Direct Shipment of Wine to NY Rejected

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(Sacramento, CA)
Wednesday, August 25, 2004
The small to medium sized winemakers who depend on direct shipments for a good portion of their income were optimistic the proposal would be approved in New York, which ranks second in the country in wine consumption behind California. Paul Kronenberg of the Sacramento-based Family Winemakers of California thought the backing of New York’s governor coupled with a need for revenue would propel the measure through the legislature.  KRONENBERG :09—Given the size of their deficit we thought ‘ok there’s another three, maybe four million dollars in sales tax that they could throw in to the pot to solve some other things.’ Didn’t happen.  The measure faced vigorous opposition from wine wholesalers, but it’s not immediately clear why it failed.  Meanwhile, wine makers say their hope now lies with the U-S Supreme Court. Justices are scheduled to hear a case in December challenging the constitutionality of New York’s ban on direct shipments.  Bob Hensley KXJZ News.