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Oregon Bulletin

October 1, 2013

Oregon Liquor Control Commission, Chapter 845

Rule Caption: New rule to establish operational and siting standards for regular Satellite Liquor Stores.

Adm. Order No.: OLCC 6-2013

Filed with Sec. of State: 8-26-2013

Certified to be Effective: 9-1-13

Notice Publication Date: 6-1-2013

Rules Adopted: 845-015-0205

Subject: This new rule establishes operational and siting standards for regular (i.e., permanent) Satellite Liquor Stores. It also allows the Commission to convert existing Pilot Satellite Liquor Stores into regular Satellite Liquor Stores, if desired. In August of 2010, the Commission established a Satellite Liquor Stores Pilot Program. The program was designed to allow interested parties to determine the efficacy of operating non-exclusive retail liquor stores in smaller communities where there is a fluctuating, seasonal demand for a small, additional outlet due to tourism or other similar factors. Since this time, two Pilot Satellite Liquor Stores have commenced operations. Both stores have successfully achieved the goals of the Satellite Liquor Store Pilot Program. This new rule provides a means of continuing these operations after the expiration of their respective Pilot Program Agent Agreements and establishing additional regular Satellite Liquor Stores in other locations.

Rules Coordinator: Annabelle Henry—(503) 872-5004

845-015-0205

Satellite Liquor Stores

(1) Satellite Liquor Stores are non-exclusive retail liquor stores located in smaller communities where there is a fluctuating, seasonal demand for an additional small outlet due to tourism or other similar factors.

(2) A Satellite Retail Sales Agent is an agent who currently operates a retail liquor store (the Primary Liquor Store) in proximity to the community where a Satellite Liquor Store is located and who is appointed to operate the Satellite Liquor Store.

(3) Factors Considered when Siting Satellite Liquor Stores. The Commission will consider the following factors in determining the locations of Satellite Liquor Stores:

(a) Population fluctuations, changes in consumer traffic patterns, and/or increased demand within a community during seasonal or peak periods due to tourism or other similar factors;

(b) Distance of the proposed Satellite Liquor Store from existing liquor store(s);

(c) Community proximity of the proposed Satellite Liquor Store to the Primary Liquor Store;

(d) Sales volume of the Satellite Retail Sales Agent’s Primary Liquor Store;

(e) Anticipated ability of the Satellite Liquor Store to accommodate seasonal, fluctuating demand (through operating days/hours, product mix, etc);

(f) Size of Satellite Liquor Store, including retail floor space and storage space. A Satellite Liquor Store may carry no more than 70 percent of the products carried in the Primary Liquor Store, as measured by SKUs;

(g) The ability of the Satellite Retail Sales Agent to negotiate acceptable terms for the Satellite Liquor Store location.

(4) All statutes and administrative rules governing retail sales agents will apply to a Satellite Liquor Store, with the following exceptions:

(a) OAR 845-015-0110 (1)(d) Establishment of a Retail Liquor Store;

(b) OAR 845-015-0120 Retail Sales Agent Selection Procedure;

(c) OAR 845-015-0140 Hours and Days of Operation;

(d) OAR 845-015-0190 Resignation Buy-Out Program for Retail Liquor Agents does not apply if a Satellite Liquor Store Agent ceases to operate the Satellite Liquor Store but continues to operate the Primary Liquor Store. However, if the agent resigns from both the Primary Liquor Store and the Satellite Liquor Store, the buy-out shall apply to both stores.

(5) The Retail Operations Manual, including any Satellite Liquor Store Appendix, and all other relevant Commission policies will apply to a Satellite Liquor Store unless otherwise provided in the Retail Sales Agent Agreement.

(6) Satellite Retail Sales Agents will promptly provide the Commission with any and all data related to the operation of the Satellite Liquor Store as specified in the Retail Sales Agent Agreement and the Retail Operations Manual.

Stat. Auth.: ORS 471, 471.030, 471.040 & 471.730(1) & (5)

Stats. Implemented: ORS 471.750

Hist.: OLCC 6-2013, f. 8-26-13, cert. ef. 9-1-13


Rule Caption: Amend to delete an incomplete definition of ‘equipment.’

Adm. Order No.: OLCC 7-2013

Filed with Sec. of State: 8-28-2013

Certified to be Effective: 10-1-13

Notice Publication Date: 6-1-2013

Rules Amended: 845-009-0140

Subject: Subsection (1)(b) provides a definition of ‘equipment’ that does not include the standards set forth in section (2) of the rule. This omission could lead to confusion regarding the standards that age verification equipment must meet in order to qualify for the credit provided under section (3) or (4) of the rule. The proposed amendments delete the incomplete definition of ‘equipment’ found in subsection (1)(b), thereby clarifying the standards that age verification equipment must meet under the rule.

Rules Coordinator: Annabelle Henry—(503) 872-5004

845-009-0140

Age Verification Equipment

(1) As used in this rule: “Retail licensee” and “licensee” mean a retail licensee as defined in ORS 471.392;

(2) In order to qualify for the credit provided under section (3) or (4) of this rule, age verification equipment must meet all of the following standards:

(a) The equipment must trigger an age verification process or the equipment itself must verify the age. In either case, the equipment must indicate to the licensee or employee if the customer is of legal age to purchase alcoholic beverages;

(b) The equipment must have a memory function and must be capable of producing a hard copy printout of the results of any verification transaction within the last seven days, either directly from the equipment or through a computer;

(c) The equipment must be able to perform the age verification function for identification from all states in the United States, via either the equipment reading the identification automatically or manual entry of the information; and

(d) The equipment must have the capacity to be updated or upgraded.

(3) For the first or second violation of ORS 471.410(2) or 845-006-0335(1) in a two-year period, the licensee may choose to purchase age verification equipment in lieu of the standard first level Category III sanction, not to exceed 10 days of the suspension or $1650 of the civil penalty. The licensee is responsible for paying or serving any portion of the sanction charged in excess of the standard sanction.

(4) For the first or second violation of ORS 471.410(2) or 845-006-0335(1) in a two-year period by a member of the Responsible Vendor Program, the licensee may choose to purchase age verification equipment in lieu of the standard Category III(a) sanction. The licensee is responsible for paying or serving any portion of the sanction charged in excess of the standard sanction.

(5) A licensee may choose this option only one time per license. If the licensee previously purchased equipment, the Commission may allow the licensee to use the purchase of the equipment in lieu of paying up to $1650 of the civil penalty or serving up to 10 days of the suspension, if the licensee has not previously received this option.

(6) In order to receive the credit under this rule, the licensee must be using the age verification equipment within the timeframe specified in either the Request to Exercise Age Verification Equipment Option form or a settlement agreement; otherwise the licensee is responsible for the full sanction.

(7) A licensee who has received a credit under this rule for age verification equipment is expected to maintain the equipment in working order and to use the equipment to verify age as OAR 845-006-0335 requires.

Stat. Auth.: ORS 471, 471.030, 471.040 & 471.730(1) & (5)

Stats. Implemented: ORS 471.342

Hist.: OLCC 19-2000, f. 12-6-00, cert. ef. 1-1-01; OLCC 5-2003, f. 3-31-03 cert. ef. 4-1-03; OLCC 9-2006, f. 7-19-06, cert. ef. 8-1-06; OLCC 9-2011, f. & cert. ef. 11-1-11; OLCC 7-2013, f. 8-28-13, cert. ef. 10-1-13

Notes
1.) This online version of the OREGON BULLETIN is provided for convenience of reference and enhanced access. The official, record copy of this publication is contained in the original Administrative Orders and Rulemaking Notices filed with the Secretary of State, Archives Division. Discrepancies, if any, are satisfied in favor of the original versions. Use the OAR Revision Cumulative Index found in the Oregon Bulletin to access a numerical list of rulemaking actions after November 15, 2012.

2.) Copyright 2013 Oregon Secretary of State: Terms and Conditions of Use

Oregon Secretary of State • 136 State Capitol • Salem, OR 97310-0722
Phone: (503) 986-1523 • Fax: (503) 986-1616 • oregon.sos@state.or.us

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