Transition from dining club license to full-service restaurant license.

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Affected by 63I-2-232 on 7/1/2022

Effective 5/8/2018
32B-6-404.1. Transition from dining club license to full-service restaurant license.
  • (1) As used in this section:
    • (a) "Converted full-service restaurant licensee" means a dining club licensee that converts to a full-service restaurant licensee on or before July 1, 2018, in accordance with Subsection 32B-6-404(7).
    • (b) "Grandfathered bar structure" means the same as that term is defined in Section 32B-6-202.
  • (2)
    • (a) Except as provided in Subsection (2)(c) and subject to the provisions of this section, a converted full-service restaurant licensee shall operate under the provisions that govern a full-service restaurant licensee that has a grandfathered bar structure.
    • (b) For purposes of applying the provisions that govern a full-service restaurant licensee with a grandfathered bar structure, a converted full-service restaurant licensee's bar structure is considered a grandfathered bar structure.
    • (c) The provisions of Section 32B-6-205.3 do not apply to a converted full-service restaurant licensee.
  • (3)
    • (a) A converted full-service restaurant licensee shall comply with the provisions of Section 32B-6-205.2 on or before the earlier of:
      • (i) July 1, 2022;
      • (ii) the date on which the converted full-service restaurant licensee remodels, as defined by commission rule made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the converted full-service restaurant licensee's bar structure or dining area; or
      • (iii) the date on which the converted full-service restaurant licensee experiences a change of ownership described in Subsection 32B-8a-202(1).
    • (b) Before a converted full-service restaurant licensee changes the converted full-service restaurant licensee's approved location for storage, dispensing, or consumption to comply with the provisions of Section 32B-6-205.2, the converted full-service restaurant licensee shall submit an application for approval to the department in accordance with Subsection 32B-5-303(3).
    • (c) A converted full-service restaurant licensee that cannot comply with the provisions of Section 32B-6-205.2 without a change to the converted full-service restaurant licensee's approved location for storage, dispensing, or consumption shall submit an application for approval described in Subsection (3)(b) on or before May 1, 2022.
  • (4)
    • (a) Notwithstanding any provision to the contrary, a converted full-service restaurant licensee shall maintain at least the following percentage of the converted full-service restaurant licensee's total restaurant business from the sale of food:
      • (i) beginning the day on which the licensee becomes a converted full-service restaurant licensee, and ending June 30, 2019, 64%;
      • (ii) beginning July 1, 2019, and ending June 30, 2020, 68%; and
      • (iii) on and after July 1, 2021, 70%.
    • (b) For purposes of Subsection (4)(a), a converted full-service restaurant licensee's restaurant business from the sale of food does not include:
      • (i) mix for an alcoholic product; or
      • (ii) a service charge.




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