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Wednesday, January 27th, 2010 at 12:00pm

Bills to Watch: HB 223 – Alcoholic Beverage Control Act and Restaurant Licenses, G. Froerer

Posted by Curtis Haring

It is rare for me to utter the phrase “whoa, this is huge” when reading legislation for the bills to watch series.  Usually I expect certain things from certain individuals or parties, and then just rant or praise the bill. But HB 223 – Alcoholic Beverage Control Act and Restaurant Licenses as proposed by Representative Gage Froerer (R – Huntsville – District 8) made me take pause and ensure that I was reading the bill correctly, if only to ensure that I eyes were not deceiving me.

This bill, if it were to pass, would eliminate the population requirement for liquor licenses issued to restaurants and open the liquor license process to the free market – allowing any restaurant to receive a license if they are willing to pay the fee.

For those of you who may not know, there is a limited number of restaurant liquor licenses (and bar licenses for that matter) that the liquor commission can give out to restaurants across the state, and this number is tied to the state population.  In fact, only one license can be distributed per 5,200 people if the restaurant wishes to sell liquor (these laws apply to, say, the Olive Garden). The bill goes further, if a restaurant wishes to sell wine, heavy beer, or beer (but not spirits), it too lifts the population requirement of one license per 9,300 people (these laws apply to that local wing joint you may love).

This bill, just by its introduction, shows that a shift is taking place in our state that reflects the reality of alcohol consumption in our state. For years now we have been flirting with the fact that liquor licenses may dry up – and indeed they did in November of last year. This bill recognizes that supply is below demand – and I would wager it has been for the longest time as many business owners have not even tried to get a license, feeling that none were available.

This bill will not encourage more people to drink, but it will encourage the growth of more businesses, both large and small – businesses that will add much need revenue to our coffers and drive entrepreneurial spirit.  Remember, we are not talking about bars here, we are talking about small family owned restaurants and large chains that still have to ensure that 70% of their revenue comes from food sales and who want to set up shop in Utah, but won’t because they can’t get a license.

This is a good bill, though I am uncertain of its passage.  This is one of those bills where you need to tell your legislators how you feel about this issue – and I just hope you have the same feelings I do towards the bill.

Click here to contact Representative Froerer.


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