Legislative session is over, but wrapping up continues

Governor vetoes ‘liquor wall’ bills, OKs lease tax cut.

TALLAHASSEE — The end of the legislative session each spring is rarely the end of the story. The ripples from the fall of the final gavel keep traveling for weeks, either in the form of bills that make their way to the governor’s desk, or things left undone.

Both of those kinds of consequences led to disappointment or confusion in two substance-related industries that backers paint as trying to move forward. Big-box retailers that supported the right to sell liquor alongside groceries saw their efforts rebuffed by Gov. Rick Scott, who vetoed a hard-fought measure aimed at tearing down t he s t at e’s “l i quor wall.”

Meanwhile, disputes continued over the state’s medic al-mariju ana market, a reminder that the system of nurseries is just as much of a business as corner drugstores, even if the legal footing for the latter is firmer in the eyes of federal officials.

And with plenty of uncertainty about just how final the Legislature’s decision on the state’s annual spending plan will be, one departing state official announced he would stay on the job a bit longer — even as the churn of agency heads continued.

After hours of debate and House approval that rested on a dubious one-vote margin, there was no final victor y toast for those who supported getting rid of a decades-old law requiring hard spirits to be sold in separate facilities from groceries and other retail goods. Scott might be a Republican, but he saw no reason to tear down this wall.

In typical Scott fashion, he attributed the decision to one thing: jobs, and specifically those that small-business owners said would be lost if the bill was approved. The veto was a victory for independent liquor-store owners, ABC Fine Wine & Spirits and Publix Super Markets, which fought the bill during the legislative session that ended May 8.

“I carefully reviewed this bill and I have met with stakeholders on both sides,” Scott said. “I listened closely to what they had to say and I understand that both positions have merit. Nevertheless, I have heard concerns as to how this bill could affect many small businesses across Florida. I was a small business owner and many locally owned businesses have told me how this bill will impact their families and their ability to create jobs.”

Left to cry in their beers — which, along with wine, can already be sold in bigbox stores — were supporters of the proposal (SB 106) like Target, Costco and WalMart. They had banked on a free-market and convenience argument that came up short, even as the bill got closer to becoming law than it has in earlier attempts.

“We have made tremendous progress in the last four years, and there is a clear momentum in Florida for this common-sense approach to liquor sales,” said Michael Williams, a spokesman for the group Floridians for Fair Business Practices, which supported the repeal. “While Governor Scott ultimately chose to veto Senate Bill 106, we look forward to working with state leaders in the future to finally put an end to this outdated, Prohibition-era law.”

It was Scott’s first veto of the year, but if the Tallahassee rumor and speculation mill is to be believed, it probably won’t be his last.

The governor also gave approval to some big-ticket or even medium-sized items last week. He signed a taxcut package that was much s mall e r t han t he one he requested but includes some consumer-friendly items like tax-free holidays for back-toschool shopping and hurricane gear and a repeal of the “tampon tax.”

“Since I’ve been in office, I’ve fought to cut taxes and reduce burdensome regulations to help boost Florida’s economy and ensure our children and grandchildren have the opportunity to succeed in our great state,” Scott said in a prepared statement. “Every time we cut taxes, we are encouraging businesses of all sizes to create opportunities for families across the state, and more money is put back in taxpayers’ pockets.”

The savings are projected to reach $180 million over two years due to some perma n e n t c u t s . S c o t t h a d requested $618.4 million in cuts before the legislative session, and an initial House package approached $300 million. But the package was scaled back substantially as the House and Senate negotiated a budget for the fiscal year that starts July 1.

Business groups also got some goodies, including a reduction in the commercial lease tax from 6 percent to 5.8 percent. That’s projected to save businesses $25.4 million next fiscal year, with that total growing to $61 million when the cut is in effect for a full year.

Business groups have long argued that the state should repeal the tax, and Scott had asked for the lease tax to be dropped to 4.5 percent.

“The most significant steps are often the first ones we take on an issue, and this cut opens the door for future reductions of this burdensome tax,” said Maria Wells, Florida Realtors president, in a release.