Alcohol sales debate to be heard by House Committee

The number of beer bottles on the shelves in retail stores might be decreasing on Sundays within the next few years.

Supporters of ending Indiana’s ban on the sale of alcohol on Sundays will soon know if their measure will move forward in the legislature. Rep. Bill Davis, R-Portland, chairman of the House Public Policy Committee, will bring House Bill 1146 to a vote by the Committee before it can be discussed in the House of Representatives.

Feb. 6 was the first time an Indiana House Committee had taken up the proposal to end the retail sale of alcohol on Sundays, although legislators have filed to end the ban multiple times in the past.

Indiana is the only state that currently prohibits the sales of alcohol in retail establishments on Sundays.

HB 1146 would allow grocery, convenience and liquor stores to sell carryout alcohol on Sundays. Indiana law currently allows for individuals older than 21 to consume alcohol on premises at bars and restaurants on Sundays.

Senate Bill 75, signed into law by former Gov. Mitch Daniels in 2010, allowed breweries to sell items for carryout on Sundays.

Rep. Sean Eberhart, R-Shelbyville, author of HB 1146, said the main reason for the bill is to get rid of a silly, outdated law on the books.

“My bill would bring some consistency to our alcohol beverage laws,” Eberhart said. “It would not really invent the wheel. It would allow those who want to purchase alcohol on Sunday to take it home and consume it in a safe environment.”

John Livengood, president of Indiana Association of Beverage Retailers, said passing HB 1146 would be devastating for liquor stores because they would have to be open seven days a week.

“Fortunately, the state’s general assembly has cared more about protecting its own policy they created a long time ago, than they have been in helping the big stores enrich themselves outside of Indiana,” Livengood said. “The battle here is over whether the state’s policy is going to continue whether alcohol should primarily be sold in stores.”

Livengood said HB 1146 is an effort by retail stores to attract more shoppers to their stores.

“It’s just about them wanting to make more money. It’s not about anything else,” he said. “They wouldn’t spend the money they’ve spent on this campaign, if they wouldn’t benefit financially.”  

Livengood cited a 2006 study from Ball State University which reported approximately 2,000 people would become unemployed if alcohol sales were allowed on Sundays.
John Elliott, public affairs manager for the central division of Kroger, said Kroger is in favor for Sunday sales for retailers that are already licensed to sell alcohol.

“We’re projecting $300 to $600 million increases in revenue for all the Indiana retailers, but that comes in more than one way,” Elliot said. “There are a certain number of sales that are certainly lost each Sunday.”

Elliot said many sales are lost each Sunday due to consumers traveling to neighboring states to buy alcohol.

“If those hundreds of millions of dollars are lost to Indiana business, we are not just talking about people going from Richmond (Ind.) to Ohio,” he said. “They take their entire shopping list with them.”

Eberhart said allowing alcohol sales on Sundays in Indiana would hurt other states, because Indiana is currently hurting from cross-border sales.

“We’re losing millions upon millions on liquor sales, but also any other type of product they (consumers) may buy on Sunday,” Eberhart said.

Charles Key, owner and president of Indianapolis-based liquor store chain Payless Liquors, which operates 22 stores throughout central Indiana,said he would have to open his doors on Sundays.

Key said he has to pay more than $3 million in labor each year, while he said his opponent does not. This is because his competition, large retailers, use suppliers and don’t require the liquor sections of their stores to be staffed.

“They don’t have to order product. They don’t have to stock product,” he said. “Their supplier does all that for them.”

Key said there needs to be the same level of restriction for large retailers and liquor stores.

“If everybody is treated in the same manner, I would have no problems,” Key said.
For instance, Key said clerks are not allowed to work at a liquor store if they have a DUI, but are allowed to work at a chain store which sells alcohol.

He said the sale of alcohol on Sunday would substantially decrease the revenue of his stores.

“They’re doing it for the growth of out of state owners, shareholder value,” Key said. “The consumers of Indiana are not pushing this, the retail stores are pushing this.”

Sen. Mark Stoops, D-Bloomington, said the concerns of the liquor stores are valid, but doesn’t think it’s enough to have a specific law that protects their industry.

“I don’t see any reason why alcohol can’t be sold on Sundays like on any retail or food item,” Stoops said.

He said the ban of liquor sales on Sundays will give Indiana residents a freedom of choice.

“This legislature needs to make a decision,” Elliot said. “It is their role to support Indiana’s economy, Indiana jobs and maximize tax revenues.”