Bill Text: TX SB518 | 2013-2014 | 83rd Legislature | Comm Sub
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to the authority of certain brewers and manufacturers to sell beer and ale to ultimate consumers.
Spectrum: Bipartisan Bill
Status: (Passed) 2013-06-14 - Effective immediately [SB518 Detail]
Download: Texas-2013-SB518-Comm_Sub.html
Bill Title: Relating to the authority of certain brewers and manufacturers to sell beer and ale to ultimate consumers.
Spectrum: Bipartisan Bill
Status: (Passed) 2013-06-14 - Effective immediately [SB518 Detail]
Download: Texas-2013-SB518-Comm_Sub.html
By: Eltife, et al. | S.B. No. 518 | ||
(Smith, Harless, Villarreal, Isaac, | |||
Rodriguez of Travis, et al.) |
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relating to the authority of certain brewers and manufacturers to | ||
sell beer and ale to ultimate consumers. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. The legislature finds that: | ||
(1) the state is authorized under the Twenty-first | ||
Amendment of the United States Constitution to promote the public's | ||
interest in the fair, efficient, and competitive marketing of beer | ||
and ale in this state; | ||
(2) the United States Supreme Court in Granholm v. | ||
Heald, 544 U.S. 460 (2005), has recognized that the three-tier | ||
system of regulating the alcoholic beverage industry is | ||
unquestionably legitimate; | ||
(3) in Granholm, the United States Supreme Court | ||
further recognized that while the states are entitled to regulate | ||
the production and sale of liquor within their borders, the right is | ||
nonetheless subject to the provisions of the Constitution of the | ||
United States, including the Interstate Commerce Clause, and laws | ||
regulating the alcoholic beverage industry may not discriminate | ||
against out-of-state participants or give undue deference to local | ||
participants and may not ignore other provisions of the | ||
constitution, including the Supremacy Clause, Commerce Clause, and | ||
the Privileges and Immunities Clause with its nondiscriminatory | ||
principles; | ||
(4) the state is authorized to promote, market, and | ||
educate consumers about the emerging small brewing industry; | ||
(5) it is in the state's interest to encourage | ||
entrepreneurial and small business development opportunities in | ||
the state that will lead to new capital investment in the state, | ||
create new jobs in the state, and expand the state and local tax | ||
base; and | ||
(6) it is the public policy of the state to exercise | ||
the police power of the state to protect the welfare, health, peace, | ||
temperance, and safety of the people of Texas. | ||
SECTION 2. Chapter 12, Alcoholic Beverage Code, is amended | ||
by adding Section 12.052 to read as follows: | ||
Sec. 12.052. SALES BY CERTAIN BREWERS TO CONSUMERS. | ||
(a) In addition to the activities authorized by Section 12.01, the | ||
holder of a brewer's permit whose annual production of ale together | ||
with the annual production of beer by the holder of a manufacturer's | ||
license at the same premises does not exceed a total of 225,000 | ||
barrels may sell ale produced on the brewer's premises under the | ||
permit to ultimate consumers on the brewer's premises for | ||
responsible consumption on the brewer's premises. | ||
(b) The total combined sales of ale to ultimate consumers | ||
under this section, together with the sales of beer to ultimate | ||
consumers by the holder of a manufacturer's license under Section | ||
62.122 at the same premises, may not exceed 5,000 barrels annually. | ||
SECTION 3. Chapter 62, Alcoholic Beverage Code, is amended | ||
by adding Section 62.122 to read as follows: | ||
Sec. 62.122. SALES BY CERTAIN MANUFACTURERS TO CONSUMERS. | ||
(a) A manufacturer's licensee whose annual production of beer | ||
together with the annual production of ale by the holder of a | ||
brewer's permit at the same premises does not exceed 225,000 | ||
barrels may sell beer produced on the manufacturer's premises under | ||
the license to ultimate consumers on the manufacturer's premises | ||
for responsible consumption on the manufacturer's premises. | ||
(b) The total combined sales of beer to ultimate consumers | ||
under this section, together with the sales of ale to ultimate | ||
consumers by the holder of a brewer's permit under Section 12.052 at | ||
the same premises, may not exceed 5,000 barrels annually. | ||
SECTION 4. Chapter 105, Alcoholic Beverage Code, is amended | ||
by adding Section 105.081 to read as follows: | ||
Sec. 105.081. HOURS OF SALE AND CONSUMPTION: BREWER OR | ||
MANUFACTURER. (a) The holder of a brewer's permit may sell, offer | ||
for sale, and deliver ale or malt liquor and a person may consume | ||
ale or malt liquor on the brewer's premises: | ||
(1) between 8 a.m. and midnight on any day except | ||
Sunday; and | ||
(2) between 10 a.m. and midnight on Sunday. | ||
(b) The holder of a manufacturer's license may sell, offer | ||
for sale, and deliver beer and a person may consume beer on the | ||
manufacturer's premises: | ||
(1) between 8 a.m. and midnight on any day except | ||
Sunday; and | ||
(2) between 10 a.m. and midnight on Sunday. | ||
SECTION 5. (a) Subject to Subsection (b) of this section, | ||
this Act takes effect immediately if it receives a vote of | ||
two-thirds of all the members elected to each house, as provided by | ||
Section 39, Article III, Texas Constitution. If this Act does not | ||
receive the vote necessary for immediate effect, this Act takes | ||
effect September 1, 2013. | ||
(b) The changes in law made by this Act take effect only if | ||
each of the following bills is enacted and becomes law: | ||
(1) Senate Bill No. 515, House Bill No. 1763, or | ||
another similar bill of the 83rd Legislature, Regular Session, | ||
2013, that allows holders of brewpub licenses to self-distribute | ||
beer, malt liquor, or ale produced under the license to retailers; | ||
(2) Senate Bill No. 516, House Bill No. 1764, or | ||
another similar bill of the 83rd Legislature, Regular Session, | ||
2013, that allows small brewers to sell ale to retailers; | ||
(3) Senate Bill No. 517, House Bill No. 1765, or | ||
another similar bill of the 83rd Legislature, Regular Session, | ||
2013, that allows small beer manufacturers to sell beer to | ||
retailers; and | ||
(4) Senate Bill No. 639, House Bill No. 1538, or | ||
another similar bill of the 83rd Legislature, Regular Session, | ||
2013, relating to sales of beer by a manufacturer to a distributor | ||
and certain agreements between a manufacturer and distributor. |