This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0672 - Restricts liquor wholesale prices and deliveries
SB 672 - Fiscal Note

COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION

FISCAL NOTE

L.R. NO. 3010-05

BILL NO. SCS for SBs 672 and 774

SUBJECT: Liquor

TYPE: Original

DATE: March 13, 1998


FISCAL SUMMARY

ESTIMATED NET EFFECT ON STATE FUNDS

FUND AFFECTED FY 1999 FY 2000 FY 2001
General Revenue $7,334 $4,000 $4,000
Total Estimated

Net Effect on All

State Funds

$7,334 $4,000 $4,000



ESTIMATED NET EFFECT ON FEDERAL FUNDS

FUND AFFECTED FY 1999 FY 2000 FY 2001
None
Total Estimated

Net Effect on All

Federal Funds

$0 $0 $0



ESTIMATED NET EFFECT ON LOCAL FUNDS

FUND AFFECTED FY 1999 FY 2000 FY 2001
Local Government $5,833 $7,000 $7,000

Numbers within parentheses: ( ) indicate costs or losses

This fiscal note contains 4 pages.

FISCAL ANALYSIS

ASSUMPTION

Officials of the Department of Public Safety, Missouri State Highway Patrol assume this proposal would not fiscally impact their agency.

Officials of the Department of Public Safety, Division of Liquor Control (DLS) assume that this proposal would result in an additional 20 Sunday Bar Amusement licenses being issued at $200 per license. Because licenses are paid for in advance, total collections would be $7,333 in FY99 ($3,333 for FY99 licenses plus $4,000 for FY00 licenses), and $4,000 in FY00 and FY01.

DLS further assumes that this proposal would result in additional revenues for counties and cities, as statutes allow cities to charge one and one-half times the amount the state charges for liquor licenses, and allow counties to charge the same amount per license. DLS estimates that half of the 20 new Sunday Bar Amusement licenses would be located in cities, resulting in revenue of $3,000 (10 licenses x $300 per license) annually. In addition, counties would receive revenues of $4,000 (20 licenses x $200 per license) annually.

The Attorney General's Office (AGO) did not respond to our fiscal impact request. However, in a response to a similar proposal, the AGO assumed no fiscal impact.



FISCAL IMPACT - State Government FY 1999 FY 2000 FY 2001
(10 Mo.)
GENERAL REVENUE
Revenue
Liquor license fees $7,334 $4,000 $4,000

ESTIMATED NET EFFECT ON

GENERAL REVENUE FUND $7,334 $4,000 $4,000
FISCAL IMPACT - Local Government FY 1999 FY 2000 FY 2001
(10 Mo.)
LOCAL FUNDS
Income to Counties
Liquor license fees $3,333 $4,000 $4,000
Income to Cities
Liquor license fees $2,500 $3,000 $3,000

ESTIMATED NET EFFECT

ON LOCAL FUNDS $5,833 $7,000 $7,000



FISCAL IMPACT - Small Business

This proposal would affect small businesses as it would require wholesalers to follow additional regulations regarding the selling of intoxicating liquor to retailers. In addition, small business who choose to purchase the type of license described in this proposal would be fiscally impacted, as they may generate additional income due to Sunday liquor sales.



DESCRIPTION

This proposal revises the times and places at which liquor can be sold on Sundays and revises three other sections of Chapter 311, RSMo. Sunday liquor sales would be permitted to begin at 9 am instead of 11 am for "amusement places" of 5,000 square feet or more, including qualifying golf driving ranges and horse arenas, and in restaurant bars or "places of entertainment" within St. Louis County, the City of St. Louis, and Jackson County.

The proposal amends Section 311.328, RSMo, to require a driver's license of any state or U.S. territory to be presented to a liquor control agent upon request. Current law only requires licenses of contiguous states to be presented. Additionally, Sections 311.093 and 311.260 are repealed, which, respectively, allow Sunday liquor sales at a specified St. Louis ballroom and limits licensees to three liquor licenses.

The proposal also requires liquor wholesalers to sell intoxicating liquor to retailers at the scheduled invoice price. It prohibits wholesalers from taking orders unless delivery can be made in the month the order was taken, excluding certain exceptions as described in the proposal. This DESCRIPTION (continued)

legislation contains a penalty provision.

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

Division of Liquor Control

Missouri State Highway Patrol

NOT RESPONDING: Attorney General's Office







Jeanne Jarrett, CPA

Director

March 13, 1998