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Tobacco Penalty Set HrgMEMORANDUM September 11, 2001 TO: FROM: SUBJECT: The Honorable Mayor and City Council Members Michael C. Van Milligen, City Manager Penalties for Tobacco Permit Holders Chief of Police Kim Wadding is recommending that a hearing be set for October 1 on penalties for certain tobacco permit holders. I concur with the recommendation and respectfully request Mayor and City Council approval. MCVM/jh Attachment CC: Barry Lindahl, Corporation Counsel Cindy Steinhauser, Assistant City Manager Kim B. Wadding, Police Chief DATE: September 7, 2001 TO: Michael C. Van Milligen, City Manager FROM: Kim B. Wadding, Police Chief RE: Penalties for Tobacco Permit Holders INTRODUCTION: The purpose of this memo is to recommend that the City Council set a hearing to consider assessing the appropriate civil penalty regarding underage tobacco sales concerning five tobacco permit holders. BACKGROUND: Since the beginning of the year tobacco compliance checks were completed at several establishments throughout Dubuque to ensure tobacco sales compliance. The compliance checks used trained underage volunteers under supervision of police officers. Of the compliance checks, employees of the listed five businesses have received convictions for underage tobacco sales. The businesses include: 1st 1st 1st 02/20/2001 Liquor Depot 02/27/2001 Wal Mart 07/12/2001 Eagle Food #320 07/12/2001 Econo Foods 07/26/2001 IOCO Speede Shoppe 1620 John F. Kennedy Road Timothy Gantz 4200 Dodge Street Nicholas Meyer 2050 John F. Kennedy Road Jessica Fitzgibbons 3355 John F. Kennedy Road Melissa Kennedy 1998 Jackson Street Khn Wieseler DISCUSSION: Section 453A.22 of the Iowa Code provides that in addition to penalties paid by employees, the State or local authority shall assess a penalty against the permit holder after the hearing as follows: 1) For a first violation, the retailer shall be assessed a civil penalty in the amount of three hundred dollars. Failure to pay the civil penalty as ordered shall result in automatic suspension of the permit for a period of fourteen days. 2) 3) 4) For a second violation within a period of two years, the retailer's permit shall be suspended for a period of thirty days. For a third violation within a period of three years, the retailer's permit shall be suspended for a period of sixty days. For a fourth violation within a period of three years, the retailer's permit shall be revoked. RECOMMENDATION: It is recommended that the City Council set a hearing for the above permittees. If after the hearings the violations are sustained, the Council would assess the appropriate civil penalty to each business based upon the number of violations. ACTION REQUESTED: Request the City Council to set a hearing date regarding the assessing of a civil penalty to the listed tobacco permit holders.