2006 Utah Code - 32A-5-102 — Application and renewal requirements.

     32A-5-102.   Application and renewal requirements.
     (1) A club seeking a class A, B, C, or D private club license under this chapter shall file a written application with the department in a form prescribed by the department. The application shall be accompanied by:
     (a) a nonrefundable $250 application fee;
     (b) an initial license fee of $2,500, which is refundable if a license is not granted;
     (c) written consent of the local authority;
     (d) a copy of the applicant's current business license;
     (e) evidence of proximity to any public or private school, church, public library, public playground, or park, and if the proximity is within the 600 foot or 200 foot limitations of Subsections 32A-5-101(7) and (8), the application shall be processed in accordance with those subsections;
     (f) evidence that the applicant operates a club where a variety of food is prepared and served in connection with dining accommodations;
     (g) a bond as specified by Section 32A-5-106;
     (h) a floor plan of the club premises, including consumption areas and the area where the applicant proposes to keep and store liquor;
     (i) evidence that the club is carrying public liability insurance in an amount and form satisfactory to the department;
     (j) evidence that the club is carrying dramshop insurance coverage of at least $500,000 per occurrence and $1,000,000 in the aggregate;
     (k) a copy of the club's bylaws or house rules, and any amendments to those documents, which shall be kept on file with the department at all times;
     (l) a signed consent form stating that the club and its management will permit any authorized representative of the commission, department, or any law enforcement officer unrestricted right to enter the club premises;
     (m) (i) a statement as to whether the private club is seeking to qualify as a class A, B, C, or D private club licensee; and
     (ii) evidence that the private club meets the requirements for the classification for which the club is applying;
     (n) in the case of a partnership, corporation, or limited liability company applicant, proper verification evidencing that the person or persons signing the private club application are authorized to so act on behalf of the partnership, corporation, or limited liability company; and
     (o) any other information the commission or department may require.
     (2) (a) The commission may refuse to issue a license if the commission determines that any provisions of the club's bylaws or house rules, or amendments to those documents are not:
     (i) reasonable; and
     (ii) consistent with:
     (A) the declared nature and purpose of the applicant; and
     (B) the purposes of this chapter.
     (b) Club bylaws or house rules shall include provisions respecting the following:
     (i) standards of eligibility for members;
     (ii) limitation of members, consistent with the nature and purpose of the private club;
     (iii) the period for which dues are paid, and the date upon which the period expires;
     (iv) provisions for dropping members for the nonpayment of dues or other cause; and

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     (v) provisions for guests or visitors, if any, and for the issuance and use of visitor cards.
     (3) (a) All private club licenses expire on June 30 of each year.
     (b) A person desiring to renew that person's private club license shall submit by no later than May 31:
     (i) a completed renewal application to the department; and
     (ii) a renewal fee in the following amount:
     Gross Cost of Liquor in Previous License Year for the Licensee        Renewal Fee
    under $10,000                                $1,000
    equals or exceeds $10,000 but less than $25,000                $1,250
    equals or exceeds $25,000 but less than $75,000                $1,750
    equals or exceeds $75,000                            $2,250.
     (c) Failure to meet the renewal requirements shall result in an automatic forfeiture of the license effective on the date the existing license expires.
     (d) Renewal applications shall be in a form as prescribed by the department.
     (4) To ensure compliance with Subsection 32A-5-107(44), the commission may suspend or revoke any private club license if the private club licensee does not immediately notify the department of any change in:
     (a) ownership of the club;
     (b) for a corporate owner, the:
     (i) corporate officers or directors; or
     (ii) shareholders holding at least 20% of the total issued and outstanding stock of the corporation; or
     (c) for a limited liability company:
     (i) managers; or
     (ii) members owning at least 20% of the limited liability company.

Amended by Chapter 268, 2004 General Session