SUBJECT
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Public Hearing and Introductory Ordinance amending Chapter 5 of the City of Laredo Code of Ordinance. Senate Bill 1008, enacted by the Legislature of the State of Texas, under Section 437.01235, and which became effective September 1, 2025, changes and / or effects the City of Laredo ability to charge certain food service establishments with liquor licensing fees. The City of Laredo currently charges liquor licensing fees to businesses selling liquor and who also is a food establishment.
The City of Laredo will no longer charge any alcohol permitting fees to the following establishments under the following conditions:
1) Food Service Establishments with a valid health permit obtained from the City of Laredo Public Health Department.
2) Establishments that have already paid a fee to operate as a food service establishment to the Texas Department of State Health Services (DSHS) or any other local jurisdiction.
This Ordinance is also amended to update the list of permits and licenses and provide causes for denial and cancellation.
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PREVIOUS COUNCIL ACTION
On July 20, 2009, City Council approved Ordinance 2009-O-113 amending Chapter 5 of the City of Laredo Code of Ordinance to allow the City to issue two-year alcoholic beverage permits and licenses instead of the one year that was currently issued. The Ordinance included amending to update the list of permits and licenses.
BACKGROUND
As of September 1, 2025, Texas Senate Bill 1008 introduced new restrictions on local governments related to municipalities assessment of fees on establishments under Sections 11.38 or 61.36 of the Alcoholic Beverage Code. Senate Bill 1008, enacted by the Legislature of the State of Texas, can now be located under Section 437.1235 of the Texas Health & Safety Code reads as follows:
“Notwithstanding any other law, a county, a municipality, or public health district, including an authorized agent, employee, or department, may not charge a fee under Section 11.38 or 61.36, Alcoholic Beverage Code, the premises is a food service establishment, retail food store, mobile food unit, roadside food vendor, or temporary food service establishment that has already paid a fee to operate to the department or to any county, municipality, or public health district.”
The City of Laredo will no longer charge any alcohol permitting fee to the following establishments under the following conditions:
1) Food Service Establishment with a valid health permit obtained from the City of Laredo Public Health Department.
2) Establishments that have already paid a fee to operated as a food service establishment to the Texas Department of State Health Services (DSHS) or any other local jurisdiction.
This Ordinance also amends to update the list of permits and licenses and provide causes for denial and cancellation.
VIVA LAREDO PLAN ALIGNMENT
Alignment Rating: N/A
Supporting goal(s)/policy(ies): N/A
Summary of alignment:N/A
COMMITTEE RECOMMENDATION
Not Applicable.
STAFF RECOMMENDATION
recommendation
To hold a public hearing and introduce an ordinance incorporating changes to liquor licenses fee charges impacted by Senate Bill 1008.
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Fiscal Impact
Fiscal Year: 2026
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Change Order: Exceeds 25% Y/N: Click or tap here to enter text.
FINANCIAL IMPACT:
Liquor licenses fee revenues will decrease.