Bill Text: CA AB774 | 2015-2016 | Regular Session | Chaptered


Bill Title: Alcoholic beverages: beer manufacturers: farmers' market: tasting: nonprofit corporation: donated beer.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2015-07-15 - Chaptered by Secretary of State - Chapter 107, Statutes of 2015. [AB774 Detail]

Download: California-2015-AB774-Chaptered.html
BILL NUMBER: AB 774	CHAPTERED
	BILL TEXT

	CHAPTER  107
	FILED WITH SECRETARY OF STATE  JULY 15, 2015
	APPROVED BY GOVERNOR  JULY 15, 2015
	PASSED THE SENATE  JUNE 25, 2015
	PASSED THE ASSEMBLY  JUNE 29, 2015
	AMENDED IN SENATE  MAY 28, 2015
	AMENDED IN ASSEMBLY  APRIL 6, 2015

INTRODUCED BY   Assembly Member Levine

                        FEBRUARY 25, 2015

   An act to amend Sections 23399.45, 24045.6, and 25607.5 of the
Business and Professions Code, relating to alcoholic beverages.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 774, Levine. Alcoholic beverages: beer manufacturers: farmers'
market: tasting: nonprofit corporation: donated beer.
   Existing law, the Alcoholic Beverage Control Act, authorizes a
licensed winegrower or a licensed beer manufacturer to apply to the
Department of Alcoholic Beverage Control for a certified farmers'
market sales permit, which allows, among others, the licensee to sell
wine or beer at a certified farmers' market, under specified
conditions, and requires the licensee to pay a fee of $50 for the
permit. Existing law requires a certified farmers' market sales
permit issued to a licensed winegrower, but not a licensed beer
manufacturer, to allow an instructional tasting event on the subject
of wine at a certified farmers' market, under specified conditions.
Existing law provides that moneys collected as fees pursuant to the
act are to be deposited in the Alcohol Beverage Control Fund. These
moneys are generally allocated to the Department of Alcoholic
Beverage Control upon appropriation by the Legislature.
   This bill would also require a certified farmers' market sales
permit issued to a licensed beer manufacturer to allow an
instructional tasting event on the subject of beer at a certified
farmers' market, under specified conditions.
   Existing law authorizes specified nonprofit corporations that have
not been issued a license authorizing the sale of wine to receive
and possess wine donated to that nonprofit corporation, if the
nonprofit corporation has submitted a license application to sell
wine with the Department of Alcoholic Beverage Control.
   This bill would additionally authorize those nonprofit
corporations to receive and possess beer under the same
circumstances.
   Existing law authorizes the Department of Alcoholic Beverage
Control to issue a special temporary on-sale or off-sale wine license
to a nonprofit corporation that is exempt from payment of income
taxes, subject to specified requirements and limitations.
   This bill would extend this authorization to issue a special
temporary on-sale or off-sale license to sell beer.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 23399.45 of the Business and Professions Code
is amended to read:
   23399.45.  (a) For the purposes of this section:
   (1) "Certified farmers' market" means a location operated in
accordance with Chapter 10.5 (commencing with Section 47000) of
Division 17 of the Food and Agricultural Code.
   (2) "Community event" means an event as defined by Section 113755
of the Health and Safety Code.
   (b) (1) A licensed beer manufacturer may apply to the department
for a certified farmers' market beer sales permit. Subject to the
requirements of Chapter 10.5 (commencing with Section 47000) of
Division 17 of the Food and Agricultural Code, and to the discretion
and managerial control of a certified farmers' market or community
event operator, respectively, a certified farmers' market beer sales
permit shall authorize the licensee, a member of the licensee's
family who is 21 years of age or older, or an employee of the
licensee to sell packaged beer that has been manufactured by a beer
manufacturer applying for the permit at a certified farmers' market,
including any permitted community event area adjacent to, and
operated in conjunction with, a certified farmers' market, located
within the county or an adjacent county of the physical location of
the licensed beer manufacturer.
   (2) (A) A certified farmers' market beer sales permit shall also
authorize an instructional tasting event on the subject of beer at a
certified farmers' market, including any permitted community event
area adjacent to, and operated in conjunction with, a certified
farmers' market, located within the county or an adjacent county of
the physical location of the licensed beer manufacturer.
   (B) An instructional tasting event is subject to the authorization
and managerial control of the applicable operator of the certified
farmers' market or community event. The licensee, a member of the
licensee's family who is 21 years of age or older, or an employee of
the licensee may conduct the instructional tasting event.
   (C) At all times during an instructional tasting event, the
instructional tasting event area shall be separated from the
remainder of the market or community event by a wall, rope, cable,
cord, chain, fence, or other permanent or temporary barrier.
   (D) Only one licensed beer manufacturer may conduct an
instructional tasting event during the operational hours of any one
certified farmers' market or community event. The licensee shall not
pour more than eight ounces of beer per person per day.
   (E) The licensee shall not permit any consumer to leave the
instructional tasting area with an open container of beer.
   (c) Sales under the certified farmers' market beer sales permit
shall only occur at a certified farmers' market or within a permitted
community event area adjacent to, and operated in conjunction with,
the certified farmers' market that is located within the same county
or adjacent county of the location of the licensed beer manufacturer'
s manufacturing facility. The permit may be issued for up to 12
months but shall not be valid for more than one day a week at any
single specified certified farmers' market or community event
location. A beer manufacturer may hold more than one permit. The
department shall notify the city, county, or city and county and the
applicable law enforcement agency where the certified farmers' market
or permitted community event is to be held of the issuance of the
permit.
   (d) The licensed beer manufacturer eligible for the certified
farmers' market beer sales permit shall not sell more than 5,000
gallons of beer annually pursuant to all certified farmers' market
beer sales permits held by any single beer manufacturer. The licensed
beer manufacturer shall maintain records of annual beer sales made
pursuant to all certified farmers' market beer sales permits issued.
   (e) The fee for any permit issued pursuant to this section shall
be fifty dollars ($50), subject to adjustment pursuant to
subdivisions (b) and (c) of Section 23320.
   (f) All money collected as fees pursuant to this section shall be
deposited in the Alcohol Beverage Control Fund as provided in Section
25761.
  SEC. 2.  Section 24045.6 of the Business and Professions Code is
amended to read:
   24045.6.  (a) The department may issue a special temporary on-sale
or off-sale beer or wine license to any nonprofit corporation that
is exempt from payment of income taxes under Section 23701d or 23701e
of the Revenue and Taxation Code and Section 501(c)(3) or 501(c)(6)
of the Internal Revenue Code. An applicant for this license shall
accompany the application with a fee of one hundred dollars ($100).
   (b) This special license shall only entitle the licensee to sell
beer or wine bought by, or donated to, the licensee to a consumer and
to any person holding a license authorizing the sale of beer or
wine. Notwithstanding any other provision of this division, a
licensee may donate or sell beer or wine to a nonprofit corporation
that obtains a special temporary on-sale or off-sale license under
this section, provided that the donation is not made in connection
with a sale of an alcoholic beverage.
   (c) This special license shall be for a period not exceeding 15
days. In the event the license under this section is issued for a
period exceeding two days, it shall be used solely for retail sales
in conjunction with an identifiable fundraising event sponsored or
conducted by the licensee and all bottles of beer or wine sold under
this license shall bear a label prominently identifying the event.
Only three special licenses authorized by this section shall be
issued to any corporation in a calendar year.
  SEC. 3.  Section 25607.5 of the Business and Professions Code is
amended to read:
   25607.5.  A nonprofit corporation that is required to obtain a
license to sell beer or wine under Section 23300 may receive and
possess beer or wine donated to it if, at the time of receipt of the
beer or wine, the nonprofit corporation has submitted an application
with the department for a license to sell the donated beer or wine.
Nothing in this section is intended to affect or otherwise limit the
application of Section 25503.9.
                                      
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