HB 2502 – Trailer Bill for 2017 Beer Law – Regulation and taxation of the sale of beer up to 6.0 ABV by cereal malt beverage retailers, allowed after April 1 2019.  Sales of the stronger beer by grocery and convenience stores will be subject to state and local sales taxes instead of the state liquor enforcement tax.

 Pursuant to legislation enacted in 2017 (SB 13), starting on April 1, 2019, CMB licensees will be allowed to sell beer containing no more than 6.0 percent alcohol by volume. HB 2502 clarifies that CMB licensees are under the oversight of the Director of Alcoholic Beverage Control (Director) [the Division of Alcoholic Beverage Control is within the Department of Revenue]. The Director is permitted to issue citations and impose a fine, not exceeding $1,000, for each violation of the Kansas Cereal Malt Beverage Act. Moneys collected from fines will be deposited in the State General Fund. The bill clarifies the Director will conduct the market impact study, required by continuing law to be submitted to the Legislature following the tenth anniversary of the effective date of the 2017 legislation, using information available to the Director.  Introduced Jan 17.  Hearing Jan 29.  House passed 117-6 Feb 8. Senate hearing Feb 28. Senate passed 39-0 March 7. Governor signed March 15.