HB 1240 - This act amends Section 311.554, RSMo, by increasing the charge for the privilege of selling of wine from six cents to eight cents per gallon, and by removing the former sunset provision for this charge. In addition, this act includes five new sections that serve to:

1. Impose a new charge of $3 for each ton of grapes or 160 gallons of grape juice processed by commercial producers of wine with administrative oversight vested in the Department of Agriculture;

2. Create the Missouri Wine Marketing and Research Development Fund to receive the moneys generated by the new $3 charge; and

3. Create the Missouri Wine Marketing and Research Council comprised of five members elected by commercial producers who will administer the fund for purposes of enology research and marketing.

Should this proposal be adopted, two layers of fees and administration would exist within the Missouri wine industry. The eight cent charge would be deposited in Agriculture's Market Development Fund and earmarked for development of viticultural markets and research. These funds are administered by the Wine and Grape Advisory Board. The $3 commercial producer fee would be credited to the new Missouri Wine Marketing and Research Development Fund to be administered by the newly created Council. Both of these charges would be in addition to the applicable fees for licensure.
TOM MORTON