Original Notice.

     Preproposal statement of inquiry was filed as WSR 04-08-106.

     Title of Rule and Other Identifying Information: Amends current language in chapter 314-09 WAC regarding contested liquor license applications and renewals: WAC 314-09-010 Objections to liquor license applications and 314-09-015 Objections to liquor license renewals.

     Hearing Location(s): Liquor Control Board, Board Room, 3000 Pacific Avenue S.E., Olympia, WA, on January 4, 2005, at 10:00 a.m.

     Date of Intended Adoption: February 1, 2005.

     Submit Written Comments to: Deborah Belcher, AA5, P.O. Box 43080, Olympia, WA 98504-3080, e-mail rules@liq.wa.gov, fax (360) 704-4910, by January 27, 2005.

     Assistance for Persons with Disabilities: Contact Deborah Belcher by January 2, 2005, TTY (360) 885-2800 or (360) 664-1649.

     Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: The proposed changes to this existing chapter would:

•     Eliminate language that says the Liquor Control Board (LCB) may hold a public meeting to gather more input before making an initial decision on an application or renewal - this provision is unnecessary, as persons have an opportunity for public comment during the administrative hearing.

•     Puts current practice in rule that the LCB notifies local officials of licenses in their jurisdiction that will expire ninety days out, instead of sixty days.

•     Requires that local official input on renewals must be received thirty days before the license expires, instead of fifteen days.

•     Clarifies what happens with renewal objections from citizens.

•     Removes language redundancies within the existing rules regarding administrative hearings.

     Additionally, the proposed changes include adding clarifying language, deleting redundant language, or making technical changes to the rules.

     Reasons Supporting Proposal: As part of its ongoing regulatory improvement process, the LCB is reviewing its existing rules and policies regarding contested liquor license applications and renewals.

     Statutory Authority for Adoption: RCW 66.08.030 and 66.24.010.

     Statute Being Implemented: RCW 66.24.010.

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

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

     Name of Agency Personnel Responsible for Drafting: Loraine Lee, 3000 Pacific Avenue S.E., Olympia, WA, (360) 664-1615; Implementation and Enforcement: Karen McCall, 3000 Pacific Avenue S.E., Olympia, WA, (360) 664-1631.

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

     A cost-benefit analysis is not required under RCW 34.05.328. The Washington State Liquor Control Board is not a listed agency in RCW 34.05.328.

December 1, 2004

Merritt D. Long

Chairman

Type of Application	Entities the board will notify
•     Applications for an annual license or permit at a new location that would allow the sale and/or service of alcohol beverage to the public for on-premises consumption or to-go; and	•     Governmental jurisdictions in which the premises is located, and
•     Applications to change the class of an existing annual liquor license or permit that allows the sale and/or service of alcohol beverage to the public for on-premises consumption or to-go.	•     Schools, churches, and public institutions within 500 feet of the premises to be licensed (as measured according to RCW 66.24.010(9)).
•     Applications for any annual or special occasion liquor license or permit that allows the sale and/or service of alcohol beverage; and	Governmental jurisdictions only.
•     Changes of ownership at existing licensed premises.

     (2) What will happen if a person or entity objects to a liquor license application? When deciding whether to issue or deny ((an annual)) a liquor license application or permit, the board will give due consideration to input from governmental jurisdictions in which the premises is located; private schools, churches, and public institutions within 500 feet of the premises (as measured according to RCW 66.24.010(9)); and other persons or groups. Note: (((a))) Per RCW 66.24.010(9), the board ((will)) shall not issue a new liquor license if a tax-supported public elementary or secondary school within 500 feet of the premises to be licensed objects to the application (500 feet as measured according to RCW 66.24.010(9)).

     (b) At its discretion, the board may hold a public meeting to gather input from interested parties before making a decision on a liquor license application. If the board decides to hold a public meeting, it will notify all persons or entities who have legal standing to be notified of a liquor license application under RCW 66.24.010, and all persons who gave comment on the application. The record of the public meeting will be part of any record should the matter result in an adjudicative hearing under the provisions of the Administrative Procedure Act (chapter 34.05 RCW).

     (((c))) (a) If the board contemplates issuing a license over the objection of a governmental jurisdiction in which the premises is located, the government subdivision may request an adjudicative hearing under the provisions of the Administrative Procedure Act (chapter 34.05 RCW). If the board, in its discretion, grants the governmental jurisdiction(s) an adjudicative hearing, the licensee will be notified and given the opportunity to present evidence at the hearing.

     (((d))) (b) If the board denies a liquor license application based on the objection from a governmental jurisdiction; a private school, church, or public institution within 500 feet of the premises (as measured according to RCW 66.24.010(9)); and/or other persons or groups, the applicant(s) may either:

     (i) Reapply for the license or permit no sooner than one year from the original denial date; or

     (ii) Submit a written request, within twenty days of the date ((on)) of licensee's receipt of the denial letter, for an adjudicative hearing under the provisions of the Administrative Procedure Act (chapter 34.05 RCW).

[Statutory Authority: RCW 66.08.030, 66.24.010, 66.08.150. 01-03-087, § 314-09-010, filed 1/17/01, effective 2/17/01.]

     Reviser's note: RCW 34.05.395 requires the use of underlining and deletion marks to indicate amendments to existing rules. The rule published above varies from its predecessor in certain respects not indicated by the use of these markings.

     Reviser's note: The typographical errors in the above section occurred in the copy filed by the agency and appear in the Register pursuant to the requirements of RCW 34.08.040.
AMENDATORY SECTION(Amending WSR 01-03-087, filed 1/17/01)

WAC 314-09-015   Objections to liquor license renewals.   (1) How can local governmental jurisdictions object to the renewal of a liquor license? (a) The board will give governmental jurisdictions ((sixty)) ninety days written notice of premises that hold annual liquor licenses in that jurisdiction that are up for renewal.

     (b) Per RCW 66.24.010(8), if a governmental jurisdiction wants to object to the renewal of a liquor license in its jurisdiction, it must submit a letter to the board detailing the reason(s) for the objection and a statement of all facts on which the objections are based.

     (c) This letter must be received by the board at least ((fifteen)) thirty days before the liquor license expires. The objection must state specific reasons and facts that show issuance of the liquor license at the proposed location or to the applicant business will detrimentally impact the safety, health, or welfare of the community.

     (d) If the objection is received within 30 days of the expiration date or the licensee has already renewed the license, the objection will be considered as a complaint and possible license revocation by the Enforcement Division.

     (e) Objections from the public will be referred to the appropriate governmental jurisdiction for action under subsection (2) below. Upon receipt of the objection, the board licensing and regulation division will acknowledge receipt of the objection(s) and forward to the appropriate governmental jurisdiction. Such jurisdiction may or may not, based on the public objection, request nonrenewal.

     (2) What will happen if a governmental jurisdiction objects to the renewal of a liquor license? (a) The board will give due consideration to a governmental jurisdiction's objection to a liquor license renewal of a premises in its jurisdiction. Based on the governmental jurisdiction's input and any information in the licensing file, the board will decide to either renew the liquor license, or to proceed with non-renewal.

     (((b) At its discretion, the board may hold a public meeting to gather input from interested parties before making a decision on a liquor license renewal. If the board decides to hold a public meeting, it will notify the governmental jurisdiction(s) and any other persons who gave comment on the renewal. The record of the public meeting will be part of any record should the matter result in an adjudicative hearing under the provisions of the Administrative Procedure Act (chapter 34.05 RCW).))

(((c))) (b) Board decides to renew the liquor license:	(((d))) (c) Board decides to not renew the liquor license:
(i) The board will notify the governmental jurisdiction(s) in writing of its intent to renew the license, stating the reason for this decision.	(i) The board will notify the licensee in writing of its intent to not renew the license, stating the reason for this decision.
(ii) The governmental jurisdiction(s) may contest the proposed renewal and request an adjudicative hearing under the provisions of the Administrative Procedure Act (chapter 34.05 RCW).	(ii) The licensee may contest the proposed non-renewal and request an adjudicative hearing under the provisions of the Administrative Procedure Act (chapter 34.05 RCW).
(iii) If the board, in its discretion, grants the governmental jurisdiction(s) an adjudicative hearing, the licensee will be notified and given the opportunity to present evidence at the hearing.	(iii) If the licensee requests a hearing, the governmental jurisdiction will be notified. notified and required to present evidence at the hearing to support its recommendation.
(iv) The board will consider the evidence, and will subsequently enter a final order announcing its decision.	(iv) The board will consider the evidence, and will subsequently enter a final order announcing its decision.
(v) The governmental jurisdiction(s) or the licensee may appeal the final order of the board to the superior court for judicial review (under chapter 34.05 RCW).	(v) The governmental jurisdiction(s) or the licensee may appeal the final order of the board to the superior court for judicial review (under chapter 34.05 RCW).
(vi) During the hearing and any subsequent appeal process, the licensee will be issued a temporary operating permit for the liquor license until a final decision is made.	(v) (iv) During the hearing and any subsequent appeal process, the licensee is issued a temporary operating permit for the liquor license until a final decision is made.

[Statutory Authority: RCW 66.08.030, 66.24.010, 66.08.150. 01-03-087, § 314-09-015, filed 1/17/01, effective 2/17/01.]

     Reviser's note: RCW 34.05.395 requires the use of underlining and deletion marks to indicate amendments to existing rules. The rule published above varies from its predecessor in certain respects not indicated by the use of these markings.

     Reviser's note: The typographical errors in the above section occurred in the copy filed by the agency and appear in the Register pursuant to the requirements of RCW 34.08.040.

© Washington State Code Reviser's Office