SENATE BILL REPORT

                   SB 5664

              As Reported By Senate Committee On:

              Commerce & Labor, February 25, 1997

Title:  An act relating to credit and debit card purchases in state liquor stores.

Brief Description:  Allowing credit and debit card purchases in state liquor stores.

Sponsors:  Senators Horn, Bauer, Sheldon and Schow.

Brief History:

Committee Activity:  Commerce & Labor:  2/20/97, 2/25/97 [DPS, DNPS].

SENATE COMMITTEE ON COMMERCE & LABOR

Majority Report:  That Substitute Senate Bill No. 5664 be substituted therefor, and the substitute bill do pass.

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

Minority Report:  Do not pass substitute.

  Signed by Senators Franklin and Heavey.

Staff:  Traci Ratzliff (786-7452)

Background:  In 1996, the Legislature authorized a pilot project allowing individuals to use credit and debit cards to purchase liquor in up to 20 state liquor stores.  The board was directed to complete a study of the pilot project and provide a report to the Legislature by January 1, 1998.

Summary of Substitute Bill:  Individuals are authorized to use credit or debit cards to purchase liquor at all state liquor stores, including agency liquor stores.  The Liquor Control Board must provide a report to the Legislature by January 1, 1998 regarding the implementation of this act.  The Liquor Control Board is authorized to utilize funds from the liquor revolving fund for the transaction fees associated with credit card purchases.

Substitute Bill Compared to Original Bill:  The substitute bill makes only a technical change to the original bill.

Appropriation:  None.

Fiscal Note:  Requested on February 5, 1997.

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

Testimony For:  The pilot program utilizing credit and debit cards in 20 liquor stores has been a success. Customers indicate they like being able to use credit cards to purchase liquor in state liquor stores.  Customers in other stores that do allow the use of credit cards ask when they will be able to use them in the store.

Testimony Against:  None.

Testified:  PRO:  Mike Donaldson, Liquor Control Board; Brian Harris, Tammy Warnke, Distilled Spirits Council of the U.S.; Jim Halstrom, Joseph Seagrams & Sons; Sharon Foster, Washington Wine Institute.