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<br />range from $100,000/$200,000 to $1 million/$2 million. Mansetti's carries a lesser <br />coverage than $100,000; however, they are still higher than what State Statutes requires <br />for wine on-sale establishments. - <br /> <br />Staff contacted two insurance companies who handle dram shop/liquor liability insurance <br />to determine what the added cost would be if the City increased the amount of coverage <br />required. Ekblad, Pardee & Bewell, Inc. stated the cost is based on alcohol sales and the <br />formula varies from company to company. The gentleman staff spoke with reported that <br />they encourage liquor establishments to purchase a higher liability insurance than what is <br />required by State, even if a city does not require increased limits. Staff also contacted <br />Minnesota Joint Underwriting Association (MJUA) for their rates. Attached is the rate <br />sheet from MJUA which shows the cost per sales. It is noted on the printout that they <br />will not allow increased limits to vendors who are not required by their local licensing <br />authority (city) to carry increased limits. <br /> <br />If Council determines the liquor liability rates should be increased, a public hearing to <br />introduce an ordinance amending Code can be placed on a future Council agenda, to be <br />effective for 2008 liquor license renewals. (Renewals are done each year prior to June <br />30.) Notification would be sent to all liquor license holders in Ramsey informing them of <br />the hearing and the intent to raise the liability limit. Depending on the limit set, it may <br />not financially impact any of Ramsey's on-sale or off-sale liquor establishments. <br /> <br />Action Statement: <br /> <br />Based upon Council discussion. <br /> <br />Reviewed by: <br /> <br />City Clerk <br />City Attorney <br />Interim City Administrator <br /> <br />CCWS: 09111/07 <br />