This document does not reflect the intent or official position of the bill sponsor or House of Representatives.
STORAGE NAME: h1433z.LAV.docx
DATE: 3/23/2022
HOUSE OF REPRESENTATIVES STAFF FINAL BILL ANALYSIS
BILL #: HB 1433 Orange County
SPONSOR(S): Plasencia and others
TIED BILLS: IDEN./SIM. BILLS:
FINAL HOUSE FLOOR ACTION: 103 Y’s
1 N’s GOVERNOR’S ACTION: Pending
SUMMARY ANALYSIS
HB 1433 passed the House on February 25, 2022, and subsequently passed the Senate on March 10, 2022.
Florida’s Beverage Law limits the number of “quota licenses” that the Department of Business and Professional
Regulation (DBPR) may issue per county. A quota license allows a business to serve any alcoholic beverage
regardless of alcoholic content, including liquor. DBPR is not limited by the Beverage Law on the number of
licenses it may issue for businesses serving only malt beverages and wine.
The bill creates the SoDo District in Orange County. The bill creates an exception to the quota license
limitation and requires DBPR to issue a special food service license to a bona fide restaurant in the SoDo
District that meets the following requirements: occupies at least 1,800 square feet of contiguous space, is
equipped to serve meals to at least 80 persons at one time, and derives at least 51 percent of its gross food
and beverage revenue from the sale of food and nonalcoholic beverages during the first 60-day operating
period and each 12-month operating period thereafter.
The bill provides that failure of a licensee to meet the 51 percentage of food and nonalcoholic beverage gross
revenue during the covered operating period will result in the revocation of the license or denial of the pending
application for a permanent license of a licensee operating with a temporary license. A licensee whose license
is revoked, an applicant whose pending application for a permanent license is denied, or any person required
to qualify for the license application is ineligible to have any interest in a subsequent license application for a
period of 120 days after the date of the final denial of revocation.
According to the Economic Impact Statement, the bill is anticipated to increase annual sales tax and licensing
revenues if such special licenses are granted under the exception.
Subject to the Governor’s veto powers, the effective date of this bill is upon becoming a law.
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I. SUBSTANTIVE INFORMATION
A. EFFECT OF CHANGES:
Present Situation
The Division of Alcoholic Beverages and Tobacco within the Department of Business and Professional
Regulation (DBPR) is responsible for regulating the conduct, management, and operation of the
manufacturing, packaging, distribution, and sale of alcoholic beverages within the state.
1
Chapters 561-
565 and 567-568, F.S., comprise Florida’s Beverage Law.
Under the Beverage Law, DBPR is not limited on the number of licenses it issues to businesses selling
malt beverages or wine. However, statute limits the number of licenses that may be issued under s.
565.02(1)(a)-(f), F.S., to one license per 7,500 residents per county with a minimum of three licenses
per county that has approved the sale of intoxicating liquors.
2
This license, often referred to as a “quota
license,” allows a business to sell any alcoholic beverage regardless of alcoholic content, including
liquor or distilled spirits.
3
A food service establishment may qualify for an exemption if the building has
at least 2,500 square feet of service area, is equipped to serve meals to 150 persons at one time, and
derives at least 51 percent of its gross food and beverage revenue from the sale of food and
nonalcoholic beverages during the first 120-day operating period and the first 12-month operating
period thereafter.
4
There are several exceptions to the quota license limitation,
5
and businesses that meet the
requirements set out in one of the exceptions may be issued a special license by DBPR allowing the
business to serve any alcoholic beverages regardless of alcohol content.
Alcoholic beverages sold for consumption on premises must be consumed inside the licensed
premises.
6
DBPR may approve a temporary expansion of the licensed premises to include a sidewalk
or other outdoor area for special events.
7
The business must pay an application fee of $100, stipulate
the timeframe for the special event, submit a sketch outlining the expanded premises, and submit
written approval from the county or municipality.
Effect of the Bill
The bill creates the “SoDo District” in Orange County and provides a legal description.
The bill requires DBPR to issue a special food service license to a bona fide restaurant in the SoDo
District that occupies at least 1,800 square feet of contiguous space, is equipped to serve meals to at
least 80 persons at one time, and derives at least 51 percent of its gross food and beverage revenue
from the sale of food and nonalcoholic beverages during the first 60-day operating period and each 12-
month operating period thereafter. The bill includes a complete legal description of the area in which
the exemption to the quota license will apply.
The bill provides that failure of a licensee who is issued a special license to meet the 51 percentage of
food and nonalcoholic beverage gross revenue requirement during the covered operating period will
result in the revocation of the license or denial of the pending application for a permanent license of a
licensee operating with a temporary license. A licensee whose license is revoked, an applicant whose
1
S. 561.02, F.S.
2
S. 561.20(1), F.S.
3
S. 565.02, F.S.
4
S. 561.20(2)(a)4., F.S. See Rule 61A-3.0141, F.A.C.
5
S. 561.20(2), F.S.
6
See s. 561.01(11), F.S. (defining “licensed premises” and requiring written approval from the county or municipality to
include a sidewalk or any other outside area as part of the licensed premise).
7
S. 561.01(11), F.S.
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pending application for a permanent license is denied, or any person required to qualify for the special
license application is ineligible to have any interest in a subsequent license application for a period of
120 days after the date of the final denial or revocation.
II. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT
A. FISCAL IMPACT ON STATE GOVERNMENT:
1. Revenues:
The Economic Impact Statement (EIS) projects increased sales tax and licensing revenues if such
special licenses are granted under the exception.
2. Expenditures:
None.
B. FISCAL IMPACT ON LOCAL GOVERNMENTS:
1. Revenues:
The EIS projects increased sales tax revenues if such special licenses are granted under the
exception.
2. Expenditures:
None.
C. ECONOMIC IMPACT STATEMENT FILED? Yes [X] No []
D. NOTICE PUBLISHED? Yes [X] No []
IF YES, WHEN? December 8, 2021.
WHERE? The Orlando Sentinel, a daily newspaper published in Orange County, Florida.
E. REFERENDUM(S) REQUIRED? Yes [] No [X]
IF YES, WHEN?