The city of Valparaiso is following the lead of the Indiana General Assembly and revisiting the process for a local business to secure one of the coveted limited number of liquor licenses available for Valparaiso.
At the Aug. 28 meeting, the Valparaiso City Council passed both new criteria for the review and approval of new liquor license applications and also voted to accept new liquor license applications until Sept. 29.
During the 2023 legislative session, the Indiana General Assembly passed an amendment to existing guidelines to increase the number of available liquor licenses from 10 to 15 to create an expanded area defining what is considered “downtown.”
Attorney Patrick Lyp gave a presentation prior to the second reading and final vote for Ordinance No. 11, 2023, which passed with only Councilman Robert Cotton, D-2nd, voting against the ordinance and urging the council to spend more time and consideration before taking action.
“The last time we had discussion about this ordinance was in February and so I’d like to see us as a body take some more time before we move on this,” Cotton said.
Lyp said passage of the ordinance is key to support the city’s downtown strategic plan and encourage the locations and operations of quality restaurants in the downtown area.
“Under Indiana law there is a quota for communities as to how many liquor licenses can be granted at any given time, and it’s set by our population and only revisited every 10 years for this formula based on the census,” Lyp said when he originally introduced the ordinance earlier this year.
“In our case, Valparaiso has 21 of the three-way liquor licenses provided for the sale of beer, wine and spirits for restaurants. These 21 licenses are transferable. The new owner of this property asked about the potential for securing a liquor license which led us to investigate this idea of a riverfront district development in that area, since this type of project would allow for additional liquor licenses which would not count against our original 21 existing licenses.”
Lyp said Monday the new provisions from the Indiana General Assembly are intended to assist small business owners unable to previously secure a liquor license because of cost or lack of availability.
Lyp said as of August, there are nine downtown liquor licenses in use and assigned to the following establishments: Blockhead Beerworks, Blue Point Oyster and Sushi Bar, Don Quijote, Furin, Main and Lincoln, Pikk’s Tavern, Peddlers Pizza Pub, Radius and Ricochet.
Ordinance No. 11, 2023 adopts second amended criteria for liquor license allocation and applicant compliance for the downtown area, including removing the prior reference to “upscale” as a defining description of the type of new and existing dining establishments desired.
“Our new wording is a more general sentiment on quality and that applicants must operate a food-focused restaurant,” Lyp said.
According to the revised process implemented by the city of Valparaiso to apply for a liquor license, city officials provide a posted notice when applications are available for an open license and a deadline to apply.
Upon receipt of applications, city staff conducts an initial review with the city council having the option to appoint a council member to serve as a liaison to participate in the review process. The final compiled review will be shared with the entire Valparaiso City Council for discussion and feedback.
Councilwoman Diana Reed, D-1st, spoke in favor of the review application process which includes more emphasis and weight from the city council.
“I appreciate the council being more involved in this decision making with these licenses, compared to what we have been in the past,” Reed said.
Philip Potempa is a freelance reporter for the Post-Tribune.