Print Friendly SENATE BILL NO. 1223 – Liquor, sales, surcharge
SENATE BILL NO. 1223
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S1223......................................................by STATE AFFAIRS
LIQUOR - SURCHARGE - Amends existing law to authorize the superintendent of
the Liquor Dispensary to establish the rate of surcharge for sales to
liquor by the drink licensees by rule; and to eliminate a discount.
02/15 Senate intro - 1st rdg - to printing
02/16 Rpt prt - to St Aff
02/23 Rpt out - rec d/p - to 2nd rdg
02/24 2nd rdg - to 3rd rdg
03/01 3rd rdg - FAILED - 13-22-0
AYES--Bunderson, Cameron, Darrington, Davis, Frasure, Geddes,
Hawkins, Ipsen, Lee, Parry, Richardson, Thorne, Twiggs
NAYS--Andreason, Boatright, Branch, Burtenshaw, Crow, Danielson,
Deide, Dunklin, Ingram, Keough, King, McLaughlin, Noh, Riggs, Risch,
Sandy, Schroeder, Sorensen, Stegner, Stennett, Wheeler, Whitworth
Absent and excused--None
Floor Sponsor - Bunderson
Filed with Secretary of the Senate
|||| LEGISLATURE OF THE STATE OF IDAHO ||||
Fifty-fifth Legislature First Regular Session - 1999
IN THE SENATE
SENATE BILL NO. 1223
BY STATE AFFAIRS COMMITTEE
1 AN ACT
2 RELATING TO SALES OF LIQUOR TO LICENSEES; AMENDING SECTION 23-217, IDAHO CODE,
3 TO AUTHORIZE THE SUPERINTENDENT TO ESTABLISH THE SURCHARGE RATE BY RULE
4 AND TO ELIMINATE A DISCOUNT.
5 Be It Enacted by the Legislature of the State of Idaho:
6 SECTION 1. That Section 23-217, Idaho Code, be, and the same is hereby
7 amended to read as follows:
8 23-217. SURCHARGE ADDED TO PRICE OF GOODS SOLD -- COLLECTION AND REMIS-
9 SION BY SUPERINTENDENT. (a) The superintendent of the state liquor dispensary
10 is hereby authorized and directed to include in the price of goods hereafter
11 sold in the dispensary, and its branches, a surcharge equal to fifteen
12 per cent (15%) at a percentage established by rule of the
13 current price per unit computed to the nearest multiple of five cents (5[).
14 Provided, however, that after the price of the surcharge has been
15 included the superintendent of the state liquor dispensary is hereby autho-
16 rized and directed to allow a discount of five per cent (5%) from the price of
17 each order of goods sold to any licensee, as defined in section 23-902e.,
18 Idaho Code.
19 (b) The surcharge imposed pursuant to this section shall be collected and
20 credited to the liquor account.
STATEMENT OF PURPOSE
The purpose of this legislation is to do the following:
1. Eliminate the 5% exclusive general sales discount given by
the Idaho State Liquor Dispensary (ISLD) to liquor
ISLD gives no such discount to its other customers. Such
exclusive discount is contrary to the law requiring ISLD provide
uniform pricing to all its customers.
The 5% exclusive price discount given to licensees came
about decades ago to compensate for a requirement that licensees
purchase alcohol beverages from ISLD in unbroken case lots.
Today, licensees may purchase the product in any quantity.
This special sales price discount is no longer warranted
and should be eliminated. Licensees will continue to receive a
5% sales tax resale discount. By law, sales tax is included in
the sales price of ISLD products. Albeit, such sales tax does
not go to the sales tax account, it goes into the ISLD income
2. Eliminate the obsolete 15% surcharge language in Code. The
surcharge relates to prices in effect when the law was
passed as a ''tax'' revenue generating law in 1981. ISLD
prices today are greater than 15% over 1981 prices, thus this
law no longer has any relevance.
Removal of this price discount will increase ISLD profits and
the resulting cash distribution to cities and counties by an
estimated $950,000 annually.
CONTACT: Senator Harold Bunderson
STATEMENT OF PURPOSE/ FISCAL NOTE S1223