Bill Text: PA HB2429 | 2011-2012 | Regular Session | Amended

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Bill Title: Providing for special permits for breweries.

Spectrum: Moderate Partisan Bill (Democrat 19-5)

Status: (Engrossed - Dead) 2012-10-10 - Referred to LAW AND JUSTICE [HB2429 Detail]

Download: Pennsylvania-2011-HB2429-Amended.html

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PRIOR PRINTER'S NOS. 3633, 3648 PRINTER'S NO. 4142
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 2429 Session of2012
INTRODUCED BY SANTONI, TAYLOR, FRANKEL, BRENNAN, GIBBONS, HARHAI, HARKINS, KORTZ, KOTIK, LONGIETTI, STURLA, DALEY, PAYNE, M. O'BRIEN, VULAKOVICH, EVERETT, PRESTON, WHITE, MAHONEY, JAMES, PASHINSKI, GEIST, FABRIZIO AND NEILSON, JUNE 4, 2012
AS AMENDED ON SECOND CONSIDERATION, HOUSE OF REPRESENTATIVES, OCTOBER 1, 2012
AN ACT
Amending the act of April 12, 1951 (P.L.90, No.21), entitled, as
reenacted, "An act relating to alcoholic liquors, alcohol and
malt and brewed beverages; amending, revising, consolidating
and changing the laws relating thereto; regulating and
restricting the manufacture, purchase, sale, possession,
consumption, importation, transportation, furnishing, holding
in bond, holding in storage, traffic in and use of alcoholic
liquors, alcohol and malt and brewed beverages and the
persons engaged or employed therein; defining the powers and
duties of the Pennsylvania Liquor Control Board; providing
for the establishment and operation of State liquor stores,
for the payment of certain license fees to the respective
municipalities and townships, for the abatement of certain
nuisances and, in certain cases, for search and seizure
without warrant; prescribing penalties and forfeitures;
providing for local option, and repealing existing laws,"
providing for special permits for breweries.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 446 of the act of April 12, 1951 (P.L.90,
No.21), known as the Liquor Code, reenacted and amended June 29,
1987 (P.L.32, No.14) and amended December 22, 2011 (P.L.530,
No.113), is amended to read:
Section 446. Breweries.--(a) Holders of a brewery license
may:
(1) Sell malt or brewed beverages produced and owned by the
brewery under such conditions and regulations as the board may
enforce, to individuals for consumption on the licensed premises
in any container or package of any volume and to hotel,
restaurant, club and public service liquor licensees.
(2) Operate a restaurant or brewery pub on the licensed
premises under such conditions and regulations as the board may
enforce: Provided, however, That sales on Sunday may be made
irrespective of the volume of food sales if the licensed
premises are at a public venue location. The holder of a brewery
license may sell at its brewery pub premises Pennsylvania wines
it has purchased from either the holder of a Pennsylvania
limited winery license or from the board: Provided, however,
That said wines must be consumed at the licensed brewery pub
premises.
(3) Use brewery storage and distribution facilities for the
purpose of receiving, storing and distributing malt or brewed
beverages manufactured outside this Commonwealth if the
beverages are distributed in this Commonwealth only through
specific importing distributors who shall have first been given
distributing rights for such products in designated geographical
areas through the distribution system required for out-of-State
manufacturers under section 431(b) as well as all other
pertinent sections of this act. The manufacturer of the
beverages must comply with section 444.
(4) Apply for and hold a hotel liquor license, a restaurant
liquor license or a malt and brewed beverages retail license to
sell for consumption at the restaurant or brewery pub on the
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licensed brewery premises, liquor, wine and malt or brewed
beverages regardless of the place of manufacture, under the same
conditions and regulations as any other hotel liquor license,
restaurant liquor license or malt and brewed beverages retail
license, but must brew at least two hundred fifty barrels per
year. Each holder of a brewery license who receives a hotel
liquor license, a restaurant liquor license or a malt or brewed
beverages retail license to operate a brew pub shall not sell
directly to any person licensed by this act, except if any malt
or brewed beverage is to be distributed in this Commonwealth it
shall be only through specific importing distributors who shall
have first been given distributing rights for such products in
designated geographical areas through the distribution system
required for out-of-State manufacturers under section 431(b) as
well as all other pertinent sections of this act.
(b) The holder of a brew pub license may obtain an off-
premises catering permit subject to section 493(33) to hold a
catered function off the licensed premises and on otherwise
unlicensed premises where the licensee may sell wine produced by
a licensed limited winery and malt or brewed beverages produced
by the brewery by the glass, open bottle or other container, and
in any mixture, for consumption on those premises. Functions
conducted under the authority of the permit shall be subject to
the following:
(1) alcohol may be provided only during the days and hours
that the license holder may otherwise sell alcohol;
(2) all servers at the off premises catered function shall
be in compliance with the responsible alcohol management
provisions under section 471.1;
(3) each catered function shall last no longer than one day
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and not more than fifty catered functions may be held each
calendar year by each license holder for use with a particular
license;
(4) a catered function shall not be held at a location that
is already subject to the applicant's or another licensee's
license;
(5) a permit shall not be issued to an applicant whose
license is in safekeeping;
(6) a permit shall not be issued to a location that is
subject to a pending objection by the director of the Bureau of
Licensing or the board under section 470(a.1);
(7) a permit shall not be issued to a location that is
subject to a pending license suspension under section 471 or the
one-year prohibition on the issuance or transfer of a license
under section 471(b);
(8) no alcohol may be taken from the permitted location, but
the applicant may transport alcohol to and from its licensed
premises to the proposed premises; and
(9) written notice of the date, time and location of the
catered function shall be provided to the local police or if
there is no local police force to the enforcement bureau at
least forty-eight hours in advance of the event.
(c) (1) Holders of a brewery license may obtain a special
permit to participate in malt or brewed beverages and food
expositions off the licensed premises. A special permit shall be
issued upon proper application and payment of a fee of thirty
dollars ($30.00) per day for each day of permitted use, not to
exceed thirty consecutive days. The total number of days for all
the special permits may not exceed one hundred days in any
calendar year. A special permit shall entitle the holder to
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engage in the sale by the glass, bottle or package not to exceed
one hundred forty-four fluid ounces of malt or brewed beverages
produced by the permittee under the authority of its brewery
license. Holders of special permits may provide tasting samples
of malt or brewed beverages in individual portions not to exceed
four fluid ounces. Samples at malt or brewed beverages and food
expositions may be sold or offered free of charge. Except as
provided herein, breweries utilizing special permits shall be
governed by all applicable provisions of this act as well as by
all applicable regulations or conditions adopted by the board.
For purposes of this clause, "malt or brewed beverages and food
expositions" are defined as affairs held indoors or outdoors
with the intent of educating those in attendance of the
availability, nature and quality of malt or brewed beverages in
conjunction with suitable food displays, demonstrations and
sales. Malt or brewed beverages and food expositions may also
include activities other than malt or brewed beverages and food
displays, including arts and crafts, musical activities,
cultural exhibits, agricultural exhibits and farmers markets.
(2) At the discretion of the board, obtain a farmers market
permit. The permit shall entitle the holder to participate in
more than one farmers market at any given time and an unlimited
number throughout the year and sell malt or brewed beverages
produced under the authority of the underlying brewery license
by the bottle or package not to exceed one hundred forty-four
ounces. Samples not to exceed four fluid ounces per brand of
malt or brewed beverages may be offered free of charge. A
farmers market permit shall be issued upon proper application
and payment of an annual fee of two hundred fifty dollars
($250.00). A permit holder may participate in more than one
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farmers market at any given time. Sales by permit holders shall
take place during the standard hours of operation of the farmers
market. Written notice of the date, times and location the
permit is to be used at shall be provided by the permit holder
to the enforcement bureau at least two (2) weeks prior to the
event. Except as provided in this subsection, breweries
utilizing farmers market permits shall be governed by all
applicable provisions of this act as well as by all applicable
regulations adopted by the board.
The term "farmers market" as used in this section shall
include any building, structure or other place:
(i) owned, leased or otherwise in the possession of a
person, municipal corporation or public or private organization;
(ii) used or intended to be used by two or more farmers or
an association of farmers, who are certified by the Department
of Agriculture to participate in the Farmers Market Nutrition
Program subject to 7 CFR Pt. 249 (relating to Senior Farmers'
Market Nutrition Program (SFMNP)), for the purpose of selling
agricultural commodities produced in this Commonwealth directly
to consumers;
(iii) which is physically located within this Commonwealth;
and
(iv) which is not open for business more than twelve hours
each day.
(3) The special permit, as well as the farmers market permit
authorized by this section, are only available to breweries who
produce less than twenty-five thousand barrels per year. qualify <--
as a manufacturer as authorized under section 431(a) and who has
not named or constituted a distributor or importing distributor
as a primary or original supplier of the product under section
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431(b). Only malt or brewed beverages for which the brewery is
responsible for paying the malt beverage tax shall be considered
in calculating the total number of barrels produced each year.
All brands of malt or brewed beverages sold or provided under
the authority of the special permit as well as the farmers
market permit must be registered as set forth by this act.
Section 2. This act shall take effect in 60 days.
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