inspection system review 2008 – using risk assessment for compliance activities
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Inspection System Review 2008 – Using Risk Assessment for Compliance Activities. Alcohol and Gaming Division Investigation and Enforcement. Background. Alcohol and Gaming Division (AGD): Liquor Control Act Gaming Control Act Theatre and Amusement Act Smoke Free Places Act. - PowerPoint PPT PresentationTRANSCRIPT
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Inspection System Review 2008 –
Using Risk Assessment for Compliance Activities
Alcohol and Gaming DivisionInvestigation and
Enforcement
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Background• Alcohol and Gaming Division (AGD):
–Liquor Control Act
–Gaming Control Act
–Theatre and Amusement Act
–Smoke Free Places Act
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Background
• 2900 Licensed Premises –1100 in Halifax Region
• 40,000 Inspections–14,000 in Halifax Region
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Background – Compliance Officers• 24 Compliance Officers: –8 Compliance Officers in Halifax area
• Approximately 1500-2000 inspections per officer per year. (excluding Casinos)
• Typically Inspecting:–Liquor Premises–Near full-time staffing at both Casinos
–Bingo–Film
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Background – AGD Focus
• Liquor Licensed Premises:–Underage–Intoxication – Over Service–Patron Accommodation – Over Crowding
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Types of Liquor Licences• Eating Establishment: A restaurant serving: beer, wine, and other liquors to accompany meals.
• Lounge: A premises with an Eating Establishment License serving beer, wine, and other liquors, with or without food service.
• Cabaret: A “large scale” establishment featuring live entertainment, serving beer, wine, and other liquors. (Food service not required, open later)
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Types of Liquor Licences (cont’d)• Beverage Room: A pub style facility serving beer and wine only (no hard liquor).
• Club: Organization with club facilities for members and their guests.
• Special Occasion: Private functions such as weddings, anniversaries, banquets where liquor is given away or community fundraisers where liquor will be resold.
• Special Premises: Nature of business does not allow them to qualify for any of the other forms of liquor licensing.
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Premises - Halifax AreaBev.
RoomCabarat Club
Eating Est.
LoungeSpecial Prem
Other Bingo/FE
Total
Halifax 4 4 22 100 83 47 127 387Dartmouth 3 1 18 30 46 20 126 244Bedford + Area
1 0 14 20 22 10 117 184
Enfield+ Area
0 0 11 14 4 13 83 125
Sackville + Area
0 0 8 11 17 15 76 127
Totals: 8 5 73 175 172 105 529 1067
* For simplicity this presentation will focus on liquor inspections only.
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Background – Why Change?• Dec 2007 – Incidents in DT Halifax identified a need to review our Inspection System.
• April 2008 – Senior Management requested review of inspection system and Halifax Area territories.
• April 2008 – Officers and staff were requested to submit proposals on inspection criteria.
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Scope of Risk Assessment Review• Focus on Halifax Region–8 Compliance Officers (and 2 in Casino Halifax) creates greater flexibility.
–Smaller geographical area per Compliance Officer territory.
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Former Inspection System
• All Liquor Premises scheduled to be inspected once per week.–Pros:
•Consistent – Fairness to ALL Licensees
•Easy to implement/maintain–Cons:
•Large number of premises were inspected more often then required:– Example: Small restaurant, closes each night at 11pm inspected the same amount as a large downtown cabaret or lounge.
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Risk Assessment Review – Goals• System must be fair to Licensees
–Increase in inspection to a premises must be justifiable
• System must be fluid enough to work on a ‘case-by-case’ basis and structured enough to allow for consistent application
• Projected total number of inspections must remain close to current–No additional resources available
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Identifying Risk Assessment Criteria• Review past incidents for trends• Brainstorm ideas from front line staff: Compliance Officers
• Developed the 4 Major Criteria:– Type of license– Size of Establishment:
• Patron Accommodation– Demographics:
• Dance Club vs. Dining– Past/Future Events:
• Non-Compliance, Police Reports, License History, Complaints, Special Events
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Identifying Risk Assessment Criteria
0%
10%
20%
30%
40%
50%
60%
70%
Cabaret Club Eating Estab. Lounge Special Prem.
Current Inspections Compliance Incidents
• Type of License
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Identifying Risk Assessment Criteria• Patron Accommodation:
– Simple Numbers Game: • the more people the greater the risk of incident.
Number of Licenses by Patron Accommodation0-200 200-400 400-600 600-800 800+
Beverage Room 7 1 0 0 0Cabaret 1 1 1 1 1Club 25 33 15 2 6Eating Establishment 168 16 0 0 1Lounge 84 83 22 4 0
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Total Premises and Incidents
0%
10%
20%
30%
40%
50%
60%
70%
0-200 200-400 400-600 600-800 800+
Total Premises Compliance Incidents
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Identifying Risk Assessment Criteria• Patron Accommodation:–More Difficult to Evaluate: AGD records maximum number of people permitted in a premises, however a larger premises may not necessarily have large numbers of people
–However it can be noted: Premises with 500 or more patrons warrant closer attention
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Identifying Risk Assessment Criteria• Premises Demographics:
–Dining Room Atmosphere: Lower Risk•Background Music•Tables•Typically: Single Server per Patron
–Dance Club Atmosphere: Higher Risk•Music as Primary Source of Entertainment/Dancing
•No Tables – Areas of Over Crowding•Less Service Control•More Individuals Under 25
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Identifying Risk Assessment Criteria• Premises Demographics:Dance ClubAtmosphere:
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Identifying Risk Assessment Criteria• Past/Future Events:–Contravention of the Regulations
•Noted by Compliance Officer–Police Reports
•Intoxication, Control, etc.–License History–Public Complaints–Special Events
•Cheap Drinks, Pub Crawls, Special Entertainment
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Applying Risk Assessment
• Need to Select One Criteria to Establish a Baseline Inspection Frequency
• Unanimous agreement, the most significant criteria: Type of License
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Applying Risk Assessment
•Baseline Inspection Frequency:–2 per Week: Cabaret–1 per Week: Lounge/Eating Establishment and Beverage Room
–2 per Month: Club –1 per Month: Special Prem., and Eating Establishment
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Inspections and Incidents
0%
10%
20%
30%
40%
50%
60%
70%
Cabaret Club Eating Estab. Lounge Special Prem.
Current Inspections Compliance Incidents
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Inspections and Incidents - Projected
0%
10%
20%
30%
40%
50%
60%
70%
Cabaret Club Eating Estab. Lounge Special Prem.
Current Inspections Compliance Incidents Projected Inspections
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Applying Risk Assessment• Developed Four Baseline Risk Levels:
• Level 5 - Extreme Situations (Public Safety):– 3 (or more) Inspections per week– 2 (or more) Compliance Officers per Inspection
CabaretLounge/
Bev. RoomClub
Special Prem./Eating Estab.
Baseline Risk Level:
4 3 2 1
Baseline InspectionsPer Month
8 4 2 1
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Applying Risk Assessment - Other• Options for Addressing Other Risk Criteria:–Permanent or Temporary Increase to Inspection Level •Example: Lounge from Level 3 to Level 4
–Targeted Inspection•Specific Day or Time of Risk
–Increasing Number of Compliance Officers•Targeted During Quarterly Sweeps (4-5 Compliance Officers per Inspection)
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Applying Risk Assessment - Other• Patron Accommodation and Demographics:–Permanent Risks:
•400+ Patron Accommodation•Typically Operating Close to Capacity.•Dance Club Atmosphere: Areas of Over Crowding– Action: Permanent Increase of Risk Level, to a maximum Level 4.
–Short Term Risks fall under Past/Future Events
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Applying Risk Assessment - Other• Past/Future Events:–Wide Variety of Higher Risk Events:
•Contravention of Regulations•Special Events:
– Drink Specials ($1 Drinks)– Concert / Live-to-Air
•Loss of Control - Large Scale Fight•Police Report: Multiple Arrests for Intoxication
•Compliance Officer Notes - New/Inexperienced Bar Staff
•Compliance Officers finds Potential Over-Crowding
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Applying Risk Assessment - Other• Past/Future Events:
–Wide Range of Possible Action:•Increase Risk Level for a set period of time or until concerns are corrected
•Attempt to avoid risk all together and raise concerns to Licensee prior to the event
•Coordinating efforts with Police for a joint effort
•Immediate Repeat Inspection: Same/Next Day
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Applying Risk Assessment - Other• Application of the Past/Future Events is Considerably more subjective than “Type of License”
• Therefore:–Any inspections in additional to the Baseline quota must be followed up with an Officer’s report to file explaining the incident.
–A recommendation for a longer term Risk Level Increase will be Evaluated between Compliance Officer and Supervisor
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Risk Assessment Review – Goals• System must be fair to Licensees–Increase in inspection to a premises must be justifiable•Data to support the current change•Report to file for any additional changes in inspection frequency
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Risk Assessment Review – Goals• System must be fluid enough to work on a ‘case-by-case’ basis and structured enough to allow for consistent application
•Monitor and Review is ongoing, no permanent inspection frequencies changes have been made so far however some needs have been identified:– Inspection Frequency for Lounges needs to be broken down to High and Low Risk lounges, consider reducing inspection frequency for lower risk lounges.
– Consider increasing Special Prem. Inspections.
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Risk Assessment Review – Goals• Projected total number of inspections must remain close to current– Before: 13,981– After: 14,259– However showed a clear need for an increased Compliance Officer presence in Downtown Halifax• Before: Only 1 CO was on duty each night in DT Halifax
• After: 2 COs on duty each night in DT Halifax
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Conclusion• Based on information provided by officers, staff, and management, this is an initial step in a new method to conduct our inspections of licensed premises.
• Ultimately this is a culture shift and a change in the way we do our inspections, will take some time.
• Thus far (4 Months in) results have been very positive, still working on developing communications to support the system.