Revision: March 14, 2017, 9:40 a.m.
HB 353-FN - AS AMENDED BY THE HOUSE
8Mar2017... 0533h
2017 SESSION
17-0249
03/09
HOUSE BILL 353-FN
AN ACT relative to sales of beer in refillable containers.
SPONSORS: Rep. Williams, Hills. 4
COMMITTEE: Commerce and Consumer Affairs
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This bill authorizes the sale of beer in refillable containers.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.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... 0533h 17-0249
03/09
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Seventeen
AN ACT relative to sales of beer in refillable containers.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 New Paragraph; Standard Refillable Beer Container. Amend RSA 175:1 by inserting after paragraph LXX the following new paragraph:
LXXI. “Standard refillable beer container” means a container meeting the specifications established by the commission.
2 New Section; Refillable Beer Container Licenses. Amend RSA 178 by inserting after section 31 the following new section:
178:32 Refillable Beer Container Licenses.
I. An on-premises licensee maintaining an inventory of at least 100 different beer labels or an off-premises licensee maintaining an inventory of at least 200 different beer labels and paying an additional fee of $240 shall be issued a refillable beer container license authorizing the licensee to fill standard refillable containers in accordance with this section.
II. Off-premises licensees shall comply with the following:
(a) The licensee shall designate an area of the premises where at least 3 filling stations shall be permanently installed.
(b) The designated area shall be separated from customers by a counter or other barrier.
(c) Containers may only be filled by the licensee and the licensee’s employees.
III. If the commission notifies the licensee that a manufacturer objects to sales of its products in refillable containers, the licensee shall not fill any container with beer manufactured by that manufacturer.
IV. The licensee may fill only standard refillable beer containers and only during hours established by the commission in rules adopted pursuant to RSA 541-A. The licensee shall comply with sanitation standards for tap lines and containers, if established by the commission in rules.
V. An open-evident seal or closed package shall be applied by the licensee to the standard refillable beer container after filling.
3 New Paragraph; Standard Refillable Beer Container. Amend RSA 179:33 by inserting after paragraph I the following new paragraph:
I-a. The commission shall establish specifications for standard refillable beer containers. Specifications shall include:
(a) Placement of a rectangular label of indelible white material so that the product and the licensee making the fill may be identified with erasable marker.
(b) Placement of a label containing alcohol consumption warnings, cleaning instructions, a New Hampshire logo design, and information to help locate New Hampshire brewers.
4 Effective Date. This act shall take effect 60 days after its passage.
17-0249
Amended 3/9/17
HB 353-FN- FISCAL NOTE
AS AMENDED BY THE HOUSE (AMENDMENT #2017-0533h)
AN ACT relative to sales of beer in refillable containers.
FISCAL IMPACT: [ X ] State [ ] County [ ] Local [ ] None
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| Estimated Increase / (Decrease) | |||
STATE: | FY 2018 | FY 2019 | FY 2020 | FY 2021 |
Appropriation | $0 | $0 | $0 | $0 |
Revenue | Indeterminable Increase | Indeterminable Increase | Indeterminable Increase | Indeterminable Increase |
Expenditures | Indeterminable | Indeterminable | Indeterminable | Indeterminable |
Funding Source: | [ X ] General [ ] Education [ ] Highway [ X ] Other - Liquor Fund | |||
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METHODOLOGY:
This bill permits on-premises or off-premises licensees maintaining an inventory of at least 100 different beer labels to pay a $240 fee to obtain a refillable beer container license which will allow them to fill and sell standard refillable beer containers (i.e., growlers). Under the proposed bill, if a manufacturer objects to sales of its products in refillable containers from a licensee, the Commission shall notify the licensee, and the licensee shall not be permitted to fill any container with the objecting manufacturer's beer.
The New Hampshire Liquor Commission anticipates many eligible on-premises and off-premises licensees will obtain the $240 refillable beer container license but has no method available to determine the number of new licenses. Consequently, liquor revenue is expected to increase by an indeterminable amount. Pursuant to RSA 176:16, any balance remaining in the liquor fund after paying all expenses of the Commission shall be deposited into the general fund, therefore this bill may increase general fund revenue.
The Commission states it would need to conduct an initial inspection of every eligible on-premises and off-premises licensee that chooses to obtain a refillable beer container license to ensure compliance with the new requirements. However, there is no law or administrative rule requiring the Commission to conduct an initial inspection of every new licensee. The Liquor Commission currently attempts to conduct an annual inspection of every eligible on-premises and off-premises licensee that could choose to obtain a refillable beer container license. To conduct initial site inspections of all new licensees the Commission anticipates it would need to hire a new Liquor Examiner at the following cost:
Liquor Examiner I, Group I (LG 20) | FY 2018 | FY 2019 | FY 2020 | FY 2020 |
Salary & Benefits | $78,499 | $82,551 | $85,208 | $87,836 |
Equipment, OT, Training, & Current Expenses | $34,000 | $6,500 | $6,500 | $6,500 |
Totals | $112,499 | $89,051 | $91,708 | $94,336 |
The Commission does not anticipate any additional costs related to informing licensees that a particular manufacturer does not want them to distribute their product via a refillable container. The Enforcement Division's existing system can accommodate this requirement.
AGENCIES CONTACTED:
New Hampshire Liquor Commission