City

Published on Thursday, March 26, 2009

Bar owners reactions mixed about proposed increase in liquor license fees


By SHAUN ZINCK
Last updated on 03/25/2009 at 11:35 p.m.

Two DeKalb bar owners are split over the effectiveness of the proposed hike in liquor license fees.

The Northern Star reported on March 5 that the DeKalb Liquor Commission had proposed increases to those businesses holding a liquor license. The proposal will increase the renewal of a Class A license by 30 percent over the next three years.

Jeff Dobie, owner of Fatty’s Pub and Grille, 1312 W. Lincoln Highway, said the increase was reasonably fair.

“We were realistic — we knew an increase was going to occur,” Dobie said. “[The Liquor Commission] compromised with making the increase incremental over 3 years.”

Dobie said the increase will not likely affect the prices of liquor.

“What affects our prices is increased cost of goods,” he said. “The actual cost of manufacturing beer has gone down, but companies don’t decrease their costs.”

Dobie also said the fairness had to come in between the bars and the restaurants. Those holding a Class E license are businesses designated as restaurants, and therefore, he said, have more freedom when it comes to allowing people in their buildings.

Bob Goering, owner of Andy’s Lounge, 317 E. Lincoln Highway, said he would rather have seen the increases happen later when the economy is in better shape.

“In my opinion, with the economy the way it is right now, you don’t raise the cost of any operations,” Goering said.

He also said the fee increases will eventually have to be passed down to the customer.
“We try and cut costs to counter the variables,” Goering said, “But eventually the rise in prices will be inevitable.”

Goering said, like most, struggles in the economy have affected his business, and raising fees now won’t help.

“The market hasn’t disappeared, they’ve just shrunk,” he said. “Students can only afford to come out a couple, maybe even only once per week.”

Calls to several other DeKalb bars were not immediately returned as of press time.

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