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Resolution RS2020-210

A resolution expressing the Metropolitan Council’s support for SB2484/HB1645 currently pending before the Tennessee General Assembly which, in part, authorizes local governments to set fee amounts for beer permits and privilege taxes on beer.

WHEREAS, Senator Steve Dickerson of Nashville, Tennessee and Representative Darren Jernigan of Nashville, Tennessee have announced an intention to introduce legislation before the Tennessee General Assembly which would amend Title 57 of the Tennessee Code Annotated to, in part, authorize local governments to set the amount of the application fee for a beer permit and the privilege tax on beer; and

WHEREAS, upon enactment, this legislation will allow the Metropolitan Beer Permit Board to establish fees and taxes sufficient and appropriate to meet the administrative costs of licensing, regulating, and controlling the transportation, storage, sale, distribution, possession, receipt, and manufacture of beer and the administration of laws and ordinances relating to beer and similar alcoholic beverages; and

WHEREAS, fees currently charged by the Metropolitan Beer Permit Board -- $250 to apply for a beer permit and $100 for annual privilege taxes -- were last adjusted more than twenty (20) years ago during the 1990s and lag far behind peer cities of comparable size. For example, Atlanta, Georgia assesses a beer license fee of $5,000 per location, while Savannah, Georgia assesses a fee of $5,600; and

WHEREAS, adjusting the fees assessed by the Metropolitan Beer Permit Board will improve operations by discouraging unqualified and/or unconscientious applicants who could otherwise easily afford current fees. Increased fees will require greater investment and commitment to local communities by applicants who will stand to lose more from non-compliance; and

WHEREAS, in 1998-1999, the Metropolitan Beer Permit Board generated fee revenues of approximately $280,000 annually. In fiscal year 2018-2019, the Board generated approximately $480,000. During fiscal year 2019-2020, the Board is anticipated to generate $600,000. An adjustment allowing the assessment of sufficient and appropriate fees is expected to generate more than $1,000,000 in revenues for the General Fund.

NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:

Section 1. That the Metropolitan County Council hereby goes on record as supporting the state legislation proposed under SB2484/HB1645, pending before the Tennessee General Assembly.

Section 2. That the Metropolitan County Council further requests that the Davidson County Delegation to the Tennessee General Assembly support SB2484/HB1645, as well as any other such legislation that allows for the assessment of sufficient and appropriate fees and taxes for the issuance and administration of beer permits.

Section 3. That the Metropolitan Clerk is directed to send a copy of this Resolution to each member of the Davidson County Delegation to the Tennessee General Assembly.

Section 4. That this Resolution shall take effect from and after its adoption, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.

Sponsor(s)

Russ Pulley

Legislative History

Referred toBudget and Finance Committee
Public Safety, Beer, and Regulated Beverages Committee

IntroducedFebruary 18, 2020

AdoptedFebruary 18, 2020

ApprovedFebruary 19, 2020

ByMayor Cooper's signature

Requests for ADA accommodation should be directed to the Metropolitan Clerk at 615-862-6770.

Last Modified: 02/20/2020 2:08 PM