Revision: March 20, 2017, 8:27 a.m.
HB 140-FN - AS AMENDED BY THE HOUSE
HOUSE BILL 140-FN
AN ACT relative to sales and samples provided by wine manufacturers.
SPONSORS: Rep. Hunt, Ches. 11; Rep. D. Long, Merr. 4; Sen. Daniels, Dist 11
COMMITTEE: Commerce and Consumer Affairs
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
8Mar2017... 0272h 17-0107
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Seventeen
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Wine Manufacturer License. Amend RSA 178:8, III to read as follows:
III. Each wine manufacturer shall have the right to sell at retail or wholesale at its winery for off-premises consumption any of its wines. Visitors of legal drinking age at said premises may be provided with samples of wine manufactured on the premises for tasting. Samples may be provided either free or for a fee and shall be limited to one 2-ounce sample per label per person. The commission may issue an additional license to a wine manufacturer to operate one additional tasting room for both samples and retail sales of its own wine separate and apart from its manufacturing facility, subject to payment of an annual fee of $420. A licensee may operate a single tasting room cooperatively with other wine manufacturers, subject to payment of an annual fee of $420 by one of the manufacturers, provided that no manufacturer may sell or provide samples at more than one tasting room and provided that each participating manufacturer shall independently maintain records and pay the fees under paragraph IV. Pursuant to rules adopted by the commission, a wine manufacturer may transport its products to a farmers' market or a wine festival licensed under RSA 178:31, and may sell such products at retail in the original container.
HB 140-FN- FISCAL NOTE
AS AMENDED BY THE HOUSE (AMENDMENT #2017-0272h)
FISCAL IMPACT: [ X ] State [ ] County [ ] Local [ ] None
Estimated Increase / (Decrease)
[ ] General [ ] Education [ ] Highway [ X ] Other - Liquor Fund
This bill permits the New Hampshire Liquor Commission to issue one additional license to each wine manufacturer to operate no more than one additional tasting room for both samples and retail sales of their own wine apart from their manufacturing facility subject to a $420 annual fee. This bill allows a licensee to operate a single tasting room cooperatively with other wine manufacturers as long as no manufacturer sells or provides samples at more than one tasting room. The bill sets no limit on the volume of retail sales that may occur at the additional tasting rooms.
The New Hampshire Liquor Commission states this bill will reduce state revenue by an indeterminable amount. In FY 2016 New Hampshire wine manufacturers produced about 45,000 9 liter cases of wine and the Liquor Commission sold 5,319 of these cases for an estimated net profit of about $217,000 (5,319 cases * $177.37 average retail sale price * 23 percent profit margin). To the extent new tasting rooms are licensed and wine is sold from a tasting room rather than from a Liquor Commission store, state revenue will decrease. The Commission is unable to estimate the net impact of this bill on sales.
There are currently 34 licensed wine manufactures in the State. The Commission assumes 16 of the State's wine manufacturers will chose to acquire a tasting room license and pay the $420 fee then state revenue would increase by $6,720 (16*$420) annually.
New Hampshire Liquor Commission