Celebrating Repeal Day and the Power of Local Control
Just like every other alcohol policy enthusiast worth their wort, the Center for Alcohol Policy has December 5th circled on its calendar: Repeal Day.
Although the month of December has a few contenders for top-dog holidays, policy wonks agree that this unassuming date is certainly cause for consideration and celebration.
Festivities and federalism, if you will.
December 5th marks the ratification of the 21st Amendment in 1933, which ended Prohibition and restored America’s legal right to consume alcohol. But there is more to this milestone than just the clink of glasses. At its heart lies a fascinating exercise in federalism, courtesy of Section 2 of the 21st Amendment, which gave states the authority to regulate alcohol in ways that reflected the will of their citizens.
A Toast to History
The story begins, of course, with the 18th Amendment, ratified in 1919, which prohibited “the manufacture, sale, or transportation of intoxicating liquors.” While initially touted as a moral triumph, Prohibition quickly turned into a national headache. Organized crime thrived, illegal speakeasies flourished, and the public’s thirst for alcohol proved insatiable.
Fast forward to 1933, and Americans largely agreed this noble experiment of temperance must come to an end. Enter the 21st Amendment, which repealed Prohibition, making it the only constitutional amendment in U.S. history to nullify a previous one. The repeal was not only about (legally) popping bottles so much as it was about giving local jurisdictions more control over the regulation of alcohol in their states.
This is where Section 2 comes in, adding a layer of nuance to the victory.
The Fine Print of Section 2
While the first section of the 21st Amendment typically gets all the glory for ending Prohibition, Section 2 quietly lays the groundwork for a uniquely American regulatory approach:
“The transportation or importation into any State, Territory, or possession of the United States for delivery or use therein of intoxicating liquors, in violation of the laws thereof, is hereby prohibited.”
This was not just about cracking open a cold one—it was about empowering states to reflect their communities’ values. As the Supreme Court has noted, “The Twenty-first Amendment grants the States virtually complete control over whether to permit importation or sale of liquor and how to structure the liquor distribution system.” California Retail Liquor Dealers Assn. v. Midcal Aluminum, Inc., 445 U.S. 97 (1980)
Democracy in Action
Since 1933, states have taken Section 2 and run with it, resulting in a kaleidoscope of alcohol laws across the nation.
- Utah, the state whose decision to ratify the 21st Amendment made it official, employs a control model for their system of alcohol regulation.
- Louisiana, in contrast, utilizes a license model that also allows for drive-thru daiquiri shops in some parts of the state, while other jurisdictions have chosen to remain dry.
- Some counties in states like Texas and Kentucky remain dry, prohibiting alcohol sales entirely.
- Others have carved out nuanced exceptions. In Indiana, for instance, you cannot purchase cold beer at grocery stores, but a trip to the liquor store solves that problem.
While to some, these differences might seem chaotic, they are a testament to local democracy in action. Residents vote on what they want for their communities and the laws reflect that choice. Due to constitutional design, there are 50 different state markets for alcohol.
Why Repeal Day Still Matters
Repeal Day is not just a celebration of the return of legal consumption; it is a celebration of compromise. The 21st Amendment did not simply erase Prohibition and return to pre-18th Amendment norms (or ills!). Instead, it embraced a middle ground, acknowledging that one-size-fits-all policies rarely work in a country as diverse as the United States.
Moreover, Section 2 reminds us that federalism is more than a buzzword. It is a living, breathing principle that allows states to be laboratories of democracy. Whether you are sipping wine in Napa Valley, enjoying a bourbon in Kentucky, or savoring a craft beer in Burlington, your drink is a reflection of local values and regulations shaped by each states’ citizens.
Perhaps it is a direct result of this local authority that Americans are overwhelmingly content with their current regulatory structures in their states. Look no further than the Center’s 2023 National Alcohol Regulation Survey to shed further light on the issue:
- 84% of Americans are satisfied with the existing system of purchasing alcohol in their state
- Nearly 90% of respondents are pleased with the product mix available to them
- More than 8 in 10 Americans agree that alcohol is different from other products and as a result should be regulated differently
Remember, no other consumer good has two constitutional amendments about it – a solid indication that alcohol is not like tinfoil or toilet paper.
A Toast to Today
This December 5th, raise your glass to Repeal Day and celebrate not just the end of Prohibition but the ingenious compromise that gave states the freedom to chart their own course.
Cheers!