By Kevin Wilkerson, PubClub.com Editor & Publisher
This is an opinion column
There is a proposed bill in Colorado that would create a per-gallon fee on beer, wine and liquor for alcohol manufacturers and distributors. If passed, it would add 35 cents per liter for liquor, 7 cents per liter for wine and 5 cents per gallon for beer. The funds raised would go into what is called an enterprise fund to be used for substance use prevention and treatment programs. Yeah, and we know what happens to money when it’s supposed to go to one area; it usually winds up somewhere else.
Introduced by Democratic Rep. Jamie Jackson of Arapahoe County, he said it would support prevention efforts, community-based treatment and high-intensity services, including inpatient treatment and crisis detox. He claims “alcohol-related harms cost our state between $5 to $6 billion each year.”
Well that’s not the fault of the breweries and companies who produce and sell the beer, wine and spirits. To tax them for producing something that is beyond their control is just plain wrong. The breweries are suffering enough as it is; Nearly 200 have closed across the state since the COVID-19 pandemic. Adding to their cost could cause even more to close.
“We’re just trying not to die by a thousand cuts,” Katie Nicholson, owner of Old 121 Brewhouse and vice chair of the guild’s board, told Denver’s Fox 31. “Everything against this industry is threatening shutdowns. It could be the tipping point for one brewery.”
Personally, I think it is unfair to punish the makers of something because some people can’t control themselves. It is not the responsibility – nor should it be the responsibility – of the manufacturer to supervise those who use its products. Listen, some people have problems with addiction and other issues. I know someone, in fact, who has such a problem that friends won’t even dare to go to a restaurant with him for fear it will trigger an avalanche of drinking by just being around alcohol. But that is not the fault of those who make the libations. If someone has a problem they either need to get help or have an intervention.
The role of the state, city or county is to have support services; the trick is getting those in need to realize and to utilize those services. Just pouring money into something that doesn’t solve the problem is a waste of money. And Colorado is spending $5-6 billion a year and still that’s not enough? Sounds like mismanagement to me.
Nicholson told Fox 31 that the smaller of her two brewing operations produced about 10,000 gallons of beer last year. At 5 cents per gallon, the proposed fee would add roughly $500 in annual costs.
“We are trying to take every increase internally that we can so we don’t have to pass that cost along to the consumers,” said Nicholson. “We don’t want it to get up to $10, $11, $12 pint, because that is unsustainable.”
If passed as written, the bill would go into effect in August. And what guarantee does Jackson have that the funds will be spent as intended? None. This proposed tax is simply a bad idea.
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