Council: Phase in some license increases
City News December 10, 2025
At its Dec. 8 meeting, the Albert Lea City Council decided to phase in higher fees for on-sale liquor licenses. The decision came after hearing from business owners at a Nov. 24 public hearing.
The fee increase will be the first in 21 years. Since then, the costs of overseeing the licenses, including annual compliance checks by law enforcement, have all increased. The city is raising the $2,000 annual fee to $2,800. It will still be less than fees charged by other cities, which range from $3,000 to $9,000 a year.
Albert Lea is also one of the few cities that offer a no-cost Alcohol Server Awareness Training for liquor license holders. Since its adoption by the city council in 2004, the program has provided several benefits to license-holders, including a $100-reduction on their city off-sale license and discounts on liquor liability insurance.
While still increasing the fee, the city will offer discounts for renewals submitted on time and with complete information:
- By Aug. 17, 2026: $2,200, an increase of $200 over 2025
- By Aug. 16, 2027: $2,400, an increase of $400 over 2025
- By Aug. 21, 2028: $2,600, an increase of $600 over 2025
- In 2029, the fee for all applicants will be $2,800
The council also approved increasing the off-sale liquor license from $450 a year to the state maximum of $560, the first local increase in 7 years.
In addition, the council increased the fee for off-premise on-sale from $50 each time to:
1 – 3 permits per year at $100/year
4 – 6 permits per year at $200/year
7-plus permits per year at $300/year
