Legislative News

Summary of recent action involving alcoholic beverage legislation that we're keeping a close eye on.

Conditional Licenses

HB 4277 - Introduced 2/19/13, Passed House 3/21/13 (109-1), Senate Regulatory Reform Committee Hearing 10/24/13 (passed out of committee 7-0)

• Creates a "Conditional License" allowing applicant to operate business while MLCC investigation is ongoing
• Available to new SDM applications and transfer ownership of any existing license at same location - not available for new on-premises licenses, new SDD licenses, or transfer locations
• Requires MLCC to approve or deny Conditional License application within 20 business days after receipt of completed application, acceptable proof of financial responsibility and executed property document
• MLCC can deny Conditional Application based on criminal arrest and conviction record and past operating history of applicant

Brewers, Micro Brewers, Brewpubs

HB 4709 - Increase Micro Brewer Annual Production - Introduced 5/9/13, Regulatory Reform Committee Hearings 9/10/13 & 10/29/13 (passed out of Committee 12-0)

• Increase maximum annual production for Micro Brewer from current 30,000 barrels per year to 60,000 barrels per year

HB 4710 - Increase Brewpub Ownership and Annual Production Limits - Introduced 5/9/13, Regulatory Reform Committee Hearings 9/10/13 & 10/29/13 (passed out of Committee 12-0)

• Increase allowable Brewpub ownership to six (6) Locations (increase from current 3 location limit) & increase maximum annual Brewpub production to 18,000 Barrels per year (increase from current 5,000 barrel limit)

HB 4711 - Increase Brewer On-Premises Sale Locations - Introduced 5/9/13, Regulatory Reform Committee Hearings 9/10/13 & 10/29/13 (passed out of Committee 12-0)

• Increase number of locations that Brewer can sell its beer for on-premises consumption to two (2) locations (increase from current 1 location limit)

SB 650 - Micro Brewer Self Distribution - Introduced 10/24/13, Regulatory Reform Committee Hearing 10/24/13 (passed out of Committee 5-0)

• Allows in-state and out-of-state Micro Brewers that produce in total no more than 1,000 barrels per year to self-distribute to retailers
• Delivery must be made by employee of the Micro Brewer
• Tie barred to SB 504, SB 505, SB 506, SB 507 & SB 651

SB 651 - Increase Micro Brewer Annual Production - Introduced10/24/13, Regulatory Reform Committee Hearing 10/24/13 (passed out of Committee 5-0)

• Increase maximum annual production for Micro Brewer from current 30,000 barrels per year to 60,000 barrels per year
• Tie barred to SB 504, SB 505, SB 506, SB 507 & SB 651

Aid & Assistance

SB 505 - Aid and Assistance - Introduced 9/17/13, Regulatory Reform Committee Hearing 10/24/13 (passed out of Committee 7-0)

• Solidify aid and assistance prohibition between alcoholic beverage suppliers, wholesalers and retailers
• Prohibit the Commission from expanding goods and services from alcoholic beverage suppliers and wholesalers to any other licensee unless adopted prior to January 1, 2013