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11-22-95 Council Minutes
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11-22-95 Council Minutes
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MINUTES <br />CITY COUNCIL <br />NOVII~SBER 22, 1995 <br />might. LaValle was not sure if a general business <br />license was the answer. <br />Fahey suggested that to license every business in the <br />City would be an administrative nightmare. Liquor <br />businesses are licensed so if a policing problem <br />occurs, cities have the authority to shut the business <br />down. Fahey stated that he appreciated the burden that <br />an increased license fee puts on a business, but <br />pointed out that the fee has not been increased since <br />1982. Fahey suggested that perhaps the most favorable <br />licensing structure is that of Vadnais Heights'. Their <br />fee is based on a ranqe of square footages. Based on <br />Vadnais Heights~ fee schedule, Gordies would pay $2,500 <br />and Saxon and Hoggsbreath would pay $5,500 each. The <br />average fee would be $4,300. Fahey felt that the <br />liquor license fee needed to be increased. To what <br />level is open for discussion. Fahey felt there was a <br />difference between a liquor establishment and a general <br />business, and indicated that he did not want the City <br />involved in everyone's business more than necessary. <br />Cossack stated that he wanted to see a fair system, and <br />understands that the liquor license fee needs to be <br />increased. However, there are other communities that <br />have general business licenses. <br />Fahey pointed out that licensing is another source of <br />revenue, and agreed that in the case of liquor <br />licensing it is a sin tax. Fahey felt that licensing <br />has changed from a control mechanism to a revenue <br />mechanism. <br />Cossack did not believe a liquor business should be <br />taxed any higher than any other business. Cossack <br />reported that the nature of the business has changed <br />where a liquor license is not the exclusive right it <br />once was. <br />Pedersen asked the cost of a beer in 1982 versus 1995. <br />Cossack pointed out that profits have decreased because <br />of the "2 for 1 Specials" of today. Cossack reported <br />that he has not increased the price of a drink in the <br />past three years. Prices cannot be increased when <br />business is not good. However, expenses keep rising <br />along with property taxes. <br />Joe Vitale, Venetian Inn, did not believe the liquor <br />license should be based on square footage. Vitale <br />stated that he realizes that liquor license fees have <br />8 <br />
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