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S 3004Alcohol

Alcoholic Beverages - Licenses Generally

This bill allows the town of Scituate to issue three Class A liquor licenses, bypassing standard population-based limits.

Held for study
Population
Affected
15
Introduced Mar 4, 2026Committee Senate Special Legislation and Veterans Affairs

Plain-English Summary

This legislation amends existing Rhode Island general laws regarding the issuance of liquor licenses. Specifically, it grants the town of Scituate an exemption from the standard population-based limits on "Class A" liquor licenses (typically package stores). Under this bill, Scituate is explicitly authorized to issue a total of three Class A licenses, regardless of the town's population count or the formulas that usually dictate how many such licenses a municipality may hold.

For younger readers

In Rhode Island, there are rules about how many stores can sell alcohol in a town. Usually, the number of stores allowed depends on how many people live there. This new rule changes that just for the town of Scituate. It says that Scituate is allowed to have exactly three stores that sell alcohol to take home, no matter how many people live in the town. It gives the town permission to have these three stores even if the old rules said they couldn't.

Who & Where It Applies

Impacted groups
Scituate residentsLiquor store ownersEntrepreneursScituate Town CouncilDepartment of Business Regulation
Impacted communities
Scituate

Constitutional & Fiscal Check

None Likely

Estimated cost
None
Estimated revenue
Amount unknown

Bill Analysis

Both viewpoints
For Progressives
  • Empowers local municipal government to make specific economic decisions that fit their community needs rather than relying on broad, one-size-fits-all state formulas.
  • Could stimulate the local economy in Scituate by creating opportunities for new small businesses to open and operate, potentially creating local jobs.
  • May reduce the need for residents to drive longer distances to neighboring towns for goods, potentially lowering individual carbon footprints associated with travel.
  • Increases the density of alcohol outlets, which public health studies often correlate with increased rates of substance abuse and associated social harms.
  • Creates a legislative "carve-out" for a specific town, undermining the concept of uniform state regulations designed to ensure equity across all communities.
  • Prioritizes commercial expansion and revenue over community wellness by bypassing population ratios that were intended to limit the saturation of liquor stores.
For Conservatives
  • Reduces state-level bureaucratic restrictions on business growth, allowing the market to determine the viability of new enterprises rather than government formulas.
  • Asserts the rights of the local municipality to manage its own commercial affairs without interference from centralized state mandates.
  • Expands economic freedom by creating new opportunities for entrepreneurs to open liquor retail businesses within the town.
  • Undermines the rule of law by creating special legislative exceptions rather than adhering to a consistent standard applied to all towns.
  • May act as a "slippery slope" that encourages other municipalities to petition the state for special exemptions, leading to a chaotic regulatory environment.
  • Could be viewed by social conservatives as unnecessarily increasing the availability of intoxicants within the community, potentially conflicting with traditional family values.

Votes

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Full Bill Text

Changes to existing Rhode Island law · 4 additions

SECTION 1. Section 3-5-16 of the General Laws in Chapter 3-5 entitled "Licenses Generally" is hereby amended to read as follows: 3-5-16. Maximum number of licenses. (a)(1) The department of business regulation shall have the right and power to limit the number of licenses of each class. The limit shall not exceed the maximum number, if any, of any class of license that is fixed by the licensing boards within their respective towns or cities.

(2) The number of Class C licenses in any town or city shall not exceed one for each one thousand (1,000) of its inhabitants.

(3) Every city and town may grant in any year renewals of any license of Class A in operation prior to April 28, 1969, except when renewal of that license is refused for cause, but no further new and original licenses of Class A shall be granted until the number of licenses of Class A outstanding in any city or town has been reduced to less than one for each six thousand (6,000) of its inhabitants (one for each four thousand (4,000) of its inhabitants in any city or town with less than twenty thousand (20,000) inhabitants), as determined by the last census taken under the authority of the United States or the state, by cancellation, revocation, or the failure of holders of those licenses to apply for renewals. After that reduction to less than one for each six thousand (6,000) inhabitants (one for each four thousand (4,000) inhabitants in any town or city with less than twenty thousand (20,000) inhabitants), licenses of Class A may be granted in any year by any city or town only up to a total not exceeding one for each six thousand (6,000) of its inhabitants (one for each four thousand (4,000) of its inhabitants in any town or city with less than twenty thousand (20,000) inhabitants) as determined by census as required in this subsection. However, two (2) Class A licenses may be issued by every city or town of the state irrespective of population and, until the qualified electors of any city or town shall vote to the contrary, one Class A license may be issued in every city or town in this state unless otherwise ordered by the city or town council. Any Class A license issued to or held by a Class E licensee pursuant to the provisions of §  3-7-5 shall be included in the total of, and subject to the limit upon the number of, Class A licenses which may be granted by any city or town under this section.

(b) The transfer of any existing license from the holder of this license to another person shall not be considered as the issuance of a new license under this section.

(c) The several cities and towns, except those cities and towns that had in effect on June 1, 1971, a limit on the number of retailers’ Class B or D licenses, shall not issue any new retailers’ Class B or D licenses until May 1, 1972. The provisions of this section shall not apply to any application filed on or before May 30, 1971.

(d) Notwithstanding the provisions of subsection (a) of this section, irrespective of the population of the town of Smithfield, it is expressly authorized to issue a total of five (5) Class A liquor licenses.

(e) Notwithstanding the provisions of subsection (a) of this section, irrespective of the population of the town of Scituate, it is expressly authorized to issue a total of three (3) Class A liquor licenses.

SECTION 2. This act shall take effect upon passage.