Preproposal statement of inquiry was filed as WSR 97-14-033.

Title of Rule: WAC 314-16-260 Sports/entertainment facilities--Definitions and 314-16-265 General conditions for alcohol service in sports/entertainment facilities--Operating plan required.

Purpose: These rules will clarify the conditions under which types of liquor (beer, wine, or spirits) and service of liquor may be provided in sports/entertainment facilities. Each facility and event may require different conditions based upon the type of event, traffic patterns in the facility, and the age of patrons attending the event.

Statutory Authority for Adoption: RCW 66.08.030 and 66.24.570.

Statute Being Implemented: RCW 66.24.570.

Summary: WAC 314-16-260 contains a comprehensive list of defined terms used with regard to sports/entertainment facilities and WAC 314-16-265 includes general conditions for the service of alcoholic beverages in sports/entertainment facilities.

Name of Agency Personnel Responsible for Drafting and Implementation: Dave Goyette, P.O. Box 43098, Olympia, WA 98504-3098, (360) 753-2724; and Enforcement: Gary Gilbert, P.O. Box 43075, Olympia, WA 98504-3075, (360) 753-6270.

Name of Proponent: Washington State Liquor Control Board, governmental.

Rule is not necessitated by federal law, federal or state court decision.

Explanation of Rule, its Purpose, and Anticipated Effects: The 1996 legislature passed RCW 66.24.570, which created a special liquor license designated as a class "R" and renamed "sports/entertainment facility" by SSB 5173 passed by the 1997 legislature. The intent of the legislation was to simplify the alcohol licensing process and to accommodate the size and unique nature of these facilities.

The purpose of the two proposed rules is to clarify the conditions under which types of liquor (beer, wine, spirits) and service of liquor may be provided in sports/entertainment facilities. Each facility and event may require different conditions based upon the type of event, traffic patterns in the facility, and the age of patrons attending the event.

The first proposed rule, WAC 314-16-260, contains a comprehensive list of defined terms used with regard to sports/entertainment facilities.

The second proposed rule, WAC 314-16-265, includes general conditions for the service of alcoholic beverages in sports/entertainment facilities. The proposed language states: That the Liquor Control Board maintains broad discretionary authority in determining the type of liquor and the locations of service.

Operators must submit a detailed plan outlining the conditions under which liquor will be served and who will be responsible for security in both customer service areas and other areas contiguous to the licensed premises. The plan would be submitted on a one-time basis with changes made as needed by the operator, the Liquor Control Board, or both.

Proposal does not change existing rules.

No small business economic impact statement has been prepared under chapter 19.85 RCW. No impact to small businesses.

Section 201, chapter 403, Laws of 1995, does not apply to this rule adoption. The Washington State Liquor Control Board is not a listed agency in section 201.

Hearing Location: DoubleTree Hotel, 1225 North Wenatchee Avenue, Chelan Room, Wenatchee, WA, on August 19, 1998, at 2:00 p.m.; and at the Seattle Public Library, 1000 4th Avenue, Seattle, WA, on August 26, 1998, at 3:00 p.m.

Assistance for Persons with Disabilities: Contact Teresa Berntsen by August 1, 1998, TDD (360) 586-4727, or (360) 586-1641.

Submit Written Comments to: Teresa Berntsen, Rules Coordinator, P.O. Box 43080, Olympia, WA 98504-3080, e-mail teb@liq.wa.gov, fax (360) 664-9689, by August 19, 1998.

Date of Intended Adoption: August 26, 1998.

June 30, 1998

Nathan S. Ford, Jr.

Chairman

NEW SECTION

WAC 314-16-260  Sports/entertainment facilities--Definitions. As used in reference to sports/entertainment facilities the following definitions apply:

(1) Alcohol or alcoholic beverages - Beer, wine and spirits.

(2) Alcohol restriction - Prohibits the sale of one or more forms of alcohol (beer, wine or spirits).

(3) Operator - The owner, lessee, or manager of a facility in whose name the liquor license is issued.

(4) Operating plan - A plan submitted by the operator to the board, for its approval, describing the events to be held at the facility, the types of, and locations where, alcohol will be served, methods of service, security measures, and related information.

(5) Customer service area - Those areas within a premises such as restaurants, lounges, concourses, paddock areas, private suites, grandstands, and similar areas where patrons may consume food and beverage.

(6) Customer service levels - Three levels of alcohol service allowed within a facility:

(a) Full service - Alcohol service and consumption available throughout seating, concourse, and other customer service areas.

(b) Limited service - Alcohol service and consumption is limited to restaurants, lounges, clubrooms (but not club seats), public concourse areas and private suites.

(c) Restricted service - Alcohol service and consumption is permitted only in designated restaurant, lounge, clubrooms, and private suites.

(7) Event categories - Types of events that the operator expects to hold in the facility.

(a) Professional sporting event - A contest or demonstration sanctioned by a national professional sport organization that regulates the sport whose players receive compensation.

(b) Amateur sporting event - A contest or demonstration sanctioned by a national or regional amateur athletic organization (college or high school leagues, associations, etc.) that regulate the sport whose players receive no compensation.

(c) Entertainment event - A concert, comedy act, tractor pull, monster truck rally, and similar events.

(d) Special event - A convention, trade show or other public/private event too large to be held in a separate banquet or meeting room.

(e) Darkened house event - An event during which the seating area will remain below minimum lighting levels in excess of twenty cumulative minutes (see WAC 314-16-030(3) for minimum lighting requirements).

(8) Event schedule - An annual listing of events booked for the year following issuance or renewal of a facility's liquor license. Professional sporting events which are scheduled by a league or association, for which the board approves a standard type of alcohol service, need not be included.

(9) Hawking - The practice of selling alcoholic beverages in seating areas by roving servers who carry the beverages with them. Because of row seating arrangements, servers normally do not have direct access to customers, service usually requires that drinks, money and identification be passed down rows, involving other spectators.

(10) Personal liquor service - The customer purchases the alcoholic beverage directly from a bartender or concession stand or a server takes the customer's order, obtains the beverage from a licensed bar or concession stand and delivers the alcoholic beverage directly to the customer at their seat or table. Personal liquor service is limited to only those seating areas such as boxes, suites, and dining or clubrooms where a server has direct access to all customer seats and tables.

(11) Premises - Buildings, parking lots and any open areas that are owned, leased, or managed by the operator and under the operator's control.

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NEW SECTION

WAC 314-16-265  General conditions for alcohol service in sports/entertainment facilities--Operating plan required. (1) Board considerations - In establishing requirements and restrictions for alcohol service, the board will consider the following:

(a) Unique features of each facility to include seating accommodations, eating facilities and circulation patterns.

(b) Demographics of the audience relating to age.

(c) The effect various events have on the conduct of patrons using past experience at the licensed facility and other facilities where similar events have been held.

(d) Concerns expressed by local authorities regarding the service of alcohol.

(2) Alcohol permitted - No alcohol except that authorized under the operator's license, a banquet permit or as otherwise allowed by law will be permitted on the premises.

(3) Alcohol service to approved areas - Patrons may not be served, nor may they possess, alcohol in portions of the premises other than customer service areas as approved by the board in the operating plan.

(4) Beverage container standards:

(a) Alcoholic beverage containers must be clear or translucent and distinct from other beverage containers.

(b) Containers may vary in size as commonly used for the type of beverage.

(5) Maximum beverage servings - No more than two servings may be sold to any one patron per transaction and the serving size may not exceed the following amounts:

(a) Beer - 18 ounces.

(b) Wine - 6 ounces.

(c) Spirits - 1.7 ounces or 50 ml.

(6) Training/qualifications required - Managers, bartenders and servers, must hold a class 12 or 13 server's permit as required under RCW 66.20.300 and chapter 314-14 WAC.

(7) Standard limits on customer service - The board will normally limit customer service levels for the following event categories:

(a) With prior written board approval, temporary lounges, beer gardens, or full service may be set up on the arena floor.

(b) The board or the operator may elect to prohibit alcohol throughout the facility during certain events deemed unsuitable for alcohol service.

(8) Lighting requirements - Except for brief periods not to exceed twenty cumulative minutes, lighting in customer service areas, including concourses and suites, must meet minimum levels in accordance with WAC 314-16-030(3).

(9) Alcohol sales cut-off times - Operators are encouraged to discontinue the sale of alcoholic beverages at an appropriate break or intermission in an event or at least forty-five minutes prior to the end of the event based on management's estimate.

(10) Hawking - The practice of hawking alcoholic beverages may be approved only if adequate procedures are included in the operating plan to address the following:

(a) Procedures for checking identification and verifying the age of purchasers and recognizing signs of intoxication in persons who may be several seats removed from the hawker.

(b) Passing of alcoholic beverages between patrons who may be under twenty-one years of age or who may object to handling alcoholic beverages.

(c) Chain of authority for hawking staff and procedures explaining who is authorized to direct hawkers not to serve certain patrons.

(11) Operating plan requirements - Before a license is issued, the operator must submit an operating plan on a form prescribed by the board together with written approval of the plan from local officials. The plan will contain the following information:

(a) Facility map - Showing the entire premises including seating, concourse areas, the location of alcohol service bars and food service facilities, and other public areas such as parking areas contiguous to the facility and under the control of the operator/owner.

(b) Schedule of events - For the twelve months following issuance or renewal of the license. The schedule will show the categories, dates, and times of events at which alcohol service is planned in the arena and spectator seating areas. Events not listed in the plan must be separately approved by the board.

(c) Exceptions - No schedule is needed for private functions held in designated bars, restaurants, clubrooms, and banquet rooms or professional sporting events scheduled in advance by a league or association and preapproved by the board for a standard level of liquor service.

(d) Training - In addition to mandatory training, describe special training given to alcohol sellers and servers, management, and security staff pertaining to alcohol service and crowd control.

(e) Security - The operator is responsible for alcohol service and the conduct of persons on the licensed premises and any adjacent public areas, such as parking lots, which are under the operator's control through ownership, leasehold, or operator agreements. Any agreements which limit operator responsibility to a portion rather than the entire premises must be referenced in the plan, explaining who has such responsibility. Describe procedures, signs or other measures used to prevent or respond to situations involving:

(i) Access to alcohol by persons who are apparently intoxicated or under twenty-one.

(ii) The introduction of personal alcohol onto the premises.

(iii) The open consumption or possession of alcohol in unauthorized areas.

(iv) Disorderly conduct.

(f) Alcohol sales cut-off times - State when alcohol sales will cease for different types of events.

(12) Endorsement letter - Before submitting the operating plan to the board, the operator must obtain a letter of endorsement from either of the following:

(a) For publicly owned facilities, a letter from the public entity owner and the public safety agency serving the facility concurring with the proposed alcohol service plan or stating the owner's points of disagreement.

(b) For privately owned facilities, a letter from the public safety agency serving the facility concurring with the proposed alcohol plan or stating the public agency's points of disagreement.

(13) Operating plan approval process - If approved, except for the twelve-month schedule of events, the plan will remain in effect and must be followed until modified by either the operator or the board.

(a) If all or a portion of the plan is disapproved, the plan will be returned to the operator who will have sixty days to modify the plan or request board consideration.

(b) Until the entire plan is approved, the board will issue a temporary license extension, allowing those levels of service it finds acceptable for those events scheduled.

(14) Review, update and modification of the plan - Within ninety days of annual license renewal, the board will query the operator, local officials and board staff regarding the need for any modifications to the plan. Modifications may occur at other times at the request of the operator or the board to address issues such as types of events not covered in the original plan or concerns over problem trends as evidenced by liquor-related violations and validated complaints.

(15) Operator request for hearing - If, because of board concerns or demonstrated problems, the board disapproves or rescinds all or part of the operating plan, the operator will have the opportunity to resolve the issue with the board. If agreement cannot be reached, the operator may request a hearing as provided under administrative procedures.

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