Board clarifies Chattanooga brown-bag permit: city permit required even with state liquor license

A board discussion at the Chattanooga City Beer Board clarified that venues must hold a city-issued brown-bag permit under City Code chapter 5 even if they hold a Tennessee Alcoholic Beverage Commission (TABC) liquor license.

A board member asked the city attorney whether brown-bagging (allowing patrons to bring their own alcohol) requires a license. The city attorney (Speaker 2) explained that City Code chapter 5 contains the brown-bag permit requirement and that the beer-board staff created a brown-bag application process in the past year to administer it: "they are required to have a brown bag permit," the city attorney said. The board was told that doing so without the city permit is a violation and that the city can perform spot inspections when staff are aware of an event.

Board members sought clarity on whether a venue with a state liquor license automatically may allow brown-bagging. One board member asked for confirmation and the board's discussion included a direct statement recorded in the meeting: "Even if you have a liquor license from TABC, that does not give you a right to brown bag," (Speaker 3). Staff said enforcement relies on awareness and that neighborhood groups or community organizations can request camera reviews or report suspected violations, which can lead to spot inspections.

The board did not take formal enforcement action during this meeting on brown-bag issues but was advised that venues operating brown-bag events without a city-issued permit are in violation of local code and subject to enforcement procedures.