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Minutes for HB2133 - Committee on Federal and State Affairs

Short Title

Required reporting for entities who deliver alcoholic liquors to consumers.

Minutes Content for Thu, Feb 14, 2019

Chairperson Barker opened the hearing on HB2133.  Jason Long, Revisor, provided an overview of the bill (Attachment 1)

Chairperson Barker recognized Tuck Duncan as a proponent on HB2133 (Attachment 2) (Attachment 2A).  There are 681 out-of-state wineries that have special order shipping permits in Kansas; that is, orders that were shipped directly to the consumers.  In 2017 there were over 500,000 bottles of wine shipped to Kansas that they know of.  The question became how many bottles are being shipped in that the State is not aware of.  This bill would require common carriers to submit their data regarding shipments of alcohol to consumers in the state to the Alcoholic Beverage Control Division (ABC).  The ABC will then have the data necessary to differentiate between legal and illegal sales and shipments and be in a position to collect escaped taxes. Questions were asked by Representatives Humphries, Resman, Jacobs and Carpenter.  Mr. Duncan was asked to provide information relating to any shipments that are done by rail. 

Debbi Beavers testified on behalf of the ABC as a proponent of HB2133 (Attachment 3).  This measure would help the ABC identify who is illegally shipping alcoholic liquor into Kansas.  In addition, gallonage tax and liquor enforcement tax collections will increase if those shippers obtain the special order shipping license and pay the appropriate taxes.  Chairperson Barker and Representative Awerkamp had questions for Ms. Beavers.

Chairperson Barker called upon Amy Campbell to testify, but she was not present.  He noted that she had submitted written testimony in support of HB2133 (Attachment 4). Jason Watkins also submitted written testimony in support of the bill (Attachment 5)

Chairperson Barker asked if there were any further conferees.  There were none.  He stated that the Committee may work this bill next Tuesday or Wednesday.

Chairperson Barker closed the hearing on HB2133