O F F I C E O F L E G I S L A T I V E R E S E A R C H P U B L I C A C T S U M M A R Y Page 1 PA 21-10—SB 263 General Law Committee AN ACT REESTABLISHIN G CLUB AND NONPROFIT CLUB PERMITS SUMMARY: This act reestablishes the club and nonprofit club alcoholic liquor permits and eliminates prior provisions that allowed these permittees to receive a cafe permit. PA 19-24, among other things, combined various permits for on- premises alcohol consumption into the cafe permit, including the club and nonprofit club permits. The act allows cafe permittees who were issued their permit for a club or nonprofit club before July 1, 2021, to continue to hold the permit until it is due for renewal or until the replacement permit established by the act becomes available. The act requires the Department of Consumer Protection (DCP) commissioner to refund a portion of the cafe permit annual fee paid by prior club and nonprofit club permittees between July 1, 2020, and July 1, 2021. Specifically, the commissioner must refund any amount that a prior holder of (1) a club permittee paid in excess of $300 and (2) a nonprofit club permittee paid in excess of $815. By law, the annual fee for a cafe permit is $2,000. The act also makes various conforming and technical changes. EFFECTIVE DATE: Upon passage CLUB PERMIT The act allows a club permittee to sell alcoholic liquor (e.g., spirits, wine, or beer) at retail for consumption on the premises by members and their guests. The annual fee for a club permit is $300. Under the act, clubs seeking a club permit are subject to the same requirements that prior law provided for clubs seeking a cafe permit. Among other things, they must meet the following conditions: 1. have been in existence for at least three years at the time of application or, in the case of national or international fraternal or social organizations, have been in Connecticut for at least one year; 2. file with DCP (a) upon request and by February 11 each year, a list of their members’ names and addresses and (b) new members’ names and addresses within 10 days of their election; 3. have sufficient membership fees, dues, and other income (other than income derived from selling alcoholic beverages) to pay for their lease or any taxes, insurance, repairs, and mortgage interest on property they own; and 4. conduct their affairs through a board of directors, executive committee, or similar body chosen by members at an annual meeting. O L R P U B L I C A C T S U M M A R Y Page 2 of 2 NONPROFIT CLUB PERMIT Under the act, nonprofit club permittees are subject to the same requirements as under prior law for nonprofit clubs seeking a cafe permit. Specifically, they may sell alcoholic liquor for consumption on the premises by members and their guests. They may also sell to others so long as the income they derive from doing so does not exceed 15% of their annual gross receipts. The annual fee for a nonprofit club permit is $815.