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Public Act 098-0010
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| SB0724 Enrolled | LRB098 04929 MGM 34959 b |
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AN ACT concerning liquor.
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Be it enacted by the People of the State of Illinois, |
represented in the General Assembly:
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Section 5. The Liquor Control Act of 1934 is amended by |
changing Sections 4-2 and 6-2 as follows:
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(235 ILCS 5/4-2) (from Ch. 43, par. 111)
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Sec. 4-2. The mayor or president of the board of trustees |
of each city,
village or incorporated town or his or her |
designee, and the president or chairman of the county
board or |
his or her designee, shall be the local liquor control |
commissioner for their respective
cities, villages, |
incorporated towns and counties, and shall be charged
with the |
administration in their respective jurisdictions of the
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appropriate provisions of this Act and of such ordinances and |
resolutions
relating to alcoholic liquor as may be enacted; but |
the authority of the
president or chairman of the county board |
or his or her designee shall extend only to that area in
any |
county which lies outside the corporate limits of the cities, |
villages
and incorporated towns therein and those areas which |
are owned by the
county and are within the corporate limits of |
the cities, villages and
incorporated towns with a population |
of less than 1,000,000, however, such
county shall comply with |
the operating rules of the municipal ordinances
affected when |
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issuing their own licenses.
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However, such mayor, president of the board of trustees or |
president or
chairman of the county board or his or her |
designee may appoint a person or persons to assist him
in the |
exercise of the powers and the performance of the duties herein
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provided for such local liquor control commissioner. |
Notwithstanding any other provision of this Section to the |
contrary, the mayor of a city with a population of 55,000 |
50,000 or less or the president of a village with a population |
of 55,000 50,000 or less that has an interest in the |
manufacture, sale, or distribution of alcoholic liquor must |
direct the council or board over which he or she presides to |
appoint, by majority vote, a person other than him or her to |
serve as the local liquor control commissioner. The appointment |
must be made within 30 days from the day on which the mayor or |
president takes office, and the mayor or president cannot make |
nominations or serve any other role in the appointment. To |
prevent any conflict of interest, the mayor or president with |
the interest in the manufacture, sale, or distribution of |
alcoholic liquor shall not participate in any meetings, |
hearings, or decisions on matters impacting the manufacture, |
sale, or distribution of alcoholic liquor. Further, the |
appointee (i) shall be an attorney with an active license to |
practice law in the State of Illinois, (ii) shall not legally |
represent liquor license applicants or holders before the |
jurisdiction over which he or she presides as local liquor |
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control commissioner or before an adjacent jurisdiction, (iii) |
shall not have an interest in the manufacture, sale, or |
distribution of alcoholic liquor, and (iv) shall not be |
appointed to a term to exceed the term of the mayor, president, |
or members of the council or board.
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(Source: P.A. 97-1059, eff. 8-24-12.)
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(235 ILCS 5/6-2) (from Ch. 43, par. 120)
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Sec. 6-2. Issuance of licenses to certain persons |
prohibited.
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(a) Except as otherwise provided in subsection (b) of this |
Section and in paragraph (1) of subsection (a) of Section 3-12, |
no license
of any kind issued by the State Commission or any |
local
commission shall be issued to:
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(1) A person who is not a resident of any city, village |
or county in
which the premises covered by the license are |
located; except in case of
railroad or boat licenses.
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(2) A person who is not of good character and |
reputation in the
community in which he resides.
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(3) A person who is not a citizen of the United States.
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(4) A person who has been convicted of a felony under |
any Federal or
State law, unless the Commission determines |
that such
person has been sufficiently rehabilitated to |
warrant the public trust
after considering matters set |
forth in such person's application and the
Commission's |
investigation. The burden of proof of sufficient
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rehabilitation shall be on the applicant.
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(5) A person who has been convicted of keeping a place |
of prostitution or keeping a place of juvenile |
prostitution, promoting prostitution that involves keeping |
a place of prostitution, or promoting juvenile |
prostitution that involves keeping a place of juvenile |
prostitution.
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(6) A person who has been convicted of pandering or |
other crime or
misdemeanor opposed to decency and morality.
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(7) A person whose license issued under this Act has |
been revoked for
cause.
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(8) A person who at the time of application for renewal |
of any license
issued hereunder would not be eligible for |
such license upon a first
application.
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(9) A copartnership, if any general partnership |
thereof, or any
limited partnership thereof, owning more |
than 5% of the aggregate limited
partner interest in such |
copartnership would not be eligible to receive a
license |
hereunder for any reason other than residence within the |
political
subdivision, unless residency is required by |
local ordinance.
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(10) A corporation or limited liability company, if any |
member, officer, manager or director thereof, or
any |
stockholder or stockholders owning in the aggregate more |
than 5% of the
stock of such corporation, would not be |
eligible to receive a license
hereunder for any reason |
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other than citizenship and residence within the
political |
subdivision.
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(10a) A corporation or limited liability company |
unless it is incorporated or organized in Illinois, or |
unless it
is a foreign corporation or foreign limited |
liability company which is qualified under the Business
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Corporation Act of 1983 or the Limited Liability Company |
Act to transact business in Illinois. The Commission shall |
permit and accept from an applicant for a license under |
this Act proof prepared from the Secretary of State's |
website that the corporation or limited liability company |
is in good standing and is qualified under the Business
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Corporation Act of 1983 or the Limited Liability Company |
Act to transact business in Illinois.
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(11) A person whose place of business is conducted by a |
manager or agent
unless the manager or agent possesses the |
same qualifications required by
the licensee.
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(12) A person who has been convicted of a violation of |
any Federal or
State law concerning the manufacture, |
possession or sale of alcoholic
liquor, subsequent to the |
passage of this Act or has forfeited his bond to
appear in |
court to answer charges for any such violation.
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(13) A person who does not beneficially own the |
premises for which a
license is sought, or does not have a |
lease thereon for the full period for
which the license is |
to be issued.
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(14) Any law enforcing public official, including |
members
of local liquor control commissions,
any mayor, |
alderman, or member of the
city council or commission, any |
president of the village board of trustees,
any member of a |
village board of trustees, or any president or member of a
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county board; and no such official shall have a direct |
interest in the
manufacture, sale, or distribution of |
alcoholic liquor, except that a
license
may be granted to |
such official in relation to premises that are
not
located |
within the territory subject to the jurisdiction of that |
official
if the issuance of such license is approved by the |
State Liquor Control
Commission
and except that a license |
may be granted, in a city or village with a
population of |
55,000 50,000 or less, to any alderman, member of a city |
council, or
member of a village board of trustees in |
relation to premises that are located
within the territory
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subject to the jurisdiction of that official if (i) the |
sale of alcoholic
liquor pursuant to the license is |
incidental to the selling of food, (ii) the
issuance of the |
license is approved by the State Commission, (iii) the
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issuance of the license is in accordance with all |
applicable local ordinances
in effect where the premises |
are located, and (iv) the official granted a
license does |
not vote on alcoholic liquor issues pending before the |
board or
council to which the license holder is elected. |
Notwithstanding any provision of this paragraph (14) to the |
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contrary, an alderman or member of a city council or |
commission, a member of a village board of trustees other |
than the president of the village board of trustees, or a |
member of a county board other than the president of a |
county board may have a direct interest in the manufacture, |
sale, or distribution of alcoholic liquor as long as he or |
she is not a law enforcing public official, a mayor, a |
village board president, or president of a county board. To |
prevent any conflict of interest, the elected official with |
the direct interest in the manufacture, sale, or |
distribution of alcoholic liquor shall not participate in |
any meetings, hearings, or decisions on matters impacting |
the manufacture, sale, or distribution of alcoholic |
liquor. Furthermore, the mayor of a city with a population |
of 55,000 50,000 or less or the president of a village with |
a population of 55,000 50,000 or less may have an interest |
in the manufacture, sale, or distribution of alcoholic |
liquor as long as the council or board over which he or she |
presides has made a local liquor control commissioner |
appointment that complies with the requirements of Section |
4-2 of this Act.
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(15) A person who is not a beneficial owner of the |
business to be
operated by the licensee.
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(16) A person who has been convicted of a gambling |
offense as
proscribed by any of subsections (a) (3) through |
(a)
(11) of
Section 28-1 of, or as
proscribed by Section |
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28-1.1 or 28-3 of, the Criminal Code of
1961 or the |
Criminal Code of 2012, or as proscribed by a
statute
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replaced by any of the aforesaid statutory provisions.
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(17) A person or entity to whom a federal wagering |
stamp has been
issued by the
federal government, unless the |
person or entity is eligible to be issued a
license under |
the Raffles Act or the Illinois Pull Tabs and Jar Games |
Act.
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(18) A person who intends to sell alcoholic liquors for |
use or
consumption on his or her licensed retail premises |
who does not have liquor
liability insurance coverage for |
that premises in an amount that is at least
equal to the |
maximum liability amounts set out in subsection (a) of |
Section
6-21.
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(b) A criminal conviction of a corporation is not grounds |
for the
denial, suspension, or revocation of a license applied |
for or held by the
corporation if the criminal conviction was |
not the result of a violation of any
federal or State law |
concerning the manufacture, possession or sale of
alcoholic |
liquor, the offense that led to the conviction did not result |
in any
financial gain to the corporation and the corporation |
has terminated its
relationship with each director, officer, |
employee, or controlling shareholder
whose actions directly |
contributed to the conviction of the corporation. The
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Commission shall determine if all provisions of this subsection |
(b) have been
met before any action on the corporation's |