Liquor Licenses for establishments selling drinks by the glass, for consumption on the premises, are referred to as either "B-Hotel", "Class-C", "A-Hotel" or "Tavern" licenses. "Class-C" and "B-Hotel" licenses permit the sale of drinks containing liquor as well as beer and wine for consumption on the premises, where "A-Hotel" and "Tavern" licenses permit the sale of only beer and wine for consumption on the premises.

The number of licenses issued within Troy is based on a “quota” system. This “quota” is based on the population of the city as indicated by the last (2000) census. The City of Troy is permitted 54 "quota" licenses, and all have been issued or allocated (there are none available) at this time. You may, of course, enter into a purchase agreement for an already established business and, if you meet the requirements, have the licensed transferred to you. There are restrictions placed on business operations and locations by state law, local ordinances and Michigan Liquor Control Commission rules.

Establishments selling liquor, beer and wine for consumption off premises are required to have a Specially Designated Distributor (SDD) license. Establishments selling only beer and wine (for consumption off the premises) must obtain a Specially Designated Merchant (SDM) license from the Michigan Liquor Control Commission, 7150 Harris Drive, PO Box 30005, Lansing, MI 48909-7505, Licensing Division  (517) 322-1400. SDM licenses are not controlled by quota but, again, there are restrictions placed on business locations by both state and local regulations.

Any application for a liquor license or transfer of a liquor license to a new owner, requires:

1. A police investigation into the background of the applicants;
2. Review and recommendation to City Council by the City of Troy Liquor Advisory Board and;
3. The applicant must make an “Agreement Regarding Liquor License Request” with the City of Troy, wherein they agree to operate within the statutes and ordinances controlling their operation, and the City agrees to recommend approval of the transfer/purchase.
4. A resolution by the Troy City Council to the Michigan Department of Commerce, Liquor Control Commission to recommend, or not, the issuance or transfer of the license.
   

In addition, the business place must meet Troy building code requirements and pass Oakland County or State Health Department inspections.

On our receipt of the "Request for Police Inspection" from the Liquor Control Commission, you will receive a letter indicating what you must do to meet the City of Troy requirements, including payment of a $1000.00 Police Department inspection fee and the completion of a questionnaire concerning the background of any business owner and/or partners. All construction or renovations will require building permits and inspections by city inspectors.