What is a Social District?
The State of Michigan enacted a new law intended to spur economic activity and provide flexibility for hospitality businesses by enabling the on-site sale and off-site consumption of alcoholic beverages in designated “Social District” areas. On July 1, 2020, Governor Whitmer signed House Bill 5781 into law (MCL 436.1551) creating the “Social District Permit,” which allows local governments to designate a Social District within their jurisdictions. Businesses that are granted a Social District Permit may sell alcoholic liquor (beer, wine, mixed spirits, or mixed drinks) on their licensed premises to customers who may then consume the alcoholic liquor within the Commons Areas of the Social District. (from Michigan Municipal League)
On December 13, 2021, Oscoda Township was permitted by the Michigan Liquor Control Commission (MLCC) to have a Social District. The Social District is open all year, from 11 AM - 12 AM.
Participating establishments include:
Edelweiss TavernOffice Lounge & GrillTait’s Bill of Fare
What is the purpose of a Social District?
- Expand outdoor eating and drinking locations throughout the downtown
- Encourage additional pedestrian traffic downtown
- Create an additional draw for visitors and locals to visit and spend time in the downtown
- Encourage visitors to explore and extend their time in the downtown
Alcoholic Beverages
- Alcoholic beverages are allowed in the Commons Area(s) only in accordance with a Social District Permit issued by the Michigan Liquor Control Commission (MLCC), any accompanying MLCC regulations, and Township of Oscoda requirements.
- Alcoholic beverages can only be purchased at the licensed premises of a Social District Permit holder and must be consumed in designated Commons Areas.
- Alcoholic beverages purchased at the licensed premises of a Social District Permit holder cannot go into the licensed area of another business that holds a liquor license (indoors or outside).
- A commercial establishment selling food without a liquor license cannot allow the consumption of alcoholic liquor on its premises.
- Alcoholic beverages cannot be consumed in a public highway.
- Alcoholic beverages purchased at licensed premises are not allowed outside the designated area of the Social District.
- Alcoholic beverages consumed in Commons Areas are required to be in designated cups per the requirements of the MLCC and the Township of Oscoda. Any participating licensed business serving alcoholic beverages to be consumed in the Commons Areas must serve those beverages in designated cups.
FAQ
- Alcoholic beverages are allowed in the Commons Area(s) only in accordance with a Social District Permit issued by the Michigan Liquor Control Commission (MLCC), any accompanying MLCC regulations, and Township of Oscoda requirements.
- Alcoholic beverages can only be purchased at the licensed premises of a Social District Permit holder and must be consumed in designated Commons Areas.
- Alcoholic beverages purchased at the licensed premises of a Social District Permit holder cannot go into the licensed area of another business that holds a liquor license (indoors or outside).
- A commercial establishment selling food without a liquor license cannot allow the consumption of alcoholic liquor on its premises.
- Alcoholic beverages cannot be consumed in a public highway.
- Alcoholic beverages purchased at licensed premises are not allowed outside the designated area of the Social District.
- Alcoholic beverages consumed in Commons Areas are required to be in designated cups per the requirements of the MLCC and the Township of Oscoda. Any participating licensed business serving alcoholic beverages to be consumed in the Commons Areas must serve those beverages in designated cups.
- Alcoholic beverages consumed in Commons Areas are required to be in designated cups per the requirements of the MLCC and the Township of Oscoda. Any participating licensed business serving alcoholic beverages to be consumed in the Commons Areas must serve those beverages in designated cups.
- Alcoholic beverages being sold to be consumed in Commons Areas must be in designated cups that:
- Have less than 16 oz capacity
- Cannot be made of glass
- Must display the logo or trade name of the permit holder and the Downtown Oscoda Social District.
- The Township of Oscoda will purchase the first order of beverage cups for participating permit holders; after the first order, each business will be responsible for purchasing their own that fits the parameters as designated by the MLCC and Township of Oscoda.
- Cups will be available for purchase through Front Door Marketing.
The district will operate Monday- Sunday, 11 am-12 am. After 12 am, no beverages can be sold to be consumed in the district and must be sold to be consumed in the license holder’s service areas.
The Township of Oscoda’s Economic Improvement Committee will be responsible for marketing the district, including creating posters outlining the rules and operations of the district for distribution throughout the downtown and creating a presence on the EIC web page with information about the district.
To lessen the burden on downtown property owners, the EIC is planning on renting portable restrooms for the summer months (June- September) and placing a trash bin next to the restroom. The EIC will work with individual property owners to determine placement of portable restrooms. Signage and maps will also be made available to direct people to restrooms.
- The governing body may revoke the designation if it determines that the Social District threatens the health, safety, or welfare of the public or has become a public nuisance. Before revoking the designation, the governing body must hold at least one public hearing on the proposed revocation.
- The law currently expires December 31, 2024.
In addition to the existing amenities at the beach park, the EIC shall create amenity stations at strategic locations within the social district. Amenity stations will include porta jons rented for the summer season along with picnic tables and umbrellas to be acquired and dedicated to the social district. The EIC expects to add a minimum of three stations strategically located near licensees and high travel areas.
Security and enforcement in the Oscoda Township Social District will be provided by the Township of Oscoda’s Police Department.
- Signage must be placed to demarcate the boundaries of the Social District. The Township Board and EIC will determine the placement of signage at entry points and intersections.
- Signage will be attached to existing posts and match the color of the current wayfinding signage.
- The Township of Oscoda will be responsible for paying for the signage demarcating the boundaries of the Social District.
- Any downtown business holding an eligible liquor license that is located within the Social District is eligible to apply for a Social District Permit through the MLCC.
- Social District Permit holders are responsible for the sale of alcohol on their licensed premises in accordance with their individual Social District Permits and all MLCC rules and regulations, including confirming the consumer’s identification and age and prohibiting the sale of alcohol to intoxicated parties.
- Any downtown business holding an eligible liquor license that is located within the Social District is eligible to apply for a Social District Permit through the MLCC.
- Social District Permit holders are responsible for the sale of alcohol on their licensed premises in accordance with their individual Social District Permits and all MLCC rules and regulations, including confirming the consumer’s identification and age and prohibiting the sale of alcohol to intoxicated parties.