WSR 98-18-096
PROPOSED RULES
LIQUOR CONTROL BOARD
[Filed September 2, 1998, 11:05 a.m.]
Original Notice.
Preproposal statement of inquiry was filed as WSR 98-12-088.
Title of Rule: WAC 314-12-170 What are the penalties if a retail liquor licensee violates the liquor laws or rules?; 314-12-300 Group one (1) violations against public safety; 314-12-310 Group two (2) offenses--Conduct violations; 314-12-320 Group three (3) offenses--Regulatory violations; 314-12-330 Can the board impose sanctions or penalties other than those indicated in WAC 314-12-170?; and 314-12-340 What are some examples of mitigating and aggravating circumstances?
Purpose: To outline the penalties for liquor licensees who violate the liquor laws.
Statutory Authority for Adoption: RCW 66.08.030.
Statute Being Implemented: RCW 66.24.010, 66.24.120.
Summary: The Liquor Control Board has, by policy, published penalty guidelines for liquor licensees. The agency believes this policy should be converted into rule form.
Name of Agency Personnel Responsible for Drafting: Jan Britt, P.O. Box 43075, Olympia, WA 98504-3075, (360) 753-6270; Implementation 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 Liquor Control Board has, by policy, published penalty guidelines for liquor licensees. The agency believes this policy should be converted into rule form.
The penalty guidelines were created in order to:
Provide technical assistance to licensees and the public;
Provide a measure of equal treatment to all licensees; and
Prevent violations by informing licensees of the consequences of failing to operate their business according to legal requirements.
Proposal Changes the Following Existing Rules: Amend WAC 314-12-170 to outline the normal penalties for liquor licensees who violate the liquor laws. Currently the rule outlines the minimum monetary penalty or suspension period for licensees.
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: Washington State Liquor Control Board, Board Room, Fifth Floor, 1025 East Union Avenue, Olympia, WA 98501, on October 14, 1998, at 9:30 a.m.
Assistance for Persons with Disabilities: Contact Teresa Berntsen by October 13, 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, fax (360) 664-9689, by October 14, 1998.
Date of Intended Adoption: October 15, 1998.
September 1, 1998
Nathan S. Ford, Jr.
Chair
OTS-2421.1
AMENDATORY SECTION (Amending WSR 95-05-006, filed 2/1/95, effective 3/4/95)
WAC 314-12-170 ((Minimum penalty.)) What are the penalties
if a retail liquor licensee violates the liquor laws or rules?
((When the board, pursuant to RCW 66.24.010 and 66.24.120,
determines to suspend a liquor license and/or vacate a license
suspension upon payment of a monetary penalty, then such license
suspension shall not, in any event, be less than three operating
days nor shall such monetary penalty, in any event, be less than
one hundred dollars.)) (1) Penalties for violations by liquor
licensees (or their employees while working for a liquor
licensee) are broken down into three categories, with the most
serious penalties first.
(a) Group One (1) - Public Safety Violations, WAC 314-12-300;
(b) Group Two (2) - Conduct Violations, WAC 314-12-310;
(c) Group Three (3) - Regulatory Violations, WAC 314-12-320.
(2) Past violations within a three-year period will be considered.
[Statutory Authority: RCW 66.08.030. 95-05-006, § 314-12-170, filed 2/1/95, effective 3/4/95. Statutory Authority: RCW 66.08.030 and 66.98.070. 88-17-023 (Order 258, Resolution No. 267), § 314-12-170, filed 8/10/88; 84-17-117 (Order 148, Resolution No. 157), § 314-12-170, filed 8/22/84.]
NEW SECTION
WAC 314-12-300 Group One (1) violations against public safety.
| Violation Type | 1st Violation | 2nd Violation | 3rd Violation | 4th Violation |
| minor frequenting a tavern, cocktail lounge or other age restricted area | 5 day suspension or $500 monetary option | 7 day suspension and no monetary option | 30 day suspension and no monetary option | cancellation of license |
| sales or service: Of alcohol to persons under 21 years of age | 5 day suspension or $500 monetary option | 7 day suspension and no monetary option | 30 day suspension and no monetary option | cancellation of license |
| criminal conduct: Allowing or engaging in | 5 day suspension or $500 monetary option | 5 day suspension or $2,500 monetary option | 10 day suspension or $5,000 monetary option | cancellation of license |
| disorderly conduct: Allowing patrons, by licensee or employee | 5 day suspension or $500 monetary option | 5 day suspension or $2,500 monetary option | 10 day suspension or $5,000 monetary option | cancellation of license |
| intoxicated persons: Sales to, service to, consumption by, possession by | 5 day suspension or $500 monetary option | 5 day suspension or $2,500 monetary option | 10 day suspension or $5,000 monetary option | cancellation of license |
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NEW SECTION
WAC 314-12-310 Group two (2) offenses--Conduct violations.
| Violation Type | 1st Violation | 2nd Violation | 3rd Violation | 4th Violation |
| employee: Under legal age or with no mast Permit | 5 day suspension or $250 monetary option | 5 day suspension or $1,500 monetary option | 10 day suspension or $3,000 monetary option | cancellation of license |
| food service: Not available | 5 day suspension or $250 monetary option | 5 day suspension or $1,500 monetary option | 10 day suspension or $3,000 monetary option | cancellation of license |
| hours of service: Sales, service, removal, consumption between 2:00 a.m. and 6:00 a.m. | 5 day suspension or $250 monetary option | 5 day suspension or $1,500 monetary option | 10 day suspension or $3,000 monetary option | cancellation of license |
| inspections: Refusing to allow | 5 day suspension or $250 monetary option | 5 day suspension or $1,500 monetary option | 10 day suspension or $3,000 monetary option | cancellation of license |
| lewd conduct: Allowing | 5 day suspension or $250 monetary option | 5 day suspension or $1,500 monetary option | 10 day suspension or $3,000 monetary option | cancellation of license |
| liquor: Substituting, tampering, unlawful removal, possession, or unauthorized sale | 5 day suspension or $250 monetary option | 5 day suspension or $1,500 monetary option | 10 day suspension or $3,000 monetary option | cancellation of license |
| misuse of license: Or unauthorized use of license | 5 day suspension or $1,500 monetary option | cancellation of license | cancellation of license | cancellation of license |
| retailer/nonre-tailer: Violations | 5 day suspension or $250 monetary option | 5 day suspension or $1,500 monetary option | 10 day suspension or $3,000 monetary option | cancellation of license |
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NEW SECTION
WAC 314-12-320 Group three (3) offenses--Regulatory violations.
| Violation Type | 1st Violation | 2nd Violation | 3rd Violation | 4th Violation |
| advertising: Violations | 5 day suspension or $100 monetary option | 5 day suspension or $500 monetary option | 10 day suspension or $1,000 monetary option | 20 day license suspension with no monetary option |
| inventory: Below amount required | 5 day suspension or $100 monetary option | 5 day suspension or $500 monetary option | 10 day suspension or $1,000 monetary opting | 20 day license suspension with no monetary option |
| keg registration: Failure to properly register kegs | 5 day suspension or $500 monetary option | 5 day suspension or $1,000 monetary option | 10 day suspension or $1,500 monetary option | 20 day license suspension with no monetary option |
| licensing: Unauthorized alterations, change of trade name or added activity. Inadequate lighting. | 5 day suspension or $100 monetary option | 5 day suspension or $500 monetary option | 10 day suspension or $1,000 monetary option | 20 day license suspension with no monetary option |
| liquor: Purchased from unauthorized source, sale below cost | 5 day suspension or $100 monetary option | 5 day suspension or $500 monetary option | 10 day suspension or $1,000 monetary option | 20 day license suspension with no monetary option |
| nonretail: Posting or label violations | 5 day suspension or $100 monetary option | 5 day suspension or $500 monetary option | 10 day suspension or $1,000 monetary option | 20 day license suspension with no monetary option |
| records: Improper recordkeeping, failure to allow inspection of records | 5 day suspension or $100 monetary option | 5 day suspension or $500 monetary option | 10 day suspension or $1,000 monetary option | 20 day license suspension with no monetary option |
| signs: Failure to post required signs | 5 day suspension or $100 monetary option | 5 day suspension or $500 monetary option | 10 day suspension or $1,000 monetary option | 20 day license suspension with no monetary option |
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NEW SECTION
WAC 314-12-330 Can the board impose sanctions or penalties other than those indicated in WAC 314-12-170? Yes, the board has broad discretionary authority. Based on aggravating or mitigating circumstance, the board may impose a different penalty than the standard penalties outlined in WAC 314-12-300, 314-12-310, or 314-12-320. Penalties may range as follows:
(1) A mitigated penalty would be when there are mitigating circumstances that the board determines merits a lesser number of days suspension or a lower monetary option.
(2) A standard penalty would be one indicated in WAC 314-12-170.
(3) An aggravated penalty would be one based on aggravating circumstances that is either:
(a) A higher number of days suspension or a higher monetary penalty than the standard penalty; or
(b) Cancellation of the license.
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NEW SECTION
WAC 314-12-340 What are some examples of mitigating and aggravating circumstances? (1) Mitigating factors may include having in place business policies and practices such as:
(a) Accepting only identification authorized by statute for persons of questionable age;
(b) Utilizing licensee certification cards that are correctly filled out and filed;
(c) Having direct on site supervision of employees;
(d) Having a signed acknowledgment from each employee of the business alcohol policy on file;
(e) Have an employee training plan that includes annual training on liquor laws;
(f) Showing cooperation with local law enforcement, etc.
(2) Aggravating circumstances may include practices that show the licensee or their employees:
(a) Fail to cooperate with local law enforcement or board staff;
(b) Do not call for local law enforcement when requested by customers or board agents;
(c) Do not check employees to insure employees are of legal age or have appropriate work permits;
(d) Committed the violation willfully, etc.
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