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12-47-202. Duties of State Licensing Authority.

(1)  The state licensing authority shall:

 

(a) Grant or refuse licenses for the manufacture, distribution, and sale of alcohol beverages as provided by law and suspend or revoke such licenses upon a violation of this article, 46 or 48 of this title, or any rule or regulation adopted pursuant to such articles;

 

(b) Make such general rules and regulations and such special rulings and findings as necessary for the proper regulation and control of the manufacture, distribution,  and sale of alcohol beverages and for the enforcement of this article and articles 46 and 48 of this title and alter, amend, repeal, and publish the same from time to time;

 

(c)Hear and determine at public hearing all complaints against any licensee and administrator oaths and issue subpoenas to require the presence of persons and production of papers, books, and records necessary to the determination of any hearing so held;

 

(d) Keep complete records of all acts and transactions of the state licensing authority, which record, except confidential reports obtained from the licensee showing the sales volume or quantity of alcohol beverages sold or stamps purchased or customers served, shall be open for inspection by the public;

 

(e) Prepare and transmit annually, in the form and manner prescribed by the heads of the principal department pursuant to section 24-1-136, C.R.S., a report accounting to the governor for the efficient discharge of all responsibilities assigned by law or directive to the state licensing authority;

 

(f) Notify all persons to whom wholesale licenses have been issued as to applications for licenses and renewals of the licenses provide din sections 12-46-104(1) and 12-47-407 to 12-47-418.

 

(2)(a)(I) Rules and regulations made pursuant to paragraph (b) of subsection (1) of this section may cover, but shall not limited to, the following subjects;

 

(A) Compliance with or enforcement or violation of any provision of this article, 46 or 48 of this title, or any rule or regulation issued pursuant to such articles;

 

(B) Specifications of duties of officers and employees;

 

(C) Instructions for local licensing authorities and law enforcement officers;

 

(D) All forms necessary or convenient in the administration of this article and articles 46 and 48 of this title;

 

(E) Inspections, investigations, searches, seizures, and such activities as may become necessary from time to time, including a range of penalties for use by licensing authorities, which shall include aggravating and mitigating factors to be considered, when persons under twenty-one years of age are utilized to investigate sales of alcohol beverages by liquor licensees to underage persons;

 

(F) Limitation of number of licensees as to any area or vicinity;

 

(G) Misrepresentation, unfair practices, and unfair competition;

 

(H) Control of signs and other displays on licensed premises;

 

(I) Use of screens;

 

(J) Identification of licensees and their employees;

 

(K) Storage, warehouses, and transportation;

 

(L) Health and sanitary requirements;

 

(M) Standards of cleanliness, orderliness, and decency, and sampling and analysis  of products;

 

(N) Standards of purity and labeling;

 

(O) Records to be kept by licensees and availability thereof;

 

(P) Practices unduly designed to increase the consumption of alcohol beverage;  

 

(Q) Implementation, standardization, and enforcement of alternating proprietor licensed premises. The state licensing authority shall consult with interested parties from the alcohol beverage industry in developing appropriate rules to ensure adequate oversight and regulation of alternating proprietor licensed premises; 

 

(R) Such other matters as are necessary for the fair, impartial. stringent, and comprehensive administration of this article and article 46 of this title;

 

(S) The testing of the alcohol content of malt and fermented malt beverage sold by persons licensed pursuant to this article or article 46 of this title. The state licensing authority shall adopt such rules no later than January 1, 2011. 

 

(II) Nothing in this article and articles 46 and 48 of this title shall be construed as delegating to the state licensing authority the power to fix prices. The licensing authority shall make no rule that would abridge the right of any licensee to fairly, honesty, and lawfully advertise the place of business of or the commodities sold by such licensee. All such rules shall be reasonable and just.

 

(b)(I)(A) The state licensing authority shall make no rule regulating or prohibiting the sale of alcohol beverages on credit offered or extended by a licensee to a retailer, where the credit is offered or extended for thirty days or less. The state licensing authority shall enforce the prohibition against extending credit for more than thirty days for the sale of alcohol beverages, pursuant to 27 CFR part 6, and may adopt rules regulating or prohibiting the sale of alcohol beverages on credit where the credit is offered or extended for more than thirty days, consistent with the federal regulations.

 

(B) Nothing in this subparagraph (I) allows the state licensing authority to adopt a rule that restricts the ability of a licensee to, or prohibits a licensees from, makeing sales of alcohol beverages, on a cash-on-delivery basis, to a retailer who is or may be arrears in payments to a licensee for prior alcohol beverage sales. 

 

(II) Licensees shall comply with the prohibition against extending credit to a retailer for more than thirty days for the sale of alcohol beverages, including beer, contained in 27 CFR part 6. and with rules adopted by the state licensing licensing authority that are consistent with 27 CFR part 6. 

 

(III) As used in this paragraph (b), "Licensee" shall have the same meaning as "Industry member", as defined in 27 CFR 6.11, and includes a person engaged in business as a distiller, brewer, rectifier, blender, or other producer; as an importer or wholesaler of alcohol beverages; or as a bottler or warehouseman and bottler of spirituous liquors.

 

(3) In any hearing held by the state licensing authority pursuant to this article or article 46 or 48 of this title,  no person may refuse, upon request of the state licensing authority, to testify or provide other information on the ground of self-incrimination; but no testimony or other information produced in the hearing or any information directly or indirectly derived from such testimony or other information may be used against such person in any criminal prosecution based on a violation of this article or article 46 or 48 of this title except a prosecution for perjury in the first degree committed in so testifying. Continued refusal to testify or provide other information shall constitute grounds for suspension or revocation of any license granted pursuant to this article or article 46 or 48 of this title.