SOUTH JERSEY (KYW Newsradio) — Gov. Phil Murphy says it’s time to update New Jersey prohibition-era liquor laws. He gathered a panel of restaurant owners and civic leaders Thursday for a discussion on how the new laws should look.
Currently, towns are only able to issue one liquor license per 3,000 residents. There are more than 550 towns in New Jersey and more than half of them are small towns with populations under 10,000 and very limited availability for liquor licenses. In many small towns, this creates an insurmountable obstacle for aspiring business owners.
Clinton Mayor Janice Kovach told Murphy she has one liquor license in her town with fewer than 3,000 residents, and she would like for each restaurant owner to get a liquor license if they wanted one.
“For those of us that are looking to continue to support our downtown communities and the economic revitalization, this is absolutely going to be key for us,” said Kovach.
“I could not agree with you more,” Murphy responded.
Related
Murphy heard from restaurateurs like Ehren Ryan, who owns Common Lot in Millburn. He said the margins on food alone make it tough to turn a profit.
“The liquor license for us will diversify our revenue stream. Instead of just focusing on food, we would have another source of income. It will help us stay viable for the long term,” said Ryan.
Murphy also addressed the restrictions on breweries and wineries, saying those businesses should be given opportunities to thrive. Any bill lawmakers come up with must take those industries into account.
Related
“It’s booming in New Jersey, but it’s almost extraordinary that these are booming given the restraints that are put on them,” said Murphy.
“It’s the right thing to do. Just because it’s challenging doesn’t mean we shouldn’t do it.”
Breweries are not allowed to serve food, and they are limited to 25 events per year, making it hard to draw in new customers.
Murphy is considering making changes on all these laws, along with putting license review more in local municipal control, creating liquor license fees and prices based on the size of the business, and returning inactive licenses to municipalities so more of them are available.
Related
Elizabeth, New Jersey restaurant owner and liquor license holder Dan Rios welcomes new competition, and says a thriving downtown is the tide that lifts all boats.
“There’s plenty for everybody,” said Rios.
Some of those opposed to making changes are current license holders who understandably want to protect their investments, as some liquor licenses have sold for $1 million or more.
Murphy says they must be compensated through tax breaks or other incentives.