I just got off the phone with the head of the Department of Public Health. He told me that the state had decided to sell the liquor division that operates our liquor stores. He is hopeful that this will help the Department of Alcoholic Beverage Control save money in the long run and help the state find funds to upgrade the state’s alcohol distribution system.
The state decided to sell the liquor division that operates our liquor stores because it’s the only division that has the power to purchase products from outside of state-owned stores. It is not the only division that does this, but it’s the division that has the power to make such purchases. The department has made in excess of $1 billion in sales since 2004.
Of course, these savings are not evenly distributed. In the long-run, the savings from the privatization will go to the state’s coffers. One of the things on the agenda for the next liquor privatization is to reduce the number of bottles from the state-owned stores. The state will purchase more bottles from out-of-state stores, so that more of the alcohol sold in the state is purchased from out-of-state retailers.
The state has been selling off their liquor stores because of the state’s budget woes. The state’s tax revenue has fallen from $1.4 billion in 2003-2004 to $1.1 billion in 2007-2008, according to the State Auditor’s Office. With the state facing budget problems again, the privatization may take longer.
The state’s own liquor stores, such as the one in Georgia for instance, have been a point of contention regarding privatization. The state has had to fight a number of protests, including a one-year closure of the store in 2010, before deciding to sell off the majority of its stores. The sale of these stores was approved by Georgia’s legislature in April.
The governor of Georgia was also a big fan of the privatization in the beginning, so we just assume that his approval for the sale will be the same. After all, he’s a politician, and they have to sell something to get their cut. The governor didn’t say what the revenue-sharing is for this particular sale, and it’s unclear whether this is a full privatization or a partial sale.
As we understand the news, the sale will be a partial privatization. Its unclear what the percentage is of the liquor stores that will be sold, and if the state will be purchasing the liquor stores for the state. The governor did not say what the revenue-sharing would be for this sale. However, that is one of the many things that are unknown.
Given the fact that the governor is talking about selling off state liquor stores in a way that is completely unknown, any information regarding the revenue-sharing for this sale is important. Thats because the state will likely be receiving the proceeds from this sale from the liquor stores being sold. That is because they would have sold a majority of the liquor stores.
The state government still needs to find a way to get revenue for the liquor stores. While the federal government doesn’t have their hands tied, they have to negotiate, and they will likely have to pass on some of that revenue to the state. That is because liquor stores would be selling product that is not taxed by the state government. This is where the state’s revenue-sharing should come from.
The liquor stores will likely stay as is, but the rest of the state government would have to find a way to get their portion of the liquor taxes. There is a reason why they are selling.