Working within a system state Senate President Stanley C. Rosenburg described as antiquated, the Massachusetts Senate approved four over quota liquor licenses for Northampton on Thursday.
The bill, already passed by the house, now goes to Gov. Charlie Baker for approval. If passed, the licenses will be awarded to Ibiza Tapas, Local Burger, Sierra Grill and Sylvester’s Fine Foods. All but Local Burger already have wine and malt licenses, but full alcohol licenses would allow them to serve hard alcohol.
The new licenses would be linked specifically to those businesses and are nontransferable, according to the legislation.
The Senate also recently passed a measure allowing four over quota for Easthampton.
In Rosenberg’s opinion, local municipalities should be in charge of granting liquor licenses rather than the State Legislature.
“This is a vestige of our Puritan days putting the state in the position of telling the children what to do,” Rosenberg said Friday.
Mayor David Narkewicz, who worked to craft the bill in late 2014, said Friday that he agrees.
“What we have now isn’t really working,” he said. “It’s not really supporting a positive environment for economic development and growth.”
The bill originally included Hinge, but that license was removed after Hinge closed in December following its owner’s arrest on drug charges.
The state has a formula based on population providing a cap on liquor licenses, but a place like Northampton with a vibrant downtown has a need for many more licenses than allowed by this system, Narkewicz said.
Because the only way a business can obtain a license is through a transfer from an existing business, they have become a valuable commodity, he said.
“People are paying, in some cases, six figures for them,” he said. “I can’t think of any other license you’re allowed to sell. I can’t sell my driver’s license or a contractor’s license.”
In a recent case when a liquor license became available, the city had to perform a lottery for all the businesses that wanted one. It went to Bistro Les Gras on West Street.
Narkewicz said he was glad the Senate approved the legislation allowing for the four over quota licenses, but said it took a long time.
“If you have a restaurant or hotel that wants to come locate here, it is very difficult to say ‘we’ll apply and who knows how long it will take,’” he said.
Further complicating the law is the fact that casinos are exempt from the liquor license caps, Narkewicz said.
Dave Eisenstadter can be reached at deisen@gazettenet.com.