ASSEMBLY APPROPRIATIONS COMMITTEE

STATEMENT TO

ASSEMBLY, No. 4589

STATE OF NEW JERSEY

DATED:  OCTOBER 26, 2020

      The Assembly Appropriations Committee reports favorably Assembly Bill No. 4589.

      This bill temporarily extends until January 14, 2022 the time period during which the holder of a summer seasonal retail consumption license may sell alcoholic beverages. 

      Under current law, the holder of a seasonal retail consumption license is allowed to sell alcoholic beverages for consumption on the licensed premises by the glass or other open receptacle similar to the holder of a plenary retail consumption license, but only during a summer or winter season. The summer seasonal license allows for the sale of alcoholic beverages from May 1 through November 14.

      The COVID-19 pandemic has prohibited bars and restaurants from serving alcoholic beverages for consumption on the licensed premises. This bill allows holders of summer seasonal retail consumption licenses to sell alcoholic beverages from the date of the bill’s enactment until January 14, 2022 in order to allow these business owners to recoup any income lost during the pandemic.    

FISCAL IMPACT:

      The OLS finds that the bill will result in temporary, indeterminate increases in State revenues and expenditures as the bill extends the time period during which seasonal retail consumption license holders may sell alcoholic beverages through January 14, 2022.  The extent of the potential revenue collected during the extension period from sales tax on products sold is not known nor is the potential expenditure increase for any additional regulation and enforcement. The OLS also notes the bill may temporarily increase municipal expenditures due to increased costs for regulation and enforcement of the extended permits.