Florida 2024 2024 Regular Session

Florida House Bill H0691 Analysis / Analysis

Filed 01/30/2024

                    This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives. 
STORAGE NAME: h0691f.SAC 
DATE: 1/30/2024 
 
HOUSE OF REPRESENTATIVES LOCAL BILL STAFF ANALYSIS 
 
BILL #: HB 691    Town of Horseshoe Beach, Dixie County 
SPONSOR(S): Shoaf 
TIED BILLS:    IDEN./SIM. BILLS:   
 
REFERENCE 	ACTION ANALYST STAFF DIRECTOR or 
BUDGET/POLICY CHIEF 
1) Local Administration, Federal Affairs & Special 
Districts Subcommittee 
16 Y, 0 N Burgess Darden 
2) Regulatory Reform & Economic Development 
Subcommittee 
13 Y, 0 N Phelps Anstead 
3) State Affairs Committee 	18 Y, 0 N Burgess Williamson 
SUMMARY ANALYSIS 
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 that serve only malt beverages and wine.  
 
The bill creates an exception to the quota limitation and requires DBPR to issue a special alcoholic beverage 
license to any bona fide restaurant within the jurisdictional boundaries of the Town of Horseshoe Beach that 
meets the following requirements: 
 Licensed by the Division of Hotels and Restaurants within DBPR. 
 Occupies at least 1,700 square feet of contiguous space used as part of the food service 
establishment. 
 Equipped to serve meals to 50 persons at one time. 
 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 who is issued a special license to meet the 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 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. 
 
According to the Economic Impact Statement, the bill will result in an increase to revenues for local 
businesses, and will have an indeterminate positive impact on the local government’s revenues due to 
increased sales tax and licensing revenues associated with the issuance of special licenses granted under the 
exception. 
 
According to House Rule 5.5(b), a local bill providing an exemption from general law may not be placed 
on the Special Order Calendar for expedited consideration. Since this bill creates an exemption to 
general law, the provisions of House Rule 5.5(b) apply.    STORAGE NAME: h0691f.SAC 	PAGE: 2 
DATE: 1/30/2024 
  
FULL ANALYSIS 
I.  SUBSTANTIVE ANALYSIS 
 
A. EFFECT OF PROPOSED CHANGES: 
Present Situation 
 
The Division of Alcoholic Beverages and Tobacco (Division) 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, the 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
 
 
There are several exceptions to the quota license limitation,
4
 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. 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.
5
 
 
There are several exceptions to the Beverage Law created by special act reducing certain licensing 
requirements for special zones in local jurisdictions.
6
  
 
Effect of the Bill 
 
The bill creates an exception to the quota limitation and requires DBPR to issue a special alcoholic 
beverage license to a bona fide restaurant within the jurisdictional boundaries of the Town of 
Horseshoe Beach if the restaurant: 
 Is licensed by the Division of Hotels and Restaurants within DBPR; 
 Occupies at least 1,700 square feet of contiguous space used as part of the food service 
establishment; 
 Is equipped to serve meals to 50 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, who is issued a special license, to meet the 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 pending 
application for a permanent license is denied, or any person required to qualify for the special license 
                                                
1
 S. 561.02, F.S. 
2
 S. 561.20(1), F.S. 
3
 S. 561.20, F.S. 
4
 S. 561.20(2), F.S. 
5
 S. 561.20(2)(a)4., F.S. See Rule 61A-3.0141, F.A.C. 
6
 See, e.g., chs. 2021-265, Laws of Fla. (Orlando Main Street Small Restaurant Incentive Area) and 2023-342 (Dennis Street 
Commercial Corridor, Downtown Incentive Zone in the City of Jacksonville Beach, and the North Florida Keys Corridor in Duval 
County).  STORAGE NAME: h0691f.SAC 	PAGE: 3 
DATE: 1/30/2024 
  
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. 
 
According to the Economic Impact Statement, the bill will result in an increase to revenues for local 
businesses, and will have an indeterminate positive impact on the local government’s revenues due to 
increased sales tax and licensing revenues associated with the issuance of special licenses granted 
under the exception. 
 
B. SECTION DIRECTORY: 
Section 1:  Creates an exception to the quota limitation for bona fide restaurants within the Town of 
Horseshoe Beach, Dixie County. 
 
Section 2:  Provides an effective date of upon becoming a law. 
II.  NOTICE/REFERENDUM AND OTHER REQUIREMENTS 
 
A.  NOTICE PUBLISHED?     Yes [x]     No [] 
 
      IF YES, WHEN?  October 26, 2023 & November 2, 2023. 
 
      WHERE?  The Dixie County Advocate, a weekly newspaper of general circulation published 
in Dixie County, Florida. 
 
B.  REFERENDUM(S) REQUIRED?     Yes []     No [X] 
 
      IF YES, WHEN? 
 
C.  LOCAL BILL CERTIFICATION FILED?     Yes [X]     No [] 
 
D.  ECONOMIC IMPACT STATEMENT FILED?     Yes [X]     No [] 
III.  COMMENTS 
 
A. CONSTITUTIONAL ISSUES: 
None. 
 
B. RULE-MAKING AUTHORITY: 
The bill does not provide rulemaking authority or require executive branch rulemaking. 
 
C. DRAFTING ISSUES OR OTHER COMMENTS: 
According to House Rule 5.5(b), a local bill providing an exemption from general law may not be placed 
on the Special Order Calendar for expedited consideration. Since this bill creates an exemption to 
general law, the provisions of House Rule 5.5(b) apply. 
IV.  AMENDMENTS/COMMITTEE SUBSTITUTE CHANGES 
 None.