More Help For Arizona’s Restaurant & Hospitality Industry On The Way

Snell & Wilmer

Snell & WilmerOn January 5, 2021, Governor Ducey announced the allocation of $2 million in additional funding to assist local restaurants and other dining establishments expand outdoor dining, protect patrons and staff, and limit the spread of COVID-19.

Consistent with Executive Order 2020-60 authorizing the Arizona Department of Liquor Licenses and Control (DLLC) to accept and review requests by liquor licensees seeking to temporarily extend their premises outdoors to mitigate against the spread of COVID-19, this fresh funding announcement will capitalize the Safest Outside Restaurant Assistance Program. That program provides funding of up to $10,000 to assist restaurants and bars subsidize infrastructure necessary to expand their premises. Items eligible for funding include furniture, barriers, heaters and patio covers, among others. To date, more than 114 restaurants have received funding that exceeds $1 million in the aggregate.

To be eligible, approvals of temporary extensions of premises must comply with existing liquor regulations to include appropriate separation, monitor ingress and egress, limit access to minors and monitor consumption. Temporary extensions may be non-contiguous but may not extend more than 60 feet from the permanently licensed premises and are subject to other DLLC requirements.

The DLLC may only approve a temporary request for extension of premises for the purposes of mitigating COVID-19, after a city, town or county has approved the temporary extension of premises. Previously, restaurants could not temporarily extend their premises and were limited to the amount of space for which they could extend their premises.

To be eligible, applicants must comply with all COVID-19 related Executive Orders; demonstrate a new extension of premises that has been approved by the local governing body and the DLLC, if applicable; plan to extend the premises for a minimum of three months; must have fewer than 50 employees; must be Arizona owned and operated. Additional requirements will be listed on the application. Applications are available here and are accepted on a rolling basis through March 5, 2021.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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