Across the entire tri-state region, 2026 is shaping up as a pivotal year for where customers can buy alcohol. New Jersey, New York, and Pennsylvania are each moving, through new laws, pending bills, or first-of-their-kind auctions, to widen alcohol sales beyond the traditional independent retailer. For AARA’s members, the common thread is unmistakable: large grocery and convenience chains are steadily gaining ground on a market long reserved for small, licensed store owners. Here is where each state stands right now.

New Jersey: two expansion bills, one hard deadline

New Jersey has two live 2026 bills that would open new channels. S1254, the Garden State Grocery Liquor Licensing Act (introduced January 13, 2026), would let supermarkets and retail food stores sell New Jersey-made alcohol to-go. A4666, advanced out of an Assembly committee on May 14, 2026, would create a special movie-theater license, exempt from the population cap, at a steep $210,000 fee. Both remain in the legislative pipeline.

Meanwhile, every NJ retailer selling hemp-derived drinks faces a firm date: under the intoxicating-hemp law signed January 12, 2026, the sale of intoxicating hemp beverages becomes illegal at gas stations, convenience stores, and liquor stores on November 13, 2026. Penalties escalate from $100 to $10,000 per offense. If you stock these products, plan your sell-through now.

New York: a win for independents, and a renewed grocery threat

New York delivered independent stores a rare win this year. Under Chapter 613 of the Laws of 2025 (signed December 5, 2025; effective March 5, 2026), bars and restaurants may now buy up to six bottles per week of wine or liquor directly from local liquor and wine stores to cover inventory gaps, sending new business to off-premises retailers. As SLA Chair Lily M. Fan put it, “this commonsense fix allows on-premises establishments to buy 6 bottles per week from a local liquor store and continue service.” Both sides must keep records for inspection.

But the far larger fight is back on the table. New bills would finally let grocery stores sell wine, and even liquor. S1279A would license full-service supermarkets (over 4,000 square feet, with at least 65% food sales) to sell wine, while S7398 (Sen. George Borrello) would allow grocery sales of New York-produced wine only. A supermarket coalition, “New York State of Wine”. Wegmans, ShopRite, Whole Foods, Stop & Shop, Price Chopper, and Tops, is pushing hard against independent wine and liquor stores. New York remains one of only about ten states that still bar grocery wine sales.

Pennsylvania: big chains win licenses, and prices tick up

Pennsylvania produced two of the year’s most concrete developments. In the Commonwealth’s first-ever excess liquor-license auction (reported June 2026), ten licenses were sold with cross-county transfers, at winning bids from $105,000 up to $557,777. Among the winners: The Giant Company, Wawa, Sheetz, and Rutter’s (CHR Corp), the very grocery and convenience giants competing with independent retailers.

On costs, the PLCB’s new $1-per-case bailment fee took effect January 1, 2026. Industry groups estimate it will cost producers $15-17 million a year and push up wine and spirits prices at state stores, supermarkets, restaurants, and bars alike. This layers on top of Pennsylvania’s 2024 law (Act 86 / SB 688) that already allowed ready-to-drink canned cocktails (12.5% ABV or less) in grocery stores, convenience stores, and gas stations.

What it means for AARA members

  • The grocery/convenience push is region-wide. NJ’s S1254, NY’s S1279A/S7398, and PA’s chain-won auction licenses all point the same direction, more competition for independent stores.
  • Not all news is bad. NY’s retail-to-retail law actually sends new wholesale-style business to off-premises stores. Look for the openings, not just the threats.
  • Mind the deadlines. NJ’s Nov. 13 hemp-beverage ban and PA’s Jan. 1 bailment fee have real dollar impacts now.
  • This is the moment to be heard. The grocery-wine bills in NJ and NY are still in committee, the stage where retailer testimony carries the most weight.

Bottom line: 2026 is the year the tri-state’s decades-old lines around alcohol retailing are being redrawn. Independent owners who track these bills, and weigh in before they reach the floor, will be far better positioned than those caught off guard.

Resources

Sources

  • New York State Liquor Authority, “SLA Highlights New Law Allowing Bars and Restaurants To Buy From Local Liquor and Wine Stores” (Chapter 613 of 2025): sla.ny.gov
  • Whiteman Osterman & Hanna LLP, “New Bills Aim to Allow the Sale of Both Wine and Liquor in New York Grocery Stores” (S1279A, S7398): woh.com
  • Norris McLaughlin (Legal Liquor), “2026 Pennsylvania Liquor License Update” (excess license auction, June 22, 2026): norrismclaughlin.com
  • Distilled Spirits Council, “Prices to Rise on Wine and Spirits Following PLCB Vote Approving New Alcohol Fee” (bailment fee, eff. Jan 1, 2026): distilledspirits.org
  • New Jersey State Policy Lab (Rutgers), “New Jersey State Policy Updates,” May 18, 2026 (A4666): policylab.rutgers.edu
  • New Jersey Senate Democrats, “Bill Removing Intoxicating Hemp Products From Shelves Now Law” (Nov 13, 2026 beverage ban): njsendems.org