California 2017 2017-2018 Regular Session

California Senate Bill SB254 Amended / Bill

Filed 05/26/2017

                    Amended IN  Senate  May 26, 2017 Amended IN  Senate  March 30, 2017 Amended IN  Senate  March 13, 2017 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Senate Bill No. 254Introduced by Senator PortantinoFebruary 07, 2017 An act to add Section 25513 to the Business and Professions Code, relating to delivery network companies.LEGISLATIVE COUNSEL'S DIGESTSB 254, as amended, Portantino. Delivery network companies: deliveries of alcoholic beverages.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. Unless otherwise specified, a violation of the act is a misdemeanor.This bill would prohibit a delivery network company, as defined, from delivering delivering, providing, arranging, or in any way facilitating the delivery of alcoholic beverages unless it has a system, reviewed and approved by the Department of Alcoholic Beverage Control, that meets specified requirements, including that the company can verify that the products are delivered to a person who is 21 years or age or older. The bill would also prohibit a delivery network company from delivering alcoholic beverages to consumers on the grounds of a college or university. The bill would authorize the department may charge an original and annual fee in an amount no greater than the amount required to cover the actual and reasonable costs of administering the review and approval program.The bill, by expanding the scope of an existing crime, would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for a specified reason.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: YES  Local Program: YES Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 25513 is added to the Business and Professions Code, to read:25513. (a) A delivery network company shall not deliver deliver, provide, arrange, or in any way facilitate the delivery of alcoholic beverages to a consumer unless it has a system, reviewed and approved by the Department of Alcoholic Beverage Control, that meets the following requirements:(1) The company can verify that the individual to which the alcoholic beverages are delivered is 21 years of age or older, the delivery takes place person to person, and the delivery driver compensated by the company is 21 years of age or older.(2) A consumer can may suspend, for any length of time, delivery of alcoholic beverages to a specified location that he or she has identified as the consumers primary delivery location.(b)Notwithstanding subdivision (a), a(3) A delivery network company shall not deliver alcoholic beverages to consumers on the grounds of a college or university.(b) (1) On or before January 1, 2020, the department shall develop a process by which it may review and approve a system used by a delivery network company to ensure that it meets the requirements of subdivision (a).(2) Beginning January 1, 2020, a delivery network company shall have a system, reviewed and approved by the department, that meets the requirements of subdivision (a).(3) The department may charge an original and annual fee in an amount no greater than the amount required to cover the actual and reasonable costs of administering the review and approval program established by this section.(c) For purposes of this section, delivery network company means an organization, including, but not limited to, a corporation, limited liability company, partnership, sole proprietor, or any other entity, operating in California that provides provides, arranges, or in any way facilitates prearranged delivery as an act of enrichment, financial or otherwise, of goods or services using an online-enabled application or platform to connect consumers with goods or service and to have those goods or services delivered directly to the consumer by an individual compensated by the organization. consumer.SEC. 2. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.

 Amended IN  Senate  May 26, 2017 Amended IN  Senate  March 30, 2017 Amended IN  Senate  March 13, 2017 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Senate Bill No. 254Introduced by Senator PortantinoFebruary 07, 2017 An act to add Section 25513 to the Business and Professions Code, relating to delivery network companies.LEGISLATIVE COUNSEL'S DIGESTSB 254, as amended, Portantino. Delivery network companies: deliveries of alcoholic beverages.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. Unless otherwise specified, a violation of the act is a misdemeanor.This bill would prohibit a delivery network company, as defined, from delivering delivering, providing, arranging, or in any way facilitating the delivery of alcoholic beverages unless it has a system, reviewed and approved by the Department of Alcoholic Beverage Control, that meets specified requirements, including that the company can verify that the products are delivered to a person who is 21 years or age or older. The bill would also prohibit a delivery network company from delivering alcoholic beverages to consumers on the grounds of a college or university. The bill would authorize the department may charge an original and annual fee in an amount no greater than the amount required to cover the actual and reasonable costs of administering the review and approval program.The bill, by expanding the scope of an existing crime, would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for a specified reason.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: YES  Local Program: YES 

 Amended IN  Senate  May 26, 2017 Amended IN  Senate  March 30, 2017 Amended IN  Senate  March 13, 2017

Amended IN  Senate  May 26, 2017
Amended IN  Senate  March 30, 2017
Amended IN  Senate  March 13, 2017

 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION

Senate Bill No. 254

Introduced by Senator PortantinoFebruary 07, 2017

Introduced by Senator Portantino
February 07, 2017

 An act to add Section 25513 to the Business and Professions Code, relating to delivery network companies.

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

SB 254, as amended, Portantino. Delivery network companies: deliveries of alcoholic beverages.

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. Unless otherwise specified, a violation of the act is a misdemeanor.This bill would prohibit a delivery network company, as defined, from delivering delivering, providing, arranging, or in any way facilitating the delivery of alcoholic beverages unless it has a system, reviewed and approved by the Department of Alcoholic Beverage Control, that meets specified requirements, including that the company can verify that the products are delivered to a person who is 21 years or age or older. The bill would also prohibit a delivery network company from delivering alcoholic beverages to consumers on the grounds of a college or university. The bill would authorize the department may charge an original and annual fee in an amount no greater than the amount required to cover the actual and reasonable costs of administering the review and approval program.The bill, by expanding the scope of an existing crime, would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for a specified reason.

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. Unless otherwise specified, a violation of the act is a misdemeanor.

This bill would prohibit a delivery network company, as defined, from delivering delivering, providing, arranging, or in any way facilitating the delivery of alcoholic beverages unless it has a system, reviewed and approved by the Department of Alcoholic Beverage Control, that meets specified requirements, including that the company can verify that the products are delivered to a person who is 21 years or age or older. The bill would also prohibit a delivery network company from delivering alcoholic beverages to consumers on the grounds of a college or university. The bill would authorize the department may charge an original and annual fee in an amount no greater than the amount required to cover the actual and reasonable costs of administering the review and approval program.

The bill, by expanding the scope of an existing crime, would impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. Section 25513 is added to the Business and Professions Code, to read:25513. (a) A delivery network company shall not deliver deliver, provide, arrange, or in any way facilitate the delivery of alcoholic beverages to a consumer unless it has a system, reviewed and approved by the Department of Alcoholic Beverage Control, that meets the following requirements:(1) The company can verify that the individual to which the alcoholic beverages are delivered is 21 years of age or older, the delivery takes place person to person, and the delivery driver compensated by the company is 21 years of age or older.(2) A consumer can may suspend, for any length of time, delivery of alcoholic beverages to a specified location that he or she has identified as the consumers primary delivery location.(b)Notwithstanding subdivision (a), a(3) A delivery network company shall not deliver alcoholic beverages to consumers on the grounds of a college or university.(b) (1) On or before January 1, 2020, the department shall develop a process by which it may review and approve a system used by a delivery network company to ensure that it meets the requirements of subdivision (a).(2) Beginning January 1, 2020, a delivery network company shall have a system, reviewed and approved by the department, that meets the requirements of subdivision (a).(3) The department may charge an original and annual fee in an amount no greater than the amount required to cover the actual and reasonable costs of administering the review and approval program established by this section.(c) For purposes of this section, delivery network company means an organization, including, but not limited to, a corporation, limited liability company, partnership, sole proprietor, or any other entity, operating in California that provides provides, arranges, or in any way facilitates prearranged delivery as an act of enrichment, financial or otherwise, of goods or services using an online-enabled application or platform to connect consumers with goods or service and to have those goods or services delivered directly to the consumer by an individual compensated by the organization. consumer.SEC. 2. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.

The people of the State of California do enact as follows:

## The people of the State of California do enact as follows:

SECTION 1. Section 25513 is added to the Business and Professions Code, to read:25513. (a) A delivery network company shall not deliver deliver, provide, arrange, or in any way facilitate the delivery of alcoholic beverages to a consumer unless it has a system, reviewed and approved by the Department of Alcoholic Beverage Control, that meets the following requirements:(1) The company can verify that the individual to which the alcoholic beverages are delivered is 21 years of age or older, the delivery takes place person to person, and the delivery driver compensated by the company is 21 years of age or older.(2) A consumer can may suspend, for any length of time, delivery of alcoholic beverages to a specified location that he or she has identified as the consumers primary delivery location.(b)Notwithstanding subdivision (a), a(3) A delivery network company shall not deliver alcoholic beverages to consumers on the grounds of a college or university.(b) (1) On or before January 1, 2020, the department shall develop a process by which it may review and approve a system used by a delivery network company to ensure that it meets the requirements of subdivision (a).(2) Beginning January 1, 2020, a delivery network company shall have a system, reviewed and approved by the department, that meets the requirements of subdivision (a).(3) The department may charge an original and annual fee in an amount no greater than the amount required to cover the actual and reasonable costs of administering the review and approval program established by this section.(c) For purposes of this section, delivery network company means an organization, including, but not limited to, a corporation, limited liability company, partnership, sole proprietor, or any other entity, operating in California that provides provides, arranges, or in any way facilitates prearranged delivery as an act of enrichment, financial or otherwise, of goods or services using an online-enabled application or platform to connect consumers with goods or service and to have those goods or services delivered directly to the consumer by an individual compensated by the organization. consumer.

SECTION 1. Section 25513 is added to the Business and Professions Code, to read:

### SECTION 1.

25513. (a) A delivery network company shall not deliver deliver, provide, arrange, or in any way facilitate the delivery of alcoholic beverages to a consumer unless it has a system, reviewed and approved by the Department of Alcoholic Beverage Control, that meets the following requirements:(1) The company can verify that the individual to which the alcoholic beverages are delivered is 21 years of age or older, the delivery takes place person to person, and the delivery driver compensated by the company is 21 years of age or older.(2) A consumer can may suspend, for any length of time, delivery of alcoholic beverages to a specified location that he or she has identified as the consumers primary delivery location.(b)Notwithstanding subdivision (a), a(3) A delivery network company shall not deliver alcoholic beverages to consumers on the grounds of a college or university.(b) (1) On or before January 1, 2020, the department shall develop a process by which it may review and approve a system used by a delivery network company to ensure that it meets the requirements of subdivision (a).(2) Beginning January 1, 2020, a delivery network company shall have a system, reviewed and approved by the department, that meets the requirements of subdivision (a).(3) The department may charge an original and annual fee in an amount no greater than the amount required to cover the actual and reasonable costs of administering the review and approval program established by this section.(c) For purposes of this section, delivery network company means an organization, including, but not limited to, a corporation, limited liability company, partnership, sole proprietor, or any other entity, operating in California that provides provides, arranges, or in any way facilitates prearranged delivery as an act of enrichment, financial or otherwise, of goods or services using an online-enabled application or platform to connect consumers with goods or service and to have those goods or services delivered directly to the consumer by an individual compensated by the organization. consumer.

25513. (a) A delivery network company shall not deliver deliver, provide, arrange, or in any way facilitate the delivery of alcoholic beverages to a consumer unless it has a system, reviewed and approved by the Department of Alcoholic Beverage Control, that meets the following requirements:(1) The company can verify that the individual to which the alcoholic beverages are delivered is 21 years of age or older, the delivery takes place person to person, and the delivery driver compensated by the company is 21 years of age or older.(2) A consumer can may suspend, for any length of time, delivery of alcoholic beverages to a specified location that he or she has identified as the consumers primary delivery location.(b)Notwithstanding subdivision (a), a(3) A delivery network company shall not deliver alcoholic beverages to consumers on the grounds of a college or university.(b) (1) On or before January 1, 2020, the department shall develop a process by which it may review and approve a system used by a delivery network company to ensure that it meets the requirements of subdivision (a).(2) Beginning January 1, 2020, a delivery network company shall have a system, reviewed and approved by the department, that meets the requirements of subdivision (a).(3) The department may charge an original and annual fee in an amount no greater than the amount required to cover the actual and reasonable costs of administering the review and approval program established by this section.(c) For purposes of this section, delivery network company means an organization, including, but not limited to, a corporation, limited liability company, partnership, sole proprietor, or any other entity, operating in California that provides provides, arranges, or in any way facilitates prearranged delivery as an act of enrichment, financial or otherwise, of goods or services using an online-enabled application or platform to connect consumers with goods or service and to have those goods or services delivered directly to the consumer by an individual compensated by the organization. consumer.

25513. (a) A delivery network company shall not deliver deliver, provide, arrange, or in any way facilitate the delivery of alcoholic beverages to a consumer unless it has a system, reviewed and approved by the Department of Alcoholic Beverage Control, that meets the following requirements:(1) The company can verify that the individual to which the alcoholic beverages are delivered is 21 years of age or older, the delivery takes place person to person, and the delivery driver compensated by the company is 21 years of age or older.(2) A consumer can may suspend, for any length of time, delivery of alcoholic beverages to a specified location that he or she has identified as the consumers primary delivery location.(b)Notwithstanding subdivision (a), a(3) A delivery network company shall not deliver alcoholic beverages to consumers on the grounds of a college or university.(b) (1) On or before January 1, 2020, the department shall develop a process by which it may review and approve a system used by a delivery network company to ensure that it meets the requirements of subdivision (a).(2) Beginning January 1, 2020, a delivery network company shall have a system, reviewed and approved by the department, that meets the requirements of subdivision (a).(3) The department may charge an original and annual fee in an amount no greater than the amount required to cover the actual and reasonable costs of administering the review and approval program established by this section.(c) For purposes of this section, delivery network company means an organization, including, but not limited to, a corporation, limited liability company, partnership, sole proprietor, or any other entity, operating in California that provides provides, arranges, or in any way facilitates prearranged delivery as an act of enrichment, financial or otherwise, of goods or services using an online-enabled application or platform to connect consumers with goods or service and to have those goods or services delivered directly to the consumer by an individual compensated by the organization. consumer.



25513. (a) A delivery network company shall not deliver deliver, provide, arrange, or in any way facilitate the delivery of alcoholic beverages to a consumer unless it has a system, reviewed and approved by the Department of Alcoholic Beverage Control, that meets the following requirements:

(1) The company can verify that the individual to which the alcoholic beverages are delivered is 21 years of age or older, the delivery takes place person to person, and the delivery driver compensated by the company is 21 years of age or older.

(2) A consumer can may suspend, for any length of time, delivery of alcoholic beverages to a specified location that he or she has identified as the consumers primary delivery location.

(b)Notwithstanding subdivision (a), a



(3) A delivery network company shall not deliver alcoholic beverages to consumers on the grounds of a college or university.

(b) (1) On or before January 1, 2020, the department shall develop a process by which it may review and approve a system used by a delivery network company to ensure that it meets the requirements of subdivision (a).

(2) Beginning January 1, 2020, a delivery network company shall have a system, reviewed and approved by the department, that meets the requirements of subdivision (a).

(3) The department may charge an original and annual fee in an amount no greater than the amount required to cover the actual and reasonable costs of administering the review and approval program established by this section.

(c) For purposes of this section, delivery network company means an organization, including, but not limited to, a corporation, limited liability company, partnership, sole proprietor, or any other entity, operating in California that provides provides, arranges, or in any way facilitates prearranged delivery as an act of enrichment, financial or otherwise, of goods or services using an online-enabled application or platform to connect consumers with goods or service and to have those goods or services delivered directly to the consumer by an individual compensated by the organization. consumer.

SEC. 2. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.

SEC. 2. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.

SEC. 2. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.

### SEC. 2.