By a wide margin, Frisco voters on May 7 turned down an alcohol referendum that would have paved the way for liquor stores and bars in the city.

Although Frisco Chamber of Commerce President Tony Felker said he was thrilled with the outcome of the election, he said the community discussion leading up to the election is driving the need for further exploration of alcohol regulations in the city.

“We won the election, but now we have a lot of homework left to do,” Felker said.

City and community leaders were vocal during the election season about their opposition. They said if the proposition passed, it would have eroded the city’s local control and requirements for restaurants to apply for a specific use permit for private clubs if more than 50 percent of their revenue comes from alcohol sales.

City leaders also objected to the ballot language asking voters to approve “The legal sale of all alcoholic beverages including mixed beverages,” which many called vague and too broad for residents to be able to understand the ramifications if it was passed.

Now that the election is over, city leaders again are discussing how the alcohol regulations in the city might be changed—but in a manner that gives the city the ability to regulate establishments more closely than what the May 7 alcohol referendum would have allowed.

Liquor stores

Felker said when he was a Frisco City Council member 13 years ago, he was asked about liquor stores in Frisco.

In 2013, he said there was no way people would vote for liquor stores in Frisco. However, he said, times have changed, with nearby cities, including Plano and now Allen, allowing liquor stores.

Liquor stores are allowed only in the Denton County portion of Frisco—though none have been established yet—as a result of an election the county held in 2009. Beer and wine can be sold at convenience stores and grocery stores throughout the city.

Allowing liquor stores in the Collin County portion of Frisco would require a petition of signatures, Texas Alcoholic Beverage Commission spokesperson Chris Porter said. After verification from the city secretary, the petition would then go before the council to be called for an election, he said.

Increased alcohol sales

Without a private club license, businesses that sell alcohol in the city of Frisco are required to have a food and beverage certificate from the TABC.

Food and beverage certificates do not allow alcohol sales to exceed 50 percent of an establishment’s revenue.

Felker said he will be talking to businesses to see if the current rule is keeping more businesses from staying open later at night because of a fear of exceeding that 50 percent threshold—and asking if in turn it is keeping Frisco from having more of a nightlife.

Increasing the alcohol-to-food ratio maybe an option to consider as developments such as The Star in Frisco and Wade Park come to fruition, Felker said.

Felker said he has been told by Dallas Cowboys representatives that several establishments that have committed to The Star have retail locations in other parts of the country that operate under a ratio of 60 percent alcohol sales to 40 percent food sales, and that a 50 percent ratio would be a concern.

“We knew with these developments this is going to be an issue, and that has got to play a factor,” Felker said.

Felker said it might be worth considering creating entertainment districts within these developments that would allow the alcohol-to-food ratio to be increased.

Plano’s Shops at Legacy development as well as Historic Downtown Plano allow establishments to apply for a private club permit that sets the alcohol-to-food ratio at 65 percent to 35 percent without going through the city’s specific use permit process. In 2009, Plano City Council approved this measure, which did not have to go through an election.

The city has declined to comment on what the process would be to allow special districts within Frisco.

Exploring options

Frisco City Council Member Bob Allen said the process to potentially adjust the city’s alcohol regulations is still in the early stages.

“I think it’s still coming upon us as leaders to try to figure out what was that message that people were trying to give us [during the election],” Allen said. “From my perspective, I’d be interested in exploring [expanded alcohol options], but it’s still too early in the process.”

Felker said right now it is the chamber and city’s responsibility to research each issue and its process before taking any position in favor of or against expanded alcohol sales.

“We’ll definitely be working on bringing those issues forward working with the city and the council, and if there are options out there, I think it’s part of our duty to listen to those voters,” Felker said.

Felker said he hopes the research and conversation surrounding these issues could be done within the next two to three months.

If the chamber decides to move forward with asking for changes to the alcohol regulations, it could have the necessary steps in place by the next uniform election date on Nov. 8, Felker said.