Michigan C-Stores Upset Over Change in Beer, Wine Sales

A new law lifts a restriction for convenience stores operated by big-box retailers but not for single or small chain operators.

May 03, 2016

GRAND RAPIDS, Mich. – For years, Michigan’s law allowing retailers with an inventory of at least $250,000 to sell alcohol and gasoline has made it hard for smaller convenience stores to stock wine and beer. But a new law that removes the inventory restriction for convenience stores operated by grocers like Costco, Kroger, Meijer, SpartanNash and Walmart has independent retailers fuming, MLive.com reports. The change, signed by Gov. Rick Snyder in early April, allows retailers to add a secondary liquor license by citing the inventory in one of their nearby, larger grocery stores.

“It’s a Meijer carve-out law,” said Mark Griffin, president of the Michigan Petroleum Association and Michigan Association of Convenience Stores. “The legislature chose to back big business over small business.” His group tried to squash the new legislation, which lifts the inventory rule for around 300 rural gasoline stations that are the only convenience store in the area. Griffin estimates the law impacts around 2,000 convenience stores.

“It's not a level playing field,” said Dennis McCarthy, owner of the Blarney Castle Oil & Propane chain of 120 locations. “We just want the same ability to compete. We don't mind competition. That is what America is all about. It is a free enterprise system but there are different rules for different people.”

Because of protests by McCarthy, Griffin and others, last week Senate Majority Leader Arlan Meekhof sponsored a bill that would remove the prohibition on selling wine and beer at gasoline stations, and remove the $250,000 inventory regulation as well. The legislation would replace it with a quota system to hand out licenses.

Advertisement
Advertisement
Advertisement