Stricken language would be deleted from and underlined language would be added to present law.
Act 762 of the Regular Session
*CRH277* 04-07-2025 10:30:00 CRH277
State of Arkansas As Engrossed: H4/7/25 1
95th General Assembly A Bill 2
Regular Session, 2025 SENATE BILL 523 3
4
By: Senator Irvin 5
By: Representative Dalby 6
7
For An Act To Be Entitled 8
AN ACT TO AMEND THE LAW REGARDING ALCOHOLIC 9
BEVERAGES; TO REMOVE THE REQUIREMENT THAT A PRIVATE 10
CLUB BE A NONPROFIT ORGANIZATION; AND FOR OTHER 11
PURPOSES. 12
13
14
Subtitle 15
TO AMEND THE LAW REGARDING ALCOHOLIC 16
BEVERAGES; AND TO REMOVE THE REQUIREMENT 17
THAT A PRIVATE CLUB BE A NONPROFIT 18
ORGANIZATION. 19
20
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 21
22
SECTION 1. DO NOT CODIFY. Legislative findings. 23
The General Assembly finds that: 24
(1) The regulatory framework governing private clubs in this state 25
needs to be modernized to reflect evolving economic realities; 26
(2) Permitting flexibility in business structures can enhance 27
efficiency and economic viability and encourage broader investment and 28
growth; 29
(3) Allowing private clubs in dry counties to operate through diverse 30
business entities, including without limitation corporations, partnerships, 31
and limited liability companies, will foster competitive fairness, stimulate 32
local economic development, and attract increased investment by offering 33
businesses greater operational flexibility; and 34
(4) Permitting private clubs in dry counties to function through any 35
legally recognized business entity structure, including without limitation 36 As Engrossed: H4/7/25 SB523
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corporations, partnerships, limited liability companies, or sole 1
proprietorships, aligns regulatory practices with modern business practices 2
and enhances the state's overall economic competitiveness. 3
4
SECTION 2. Arkansas Code § 3 -4-108(b), concerning the selling of 5
alcoholic beverages with a food purchase by a private club, is amended to 6
read as follows: 7
(b) A private club holding a valid alcoholic beverage permit may serve 8
alcoholic beverages in a sealed container during legal operating hours 9
directly to a member or a guest of a member of the private club who is 10
twenty-one (21) years of age or older along with the purchase of a meal as 11
defined in § 3-9-202: 12
(1) At the point of sale to be consumed off -premises; 13
(2) At the drive-through to be consumed off -premises; 14
(3) At the curbside to be consumed off -premises; or 15
(4) Delivered to a consumer at a location off -premises. 16
17
SECTION 3. Arkansas Code § 3 -4-405(a)(18)-(20), concerning certain 18
actions by private clubs that are Class C permit violations, are repealed. 19
(18) Failure to maintain membership books or properly maintain 20
guestbooks by a private club; 21
(19) Allowing an unauthorized guest in a private club; 22
(20) Dispensing to nonmembers or nonguests by a private club; 23
24
SECTION 4. Arkansas Code § 3 -5-1901(7), concerning the definition of a 25
microbrewery-restaurant private club" under the law regarding microbrewery -26
restaurant private club permits, is amended to read as follows: 27
(7) “Microbrewery-restaurant private club” means a nonprofit 28
organization, corporation, partnership, limited liability company, or sole -29
propriertorship organized and existing or authorized to do business under the 30
laws of this state that : 31
(A) Is is both a microbrewery and a restaurant ; 32
(B) Has members, which are not directly or indirectly 33
benefitted by the entity's net revenues; 34
(C) Exists for some common recreational, social, 35
patriotic, political, national, benevolent, athletic, community hospitality, 36 As Engrossed: H4/7/25 SB523
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professional association, entertainment, or other object or purpose other 1
than the consumption of alcoholic beverages; and 2
(D) Has existed for at least one (1) year ; 3
4
SECTION 5. Arkansas Code § 3 -5-1902 is amended to read as follows: 5
3-5-1902. Microbrewery-restaurant private club. 6
(a) A microbrewery-restaurant private club applicant shall be an 7
entity organized and existing or authorized to do business under the laws of 8
this state before applying for a microbrewery -restaurant private club permit 9
as prescribed in this subchapter. 10
(b) The net revenues of the microbrewery -restaurant private club shall 11
not directly or indirectly benefit its members, except for the payment of 12
bona fide expenses of the microbrewery -restaurant private club's operations. 13
(c) Activities at the microbrewery -restaurant private club shall be 14
conducted for some common recreational, social, patriotic, political, 15
national, benevolent, athletic, community hospitality, professional 16
association, entertainment, or other object or purpose and not solely for the 17
consumption of alcoholic beverages. 18
(d)(1) At the time of application for a microbrewery -restaurant 19
private club permit, the entity shall own or lease, be the holder of a buy -20
sell agreement or offer and acceptance, or have an option to lease a 21
building, property, or space for the reasonable comfort and accommodation of 22
its members and the families and guests of its members. 23
(2) The microbrewery -restaurant private club shall restrict the 24
use of club facilities to its members and the families and guests of its 25
members. 26
(e) For purposes of this subchapter, a person is a member of the 27
microbrewery-restaurant private club only upon ordering an alcoholic beverage 28
as defined in § 3-5-1901. 29
(f)(c) If the entity holding a microbrewery -restaurant private club 30
permit additionally holds another alcoholic beverage permit, the hours of 31
operation authorized for the microbrewery -restaurant private club apply to 32
all permits of the entity. 33
34
SECTION 6. Arkansas Code § 3 -5-1904(a)(4) and (5), concerning the 35
selling and serving certain alcoholic beverages on -premises by the holder of 36 As Engrossed: H4/7/25 SB523
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a microbrewery-restaurant private club permit are amended to read as follows: 1
(4) Sell on the premises beer, malt beverage, or hard cider 2
manufactured by the microbrewery -restaurant private club or commonly owned 3
facility to a member guest for on-premises consumption during legal operating 4
hours; 5
(5) Serve to a member guest on-premises complimentary samples of 6
beer, malt beverages, or hard cider produced by the microbrewery -restaurant 7
private club; 8
9
SECTION 7. Arkansas Code § 3 -5-1904(e)(3), concerning advertising of a 10
social function by a microbrewery -restaurant private club, is amended to read 11
as follows: 12
(3) The advertising for the social function shall be preceded by 13
the words “Notice to Members” and the name of the club or organization 14
sponsoring the social activity. 15
16
SECTION 8. Arkansas Code § 3-5-1905(a), concerning sales prohibited by 17
a microbrewery-restaurant private club, is amended to read as follows: 18
(a) A microbrewery-restaurant private club permitted under this 19
subchapter shall not sell alcoholic beverages either by the package or by the 20
drink to a guest: 21
(1) Nonmember for on -premises or off-premises consumption; or 22
(2) Member for off-premises consumption. 23
24
SECTION 9. Arkansas Code § 3 -5-1906(1), concerning the permit fee for 25
a microbrewery-restaurant private club, is amended to read as follows: 26
(1) Pay the applicable city or county permit fees and barrelage 27
or taxes and shall pay a state permitting fee to the Alcoholic Beverage 28
Control Division of seven hundred fifty dollars ($750) per fiscal year to 29
manufacture and sell to members guests its beer, malt beverages, and hard 30
cider for on-premises consumption and to sell to members guests other beer, 31
malt beverages, hard cider, and spirituous liquor purchased from a permitted 32
retailer for on-premises consumption; 33
34
SECTION 10. Arkansas Code § 3 -5-1907(a)(3), concerning the information 35
required for an application of an applicant that is reapplying for a 36 As Engrossed: H4/7/25 SB523
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microbrewery-restaurant private club permit within two (2) years of denial, 1
is amended to read as follows: 2
(3) The petition on which the signatures are obtained under this 3
section shall state clearly that the purpose of the petition is to obtain an 4
alcoholic beverage permit for a microbrewery -restaurant private club and to 5
serve alcoholic beverages to members guests. 6
7
SECTION 11. Arkansas Code § 3 -9-202(14), as amended by Acts 2025, No. 421, § 8
3, concerning the definition of a private club, is amended to read as 9
follows: 10
(14)(A)(i) “Private club” means , except as provided in 11
subdivision (14)(D) of this section, a nonprofit corporation , sole-12
proprietorship, corporation, partnership, or limited liability company 13
organized and existing or authorized to do business under the laws of this 14
state, no part of the net revenues of which shall inure directly or 15
indirectly to the benefit of any of its members or any other individual, 16
except for the payment of bona fide expenses of the club's operations, and 17
which is conducted for some common recreational, social, patriotic, 18
political, national, benevolent, athletic, community hospitality, 19
professional association, entertainment, or other nonprofit object or purpose 20
other than the consumption of alcoholic beverages. 21
(ii) The nonprofit corporation shall have been in 22
existence for a period of not less than one (1) year before applying for a 23
permit, as prescribed in this subchapter. 24
(iii) At the time of application for the permit, the 25
nonprofit corporation must have not fewer than one hundred (100) members and 26
at the time of application must own or lease, be the holder of a buy -sell 27
agreement or offer and acceptance, or have an option to lease a building, 28
property, or space therein for the reasonable comfort and accommodation of 29
its members and their families and guests and restrict the use of club 30
facilities to those persons. 31
(B) For purposes of this subdivision (14), a person shall 32
be required to become a member of the private club in any wet area of the 33
state only upon ordering an alcoholic beverage as defined under subdivision 34
(1) of this section. 35
(C) Furthermore, where the business entity that holds a 36 As Engrossed: H4/7/25 SB523
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private club permit additionally holds a retail beer permit, retail wine for 1
consumption on the premises permit, or cafe or restaurant wine permit, the 2
hours of operation authorized for the private club shall likewise apply to 3
all permits of the business entity. 4
(D) A corporation, partnership, individual, or limited 5
liability company applying for a hotel, restaurant, or large -event facility 6
private club permit under § 3 -9-221(a)(3)(B) is not required to form a 7
nonprofit corporation but shall otherwise comply with all requirements of § 8
3-9-240; 9
10
SECTION 12. Arkansas Code § 3 -9-221, as amended by Acts 2025, No. 421, 11
§ 3, is amended to read as follows: 12
3-9-221. Private clubs — Exception from alcoholic beverage laws. 13
(a) The General Assembly recognizes that: 14
(1) Many individuals in this state serve mixed drinks containing 15
alcoholic beverages to their friends and guests in the privacy of their homes 16
and, in addition, that many individuals associated together in private 17
nonprofit corporations established for fraternal, patriotic, recreational, 18
political, social, or other mutual purposes as authorized by law, established 19
not for pecuniary gain, have provided for their mutual convenience and for 20
the preparation and serving to themselves and their guests mixed drinks 21
prepared from alcoholic beverages owned by the members individually or in 22
common under a so-called “locker”, “pool”, or “revolving fund” system; 23
(2) Many individuals travel to this state to assemble at 24
regional meetings and conventions to associate with other individuals who are 25
members of professional and social organizations and that: 26
(A) Many of the restaurants and entertainment facilities 27
used for the meetings and conventions promote the hospitality of the host 28
communities where the restaurants, convention, and entertainment facilities 29
are located; 30
(B) Many of the host organizations plan to serve mixed 31
drinks containing alcoholic beverages to their friends and guests at these 32
meetings and while entertaining and dining during these conventions; and 33
(C) Many of the host communities have individuals who have 34
associated together in private nonprofit corporations established for 35
recreational, social, community hospitality, professional association, 36 As Engrossed: H4/7/25 SB523
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entertainment, or other mutual purposes established, not for pecuniary gain, 1
but for their mutual convenience and to provide for the preparation and 2
serving to themselves and their guests mixed drinks prepared from alcoholic 3
beverages owned by the members individually or in common under a so -called 4
locker, pool, or revolving fund system; and 5
(3)(A)(i)(1)(A) That there There are a number of counties or 6
parts of counties where the public retail sale of intoxicating liquors has 7
not been approved by the voters. 8
(ii)(B) However, within those counties or parts of 9
counties there are significant developments of tourism facilities and large -10
event facilities that promote the economic development of the state .; 11
(B)(2) To ensure that tourism and large -event facilities 12
as well as other associated activities are allowed to exist to promote the 13
economic development in the state, a new hotel , restaurant, or large-event 14
facility private club permit, for use in those places where the public retail 15
sale of intoxicating liquors is not authorized, should be created .; 16
(C)(3) These permits are necessary so that persons 17
visiting hotels, restaurants, or large-event facilities in these areas will 18
be able to enjoy the amenities that a person might find in other states .; 19
(D)(4) This additional permit will enhance the experience 20
of going to hotels, restaurants, or large-event facilities that may display 21
items of historic interest, contain extensive art collections, or host 22
musical or dramatic presentations .; and 23
(E)(5) Further, since the counties or parts of counties in 24
which these hotels, restaurants, or large-event facilities will be located do 25
not allow the open public retail sale of intoxicating liquors, the hotel 26
facilities, restaurants, or large-event facilities should be allowed to offer 27
alcoholic beverages to guests. 28
(b)(1) In order to clarify the alcoholic beverage control laws of this 29
state and to regulate and prohibit the sale of alcoholic beverages in 30
violation of the provisions of this subchapter and other applicable alcoholic 31
beverage control laws of this state, the General Assembly determines that the 32
preparation, mixing, and serving of mixed drinks, beer, and wine for 33
consumption only on the premises of a private club as defined in § 3-9-34
202(14) § 3-9-202 by the members thereof and their guests and the making of a 35
charge for such services shall not be deemed to be a sale or be in violation 36 As Engrossed: H4/7/25 SB523
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of any law of this state prohibiting the manufacture, sale, barter, loan, or 1
giving away of intoxicating liquor whenever: 2
(A) The If the private club permittee is a nonprofit 3
organization, the alcoholic beverages, beer, and wine so consumed have been 4
may be furnished or drawn from private stocks thereof belonging to such the 5
members, individually or in common under a so -called locker, pool, or 6
revolving fund system and are that is replenished only at the expense of such 7
the members; and 8
(B) The private club has acquired a permit from the 9
Alcoholic Beverage Control Board, in such the form as the board may 10
appropriately determine. 11
(2)(A) A private club may serve any alcoholic beverage furnished 12
or drawn under the provisions of subdivision (b)(1) of this section on the 13
golf course on which the private club is located when the private club is 14
hosting a professional golf tournament or other charitable golf tournament 15
sponsored by a charitable organization described in 26 U.S.C. § 501(c)(3) and 16
the Director of the Alcoholic Beverage Control Division has been notified by 17
the private club at least sixty (60) calendar days prior to the beginning of 18
the event. 19
(B) Persons attending the event may purchase alcoholic 20
beverages from the private club shall be deemed guests of the private club, 21
and the club may serve the alcoholic beverages to the guests for cash . 22
(C) The director may promulgate rules he or she deems 23
necessary to implement this subdivision (b)(2). 24
(c) In order to clarify the alcoholic beverage control laws of this 25
state and to regulate and prohibit the sale of alcoholic beverages in 26
violation of the provisions of this subchapter and other applicable alcoholic 27
beverage control laws of this state, the General Assembly determines that the 28
preparation, mixing, and serving of wine and beer for consumption only by the 29
lodging guests on the premises of a bed and breakfast private club as defined 30
in § 3-9-202(2)§ 3-9-202 and the making of a charge for such the services 31
shall not be deemed to be a sale or to be in violation of any law of this 32
state prohibiting the manufacture, sale, barter, loan, or giving away of 33
intoxicating liquor whenever: 34
(1) The wine and beer so consumed have been furnished or drawn 35
from private stocks belonging to an owner of the bed and breakfast private 36 As Engrossed: H4/7/25 SB523
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club and are replenished only at the expense of such owner; 1
(2) The wine and beer consumed must have been purchased in an 2
Arkansas licensed retail alcoholic beverage store, as authorized by the 3
director; 4
(3)(2) The average annual volume of wine and beer consumed shall 5
not exceed three gallons (3 gals.) per month per guest room; and 6
(4)(3) The bed and breakfast private club has acquired a permit 7
from the board in such form as the board may appropriately determine. 8
9
SECTION 13. Arkansas Code § 3 -9-222(c)(3), as amended by Acts 2025, 10
No. 421, § 4, concerning the contents of the notice required to be published 11
by an applicant for a private club permit, is amended to read as follows: 12
(3) The notice shall give the names of the managing agent and 13
the nonprofit corporation or, in the case of a bed and breakfast private 14
club, the name of the business owner , and shall state: 15
(A) That the manager, or in the case of a bed and 16
breakfast private club or a hotel, restaurant, or large -event facility 17
private club, the owner, at least one (1) partner, or the majority 18
stockholder is a citizen of Arkansas; 19
(B) That he or she is of good moral character; 20
(C) That he or she has never been convicted of a felony or 21
had a license to sell or dispense alcoholic beverages revoked within the five 22
(5) years preceding the date of the notice; and 23
(D) That he or she has never been convicted of violating 24
the laws of this state or of any other state governing the sale or dispensing 25
of alcoholic beverages. 26
27
SECTION 14. Arkansas Code § 3 -9-223(b), concerning a supplemental tax 28
on gross receipts for private clubs, is amended to read as follows: 29
(b)(1) In addition, there is levied a supplemental tax of ten percent 30
(10%) upon the gross proceeds or gross receipts derived by the private club 31
from the charges to members or guests for the preparation and serving of 32
mixed drinks or for the cooling and serving of beer and wine , drawn from the 33
private stocks of the members as provided in § 3 -9-221, for consumption only 34
on the premises where served. 35
(2) In addition to the tax levied under subdivision (b)(1) of 36 As Engrossed: H4/7/25 SB523
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this section, a supplemental tax of four percent (4%) is levied on the gross 1
proceeds or gross receipts derived by the private club from the charges to 2
members or guests for the preparation and serving of mixed drinks drawn from 3
the private stocks of the members as provided in § 3 -9-221 for consumption 4
only on the premises where served. 5
6
SECTION 15. Arkansas Code § 3 -9-223(e), concerning the passing on of 7
taxes prescribed on a private club, is amended to read as follows: 8
(e) The taxes herein prescribed may be passed on to the members or 9
guests. 10
11
SECTION 16. Arkansas Code § 3 -9-224 is repealed. 12
3-9-224. Private clubs — Sales prohibited. 13
(a) No private club permitted hereunder shall sell alcoholic beverages 14
either by the package or drink. 15
(b) Alcoholic beverages, beer, and wine owned by members may be stored 16
on the premises of the club. 17
(c) If any permittee shall sell, barter, loan, or give away any 18
intoxicating liquor in violation of this subchapter or other alcoholic 19
beverage control laws of this state, the permit of the club shall be revoked. 20
21
SECTION 17. Arkansas Code § 3 -9-226(b)(2), concerning the prohibition 22
on advertising or promoting the consumption of alcoholic beverages by private 23
clubs, is amended to read as follows: 24
(2) The prohibition on advertising or promoting the consumption 25
of alcoholic beverages under subdivision (b)(1) of this section does not 26
require a private club to block visibility through the private club's 27
windows, or doors, or barriers to prevent the general public from viewing 28
patrons consuming alcoholic beverages, including without limitation through 29
the use of window tinting. 30
31
SECTION 18. Arkansas Code § 3 -9-226(c)(3), concerning the requirement 32
that advertising by a private club for a social function contain a "notice to 33
members", is repealed. 34
(3) The advertising for the social function shall be preceded by 35
the words “Notice to Members” and the name of the club or organization 36 As Engrossed: H4/7/25 SB523
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sponsoring such social activity. 1
2
SECTION 19. Arkansas Code § 3 -9-226, concerning advertising by a 3
private club, is amended to add an additional subdivision to read as follows: 4
(d) This section shall not apply to a private club permit holder 5
operating under substantially the same trade name in both wet and dry 6
territories provided that the advertising is: 7
(1) Not directed exclusively toward a dry territory; and 8
(2) Otherwise compliant with applicable law. 9
10
SECTION 20. Arkansas Code § 3 -9-240, as amended by Acts 2025, No. 421, 11
§ 5, is amended to read as follows: 12
3-9-240. Hotel, restaurant, or large-event facility private club 13
permit. 14
(a)(1) An application for a hotel , restaurant, or large-event facility 15
private club permit shall be in writing and shall provide information 16
concerning the applicant for the hotel , restaurant, or large-event facility 17
private club permit and the premises to be used by the applicant as the 18
Director of the Alcoholic Beverage Control Division requires. 19
(2) A hotel, restaurant, or large-event facility private club 20
permit may be issued only in a county or a territory of a county that does 21
not allow the public retail sale of intoxicating liquors as provided under § 22
3-8-201. 23
(3) A hotel, restaurant, or large-event facility private club 24
permit may be issued to a corporation, partnership, individual, or limited 25
liability company. 26
(b) The application for a hotel , restaurant, or large-event facility 27
private club permit shall be accompanied by a check or money order for the 28
amount required by this section for the hotel , restaurant, or large-event 29
facility private club permit. 30
(c) A hotel, restaurant, or large-event facility private club permit 31
application shall contain a description of the premises permitted and provide 32
proof that the space has at least: 33
(1) Eighty (80) lodging rooms and five thousand square feet 34
(5,000 sq. ft.) of public meeting, banquet, or restaurant space from a hotel; 35
or 36 As Engrossed: H4/7/25 SB523
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(2) Ten thousand square feet (10,000 sq. ft.) of interior or 1
exterior public meeting, banquet, exhibit hall, or restaurant space from a 2
large-event facility; or 3
(3) Seating capacity for not fewer than one hundred (100) people 4
in the restaurant that otherwise complies with the requirements of § 3 -9-5
202(16). 6
(d) If the director grants an application for a hotel , restaurant, or 7
large-event facility private club permit, he or she shall issue a hotel , 8
restaurant, or large-event facility private club permit in a form as 9
determined by the rules of the Alcoholic Beverage Control Division. 10
(e)(1) A hotel, restaurant, or large-event facility private club 11
permit authorizes the dispensing, service, and consumption of alcoholic 12
beverages by and to guests on the premises of a hotel , restaurant, or large-13
event facility for on -premises consumption. 14
(2) The areas of a hotel , restaurant, or large-event facility 15
that may be utilized by a hotel , restaurant, or large-event facility private 16
club permittee for purposes of a hotel , restaurant, or large-event facility 17
private club permit include without limitation: 18
(A) Sleeping rooms; 19
(B) Pool-side bars; 20
(C) Banquet facilities; 21
(D) Restaurants; 22
(E) Lobbies; 23
(F) Exhibit halls; 24
(G) Patios; and 25
(H) Outdoor gardens. 26
(3) Guests of the hotel or large -event facility private club 27
permittee that holds a hotel , restaurant, or large-event facility private 28
club permit may move from one area to another area designated under 29
subdivision (e)(2) of this section while consuming alcoholic beverages. 30
(f)(1) A person must be a guest of the hotel , restaurant, or large-31
event facility private club permittee to consume or possess alcoholic 32
beverages dispensed by the hotel , restaurant, or large-event facility private 33
club permittee. 34
(2) Persons under twenty -one (21) years of age may be allowed on 35
the premises of the hotel , restaurant, or large-event facility private club 36 As Engrossed: H4/7/25 SB523
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permittee. 1
(3)(A) A hotel holding a hotel , restaurant, or large-event 2
facility private club permit under this section may use room service to serve 3
the alcoholic beverage. 4
(B) The hotel holding a hotel , restaurant, or large-event 5
facility private club permit may stock a sleeping room with alcoholic 6
beverages, and the hotel or large -event facility private club permittee 7
through the hotel's employees shall inventory the alcoholic beverages in the 8
sleeping room. 9
(C) Sleeping rooms that are solely occupied by persons 10
twenty (20) years of age and under shall not receive alcoholic beverages 11
through room service or be stocked with alcoholic beverages. 12
(g)(1)(A) For a hotel and a restaurant, the application and renewal 13
fee for a hotel, restaurant, or large-event facility private club permit is 14
one thousand five hundred dollars ($1,500) per year payable on or before June 15
30 of each calendar year for the fiscal year beginning July 1. 16
(B) In an area in which the sale of intoxicating liquor 17
has not been authorized by local option as provided under § 3 -8-201 et seq., 18
the application for a hotel , restaurant, or large-event facility private club 19
permit shall be accompanied by an additional application fee of one thousand 20
five hundred dollars ($1,500). 21
(2) The application and renewal fee for a large -event facility 22
for a hotel, restaurant, or large-event facility private club permit is two 23
thousand five hundred dollars ($2,500) per year payable on or before June 30 24
of each calendar year for the fiscal year beginning July 1. 25
(h) The director shall promulgate rules to enforce this section. 26
27
SECTION 21. DO NOT CODIFY. Transitional language. 28
(a) Upon the effective date of this act, a private club permit 29
currently held by a nonprofit corporation shall, upon written request by the 30
board of directors of the nonprofit corporation to the Alcoholic Beverage 31
Control Division and the Alcoholic Beverage Control Enforcement Division, be 32
transferred to a corporation, partnership, individual, or limited liability 33
company organized and existing under or authorized to do business under the 34
laws of this state operating at the same location. 35
(b) The successor entity and the entity's owners under a transfer 36 As Engrossed: H4/7/25 SB523
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under subsection (a) of this section shall comply with all applicable private 1
club permit application procedures under existing law, except that a new 2
private club permit fee or application fee shall not be required. 3
(c) Upon approval of a transfer to the new entity, the board of 4
directors of a nonprofit corporation holding a private club permit may 5
transfer all assets of the nonprofit corporation, including without 6
limitation all alcoholic beverage inventories, equipment, and property, to 7
the successor business entity identified under subsection (a) of this 8
section. 9
(d) For a period of five (5) years from the effective date of this 10
act, the Secretary of State shall waive all fees associated with the 11
dissolution of nonprofit corporations currently holding private club permits 12
that become unnecessary due to the transfer authorized by this act. 13
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/s/Irvin 15
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APPROVED: 4/17/25 18
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