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Sell stores, not liquor, auditor says

Published on Wed, Jan 20, 2010 by Washington Retail Association

Read More Guest Opinion

The state could raise revenues if it sold some of its liquor stores to private operators, a state auditor's report has found.

The idea was among several revenue ideas discussed last week before the House General Appropriations Committee. Other ideas included eliminating duplication of computer services and negotiating discounts for offices the state leases.

Eliminating duplicate computer services in the departments of Corrections, Financial Management, Information Services, Revenue and Transportation could reduce state computer costs by up to 15 percent, the audit concluded.



Auction liquor licenses

Auditor Brian Sonntag reviewed five options for changing how state liquor stores are operated. The state owns about half of the current 315 stores while others are managed through agreements with private contractors.

Under one scenario, the state could increase the number of stores to 370 by auctioning licenses to sell liquor to private companies, said Larisa Benson, who directed Sonntag's audit.

This would add up to $277 million in additional liquor revenues to the expected $2.36 billion in liquor revenues from 2010 to 2016 if no changes were made in operations, she said.

Source: Washington Retail Association

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