BOSTON – In Boston, liquor licenses are the restaurant industry’s golden ticket. Lawmakers on Beacon Hill are working to make the process for obtaining one more fair.
Liquor licenses can make or break a business’s success. They’re also notoriously difficult to obtain.
Boston’s antiquated liquor licensing system
The system, widely criticized as outdated, has led to a thriving secondary market where liquor licenses are sold from one restaurant to another, a matter of supply and demand that has made it nearly impossible for new restaurants to get in. Unless you have the money.
“Paying half a million dollars, over $750,000 dollars, for a liquor license, nobody can afford that. That’s why there’s been so much disinvestment,” said Senator Liz Miranda.
Miranda is one of the state legislators calling for reform in this area. Miranda represents the Second Suffolk District and said this is more than just alcohol sales.
“This is about dreams becoming reality,” Miranda said. “This is about opportunity. This is about possibility. Communities with thriving businesses that are the backbone of our community are safer, cleaner, healthier. I know that this is the way to build a community that is full of thriving people and businesses, not just to give people a cocktail.”
How the Liquor Licensing Process Could Change
The state determines how many liquor licenses Boston can issue.
On Tuesday, lawmakers from both the House and Senate announced a compromise after months of debate.
They have agreed to issue 225 new licenses, including 195 “restricted” licenses specifically allocated between Boston zip codes. That would keep that license in its assigned neighborhood even if the company goes bankrupt.
The goal, Miranda said, is to give communities of color a better chance to open a new restaurant, thereby increasing economic opportunity in underserved areas of the city.
The bill still needs final approval and is expected to reach the governor’s desk by the end of this week.
