HBA-MPA C.S.S.B. 170 76(R) BILL ANALYSIS Office of House Bill AnalysisC.S.S.B. 170 By: Armbrister Licensing & Administrative Procedures 5/7/1999 Committee Report (Substituted) BACKGROUND AND PURPOSE Currently, there is no statutory provision addressing the power of the Texas Alcoholic Beverage Commission (commission) to deny or cancel the liquor license of an applicant or permit holder based on ad valorem tax delinquency. C.S.S.B. 170 allows the commission or its administrator to cancel or deny a permit for the retail sale or service of alcoholic beverages, including a food and beverage certificate, if the permit holder or applicant has not paid delinquent ad valorem taxes on the permitted premises or taxes are due from a business operated on the premises. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 11.38, Alcoholic Beverage Code, by adding Subsections (e) and (f), as follows: (e) Authorizes the Texas Alcoholic Beverage Commission (commission) or administrator to cancel or deny a permit for the retail sale or service of alcoholic beverages, including a food and beverage certificate, if the permit holder or applicant has not paid delinquent ad valorem taxes on the permitted premises or taxes are due from a business operated on that premises, to the proper county taxing authority. Provides that for purposes of this subsection, a permit holder or applicant is presumed delinquent in payment of taxes: (1) when placed on a delinquent tax roll prepared under Section 33.03 (Delinquent Tax Roll), Tax Code. (2) upon notice of delinquency under Section 33.04 (Notice of Delinquency), Tax Code. (3) for not making a payment required under Section 42.08 (Forfeiture of Remedy for Nonpayment of Taxes), Tax Code. (f) Defines "applicant." SECTION 2. Amends Section 61.36, Alcoholic Beverage Code, by adding Subsections (d) and (e), to make conforming changes. SECTION 3. Effective date: September 1, 1999. SECTION 4. Emergency clause. COMPARISON OF ORIGINAL TO SUBSTITUTE C.S.S.B. 170 differs from the original bill in SECTION 1 (Section 11.38, Alcoholic Beverage Code) by modifying proposed Subsection (e) to add taxes due from a business operated on the permitted premises to the list of justifications for the Texas Alcoholic Beverage Commission or administrator to cancel or deny a permit for the retail sale or service of alcoholic beverages, including a food and beverage certificate. The substitute also modifies the original by adding that a permit holder or applicant is delinquent when specified actions are taken under Sections 33.03, 33.04, and 42.08, Tax Code. The substitute creates new Subsection (f), defining "applicant," which is defined in the same manner in proposed Subsection (e) of the original bill. The substitute makes conforming changes in SECTION 2.