Costly Bills

Most Northeast state associations are looking for support from federal legislators in the areas of estate taxes, ATM fees, gray-market commodities and the minimum wage. But a quick look around the region brings up a few other common concerns on the state and local fronts. Among the issues surfacing are:

Tobacco sales. Locally and at the state level, the sale of cigarettes is a hot button in the Northeast. "Stings are a big issue," said Lyanne Lawson, manager of government relations for the New England Association of Convenience Stores, based in Norwood, Mass.

In New Jersey, c-store operators would like to see legislation passed that would soften the state's Fair Cigarette Sales Act. "Because of an increase in state tax a couple years ago, the minimum state pricing causes margins on cigarettes to be very small," said James Morford, president of the New Jersey Food Council based in Trenton. "It is very difficult to run traditional manufacturer promotions within the allowed margins."

Beer sales. In some states in the Northeast, it is difficult for a gasoline retailer to obtain a license to sell beer and wine, Lawson noted. "In Rhode Island, we're trying to be able to sell beer, period. In Massachusetts, even a large chain of a few hundred stores is granted just three liquor licenses."

Many states have stepped up their beer sting operations, too.

Tax "evasion." The New York Association of Convenience Stores has spotlighted the issue of tax "evasion" by Native American operators. "This is a huge issue, especially in western and central New York," said Jim Calvin, executive director of NYACS, based in Delmar, N.Y. Recent legislation raising New York's cigarette tax to $1.11 a pack only exacerbates the problem for c-store retailers.

In a few instances, New York will grant Native American tribes money or land to compensate them for land that was acquired by the state in the 1800s. "If the Native Americans get more land, that will mean more locations to open c-stores and more locations that are not collection and remitting sales and excise taxes on cigarettes and motor fuels," Calvin said.

Lottery commissions. Massachusetts, Rhode Island, Connecticut and other states are looking for an increase in the state lottery commissions. "In Massachusetts and Rhode Island, there hasn't been an increase since the lottery was instituted more than 20 years ago," Lawson noted. "But the number of tickets sold has skyrocketed."