House Bill 395 Alabama 2026 Session

Summary

Primary Sponsor

Andy WhittRepresentative

Republican

Session

2026 Regular Session

Title

Liquor; mark up fee charged by Alcoholic Beverage Control Board further provided for

Summary

HB395 would redefine how the Alabama Alcoholic Beverage Control Board calculates its wholesale liquor mark-up by using only the board's purchase price for case lots as cost of merchandise, while keeping a 16.99% cap and directing post-1983 mark-up revenue to the State General Fund, with an effective date of October 1, 2026.

What This Bill Does

It would change the definition of cost of merchandise to include only what the board pays for case lots, and it would define mark up as a percentage added to the cost of merchandise plus freight on liquor sold by the board. It would continue to cap the mark-up at 16.99% and require any additional mark-up collected after June 30, 1983 to be credited to the State General Fund. It also updates the code language to current style and sets the act to take effect October 1, 2026.

Who It Affects

• The Alabama Alcoholic Beverage Control Board, which would apply the clarified cost of merchandise definition, continue to apply the mark-up, and manage the related revenue provisions.
• The State General Fund, which would receive the portion of the additional mark-up designated to it from the post-1983 levy.

Key Provisions

• Defines cost of merchandise as the amount the board pays for case lots and clarifies that the mark-up is calculated on the sum of cost of merchandise plus freight.
• Keeps the 16.99% cap on wholesale case-lot mark-ups, directs the post-1983 additional mark-up revenue to the State General Fund, and sets an effective date of October 1, 2026 with nonsubstantive technical revisions for current language.

AI-generated summary using openai/gpt-5-nano on Feb 12, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Alcoholic Beverages & Tobacco