Yukon updates its liquor legislation

WHITEHORSE, YK—A person applying for a new liquor license in Yukon could be required to make a capital investment of hundreds of thousands of dollars, under changes to the territory’s liquor regulations that took effect Apr. 1.

The list of changes, aimed at bringing liquor laws up-to-date, are based on recommendations made in 2001 by a review committee, as well as on comments from the public on a draft list of proposed changes made public last November.

A release from the Yukon Liquor Corporation in late February said that under the new rules, the Yukon Liquor Board is required “to consider a capital investment guideline for new licence applications of $250,000 inside the City of Whitehorse and $100,000 in the rest of Yukon, based on assessed property value.”

What this boils down to, is that a licensee could be called on to make such a capital investment if the Yukon Liquor Board needed it for reassurance that the person applying for the licence was a solid operator.

However, it would not necessarily be required, stressed Virginia Labelle, vice-president of the Yukon Liquor Corporation. The Liquor Board looks at a variety of factors in deciding whether to grant a licence.

The board is looking for indications that an applicant is a reputable operator with a solid business plan. A substantial capital investment could be an indication of a long-term business plan.

Fine and penalties for liquor related offences have been increased. For instance, the fine for serving liquor to a drunk person or allowing them in a licensed premise has been hiked from $100 to $500.

The requirement for bars to have hotel rooms available has been dropped and customers no longer have to order a meal with alcohol.

Two sets of licences are now available. A food-primary licence is for an establishment where the primary business is providing food during all hours of operations. It must provide meals. A liquor-primary licence is for a bar, club or lounge where the main business is selling liquor.  It is required to offer food such as hot or cold snacks, appetizers, sandwiches and wraps.

An operator can have two licenses, running a restaurant during the day and turning it into a liquor-primary establishment at night.

Minors are allowed in food-primary premises but not in liquor-primary establishments.However, the new rules do allow minors at least 16 years of age (or younger if they get special permission from the Liquor Corporation and have parental consent) to serve liquor in restaurants, and to enter bars to work or perform.