D

I wrote my representative this morning to voice my opposition. Times are tough enough for restaurants.

Austin sommeliers – double-check your wine lists so Dewhurst can find what he likes – considering the millions of dollars the Tx. Dept of Agriculture has poured (pardon the pun) into the Texas wine industry, maybe he needs to see more local offerings.

Personally I’m looking forward to not getting robbed when I want wine. I understand this is the food industry gravy train, but gimme a break, times are tough for diners too – if restaurants had not been trying to bleed patrons so bad for so long on alcohol this would have never come up. Drop your prices to even 50% mark-up per bottle and I’d call it a compromise.

I think a reading of the actual language of the bill tells a much different story than is being painted in the above article. Here is the pertinent language:
The holder of a mixed beverage permit, or any officer,
agent, or employee of a holder, may permit a person to possess and
consume [Previous Hit] wine [Next Hit] brought onto the premises by the person. The holder of
a mixed beverage permit may charge the person a corkage fee for the
person’s consumption of [Previous Hit] wine [Next Hit] on the premises and may provide for
service of the [Previous Hit] wine [Next Hit] to the person and the person’s guests. A fee
charged under this subsection is subject to the mixed beverage tax.

Clearly, this does not equate to every restaurant being required to allow BYOB. If a restaurant has liability or profit concerns their option is to maintain their business as currently run. The bill merely allows restaurants that have a liquor license the OPTION to allow BYOB. With that option also comes the right to charge a corkage fee as well. Those corkage fees, aside from taxes, are pure profit since the restaurant did not purchase the wine or utilize any resources to do so. I don’t see that many restaurants are going to be jumping to choose this option. I wish the reporting on this issue was less one sided and more accurately described the real text and effect of the bill.

@ bmk; not pure profit. replacement of stemware/bar supplies, ware washer hourly wage, chemicals & utilities for washing, wages+employee expenses for busser/waitstaff/management [the byob guest expects the same experience as everyone else, no], air conditioning, lighting, insurance….
I don’t opposed byob, I see the pros/cons of both sides of the issue, and I know, I know “woe is me” it’s the business I chose, and there are restaurants that gouge on their wine lists [buyer beware] but none of it is “pure profit”

state reps…..STAY OUT OF THE RESTAURANT BUSINESS!!!! YOUR proposed action will put many and I do mean many out of business….then where will high school and college students work..where will cooks and other support staff work…..will it expand our already over burdened welfare rolls and food stamp programs…..get smart and quit meddeling in things you know nothing about.

@ Laura, most of us already have a 50% wine cost when you factor in the 14% gross receipts tax that the state gets.

Alfonso, thanks for the props but my situation is somewhat unique and it may not work for every operator.

First, I traded my MB permit for a wine and beer permit about 4 years ago, so I’m legal to allow BYOB. Got tired of paying 14% off the top when 90+% of my alcohol-related beverage sales were wine. Secondly, I’ve got a very winecentric (if thats a word) reputation and clientele with a large percentage that are collectors with home cellars. So it just works for me to cater to them to come in more frequently on slower nights and I can use the business.

I can definitely see why operators with MB permits would want to retain the status quo as it will be a slippery slope once the gate is opened and competitive pressures will force operators to react (allow) to more and more BYOB’ers or lose the potential customers and revenues.

Personally, if I were in their shoes and the bill passes, I wouldn’t fear it, I’d just set policies/limits that make it work positively for your business.

Reagan that is…………not you Nancy N

Our servers at Saturday’s meeting agreed that the new bill will be a large pay cut for them. What is the chance that the customer will tip on what the wine would have sold for. I’m surprised that the great state of Texas wants LESS TAX REVENUE . We pay quite alot of tabc tax every month. Wine is a big money maker for the state and the servers.

Well, as the chronic consumer of Biernat’s 26 ounce Porterhouse, when Big Al speaks, I listen. Even if this bill made sense, the timing in this economy sucks Chardonnay grapes. Merlot can you go?

Thanks Rawlins Nichol-Plated!

FIVE-DAY POSTING RULE SUSPENDED .
Representative Kuempel moved to suspend the five-day posting rule and all
necessary rules to allow the Committee on Licensing and Administrative
Procedures to consider SB 2523.
The motion prevailed.
Tuesday, May 5, 2009 HOUSE JOURNAL — 64th Day 2541
COMMITTEE MEETING ANNOUNCEMENTS
The following committee meetings were announced:
Licensing and Administrative Procedures, 8 a.m. tomorrow, E2.016, for a
public hearing, to consider SB 2523 and posted business.

Kids are in school, anyone up for a road trip?

that is a funny note Amy. The 8am tomorrow schedule was actually today. We should all go down the next time this comes to committee. The state house of reps publishes the calender each day on their website.

Wine is a collectable, unlike potatoes or spinach, and so people gather them and want to open them up on special occasions in special places. If a diner wants to bring their special wine into a place that allows it, like Lola, where is the harm? Not an everyday practice. Look, I’m in the wine biz and collect wine. I also (often) drink the stuff off of lists and support the restaurants.

That said, we need to continuously reinforce wine education and wine service. Thank you, dentonfoodie, for your passion and ongoing commitment. And thanks to your place for their commitment. And yes, thanks, Van, for your calmness and your classy response. And your reasonable mark-ups.

As a consumer, I am laughing at the level of panic shown by some of your comments above. I fully support the opportunity to bring my own wine and look forward to doing so in restaurants that would permit it under this bill. If you as an owner choose not to allow it, that is your choice. Times are tough, and if you don’t want to make the necessary adjustments to be competitive in this marketplace, your business will suffer. Whether or not a restaurant allows BYOB has hardly ever been a consideration when our household has chosen where to dine. I view this as a luxury for consumers like me that a few restaurants will ultimately offer.
Unfortunately, the net losers in all of this will likely be those restaurants which currently allow BYOB. This evens their playing field.

This bill PERMITS the restaurant to allow BYOW. If the restaraunt thinks that BYOW is bad for its business or employees, then don’t permit BYOW. It is about choice and there is no compelling reason to PROHIBIT a restaurant from choosing to allow patrons to bring their own wine.

I do not go out to restaurants much because of the outrageous markups on wine (which, as indicated, are partially a product of outrageous taxes). If this bill passes, I will more frequently eat out, and where i eat will be restaurants that permit BYOW for a reasonable corkage fee. This bill has the potential to increase restaurant revenues on nights that are traditionally less busy (see LOLA, for example). Restaurants that are able to adapt to the change will profit. Restaurants that prefer to continue on with a “business as usual” attitude (at the cost of their patrons) in this economy will perish.

A response to Snark Man, I paid $9,000 for a two year mixed beverage liscese this year. As Amy has stated wine and beer places pay normal sales tax. They also pay less fees. The MB liscense puts us all on a level playing field. We can then compete on quality, service, and price. The chains have taken over Texas dining and the TRA, they can do so because of large marketing budgets. Everyone thinks we drive Ferrarri’s, we simply employ thousands of the best folks in Texas, we drive what runs that day. We do it all for our guests and our integrity. As for the business model, which industry would you like to choose to take awar 20%-30% of our income on the supposition that it will be good for the customer. It will simply help McDonolds and Jack in the Box, because the TRA leadershipis being controlled by the chains. The TRA leader that I faced yesterday was asked if he polled his membership for thier opinion, he mummbled stuttered and never answered the question. I would suggest that he step down or the TRA membership should find another voice. He would not answer the questions asked of him because there is no answer. He was asked if a higher being was behind this legislation and he stuttered, stammered, and said yes. Horrah to the State Reps that asked those questions. Every mamager, server, kitchen staff, dishwasher needs to send thank you note, call, e-mails to Chairman Edmund Kuempel, Charle Garen(One of us), Roland Gutierrez, Mike Hamilton, Delwin Jones(a real Texas straight shooter), Jose Menendez, Chente Quintanilla. These guys had amazing political pressure on thier shoulders. They did the right thing. Chairman Kuempel allways ends his sessions with a cartoon of the day. This day he said “You never quit fighting a gorilla until you the gorilla gets tired”. Thats the battle, I was the only person who spoke in support, not tooting my horn just saying it can’t happen again.(I’m not that good, just lucky) We need to set up a plan for the next meeting.
Chris

If you wouldnt rip me off with your 300-500% markups maybe I would buy wine off your list. I KNOW what the mailing list prices are for these wines AND I have a good idea what you pay wholesale. Greedy little DB’s. When you see a run of the mill zin priced at Central Market for $20 and then you price it on your list at $80, do you EVER think I will come back to your restaurant? Think again.

To: Restaurant Owner. What is the name of your restaurant? I want to be sure I do not go there by mistake.

Van (at Lola’s) shows that a restaurant can do well and allow corkage, especially if the restaurant knows wine and cares about it.

I go to very few restaurants that do not allow corkage. Since there are not so many in Texas, I eat at more restaurants in California than I do in my home state!

On the rare occasions that I eat at a restaurant that does not allow corkage, I almost never buy wine. If you want my business, restaurant owners, support this bill.

People have no idea what it costs to operate a restaurant. So many are struggling as it is, not to mention the waitstaff. This would really knock the wind out of an already limping industry.

@ tjh – There are many nuances to vintner’s wines, are you absolutely sure that the appellation and year were identical? Different mixes of grapes within one variety can also result in wide price swings, perhaps one was a “Vinter’s Reserve” vs. their more common wine.

Those small neighborhood places where they have to ask you for a membership – they are licensed as clubs and are NOT ALLOWED TO PURCHASE THEIR LIQUOR, BEER, OR WINE WHOLESALE. They pay as much as you would at Goody Goody, Sigel’s or Centennial. Because that is who they are forced to purchase from by state law.

Another goofy fluke of the liquor laws that ends up costing the consumer, with the perception that the restaurant is the one ripping them off.

And we don’t just wash the glasses, in fact we spend annually on important things like waiter training to ensure responsible service of a legalized drug. Our liability insurance with the additional of alcohol triples, that responsibility does not go away with BYO.

Perhaps you missed the post earlier that explained how depending on a place’s licensing effect sales prices of wines, with the state the only one collecting the difference, not the restaurant.

For the small neighborhood “club”, who cannot buy wholesale and who turns 14% of each sale over to the state, and add to that reductions in dining out dollars – it’s a killer time to be in business.

Ugh, and a week until Franchise taxes are due.

JG this is the exact point I was making and not one of those who is against this new legislation has addressed this aspect.

I have questions for wino,foodie and potential customer…..what other business or store lets people bring in products that were purchased elsewhere into their business?
If you don’t like the wine list or the restaurants wine pricing then go somewhere wlse. Maybe it is you that has no clue.

I work as a waiter and bartender. I don’t want to be a wine cork policeman. Enough about business, this bill’s hasty trip through the Senate doesn’t consider safeties and responsibilities of both the restaurant owner and the customer. I will assurdley get a call from the police if I over-serve someone and they drive and kill someone (heaven forbid). Can I cut someone off from their own supply? I don’t believe the majority of people will abuse bringing their own wine, however, there are those few that will; not only endangering themselves but others as well. I’m talking open alcohol container, Public Intoxication, and Ohh Yeah Texas already rates amongst the highest in DWI. Bottom line is this bill hasn’t been thought out enough to have made it so quickly through the Senate.

Lordy where to begin…well as an employee of a national chain(that consequently supports BYOW)I can see both sides of this issue. Vann has surrendered his MB license and chosen to be as “winecentric” as can be. He is an exception(who has my favorite and BEST cellar in Dallas btw)to most of the restauranteurs around. For larger operations with large liquor and wines sales the results could be devastating. As a sommelier(I have my credentials LOL) who has worked for some of the top restaurant programs in Dallas, the potential losses to wine programs could be the end business for many restaurants. Knowing Dewhurst as I do(there are only so many restaurants in Austin)he has a strong passion for wine and I understand his commitment to his cause. The wines he drinks are exceptional and in many cases just unattainable by the average restaurant. That said the potential losses for his server on a typical $400 tab with a hundred dollar tip, would become a $150-$200 tab with a $50-$60 tip. He’s just one guest. And I clearly understand that he and the other collectors are few and far between, but as most of them(well the top 10%)and the other Jordan and Silver Oak drinkers are the people who drive our high end wine sales($100/btl or more) Medium sized wine program restaurants may just as well get rid of their high end wines because quite frankly with the markups required to pay embedded taxes and other taxes for just having the wine in inventory, consumers of those wines will simply bring them in. Great wine programs that carry wines one cannot otherwise procure(gees the wines I would drink from Lola’s cellar had I the money LOL) should theoretically should be fine but then you’re left to chance because you’ll still lose lots of sales. If I owned a restaurant right now I would be VERY scared. If I was a sommelier in a privately owned restaurant I would be in fear of losing my job due to loss of sales. The loss of the sommelier is also due to the fact that most restaurants just don’t have the position. If I were a restaurantuer would I be willing to add another 40-90k position to my payroll(though the potential sales can justify the cost but that’s a business plan thing-Vann to my knowledge is his own sommelier)? Especially in this economy and with the prospect of my patrons being able to bringing their own wine? It’s a slippery slope that I would just as soon avoid. I’m against the bill and have talked to Dewhurst about it. I’ve sent my emails and lodged my complaints with the appropriate people. That said the sommelier in me is excited at the prospect of tasting Dewhurst’s verticle of Harlan. The problem is that rarely will people be bringing me their Grand cru burgundies and blue chip bordeaux. I suppose it’s going to become a matter to take up with our accountants and figure out how to make this work with our individual restaurants. California has made it work so I know Texas could as well. It’s just not going to be pretty watching the aftermath and count the bodies of the impending restaurant slaughter. *gasp*@ amy your explanation of a restaurant “A” and B” is eyeopening for most guests. Taxation differences are so silly (and real) that after talkng to the former owner of a local indochine restaurant, she she says she was over the taxation and never would have carried such a large selelction of wine and liquor had she known how much she would have to pay. I feel her pain and the pain of many of our fellow restaurantuers.@ the anti- price-gougers. I completely agree that wine prices are too high. It’s always a breath of fresh air seeing wine prices at Lola and other equally fair priced restaurants(I miss CA. The problem lies with taxes and in many cases corporate programs that require certain percentages for all pricing. I’ve always suggested to the powers that be that we maintain reasonable and fair pricing, and always added in the deals and steals for the consumer. I always did my best to work with guests when they queried that a wine was too overpriced. It’s what a good sommelier does.We want everyone to drink the best wine for your buck(er at least we should, mean people take note). @ Jackson I haven’t heard any quotes of possible corkage fees(I work blocks from the Capital)but am comforted that every restaurant can decide on not only participation but in corkage fees as well. I presume my finance guys at corporate are already crunching the numbers to make this work for not only our guests but for us as well. @ dentonfoodie I like your thoughts on both liquor and beer(I would after all like to enjoy a great boutique beer or my favorite Lillet Blonde that most people don’t offer) In summation I’ll chat up friends and colleages and see if we can come up with some solutions that work for both restaurants AND guests and see if we can find a middle ground. It sounds as if with some changes to taxation levels we could make this a more level playing field(Dewhurst is a reasonable man as is the TRA. It could be a reasonable trade?

Cellarmaster, your comments are interesting. Again from a consumer prospective the restaurant biz in Texas seems to have a taxation/supply issue that is separate from the BYOW issue. Maybe a different battle should be fought?

AS JG and bmk note above – If the bill doesn’t force restaurants to allow BYOW (only PERMIT it at the restaurants’ discretion) then won’t the end result be some restaurants will and some won’t? I know where I would chose to go but more than likely the great majority of restaurant customers won’t know and or care about the BYOW option. The net result could be positive for all sides.

Sure sweetie, just give me your name, phone number and address and I’ll deliver it right to you. Hmmm?

@ Restaurant Owner Too…if you can think of a way I can exchange that information with you short of posting it on a blog viewable by every spammer on the net I’d be more than happy to do it. Let me know.

Way off topic but….

I’m wondering if the the Republican Social Conservative base know that the lt. gov. has a wine collection.

Al biernat writes, “Did Mr. Dewhurst consider the loss of tax revenue for the state of Texas?”

Somebody considered it and decided it would more likely increase tax revenue. Don’t ask me how they came to that conclusion.

http://www.legis.state.tx.us/tlodocs/81R/fiscalnotes/pdf/SB02523E.pdf

Al, I am not a fan of the tipping system in general. Tipping (as opposed to the restaurant paying the wage) is as stupid as prohibiting BYOW.

Greedy restauranteurs (like the “Restaurant Owner” who is afraid to name his restaurant) will never get my money. Whether this bill passes or not, I will never frequent a restaurant unless it EITHER has a wine list containing good wines at reasonable prices (i.e. no more than double retail) OR allows BYOB. And I will never pay $59 to drink a $13.99 bottle of bland industrial swill (that Restaurant Owner probably got on closeout for $7.99). My first choice is always to eat at a restaurant like Lola, where I can choose between BYOB and ordering a bottle from the list that I know will be terrific (and a good value as well)….

Let’s take the tipping arguments here and stay on the BYOB.

Al: Get a bus and we’ll all go down to Austin. We’ll all BYOB and I’ll bring the tacos. Serious.

@Clara, its a sad note but the alcoholic who only drinks half the bottle in the restaurant under the observation of the TABC certified servers is likely to chug the balance of the bottle once they get to the car. After the car wreck, the lawyer who sues the restaurant on behalf of the client who exceeded the legal blood/alcohol limit is not likely to mention the drinking that took place once the customer and the bottle left the restaurant.

@Cellarmaster…While I am certain that you are very good at what you do, I am a very experienced wine drinker and do not need help to fill my and my guests’ glasses and do not need help picking out a wine unless I am unfamiliar with the cuisine being served. In fact, 95% of the servers/somms out there do not appear to have a clue about wine service. most are just interested in keeping the glasses full (regardless of whether the patron requests more wine) and popping another bottle (Cha-ching).

BTW, auction prices are VERY strong for older vintages. Younger vintages, not so much.

So we’ll start with Veritas NYC(Timothy Kopec’s list is NUTS!) who doesn’t allow corkage with the reservationist saying “because our wine is really expensive”(though I hope she meant extensive). Per Se cannot be on the current list and a staggering $90 per bottle, 3 max. Le Bernardin, Daniel, or Del Friscos do NOT allow corkage. Asiate $25, Balthazar $35, Craft NYC $45. Aureole NYC $50 per, 2 max and can’t be on current list. Aureole Vegas $35 per, 2 max. Fleur de Lys Vages allows(forgot to ask price). Fleur de Lys San Fran $35 per, 2 max, waived at the discression of GM(hmm padoras box).Michael Mina San Fran $35 for first 2, $70 per after that and none can be on the current list. Bacar is $20 per but waived if you buy one off the list, Boulevard is $35 and waived with purchase(hmm nor sure about the waiving, i don’t like parades jk). Napa had the lowest with Tra Vigne saying no corkage. When I asked about a limit she says” as much as you can drink!” I love that place. Though Bouch charges $20 per, 2 max(not suprisingly I called French Laundry and couldn’t get anyone on the phone(i’ll send Paul Roberts a message on facebook). Last one was Charlie Trotter Chicago with $50 for 750ml(she specified gees) with 2 max and vintage cannot be on current winelist. I think there is enough here to work with . No one seems to make this particularly easy(am I really going to research what a list has and go buy my wine? Hardcore value guest though a steep corkage would really scare them away anyways…)I guess they’ll have to seek out the lone no charge bring whatever place. Good Luck!

@ BYOW you are correct about actual hammer price of older vintages being strong. I suppose rather just just reading projections in catalogs I should follow up and read the actual hammer pricing( I don’t actually buy so that’s a LOT of extra reading as I’m in NO way involved any any auction scene, I just like to see whats out and available..I’ll start reading the results rather than the catalogs:sounds like a better system!). The collecors are typically my favorite guests as at that point we don’t have to talk basics we talk talk vintages and what we actually enjoy and what has opened our eyes..Many years ago I had the fortune of serving a young SMU student(21) whos father was a major collector in OK. After stories of the various wines( multiple older vintages and knew his vintages well back to 1900(his descriptions of the various 59’s he had tasted in a verticle were particularly stupifying). The one thing I certainely understand is that this is an endless journey, but one I LOVE to share with outher people, I’ve been VERY fortunate to know the people I know and taste the wines I’ve tasted and never forget that.Now to see about the legislature…

To employee500
Calling tthose who take an active role in perserving their liveliehood greedy examplifies your lack of understanding of what is at stake. These restaurant owners have enabled me to work my way through college. If you don’t have anything to constructive to add to this discussion then stay out of it. Where are you employed? Employee500?

25,000-33,000 tabc tax monthly—25,000-35,000 sales tax monthly—23,000 payroll tax monthly—20,000 franchise tax yearly—85,000 property tax yearly—33% personal IRS taxes —and you call restauranteurs greedy?

I raised a question near the beginning of the thread. Never really got an answer. So I am going to revise and repeat it:

I’m someone who:

1. Eats out with my spouse a couple of times a month

2. Doesn’t go to upscale places but also doesn’t frequent national chains. Likes neighborhood joints. A $30 check is a big one. I’d consider $50 huge as in celebrating a birthday/anniv.

3. Usually doesn’t buy beverages (alcoholic or otherwise) when I eat out. So if I were to BYOB a sale won’t be lost.

4. would not ordinarily pay more than $15 for a bottle of wine at the store.

5. Thinks a corkage fee is about the silliest thing I have ever heard. That’s like charging for a napkin.

This bill sounds like good legislation to me even if it’s origins are kind of fishy.

Plese tell me why I’m wrong. Why should I not call my state rep next week and ask him to support it.

@SGTM, What about the owner of the BBQ joint who now misses the sale of a round of beverages to your table? And the manager, whose bonus is figured on profits (which disappeared when you brought your own wine to his restaurant).

Sounds good to me: you aren’t wrong, your just off target. You are not seeing the economic impact this bill could have on restaurants that rely on wine sales in order to operate. A corkage fee is anything but silly. Well, maybe in a BBQ joint it would be but in a restaurant that supplies glasses and servers it is an appropriate charge for service. The cost of the napkin has already been figured into the price you paid for your ribs.

I work in the wine industry and sell to restaurants. This bill could affect not only jobs in the restaurant business but also jobs in the wine distributing business. If it passes most likely retailers will have fewer options than they currently have so restaurants will have more exclusives. Most wineries have a restaurant/retail mix that they aim for. That might change a little and no one will be able to buy the better wines except at restaurants.Also it is unbelievable that people will complain about a 2.5 to three time markup on wine, when a glass of tea cost 3 cents a soda 5, domestic beer cost 68cents. What is the markup of the shoes you are wearing and the watch on your wrist. If you look at it reasonably outrageous markups of 300% is low compared to the markups of almost everything we buy.

@sgtm Restaurant owners will have to make up lost revenue from lost alcohol sales. Your $6.99 bbq plate will now cost a few bucks more for you and everyone else who don’t buy beverages while the people who do drink recieve all the benefit.

If you don’t believe me read the statistics the big-chain PR reps and lobbyists have cooked up.
http://tinyurl.com/c9ne8t

@tim…maybe restaurants will make up for lost revenue by attracting more diners to their restaurants with creative marketing based on BYOW.

Finally. So, right now, if you 1) do not have an alcohol permit or 2) have a wine beer permit, you can choose to offer BYO, or not.

But if you have a Mixed Beverage permit, you cannot choose to offer BYO. You can’t.

Dewhurst bill will allow Mixed Beverage permit holders to choose to allow BYO, or not.

Dewhurst bill opponents think that many Mixed Beverage holders, particularly large chains, will decide to offer BYO, and this will effectively force all Mixed Beverage holders to offer BYO to compete.

It looks like the real question is whether you think the Dewhurst bill oppnents are correct about that competition assumption. Frankly, if a chain offers BYO, and say, Al’s and Sevy’s don’t, I’m not going to pick a chain over Al’s or Sevy’s, because the food isn’t the same. If I want Sevy’s food I have to go to Sevy’s.

So I don’t understand the fear that your customers will desert you in order to go somewhere else and bring their own hooch.

I have a little place that I eat at from time to time.

They sell wine by the glass but does not seem like they sell much. If 20 folks are in there from what I recall 3 or 4 with a glass.

So I could ask them if they would let me byow.

How often to you really see anyone taking their own wine into a restaurant for dinner. Not all that often. Otherwise the wine shops would all be very behind this bill because they would be seeing a huge increase in wine sales to people heading off for dinner. Most people just don’t do that including me. If I want wine with dinner I will most times order off the wine list. In 60 years, I have only taken with with me once. Me thinks there is much ado about not much going on here.

Do any of you restaurant haters realize that besides the US government, RESTAURANTS employ the highest number of workers in the United States economy? I don’t know what you all do for a living, but if we restauranteurs, servers, chefs, cooks, dishwashers, busboys, hosts and owners do not have a job WE WON’T BE SPENDING MONEY IN YOUR BUSINESSES EITHER and not by choice, but because we are unemployed. Think about that for a while because if we go out of business you can drink your yellow taxi at TACO BELL. Speak about things you know about and, like mamma used to say, if you don’t have anything nice to say, don’t say anything at all.

Dear G. Bertram, As Cellarmaster explained above, when other restaurants in other states allow corkage, they make it expensive and you must follow their rules. The high end restaurants do so because wine sales are a big part of making a profit. My restaurant breaks even if it doesn’t generate large volume. Wine sales amount to 30% of the total sales. When a steakhouse has a 41% food cost and a 40% overall beverage cost,which includes the wine sales it might bring 12%-114% to the net operating profit. Some restaurants only have a 32% food cost. The best quality and generous portions cost a lot to put on the plate. Everything helps to make it a business and not a hobby.If a restaurant eliminates linen, or Empire bread on the table, or crystal stemware ,to name a few,they still can make money. If you take away something , you must compensate somewhere else.

@al biernat – “Dear G. Bertram, As Cellarmaster explained above, when other restaurants in other states allow corkage, they make it expensive and you must follow their rules.”

Yes and if the bill were to pass you could do the same. Ultimately the AMOUNT of customers who would BYOB is SMALL especially if corkage charges are involved. We don’t BYOB all the time even when we go to restaurants that allow it. Another part of this admittedly higher-end scenario is that even when we BYOB we will also buy a bottle off of a reasonably priced wine list.
Finally,the repeat business you could gain from these scenarios might just offset concerns about your profits.

Al,

First of all, you are an amazing restaurateur with an incredible restaurant and deserve to be successful(profitable). Like Just Another Customer said and what my specific point is – other restaurants in other states who have the same rules (actually this bill caps the number of bottles a guest may bring at a total of 2)which say that you as the owner can choose if you want to allow or not, choose to charge or not charge a corkage fee, set the fee at whatever amount you would like…restaurants in other states that have been doing this for years and have businesses that are thriving. Most would tell you that they very rarely get anyone asking to bring in wine. (I worked at a very high-end steakhouse in Florida for two years and only had 2 parties ever bring in their own wine and other servers did not have many either). I think this is scary on the surface to all the steakhouses in Texas, but as in other states, it would turn out to be something that is not really an issue