Two could be put out to bid
By Eileen Oldfield, Staff Writer
Township officials would need to consider the impact of another restaurant or bar and a liquor store on existing businesses before deciding whether to open unclaimed liquor licenses to public bidding.
”I think we just need to be careful,” Committeeman Anthony Ferrara said at Tuesday night’s Township Committee meeting. “I think we as a Township Committee have to take careful consideration. It’s one of the few things we can control as far as new businesses coming into town. … This is where we potentially can.
”We want to either see if the competition’s there and are we going to be putting people out of business. … If there’s enough population where everyone can succeed, that’s one thing. If it’s going to be putting someone out of business, I don’t think that’s something anyone wants to do.”
A presentation by township Business Advocate Gene Strupinsky which suggested opening the licenses to bid as a way to increase revenue in town prompted the comments.
A total of two licenses an outstanding restaurant license and a single distribution license meant for liquor stores could be made available, should the township choose to open bidding on them.
The population of a municipality determines the number of available liquor licenses, with the licenses covering both retail consumption licenses for restaurants or bars and retail distribution licenses for liquor stores. Hillsborough’s population was recorded at 38,817 in 2009, making it eligible for 12 restaurant or bar licenses and five store licenses, Mr. Strupinsky said.
Ordinances in Hillsborough allow for 12 restaurant or bar licenses and four store licenses. The township currently has 11 active restaurant licenses, one outstanding restaurant license that belonged to Famous Dave’s restaurant, and three distribution licenses. In order to award the licenses, the Township Committee would first need to approve putting the licenses out for bid, and determine the conditions of the sale. Conditions could include fees for a bid package, submitting a deposition on bids, and setting a minimum bid, Mr. Strupinsky said. After receiving and announcing the bids, the Township Committee would then decide to accept the bids or reject them. If the committee opts to reject the highest bid, it’s also rejecting all bids below that amount it cannot pick and choose from among the bids, Mr. Strupinsky said.
If the committee accepts the bids, the bidder would go through a background check for the source of the bid funds as well as a criminal background check, he added.
Township zoning ordinances would determine where either location could be.
In addition, an existing restaurant could purchase the unclaimed retail license.
The committee has not made any decision regarding whether the licenses will be put out to bid, so the matter could resurface at a future meeting.

