Alcohol in independent living facilities

Minnesota’s new "Grandparents’ Happy Hour" law allows nursing homes, assisted living and boarding care facilities to serve alcohol during organized social events. The law does not apply to other multi-unit residential housing facilities, including independent living facilities.

Nursing homes, assisted living and boarding care facilities are heavily regulated and must hold a specialized license from the Minnesota Department of Health subject to additional health and care-related licensing requirements. Independent living communities generally operate under standard real estate and tenant laws. Independent living facilities must also follow standard liquor laws related to alcohol consumption and display.

General rule

Minnesota Statute § 340A.401 requires a liquor license or permit when a person directly or indirectly:

• Sells alcoholic beverages.
• Keeps alcohol for sale.
• Charges for possession of alcohol.
• Otherwise disposes of alcoholic beverages as part of a commercial transaction.

Independent living facilities cannot provide alcohol to tenants, charge tenants for alcohol, maintain alcohol for tenant use, or allow the consumption of alcohol in common areas without proper authorization.

Applicable licenses

There are two lawful options for independent living facilities that wish to allow alcohol in common areas.

Independent living facilities may not purchase, store, provide, distribute or allow the consumption of alcohol by individuals without proper licensing or permitting authority. Independent living facilities may lawfully allow alcohol in common areas by:

• Obtaining a consumption and display permit: Allowing individuals to bring their own alcohol for personal consumption at events.
• Contract with a licensed caterer: A licensed caterer may provide alcohol service as part of a catered meal event.