A BILL TO BE ENTITLED
AN ACT to increase the excise tax on liquor and to earmark the resulting revenues to eliminate the co-payment for generic PRESCRIPTION drugs under the state medicaid plan.
The General Assembly of North Carolina enacts:
SECTION 1.  G.S. 105‑113.80(c) reads as rewritten:
"(c)	Liquor. – An excise tax of twenty-six percent (26%) is levied on liquor sold in ABC stores. Pursuant to G.S. 18B‑804(b), the price of liquor on which this tax is computed is the distiller's price plus (i) the State ABC warehouse freight and bailment charges, and (ii) a markup for local ABC boards."
SECTION 2.  Part 4 of Article 2C of Chapter 105 of the General Statutes is amended by adding a new section to read:
"§ 105-113.81B. Distribution of part of liquor taxes for State Medicaid program.
(a)	The Secretary must quarterly credit to the Department of Health and Human Services, Division of Medical Assistance, the sum of four hundred seventy thousand dollars ($470,000). To pay for this distribution, the Secretary must draw from collections under G.S. 105-113.80(c)."
SECTION 3.  The Department of Health and Human Services shall use funds credited to the Department pursuant to G.S. 105‑113.81B to eliminate the co‑payment for generic prescription drugs under the State Medicaid program.
SECTION 4.  This act becomes effective November 1, 2002.