COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



L.R. No.: 3455-01

Bill No.: SB 817

Subject: Dram shop liability.

Type: Original

Date: December 27, 2001




FISCAL SUMMARY



ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED FY 2003 FY 2004 FY 2005
None
Total Estimated

Net Effect on All

State Funds

$0 $0 $0



ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 2003 FY 2004 FY 2005
None
Total Estimated

Net Effect on All

Federal Funds

$0 $0 $0



ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 2003 FY 2004 FY 2005
Local Government $0 $0 $0

Numbers within parentheses: ( ) indicate costs or losses.

This fiscal note contains 3 pages.

FISCAL ANALYSIS



ASSUMPTION



Officials from the Office of the State Courts Administrator and the Department of Public Safety - Division of Liquor Control each assume this proposal would not fiscally impact their respective agencies.



In response to similar legislation, officials from the Office of the Attorney General assumed this proposal would not fiscally impact their agency.



FISCAL IMPACT - State Government FY 2003

(10 Mo.)

FY 2004 FY 2005
$0 $0 $0



FISCAL IMPACT - Local Government FY 2003

(10 Mo.)

FY 2004 FY 2005
$0 $0 $0



FISCAL IMPACT - Small Business



Small businesses that sell intoxicating beverages by the drink would, seemingly, be asserted a level of protection from liability with this proposal.



DESCRIPTION



This proposal addresses "dram shop" liability. The proposal finds that the consumption of intoxicating beverages, rather than the sale or serving of such beverages, is the proximate cause of any injury inflicted by an intoxicated person. A cause of action may be brought against a person licensed to sell intoxicating liquor by the drink for consumption on the premises if the sale of the intoxicating liquor was to a person under 21 or who is obviously intoxicated is the proximate cause of the injury or death. The sale to a person under 21 or an obviously intoxicated person must have been done knowingly and proven beyond a reasonable doubt. The term "obviously intoxicated" is defined for purposes of the section.



DESCRIPTION (continued)



This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space.





SOURCES OF INFORMATION



Office of the Attorney General

Office of the State Courts Administrator

Department of Public Safety

Division of Liquor Control











Jeanne Jarrett, CPA

Director

December 27, 2001