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Relating to the sale by certain alcoholic beverage permit or
license holders of alcoholic beverages at a cost below the cost to
No significant fiscal implication to the State is anticipated.
HB 2165 would prohibit the holder of a permit or license authorizing the retail sale of alcoholic beverages for off-premise consumption from selling an alcoholic beverage at retail for off-premise consumption at a cost less than the retailer's cost. The bill requires proof of the retailer's cost for alcoholic beverages to become a part of the permanent records of each such permit or license holder, and to be available for two years for inspection by the Texas Alcoholic Beverage Commission (TABC). The bill would exempt the sale of a specific alcoholic beverage product from this prohibition if the manufacturer has discontinued the product.
Texas Action opposes HB 2165 for violating the principles of limited government and free markets. This is a wholly unnecessary bill which would add undue and unreasonable regulatory requirements upon private businesses. It is not the state's business to determine at what price private businesses should sell their products; the natural forces of free market competition will make those determinations.