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Tobacco Permit PenaltiesMEMORANDUM October 29, 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 November 19 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 Klm B. Wadding, Police Chief DATE: TO: FROM: RE: October 24, 2001 Michael C. Van Milligen, City Manager Kim B. Wadding, Police Chief Penalties for Tobacco Permk Holders INTRODUCTION: The purpose of this memo is to recommend that the City Council set a heating to consider assessing the appropriate civil penalty regarding underage tobacco sales conceming six 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 and *Kalmes Breaktime Bar received a conviction of selling cigarettes while tobacco license was expired. The businesses include: 3rd 2nd 1st 1 st 07/12/01 07/26/01 07/26/01 07/26/01 Amoco Food Shop 16t~ Street Auto-Truck Plaza Clark Retail Enterprise Dempsey's & Molly's Knicker's Saloon 1450 Loras Blvd. 1215 East 16t~ Street 700 Rhomberg Avenue 395 West 9t~ Street Kendra Jean Sweeney Eric John Caspers Nicholas D. Krug Tobi Sorenson 1st 08/14/0I 2186 Central Avenue Thomas J. Milligan 1st Lic/Violation 08/14/01 *Kalmes Breaktime Bar 1097 Jackson Street Theresa Kalmes 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: t) For a first violation, the retailer shall be assessed a civil penalty in the amount 2) 4) 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. 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 oftkree 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 axe 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.