ALCOHOL Cut, Color and Chardonnay?

“These businesses—many of “There are no more whom are small, mom-and- stupid laws than the pop shops—want to make sure ones that date back to their customers thoroughly prohibition.” enjoy their visit.”

—SENATOR DIANE SAVINO, NEW YORK —SENATOR ,

Some believe n any Sunday afternoon during ditional food-and-beverage and sports industries football season, it’s a sure bet that to sell or serve alcohol—places like movie the- a merlot and a a fair number of adults attending aters, hair salons, spa resorts and art galleries. Oprofessional games will buy and For movie theaters, the hope is that alcohol massage go as well consume a beer or two or three while at the will turn the tide of flat or declining attendance. stadium. Every National Football League Along with alcohol sales, theater owners have together as a beer stadium is licensed to sell alcohol. Millions turned to reserved stadium seating with reclin- and a football game. more fans watch the games at home or at ing seats to entice people to leave the comfort one of the thousands of bars, restaurants or of homes equipped with on-demand Netflix and brewpubs licensed to sell alcohol as well. cozy couches for a few hours at the movies. In fact, going to restaurants and bars to AMC Theatres, the largest U.S. movie watch football is about as popular as attending chain, has even partnered with Hollywood film the games in person, according to BeerBoard, a studios to create themed drinks, which recently BY HEATHER company that monitors more than 50,000 draft included a Fifty Shades cocktail during the MORTON beer lines at licensed locations. During the first showing of “Fifty Shades Darker,” and a con- Sunday of the 2017 NFL season, BeerBoard coction called the Pennywise, inspired by this reported that total beer consumption nation- fall’s thriller “It.” wide rose 36.6 percent from the week before. More than 30 states and local governments The alcoholic beverage industry is on a win- now allow movie theaters to sell alcohol through ning streak. Where and when you can sip a shi- stand-alone bars or full-service restaurants. raz or down a pale ale is expanding way beyond Delaware, for example, licenses theater the local pub. An economic impact study for operators to serve drinks within the theater or the American Beverage Licensees, a trade asso- where movies are being shown. But, to obtain a ciation representing U.S. beer, wine and spir- license, an operator must: its retailers, found that the industry generated • Sell the alcoholic drinks at a bar or location $295.4 billion in total economic activity in 2016, separated from other food and drinks. paid $25.3 billion in federal taxes, supported • Limit sales to only one alcoholic beverage 1.94 million jobs directly and contributed to at a time per age-verified customer, up to two another 4.27 million jobs indirectly. total per patron per movie. • Install video cameras in every auditorium Widening the Watering Hole to supervise patrons from a central location While drinking alcohol at a football game during movie showings. may not be unusual, drinking in some other • Require employees to attend an alcohol Heather Morton tracks alcohol issues for places is, or at least was, until recently. States service training program. NCSL. have begun licensing businesses outside the tra- • Have a trained employee walk through

DECEMBER 2017 24 STATE LEGISLATURES ALCOHOL

the theater auditorium during each movie Licenses will be awarded beginning Oct. is an experience. It is not uncommon for showing. 1, 2018; until then, movie theaters can sell a customer to be offered a In New York, all Broadway theaters only low-alcohol beer. Getting licensed will glass of wine or a beer,” says may sell alcoholic beverages, but when it require theater operators to check patrons’ Senator Scott Wilk (R), who comes to movie theaters, only dine-in ones ages and identify those who may consume was an assemblyman at the qualify, if they have a kitchen and a chef alcohol with a wristband or hand stamp. time he co-sponsored the bill. serving meals. During the 2017 legislative This requirement applies only to theaters “These businesses—many of session, lawmakers debated bills to help the where children under the legal drinking age whom are small, mom-and- Senator craft beverage industry and small indepen- are allowed in. pop shops—want to make Scott Wilk California dent movie theaters by allowing the State sure their customers thor- Liquor Authority to issue beer and wine A Snip and a Sip oughly enjoy their visit. AB 1322 limits the licenses to all movie theaters. Movie theaters are not the only busi- offering to one beverage to ensure the safety “There are no more stupid nesses looking to expand into alcohol ser- of both the patron and other customers.” laws than the ones that date vice. Many beauty salons and spas like to Many of these businesses already had back to prohibition,” Senate serve their clients a glass of wine or a mug been serving complimentary alcohol believ- bill sponsor Diane Savino (D) of beer during a haircut or other beauty ing that, since it was free, they didn’t need a told the Legislative Gazette. treatment. Legislatures in seven states— license. But, technically, it was illegal. “The “You can go into a live the- California, Maryland, , Utah, regulations say unless you ater and buy a drink, but you Virginia, Washington and West Virginia— charge for the beverage and Senator can’t buy a drink in a movie Diane Savino have passed bills authorizing salons, bar- you are fully licensed, you theater. This has to change.” New York bershops and spas to serve alcohol. may not serve,” Assembly- Critics expressed concern California’s law, passed in 2016, stip- man Tom Daly (D), Wilk’s that allowing alcohol into movie theaters ulates that beauty salons or barbershops co-sponsor, told ABC News. could result in drunken movie patrons and (and limousine and hot air balloon opera- “So, there’s a gray area in the Assemblyman make it easier for adults to buy alcohol tors) may serve alcohol without obtaining a law, and the law needs to be Tom Daly California on behalf of minors. New York Assem- license or permit if: modernized.” bly Speaker Carl Heastie (D) announced • The salon or shop serves no more than Critics worry that not in June that the Assembly would not sup- 12 ounces of beer or six ounces of wine to requiring all businesses to get a license port the bills because of his concerns about each customer. will lead to more alcohol-related prob- children sitting next to people consuming • The drink is free and served during lems. “We are outraged that the Leg- alcohol. business hours and no later than 10 p.m. islature and governor ... have failed to Movie theater owners in Oklahoma • The salon or shop is in good standing regulate alcohol consumption at 42,000 fared better. They have more than a year to with the state Board of Barbering and beauty salons and barbershops,” says prepare before a law goes into effect allow- Cosmetology. Richard Zaldivar, co-chair of the Cali- ing them to sell cocktails, wine and beer. “Going to the barber or the beauty salon fornia Alcohol Policy Alliance. The orga-

STATE LEGISLATURES 25 DECEMBER 2017 ALCOHOL nization estimates that the new law will Other Alcohol-Related Bills increase the number of venues allowed to serve alcohol by 41 percent. Besides adding to the list of places where you can drink, some state In addition, opponents point out that legislators are also changing the days and times when you can buy alcohol. the legislation makes no provision for age This year, Delaware allowed retailers who sell alcohol for off-premise requirements or responsible beverage service consumption to begin sales at 10 a.m. on Sundays, instead of noon. training for the staff pouring the alcohol. Minnesota authorized off-premise consumption sales on Sundays from 11 a.m. to 6 p.m. Before this year, the state prohibited Sunday sales altogether. In Virginia, lawmakers authorized alco- Representative hol licenses for commercial day spas that The effort to authorize Sunday sales was several years in the making: “I am Jenifer Loon excited that after four years of championing Sunday sales legislation, we are Minnesota offer licensed massage therapy, barbering finally changing an outdated law which has been in place since statehood,” or cosmetology services, allowing them to Representative Jenifer Loon (R), the chief author of the bill, said. serve no more than two five-ounce glasses The General Assembly enacted the so-called “Brunch of wine or one 12-ounce glass of beer on a Bill.” Among other things, the bill allows local governments to adopt an complimentary basis. ordinance allowing for the sale of malt beverages, unfortified wine, fortified And in Utah, legislators approved sub- wine and mixed beverages beginning at 10 a.m. on Sundays, instead of licenses only for spas that are connected to noon. When the bill passed the Senate, Senator Bill Cook (R) questioned its potential public health impacts. “Will there be a downside?” he asked. “Will a resort that already has a license to serve Senator alcohol. there be more drunks? Will there be families ruined?” Bill Cook North Carolina Not all states have expanded access to alco- Not every bill related to sales times in the 2017 session was successful. hol, however. Arkansas specifically prohibits In California, Senator Scott Wiener (D) introduced a bill to allow local communities to extend alcohol service in bars, restaurants and clubs to massage therapists from serving alcoholic 4 a.m. “Nightlife is crucial to the economy and culture of many of our beverages at clinics or schools in rooms where cities, and we should be doing more to empower our communities to massage therapy is being performed, or in a support nightlife,” he said. “The LOCAL Act recognizes that cities like Los massage therapy school. And, when its licens- Angeles could benefit—if it chooses to do so—from developing a plan ing statute was enacted in 1999, Nebraska to expand nightlife in neighborhoods like downtown L.A. By taking this prohibited nail technology salons from know- nuanced approach to empower—but not require—local communities to Senator ingly permitting their employees or clients to extend alcohol sales hours, we can support nightlife in California while also Scott Wiener use, consume, serve or in any manner possess recognizing that there is not a one-size-fits-all solution for each and every Californiaa or distribute intoxicating beverages or con- city in our great state.” Opposed by some public safety advocates, who trolled substances on their premises. argued the bill could lead to more drunken driving and other alcohol-related problems, the bill was ultimately rejected. —Heather Morton New Kids on the Block Art galleries and studios in seven the owners of spas, art studios or galler- accounting for about a third of all motor states—Colorado, Maryland, Mississippi, ies, and cooking schools, allowing them to vehicle fatalities, according to the National , Vermont, Virginia and Wash- serve complimentary wine by the glass only. Highway Traffic Safety Administration. ington—and the District of Columbia, are Tennessee’s statute allows art galleries “Americans recognize and agree that the newest businesses to receive legislative to serve complimentary wine if they receive when it comes to a unique product such as permission to serve alcohol. at least 90 percent of their revenue from the alcohol, regulation is vital, and they sup- In Maryland, legislators authorized art sale of artwork, and as long as they do not port the states’ ability to set their own laws gallery beer and wine licenses in Frederick also sell food or beverages. and regulations around alcohol,” Mike and Montgomery counties. In St. Mary’s Vermont lawmakers took a slightly dif- Lashbrook, executive director of the Cen- County, the legislation authorizes an “art ferent approach and authorized the state ter for Alcohol Policy, says. “Policymakers establishment” license, which it defines as Department of Liquor Control to grant per- need to stay focused on the public’s con- a for-profit retail business that either dis- mits for special events held in art galleries, cerns over alcohol misuse and demand for plays, sells or demonstrates original art by bookstores, public libraries or museums. responsible regulation.” an individual or a group, or instructs par- Legislators will continue to study ticipating clients in creating art. Serious About Oversight whether to increase the types of venues In Colorado, art galleries may obtain Americans may enjoy these additional where alcohol can be served. They are permits to serve complimentary alcoholic opportunities to imbibe, yet most believe looking at how to regulate businesses while beverages, if no more than 250 people are drunken driving and underage drinking protecting people’s right to choose where in the gallery at one time. The galleries may are still extremely or very serious problems, and when they drink, debating whether not charge an entrance fee or a cover charge according to a recent national survey by the the benefits to small businesses and tax in connection with serving the alcohol. Center for Alcohol Policy. Drinking and driv- revenue streams outweigh possible public Mississippi offers merchant permits to ing still kills thousands of people each year, health ramifications.

STATE LEGISLATURES 27 DECEMBER 2017