5. Ordinance 1333 - Alcohol on City-Owned Propertyof Kalispell
Post Office Box 1997 • Kalispell, Montana 59903-1997 • Telephone (406) 758-7700 • FAX (406) 758-7758
TO: Mayor Bill Boharski and Kalispell City Council
FROM: Rich Hickel, Asst. City Attorney
SUBJECT: Ordinance 1333 Establishing Rules Governing the
Sale and Consumption of Alcoholic Beverages at
Specified City -Owned Buildings
MEETING DATE: August 16, 1999
BACKGROUND: This is the first reading of a proposed City
Ordinance establishing requirements which lessees
of the Hockaday Center, the Conrad Mansion, and the
Central School Museum must adhere to for any events
held on premises involving consumption of alcohol.
Until now, differing policies have been followed at each
location. The Ordinance is designed to bring uniformity to these
city -owned buildings, while establishing insurance requirements
staff deems necessary to provide liability exposure protection.
Staff believes the lessees of the premises should provide requisite
insurance. coverage prior to alcohol -related events at the city
facilities.
Recently a request was presented to staff by the Central
School Museum to permit sales of alcoholic beverages on -site. The
proposed Ordinance contemplates that all other Montana Department
of Revenue requirements must be met as a precondition to such
activities, in addition to the insurance requirements.
The Ordinance leaves the appropriate amount of insurance
coverage to the informed discretion of the City Manager. It is
anticipated that minimum insurance requirements may need to be
increased from time -to -time as the law develops. Therefore such
minimum requirements will be established by the Manager after
consultation with legal staff.
In order to avoid any apparent conflicts between the current
City Code section prohibiting alcohol in city -owned parks, the
application of this ordinance is limited to the Hockaday Center,
the Conrad Mansion, and the Central School Museum. The Buffalo
Hills club house, for example, has a full -beverage licence already
and therefore need not be covered by this ordinance.
Mayor and City Council
Page 2
August 16, 1999
ALTERNATIVES: Staff considered the following alternatives on
this subject:
(1) Continuation of past practice, which left
all discretion with the lessees;
(2) Complete prohibition of alcohol on these
city -owned locations; and
(3) Establishment of reasonable regulations
designed to bring uniformity in approach
to the facilities while shifting risk to
the lessees.
RECOMMENDATION: Adopting Alternative *3 is recommended by
staff. The proposed ordinance, it is believed, strikes a balance
between the city's desire to shift possible liability exposure to
the lessees, while preserving the lessees opportunities to carry on
social/funding raising functions on -site.
FISCAL EFFECTS: Probably neutral. Sales of alcohol at catered
events in the city are already regulated. The city does not expect
this ordinance to result in any significant change to the number of
such requests currently handled by the city. It is the intent of
the ordinance that the shifting of risk to the lessees will reduce
exposure on the part of the city as lessor.
RespIctfully submitted,
A � /Z, Zf
Rich Hickel, /Jksyst. City Attorney C is Kukulski, City Manager
RMH
ORDINANCE NO. 1333
AN ORDINANCE REPEALING ORDINANCE NO. 811 § 1 AND ORDINANCE NO. 813
§ 1 (§3-10.1, KALISPELL CITY CODE) BY PROHIBITING THE SALE,
CONSUMPTION OR POSSESSION OF ALCOHOLIC BEVERAGES IN OR UPON ANY
BUILDINGS OR OTHER PROPERTY OWNED OR OCCUPIED BY THE CITY AND UPON
ANY STREET OR SIDEWALK, EXCEPT CERTAIN PREMISES AS APPROVED BY THE
CITY MANAGER OR HIS DESIGNEE AND ESTABLISHING AN EFFECTIVE DATE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF KALISPELL,
MONTANA, AS FOLLOWS:
SECTION I.
A) Except as otherwise provided in this code, no
person shall sell, serve, dispense, consume or
possess an open container of any alcoholic beverage
in or upon any building or other property owned or
occupied by the City or upon any street or
sidewalk.
B) Persons wishing to use the Hockaday Center for the
Arts, the Conrad Mansion, or the Central School
Museum for an event which involves the consumption
or possession of, but not the sale of, beer and/or
wine, shall first provide advanced written notice
to the City Manager of the date, place, and time
for any such event. Advance notice of not less
than three (3) days shall be sufficient.
C) Persons wishing to use the Hockaday Center for the
Arts, the Conrad Mansion, or the Central School
Museum for a function which involves the sale of
beer and/or wine must first apply for and obtain a
temporary sales permit from the City of Kalispell.
In addition, the applicant shall comply with all
statutes and regulations of the Montana Department
of Revenue governing sales of beer and/or wine.
Applications shall be filed with the City Clerk not
later than ten (10) days prior to the event.
D) The City Manager or, in his absence, his designee,
may grant a temporary permit allowing the sale of
beer and/or wine, if, considering the type of
function, the Manager or his designee finds that:
1) The time, location and duration of the
function are not likely to significantly
interfere with public services;
2) The number and concentration of participants
at the function are not likely to result in
crowds exceeding limitations in the City fire
regulations, or other significant inconven-
ience to the residents of the surrounding
neighborhoods;
3) Underage persons will not obtain alcoholic
beverages served at the function, and the
precautions proposed are likely to secure and
supervise the area and the participants during
the function;
4) The applicant agrees to limit the consumption
under the permit to the hours between eleven
A.M. and eleven P.M.;
5) The applicant agrees to be personally
responsible for cleaning, trash disposal _or
repairs necessary as a result of the event for
which the permit was issued;
6) The applicant agrees to provide security for
the permitted function commensurate with the
recommendations of the Chief of Police;
7) The applicant agrees to indemnify and hold
harmless the City, its employees and agents
for all liability claims arising out of the
event.
E) The City Manager shall require the sponsor of any
event involving the consumption or possession of
alcoholic beverages or the applicant for a
temporary beer and/or wine sales permit to obtain
liquor/host, liquor and general liability insurance
in such amount deemed necessary to protect the
City's interest, and to name the City as an
additional insured on any policies.
F) 1) The City Manager may deny a permit on the
grounds that approval would be detrimental to
the public safety, health, morals, order or
welfare by reason of the nature of the event,
the likelihood that the event would create a
public nuisance or result in the consumption
of alcoholic beverages by minors, its location
within the community, or the failure of the
applicant to conduct a past event in
compliance with applicable laws and
regulations.