Restaurants Implore Newton To Slash Liquor License Fee

NEWTON, MA — Restaurant owners in Newton are imploring the city to go forward with a proposed slash to liquor license fee that could help ease their financial concern amid a pandemic that has left them scraping by, despite pushback from the city's lawyer and financial team.

In September, the Board of License Commissioners eyed cutting the liquor license fee by 50 percent, as some other communities have. But, the city's law department said that could violate the Anti-Aid Amendment of the Massachusetts Constitution.

"We're asking for a one time, 50 percent reduction to liquor license fees," said Newton-Needham Chamber of Commerce president Greg Reibman.

It is one of the ways the city could really help restaurants at a time when 1 in 5 restaurants have closed this year more than 50 percent of businesses have had to take some federal aide, and many more are predicted to shutter. The chamber had a lawyer look into the amendment, which seems to be geared for state money, and the attorney said they didn't agree with the city's interpretation.

"We don't understand why this lawyer sees it differently," Reibman said.

City Council President Susan Albright was behind the original proposal in front of the license commission for the reduction, and some 16 other city councilors signed on. When the city's lawyer raised the flag, she postponed the vote. The commission is set to take it up Tuesday night.

In plea before the city council last week, Reibman and a number of business owners took the better part of an hour to illustrate how dire the situation was for Newton's restaurants. Reibman said latest flag on the field for the licensing commission illustrated a broader issue for restauranteurs in Newton.

"The city, over all, has been slow and reluctant to come to the aid of our restaurants," Greg Reibman the president of the Newton-Needham Chamber of Commerce told city councilors Thursday in a plea for help. "We are not asking for a major relief package."

The city has repeatedly pointed to efforts - such as creating more picnic table space in the parking lot in Newton Centre - to help the restaurants weather the storm.

In a letter taking a position against cutting the liquor license fees, the city's finance team said the cuts would cost the already cash-strapped city.

"The proposal would result in approximately a loss of $200,000 for the Calendar 2021 year," said Chief Operating Officer Jonathan Yeo and Chief Financial Officer Maureen Lemieux.

"While a 50 percent liquor license reduction would save a restaurant $1300-$1700 next year, the nearly $200,000 in lost City revenue represents 3-3.5 staff salaries," they wrote. "The City of Newton must balance its budget each and every year (unlike the Federal government) so difficult cuts in personnel or services would be required."

The two listed what they called "substantial" steps the city had already taken to help restaurants, including permitting sandwich boards on sidewalks, placed 24 picnic tables and benches near restaurants across eight of the 13 village centers, allowed restaurants to use their own parking lots or the sidewalk directly in front of their buildings for outdoor seating, let those who already had liquor licenses have a faster process to apply to extend the area that was considered their property, started allowing table service to expand to on-street parking, and the city installed 33 barriers free to restaurants, which the cultural team had painted by local artists, and gave out $10,000 and $15,000 grants for small business recovery from the state.

But Reibman rattled off ways that other Massachusetts communities had reached out to help restaurants: Needham has cut common victual fees, East Long Meadow launched a program to beautify restaurant areas with art, Gardner created downtown outdoor dining opportunity, Greenfield created outdoor dining in seven locations, Marblehead provided outdoor tables chairs, Boston has waived the cost of permits for propane heaters. Arlington and Cambridge have started a campaign, posting signs around town to encourage people to dine locally.

And then, right next door there's Waltham, he said.

The city has opposed fee cuts that other municipalities have supported or approved, they've been reluctant to adapt creative solutions such as outdoor dining, he said pointing to Moody Street in neighboring Waltham, where the city worked with local restaurants to come up with a unique solution.

The restaurants owners in Newton say they have felt frustrated when they bring ideas to the city only to get shot down, even as around the commonwealth other municipalities appear to be supportive of restaurants.

"Although Newton has done a few things, it hasn't been as flexible as other communities," said Reibman. "It's true and there isn't a once size fits all save, but from our perspective, we mostly feel like we're hearing 'no' when ever we're proposing ideas."

Seana Gaherin of Dunn Gahrins said restaurant owners and city councilors had been working on the proposal to cut the liquor licenses for weeks, before the city's lawyer came back in the last hour just before the vote last month to raise concern.

"She just kind of shot us down," said Gaherin, expressing frustration. "Right now we need the local government to take care of us, and we need you like we've never needed you before."

The money, a little less than $2,000, could help go toward pay roll, buy protective gear and help pay bills, said restaurant owners

And working together, say restaurant owners is the key to staying open and helping to keep the village centers vibrant. The Paycheck Protection Program kept a lot of restaurants open, said restaurant owners. More than 2,000 businesses in Newton participated in some fashion during the shutdown, but they are certain, if more help doesn't come restaurants will be gone by the Spring.

"We are really facing a calamity and a crisis," said Reibman.

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