Pennsylvania's Liquor Control Board has approved a new fee on wine and spirits.
Prices will increase at state stores, restaurants, bars, and grocery stores after a $1 per case fee takes effect on January 1, 2026.
It’s a bailment warehousing fee
Multiple organizations, including the Distilled Spirits Council of the United States, oppose the PLCB’s vote, saying it will raise the price of alcohol all across the state.
They say the move will cost producers between $15 to $17 million a year.
“As representatives of the world’s wine and spirits producers, we strongly opposed this new fee that will undoubtedly increase prices for Pennsylvania consumers,” a coalition of wine and spirits producers said in a release.
“Further, this fee was imposed with barely any notice and no opportunity for producers to discuss its consequences, ask questions or propose alternatives. Now is not the time to impose new fees on wine and spirits in Pennsylvania. PLCB’s business partners and the public deserve a transparent accounting of agency operations before facing new fees that will raise consumer prices on alcohol.”
The coalition adds that the increase is due to a rising cost of running the PLCB, “not rising costs of spirits and wines.”
“Net profits at PLCB are down by nearly $70 million, and liquor tax collections are down by an estimated $2 million through the first 10 months of this fiscal year (April 2025), according to the PLCB’s latest unaudited financial statements,” a release says.
“To lessen the burden on Pennsylvania consumers and our members doing business there, the PLCB should start by more closely examining expenses before imposing a new fee,” the coalition said. “For example, over the last two years alone, the PLCB spent more than $180 million on a technology system that continues to be riddled with inefficiencies. Instead of addressing current shortfalls, the PLCB created this new fee on distilleries and wineries, and, ultimately, on Pennsylvania consumers.”
A board agenda from the PLCB stated: This office recommends that the Board modify the current bailment agreement by implementing a per case bailment fee for all bailment inventory received at a PLCB distribution center. The fee will help to partially offset warehousing costs and provide an additional tool for the Bureau of Supply Chain to manage inventory levels and supplier performance.
The next formal PLCB meeting is scheduled for August 6 at 11 a.m.