PUBLISH

(April 29, 2022)

ORDINANCE NO. 22-

052, FIFTH SERIES

OF NEW ULM,

BROWN COUNTY,

MINNESOTA

AN ORDINANCE

AMENDING SECTION

5 OF THE CITY CODE

OF THE CITY OF

NEW ULM RELATIVE

TO LIQUOR LICENS-

ING AND REGULA-

TION.

BE IT ORDAINED BY

THE CITY COUNCIL

OF THE CITY OF

NEW ULM:

SECTION I. That Sec-

tion 5 of the City Code

of the City of New Ulm

is hereby amended to

add Section 5.34:

Section 5.34. Micro-

distilleries.

Subdivision 1. It is un-

lawful for any person or

entity, directly or in-

directly, to sell, barter,

for sale or otherwise

dispose of distilled

spirits on or from the

premises on which dis-

tilled spirits are

manufactured or pro-

duced without a micro-

distillery license from

the Minnesota Com-

missioner of Public

Safety and a license is-

sued by the city as pro-

vided herein. It is un-

lawful for any licensed

microdistillery to pro-

vide samples of spirits

manufactured on its

premises in an amount

exceeding 15 milliliters

per person or 45 millil-

iters per person per

day.

Subdivision 2. An on-

sale cocktail room

license may be issued

only to a distiller who

holds a microdistillery license issued by the

Minnesota Commissioner

of Public Safety

under Minnesota Statutes,

chapter 340A.

An on-sale cocktail

room license shall be

subject to the following

requirements:

A. Only distilled spirits

produced by the distiller

on the licensed

premises may be sold

or consumed on the

licensed premises.

B. The financial

responsibilities required

under this

chapter for on-sale intoxicating

licenses

shall apply to an onsale

cocktail room

license issued under

this section.

C. All provisions of this

chapter that apply to

on-sale intoxicating

liquor licenses shall apply

to an on-sale cocktail

room license issued

under this section

unless the provision is

explicitly inconsistent

with this section.

D. An on- sale cocktail

room licensee may

only have one on-sale

cocktail room license

under this section.

E. An on-sale cocktail

room licensee may not

have an ownership interest

in a distillery

licensed under Minn.

Stat. 340A. 301, subdivision

6, paragraph (

a).

F. No on-sale cocktail

room license shall be

issued to a distiller if

the distiller seeking the

license, or any person

having an economic interest

in the distiller

seeking the license or

exercising control over

the distiller seeking the

license, is a distiller

that produces more

than 40,000 proof gallons

of distilled spirits

in a calendar year.

G. No single entity may

hold both an on-sale

cocktail room and onsale

brewer taproom

license, and a cocktail

room and brewer taproom

shall not be colocated.

H. The City may authorize

the holder of a

license under this section

to open and conduct

on-sale business

in a cocktail room on

Sundays.

Subdivision 3. An offsale

distilled spirits

licenses may be granted

to microdistilleries,

subject to the limitations

of this chapter

and the additional limitations

as follows:

A. The microdistillery

may sell only one 375

milliliter bottle per customer

per day ofmanufactured

on- site;

B. Off-sale hours of

sale shall conform to

hours of sale for retail

off- sale licensees;

C. No brand may be

sold at the microdistillery

unless it is also

available for distribution

by wholesalers;

and

SECTION II. That Section

5.49 of the City

Code of the City of

New Ulm is hereby

amended to read as

follows:

SECTION 5.49. Consumpt

i on and

Display permit.

Subdivision 1. Annual

permit. An annual

consumption and

display permit may be

issued to a restaurant,

hotel, holder of an

on-sale 3.2 percent

malt liquor license,

resort as defined in

Minnesota Statutes,

section 157.15, or club,

as defined in Minnesota

Statutes,

chapter 340A.101,

Subd. 7, or an unincorporated

club otherwise

meeting that definition,

and a bed and breakfast

facility as defined

in Minnesota Statutes,

section 340.4011,

Subd. 1, and the holder

of such a permit shall

be subject to the rights

and restrictions imposed

by Minnesota

Statutes, section

340A.414 and other

applicable statutes and

ordinances.

Subdi v i s ion 2.

One-day permit. A

one-day consumption

and display permit may

be issued to a nonprofit

organization in conjunction

with a social

activity sponsored by

that organization. The

holder of such a permit

shall be subject to the

rights and restrictions

imposed by Minnesota

Statutes, section 340A.

414 and other applicable

statutes and ordinances.

SECTION II. That this

ordinance shall take effect

and shall be in

force 30 days from and

after its adoption, approval,

and publication.

Adopted by the City

Council of the City of

New Ulm this 19th day

of April, 2022.

Andrea S. Boettger

President of the City

Council

Attest:

Nicole Jorgensen

Finance Director

Approved by the Mayor

of the City of New Ulm

this 19th day of April,

2022.

Terry Sveine

Mayor

PUBLISH

(April 29, 2022)

ORDINANCE NO. 22-

053, FIFTH SERIES

CITY OF NEW ULM,

BROWN COUNTY,

MINNESOTA

AN ORDINANCE

AMENDING SECTION

4 OF THE CITY CODE

OF THE CITY OF

NEW ULM RELATIVE

TO BUSINESS REGULATION.

BE IT ORDAINED BY

THE CITY COUNCIL

OF THE CITY OF

NEW ULM:

SECTION I. That Section

4. 34 of the City

Code of the City of

New Ulm is hereby

amended to read as

follows:

Section 4.34. Tobacco.

Subdivision 1. Definitions

and interpretations.

Except as may

otherwise be provided

or clearly implied by

context, all terms shall

be given their commonly

accepted definitions.

The singular

shall include the plural

and the plural shall include

the singular. The

masculine shall include

the feminine and

neuter, and vice- versa.

The term ” shall”

means mandatory and

the term ” may” means

permissive. The following

terms shall

have the definitions

given to them:

A. “Tobacco” or “tobacco

products” shall

mean any substance

or item containing tobacco

leaf, including

but not limited to,

cigarettes; cigars; pipe

tobacco; snuff; fine cut

or other chewing tobacco;

cheroots; stogies;

perique; granulated;

plug cut, crimp

cut, ready-rubbed, and

other smoking tobacco;

snuff flowers; cavendish;

shorts; plug and

twist tobaccos; dipping

tobaccos; refuse

scraps, clippings, cuttings,

and sweepings

of tobacco; and other

kinds and forms of tobacco

leaf prepared in

such manner as to be

suitable for chewing,

sniffing, or smoking.

B. “Tobacco related

devices” shall mean

any tobacco product as

well as a pipe, rolling

papers, or other device

used in a manner

which enables the

chewing, sniffing, or

smoking of tobacco or

tobacco products.

C . ” S e l f – s e r v i c i n g

merchandising” shall

mean open displays of

tobacco, tobacco products,

or tobacco related

devices in any way

where any person shall

have access to the product

without the assistance

or intervention of

any employee of the

premise maintaining

the self-service merc

h a n d i s i n g .

Self-service merchandising

shall not inc

lude vendi ng

machines.

D. “Vending machine”

shall mean any

mechanical, electric or

electronic, or other

type of device which

dispenses tobacco, tobacco

products, or tobacco

related devices

upon the insertion of

money, tokens, or other

form of payment

directly into the

machine by the person

seeking to purchase

the tobacco, tobacco

product, or tobacco related

device.

E. “Individually packaged”

shall mean the

practice of selling any

tobacco or tobacco

product wrapped individually

for sale. Individually

wrapped tobacco

and tobacco products

shall include, but

not be limited to, single

cigarette packs, single

bags or cans of loose

tobacco in any form,

and single cans or other

packaging of snuff

or chewing tobacco.

Cartons or other packaging

containing more

than a single pack or

other container as

described in this subdivision

shall not be considered

individually

packaged.

F. “Loosies” shall

mean the common

term used to refer to a

single or individually

packaged cigarette.

G. “Electronic delivery

device” means any

product containing or

delivering nicotine,

lobelia, or any other

substance, whether natural

or synthetic, intended

for human consumption

through inhalation

of aerosol or vapor

from the product.

Electronic delivery device

includes but is not

limited to devices

manufactured, marketed,

or sold as electronic

cigarettes, electronic

cigars, electronic

pipe, vape pens,

modes, tank systems,

or under any other product

name or descriptor.

Electronic delivery

device includes any

component part of a

product, whether or not

marketed or sold

separately. Electronic

delivery device excludes

drugs, devices,

or combination products,

as those terms

are defined in the

Federal Food, Drug,

and Cosmetic Act, that

are authorized for sale

by the United States

Food and Drug Administration.

H. “Retail establishment”

shall mean any

place of business

where tobacco, tobacco

products, or tobacco

related devices are

available for sale to the

general public. Retail

establishments shall

include, but not be limited

to, grocery stores,

convenience stores,

and restaurants.

I. “Moveable place of

business” shall refer to

any form of business

operated out of a ruck,

van, automobile, or

other type of vehicle or

transportable shelter

and not a fixed address,

store front or

other permanent type

of structure authorized

for sales transactions.

J. “Sale” shall mean

any transfer of goods

for money, trade, barter,

or other consideration.

K. “Compliance

checks” shall mean the

system the City uses to

investigate and ensure

that those authorized

to sell tobacco, tobacco

products, and tobacco

related devices

are following and complying

with the requirements

of this section.

Compliance checks

may involve the use of

persons under the age

of 21 as authorized by

this section.

Subd. 2. License required.

No person

shall sell or offer to sell

any tobacco, tobacco

products, or tobacco

related device without

first having obtained a

license to do so from

the City.

A. Application. An application

for a license

to sell tobacco, tobacco

products, or tobacco

related devices shall

be made on a form

provided by the City.

The application shall

contain the full name of

the applicant, the

applicant’ s residential

and business addresses

and telephone

numbers, the name of

the business for which

the license is sought,

and any additional information

the City

deems necessary.

Upon receipt of a completed

application, the

Finance Director shall

forward the application

to the City Council for

action at its next regularly

scheduled meeting.

If the Finance

Director shall determine

that any application

is incomplete, the

Finance Director shall

return the application

to the applicant with

notice of the information

necessary to make

the application complete.

B. Action. The City

Council may either approve

or deny the

license, or it may delay

action for such reasonable

period of time

as necessary to complete

any investigation

of the application or the

applicant it deems

necessary. If the City

Council shall approve

the license, the Finance

Director shall issue

the license to the

applicant. If the City

Council denies the

license, notice of the

denial shall be given to

the applicant along

with notice of the

applicant’s right to appeal

the City Council’ s

decision.

C. Revocation or

suspension. Any

license issued under

this section may be revoked

or suspended as

provided in subdivision

11 of this section.

D. Moveable place of

business. No license

shall be issued to a

moveable place of

business. Only fixed location

businesses shall

be eligible to be

licensed under this

section.

E. Display. All licenses

shall be posted and

displayed in plain view

of the general public of

the licensed premises.

F. Renewals. The

renewal of a license issued

under this section

shall be handled in the

same manner as the

original application.

The request for a

renewal shall be made

at least thirty days but

no more than sixty

days before the expiration

of the current

license. The issuance

of a license issued

under this section shall

be considered a

privilege and not an

absolute right of the

applicant and shall not

entitle the holder to an

automatic renewal of

the license.

Subd. 3. License fee.

The annual fees for a

tobacco license shall

be set by ordinance or

resolution of the City

Council.

Subd. 4. Basis for denial

of license. The

following shall be

grounds for denying

the issuance of a

renewal of a license

under this section, and

if a license is mistakenly

issued or renewed, it

shall be revoked upon

the discovery that the

person was ineligible

for the license under

this section.

A. The applicant is

under the age of 18

years.

B. The applicant has

been convicted within

the past five years of

any violation of a

federal, state, or local

law, ordinance provision,

or other regulation

relating to tobacco,

tobacco products, or

tobacco related devices.

C. The applicant has

had a license to sell tobacco,

tobacco products,

or tobacco related

devices revoked

within thh e ppr ee cc

ee dd ii nn gg twelve

months of the date of

application.

D. The applicant fails

to provide any item of

information required on

the application, or provides

false or misleading

information.

E. The applicant is

prohibited by federal,

state or other local law,

ordinance, or other regulation,

from holding

such a license.

Subd. 5. Prohibited

sales. It shall be a violation

of this section for

any person to sell or

offer to sell any tobacco,

tobacco product, or

tobacco related device:

A. To any person

under the age of twenty-

one ( 21) years.

B. By means of any

type of vending

machine, except in facilities

that cannot be

entered by persons

younger than 21 years

of age.

C. By means of selfservice

methods

whereby the customer

does not need to make

a verbal or written request

to an employee

of the licensed premises

in order to receive

the tobacco, tobacco

product, or tobacco related

device, except

where:

1. until the effective

date of Code of

Federal Regulations, title

21, part 897, 16( c),

the tobacco, tobacco

product, or tobacco- related

device is sold in

cartons or other multipack

units and is:

a. placed within the immediate

vicinity and

plain view of a responsible

employee so that

the employee can supervise

the same at all

times; or

b. under constant monitoring

and supervision

by surveillance cameras.

2. the sale is in a retail

store which derives at

least 90 percent of its

revenue from tobacco

and tobacco-related

products and which

cannot be entered at

any time by persons

younger than 21 years

of age.

D. By means of loosies

as defined in subdivision

1 of this section.

E. Containing opium,

morphine, jimson

weed, bella donna,

strychnos, cocaine,

marijuana, or other

type of deleterious, hallucinogenic,

or toxic or

controlled substance

except nicotine and not

naturally found in tobacco

or tobacco products.

F. By any other means,

or to any other person,

prohibited by federal,

state or other local law,

ordinance provision, or

regulation.

Subd. 6. Self-service

sales. Except as provided

in subdivision 5

(c), it shall be unlawful

for a licensee under

this section to allow the

sale of tobacco, tobacco

products, or tobacco

related devices by any

means whereby the

customer may have

access to such items

without having to request

the item from the

licensee or the

licensee’ s employee.

All tobacco, tobacco

products, and tobacco

related devices shall

be stored behind a

counter or other area

not freely accessible to

customers.

Subd. 7. Responsibility.

All licensees

under this section shall

be responsible for the

actions of their employees

in regard to

the sale of tobacco, tobacco

products, or tobacco

related devices

on the licensed premises,

and the sale of

such an item by an

employee shall be considered

a sale by the

license holder.

Subd. 8. Compliance

checks and inspections.

All licensed

premises shall be open

to inspection by police

officers or other authorized

City officials

during regular business

hours. The City shall

conduct compliance

checks at least once

each calendar year at

each location where tobacco

is sold by engaging

persons over

the age of 17, but

under the age of 21,

with the prior written

consent of a parent or

guardian if under the

age of 18, to enter the

licensed premise to attempt

to purchase tobacco,

tobacco products,

or tobacco related

devices. Persons

used for the purpose of

compliance checks

shall not be guilty of

unlawful possession of

tobacco, tobacco products,

or tobacco related

devices when

such items are obtained

as a part of the

compliance check. No

person used in compliance

checks shall attempt

to use a false

i d e n t i f i c a t i o n

misrepresenting the

person’s age, and all

persons lawfully engaged

in a compliance

check shall answer all

questions about the

person’ s age asked by

the licensee or

licensee’ s employee

and shall produce any

identification for which

the person is asked.

Subd. 9. Other illegal

acts. Unless otherwise

provided, the following

acts shall be violations

of this section.

A. Illegal possession.

It shall be a violation of

this section for any person

under the age of

21 to have in possession

any tobacco, tobacco

product, or tobacco

related device.

This subdivision shall

not apply to persons

lawfully involved in a

compliance check on

behalf of the City.

B. Illegal use. It shall

be a violation of this

section for any person

under the age of 21 to

smoke, chew, sniff, or

otherwise use any tobacco,

tobacco product,

or tobacco related

device.

C. Illegal procurement.

It shall be a violation

of this section for

any person under the

age of 21 to purchase,

attempt to purchase, or

otherwise obtain any

tobacco, tobacco product,

or tobacco related

device, or for any

person to purchase or

otherwise obtain such

items on behalf of a

person under the age

of 21. It shall also be

violation of this section

for any person to sell

or otherwise provide

any tobacco, tobacco

product, or tobacco related

device to any person

under the age of

21 , and it shall further

be a violation for any

person to coerce or attempt

to coerce a person

under the age of

21 to illegally purchase

or otherwise obtain or

use any tobacco, tobacco

products, or tobacco

related device.

This subdivision shall

not apply to persons

under the age of 21

lawfully involved in a

compliance check on

behalf of the City.

D. Use of false identification.

It shall be a

violation of this section

for any person under

the age of 21 to attempt

to disguise the

person’ s true age by

the use of a false form

of identification, whether

the identification is

that of another person

or one on which the

age of the person has

been modified or tampered

with to represent

an age older than the

actual age of the person.

Subd. 10. Criminal

penalties. Each violation,

and every day in

which a violation of this

section occurs or continues,

shall constitute

a separate offense.

Violation of this section

shall be a misdemeanor;

provided,

however, that a violation

of subdivision 9 of

this section shall be a

petty misdemeanor.

Subd. 11. Civil and

administrative penalties.

A. If a licensee or employee

of a licensee

violates any provision

of this section, the following

administrative

penalties shall be

charged against the

licensee:

1. $300. 00 for the first

violation;

2. $600. 00 for the

second violation at the

same location within

36 months after the

initial violation;

3. $1,000.00 for the

third or subsequent

violation at the same

location within 36

months.

B. An individual who

sells tobacco to a person

under the age of

21 years shall be

charged an administrative

penalty of$ 50.

C. In addition to any

fine or other penalty,

whether administrative,

civil, or criminal, violation

of this section by

any licensee shall be

grounds for the

suspension or revocation

of the license.

D. License suspension

or revocation upon

conviction of a licensee,

or an employee of

a licensee, for violation

of this section shall be

as follows:

1. Third violation within

a twelve-month period:

three day license

suspension.

2. Fourth violation

within a twelve- month

period: five day license

suspension.

3. Fifth violation within

a twelve-month period:

revocation of license.

4. Third violation within

36 months after the initial

violation: seven

day license suspension.

E. No suspension or

penalty under this subdivision

shall take effect

until the licensee

or individual has received

notice, served

personally or by mail,

of the alleged violation

and an opportunity for

a hearing before a person

authorized by the

City Council to conduct

the hearing. A decision

that a violation has occurred

must be in writing.

Subd. 12. Exceptions

and defenses. Nothing

in this section shall

prevent the providing

of tobacco, tobacco

products, or tobacco

related devices to a

person under the age

of 21 as part of a lawfully

recognized religious,

spiritual, or cultural

ceremony. It shall

be an affirmative defense

to the violation of

this section for a person

to have reasonably

relied on proof of age

as described by state

law.

SECTION II. That this

ordinance shall take effect

and shall be in

force 30 days from and

after its adoption, approval,

and publication.

Adopted by the City

Council of the City of

New Ulm this 19th day

of April, 2022.

Andrea S. Boettger

President of the City

Council

Attest:

Nicole Jorgensen

Finance Director

Approved by the Mayor

of the City of New Ulm

this 19th day of April,

2022.

Terry Sveine

Mayor