BLOOMINGTON – Downtown businesses can now apply for new three-way alcohol permits, offering a more affordable path to serving beer, wine, and liquor. The applications can be accessed at http://bton.in/civic.
Alcohol’s high profit margins and mostly non-perishable nature make it a critical menu component of a generally high-risk business. Bloomington has had a limited number of permits under the state’s quota system, which has driven permit costs to $250,000 and made them largely inaccessible to smaller, locally owned operations. By lowering the cost of obtaining an alcohol permit, the City aims to help more locally owned restaurants open and grow, expand dining options for residents and support a more vibrant downtown.
Bloomington City Council, through Ordinance 2026-18, approved additional permits under two eligible state programs—the Downtown Redevelopment District and the Courthouse Square Historic District. Unlike traditional permits, which businesses can sell or transfer, the new district permits cannot be sold or transferred and must be returned to the state when no longer in use. The $25,000 fee is set by the state.
The application portal will be open for 3 weeks starting on Friday, November 6 and closing on Monday, November 30. City staff will review applications for eligibility, a committee will review them, and staff will then recommend them for approval to the Common Council. Common Council will review and recommend permits to the Indiana Alcohol and Tobacco Commission (IATC). After the Common Council makes a recommendation, applicants will complete a second application process directly with the IATC through its website. Approval through the IATC is not guaranteed, and the state review process may take additional time. If permits remain available, the City may reopen applications in early 2027 based on demand.
Questions can be directed to De la Rosa at the Entrepreneurship Helpdesk at the Mill (642 N Madison St.) on Thursdays from 8:30 a.m. to 5 p.m., or any day by phone or email at de.delarosa@bloomington.in.gov or call 812-349-3419.
