Berthoud Weekly Surveyor | Covering all the angles in the Garden Spot

Election 2022 – Colorado amendments, part 3

By: Dan Karpiel | The Surveyor | October 28, 2022 | Local News

Proposition 126 aims to allow for alcohol delivery services

Proposition 126 is one of three ballot measures being put before Colorado voters this election that deals with the regulation of the sale of alcohol.

The measure, if approved by a majority of voters, would make two change to current Colorado alcohol sales law. Firstly, it would allow retail outfits who are currently permitted to sell alcohol for off-site consumption to offer a delivery service or contract with a third-party to create a delivery service. Secondly, it would allow bars and restaurants to offer alcohol for takeout and delivery.

During the COVID-19 pandemic, Colorado allowed, temporarily, for bars and restaurants to allow alcohol sales “to-go,” along side food menu items. This was put into effect to help establishments who were either not allowed to serve in-person or had capacity limitation capped by state and local health officials. The law will automatically repeal on July 1, 2025, unless Prop 126 is approved by voters.

The delivery of alcohol has been allowed by liquor stores in Colorado since 1994, by wineries such 1997 and by grocery stores since 2019 using a company-owned and insured vehicle driven by an employee who is at least 21 years old. Prop 126, if passed, would allow any authorized seller of alcohol – a liquor stores, grocery store, bar or restaurant – to contract with a delivery business (such as Door Dash or Uber Eats, among many others) to deliver the alcohol to customers for their consumption.

Proposition 126 would allow alcohol retailers and liquor-licensed businesses, such as grocery stores, convenience stores, liquor stores, bars, and restaurants, to offer third-party delivery services for alcohol deliveries beginning March 1, 2023. Currently, retailers are allowed to deliver alcohol using a store-owned vehicle by an employee who is at least 21 years old. Alcohol delivery has been allowed by liquor stores since 1994, by wineries since 1997, and by grocery and convenience stores since 2019.

Prop 126 found its way to the ballot by means of citizen initiated state statute which required, in accordance with state election law, valid signatures equal to 5% of the votes cast in the Secretary of State election in the most recent general election. In 2018, there were 2,492,635 total votes cast in the race for Secretary of State, meaning that 124,632 valid signatures were required on circulated petitions to place Prop 126 on the ballot. Supporters submitted 185,790 signatures and a random sample conducted by the Colorado Secretary of State’s office estimated at least 139,312 were valid, easily enough to qualify for the 2022 election.

Both the Colorado Chamber of Commerce and the Colorado Restaurant Association have come out in support of Prop 126 and are joined by large, national retail chains such as Kroger, Albertsons-Safeway and Target. Wine in Grocery Stores, which also supports Prop 125, released a statement of support saying, “Prop 126 allows Colorado to join 28 states that permit local restaurants to include a bottle of wine or adult beverage to accompany a customer’s food delivery order; allows the smallest 1,300 mom-and-pop liquor stores across Colorado to compete with the 300 largest liquor stores to make deliveries to customers in their own neighborhoods; and for restaurant and liquor store deliveries, mandates drivers be age 21 or over and recipients to show a valid ID of age 21 or over, using the same tools (driver training, electronic scan of ID) that produced zero delivery violations in Colorado the past six years from out-of-state liquor store deliveries.”

Speaking in opposition to Prop 126, Keep Colorado Local said, “Right now, any alcohol beverage delivery made in Colorado is attached to a license-holder for retail liquor sales – meaning if that alcohol beverage is delivered to a minor or intoxicated person, the store is responsible and can have its license suspended. If this initiative passes, neither the store that sold the alcohol, nor the tech company (Door Dash, UberEats, etc.) that arranged the sale and delivery will have any liability. This would result in a huge increase in access to alcohol by teens and people who should not be having alcohol delivered to them. Independent, locally owned liquor stores have invested in the time and training necessary to perform this service safely and effectively for their communities.” Keeping Colorado Local was formed in opposition to Prop 126 (as well as Props 124 and 125).

A “yes” vote on Prop 126 is a vote in favor of allowing licensed alcohol retailers as well as restaurants and bars to contract provide delivery of alcohol for off-site consumption using a third party delivery service as well as allow restaurants and bars to permanently to sell and deliver alcoholic beverages for off-site consumption. A “no” vote is a vote against making said changes to Colorado law.

Proposition 125 seeks to allow the sale of wine in Colorado grocery and convenience stores

Proposition 125 is one of three ballot measures being put before Colorado voters this election that deals with the regulation of the sale of alcohol.

In 2019, it became legal for grocery stores and convenience stores in Colorado to sell full strength beer and other forms of fermented malt beverages, such as hard seltzers and hard ciders. Prop 125 seeks to expand that law to include wine, with large grocery store chains and online/mobile delivery services (such as Door Dash), leading the charge. The measure, if passed, would automatically update the licenses for retail establishments that sell beer to include wine as of Jan. 1, 2023.

Prop 125 found its way to the ballot by means of citizen initiated state statute which required, in accordance with state election law, valid signatures equal to 5% of the votes cast in the Secretary of State election in the most recent general election. In 2018, there were 2,492,635 total votes cast in the race for Secretary of State, meaning that 124,632 valid signatures were required on circulated petitions to place Prop 125 on the ballot. Supporters submitted 192,017 signatures and a random sample conducted by the Colorado Secretary of State’s office estimated at least 142,697 were valid, easily enough to qualify for the 2022 election.

The group Wine in Grocery Stores was established to lead the campaign in support of Prop 125. The measure has been further endorsed by the Colorado Chamber of Commerce as well as Albertsons-Safeway, Kroger, Target, DoorDash and InstaCart. Michelle Lyng, spokesperson for Wine in Grocery Stores stated, “Colorado had 1,600 licensed liquor stores before beer in grocery stores, and three years later, we have 1,592 because consumers get more choices from liquor stores – more choices in beer and in wine. Grocery stores and liquor stores will continue to operate successfully as they do now. Because of the convenience of people being able to pick up a bottle of wine while shopping for groceries, and the convenience of being able to order a bottle of wine to accompany the food being delivered from a restaurant, this was an easy sell, and we found Coloradans were excited to sign.” Currently 39 other states allow customers to purchase wine at grocery and convenience stores.

Groups opposed to the measure argue that passing 125 will put a strain, and possibly put of out business, smaller, family-owned liquor stores as such establishments will have a difficult times competing with large, national corporations. Keeping Colorado Local was formed in opposition to Prop 125 (as well as Props 124 and 126).

“This initiative would add wine to the Colorado Beer Code, immediately allowing anyone with a current license to sell beer for off-premises consumption to also begin selling wine and vinous liquor, with no application, no neighborhood survey, and no State or Local review process. This change would essentially double the number of outlets selling wine overnight while local communities and neighborhoods would be cut out of the process and would have no say in whether they actually want to expand alcohol sales in all these locations. Additionally, this initiative would be devastating for small, independent liquor stores – especially the nearly 700 stores that are directly adjacent to grocery stores and convenience stores,” Keep Colorado Local said in a statement of opposition.

A “yes” vote on Prop 125 is a vote in favor of allow grocery and convenience stores who currently sell beer to also be allowed to sell wine. A “no” vote on Prop 125 does not expand the liquor sales license to include wine.

Proposition 124 seeks to increase the number retail liquor sales licenses an individual may possess

Proposition 124 is one of three ballot measures that is being put before voters this November that deals with alcohol sales regulations. Currently, state law limits the number of liquor stores an individual may own to three, with the limit increasing to four in 2027.

Prop 124 would incrementally increase those numbers as follows – up to eight licenses by Dec. 31, 2026, then up to 13 by Dec. 31, 2031, then up to 20 by Dec. 31, 2036, and, finally to an unlimited number after Jan. 1, 2037.

Prop 124 found its way to the ballot by means of citizen-initiated state statute which required, in accordance with state election law, valid signatures equal to 5% of the votes cast in the Secretary of State election in the most recent general election. In 2018, there were 2,492,635 total votes cast in the race for Secretary of State, meaning that 124,632 valid signatures were required on circulated petitions to place Prop 124 on the ballot. Supporters submitted 225,440 signatures and a random sample conducted by the Colorado Secretary of State’s office estimated at least 149,799 were valid, easily enough to qualify for the 2022 election.

The ballot measure was initially started by U.S. Representative David Trone (D-Maryland) and his brother, Robert Trone, co-founder of Colorado Fine Wines and Spirits. The Colorado Chamber of Commerce has come out in favor of Prop 124 with President and CEO Loren Furman releasing a statement that read, “Colorado has been long overdue to rethink the way we approach liquor licensing. This is about helping some of our hardest-hit businesses recover from ongoing economic challenges while also giving consumers more options when it comes to how and where they choose to purchase alcohol. Together, these common-sense ballot initiatives will help bring Colorado’s alcohol regulatory environment into the 21st century.”

The Colorado Licensed Beverage Association is opposed to the measure and a group named Keep Colorado Local was formed to lead the campaign against Prop 124. In a statement, Keep Colorado Local said, “Colorado is known for having one of the best alcohol marketplaces in the country, with a large number of unique, independently-owned, local stores. Over 60% of Colorado liquor stores are owned by minorities and women. The dollars we spend in our local stores circulate back to our local communities, and our liquor store owners live in and are invested in maintaining the safety and quality of life in their neighborhoods. If Initiative #96 passes, large, corporate conglomerates will be allowed to move into Colorado, popping up on every corner and driving out our local businesses. Without community stores, we would lose the variety and unique character we’ve come to love by keeping Colorado local.”

A “yes” vote on Prop 124 is a vote in favor of incrementally increasing the number of retail liquor sales licenses one may possess, as outlined above. A “no” vote keeps the current cap of three, and increasing to four, beginning in 2027.

 

 

 

 

 

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