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• STAFF ORIGINATOR: MEETING DATE: TOPIC: VOTE REQUIRED: CITY COUNCIL, AGENDA ITEM 3A Julie Bartell, City Clerk March 12, 2012 Second Reading and Adoption of Ordinance No. 04 -12, Amending Title 700, Chapters 701 and 702 of the Lino Lakes Code of Ordinances, regarding Liquor and Beer Licensing, adding Off -Sale Growler License 3/5 INTRODUCTION In 2011, Minnesota state law was changed to create a new class of liquor license called a brewer taproom license. The "Surly Bill," as it became known, provides new opportunities for micro breweries to sell their malt liquor products directly to the public on -site. Shortly after the passage of that bill, the City Council discussed the potential economic development opportunities for the City and directed staff to initiate the zoning ordinance and City Code amendments necessary to provide for brewery type uses. BACKGROUND There are basically three types of serving licenses for breweries. Licenses that are now available in the City 1. On -Sale Brewer Taproom — Available to a state - licensed brewery (limited in size). The license allows the on -sale of brewery's product only in a facility adjacent to the brewery. The City Council approved the addition of this license to the City Code on January 9, 2012. 2. Brew Pub — Retail restaurants/bars that have obtained a brew pub license from the state may on -sale their micro - brewed product. This type of activity would require an on -sale liquor license from the city, a license that is already in the City Code. The state however, not the city, issues the brew pub license. New license to be made available in the City 3. Off -Sale Growler — Both Brew Pubs and Brewer Taprooms may offer off -sale of their product. The product must be packaged only in "growler" containers, as defined by state statute. This type of sale must follow the same hours as other off -sale and the license fee is capped by statute just as for regular off-sale licenses. Staff is presenting an ordinance at this time that would add an "Off -Sale Growler" license to the City Code. P27