Officials unhappy with liquor license sales
The Select Board is unhappy with a way members say business owners are profiting off of the town’s liquor licenses.
At its October 16 meeting, the board voted to approve a liquor license transfer from Gold Star Market to a new store on State Road, but not before weighing in on the practice of selling liquor licenses between businesses.
In this case, attorney Greg Demakis said a purchase and sale agreement for $30,000 had already been drafted to purchase the license for R&P Variety and its owner, Krunal Patel, but members called the move robbery and questioned the ethics and morality of the practice.
“It is our license that they are selling to you for $30,000,” said Select Board Member Shawn McDonald. “To me, that’s sheer robbery to you, and to this town.”
Demakis said it is a common practice to sell liquor licenses that are no longer going to be used, noting that although others can apply to take a liquor license given up due to the business no longer selling alcohol, he’s seen cases in which the interested party did not get the license because it’s on a first-come, first-served basis.
“That’s what he’s paying for,” Demakis said. “He’s paying for security.”
Town Administrator David Cressman called the act “welfare for private businesses sponsored by the Commonwealth of Massachusetts,” explaining that the way state liquor laws works gives the licenses value simply due to their scarcity.
When McDonald recommended drawing a line in the sand and voting the proposed change down, Demakis said the new business owner could lose his lease without approval.
The vote passed 3-0, with the stipulation that the new owner must complete Training for Intervention Procedures (TIPS) training before opening. The new store will be located at 710 State Road. Gold Star Market is located at 634 State Road.
The board also voted to approve a new manager for the Time Out Sports Bar when McDonald raised concerns of prospective manager Katelyn Webb and worries that machines alleged to be gambling machines could end up in town.
Webb’s attorney, Adrienne Catherine H. Beauregard-Rheaume, said in the past, Time Out did have one of the machines on its premises and Webb said no machine is currently present at the location.
The machines, manufactured by Nutel Communications, which is owned by Stanley Webb, were litigated in court and determined by the Supreme Judicial Court to not be considered gambling machines, Beauregard-Rheaume said.
Chair Frank Gracie said the board will keep an eye out and deal with issues if they appear down the road.