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Date: 7/21/2003 Item o: V1. C. Departm nt' pproval: Manager Approved: Agenda Section: Public Hearings Item Descn'ption: Public Hearing to Consider Changing the Hours of Operation for On -Sale Liquor Establishments Background On .Tune 16, 2003 the City Council established a public hearing to consider changing the hours of operation for on -sale liquor establishments. In the recently adjourned legislative session, State Lawmakers agreed to extend the hours of operation for on -sale liquor establishments from the current 1: ooarn closing tine, to 2 : ooarn . The change in law was effective on July 1, 2003. The new law allows local units of government to prohibit the extended hours by establishing an ordinance that specifies an earlier closing time. If the City wishes to prohibit the extended hours, it must do so in the affirmative. The City has received a request from an existing on -sale establishment whore wishes to extend their hours of operation to 2:00 am. It's uncertain whether other establishments will make the same request, but it seems likely that others will do so at some time in the future. Under the new law, local approval is rewired before any establishment can extend their hours. The City Attorney has prepared two proposed amendments to the City Code. The First would re- establish and confirm the existing hours of operation; the second would extend the hours of operation for on -sale liquor establishments to : ooam. The amendments are shown in Attachment A and A and would apply to all on -sale liquor licenses. The extended hours does not present any Concerns to City Staid` with respect to licensing or other administrative duties. However there are some potential public safety concerns and related financial impacts that the Council should be aware of before approving any extension of hours. Various Staff, including the Chief of Police will be available to address these concerns.