Strip club act off the stage

State legislation might hurt local control, say officials

By Richard Locker, Commercial Appeal

April 27, 2007

NASHVILLE -- State legislation sought by Tennessee strip clubs allowing them to sell liquor by the drink appears dead -- a day after winning its first committee vote -- after Shelby County officials charged Thursday that it would pre-empt local efforts to regulate the industry more tightly.

Shelby County Dist. Atty. Gen. Bill Gibbons said he was surprised to learn Thursday morning that the "Tennessee Cabaret Licensing Act" won its first committee approval in the state legislature the day before. He called Sen. Paul Stanley, R-Germantown, bill sponsor with Rep. Curry Todd, R-Collierville, and asked him to withdraw the bill.

Stanley agreed to withdraw it from the Senate, saying he originally consented to sponsor the measure because he believed it would allow local law enforcement and district attorneys to "exercise more control over adult-oriented businesses."

But Gibbons and Shelby County Commissioner Mike Ritz said they believe the bill would have the opposite effect. The two are working on a proposed county ordinance that would require county licensure and regulation of the adult entertainment industry. Ritz said it will be discussed May 7 in the County Commission's Land Use Control Committee that he chairs.

"Our concern about the state legislation is it's really an attempt by the adult entertainment industry to pre-empt our efforts at the local level and to get their foot in the door to sell liquor by the drink," Gibbons said. "For both of those reasons we oppose it.

The bill was drafted by the Tennessee Cabaret Association and would require each adult entertainment establishment to be licensed by the state Alcoholic Beverage Commission. Exotic dancers would also be licensed with two-year permits, after undergoing background checks by the TBI.

In return for the state oversight, the exotic clubs would be allowed to serve liquor by the drink, which is currently prohibited by state law. In some locations, including Memphis, the clubs are allowed to sell beer.

Todd could not be reached for comment after Stanley's announcement Thursday that he will withdraw the bill. But in the House Government Operations Committee Wednesday, the Collierville lawmaker characterized the legislation as a move to impose "stringent regulations" statewide on an industry where governmental oversight now varies widely and in some places is non-existent.

"This industry is not going away. We need to get some regulations on it. We'll get to see who owns these clubs," Todd told the committee Wednesday.

Ritz said Thursday the industry was "going to do an end-run on the local ordinance and get whisky too. The whole thing is a total sham."

Gibbons office has shut down three clubs in Shelby County and another nine remain in operation. He said he and other district attorneys met with Tracy O'Neill, lobbyist for the Cabaret Association, about six weeks ago -- at her request -- and told her they would oppose the measure.

O'Neill did not return calls Thursday. She said earlier there are 47 clubs across the state.