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Distilled Spirits Council applauds direct-to-consumer shipping

Distilled Spirits Council

FRANKFORT, Ky. — Today, the Distilled Spirits Council of the United States (DISCUS) applauded the leadership of the Kentucky House and Senate for passing into law HB 415 which amends current law allowing the direct-to-consumer shipment of beverage alcohol to and from the Commonwealth of Kentucky by brewers, vintners and distillers.

“Consumers want access to new and exciting spirits products that often are not readily available in their state,” said Jay Hibbard, vice president of state government relations for DISCUS. “Direct-to-consumer shipment can be a complement to the three-tier system in meeting this consumer-driven demand. We want to express our appreciation for the leadership of House Speaker David Osborne, the bill’s sponsors Representatives Adam Koenig and Chad McCoy, and for the support of Senate President Robert Stivers and Senators Damon Thayer and John Schickel. This group of legislators recognized the need to adapt to today’s evolving markets and moved this bill across the finish line.”

The legislation treats all alcohol products equally, avoids Commerce Clause issues, maintains state tax collections and safeguards against underage purchases of beverage alcohol.

“Direct-to-consumer shipping has, will and should continue to serve as an additional market access channel to the traditional three-tier system of alcohol beverage distribution,” said Hibbard. “DISCUS continues to fully support the three-tier system and believes it should continue to be at the core of the beverage alcohol distribution system.” 

The Kentucky legislature approved the legislation last week, and it became effective at midnight on April 7, 2020.