HARRISBURG, Penn. – For the first time in its history, the Pennsylvania General Assembly has approved legislation to privatize the state liquor system. While the Pennsylvania House has twice passed a similar bill, this is the first time the Senate has also approved it, by a 27-22 vote.

Under the bill, state liquor stores would be phased out and the state-run beer wholesale system would be leased to private interests. The liquor privatization plan would allow about 14,000 beer-sales license holders – retailers, restaurants, grocery stores and others – to pay a fee for permission to also sell wine, liquor or both. It would also provide a pathway to the closure of the approximately 600 state-controlled wine and liquor stores and allows for direct shipment of wine from other states. However, the bill still risks a veto from Governor Tom Wolf, who has opposed privatization of the liquor system in the past, but has agreed to review this new bill on its merits.

Proponents of the privatization bill cite convenience for consumers as a primary benefit, as well as increased tax revenue for the state. Its opponents are concerned that it will result in elimination of state jobs and revenue.

The bill would allow grocery stores with restaurants to buy licenses to sell limited amounts of wine and liquor for carryout, along with beer they can sell now. It would also allow consumers to purchase up to five bottles of wine and two bottles of liquor at some grocery stores and convenience stores with eating areas.