LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
200 W. Washington St., Suite 301
Indianapolis, IN 46204
(317) 233-0696
iga.in.gov
FISCAL IMPACT STATEMENT
LS 6558 NOTE PREPARED: Dec 22, 2023
BILL NUMBER: HB 1197 BILL AMENDED:
SUBJECT: Alcohol and Tobacco Commission.
FIRST AUTHOR: Rep. Manning BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
XDEDICATED
FEDERAL
Summary of Legislation: The bill allows the Alcohol and Tobacco Commission (ATC) to provide notices
electronically. It allows the ATC to issue 10 new three-way permits to the city of Noblesville, allowing the
issuance of: (1) three new three-way permits in 2024; (2) three new three-way permits in 2025; and (3) four
new three-way permits in 2026; with any permits not issued in a year allowed to be issued in a subsequent
year. It repeals provisions related to beer gardens and patio alcohol service for certain premises. It also
replaces references to the federal Bureau of Alcohol, Tobacco, and Explosives with the federal Alcohol and
Tobacco Tax and Trade Bureau or its successor agency.
Effective Date: July 1, 2024.
Explanation of State Expenditures: Alcohol and Tobacco Commission (ATC): The ATC will see a decrease
in administrative costs to switch to electronic notices for its administration processes. In addition, the ATC
will administer the provisions in the bill which is expected to be accomplished within current resources and
funding levels.
Explanation of State Revenues: Alcoholic Beverage Permits: The bill will increase revenue from ten
additional three-way permits issued to the city of Noblesville. The initial cost for the permit fee is $40,000.
The annual permit fee for a three-way permit is $1,000. Revenue is distributed to the General Fund (37%);
the city, town, or county in which the licensed premises are located (33%); and the Enforcement and
Administration Fund (30%).
Explanation of Local Expenditures: The municipality may see a minor increase in workload to adopt an
ordinance requiring a permit holder to enter into a formal written commitment as a condition of eligibility
HB 1197 1 for a permit.
Explanation of Local Revenues: Alcoholic Beverage Permits: To the extent that revenue from permit fees
increases, the amounts distributed to local governments would increase.
State Agencies Affected: Alcohol and Tobacco Commission.
Local Agencies Affected: City of Noblesville.
Information Sources: Legislative Services Agency. Indiana Handbook of Taxes, Revenues, and
Appropriations, FY 2023.
Fiscal Analyst: Nate Bodnar, 317-234-9476.
HB 1197 2