Athens City Code

1. (1) No permit or license authorizing the storage, sale, distribution or manufacturing of beer will be issued when such business would cause congestion of traffic, or would interfere with schools, churches, or other places of public gathering, or would otherwise interfere with the public health, safety, and morals (cross-reference: TCA § 57-5-105(b)). In no event will a permit be issued authorizing the storage, sale, distribution or manufacture of beer to a permit holder within a minimum distance as listed below from any building:
   1. (a) Used as a church, provided a church service is held at the premises at least on one day of each week; or
   2. (b) Used as a school, provided the school is operated by a public school system of the city or the county or is a private school, and such school is licensed and accredited by the state to provide and is providing a kindergarten, elementary or secondary education to students at the building; or
   3. (c) Used by the city or county to operate city or county government or the city or county public school system or public library.
2. (2) Minimum distance requirement.
   1. (a) The minimum distance requirement for the various types of permit holders is as follows:
      1. (i) Caterer: 300 feet.
      2. (ii) Craft Beer Restaurant: 300 feet.
         
      3. (iii) Golf Course: 300 feet.
         
      4. (iv) Grocery store (10,000 square feet or more): 300 feet.
      5. (v) Grocery store (under 10,000 square feet): 500 feet.
      6. (vi) Package store: 500 feet.
      7. (vii) Restaurant: 300 feet.
         
      
      
   2. (b) Excepting any existing buildings currently subject to the previous manner of measuring distance, the distance shall be measured in a straight line between the middle of the main entrance of the building proposed to sell, store, or manufacture beer and the front door of the building from which there must be a minimum distance.
   3. (c) For a special event organizer, in the event the minimum distance requirement in subsection (2)(a) of this section is applicable, the distance shall be measured in a straight line between the center of the main entrance of the building within which the organizer of the special event proposes to sell, distribute, store, dispense or serve beer and the front door of the building from which there must be a minimum distance. For a special event organizer, if the special event is scheduled in an outdoor location and the minimum distance requirement in subsection (2)(a) of this section from certain buildings is applicable, the distance shall be measured in a straight line between the center of the booth or station where beer is proposed to be offered for sale or served by the organizer and the front door of the building from which there must be a minimum distance.
   4. (d) The minimum distance requirement from certain buildings in subsection (2)(a) of this section shall not be applicable with respect to the building of a restaurant permit holder or craft beer restaurant permit holder located within the downtown business district, which is defined as that area within the interior of the boundaries of Baxter Street, Green Street, College Street, Hill Street and Park Street as shown on the map of the city attached to the ordinance from which this section is derived and incorporated herein by reference.
   5. (e) These changes as listed in this subsection (2) shall not affect those businesses which have valid permits on the date of the passage of the ordinance from which this chapter is derived, and, further, would not affect the locations if they should change ownership in the future.
3. (3) The number of beer permits permitted in the city, and the classification thereof, are as follows:
   1. (a) Restaurants.
      1. (i) There shall be no limitation on the number of beer permits issued to restaurants. The term "restaurant" means an establishment having a minimum indoor seating capacity of 30, whose principal business is serving food for consumption on premises. A restaurant eligible for a beer permit shall not have monthly gross beer sales greater than 25 percent of the monthly gross sales of food. Any such establishment which, for two consecutive months or for any three months in any calendar year, has gross beer sales greater than 25 percent of its gross food sales shall have its beer permit revoked. Food sales, for the purpose of this section, shall include the sale of food and non-alcoholic beverages or drinks. Food sales, for the purpose of this section, shall not include the sale of any type of alcoholic beverage, including, but not limited to, beer, wine, or liquor. The term "on premises" is defined as any portion of the building interior and any deck, patio, porch or other outdoor serving area that:
         1. A. Is only accessible from the interior of the principal structure housing the restaurant; and
         2. B. Is fully enclosed by a permanent fence that is attached to the principal structure housing the restaurant, with the fence or wall made of brick, stone, wrought iron, or exterior wood panels with a minimum height of 48 inches with maximum spaces between rods, spindles or boards of four inches and such that a four-inch sphere cannot pass between any rods, spindles or boards. If an emergency exit is required by any regulation, ordinance or law within the fence or wall, it shall be clearly marked as an emergency exit only and used only for this purpose. The emergency exit shall be equipped with an alarm which emits an audible sound when the exit gate or door is opened. The fence or wall shall be permanently affixed to the ground per the building official's recommendation and approval. Any deck, patio, porch or other outdoor serving area and the fence or wall shall comply with any applicable provisions of the building code.
      2. (ii) Prior to any existing or new restaurant adding an outdoor dining area wherein beer may be sold for consumption, the owner of the restaurant and the permit holder shall submit a site plan for the outdoor dining area which meets the requirements of ACC 14-96 to the city regional municipal planning commission for approval. The site plan shall show that the new outdoor serving area meets all requirements of the zoning district it lies within, to include, but not be limited to, parking and land coverage requirements. The site plan shall show that the new outdoor serving area meets all requirements of the landscaping and stormwater ordinances.
   2. (b) Grocery (food) stores. There shall be no limitation on the number of beer permits issued to grocery (food stores). The term "grocery (food) stores" means establishments with the dollar value of their inventory of beer at 20 percent or less of the dollar value of the total inventory. Beer shall not be sold for consumption on the premises of grocery (food) stores.
   3. (c) Package beer stores (off premises). Package beer stores (off premises) are establishments where beer is sold to be consumed off the premises. There shall be one license for every 1,000 population according to the latest official census of the city. Beer shall not be consumed on the premises of these establishments.
   4. (d) Wholesaler/distribution (off premises). Separate permits shall be required for selling at retail, storing, distributing, and manufacturing. Beer shall not be sold or consumed on the wholesaler's premises.
   5. (e) Caterers.
      1. (i) There shall be no limitation on the number of beer permits issued to caterers. The term "caterer" means a business engaged in offering food and beverage service for a fee at various locations, which:
         1. A. Operates a permanent catering hall on an exclusive basis;
         2. B. Has a complete and adequate commercial kitchen facility; and
         3. C. Is licensed as a caterer by the state department of health.
      2. (ii) The permit shall authorize the caterer to sell beer on the premises of the caterer and at such other sites as the caterer has given advance notice to the city beer board through the city manager. With such notice, the off-premises site shall be considered to be within the premises of the caterer for the purposes of this chapter. The permit shall not authorize and the caterer shall not sell beer at a site within 300 feet of a building from which there must be a minimum distance as provided in subsection (b)(1) of this section. In all cases, beer may be sold for consumption only at the permanent catering hall of the caterer or at the site for which the caterer has given advance notice to the city beer board.
   6. (f) Golf course. There shall be no limitation on the number of beer permits issued to golf courses. Beer may be sold for consumption on the premises only, with the premises defined as any clubhouse, pro shop, restaurant, or the playing course itself. No consumption shall be permitted in or on the parking lot.
      1. (i) The term "golf course" means a recreational facility developed for the primary sport of golf, not to be less than nine holes, managed and regularly maintained by the operator of the facility and located on a minimum of 50 contiguous acres. To qualify as a golf course hereunder, receipts from the sales of beer shall not exceed 30 percent of the total gross receipts for two consecutive months or for any three months in any calendar year for the business establishment.
      2. (ii) Any beer consumed on the premises of the golf course, whether within any building or on the playing course itself, must be purchased at the golf course from the operator thereof.
      3. (iii) Any beer on the premises of the permit holder must be sold by the permit holder and consumed on the premises. Beer may be consumed within any building on the premises or the playing course itself. The minimum distance requirement from certain buildings as provided in subsection (2)(a) of this section shall be applicable to a golf course permit holder with the distance measured as required from the nearest corner of any building on the premises where beer may be consumed and the nearest corner of the building from which there must be a minimum distance. In the event the permit holder has a common property line with the owner of any building from which there must be a minimum distance, the permit holder shall provide a fence along that property line with a height not less than six feet and visible space between boards not less than 1 1/4 inch. A planted natural tree buffer or the use of elevated mounds shall serve as an acceptable substitute for the fence. In accordance with the zoning ordinance of the city, the term "buffer strip" means a greenbelt planted strip 30 feet in width. Such a greenbelt shall be composed of one row of evergreen trees, spaced not more than 15 feet apart, and not less than two rows of shrubs or hedges, spaced not more than five feet apart within the row and which grow to a height of five feet or more after one full growing season and which shrubs will eventually grow to not less than ten feet. In the event any part of the playing course is within 300 feet from the nearest corner of a building from which there must be a minimum distance as provided in subsection (2)(a) of this section, that part of the playing course must have along or near its property line the same fencing, planted buffer strip, or elevated mounds, as required above, for that length of the playing course within 300 feet of the nearest corner of the building of concern.
   7. (g) Club. There shall be no limitation on the number of beer permits issued to clubs as defined in this subsection. The term "club" means a nonprofit association as defined and described in T.C.A. § 57-4-102(7)(A) and (B), in effect upon final passage of the ordinance from which this section is derived. Before receiving a beer permit, an applicant must have received a club license issued by the alcoholic beverage commission to serve alcoholic beverages containing more than five percent of alcohol by weight. After an applicant receives a beer permit, in the event the association no longer meets the definition of a club, the beer permit may be revoked. In addition to any other acts or conduct prohibited in this Code or any general state law, the acts or conduct described in T.C.A. § 57-4-204(b)(1), (2), (3), and (4) and (d)(1)(A), (B), (C), and (D) are prohibited on the premises of a licensed club.
   8. (h) Hotels.
      1. (i) There shall be no limitation on the number of beer permits issued to hotels as defined in this subsection (3)(h). The term "hotel," for the purpose of holding a beer permit, means a hotel located within a radius of one mile from the intersection of Highway 30 and the entrance ramp to the northbound lanes of Interstate 75 which has available for occupancy 60 or more interior corridor rooms for paid lodging by guests on a short-term basis, not to exceed seven consecutive days by a guest. The permit shall authorize the hotel to offer and provide beer, to registered guests only, for consumption in a common area or designated meeting or conference room on the premises of the hotel between the hours of 4:00 p.m. and 8:00 p.m. during any day of the week.
      2. (ii) This permit shall not authorize or allow a hotel to offer or provide beer for a charge or fee. This permit shall not authorize or allow a hotel to offer or provide beer to a guest of the hotel for consumption in the guest's rented room. The permit holder shall not allow any beer in the area or room where the holder is providing beer at no charge except for beer provided by the permit holder.
   9. (i) Craft beer restaurant. There shall be no limitation on the number of beer permits issued to craft beer restaurants. A craft beer restaurant shall constitute a separate classification of beer permit from a restaurant permit issued under ACC 8-92(3)(a). The term ‘craft beer restaurant’ means an eating and drinking establishment having a minimum indoor seating capacity of forty (40), providing prepared food for purchase and consumption by patrons on the permitted premises during the permittee’s posted hours of operation, and owned or operated by, or under common ownership or control with, a manufacturer authorized to manufacture beer under applicable federal and state law.
      1. (i) The restaurant establishment and any beer manufacturing operation conducted on the premises shall each meet all applicable federal, state, and local licensing, permitting, zoning, building, fire, health, and land use requirements, including Tennessee Code Annotated, section 57-5-101, as amended. Any beer manufacturing, storage, service, or sale occurring on the premises pursuant to this subsection shall be subject to all applicable provisions of the Athens Zoning Ordinance, this Code, and all other licenses and approvals required by applicable federal, state, and local law.
      2. (ii) A craft beer restaurant permit shall not, by itself, authorize the storing for sale or distribution of beer except to the extent strictly incidental to retail sales expressly authorized by this subsection. Any separate storing for sale, distribution, or manufacturing activity shall require such separate beer permit or permits required by this Code and applicable law.
      3. (iii) A craft beer restaurant permit may authorize both on-premises consumption and off-premises retail sale of beer; provided, however, that any off-premises sales under this classification shall be limited to beer lawfully manufactured on the permitted premises pursuant to all required federal, state, and local licenses and permits, no off-premises sale of guest beer shall be authorized under this classification, and beer sold for off-premises consumption shall be sold only in sealed containers, and shall not be opened or consumed within the permitted premises, including any approved outdoor serving area.
      4. (iv) The gross beer sales limitation applicable to restaurant permits under ACC 8-92(3)(a) shall not apply to craft beer restaurant permits issued under this subsection. A craft beer restaurant shall not have monthly gross beer sales greater than forty-nine percent (49%) of the monthly gross sales of food. Exceeding this ratio for two (2) consecutive months, or for any three (3) months in any calendar year, shall constitute grounds for suspension or revocation of the permit. Food sales, for the purpose of this subsection, shall include the sale of food and non-alcoholic beverages and shall not include the sale of beer, wine, liquor, or any other alcoholic beverage. In addition, gross sales of sealed beer sold for off-premises consumption pursuant to this subsection shall be excluded from the gross beer sales ratio calculation under this subsection.
      5. (v) Food service for a craft beer restaurant may be provided through an on-site kitchen or through one (1) or more partner food providers. The term ‘partner food provider’ means a food service establishment properly permitted or licensed by the Tennessee Department of Health or other applicable authority to prepare and serve food, which provides prepared food for purchase and consumption by patrons on the permitted premises pursuant to a written agreement with the permittee and which provides such food service during the permittee’s posted hours of operation. The term shall not include vending machines or the sale of prepackaged snack items only.
      6. (vi) A permittee utilizing one (1) or more partner food providers shall maintain written agreements with each partner food provider, shall maintain records sufficient to verify food sales for purposes of this chapter, and shall make such agreements and records available to the city or beer board upon request. There shall be no limit on the number of partner food providers used by a craft beer restaurant, and partner food providers may operate simultaneously.
      7. (vii) Any outdoor dining or serving area in which beer is sold, served, or consumed under a craft beer restaurant permit shall comply with the Athens Zoning Ordinance and all applicable provisions of Title 14 of the Athens City Code, including site plan approval under ACC 14-96 where applicable. The permittee shall comply with any production, retail sale, storage, and self-distribution limits applicable under Tennessee law.
4. (4) Each permit hereafter issued shall specify the classification of permit along with the kind of establishment as herein set forth. No beer sales other than the class designated shall be permitted except as stated herein. No on-the-premises consumption shall be legal where the establishment has been granted an off-premises permit only. At establishments with permits allowing on-the-premises consumption, it shall be lawful for beer to be consumed on the premises only; provided, however, that a craft beer restaurant permit holder may also engage in off-premises sales to the extent expressly authorized in ACC 8-92(3)(i). (Ordinance 1151)
5. (5) If the character of the establishment changes from the classification originally issued, the permittee will be required to obtain a new permit to conform to the type of establishment being operated by the permittee.
6. (6) All beer permits now issued and outstanding will be classified and placed in its appropriate category, and the holders of the beer permits shall be so notified, along with a copy of this chapter.
7. (7) The term "package store" shall be further defined to be an establishment whose primary business is the sale of beer. Gasoline stations shall be excluded from the above definition of the term "package store."

(Code 1972, § 2-210; Code 1995, § 8-211; Ord. No. 823, 12-17-1996; Ord. No. 873, 1-16-2001; Ord. No. 889, 1-15-2002; Ord. No. 909, 3-18-2003; Ord. No. 908, 4-22-2003; Ord. No. 925, 1-18-2005; Ord. No. 926, 1-18-2005; Ord. No. 963, 11-20-2007; Ord. No. 980, 6-16-2009; Ord. No. 987, 5-18-2010; Ord. No. 1011, 10-16-2012; Ord. No. 1035, § 2, 3-17-2015; Ord. No. 1117, § 1, 5-16-2023)