LICENSEE HANDBOOK
UTAH DEPARTMENT OF ALCOHOLIC BEVERAGE SERVICES
P.O. Box 30408
Salt Lake City, UT 84130-0408
Telephone: 801-977-6800 Fax: 801-977-6889
Website: abs.utah.gov
Effectie Date June 2022
TO ALL LICENSEES
As a licensee of the Utah Department of Alcoholic Beverage Services, you are required to be aware of
the responsibilities, procedures, and potential liabilities regarding the sale and service of alcoholic
beverages.
This handbook has been prepared to help you with the lawful handling of alcoholic beverages. Please
review this information and keep the handbook available for reference. This handbook is current as
of June 2022. Previously issued handbooks should be discarded as they may contain outdated
information.
Our website (abs.utah.gov) has information about the alcohol laws and rules with direct links to the
complete code and administrative rules, as well as information about stores and agencies, products
and prices, server training, and other interesting links. The website is regularly updated. Please
review the website for information and services as they are developed.
It is our responsibility and desire to be of service and assistance. If you have questions after
consulting the handbook, please call 977-6800, write or e-mail (dabs[email protected]) the
compliance division of this department.
ii
Allows the storage, sale, service, and consumption of all types of
alcoholic beverages on the premises of the restaurant.
Restaurant Licenses run from November 1
st
to October 31
st
. License fees are not prorated, so full fees
will be due even if a new license was issued at any time during the previous year. To apply for a full
restaurant license, a nonrefundable application fee of $330 plus a $2,200 initial licensing fee is required.
All license renewals are due by September 30
th
every year and the renewal fee is $1,650.
Be prepared to renew licenses beginning September 1
st
through September 30
th
annually.
1
DISPLAY SIGNS - A restaurant licensee must display:
The
WARNING sign The template may be downloaded from
our website at DABS.utah.gov.
The warning sign contains two messages, each of which must be in a different font. It may be used as-is or custom-
made, but the size of the sign and the size of the fonts may not be any smaller than the template. The color of the
print does not have to be red, and the sign does not have to be white, but it has to be easily readable and
posted in a
prominent place (obviously, not behind the pickle jar or in the office) in the licensed premises.
Post the DABS License and the city licenses in a
prominent place as well.
Liquor, wine, and heavy beer may be sold on a weekday from 11:30
a.m. until 11:59 pm. On a weekend, a state or federal holiday, or for a
private event, alcohol may be served beginning at 10:30 a.m. Beer
may be sold beginning at the same time as other alcoholic beverages,
but unlike other types of alcohol, beer may be served until 12:59 a.m.
Liquor, wine, and heavy beer storage must remain locked at
all times when alcohol sales are not permitted. However, the
licensee may open the storage area during hours otherwise prohibited
for the limited purpose of inventory, restocking, repair, and cleaning.
SOMEWHERE CITY, UTAH
BEER LICENSE
SOMEWHERE REC LLC
1234 SOMEWHERE STREET
SOMEWHERE, UT 84000
2
Restaurants are required to keep current, detailed quarterly records for expenses and
sales of alcohol and food. All restaurants are required to
maintain at least 70% of
their total business from the sale of food, which does not include:
(a) mix for an alcoholic product; or
(b) a service charge.
Expensive wines in excess
of $175 per bottle or $30 a
glass and an individual portion of spirituous liquor over $30
are not included in calculating the food to alcohol ratio.
Licensees who drop lower than 70% of food sales for any
quarterly period may be put on probationary status, during
which time they will be closely monitored by their compliance specialist for food sales during the next quarterly
period. Failure of the licensee to provide satisfactory proof of the required food percentage may have their license
revoked by the DABS Commission.
Licensees who are substantially lower than 70%, or who have
repeatedly been on a probationary status in the past, however, may
be required to immediately come before the Commission and show
why they should keep their license.
Dispensing liquor through an approved dispensing system is
required for any licensee selling spirituous liquor. Dispensing
records must also be kept and
matched daily to the sales records of
all primary liquor beverages sold.
Spills, miss-clicks, returned
beverages, etc. must all be
accounted for on a dispensing record.
Your DABS compliance specialist can
help you with questions you may have
or formulate an appropriate form.
Licensees shall maintain records for
at least three years.
Remember,
falsifying records is illegal.
You MUST notify your compliance specialist in writing if you are going to be closed for more than 10
days. Emergency closures may be granted by telephone. NOT DOING SO is an automatic forfeiture
of the retail license. Failure to RE-OPEN by the approval date also results in automatic forfeiture.
3
Spirits, wine, flavored malt beverages, and heavy beer
must be purchased at the Utah state liquor stores or
package agencies. Purchasing alcohol from outside of the
state of Utah is unlawful.
Procedures for ordering alcohol are as follows:
The licensee must call, fax, or order online in advance of
pi
ckup to allow department personnel sufficient time to assemble the order. Include your business name
,
D
ABS license number, and list the products by code number. You can find the code numbers on our website at
abs.utah.gov
Please Note: Licensees may not pick merchandise directly off the shelves of a state store or package agency to fill
their order.
for department personnel to assemble the order for pick-up.
W
hen the order is complete, the licensee will be notified by phone and given the total cost of the
order. The licensee may pay for the product in cash, company check or credit card, or cashier's
check. You will have to examine and sign for the order before it leaves the store to verify that the
product has been received.
Spirituous liquor may be returned by the licensee for the original purchase
price if:
T
he bottle has not been opened
The seal remains intact
The label remains intact
The licensee produces the original cash register receipt
NOTE Returned orders that exceed $1,000 will require a restocking fee of 10%. All spirituous liquor returned that is
based on a single purchase on a single cash register receipt must be returned at the same time.
. . . unless it can be shown that the product was
spoiled or otherwise non-consumable.
A licensee may sign up
for “ACH” ordering
ONLINE!
Contact DABS to get
signed up.
4
Beer must be purchased from beer distributors. Licensees must call
and set up an account with the appropriate distributor for their area.
Go to our website at abs.utah.gov for a list of distributors in your
area.
Beer may also be purchased from any licensed Utah small brewer
that manufactures beer. However, licensees may not purchase beer
from any other retail outlet such as grocery or convenience stores
for resale at the licensed establishment.
Alcohol may only be stored in a designated place approved by DABS on the
initial application floorplan.
Any changes in a storage area must first be approved by DABS.
Storage or dispensing systems located at a patron's table are
prohibited.
Alcohol stored and used for cooking must be labeled “COOKING
FLAVORING” and is considered a food preparation.
Liquor, wine, and heavy beer storage must remain locked at all times
when alcohol sales are not permitted. However, the licensee may open the
storage area during hours otherwise prohibited for the limited purpose of
inventory, restocking, repair, and cleaning.
A restaurant licensee CAN share space in the same room with another licensed premises if they are a:
Hospitality amenity
B
eer recreational
Banquet
These licenses may not operate in the same room, at the same time,
on the same day. However, they may share a kitchen, including a
pathway necessary to transport alcohol with other sublicenses or
license types if they are owned by the same person or entity.
All requirements for each license type must be satisfied. It also requires
that a sign be posted in a conspicuous location at the entrance stating what type
of license is currently operating in that space. The sign must measure at least 8
½ by 11 inches.
This premises is
currently operating
as a Restaurant
This premises is
currently operating
as a Beer Recreational
5
Restaurant licensees may share a dining area under
certain conditions. However, the licensees still must
meet the operational requirements for each license type.
This means:
The dining area must be on an approved floor
plan.
Full restaurants many only share a dining space
w
ith a full restaurant.
The premises of each restaurant must “stand
alone” and be completely independent of ea
ch
ot
her. They may not share bathrooms, kitchens,
or any other space. This law expressly states that ONLY the dining area may be shared
.
E
ach restaurant must be able to keep independent records, check identification, and be able to watch an
d
co
ntrol the patron’s consumption independently from the other restaurants.
Patrons may not bring in or store spirituous liquor, heavy beer, or beer on the premises of the restaurant. However,
at the licensee’s discretion, a patron may bring in bottled wine for consumption on the premises.
Wine brought in must be immediately delivered to a server or an employee of
the bar.
A wine service may then be performed, and patrons may serve themselves or
others at the table
.
A patron may leave with their unfinished bottle of wine as long as it has been
r
ecorked by the server.
Wine purchased by a patron from the restaurant may also be stored in
app
roved wine lockers provided by the restaurant. Only servers may access
the wine locker for the patron.
An open container primarily used for drinking purposes and containing an alcoholic beverage, may not be removed from
the restaurant premises.
6
Patrons may only purchase alcoholic
beverages after they have been seated at a
table, counter, or bar in the dining or
dispensing area of the restaurant where food
is served. The server must also verbally verify
the patron has the intent to dine.
However, if a patron is temporarily seated at a
counter or dispensing area (the bar) and is
waiting to be seated in the dining area:
The patron may only be served one (1)
single serving of an alcoholic
beverage.
If the patron has not finished their
alcoholic beverage when a table becomes available, a server must carry the alcoholic beverage for the
patron to their awaiting table in the dining area.
The licensee must confirm that the patron intends to purchase and consume food at the same location where
the patron is to be permanently seated.
The server must make a beverage tab for each table or group that orders or consumes an alcoholic beverage
on the premises.
Alcoholic beverages must be sold, served, and delivered to a patron by a properly trained alcohol server.
There is no alcohol service allowed in the waiting area.
Visible storage and dispensing (or the bar area) is allowed
in restaurants under certain conditions and restrictions.
Licensees may choose to have a visible bar area
or choose
to have storage and dispensing areas that are not visible.
Patrons must be seated at a table, counter, or bar to
consume alcohol, and servers must confirm that the
patron intends to dine at the restaurant.
7
DISPENSING AREAS & FLOORPLAN (Continued)
The dispensing area of a restaurant is where alcoholic beverages are prepared. If the dispensing is visible, it includes both
the bar structure and the seating area around the bar for those who are 21 and older. There are three types of possible
alcohol dispensing areas in a restaurant or a combination of any of the following:
Back RoomOut of Sight
Bar with 10’ Buffer Zone
Bar with 5’ Buffer Zone and a Pony Wall
The floorplan for a visible dispensing area (the bar) must be either:
a. An area within 10 feet of the outside edge of the bar
structure.
b. An area within 5 feet from the outside edge of the bar
structure if a permanent physical barrier has been installed,
such as a pony wall or rail. The barrier must measure at
least 42 inches tall.
An ID scanner (electronic age verification device) is required if there is seating available
in the bar. Servers must electronically verify age with the scanner when anyone who
appears to be 35 years of age or younger orders an alcoholic beverage.
The main dining area outside the bar does not require the use of the scanner, but still
may be used as a tool to verify age. Those restaurants that choose to only have backroom dispensing are not required to
have an ID scanner.
Restaurant licensees must be able to keep, read, print, or download 7
days’ worth of data in the ID scanners and no more. Owners/managers
should have the knowledge and capability to produce the data upon
request of a peace officer or an authorized representative of the DABS.
The DABS does not provide a list of approved scanners, but they are available from multiple manufacturers and vendors.
However, any ID scanner selected must meet legal requirements.
42” Tall
More information on scanners may be viewed
on our website or can be found in the TOPICS
LIBRARY under Licensee Support.
8
Minors may not sit, remain, or be served food or beverages within the
dispensing area of a restaurant.
Remember, the DISPENSING AREA is any area within 10 feet of a bar
structure, or 5 feet if the bar is separated by a rail or pony wall at least
42” tall.
Minors may momentarily pass through a dispensing area en route to an
area of the establishment in which the minor is permitted to be such as
restrooms, only if there is no other way.
Grandfathered bars (those who had a bar structure as of May 11, 2009) have an exception until July 1, 2022. A minor
may not sit, remain, or consume food or beverages within 10 feet of a grandfathered bar structure, unless:
a. seating within 10 feet of the grandfathered bar structure is the only seating available in the licensed
premises, but never at the bar structure, and
b. the minor is accompanied by an individual who is 21 years of age or older.
Any employee who sells, serves, dispenses, or handles alcohol must
be twenty-one years of age or older.
Servers of alcohol must wear a unique identification badge showing
the employee's first name, initials, or a number assigned by the
employer and must be worn above the waist.
Employees may not consume or be under the influence of alcoholic
beverages while on duty.
EMPLOYEES CAN BE FINED FOR VIOLATIONS
The commission is authorized to assess an administrative fine against an
officer, employee, or agent of a licensee for a violation of the alcoholic
beverage laws.
9
SERVER TRAINING
Alcohol server training is required for all owners, managers,
supervisors, and employees who serve (or manage those who serve)
alcohol. They must take and pass an alcohol server training seminar
every three years and must complete the training within 30 days of
hire. Go to our website for information and links to state-approved
training programs.
DABS MANAGER TRAINING
Managers must complete the DABS Manager Training Program as a condition of obtaining their DABS license. Any
new manager must take the training within 30 days of hire.
A
manager includes owners and employees that act in a supervisory or managerial capacity over th
e
f
urnishing of an alcoholic product or the employees who serv
e
al
coholic products
.
T
raining will be conducted by the DABS and the fee is $25 per
manager
.
M
anager training does not expire and will not have to be ta
ken
again.
REMEMBER, managers must have BOTH the manager training an
d
t
he server training
Minors may be employed by a restaurant, but may not take the order for, dispense, or serve alcoholic
bev
erages or handle the alcoholic beverages except
where expressly allowed.
Minor employees may be in the dispensing area when the
r
estaurant is closed if they are performing maintenance
and cleaning services, but may not handle the alcohol.
Minors who are at least 16 years of age may ring up the
s
ale of alcoholic beverages at a cash register or other
point of sale system. However, remember, they cannot
take the alcohol order, handle, or serve it.
Alcohol-trained servers over 21 years of age must take
the alcohol order.
Minors who are at least 16 years old may bus alcohol and alcohol containers from the tables, including tables
from the adult dispensing area during working hours. Younger minors are prohibited from doing so.
10
LIQUOR SALES
The primary liquor in a
mixed drink must be
dispensed through an
approved calibrated
metered dispensing system. or device but only in
quantities not to exceed 1.5 ounces. Any type of liquor
bottle purchased from DABS must still be metered, even
if the top of the bottle is unusual. There are specially
sized tops made for those unusual bottles.
The restaurant must post a list of the types and brands of liquor dispensed
through the dispensing system.
Liquor used as a secondary flavoring need not be dispensed through the
dispensing system, but still must be measured.
The total amount of spirituous liquor in a beverage (including both the
primary liquor and any secondary flavorings) may not exceed 2.5 ounces of
spirituous alcohol.
Liquor stored and used as flavorings must be clearly labeled "flavoring."
WINE SALES
Wine may be sold and served by
the bottle or container in sizes
not exceeding 1.5 liters
(Magnum) to tables of four or
more. For tables of less than
four, the size of the bottle
cannot be larger than 750 ml.
Wine may be sold and served by the glass or
individual portion in quantities not exceeding 5
ounces.
An individual portion may be served to a patron in
more than one glass (as a flight) as long as the
total amount of wine in all of the glasses does not
exceed the individual portion size of 5 ounces.
Wine may be poured by the
glass from any size bottle
or container and need not
be dispensed through a
dispensing device.
A patron who has
purchased bottled wine may serve themselves or
others at the table. Unfinished wine may be
removed from a restaurant by a patron.
if the bottle is re-corked or re-capped. wine may be
removed from a restaurant by a patron if the bottle
is re-corked or re-capped.
11
FLAVORED MALT BEVERAGES AND HEAVY BEER SALES
May be sold and served in original containers not exceeding one liter.
BEER SALES
Beer may be sold and served in any size container, not exceeding 2
liters, and on draft. However, a pitcher (larger than one liter and up
to two liters) may only be sold to parties of two or more.
Beer may be sold to an individual patron, only in a container that
does not exceed one liter.
Beer flights may be sold to a patron as long as the total amount of
beer does not exceed 16 ounces.
Each restaurant patron may only have one spirituous liquor drink before them
at a time. Other than spirituous liquor drinks, each restaurant patron may have
no more than two servings of an alcoholic beverage of any kind at a time
before the patron.
An alcoholic beverage menu with prices (including shot prices) is required. The menu
may be listed on the food menu or a separate alcoholic beverage menu and may be
located on the patron’s table or readily available.
NO MORE THAN TWO
12
Signs advertising the availability of alcoholic beverages may
be displayed both inside and outside the restaurant.
Servers may ask a patron if they would like an alcoholic
beverage.
Restaurant advertising in newspapers, magazines, phone
book yellow pages, other print media, and on radio, television,
and billboards may reference the availability of alcoholic
beverages.
Alcohol advertising by the restaurant must comply with the
legal requirements which may be viewed on our website at
abs.utah.gov.
Alcoholic beverages may not be sold at a
discount at any time.
Other discounting practices are prohibited that
encourage over-consumption of alcohol (i.e.
happy hours, two for ones, all you can drink for
a set price, free alcohol, or selling at less than
cost).
A restaurant licensee or employee may not
purchase an alcoholic beverage for a patron nor
“comp” alcoholic beverages for patrons for any
reason.
The DABS may immediately suspend the license if it receives a bad check as
payment for alcohol, licensing or bond fees, fines and costs for violations, etc.
A fee will also be assessed for bad checks and the licensee will be required to
pay the full amount and the fee.
13
, attire, and sexually-oriented conduct of employees and entertainers that are considered
contrary to public welfare and morals are
prohibited on the premises.
NO paying to play a game of
chance to win money or a prize. Licensees
may not engage in or permit any form of
gambling on its premises including contests
or gaming schemes that require risking
something of value for a chance of a return -
including raffles, bingo, poker, etc.
or drug paraphernalia - A retail
licensee may not knowingly allow a person
on the licensed premises to sell, distribute, possess, or use a controlled substance; or use, deliver,
or possess with the intent to deliver drug paraphernalia.
Any ownership changes to the entity or individual who holds the license must be reported to the
assigned DABS compliance specialist within 60 days of the change. It would be better to call ahead
and discuss any ownership changes before doing so as some small changes can be done internally
and others must go through a license transfer process and be approved by the commission.
14
A restaurant may share a kitchen with another license type under certain conditions.
There are two ways this is allowed:
A restaurant sublicense at a hotel, resort, or
arena, may share the same kitchen with a
banquet, bar, or a beer recreational license.
If the restaurant owner holds other license
types located in the same building and the
only shared premises among them are the
kitchen and any pathway necessary to
transport an item.
However, Utah law expressly states the restaurant may not share any other premises. Licensees would be
required to have their own dining areas, entrances, etc. Each licensee must be able to keep independent records,
check IDs, and be able to watch and control a patron’s consumption and any other operational procedures for each
specific license type.
15