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Economy / Regulation

St. Louis Making the Right Moves on Regulation

By Patrick Tuohey on Nov 5, 2024

St. Louis is taking steps to roll back the bureaucratic barriers that have long stifled economic growth. With the introduction of ordinance 71819 earlier this year, the city is making it easier for small businesses—especially those in underserved areas—to thrive by streamlining the liquor licensing process and cutting unnecessary red tape. My colleague Grace Hearne wrote recently about another effort in The Lou to relax regulation on barber shops.

These moves are a win for local entrepreneurs and a sign that St. Louis is serious about economic development through deregulation.

For too long, starting a bar or restaurant in the city meant navigating a confusing maze of fees, delays, and arbitrary requirements. The plat petition, for instance, required business owners to collect signatures from nearby property owners before getting a liquor license. This often turned into a nightmare, particularly for small businesses in lower-income neighborhoods, where support can be harder to gather. Ordinance 71819 eliminated this burdensome step, replacing it with a more straightforward hearing process. This, along with provisions allowing for easier license transfers and extending opportunities to people with criminal histories, could be a game-changer for aspiring entrepreneurs.

Yes, there is a lot more St. Louis must do to recapture its economic vibrancy, But leaders deserve credit for listening to the community, acknowledging that heavy-handed regulations do more harm than good, and taking action.

Show-Me Institute writers have long argued that cutting red tape is essential for fostering a vibrant local economy. St. Louis, with its layers of outdated regulations, has been a case study in how excessive government interference can choke off innovation and growth. By reducing these barriers, the city is empowering local residents to build businesses that create jobs and revitalize neighborhoods.

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About the author

Patrick Tuohey

Senior Fellow

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