House OKs more wines at grocers
Senate is sent bill to boost selection
A bill to allow grocery stores to sell an expanded selection of wines was approved 53-34 by the House on Wednesday after failing to pass Monday.
Senate Bill 284 by Sen. Bart Hester, R-Cave Springs, now heads back to the Senate for concurrence in a House amendment. If the Senate approves of the change, the next stop would be the governor’s office.
The bill is supported by Wal-Mart Stores Inc. and Kroger Co.
Many liquor store owners are opposed to the legislation because they say it would harm their businesses, but a promise from the grocers that they would not support elections for more counties
to allow alcohol sales for eight years has some county-line liquor stores supporting the bill. Forty of the state’s 75 counties are “wet,” according to the state Department of Finance and Administration.
People involved with winery operations in Arkansas have testified on both sides of the issue. Grocery stores now are allowed to stock only wine from small wineries, which limits the stores’ selections and sales. At the same time, the law benefits some of those small wineries, which receive exclusive exposure in supermarkets.
A compromise included in the bill means that half the grocery-store wine-permit fees would be paid to Arkansas wine producers and half would go toward a wine tourism facility in Franklin County, which includes some wineries.
Several lawmakers switched from voting against the bill Monday to voting for it Wednesday. Among those was Rep. Charles Blake, D-Little Rock, who said the grocers promised not to push until after 2025 for further legislation to allow them to sell liquor in their stores.
That would be in addition to the pledge not to push for more wet counties.
“I had concerns that it was going to be a slippery slope, a snowball effect … that would be putting these small businesses out of business,” he said.
Reserving liquor for the
liquor stores made him more comfortable with the bill, Blake said.
Rep. Sarah Capp, R-Ozark, and others who worked on the legislation, have said the deal includes compromises that would not be achieved if an interested party backed a statewide initiative to change the law.
“We have the option here today of accepting a deal that takes alcohol off the table for eight years,” she said Monday.
Rep. Greg Leding, D-Fayetteville, made the motion to reconsider the bill Wednesday, though he said he was against the bill. He said the motion was made out of courtesy.
Several lawmakers who voted against SB284 argued against reconsidering the bill.
“This applies to more than just this bill,” said Rep. Jana Della Rosa, R-Rogers. “This applies to every future bill that happens after this because we are setting a precedent that we will take a second pass at something if someone really wants to lean on us, and I don’t think that’s a path we really want to go down.”
And others said lawmakers should look out for the state’s small businesses — despite Wal-Mart’s support of the bill.
“There’s been some talk about Wal-Mart. Let me tell you something about Wal- Mart. I worked for Sam. Sam campaigned for me in 1978, and I know a little bit about how Sam Walton felt as much [as], or more than, anybody in this chamber,” said Rep. Kim Hendren, R-Gravette, who voted against the bill.
“But I’m down here speaking against a bill that some people say is a Wal-Mart bill, and I don’t do it with apology at all. It’s not easy. I don’t drink. I never have used that product. But I’ll tell you what, I do care about the little people of Arkansas, as did Sam Walton, and I know because I was there and I saw it and I worked for him.”
But Rep. Jack Ladyman, R-Jonesboro, said those voting both for and against the bill would be voting for some small businesses.
“We’ve had a lot of discussion about big business vs. the small guy,” said Ladyman, who voted for the bill. “Let me tell you, this is not big business against the small guy. I’ve got some small guys that are grocers in my district that have called me that want this bill to pass. One grocer, he only has two stores, so he’s a small businessman.”
House Speaker Jeremy Gillam, R-Judsonia, had taken to the House floor to support SB284 on Monday. That’s the only time he’s done so for a bill during this session.
He argued that Arkansas needed to move toward freer markets.
“There are winners and losers in about everything that we do,” he told lawmakers. “Our goal is to minimize the collateral issues as much as humanly possible.”