Rome businesses could see an increase in alcohol license rates for 2015 if the City Commission agrees with the Finance Committee’s recommendations.
City Clerk Joe Smith and Finance Director Sheree Shore spoke to the committee about raising certain fees during its regular monthly meeting Wednesday.
The majority of the conversation focused on the staff recommendation that the city increase both the base fees and volume-based fees for alcohol pouring licenses.
After the discussion the committee, which is made up of Commissioners Evie McNiece, Milton Slack and Bill Irmscher, voted to recommend only an increase to the volume-based rates, leaving the base rates the same.
“I think the business community likes the method of paying the fee based on the volume of alcohol they sell, like we do with the rates on our business licenses,” said Smith, whose office is in charge of issuing both licenses.
No set rate increase was agreed on at Wednesday’s meeting, but Smith sent an email to committee members detailing how much extra annual revenue a 1-cent increase in volume rates would create.
City Manager Sammy Rich said while there is some natural growth, with new businesses and restaurants opening this year, a rate increase would create much-needed revenue for the city.
Based on last year’s data, Smith calculated that a 1-cent increase would equal a total of $1,119.50 in extra annual revenue.
Smith also presented a scenario with 2-cent hikes for beer and wine volume sales and 10 cents for liquor. Raising the rate per case of beer to 41 cents from 39 cents, the rate per liter for wine to 44 cents from 42 cents, and the rate per liter of liquor to $2.34 from $2.24, would be an additional $4,519 for the city, based on last year’s data.
“I like to see businesses have some sort of control over what they pay in licenses and fees and this is the best way to do that,” McNiece said.
Base fees for new pouring licenses range from $1,060 for beer and wine to $2,990 for liquor.
Smith said he hopes the committee will specify a set increase prior to the Oct. 27 City Commission meeting, so the full board can vote on it before his office calculates the amount owed by each establishment in November.
The committee also backed the staff suggestion for an increase in alcohol package licenses for beer and wine.
If approved, a retail beer package license would be $850, up from $825, and a retail wine package license would be $2,885, up from $2,800.
A liquor package license would remain $5,000, the maximum allowed by the state.
Smith said there are 54 establishments in the city that have package licenses and 58 that have pouring licenses.
The committee also recommended a 2.75-percent increase on business license rates, and $10 to $50 increases in the rental fees for city-owned facilities, like the Rome Civic Center and City Auditorium.
