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Committee approves alcohol‑shipping reporting bill; DFA estimates $22,000 portal cost
Summary
Senate Bill 447, a reporting measure to capture out-of-state alcohol shipments into Arkansas, passed the House Rules Committee with industry and wholesaler support; the Department of Finance and Administration estimated a $22,000 programming cost to create an online portal.
Representative R.J. Hawk, State Representative, District 81, presented Senate Bill 447 to the House Rules Committee as a tracking measure intended to capture data on alcohol shipments into Arkansas and inform future policy and tax decisions.
Supporters from the wholesale and retail beverage industry and logistics companies told the committee the bill was developed in coordination with carriers and the Arkansas Trucking Association and has no known opposition. Stan Hastings, president and CEO of Moon Distributors, and John Crowe, owner of 107 Liquor and president of the United Beverage Retailers of Arkansas, told the committee they support the bill because unlawful out-of-state shipments are occurring and there is currently no way to measure the volume or tax loss.
"It's just important to have out-of-state people held to the same standards that we are," Stan Hastings said.
Representative Hawk said the reporting requirement would be limited to shipment origins and not include consumer names or addresses. Paul Gearing of the Arkansas Department of Finance and Administration told committee members DFA issued a fiscal-impact estimate and would create an online portal for quarterly reporting; he provided a programming estimate of about $22,000 to establish the portal.
"We did provide a programming estimate of about $22,000 to establish that portal," Paul Gearing said.
Committee members heard no opposition on the record and voted to pass the bill; the committee recorded the measure as passed by voice vote. Representative Hawk made the motion to pass and the chair announced the bill passed.
The measure requires out-of-state shippers to file quarterly reports to the state; the committee record indicates the reports are intended to provide data to inform enforcement and future policy and to estimate tax revenue lost to out-of-state shipments. The Department of Finance and Administration will host the reporting portal under the bill as presented in committee.
