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Sit back and watch Washington

Coeur d'Alene Press | UPDATED 13 years, 1 month AGO
| February 26, 2012 8:00 PM

The mad scramble to privatize liquor sales in Idaho doesn't make sense.

Diligent analysis and further research? We'll drink to that.

A somewhat odd coalition, the Idaho Federation of Reagan Republicans and the Northwest Grocery Association, both want the state-controlled sale of hard liquor to move into private hands. The political group is forging ahead with a petition drive so the measure would be placed before voters this November. The business group is willing to wait until next year, allowing the 2013 Idaho Legislature to weigh in on the matter before seeking an initiative to privatize.

To make the debate more combustible, Idaho Attorney General Wasden said Tuesday that the proposed voter initiative might be illegal. A 78-year-old constitutional provision makes an initiative vulnerable to constitutional challenge, Wasden said, because the Idaho Constitution gives the Legislature "full power and authority" to regulate the sale of intoxicating liquors.

So, initiative seekers, put that in your Bloody Mary and sip it.

But seriously, why the rush? Our neighbors to the west are kicking liquor sales out of its state government's hands and should provide over the next two or three years some conclusive answers to 80-proof questions.

By a 58 percent margin, Washington voters last November elected to privatize state liquor sales - a measure that goes into effect this June 1. There's no hard data on how this move will impact drinkers and taxpayers. Even now, the state is scrambling just to deal with transition troubles: How and when to lay off some 1,000 state employees? What to do with the 166 state-run liquor stores and the 220,000-square-foot distribution center in Seattle?

Even in more sparsely populated Idaho, liquor sales pack a big financial punch. According to the Idaho State Liquor Division's report for fiscal year 2011, state liquor stores brought in $144 million and posted a net profit of just over $50 million. From those profits, almost $16 million went back to cities; $10.6 million went back to counties; $1.2 million went to public schools; $600,000 went to community colleges; $2.7 million went to drug, mental health and family court services; more than $2 million went to substance abuse treatment funds; and so on.

We're not saying privatization is right or wrong. In fact, our general inclination is that private business can generally perform more efficiently and effectively than can government. But because Washington is in prime position to play guinea pig and demonstrate over the next couple of years how privatized liquor sales impact consumers and taxpayers, we think it makes sense to observe closely, then decide what makes sense for Idahoans. Call it a constructive cocktail break.

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