The owner of the Danville location was aware that officials with a restaurant chain like Applebee’s were looking at plots of land where they could locate a business should the city vote to allow limited alcohol sales in restaurants.
When the vote passed, Shelton opted to secure a liquor license for his establishment in 2003.
“It was just something you have to do for survival,” he said. “In the restaurant business, if others are doing it and I don’t, I’m going to lose (customers).”
Although other Pizza Hut locations across the country offer frozen drinks and other alcoholic beverages, Shelton said his is the only one with a full service bar.
It is located in a separate room away from the main dining area, which seats around 121 patrons, according to Shelton.
The owner said his profi! ts have not increased exponentially since he began serving alcohol, but it has “helped maintain our customer base.”
Five years after voting to allow limited alcohol sales in city dining establishments, Danville has brought in four new restaurants; O’ Charley’s, Applebee’s, Woody’s and Beef O’ Brady’s.
Danville’s book of city ordinances has 15 pages dealing with the sale of alcoholic beverages, including a 5 percent license fee on the gross sales of liquor by the drink.
Steve Wolfgang, a member of the opposition movement, proposed that the city adopt an eight percent license fee.
“My deal was, ‘Look, if we’re going to have it, OK,’” Wolfgang said. “This is a democracy. I don’t have the right to impose my personal views on anybody else. I don’t think it’s a good idea, but if the people want it, then let’s generate enough revenue off of! it that we can buy another cruiser or more equipment for the ! police o r put another line for another officer in or whatever.”
Bridgette Milby, alcoholic beverage control coordinator (ABC) for Danville, said the exact percentage of a license fee is not specified in statutes, but is “whatever you feel like reasonably reimburses you for your cost or approximate.”
She added that nine Danville restaurants, a country club and a catering service presently have liquor licenses.
Revenue generated from these licensing fees pay for the ABC coordinator’s salary and helps offset costs for the police department, Milby said.
The passage of the local option also proved beneficial to Danville’s catering businesses.
“When we first had our vote, our caterers in town could not get a license to serve alcohol,” Milby said. “Since we’ve had (the vote), the legislature changed that. Caterers outside of Danville that had licenses in wet territories could come into Danville and ser! ve alcohol, but our caterers who worked here in our town could not.”
In 2002, the year of the local option vote, Danville’s city revenue was $7,578,017, according to information from the Kentucky League of Cities. By 2003, the revenue generated was $8,667,277 while city expenditures were $8,974,857.
Corresponding statistics for 2006 were $9,628,914 in revenue versus $9,500,351 in expenses.
Ben Lowe, owner of Beef O’ Bradys, a family sports pub, said he decided to open a location in Danville in March 2006 because he saw the success Applebee’s and O’ Charley’s were having.
Lowe also operates a restaurant in Lexington, which opened in February 2005.
“I would not put a location anywhere where it’s dry,” Lowe said, adding that the chain has a big NFL following on Sundays.
Since Danville does not have alcohol sales on Sunday, Lowe opted to only be open six days a week, which started ! in January.
“From a standpoint of an overall busi! ness jud gment, it was the right thing to do,” he said. “We just didn’t have the volume.”
Earlier this year, the Danville City Commission voted on an amendment to overturn the prohibition of Sunday sales. It was defeated 3-2.
Lowe said he was disappointed in the outcome.
“I thought they’d see their way clear to change,” he said. “If I’d known that was going to happen, I would not have located there.”
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Source: http://www.glasgowdailytimes.com/local/local_story_304183518.html
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