A Development That Could Be Far Worse Than Health Care Reform, Minimum Wage Raises, and The Health Department…Combined.
May 20, 2013 in Uncategorized
The federal government’s National Transportation Safety Board (“NTSB”) issued a recommendation last week to lower the blood alcohol limit for driving from .08 to .05. If and when this change comes to New York, it will be a game changing threat to the restaurant, bar, and wine/liquor store industry. For a recent news article discussing the impact of the proposal on the restaurant industry, click here. Lowering the BAC levels for drunk driving will cause one of three things to happen: (a) alcohol sales will decline because customers will drink less, (b) table turns will slow down because customers will stay longer so that the alcohol they drank will metabolize, (c) attempts to compensate for the changes will eat into profits, i.e. lowering the alcohol content of drinks, or increasing the amount of food portions served to moderate the alcohol. Now, it will be up to New York to decide whether and when to adopt this change, and there will be no shortage of political lobbying on both sides of the argument. Regardless of where you stand on this issue, it has the potential to severely impact the revenue and profits of the hospitality industry in New York. So, my suggestion is that you stay in touch with your political and industry contacts and keep an open eye and ear for any developments on this subject.



