Proposed California bill would extend alcohol sale hours in 'hospitality zones'

LOS ANGELES - A proposed bill in California aims to boost the economies of downtowns by allowing cities to create special dedicated areas where "last call" times would be extended to 4 a.m. on certain days. 

The initiative hopes the measure will attract tourists and conventions, enhance nightlife, and support local businesses.

What we know:

AB 342, the proposed legislation introduced by Sup. Matt Haney (D-San Francisco), allows cities to establish "hospitality zones" where permitted venues can extend their closing times to 4 a.m. on Fridays, Saturdays, and state holidays. 

Local governments will have the authority to determine the specifics of these zones, considering factors like public safety, transportation access, and cultural relevance. 

SUGGESTED: West Hollywood approves extending last call at bars until 4 AM

The bill is supported by a broad coalition, including the California Chamber of Commerce and the Los Angeles Chamber of Commerce.

Local perspective:

California's current "last call" law limits closing times to 2 a.m., which has hindered the ability of cities to attract visitors and support businesses reliant on nighttime revenue. 

Other states, such as Nevada and New York, already allow cities to set their own later closing times. 

The decline in hosting large conventions and tourism spending has impacted local economies, with hotel and restaurant revenues still below pre-pandemic levels.

SUGGESTED: Newsom signs California bill extending alcohol sales in one place only

Currently, only one venue in California is authorized to have a later last call - Intuit Dome in Inglewood - after Gov. Gavin Newsom  signed AB 3206 into law allowing for it last year. 

The backstory:

This isn't the first time a bill like this has been proposed to California lawmakers. 

In 2022, Haney and State Sen. Scott Wiener proposed SB 930, which would have allowed three pilot cities to extend alcohol sales at bars, nightclubs, and restaurants to 4 a.m. The bill did not pass the assembly.

A similar measure was proposed in 2018 by Weiner. It passed the legislature but was vetoed by then-Gov. Jerry Brown, who said such legislation would lead to "mischief and mayhem."

What they're saying:

"Downtowns in California are still struggling to return to pre-pandemic levels almost half a decade later," said Haney. "As Chair of the Assembly Select Committee on Downtown Recovery, I've heard from cities all over the state that are begging for the flexibility to attract people during evening, night and weekend hours," said Haney. "Tourists, downtown residents and convention planners are all looking for cities with both vibrant daytime and nighttime economies. Unfortunately many California downtowns become ghost towns after 5 p.m. A thriving nightlife has extensive positive effects on many other sectors, including retail, the arts, restaurants, housing, and large conventions, and will bring more people into downtowns that desperately need them during both the day and night."

"As the Los Angeles region prepares to host a series of global sporting events, AB 342 represents a critical step in revitalizing Downtown Los Angeles' night and weekend economy. This legislation enhances our competitiveness in attracting premier conventions and large-scale events to the Los Angeles Convention Center—opportunities that are essential to our region’s economic recovery. Moreover, AB 342 directly supports the continued growth of our hospitality and tourism sector, bolstering Los Angeles as a world-class destination and strengthening the region’s economy. We appreciate Assemblyman Haney authoring this important bill to assist our downtown regions." said Maria Salinas, President and CEO of the LA Area Chamber of Commerce.

Why you should care:

Extending nightlife hours can revitalize downtown areas, attract tourists, and support local businesses could contribute to economic recovery. 

As California prepares to host major global events like the Super Bowl, World Cup, and Olympics, enhancing entertainment options will be crucial for maximizing economic benefits and attracting international visitors.

What's next:

AB 342 will be reviewed by the Assembly Governmental Organization Committee on April 23.

If passed, cities will have the option to create hospitality zones, granting special permits for extended closing times.