SB1355

New Alcoholic Beverage Code section 102.33 defines delinquency using two conditions: the wholesaler misses the agreed payment date and still fails to pay after receiving the seller’s payment demand, in accordance with the agreed payment terms. The selling permit holder may report the delinquency in writing with supporting documentation to the Texas Alcoholic Beverage Commission (TABC). Reporting is optional, not mandatory, and the law does not impose a universal 30-day payment deadline. Final law, section 1.

Delinquency under this definition is a violation. TABC may take disciplinary action, considering the delay’s duration, amount owed, prior violations, wholesaler’s financial resources and other relevant factors. The act does not prescribe an automatic fixed fine or mandatory permit cancellation for each late invoice. TABC must adopt implementing rules, including documentation-submission rules. Final law, section 102.33(d)-(e).

The introduced proposal was stricter in different ways. It would have required payment within 30 days after receipt of the invoice, required a delinquent-wholesaler list, restricted permit renewal/transfer and voluntary cancellation/suspension while delinquent, and barred a person with a canceled or expired permit from another permit/license until the delinquency was cured. Those provisions did not survive. The Senate committee substitute instead used agreed payment terms, added the post-demand condition, required written invoices, provided for supporting documentation, and provided discretionary discipline with listed factors. It also dropped the introduced requirement that the invoice state the purchase date. Introduced proposal; Senate committee substitute; Final law.

The one indexed floor amendment, offered by Phelan and adopted in the House on May 7, replaced “letter of agreement” with “written agreement” in three places. All three replacements appear in the enrolled law. The Senate concurred May 12. The Senate-passed and House committee texts otherwise matched the substitute; the final changes were those three replacements. Amendment text; Amendment index and disposition; Senate-passed text; House committee text; Version index; Final law.

Compare the published text versions in the official text index. A change is not attributed to a specific amendment here without a verified record.

Distillers and rectifiers gain a regulatory route for reporting covered unpaid invoices, but no guarantee that TABC will collect their money. Wholesalers retain negotiated payment terms while facing possible discipline for the defined delinquency. Both sides have reason to maintain clear agreements, invoices and payment-demand records; TABC must administer the rule and complaint process. The act does not set consumer liquor prices. Final law.

The May 8 fiscal note for the House-passed bill anticipates no significant state or local fiscal impact. The comptroller assumes any revenue effects would be insignificant, and TABC anticipates no agency fiscal impact. The earlier March 14 and March 21 notes reach the same fiscal conclusions despite the changed policy. These are government estimates, not proof that private businesses face no costs or payment risk. The act makes no appropriation and provides no dollar estimate of private recoveries. Final-listed fiscal note; Introduced fiscal note; Substitute fiscal note; Final law.