Bill Status of HB 4350   94th General Assembly

Short Description:  LIQUOR-RETAIL WINE SHPMNT

House Sponsors
Rep. Lou Lang-Jay C. Hoffman-Timothy L. Schmitz-Daniel J. Burke-Mike Bost, Marlow H. Colvin, Brent Hassert, William Davis, Jack McGuire, Mike Boland and Harry R. Ramey, Jr.

Last Action  View All Actions

DateChamber Action
  1/9/2007HouseSession Sine Die

Statutes Amended In Order of Appearance
235 ILCS 5/1-3.28from Ch. 43, par. 95.28
235 ILCS 5/2-1from Ch. 43, par. 96
235 ILCS 5/5-1from Ch. 43, par. 115
235 ILCS 5/5-3from Ch. 43, par. 118
235 ILCS 5/6-4from Ch. 43, par. 121
235 ILCS 5/6-29.1
235 ILCS 5/6-29 rep.

Synopsis As Introduced
Amends the Liquor Control Act of 1934. Provides that the holder of a wine-maker's premises license may sell or offer for sale at retail in the wine-maker's licensed premises (now, in the premises specified in the license) the wine-maker's wine. Requires sales at retail to be in person. Defines "in person". Provides that, after the first retail sale in person, the licensee may sell and ship not more than 2 cases per year of the licensee's wine to that purchaser if certain requirements are met. Provides penalties for the violation of those requirements. Creates a wine-maker's tasting room license that permits a licensee concurrently holding a wine-maker's license to sell and offer for sale at retail the licensee's wine at up to 2 locations and requires the sales to be in person. Creates a non-resident wine-maker's license that permits a manufacturer of up to 100,000 gallons of wine per year that is licensed in another state to store and sell the wine in Illinois. Provides that a non-resident wine-maker licensee may sell and ship its wine at retail to residents of Illinois in the same manner as a wine maker's premises licensee. Requires non-resident wine-maker licensees to pay the same State liquor gallonage tax and State retail sales tax as a wine-maker's premises licensee. Sets license fees for wine-maker's tasting room licenses and non-resident wine-maker's licenses. Provides that a limited wine manufacturer licensee may sell wine at retail at the limited wine manufacturer's licensed premises (now, at its manufacturing site) and requires sales to be in person, except that after the first retail purchase in person the limited wine manufacturer may sell and ship wine to that purchaser without an in person purchase. Requires wine-maker premises licensees, non-resident wine-maker licensees, and limited wine manufacturer licensees to secure liquor liability insurance. Repeals a provision allowing interstate reciprocal wine shipments and deletes references to that provision. Effective immediately.

 Fiscal Note (Dept. of Revenue)
 The non-resident wine-maker's license created under House Bill 4350 would generate approximately $35,000 per year in license fees if one-half of the out-of-state wineries that shipped wine into Illinois in 2005 obtain licenses. The wine-maker's tasting room license created under House Bill 4350 would generate approximately $21,000 per year in license fees if each of the State's 60 wineries obtained one license. In 2005, Illinois wineries shipped approximately 23,800 gallons of wine directly to consumers, which generated $110,000 in State liquor tax and retail sales tax revenues. In 2005, out-of-state wineries shipped approximately 50,000 gallons of wine into Illinois, which generated approximately $255,000 in State liquor tax and retail sales tax revenues. The Department of Revenue estimates that approximately 10% of those shipments resulted from in person purchases, which means that under House Bill 4350, Illinois would generate approximately $36,500 in liquor tax and retail sales tax revenue per year from the direct shipment of wine. The combination of new license fees and reduced tax collections would generate approximately $272,500 less than the State collected in 2005 from liquor and sales taxes on wine shipped directly to consumers. However, if Illinois' existing direct shipment statutes were declared unconstitutional as similar laws were in other states, then in the absence of a legislative "fix", Illinois would be unable to collect any tax revenue from the direct shipment of wine.

Actions 
DateChamber Action
  1/3/2006HouseFiled with the Clerk by Rep. Lou Lang
  1/3/2006HouseChief Co-Sponsor Rep. Jay C. Hoffman
  1/3/2006HouseAdded Chief Co-Sponsor Rep. Timothy L. Schmitz
  1/4/2006HouseFirst Reading
  1/4/2006HouseReferred to Rules Committee
  1/10/2006HouseAssigned to Consumer Protection Committee
  1/10/2006HouseAdded Chief Co-Sponsor Rep. Daniel J. Burke
  1/10/2006HouseAdded Co-Sponsor Rep. Marlow H. Colvin
  1/11/2006HouseAdded Co-Sponsor Rep. Larry McKeon
  1/17/2006HouseAdded Co-Sponsor Rep. Brent Hassert
  1/18/2006HouseAdded Co-Sponsor Rep. William Davis
  1/18/2006HouseDo Pass / Short Debate Consumer Protection Committee; 012-001-000
  1/18/2006HousePlaced on Calendar 2nd Reading - Short Debate
  1/23/2006HouseAdded Co-Sponsor Rep. Jack McGuire
  1/31/2006HouseAdded Co-Sponsor Rep. Mike Boland
  2/15/2006HouseFiscal Note Filed
  2/23/2006HouseRemoved Co-Sponsor Rep. Larry McKeon
  2/28/2006HouseSecond Reading - Short Debate
  2/28/2006HouseHeld on Calendar Order of Second Reading - Short Debate
  3/1/2006HouseHouse Amendment No. 1 Filed with Clerk by Rep. Lou Lang
  3/1/2006HouseHouse Amendment No. 1 Referred to Rules Committee
  3/2/2006HouseHouse Amendment No. 1 Rules Refers to Consumer Protection Committee
  3/2/2006HouseAdded Chief Co-Sponsor Rep. Mike Bost
  3/2/2006HouseHouse Amendment No. 1 Recommends Be Adopted Consumer Protection Committee; 010-000-000
  3/3/2006HouseAdded Co-Sponsor Rep. Harry R. Ramey, Jr.
  3/3/2006HouseRule 19(a) / Re-referred to Rules Committee
  1/9/2007HouseSession Sine Die

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