According to the Legislative Budget Board (LBB), HB 4773 is not expected to have a significant fiscal impact on the state of Texas. While the bill does expand operational flexibility and commercial opportunity for breweries and brewpubs by allowing the transfer and resale of malt beverages between commonly owned premises, the projected revenue effects are anticipated to be minimal. The Texas Comptroller of Public Accounts and the Alcoholic Beverage Commission, both of which were consulted, did not identify any major fiscal burdens or gains resulting from the bill’s implementation.

The fiscal analysis assumes that any potential increase in alcoholic beverage tax collections or associated licensing fees, resulting from broader distribution or sales, would be too minor to materially affect state revenue. Since the bill does not create new fees, taxes, or significant regulatory costs, its budgetary footprint remains small. The activities it facilitates, such as internal transfers and expanded sales opportunities, are mostly within the framework of existing licensure and compliance systems.

Similarly, no significant fiscal impact is expected for local governments. Counties and municipalities that collect sales or alcohol-related revenues are unlikely to experience measurable changes in revenue or administrative costs. In sum, the bill supports economic and operational efficiencies in the alcohol industry without creating new financial obligations or windfalls for public sector entities.

HB 4773 advances liberty, deregulation, and economic efficiency by removing unnecessary restrictions that prevent brewers and brewpubs from moving their own legally produced malt beverages between licensed locations they own or manage. Under current law, businesses with multiple facilities face outdated limits on how they can transfer products within their own operation, an artificial barrier that interferes with basic logistical decision-making and property rights. This bill fixes that problem by clearly authorizing the transfer of malt beverages between premises under shared ownership or management, restoring a measure of freedom to how these businesses operate.

The bill also allows those transferred beverages to be sold to customers or distributors, just as if they were produced at the receiving location. This is a sensible, liberty-oriented reform that treats business owners like responsible adults capable of managing their operations without unnecessary interference. Importantly, this bill reflects a broader philosophical shift away from treating alcohol as a uniquely dangerous product that must be routed through government-favored distribution channels. By granting breweries and brewpubs more autonomy over their own inventory, the bill moves Texas a step closer to recognizing that adults can make their own choices about alcohol production, transport, and consumption.

From a limited government standpoint, HB 4773 does not grow the scope or size of government. It does not create new regulatory bodies, expand agency authority, or impose new taxes or fees. The Legislative Budget Board has confirmed there is no significant fiscal impact to the state or to local governments. The bill simply clarifies the rights of existing license holders to operate more efficiently within the current framework, while still adhering to safety rules such as vehicle identification and compliance with motor carrier laws.

While some defenders of the three-tier system may object to allowing direct transfers and sales between locations, we reject the premise that the state must act as an intermediary in lawful, private economic transactions involving alcohol. Our position is rooted in the belief that adults, not bureaucrats, are best equipped to make responsible choices. The three-tier system, while historically justified by prohibition-era fears, is increasingly a burden on innovation, competition, and consumer access. Though this bill does not dismantle the three-tier system, it does reduce its footprint, and that alone is a meaningful improvement.

In conclusion, HB 4773 promotes individual liberty, economic freedom, and personal responsibility. It reduces regulatory entanglements, respects private property rights, and gives business owners more control over their operations, without adding cost or complexity for taxpayers. For these reasons, Texas Policy Research recommends that lawmakers vote YES on HB 4773.

• Individual Liberty: This bill removes a government-imposed barrier that restricts what licensed brewers and brewpubs can do with their own legally produced products. By allowing them to transfer malt beverages between locations they own or manage, the bill affirms the principle that individuals, and the businesses they operate, should have the freedom to make their own choices without undue interference. It treats both business owners and adult consumers as capable decision-makers, not subjects of arbitrary state control.
• Personal Responsibility: The bill trusts license holders to manage the safe and lawful movement of their products. It does not lessen accountability or shift responsibility to the state. Businesses remain fully responsible for complying with transport safety rules, vehicle marking requirements, and existing licensing laws. Rather than create new obligations or protections, the bill recognizes that responsible adults and enterprises can operate effectively without micromanagement by regulators.
• Free Enterprise: The bill opens up flexibility for breweries and brewpubs to scale their operations and meet market demand more efficiently. Allowing producers to move and sell their products across multiple locations they own removes artificial barriers that inhibit growth and innovation. It also gives smaller, independent producers more autonomy, levels of freedom typically enjoyed by larger entities with more resources to navigate red tape. By relaxing constraints on internal logistics and sales, the bill promotes open competition and a healthier, freer marketplace.
• Private Property Rights: Under current law, a business may be legally prevented from transferring its own goods between its own buildings. This is an infringement on the fundamental right to control and use one’s own property. The bill corrects that by affirming that owners have the right to move their goods within their business footprint without unnecessary restrictions. This change enhances the ability of Texans to fully exercise control over their private property and resources.
• Limited Government: Rather than expanding government authority, this bill limits it. It reduces the footprint of the state in regulating internal business operations and eliminates a specific layer of bureaucracy that currently exists without a compelling public safety justification. It does not create any new enforcement powers, agencies, fees, or oversight bodies. Instead, it reflects a trust in voluntary exchange and decentralized decision-making, hallmarks of a limited government approach.

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