Reid: State won't retake liquor sales
Gov. Paul LePage said in a press conference Tuesday that the state will take back management of liquor sales in the state, but Maine's top liquor official says otherwise.
The Portland Press Herald reported that Gerald Reid, director of the state's Bureau of Alcoholic Beverages and Lottery Operations, said Wednesday that the state plans to buy the same services from the private sector that it does today as part of a 10-year contract with Maine Beverage Co.
LePage is lobbying for a plan to borrow against future liquor sales revenue to pay state debts to Maine's hospitals. He said Tuesday that "the state will retain operational control over liquor sales starting in the summer of 2014 when the current 10-year private contract expires."
Rather, Reid told the paper the state intends to renegotiate the current contract, ask for a larger portion of the liquor revenues and get rid of an agreement that guarantees a profit to the contractor from annual liquor sales.
If no bids for the contract are acceptable, Reid said the state could return to administering liquor sales and contract only for the distribution.
LePage spokeswoman Adrienne Bennett told the paper that Reid's characterization of changes to the contract is correct.
Serial entrepreneur Ford Reiche, who founded Dirigo Spirit Co. last year in order to pursue the state's liquor operation contract, told Mainebiz that he supports a revised contract from the state.
"We are as enthusiastic as ever," Reiche said.
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