WA Senate leaders unveil liquor privatization bill

OLYMPIA, Wash. (AP) — Top Republican lawmakers have introduced a bill that aims to generate revenue by privatizing Washington’s wholesale liquor distribution.

The measure unveiled Thursday would establish a competitive bidding process for the right to handle the distribution side of the state-run liquor business. The winner would pay the state an undetermined up-front sum, followed by profit-sharing over the course of the contract.

The bill by Senate Republican Leader Mike Hewitt and Sen. Joseph Zarelli, the GOP’s budget negotiator, doesn’t specify how long the public-private partnership would last.

House lawmakers on Saturday approved their version of the next two-year budget, which includes a liquor privatization plan.

Supporters say privatization would modernize liquor distribution while helping address Washington’s looming $5 billion deficit for 2011-2013.

But skeptics, including Gov. Chris Gregoire, question its long-term fiscal benefits.

The Senate bill now goes to the Ways and Means Committee.