MN Legislature clears Stillwater, Shakopee to create outdoor drinking ‘social districts’

The path is now clear for the cities of Stillwater and Shakopee to create “social districts” — areas where people can leave bars with alcoholic drinks and walk around.

Minnesota lawmakers passed a bill this year that will allow the cities to create the sip-and-stroll districts starting next year after the city of Anoka got special permission a few years ago.

Stillwater Mayor Ted Kozlowski said he was grateful for local lawmakers’ efforts to bring social district legislation to the city, but there’s more work to be done before patrons of bars and restaurants can stroll designated streets with beer, cocktails and wine.

Kozlowski said he sees the option to walk with drinks complementing outdoor events in the historic town.

“I don’t think the idea is to turn downtown Stillwater into New Orleans,” he said. “But this certainly gives us some flexibility.”

Licensing, maps and ordinances

Before Stillwater and Shakopee can create social districts, their city councils will have to create licensing schemes, draw maps and pass ordinances finalizing the details after getting permission from the state. The process will involve business and community input.

“Hopefully by August of 2025, we’ll be able to have a Stillwater social district right along the river,” said Sen. Karin Housley, R-Stillwater. Housley pushed for the inclusion of her city in this year’s commerce bill after conversations with the city council about the proposal.

One tricky part Stillwater officials will have to navigate?

The city’s Main Street, which is home to many bars and restaurants, is also Minnesota Highway 95. The road is controlled by the state Department of Transportation, something Kozlowski said might be a hurdle for open containers on the city’s historic main drag.

Anoka’s experience

Anoka was the first city in Minnesota to get a social district in fall 2023 thanks to a bill passed during the 2022 legislative session. The city had its first 30-day pilot program last fall and launched its second pilot program that’s running from May 1 to Oct. 6 this year.

In a several-block area near the Rum River in Anoka’s downtown district, patrons can leave 11 licensed bars and restaurants with a drink in hand — though it must be in a plastic cup with the social district’s logo.

Patrons can carry out drinks between 10 a.m. and 10 p.m., but may not bring the drinks into other establishments.

Alcohol consumed in the social district must come from one of the licensed businesses.

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