LOCAL OPTION
SENATE BILL 247

SECTION PERTAINING TO LIQUOR BY THE DRINK IN RESTAURANTS

In order to promote economic development and tourism, other provisions of the Kentucky Revised Statues notwithstanding, a city or county in which prohibition is in effect may, by petition in accordance with KRS 242.020, hold a local option election on the sale of alcoholic beverages by the drink at restaurants and dining facilities which seat a minimum of one hundred (100) persons and derive a minimum of seventy percent (70%) if their gross receipts from the sale of food. The election shall be held in accordance with KRS 242,030 (1), (2), and (5), 242.040 , 242.060 to 242.120, and the proposition on the ballot shall state "Are you in favor of the sale of alcoholic beverages by the drink in (name of city or county) at restaurants and dining facilities with a seating capacity of at least one hundred (100) persons and which derive at leasty seventy percent (70%) of their gross receipts from the sale of food?" If the majority of the votes in an election held pursuant to this subsection are "Yes", licenses may be issued to qualified restaurants and dining facilities and the licensees may be regulated and taxed in accordance with subsection (4) and (5) of this section.
Click here for details on KRS 242.020 - KRS 242.040 and KRS 242.060 - 242.120
KRS 242.1242 Local Option Election for Limited Sale of Alcoholic Beverages at Qualified Historic Sites - License.
(1) To promote economic development and tourism in any county or city in which prohibition is in effect, in whole or in part, and a qualified historic site is located, a local option election for the limited sales of alcoholic beverages by the drink may be held in the precinct of the county where the qualified historic site is located, notwithstanding any other provision of the Kentucky Revised Statutes.
(2) A local option election for the limited sale of alcholic beverages by the drink held under subsection (1) of this section shall be conducted in the same manner as specified in KRS 242.020; 242.030(1), (2), and (5); 242.040; and 242.060 to 242.120. The form of the proposition to be voted upon shall be "Are you in favor of the sale of alcoholic beverages by the drink at qualified historic sites in the (name of precinct)?"
(3) Upon approval of the proposition, the Office of Alcoholic Beverage Control shall issue a license to qualified historic sites that meet the criteria included in the proposition for the sale of alcoholic beverages by the drink as provided in KRS 243.030.

Another Option . . .
242.185 Ordinance permitting limited sale of alcoholic beverages by the drink -
Application - Regulatory Fee - Local Option Election
(1) This section shall apply to any city of the fourth class or county obtaining a city of the fourth class in which prohibition is not in effect, notwithstanding any other provisions of this chapter relating to the sales of alcoholic beverages by the drink for consumption on the premises.
(2) Upon a determination by the legislative body that an economic hardship exists within the city or county and that the sale of alcoholic beverages by the drink could aid economic growth, the legislative body may enact a comprehensive, regulatory ordinanc covering the licensing and operation of hotels, motels, inns, or restaurants for the sale of alcoholic beverages by the drink for consumption on the premises.
(3) Licenses shall only be issues to hotels, motels, or inns containing not less than fifty (50) sleeping units and having dining facilities for not less than one hundred (100) persons or bona fide restaurants open to the general public having dining facilities for not less than one hundred (100) persons.
(4) The city or county legislative body may provide for the issuance of any licenses permited by KRS 243.070, or the issuance of any other reasonable administrative regulations as may be necessary for the enforcement or administration of this section, provided that any regulation adopted shall conform to the requirements of KRS 241.190.
(5) Notwithstanding any limitations imposed on the city's or county's taxing or licensing power for KRS 243.070, the city or county may be ordinance impose a regulatory license fee upon the gross receipts of each establishment located therein and licensed to sell alcoholic beverages by the drink for consumption on the premises. The regulatory license fee may be levied annually at a rate as shall be reasonably estimated to fully reimburse the city or county for the estimated costs for any additional policity, regulatory, or admiinistrative related expenses. The regulatory license fee shall be in addition to any other taxes, fees, or licenses permitted by law, but a credit against the fee shall be allowed in an amount equal to any licenses or fees imposed by the city or county pursuant to KRS 243.070.
(6) In order to promote economic development and tourism, other provisions of the Kentucky Revised Statutes notwithstanding, a city or county in which prohibition is in the effect may, by petition in accordance with KRS 242.020, hold a local option election of the sale of alcoholic beverages by the drink at resaurants and dining facilities which seat a minimum of one hundred (100) persons and derive a minimum of seventy percent (70%) of their gross receipts from the sale of food. The election shall be held in accordance with KRS 242.030 (1), (2), and (5), 242.040, and 242.060 to 242.120, and the proposition on the ballot shall state "Are you in favor of the sale of alcoholic beverages by the drink in (name of city or county) at restaurants and dining facilities with a seating capacity of at least one hundred (100) persons and which derive at least seventy percent (70%) of their gross receipts form the sale of food?". If the majority of the votes in an election held pursuants to this subsection are "Yes", licenses may be issues to qualified restaurants and dining facilities and the licensees may be regulated and taxed in accordance with subsections (4) and (5) of this section.

Third option…BUT YOU DO NOT WANT TO DO THIS ONE BECAUSE IT DOES NOT ALLOW FOR A BAR ON SITE.

242.1244 Local option for limited sale of alcoholic beverages purchased in conjunction with a meal - Licenses - Prohibition against sale without meal.
(1) In order to promote economic development and tourism, other provisions of the Kentucky Revised Statutes notwithstanding, a city or county in which prohibition is in effect may, by petition in accordance with KRS 242.020, hold a local option election on the sale of alcoholic beverages by the drink at restaurants and dining facilities that seat a minimum of fifty (50) persons and derive a minimum of seventy percent (70%) of their gross receipts from the sale of food if alcoholic beverages are purchased in conjunction with a meal. The election shall be held in accordance with KRS 242.030 (1), (2), and (5), 242.040, and 242.060 to 242.120 and the proposition on the ballot shall state "Are you in favor of the sale of alcoholic beverages by the drink in (name of city or county) at restaurants and dining facilities with a seating capacity of at least fifty (50) persons and which derive at least seventy percent (70%) of their gross receipts form the sale of food if the alcoholic beverage is purchased in conjunction with a meal?". If the majority of the votes in an election held pursuant to this subsection are "Yes," licenses may be issued to qualified restaurants and dining facilities and the licensees may be regulated and taxed in accordance with KRS 242.185(4) and (5).
(2) The sale of alcoholic beverages under subsection (1) of this section shall be incidental to the sale of a meal. Restaurants and dining facilities that are issued a license under subsection (1) of this section shall not have an open bar and shall be prohibited from selling alcoholic beverages to any person who has not purchased or does not purchase a meal. Alcoholic beverages shall be deemed to have been purchased in conjunction with a meal if the alcoholic beverages are served after the meal is ordered and no more than one-half (1/2) hour after the meal is completed.