ISSU Testimony Before the Senate Law and Justice Commitee on June 4, 2013 in Harrisburg – Privatization

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ISSU Testimony Before the House Democratic Policy Commitee on March 6, 2013 in Erie – Privatization

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ISSU Testimony Before the House Democratic Policy Committee on March 27, 2013 in Abington – Privitization

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ISSU Testimony Before the House Democratic Policy Committee on April 2, 2013 in Scranton – Privitization

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Below are bills currently in the PA House and Senate that have a possible negative effect on the overall state store system in Pennsylvania.

HOUSE BILL 790 (PN 969,1207,1246,2139, current-2191)

SENATE BILL 100 (PN 463)

SENATE BILL 800 (PN 932)

HOUSE BILL 220 (PN 224)

HOUSE BILL 730 (PN 832)

HOUSE BILL 190 (PN 197)


HOUSE BILL 790 (PN 969,1207, 1246, 2139,- current 2191)

Privatization:Requires state stores to be closed when beer distributors and importing distributors with a wine and spirits license exceeds the number of state stores in a county two-to-one. Provides factors to be considered by the PLCB when determining if a state store in a particular municipality should be closed. Allows beer distributors to sell beer, wine and spirits. Allows restaurants and taverns to sell wine and beer. Eliminates the prohibition of the sale of alcohol at locations with a gas pump. Extends operating hours to 8:00 a.m. to 11:00 p.m. for all licensees and state stores. Eliminates Johnstown Flood Tax. Provides an 18% discount to permit holders off board prices. Permits PLCB to offer flexible pricing in state stores. Provides for direct shipment of wine. Allows for manufacturers coupons. Allows for the leasing of the wholesale system for ten years if such lease is found to increase profits for the Commonwealth. Provides for package reform allowing restaurants, hotels or eating licensees to sell three six-packs or one twelve-pack, and beer distributors to sell manufactured packaged six-packs.  
Sponsors:Turzai (R-Allegheny)
Saylor (R-York)
Evankovich (R-Armstrong/Westmoreland)
Reese (R-Fayette/Westmoreland)
Saccone (R-Allegheny/Washington)
Stevenson (R-Butler/Mercer)
Major (R-Susquehanna/Wayne/Wyoming)
Lawrence (R-Chester)
Gingrich (R-Lebanon)
Dunbar (R-Westmoreland)
Greiner (R-Lancaster)
Aument (R-Lancaster)
Helm (R-Dauphin)
Mustio (R-Allegheny)
Bloom (R-Cumberland)
Harris, C. (R-Juniata/Mifflin/Snyder)
Regan (R-Cumberland/York)
Grove (R-York)
Kampf (R-Chester/Montgomery)
Corbin (R-Chester)
Mackenzie (R-Berks/Lehigh)
Reed (R-Indiana)
McGinnis (R-Blair)
Knowles (R-Berks/Schuylkill)
Everett (R-Lycoming)
Gillespie (R-York)
Moul (R-Adams/Franklin)
Killion (R-Chester/Delaware)
Miller (R-York)
Milne (R-Chester)
Gabler (R-Clearfield/Elk)  
History:Referred to House Liquor Control Committee – March 11, 2013
Reported from House Liquor Control Committee as amended – March 18, 2013
Second Consideration and Amendments – March 20, 2013
Third Consideration and Final Passage – March 21, 2013 (105-90)
Referred to Senate Law and Justice Commitee – April 3, 2013
Reported as Amended – June 24, 2013
First Consideration – June 24, 2013
Second Consideration – June 25, 2013
Amended on Third Consideration – June 28, 2013
Re-referred to Appopriations – June 28, 2013

SENATE BILL 100 (PN 463-current 1280)

Privatization/
Modernization:
Temporarily retains state stores, but only if the PLCB determines the financial viability of individual stores and whether the surrounding area is adequately served by the private sector.
Allows current alcohol licensees to sell wine and spirits to-go with the purchase of a special permit. Allows eating place, restaurant and hotel licensees or beer distributors to sell wine and/or spirits to-go. Extends operating hours to 8:00 a.m. to 11:00 p.m. for all licensees and state stores. Eliminates Johnstown Flood Tax. Provides an 18% discount to permit holders off board prices. Permits PLCB to offer flexible pricing in state stores. Provides for direct shipment of wine. Allows for manufacturers coupons. Retains the wholesale operations, but requires the Legislative Budget and Finance Committee to conduct a study to assess the wholesale market in Pennsylvania two years following the effective date of the legislation to determine the viability of selling the wholesale operation. Provides for package reform allowing restaurants, hotels or eating place licensees to sell four six-packs or two twelve-packs, and beer distributors to sell manufactured packaged six-packs.
 
Sponsors:McIlhinney (R-Bucks/Montgomery)
Alloway (R-Adams/Franklin/York)
White (R-Armstrong/Butler/Clarion/Indiana/Westmoreland)
Yaw (R-Bradford/Lycoming/Sullivan/Susquehanna/Union)
Scarnati (R-Cameron/Clearfield/Elk/Jefferson/McKean/Potter/Tioga/Warren)
Yudichak (D-Carbon/Luzerne/Monroe)
Browne (R-Lehigh/Monroe/Northampton)
Mensch (R-Bucks/Lehigh/Montgomery/Northampton)
Corman (R-Centre/Juniata/Mifflin/Perry/Union)  
History:Referred to Senate Law & Justice Committee – February 13, 2013
Reported as Amended – June 24, 2013
First Consideration – June 24, 2013
Second Consideration – June 25, 2013
Laid on Table – July 3, 2013

SENATE BILL 800 (PN 932)

Modernization:Replaces “proportional pricing” with “uniform pricing.”  Permits the PLCB to assign the markup of a particular item between 25% to 35% – as long as the price is uniform throughout the Commonwealth.;  Removes retail wine specialists from civil service; thereby, making them at-will employees.;  Removes PLCB from Procurement Code.;  Establishes for implementation a customer relations marketing program allowing the PLCB to offer coupons and discounts to customers.;  Permits PLCB to open as many stores on Sunday as it deems necessary.  Extends Sunday operating hours from 9:00 a.m. until 9:00 p.m.;  Increases the licensee discount from 10% (current) to 16%.;  Package reform (malt beverage): Authorizes beer distributors to sell six-packs and restaurants to sell cases.;  Permits direct shipment of wine up to eighteen liters per month.  
Sponsors:Ferlo (D-Allegheny)
Kasunic (D-Fayette)
Fontana (D-Allegheny)
Farnese (D-Philadelphia)
Yudichak (D-Luzerne)
Blake (D-Lackawanna)
Costa (D-Allegheny)
Hughes (D-Philadelphia)
Solobay (D-Washington)
Schwank (D-Berks)
Stack (D-Philadelphia)
Leach (D-Montgomery)  
Dinniman (D-Chester)
Tartaglione (D-Philadelphia)
Teplitz (D-Dauphin)
Smith (D-Allegheny)
Boscola (D-Northampton)
Wozniak (D-Cambria)
Williams (D-Philadelphia)
Washington (D-Philadelphia)
Kitchen (D-Philadelphia)
Greenleaf (R-Montgomery)
Brewster (D-Allegheny)
Wiley (D-Erie)
History:Introduced and referred to Senate Law & Justice Committee – April 16, 2013

HOUSE BILL 220 (PN 224)

Privatization:Establishes the Infrastructure Future Fund with proceeds from the privatization of the PLCB retail and wholesale wine and liquor operations, including any wine or liquor inventory owned and maintained by the board/liquor stores, to be used to pay for construction costs of authorized infrastructure projects.  
Sponsors:Knowles (R-Berks/Schuylkill)
Everett (R-Lycoming)
Metcalfe (R-Butler)
Maloney (R-Berks)
Bloom (R-Cumberland)
Truitt (R-Chester)
Simmons (R-Lehigh/Northampton)
Aument (R-Lancaster)
Emrick (R-Northampton)
Fleck (R-Blair/Huntingdon/Mifflin)
Toepel (R-Montgomery)
Hahn (R-Northampton)
Watson (R-Bucks)
Rock (R-Franklin)
Grove (R-York)
Saylor (R-York)
Day (R-Berks/Lehigh)
Miller (R-York)
Gillen (R-Berks)
Gabler (R-Clearfield/Elk)
Murt (R-Montgomery/Philadelphia)  
History:Introduced and referred to House Transportation Committee – January 22, 2013

HOUSE BILL 730 (PN 832)

Allows PLCB to remove themselves from the Civil Service Act (employees would serve at the pleasure of the Board and no longer be considered members of the classified service), Administrative Code (Office of Administration oversight) and Procurement Code.

Note: An employee’s Civil Service classification would remain in effect as long as employee remains in the classification held on the effective date of the legislation.

Sponsors:Petri (R-Bucks)
Kortz (D-Allegheny)
Caltagirone (D-Berks)
Milne (R-Chester)
Gingrich (R-Lebanon)  
History:Referred to House Liquor Control Committee – February 14, 2013

HOUSE BILL 190 (PN 197)

Allows the PLCB to open as many stores on Sunday as it deems necessary. Establishes and implements the Customer Relations Marketing Program for the purpose of offering customer incentives (coupons or discounts): Increases fines for licensees.

Sponsors:Payne (R-Dauphin)
Dunbar (R-Westmoreland)
O’Brien (R-Bucks)
D. Costa (D-Allegheny)
Millard (R-Columbia)
Kortz (D-Allegheny)
Readshaw (D-Allegheny)
Moul (R-Adams/Franklin)
Mundy (D-Luzerne)
Rozzi (D-Berks)
Gibbons (D-Beaver/Butler/Lawrence)
Murt (R-Montgomery/Philadelphia)
DeLuca (D-Allegheny)
Molchany (D-Allegheny)  
History:Introduced and referred to House Liquor Control Committee – January 22, 2013