On "Alcopops," the Governor, and the Maryland Attorney General

There has been some discussion in the local media lately encouraging Governor O’Malley to veto a bill defining “alcopops” (flavored malt beverage based alcoholic beverages) as “beer”.  The general argument is that these beverages are targeted at underage consumers and consequently should be discouraged by being taxed at the higher tax rate applied to liquor.  Also, the Attorney General has stated his opinion that these beverages bear no resemblance to beer, and should therefore be reclassified anyway. Indeed the bill defining flavored malt beverages as beer was drafted purely as a response to the AG’s opinion, with the beverage industry feeling a need to protect its interests and maintain the status quo.

While I personally find these flavored malt beverages to be a complete waste of packaging and effort, I have to go against the AG in this area and hope the Governor will sign the bill into law.  My reason is simple – flavored malt beverages are already classified as “beer” products by the federal TTB, the agency that regulates the alcoholic beverage industry.   To permit the AG to redefine with his opinion a nationally accepted trade practice – making Maryland out of step with the rest of the country – would create unnecessary confusion in the market and certainly create a regulatory quagmire where businesses try to comply with an inconsistent set of regulations.  Also, do we really want to give one individual’s opinion, however "official", carte blanche to overturn established business practices?

If the AG and various interests want to affect this sort of change, I suggest that they start with the TTB and try to affect change on a national, and therefore across the board, basis.  This would be much more effective and certainly a fairer and more professional way of affecting change – and would leave the industry with clearly defined standards to operate within.  Consequently, I hope the Governor will sign the bill and leave Maryland in sync with the rest of the country.