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MINUTES <br />CITY COUNCIL <br />NOVII4BER 22, 1995 <br />generate additional revenue. Fahey noted that there <br />are increased services which go along with liquor <br />establishments since bars generate more police calls. <br />Fahey felt that some increase was justified, and noted <br />that he is debating whether or not the fee should be <br />based on a sliding scale for a small establishment <br />versus large establishment. Fahey noted that the Saxon <br />has approximately 26,000 square feet and two bars, <br />versus 1,100 square feet at Gordies. <br />Morelan pointed out that the square footages used for <br />the liquor establishments are at 75% since 25% was <br />factored out for restroom, office space, etc. <br />Fahey noted that the liquor license fee has not been <br />increased for 13 years. Fahey suggested a$250 <br />increase for 1996 and the subsequent year. With that <br />increase, the City's license fee would still be lower <br />than anyone else's. Fahey felt it was not the fault of <br />the liquor businesses that the City failed to increase <br />the fee for the past 13 years. <br />Morelan felt that a 20% increase in the license fee was <br />unreasonable and felt that a 10% increase was <br />preferable. Morelan felt that three consecutive $500 <br />increases was too much. <br />Fahey agreed there was some unfairness when one group <br />is targeted, and noted that part of the reason for this <br />is that a liquor licenses used to be looked on as a <br />valuable asset. However, the liquor business is not <br />the business it once was. <br />Morelan pointed out the supply and demand issue, and <br />stated that the City should charge what the market can <br />bear. Morelan noted that there is one liquor license <br />available in the City. However, no one is knocking <br />down the door for that license. <br />Scalze pointed out that the City has liquor licenses in <br />reserve as an economic development tool should the <br />right business come along. <br />Fahey stated that he would support a more modest <br />increase than what the staff is recommending. Morelan <br />felt that a sliding fee based on square footage and <br />amount of liquor sold was the most fair, but the most <br />difficult to determine. Morelan stated that he would <br />feel comfortable with a$250 increase this year. <br />LaValle suggested a$100 increase each year for the <br />10 <br />