Bill Text: WV HB3146 | 2019 | Regular Session | Introduced
Bill Title: Relating to retail licensees
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2019-02-27 - House rejected (Roll No. 388) [HB3146 Detail]
Download: West_Virginia-2019-HB3146-Introduced.html
WEST virginia legislature
2019 regular session
Originating
House Bill 3146
By Delegate Howell
[Originating in the Committee on Government Organization; Reported on February 22, 2019]
A BILL to amend and reenact §60-3A-17 of the Code of West Virginia, 1931, as amended, relating to requiring retail licensees to purchase a minimum amount of the available SKUs from the commissioner; removing square footage requirements to conduct or restrict alcohol sales; establishing certain conditions for a retail licensee to display at least one of every SKU for sale by a retail licensee to its patrons; requiring the commissioner to supply or reasonably attempt to supply a prepaid order for a retail licensee; and establishing an effective date for changes to this article.
Be it enacted by the Legislature of West Virginia:
article 3A. sales by retail liquor licensees.
§60-3A-17. Wholesale prices set by commissioner; retail licensees to purchase liquor from state; transportation and storage; method of payment; removing square footage requirements to conduct alcohol sales; special orders through retail licensees.
(a) The commissioner shall fix wholesale prices for the sale of liquor, other than wine, to retail licensees. The commissioner shall sell liquor, other than wine, to retail licensees according to a uniform pricing schedule. The commissioner shall obtain, if possible, upon request, any liquor requested by a retail licensee and those permitted to manufacture and sell liquor pursuant to §60-4-3 of this code.
(b) Wholesale prices shall be established in order to yield a net profit for the General Revenue Fund of not less than $6,500,000 annually on an annual volume of business equal to the average for the past three years. The net revenue derived from the sale of alcoholic liquors shall be deposited into the General Revenue Fund in the manner provided in §60-3-17 of this code.
(c) Notwithstanding any provision of this code to the contrary, the commissioner shall specify the maximum wholesale markup percentage which may be applied to the prices paid by the commissioner for all liquor, other than wine, in order to determine the prices at which all liquor, other than wine, will be sold to retail licensees. A retail licensee shall purchase all liquor, other than wine, for resale in this state only from the commissioner, and the provisions of §60-6-12 and §60-6-13 of this code shall not apply to the transportation of the liquor. A retail licensee must purchase at least 200 of the available stock keeping units (“SKUs”) the commissioner offers at the warehouse where the retail licensee purchases its liquor: Provided, That a retail licensee shall purchase wine from a wine distributor who is duly licensed under §60-8-1 et seq. of this code. All liquor, other than wine, purchased by retail licensees shall be stored in the state at the retail outlet or outlets operated by the retail licensee: Provided, however, That the commissioner, in his or her discretion, may upon written request permit a retail licensee to store liquor at a site other than the retail outlet or outlets.
(d) The sale of liquor by the commissioner to retail licensees shall be paid by electronic funds transfer which shall be initiated by the commissioner on the business day following the retail licensees order or by money order, certified check or cashier’s check which shall be received by the commissioner at least 24 hours prior to the shipping of the alcoholic liquors: Provided, That if a retail licensee posts with the commissioner an irrevocable letter of credit or bond with surety acceptable to the commissioner from a financial institution acceptable to the commissioner guaranteeing payment of checks, then the commissioner may accept the retail licensee's checks in an amount up to the amount of the letter of credit.
(e) (1) A retail licensee
may not sell liquor to persons licensed under the provisions of §60-7-1 et
seq. of this code at less than 110 115 percent of the retail
licensee’s cost as defined in §47-11A-6 of this code.
(2) A retail licensee may
not sell liquor to the general public at less than 110 115 percent
of the retail licensee’s cost as defined in §47-11A-6 of this code.
(f) The commissioner is not permitted to require a retail licensee to have a particular amount of square footage to conduct alcohol sales or to limit alcohol sales: Provided, That a retail licensee have enough shelf or display space to display at least one of every SKU offered for sale to its patrons.
(g) The commissioner is not permitted to deny any special order or prepaid order from a retail licensee attempting to procure the product for the retail licensee’s patron. The commissioner may supply the order through a warehouse’s standard stock or its special-order stock. If the commissioner does not have the prepaid order in stock at any warehouse in this state, the commissioner must make reasonable attempts to procure the order for the retail licensee.
(h) (h) The requirement to purchase at least 200 SKUs in subsection (c) does not go into effect for the current 2010-2020 licensing period but will be effective for the upcoming licensing period, designated 2020-2030, and for all future licensing periods.
NOTE: The purpose of this bill is to require retail licensees to purchase a minimum amount of the available SKUs from the commissioner; remove square footage requirements to conduct or restrict alcohol sales; establish certain conditions for a retail licensee to display at least one of every SKU for sale by a retail licensee to its patrons; require the commissioner to supply or reasonably attempt to supply a prepaid order for a retail licensee; and establish an effective date for changes to this article
Strike-throughs indicate language that would be stricken from a heading or the present law and underscoring indicates new language that would be added.
