Sherwood restaurants wanting to stay open later selling alcohol can do so thanks to a recently adopted city ordinance.

The Sherwood City Council on June 24 adopted an ordinance authorizing later operating hours for businesses that hold permits for on-premises alcohol consumption.

"State law allows cites to regulate the hours of operation of businesses that are holders for on-premises alcohol consumption and allows business to remain open later when authorized by ordinance," reads the adopted ordinance.

According to the ordinance, all holders of on-premises alcohol consumption permits shall be allowed to remain open for business until 2 a.m. Monday through Saturday.

"Sunday operation hours for said businesses shall remain 10 a.m. To 12 a.m. Midnight pursuant to state regulation," continues the legislation.

The ordinance received its first reading at the council’s May meeting. Sherwood Aldermen Marina Brooks and Ken Keplinger sponsored it. Brooks is the chairwoman of the Sherwood Advertising and Promotions Commission.

Kelly Coughlin, Sherwood’s economic development director, said the city is in the running for a higher-end restaurant locating here. Coughlin said the unnamed company is considering either North Little Rock or Sherwood. North Little Rock currently has an advantage because its city ordinances allow restaurants to sell alcohol until 2 a.m.

In other business, the council adopted an ordinance defining and differentiating catering services, mobile canteens and seasonal venders from restaurants. The ordinance also regulates concession vehicle placement within the city limits.

"The city council of Sherwood, Arkansas, finds it necessary to the orderly development of Sherwood, for the purpose of issuing privilege licenses, to better define and differentiate between catering service businesses, mobile canteen businesses and seasonal vendor businesses, from restaurant businesses, and to regulate, where applicable, the placement of concession vehicles, trailers, or stands commonly used in said businesses."

The ordinance defines a catering business as a food service business contracted to provide food service for a predetermined period of time during an event. These will not be required to obtain a privilege license except when the main business office or kitchen is established within the city limits.

A mobile canteen business is defined as a mobile food service business established to temporarily provide concessions or food service throughout a calendar year at various locations within the city.

"A mobile canteen business shall operate out of a legal vehicle or trailer, properly licensed, and shall not remain overnight at any location served," states the ordinance. A city privilege license, renewable annually, is required to operate a mobile canteen business within Sherwood.

A seasonal vendor business is defined as a business established to operate in a specific location for up to a three—month interval within a given 12-month period. "No more than one permit may be pulled for any vehicle or trailer within the established 12-month interval." A city privilege license is required.