A Senate committee kills a bill legalizing the shipment of distilled spirits direct to consumers.
Jeremiah Murphy is a lobbyist for the Republic National Distributing Company based in Sioux Falls. He said there are three main things that weaken SB 130.
“It has real regulatory and tax collection implications that are basically going to mean the state will pay more money to collect less. Point two, it’s unfair to local retailors in a couple of respects, the most obvious being your local retailor cannot deliver his product or her product to your home. But, this will allow out-of-state entities, small out-of-state entities to deliver spirits directly to folks’ homes. The third point is this is gonna make it easier for minors to access spirits,” Murphy said.
District 07 Sen. Tim Reed is the bill’s prime sponsor. He disagreed, saying it meets the needs of consumers in the state.
“We did wine, we did this for wine several years. And the sky has not fallen. Matter of fact, I think consumers are very happy. I believe that it still drives people to stores to buy wines that they’re interested in. You’re not going to order one bottle here or there, usually you’re part of a club where you can’t get something from somewhere else. But if you want just to get a bottle of good old 7 Oaks, you’re going to go to your retail and get it,” Reed said.
Despite Sen. Reed’s objections, the Senate and Commerce Committee rejects the bill 5-2. Those voting no said the system in place is operating fine as is.
