Bill Text: IL HB4775 | 2023-2024 | 103rd General Assembly | Introduced


Bill Title: Amends the Liquor Control Act of 1934. Provides that a special event retailer's license (not-for-profit) or special use permit license shall allow the licensee to sell and offer for sale, at retail, alcoholic liquors for consumption on or off the premises specified in the license (instead of for use or consumption) if certain conditions are met. Provides that a retail licensee or licensed manufacturer with retail privileges may offer incentives to consumers for participation in a consumer loyalty and reward program, offer consumers discounts on its products as part of a consumer loyalty and reward program, offer benefits to the members or participants of a consumer loyalty and reward program that are not offered to other consumers, or offer specialty glassware for sale to members or participants in a consumer loyalty and reward program, and offer a price discount to the owner of that glassware for additional purchases using the glassware. Defines "consumer loyalty and reward program".

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-04-05 - Rule 19(a) / Re-referred to Rules Committee [HB4775 Detail]

Download: Illinois-2023-HB4775-Introduced.html

103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB4775

Introduced , by Rep. Will Guzzardi

SYNOPSIS AS INTRODUCED:
235 ILCS 5/5-1 from Ch. 43, par. 115
235 ILCS 5/6-40 new

Amends the Liquor Control Act of 1934. Provides that a special event retailer's license (not-for-profit) or special use permit license shall allow the licensee to sell and offer for sale, at retail, alcoholic liquors for consumption on or off the premises specified in the license (instead of for use or consumption) if certain conditions are met. Provides that a retail licensee or licensed manufacturer with retail privileges may offer incentives to consumers for participation in a consumer loyalty and reward program, offer consumers discounts on its products as part of a consumer loyalty and reward program, offer benefits to the members or participants of a consumer loyalty and reward program that are not offered to other consumers, or offer specialty glassware for sale to members or participants in a consumer loyalty and reward program, and offer a price discount to the owner of that glassware for additional purchases using the glassware. Defines "consumer loyalty and reward program".
LRB103 37577 RPS 67703 b

A BILL FOR

HB4775LRB103 37577 RPS 67703 b
1 AN ACT concerning liquor.
2 Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4 Section 5. The Liquor Control Act of 1934 is amended by
5changing Section 5-1 and adding Section 6-40 as follows:
6 (235 ILCS 5/5-1) (from Ch. 43, par. 115)
7 Sec. 5-1. Licenses issued by the Illinois Liquor Control
8Commission shall be of the following classes:
9 (a) Manufacturer's license - Class 1. Distiller, Class 2.
10Rectifier, Class 3. Brewer, Class 4. First Class Wine
11Manufacturer, Class 5. Second Class Wine Manufacturer, Class
126. First Class Winemaker, Class 7. Second Class Winemaker,
13Class 8. Limited Wine Manufacturer, Class 9. Craft Distiller,
14Class 10. Class 1 Craft Distiller, Class 11. Class 2 Craft
15Distiller, Class 12. Class 1 Brewer, Class 13. Class 2 Brewer,
16Class 14. Class 3 Brewer,
17 (b) Distributor's license,
18 (c) Importing Distributor's license,
19 (d) Retailer's license,
20 (e) Special Event Retailer's license (not-for-profit),
21 (f) Railroad license,
22 (g) Boat license,
23 (h) Non-Beverage User's license,

HB4775- 2 -LRB103 37577 RPS 67703 b
1 (i) Wine-maker's premises license,
2 (j) Airplane license,
3 (k) Foreign importer's license,
4 (l) Broker's license,
5 (m) Non-resident dealer's license,
6 (n) Brew Pub license,
7 (o) Auction liquor license,
8 (p) Caterer retailer license,
9 (q) Special use permit license,
10 (r) Winery shipper's license,
11 (s) Craft distiller tasting permit,
12 (t) Brewer warehouse permit,
13 (u) Distilling pub license,
14 (v) Craft distiller warehouse permit,
15 (w) Beer showcase permit.
16 No person, firm, partnership, corporation, or other legal
17business entity that is engaged in the manufacturing of wine
18may concurrently obtain and hold a wine-maker's license and a
19wine manufacturer's license.
20 (a) A manufacturer's license shall allow the manufacture,
21importation in bulk, storage, distribution and sale of
22alcoholic liquor to persons without the State, as may be
23permitted by law and to licensees in this State as follows:
24 Class 1. A Distiller may make sales and deliveries of
25alcoholic liquor to distillers, rectifiers, importing
26distributors, distributors and non-beverage users and to no

HB4775- 3 -LRB103 37577 RPS 67703 b
1other licensees.
2 Class 2. A Rectifier, who is not a distiller, as defined
3herein, may make sales and deliveries of alcoholic liquor to
4rectifiers, importing distributors, distributors, retailers
5and non-beverage users and to no other licensees.
6 Class 3. A Brewer may make sales and deliveries of beer to
7importing distributors and distributors and may make sales as
8authorized under subsection (e) of Section 6-4 of this Act,
9including any alcoholic liquor that subsection (e) of Section
106-4 authorizes a brewer to sell in its original package only to
11a non-licensee for pick-up by a non-licensee either within the
12interior of the brewery premises or at outside of the brewery
13premises at a curb-side or parking lot adjacent to the brewery
14premises, subject to any local ordinance.
15 Class 4. A first class wine-manufacturer may make sales
16and deliveries of up to 50,000 gallons of wine to
17manufacturers, importing distributors and distributors, and to
18no other licensees. If a first-class wine-manufacturer
19manufactures beer, it shall also obtain and shall only be
20eligible for, in addition to any current license, a class 1
21brewer license, shall not manufacture more than 930,000
22gallons of beer per year, and shall not be a member of or
23affiliated with, directly or indirectly, a manufacturer that
24produces more than 930,000 gallons of beer per year. If the
25first-class wine-manufacturer manufactures spirits, it shall
26also obtain and shall only be eligible for, in addition to any

HB4775- 4 -LRB103 37577 RPS 67703 b
1current license, a class 1 craft distiller license, shall not
2manufacture more than 50,000 gallons of spirits per year, and
3shall not be a member of or affiliated with, directly or
4indirectly, a manufacturer that produces more than 50,000
5gallons of spirits per year. A first-class wine-manufacturer
6shall be permitted to sell wine manufactured at the
7first-class wine-manufacturer premises to non-licensees.
8 Class 5. A second class Wine manufacturer may make sales
9and deliveries of more than 50,000 gallons of wine to
10manufacturers, importing distributors and distributors and to
11no other licensees.
12 Class 6. A first-class wine-maker's license shall allow
13the manufacture of up to 50,000 gallons of wine per year, and
14the storage and sale of such wine to distributors in the State
15and to persons without the State, as may be permitted by law. A
16person who, prior to June 1, 2008 (the effective date of Public
17Act 95-634), is a holder of a first-class wine-maker's license
18and annually produces more than 25,000 gallons of its own wine
19and who distributes its wine to licensed retailers shall cease
20this practice on or before July 1, 2008 in compliance with
21Public Act 95-634. If a first-class wine-maker manufactures
22beer, it shall also obtain and shall only be eligible for, in
23addition to any current license, a class 1 brewer license,
24shall not manufacture more than 930,000 gallons of beer per
25year, and shall not be a member of or affiliated with, directly
26or indirectly, a manufacturer that produces more than 930,000

HB4775- 5 -LRB103 37577 RPS 67703 b
1gallons of beer per year. If the first-class wine-maker
2manufactures spirits, it shall also obtain and shall only be
3eligible for, in addition to any current license, a class 1
4craft distiller license, shall not manufacture more than
550,000 gallons of spirits per year, and shall not be a member
6of or affiliated with, directly or indirectly, a manufacturer
7that produces more than 50,000 gallons of spirits per year. A
8first-class wine-maker holding a class 1 brewer license or a
9class 1 craft distiller license shall not be eligible for a
10wine-maker's premises license but shall be permitted to sell
11wine manufactured at the first-class wine-maker premises to
12non-licensees.
13 Class 7. A second-class wine-maker's license shall allow
14the manufacture of up to 150,000 gallons of wine per year, and
15the storage and sale of such wine to distributors in this State
16and to persons without the State, as may be permitted by law. A
17person who, prior to June 1, 2008 (the effective date of Public
18Act 95-634), is a holder of a second-class wine-maker's
19license and annually produces more than 25,000 gallons of its
20own wine and who distributes its wine to licensed retailers
21shall cease this practice on or before July 1, 2008 in
22compliance with Public Act 95-634. If a second-class
23wine-maker manufactures beer, it shall also obtain and shall
24only be eligible for, in addition to any current license, a
25class 2 brewer license, shall not manufacture more than
263,720,000 gallons of beer per year, and shall not be a member

HB4775- 6 -LRB103 37577 RPS 67703 b
1of or affiliated with, directly or indirectly, a manufacturer
2that produces more than 3,720,000 gallons of beer per year. If
3a second-class wine-maker manufactures spirits, it shall also
4obtain and shall only be eligible for, in addition to any
5current license, a class 2 craft distiller license, shall not
6manufacture more than 100,000 gallons of spirits per year, and
7shall not be a member of or affiliated with, directly or
8indirectly, a manufacturer that produces more than 100,000
9gallons of spirits per year.
10 Class 8. A limited wine-manufacturer may make sales and
11deliveries not to exceed 40,000 gallons of wine per year to
12distributors, and to non-licensees in accordance with the
13provisions of this Act.
14 Class 9. A craft distiller license, which may only be held
15by a class 1 craft distiller licensee or class 2 craft
16distiller licensee but not held by both a class 1 craft
17distiller licensee and a class 2 craft distiller licensee,
18shall grant all rights conveyed by either: (i) a class 1 craft
19distiller license if the craft distiller holds a class 1 craft
20distiller license; or (ii) a class 2 craft distiller licensee
21if the craft distiller holds a class 2 craft distiller
22license.
23 Class 10. A class 1 craft distiller license, which may
24only be issued to a licensed craft distiller or licensed
25non-resident dealer, shall allow the manufacture of up to
2650,000 gallons of spirits per year provided that the class 1

HB4775- 7 -LRB103 37577 RPS 67703 b
1craft distiller licensee does not manufacture more than a
2combined 50,000 gallons of spirits per year and is not a member
3of or affiliated with, directly or indirectly, a manufacturer
4that produces more than 50,000 gallons of spirits per year. If
5a class 1 craft distiller manufactures beer, it shall also
6obtain and shall only be eligible for, in addition to any
7current license, a class 1 brewer license, shall not
8manufacture more than 930,000 gallons of beer per year, and
9shall not be a member of or affiliated with, directly or
10indirectly, a manufacturer that produces more than 930,000
11gallons of beer per year. If a class 1 craft distiller
12manufactures wine, it shall also obtain and shall only be
13eligible for, in addition to any current license, a
14first-class wine-manufacturer license or a first-class
15wine-maker's license, shall not manufacture more than 50,000
16gallons of wine per year, and shall not be a member of or
17affiliated with, directly or indirectly, a manufacturer that
18produces more than 50,000 gallons of wine per year. A class 1
19craft distiller licensee may make sales and deliveries to
20importing distributors and distributors and to retail
21licensees in accordance with the conditions set forth in
22paragraph (19) of subsection (a) of Section 3-12 of this Act.
23However, the aggregate amount of spirits sold to non-licensees
24and sold or delivered to retail licensees may not exceed 5,000
25gallons per year.
26 A class 1 craft distiller licensee may sell up to 5,000

HB4775- 8 -LRB103 37577 RPS 67703 b
1gallons of such spirits to non-licensees to the extent
2permitted by any exemption approved by the State Commission
3pursuant to Section 6-4 of this Act. A class 1 craft distiller
4license holder may store such spirits at a non-contiguous
5licensed location, but at no time shall a class 1 craft
6distiller license holder directly or indirectly produce in the
7aggregate more than 50,000 gallons of spirits per year.
8 A class 1 craft distiller licensee may hold more than one
9class 1 craft distiller's license. However, a class 1 craft
10distiller that holds more than one class 1 craft distiller
11license shall not manufacture, in the aggregate, more than
1250,000 gallons of spirits by distillation per year and shall
13not sell, in the aggregate, more than 5,000 gallons of such
14spirits to non-licensees in accordance with an exemption
15approved by the State Commission pursuant to Section 6-4 of
16this Act.
17 Class 11. A class 2 craft distiller license, which may
18only be issued to a licensed craft distiller or licensed
19non-resident dealer, shall allow the manufacture of up to
20100,000 gallons of spirits per year provided that the class 2
21craft distiller licensee does not manufacture more than a
22combined 100,000 gallons of spirits per year and is not a
23member of or affiliated with, directly or indirectly, a
24manufacturer that produces more than 100,000 gallons of
25spirits per year. If a class 2 craft distiller manufactures
26beer, it shall also obtain and shall only be eligible for, in

HB4775- 9 -LRB103 37577 RPS 67703 b
1addition to any current license, a class 2 brewer license,
2shall not manufacture more than 3,720,000 gallons of beer per
3year, and shall not be a member of or affiliated with, directly
4or indirectly, a manufacturer that produces more than
53,720,000 gallons of beer per year. If a class 2 craft
6distiller manufactures wine, it shall also obtain and shall
7only be eligible for, in addition to any current license, a
8second-class wine-maker's license, shall not manufacture more
9than 150,000 gallons of wine per year, and shall not be a
10member of or affiliated with, directly or indirectly, a
11manufacturer that produces more than 150,000 gallons of wine
12per year. A class 2 craft distiller licensee may make sales and
13deliveries to importing distributors and distributors, but
14shall not make sales or deliveries to any other licensee. If
15the State Commission provides prior approval, a class 2 craft
16distiller licensee may annually transfer up to 100,000 gallons
17of spirits manufactured by that class 2 craft distiller
18licensee to the premises of a licensed class 2 craft distiller
19wholly owned and operated by the same licensee. A class 2 craft
20distiller may transfer spirits to a distilling pub wholly
21owned and operated by the class 2 craft distiller subject to
22the following limitations and restrictions: (i) the transfer
23shall not annually exceed more than 5,000 gallons; (ii) the
24annual amount transferred shall reduce the distilling pub's
25annual permitted production limit; (iii) all spirits
26transferred shall be subject to Article VIII of this Act; (iv)

HB4775- 10 -LRB103 37577 RPS 67703 b
1a written record shall be maintained by the distiller and
2distilling pub specifying the amount, date of delivery, and
3receipt of the product by the distilling pub; and (v) the
4distilling pub shall be located no farther than 80 miles from
5the class 2 craft distiller's licensed location.
6 A class 2 craft distiller shall, prior to transferring
7spirits to a distilling pub wholly owned by the class 2 craft
8distiller, furnish a written notice to the State Commission of
9intent to transfer spirits setting forth the name and address
10of the distilling pub and shall annually submit to the State
11Commission a verified report identifying the total gallons of
12spirits transferred to the distilling pub wholly owned by the
13class 2 craft distiller.
14 A class 2 craft distiller license holder may store such
15spirits at a non-contiguous licensed location, but at no time
16shall a class 2 craft distiller license holder directly or
17indirectly produce in the aggregate more than 100,000 gallons
18of spirits per year.
19 Class 12. A class 1 brewer license, which may only be
20issued to a licensed brewer or licensed non-resident dealer,
21shall allow the manufacture of up to 930,000 gallons of beer
22per year provided that the class 1 brewer licensee does not
23manufacture more than a combined 930,000 gallons of beer per
24year and is not a member of or affiliated with, directly or
25indirectly, a manufacturer that produces more than 930,000
26gallons of beer per year. If a class 1 brewer manufactures

HB4775- 11 -LRB103 37577 RPS 67703 b
1spirits, it shall also obtain and shall only be eligible for,
2in addition to any current license, a class 1 craft distiller
3license, shall not manufacture more than 50,000 gallons of
4spirits per year, and shall not be a member of or affiliated
5with, directly or indirectly, a manufacturer that produces
6more than 50,000 gallons of spirits per year. If a class 1
7craft brewer manufactures wine, it shall also obtain and shall
8only be eligible for, in addition to any current license, a
9first-class wine-manufacturer license or a first-class
10wine-maker's license, shall not manufacture more than 50,000
11gallons of wine per year, and shall not be a member of or
12affiliated with, directly or indirectly, a manufacturer that
13produces more than 50,000 gallons of wine per year. A class 1
14brewer licensee may make sales and deliveries to importing
15distributors and distributors and to retail licensees in
16accordance with the conditions set forth in paragraph (18) of
17subsection (a) of Section 3-12 of this Act. If the State
18Commission provides prior approval, a class 1 brewer may
19annually transfer up to 930,000 gallons of beer manufactured
20by that class 1 brewer to the premises of a licensed class 1
21brewer wholly owned and operated by the same licensee.
22 Class 13. A class 2 brewer license, which may only be
23issued to a licensed brewer or licensed non-resident dealer,
24shall allow the manufacture of up to 3,720,000 gallons of beer
25per year provided that the class 2 brewer licensee does not
26manufacture more than a combined 3,720,000 gallons of beer per

HB4775- 12 -LRB103 37577 RPS 67703 b
1year and is not a member of or affiliated with, directly or
2indirectly, a manufacturer that produces more than 3,720,000
3gallons of beer per year. If a class 2 brewer manufactures
4spirits, it shall also obtain and shall only be eligible for,
5in addition to any current license, a class 2 craft distiller
6license, shall not manufacture more than 100,000 gallons of
7spirits per year, and shall not be a member of or affiliated
8with, directly or indirectly, a manufacturer that produces
9more than 100,000 gallons of spirits per year. If a class 2
10craft distiller manufactures wine, it shall also obtain and
11shall only be eligible for, in addition to any current
12license, a second-class wine-maker's license, shall not
13manufacture more than 150,000 gallons of wine per year, and
14shall not be a member of or affiliated with, directly or
15indirectly, a manufacturer that produces more than 150,000
16gallons of wine a year. A class 2 brewer licensee may make
17sales and deliveries to importing distributors and
18distributors, but shall not make sales or deliveries to any
19other licensee. If the State Commission provides prior
20approval, a class 2 brewer licensee may annually transfer up
21to 3,720,000 gallons of beer manufactured by that class 2
22brewer licensee to the premises of a licensed class 2 brewer
23wholly owned and operated by the same licensee.
24 A class 2 brewer may transfer beer to a brew pub wholly
25owned and operated by the class 2 brewer subject to the
26following limitations and restrictions: (i) the transfer shall

HB4775- 13 -LRB103 37577 RPS 67703 b
1not annually exceed more than 31,000 gallons; (ii) the annual
2amount transferred shall reduce the brew pub's annual
3permitted production limit; (iii) all beer transferred shall
4be subject to Article VIII of this Act; (iv) a written record
5shall be maintained by the brewer and brew pub specifying the
6amount, date of delivery, and receipt of the product by the
7brew pub; and (v) the brew pub shall be located no farther than
880 miles from the class 2 brewer's licensed location.
9 A class 2 brewer shall, prior to transferring beer to a
10brew pub wholly owned by the class 2 brewer, furnish a written
11notice to the State Commission of intent to transfer beer
12setting forth the name and address of the brew pub and shall
13annually submit to the State Commission a verified report
14identifying the total gallons of beer transferred to the brew
15pub wholly owned by the class 2 brewer.
16 Class 14. A class 3 brewer license, which may be issued to
17a brewer or a non-resident dealer, shall allow the manufacture
18of no more than 465,000 gallons of beer per year and no more
19than 155,000 gallons at a single brewery premises, and shall
20allow the sale of no more than 6,200 gallons of beer from each
21in-state or out-of-state class 3 brewery premises, or 18,600
22gallons in the aggregate, to retail licensees, class 1
23brewers, class 2 brewers, and class 3 brewers as long as the
24class 3 brewer licensee does not manufacture more than a
25combined 465,000 gallons of beer per year and is not a member
26of or affiliated with, directly or indirectly, a manufacturer

HB4775- 14 -LRB103 37577 RPS 67703 b
1that produces more than 465,000 gallons of beer per year to
2make sales to importing distributors, distributors, retail
3licensees, brewers, class 1 brewers, class 2 brewers, and
4class 3 brewers in accordance with the conditions set forth in
5paragraph (20) of subsection (a) of Section 3-12. If the State
6Commission provides prior approval, a class 3 brewer may
7annually transfer up to 155,000 gallons of beer manufactured
8by that class 3 brewer to the premises of a licensed class 3
9brewer wholly owned and operated by the same licensee. A class
103 brewer shall manufacture beer at the brewer's class 3
11designated licensed premises, and may sell beer as otherwise
12provided in this Act.
13 (a-1) A manufacturer which is licensed in this State to
14make sales or deliveries of alcoholic liquor to licensed
15distributors or importing distributors and which enlists
16agents, representatives, or individuals acting on its behalf
17who contact licensed retailers on a regular and continual
18basis in this State must register those agents,
19representatives, or persons acting on its behalf with the
20State Commission.
21 Registration of agents, representatives, or persons acting
22on behalf of a manufacturer is fulfilled by submitting a form
23to the Commission. The form shall be developed by the
24Commission and shall include the name and address of the
25applicant, the name and address of the manufacturer he or she
26represents, the territory or areas assigned to sell to or

HB4775- 15 -LRB103 37577 RPS 67703 b
1discuss pricing terms of alcoholic liquor, and any other
2questions deemed appropriate and necessary. All statements in
3the forms required to be made by law or by rule shall be deemed
4material, and any person who knowingly misstates any material
5fact under oath in an application is guilty of a Class B
6misdemeanor. Fraud, misrepresentation, false statements,
7misleading statements, evasions, or suppression of material
8facts in the securing of a registration are grounds for
9suspension or revocation of the registration. The State
10Commission shall post a list of registered agents on the
11Commission's website.
12 (b) A distributor's license shall allow (i) the wholesale
13purchase and storage of alcoholic liquors and sale of
14alcoholic liquors to licensees in this State and to persons
15without the State, as may be permitted by law; (ii) the sale of
16beer, cider, mead, or any combination thereof to brewers,
17class 1 brewers, and class 2 brewers that, pursuant to
18subsection (e) of Section 6-4 of this Act, sell beer, cider,
19mead, or any combination thereof to non-licensees at their
20breweries; (iii) the sale of vermouth to class 1 craft
21distillers and class 2 craft distillers that, pursuant to
22subsection (e) of Section 6-4 of this Act, sell spirits,
23vermouth, or both spirits and vermouth to non-licensees at
24their distilleries; or (iv) as otherwise provided in this Act.
25No person licensed as a distributor shall be granted a
26non-resident dealer's license.

HB4775- 16 -LRB103 37577 RPS 67703 b
1 (c) An importing distributor's license may be issued to
2and held by those only who are duly licensed distributors,
3upon the filing of an application by a duly licensed
4distributor, with the Commission and the Commission shall,
5without the payment of any fee, immediately issue such
6importing distributor's license to the applicant, which shall
7allow the importation of alcoholic liquor by the licensee into
8this State from any point in the United States outside this
9State, and the purchase of alcoholic liquor in barrels, casks
10or other bulk containers and the bottling of such alcoholic
11liquors before resale thereof, but all bottles or containers
12so filled shall be sealed, labeled, stamped and otherwise made
13to comply with all provisions, rules and regulations governing
14manufacturers in the preparation and bottling of alcoholic
15liquors. The importing distributor's license shall permit such
16licensee to purchase alcoholic liquor from Illinois licensed
17non-resident dealers and foreign importers only. No person
18licensed as an importing distributor shall be granted a
19non-resident dealer's license.
20 (d) A retailer's license shall allow the licensee to sell
21and offer for sale at retail, only in the premises specified in
22the license, alcoholic liquor for use or consumption, but not
23for resale in any form. Except as provided in Section 6-16,
246-29, or 6-29.1, nothing in this Act shall deny, limit,
25remove, or restrict the ability of a holder of a retailer's
26license to transfer or ship alcoholic liquor to the purchaser

HB4775- 17 -LRB103 37577 RPS 67703 b
1for use or consumption subject to any applicable local law or
2ordinance. For the purposes of this Section, "shipping" means
3the movement of alcoholic liquor from a licensed retailer to a
4consumer via a common carrier. Except as provided in Section
56-16, 6-29, or 6-29.1, nothing in this Act shall deny, limit,
6remove, or restrict the ability of a holder of a retailer's
7license to deliver alcoholic liquor to the purchaser for use
8or consumption. The delivery shall be made only within 12
9hours from the time the alcoholic liquor leaves the licensed
10premises of the retailer for delivery. For the purposes of
11this Section, "delivery" means the movement of alcoholic
12liquor purchased from a licensed retailer to a consumer
13through the following methods:
14 (1) delivery within licensed retailer's parking lot,
15 including curbside, for pickup by the consumer;
16 (2) delivery by an owner, officer, director,
17 shareholder, or employee of the licensed retailer; or
18 (3) delivery by a third-party contractor, independent
19 contractor, or agent with whom the licensed retailer has
20 contracted to make deliveries of alcoholic liquors.
21 Under subsection (1), (2), or (3), delivery shall not
22include the use of common carriers.
23 Any retail license issued to a manufacturer shall only
24permit the manufacturer to sell beer at retail on the premises
25actually occupied by the manufacturer. For the purpose of
26further describing the type of business conducted at a retail

HB4775- 18 -LRB103 37577 RPS 67703 b
1licensed premises, a retailer's licensee may be designated by
2the State Commission as (i) an on premise consumption
3retailer, (ii) an off premise sale retailer, or (iii) a
4combined on premise consumption and off premise sale retailer.
5 Except for a municipality with a population of more than
61,000,000 inhabitants, a home rule unit may not regulate the
7delivery of alcoholic liquor inconsistent with this
8subsection. This paragraph is a limitation under subsection
9(i) of Section 6 of Article VII of the Illinois Constitution on
10the concurrent exercise by home rule units of powers and
11functions exercised by the State. A non-home rule municipality
12may not regulate the delivery of alcoholic liquor inconsistent
13with this subsection.
14 Notwithstanding any other provision of this subsection
15(d), a retail licensee may sell alcoholic liquors to a special
16event retailer licensee for resale to the extent permitted
17under subsection (e).
18 (e) A special event retailer's license (not-for-profit)
19shall permit the licensee to purchase alcoholic liquors from
20an Illinois licensed distributor (unless the licensee
21purchases less than $500 of alcoholic liquors for the special
22event, in which case the licensee may purchase the alcoholic
23liquors from a licensed retailer) and shall allow the licensee
24to sell and offer for sale, at retail, alcoholic liquors for
25consumption on or off the premises specified in the license
26use or consumption, but not for resale in any form and only at

HB4775- 19 -LRB103 37577 RPS 67703 b
1the location and on the specific dates designated for the
2special event in the license. An applicant for a special event
3retailer license must (i) furnish with the application: (A) a
4resale number issued under Section 2c of the Retailers'
5Occupation Tax Act or evidence that the applicant is
6registered under Section 2a of the Retailers' Occupation Tax
7Act, (B) a current, valid exemption identification number
8issued under Section 1g of the Retailers' Occupation Tax Act,
9and a certification to the Commission that the purchase of
10alcoholic liquors will be a tax-exempt purchase, or (C) a
11statement that the applicant is not registered under Section
122a of the Retailers' Occupation Tax Act, does not hold a resale
13number under Section 2c of the Retailers' Occupation Tax Act,
14and does not hold an exemption number under Section 1g of the
15Retailers' Occupation Tax Act, in which event the Commission
16shall set forth on the special event retailer's license a
17statement to that effect; (ii) submit with the application
18proof satisfactory to the State Commission that the applicant
19will provide dram shop liability insurance in the maximum
20limits; and (iii) show proof satisfactory to the State
21Commission that the applicant has obtained local authority
22approval.
23 Nothing in this Act prohibits an Illinois licensed
24distributor from offering credit or a refund for unused,
25salable alcoholic liquors to a holder of a special event
26retailer's license or the special event retailer's licensee

HB4775- 20 -LRB103 37577 RPS 67703 b
1from accepting the credit or refund of alcoholic liquors at
2the conclusion of the event specified in the license.
3 (f) A railroad license shall permit the licensee to import
4alcoholic liquors into this State from any point in the United
5States outside this State and to store such alcoholic liquors
6in this State; to make wholesale purchases of alcoholic
7liquors directly from manufacturers, foreign importers,
8distributors and importing distributors from within or outside
9this State; and to store such alcoholic liquors in this State;
10provided that the above powers may be exercised only in
11connection with the importation, purchase or storage of
12alcoholic liquors to be sold or dispensed on a club, buffet,
13lounge or dining car operated on an electric, gas or steam
14railway in this State; and provided further, that railroad
15licensees exercising the above powers shall be subject to all
16provisions of Article VIII of this Act as applied to importing
17distributors. A railroad license shall also permit the
18licensee to sell or dispense alcoholic liquors on any club,
19buffet, lounge or dining car operated on an electric, gas or
20steam railway regularly operated by a common carrier in this
21State, but shall not permit the sale for resale of any
22alcoholic liquors to any licensee within this State. A license
23shall be obtained for each car in which such sales are made.
24 (g) A boat license shall allow the sale of alcoholic
25liquor in individual drinks, on any passenger boat regularly
26operated as a common carrier on navigable waters in this State

HB4775- 21 -LRB103 37577 RPS 67703 b
1or on any riverboat operated under the Illinois Gambling Act,
2which boat or riverboat maintains a public dining room or
3restaurant thereon.
4 (h) A non-beverage user's license shall allow the licensee
5to purchase alcoholic liquor from a licensed manufacturer or
6importing distributor, without the imposition of any tax upon
7the business of such licensed manufacturer or importing
8distributor as to such alcoholic liquor to be used by such
9licensee solely for the non-beverage purposes set forth in
10subsection (a) of Section 8-1 of this Act, and such licenses
11shall be divided and classified and shall permit the purchase,
12possession and use of limited and stated quantities of
13alcoholic liquor as follows:
14Class 1, not to exceed ......................... 500 gallons
15Class 2, not to exceed ....................... 1,000 gallons
16Class 3, not to exceed ....................... 5,000 gallons
17Class 4, not to exceed ...................... 10,000 gallons
18Class 5, not to exceed ....................... 50,000 gallons
19 (i) A wine-maker's premises license shall allow a licensee
20that concurrently holds a first-class wine-maker's license to
21sell and offer for sale at retail in the premises specified in
22such license not more than 50,000 gallons of the first-class
23wine-maker's wine that is made at the first-class wine-maker's
24licensed premises per year for use or consumption, but not for
25resale in any form. A wine-maker's premises license shall
26allow a licensee who concurrently holds a second-class

HB4775- 22 -LRB103 37577 RPS 67703 b
1wine-maker's license to sell and offer for sale at retail in
2the premises specified in such license up to 100,000 gallons
3of the second-class wine-maker's wine that is made at the
4second-class wine-maker's licensed premises per year for use
5or consumption but not for resale in any form. A first-class
6wine-maker that concurrently holds a class 1 brewer license or
7a class 1 craft distiller license shall not be eligible to hold
8a wine-maker's premises license. A wine-maker's premises
9license shall allow a licensee that concurrently holds a
10first-class wine-maker's license or a second-class
11wine-maker's license to sell and offer for sale at retail at
12the premises specified in the wine-maker's premises license,
13for use or consumption but not for resale in any form, any
14beer, wine, and spirits purchased from a licensed distributor.
15Upon approval from the State Commission, a wine-maker's
16premises license shall allow the licensee to sell and offer
17for sale at (i) the wine-maker's licensed premises and (ii) at
18up to 2 additional locations for use and consumption and not
19for resale. Each location shall require additional licensing
20per location as specified in Section 5-3 of this Act. A
21wine-maker's premises licensee shall secure liquor liability
22insurance coverage in an amount at least equal to the maximum
23liability amounts set forth in subsection (a) of Section 6-21
24of this Act.
25 (j) An airplane license shall permit the licensee to
26import alcoholic liquors into this State from any point in the

HB4775- 23 -LRB103 37577 RPS 67703 b
1United States outside this State and to store such alcoholic
2liquors in this State; to make wholesale purchases of
3alcoholic liquors directly from manufacturers, foreign
4importers, distributors and importing distributors from within
5or outside this State; and to store such alcoholic liquors in
6this State; provided that the above powers may be exercised
7only in connection with the importation, purchase or storage
8of alcoholic liquors to be sold or dispensed on an airplane;
9and provided further, that airplane licensees exercising the
10above powers shall be subject to all provisions of Article
11VIII of this Act as applied to importing distributors. An
12airplane licensee shall also permit the sale or dispensing of
13alcoholic liquors on any passenger airplane regularly operated
14by a common carrier in this State, but shall not permit the
15sale for resale of any alcoholic liquors to any licensee
16within this State. A single airplane license shall be required
17of an airline company if liquor service is provided on board
18aircraft in this State. The annual fee for such license shall
19be as determined in Section 5-3.
20 (k) A foreign importer's license shall permit such
21licensee to purchase alcoholic liquor from Illinois licensed
22non-resident dealers only, and to import alcoholic liquor
23other than in bulk from any point outside the United States and
24to sell such alcoholic liquor to Illinois licensed importing
25distributors and to no one else in Illinois; provided that (i)
26the foreign importer registers with the State Commission every

HB4775- 24 -LRB103 37577 RPS 67703 b
1brand of alcoholic liquor that it proposes to sell to Illinois
2licensees during the license period, (ii) the foreign importer
3complies with all of the provisions of Section 6-9 of this Act
4with respect to registration of such Illinois licensees as may
5be granted the right to sell such brands at wholesale, and
6(iii) the foreign importer complies with the provisions of
7Sections 6-5 and 6-6 of this Act to the same extent that these
8provisions apply to manufacturers.
9 (l) (i) A broker's license shall be required of all
10persons who solicit orders for, offer to sell or offer to
11supply alcoholic liquor to retailers in the State of Illinois,
12or who offer to retailers to ship or cause to be shipped or to
13make contact with distillers, craft distillers, rectifiers,
14brewers or manufacturers or any other party within or without
15the State of Illinois in order that alcoholic liquors be
16shipped to a distributor, importing distributor or foreign
17importer, whether such solicitation or offer is consummated
18within or without the State of Illinois.
19 No holder of a retailer's license issued by the Illinois
20Liquor Control Commission shall purchase or receive any
21alcoholic liquor, the order for which was solicited or offered
22for sale to such retailer by a broker unless the broker is the
23holder of a valid broker's license.
24 The broker shall, upon the acceptance by a retailer of the
25broker's solicitation of an order or offer to sell or supply or
26deliver or have delivered alcoholic liquors, promptly forward

HB4775- 25 -LRB103 37577 RPS 67703 b
1to the Illinois Liquor Control Commission a notification of
2said transaction in such form as the Commission may by
3regulations prescribe.
4 (ii) A broker's license shall be required of a person
5within this State, other than a retail licensee, who, for a fee
6or commission, promotes, solicits, or accepts orders for
7alcoholic liquor, for use or consumption and not for resale,
8to be shipped from this State and delivered to residents
9outside of this State by an express company, common carrier,
10or contract carrier. This Section does not apply to any person
11who promotes, solicits, or accepts orders for wine as
12specifically authorized in Section 6-29 of this Act.
13 A broker's license under this subsection (l) shall not
14entitle the holder to buy or sell any alcoholic liquors for his
15own account or to take or deliver title to such alcoholic
16liquors.
17 This subsection (l) shall not apply to distributors,
18employees of distributors, or employees of a manufacturer who
19has registered the trademark, brand or name of the alcoholic
20liquor pursuant to Section 6-9 of this Act, and who regularly
21sells such alcoholic liquor in the State of Illinois only to
22its registrants thereunder.
23 Any agent, representative, or person subject to
24registration pursuant to subsection (a-1) of this Section
25shall not be eligible to receive a broker's license.
26 (m) A non-resident dealer's license shall permit such

HB4775- 26 -LRB103 37577 RPS 67703 b
1licensee to ship into and warehouse alcoholic liquor into this
2State from any point outside of this State, and to sell such
3alcoholic liquor to Illinois licensed foreign importers and
4importing distributors and to no one else in this State;
5provided that (i) said non-resident dealer shall register with
6the Illinois Liquor Control Commission each and every brand of
7alcoholic liquor which it proposes to sell to Illinois
8licensees during the license period, (ii) it shall comply with
9all of the provisions of Section 6-9 hereof with respect to
10registration of such Illinois licensees as may be granted the
11right to sell such brands at wholesale by duly filing such
12registration statement, thereby authorizing the non-resident
13dealer to proceed to sell such brands at wholesale, and (iii)
14the non-resident dealer shall comply with the provisions of
15Sections 6-5 and 6-6 of this Act to the same extent that these
16provisions apply to manufacturers. No person licensed as a
17non-resident dealer shall be granted a distributor's or
18importing distributor's license.
19 (n) A brew pub license shall allow the licensee to only (i)
20manufacture up to 155,000 gallons of beer per year only on the
21premises specified in the license, (ii) make sales of the beer
22manufactured on the premises or, with the approval of the
23Commission, beer manufactured on another brew pub licensed
24premises that is wholly owned and operated by the same
25licensee to importing distributors, distributors, and to
26non-licensees for use and consumption, (iii) store the beer

HB4775- 27 -LRB103 37577 RPS 67703 b
1upon the premises, (iv) sell and offer for sale at retail from
2the licensed premises for off-premises consumption no more
3than 155,000 gallons per year so long as such sales are only
4made in-person, (v) sell and offer for sale at retail for use
5and consumption on the premises specified in the license any
6form of alcoholic liquor purchased from a licensed distributor
7or importing distributor, (vi) with the prior approval of the
8Commission, annually transfer no more than 155,000 gallons of
9beer manufactured on the premises to a licensed brew pub
10wholly owned and operated by the same licensee, and (vii)
11notwithstanding item (i) of this subsection, brew pubs wholly
12owned and operated by the same licensee may combine each
13location's production limit of 155,000 gallons of beer per
14year and allocate the aggregate total between the wholly
15owned, operated, and licensed locations.
16 A brew pub licensee shall not under any circumstance sell
17or offer for sale beer manufactured by the brew pub licensee to
18retail licensees.
19 A person who holds a class 2 brewer license may
20simultaneously hold a brew pub license if the class 2 brewer
21(i) does not, under any circumstance, sell or offer for sale
22beer manufactured by the class 2 brewer to retail licensees;
23(ii) does not hold more than 3 brew pub licenses in this State;
24(iii) does not manufacture more than a combined 3,720,000
25gallons of beer per year, including the beer manufactured at
26the brew pub; and (iv) is not a member of or affiliated with,

HB4775- 28 -LRB103 37577 RPS 67703 b
1directly or indirectly, a manufacturer that produces more than
23,720,000 gallons of beer per year or any other alcoholic
3liquor.
4 Notwithstanding any other provision of this Act, a
5licensed brewer, class 2 brewer, or non-resident dealer who
6before July 1, 2015 manufactured less than 3,720,000 gallons
7of beer per year and held a brew pub license on or before July
81, 2015 may (i) continue to qualify for and hold that brew pub
9license for the licensed premises and (ii) manufacture more
10than 3,720,000 gallons of beer per year and continue to
11qualify for and hold that brew pub license if that brewer,
12class 2 brewer, or non-resident dealer does not simultaneously
13hold a class 1 brewer license and is not a member of or
14affiliated with, directly or indirectly, a manufacturer that
15produces more than 3,720,000 gallons of beer per year or that
16produces any other alcoholic liquor.
17 A brew pub licensee may apply for a class 3 brewer license
18and, upon meeting all applicable qualifications of this Act
19and relinquishing all commonly owned brew pub or retail
20licenses, shall be issued a class 3 brewer license. Nothing in
21this Act shall prohibit the issuance of a class 3 brewer
22license if the applicant:
23 (1) has a valid retail license on or before May 1,
24 2021;
25 (2) has an ownership interest in at least two brew
26 pubs licenses on or before May 1, 2021;

HB4775- 29 -LRB103 37577 RPS 67703 b
1 (3) the brew pub licensee applies for a class 3 brewer
2 license on or before October 1, 2022 and relinquishes all
3 commonly owned brew pub licenses; and
4 (4) relinquishes all commonly owned retail licenses on
5 or before December 31, 2022.
6 If a brew pub licensee is issued a class 3 brewer license,
7the class 3 brewer license shall expire on the same date as the
8existing brew pub license and the State Commission shall not
9require a class 3 brewer licensee to obtain a brewer license,
10or in the alternative to pay a fee for a brewer license, until
11the date the brew pub license of the applicant would have
12expired.
13 (o) A caterer retailer license shall allow the holder to
14serve alcoholic liquors as an incidental part of a food
15service that serves prepared meals which excludes the serving
16of snacks as the primary meal, either on or off-site whether
17licensed or unlicensed. A caterer retailer license shall allow
18the holder, a distributor, or an importing distributor to
19transfer any inventory to and from the holder's retail
20premises and shall allow the holder to purchase alcoholic
21liquor from a distributor or importing distributor to be
22delivered directly to an off-site event.
23 Nothing in this Act prohibits a distributor or importing
24distributor from offering credit or a refund for unused,
25salable beer to a holder of a caterer retailer license or a
26caterer retailer licensee from accepting a credit or refund

HB4775- 30 -LRB103 37577 RPS 67703 b
1for unused, salable beer, in the event an act of God is the
2sole reason an off-site event is cancelled and if: (i) the
3holder of a caterer retailer license has not transferred
4alcoholic liquor from its caterer retailer premises to an
5off-site location; (ii) the distributor or importing
6distributor offers the credit or refund for the unused,
7salable beer that it delivered to the off-site premises and
8not for any unused, salable beer that the distributor or
9importing distributor delivered to the caterer retailer's
10premises; and (iii) the unused, salable beer would likely
11spoil if transferred to the caterer retailer's premises. A
12caterer retailer license shall allow the holder to transfer
13any inventory from any off-site location to its caterer
14retailer premises at the conclusion of an off-site event or
15engage a distributor or importing distributor to transfer any
16inventory from any off-site location to its caterer retailer
17premises at the conclusion of an off-site event, provided that
18the distributor or importing distributor issues bona fide
19charges to the caterer retailer licensee for fuel, labor, and
20delivery and the distributor or importing distributor collects
21payment from the caterer retailer licensee prior to the
22distributor or importing distributor transferring inventory to
23the caterer retailer premises.
24 For purposes of this subsection (o), an "act of God" means
25an unforeseeable event, such as a rain or snow storm, hail, a
26flood, or a similar event, that is the sole cause of the

HB4775- 31 -LRB103 37577 RPS 67703 b
1cancellation of an off-site, outdoor event.
2 (p) An auction liquor license shall allow the licensee to
3sell and offer for sale at auction wine and spirits for use or
4consumption, or for resale by an Illinois liquor licensee in
5accordance with provisions of this Act. An auction liquor
6license will be issued to a person and it will permit the
7auction liquor licensee to hold the auction anywhere in the
8State. An auction liquor license must be obtained for each
9auction at least 14 days in advance of the auction date.
10 (q) A special use permit license shall allow an Illinois
11licensed retailer to transfer a portion of its alcoholic
12liquor inventory from its retail licensed premises to the
13premises specified in the license hereby created; to purchase
14alcoholic liquor from a distributor or importing distributor
15to be delivered directly to the location specified in the
16license hereby created; and to sell or offer for sale at
17retail, only in the premises specified in the license hereby
18created, the transferred or delivered alcoholic liquor for
19consumption on or off the premises specified in the license
20for use or consumption, but not for resale in any form. A
21special use permit license may be granted for the following
22time periods: one day or less; 2 or more days to a maximum of
2315 days per location in any 12-month period. An applicant for
24the special use permit license must also submit with the
25application proof satisfactory to the State Commission that
26the applicant will provide dram shop liability insurance to

HB4775- 32 -LRB103 37577 RPS 67703 b
1the maximum limits and have local authority approval.
2 A special use permit license shall allow the holder to
3transfer any inventory from the holder's special use premises
4to its retail premises at the conclusion of the special use
5event or engage a distributor or importing distributor to
6transfer any inventory from the holder's special use premises
7to its retail premises at the conclusion of an off-site event,
8provided that the distributor or importing distributor issues
9bona fide charges to the special use permit licensee for fuel,
10labor, and delivery and the distributor or importing
11distributor collects payment from the retail licensee prior to
12the distributor or importing distributor transferring
13inventory to the retail premises.
14 Nothing in this Act prohibits a distributor or importing
15distributor from offering credit or a refund for unused,
16salable beer to a special use permit licensee or a special use
17permit licensee from accepting a credit or refund for unused,
18salable beer at the conclusion of the event specified in the
19license if: (i) the holder of the special use permit license
20has not transferred alcoholic liquor from its retail licensed
21premises to the premises specified in the special use permit
22license; (ii) the distributor or importing distributor offers
23the credit or refund for the unused, salable beer that it
24delivered to the premises specified in the special use permit
25license and not for any unused, salable beer that the
26distributor or importing distributor delivered to the

HB4775- 33 -LRB103 37577 RPS 67703 b
1retailer's premises; and (iii) the unused, salable beer would
2likely spoil if transferred to the retailer premises.
3 (r) A winery shipper's license shall allow a person with a
4first-class or second-class wine manufacturer's license, a
5first-class or second-class wine-maker's license, or a limited
6wine manufacturer's license or who is licensed to make wine
7under the laws of another state to ship wine made by that
8licensee directly to a resident of this State who is 21 years
9of age or older for that resident's personal use and not for
10resale. Prior to receiving a winery shipper's license, an
11applicant for the license must provide the Commission with a
12true copy of its current license in any state in which it is
13licensed as a manufacturer of wine. An applicant for a winery
14shipper's license must also complete an application form that
15provides any other information the Commission deems necessary.
16The application form shall include all addresses from which
17the applicant for a winery shipper's license intends to ship
18wine, including the name and address of any third party,
19except for a common carrier, authorized to ship wine on behalf
20of the manufacturer. The application form shall include an
21acknowledgement consenting to the jurisdiction of the
22Commission, the Illinois Department of Revenue, and the courts
23of this State concerning the enforcement of this Act and any
24related laws, rules, and regulations, including authorizing
25the Department of Revenue and the Commission to conduct audits
26for the purpose of ensuring compliance with Public Act 95-634,

HB4775- 34 -LRB103 37577 RPS 67703 b
1and an acknowledgement that the wine manufacturer is in
2compliance with Section 6-2 of this Act. Any third party,
3except for a common carrier, authorized to ship wine on behalf
4of a first-class or second-class wine manufacturer's licensee,
5a first-class or second-class wine-maker's licensee, a limited
6wine manufacturer's licensee, or a person who is licensed to
7make wine under the laws of another state shall also be
8disclosed by the winery shipper's licensee, and a copy of the
9written appointment of the third-party wine provider, except
10for a common carrier, to the wine manufacturer shall be filed
11with the State Commission as a supplement to the winery
12shipper's license application or any renewal thereof. The
13winery shipper's license holder shall affirm under penalty of
14perjury, as part of the winery shipper's license application
15or renewal, that he or she only ships wine, either directly or
16indirectly through a third-party provider, from the licensee's
17own production.
18 Except for a common carrier, a third-party provider
19shipping wine on behalf of a winery shipper's license holder
20is the agent of the winery shipper's license holder and, as
21such, a winery shipper's license holder is responsible for the
22acts and omissions of the third-party provider acting on
23behalf of the license holder. A third-party provider, except
24for a common carrier, that engages in shipping wine into
25Illinois on behalf of a winery shipper's license holder shall
26consent to the jurisdiction of the State Commission and the

HB4775- 35 -LRB103 37577 RPS 67703 b
1State. Any third-party, except for a common carrier, holding
2such an appointment shall, by February 1 of each calendar year
3and upon request by the State Commission or the Department of
4Revenue, file with the State Commission a statement detailing
5each shipment made to an Illinois resident. The statement
6shall include the name and address of the third-party provider
7filing the statement, the time period covered by the
8statement, and the following information:
9 (1) the name, address, and license number of the
10 winery 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.
13If the Department of Revenue or the State Commission requests
14a statement under this paragraph, the third-party provider
15must provide that statement no later than 30 days after the
16request is made. Any books, records, supporting papers, and
17documents containing information and data relating to a
18statement under this paragraph shall be kept and preserved for
19a period of 3 years, unless their destruction sooner is
20authorized, in writing, by the Director of Revenue, and shall
21be open and available to inspection by the Director of Revenue
22or the State Commission or any duly authorized officer, agent,
23or employee of the State Commission or the Department of
24Revenue, at all times during business hours of the day. Any
25person who violates any provision of this paragraph or any
26rule of the State Commission for the administration and

HB4775- 36 -LRB103 37577 RPS 67703 b
1enforcement of the provisions of this paragraph is guilty of a
2Class C misdemeanor. In case of a continuing violation, each
3day's continuance thereof shall be a separate and distinct
4offense.
5 The State Commission shall adopt rules as soon as
6practicable to implement the requirements of Public Act 99-904
7and shall adopt rules prohibiting any such third-party
8appointment of a third-party provider, except for a common
9carrier, that has been deemed by the State Commission to have
10violated the provisions of this Act with regard to any winery
11shipper licensee.
12 A winery shipper licensee must pay to the Department of
13Revenue the State liquor gallonage tax under Section 8-1 for
14all wine that is sold by the licensee and shipped to a person
15in this State. For the purposes of Section 8-1, a winery
16shipper licensee shall be taxed in the same manner as a
17manufacturer of wine. A licensee who is not otherwise required
18to register under the Retailers' Occupation Tax Act must
19register under the Use Tax Act to collect and remit use tax to
20the Department of Revenue for all gallons of wine that are sold
21by the licensee and shipped to persons in this State. If a
22licensee fails to remit the tax imposed under this Act in
23accordance with the provisions of Article VIII of this Act,
24the winery shipper's license shall be revoked in accordance
25with the provisions of Article VII of this Act. If a licensee
26fails to properly register and remit tax under the Use Tax Act

HB4775- 37 -LRB103 37577 RPS 67703 b
1or the Retailers' Occupation Tax Act for all wine that is sold
2by the winery shipper and shipped to persons in this State, the
3winery shipper's license shall be revoked in accordance with
4the provisions of Article VII of this Act.
5 A winery shipper licensee must collect, maintain, and
6submit to the Commission on a semi-annual basis the total
7number of cases per resident of wine shipped to residents of
8this State. A winery shipper licensed under this subsection
9(r) must comply with the requirements of Section 6-29 of this
10Act.
11 Pursuant to paragraph (5.1) or (5.3) of subsection (a) of
12Section 3-12, the State Commission may receive, respond to,
13and investigate any complaint and impose any of the remedies
14specified in paragraph (1) of subsection (a) of Section 3-12.
15 As used in this subsection, "third-party provider" means
16any entity that provides fulfillment house services, including
17warehousing, packaging, distribution, order processing, or
18shipment of wine, but not the sale of wine, on behalf of a
19licensed winery shipper.
20 (s) A craft distiller tasting permit license shall allow
21an Illinois licensed class 1 craft distiller or class 2 craft
22distiller to transfer a portion of its alcoholic liquor
23inventory from its class 1 craft distiller or class 2 craft
24distiller licensed premises to the premises specified in the
25license hereby created and to conduct a sampling, only in the
26premises specified in the license hereby created, of the

HB4775- 38 -LRB103 37577 RPS 67703 b
1transferred alcoholic liquor in accordance with subsection (c)
2of Section 6-31 of this Act. The transferred alcoholic liquor
3may not be sold or resold in any form. An applicant for the
4craft distiller tasting permit license must also submit with
5the application proof satisfactory to the State Commission
6that the applicant will provide dram shop liability insurance
7to the maximum limits and have local authority approval.
8 (t) A brewer warehouse permit may be issued to the holder
9of a class 1 brewer license or a class 2 brewer license. If the
10holder of the permit is a class 1 brewer licensee, the brewer
11warehouse permit shall allow the holder to store or warehouse
12up to 930,000 gallons of tax-determined beer manufactured by
13the holder of the permit at the premises specified on the
14permit. If the holder of the permit is a class 2 brewer
15licensee, the brewer warehouse permit shall allow the holder
16to store or warehouse up to 3,720,000 gallons of
17tax-determined beer manufactured by the holder of the permit
18at the premises specified on the permit. Sales to
19non-licensees are prohibited at the premises specified in the
20brewer warehouse permit.
21 (u) A distilling pub license shall allow the licensee to
22only (i) manufacture up to 5,000 gallons of spirits per year
23only on the premises specified in the license, (ii) make sales
24of the spirits manufactured on the premises or, with the
25approval of the State Commission, spirits manufactured on
26another distilling pub licensed premises that is wholly owned

HB4775- 39 -LRB103 37577 RPS 67703 b
1and operated by the same licensee to importing distributors
2and distributors and to non-licensees for use and consumption,
3(iii) store the spirits upon the premises, (iv) sell and offer
4for sale at retail from the licensed premises for off-premises
5consumption no more than 5,000 gallons per year so long as such
6sales are only made in-person, (v) sell and offer for sale at
7retail for use and consumption on the premises specified in
8the license any form of alcoholic liquor purchased from a
9licensed distributor or importing distributor, and (vi) with
10the prior approval of the State Commission, annually transfer
11no more than 5,000 gallons of spirits manufactured on the
12premises to a licensed distilling pub wholly owned and
13operated by the same licensee.
14 A distilling pub licensee shall not under any circumstance
15sell or offer for sale spirits manufactured by the distilling
16pub licensee to retail licensees.
17 A person who holds a class 2 craft distiller license may
18simultaneously hold a distilling pub license if the class 2
19craft distiller (i) does not, under any circumstance, sell or
20offer for sale spirits manufactured by the class 2 craft
21distiller to retail licensees; (ii) does not hold more than 3
22distilling pub licenses in this State; (iii) does not
23manufacture more than a combined 100,000 gallons of spirits
24per year, including the spirits manufactured at the distilling
25pub; and (iv) is not a member of or affiliated with, directly
26or indirectly, a manufacturer that produces more than 100,000

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1gallons of spirits per year or any other alcoholic liquor.
2 (v) A craft distiller warehouse permit may be issued to
3the holder of a class 1 craft distiller or class 2 craft
4distiller license. The craft distiller warehouse permit shall
5allow the holder to store or warehouse up to 500,000 gallons of
6spirits manufactured by the holder of the permit at the
7premises specified on the permit. Sales to non-licensees are
8prohibited at the premises specified in the craft distiller
9warehouse permit.
10 (w) A beer showcase permit license shall allow an
11Illinois-licensed distributor to transfer a portion of its
12beer inventory from its licensed premises to the premises
13specified in the beer showcase permit license, and, in the
14case of a class 3 brewer, transfer only beer the class 3 brewer
15manufactures from its licensed premises to the premises
16specified in the beer showcase permit license; and to sell or
17offer for sale at retail, only in the premises specified in the
18beer showcase permit license, the transferred or delivered
19beer for on or off premise consumption, but not for resale in
20any form and to sell to non-licensees not more than 96 fluid
21ounces of beer per person. A beer showcase permit license may
22be granted for the following time periods: one day or less; or
232 or more days to a maximum of 15 days per location in any
2412-month period. An applicant for a beer showcase permit
25license must also submit with the application proof
26satisfactory to the State Commission that the applicant will

HB4775- 41 -LRB103 37577 RPS 67703 b
1provide dram shop liability insurance to the maximum limits
2and have local authority approval. The State Commission shall
3require the beer showcase applicant to comply with Section
46-27.1.
5(Source: P.A. 101-16, eff. 6-14-19; 101-31, eff. 6-28-19;
6101-81, eff. 7-12-19; 101-482, eff. 8-23-19; 101-517, eff.
78-23-19; 101-615, eff. 12-20-19; 101-668, eff. 1-1-22;
8102-442, eff. 8-20-21; 102-1142, eff. 2-17-23.)
9 (235 ILCS 5/6-40 new)
10 Sec. 6-40. Consumer loyalty and reward programs.
11 (a) In this Section, "consumer loyalty and reward program"
12means any program offered to consumers by a licensed retailer
13or manufacturer with retail privileges designed to allow a
14consumer to access rewards for purchases made at the premises
15of the retailer or the premises of the manufacturer with
16retail privileges. "Consumer loyalty and reward program"
17includes, but is not limited to, selling the retailer's or
18manufacturer with retail privileges' products at a discount
19for promotional purposes, targeted discounts, membership
20programs that offer discounts, point accumulation programs,
21membership in a retailer's or manufacturer with retail
22privileges' club or organization, email lists or other forms
23of registration by a consumer in a retailer's or manufacturer
24with retail privileges' program, or mug clubs.
25 (b) Any retail licensee or licensed manufacturer with

HB4775- 42 -LRB103 37577 RPS 67703 b
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