Date: 03/21/2006

Final
BILL SUMMARY for SB06-068

HOUSE COMMITTEE ON LOCAL GOVERNMENT

Votes: View--> Action Taken:
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02:47 PM -- Senate Bill 06-068

Representative Frangas, bill sponsor, explained the provisions of HB 06-068 regarding the transfer of liquor licenses. Representative Frangas responded to committee questions regarding the authority of local governments to transfer liquor licenses under current law.


02:54 PM

Zack Ford, Colorado Licensed Beverage Association, spoke in support of the bill. He spoke to the degree to which the bill interferes with the capacity to for property owners to sell property. He noted the association fears that the prospective proprietor would be rejected by neighbors who don't agree with how the new proprietor would want to run the business. Mr. Ford responded to a committee question noting that neighborhoods should provide input into the use of an establishment but not prior to establishing the new ownership of a property.


03:09 PM

Manual L. Martinez spoke in opposition to the bill. He spoke to his background in liquor license work for the City and County of Denver. He said the bill will apply to the transfer of every retail liquor license, not just those for taverns. He explained the hearing process by which neighborhoods provide input on issuing a liquor license and said the bill would create a whole new needs and desires license process any time a license is transferred. Additionally, licensing authorities now will be able to determine acceptable moral character. He explained that different jurisdictions handle license transfers differently since liquor licensing boards are formed differently from jurisdiction to jurisdiction, but that in Denver, a change in ownership of a property with a liquor license will require a new needs and desires hearing if only one person objects to the change in ownership.


03:26 PM

Mark Valente, Valente's Restaurant, Sanborn & Co., spoke in opposition to the bill. He spoke to how the bill will be detrimental to restaurant owners and sellers. He noted most transactions are conversions in that the establishment is turned from on concept to another (Italian restaurant to French restaurant) and he explained how any transfer of ownership would raise the specter of a needs and desires hearing, even if the transfer is between parents and children.


03:44 PM

Christine O'Donnell, Colorado Restaurant Association, spoke in opposition to the bill (Attachment E). She spoke to the transfer of licensing authority the bill would transfer from state law to local government entities such as liquor licensing boards. She explained how this will result in different standards being approved by the differing liquor licensing boards across the state.


03:47 PM

Max Scott, Oedipus, Inc., spoke in opposition to the bill. He indicated that some of his clients are multiple location larger retailers such as King Soopers and he indicated the bill would also affect connivence stores. He explained the requirements in Denver for various kinds of liquor licenses for different establishments.


03:53 PM

The chair noted that two members had left the meeting to go to precinct caucuses and the bill was taken off the table. The chair announced that witness testimony would continue when the bill was put back on the table and the committee adjourned.