National Harbor Hits Snag Over Alcohol

Liquor Board Wants A Pricier License

The hotel that will anchor the $2 billion National Harbor development has failed to secure permission to serve alcohol because the Prince George's County liquor board is insisting on a new state law that would create a substantially more expensive license for the project.

The Gaylord National Resort and Convention Center has asked a judge to step in to compel the five-member Prince George's County Board of License Commissioners to issue the $800 million resort a liquor permit before its April opening.

Gaylord applied for a license that has a $2,750 annual fee. The liquor board denies that the fee is the cause of the license delay. But in a public hearing, its chairman suggested that an annual payment ranging from $18,000 to $50,000 would be appropriate because of the size of the project.

A bill that failed to pass in the General Assembly this year would have allowed the county to charge a $5,000 annual fee, plus $500 for each restaurant within the hotel.

In court papers, Gaylord's attorneys argue that failure to get a license for its eight restaurants and bars, 2,000 rooms and 10 acres of meeting space by the hotel's opening date would have a "devastating impact" on one of the largest developments in Maryland history.

Gaylord's court filing opens a window into the sometimes hardball and often secretive world of Prince George's politics. The Nashville-based chain alleges that the board has blocked the license in part because it hopes to wrest higher fees from the hotel giant.

The liquor board insists that the county simply has no class of permit appropriate for the massive hotel. Although enthusiastic about the economic impact of the project, the liquor board has consistently told Gaylord it needs General Assembly action, the board's attorney argues in court papers.

Board lawyer Edmond B. O'Connell declined to comment, as did Chairman Franklin D. Jackson and one of Gaylord attorney's, Linda C. Carter.

The legislation to create a license for the project did not pass in part because of infighting among county lawmakers. Legislators who represent the National Harbor area refused to back the bill largely because it was sponsored by a delegate from a different part of the county.

County Executive Jack B. Johnson (D) said he was "absolutely appalled" and "embarrassed" over the situation, accusing other politicians of holding up what he said should be a routine approval. "People need to stop playing games with this economic engine," he said.

In the court documents, Gaylord highlighted the millions it is spending at what will be the largest convention hotel on the Eastern Seaboard.

According to court documents, the hotel's signature restaurant will be the $3.7 million Old Hickory Steakhouse, designed to resemble a Georgetown rowhouse, where as many as 212 diners will be tended by wine and cheese sommeliers. There will be a sports bar with a 50-foot LCD screen displaying 12 games at once, an Italian eatery, a seafood restaurant and a penthouse nightclub called Pose.