Alcoholic Beverage Control, Administration

Section R81-3-13

Operational Restrictions

Notice of Proposed Rule

(Amendment)

DAR File No.: 34340
Filed: 12/30/2010 11:39:13 AM

RULE ANALYSIS

Purpose of the rule or reason for the change:

This rule amendment will allow Type 5 Package Agencies to open at 8:00 a.m. for sales to licensees with the approval of the department.

Summary of the rule or change:

Type 5 Package Agencies in wineries, breweries, and distilleries have requested to open at 8:00 a.m. to sell their own products to licensees. This rule amendment will allow Type 5 Package Agencies to open as early as 8:00 a.m. for sales to licensees with the approval of the Department of Alcoholic Beverage Control.

State statutory or constitutional authorization for this rule:

• Section 32A-1-107
• Subsection 32A-3-106(9)(c)(ii)

Anticipated cost or savings to:

the state budget:

None--This rule amendment will allow Type 5 Package Agencies to open as early as 8:00 a.m. to better service their licensees. The change in hours will not fiscally impact the state budget.

local governments:

None--Package agency contracts are issued by the Department of Alcoholic Beverage Control. Changing the operating hours of the Type 5 Package Agencies will not fiscally impact local governments.

small businesses:

None--Many of the Type 5 Package Agencies are small businesses. This rule amendment will allow them to open as early as 8:00 a.m. to better service their licensees but will not fiscally impact small businesses.

persons other than small businesses, businesses, or local governmental entities:

None--There are no costs or savings for other persons as a result of this amendment as they do not hold Type 5 Package Agency contracts.

Compliance costs for affected persons:

None--Type 5 Package Agencies are already established and running and no additional fees will be required as a result of this rule amendment.

Comments by the department head on the fiscal impact the rule may have on businesses:

It is often inconvenient for Type 5 Package Agencies to service large licensee orders during regular operating hours. This rule amendment will allow the package agencies to service licensees without disrupting patrons during regular business hours.

Dennis R. Kellen, Director

The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:

Alcoholic Beverage Control
Administration
1625 S 900 W
SALT LAKE CITY, UT 84104-1630

Direct questions regarding this rule to:

• Vickie Ashby at the above address, by phone at 801-977-6801, by FAX at 801-977-6889, or by Internet E-mail at [email protected]

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

02/14/2011

This rule may become effective on:

02/21/2011

Authorized by:

Dennis Kellen, Director

R81. Alcoholic Beverage Control, Administration.

R81-3. Package Agencies.

R81-3-13. Operational Restrictions.

(1) Hours of Operation.

(a) Type 1, 2, and 5 package agencies may operate from 10:00 a.m. until 12:00 midnight, Monday through Saturday. However, the actual operating hours may be less in the discretion of the package agent with the approval of the department. Type 2 agencies shall be open for business at least seven hours a day, five days a week, except where closure is otherwise required by law. Type 5 package agencies may, in the discretion of the package agent, be open as early as 8:00 a.m. for sales to licensees with the approval of the department.

(b) Type 3 package agencies may operate from 10:00 a.m. until 10:00 p.m., Monday through Saturday, but may remain closed on Mondays in the discretion of the package agent. However, the actual operating hours may be less in the discretion of the package agent with the approval of the department, provided the agency operates at least seven hours a day.

(c) Type 4 package agencies may operate from 10:00 a.m. until 1:00 a.m., Monday through Friday, and 10:00 a.m. until 12:00 midnight on Saturday. However, the actual operating hours may be less in the discretion of the package agent with the approval of the department. A Type 4 package agency in a resort that is licensed under 32A-4a, may operate 24 hours a day, Monday through Sunday to provide room service to guests of the resort.

(d) Any change in the hours of operation of any package agency requires prior department approval, and shall be submitted in writing by the package agent to the department.

(e)(i) A package agency shall not operate on a Sunday or legal holiday except to the extent authorized by 32A-3-106(9) which allows the following to operate on a Sunday or legal holiday:

(A) a package agency located in certain licensed wineries; and

(B) a package agency held by a resort that is licensed under 32A-4a that does not sell liquor in a manner similar to a state store which is limited to a Type 4 package agency.

(ii) If a legal holiday falls on a Sunday, the following Monday will be observed as the holiday by a Type 2 and 3 package agency.

(2) Size of Outlet. The retail selling space devoted to liquor sales in a type 2 or 3 package agency must be at least one hundred square feet.

(3) Inventory Size. Type 2 and 3 package agencies must maintain at least fifty code numbers of inventory at a retail value of at least five thousand dollars and must maintain a representative inventory by brand, code, and size.

(4) Access to General Public. Type 1, 2, and 3 package agencies must be easily accessible to the general consuming public.

(5) Purchase of Inventory. All new package agencies, at the discretion of the department, will purchase and maintain their inventory of liquor.

 

KEY: alcoholic beverages

Date of Enactment or Last Substantive Amendment: [January 26, 2010]2011

Notice of Continuation: September 6, 2006

Authorizing, and Implemented or Interpreted Law: 32A-1-107; 32A-3-106(9)(c)(ii)