NEW JERSEY -- Lawmakers in New Jersey are considering proposals to allow wider sales of liquor in supermarkets, permitting chains such as Acme and Wegmans unfettered access to liquor licenses, the Philadelphia Inquirer reports.
The legislative debate in Trenton pits consumer convenience against underage-drinking enforcement, and liquor-store owners against grocery operators.
The bill would eliminate the existing limit on one person or corporation owning more than two retail liquor licenses. That restriction, created in 1962, was designed to combat corruption, chain ownership, and out-of-state control.
State regulators and liquor-store owners say those concerns are still valid, while supermarket owners argue today’s shoppers want to buy their wine and beer where they buy their food.
Forty-six states permit some beer, wine or liquor sales in grocery stores (only Pennsylvania, Delaware, Rhode Island and Alaska have outright prohibitions), according to the newspaper. New Jersey’s restrictions on liquor licenses mean most supermarket chains have only two stores in the state that sell alcohol; some others franchise their store names to adjacent liquor stores.
Whole Foods, for instance, has nine stores in New Jersey, but sells alcohol only in its Middletown and Madison stores.
Across the state, there are 1,780 retail liquor licenses, according to the state Division of Alcoholic Beverage Control. The number of licenses is governed by population: a municipality may issue one retail license for every 7,500 residents.
Deana Lykins, a lobbyist for the New Jersey Food Council, said supermarkets are not interested in increasing the number of licenses in the state, just in having access to the ones that exist.
Liquor-store owners, though, fear the supermarket chains could eventually outbid them for licenses that can sell for as much as $500,000.
Supporters say they expect the legislation to be reintroduced early next year if no action is taken this session.
Jerry Fischer, director of the state Division of Alcoholic Beverage Control, said it would be harder to police sales to minors or intoxicated persons if supermarket sales were broadened, and he said state public policy could be “subordinated to the economic interests of out-of-state corporations.”
And Fischer warned of supermarkets’ driving local liquor stores out of business.
“This administration has always been concerned about small businesses,” he said. “You want small businesses that have a tie-in to the community.”