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G-1057 - 10/13/2015 - LICENSE -ALCOHOL - Ordinances Supporting Documents ITEM 9.A.2) 40 IV 0 K w F 0 0 U N'`t � AGENDAITEM Regular Board of Trustees Meeting of October 13, 2015 SUBJECT: An Amendment to Chapter 1 of Title 4 of the Village Code of the Village of Oak Brook, Illinois Regarding Liquor License Regulations FROM: Charlotte K. Pruss, Village Clerk BUDGET SOURCE/BUDGET IMPACT: N/A RECOMMENDED MOTION: I move to approve passage of Ordinance G-1057, "An Ordinance Amending Chapter 1 of Title 4 of the Village Code of the Village of Oak Brook, Illinois Regarding "BYO" Liquor License Regulations" BackgroundlHistory: After discussion at the Village Board meeting of September 8, 2015 regarding "BYO" liquor license regulations, direction was given to Staff to ask for input on the proposed regulations from the Village's restaurant establishments. Attached is the letter that was sent to our restaurant establishments. The Village did not receive any questions or suggestions from restaurants regarding the proposed `BYO"regulations. In addition, based on the feedback from the Board, Staff and the Village Attorney have updated the Ordinance creating the new BYO liquor license classification and adopting BYO liquor regulations. The Ordinance now permits Class A-I and A-2 licensees to allow BYO consumption without requiring these establishments to get a separate BYO liquor license. Restaurants that do not have a Class A-1 or A-2 license can also permit BYO consumption if they obtain a new Class J license, which specifically permits BYO consumption. The explanation for the amendments are as follows: Section 4-1-2 The amendment proposed to Section 4-1-2 would add additional clarity that a liquor license is required by those who desire to permit BYO liquor consumption. Qk-:r- Section 4-1-7 The amendments proposed to Section 4-1-7 would: • Permit Class A-1 and A-2 liquor licensees to allow BYO consumption on premises without having to obtain a second liquor license. • Add a new classification (Class J) specifically permitting the consumption of beer and wine on the premises of a restaurant, which beer or wine has been brought into the licensed premises by a patron for consumption while being served a meal on the premises. Section 4-1-8 The amendments to Section 4-1-8 create an application fee and annual license fee for the new Class J liquor license. The proposed application fee is $2,000.00 and annual license fee is $500.00. Class A-1 and Class A-2 licensees, Class E licenses, and Special Event licensees whose license specifically permits patrons to bring liquor into licensed premises would not be required to pay additional fees to allow BYO consumption. Section 4-1-16.5 The ordinance also proposes to add a new Section 4-1-16.5 to the Village Code, which section contains specific conditions that Class A-1, A-2, and Class J licensees would need to follow to serve alcohol brought into the premises by patrons. These conditions were modified after the Board provided feedback at the prior Board meeting. Section 4-1-24 The amendment to Section 4-1-24 is intended to make clear that, except for licensees with a Class A-1, Class A-2, Class E, Class J, or a Special Event license that specifically permits patrons to bring into licensed premises liquor, all other liquor licensees are prohibited from allowing BYO consumption. Recommendation: Approve Ordinance G-1057 04r p X90 � o 6 A October 5, 2015 A r 9CFCOUNTV Village of Oak Brook California Jeffrey White California Pizza Kitchen, Inc. 1200 Oak Brook Road d/b/a California Pizza Kitchen Oak Brook,IL 60523-2255 Website 551 Oakbrook Center www.oak-brook.org Oak Brook, IL 60523 Administration RE: Proposed Village of Oak Brook"BYO" Liquor Regulations 630.368.5000 p g q g FAX 630.368.5045 Dear Mr. White: Community Development 630.368.5101 You are receiving this letter because you currently possess a liquor license issued FAX 630.368.5128 by the Village of Oak Brook, Illinois. This is to inform you that the Village Board of the Village of Oak Brook, Illinois, will be considering an amendment to its Engineering Department Liquor Ordinance at its October 13, 2015 Village Board meeting. 630.368.5130 FAX 630.368.5128 The proposed amendment would be: Fire Department 630.368.5200 5. Permit Class A-1 and A-2 liquor licensees to allow patrons to bring their FAX 630.368.5251 own alcoholic liquor into a licensed establishment; Police Department 6. Create a new "Class J" liquor license classification to permit restaurants 630.368.8700 FAX 630.368.8739 without an A-1 and A-2 liquor license to allow patrons to bring beer and wine into the restaurant; Public Works Department 7. Allow Class A-1, A-2, and Class J liquor licensees to charge corkage fees to 630.368.5270 q g g FAX 630.368.5295 customers; and Oak Brook 8. Regulate how Class A-1, A-2, and Class J liquor licensees may serve Public Library alcoholic liquor brought into the premises by patrons. 600 Oak Brook Road (Collectively, "BYO Regulations'. The proposed application fee for the "Class J" Oak Brook,IL 60523-2200 liquor license is $2000.00 and the proposed annual license fee is $500.00. 630.368.7700 q p P FAX 630.368.7704 For more information on the proposed BYO regulations, or to provide input to the Oak Brook Sports Core Village, please contact my office 630-368-5052 prior to the October 13, 2015 meeting of the Village Board. Bath&Tennis Club 700 Oak Brook Road Oak Brook,IL 60523-4600 Sincerely, 630.368.6420 FAX 630.368.6439 Charlotte K. Pruss Golf Club Village Clerk 2606 York Road g Oak Brook,IL 60523-4602 630.368.6400 FAX 630.368.6419 ORDINANCE 2015-LC-AL-G-1057 AN ORDINANCE AMENDING CHAPTER 1 OF TITLE 4 OF THE VILLAGE CODE OF THE VILLAGE OF OAK BROOK, ILLINOIS REGARDING "BYO" LIQUOR REGULATIONS WHEREAS, the Village of Oak Brook, Illinois ("Village") is a body politic and corporate, organized and existing pursuant to the Illinois Municipal Code, 65 ILCS 5/1-1-1 et seq.; and WHEREAS, Section 11-42-10.1 of the Illinois Municipal Code, 65 ILCS 5/11-42-10.1, and Section 4-1 of the Illinois Liquor Control Act, 235 ILCS 5/4-1, provide the Village the authority to determine the number, kind, and classification of licenses for retail sales of alcoholic liquor; and WHEREAS, pursuant to Chapter 1 of Title 4 of the Village Code of the Village of Oak Brook, Illinois, the Village regulates the number, kind, and classification of licenses for retail sales of alcoholic liquor("Liquor Regulations"); and WHEREAS, the Liquor Regulations do not currently contain a liquor classification or regulations that specifically permit or regulate liquor licensees who desire to serve alcoholic liquor brought into the licensee's establishment by patrons ("BYO Regulations'l; and WHEREAS, the Village President and Board of Trustees have determined that it is in the best interest of the Village and its residents to amend the Liquor Regulations to: (i) allow Class A-1 and A-2 liquor licensees serve alcoholic liquor brought into the licensees' establishment by the licensee's patrons; (ii) create a new"Class X liquor license allowing restaurants that do not possess either a Class A-1 or A-2 liquor license to serve beer or wine brought into the establishment by the licensee's patrons; and (iii) adopt BYO Regulations; NOW, THEREFORE, BE IT ORDAINED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE VILLAGE OF OAK BROOK, DU PAGE AND COOK COUNTIES, ILLINOIS as follows: Section 1: Recitals. The foregoing recitals are hereby incorporated into, and made a part of, this Ordinance as the findings of the President and Board of Trustees of the Village of Oak Brook. Section 2: Amendment to Title 4, Chapter 1, Section 3 of the Village Code. Section 3, entitled "Definitions," of Chapter 1, entitled "Liquor Control," of Title 4, entitled "Business and License Regulations,"of the Village Code shall be amended further, and shall read as follows: SALE: Any transfer, exchange or barter, in any manner or by any means whatsoever, for a consideration and not for resale, including all sales made by any person, except a person acting in the privacy of his/her home, or as part of a religious ceremony, whether as principal, proprietor, agent, servant or employee, and including, but not limited to, all of the following acts when done for consideration: A. The selling of liquor; B. The delivery of liquor, without additional charge, with a meal or with entertainment or the providing of samples of liquor as part of a promotion or sales device of any kind; C. The dispensing of liquor; Additions are bold and double-underlined;a°'°*^^° °�°°*^ ^' through.; ^' Ordinance 2015-LC-AL-G-1057 Amending Chap. 1,Title 4 re: "BYO"Liquor Regulations Page 2 of 6 D. The providing of mix, ice, water or glasses for the purposes ofocin. or mixing drinks containing alcoholic liquor for consumption on the same premises; E. The pouring of liquor; F. The providing of"set-ups" containing alcoholic liquor. Section 3: Amendment to Title 4, Chapter 1, Section 7 of the Village Code. Section 7, entitled "License Classifications," of Chapter 1, entitled "Liquor Control," of Title 4, entitled "Business and License Regulations," of the Village Code shall be amended further, and shall read as follows: 4-1-7: LICENSE CLASSIFICATIONS: Retail liquor licenses issued under this chapter shall be divided into the following classes: CLASS A-1: Retail sale of alcoholic liquor for consumption on the premises where sold when the primary business conducted on said premises is that of a restaurant, when the ratio of seating predominantly or exclusively used for dining purposes to that seating for bar or lounge areas equals or exceeds three and one-half to one (3.5:1). A license of this classification may be issued to an establishment located within another establishment, such as a department store, provided that the licensed establishment meets all other criteria stated herein. Holders of a class A-1 license with banquet hall faGilities GGRtaffiRiRg not less thaR thFee thousand (3,000) square feet of floei: 6paGe open to the pub may dispense alcoholic liquor brought on the licensee's premises by a customer of the licensees which service is subject to the conditions and restrictions set forth in section 16.5, and all other applicable sections of this �. Also permitted is the distribution of alcoholic liquor for consumption on the premises provided that the alcoholic liquor is not sold and is offered only in conjunction with a special event or sale which is by invitation only and not open to the general public in a department store which contains at least fifty thousand (50,000) square feet of retail area. CLASS A-2: Retail sale of alcoholic liquor for consumption on the premises where sold when the primary business conducted on said premises is that of a restaurant when the ratio of seating predominantly or exclusively used for dining to that seating for bar/lounge area is less than three and one-half to one (3.5:1), but not less than one and four-tenths to one (1.4:1). A license of this classification may be issued to an establishment located within another establishment, such as a department store, provided that the licensed establishment meets all other criteria stated herein. Holders of a class A-2 license with baRquet hall faGilities Gentaining RGt less thaR three thousand (3,000) square feet of floe may dispense alcoholic liquor brought on the licensee's premises by a customer of the licensee, iR GGRjURGtion with the use of the lirensee's which service is subject to the conditions and restrictions set forth in section 16.5 and all other applicable sections of this CLASS A-3: Retail sale of alcoholic liquors for consumption on the premises where sold, such as in a tavern, saloon or bar where the primary business is not that of a restaurant. CLASS B: Retail sale of alcoholic liquors in the original package, not for consumption on the premises where sold, except for as specifically permitted by section 4-1-17 of this chapter. No licensee shall give, or offer to give, alcoholic liquor as a gift or gratuity with the sale of products other than alcoholic liquors, or induce the purchase of or promote the sale of products other than alcoholic liquors, except for as specifically permitted by Additions are bold and double-underlined; . 2 #37131344_v4 Ordinance 2015-LC-AL-G-1057 Amending Chap. 1,Title 4 re: "BYO"Liquor Regulations Page 3 of 6 section 4-1-17 of this chapter. A license of this classification may be issued to an establishment located within another establishment, such as a department store, provided that the licensed establishment meets all other criteria stated herein. CLASS C: Retail sales of alcoholic liquors for consumption on the premises of regularly organized clubs. CLASS D: Retail sale of alcoholic liquor in conjunction with the service of food by caterers for catered events conducted off the premises of the licensee, provided that the sale of alcoholic liquor by the drink is not permitted. CLASS E: Retail sale of alcoholic liquor in hotels and motels. Retail sales may take place only in areas specifically designated on the license. A. The holder of a class E license issued to a hotel/motel may install cabinets for the storage of liquor for the use of room guests in each room; provided, however, that each such cabinet shall be securely locked and a separate key from the room key given only to a guest twenty one (21) years or older at the time of registration. B. Any hotel/motel providing cabinets for the storage of liquor available in guestrooms on the effective date hereof shall provide locks for such cabinets. CLASS F: Retail sale or dispensing of alcoholic liquor on a temporary basis during a special event as defined and regulated in section 4-1-17 of this chapter. CLASS G: Retail sale of alcoholic liquor for consumption at the village sports core which includes the following facilities: municipal golf clubhouse, beverage cart service, veranda, Oak Brook room, saddle room, polo fields, poolside and library. CLASS H: Retail sale of alcoholic liquor for consumption on the premises of municipally owned and operated recreation facilities, including the grounds, but not including the village sports core. CLASS I: Retail sale of alcoholic liquor for consumption on the premises where sold when the primary business conducted on the premises is that of a movie theater, provided that a movie theater is not an adult motion picture theater. LASS J: The consumption of beer and wine on the premises of a restaurant. which beer or wine has been brought into the licensed premises by a patron for consumption while being served a meal on the premises, su bint to the conditions and restrictions set forth in section 16.5 and all other applicable sections of this Section 4: Amendment to Title 4, Chapter 1, Section 8 of the Village Code. Section 8, entitled "License Fees and Numbers," of Chapter 1, entitled "Liquor Control," of Title 4, entitled "Business and License Regulations," of the Village Code shall be amended further, and shall read as follows: 4-1-8: LICENSE FEES AND NUMBERS: A. Fees And Number Of Licenses Authorized: The fees for the licenses issued and the number of licenses authorized pursuant to this chapter shall be as follows: Additions are bold and double-underlined; stfuek*'rough 3 437131344_v4 Ordinance 2015-LC-AL-G-1057 Amending Chap. 1,Title 4 re: "BYO"Liquor Regulations Page 4 of 6 Class Of Application Annual Number License Fee License Fee Issued A-1 $2,000 .00 $2,750.00 26 A-2 $2,000 .00 $2,750.00 0 A-3 $2,000 .00 $2,750.00 1 B $2,000 .00 $2,750.00 14 C $2,000 .00 $2,200.00 1 D $2,000 .00 $2,200.00 2 E $2,000 .00 $4,950.00 6 F No fee $50.00 per event Not applicable G No fee No fee 0 H No fee No fee 1 I $2,000.00 $2,750.00 1 ,i $2,000.OQ $500 a Section 5: Amendment to Title 4, Chapter 1, Section 16.5 of the Village Code. Chapter 1, entitled "Liquor Control," of Title 4, entitled "Business and License Regulations," of the Village Code shall be amended further to add a new Section 16.5, which shall read as follows: 4-1-16.5: "BRING YOUR OWN LIQUOR" REGULATIONS: In addition to the other applicable conditions and requirements of this chanter. Class A-1, A-2, and J I"cluor licensees may allow for the consumption of alcoholic liquor on the licensed premises that has been brought into the licensed premises by a patron subject to the following pf ovisions. conditions and restrictions: A. It shall be unlawful: 1. For any Class J liquor licensee to serve any type of alcoholic liquor that is brought into the licensed premises by a patron other than beer or wine: 2. For any person under the age ring alcoholic liquor into a licensed premises: 3. For any person to bring alcoholic liquor into the licensed premises in an unsealed container or receptacle,acle, or in a container or receptacle other than its original package as defined in Section I- 3.06 of the Liquor control Act of 1934(235 ILLS 5/1-3.061: 4, at is brought Onto the licensed premises by a patron of a. Under the age of 21 years; or b. Not seated at a table or bar, and being served a mealF 5. For any person other than an employee of the licensed premises to open or pour the container of alcoholic liquor: 6. For any person to exit the licensed premises with an open container Of alcoholic liguor provided, however, that a person may exit the licensed premoses w0th ;ne partially consumed bottle of win tha Additions are bold and double-underlined; deletions are stfuek thfough. 4 #37131344v4 Ordinance 2015-LC-AL-G-1057 Amending Chap. 1,Title 4 re: "BYO"Liquor Regulations Page 5 of 6 has been sealed in compliance with Section 6-33 of the Lia_uor Control Act of 1934 (235 ILCS 5/6-33).; and 7. To store on the licensed premises after the permitted consumption hours any unconsumed alcoholic liquor other than wine that was brought into the licensed premises by a patron, provided that any wine to be stored on the premises must be in its original and unopened container. B. The licensed premises may charge a service or corkage fee for the serving of beer or wine that is brought into the licensed premises by a patron. Section 6: Amendment to Title 4, Chapter 1, Section 24 of the Village Code. Section 24, entitled "Prohibited Acts," of Chapter 1, entitled "Liquor Control," of Title 4, entitled "Business and License Regulations,"of the Village Code shall be amended further, and shall read as follows: 4-1-24: PROHIBITED ACTS: A. Prohibited Activities on License Premises: 10. No liquor licensee may permit a patron to bring alcoholic liquor o a licensed premises for consumption in the licensed premises exce tp for: a. Class A-1 liquor licensees: b. Class A-2 liquor licensees: c. Class J liquor licensees: d. Class E liquor licenses, provided that such consumption occurs only within hotel or motel rooms; and e. Special Event-licensees_specifically authorized within such special event license to allow patrons to bring alcoholic liquor onto a licensed premises for consumption on the licensed premises. Section 7: Severability. If any provision of this Ordinance or part thereof is held invalid by a court of competent jurisdiction, the remaining provisions of this Ordinance shall remain in full force and effect, and shall be interpreted, applied, and enforced so as to achieve, as near as may be, the purpose and intent of this Ordinance to the greatest extent permitted by applicable law. Section 8: Effective Date. This Ordinance shall be in full force and effect from and after its passage, approval, and publication in the manner provided by law. [SIGNATURE PAGE FOLLOWS] Additions are bold and double-underlined; 5 #37131344v4 Ordinance 2015-LC-AL-G-1057 Amending Chap. 1,Title 4 re: "BYO"Liquor Regulations Page 6 of 6 APPROVED THIS 13`h day of October, 2015 Gopal G. Lalmalani Village President PASSED THIS 13th day of October, 2015 Ayes: Nays: Absent: ATTEST: Charlotte K. Pruss Village Clerk Additions are bold and double-underlined;deletions stfue-thfouR' 6 437131344v4