Bill Text: TX SB371 | 2017-2018 | 85th Legislature | Enrolled
Bill Title: Relating to the grounds for refusal, cancellation, or suspension of certain alcoholic beverage licenses.
Spectrum: Bipartisan Bill
Status: (Passed) 2017-06-09 - Effective on 9/1/17 [SB371 Detail]
Download: Texas-2017-SB371-Enrolled.html
S.B. No. 371 |
|
||
relating to the grounds for refusal, cancellation, or suspension of | ||
certain alcoholic beverage licenses. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 5.61(b), Alcoholic Beverage Code, is | ||
amended to read as follows: | ||
(b) The report must specify the number of individuals or | ||
establishments found to be: | ||
(1) engaging in an activity for which a permit or | ||
license is required by this code without the required permit or | ||
license; | ||
(2) selling, serving, or offering for sale an | ||
alcoholic beverage during prohibited hours in violation of Chapter | ||
105 or Section 11.61(b)(23), 32.17(a)(7), or 61.71(a)(7); | ||
(3) consuming or permitting consumption of an | ||
alcoholic beverage on a permitted or licensed premises during | ||
prohibited hours in violation of Chapter 105 or Section | ||
11.61(b)(22), 32.17(a)(7), or 61.71(a)(17) [ |
||
(4) violating Section 11.61(b)(2), 32.17(a)(2), | ||
32.17(a)(3), 61.71(a)(13) [ |
||
(A) refusing to allow entry to a permitted or | ||
licensed premises by an inspector, investigator, or law enforcement | ||
official; | ||
(B) refusing to furnish information to an | ||
inspector, investigator, or law enforcement official; or | ||
(C) interfering with or refusing to permit an | ||
inspection or investigation being conducted by an inspector, | ||
investigator, or law enforcement official. | ||
SECTION 2. Section 11.49(b)(2), Alcoholic Beverage Code, is | ||
amended to read as follows: | ||
(2) If such a designation has been made and approved as | ||
to the holder of a license or permit authorizing the sale of | ||
alcoholic beverages at retail or as to a private club registration | ||
permit, the sharing of space, employees, business facilities, and | ||
services with another business entity (including the permittee's | ||
lessor, which, if a corporation, may be a domestic or foreign | ||
corporation, but excluding a business entity holding any type of | ||
winery permit, a manufacturer's license, or a general, local, or | ||
branch distributor's license), does not constitute a subterfuge or | ||
surrender of exclusive control in violation of Section 109.53 [ |
||
|
||
another in violation of Section 61.71(a)(14) [ |
||
|
||
shall not apply to original or renewal package store permits, wine | ||
only package store permits, local distributor's permits, or any | ||
type of wholesaler's permits. | ||
SECTION 3. Section 61.43, Alcoholic Beverage Code, is | ||
amended to read as follows: | ||
Sec. 61.43. DISCRETIONARY GROUNDS FOR REFUSAL: DISTRIBUTOR | ||
OR RETAILER. [ |
||
application for a license as a distributor or retailer if the county | ||
judge has reasonable grounds to believe and finds that: | ||
(1) the applicant has been finally convicted in a | ||
court of competent jurisdiction for the violation of a provision of | ||
this code during the two years immediately preceding the filing of | ||
an application; | ||
(2) five years has not elapsed since the termination, | ||
by pardon or otherwise, of a sentence imposed for conviction of a | ||
felony; | ||
(3) the applicant has violated or caused to be | ||
violated a provision of this code or a rule or regulation of the | ||
commission, for which a suspension was not imposed, during the | ||
12-month period immediately preceding the filing of an application; | ||
(4) the applicant failed to answer or falsely or | ||
incorrectly answered a question in an original or renewal | ||
application; | ||
(5) the applicant for a retail dealer's license does | ||
not have an adequate building available at the address for which the | ||
license is sought before conducting any activity authorized by the | ||
license; | ||
(6) the applicant or a person with whom the applicant | ||
is residentially domiciled had an interest in a license or permit | ||
which was cancelled or revoked within the 12-month period | ||
immediately preceding the filing of an application; | ||
(7) the applicant failed or refused to furnish a true | ||
copy of the application to the commission's district office in the | ||
district in which the premises sought to be licensed are located; | ||
(8) [ |
||
|
||
[ |
||
[ |
||
|
||
|
||
|
||
|
||
|
||
|
||
[ |
||
conduct business in a manner contrary to law or in a place or manner | ||
conducive to a violation of the law; or | ||
(9) [ |
||
the license is sought was used for selling alcoholic beverages in | ||
violation of the law at any time during the six months immediately | ||
preceding the filing of the application or was used, operated, or | ||
frequented during that time for a purpose or in a manner which was | ||
lewd, immoral, offensive to public decency, or contrary to this | ||
code. | ||
[ |
||
|
||
|
||
|
||
|
||
SECTION 4. Sections 61.71(a), (b), and (d), Alcoholic | ||
Beverage Code, are amended to read as follows: | ||
(a) The commission or administrator may suspend for not more | ||
than 60 days or cancel an original or renewal retail dealer's on- or | ||
off-premise license if it is found, after notice and hearing, that | ||
the licensee: | ||
(1) violated a provision of this code or a rule of the | ||
commission during the existence of the license sought to be | ||
cancelled or suspended or during the immediately preceding license | ||
period; | ||
(2) was finally convicted for violating a penal | ||
provision of this code; | ||
(3) was finally convicted of a felony while holding an | ||
original or renewal license; | ||
(4) made a false statement or a misrepresentation in | ||
the licensee's [ |
||
(5) with criminal negligence sold, served, or | ||
delivered an alcoholic beverage to a minor; | ||
(6) sold, served, or delivered an alcoholic beverage | ||
to an intoxicated person; | ||
(7) sold, served, or delivered an alcoholic beverage | ||
at a time when its sale is prohibited; | ||
(8) entered or offered to enter an agreement, | ||
condition, or system which would constitute the sale or possession | ||
of alcoholic beverages on consignment; | ||
(9) possessed on the licensed premises, or on adjacent | ||
premises directly or indirectly under the licensee's [ |
||
an alcoholic beverage not authorized to be sold on the licensed | ||
premises, or permitted an agent, servant, or employee to do so, | ||
except as permitted by Section 22.06, 24.05, or 102.05 [ |
||
|
||
(10) [ |
||
[ |
||
[ |
||
|
||
|
||
|
||
|
||
|
||
[ |
||
engage in conduct which is lewd, immoral, or offensive to public | ||
decency; | ||
(11) [ |
||
sell, handle, or dispense beer, or to assist in doing so, in an | ||
establishment where beer is sold for on-premises consumption; | ||
(12) [ |
||
101.41-101.43, 101.68, 102.11-102.15, 104.04, 108.01, or | ||
108.04-108.06 [ |
||
5.40 [ |
||
any of these sections or rules; | ||
(13) [ |
||
inspection of the licensed premises by an authorized representative | ||
of the commission or a peace officer; | ||
(14) [ |
||
licensee's [ |
||
benefit of a person not authorized by law to have an interest in the | ||
license; | ||
(15) [ |
||
licensee's [ |
||
(16) [ |
||
a place or manner which warrants the cancellation or suspension of | ||
the license based on the general welfare, health, peace, morals, | ||
safety, and sense of decency of the people; | ||
(17) [ |
||
permitted one to be consumed on the licensed premises at a time when | ||
the consumption of alcoholic beverages is prohibited by this code; | ||
(18) [ |
||
from a person other than the holder of a manufacturer's or | ||
distributor's license; | ||
(19) [ |
||
purpose of resale from another retail dealer of alcoholic | ||
beverages; | ||
(20) [ |
||
business or premises of the holder of a distributor's license; | ||
(21) [ |
||
distributed, or delivered an alcoholic beverage, or consumed an | ||
alcoholic beverage or permitted one to be consumed on the licensed | ||
premises while the licensee's [ |
||
(22) [ |
||
offered for sale beer in or from an original package bearing a brand | ||
or trade name of a manufacturer other than the brand or trade name | ||
shown on the container; | ||
(23) [ |
||
excess, is mentally incompetent, or is physically unable to manage | ||
the licensee's [ |
||
(24) [ |
||
authorized by Section 107.07 [ |
||
(25) [ |
||
manufacturer's or distributor's license had an interest of any | ||
kind; | ||
(26) [ |
||
interest in a permit or license which was cancelled for cause to | ||
sell, handle, or assist in selling or handling alcoholic beverages | ||
on the licensed premises within one year after the cancellation; | ||
(27) [ |
||
business engaged in the selling of distilled spirits or permitted a | ||
person having an interest in that type of business to have a | ||
financial interest in the business authorized by the licensee's | ||
[ |
||
102.05 [ |
||
(28) [ |
||
related to a person engaged in selling distilled spirits, except as | ||
permitted by Section 22.06, 24.05, or 102.05 [ |
||
there is a community of interests which the commission or | ||
administrator finds contrary to the purposes of this code; | ||
(29) [ |
||
related to a person whose license has been cancelled within the | ||
preceding 12 months so that there is a community of interests which | ||
the commission or administrator finds contrary to the purposes of | ||
this code; or | ||
(30) [ |
||
commission a breach of the peace occurring on the licensee's | ||
licensed premises. | ||
(b) Subdivisions (9), (27), (28), and (29)[ |
||
Subsection (a) [ |
||
business is located in a hotel in which an establishment authorized | ||
to sell distilled spirits in unbroken packages is also located if | ||
the licensed premises of the businesses do not coincide or overlap. | ||
(d) The grounds set forth in Subdivisions (1), (4)-(13) | ||
[ |
||
and (25) [ |
||
an agent, servant, or employee of the licensee. | ||
SECTION 5. Section 109.59(d), Alcoholic Beverage Code, is | ||
amended to read as follows: | ||
(d) Subsection (a) does not apply to the satisfaction of the | ||
distance requirement prescribed by Section 109.33(a)(2) for a | ||
public school if the holder's permit or license has been suspended | ||
for a violation occurring after September 1, 1995, of any of the | ||
following provisions: | ||
(1) Section 11.61(b)(1), (6)-(11), (13), (14), or | ||
(20); or | ||
(2) Section 61.71(a)(5)-(8), (10), (11), (13), (16) | ||
[ |
||
SECTION 6. Section 61.43, Alcoholic Beverage Code, as | ||
amended by this Act, applies only to an application for an alcoholic | ||
beverage permit or license filed on or after the effective date of | ||
this Act or pending on the effective date of this Act. | ||
SECTION 7. This Act takes effect September 1, 2017. | ||
______________________________ | ______________________________ | |
President of the Senate | Speaker of the House | |
I hereby certify that S.B. No. 371 passed the Senate on | ||
May 4, 2017, by the following vote: Yeas 30, Nays 1. | ||
______________________________ | ||
Secretary of the Senate | ||
I hereby certify that S.B. No. 371 passed the House on | ||
May 24, 2017, by the following vote: Yeas 146, Nays 0, two | ||
present not voting. | ||
______________________________ | ||
Chief Clerk of the House | ||
Approved: | ||
______________________________ | ||
Date | ||
______________________________ | ||
Governor |