A Kansas Senate panel continued hearing testimony on Wednesday regarding a bill that would allow grocery and convenience stores to sell liquor and stronger beer.
On Wednesday, the Senate Federal and State Affairs Committee heard arguments from opponents of the bill that said the measure could force mom and pop liquor stores out of business. This followed testimony Tuesday from proponents of the measure who claimed that rural grocery stores and convenience stores could create new jobs.
The bill would allow more stores the ability to sell wine, liquor and “full-strength” beer beginning Jan. 1, 2012 and would phase in liquor sales at grocery and convenience stores by 2015.
Presently, the state does allow those stores to sell “cereal malt beverages” or “weak” beer. Kansas is one of only five states that regulates sales based on brewing strength. Missouri does allow for stronger beer and wine to be sold at grocery and convenience stores.
Opponents said Wednesday that the cost for the state to implement the bill could well outweigh any benefits.
"We've tried to focus on the economic problems with the legislation," said Spencer Duncan, spokesman for Keep Kansans in Business, a coalition of liquor stores against the measure. "It will cost the state $1.3 million to implement the system.
"The State of Missouri has seen additional costs dealing with increased DUIs, selling to minors and things like that.”
Trade associations for Kansas grocery and convenience stores have formed their own coalition, the Coalition for Jobs and Consumer Choice. That group does include giant chains such as Wal-Mart Stores, Inc.
On Tuesday, Gary Haag, who operates BP gas stations in Topeka and Lawrence, testified on behalf of that group and said that current laws hold Kansas back in economic competition for sales.
“Rather than unfairly giving a leg up to one particular minority, Kansas should pass this law to make all retailers more competitive,” said Haag.
The bill would create three separate license structures. Currently, liquor stores have to hold a special license allowing them to sell liquor. There are 766 such licenses in Kansas and that number could not increase between July 1 and Dec. 31, 2014. Grocery and convenience stores could obtain one during that timeframe if a liquor store closed or sold its license. After Jan. 1, 2015, the state would resume issuing unlimited retail liquor licenses.
State Sen. Pete Brungardt, a Salina Republican and chair of the Federal and State Affairs Committee, said that he has not polled the committee to gauge their interest, but he said it was there.
"The committee is interested and there are some amendments being drawn up," said Brungardt. "I've had some conversations, but I really don't know where everyone stands."
The committee’s ranking minority member, Sen. Oletha Foust-Goudeau, a Wichita Democrat, said she is presently in a “wait-and-see” mode.
"One side says that its economic growth and job creation and, certainly, our state is looking at different ways to generate revenue," said Foust-Goudeau. "But, anything in this building will face opposition."
A Kansas Senate panel continued hearing testimony on Wednesday regarding a bill that would allow grocery and convenience stores to sell liquor and stronger beer.
On Wednesday, the Senate Federal and State Affairs Committee heard arguments from opponents of the bill that said the measure could force mom and pop liquor stores out of business. This followed testimony Tuesday from proponents of the measure who claimed that rural grocery stores and convenience stores could create new jobs.
The bill would allow more stores the ability to sell wine, liquor and “full-strength” beer beginning Jan. 1, 2012 and would phase in liquor sales at grocery and convenience stores by 2015.
Presently, the state does allow those stores to sell “cereal malt beverages” or “weak” beer. Kansas is one of only five states that regulates sales based on brewing strength. Missouri does allow for stronger beer and wine to be sold at grocery and convenience stores.
Opponents said Wednesday that the cost for the state to implement the bill could well outweigh any benefits.
"We've tried to focus on the economic problems with the legislation," said Spencer Duncan, spokesman for Keep Kansans in Business, a coalition of liquor stores against the measure. "It will cost the state $1.3 million to implement the system.
"The State of Missouri has seen additional costs dealing with increased DUIs, selling to minors and things like that.”
Trade associations for Kansas grocery and convenience stores have formed their own coalition, the Coalition for Jobs and Consumer Choice. That group does include giant chains such as Wal-Mart Stores, Inc.
On Tuesday, Gary Haag, who operates BP gas stations in Topeka and Lawrence, testified on behalf of that group and said that current laws hold Kansas back in economic competition for sales.
“Rather than unfairly giving a leg up to one particular minority, Kansas should pass this law to make all retailers more competitive,” said Haag.
The bill would create three separate license structures. Currently, liquor stores have to hold a special license allowing them to sell liquor. There are 766 such licenses in Kansas and that number could not increase between July 1 and Dec. 31, 2014. Grocery and convenience stores could obtain one during that timeframe if a liquor store closed or sold its license. After Jan. 1, 2015, the state would resume issuing unlimited retail liquor licenses.
State Sen. Pete Brungardt, a Salina Republican and chair of the Federal and State Affairs Committee, said that he has not polled the committee to gauge their interest, but he said it was there.
"The committee is interested and there are some amendments being drawn up," said Brungardt. "I've had some conversations, but I really don't know where everyone stands."
The committee’s ranking minority member, Sen. Oletha Foust-Goudeau, a Wichita Democrat, said she is presently in a “wait-and-see” mode.
"One side says that its economic growth and job creation and, certainly, our state is looking at different ways to generate revenue," said Foust-Goudeau. "But, anything in this building will face opposition."