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<br /> <br /> Staff Report <br /> <br /> <br />To: Mayor Fischer and Members of the City Council <br /> From: Heidi Heller, City Clerk/HR Manager <br /> <br />Date: April 22, 2026 <br /> <br />Re: 2026 On-Sale Liquor License Fee Increase <br /> <br />Action To Be Considered: <br />Motion to approve, table, or deny the following: <br />1. Approve a 2.0% increase for on-sale 2026 liquor license fees <br />2. Adopt Ordinance 933 amending the on-sale liquor license fees in the Fee Schedule and approve <br />publication of a summary ordinance. <br />(separate motions required) <br /> <br />Background: <br />In 2006, the City Council declared that increases in On-Sale Liquor License and On-Sale Wine License <br />Fees would be tied to annual gross levy increases. This plan continued and worked well for many years <br />until the levy percentage increased, and then the pandemic hit. Liquor license fees were not increased <br />from 2019 to 2023 due to the pandemic, and the Council determined that a new plan for liquor license <br />fees going forward was needed. Staff stated that a smaller annual increase was preferred by the license <br />holders, rather than random large increases, so the Council decided that an annual 2% increase would <br />begin in 2024. <br /> <br />State Statute requires that a public hearing be held to consider increases in liquor license fees. Notice <br />of the proposed increase was emailed to all affected license holders prior to the hearing date. <br /> <br />The current fee amounts and proposed 2% increase for on-sale liquor licenses are as follows: <br /> <br /> 2025 Current Fees 2026 w/2% increase <br />On-Sale Liquor License $5,498 $5,608 <br />On-Sale Liquor License – Billiard Halls only $1,104 $1,126 <br />On-Sale Wine License $794 $810 <br /> <br />*Per State Statute, the fee for an on-sale wine license cannot exceed half of the license fee charged for <br />an on-sale liquor license, or $2,000, whichever is less. <br /> <br />Little Canada currently has 9 full on-sale licenses, 1 on-sale billiard hall-only license, and 0 wine <br />licenses. <br /> <br />Staff Recommendation: <br />Staff recommends the Council approve a 2% increase to the 2026 on-sale liquor license fees and adopt <br />Ordinance 933, Amending the Fee Schedule for 2026 on-sale liquor and wine licenses and approve <br />publication of a summary ordinance. <br /> <br />Attachments: <br />• Ordinance 933 <br />• Summary Ordinance 933