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<br />ADMINISTRATIVE ORDER NO. 53-01-03-F <br />of the <br />City Manager of the City of Eugene <br /> <br />ADOPTING TOBACCO PRODUCTS RETAIL <br />LICENSE ADMINISTRATIVE RULE R-3.515 <br /> <br />The City Manager of the City of Eugene finds that: <br /> <br />A. Under provisions of Sections 2.019 and 3.515 of the Eugene Code, 1971 the City <br />Manager has authority to adopt rules for administration and implementation of any provisions of that <br />. Code, including provisions regulating the distribution, sale and consumption of tobacco products <br />within the City. <br /> <br />B. Pursuant to that authority, and based on the findings contained in Administrative <br />Order No. 53-01-03 issued on February 9,2001, I proposed the adoption of Tobacco Products Retail <br />License Administrative Rule R-3.515. <br /> <br />C. Notice of the proposed rule adoption was published in the Register-Guard for five <br />consecutive days, to-wit, on February 16, 17, 18, 19, and 20, 2001. The Notice was also made <br />available to persons who had requested such notice, aild provided that written comments would be <br />received thereon for a period of 15 days from the first date of publication. There were three written <br />comments received, to which I make the following specific findings: <br /> <br />Comments 1 and 2: Vicki Chandler and Rufus Richey objected to the licensing <br />program, the manner in which penalties are imposed, and the ordinance. <br /> <br />Findings: These comments address matters established by Council ordinance, which <br />cannot be altered by rules. No changes were made to the proposed rules as a result of these <br />comments. <br /> <br />Comment 3. Michael J. Lilly, on behalf of the Oregon Neighborhood Store <br />Association raised 10 objections to the proposed rules, which are summarized as follows: (1) <br />that the requirements for the license are arbitrary and capricious; (2) the rule establishes <br />arbitrary and capricious requirements for displays of tobacco products; (3) the requirement <br />that the retailer notify the City of all changes in owners, manager, or other persons authorized <br />to act on behalf of the licensee; (4) that the indemnity provision of R-3.515-G is an <br />unconstitutional taking of private property without compensation; (5) the City lacked <br />authority to adopt the ordinance, so cannot adopt the rule; (6) the ordinance and rule create <br />a tax; (7) the ordinance and rule are an unreasonable restriction of Interstate Commerce; (8) <br />the ordinance and rule create a taking of private property without due process and just <br /> <br />Administrative Order - 1 <br />r:\adminord\rules\O 1 tobsales2ao.wpd(03/07 /01) <br />