DENVER – Distillers have joined the ballot fight to allow full-strength alcohol sales in supermarkets, competing with grocery stores that have been pushing for beer and wine sales.
Distillers on Wednesday submitted language for two ballot initiatives.
The first effort would include liquor along with wine and beer sales in grocery stores. The second would allow for a store to have as many as 10 licenses to sell full-strength alcohol, rather than the one permitted under current law.
“Recent poll results indicate that 70 percent of Colorado voters feel the same rules should apply to the sale of beer, wine and spirits,” said Dale Szyndrowski, vice president of the Washington, D.C.-based Distilled Spirits Council. “Colorado’s craft beer, wine and distilled spirits industry needs a healthy retail marketplace to grow and thrive. Our solution protects small local retailers while providing consumers the choice and convenience that they want.”
The move comes nearly five months after grocery stores filed ballot language to allow just the sale of full-strength beer and wine in supermarkets. The coalition is awaiting state approval to begin collecting the 98,492 valid signatures to qualify for the ballot.
“Having spoken with Coloradans around the state for months, Your Choice Colorado believes seeking the sale of only full-strength beer and wine in neighborhood markets is what people want and that is what we intend to go to the ballot with in November,” said Georgie Aguirre-Sacasa, campaign manager for YCC. “We’re pleased that others in Colorado’s adult beverage community are in agreement with what consumers have been saying for years – that Colorado’s laws are antiquated and changes benefiting the customer are necessary.
“Allowing full-strength beer and wine sales in grocery stores will give people more choices when they shop and businesses a fair shot to sell to their customers, while allowing Coloradans to join consumers in 42 other states that can buy Colorado craft beer or wine in grocery stores.”
Distillers felt left out of the conversation, so they have been pushing for lawmakers to introduce legislation to include liquor. The legislation would be similar to the ballot efforts, though it has struggled and so far has not materialized. Distillers say they remain open to a legislative solution.
Lawmakers involved in conversations – including Rep. Dan Pabon of Denver and Sen. Owen Hill of Colorado Springs – said it has been difficult to bring all sides together, including distillers, grocery store interests, craft brewers, liquor store owners, vintners and distributors.
Opposition to the original beer and wine ballot proposal has been led by a large group of craft brewers and liquor store owners, who fear that the move would shutter smaller liquor stores, making it difficult for independent brewers to place products on shelves.
The Keep Colorado Local campaign said it would also oppose the distillers’ effort.
“Our membership is opposed to any changes to Colorado’s current statutes because the current system successfully grows local businesses, including world-renowned craft beer, wine and liquor industries,” said Ben Davis, spokesman for Keep Colorado Local. “In our opinion, growing grocery store profits is a poor reason to risk what we’ve built here in Colorado. If it ain’t broke, don’t fix it.”
Hill framed the conversation as a “nasty fight” and Pabon said “no one is happy.” Less than three weeks later, the distillers filed their competing initiatives.
In Durango, business owners tend to split from national interests. Distillers, brewers and liquor store owners seem unified against any ballot efforts that would change the current scheme.
“They (grocery stores) have so many avenues to make a profit that they really can go years just driving down that price to where people will of course purchase it in big-box stores,” said Michael McCardell, owner of Durango Craft Spirits Distillery and Tasting Room, a grain-to-glass distillery producing vodka and white whiskey.
He pointed out that many liquor stores have been family owned for years.
“It’s just such a shame that the setup of laws that we have has worked so well to boost this craft industry ... to see them make a change that could devastate that.”
Ska Brewing Co. and Steamworks Brewing Co. has joined the coalition of brewers opposing the initiative. In August, Steamworks became the second brewery in the state to produce a special beer, Keep Colorado LocALE, opposing the effort.
Mike Rich, owner of Wagon Wheel Liquors in Durango, has also teamed up with the statewide coalition to defeat the beer and wine ballot initiative. He said the distillers effort also concerns him.
“Most of us can’t have multiple licenses, we’re running small businesses, it’s not something we can do,” Rich said. “Some of the big boys on the Front Range can, but I don’t think anyone here is interested.”
