Each municipality in this state that is not dry by referendum has a statutory quota for "Class B" liquor licenses. A municipality's full quota is based on the number of licenses granted or issued in good faith and in force on December 1, 1997, plus the number of reserve "Class B" liquor licenses the municipality is authorized to issue. Notably, the "Class B" licenses issued to wineries under Wis. Stat. sec. 125.51(3)(am) do not count towards the quota.

The initial reserve "Class B' license quota calculation involves several steps. First, take the number of "Class B" liquor licenses authorized to be issued by the municipality under the old quota system as of December 1, 1997.

Note: A municipality's quota was based, prior to December 1, 1997, on the number of licenses issued in good faith under Wis. Stat. 176.05(21)(h) (1975), and was adjusted for annexations and detachments plus whichever of the following was the largest:

1. one per 500 population or fraction thereof as determined in the previous year by the Department of Administration under Wis. Stat. sec. 16.96(2) for purposes of revenue sharing distribution;

2. the number of "Class B" licenses lawfully issued and in force on August 27, 1939, when the quota law went into effect;

3. the number of "Class B" licenses lawfully issued and in force within the municipality in the previous year;

4. in the case of a village or city incorporated since August 27, 1939, one license per 500 population or fraction thereof at the time of incorporation; and

5. in the case of a municipality incorporated or organized since August 27, 1939, the number of licenses in effect in the territory at the time of incorporation or organization.

Wis. Stat. sec. 125.51(4) (1995-1996).

Second, subtract from that number the number of "Class B" licenses actually granted or issued by the municipality and in force on December 1, 1997. If your municipality had, as of December 1, 1997, already issued all the "Class B" liquor licenses it was authorized to issue under the old quota system, then your municipality had no initial reserve "Class B" licenses as of December 1, 1997.

If your municipality had three or less "Class B" liquor licenses that were authorized under the old quota system but not granted or issued as of December 1, 1997, those three or less licenses constituted your initial reserve "Class B" licenses quota.

Third, if your municipality had more than three unissued "Class B" liquor licenses as of December 1, 1997, it is necessary to engage in a few more calculations. Begin by subtracting three from the number of unissued licenses. Then, divide the remaining number of licenses by two. If the result after division is a fraction, round down to the next whole number. Finally, add back three licenses. The number that results from working through these steps is the municipality's total number of initial reserve "Class B" licenses as of December 1, 1997. Wis. Stat. sec.125.51(4)(br).

A municipality's initial quota of "Class B" reserve licenses and current quota may be different. An increase in a municipality's initial quota of "Class B" reserve licenses may occur through an increase in population, as determined by the Department of Administration for revenue sharing purposes. Wis. Stat. secs. 125.51(4)(br)1.e and 125.51(4)(br)2. should be reviewed for this purpose.