Washington State House of Representatives Office of Program Research	BILL ANALYSIS
Appropriations Committee

HB 1781

Brief Description:  Making payment of agency commissions for agency liquor vendor stores.

Sponsors:  Representatives H. Sommers, Sehlin, Clements, Conway and Kenney; by request of Liquor Control Board.

Brief Summary of Bill

$Agency liquor vendor stores commissions will be established by the Liquor Control Board after consultation with the director of the Office of Financial Management.

$Moneys spent for agency commissions need not be appropriated.

Hearing Date:  2/15/01

Staff:  Patricia Linehan (786‑7178).

Background: 

The Liquor Revolving Fund consists of all license fees, permit fees, penalties, forfeitures, and all other moneys, income, or revenue received by the Liquor Control Board (LCB).  The Liquor Revolving Fund is subject to the allotment controls of the Budget and Accounting Act, chapter 43.88 RCW, but an appropriation is not required to permit expenditures and payment of obligations from the fund, with the exception of LCB administrative expenses.

Administrative expenses of the LCB are appropriated and paid from the Liquor Revolving Fund. Within this category, there are a number of LCB expenses that are exempt from the appropriation process.

The retail sale of liquor is achieved in two ways.  First, the LCB operates state-run retail stores. Second, the LCB has entered into agency agreements with vendors to sell liquor in areas that do not have state-run stores.  The LCB pays an agency commission to these vendors.  Expenditures for these commissions are not exempt from the appropriation process.

Summary of Bill: 

Agency commissions for agency liquor vendor stores are exempt from the appropriation process. The LCB may make expenditures for this purpose without an appropriation.

Agency commissions for agency liquor vendor stores will be established by the LCB after consultation with the director of the OFM.

Appropriation:  None.

Fiscal Note:  Available.

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