Spirited Rivalry: Tensions Brew Over Pelahatchie’s Liquor Laws

By Shaun McInnish, Sr., City Beat Writer, Pelahatchie News

The ink has barely dried on Pelahatchie’s new liquor ordinance, but the town is already facing a critical challenge. Just weeks after approving the measure to allow liquor stores within city limits, multiple business owners are eager to capitalize on the opportunity. However, with the ordinance permitting only one liquor store per three square miles, the town’s small size is creating gridlock for new ventures.

At the Board of Aldermen’s regular meeting on Monday, October 7, Pelahatchie businessman Joe Lane Kelly, a well-known figure in the community and owner of the local Fairway Foods grocery store, addressed the board second on the agenda. Kelly came before the board to request the removal of the old NAPA building from the Pelahatchie Heritage District so he could completely remodel the building and “take that eyesore and make something out of it.” He stated he wanted to open a liquor store in that location to bring a new business and more tax revenue to Pelahatchie. 

However, barring an amendment to the existing city ordinance, Kelly’s request will likely be denied due to the proximity of another liquor store already approved for the town.

That store, set to be opened by Chris Watkins, a newcomer to the Pelahatchie community, was the fourth item on the agenda. Watkins was approved to move forward with his liquor store, American Spirits, at 309 Second Street, a property he owns along with adjacent lots. It is close to the current Dollar General Market store. Watkins said he has been working with the city on this project for over two years and plans to pave the entire gravel parking lot soon.

According to Mayor VanHorn, the town’s liquor ordinance states that liquor stores must be physically spaced at least three miles apart from each other. Kelly rebutted that Pelahatchie is made up 5.9 square miles and that he interpreted the ordinance as it allowing one liquor store per every square 3 miles of the town, thus allowing two liquor stores total. Kelly added that the current ordinance doesn’t say anything about the actual liquor stores having to be 3 miles apart. The current ordinance reads that liquor stores are limited to one liquor store or package store per three square miles.

With Pelahatchie spanning just 5.9 square miles, the approval of Watkins’ store means that Kelly’s planned location falls well within the restricted radius, making it ineligible under current rules. Kelly stated that the town’s total area should technically allow for two liquor stores, but due to the spacing requirement, there’s no room left for another within city limits.

Taking a short roadtrip, starting at 309 Second Street (two buildings westbound from our Dollar General Market), one would have the option to head east or west along Highway 80 (Second Street), or make their way to the bustling four-way stop in town. From there, they can travel north or south on Highway 43. Either way, they would find that they exit Pelahatchie’s city limits well before reaching the three-mile mark on the odometer, and well past any commercially zoned property.
The board acknowledged the issue, and Alderman Eddie Jones recommended they take a closer look at the ordinance and consider revisions to accommodate the town’s unique geography. They voted unanimously to revisit the matter at their next meeting, scheduled for Monday, November 4.

This situation presents a conundrum for Pelahatchie: the ordinance is designed to prevent liquor stores from clustering too closely together, but the town’s limited commercial space and small size are now preventing more than one store from opening at all.

In the end, Pelahatchie’s future relies not just on ordinances and board decisions, but on the active involvement of its residents. By attending monthly Board of Aldermen meetings and sharing their concerns, community members can ensure their voices are heard. Elected officials can represent their wards effectively only when they understand the needs and aspirations of the people they serve. By cultivating a culture of participation, Pelahatchie can transform from a small town into a thriving community, where each resident plays a role in shaping its narrative.

As Pelahatchie prepares for its November meeting, both residents and business owners are left questioning whether town leaders will approve the establishment of another liquor store or if Watkins’ business will remain the sole option for now. The coming weeks will show if the town is ready to balance its growth with the needs of a thriving local economy—or if, when it comes to competition, the glass is already full.