MONTAGUE — In an effort to support struggling businesses through the pandemic, the Selectboard has slashed licensing fees for most entertainment, food and alcohol businesses by 75 percent.

The reduction is estimated to cost the town about $16,000 in revenue this year, Town Administrator Steve Ellis said, but it is written off as a long-term investment in the health of the downtown economy.

The reductions give relief to most restaurants, bars and social clubs — businesses that the Selectboard targeted because of how deeply affected they have been by pandemic-related restrictions.

“These businesses are the lifeblood of our community. Anything we can do to keep them up and running, I think, is critical,” said Selectboard member Michael Nelson. “If we lose several thousand dollars in fees, but are able to keep even one of these businesses afloat through the pandemic … I think that is money very well spent.”

Notably, package stores were not given the same licensing fee reductions. Nelson noted that, if the goal is to support businesses that are struggling, package stores wouldn’t qualify.

“Package stores seem to have been doing really well, if not better than ever, in recent months,” he said.

Local business owners commented favorably on the Selectboard’s decision.

“We’re going to hang in there,” said Michael McCarthy, a co-owner of Riff’s North restaurant on Avenue A. “This is crunch time right now. We’ve done really well. But as it gets colder and darker, and outdoor dining goes away, there will certainly be winter challenges for us.”

Lew Collins, owner of the sports bar Between the Uprights, also responded gratefully to the Selectboard.

“To hear this from you guys gives me hope that maybe I can continue to ride out the storm and keep Between the Uprights here,” he said. “You guys approving this is huge.”

Town finances have been treated more cautiously than usual this year, as the pandemic has caused uncertainty in the state’s budgeting.

However, Ellis said, based on the most recent information from the state, Montague should be positioned well to afford the estimated $16,000 hit to its revenue this year.

Reach Max Marcus at
mmarcus@recorder.com or 413-930-4231.