensee shall make and maintain a record showing in detail:
             5566          (a) quarterly expenditures made separately for:
             5567          (i) malt or brewed beverages;
             5568          (ii) liquor;
             5569          (iii) set-ups;
             5570          (iv) food; and
             5571          (v) any other item required by the department; and
             5572          (b) sales made separately for:
             5573          (i) malt or brewed beverages;


             5574          (ii) set-ups;
             5575          (iii) food; and
             5576          (iv) any other item required by the department.
             5577          (2) A retail licensee shall make and maintain a record required by Subsection (1):
             5578          (a) in a form approved by the department; and
             5579          (b) current for each three-month period.
             5580          (3) A retail licensee shall support an expenditure by:
             5581          (a) a delivery ticket;
             5582          (b) an invoice;
             5583          (c) a receipted bill;
             5584          (d) a canceled check;
             5585          (e) a petty cash voucher; or
             5586          (f) other sustaining datum or memorandum.
             5587          (4) In addition to a record required under Subsection (1), a retail licensee shall make
             5588      and maintain any other record the department may require.
             5589          (5) (a) A record of a retail licensee is subject to inspection by an authorized
             5590      representative of the commission and the department.
             5591          (b) A retail licensee shall allow the department, through an auditor or examiner of the
             5592      department, to audit the records of the retail licensee at times the department considers
             5593      advisable.
             5594          (6) Section 32B-1-205 applies to a record required to be made or maintained in
             5595      accordance with this section.
             5596          Section 158. Section 32B-5-303 is enacted to read:
             5597          32B-5-303. Purchase and storage of an alcoholic product by a retail licensee.
             5598          (1) (a) A retail licensee may not purchase liquor except from a state store or package
             5599      agency.
             5600          (b) A retail licensee may transport liquor purchased from a state store or package
             5601      agency from the place of purchase to the licensed premises.


             5602          (c) A retail licensee shall pay for liquor in accordance with rules established by the
             5603      commission.
             5604          (2) (a) (i) A beer retailer may not purchase, acquire, possess for the purpose of resale,
             5605      or sell beer except beer that the beer retailer purchases from:
             5606          (A) a beer wholesaler licensee; or
             5607          (B) a small brewer that manufactures the beer.
             5608          (ii) Violation of this Subsection (2)(a) is a class A misdemeanor.
             5609          (b) (i) If a beer retailer purchases beer under Subsection (2)(a) from a beer wholesaler
             5610      licensee, the beer retailer shall purchase beer only from a beer wholesaler licensee who is
             5611      designated by the manufacturer to sell beer in the geographical area in which the beer retailer
             5612      is located, unless an alternate wholesaler is authorized by the department to sell to the beer
             5613      retailer as provided in Section 32B-13-301 .
             5614          (ii) Violation of Subsection (2)(b) is a class B misdemeanor.
             5615          (3) A retail licensee may not store, sell, offer for sale, or furnish an alcoholic product
             5616      in a place other than as designated in the retail licensee's application, unless the retail licensee
             5617      first applies for and receives approval from the department for a change of location within the
             5618      licensed premises.
             5619          (4) A liquor storage area shall remain locked at all times other than those hours and
             5620      days when liquor sales are authorized by law.
             5621          Section 159. Section 32B-5-304 is enacted to read:
             5622          32B-5-304. Portions in which alcoholic product may be sold.
             5623          (1) A retail licensee may sell, offer for sale, or furnish a primary spirituous liquor only
             5624      in a quantity that does not exceed 1.5 ounces per beverage dispensed through a calibrated
             5625      metered dispensing system approved by the department in accordance with commission rules
             5626      adopted under this title, except that:
             5627          (a) spirituous liquor need not be dispensed through a calibrated metered dispensing
             5628      system if used as a secondary flavoring ingredient in a beverage subject to the following
             5629      requirements:


             5630          (i) the secondary ingredient may be dispensed only in conjunction with the purchase
             5631      of a primary spirituous liquor;
             5632          (ii) the secondary ingredient may not be the only spirituous liquor in the beverage;
             5633          (iii) the retail licensee shall designate a location where flavorings are stored on the
             5634      floor plan submitted to the department; and
             5635          (iv) a flavoring container shall be plainly and conspicuously labeled "flavorings";
             5636          (b) spirituous liquor need not be dispensed through a calibrated metered dispensing
             5637      system if used:
             5638          (i) as a flavoring on a dessert; and
             5639          (ii) in the preparation of a flaming food dish, drink, or dessert; and
             5640          (c) a patron may have no more than 2.5 ounces of spirituous liquor at a time.
             5641          (2) (a) (i) A retail licensee may sell, offer for sale, or furnish wine by the glass or in an
             5642      individual portion that does not exceed 5 ounces per glass or individual portion.
             5643          (ii) A retail licensee may sell, offer for sale, or furnish an individual portion of wine to
             5644      a patron in more than one glass if the total amount of wine does not exceed 5 ounces.
             5645          (b) (i) A retail licensee may sell, offer for sale, or furnish wine in a package not
             5646      exceeding 1.5 liters at a price fixed by the commission to a table of four or more persons.
             5647          (ii) A retail licensee may sell, offer for sale, or furnish wine in a package not to exceed
             5648      750 milliliters at a price fixed by the commission to a table of less than four persons.
             5649          (3) A retail licensee may sell, offer for sale, or furnish heavy beer in an original
             5650      package at a price fixed by the commission, except that the original package may not exceed
             5651      one liter.
             5652          (4) A retail licensee may sell, offer for sale, or furnish a flavored malt beverage in an
             5653      original package at a price fixed by the commission, except that the original package may not
             5654      exceed one liter.
             5655          (5) (a) Subject to Subsection (5)(b), a retail licensee may sell, offer for sale, or furnish
             5656      beer for on-premise consumption:
             5657          (i) in an open original package; and


             5658          (ii) in a package on draft.
             5659          (b) A retail licensee may not sell, offer for sale, or furnish beer under Subsection
             5660      (5)(a):
             5661          (i) in a size of package that exceeds two liters; or
             5662          (ii) to an individual patron in a size of package that exceeds one liter.
             5663          Section 160. Section 32B-5-305 is enacted to read:
             5664          32B-5-305. Pricing of alcoholic product -- Other charge.
             5665          (1) (a) A retail licensee may sell, offer for sale, or furnish liquor only at a price fixed
             5666      by the commission.
             5667          (b) A retail licensee may not sell liquor at a discount price on any date or at any time.
             5668          (2) (a) A retail licensee may not sell, offer for sale, or furnish an alcoholic product at
             5669      less than the cost of the alcoholic product to the retail licensee.
             5670          (b) A retail licensee may not sell, offer for sale, or furnish an alcoholic product at a
             5671      special or reduced price that encourages over consumption or intoxication.
             5672          (c) A retail licensee may not sell, offer for sale, or furnish an alcoholic product at a
             5673      special or reduced price for only certain hours of the retail licensee's business day, such as a
             5674      "happy hour."
             5675          (d) A retail licensee may not sell, offer for sale, or furnish more than one alcoholic
             5676      product for the price of a single alcoholic product.
             5677          (e) A retail licensee may not sell, offer for sale, or furnish an indefinite or unlimited
             5678      number of alcoholic products during a set period for a fixed price.
             5679          (f) A retail licensee may not engage in a promotion involving or offering a free
             5680      alcoholic product to the general public.
             5681          (3) As authorized by commission rule, a retail licensee may charge a patron for
             5682      providing:
             5683          (a) a service related to liquor purchased at the licensed premises; or
             5684          (b) wine service performed for wine carried in by a patron in accordance with Section
             5685      32B-5-307 .


             5686          Section 161. Section 32B-5-306 is enacted to read:
             5687          32B-5-306. Purchasing or selling alcoholic product.
             5688          (1) A retail licensee may not sell, offer for sale, or furnish an alcoholic product to:
             5689          (a) a minor;
             5690          (b) a person actually, apparently, or obviously intoxicated;
             5691          (c) a known interdicted person; or
             5692          (d) a known habitual drunkard.
             5693          (2) (a) A patron may only purchase an alcoholic product in the licensed premises of a
             5694      retail licensee from and be served by an individual who is:
             5695          (i) staff of the retail licensee; and
             5696          (ii) designated and trained by the retail licensee to sell and serve an alcoholic product.
             5697          (b) An individual may sell, offer for sale, or furnish an alcoholic product to a patron
             5698      only if the individual is:
             5699          (i) staff of the retail licensee; and
             5700          (ii) designated and trained by the retail licensee to sell and serve an alcoholic product.
             5701          (c) Notwithstanding Subsection (2)(a) or (b), a patron who purchases bottled wine
             5702      from staff of the retail licensee or carries bottled wine onto the retail licensee's premises
             5703      pursuant to Section 32B-5-307 may thereafter serve wine from the bottle to the patron or
             5704      others at the patron's table.
             5705          (3) The following may not purchase an alcoholic product for a patron:
             5706          (a) a retail licensee; or
             5707          (b) staff of a retail licensee.
             5708          Section 162. Section 32B-5-307 is enacted to read:
             5709          32B-5-307. Bringing onto or removing alcoholic product from premises.
             5710          (1) Except as provided in Subsection (3):
             5711          (a) A person may not bring onto the licensed premises of a retail licensee an alcoholic
             5712      product for on-premise consumption.
             5713          (b) A retail licensee may not allow a person to:


             5714          (i) bring onto licensed premises an alcoholic product for on-premise consumption; or
             5715          (ii) consume an alcoholic product brought onto the licensed premises by a person
             5716      other than the retail licensee.
             5717          (2) Except as provided in Subsection (3):
             5718          (a) A person may not carry from a licensed premises of a retail licensee an open
             5719      package that:
             5720          (i) is used primarily for drinking purposes; and
             5721          (ii) contains an alcoholic product.
             5722          (b) A retail licensee may not permit a patron to carry from the licensed premises an
             5723      open package described in Subsection (2)(a).
             5724          (3) (a) A patron may bring a bottled wine onto the premises of a retail licensee for
             5725      on-premise consumption if:
             5726          (i) permitted by the retail licensee; and
             5727          (ii) the retail licensee is authorized to sell, offer for sale, or furnish wine.
             5728          (b) If a patron carries bottled wine onto the licensed premises of a retail licensee, the
             5729      patron shall deliver the bottled wine to a server or other representative of the retail licensee
             5730      upon entering the licensed premises.
             5731          (c) A retail licensee authorized to sell, offer for sale, or furnish wine, may provide a
             5732      wine service for a bottled wine carried onto the licensed premises in accordance with this
             5733      Subsection (3).
             5734          (d) A patron may remove from a licensed premises the unconsumed contents of a
             5735      bottle of wine purchased in the licensed premises, or brought onto the licensed premises in
             5736      accordance with this Subsection (3), only if before removal the bottle is recorked or recapped.
             5737          Section 163. Section 32B-5-308 is enacted to read:
             5738          32B-5-308. Requirements on staff or others on premises -- Employing a minor.
             5739          (1) Staff of a retail licensee, while on duty, may not:
             5740          (a) consume an alcoholic product; or
             5741          (b) be intoxicated.


             5742          (2) (a) A retail licensee may not employ a minor to sell, offer for sale, furnish, or
             5743      dispense an alcoholic product.
             5744          (b) Notwithstanding Subsection (2)(a), unless otherwise in the provisions related to the
             5745      specific type of retail license, a retail licensee may employ a minor who is at least 16 years of
             5746      age to enter the sale at a cash register or other sales recording device.
             5747          Section 164. Section 32B-5-309 is enacted to read:
             5748          32B-5-309. Ceasing operation -- Prohibiting transfer of license.
             5749          (1) (a) Except as provided in Subsection (1)(h), a retail licensee may not close or cease
             5750      operation for a period longer than 240 hours, unless:
             5751          (i) the retail licensee notifies the department in writing at least seven days before the
             5752      day on which the retail licensee closes or ceases operation; and
             5753          (ii) the closure or cessation of operation is first approved by the department.
             5754          (b) Notwithstanding Subsection (1)(a), in the case of emergency closure, a retail
             5755      licensee shall immediately notify the department by telephone.
             5756          (c) (i) The department may authorize a closure or cessation of operation of a retail
             5757      licensee for a period not to exceed 60 days.
             5758          (ii) The department may extend the initial period an additional 30 days upon:
             5759          (A) written request of the retail licensee; and
             5760          (B) a showing of good cause.
             5761          (d) A closure or cessation of operation may not exceed a total of 90 days without
             5762      commission approval.
             5763          (e) A notice required under this Subsection (1) shall include:
             5764          (i) the dates of closure or cessation of operation;
             5765          (ii) the reason for the closure or cessation of operation; and
             5766          (iii) the date on which the retail licensee will reopen or resume operation.
             5767          (f) Failure of a retail licensee to provide notice and to obtain department approval
             5768      before closure or cessation of operation results in an automatic forfeiture of:
             5769          (i) the retail license; and


             5770          (ii) the unused portion of the retail license fee for the remainder of the retail license
             5771      year effective immediately.
             5772          (g) Failure of a retail licensee to reopen or resume operation by the approved date
             5773      results in an automatic forfeiture of:
             5774          (i) the retail license; and
             5775          (ii) the unused portion of the retail license fee for the remainder of the retail license
             5776      year.
             5777          (h) This Subsection (1) does not apply to:
             5778          (i) an on-premise beer retailer who is not a tavern; or
             5779          (ii) an airport lounge licensee.
             5780          (2) A retail licensee may not transfer a retail license from one location to another
             5781      location, without prior written approval of the commission.
             5782          (3) (a) A person, having been issued a retail license may not sell, transfer, assign,
             5783      exchange, barter, give, or attempt in any way to dispose of the retail license to another person
             5784      whether for monetary gain or not.
             5785          (b) A retail license has no monetary value for any type of disposition.
             5786          Section 165. Section 32B-5-310 is enacted to read:
             5787          32B-5-310. Notifying department of change in ownership.
             5788          The commission may suspend or revoke a retail license if the retail licensee does not
             5789      immediately notify the department of a change in:
             5790          (1) ownership of the premises of the retail license;
             5791          (2) for a corporate owner, the:
             5792          (a) corporate officers or directors of the retail licensee; or
             5793          (b) shareholders holding at least 20% of the total issued and outstanding stock of the
             5794      corporation; or
             5795          (3) for a limited liability company:
             5796          (a) managers of the limited liability company; or
             5797          (b) members owning at least 20% of the limited liability company.


             5798          Section 166. Section 32B-5-401 is enacted to read:
             5799     
Part 4. Alcohol Training and Education Act

             5800          32B-5-401. Title.
             5801          This part is known as the "Alcohol Training and Education Act."
             5802          Section 167. Section 32B-5-402 is enacted to read:
             5803          32B-5-402. Definitions.
             5804          Reserved
             5805          Section 168. Section 32B-5-403 is enacted to read:
             5806          32B-5-403. Alcohol training and education -- Revocation, suspension, or
             5807      nonrenewal of retail license.
             5808          (1) The commission may suspend, revoke, or not renew a license of a retail licensee if
             5809      any of the following individuals, as defined in Section 62A-15-401 , fail to complete an alcohol
             5810      training and education seminar:
             5811          (a) an individual who manages operations at the licensed premises for consumption on
             5812      the licensed premises;
             5813          (b) an individual who supervises the furnishing of an alcoholic product to a patron for
             5814      consumption on the licensed premises; or
             5815          (c) an individual who serves an alcoholic product to a patron for consumption on the
             5816      licensed premises.
             5817          (2) A city, town, or county in which a retail licensee conducts its business may
             5818      suspend, revoke, or not renew the business license of the retail licensee if an individual
             5819      described in Subsection (1) fails to complete an alcohol training and education seminar.
             5820          (3) A local authority that issues an off-premise beer retailer license to a business that is
             5821      engaged in the retail sale of beer for consumption off the beer retailer's premises may
             5822      immediately suspend the off-premise beer retailer license if any of the following individuals
             5823      fails to complete an alcohol training and education seminar, an individual who:
             5824          (a) directly supervises the sale of beer to a patron for consumption off the premises of
             5825      the off-premise beer retailer; or


             5826          (b) sells beer to a patron for consumption off the premises of the off-premise beer
             5827      retailer.
             5828          Section 169. Section 32B-5-404 is enacted to read:
             5829          32B-5-404. Alcohol training and education for off-premise consumption.
             5830          (1) (a) A local authority that issues an off-premise beer retailer license to a business to
             5831      sell beer at retail for off-premise consumption shall require the following to have a valid record
             5832      that the individual completed an alcohol training and education seminar in the time periods
             5833      required by Subsection (1)(b), an individual who:
             5834          (i) directly supervises the sale of beer to a patron for consumption off the premises of
             5835      the off-premise beer retailer; or
             5836          (ii) sells beer to a patron for consumption off the premises of the off-premise beer
             5837      retailer.
             5838          (b) If an individual on the date the individual becomes staff to an off-premise beer
             5839      retailer does not have a valid record that the individual has completed an alcohol training and
             5840      education seminar for purposes of this part, the individual shall complete an alcohol training
             5841      and education seminar within 30 days of the day on which the individual becomes staff of an
             5842      off-premise beer retailer.
             5843          (c) Section 62A-15-401 governs the validity of a record that an individual has
             5844      completed an alcohol training and education seminar required by this part.
             5845          (2) In accordance with Section 32B-5-403 , a local authority may immediately suspend
             5846      the license of an off-premise beer retailer that allows staff to directly supervise the sale of beer
             5847      or to sell beer to a patron without having a valid record that the individual completed an
             5848      alcohol training and education seminar in accordance with Subsection (1).
             5849          Section 170. Section 32B-6-101 is enacted to read:
             5850     
CHAPTER 6. SPECIFIC RETAIL LICENSE ACT

             5851     
Part 1. General Provisions

             5852          32B-6-101. Title.
             5853          This chapter is known as the "Specific Retail License Act."


             5854          Section 171. Section 32B-6-102 is enacted to read:
             5855          32B-6-102. Definitions.
             5856          As used in this chapter:
             5857          (1) (a) "Grandfathered bar structure" means a bar structure in a licensed premises of a
             5858      full-service restaurant licensee or limited-service restaurant licensee that:
             5859          (i) as of May 11, 2009, has:
             5860          (A) patron seating at the bar structure;
             5861          (B) a partition at one or more locations on the bar structure that is along:
             5862          (I) the width of the bar structure; or
             5863          (II) the length of the bar structure; and
             5864          (C) facilities for the dispensing or storage of an alcoholic product:
             5865          (I) on the portion of the bar structure that is separated by the partition described in
             5866      Subsection (1)(a)(i)(B); or
             5867          (II) if the partition is described in Subsection (1)(a)(i)(B)(II), adjacent to the bar
             5868      structure in a manner visible to a patron sitting at the bar structure;
             5869          (ii) is not operational as of May 12, 2009, if:
             5870          (A) a person applying for a full-service restaurant license or limited-service restaurant
             5871      license:
             5872          (I) has as of May 12, 2009, a building permit to construct the restaurant;
             5873          (II) is as of May 12, 2009, actively engaged in the construction of the restaurant, as
             5874      defined by rule made by the commission; and
             5875          (III) is issued the full-service restaurant license or limited-service restaurant license by
             5876      no later than December 31, 2009; and
             5877          (B) once constructed, the licensed premises has a bar structure described in Subsection
             5878      (1)(a)(i);
             5879          (iii) as of May 12, 2009, has no patron seating at the bar structure; or
             5880          (iv) is not operational as of May 12, 2009, if:
             5881          (A) a person applying for a full-service restaurant license or limited-service restaurant


             5882      license:
             5883          (I) has as of May 12, 2009, a building permit to construct the restaurant;
             5884          (II) is as of May 12, 2009, actively engaged in the construction of the restaurant, as
             5885      defined by rule made by the commission; and
             5886          (III) is issued a full-service restaurant license or limited-service restaurant license by
             5887      no later than December 31, 2009; and
             5888          (B) once constructed, the licensed premises has a bar structure with no patron seating.
             5889          (b) "Grandfathered bar structure" does not include a grandfathered bar structure
             5890      described in Subsection (1)(a) on or after the day on which a restaurant remodels the
             5891      grandfathered bar structure, as defined by rule made by the commission.
             5892          (c) Subject to Subsection (1)(b), a grandfathered bar structure remains a grandfathered
             5893      bar structure notwithstanding whether a restaurant undergoes a change of ownership.
             5894          (2) "Seating grandfathered bar structure" means a grandfathered bar structure
             5895      described in Subsection (1)(a)(i) or (ii).
             5896          Section 172. Section 32B-6-201 is enacted to read:
             5897     
Part 2. Full-service Restaurant License

             5898          32B-6-201. Title.
             5899          This part is known as "Full-service Restaurant License."
             5900          Section 173. Section 32B-6-202 is enacted to read:
             5901          32B-6-202. Definitions.
             5902          Reserved
             5903          Section 174. Section 32B-6-203 is enacted to read:
             5904          32B-6-203. Commission's power to issue full-service restaurant license.
             5905          (1) Before a person may store, sell, offer for sale, furnish, or allow the consumption of
             5906      an alcoholic product on its premises as a full-service restaurant, the person shall first obtain a
             5907      full-service restaurant license from the commission in accordance with this part.
             5908          (2) The commission may issue a full-service restaurant license to establish full-service
             5909      restaurant licensed premises at places and in numbers the commission considers proper for the


             5910      storage, sale, offer for sale, furnishing, and consumption of an alcoholic product on premises
             5911      operated as a full-service restaurant.
             5912          (3) (a) The commission may not issue a total number of full-service restaurant licenses
             5913      that at any time exceeds the number determined by dividing the population of the state by
             5914      5,200.
             5915          (b) The commission may issue a seasonal full-service restaurant license in accordance
             5916      with Section 32B-5-206 .
             5917          (c) (i) If the location, design, and construction of a hotel may require more than one
             5918      full-service restaurant sales location within the hotel to serve the public convenience, the
             5919      commission may authorize the sale, offer for sale, or furnishing of an alcoholic product at as
             5920      many as three full-service restaurant locations within the hotel under one full-service
             5921      restaurant license if:
             5922          (A) the hotel has a minimum of 150 guest rooms; and
             5923          (B) the locations under the full-service restaurant license are:
             5924          (I) within the same hotel; and
             5925          (II) on premises that are managed or operated, and owned or leased, by the full-service
             5926      restaurant licensee.
             5927          (ii) A facility other than a hotel shall have a separate full-service restaurant license for
             5928      each full-service restaurant where an alcoholic product is sold, offered for sale, or furnished.
             5929          (4) (a) Except as provided in Subsection (4)(b), the commission may not issue a
             5930      full-service restaurant license for premises that do not meet the proximity requirements of
             5931      Section 32B-1-202 .
             5932          (b) With respect to the premises of a full-service restaurant license issued by the
             5933      commission that undergoes a change of ownership, the commission shall waive or vary the
             5934      proximity requirements of Subsection 32B-1-202 (2) in considering whether to issue a
             5935      full-service restaurant license to the new owner of the premises if:
             5936          (i) when a full-service restaurant license was issued to a previous owner, the premises
             5937      met the proximity requirements of Subsection 32B-1-202 (2);


             5938          (ii) the premises has had a full-service restaurant license at all times since the
             5939      full-service restaurant license described in Subsection (4)(b)(i) was issued without a variance;
             5940      and
             5941          (iii) the community location was located within the proximity requirements of
             5942      Subsection 32B-1-202 (2) after the day on which the full-service restaurant license described in
             5943      Subsection (4)(b)(i) was issued.
             5944          Section 175. Section 32B-6-204 is enacted to read:
             5945          32B-6-204. Specific licensing requirements for full-service restaurant license.
             5946          (1) To obtain a full-service restaurant license a person shall comply with Chapter 5,
             5947      Part 2, Retail Licensing Process.
             5948          (2) (a) A full-service restaurant license expires on October 31 of each year.
             5949          (b) To renew a person's full-service restaurant license, a person shall comply with the
             5950      renewal requirements of Chapter 5, Part 2, Retail Licensing Process, by no later than
             5951      September 30.
             5952          (3) (a) The nonrefundable application fee for a full-service restaurant license is $250.
             5953          (b) The initial license fee for a full-service restaurant license is $1,750.
             5954          (c) The renewal fee for a full-service restaurant license is in the following amount:
             5955      Gross Cost of Liquor in Previous License Year for the Licensee        Renewal Fee
             5956          under $5,000                                $750
             5957          equals or exceeds $5,000 but less than $10,000            $900
             5958          equals or exceeds $10,000 but less than $25,000            $1,250
             5959          equals or exceeds $25,000                        $1,500
             5960          (4) The bond amount required for a full-service restaurant license is the penal sum of
             5961      $10,000.
             5962          Section 176. Section 32B-6-205 is enacted to read:
             5963          32B-6-205. Specific operational requirements for a full-service restaurant
             5964      license.
             5965          (1) (a) In addition to complying with Chapter 5, Part 3, Retail Licensee Operational


             5966      Requirements, a full-service restaurant licensee and staff of the full-service restaurant licensee
             5967      shall comply with this section.
             5968          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             5969      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             5970          (i) a full-service restaurant licensee;
             5971          (ii) individual staff of a full-service restaurant licensee; or
             5972          (iii) both a full-service restaurant licensee and staff of the full-service restaurant
             5973      licensee.
             5974          (2) In addition to complying with Subsection 32B-5-301 (3), a full-service restaurant
             5975      licensee shall display in a prominent place in the restaurant a list of the types and brand names
             5976      of liquor being furnished through the full-service restaurant licensee's calibrated metered
             5977      dispensing system.
             5978          (3) In addition to complying with Section 32B-5-303 , a full-service restaurant licensee
             5979      shall store an alcoholic product in a storage area described in Subsection (12)(a).
             5980          (4) (a) An individual who serves an alcoholic product in a full-service restaurant
             5981      licensee's premises shall make a written beverage tab for each table or group that orders or
             5982      consumes an alcoholic product on the premises.
             5983          (b) A beverage tab required by this Subsection (4) shall list the type and amount of an
             5984      alcoholic product ordered or consumed.
             5985          (5) A person's willingness to serve an alcoholic product may not be made a condition
             5986      of employment as a server with a full-service restaurant licensee.
             5987          (6) (a) A full-service restaurant licensee may not sell, offer for sale, or furnish liquor at
             5988      the licensed premises on any day during the period that:
             5989          (i) begins at midnight; and
             5990          (ii) ends at 11:59 a.m.
             5991          (b) A full-service restaurant licensee may sell, offer for sale, or furnish beer during the
             5992      hours specified in Part 7, On-premise Beer Retailer License, for an on-premise beer retailer.
             5993          (7) A full-service restaurant licensee shall maintain at least 70% of its total restaurant


             5994      business from the sale of food, which does not include:
             5995          (a) mix for an alcoholic product; or
             5996          (b) a service charge.
             5997          (8) (a) A full-service restaurant may not sell, offer for sale, or furnish an alcoholic
             5998      product except in connection with an order for food prepared, sold, and furnished at the
             5999      licensed premises.
             6000          (b) A full-service restaurant shall maintain on the licensed premises adequate culinary
             6001      facilities for food preparation and dining accommodations.
             6002          (9) (a) Subject to the other provisions of this Subsection (9), a patron may not have
             6003      more than two alcoholic products of any kind at a time before the patron.
             6004          (b) A patron may not have more than one spirituous liquor drink at a time before the
             6005      patron.
             6006          (c) An individual portion of wine is considered to be one alcoholic product under
             6007      Subsection (9)(a).
             6008          (10) A patron may consume an alcoholic product only:
             6009          (a) at:
             6010          (i) the patron's table;
             6011          (ii) a counter; or
             6012          (iii) a seating grandfathered bar structure; and
             6013          (b) where food is served.
             6014          (11) (a) A full-service restaurant licensee may not sell, offer for sale, or furnish an
             6015      alcoholic product to a patron, and a patron may not consume an alcoholic product at a bar
             6016      structure that is not a seating grandfathered bar structure.
             6017          (b) At a seating grandfathered bar structure a patron who is 21 years of age or older
             6018      may:
             6019          (i) sit;
             6020          (ii) be furnished an alcoholic product; and
             6021          (iii) consume an alcoholic product.


             6022          (c) Except as provided in Subsection (11)(d), at a seating grandfathered bar structure a
             6023      full-service restaurant licensee may not permit a minor to, and a minor may not:
             6024          (i) sit; or
             6025          (ii) consume food or beverages.
             6026          (d) (i) A minor may be at a seating grandfathered bar structure if the minor is
             6027      employed by a full-service restaurant licensee:
             6028          (A) as provided in Subsection 32B-5-308 (2); or
             6029          (B) to perform maintenance and cleaning services during an hour when the full-service
             6030      restaurant licensee is not open for business.
             6031          (ii) A minor may momentarily pass by a seating grandfathered bar structure without
             6032      remaining or sitting at the bar structure en route to an area of a full-service restaurant
             6033      licensee's premises in which the minor is permitted to be.
             6034          (12) Except as provided in Subsection 32B-5-307 (3), a full-service restaurant licensee
             6035      may dispense an alcoholic product only if:
             6036          (a) the alcoholic product is dispensed from:
             6037          (i) a grandfathered bar structure;
             6038          (ii) an area adjacent to a grandfathered bar structure that is visible to a patron sitting at
             6039      the grandfathered bar structure if that area is used to dispense an alcoholic product as of May
             6040      12, 2009; or
             6041          (iii) an area that is:
             6042          (A) separated from an area for the consumption of food by a patron by a solid, opaque,
             6043      permanent structural barrier such that the facilities for the storage or dispensing of an
             6044      alcoholic product are:
             6045          (I) not readily visible to a patron; and
             6046          (II) not accessible by a patron; and
             6047          (B) apart from an area used:
             6048          (I) for dining;
             6049          (II) for staging; or


             6050          (III) as a lobby or waiting area;
             6051          (b) the full-service restaurant licensee uses an alcoholic product that is:
             6052          (i) stored in an area described in Subsection (12)(a); or
             6053          (ii) in an area not described in Subsection (12)(a) on the licensed premises and:
             6054          (A) immediately before the alcoholic product is dispensed it is in an unopened
             6055      package;
             6056          (B) the unopened package is taken to an area described in Subsection (12)(a) before it
             6057      is opened; and
             6058          (C) once opened, the package is stored in an area described in Subsection (12)(a); and
             6059          (c) any instrument or equipment used to dispense alcoholic product is located in an
             6060      area described in Subsection (12)(a).
             6061          (13) A full-service restaurant licensee may state in a food or alcoholic product menu a
             6062      charge or fee made in connection with the sale, service, or consumption of liquor including:
             6063          (a) a set-up charge;
             6064          (b) a service charge; or
             6065          (c) a chilling fee.
             6066          Section 177. Section 32B-6-205.1 is enacted to read:
             6067          32B-6-205.1. Credit for grandfathered bar structures of full-service restaurant
             6068      licensee.
             6069          (1) A full-service restaurant licensee that has a grandfathered bar structure may receive
             6070      a credit for purchases from a state store or package agency if:
             6071          (a) the full-service restaurant licensee completes a remodel of the grandfathered bar
             6072      structure by no later than December 31, 2011;
             6073          (b) the remodeling described in Subsection (1)(a) results in the full-service restaurant
             6074      licensee engaging in an activity described in Subsection 32B-6-205 (12) only in an area
             6075      described in Subsection 32B-6-205 (12)(a)(iii);
             6076          (c) the full-service restaurant licensee requests the credit by no later than April 1,
             6077      2012;


             6078          (d) the department determines that the full-service restaurant licensee has completed a
             6079      remodel described in Subsections (1)(a) and (b); and
             6080          (e) the department authorizes the credit, including the amount of the credit under
             6081      Subsection (2), on the basis that:
             6082          (i) the full-service restaurant licensee complied with this section; and
             6083          (ii) the aggregate of credits authorized under this section and Section 32B-6-305.1
             6084      before the current authorization does not exceed the amount described in Subsection (5)(a).
             6085          (2) The amount of the credit described in this section is the lesser of:
             6086          (a) the actual costs of the remodel as evidenced by receipts, copies of which are
             6087      submitted to the department as part of the request for the credit; or
             6088          (b) $30,000.
             6089          (3) For a full-service restaurant licensee, a credit under this section:
             6090          (a) begins on the day on which the department authorizes the credit under Subsection
             6091      (1); and
             6092          (b) ends the day on which the full-service restaurant licensee uses all of the credit.
             6093          (4) The department shall by contract provide for how a package agency accounts for a
             6094      credit purchase made at the package agency by a full-service restaurant licensee under this
             6095      section.
             6096          (5) (a) Notwithstanding the other provisions of this section, the department may not
             6097      authorize a credit if the aggregate of credits authorized under this section and Section
             6098      32B-6-305.1 before the department authorizes the credit exceeds:
             6099          (i) $1,000,000, for the aggregate of credits under this section and Section
             6100      32B-6-305.1 , if the credit could be used on or before June 30, 2010; and
             6101          (ii) subject to Subsection (5)(a)(i), $1,090,000 for the aggregate of all credits that can
             6102      be authorized under this section and Section 32B-6-305.1 .
             6103          (b) The department shall authorize credits in the order that the department receives a
             6104      request described in Subsection (1)(c) from a full-service restaurant licensee requesting a
             6105      credit under this section.


             6106          Section 178. Section 32B-6-301 is enacted to read:
             6107     
Part 3. Limited-service Restaurant License

             6108          32B-6-301. Title.
             6109          This part is known as "Limited-service Restaurant License."
             6110          Section 179. Section 32B-6-302 is enacted to read:
             6111          32B-6-302. Definitions.
             6112          For purposes of this part, wine includes an alcoholic beverage defined as wine under
             6113      27 U.S.C. Sec. 211 and 27 C.F.R. Sec. 4.10, including the following alcoholic beverages made
             6114      in the manner of wine containing not less than 7% and not more than 24% of alcohol by
             6115      volume:
             6116          (1) sparkling and carbonated wine;
             6117          (2) wine made from condensed grape must;
             6118          (3) wine made from other agricultural products than the juice of sound, ripe grapes;
             6119          (4) imitation wine;
             6120          (5) compounds sold as wine;
             6121          (6) vermouth;
             6122          (7) cider;
             6123          (8) perry; and
             6124          (9) sake.
             6125          Section 180. Section 32B-6-303 is enacted to read:
             6126          32B-6-303. Commission's power to issue limited-service restaurant license.
             6127          (1) Before a person may store, sell, offer for sale, furnish, or allow the consumption of
             6128      wine, heavy beer, or beer on its premises as a limited-service restaurant, the person shall first
             6129      obtain a limited-service restaurant license from the commission in accordance with this part.
             6130          (2) (a) The commission may issue a limited-service restaurant license to establish
             6131      limited-service restaurant licensed premises at places and in numbers the commission
             6132      considers proper for the storage, sale, offer for sale, furnishing, and consumption of wine,
             6133      heavy beer, or beer on premises operated as a limited-service restaurant.


             6134          (b) A person may not sell, offer for sale, furnish, or allow the consumption of the
             6135      following on the licensed premises of a limited-service restaurant licensee:
             6136          (i) spirituous liquor; or
             6137          (ii) a flavored malt beverage.
             6138          (3) (a) The commission may not issue a total number of limited-service restaurant
             6139      licenses that at any time exceeds the number determined by dividing the population of the
             6140      state by 9,300.
             6141          (b) The commission may issue a seasonal limited-service restaurant license in
             6142      accordance with Section 32B-5-206 .
             6143          (c) (i) If the location, design, and construction of a hotel may require more than one
             6144      limited-service restaurant sales location within the hotel to serve the public convenience, the
             6145      commission may authorize the sale of wine, heavy beer, and beer at as many as three
             6146      limited-service restaurant locations within the hotel under one limited-service restaurant
             6147      license if:
             6148          (A) the hotel has a minimum of 150 guest rooms; and
             6149          (B) the locations under the limited-service restaurant license are:
             6150          (I) within the same hotel; and
             6151          (II) on premises that are managed or operated, and owned or leased by the
             6152      limited-service restaurant licensee.
             6153          (ii) A facility other than a hotel shall have a separate limited-service restaurant license
             6154      for each limited-service restaurant where wine, heavy beer, or beer is sold, offered for sale, or
             6155      furnished.
             6156          (4) (a) Except as provided in Subsection (4)(b), the commission may not issue a
             6157      limited-service restaurant license for premises that do not meet the proximity requirements of
             6158      Section 32B-1-202 .
             6159          (b) With respect to the premises of a limited-service restaurant license issued by the
             6160      commission that undergoes a change of ownership, the commission shall waive or vary the
             6161      proximity requirements of Subsection 32B-1-202 (2) in considering whether to issue a


             6162      limited-service restaurant license to the new owner of the premises if:
             6163          (i) when a limited-service restaurant license was issued to a previous owner, the
             6164      premises met the proximity requirements of Subsection 32B-1-202 (2);
             6165          (ii) the premises has had a limited-service restaurant license at all times since the
             6166      limited-service restaurant license described in Subsection (4)(b)(i) was issued without a
             6167      variance; and
             6168          (iii) the community location was located within the proximity requirements of
             6169      Subsection 32B-1-202 (2) after the day on which the limited-service restaurant license
             6170      described in Subsection (4)(b)(i) was issued.
             6171          Section 181. Section 32B-6-304 is enacted to read:
             6172          32B-6-304. Specific licensing requirements for limited-service restaurant license.
             6173          (1) To obtain a limited-service restaurant license a person shall comply with Chapter
             6174      5, Part 2, Retail Licensing Process.
             6175          (2) (a) A limited-service restaurant license expires on October 31 of each year.
             6176          (b) To renew a person's limited-service restaurant license, a person shall comply with
             6177      the renewal requirements of Chapter 5, Part 2, Retail Licensing Process, by no later than
             6178      September 30.
             6179          (3) (a) The nonrefundable application fee for a limited-service restaurant license is
             6180      $250.
             6181          (b) The initial license fee for a limited-service restaurant license is $500.
             6182          (c) The renewal fee for a limited-service restaurant license is $300.
             6183          (4) The bond amount required for a limited-service restaurant license is the penal sum
             6184      of $5,000.
             6185          Section 182. Section 32B-6-305 is enacted to read:
             6186          32B-6-305. Specific operational requirements for a limited-service restaurant
             6187      license.
             6188          (1) (a) In addition to complying with Chapter 5, Part 3, Retail Licensee Operational
             6189      Requirements, a limited-service restaurant licensee and staff of the limited-service restaurant


             6190      licensee shall comply with this section.
             6191          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             6192      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             6193          (i) a limited-service restaurant licensee;
             6194          (ii) individual staff of a limited-service restaurant licensee; or
             6195          (iii) both a limited-service restaurant licensee and staff of the limited-service
             6196      restaurant licensee.
             6197          (2) (a) A limited-service restaurant licensee on the licensed premises may not sell,
             6198      offer for sale, furnish, or allow consumption of:
             6199          (i) spirituous liquor; or
             6200          (ii) a flavored malt beverage.
             6201          (b) A product listed in Subsection (2)(a) may not be on the premises of a
             6202      limited-service restaurant licensee except for use:
             6203          (i) as a flavoring on a dessert; and
             6204          (ii) in the preparation of a flaming food dish, drink, or dessert.
             6205          (3) In addition to complying with Section 32B-5-303 , a limited-service restaurant
             6206      licensee shall store an alcoholic product in a storage area described in Subsection (12)(a).
             6207          (4) (a) An individual who serves an alcoholic product in a limited-service restaurant
             6208      licensee's premises shall make a written beverage tab for each table or group that orders or
             6209      consumes an alcoholic product on the premises.
             6210          (b) A beverage tab required by this Subsection (4) shall list the type and amount of an
             6211      alcoholic product ordered or consumed.
             6212          (5) A person's willingness to serve an alcoholic product may not be made a condition
             6213      of employment as a server with a limited-service restaurant licensee.
             6214          (6) (a) A limited-service restaurant licensee may not sell, offer for sale, or furnish wine
             6215      or heavy beer at the licensed premises on any day during the period that:
             6216          (i) begins at midnight; and
             6217          (ii) ends at 11:59 a.m.


             6218          (b) A limited-service restaurant licensee may sell, offer for sale, or furnish beer during
             6219      the hours specified in Part 7, On-premise Beer Retailer License, for an on-premise beer
             6220      retailer.
             6221          (7) A limited-service restaurant licensee shall maintain at least 70% of its total
             6222      restaurant business from the sale of food, which does not include a service charge.
             6223          (8) (a) A limited-service restaurant may not sell, offer for sale, or furnish an alcoholic
             6224      product except in connection with an order for food prepared, sold, and furnished at the
             6225      licensed premises.
             6226          (b) A limited-service restaurant shall maintain on the licensed premises adequate
             6227      culinary facilities for food preparation and dining accommodations.
             6228          (9) (a) Subject to the other provisions of this Subsection (9), a patron may not have
             6229      more than two alcoholic products of any kind at a time before the patron.
             6230          (b) An individual portion of wine is considered to be one alcoholic product under
             6231      Subsection (9)(a).
             6232          (10) A patron may consume an alcoholic product only:
             6233          (a) at:
             6234          (i) the patron's table;
             6235          (ii) a counter; or
             6236          (iii) a seating grandfathered bar structure; and
             6237          (b) where food is served.
             6238          (11) (a) A limited-service restaurant licensee may not sell, offer for sale, or furnish an
             6239      alcoholic product to a patron, and a patron may not consume an alcoholic product at a bar
             6240      structure that is not a seating grandfathered bar structure.
             6241          (b) At a seating grandfathered bar structure a patron who is 21 years of age or older
             6242      may:
             6243          (i) sit;
             6244          (ii) be furnished an alcoholic product; and
             6245          (iii) consume an alcoholic product.


             6246          (c) Except as provided in Subsection (11)(d), at a seating grandfathered bar structure a
             6247      limited-service restaurant licensee may not permit a minor to, and a minor may not:
             6248          (i) sit; or
             6249          (ii) consume food or beverages.
             6250          (d) (i) A minor may be at a seating grandfathered bar structure if the minor is
             6251      employed by a limited-service restaurant licensee:
             6252          (A) as provided in Subsection 32B-5-308 (2); or
             6253          (B) to perform maintenance and cleaning services during an hour when the
             6254      limited-service restaurant licensee is not open for business.
             6255          (ii) A minor may momentarily pass by a seating grandfathered bar structure without
             6256      remaining or sitting at the bar structure en route to an area of a limited-service restaurant
             6257      licensee's premises in which the minor is permitted to be.
             6258          (12) Except as provided in Subsection 32B-5-307 (3), a limited-service restaurant
             6259      licensee may dispense an alcoholic product only if:
             6260          (a) the alcoholic product is dispensed from:
             6261          (i) a grandfathered bar structure;
             6262          (ii) an area adjacent to a grandfathered bar structure that is visible to a patron sitting at
             6263      the grandfathered bar structure if that area is used to dispense an alcoholic product as of May
             6264      12, 2009; or
             6265          (iii) an area that is:
             6266          (A) separated from an area for the consumption of food by a patron by a solid, opaque,
             6267      permanent structural barrier such that the facilities for the storage or dispensing of an
             6268      alcoholic product are:
             6269          (I) not readily visible to a patron; and
             6270          (II) not accessible by a patron; and
             6271          (B) apart from an area used:
             6272          (I) for dining;
             6273          (II) for staging; or


             6274          (III) as a lobby or waiting area;
             6275          (b) the limited-service restaurant licensee uses an alcoholic product that is:
             6276          (i) stored in an area described in Subsection (12)(a); or
             6277          (ii) in an area not described in Subsection (12)(a) on the licensed premises and:
             6278          (A) immediately before the alcoholic product is dispensed it is in an unopened
             6279      package;
             6280          (B) the unopened package is taken to an area described in Subsection (12)(a) before it
             6281      is opened; and
             6282          (C) once opened, the package is stored in an area described in Subsection (12)(a); and
             6283          (c) any instrument or equipment used to dispense alcoholic product is located in an
             6284      area described in Subsection (12)(a).
             6285          (13) A limited-service restaurant licensee may state in a food or alcoholic product
             6286      menu a charge or fee made in connection with the sale, service, or consumption of wine or
             6287      heavy beer including:
             6288          (a) a set-up charge;
             6289          (b) a service charge; or
             6290          (c) a chilling fee.
             6291          Section 183. Section 32B-6-305.1 is enacted to read:
             6292          32B-6-305.1. Credit for grandfathered bar structures for limited-service
             6293      restaurant licensee.
             6294          (1) A limited-service restaurant licensee that has a grandfathered bar structure may
             6295      receive a credit for purchases from a state store or package agency if:
             6296          (a) the limited-service restaurant licensee completes a remodel of the grandfathered
             6297      bar structure by no later than December 31, 2011;
             6298          (b) the remodeling described in Subsection (1)(a) results in the limited-service
             6299      restaurant licensee engaging in an activity described in Subsection 32B-6-305 (12) only in an
             6300      area described in Subsection 32B-6-305 (12)(a)(iii);
             6301          (c) the limited-service restaurant licensee requests the credit by no later than April 1,


             6302      2012;
             6303          (d) the department determines that the limited-service restaurant licensee has
             6304      completed a remodel described in Subsections (1)(a) and (b); and
             6305          (e) the department authorizes the credit, including the amount of the credit under
             6306      Subsection (2), on the basis that:
             6307          (i) the limited-service restaurant licensee complied with this section; and
             6308          (ii) the aggregate of credits authorized under this section and Section 32B-6-205.1
             6309      before the current authorization does not exceed the amount described in Subsection (5)(a).
             6310          (2) The amount of the credit described in this section is the lesser of:
             6311          (a) the actual costs of the remodel as evidenced by receipts, copies of which are
             6312      submitted to the department as part of the request for the credit; or
             6313          (b) $30,000.
             6314          (3) For a limited-service restaurant licensee, a credit under this section:
             6315          (a) begins on the day on which the department authorizes the credit under Subsection
             6316      (1); and
             6317          (b) ends the day on which the limited-service restaurant licensee uses all of the credit.
             6318          (4) The department shall by contract provide for how a package agency accounts for a
             6319      credit purchase made at the package agency by a limited-service restaurant licensee under this
             6320      section.
             6321          (5) (a) Notwithstanding the other provisions of this section, the department may not
             6322      authorize a credit if the aggregate of credits authorized under this section and Section
             6323      32B-6-205.1 before the department authorizes the credit exceeds:
             6324          (i) $1,000,000, for the aggregate of credits under this section and Section
             6325      32B-6-205.1 , if the credit could be used on or before June 30, 2010; and
             6326          (ii) subject to Subsection (5)(a)(i), $1,090,000 for the aggregate of all credits that can
             6327      be authorized under this section and Section 32B-6-205.1 .
             6328          (b) The department shall authorize credits in the order that the department receives a
             6329      request described in Subsection (1)(c) from a limited-service restaurant licensee requesting a


             6330      credit under this section.
             6331          Section 184. Section 32B-6-401 is enacted to read:
             6332     
Part 4. Club License

             6333          32B-6-401. Title.
             6334          This part is known as "Club License."
             6335          Section 185. Section 32B-6-402 is enacted to read:
             6336          32B-6-402. Definitions.
             6337          Reserved
             6338          Section 186. Section 32B-6-403 is enacted to read:
             6339          32B-6-403. Commission's power to issue club license.
             6340          (1) Before a person may store, sell, offer for sale, furnish, or allow the consumption of
             6341      an alcoholic product on its premises as a club licensee, the person shall first obtain a club
             6342      license from the commission in accordance with this part.
             6343          (2) The commission may issue a club license to establish club licensed premises at
             6344      places and in numbers the commission considers proper for the storage, sale, offer for sale,
             6345      furnishing, and consumption of an alcoholic product on premises operated by a club licensee.
             6346          (3) (a) The commission may not issue a total number of club licenses that at any time
             6347      exceeds the number determined by dividing the population of the state by 7,850.
             6348          (b) The commission may issue a seasonal club license in accordance with Section
             6349      32B-5-206 to:
             6350          (i) a dining club licensee; or
             6351          (ii) a social club licensee.
             6352          (c) (i) If the location, design, and construction of a hotel may require more than one
             6353      dining club license or social club license location within the hotel to serve the public
             6354      convenience, the commission may authorize as many as three club license locations within the
             6355      hotel under one club license if:
             6356          (A) the hotel has a minimum of 150 guest rooms; and
             6357          (B) all locations under the club license are:


             6358          (I) within the same hotel; and
             6359          (II) on premises that are managed or operated, and owned or leased, by the club
             6360      licensee.
             6361          (ii) A facility other than a hotel shall have a separate club license for each club license
             6362      location where an alcoholic product is sold, offered for sale, or furnished.
             6363          Section 187. Section 32B-6-404 is enacted to read:
             6364          32B-6-404. Types of club license.
             6365          (1) To obtain an equity club license, in addition to meeting the other requirements of
             6366      this part, a person shall:
             6367          (a) whether incorporated or unincorporated:
             6368          (i) be organized and operated solely for a social, recreational, patriotic, or fraternal
             6369      purpose;
             6370          (ii) have members;
             6371          (iii) limit access to its licensed premises to a member or a guest of the member; and
             6372          (iv) desire to maintain premises upon which an alcoholic product may be stored, sold
             6373      to, offered for sale to, furnished to, and consumed by a member or a guest of a member;
             6374          (b) own, maintain, or operate a substantial recreational facility in conjunction with a
             6375      club house such as:
             6376          (i) a golf course; or
             6377          (ii) a tennis facility;
             6378          (c) have at least 50% of the total membership having:
             6379          (i) full voting rights; and
             6380          (ii) an equal share of the equity of the club; and
             6381          (d) if there is more than one class of membership, have at least one class of
             6382      membership that entitles each member in that class to:
             6383          (i) full voting rights; and
             6384          (ii) an equal share of the equity of the club.
             6385          (2) To obtain a fraternal club license, in addition to meeting the other requirements of


             6386      this part, a person shall:
             6387          (a) whether incorporated or unincorporated:
             6388          (i) be organized and operated solely for a social, recreational, patriotic, or fraternal
             6389      purpose;
             6390          (ii) have members;
             6391          (iii) limit access to its licensed premises to a member or a guest of the member; and
             6392          (iv) desire to maintain premises upon which an alcoholic product may be stored, sold
             6393      to, offered for sale to, furnished to, and consumed by a member or a guest of a member;
             6394          (b) have no capital stock;
             6395          (c) exist solely for:
             6396          (i) the benefit of its members and their beneficiaries; and
             6397          (ii) a lawful social, intellectual, educational, charitable, benevolent, moral, fraternal,
             6398      patriotic, or religious purpose for the benefit of its members or the public, carried on through
             6399      voluntary activity of its members in their local lodges;
             6400          (d) have a representative form of government;
             6401          (e) have a lodge system in which:
             6402          (i) there is a supreme governing body;
             6403          (ii) subordinate to the supreme governing body are local lodges, however designated,
             6404      into which individuals are admitted as members in accordance with the laws of the fraternal;
             6405          (iii) the local lodges are required by the laws of the fraternal to hold regular meetings
             6406      at least monthly; and
             6407          (iv) the local lodges regularly engage in one or more programs involving member
             6408      participation to implement the purposes of Subsection (2)(c); and
             6409          (f) own or lease a building or space in a building used for lodge activities.
             6410          (3) To obtain a dining club license, in addition to meeting the other requirements of
             6411      this part, a person shall:
             6412          (a) maintain at least 50% of its total club business from the sale of food, not including:
             6413          (i) mix for alcoholic products; or


             6414          (ii) service charges; and
             6415          (b) obtain a determination by the commission that the person will operate as a dining
             6416      club licensee, as part of which the commission may consider:
             6417          (i) the square footage and seating capacity of the premises;
             6418          (ii) what portion of the square footage and seating capacity will be used for a dining
             6419      area in comparison to the portion that will be used as a lounge or bar area;
             6420          (iii) whether full meals including appetizers, main courses, and desserts are served;
             6421          (iv) whether the person will maintain adequate on-premise culinary facilities to
             6422      prepare full meals, except a person who is located on the premise of a hotel or resort facility
             6423      may use the culinary facilities of the hotel or resort facility;
             6424          (v) whether the entertainment provided at the club is suitable for minors; and
             6425          (vi) the club management's ability to manage and operate a dining club license
             6426      including:
             6427          (A) management experience;
             6428          (B) past dining club licensee or restaurant management experience; and
             6429          (C) the type of management scheme used by the dining club license.
             6430          (4) To obtain a social club license, a person is required to meet the requirements of
             6431      this part except those listed in Subsection (1), (2), or (3).
             6432          (5) (a) At the time that the commission issues a club license, the commission shall
             6433      designate the type of club license for which the person qualifies.
             6434          (b) If requested by a club licensee, the commission may approve a change in the type
             6435      of club license in accordance with rules made by the commission.
             6436          (6) To the extent not prohibited by law, this part does not prevent a dining club
             6437      licensee or social club licensee from restricting access to the club's licensed premises on the
             6438      basis of an individual:
             6439          (a) paying a fee; or
             6440          (b) agreeing to being on a list of individuals who have access to the club's licensed
             6441      premises.


             6442          Section 188. Section 32B-6-405 is enacted to read:
             6443          32B-6-405. Specific licensing requirements for club license.
             6444          (1) To obtain a club license, in addition to complying with Chapter 5, Part 2, Retail
             6445      Licensing Process, a person shall submit with the written application:
             6446          (a) (i) a statement as to whether the person is seeking to qualify as:
             6447          (A) an equity club licensee;
             6448          (B) a fraternal club licensee;
             6449          (C) a dining club licensee; or
             6450          (D) a social club licensee; and
             6451          (ii) evidence that the person meets the requirements for the type of club license for
             6452      which the person is applying;
             6453          (b) evidence that the person operates club premises where a variety of food is prepared
             6454      and served in connection with dining accommodations; and
             6455          (c) if the person is applying for an equity club license or fraternal club license, a copy
             6456      of the club's bylaws or house rules, and an amendment to those records.
             6457          (2) The commission may refuse to issue a club license to a person for an equity club
             6458      license or fraternal club license if the commission determines that a provision of the person's
             6459      bylaws or house rules, or amendments to those records is not:
             6460          (a) reasonable; and
             6461          (b) consistent with:
             6462          (i) the declared nature and purpose of the club licensee; and
             6463          (ii) the purposes of this part.
             6464          (3) (a) A club license expires on June 30 of each year.
             6465          (b) To renew a club license, a person shall comply with the requirements of Chapter 5,
             6466      Part 2, Retail Licensing Process, by no later than May 31.
             6467          (4) (a) The nonrefundable application fee for a club license is $250.
             6468          (b) The initial license fee for a club license is $2,500.
             6469          (c) The renewal fee for a club license is $1,600.


             6470          (5) The bond amount required for a full-service restaurant license is the penal sum of
             6471      $10,000.
             6472          Section 189. Section 32B-6-406 is enacted to read:
             6473          32B-6-406. Specific operational requirements for a club license.
             6474          (1) (a) In addition to complying with Chapter 5, Part 3, Retail Licensee Operational
             6475      Requirements, a club licensee and staff of the club licensee shall comply with this section.
             6476          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             6477      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             6478          (i) a club licensee;
             6479          (ii) individual staff of a club licensee; or
             6480          (iii) both a club licensee and staff of the club licensee.
             6481          (2) In addition to complying with Subsection 32B-5-301 (3), a club licensee shall
             6482      display in a prominent place in the club licensed premises a list of the types and brand names
             6483      of liquor being furnished through the club licensee's calibrated metered dispensing system.
             6484          (3) (a) In addition to complying with Section 32B-5-302 , a club licensee shall
             6485      maintain for a minimum of three years:
             6486          (i) a record required by Section 32B-5-302 ; and
             6487          (ii) a record maintained or used by the club licensee, as the department requires.
             6488          (b) Section 32B-1-205 applies to a record required to be made, maintained, or used in
             6489      accordance with this Subsection (3).
             6490          (c) The department shall audit the records of a club licensee at least once annually.
             6491          (4) (a) A club licensee may not sell, offer for sale, or furnish liquor on the licensed
             6492      premises on any day during a period that:
             6493          (i) begins at 1 a.m.; and
             6494          (ii) ends at 9:59 a.m.
             6495          (b) A club licensee may sell, offer for sale, or furnish beer during the hours specified
             6496      in Part 7, On-premise Beer Retailer License, for an on-premise beer retailer license.
             6497          (c) (i) Notwithstanding Subsections (4)(a) and (b), a club licensee shall keep its


             6498      licensed premises open for one hour after the club licensee ceases the sale and furnishing of an
             6499      alcoholic product during which time a patron of the club licensee may finish consuming:
             6500          (A) a single drink containing spirituous liquor;
             6501          (B) a single serving of wine not exceeding five ounces;
             6502          (C) a single serving of heavy beer;
             6503          (D) a single serving of beer not exceeding 26 ounces; or
             6504          (E) a single serving of a flavored malt beverage.
             6505          (ii) A club licensee is not required to remain open:
             6506          (A) after all patrons have vacated the premises; or
             6507          (B) during an emergency.
             6508          (d) A club licensee may not allow a patron to remain on the licensed premises of the
             6509      club licensee to consume an alcoholic product on the licensed premises during a period that:
             6510          (i) begins at 2 a.m.; and
             6511          (ii) ends at 9:59 a.m.
             6512          (5) (a) A minor may not be admitted into, use, or be in:
             6513          (i) a lounge or bar area of the premises of:
             6514          (A) an equity club licensee;
             6515          (B) a fraternal club licensee; or
             6516          (C) a dining club licensee; or
             6517          (ii) the premises of:
             6518          (A) a dining club licensee unless accompanied by an individual who is 21 years of age
             6519      or older; or
             6520          (B) a social club licensee, except to the extent provided for under Section
             6521      32B-6-406.1 .
             6522          (b) Notwithstanding Section 32B-5-308 , a club licensee may not employ a minor to:
             6523          (i) work in a lounge or bar area of an equity club licensee, fraternal club licensee, or
             6524      dining club licensee; or
             6525          (ii) handle an alcoholic product.


             6526          (c) Notwithstanding Section 32B-5-308 , a minor may not be employed on the licensed
             6527      premises of a social club licensee.
             6528          (d) Nothing in this part or Section 32B-5-308 precludes a local authority from being
             6529      more restrictive of a minor's admittance to, use of, or presence on the licensed premises of a
             6530      club licensee.
             6531          (6) A club licensee shall have food available at all times when an alcoholic product is
             6532      sold, offered for sale, furnished, or consumed on the licensed premises.
             6533          (7) (a) Subject to the other provisions of this Subsection (7), a patron may not have
             6534      more than two alcoholic products of any kind at a time before the patron.
             6535          (b) A patron may not have two spirituous liquor drinks before the club licensee patron
             6536      if one of the spirituous liquor drinks consists only of the primary spirituous liquor for the other
             6537      spirituous liquor drink.
             6538          (c) An individual portion of wine is considered to be one alcoholic product under
             6539      Subsection (7)(a).
             6540          (8) A club licensee shall have available on the premises for a patron to review at the
             6541      time that the patron requests it, a written alcoholic product price list or a menu containing the
             6542      price of an alcoholic product sold, offered for sale, or furnished by the club licensee including:
             6543          (a) a set-up charge;
             6544          (b) a service charge; or
             6545          (c) a chilling fee.
             6546          (9) Subject to Section 32B-5-309 , a club licensee may not temporarily rent or
             6547      otherwise temporarily lease its premises to a person unless:
             6548          (a) the person to whom the club licensee rents or leases the premises agrees in writing
             6549      to comply with this title as if the person is the club licensee, except for a requirement related to
             6550      making or maintaining a record; and
             6551          (b) the club licensee takes reasonable steps to ensure that the person complies with this
             6552      section as provided in Subsection (9)(a).
             6553          (10) If a club licensee is an equity club licensee or fraternal club licensee, the club


             6554      licensee shall comply with Section 32B-6-407 .
             6555          (11) If a club licensee is a dining club licensee or social club licensee, the club
             6556      licensee shall comply with Section 32B-1-407 .
             6557          (12) (a) A club licensee shall own or lease premises suitable for the club licensee's
             6558      activities.
             6559          (b) A club licensee may not maintain licensed premises in a manner that barricades or
             6560      conceals the club licensee's operation.
             6561          Section 190. Section 32B-6-406.1 is enacted to read:
             6562          32B-6-406.1. Specific operational restrictions related to dance or concert hall.
             6563          (1) A minor who is at least 18 years of age may be admitted into, use, or be on the
             6564      premises of a dance or concert hall if:
             6565          (a) the dance or concert hall is located:
             6566          (i) on the licensed premises of a social club licensee; or
             6567          (ii) on the property that immediately adjoins the licensed premises of and is operated
             6568      by a social club licensee; and
             6569          (b) the social club licensee holds a permit to operate a dance or concert hall that was
             6570      issued on or before May 11, 2009:
             6571          (i) on the basis of the operational requirements described in Subsection (2); and
             6572          (ii) when the social club licensee was licensed as a class D private club.
             6573          (2) A social club licensee that holds a dance or concert hall permit shall operate in
             6574      such a way that:
             6575          (a) the social club licensee's lounge, bar, or other area for alcoholic product
             6576      consumption is:
             6577          (i) not accessible to a minor;
             6578          (ii) clearly defined; and
             6579          (iii) separated from the dance or concert hall area by one or more walls, multiple floor
             6580      levels, or other substantial physical barriers;
             6581          (b) a bar or dispensing area is not visible to a minor;


             6582          (c) consumption of an alcoholic product may not occur in:
             6583          (i) the dance or concert hall area; or
             6584          (ii) an area of the social club license premises accessible to a minor;
             6585          (d) the social club licensee maintains sufficient security personnel to prevent the
             6586      passing of beverages from the social club licensee's lounge, bar, or other area for alcoholic
             6587      product consumption to:
             6588          (i) the dance or concert hall area; or
             6589          (ii) an area of the social club licensee premises accessible to a minor;
             6590          (e) there are one or more separate entrances, exits, and restroom facilities from the
             6591      social club licensee's lounge, bar, or other area for alcoholic product consumption than for:
             6592          (i) the dance or concert hall area; or
             6593          (ii) an area accessible to a minor; and
             6594          (f) the social club licensee complies with any other requirements imposed by the
             6595      commission by rule.
             6596          (3) (a) A minor under 18 years of age who is accompanied at all times by a parent or
             6597      legal guardian may be admitted into, use, or be on the premises of a concert hall described in
             6598      Subsection (1) if:
             6599          (i) the requirements of Subsection (2) are met; and
             6600          (ii) signage, product, and dispensing equipment containing recognition of an alcoholic
             6601      product is not visible to the minor.
             6602          (b) A minor under 18 years of age but who is 14 years of age or older who is not
             6603      accompanied by a parent or legal guardian may be admitted into, use, or be on the premises of
             6604      a concert hall described in Subsection (1) if:
             6605          (i) the requirements of Subsections (2) and (3)(a) are met; and
             6606          (ii) there is no alcoholic product, sales, furnishing, or consumption on the premises of
             6607      the social club licensee.
             6608          (4) The commission may suspend or revoke a dance or concert permit issued to a
             6609      social club licensee and suspend or revoke the license of the social club licensee if:


             6610          (a) the social club licensee fails to comply with the requirements in this section;
             6611          (b) the social club licensee sells, offers for sale, or furnishes an alcoholic product to a
             6612      minor;
             6613          (c) the social club licensee or a supervisory or managerial level staff of the social club
             6614      licensee is convicted under Title 58, Chapter 37, Utah Controlled Substances Act, on the basis
             6615      of an activity that occurs on:
             6616          (i) the licensed premises; or
             6617          (ii) the dance or concert hall that is located on property that immediately adjoins the
             6618      licensed premises of and is operated by the social club licensee;
             6619          (d) there are three or more convictions of patrons of the social club licensee under
             6620      Title 58, Chapter 37, Utah Controlled Substances Act, on the basis of activities that occur on:
             6621          (i) the licensed premises; or
             6622          (ii) the dance or concert hall that is located on property that immediately adjoins the
             6623      licensed premises of and is operated by the social club licensee;
             6624          (iii) there is more than one conviction:
             6625          (A) of:
             6626          (I) the social club licensee;
             6627          (II) staff of the social club licensee;
             6628          (III) an entertainer contracted by the social club licensee; or
             6629          (IV) a patron of the social club licensee; and
             6630          (B) made on the basis of a lewd act or lewd entertainment prohibited by this title that
             6631      occurs on:
             6632          (I) the licensed premises; or
             6633          (II) the dance or concert hall that is located on property that immediately adjoins the
             6634      licensed premises of and is operated by the social club licensee; or
             6635          (e) the commission finds acts or conduct contrary to the public welfare and morals
             6636      involving lewd acts or lewd entertainment prohibited by this title that occurs on:
             6637          (i) the licensed premises; or


             6638          (ii) the dance or concert hall that is located on property that immediately adjoins the
             6639      licensed premises of and is operated by the social club licensee.
             6640          (5) Nothing in this section prohibits a social club licensee from selling, offering for
             6641      sale, or furnishing an alcoholic product in a dance or concert area located on the social club
             6642      licensed premises on days and times when the social club licensee does not allow a minor into
             6643      those areas.
             6644          Section 191. Section 32B-6-407 is enacted to read:
             6645          32B-6-407. Specific operational requirements for equity club license or fraternal
             6646      club license.
             6647          (1) For purposes of this section only:
             6648          (a) "Club licensee" means an equity club licensee or fraternal club licensee.
             6649          (b) "Club licensee" does not include a dining club licensee or social club licensee.
             6650          (2) (a) A club licensee shall have a governing body that:
             6651          (i) consists of three or more members of the club; and
             6652          (ii) holds regular meetings to:
             6653          (A) review membership applications; and
             6654          (B) conduct other business as required by the bylaws or house rules of the club.
             6655          (b) (i) A club licensee shall maintain a minute book that is posted currently by the club
             6656      licensee.
             6657          (ii) The minute book required by this Subsection (2) shall contain the minutes of a
             6658      regular or special meeting of the governing body.
             6659          (3) A club licensee may admit an individual as a member only on written application
             6660      signed by the person, subject to:
             6661          (a) the person paying an application fee; and
             6662          (b) investigation, vote, and approval of a quorum of the governing body.
             6663          (4) A club licensee shall:
             6664          (a) record an admission of a member in the official minutes of a regular meeting of the
             6665      governing body; and


             6666          (b) whether approved or disapproved, file an application as a part of the official
             6667      records of the club licensee.
             6668          (5) The spouse of a member of a club licensee has the rights and privileges of the
             6669      member:
             6670          (a) to the extent permitted by the bylaws or house rules of the club licensee; and
             6671          (b) except to the extent restricted by this title.
             6672          (6) A minor child of a member of a club licensee has the rights and privileges of the
             6673      member:
             6674          (a) to the extent permitted by the bylaws or house rules of the club licensee; and
             6675          (b) except to the extent restricted by this title.
             6676          (7) A club licensee shall maintain:
             6677          (a) a current and complete membership record showing:
             6678          (i) the date of application of a proposed member;
             6679          (ii) a member's address;
             6680          (iii) the date the governing body approved a member's admission;
             6681          (iv) the date initiation fees and dues are assessed and paid; and
             6682          (v) the serial number of the membership card issued to a member;
             6683          (b) a membership list; and
             6684          (c) a current record indicating when a member is removed as a member or resigns.
             6685          (8) (a) A club licensee shall have bylaws or house rules that include provisions
             6686      respecting the following:
             6687          (i) standards of eligibility for members;
             6688          (ii) limitation of members, consistent with the nature and purpose of the club;
             6689          (iii) the period for which dues are paid, and the date upon which the period expires;
             6690          (iv) provisions for removing a member from the club membership for the nonpayment
             6691      of dues or other cause;
             6692          (v) provisions for guests; and
             6693          (vi) application fees and membership dues.


             6694          (b) A club licensee shall maintain a current copy of the club licensee's current bylaws
             6695      and current house rules.
             6696          (c) A club licensee shall maintain its bylaws or house rules, and any amendments to
             6697      those records, on file with the department at all times.
             6698          (9) A club licensee may, in its discretion, allow an individual to be admitted to or use
             6699      the club licensed premises as a guest subject to the following conditions:
             6700          (a) the individual is allowed to use the club licensee premises only to the extent
             6701      permitted by the club licensee's bylaws or house rules;
             6702          (b) the individual must be previously authorized by a member of the club who agrees
             6703      to host the individual as a guest into the club;
             6704          (c) the individual has only those privileges derived from the individual's host for the
             6705      duration of the individual's visit to the club licensee premises; and
             6706          (d) a club licensee or staff of the club licensee may not enter into an agreement or
             6707      arrangement with a club member to indiscriminately host a member of the general public into
             6708      the club licensee premises as a guest.
             6709          (10) Notwithstanding Subsection (9), an individual may be allowed as a guest in a
             6710      club licensed premises without a host if:
             6711          (a) (i) the club licensee is an equity club licensee; and
             6712          (ii) the individual is a member of an equity club licensee that has reciprocal guest
             6713      privileges with the equity club licensee for which the individual is a guest; or
             6714          (b) (i) the club licensee is a fraternal club licensee; and
             6715          (ii) the individual is a member of the same fraternal organization as the fraternal club
             6716      licensee for which the individual is a guest.
             6717          (11) Unless the patron is a member or guest, a club licensee may not:
             6718          (a) sell, offer for sale, or furnish an alcoholic product to the patron; or
             6719          (b) allow the patron to be admitted to or use the licensed premises.
             6720          (12) A minor may not be a member, officer, director, or trustee of a club licensee.
             6721          (13) Public advertising related to a club licensee by the following shall clearly identify


             6722      a club as being "a club for members":
             6723          (a) the club licensee;
             6724          (b) staff of the club licensee; or
             6725          (c) a person under a contract or agreement with the club licensee.
             6726          Section 192. Section 32B-6-408 is enacted to read:
             6727          32B-6-408. Information obtained by investigator.
             6728          (1) Subject to Subsection (2), if an investigator is permitted by another provision of
             6729      this title to inspect a record of a club licensee, in addition to any other rights under this title,
             6730      the investigator may inspect, have a copy of, or otherwise review any record of the club
             6731      licensee that is a visual recording of the operations of the club licensee.
             6732          (2) An investigator who is a peace officer may not inspect, have a copy of, or
             6733      otherwise review a visual recording described in Subsection (1) without probable cause.
             6734          Section 193. Section 32B-6-501 is enacted to read:
             6735     
Part 5. Airport Lounge License

             6736          32B-6-501. Title.
             6737          This part is known as "Airport Lounge License."
             6738          Section 194. Section 32B-6-502 is enacted to read:
             6739          32B-6-502. Definitions.
             6740          Reserved
             6741          Section 195. Section 32B-6-503 is enacted to read:
             6742          32B-6-503. Commission's power to issue airport lounge license.
             6743          (1) Before a person may store, sell, offer for sale, furnish, or allow the consumption of
             6744      an alcoholic product on its premises as an airport lounge licensee, the person shall first obtain
             6745      an airport lounge license from the commission in accordance with this part.
             6746          (2) The commission may issue an airport lounge license to establish airport lounge
             6747      licensed premises at an international airport and in the numbers the commission considers
             6748      proper for the storage, sale, offer for sale, furnishing, and consumption of an alcoholic product
             6749      on licensed premises operated as an airport lounge.


             6750          (3) The commission may not issue a total number of airport lounge licenses that at any
             6751      time exceed one lounge per terminal plus one lounge per concourse located beyond the
             6752      security point at that international airport.
             6753          Section 196. Section 32B-6-504 is enacted to read:
             6754          32B-6-504. Specific licensing requirements for airport lounge license.
             6755          (1) To obtain an airport lounge license, in addition to complying with Chapter 5, Part
             6756      2, Retail Licensing Process, a person shall submit with the written application:
             6757          (a) both the written consent of the local authority and the written consent of the airport
             6758      authority; and
             6759          (b) a copy of the sign proposed to be used by the airport lounge licensee on its licensed
             6760      premises to inform the public that alcoholic products are sold and consumed on the licensed
             6761      premises.
             6762          (2) (a) An airport lounge license expires on October 31 of each year.
             6763          (b) To renew a person's airport lounge license, a person shall comply with the renewal
             6764      requirements of Chapter 5, Part 2, Retail Licensing Process, by no later than September 30.
             6765          (3) (a) The nonrefundable application fee for an airport lounge license is $250.
             6766          (b) The initial license fee for an airport lounge license is $7,000.
             6767          (c) The renewal fee for an airport lounge license is $5,000.
             6768          (4) The bond amount required for an airport lounge license is the penal sum of
             6769      $10,000.
             6770          (5) An airport lounge license is not subject to the proximity requirements of Section
             6771      32B-1-202 .
             6772          Section 197. Section 32B-6-505 is enacted to read:
             6773          32B-6-505. Specific operational requirements for an airport lounge license.
             6774          (1) (a) In addition to complying with Chapter 5, Part 3, Retail Licensee Operational
             6775      Requirements, an airport lounge licensee and staff of the airport lounge licensee shall comply
             6776      with this section.
             6777          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action


             6778      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             6779          (i) an airport lounge licensee;
             6780          (ii) individual staff of an airport lounge licensee; or
             6781          (iii) both an airport lounge licensee and staff of the airport lounge licensee.
             6782          (2) In addition to complying with Subsection 32B-5-301 (3), an airport lounge licensee
             6783      shall display in a prominent place in the airport lounge:
             6784          (a) a list of the types and brand names of liquor being furnished through airport lounge
             6785      licensee's calibrated metered dispensing system; and
             6786          (b) a sign to inform the public that alcoholic products are sold and consumed on the
             6787      licensed premises.
             6788          (3) Notwithstanding Section 32B-5-307 :
             6789          (a) An airport lounge licensee may not permit a patron to bring a bottled wine onto the
             6790      premises of the retail licensee.
             6791          (b) An airport lounge licensee may not permit a patron to remove an alcoholic product
             6792      from the licensed premises.
             6793          (4) (a) A server of an alcoholic product in an airport lounge licensee's premises shall
             6794      make a written beverage tab for each table or group that orders or consumes an alcoholic
             6795      product on the premises.
             6796          (b) A beverage tab required by this Subsection (4) shall list the type and amount of an
             6797      alcoholic product ordered or consumed.
             6798          (5) An airport lounge licensee may not sell, offer for sale, or furnish an alcoholic
             6799      product at an airport lounge on any day during a period that:
             6800          (a) begins at midnight; and
             6801          (b) ends at 7:59 a.m.
             6802          (6) (a) Subject to the other provisions of this Subsection (6), a patron may not have
             6803      more than two alcoholic products of any kind at a time before the patron.
             6804          (b) A patron may not have two spirituous liquor drinks before the patron if one of the
             6805      spirituous liquor drinks consists only of the primary spirituous liquor for the other spirituous


             6806      liquor drink.
             6807          (c) An individual portion of wine is considered to be one alcoholic product under this
             6808      Subsection (6).
             6809          (7) An airport lounge licensee may state in a food or alcoholic product menu a charge
             6810      or fee made in connection with the sale, furnishing, or consumption of liquor menu including:
             6811          (a) a set-up charge;
             6812          (b) a service charge; or
             6813          (c) a chilling fee.
             6814          (8) An airport lounge liquor licensee's premises may not be leased for a private event.
             6815          Section 198. Section 32B-6-601 is enacted to read:
             6816     
Part 6. On-premise Banquet License

             6817          32B-6-601. Title.
             6818          This part is known as "On-premise Banquet License."
             6819          Section 199. Section 32B-6-602 is enacted to read:
             6820          32B-6-602. Definitions.
             6821          Reserved
             6822          Section 200. Section 32B-6-603 is enacted to read:
             6823          32B-6-603. Commission's power to issue on-premise banquet license -- Contracts
             6824      as host.
             6825          (1) (a) Before a person may store, sell, offer for sale, furnish, or allow the consumption
             6826      of an alcoholic product in connection with the person's banquet and room service activities at
             6827      one of the following, the person shall first obtain an on-premise banquet license in accordance
             6828      with this part:
             6829          (i) a hotel;
             6830          (ii) a resort facility;
             6831          (iii) a sports center; or
             6832          (iv) a convention center.
             6833          (b) This part does not prohibit an alcoholic product on the premises of a person listed


             6834      in Subsection (1)(a) to the extent otherwise permitted by this title.
             6835          (c) This section does not prohibit a person who applies for an on-premise banquet
             6836      license to also apply for a package agency if otherwise qualified.
             6837          (2) The commission may issue an on-premise banquet license to establish on-premise
             6838      banquet licensees in the numbers the commission considers proper for the storage, sale, offer
             6839      for sale, furnishing, and consumption of an alcoholic product at a banquet or as part of room
             6840      service activities operated by an on-premise banquet licensee.
             6841          (3) The commission may not issue a total number of on-premise banquet licenses that
             6842      at any time exceed the number determined by dividing the population of the state by 30,000.
             6843          (4) (a) As used in this Subsection (4), "grandfathered facility" means a facility:
             6844          (i) for which the commission issued an on-premise banquet license that is in effect on
             6845      May 11, 2009, on the basis that the facility is a convention center; and
             6846          (ii) that no longer qualifies as a convention center as defined in Section 32B-1-102
             6847      solely because it is in total less than 30,000 square feet.
             6848          (b) Notwithstanding the definition of "convention center" in Section 32B-1-102 , an
             6849      on-premise banquet license applicable to a grandfathered facility may be renewed until
             6850      October 31, 2011, if the on-premise banquet licensee is qualified for an on-premise banquet
             6851      license except for the requirement that the facility be in total at least 30,000 square feet.
             6852          (5) Pursuant to a contract between the host of a banquet and an on-premise banquet
             6853      licensee:
             6854          (a) the host of the banquet may request an on-premise banquet licensee to provide an
             6855      alcoholic product served at the banquet; and
             6856          (b) an on-premise banquet licensee may provide an alcoholic product served at the
             6857      banquet.
             6858          (6) At a banquet, an on-premise banquet licensee may furnish an alcoholic product:
             6859          (a) without charge; or
             6860          (b) with a charge to a patron at the banquet.
             6861          Section 201. Section 32B-6-604 is enacted to read:


             6862          32B-6-604. Specific licensing requirements for an on-premise banquet license.
             6863          (1) To obtain an on-premise banquet license a person shall comply with Chapter 5,
             6864      Part 2, Retail Licensing Process.
             6865          (2) (a) An on-premise banquet license expires on October 31 of each year.
             6866          (b) To renew a person's on-premise banquet license, a person shall comply with the
             6867      requirements of Chapter 5, Part 2, Retail Licensing Process, by no later than September 30.
             6868          (3) (a) The nonrefundable application fee for an on-premise banquet license is $250.
             6869          (b) The initial license fee for an on-premise banquet license is $500.
             6870          (c) The renewal fee for an on-premise banquet license is $500.
             6871          (4) The bond amount required for an on-premise banquet license is the penal sum of
             6872      $10,000.
             6873          (5) Notwithstanding the other provisions of this part, if an applicant is a state agency
             6874      or political subdivision of the state it is not required to:
             6875          (a) pay an application fee, initial license fee, or renewal fee;
             6876          (b) obtain the written consent of the local authority;
             6877          (c) submit a copy of the applicant's current business license; or
             6878          (d) post a bond as specified by Section 32B-5-204 .
             6879          (6) Notwithstanding Subsection 32B-5-303 (3), the department may approve an
             6880      additional location in or on the licensed premises of an on-premise banquet licensee from
             6881      which the on-premise banquet licensee may store, sell, offer for sale, furnish, or allow the
             6882      consumption of an alcoholic product that is not included in its original application only:
             6883          (a) upon proper application by an on-premise banquet licensee; and
             6884          (b) in accordance with guidelines approved by the commission.
             6885          Section 202. Section 32B-6-605 is enacted to read:
             6886          32B-6-605. Specific operational requirements for on-premise banquet license.
             6887          (1) (a) In addition to complying with Chapter 5, Part 3, Retail Licensee Operational
             6888      Requirements, an on-premise banquet licensee and staff of the on-premise banquet licensee
             6889      shall comply with this section.


             6890          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             6891      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             6892          (i) an on-premise banquet licensee;
             6893          (ii) individual staff of an on-premise banquet licensee; or
             6894          (iii) both an on-premise banquet licensee and staff of the on-premise banquet licensee.
             6895          (2) An on-premise banquet licensee shall comply with Subsections 32B-5-301 (4) and
             6896      (5) for the entire premises of the hotel, resort facility, sports center, or convention center that is
             6897      the basis for the on-premise banquet license.
             6898          (3) (a) For the purpose described in Subsection (3)(b), an on-premise banquet licensee
             6899      shall provide the department with advance notice of a scheduled banquet in accordance with
             6900      rules made by the commission.
             6901          (b) Any of the following may conduct a random inspection of a banquet:
             6902          (i) an authorized representative of the commission or the department; or
             6903          (ii) a law enforcement officer.
             6904          (4) (a) An on-premise banquet licensee is not subject to Section 32B-5-302 , but shall
             6905      make and maintain the records the commission or department requires.
             6906          (b) Section 32B-1-205 applies to a record required to be made or maintained in
             6907      accordance with this Subsection (4).
             6908          (5) (a) Except as otherwise provided in this title, an on-premise banquet licensee may
             6909      sell, offer for sale, or furnish an alcoholic product at a banquet only for consumption at the
             6910      location of the banquet.
             6911          (b) A host of a banquet, a patron, or a person other than the on-premise banquet
             6912      licensee or staff of the on-premise banquet licensee, may not remove an alcoholic product
             6913      from the premises of the banquet.
             6914          (c) Notwithstanding Section 32B-5-307 , a patron at a banquet may not bring an
             6915      alcoholic product into or onto, or remove an alcoholic product from the premises of a banquet.
             6916          (6) (a) An on-premise banquet licensee may not leave an unsold alcoholic product at
             6917      the banquet following the conclusion of the banquet.


             6918          (b) At the conclusion of a banquet, an on-premise banquet licensee shall:
             6919          (i) destroy an opened and unused alcoholic product that is not saleable, under
             6920      conditions established by the department; and
             6921          (ii) return to the on-premise banquet licensee's approved locked storage area any:
             6922          (A) opened and unused alcoholic product that is saleable; and
             6923          (B) unopened package of an alcoholic product.
             6924          (c) Except as provided in Subsection (6)(b) with regard to an open or sealed package
             6925      of an alcoholic product not sold or consumed at a banquet, an on-premise banquet licensee:
             6926          (i) shall store the alcoholic product in the on-premise banquet licensee's approved
             6927      locked storage area; and
             6928          (ii) may use the alcoholic product at more than one banquet.
             6929          (7) Notwithstanding Section 32B-5-308 , an on-premise banquet licensee may not
             6930      employ a minor to sell, furnish, or dispense an alcoholic product in connection with the
             6931      on-premise banquet licensee's banquet and room service activities.
             6932          (8) An on-premise banquet licensee may not sell, offer for sale, or furnish an alcoholic
             6933      product at a banquet or in connection with room service any day during a period that:
             6934          (a) begins at 1 a.m.; and
             6935          (b) ends at 9:59 a.m.
             6936          (9) An on-premise banquet licensee shall maintain at least 50% of its total annual
             6937      banquet gross receipts from the sale of food, not including:
             6938          (a) mix for an alcoholic product; and
             6939          (b) a charge in connection with the furnishing of an alcoholic product.
             6940          (10) (a) Subject to the other provisions of this Subsection (10), a patron may not have
             6941      more than two alcoholic products of any kind at a time before the patron.
             6942          (b) A patron may not have more than one spirituous liquor drink at a time before the
             6943      patron.
             6944          (c) An individual portion of wine is considered to be one alcoholic product under
             6945      Subsection (10)(a).


             6946          (11) (a) An on-premise banquet licensee shall supervise and direct a person involved
             6947      in the sale, offer for sale, or furnishing of an alcoholic product.
             6948          (b) A person involved in the sale, offer for sale, or furnishing of an alcoholic product
             6949      shall complete an alcohol training and education seminar.
             6950          (12) A staff person of an on-premise banquet licensee shall remain at the banquet at all
             6951      times when an alcoholic product is sold, offered for sale, furnished, or consumed at the
             6952      banquet.
             6953          (13) (a) Room service of an alcoholic product to a guest room of a hotel or resort
             6954      facility shall be provided in person by staff of an on-premise banquet licensee only to an adult
             6955      guest in the guest room.
             6956          (b) An alcoholic product may not be left outside a guest room for retrieval by a guest.
             6957          (c) An on-premise banquet licensee may only provide an alcoholic product for room
             6958      service in a sealed package.
             6959          Section 203. Section 32B-6-701 is enacted to read:
             6960     
Part 7. On-premise Beer Retailer License

             6961          32B-6-701. Title.
             6962          This part is known as "On-premise Beer Retailer License."
             6963          Section 204. Section 32B-6-702 is enacted to read:
             6964          32B-6-702. Definitions.
             6965          Reserved
             6966          Section 205. Section 32B-6-703 is enacted to read:
             6967          32B-6-703. Commission's power to issue on-premise beer retailer license.
             6968          (1) Before a person may store, sell, offer for sale, furnish, or allow the consumption of
             6969      beer on the premises as an on-premise beer retailer, the person shall first obtain an on-premise
             6970      beer retailer license from the commission in accordance with this part.
             6971          (2) (a) The commission may issue an on-premise beer retailer license to establish
             6972      on-premise beer retailer licensed premises at places and in numbers as the commission
             6973      considers proper for the storage, sale, offer for sale, furnishing, and consumption of beer on


             6974      premises operated as an on-premise beer retailer.
             6975          (b) At the time that the commission issues an on-premise beer retailer license, the
             6976      commission shall designate whether the on-premise beer retailer is a tavern.
             6977          (c) The commission may change its designation of whether an on-premise beer retailer
             6978      is a tavern in accordance with rules made by the commission.
             6979          (d) (i) In determining whether an on-premise beer retailer is a tavern, the commission
             6980      shall determine whether the on-premise beer retailer will engage primarily in the retail sale of
             6981      beer for consumption on the establishment's premises.
             6982          (ii) In making a determination under this Subsection (2)(d), the commission shall
             6983      consider:
             6984          (A) whether the on-premise beer retailer will operate as one of the following:
             6985          (I) a beer bar;
             6986          (II) a parlor;
             6987          (III) a lounge;
             6988          (IV) a cabaret; or
             6989          (V) a nightclub;
             6990          (B) if the on-premise beer retailer will operate as described in Subsection (2)(d)(ii)(A):
             6991          (I) whether the on-premise beer retailer will sell food in the establishment; and
             6992          (II) if the on-premise beer retailer sells food, whether the revenue from the sale of beer
             6993      will exceed the revenue of the sale of food;
             6994          (C) whether full meals including appetizers, main courses, and desserts will be served;
             6995          (D) the square footage and seating capacity of the premises;
             6996          (E) what portion of the square footage and seating capacity will be used for a dining
             6997      area in comparison to the portion that will be used as a lounge or bar area;
             6998          (F) whether the person will maintain adequate on-premise culinary facilities to prepare
             6999      full meals, except a person that is located on the premises of a hotel or resort facility may use
             7000      the culinary facilities of the hotel or resort facility;
             7001          (G) whether the entertainment provided on the premises of the beer retailer will be


             7002      suitable for minors; and
             7003          (H) the beer retailer management's ability to manage and operate an on-premise beer
             7004      retailer license including:
             7005          (I) management experience;
             7006          (II) past beer retailer management experience; and
             7007          (III) the type of management scheme that will be used by the beer retailer.
             7008          (3) (a) The commission may not issue a total number of on-premise beer retailer
             7009      licenses that are taverns that at any time exceeds the number determined by dividing the
             7010      population of the state by 30,500.
             7011          (b) The commission may issue a seasonal on-premise beer retailer license for a tavern
             7012      in accordance with Section 32B-5-206 .
             7013          (4) (a) Unless otherwise provided in Subsection (4)(b):
             7014          (i) only one on-premise beer retailer license is required for each building or resort
             7015      facility owned or leased by the same person; and
             7016          (ii) a separate license is not required for each retail beer dispensing location in the
             7017      same building or on the same resort premises owned or operated by the same person.
             7018          (b) (i) Subsection (4)(a) applies only if each retail beer dispensing location in the
             7019      building or resort facility operates in the same manner.
             7020          (ii) If each retail beer dispensing location does not operate in the same manner:
             7021          (A) one on-premise beer retailer license designated as a tavern is required for the
             7022      locations in the same building or on the same resort premises that operate as a tavern; and
             7023          (B) one on-premise beer retailer license is required for the locations in the same
             7024      building or on the same resort premises that do not operate as a tavern.
             7025          Section 206. Section 32B-6-704 is enacted to read:
             7026          32B-6-704. Local authority to issue a license.
             7027          (1) A local authority may issue a license to operate as an on-premise beer retailer,
             7028      subject to:
             7029          (a) the requirement under this part that a person obtain an on-premise beer retailer


             7030      license issued by the commission to operate as an on-premise beer retailer; and
             7031          (b) subject to Title 11, Chapter 10, Businesses Allowing Consumption of an Alcoholic
             7032      Product on Premises.
             7033          (2) For a violation of this title, rules of the commission, or a local ordinance, a local
             7034      authority may suspend or revoke a business license described in Subsection (1).
             7035          (3) (a) If the commission suspends or revokes an on-premise beer retailer license
             7036      issued by the commission under this title, the on-premise beer retailer may not continue to
             7037      operate under a license issued by a local authority.
             7038          (b) If a local authority suspends or revokes a business license described in Subsection
             7039      (1), an on-premise beer retailer may not continue to operate under the on-premise beer retailer
             7040      license issued by the commission.
             7041          (4) A person issued a business license issued by a local authority as described in
             7042      Subsection (1) shall comply with this title, including a provision related to the storage, sale,
             7043      offer for sale, furnishing, consumption, warehousing, or distribution of beer.
             7044          Section 207. Section 32B-6-705 is enacted to read:
             7045          32B-6-705. Specific licensing requirements for on-premise beer retailer license.
             7046          (1) To obtain an on-premise beer retailer license a person shall comply with Chapter 5,
             7047      Part 2, Retail Licensing Process, except that an on-premise beer retailer is required to carry
             7048      dramshop insurance coverage in accordance with Section 32B-5-201 only if the on-premise
             7049      beer retailer sells more than $5,000 of beer annually.
             7050          (2) (a) An on-premise beer retailer license expires on the last day of February each
             7051      year.
             7052          (b) To renew a person's on-premise beer retailer license, a person shall comply with
             7053      the renewal requirements of Chapter 5, Part 2, Retail Licensing Process, by no later than
             7054      January 31.
             7055          (3) (a) The nonrefundable application fee for an on-premise beer retailer license is
             7056      $250.
             7057          (b) (i) The initial license fee for an on-premise beer retailer license that is not a tavern


             7058      is $150.
             7059          (ii) The initial license fee for an on-premise beer retailer license that is a tavern is
             7060      $1,250.
             7061          (c) (i) The renewal fee for an on-premise beer retailer license that is not a tavern is
             7062      $200.
             7063          (ii) The renewal fee for an on-premise beer retailer license that is a tavern is $1,000.
             7064          (4) The bond amount required for an on-premise beer retailer license is the penal sum
             7065      of $2,000.
             7066          (5) Notwithstanding the other provisions of this part, if an applicant is a state agency
             7067      or political subdivision of the state it is not required to:
             7068          (a) pay an application fee, initial license fee, or renewal fee;
             7069          (b) obtain the written consent of the local authority;
             7070          (c) submit a copy of the applicant's current business license; or
             7071          (d) post a bond as specified by Section 32B-5-204 .
             7072          Section 208. Section 32B-6-706 is enacted to read:
             7073          32B-6-706. Specific operational requirements for on-premise beer retailer
             7074      license.
             7075          (1) (a) In addition to complying with Chapter 5, Part 3, Retail Licensee Operational
             7076      Requirements, an on-premise beer retailer and staff of the on-premise beer retailer shall
             7077      comply with this section.
             7078          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             7079      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             7080          (i) an on-premise beer retailer;
             7081          (ii) individual staff of an on-premise beer retailer; or
             7082          (iii) both an on-premise beer retailer and staff of the on-premise beer retailer.
             7083          (2) (a) An on-premise beer retailer is not subject to Section 32B-5-302 , but shall make
             7084      and maintain the records the department requires.
             7085          (b) Section 32B-1-205 applies to a record required to be made or maintained in


             7086      accordance with this Subsection (2).
             7087          (3) Notwithstanding Section 32B-5-303 , an on-premise beer retailer may not store or
             7088      sell liquor on its licensed premises.
             7089          (4) Beer sold in a sealed package by an on-premise beer retailer may be removed from
             7090      the on-premise beer retailer premises in the sealed package.
             7091          (5) (a) Only an on-premise beer retailer that operates as a tavern is subject to
             7092      Subsection 32B-5-309 (1).
             7093          (b) An on-premise beer retailer is subject to Subsections 32B-5-309 (2) and (3)
             7094      regardless of whether it operates as a tavern.
             7095          (6) (a) An on-premise beer retailer may not sell, offer for sale, or furnish beer at its
             7096      licensed premises during a period that:
             7097          (i) begins at 1 a.m.; and
             7098          (ii) ends at 9:59 a.m.
             7099          (b) (i) Notwithstanding Subsection (5)(a), a tavern shall remain open for one hour after
             7100      the tavern ceases the sale and furnishing of beer during which time a patron of the tavern may
             7101      finish consuming a single serving of beer not exceeding 26 ounces.
             7102          (ii) A tavern is not required to remain open:
             7103          (A) after all patrons have vacated the premises; or
             7104          (B) during an emergency.
             7105          (c) A tavern may not allow a patron to remain on the licensed premises to consume
             7106      beer on the licensed premises during a period that:
             7107          (i) begins at 2 a.m.; and
             7108          (ii) ends at 9:59 a.m.
             7109          (7) Notwithstanding Section 32B-5-308 , a minor may not be on the premises of a
             7110      tavern.
             7111          (8) (a) (i) An on-premise beer retailer may not purchase, acquire, possess for the
             7112      purpose of resale, or sell beer except beer that the on-premise beer retailer lawfully purchases
             7113      from:


             7114          (A) a beer wholesaler licensee; or
             7115          (B) a small brewer that manufactures the beer.
             7116          (ii) Violation of Subsection (8)(a) is a class A misdemeanor.
             7117          (b) (i) If an on-premise beer retailer purchases beer under this Subsection (8) from a
             7118      beer wholesaler licensee, the on-premise beer retailer shall purchase beer only from a beer
             7119      wholesaler licensee who is designated by the manufacturer to sell beer in the geographical area
             7120      in which the off-premise beer retailer is located, unless an alternate wholesaler is authorized by
             7121      the department to sell to the off-premise beer retailer as provided in Section 32B-13-301 .
             7122          (ii) Violation of Subsection (2)(b) is a class B misdemeanor.
             7123          Section 209. Section 32B-6-707 is enacted to read:
             7124          32B-6-707. Application of part to other retail license type.
             7125          (1) A retail licensee who is not an on-premise beer retailer, but who sells, offers for
             7126      sale, or furnishes beer pursuant to a different part under this chapter:
             7127          (a) may sell, offer for sale, or furnish beer without obtaining a separate on-premise
             7128      beer retailer license from the commission; and
             7129          (b) shall comply with the operational requirements under this part that apply to an
             7130      on-premise beer retailer, except when a requirement of this part is inconsistent with or less
             7131      restrictive than an operational requirement under the relevant part under this chapter for the
             7132      type of retail license.
             7133          (2) Failure of a retail licensee or staff of the retail licensee to comply with a
             7134      requirement of this part may result in disciplinary action in accordance with Chapter 3,
             7135      Disciplinary Actions and Enforcement Act, against:
             7136          (a) a retail licensee;
             7137          (b) individual staff of a retail licensee; or
             7138          (c) both a retail licensee and staff of the retail licensee.
             7139          Section 210. Section 32B-6-708 is enacted to read:
             7140          32B-6-708. Information obtained by investigator.
             7141          (1) Subject to Subsection (2), if an investigator is permitted by another provision of


             7142      this title to inspect a record of an on-premise beer retailer that is a tavern, in addition to any
             7143      other rights under this title, the investigator may inspect, have a copy of, or otherwise review
             7144      any record of the tavern that is a visual recording of the operations of the tavern.
             7145          (2) An investigator who is a peace officer may not inspect, have a copy of, or
             7146      otherwise review a visual recording described in Subsection (1) without probable cause.
             7147          Section 211. Section 32B-7-101 is enacted to read:
             7148     
CHAPTER 7. OFF-PREMISE BEER RETAILER ACT

             7149     
Part 1. General Provisions

             7150          32B-7-101. Title.
             7151          This chapter is known as the "Off-premise Beer Retailer Act."
             7152          Section 212. Section 32B-7-102 is enacted to read:
             7153          32B-7-102. Definitions.
             7154          Reserved
             7155          Section 213. Section 32B-7-201 is enacted to read:
             7156     
Part 2. Off-premise Beer Retailer Local Authority

             7157          32B-7-201. State and local licensing -- Limitations.
             7158          (1) Subject to the other provisions of this title, a local authority may:
             7159          (a) tax or prohibit the retail sale of beer;
             7160          (b) subject to this part, issue, suspend, and revoke a local license to sell beer at retail
             7161      for off-premise consumption;
             7162          (c) establish proximity requirements for establishing premises where beer is sold at
             7163      retail for off-premise consumption in relation to any community location; and
             7164          (d) otherwise regulate the retail sale of beer for off-premise consumption subject to the
             7165      requirements of Section 32B-7-202 and Part 3, Off-premise Beer Retailer Enforcement Act.
             7166          (2) A local authority may not issue to a minor a local license to sell beer at retail for
             7167      off-premise consumption.
             7168          Section 214. Section 32B-7-202 is enacted to read:
             7169          32B-7-202. General operational requirements for off-premise beer retailer.


             7170          (1) (a) An off-premise beer retailer or staff of the off-premise beer retailer shall comply
             7171      with this section.
             7172          (b) Failure to comply with this section may result in a suspension or revocation of a
             7173      local license.
             7174          (2) (a) (i) An off-premise beer retailer may not purchase, acquire, possess for the
             7175      purpose of resale, or sell beer, except beer that the off-premise beer retailer lawfully purchases
             7176      from:
             7177          (A) a beer wholesaler licensee; or
             7178          (B) a small brewer that manufactures the beer.
             7179          (ii) A violation of Subsection (2)(a) is a class A misdemeanor.
             7180          (b) (i) If an off-premise beer retailer purchases beer under this Subsection (2) from a
             7181      beer wholesaler licensee, the off-premise beer retailer shall purchase beer only from a beer
             7182      wholesaler licensee who is designated by the manufacturer to sell beer in the geographical area
             7183      in which the off-premise beer retailer is located, unless an alternate wholesaler is authorized by
             7184      the department to sell to the off-premise beer retailer as provided in Section 32B-13-301 .
             7185          (ii) A violation of Subsection (2)(b) is a class B misdemeanor.
             7186          (3) An off-premise beer retailer may not possess, sell, offer for sale, or furnish beer in
             7187      a package larger than two liters.
             7188          (4) A minor may not sell beer on the licensed premises of an off-premise beer retailer
             7189      unless:
             7190          (a) the sale is done under the supervision of a person 21 years of age or older who is
             7191      on the licensed premises; and
             7192          (b) the minor is at least 16 years of age.
             7193          (5) (a) Subject to the other provisions of this Subsection (5), an off-premise beer
             7194      retailer shall:
             7195          (i) display beer sold by the off-premise beer retailer in an area that is visibly separate
             7196      and distinct from the area where nonalcoholic beverages are displayed; and
             7197          (ii) display a sign in the area described in Subsection (5)(a)(i) that:


             7198          (A) is prominent;
             7199          (B) is easily readable by a consumer;
             7200          (C) meets the requirements for format established by the commission by rule; and
             7201          (D) reads in print that is no smaller than .5 inches, bold type, "These beverages
             7202      contain alcohol. Please read the label carefully."
             7203          (b) Notwithstanding Subsection (5)(a), a nonalcoholic beer may be displayed with
             7204      beer if the nonalcoholic beer is labeled, packaged, or advertised as a nonalcoholic beer.
             7205          (c) The requirements of this Subsection (5) apply to beer notwithstanding that it is
             7206      labeled, packaged, or advertised as:
             7207          (i) a malt cooler; or
             7208          (ii) a beverage that may provide energy.
             7209          (d) The commission shall define by rule what constitutes an "area that is visibly
             7210      separate and distinct from the area where a nonalcoholic beverage is displayed."
             7211          (e) A violation of this Subsection (5) is an infraction.
             7212          (6) (a) Staff of an off-premise beer retailer who directly supervises the sale of beer or
             7213      who sells beer to a patron for consumption off the premises of the off-premise beer retailer
             7214      shall wear a unique identification badge:
             7215          (i) on the front of the staff's clothing;
             7216          (ii) visible above the waist;
             7217          (iii) bearing the staff's:
             7218          (A) first or last name;
             7219          (B) initials; or
             7220          (C) unique identification in letters or numbers; and
             7221          (iv) with the number or letters on the unique identification badge being sufficiently
             7222      large to be clearly visible and identifiable while engaging in or directly supervising the retail
             7223      sale of beer.
             7224          (b) An off-premise beer retailer shall make and maintain a record of each current
             7225      staff's unique identification badge assigned by the off-premise beer retailer that includes the


             7226      staff's:
             7227          (i) full name;
             7228          (ii) address; and
             7229          (iii) (A) driver license number; or
             7230          (B) similar identification number.
             7231          (c) An off-premise beer retailer shall make available a record required to be made or
             7232      maintained under this Subsection (6) for immediate inspection by:
             7233          (i) a peace officer; or
             7234          (ii) a representative of the local authority that issues the off-premise beer retailer
             7235      license.
             7236          (d) A local authority may impose a fine of up to $250 against an off-premise beer
             7237      retailer that does not comply or require its staff to comply with this Subsection (6).
             7238          Section 215. Section 32B-7-301 is enacted to read:
             7239     
Part 3. Off-premise Beer Retailer Enforcement Act

             7240          32B-7-301. Title.
             7241          This part is known as the "Off-premise Beer Retailer Enforcement Act."
             7242          Section 216. Section 32B-7-302 is enacted to read:
             7243          32B-7-302. Definitions.
             7244          Reserved
             7245          Section 217. Section 32B-7-303 is enacted to read:
             7246          32B-7-303. Penalties related to sales to minors.
             7247          (1) (a) In addition to any criminal penalty that may be imposed, an individual is
             7248      subject to the administrative penalties described in Subsection (1)(b) imposed by a local
             7249      authority if:
             7250          (i) the individual completes an alcohol training and education seminar;
             7251          (ii) after completing the alcohol training and education seminar, the individual is
             7252      found in violation of a law involving the sale of an alcoholic product to a minor;
             7253          (iii) the violation described in Subsection (1)(a)(ii) is based on conduct that occurs


             7254      while the individual is on duty as staff of an off-premise beer retailer; and
             7255          (iv) the local authority brings an adjudicative proceeding against the individual.
             7256          (b) If the conditions of Subsection (1)(a) are met, a local authority shall impose the
             7257      following administrative penalties:
             7258          (i) upon a first violation, the individual may not sell or directly supervise the sale of
             7259      beer to a patron for consumption off the premises of the off-premise beer retailer until the
             7260      individual retakes and completes an alcohol training and education seminar;
             7261          (ii) upon a second violation, the individual may not sell or directly supervise the sale
             7262      of beer to a patron for consumption off the premises of the off-premise beer retailer until the
             7263      later of:
             7264          (A) 90 days from the day on which the administrative penalty is imposed; and
             7265          (B) the day on which the individual:
             7266          (I) retakes and completes the alcohol training and education seminar; and
             7267          (II) completes any additional training that the local authority may require; and
             7268          (iii) upon a third or subsequent violation, the individual may not sell or directly
             7269      supervise the sale of beer to a patron for consumption off the premises of the off-premise beer
             7270      retailer until the later of:
             7271          (A) one year from the day on which the administrative penalty is imposed; and
             7272          (B) the day on which the individual:
             7273          (I) retakes and completes an alcohol training and education seminar; and
             7274          (II) completes any additional training that the local authority may require.
             7275          (2) (a) During the time period in which an individual is prohibited from selling or
             7276      directly supervising the sale of beer under Subsection (1)(b), an off-premise beer retailer may
             7277      not allow that individual to:
             7278          (i) directly supervise the sale of beer for the off-premise beer retailer; or
             7279          (ii) sell beer for the off-premise beer retailer.
             7280          (b) A violation of this Subsection (2) is grounds for the immediate suspension of the
             7281      off-premise beer retailer's license.


             7282          (3) (a) In addition to any criminal penalty that may be imposed, an off-premise beer
             7283      retailer is subject to the administrative penalties imposed by a local authority described in
             7284      Subsection (3)(b) if:
             7285          (i) staff of the off-premise beer retailer is found in violation of a law involving the sale
             7286      of an alcoholic product to a minor;
             7287          (ii) the violation described in Subsection (3)(a)(i) occurs while the staff is on duty for
             7288      the off-premise beer retailer; and
             7289          (iii) the local authority brings an adjudicative proceeding against the off-premise beer
             7290      retailer.
             7291          (b) If the conditions of Subsection (3)(a) are met, a local authority shall impose the
             7292      following administrative penalties:
             7293          (i) upon a first violation, the local authority shall issue a written warning against an
             7294      off-premise beer retailer;
             7295          (ii) upon a second violation, an off-premise beer retailer shall pay a civil fine of $250;
             7296          (iii) upon a third violation, an off-premise beer retailer shall pay a civil fine of $500;
             7297          (iv) upon a fourth or subsequent violation, an off-premise beer retailer shall:
             7298          (A) pay a civil fine of $500;
             7299          (B) have its off-premise beer retailer license suspended for a period of 30 consecutive
             7300      days from the date on which the administrative penalty is imposed; and
             7301          (C) be placed on probation for a period of one year from the date on which the
             7302      administrative penalty is imposed; and
             7303          (v) upon any violation by the off-premise beer retailer or any on-duty staff of the
             7304      off-premise beer retailer during the period of probation specified in Subsection (3)(b)(iv)(C):
             7305          (A) the off-premise beer retailer's license to sell beer shall be revoked; and
             7306          (B) the off-premise beer retailer may not reapply for a new license for at least six
             7307      months from the date of revocation.
             7308          (4) (a) An off-premise beer retailer's failure to pay a fine imposed under Subsection (3)
             7309      within 30 days of the day on which a fine is imposed is grounds for the immediate suspension


             7310      of the off-premise beer retailer's license to sell beer until payment is made.
             7311          (b) An off-premise beer retailer's failure to pay the fine described in Subsection (4)(a)
             7312      within the time period described in Subsection (4)(a) is grounds for revocation of the
             7313      off-premise beer retailer's license.
             7314          Section 218. Section 32B-7-304 is enacted to read:
             7315          32B-7-304. Hearings.
             7316          (1) A local authority shall conduct a hearing under this part if one of the following
             7317      requests a hearing before the local authority:
             7318          (a) an off-premise beer retailer;
             7319          (b) an individual who directly supervises the sale of beer to a patron for consumption
             7320      off the premises of the off-premise beer retailer; or
             7321          (c) an individual who sells beer to a patron for consumption off the premises of the
             7322      off-premise beer retailer.
             7323          (2) A local authority conducting a hearing under this section shall provide the person
             7324      requesting the hearing:
             7325          (a) notice of the hearing; and
             7326          (b) an opportunity to be heard at the hearing.
             7327          Section 219. Section 32B-7-305 is enacted to read:
             7328          32B-7-305. Tracking of enforcement actions -- Costs of enforcement actions.
             7329          (1) A local authority that pursuant to this part adjudicates an administrative penalty
             7330      for a violation of a law involving the sale of an alcoholic product to a minor, shall:
             7331          (a) maintain a record of an adjudicated violation until the record is expunged under
             7332      Subsection (3);
             7333          (b) include in the record described in Subsection (1)(a):
             7334          (i) the name of the individual who commits the violation;
             7335          (ii) the name of the off-premise beer retailer for whom the individual is a staff member
             7336      at the time of the violation; and
             7337          (iii) the date of the adjudication of the violation; and


             7338          (c) provide the information described in Subsection (1)(b) to the Highway Safety
             7339      Office of the Department of Public Safety within 30 days of the date on which a violation is
             7340      adjudicated.
             7341          (2) (a) The Highway Safety Office shall develop and operate a system to collect,
             7342      analyze, maintain, track, and disseminate the violation history information received under
             7343      Subsection (1).
             7344          (b) The Highway Safety Office shall make the system described in Subsection (2)(a)
             7345      available to:
             7346          (i) assist a local authority in assessing administrative penalties under Section
             7347      32B-7-303 ; and
             7348          (ii) inform an off-premise beer retailer of an individual who has an administrative
             7349      violation history under Section 32B-7-303 .
             7350          (c) The Highway Safety Office shall maintain a record of violation history information
             7351      received pursuant to Subsection (1) until the record is expunged under Subsection (3).
             7352          (3) (a) A local authority and the Highway Safety Office shall expunge from the records
             7353      maintained an administrative penalty imposed under Section 32B-7-303 for purposes of
             7354      determining future administrative penalties under Section 32B-7-303 if the individual has not
             7355      been found in violation of any law involving the sale of an alcoholic product to a minor for a
             7356      period of 36 consecutive months from the day on which the individual is last adjudicated as
             7357      violating a law involving the sale of an alcoholic product to a minor.
             7358          (b) A local authority shall expunge from the records maintained by the local authority
             7359      an administrative penalty imposed under Section 32B-7-303 against an off-premise beer
             7360      retailer for purposes of determining future administrative penalties under Section 32B-7-303 if
             7361      the off-premise beer retailer or any staff of that off-premise beer retailer has not been found in
             7362      violation of any law involving the sale of an alcoholic product to a minor for a period of 36
             7363      consecutive months from the day on which the off-premise beer retailer or staff of the
             7364      off-premise beer retailer is last adjudicated as violating a law involving the sale of an alcoholic
             7365      product to a minor.


             7366          (4) The Highway Safety Office shall administer a program to reimburse a municipal or
             7367      county law enforcement agency:
             7368          (a) for the actual costs of an alcohol-related compliance check investigation conducted
             7369      pursuant to Section 77-39-101 on the premises of an off-premise beer retailer;
             7370          (b) for administrative costs associated with reporting the compliance check
             7371      investigation described in Subsection (4)(a);
             7372          (c) if the municipal or county law enforcement agency completes and submits to the
             7373      Highway Safety Office a report within 90 days of the compliance check investigation
             7374      described in Subsection (4)(a) in a format required by the Highway Safety Office; and
             7375          (d) in the order that the municipal or county law enforcement agency submits the
             7376      report required by Subsection (4)(c) until the amount allocated by the Highway Safety Office
             7377      to reimburse a municipal or county law enforcement agency is spent.
             7378          (5) The Highway Safety Office shall report to the Utah Substance Abuse and
             7379      Anti-Violence Coordinating Council by no later than October 1 following a fiscal year on the
             7380      following funded during the prior fiscal year:
             7381          (a) compliance check investigations reimbursed under Subsection (4); and
             7382          (b) the collection, analysis, maintenance, tracking, and dissemination of violation
             7383      history information described in Subsection (2).
             7384          Section 220. Section 32B-8-101 is enacted to read:
             7385     
CHAPTER 8. RESORT LICENSE ACT

             7386     
Part 1. General Provisions

             7387          32B-8-101. Title.
             7388          This chapter is known as the "Resort License Act."
             7389          Section 221. Section 32B-8-102 is enacted to read:
             7390          32B-8-102. Definitions.
             7391          As used in this chapter:
             7392          (1) "Boundary of a resort building" means the physical boundary of the land
             7393      reasonably related to a resort building and any structure or improvement to that land as


             7394      determined by the commission.
             7395          (2) "Dwelling" means a portion of a resort building:
             7396          (a) owned by one or more individuals;
             7397          (b) that is used or designated for use as a residence by one or more persons; and
             7398          (c) that may be rented, loaned, leased, or hired out for a period of no longer than 30
             7399      consecutive days by a person who uses it for a residence.
             7400          (3) "Engaged in the management of the resort" may be defined by the commission by
             7401      rule.
             7402          (4) "Invitee" means an individual who in accordance with Subsection 32B-8-304 (12)
             7403      is authorized to use a resort spa by a host who is:
             7404          (a) a resident; or
             7405          (b) a public customer.
             7406          (5) "Provisions applicable to a sublicense" means:
             7407          (a) for a full-service restaurant sublicense, Chapter 6, Part 2, Full-service Restaurant
             7408      License;
             7409          (b) for a limited-service restaurant sublicense, Chapter 6, Part 3, Limited-service
             7410      Restaurant License;
             7411          (c) for a club sublicense, Chapter 6, Part 4, Club License;
             7412          (d) for an on-premise banquet sublicense, Chapter 6, Part 6, On-premise Banquet
             7413      License;
             7414          (e) for an on-premise beer retailer sublicense, Chapter 6, Part 7, On-premise Beer
             7415      Retailer License; and
             7416          (f) for a resort spa sublicense, Part 3, Resort Spa Sublicense.
             7417          (6) "Public customer" means an individual who holds a customer card in accordance
             7418      with Subsection 32B-8-304 (13).
             7419          (7) "Resident" means an individual who:
             7420          (a) owns a dwelling located within a resort building; or
             7421          (b) rents lodging accommodations for 30 consecutive days or less from:


             7422          (i) an owner of a dwelling described in Subsection (7)(a); or
             7423          (ii) the resort licensee.
             7424          (8) "Resort" means a location:
             7425          (a) on which is located one resort building; and
             7426          (b) that is affiliated with a ski area that physically touches the boundary of the resort
             7427      building.
             7428          (9) "Resort building" means a building:
             7429          (a) that is primarily operated to provide dwellings or lodging accommodations;
             7430          (b) that has at least 150 units that consist of a dwelling or lodging accommodations;
             7431          (c) that consists of at least 400,000 square feet:
             7432          (i) including only the building itself; and
             7433          (ii) not including areas such as above ground surface parking; and
             7434          (d) of which at least 50% of the units described in Subsection (9)(b) consist of
             7435      dwellings owned by a person other than the resort licensee.
             7436          (10) "Resort spa" means a spa, as defined by rule by the commission, that is within the
             7437      boundary of a resort building.
             7438          (11) "Sublicense" means:
             7439          (a) a full-service restaurant sublicense;
             7440          (b) a limited-service restaurant sublicense;
             7441          (c) a club sublicense;
             7442          (d) an on-premise banquet sublicense;
             7443          (e) an on-premise beer retailer sublicense; and
             7444          (f) a resort spa sublicense.
             7445          (12) "Sublicense premises" means a building, enclosure, or room used pursuant to a
             7446      sublicense in connection with the storage, sale, furnishing, or consumption of an alcoholic
             7447      product, unless otherwise defined in this title or in the rules made by the commission.
             7448          Section 222. Section 32B-8-201 is enacted to read:
             7449     
Part 2. Resort Licensing Process


             7450          32B-8-201. Commission's power to issue a resort license.
             7451          (1) Before a person as a resort may store, sell, offer for sale, furnish, or allow the
             7452      consumption of an alcoholic product on sublicense premises, the person shall first obtain a
             7453      resort license from the commission in accordance with this part.
             7454          (2) (a) The commission may issue to a person a resort license to allow the storage,
             7455      sale, offer for sale, furnishing, and consumption of an alcoholic product in connection with a
             7456      resort designated in the resort license if the person operates at least four sublicenses under the
             7457      resort license.
             7458          (b) A resort license shall:
             7459          (i) consist of:
             7460          (A) a general resort license; and
             7461          (B) the four or more sublicenses; and
             7462          (ii) designate the boundary of the resort building.
             7463          (c) This chapter does not prohibit an alcoholic product on the boundary of the resort
             7464      building to the extent otherwise permitted by this title.
             7465          (d) The commission may not issue a sublicense that is separate from a resort license.
             7466          (3) (a) The commission may not issue a total number of resort licenses that at any time
             7467      totals more than four.
             7468          (b) Subject to Subsection (3)(c), when determining the total number of licenses the
             7469      commission has issued for each type of retail license, the commission may not include a
             7470      sublicense as one of the retail licenses issued under the provisions applicable to the sublicense.
             7471          (c) If a resort license issued under this chapter includes a sublicense that before the
             7472      issuance of the resort license was a retail licensee under this chapter, the commission shall
             7473      include the sublicense as one of the retail licenses issued under the provisions applicable to the
             7474      sublicense in determining if the total number of licenses issued under the provisions applicable
             7475      to the sublicense exceeds the number calculated by dividing the population of the state by the
             7476      number specified in the provisions applicable to the sublicense.
             7477          Section 223. Section 32B-8-202 is enacted to read:


             7478          32B-8-202. Specific licensing requirements for resort license.
             7479          (1) To obtain a resort license, in addition to complying with Chapter 5, Part 2, Retail
             7480      Licensing Process, a person shall submit with the written application:
             7481          (a) the current business license for each sublicense, if the business license is separate
             7482      from the person's business license;
             7483          (b) evidence:
             7484          (i) of proximity of the resort building to any community location, with proximity
             7485      requirements being governed by Section 32B-1-202 ;
             7486          (ii) that each of the four or more sublicense premises is entirely within the boundaries
             7487      of the resort building; and
             7488          (iii) that the building designated in the application as the resort building qualifies as a
             7489      resort building;
             7490          (c) a description and boundary map of the resort building;
             7491          (d) a description, floor plan, and boundary map of each sublicense premises
             7492      designating:
             7493          (i) any location at which the person proposes that an alcoholic product be stored; and
             7494          (ii) a designated location on the sublicense premises from which the person proposes
             7495      that an alcoholic product be sold, furnished, or consumed;
             7496          (e) evidence that the resort license person carries dramshop insurance coverage equal
             7497      to the sum of at least $1,000,000 per occurrence and $2,000,000 in the aggregate to cover both
             7498      the general resort license and each sublicense; and
             7499          (f) a signed consent form stating that the person will permit any authorized
             7500      representative of the commission, department, or any law enforcement officer to have
             7501      unrestricted right to enter the boundary of the resort building and each sublicense premises.
             7502          (2) (a) A resort license expires on October 31 of each year.
             7503          (b) To renew a person's resort license, the person shall comply with the requirements
             7504      of Chapter 5, Part 2, Retail Licensing Process, by no later than September 30.
             7505          (3) (a) The nonrefundable application fee for a resort license is $250.


             7506          (b) The initial license fee for a resort license is calculated as follows:
             7507          (i) $10,000 if four sublicenses are being applied for under the resort license; or
             7508          (ii) if more than four sublicenses are being applied for under the resort license, the
             7509      sum of:
             7510          (A) $10,000; and
             7511          (B) $2,000 for each sublicense in excess of four sublicenses for which the person is
             7512      applying.
             7513          (c) The renewal fee for a resort license is $1,000 for each sublicense under the resort
             7514      license.
             7515          (4) (a) The bond amount required for a resort license is the penal sum of $25,000.
             7516          (b) A resort licensee is not required to have a separate bond for each sublicense, except
             7517      that the aggregate of the bonds posted by the resort licensee shall cover each sublicense under
             7518      the resort license.
             7519          (5) The commission may not issue a resort license for a resort building that does not
             7520      meet the proximity requirements of Section 32B-1-202 .
             7521          Section 224. Section 32B-8-203 is enacted to read:
             7522          32B-8-203. Specific qualifications for resort license.
             7523          (1) For purposes of this chapter, the commission shall apply:
             7524          (a) Subsection 32B-1-304 (1)(a) to a partnership, corporation, or limited liability
             7525      company, only if an individual listed in Subsection 32B-1-304 (1)(b) will engage in the
             7526      management of the resort; and
             7527          (b) Subsection 32B-1-304 (1)(c) to an individual who is employed to act in a
             7528      supervisory or managerial capacity for the resort licensee or in relation to a sublicense.
             7529          (2) The following are subject to Section 32B-8-501 :
             7530          (a) an action of the commission under Subsection 32B-1-304 (2);
             7531          (b) an action of the director under Subsection 32B-1-304 (3); and
             7532          (c) termination of a resort license under Subsection 32B-1-304 (6).
             7533          (3) (a) A person employed to act in a supervisory or managerial capacity for a


             7534      sublicense is subject to the qualification requirements in the provisions applicable to the
             7535      sublicense.
             7536          (b) If a person described under Subsection (3)(a) no longer possesses the qualifications
             7537      required by this Subsection (3), the commission may suspend or revoke the sublicense that is
             7538      part of the resort license.
             7539          Section 225. Section 32B-8-204 is enacted to read:
             7540          32B-8-204. Commission and department duties before issuing resort license.
             7541          (1) Before the issuance of a resort license, the department shall comply with the
             7542      requirements of Subsection 32B-8-202 (1) in relation to the resort license and each sublicense.
             7543          (2) Before issuing a resort license, in addition to considering the factors described in
             7544      Section 32B-8-202 , the commission shall:
             7545          (a) consider the resort license person's ability to manage and operate a resort license
             7546      and the ability of any individual who will act in a supervisory or managerial capacity for a
             7547      sublicense, including:
             7548          (i) past management experience;
             7549          (ii) past alcoholic product license experience; and
             7550          (iii) the type of management scheme to be used by the resort license person;
             7551          (b) consider the nature or type of:
             7552          (i) the person's business operation of the resort license; and
             7553          (ii) the business operation of each sublicense; and
             7554          (c) subject to Subsection (3), determine that each sublicense meets the requirements
             7555      imposed under the provisions applicable to each sublicense.
             7556          (3) (a) Subject to Subsection (3)(b), notwithstanding the requirements to obtain a retail
             7557      license under the provisions applicable to a sublicense, a sublicense of a resort license is not
             7558      subject to:
             7559          (i) a requirement to submit an application or renewal application that is separate from
             7560      the resort license application;
             7561          (ii) a requirement to carry public liability insurance or dramshop insurance coverage


             7562      that is separate from that carried by the resort licensee; or
             7563          (iii) a requirement to post a bond that is separate from the bond posted by the resort
             7564      licensee.
             7565          (b) If a resort licensee seeks to add a sublicense after its resort license is issued, the
             7566      resort licensee shall file with the department:
             7567          (i) a nonrefundable $250 application fee;
             7568          (ii) an initial license fee of $2,000, which is refundable if the sublicense is not issued;
             7569          (iii) written consent of the local authority;
             7570          (iv) a copy of:
             7571          (A) the resort licensee's current business license; and
             7572          (B) the current business license for the sublicense, if the business licensee is separate
             7573      from the resort licensee's business license;
             7574          (v) evidence that the sublicense premises is entirely within the boundary of the resort
             7575      building;
             7576          (vi) a description, floor plan, and boundary map of the sublicense premises
             7577      designating:
             7578          (A) any location at which the person proposes that an alcoholic product be stored; and
             7579          (B) any designated location on the sublicense premises from which the person
             7580      proposes that an alcoholic product be sold, furnished, or consumed;
             7581          (vii) evidence that the person carries public liability insurance in an amount and form
             7582      satisfactory to the department;
             7583          (viii) evidence that the person carries dramshop insurance coverage in the amount
             7584      required by Section 32B-8-202 that covers the sublicense to be added;
             7585          (ix) a signed consent form stating that the resort licensee will permit any authorized
             7586      representative of the commission, department, or any law enforcement officer to have
             7587      unrestricted right to enter the sublicense premises;
             7588          (x) if the resort licensee is an entity, proper verification evidencing that a person who
             7589      signs the application is authorized to sign on behalf of the entity; and


             7590          (xi) any other information the commission or department may require.
             7591          Section 226. Section 32B-8-301 is enacted to read:
             7592     
Part 3. Resort Spa Sublicense

             7593          32B-8-301. Commission's power to issue resort spa sublicense.
             7594          (1) Before a person may store, sell, offer for sale, furnish, or allow the consumption of
             7595      an alcoholic product on its premises as a resort spa sublicensee, a resort licensee or a person
             7596      applying for a resort license shall first obtain a resort spa sublicense from the commission in
             7597      accordance with this part.
             7598          (2) The commission may issue a resort spa sublicense to establish a resort spa license
             7599      within the boundary of a resort building for the storage, sale, offer for sale, furnishing, and
             7600      consumption of liquor on premises operated as a resort spa.
             7601          (3) The resort spa sublicense premises shall fall entirely within the boundary of a
             7602      resort building.
             7603          Section 227. Section 32B-8-302 is enacted to read:
             7604          32B-8-302. Specific licensing requirements for resort spa sublicense.
             7605          (1) A person may not file a written application with the department to obtain a resort
             7606      spa sublicense that is separate from the application of the resort license, unless the resort spa
             7607      sublicense is being sought after the issuing of a resort license.
             7608          (2) If a resort licensee seeks to add a resort spa sublicense after its resort license is
             7609      issued, the resort licensee shall comply with Subsection 32B-8-204 (3)(b).
             7610          (3) (a) A resort spa sublicense expires on October 31 of each year.
             7611          (b) A resort licensee desiring to renew the resort licensee's resort spa sublicense shall
             7612      renew the resort spa sublicense as part of renewing the resort license.
             7613          (c) Failure to meet the renewal requirements for a resort license results in an automatic
             7614      forfeiture of the resort spa sublicense effective on the date the resort license expires.
             7615          Section 228. Section 32B-8-303 is enacted to read:
             7616          32B-8-303. Specific qualifications for resort spa sublicense.
             7617          (1) A person employed to act in a supervisory or managerial capacity for the resort spa


             7618      sublicense is subject to qualification requirements of Section 32B-8-203 .
             7619          (2) If a person no longer possesses the qualifications required by Section 32B-8-203
             7620      for obtaining the resort license or resort spa sublicense, the commission may suspend or
             7621      revoke the resort spa sublicense that is part of the resort license.
             7622          Section 229. Section 32B-8-304 is enacted to read:
             7623          32B-8-304. Specific operational requirements for resort spa sublicense.
             7624          (1) (a) In addition to complying with Chapter 5, Part 3, Retail Licensee Operational
             7625      Requirements, a resort licensee, staff of the resort licensee, or a person otherwise related to a
             7626      resort spa sublicense shall comply with this section.
             7627          (b) Subject to Section 32B-8-502 , failure to comply as provided in Subsection (1)(a)
             7628      may result in disciplinary action in accordance with Chapter 3, Disciplinary Actions and
             7629      Enforcement Act, against:
             7630          (i) a retail licensee;
             7631          (ii) staff of the retail licensee;
             7632          (iii) a person otherwise related to a resort spa sublicense; or
             7633          (iv) any combination of the persons listed in this Subsection (1)(b).
             7634          (2) A person operating under a resort spa sublicense shall display in a prominent place
             7635      in the resort spa a list of the types and brand names of liquor being furnished through its
             7636      calibrated metered dispensing system.
             7637          (3) (a) For purposes of the resort spa sublicense, the resort licensee shall ensure that a
             7638      record required by this title is maintained, and a record is maintained or used for the resort spa
             7639      sublicense:
             7640          (i) as the department requires; and
             7641          (ii) for a minimum period of three years.
             7642          (b) A record is subject to inspection by an authorized representative of the commission
             7643      and the department.
             7644          (c) A resort licensee shall allow the department, through an auditor or examiner of the
             7645      department, to audit the records for a resort spa sublicense at the times the department


             7646      considers advisable.
             7647          (d) The department shall audit the records for a resort spa sublicense at least once
             7648      annually.
             7649          (e) Section 32B-1-205 applies to a record required to be made, maintained, or used in
             7650      accordance with this Subsection (3).
             7651          (4) (a) A person operating under a resort spa sublicense may not sell, offer for sale, or
             7652      furnish liquor at a resort spa during a period that:
             7653          (i) begins at 1 a.m.; and
             7654          (ii) ends at 9:59 a.m.
             7655          (b) A person operating under a resort spa sublicense may sell, offer for sale, or furnish
             7656      beer during the hours specified in Chapter 6, Part 7, On-premise Beer Retailer License, for an
             7657      on-premise beer retailer.
             7658          (c) (i) Notwithstanding Subsections (4)(a) and (b), a resort spa shall remain open for
             7659      one hour after the resort spa ceases the sale and furnishing of an alcoholic product during
             7660      which time a person at the resort spa may finish consuming:
             7661          (A) a single drink containing spirituous liquor;
             7662          (B) a single serving of wine not exceeding five ounces;
             7663          (C) a single serving of heavy beer;
             7664          (D) a single serving of beer not exceeding 26 ounces; or
             7665          (E) a single serving of a flavored malt beverage.
             7666          (ii) A resort spa is not required to remain open:
             7667          (A) after all persons have vacated the resort spa sublicense premises; or
             7668          (B) during an emergency.
             7669          (d) A person operating under a resort spa sublicense may not allow a person to remain
             7670      on the resort spa sublicense premises to consume an alcoholic product on the resort spa
             7671      sublicense premises during a period that:
             7672          (i) begins at 2 a.m.; and
             7673          (ii) ends at 9:59 a.m.


             7674          (5) A minor may not be admitted into, use, or be on:
             7675          (a) the sublicense premises of a resort spa unless accompanied by a person 21 years of
             7676      age or older; or
             7677          (b) a lounge or bar area of the resort spa sublicense premises.
             7678          (6) A resort spa shall have food available at all times when an alcoholic product is
             7679      sold, offered for sale, furnished, or consumed on the resort spa sublicense premises.
             7680          (7) (a) Subject to the other provisions of this Subsection (7), a patron may not have
             7681      more than two alcoholic products of any kind at a time before the patron.
             7682          (b) A resort spa patron may not have two spirituous liquor drinks before the resort spa
             7683      patron if one of the spirituous liquor drinks consists only of the primary spirituous liquor for
             7684      the other spirituous liquor drink.
             7685          (c) An individual portion of wine is considered to be one alcoholic product under this
             7686      Subsection (7).
             7687          (8) (a) An alcoholic product may only be consumed at a table or counter.
             7688          (b) An alcoholic product may not be served to or consumed by a patron at a bar.
             7689          (9) (a) A person operating under a resort spa sublicense shall have available on the
             7690      resort spa sublicense premises for a patron to review at the time that the patron requests it, a
             7691      written alcoholic product price list or a menu containing the price of an alcoholic product sold
             7692      or furnished by the resort spa including:
             7693          (i) a set-up charge;
             7694          (ii) a service charge; or
             7695          (iii) a chilling fee.
             7696          (b) A charge or fee made in connection with the sale, service, or consumption of liquor
             7697      may be stated in food or alcoholic product menus including:
             7698          (i) a set-up charge;
             7699          (ii) a service charge; or
             7700          (iii) a chilling fee.
             7701          (10) (a) A resort licensee shall own or lease premises suitable for the resort spa's


             7702      activities.
             7703          (b) A resort licensee may not maintain premises in a manner that barricades or
             7704      conceals the resort spa sublicense's operation.
             7705          (11) Subject to the other provisions of this section, a person operating under a resort
             7706      spa sublicense may not sell an alcoholic product to or allow a person to be admitted to or use
             7707      the resort spa sublicense premises other than:
             7708          (a) a resident;
             7709          (b) a public customer who holds a valid customer card issued under Subsection (13);
             7710      or
             7711          (c) an invitee.
             7712          (12) A person operating under a resort spa sublicense may allow an individual to be
             7713      admitted to or use the resort spa sublicense premises as an invitee subject to the following
             7714      conditions:
             7715          (a) the individual must be previously authorized by one of the following who agrees to
             7716      host the individual as an invitee into the resort spa:
             7717          (i) a resident; or
             7718          (ii) a public customer as described in Subsection (11);
             7719          (b) the individual has only those privileges derived from the individual's host for the
             7720      duration of the invitee's visit to the resort spa; and
             7721          (c) a resort licensee, resort spa, or staff of the resort licensee or resort spa may not
             7722      enter into an agreement or arrangement with a resident or public customer to indiscriminately
             7723      host a member of the general public into the resort spa as an invitee.
             7724          (13) A person operating under a resort spa sublicense may issue a customer card to
             7725      allow an individual to enter and use the resort spa sublicense premises on a temporary basis
             7726      under the following conditions:
             7727          (a) the resort spa may not issue a customer card for a time period that exceeds three
             7728      weeks;
             7729          (b) the resort spa shall assess a fee to a public customer for a customer card;


             7730          (c) the resort spa may not issue a customer card to a minor; and
             7731          (d) a public customer may not host more than seven invitees at one time.
             7732          Section 230. Section 32B-8-401 is enacted to read:
             7733     
Part 4. Operational Requirements

             7734          32B-8-401. Specific operational requirements for resort license.
             7735          (1) (a) In addition to complying with Chapter 5, Part 3, Retail Licensee Operational
             7736      Requirements, a resort licensee, staff of the resort licensee, and a person otherwise operating
             7737      under a sublicense shall comply with this section.
             7738          (b) Subject to Section 32B-8-502 , failure to comply as provided in Subsection (1)(a)
             7739      may result in disciplinary action in accordance with Chapter 3, Disciplinary Actions and
             7740      Enforcement Act, against:
             7741          (i) a resort licensee;
             7742          (ii) individual staff of a resort licensee;
             7743          (iii) a person otherwise operating under a sublicense;
             7744          (iv) individual staff of a person otherwise operating under a sublicense; or
             7745          (v) any combination of the persons listed in this Subsection (1)(b).
             7746          (2) (a) A resort licensee may not sell, offer for sale, or furnish an alcoholic product
             7747      except:
             7748          (i) on a sublicense premises;
             7749          (ii) pursuant to a permit issued under this title; or
             7750          (iii) under a package agency agreement with the department, subject to Chapter 2, Part
             7751      6, Package Agency.
             7752          (b) A resort licensee who sells, offers for sale, or furnishes an alcoholic product as
             7753      provided in Subsection (2)(a), shall sell, offer for sale, or furnish the alcoholic product:
             7754          (i) if on a sublicense premises, in accordance with the operational requirements under
             7755      the provisions applicable to the sublicense, except as provided in Section 32B-8-402 ;
             7756          (ii) if under a permit issued under this title, in accordance with the operational
             7757      requirements under the provisions applicable to the permit; and


             7758          (iii) if as a package agency, in accordance with the contract with the department and
             7759      Chapter 2, Part 6, Package Agency.
             7760          (3) A resort licensee shall comply with Subsections 32B-5-301 (4) and (5) within the
             7761      boundary of the resort building.
             7762          (4) (a) Subject to Subsection (4)(b), a resort licensee shall operate in a manner so that
             7763      at least 70% of the annual aggregate of the gross receipts related to the sale of food or
             7764      beverages for the resort license and each of its sublicenses is from the sale of food, not
             7765      including:
             7766          (i) mix for an alcoholic product; and
             7767          (ii) a charge in connection with the service of an alcoholic product.
             7768          (b) In calculating the annual aggregate of the gross receipts described in Subsection
             7769      (4)(a), a resort licensee is not required to include in the calculation money from the sale of a
             7770      bottle of wine by the resort licensee or under a sublicense in excess of $250.
             7771          (5) (a) A resort licensee shall supervise and direct a person involved in the sale, offer
             7772      for sale, or furnishing of an alcoholic product under a resort license.
             7773          (b) A person involved in the sale, offer for sale, or furnishing of an alcoholic product
             7774      under a resort license shall complete the alcohol training and education seminar.
             7775          (6) (a) Room service of an alcoholic product to a lodging accommodation of a resort
             7776      licensee shall be provided in person by staff of a resort licensee only to an adult occupant in
             7777      the lodging accommodation.
             7778          (b) An alcoholic product may not be left outside a lodging accommodation for
             7779      retrieval by an occupant.
             7780          (c) A resort licensee may only provide an alcoholic product for room service in a
             7781      sealed package.
             7782          Section 231. Section 32B-8-402 is enacted to read:
             7783          32B-8-402. Specific operational requirements for a sublicense.
             7784          (1) A person operating under a sublicense is subject to the operational requirements
             7785      under the provisions applicable to the sublicense except that, notwithstanding a requirement in


             7786      the provisions applicable to the sublicense, a person operating under the sublicense is not
             7787      subject to a requirement that a certain percentage of the gross receipts for the sublicense be
             7788      from the sale of food, except to the extent that the gross receipts for the sublicense are
             7789      included in calculating the percentages under Subsection 32B-8-401 (4).
             7790          (2) Subject to Section 32B-8-502 , for purposes of interpreting an operational
             7791      requirement imposed by the provisions applicable to a sublicense:
             7792          (a) a requirement imposed on a person operating under a sublicense applies to the
             7793      resort licensee; and
             7794          (b) a requirement imposed on staff of a person operating under a sublicense applies to
             7795      staff of the resort licensee.
             7796          Section 232. Section 32B-8-501 is enacted to read:
             7797     
Part 5. Enforcement

             7798          32B-8-501. Enforcement of qualifications for resort license or sublicense.
             7799          (1) The commission or department may not take an action described in Subsection (2)
             7800      with regard to a resort license unless the person who is found not to meet the qualifications of
             7801      Section 32B-8-203 is one of the following who is engaged in the management of the resort:
             7802          (a) a partner;
             7803          (b) a managing agent;
             7804          (c) a manager;
             7805          (d) an officer;
             7806          (e) a director;
             7807          (f) a stockholder who holds at least 20% of the total issued and outstanding stock of
             7808      the corporation;
             7809          (g) a member who owns at least 20% of the limited liability company; or
             7810          (h) a person employed to act in a supervisory or managerial capacity for the resort
             7811      licensee.
             7812          (2) Subsection (1) applies to:
             7813          (a) the commission immediately suspending or revoking a resort license, if after the


             7814      day on which the resort license is issued, a person described in Subsection 32B-8-203 (1):
             7815          (i) is found to have been convicted of an offense described in Subsection
             7816      32B-1-304 (1)(a) before the resort license is issued; or
             7817          (ii) on or after the day on which the resort license is issued:
             7818          (A) is convicted of an offense described in Subsection 32B-1-304 (1)(a)(i), (ii), or (iii);
             7819      or
             7820          (B) (I) is convicted of driving under the influence of alcohol, a drug, or the combined
             7821      influence of alcohol and a drug; and
             7822          (II) was convicted of driving under the influence of alcohol, a drug, or the combined
             7823      influence of alcohol and a drug within five years before the day on which the person is
             7824      convicted of the offense described in Subsection (2)(b)(ii)(A);
             7825          (b) the director taking an emergency action by immediately suspending the operation
             7826      of a resort license in accordance with Title 63G, Chapter 4, Administrative Procedures Act, for
             7827      the period during which the criminal matter is being adjudicated if a person described in
             7828      Subsection 32B-8-203 (1):
             7829          (i) is arrested on a charge for an offense described in Subsection 32B-1-304 (1)(a)(i),
             7830      (ii), or (iii); or
             7831          (ii) (A) is arrested on a charge for the offense of driving under the influence of alcohol,
             7832      a drug, or the combined influence of alcohol and a drug; and
             7833          (B) was convicted of driving under the influence of alcohol, a drug, or the combined
             7834      influence of alcohol and a drug within five years before the day on which the person is arrested
             7835      on a charge described in Subsection (2)(b)(ii)(A); and
             7836          (c) the commission suspending or revoking a resort license because a person to whom
             7837      a resort license is issued under this chapter no longer possesses the qualifications required by
             7838      this title for obtaining the resort license.
             7839          (3) This section does not prevent the commission from suspending or revoking a
             7840      sublicense that is part of a resort license if a person employed to act in a supervisory or
             7841      managerial capacity for a sublicense no longer meets the qualification requirements in the


             7842      provisions applicable to the sublicense.
             7843          Section 233. Section 32B-8-502 is enacted to read:
             7844          32B-8-502. Enforcement of operational requirements for resort license or
             7845      sublicense.
             7846          (1) (a) Except as provided in Subsection (2) and in addition to Subsection (3), failure
             7847      by a person described in Subsection (1)(b) to comply with this chapter or an operational
             7848      requirement under a provision applicable to a sublicense may result in disciplinary action in
             7849      accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             7850          (i) a resort licensee;
             7851          (ii) individual staff of a resort licensee;
             7852          (iii) a person otherwise operating under a sublicense;
             7853          (iv) individual staff of a person otherwise operating under a sublicense; or
             7854          (v) any combination of the persons listed in this Subsection (1)(a).
             7855          (b) This Subsection (1) applies to:
             7856          (i) a resort licensee;
             7857          (ii) a person operating under a sublicense; or
             7858          (iii) staff of a resort licensee or other person operating under a sublicense.
             7859          (2) (a) Notwithstanding the other provisions of this title, if the failure to comply with
             7860      this chapter described in Subsection (1) relates to a sale, offer for sale, or furnishing of an
             7861      alcoholic product on a sublicense premises, a resort licensee or an individual member of the
             7862      resort licensee's management personnel is subject to a sanction described in Subsection (1),
             7863      only if the commission finds that:
             7864          (i) during the three years before the day on which the commission makes the finding,
             7865      there are three or more disciplinary proceedings against any person operating under a
             7866      sublicense of the resort licensee for failure to comply with an operational requirement
             7867      applicable to the sublicense; and
             7868          (ii) the resort licensee has not taken reasonable steps to prevent persons operating
             7869      under a sublicense of the resort licensee from failing to comply with operational requirements


             7870      applicable to the sublicense.
             7871          (b) This Subsection (2) applies if the three or more disciplinary proceedings described
             7872      in Subsection (2)(a) are against:
             7873          (i) the same person operating under a sublicense of the resort licensee; or
             7874          (ii) two or more different persons operating under a sublicense of the resort licensee.
             7875          (3) An operational requirement applicable to a person operating under a sublicense is
             7876      enforced as provided by the provisions applicable to the sublicense.
             7877          Section 234. Section 32B-8-503 is enacted to read:
             7878          32B-8-503. Enforcement of Nuisance Retail Licensee Act.
             7879          Chapter 3, Part 3, Nuisance Retail Licensee Act, applies to a resort license only if three
             7880      or more of the sublicenses of the resort license have not been renewed in accordance with
             7881      Chapter 3, Part 3, Nuisance Retail Licensee Act, within three years from the day on which a
             7882      resort licensee applies for the renewal of its resort license.
             7883          Section 235. Section 32B-9-101 is enacted to read:
             7884     
CHAPTER 9. EVENT PERMIT ACT

             7885     
Part 1. General Provisions

             7886          32B-9-101. Title.
             7887          This chapter is known as the "Event Permit Act."
             7888          Section 236. Section 32B-9-102 is enacted to read:
             7889          32B-9-102. Definitions.
             7890          As used in this chapter:
             7891          (1) "Single event permit" means an event permit issued in accordance with Part 3,
             7892      Single Event Permit.
             7893          (2) "Temporary beer event permit" means an event permit issued in accordance with
             7894      Part 4, Temporary Beer Event Permit.
             7895          Section 237. Section 32B-9-201 is enacted to read:
             7896     
Part 2. Event Permitting General Provisions

             7897          32B-9-201. Application requirements for event permit.


             7898          (1) To obtain an event permit, a person shall submit to the department:
             7899          (a) a written application in a form that the department prescribes;
             7900          (b) an event permit fee:
             7901          (i) in the amount specified in the relevant part under this chapter for the type of event
             7902      permit for which the person is applying; and
             7903          (ii) that is refundable if an event permit is not issued;
             7904          (c) written consent of the local authority;
             7905          (d) a bond as specified by Section 32B-9-203 ;
             7906          (e) the times, dates, location, estimated attendance, nature, and purpose of the event;
             7907          (f) a description or floor plan designating:
             7908          (i) the area in which the person proposes that an alcoholic product be stored;
             7909          (ii) the site from which the person proposes that an alcoholic product be sold, offered
             7910      for sale, or furnished; and
             7911          (iii) the area in which the person proposes that an alcoholic product be allowed to be
             7912      consumed;
             7913          (g) a signed consent form stating that the event permittee will permit any authorized
             7914      representative of the commission, department, or any law enforcement officer to have
             7915      unrestricted right to enter the premises during the event;
             7916          (h) if the person is an entity, proper verification evidencing that a person who signs
             7917      the application is authorized to sign on behalf of the entity; and
             7918          (i) any other information as the commission or department may require.
             7919          (2) An entity applying for a permit need not meet the requirements of Subsections
             7920      (1)(b), (c), and (d) if the entity is:
             7921          (a) a state agency; or
             7922          (b) a political subdivision of the state.
             7923          (3) The commission may not issue an event permit to a person who is disqualified
             7924      under Section 32B-1-304 .
             7925          (4) (a) The proximity requirements of Section 32B-1-202 do not apply to an event


             7926      permit.
             7927          (b) Notwithstanding Subsection (4)(a), nothing in this section prevents the
             7928      commission from considering the proximity of an educational, religious, or recreational
             7929      facility, or any other relevant factor in deciding whether to issue an event permit.
             7930          Section 238. Section 32B-9-202 is enacted to read:
             7931          32B-9-202. Commission and department duties before issuing event permit.
             7932          (1) (a) Before the commission may issue an event permit, the department shall conduct
             7933      an investigation and may hold public hearings to gather information and make
             7934      recommendations to the commission as to whether the commission should issue an event
             7935      permit.
             7936          (b) The department shall forward the information and recommendations described in
             7937      Subsection (1)(a) to the commission to aid in the commission's determination.
             7938          (2) Before issuing an event permit, the commission shall:
             7939          (a) determine that the person filed a complete application and is in compliance with:
             7940          (i) Section 32B-9-201 ; and
             7941          (ii) the relevant part under this chapter for the type of permit for which the person is
             7942      applying;
             7943          (b) determine that the person is not disqualified under Section 32B-1-304 ;
             7944          (c) consider the purpose of the organization or its local lodge, chapter, or other local
             7945      unit;
             7946          (d) consider the times, dates, location, estimated attendance, nature, and purpose of
             7947      the event;
             7948          (e) to minimize the risk of minors being sold or furnished alcohol or adults being
             7949      overserved alcohol at the event, assess the adequacy of control measures for:
             7950          (i) a large-scale public event when the estimated attendance is in excess of 1,000
             7951      people; or
             7952          (ii) an outdoor public event; and
             7953          (f) consider any other factor the commission considers necessary.


             7954          (3) Once the commission issues an event permit, the department shall send a copy of
             7955      the approved application and the event permit to the state and local law enforcement
             7956      authorities before the scheduled event.
             7957          Section 239. Section 32B-9-203 is enacted to read:
             7958          32B-9-203. Bond for event permit.
             7959          (1) (a) A person applying for an event permit shall post a cash bond or surety bond:
             7960          (i) in the amount specified in the relevant part under this chapter for the type of event
             7961      permit for which the person is applying; and
             7962          (ii) payable to the department.
             7963          (b) An event permittee shall procure and maintain a bond required under this section
             7964      for as long as the event permit is in effect.
             7965          (2) A bond posted by an event permittee under this section shall be:
             7966          (a) in a form approved by the attorney general; and
             7967          (b) conditioned upon the event permittee's faithful compliance with this title and the
             7968      rules of the commission.
             7969          (3) No part of a bond posted by an event permittee under this section may be
             7970      withdrawn during the period the event permit is in effect.
             7971          (4) (a) A bond posted by an event permittee under this section may be forfeited if the
             7972      event permit is revoked.
             7973          (b) Notwithstanding Subsection (4)(a), the department may make a claim against a
             7974      bond posted by an event permittee for money owed the department under this title without the
             7975      commission first revoking the event permit.
             7976          Section 240. Section 32B-9-204 is enacted to read:
             7977          32B-9-204. General operational requirements for an event permit.
             7978          (1) (a) An event permittee and a person involved in the storage, sale, offer for sale, or
             7979      furnishing of an alcoholic product at an event for which an event permit is issued, shall
             7980      comply with this title and rules of the commission.
             7981          (b) Failure to comply as provided in Subsection (1)(a):


             7982          (i) may result in:
             7983          (A) disciplinary action in accordance with Chapter 3, Disciplinary Actions and
             7984      Enforcement Act, against:
             7985          (I) an event permittee;
             7986          (II) a person involved in the storage, sale, offer for sale, or furnishing of an alcoholic
             7987      product at the event; or
             7988          (III) any combination of the persons listed in this Subsection (1)(b);
             7989          (B) immediate revocation of the event permit;
             7990          (C) forfeiture of a bond; or
             7991          (D) immediate seizure of an alcoholic product present at the event; and
             7992          (ii) if the event permit is revoked, disqualifies the event permittee from applying for an
             7993      event permit for a period of three years from the date of revocation of the event permit.
             7994          (c) An alcoholic product seized under this Subsection (1) shall be returned to the event
             7995      permittee after an event if forfeiture proceedings are not instituted under Section 32B-4-206 .
             7996          (2) (a) If there is a conflict between this part and the relevant part under this chapter
             7997      for the specific type of special use permit held by the special use permittee, the relevant part
             7998      governs.
             7999          (b) Notwithstanding that this part may refer to "liquor" or an "alcoholic product," an
             8000      event permittee may only sell, offer for sale, or furnish an alcoholic product specified in the
             8001      relevant part under this chapter for the type of event permit that is held by the event permittee.
             8002          (c) Notwithstanding that this part or the relevant part under this chapter for the type of
             8003      event permit held by an event permittee refers to "event permittee," a person involved in the
             8004      storage, sale, offer for sale, or furnishing of an alcoholic product at the event for which the
             8005      event permit is issued is subject to the same requirement or prohibition.
             8006          (3) An event permittee shall display a copy of the event permit in a prominent place in
             8007      the area in which an alcoholic product is sold, offered for sale, furnished, and consumed.
             8008          (4) An event permittee may not on the premises of the event:
             8009          (a) engage in or allow any form of gambling, as defined and proscribed in Title 76,


             8010      Chapter 10, Part 11, Gambling;
             8011          (b) have any video gaming device, as defined and proscribed by Title 76, Chapter 10,
             8012      Part 11, Gambling; or
             8013          (c) engage in or permit a contest, game, gaming scheme, or gaming device that
             8014      requires the risking of something of value for a return or for an outcome when the return or
             8015      outcome is based upon an element of chance, excluding the playing of an amusement device
             8016      that confers only an immediate and unrecorded right of replay not exchangeable for value.
             8017          (5) An event permittee may not knowingly allow a person at an event to, in violation
             8018      of Title 58, Chapter 37, Utah Controlled Substances Act, or Chapter 37a, Utah Drug
             8019      Paraphernalia Act:
             8020          (a) sell, distribute, possess, or use a controlled substance, as defined in Section
             8021      58-37-2 ; or
             8022          (b) use, deliver, or possess with the intent to deliver drug paraphernalia, as defined in
             8023      Section 58-37a-3 .
             8024          (6) An event permittee may not sell, offer for sale, or furnish beer except beer
             8025      purchases from:
             8026          (a) a beer wholesaler licensee;
             8027          (b) a beer retailer; or
             8028          (c) a small brewer.
             8029          (7) An event permittee may not store, sell, offer for sale, furnish, or allow the
             8030      consumption of an alcoholic product purchased for an event in a location other than that
             8031      described in the application and designated on the event permit unless the event permittee first
             8032      applies for and receives approval from the commission for a change of location.
             8033          (8) (a) Subject to Subsection (8)(b), an event permittee may sell, offer for sale, or
             8034      furnish beer for on-premise consumption:
             8035          (i) in an open original package; and
             8036          (ii) in a package on draft.
             8037          (b) An event permittee may not sell, offer for sale, or furnish beer sold pursuant to


             8038      Subsection (8)(a):
             8039          (i) in a size of package that exceeds two liters; or
             8040          (ii) to an individual patron in a size of package that exceeds one liter.
             8041          (9) (a) An event permittee may not sell or offer for sale an alcoholic product at less
             8042      than the cost of the alcoholic product to the event permittee.
             8043          (b) An event permittee may not sell or offer for sale an alcoholic product at a price that
             8044      encourages over consumption or intoxication.
             8045          (c) An event permittee may not sell or offer for sale an alcoholic product at a special or
             8046      reduced price for only certain hours of the day of an event.
             8047          (d) An event permittee may not sell, offer for sale, or furnish more than one alcoholic
             8048      product at the price of a single alcoholic product.
             8049          (e) An event permittee may not engage in a public promotion involving or offering a
             8050      free alcoholic product to the general public.
             8051          (10) An event permittee may not sell, offer for sale, or furnish an alcoholic product to:
             8052          (a) a minor;
             8053          (b) a person actually, apparently, or obviously intoxicated;
             8054          (c) a known interdicted person; or
             8055          (d) a known habitual drunkard.
             8056          (11) (a) An alcoholic product is considered under the control of the event permittee
             8057      during an event.
             8058          (b) A patron at an event may not bring an alcoholic product onto the premises of the
             8059      event.
             8060          (12) An event permittee may not permit a patron to carry from the premises an open
             8061      package that:
             8062          (a) is used primarily for drinking purposes; and
             8063          (b) contains an alcoholic product.
             8064          (13) (a) A person involved in the storage, sale, or furnishing of an alcoholic product at
             8065      an event is considered under the supervision and direction of the event permittee.


             8066          (b) A person involved in the sale, offer for sale, or furnishing of an alcoholic product
             8067      at an event may not, while on duty:
             8068          (i) consume an alcoholic product; or
             8069          (ii) be intoxicated.
             8070          (14) A minor may not handle, sell, offer for sale, or furnish an alcoholic product at an
             8071      event.
             8072          (15) The location specified in an event permit may not be changed without prior
             8073      written approval of the commission.
             8074          (16) An event permittee may not sell, transfer, assign, exchange, barter, give, or
             8075      attempt in any way to dispose of the event permit to another person whether for monetary gain
             8076      or not.
             8077          (17) (a) An event permittee may not sell, offer for sale, furnish, or allow the
             8078      consumption of an alcoholic product during a period that:
             8079          (i) begins at 1 a.m.; and
             8080          (ii) ends at 9:59 a.m.
             8081          (b) This Subsection (17) does not preclude a local authority from being more
             8082      restrictive with respect to the hours of sale, offer for sale, furnishing, or consumption of an
             8083      alcoholic product at an event.
             8084          (18) A patron may have no more than one alcoholic product of any kind at a time
             8085      before the patron.
             8086          Section 241. Section 32B-9-301 is enacted to read:
             8087     
Part 3. Single Event Permit

             8088          32B-9-301. Title.
             8089          This part is known as "Single Event Permit."
             8090          Section 242. Section 32B-9-302 is enacted to read:
             8091          32B-9-302. Definitions.
             8092          As used in this chapter:
             8093          (1) "120 hour single event permit" means a single event permit that authorizes under


             8094      this part the storage, sale, offering for sale, furnishing, and consumption of liquor for a period
             8095      not to exceed 120 consecutive hours.
             8096          (2) "72 hour single event permit" means a single event permit that authorizes under
             8097      this part the storage, sale, offering for sale, furnishing, and consumption of liquor for a period
             8098      not to exceed 72 consecutive hours.
             8099          (3) "Single event permit" means:
             8100          (a) a 120 hour single event permit; and
             8101          (b) a 72 hour single event permit.
             8102          Section 243. Section 32B-9-303 is enacted to read:
             8103          32B-9-303. Commission's power to issue single event permit.
             8104          (1) Before a person may sell, offer for sale, or furnish liquor at retail for on-premise
             8105      consumption at an event, the person shall first obtain a single event permit from the
             8106      commission in accordance with this part.
             8107          (2) (a) The commission may issue a single event permit to any of the following that is
             8108      conducting a convention, civic, or community enterprise, a bona fide:
             8109          (i) partnership;
             8110          (ii) corporation;
             8111          (iii) limited liability company;
             8112          (iv) religious organization;
             8113          (v) political organization;
             8114          (vi) incorporated association;
             8115          (vii) recognized subordinate lodge, chapter, or other local unit of an entity described in
             8116      this Subsection (2)(a);
             8117          (viii) state agency; or
             8118          (ix) political subdivision of the state.
             8119          (b) The commission may not issue a single event permit to an entity that has not been
             8120      in existence as a bona fide entity for at least one year before the day on which the entity
             8121      applies for a single event permit.


             8122          (3) (a) A single event permit may authorize:
             8123          (i) the storage, sale, offering for sale, furnishing, and consumption of liquor at an
             8124      event at which the storage, sale, offering for sale, furnishing, or consumption of liquor is
             8125      otherwise prohibited by this title under either:
             8126          (A) a 120 hour single event permit; or
             8127          (B) a 72 hour single event permit; and
             8128          (ii) the storage, sale, offer for sale, furnishing, and consumption of beer at the same
             8129      event for the period that the storage, sale, offer for sale, furnishing, or consumption of liquor is
             8130      authorized under Subsection (3)(a)(i) for the single event permit.
             8131          (b) The single event permit shall state in writing whether it is:
             8132          (i) a 120 hour single event permit; or
             8133          (ii) a 72 hour single event permit.
             8134          (4) The commission may not issue more than:
             8135          (a) four single event permits in any one calendar year to the same person listed in
             8136      Subsection (2) if one or more of the single event permits is a 120 hour single event permit; or
             8137          (b) 12 single event permits in any one calendar year to the same person listed in
             8138      Subsection (2) if each of the single event permits issued to that person is a 72 hour single
             8139      event permit.
             8140          Section 244. Section 32B-9-304 is enacted to read:
             8141          32B-9-304. Specific permitting requirements for single event permit.
             8142          (1) To obtain a single event permit, in addition to complying with Part 2, Event
             8143      Permitting General Provisions, an entity described in Subsection 32B-9-303 (2)(a) shall state in
             8144      its written application:
             8145          (a) the purpose of the entity described in Subsection 32B-9-303 (2)(a);
             8146          (b) the time period under Subsection 32B-9-303 (3)(a)(i)(A) or (B) for which the entity
             8147      is applying; and
             8148          (c) if submitting the first request for a single event permit in a calendar year, whether
             8149      it is requesting to be under Subsection 32B-9-303 (4)(a) or (b).


             8150          (2) The application fee for a single event permit is $100.
             8151          (3) The bond amount required for a single event permit is the penal sum of $1,000.
             8152          Section 245. Section 32B-9-305 is enacted to read:
             8153          32B-9-305. Specific operational requirements for single event permit.
             8154          (1) (a) In addition to complying with Section 32B-9-204 , a single event permittee or a
             8155      person involved in the storage, sale, offer for sale, or furnishing of an alcoholic product at the
             8156      event shall comply with this section.
             8157          (b) Failure to comply as provided in Subsection (1)(a):
             8158          (i) may result in:
             8159          (A) disciplinary action in accordance with Chapter 3, Disciplinary Actions and
             8160      Enforcement Act, against:
             8161          (I) a single event permittee;
             8162          (II) a person involved in the storage, sale, offer for sale, or furnishing of an alcoholic
             8163      product at the event; or
             8164          (III) any combination of persons listed in this Subsection (1)(b);
             8165          (B) immediate revocation of the single event permit;
             8166          (C) forfeiture of a bond; or
             8167          (D) immediate seizure of an alcoholic product present at the event; and
             8168          (ii) if the single event permit is revoked, disqualifies the single event permittee from
             8169      applying for a single event permit or temporary beer event permit for a period of three years
             8170      from the date of revocation of the single event permit.
             8171          (c) An alcoholic product seized under this Subsection (1) shall be returned to the
             8172      single event permittee after an event if forfeiture proceedings are not instituted under Section
             8173      32B-4-206 .
             8174          (2) (a) A single event permittee shall make and maintain an expense and revenue
             8175      ledger or record showing:
             8176          (i) expenditures made for:
             8177          (A) liquor;


             8178          (B) beer;
             8179          (C) set-ups; and
             8180          (D) an ingredient or component of an alcoholic product other than a set-up; and
             8181          (ii) the revenue from the sale of an alcoholic product.
             8182          (b) Section 32B-1-205 applies to a record required to be made or maintained in
             8183      accordance with this Subsection (2).
             8184          (3) A single event permittee shall purchase liquor stored, sold, offered for sale,
             8185      furnished, or consumed at an event from a state store or package agency.
             8186          (4) (a) A single event permittee may not sell, offer for sale, or furnish a primary
             8187      spirituous liquor in a quantity that exceeds 1.5 ounces per beverage, except that additional
             8188      spirituous liquor may be used in a beverage if:
             8189          (i) used as a secondary flavoring ingredient;
             8190          (ii) used in conjunction with the primary spirituous liquor;
             8191          (iii) the secondary ingredient is not the only spirituous liquor in the beverage;
             8192          (iv) a patron has no more than 2.5 ounces of spirituous liquor at a time before the
             8193      patron; and
             8194          (v) a patron has no more than one spirituous liquor drink at a time before the patron.
             8195          (b) Spirituous liquor need not be dispensed through a calibrated metered dispensing
             8196      system.
             8197          (5) (a) A single event permittee may sell, offer for sale, or furnish wine by the glass or
             8198      an individual portion, except that a glass or individual portion may not exceed five ounces.
             8199          (b) A single event permittee may furnish an individual portion served to a patron in
             8200      more than one glass if the total amount of wine does not exceed five ounces.
             8201          (c) An individual portion of wine is considered to be one alcoholic product under
             8202      Subsection 32B-9-204 (12).
             8203          (d) A single event permittee may sell, offer for sale, or furnish wine in a package not
             8204      exceeding 1.5 liters at a price fixed by the commission.
             8205          (6) A single event permittee may sell, offer for sale, or furnish heavy beer in an


             8206      original package at a price fixed by the commission, except that the original package may not
             8207      exceed one liter.
             8208          (7) A single event permittee may sell, offer for sale, or furnish a flavored malt
             8209      beverage in an original package at a price fixed by the commission, except that the original
             8210      package may not exceed one liter.
             8211          (8) (a) A single event permittee may sell liquor only at a price fixed by the
             8212      commission.
             8213          (b) A single event permittee may not sell liquor at a discount price on any date or at
             8214      any time.
             8215          (9) A single event permittee may perform a service and assess a service charge as
             8216      authorized by commission rule for liquor purchased at an event.
             8217          Section 246. Section 32B-9-401 is enacted to read:
             8218     
Part 4. Temporary Beer Event Permit

             8219          32B-9-401. Title.
             8220          This part is known as "Temporary Beer Event Permit."
             8221          Section 247. Section 32B-9-402 is enacted to read:
             8222          32B-9-402. Definitions.
             8223          Reserved
             8224          Section 248. Section 32B-9-403 is enacted to read:
             8225          32B-9-403. Commission's power to issue temporary beer event permit.
             8226          (1) Before a person may sell, offer for sale, or furnish beer at retail for on-premise
             8227      consumption at an event, the person shall obtain in accordance with this part:
             8228          (a) a single event permit; or
             8229          (b) (i) a temporary beer event permit; and
             8230          (ii) (A) a beer permit issued by the local authority as provided in Section 32B-9-404 ;
             8231      or
             8232          (B) written consent of the local authority to sell beer at retail for on-premise
             8233      consumption at the event.


             8234          (2) (a) The commission may issue a temporary beer event permit to allow the sale,
             8235      offering for sale, or furnishing of beer for on-premise consumption only at an event that does
             8236      not last longer than 30 days.
             8237          (b) A temporary beer event permit authorizes, for a period not to exceed 30 days, the
             8238      storage, sale, offer for sale, furnishing, and consumption of beer at an event.
             8239          (c) If a person obtains a temporary beer event permit for an event that lasts no longer
             8240      than 30 days, an on-premise beer retailer license is not required for the sale of beer at the
             8241      event.
             8242          (3) (a) The commission may not issue a temporary beer event permit to a person if the
             8243      aggregate of the days that the person is authorized to store, sell, offer for sale, or furnish an
             8244      alcoholic product under a temporary beer event permit will exceed a total of 90 days in any
             8245      one calendar year.
             8246          (b) The commission may not issue, and a person may not obtain, a temporary beer
             8247      event permit to avoid or attempt to avoid the requirement to be licensed under Chapter 6, Part
             8248      7, On-premise Beer Retailer License.
             8249          Section 249. Section 32B-9-404 is enacted to read:
             8250          32B-9-404. Local authority's power to issue temporary beer event permit.
             8251          (1) A local authority may issue, suspend, and revoke a temporary permit to sell, offer
             8252      for sale, or furnish beer for on-premise consumption at an event, except that the local authority
             8253      may not issue a temporary permit if the event lasts longer than 30 days.
             8254          (2) Suspension or revocation of a temporary beer event permit issued by the
             8255      commission under Section 32B-9-403 or a temporary permit issued by a local authority under
             8256      this section prohibits the temporary beer event permittee who has a permit suspended or
             8257      revoked by either the commission or local authority from continuing to operate under the other
             8258      state or local permit.
             8259          Section 250. Section 32B-9-405 is enacted to read:
             8260          32B-9-405. Specific permitting requirements for temporary beer event permit
             8261      issued by commission.


             8262          (1) To obtain a temporary beer event permit, in addition to complying with Part 2,
             8263      Event Permitting General Provisions, a person shall state in the person's written application the
             8264      purpose of the event for which the person seeks a temporary beer event permit.
             8265          (2) The application fee for a beer permit is $75.
             8266          (3) The bond amount required for a beer permit is the penal sum of $500.
             8267          Section 251. Section 32B-9-406 is enacted to read:
             8268          32B-9-406. Specific operational requirements for temporary beer event permit.
             8269          (1) (a) In addition to complying with the requirements of Section 32B-9-204 , a
             8270      temporary beer event permittee or a person involved in the storage, sale, offer for sale, or
             8271      furnishing of beer at the event shall comply with this section.
             8272          (b) Failure to comply as provided in Subsection (1)(a):
             8273          (i) may result in:
             8274          (A) disciplinary action in accordance with Chapter 3, Disciplinary Actions and
             8275      Enforcement Act, against:
             8276          (I) a temporary beer event permittee;
             8277          (II) a person involved in the storage, sale, offer for sale, or furnishing of beer at the
             8278      event; or
             8279          (III) any combination of persons listed in this Subsection (1)(b);
             8280          (B) immediate revocation of the temporary beer event permit;
             8281          (C) forfeiture of a bond; or
             8282          (D) immediate seizure of beer present at the event; and
             8283          (ii) if the temporary beer event permit is revoked, disqualifies the temporary beer event
             8284      permittee from applying for a temporary beer event permit or single event permit for a period
             8285      of three years from the date of revocation of the temporary beer event permit.
             8286          (c) Beer seized under this Subsection (1) shall be returned to the event permittee after
             8287      an event if forfeiture proceedings are not instituted under Section 32B-4-206 .
             8288          (2) A temporary beer event permittee may not sell, offer for sale, or furnish an
             8289      alcoholic product other than beer pursuant to a temporary beer event permit.


             8290          (3) (a) A temporary beer event permittee shall make and maintain an expense and
             8291      revenue ledger or record showing:
             8292          (i) expenditures made for beer; and
             8293          (ii) the revenue from sale of beer.
             8294          (b) Section 32B-1-205 applies to a record required to be made or maintained in
             8295      accordance with this Subsection (3).
             8296          Section 252. Section 32B-10-101 is enacted to read:
             8297     
CHAPTER 10. SPECIAL USE PERMIT ACT

             8298     
Part 1. General Provisions

             8299          32B-10-101. Title.
             8300          This chapter is known as the "Special Use Permit Act."
             8301          Section 253. Section 32B-10-102 is enacted to read:
             8302          32B-10-102. Definitions.
             8303          As used in this chapter, "special use permit" means a special use permit issued under
             8304      this chapter, including:
             8305          (1) a religious wine use permit;
             8306          (2) an industrial or manufacturing use permit;
             8307          (3) a scientific or educational use permit; and
             8308          (4) a public service permit.
             8309          Section 254. Section 32B-10-201 is enacted to read:
             8310     
Part 2. Special Use Permitting General Provisions

             8311          32B-10-201. Commission's power to issue special use permit.
             8312          (1) Before a person may purchase, use, store, sell, offer for sale, allow consumption, or
             8313      manufacture an alcoholic product in a manner that requires a special use permit, the person
             8314      shall first obtain a special use permit in accordance with this chapter.
             8315          (2) (a) The commission may issue a special use permit for the purchase, use, storage,
             8316      sale, offer for sale, consumption, or manufacture of an alcoholic product for a limited purpose
             8317      specified by this chapter and the rules of the commission.


             8318          (b) A special use permit authorizes the special use permittee to purchase, use, store,
             8319      sell, offer for sale, consume, or manufacture an alcoholic product only in the quantity, in a
             8320      type, and for a purpose stated in the special use permit.
             8321          Section 255. Section 32B-10-202 is enacted to read:
             8322          32B-10-202. Application for special use permit -- Qualifications.
             8323          (1) To obtain a special use permit, a person shall submit to the department:
             8324          (a) a written application in a form prescribed by the department;
             8325          (b) a nonrefundable application fee, if required by the relevant part of this chapter
             8326      applicable to the type of special use permit for which the person applies;
             8327          (c) an initial permit fee:
             8328          (i) if required by the relevant part of this chapter applicable to the type of special use
             8329      permit for which the person applies; and
             8330          (ii) that is refundable if a special use permit is not issued;
             8331          (d) a one-time special use permit fee if required by a section of this chapter:
             8332          (i) applicable to the type of special use permit for which the person applies; and
             8333          (ii) that is refundable if a special use permit is not issued;
             8334          (e) a statement of the purpose for which the person applies for the special use permit;
             8335          (f) a description of the types of alcoholic product the person intends to use under
             8336      authority of the special use permit;
             8337          (g) written consent of the local authority;
             8338          (h) if required, a bond as provided in Section 32B-10-205 ;
             8339          (i) a floor plan of the immediate area within the premises in which the person proposes
             8340      that an alcoholic product will be used, mixed, stored, sold, or consumed if required by the
             8341      relevant part of this chapter applicable to the type of special use permit for which the person
             8342      applies;
             8343          (j) a signed consent form stating that the special use permittee will permit any
             8344      authorized representative of the commission, department, or any other law enforcement officer
             8345      to have unrestricted right to enter the special use permittee's premises;


             8346          (k) if the person is an entity, proper verification evidencing that a person who signs
             8347      the application is authorized to sign on behalf of the entity; and
             8348          (l) any other information the commission or department may require.
             8349          (2) (a) The commission may issue a special use permit only to a person who qualifies
             8350      as follows:
             8351          (i) the commission may issue a religious wine use permit to a religious organization;
             8352          (ii) the commission may issue an industrial or manufacturing use permit to a person
             8353      engaged in an industrial or manufacturing pursuit;
             8354          (iii) the commission may issue a scientific or educational use permit to a person
             8355      engaged in a scientific or educational pursuit; and
             8356          (iv) the commission may issue a public service permit to an operator of an airline,
             8357      railroad, or other public conveyance.
             8358          (b) The commission may not issue a special use permit to a person who is disqualified
             8359      under Section 32B-1-304 .
             8360          (c) If a person to whom a special use permit is issued no longer possesses the
             8361      qualifications required by this title for obtaining that special use permit, the commission may
             8362      suspend or revoke that special use permit.
             8363          Section 256. Section 32B-10-203 is enacted to read:
             8364          32B-10-203. Renewal of special use permit.
             8365          (1) A special use permit expires on December 31 of each year unless otherwise
             8366      provided on the special use permit.
             8367          (2) To renew a renewable special use permit, a person shall submit a completed
             8368      renewal application to the department:
             8369          (a) no later than November 30; and
             8370          (b) in a form prescribed by the department.
             8371          (3) Failure to meet the renewal requirements results in an automatic forfeiture of the
             8372      special use permit, effective on the date the existing special use permit expires.
             8373          Section 257. Section 32B-10-204 is enacted to read:


             8374          32B-10-204. Duties of commission and department before issuing special use
             8375      permit.
             8376          (1) (a) Before the commission issues a special use permit, the department shall
             8377      conduct an investigation and may hold public hearings to gather information and make
             8378      recommendations to the commission as to whether a special use permit should be issued.
             8379          (b) The department shall forward the information it gathers and its recommendations
             8380      to the commission to aid in the commission's determination.
             8381          (2) Before issuing a special use permit, the commission shall:
             8382          (a) determine that the person filed a complete application and is in compliance with:
             8383          (i) Section 32B-10-202 ; and
             8384          (ii) the relevant part under this chapter that applies to the special use permit for which
             8385      the person is applying;
             8386          (b) determine that the person is not disqualified under Section 32B-1-304 ;
             8387          (c) consider the physical characteristics of the premises where an alcoholic product is
             8388      proposed to be used, mixed, stored, sold, offered for sale, or furnished such as:
             8389          (i) the condition of the premises;
             8390          (ii) public visibility; and
             8391          (iii) safety considerations;
             8392          (d) consider the person's ability to properly use the special use permit within the
             8393      requirements of this title and the commission rules including:
             8394          (i) the proposed use of the special use permit; and
             8395          (ii) the nature and type of person making use of the special use permit;
             8396          (e) consider specific factors regarding the specific type of special use permit sought by
             8397      the person;
             8398          (f) approve of the location and equipment used by the person to distill alcohol for
             8399      experimental testing purposes or use as a fuel; and
             8400          (g) consider any other factor the commission considers necessary.
             8401          Section 258. Section 32B-10-205 is enacted to read:


             8402          32B-10-205. Bond for special use permit.
             8403          (1) A special use permittee shall post a cash bond or surety bond only if the relevant
             8404      part under this chapter for the type of special use permit requires posting of a bond.
             8405          (2) (a) If a special use permittee is required to post a bond as provided in Subsection
             8406      (1), the special use permittee shall procure and maintain the bond for as long as the special use
             8407      permittee continues to operate under the special use permit.
             8408          (b) A bond required under this section shall be:
             8409          (i) in a form approved by the attorney general; and
             8410          (ii) conditioned upon the special use permittee's faithful compliance with this title and
             8411      the rules of the commission.
             8412          (3) If a surety bond posted by a special use permittee under this section is canceled
             8413      due to a special use permittee's negligence, the department may assess a $300 reinstatement
             8414      fee.
             8415          (4) No part of a bond posted by a special use permittee under this section may be
             8416      withdrawn during the period that the special use permit is in effect.
             8417          (5) (a) A bond posted by a special use permittee under this section may be forfeited if
             8418      the special use permit is revoked.
             8419          (b) Notwithstanding Subsection (5)(a), the department may make a claim against a
             8420      bond posted by a special use permittee for money owed the department under this title without
             8421      the commission first revoking the special use permit.
             8422          Section 259. Section 32B-10-206 is enacted to read:
             8423          32B-10-206. General operational requirements for special use permit.
             8424          (1) (a) A special use permittee and staff of the special use permittee shall comply with
             8425      this title and rules of the commission, including the relevant part of the chapter that applies to
             8426      the type of special use permit held by the special use permittee.
             8427          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             8428      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             8429          (i) a special use permittee;


             8430          (ii) individual staff of a special use permittee; or
             8431          (iii) a special use permittee and staff of the special use permittee.
             8432          (c) The commission may suspend or revoke a special use permit with or without cause.
             8433          (2) (a) If there is a conflict between this part and the relevant part under this chapter
             8434      for the specific type of special use permit, the relevant part under this chapter governs.
             8435          (b) Notwithstanding that this part may refer to "liquor" or an "alcoholic product," a
             8436      special use permittee may only purchase, use, store, sell, offer for sale, allow consumption, or
             8437      manufacture an alcoholic product authorized for the special use permit that is held by the
             8438      special use permittee.
             8439          (c) Notwithstanding that this part or the relevant part under this chapter for the type of
             8440      special use permit held by a special use permittee refers to "special use permittee," a person
             8441      involved in the purchase, use, store, sell, offer for sale, allow consumption, or manufacture of
             8442      an alcoholic product for which the special use permit is issued is subject to the same
             8443      requirement or prohibition.
             8444          (3) (a) A special use permittee shall make and maintain a record, as required by
             8445      commission rule, of any alcoholic product purchased, used, sold, or manufactured.
             8446          (b) Section 32B-1-205 applies to a record required to be made or maintained in
             8447      accordance with this Subsection (3).
             8448          (4) (a) Except as otherwise provided in this title, a special use permittee may not
             8449      purchase liquor except from a state store or package agency.
             8450          (b) A special use permittee may transport liquor purchased by the special use
             8451      permittee in accordance with this Subsection (4) from the place of purchase to the special use
             8452      permittee's premises.
             8453          (c) A special use permittee shall purchase liquor at prices set by the commission.
             8454          (d) When authorized by a special use permit, a special use permittee may purchase and
             8455      receive an alcoholic product directly from a manufacturer for a purpose that is industrial,
             8456      educational, scientific, or manufacturing.
             8457          (e) A health care facility may purchase and receive an alcoholic product directly from


             8458      a manufacturer for use at the health care facility.
             8459          (5) A special use permittee may not use, mix, store, sell, offer for sale, furnish,
             8460      manufacture, or allow consumption of an alcoholic product in a location other than as
             8461      designated in a special use permittee's application.
             8462          (6) Except as otherwise provided, a special use permittee may not sell, offer for sale,
             8463      or furnish an alcoholic product to:
             8464          (a) a minor;
             8465          (b) a person actually, apparently, or obviously intoxicated;
             8466          (c) a known interdicted person; or
             8467          (d) a known habitual drunkard.
             8468          (7) A special use permittee may not employ a minor to handle an alcoholic product.
             8469          (8) (a) The location specified in a special use permit may not be transferred from one
             8470      location to another location, without prior written approval of the commission.
             8471          (b) A special use permittee may not sell, transfer, assign, exchange, barter, give, or
             8472      attempt in any way to dispose of the permit to another person whether for monetary gain or
             8473      not.
             8474          (9) A special use permittee may not purchase, use, mix, store, sell, offer for sale,
             8475      furnish, consume, or manufacture an alcoholic product for a purpose other than that authorized
             8476      by the special use permit.
             8477          (10) The commission may prescribe by policy or rule consistent with this title, the
             8478      general operational requirements of a special use permittee relating to:
             8479          (a) physical facilities;
             8480          (b) conditions of purchase, use, storage, sale, consumption, or manufacture of an
             8481      alcoholic product;
             8482          (c) purchase, storage, and sales quantity limitations; and
             8483          (d) other matters considered appropriate by the commission.
             8484          Section 260. Section 32B-10-207 is enacted to read:
             8485          32B-10-207. Notifying department of change of ownership.


             8486          The commission may suspend or revoke a special use permit if a special use permittee
             8487      does not immediately notify the department of a change in:
             8488          (1) ownership of the permittee's business;
             8489          (2) for a corporate owner, the:
             8490          (a) corporate officers or directors; or
             8491          (b) shareholders holding at least 20% of the total issued and outstanding stock of the
             8492      corporation; or
             8493          (3) for a limited liability company:
             8494          (a) managers; or
             8495          (b) members owning at least 20% of the limited liability company.
             8496          Section 261. Section 32B-10-301 is enacted to read:
             8497     
Part 3. Public Service Permit

             8498          32B-10-301. Title.
             8499          This part is known as "Public Service Permit."
             8500          Section 262. Section 32B-10-302 is enacted to read:
             8501          32B-10-302. Definitions.
             8502          Reserved
             8503          Section 263. Section 32B-10-303 is enacted to read:
             8504          32B-10-303. Specific application and renewal requirements for public service
             8505      permit.
             8506          (1) To obtain a public service permit, in addition to complying with Section
             8507      32B-10-202 , a person shall submit to the department:
             8508          (a) a statement of the total of regularly numbered flights, trains, buses, boats, or other
             8509      types of public conveyance for which the person plans to use the special use permit;
             8510          (b) a floor plan of any room or facility in which the person plans to establish a
             8511      hospitality room where the sale, offer for sale, or furnishing of an alcoholic product is made to
             8512      a patron then in transit, using the host company's airline, railroad, bus, boat, or other public
             8513      conveyance; and


             8514          (c) evidence of proximity of a proposed hospitality room to the arrival and departure
             8515      area used by a person traveling on the host company's airline, railroad, bus, boat, or other
             8516      public conveyance.
             8517          (2) (a) The nonrefundable application fee for a public service permit is $50.
             8518          (b) The initial permit fee for a public service permit is $200.
             8519          (c) The bond amount required for a public service permittee is the penal sum of
             8520      $1,000.
             8521          (3) (a) To renew a public service permit, a person shall comply with Section
             8522      32B-10-203 .
             8523          (b) The renewal fee for a public service permit is $30 for each regularly numbered
             8524      passenger airplane flight, passenger train, bus, boat, or any other regularly scheduled public
             8525      conveyance upon which an alcoholic product is sold, offered for sale, or furnished.
             8526          Section 264. Section 32B-10-304 is enacted to read:
             8527          32B-10-304. Specific operational requirements for a public service permit.
             8528          (1) (a) In addition to complying with Section 32B-10-206 , a public service permittee
             8529      and staff of the public service permittee shall comply with this section.
             8530          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             8531      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             8532          (i) a public service permittee;
             8533          (ii) individual staff of a public service permittee; or
             8534          (iii) both a public service permittee and staff of the public service permittee.
             8535          (2) (a) A public service permittee whose public conveyances operate on an interstate
             8536      basis may do the following:
             8537          (i) purchase an alcoholic product outside of the state;
             8538          (ii) bring an alcoholic product purchased outside of the state into the state; and
             8539          (iii) sell, offer for sale, and furnish an alcoholic product purchased outside of the state
             8540      to a passenger traveling on the public service permittee's public conveyance for consumption
             8541      while en route on the public conveyance.


             8542          (b) A public service permittee whose public conveyance operates solely within the
             8543      state, to sell, offer for sale, or furnish to a passenger traveling on the public service permittee's
             8544      public conveyance for consumption while en route on the public conveyance, shall purchase:
             8545          (i) liquor from a state store or package agency; and
             8546          (ii) beer from a beer wholesaler licensee.
             8547          (3) (a) A public service permittee may establish a hospitality room in which an
             8548      alcoholic product may be stored, sold, offered for sale, furnished, and consumed, if:
             8549          (i) the room is located within a depot, terminal, or similar facility adjacent to and
             8550      servicing the public service permittee's airline, railroad, bus, boat, or other public conveyance;
             8551          (ii) the room is completely enclosed and the interior is not visible to the public;
             8552          (iii) the sale, offer for sale, or furnishing of an alcoholic product is made only to a
             8553      person:
             8554          (A) then in transit using the host company's airline, railroad, bus line, or other public
             8555      conveyance; and
             8556          (B) holding a valid boarding pass or similar travel document issued by the host
             8557      company; and
             8558          (iv) (A) liquor is purchased from:
             8559          (I) a state store; or
             8560          (II) a package agency; and
             8561          (B) beer is purchased from a beer wholesaler licensee.
             8562          (b) A public service permittee operating a hospitality room shall display in a
             8563      prominent place in the hospitality room, a sign in large letters stating: "Warning: Driving
             8564      under the influence of alcohol or drugs is a serious crime that is prosecuted aggressively in
             8565      Utah."
             8566          (c) A hospitality room shall be operated in accordance with this chapter and rules
             8567      adopted by the commission.
             8568          Section 265. Section 32B-10-401 is enacted to read:
             8569     
Part 4. Industrial or Manufacturing Use Permit


             8570          32B-10-401. Title.
             8571          This part is known as "Industrial or Manufacturing Use Permit."
             8572          Section 266. Section 32B-10-402 is enacted to read:
             8573          32B-10-402. Definitions.
             8574          Reserved
             8575          Section 267. Section 32B-10-403 is enacted to read:
             8576          32B-10-403. Specific application requirements for industrial or manufacturing
             8577      use permit.
             8578          (1) To obtain an industrial or manufacturing use permit, in addition to complying with
             8579      Section 32B-10-202 , a person shall submit to the department:
             8580          (a) a floor plan of the immediate area within the premises in which the person
             8581      proposes that an alcoholic product be used, mixed, stored, sold, offered for sale, furnished, or
             8582      consumed; and
             8583          (b) if the person is applying for an industrial or manufacturing use permit to produce
             8584      gasohol or any alcoholic product, evidence that the person has:
             8585          (i) an approved Notice of Registration of Distilled Spirits Plant; and
             8586          (ii) the appropriate permit from the federal Alcohol and Tobacco Tax and Trade
             8587      Bureau.
             8588          (2) (a) The nonrefundable application fee for an industrial or manufacturing use
             8589      permit is $50.
             8590          (b) The one-time special use permit fee for an industrial or manufacturing use permit
             8591      is $200.
             8592          (c) The bond amount required for an industrial or manufacturing use permit is the
             8593      penal sum of $1,000.
             8594          Section 268. Section 32B-10-404 is enacted to read:
             8595          32B-10-404. Specific operational requirements for industrial or manufacturing
             8596      use permit.
             8597          (1) (a) In addition to complying with Section 32B-10-206 , an industrial or


             8598      manufacturing use permittee and staff of the industrial or manufacturing use permittee shall
             8599      comply with this section.
             8600          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             8601      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             8602          (i) an industrial or manufacturing use permittee;
             8603          (ii) individual staff of an industrial or manufacturing use permittee; or
             8604          (iii) an industrial or manufacturing use permittee and staff of the industrial or
             8605      manufacturing use permittee.
             8606          (2) An industrial or manufacturing use permittee may produce for lawful use and sale
             8607      the following:
             8608          (a) vinegar;
             8609          (b) preserved nonintoxicating cider;
             8610          (c) a food preparation;
             8611          (d) a United States Pharmacopoeia or national formulary preparation in conformity
             8612      with Title 58, Chapters 17b, 37, 37a, 37b, and 37c, if the preparation:
             8613          (i) conforms to standards established by:
             8614          (A) the Department of Agriculture and Food; and
             8615          (B) the Department of Health; and
             8616          (ii) contains no more alcohol than is necessary to preserve or extract the medicinal,
             8617      flavoring, or perfumed properties of the treated substances; and
             8618          (e) wood and denatured alcohol if manufactured in compliance with the formulas and
             8619      regulations under Title 27, C.F.R. Parts 19, 20, and 21.
             8620          (3) (a) An industrial or manufacturing use permittee that produces patent or
             8621      proprietary medicines containing alcohol may sell or offer for sale the medicines in the
             8622      original and unbroken package if the medicine contains sufficient medication to prevent its
             8623      use as an alcoholic product.
             8624          (b) An industrial or manufacturing use permittee described in this Subsection (3) shall,
             8625      upon request by the department, provide a sufficient sample of the medicine to enable the


             8626      department to have the medicine analyzed for purposes of this section.
             8627          Section 269. Section 32B-10-501 is enacted to read:
             8628     
Part 5. Scientific or Educational Use Permit

             8629          32B-10-501. Title.
             8630          This part is known as "Scientific or Educational Use Permit."
             8631          Section 270. Section 32B-10-502 is enacted to read:
             8632          32B-10-502. Definitions.
             8633          Reserved
             8634          Section 271. Section 32B-10-503 is enacted to read:
             8635          32B-10-503. Specific application requirements for scientific or educational use
             8636      permit.
             8637          (1) To obtain a scientific or educational use permit, a person shall comply with
             8638      Section 32B-10-202 .
             8639          (2) The one-time special use permit fee for a scientific or educational use permit is
             8640      $100.
             8641          Section 272. Section 32B-10-601 is enacted to read:
             8642     
Part 6. Religious Use of Alcoholic Products

             8643          32B-10-601. Title.
             8644          This part is known as "Religious Use of Alcoholic Products."
             8645          Section 273. Section 32B-10-602 is enacted to read:
             8646          32B-10-602. Definitions.
             8647          Reserved
             8648          Section 274. Section 32B-10-603 is enacted to read:
             8649          32B-10-603. Specific application requirements for religious wine use permit.
             8650          (1) To purchase an alcoholic product from the department at the department's cost plus
             8651      freight charges, a religious organization shall obtain a religious wine use permit.
             8652          (2) To obtain a religious wine permit, a person shall comply with Section 32B-10-202 .
             8653          (3) The one-time special use permit fee for a religious wine use permit is $100.


             8654          Section 275. Section 32B-10-604 is enacted to read:
             8655          32B-10-604. Specific operational requirements for religious wine use permit.
             8656          (1) (a) In addition to complying with Section 32B-10-207 , a religious wine permittee
             8657      and staff of the religious wine permittee shall comply with this section.
             8658          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             8659      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             8660          (i) a religious wine permittee;
             8661          (ii) individual staff of a religious wine permittee; or
             8662          (iii) a religious wine permittee and staff of the religious wine permittee.
             8663          (2) A religious wine use permittee may purchase wine from a state store as the
             8664      department may designate at the department's cost plus freight charges.
             8665          (3) A religious wine use permittee may not use wine purchased under a religious wine
             8666      use permit for a purpose other than a religious purpose.
             8667          Section 276. Section 32B-10-605 is enacted to read:
             8668          32B-10-605. Religious organization exemption.
             8669          (1) A religious organization that provides or allows to be provided an alcoholic
             8670      product to a person as part of the religious organization's religious services:
             8671          (a) does not violate this title by providing or allowing the provision of an alcoholic
             8672      product as part of a religious service; and
             8673          (b) is not required to hold a license or special use permit to provide or allow the
             8674      provision of an alcoholic product for religious services.
             8675          (2) This exemption does not exempt a religious organization from complying with this
             8676      title with respect to an alcoholic product purchased by the religious organization for a purpose
             8677      other than one purpose stated in Subsection (1).
             8678          Section 277. Section 32B-10-701 is enacted to read:
             8679     
Part 7. Health Care Facility or Practitioner Use of Alcoholic Products

             8680          32B-10-701. Title.
             8681          This part is known as "Health Care Facility or Practitioner Use of Alcoholic Products."


             8682          Section 278. Section 32B-10-702 is enacted to read:
             8683          32B-10-702. Definitions.
             8684          As used in this part, "health care facility" means a facility that is licensed by the
             8685      Department of Health under Title 26, Chapter 21, Health Care Facility Licensing and
             8686      Inspection Act.
             8687          Section 279. Section 32B-10-703 is enacted to read:
             8688          32B-10-703. Health care facility exemption.
             8689          (1) (a) This Subsection (1) applies to a health care facility that administers or allows to
             8690      be administered an alcoholic product to a patient of the health care facility if the alcoholic
             8691      product is prescribed by a person licensed by the state to write a prescription.
             8692          (b) A health care facility described in Subsection (1)(a):
             8693          (i) is not in violation of this title; and
             8694          (ii) is not required to hold a license or special use permit to make or allow the
             8695      administration of an alcoholic product.
             8696          (2) This exemption does not apply to an alcoholic product purchased by a health care
             8697      facility for administration to a patient or a use other than one stated in Subsection (1).
             8698          Section 280. Section 32B-10-704 is enacted to read:
             8699          32B-10-704. Health care practitioner exemption.
             8700          (1) This section applies to an individual who:
             8701          (a) (i) is a health care practitioner; or
             8702          (ii) is a veterinarian licensed under Title 58, Chapter 28, Veterinary Practice Act;
             8703          (b) is acting within the scope of individual's professional responsibility; and
             8704          (c) in a professional capacity, prescribes, prepares, or administers an alcoholic product
             8705      to a person being treated or within the scope of the health care practitioner's license authority.
             8706          (2) A person described in Subsection (1):
             8707          (a) is not in violation of this title; and
             8708          (b) is not required to hold any type of license or permit to use an alcoholic product
             8709      professionally.


             8710          Section 281. Section 32B-11-101 is enacted to read:
             8711     
CHAPTER 11. MANUFACTURING AND RELATED LICENSES ACT

             8712     
Part 1. General Provisions

             8713          32B-11-101. Title.
             8714          This chapter is known as the "Manufacturing and Related Licenses Act."
             8715          Section 282. Section 32B-11-102 is enacted to read:
             8716          32B-11-102. Definitions.
             8717          As used in this chapter, "manufacturing license" means an alcoholic product
             8718      manufacturing license issued under this chapter.
             8719          Section 283. Section 32B-11-201 is enacted to read:
             8720     
Part 2. Manufacturing Licensing General Provisions

             8721          32B-11-201. Commission's power to issue a manufacturing license -- Certificates
             8722      of approval.
             8723          (1) (a) Except as provided in Section 32B-11-202 , before a person may manufacture
             8724      an alcoholic product in this state, the person shall obtain an alcoholic product manufacturing
             8725      license issued by the commission in accordance with this part.
             8726          (b) A separate license is required for each place of storage, sale, and manufacture of an
             8727      alcoholic product.
             8728          (c) A violation of this Subsection (1) is a class B misdemeanor.
             8729          (2) The commission may issue an alcoholic product manufacturing license to a
             8730      manufacturer whose business is located in this state for the storage, sale, and manufacture of
             8731      an alcoholic product for each type of manufacturing license provided by this chapter.
             8732          (3) The types of manufacturing licenses issued under this chapter are known as:
             8733          (a) a winery manufacturing license;
             8734          (b) a distillery manufacturing license; and
             8735          (c) a brewery manufacturing license.
             8736          (4) (a) A brewer located outside the state is not required to be licensed under this
             8737      chapter.


             8738          (b) A brewer described in Subsection (4)(a) shall obtain a certificate of approval from
             8739      the department before selling or delivering:
             8740          (i) beer to a beer wholesaler licensee in this state;
             8741          (ii) a flavored malt beverage to:
             8742          (A) the department; or
             8743          (B) a military installation; or
             8744          (iii) if a small brewer, beer to one of the following in the state:
             8745          (A) a beer wholesaler licensee;
             8746          (B) a beer retailer; or
             8747          (C) an event permittee.
             8748          (c) To obtain a certificate of approval, a brewer shall submit to the department:
             8749          (i) a written application in a form prescribed by the department;
             8750          (ii) a nonrefundable $50 application fee;
             8751          (iii) an initial certificate of approval fee of $250 that is refundable if a certificate of
             8752      approval is not issued;
             8753          (iv) evidence of authority from the federal Alcohol and Tobacco Tax and Trade
             8754      Bureau to brew beer, heavy beer, or a flavored malt beverage; and
             8755          (v) any other information the commission or department may require.
             8756          (d) (i) A written application under this Subsection (4) shall be signed and verified by
             8757      oath or affirmation by:
             8758          (A) a partner if the brewer is a partnership; or
             8759          (B) an executive officer, manager, or person specifically authorized by a corporation
             8760      or limited liability company to sign the application.
             8761          (ii) A brewer filing an application shall attach to the application written evidence of
             8762      the authority of the person described in Subsection (4)(d)(i) to sign the application.
             8763          (e) (i) A certificate of approval expires on December 31 of each year.
             8764          (ii) A brewer desiring to renew its certificate of approval shall submit to the
             8765      department by no later than November 30 of the year the certificate of approval expires:


             8766          (A) a completed renewal application in the form prescribed by the department; and
             8767          (B) a renewal feel of $200.
             8768          (iii) Failure to meet the renewal requirements results in an automatic forfeiture of the
             8769      certificate of approval effective on the date the existing certificate of approval expires.
             8770          Section 284. Section 32B-11-202 is enacted to read:
             8771          32B-11-202. Exemption for manufacture in personal residence of fermented
             8772      beverage.
             8773          (1) As used in this section, "fermented alcoholic beverage" means:
             8774          (a) beer;
             8775          (b) heavy beer; or
             8776          (c) wine.
             8777          (2) An individual may without being licensed under this chapter manufacture in the
             8778      individual's personal residence a fermented alcoholic beverage if:
             8779          (a) the individual is 21 years of age or older;
             8780          (b) the individual manufactures no more than:
             8781          (i) 100 gallons in a calendar year, if there is one individual that is 21 years of age or
             8782      older residing in the household; or
             8783          (ii) 200 gallons in a calendar year, if there are two or more individuals who are 21
             8784      years of age or older residing in the household;
             8785          (c) the fermented alcoholic beverage is manufactured and used for personal or family
             8786      use and consumption, including use at an organized event where fermented alcoholic
             8787      beverages are judged as to taste and quality; and
             8788          (d) the fermented alcoholic beverage is not for:
             8789          (i) sale or offering for sale; or
             8790          (ii) consumption on a licensed premise.
             8791          (3) An individual may store a fermented alcoholic beverage manufactured as provided
             8792      in Subsection (2) in the individual's personal residence.
             8793          (4) A fermented alcoholic beverage manufactured in accordance with Subsection (2)


             8794      may be removed from the premises where it is manufactured:
             8795          (a) for personal or family use, including use at an organized event where fermented
             8796      alcoholic beverages are judged as to taste and quality;
             8797          (b) if the fermented alcoholic beverage is transported in compliance with Section
             8798      41-6a-526 ; and
             8799          (c) if the fermented alcoholic beverage is removed only in the following quantities:
             8800          (i) for personal and family use that is unrelated to an organized event where fermented
             8801      alcoholic beverages are judged as to taste and quality, the quantity that may be possessed at
             8802      one time is:
             8803          (A) one liter of wine for each individual who is 21 years of age or older residing in the
             8804      household;
             8805          (B) 72 ounces of heavy beer for each individual who is 21 years of age or older
             8806      residing in the household; or
             8807          (C) 72 ounces of beer for each individual who is 21 years of age or older residing in
             8808      the household; and
             8809          (ii) for on-premise consumption at an organized event where fermented alcoholic
             8810      beverages are judged as to taste and quality, the quantity that may be removed for each
             8811      organized event is:
             8812          (A) one liter of wine for each wine category in which the individual enters, except that
             8813      the individual may not remove wine for more than three categories for the same organized
             8814      event;
             8815          (B) 72 ounces of heavy beer for each heavy beer category in which the individual
             8816      enters, except that the individual may not remove heavy beer for more than three categories for
             8817      the same organized event; or
             8818          (C) 72 ounces of beer for each beer category in which the individual enters, except
             8819      that the individual may not remove beer for more than three categories for the same organized
             8820      event.
             8821          (5) A partnership, corporation, or association may not manufacture a fermented


             8822      alcoholic beverage under this section for personal or family use and consumption without
             8823      obtaining a license under this chapter, except that an individual who operates a brewery under
             8824      this chapter as an individual owner or in partnership with others, may remove beer from the
             8825      brewery for personal or family use in the amounts described in Subsection (2)(b).
             8826          Section 285. Section 32B-11-203 is enacted to read:
             8827          32B-11-203. Application requirements for a manufacturing license.
             8828          To obtain an alcoholic product manufacturing license, a person shall submit to the
             8829      department:
             8830          (1) a written application in a form prescribed by the department;
             8831          (2) a nonrefundable application fee of $250;
             8832          (3) an initial license fee of $3,250:
             8833          (a) unless otherwise provided in this chapter; and
             8834          (b) that is refundable if a license is not issued;
             8835          (4) written consent of the local authority;
             8836          (5) a statement of the purpose for which the person has applied for the manufacturing
             8837      license;
             8838          (6) evidence that the person is authorized by the United States to manufacture an
             8839      alcoholic product;
             8840          (7) a bond as specified by Section 32B-11-207 ;
             8841          (8) evidence that the person is carrying public liability insurance in an amount and
             8842      form satisfactory to the department;
             8843          (9) a signed consent form stating that the manufacturing licensee will permit any
             8844      authorized representative of the commission, department, or any law enforcement officer to
             8845      have unrestricted right to enter the licensed premises;
             8846          (10) if the person is an entity, proper verification evidencing that a person who signs
             8847      the application is authorized to sign on behalf of the entity; and
             8848          (11) any other information the commission or department may require.
             8849          Section 286. Section 32B-11-204 is enacted to read:


             8850          32B-11-204. Renewal requirements for a manufacturing license.
             8851          (1) A manufacturing license expires on December 31 of each year.
             8852          (2) To renew a manufacturing license, a person shall submit by no later than
             8853      November 30 of the year the license expires:
             8854          (a) a completed renewal application to the department, in a form prescribed by the
             8855      department; and
             8856          (b) a renewal fee in the following amount of:
             8857          (i) $2,500, except for a wine manufacturing license described in Subsection (2)(b)(ii);
             8858      or
             8859          (ii) $1,200 for a winery manufacturing license if the winery manufacturing licensee
             8860      produces less than 20,000 gallons of wine in the calendar year preceding the year in which the
             8861      manufacturing licensee seeks renewal.
             8862          (3) Failure to meet the renewal requirements results in an automatic forfeiture of a
             8863      manufacturing license effective on the date the existing manufacturing license expires.
             8864          Section 287. Section 32B-11-205 is enacted to read:
             8865          32B-11-205. Specific qualifications for a manufacturing license.
             8866          (1) The commission may not issue a manufacturing license to a person who:
             8867          (a) is disqualified under Section 32B-1-304 ; or
             8868          (b) has not met an applicable federal requirement for the operation of a winery,
             8869      distillery, or brewery.
             8870          (2) If a person to whom a manufacturing license is issued under this chapter no longer
             8871      possesses the qualifications required by this title for obtaining that manufacturing license, the
             8872      commission may suspend or revoke that manufacturing license.
             8873          Section 288. Section 32B-11-206 is enacted to read:
             8874          32B-11-206. Duties of commission and department before issuing manufacturing
             8875      license.
             8876          (1) (a) Before the commission may issue a manufacturing license, the department shall
             8877      conduct an investigation and may hold public hearings to gather information and make


             8878      recommendations to the commission as to whether a manufacturing license should be issued.
             8879          (b) The department shall forward to the commission the information and
             8880      recommendations under Subsection (1)(a) to aid in the commission's determination.
             8881          (2) Before issuing a manufacturing license, the commission shall:
             8882          (a) determine that the person filed a complete application and is in compliance with:
             8883          (i) Sections 32B-11-203 and 32B-11-205 ; and
             8884          (ii) the relevant part under this chapter for the specific type of manufacturing license;
             8885          (b) determine that the person is not disqualified under Section 32B-1-304 ;
             8886          (c) consider the physical characteristics of the premises where an alcoholic product is
             8887      proposed to be stored, mixed, or manufactured such as:
             8888          (i) condition of the premises; and
             8889          (ii) safety and security considerations;
             8890          (d) consider the person's ability to properly use the manufacturing license within the
             8891      requirements of this title and the commission rules including:
             8892          (i) manufacturing capacity;
             8893          (ii) extent of product distribution; and
             8894          (iii) the nature and type of entity making use of the manufacturing license;
             8895          (e) consider any special factor as provided in this chapter that may be unique to the
             8896      specific type of manufacturing license sought by the person;
             8897          (f) approve of the location and equipment used by the person to manufacture an
             8898      alcoholic product; and
             8899          (g) consider any other factor the commission considers necessary.
             8900          Section 289. Section 32B-11-207 is enacted to read:
             8901          32B-11-207. Bond for manufacturing license.
             8902          (1) (a) A manufacturing licensee shall post a cash bond or surety bond in the penal
             8903      sum of $10,000 payable to the department.
             8904          (b) A manufacturing licensee shall procure and maintain a bond required by this
             8905      section for as long as the manufacturing licensee continues to operate as a manufacturing


             8906      licensee.
             8907          (2) A bond posted under this section shall be:
             8908          (a) in a form approved by the attorney general; and
             8909          (b) conditioned upon a manufacturing licensee's faithful compliance with this title and
             8910      the rules of the commission.
             8911          (3) If a surety bond posted by a manufacturing licensee under this section is cancelled
             8912      due to a manufacturing licensee's negligence, the department may assess a $300 reinstatement
             8913      fee.
             8914          (4) No part of a bond posted under this section may be withdrawn during the period
             8915      the manufacturing license is in effect.
             8916          (5) (a) A bond posted by a manufacturing licensee under this section may be forfeited
             8917      if the manufacturing license is revoked.
             8918          (b) Notwithstanding Subsection (5)(a), the department may make a claim against a
             8919      bond posted by a manufacturing licensee for money owed the department under this title
             8920      without the commission first revoking the manufacturing license.
             8921          Section 290. Section 32B-11-208 is enacted to read:
             8922          32B-11-208. General operational requirements for manufacturing license.
             8923          (1) (a) A manufacturing licensee and staff of the manufacturing licensee shall comply
             8924      with this title and the rules of the commission, including the relevant part of this chapter
             8925      applicable to the type of manufacturing license held by the manufacturing licensee.
             8926          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             8927      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             8928          (i) a manufacturing licensee;
             8929          (ii) individual staff of a manufacturing licensee; or
             8930          (iii) a manufacturing licensee and staff of the manufacturing licensee.
             8931          (2) A manufacturing licensee shall prominently display the manufacturing license on
             8932      the licensed premises.
             8933          (3) (a) A manufacturing licensee shall make and maintain the records required by the


             8934      department.
             8935          (b) Section 32B-1-205 applies to a record required to be made or maintained in
             8936      accordance with this Subsection (3).
             8937          (4) A manufacturing licensee may not sell liquor within the state except to:
             8938          (a) the department; or
             8939          (b) a military installation.
             8940          (5) A manufacturing license may not be transferred from one location to another
             8941      location, without prior written approval of the commission.
             8942          (6) (a) A manufacturing licensee may not sell, transfer, assign, exchange, barter, give,
             8943      or attempt in any way to dispose of the license to another person, whether for monetary gain or
             8944      not.
             8945          (b) A manufacturing license has no monetary value for any type of disposition.
             8946          (7) A manufacturing licensee may not advertise its product in violation of this title or
             8947      any other federal or state law, except that nothing in this title prohibits the advertising or
             8948      solicitation of an order for industrial alcohol from a holder of a special use permit.
             8949          (8) A manufacturing licensee shall from time to time, on request of the department,
             8950      furnish for analytical purposes a sample of the alcoholic product that the manufacturing
             8951      licensee has:
             8952          (a) for sale; or
             8953          (b) in the course of manufacture for sale in this state.
             8954          (9) The commission may prescribe by policy or rule, consistent with this title, the
             8955      general operational requirements of a manufacturing licensee relating to:
             8956          (a) physical facilities;
             8957          (b) conditions of storage, sale, or manufacture of an alcoholic product;
             8958          (c) storage and sales quantity limitations; and
             8959          (d) other matters considered appropriate by the commission.
             8960          Section 291. Section 32B-11-209 is enacted to read:
             8961          32B-11-209. Notifying department of change in ownership.


             8962          The commission may suspend or revoke a manufacturing license if the manufacturing
             8963      licensee does not immediately notify the department of a change in:
             8964          (1) ownership of the manufacturing licensee;
             8965          (2) for a corporate owner, the:
             8966          (a) corporate officers or directors; or
             8967          (b) shareholders holding at least 20% of the total issued and outstanding stock of the
             8968      corporation; or
             8969          (3) for a limited liability company:
             8970          (a) managers; or
             8971          (b) members owning at least 20% of the limited liability company.
             8972          Section 292. Section 32B-11-301 is enacted to read:
             8973     
Part 3. Winery Manufacturing License

             8974          32B-11-301. Title.
             8975          This part is known as "Winery Manufacturing License."
             8976          Section 293. Section 32B-11-302 is enacted to read:
             8977          32B-11-302. Definitions.
             8978          Reserved
             8979          Section 294. Section 32B-11-303 is enacted to read:
             8980          32B-11-303. Specific authority and operational requirements for winery
             8981      manufacturing license.
             8982          (1) A winery manufacturing license allows a winery manufacturing licensee to:
             8983          (a) store, manufacture, transport, import, or export wine;
             8984          (b) sell wine at wholesale to the department and to out-of-state customers;
             8985          (c) purchase liquor for fortifying wine, if the department is notified of the purchase
             8986      and date of delivery; and
             8987          (d) warehouse on the licensed premises liquor that is manufactured or purchased for
             8988      manufacturing purposes.
             8989          (2) (a) A wine, brandy, wine spirit, or other liquor imported under authority of a


             8990      winery manufacturing license shall conform to the standards of identity and quality established
             8991      in the regulations issued under Federal Alcohol Administration Act, 27 U.S.C. Sec. 201 et seq.
             8992          (b) The federal definitions, standards of identity, and quality and labeling
             8993      requirements for wine, in regulations issued under Federal Alcohol Administration Act, 27
             8994      U.S.C. Sec. 201 et seq., are adopted to the extent the regulations are not contrary to or
             8995      inconsistent with the laws of this state.
             8996          (3) If considered necessary, the commission or department may require:
             8997          (a) the alteration of the plant, equipment, or licensed premises;
             8998          (b) the alteration or removal of unsuitable wine-making equipment or material;
             8999          (c) a winery manufacturing licensee to clean, disinfect, ventilate, or otherwise improve
             9000      the sanitary and working conditions of the plant, licensed premises, and wine-making
             9001      equipment;
             9002          (d) that a marc, pomace, or fruit be destroyed, denatured, or removed from the
             9003      licensed premises because it is considered:
             9004          (i) unfit for wine making; or
             9005          (ii) as producing or likely to produce an unsanitary condition;
             9006          (e) a winery manufacturing licensee to distill or cause to be distilled or disposed of
             9007      under the department's supervision:
             9008          (i) any unsound, poor quality finished wine; or
             9009          (ii) unfinished wine that will not be satisfactory when finished; or
             9010          (f) that a record pertaining to the grapes and other materials and ingredients used in
             9011      the manufacture of wine be available to the commission or department upon request.
             9012          (4) A winery manufacturing licensee may not permit wine to be consumed on its
             9013      premises, except under the following circumstances:
             9014          (a) A winery manufacturing licensee may allow its staff to consume on the licensed
             9015      premises wine as the winery manufacturing licensee furnishes to the staff without charge.
             9016          (b) A winery manufacturing licensee may allow a person who can lawfully purchase
             9017      wine for wholesale or retail distribution to consume a bona fide sample of the winery


             9018      manufacturing licensee's product on the licensed premises.
             9019          (c) A winery manufacturing licensee may operate on its licensed premises a retail
             9020      facility allowing consumption of a sample on the licensed premises of wine as long as food is
             9021      also available. This type of retail facility located on the licensed premises shall be operated or
             9022      supervised by the winery manufacturing licensee.
             9023          Section 295. Section 32B-11-401 is enacted to read:
             9024     
Part 4. Distillery Manufacturing License

             9025          32B-11-401. Title.
             9026          This part is known as "Distillery Manufacturing License."
             9027          Section 296. Section 32B-11-402 is enacted to read:
             9028          32B-11-402. Definitions.
             9029          Reserved
             9030          Section 297. Section 32B-11-403 is enacted to read:
             9031          32B-11-403. Specific authority and operational requirements for distillery
             9032      manufacturing license.
             9033          (1) A distillery manufacturing license allows a distillery manufacturing licensee to:
             9034          (a) store, manufacture, transport, import, or export liquor;
             9035          (b) sell liquor to:
             9036          (i) the department;
             9037          (ii) an out-of-state customer; and
             9038          (iii) as provided in Subsection (2);
             9039          (c) purchase an alcoholic product for mixing and manufacturing purposes if the
             9040      department is notified of:
             9041          (i) the purchase; and
             9042          (ii) the date of delivery; and
             9043          (d) warehouse on its licensed premises an alcoholic product that the distillery
             9044      manufacturing licensee manufactures or purchases for manufacturing purposes.
             9045          (2) (a) Subject to the other provisions of this Subsection (2), a distillery manufacturing


             9046      licensee may directly sell an alcoholic product to a person engaged within the state in:
             9047          (i) a mechanical or industrial business that requires the use of an alcoholic product; or
             9048          (ii) scientific pursuits that require the use of an alcoholic product.
             9049          (b) A person who purchases an alcoholic product under Subsection (2)(a) shall hold a
             9050      valid special use permit issued in accordance with Chapter 10, Special Use Permit Act,
             9051      authorizing the use of the alcoholic product.
             9052          (c) A distillery manufacturing licensee may sell to a special use permittee described in
             9053      Subsection (2)(b) an alcoholic product only in the type for which the special use permit
             9054      provides.
             9055          (d) The sale of an alcoholic product under this Subsection (2) is subject to rules
             9056      prescribed by the department and the federal government.
             9057          (3) The federal definitions, standards of identity and quality, and labeling
             9058      requirements for distilled liquor, in the regulations issued under Federal Alcohol
             9059      Administration Act, 27 U.S.C. Sec. 201 et seq., are adopted to the extent the regulations are
             9060      not contrary to or inconsistent with laws of this state.
             9061          (4) If considered necessary, the commission or department may require:
             9062          (a) the alteration of the plant, equipment, or licensed premises;
             9063          (b) the alteration or removal of unsuitable alcoholic product-making equipment or
             9064      material;
             9065          (c) a distillery manufacturing licensee to clean, disinfect, ventilate, or otherwise
             9066      improve the sanitary and working conditions of the plant, licensed premises, and equipment;
             9067      or
             9068          (d) that a record pertaining to the materials and ingredients used in the manufacture of
             9069      an alcoholic product be made available to the commission or department upon request.
             9070          (5) A distillery manufacturing licensee may not permit an alcoholic product to be
             9071      consumed on its premises, except that:
             9072          (a) a distillery manufacturing licensee may allow its staff to consume on the licensed
             9073      premises an alcoholic product that the distillery furnishes to the staff without charge; and


             9074          (b) a distillery manufacturing licensee may allow a person who can lawfully purchase
             9075      an alcoholic product for wholesale or retail distribution to consume a bona fide sample of the
             9076      distillery manufacturing licensee's product on the licensed premises.
             9077          Section 298. Section 32B-11-501 is enacted to read:
             9078     
Part 5. Brewery Manufacturing License

             9079          32B-11-501. Title.
             9080          This part is known as "Brewery Manufacturing License."
             9081          Section 299. Section 32B-11-502 is enacted to read:
             9082          32B-11-502. Definitions.
             9083          Reserved
             9084          Section 300. Section 32B-11-503 is enacted to read:
             9085          32B-11-503. Specific authority and operational requirements for brewery
             9086      manufacturing license.
             9087          (1) A brewery manufacturing license allows a brewery manufacturing licensee to:
             9088          (a) store, manufacture, brew, transport, or export beer, heavy beer, and flavored malt
             9089      beverages;
             9090          (b) sell heavy beer and a flavored malt beverage to:
             9091          (i) the department;
             9092          (ii) a military installation; or
             9093          (iii) an out-of-state customer;
             9094          (c) sell beer to a beer wholesaler licensee;
             9095          (d) in the case of a small brewer, in accordance with Subsection (5), sell beer
             9096      manufactured by the small brewer to:
             9097          (i) a retail licensee;
             9098          (ii) an off-premise beer retailer; or
             9099          (iii) an event permittee; and
             9100          (e) warehouse on its premises an alcoholic product that the brewery manufacturing
             9101      licensee manufactures or purchases for manufacturing purposes.


             9102          (2) A brewery manufacturing licensee may not sell the following to a person within the
             9103      state except the department or a military installation:
             9104          (a) heavy beer; or
             9105          (b) a flavored malt beverage.
             9106          (3) If considered necessary, the commission or department may require:
             9107          (a) the alteration of the plant, equipment, or licensed premises;
             9108          (b) the alteration or removal of any unsuitable alcoholic product-making equipment or
             9109      material;
             9110          (c) a brewery manufacturing licensee to clean, disinfect, ventilate, or otherwise
             9111      improve the sanitary and working conditions of the plant, licensed premises, and equipment;
             9112      or
             9113          (d) that a record pertaining to the materials and ingredients used in the manufacture of
             9114      an alcoholic product be available to the commission or department upon request.
             9115          (4) A brewery manufacturing licensee may not permit any beer, heavy beer, or
             9116      flavored malt beverage to be consumed on the licensed premises, except under the
             9117      circumstances described in this Subsection (4).
             9118          (a) A brewery manufacturing licensee may allow its off-duty staff to consume beer,
             9119      heavy beer, or a flavored malt beverage on its premises without charge.
             9120          (b) A brewery manufacturing licensee may allow a person who can lawfully purchase
             9121      the following for wholesale or retail distribution to consume a bona fide sample of the brewery
             9122      manufacturing licensee's product on the licensed premises:
             9123          (i) beer;
             9124          (ii) heavy beer; or
             9125          (iii) a flavored malt beverage.
             9126          (c) (i) A brewery manufacturing licensee may operate on its licensed premises a retail
             9127      facility allowing consumption on premises of beer in a bottle or on draft if food is also
             9128      available.
             9129          (ii) A retail facility located on the licensed premises of a brewery manufacturing


             9130      licensee shall be operated or supervised by the brewery manufacturing licensee.
             9131          (iii) In operating a retail facility under this Subsection (4)(c), a brewery manufacturing
             9132      licensee shall comply with the requirements of Chapter 7, Part 2, Off-premise Beer Retailer
             9133      Local Authority.
             9134          (5) (a) A small brewer shall own, lease, or maintain and control a warehouse facility
             9135      located in this state for the storage of beer to be sold to a person described in Subsection (1)(d)
             9136      if the small brewer:
             9137          (i) (A) (I) is located in this state; and
             9138          (II) holds a brewery manufacturing license; or
             9139          (B) (I) is located outside this state; and
             9140          (II) holds a certificate of approval to sell beer in this state; and
             9141          (ii) sells beer manufactured by the small brewer directly to a person described in
             9142      Subsection (1)(d).
             9143          (b) A small brewer may not sell beer to a person described in Subsection (1)(d) unless
             9144      the beer:
             9145          (i) is manufactured by the small brewer; and
             9146          (ii) is first placed in the small brewer's warehouse facility in this state.
             9147          (c) (i) A small brewer warehouse shall make and maintain complete beer importation,
             9148      inventory, tax, distribution, sales records, and other records as the department and State Tax
             9149      Commission may require.
             9150          (ii) The records described in Subsection (5)(c)(i) are subject to inspection by:
             9151          (A) the department; and
             9152          (B) the State Tax Commission.
             9153          (iii) Section 32B-1-205 applies to a record required to be made or maintained in
             9154      accordance with this Subsection (5), except that the provision is considered to include an
             9155      action described in Section 32B-1-205 made for the purpose of deceiving the State Tax
             9156      Commission, or an official or employee of the State Tax Commission.
             9157          Section 301. Section 32B-11-601 is enacted to read:


             9158     
Part 6. Local Industry Representative License Act

             9159          32B-11-601. Title.
             9160          This part is known as the "Local Industry Representative License Act."
             9161          Section 302. Section 32B-11-602 is enacted to read:
             9162          32B-11-602. Definitions.
             9163          Reserved
             9164          Section 303. Section 32B-11-603 is enacted to read:
             9165          32B-11-603. Commission's power to issue local industry representative license.
             9166          (1) (a) Before a person described in Subsection (2) may represent an alcoholic product
             9167      of a manufacturer, supplier, or importer, the person shall obtain a local industry representative
             9168      license from the commission in accordance with this part.
             9169          (b) A violation of this Subsection (1) is a class B misdemeanor.
             9170          (2) The commission may issue a local industry representative license to a person who
             9171      is:
             9172          (a) (i) an individual resident of Utah;
             9173          (ii) a Utah partnership;
             9174          (iii) a Utah corporation; or
             9175          (iv) a Utah limited liability company; and
             9176          (b) employed by a manufacturer, supplier, or importer, to represent a liquor product
             9177      with the department, a package agency, licensee, or permittee under this title, whether
             9178      compensated by salary, commission, or another means.
             9179          (3) An individual staff member of a local industry representative licensee is not
             9180      required to be separately licensed.
             9181          (4) A local industry representative may represent more than one manufacturer,
             9182      supplier, or importer at a time.
             9183          (5) (a) A manufacturer, supplier, or importer is not required to use a local industry
             9184      representative to represent its products with the department, a package agency, licensee, or
             9185      permittee, except that staff of a manufacturer, supplier, or importer who is not a local industry


             9186      representative shall register with the department, on a form provided by the department, before
             9187      the staff represents an alcoholic product while in the state with the department, a package
             9188      agency, licensee, or permittee.
             9189          (b) A manufacturer, supplier, or importer described in Subsection (5)(a) and its staff
             9190      are subject to the same operational requirements of this part and Chapter 4, Criminal Offenses
             9191      and Procedure Act.
             9192          Section 304. Section 32B-11-604 is enacted to read:
             9193          32B-11-604. Application for local industry representative license.
             9194          (1) To obtain a local industry representative license, a person shall submit to the
             9195      department:
             9196          (a) a written application in a form prescribed by the department;
             9197          (b) a nonrefundable $50 application fee;
             9198          (c) an initial license fee of $100, which is refundable if a local industry representative
             9199      license is not issued;
             9200          (d) verification that the person is:
             9201          (i) a resident of Utah;
             9202          (ii) a Utah partnership;
             9203          (iii) a Utah corporation; or
             9204          (iv) a Utah limited liability company;
             9205          (e) an affidavit stating the name and address of any manufacturer, supplier, or
             9206      importer the person will represent;
             9207          (f) a signed consent form stating that the local industry representative will permit any
             9208      authorized representative of the commission, department, or any law enforcement officer to
             9209      have an unrestricted right to enter, during normal business hours, the specific premises where
             9210      the local industry representative conducts business;
             9211          (g) if the person is an entity, proper verification evidencing that a person who signs
             9212      the application is authorized to sign on behalf of the entity; and
             9213          (h) any other information the commission or department may require.


             9214          (2) A local industry representative licensee is not required to pay an additional license
             9215      fee to represent more than one manufacturer, supplier, or importer.
             9216          Section 305. Section 32B-11-605 is enacted to read:
             9217          32B-11-605. Renewal requirements for local industry representative license.
             9218          (1) A local industry representative license expires on December 31 of each year.
             9219          (2) To renew a local industry representative license, a person shall submit to the
             9220      department by no later than November 30 of the year the license expires:
             9221          (a) a completed renewal application in a form prescribed by the department;
             9222          (b) a renewal fee of $100; and
             9223          (c) an affidavit stating the name and address of any manufacturer, supplier, or
             9224      importer the local industry representative licensee represents at the time of submitting the
             9225      renewal application.
             9226          (3) Failure to meet the renewal requirements results in an automatic forfeiture of the
             9227      local industry representative license effective on the date the existing local industry
             9228      representative license expires.
             9229          Section 306. Section 32B-11-606 is enacted to read:
             9230          32B-11-606. Specific qualifications for local industry representative.
             9231          (1) The commission may not issue a local industry representative license to:
             9232          (a) a person who is disqualified under Section 32B-1-304 ; or
             9233          (b) unless otherwise provided:
             9234          (i) a retail licensee that sells, offers for sale, or furnishes liquor;
             9235          (ii) staff of a retail licensee that sells, offers for sale, or furnishes liquor; or
             9236          (iii) an individual, partnership, corporation, or limited liability company who holds an
             9237      interest in a retail licensee that sells, offers for sale, or furnishes liquor.
             9238          (2) If a person to whom a local industry representative license is issued under this part
             9239      no longer possesses the qualifications required by this title for obtaining that local industry
             9240      representative license, the commission may suspend or revoke that local industry
             9241      representative license.


             9242          Section 307. Section 32B-11-607 is enacted to read:
             9243          32B-11-607. Commission and department duties before issuing local
             9244      representative license.
             9245          (1) (a) Before the commission may issue a local industry representative license, the
             9246      department shall conduct an investigation and may hold public hearings to gather information
             9247      and make recommendations to the commission as to whether a local industry representative
             9248      license should be issued.
             9249          (b) The department shall forward the information and recommendations described in
             9250      Subsection (1)(a) to the commission to aid in the commission's determination.
             9251          (2) Before issuing a local industry representative license, the commission shall:
             9252          (a) determine that the person filed a complete application and is in compliance with
             9253      Sections 32B-11-604 and 32B-11-606 ;
             9254          (b) determine that the person is not disqualified under Section 32B-1-304 ; and
             9255          (c) consider any other factor the commission considers necessary.
             9256          Section 308. Section 32B-11-608 is enacted to read:
             9257          32B-11-608. Operational requirements for local industry representative license.
             9258          (1) (a) A local industry representative licensee, staff of the local industry
             9259      representative licensee, or staff of a manufacturer, supplier, or importer who is conducting
             9260      business in the state, shall comply with this title and rules of the commission.
             9261          (b) If a person knowingly violates Subsection (1)(a):
             9262          (i) the violation may result in disciplinary action in accordance with Chapter 3,
             9263      Disciplinary Actions and Enforcement Act, against:
             9264          (A) a local industry representative licensee;
             9265          (B) individual staff of a local industry representative licensee; or
             9266          (C) both a local industry representative licensee and staff of the local industry
             9267      representative licensee; and
             9268          (ii) if the conditions of Subsection (1)(c) are met, the commission may order:
             9269          (A) the removal of the manufacturer's, supplier's, or importer's products from the


             9270      department's sales list; and
             9271          (B) a suspension of the department's purchase of those products for a period
             9272      determined by the commission.
             9273          (c) Subsection (1)(b)(ii) applies if the manufacturer, supplier, or importer:
             9274          (i) directly commits the violation; or
             9275          (ii) solicits, requests, commands, encourages, or intentionally aides another to engage
             9276      in the violation.
             9277          (2) A local industry representative licensee shall display its license in the local
             9278      industry representative licensee's principal place of business.
             9279          (3) (a) A local industry representative licensee shall maintain on file with the
             9280      department a current accounts list of the names and addresses of the manufacturers, suppliers,
             9281      and importers the local industry representative licensee represents.
             9282          (b) A local industry representative licensee shall notify the department in writing of a
             9283      change to its accounts list within 14 days from the date the local industry representative
             9284      licensee:
             9285          (i) acquires the account of a manufacturer, supplier, or importer; or
             9286          (ii) loses the account of a manufacturer, supplier, or importer.
             9287          (4) (a) A local industry representative licensee shall make and maintain the records the
             9288      department requires for at least three years.
             9289          (b) Section 32B-1-205 applies to a record required to be made or maintained in
             9290      accordance with this Subsection (4).
             9291          (5) Staff of a local industry representative licensee may not be:
             9292          (a) a retail licensee that sells, offers for sale, or furnishes liquor;
             9293          (b) staff of a retail licensee that sells, offers for sale, or furnishes liquor; or
             9294          (c) a minor.
             9295          (6) (a) A local representative licensee may not sell, transfer, assign, exchange, barter,
             9296      give, or attempt in any way to dispose of the license to another person, whether for monetary
             9297      gain or not.


             9298          (b) A local industry representative license has no monetary value for any type of
             9299      disposition.
             9300          (7) A local industry representative licensee, staff of the local industry representative
             9301      licensee, or staff of a manufacturer, supplier, or importer who is conducting business in the
             9302      state:
             9303          (a) only to the extent authorized by Chapter 4, Criminal Offenses and Procedure Act,
             9304      may:
             9305          (i) assist the department in:
             9306          (A) ordering, shipping, and delivering merchandise;
             9307          (B) providing new product notification;
             9308          (C) obtaining listing and delisting information;
             9309          (D) receiving price quotations;
             9310          (E) providing product sales analysis;
             9311          (F) conducting shelf management; and
             9312          (G) conducting educational seminars; and
             9313          (ii) to acquire new listings:
             9314          (A) solicit orders from the department; and
             9315          (B) submit to the department price lists and samples of the products of the
             9316      manufacturer, supplier, or importer;
             9317          (b) may not sell liquor within the state except to:
             9318          (i) the department; and
             9319          (ii) a military installation;
             9320          (c) may not ship or transport, or cause to be shipped or transported, liquor into this
             9321      state or from one place to another within this state;
             9322          (d) may not sell or furnish any liquor to any person within this state other than to:
             9323          (i) the department; or
             9324          (ii) a military installation;
             9325          (e) except as otherwise provided, may not advertise a product the local industry


             9326      representative licensee represents in violation of this title or any other federal or state law;
             9327          (f) shall comply with the trade practices provided in Chapter 4, Part 7, Trade Practices
             9328      Act; and
             9329          (g) may only provide a sample of a product of the manufacturer, supplier, or importer
             9330      for tasting and sampling purposes as provided in Section 32B-4-705 by the department.
             9331          (8) A local industry representative licensee may, to become educated as to the quality
             9332      and characteristics of a liquor that the licensee represents, taste and analyze an industry
             9333      representative sample under the conditions listed in this Subsection (8).
             9334          (a) A local industry representative licensee may not receive more than two industry
             9335      representative samples of a particular type, vintage, and production lot of a particular branded
             9336      product within a consecutive 120-day period.
             9337          (b) (i) An industry representative sample of liquor may not exceed one liter.
             9338          (ii) Notwithstanding Subsection (8)(b)(i), an industry representative sample of the
             9339      following may not exceed 1.5 liters unless that exact product is only commercially packaged in
             9340      a larger size, not to exceed 5 liters:
             9341          (A) wine;
             9342          (B) heavy beer; or
             9343          (C) a flavored malt beverage.
             9344          (c) An industry representative sample may only be of a product not presently listed on
             9345      the department's sales list.
             9346          (d) (i) An industry representative sample shall be shipped:
             9347          (A) prepaid by the manufacturer, supplier, or importer;
             9348          (B) by common carrier and not via United States mail; and
             9349          (C) directly to the department's central administrative warehouse office.
             9350          (ii) An industry representative sample may not be shipped to any other location within
             9351      the state.
             9352          (e) An industry representative sample shall be accompanied by a letter from the
             9353      manufacturer, supplier, or importer:


             9354          (i) clearly identifying the product as an "industry representative sample"; and
             9355          (ii) clearly stating:
             9356          (A) the FOB case price of the product; and
             9357          (B) the name of the local industry representative for whom it is intended.
             9358          (f) The department shall assess a reasonable handling, labeling, and storage fee for
             9359      each industry representative sample received.
             9360          (g) The department shall affix to a package a label clearly identifying the product as an
             9361      "industry representative sample."
             9362          (h) The department shall:
             9363          (i) account for and record each industry representative sample received;
             9364          (ii) account for the industry representative sample's disposition; and
             9365          (iii) maintain a record of the industry representative sample and its disposition for a
             9366      two-year period.
             9367          (i) An industry representative sample may not leave the premises of the department's
             9368      central administrative warehouse office.
             9369          (j) A local industry representative licensee's and a local industry representative
             9370      licensee's staff may, at regularly scheduled days and times established by the department, taste
             9371      and analyze one or more industry representative samples on the premises of the department's
             9372      central administrative warehouse office.
             9373          (k) The department shall destroy the unused contents of an opened product remaining
             9374      after a product is sampled under controlled and audited conditions established by the
             9375      department.
             9376          (l) An industry representative sample that is not tasted within 30 days of receipt by the
             9377      department shall be disposed of at the discretion of the department in one of the following
             9378      ways:
             9379          (i) the contents destroyed under controlled and audited conditions established by the
             9380      department; or
             9381          (ii) added to the inventory of the department for sale to the public.


             9382          Section 309. Section 32B-11-609 is enacted to read:
             9383          32B-11-609. Notifying department of change in ownership.
             9384          The commission may suspend or revoke a local industry representative license if a
             9385      local industry representative licensee does not immediately notify the department of a change
             9386      in:
             9387          (1) ownership of the business;
             9388          (2) for a corporate owner, the:
             9389          (a) corporate officers or directors; or
             9390          (b) shareholders holding at least 20% of the total issued and outstanding stock of the
             9391      corporation; or
             9392          (3) for a limited liability company:
             9393          (a) managers; or
             9394          (b) members owning at least 20% of the limited liability company.
             9395          Section 310. Section 32B-12-101 is enacted to read:
             9396     
CHAPTER 12. LIQUOR WAREHOUSING LICENSE ACT

             9397     
Part 1. General Provisions

             9398          32B-12-101. Title.
             9399          This chapter is known as the "Liquor Warehousing License Act."
             9400          Section 311. Section 32B-12-102 is enacted to read:
             9401          32B-12-102. Definitions.
             9402          Reserved
             9403          Section 312. Section 32B-12-201 is enacted to read:
             9404     
Part 2. Liquor Warehousing License Process

             9405          32B-12-201. Commission's power to issue liquor warehousing license.
             9406          (1) (a) Before a person may warehouse, distribute, or transport liquor for resale to a
             9407      wholesale or retail customer, the person shall first obtain a liquor warehousing license issued
             9408      by the commission in accordance with this chapter.
             9409          (b) A separate liquor warehousing license is required for each warehousing facility.


             9410          (c) A violation of this Subsection (1) is a class B misdemeanor.
             9411          (2) The commission may issue a liquor warehousing license in accordance with this
             9412      chapter for the warehousing, distribution, and transportation of liquor.
             9413          Section 313. Section 32B-12-202 is enacted to read:
             9414          32B-12-202. Application requirements for liquor warehousing license.
             9415          To obtain a liquor warehousing license, a person shall submit to the department:
             9416          (1) a written application in a form prescribed by the department;
             9417          (2) a nonrefundable $250 application fee;
             9418          (3) an initial license fee of $750, which is refundable if a liquor warehousing license is
             9419      not issued;
             9420          (4) written consent of the local authority;
             9421          (5) a copy of the person's current business license;
             9422          (6) a bond as specified by Section 32B-12-206 ;
             9423          (7) a floor plan of the person's warehouse, including the area in which the person
             9424      proposes that liquor be stored;
             9425          (8) evidence that the person is carrying public liability insurance in an amount and
             9426      form satisfactory to the department;
             9427          (9) a signed consent form stating that the liquor warehousing licensee will permit any
             9428      authorized representative of the commission, department, or any law enforcement officer to
             9429      have unrestricted right to enter the licensed premises;
             9430          (10) if the person is an entity, proper verification evidencing that a person who signs
             9431      the application is authorized to sign on behalf of the entity; and
             9432          (11) any other information the commission or department may require.
             9433          Section 314. Section 32B-12-203 is enacted to read:
             9434          32B-12-203. Renewal requirements for liquor warehousing license.
             9435          (1) A liquor warehousing license expires on December 31 of each year.
             9436          (2) To renew a liquor warehousing license, a person shall submit to the department by
             9437      no later than November 30 of the year the license expires:


             9438          (a) a completed renewal application in a form prescribed by the department; and
             9439          (b) a renewal fee of $1,000.
             9440          (3) Failure to meet the renewal requirements results in an automatic forfeiture of the
             9441      liquor warehousing license effective on the date the existing liquor warehousing license
             9442      expires.
             9443          Section 315. Section 32B-12-204 is enacted to read:
             9444          32B-12-204. Specific qualifications for liquor warehousing license.
             9445          (1) The commission may not issue a liquor warehousing license to a person who is
             9446      disqualified under Section 32B-1-304 .
             9447          (2) A person, through its staff, or otherwise, either directly or indirectly, may not hold
             9448      at the same time both a liquor warehousing license and another kind of package agency,
             9449      license, or permit issued under this title except:
             9450          (a) a temporary beer event permit;
             9451          (b) a manufacturing license issued in accordance with Chapter 11, Manufacturing and
             9452      Related Licenses Act; or
             9453          (c) a beer wholesaling license issued in accordance with this chapter.
             9454          (3) If a person to whom a liquor warehousing license is issued under this chapter no
             9455      longer possesses the qualifications required by this title for obtaining that liquor warehousing
             9456      license, the commission may suspend or revoke that liquor warehousing license.
             9457          Section 316. Section 32B-12-205 is enacted to read:
             9458          32B-12-205. Duties of commission and department before issuing liquor
             9459      warehousing license.
             9460          (1) (a) Before the commission may issue a warehousing license, the department shall
             9461      conduct an investigation and may hold public hearings to gather information and make
             9462      recommendations to the commission as to whether a liquor warehousing license should be
             9463      issued.
             9464          (b) The department shall forward the information and recommendations described in
             9465      Subsection (1)(a) to the commission to aid in the commission's determination.


             9466          (2) Before issuing a liquor warehousing license, the commission shall:
             9467          (a) determine that the person filed a complete application and has complied with
             9468      Sections 32B-12-202 and 32B-12-204 ;
             9469          (b) determine that the person is not disqualified under Section 32B-1-304 ;
             9470          (c) consider the physical characteristics of the premises where it is proposed that
             9471      liquor be warehoused, such as:
             9472          (i) location;
             9473          (ii) proximity to transportation; and
             9474          (iii) condition, size, and security of the licensed premises;
             9475          (d) consider the person's ability to properly use the liquor warehousing license within
             9476      the requirements of this title and the commission rules including:
             9477          (i) the types of products other than liquor that the person is warehousing;
             9478          (ii) the brands of liquor the person intends to warehouse; and
             9479          (iii) the means the person intends to use to distribute the liquor; and
             9480          (e) consider any other factor the commission considers necessary.
             9481          Section 317. Section 32B-12-206 is enacted to read:
             9482          32B-12-206. Bond for liquor warehousing license.
             9483          (1) (a) A liquor warehouser licensee shall post a cash bond or surety bond in the penal
             9484      sum of $10,000 payable to the department.
             9485          (b) A liquor warehouser licensee shall procure and maintain the bond required by this
             9486      section for as long as the liquor warehouser licensee continues to operate as a liquor
             9487      warehouser licensee.
             9488          (2) A bond posted under this section shall be:
             9489          (a) in a form approved by the attorney general; and
             9490          (b) conditioned upon the liquor warehouser licensee's faithful compliance with this
             9491      title and the rules of the commission.
             9492          (3) If a surety bond posted by a liquor warehouser licensee under this section is
             9493      canceled due to a liquor warehouser licensee's negligence, the department may assess a $300


             9494      reinstatement fee.
             9495          (4) No part of a bond posted under this section may be withdrawn during the period
             9496      the liquor warehousing license is in effect.
             9497          (5) (a) A bond posted by a liquor warehouser licensee may be forfeited if the liquor
             9498      warehousing license is revoked.
             9499          (b) Notwithstanding Subsection (5)(a), the department may make a claim against a
             9500      bond posted by a liquor warehouser licensee for money owed the department under this title
             9501      without the commission first revoking the liquor warehousing license.
             9502          Section 318. Section 32B-12-301 is enacted to read:
             9503     
Part 3. Operational Requirements for Liquor Warehousing License

             9504          32B-12-301. General operational requirements for liquor warehousing license.
             9505          (1) (a) A liquor warehouser licensee and staff of the liquor warehouser licensee shall
             9506      comply with this title and the rules of the commission.
             9507          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             9508      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             9509          (i) a liquor warehouser licensee;
             9510          (ii) individual staff of a liquor warehouser licensee; or
             9511          (iii) both a liquor warehouser licensee and staff of the liquor warehouser licensee.
             9512          (2) (a) A liquor warehouser licensee shall make and maintain records required by the
             9513      department.
             9514          (b) Section 32B-1-205 applies to a record required to be made or maintained in
             9515      accordance with this Subsection (2).
             9516          (3) A liquor warehousing license may not be transferred from one location to another
             9517      location, without prior written approval of the commission.
             9518          (4) (a) A liquor warehouser licensee may not sell, transfer, assign, exchange, barter,
             9519      give, or attempt in any way to dispose of the license to another person, whether for monetary
             9520      gain or not.
             9521          (b) A liquor warehousing license has no monetary value for any type of disposition.


             9522          (5) A liquor warehouser licensee may not employ a minor to handle an alcoholic
             9523      product.
             9524          (6) Liquor that is warehoused in this state and sold to an out-of-state consignee, may
             9525      be transported out of the state only by a motor carrier regulated under Title 72, Chapter 9,
             9526      Motor Carrier Safety Act.
             9527          (7) Liquor that is warehoused in this state and sold to the department may be
             9528      transported only by a motor carrier approved by the department.
             9529          (8) Liquor transported to or from a liquor warehouser licensee's licensed premises shall
             9530      be carried in a sealed conveyance that is made available for inspection by the department
             9531      while en route within the state.
             9532          (9) A liquor warehouser licensee may not ship, convey, distribute, or remove liquor
             9533      from a warehouse in less than a full case lot.
             9534          (10) A liquor warehouser licensee may not ship, convey, distribute, or remove liquor
             9535      from a warehouse to a consignee outside the state that is not licensed as a liquor wholesaler or
             9536      retailer by the state in which the consignee is domiciled.
             9537          (11) A liquor warehouser licensee may not receive, warehouse, distribute, transport,
             9538      ship, or convey liquor that the commission has not authorized the liquor warehouser licensee
             9539      to handle through its warehouse.
             9540          (12) The commission may prescribe by policy or rule, consistent with this title, the
             9541      general operational requirements of licensees relating to:
             9542          (a) physical facilities;
             9543          (b) conditions of storage, distribution, or transport of liquor; and
             9544          (c) other matters considered appropriate by the commission.
             9545          Section 319. Section 32B-12-302 is enacted to read:
             9546          32B-12-302. Notifying the department of change in ownership.
             9547          The commission may suspend or revoke a liquor warehousing license if a liquor
             9548      warehouser licensee does not immediately notify the department of a change in:
             9549          (1) ownership of the liquor warehouser licensee;


             9550          (2) for a corporate owner, the:
             9551          (a) corporate officers or directors; or
             9552          (b) shareholders holding at least 20% of the total issued and outstanding stock of the
             9553      corporation; or
             9554          (3) for a limited liability company:
             9555          (a) managers; or
             9556          (b) members owning at least 20% of the limited liability company.
             9557          Section 320. Section 32B-13-101 is enacted to read:
             9558     
CHAPTER 13. BEER WHOLESALING LICENSE ACT

             9559     
Part 1. General Provisions

             9560          32B-13-101. Title.
             9561          This chapter is known as the "Beer Wholesaling License Act."
             9562          Section 321. Section 32B-13-102 is enacted to read:
             9563          32B-13-102. Definitions.
             9564          Reserved
             9565          Section 322. Section 32B-13-201 is enacted to read:
             9566     
Part 2. Beer Wholesaling License Process

             9567          32B-13-201. Commission's power to issue beer wholesaling license.
             9568          (1) Before a person may purchase, store, sell, offer for sale, distribute, or import beer
             9569      to a person who sells at retail or acts in any way as a beer wholesaler, the person shall first
             9570      obtain a beer wholesaling license issued by the commission in accordance with this chapter.
             9571          (2) (a) The commission may issue a beer wholesaling license for the purchase, storage,
             9572      sale, distribution, transportation, and import of beer.
             9573          (b) A beer wholesaling license entitles the beer wholesaler licensee to:
             9574          (i) purchase and import beer into the state;
             9575          (ii) store beer in an approved warehouse; and
             9576          (iii) sell and distribute beer directly to:
             9577          (A) a beer retailer; or


             9578          (B) an event permittee.
             9579          (c) A violation of Subsection (2)(a) is a class A misdemeanor.
             9580          (3) Nothing in this section precludes a small brewer from selling beer the small brewer
             9581      manufactures directly to:
             9582          (a) a retail licensee;
             9583          (b) an off-premise beer retailer; or
             9584          (c) an event permittee.
             9585          Section 323. Section 32B-13-202 is enacted to read:
             9586          32B-13-202. Application requirements for beer wholesaling license.
             9587          To obtain a beer wholesaling license, a person shall submit to the department:
             9588          (1) a written application in a form prescribed by the department;
             9589          (2) a nonrefundable $250 application fee;
             9590          (3) an initial license fee of $2,000 that is refundable if a beer wholesaling license is
             9591      not issued;
             9592          (4) written consent of the local authority;
             9593          (5) a copy of the person's current business license;
             9594          (6) a bond as specified in Section 32B-13-206 ;
             9595          (7) a statement of the brands of beer the person is authorized to sell and distribute;
             9596          (8) a statement of the geographical areas in which the person is authorized by the beer
             9597      manufacturer to sell and distribute beer;
             9598          (9) evidence that the person is carrying public liability insurance in an amount and
             9599      form satisfactory to the department;
             9600          (10) a signed consent form stating that the beer wholesaling licensee will permit any
             9601      authorized representative of the commission, department, or any law enforcement officer to
             9602      have unrestricted right to enter the licensed premises;
             9603          (11) if the person is an entity, proper verification evidencing that a person who signs
             9604      the application is authorized to sign on behalf of the entity; and
             9605          (12) any other information that the commission or department may require.


             9606          Section 324. Section 32B-13-203 is enacted to read:
             9607          32B-13-203. Renewal requirements for beer wholesaling license.
             9608          (1) A beer wholesaling license expires on December 31 of each year.
             9609          (2) To renew a beer wholesaling license, a person shall submit to the department by no
             9610      later than November 30 of the year the license expires:
             9611          (a) a completed renewal application in a form prescribed by the department; and
             9612          (b) a renewal fee in the following amount:
             9613      Case Sales in Previous License Year for the Licensee            Renewal Fee
             9614          under 500,000 cases                            $1,000
             9615          equals or exceeds 500,000 cases but less than 1,000,000 cases    $2,000
             9616          equals or exceeds 1,000,000 cases                    $3,000.
             9617          (3) Failure to meet the renewal requirements results in an automatic forfeiture of the
             9618      beer wholesaling license effective on the date the existing beer wholesaling license expires.
             9619          Section 325. Section 32B-13-204 is enacted to read:
             9620          32B-13-204. Specific qualifications for beer wholesaling license.
             9621          (1) The commission may not issue a beer wholesaling license to a person who:
             9622          (a) is disqualified under Section 32B-1-304 ; or
             9623          (b) does not meet any applicable federal requirement for beer wholesaling.
             9624          (2) (a) The commission may not issue one of the following licenses to a beer
             9625      wholesaler licensee simultaneously with the beer wholesaling license, and a beer wholesaler
             9626      licensee may not, directly or indirectly, hold, through a wholly or partially owned subsidiary or
             9627      otherwise, one of the following licenses:
             9628          (i) a brewery manufacturing license; or
             9629          (ii) a beer retailer license.
             9630          (b) The commission may not issue to a beer retailer, and a beer retailer, directly or
             9631      indirectly, may not hold, through a wholly or partially owned subsidiary or otherwise, a beer
             9632      wholesaling license.
             9633          (3) If a person to whom a beer wholesaling license is issued under this chapter no


             9634      longer possesses the qualifications required by this title for obtaining that beer wholesaling
             9635      license, the commission may suspend or revoke that beer wholesaling license.
             9636          Section 326. Section 32B-13-205 is enacted to read:
             9637          32B-13-205. Commission and department duties before issuing beer wholesaling
             9638      license.
             9639          (1) (a) Before the commission may issue a beer wholesaling license, the department
             9640      shall conduct an investigation and may hold public hearings to gather information and make
             9641      recommendations to the commission as to whether a beer wholesaling license should be
             9642      issued.
             9643          (b) The department shall forward the information and recommendations described in
             9644      Subsection (1)(a) to the commission to aid in the commission's determination.
             9645          (2) Before issuing a beer wholesaling license, the commission shall:
             9646          (a) determine that the person filed a complete application and is in compliance with
             9647      Sections 32B-13-202 and 32B-13-204 ;
             9648          (b) determine that the person is not disqualified under Section 32B-1-304 ;
             9649          (c) consider the physical characteristics of the licensed premises where it is proposed
             9650      that beer be stored by the person, such as:
             9651          (i) location;
             9652          (ii) proximity to transportation; and
             9653          (iii) condition, size, and security of the licensed premises;
             9654          (d) consider the person's ability to manage and operate a beer wholesaling operation,
             9655      including:
             9656          (i) management experience;
             9657          (ii) past wholesaling experience;
             9658          (iii) the brands the person intends to wholesale; and
             9659          (iv) the means the person intends to use to distribute beer; and
             9660          (e) consider any other factor that the commission considers necessary.
             9661          Section 327. Section 32B-13-206 is enacted to read:


             9662          32B-13-206. Bond for a beer wholesaling license.
             9663          (1) (a) A beer wholesaler licensee shall post a cash bond or surety bond in the penal
             9664      sum of $10,000 payable to the department.
             9665          (b) A beer wholesaler licensee shall procure and maintain a bond required by this
             9666      section for as long as the beer wholesaler licensee continues to operate as a beer wholesaler
             9667      licensee.
             9668          (2) A bond posted under this section shall be:
             9669          (a) in a form approved by the attorney general; and
             9670          (b) conditioned upon a beer wholesaler licensee's faithful compliance with this title
             9671      and the rules of the commission.
             9672          (3) If a surety bond posted by a beer wholesaler licensee under this section is canceled
             9673      due to a beer wholesaler licensee's negligence, the department may assess a $300 reinstatement
             9674      fee.
             9675          (4) No part of a bond posted under this section may be withdrawn during the period
             9676      the beer wholesaling license is in effect.
             9677          (5) (a) A bond posted under this section by a beer wholesaler licensee may be forfeited
             9678      if the beer wholesaling license is revoked.
             9679          (b) Notwithstanding Subsection (5)(a), the department may make a claim against a
             9680      bond posted by a beer wholesaler licensee for money owed the department under this title
             9681      without the commission first revoking the beer wholesaling license.
             9682          Section 328. Section 32B-13-301 is enacted to read:
             9683     
Part 3. Operational Requirements for Beer Wholesaling License

             9684          32B-13-301. General operational requirements for beer wholesaling license.
             9685          (1) (a) A beer wholesaler licensee and staff of the beer wholesaler licensee shall
             9686      comply with this title and the rules of the commission.
             9687          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             9688      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             9689          (i) a beer wholesaler licensee;


             9690          (ii) individual staff of a beer wholesaler licensee; or
             9691          (iii) both a beer wholesaler licensee and staff of the beer wholesaler licensee.
             9692          (2) (a) A beer wholesaler licensee shall make and maintain the records required by the
             9693      department.
             9694          (b) Section 32B-1-205 applies to a record required to be made or maintained in
             9695      accordance with this Subsection (2).
             9696          (3) A beer wholesaler licensee may not employ a minor to handle an alcoholic product.
             9697          (4) A beer wholesaler licensee may not sell, transfer, assign, exchange, barter, give, or
             9698      attempt in any way to dispose of the beer wholesaling license to a person, whether for
             9699      monetary gain or not, unless it is done:
             9700          (a) in accordance with the commission rules; and
             9701          (b) after written consent is given by the commission.
             9702          (5) A beer wholesaler licensee may not wholesale a beer manufactured within the state
             9703      by a brewer who is not licensed by the commission as a brewery manufacturing licensee.
             9704          (6) A beer wholesaler licensee may not wholesale a beer manufactured out of state by
             9705      a brewer who has not obtained a certificate of approval from the department.
             9706          (7) (a) A beer wholesaler licensee may not sell or distribute beer to a person within the
             9707      state except to:
             9708          (i) a retail licensee;
             9709          (ii) an off-premise beer retailer; or
             9710          (iii) an event permittee.
             9711          (b) A violation of this Subsection (7) is a class A misdemeanor.
             9712          (8) (a) A beer wholesaler licensee may not sell or distribute a beer to a person who
             9713      sells the beer at retail outside of the geographic area designated on its application, except that
             9714      if a beer wholesaler licensee is temporarily unable to supply a person within the beer
             9715      wholesaler licensee's authorized geographical area, the department may grant temporary
             9716      authority to another beer wholesaler licensee who distributes the same brand in another area to
             9717      supply:


             9718          (i) a retail licensee; or
             9719          (ii) an off-premise beer retailer.
             9720          (b) A violation of this Subsection (8) is a class B misdemeanor.
             9721          (9) (a) A beer wholesaler licensee shall own, lease, or otherwise control and maintain a
             9722      warehouse facility located in this state for the receipt, storage, and further distribution of beer
             9723      sold by the beer wholesaler licensee to a person within the state.
             9724          (b) A beer wholesaler licensee may not sell beer to a person in this state, other than the
             9725      department, unless the beer is first:
             9726          (i) physically removed from the vehicle used to transport the beer from the supplier to
             9727      the beer wholesaler licensee; and
             9728          (ii) delivered into the actual possession and control of the beer wholesaler licensee in
             9729      its warehouse or other facility.
             9730          (10) A beer wholesaler licensee may not sell or distribute an alcoholic product that has
             9731      not had its label and packaging approved by the department in accordance with Chapter 1,
             9732      Part 6, Malted Beverage Act.
             9733          (11) The commission may prescribe by policy or rule, consistent with this title, the
             9734      general operational requirements of a beer wholesaling licensee relating to:
             9735          (a) physical facilities; and
             9736          (b) the conditions of importation, purchase, storage, sale, offering for sale,
             9737      distribution, or transportation of beer within the state.
             9738          Section 329. Section 32B-13-302 is enacted to read:
             9739          32B-13-302. Notifying the department of a change of ownership.
             9740          The commission may suspend or revoke a beer wholesaling license if a beer wholesaler
             9741      licensee does not immediately notify the department of change in:
             9742          (1) ownership of the beer wholesaler licensee;
             9743          (2) for a corporate owner, the:
             9744          (a) corporate officers or directors; or
             9745          (b) shareholders holding at least 20% of the total issued and outstanding stock of the


             9746      corporation; or
             9747          (3) for a limited liability company:
             9748          (a) managers; or
             9749          (b) members owning at least 20% of the limited liability company.
             9750          Section 330. Section 32B-14-101 is enacted to read:
             9751     
CHAPTER 14. UTAH BEER INDUSTRY DISTRIBUTION ACT

             9752     
Part 1. General Provisions

             9753          32B-14-101. Title -- Legislative intent.
             9754          (1) This chapter is known as the "Utah Beer Industry Distribution Act."
             9755          (2) (a) It is the policy of the Legislature to regulate and control the importation, sale,
             9756      and distribution of beer within the state in the exercise of its powers under the Twenty-first
             9757      Amendment to the Constitution of the United States and pursuant to the Utah Constitution.
             9758          (b) In furtherance of the policy described in Subsection (2)(a), this chapter is enacted
             9759      to:
             9760          (i) promote good faith and fair dealing in the business relationships between suppliers,
             9761      wholesalers, and retailers of beer; and
             9762          (ii) provide for the establishment and maintenance of an orderly system for the
             9763      distribution of beer in accordance with the laws of the state regulating the sale and distribution
             9764      of beer to the public.
             9765          Section 331. Section 32B-14-102 is enacted to read:
             9766          32B-14-102. Definitions.
             9767          As used in this chapter:
             9768          (1) "Affected party" means a supplier or wholesaler who is a party to a distributorship
             9769      agreement that a terminating party seeks to terminate or not renew.
             9770          (2) (a) "Distributorship agreement" means a written agreement between a supplier and
             9771      a wholesaler pursuant to which the wholesaler has the right to purchase, resell, and distribute
             9772      in a designated geographical area any brand of beer manufactured, imported, or distributed by
             9773      the supplier.


             9774          (b) For purposes of this chapter, a separate agreement between a supplier and a
             9775      wholesaler is considered to be part of a distributorship agreement if it relates to:
             9776          (i) the relationship between the supplier and the wholesaler; or
             9777          (ii) the duties of either the supplier or the wholesaler under a distributorship
             9778      agreement.
             9779          (3) "Good cause" means the material failure by a supplier or a wholesaler to comply
             9780      with an essential, reasonable, and lawful requirement imposed by a distributorship agreement
             9781      if the failure occurs after the supplier or wholesaler acting in good faith provides notice of
             9782      deficiency and an opportunity to correct in accordance with Part 2, Termination.
             9783          (4) "Good faith" is as defined in Subsection 70A-1a-201 (2)(t).
             9784          (5) "Retailer" means a beer retailer.
             9785          (6) "Sales territory" means the geographic area of distribution and sale responsibility
             9786      designated by a distributorship agreement.
             9787          (7) "Supplier," notwithstanding Section 32B-1-102 , means a brewer or other person
             9788      who sells beer to a wholesaler for resale in this state.
             9789          (8) "Terminating party" means a supplier or wholesaler who:
             9790          (a) is a party to a distributorship agreement; and
             9791          (b) seeks to terminate or not renew the distributorship agreement.
             9792          Section 332. Section 32B-14-103 is enacted to read:
             9793          32B-14-103. Modifying statutory requirements not permitted.
             9794          (1) Nothing in this chapter is intended to restrict the right of a supplier to contractually
             9795      require its wholesaler to comply with the supplier's operational standards of performance that
             9796      are:
             9797          (a) consistent with this chapter; and
             9798          (b) uniformly established for its wholesalers according to the supplier's good faith
             9799      business judgment.
             9800          (2) Notwithstanding Subsection (1), the requirements of this chapter may not be
             9801      modified by agreement.


             9802          (3) An agreement that by its terms modifies the requirements of this chapter is void
             9803      and unenforceable to the extent it attempts to modify the requirements of this chapter.
             9804          Section 333. Section 32B-14-201 is enacted to read:
             9805     
Part 2. Termination

             9806          32B-14-201. Termination of distributorship agreements.
             9807          (1) Except as provided in Subsection (2) or (3), a supplier or wholesaler may not:
             9808          (a) terminate a distributorship agreement; or
             9809          (b) fail to renew a distributorship agreement.
             9810          (2) A supplier or wholesaler may take an action prohibited by Subsection (1) if:
             9811          (a) the supplier or wholesaler has good cause for the action; and
             9812          (b) if notification is required by Section 32B-14-202 :
             9813          (i) the terminating party provides the affected party prior notification in accordance
             9814      with Section 32B-14-202 ; and
             9815          (ii) the affected party has not eliminated the reasons specified in the notification as the
             9816      reasons for the action within 90 days after the date the notification is mailed in accordance
             9817      with Section 32B-14-202 .
             9818          (3) A supplier may take an action prohibited by Subsection (1) if:
             9819          (a) the supplier gives the wholesaler 30 days written notice before termination or
             9820      nonrenewal;
             9821          (b) the supplier discontinues production or discontinues distribution throughout the
             9822      state of all brands of beer sold by the supplier to the wholesaler; and
             9823          (c) the termination or nonrenewal does not violate the distributorship agreement.
             9824          Section 334. Section 32B-14-202 is enacted to read:
             9825          32B-14-202. Notice of termination.
             9826          (1) Except as provided in Subsection (3), a terminating party may not take an action
             9827      described in Subsection 32B-14-201 (1) unless the terminating party provides prior notification
             9828      in accordance with Subsection (2) to the affected party.
             9829          (2) (a) A terminating party shall provide the notification required under Subsection


             9830      (1):
             9831          (i) in writing;
             9832          (ii) by registered mail, return receipt requested; and
             9833          (iii) to the affected party not less than 90 days before the date on which the
             9834      distributorship agreement will be terminated or not renewed.
             9835          (b) A terminating party shall state in the notification required under Subsection (1):
             9836          (i) the intention to terminate or not renew;
             9837          (ii) the reasons for the termination or nonrenewal; and
             9838          (iii) the date, not less than 90 days from the date of mailing, on which the termination
             9839      or nonrenewal shall take effect if the reasons for the action are not eliminated by that date.
             9840          (3) A supplier or wholesaler may take an action described in Subsection
             9841      32B-14-201 (1) without furnishing prior notification if:
             9842          (a) the affected party is insolvent, bankrupt, in dissolution, or in liquidation;
             9843          (b) the affected party makes an assignment for the benefit of creditors or similar
             9844      disposition of substantially all of the assets of the affected party's business; or
             9845          (c) the affected party or a person owning more than 10% of the stock or other
             9846      ownership interest in the affected party:
             9847          (i) is convicted of, pleads guilty to, or pleads no contest to a felony under federal law
             9848      or a law of this state that in the reasonable, good faith judgment of the terminating party
             9849      materially and adversely affects the good will or business of the terminating party;
             9850          (ii) has its license or permit revoked or suspended for a period of 31 days or more; or
             9851          (iii) engages in intentional fraudulent conduct in its dealings with the terminating
             9852      party that in the reasonable, good faith judgment of the terminating party materially and
             9853      adversely affects the good will or business of the terminating party.
             9854          (4) Notwithstanding Subsection (3)(c)(i), a supplier may not take an action under
             9855      Subsection (3)(c)(i) because of a conviction or plea by an owner of the affected party, if:
             9856          (a) any other approved owner of the affected party purchases the ownership interest of
             9857      the offending owner;


             9858          (b) the offending owner was not materially involved in the management of the affected
             9859      party; and
             9860          (c) the purchase described in Subsection (4)(a) is completed within 90 days after the
             9861      conviction or plea.
             9862          (5) Subsection (3)(c)(iii) does not apply to conduct by a non-owner employee or
             9863      representative of the affected party if the conduct occurred without the prior knowledge or
             9864      consent of an owner of the affected party.
             9865          Section 335. Section 32B-14-301 is enacted to read:
             9866     
Part 3. Operational Provisions

             9867          32B-14-301. Distributorship agreements in general.
             9868          A distributorship agreement may be for a definite or indefinite period.
             9869          Section 336. Section 32B-14-302 is enacted to read:
             9870          32B-14-302. Prohibited conduct of supplier.
             9871          (1) A supplier may not:
             9872          (a) induce or coerce, or attempt to induce or coerce, a wholesaler to engage in an
             9873      illegal act or course of conduct;
             9874          (b) impose a requirement that is discriminatory by its terms or in the methods of
             9875      enforcement as compared to requirements imposed by the supplier on similarly situated
             9876      wholesalers;
             9877          (c) prohibit a wholesaler from selling a product of another supplier;
             9878          (d) fix or maintain the price at which a wholesaler may resell beer;
             9879          (e) fail to execute with each wholesaler of its brands a written distributorship
             9880      agreement;
             9881          (f) require a wholesaler to accept delivery of beer or any other item that is not
             9882      voluntarily ordered by the wholesaler;
             9883          (g) restrict or inhibit, directly or indirectly, the right of a wholesaler to participate in
             9884      an organization representing interests of wholesalers for a lawful purpose;
             9885          (h) require a wholesaler to participate in or contribute to a local, regional, or national


             9886      advertising fund or other promotional activity that:
             9887          (i) is not used for an advertising or promotional activity in the wholesaler's sales
             9888      territory; or
             9889          (ii) would require a contribution by the wholesaler in excess of the amounts specified
             9890      in the distributorship agreement;
             9891          (i) retaliate against a wholesaler that files a complaint with the department or the
             9892      applicable federal agency regarding an alleged violation by the supplier of a state or federal
             9893      statute or administrative rule;
             9894          (j) require without good cause a change in the manager of a wholesaler who has
             9895      previously been approved by the supplier;
             9896          (k) if a wholesaler changes its approved manager, prohibit the change unless the new
             9897      manager fails to meet the reasonable standards for similarly situated wholesalers of the
             9898      supplier as stated in the distributorship agreement; or
             9899          (l) refuse to deliver a beer product covered by a distributorship agreement to the
             9900      wholesaler:
             9901          (i) in a reasonable quantity; and
             9902          (ii) within a reasonable time after receipt of the wholesaler's order.
             9903          (2) Notwithstanding Subsection (1)(l), the supplier may refuse to deliver a beer
             9904      product if the refusal is due to:
             9905          (a) the wholesaler's failure to pay the supplier pursuant to the distributorship
             9906      agreement;
             9907          (b) an unforeseeable event beyond the supplier's control;
             9908          (c) a work stoppage or delay due to a strike or labor problem;
             9909          (d) a bona fide shortage of materials; or
             9910          (e) a freight embargo.
             9911          Section 337. Section 32B-14-303 is enacted to read:
             9912          32B-14-303. Prohibited conduct of wholesaler.
             9913          (1) A wholesaler may not:


             9914          (a) induce or coerce, or attempt to induce or coerce, a retailer to engage in an illegal
             9915      act or course of conduct;
             9916          (b) impose a requirement that is discriminatory by its terms or in the methods of
             9917      enforcement as compared to requirements imposed by the wholesaler on similarly situated
             9918      retailers;
             9919          (c) prohibit a retailer from selling a product of another wholesaler;
             9920          (d) fix or maintain the price at which a retailer may resell beer;
             9921          (e) require a retailer to accept delivery of beer or any other item that is not voluntarily
             9922      ordered by the retailer;
             9923          (f) restrict or inhibit, directly or indirectly, the right of a retailer to participate in an
             9924      organization representing interests of retailers for a lawful purpose;
             9925          (g) require a retailer to participate in or contribute to a local, regional, or national
             9926      advertising fund or other promotional activity;
             9927          (h) retaliate against a retailer that files a complaint with the department or the
             9928      applicable federal agency regarding an alleged violation by the wholesaler of a state or federal
             9929      statute or administrative rule; and
             9930          (i) refuse to deliver a beer product carried by the wholesaler to a properly licensed
             9931      retailer who resides within the wholesaler's sales territory:
             9932          (i) in a reasonable quantity; and
             9933          (ii) within a reasonable time after receipt of the retailer's order.
             9934          (2) Notwithstanding Subsection (1)(i), the wholesaler may refuse to deliver a beer
             9935      product if the refusal is due to:
             9936          (a) the retailer's failure to pay the wholesaler pursuant to Subsection 32B-4-704 (6);
             9937          (b) an unforeseeable event beyond the wholesaler's control;
             9938          (c) a work stoppage or delay due to a strike or labor problem;
             9939          (d) a bona fide shortage of materials; or
             9940          (e) a freight embargo.
             9941          Section 338. Section 32B-14-304 is enacted to read:


             9942          32B-14-304. Sale or transfer of business assets or ownership.
             9943          (1) Without the prior written approval of a sale or transfer by the supplier:
             9944          (a) a wholesaler may not sell or transfer its business, or any portion of its business,
             9945      including the distributorship agreement, to a successor in interest; and
             9946          (b) the owner of an interest in a wholesaler may not sell or transfer all or part of the
             9947      owner's interest in the wholesaler to a successor in interest.
             9948          (2) A supplier may not unreasonably withhold or delay its approval of a sale or
             9949      transfer, including the wholesaler's rights and obligations under the terms of the
             9950      distributorship agreement, if the person to be substituted meets reasonable standards that are
             9951      imposed:
             9952          (a) by the supplier pursuant to the distributorship agreement; and
             9953          (b) on other wholesalers of that supplier of the same general class, taking into account
             9954      the size and location of the sales territory and market to be served.
             9955          (3) Notwithstanding Subsection (1), a wholesaler may not violate Subsection
             9956      32B-13-301 (8).
             9957          Section 339. Section 32B-14-305 is enacted to read:
             9958          32B-14-305. Sale or transfer of supplier's business.
             9959          (1) (a) For purposes of this section, "successor" means a supplier who obtains a
             9960      distribution right of a brand that a wholesaler distributes in this state pursuant to a
             9961      distributorship agreement with another supplier who previously had the distribution rights of
             9962      the brand.
             9963          (b) For purposes of Subsection (1)(a), the successor may obtain a distribution right:
             9964          (i) by any means, including:
             9965          (A) merger;
             9966          (B) purchase of corporate shares; or
             9967          (C) purchase of assets; and
             9968          (ii) from:
             9969          (A) a supplier; or


             9970          (B) a person acting in an official capacity who is not a supplier including a nominee,
             9971      representative, or fiduciary.
             9972          (2) (a) A successor to a supplier that acquires a supplier's product or brand in this state
             9973      is bound by the terms and conditions of each distributorship agreement with a wholesaler in
             9974      this state that was in effect on the date on which the successor receives the assets or rights of
             9975      the previous supplier.
             9976          (b) Notwithstanding Subsection (2)(a), if the requirements of Subsection (2)(c) are
             9977      met, a successor may contractually require the wholesaler to:
             9978          (i) execute a new distributorship agreement; and
             9979          (ii) comply with the successor's operational standards of performance.
             9980          (c) A successor may impose a requirement under Subsection (2)(b) if:
             9981          (i) the operational standards of performance being required are consistent with this
             9982      chapter;
             9983          (ii) the operational standards of performance being required are uniformly imposed by
             9984      the successor on similarly situated wholesalers; and
             9985          (iii) the successor provides the wholesaler at least one year to:
             9986          (A) execute a new distributorship agreement; and
             9987          (B) comply with the operational standards of performance.
             9988          Section 340. Section 32B-14-401 is enacted to read:
             9989     
Part 4. Remedies

             9990          32B-14-401. Reasonable compensation -- Arbitration.
             9991          (1) (a) If a supplier violates Section 32B-14-201 or 32B-14-304 , the supplier is liable
             9992      to the wholesaler for the sum of:
             9993          (i) the laid-in cost of inventory of the affected brands; and
             9994          (ii) any diminution in the fair market value of the wholesaler's business with relation
             9995      to an affected brand.
             9996          (b) In determining fair market value, consideration shall be given to all elements of
             9997      value, including good will and going concern value.


             9998          (2) (a) A distributorship agreement may require that any or all disputes between a
             9999      supplier and a wholesaler be submitted to binding arbitration.
             10000          (b) In the absence of an applicable arbitration provision in a distributorship agreement,
             10001      either the supplier or the wholesaler may request arbitration if a supplier and a wholesaler are
             10002      unable to mutually agree on:
             10003          (i) whether good cause exists for termination or nonrenewal;
             10004          (ii) whether the supplier unreasonably withheld approval of a sale or transfer under
             10005      Section 32B-14-304 ; or
             10006          (iii) the reasonable compensation to be paid for the value of the wholesaler's business
             10007      in accordance with Subsection (1).
             10008          (c) If a supplier or wholesaler requests arbitration under Subsection (2)(b) and the
             10009      other party agrees to submit the matter to arbitration, an arbitration panel shall be created with
             10010      the following members:
             10011          (i) one member selected by the supplier in a writing delivered to the wholesaler within
             10012      10 business days of the date arbitration was requested under Subsection (2)(b);
             10013          (ii) one member selected by the wholesaler in a writing delivered to the supplier within
             10014      10 business days of the date arbitration was requested under Subsection (2)(b); and
             10015          (iii) one member selected by the two arbitrators appointed under Subsections (2)(c)(i)
             10016      and (ii).
             10017          (d) If the arbitrators fail to choose a third arbitrator under Subsection (2)(c)(iii) within
             10018      10 business days of the day on which the arbitrators under Subsections (2)(c)(i) and (ii) are
             10019      selected, a judge of a district court in the county in which the wholesaler's principal place of
             10020      business is located shall select the third arbitrator.
             10021          (e) Arbitration costs shall be divided equally between the wholesaler and the supplier.
             10022          (f) The award of the arbitration panel is binding on the parties unless appealed within
             10023      20 days from the date of the award.
             10024          (g) Subject to the requirements of this chapter, arbitration and a proceeding on appeal
             10025      are governed by Title 78B, Chapter 11, Utah Uniform Arbitration Act.


             10026          Section 341. Section 32B-14-402 is enacted to read:
             10027          32B-14-402. Judicial remedies.
             10028          (1) A supplier or wholesaler who is a party to a distributorship agreement may
             10029      maintain a civil action against the supplier or wholesaler in a court of competent jurisdiction
             10030      in the county in which the wholesaler's principal place of business is located if:
             10031          (a) the supplier or wholesaler violates this chapter; or
             10032          (b) (i) the supplier and wholesaler are not able to mutually agree on reasonable
             10033      compensation under Section 32B-14-401 ; and
             10034          (ii) the parties do not agree to submit the matter to arbitration in accordance with
             10035      Section 32B-14-401 before or within 20 days following service of process on the electing
             10036      party in the civil action.
             10037          (2) (a) The prevailing party in an action under Subsection (1) shall recover:
             10038          (i) actual damages, including the value of the wholesaler's business as specified in
             10039      Section 32B-14-401 if applicable; and
             10040          (ii) reasonable attorney fees and court costs.
             10041          (b) In addition to the amount awarded under Subsection (2)(a), the court may grant
             10042      such relief in law or equity as the court determines to be necessary or appropriate considering
             10043      the purposes of this chapter.
             10044          (3) If either party elects arbitration under Subsection (1)(b)(ii) following service of
             10045      process, the civil action is stayed pending a decision by the arbitration panel.
             10046          Section 342. Section 32B-15-101 is enacted to read:
             10047     
CHAPTER 15. ALCOHOLIC PRODUCT LIABILITY ACT

             10048     
Part 1. General Provisions

             10049          32B-15-101. Title.
             10050          This chapter is known as the "Alcoholic Product Liability Act."
             10051          Section 343. Section 32B-15-102 is enacted to read:
             10052          32B-15-102. Definitions.
             10053          As used in this chapter:


             10054          (1) "Death of a third person" includes recovery for all damages, special and general,
             10055      resulting from the death, except punitive damages.
             10056          (2) (a) "Injury" includes injury in person, property, or means of support.
             10057          (b) "Injury" also includes recovery for intangibles such as:
             10058          (i) mental and emotional injuries;
             10059          (ii) loss of affection; and
             10060          (iii) loss of companionship.
             10061          Section 344. Section 32B-15-201 is enacted to read:
             10062     
Part 2. Liability

             10063          32B-15-201. Liability for injuries and damage resulting from distribution of
             10064      alcoholic products.
             10065          (1) (a) Except as provided in Subsections 32B-15-202 (2) and (3), a person described
             10066      in Subsection (1)(b) is liable for:
             10067          (i) any and all injury and damage, except punitive damages to:
             10068          (A) a third person; or
             10069          (B) the heir, as defined in Section 78B-3-105 , of that third person; or
             10070          (ii) the death of a third person.
             10071          (b) A person is liable under Subsection (1)(a) if:
             10072          (i) the person directly gives, sells, or otherwise provides an alcoholic product:
             10073          (A) to a person described in Subsection (1)(b)(ii); and
             10074          (B) as part of the commercial sale, storage, service, manufacture, distribution, or
             10075      consumption of an alcoholic product;
             10076          (ii) those actions cause the intoxication of:
             10077          (A) an individual under the age of 21 years;
             10078          (B) an individual who is apparently under the influence of intoxicating alcoholic
             10079      products or drugs;
             10080          (C) an individual whom the person furnishing the alcoholic product knew or should
             10081      have known from the circumstances was under the influence of intoxicating alcoholic products


             10082      or drugs; or
             10083          (D) an individual who is a known interdicted person; and
             10084          (iii) the injury or death described in Subsection (1)(a) results from the intoxication of
             10085      the individual who is provided the alcoholic product.
             10086          (2) (a) A person 21 years of age or older who is described in Subsection (2)(b) is liable
             10087      for:
             10088          (i) any and all injury and damage, except punitive damages to:
             10089          (A) a third person; or
             10090          (B) the heir, as defined in Section 78B-3-105 , of that third person; or
             10091          (ii) the death of the third person.
             10092          (b) A person is liable under Subsection (2)(a) if:
             10093          (i) that person directly gives or otherwise provides an alcoholic product to an
             10094      individual who the person knows or should have known is under the age of 21 years;
             10095          (ii) those actions caused the intoxication of the individual provided the alcoholic
             10096      product;
             10097          (iii) the injury or death described in Subsection (2)(a) results from the intoxication of
             10098      the individual who is provided the alcoholic product; and
             10099          (iv) the person is not liable under Subsection (1), because the person did not directly
             10100      give or provide the alcoholic product as part of the commercial sale, storage, service,
             10101      manufacture, distribution, or consumption of an alcoholic product.
             10102          (3) This section does not apply to a business licensed in accordance with Chapter 7,
             10103      Off-premise Beer Retailer Act, to sell beer at retail only for off-premise consumption.
             10104          Section 345. Section 32B-15-202 is enacted to read:
             10105          32B-15-202. Liability for employees -- Employee protected in exercising
             10106      judgment.
             10107          (1) (a) Except for a violation of Subsection 32B-15-201 (2), an employer is liable for
             10108      the actions of its staff in violation of this chapter.
             10109          (b) This Subsection (1) does not apply to a business licensed in accordance with


             10110      Chapter 7, Off-premise Beer Retailer Act, to sell beer at retail only for off-premise
             10111      consumption.
             10112          (2) An employer may not sanction or terminate the employment of individual staff of a
             10113      retail licensee or other establishment serving an alcoholic product as a result of the staff
             10114      having exercised the staff's independent judgment to refuse to sell an alcoholic product to a
             10115      person the staff considers to meet one or more of the conditions described in Subsection
             10116      32B-15-201 (1)(b).
             10117          (3) An employer who terminates an employee or imposes sanctions on the employee
             10118      contrary to this section is considered to have discriminated against that employee and is
             10119      subject to the conditions and penalties set forth in Title 34A, Chapter 5, Utah
             10120      Antidiscrimination Act.
             10121          Section 346. Section 32B-15-203 is enacted to read:
             10122          32B-15-203. Governmental immunity.
             10123          This title does not create civil liability on the part of the following arising out of one of
             10124      the following's actions in regulating, controlling, authorizing, or otherwise being involved in
             10125      the sale or other distribution of an alcoholic product:
             10126          (1) the state;
             10127          (2) a state agency;
             10128          (3) a state employee;
             10129          (4) the commission;
             10130          (5) the department; or
             10131          (6) a political subdivision.
             10132          Section 347. Section 32B-15-301 is enacted to read:
             10133     
Part 3. Civil Action

             10134          32B-15-301. Cause of action -- Statute of limitations.
             10135          (1) (a) A person who suffers an injury under Subsection 32B-15-201 has a cause of
             10136      action against the person who provided the alcoholic product in violation of Section
             10137      32B-15-201 .


             10138          (b) If a person having rights or liabilities under this chapter dies, the rights or
             10139      liabilities provided by this chapter survive to or against that person's estate.
             10140          (2) The total amount that may be awarded to any person pursuant to a cause of action
             10141      for injury and damage under this chapter that arises after January 1, 2010, is limited to
             10142      $1,000,000 and the aggregate amount which may be awarded to all persons injured as a result
             10143      of one occurrence is limited to $2,000,000.
             10144          (3) An action based upon a cause of action under this chapter shall be commenced
             10145      within two years after the date of the injury and damage.
             10146          (4) (a) Nothing in this chapter precludes any cause of action or additional recovery
             10147      against the person causing the injury.
             10148          (b) A cause of action or additional recovery against the person causing the injury and
             10149      damage, which action is not brought under this chapter, is exempt from the damage cap in
             10150      Subsection (2).
             10151          (c) A cause of action brought under this chapter is exempt from Sections 78B-5-817
             10152      through 78B-5-823 .
             10153          (5) This section does not apply to a business licensed in accordance with Chapter 7,
             10154      Off-premise Beer Retailer Act, to sell beer at retail only for off-premise consumption.
             10155          Section 348. Section 32B-15-302 is enacted to read:
             10156          32B-15-302. Action for contribution by provider of an alcoholic product.
             10157          (1) (a) Except as provided in Subsections (2) and (3), a person, as defined under
             10158      Section 32B-15-201 or Subsection 32B-15-202 (1), against whom an award is made under this
             10159      chapter, may bring a separate cause of action for contribution against any person causing the
             10160      injury and damage.
             10161          (b) The maximum amount for which a person causing the injury and damage may be
             10162      liable to a person seeking contribution is that percentage or proportion of the damages
             10163      equivalent to the percentage or proportion of fault attributed to that person causing the injury
             10164      and damage.
             10165          (2) This action for contribution under this section may not be brought against:


             10166          (a) a person entitled to recovery as described in Subsection 32B-15-201 (1)(a)(i) or (ii);
             10167      or
             10168          (b) a person entitled to recover as described in Subsection 32B-15-201 (2)(a)(i) or (ii).
             10169          (3) An action for contribution under this section may not diminish the amount of
             10170      recovery for injury or damages awarded and received to a person entitled to recover as
             10171      described in Subsection 32B-15-201 (1)(a)(i) or (ii) or 32B-15-201 (2)(a)(i) or (ii):
             10172          (a) in a cause of action brought under this chapter; or
             10173          (b) in a separate cause of action for injury and damage that is not brought under this
             10174      chapter.
             10175          Section 349. Section 32B-16-101 is enacted to read:
             10176     
CHAPTER 16. MINOR LIABILITY ACT

             10177     
Part 1. General Provisions

             10178          32B-16-101. Title.
             10179          This chapter is known as the "Minor Liability Act."
             10180          Section 350. Section 32B-16-102 is enacted to read:
             10181          32B-16-102. Definitions.
             10182          As used in this chapter:
             10183          (1) "Applicable fine" means the sum of the following imposed or assessed under this
             10184      title by the commission for a violation related to a minor:
             10185          (a) a fine; and
             10186          (b) administrative costs of a disciplinary proceeding.
             10187          (2) "Violation related to a minor" means a violation under this title:
             10188          (a) that is, in whole or in part, based on a retail licensee, or staff of the retail licensee:
             10189          (i) selling, offering for sale, or furnishing an alcoholic product to a minor;
             10190          (ii) purchasing or otherwise obtaining an alcoholic product for a minor;
             10191          (iii) permitting a minor to consume an alcoholic product;
             10192          (iv) permitting a minor to gain admittance to an area into which a minor is not
             10193      permitted under this title; or


             10194          (v) offering or providing employment to a minor that under this title may not be
             10195      obtained by a minor; and
             10196          (b) if as part of the violation the minor uses proof of age in violation of Chapter 1, Part
             10197      4, Proof of Age Act.
             10198          Section 351. Section 32B-16-201 is enacted to read:
             10199     
Part 2. Liability to Retail Licensee

             10200          32B-16-201. Liability related to applicable fine.
             10201          (1) A minor is liable to a retail licensee in an amount described in Subsection (2) if:
             10202          (a) the commission imposes an applicable fine against the retail licensee on the basis
             10203      of a violation related to a minor; and
             10204          (b) the minor, as part of the minor's involvement in the violation described in
             10205      Subsection (1)(a), uses proof of age in violation of Chapter 1, Part 4, Proof of Age Act.
             10206          (2) If the conditions of Subsection (1) are met, a minor is liable to a retail licensee for
             10207      an amount equal to the sum of:
             10208          (a) one-half of the amount of the applicable fine imposed against the retail licensee;
             10209      and
             10210          (b) the costs and attorney fees incurred by the retail licensee under Section
             10211      32B-16-301 to collect the amount owed under this section.
             10212          Section 352. Section 32B-16-301 is enacted to read:
             10213     
Part 3. Civil Action

             10214          32B-16-301. Bringing an action.
             10215          (1) Subject to the other provisions of this section, a retail licensee to whom a minor is
             10216      liable under Section 32B-16-201 may bring an action in a court of competent jurisdiction to
             10217      collect the amount described in Section 32B-16-201 .
             10218          (2) The action allowed under this section may be brought against:
             10219          (a) the minor; or
             10220          (b) if the minor is less than 18 years of age, a parent or guardian of the minor.
             10221          (3) An action under this chapter may not be commenced more than two years after the


             10222      day on which the applicable fine is imposed by the commission.
             10223          (4) Nothing in this chapter precludes a cause of action or additional recovery against a
             10224      minor under law other than this chapter.
             10225          (5) Notwithstanding the other provisions of this part:
             10226          (a) the state or an agency of the state is not liable under this part when a state agency
             10227      has legal or protective custody of, or has guardianship of a minor at the time:
             10228          (i) the minor engages in conduct with regard to a violation related to a minor; or
             10229          (ii) an applicable fine is imposed on the retail licensee by the commission; and
             10230          (b) a retail licensee may not bring an action against the state or an agency of the state
             10231      under the circumstances described in Subsection (5)(a).
             10232          Section 353. Section 32B-16-302 is enacted to read:
             10233          32B-16-302. Action for contribution.
             10234          (1) (a) Subject to Subsections (2) and (3), a minor liable under Section 32B-16-201
             10235      against whom an award is made under this chapter, may bring a separate cause of action for
             10236      contribution against a person causing the liability under Section 32B-16-201 .
             10237          (b) The maximum amount for which a person described in Subsection (1)(a) may be
             10238      liable to a minor seeking contribution is that percentage or proportion of the amount described
             10239      in Section 32B-16-201 equivalent to the percentage or proportion of fault attributed to that
             10240      person causing the liability under Section 32B-16-201 .
             10241          (2) An action for contribution under this section may not be brought against:
             10242          (a) the retail licensee to whom the minor is liable; or
             10243          (b) staff of the retail licensee.
             10244          (3) An action for contribution under this section may not diminish the amount
             10245      collected by a retail licensee under this chapter.
             10246          Section 354. Section 41-6a-526 is amended to read:
             10247           41-6a-526. Drinking alcoholic beverage and open containers in motor vehicle
             10248      prohibited -- Definitions -- Exceptions.
             10249          (1) As used in this section:


             10250          (a) "Alcoholic beverage" has the same meaning as defined in Section [ 32A-1-105 ]
             10251      32B-1-102 .
             10252          (b) "Chartered bus" has the same meaning as defined in Section [ 32A-1-105 ]
             10253      32B-1-102 .
             10254          (c) "Limousine" has the same meaning as defined in Section [ 32A-1-105 ] 32B-1-102 .
             10255          (d) (i) "Passenger compartment" means the area of the vehicle normally occupied by
             10256      the operator and passengers.
             10257          (ii) "Passenger compartment" includes areas accessible to the operator and passengers
             10258      while traveling, including a utility or glove compartment.
             10259          (iii) "Passenger compartment" does not include a separate front or rear trunk
             10260      compartment or other area of the vehicle not accessible to the operator or passengers while
             10261      inside the vehicle.
             10262          (2) A person may not drink any alcoholic beverage while operating a motor vehicle or
             10263      while a passenger in a motor vehicle, whether the vehicle is moving, stopped, or parked on any
             10264      highway.
             10265          (3) A person may not keep, carry, possess, transport, or allow another to keep, carry,
             10266      possess, or transport in the passenger compartment of a motor vehicle, when the vehicle is on
             10267      any highway, any container which contains any alcoholic beverage if the container has been
             10268      opened, its seal broken, or the contents of the container partially consumed.
             10269          (4) Subsections (2) and (3) do not apply to a passenger:
             10270          (a) in the living quarters of a motor home or camper;
             10271          (b) who has carried an alcoholic beverage onto a limousine or chartered bus that is in
             10272      compliance with Subsections [ 32A-12-213 (3)] 32B-4-415 (4)(b) and (c); or
             10273          (c) in a motorboat or on the waters of this state as these terms are defined in Section
             10274      73-18-2 .
             10275          (5) Subsection (3) does not apply to passengers traveling in any licensed taxicab or
             10276      bus.
             10277          Section 355. Section 53-3-207 is amended to read:


             10278           53-3-207. License certificates or driving privilege cards issued to drivers by class
             10279      of motor vehicle -- Contents -- Release of anatomical gift information -- Temporary
             10280      licenses or driving privilege cards -- Minors' licenses, cards, and permits -- Violation.
             10281          (1) As used in this section:
             10282          (a) "driving privilege" means the privilege granted under this chapter to drive a motor
             10283      vehicle;
             10284          (b) "governmental entity" means the state and its political subdivisions as defined in
             10285      this Subsection (1);
             10286          (c) "political subdivision" means any county, city, town, school district, public transit
             10287      district, community development and renewal agency, special improvement or taxing district,
             10288      local district, special service district, an entity created by an interlocal agreement adopted
             10289      under Title 11, Chapter 13, Interlocal Cooperation Act, or other governmental subdivision or
             10290      public corporation; and
             10291          (d) "state" means this state, and includes any office, department, agency, authority,
             10292      commission, board, institution, hospital, college, university, children's justice center, or other
             10293      instrumentality of the state.
             10294          (2) (a) The division shall issue to every person privileged to drive a motor vehicle, a
             10295      regular license certificate, a limited-term license certificate, or a driving privilege card
             10296      indicating the type or class of motor vehicle the person may drive.
             10297          (b) A person may not drive a class of motor vehicle unless granted the privilege in that
             10298      class.
             10299          (3) (a) Every regular license certificate, limited-term license certificate, or driving
             10300      privilege card shall bear:
             10301          (i) the distinguishing number assigned to the person by the division;
             10302          (ii) the name, birth date, and Utah residence address of the person;
             10303          (iii) a brief description of the person for the purpose of identification;
             10304          (iv) any restrictions imposed on the license under Section 53-3-208 ;
             10305          (v) a photograph of the person;


             10306          (vi) a photograph or other facsimile of the person's signature; and
             10307          (vii) an indication whether the person intends to make an anatomical gift under Title
             10308      26, Chapter 28, Revised Uniform Anatomical Gift Act, unless the driving privilege is extended
             10309      under Subsection 53-3-214 (3).
             10310          (b) A new license certificate issued by the division may not bear the person's Social
             10311      Security number.
             10312          (c) (i) The regular license certificate, limited-term license certificate, or driving
             10313      privilege card shall be of an impervious material, resistant to wear, damage, and alteration.
             10314          (ii) Except as provided under Subsection (4)(b), the size, form, and color of the regular
             10315      license certificate, limited-term license certificate, or driving privilege card shall be as
             10316      prescribed by the commissioner.
             10317          (iii) The commissioner may also prescribe the issuance of a special type of limited
             10318      regular license certificate, limited-term license certificate, or driving privilege card under
             10319      Subsection 53-3-220 (4).
             10320          (4) (a) (i) The division, upon determining after an examination that an applicant is
             10321      mentally and physically qualified to be granted a driving privilege, may issue to an applicant a
             10322      receipt for the fee if the applicant is eligible for a regular license certificate or limited-term
             10323      license certificate.
             10324          (ii) The receipt serves as a temporary regular license certificate or limited-term license
             10325      certificate allowing the person to drive a motor vehicle while the division is completing its
             10326      investigation to determine whether the person is entitled to be granted a driving privilege.
             10327          (b) The receipt shall be in the person's immediate possession while driving a motor
             10328      vehicle, and it is invalid when the person's regular license certificate or limited-term license
             10329      certificate has been issued or when, for good cause, the privilege has been refused.
             10330          (c) The division shall indicate on the receipt a date after which it is not valid as a
             10331      temporary license.
             10332          (d) (i) Except as provided in Subsection (4)(d)(ii), the division may not issue a receipt
             10333      that serves as a temporary driving privilege card or other temporary permit to an applicant for


             10334      a driving privilege card.
             10335          (ii) The division may issue a learner permit issued in accordance with Section
             10336      53-3-210.5 to an applicant for a driving privilege card.
             10337          (5) (a) The division shall distinguish learner permits, temporary permits, regular
             10338      license certificates, limited-term license certificates, and driving privilege cards issued to any
             10339      person younger than 21 years of age by use of plainly printed information or the use of a color
             10340      or other means not used for other regular license certificates, limited-term license certificates,
             10341      or driving privilege cards.
             10342          (b) The division shall distinguish a regular license certificate, limited-term license
             10343      certificate, or driving privilege card issued to any person:
             10344          (i) younger than 21 years of age by use of a portrait-style format not used for other
             10345      regular license certificates, limited-term license certificates, or driving privilege cards and by
             10346      plainly printing the date the regular license certificate, limited-term license certificate, or
             10347      driving privilege card holder is 21 years of age, which is the legal age for purchasing an
             10348      alcoholic beverage or alcoholic product under Section [ 32A-12-203 ] 32B-14-403 ; and
             10349          (ii) younger than 19 years of age, by plainly printing the date the regular license
             10350      certificate, limited-term license certificate, or driving privilege card holder is 19 years of age,
             10351      which is the legal age for purchasing tobacco products under Section 76-10-104 .
             10352          (6) The division shall distinguish a limited-term license certificate by clearly
             10353      indicating on the document:
             10354          (a) that it is temporary; and
             10355          (b) its expiration date.
             10356          (7) (a) The division shall only issue a driving privilege card to a person whose
             10357      privilege was obtained without providing evidence of lawful presence in the United States as
             10358      required under Subsection 53-3-205 (8).
             10359          (b) The division shall distinguish a driving privilege card from a license certificate by:
             10360          (i) use of a format, color, font, or other means; and
             10361          (ii) clearly displaying on the front of the driving privilege card a phrase substantially


             10362      similar to "FOR DRIVING PRIVILEGES ONLY -- NOT VALID FOR IDENTIFICATION".
             10363          (8) The provisions of Subsection (5)(b) do not apply to a learner permit, temporary
             10364      permit, or any other temporary permit or receipt issued by the division.
             10365          (9) The division shall issue temporary license certificates of the same nature, except as
             10366      to duration, as the license certificates that they temporarily replace, as are necessary to
             10367      implement applicable provisions of this section and Section 53-3-223 .
             10368          (10) (a) A governmental entity may not accept a driving privilege card as proof of
             10369      personal identification.
             10370          (b) A driving privilege card may not be used as a document providing proof of a
             10371      person's age for any government required purpose.
             10372          (11) A person who violates Subsection (2)(b) is guilty of a class C misdemeanor.
             10373          (12) Unless otherwise provided, the provisions, requirements, classes, endorsements,
             10374      fees, restrictions, and sanctions under this code apply to a:
             10375          (a) driving privilege in the same way as a license or limited-term license issued under
             10376      this chapter; and
             10377          (b) limited-term license certificate or driving privilege card in the same way as a
             10378      regular license certificate issued under this chapter.
             10379          Section 356. Section 53-3-219 is amended to read:
             10380           53-3-219. Suspension of minor's driving privileges.
             10381          (1) The division shall immediately suspend all driving privileges of any person upon
             10382      receipt of an order suspending driving privileges under Section [ 32A-12-209 ] 32B-4-409 ,
             10383      Section [ 32A-12-209.5 ] 32B-4-410 , Subsection 76-9-701 (1), or Section 78A-6-606 .
             10384          (2) (a) (i) Except as provided in Subsection (2)(a)(ii), upon receipt of the first order
             10385      suspending a person's driving privileges under Section [ 32A-12-209 or 32A-12-209.5 ]
             10386      32B-4-409 , Section 32B-4-410 , Subsection 76-9-701 (1), or Section 78A-6-606 for a violation
             10387      that was committed on or after July 1, 2009, the division shall:
             10388          (A) impose a suspension for a period of one year;
             10389          (B) if the person has not been issued an operator license, deny the person's application


             10390      for a license or learner's permit for a period of one year; or
             10391          (C) if the person is under the age of eligibility for a driver license, deny the person's
             10392      application for a license or learner's permit beginning on the date of conviction and continuing
             10393      for one year beginning on the date of eligibility for a driver license.
             10394          (ii) Upon receipt of the first order suspending a person's driving privileges under this
             10395      section, the division shall reduce the suspension period under Subsection (2)(a)(i)(A), (B), or
             10396      (C) if ordered by the court in accordance with Subsection [ 32A-12-209 ] 32B-4-409 (5)(b),
             10397      [ 32A-12-209.5 ] 32B-4-410 (4)(b), 76-9-701 (4)(b), or 78A-6-606 (3)(b).
             10398          (b) Upon receipt of a second or subsequent order suspending a person's driving
             10399      privileges under Section [ 32A-12-209 or 32A-12-209.5 ] 32B-4-409 , Section 32B-4-410 ,
             10400      Subsection 76-9-701 (1), or Section 78A-6-606 for a violation that was committed on or after
             10401      July 1, 2009, the division shall:
             10402          (i) impose a suspension for a period of two years; or
             10403          (ii) if the person has not been issued an operator license or is under the age of
             10404      eligibility for a driver license, deny the person's application for a license or learner's permit for
             10405      a period of two years.
             10406          (c) The Driver License Division shall impose a suspension for the suspension period in
             10407      effect prior to July 1, 2009, if the order suspending driving privileges under Section
             10408      [ 32A-12-209 or 32A-12-209.5 ,] 32B-4-409 , Section 32B-4-410 , Subsection 76-9-701 (1), or
             10409      Section 78A-6-606 is for a violation committed prior to July 1, 2009.
             10410          (3) The Driver License Division shall subtract from any suspension or revocation
             10411      period for a conviction of a violation of Section [ 32A-12-209 ] 32B-4-409 the number of days
             10412      for which a license was previously suspended under Section 53-3-231 , if the previous sanction
             10413      was based on the same occurrence upon which the record of conviction is based.
             10414          (4) After reinstatement of the license [under] described in Subsection (1)[(a)], a report
             10415      authorized under Section 53-3-104 may not contain evidence of the suspension of a minor's
             10416      license under this section if the minor has not been convicted of any other offense for which
             10417      the suspension under Subsection (1)[(a)] may be extended.


             10418          Section 357. Section 53-3-220 is amended to read:
             10419           53-3-220. Offenses requiring mandatory revocation, denial, suspension, or
             10420      disqualification of license -- Offense requiring an extension of period -- Hearing --
             10421      Limited driving privileges.
             10422          (1) (a) The division shall immediately revoke or, when this chapter or Title 41,
             10423      Chapter 6a, Traffic Code, specifically provides for denial, suspension, or disqualification, the
             10424      division shall deny, suspend, or disqualify the license of a person upon receiving a record of
             10425      the person's conviction for:
             10426          (i) manslaughter or negligent homicide resulting from driving a motor vehicle, or
             10427      automobile homicide under Section 76-5-207 or 76-5-207.5 ;
             10428          (ii) driving or being in actual physical control of a motor vehicle while under the
             10429      influence of alcohol, any drug, or combination of them to a degree that renders the person
             10430      incapable of safely driving a motor vehicle as prohibited in Section 41-6a-502 or as prohibited
             10431      in an ordinance that complies with the requirements of Subsection 41-6a-510 (1);
             10432          (iii) driving or being in actual physical control of a motor vehicle while having a blood
             10433      or breath alcohol content as prohibited in Section 41-6a-502 or as prohibited in an ordinance
             10434      that complies with the requirements of Subsection 41-6a-510 (1);
             10435          (iv) perjury or the making of a false affidavit to the division under this chapter, Title
             10436      41, Motor Vehicles, or any other law of this state requiring the registration of motor vehicles
             10437      or regulating driving on highways;
             10438          (v) any felony under the motor vehicle laws of this state;
             10439          (vi) any other felony in which a motor vehicle is used to facilitate the offense;
             10440          (vii) failure to stop and render aid as required under the laws of this state if a motor
             10441      vehicle accident results in the death or personal injury of another;
             10442          (viii) two charges of reckless driving, impaired driving, or any combination of reckless
             10443      driving and impaired driving committed within a period of 12 months; but if upon a first
             10444      conviction of reckless driving or impaired driving the judge or justice recommends suspension
             10445      of the convicted person's license, the division may after a hearing suspend the license for a


             10446      period of three months;
             10447          (ix) failure to bring a motor vehicle to a stop at the command of a peace officer as
             10448      required in Section 41-6a-210 ;
             10449          (x) any offense specified in Part 4, Uniform Commercial Driver License Act, that
             10450      requires disqualification;
             10451          (xi) a felony violation of Section 76-10-508 or 76-10-508.1 involving discharging or
             10452      allowing the discharge of a firearm from a vehicle;
             10453          (xii) using, allowing the use of, or causing to be used any explosive, chemical, or
             10454      incendiary device from a vehicle in violation of Subsection 76-10-306 (4)(b);
             10455          (xiii) operating or being in actual physical control of a motor vehicle while having any
             10456      measurable controlled substance or metabolite of a controlled substance in the person's body in
             10457      violation of Section 41-6a-517 ;
             10458          (xiv) until July 30, 2015, operating or being in actual physical control of a motor
             10459      vehicle while having any alcohol in the person's body in violation of Section 53-3-232 ;
             10460          (xv) operating or being in actual physical control of a motor vehicle while having any
             10461      measurable or detectable amount of alcohol in the person's body in violation of Section
             10462      41-6a-530 ;
             10463          (xvi) engaging in a motor vehicle speed contest or exhibition of speed on a highway in
             10464      violation of Section 41-6a-606 ; or
             10465          (xvii) operating or being in actual physical control of a motor vehicle in this state
             10466      without an ignition interlock system in violation of Section 41-6a-518.2 .
             10467          (b) The division shall immediately revoke the license of a person upon receiving a
             10468      record of an adjudication under Title 78A, Chapter 6, Juvenile Court Act of 1996, for:
             10469          (i) a felony violation of Section 76-10-508 or 76-10-508.1 involving discharging or
             10470      allowing the discharge of a firearm from a vehicle; or
             10471          (ii) using, allowing the use of, or causing to be used any explosive, chemical, or
             10472      incendiary device from a vehicle in violation of Subsection 76-10-306 (4)(b).
             10473          (c) Except when action is taken under Section 53-3-219 for the same offense, the


             10474      division shall immediately suspend for six months the license of a person upon receiving a
             10475      record of conviction for:
             10476          (i) any violation of:
             10477          (A) Title 58, Chapter 37, Utah Controlled Substances Act;
             10478          (B) Title 58, Chapter 37a, Utah Drug Paraphernalia Act;
             10479          (C) Title 58, Chapter 37b, Imitation Controlled Substances Act;
             10480          (D) Title 58, Chapter 37c, Utah Controlled Substance Precursor Act; or
             10481          (E) Title 58, Chapter 37d, Clandestine Drug Lab Act; or
             10482          (ii) any criminal offense that prohibits:
             10483          (A) possession, distribution, manufacture, cultivation, sale, or transfer of any
             10484      substance that is prohibited under the acts described in Subsection (1)(c)(i); or
             10485          (B) the attempt or conspiracy to possess, distribute, manufacture, cultivate, sell, or
             10486      transfer any substance that is prohibited under the acts described in Subsection (1)(c)(i).
             10487          (d) (i) The division shall immediately suspend a person's driver license for conviction
             10488      of the offense of theft of motor vehicle fuel under Section 76-6-404.7 if the division receives:
             10489          (A) an order from the sentencing court requiring that the person's driver license be
             10490      suspended; and
             10491          (B) a record of the conviction.
             10492          (ii) An order of suspension under this section is at the discretion of the sentencing
             10493      court, and may not be for more than 90 days for each offense.
             10494          (e) (i) The division shall immediately suspend for one year the license of a person
             10495      upon receiving a record of:
             10496          (A) conviction for the first time for a violation under Section [ 32A-12-223 ]
             10497      32B-4-411 ; or
             10498          (B) an adjudication under Title 78A, Chapter 6, Juvenile Court Act of 1996, for a
             10499      violation under Section [ 32A-12-223 ] 32B-4-411 .
             10500          (ii) The division shall immediately suspend for a period of two years the license of a
             10501      person upon receiving a record of:


             10502          (A) (I) conviction for a second or subsequent violation under Section [ 32A-12-223 ]
             10503      32B-4-411 ; and
             10504          (II) the violation described in Subsection (1)(e)(ii)(A)(I) is within 10 years of a prior
             10505      conviction for a violation under Section [ 32A-12-223 ] 32B-4-411 ; or
             10506          (B) (I) a second or subsequent adjudication under Title 78A, Chapter 6, Juvenile Court
             10507      Act of 1996, for a violation under Section [ 32A-12-223 ] 32B-4-411 ; and
             10508          (II) the adjudication described in Subsection (1)(e)(ii)(B)(I) is within 10 years of a
             10509      prior adjudication under Title 78A, Chapter 6, Juvenile Court Act of 1996, for a violation
             10510      under Section [ 32A-12-223 ] 32B-4-411 .
             10511          (iii) Upon receipt of a record under Subsection (1)(e)(i) or (ii), the division shall:
             10512          (A) for a conviction or adjudication described in Subsection (1)(e)(i):
             10513          (I) impose a suspension for one year beginning on the date of conviction; or
             10514          (II) if the person is under the age of eligibility for a driver license, impose a suspension
             10515      that begins on the date of conviction and continues for one year beginning on the date of
             10516      eligibility for a driver license; or
             10517          (B) for a conviction or adjudication described in Subsection (1)(e)(ii):
             10518          (I) impose a suspension for a period of two years; or
             10519          (II) if the person is under the age of eligibility for a driver license, impose a suspension
             10520      that begins on the date of conviction and continues for two years beginning on the date of
             10521      eligibility for a driver license.
             10522          (2) The division shall extend the period of the first denial, suspension, revocation, or
             10523      disqualification for an additional like period, to a maximum of one year for each subsequent
             10524      occurrence, upon receiving:
             10525          (a) a record of the conviction of any person on a charge of driving a motor vehicle
             10526      while the person's license is denied, suspended, revoked, or disqualified;
             10527          (b) a record of a conviction of the person for any violation of the motor vehicle law in
             10528      which the person was involved as a driver;
             10529          (c) a report of an arrest of the person for any violation of the motor vehicle law in


             10530      which the person was involved as a driver; or
             10531          (d) a report of an accident in which the person was involved as a driver.
             10532          (3) When the division receives a report under Subsection (2)(c) or (d) that a person is
             10533      driving while the person's license is denied, suspended, disqualified, or revoked, the person is
             10534      entitled to a hearing regarding the extension of the time of denial, suspension, disqualification,
             10535      or revocation originally imposed under Section 53-3-221 .
             10536          (4) (a) The division may extend to a person the limited privilege of driving a motor
             10537      vehicle to and from the person's place of employment or within other specified limits on
             10538      recommendation of the judge in any case where a person is convicted of any of the offenses
             10539      referred to in Subsections (1) and (2) except:
             10540          (i) automobile homicide under Subsection (1)(a)(i);
             10541          (ii) those offenses referred to in Subsections (1)(a)(ii), (a)(iii), (a)(xi), (a)(xii), (a)(xiii),
             10542      (1)(b), and (1)(c); and
             10543          (iii) those offenses referred to in Subsection (2) when the original denial, suspension,
             10544      revocation, or disqualification was imposed because of a violation of Section 41-6a-502 ,
             10545      41-6a-517 , a local ordinance which complies with the requirements of Subsection
             10546      41-6a-510 (1), Section 41-6a-520 , or Section 76-5-207 , or a criminal prohibition that the
             10547      person was charged with violating as a result of a plea bargain after having been originally
             10548      charged with violating one or more of these sections or ordinances, unless:
             10549          (A) the person has had the period of the first denial, suspension, revocation, or
             10550      disqualification extended for a period of at least three years;
             10551          (B) the division receives written verification from the person's primary care physician
             10552      that:
             10553          (I) to the physician's knowledge the person has not used any narcotic drug or other
             10554      controlled substance except as prescribed by a licensed medical practitioner within the last
             10555      three years; and
             10556          (II) the physician is not aware of any physical, emotional, or mental impairment that
             10557      would affect the person's ability to operate a motor vehicle safely; and


             10558          (C) for a period of one year prior to the date of the request for a limited driving
             10559      privilege:
             10560          (I) the person has not been convicted of a violation of any motor vehicle law in which
             10561      the person was involved as the operator of the vehicle;
             10562          (II) the division has not received a report of an arrest for a violation of any motor
             10563      vehicle law in which the person was involved as the operator of the vehicle; and
             10564          (III) the division has not received a report of an accident in which the person was
             10565      involved as an operator of a vehicle.
             10566          (b) (i) Except as provided in Subsection (4)(b)(ii), the discretionary privilege
             10567      authorized in this Subsection (4):
             10568          (A) is limited to when undue hardship would result from a failure to grant the
             10569      privilege; and
             10570          (B) may be granted only once to any person during any single period of denial,
             10571      suspension, revocation, or disqualification, or extension of that denial, suspension, revocation,
             10572      or disqualification.
             10573          (ii) The discretionary privilege authorized in Subsection (4)(a)(iii):
             10574          (A) is limited to when the limited privilege is necessary for the person to commute to
             10575      school or work; and
             10576          (B) may be granted only once to any person during any single period of denial,
             10577      suspension, revocation, or disqualification, or extension of that denial, suspension, revocation,
             10578      or disqualification.
             10579          (c) A limited CDL may not be granted to a person disqualified under Part 4, Uniform
             10580      Commercial Driver License Act, or whose license has been revoked, suspended, cancelled, or
             10581      denied under this chapter.
             10582          Section 358. Section 53-3-229 is amended to read:
             10583           53-3-229. Prohibited uses of license certificate -- Penalty.
             10584          (1) It is a class C misdemeanor for a person to:
             10585          (a) lend or knowingly permit the use of a license certificate issued to the person, by a


             10586      person not entitled to it;
             10587          (b) display or to represent as the person's own a license certificate not issued to the
             10588      person;
             10589          (c) refuse to surrender to the division or a peace officer upon demand any license
             10590      certificate issued by the division;
             10591          (d) use a false name or give a false address in any application for a license or any
             10592      renewal or duplicate of the license certificate, or to knowingly make a false statement, or to
             10593      knowingly conceal a material fact or otherwise commit a fraud in the application;
             10594          (e) display a canceled, denied, revoked, suspended, or disqualified driver license
             10595      certificate as a valid driver license certificate;
             10596          (f) knowingly acquire, use, display, or transfer an item that purports to be an authentic
             10597      driver license certificate issued by a governmental entity if the item is not an authentic driver
             10598      license certificate issued by that governmental entity; or
             10599          (g) alter any information on an authentic driver license certificate so that it no longer
             10600      represents the information originally displayed.
             10601          (2) The provisions of Subsection (1)(e) do not prohibit the use of a person's driver
             10602      license certificate as a means of personal identification.
             10603          (3) It is a class A misdemeanor to:
             10604          (a) knowingly issue a driver license certificate with false or fraudulent information;
             10605          (b) knowingly issue a driver license certificate to a person younger than 21 years of
             10606      age if the driver license certificate is not distinguished as required for a person younger than
             10607      21 years of age under Section 53-3-207 ; or
             10608          (c) knowingly acquire, use, display, or transfer a false or altered driver license
             10609      certificate to procure cigarettes, tobacco, or tobacco products.
             10610          (4) A person may not use, display, or transfer a false or altered driver license
             10611      certificate to procure alcoholic beverages, gain admittance to a place where alcoholic
             10612      beverages are sold or consumed, or obtain employment that may not be obtained by a minor in
             10613      violation of Section [ 32A-1-301 ] 32B-1-403 .


             10614          (5) It is a third degree felony if a person's acquisition, use, display, or transfer of a
             10615      false or altered driver license certificate:
             10616          (a) aids or furthers the person's efforts to fraudulently obtain goods or services; or
             10617          (b) aids or furthers the person's efforts to commit a violent felony.
             10618          Section 359. Section 53-3-231 is amended to read:
             10619           53-3-231. Person under 21 may not operate a vehicle or motorboat with
             10620      detectable alcohol in body -- Chemical test procedures -- Temporary license -- Hearing
             10621      and decision -- Suspension of license or operating privilege -- Fees -- Judicial review --
             10622      Referral to local substance abuse authority or program.
             10623          (1) (a) As used in this section:
             10624          (i) "Local substance abuse authority" has the same meaning as provided in Section
             10625      62A-15-102 .
             10626          (ii) "Substance abuse program" means any substance abuse program licensed by the
             10627      Department of Human Services or the Department of Health and approved by the local
             10628      substance abuse authority.
             10629          (b) Calculations of blood, breath, or urine alcohol concentration under this section
             10630      shall be made in accordance with the procedures in Subsection 41-6a-502 (1).
             10631          (2) (a) A person younger than 21 years of age may not operate or be in actual physical
             10632      control of a vehicle or motorboat with any measurable blood, breath, or urine alcohol
             10633      concentration in the person's body as shown by a chemical test.
             10634          (b) A person who violates Subsection (2)(a), in addition to any other applicable
             10635      penalties arising out of the incident, shall have the person's operator license denied or
             10636      suspended as provided in Subsection (8).
             10637          (3) (a) When a peace officer has reasonable grounds to believe that a person may be
             10638      violating or has violated Subsection (2), the peace officer may, in connection with arresting
             10639      the person for a violation of Section [ 32A-12-209 ] 32B-4-409 , request that the person submit
             10640      to a chemical test or tests to be administered in compliance with the standards under Section
             10641      41-6a-520 .


             10642          (b) The peace officer shall advise a person prior to the person's submission to a
             10643      chemical test that a test result indicating a violation of Subsection (2)(a) will result in denial or
             10644      suspension of the person's license to operate a motor vehicle or a refusal to issue a license.
             10645          (c) If the person submits to a chemical test and the test results indicate a blood, breath,
             10646      or urine alcohol content in violation of Subsection (2)(a), or if a peace officer makes a
             10647      determination, based on reasonable grounds, that the person is otherwise in violation of
             10648      Subsection (2)(a), a peace officer shall, on behalf of the division and within 24 hours of the
             10649      arrest, give notice of the division's intention to deny or suspend the person's license to operate
             10650      a vehicle or refusal to issue a license under this section.
             10651          (4) When a peace officer gives notice on behalf of the division, the peace officer shall:
             10652          (a) take the Utah license certificate or permit, if any, of the operator;
             10653          (b) issue a temporary license certificate effective for only 29 days from the date of
             10654      arrest if the driver had a valid operator's license; and
             10655          (c) supply to the operator, in a manner specified by the division, basic information
             10656      regarding how to obtain a prompt hearing before the division.
             10657          (5) A citation issued by a peace officer may, if provided in a manner specified by the
             10658      division, also serve as the temporary license certificate under Subsection (4)(b).
             10659          (6) As a matter of procedure, a peace officer shall send to the division within 10
             10660      calendar days after the day on which notice is provided:
             10661          (a) the person's driver license certificate, if any;
             10662          (b) a copy of the citation issued for the offense;
             10663          (c) a signed report in a manner specified by the Driver License Division indicating the
             10664      chemical test results, if any; and
             10665          (d) any other basis for a peace officer's determination that the person has violated
             10666      Subsection (2).
             10667          (7) (a) (i) Upon request in a manner specified by the division, the Driver License
             10668      Division shall grant to the person an opportunity to be heard within 29 days after the date of
             10669      arrest under Section [ 32A-12-209 ] 32B-4-409 .


             10670          (ii) The request shall be made within 10 calendar days of the day on which notice is
             10671      provided.
             10672          (b) (i) Except as provided in Subsection (7)(b)(ii), a hearing, if held, shall be before
             10673      the division in:
             10674          (A) the county in which the arrest occurred; or
             10675          (B) a county that is adjacent to the county in which the arrest occurred.
             10676          (ii) The division may hold a hearing in some other county if the division and the
             10677      person both agree.
             10678          (c) The hearing shall be documented and shall cover the issues of:
             10679          (i) whether a peace officer had reasonable grounds to believe the person was operating
             10680      a motor vehicle or motorboat in violation of Subsection (2)(a);
             10681          (ii) whether the person refused to submit to the test; and
             10682          (iii) the test results, if any.
             10683          (d) In connection with a hearing, the division or its authorized agent may administer
             10684      oaths and may issue subpoenas for the attendance of witnesses and the production of relevant
             10685      books and papers and records as defined in Section 46-4-102 .
             10686          (e) One or more members of the division may conduct the hearing.
             10687          (f) Any decision made after a hearing before any number of the members of the
             10688      division is as valid as if made after a hearing before the full membership of the division.
             10689          (8) If, after a hearing, the division determines that a peace officer had reasonable
             10690      grounds to believe that the person was driving a motor vehicle in violation of Subsection
             10691      (2)(a), if the person fails to appear before the division as required in the notice, or if the person
             10692      does not request a hearing under this section, the division shall:
             10693          (a) deny the person's license until the person is 21 years of age or for a period of 120
             10694      days, whichever is longer, beginning on the 30th day after the date of arrest for a first offense
             10695      under Subsection (2)(a) committed on or after July 1, 2009;
             10696          (b) suspend the person's license until the person is 21 years of age or for a period of
             10697      two years, whichever is longer, beginning on the 30th day after the date of arrest for a second


             10698      or subsequent offense under Subsection (2)(a):
             10699          (i) within 10 years of a prior denial or suspension; and
             10700          (ii) committed on or after July 1, 2009;
             10701          (c) deny the person's application for a license or learner's permit until the person is 21
             10702      years of age or for a period of one year, whichever is longer, if:
             10703          (i) the person has not been issued an operator license; and
             10704          (ii) the suspension is for a first offense under Subsection (2)(a) committed on or after
             10705      July 1, 2009;
             10706          (d) deny the person's application for a license or learner's permit until the person is 21
             10707      years of age or for a period of two years, whichever is longer, if:
             10708          (i) the person has not been issued an operator license; and
             10709          (ii) the suspension is for a second or subsequent offense under Subsection (2)(a):
             10710          (A) within 10 years of a prior denial or suspension; and
             10711          (B) committed on or after July 1, 2009; or
             10712          (e) deny or suspend a person's license for the denial and suspension periods in effect
             10713      prior to July 1, 2009, for a violation under Subsection (2)(a) that was committed prior to July
             10714      1, 2009.
             10715          (9) (a) (i) Following denial or suspension the division shall assess against a person, in
             10716      addition to any fee imposed under Subsection 53-3-205 (12), a fee under Section 53-3-105 ,
             10717      which shall be paid before the person's driving privilege is reinstated, to cover administrative
             10718      costs.
             10719          (ii) This fee shall be canceled if the person obtains an unappealed division hearing or
             10720      court decision that the suspension was not proper.
             10721          (b) A person whose operator license has been denied, suspended, or postponed by the
             10722      division under this section following an administrative hearing may file a petition within 30
             10723      days after the suspension for a hearing on the matter which, if held, is governed by Section
             10724      53-3-224 .
             10725          (10) After reinstatement of an operator license for a first offense under this section, a


             10726      report authorized under Section 53-3-104 may not contain evidence of the denial or
             10727      suspension of the person's operator license under this section if the person has not been
             10728      convicted of any other offense for which the denial or suspension may be extended.
             10729          (11) (a) In addition to the penalties in Subsection (8), a person who violates
             10730      Subsection (2)(a) shall:
             10731          (i) obtain an assessment and recommendation for appropriate action from a substance
             10732      abuse program, but any associated costs shall be the person's responsibility; or
             10733          (ii) be referred by the division to the local substance abuse authority for an assessment
             10734      and recommendation for appropriate action.
             10735          (b) (i) Reinstatement of the person's operator license or the right to obtain an operator
             10736      license within five years of the effective date of the license sanction under Subsection (8) is
             10737      contingent upon successful completion of the action recommended by the local substance
             10738      abuse authority or the substance abuse program.
             10739          (ii) The local substance abuse authority's or the substance abuse program's
             10740      recommended action shall be determined by an assessment of the person's alcohol abuse and
             10741      may include:
             10742          (A) a targeted education and prevention program;
             10743          (B) an early intervention program; or
             10744          (C) a substance abuse treatment program.
             10745          (iii) Successful completion of the recommended action shall be determined by
             10746      standards established by the Division of Substance Abuse and Mental Health.
             10747          (c) At the conclusion of the penalty period imposed under Subsection (2), the local
             10748      substance abuse authority or the substance abuse program shall notify the division of the
             10749      person's status regarding completion of the recommended action.
             10750          (d) The local substance abuse authorities and the substance abuse programs shall
             10751      cooperate with the division in:
             10752          (i) conducting the assessments;
             10753          (ii) making appropriate recommendations for action; and


             10754          (iii) notifying the division about the person's status regarding completion of the
             10755      recommended action.
             10756          (e) (i) The local substance abuse authority is responsible for the cost of the assessment
             10757      of the person's alcohol abuse, if the assessment is conducted by the local substance abuse
             10758      authority.
             10759          (ii) The local substance abuse authority or a substance abuse program selected by a
             10760      person is responsible for:
             10761          (A) conducting an assessment of the person's alcohol abuse; and
             10762          (B) for making a referral to an appropriate program on the basis of the findings of the
             10763      assessment.
             10764          (iii) (A) The person who violated Subsection (2)(a) is responsible for all costs and fees
             10765      associated with the recommended program to which the person selected or is referred.
             10766          (B) The costs and fees under Subsection (11)(e)(iii)(A) shall be based on a sliding
             10767      scale consistent with the local substance abuse authority's policies and practices regarding fees
             10768      for services or determined by the substance abuse program.
             10769          Section 360. Section 53-3-806 is amended to read:
             10770           53-3-806. Portrait-style format -- Minor's card distinguishable.
             10771          (1) The division shall use a portrait-style format for all identification cards, similar to
             10772      the format used for license certificates issued to a person younger than 21 years of age under
             10773      Section 53-3-207 .
             10774          (2) The identification card issued to a person younger than 21 years of age shall be
             10775      distinguished by use of plainly printed information or by the use of a color or other means not
             10776      used for the identification card issued to a person 21 years of age or older.
             10777          (3) The division shall distinguish an identification card issued to any person:
             10778          (a) younger than 21 years of age by plainly printing the date the identification card
             10779      holder is 21 years of age, which is the legal age for purchasing an alcoholic beverage or
             10780      alcoholic product under Section [ 32A-12-203 ] 32B-4-403 ; and
             10781          (b) younger than 19 years of age by plainly printing the date the identification card


             10782      holder is 19 years of age, which is the legal age for purchasing tobacco products under Section
             10783      76-10-104 .
             10784          (4) The division shall distinguish a limited-term identification card by clearly
             10785      indicating on the card:
             10786          (a) that it is temporary; and
             10787          (b) its expiration date.
             10788          Section 361. Section 53-3-810 is amended to read:
             10789           53-3-810. Prohibited uses of identification card -- Penalties.
             10790          (1) It is a class C misdemeanor to:
             10791          (a) lend or knowingly permit the use of an identification card issued to the person, by
             10792      a person not entitled to it;
             10793          (b) display or to represent as the person's own an identification card not issued to the
             10794      person;
             10795          (c) refuse to surrender to the division or a peace officer upon demand any
             10796      identification card issued by the division;
             10797          (d) use a false name or give a false address in any application for an identification card
             10798      or any renewal or duplicate of the identification card, or to knowingly make a false statement,
             10799      or to knowingly conceal a material fact in the application;
             10800          (e) display a revoked identification card as a valid identification card;
             10801          (f) knowingly acquire, use, display, or transfer an item that purports to be an authentic
             10802      identification card issued by a governmental entity if the item is not an authentic identification
             10803      card issued by that governmental entity; or
             10804          (g) alter any information contained on an authentic identification card so that it no
             10805      longer represents the information originally displayed.
             10806          (2) It is a class A misdemeanor to:
             10807          (a) knowingly issue an identification card with false or fraudulent information;
             10808          (b) knowingly issue an identification card to any person younger than 21 years of age
             10809      if the identification card is not distinguished as required for a person younger than 21 years of


             10810      age under Section 53-3-806 ; or
             10811          (c) knowingly acquire, use, display, or transfer a false or altered identification card to
             10812      procure cigarettes, tobacco, or tobacco products.
             10813          (3) A person may not knowingly use, display, or transfer a false or altered
             10814      identification card to procure alcoholic beverages, gain admittance to a place where alcoholic
             10815      beverages are sold or consumed, or obtain employment that may not be obtained by a minor in
             10816      violation of Section [ 32A-1-301 ] 32B-1-403 .
             10817          (4) It is a third degree felony if a person's acquisition, use, display, or transfer of a
             10818      false or altered identification card:
             10819          (a) aids or furthers the person's efforts to fraudulently obtain goods or services; or
             10820          (b) aids or furthers the person's efforts to commit a violent felony.
             10821          Section 362. Section 53-10-102 is amended to read:
             10822           53-10-102. Definitions.
             10823          As used in this chapter:
             10824          (1) "Administration of criminal justice" means performance of any of the following:
             10825      detection, apprehension, detention, pretrial release, posttrial release, prosecution, adjudication,
             10826      correctional supervision, or rehabilitation of accused persons or criminal offenders.
             10827          (2) "Alcoholic beverage" is as defined in Section [ 32A-1-105 ] 32B-1-102 .
             10828          (3) "Alcoholic product" is as defined in Section [ 32A-1-105 ] 32B-1-102 .
             10829          (4) "Commission" means the Alcoholic Beverage Control Commission.
             10830          (5) "Communications services" means the technology of reception, relay, and
             10831      transmission of information required by public safety agencies in the performance of their
             10832      duty.
             10833          (6) "Conviction record" means criminal history information indicating a record of a
             10834      criminal charge which has led to a declaration of guilt of an offense.
             10835          (7) "Criminal history record information" means information on individuals consisting
             10836      of identifiable descriptions and notations of:
             10837          (a) arrests, detentions, indictments, informations, or other formal criminal charges,


             10838      and any disposition arising from any of them; and
             10839          (b) sentencing, correctional supervision, and release.
             10840          (8) "Criminalist" means the scientific discipline directed to the recognition,
             10841      identification, individualization, and evaluation of physical evidence by application of the
             10842      natural sciences in law-science matters.
             10843          (9) "Criminal justice agency" means courts or a government agency or subdivision of
             10844      a government agency that administers criminal justice under a statute, executive order, or local
             10845      ordinance and that allocates greater than 50% of its annual budget to the administration of
             10846      criminal justice.
             10847          (10) "Department" means the Department of Public Safety.
             10848          (11) "Director" means the division director appointed under Section 53-10-103 .
             10849          (12) "Division" means the Criminal Investigations and Technical Services Division
             10850      created in Section 53-10-103 .
             10851          (13) "Executive order" means an order of the president of the United States or the
             10852      chief executive of a state that has the force of law and that is published in a manner permitting
             10853      regular public access to it.
             10854          (14) "Forensic" means dealing with the application of scientific knowledge relating to
             10855      criminal evidence.
             10856          (15) "Missing child" means any person under the age of 18 years who is missing from
             10857      [his or her] the person's home environment or a temporary placement facility for any reason
             10858      and whose location cannot be determined by the person responsible for the child's care.
             10859          (16) "Missing person" is as defined in Section 26-2-27 .
             10860          (17) "Pathogens" means disease-causing agents.
             10861          (18) "Physical evidence" means something submitted to the bureau to determine the
             10862      truth of a matter using scientific methods of analysis.
             10863          (19) "Qualifying entity" means a business, organization, or a governmental entity that
             10864      employs persons or utilizes volunteers who deal with:
             10865          (a) national security interests;


             10866          (b) care, custody, or control of children;
             10867          (c) fiduciary trust over money;
             10868          (d) health care to children or vulnerable adults; or
             10869          (e) the provision of any of the following to a vulnerable adult:
             10870          (i) care;
             10871          (ii) protection;
             10872          (iii) food, shelter, or clothing;
             10873          (iv) assistance with the activities of daily living; or
             10874          (v) assistance with financial resource management.
             10875          Section 363. Section 53-10-112 is amended to read:
             10876           53-10-112. Director and officers to have peace officer powers.
             10877          The director and enforcement officers:
             10878          (1) are vested with the powers of peace officers throughout the several counties of the
             10879      state, with the exception of the power to serve civil process;
             10880          (2) have the powers and duties of inspectors under Title [32A] 32B, Alcoholic
             10881      Beverage Control Act;
             10882          (3) may serve criminal process and arrest and prosecute violators of any law of this
             10883      state; and
             10884          (4) have the same rights as other peace officers to require aid in executing their duties.
             10885          Section 364. Section 53-10-113 is amended to read:
             10886           53-10-113. Other agencies to cooperate with division.
             10887          (1) All agencies of the state and local governments shall cooperate with the division in
             10888      discharging its responsibilities under:
             10889          (a) this chapter[,];
             10890          (b) Title [32A] 32B, Alcoholic Beverage Control Act[,];
             10891          (c) Title 58, Chapter 37, Utah Controlled Substance Act[,];
             10892          (d) Title 58, Chapter 37a, Utah Drug Paraphernalia Act[,];
             10893          (e) Title 58, Chapter 37b, Imitation Controlled Substances Act[,]; and


             10894          (f) Title 58, Chapter 37c, Utah Controlled Substance Precursor Act.
             10895          (2) This part does not relieve local law enforcement agencies or officers of the
             10896      responsibility of enforcing laws relating to alcoholic beverages and alcoholic products or any
             10897      other laws.
             10898          (3) The powers and duties conferred upon the director and the officers of the division
             10899      are not a limitation upon the powers and duties of other peace officers in the state.
             10900          Section 365. Section 53-10-304 is amended to read:
             10901           53-10-304. Narcotics and alcoholic product enforcement -- Responsibility and
             10902      jurisdiction.
             10903          The bureau shall:
             10904          (1) have specific responsibility for the enforcement of all laws of the state pertaining
             10905      to alcoholic beverages and alcoholic products;
             10906          (2) have general law enforcement jurisdiction throughout the state;
             10907          (3) have concurrent law enforcement jurisdiction with all local law enforcement
             10908      agencies and their officers;
             10909          (4) cooperate and exchange information with any other state agency and with other
             10910      law enforcement agencies of government, both within and outside this state, to obtain
             10911      information that may achieve more effective results in the prevention, detection, and control of
             10912      crime and apprehension of criminals;
             10913          (5) sponsor or supervise programs or projects related to prevention, detection, and
             10914      control of violations of:
             10915          (a) Title [32A] 32B, Alcoholic Beverage Control Act;
             10916          (b) Title 58, Chapter 37, Utah Controlled Substance Act;
             10917          (c) Title 58, Chapter 37a, Utah Drug Paraphernalia Act;
             10918          (d) Title 58, Chapter 37b, Imitation Controlled Substances Act;
             10919          (e) Title 58, Chapter 37c, Utah Controlled Substance Precursor Act; and
             10920          (f) Title 58, Chapter 37d, Clandestine Drug Lab Act; and
             10921          (6) assist the governor in an emergency or as the governor may require.


             10922          Section 366. Section 53-10-305 is amended to read:
             10923           53-10-305. Duties of bureau chief.
             10924          The bureau chief, with the consent of the commissioner, shall do the following:
             10925          (1) conduct in conjunction with the state boards of education and higher education in
             10926      state schools, colleges, and universities, an educational program concerning alcoholic
             10927      beverages and alcoholic products, and work in conjunction with civic organizations, churches,
             10928      local units of government, and other organizations in the prevention of alcoholic beverage,
             10929      alcoholic product, and drug violations;
             10930          (2) coordinate law enforcement programs throughout the state and accumulate and
             10931      disseminate information related to the prevention, detection, and control of violations of this
             10932      chapter and Title [32A] 32B, Alcoholic Beverage Control Act, as it relates to storage or
             10933      consumption of [alcoholic beverages] an alcoholic beverage or alcoholic product on premises
             10934      maintained by a club licensee, or a person required to [be licensed as a club licensee] obtain a
             10935      club license, as defined in Section [ 32A-1-105 ] 32B-1-102 ;
             10936          (3) make inspections and investigations as required by the commission and the
             10937      Department of Alcoholic Beverage Control;
             10938          (4) perform other acts as may be necessary or appropriate concerning control of the
             10939      use of [alcoholic beverages and products] an alcoholic beverage or alcoholic product and
             10940      drugs; and
             10941          (5) make reports and recommendations to the Legislature, the governor, the
             10942      commissioner, the commission, and the Department of Alcoholic Beverage Control as may be
             10943      required or requested.
             10944          Section 367. Section 53A-11-904 is amended to read:
             10945           53A-11-904. Grounds for suspension or expulsion from a public school.
             10946          (1) A student may be suspended or expelled from a public school for any of the
             10947      following reasons:
             10948          (a) frequent or flagrant willful disobedience, defiance of proper authority, or disruptive
             10949      behavior, including the use of foul, profane, vulgar, or abusive language;


             10950          (b) willful destruction or defacing of school property;
             10951          (c) behavior or threatened behavior which poses an immediate and significant threat to
             10952      the welfare, safety, or morals of other students or school personnel or to the operation of the
             10953      school;
             10954          (d) possession, control, or use of an alcoholic beverage as defined in Section
             10955      [ 32A-1-105 ] 32B-1-102 ;
             10956          (e) behavior proscribed under Subsection (2) which threatens harm or does harm to the
             10957      school or school property, to a person associated with the school, or property associated with
             10958      that person, regardless of where it occurs; or
             10959          (f) possession or use of pornographic material on school property.
             10960          (2) (a) A student shall be suspended or expelled from a public school for any of the
             10961      following reasons:
             10962          (i) any serious violation affecting another student or a staff member, or any serious
             10963      violation occurring in a school building, in or on school property, or in conjunction with any
             10964      school activity, including:
             10965          (A) the possession, control, or actual or threatened use of a real weapon, explosive, or
             10966      noxious or flammable material;
             10967          (B) the actual or threatened use of a look alike weapon with intent to intimidate
             10968      another person or to disrupt normal school activities; or
             10969          (C) the sale, control, or distribution of a drug or controlled substance as defined in
             10970      Section 58-37-2 , an imitation controlled substance defined in Section 58-37b-2 , or drug
             10971      paraphernalia as defined in Section 58-37a-3 ; or
             10972          (ii) the commission of an act involving the use of force or the threatened use of force
             10973      which if committed by an adult would be a felony or class A misdemeanor.
             10974          (b) A student who commits a violation of Subsection (2)(a) involving a real or look
             10975      alike weapon, explosive, or flammable material shall be expelled from school for a period of
             10976      not less than one year subject to the following:
             10977          (i) within 45 days after the expulsion the student shall appear before the student's local


             10978      school board superintendent, the superintendent's designee, chief administrative officer of a
             10979      charter school, or the chief administrative officer's designee, accompanied by a parent or legal
             10980      guardian; and
             10981          (ii) the superintendent, chief administrator, or designee shall determine:
             10982          (A) what conditions must be met by the student and the student's parent for the student
             10983      to return to school;
             10984          (B) if the student should be placed on probation in a regular or alternative school
             10985      setting consistent with Section 53A-11-907 , and what conditions must be met by the student
             10986      in order to ensure the safety of students and faculty at the school the student is placed in; and
             10987          (C) if it would be in the best interest of both the school district or charter school, and
             10988      the student, to modify the expulsion term to less than a year, conditioned on approval by the
             10989      local school board or governing board of a charter school and giving highest priority to
             10990      providing a safe school environment for all students.
             10991          (3) A student may be denied admission to a public school on the basis of having been
             10992      expelled from that or any other school during the preceding 12 months.
             10993          (4) A suspension or expulsion under this section is not subject to the age limitations
             10994      under Subsection 53A-11-102 (1).
             10995          (5) Each local school board and governing board of a charter school shall prepare an
             10996      annual report for the State Board of Education on:
             10997          (a) each violation committed under this section; and
             10998          (b) each action taken by the school district against a student who committed the
             10999      violation.
             11000          Section 368. Section 58-37-2 is amended to read:
             11001           58-37-2. Definitions.
             11002          (1) As used in this chapter:
             11003          (a) "Administer" means the direct application of a controlled substance, whether by
             11004      injection, inhalation, ingestion, or any other means, to the body of a patient or research subject
             11005      by:


             11006          (i) a practitioner or, in the practitioner's presence, by the practitioner's authorized
             11007      agent; or
             11008          (ii) the patient or research subject at the direction and in the presence of the
             11009      practitioner.
             11010          (b) "Agent" means an authorized person who acts on behalf of or at the direction of a
             11011      manufacturer, distributor, or practitioner but does not include a motor carrier, public
             11012      warehouseman, or employee of any of them.
             11013          (c) "Consumption" means ingesting or having any measurable amount of a controlled
             11014      substance in a person's body, but this Subsection (1)(c) does not include the metabolite of a
             11015      controlled substance.
             11016          (d) "Continuing criminal enterprise" means any individual, sole proprietorship,
             11017      partnership, corporation, business trust, association, or other legal entity, and any union or
             11018      groups of individuals associated in fact although not a legal entity, and includes illicit as well
             11019      as licit entities created or maintained for the purpose of engaging in conduct which constitutes
             11020      the commission of episodes of activity made unlawful by Title 58, Chapters 37, 37a, 37b, 37c,
             11021      or 37d, which episodes are not isolated, but have the same or similar purposes, results,
             11022      participants, victims, methods of commission, or otherwise are interrelated by distinguishing
             11023      characteristics. Taken together, the episodes shall demonstrate continuing unlawful conduct
             11024      and be related either to each other or to the enterprise.
             11025          (e) "Control" means to add, remove, or change the placement of a drug, substance, or
             11026      immediate precursor under Section 58-37-3 .
             11027          (f) (i) "Controlled substance" means a drug or substance included in Schedules I, II,
             11028      III, IV, or V of Section 58-37-4 , and also includes a drug or substance included in Schedules I,
             11029      II, III, IV, or V of the federal Controlled Substances Act, Title II, P.L. 91-513, or any
             11030      controlled substance analog.
             11031          (ii) "Controlled substance" does not include:
             11032          (A) distilled spirits, wine, or malt beverages, as those terms are defined or used in Title
             11033      [32A] 32B, Alcoholic Beverage Control Act, regarding tobacco or food;


             11034          (B) any drug intended for lawful use in the diagnosis, cure, mitigation, treatment, or
             11035      prevention of disease in man or other animals, which contains ephedrine, pseudoephedrine,
             11036      norpseudoephedrine, or phenylpropanolamine if the drug is lawfully purchased, sold,
             11037      transferred, or furnished as an over-the-counter medication without prescription; or
             11038          (C) dietary supplements, vitamins, minerals, herbs, or other similar substances
             11039      including concentrates or extracts, which are not otherwise regulated by law, which may
             11040      contain naturally occurring amounts of chemical or substances listed in this chapter, or in rules
             11041      adopted pursuant to Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
             11042          (g) (i) "Controlled substance analog" means a substance the chemical structure of
             11043      which is substantially similar to the chemical structure of a controlled substance listed in
             11044      Schedules I and II of Section 58-37-4 , or in Schedules I and II of the federal Controlled
             11045      Substances Act, Title II, P.L. 91-513:
             11046          (A) which has a stimulant, depressant, or hallucinogenic effect on the central nervous
             11047      system substantially similar to the stimulant, depressant, or hallucinogenic effect on the central
             11048      nervous system of controlled substances in the schedules set forth in Subsection (1)(f); or
             11049          (B) which, with respect to a particular individual, is represented or intended to have a
             11050      stimulant, depressant, or hallucinogenic effect on the central nervous system substantially
             11051      similar to the stimulant, depressant, or hallucinogenic effect on the central nervous system of
             11052      controlled substances in the schedules set forth in this Subsection (1).
             11053          (ii) "Controlled substance analog" does not include:
             11054          (A) a controlled substance currently scheduled in Schedules I through V of Section
             11055      58-37-4 ;
             11056          (B) a substance for which there is an approved new drug application;
             11057          (C) a substance with respect to which an exemption is in effect for investigational use
             11058      by a particular person under Section 505 of the Food, Drug, and Cosmetic Act, 21 U.S.C. 355,
             11059      to the extent the conduct with respect to the substance is permitted by the exemption;
             11060          (D) any substance to the extent not intended for human consumption before an
             11061      exemption takes effect with respect to the substance;


             11062          (E) any drug intended for lawful use in the diagnosis, cure, mitigation, treatment, or
             11063      prevention of disease in man or other animals, which contains ephedrine, pseudoephedrine,
             11064      norpseudoephedrine, or phenylpropanolamine if the drug is lawfully purchased, sold,
             11065      transferred, or furnished as an over-the-counter medication without prescription; or
             11066          (F) dietary supplements, vitamins, minerals, herbs, or other similar substances
             11067      including concentrates or extracts, which are not otherwise regulated by law, which may
             11068      contain naturally occurring amounts of chemical or substances listed in this chapter, or in rules
             11069      adopted pursuant to Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
             11070          (h) "Conviction" means a determination of guilt by verdict, whether jury or bench, or
             11071      plea, whether guilty or no contest, for any offense proscribed by Title 58, Chapters 37, 37a,
             11072      37b, 37c, or 37d, or for any offense under the laws of the United States and any other state
             11073      which, if committed in this state, would be an offense under Title 58, Chapters 37, 37a, 37b,
             11074      37c, or 37d.
             11075          (i) "Counterfeit substance" means:
             11076          (i) any substance or container or labeling of any substance that without authorization
             11077      bears the trademark, trade name, or other identifying mark, imprint, number, device, or any
             11078      likeness of them, of a manufacturer, distributor, or dispenser other than the person or persons
             11079      who in fact manufactured, distributed, or dispensed the substance which falsely purports to be
             11080      a controlled substance distributed by, any other manufacturer, distributor, or dispenser; or
             11081          (ii) any substance that is represented to be a controlled substance.
             11082          (j) "Deliver" or "delivery" means the actual, constructive, or attempted transfer of a
             11083      controlled substance or a listed chemical, whether or not an agency relationship exists.
             11084          (k) "Department" means the Department of Commerce.
             11085          (l) "Depressant or stimulant substance" means:
             11086          (i) a drug which contains any quantity of barbituric acid or any of the salts of
             11087      barbituric acid;
             11088          (ii) a drug which contains any quantity of:
             11089          (A) amphetamine or any of its optical isomers;


             11090          (B) any salt of amphetamine or any salt of an optical isomer of amphetamine; or
             11091          (C) any substance which the Secretary of Health and Human Services or the Attorney
             11092      General of the United States after investigation has found and by regulation designated
             11093      habit-forming because of its stimulant effect on the central nervous system;
             11094          (iii) lysergic acid diethylamide; or
             11095          (iv) any drug which contains any quantity of a substance which the Secretary of
             11096      Health and Human Services or the Attorney General of the United States after investigation
             11097      has found to have, and by regulation designated as having, a potential for abuse because of its
             11098      depressant or stimulant effect on the central nervous system or its hallucinogenic effect.
             11099          (m) "Dispense" means the delivery of a controlled substance by a pharmacist to an
             11100      ultimate user pursuant to the lawful order or prescription of a practitioner, and includes
             11101      distributing to, leaving with, giving away, or disposing of that substance as well as the
             11102      packaging, labeling, or compounding necessary to prepare the substance for delivery.
             11103          (n) "Dispenser" means a pharmacist who dispenses a controlled substance.
             11104          (o) "Distribute" means to deliver other than by administering or dispensing a
             11105      controlled substance or a listed chemical.
             11106          (p) "Distributor" means a person who distributes controlled substances.
             11107          (q) "Division" means the Division of Occupational and Professional Licensing created
             11108      in Section 58-1-103 .
             11109          (r) "Drug" means:
             11110          (i) articles recognized in the official United States Pharmacopoeia, Official
             11111      Homeopathic Pharmacopoeia of the United States, or Official National Formulary, or any
             11112      supplement to any of them;
             11113          (ii) articles intended for use in the diagnosis, cure, mitigation, treatment, or prevention
             11114      of disease in man or other animals;
             11115          (iii) articles, other than food, intended to affect the structure or function of man or
             11116      other animals; and
             11117          (iv) articles intended for use as a component of any articles specified in Subsection


             11118      (1)(r)(i), (ii), or (iii); but does not include devices or their components, parts, or accessories.
             11119          (s) "Drug dependent person" means any individual who unlawfully and habitually uses
             11120      any controlled substance to endanger the public morals, health, safety, or welfare, or who is so
             11121      dependent upon the use of controlled substances as to have lost the power of self-control with
             11122      reference to the individual's dependency.
             11123          (t) "Food" means:
             11124          (i) any nutrient or substance of plant, mineral, or animal origin other than a drug as
             11125      specified in this chapter, and normally ingested by human beings; and
             11126          (ii) foods for special dietary uses as exist by reason of a physical, physiological,
             11127      pathological, or other condition including but not limited to the conditions of disease,
             11128      convalescence, pregnancy, lactation, allergy, hypersensitivity to food, underweight, and
             11129      overweight; uses for supplying a particular dietary need which exist by reason of age including
             11130      but not limited to the ages of infancy and childbirth, and also uses for supplementing and for
             11131      fortifying the ordinary or unusual diet with any vitamin, mineral, or other dietary property for
             11132      use of a food. Any particular use of a food is a special dietary use regardless of the nutritional
             11133      purposes.
             11134          (u) "Immediate precursor" means a substance which the Attorney General of the
             11135      United States has found to be, and by regulation designated as being, the principal compound
             11136      used or produced primarily for use in the manufacture of a controlled substance, or which is an
             11137      immediate chemical intermediary used or likely to be used in the manufacture of a controlled
             11138      substance, the control of which is necessary to prevent, curtail, or limit the manufacture of the
             11139      controlled substance.
             11140          (v) "Indian" means a member of an Indian tribe.
             11141          (w) "Indian religion" means any religion:
             11142          (i) the origin and interpretation of which is from within a traditional Indian culture or
             11143      community; and
             11144          (ii) which is practiced by Indians.
             11145          (x) "Indian tribe" means any tribe, band, nation, pueblo, or other organized group or


             11146      community of Indians, including any Alaska Native village, which is legally recognized as
             11147      eligible for and is consistent with the special programs, services, and entitlements provided by
             11148      the United States to Indians because of their status as Indians.
             11149          (y) "Manufacture" means the production, preparation, propagation, compounding, or
             11150      processing of a controlled substance, either directly or indirectly by extraction from substances
             11151      of natural origin, or independently by means of chemical synthesis or by a combination of
             11152      extraction and chemical synthesis.
             11153          (z) "Manufacturer" includes any person who packages, repackages, or labels any
             11154      container of any controlled substance, except pharmacists who dispense or compound
             11155      prescription orders for delivery to the ultimate consumer.
             11156          (aa) "Marijuana" means all species of the genus cannabis and all parts of the genus,
             11157      whether growing or not; the seeds of it; the resin extracted from any part of the plant; and
             11158      every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds,
             11159      or resin. The term does not include the mature stalks of the plant, fiber produced from the
             11160      stalks, oil or cake made from the seeds of the plant, any other compound, manufacture, salt,
             11161      derivative, mixture, or preparation of the mature stalks, except the resin extracted from them,
             11162      fiber, oil or cake, or the sterilized seed of the plant which is incapable of germination. Any
             11163      synthetic equivalents of the substances contained in the plant cannabis sativa or any other
             11164      species of the genus cannabis which are chemically indistinguishable and pharmacologically
             11165      active are also included.
             11166          (bb) "Money" means officially issued coin and currency of the United States or any
             11167      foreign country.
             11168          (cc) "Narcotic drug" means any of the following, whether produced directly or
             11169      indirectly by extraction from substances of vegetable origin, or independently by means of
             11170      chemical synthesis, or by a combination of extraction and chemical synthesis:
             11171          (i) opium, coca leaves, and opiates;
             11172          (ii) a compound, manufacture, salt, derivative, or preparation of opium, coca leaves, or
             11173      opiates;


             11174          (iii) opium poppy and poppy straw; or
             11175          (iv) a substance, and any compound, manufacture, salt, derivative, or preparation of
             11176      the substance, which is chemically identical with any of the substances referred to in
             11177      Subsection (1)(cc)(i), (ii), or (iii), except narcotic drug does not include decocainized coca
             11178      leaves or extracts of coca leaves which do not contain cocaine or ecgonine.
             11179          (dd) "Negotiable instrument" means documents, containing an unconditional promise
             11180      to pay a sum of money, which are legally transferable to another party by endorsement or
             11181      delivery.
             11182          (ee) "Opiate" means any drug or other substance having an addiction-forming or
             11183      addiction-sustaining liability similar to morphine or being capable of conversion into a drug
             11184      having addiction-forming or addiction-sustaining liability.
             11185          (ff) "Opium poppy" means the plant of the species papaver somniferum L., except the
             11186      seeds of the plant.
             11187          (gg) "Person" means any corporation, association, partnership, trust, other institution
             11188      or entity or one or more individuals.
             11189          (hh) "Poppy straw" means all parts, except the seeds, of the opium poppy, after
             11190      mowing.
             11191          (ii) "Possession" or "use" means the joint or individual ownership, control, occupancy,
             11192      holding, retaining, belonging, maintaining, or the application, inhalation, swallowing,
             11193      injection, or consumption, as distinguished from distribution, of controlled substances and
             11194      includes individual, joint, or group possession or use of controlled substances. For a person to
             11195      be a possessor or user of a controlled substance, it is not required that the person be shown to
             11196      have individually possessed, used, or controlled the substance, but it is sufficient if it is shown
             11197      that the person jointly participated with one or more persons in the use, possession, or control
             11198      of any substances with knowledge that the activity was occurring, or the controlled substance
             11199      is found in a place or under circumstances indicating that the person had the ability and the
             11200      intent to exercise dominion and control over it.
             11201          (jj) "Practitioner" means a physician, dentist, naturopathic physician, veterinarian,


             11202      pharmacist, scientific investigator, pharmacy, hospital, or other person licensed, registered, or
             11203      otherwise permitted to distribute, dispense, conduct research with respect to, administer, or
             11204      use in teaching or chemical analysis a controlled substance in the course of professional
             11205      practice or research in this state.
             11206          (kk) "Prescribe" means to issue a prescription orally or in writing.
             11207          (ll) "Prescription" means an order issued by a licensed practitioner, in the course of
             11208      that practitioner's professional practice, for a controlled substance, other drug, or device which
             11209      it dispenses or administers for use by a patient or an animal. The order may be issued by word
             11210      of mouth, written document, telephone, facsimile transmission, computer, or other electronic
             11211      means of communication as defined by rule.
             11212          (mm) "Production" means the manufacture, planting, cultivation, growing, or
             11213      harvesting of a controlled substance.
             11214          (nn) "Securities" means any stocks, bonds, notes, or other evidences of debt or of
             11215      property.
             11216          (oo) "State" means the state of Utah.
             11217          (pp) "Ultimate user" means any person who lawfully possesses a controlled substance
             11218      for the person's own use, for the use of a member of the person's household, or for
             11219      administration to an animal owned by the person or a member of the person's household.
             11220          (2) If a term used in this chapter is not defined, the definition and terms of Title 76,
             11221      Utah Criminal Code, shall apply.
             11222          Section 369. Section 58-82-102 (Effective 07/01/12) is amended to read:
             11223           58-82-102 (Effective 07/01/12). Definitions.
             11224          As used in this chapter:
             11225          (1) "Drug" is as defined in Section 58-37-2 .
             11226          (2) "Electronic prescribing" means the electronic generation and transmission of a
             11227      prescription between a practitioner and a pharmacy.
             11228          (3) "Existing patient" means a person who a practitioner has:
             11229          (a) obtained information regarding, in the usual course of professional practice, that is


             11230      sufficient to:
             11231          (i) establish a diagnoses;
             11232          (ii) identify conditions; and
             11233          (iii) identify contraindications to potential treatment; and
             11234          (b) accepted as a patient.
             11235          (4) (a) "Federal controlled substance" means a drug or substance included in
             11236      Schedules I, II, III, IV, or V of the federal Controlled Substances Act, Title II, P.L. 91-513, or
             11237      any federal controlled substance analog.
             11238          (b) "Federal controlled substance" does not include:
             11239          (i) distilled spirits, wine, or malt beverages, as those terms are defined or used in Title
             11240      [32A] 32B, Alcoholic Beverage Control Act, regarding tobacco or food;
             11241          (ii) any drug intended for lawful use in the diagnosis, cure, mitigation, treatment, or
             11242      prevention of disease in man or other animals, which contains ephedrine, pseudoephedrine,
             11243      norpseudoephedrine, or phenylpropanolamine if the drug is lawfully purchased, sold,
             11244      transferred, or furnished as an over-the-counter medication without prescription; or
             11245          (iii) dietary supplements, vitamins, minerals, herbs, or other similar substances
             11246      including concentrates or extracts, which are not otherwise regulated by law, which may
             11247      contain naturally occurring amounts of chemicals or substances listed in this chapter, or in
             11248      rules adopted pursuant to Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
             11249          (5) (a) "Federal controlled substance analog" means a substance the chemical structure
             11250      of which is substantially similar to the chemical structure of a controlled substance listed in
             11251      Schedules I and II of the federal Controlled Substances Act, Title II, P.L. 91-513:
             11252          (i) which has a stimulant, depressant, or hallucinogenic effect on the central nervous
             11253      system substantially similar to the stimulant, depressant, or hallucinogenic effect on the central
             11254      nervous system of controlled substances in the schedules set forth in Subsection (4); or
             11255          (ii) which, with respect to a particular individual, is represented or intended to have a
             11256      stimulant, depressant, or hallucinogenic effect on the central nervous system substantially
             11257      similar to the stimulant, depressant, or hallucinogenic effect on the central nervous system of


             11258      controlled substances in the schedules set forth in Subsection (4).
             11259          (b) "Federal controlled substance analog" does not include:
             11260          (i) a controlled substance currently scheduled in Schedules I through V of Section
             11261      58-37-4 ;
             11262          (ii) a substance for which there is an approved new drug application;
             11263          (iii) a substance with respect to which an exemption is in effect for investigational use
             11264      by a particular person under Section 505 of the Food, Drug, and Cosmetic Act, 21 U.S.C. 355,
             11265      to the extent the conduct with respect to the substance is permitted by the exemption;
             11266          (iv) any substance to the extent not intended for human consumption before an
             11267      exemption takes effect with respect to the substance;
             11268          (v) any drug intended for lawful use in the diagnosis, cure, mitigation, treatment, or
             11269      prevention of disease in man or other animals, which contains ephedrine, pseudoephedrine,
             11270      norpseudoephedrine, or phenylpropanolamine if the drug is lawfully purchased, sold,
             11271      transferred, or furnished as an over-the-counter medication without prescription; or
             11272          (vi) dietary supplements, vitamins, minerals, herbs, or other similar substances
             11273      including concentrates or extracts, which are not otherwise regulated by law, which may
             11274      contain naturally occurring amounts of chemicals or substances listed in this chapter, or in
             11275      rules adopted pursuant to Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
             11276          (6) "Pharmacy" is as defined in Section 58-17b-102 .
             11277          (7) "Practitioner" means an individual currently licensed, registered, or otherwise
             11278      authorized by the state to prescribe and administer a drug in the course of professional
             11279      practice.
             11280          (8) "Prescription" is as defined in Section 58-37-2 .
             11281          Section 370. Section 59-15-101 is amended to read:
             11282           59-15-101. Tax basis -- Rate.
             11283          (1) (a) A tax is imposed at the rate specified in Subsection (1)(b) on all beer, as
             11284      defined in Section [ 32A-1-105 ] 32B-1-102 , that is imported or manufactured for sale, use, or
             11285      distribution in this state.


             11286          (b) The tax described in Subsection (1)(a) shall be imposed at a rate of:
             11287          (i) $11 per 31-gallon barrel for beer imported or manufactured:
             11288          (A) before July 1, 2003; and
             11289          (B) for sale, use, or distribution in this state; and
             11290          (ii) $12.80 per 31-gallon barrel for beer imported or manufactured:
             11291          (A) on or after July 1, 2003; and
             11292          (B) for sale, use, or distribution in this state.
             11293          (c) The tax imposed under this Subsection (1):
             11294          (i) shall be imposed at a proportionate rate for:
             11295          (A) any quantity of beer other than a 31-gallon barrel; or
             11296          (B) the fractional parts of a 31-gallon barrel; and
             11297          (ii) may not be imposed more than once on the same beer.
             11298          (2) A tax may not be imposed on beer:
             11299          (a) sold to the United States and its agencies; or
             11300          (b) (i) manufactured or imported for sale, use, or distribution outside the state; and
             11301          (ii) exported from the state.
             11302          Section 371. Section 59-15-109 is amended to read:
             11303           59-15-109. Tax moneys to be paid to state treasurer.
             11304          (1) Taxes collected under this chapter shall be paid by the commission to the state
             11305      treasurer daily for deposit as follows:
             11306          [(a) for fiscal year 2003-04:]
             11307          [(i) $2,525,666 shall be deposited into the Alcoholic Beverage Enforcement and
             11308      Treatment Restricted Account created in Section 32A-1-115 ; and]
             11309          [(ii) the revenue collected in excess of $2,525,666 shall be deposited into the General
             11310      Fund;]
             11311          [(b) for fiscal year 2004-05:]
             11312          [(i) $3,133,777 shall be deposited into the Alcoholic Beverage Enforcement and
             11313      Treatment Restricted Account created in Section 32A-1-115 ; and]


             11314          [(ii) the revenue collected in excess of $3,133,777 shall be deposited into the General
             11315      Fund;]
             11316          [(c) for fiscal year 2005-06:]
             11317          [(i) $3,741,888 shall be deposited into the Alcoholic Beverage Enforcement and
             11318      Treatment Restricted Account created in Section 32A-1-115 ; and]
             11319          [(ii) the revenue collected in excess of $3,741,888 shall be deposited into the General
             11320      Fund;]
             11321          [(d) for fiscal year 2006-07:]
             11322          [(i) $4,350,000 shall be deposited into the Alcoholic Beverage Enforcement and
             11323      Treatment Restricted Account created in Section 32A-1-115 ; and]
             11324          [(ii) the revenue collected in excess of $4,350,000 shall be deposited into the General
             11325      Fund; and]
             11326          [(e) beginning with fiscal year 2007-08:]
             11327          [(i)] (a) the greater of the following shall be deposited into the Alcoholic Beverage
             11328      Enforcement and Treatment Restricted Account created in Section [ 32A-1-115 ] 32B-2-403 :
             11329          [(A)] (i) 40% of the revenue collected for the fiscal year two years preceding the fiscal
             11330      year for which the deposit is made; or
             11331          [(B)] (ii) $4,350,000; and
             11332          [(ii)] (b) the revenue collected in excess of the amount deposited in accordance with
             11333      Subsection (1)[(e)(i)](a) shall be deposited into the General Fund.
             11334          (2) (a) [Beginning with September 1, 2006, the] The commission shall notify the
             11335      entities described in Subsection (2)(b) not later than the September 1 preceding the fiscal year
             11336      of the deposit of:
             11337          (i) the amount of the proceeds of the beer excise tax collected in accordance with this
             11338      section for the fiscal year two years preceding the fiscal year of deposit; and
             11339          (ii) an amount equal to 40% of the amount listed in Subsection (2)(a)(i).
             11340          (b) The notification required by Subsection (2)(a) shall be sent to:
             11341          (i) the Governor's Office of Planning and Budget; and


             11342          (ii) the Legislative Fiscal Analyst.
             11343          Section 372. Section 62A-15-401 is amended to read:
             11344           62A-15-401. Alcohol training and education seminar.
             11345          (1) As used in this part:
             11346          (a) "Instructor" means a person that directly provides the instruction during an alcohol
             11347      training and education seminar for a seminar provider.
             11348          (b) "Licensee" means a person who is:
             11349          (i) (A) a new or renewing licensee under Title [32A] 32B, Alcoholic Beverage Control
             11350      Act; and
             11351          (B) engaged in the retail sale of [alcoholic beverages] an alcoholic product for
             11352      consumption on the premises of the licensee; or
             11353          (ii) a business that is:
             11354          (A) a new or renewing licensee licensed by a city, town, or county; and
             11355          (B) engaged in the retail sale of beer for consumption off the premises of the licensee.
             11356          (c) "Off-premise beer retailer" is as defined in Section [ 32A-1-105 ] 32B-1-102 .
             11357          (d) "Seminar provider" means a person other than the division who provides an
             11358      alcohol training and education seminar meeting the requirements of this section.
             11359          (2) (a) This section applies to an individual who, as defined by the board by rule:
             11360          (i) manages operations at the premises of a licensee engaged in the retail sale of
             11361      [alcoholic beverages] an alcoholic product for consumption on the premises of the licensee;
             11362          (ii) supervises the serving of [alcoholic beverages] an alcoholic product to a customer
             11363      for consumption on the premises of a licensee;
             11364          (iii) serves [alcoholic beverages] an alcoholic product to a customer for consumption
             11365      on the premises of a licensee;
             11366          (iv) directly supervises the sale of beer to a customer for consumption off the premises
             11367      of an off-premise beer retailer [licensee]; or
             11368          (v) sells beer to a customer for consumption off the premises of an off-premise beer
             11369      retailer [licensee].


             11370          (b) If the individual does not have a valid [certificate] record that the individual has
             11371      completed an alcohol training and education seminar, an individual described in Subsection
             11372      (2)(a) shall:
             11373          (i) (A) complete an alcohol training and education seminar within 30 days of the
             11374      following if the individual is described in Subsections (2)(a)(i) through (iii):
             11375          (I) if the individual is an employee, the day the individual begins employment;
             11376          (II) if the individual is an independent contractor, the day the individual is first hired;
             11377      or
             11378          (III) if the individual holds an ownership interest in the licensee, the day that the
             11379      individual first engages in an activity that would result in that individual being required to
             11380      complete an alcohol training and education seminar; or
             11381          (B) complete an alcohol training and education seminar within the time periods
             11382      specified in Subsection [ 32A-10-103 ] 32B-5-404 (1) if the individual is described in
             11383      Subsections (2)(a)(iv) and (v); and
             11384          (ii) pay a fee:
             11385          (A) to the seminar provider; and
             11386          (B) that is equal to or greater than the amount established under Subsection (4)(h).
             11387          (c) An individual shall have a valid [certificate] record that the individual completed
             11388      an alcohol training and education seminar within the time period provided in this Subsection
             11389      (2) to engage in an activity described in Subsection (2)(a).
             11390          (d) A [certificate] record that an individual has completed an alcohol training and
             11391      education seminar is valid for:
             11392          (i) three years from the day on which the [certificate] record is issued for an individual
             11393      described in Subsection (2)(a)(i), (ii), or (iii); and
             11394          (ii) five years from the day on which the [certificate] record is issued for an individual
             11395      described in Subsection (2)(a)(iv) or (v).
             11396          (3) (a) A licensee may not permit an individual who is not in compliance with
             11397      Subsection (2) to:


             11398          (i) serve or supervise the serving of [alcoholic beverages] an alcoholic product to a
             11399      customer for consumption on the premises of the licensee;
             11400          (ii) engage in any activity that would constitute managing operations at the premises
             11401      of a licensee that engages in the retail sale of [alcoholic beverages] an alcoholic product for
             11402      consumption on the premises of the licensee;
             11403          (iii) directly supervise the sale of beer to a customer for consumption off the premises
             11404      of an off-premise beer retailer [licensee]; or
             11405          (iv) sell beer to a customer for consumption off the premises of an off-premise beer
             11406      retailer [licensee].
             11407          (b) A licensee that violates Subsection (3)(a) is subject to Section [ 32A-1-401 ]
             11408      32B-5-403 .
             11409          (4) The division shall:
             11410          (a) (i) provide alcohol training and education seminars; or
             11411          (ii) certify one or more seminar providers;
             11412          (b) establish the curriculum for an alcohol training and education seminar that
             11413      includes the following subjects:
             11414          (i) (A) alcohol as a drug; and
             11415          (B) alcohol's effect on the body and behavior;
             11416          (ii) recognizing the problem drinker or signs of intoxication;
             11417          (iii) an overview of state alcohol laws related to responsible beverage sale or service,
             11418      as determined in consultation with the Department of Alcoholic Beverage Control;
             11419          (iv) dealing with the problem customer, including ways to terminate sale or service;
             11420      and
             11421          (v) for those supervising or engaging in the retail sale of [alcoholic beverages] an
             11422      alcoholic product for consumption on the premises of a licensee, alternative means of
             11423      transportation to get the customer safely home;
             11424          (c) recertify each seminar provider every three years;
             11425          (d) monitor compliance with the curriculum described in Subsection (4)(b);


             11426          (e) maintain for at least five years a record of every person who has completed an
             11427      alcohol training and education seminar;
             11428          (f) provide the information described in Subsection (4)(e) on request to:
             11429          (i) the Department of Alcoholic Beverage Control;
             11430          (ii) law enforcement; or
             11431          (iii) a person licensed by the state or a local government to sell [alcoholic beverages]
             11432      an alcoholic product;
             11433          (g) provide the Department of Alcoholic Beverage Control on request a list of any
             11434      seminar provider certified by the division; and
             11435          (h) establish a fee amount for each person attending an alcohol training and education
             11436      seminar that is sufficient to offset the division's cost of administering this section.
             11437          (5) The board shall by rule made in accordance with Title 63G, Chapter 3, Utah
             11438      Administrative Rulemaking Act:
             11439          (a) define what constitutes under this section an individual who:
             11440          (i) manages operations at the premises of a licensee engaged in the retail sale of
             11441      [alcoholic beverages] an alcoholic product for consumption on the premises of the licensee;
             11442          (ii) supervises the serving of [alcoholic beverages] an alcoholic product to a customer
             11443      for consumption on the premises of a licensee;
             11444          (iii) serves [alcoholic beverages] an alcoholic product to a customer for consumption
             11445      on the premises of a licensee;
             11446          (iv) directly supervises the sale of beer to a customer for consumption off the premises
             11447      of an off-premise beer retailer [beer licensee]; or
             11448          (v) sells beer to a customer for consumption off the premises of an off-premise beer
             11449      retailer [licensee];
             11450          (b) establish criteria for certifying and recertifying a seminar provider; and
             11451          (c) establish guidelines for the manner in which an instructor provides an alcohol
             11452      education and training seminar.
             11453          (6) A seminar provider shall:


             11454          (a) obtain recertification by the division every three years;
             11455          (b) ensure that an instructor used by the seminar provider:
             11456          (i) follows the curriculum established under this section; and
             11457          (ii) conducts an alcohol training and education seminar in accordance with the
             11458      guidelines established by rule;
             11459          (c) ensure that any information provided by the seminar provider or instructor of a
             11460      seminar provider is consistent with:
             11461          (i) the curriculum established under this section; and
             11462          (ii) this section;
             11463          (d) provide the division with the names of all persons who complete an alcohol
             11464      training and education seminar provided by the seminar provider;
             11465          (e) (i) collect a fee for each person attending an alcohol training and education
             11466      seminar in accordance with Subsection (2); and
             11467          (ii) forward to the division the portion of the fee that is equal to the amount described
             11468      in Subsection (4)(h); and
             11469          (f) issue a [certificate] record to an individual that completes an alcohol training and
             11470      education seminar provided by the seminar provider.
             11471          (7) (a) If after a hearing conducted in accordance with Title 63G, Chapter 4,
             11472      Administrative Procedures Act, the division finds that a seminar provider violates this section
             11473      or that an instructor of the seminar provider violates this section, the division may:
             11474          (i) suspend the certification of the seminar provider for a period not to exceed 90 days;
             11475          (ii) revoke the certification of the seminar provider;
             11476          (iii) require the seminar provider to take corrective action regarding an instructor; or
             11477          (iv) prohibit the seminar provider from using an instructor until such time that the
             11478      seminar provider establishes to the satisfaction of the division that the instructor is in
             11479      compliance with Subsection (6)(b).
             11480          (b) The division may certify a seminar provider whose certification is revoked:
             11481          (i) no sooner than 90 days from the date the certification is revoked; and


             11482          (ii) if the seminar provider establishes to the satisfaction of the division that the
             11483      seminar provider will comply with this section.
             11484          Section 373. Section 63G-4-201 is amended to read:
             11485           63G-4-201. Commencement of adjudicative proceedings.
             11486          (1) Except as otherwise permitted by Section 63G-4-502 , all adjudicative proceedings
             11487      shall be commenced by either:
             11488          (a) a notice of agency action, if proceedings are commenced by the agency; or
             11489          (b) a request for agency action, if proceedings are commenced by persons other than
             11490      the agency.
             11491          (2) A notice of agency action shall be filed and served according to the following
             11492      requirements:
             11493          (a) The notice of agency action shall be in writing, signed by a presiding officer, and
             11494      shall include:
             11495          (i) the names and mailing addresses of all persons to whom notice is being given by
             11496      the presiding officer, and the name, title, and mailing address of any attorney or employee who
             11497      has been designated to appear for the agency;
             11498          (ii) the agency's file number or other reference number;
             11499          (iii) the name of the adjudicative proceeding;
             11500          (iv) the date that the notice of agency action was mailed;
             11501          (v) a statement of whether the adjudicative proceeding is to be conducted informally
             11502      according to the provisions of rules adopted under Sections 63G-4-202 and 63G-4-203 , or
             11503      formally according to the provisions of Sections 63G-4-204 through 63G-4-209 ;
             11504          (vi) if the adjudicative proceeding is to be formal, a statement that each respondent
             11505      must file a written response within 30 days of the mailing date of the notice of agency action;
             11506          (vii) if the adjudicative proceeding is to be formal, or if a hearing is required by statute
             11507      or rule, a statement of the time and place of any scheduled hearing, a statement of the purpose
             11508      for which the hearing is to be held, and a statement that a party who fails to attend or
             11509      participate in the hearing may be held in default;


             11510          (viii) if the adjudicative proceeding is to be informal and a hearing is required by
             11511      statute or rule, or if a hearing is permitted by rule and may be requested by a party within the
             11512      time prescribed by rule, a statement that the parties may request a hearing within the time
             11513      provided by the agency's rules;
             11514          (ix) a statement of the legal authority and jurisdiction under which the adjudicative
             11515      proceeding is to be maintained;
             11516          (x) the name, title, mailing address, and telephone number of the presiding officer; and
             11517          (xi) a statement of the purpose of the adjudicative proceeding and, to the extent known
             11518      by the presiding officer, the questions to be decided.
             11519          (b) When adjudicative proceedings are commenced by the agency, the agency shall:
             11520          (i) mail the notice of agency action to each party;
             11521          (ii) publish the notice of agency action, if required by statute; and
             11522          (iii) mail the notice of agency action to any other person who has a right to notice
             11523      under statute or rule.
             11524          (3) (a) Where the law applicable to the agency permits persons other than the agency
             11525      to initiate adjudicative proceedings, that person's request for agency action shall be in writing
             11526      and signed by the person invoking the jurisdiction of the agency, or by that person's
             11527      representative, and shall include:
             11528          (i) the names and addresses of all persons to whom a copy of the request for agency
             11529      action is being sent;
             11530          (ii) the agency's file number or other reference number, if known;
             11531          (iii) the date that the request for agency action was mailed;
             11532          (iv) a statement of the legal authority and jurisdiction under which agency action is
             11533      requested;
             11534          (v) a statement of the relief or action sought from the agency; and
             11535          (vi) a statement of the facts and reasons forming the basis for relief or agency action.
             11536          (b) The person requesting agency action shall file the request with the agency and shall
             11537      mail a copy to each person known to have a direct interest in the requested agency action.


             11538          (c) An agency may, by rule, prescribe one or more forms eliciting the information
             11539      required by Subsection (3)(a) to serve as the request for agency action when completed and
             11540      filed by the person requesting agency action.
             11541          (d) The presiding officer shall promptly review a request for agency action and shall:
             11542          (i) notify the requesting party in writing that the request is granted and that the
             11543      adjudicative proceeding is completed;
             11544          (ii) notify the requesting party in writing that the request is denied and, if the
             11545      proceeding is a formal adjudicative proceeding, that the party may request a hearing before the
             11546      agency to challenge the denial; or
             11547          (iii) notify the requesting party that further proceedings are required to determine the
             11548      agency's response to the request.
             11549          (e) (i) Any notice required by Subsection (3)(d)(ii) shall contain the information
             11550      required by Subsection 63G-4-203 (1)(i) in addition to disclosure required by Subsection
             11551      (3)(d)(ii).
             11552          (ii) The agency shall mail any notice required by Subsection (3)(d) to all parties,
             11553      except that any notice required by Subsection (3)(d)(iii) may be published when publication is
             11554      required by statute.
             11555          (iii) The notice required by Subsection (3)(d)(iii) shall:
             11556          (A) give the agency's file number or other reference number;
             11557          (B) give the name of the proceeding;
             11558          (C) designate whether the proceeding is one of a category to be conducted informally
             11559      according to the provisions of rules enacted under Sections 63G-4-202 and 63G-4-203 , with
             11560      citation to the applicable rule authorizing that designation, or formally according to Sections
             11561      63G-4-204 through 63G-4-209 ;
             11562          (D) in the case of a formal adjudicative proceeding, and where respondent parties are
             11563      known, state that a written response must be filed within 30 days of the date of the agency's
             11564      notice if mailed, or within 30 days of the last publication date of the agency's notice, if
             11565      published;


             11566          (E) if the adjudicative proceeding is to be formal, or if a hearing is to be held in an
             11567      informal adjudicative proceeding, state the time and place of any scheduled hearing, the
             11568      purpose for which the hearing is to be held, and that a party who fails to attend or participate
             11569      in a scheduled and noticed hearing may be held in default;
             11570          (F) if the adjudicative proceeding is to be informal, and a hearing is required by statute
             11571      or rule, or if a hearing is permitted by rule and may be requested by a party within the time
             11572      prescribed by rule, state the parties' right to request a hearing and the time within which a
             11573      hearing may be requested under the agency's rules; and
             11574          (G) give the name, title, mailing address, and telephone number of the presiding
             11575      officer.
             11576          (4) When initial agency determinations or actions are not governed by this chapter, but
             11577      agency and judicial review of those initial determinations or actions are subject to the
             11578      provisions of this chapter, the request for agency action seeking review must be filed with the
             11579      agency within the time prescribed by the agency's rules.
             11580          (5) For designated classes of adjudicative proceedings, an agency may, by rule,
             11581      provide for a longer response time than allowed by this section, and may provide for a shorter
             11582      response time if required or permitted by applicable federal law.
             11583          (6) Unless the agency provides otherwise by rule or order, an application for a package
             11584      agency, license, permit, or certificate of approval filed under authority of Title [32A] 32B,
             11585      Alcoholic Beverage Control Act, is not considered to be a request for agency action under this
             11586      chapter.
             11587          (7) If the purpose of the adjudicative proceeding is to award a license or other
             11588      privilege as to which there are multiple competing applicants, the agency may, by rule or
             11589      order, conduct a single adjudicative proceeding to determine the award of that license or
             11590      privilege.
             11591          Section 374. Section 76-5-113 is amended to read:
             11592           76-5-113. Surreptitious administration of certain substances -- Definitions --
             11593      Penalties -- Defenses.


             11594          (1) As used in this section:
             11595          (a) "Administer" means the introduction of a substance into the body by injection,
             11596      inhalation, ingestion, or by any other means.
             11597          (b) "Alcoholic beverage" has the same meaning as "alcoholic beverage" in Section
             11598      [ 32A-1-105 ] 32B-1-102 .
             11599          (c) "Bodily injury" has the same definition as in Section 76-1-601 .
             11600          (d) "Controlled substance" has the same definition as in Section 58-37-2 .
             11601          (e) "Deleterious substance" means a substance which, if administered, would likely
             11602      cause bodily injury.
             11603          (f) "Poisonous" means a substance which, if administered, would likely cause serious
             11604      bodily injury or death.
             11605          (g) "Prescription drug" has the same definition as in Section 58-17b-102 .
             11606          (h) "Serious bodily injury" has the same definition as in Section 19-2-115 .
             11607          (i) "Substance" means a controlled substance, poisonous substance, or deleterious
             11608      substance as defined in this Subsection (1).
             11609          (2) In addition to any other offense the actor's conduct may constitute, it is a criminal
             11610      offense for a person, surreptitiously or by means of fraud, deception, or misrepresentation, to
             11611      cause another person to unknowingly consume or receive the administration of:
             11612          (a) any poisonous, deleterious, or controlled substance; or
             11613          (b) any alcoholic beverage.
             11614          (3) A violation of Subsection (2) is:
             11615          (a) a second degree felony if the substance is a poisonous substance, regardless of
             11616      whether the substance is a controlled substance or a prescription drug;
             11617          (b) a third degree felony if the substance is not within the scope of Subsection (3)(a),
             11618      and is a controlled substance or a prescription drug; and
             11619          (c) a class A misdemeanor if the substance is a deleterious substance or an alcoholic
             11620      beverage.
             11621          (4) (a) It is an affirmative defense to a prosecution under Subsection (2) that the actor:


             11622          (i) provided the appropriate administration of a prescription drug; and
             11623          (ii) acted on the reasonable belief that [his] the actor's conduct was in the best interest
             11624      of the well-being of the person to whom the prescription drug was administered.
             11625          (b) (i) The defendant shall file and serve on the prosecuting attorney a notice in
             11626      writing of [his] the defendant's intention to claim a defense under Subsection (4)(a) not fewer
             11627      than 20 days before the trial.
             11628          (ii) The notice shall specifically identify the factual basis for the defense and the
             11629      names and addresses of the witnesses the defendant proposes to examine to establish the
             11630      defense.
             11631          (c) The prosecuting attorney shall file and serve the defendant with a notice containing
             11632      the names and addresses of the witnesses the prosecutor proposes to examine in order to
             11633      contradict or rebut the defendant's claim of an affirmative defense under Subsection (4)(a).
             11634      This notice shall be filed or served not more than 10 days after receipt of the defendant's notice
             11635      under Subsection (4)(b), or at another time as the court may direct.
             11636          (d) (i) Failure of a party to comply with the requirements of Subsection (4)(b) or (4)(c)
             11637      entitles the opposing party to a continuance to allow for preparation.
             11638          (ii) If the court finds that a party's failure to comply is the result of bad faith, it may
             11639      impose appropriate sanctions.
             11640          (5) This section does not diminish the scope of authorized health care by a health care
             11641      provider as defined in Section 26-23a-1 .
             11642          Section 375. Section 76-10-1506 is amended to read:
             11643           76-10-1506. Threatening breach of peace -- Disorderly conduct -- Foul language
             11644      -- Refusing requests -- Use of controlled substance, liquor, or tobacco -- Ejection of
             11645      passenger.
             11646          (1) A person is guilty of a class C misdemeanor, if the person:
             11647          (a) threatens a breach of the peace, is disorderly, or uses obscene, profane, or vulgar
             11648      language on a bus;
             11649          (b) is in or upon any bus while unlawfully under the influence of a controlled


             11650      substance as defined in Section 58-37-2 ;
             11651          (c) fails to obey a reasonable request or order of a bus driver, bus company
             11652      representative, a nondrinking designee other than the driver as provided in Subsection
             11653      [ 32A-12-213 (3)] 32B-4-415 (4)(c)(ii), or other person in charge or control of a bus or terminal;
             11654          (d) ingests any controlled substance, unless prescribed by a physician or medical
             11655      facility, in or upon any bus, or drinks intoxicating liquor in or upon any bus, except a
             11656      chartered bus as defined and provided in Sections [ 32A-1-105 ] 32B-1-102 and 41-6a-526 ; or
             11657          (e) smokes tobacco or other products in or upon any bus, except a chartered bus.
             11658          (2) If any person violates Subsection (1), the driver of the bus or person in charge
             11659      thereof may stop at the place where the offense is committed or at the next regular or
             11660      convenient stopping place and remove such person, using only such force as may be necessary
             11661      to accomplish the removal, and the driver or person in charge may request the assistance of
             11662      passengers to assist in the removal.
             11663          (3) The driver or person in charge may cause the person so removed to be detained and
             11664      delivered to the proper authorities.
             11665          Section 376. Section 76-10-1602 is amended to read:
             11666           76-10-1602. Definitions.
             11667          As used in this part:
             11668          (1) "Enterprise" means any individual, sole proprietorship, partnership, corporation,
             11669      business trust, association, or other legal entity, and any union or group of individuals
             11670      associated in fact although not a legal entity, and includes illicit as well as licit entities.
             11671          (2) "Pattern of unlawful activity" means engaging in conduct which constitutes the
             11672      commission of at least three episodes of unlawful activity, which episodes are not isolated, but
             11673      have the same or similar purposes, results, participants, victims, or methods of commission, or
             11674      otherwise are interrelated by distinguishing characteristics. Taken together, the episodes shall
             11675      demonstrate continuing unlawful conduct and be related either to each other or to the
             11676      enterprise. At least one of the episodes comprising a pattern of unlawful activity shall have
             11677      occurred after July 31, 1981. The most recent act constituting part of a pattern of unlawful


             11678      activity as defined by this part shall have occurred within five years of the commission of the
             11679      next preceding act alleged as part of the pattern.
             11680          (3) "Person" includes any individual or entity capable of holding a legal or beneficial
             11681      interest in property, including state, county, and local governmental entities.
             11682          (4) "Unlawful activity" means to directly engage in conduct or to solicit, request,
             11683      command, encourage, or intentionally aid another person to engage in conduct which would
             11684      constitute any offense described by the following crimes or categories of crimes, or to attempt
             11685      or conspire to engage in an act which would constitute any of those offenses, regardless of
             11686      whether the act is in fact charged or indicted by any authority or is classified as a
             11687      misdemeanor or a felony:
             11688          (a) any act prohibited by the criminal provisions of Title 13, Chapter 10, Unauthorized
             11689      Recording Practices Act;
             11690          (b) any act prohibited by the criminal provisions of Title 19, Environmental Quality
             11691      Code, Sections 19-1-101 through 19-7-109 ;
             11692          (c) taking, destroying, or possessing wildlife or parts of wildlife for the primary
             11693      purpose of sale, trade, or other pecuniary gain, in violation of Title 23, Wildlife Resources
             11694      Code of Utah, or Section 23-20-4 ;
             11695          (d) false claims for medical benefits, kickbacks, and any other act prohibited by Title
             11696      26, Chapter 20, Utah False Claims Act, Sections 26-20-1 through 26-20-12 ;
             11697          (e) any act prohibited by the criminal provisions of [Title 32A, Chapter 12, Criminal
             11698      Offenses] Title 32B, Chapter 4, Criminal Offenses and Procedure Act;
             11699          (f) any act prohibited by the criminal provisions of Title 57, Chapter 11, Utah Uniform
             11700      Land Sales Practices Act;
             11701          (g) any act prohibited by the criminal provisions of Title 58, Chapter 37, Utah
             11702      Controlled Substances Act, or Title 58, Chapter 37b, Imitation Controlled Substances Act,
             11703      Title 58, Chapter 37c, Utah Controlled Substance Precursor Act, or Title 58, Chapter 37d,
             11704      Clandestine Drug Lab Act;
             11705          (h) any act prohibited by the criminal provisions of Title 61, Chapter 1, Utah Uniform


             11706      Securities Act;
             11707          (i) any act prohibited by the criminal provisions of Title 63G, Chapter 6 Utah
             11708      Procurement Code;
             11709          (j) assault or aggravated assault, Sections 76-5-102 and 76-5-103 ;
             11710          (k) a terroristic threat, Section 76-5-107 ;
             11711          (l) criminal homicide, Sections 76-5-201 , 76-5-202 , and 76-5-203 ;
             11712          (m) kidnapping or aggravated kidnapping, Sections 76-5-301 and 76-5-302 ;
             11713          (n) sexual exploitation of a minor, Section 76-5a-3 ;
             11714          (o) arson or aggravated arson, Sections 76-6-102 and 76-6-103 ;
             11715          (p) causing a catastrophe, Section 76-6-105 ;
             11716          (q) burglary or aggravated burglary, Sections 76-6-202 and 76-6-203 ;
             11717          (r) burglary of a vehicle, Section 76-6-204 ;
             11718          (s) manufacture or possession of an instrument for burglary or theft, Section 76-6-205 ;
             11719          (t) robbery or aggravated robbery, Sections 76-6-301 and 76-6-302 ;
             11720          (u) theft, Section 76-6-404 ;
             11721          (v) theft by deception, Section 76-6-405 ;
             11722          (w) theft by extortion, Section 76-6-406 ;
             11723          (x) receiving stolen property, Section 76-6-408 ;
             11724          (y) theft of services, Section 76-6-409 ;
             11725          (z) forgery, Section 76-6-501 ;
             11726          (aa) fraudulent use of a credit card, Sections 76-6-506.1 , 76-6-506.2 , and 76-6-506.4 ;
             11727          (bb) deceptive business practices, Section 76-6-507 ;
             11728          (cc) bribery or receiving bribe by person in the business of selection, appraisal, or
             11729      criticism of goods, Section 76-6-508 ;
             11730          (dd) bribery of a labor official, Section 76-6-509 ;
             11731          (ee) defrauding creditors, Section 76-6-511 ;
             11732          (ff) acceptance of deposit by insolvent financial institution, Section 76-6-512 ;
             11733          (gg) unlawful dealing with property by fiduciary, Section 76-6-513 ;


             11734          (hh) bribery or threat to influence contest, Section 76-6-514 ;
             11735          (ii) making a false credit report, Section 76-6-517 ;
             11736          (jj) criminal simulation, Section 76-6-518 ;
             11737          (kk) criminal usury, Section 76-6-520 ;
             11738          (ll) fraudulent insurance act, Section 76-6-521 ;
             11739          (mm) retail theft, Section 76-6-602 ;
             11740          (nn) computer crimes, Section 76-6-703 ;
             11741          (oo) identity fraud, Section 76-6-1102 ;
             11742          (pp) mortgage fraud, Section 76-6-1203 ;
             11743          (qq) sale of a child, Section 76-7-203 ;
             11744          (rr) bribery to influence official or political actions, Section 76-8-103 ;
             11745          (ss) threats to influence official or political action, Section 76-8-104 ;
             11746          (tt) receiving bribe or bribery by public servant, Section 76-8-105 ;
             11747          (uu) receiving bribe or bribery for endorsement of person as public servant, Section
             11748      76-8-106 ;
             11749          (vv) official misconduct, Sections 76-8-201 and 76-8-202 ;
             11750          (ww) obstruction of justice, Section 76-8-306 ;
             11751          (xx) acceptance of bribe or bribery to prevent criminal prosecution, Section 76-8-308 ;
             11752          (yy) false or inconsistent material statements, Section 76-8-502 ;
             11753          (zz) false or inconsistent statements, Section 76-8-503 ;
             11754          (aaa) written false statements, Section 76-8-504 ;
             11755          (bbb) tampering with a witness or soliciting or receiving a bribe, Section 76-8-508 ;
             11756          (ccc) retaliation against a witness, victim, or informant, Section 76-8-508.3 ;
             11757          (ddd) extortion or bribery to dismiss criminal proceeding, Section 76-8-509 ;
             11758          (eee) public assistance fraud in violation of Section 76-8-1203 , 76-8-1204 , or
             11759      76-8-1205 ;
             11760          (fff) unemployment insurance fraud, Section 76-8-1301 ;
             11761          (ggg) intentionally or knowingly causing one animal to fight with another, Subsection


             11762      76-9-301 (2)(d) or (e), or Section 76-9-301.1 ;
             11763          (hhh) possession, use, or removal of explosives, chemical, or incendiary devices or
             11764      parts, Section 76-10-306 ;
             11765          (iii) delivery to common carrier, mailing, or placement on premises of an incendiary
             11766      device, Section 76-10-307 ;
             11767          (jjj) possession of a deadly weapon with intent to assault, Section 76-10-507 ;
             11768          (kkk) unlawful marking of pistol or revolver, Section 76-10-521 ;
             11769          (lll) alteration of number or mark on pistol or revolver, Section 76-10-522 ;
             11770          (mmm) forging or counterfeiting trademarks, trade name, or trade device, Section
             11771      76-10-1002 ;
             11772          (nnn) selling goods under counterfeited trademark, trade name, or trade devices,
             11773      Section 76-10-1003 ;
             11774          (ooo) sales in containers bearing registered trademark of substituted articles, Section
             11775      76-10-1004 ;
             11776          (ppp) selling or dealing with article bearing registered trademark or service mark with
             11777      intent to defraud, Section 76-10-1006 ;
             11778          (qqq) gambling, Section 76-10-1102 ;
             11779          (rrr) gambling fraud, Section 76-10-1103 ;
             11780          (sss) gambling promotion, Section 76-10-1104 ;
             11781          (ttt) possessing a gambling device or record, Section 76-10-1105 ;
             11782          (uuu) confidence game, Section 76-10-1109 ;
             11783          (vvv) distributing pornographic material, Section 76-10-1204 ;
             11784          (www) inducing acceptance of pornographic material, Section 76-10-1205 ;
             11785          (xxx) dealing in harmful material to a minor, Section 76-10-1206 ;
             11786          (yyy) distribution of pornographic films, Section 76-10-1222 ;
             11787          (zzz) indecent public displays, Section 76-10-1228 ;
             11788          (aaaa) prostitution, Section 76-10-1302 ;
             11789          (bbbb) aiding prostitution, Section 76-10-1304 ;


             11790          (cccc) exploiting prostitution, Section 76-10-1305 ;
             11791          (dddd) aggravated exploitation of prostitution, Section 76-10-1306 ;
             11792          (eeee) communications fraud, Section 76-10-1801 ;
             11793          (ffff) any act prohibited by the criminal provisions of Chapter 10, Part 19, Money
             11794      Laundering and Currency Transaction Reporting Act;
             11795          (gggg) vehicle compartment for contraband, Section 76-10-2801 ;
             11796          (hhhh) any act prohibited by the criminal provisions of the laws governing taxation in
             11797      this state; and
             11798          (iiii) any act illegal under the laws of the United States and enumerated in [Title 18,
             11799      Section] 18 U.S.C. Sec. 1961 (1)(B), (C), and (D) [of the United States Code].
             11800          Section 377. Section 77-39-101 is amended to read:
             11801           77-39-101. Investigation of sales of alcohol and tobacco to under age persons.
             11802          (1) (a) A peace officer, as defined by Title 53, Chapter 13, Peace Officer
             11803      Classifications, may investigate the possible violation of:
             11804          (i) Section [ 32A-12-203 ] 32B-4-403 by requesting an individual under the age of 21
             11805      years to enter into and attempt to purchase or make a purchase of alcohol from a retail
             11806      establishment; or
             11807          (ii) Section 76-10-104 by requesting an individual under the age of 19 years to enter
             11808      into and attempt to purchase or make a purchase from a retail establishment of:
             11809          (A) a cigar;
             11810          (B) a cigarette; or
             11811          (C) tobacco in any form.
             11812          (b) A peace officer who is present at the site of a proposed purchase shall direct,
             11813      supervise, and monitor the individual requested to make the purchase.
             11814          (c) Immediately following a purchase or attempted purchase or as soon as practical the
             11815      supervising peace officer shall inform the cashier and the proprietor or manager of the retail
             11816      establishment that the attempted purchaser was under the legal age to purchase:
             11817          (i) alcohol; or


             11818          (ii) (A) a cigar;
             11819          (B) a cigarette; or
             11820          (C) tobacco in any form.
             11821          (d) If a citation or information is issued, it shall be issued within seven days of the
             11822      purchase.
             11823          (2) (a) If an individual under the age of 18 years old is requested to attempt a
             11824      purchase, a written consent of that individual's parent or guardian shall be obtained prior to
             11825      that individual participating in any attempted purchase.
             11826          (b) An individual requested by the peace officer to attempt a purchase may:
             11827          (i) be a trained volunteer; or
             11828          (ii) receive payment, but may not be paid based on the number of successful purchases
             11829      of alcohol or tobacco.
             11830          (3) The individual requested by the peace officer to attempt a purchase and anyone
             11831      accompanying the individual attempting a purchase may not during the attempted purchase
             11832      misrepresent the age of the individual by false or misleading identification documentation in
             11833      attempting the purchase.
             11834          (4) An individual requested to attempt to purchase or make a purchase pursuant to this
             11835      section is immune from prosecution, suit, or civil liability for the purchase of, attempted
             11836      purchase of, or possession of alcohol, a cigar, a cigarette, or tobacco in any form if a peace
             11837      officer directs, supervises, and monitors the individual.
             11838          (5) (a) Except as provided in Subsection (5)(b), a purchase attempted under this
             11839      section shall be conducted:
             11840          (i) on a random basis; and
             11841          (ii) within a 12-month period at any one retail establishment location not more often
             11842      than:
             11843          (A) four times for the attempted purchase of:
             11844          (I) a cigar;
             11845          (II) a cigarette; or


             11846          (III) tobacco in any form; and
             11847          (B) four times for the attempted purchase of alcohol.
             11848          (b) Nothing in this section shall prohibit an investigation under this section if:
             11849          (i) there is reasonable suspicion to believe the retail establishment has sold alcohol, a
             11850      cigar, a cigarette, or tobacco in any form to an individual under the age established by Section
             11851      [ 32A-12-203 ] 32B-4-403 or 76-10-104 ; and
             11852          (ii) the supervising peace officer makes a written record of the grounds for the
             11853      reasonable suspicion.
             11854          (6) (a) The peace officer exercising direction, supervision, and monitoring of the
             11855      attempted purchase shall make a report of the attempted purchase, whether or not a purchase
             11856      was made.
             11857          (b) The report required by this Subsection (6) shall include:
             11858          (i) the name of the supervising peace officer;
             11859          (ii) the name of the individual attempting the purchase;
             11860          (iii) a photograph of the individual attempting the purchase showing how that
             11861      individual appeared at the time of the attempted purchase;
             11862          (iv) the name and description of the cashier or proprietor from whom the individual
             11863      attempted the purchase;
             11864          (v) the name and address of the retail establishment; and
             11865          (vi) the date and time of the attempted purchase.
             11866          Section 378. Section 78A-6-117 is amended to read:
             11867           78A-6-117. Adjudication of jurisdiction of juvenile court -- Disposition of cases --
             11868      Enumeration of possible court orders -- Considerations of court -- Obtaining DNA
             11869      sample.
             11870          (1) (a) When a minor is found to come within the provisions of Section 78A-6-103 ,
             11871      the court shall so adjudicate. The court shall make a finding of the facts upon which it bases
             11872      its jurisdiction over the minor. However, in cases within the provisions of Subsection
             11873      78A-6-103 (1), findings of fact are not necessary.


             11874          (b) If the court adjudicates a minor for a crime of violence or an offense in violation of
             11875      Title 76, Chapter 10, Part 5, Weapons, it shall order that notice of the adjudication be provided
             11876      to the school superintendent of the district in which the minor resides or attends school.
             11877      Notice shall be made to the district superintendent within three days of the adjudication and
             11878      shall include:
             11879          (i) the specific offenses for which the minor was adjudicated; and
             11880          (ii) if available, if the victim:
             11881          (A) resides in the same school district as the minor; or
             11882          (B) attends the same school as the minor.
             11883          (2) Upon adjudication the court may make the following dispositions by court order:
             11884          (a) (i) The court may place the minor on probation or under protective supervision in
             11885      the minor's own home and upon conditions determined by the court, including compensatory
             11886      service as provided in Subsection (2)(m)(iii).
             11887          (ii) The court may place the minor in state supervision with the probation department
             11888      of the court, under the legal custody of:
             11889          (A) the minor's parent or guardian;
             11890          (B) the Division of Juvenile Justice Services; or
             11891          (C) the Division of Child and Family Services.
             11892          (iii) If the court orders probation or state supervision, the court shall direct that notice
             11893      of its order be provided to designated persons in the local law enforcement agency and the
             11894      school or transferee school, if applicable, that the minor attends. The designated persons may
             11895      receive the information for purposes of the minor's supervision and student safety.
             11896          (iv) Any employee of the local law enforcement agency and the school that the minor
             11897      attends who discloses the court's order of probation is not:
             11898          (A) civilly liable except when the disclosure constitutes fraud or willful misconduct as
             11899      provided in Section 63G-7-202 ; and
             11900          (B) civilly or criminally liable except when the disclosure constitutes a knowing
             11901      violation of Section 63G-2-801 .


             11902          (b) The court may place the minor in the legal custody of a relative or other suitable
             11903      person, with or without probation or protective supervision, but the juvenile court may not
             11904      assume the function of developing foster home services.
             11905          (c) (i) The court may:
             11906          (A) vest legal custody of the minor in the Division of Child and Family Services,
             11907      Division of Juvenile Justice Services, or the Division of Substance Abuse and Mental Health;
             11908      and
             11909          (B) order the Department of Human Services to provide dispositional
             11910      recommendations and services.
             11911          (ii) For minors who may qualify for services from two or more divisions within the
             11912      Department of Human Services, the court may vest legal custody with the department.
             11913          (iii) (A) A minor who is committed to the custody of the Division of Child and Family
             11914      Services on grounds other than abuse or neglect is subject to the provisions of Title 78A,
             11915      Chapter 6, Part 4, Minors in Custody on Grounds Other Than Abuse or Neglect, and Title
             11916      62A, Chapter 4a, Part 2A, Minors in Custody on Grounds Other Than Abuse or Neglect.
             11917          (B) Prior to the court entering an order to place a minor in the custody of the Division
             11918      of Child and Family Services on grounds other than abuse or neglect, the court shall provide
             11919      the division with notice of the hearing no later than five days before the time specified for the
             11920      hearing so the division may attend the hearing.
             11921          (C) Prior to committing a child to the custody of the Division of Child and Family
             11922      Services, the court shall make a finding as to what reasonable efforts have been attempted to
             11923      prevent the child's removal from the child's home.
             11924          (d) (i) The court may commit a minor to the Division of Juvenile Justice Services for
             11925      secure confinement.
             11926          (ii) A minor under the jurisdiction of the court solely on the ground of abuse, neglect,
             11927      or dependency under Subsection 78A-6-103 (1)(c) may not be committed to the Division of
             11928      Juvenile Justice Services.
             11929          (e) The court may commit a minor, subject to the court retaining continuing


             11930      jurisdiction over the minor, to the temporary custody of the Division of Juvenile Justice
             11931      Services for observation and evaluation for a period not to exceed 45 days, which period may
             11932      be extended up to 15 days at the request of the director of the Division of Juvenile Justice
             11933      Services.
             11934          (f) (i) The court may commit a minor to a place of detention or an alternative to
             11935      detention for a period not to exceed 30 days subject to the court retaining continuing
             11936      jurisdiction over the minor. This commitment may be stayed or suspended upon conditions
             11937      ordered by the court.
             11938          (ii) This Subsection (2)(f) applies only to a minor adjudicated for:
             11939          (A) an act which if committed by an adult would be a criminal offense; or
             11940          (B) contempt of court under Section 78A-6-1101 .
             11941          (g) The court may vest legal custody of an abused, neglected, or dependent minor in
             11942      the Division of Child and Family Services or any other appropriate person in accordance with
             11943      the requirements and procedures of Title 78A, Chapter 6, Part 3, Abuse, Neglect, and
             11944      Dependency Proceedings.
             11945          (h) The court may place a minor on a ranch or forestry camp, or similar facility for
             11946      care and also for work, if possible, if the person, agency, or association operating the facility
             11947      has been approved or has otherwise complied with all applicable state and local laws. A minor
             11948      placed in a forestry camp or similar facility may be required to work on fire prevention,
             11949      forestation and reforestation, recreational works, forest roads, and on other works on or off the
             11950      grounds of the facility and may be paid wages, subject to the approval of and under conditions
             11951      set by the court.
             11952          (i) (i) The court may order a minor to repair, replace, or otherwise make restitution for
             11953      damage or loss caused by the minor's wrongful act, including costs of treatment as stated in
             11954      Section 78A-6-321 and impose fines in limited amounts.
             11955          (ii) The court may also require a minor to reimburse an individual, entity, or
             11956      governmental agency who offered and paid a reward to a person or persons for providing
             11957      information resulting in a court adjudication that the minor is within the jurisdiction of the


             11958      juvenile court due to the commission of a criminal offense.
             11959          (iii) If a minor is returned to this state under the Interstate Compact on Juveniles, the
             11960      court may order the minor to make restitution for costs expended by any governmental entity
             11961      for the return.
             11962          (j) The court may issue orders necessary for the collection of restitution and fines
             11963      ordered by the court, including garnishments, wage withholdings, and executions.
             11964          (k) (i) The court may through its probation department encourage the development of
             11965      employment or work programs to enable minors to fulfill their obligations under Subsection
             11966      (2)(i) and for other purposes considered desirable by the court.
             11967          (ii) Consistent with the order of the court, the probation officer may permit a minor
             11968      found to be within the jurisdiction of the court to participate in a program of work restitution
             11969      or compensatory service in lieu of paying part or all of the fine imposed by the court.
             11970          (l) (i) In violations of traffic laws within the court's jurisdiction, the court may, in
             11971      addition to any other disposition authorized by this section:
             11972          (A) restrain the minor from driving for periods of time the court considers necessary;
             11973      and
             11974          (B) take possession of the minor's driver license.
             11975          (ii) The court may enter any other disposition under Subsection (2)(l)(i)[; however,].
             11976      However, the suspension of driving privileges for an offense under Section 78A-6-606 [are] is
             11977      governed only by Section 78A-6-606 .
             11978          (m) (i) When a minor is found within the jurisdiction of the juvenile court under
             11979      Section 78A-6-103 because of violating Section 58-37-8 , Title 58, Chapter 37a, Utah Drug
             11980      Paraphernalia Act, or Title 58, Chapter 37b, Imitation Controlled Substances Act, the court
             11981      shall, in addition to any fines or fees otherwise imposed, order that the minor perform a
             11982      minimum of 20 hours, but no more than 100 hours, of compensatory service. Satisfactory
             11983      completion of an approved substance abuse prevention or treatment program may be credited
             11984      by the court as compensatory service hours.
             11985          (ii) When a minor is found within the jurisdiction of the juvenile court under Section


             11986      78A-6-103 because of a violation of Section [ 32A-12-209 ] 32B-4-409 or Subsection
             11987      76-9-701 (1), the court may, upon the first adjudication, and shall, upon a second or
             11988      subsequent adjudication, order that the minor perform a minimum of 20 hours, but no more
             11989      than 100 hours of compensatory service, in addition to any fines or fees otherwise imposed.
             11990      Satisfactory completion of an approved substance abuse prevention or treatment program may
             11991      be credited by the court as compensatory service hours.
             11992          (iii) When a minor is found within the jurisdiction of the juvenile court under Section
             11993      78A-6-103 because of a violation of Section 76-6-106 or 76-6-206 using graffiti, the court
             11994      may order the minor to clean up graffiti created by the minor or any other person at a time and
             11995      place within the jurisdiction of the court. Compensatory service required under this section
             11996      may be performed in the presence and under the direct supervision of the minor's parent or
             11997      legal guardian. The parent or legal guardian shall report completion of the order to the court.
             11998      The minor or the minor's parent or legal guardian, if applicable, shall be responsible for
             11999      removal costs as determined under Section 76-6-107 , unless waived by the court for good
             12000      cause. The court may also require the minor to perform other alternative forms of restitution
             12001      or repair to the damaged property pursuant to Subsection 77-18-1 (8).
             12002          (A) For a first adjudication, the court may require the minor to clean up graffiti for not
             12003      less than eight hours.
             12004          (B) For a second adjudication, the court may require the minor to clean up graffiti for
             12005      not less than 16 hours.
             12006          (C) For a third adjudication, the court may require the minor to clean up graffiti for
             12007      not less than 24 hours.
             12008          (n) (i) Subject to Subsection (2)(n)(iii), the court may order that a minor:
             12009          (A) be examined or treated by a physician, surgeon, psychiatrist, or psychologist; or
             12010          (B) receive other special care.
             12011          (ii) For purposes of receiving the examination, treatment, or care described in
             12012      Subsection (2)(n)(i), the court may place the minor in a hospital or other suitable facility.
             12013          (iii) In determining whether to order the examination, treatment, or care described in


             12014      Subsection (2)(n)(i), the court shall consider:
             12015          (A) the desires of the minor;
             12016          (B) if the minor is under the age of 18, the desires of the parents or guardian of the
             12017      minor; and
             12018          (C) whether the potential benefits of the examination, treatment, or care outweigh the
             12019      potential risks and side-effects, including behavioral disturbances, suicidal ideation, brain
             12020      function impairment, or emotional or physical harm resulting from the compulsory nature of
             12021      the examination, treatment, or care.
             12022          (o) (i) The court may appoint a guardian for the minor if it appears necessary in the
             12023      interest of the minor, and may appoint as guardian a public or private institution or agency in
             12024      which legal custody of the minor is vested.
             12025          (ii) In placing a minor under the guardianship or legal custody of an individual or of a
             12026      private agency or institution, the court shall give primary consideration to the welfare of the
             12027      minor. When practicable, the court may take into consideration the religious preferences of
             12028      the minor and of a child's parents.
             12029          (p) (i) In support of a decree under Section 78A-6-103 , the court may order reasonable
             12030      conditions to be complied with by a minor's parents or guardian, a minor, a minor's custodian,
             12031      or any other person who has been made a party to the proceedings. Conditions may include:
             12032          (A) parent-time by the parents or one parent;
             12033          (B) restrictions on the minor's associates;
             12034          (C) restrictions on the minor's occupation and other activities; and
             12035          (D) requirements to be observed by the parents or custodian.
             12036          (ii) A minor whose parents or guardians successfully complete a family or other
             12037      counseling program may be credited by the court for detention, confinement, or probation
             12038      time.
             12039          (q) The court may order the child to be committed to the physical custody of a local
             12040      mental health authority, in accordance with the procedures and requirements of Title 62A,
             12041      Chapter 15, Part 7, Commitment of Persons Under Age 18 to Division of Substance Abuse


             12042      and Mental Health.
             12043          (r) (i) The court may make an order committing a minor within the court's jurisdiction
             12044      to the Utah State Developmental Center if the minor has mental retardation in accordance with
             12045      the provisions of Title 62A, Chapter 5, Part 3, Admission to Mental Retardation Facility.
             12046          (ii) The court shall follow the procedure applicable in the district courts with respect to
             12047      judicial commitments to the Utah State Developmental Center when ordering a commitment
             12048      under Subsection (2)(r)(i).
             12049          (s) The court may terminate all parental rights upon a finding of compliance with the
             12050      provisions of Title 78A, Chapter 6, Part 5, Termination of Parental Rights Act.
             12051          (t) The court may make any other reasonable orders for the best interest of the minor
             12052      or as required for the protection of the public, except that a child may not be committed to jail
             12053      or prison.
             12054          (u) The court may combine the dispositions listed in this section if they are
             12055      compatible.
             12056          (v) Before depriving any parent of custody, the court shall give due consideration to
             12057      the rights of parents concerning their child. The court may transfer custody of a minor to
             12058      another person, agency, or institution in accordance with the requirements and procedures of
             12059      Title 78A, Chapter 6, Part 3, Abuse, Neglect, and Dependency Proceedings.
             12060          (w) Except as provided in Subsection (2)(y)(i), an order under this section for
             12061      probation or placement of a minor with an individual or an agency shall include a date certain
             12062      for a review of the case by the court. A new date shall be set upon each review.
             12063          (x) In reviewing foster home placements, special attention shall be given to making
             12064      adoptable children available for adoption without delay.
             12065          (y) (i) The juvenile court may enter an order of permanent custody and guardianship
             12066      with an individual or relative of a child where the court has previously acquired jurisdiction as
             12067      a result of an adjudication of abuse, neglect, or dependency. The juvenile court may enter an
             12068      order for child support on behalf of the child against the natural or adoptive parents of the
             12069      child.


             12070          (ii) Orders under Subsection (2)(y)(i):
             12071          (A) shall remain in effect until the child reaches majority;
             12072          (B) are not subject to review under Section 78A-6-118 ; and
             12073          (C) may be modified by petition or motion as provided in Section 78A-6-1103 .
             12074          (iii) Orders permanently terminating the rights of a parent, guardian, or custodian and
             12075      permanent orders of custody and guardianship do not expire with a termination of jurisdiction
             12076      of the juvenile court.
             12077          (3) In addition to the dispositions described in Subsection (2), when a minor comes
             12078      within the court's jurisdiction, the minor may be given a choice by the court to serve in the
             12079      National Guard in lieu of other sanctions, provided:
             12080          (a) the minor meets the current entrance qualifications for service in the National
             12081      Guard as determined by a recruiter, whose determination is final;
             12082          (b) the minor is not under the jurisdiction of the court for any act that:
             12083          (i) would be a felony if committed by an adult;
             12084          (ii) is a violation of Title 58, Chapter 37, Utah Controlled Substances Act; or
             12085          (iii) was committed with a weapon; and
             12086          (c) the court retains jurisdiction over the minor under conditions set by the court and
             12087      agreed upon by the recruiter or the unit commander to which the minor is eventually assigned.
             12088          (4) (a) A DNA specimen shall be obtained from a minor who is under the jurisdiction
             12089      of the court as described in Subsection 53-10-403 (3). The specimen shall be obtained by
             12090      designated employees of the court or, if the minor is in the legal custody of the Division of
             12091      Juvenile Justice Services, then by designated employees of the division under Subsection
             12092      53-10-404 (5)(b).
             12093          (b) The responsible agency shall ensure that employees designated to collect the saliva
             12094      DNA specimens receive appropriate training and that the specimens are obtained in
             12095      accordance with accepted protocol.
             12096          (c) Reimbursements paid under Subsection 53-10-404 (2)(a) shall be placed in the
             12097      DNA Specimen Restricted Account created in Section 53-10-407 .


             12098          (d) Payment of the reimbursement is second in priority to payments the minor is
             12099      ordered to make for restitution under this section and treatment under Section 78A-6-321 .
             12100          Section 379. Section 78A-6-606 is amended to read:
             12101           78A-6-606. Suspension of license for certain offenses.
             12102          (1) This section applies to a minor who is at least 13 years of age when found by the
             12103      court to be within its jurisdiction by the commission of an offense under:
             12104          (a) Section [ 32A-12-209 ] 32B-4-409 ;
             12105          (b) Section [ 32A-12-209.5 ] 32B-4-410 ;
             12106          (c) Section [ 32A-12-223 ] 32B-4-411 ;
             12107          (d) Section 58-37-8 ;
             12108          (e) Title 58, Chapter 37a, Utah Drug Paraphernalia Act;
             12109          (f) Title 58, Chapter 37b, Imitation Controlled Substances Act; or
             12110          (g) Subsection 76-9-701 (1).
             12111          (2) If the court hearing the case determines that the minor committed an offense under
             12112      Section 58-37-8 or Title 58, Chapter 37a or 37b, the court shall prepare and send to the Driver
             12113      License Division of the Department of Public Safety an order to suspend that minor's driving
             12114      privileges.
             12115          (3) (a) The court hearing the case shall suspend the minor's driving privileges if:
             12116          (i) the minor violated Section [32A-12-209 or 32A-12-209.5 ] 32B-4-409 , Section
             12117      32B-4-410 , or Subsection 76-9-701 (1); and
             12118          (ii) the violation described in Subsection (3)(a)(i) was committed on or after July 1,
             12119      2009.
             12120          (b) Notwithstanding the requirement in Subsection (3)(a), the court may reduce the
             12121      suspension period required under Section 53-3-219 if:
             12122          (i) the violation is the minor's first violation of Section [ 32A-12-209 or 32A-12-209.5 ]
             12123      32B-4-409 , Section 32B-4-410 , or Subsection 76-9-701 (1); and
             12124          (ii) the minor completes an educational series as defined in Section 41-6a-501 .
             12125          (c) The suspension periods and requirements that were in effect prior to July 1, 2009,


             12126      apply:
             12127          (i) to a minor that violated Section [ 32A-12-209 or 32A-12-209.5 ] 32B-4-409 , Section
             12128      32B-4-410 , or Subsection 76-9-701 (1); and
             12129          (ii) for a violation that was committed prior to July 1, 2009.
             12130          (d) If a minor commits a proof of age violation, as defined in Section [ 32A-12-223 ]
             12131      32B-4-411 :
             12132          (i) the court shall forward a record of adjudication to the Department of Public Safety
             12133      for a first or subsequent violation; and
             12134          (ii) the minor's driving privileges will be suspended:
             12135          (A) for a period of at least one year under Section 53-3-220 for a first conviction for a
             12136      violation of Section [ 32A-12-223 ] 32B-4-411 ; or
             12137          (B) for a period of two years for a second or subsequent conviction for a violation of
             12138      Section [ 32A-12-223 ] 32B-4-411 .
             12139          (4) A minor's license shall be suspended under Section 53-3-219 when a court issues
             12140      an order suspending the minor's driving privileges for a violation of:
             12141          (a) Section [ 32A-12-209 ] 32B-4-409 ;
             12142          (b) Section [ 32A-12-209.5 ] 32B-4-410 ;
             12143          (c) Section 58-37-8 ;
             12144          (d) Title 58, Chapter 37a or 37b; or
             12145          (e) Subsection 76-9-701 (1).
             12146          (5) When the Department of Public Safety receives the arrest or conviction record of a
             12147      person for a driving offense committed while the person's license is suspended under this
             12148      section, the Department of Public Safety shall extend the suspension for a like period of time.
             12149          Section 380. Section 78A-6-1001 is amended to read:
             12150           78A-6-1001. Jurisdiction over adults for offenses against minors -- Proof of
             12151      delinquency not required for conviction.
             12152          (1) The court shall have jurisdiction, concurrent with the district court or justice court
             12153      otherwise having subject matter jurisdiction, to try adults for the following offenses committed


             12154      against minors:
             12155          (a) unlawful sale or [supply of alcohol beverage or product] furnishing of an alcoholic
             12156      product to minors in violation of Section [ 32A-12-203 ] 32B-4-403 ;
             12157          (b) failure to report abuse or neglect, as required by Title 62A, Chapter 4a, Part 4,
             12158      Child Abuse or Neglect Reporting Requirements;
             12159          (c) harboring a runaway in violation of Section 62A-4a-501 ;
             12160          (d) misdemeanor custodial interference in violation of Section 76-5-303 ;
             12161          (e) contributing to the delinquency of a minor in violation of Section 76-10-2301 ; and
             12162          (f) failure to comply with compulsory education requirements in violation of Section
             12163      53A-11-101.5 .
             12164          (2) It is not necessary for the minor to be found to be delinquent or to have committed
             12165      a delinquent act for the court to exercise jurisdiction under Subsection (1).
             12166          Section 381. Section 78A-6-1202 is amended to read:
             12167           78A-6-1202. Definitions.
             12168          (1) "Adult" means a person 18 years of age or older.
             12169          (2) "Gang activity" means any criminal activity that is conducted as part of an
             12170      organized youth gang. It includes any criminal activity that is done in concert with other gang
             12171      members, or done alone if it is to fulfill gang purposes. "Gang activity" does not include
             12172      graffiti.
             12173          (3) "Minor offense" means any unlawful act that is a status offense or would be a class
             12174      B or C misdemeanor, infraction, or violation of a municipal or county ordinance if the youth
             12175      were an adult. "Minor offense" does not include:
             12176          (a) class A misdemeanors;
             12177          (b) felonies of any degree;
             12178          (c) any offenses that are committed as part of gang activity;
             12179          (d) any of the following offenses which would carry mandatory dispositions if referred
             12180      to the juvenile court under Section 78A-6-606 :
             12181          (i) a second violation of Section [ 32A-12-209 ] 32B-4-409 , Unlawful Purchase,


             12182      Possession or Consumption by Minors -- Measurable Amounts in Body;
             12183          (ii) a violation of Section 41-6a-502 , Driving Under the Influence;
             12184          (iii) a violation of Section 58-37-8 , Controlled Substances Act;
             12185          (iv) a violation of Title 58, Chapter 37a, Utah Drug Paraphernalia Act;
             12186          (v) a violation of Title 58, Chapter 37b, Imitation Controlled Substances Act; or
             12187          (vi) a violation of Section 76-9-701 , Intoxication; or
             12188          (e) any offense where a dangerous weapon, as defined in Subsection 76-1-601 (5), is
             12189      used in the commission of the offense.
             12190          (4) "Sponsoring entity" means any political subdivision of the state, including a school
             12191      or school district, juvenile court, law enforcement agency, prosecutor's office, county, city, or
             12192      town.
             12193          (5) "Status offense" means a violation of the law that would not be a violation but for
             12194      the age of the offender.
             12195          (6) "Youth" means a person under the age of 18 years or who is 18 but still attending
             12196      high school.
             12197          Section 382. Section 78B-6-1602 is amended to read:
             12198           78B-6-1602. Definitions.
             12199          As used in this part:
             12200          (1) "Alcoholic beverage" is as defined in Section [ 32A-1-105 ] 32B-1-102 .
             12201          (2) "Emergency response provider" means an individual providing services on behalf
             12202      of:
             12203          (a) a law enforcement agency;
             12204          (b) a fire suppression agency; or
             12205          (c) another agency or a political subdivision of the state.
             12206          (3) "Law enforcement officer" is as defined in Section 53-13-103 .
             12207          (4) "Local entity" means the political subdivision for which an emergency response
             12208      provider provides emergency services.
             12209          (5) "Minor" means an individual under the age of 18 years old.


             12210          (6) (a) Subject to Subsection (6)(b), "response costs" means the actual costs directly
             12211      associated with an emergency response provider responding to, remaining at, or otherwise
             12212      dealing with an underage drinking gathering, including:
             12213          (i) the costs of medical treatment to or for an emergency response provider injured
             12214      because of an activity described in this Subsection (6)(a); and
             12215          (ii) the cost of repairing damage to equipment or property of a local entity that is
             12216      attributable to an activity described in this Subsection (6)(a).
             12217          (b) "Response costs" does not include:
             12218          (i) the salary and benefits of an emergency response provider for the amount of time
             12219      spent responding to, remaining at, or otherwise dealing with an underage drinking gathering;
             12220      or
             12221          (ii) the administrative costs attributable to an activity described in Subsection
             12222      (6)(b)(i).
             12223          (7) "Underage drinking gathering" means a gathering of two or more individuals:
             12224          (a) at which an individual knowingly serves, aids in the service of, or allows the
             12225      service of an alcoholic beverage to an underage person; and
             12226          (b) to which an emergency response provider is required to respond, except for a
             12227      response related solely to providing medical care at the location of the gathering.
             12228          (8) "Underage person" means an individual under the age of 21 years old.
             12229          Section 383. Repealer.
             12230          This bill repeals:
             12231          Section 32A-1-101, Short title.
             12232          Section 32A-1-102, Application of title -- Severability.
             12233          Section 32A-1-103, Exercise of police powers.
             12234          Section 32A-1-104, Policy.
             12235          Section 32A-1-105, Definitions.
             12236          Section 32A-1-106, Alcoholic Beverage Control Commission -- Membership --
             12237      Oaths and bond -- Per diem -- Offices -- Removal -- Meetings.


             12238          Section 32A-1-107, Powers and duties of the commission.
             12239          Section 32A-1-108, Director of alcoholic beverage control.
             12240          Section 32A-1-109, Powers and duties of the director.
             12241          Section 32A-1-110, Department of Alcoholic Beverage Control -- Created --
             12242      Organization.
             12243          Section 32A-1-111, Department employees -- Requirements.
             12244          Section 32A-1-112, Services of State Health Laboratory.
             12245          Section 32A-1-113, Department expenditures and revenues -- Liquor Control
             12246      Fund -- Exempt from Division of Finance -- Annual audits.
             12247          Section 32A-1-115, Alcoholic Beverage Enforcement and Treatment Restricted
             12248      Account -- Distribution.
             12249          Section 32A-1-116, Purchase of liquor.
             12250          Section 32A-1-117, Department may sue and be sued.
             12251          Section 32A-1-118, Liability insurance -- Governmental immunity.
             12252          Section 32A-1-119, Disciplinary proceedings -- Procedure.
             12253          Section 32A-1-119.5, Timing of reporting violations.
             12254          Section 32A-1-120, Judicial review -- Enforcement.
             12255          Section 32A-1-121, Reports.
             12256          Section 32A-1-122, Liquor prices -- School lunch program.
             12257          Section 32A-1-123, Licensee compliance with other laws.
             12258          Section 32A-1-301, Unlawful transfer or use of proof of age -- False information.
             12259          Section 32A-1-302, Presentation of proof of age upon request.
             12260          Section 32A-1-303, Additional requirements when age is in question.
             12261          Section 32A-1-304, Acceptance of identification -- Evidence.
             12262          Section 32A-1-304.5, Verification of proof of age by certain club licensees.
             12263          Section 32A-1-305, Penalty.
             12264          Section 32A-1-401, Alcohol training and education -- Revocation, suspension, or
             12265      nonrenewal of licenses.


             12266          Section 32A-1-601, Title -- Purpose -- Application to other laws.
             12267          Section 32A-1-602, General restrictions on attire and conduct.
             12268          Section 32A-1-603, Sexually oriented entertainer.
             12269          Section 32A-1-604, Compliance -- Disciplinary proceeding.
             12270          Section 32A-1-701, Title.
             12271          Section 32A-1-702, Requirement for a criminal background check.
             12272          Section 32A-1-703, Use of information from a criminal background check.
             12273          Section 32A-1-704, Criminal background check procedure.
             12274          Section 32A-1-801, Title.
             12275          Section 32A-1-802, Definitions.
             12276          Section 32A-1-803, Power of the commission and department to classify flavored
             12277      malt beverages.
             12278          Section 32A-1-804, Requirements for labeling and packaging -- Authority of the
             12279      commission and department.
             12280          Section 32A-1-805, General procedure for approval.
             12281          Section 32A-1-806, Special procedure for flavored malt beverages.
             12282          Section 32A-1-807, Rulemaking authority.
             12283          Section 32A-1-808, Disciplinary proceeding for violation.
             12284          Section 32A-1-809, Transition protections.
             12285          Section 32A-2-101, Commission's power to establish state stores -- Limitations.
             12286          Section 32A-2-102, State store -- Commission and department duties before
             12287      establishing.
             12288          Section 32A-2-103, Operational restrictions.
             12289          Section 32A-2-104, Delivery of liquor to state stores.
             12290          Section 32A-3-101, Commission's power to establish package agencies --
             12291      Limitations.
             12292          Section 32A-3-102, Application requirements.
             12293          Section 32A-3-103, Qualifications.


             12294          Section 32A-3-104, Commission and department duties before establishing.
             12295          Section 32A-3-105, Bond.
             12296          Section 32A-3-106, Operational restrictions.
             12297          Section 32A-3-107, Delivery of liquor to package agencies.
             12298          Section 32A-3-108, Return of inventory.
             12299          Section 32A-4-101, Commission's power to grant licenses -- Limitations.
             12300          Section 32A-4-102, Application and renewal requirements.
             12301          Section 32A-4-103, Qualifications.
             12302          Section 32A-4-104, Commission and department duties before granting licenses.
             12303          Section 32A-4-105, Bond.
             12304          Section 32A-4-106, Operational restrictions.
             12305          Section 32A-4-201, Commission's power to grant licenses -- Limitations.
             12306          Section 32A-4-202, Application and renewal requirements.
             12307          Section 32A-4-203, Qualifications.
             12308          Section 32A-4-204, Commission and department duties before granting licenses.
             12309          Section 32A-4-205, Bond.
             12310          Section 32A-4-206, Operational restrictions.
             12311          Section 32A-4-301, Definitions.
             12312          Section 32A-4-302, Commission's power to grant licenses -- Limitations.
             12313          Section 32A-4-303, Application and renewal requirements.
             12314          Section 32A-4-304, Qualifications.
             12315          Section 32A-4-305, Commission and department duties before granting licenses.
             12316          Section 32A-4-306, Bond.
             12317          Section 32A-4-307, Operational restrictions.
             12318          Section 32A-4-401, Definitions -- Commission's power to grant licenses --
             12319      Limitations.
             12320          Section 32A-4-402, Application and renewal requirements.
             12321          Section 32A-4-403, Qualifications.


             12322          Section 32A-4-404, Commission and department duties before granting licenses.
             12323          Section 32A-4-405, Bond.
             12324          Section 32A-4-406, Operational restrictions.
             12325          Section 32A-4a-101, Title.
             12326          Section 32A-4a-102, Definitions.
             12327          Section 32A-4a-201, Commission's power to license a resort -- Limitations.
             12328          Section 32A-4a-202, Application and renewal requirements.
             12329          Section 32A-4a-203, Qualifications.
             12330          Section 32A-4a-204, Commission and department duties before granting resort
             12331      license.
             12332          Section 32A-4a-205, Bond.
             12333          Section 32A-4a-301, Commission's power to grant resort spa sublicense --
             12334      Limitations.
             12335          Section 32A-4a-302, Application and renewal requirements.
             12336          Section 32A-4a-303, Qualifications.
             12337          Section 32A-4a-304, Commission and department duties before granting a resort
             12338      spa sublicense.
             12339          Section 32A-4a-305, Operational restrictions.
             12340          Section 32A-4a-401, Operational restrictions for resort license.
             12341          Section 32A-4a-402, Operational restrictions for a sublicense.
             12342          Section 32A-4a-501, Enforcement of qualifications for a resort license or
             12343      sublicense.
             12344          Section 32A-4a-502, Enforcement of operational restrictions for a resort license
             12345      or sublicense.
             12346          Section 32A-4a-503, Enforcement of Nuisance Licensee Act.
             12347          Section 32A-5-101, Commission's power to license clubs -- Limitations.
             12348          Section 32A-5-102 (Subsec (1)(j) Superseded 07/01/10), Application and renewal
             12349      requirements.


             12350          Section 32A-5-102 (Subsec (1)(j) Effective 07/01/10), Application and renewal
             12351      requirements.
             12352          Section 32A-5-103, Qualifications.
             12353          Section 32A-5-104, Commission and department duties before granting licenses.
             12354          Section 32A-5-106, Bond.
             12355          Section 32A-5-107, Operational restrictions.
             12356          Section 32A-5-109, Transition in types of clubs.
             12357          Section 32A-5-110, Information obtained by investigator.
             12358          Section 32A-6-101, Commission's power to issue permits -- Limitations.
             12359          Section 32A-6-102, Application and renewal requirements.
             12360          Section 32A-6-103, Qualifications.
             12361          Section 32A-6-104, Duties of commission and department before issuing permits.
             12362          Section 32A-6-105, Operational restrictions.
             12363          Section 32A-6-201, Application and renewal requirements.
             12364          Section 32A-6-202, Operational restrictions.
             12365          Section 32A-6-301, Application requirements.
             12366          Section 32A-6-302, Operational restrictions.
             12367          Section 32A-6-401, Application requirements.
             12368          Section 32A-6-501, Operational restrictions.
             12369          Section 32A-6-502, Church or religious organization exemption.
             12370          Section 32A-6-503, Application requirements.
             12371          Section 32A-6-601, Licensed health care facility exemption.
             12372          Section 32A-6-602, Health professions exemption.
             12373          Section 32A-6-603, Application requirements.
             12374          Section 32A-7-101, Commission's power to issue permits -- Limitations.
             12375          Section 32A-7-102, Application requirements.
             12376          Section 32A-7-103, Qualifications.
             12377          Section 32A-7-104, Commission and department duties before granting permits.


             12378          Section 32A-7-105, Bond.
             12379          Section 32A-7-106, Operational restrictions.
             12380          Section 32A-8-101, Commission's power to grant licenses -- Limitations --
             12381      Exceptions.
             12382          Section 32A-8-102, Application and renewal requirements.
             12383          Section 32A-8-103, Qualifications.
             12384          Section 32A-8-104, Duties of commission and department before issuing licenses.
             12385          Section 32A-8-105, Bond.
             12386          Section 32A-8-106, Operational restrictions.
             12387          Section 32A-8-201, Authority and operational restrictions.
             12388          Section 32A-8-301, Distillery license -- Specific authority and restrictions.
             12389          Section 32A-8-401, Authority and operational restrictions.
             12390          Section 32A-8-501, Commission's power to grant licenses.
             12391          Section 32A-8-502, Application and renewal requirements.
             12392          Section 32A-8-503, Qualifications.
             12393          Section 32A-8-504, Commission and department duties before granting licenses,
             12394      and in issuing licenses.
             12395          Section 32A-8-505, Operational restrictions.
             12396          Section 32A-9-101, Commission's power to issue licenses.
             12397          Section 32A-9-102, Application and renewal requirements.
             12398          Section 32A-9-103, Qualifications.
             12399          Section 32A-9-104, Duties of commission and department before issuing licenses.
             12400          Section 32A-9-105, Bond.
             12401          Section 32A-9-106, Operational restrictions.
             12402          Section 32A-10-101, State and local licensing -- Limitations.
             12403          Section 32A-10-102, General restrictions.
             12404          Section 32A-10-103, Alcohol training and education for off-premise consumption
             12405      -- Requirements on off-premise beer retailer licensees -- Penalties related to sales to


             12406      minors -- Hearings -- Tracking.
             12407          Section 32A-10-201, Commission's power to grant licenses -- Limitations.
             12408          Section 32A-10-202, Application and renewal requirements.
             12409          Section 32A-10-203, Qualifications.
             12410          Section 32A-10-204, Commission and department duties before granting licenses.
             12411          Section 32A-10-205, Bond.
             12412          Section 32A-10-206, Operational restrictions.
             12413          Section 32A-10-207, Information obtained by investigator.
             12414          Section 32A-10-301, Commission's power to grant temporary special event beer
             12415      permits -- Limitations.
             12416          Section 32A-10-302, Application requirements.
             12417          Section 32A-10-303, Qualifications.
             12418          Section 32A-10-304, Commission and department duties before granting permits.
             12419          Section 32A-10-305, Bond.
             12420          Section 32A-10-306, Operational restrictions.
             12421          Section 32A-11-101, Commission's power to issue licenses.
             12422          Section 32A-11-102, Application and renewal requirements.
             12423          Section 32A-11-103, Qualifications.
             12424          Section 32A-11-104, Commission and department duties before issuing licenses.
             12425          Section 32A-11-105, Bond.
             12426          Section 32A-11-106, Operational restrictions.
             12427          Section 32A-11a-101, Title -- Legislative intent.
             12428          Section 32A-11a-102, Definitions.
             12429          Section 32A-11a-103, Termination of distributorship agreements.
             12430          Section 32A-11a-104, Notice of termination.
             12431          Section 32A-11a-105, Prohibited conduct of supplier.
             12432          Section 32A-11a-106, Prohibited conduct of wholesaler.
             12433          Section 32A-11a-107, Sale or transfer of business assets or ownership.


             12434          Section 32A-11a-108, Reasonable compensation -- Arbitration.
             12435          Section 32A-11a-109, Sale or transfer of supplier's business.
             12436          Section 32A-11a-110, Judicial remedies.
             12437          Section 32A-11a-111, Modifying statutory requirements not permitted.
             12438          Section 32A-12-101, Applicability of Utah Criminal Code.
             12439          Section 32A-12-102, Special burdens of proof -- Inferences and presumptions.
             12440          Section 32A-12-103, Criminal responsibility for conduct of another.
             12441          Section 32A-12-104, Violation of title a misdemeanor.
             12442          Section 32A-12-105, Additional criminal penalties.
             12443          Section 32A-12-201, Unlawful sale or furnishing.
             12444          Section 32A-12-202, Unauthorized sale or supply.
             12445          Section 32A-12-203, Unlawful sale or furnishing to minors.
             12446          Section 32A-12-204, Unlawful sale or furnishing to intoxicated persons.
             12447          Section 32A-12-205, Unlawful sale or supply to interdicted persons.
             12448          Section 32A-12-206, Unlawful sale or supply of beer.
             12449          Section 32A-12-207, Unlawful sale or furnishing during emergency.
             12450          Section 32A-12-208, Unlawful purchase or acceptance.
             12451          Section 32A-12-209, Unlawful purchase, possession, consumption by minors --
             12452      Measurable amounts in body.
             12453          Section 32A-12-209.5, Unlawful admittance or attempt to gain admittance by
             12454      minor.
             12455          Section 32A-12-210, Unlawful purchase by intoxicated persons.
             12456          Section 32A-12-211, Unlawful purchase by interdicted persons.
             12457          Section 32A-12-212, Unlawful possession -- Exceptions.
             12458          Section 32A-12-213, Unlawful bringing onto premises for consumption.
             12459          Section 32A-12-214, Unlawful possession by licensees or permittees.
             12460          Section 32A-12-215, Unlawful storage.
             12461          Section 32A-12-216, Unlawful permitting of intoxication.


             12462          Section 32A-12-217, Unlawful permitting of consumption by minors.
             12463          Section 32A-12-219, Unlawful adulteration -- Licensing tampering.
             12464          Section 32A-12-220, Unlawful consumption in public places.
             12465          Section 32A-12-221, Lawful detention.
             12466          Section 32A-12-222, Unlawful dispensing.
             12467          Section 32A-12-223, Minor's unlawful use of proof of age.
             12468          Section 32A-12-301, Operating without a license or permit.
             12469          Section 32A-12-302, Storing or possessing pursuant to federal stamp.
             12470          Section 32A-12-303, Tampering with records.
             12471          Section 32A-12-304, Making false statements.
             12472          Section 32A-12-305, Obstructing an officer making a search or an official
             12473      proceeding or investigation.
             12474          Section 32A-12-306, Conflicting interests.
             12475          Section 32A-12-307, Interfering with suppliers.
             12476          Section 32A-12-308, Offering or soliciting bribes or gifts.
             12477          Section 32A-12-310, Forgery.
             12478          Section 32A-12-401, Advertising prohibited -- Exceptions.
             12479          Section 32A-12-501, Disposition of liquor items shipped to the department.
             12480          Section 32A-12-502, Unlawful removal from conveyance or diversion of
             12481      shipments.
             12482          Section 32A-12-504, Unlawful transportation.
             12483          Section 32A-12-505, Lawful transportation.
             12484          Section 32A-12-506, Carriers' records.
             12485          Section 32A-12-601, Definitions.
             12486          Section 32A-12-602, Exclusive outlets.
             12487          Section 32A-12-603, Tied house -- Prohibitions.
             12488          Section 32A-12-604, Commercial bribery.
             12489          Section 32A-12-605, Consignment sales.


             12490          Section 32A-12-606, Unlawful acts involving consumers.
             12491          Section 32A-13-101, Utah Code of Criminal Procedure applicable.
             12492          Section 32A-13-102, Arrests.
             12493          Section 32A-13-103, Searches, seizures, and forfeitures.
             12494          Section 32A-13-104, Prosecutions.
             12495          Section 32A-13-105, Fines and forfeitures.
             12496          Section 32A-13-106, Nuisances.
             12497          Section 32A-13-107, Right of appeal.
             12498          Section 32A-13-108, Duties to enforce this title.
             12499          Section 32A-13-109, Authority to inspect.
             12500          Section 32A-14a-101, Definitions.
             12501          Section 32A-14a-102, Liability for injuries and damage resulting from
             12502      distribution of alcoholic beverages -- Causes of action -- Statute of limitations --
             12503      Employee protections.
             12504          Section 32A-14a-103, Employee protected in exercising judgment.
             12505          Section 32A-14a-104, Governmental immunity.
             12506          Section 32A-14a-105, Action for contribution by provider of alcoholic beverages.
             12507          Section 32A-14b-101, Title.
             12508          Section 32A-14b-102, Definitions.
             12509          Section 32A-14b-201, Liability related to applicable fine.
             12510          Section 32A-14b-202, Bringing an action.
             12511          Section 32A-14b-203, Action for contribution.
             12512          Section 32A-15a-101, Title.
             12513          Section 32A-15a-102, Definitions.
             12514          Section 32A-15a-103, Rulemaking.
             12515          Section 32A-15a-201, Commission to prohibit nuisance activities by licensees --
             12516      License not renewed.
             12517          Section 32A-15a-202, Formal objections to renewal.


             12518          Section 32A-15a-203, Hearing on formal objections to renewal.
             12519          Section 384. Effective date.
             12520          This bill takes effect on July 1, 2011, except the amendments to Section
             12521      58-82-102 (Effective 07/01/12) take effect on July 1, 2012.
             12522          Section 385. Revisor instructions.
             12523          It is the intent of the Legislature that the Office of Legislative Research and General
             12524      Counsel, in preparing the Utah Code database for publication make the following changes to
             12525      take effect on July 1, 2011:
             12526          (1) for a section newly enacted during the 2010 General Session in Title 32A,
             12527      Alcoholic Beverage Control Act, that is not referred to in this bill, the Office of Legislative
             12528      Research and General Counsel shall renumber the section to the corresponding chapter and
             12529      part in Title 32B, Alcoholic Beverage Control Act; and
             12530          (2) for a cross reference to Title 32A newly enacted during the 2010 General Session,
             12531      that is not referred to in this bill, the Office of Legislative Research and General Counsel shall
             12532      change the cross reference to the corresponding cross reference in Title 32B.
             12533          Section 386. Coordinating this S.B. 167 with S.B. 141 -- Technically merging
             12534      changes.
             12535          If this S.B. 167 and S.B. 141, Utah Substance Abuse and Anti-violence Coordinating
             12536      Council Amendments, both pass, it is the intent of the Legislature that the Office of
             12537      Legislative Research and General Counsel, in preparing the Utah Code database for
             12538      publication make the following changes in the following subsections enacted in this bill to
             12539      take effect July 1, 2011:
             12540          (1) (a) modify Subsection 32B-2-402 (1)(d) to read "(b) "Advisory council" means the
             12541      Utah Substance Abuse Advisory Council created in Section 63M-7-301 ."; and
             12542          (b) reorder the remaining definitions in Subsection 32B-2-402 (1) to be in alphabetical
             12543      order; and
             12544          (2) change the reference in Subsection 32B-7-305 (5) from "Utah Substance Abuse and
             12545      Anti-violence Coordinating Council" to "Utah Substance Abuse Advisory Council".


             12546     


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