Mustio Votes to Send Historic Liquor Privatization Legislation to Governor’s Desk
6/30/2015
HARRISBURG – Further paving the way to privatize the wholesale and retail operations of the Pennsylvania Liquor Control Board (PLCB), Rep. Mark Mustio (R-Allegheny) applauded today’s House concurrence vote to send House Bill 466 to the governor’s desk for signature.

“Pennsylvania consumers continue to demand improved selection, lower prices and increased competition in the purchase of their wine and spirits, and this amended version of House Bill 466 that we are sending to the governor’s desk delivers on all of these counts,” said Mustio. “The simple fact that Pennsylvania’s current state store system is not being immediately privatized creates an unprecedented opportunity for these stores and their employees to thrive under a greatly expanded system of competition.”

Highlights of the amended version of House Bill 466 include:

Closure of State Stores (Consumer and Job Protections): The closure of state stores would occur over time to ensure that there is adequate private-sector service in the area prior to the closing of a state-run store. The PLCB must take into consideration the availability and accessibility of liquor to the public through the private retail market. PHEAA grant eligibility for displaced workers of the state store system will also be extended under House Bill 466.

Increased Revenue through Expanded Wine and Liquor Permits: Increased revenue (roughly $220 million) would be generated for the Commonwealth through a license fee by wholesalers and enhanced permit fees. Current licensees holding a restaurant or hotel license will have the ability to obtain a wine and liquor permit to sell wine and liquor to go. Current beer distributors will have six months to obtain wine and liquor permits to sell wine and. The number of permits available is based on the current number of licensed distributors in a county. After six months, any remaining permits not obtained by distributors will be offered to the general public through auction. Current importers may obtain a permit giving them the ability to sell and distribute their products in the Commonwealth over a 10-year period.

License Safekeeping: Additionally, House Bill 466 reduces the duration that a liquor license may be kept in safekeeping from three to two years. For each subsequent year a license is kept in safekeeping, beyond the initial two years, the annual licensing fee will double from the previous year’s fee paid. A fee will not be assessed if the license cannot be used due to an event such as fire or flood that would render the premises unusable.

“Government has many responsibilities, such as providing a quality education and also for ensuring public safety by vigorously regulating the distribution of alcohol and cracking down on minors and those who drink and drive,” said Mustio. “Selling wine and liquor – let alone promoting its use – should not be considered as a legitimate core function of government. Under House Bill 466, state government will still be serving the people, but it will no longer be responsible for serving or selling them alcohol.”

Pennsylvania remains only one of two states to maintain complete control over the sale of wine and spirits. Visit RepMustio.com and Facebook.com/RepMustio for the latest legislative updates.

Representative Mark Mustio
44th District
Pennsylvania House of Representatives

Contact: Ty McCauslin
717.772.9979
RepMustio.com / Facebook.com/RepMustio