Bill Amendment: IL HB3610 | 2019-2020 | 101st General Assembly
NOTE: For additional amemendments please see the Bill Drafting List
Bill Title: LIQUOR-BREW PUBS
Status: 2019-08-23 - Public Act . . . . . . . . . 101-0517 [HB3610 Detail]
Download: Illinois-2019-HB3610-House_Amendment_001.html
Bill Title: LIQUOR-BREW PUBS
Status: 2019-08-23 - Public Act . . . . . . . . . 101-0517 [HB3610 Detail]
Download: Illinois-2019-HB3610-House_Amendment_001.html
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| 1 | AMENDMENT TO HOUSE BILL 3610
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| 2 | AMENDMENT NO. ______. Amend House Bill 3610 by replacing | ||||||
| 3 | everything after the enacting clause with the following:
| ||||||
| 4 | "Section 5. The Liquor Control Act of 1934 is amended by | ||||||
| 5 | changing Section 5-1 as follows:
| ||||||
| 6 | (235 ILCS 5/5-1) (from Ch. 43, par. 115) | ||||||
| 7 | Sec. 5-1. Licenses issued by the Illinois Liquor Control | ||||||
| 8 | Commission
shall be of the following classes: | ||||||
| 9 | (a) Manufacturer's license - Class 1.
Distiller, Class 2. | ||||||
| 10 | Rectifier, Class 3. Brewer, Class 4. First Class Wine
| ||||||
| 11 | Manufacturer, Class 5. Second Class Wine Manufacturer,
Class 6. | ||||||
| 12 | First Class Winemaker, Class 7. Second Class Winemaker, Class | ||||||
| 13 | 8.
Limited Wine Manufacturer, Class 9. Craft Distiller, Class | ||||||
| 14 | 10. Class 1 Brewer, Class 11. Class 2 Brewer, | ||||||
| 15 | (b) Distributor's license, | ||||||
| 16 | (c) Importing Distributor's license, | ||||||
| |||||||
| |||||||
| 1 | (d) Retailer's license, | ||||||
| 2 | (e) Special Event Retailer's license (not-for-profit), | ||||||
| 3 | (f) Railroad license, | ||||||
| 4 | (g) Boat license, | ||||||
| 5 | (h) Non-Beverage User's license, | ||||||
| 6 | (i) Wine-maker's premises license, | ||||||
| 7 | (j) Airplane license, | ||||||
| 8 | (k) Foreign importer's license, | ||||||
| 9 | (l) Broker's license, | ||||||
| 10 | (m) Non-resident dealer's
license, | ||||||
| 11 | (n) Brew Pub license, | ||||||
| 12 | (o) Auction liquor license, | ||||||
| 13 | (p) Caterer retailer license, | ||||||
| 14 | (q) Special use permit license, | ||||||
| 15 | (r) Winery shipper's license, | ||||||
| 16 | (s) Craft distiller tasting permit, | ||||||
| 17 | (t) Brewer warehouse permit. | ||||||
| 18 | No
person, firm, partnership, corporation, or other legal | ||||||
| 19 | business entity that is
engaged in the manufacturing of wine | ||||||
| 20 | may concurrently obtain and hold a
wine-maker's license and a | ||||||
| 21 | wine manufacturer's license. | ||||||
| 22 | (a) A manufacturer's license shall allow the manufacture,
| ||||||
| 23 | importation in bulk, storage, distribution and sale of | ||||||
| 24 | alcoholic liquor
to persons without the State, as may be | ||||||
| 25 | permitted by law and to licensees
in this State as follows: | ||||||
| 26 | Class 1. A Distiller may make sales and deliveries of | ||||||
| |||||||
| |||||||
| 1 | alcoholic liquor to
distillers, rectifiers, importing | ||||||
| 2 | distributors, distributors and
non-beverage users and to no | ||||||
| 3 | other licensees. | ||||||
| 4 | Class 2. A Rectifier, who is not a distiller, as defined | ||||||
| 5 | herein, may make
sales and deliveries of alcoholic liquor to | ||||||
| 6 | rectifiers, importing distributors,
distributors, retailers | ||||||
| 7 | and non-beverage users and to no other licensees. | ||||||
| 8 | Class 3. A Brewer may make sales and deliveries of beer to | ||||||
| 9 | importing
distributors and distributors and may make sales as | ||||||
| 10 | authorized under subsection (e) of Section 6-4 of this Act. | ||||||
| 11 | Class 4. A first class wine-manufacturer may make sales and | ||||||
| 12 | deliveries of
up to 50,000 gallons of wine to manufacturers,
| ||||||
| 13 | importing
distributors and distributors, and to no other | ||||||
| 14 | licensees. | ||||||
| 15 | Class 5. A second class Wine manufacturer may make sales | ||||||
| 16 | and deliveries
of more than 50,000 gallons of wine to | ||||||
| 17 | manufacturers, importing distributors
and distributors and to | ||||||
| 18 | no other licensees. | ||||||
| 19 | Class 6. A first-class wine-maker's license shall allow the | ||||||
| 20 | manufacture
of up to 50,000 gallons of wine per year, and the
| ||||||
| 21 | storage
and sale of such
wine to distributors in the State and | ||||||
| 22 | to persons without the
State, as may be permitted by law. A | ||||||
| 23 | person who, prior to June 1, 2008 (the effective date of Public | ||||||
| 24 | Act 95-634), is a holder of a first-class wine-maker's license | ||||||
| 25 | and annually produces more than 25,000 gallons of its own wine | ||||||
| 26 | and who distributes its wine to licensed retailers shall cease | ||||||
| |||||||
| |||||||
| 1 | this practice on or before July 1, 2008 in compliance with | ||||||
| 2 | Public Act 95-634. | ||||||
| 3 | Class 7. A second-class wine-maker's license shall allow | ||||||
| 4 | the manufacture
of between 50,000 and 150,000 gallons of wine | ||||||
| 5 | per year, and
the
storage and sale of such wine
to distributors | ||||||
| 6 | in this State and to persons without the State, as may be
| ||||||
| 7 | permitted by law. A person who, prior to June 1, 2008 (the | ||||||
| 8 | effective date of Public Act 95-634), is a holder of a | ||||||
| 9 | second-class wine-maker's license and annually produces more | ||||||
| 10 | than 25,000 gallons of its own wine and who distributes its | ||||||
| 11 | wine to licensed retailers shall cease this practice on or | ||||||
| 12 | before July 1, 2008 in compliance with Public Act 95-634. | ||||||
| 13 | Class 8. A limited wine-manufacturer may make sales and | ||||||
| 14 | deliveries not to
exceed 40,000 gallons of wine per year to | ||||||
| 15 | distributors, and to
non-licensees in accordance with the | ||||||
| 16 | provisions of this Act. | ||||||
| 17 | Class 9. A craft distiller license shall allow the | ||||||
| 18 | manufacture of up to 100,000 gallons of spirits by distillation | ||||||
| 19 | per year and the storage of such spirits. If a craft distiller | ||||||
| 20 | licensee, including a craft distiller licensee who holds more | ||||||
| 21 | than one craft distiller license, is not affiliated with any | ||||||
| 22 | other manufacturer of spirits, then the craft distiller | ||||||
| 23 | licensee may sell such spirits to distributors in this State | ||||||
| 24 | and up to 2,500 gallons of such spirits to non-licensees to the | ||||||
| 25 | extent permitted by any exemption approved by the Commission | ||||||
| 26 | pursuant to Section 6-4 of this Act. A craft distiller license | ||||||
| |||||||
| |||||||
| 1 | holder may store such spirits at a non-contiguous licensed | ||||||
| 2 | location, but at no time shall a craft distiller license holder | ||||||
| 3 | directly or indirectly produce in the aggregate more than | ||||||
| 4 | 100,000 gallons of spirits per year. | ||||||
| 5 | A craft distiller licensee may hold more than one craft | ||||||
| 6 | distiller's license. However, a craft distiller that holds more | ||||||
| 7 | than one craft distiller license shall not manufacture, in the | ||||||
| 8 | aggregate, more than 100,000 gallons of spirits by distillation | ||||||
| 9 | per year and shall not sell, in the aggregate, more than 2,500 | ||||||
| 10 | gallons of such spirits to non-licensees in accordance with an | ||||||
| 11 | exemption approved by the State Commission pursuant to Section | ||||||
| 12 | 6-4 of this Act. | ||||||
| 13 | Any craft distiller licensed under this Act who on July 28, | ||||||
| 14 | 2010 (the effective date of Public Act 96-1367) was licensed as | ||||||
| 15 | a distiller and manufactured no more spirits than permitted by | ||||||
| 16 | this Section shall not be required to pay the initial licensing | ||||||
| 17 | fee. | ||||||
| 18 | Class 10. A class 1 brewer license, which may only be | ||||||
| 19 | issued to a licensed brewer or licensed non-resident dealer, | ||||||
| 20 | shall allow the manufacture of up to 930,000 gallons of beer | ||||||
| 21 | per year provided that the class 1 brewer licensee does not | ||||||
| 22 | manufacture more than a combined 930,000 gallons of beer per | ||||||
| 23 | year and is not a member of or affiliated with, directly or | ||||||
| 24 | indirectly, a manufacturer that produces more than 930,000 | ||||||
| 25 | gallons of beer per year or any other alcoholic liquor. A class | ||||||
| 26 | 1 brewer licensee may make sales and deliveries to importing | ||||||
| |||||||
| |||||||
| 1 | distributors and distributors and to retail licensees in | ||||||
| 2 | accordance with the conditions set forth in paragraph (18) of | ||||||
| 3 | subsection (a) of Section 3-12 of this Act. If the State | ||||||
| 4 | Commission provides prior approval, a class 1 brewer may | ||||||
| 5 | annually transfer up to 930,000 gallons of beer manufactured by | ||||||
| 6 | that class 1 brewer to the premises of a licensed class 1 | ||||||
| 7 | brewer wholly owned and operated by the same licensee. | ||||||
| 8 | Class 11. A class 2 brewer license, which may only be | ||||||
| 9 | issued to a licensed brewer or licensed non-resident dealer, | ||||||
| 10 | shall allow the manufacture of up to 3,720,000 gallons of beer | ||||||
| 11 | per year provided that the class 2 brewer licensee does not | ||||||
| 12 | manufacture more than a combined 3,720,000 gallons of beer per | ||||||
| 13 | year and is not a member of or affiliated with, directly or | ||||||
| 14 | indirectly, a manufacturer that produces more than 3,720,000 | ||||||
| 15 | gallons of beer per year or any other alcoholic liquor. A class | ||||||
| 16 | 2 brewer licensee may make sales and deliveries to importing | ||||||
| 17 | distributors and distributors, but shall not make sales or | ||||||
| 18 | deliveries to any other licensee. If the State Commission | ||||||
| 19 | provides prior approval, a class 2 brewer licensee may annually | ||||||
| 20 | transfer up to 3,720,000 gallons of beer manufactured by that | ||||||
| 21 | class 2 brewer licensee to the premises of a licensed class 2 | ||||||
| 22 | brewer wholly owned and operated by the same licensee. | ||||||
| 23 | A class 2 brewer may transfer beer to a brew pub wholly | ||||||
| 24 | owned and operated by the class 2 brewer subject to the | ||||||
| 25 | following limitations and restrictions: (i) the transfer shall | ||||||
| 26 | not annually exceed more than 31,000 gallons; (ii) the annual | ||||||
| |||||||
| |||||||
| 1 | amount transferred shall reduce the brew pub's annual permitted | ||||||
| 2 | production limit; (iii) all beer transferred shall be subject | ||||||
| 3 | to Article VIII of this Act; (iv) a written record shall be | ||||||
| 4 | maintained by the brewer and brew pub specifying the amount, | ||||||
| 5 | date of delivery, and receipt of the product by the brew pub; | ||||||
| 6 | and (v) the brew pub shall be located no farther than 80 miles | ||||||
| 7 | from the class 2 brewer's licensed location. | ||||||
| 8 | A class 2 brewer shall, prior to transferring beer to a | ||||||
| 9 | brew pub wholly owned by the class 2 brewer, furnish a written | ||||||
| 10 | notice to the State Commission of intent to transfer beer | ||||||
| 11 | setting forth the name and address of the brew pub and shall | ||||||
| 12 | annually submit to the State Commission a verified report | ||||||
| 13 | identifying the total gallons of beer transferred to the brew | ||||||
| 14 | pub wholly owned by the class 2 brewer. | ||||||
| 15 | (a-1) A manufacturer which is licensed in this State to | ||||||
| 16 | make sales or
deliveries of alcoholic liquor to licensed | ||||||
| 17 | distributors or importing distributors and which enlists | ||||||
| 18 | agents, representatives, or
individuals acting on its behalf | ||||||
| 19 | who contact licensed retailers on a regular
and continual basis | ||||||
| 20 | in this State must register those agents, representatives,
or | ||||||
| 21 | persons acting on its behalf with the State Commission. | ||||||
| 22 | Registration of agents, representatives, or persons acting | ||||||
| 23 | on behalf of a
manufacturer is fulfilled by submitting a form | ||||||
| 24 | to the Commission. The form
shall be developed by the | ||||||
| 25 | Commission and shall include the name and address of
the | ||||||
| 26 | applicant, the name and address of the manufacturer he or she | ||||||
| |||||||
| |||||||
| 1 | represents,
the territory or areas assigned to sell to or | ||||||
| 2 | discuss pricing terms of
alcoholic liquor, and any other | ||||||
| 3 | questions deemed appropriate and necessary.
All statements in | ||||||
| 4 | the forms required to be made by law or by rule shall be
deemed | ||||||
| 5 | material, and any person who knowingly misstates any material | ||||||
| 6 | fact under
oath in an application is guilty of a Class B | ||||||
| 7 | misdemeanor. Fraud,
misrepresentation, false statements, | ||||||
| 8 | misleading statements, evasions, or
suppression of material | ||||||
| 9 | facts in the securing of a registration are grounds for
| ||||||
| 10 | suspension or revocation of the registration. The State | ||||||
| 11 | Commission shall post a list of registered agents on the | ||||||
| 12 | Commission's website. | ||||||
| 13 | (b) A distributor's license shall allow the wholesale | ||||||
| 14 | purchase and storage
of alcoholic liquors and sale of alcoholic | ||||||
| 15 | liquors to licensees in this State and to persons without the | ||||||
| 16 | State, as may be permitted by law, and the sale of beer, cider, | ||||||
| 17 | or both beer and cider to brewers, class 1 brewers, and class 2 | ||||||
| 18 | brewers that, pursuant to subsection (e) of Section 6-4 of this | ||||||
| 19 | Act, sell beer, cider, or both beer and cider to non-licensees | ||||||
| 20 | at their breweries. No person licensed as a distributor shall | ||||||
| 21 | be granted a non-resident dealer's license. | ||||||
| 22 | (c) An importing distributor's license may be issued to and | ||||||
| 23 | held by
those only who are duly licensed distributors, upon the | ||||||
| 24 | filing of an
application by a duly licensed distributor, with | ||||||
| 25 | the Commission and
the Commission shall, without the
payment of | ||||||
| 26 | any fee, immediately issue such importing distributor's
| ||||||
| |||||||
| |||||||
| 1 | license to the applicant, which shall allow the importation of | ||||||
| 2 | alcoholic
liquor by the licensee into this State from any point | ||||||
| 3 | in the United
States outside this State, and the purchase of | ||||||
| 4 | alcoholic liquor in
barrels, casks or other bulk containers and | ||||||
| 5 | the bottling of such
alcoholic liquors before resale thereof, | ||||||
| 6 | but all bottles or containers
so filled shall be sealed, | ||||||
| 7 | labeled, stamped and otherwise made to comply
with all | ||||||
| 8 | provisions, rules and regulations governing manufacturers in
| ||||||
| 9 | the preparation and bottling of alcoholic liquors. The | ||||||
| 10 | importing
distributor's license shall permit such licensee to | ||||||
| 11 | purchase alcoholic
liquor from Illinois licensed non-resident | ||||||
| 12 | dealers and foreign importers only. No person licensed as an | ||||||
| 13 | importing distributor shall be granted a non-resident dealer's | ||||||
| 14 | license. | ||||||
| 15 | (d) A retailer's license shall allow the licensee to sell | ||||||
| 16 | and offer
for sale at retail, only in the premises specified in | ||||||
| 17 | the license,
alcoholic liquor for use or consumption, but not | ||||||
| 18 | for resale in any form. Nothing in Public Act 95-634 shall | ||||||
| 19 | deny, limit, remove, or restrict the ability of a holder of a | ||||||
| 20 | retailer's license to transfer, deliver, or ship alcoholic | ||||||
| 21 | liquor to the purchaser for use or consumption subject to any | ||||||
| 22 | applicable local law or ordinance. Any retail license issued to | ||||||
| 23 | a manufacturer shall only
permit the manufacturer to sell beer | ||||||
| 24 | at retail on the premises actually
occupied by the | ||||||
| 25 | manufacturer. For the purpose of further describing the type of | ||||||
| 26 | business conducted at a retail licensed premises, a retailer's | ||||||
| |||||||
| |||||||
| 1 | licensee may be designated by the State Commission as (i) an on | ||||||
| 2 | premise consumption retailer, (ii) an off premise sale | ||||||
| 3 | retailer, or (iii) a combined on premise consumption and off | ||||||
| 4 | premise sale retailer.
| ||||||
| 5 | Notwithstanding any other provision of this subsection | ||||||
| 6 | (d), a retail
licensee may sell alcoholic liquors to a special | ||||||
| 7 | event retailer licensee for
resale to the extent permitted | ||||||
| 8 | under subsection (e). | ||||||
| 9 | (e) A special event retailer's license (not-for-profit) | ||||||
| 10 | shall permit the
licensee to purchase alcoholic liquors from an | ||||||
| 11 | Illinois licensed distributor
(unless the licensee purchases | ||||||
| 12 | less than $500 of alcoholic liquors for the
special event, in | ||||||
| 13 | which case the licensee may purchase the alcoholic liquors
from | ||||||
| 14 | a licensed retailer) and shall allow the licensee to sell and | ||||||
| 15 | offer for
sale, at retail, alcoholic liquors for use or | ||||||
| 16 | consumption, but not for resale
in any form and only at the | ||||||
| 17 | location and on the specific dates designated for
the special | ||||||
| 18 | event in the license. An applicant for a special event retailer
| ||||||
| 19 | license must
(i) furnish with the application: (A) a resale | ||||||
| 20 | number issued under Section
2c of the Retailers' Occupation Tax | ||||||
| 21 | Act or evidence that the applicant is
registered under Section | ||||||
| 22 | 2a of the Retailers' Occupation Tax Act, (B) a
current, valid | ||||||
| 23 | exemption identification
number issued under Section 1g of the | ||||||
| 24 | Retailers' Occupation Tax Act, and a
certification to the | ||||||
| 25 | Commission that the purchase of alcoholic liquors will be
a | ||||||
| 26 | tax-exempt purchase, or (C) a statement that the applicant is | ||||||
| |||||||
| |||||||
| 1 | not registered
under Section 2a of the Retailers' Occupation | ||||||
| 2 | Tax Act, does not hold a resale
number under Section 2c of the | ||||||
| 3 | Retailers' Occupation Tax Act, and does not
hold an exemption | ||||||
| 4 | number under Section 1g of the Retailers' Occupation Tax
Act, | ||||||
| 5 | in which event the Commission shall set forth on the special | ||||||
| 6 | event
retailer's license a statement to that effect; (ii) | ||||||
| 7 | submit with the application proof satisfactory to
the State | ||||||
| 8 | Commission that the applicant will provide dram shop liability
| ||||||
| 9 | insurance in the maximum limits; and (iii) show proof | ||||||
| 10 | satisfactory to the
State Commission that the applicant has | ||||||
| 11 | obtained local authority
approval. | ||||||
| 12 | Nothing in this Act prohibits an Illinois licensed | ||||||
| 13 | distributor from offering credit or a refund for unused, | ||||||
| 14 | salable alcoholic liquors to a holder of a special event | ||||||
| 15 | retailer's license or from the special event retailer's | ||||||
| 16 | licensee from accepting the credit or refund of alcoholic | ||||||
| 17 | liquors at the conclusion of the event specified in the | ||||||
| 18 | license. | ||||||
| 19 | (f) A railroad license shall permit the licensee to import | ||||||
| 20 | alcoholic
liquors into this State from any point in the United | ||||||
| 21 | States outside this
State and to store such alcoholic liquors | ||||||
| 22 | in this State; to make wholesale
purchases of alcoholic liquors | ||||||
| 23 | directly from manufacturers, foreign
importers, distributors | ||||||
| 24 | and importing distributors from within or outside
this State; | ||||||
| 25 | and to store such alcoholic liquors in this State; provided
| ||||||
| 26 | that the above powers may be exercised only in connection with | ||||||
| |||||||
| |||||||
| 1 | the
importation, purchase or storage of alcoholic liquors to be | ||||||
| 2 | sold or
dispensed on a club, buffet, lounge or dining car | ||||||
| 3 | operated on an electric,
gas or steam railway in this State; | ||||||
| 4 | and provided further, that railroad
licensees exercising the | ||||||
| 5 | above powers shall be subject to all provisions of
Article VIII | ||||||
| 6 | of this Act as applied to importing distributors. A railroad
| ||||||
| 7 | license shall also permit the licensee to sell or dispense | ||||||
| 8 | alcoholic
liquors on any club, buffet, lounge or dining car | ||||||
| 9 | operated on an electric,
gas or steam railway regularly | ||||||
| 10 | operated by a common carrier in this State,
but shall not | ||||||
| 11 | permit the sale for resale of any alcoholic liquors to any
| ||||||
| 12 | licensee within this State. A license shall be obtained for | ||||||
| 13 | each car in which
such sales are made. | ||||||
| 14 | (g) A boat license shall allow the sale of alcoholic liquor | ||||||
| 15 | in
individual drinks, on any passenger boat regularly operated | ||||||
| 16 | as a common
carrier on navigable waters in this State or on any | ||||||
| 17 | riverboat operated
under
the Riverboat Gambling Act, which boat | ||||||
| 18 | or riverboat maintains a public
dining room or restaurant | ||||||
| 19 | thereon. | ||||||
| 20 | (h) A non-beverage user's license shall allow the licensee | ||||||
| 21 | to
purchase alcoholic liquor from a licensed manufacturer or | ||||||
| 22 | importing
distributor, without the imposition of any tax upon | ||||||
| 23 | the business of such
licensed manufacturer or importing | ||||||
| 24 | distributor as to such alcoholic
liquor to be used by such | ||||||
| 25 | licensee solely for the non-beverage purposes
set forth in | ||||||
| 26 | subsection (a) of Section 8-1 of this Act, and
such licenses | ||||||
| |||||||
| |||||||
| 1 | shall be divided and classified and shall permit the
purchase, | ||||||
| 2 | possession and use of limited and stated quantities of
| ||||||
| 3 | alcoholic liquor as follows: | ||||||
| 4 | Class 1, not to exceed ......................... 500 gallons
| ||||||
| 5 | Class 2, not to exceed ....................... 1,000 gallons
| ||||||
| 6 | Class 3, not to exceed ....................... 5,000 gallons
| ||||||
| 7 | Class 4, not to exceed ...................... 10,000 gallons
| ||||||
| 8 | Class 5, not to exceed ....................... 50,000 gallons | ||||||
| 9 | (i) A wine-maker's premises license shall allow a
licensee | ||||||
| 10 | that concurrently holds a first-class wine-maker's license to | ||||||
| 11 | sell
and offer for sale at retail in the premises specified in | ||||||
| 12 | such license
not more than 50,000 gallons of the first-class | ||||||
| 13 | wine-maker's wine that is
made at the first-class wine-maker's | ||||||
| 14 | licensed premises per year for use or
consumption, but not for | ||||||
| 15 | resale in any form. A wine-maker's premises
license shall allow | ||||||
| 16 | a licensee who concurrently holds a second-class
wine-maker's | ||||||
| 17 | license to sell and offer for sale at retail in the premises
| ||||||
| 18 | specified in such license up to 100,000 gallons of the
| ||||||
| 19 | second-class wine-maker's wine that is made at the second-class | ||||||
| 20 | wine-maker's
licensed premises per year
for use or consumption | ||||||
| 21 | but not for resale in any form. A wine-maker's premises license | ||||||
| 22 | shall allow a
licensee that concurrently holds a first-class | ||||||
| 23 | wine-maker's license or a second-class
wine-maker's license to | ||||||
| 24 | sell
and offer for sale at retail at the premises specified in | ||||||
| 25 | the wine-maker's premises license, for use or consumption but | ||||||
| 26 | not for resale in any form, any beer, wine, and spirits | ||||||
| |||||||
| |||||||
| 1 | purchased from a licensed distributor. Upon approval from the
| ||||||
| 2 | State Commission, a wine-maker's premises license
shall allow | ||||||
| 3 | the licensee to sell and offer for sale at (i) the wine-maker's
| ||||||
| 4 | licensed premises and (ii) at up to 2 additional locations for | ||||||
| 5 | use and
consumption and not for resale. Each location shall | ||||||
| 6 | require additional
licensing per location as specified in | ||||||
| 7 | Section 5-3 of this Act. A wine-maker's premises licensee shall
| ||||||
| 8 | secure liquor liability insurance coverage in an amount at
| ||||||
| 9 | least equal to the maximum liability amounts set forth in
| ||||||
| 10 | subsection (a) of Section 6-21 of this Act.
| ||||||
| 11 | (j) An airplane license shall permit the licensee to import
| ||||||
| 12 | alcoholic liquors into this State from any point in the United | ||||||
| 13 | States
outside this State and to store such alcoholic liquors | ||||||
| 14 | in this State; to
make wholesale purchases of alcoholic liquors | ||||||
| 15 | directly from
manufacturers, foreign importers, distributors | ||||||
| 16 | and importing
distributors from within or outside this State; | ||||||
| 17 | and to store such
alcoholic liquors in this State; provided | ||||||
| 18 | that the above powers may be
exercised only in connection with | ||||||
| 19 | the importation, purchase or storage
of alcoholic liquors to be | ||||||
| 20 | sold or dispensed on an airplane; and
provided further, that | ||||||
| 21 | airplane licensees exercising the above powers
shall be subject | ||||||
| 22 | to all provisions of Article VIII of this Act as
applied to | ||||||
| 23 | importing distributors. An airplane licensee shall also
permit | ||||||
| 24 | the sale or dispensing of alcoholic liquors on any passenger
| ||||||
| 25 | airplane regularly operated by a common carrier in this State, | ||||||
| 26 | but shall
not permit the sale for resale of any alcoholic | ||||||
| |||||||
| |||||||
| 1 | liquors to any licensee
within this State. A single airplane | ||||||
| 2 | license shall be required of an
airline company if liquor | ||||||
| 3 | service is provided on board aircraft in this
State. The annual | ||||||
| 4 | fee for such license shall be as determined in
Section 5-3. | ||||||
| 5 | (k) A foreign importer's license shall permit such licensee | ||||||
| 6 | to purchase
alcoholic liquor from Illinois licensed | ||||||
| 7 | non-resident dealers only, and to
import alcoholic liquor other | ||||||
| 8 | than in bulk from any point outside the
United States and to | ||||||
| 9 | sell such alcoholic liquor to Illinois licensed
importing | ||||||
| 10 | distributors and to no one else in Illinois;
provided that (i) | ||||||
| 11 | the foreign importer registers with the State Commission
every
| ||||||
| 12 | brand of
alcoholic liquor that it proposes to sell to Illinois | ||||||
| 13 | licensees during the
license period, (ii) the foreign importer | ||||||
| 14 | complies with all of the provisions
of Section
6-9 of this Act | ||||||
| 15 | with respect to registration of such Illinois licensees as may
| ||||||
| 16 | be granted the
right to sell such brands at wholesale, and | ||||||
| 17 | (iii) the foreign importer complies with the provisions of | ||||||
| 18 | Sections 6-5 and 6-6 of this Act to the same extent that these | ||||||
| 19 | provisions apply to manufacturers. | ||||||
| 20 | (l) (i) A broker's license shall be required of all persons
| ||||||
| 21 | who solicit
orders for, offer to sell or offer to supply | ||||||
| 22 | alcoholic liquor to
retailers in the State of Illinois, or who | ||||||
| 23 | offer to retailers to ship or
cause to be shipped or to make | ||||||
| 24 | contact with distillers, rectifiers,
brewers or manufacturers | ||||||
| 25 | or any other party within or without the State
of Illinois in | ||||||
| 26 | order that alcoholic liquors be shipped to a distributor,
| ||||||
| |||||||
| |||||||
| 1 | importing distributor or foreign importer, whether such | ||||||
| 2 | solicitation or
offer is consummated within or without the | ||||||
| 3 | State of Illinois. | ||||||
| 4 | No holder of a retailer's license issued by the Illinois | ||||||
| 5 | Liquor
Control Commission shall purchase or receive any | ||||||
| 6 | alcoholic liquor, the
order for which was solicited or offered | ||||||
| 7 | for sale to such retailer by a
broker unless the broker is the | ||||||
| 8 | holder of a valid broker's license. | ||||||
| 9 | The broker shall, upon the acceptance by a retailer of the | ||||||
| 10 | broker's
solicitation of an order or offer to sell or supply or | ||||||
| 11 | deliver or have
delivered alcoholic liquors, promptly forward | ||||||
| 12 | to the Illinois Liquor
Control Commission a notification of | ||||||
| 13 | said transaction in such form as
the Commission may by | ||||||
| 14 | regulations prescribe. | ||||||
| 15 | (ii) A broker's license shall be required of
a person | ||||||
| 16 | within this State, other than a retail licensee,
who, for a fee | ||||||
| 17 | or commission, promotes, solicits, or accepts orders for
| ||||||
| 18 | alcoholic liquor, for use or consumption and not for
resale, to | ||||||
| 19 | be shipped from this State and delivered to residents outside | ||||||
| 20 | of
this State by an express company, common carrier, or | ||||||
| 21 | contract carrier.
This Section does not apply to any person who | ||||||
| 22 | promotes, solicits, or accepts
orders for wine as specifically | ||||||
| 23 | authorized in Section 6-29 of this Act. | ||||||
| 24 | A broker's license under this subsection (l)
shall not | ||||||
| 25 | entitle the holder to
buy or sell any
alcoholic liquors for his | ||||||
| 26 | own account or to take or deliver title to
such alcoholic | ||||||
| |||||||
| |||||||
| 1 | liquors. | ||||||
| 2 | This subsection (l)
shall not apply to distributors, | ||||||
| 3 | employees of
distributors, or employees of a manufacturer who | ||||||
| 4 | has registered the
trademark, brand or name of the alcoholic | ||||||
| 5 | liquor pursuant to Section 6-9
of this Act, and who regularly | ||||||
| 6 | sells such alcoholic liquor
in the State of Illinois only to | ||||||
| 7 | its registrants thereunder. | ||||||
| 8 | Any agent, representative, or person subject to | ||||||
| 9 | registration pursuant to
subsection (a-1) of this Section shall | ||||||
| 10 | not be eligible to receive a broker's
license. | ||||||
| 11 | (m) A non-resident dealer's license shall permit such | ||||||
| 12 | licensee to ship
into and warehouse alcoholic liquor into this | ||||||
| 13 | State from any point
outside of this State, and to sell such | ||||||
| 14 | alcoholic liquor to Illinois licensed
foreign importers and | ||||||
| 15 | importing distributors and to no one else in this State;
| ||||||
| 16 | provided that (i) said non-resident dealer shall register with | ||||||
| 17 | the Illinois Liquor
Control Commission each and every brand of | ||||||
| 18 | alcoholic liquor which it proposes
to sell to Illinois | ||||||
| 19 | licensees during the license period, (ii) it shall comply with | ||||||
| 20 | all of the provisions of Section 6-9 hereof with
respect to | ||||||
| 21 | registration of such Illinois licensees as may be granted the | ||||||
| 22 | right
to sell such brands at wholesale by duly filing such | ||||||
| 23 | registration statement, thereby authorizing the non-resident | ||||||
| 24 | dealer to proceed to sell such brands at wholesale, and (iii) | ||||||
| 25 | the non-resident dealer shall comply with the provisions of | ||||||
| 26 | Sections 6-5 and 6-6 of this Act to the same extent that these | ||||||
| |||||||
| |||||||
| 1 | provisions apply to manufacturers. No person licensed as a | ||||||
| 2 | non-resident dealer shall be granted a distributor's or | ||||||
| 3 | importing distributor's license. | ||||||
| 4 | (n) A brew pub license shall allow the licensee to only (i) | ||||||
| 5 | manufacture up to 155,000 gallons of beer per year only
on the | ||||||
| 6 | premises specified in the license, (ii) make sales of the
beer | ||||||
| 7 | manufactured on the premises or, with the approval of the | ||||||
| 8 | Commission, beer manufactured on another brew pub licensed | ||||||
| 9 | premises that is wholly owned and operated by the same licensee | ||||||
| 10 | to importing distributors, distributors,
and to non-licensees | ||||||
| 11 | for use and consumption, (iii) store the beer upon
the | ||||||
| 12 | premises, (iv) sell and offer for sale at retail from the | ||||||
| 13 | licensed
premises for off-premises
consumption no more than | ||||||
| 14 | 155,000 gallons per year so long as such sales are only made | ||||||
| 15 | in-person, (v) sell and offer for sale at retail for use and | ||||||
| 16 | consumption on the premises specified in the license any form | ||||||
| 17 | of alcoholic liquor purchased from a licensed distributor or | ||||||
| 18 | importing distributor, and (vi) with the prior approval of the | ||||||
| 19 | Commission, annually transfer no more than 155,000 gallons of | ||||||
| 20 | beer manufactured on the premises to a licensed brew pub wholly | ||||||
| 21 | owned and operated by the same licensee, and (vii) | ||||||
| 22 | notwithstanding item (i) of this subsection, brew pubs wholly | ||||||
| 23 | owned and operated by the same licensee may combine each | ||||||
| 24 | location's production limit of 155,000 gallons of beer per year | ||||||
| 25 | and allocate the aggregate total between the wholly owned, | ||||||
| 26 | operated, and licensed locations. | ||||||
| |||||||
| |||||||
| 1 | A brew pub licensee shall not under any circumstance sell | ||||||
| 2 | or offer for sale beer manufactured by the brew pub licensee to | ||||||
| 3 | retail licensees. | ||||||
| 4 | A person who holds a class 2 brewer license may | ||||||
| 5 | simultaneously hold a brew pub license if the class 2 brewer | ||||||
| 6 | (i) does not, under any circumstance, sell or offer for sale | ||||||
| 7 | beer manufactured by the class 2 brewer to retail licensees; | ||||||
| 8 | (ii) does not hold more than 3 brew pub licenses in this State; | ||||||
| 9 | (iii) does not manufacture more than a combined 3,720,000 | ||||||
| 10 | gallons of beer per year, including the beer manufactured at | ||||||
| 11 | the brew pub; and (iv) is not a member of or affiliated with, | ||||||
| 12 | directly or indirectly, a manufacturer that produces more than | ||||||
| 13 | 3,720,000 gallons of beer per year or any other alcoholic | ||||||
| 14 | liquor. | ||||||
| 15 | Notwithstanding any other provision of this Act, a licensed | ||||||
| 16 | brewer, class 2 brewer, or non-resident dealer who before July | ||||||
| 17 | 1, 2015 manufactured less than 3,720,000 gallons of beer per | ||||||
| 18 | year and held a brew pub license on or before July 1, 2015 may | ||||||
| 19 | (i) continue to qualify for and hold that brew pub license for | ||||||
| 20 | the licensed premises and (ii) manufacture more than 3,720,000 | ||||||
| 21 | gallons of beer per year and continue to qualify for and hold | ||||||
| 22 | that brew pub license if that brewer, class 2 brewer, or | ||||||
| 23 | non-resident dealer does not simultaneously hold a class 1 | ||||||
| 24 | brewer license and is not a member of or affiliated with, | ||||||
| 25 | directly or indirectly, a manufacturer that produces more than | ||||||
| 26 | 3,720,000 gallons of beer per year or that produces any other | ||||||
| |||||||
| |||||||
| 1 | alcoholic liquor. | ||||||
| 2 | (o) A caterer retailer license shall allow the holder
to | ||||||
| 3 | serve alcoholic liquors as an incidental part of a food service | ||||||
| 4 | that serves
prepared meals which excludes the serving of snacks | ||||||
| 5 | as
the primary meal, either on or off-site whether licensed or | ||||||
| 6 | unlicensed. | ||||||
| 7 | (p) An auction liquor license shall allow the licensee to | ||||||
| 8 | sell and offer
for sale at auction wine and spirits for use or | ||||||
| 9 | consumption, or for resale by
an Illinois liquor licensee in | ||||||
| 10 | accordance with provisions of this Act. An
auction liquor | ||||||
| 11 | license will be issued to a person and it will permit the
| ||||||
| 12 | auction liquor licensee to hold the auction anywhere in the | ||||||
| 13 | State. An auction
liquor license must be obtained for each | ||||||
| 14 | auction at least 14 days in advance of
the auction date. | ||||||
| 15 | (q) A special use permit license shall allow an Illinois | ||||||
| 16 | licensed
retailer to transfer a portion of its alcoholic liquor | ||||||
| 17 | inventory from its
retail licensed premises to the premises | ||||||
| 18 | specified in the license hereby
created, and to sell or offer | ||||||
| 19 | for sale at retail, only in the premises
specified in the | ||||||
| 20 | license hereby created, the transferred alcoholic liquor for
| ||||||
| 21 | use or consumption, but not for resale in any form. A special | ||||||
| 22 | use permit
license may be granted for the following time | ||||||
| 23 | periods: one day or less; 2 or
more days to a maximum of 15 days | ||||||
| 24 | per location in any 12-month period. An
applicant for the | ||||||
| 25 | special use permit license must also submit with the
| ||||||
| 26 | application proof satisfactory to the State Commission that the | ||||||
| |||||||
| |||||||
| 1 | applicant will
provide dram shop liability insurance to the | ||||||
| 2 | maximum limits and have local
authority approval. | ||||||
| 3 | (r) A winery shipper's license shall allow a person
with a | ||||||
| 4 | first-class or second-class wine manufacturer's
license, a | ||||||
| 5 | first-class or second-class wine-maker's license,
or a limited | ||||||
| 6 | wine manufacturer's license or who is licensed to
make wine | ||||||
| 7 | under the laws of another state to ship wine
made by that | ||||||
| 8 | licensee directly to a resident of this
State who is 21 years | ||||||
| 9 | of age or older for that resident's
personal use and not for | ||||||
| 10 | resale. Prior to receiving a
winery shipper's license, an | ||||||
| 11 | applicant for the license must
provide the Commission with a | ||||||
| 12 | true copy of its current
license in any state in which it is | ||||||
| 13 | licensed as a manufacturer
of wine. An applicant for a winery | ||||||
| 14 | shipper's license must
also complete an application form that | ||||||
| 15 | provides any other
information the Commission deems necessary. | ||||||
| 16 | The application form shall include all addresses from which the | ||||||
| 17 | applicant for a winery shipper's license intends to ship wine, | ||||||
| 18 | including the name and address of any third party, except for a | ||||||
| 19 | common carrier, authorized to ship wine on behalf of the | ||||||
| 20 | manufacturer. The
application form shall include an | ||||||
| 21 | acknowledgement consenting
to the jurisdiction of the | ||||||
| 22 | Commission, the Illinois
Department of Revenue, and the courts | ||||||
| 23 | of this State concerning
the enforcement of this Act and any | ||||||
| 24 | related laws, rules, and
regulations, including authorizing | ||||||
| 25 | the Department of Revenue
and the Commission to conduct audits | ||||||
| 26 | for the purpose of
ensuring compliance with Public Act 95-634, | ||||||
| |||||||
| |||||||
| 1 | and an acknowledgement that the wine manufacturer is in | ||||||
| 2 | compliance with Section 6-2 of this Act. Any third party, | ||||||
| 3 | except for a common carrier, authorized to ship wine on behalf | ||||||
| 4 | of a first-class or second-class wine manufacturer's licensee, | ||||||
| 5 | a first-class or second-class wine-maker's licensee, a limited | ||||||
| 6 | wine manufacturer's licensee, or a person who is licensed to | ||||||
| 7 | make wine under the laws of another state shall also be | ||||||
| 8 | disclosed by the winery shipper's licensee, and a copy of the | ||||||
| 9 | written appointment of the third-party wine provider, except | ||||||
| 10 | for a common carrier, to the wine manufacturer shall be filed | ||||||
| 11 | with the State Commission as a supplement to the winery | ||||||
| 12 | shipper's license application or any renewal thereof. The | ||||||
| 13 | winery shipper's license holder shall affirm under penalty of | ||||||
| 14 | perjury, as part of the winery shipper's license application or | ||||||
| 15 | renewal, that he or she only ships wine, either directly or | ||||||
| 16 | indirectly through a third-party provider, from the licensee's | ||||||
| 17 | own production. | ||||||
| 18 | Except for a common carrier, a third-party provider | ||||||
| 19 | shipping wine on behalf of a winery shipper's license holder is | ||||||
| 20 | the agent of the winery shipper's license holder and, as such, | ||||||
| 21 | a winery shipper's license holder is responsible for the acts | ||||||
| 22 | and omissions of the third-party provider acting on behalf of | ||||||
| 23 | the license holder. A third-party provider, except for a common | ||||||
| 24 | carrier, that engages in shipping wine into Illinois on behalf | ||||||
| 25 | of a winery shipper's license holder shall consent to the | ||||||
| 26 | jurisdiction of the State Commission and the State. Any | ||||||
| |||||||
| |||||||
| 1 | third-party, except for a common carrier, holding such an | ||||||
| 2 | appointment shall, by February 1 of each calendar year and upon | ||||||
| 3 | request by the State Commission or the Department of Revenue, | ||||||
| 4 | file with the State Commission a statement detailing each | ||||||
| 5 | shipment made to an Illinois resident. The statement shall | ||||||
| 6 | include the name and address of the third-party provider filing | ||||||
| 7 | the statement, the time period covered by the statement, and | ||||||
| 8 | the following information: | ||||||
| 9 | (1) the name, address, and license number of the winery | ||||||
| 10 | shipper on whose behalf the shipment was made; | ||||||
| 11 | (2) the quantity of the products delivered; and | ||||||
| 12 | (3) the date and address of the shipment. | ||||||
| 13 | If the Department of Revenue or the State Commission requests a | ||||||
| 14 | statement under this paragraph, the third-party provider must | ||||||
| 15 | provide that statement no later than 30 days after the request | ||||||
| 16 | is made. Any books, records, supporting papers, and documents | ||||||
| 17 | containing information and data relating to a statement under | ||||||
| 18 | this paragraph shall be kept and preserved for a period of 3 | ||||||
| 19 | years, unless their destruction sooner is authorized, in | ||||||
| 20 | writing, by the Director of Revenue, and shall be open and | ||||||
| 21 | available to inspection by the Director of Revenue or the State | ||||||
| 22 | Commission or any duly authorized officer, agent, or employee | ||||||
| 23 | of the State Commission or the Department of Revenue, at all | ||||||
| 24 | times during business hours of the day. Any person who violates | ||||||
| 25 | any provision of this paragraph or any rule of the State | ||||||
| 26 | Commission for the administration and enforcement of the | ||||||
| |||||||
| |||||||
| 1 | provisions of this paragraph is guilty of a Class C | ||||||
| 2 | misdemeanor. In case of a continuing violation, each day's | ||||||
| 3 | continuance thereof shall be a separate and distinct offense. | ||||||
| 4 | The State Commission shall adopt rules as soon as | ||||||
| 5 | practicable to implement the requirements of Public Act 99-904 | ||||||
| 6 | and shall adopt rules prohibiting any such third-party | ||||||
| 7 | appointment of a third-party provider, except for a common | ||||||
| 8 | carrier, that has been deemed by the State Commission to have | ||||||
| 9 | violated the provisions of this Act with regard to any winery | ||||||
| 10 | shipper licensee. | ||||||
| 11 | A winery shipper licensee must pay to the Department
of | ||||||
| 12 | Revenue the State liquor gallonage tax under Section 8-1 for
| ||||||
| 13 | all wine that is sold by the licensee and shipped to a person
| ||||||
| 14 | in this State. For the purposes of Section 8-1, a winery
| ||||||
| 15 | shipper licensee shall be taxed in the same manner as a
| ||||||
| 16 | manufacturer of wine. A licensee who is not otherwise required | ||||||
| 17 | to register under the Retailers' Occupation Tax Act must
| ||||||
| 18 | register under the Use Tax Act to collect and remit use tax to
| ||||||
| 19 | the Department of Revenue for all gallons of wine that are sold
| ||||||
| 20 | by the licensee and shipped to persons in this State. If a
| ||||||
| 21 | licensee fails to remit the tax imposed under this Act in
| ||||||
| 22 | accordance with the provisions of Article VIII of this Act, the
| ||||||
| 23 | winery shipper's license shall be revoked in accordance
with | ||||||
| 24 | the provisions of Article VII of this Act. If a licensee
fails | ||||||
| 25 | to properly register and remit tax under the Use Tax Act
or the | ||||||
| 26 | Retailers' Occupation Tax Act for all wine that is sold
by the | ||||||
| |||||||
| |||||||
| 1 | winery shipper and shipped to persons in this
State, the winery | ||||||
| 2 | shipper's license shall be revoked in
accordance with the | ||||||
| 3 | provisions of Article VII of this Act. | ||||||
| 4 | A winery shipper licensee must collect, maintain, and
| ||||||
| 5 | submit to the Commission on a semi-annual basis the
total | ||||||
| 6 | number of cases per resident of wine shipped to residents
of | ||||||
| 7 | this State.
A winery shipper licensed under this subsection (r)
| ||||||
| 8 | must comply with the requirements of Section 6-29 of this Act. | ||||||
| 9 | Pursuant to paragraph (5.1) or (5.3) of subsection (a) of | ||||||
| 10 | Section 3-12, the State Commission may receive, respond to, and | ||||||
| 11 | investigate any complaint and impose any of the remedies | ||||||
| 12 | specified in paragraph (1) of subsection (a) of Section 3-12. | ||||||
| 13 | As used in this subsection, "third-party provider" means | ||||||
| 14 | any entity that provides fulfillment house services, including | ||||||
| 15 | warehousing, packaging, distribution, order processing, or | ||||||
| 16 | shipment of wine, but not the sale of wine, on behalf of a | ||||||
| 17 | licensed winery shipper. | ||||||
| 18 | (s) A craft distiller tasting permit license shall allow an | ||||||
| 19 | Illinois licensed craft distiller to transfer a portion of its | ||||||
| 20 | alcoholic liquor inventory from its craft distiller licensed | ||||||
| 21 | premises to the premises specified in the license hereby | ||||||
| 22 | created and to conduct a sampling, only in the premises | ||||||
| 23 | specified in the license hereby created, of the transferred | ||||||
| 24 | alcoholic liquor in accordance with subsection (c) of Section | ||||||
| 25 | 6-31 of this Act. The transferred alcoholic liquor may not be | ||||||
| 26 | sold or resold in any form. An applicant for the craft | ||||||
| |||||||
| |||||||
| 1 | distiller tasting permit license must also submit with the | ||||||
| 2 | application proof satisfactory to the State Commission that the | ||||||
| 3 | applicant will provide dram shop liability insurance to the | ||||||
| 4 | maximum limits and have local authority approval. | ||||||
| 5 | A brewer warehouse permit may be issued to the holder of a | ||||||
| 6 | class 1 brewer license or a class 2 brewer license. If the | ||||||
| 7 | holder of the permit is a class 1 brewer licensee, the brewer | ||||||
| 8 | warehouse permit shall allow the holder to store or warehouse | ||||||
| 9 | up to 930,000 gallons of tax-determined beer manufactured by | ||||||
| 10 | the holder of the permit at the premises specified on the | ||||||
| 11 | permit. If the holder of the permit is a class 2 brewer | ||||||
| 12 | licensee, the brewer warehouse permit shall allow the holder to | ||||||
| 13 | store or warehouse up to 3,720,000 gallons of tax-determined | ||||||
| 14 | beer manufactured by the holder of the permit at the premises | ||||||
| 15 | specified on the permit. Sales to non-licensees are prohibited | ||||||
| 16 | at the premises specified in the brewer warehouse permit. | ||||||
| 17 | (Source: P.A. 99-448, eff. 8-24-15; 99-642, eff. 7-28-16; | ||||||
| 18 | 99-800, eff. 8-12-16; 99-902, eff. 8-26-16; 99-904, eff. | ||||||
| 19 | 1-1-17; 100-17, eff. 6-30-17; 100-201, eff. 8-18-17; 100-816, | ||||||
| 20 | eff. 8-13-18; 100-885, eff. 8-14-18; 100-1050, eff. 8-23-18; | ||||||
| 21 | revised 10-2-18.)
| ||||||
| 22 | Section 99. Effective date. This Act takes effect upon | ||||||
| 23 | becoming law.".
| ||||||
