Bill Caption

Relating to prohibited relationships between holders of certain alcoholic beverage licenses and permits.

Fiscal Notes

No significant fiscal implication to the State is anticipated.

Bill Analysis

SB 196 would amend the Alcoholic Beverage Code to rescind the nebulous term "excessive discount" as it relates to discounts offered by manufacturers to mixed beverage permit holders. The bill would also establish that an alcohol manufacturer may offer retailers transportation to an educational program at the manufacturer's facility without the offer of transportation being considered "an inducement" unless acceptance of the offer is contingent on the retailers agreeing not to sell a competitor's product. 

Finally, SB 196 would repeal a section of code which currently prohibits a person who owns or has an interest in a package store or wine only package store from offering an "excessive discount" on liquor sales. 

Vote Recommendation Notes

Texas Action supports SB 196 which would uplift several of our liberty principles by reducing some of the unnecessary regulation associated with the archaic and anti-competitive three tier system.