CASPER, Wyo. (AP) - A new state law seeks to end the practice of some people of purchasing a liquor license and holding onto it while its value appreciates rather than using it to operate a bar, restaurant or liquor store.
Senate File 14 was passed by the Legislature and signed into law by Gov. Matt Mead on Monday.
Under the old law, license owners could hold onto a permit for up to three years without using it. They could restart the three-year window by temporarily opening a business and then closing it again.
“What you can do is hold it for three years, then call your office a liquor store for three months, then park it for another three years,” Wyoming State Liquor Association director Mike Moser said.
The situation has led to liquor licenses selling on the secondary market for up to $300,000 and has presented a high barrier of entry for entrepreneurs looking to open a bar and even for corporate chain restaurants that require a liquor license, the Casper Star-Tribune reported (https://bit.ly/2mj69Ij).
The new law shortens that time to two years and prohibits license owners from renewing that time period after opening a business.
Wyoming cities can only offer a limited number of full retail liquor licenses, which are needed to operate a bar or liquor store, based on their population. Frustration with the population cap came to a head in Casper over the summer when several entrepreneurs applied to the City Council for a single new license.
Several other bills related to alcohol also passed the Legislature, which ended Friday night.
Cities now can grant more bar and grill licenses, which fall between the uncapped restaurant liquor licenses and the more flexible retail liquor licenses.
Senate File 155 allows cities with up to 20,000 residents to grant six bar and grill licenses, up from three. Cities with up to 30,000 can grant 10, up from four. Cities with over 30,000 people can grant 10, plus one for every additional 7,500 residents.
Another bill effectively eliminated the concept of “dispensing rooms,” which previously restricted where liquor could be served in licensed establishments. Senate File 45 allows liquor to be served anywhere within a licensed building.
A fourth bill changed the requirements for how microbreweries, distilleries and wineries can offer customers samples.
Senate File 13 clarified that manufacturers must actually make the alcoholic product at the location where they offer samples and products for sale.
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Information from: Casper (Wyo.) Star-Tribune, https://www.trib.com
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