A new independent analysis by Tripp Umbach, a Kansas City-based firm, provides a localized, data-driven assessment of proposed restrictions on small format and single serve alcohol sales in designated “alcohol impact areas.”

The report, Balancing Safety & Community Health in Kansas City, evaluates the potential economic, community, and public health implications of the ordinance. Its findings point to a central consideration for policymakers: product-based restrictions may carry significant tradeoffs while remaining disconnected from the behaviors they are intended to address.

Local media coverage has reinforced these findings, highlighting both the scale of the projected economic impact and the potential ripple effects across communities.

Key Findings

• Economic impact: The analysis estimates up to $130 million in reduced economic activity, with effects across retailers, distributors, and related sectors.
• Employment and Business Stability: More than 1,000 jobs could be affected, alongside potential closures of small and independent retailers.
• Concentrated Impact on Neighborhood Businesses: The effects are expected to fall most heavily on smaller, locally operated stores that rely on small format product sales.
• Implications for Under-Served Communities: Many of the impacted retailers operate in areas identified as food deserts, where they serve as important access points for groceries and everyday essentials. Changes to store viability in these areas may have broader community implications beyond alcohol sales.
• Policy Alignment Considerations: The analysis indicates that restricting product size or format does not directly target the behaviors associated with public safety concerns, raising questions about the likelihood of achieving intended outcomes.

Considerations for Policymakers

The findings underscore a broader policy question. Measures that focus on specific legal products, rather than underlying behaviors, risk creating economic disruption without a clear pathway to improved public safety outcomes.

As deliberations continue, this Kansas City-based analysis provides a grounded perspective on the potential consequences of product-specific restrictions and the importance of aligning policy tools with policy goals.

Ongoing Engagement

ADSA and a coalition of local stakeholders remain engaged in ongoing discussions with Kansas City officials. The shared objective is clear: to ensure that approaches to community safety are both effective and responsive to the full range of economic and community considerations.

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For more than four decades, the Dietary Guidelines have provided balanced, evidence-based recommendations intended to inform consumers and guide federal food and beverage policy. The updated Guidelines appropriately reflect the preponderance of scientific evidence and are consistent with prior editions, reinforcing moderation while recognizing that alcohol is not appropriate for everyone.

ADSA supports a science-driven approach to public policy that is transparent, rigorous, and grounded in consensus research. As Congress directed, the National Academies of Sciences, Engineering, and Medicine conducted a comprehensive review of the scientific literature on alcohol and health, and its findings were an important input to this process. Respecting that work helps ensure the Dietary Guidelines remain credible, durable, and useful to policymakers and consumers alike.

Recent congressional oversight has underscored the importance of safeguarding the integrity of federal review processes. Maintaining clear boundaries between scientific evaluation and advocacy is essential to preserving public confidence in government decision-making and in the expert committees charged with informing it.

The distilled spirits industry is committed to responsibility, compliance, and consumer choice within a well-regulated marketplace. Clear, evidence-based federal guidance plays an important role in promoting informed decision-making while avoiding confusion, unintended consequences, or policy outcomes that are disconnected from the underlying science.

ADSA looks forward to continuing to work with the Administration, Congress, and allied stakeholders to support balanced policies that reflect both sound science and the realities of a diverse, regulated food and beverage marketplace.

About the American Distilled Spirits Alliance
The American Distilled Spirits Alliance (ADSA) is a national trade association representing leading producers, marketers, and importers of distilled spirits operating in the United States. Representing over 60% of the domestic market, ADSA serves as a collective voice for industry leaders. Our members are committed to a transparent, dynamic, and well-regulated marketplace that empowers consumers with a diverse selection of distilled spirits.

Guided by its mission, ADSA advocates for science-based, predictable public policy across tax, trade, public health, and regulatory frameworks. The Alliance works to champion consumer choice and responsible consumption while supporting regulatory and taxation environments that are clear, consistent, and grounded in evidence. ADSA engages constructively with policymakers, regulators, and allied stakeholders to ensure that public policy reflects both sound science and practical implementation.

ADSA is a member-driven organization that prioritizes thoughtful governance, collaboration, and long-term industry sustainability. Through policy advocacy, coalition engagement, and strategic leadership, ADSA works to strengthen the distilled spirits sector’s ability to compete, innovate, and contribute to a stable and credible food and beverage marketplace in the United States.

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WASHINGTON, D.C. — December 15, 2025 — The American Distilled Spirits Alliance (ADSA) today released its 2025 Year-End Review and 2026 Outlook, outlining how the Alliance protected market access, regulatory certainty, and commercial stability for the U.S. distilled spirits industry during a year of intensified policy risk.

In 2025, producers and supply-chain partners faced evolving trade policies, rising state and local tax pressure, important public-health conversations, and increasing regulatory complexity. ADSA responded by convening industry leadership, engaging policymakers with disciplined, evidence-based advocacy, and delivering timely intelligence to support business planning and risk management.

“In an environment shaped by ongoing policy change, clarity matters,” said Amanda Nguyen, President and CEO of the American Distilled Spirits Alliance. “ADSA’s role in 2025 was to reinforce regulatory certainty, protect market access, and align the industry around disciplined, science-based advocacy so leaders can plan and invest with confidence.”

Protecting Science-Based Policy and Regulatory Certainty
ADSA participated in federal and international health-policy discussions to reinforce science-based perspectives and highlight the importance of balanced, proportionate approaches to alcohol regulation.

Domestically, ADSA maintained a trusted working relationship with the Alcohol and Tobacco Tax and Trade Bureau (TTB), providing early insight into labeling standards, permitting timelines, and enforcement trends that directly affect compliance costs and time-to-market. ADSA supported congressional action to close the federal hemp loophole, reinforcing a level playing field by ensuring intoxicating products are subject to consistent tax and regulatory standards.

Trade Leadership and Global Engagement
Trade remained a defining topic in 2025. ADSA positioned the spirits industry as a global trade success story, emphasizing the importance of trade and protections for uniquely American geographical indications, including Bourbon and Tennessee Whiskey.

ADSA delivered the only oral testimony from the beverage alcohol sector at the U.S. Trade Representative’s USMCA hearing and provided ongoing analysis as members navigated evolving tariff threats and retaliatory measures. Internationally, ADSA strengthened engagement through the World Spirits Alliance and the International Alliance for Responsible Drinking Partnership Council.

Defending Against Harmful Tax Increases
At the federal level, ADSA helped secure the permanent extension of the rum cover-over for Puerto Rico and the U.S. Virgin Islands, delivering long-term certainty for producers and supply-chain partners.

At the state and local levels, ADSA tracked hundreds of alcohol-related bills and played a central role in opposing proposed excise, per-drink, and local alcohol tax increases. In multiple jurisdictions, ADSA’s engagement helped prevent or mitigate measures that would have raised costs for businesses and consumers.

Positioning the Industry for 2026
Looking ahead, ADSA’s report notes forthcoming federal election dynamics, consumer conversations on trends and health, trade, emerging intoxicant categories, and state and local fiscal needs. ADSA will continue to convene industry leaders and partners to address these issues collectively and protect the competitiveness of the American distilled spirits industry.

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ADSA was the only beverage alcohol organization offering oral testimony on a panel otherwise composed of agriculture-focused witnesses. ADSA underscored that U.S. distillers rely on agricultural commodities sourced across North America, and the USMCA’s framework directly supports farmers, agricultural suppliers, and rural communities.

In both testimony and written comments, ADSA emphasized that USMCA delivers stable and mutually beneficial trade for the United States, Mexico, and Canada. The Agreement protects non-discriminatory market access, strengthens North American supply chains, and maintains distinctive product designations, including American Single Malt Whiskey, American Rye Whiskey, Bourbon, Tennessee Whiskey, Tequila, Mezcal, and Canadian Whisky. These protections ensure authenticity for consumers and uphold long-standing regulatory cooperation among the three countries.

ADSA also highlighted the economic value of trade with Mexico and Canada. Spirits that are distinct to the U.S. and traded within North America support 245,900 U.S. jobs and contribute billions in revenue to bars, restaurants, and retailers, while generating significant tax revenue for federal, state, and local governments.

The Alliance reinforced the importance of maintaining clear, enforceable origin rules to prevent circumvention by non-originating products and to ensure that the benefits of the Agreement remain focused on producers and workers throughout the United States, Mexico, and Canada.

“Distilled spirits are an essential part of American agriculture and manufacturing. USMCA supports stable, mutually beneficial trade that strengthens supply chains and protects iconic North American products,” said Amanda Nguyen, ADSA President and CEO.

ADSA will continue working with USTR, agricultural partners, and North American regulators to uphold a reliable trade environment that benefits consumers, farmers, and producers across the region.

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At ADSA, we are dedicated to supporting policies that promote responsible consumption, trade, and a regulatory environment that fosters industry growth. With our members representing a significant share of the U.S. spirits sector, we look forward to working alongside WSA to address global challenges, advocate for open markets, and ensure consumers worldwide have access to a diverse selection of high-quality spirits.

ADSA President/CEO Amanda Nguyen stated, “Expanding our global reach is a key part of our strategic plan, and this partnership strengthens our ability to coordinate with industry leaders worldwide. Effective collaboration requires alignment across markets. By engaging with our global counterparts, we can share insights, navigate common challenges, and drive meaningful progress for the spirits sector.”

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Amanda joins ADSA after seven years at the Fragrance Creators Association, where Amanda served as its Vice President, Government Affairs and Legal. Amanda previously worked for the Tennessee Attorney General’s Office. Amanda holds a JD from Vanderbilt University Law School and a BA in Political Science from Wichita State University.

Commenting on Amanda’s appointment, David Bratcher, current ADSA Chairman, said “we are thrilled to have Amanda join and lead ADSA through the next phase of its development into a leading beverage alcohol trade association. Amanda brings a wealth of experience in critical and relevant policy areas of health, regulation, and taxation, all of which will play an essential role in the future shape of the beverage alcohol industry.”

“I am honored and excited to join the American Distilled Spirits Alliance as President / CEO. This organization shapes the distilled spirits landscape, and I am committed to fostering innovation, collaboration, and sustainable growth within the industry. Cheers to a new chapter of partnership and prosperity,” commented Amanda.

ADSA would like to thank Matt Dogali for his contributions to ADSA over the past six years, which has seen unprecedented growth in ADSA’s membership and recognition. We wish Matt the very best for future success as he transitions to his new business venture.

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