Liquor by the drink might be allowed in Cadiz soon
by Franklin Clark, Reporter -- fclark@cadizrecord.com
Apr 28, 2010 | 0 0 comments | 6 6 recommendations | email to a friend | print
A bill to reclassify Cadiz as a Class Four City, which was signed by Kentucky Governor Steve Beshear on Monday, April 12, will likely mean that local restaurants will be eligible to sell liquor by the drink this summer.

Cadiz Mayor Lyn Bailey said a city alcohol ordinance is currently being drafted, and will be voted on by the Cadiz City Council next month at its Tuesday, May 4, meeting, and again at its Tuesday, June 1, meeting, and that it will likely take effect on Thursday, July 15, if it is approved by the city council.

“It’s being reviewed right now by an attorney,” Bailey said of the proposed ordinance, which would allow restaurants to sell liquor by the drink. “We’ve gone by all the Kentucky statutes and set this up according to what’s allowed.”

The city will be in chare of collecting alcohol revenue in the city if the ordinance passes, said Bailey, who added that the city’s ordinance will supercede the county’s ordinance, allowing the city to receive tax revenue that the county currently receives.

The tax reason is one of the big reasons for Cadiz being a Class Four city, Bailey said, but he also said that continued economic development is another reason, as is the fact that he and other city officials think Cadiz currently has a population that would support it being classified as a Class Four city.

Right now, it’s state law, not the county ordinance that forbids the sale of liquor by the drink, since Cadiz is currently a fifth-class city, but it will allowed when Cadiz is reclassified as a fourth class city, said Jay Geiger, Trigg County’s Alcohol Beverage Control (ABC) administrator.

“It does make things different if Cadiz is a fourth class city,” said Trigg County Judge-Executive Stan Humphries. “It will change some of the classifications that are allowable within the city and the county.”

Humphries said that if the city’s ordinance passes, the city will have its own local ABC administrator, comparable to the county position Geiger currently occupies.

The city submitted a request in November to change its status. Upgrading to fourth-class requires a population of 3,000, and city officials believed Cadiz had at least that many residents, although the 2000 census reported a lower number.

The resolution that was approved by the city council last year cited an increased population as well as economic difficulties. It postulated that one of the reasons the city is having trouble attracting new large employers is because of its fifth class status.

A bill upgrading Cadiz’s status went through the Kentucky legislature in February and March.

The city’s proposed ordinance also specifies a 6 percent tax on all alcoholic beverages, said Cadiz City Clerk Lisa Rogers. Trigg County already taxes alcoholic beverages at 6 percent, according to an ordinance that was passed by the Trigg County Fiscal Court last December.

If the ordinance passes, the county’s focus as far as alcohol is concerned, will be outside the city limits, said Humphries.
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