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H.B. 240 Enrolled

             1     

ALCOHOL SERVICE IN RESTAURANTS

             2     
2013 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Chief Sponsor: Janice M. Fisher

             5     
Senate Sponsor: John L. Valentine

             6      Cosponsors:
             7      Jacob L. Anderegg
             8      Patrice M. Arent
             9      Stewart Barlow
             10      Joel K. Briscoe
             11      Rebecca Chavez-Houck
             12      Spencer J. Cox
             13      Rich Cunningham
             14      Susan Duckworth
             15      Rebecca P. Edwards
             16      Gage Froerer
             17      Francis D. Gibson
             18      Craig HallStephen G. Handy
Lynn N. Hemingway
Eric K. Hutchings
Brian S. King
John Knotwell
Dana L. Layton
Carol Spackman Moss
Merrill F. Nelson
Jim Nielson
Curtis Oda
Lee B. Perry
Jeremy A. Peterson
Val L. PetersonDixon M. Pitcher
Marie H. Poulson
Kraig Powell
Paul Ray
Angela Romero
Jennifer M. Seelig
Jon E. Stanard
Earl D. Tanner
R. Curt Webb
Mark A. Wheatley
Ryan D. Wilcox
Larry B. Wiley              19     
             20      LONG TITLE
             21      General Description:
             22          This bill modifies the Alcoholic Beverage Control Act to address when a restaurant
             23      may sell, offer for sale, or furnish an alcoholic product.
             24      Highlighted Provisions:
             25          This bill:
             26          .    modifies the language related to a restaurant licensee confirming that a patron has
             27      the intent to order food as a condition of receiving an alcoholic product; and
             28          .    makes technical changes.


             29      Money Appropriated in this Bill:
             30          None
             31      Other Special Clauses:
             32          None
             33      Utah Code Sections Affected:
             34      AMENDS:
             35          32B-6-205, as last amended by Laws of Utah 2011, Chapters 307 and 334
             36          32B-6-305, as last amended by Laws of Utah 2011, Chapters 307 and 334
             37          32B-6-905, as enacted by Laws of Utah 2011, Chapter 334
             38     
             39      Be it enacted by the Legislature of the state of Utah:
             40          Section 1. Section 32B-6-205 is amended to read:
             41           32B-6-205. Specific operational requirements for a full-service restaurant license.
             42          (1) (a) In addition to complying with Chapter 5, Part 3, Retail Licensee Operational
             43      Requirements, a full-service restaurant licensee and staff of the full-service restaurant licensee
             44      shall comply with this section.
             45          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             46      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             47          (i) a full-service restaurant licensee;
             48          (ii) individual staff of a full-service restaurant licensee; or
             49          (iii) both a full-service restaurant licensee and staff of the full-service restaurant
             50      licensee.
             51          (2) In addition to complying with Subsection 32B-5-301 (3), a full-service restaurant
             52      licensee shall display in a prominent place in the restaurant a list of the types and brand names
             53      of liquor being furnished through the full-service restaurant licensee's calibrated metered
             54      dispensing system.
             55          (3) In addition to complying with Section 32B-5-303 , a full-service restaurant licensee
             56      shall store an alcoholic product in a storage area described in Subsection (12)(a).


             57          (4) (a) An individual who serves an alcoholic product in a full-service restaurant
             58      licensee's premises shall make a written beverage tab for each table or group that orders or
             59      consumes an alcoholic product on the premises.
             60          (b) A beverage tab required by this Subsection (4) shall list the type and amount of an
             61      alcoholic product ordered or consumed.
             62          (5) A person's willingness to serve an alcoholic product may not be made a condition
             63      of employment as a server with a full-service restaurant licensee.
             64          (6) (a) A full-service restaurant licensee may not sell, offer for sale, or furnish liquor at
             65      the licensed premises on any day during the period that:
             66          (i) begins at midnight; and
             67          (ii) ends at 11:29 a.m.
             68          (b) A full-service restaurant licensee may sell, offer for sale, or furnish beer during the
             69      hours specified in Part 7, On-premise Beer Retailer License, for an on-premise beer retailer,
             70      except that a full-service restaurant licensee may not sell, offer for sale, or furnish beer before
             71      11:30 a.m. on any day.
             72          (7) A full-service restaurant licensee shall maintain at least 70% of its total restaurant
             73      business from the sale of food, which does not include:
             74          (a) mix for an alcoholic product; or
             75          (b) a service charge.
             76          (8) (a) A full-service restaurant licensee may not sell, offer for sale, or furnish an
             77      alcoholic product except [in connection with an order for] after the full-service restaurant
             78      licensee confirms that the patron has the intent to order food prepared, sold, and furnished at
             79      the licensed premises.
             80          (b) A full-service restaurant licensee shall maintain on the licensed premises adequate
             81      culinary facilities for food preparation and dining accommodations.
             82          (9) (a) Subject to the other provisions of this Subsection (9), a patron may not have
             83      more than two alcoholic products of any kind at a time before the patron.
             84          (b) A patron may not have more than one spirituous liquor drink at a time before the


             85      patron.
             86          (c) An individual portion of wine is considered to be one alcoholic product under
             87      Subsection (9)(a).
             88          (10) A patron may consume an alcoholic product only:
             89          (a) at:
             90          (i) the patron's table;
             91          (ii) a counter; or
             92          (iii) a seating grandfathered bar structure; and
             93          (b) where food is served.
             94          (11) (a) A full-service restaurant licensee may not sell, offer for sale, or furnish an
             95      alcoholic product to a patron, and a patron may not consume an alcoholic product at a bar
             96      structure that is not a seating grandfathered bar structure.
             97          (b) At a seating grandfathered bar structure a patron who is 21 years of age or older
             98      may:
             99          (i) sit;
             100          (ii) be furnished an alcoholic product; and
             101          (iii) consume an alcoholic product.
             102          (c) Except as provided in Subsection (11)(d), at a seating grandfathered bar structure a
             103      full-service restaurant licensee may not permit a minor to, and a minor may not:
             104          (i) sit; or
             105          (ii) consume food or beverages.
             106          (d) (i) A minor may be at a seating grandfathered bar structure if the minor is employed
             107      by a full-service restaurant licensee:
             108          (A) as provided in Subsection 32B-5-308 (2); or
             109          (B) to perform maintenance and cleaning services during an hour when the full-service
             110      restaurant licensee is not open for business.
             111          (ii) A minor may momentarily pass by a seating grandfathered bar structure without
             112      remaining or sitting at the bar structure en route to an area of a full-service restaurant licensee's


             113      premises in which the minor is permitted to be.
             114          (12) Except as provided in Subsection 32B-5-307 (3), a full-service restaurant licensee
             115      may dispense an alcoholic product only if:
             116          (a) the alcoholic product is dispensed from:
             117          (i) a grandfathered bar structure;
             118          (ii) an area adjacent to a grandfathered bar structure that is visible to a patron sitting at
             119      the grandfathered bar structure if that area is used to dispense an alcoholic product as of May
             120      12, 2009; or
             121          (iii) an area that is:
             122          (A) separated from an area for the consumption of food by a patron by a solid,
             123      translucent, permanent structural barrier such that the facilities for the storage or dispensing of
             124      an alcoholic product are:
             125          (I) not readily visible to a patron; and
             126          (II) not accessible by a patron; and
             127          (B) apart from an area used:
             128          (I) for dining;
             129          (II) for staging; or
             130          (III) as a lobby or waiting area;
             131          (b) the full-service restaurant licensee uses an alcoholic product that is:
             132          (i) stored in an area described in Subsection (12)(a); or
             133          (ii) in an area not described in Subsection (12)(a) on the licensed premises and:
             134          (A) immediately before the alcoholic product is dispensed it is in an unopened
             135      container;
             136          (B) the unopened container is taken to an area described in Subsection (12)(a) before it
             137      is opened; and
             138          (C) once opened, the container is stored in an area described in Subsection (12)(a); and
             139          (c) any instrument or equipment used to dispense alcoholic product is located in an
             140      area described in Subsection (12)(a).


             141          (13) A full-service restaurant licensee may state in a food or alcoholic product menu a
             142      charge or fee made in connection with the sale, service, or consumption of liquor including:
             143          (a) a set-up charge;
             144          (b) a service charge; or
             145          (c) a chilling fee.
             146          Section 2. Section 32B-6-305 is amended to read:
             147           32B-6-305. Specific operational requirements for a limited-service restaurant
             148      license.
             149          (1) (a) In addition to complying with Chapter 5, Part 3, Retail Licensee Operational
             150      Requirements, a limited-service restaurant licensee and staff of the limited-service restaurant
             151      licensee shall comply with this section.
             152          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             153      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             154          (i) a limited-service restaurant licensee;
             155          (ii) individual staff of a limited-service restaurant licensee; or
             156          (iii) both a limited-service restaurant licensee and staff of the limited-service restaurant
             157      licensee.
             158          (2) (a) A limited-service restaurant licensee on the licensed premises may not sell, offer
             159      for sale, furnish, or allow consumption of:
             160          (i) spirituous liquor; or
             161          (ii) a flavored malt beverage.
             162          (b) A product listed in Subsection (2)(a) may not be on the premises of a
             163      limited-service restaurant licensee except for use:
             164          (i) as a flavoring on a dessert; and
             165          (ii) in the preparation of a flaming food dish, drink, or dessert.
             166          (3) In addition to complying with Section 32B-5-303 , a limited-service restaurant
             167      licensee shall store an alcoholic product in a storage area described in Subsection (12)(a).
             168          (4) (a) An individual who serves an alcoholic product in a limited-service restaurant


             169      licensee's premises shall make a written beverage tab for each table or group that orders or
             170      consumes an alcoholic product on the premises.
             171          (b) A beverage tab required by this Subsection (4) shall list the type and amount of an
             172      alcoholic product ordered or consumed.
             173          (5) A person's willingness to serve an alcoholic product may not be made a condition
             174      of employment as a server with a limited-service restaurant licensee.
             175          (6) (a) A limited-service restaurant licensee may not sell, offer for sale, or furnish wine
             176      or heavy beer at the licensed premises on any day during the period that:
             177          (i) begins at midnight; and
             178          (ii) ends at 11:29 a.m.
             179          (b) A limited-service restaurant licensee may sell, offer for sale, or furnish beer during
             180      the hours specified in Part 7, On-premise Beer Retailer License, for an on-premise beer retailer,
             181      except that a limited-service restaurant licensee may not sell, offer for sale, or furnish beer
             182      before 11:30 a.m. on any day.
             183          (7) A limited-service restaurant licensee shall maintain at least 70% of its total
             184      restaurant business from the sale of food, which does not include a service charge.
             185          (8) (a) A limited-service restaurant licensee may not sell, offer for sale, or furnish an
             186      alcoholic product except [in connection with an order for] after the limited-service restaurant
             187      licensee confirms that the patron has the intent to order food prepared, sold, and furnished at
             188      the licensed premises.
             189          (b) A limited-service restaurant licensee shall maintain on the licensed premises
             190      adequate culinary facilities for food preparation and dining accommodations.
             191          (9) (a) Subject to the other provisions of this Subsection (9), a patron may not have
             192      more than two alcoholic products of any kind at a time before the patron.
             193          (b) An individual portion of wine is considered to be one alcoholic product under
             194      Subsection (9)(a).
             195          (10) A patron may consume an alcoholic product only:
             196          (a) at:


             197          (i) the patron's table;
             198          (ii) a counter; or
             199          (iii) a seating grandfathered bar structure; and
             200          (b) where food is served.
             201          (11) (a) A limited-service restaurant licensee may not sell, offer for sale, or furnish an
             202      alcoholic product to a patron, and a patron may not consume an alcoholic product at a bar
             203      structure that is not a seating grandfathered bar structure.
             204          (b) At a seating grandfathered bar structure a patron who is 21 years of age or older
             205      may:
             206          (i) sit;
             207          (ii) be furnished an alcoholic product; and
             208          (iii) consume an alcoholic product.
             209          (c) Except as provided in Subsection (11)(d), at a seating grandfathered bar structure a
             210      limited-service restaurant licensee may not permit a minor to, and a minor may not:
             211          (i) sit; or
             212          (ii) consume food or beverages.
             213          (d) (i) A minor may be at a seating grandfathered bar structure if the minor is employed
             214      by a limited-service restaurant licensee:
             215          (A) as provided in Subsection 32B-5-308 (2); or
             216          (B) to perform maintenance and cleaning services during an hour when the
             217      limited-service restaurant licensee is not open for business.
             218          (ii) A minor may momentarily pass by a seating grandfathered bar structure without
             219      remaining or sitting at the bar structure en route to an area of a limited-service restaurant
             220      licensee's premises in which the minor is permitted to be.
             221          (12) Except as provided in Subsection 32B-5-307 (3), a limited-service restaurant
             222      licensee may dispense an alcoholic product only if:
             223          (a) the alcoholic product is dispensed from:
             224          (i) a grandfathered bar structure;


             225          (ii) an area adjacent to a grandfathered bar structure that is visible to a patron sitting at
             226      the grandfathered bar structure if that area is used to dispense an alcoholic product as of May
             227      12, 2009; or
             228          (iii) an area that is:
             229          (A) separated from an area for the consumption of food by a patron by a solid,
             230      translucent, permanent structural barrier such that the facilities for the storage or dispensing of
             231      an alcoholic product are:
             232          (I) not readily visible to a patron; and
             233          (II) not accessible by a patron; and
             234          (B) apart from an area used:
             235          (I) for dining;
             236          (II) for staging; or
             237          (III) as a lobby or waiting area;
             238          (b) the limited-service restaurant licensee uses an alcoholic product that is:
             239          (i) stored in an area described in Subsection (12)(a); or
             240          (ii) in an area not described in Subsection (12)(a) on the licensed premises and:
             241          (A) immediately before the alcoholic product is dispensed it is in an unopened
             242      container;
             243          (B) the unopened container is taken to an area described in Subsection (12)(a) before it
             244      is opened; and
             245          (C) once opened, the container is stored in an area described in Subsection (12)(a); and
             246          (c) any instrument or equipment used to dispense alcoholic product is located in an
             247      area described in Subsection (12)(a).
             248          (13) A limited-service restaurant licensee may state in a food or alcoholic product
             249      menu a charge or fee made in connection with the sale, service, or consumption of wine or
             250      heavy beer including:
             251          (a) a set-up charge;
             252          (b) a service charge; or


             253          (c) a chilling fee.
             254          Section 3. Section 32B-6-905 is amended to read:
             255           32B-6-905. Specific operational requirements for a beer-only restaurant license.
             256          (1) (a) In addition to complying with Chapter 5, Part 3, Retail Licensee Operational
             257      Requirements, a beer-only restaurant licensee and staff of the beer-only restaurant licensee
             258      shall comply with this section.
             259          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             260      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             261          (i) a beer-only restaurant licensee;
             262          (ii) individual staff of a beer-only restaurant licensee; or
             263          (iii) both a beer-only restaurant licensee and staff of the beer-only restaurant licensee.
             264          (2) (a) A beer-only restaurant licensee on the licensed premises may not sell, offer for
             265      sale, furnish, or allow consumption of liquor.
             266          (b) Liquor may not be on the premises of a beer-only restaurant licensee except for use:
             267          (i) as a flavoring on a dessert; and
             268          (ii) in the preparation of a flaming food dish, drink, or dessert.
             269          (3) In addition to complying with Section 32B-5-303 , a beer-only restaurant licensee
             270      shall store beer in a storage area described in Subsection (12)(a).
             271          (4) (a) An individual who serves beer in a beer-only restaurant licensee's premises shall
             272      make a written beverage tab for each table or group that orders or consumes an alcoholic
             273      product on the premises.
             274          (b) A beverage tab required by this Subsection (4) shall list the type and amount of
             275      beer ordered or consumed.
             276          (5) A person's willingness to serve beer may not be made a condition of employment as
             277      a server with a beer-only restaurant licensee.
             278          (6) A beer-only restaurant licensee may sell, offer for sale, or furnish beer during the
             279      hours specified in Part 7, On-premise Beer Retailer License, for an on-premise beer retailer,
             280      except that a beer-only restaurant licensee may not sell, offer for sale, or furnish beer before


             281      11:30 a.m. on any day.
             282          (7) A beer-only restaurant licensee shall maintain at least 70% of its total restaurant
             283      business from the sale of food, which does not include a service charge.
             284          (8) (a) A beer-only restaurant may not sell, offer for sale, or furnish beer except [in
             285      connection with an order for] after the beer-only restaurant licensee confirms that the patron
             286      has the intent to order food prepared, sold, and furnished at the licensed premises.
             287          (b) A beer-only restaurant shall maintain on the licensed premises adequate culinary
             288      facilities for food preparation and dining accommodations.
             289          (9) A patron may not have more than two beers at a time before the patron.
             290          (10) A patron may consume a beer only:
             291          (a) at:
             292          (i) the patron's table;
             293          (ii) a grandfathered bar structure; or
             294          (iii) a counter; and
             295          (b) where food is served.
             296          (11) (a) A beer-only restaurant licensee may not sell, offer for sale, or furnish a beer to
             297      a patron, and a patron may not consume an alcoholic product at a bar structure.
             298          (b) Notwithstanding Subsection (11)(a), at a grandfathered bar structure, a patron who
             299      is 21 years of age or older may:
             300          (i) sit;
             301          (ii) be furnished a beer; and
             302          (iii) consume a beer.
             303          (c) Except as provided in Subsection (11)(d), at a grandfathered bar structure, a
             304      beer-only restaurant licensee may not permit a minor to, and a minor may not:
             305          (i) sit; or
             306          (ii) consume food or beverages.
             307          (d) (i) A minor may be at a grandfathered bar structure if the minor is employed by a
             308      beer-only restaurant licensee:


             309          (A) as provided in Subsection 32B-5-308 (2); or
             310          (B) to perform maintenance and cleaning services during an hour when the beer-only
             311      restaurant licensee is not open for business.
             312          (ii) A minor may momentarily pass by a grandfathered bar structure without remaining
             313      or sitting at the bar structure en route to an area of a beer-only restaurant licensee's premises in
             314      which the minor is permitted to be.
             315          (12) A beer-only restaurant licensee may dispense a beer only if:
             316          (a) the beer is dispensed from an area that is:
             317          (i) a grandfathered bar structure; or
             318          (ii) separated from an area for the consumption of food by a patron by a solid,
             319      translucent, permanent structural barrier such that the facilities for the storage or dispensing of
             320      an alcoholic product are not readily visible to a patron, not accessible by a patron, and apart
             321      from an area used for dining, for staging, or as a lobby or waiting area;
             322          (b) the beer-only restaurant licensee uses a beer that is:
             323          (i) stored in an area described in Subsection (12)(a); or
             324          (ii) in an area not described in Subsection (12)(a) on the licensed premises and:
             325          (A) immediately before the beer is dispensed it is in an unopened container;
             326          (B) the unopened container is taken to an area described in Subsection (12)(a) before it
             327      is opened; and
             328          (C) once opened, the container is stored in an area described in Subsection (12)(a); and
             329          (c) any instrument or equipment used to dispense the beer is located in an area
             330      described in Subsection (12)(a).


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