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PUBLIC 1 CITY COUNCIL REPORT DATE: January 27, 2017 TO: Mayor and Councilmembers FROM: Police Chief Kevin Treadway, Sergeant Gregory Jay CC: Josh Copley, Shane Dille, Barbara Goodrich, Leadership Team SUBJECT: NUMBER AND TYPE OF LIQOUR LICENSES WITHIN FLAGSTAFF This city council report is in response to councils request for information reference the number and types of liquor licenses within Flagstaff. DISCUSSION According to the Arizona Department of Liquor License and Control (ADLLC), as of January 11, 2017 there are a total of 232 active liquor licenses within Flagstaff. There are several types of liquor licenses identified by “series” number. Attached is a description of the different types of liquor licenses operating in Flagstaff as defined by the ADLLC. Maps of the active liquor licenses within Flagstaff are also attached. There are two categories of licenses, Quota and non-quota. Quota licenses are limited by number within a county. Quota licenses are series 6-Bar, series 7- Beer and Wine, and series 9-Liquor Store Only. Quota licenses are made available by a lottery within the county the business will be operated. No new lotteries have been held in Coconino County since 2010 because the population growth within Coconino County has not justified it. There are a total of 471 liquor licenses in Coconino County. Currently there are 262 licenses of all types located in Flagstaff with 232 being active. Quota licenses can be sold on the open market however they can only be transferred and accepted within the original county they were designated for. There are a total of 95 quota licenses currently in Flagstaff with 83 of these being active. Non-quota licenses can only be issued by the ADLLC and are not available for purchase on the open market.

Transcript of PUBLIC DATE: January 27, 2017 FROM: Police Chief Kevin ...

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PUBLIC

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CITY COUNCIL REPORT DATE: January 27, 2017 TO: Mayor and Councilmembers FROM: Police Chief Kevin Treadway, Sergeant Gregory Jay CC: Josh Copley, Shane Dille, Barbara Goodrich, Leadership Team SUBJECT: NUMBER AND TYPE OF LIQOUR LICENSES WITHIN

FLAGSTAFF This city council report is in response to councils request for information reference the number and types of liquor licenses within Flagstaff. DISCUSSION According to the Arizona Department of Liquor License and Control (ADLLC), as of January 11, 2017 there are a total of 232 active liquor licenses within Flagstaff. There are several types of liquor licenses identified by “series” number. Attached is a description of the different types of liquor licenses operating in Flagstaff as defined by the ADLLC. Maps of the active liquor licenses within Flagstaff are also attached. There are two categories of licenses, Quota and non-quota. Quota licenses are limited by number within a county. Quota licenses are series 6-Bar, series 7-Beer and Wine, and series 9-Liquor Store Only. Quota licenses are made available by a lottery within the county the business will be operated. No new lotteries have been held in Coconino County since 2010 because the population growth within Coconino County has not justified it. There are a total of 471 liquor licenses in Coconino County. Currently there are 262 licenses of all types located in Flagstaff with 232 being active. Quota licenses can be sold on the open market however they can only be transferred and accepted within the original county they were designated for. There are a total of 95 quota licenses currently in Flagstaff with 83 of these being active. Non-quota licenses can only be issued by the ADLLC and are not available for purchase on the open market.

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Total Flagstaff liquor licenses are broken down as follows:

License Type/Series # Number of Licenses

In-State Producer/ 01 1

Microbrewery/ 03 7

Wholesaler/ 04 4

Government/ 05 5

Bar/ 06 19

Beer & Wine Bar/ 07 30

Liquor Store/ 09 34

Beer & Wine Store/ 10 30

Hotel/ 11 4

Restaurant/ 12 90

Winery/ 13 1

Private Club/ 14 5

The application process for any liquor license is the same regardless of what series number is being applied for or whether or not it is a quota license. The applicant first fills out the Liquor License application which is provided by the ADLLC. The applicant will submit this application to the ADLLC who will only accept complete applications along with a fee. The ADLLC will complete a background check to include an FBI fingerprint check. Once this is complete and acceptable, the ADLLC will send the application to the governing body (city, town or county) where the business will operate. The governing body that receives the application then completes its own background investigation. Once the background is complete the local governing board will give the ADLLC one of three recommendations. The recommendation can be for approval, non-approval, or the local governing body can make “no recommendation”. The ADLLC considers the recommendation from the local governing body and makes the decision to grant or deny the application. After a decision is made to grant or deny a license, the public, local governing body or the applicant can

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challenge the ADLLC decision by requesting a hearing in front of the Arizona State Liquor Board. The Arizona State Liquor Board is a separate entity from the ADLLC and will make a final decision on the application. During this hearing the Arizona State Liquor Board members will hear arguments from the involved parties, either the local governing board or its designees, the public, or the applicant. Pursuant to A.R.S. § 4-201(E), any natural person residing, owning or leasing property within a one (1) mile radius of the proposed location may file a written protest with the State no later than fifteen (15) calendar days following action by the local governing body (city, town, or county) or sixty (60) days after the filing of the application with the Department of Liquor Licenses and Control. RECOMMENDATION / CONCLUSION This report is for information only. ATTACHMENTS

• 2017 Flagstaff Liquor Licenses

• Liquor License Descriptions

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License Type/Series Number of LicensesIn-State Producer/01 1

Microbrewery/03 7

Wholesaler/04 4

Government/05 5

Bar/06 19

Beer & Wine Bar/07 30

Liquor Store/09 34

Beer & Wine Store/10 30

Hotel/11 4

Restaurant/12 90

Winery/13 1

Private Club/14 51

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Microbrewery BarBeer & Wine

BarRestaurant

Downtown 2 11 7 19Southside 3 2 6 14

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Downtown is defined as:• Downtown includes Cherry Ave south to Route 66, and N

Humphrey’s St to N Agassiz St.

South side is defined as:• The south side will include businesses south of Route 66 to

Butler Ave between Milton Road and N San Francisco St.

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• Restaurants• BIGFOOT BBQ• CRIOLLO LATIN KITCHEN• CUVEE 928 WINE BAR & CAFÉ• DIABLO BURGER• FAMOUS PIZZA & BEER• GRAND CANYON CAFÉ• INDIA PALACE• KARMA SUSHI BAR TAPAS• LA VETTA• MAJERLE'S SPORTS GRILL• MARTANNE'S BREAKFAST PALACE• MIX• MOUNTAIN OASIS INTERNATIONAL

FOODS RESTAURANT• NADLI• PASTO• PA-TO THAI• SHIFT• SOSOBA• SWADDEE THAI

• Brewery• DARK SKY BREWING COMPANY• FLAGSTAFF BREWING CO

• Bar• BLENDZ• COLLINS IRISH PUB & EATERY• FLAGSTAFF BREWING CO• FLAGSTAFF'S GREEN ROOM• MALONEY'S• MCMILLAN• MONSOON ASIAN BISTRO & SUSHI• MONTE VISTA LOUNGE• ORPHEUM THEATER• UPTOWN PUBHOUSE• WEATHERFORD HOTEL/CHARLY'S

• Beer & Wine Bar• ALPINE PIZZA• FIRECREEK• FLG TERROIR• HOPS ON BIRCH• PAY-N-TAKE• STATE BAR• VINO LOCO

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• Restaurants• ALTITUDES BAR & GRILL• BEAVER ST BREWERY & WHISTLE STOP CAFE

& BEAVER ST BREWS & CU• COTTAGE PLACE• DARA THAI RESTAURANT• EWA'S THAI CUISINE• FRATELLI PIZZA• LA SANTISIMA GOURMET TACO SHOP• LUMBERYARD BREWING COMPANY TAPROOM

AND GRILLE• NIMARCO'S PIZZA• PIZZICLETTA• ROOT PUBLIC HOUSE• SOUTHSIDE TAVERN• TOASTED OWL CAFÉ• TOURIST HOME URBAN MARKET

• Brewery• MOTHER ROAD BREWING COMPANY• BEAVER ST BREWERY & WHISTLE STOP CAFE

& BEAVER ST BREWS & CU• LUMBERYARD BREWING COMPANY TAPROOM

AND GRILLE

• Bar• GRANNY'S CLOSET• MIA'S LOUNGE

• Beer & Wine Bar• BEAVER ST BREWERY & WHISTLE STOP CAFE

& BEAVER ST BREWS & CU• COTTAGE PLACE• HISTORIC BREWING COMPANY BARREL

& BOTTLE HOUSE• NOMADS GLOBAL LOUNGE• PROPER MEATS & PROVISIONS• TOURIST HOME URBAN MARKET

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• BLENDZ21 E ASPEN AVE

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• BEAVER ST BREWERY & WHISTLE STOP CAFE & BEAVER ST BREWS & CU11 S BEAVER ST #1

• DARK SKY BREWING COMPANY117 N BEAVER ST #A

• FLAGSTAFF BREWING CO16 E RTE 66

• HISTORIC BREWING COMPANY4366 E HUNTINGTON DR # A

• LUMBERYARD BREWING COMPANY TAPROOM AND GRILLE5 S SAN FRANCISCO ST

• MOTHER ROAD BREWING COMPANY7 S MIKES PIKE

• WANDERLUST BREWING COMPANY1519 N MAIN ST # 102

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• COSMIC DISTRIBUTING2323 E GREENLAW LN #4

• FRED NACKARD WHOLESALE BEVERAGE CO5660 E PENSTOCK AVE

• HENSLEY BEVERAGE COMPANY1850 E BUTLER RD

• NORTHLAND BEVERAGE3825 E HUNTINGTON DR

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• 1899 RESTAURANT307 W DUPONT DR

• ARIZONA HISTORICAL SOCIETY PIONEER MUSEUM2340 N FORT VALLEY RD

• HIGH COUNTRY CONFERENCE CENTER AT NAU201 W BUTLER AVE

• WALKUP SKY DOME1705 S SAN FRANCISCO ST

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• ARIZONA ROADHOUSE2136 N 4TH ST

• BLENDZ21 E ASPEN AVE

• COLLINS IRISH PUB & EATERY2 E RTE 66

• CONTINENTAL COUNTRY CLUB2380 N OAKMONT DR

• EMBASSY SUITES FLAGSTAFF ARIZONA706 S MILTON RD

• FLAGSTAFF BREWING CO16 E RTE 66

• FLAGSTAFF'S GREEN ROOM15 N AGASSIZ ST

• GRANNY'S CLOSET218 S MILTON AVE

• MALONEY'S101 N LEROUX ST

• MCMILLAN2 W ROUTE 66

• MIA'S LOUNGE26 S SAN FRANCISCO ST

• MONSOON ASIAN BISTRO & SUSHI6 E ASPEN ST #100

• MONTE VISTA LOUNGE100 N SAN FRANCISCO ST

• MUSEUM CLUB3404 E ROUTE 66

• NORTHERN PINES2200 E BUTLER AVE

• ORPHEUM THEATER15 W ASPEN ST

• PORKY'S PUB2285 E BUTLER AVE

• SPORTSMAN'S BAR & GRILL1000 N HUMPHREYS ST #98

• STARLITE LANES3406 E ROUTE 66

• UPTOWN PUBHOUSE114 N LEROUX ST

• WEATHERFORD HOTEL/CHARLY'S23 N LEROUX

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• ALPINE PIZZA7 N LEROUX

• ASPEN INN SUITES1008 E RTE 66

• BEAVER ST BREWERY & WHISTLE STOP CAFE & BEAVER ST BREWS & CU11 S BEAVER ST #1

• BRANDY'S RESTAURANT & BAKERY1500 E CEDAR AVE #40

• COTTAGE PLACE126 W COTTAGE AVE

• CRYSTAL CREEK SANDWICH CO1051 S MILTON RD

• DENNY'S2306 E LUCKY LN

• FIRECREEK22 E RTE 66

• FLAGSTAFF ATHLETIC CLUB1200 W RTE 66

• FLAGSTAFF ATHLETIC CLUB EAST3200 N COUNTRY CLUB DR

• FLAGSTAFF HILTON GARDEN INN350 W FOREST MEADOW

• FLG TERROIR17 N SAN FRANCISCO ST STE 2A

• HISTORIC BREWING COMPANY BARREL & BOTTLE HOUSE110 S SAN FRANCISCO ST STE C

• HOPS ON BIRCH22 E BIRCH AVE #2

• HUNAN RESTAURANT1926 N 4TH ST #8

• HUNAN WEST1302 S PLAZA WAY

• KILTED CAT2640 W KILTIE LN

• MAJESTIC MARKETPLACE601 E PICCADILLY DR #95

• MUSEUM OF NORTHERN ARIZONA3101 N FORT VALLEY RD

• NOMADS GLOBAL LOUNGE19 W PHOENIX AVE

• PAY-N-TAKE12 W ASPEN

• PETER PIPER PIZZA #12491500 S RIORDAN RANCH RD

• PIZZA HUT #224429 N HWY 89

• PIZZA HUT #71860 S MILTON RD

• PROPER MEATS & PROVISIONS110 S SAN FRANCISCO ST STE B

• SONESTA ES SUITES FLAGSTAFF1400 N COUNTRY CLUB DR

• STATE BAR10 E ROUTE 66

• TOURIST HOME URBAN MARKET34-50-52 S SAN FRANCISCO ST

• VINO LOCO22 E BIRCH ST #1

• WHOLE FOODS MARKET320 S CAMBRIDGE LN

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• BASHAS' #182700 WOODLANDS VILLAGE BLVD

• BASHAS' #671000 N HUMPHREYS BLVD #112

• BUTLER CHEVRON2295 E BUTLER AVE

• CHEVRON4026 S LAKE MARY RD

• CHEVRON1785 S RAILROAD SPRINGS BLVD

• CIRCLE K STORE #01632901 N 4TH ST

• CIRCLE K STORE #1642718 N STEVES BLVD

• CIRCLE K STORE #59225650 N HWY 89

• CIRCLE K STORE #59233350 S LAKE MARY RD

• CIRCLE K STORE #88531950 S MILTON RD

• CORK N' BOTTLE824 N BEAVER

• COUNTRY CLUB FOOD MART3960 N COUNTRY CLUB DR

• CVS PHARMACY # 92313506 E RT 66

• EXPRESS LIQUORS5620 N HWY 89

• FRY'S FOOD & DRUG #104201 N SWITZER CANYON DR

• GIANT STORE # 066101 E BUTLER AVE

• GIANT STORE # 0671050 S MILTON AVE

• HALLUM STORES2205 N 4TH ST

• HEENA MINI MART2202 E RT 66

• MAJESTIC MARKETPLACE601 E PICCADILLY DR #95

• MAVERIK5700 N HWY 89

• MAVERIK1690 W RTE 66

• MOBIL2020 S MILTON RD

• MOBIL2484 E BUTLER AVE

• ONE STOP2325 S WOODLANDS VILLAGE BLVD

• SAFEWAY #12251500 E CEDAR AVE

• SAFEWAY #20281201 S PLAZA WAY

• SAFEWAY #2704910 N HWY 89

• SAM'S CLUB #66041851 E BUTLER AVE

• WALGREENS #052211025 S MILTON RD

• WALGREEN'S #152062610 E RT 66

• WAL-MART STORE #11752750 S WOODLANDS VILLAGE BLVD

• WAL-MART SUPERCENTER #42522601 E HUNTINGTON DR

• Y CHEVRON & LIQUORS605 W ROUTE 66

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• BLACK BARTS RV PARK2760 E BUTLER

• BUTLER EASY MART WEST1311 E BUTLER AVE

• CARTER'S 76 MART1322 E ROUTE 66

• CHEVRON357 W FOREST MEADOWS ST

• CHEVRON QUICK MART3686 E ROUTE 66

• COST PLUS WORLD MARKET5005 E MARKET PLACE DR STE 120

• EASY MART EAST3126 E ROUTE 66

• FIVE POINTS STATION222 S MILTON RD

• FLAG QUICK STOP982 FORT VALLEY RD

• FLAGSTAFF GENERAL STORE5270 N HWY 89

• FLAGSTAFF KOA5803 N US HWY 89

• FORT VALLEY CHEVRON1312 N FORT VALLEY RD

• GIANT STORE # 0061205 S MILTON

• GIANT STORE # 0452300 E BUTLER AVE

• HOOT MART101 E BIRCH AVE

• INTERSTATE SHELL2120 S MILTON RD

• LITTLE AMERICA2515 E BUTLER AVE

• MCGAUGHS SMOKE & BOTTLE218 S SAN FRANCISCO ST

• MILTON RD 761601 S MILTON RD

• MR SMOKES2126 N 4TH ST

• O'LEARY STREET MARKET322 S O'LEARY ST

• PINE CANYON CLUB3000 S CLUBHOUSE CIRCLE

• SAFEWAY #12251490 E CEDAR AVE

• SPEEDI CAR WASH AND FUELS915 S MILTON RD

• SPRINGHILL SUITES2455 S BEULAH BLVD

• SPROUTS FARMERS MARKET #261540 RIORDAN RANCH ST

• TARGET #09351650 S MILTON RD

• TWIN PINES GASER2318 N 4TH ST

• VP RACING4501 N HWY 89

• WHOLE FOODS MARKET320 S CAMBRIDGE LN

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• COURTYARD BY MARRIOTT2650 S BEULAH BLVD

• DOUBLETREE BY HILTON FLAGSTAFF1175 W ROUTE 66

• DRURY INN & SUITES300 S MILTON RD

• LITTLE AMERICA2515 E BUTLER AVE

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• AGAVE MEXICAN RESTAURANT1580 E ROUTE 66

• AIR CAFÉ6200 S PULLIAM DR #109

• ALTITUDES BAR & GRILL2 S BEAVER ST SUITE 200

• AUGUST MOON CHINESE RESTAURANT1300 S MILTON RD STE 111

• BEAVER ST BREWERY & WHISTLE STOP CAFE & BEAVER ST BREWS & CU11 S BEAVER ST #1

• BIGFOOT BBQ120 N LEROUX STE 123

• BLACK BARTS STEAKHOUSE2760 E BUTLER

• BRIX RESTAURANT AND WINE BAR413 N SAN FRANCISCO ST UNIT B

• BUFFALO WILD WINGS GRILL & BAR2700 S WOODLANDS VILLAGE BLVD # 1550

• BUN HUGGERS901 SOUTH MILTON RD # A

• BUSTER'S RESTAURANT & BAR1800 S MILTON RD #120

• CABIN FEVER1801 W RT 66 #202

• CASA DUARTE1000 N. HUMPHREY'S #243

• CHEBA HUT1411 S MILTON RD

• CHILI'S #4161500 S MILTON RD

• CHIPOTLE MEXICAN GRILL #15421111 S PLAZA WAY

• COCO'S BAKERY RESTAURANT350 W FOREST MEADOW

• COPPA CAFÉ1300 S MILTON RD #107 A

• COTTAGE PLACE126 W COTTAGE AVE

• COUNTRY HOST RESTAURANT2700 S WOODLANDS VILLAGE BLVD #600

• CRIOLLO LATIN KITCHEN16 N SAN FRANCISCO ST

• CUVEE 928 WINE BAR & CAFÉ6 E ASPEN AVE STE 110

• DARA THAI RESTAURANT14 S SAN FRANSISCO ST

• DELHI PALACE CUISINE OF INDIA2700 S WOODLAND VILLAGE BLVD #640

• DENNY'S2306 E LUCKY LN

• DENNY'S4650 N HWY 89 C32

• DIABLO BURGER120 N LEROUX ST #111-S

• EL CAPITAN FRESH MEXICAN GRILL1800 S MILTON STE 21

• EWA'S THAI CUISINE110 S SAN FRANCISCO ST

• FAMOUS PIZZA & BEER104 E ROUTE 66

• FAT OLIVES2308 E ROUTE 66

• FIELD HOUSE CHICKEN & WAFFLES2500 S WOODLANDS VILLAGE BLVD #28

• FRATELLI PIZZA1850 N FORT VALLEY RD

• FRATELLI PIZZA2120 N 4TH ST

• FRATELLI PIZZA119 W PHOENIX AVE

• GALAXY DINER931 W HWY 66

• GOLDEN DRAGON2730 E LAKIN DR

• GRAND CANYON CAFÉ110 E ROUTE 66

• GRIMALDI'S PIZZERIA601 E PICCADILLY DR STE 55

• HICKORY'S SMOKE HOUSE BBQ1435 S MILTON RD

• HIMALAYAN GRILL801 S MILTON RD #A

• HIRO'S SUSHI BAR AND JAPANESE RESTAURANT1312 S PLAZA WAY

• INDIA PALACE103 W BIRCH AVE

• JOSEPHINE'S503 N HUMPHREYS ST

• KACHINA DOWNTOWN522 E ROUTE 66

• KARMA SUSHI BAR TAPAS6 E SANTA FE AVE

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• LA FONDA CAFÉ1900 N 2ND ST

• LA SANTISIMA GOURMET TACO SHOP119 S SAN FRANCISCO ST

• LA VETTA103 N LEROUX ST

• LAS GORDITAS MEXICAN FOOD2900 N WEST ST STE 2, 3 & 4

• LUMBERYARD BREWING COMPANY TAPROOM AND GRILLE5 S SAN FRANCISCO ST

• MAJERLE'S SPORTS GRILL102 E ROUTE 66

• MAMMA LUISA ITALIAN RESTAURANT2710 N STEVES BLVD #14

• MARTANNE'S BREAKFAST PALACE112 E ROUTE 66 STE#101

• MAYOR409 S SAN FRANCISCO ST

• MIX120 N LEROUX ST #104

• MOUNTAIN OASIS INTERNATIONAL FOODS RESTAURANT11 E ASPEN AVE

• MY PITA WRAP1800 S MILTON RD STE 15

• NADLI7 N SAN FRANCISCO ST

• NEW JERSEY PIZZA COMPANY2224 E CEDAR AVE #6

• NI MARCO'S PIZZA1800 S MILTON RD #500

• NIMARCO'S PIZZA101 S BEAVER ST

• OLIVE GARDEN ITALIAN RESTAURANT #15132550 S BEULAH BLVD

• OREGANO'S PIZZA BISTRO605 RIORDAN RD

• OUTBACK STEAKHOUSE #03172600 E LUCKY LN

• PASTO19 E ASPEN AVE

• PA-TO THAI100 N SAN FRANSISCO ST STE 104

• PICAZZOS GOURMET PIZZA & SALADS1300 S MILTON RD #101-105

• PITA JUNGLE320 S REGENT ST #312

• PIZZICLETTA203 W PHOENIX AVE

• RED LOBSTER #08452500 S BEULAH BLVD

• RILIBERTOS FRESH MEXICAN FOOD3666 E RTE 66

• ROOT PUBLIC HOUSE101 S SAN FRANCISCO ST

• ROUX 662620 N STEVES BLVD

• SALSA BRAVA2220 E ROUTE 66

• SATCHMO'S2320 N 4TH ST

• SHIFT107 N SAN FRANCISCO ST STE 2

• SIZZLER RESTAURANT #7923540 E ROUTE 66

• SMASHBURGER #14441020 S MILTON RD STE 102

• SOMEBURROS MEXICAN FOOD320 S REGENT ST # G300

• SOSOBA12 E ROUTE 66 #104

• SOUTHSIDE TAVERN117 S SAN FRANCISCO ST

• SWADDEE THAI115 E ASPEN AVE

• TACOS LOS ALTOS WEST SIDE2500 S WOODLANDS VILLAGE BLVD STE 1

• TACOS LOS ALTOS WEST SIDE2500 S WOODLANDS VILLAGE BLVD STE 1

• TAVERNA GREEK GRILL2420 S WOODLANDS VILLAGE BLVD

• TEPPAN FUJI2500 S WOODLANDS VILLAGE BLVD STE 9

• TEXAS ROADHOUSE2201 E ROUTE 66

• TOASTED OWL CAFÉ5200 E CORTLAND BLVD #B1-3

• TOASTED OWL CAFÉ12 S MIKE PIKE

• TOURIST HOME URBAN MARKET34-50-52 S SAN FRANCISCO ST

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• DRINKING HORN506 N GRANT ST STE K

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• AMERICAN LEGION #3204 W BIRCH AVE

• ASPEN VALLEY GOLF CLUB1855 N CONTINENTAL DR

• BPOE #4992101 N SAN FRANCISCO

• PINE CANYON CLUB3000 S CLUBHOUSE CIRCLE

• V F W #1709409 W SANTA FE AVE

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Arizona Department of Liquor Series Definitions In-State Producer Application Kit - Series 1 This non-transferrable liquor license allows an in-state producer to produce or manufacture beer, wine and distilled spirits (all spirituous liquor) and sell/deliver the product to a licensed wholesaler. A person who holds an In-State Producer license may also sell to on-site patron’s liquor produced or manufactured on the licensed premises. A.R.S. §4-243. Internet sale of liquor is not permitted under this license. Also see Internet Sales & Residential Shipping. In-state Microbrewery Application Kit - Series 3 This non-transferable liquor license allows for on & off-sale retail privileges for a licensed in-state microbrewery which produces more than five thousand (5,000) gallons, and less than six million two hundred forty thousand (6,240,000) gallons, of beer during the 12-month reporting period (A.R.S. §205.08(B). Sales or beer produced by other microbreweries may not exceed 20% of the licensee's annual sales by volume on the licensed premises. With this license, when production is no more than 1,240,000 gallons per calendar year, the in-state microbrewery may make sales and deliveries of beer to any retail license licensed to sell beer except for its retail licenses on or adjacent to the microbrewery. Internet sale of liquor is not permitted under this license. Also see Internet Sales & Residential Shipping. The licensee must submit an annual production report to the Arizona Department of Liquor. Wholesaler Application Kit - Series 4 This non-transferable liquor license allows a wholesaler to warehouse, sell and distribute all types of spirituous liquor (beer, wine, distilled spirits) to Arizona-licensed retailers. Government Application Kit - Series 5 This non-transferable, on-sale retail privileges license allows the holder of a government license to sell and serve all types of spirituous liquor solely for consumption on the premises for which the license is issued. The license is issued in the name of a county, city, town, state university or the Arizona Coliseum and exposition centerboard whose governing body has authorized its use. A separate license is required for each premise upon which spirituous liquor is served. The application must designate, for each location, a manager or other individual responsible for administering the license. Bar Application Kit - Series 6 The bar (series 6) liquor license is a "quota" license available only through the Liquor License Lottery or for purchase on the open market. Once issued, this liquor license is transferable from person to person and/or location to location within the same county and allows the holder both on- & off-sale retail privileges. This license allows a bar retailer to sell and serve all types of spirituous liquors, primarily by individual portions, to be consumed on the premises and in the original container for consumption on or off the premises. A retailer with off-sale ("To Go") privileges may deliver spirituous liquor off of the licensed premises in connection with a retail sale. A.R.S. 4-206.01.F. states that after January 1, 2011, the off-sale privileges associated with a bar license shall be limited to no more than 30% of the total

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annual sales receipts of liquor by the licensee at that location. Payment must be made no later than the time of delivery. Off-sale ("To Go") package sales of spirituous liquor can be made on the bar premises as long as the area of off-sale operation does not utilize a separate entrance and exit from the ones provided for the bar. A hotel or motel with a Series 06 license may sell spirituous liquor in sealed containers in individual portions to its registered guests at any time by means of a minibar located in the guest rooms of registered guests. The registered guest must be at least twenty-one (21) years of age. Access to the minibar is by a key or magnetic card device and not furnished to a guest between the hours of 2:00 a.m. and 6:00 a.m. Also see Internet Sales & Residential Shipping. Beer and Wine Bar Application Kit - Series 7

The beer and wine bar (series 7) liquor license is a "quota" license available only through the Liquor License Lottery or for purchase on the open market. Once issued, this liquor license is transferable from person to person and/or location to location within the same county and allows the holder both on- & off-sale retail privileges. This license allows a beer and wine bar retailer to sell and serve beer and wine (no other spirituous liquors), primarily by individual portions, to be consumed on the premises and in the original container for consumption on or off the premises. A retailer with off-sale ("To Go") privileges may deliver spirituous liquor off of the licensed premises in connection with a retail sale. A.R.S. 4-206.01.F. states that after January 1, 2011, the off-sale privileges associated with a bar license shall be limited to no more than 30% of the total annual sales receipts of liquor by the licensee at that location. Off-sale ("To Go") package sales can be made on the bar premises as long as the area of off-sale operation does not utilize a separate entrance and exit from the one provided for the bar. Payment must be made no later than the time of delivery. Also see Internet Sales & Residential Shipping.

Liquor Store Application Kit - Series 9

The liquor store (series 9) license is a "quota" license available only through the Liquor License Lottery or for purchase on the open market. Once issued, this liquor license is transferable from person to person and/or location to location within the same county and allows a spirituous liquor store retailer to sell all types of spirituous liquors, only in the original unbroken package, to be taken away from the premises of the retailer and consumed off the premises. A retailer with off-sale privileges may deliver spirituous liquor off of the licensed premises in connection with a retail sale. Payment must be made no later than the time of delivery. Series 9 (liquor store) licensees and applicants may apply for unlimited sampling privileges by completing the Sampling Privileges form. Also see Internet Sales & Residential Shipping.

Beer and Wine Store Application Kit - Series 10

This non-transferable, off-sale retail privileges liquor license allows a retail store to sell beer and wine (no other spirituous liquors), only in the original unbroken package, to be taken away from the premises of the retailer and consumed off the premises. A retailer with off-sale privileges may deliver spirituous liquor off of the licensed premises in connection with a retail sale. Payment must be made no later than the time of delivery. Series 10 (beer and wine store) licensees and applicants may apply for unlimited sampling privileges by completing the Sampling Privileges form. Also see Internet Sales & Residential Shipping.

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Hotel/Motel Application Kit - Series 11

This non-transferable, on-sale retail privileges liquor license allows the holder of a hotel/motel license to sell and serve all types of spirituous liquor solely for consumption on the premises of a hotel or motel that has a restaurant where food is served on the premises. The restaurant on the licensed premises must derive at least forty percent (40%) of its gross revenue from the sale of food. The holder of this license may sell spirituous liquor in sealed containers in individual portions to its registered guests at any time by means of a minibar located in the guest rooms of registered guests. The registered guest must be at least twenty-one (21) years of age. Access to the minibar is provided by a key or magnetic card device and may not be furnished to a guest between the hours of 2:00 a.m. and 6:00 a.m.

Restaurant Application Kit - Series 12

This non-transferable, on-sale retail privileges liquor license allows the holder of a restaurant license to sell and serve all types of spirituous liquor solely for consumption on the premises of an establishment which derives at least forty percent (40%) of its gross revenue from the sale of food. Failure to meet the 40% food requirement may result in revocation of the license.

In-state Farm Winery Application Kit - Series 13

An In-state Farm Winery is a winery located in Arizona that produces at least 200 gallons but not more than 40,000 gallons of wine annually.

This non-transferable, In-state Farm Winery liquor license has on- and off-sale retail privileges and allows the holder to sell and deliver wine produced on the premises to businesses licensed to sell wine in and out-of-state, and to serve wine produced on the premises for on and off-sale consumption and for the purpose of sampling. A in-state farm winery that produces not more than 20,000 gallons of wine in a calendar year may make sales of wine produced on premises to consumers who order by telephone, mail, fax, catalogue or internet per A.R.S. §4-205.04(C)(9)(a)-(g). These orders must be sent to an Arizona-licensed wholesaler, then to an Arizona-licensed retailer who will arrange delivery to the consumer. Other than this exception, Internet sale of liquor is not permitted in the state of Arizona. A.R.S. §4-205.04(D)

Private Club Application Kit - Series 14

This non-transferable, on-sale retail privileges liquor license allows the holder of a club license to sell and serve all types of spirituous liquor for consumption only on the premises owned, leased or occupied by the club, and only to bona fide members of the club and their bona fide guests. A "club" is defined in

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the statutes as including veterans and fraternal organizations and their building associations, golf, social and airline clubs.