Brief Description: Changing the formula cap on spirits, beer, and wine restaurant licenses.

Sponsors: Senators Kohl-Welles, Parlette and Keiser; by request of Liquor Control Board.

Senate Committee on Labor, Commerce, Research & Development
House Committee on Commerce & Labor

Background: When liquor by the drink was established by state law in 1949, a statutory limit was set to control the number of establishments that could be licensed for the purpose of selling liquor by the drink. The limit is a formula based upon one license for every 1500 persons.

In June 2005, the number of spirits, beer, and wine restaurant licenses issued across the state was 4108. This number is within 200 licenses of the cap. At the current rate of growth in this license category, the cap will be reached in the next year or so. Once the cap is reached, the Liquor Control Board (LCB) cannot grant license applications for this type of license regardless of the location of the premises.

Summary: The total number of spirits, beer, and wine restaurant licenses that can be issued in the state of Washington shall not exceed one license for every 1450 persons in the state.

Votes on Final Passage:

Senate      45   2
House      97   0   

Effective: June 7, 2006