BOSTON — A new report from the Massachusetts State Auditor’s Office is calling for major changes to the state’s liquor licensing system, saying the current process creates an uneven playing field for businesses and communities.
Massachusetts has limited the number of liquor licenses certain cities and towns can issue since 1933, with the caps based on population.
State Auditor Diana DiZoglio said those restrictions can make it harder for businesses to open and drive up the cost of obtaining a license in some communities.
According to the report, business owners have paid as much as $600,000 for a liquor license in Boston, compared with just $2,500 in Cambridge, where the city has more local control over licensing.
DiZoglio said the current system can favor wealthier communities and business owners with greater financial resources and political connections.
“We need a liquor licensing system that is transparent, fair, and gives all of our local businesses a shot at success,” she said. “You shouldn’t need to have unlimited access to money and all of the right political connections to obtain a liquor license.”
The report also estimates Massachusetts could see nearly 500 additional restaurants and 9,500 new jobs if the state matched restaurant rates in neighboring states.
DiZoglio recommended that Massachusetts eliminate state-imposed liquor license quotas and give cities and towns more control over how licenses are issued.
The proposals are recommendations and have not taken effect.
This is a developing story. Check back for updates as more information becomes available.
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