Senate Bill S8210

                                 BILL NUMBER:  S8210

 TITLE OF BILL :  An act to amend the alcoholic beverage control law,
in relation to authorizing the state liquor authority to retain monies
collected as fines for use for the operational purposes of the state
liquor authority

 PURPOSE OF BILL :

Authorizes the state liquor authority to retain monies collected as
fines for use for the operational purposes of the state liquor
authority

 SUMMARY OF SPECIFIC PROVISIONS :

Section 1 adds a new Subdivision 6 to Section 130 of the Alcoholic
Beverage Control Law. Section 2 establishes the effective date.

 JUSTIFICATION :

Under the State's current fiscal landscape, fines collected by the
State Liquor Authority are swept into the General Fund. Fostering the
continued development of enforcement capabilities at the State Liquor
Authority, this legislation would allow the Authority to retain the
funds collected by fines for their own operational expenses.

              

Too often, rigorous enforcement of the State's Alcoholic Beverage
Control Law is hindered by a lack of resources at the State Liquor
Authority, the agency which oversees the provisions of this statute.
While the enforcement efforts undertaken by the Authority in recent
years are indeed impressive and clearly much more effective than in
the past, the strength of the Authority's reach would be benefitted by
significantly adding to the Authority's annual budget.

On an annual basis, the Authority typically collects anywhere between
$9M and $11M in fines relative to violations of the Alcoholic Beverage
Control Law.

 PRIOR LEGISLATIVE HISTORY :

New bill.

 FISCAL IMPLICATIONS :

This legislation will result in a reduction of approximately $10
million annually in General Fund revenue, but will in turn increase
the operating balance of the State Liquor Authority by the same
amount.

 EFFECTIVE DATE :
This act shall take effect on the first of January next succeeding the
date upon which it shall have become a law.