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Proposal to sell wine in grocery stores sparks lively debate

Published:February 10, 2010, 12:02 AM

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Updated: August 21, 2010, 9:33 AM

The pros and cons of a new state proposal that would allow supermarkets to sell wine were

aired during a lively hearing Tuesday in downtown Buffalo.

Speakers gave clashing viewpoints about what effects Gov. David A. Paterson's plan would

have on the liquor store industry, wineries and the economy in general.

The City Hall hearing, sponsored by the Common Council's Legislation Committee, began with

presentations by three supporters of the plan.

David Mansfield owns 3 Brothers Winery in the Finger Lakes region and belongs to the New

York Wine Industry Association. He argued that Paterson's bill would dramatically expand

retail opportunities in an industry that is currently plagued by limited distribution

channels. The new law would help businesses expand and create jobs, he said.

Paul Speranza, vice president and general counsel of Wegmans, spoke on behalf of a

statewide coalition that is stumping for the law. He said surveys indicate that 70 percent of

New Yorkers want to see wine sold in supermarkets and grocery stores. Consumers recognize that

the law would make it more convenient and more economical to buy wine, Speranza said.

"Today is a local test of democracy, free enterprise and transparency of open government,"

he said.

But a Town of Tonawanda liquor store owner who is vice president of the New York State

Liquor Association painted a different picture. Marc Ressler, who owns Midnight Liquors,

warned that if state lawmakers pass the law, it will doom 1,000 liquor stores and cost

thousands of jobs at a time when New York is confronting the worst economy in generations.

"This is the equivalent of a giant corporate money grab," Ressler told Buffalo lawmakers.

"It's really disgusting."

Ressler disputed claims that the law would be a boom for state wineries, predicting that

many supermarkets would stock "cheap foreign-produced" wine and end up creating even more

competition for New York businesses.

He also noted that some law enforcement groups have opposed plans to expand wine sales to

supermarkets and grocery stores. Ressler cited data indicating that alcohol-related fatalities

would increase as a result of the law.

Supporters have been quick to note that 35 states currently allow wine sales in

supermarkets. They add that the new plan would generate hundreds of millions of dollars in

state revenues over the next few years that would help the state fund health and education

programs.

Proponents also insist the plan contains incentives for liquor stores that were not

included in a plan that was killed last year. The latest plan would allow liquor stores to

sell gourmet foods, snacks, gift baskets, cigars and other products.

It also would allow liquor stores to install automatic-teller machines, sell directly to

restaurants and other retailers and band together to buy products in volume. Store owners also

would be allowed to operate more than one outlet.

The Common Council is expected to consider a resolution next week that would put the city

in opposition to the governor's plan. Last week, the Erie County Legislature unanimously

passed a bill opposing efforts to let supermarkets sell wine.

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