By Ted Schnell • BocaJump | Feb. 9, 2012
When city officials proposed a 3 percent alcoholic beverage tax during budget deliberations late last year, they also suggested cutting liquor license fees in half to soften the blow on businesses selling the drinks.
The process for cutting those fees begins March 14.
Councilman John Steffen raised the issue Wednesday during a late-afternoon meeting of the Elgin Liquor Control Commission.
“What’s the advantage of that, the purpose, instead of not doing it in front of the City Council?” asked Councilman John Prigge.
“That’s the purpose of the liquor commission,” Steffen responded.
“That’s our function,” added Mayor David Kaptain, the commission chairman.
The commission comprises the Elgin City Council, meaning its membership is identical to the council. The commission, however, meets in the late afternoon just once a month in a City Hall conference room, where it considers such things as liquor license applications or penalties for establishments that fail to adhere to the liquor license requirements.
The council meets in the evening twice a month in the City Council Chambers in City Hall, where its scope of authority ranges from passing ordinances and resolutions, to awarding bids, to entering contracts, to setting the city’s policy on various issues.
Kaptain, acting as the commission’s chairman on Wednesday, said it would begin looking at the fees imposed for the various liquor licenses at its meeting in March in an effort to complete the work prior to May’s annual renewal of liquor licenses.
The City Council approved the 3 percent alcoholic beverage tax as part of the 2012 budget, which was adopted in December. The new tax, which will begin in July, is expected to generate $500,000 in 2012 and $1 million a year afterward. At the time the tax was proposed in November, the city administration recommended a 56 percent reduction in liquor license fees. City officials have said the fee reduction would not be across the board. Specifically, some have cited the costs the city incurs as a result of the 4 a.m. liquor licenses, for example.
The discussions of the liquor license fees came minutes after the commissioners approved an application by Alberto Sanchez, who requested a Class F-1 liquor license for his restaurant, Mango’s Café & Neveria, 300 S. McLean Blvd., Unit L.
The restaurant on the city’s Southwest Side has been open for about a year. Sanchez said the restaurant is open from 7 a.m. to 2 a.m., except in the winter months, when the hours are 8 a.m. to 10 p.m. The restaurant has no bar and seats about 80 people.
Elgin Corporation Counsel Bill Cogley said the new F-1 license is the city’s second. The license allows a restaurant to serve beer and wine and one additional beverage associated with an ethnic theme. Cogley said Sanchez wants to serve margaritas at this Mexican-themed restaurant.
The commission voted 4-1 to approve the license — Commissioners Bob Gilliam and Anna Moeller were absent. Commissioner John Prigge cast the sole vote against the license, but before the vote was recorded, took a moment to explain to Sanchez he was not voting against his establishment.
With the exception of the license for 4 a.m. bars, Elgin’s liquor licenses allow establishments to serve liquor until shortly before 1 a.m. on weeknights, and until shortly before 2 a.m. on weekends. Prigge explained to Sanchez that he believes hours later than 1 a.m. should not be granted automatically with a license, but that they should be earned by the establishment by staying out of trouble for a period.
“… Don’t take it as an offensive thing — just to let you know, I do wish you success,” Prigge told Sanchez. “I’ve heard wonderful things about your food and your restaurant, and I just want you to be sure you understand where I will be coming from on this.”
After the commission vote, Cogley said that on Feb. 22, the City Council would consider an ordinance creating the new F-1 license for Sanchez’s restaurant.
