Peabody City subcommittee backs M.G.L. c.138, §12D to allow wine‑and‑malt licenses to convert to all‑alcohol

The Peabody City Subcommittee for Legal Affairs on Thursday voted 5‑0 to adopt the assistant city solicitor’s recommendation to permit on‑premise wine‑and‑malt beverage licenses to convert to all‑alcohol licenses under Mass. Gen. Laws, Chapter 138, §12D.

Assistant City Solicitor Lashway told the subcommittee that if the council adopts section 12D, wine‑and‑malt on‑premise licenses (restaurants and bars) could apply to change category through the local licensing board and the Alcoholic Beverages Control Commission (ABCC). "The city council has the opportunity to vote and adopt a new statute, Mass General Laws, Chapter 138, section 12D," Lashway said, summarizing the legal authority and application process.

Lashway said conversion applicants must file a change‑of‑category application, which requires advertisement, abutters' notification and a hearing before the licensing board, and that the ABCC must approve the application. He told members the converted all‑alcohol license would not alter the city’s quota and would be nontransferable; to transfer later, a license would have to be converted back to a beer‑and‑wine (wine‑and‑malt) license before sale.

The solicitor provided local quota and fee figures: "As of the end of January there are three on‑premise wine and malt beverage licenses issued currently and there are eight available," Lashway said. He added there are two available on‑premise all‑alcohol licenses and cautioned that availability changes over time. Lashway said the renewal fee for an on‑premise wine‑and‑malt license is $1,650 and for an on‑premise all‑alcohol license is $2,250, a difference that he described as roughly $600 of additional annual revenue per converted license.

Councilor Dagel told the panel the explanation answered his questions and said he supported the change, citing concern for local "mom and pop" businesses and the evolving hospitality industry. Councilor Hawkman asked whether the issuance standard for a wine‑and‑malt license differs from that for an all‑alcohol license; Lashway replied "the standard is the same. You have to show public need," and said the licensing board would adopt implementing rules to clarify procedure.

A councilor moved to adopt the assistant city solicitor's recommendation. The subcommittee conducted a roll call vote; Councilors Dagel, Gamash, Hawkman, Turko and Chair Rosenol voted yes and the motion carried 5‑0. The single agenda item concluded and the subcommittee adjourned.

The transcript records attendance and the subcommittee discussion and vote; the record does not show a named mover for the motion and does not specify when (or whether) the matter will next appear on the full city council agenda.