Public hearing examines proposed legislation repealing state’s Liquor Control Board flexible pricing

The House Liquor Control Committee held a public hearing Tuesday to gather feedback on a proposal to repeal Pennsylvania Liquor Control Board’s (PLCB) flexible pricing provision.

The flexible pricing provision was established under Act 39 of 2016 that updated the state’s liquor system. Before the act’s passage, the state used a proportional pricing formula that required the PLCB to pass savings onto the consumer whenever suppliers discounted their prices.

Flexible pricing generates more state revenue and allows the board to more effectively negotiate with liquor suppliers, according to PLCB.

“I have not been convinced this change has led to lower prices for consumers,” Rep. Jesse Topper (R-Bedford/Fulton/Franklin), who proposed the repeal, said. “The aim of my bill is to fix this issue by repealing the flexible pricing provision and re-institute consumer price protections. I commend the House Liquor Control Committee for recognizing this is an issue and for holding a public hearing on the matter.”

Those who testified included Terri Cofer Beirne, eastern states counsel for the Wine Institute; Matt Dogali, representing the American Distilled Spirits Association; David Wojnar, vice president of the Distilled Spirits Council of the United States; and CJ Hélie, executive vice president of Spirits Canada.