Cigar bars operation authorization

A bill for an act

relating to health; authorizing the operation of cigar bars; authorizing on-sale

intoxicating liquor licenses to cigar bars; amending Minnesota Statutes 2024,

sections 144.4167, by adding a subdivision; 340A.404, subdivision 1.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2024, section 144.4167, is amended by adding a subdivision

to read:

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Subd. 4a.

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Cigar bar.

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(a) Sections 144.414 to 144.417 do not prohibit the lighting, heating,

or activation of a cigar in a cigar bar to persons 21 years of age or older. For purposes of

this subdivision, "cigar bar" means a retail establishment: (1) where persons 21 years of age

or older may smoke cigars alongside alcoholic beverages; (2) that has an entrance door

opening directly to the outside; (3) that cannot be entered at any time by persons younger

than 21 years of age; (4) that derives at least ten percent of sales from cigars or the rental

of on-site humidors; and (5) where the sale of other products, such as food and beverage

items that do not require a food handler's license, is merely incidental.

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(b) Signs must be posted on the premises explaining cigarettes, marijuana, and e-cigarettes

are not permitted in the cigar bar. One percent of total gross revenue generated from cigar

bars must be designated to youth smoking cessation programs.

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(c) The cigar bar must be equipped with a ventilation system so that exhausted air is not

recirculated to nonsmoking areas and smoke is not back-streamed into nonsmoking areas.

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Sec. 2.

Minnesota Statutes 2024, section 340A.404, subdivision 1, is amended to read:

Subdivision 1.

Cities.

(a) A city may issue an on-sale intoxicating liquor license to the

following establishments located within its jurisdiction:

(1) hotels;

(2) restaurants;

(3) bowling centers;

(4) clubs or congressionally chartered veterans organizations with the approval of the

commissioner, provided that the organization has been in existence for at least three years

and liquor sales will only be to members and bona fide guests, except that a club may permit

the general public to participate in a wine tasting conducted at the club under section

340A.419
;

(5) sports facilities, restaurants, clubs, or bars located on land owned or leased by the

Minnesota Sports Facilities Authority;

(6) sports facilities located on land owned by the Metropolitan Sports Commission;

(7) exclusive liquor stores;
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and
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(8) resorts as defined in section
157.15, subdivision 11
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.
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; and
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(9) a cigar bar under section 144.4167, subdivision 4a.

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(b) A city may issue an on-sale intoxicating liquor license, an on-sale wine license, or

an on-sale malt liquor license to a theater within the city, notwithstanding any law, local

ordinance, or charter provision. A license issued under this paragraph authorizes sales on

all days of the week to persons attending events at the theater.

(c) A city may issue an on-sale intoxicating liquor license, an on-sale wine license, or

an on-sale malt liquor license to a convention center within the city, notwithstanding any

law, local ordinance, or charter provision. A license issued under this paragraph authorizes

sales on all days of the week to persons attending events at the convention center. This

paragraph does not apply to convention centers located in the seven-county metropolitan

area.

(d) A municipality may issue an on-sale wine license and an on-sale malt liquor license

to a person who is the owner of a summer collegiate league baseball team or baseball team

competing in a league established by the Minnesota Baseball Association, or to a person

holding a concessions or management contract with the owner, for beverage sales at a

ballpark or stadium located within the municipality for the purposes of summer collegiate

league baseball games, town ball games, and any other events at the ballpark or stadium,

notwithstanding any law, local ordinance, or charter provision. A license issued under this

paragraph authorizes sales on all days of the week to persons attending baseball games and

any other events at the ballpark or stadium.

(e) A municipality may issue an on-sale malt liquor license to a resort as defined in

section
157.15, subdivision 11
, notwithstanding any law, local ordinance, or charter provision.

A license issued under this paragraph authorizes sales on all days of the week to persons

staying at the resort and their guests.