Behind-the-scenes bar stories: I'll take that!
Here at Midnight Sun, we spend a lot of time discussing bars and clubs from the patron's point of view.
But I don't think we dig too deeply into the business side of the entertainment industry. I'm going to try and change that in the next couple weeks.
Let's start with an interesting factoid that, if you don't own a bar, you probably aren't aware of: Bars have to purchase all their booze from a licensed state distributor.
If a bar owner runs out of Pabst Blue Ribbon (which should never be a problem), the manager can't just run to the nearest liquor store and buy some more. If they get caught doing it, bad things happen.
Take, for example, the case of the AIG Lounge, at 291 S. Pulaski St.
Talk about a bar with an unfortunate name, by the way. Back in January, liquor board inspectors paid a visit to AIG Lounge, where they discovered that none of the booze behind the bar came from a licensed distributor.
Uh oh ...
All in all, inspectors confiscated 281 bottles of distilled spirits, three bottles of wine and 1060 containers of beer. Ouch!
A quick aside: How annoying is it to count all 1060 bottles and cans of beer? Unless, of course, the inspectors were tallying them as they drank them! I jest, I jest.
Also, what happens to all this confiscated booze? [Insert joke about late night liquor board raver.]
Anyhow, the AIG Lounge's hearing was last week, but nobody from the bar showed up. They pull one more no-show and their liquor license could be yanked, I'm told.
Cases like this pop up every once in a while, and if it's a first-time, offense, the liquor board usually fines the bar $500. Why such a small fine? Well, the bar already has to replace their entire stock. Adding a $10,000 fine on top of that is overkill, according to liquor board comissioner Stephan Fogleman.
I'll let you know what becomes of the AIG Lounge's case. And stay tuned for more behind-the-scenes bar stories this week.
(Baltimore Sun archive photo)
Erik Maza is a features reporter at the Baltimore Sun. He writes for several sections of the Sun paper and contributes weekly columns on music and nightlife. He also writes and edits the Midnight Sun blog. He often covers entertainment, business, and the business of entertainment. Occasionally, he writes about Four Loko, The Block, the liquor board, and those who practice "
Comments
They forgot to do the easiest of bar solutions.. go to another bar, "borrow" what you need, then give it back when your shipment comes in. Most close bar owners around the same area are friends or at least acquaintances, and never run the same sort of drink specials at the same time.
Posted by: Meekrat | October 19, 2009 9:33 AM
Why make the lounge AIG?
Posted by: GDA | October 19, 2009 9:49 AM
in the Byzantine world of Maryland liquors law, I know I shouldn't even ask this but I will: Why? Why can't you buy your liquor from any state regulated source?
Posted by: Owl Meat [your name here] | October 19, 2009 9:54 AM
Good lord, the liquor lobby controls everything alcohol related in this state.
Posted by: Gary | October 19, 2009 10:01 AM
Yes why is this the law other than in providing distributors with a steady income?
I'd love to hear from the liquor board how this benefits the public. I'd also love to hear from a distributor how this benefits the public.
Posted by: Paul | October 19, 2009 11:24 AM
What I don't understand is why it's illegal for a bar to get liquor from a MD liquor store. A bottle of Canadian Club from a liquor store comes from the same distributor as the bar orders from. I understand why they wouldn't want them getting it out state (taxes).
Posted by: Owl Meat Governmento | October 19, 2009 11:53 AM
Why does it matter where they buy their liquor as long as they have the invoices or receipts to verify where they bought their stock?
Posted by: GDA | October 19, 2009 12:31 PM
All in all, inspectors confiscated 281 bottles of distilled spirits, three bottles of wine and 1060 containers of beer.
Three bottles of wine? Sounds like a classy place. Let me guess the wines: red, white and pink.
Looking forward to more Behind the Music – Bar Tales. Remember, exactly halfway through the week you must utter these fateful words: "And then tragedy struck."
Posted by: Owl Meat Gewürztraminer | October 19, 2009 1:53 PM
Hahahah yes!
I've written about the "wine list" at BAR before.
http://weblogs.baltimoresun.com/entertainment/midnight_sun/blog/2009/05/looking_back_at_bar.html
The wine list at AIG Lounge was probably along the same lines.
And then tragedy struck.
Now, I wonder if AIG has a wine list at all. What a shame.
Hee hee.
Posted by: Sam Sessa | October 19, 2009 1:58 PM
OMG,
Simple Answer : $$$$$
Distrbutors give lots of money to lobbyists and lawmakers to keep this in place.
its all about the $$$$.
It's a dated, inefficient system, going back to just after prohibition, to control the liqour, but it isn't going to change because there is too much money involved now. It's big business.
All brontosauruses are thin at one end, much thicker in the middle and then thin again at the far end. That is my theory, it is mine, and belongs to me and I own it, and what it is too.
Posted by: The next thing I"m going to say is my theory. Ready? | October 19, 2009 2:39 PM
Sure, money is the answer to 50% of questions.Why is the LB punishing businesses if they buy from distrbutors directly or indirectly. Taxes are collected equally.
It seems like more common sense is needed. Duh.
It's also absurd that distributors get a monopoly on products. Bad for businesses, bad for consumers. Want Kahlua? You can only get it from one place. No competition on price.
Posted by: Owl Meat GlugGlug | October 19, 2009 3:26 PM
Maybe there are separate taxes on the alcohol when sold from distributor to bar. If the tax is higher (and they have to buy the booze with the higher tax) they make more money per bottle.
Just a guess.
Posted by: It's Me | October 19, 2009 4:23 PM
It's hard to imagine that state taxes could be less when it goes through an extra set of hands, the retailer. I believe that all federal taxes are paid at the distillery, brewery, winery or upon importation.
Posted by: OMG | October 19, 2009 4:47 PM
When I worked in NYC we went to the liquor store all the time to get stuff we ran out of. Think it was probably harder to enforce this there due to the sheer number of establishments.
Posted by: Josh | October 19, 2009 4:56 PM
I worked at a private place downtown for 3 years, and we definitely made the liquor-store run many times when we realized we didn't have enough of something for a party. We also borrowed from a similar place across the street a few times, a tip a previous commenter already mentioned. I guess since it's a small, private place, the liquor board didn't watch us too closely.
Posted by: Alex | October 19, 2009 10:55 PM
I don't have an answer for why distributors must supply the alcohol. It is state law and has been since before most of us were born.
The Comptroller's office does the monitoring and the seizing. Their office files the charges and we hear the cases. So, if you want some Pabst for the Social, I suggest you contact Comptroller Franchot's office. I jest!
Posted by: LiquorBoarding | October 20, 2009 9:25 AM
Aw, Mr. LiquorBoarding Man, YOU don't have an answer? There were anti-miscegenation laws before most of us were born, but they've been overturned.
Posted by: Laura Lee | October 20, 2009 11:26 AM
Mr. LiquorBoarding Man doesn't make the laws, he just enforces them. Respect his authoritie!!!
Posted by: Major Mel Funkshun | October 20, 2009 6:03 PM
Mr. LiquorBoarding Man doesn't make the laws, he just enforces them
I wonder about that. What things are laws and what are regulations? State agencies can create and change regulations that have the force of law. I wonder if this agency has that power. Just curious.
Posted by: Owl Meat GavelPounder | October 21, 2009 11:10 AM