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Senate Bill Seeks to Ban Hard Liquor Sales in Grocery Stores | Colorado Watch

Legislative Action Aims to Preserve Independent Liquor Stores in Colorado

In a bid to shield independent liquor stores from increasing competition posed by grocery chains, Colorado legislators have introduced Senate Bill 25-33. This proposed law aims to place a cap on grocery stores selling hard liquor through a unique license initially designated for pharmacies, limiting the number to approximately 25 existing establishments, including chains like King Soopers and Costco.

Sponsored by Senators Judy Amabile, D-Boulder, and Dylan Roberts, D-Steamboat Springs, the bill seeks to halt the issuance of new Liquor License Drug Stores (LLDS) licenses. Last year, similar legislation was proposed but did not pass. The increased competition underscores a growing concern for independent liquor businesses since the approval of Proposition 125 in 2022, which allowed grocery stores to sell wine and previously limited them to selling low-alcohol beer.

According to Amabile, the initiative aims to support struggling independent liquor outlets, which have seen a troubling decline in recent years as larger grocery retailers entered the spirits market. Bruce Dierking, co-founder of Hazel’s Beverage World, emphasized that grocery stores wielding LLDS licenses threaten the viability of independent liquor stores.

The bill’s proponents hope to establish a sustainable environment for local liquor retailers while current license holders would remain unaffected. Additionally, the legislation seeks to limit ownership to a maximum of eight liquor licenses per group.

However, the bill has faced opposition from grocery chains and advocacy groups who argue it undermines consumer choice and disrupts the modernization of Colorado’s liquor laws. Ray Rivera, director of Coloradans for Consumer Choice, criticized the bill as a regression against the changes voters have enacted.

As the debate unfolds, the Senate Business, Labor, and Technology Committee will review the proposal, although no hearing date has been set yet. The outcome of this bill could significantly shape the future landscape of liquor sales in Colorado.

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