One of the most pleasant parts of touring wine country can be lunch at a winery restaurant, accompanied by a glass or two of their wine. The winery gets the chance to show off its wares paired with food, and the visitor has a relaxing meal, frequently accompanied by idyllic views of surrounding vineyards. Over the years, I've enjoyed meals at wineries from California to Australia, Ontario to Italy.

But not here in Michigan. It's illegal here.

Among our state's many Byzantine and seemingly arbitrary beverage regulations, this stands out as one of the silliest: Michigan won't license a winery to run a restaurant that serves alcoholic beverages -- even its own.

Why? The reason is largely historical. In the aftermath of Prohibition, regulators worried that large corporations -- or criminal organizations -- might monopolize the new alcoholic beverage markets by controlling access from producer to end-consumer. So they concocted a simplistic, one-size-fits-all remedy: ban multiple licenses. Producers couldn't distribute their own products. Distributors couldn't own stores that sold alcohol.

And wineries couldn't run a licensed restaurant.

The regulation may or may not have made sense 75 years ago. But today it achieves the seemingly impossible: it negatively impacts both Michigan's small wineries AND the consumers who patronize them. In 2007, with thousands of wines in stores and a booming state winemaking industry, it's difficult to imagine that a winery restaurant ban is necessary to promote competition or the public welfare. Since winery restaurants would still have to comply with local zoning and operating regulations, it's hard to find anyone who would lose by repealing the ban, except perhaps a few lunch spots in towns near the wineries.

Michigan's wineries are among the few bright spots in a dismal state economy. Within the bounds of responsible alcohol management, regulators and legislators should be falling all over themselves to encourage the industry's continued growth -- while simultaneously enhancing the experience of thousands of tourists who visit wine country annually.

They'd do well to start by repealing the ban on winery restaurant licenses.

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written by jonmc, May 24, 2007

What about Tabor Hill?

Let them serve wine!
written by mocooljay, May 24, 2007

Couldn't agree more.

But our legislators are much too busy figuring out new ways to criminalize the private activities of consenting adults.

RE: Tabor Hill
written by mocooljay, May 24, 2007

That's a very good question, jonmc. If the law has been on the books since Prohibition as Joel suggests, I can't imagine that the restaurant and winery predates that. (Or maybe the law is newer and only inspired by neo-prohibitionists and our friendly wholesale distributors, who seem to oppose anything and everything designed to improve consumer choices.

Tabor Hill
written by Joel Goldberg, May 24, 2007

I figured Tabor Hill would come up when I was writing -- but the explanation was too long and fiddly to include in the piece. I don't know the exact legal setup there, but assume that this applies.

There IS a "workaround" that's technically legal, but operationally difficult to pull off. That's to have a different party -- individual or corporate -- own and control the licensed restaurant. (It also can't be a spouse...).

That party also has to be licensable and show that the money used for the restaurant is their own, not the winery's. Of course, you (the winery) have to trust them.

Then there are a whole bunch of "premises" issues having to do with control over the the site and the physical separation of the facilities of the two licensees.

In other words, a royal pain to accomplish and not often achievable.

Joel

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written by jonmc, May 24, 2007

The Round Barn Winery has recently opened a cafe. I have yet to visit and am unsure of the exact setup. Perhaps it is not "full-service" in the sense that you may need to order a glass of wine from the tasting room, rather than having it served.

There are numerous other wineries throughout the state that both sell food and/or encourage patrons to bring food. Nearly all of these places are happy to bring wine to your table.

With so many potential loopholes this law seems quite pointless. If anyone knows how to go about starting a petition to repeal it, let's get it going!

So what can we do about it?
written by Christine, May 24, 2007

I read this article hoping for a link or suggestions on what to do about this problem. Can you help us with that Joel? No use complaining and not doing anything.....who do we petition/write/talk with?

What to do..
written by Joel Goldberg, May 25, 2007

Christine, jonmc:

Lansing politics around alcoholic beverages are a real minefield -- I found this out working on direct shipping in 2005. There are some powerful vested interests, and politicians are unwilling to tackle any issue -- regardless of its merits -- that seems to benefit one group (like wineries) because ten other groups immediately have their hands out for similar "favors". In other words, to get any change through Lansing takes a LOT of time, energy, and money.

The initiative would have to come from the wineries themselves. It's their economic interest involved, so the Lansing folks would listen to them first. The consumer role is to show that there's strong support and consumer demand for winery restaurants. That's why I wrote the piece.

A number of winemakers and owners visit MichWine -- maybe one or two of them could jump in here. And I'll make some calls to see how much interest there might be in pushing the issue.

Joel

Re: winery restaurants
written by wraft, June 11, 2007

The legislators in this state are accustomed to receiving $5000 payoffs from the beer and wine wholesalers.

If you can persuade the wholesalers that restaurants are somehow in their interest, they might put up the bribe money to get the law changed.

Otherwise, you'll have to raise the bribe money on your own.

Restaurants are legal
written by Doug, August 13, 2007

A winery may operate a restaurant on site and serve wine, as long as it is their own wine. That provision was added to the legislation years ago. However, a winery restaurant may not serve beer or liquor unless they make it themselves - Round Barn does this.

The only exception was Tabor Hill, who holds a full service liquor license. MLCC has made it clear that that was a mistake that won't happen again.

Most wineries do not want to get into the restaurant business. Its hard enough to make a living in the wine business - its even harder in the restaurant business.

Let Them Serve Wine
written by Rita, January 09, 2008

This law needs to be repealed. Wineries could even be more of a tourist destination if fine dining were available. I visited Tabor Hill for the first time because of their restaurant and proximity to other wineries such as Lemon Creek. Their fare, as well as their wines, have something to please everyone. Repeal! Repeal!

Waiting to buy Michigan wine online
written by Jay Anderson, February 09, 2008

The wines here in Virginia are not bad, but i am still looking forward to the day when I can purchase Michigan wines online just like I can for California wines.

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