Senate Bill 168: Reducing the food-to-beverage ratio for restaurants serving mixed drinks

SB 168 from Sen. Bryce Reeves, R-Fredericksburg, would increase the amount of mixed beverages a licensed restaurant can serve based on average monthly food sales, replacing the current mandatory 45% food-to-beverage ratio enforced by the Virginia Alcoholic Beverage Control Authority…

Robert Melvin with right-leaning think tank R Street Institute told the subcommittee that Reeves’ legislation is beneficial for consumers who want to take advantage of craft cocktail establishments seen in other states like New York.

He also pointed out customers who don’t drink alcoholic beverages at restaurants can also feel the impacts of the ratio: In 2014, ABC raised liquor prices throughout the commonwealth due to state budget shortfalls. “As a result,” he said, “that goes and impacts the food-to-beverage ratio for the restaurant, and then the restaurants raise the food prices as well.”