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S1388......................................................by STATE AFFAIRS LIQUOR ACCOUNT - Amends existing law to reallocate the transfer and appropriation of moneys in the Liquor Account. 02/13 Senate intro - 1st rdg - to printing 02/14 Rpt prt - to St Aff 02/20 Rpt out - rec d/p - to 2nd rdg 02/21 2nd rdg - to 3rd rdg 02/23 3rd rdg - PASSED - 25-7-3 AYES -- Brandt(Harper), Broadsword, Burkett, Burtenshaw, Cameron, Compton, Corder, Darrington, Davis, Fulcher, Geddes, Goedde, Kelly, Keough, Langhorst, Little, Lodge, Malepeai, McGee, McKenzie, Schroeder, Stegner, Stennett, Sweet, Werk NAYS -- Andreason, Bunderson, Hill, Jorgenson, Marley, Richardson, Williams Absent and excused -- Coiner, Gannon, Pearce Floor Sponsors - Cameron, Stegner, Compton & Corder Title apvd - to House 02/24 House intro - 1st rdg - to St Aff 03/09 Rpt out - rec d/p - to 2nd rdg 03/10 2nd rdg - to 3rd rdg 03/27 3rd rdg - PASSED - 63-0-7 AYES -- Andrus, Barraclough, Barrett, Bastian, Bayer, Bedke, Bell, Bilbao, Black, Block, Boe, Bolz, Brackett, Bradford, Cannon, Chadderdon, Collins, Deal, Denney, Edmunson, Ellsworth, Eskridge, Field(18), Field(23), Garrett, Hart, Harwood, Jaquet, Kemp, Lake, LeFavour, Loertscher, Martinez, Mathews, McGeachin, McKague, Miller, Mitchell, Moyle, Nielsen, Nonini, Pasley-Stuart, Pence, Raybould, Ring, Ringo, Roberts, Rusche, Rydalch, Sali, Sayler, Schaefer, Shepherd(2), Shepherd(8), Shirley, Skippen, Smith(30), Snodgrass, Stevenson, Trail, Wills, Wood, Mr. Speaker NAYS -- None Absent and excused -- Anderson, Clark, Crow, Henbest, Henderson, Smith(24), Smylie Floor Sponsor - Bell Title apvd - to Senate 03/28 To enrol 03/29 Rpt enrol - Pres signed - Sp signed 03/30 To Governor 03/31 Governor signed Session Law Chapter 289 Effective: 07/01/05
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]] Fifty-eighth Legislature Second Regular Session - 2006IN THE SENATE SENATE BILL NO. 1388 BY STATE AFFAIRS COMMITTEE 1 AN ACT 2 RELATING TO THE STATE LIQUOR ACCOUNT; AMENDING SECTION 23-404, IDAHO CODE, TO 3 REALLOCATE THE TRANSFER AND APPROPRIATION OF MONEYS IN THE LIQUOR ACCOUNT, 4 TO MAKE TECHNICAL CORRECTIONS AND TO PROVIDE CORRECT TERMINOLOGY; DECLAR- 5 ING AN EMERGENCY AND PROVIDING A RETROACTIVE EFFECTIVE DATE. 6 Be It Enacted by the Legislature of the State of Idaho: 7 SECTION 1. That Section 23-404, Idaho Code, be, and the same is hereby 8 amended to read as follows: 9 23-404. DISTRIBUTION OF MONEYS IN LIQUOR ACCOUNT. (1) The moneys received 10 into the liquor account shall be transferred or appropriated as follows: 11 (a) An amount of money equal to the actual cost of purchase of alcoholic 12 liquor and payment of expenses of administration and operation of the dis- 13 pensary, as determined by the superintendent and certified quarterly to 14 the state controller, shall be transferred back to the dispensary; pro- 15 vided, that the amount so transferred back for administration and opera- 16 tion of the dispensary shall not exceed the amount authorized to be 17 expended by regular appropriation authorization. 18 (b) From fiscal year 2006 through fiscal year 2009, forty percent (40%) 19 of the balance remaining after transferring the amounts authorized bysub-20sectionparagraph (a)above:of this subsection shall be transferred or 21 appropriated pursuant to this paragraph (b). Beginning in fiscal year 2010 22 the percentage transferred pursuant to this paragraph (b) shall increase 23 to forty-two percent (42%) with an increase of two percent (2%) for each 24 subsequent fiscal year thereafter until fiscal year 2014 when such per- 25 centage shall be fifty percent (50%). 26 (i) For fiscal year 2006 and through fiscal year 2009, one million 27 eight hundred thousand dollars ($1,800,000) shall be appropriated and 28 paid to the cities and counties as set forth in paragraphs (c)(i) and 29 (c)(ii) of this subsection; 30 (ii) One million two hundred thousand dollars ($1,200,000) shall be 31 transferred annually to the alcoholism treatmentaccountfund, which 32 is hereby created in the trust and agency fund; 33 (iii) Three hundred thousand dollars ($300,000) shall be transferred 34 annually to the community college account, created by section 35 33-2139, Idaho Code; 36 (iiiv) One million two hundred thousand dollars ($1,200,000) shall 37 be transferred annually to the public school income fund, as defined 38 in section 33-903, Idaho Code; 39(iv) Four million nine hundred forty-five thousand dollars40($4,945,000) shall be transferred annually to the general account in41the state operating fund; and42 (v) Six hundred fifty thousand dollars ($650,000) shall be trans- 43 ferred annually to the cooperative welfare account in the dedicated 2 1 fund; and 2 (vi) The balance shall be transferred to the general fund. 3 (c) The remainder of the moneys received in the liquor account shall be 4 appropriated and paid as follows: 5 (i) Forty percent (40%) of the balance remaining after the transfers 6 authorized by paragraphs (a) and (b)aboveof this subsection have 7 been made is hereby appropriated to and shall be paid to the several 8 counties. Each county shall be entitled to an amount in the propor- 9 tion that liquor sales through the dispensary in that county during 10 the state's previous fiscal year bear to total liquor sales through 11 the dispensary in the state during the state's previous fiscal year, 12 except that no county shall be entitled to an amount less than that 13 county received in distributions from the liquor account during the 14 state's fiscal year 1981. 15 (dii) Sixty percent (60%) of the balance remaining after the trans- 16 fers authorized by paragraphs (a) and (b)aboveof this subsection 17 have been made is hereby appropriated to and shall be paid to the 18 several cities as follows: 19(i)1. Ninety percent (90%) of the amount appropriated to the 20 cities shall be distributed to those cities which have a liquor 21 store or distribution station located within the corporate lim- 22 its of the city. Each such city shall be entitled to an amount 23 in the proportion that liquor sales through the dispensary in 24 that city during the state's previous fiscal year bear to total 25 liquor sales through the dispensary in the state during the 26 state's previous fiscal year, except that no city shall be enti- 27 tled to an amount less than that city received in distributions 28 from the liquor account during the state's fiscal year 1981; 29(ii)2. Ten percent (10%) of the amount appropriated to the cit- 30 ies shall be distributed to those cities which do not have a 31 liquor store or distribution station located within the corpo- 32 rate limits of the city. Each such city shall be entitled to an 33 amount in the proportion that that city's population bears to 34 the population of all cities in the state which do not have a 35 liquor store or distribution station located within the corpo- 36 rate limits of the city, except that no city shall be entitled 37 to an amount less than that city received in distributions from 38 the liquor account during the state's fiscal year 1981. 39 (2) All transfers and distributions shall be made periodically, but not 40 less frequently than quarterly but, the apportionments made to any county or 41 city, which may during the succeeding three (3) year period be found to have 42 been in error either of computation or transmittal, shall be corrected during 43 the fiscal year of discovery by a reduction of apportionments in the case of 44 over-apportionment or by an increase of apportionments in the case of under- 45 apportionment. The decision of the superintendent on entitlements of counties 46 and cities shall be final, and shall not be subject to judicial review. 47 SECTION 2. An emergency existing therefor, which emergency is hereby 48 declared to exist, this act shall be in full force and effect on and after its 49 passage and approval, and retroactively to July 1, 2005.
STATEMENT OF PURPOSE RS 15494 In 1939 legislation was passed that created the Idaho State Liquor Dispensary. The Liquor dispensary was charged with administering the liquor control laws and collecting and distributing the liquor funds. The final legislation in 1939 split any revenues from liquor sales fifty-fifty between the counties of Idaho and the State General Fund. In 1953, the Distribution was amended to include Idaho cities. Today, the liquor revenues fund various programs throughout local government and the state. Some of the programs funded include substance abuse treatment, community colleges, public schools, health and human services, and public safety. During the 2005 legislative session, the state legislature was faced with a structurally unbalanced General Fund budget and a one- time opportunity to purchase water rights that would benefit cities, counties, and the state. So the legislature "borrowed" $7.2 million from unexpected growth in the 2005 liquor revenues to purchase the water rights and allow the State General Fund to remain intact. This bill distributes $7.2 million dollars back to local government over a period of four years as well as re-aligns the liquor revenue distribution to allow cities, counties, and the state to share in the revenue growth. The overall philosophy behind this proposed legislation is to ensure that local government liquor distributions remained unharmed. Make certain that revenues "borrowed" by the state to fund the water purchase agreement in 2005 are paid back. And that the distribution of future revenues is adjusted over a period of time so that government entities which share in the costs of public safety and health and human services share equally in the revenue source for such programs. The changes include: Four $1.8 million dollar payments per year from the state to the cities and the counties of Idaho in 2006 through 2009; A structural distribution change from outlined dollar amounts to a percentage basis distribution; and A phased in adjustment to the allocation of funds over a period of 10 years. FISCAL NOTE In fiscal year 2006, the net impact to the State General Fund would be an increase of $2,600,000.00. Starting in fiscal year 2010, the State General Fund would receive a 2% increase in the total net liquor funds to distribute. The State General Fund will continue to receive a 2% increase each fiscal year until 2014, at which point the state and local governments would share equally in the distribution of liquor revenues. Sponsors: Senators Cameron, Corder, Compton & Stegner Representatives Bell, Bolz, Deal & Pasley-Stuart Contact: Amy Castro, Legislative Budget & Policy Phone: 334-4745 STATEMENT OF PURPOSE/FISCAL NOTE S 1388