===== PDF PAGE 43 ===== [Extraction: OCR (rendered-page OCR)] CITY OF WEST CHICAGO CITY COUNCIL AGENDA ITEM SUMMARY ITEM TITLE: AGENDA ITEM NUMBER: TA.+ 6. Amending the Alcoholic Beverages Code to Add a Class C-6 Liquor License for the Sale of Beer, | FILE NUMBER: Wine and Spirits at Gas Stations with Conven- ience Stores that is Non-Transferrable COMMITTEE AGENDA DATE: N/A Ordinance No. 25-O-0032 COUNCIL AGENDA DATE: October 6, 2025 Ordinance No. 25-O-0044 STAFF REVIEW: Kelley Chrisse, AICP, CEcD SIGNATURE Ni ITEM SUMMARY: The Class C-4 Liquor License has historically been tightly regulated in West Chicago, with the num- ber of licenses reduced over the past two decades as gas stations closed or changed hands. The City’s long-standing policy prohibited additional licenses of this type. In November 2024, the City Council amended the C-4 License to allow other large-format gas station convenience stores meeting minimum size requirements to apply for a license. However, the revised license limited sales to beer and wine only. These restrictions were intended to level the playing field between the existing C-4 license holder and other gas station operators in the community. The existing C-4 license holder, which had previously been the only gas station convenience store in the City authorized to sell liquor, requested reconsideration of the changes prior to the July 1, 2025 compliance deadline. The business explained that its investment and operations were structured based on the original license terms, and the altered classification was not anticipated at the time of the decision to invest in the redevelopment of their West Chicago location. At the July 21, 2025 Council meeting, a new Class C-6 License was introduced that would authorize the sale of beer, wine and spirits under restricted terms. Council referred the matter to the Liquor Commission for review. The Liquor Commission reviewed the proposal to create a Class C-6 License Classification at the September 24, 2025 meeting. Key points raised included: The C-4 revisions were originally intended to ensure fairness among similarly situated gas station convenience stores. The business's reliance on the original approval created a unique circumstance. The Commission directed staff to draft an ordinance creating a Class C-6 License, permitting beer, wine, and spirits sales, that would be non-transferable. If ownership changes, only a C-4 (beer and wine only) License could be sought. Two ordinances are presented for consideration: 1) establishing a new C-6 License Classification; and 2) confirming that such license is non-transferable. Approval would preserve the original invest- ment reliance of the current business while preventing full liquor sales to future operators. ===== PDF PAGE 44 ===== [Extraction: OCR (rendered-page OCR)] ACTIONS PROPOSED: e Consideration of Ordinance No. 25-O-0032 to create a new C-6 Liquor License Classification. e Consideration of Ordinance No. 25-O-0044 to prohibit the transfer of a C-6 License upon change of ownership. COMMITTEE RECOMMENDATION: This item did not go to a Committee and has been sent directly to the City Council from the Liquor Commission. Attachments: 1. Ordinance Creating C-6 License; and 2. Ordinance Prohibiting Transfer of C-6 License ===== PDF PAGE 45 ===== [Extraction: OCR (rendered-page OCR)] ORDINANCE NO. 25-0-0032 AN ORDINANCE AMENDING THE CODE OF ORDINANCES OF THE CITY OF WEST CHICAGO TO DEFINE CERTAIN TERMS IN ITS LIQUOR CODE AND TO CREATE A NEW LIQUOR LICENSE CLASSIFICATION AND REGULATIONS ADDRESSING THE SALE OF PACKAGED ALCOHOLIC BEVERAGES AT GAS STATIONS WHEREAS, the City of West Chicago (hereinafter referred to as the “City’) is an Illinois home rule municipality organized, operated and existing pursuant to Section 6(a), Article VII of the 1970 Illinois Constitution; and WHEREAS, the City, as a home rule unit of government, may exercise any power and perform any function pertaining to its government affairs; and WHEREAS, the Illinois Liquor Control Act, 235 ILCS 5/1-1. et seq. (“Act”), describes the minimum regulation of liquor license establishments in the State of Illinois; and WHEREAS, Article IV of the Illinois Liquor Control Act of 1934, 235 ILCS 5/4-1, et seq., authorizes the City to license and regulate the sale of alcoholic liquor within its boundaries, and to determine the number, kind and classification of local liquor licenses, as well as the fees for such licenses and to provide such further regulations and restrictions on the issuance and operations pursuant to such local licenses; and WHEREAS, the City possesses the authority, pursuant to the Illinois Municipal Code, 65 ILCS 5/1-1-1 et seq., to adopt ordinances and pass resolutions pertaining to the public health, safety, welfare and government functions; and WHEREAS, the City has adopted certain liquor license regulations designed to protect the health, safety and welfare, which regulations are codified in Chapter 3 of the West Chicago Municipal Code (“Liquor Code”); and WHEREAS, the City is desirous of clarifying the meaning of certain terms utilized in its Liquor Code; and WHEREAS, the City has determined that it is in the best interest of the public health, safety and welfare to create a new Class C-6 liquor license category for relatively large-scale gas station convenience stores, allowing for the packaged sale of spirits, wine and beer at retail for off-premises consumption in accordance with the regulations set forth in this Ordinance; and WHEREAS, the Mayor and City Council of the City (hereinafter referred to as the “Corporate Authorities”) desire to update and revise the City’s Liquor Code as set forth herein to create a new liquor license classification and find that so doing is in the best interest of the City and consistent with the health, welfare and safety of City residents and visitors. NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COUNCIL OF THE Page 1 of 5 ===== PDF PAGE 46 ===== [Extraction: OCR (rendered-page OCR)] CITY OF WEST CHICAGO, DUPAGE COUNTY, ILLINOIS, IN THE EXERCISE OF ITS HOME RULE AUTHORITY, THAT THE CITY CODE BE AMENDED AS FOLLOWS, WITH ALL EXISTING PROVISIONS OF THE CITY CODE NOT SET FORTH BELOW CONTINUING IN FULL EFFECT AS PRESENTLY WRITTEN: SECTION 1. Recitals. The foregoing recitals are incorporated as though fully set forth herein. SECTION 2. Section 3-2 Amendment. That Chapter 3 (“Alcoholic Beverages”), Article I (“General Provisions”), Section 3-2 (“Definitions”) of the Code of Ordinances of the City of West Chicago, Illinois, shall be and hereby is amended as follows (additions are in bold, redline and underlined) to define certain terms used throughout Chapter 3, with all currently-existing provisions of the City Code remaining in full effect as written: Sec. 3-2. — Definitions. Alcoholic liquor. Alcohol, spirits, wine and beer, and every liquid or solid, patented or not, including alcohol-infused spirits, containing alcohol, spirits, wine or beer and capable of being consumed as a beverage by a human being, but not alcohol used in the manufacture of denatured alcohol or any liquid or solid containing one-half of one per cent, or less, of alcohol by volume. Beer. A beverage obtained by the alcoholic fermentation of an infusion or concoction of barley, or other grain, malt, and hops in water, and includes, among other things, beer, ale, stout, lager beer, porter and the like. Spirits. Any beverage which contains alcohol obtained by distillation, mixed with water or other substance in solution, and includes brandy, rum, whiskey, gin, or other spirituous liquors, and such liquors when rectified, blended or otherwise mixed with alcohol or other substances. Wine. Any alcoholic beverage obtained by the fermentation of the natural contents of fruits, vegetables, or honey, containing sugar, including mead and such beverages when fortified by the addition of alcohol or spirits SECTION 3. Section 3-10 Amendment. That Chapter 3 (“Alcoholic Beverages”), Article II (“Licensing”), Section 3-10 (“Classifications”) of the Code of Ordinances of the City of West Chicago, Illinois, shall be and hereby is amended as follows (additions are in bold, redline and_underlined; deletions in beld,redlineand-strikeout), to add a new liquor license category, with all currently-existing provisions of the City Code remaining in full effect as written: Sec. 3-10. — Classifications. Page 2 of 5 ===== PDF PAGE 47 ===== [Extraction: OCR (rendered-page OCR)] (c) Package store license—Class C. Class C-6 license authorizes the retail sale, on the premises specified, of alcoholic liquor, including spirits, beer and wine in its original individual package, not for consumption on the premises. To qualify for a Class C-6 license, the premises must be primarily used _as a gas station, have a convenience store associated with it of at least three thousand five hundred (3,500) square feet in size, and the license holder must have held a C-4 license prior to December 16, 2024. The following additional requirements apply to all Class C-6 licenses: (1) The floor area devoted to alcoholic liquor sales within the convenience store shall not exceed more than fifteen percent (15%) of the total retail sales area and shall be in a segregated area, approved by the local liquor control commissioner, so designed to be separate, distinct_and_ visible by an employee working behind the counter where transactions occur; (2) Beer in containers less than sixteen (16) ounces shall not be sold to any person in quantities of less than six (6) cans or bottles. Sale of individual bottles and cans is strictly prohibited; (3) Wine shall not be sold in containers less than 750 ml; and (4) Spirits shall not be sold in containers less than two (2) ounces; and (5) Each transaction for the sale of alcoholic liquor shall be with point-of- sale equipment that shall scan the identification of the customer as to verify age. SECTION 4. Section 3-12 Amendment. That Chapter 3 (“Alcoholic Beverages”), Article II (“Licensing”), Section 3-12 (“Record Number of Licenses”) of the Code of Ordinances of the City of West Chicago, Illinois, shall be and hereby is amended as follows (additions are in bold, redline and underlined; deletions in beld,redline-and-strikeeut), to add a new liquor license category, with all currently-existing provisions of the City Code remaining in full effect as written: Sec. 3-12. — Classifications. (c) There shall be no more than the following number of licenses issued for each class: Class C-6 ..... 1 Page 3 of 5 ===== PDF PAGE 48 ===== [Extraction: OCR (rendered-page OCR)] SECTION 5. Fee Schedule Amendment. That Appendix G (“Fee Schedule”) of the Code of Ordinances of the City of West Chicago, Illinois, Section 8.1 (“Liquor Licenses”) be amended to add a license fee for the C-6 liquor license classification as follows (additions are in bold, redline and underlined), with all currently-existing provisions of the City Code remaining in full effect as written: Appendix G 8.1 Liquor Licenses Class C-6 .... $2,800.00 SECTION 6. Applicability. Existing liquor licensees in good standing in the City of West Chicago are eligible to transfer to another liquor license classification, provided a license is available in such other license classification, upon demonstrating eligibility for the new classification, paying any applicable fee increase on a pro-rata basis for the remaining portion of the license term, and surrendering licensee’s existing license upon the issuance of the new liquor license for the remaining balance of the then-existing license term. Licensees possessing a current Class C-4 Liquor License in the City of West Chicago are eligible for immediate transfer to a Class C-6 Liquor License for the remaining term of their C-4 Liquor License without payment of additional fees. SECTION 7. Severability. That this ordinance and every provision thereof shall be considered severable. If any word, phrase, clause, sentence, paragraph, provision, section, or part of this ordinance is found to be void, unconstitutional, or otherwise unenforceable, all remaining portions of this ordinance not so declared void, unconstitutional, or unenforceable shall remain in full force and effect. SECTION 8. Resolution of Conflicts. That all ordinances and resolutions, or parts thereof, in conflict with the provisions of this Ordinance are, to the extent of such conflict, expressly repealed. SECTION 9. Effective Date. That this ordinance shall be in full force and effect from and after its passage, approval and publication in the manner provided by law. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK; SIGNATURE PAGE FOLLOWS] Page 4 of 5 ===== PDF PAGE 49 ===== [Extraction: OCR (rendered-page OCR)] Adopted by the City Council of the City of West Chicago, DuPage County, Illinois this 6th day of October, 2025. VOTE: Alderman J. Alcantar-Garcia Alderman D. Beebe Alderman I. Santiago Alderman J. Sheahan Alderman D. Carreto-Mufioz Alderman A. Hallett Alderman M. Birch Ferguson Alderman J. Smith, Jr. Alderman R. Stout Alderman J. Morano Alderman S. Dimas Alderman C. Swiatek Alderman C. Avifia Soto Alderman M. Myers LTT APPROVED as to form: City Attorney APPROVED this 6th day of October, 2025. Daniel Bovey, Mayor ATTEST: Valeria Perez, Executive Office Manager PUBLISHED: Page 5 of 5 ===== PDF PAGE 50 ===== [Extraction: OCR (rendered-page OCR)] ORDINANCE NO. 25-0-0044 AN ORDINANCE AMENDING SECTION 3-13 OF THE CODE OF ORDINANCES OF THE CITY OF WEST CHICAGO TO ADDRESS CHANGES OF OWNERSHIP AND/OR ORGANIZATIONAL MANAGEMENT OF AN EXISTING LIQUOR LICENSEE WHEREAS, the City of West Chicago (hereinafter referred to as the “City”) is an Illinois home rule municipality organized, operated and existing pursuant to Section 6(a), Article VII of the 1970 Illinois Constitution; and WHEREAS, the City, as a home rule unit of government, may exercise any power and perform any function pertaining to its government affairs; and WHEREAS, the Illinois Liquor Control Act, 235 ILCS 5/1-1. et seq. (“Act”), describes the minimum regulation of liquor license establishments in the State of Illinois; and WHEREAS, Article IV of the Illinois Liquor Control Act of 1934, 235 ILCS 5/4-1, et seq., authorizes the City to license and regulate the sale of alcoholic liquor within its boundaries, and to determine the number, kind and classification of local liquor licenses, as well as the fees for such licenses and to provide such further regulations and restrictions on the issuance and operations pursuant to such local licenses; and WHEREAS, the City possesses the authority, pursuant to the Illinois Municipal Code, 65 ILCS 5/1-1-1 et seq., to adopt ordinances and pass resolutions pertaining to the public health, safety, welfare and government functions; and WHEREAS, the City has adopted certain liquor license regulations designed to protect the health, safety and welfare, which regulations are codified in Chapter 3 of the West Chicago Municipal Code (“Liquor Code”); and WHEREAS, Section 3-13 of the City Code prohibits the transfer of local liquor licenses and requires licensees to report changes in ownership, managers, officers and directors to the local liquor control commissioner, but only provides for license termination where the new owner, partner, officer, director, manager, or stockholder would themselves be ineligible to hold a license; and WHEREAS, the Mayor and City Council (the “Corporate Authorities”) find and determine that additional regulations are required to ensure that significant internal changes in organization and ownership by corporations, partnerships, co-partnerships, limited liability companies, or other non-natural “persons” holding liquor licenses will result in license termination in order to close a loophole through which licensees could avoid the prohibition on the transferability of local liquor licenses by instead transferring shares or changing corporate officers, members, managers, partners of existing liquor licensees while preserving the name identity of the licensee; and WHEREAS, the Corporate Authorities find that amending the City Code to address Page | of 4 ===== PDF PAGE 51 ===== [Extraction: OCR (rendered-page OCR)] internal changes within corporate liquor licensees as provided herein will serve and advance the public’s health, safety and welfare and be in the best interest of the Village and its residents insofar as it will require overhauled liquor licensees — even where such new owners or officers are eligible for licensure to actually apply for a new license. NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF WEST CHICAGO, DUPAGE COUNTY, ILLINOIS, IN THE EXERCISE OF ITS HOME RULE AUTHORITY, THAT THE CITY CODE BE AMENDED AS FOLLOWS, WITH ALL EXISTING PROVISIONS OF THE CITY CODE NOT SET FORTH BELOW CONTINUING IN FULL EFFECT AS PRESENTLY WRITTEN: SECTION 1. Recitals. The foregoing recitals are incorporated as though fully set forth herein. SECTION 2. Section 3-13 Amendment. That Chapter 3 (“Alcoholic Beverages”), Article I (“General Provisions”), Section 3-13 (“Transfer of License”) of the Code of Ordinances of the City of West Chicago, Illinois, shall be and hereby is amended as follows (additions are in bold, redline and underlined) to add a new subsection (c), addressing internal changes in, with all currently-existing provisions of the City Code remaining in full effect as written: Sec. 3-13. — Transfer of License. @. Major Change to Licensee’s Business — Class C-6 License. Unless a new liquor license application has been filed (i) at least thirty (30) days prior to the below- described changes in ownership and (ii) conditionally approved by the local liquor commissioner pending the consummation of the below-described internal personnel changes constituting a deemed change of ownership, the existing C-6 liquor license shall be terminated and become null and void upon the occurrence of the deemed change of ownership. The occurrence of any one or more of the following events shall be deemed to constitute a change in ownership of a C-6 licensed business for which a new license shall be required in order for sales of alcoholic liquor to resume: 1. For any C-6 licensee that is a corporation or limited liability company, the replacement or addition of any shareholder owning directly or indirectly (including ownership by members of the same household) twenty five percent (25%) or more of the outstanding shares of any class of the capital stock of said corporation; provided that any sale or exchange of stock which results in a_ change in controlling ownership under the bylaws of the C-6 corporation shall_be deemed _to_be a change of ownership hereunder regardless of the percentage of actual sale or exchange. 2. With respect to any C-6 licensee that is a general partnership, the replacement or addition of any general partner. 3. With respect to any C-6 licensee that is a limited partnership, the replacement or addition of any general partner or of any limited partner holding directly Page 2 of 4 ===== PDF PAGE 52 ===== [Extraction: OCR (rendered-page OCR)] or indirectly (including ownership by members of the same household) twenty five percent (25%) or more interest in the earnings of said limited partnership. 4. The operation of a C-6 licensed_business_by an unlicensed_individual_or corporation under a management agreement which permits such unlicensed individual or corporation to control and direct the operation of the business, to retain all or a majority of the profits derived from such business, or to utilize the privileges of the liquor license issued to another for such business for any period in excess of thirty (30) days. A management agreement shall not be deemed _ to include a contract for employment between a licensee and an individual manager or managers, who operate the licensed business on behalf of or at the discretion of the licensee. 5. AC-6 licensee’s form of ownership or organization changes other than from an individual to a sole proprietorship, such as a change from an individual person to a partnership, limited liability company or corporation, or from a corporation, limited liability company or partnership to an individual. SECTION 3. Severability.That this ordinance and every provision thereof shall be considered severable. If any word, phrase, clause, sentence, paragraph, provision, section, or part of this ordinance is found to be void, unconstitutional, or otherwise unenforceable, all remaining portions of this ordinance not so declared void, unconstitutional, or unenforceable shall remain in full force and effect. SECTION 4. Resolution of Conflicts. That all ordinances and resolutions, or parts thereof, in conflict with the provisions of this Ordinance are, to the extent of such conflict, expressly repealed. SECTION 5. Effective Date. That this ordinance shall be in full force and effect from and after its passage, approval and publication in the manner provided by law. Adopted by the City Council of the City of West Chicago, DuPage County, Illinois this 6" day of October, 2025. VOTE: Alderman J. Alcantar-Garcia Alderman D. Beebe Alderman I. Santiago Alderman J. Sheahan Alderman D. Carreto-Mufioz Alderman A. Hallett Alderman S. Dimas Alderman M. Birch Ferguson Alderman C. Swiatek Alderman J. Smith, Jr. Alderman C. Avifia Soto Alderman R. Stout Alderman M. Myers Alderman J. Morano LTT APPROVED as to form: City Attorney Page 3 of 4 ===== PDF PAGE 53 ===== [Extraction: OCR (rendered-page OCR)] APPROVED this 6" day of October, 2025. Daniel Bovey, Mayor ATTEST: Valeria Perez, Executive Office Manager PUBLISHED: Page 4 of 4