DAR File No. 39476

Alcoholic Beverage Control, Administration

Section R81-2-8

Accepting Checks as Payment for Liquor

Notice of Proposed Rule

(Amendment)

DAR File No.: 39476
Filed: 06/29/2015 05:39:57 PM

RULE ANALYSIS

Purpose of the rule or reason for the change:

This section is being amended to authorize the director to make internal department policies regarding payment for products.

Summary of the rule or change:

This filing clarifies that payment for product from licensees must come from the licensee and authorizes the agency to make internal department polices for acceptance of payments for liquor.

State statutory or constitutional authorization for this rule:

• Subsection 32B-5-303(1)(c)
• Subsection 32B-2-202(1)
• Section 32B-2-206

Anticipated cost or savings to:

the state budget:

None--This rule is necessary to authorize the director to make internal department policies regarding payment for products. Any cost to the state has been authorized by the legislature through the budgetary process and not as a result of this rule amendment.

local governments:

This rule is necessary to authorize the director to make internal department policies regarding payment for products and does not affect local government. There are no anticipated cost or savings to local government.

small businesses:

This rule is necessary to authorize the director to make internal department policies payment for products. There are no anticipated cost or savings for small businesses.

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

This rule is necessary to authorize the director to make internal department policies regarding payment for products. There are no anticipated cost or savings for persons other than small businesses, businesses, or local government entities.

Compliance costs for affected persons:

None--This rule is necessary to authorize the director to make internal department policies regarding payment for products. Any compliance costs passed on to the consumer will go through the fee assessment processes outlined in Section 63J-1-504.

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

None--This rule is necessary to authorize the director to make internal department policies regarding payment for products. Any fiscal impact has been authorized by the legislature through the budgetary process and not as a result of this rule amendment.

Salvador D. Petilos, Executive 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:

• Nina McDermott at the above address, by phone at 801-977-6805, by FAX at 801-977-6888, or by Internet E-mail at [email protected]
• Andrew Hofeling at the above address, by phone at 801-977-6835, by FAX at 801-977-6888, 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:

08/14/2015

This rule may become effective on:

08/21/2015

Authorized by:

Sal Petilos, Executive Director

R81. Alcoholic Beverage Control, Administration.

R81-2. State Stores.

R81-2-8. [Accepting Checks as ]Payment for Liquor.

(1) Accepting Licensee Payments: Pursuant to 32B-5-303(1)(c), this rule requires that payments collected from licensees for the purchase of liquor come from the licensee and authorizes the agency to make internal department policies in accordance with 32B-2-206(1), (2) and (5) for the acceptance of payments for liquor.

[(1) A state liquor store may accept a check as payment for liquor from an individual customer only under the following conditions:

(a) The check may be drawn only on a United States, Canadian, Puerto Rican, or U.S. Virgin Islands financial institution.

(b) The following must appear on the check:

(i) name (must be imprinted);

(ii) address (if post office box, the full address must be written in); and

(iii) telephone number (may be hand-written).

(c) The check must be made out to the Department of Alcoholic Beverage Control, or D.A.B.C. (no two-party checks).

(d) The check must be made out for the exact amount of the purchase.

(e) An acceptable form of identification is required for any check written over $50.00, and may be required at the discretion of the cashier or store manager for any check written under $50.00. Acceptable forms of identification include those listed in R81-2-4.

(2) A state liquor store may accept a check as payment for liquor from a licensee only under the following conditions:

(a) The check must be imprinted with the name of the licensee's business, its business address, and its telephone number.

(b) The check must be made out to the Department of Alcoholic Beverage Control, or D.A.B.C. (no two-party checks).

(c) The check must be made out for the exact amount of the purchase.

(3) A state liquor store may accept a business or company check as payment for liquor only under the following conditions:

(a) The check may be drawn only on a United States, Canadian, Puerto Rican, or U.S. Virgin Islands financial institution.

(b) The check must be imprinted with the name of the business or company, its business address, and its telephone number.

(c) The check must be made out to the Department of Alcoholic Beverage Control, or D.A.B.C. (no two-party checks).

(d) The check must be made out for the exact amount of the purchase.

(e) Further identification is not required.

(f) The department may place a maximum limit on the total dollar amount in checks a business or company may tender to the department in a 24 hour period.

(4) A state liquor store may accept a traveler's check as payment for liquor under the following conditions:

(a) Traveler's checks shall be in "US Dollars".

(b) Each traveler's check shall have been previously signed by the holder of the check at the issuing bank or company. The check shall then be signed a second time in front of the DABC store employee that is handling the sale. The store employee shall compare the two signatures to verify that the signatures match, and shall otherwise examine the check to verify its validity.

(c) Traveler's checks shall be made out to the Department of Alcoholic Beverage Control or "D.A.B.C."

(d) When accepting a traveler's check for $50.00 or more, the store employee shall:

(i) call the issuing bank or company and receive an authorization, and authorization number; and

(ii) check the identification of the customer. Acceptable forms of identification include those listed in R81-2-4.

(e) On the upper, left hand corner of a traveler's check for $50.00 or more, the employee shall write:

(i) the authorization number from the issuing bank or company;

(ii) the type of identification used including expiration date and individual's identification number; and

(iii) the store employee's initials.

]

KEY: alcoholic beverages

Date of Enactment or Last Substantive Amendment: [April 28, ]2015

Notice of Continuation: May 10, 2011

Authorizing, and Implemented or Interpreted Law: 32B-2-202