Bill Text: CT HB05428 | 2014 | General Assembly | Introduced


Bill Title: An Act Concerning A Floor Stock Allowance For Beer.

Spectrum: Committee Bill

Status: (Introduced - Dead) 2014-02-28 - Public Hearing 03/06 [HB05428 Detail]

Download: Connecticut-2014-HB05428-Introduced.html

General Assembly

 

Raised Bill No. 5428

February Session, 2014

 

LCO No. 1737

 

*01737_______GL_*

Referred to Committee on GENERAL LAW

 

Introduced by:

 

(GL)

 

AN ACT CONCERNING A FLOOR STOCK ALLOWANCE FOR BEER.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. Section 30-94 of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):

(a) No permittee or group of permittees licensed under the provisions of this chapter, in any transaction with another permittee or group of permittees, shall directly or indirectly offer, furnish or receive any free goods, gratuities, gifts, prizes, coupons, premiums, combination items, quantity prices, cash returns, loans, discounts, guarantees, special prices or other inducements in connection with the sale of alcoholic beverages or liquors. No such permittee shall require any purchaser to accept additional alcoholic liquors in order to make a purchase of any other alcoholic liquor.

(b) Notwithstanding the provisions of subsection (a) of this section and subsection (b) of section 30-63, a holder of a manufacturer permit issued under subsection (a) of section 30-16 or an out-of-state shipper's permit for alcoholic liquor other than beer issued under section 30-18 may offer and provide to a holder of a wholesaler permit issued under subsection (a) of section 30-17 a floor stock allowance or a depletion allowance, or both, with the prior approval of the department. Such allowances shall be offered and provided on a nondiscriminatory basis to all such wholesaler permittees authorized to distribute the products of any such manufacturer or out-of-state shipper permittee in accordance with such requirements as the department may prescribe by regulation adopted [under] in accordance with the provisions of chapter 54, provided (1) no such manufacturer or out-of-state shipper permittee may require any such wholesaler permittee to participate in any program providing such allowances, and (2) the rate or percentage used to calculate any such allowance may not vary based on the quantity of alcoholic liquor other than beer that is sold. As used in this subsection, "floor stock allowance" means any rebate, discount or other inducement that is given to a wholesaler permittee to be used for the sales promotion or the destruction of any alcoholic liquor other than beer that is stored in the wholesaler permittee's warehouse or other storage facilities at the time such rebate, discount or other inducement is given, and "depletion allowance" means any rebate, discount or other inducement used for the sales promotion of any alcoholic liquor other than beer that is given to a wholesaler permittee based on the amount of such alcoholic liquor subject to such promotion that is sold at wholesale by the wholesaler permittee.

(c) (1) Notwithstanding the provisions of subsection (a) of this section and subsection (b) of section 30-63, a holder of a manufacturer permit for beer issued under subsection (b) of section 30-16, a manufacturer permit for a brew pub issued under subsection (f) of section 30-16 or an out-of-state shipper's permit for beer issued under section 30-19 may offer and provide to a holder of a wholesaler permit for beer issued under subsection (b) of section 30-17 a floor stock allowance, with the prior approval of the department. Such allowance shall be offered and provided on a nondiscriminatory basis to all such wholesaler permittees authorized to distribute the products of any such manufacturer or out-of-state shipper permittee in accordance with such requirements as the department may prescribe by regulation adopted in accordance with the provisions of chapter 54, provided (A) no such manufacturer or out-of-state shipper permittee may require any such wholesaler permittee to participate in any program providing such allowances, and (B) the rate or percentage used to calculate any such allowance may not vary based on the quantity of beer that is sold. As used in this subsection, "floor stock allowance" means any rebate, discount or other inducement that is given to a wholesaler permittee to be used for the sales promotion or the destruction of any beer that is stored in the wholesaler permittee's warehouse or other storage facilities at the time such rebate, discount or other inducement is given.

(2) A floor stock allowance provided under this subsection shall be paid to the wholesaler permittee not later than thirty business days after a manufacturer or out-of-state shipper receives verification from the wholesaler that the payment amount is accurate for the applicable month's promotion. Any claim made by a party regarding an allowance payment shall be made not later than six months from the date of the payment.

This act shall take effect as follows and shall amend the following sections:

Section 1

July 1, 2014

30-94

Statement of Purpose:

To authorize a floor stock allowance for beer.

[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]

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