Why were Virginia’s beer wholesalers so successful in the 2024 General Assembly?

Because of the groundwork our members laid in the weeks and months prior.

By the time I stepped foot into the new General Assembly Building in early January, while there was work to be done, our team was merely executing a plan that was already in place. 

More than any other year, thanks to redistricting that brought dozens of freshmen lawmakers to Richmond, most of our time in the 60-day session was spent building these new relationships. That was led by a massive effort in 2023 by our distributors, who invited new and veteran Virginia lawmakers into their warehouses for tours to educate them on the beer business and importance of the Three-Tier System.

When legislators see our operations and meet our hard-working people, they are much more likely to listen and vote in favor of bills that do not harm the industry, while upholding our mission of ensuring consumer choice, safety, and a free market.

And when it came to legislation impacting Alcoholic Beverage Control, the 2024 session was pretty lowkey. There were some housekeeping issues to tackle, with a bill on its way to Governor Youngkin for signing to streamline and standardize the licensing process for performing arts or sporting venues. The budget includes full funding for the Virginia Beer Distributing Company, allowing some level of distribution for smaller brewers. Our friends in retail debated lowering the current 45% food-to-beverage ratio for certain mixed beverage licensees, but that bill was tabled for the year. We also tracked several general business issues, several of which would have impacted warehouse-related industries — none of which came to pass.

So what’s next?

We’re watching and discussing with our board how the wholesale industry is evolving with the rise of canned cocktails, non-alcoholic beers (the fastest-growing category of beer), and even cannabis-infused drinks. Where does VBWA fit in these categories, and how does it impact our members and consumers? We want to understand the opportunities and challenges for our industry.

We also want to modernize how Virginia’s recycling system is funded, particularly when it comes to Virginia’s litter tax. While plastics dominate the Commonwealth’s litter landscape, plastics aren’t paying their fair share into the tax. When the litter tax was established over 40 years ago, no one contemplated that consumers would pay for bottled water, so water bottles remain exempt from the tax. Further, newer waxed paper cartons used in certain products and other products such as low-alcohol beverages – which is how cocktails-to-go are classified in the Code of Virginia – are not covered by the tax. We want all producers and handlers of recyclable products to pay their fair share of waste management. That’s just being a good corporate citizen. 

Know an Emerging Leader?

This fall, we’ll launch our VBWA Emerging Leaders program. This is a must-attend series for any wholesale-tier rising star to build a more comprehensive understanding of the history of the rules and regs dictating our industry, and learn how to effectively advocate at the state and federal level. 

We’re also planning to add a few courses adjacent to advocacy — communications, law, and other skills “beyond the warehouse” to build effective leadership skills. These are all critical skills to become more effective in business, in your local community, in your work with peers and competitors, and with political decision-makers.

• Session One: September 17-18, 2024 — The Cavalier Resort, Virginia Beach
• Session Two: October 16-17, 2024 — Meetings at the National Beer Wholesalers Association offices, Alexandria (hotel information coming soon)
• Session Three: November 13-14, 2024 — The Hotel Roanoke, Roanoke
• Session Four & Graduation Ceremony: Date TBD, January 2025 — During the 2025 Legislative Conference in Richmond 

An official shoutout to VBWA’s Mike Mullin

We’re biased, but our favorite legislation in the General Assembly was House Resolution 177, commending our own in-house counsel Mike Mullin for seven years serving as a state Delegate. 

Mike joined VBWA after retiring in November from the House, where he represented the 93rd District, which prior to redistricting included parts of Newport News, Williamsburg, James City County, and York County. The legislation was sponsored by W. Chad Green Sr., who took over Mike’s seat and serves in the new 69th district. You can read the full resolution here. 

Finally, this summer VBWA will move into a new headquarters in downtown Richmond after the quick and successful sale of our longtime building on Cary Street. This new location will provide us easier and faster access to the State Capitol and a modern space for our members and our friends to visit.

Cheers to a great spring.

Philip H. Boykin
President & CEO
Virginia Beer Wholesalers Association