Local Policy Formats

For a discussion of the role of local jurisdictions in alcohol control policy, please see: The Legal Framework for Alcohol Regulation in the United States.

Although the 21st amendment to the U.S. Constitution gives primary responsibility for alcohol control to the individual states, many states delegate some of this authority to local jurisdictions. The degree of local involvement in alcohol control varies widely across and within states, as do the control approaches taken by local jurisdictions.

Described below are several of the policy formats, or mechanisms, employed at the local level to restrict the sale of high-alcohol beverages. These mechanisms are often overlapping or used in combination; for example, a license condition may be imposed as part of a voluntary agreement, or of a conditional use permit. In turn, the authority for granting the conditional use permit may be given by the city’s zoning code, which may be set forth in its ordinances. The policies which we consider to be “local” may have been enacted by the local jurisdiction, or by the state Alcohol Beverage Control agency (ABC) on behalf of a specific local jurisdiction. In all cases, the impetus for the policy originated within the local community.

Administrative Rule: An administrative rule is a statement that interprets law or policy or describes the requirements of an agency, such as an alcohol beverage control agency.  The agency or its head has the authority to carry out the terms of the law creating the agency as well as to make rules and regulations for the conduct of business before the agency.  This authority is distinguishable from legislative authority to make laws and usually derives from a legislative grant of authority to the agency.

Alcohol Impact Areas and Moratorium Zones:  Alcohol Impact Areas (and the similar Moratorium Zones) are used to address area-wide, alcohol-related problems by specifying how alcohol may be sold in a designated area. An Alcohol Impact Area (AIA) is a geographic area within a city, town, or county that is adversely affected by chronic public inebriation or illegal activity associated with alcohol sales or use. In order for the Alcohol Beverage Control agency (ABC) to recognize an area as an AIA, the local jurisdiction must describe the boundaries of the AIA, document a pervasive pattern of chronic public inebriation or illegal activity associated with alcohol sales or use within the proposed boundaries, show that this pattern is contributing to the deterioration of the quality of life within the area or threatens the welfare of residents and visitors, and make a good faith effort to resolve the problem through voluntary efforts for at least six months.  Once an area is recognized as an AIA, the ABC may place conditions or restrictions on off-premise licenses such as restrictions on the hours of operation and restrictions on the sale of certain products. [See examples of Alcohol Impact Areas] [See examples of Moratorium Zones]

Conditional Use Permits (CUPs)/Zoning Codes:  Local governments use zoning powers to restrict uses of land that may harm the public. Zoning ensures that compatible land uses, such as housing and schools, can locate near each other, while non-compatible land uses, such as housing and heavy industry, can be separated. Conditional Use Permits (CUPs), sometimes called “special use permits,” allow governments to make exceptions to the zoning code, allowing uses of land that would otherwise be prohibited, provided the property owner meets certain conditions.

In many cities, alcohol retailers must obtain a CUP in order to operate in certain areas. Often the CUP process includes a public hearing, whereby neighbors may voice their concerns about the proposed license. This requirement gives the city the flexibility to determine whether the alcohol outlet will be a benefit to the community and compatible with neighboring land uses. It further provides the city an opportunity to impose operating conditions on the license (such as restrictions on the sale of certain products) in order to avoid potential problems posed by the use. [See examples]

Injunctions: An injunction is a court order prohibiting someone from taking a certain action. In the area of alcohol control, for example, since local governments have the authority to abate public nuisances, a city may file a court action seeking an injunction in order to force the owners of a problem liquor store to comply with certain conditions.  If the owner fails to comply, the city may seek penalties such as fines, license suspension, etc. [See examples]

License Conditions:  Conditions are sometimes placed on licenses to ensure that the operation of an alcohol outlet does not adversely affect the health, safety and welfare of a community. They describe specific conditions under which the retailer may operate. For example, they might require the retailer to open later in the day, to improve the lighting on the grounds surrounding the store, or to stop selling large single bottles of malt liquor. License conditions are most often imposed in high crime areas, in areas over-concentrated with liquor stores, and on retailers who have not lived up to operating standards in the past. They are generally imposed by the licensing authority (e.g. the ABC or the city council) on new, renewed, or transferred licenses as a result of concerns brought by the community or local law enforcement. License conditions may be applied on a case-by-case basis to individual licenses as a part of a voluntary agreement or a Conditional Use Permit, or they may be applied systematically to all licenses within certain problematic areas of the city. [See examples]

Ordinances:  An ordinance is a law passed by a municipal government, such as a city, town, village, or borough. The power of municipal governments to enact ordinances is derived from the state constitution or state legislation. Municipalities may enact ordinances to protect the health, safety, and welfare of their people, provided they are not in conflict with state or federal law. The scope and purpose of ordinances is broad, encompassing such areas as police and fire protection, public works and land use.

Local ordinances have been used to restrict the sale or use of high-alcohol products in a variety of ways. Ordinances may include language that specifically prohibits the sale of certain products in designated areas. Examples include bans on glass containers in parks and on beaches, and bans on open containers in public areas. (While these ordinances typically apply to all alcoholic beverages, many were written with the intent of restricting beverages associated with public drinking and broken glass, such as large bottles of malt liquor.) Ordinances may also authorize the city council, zoning department or licensing agency to impose operating conditions on a “case-by-case” basis during the licensing process. That is, licensing staff may be authorized by ordinance to review each license application individually and to apply greater restrictions on outlets that have not complied with alcohol control regulations in the past. [See examples]

Voluntary Agreements:  Restrictions on the sale of high-alcohol products are sometimes achieved through the use of voluntary agreements. Voluntary, or cooperative, agreements are negotiated between the alcohol retailer, the licensing authority (e.g. the ABC or the city council), and/or interested third parties, such as community groups or local residents. For example, in response to residents’ concerns about public drinking in the neighborhood, a retailer may voluntarily agree to refrain from selling single containers of malt liquor.

Voluntary agreements can facilitate the licensing process and resolve contested issues in lieu of more formal action. If the parties can come to an agreement that accommodates the needs of both sides, they may avoid a formal public hearing that could result in a decision by the licensing authority to deny or grant an application. A voluntary agreement may cover a specific business practice or wide range of business operations. In some cases, a good-faith attempt to resolve issues on a voluntary basis is a required first step before a city may pursue binding legislation. [See examples]