The Pennsylvania Liquor Control Board is proclaiming another period of record sales, which sounds great — until you look at the big picture.
After factoring in the PLCB's pension liabilities? Well, let's just say that if the PLCB balance sheet was Johnnie Walker, it would be the Red variety rather than the Black.
Not to mention that, when the PLCB has a monopoly on liquor, boasting of setting another sales record doesn't mean a whole lot.
The Commonwealth Foundation estimates that the PLCB faces $238 million in debt. Simply continuing the status quo will only deepen the pension pitfall. And baby steps toward privatization, such as letting grocery stores sell wine, are inconsequential.
What's needed is full privatization.
Even privatized “agency shops” bandied about by state legislators last year are an ineffective solution. Who wants to compete with a near-complete government monopoly?
Under a privatized system, the state will still tax liquor — taxes generate about 85 percent of the PLCB's revenue. And consider: In Washington state, where residents voted to privatize the state-run system in 2012, the number of outlets for liquor sales went from just over 330 to nearly 1,600, according to the Alcohol Research Group.
Pennsylvanians deserve a better option for buying liquor that's more consumer friendly and isn't consumed by legacy costs.
