Excise and Licenses Hearing Changes and Updates. Public Informational Meeting September 17, 2018

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1 Excise and Licenses Hearing Changes and Updates Public Informational Meeting September 17,

2 Proposed Updates: 1. Update Posting Requirements 2

3 Proposed Updates: 1. Update Posting Requirements To increase the reach of notice to the community, we will be modifying the language on the signs that are used to notify residents of a new license application and hearing. Updates include: More understandable language and simplified format, making the signs easier to read A website link on the posting signs so that interested neighbors and patrons know how and where to get more information Availability of signs printed in side-by-side English and Spanish to ensure that language barriers do not deter community participation in the hearing process This change is expected to take effect in ~ 6 months. 3

4 Proposed Updates: 2. Add the Option of Online Petitioning 4

5 Proposed Updates: 2. Add the Option of Online Petitioning Currently, residents may sign petitions in support of or in opposition to new liquor, cabaret, and marijuana licenses in their communities. However, many residents miss out on this opportunity unless they happen to be at home when a petition circulator knocks on their door or they are able to attend a neighborhood meeting where a petition is circulated. To increase residents ability to participate in the licensing process, the Department will be offering an Online Petitioning system that applicants and neighbors can utilize in addition to the current petition collection process. 5

6 Proposed Updates: 2. Add the Option of Online Petitioning Electronic petitioning has been shown to increase public participation. Benefits include: Access to and by a broader population of citizens Heightened integrity of the signing process Increased opportunity for residents to review what they are signing and take time to consider their opinion Applicants and residents may continue to follow the current procedure for collecting petition signatures if they so wish. The Online Petitioning system will supplement, not replace current petitioning policies. This change is expected to take effect in ~ 6 months. 6

7 What s Different in the New Hearing Policies & Procedures? 7

8 Previous Hearing Policies and Procedures (HPPs) General guidelines for how EXL conducts hearing procedures, decisions and other steps within overall licensing process Haven t been updated since adoption in 2013 Recent ordinance changes make HPPs outdated/antiquated Previously outlined in two different documents, yet still not comprehensive for all types of hearings 8

9 Hearing Policies & Procedures Working Group Hearing Policies & Procedures (HPP) Working Group Convened in August 2016 to update, revise, and simplify existing HPP documents. HPP Working Group included: Two representatives from RNO/INC Two industry representatives (applicants or their representatives) One Hearing Officer City Attorney s Office Excise and Licenses Office of Marijuana Policy HPP working group identified three principles to help guide formulation of new HPP documents: Clarification of requirements and definitions Communication of the hearing process and requirements for applicants, licensees, and neighbors Standardization of requirements across industry and hearing types where possible 9

10 Outreach After Work Group Recommendations Posted the Work Group s proposed HPPs online Met with stakeholders; solicited written comments; and, held a courtesy a public hearing. Studied and evaluated the input and recommendations and have made some changes to the HPPs based on that input. Compromise Convenience Complete HPPs are not law or rules that require a public hearing before changes can be made, so we can be as responsive and as nimble in making changes as is needed. We will review the HPPs annually for updates and revisions Please provide feedback on HPPs to Erica.Rogers@denvergov.org 10

11 General Hearing Process Step 1: Notice + Posting Hearing date is scheduled Hearing notice to RNOs, DPD, Council Notice is posted on property and published Step 2: Petition Collection Proponents and Opponents may circulate petitions All signers must be in Designated Area Online petitioning coming soon Step 3: Hearing Impartial Hearing Officer presides Proponents and Opponents may testify Petitions and evidence may be presented Step 4: Recommended Decision Hearing Officer considers testimony and evidence Recommended Decision shared with Director Recommended Decision shared with Parties Step 5: Response Period All parties may submit Objections All parties may respond to Objections All Responses + Objections shared with Director Step 6: Final Decision EXL Director considers entire record Director makes Final Decision, shares with Parties Final Decisions can be appealed in District Court 11

12 License Hearings by the Numbers In 2017, the Department held: 104 new liquor hearings 28 new marijuana hearings 28 permanent modification hearings 3 transfer of location hearings In 2018 to date, the Department has held 87 new liquor hearings 12 new marijuana hearings 8 permanent modification hearings 2 transfer of location hearings 12

13 New HPP Features: General Changes One Comprehensive Document: Previously, there were two documents outlining policies and procedures for retail marijuana licenses and for liquor, cabaret, and 3.2 beverage licenses. There were no published policies and procedures for hearings concerning license renewals, denials, disciplinary actions, or special events. These hearings borrowed rules from the published policies and procedures for other hearings, but this created confusion for applicants, licensees, and citizens. The new HPP document provides applicants, licensees, and citizens with a single, comprehensive set of policies and procedures that apply to all hearings that the Department conducts. 13

14 New HPP Features: General Changes Improved Clarity: Clearly identifies which sections of the policies apply for each type of hearing. Outlines the process that takes place before, during, and after a hearing. Indicates which types of new licenses require a hearing under state law and which do not. Provides a clearer definition of parties in interest and indicates more clearly who can testify at each type of hearing. Standardization of Communication Procedures: Provides instructions for correspondence with the Department related to hearings, as well clearer rules regarding ex-parte communication limits. Standardizes the expectations for communication across license and hearing types. 14

15 New HPP Features: Specific Provisions Interpreter Services now Available: The new HPPs outline a process by which Parties in Interest can request foreign language interpreter and deaf and hearing impaired services for any hearing. Conditions on Licenses: There is no longer a limit to the number of conditions that may be placed on a license as a result of a Good Neighbor Agreement entered into by an applicant or licensee and an RNO. Withdrawal of Applications: Applicants may request to withdraw an application after a public hearing has been held, but that the decision to grant or deny such request is at the Director s discretion. 15

16 New HPP Features: Specific Provisions Petition Circulation: Previously, applicants, licensees, and citizens had to wait two days after posting of notice to begin petition circulation. Petition circulation may now begin the day after notice is posted. Evening Hearings: Previously, only 10 signatures were required to request an evening hearing. To request an evening hearing, opponents will now need to collect at least 15 signatures. Hearing Continuance Any party in interest now may request the hearing be continued to another day based on hearing officer discretion. 16

17 New HPP Features: Specific Provisions Petition Forms: Previously, opposition and night hearing request petition forms were only sent to Parties in Interest upon request and created an unnecessary delay for opponents wishing to collect signatures. Moving forward, the Department will be sending petition forms to RNO s and City Council members automatically with notice of an application so that all parties may begin any petitioning as soon as allowable. Additionally, all petitions will now need to be filed 7 days prior to hearing date to allow for additional time for all parties to review the petitions and the reduce the length of the actual hearing. 17

18 Continuous Improvement New HPPs are posted online: denvergov.org/businesslicensing. Published HPPs apply to ALL hearings moving forward. The Department will conduct outreach to educate community members on the new HPPs. The Department will develop a process to continuously collect and review feedback during the first year of implementation. The Department plans to conduct an annual review of the HPPs to adapt to any legal changes or community feedback. Please provide feedback on HPPs to Erica.Rogers@denvergov.org 18

19 Questions? 19