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June 26, 2005

Internet wine bills test lawmakers' loyalties

The issue:
Proposed bans on Internet wine sales

Our view:
It's consumers vs. the liquor lobby

See Related Story:
Legislators prepare new wine-shipping proposals - June 19, 2005

      It would be touching, really, if it weren't so blatantly cynical.
      And we'll soon see if state lawmakers have the political will to withstand the phony-baloney lobbying and the big bucks behind it.
      Within days of a U.S. Supreme Court ruling that struck down Michigan's ban on interstate wine shipments, a group calling itself the Coalition for a Safe and Responsible Michigan sprang into action.
      A press release in which the group described itself as an "alliance of educational, law enforcement and safety organizations" strongly endorsed newly proposed state laws (which also popped up almost overnight) that would ban such shipments.
      The aim is "to protect our kids," the group says.
      The reality, however, is that the "coalition" is anything but a "grassroots organization of safety conscious groups and concerned citizens."
      And the main concern of its major players has nothing to do with protecting "our kids." It's "protecting our profits."
      What the press release pointedly did not say was that some coalition members are not, in fact, "educational, law enforcement and safety organizations."
      Four that aren't: the Associated Food Dealers of Michigan; the Michigan Beer and Wine Wholesalers Association; the Michigan Licensed Beverage Association(*); and the Michigan Liquor Vendors Association.
      Grassroots, indeed. And it's probably just a coincidence that all four groups stand to lose money - and their monopoly over the sale of beer, wine and liquor - if consumers are allowed to order wine and other spirits over the Internet.
      There really are people concerned that such shipments make it too easy for minors to get their hands on alcohol, and it's a public policy issue that must be addressed.
      But the reality is that in states where Internet purchase of wine and spirits is allowed, there has been no discernible problem. The Supreme Court, in fact, ridiculed claims to the contrary in its ruling.
      That makes sense. Compared to the relative ease of finding a 21-year-old willing to buy beer for minors or minors simply using fake IDs to get booze, buying wine over the Internet is problematic.
      Teens need a credit card to do it. Wine is usually not Teen Choice No. 1. Wine over the Internet is not cheap. Minors are also betting they'll be home when the package arrives.
      Such sales are a concern, but one that pales in comparison to worries over minors having access to shelves and shelves of liquor at big grocery stores or what's in mom and dad's liquor cabinet.
      For too long, the Michigan Legislature and Michigan Liquor Control Commission have acted like wholly owned subsidiaries of the Michigan Beer & Wine Wholesalers Association, which now handles 90 to 95 percent of all wine sales in Michigan.
      It is one of the biggest and most active lobbying organizations in the state, and contributes thousands to campaign war chests every year.
      As an example of its clout, lawmakers last year actually passed, with a straight face, legislation they said would promote price competition.
      The catch was that the bill allowed prices on liquor to only go up, not down. It was a sham and lots of people knew it and said so. But it's now the law and many retailers promptly raised their prices.
      State Sen. Michelle McManus, R-Lake Leelanau, and Rep. Howard Walker, R-Traverse City, have proposed a compromise bill that would allow wineries to ship wine with some restrictions on the amount shipped and verification of the person doing the ordering.
      It makes sense, it's fair, and it protects the interests of the two dozen or so northern Michigan wineries, which wouldn't even be able to continue in-state shipping under the new Michigan Beer & Wine Wholesalers Association bills.
      Taxpayers will soon see just who their lawmakers represent.
      On one side are voters, consumers and local, independent wineries. On the other is the liquor lobby.
      Given past history, don't bet against the lobbyists.
     
Clearing the Record
Due to incorrect information given the Record-Eagle and an incorrect reference on a Web site, this editorial said the Micihgan Licensed Beverage Association is a member of the Coalition for a Safe and Responsible Michigan. The Beverage Association dropped its membership in the group in May.

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