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STAFF REPORT <br />TO:Mayor Keis and Members of City Council <br />FROM:Heidi Heller, City Clerk <br />DATE:March 25, 2020 <br />RE:Public Hearing to Consider 2020 Liquor License Fees <br />ACTION TO BE CONSIDERED: <br />Hold the Public Hearing and discuss the 2020 Liquor License Fees. <br />BACKGROUND: <br />In 2006, the City Council declared that increases in On-Sale Liquor License and On-Sale Wine <br />License Fees would be tied to annual gross levy increases for five years. This five-year plan went <br />through 2010, but the Council has continued to use this basis for liquor license increases every year <br />since except for 2018 when the levy was unusually high. A continuation of this practice would <br />result in the following increase of 4.193% for 2020: <br />2019 Proposed 2020 <br />On-Sale Liquor License $5,285 $5,505 <br />On-Sale Liquor License – <br />Billiard Halls only <br />$1,061 $1,105 <br />On-Sale Wine License $763 $795 <br />*Per State Statute, the fee for an on-sale wine license cannot exceed half of the license fee <br />charged for an on-sale liquor license, or $2,000, whichever is less. <br />The following liquor license fees are regulated by State Law, and Little Canada is at the maximum <br />it can charge for these fees: <br />On-Sale Sunday $200 <br />Off-Sale Liquor License $310 or $210 if State conditions are met <br />The State conditions are as follows, and all three conditions must be met: <br />1.The licensee agrees to have a private vendor train all employees within 60 days of hire <br />and annually thereafter in laws pertaining to the sale of alcohol, the rules for <br />identification checks, and the responsibilities of establishments serving intoxicating <br />liquors; <br />2.The licensee agrees to post a policy requiring identification checks for all persons <br />appearing to be 30 years old or less; and, <br />3.A cash award and incentive program is established by the licensee, to award employees <br />who catch underage drinkers, and a penalty program is established to punish employees <br />in the event of a failed compliance check. <br />None of the city’s off-sale liquor license holders have ever taken advantage of the $100 discount.