Lawmakers are sending Oklahoma’s governor a bill supporters say will help liquor wholesalers struggling to survive.
Senate Bill 608 includes an amendment to give all licensed wholesalers access to the 25 top-selling wines and spirits in the state. The state Alcoholic Beverage Laws Enforcement Commission would compile the list quarterly based on the past 12 months of sales.
Senator Kim David said manufacturers and the ABLE Commission are misinterpreting the phrase "without discrimination" in last year’s distribution law change to mean they have two options: sell to one wholesaler or to all of them.
"No, 'without discrimination' is price. That means if you let two wholesalers or three wholesalers buy your product for delivery, then you have to do it at the same price," David said.
David said the confusion has led to manufacturers freezing out small wholesalers in favor of one of two mega wholesalers in the state.
Sen. Stephanie Bice said companies should get to pick the best distributor for their product.
"Coca-Cola, Frito-Lay, Wonder Bread — they decide who’s going to distribute their product. The convenience and grocery stores in your communities don’t get to choose which wholesaler," Bice said.
Bice, usually a proponent of alcohol law changes, said the matter should be addressed after an interim study because forcing the issue shuts down progress on other fronts.
"There’s been an offer on the table to allow for credit terms, which, currently, retail liquor stores have to purchase on COD. That would be huge for your communities, but because we’re rushing this legislation, that negotiation is no longer available to us," Bice said.