The decision came just hours after the council received a DLC request to urgently review the cap.
Under the LAP, any application above the cap of 14 off-licences triggers a licensing hearing. Because the cap has already been reached and exceeded, all future off-licence applications will require a hearing.
District licensing commissioner Stuart Hylton’s letter to the council noted the cost and time implications of this process, including for the police, the medical officer of health and the licensing inspector who report to hearings.
Council policy manager Elise Broadbent said under the policy, the cap must be reviewed annually to ensure it is not contrary to the district’s development objectives and potential.
She said boutique distilleries and craft breweries were not considered when the LAP was put in place.
“But the fact that these businesses have continued to open and receive licences since the cap has been in place suggests that the cap is not creating a barrier to their development,” Broadbent said.
Instead, the cap was functioning as “a safeguard” by requiring new off-licence applicants to go through hearings.
“We think this is a reasonable balance of interests between new business development and preventing alcohol harm.
“The cap represents a reasonable limitation on the proliferation of off-licences within the district, based on the preferences of the community and the available evidence.
“The cap is not inconsistent with development objectives and potential in the district.”
Broadbent said amending the cap in any way would trigger a full policy review.
“We do not believe now is the right time to do a full policy review.”
Council policy adviser Hannah Rodgers said no LAP review should happen until changes to the Sale & Supply of Alcohol Act had been completed.
One of the proposed changes would remove the ability for submitters to appeal against a provisional LAP, and this would significantly reduce the costs and time needed to put a LAP in place.
“The [Community Participation] Amendment Bill could reduce the cost required to go through a policy review. Although we need to get started on a policy review before the middle of next year, we need to know what the end status of that bill is before we do that,” Rodgers said.
The LAP also regulates opening hours and makes other safety provisions.
The officers’ report said there was strong support from iwi partners for the cap to remain in place. Iwi had also signalled it was appropriate to limit wholesale alcohol sales and, in particular, limit the number of bottle stores.
The Strategy and Policy Committee agreed to wait, but has asked council chief executive David Langford to begin the review process no later than June next year.
Including supermarkets and grocery stores, there are 27 off-licensed premises in the Whanganui district.
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