LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION

May 17, 2013

TO:	Honorable John Carona, Chair, Senate Committee on Business & Commerce
FROM:	Ursula Parks, Director, Legislative Budget Board
IN RE:	HB2818 by Sheffield, Ralph (Relating to certain local option elections and the permits and licenses that can be issued in areas that approved the sale of certain alcoholic beverages in a local option election.), Committee Report 2nd House, Substituted

The fiscal implications of the bill cannot be determined at this time, as the results of local option elections cannot be predicted.

The bill would amend the Alcoholic Beverage Code relating to permits and licenses that can be issued in areas that approve the sale of certain alcoholic beverages in a local option election. Sections 25.14, 69.17, and 70.04, Alcoholic Beverage Code, as added by this Act, apply to a permit or license issued on or after the effective date of this Act regardless of when the local option election approving the sale of mixed beverages was held. The bill would take effect on September 1, 2013.

An indeterminate impact to revenue could occur as a result of the bill depending on the results of subsequent local option elections and the number of permittees and licensees that choose to switch to a license or permit that allows them to sell beer and wine at a lower sales tax rate.

Local Government Impact

No significant fiscal implication to units of local government is anticipated.

Source Agencies:

458 Alcoholic Beverage Commission, 304 Comptroller of Public Accounts

LBB Staff:

UP, KKR, RB, AI, KNi