Bill banning wine shipments heads to governor, but more work looms

A bill that would largely prevent out-of-state retailers from shipping wine to Michigan customers is on its way to Gov. Jennifer Granholm, but not without continuing concern by some Michigan businesses.

While House Bill 6644 would allow businesses that hold beer and wine retail licenses to continue to do catering -- one initial concern raised with the legislation -- the bill’s stipulations on how beer and wine can be delivered hurt gift-basket shipping, some say.

The bill requires Michigan businesses that hold beer and wine retail licenses, as well as comparable out-of-state retailers, brewpubs and microbrewers, to deliver the beer or wine via their own employees and not a third-party delivery service.

Eric Rule, director of governmental affairs for the Michigan Retailers Association, said that can make gift-basket delivery unaffordable or impractical.

“We are completely unsatisfied,” he said.

In limiting the means of delivery for all shippers, in-state and out-of-state, the bill is designed to respond to an October federal court ruling that found unconstitutional Michigan law that bans out-of-state retailer shipping of wine but permits in-state retailer shipping.

Although the bill passed the Legislature, the Senate did not give it immediate effect, so it will not take effect until a few months after signed by Granholm.

Rule said he is hoping in the interim to continue working on retailers’ concerns and said Senate Economic Development & Regulatory Reform Committee chairman Alan Sanborn, R-Richmond, has indicated that he wants to work with the association next year “to try to find some common ground.”

The Sacramento, Calif.-based Specialty Wine Retailers Association blasted the bill’s passage as protecting Michigan beer and wine wholesalers at the expense of Michigan residents who will have fewer wine choices.