Bill: HB 3015, 84(R) - 2015

Committee

House Licensing & Administrative Procedures

Vote Recommendation

Vote Recommendation Economic Freedom Property Rights Personal Responsibility Limited Government Individual Liberty
No Negative Neutral Neutral Negative Neutral

Author(s)

Charlie Geren

Bill Caption

Relating to production requirements for holders of winery permits; establishing minimum annual production requirements for permit holders.

Fiscal Notes

The fiscal implications of the bill cannot be determined at this time due to the unavailability of data on the number of winery permit holders that would not meet the requirements of the bill and the indeterminate fiscal impact on related fees and revenue.

The bill would amend the Alcoholic Beverage Code as it relates to specific production requirements and activities,as described in the bill, for winery permit holders. Failure to comply with the requirements could be grounds for the Texas Alcoholic Beverage Commission (TABC) to cancel or suspend a winery permit, or deny a winery permit renewal. TABC anticipates any additional work resulting from the passage of the bill could be reasonably absorbed within current resources. The Comptroller of Public Accounts (CPA) indicates the bill would likely affect storefront wineries that typically do not manufacture wine in quantities sufficient to meet the requirements of the bill. This would likely lead to a decrease in winery permit fees but could be offset by an increase in other permit fees if these businesses chose to obtain a different type of permit to sell wine manufactured by other wineries. The net fiscal impact cannot be determined by the CPA at this time.  

Bill Analysis

HB 3015 would require the holder of a winery permit to produce, bottle, or blend at least 200 gallons of wine or fruit brandy annually beginning in the 12-month period preceding the third anniversary of the date the winery's original permit is issued. Failure to comply would with these provisions would be grounds to cancel or suspend a winery permit or deny an application for renewal of a winery permit.

Vote Recommendation Notes

HB 3015 would push out smaller wine producers who do not meet these new production requirements. Not only is it not within the proper scope of government to mandate private firm production requirements, this bill would fundamentally alter the free market by wiping out smaller firms who don't wish or have the capability to operate at a larger scale. We are opposed to this legislation. 

Source URL (retrieved on 04/19/2024 02:04 AM): http://reports.texasaction.com/bill/84r/hb3015?print_view=true