Bill Text: WV HB4698 | 2020 | Regular Session | Introduced
Bill Title: Allowing a bar to purchase liquor from a distillery or a mini-distillery
Spectrum: Slight Partisan Bill (Democrat 5-2)
Status: (Introduced - Dead) 2020-02-05 - To House Judiciary [HB4698 Detail]
Download: West_Virginia-2020-HB4698-Introduced.html
WEST virginia legislature
2020 regular session
Introduced
House Bill 4698
By Delegates Pushkin, Howell, Estep-Burton, Walker, McGeehan and Lavender-Bowe
[Introduced February 05, 2020; Referred to the Committee on the Judiciary]
A BILL to amend and reenact §60-4-3a of the Code of West Virginia, 1931, as amended; and to amend and reenact §60-7-11 of said code, all relating to allowing a bar to purchase liquor from a distillery or a mini-distillery if it is within 10 miles of the distillery or mini-distillery and the liquor was made at the distillery or mini-distillery.
ARTICLE 4. LICENSES.
§60-4-3a. Distillery and mini-distillery license to manufacture and sell.
(a) Sales of liquor. — (1) An operator of a distillery or a mini-distillery may offer liquor made at the distillery or mini-distillery for retail sale to:
(A) Customers from the distillery or the mini-distillery for consumption off premises only; and
(B) A licensee under §60-7-1 et seq. of this code when the licensed operation is within 10 miles of the distillery or the mini-distillery.
(2) Except for free complimentary samples offered pursuant to §60-6-1 of this code, customers are prohibited from consuming any liquor on the premises of the distillery or the mini-distillery: Provided, That a licensed distillery or mini-distillery may offer complimentary samples per this subsection of alcoholic liquors manufactured by that licensed distillery or mini-distillery for consumption on the premises only on Sundays beginning at 10:00 a.m. in any county in which the same has been approved as provided for in §7-1-3pp of this code.
(b) Retail sales. — Every licensed distillery or mini-distillery shall comply with the provisions of §60-3A-9, §60-3A-11, §60-3A-13, §60-3A-16, §60-3A-17, §60-3A-18, §60-3A-19, §60-3A-22, §60-3A-23, §60-3A-24, §60-3A-25, and §60-3A-26 and the provisions of §60-3-1 et seq. and §60-4-1 et seq. of this code applicable to liquor retailers and distillers.
(c) Payment of taxes and
fees. — The distillery or mini-distillery shall pay all taxes and fees
required of licensed retailers and meet applicable licensing provisions as
required by this chapter and by rule of the commissioner, except for payments
of the wholesale markup percentage and the handling fee provided by rule of the
commissioner: Provided, That all liquor for sale to customers from the
distillery or the mini-distillery for off-premises consumption shall be and
licensees under §60-7-1 et seq.
of this code, as allowed by subdivision (1), subsection (a) of this section,
are subject of to a
five percent wholesale markup fee and an 80 cents per case bailment fee to be
paid to the commissioner: Provided, however, That no liquor sold by the
distillery or mini-distillery shall be priced less than the price set by the
commissioner pursuant to §60-3A-17 of this code.
(d) Payments to market zone retailers. — Each distillery or mini-distillery shall submit to the commissioner two percent of the gross sales price of each retail liquor sale for the value of all sales at the distillery or the mini-distillery each month. This collection shall be distributed by the commissioner, at least quarterly, to each market zone retailer located in the distillery or mini-distillery’s market zone, proportionate to each market zone retailer’s annual gross prior years pretax value sales. The maximum amount of market zone payments that a distillery or mini-distillery shall be required to submit to the commissioner is $15,000 per annum.
(e) Limitations on licensees. — No distillery or mini-distillery may sell more than 3,000 gallons of product at the distillery or mini-distillery location the initial two years of licensure. The distillery or mini-distillery may increase sales at the distillery or mini-distillery location by 2,000 gallons following the initial 24-month period of licensure and may increase sales at the distillery or mini-distillery location each subsequent 24-month period by 2,000 gallons, not to exceed 10,000 gallons a year of total sales at the distillery or mini-distillery location. No licensed mini-distillery may produce more than 50,000 gallons per calendar year at the mini-distillery location. No more than one distillery or mini-distillery license may be issued to a single person or entity and no person may hold both a distillery and a mini-distillery license.
ARTICLE 7. LICENSES TO PRIVATE CLUBS.
§60-7-11. Licensee must purchase alcoholic liquors from or through commissioner or retail licensee; exceptions.
(a)(1) All licensees shall purchase all alcoholic liquors sold by them from the West Virginia Alcohol Beverage Control Commissioner at prices established by the commissioner for sales of the alcoholic liquors to the public generally or from any retail licensee licensed under the provisions of §60-3A-1 et seq. of this code, except that the:
(A) Licensees may purchase those wines permitted to be sold at retail pursuant to §60-8-1 et seq. of this code from those distributors licensed pursuant to said article at the same prices the distributors sell the wines to retailers licensed pursuant to said article; and
(B) Licensees may make purchases from a distillery or a mini-distillery as allowed by §60-4-3a(a)(1)(B) of this code.
(2) A licensee may by
contract approved by the commissioner receive deliveries of alcoholic liquor
from a retail liquor store, and the provisions of §60-6-12 and §60-6-13 of this
code shall do not apply to the transportation of that alcoholic
liquor.
(b) In all reports filed under §11-15-16 of this code, retail licensees licensed under the provisions of §60-3A-1 et seq. of this code shall separately identify the amount of sales tax on sales of liquor to licensees in the manner required by the Tax Commissioner.
(c) Notwithstanding the provisions of §11-15-30 of this code to the contrary, the amount of the sales taxes collected by the Tax Commissioner shall be deposited in a revolving fund account in the State Treasurer's office, designated the “Drunk Driving Prevention Fund”, and administered by the Commission on Drunk Driving Prevention, subject to appropriations by the Legislature.
NOTE: The purpose of this bill is to allow a bar to purchase liquor from a distillery or a mini-distillery if it is within 10 miles of the distillery or mini-distillery.
Strike-throughs indicate language that would be stricken from a heading or the present law and underscoring indicates new language that would be added.
