Denial Basis A.R.S. 4-203.A

City of Mesa — City Council (2026-05-04)

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4-203. Licenses; issuance; transfer; reversion to state; tastings; rules; off-sale privileges; order requirements.

‘A. A spirituous liquor license shall be issued only after satisfactory showing of the capability, qualifications and reliability of the applicant and, with
the exception of wholesaler, producer, government or club licenses, that the public convenience requires and that the best interest of the community
will be substantially served by the issuance. If an application is filed for the issuance of a transferable or nontransferable license, other than for a craft
distiller license, a microbrewery license or a farm winery license, for a location that on the date the application is filed has a valid license of the same
series, or in the case of a restaurant license application filed for a location with a valid hotel-motel license, issued at that location, there shall be a
rebuttable presumption that the public convenience and best interest of the community at that location was established at the time the location was
previously licensed. The presumption may be rebutted by competent contrary evidence. The presumption shall not apply once the licensed location
has not been in use for more than one hundred eighty days and the presumption shall not extend to the personal qualifications of the applicant.

B. The license shall be to manufacture, sell or deal in spirituous liquors only at the place and in the manner provided in the license. A separate license
shall be issued for each specific business, and each shall spec

1. The particular spirituous liquors that the licensee is authorized to manufacture, sell or deal in.
2. The place of business for which issued.
3. The purpose for which the liquors may be manufactured or sold.

C. A spirituous liquor license issued to a bar, a liquor store or a beer and wine bar shall be transferable as to any permitted location within the same
county, if the transfer meets the requirements of an original application. A spirituous liquor license may be transferred to a person qualified to be a
licensee, if the transfer is pursuant to either judicial decree, nonjudicial foreclosure of a legal or equitable lien, including security interests held by
financial institutions pursuant to section 4-205.05, a sale of the license, a bona fide sale of the entire business and stock in trade, or other bona fide
transactions that are provided for by rule. Any change in ownership of the business of a licensee, directly or indirectly, as defined by rule is deemed a
transfer, except that there is no transfer if a new artificial person is added to the ownership of a licensee's business but the controlling persons remain
identical to the controlling persons that have been previously disclosed to the director as part of the licensee's existing ownership.

D. All applications for a new license pursuant to section 4-201 or for a transfer to a new location pursuant to subsection C of this section shall be filed
with and determined by the director, except when the governing body of the city or town or the board of supervisors receiving an application pursuant
to section 4-201 orders disapproval of the application or when the director, the state liquor board or any aggrieved party requests a hearing. The
application shall then be presented to the state liquor board, and the new license or transfer shall not become effective unless approved by the state
liquor board.

E. A person who assigns, surrenders, transfers or sells control of a liquor license or business that has a spirituous liquor license shall notify the director
within thirty business days after the assignment, surrender, transfer or sale, A spirituous liquor license shall not be leased or subleased. A concession
agreement entered into under section 4-205.03 is not considered a lease or sublease in violation of this section.

F, If a person other than those persons originally licensed acquires control over a license or licensee, the person shall file notice of the acquisition with
the director within thirty business days after the acquisition of control and a list of officers, directors or other controlling persons on a form prescribed
by the director. There is no acquisition of control if a new person is added to the ownership of a licensee's business but the controlling persons remain