Like it or not, in
its latest session the Arkansas General Assembly passed a new law making it
much easier to authorize the sale of alcohol for on-premises consumption in
Benton County. Contrary to some public belief, on-premises consumption is
still only allowed at "private clubs" in Benton County even after
last November's election. The election last fall only authorized the
establishment of liquor stores to sell alcohol for consumption off-premises.
Currently,
establishments serving alcohol in Benton County typically must be organized as
a "private club." Private clubs have a stricter set of rules
than do actual bars. For example, private clubs must buy their alcohol at
retail prices rather than wholesale prices. This means the customer ends
up paying a higher end price since the alcohol has effectively been sold at
retail prices twice. Furthermore, private clubs cannot have alcohol
delivered to their locations. Private club owners must drive to the store
or distributor to pick up all alcohol.
Until now a
referendum election was necessary in order to authorize actual bars, rather
than private clubs, in Benton County.
However, that changes for Benton County under Act 1008 of 2013 which
allows cities and towns to authorize on-premises consumption by ordinance.
Act
1008, which became effective August 15th, now allows a city or town to
authorize on-premises consumption by ordinance, rather than referendum
election. This is a much easier process for authorizing bars than the
previous law. It appears as if Act 1008 was tailored specifically for
Benton County. Act 1008 states as requirements that the county in which
on-premises consumption is to be authorized must have authorized the sale of
intoxicating liquor after November 1, 2012, and must have at least one hundred
Alcoholic Beverage Control Division permits at the time the city or town chooses
to authorize on-premises consumption. Benton County is the only county
statewide we know of that fits these requirements.
The laws governing
the sale of alcoholic beverages in Benton County have undergone a lot of
changes recently. Act 1008 is the latest
development on this front and may be the subject of much debate in the near future.
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