Chapter 1062 Oregon Laws 1999

Session Law

AN ACT

HB 2140

Relating to alcoholic beverages; creating new provisions; amending ORS 471.322 and 471.542 and sections 2 and 3, chapter [Vetoed], Oregon Laws 1999 (Enrolled Senate Bill 115); and repealing sections 10, 11 and 12, chapter [Vetoed], Oregon Laws 1999 (Enrolled Senate Bill 115).

Be It Enacted by the People of the State of Oregon:

INCREASE IN CIVIL PENALTY AUTHORITY OF OLCC

SECTION 1. ORS 471.322 is amended to read:

471.322. (1) If a license issued under this chapter, a license issued under ORS chapter 472 or a service permit issued under ORS 471.360 is suspended for a period of 30 days or less, the Oregon Liquor Control Commission may impose against the affected licensee or permittee in lieu of or in addition to the suspension a civil penalty fixed by the commission in accordance with subsection (2) of this section if the commission is satisfied that such a penalty in lieu of or in addition to suspension is consistent with the purposes of the Liquor Control Act and the Oregon Distilled Liquor Control Act. Upon payment of the penalty in lieu of suspension, the commission shall cancel the suspension.

(2) Except as provided in ORS 471.327, the penalty which the commission may impose pursuant to subsection (1) of this section against a licensee shall not be less than $100 nor more than [$2,000] $5,000. The penalty which the commission may impose pursuant to subsection (1) of this section against a service permittee shall not be less than $25 nor more than $500.

(3) Civil penalties under this section shall be imposed as provided in ORS 183.090.

SALES OF ALCOHOLIC BEVERAGES

BY PACKAGE STORE EMPLOYEES

SECTION 2. Section 3 of this 1999 Act is added to and made a part of ORS chapter 471.

SECTION 3. (1) An employee of a package store licensee who has been found by the Oregon Liquor Control Commission to have sold alcoholic beverages to a minor, or to have failed to properly verify identification of a person who purchased alcoholic beverages, must attend a training program approved by the commission as a condition of making sales of alcoholic beverages to members of the public under a package store license.

(2) The commission shall by rule establish times for employees to complete a required training program under this section. An employee required to complete a training program under this section may continue to make sales of alcoholic beverages to members of the public until taking such training, but may not make any sales of alcoholic beverages after the expiration of the time allowed by commission rule if the employee has not completed the training before the expiration of that time.

(3) Except as provided in subsection (2) of this section, the holder of a package store license may not allow an employee who has been found by the Oregon Liquor Control Commission to have sold alcoholic beverages to a minor, or to have failed to properly verify identification of a person who purchased alcoholic beverages, to sell alcoholic beverages under the license unless the employee completes a training program as required by this section.

(4) The Oregon Liquor Control Commission must approve all training programs offered for the purpose of this section. The holder of a package store license may establish a training program for employees of the licensee, but the program must be approved by the commission to meet the requirements of this section. Training programs approved under this section must address at least the following topics:

(a) The importance of not selling alcoholic beverages to minors and visibly intoxicated persons.

(b) Guidelines for recognizing minors and visibly intoxicated persons.

(c) Guidelines for checking and verifying identification, and for recognizing false or altered identification.

(d) Recommended approaches for refusing sales of alcoholic beverages to minors and visibly intoxicated persons.

(5) If an employee of a package store licensee is found to have sold alcoholic beverages to a minor, or to have failed to properly verify identification of a person who purchased alcoholic beverages, the commission shall notify the licensee that the employee must complete a training program approved under this section and may not sell alcoholic beverages to members of the public after the time established by the commission unless the employee completes the training within the time allowed. If the package store licensee offers a training program to new employees, and the employee has previously completed that program, the requirements of this section may be met by retaking the training program if the program has been approved by the commission for the purposes of this section.

(6) Upon completion of a training program by an employee of a package store licensee pursuant to the requirements of this section, the package store licensee that employs the person must notify the commission in writing that the employee has successfully completed the training. The notification must include the name and address of the employee, the name of the training program attended by the employee, and the date or dates on which the program was attended. The notification shall be kept by the commission in the licensee's file.

(7) The commission may assess and collect a fee not to exceed $13 for the administrative expenses incurred by the commission under this section.

(8) In addition to any other penalty provided for by law, the commission may impose a civil penalty against any employee of a package store licensee who sells alcoholic beverages to members of the public and who is prohibited from making those sales under this section. A civil penalty under this subsection may not exceed $500. Civil penalties under this subsection shall be imposed by the commission in the manner provided by ORS 183.090.

AGE VERIFICATION EQUIPMENT

SECTION 4. Section 5 of this 1999 Act is added to and made a part of ORS chapter 471.

SECTION 5. Upon finding that a retail licensee, as defined in ORS 471.392, or an employee of a retail licensee has sold alcoholic beverages to a minor, or has failed to properly verify identification of a person who purchased alcoholic beverages, the Oregon Liquor Control Commission may allow the licensee, in lieu of a civil penalty or denial, suspension or cancellation of the license, to acquire and use equipment designed to prevent sales of alcoholic beverages to minors.

RESPONSIBLE VENDOR PROGRAM

SECTION 6. Section 7 of this 1999 Act is added to and made a part of ORS chapter 471.

SECTION 7. (1) The Oregon Liquor Control Commission shall by rule establish a responsible vendor program. The program shall include a list of positive measures that a retail licensee, as defined in ORS 471.392, must take to avoid sales of alcoholic beverages to minors. Any retail licensee may participate in the program.

(2) If a retail licensee, as defined in ORS 471.392, participates in the responsible vendor program established under this section, and the licensee takes all measures specified by the program as necessary to prevent sales of alcoholic beverages to minors, the commission shall not cancel the license of the licensee, or deny issuance of a license to the person that holds the retail license, based on sales of alcoholic beverages to minors by employees of the licensee.

RULES FOR ALCOHOL SERVER

EDUCATION PROGRAM

SECTION 8. ORS 471.542 is amended to read:

471.542. (1) The Oregon Liquor Control Commission shall require applicants for Class A, Class B, Class C, retail malt beverage, restaurant, seasonal dispenser, annual community events dispenser, tour boat, brewery-public house, caterer and winery salesperson licenses and service permits and all renewing Class A, Class B, Class C, retail malt beverage, restaurant, seasonal dispenser, annual community events dispenser, tour boat, brewery-public house, caterer and winery salesperson licensees and permittees to complete an approved alcohol server education program and examination in order to qualify for a license or permit.

(2) The commission by rule shall establish requirements that licensees and permittees must comply with as a condition of requalifying for a license or permit. The licensee or permittee must comply with those requirements once every five years after completing the initial alcohol server education program and examination. The requirements established by the commission may include retaking the alcohol server education program and examination.

(3) The commission may extend the time periods established by this section upon a showing of hardship. The commission by rule may exempt a licensee from the requirements of this section if the licensee does not participate in the management of the business.

(4) The standards and curriculum of alcohol server education programs shall include but not be limited to the following:

(a) Alcohol as a drug and its effects on the body and behavior, especially driving ability.

(b) Effects of alcohol in combination with commonly used legal, prescription or nonprescription, drugs and illegal drugs.

(d) State alcohol beverage laws such as prohibition of sale to minors and sale to intoxicated persons, sale for on-premises or off-premises consumption, hours of operation and penalties for violation of the laws.

(e) Drunk driving laws and liquor liability statutes.

(f) Intervention with the problem customer including ways to cut off service, ways to deal with the belligerent customer and alternative means of transportation to get the customer safely home.

(g) Advertising and marketing for safe and responsible drinking patterns and standard operating procedures for dealing with customers.

(5) The commission shall impose a fee not to exceed $2.60 a year for each license subject to the alcohol server education requirement, and a fee not to exceed $13 for each service permit application. These fees shall be used for administrative costs of the program and shall be in addition to any other license or permit fees required by law or rule.

(6) The commission shall adopt rules to impose reasonable fees for administrative costs of the program on alcohol server education instructors and providers.

(7) The commission shall provide the program through independent contractors, private persons or private or public schools certified by the commission. The commission shall adopt rules governing the manner in which the program is made available to persons required to take the program. In adopting rules under this subsection, the commission shall consider alternative means of providing the program, including but not limited to providing the program through audiotapes, videotapes, the Internet and other electronic media.

CONFLICT AMENDMENTS

SECTION 9. If House Bill 2892 becomes law, section 3 of this 1999 Act is amended to read:

Sec. 3. (1) An employee of [a package store] an off-premises sales licensee who has been found by the Oregon Liquor Control Commission to have sold alcoholic beverages to a minor, or to have failed to properly verify identification of a person who purchased alcoholic beverages, must attend a training program approved by the commission as a condition of making sales of alcoholic beverages to members of the public under [a package store] an off-premises sales license.

(3) Except as provided in subsection (2) of this section, the holder of [a package store] an off-premises sales license may not allow an employee who has been found by the Oregon Liquor Control Commission to have sold alcoholic beverages to a minor, or to have failed to properly verify identification of a person who purchased alcoholic beverages, to sell alcoholic beverages under the license unless the employee completes a training program as required by this section.

(4) The Oregon Liquor Control Commission must approve all training programs offered for the purpose of this section. The holder of [a package store] an off-premises sales license may establish a training program for employees of the licensee, but the program must be approved by the commission to meet the requirements of this section. Training programs approved under this section must address at least the following topics:

(a) The importance of not selling alcoholic beverages to minors and visibly intoxicated persons.

(b) Guidelines for recognizing minors and visibly intoxicated persons.

(d) Recommended approaches for refusing sales of alcoholic beverages to minors and visibly intoxicated persons.

(5) If an employee of [a package store] an off-premises sales licensee is found to have sold alcoholic beverages to a minor, or to have failed to properly verify identification of a person who purchased alcoholic beverages, the commission shall notify the licensee that the employee must complete a training program approved under this section and may not sell alcoholic beverages to members of the public after the time established by the commission unless the employee completes the training within the time allowed. If the [package store] off-premises sales licensee offers a training program to new employees, and the employee has previously completed that program, the requirements of this section may be met by retaking the training program if the program has been approved by the commission for the purposes of this section.

(6) Upon completion of a training program by an employee of [a package store] an off-premises sales licensee pursuant to the requirements of this section, the [package store] off-premises sales licensee that employs the person must notify the commission in writing that the employee has successfully completed the training. The notification must include the name and address of the employee, the name of the training program attended by the employee, and the date or dates on which the program was attended. The notification shall be kept by the commission in the licensee's file.

(7) The commission may assess and collect a fee not to exceed $13 for the administrative expenses incurred by the commission under this section.

(8) In addition to any other penalty provided for by law, the commission may impose a civil penalty against any employee of [a package store] an off-premises sales licensee who sells alcoholic beverages to members of the public and who is prohibited from making those sales under this section. A civil penalty under this subsection may not exceed $500. Civil penalties under this subsection shall be imposed by the commission in the manner provided by ORS 183.090.

SECTION 10. Section 9 of this 1999 Act becomes operative January 1, 2001.

MINOR DECOY OPERATIONS

SECTION 11. If Senate Bill 115 becomes law, section 10, chapter [Vetoed], Oregon Laws 1999 (Enrolled Senate Bill 115) (amending section 2, chapter [Vetoed], Oregon Laws 1999 (Enrolled Senate Bill 115)), is repealed and section 2, chapter [Vetoed], Oregon Laws 1999 (Enrolled Senate Bill 115), is amended to read:

Sec. 2. (1) The Oregon Liquor Control Commission shall by rule develop uniform standards and procedures for minor decoy operations used to investigate [package store licensees for] violations of the laws of this state prohibiting sales of alcoholic beverages to minors. Uniform standards and procedures established by the commission under this section apply to all investigations conducted by the commission that use minor decoys. The commission shall encourage all law enforcement agencies of this state to use the uniform standards and procedures established under this section for minor decoy operations conducted by the law enforcement agencies.

(2) To the greatest extent possible, the uniform standards and procedures established by the commission under this section:

(a) Shall be the same for minor decoy operations conducted by the commission and for minor decoy operations conducted by law enforcement agencies of this state; and

(b) Shall provide for coordination between the commission and law enforcement agencies of this state in conducting minor decoy operations.

(3) Except as provided in subsection (4) of this section, the failure of the commission or of a law enforcement agency to follow uniform standards and procedures established by the commission under this section is not grounds for challenging any citation, complaint or conviction for violation of the laws prohibiting the sale of alcoholic beverages to minors.

(4) In determining whether to impose sanctions based on multiple violations of the laws of this state prohibiting sales of alcoholic beverages to minors, the commission shall not consider any complaint filed against a [package store] licensee for selling alcoholic beverages to a minor, citation issued to a licensee for selling alcoholic beverages to a minor or conviction of a licensee for selling alcoholic beverages to a minor, if the complaint, citation or conviction arose out of a minor decoy operation that was not conducted pursuant to the uniform standards and practices established by the commission under this section.

(5) The commission shall give notice of the uniform standards and practices established by the commission under this section to all law enforcement agencies of this state that conduct minor decoy operations. All law enforcement agencies of this state that conduct minor decoy operations shall give prior notification to the commission as to when and where minor decoy operations are to be conducted and shall report the results of the operations to the commission.

(6) The commission shall develop and implement a uniform training program for persons under the age of 21 years who participate as decoys in minor decoy operations. All persons used by the commission in minor decoy operations shall receive the training before taking part in a minor decoy operation.

CIVIL PENALTIES FOR SALES TO MINORS

SECTION 12. If Senate Bill 115 becomes law, sections 11 (amending section 3, chapter [Vetoed], Oregon Laws 1999 (Enrolled Senate Bill 115)) and 12, chapter [Vetoed], Oregon Laws 1999 (Enrolled Senate Bill 115), are repealed and section 3, chapter [Vetoed], Oregon Laws 1999 (Enrolled Senate Bill 115), is amended to read:

Sec. 3. If a [package store] licensee is convicted of an offense by reason of an unlawful sale of alcoholic beverages to a minor, the Oregon Liquor Control Commission shall reduce the amount of any civil penalty that the commission would normally impose on the licensee under the rules of the commission by the amount of any fine paid by the licensee by reason of the conviction.

UNIT CAPTIONS

SECTION 13. The unit captions used in this 1999 Act are provided only for the convenience of the reader and do not become part of the statutory law of this state or express any legislative intent in the enactment of this 1999 Act.

Approved by the Governor September 1, 1999

Filed in the office of the Secretary of State September 2, 1999

Effective date October 23, 1999

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