128th MAINE LEGISLATURE
LD 56 LR 95(02)
An Act To Include 50 Milliliter and Smaller Liquor Bottles in the Laws Governing Returnable Containers
Fiscal Note for Bill as Amended by Committee Amendment " "
Committee: Environment and Natural Resources
Fiscal Note Required: Yes
             
Fiscal Note
FY 2017-18 FY 2018-19 Projections  FY 2019-20 Projections  FY 2020-21
Appropriations/Allocations
State Alcoholic Beverage Fund $1,048,475 $1,300,000 $1,300,000 $1,300,000
Revenue
Other Special Revenue Funds $1,280 $1,280 $1,280 $1,280
Fiscal Detail and Notes
This bill would include 50 milliliter and smaller wine or spirits bottles in the state bottle redemption program.  Because the bottle redemption program is included in the spirits administration contract with Pine State Trading Company, this change would require the contract be renegotiated. The spirits contract vendor would be required to affix redemption stickers to existing inventory in stock and all future inventory of product if producers choose not to modify their product labels to include redemption information. The additional labor and equipment needed to perform the new labeling requirements will require additional allocations of $1,048,475 in fiscal year 2017-18 and $1,300,000 in fiscal year 2018-19 to the Alcoholic Beverages Fund. It is anticipated that the Alcoholic Beverages Fund will have sufficient revenue to fund the additional allocation for the foreseeable future. However, the additional expenditures from the fund may put required future payments to the Maine Municipal Bond Bank at risk.  
The Department of Environmental Protection estimates that an additional 320 products would be subject to the rules clarifying the responsibilities of manufacturers, dealers, distributors, initiators of deposit, contracted agents and redemption centers under the Returnable Beverage Container Law.  Each beverage container and label must be registered with the department prior to being offered for sale in the State. Registration is $4 per label, which would increase Other Special Revenue Funds revenue by $1,280 annually beginning in fiscal year 2017-18.