LD 134 LR 197(03)
An Act to Increase the Handling Fee for Beverage Containers Reimbursed to Dealers and Redemption Centers
Fiscal Note for Bill as Engrossed with:
C "A" (S-34)
Committee: Environment and Natural Resources
Fiscal Note
FY 2022-23 FY 2023-24 FY 2024-25 Projections  FY 2025-26 Projections  FY 2026-27
State Alcoholic Beverage Fund $52,959 $450,155 $514,766 $555,947 $600,423
Fiscal Detail and Notes
This bill increases the cost of handling reimbursement paid per returned beverage container paid by the initiator of deposit to dealers and local redemption centers by one cent beginning May 1, 2023 and another half-cent beginning September 1, 2023. Since the Bureau of Alcoholic Beverages and Lottery Operations (BABLO) functions as the initiator of deposit for all spirits sold in Maine, the increase in the reimbursement rates will require an additional allocation to the Alcoholic Beverages Fund of $52,959 in fiscal year 2022-23, $450,155 in fiscal year 2023-24 and $514,766 in fiscal year 2024-25. Because the bottle redemption program and any payments required by the initiator of deposit are included in the spirits administration contract with Pine State Trading Company, this change will require the contract to be renegotiated.