Thursday, February 21, 2008

It's Miller Time - Leveraging Booze & Smokes for $$$?

Some people might wonder what motivates Del. Dave Albo to recently state that prohibiting smoking from restaurants "is a good idea," but that we can only do it AFTER we change some other laws first?
Del. David Albo, R-Fairfax, said he would be willing to consider tighter smoking regulations if the state ever establishes separate categories for bars and restaurants. The current law only defines restaurants, some of which are licensed to sell alcohol. House Panel Rejects Last Batch of Anti-Smoking Bills, The Daily Press (Feb. 14, 2008).

Del. David Albo, R-Fairfax County, who made the motion to table and effectively kill the bills, said he's "not against doing something" but thinks the legislature needs to rework its laws regarding the definition of a restaurant first. Smoking Bills Die in House Panel, Roanoke Times (Feb. 15, 2008).

Del. David Albo, R-Springfield, said state rules don't distinguish between bars and restaurants, which makes passing a smoking ban more difficult. Final Four Bills to Halt Puffing Are Extinguished, The Virginian-Pilot (Feb. 15, 2008).

Del. Dave Albo, R-Fairfax County, pointed to a possible compromise solution, though it won't come this year. He suggested that bars and restaurants should be separated within state code, with different standards for smoking to apply to each. 8 Bills that Ban Public Smoking Die in the House, Roanoke Times (Feb. 8, 2008).
It's strange. Some of us at Albo Must Go have been to smoke free bars in other states. It's actually nice to come home and not stink up your pillow with that with that fresh nicotene effervesence. So, what's this all about?

Due to Virginia's prohibitionist roots, alcohol is highly regulated and restaurants are required to sell a minimum amount of food relative to alcohol - 45%. Here's the law (see section 1). Here's an example.

Restaurant Albo - 45% Food-Booze Ratio
(Current Law)

Gross Revenue From Food Sales $50,000.00
Gross Revenue From Non-Alcoholic Beverages $50,000.00
Total Food & Non-Alcohol Bev. Revenue $100,000.00
Statutory Food-Alcohol Ratio 45.00%
Gross Revenue Permitted for Alcohol & Food $222,222.22
Minus Gross Food Revenue $50,000.00
Permitted Alcohol Sales $172,222.22

For decades, the Virginia restaurant industry has been lobbying for legislation to legally segregate bars and restaurants and/or to reduce the ratio of food to alcohol that must be sold. For example, here's a 1995 bill trying to lower to ratio to 35%.

So what happens at Restaurant Albo if you lower the ratio?

Restaurant Albo - 35% Food-Booze Ratio
Gross Revenue From Food Sales $50,000.00
Gross Revenue From Non-Alcoholic Beverages $50,000.00
Total Food & Non-Alcohol Bev. Revenue $100,000.00
Food-Alcohol Ratio 35.00%
Gross Revenue Permitted for Alcohol & Food $285,714.29
Minus Gross Food Revenue $50,000.00
Permitted Alcohol Sales $235,714.29

You get to sell a lot more alcohol! What happens when you eliminate the food-alcohol component altogether by creating a separate classification for bars? You really get to sell a whole lot more alcohol!

Note that Albo is hedging his tune on this. Last year, he said the following:
"Why do you need a law to protect people when people can protect themselves by not going in" restaurants that allow smoking, said Del. David Albo, R-Fairfax. Proposed Ban On Smoking in Public Places Fails, The Virginian-Pilot (Feb. 24, 2006).
Early this year, he said this:
"If the restaurant guys and ladies want to be regulated, I think something could be done," said Delegate David B. Albo, Fairfax Republican. "Until then, you have the same problems with these bills we have had for years: It is un-American to come into someone's restaurant or bar and tell them what to do with their family business." Virginia restauranters want state to butt out, Washington Times, (Dec. 28, 2007).
He must have read this blog (AMG, Albo & Big Tobacco Run With With Jim Crow and Joe McCarthy (Jan. 2, 2008)) or a lobbyist gave him an idea because now all of a sudden, he's saying this:
Del. Dave Albo, R-Fairfax County, who made the motion to table and effectively kill the bills, said he's "not against doing something" but thinks the legislature needs to rework its laws regarding the definition of a restaurant first. Smoking Bills Die in House Panel, Roanoke Times (Feb. 15, 2008).
His continued opposition is all very strange given that all polls show that 75% of Virginians support a ban on smoking in ALL public buildings and workplaces and given that Lorton and Springfield haven't really had much of a tobacco industry for about 200 years.

One other logical question someone must ask would be - Gee, I though Delegate Albo really hates people who drive while intoxicated - after all in 2004 he led the fight to make Virginia's penalties on DWI's some of the harshest in the nation, he led on abuser fees, and this year he introduced legislation expanding his abuser fees and then revising it to mandate a $2,250 fine for a first offense DWI and he voted for mandatory ignition interlocks even for first offenders.

In light of all of this, why would Delegate Albo want to do anything to increase alcohol consumption in bars?

Albo's Campaign Contributions From Alcohol & Tobacco Industries
Alcoholic Beverage Distributors $120,700.00
Alcohol Manufacturers $22,300.00
Tobacco Companies $19,095.00
Alcohol Industry Gifts $795.00
Tobacco Industry Gifts $1,780.00
TOTAL $164,670.00

Albo's Contributions From Specific Donors and His Rank


Albo Amount Received Albo Ranking Among Non-Statewide Candidates/Committees
(
In Red If In Top 5)
Va Beer Wholesalers $24,250.00 #1
Service Distributing, Inc. $24,250.00 #2
VA Wine Wholesalers $20,500.00 #2
Altria (FKA Phillip Morris) $12,845.00 #5
National Distributing Co. $9,250.00 #1
Associated Distributors $8,500.00 #5
Guiffre Distributing Co. $8,250.00 #1
Diageo North America, Inc. $4,750.00 #2
Distilled Spirits Council of US $4,500.00 #1
Anheuser-Busch $4,450.00 #8
Oasis Vineyard $3,000.00 #1
Reynolds American $3,000.00 #19
Miller Brewing Co. $2,550.00 #1
S&M Brands $2,250.00 #12
Coors Brewing Co. $1,680.00 #17
Premium Distributing of Va. $1,500.00 #4
Lorillard Tobacco Co. $1,000.00 #3
Va Vines and Wines PAC $870.00 #4

So, is Delegate Albo concerned for the residents of the 42nd District or has he just found a wildly popular issue to leverage different special interest groups off each other to get more campaign donat.... er ... uh... we mean to get a bill passed that's been bottled up for decades?

And what does this say about the motives behind his strong stand against drunk driving? If Delegate Albo were really so opposed to drunk driving why is he pushing all of this legislation to enhance the alcohol industry's ability to say IT'S MILLER TIME!?!?

You decide (and see our old trusty graphic here from last year (AMG, Cash, Booze & the Albo Cycle (Apr. 15, 2007)).

(CLICK ON PICTURE TO ENLARGE)

1 comments:

substance abuse said...

Restaurants should limit the selling of liquor to their customers, to avoid alcohol related incidents leading to crimes. The sad reality is that drunk driving, bar fights, and health problems arises due to the negligence of some bar owners.