Young’s Creek behind The Garment Factory in downtown Franklin. The waterway allows the city to establish a river district, paving the way for businesses to acquire a three-way liquor license if approved. Waylon O’Donnell | Daily Journal
With a lack of available of alcohol permits, the city of Franklin is seeking to establish two riverfront districts.
The need for more permits arose out of the 2020 census, which put the city in a new bracket of permits allowed under Indiana law. Now, Franklin City Council members are considering the riverfront district proposal to put more permits into play for prospective business owners who want to serve alcohol or sell tobacco.
“Prior to the 2020 census results coming out, our census numbers were under 25,000 people,” said Lynn Gray, city attorney. “The significance of that from an alcohol and tobacco licensing perspective was that because we were under 25,000 people, you could take a two-way liquor permit and turn it into a three-way liquor permit by simply asking for it to be converted.”
The city was not granted any additional licenses when it surpassed the 25,000 mark and the population would need to exceed 30,000 to receive more licenses. There are currently no three-way licenses available, said Steve Barnett, mayor.
If the city cannot offer unique restaurants and businesses the ability to go to get a liquor permit, the community may miss out on some development opportunities, Gray said. Businesses like Texas Roadhouse and Iozzo’s Garden of Italy need a three-way license to operate in Franklin, Barnett said.
“If this passes with the city council’s approval, I imagine Iozzo’s Garden of Italy would be the first one to get a three-way license,” Barnett said. “We are not looking to make Franklin a big bar destination at all. Our goal is to simply have quality eating establishments that would want to come here and we can help them attain three-way liquor licenses.”
Riverfront districts are required to be placed alongside a “river,” which is defined by state law as any body of flowing water, Gray said. The area must be within three city blocks or 1,500 feet of water. The Franklin districts would be in a defined area downtown and along U.S. 31, with adjacent bodies of water being portions of Young’s Creek, Hurricane Creek and Canary Ditch.
“There have been a lot of communities that have taken very, very small things that are a lot less than Young’s Creeks and called those riverfront districts,” she said.
Gray said Franklin is not alone in this issue. She said many municipalities use riverfront districts to get more permits to promote growth. Greenwood and Bargersville have both established riverfront districts in recent years.
Potential restaurant owners would only be able to locate within the riverfront district and would have to apply to the Indiana Alcohol and Tobacco Commission to acquire a license. Every business that applies for a liquor license is reviewed on a case-by-case basis.
The riverfront district is yet another way to invest in downtown, officials said. Between 2021 and 2023 capital expenditures and investments in the downtown riverfront district exceeded $19 million. More than $2 million was invested in the US 31 riverfront district during that same period.
The proposed riverfront districts are set for a public hearing at the council’s next meeting on Feb. 21.
