04-26-2023 Council Packet - Laserfiche WebLink

Home Browse Search

STAFF REPORT TO:Mayor Fischer and Members of City Council FROM:Heidi Heller, City Clerk/HR Manager DATE:April 26, 2023 RE:Public Hearing - Consider an Increase in Liquor License Fees ACTION TO BE CONSIDERED: Hold Public Hearing and discuss 2023 Liquor License Fees. BACKGROUND: In 2006, the City Council declared that increases in On-Sale Liquor License and On-Sale Wine License Fees would be tied to annual gross levy increases for five years. This five-year plan went through 2010, but the Council has continued to use this basis for liquor license increases every year and the levy percentage had remained around 3.0%. 2018 had a higher levy at 6.85%, but the Council opted to limit the liquor license fee increase to 3.0% that year. Due to the pandemic, liquor license fees have not been increased since 2019. The 2023 levy is 11.75%, so Council could consider an alternative percentage increase again this year. A continuation of the practices since 2006 would result in one of the following increases for 2023, but Council can opt for any another amount: 2019-2022 3% Increase 11.75% Increase On-Sale Liquor License $5,284 $5,443 $5,905 On-Sale Liquor License – Billiard Halls only $1,061 $1,093 $1,186 On-Sale Wine License $763 $786 $853 *Per State Statute, the fee for an on-sale wine license cannot exceed half of the license fee charged for an on-sale liquor license, or $2,000, whichever is less. Since the levy increases have been getting higher in recent years, Council may want to consider a new plan moving forward for liquor license fee increase amounts, such as the same percentage increase each year. There are currently 8 full on-sale licenses, 1 on-sale billiard hall-only license and 0 wine licenses in Little Canada.