Sweetener on wine sales cuts no ice with legislators

STATEN ISLAND, N.Y. -- A Paterson administration plan to boost the possibility of permitting wine sales in supermarkets, by offering concessions to mom-and-pop liquor stores fearing the loss of revenue, doesn't go far enough, Staten Island lawmakers say.

One of the borough's boutique wine purveyors called it "rhetoric."

The state says it could net $300 million in licensing fees from grocery stores looking to sell wine, but Assemblyman Lou Tobacco called it a "one-shot" revenue boost while Assemblywoman Janele Hyer-Spencer predicted it would spell the demise of family-owned businesses.

It may be a moot point. A similar plan failed to pass the Legislature last year, and the $136 billion preliminary plan that the state Senate approved yesterday rejects the idea.

Gov. David Paterson's plan also would give liquor store owners the ability to own more than one shop by expanding licensing possibilities.

But Ms. Hyer-Spencer (D-East Shore/Brooklyn) said liquor store owners in the Brooklyn portion of her district told her they find dealing with the State Liquor Authority, which issues licenses, "onerous and problematic."

"They said they doubted the ease with which they would be able to obtain a license to expand and were suspect of the ultimate economic benefit," she said.

The Paterson plan also would permit complementary items, like cheeses, chocolates, cigars and gift baskets, to be sold by independent liquor stores as a revenue enhancer, something a number of Staten Island shopkeepers told the Advance in the past they weren't interested in.

Tobacco (R-South Shore) called the enticements "false incentives."

"The purpose of a liquor store is to sell liquor," said Tobacco. "They're not going to make any money selling chocolates and cigars. There are over 1,000 independent liquor stores in New York state. If this happens, it will have a ripple effect to local economies with the loss of business and jobs. This would really be detrimental to the loss of mom-and-pops."

"What I'm hearing is that liquor store owners say they aren't being heard and that dealing with the SLA is already a nightmare," added Ms. Hyer-Spencer.

She also said consumers would still not be able to be serviced with broad-based selections if they went to supermarkets to purchase wine.

"Right now, it's all rhetoric," said Jean Duggan, owner of Jean's Fine Wines & Spirits, West Brighton, who personally helps customers make their selections. "I don't believe it."

But Michael Rabinowitz, a spokesman for New Yorkers for Economic Growth and Open Markets, a coalition favoring the expansion of wine sales to supermarkets, noted the new proposal would permit independent owners to form co-ops to purchase liquor in bulk discount form.

He also pointed to a new Siena poll that showed 58 percent of New Yorkers favor being able to purchase wine in supermarkets.

Tobacco said he wasn't impressed by the number.