Bill Text - HB591 (2022)

(New Title) relative to certain liquor license fees.


Revision: March 8, 2021, 1:06 p.m.

HB 591-FN - AS AMENDED BY THE HOUSE

 

24Feb2021... 0269h

2021 SESSION

21-0840

08/10

 

HOUSE BILL 591-FN

 

AN ACT relative to certain liquor license fees.

 

SPONSORS: Rep. Abrami, Rock. 19; Rep. Doucette, Rock. 8; Rep. Weyler, Rock. 13; Sen. Bradley, Dist 3

 

COMMITTEE: Executive Departments and Administration

 

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AMENDED ANALYSIS

 

This bill makes changes to liquor license fees for agency licenses and retail tobacco licenses and clarifies certain other liquor license fee provisions.

 

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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

24Feb2021... 0269h 21-0840

08/10

 

STATE OF NEW HAMPSHIRE

 

In the Year of Our Lord Two Thousand Twenty One

 

AN ACT relative to certain liquor license fees.

 

Be it Enacted by the Senate and House of Representatives in General Court convened:

 

1  New Section; State Liquor Stores; Agency Store.  Amend RSA 177 by inserting after section 9 the following new section:

177:9-a  Agency Liquor Store; License Fee.  The fee for an agency store license shall be as determined in RSA 178:29, II(c).

2  Liquor Licenses; Off-Premises Fees.  Amend the introductory paragraph of RSA 178:29, II to read as follows:

II.  Off-premises licenses shall pay one of the following applicable fees annually:

3  New Subparagraph; Liquor Licenses; Retail Tobacco.  Amend RSA 178:29, II by inserting after subparagraph (d) the following new subparagraph:

(e)  Retail tobacco license:

(1)  1 register, $216

(2)  2-3 registers, $408

(3)  4 or more registers, $648

4  Repeal; Liquor License Fee; Retail Tobacco.  RSA 178:29, V-a(a), relative to the fee for a retail tobacco license, is repealed.

5  Retail Tobacco License.  Amend RSA 178:19-a to read as follows:

178:19-a  Retail Tobacco License.

I.  The commission may issue a retail tobacco license to a person engaged in the business of retail sales and distribution of tobacco products including e-cigarettes in this state.  Each retail outlet shall have a separate license regardless of the fact that one or more outlets may be owned or controlled by a single person.

I-a.  The commission may issue a retail tobacco license to any business holding a license to sell alcoholic beverages under RSA 178 for an additional fee of $6 per licensed location.

II.  A retail tobacco license shall be prominently displayed on the premises described in it.

III.  The commission, when issuing or renewing a retail tobacco license, shall furnish a sign which shall read or be substantially similar to the following: "State Law prohibits the sale of tobacco products or e-cigarettes to persons under age 21.  Warning:  violators of these provisions may be subject to a fine."

IV.  All sales of tobacco, including e-cigarettes, shall be recorded on cash registers.  No additional registers shall be added during the remainder of the year without prior approval of the commission.  No rebate shall be allowed for cash registers discontinued during the license year.

V.  The fee for a retail tobacco license shall be as determined in RSA 178:29, II(e).

6  New Paragraph; On-Premises Cigar, Beverage, and Liquor License; Fee.  Amend RSA 178:20-a by inserting after paragraph IV the following new paragraph:

V.  The fee for an on-premises cigar, beverage, and liquor license shall be as determined in RSA 178:29, I.

7  New Paragraph; Combination License; Fee.  Amend RSA 178:18 by inserting after paragraph III the following new paragraph:

IV.  The fee for a combination license shall be as determined in RSA 178:29, II(b).

8  New Paragraph; Retail Wine License; Fee.  Amend RSA 178:19 by inserting after paragraph IV the following new paragraph:

V.  The fee for a retail wine license shall be as determined in RSA 178:29, II(a).

9  New Paragraph; Beer Specialty License; Fee.  Amend RSA 178:19-d by inserting after paragraph VI the following new paragraph:

VII.  The fee for a beer specialty license shall be found in RSA 178:29, II(d).

10  Applicability.  The provisions of sections 1-9 of this act shall be applicable on the first day of the month following its effective date.

11  Effective Date.

I.  Sections 1-9 of this act shall take effect 60 days after its passage.

II.  The remainder of this act shall take effect upon its passage.

 

LBA

21-0840

Amended 3/8/21

 

HB 591-FN- FISCAL NOTE

AS AMENDED BY THE HOUSE (AMENDMENT #2021-0269h)

 

AN ACT relative to certain liquor license fees.

 

FISCAL IMPACT:      [ X ] State              [    ] County               [    ] Local              [    ] None

 

 

 

Estimated Increase / (Decrease)

STATE:

FY 2021

FY 2022

FY 2023

FY 2024

   Appropriation

$0

$0

$0

$0

   Revenue

$0

In Excess of $36,540

In Excess of $36,540

In Excess of $36,540

   Expenditures

$0

$0

$0

$0

Funding Source:

  [ X ] General            [    ] Education            [    ] Highway           [ X ] Other - Liquor Fund

 

 

 

 

 

METHODOLOGY:

This bill makes changes to liquor license fees for agency licenses and retail tobacco licenses and

clarifies certain other liquor license fee provisions.

 

The Liquor Commission states retail tobacco licenses are currently issued by the commission to qualified businesses for a fee of $6 for each licensed location.  This bill would separate the fees charged to businesses obtaining a retail tobacco license from the fees for businesses that hold a license to sell alcohol, but also sell tobacco.  Under this bill, businesses licensed to sell alcohol beverages could purchase a retail tobacco license for $6, and businesses not licensed to sell alcohol would pay for an annual retail tobacco license based on the number of cash registers used for retail sales as specified in proposed RSA 178:29,II (e) as follows:

 

  • 1 register, $216
  • 2-3 registers, $408
  • 4 or more registers,  $648

 

The Commission reports there are 174 businesses holding a retail tobacco licenses without an alcohol license that would pay the tobacco license fees proposed above.  To provide a baseline estimate the Commission assumed these businesses have one register as follows:

 

Proposed retail tobacco license fee for 1 register, $216  x 174 businesses =   $37,584

Current tobacco license fee.  $6 x 174 businesses =   ( $1,044)

      Additional license fee revenue ($37,584 minus $1,044) =   $36,540

 

If these 174 business have more than one register, the additional revenue would be greater.  The Commission indicates there are 1,396 businesses holding a retail alcohol license and a retail tobacco license.  These businesses would continue to pay the $6 retail tobacco license fee. There would be no revenue impact attributable to these businesses.

 

   It is assumed that any fiscal impact would occur after July 1, 2021.

 

AGENCIES CONTACTED:

New Hampshire Liquor Commission