Chapter 237

2004 -- H 7006 SUBSTITUTE A

Enacted 07/01/04

A N A C T

RELATING TO ALCOHOLIC BEVERAGES - RETAIL LICENSES

Introduced By: Representatives Murphy, Lowe, Aubin, Moran, and R Anderson

Date Introduced: January 06, 2004

It is enacted by the General Assembly as follows:

SECTION 1. Sections 3-7-3, 3-7-7, 3-7-7.1 and 3-7-13 of the General Laws in Chapter 3-

7 entitled "Retail Licenses" are hereby amended to read as follows:

3-7-3. Class A license -- Towns and cities of 10,000 or more. -- (a) In cities and towns

having a population of ten thousand (10,000) or more inhabitants, a retailer's Class A license

authorizes the holder to keep for sale and to sell, at the place described, beverages at retail and to

deliver the beverages in a sealed package or container, which package or container shall not be

opened nor its contents consumed on the premises where sold. The holder of a Class A license, if

other than a person entitled to retail, compound, and dispense medicines and poisons, shall not on

the licensed premises engage in any other business, keep for sale or sell any goods, wares,

merchandise or any other article or thing except the beverages authorized under this license and

nonalcoholic beverages. This provision shall not apply to the sale or selling of cigarettes,

newspapers, cigars, cigarette lighters, gift bags, prepackaged peanuts, pretzels, chips, olives,

onions, cherries, hot stuffed cherry peppers, Slim Jims and similar pre-packaged dried meat

products, pickled eggs, popcorn, pre-packaged candy, styrofoam cooler and ice, nor to home bar

accessories such as pourers, glasses, cork screws, stirrers, flasks, jiggers, wine racks, ice crushers,

bottle openers, can openers and any other items of like nature which may, by suitable regulation

of the director of business regulation, be authorized to be sold. This section shall not apply to

promotional free goods which are subject to approval by the director. In the city of Newport this

license may be issued to any person, firm or corporation who are owners of bona fide markets for

the sale of alcoholic beverages in conjunction with and in addition to the sale of meats or

groceries in those bona fide markets. A person, firm or corporation in that city may obtain a

limited Class A license to sell beer, lager and ale on the same premises as other goods, wares,

merchandise and articles are sold. No Class A license is granted for any premises unless the

premises constitute a separate store, the entrance or entrances to which shall be exclusively from

the street or streets or arcade. This provision shall not apply to any person, firm or corporation in

the city of Newport who are owners of bona fide markets for the sale of alcoholic beverages in

conjunction with and in addition to the sale of meats or groceries in those bona fide markets and

as long as the market is owned and operated by the mother, father, son, daughter, brother or sister

of the original licensee, but not otherwise.

(b) The premises shall have opaque walls which shall completely partition and sever the

premises from any adjoining market, concession or business. This provision shall not be

construed to limit the powers of the department to issue licenses on condition nor to make rules

and regulations as provided. The annual fee for a Class A license is five hundred dollars ($500) to

one thousand dollars ($1,000) prorated to the year ending December 1st in every calendar year.

in full force and effect.

3-7-7. Class B license. -- (a) (1) A retailer's Class B license is issued only to a licensed

bona fide tavern keeper or victualer whose tavern or victualing house may be open for business

and regularly patronized at least from nine o'clock (9:00) a.m. to seven o'clock (7:00) p.m.

provided no beverage is sold or served after one o'clock (1:00) a.m., nor before six o'clock (6:00)

a.m. Local licensing boards may fix an earlier closing time within their jurisdiction, at their

discretion. The East Greenwich town council may, in its discretion, issue full and limited Class B

licenses which may not be transferred, but which shall revert to the town of East Greenwich if not

renewed by the holder.

(2) The license authorizes the holder to keep for sale and sell beverages including beer in

cans, at retail at the place described and to deliver them for consumption on the premises or place

where sold, but only at tables or a lunch bar where food is served. It also authorizes the charging

of a cover, minimum, or door charge. The amount of the cover, or minimum, or door charge is

posted at the entrance of the establishments in a prominent place.

(3) Holders of licenses are not permitted to hold dances within the licensed premises,

unless proper permits have been properly obtained from the local licensing authorities.

(4) Any holder of a Class B license may, upon the approval of the local licensing board

and for the additional payment of two hundred dollars ($200) to five hundred dollars ($500), open

for business at twelve o'clock (12:00) p.m. and on Fridays and Saturdays and the night before

legal state holidays may close at two o'clock (2:00) a.m. All requests for a two o'clock (2:00) a.m.

license shall be advertised by the local licensing board in a newspaper having a circulation in the

county where the establishment applying for the license is located.

(5) A holder of a retailer's Class B license is allowed to erect signs advertising his or her

business and products sold on the premises, including neon signs, and is allowed to light those

signs during all lawful business hours, including Sundays and holidays.

(b) The annual license fee for a tavern keeper shall be four hundred dollars ($400) to two

thousand dollars ($2,000), and for a victualer the license fee shall be four hundred dollars ($400)

to two thousand dollars ($2,000). In towns with a population of less than two thousand five

hundred (2,500) inhabitants, as determined by the last census taken under the authority of the

United States or the state, the fee for each retailer's Class B license shall be determined by the

town council, but shall in no case be less than three hundred dollars ($300) annually. If the

applicant requests it in his or her application, any retailer's Class B license may be issued limiting

the sale of beverages on the licensed premises to malt and vinous beverages containing not more

than twenty percent (20%) alcohol by volume, and the fee for that limited Class B license shall be

two hundred dollars ($200) to one thousand five hundred dollars ($1,500) annually. The fee for

any Class B license shall in each case be prorated to the year ending December 1 in every

calendar year.

3-7-7.1. Class B-H license. -- (a) A retailer's Class B-H license shall be issued only to a

licensed hotel. The license authorizes the holder to keep for sale and sell beverages in containers

of a minimum capacity of fifty milliliters (50 ml.) or one and seven tenths ounces (1.7 oz). The

beverages shall be sold and served only in the room of a registered hotel guest. The beverages

may be served in the hotel room at least from nine o'clock (9:00) a.m. to seven o'clock (7:00) p.m.

No beverages shall be served in the hotel room after one o'clock (1:00) a.m., nor before six

o'clock (6:00) a.m. The beverages may be sold only in the room of the registered hotel guest at

any time.

(b) A Class B and B-H liquor license may be issued for the same licensed hotel,

notwithstanding the provisions of section 3-5-9.

dollars ($500.00).

3-7-13. Class E license. -- A retailer's Class E license authorizes a person entitled to

retail, compound, and dispense medicines and poisons to keep for sale and to sell at the place

described in the license, beverages not to exceed one quart each for medicinal purposes and only

upon the prescription of a licensed practicing physician. The license shall not authorize the doing

of any act in violation of any law of the United States. The annual fee for the license is ten

dollars ($10.00) to two hundred dollars ($200).

SECTION 2. This act shall take effect upon passage and shall apply retroactively to

licenses issued on or after December 1, 2003.

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