HomeMy WebLinkAbout#07 - Credit for On Sale Liquor LicenseSTAFF REPORT
DATE: June 9, 2020
DISCUSSION
AGENDA ITEM: Credit for On Sale Liquor License
SUBMITTED BY: Julie Johnson, City Clerk
BACKGROUND:
Mayor Pearson asked staff to prepare for a discussion regarding potential financial relief for businesses
holding an on sale liquor license in the City.
ISSUE BEFORE COUNCIL:
Should the City issue partial or full credits for On Sale Liquor License fees in 2021?
PROPOSAL DETAILS/ANALYSIS:
On sale liquor licenses are issued to establishments for consumption of alcohol on the licensed premises,
i.e., bars and restaurants. The City has seven licensed on sale establishments at the present time and the
current city license fee is $1,500 per year. In light of the bar/restaurant closures because of COVID 19 this
year, Mayor Pearson would like to have a discussion regarding relief for those businesses.
On March 16, 2020 Governor Walz ordered the closure of restaurants and bars to dine in customers. On
April 18th a bill was passed to allow limited alcohol sales with pick up food orders (not delivery). As of
June 1st restaurants and bars were permitted to reopen outdoor seating only at 50% capacity and by
reservation only.
The full closure period for bars and restaurants was 11 weeks. Staff is unsure how many of the licensed
businesses have been able to reopen with outdoor seating as of June 1st.
FISCAL IMPACT:
The City currently has 7 active on sale liquor licenses. The yearly fee for renewal of each license is $1,500
for 6 of the establishments and $750 for the Lake Elmo Inn Event Center.
ATTACHMENT:
None