Liquor Privatization: Different Year, Same Bad Idea

Protect Our Communities, a group of business, labor, community members and substance abuse prevention advocates, announced today that it will oppose an initiative to dramatically expand state liquor sales.

Backers of Initiative 1183 funded a paid-signature drive and turned in petitions today. I-1183 is similar to two measures to privatize state liquor sales that failed last November. I-1105 was rejected by 63 percent of voters; I-1100 was tossed out by 53 percent.

“There is no grassroots groundswell for liquor privatization in the state,” said Jim Cooper, president of the Washington Association for Substance Abuse and Violence Prevention. “What part of ‘No!’ doesn’t Costco understand? The fundamentals haven’t changed.”

In urban areas, I-1183 would allow liquor sales in retail establishments over 10,000 square-feet, hurting smaller neighborhood grocery stores. In rural and suburban areas, convenience stores and mini-marts would be allowed to sell liquor.

In February, the federal Centers for Disease Control’s Task Force on Community Preventive Services recommended against further privatization of alcohol sales “based on strong evidence that privatization results in increased per capita alcohol consumption, a well-established proxy for excessive consumption.”

"Privatization may be associated with increased alcohol advertising, increases in the number of brands sold, and more lax enforcement of sales regulations, including enforcement of the minimum legal drinking age. In contrast, privatization also has generally been associated with an increase in the price of privatized beverages, which may be expected to lead to a decrease in consumption."

Need for prevention increases with easing of alcohol-related regulations

The cumulative effects of recent legislation regarding alcohol promotion and advertising (see list below), coupled with the pre-existing pervasiveness of such marketing, must be considered from a youngster’s perspective. Many of these enactments permit a casual approach to alcohol use (just before driving a car and running errands, e.g.), others contribute to the overall normalization of alcohol use, and some allow promotions that will have an intended or unintended impact on youth.

Past and presumably future legislative trends in this regard are clear. WASAVP asks that the legislature help balance this situation by replacing some of the cuts to community and school based prevention services that have been simultaneously imposed over this same time period, due to revenue shortfalls.  Enactment of HB 2014 is one way to begin achieving this balance.

2011

SHB 1172, Creates a pilot project for beer and wine tasting at farmers markets.

SSB 5788,
• Allows spirits, beer, and wine restaurants and hotels to sell beer in a sanitary container brought to the premises by the purchaser or furnished by the restaurant/hotel and filled at the tap at the time of sale (e.g., growlers).

• Allows special occasion licensees to pay for beer and wine immediately following the end of an event and allows wineries and breweries to pay reasonable special occasion table fees.

• Allows branded promotional items to include the logo of a professional sports team.

• Removes the 40 per year limit on nonclub, member-sponsored events by private club licensees.

SHB 1202, Creates a pilot project for spirits sampling in state and contract liquor stores.

SSB 5156, Creates a liquor license allowing VIP airport lounge operators to serve spirits, beer, and wine for on premises consumption.

HB 1244, Allows a spirits, beer, and wine restaurant to sell beer in a sanitary container brought to the premises by the purchaser or furnished by the restaurant and filled at the tap by the restaurant at the time of sale (e.g., growlers).

2009-2010

SSB 6329, A grocery store licensed to sell beer and/or wine may obtain an endorsement to offer beer and wine tasting.

ESHB 5110, Wedding boutiques and art galleries may offer one glass of wine or beer without charge to customers at least 21 years of age for on-premise consumption

EHB 2040,
• Permits financial interests between liquor manufacturers, distributors, and retailers under certain conditions.

• Allows liquor manufacturers and distributors to provide branded promotional items to retailers.

• Eliminates the mandatory 10 percent minimum mark-up for beer and wine manufacturers to charge distributors and for distributors to charge retailers.

SHB 1415, Allows the Legislative Gift Center to sell wine produced in Washington to persons 21 years of age or older for off-premises consumption.

2007-2008

SHB 1047, Allows grocery stores licensed by the Liquor Control Board that have a snack bar license to sell confections with up to 10 percent alcohol to persons 21 or older.

SSB 5721, Allows a liquor manufacturer, importer, or distributor to enter into an arrangement with a sports/entertainment facility licensee or an affiliated business for brand advertising at the licensed facility or promoting events held at the facility.

WASAVP president quoted in national press

WASAVP's Jim Cooper is quoted in Bloomberg Businessweek's article about alcohol tastings at farmers markets:

Opponents worry allowing tastings at farmers markets will foster drinking and make it easier for minors to get access to alcohol.  "Our bigger concern is the example it sets for kids, when drinking is happening in really public places," said Jim Cooper, president of the Washington Association for Substance Abuse and Violence Prevention.

Secure medicine take-back bill fails in WA Senate

On March 7, the Washington State Senate failed to vote on and pass Substitute Senate Bill 5234, the Secure Medicine Take-Back Bill. The proposed legislation would have required drug manufacturers selling medicines in Washington state to provide and finance a secure take-back and disposal program for left-over or expired medicines from residents. Over 140 organizations statewide supported the proposed legislation, including sheriffs, public health leaders, substance abuse professionals, and water quality experts.


“While many Senators were strongly in favor of this bill, pressure from the pharmaceutical industry managed to derail a good piece of legislation that would help protect our families and the environment from left-over medicines. It’s unfortunate that common sense and innovation were left on the sidelines in favor of backroom politics. Washington desperately needs a secure system to safely dispose of leftover medicines from homes without hurting the environment. It’s time to put our families first, not the pharmaceutical companies,” said Karen Bowman, RN, Washington State Nurses Association.

Gearing up for next year . . . Secure medicine return bills are NOT dead for all time. The Legislature works in two-year cycles - this is year one of the 2011-2012 biennium. Every bill introduced this year is automatically re-introduced next year.

At the start of the 2012 session, SSB 5234 will start in the Senate Rules committee. If we can encourage more Senators to support the bill between now and then, SSB 5234 could be pulled straight out for a floor vote.

HB 1370 will also be reintroduced in the House.

WASAVP supports medicine return legislation

As the Secure Medicine Take-back Bill (SSB 5234) awaits a vote in the Rules Committee -- it needs to be passed by the Senate before the cut-off deadline of March 7 to keep moving forward this session -- it has received a good deal of media coverage.  WASAVP President Jim Cooper recently wrote an opinion piece that appeared in The Olympian. 

Medicine return legislation needs support

Senate Bill 5234 currently is being considered in the Washington State Senate -- it would create a secure medicine return program in our state. This bill could have a significant impact on youth substance abuse prevention.  It is currently being considered by the Senate Rules Committee.

Nationwide, we've heard reports about youth abuse of prescription medications on the rise. Prevention science confirms that reducing access to harmful substances is a proven method for preventing youth substance abuse. For the legislation to move forward, the Senate Rules Committee will need to vote on it by March 7. Pharmaceutical companies who oppose the bill are working hard to ensure that the bill does not get a full Senate vote.

For more information about this issue, visit the Take Back Your Meds campaign website.

More bills to watch

More bills that the Washington Association for Substance Abuse and Violence Prevention is following:

HB 1004 would provide for social and emotional learning in public schools.

HB 1100 concerning the medical use of cannabis.

HB 1244 modifying liquor permits and licensing provisions.

HB 1246 and SB 5380 would restrict the sale of flavored tobacco products and dissolvable tobacco products. It would require tobacco products to be stored in a location that is inaccessible to youth.

HB 1270 includes mental health and suicide prevention education in the essential academic learning requirements in health and fitness.

HB 1285 would regulate synthetic cannabinoids.

HB 1465 would modify liquor license provisions by: (1) requiring licenses to post conditions and restrictions imposed by the liquor control board; (2) revising the definition of "nightclub" by removing the occupancy load requirement; and (3) requiring the liquor control board to determine the requirements for complete meals for purposes of the definition of "restaurant".

HB 1550 would provide for regulating the production, distribution, and sale of cannabis (legalization).

SB 5219 regarding penalties for retail liquor licensees when alcohol is sold to a person under 21 years of age.

SB 5285 would change the distance requirements for issuing a liquor license to businesses located near schools.

Medicine return bills

From the Local Hazardous Waste Management Program in King County, following is more detailed information about the two medicine take-back bills recently introduced in the state legislature.

SB 5234 and HB 1370 will protect our kids, our families, and our environment by creating a statewide system for secure return and environmentally sound disposal of leftover prescription and over-the-counter medicines from our homes.

· Help stop the epidemic of abuse and poisonings, and protect our water quality.

· Requires no state funds; budget-neutral to the state. Primarily financed by all drug producers selling medicines in Washington, as part of doing business. Removes financial burden from Sheriffs, police, and local governments.

· Not a government-run program. Establishes the non-profit WA Medicine Return Association that will be managed and financed by drug producers.

· Total annual costs of the program to drug producers collectively cannot exceed $2.5 million – or about 1 penny for every $16 in sales of medicines annually in Washington.

· Federal law has been changed to facilitate take-back of narcotics and controlled substances.

· Sheriffs, police, local govt’s, and pharmacies in ~12 counties are operating take-back programs but are struggling for funding.

More bills to watch

Introduced to the state legislature today:

SB 5111 would privatize the sale of liquor.

HB 1202 would create a pilot project to allow spirits sampling in state liquor stores and contract stores.

2011 bills to watch

This year's state legislative session started this week and here are a few bills that the Washington Association for Substance Abuse & Violence Prevention (WASAVP) is following.

HB 1116 would require the Liquor Control Board to convert at least 20 state liquor stores to contract liquor stores. It would authorize certain independently owned grocery stores to apply for and receive a contract liquor store appointment.

HB 1126 would provide communities with tools to better protect citizens from gang-related crime.

HB 1163 would create an ongoing work group on school bullying and harassment prevention.

HB 1166 would prohibit a person under 21 from being charged or prosecuted for seeking medical assistance for someone experiencing alcohol poisoning.

HB 1172 and SB 5029 would establish a pilot project to allow beer and wine tastings at farmers markets.

SB 5101 would place certain synthetic cannabinoids into schedule I of the uniform controlled substances act.

KING5 story on initiatives for the privatization of liquor stores

See WASAVP's Jim Cooper in this KING5 story: Should the state get out of the business of selling liquor?

Supporting the Safe Drug Disposal Act

WASAVP recently joined many other organizations and individuals in signing a letter to Congressman Henry Waxman in support of H.R. 1191, the Safe Drug Disposal Act sponsored by Congressman Jay Inslee.

2010 Washington State initiatives affecting prevention

Following is a list of initiatives that may appear on November's ballot in Washington that WASAVP is keeping an eye on:

I-1068 concerning marijuana
I-1072 concerning lowering the drinking age to 19
I-1086 concerning ending the temporary excise tax on beer and strong beer

I-1087 concerning ending the temporary tax on certain carbonated beverages

I-1088 concerning reducing the tax on tobacco products
I-1090 concerning ending the temporary taxes on bottled water and carbonated beverages
I-1091 concerning ending the temporary taxes on bottled water, carbonated beverages, and beer
I-1092 concerning ending tax increases enacted in 2010 on beverages and candy
I-1093 concerning ending temporary taxes on selling certain carbonated beverages and beer
I-1099 concerning closing state liquor stores and allowing been and wine sellers and distributors to be licensed for spirits (privatize alcohol sales)
I-1100 concerning closing state liquor stores, privatize sale of spirits
I-1105 concerning reforming state liquor sales

WASAVP in the news . . .

May 25, 2010
The Olympian: Everyone needs to take a closer look at prescription drug abuse

Liquor store privatization initiatives

Up to three initiatives that concern the privatization of liquor sales in Washington may appear on November's ballot. If approved, the initiatives would have a significant negative effect on underage drinking prevention efforts in our state.

Here are a few talking points about why state-run liquor stores help prevent underage drinking:

The Washington State Liquor Control Board's 94% no-sales-to-minors compliance rate is the highest in the nation. The private-sector compliance rate for alcohol sales is much lower, with rates ranging from 76%-84%.

States with retail monopolies have a lower prevalence of drinking and binge drinking among people between 12 and 25 years old.

Because state-run stores are state property, states can more easily regulate the on-site marketing of alcoholic beverages.

Join WASAVP today and support efforts to maintain liquor control as one tool we have to prevent underage drinking.

Prevention Summit 2009

Visit our table at the Washington State Prevention Summit in Yakima, October 30-31! Attend our workshop on Friday!

Sign up for Action Alerts

To receive WASAVP Action Alerts, sign up on our website! Just add your email address and click on "GO".

Changes to alcohol advertising WAC

The Washington State Liquor Control Board (LCB) has issued proposed changes to WAC 314-52 regarding alcohol advertising. They are accepting public comment about the changes until June 15, 2009.

Click here to read the entire WAC, showing proposed news and deleted language.

Click here to read the LCB summary of these changes.

UPDATE: Read WASAVP's Action Alert!

Comments may be forwarded to the LCB the following ways:

1. By mail to: Rules Coordinator, Liquor Control Board, P.O. Box 43080, Olympia, WA, 98504

2. By e-mail to: rules@liq.wa.gov

3. By fax to: 360-664-9689

Federal budget cuts would devastate state prevention programs

The Fiscal Year 2010 federal budget proposed by President Obama would eliminate the $4.7M Safe and Drug Free Schools and Communities Grant to State of the State of Washington that supports the Community Mobilization Program and school-based drug and violence prevention services. Read WASAVP's Action Alert for more information.

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