Wine sales in grocery stores is a contentious budget fix

In a Cornell University study conducted by Bradley Rickard, assistant professor of applied economics and management at Cornell, a model was created that assessed the likely impact of introducing wine into grocery stores. Twenty-one simulation experiments were conducted and found that liquor stores stand to lose 17-32 percent of their business. Also, out-of state wineries would benefit from the bill and in most cases in-state wineries would gain revenue as well.

"Most of the arguments I make … support this bill," said Rickard. But, "I can't throw all my support behind it," because of the issue that liquor stores are going to lose revenue from wine sales. Rickard also said he would like to do more research about what the new provisions would do to help liquor stores. "I'm interested in trying to quantify the benefits of the provisions in the current bill," Rickard said. "I'm also curious about other provisions that aren't in the current bill."

But the issue is sure to be as contentious as it was last spring before the bill died.

"Sales are down dramatically. People are not buying wine and liquor. On top of that asking [liquor stores] to take a 30 percent pay cut is going to have a devastating impact," said Michal McKeon, a spokesman for the Last Store on Main Street, a coalition of small business owners.

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