Tomorrow, Governor Christine Gregoire is widely expected to sign a liquor modernization bill that could privatize liquor distribution—not liquor stores or sales—in Washington state. The bill would require the state to immediately begin soliciting bids from private distribution companies to lease the distribution center for a set number of years, potentially netting the state millions in new revenue.
The big question now is, will Gregoire sign the bill as-is or strike a controversial emergency clause that was tacked on by legislators at the last moment? The clause works in two ways: it adds a sense of immediacy to the bill by stipulating that the state solicit bids within the next four months and it immunizes the measure from referendum (more on that in a moment).
Why the urgency?
If Gregoire signs the bill as-is, voters will get to see competitive alternatives to privatizing the state’s monopoly before November, when Costco’s new and arguably improved liquor privatization initiative hits the ballot.
Which is one of the reasons why Costco and its allies have been urging her to kill the emergency provision for weeks.
Because if Gregoire kills the emergency provision—which protects the bill from referendum, if you’ll recall—Costco would immediately file a referendum to stop the bill’s bidding process from taking place until after the November election, essentially cock-blocking the competition. And if Costco’s initiative was then passed by voters, the bill’s efficacy would be killed entirely (the initiative calls on the state to sell the distribution center, not lease it out).
What still remains unclear is what happens to the distribution center if both succeed—if the state signs a contract with a private distributor before November and then voters pass Costco’s liquor initiative on the ballot.
Pins and needles, you guys!
Cave.
@1 I agree…there’s nothing controversial enough about it to affect her chances in the other Washington.
This isn’t privatization. This is converting a public utility into a private fucking monopoly.
My liberal side says: OMFG! This sucks!
My libertarian side says: OMFG! This sucks!
What the hell has gotten into Gregoire? She’s been shitting the bed at record pace these last two weeks. She:
* castrated the state’s public records act
* vetoed half the medical marijuana bill
* slashed education funding
* and now this
Seriously, Ms. Gregoire — your career in government can’t end fast enough. And if we ever meet, I will heap all the derision and scorn on you that you so richly deserve.
Only in America would anyone believe liquor privatization constitutes any sort of “emergency” what so ever. If it’s a fucking emergency call 911, Costco.
@3 is right. Handing a private business a monopoly and expecting better/more cost effective service makes no fucking sense. No competition is no competition.
Adam Smith would be rolling over in his grave at the anti-capitalist nature of this move if she does it.
@4, maybe you should get some reading comprehension going.
The emergency clause is what prevents Costco’s otherwise lawful referendum from going through.
I am so sick of our retarded government.
If we had grown-up taxes like a real state we wouldn’t have to worry about liquor being sold/distributed via the state and my mom might still have her fucking job (she’s a mental health worker and her job and the only care center in our county were cut with budget cuts).
She has kept what she is going to do a secret, just like this was passed in the middle of the night, just like the contract will be awarded in secret that will cost the state $1.2 BILLION dollars.