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Wisconsin Vineyards Upset Over Budget Amendment

Owners Say Price For Local Wine Could Go Up

UPDATED: 7:23 am CDT July 2, 2007

An amendment in the proposed state budget is getting heat from those who work in Wisconsin's vineyards.

Last week, the state Senate passed the $66 billion budget. Tucked into the document is a provision that changes the rules of wine distribution in Wisconsin. It would ban in-state wineries from selling their product directly to retailers, WISC-TV reported.

State Sen. Russ Decker, a Democrat, said that he backs the amendment.

Some owners of local vineyards said that the move would drive up the cost of each bottle of wine. However, distributors, who back the proposal, said that it would level the playing field for wineries across the country.

Botham Vineyards owner Peter Botham has been in the wine business for more than a decade. He said that he never saw the amendment coming.

"Friend of mine in the Legislature called and said, 'Hey, do you guys have any idea what's going on here?' We read this thing and were like, dumbfounded," said Botham.

Botham said that he had no idea this amendment was wrapped up in the new budget proposal.

"If you don't have a distributor, and you're a small winery, you've lost all that opportunity to sell your wine to retail stores, restaurants, grocery stores, all those sorts of things," he said.

Distributors argue that the amendment would bring Wisconsin into compliance with a 2005 Supreme Court decision. That decision said that regulations should be the same for in-state wineries as out-of-state wineries, WISC-TV reported.

"And so, if a California winery is not allowed to ship to retailers in this state, Wisconsin wineries can't be allowed to ship to wineries in this state," said Mike Wittenwyler, an attorney for the Wisconsin Wine & Spirits Institute.

Wittenwyler said that the measure also legalizes wine shipments directly to customers, something Wisconsin vineyards are currently banned from doing but out-of-state vineyards can.

"What this is going to do for Wisconsin consumers is allow them to get wine from 49 states instead of one," said Wittenwyler. "And I think if you talk to consumers who buy wine direct, they would view this as a very good thing."

But wine masters like Botham said that they just want the chance to weigh-in on the proposal.

"It should be introduced as a separate bill outside of the budget," said Botham.

Stay tuned to WISC-TV and Channel 3000 for continuing coverage.




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