Timing of reporting violations

(1) The department or the commission may not take administrative action against a person subject to administrative action before: (a) a nondepartment enforcement agency or enforcement officer or a department compliance officer submits to the department a report: (i) containing facts that could support a finding that the person subject to administrative action violated this title or a commission rule; and (ii) no more than eight business days after the day on which the nondepartment enforcement agency or officer or the compliance officer completes the investigation containing the facts described in Subsection (1)(a)(i); and (b) subject to Subsection (5), the department notifies the person subject to administrative action, no more than eight business days after the day on which the department receives the report described in Subsection (1)(a), that the commission or department: (i) received the report described in Subsection (1)(a); and (ii) may initiate or maintain a disciplinary proceeding on the basis, in whole or in part, on the facts contained in the report described in Subsection (1)(a). (2) (a) The department may provide the notice required under this section orally, if after the oral notification the department provides written notification. (b) The department may provide the written notification described in Subsection (2)(a) outside the time periods required under this section. (3) The department shall maintain a record of a notification required under this section that includes: (a) the name of the person notified; (b) the date of the notification; and (c) the type of notification given. (4) (a) The department may issue an order to show cause if the department receives a report described in Subsection (1)(a), containing facts that could support a finding that the person subject to administrative action violated: (i) this title regarding necessary licensing requirements; or (ii) a commission rule regarding necessary licensing requirements. (b) A necessary licensing requirement described in Subsection (4)(a) includes: (i) maintaining an approved, licensed premise; (ii) maintaining insurance; (iii) maintaining a bond; (iv) following the requirements in Section 32B-1-304, regarding qualifications; (v) maintaining required store hours; (vi) failing to utilize the license issued; or (vii) transferring a license in violation of Chapter 18, Change of Alcohol License or Location Act. (c) The department's issuance of an order to show cause in accordance with this Subsection (4): (i) does not initiate a disciplinary proceeding; and (ii) is not subject to Title 63G, Chapter 4, Administrative Procedures Act. (5) The department is not required to provide notice as described in Subsection (1)(b) if the person subject to administrative action is staff.