Alcohol commission chair may briefly suspend permits during danger

The commission considers conduct, community regard, and information from permitted records and other sources when deciding whether someone may hold or renew a retailer’s permit. The factors apply to applicants and permit holders seeking to hold, renew, or continue holding a retailer’s permit. The chapter takes effect July 1, 2026.

The commission may refuse or renew a permit, suspend or revoke it, or fine the permit holder when a licensed site is a public nuisance or is the scene of conduct prohibited by state or federal law. These sanctions concern licensed premises that are a public nuisance or the scene of prohibited conduct. The commission does not have to find beyond a reasonable doubt that the conduct would violate state or federal law. The chapter takes effect July 1, 2026.

The commission chair may suspend a retail alcohol permit for up to three business days without advance notice or a hearing. This applies to retail alcohol permits for licensed premises. The chair must reasonably believe a felony happened at the licensed site, the permit holder failed to take reasonable steps to prevent a crime, multiple crimes or violations happened there in the past 12 months, and continued operation poses a clear and immediate danger to the community or public. The commission must immediately give the permit holder the facts and hearing details, then hold a hearing within three business days after the suspension. The suspension may last no more than three business days. A hearing must take place no later than three business days after the suspension.

The commission investigates whether a proposed location is suitable for a new permit or a permit moved to a new location, and may consider local need, community wishes, and effects on nearby businesses and residents. This applies to applications for a new permit or to move an existing permit to another location. The commission may not use these factors when reviewing a permit renewal. The chapter takes effect July 1, 2026.

After receiving notice that an individual was charged with a Class B misdemeanor for the specified alcohol-related violation, the commission must hold a hearing and may suspend that person’s permit until the charge is resolved. This applies to an individual charged with a Class B misdemeanor under IC 7.1-5-10-15(a). The hearing must follow the procedures in section 6 of the chapter. The hearing is required after the commission receives notice of the charge; any suspension may last until the charge is resolved.