Politics & Government

Businesses Struggle to Meet Liquor License Requirements

Owners say the time investment, expense and constant repairs associated with doing business in Rhode Island make profits hard to come by.

With the Dec. 1 deadline officially passed, many Woonsocket establishments have yet to meet all of the requirements allowing City Hall to issue their annual liquor licenses, but some small business owners point out that the procedures and costs associated with the right to serve alcohol nearly outweigh the benefits.

"There's probably about 100 things you have to do throughout the year," said Steve Davis, owner of the on Mount St. Charles Avenue. Davis's bar has just nine bar stools and jukebox, and occasionally serves food. To maintain these basic operations, Davis needs at least a half dozen permits, from food safety courses to permits for holding a coin operated machine. Twice a year Davis must acquire a Certificate of Good Standing from the state. Hood systems must be cleaned and fire codes must be met. Davis estimated that the liquor license alone cost him over $1,000, and with a total capacity of just 30 patrons, that money doesn't always come easy.

"All of this is fees and scheduled appointments... it's crazy," said Davis. "I don't wish it on anyone, especially the small guy."

Find out what's happening in Woonsocketfor free with the latest updates from Patch.

City Clerk Andrea Bicki is scheduled to update City Council members on the status of all Class BL, BV, C, D and T licenses at Monday night's meeting. The council at their Nov. 14 meeting, contingent on the owners' ability to meet the requirements, which include proof of a fire marshal's inspection; payment of tangible taxes, water and sewer fees; and a Certificate of Good Standing from the state. 

As of Bicki's Nov. 30 communication, 19 Woonsocket businesses had failed to meet one or more of the requirements.

Find out what's happening in Woonsocketfor free with the latest updates from Patch.

Connie Anderson of has found her business on the dubious list again this year, although as in years past, through no fault of her own. Anderson's small art gallery is situated in Le Moulin, a developing mill complex in Market Square. The building was purchased by investor Marie Deschnes in 2007.

Unlike so many city mills, from to the , in which renovation projects were abandoned after the state's repeal of the historic tax credit in 2008, the hundred plus year-old building at 68 South Main St. is occupied, but

"Every year they seem to come up with something different," Anderson said of her landlord's struggle to stay ahead of expenses associated with fire inspections. "Because she's renovating, it just seems there's always something more to do. I can't fault her for it," she said of Deschnes. "People can't afford some of this. Anything that has to do with fire suppression is very expensive."

Anderson holds only a limited (Class T) license for beer and wine and is spared many expenses as a renter, but can sympathize with businesses like Davis's.

"Every few months there's something I have to do, either with the state of Rhode Island or the city," she said. "I can't afford a full liquor license. I am by no means demeaning safety - I get that. But after years of being in business, I can see that some things are just stupid." Anderson's small space, for example, is on ground-level and has nine enormous windows, but still required two additional fire exits.

"When you put up all of these obstacles to progress, it's tough," she said. "People do want to be here."

Brian Lahousse of said that though he was proactive about compliance, his fire inspection was held up over a letter from the state authorizing a variance on the 150-year-old building that houses his family business. The written communication was required to allow the restaurant a pass on the ban on doors that open inwards in establishments that serve alcohol. Lahousse began the process in September and was finally issued the paperwork from the State of Rhode Island just days before the city deadline.

"I think it's a waste of taxpayer dollars to have city people wasting their time with this stuff. 99% of the people are trying their best to get in compliance and for the most part, the fire department has been very reasonable," he said, adding that he considers himself lucky to face such minor issues.

When the deadly 2003 fire at The Station nightclub in West Warwick prompted new regulations in Rhode Island and beyond, Lahousse managed to escape the escalating costs of code compliance. "That morning, on the same day as The Station nightclub fire, I had a brand new fire system put in the building," he said. "I got lucky because the prices skyrocketed. I wouldn't even want to guess what that would cost now."   

"I know some businesses that have had to spend substantial amounts of money in a short time," he said. Lahousse watched as a neighboring North Main Street building owner invested tens of thousands, only to lose a tenant in the race towards compliance.

Davis points out that six small bars closed in the city last year alone. "Your common Joe doesn't have any idea what it takes. Every year, we're losing bars," he said.

One such bar, O'Neill's 27 Tavern, shut down in 2011 and was reopened under new ownership as the . According to Bicki's latest communication, the new bar has yet to receive a fire inspection.

For a list of the Woonsocket establishments not in compliance as of the Nov. 30 update, visit page seven of the attached City Council agenda. Bicki is expected to update the document before tonight's 7 p.m. meeting.

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