SB 629: Alcoholic beverages: fees: adjustment: posting.
- Session Year: 2017-2018
- House: Senate
- Latest Version Date: 2017-02-17
The Alcoholic Beverage Control Act provides for the issuance of licenses for which various annual fees are charged depending upon the type of license issued. That law authorizes an annual adjustment of the fees, as provided, commencing with the 2010 calendar year. Existing law requires that the adjusted fee list be published by the department and transmitted to the Legislature for approval as part of the departments budget submission for the fiscal year in which the fees would be implemented.
This bill also would require the department to post the adjusted fee list on its Internet Web site.
(a)The following are the types of licenses and the annual fees to be charged therefor:
Name & License Type Number: | Fee Effective 01/01/10 |
(1)Beer manufacturer: (a)Beer manufacturers that produce 60,000 barrels or less a year (Type 23) (b)All other beer manufacturers (Type 1) (c)Branch Office Small Beer Manufacturers (Type 23D) Beer Manufacturers (Type 1D) | $161.00 $1334.00 $85.00 $85.00 |
(2)Winegrower or wine blender (to be computed only on the gallonage produced or blended) (Type 2 & Type 22): 5,000 gallons or less Over 5,000 gallons to 20,000 gallons per year Over 20,000 to 100,000 gallons per year Over 100,000 to 200,000 gallons per year Over 200,000 gallons to 1,000,000 gallons per year For each 1,000,000 gallons or fraction thereof over 1,000,000 gallons an additional Winegrower (Branch Office) - (Type 2D) | $62.00 $115.00 $208.00 $274.00 $406.00 $265.00 $85.00 |
(3)Brandy manufacturer (Type 3) Brandy manufacturer (Branch Office) (Type 3D) | $271.00 $248.00 |
(4)Distilled spirits manufacturer (Type 4) | $444.00 |
(5)Distilled spirits manufacturers agent (Type 5) | $444.00 |
(5a)California winegrowers agent (Type 27) | $444.00 |
(6)Still (Type 6) | $67.00 |
(7)Rectifier (Type 7) | $444.00 |
(7a)Distilled spirits rectifiers general license (Type 24) | $444.00 |
(8)Wine rectifier (Type 8) | $444.00 |
(9)Beer & wine importer (Type 9) | $67.00 |
(10)Beer & wine importers general license (Type 10) | $296.00 |
(11)Brandy importer (Type 11) | $67.00 |
(12)Distilled spirits importer (Type 12) | $67.00 |
(13)Distilled spirits importers general license (Type 13) | $444.00 |
(14)Public warehouse (Type 14) | $67.00 |
(15)Customs broker (Type 15) | $67.00 |
(16)Wine broker (Type 16) | $90.00 |
(17)Beer & wine wholesaler (Type 17) | $296.00 |
(18)Distilled spirits wholesaler (Type 18) | $444.00 |
(18a)California brandy wholesaler (Type 25) | $444.00 |
(19)Industrial alcohol dealer (Type 19) | $90.00 |
(20)Retail package off-sale beer & wine (Type 20) | $242.00 |
(21)Retail package off-sale general license (Type 21) and controlled access cabinet permit (Type 66) | $537.00 |
(22)On-sale beer (Type 40 & Type 61); On-sale beer & wine (Type 42); Special on-sale beer & wine (Theater) (Type 69); and Special on-sale beer & wine (Symphony) cabinet permit (Type 66) | $248.00 |
(23)On-sale beer & wine eating place (Type 41) | $335.00 |
(24)On-sale beer & wine license for trains (per train) (Type 43) | $100.00 |
(25)On-sale beer license for fishing party boats (per boat) (Type 44) | $100.00 |
(26)On-sale beer & wine license for boats (per boat) (Type 45) | $100.00 |
(27)On-sale beer & wine license for airplanes (per scheduled flight) (Type 46) | $100.00 |
(28)On-sale general license (Types 47, 48, 57, 70, 75, 78, 78D (for 78D see Section 23396.2)) and club caterers permit (Type 58): In cities of 40,000 population or over In cities of less than 40,000 but more than 20,000 population In all other localities Duplicate on-sale general license (Types 47D, 48D, 57D) and portable bar license (Type 68): In cities of 40,000 population or over In cities of less than 40,000 but more than 20,000 population In all other localities | $846.00 $620.00 $551.00 $609.00 $360.00 $284.00 |
(29)On-sale general license for seasonal business (Type 49): In cities of 40,000 population or over (per quarter) In cities of less than 40,000 but more than 20,000 population (per quarter) In all other localities (per quarter) Duplicate on-sale general license for seasonal business (Type 49D): In cities of 40,000 population or over (per quarter) In cities of less than 40,000 but more than 20,000 population (per quarter) In all other localities (per quarter) | $215.00 $153.00 $134.00 $153.00 $90.00 $71.00 |
(30)(a) On-sale general license for bona fide clubs, (b) Club license (issued under Article 4 of this chapter), or (c) Veterans club license (issued under Article 5 (commencing with Section 23450) of this chapter) (Types 50, 51, 52, & 64): In cities of 40,000 population or over In cities of less than 40,000 but more than 20,000 population In all other localities | $488.00 $366.00 $325.00 |
(31)On-sale general license for trains and sleeping cars (Type 53) Duplicate on-sale general license for trains and sleeping car companies (Type 53D) | $189.00 $67.00 |
(32)On-sale general license for boats (Type 54) | $491.00 |
(33)On-sale general license for airplanes (Type 55) Duplicate on-sale general license for air common carriers (Type 55D) | $491.00 $67.00 |
(34)On-sale general license for vessels of more than 1,000 tons burden (Type 56) and for Maritime Museum (Type 76) Duplicate on-sale general license for vessels of more than 1,000 tons burden (Type 56D) and for Maritime Museum (Type 76D) | $189.00 $67.00 |
(35)On-sale general bona fide public eating place intermittent dockside license for vessels of more than 7,000 tons displacement (Type 62) | $531.00 |
(36)On-sale special beer & wine license for hospitals, convalescent homes, and rest homes (Type 63) | $83.00 |
(37)On-sale beer & wine seasonal (Type 59) and on-sale beer seasonal (Type 60) Operating period 3-9 months Operating period 3-6 months | $208.00 $141.00 |
(b)Beginning January 1, 2013, and each January 1 thereafter, the department may adjust each of the fees specified in this section by increasing each fee by an amount not to exceed the percentage that the Consumer Price Index (United States Bureau of Labor Statistics, West Region, All Urban Consumers, All Items, Base Period 1982-84 =100) for the preceding April 2011, and each April annually thereafter, has increased under the same index over the month of April 2010, which shall be the base period. No fee shall be decreased pursuant to this adjustment below the fee currently in effect on each December 31. In the event that this index is discontinued, the department shall consult with the Department of Finance to convert the increase calculations to an index then available. When approved by the Department of Finance, the new index shall replace the discontinued index.
(c)The department shall calculate the percentage increase as specified in subdivision (b) and shall apply this increase to each fee. The increase to each fee shall be rounded to the nearest whole dollar. The adjusted fee list shall be published by the department department, posted on the departments Internet Web site, and transmitted to the Legislature for approval as part of the departments budget submission for the fiscal year in which the adjusted fees would be implemented. This adjustment of fees and publication of the adjusted fee list is not subject to the requirements of Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code.
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Date
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Status
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|---|---|
| Aug 28, 2018 | Ordered to inactive file on request of Assembly Member Calderon. |
| Aug 20, 2018 | Action rescinded whereby the bill was read a third time, passed, and ordered to the Senate. |
| Aug 20, 2018 | In Assembly. Held at Desk. |
| Aug 20, 2018 | Withdrawn from engrossing and enrolling. |
| Aug 16, 2018 | In Senate. Ordered to engrossing and enrolling. |
| Aug 16, 2018 | Read third time. Passed. Ordered to the Senate. |
| Aug 9, 2018 | Read second time. Ordered to consent calendar. |
| Aug 8, 2018 | From committee: Do pass. Ordered to consent calendar. (Ayes 17. Noes 0.) (August 8). |
| Jul 2, 2018 | From committee: Do pass and re-refer to Com. on APPR. with recommendation: To consent calendar. (Ayes 21. Noes 0.) (June 28). Re-referred to Com. on APPR. |
| Jun 21, 2017 | June 21 set for first hearing canceled at the request of author. |
| May 26, 2017 | Referred to Com. on G.O. |
| May 16, 2017 | In Assembly. Read first time. Held at Desk. |
| May 15, 2017 | Read third time. Passed. (Ayes 39. Noes 0. Page 1073.) Ordered to the Assembly. |
| May 9, 2017 | Read second time. Ordered to consent calendar. |
| May 8, 2017 | From committee: Be ordered to second reading pursuant to Senate Rule 28.8 and ordered to consent calendar. |
| May 4, 2017 | Set for hearing May 15. |
| May 3, 2017 | May 8 hearing postponed by committee. |
| May 1, 2017 | Set for hearing May 8. |
| Apr 25, 2017 | From committee: Do pass and re-refer to Com. on APPR. with recommendation: To consent calendar. (Ayes 13. Noes 0. Page 827.) (April 25). Re-referred to Com. on APPR. |
| Apr 21, 2017 | Set for hearing April 25. |
| Mar 2, 2017 | Referred to Com. on G.O. |
| Feb 21, 2017 | From printer. May be acted upon on or after March 23. |
| Feb 17, 2017 | Introduced. Read first time. To Com. on RLS. for assignment. To print. |
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Date
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Description
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Location
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Votes
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|---|---|---|---|---|
| Aug 16, 2018 | SB 629 McGuire Consent Calendar Second Day Regular Session | Assembly Floor |
Passed |
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| Aug 8, 2018 | Do pass. To Consent Calendar. | Assembly Standing Committee on Appropriations |
Passed |
|
| Jun 28, 2018 | Do pass and be re-referred to the Committee on [Appropriations] with recommendation: To Consent Calendar | Assembly Standing Committee on Governmental Organization |
Passed |
|
| May 15, 2017 | Consent Calendar 2nd SB629 | Senate Floor |
Passed |
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| Apr 25, 2017 | Do pass, but first be re-referred to the Committee on [Appropriations] with the recommendation: To Consent Calendar | Senate Standing Committee on Governmental Organization |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
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Organization
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Position
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Date
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|---|---|---|
| California Grocers Association | ** Support | Jun 27, 2018 |
| Wine Institute | ** Support | Jun 27, 2018 |
SENATE THIRD READING
STR Bill Id:SB 629
Author:(McGuire)
As Introduced Ver:February 17, 2017
Majority vote
SENATE VOTE: 39-0
Committee | Votes | Ayes | Noes |
Governmental Organization | 21-0 | Gray, Bigelow, Acosta, Aguiar-Curry, Berman, Bonta, Cooley, Cooper, Daly, Gallagher, Eduardo Garcia, Gipson, Gloria, Jones-Sawyer, Kiley, Lackey, Levine, Low, Rubio, Salas, Waldron | |
Appropriations | 17-0 | Gonzalez Fletcher, Bigelow, Bloom, Bonta, Brough, Calderon, Carrillo, Chau, Eggman, Fong, Friedman, Gallagher, Eduardo Garcia, Nazarian, Obernolte, Quirk, Reyes |
SUMMARY: This bill would require the Department of Alcoholic Beverage Control (ABC) to post the adjusted annual license fee on its internet website.
EXISTING LAW:
- Establishes ABC and grants it exclusive authority to administer the provisions of the Department of Alcoholic Beverage Control (Act) in accordance with laws enacted by the Legislature.
- Provides, under the Act, for the issuance of licenses for which various annual fees are charged depending upon the type of license issued.
- Authorizes an annual adjustment of the fees, as provided, commencing with the 2010 calendar year.
- Requires that the adjusted fee list be published by ABC and transmitted to the Legislature for approval as part of the department’s budget submission for the fiscal year in which the fees would be implemented.
FISCAL EFFECT: According to the Assembly Appropriations Committee, no additional state costs.
COMMENTS:
Purpose of the bill. The author’s office states that, "while the current annual adjustments are posted online by ABC, there is nothing in statute to guarantee the public is made aware of the adjustments through online postings, one of the most accessible forms of publications."
ABC. The Department of Alcoholic Beverage Control licenses and regulates the manufacturing, sale, purchase, possession, and transportation of alcoholic beverages. Currently, ABC has about 90,000 licenses across the state, including businesses such as winegrowers, liquor stores, and restaurants. The state budget for the 2018-2019 fiscal year includes $75 million for support of ABC. This is an increase of about $3 million, or about 4%, from current-year estimated expenditures. ABC is supported primarily by the Alcoholic Beverage Control Fund, which is funded almost entirely by licensing fees.
Existing law provides ABC the authority to increase fees annually consistent with the CPI. Since this authority was granted in 2004, fees have been adjusted three times.
Prior Legislation. SB 937 (Committee on Governmental Organization), Chapter 327, Statutes of 2012. Among other things, revised the license fee schedule to set forth the fee amounts as of the 2010 calendar year.
AB 1298 (Wesson), Chapter 488, Statutes of 2001. Among other things, increased the annual fees imposed on manufacturers, distributors, and retailers by specified amounts through 2004 and permitted ABC to adjust the fees charged commencing with the 2005 calendar year by an amount not to exceed an inflation factor based on the CPI for the west region.
In support. Wine Institute states, "SB 629 would align California statute with current practice by clarifying that the adjusted fee list be permanently published by the department on their website. This action will make permanent the current level of transparency surrounding the fee adjustments and will prevent future reversion to less transparent methods for publishing fees."
Analysis Prepared by: Eric Johnson / G.O. / (916) 319-2531 FN: 0004397
Date of Hearing: August 8, 2018
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Lorena Gonzalez Fletcher, Chair
SBPCA Bill Id:SB 629
Author:(McGuire) – As Introduced Ver:February 17, 2017
Policy Committee: | Governmental Organization | Vote: | 21 - 0 |
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Urgency: No State Mandated Local Program: No Reimbursable: No
SUMMARY:
This bill requires the Department of Alcoholic Beverage Control (ABC) to post the adjusted annual license fee on its internet website.
FISCAL EFFECT:
No additional state costs.
COMMENTS:
Background and purpose. ABC is supported primarily by the Alcoholic Beverage Control Fund, which is funded almost entirely through licensing fees. Existing law allows ABC to increase the fees annually so they keep up with inflation. Since 2004, ABC has increased the fee three times.
According to the author, SB 629 will ensure that the public is made aware of future adjustments to license fees.
Analysis Prepared by: Luke Reidenbach / APPR. / (916) 319-2081
Date of Hearing: June 28, 2018
ASSEMBLY COMMITTEE ON GOVERNMENTAL ORGANIZATION
Adam Gray, Chair
SBPCA Bill Id:SB 629
Author:(McGuire) – As Introduced Ver:February 17, 2017
SENATE VOTE: 39-0
SUBJECT: Alcoholic beverages: fees: adjustment: posting
SUMMARY: Would require the Department of Alcoholic Beverage Control (ABC) to post the adjusted annual license fee list on its Internet Web site.
EXISTING LAW:
- Establishes ABC and grants it exclusive authority to administer the provisions of the Department of Alcoholic Beverage Control (Act) in accordance with laws enacted by the Legislature.
- Provides, under the Act, for the issuance of licenses for which various annual fees are charged depending upon the type of license issued.
- Authorizes an annual adjustment of the fees, as provided, commencing with the 2010 calendar year.
- Requires that the adjusted fee list be published by ABC and transmitted to the Legislature for approval as part of the department’s budget submission for the fiscal year in which the fees would be implemented.
FISCAL EFFECT: Unknown
COMMENTS:
Purpose of the bill. The author’s office states that, “while the current annual adjustments are posted online by ABC, there is nothing in statute to guarantee the public is made aware of the adjustments through online postings, one of the most accessible forms of publications.”
ABC. The Department of Alcoholic Beverage Control licenses and regulates the manufacturing, sale, purchase, possession, and transportation of alcoholic beverages. Currently, ABC has about 90,000 licenses across the state, including businesses such as winegrowers, liquor stores, and restaurants. The state budget for the 2018-2019 fiscal year includes $75 million for support of ABC. This is an increase of about $3 million, or about 4 percent, from current-year estimated expenditures. ABC is supported primarily by the Alcoholic Beverage Control Fund, which is funded almost entirely by licensing fees.
Existing law provides ABC the authority to increase fees annually consistent with the CPI. Since this authority was granted in 2004, fees have been adjusted three times.
Prior Legislation. SB 937 (Committee on Governmental Organization, Chapter 327, Statutes of 2012). Among other things, revised the license fee schedule to set forth the fee amounts as of the 2010 calendar year.
AB 1298 (Wesson, Chapter 488, Statutes of 2001). Among other things, increased the annual fees imposed on manufacturers, distributors, and retailers by specified amounts through 2004 and permitted ABC to adjust the fees charged commencing with the 2005 calendar year by an amount not to exceed an inflation factor based on the CPI for the west region.
In support. Wine Institute states, “SB 629 would align California statute with current practice by clarifying that the adjusted fee list be permanently published by the department on their website. This action will make permanent the current level of transparency surrounding the fee adjustments and will prevent future reversion to less transparent methods for publishing fees.”
REGISTERED SUPPORT / OPPOSITION:
Support
California Grocers Association
Wine Institute
Opposition
None on file
Analysis Prepared by: Eric Johnson / G.O. / (916) 319-2531
Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 | SB |
CONSENT
Bill No: SB 629
:
SENATE GOVERNMENTAL ORG. COMMITTEE: 13-0, 4/25/17
AYES: Glazer, Berryhill, Bradford, Cannella, Dodd, Gaines, Galgiani, Hill, Hueso, Lara, Mendoza, Portantino, Vidak
SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8
DIGEST: This bill requires the Department of Alcoholic Beverage Control (ABC) to post the adjusted annual license fee list on its Internet Web site.
ANALYSIS:
Existing law:
- Establishes the Department of ABC and grants it exclusive authority to administer the provisions of the ABC Act in accordance with laws enacted by the Legislature.
- Provides, under the ABC Act, for the issuance of licenses for which various annual fees are charged depending upon the type of license issued.
- Authorizes an annual adjustment of the fees, as provided, commencing with the 2010 calendar year.
- Requires that the adjusted fee list be published by the Department of ABC and transmitted to the Legislature for approval as part of the department’s budget submission for the fiscal year in which the fees would be implemented.
This bill requires the Department of ABC to post the adjusted annual license fees list on its Internet Web site.
Background
Purpose of the bill. The author’s office states that, “while the current annual adjustments are posted online by the Department of ABC, there is nothing in statute to guarantee the public is made aware of the adjustments through online postings, one of the most accessible forms of publications.”
ABC fee increases. This year, the Department of ABC submitted a revised fee schedule for Legislature approval, which reflects adjusted fees based on increases in the Consumer Price Index (CPI). The revised schedule represents an accumulation of six years of CPI adjustments resulting in an adjustment of 11.48% to be effective January 1, 2018.
Fees proposed for increase represent 92% of the Department of ABC’s total annual revenue. These fees were last increased by 3.49 percent in January 2010. Existing law provides the Department of ABC the authority to increase fees annually consistent with the CPI. Since this authority was granted in 2004, fees have been adjusted twice.
Related/Prior Legislation
SB 937 (Committee on Governmental Organization, Chapter 327, Statutes of 2012), among other things, revised the license fee schedule to set forth the fee amounts as of the 2010 calendar year.
AB 1298 (Wesson, Chapter 488, Statutes of 2001), among other things, increased the annual fees imposed on manufacturers, distributors, and retailers by specified amounts through 2004 and permitted the Department of ABC to adjust the fees charged commencing with the 2005 calendar year by an amount not to exceed an inflation factor based on the CPI for the west region.
FISCAL EFFECT: Appropriation: Fiscal Com.: Local:
California Grocers Association
Wine Institute
None received
ARGUMENTS IN SUPPORT: Wine Institute states, “SB 629 would align California statute with current practice by clarifying that the adjusted fee list be permanently published by the department on their website. This action will make permanent the current level of transparency surrounding the fee adjustments and will prevent future reversion to less transparent methods for publishing fees.”
5/9/17 16:48:43
**** END ****
SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION
Senator Steven Glazer
Chair
2017 - 2018 Regular
Bill No: 629 Hearing Date: 4/25/2017
Author: | |||
Version: | 2/17/2017 Introduced | ||
Urgency: | No | Fiscal: | Yes |
Consultant: | Naomi Padron | ||
SUBJECT: Alcoholic beverages: fees: adjustment: posting
DIGEST: This bill requires the Department of Alcoholic Beverage Control (ABC) to post the adjusted annual license fee list on its Internet Web site.
ANALYSIS:
Existing law:
- Establishes the Department of ABC and grants it exclusive authority to administer the provisions of the ABC Act in accordance with laws enacted by the Legislature.
- Provides, under the ABC Act, for the issuance of licenses for which various annual fees are charged depending upon the type of license issued.
- Authorizes an annual adjustment of the fees, as provided, commencing with the 2010 calendar year.
- Requires that the adjusted fee list be published by the Department of ABC and transmitted to the Legislature for approval as part of the department’s budget submission for the fiscal year in which the fees would be implemented.
This bill requires the Department of ABC to post the adjusted annual license fees list on its Internet Web site.
Background
Purpose of the bill. The author’s office states that, “while the current annual adjustments are posted online by the Department of ABC, there is nothing in statute to guarantee the public is made aware of the adjustments through online postings, one of the most accessible forms of publications.”
ABC fee increases. This year, the Department of ABC submitted a revised fee schedule for Legislature approval, which reflects adjusted fees based on increases in the Consumer Price Index (CPI). The revised schedule represents an accumulation of six years of CPI adjustments resulting in an adjustment of 11.48% to be effective January 1, 2018.
Fees proposed for increase represent 92% of the Department of ABC’s total annual revenue. These fees were last increased by 3.49 percent in January 2010. Existing law provides the Department of ABC the authority to increase fees annually consistent with the CPI. Since this authority was granted in 2004, fees have been adjusted twice.
Prior/Related Legislation
SB 937 (Committee on Governmental Organization, Chapter 327, Statutes of 2012) among other things, revised the license fee schedule to set forth the fee amounts as of the 2010 calendar year.
AB 1298 (Wesson, Chapter 488, Statutes of 2001) among other things, increased the annual fees imposed on manufacturers, distributors, and retailers by specified amounts through 2004 and permitted the Department of ABC to adjust the fees charged commencing with the 2005 calendar year by an amount not to exceed an inflation factor based on the CPI for the west region.
FISCAL EFFECT: Appropriation: Fiscal Com.: Local:
SUPPORT:
California Grocers Association
Wine Institute
OPPOSITION:
None received
ARGUMENTS IN SUPPORT: Wine Institute states, “SB 629 would align California statute with current practice by clarifying that the adjusted fee list be permanently published by the department on their website. This action will make permanent the current level of transparency surrounding the fee adjustments and will prevent future reversion to less transparent methods for publishing fees.”
Bill Author
Bill Co-Author(s):