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ABC STORES TOP REFORM PLANS McDonnell talks government reform, liquor privatization in Fredericksburg Date published: 8/25/2010
BY CHELYEN DAVIS
Gov. Bob McDonnell brought his plans to reform government and get out of the liquor business to Fredericksburg last night. McDonnell has been holding town hall meetings on the topic around the state. His stop at the University of Mary Washington was his fourth of eight meetings. About 300 people came to Dodd Auditorium for the meeting, asking questions about energy policy, Sunday hunting bans, immigration enforcement and other issues. But the top focus was government reform, specifically McDonnell's push to sell off the state-owned liquor stores, a move he says will generate "hundreds of millions of dollars for transportation" needs. He showed slides indicating that other states have more liquor stores than Virginia does--3.2 per 10,000 people on average across the U.S., versus 0.6 per 10,000 in Virginia. McDonnell estimates that Virginia would have about 1.4 stores selling liquor per 10,000 people if his proposal--which is not yet finalized--is approved, a figure he said should calm fears that Virginia would have gaudy liquor stores on every corner if the industry is privatized. McDonnell envisions a privatization structure by which taxes and markup on liquor would remain about the same, and licenses would be sold to stores to sell liquor. He said grocery stores, which already sell wine and beer, would be prime candidates. "The only difference between beer and wine, and distilled spirits, is the shape of the bottle and the percentage of the alcohol," McDonnell said. Those who got up to ask McDonnell questions mostly seemed to support the idea of getting the state out of the liquor business. A man who said he works for Giant said his stores would be glad to sell liquor, and that Virginia is losing sales every time a Virginian goes to D.C. or Maryland to buy liquor. But not everyone agreed. Chuck Miller of Culpeper said he thinks an increase in the gas tax would be a better way of generating money for transportation. "I know you want to get out of the liquor business, but it does make a lot of money," Miller said. Some of the legislators in the audience also remain unconvinced.
1/2 of a brain.:) If it's broken-fix it. If it aint leave it alone. I dont feel like its the right time to be getting into this. I agree completely w/ keepvabeautiful. U said it just right:) Hey.Soldat, I have been a smilin in agreement w/u for 3 days.With a name like Sold at 65-did I miss a good auction somewhere?:) :)
I didn't know the ABC stores sell wine. Hooda thunkit...
being the sole retailer of liquor aren't really concerned about control of liquor sales. If they have half a brain, they know the state can control sales regardless of who sells it. What they're really concerned about is all the money the state is currently making and what will replace that money. They have no problem with the state monopolizing an industry and acting as the "pusher" for a legal drug. It's actually kind of frightening. I wonder what else they'd be in favor of the state monopolizing...
Tastings in Virginia ABC Stores
During the 2010 legislative session, the General Assembly passed a bill allowing for tastings to be conducted in ABC stores. Gov. Bob McDonnell signed legislation into law, which takes effect July 1, 2010.
http://www.abc.state.va.us/stores/tastings.html
There isn't a url for me to post yet, but you can confirm this with any ABC employee, the Chariman, Chief of staff, etc.: VABC's net profit (after paying their own operating costs, etc.) is $228 million dollars. Over 30 million of it is going toward transportation. VABC is one of the few state agencies that bring in revenues for the state, so it's ridiculous to privatize it with our current economy. Wait until it makes better dollars and sense to do so.
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