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Committee reopens beach alcohol pilot, agrees to revised revenue-sharing terms
Summary
The Finance and Economic Resliency Committee voted to reconsider a previous concession amendment to allow a one-year pilot for alcohol sales on the public beach under revised financial terms including an upfront payment and an 18/20% revenue-share tier.
The Finance and Economic Resiliency Committee on a 3-0 vote reconsidered a previously approved concession amendment to allow a one-year pilot program for alcohol sales on the public beach and directed staff to return with a favorable recommendation on revised terms.
The motion covers a pilot that would allow alcohol sales in Loomis Park and at the concession building at 20 First Street/Collins Park, so the concessionaire can obtain a state liquor license tied to a fixed premises. Committee members described the proposal as a one-year trial that can be suspended quickly if problems arise.
Why it matters: The committee said the revised terms trade some long-term upside for immediate, guaranteed revenue at a time the city is facing budget pressure.
Key terms and council direction: The committee directed that the revised deal be negotiated under these financial terms: an upfront payment of $250,000 to be applied against future revenue share; an 18% revenue share on gross receipts up to $5,000,000; and a 20% share on receipts above $5,000,000. The committee also directed the city manager be given authority to suspend the pilot on 24 hours’ notice for a period of up to 60 days if problems arise. Commissioners emphasized a guaranteed minimum payment each year rather than a single one-time payment.
Committee discussion and concerns: Former mayor Maddie Bauer and several commissioners voiced operational and public-safety concerns during debate. Commissioners requested an operational plan returning to FERC if the full commission approves the pilot. Committee members repeatedly said the program should be “top shelf,” with strict controls to prevent underage sales and to limit impacts on police and parks staffing.
Next steps: Staff was tasked with negotiating final contract language consistent with the committee directions and returning the item with a formal recommendation to the commission.
Vote: The committee recorded the motion to reconsider and the direction to negotiate the revised terms as passed, 3-0.
