OAR 845-015-0200
Satellite Liquor Stores Pilot Program
(1)
Purpose. The Satellite Liquor Stores Pilot Program is a program wherein the Oregon Liquor Control Commission (Commission) appoints retail sales agents on a temporary basis to operate Pilot Satellite Liquor Stores under the terms set forth in this rule. Pilot Satellite Liquor Stores are non-exclusive retail liquor stores located in smaller communities where there is a fluctuating, seasonal demand for an additional small outlet due to tourism or other similar factors. The purpose of the Pilot Program is to obtain data on the efficacy of operating such satellite stores in these areas. In connection with the Pilot Program, the Commission will collect data on a variety of subjects, including but not limited to: the economic viability (profitability) of the Pilot Program business model for the Pilot Program Agent and the state of Oregon; public safety impacts on the community; and public response to the program including customer satisfaction and convenience.(2)
Definitions. The following definitions apply only to this rule:(a)
The Satellite Liquor Stores Pilot Program is called the Pilot Program.(b)
The agent appointed to the pilot agency is called a Pilot Program Retail Sales Agent, or Pilot Program Agent. Pilot Program Agent is a retail agent who currently operates a Liquor Store (the “Primary Liquor Store”) in the community where the Pilot Satellite Liquor Store is located.(c)
Pilot Program Retail Sales Agent Agreement or Pilot Program Agreement is the agreement between the Pilot Program Agent and the Oregon Liquor Control Commission.(d)
The location where the Commission appoints a retail sales agent on a temporary basis to operate a Liquor Store is called a Pilot Satellite Liquor Store.(e)
Liquor Store means a retail sales agency of the Oregon Liquor Control Commission.(3)
Number of Pilot Liquor Stores; Factors Considered when Siting Pilot Liquor Stores. The Pilot Program will consist of up to six new Pilot Satellite Liquor Stores to be selected within 12 months of the start of the Pilot Program. The Commission will consider the following factors in determining the locations of Pilot Satellite Liquor Stores:(a)
Population fluctuations, changes in consumer traffic patterns, and/or increased demand within a community during seasonal or peak periods due to tourism or other similar factors;(b)
Distance of the proposed Satellite Liquor Store from existing Liquor Store(s);(c)
Community proximity of the proposed Satellite Liquor Store to the Pilot Program Agent’s Primary Liquor Store;(d)
Sales volume of the Pilot Program Agent’s primary Liquor Store;(e)
Anticipated ability of the Pilot Satellite Liquor Store to accommodate seasonal, fluctuating demand (through operating days/hours, product mix, etc);(f)
Size of Pilot Satellite Liquor Store, including retail floor space and storage space. A Pilot Satellite Liquor Store may carry no more than 50 percent of the products carried in the Primary Liquor Store, as measured by SKUs;(g)
The ability of the Pilot Program Agent to negotiate acceptable terms for the Satellite Liquor Store location.(4)
Length of Pilot Program Retail Sales Agent Agreements. Each Pilot Program Agent and the Commission will execute a Pilot Program Agent Agreement, the duration of which will not exceed three years from the effective date of the Pilot Program Agent’s appointment at the Pilot Satellite Liquor Store. Six months before the expiration of each Pilot Program Retail Sales Agent Agreement, the performance of the applicable Pilot Liquor Store will be evaluated. The Commission will evaluate performance consistent with section (9)(a)–(d) of this rule, the terms of the applicable Pilot Program Retail Sales Agent Agreement, and the Retail Operations Manual. A process to create a permanent Satellite Liquor Store at the applicable location will be initiated by the Commission if it determines the applicable Pilot Satellite Liquor Store is a success.(5)
All statutes and administrative rules governing retail liquor agents will apply to this Pilot Program, with the following exceptions:(a)
OAR 845-015-0110 (Establishment of a Retail Liquor Store) Establishment of a Retail Liquor Store;(b)
OAR 845-015-0120 (Retail Sales Agent Selection Procedure) Retail Sales Agent Selection Procedure;(c)
OAR 845-015-0135 (Public Opinion on Retail Liquor Store Location) Public Opinion on Retail Liquor Store Location;(d)
OAR 845-015-0140 (Hours and Days of Operation) Hours and Days of Operation;(e)
OAR 845-015-0190 (Resignation Buy-Out Program for Retail Sales Agents) Resignation Buy-Out Program for Retail Liquor Agents;(f)
OAR 845-015-0193 (Terminating an Agency Agreement)(1) & (2) Terminating an Agency Agreement;(g)
OAR 845-015-0196 (Appointment of a Temporary Retail Sales Agent or Operation by Commission Staff) Appointment of a Temporary Agent.(6)
The Retail Operations Manual, including any Pilot Program Appendix, and other relevant Commission policies will apply to the Pilot Program, unless otherwise provided in the Pilot Program Agreement.(7)
All personnel working in the Pilot Satellite Liquor Store must meet all the standards and requirements for liquor store clerks which are required by the Pilot Program Agreement and the Retail Operations Manual.(8)
Pilot Program Agents will provide the Commission with any and all data related to the operation of the Pilot Satellite Liquor Store as specified in the Pilot Program Agreement and the Retail Operations Manual.(9)
Measuring Success of the Pilot Program. Factors the Commission will consider in measuring the success of the Pilot Program include but are not limited to:(a)
Economic viability of the Pilot Program business model for Pilot Program Agents and the Commission;(b)
Increase in total seasonal revenue from liquor sales in the community;(c)
Effects on the public safety of the surrounding community;(d)
Public response to the Satellite Liquor Stores, including customer satisfaction and convenience.
Source:
Rule 845-015-0200 — Satellite Liquor Stores Pilot Program, https://secure.sos.state.or.us/oard/view.action?ruleNumber=845-015-0200.