COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.: 4193-01
Bill No.: SB 1002
Subject: Administrative Law; Alcohol; Licenses - Liquor and Beer.
Type: Original
Date: January 30, 2002
FISCAL SUMMARY
| FUND AFFECTED | FY 2003 | FY 2004 | FY 2005 |
| General Revenue | $42,000 | $50,000 | $50,000 |
| Total Estimated
Net Effect on All State Funds |
$42,000 | $50,000 | $50,000 |
| FUND AFFECTED | FY 2003 | FY 2004 | FY 2005 |
| None | |||
| Total Estimated
Net Effect on All Federal Funds |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2003 | FY 2004 | FY 2005 |
| Local Government | $0 | $0 | $0 |
Numbers within parentheses: ( ) indicate costs or losses.
This fiscal note contains 4 pages.
ASSUMPTION
Officials from the Department of Public Safety - Liquor Control (DLS) assume this proposal would not generate any revenue for the state. DLS states however, that the civil penalties imposed pursuant to Section 311.680 are to be distributed pursuant to the provisions of Section 7 of Article IX of the Missouri Constitution (School Districts). DLS estimates it will impose $50,000 annually in civil penalties against licensees. DLS estimates this will result in $42,000 (10/12 months x $50,000) in civil penalties in FY 2003.
DLS assumes the cost of implementing this proposal could be absorbed with existing resources.
Oversight assumes the fiscal impact to the local school districts would net to $0, with the increased collection of fines generated by the Supervisor of Liquor Control and the resulting reduction of the school foundation formula distribution from the state.
Officials from the Office of Secretary of State and the Office of Administration - Administrative Hearing Commission assume this proposal would not fiscally impact their respective agencies.
| FISCAL IMPACT - State Government | FY 2003
(10 Mo.) |
FY 2004 | FY 2005 |
| GENERAL REVENUE | |||
| Savings - Reduced Foundation Formula Distributions |
$42,000 |
$50,000 |
$50,000 |
| ESTIMATED NET EFFECT TO THE GENERAL REVENUE FUND |
$42,000 |
$50,000 |
$50,000 |
| FISCAL IMPACT - Local Government | FY 2003
(10 Mo.) |
FY 2004 | FY 2005 |
| LOCAL SCHOOL DISTRICTS | |||
| Income - Civil Penalties | $42,000 | $50,000 | $50,000 |
| Loss - Reduced Foundation Formula Distributions |
($42,000) |
($50,000) |
($50,000) |
| ESTIMATED NET EFFECT TO LOCAL SCHOOL DISTRICTS |
$0 |
$0 |
$0 |
FISCAL IMPACT - Small Business
The proposal could impact solicitors, retailers, and wholesalers of alcoholic beverages.
DESCRIPTION
This proposal allows a wholesaler to give a retailer credit for intoxicating liquor with an alcohol content of less than 5% or 3.2% beer in a container with a capacity of four gallons or more that was delivered
but not used, if the wholesaler removes the product within seven days of the initial delivery.
This proposal also creates new penalties for licensees that are found by the Supervisor of Liquor Control to have violated liquor control laws. In lieu of suspension or revocation of a license, the Supervisor may assess certain amounts of fines to any licensed solicitor or retailer. Licensees may appeal the issuance of the fine to the Administrative Hearing Commission.
In order to encourage settlement, licensees are afforded the opportunity to meet with the Supervisor of Liquor Control before any disciplinary action is taken. The Supervisor of Liquor Control must provide the licensee with the time and place of the meeting and certain written information about licensee's conduct at issue.
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
Department of Public Safety, Liquor Control
Office of the Secretary of State
Office of Administration - Administrative Hearing Commission
Mickey Wilson, CPA
Acting Director
January 30, 2002