HB 1737-FN-A – AS INTRODUCED
2006 SESSION
09/04
HOUSE BILL 1737-FN-A
AN ACT establishing a beverage fee to be paid by beverage manufacturers and distributors.
SPONSORS: Rep. R. Cooney, Rock 4; Rep. Spang, Straf 7; Rep. Chaplin, Straf 3; Rep. M. Allen, Rock 11; Rep. Ingram, Rock 4; Sen. Green, Dist 6; Sen. Johnson, Dist 2; Sen. Larsen, Dist 15; Sen. Fuller Clark, Dist 24
COMMITTEE: Resources, Recreation and Development
This bill establishes a fee to be paid to the department of revenue administration by beverage manufacturers and distributors on beverages sold for resale in this state.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
06-2238
09/04
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Six
AN ACT establishing a beverage fee to be paid by beverage manufacturers and distributors.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 New Chapter; Beverage Fee. Amend RSA by inserting after chapter 83-F the following new chapter:
83-G:1 Definitions. In this chapter:
I. “Beverage” means all still and carbonated drinks; fruit juices and all beverages compounded therefrom; all bottled waters, whether for medicinal or table use; and all packaged liquids intended for use in the manner of drink. Milk and unmixed products thereof, and fruit juices and waters retailed exclusively by the producer or manufacturer direct, are not included as “beverages” under this chapter. The term “beverage” as used in this chapter shall not apply to a beverage as defined in RSA 175:1, VIII.
II. “Beverage manufacturer” means an individual, partnership, limited liability company, or corporation, including any subsidiaries thereof, which sells beverages manufactured in the United States to wholesale distributors, or sells directly to consumers in this state, and who is licensed pursuant to RSA 143:10-RSA 143:12.
III. “Commissioner” means the commissioner of the department of revenue administration.
IV. “Department” means the department of revenue administration.
V. "Wholesaler'' and “wholesale distributor” means any person doing business in this state who shall purchase all of his or her beverages directly from a licensed beverage manufacturer, and who shall sell all of his or her products to licensed wholesalers, sub-jobbers, vending machine operators, and retailers.
83-G:2 Beverage Fee; Payment.
I. The following fees on each beverage sold for resale in this state by beverage manufacturers or wholesale distributors shall be required to be paid by beverage manufacturers or wholesale distributors:
(a) $.02 for a container up to and including one gallon.
(b) $.05 for a container over one gallon.
II. All fees received during the preceding calendar month shall be paid to the department on or before the tenth day of the following month. For the purpose of computing the fee payable under this section, all sales at retail by a wholesale distributor licensee shall be deemed to be sales for resale. Any wholesale distributor shall collect, from licensees to whom the wholesaler makes sales of beverages, the fees required under this section. For failure to pay any part of the fees provided for under this section when due, 10 percent of such fees shall be added and collected by the commissioner from the wholesale distributor.
83-G:3 Distribution of Fees. The commissioner shall distribute the fees received as follows:
I. Thirty percent shall be forwarded to the state treasurer for deposit in the trust fund for the land and community heritage investment program established in RSA 227-M:7.
II. Ten percent shall be forwarded to the state treasurer for deposit in the dam maintenance fund established in RSA 482:55.
III. Ten percent shall be appropriated to the department of environmental services for the New Hampshire safe drinking water act, RSA 485, and for water resources and water supply protection programs.
IV. Ten percent shall be appropriated to the department of environmental services for maintenance of in-stream flows under the New Hampshire rivers management and protection program established under RSA 483:2.
V. The remainder shall be turned over to the state treasurer for deposit in the general fund as unrestricted revenue.
83-G:4 Rulemaking. The commissioner shall adopt rules, under RSA 541-A, relative to:
I. The form and method of the payment of fees required by this chapter.
II. The administration of the beverage fee.
III. The recovery of any fee or penalties imposed pursuant to RSA 21-J.
2 New Subparagraph; License Information. Amend RSA 143:11, I by inserting after subparagraph (d) the following new subparagraph:
(e) The names and information of licensees and provisional licensees under this section shall be provided to the department of revenue administration for the purpose of the administration of the beverage fee under RSA 83-G:2.
3 Effective Date. This act shall take effect July 1, 2006.
LBAO
06-2238
12/13/05
HB 1737-FN-A - FISCAL NOTE
AN ACT establishing a beverage fee to be paid by beverage manufacturers and distributors.
FISCAL IMPACT:
The Department of Revenue Administration indicates this bill will increase state restricted revenue, state unrestricted revenue and state expenditures by an indeterminable amount in FY 2007 and each year thereafter. This bill will have no fiscal impact on county and local revenue or expenditures.
METHODOLOGY:
The Department states this bill establishes a fee to be paid by beverage manufacturers and distributors on beverages sold for resale in the state. The Department indicates that while there are information sources that estimate the dollar value of wholesale beverage sales in New Hampshire, a breakdown does not exist for sales of containers less than a gallon versus containers of a gallon or more, which is the basis for the fee calculation in this bill. The Department also could not determine for both in-state or out-of-state wholesalers, total sales to New Hampshire customers that would require a fee. Without that data, the Department did not make assumptions to estimate revenue from the beverage fee.
The Department further states that this fee revenue would be collected by the Department and distributed 30% to the trust fund for the land and community heritage investment program, 10% to the dam maintenance fund, 10% for water resources and supply protection programs, 10% to the New Hampshire rivers management and protection program, and the remainder deposited in the general fund. The Department estimates it would incur increased administrative expenses to create appropriate fee collection transmittals, programming changes to the computer system and public education to implement the law.