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

SPONSOR Vigil

ORIGINAL DATE

LAST UPDATED

2/06/06

2/10/06 HB 721/aHTRC

SHORT TITLE Sunday Alcohol Sales at 11AM

SB

ANALYST McSherry

REVENUE (dollars in thousands)

Estimated Revenue

Recurring

or Non-Rec

Fund

Affected

FY06

FY07

FY08

$28.0

Recurring General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

House Bill 721 is a companion to Senate Bill 670.

SOURCES OF INFORMATION

LFC Files

Responses Received From

Regulation and Licensing Department (RLD)

Department Public Safety (DPS)

SUMMARY

Synopsis of HTRC Amendments

House Taxation and Revenue Committee amendment is technical in nature and strikes the word

“noon” which conflicted with the newly proposed time of 11 a.m. for alcohol sales on Sunday.

Synopsis of Original Bill

House Bill 721 proposes to change the legal hour of Sunday alcohol sales for dispensers, restau-

rant licensees and clubs, from 12 noon to 11 am. The bill also would increase the Sunday Sales

permit fee from $100 to $150.

FISCAL IMPLICATIONS

The bill proposes to increase the Sunday Sale permitting fee from $100 to $150; There are cur-

rently 570 permits in New Mexico. Assuming all permits would renew in FY07 and in the fu-

ture, the increase in revenues would be $50/license x 570 licenses = $28,500.00

House Bill 721/aHTRC – Page 2

SIGNIFICANT ISSUES

Currently all alcohol sales on Sundays are limited to after 12 noon.

Earlier alcohol sales on Sunday would likely increase sales for Sunday brunches at restaurants,

or at weekend events for canopy sales.

CONFLICT, DUPLICATION, COMPANIONSHIP, RELATIONSHIP

House Bill 721 is a companion bill to Senate Bill 670.

WHAT WILL BE THE CONSEQUENCES OF NOT ENACTING THIS BILL

Alcohol sales would not be legal before 12 noon and the Sunday Sales permit would cost $100

rather than $150.

Patrons will not be able to purchase alcohol before noon.

POSSIBLE QUESTIONS

1.

What is the expected increase in alcohol sales due to the change in legal hour of Sunday

sales.

2.

Is the number of vendors renewing their licenses expected to change with the $50 in-

crease in permit fee and change in legal time of sales.

EM/yr