Community Supported Brewery

So this morning I went to the NH Liquor Commissioner's office.  I spoke with a few representatives and had a wonderfully disappointing conversation.  
We're trying to supply free beer to a local event and our application was denied.  Not a big deal, I understand we have to work within regulation.  However, the conversation moved toward a more general realm of the role of the NH Liquor Commission.
As I described briefly our Community Supported Brewery and how the money purchasing our local beer, stays local I was cut off with "that's bad for us".  My inquisitive look elicited an explanation of "we want you to produce a lot of beer and ship it out of state, that's where we make money".   This sentiment was reinforced by the Anheuser Busch owned New Hampshire Distributors building glaring at me the next driveway down as I drove off.  
One of our goals of engaging and involving our Dover community was to host homebrew contests to determine new brews and reward the winners with shared revenue of sales.  I was informed by the liquor commission this morning that that is illegal and if we want to do that we'll have to go to Vermont.  However enticing the offer, we love NH, we love Dover.  Live Free or Die!?
As I was explained the regulations and the obvious difficulty in starting a small local brewery I was told we as brewers are all looked at as 'drug dealers'. Yeah, that was stated.  So, I thought to myself... Ok, we sell a product that is potentially harmful, we could even put it on the same danger zone as the wickedly illegal marijuana.  I understand regulation, I understand licensing, and I'm an avid socially responsible citizen.  I don't want kids drinking our beer, I don't want people drinking and driving. But, I don't think that is the real issue here.  I think it's money.  One government department's siloed viewpoint of what is financially sustainable for them.  
When I mentioned how we'll lose farmers too (in hopes to enlighten to the scope of the system) the representative chuckled to himself and walked away.
So, anyone have some perspective on this?
Thanks,
Dave