SENATE BILL REPORT

                   SB 5294

              As Reported By Senate Committee On:

              Commerce & Labor, February 17, 1997

Title:  An act relating to refunds for liquor licenses.

Brief Description:  Providing for a prorated refund of a liquor license if the license holder discontinues operation at a licensed establishment.

Sponsors:  Senators McCaslin and Haugen.

Brief History:

Committee Activity:  Commerce & Labor:  2/4/97, 2/17/97 [DPS].

SENATE COMMITTEE ON COMMERCE & LABOR

Majority Report:  That Substitute Senate Bill No. 5294 be substituted therefor, and the substitute bill do pass.

  Signed by Senators Schow, Chair; Horn, Vice Chair; Anderson, Franklin, Fraser, Heavey and Newhouse.

Staff:  Traci Ratzliff (786-7452)

Background:  Liquor licenses are renewed on an annual basis.  Currently, if a liquor licensee ceases operation as a liquor establishment a portion of the way through the year, the Liquor Control Board is not authorized to provide a refund for the remaining portion of the annual license fee.

Summary of Substitute Bill:  The Liquor Control Board is authorized to provide a refund of the remaining portion of an annual license fee to any license holder who voluntarily ceases operation as a liquor establishment. The Liquor Control Board is authorized to deduct any outstanding administrative penalties or fines or administrative costs associated with the issuance of the license from the licensee=s refund.

Substitute Bill Compared to Original Bill:  Language is added to clarify that only those licensees who voluntarily cease operation as a liquor establishment are eligible for a refund of the remaining portion of a license fee.

Appropriation:  None.

Fiscal Note:  Requested on January 23, 1997.

Effective Date:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  None.

Testimony Against:  None.

Testified:  No one.