An E.coli outbreak is causing concern and a warning from the Pennsylvania Department of Health to not eat or serve any romaine lettuce.

The state DOH warning came shortly after the Centers for Disease Control and Prevention (CDC) issued a health alert indicating they and others are investigating a multistate outbreak of Shiga toxin-producing Escherichia coli O157:H7 (E. coli O157:H7) infections linked to romaine lettuce.

According to the alert, the CDC advised U.S. consumers not eat any romaine lettuce, and retailers and restaurants not serve or sell any, until more is known about the outbreak. This investigation is ongoing and the advice will be updated as more information is available.

This advice includes all types or uses of romaine lettuce, such as whole heads of romaine, hearts of romaine, and bags and boxes of precut lettuce and salad mixes that contain romaine, including baby romaine, spring mix, and Caesar salad.

Restaurants and retailers should not serve or sell any romaine lettuce, including salads and salad mixes containing romaine.

Thirty-two people infected with the outbreak strain of Shiga toxin-producing E. coliO157:H7 have been reported from 11 states.

To read the CDC advisory, click here.

The recently published 2017-2018 Annual Report from the Pennsylvania Liquor Control Board (PLCB) includes a breakdown of the 76,000 license and permit applications processed and more than 8,200 investigations completed.

One area of note relates to nuisance bars, indicating a level number of investigations, but a decrease in notices of objection.

Under the provisions of the Liquor Code, the PLCB maintains a Nuisance Bar Program to review the operational history of any licensed establishment that, by its actions, may have abused license privileges. The Bureau of Licensing seeks information from the community, law enforcement agencies, and government entities on any adverse activity associated with the licensed establishment. If substantial evidence is received to support non-renewal, a notice of objection is issued.

According to the annual report, the total number of notices of objection dropped in 2017 to 64, down from 160 one year earlier. A total of 212 investigations of nuisance bars were conducted, remaining almost level with 221 during the previous year.

“Nuisance bars have no place in our communities,” said Chuck Moran, executive director of the Pennsylvania Licensed Beverage and Tavern Association. “The problems they cause give all tavern owners a black eye and do a disservice to those owners doing the right thing by being a good community neighbor.”

Of the 8,214 investigations conducted, manager changes accounted for 1,377. A total of 409 new licenses were also investigated. Other investigation categories included renewals and transfers.

The Pennsylvania Liquor Control Board (PLCB) released in late October its Fiscal Year 2017-18 Annual Report, which, for the first time, incorporated retail sales trends in a single, comprehensive publication detailing agency operations, popular products, and financial results.

According to the report, Pennsylvanians like their spirits. For those who follow where the dollars are being spent, check out the report’s sales figures:

• Regular spirits: $1.32 billion
• Regular wine: $847.5 million
• Special orders: $104.6 million
• Luxury wine: $54.1 million
• Luxury spirits: $6.3 million

Not surprising, December followed by November had the highest sales. The most popular spirits throughout the year sells in a range from $5.99 to $39.99.

The top selling spirit in 57 counties was unflavored vodka. American whiskey topped nine counties, while Canadian whisky was favored in one.  The items that exhibited the most growth in unit sales during fiscal year 2017–18 included Tito’s Handmade Vodka (1 L) (40,251.8 percent), Fireball Cinnamon Whisky (50 mL) (104.8 percent), and Tito’s Handmade Vodka (50 mL) (51.4 percent).

In terms of sales by county, Allegheny, Philadelphia, and Montgomery find themselves in the top three, combining for 34.9 percent of statewide sales. Other top counties include Bucks, Chester, Delaware, Lehigh, Lancaster, Westmoreland, and York.

The report also breaks out all counties by category of sales.

“This report can be very useful for tavern owners to find out what people from their counties are buying at nearby state stores,” said Chuck Moran, executive director at the Pennsylvania Licensed Beverage and Tavern Association. “From a marketing perspective, it could give our members hints of what types of liquor and wine people in their communities prefer.”

Within the past several years, Philadelphia City Council enacted an ordinance detailing certification requirements for bouncers.

The ordinance requires “that bouncers employed at covered establishments be registered and receive proper training, to prohibit employers from employing unregistered or untrained bouncers and to permit employers to refuse to hire bouncers with certain past criminal convictions; all under certain terms and conditions.” To read the full ordinance, click here.

Essentially, this prohibits bars and other places from employing security who have not completed an appropriate bouncer training course.

To become a registered bouncer, an individual must complete 16 hours of training from an approved
third-party training provider. A list of approved training providers is available at www.phila.gov/mdo.
Upon completion, the training provider must provide the individual with a certificate demonstrating that
the individual met the training requirements. The individual shall then submit a copy of the certificate to
the Managing Director’s Office by emailing it to bouncer.certificates@phila.gov. Once certified,
bouncers are required to complete an 8-hour refresher course every two years.

The Pennsylvania Licensed Beverage and Tavern Association encourages its members in Philadelphia to make sure their bouncers are certified and registered. All security personnel at restaurants, clubs, bars, and similar establishments must be certified and all establishments should have certificates on-site.

To learn more about Philadelphia’s bouncer certification program, click here. The City of Philadelphia also provides a frequently asked questions document, which can be found by clicking here.

 

The Pennsylvania legislature has passed a bill that makes things tougher on those arrested for driving while under the influence.

Senate Bill 961 was presented to Governor Wolf on October 18 after concurrence in the Senate by a 45-4 vote a day earlier. In addition, the bill passed in the House 184-1 just prior to the Senate’s final action.

Dear Members,

In the October 15 edition of Mid-Month Report, it was noted that there may be activities in the final voting days of the session that could impact tavern owners. Specifically, the Pennsylvania Licensed Beverage and Tavern Association through its lobbying firm ERG Partners was closely monitoring HB 1497 and HB 864.

Sure enough, in the days that followed that newsletter, those bills did see action. The following is an update.

HB 1497

There was an attempt in the Senate to amend HB 1497 to give Pennsylvania breweries a tax advantage over all other liquor licenses. The Pennsylvania Licensed Beverage and Tavern Association joined efforts through a strong coalition with other licensees to defeat this movement.

The language contained in a proposed amendment would have given breweries a special tax break by allowing them to charge sales tax on prices earlier and lower in the distribution process than any other retail licensee, putting breweries at a taxpayer-subsidized advantage over restaurants, taverns, grocery stores, clubs, convenience stores, and beer distributors.

This amendment, which was not the subject of any vetting or public hearing, claimed to remedy a Department of Revenue Tax Bulletin, not scheduled to go into effect until July of 2019, which closed a theoretical loophole that brewers argue allows sales by breweries to be the only beer sales in Pennsylvania on which sales tax is never charged.  This amendment, rather than making the sales tax structure uniform, would perpetuate breweries’ tax advantage over all other licensees making the new tax scheme not just unfair but also constitutionally suspect.

The Pennsylvania Licensed Beverage and Tavern Association joined with eight other organizations in a coalition that urged State Senators to oppose giving special tax subsidies to breweries.

In the end, the tax advantage was removed from the amendment, and HB 1497 did pass the Senate.  The bill addresses issues with alcoholic ciders, mixed use town center development projects, and public venues, but does not give a tax advantage to Pennsylvania breweries. A part of the bill also allows slot machine licensees to apply for a casino liquor license and sets a $1 million price on that license.  The bill now sits in the House Rules Committee, but may not get consideration before the General Assembly adjourns Nov 30.

HB 864

HB 864 addresses the Local Option Small Games of Chance Act.  And, you may recall that this bill in the Spring was amended in the Senate with the help of Senator Rich Alloway to help tavern owners by allowing them to keep a greater amount of net revenue and also to pay fewer taxes on gaming supplies.

That amendment passed in the Spring, but then the full bill was defeated the very next day.

The bill came back to life in recent weeks, but the Senate voted to revert back to an earlier version without the Alloway amendments.

However, a final charge by the Pennsylvania Licensed Beverage and Tavern Association lobbying team and others encouraged friends in the Senate to address the business model issues that are a negative to those interested in small games of chance.

On the floor of the Senate, two amendments were brought together, both helping taverns. An amendment from Senator Wayne Fontana put parts of the Alloway amendment back in play. And an amendment from Senator Lisa Boscola added “pools” as part of tavern gaming. The bill was amended on third consideration on October 17, and passed 42-7, before moving to the House Rules Committee last evening.  Again, we are unsure whether the House and Senate may return for further votes this fall.

Two important parts for tavern owners include an improvement in the percentage of net revenue allowed to be kept by tavern owners and a change in tax structure.

Regarding net revenue, currently tavern owners can keep 35 percent of net revenue. HB 864 was amended to allow tavern owners to keep 45 percent.

Regarding taxes, the current imposed tax of 60 percent of net revenue from tavern games sold by a licensed distributor to a licensee would be changed to 51 percent. In addition, sales tax may only be charged on the licensed distributor’s fee on the cost of tickets.

Tavern games in the amendment were defined as pull-tabs, tavern daily drawings, 50/50 drawings, e-tabs, pools, and tavern raffles.

What’s next for these bills?

Both bills currently sit in the House Rules Committee. October 17 was the last voting day of the session on the calendar for both chambers. At this point, it would be up to the House and Senate to come back to finish these bills and dozens of others that fell short of final passage last night.

At the moment, there are plenty of rumors floating around the halls of the capitol. While the bills could be dead, there is a slim possibility that they are not. The Pennsylvania Licensed Beverage and Tavern Association will continue to monitor this, and encourage the House to return after the elections to finalize HB 864 as it is written today. We will also continue to monitor HB 1497 to ensure no one receives a tax advantage over taverns.  In either event, we were successful in re-engaging on the hill and setting the stage for future efforts to level the playing field for all licensees.

So that we do not cause confusion, if HB 864 is finalized by the House before the end of this legislative session, the Pennsylvania Licensed Beverage and Tavern Association will provide members with a full analysis to help better understand changes.  At this moment, the current laws still exist, and tavern owners should continue to follow existing rules around gaming.

What should tavern owners do next?

It’s important for Pennsylvania Senators to hear from you with words of thanks. Senators Fontana, Alloway, and Boscola all deserve praise for their efforts on HB 864. So please take a moment and thank them either by phone or email.

There were a total of 42 (out of 49) senators who voted to pass HB 864 with the tavern-friendly language. A complete list can be found by clicking here. If you see your senator on that list, thank them as well.

To find contact information for any state senator, please visit http://www.legis.state.pa.us/cfdocs/legis/home/findyourlegislator/

Final thoughts

As noted above, the Pennsylvania Licensed Beverage and Tavern Association with a new lobbying strategy and new team – as well as a dedicated Board of Directors – was successful in re-engaging on the hill. Our association played a role in stopping one unfriendly amendment, while we helped move another that was friendlier.

Our efforts helped set the stage for the future to be on a level playing field.

Since September when we hired ERG Partners and started working with John Nikoloff as our chief lobbyist, positive strides are being made.  New relationships are being made, while damaged ones are being mended.

Throughout the fall session days, our mantra has been “The Taverns will continue to oppose legislation that provides advantages for competing organizations and categories of retail licensees at the expense of others and support legislation that levels the playing field for all.”

That’s fair, and will continue into the future.

This is indeed an exciting time to belong to the Pennsylvania Licensed Beverage and Tavern Association!

In an effort to continue the dialogue about the dangers of underage drinking, the Pennsylvania Liquor Control Board (PLCB) is encouraging students from across the commonwealth to participate in the 27th annual Alcohol Awareness Poster Contest.

“Earlier this year, we unveiled a new alcohol education campaign called Know When, Know How. This campaign teaches parents how to start a conversation with their children about the dangers of underage drinking. Our annual poster contest is an excellent way to continue those conversations,” said PLCB Chairman Tim Holden.

The contest is open to all Pennsylvania students in kindergarten through 12th grade, including those who are home-schooled or in private or parochial schools. Students may enter through their schools, clubs, or scout troops, or individually.

Entries must feature a clear no-use message about underage drinking and may be created using any artistic medium. Students are encouraged to use positive messages and images, such as the benefits of being alcohol free or alternatives to underage drinking.

Each year, approximately 50 posters are selected by a panel of judges for recognition. Each artist who creates a selected poster will be notified of his or her accomplishment and invited to attend a recognition ceremony in Harrisburg in April 2019, which is Alcohol Awareness Month.

Several students will receive $50, and one student from each grade (K-12) will receive $25. Some of the winning designs may be reproduced in various formats and distributed across Pennsylvania.

To learn more, click here.

NorthNewJersey.com recently reported that Garden State officials believe microbreweries have become too active, and have decided to put the clamps down.

Six years ago, in an attempt to help the young industry, New Jersey passed a law that allowed microbreweries to serve their products in-house and sell more beer to go. Since then, activities held at microbrews have grown significantly.

After a “special ruling” by the director of the Division of Alcoholic Beverage Control, New Jersey’s microbreweries are now limited to holding 25 on-site special events annually. This would include events like trivia nights and live entertainment.

They will also be unable to have take-out menus from area restaurants as well as host more than 52 private parties a year. In addition, they’ll be prohibited from showing sports on TV unless it is one of their 25 special events.

The original law was meant to increase craft beer sales at other establishments such as bars and restaurants. Instead, the law was misinterpreted, resulting in new venues for consumption with the same rights as bars and restaurants.

To read more, click here.

The Pennsylvania Liquor Control Board recently reported that fiscal year 2017-18 was a record year for retail sales and net income.

According to the PLCB, sales totaled $2.59 billion (including liquor and sales taxes), a $67.8 million or 2.7 percent increase over the prior year and previous retail sales record. The PLCB achieved year-over-year sales growth each year for at least the past two decades.

Net income for the year totaled a record $158.2 million, $53.4 million or 50.9 percent higher than the prior fiscal year. The substantial increase is due mainly to gross margin improvement, higher revenues from expired license auctions, and a commonwealth-wide credit to retiree medical expense related to settlement with a health insurer. Due to the PLCB’s ability to negotiate product acquisition costs and retail prices with wine and spirits suppliers, it achieved nine-tenths of a point growth in margin, or profitability – from 30.9 percent in fiscal year 2016-17 to 31.8 percent in 2017-18 – while maintaining fair and competitive prices for consumers.

Furthermore, contributions to state and local government beneficiaries totaled $749.6 million for the fiscal year.

To read more, click here to read an official announcement from the PLCB.

Bartenders, servers encouraged by PLBA, Health Secretary to get flu shot

(Harrisburg, Pa. – 9/10/18) Health care officials in Pennsylvania have a new friend in dealing with the upcoming flu season.

Across the state, tavern owners are being encouraged by the Pennsylvania Licensed Beverage Association (PLBA) and health care officials to help keep themselves and their staffs healthy this coming fall and winter by suggesting they get a flu shot.

“No tavern or restaurant owner wants to see their employees at home sick or even worse in the hospital,” said Chuck Moran, executive director of the PLBA. “You certainly don’t want them working while being under the weather, and missing staff can negatively impact business. There’s just too much risk of spreading the flu to other staff or patrons.”

According to the Centers for Disease Control and Prevention, influenza causes thousands of deaths and billions of dollars in lost productivity each year nationally.

For employers and employees that comes to a loss of nearly 17 million workdays each flu season. Furthermore, tens of thousands of people end up in hospitals, eventually impacting the cost of health insurance.

In Pennsylvania, between October 2017 and May 2018, there were more than 121,000 confirmed influenza

cases. That doesn’t consider others who may not have gone to their doctor to be tested. Allegheny County alone had 12,676 reported cases.

In an article published in the September edition of Pennsylvania Observer, the official magazine of the PLBA, Rachel Levine, MD, Pennsylvania Secretary of Health and Physician General, urged tavern owners to get a flu shot and to encourage their employees to do the same.

“Getting a flu shot is the best way to protect yourself, your loved ones, and those you come into contact with from the flu,” Secretary Levine said in the article. “Anyone who works in a public setting, surrounded by other people, is aware of the need to take precautions to remain healthy and safe.”

There will be some people who are unable to get a flu shot due to health reasons, but Secretary Levine believes that other than those exceptions, it’s a good idea to be vaccinated.

“The flu shot is safe, effective and the best form of defense against the flu,” she said.

Ena Saini, MD, a physician with Geisinger Holy Spirit Infectious Diseases in Camp Hill, supported Secretary Levine’s advice. She encourages her patients to get a flu shot annually and says it’s important for those in the hospitality industry to be cautious.

“Someone working in a restaurant or tavern may come in contact with hundreds of people every day,” said Dr. Saini. “All it takes is one contagious person to put others at risk. When that happens your first line of defense to protect yourself from getting sick is a flu shot.”

 

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The Pennsylvania Licensed Beverage Association represents retail licensees in the Commonwealth of Pennsylvania. The Association formed after Prohibition in 1941 to ensure the legality, protection, and prosperity of the state’s liquor and beer retail licensed businesses. From corner bars, delis and neighborhood taverns to five-star restaurants and resorts, PLBA’s industry supports more than 100,000 Commonwealth jobs, and remains an established, important part of our communities. To learn more about the PLBA, visit www.pataverns.com.  The PLBA can be followed on Twitter via @TavernPA. Chuck Moran can be followed on Twitter via @ChuckMoran7.