BILL NUMBER: SB 1285INTRODUCED BILL TEXT INTRODUCED BY Senator Leno FEBRUARY 19, 2016 An act to add Section 23826.13 to the Business and Professions Code, relating to alcoholic beverages. LEGISLATIVE COUNSEL'S DIGEST SB 1285, as introduced, Leno. Alcoholic beverages: licenses. The Alcoholic Beverage Control Act, administered by the Department of Alcoholic Beverage Control, regulates the sale and distribution of alcoholic beverages and the granting of licenses for the manufacture, distribution, and sale of alcoholic beverages within the state. The act also provides for a limitation on the amount of on-sale general licenses that may be issued by the department based on the population of the county in which the licensed premises are located, as provided. This bill would, beginning January 1, 2017, provide an exception to this limitation for a county of the 6th class, as specified, for 28 new original special on-sale general licenses for bona fide eating places for premises located within specified census tracts in that county, subject to specified requirements. This bill would make legislative findings and declarations as to the necessity of a special statute for the City and County of San Francisco. Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 23826.13 is added to the Business and Professions Code, to read: 23826.13. (a) Notwithstanding any other provision of this chapter, in any county of the sixth class, the department may issue no more than a total of 28 new original special on-sale general licenses for bona fide eating places beginning on January 1, 2017. (b) To qualify for a license issued pursuant to this section, the premises for which the license would apply shall be located within one of the following United States Bureau of Census census tracts located within the City and County of San Francisco, subject to the following limitations: (1) For United States Bureau of the Census census tracts 612000, 232000, 234000, 233000, and 230030, no more than a total of four new special original on-sale general licenses for bona fide eating places shall be issued to premises located within all of these tracts. (2) For United States Bureau of the Census census tracts 258000 and 257020, no more than a total of four new special original on-sale general licenses for bona fide eating places shall be issued to premises located within both of these tracts. (3) For United States Bureau of the Census census tract 264030, no more than a total of four new special original on-sale general licenses for bona fide eating places shall be issued to premises located within this tract. (4) For United States Bureau of the Census census tracts 255000, 256000, 260020, 260010, 260040, 261000, and 263010, no more than a total of four new special original on-sale general licenses for bona fide eating places shall be issued to premises located within all of these tracts. (5) For United States Bureau of the Census census tracts 309000, 310000, and 312010, no more than a total of four new special original on-sale general licenses for bona fide eating places shall be issued to premises located within all of these tracts. (6) For United States Bureau of the Census census tracts 330000, 329010, 328010, 353000, and 354000, no more than a total of four new special original on-sale general licenses for bona fide eating places shall be issued to premises located within all of these tracts. (7) For United States Bureau of the Census census tracts 328020, 329020, 351000, and 352010, no more than a total of four new special original on-sale general licenses for bona fide eating places shall be issued to premises located within all of these tracts. (c) In issuing the licenses pursuant to this section, the department shall follow the procedure set forth in Section 23961. A license shall not be issued pursuant to this section to an applicant until any existing on-sale licenses issued to the applicant are canceled. (d) (1) An applicant who currently holds a valid on-sale general license for a premises shall not apply for a license issued pursuant to this section for that licensed premises. (2) An applicant seeking a license pursuant to this section shall comply with the notice requirements established in Section 23985.5. (3) Prior to submitting an application for a license issued pursuant to this section, the applicant shall conduct a minimum of one preapplication meeting to discuss the application with neighbors and members of the community within the census tract in which the premises are located. (A) The applicant shall hold the meeting either on the premises or at an alternate location within a one-mile radius of the premises. (B) The applicant shall mail notification of the preapplication meeting to all of the following individuals and organizations at least 14 calendar days before the meeting: (i) Each resident within a 500-foot radius of the premises for which the license is to be issued. (ii) Any relevant neighborhood associations for the neighborhood in which the premises is located, as identified on a list maintained by the Planning Department of the City and County of San Francisco. (iii) The Chief of Police for the San Francisco Police Department. (C) The department shall require the applicant to submit documentation of the completed preapplication meeting as part of an application for a license issued under this section. (e) (1) A license issued pursuant to this section shall not be transferred between counties. (2) A license issued pursuant to this section shall not be transferred to any premises other than the premises for which the license was originally issued. This provision shall not apply to any licensee whose premises have been destroyed as a result of fire or any act of God or other force beyond the control of the licensee, for whom the provisions of Section 24081 shall apply. (3) A license issued pursuant to this section shall not be transferred to any person, partnership, limited partnership, limited liability company, or corporation. This provision shall not apply to licenses transferred under Section 24071, 24071.1, or 24071.2. (f) Upon the cancellation of any license issued pursuant to this section, the license shall be returned to the department for issuance to a new applicant following the procedure set forth in Section 23961 and the provisions of this section. (g) A person that holds a special original on-sale general license for a bona fide public eating place issued pursuant to this section shall not exchange his or her license for an on-sale license for public premises. (h) A special on-sale general license for a bona fide eating place issued pursuant to this section shall not, with respect to beer and wine, authorize the exercise of the rights and privileges granted by an off-sale beer and wine license. (i) The department shall adopt rules and regulations to enforce the provisions of this section. SEC. 2. The Legislature finds and declares that a special law is necessary and that a general law cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique distribution and market conditions of liquor licenses in the City and County of San Francisco, that apply only to the City and County of San Francisco.