Council hearing on local option would let Boston beer-and-wine holders swap for nontransferable all‑alcohol licenses

Boston City Councilors and city licensing officials on Sept. 22 discussed a local-option order (Docket 1411) that would let current beer-and-wine license holders convert their licenses to nontransferable all‑alcohol licenses under a 2024 special law amending Massachusetts General Laws, chapter 138.

The hearing, held by the Committee on Government Operations, heard owners from Chinatown, the North End and East Boston describe how access to spirits would improve customer experience and revenue, while licensing staff and the mayor’s office explained the application process, fees and statutory limits.

The change the committee reviewed would allow a Section 12 wine-and-malt licensee to “trade in” that license for a nontransferable all‑alcohol license if the local licensing board holds a hearing and finds public need and the state Alcoholic Beverages Control Commission (ABCC) approves the category change. The order’s language, as summarized at the hearing, says the conversion does not increase the city’s total quota under section 17 or any special act.

Why it matters: Supporters said the conversion would let small restaurants offer a broader menu and capture additional revenue without raising the city’s overall license cap. Opponents, implicitly identified in the hearing, include owners who previously paid market prices for transferable licenses and worry about losing the asset value and bank pledges tied to those licenses.

Business testimony

Mimi and Jason Chan, owners of Dynasty in Chinatown, told the committee that converting would let them serve Chinese rice wine and other spirits now excluded under their beer-and-wine license, improving “authentic dining experience[s]” for celebrations and family meals. “Obtaining this will allow us to offer a more authentic dining experience,” Jason Chan said, adding that staff would be trained in responsible service and the restaurant would enforce ID checks and limit disturbances.

Jennifer Matarazzo, owner of Little Sage in the North End, said the upgrade would raise per‑customer revenue and improve the guest experience at her 40‑seat restaurant with a 10‑seat bar. “If we were able to offer full alcohol, it would just make all the difference with a small business,” she said.

Itchel (spelled variably in the record) Garcia of Angela’s Cafe in Orient Heights described why a nontransferable upgrade poses risks for some operators: the license cannot be transferred if a business must relocate, it cannot be pledged to lenders the same way a transferable license can, and family transfers may be curtailed. Garcia said Angela’s decided to accept a restricted license only after weighing those trade‑offs because of immediate business pressures.

How conversion would work

Kathleen Joyce of the Mayor’s Office of Consumer Affairs and Licensing (MOCAL) and Daniel (“Danny”) Green, executive secretary of the licensing board, walked the committee through the practical steps. Applicants would file an existing “change of category” application (a two‑page form), obtain certificates of good standing from the Department of Revenue and the Department of Unemployment Assistance, hold a community meeting if recommended, and appear before the Boston Licensing Board for a public hearing. If the board finds public need and the ABCC approves, the beer-and-wine license would be changed to a nontransferable all‑alcohol license.

Green emphasized that the nontransferable license is canceled if the business closes and would return to the same pool (restricted or unrestricted) it originally came from, so the conversion does not increase the city quota.

Costs and counts

Officials gave a breakdown of typical upfront costs: a $470 total application cost made up of a $200 ABCC filing fee, a $100 city hearing fee and a $170 advertising fee for the required newspaper notice. On renewals, officials said the annual difference between a beer-and-wine renewal and an all‑alcohol renewal is roughly $1,000; cordial licenses have a smaller difference (about $700 annually). Licensing staff estimated there are roughly 350 beer‑and‑wine license holders citywide (an approximate figure provided at the hearing).

Equity, neighborhood impact and lender concerns

Councilors pressed staff on neighborhood distribution and whether conversions would advantage already wealthy operators or drain licenses from neighborhood business corridors. Officials said they are continuing outreach—biweekly office hours, in‑person info sessions and targeted community meetings—to encourage applications in neighborhoods with low participation. Staff also said they are tracking each license’s origin (ZIP code or neighborhood restriction) so a converted license that returns to the city will revert to its original category.

Staff and councilors acknowledged a standing concern from owners who bought transferable licenses at market value and used them as collateral: converting transferable beer-and‑wine licenses into nontransferable all‑alcohol licenses would remove the marketable asset and could affect outstanding loans or pledges. Licensing staff said those are business and lender questions and advised owners to consult their banks.

Public safety and operational limits

Councilors asked about hours, last-call laws and public‑safety risk. Officials said the conversion does not change permitted operating hours (which are governed by separate processes and state law) and that the city continues to require training, ID checks and other measures at hearings and renewal violations. MOCAL said it is working with nightlife‑economy partners and neighborhood stakeholders on crowd control, video retention policies and other best practices.

Next steps

No vote was taken at the hearing. Chair Councilor Gabriela Colette Zapata said she expects the measure could move through the council quickly but gave no specific floor date. Licensing staff said the ABCC has already updated its change‑of‑category application; if the council adopts the local option, the licensing board can implement the conversion process quickly and accept applications immediately.

Ending: The committee adjourned after roughly an hour of testimony and questions, with councilors urging further outreach to small business owners and staff promising follow‑up for specific cases (including additional assistance to Angela’s Cafe).