Amendment 1294fd

Any municipality issuing a license pursuant to this section is not subject to the quotas established in § 35-4-11. Any county issuing a license pursuant to this section is not subject to the quotas established in § 35-4-11.1. A municipality or county may, by ordinance, require that any license authorized by this section may only be issued to the owner of a restaurant or facility that enhances the economic development needs of the municipality or county.

Section 2. That chapter 35-4 be amended by adding thereto a NEW SECTION to read as follows:

Any municipality or county adopting the ordinance pursuant to section 1 of this Act may issue additional on-sale licenses pursuant to subdivision 35-4-2(4) or (6). Each municipality or county shall set the on-sale license fee within ninety days of adopting the ordinance pursuant to section 1 of this Act or within thirty days after the resolution of any appeal pursuant to section 3 of this Act. After the fee for an on-sale license issued pursuant to this Act has been determined, no municipality or county may change the fee for a period of ten years unless an increase in population reported by the federal decennial census requires an increase in the fee.

Section 3. That chapter 35-4 be amended by adding thereto a NEW SECTION to read as follows:

Each licensee who owns an on-sale license issued pursuant to subdivision 35-4-2(4) or (6) as of January 1, 2008, and who purchased or had a license transferred to them at any time after January 1, 1998, shall report the amount originally paid for the on-sale license to the municipality or county that issued the license. The declared purchase price shall be made under oath and shall include the documents establishing the amount paid. If the transaction for the purchase of the on-sale license included real or personal property, the full market value of the real or personal property on the date of the original sale shall be deducted from the total transaction price to determine the amount paid by the licensee for the on-sale license. The burden of establishing the amount paid for the license shall be on the licensee. Any licensee contesting the fair market value of the real and personal property may appeal the valuation to circuit court.

If no on-sale license issued pursuant to subdivision 35-4-2(4) has been sold or transferred in the ten years prior to January 1, 2008, the municipality shall set the license fee of a new on- sale license at no less than one dollar for each person residing within the municipality as measured by the last preceding decennial federal census. If no on-sale license issued pursuant to subdivision 35-4-2(6) has been sold or transferred in the ten years prior to January 1, 2008, the county shall charge at least one dollar for each person residing within the county but outside the boundary of any municipality as measured by the last preceding decennial federal census.

Section 4. Any municipality or county adopting the ordinance pursuant to section 1 of this Act shall set the license fee of a new on-sale license, pursuant to section 2 of this Act, at or above the current fair market value. However, such license fee may not be less than the minimum license fees established pursuant to subdivision 35-4-2(4) or (6). For purposes of this section, the term, current fair market value, means the documented price of the on-sale license most recently sold between January 1, 1998, and January 1, 2008, through an arm's-length transaction, less the value of any real or personal property included in the transaction. Each on- sale license holder as of January 1, 2008, who acquired the on-sale license within the last ten years shall report to the municipality or county the date and price paid for its on-sale license.

Section 5. The municipality or county shall maintain a registry of each on-sale license that is being offered for sale at the price established in section 4 of this Act and furnish a copy of the registry to anyone who requests a new on-sale license. The municipality or county may only issue a new license pursuant to this Act if no on-sale license is on the registry or a person desiring to purchase an on-sale license listed on the registry provides documentation showing that the person is unable to purchase any on-sale license listed on the registry at the price established in section 4 of this Act and on terms satisfactory to both the potential buyer and seller. The price of any on-sale license registered as, for sale, with the municipality or county shall be sold at the current fair market price set by the municipality or county pursuant to section 4 of this Act. Nothing in this Act precludes the sale of an on-sale license by a licensee not listed on the registry.

Section 6. The existing on-sale license holder is responsible for registering with the municipality or county that the on-sale license is for sale pursuant to section 5 of this Act."