Memorandum

City of Lawrence

City Clerk’s Office

TO:	David L. Corliss, City Manager
FROM:	Jonathan Douglass, Assistant to the City Manager/City Clerk
CC:	Toni Wheeler, Legal Director Tarik Khatib, Chief of Police
DATE:	June 7, 2011
RE:	Biennial (2 year) liquor licenses

In 2010 the Kansas Legislature adopted various new liquor regulations, the most significant to the city being a change to two year, or biennial, state liquor licenses. The change was effective July 1, 2010, for all state liquor licenses except drinking establishment licenses. Drinking establishment licenses from the state become biennial licenses effective July 1, 2011.

At a recent regional city clerks meeting with State of Kansas Alcoholic Beverage Control representatives, it was communicated to the city clerks that city liquor licenses are also now required to be issued biennially rather than annually. The city license fees authorized by state law were increased proportionately (i.e. doubled) but the effective annual rate is still the same.

The attached Ordinance No. 8634 would change the city code to reflect the new state law, effective July 1, 2011. I have incorporated a refund provision substantially similar to that in the state law, whereby if a license is surrendered to the city before the beginning of the second year of the license term, a refund of half the license fee will be made. I have sent the attached letter to all current licensees affected by these changes to notify them that the changes will be effective July 1, 2011.

State law also now authorizes cities to issue temporary cereal malt beverage (CMB) licenses for events. In the past only one year licenses were authorized. Ordinance No. 8634 also changes the city code to allow temporary CMB licenses.

ACTION:       Adopt on first reading, Ordinance No. 8634, amending Chapters 4 and 6 of the City Code regarding alcohol licenses, to incorporate state law changes requiring biennial licensing.