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F I S C A L I M P A C T R E P O R T

SPONSOR HBIC

DATE TYPED 03/11/05 HB 948/HBICS

SHORT TITLE Allow the Removal of Partially Consumed Wine

SB

ANALYST McSherry

APPROPRIATION

Appropriation Contained Estimated Additional Impact Recurring

or Non-Rec

Fund

Affected

FY05

FY06

FY05

FY06

NFi

NFI

NFI

NFI Recurring General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

Regulations and Licensing Department (RLD)

Department of Public Safety (DPS)

SUMMARY

Synopsis of Substitute Bill

HB-948 as substituted in the House Business and Industry Committee proposes to enact a new

section of the liquor control act that would allow customers to remove a partially consumed bot-

tle of wine from a restaurant that is a licensed premises. The wine would have to be re-corked

and resealed in the same container and a copy of the customer receipt is attached to the bottle

The proposed committee substitute would also amend the “Consumption or Possession of Alco-

holic Beverages in Open Containers in a Motor Vehicle Prohibited- Exceptions” section to in-

clude an exception to the provisions should the beverage be a resealed bottle of wine permitted

pursuant to the newly proposed section of the Liquor Control Act.

Significant Issues

The proposed change would allow customers purchasing a bottle of wine from canopy licensees

or restaurants to purchase a bottle of wine for both on-premise and off-premise consumption and

would allow the legal transportation of the said beverage in a motor vehicle.

House Bill 948/HBICS -- Page 2

The customer would be required to purchase a full course meal and have consumed a portion of

the bottle of wine that is to be removed from the licensed premises.

The proposed bill would provide an exception to current statute:

Section 60-6A-4. Restaurant license.

B. After the approval of restaurant licenses by the registered qualified electors of the lo-

cal option district and upon completion of all requirements in the Liquor Control Act [60-

3A-1 NMSA 1978] for the issuance of licenses, a restaurant located or to be located

within the local option district may receive a restaurant license to sell, serve or allow the

consumption of beer and wine subject to the following requirements and restrictions:

(5) restaurant licensees shall not sell beer and wine for consumption off the licensed

premises;

FISCAL IMPLICATIONS

There may be additional revenue made by liquor sales licensees as a result of the proposed bill.

OTHER SUBSTANTIVE ISSUES

Currently only full dispensers, retailers, winegrowers, and microbrewers can sell for off-premise

consumption

.

ALTERNATIVES

Additional amendments could be made to the cited statutes regarding alcohol sales.

WHAT WILL BE THE CONSEQUENCES OF NOT ENACTING THIS BILL.

Patrons will continue to purchase wine by the glass when a full bottle is too much for one or two

patrons.

When a bottle of wine is purchased for on-premise consumption, any wine not consumed on-

premise will be discarded.

In the event patrons desire more than a glass of wine they can purchase a sealed bottle from a

licensed retailer or dispenser authorized to sell alcoholic beverages for off-premise consumption.

EM/yr