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Alcohol-after-midnight ordinance faces changes

July 24, 2013

East Lansing’s moratorium on restaurants serving alcohol past midnight could become permanent in the fall. City council adopted a resolution on March 5 authorizing a 180-day temporary moratorium on approval of restaurants serving alcohol past midnight. The moratorium was enforced to provide staff time to evaluate the approval of downtown restaurants serving alcohol, as well as the overall impact of licensed establishments. The goal is to recommend appropriate policy changes that address those issues, East Lansing Planning & Community Development Director Tim Dempsey said.

Over the past half year, a staff work group composed of 11 members — including the city manager, police chief and city attorney — have examined the number and capacity of licensed establishments and their changes over time, the history of alcohol related incidents and demand on public safety, various code definitions, the current process for enforcing the alcohol requirement, special use permit requirements and efforts to improve restaurants.

After reviewing the data, the staff is proposing amends to sections 8-181 and 8-182 of Division 1, Ordinance 1302. One of the changes would include a permanent moratorium would be placed on establishments in the core downtown that serve alcohol past midnight. Dempsey said the restriction would be tied to maximum patron occupancy of 3,300 for all establishments open past midnight in the core downtown area.

Modifications enforcement of the 50 percent alcohol to food sales ratio, also known as the “50-50 rule.” Currently, a violation results in civil infractions and the issuance of tickets. Violation in the new ordinance would result in suspension, revocation or denial of the business license.

Changes also would result in businesses defined as either a type one or type two restaurant. Type one restaurants would be given a 60-40 alcohol-food ratio, while type two restaurants would be subject to the 50-50 ratio. The definition of the restaurants is based on the style, patron capacity and cost of food in the establishments.

“This is a step in the direction that hopefully accommodates the operators that are here now, encourages public safety, so that we have a downtown that’s safe and appealing to the market,” Dempsey said.

Dempsey said the ordinance will be introduced to East Lansing City Council, and a decision on the changes would be made in either September or August.

Commission member Stephen Wooden asked Dempsey if surrounding cities had similar ordinances. Dempsey responded by saying that although the move is not popular in the Lansing area, it is a trend taking place in communities nationwide.

Commission member Laura Goddeeris brought up concerns that businesses might not want to move into East Lansing if there is too much “red tape.”

“My general sense is that these strategies are much more reactive than proactive,” Goddeeris said.

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