1.1 	A bill for an act
1.2 	relating to the state budget; establishing an alcohol impact fund; establishing an 
1.3 	alcohol impact fee; dedicating the alcohol impact fund to pay for alcohol-related 
1.4 	medical expenses in the general fund and the health care access fund; proposing 
1.5 	coding for new law in Minnesota Statutes, chapters 16A; 256.
1.6 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7 	Section 1. [16A.7251] ALCOHOL IMPACT FUND AND FUND 
1.8 	REIMBURSEMENTS.
1.9 		Subdivision 1.Alcohol impact fund. There is created in the state treasury an 
1.10 	alcohol impact fund to which must be credited all revenue from the alcohol impact fee 
1.11 	under section 256.9659.
1.12 		Subd. 2.Certified alcohol expenditures. By April 30 of each year, the 
1.13 	commissioner of human services shall certify to the commissioner of management and 
1.14 	budget the state share, by fund, of alcohol-related costs for the previous fiscal year in 
1.15 	Minnesota health care programs, including medical assistance, general assistance medical 
1.16 	care, and MinnesotaCare, or other applicable expenditures.
1.17 		Subd. 3.Fund reimbursements. (a) Each fiscal year, the commissioner of 
1.18 	management and budget shall first transfer from the alcohol impact fund to the general 
1.19 	fund an amount sufficient to offset the general fund cost of the certified expenditures under 
1.20 	subdivision 2, or the balance of the fund, whichever is less.
1.21 	(b) If any balance remains in the alcohol impact fund after the transfer in paragraph 
1.22 	(a), the commissioner of management and budget shall transfer to the health care access 
1.23 	fund the amount sufficient to offset the health care access fund cost of the certified 
1.24 	expenditures in subdivision 2, or the balance of the fund, whichever is less.

2.1 	EFFECTIVE DATE. This section is effective the day following final enactment.

2.2 	Sec. 2. [256.9659] ALCOHOL IMPACT FEE.
2.3 		Subdivision 1.Definitions. The definitions under section 297G.01 apply to this 
2.4 	section.
2.5 		Subd. 2.Fee imposed. (a) The following fee is imposed on all distilled spirits and 
2.6 	wine manufactured, imported, sold, or possessed in this state:

2.7			Standard
	Metric
	
2.8
2.92.10
	(1) distilled spirits, liqueurs, cordials, and 
specialities, regardless of alcohol content, 
excluding ethyl alcohol
		$4.27 per gallon
	$1.13 per liter
	
2.11
2.12
2.13	(2) wine containing 14 percent or less alcohol 
by volume, except cider as defined in section 
297G.01, subdivision 3a
		$1.28 per gallon
	$0.34 per liter
	
2.14
2.15	(3) wine containing more than 14 percent but 
not more than 21 percent alcohol by volume
		$1.28 per gallon
	$0.34 per liter
	
2.16
2.17	(4) wine containing more than 21 percent but 
not more than 24 percent alcohol by volume
		$1.28 per gallon
	$0.34 per liter
	
2.18
2.19	(5) wine containing more than 24 percent 
alcohol by volume
		$1.28 per gallon
	$0.34 per liter
	
2.20
2.21	(6) natural and artificial sparkling wines 
containing alcohol
		$1.28 per gallon
	$0.34 per liter
	
2.22
2.23	(7) cider as defined in section 297G.01, 
subdivision 3a
		$1.28 per gallon
	$0.34 per liter
	
2.24	(8) low-alcohol dairy cocktails
		$0.64 per gallon
	$0.17 per liter
	
2.25 	In computing the fee on a package of distilled spirits or wine, a proportionate fee at a 
2.26 	like rate on all fractional parts of a gallon or liter must be paid, except that the fee on a 
2.27 	fractional part of a gallon less than 1/16 of a gallon is the same as for 1/16 of a gallon.
2.28 	(b) The following fee is imposed on all fermented malt beverages that are imported, 
2.29 	directly or indirectly sold, or possessed in the state: on fermented malt beverages, 
2.30 	$16.53 per 31-gallon barrel. For fractions of a 31-gallon barrel, the fee is calculated 
2.31 	proportionately. 
2.32 		Subd. 3.Payment. A wholesaler must pay the fee at the same time and in the same 
2.33 	manner as provided for payment of tax under chapter 297G.
2.34 		Subd. 4.Administration. The exemptions, audit, assessment, interest, appeal, 
2.35 	refund, penalty, enforcement, administration, and collection provisions of chapters 270C 
2.36 	and 297G apply to the fee imposed under this section.
2.37 		Subd. 5.Deposit of revenues. The commissioner of revenue shall deposit the 
2.38 	revenues from the fee under this section in the state treasury and credit them to the 
2.39 	alcohol impact fund.

3.1 	EFFECTIVE DATE. This section is effective for sales and purchases made after 
3.2 	June 30, 2013.