SENATE BILL REPORT

                           SCR 8402

                    AS OF FEBRUARY 11, 1993

Brief Description:  Requesting the liquor control board to uphold the spirit and letter of the Steel Act.

SPONSORS: Senators McAuliffe, Amondson, Wojahn, Prentice, Pelz, Sutherland, Loveland, A. Smith, Quigley, M. Rasmussen and Erwin

SENATE COMMITTEE ON LABOR & COMMERCE

Staff:  Traci Ratzliff (786‑7452)

Hearing Dates: February 15, 1993

BACKGROUND:

The Steel Act passed by the Legislature in 1933 allowed for the sale of liquor in state-owned, state-controlled liquor stores.  In addition, this act contained a provision that strictly prohibits the Liquor Control Board from advertising liquor in any form or through any medium whatsoever.  This provision remains a part of current law.

It is suggested that the 1933 Legislature intended the Liquor Control Board to establish state-run liquor stores that possess modest exterior and interior design features in order to assure that the state would not use store design as a subtle form of advertisement.

Concerns have been raised about the recent establishment of state liquor stores, such as the One Union Square store, that utilize flamboyant store signs, eye-catching liquor displays, and other highly visible merchandising practices that are felt to violate the intent of the Steel Act as it relates to the advertisement of liquor by the state.

SUMMARY:

The intent of the Steel Act as it relates to the design of state run liquor stores is reaffirmed.

     The Liquor Control Board is directed to uphold the intent of

the Steel Act by developing designs for future liquor stores that are primarily functional in nature.

Appropriation:  none

Revenue:  none

Fiscal Note:  none requested