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Bill

Bill

S 4173

Imposes $0.25 surcharge on alcoholic beverages to be dedicated to Alcohol Education, Rehabilitation and Enforcement Fund.

2024-2025 Regular Session Introduced by Benjie Wimberly

New Jersey bill adds $0.25 surcharge on alcoholic beverages to fund alcohol education, rehabilitation, and enforcement programs.

Introduced in the Senate, Referred to Senate Law and Public Safety Committee
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Bill Summary · S 4173

Legislative bill overview

S 4173 imposes a $0.25 per-unit surcharge on all alcoholic beverages sold in New Jersey, with revenues directed to a newly created Alcohol Education, Rehabilitation and Enforcement Fund. The surcharge would apply at the point of sale across beer, wine, and spirits regardless of container size or alcohol content.

Why is this important

Excise taxes on alcohol are a traditional public health policy tool used to fund treatment and prevention programs while potentially reducing consumption. This bill could generate significant recurring revenue for substance abuse services in New Jersey, though the actual amount depends on beverage sales volume and enforcement mechanisms.

Potential points of contention

  • Regressive impact: A flat $0.25 surcharge disproportionately affects lower-income consumers as a percentage of their spending, raising equity concerns
  • Economic competitiveness: Higher prices may drive consumers to neighboring states with lower alcohol taxes, potentially reducing state revenue and impacting local retailers
  • Implementation ambiguity: The bill does not specify whether $0.25 applies per drink, per bottle, per case, or another unit, creating uncertainty about actual tax burden and revenue projections
  • Fund allocation details: No specifications provided on how revenues will be divided between education, rehabilitation, and enforcement, or governance of the fund

Compiled from official sources — confirm details with the bill’s official record.

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