Gov. Robert F. McDonnell will unveil a proposal Wednesday to close 332 state-owned liquor stores and replace them with 1,000 private retail outlets -- a scaled-back version of a plan he's pushed for months to end Virginia's monopoly on the sale of distilled spirits.
Under the proposal, the state is expected to reap at least $200 million upfront for the sale of new liquor licenses and $13.1 million more than it now collects each year in profits and taxes at Alcoholic Beverage Control stores, according to the governor's office.
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Under McDonnell's new liquor proposal which he will unveil Wednesday, the state will continue to act as the wholesaler of liquor in Virginia, buying thousands of cases of booze directly from distilleries and selling it at a profit to private retailers, which would then set prices for consumers.
I'm really torn on this issue. I'm not really in favor of the Commonwealth banning private liquor sales. However, the Commonwealth relies on the money they make from the ABC stores, which makes it difficult to end the revenue stream without some way to offset the loss. It hurts even worse in Northern Virginia where we send lots of tax revenue to Richmond and get very little back. Therefore, I think any privatization plan needs to find raise enough revenue to replace that lost by the sale of the ABC stores, whether it be from liquor licenses or some other source. I know, real solid plan I have.
2 comments:
after much consideration....i think they are both silly. why should virginia be remotely involved in the private sales of alcohol. they aren't involved in the sale of coffee, soda, or even cigarettes (besides sales tax or death taxes).
down with monopolies! down with state owned businesses!
I could not agree more with Whitney on this one. While dobber's concern re: lost revenue is certainly a fair concern, it serves as simply another obstacle to get it right in the Commonwealth when it comes to booze.
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