Illinois 2023-2024 Regular Session

Illinois House Bill HB2399 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB2399 Introduced , by Rep. Daniel Didech SYNOPSIS AS INTRODUCED: 5 ILCS 140/7.5 235 ILCS 5/1-3.45 new235 ILCS 5/3-12 235 ILCS 5/5-1 from Ch. 43, par. 115235 ILCS 5/5-8 new 235 ILCS 5/6-29 from Ch. 43, par. 144e 235 ILCS 5/7-3.5 new235 ILCS 5/7-15 new Amends the Liquor Control Act of 1934. Provides for the registration of third-party providers that ship wine to residents of this State on behalf of winery shippers. With regard to third-party providers, sets forth provisions concerning registration applications; recordkeeping; reporting; and suspending, revoking, or refusing to issue or renew a registration. Provides that a carrier may not deliver to a consumer a package known by the carrier to contain wine unless the consignor is a licensed winery shipper or registered third-party provider and the carrier has verified that license or registration for the current license period. Requires winery shippers, third-party providers, and carriers to file with the Illinois Liquor Control Commission a monthly report containing specified information concerning wine shipments. Provides that the State Commission may suspend, revoke, or refuse to issue or renew a license to manufacture, distribute, or sell alcoholic liquor issued by the State Commission if the State Commission finds, after notice and an opportunity for an evidentiary hearing, that the person holding the license has shipped alcoholic liquor into another state in violation of that state's law. Makes other changes. Amends the Freedom of Information Act to make a conforming change. LRB103 28782 RPS 55167 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB2399 Introduced , by Rep. Daniel Didech SYNOPSIS AS INTRODUCED: 5 ILCS 140/7.5 235 ILCS 5/1-3.45 new235 ILCS 5/3-12 235 ILCS 5/5-1 from Ch. 43, par. 115235 ILCS 5/5-8 new 235 ILCS 5/6-29 from Ch. 43, par. 144e 235 ILCS 5/7-3.5 new235 ILCS 5/7-15 new 5 ILCS 140/7.5 235 ILCS 5/1-3.45 new 235 ILCS 5/3-12 235 ILCS 5/5-1 from Ch. 43, par. 115 235 ILCS 5/5-8 new 235 ILCS 5/6-29 from Ch. 43, par. 144e 235 ILCS 5/7-3.5 new 235 ILCS 5/7-15 new Amends the Liquor Control Act of 1934. Provides for the registration of third-party providers that ship wine to residents of this State on behalf of winery shippers. With regard to third-party providers, sets forth provisions concerning registration applications; recordkeeping; reporting; and suspending, revoking, or refusing to issue or renew a registration. Provides that a carrier may not deliver to a consumer a package known by the carrier to contain wine unless the consignor is a licensed winery shipper or registered third-party provider and the carrier has verified that license or registration for the current license period. Requires winery shippers, third-party providers, and carriers to file with the Illinois Liquor Control Commission a monthly report containing specified information concerning wine shipments. Provides that the State Commission may suspend, revoke, or refuse to issue or renew a license to manufacture, distribute, or sell alcoholic liquor issued by the State Commission if the State Commission finds, after notice and an opportunity for an evidentiary hearing, that the person holding the license has shipped alcoholic liquor into another state in violation of that state's law. Makes other changes. Amends the Freedom of Information Act to make a conforming change. LRB103 28782 RPS 55167 b LRB103 28782 RPS 55167 b A BILL FOR
2	2	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB2399 Introduced , by Rep. Daniel Didech SYNOPSIS AS INTRODUCED:
3	3	5 ILCS 140/7.5 235 ILCS 5/1-3.45 new235 ILCS 5/3-12 235 ILCS 5/5-1 from Ch. 43, par. 115235 ILCS 5/5-8 new 235 ILCS 5/6-29 from Ch. 43, par. 144e 235 ILCS 5/7-3.5 new235 ILCS 5/7-15 new 5 ILCS 140/7.5 235 ILCS 5/1-3.45 new 235 ILCS 5/3-12 235 ILCS 5/5-1 from Ch. 43, par. 115 235 ILCS 5/5-8 new 235 ILCS 5/6-29 from Ch. 43, par. 144e 235 ILCS 5/7-3.5 new 235 ILCS 5/7-15 new
4	4	5 ILCS 140/7.5
5	5	235 ILCS 5/1-3.45 new
6	6	235 ILCS 5/3-12
7	7	235 ILCS 5/5-1 from Ch. 43, par. 115
8	8	235 ILCS 5/5-8 new
9	9	235 ILCS 5/6-29 from Ch. 43, par. 144e
10	10	235 ILCS 5/7-3.5 new
11	11	235 ILCS 5/7-15 new
12	12	Amends the Liquor Control Act of 1934. Provides for the registration of third-party providers that ship wine to residents of this State on behalf of winery shippers. With regard to third-party providers, sets forth provisions concerning registration applications; recordkeeping; reporting; and suspending, revoking, or refusing to issue or renew a registration. Provides that a carrier may not deliver to a consumer a package known by the carrier to contain wine unless the consignor is a licensed winery shipper or registered third-party provider and the carrier has verified that license or registration for the current license period. Requires winery shippers, third-party providers, and carriers to file with the Illinois Liquor Control Commission a monthly report containing specified information concerning wine shipments. Provides that the State Commission may suspend, revoke, or refuse to issue or renew a license to manufacture, distribute, or sell alcoholic liquor issued by the State Commission if the State Commission finds, after notice and an opportunity for an evidentiary hearing, that the person holding the license has shipped alcoholic liquor into another state in violation of that state's law. Makes other changes. Amends the Freedom of Information Act to make a conforming change.
13	13	LRB103 28782 RPS 55167 b LRB103 28782 RPS 55167 b
14	14	LRB103 28782 RPS 55167 b
15	15	A BILL FOR
16	16	HB2399LRB103 28782 RPS 55167 b HB2399 LRB103 28782 RPS 55167 b
17	17	HB2399 LRB103 28782 RPS 55167 b
18	18	1 AN ACT concerning liquor.
19	19	2 Be it enacted by the People of the State of Illinois,
20	20	3 represented in the General Assembly:
21	21	4 Section 5. The Freedom of Information Act is amended by
22	22	5 changing Section 7.5 as follows:
23	23	6 (5 ILCS 140/7.5)
24	24	7 Sec. 7.5. Statutory exemptions. To the extent provided for
25	25	8 by the statutes referenced below, the following shall be
26	26	9 exempt from inspection and copying:
27	27	10 (a) All information determined to be confidential
28	28	11 under Section 4002 of the Technology Advancement and
29	29	12 Development Act.
30	30	13 (b) Library circulation and order records identifying
31	31	14 library users with specific materials under the Library
32	32	15 Records Confidentiality Act.
33	33	16 (c) Applications, related documents, and medical
34	34	17 records received by the Experimental Organ Transplantation
35	35	18 Procedures Board and any and all documents or other
36	36	19 records prepared by the Experimental Organ Transplantation
37	37	20 Procedures Board or its staff relating to applications it
38	38	21 has received.
39	39	22 (d) Information and records held by the Department of
40	40	23 Public Health and its authorized representatives relating
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44	44	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB2399 Introduced , by Rep. Daniel Didech SYNOPSIS AS INTRODUCED:
45	45	5 ILCS 140/7.5 235 ILCS 5/1-3.45 new235 ILCS 5/3-12 235 ILCS 5/5-1 from Ch. 43, par. 115235 ILCS 5/5-8 new 235 ILCS 5/6-29 from Ch. 43, par. 144e 235 ILCS 5/7-3.5 new235 ILCS 5/7-15 new 5 ILCS 140/7.5 235 ILCS 5/1-3.45 new 235 ILCS 5/3-12 235 ILCS 5/5-1 from Ch. 43, par. 115 235 ILCS 5/5-8 new 235 ILCS 5/6-29 from Ch. 43, par. 144e 235 ILCS 5/7-3.5 new 235 ILCS 5/7-15 new
46	46	5 ILCS 140/7.5
47	47	235 ILCS 5/1-3.45 new
48	48	235 ILCS 5/3-12
49	49	235 ILCS 5/5-1 from Ch. 43, par. 115
50	50	235 ILCS 5/5-8 new
51	51	235 ILCS 5/6-29 from Ch. 43, par. 144e
52	52	235 ILCS 5/7-3.5 new
53	53	235 ILCS 5/7-15 new
54	54	Amends the Liquor Control Act of 1934. Provides for the registration of third-party providers that ship wine to residents of this State on behalf of winery shippers. With regard to third-party providers, sets forth provisions concerning registration applications; recordkeeping; reporting; and suspending, revoking, or refusing to issue or renew a registration. Provides that a carrier may not deliver to a consumer a package known by the carrier to contain wine unless the consignor is a licensed winery shipper or registered third-party provider and the carrier has verified that license or registration for the current license period. Requires winery shippers, third-party providers, and carriers to file with the Illinois Liquor Control Commission a monthly report containing specified information concerning wine shipments. Provides that the State Commission may suspend, revoke, or refuse to issue or renew a license to manufacture, distribute, or sell alcoholic liquor issued by the State Commission if the State Commission finds, after notice and an opportunity for an evidentiary hearing, that the person holding the license has shipped alcoholic liquor into another state in violation of that state's law. Makes other changes. Amends the Freedom of Information Act to make a conforming change.
55	55	LRB103 28782 RPS 55167 b LRB103 28782 RPS 55167 b
56	56	LRB103 28782 RPS 55167 b
57	57	A BILL FOR
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63	63	5 ILCS 140/7.5
64	64	235 ILCS 5/1-3.45 new
65	65	235 ILCS 5/3-12
66	66	235 ILCS 5/5-1 from Ch. 43, par. 115
67	67	235 ILCS 5/5-8 new
68	68	235 ILCS 5/6-29 from Ch. 43, par. 144e
69	69	235 ILCS 5/7-3.5 new
70	70	235 ILCS 5/7-15 new
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89	89	1 to known or suspected cases of sexually transmissible
90	90	2 disease or any information the disclosure of which is
91	91	3 restricted under the Illinois Sexually Transmissible
92	92	4 Disease Control Act.
93	93	5 (e) Information the disclosure of which is exempted
94	94	6 under Section 30 of the Radon Industry Licensing Act.
95	95	7 (f) Firm performance evaluations under Section 55 of
96	96	8 the Architectural, Engineering, and Land Surveying
97	97	9 Qualifications Based Selection Act.
98	98	10 (g) Information the disclosure of which is restricted
99	99	11 and exempted under Section 50 of the Illinois Prepaid
100	100	12 Tuition Act.
101	101	13 (h) Information the disclosure of which is exempted
102	102	14 under the State Officials and Employees Ethics Act, and
103	103	15 records of any lawfully created State or local inspector
104	104	16 general's office that would be exempt if created or
105	105	17 obtained by an Executive Inspector General's office under
106	106	18 that Act.
107	107	19 (i) Information contained in a local emergency energy
108	108	20 plan submitted to a municipality in accordance with a
109	109	21 local emergency energy plan ordinance that is adopted
110	110	22 under Section 11-21.5-5 of the Illinois Municipal Code.
111	111	23 (j) Information and data concerning the distribution
112	112	24 of surcharge moneys collected and remitted by carriers
113	113	25 under the Emergency Telephone System Act.
114	114	26 (k) Law enforcement officer identification information
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119	119
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125	125	1 or driver identification information compiled by a law
126	126	2 enforcement agency or the Department of Transportation
127	127	3 under Section 11-212 of the Illinois Vehicle Code.
128	128	4 (l) Records and information provided to a residential
129	129	5 health care facility resident sexual assault and death
130	130	6 review team or the Executive Council under the Abuse
131	131	7 Prevention Review Team Act.
132	132	8 (m) Information provided to the predatory lending
133	133	9 database created pursuant to Article 3 of the Residential
134	134	10 Real Property Disclosure Act, except to the extent
135	135	11 authorized under that Article.
136	136	12 (n) Defense budgets and petitions for certification of
137	137	13 compensation and expenses for court appointed trial
138	138	14 counsel as provided under Sections 10 and 15 of the
139	139	15 Capital Crimes Litigation Act. This subsection (n) shall
140	140	16 apply until the conclusion of the trial of the case, even
141	141	17 if the prosecution chooses not to pursue the death penalty
142	142	18 prior to trial or sentencing.
143	143	19 (o) Information that is prohibited from being
144	144	20 disclosed under Section 4 of the Illinois Health and
145	145	21 Hazardous Substances Registry Act.
146	146	22 (p) Security portions of system safety program plans,
147	147	23 investigation reports, surveys, schedules, lists, data, or
148	148	24 information compiled, collected, or prepared by or for the
149	149	25 Department of Transportation under Sections 2705-300 and
150	150	26 2705-616 of the Department of Transportation Law of the
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161	161	1 Civil Administrative Code of Illinois, the Regional
162	162	2 Transportation Authority under Section 2.11 of the
163	163	3 Regional Transportation Authority Act, or the St. Clair
164	164	4 County Transit District under the Bi-State Transit Safety
165	165	5 Act.
166	166	6 (q) Information prohibited from being disclosed by the
167	167	7 Personnel Record Review Act.
168	168	8 (r) Information prohibited from being disclosed by the
169	169	9 Illinois School Student Records Act.
170	170	10 (s) Information the disclosure of which is restricted
171	171	11 under Section 5-108 of the Public Utilities Act.
172	172	12 (t) All identified or deidentified health information
173	173	13 in the form of health data or medical records contained
174	174	14 in, stored in, submitted to, transferred by, or released
175	175	15 from the Illinois Health Information Exchange, and
176	176	16 identified or deidentified health information in the form
177	177	17 of health data and medical records of the Illinois Health
178	178	18 Information Exchange in the possession of the Illinois
179	179	19 Health Information Exchange Office due to its
180	180	20 administration of the Illinois Health Information
181	181	21 Exchange. The terms "identified" and "deidentified" shall
182	182	22 be given the same meaning as in the Health Insurance
183	183	23 Portability and Accountability Act of 1996, Public Law
184	184	24 104-191, or any subsequent amendments thereto, and any
185	185	25 regulations promulgated thereunder.
186	186	26 (u) Records and information provided to an independent
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189	189
190	190
191	191
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197	197	1 team of experts under the Developmental Disability and
198	198	2 Mental Health Safety Act (also known as Brian's Law).
199	199	3 (v) Names and information of people who have applied
200	200	4 for or received Firearm Owner's Identification Cards under
201	201	5 the Firearm Owners Identification Card Act or applied for
202	202	6 or received a concealed carry license under the Firearm
203	203	7 Concealed Carry Act, unless otherwise authorized by the
204	204	8 Firearm Concealed Carry Act; and databases under the
205	205	9 Firearm Concealed Carry Act, records of the Concealed
206	206	10 Carry Licensing Review Board under the Firearm Concealed
207	207	11 Carry Act, and law enforcement agency objections under the
208	208	12 Firearm Concealed Carry Act.
209	209	13 (v-5) Records of the Firearm Owner's Identification
210	210	14 Card Review Board that are exempted from disclosure under
211	211	15 Section 10 of the Firearm Owners Identification Card Act.
212	212	16 (w) Personally identifiable information which is
213	213	17 exempted from disclosure under subsection (g) of Section
214	214	18 19.1 of the Toll Highway Act.
215	215	19 (x) Information which is exempted from disclosure
216	216	20 under Section 5-1014.3 of the Counties Code or Section
217	217	21 8-11-21 of the Illinois Municipal Code.
218	218	22 (y) Confidential information under the Adult
219	219	23 Protective Services Act and its predecessor enabling
220	220	24 statute, the Elder Abuse and Neglect Act, including
221	221	25 information about the identity and administrative finding
222	222	26 against any caregiver of a verified and substantiated
223	223
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233	233	1 decision of abuse, neglect, or financial exploitation of
234	234	2 an eligible adult maintained in the Registry established
235	235	3 under Section 7.5 of the Adult Protective Services Act.
236	236	4 (z) Records and information provided to a fatality
237	237	5 review team or the Illinois Fatality Review Team Advisory
238	238	6 Council under Section 15 of the Adult Protective Services
239	239	7 Act.
240	240	8 (aa) Information which is exempted from disclosure
241	241	9 under Section 2.37 of the Wildlife Code.
242	242	10 (bb) Information which is or was prohibited from
243	243	11 disclosure by the Juvenile Court Act of 1987.
244	244	12 (cc) Recordings made under the Law Enforcement
245	245	13 Officer-Worn Body Camera Act, except to the extent
246	246	14 authorized under that Act.
247	247	15 (dd) Information that is prohibited from being
248	248	16 disclosed under Section 45 of the Condominium and Common
249	249	17 Interest Community Ombudsperson Act.
250	250	18 (ee) Information that is exempted from disclosure
251	251	19 under Section 30.1 of the Pharmacy Practice Act.
252	252	20 (ff) Information that is exempted from disclosure
253	253	21 under the Revised Uniform Unclaimed Property Act.
254	254	22 (gg) Information that is prohibited from being
255	255	23 disclosed under Section 7-603.5 of the Illinois Vehicle
256	256	24 Code.
257	257	25 (hh) Records that are exempt from disclosure under
258	258	26 Section 1A-16.7 of the Election Code.
259	259
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269	269	1 (ii) Information which is exempted from disclosure
270	270	2 under Section 2505-800 of the Department of Revenue Law of
271	271	3 the Civil Administrative Code of Illinois.
272	272	4 (jj) Information and reports that are required to be
273	273	5 submitted to the Department of Labor by registering day
274	274	6 and temporary labor service agencies but are exempt from
275	275	7 disclosure under subsection (a-1) of Section 45 of the Day
276	276	8 and Temporary Labor Services Act.
277	277	9 (kk) Information prohibited from disclosure under the
278	278	10 Seizure and Forfeiture Reporting Act.
279	279	11 (ll) Information the disclosure of which is restricted
280	280	12 and exempted under Section 5-30.8 of the Illinois Public
281	281	13 Aid Code.
282	282	14 (mm) Records that are exempt from disclosure under
283	283	15 Section 4.2 of the Crime Victims Compensation Act.
284	284	16 (nn) Information that is exempt from disclosure under
285	285	17 Section 70 of the Higher Education Student Assistance Act.
286	286	18 (oo) Communications, notes, records, and reports
287	287	19 arising out of a peer support counseling session
288	288	20 prohibited from disclosure under the First Responders
289	289	21 Suicide Prevention Act.
290	290	22 (pp) Names and all identifying information relating to
291	291	23 an employee of an emergency services provider or law
292	292	24 enforcement agency under the First Responders Suicide
293	293	25 Prevention Act.
294	294	26 (qq) Information and records held by the Department of
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305	305	1 Public Health and its authorized representatives collected
306	306	2 under the Reproductive Health Act.
307	307	3 (rr) Information that is exempt from disclosure under
308	308	4 the Cannabis Regulation and Tax Act.
309	309	5 (ss) Data reported by an employer to the Department of
310	310	6 Human Rights pursuant to Section 2-108 of the Illinois
311	311	7 Human Rights Act.
312	312	8 (tt) Recordings made under the Children's Advocacy
313	313	9 Center Act, except to the extent authorized under that
314	314	10 Act.
315	315	11 (uu) Information that is exempt from disclosure under
316	316	12 Section 50 of the Sexual Assault Evidence Submission Act.
317	317	13 (vv) Information that is exempt from disclosure under
318	318	14 subsections (f) and (j) of Section 5-36 of the Illinois
319	319	15 Public Aid Code.
320	320	16 (ww) Information that is exempt from disclosure under
321	321	17 Section 16.8 of the State Treasurer Act.
322	322	18 (xx) Information that is exempt from disclosure or
323	323	19 information that shall not be made public under the
324	324	20 Illinois Insurance Code.
325	325	21 (yy) Information prohibited from being disclosed under
326	326	22 the Illinois Educational Labor Relations Act.
327	327	23 (zz) Information prohibited from being disclosed under
328	328	24 the Illinois Public Labor Relations Act.
329	329	25 (aaa) Information prohibited from being disclosed
330	330	26 under Section 1-167 of the Illinois Pension Code.
331	331
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341	341	1 (bbb) Information that is prohibited from disclosure
342	342	2 by the Illinois Police Training Act and the Illinois State
343	343	3 Police Act.
344	344	4 (ccc) Records exempt from disclosure under Section
345	345	5 2605-304 of the Illinois State Police Law of the Civil
346	346	6 Administrative Code of Illinois.
347	347	7 (ddd) Information prohibited from being disclosed
348	348	8 under Section 35 of the Address Confidentiality for
349	349	9 Victims of Domestic Violence, Sexual Assault, Human
350	350	10 Trafficking, or Stalking Act.
351	351	11 (eee) Information prohibited from being disclosed
352	352	12 under subsection (b) of Section 75 of the Domestic
353	353	13 Violence Fatality Review Act.
354	354	14 (fff) Images from cameras under the Expressway Camera
355	355	15 Act. This subsection (fff) is inoperative on and after
356	356	16 July 1, 2023.
357	357	17 (ggg) Information prohibited from disclosure under
358	358	18 paragraph (3) of subsection (a) of Section 14 of the Nurse
359	359	19 Agency Licensing Act.
360	360	20 (hhh) Information submitted to the Illinois Department
361	361	21 of State Police in an affidavit or application for an
362	362	22 assault weapon endorsement, assault weapon attachment
363	363	23 endorsement, .50 caliber rifle endorsement, or .50 caliber
364	364	24 cartridge endorsement under the Firearm Owners
365	365	25 Identification Card Act.
366	366	26 (iii) Information prohibited from being disclosed
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377	377	1 under Section 6-28 of the Liquor Control Act of 1934.
378	378	2 (Source: P.A. 101-13, eff. 6-12-19; 101-27, eff. 6-25-19;
379	379	3 101-81, eff. 7-12-19; 101-221, eff. 1-1-20; 101-236, eff.
380	380	4 1-1-20; 101-375, eff. 8-16-19; 101-377, eff. 8-16-19; 101-452,
381	381	5 eff. 1-1-20; 101-466, eff. 1-1-20; 101-600, eff. 12-6-19;
382	382	6 101-620, eff 12-20-19; 101-649, eff. 7-7-20; 101-652, eff.
383	383	7 1-1-22; 101-656, eff. 3-23-21; 102-36, eff. 6-25-21; 102-237,
384	384	8 eff. 1-1-22; 102-292, eff. 1-1-22; 102-520, eff. 8-20-21;
385	385	9 102-559, eff. 8-20-21; 102-813, eff. 5-13-22; 102-946, eff.
386	386	10 7-1-22; 102-1042, eff. 6-3-22; 102-1116, eff. 1-10-23; revised
387	387	11 2-13-23.)
388	388	12 Section 10. The Liquor Control Act of 1934 is amended by
389	389	13 changing Sections 3-12, 5-1, and 6-29 and by adding Sections
390	390	14 1-3.45, 5-8, 7-3.5, and 7-15 as follows:
391	391	15 (235 ILCS 5/1-3.45 new)
392	392	16 Sec. 1-3.45. Third-party provider. "Third-party provider"
393	393	17 means any entity that provides fulfillment house services,
394	394	18 including warehousing, packaging, distribution, order
395	395	19 processing, or shipment of wine, but not the sale of wine, on
396	396	20 behalf of a winery shipper.
397	397	21 (235 ILCS 5/3-12)
398	398	22 Sec. 3-12. Powers and duties of State Commission.
399	399	23 (a) The State Commission shall have the following powers,
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410	410	1 functions, and duties:
411	411	2 (1) To receive applications, to register third-party
412	412	3 providers, and to issue licenses to manufacturers, foreign
413	413	4 importers, importing distributors, distributors,
414	414	5 non-resident dealers, on premise consumption retailers,
415	415	6 off premise sale retailers, special event retailer
416	416	7 licensees, special use permit licenses, auction liquor
417	417	8 licenses, brew pubs, caterer retailers, non-beverage
418	418	9 users, railroads, including owners and lessees of
419	419	10 sleeping, dining and cafe cars, airplanes, boats, brokers,
420	420	11 and wine maker's premises licensees in accordance with the
421	421	12 provisions of this Act, and to suspend or revoke such
422	422	13 licenses and registrations upon the State Commission's
423	423	14 determination, upon notice after hearing, that a licensee
424	424	15 or registrant has violated any provision of this Act or
425	425	16 any rule or regulation issued pursuant thereto and in
426	426	17 effect for 30 days prior to such violation. Except in the
427	427	18 case of an action taken pursuant to a violation of Section
428	428	19 6-3, 6-5, or 6-9, any action by the State Commission to
429	429	20 suspend or revoke a licensee's license or a registrant's
430	430	21 registration may be limited to the license or registration
431	431	22 for the specific premises where the violation occurred. An
432	432	23 action for a violation of this Act shall be commenced by
433	433	24 the State Commission within 2 years after the date the
434	434	25 State Commission becomes aware of the violation.
435	435	26 In lieu of suspending or revoking a license or
436	436
437	437
438	438
439	439
440	440
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442	442
443	443
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445	445	HB2399 - 12 - LRB103 28782 RPS 55167 b
446	446	1 registration, the commission may impose a fine, upon the
447	447	2 State Commission's determination and notice after hearing,
448	448	3 that a licensee or registrant has violated any provision
449	449	4 of this Act or any rule or regulation issued pursuant
450	450	5 thereto and in effect for 30 days prior to such violation.
451	451	6 For the purpose of this paragraph (1), when
452	452	7 determining multiple violations for the sale of alcohol to
453	453	8 a person under the age of 21, a second or subsequent
454	454	9 violation for the sale of alcohol to a person under the age
455	455	10 of 21 shall only be considered if it was committed within 5
456	456	11 years after the date when a prior violation for the sale of
457	457	12 alcohol to a person under the age of 21 was committed.
458	458	13 The fine imposed under this paragraph may not exceed
459	459	14 $500 for each violation. Each day that the activity, which
460	460	15 gave rise to the original fine, continues is a separate
461	461	16 violation. The maximum fine that may be levied against any
462	462	17 licensee or registrant, for the period of the license or
463	463	18 registration, shall not exceed $20,000. The maximum
464	464	19 penalty that may be imposed on a licensee for selling a
465	465	20 bottle of alcoholic liquor with a foreign object in it or
466	466	21 serving from a bottle of alcoholic liquor with a foreign
467	467	22 object in it shall be the destruction of that bottle of
468	468	23 alcoholic liquor for the first 10 bottles so sold or
469	469	24 served from by the licensee. For the eleventh bottle of
470	470	25 alcoholic liquor and for each third bottle thereafter sold
471	471	26 or served from by the licensee with a foreign object in it,
472	472
473	473
474	474
475	475
476	476
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478	478
479	479
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481	481	HB2399 - 13 - LRB103 28782 RPS 55167 b
482	482	1 the maximum penalty that may be imposed on the licensee is
483	483	2 the destruction of the bottle of alcoholic liquor and a
484	484	3 fine of up to $50.
485	485	4 Any notice issued by the State Commission to a
486	486	5 licensee or registrant for a violation of this Act or any
487	487	6 notice with respect to settlement or offer in compromise
488	488	7 shall include the field report, photographs, and any other
489	489	8 supporting documentation necessary to reasonably inform
490	490	9 the licensee of the nature and extent of the violation or
491	491	10 the conduct alleged to have occurred. The failure to
492	492	11 include such required documentation shall result in the
493	493	12 dismissal of the action.
494	494	13 (2) To adopt such rules and regulations consistent
495	495	14 with the provisions of this Act which shall be necessary
496	496	15 to carry on its functions and duties to the end that the
497	497	16 health, safety and welfare of the People of the State of
498	498	17 Illinois shall be protected and temperance in the
499	499	18 consumption of alcoholic liquors shall be fostered and
500	500	19 promoted and to distribute copies of such rules and
501	501	20 regulations to all licensees affected thereby.
502	502	21 (3) To call upon other administrative departments of
503	503	22 the State, county and municipal governments, county and
504	504	23 city police departments and upon prosecuting officers for
505	505	24 such information and assistance as it deems necessary in
506	506	25 the performance of its duties.
507	507	26 (4) To recommend to local commissioners rules and
508	508
509	509
510	510
511	511
512	512
513	513	HB2399 - 13 - LRB103 28782 RPS 55167 b
514	514
515	515
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517	517	HB2399 - 14 - LRB103 28782 RPS 55167 b
518	518	1 regulations, not inconsistent with the law, for the
519	519	2 distribution and sale of alcoholic liquors throughout the
520	520	3 State.
521	521	4 (5) To inspect, or cause to be inspected, any premises
522	522	5 in this State where alcoholic liquors are manufactured,
523	523	6 distributed, warehoused, or sold. Nothing in this Act
524	524	7 authorizes an agent of the State Commission to inspect
525	525	8 private areas within the premises without reasonable
526	526	9 suspicion or a warrant during an inspection. "Private
527	527	10 areas" include, but are not limited to, safes, personal
528	528	11 property, and closed desks.
529	529	12 (5.1) Upon receipt of a complaint or upon having
530	530	13 knowledge that any person is engaged in business as a
531	531	14 manufacturer, importing distributor, distributor, or
532	532	15 retailer without a license or valid license or as a
533	533	16 third-party provider without registering with the State
534	534	17 Commission, to conduct an investigation. If, after
535	535	18 conducting an investigation, the State Commission is
536	536	19 satisfied that the alleged conduct occurred or is
537	537	20 occurring, it may issue a cease and desist notice as
538	538	21 provided in this Act, impose civil penalties as provided
539	539	22 in this Act, notify the local liquor authority, or file a
540	540	23 complaint with the State's Attorney's Office of the county
541	541	24 where the incident occurred or the Attorney General.
542	542	25 (5.2) Upon receipt of a complaint or upon having
543	543	26 knowledge that any person is shipping alcoholic liquor
544	544
545	545
546	546
547	547
548	548
549	549	HB2399 - 14 - LRB103 28782 RPS 55167 b
550	550
551	551
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553	553	HB2399 - 15 - LRB103 28782 RPS 55167 b
554	554	1 into this State from a point outside of this State if the
555	555	2 shipment is in violation of this Act, to conduct an
556	556	3 investigation. If, after conducting an investigation, the
557	557	4 State Commission is satisfied that the alleged conduct
558	558	5 occurred or is occurring, it may issue a cease and desist
559	559	6 notice as provided in this Act, impose civil penalties as
560	560	7 provided in this Act, notify the foreign jurisdiction, or
561	561	8 file a complaint with the State's Attorney's Office of the
562	562	9 county where the incident occurred or the Attorney
563	563	10 General.
564	564	11 (5.3) To receive complaints from licensees,
565	565	12 registrants, local officials, law enforcement agencies,
566	566	13 organizations, and persons stating that any licensee or
567	567	14 registrant has been or is violating any provision of this
568	568	15 Act or the rules and regulations issued pursuant to this
569	569	16 Act. Such complaints shall be in writing, signed and sworn
570	570	17 to by the person making the complaint, and shall state
571	571	18 with specificity the facts in relation to the alleged
572	572	19 violation. If the State Commission has reasonable grounds
573	573	20 to believe that the complaint substantially alleges a
574	574	21 violation of this Act or rules and regulations adopted
575	575	22 pursuant to this Act, it shall conduct an investigation.
576	576	23 If, after conducting an investigation, the State
577	577	24 Commission is satisfied that the alleged violation did
578	578	25 occur, it shall proceed with disciplinary action against
579	579	26 the licensee or registrant as provided in this Act.
580	580
581	581
582	582
583	583
584	584
585	585	HB2399 - 15 - LRB103 28782 RPS 55167 b
586	586
587	587
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589	589	HB2399 - 16 - LRB103 28782 RPS 55167 b
590	590	1 (5.4) To make arrests and issue notices of civil
591	591	2 violations where necessary for the enforcement of this
592	592	3 Act.
593	593	4 (5.5) To investigate any and all unlicensed or
594	594	5 unregistered activity.
595	595	6 (5.6) To impose civil penalties or fines to any person
596	596	7 who, without holding a valid license or registration,
597	597	8 engages in conduct that requires a license or registration
598	598	9 pursuant to this Act, in an amount not to exceed $20,000
599	599	10 for each offense as determined by the State Commission. A
600	600	11 civil penalty shall be assessed by the State Commission
601	601	12 after a hearing is held in accordance with the provisions
602	602	13 set forth in this Act regarding the provision of a hearing
603	603	14 for the revocation or suspension of a license or
604	604	15 registration.
605	605	16 (6) To hear and determine appeals from orders of a
606	606	17 local commission in accordance with the provisions of this
607	607	18 Act, as hereinafter set forth. Hearings under this
608	608	19 subsection shall be held in Springfield or Chicago, at
609	609	20 whichever location is the more convenient for the majority
610	610	21 of persons who are parties to the hearing.
611	611	22 (7) The State Commission shall establish uniform
612	612	23 systems of accounts to be kept by all retail licensees
613	613	24 having more than 4 employees, and for this purpose the
614	614	25 State Commission may classify all retail licensees having
615	615	26 more than 4 employees and establish a uniform system of
616	616
617	617
618	618
619	619
620	620
621	621	HB2399 - 16 - LRB103 28782 RPS 55167 b
622	622
623	623
624	624	HB2399- 17 -LRB103 28782 RPS 55167 b HB2399 - 17 - LRB103 28782 RPS 55167 b
625	625	HB2399 - 17 - LRB103 28782 RPS 55167 b
626	626	1 accounts for each class and prescribe the manner in which
627	627	2 such accounts shall be kept. The State Commission may also
628	628	3 prescribe the forms of accounts to be kept by all retail
629	629	4 licensees having more than 4 employees, including, but not
630	630	5 limited to, accounts of earnings and expenses and any
631	631	6 distribution, payment, or other distribution of earnings
632	632	7 or assets, and any other forms, records, and memoranda
633	633	8 which in the judgment of the commission may be necessary
634	634	9 or appropriate to carry out any of the provisions of this
635	635	10 Act, including, but not limited to, such forms, records,
636	636	11 and memoranda as will readily and accurately disclose at
637	637	12 all times the beneficial ownership of such retail licensed
638	638	13 business. The accounts, forms, records, and memoranda
639	639	14 shall be available at all reasonable times for inspection
640	640	15 by authorized representatives of the State Commission or
641	641	16 by any local liquor control commissioner or his or her
642	642	17 authorized representative. The commission may, from time
643	643	18 to time, alter, amend, or repeal, in whole or in part, any
644	644	19 uniform system of accounts, or the form and manner of
645	645	20 keeping accounts.
646	646	21 (8) In the conduct of any hearing authorized to be
647	647	22 held by the State Commission, to appoint, at the
648	648	23 commission's discretion, hearing officers to conduct
649	649	24 hearings involving complex issues or issues that will
650	650	25 require a protracted period of time to resolve, to
651	651	26 examine, or cause to be examined, under oath, any licensee
652	652
653	653
654	654
655	655
656	656
657	657	HB2399 - 17 - LRB103 28782 RPS 55167 b
658	658
659	659
660	660	HB2399- 18 -LRB103 28782 RPS 55167 b HB2399 - 18 - LRB103 28782 RPS 55167 b
661	661	HB2399 - 18 - LRB103 28782 RPS 55167 b
662	662	1 or registrant, and to examine or cause to be examined the
663	663	2 books and records of such licensee or registrant; to hear
664	664	3 testimony and take proof material for its information in
665	665	4 the discharge of its duties hereunder; to administer or
666	666	5 cause to be administered oaths; for any such purpose to
667	667	6 issue subpoena or subpoenas to require the attendance of
668	668	7 witnesses and the production of books, which shall be
669	669	8 effective in any part of this State, and to adopt rules to
670	670	9 implement its powers under this paragraph (8).
671	671	10 Any circuit court may, by order duly entered, require
672	672	11 the attendance of witnesses and the production of relevant
673	673	12 books subpoenaed by the State Commission and the court may
674	674	13 compel obedience to its order by proceedings for contempt.
675	675	14 (9) To investigate the administration of laws in
676	676	15 relation to alcoholic liquors in this and other states and
677	677	16 any foreign countries, and to recommend from time to time
678	678	17 to the Governor and through him or her to the legislature
679	679	18 of this State, such amendments to this Act, if any, as it
680	680	19 may think desirable and as will serve to further the
681	681	20 general broad purposes contained in Section 1-2 hereof.
682	682	21 (10) To adopt such rules and regulations consistent
683	683	22 with the provisions of this Act which shall be necessary
684	684	23 for the control, sale, or disposition of alcoholic liquor
685	685	24 damaged as a result of an accident, wreck, flood, fire, or
686	686	25 other similar occurrence.
687	687	26 (11) To develop industry educational programs related
688	688
689	689
690	690
691	691
692	692
693	693	HB2399 - 18 - LRB103 28782 RPS 55167 b
694	694
695	695
696	696	HB2399- 19 -LRB103 28782 RPS 55167 b HB2399 - 19 - LRB103 28782 RPS 55167 b
697	697	HB2399 - 19 - LRB103 28782 RPS 55167 b
698	698	1 to responsible serving and selling, particularly in the
699	699	2 areas of overserving consumers and illegal underage
700	700	3 purchasing and consumption of alcoholic beverages.
701	701	4 (11.1) To license persons providing education and
702	702	5 training to alcohol beverage sellers and servers for
703	703	6 mandatory and non-mandatory training under the Beverage
704	704	7 Alcohol Sellers and Servers Education and Training
705	705	8 (BASSET) programs and to develop and administer a public
706	706	9 awareness program in Illinois to reduce or eliminate the
707	707	10 illegal purchase and consumption of alcoholic beverage
708	708	11 products by persons under the age of 21. Application for a
709	709	12 license shall be made on forms provided by the State
710	710	13 Commission.
711	711	14 (12) To develop and maintain a repository of license
712	712	15 and regulatory information.
713	713	16 (13) (Blank).
714	714	17 (14) On or before April 30, 2008 and every 2 years
715	715	18 thereafter, the State Commission shall present a written
716	716	19 report to the Governor and the General Assembly that shall
717	717	20 be based on a study of the impact of Public Act 95-634 on
718	718	21 the business of soliciting, selling, and shipping wine
719	719	22 from inside and outside of this State directly to
720	720	23 residents of this State. As part of its report, the State
721	721	24 Commission shall provide all of the following information:
722	722	25 (A) The amount of State excise and sales tax
723	723	26 revenues generated.
724	724
725	725
726	726
727	727
728	728
729	729	HB2399 - 19 - LRB103 28782 RPS 55167 b
730	730
731	731
732	732	HB2399- 20 -LRB103 28782 RPS 55167 b HB2399 - 20 - LRB103 28782 RPS 55167 b
733	733	HB2399 - 20 - LRB103 28782 RPS 55167 b
734	734	1 (B) The amount of licensing fees received.
735	735	2 (C) The number of cases of wine shipped from
736	736	3 inside and outside of this State directly to residents
737	737	4 of this State.
738	738	5 (D) The number of alcohol compliance operations
739	739	6 conducted.
740	740	7 (E) The number of winery shipper's licenses
741	741	8 issued.
742	742	9 (F) The number of each of the following: reported
743	743	10 violations; cease and desist notices issued by the
744	744	11 Commission; notices of violations issued by the
745	745	12 Commission and to the Department of Revenue; and
746	746	13 notices and complaints of violations to law
747	747	14 enforcement officials, including, without limitation,
748	748	15 the Illinois Attorney General and the U.S. Department
749	749	16 of Treasury's Alcohol and Tobacco Tax and Trade
750	750	17 Bureau.
751	751	18 (15) As a means to reduce the underage consumption of
752	752	19 alcoholic liquors, the State Commission shall conduct
753	753	20 alcohol compliance operations to investigate whether
754	754	21 businesses that are soliciting, selling, and shipping wine
755	755	22 from inside or outside of this State directly to residents
756	756	23 of this State are licensed by this State or are selling or
757	757	24 attempting to sell wine to persons under 21 years of age in
758	758	25 violation of this Act.
759	759	26 (16) The State Commission shall, in addition to
760	760
761	761
762	762
763	763
764	764
765	765	HB2399 - 20 - LRB103 28782 RPS 55167 b
766	766
767	767
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769	769	HB2399 - 21 - LRB103 28782 RPS 55167 b
770	770	1 notifying any appropriate law enforcement agency, submit
771	771	2 notices of complaints or violations of Sections 6-29 and
772	772	3 6-29.1 by persons who do not hold a winery shipper's
773	773	4 license under this Act to the Illinois Attorney General
774	774	5 and to the U.S. Department of Treasury's Alcohol and
775	775	6 Tobacco Tax and Trade Bureau.
776	776	7 (17)(A) A person licensed to make wine under the laws
777	777	8 of another state who has a winery shipper's license under
778	778	9 this Act and annually produces less than 25,000 gallons of
779	779	10 wine or a person who has a first-class or second-class
780	780	11 wine manufacturer's license, a first-class or second-class
781	781	12 wine-maker's license, or a limited wine manufacturer's
782	782	13 license under this Act and annually produces less than
783	783	14 25,000 gallons of wine may make application to the
784	784	15 Commission for a self-distribution exemption to allow the
785	785	16 sale of not more than 5,000 gallons of the exemption
786	786	17 holder's wine to retail licensees per year and to sell
787	787	18 cider, mead, or both cider and mead to brewers, class 1
788	788	19 brewers, class 2 brewers, and class 3 brewers that,
789	789	20 pursuant to subsection (e) of Section 6-4 of this Act,
790	790	21 sell beer, cider, mead, or any combination thereof to
791	791	22 non-licensees at their breweries.
792	792	23 (B) In the application, which shall be sworn under
793	793	24 penalty of perjury, such person shall state (1) the date
794	794	25 it was established; (2) its volume of production and sales
795	795	26 for each year since its establishment; (3) its efforts to
796	796
797	797
798	798
799	799
800	800
801	801	HB2399 - 21 - LRB103 28782 RPS 55167 b
802	802
803	803
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805	805	HB2399 - 22 - LRB103 28782 RPS 55167 b
806	806	1 establish distributor relationships; (4) that a
807	807	2 self-distribution exemption is necessary to facilitate the
808	808	3 marketing of its wine; and (5) that it will comply with the
809	809	4 liquor and revenue laws of the United States, this State,
810	810	5 and any other state where it is licensed.
811	811	6 (C) The State Commission shall approve the application
812	812	7 for a self-distribution exemption if such person: (1) is
813	813	8 in compliance with State revenue and liquor laws; (2) is
814	814	9 not a member of any affiliated group that produces
815	815	10 directly or indirectly more than 25,000 gallons of wine
816	816	11 per annum, 930,000 gallons of beer per annum, or 50,000
817	817	12 gallons of spirits per annum; (3) will not annually
818	818	13 produce for sale more than 25,000 gallons of wine, 930,000
819	819	14 gallons of beer, or 50,000 gallons of spirits; and (4)
820	820	15 will not annually sell more than 5,000 gallons of its wine
821	821	16 to retail licensees.
822	822	17 (D) A self-distribution exemption holder shall
823	823	18 annually certify to the State Commission its production of
824	824	19 wine in the previous 12 months and its anticipated
825	825	20 production and sales for the next 12 months. The State
826	826	21 Commission may fine, suspend, or revoke a
827	827	22 self-distribution exemption after a hearing if it finds
828	828	23 that the exemption holder has made a material
829	829	24 misrepresentation in its application, violated a revenue
830	830	25 or liquor law of Illinois, exceeded production of 25,000
831	831	26 gallons of wine, 930,000 gallons of beer, or 50,000
832	832
833	833
834	834
835	835
836	836
837	837	HB2399 - 22 - LRB103 28782 RPS 55167 b
838	838
839	839
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841	841	HB2399 - 23 - LRB103 28782 RPS 55167 b
842	842	1 gallons of spirits in any calendar year, or become part of
843	843	2 an affiliated group producing more than 25,000 gallons of
844	844	3 wine, 930,000 gallons of beer, or 50,000 gallons of
845	845	4 spirits.
846	846	5 (E) Except in hearings for violations of this Act or
847	847	6 Public Act 95-634 or a bona fide investigation by duly
848	848	7 sworn law enforcement officials, the State Commission, or
849	849	8 its agents, the State Commission shall maintain the
850	850	9 production and sales information of a self-distribution
851	851	10 exemption holder as confidential and shall not release
852	852	11 such information to any person.
853	853	12 (F) The State Commission shall issue regulations
854	854	13 governing self-distribution exemptions consistent with
855	855	14 this Section and this Act.
856	856	15 (G) Nothing in this paragraph (17) shall prohibit a
857	857	16 self-distribution exemption holder from entering into or
858	858	17 simultaneously having a distribution agreement with a
859	859	18 licensed Illinois distributor.
860	860	19 (H) It is the intent of this paragraph (17) to promote
861	861	20 and continue orderly markets. The General Assembly finds
862	862	21 that, in order to preserve Illinois' regulatory
863	863	22 distribution system, it is necessary to create an
864	864	23 exception for smaller makers of wine as their wines are
865	865	24 frequently adjusted in varietals, mixes, vintages, and
866	866	25 taste to find and create market niches sometimes too small
867	867	26 for distributor or importing distributor business
868	868
869	869
870	870
871	871
872	872
873	873	HB2399 - 23 - LRB103 28782 RPS 55167 b
874	874
875	875
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877	877	HB2399 - 24 - LRB103 28782 RPS 55167 b
878	878	1 strategies. Limited self-distribution rights will afford
879	879	2 and allow smaller makers of wine access to the marketplace
880	880	3 in order to develop a customer base without impairing the
881	881	4 integrity of the 3-tier system.
882	882	5 (18)(A) A class 1 brewer licensee, who must also be
883	883	6 either a licensed brewer or licensed non-resident dealer
884	884	7 and annually manufacture less than 930,000 gallons of
885	885	8 beer, may make application to the State Commission for a
886	886	9 self-distribution exemption to allow the sale of not more
887	887	10 than 232,500 gallons per year of the exemption holder's
888	888	11 beer to retail licensees and to brewers, class 1 brewers,
889	889	12 and class 2 brewers that, pursuant to subsection (e) of
890	890	13 Section 6-4 of this Act, sell beer, cider, mead, or any
891	891	14 combination thereof to non-licensees at their breweries.
892	892	15 (B) In the application, which shall be sworn under
893	893	16 penalty of perjury, the class 1 brewer licensee shall
894	894	17 state (1) the date it was established; (2) its volume of
895	895	18 beer manufactured and sold for each year since its
896	896	19 establishment; (3) its efforts to establish distributor
897	897	20 relationships; (4) that a self-distribution exemption is
898	898	21 necessary to facilitate the marketing of its beer; and (5)
899	899	22 that it will comply with the alcoholic beverage and
900	900	23 revenue laws of the United States, this State, and any
901	901	24 other state where it is licensed.
902	902	25 (C) Any application submitted shall be posted on the
903	903	26 State Commission's website at least 45 days prior to
904	904
905	905
906	906
907	907
908	908
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910	910
911	911
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913	913	HB2399 - 25 - LRB103 28782 RPS 55167 b
914	914	1 action by the State Commission. The State Commission shall
915	915	2 approve the application for a self-distribution exemption
916	916	3 if the class 1 brewer licensee: (1) is in compliance with
917	917	4 the State, revenue, and alcoholic beverage laws; (2) is
918	918	5 not a member of any affiliated group that manufactures,
919	919	6 directly or indirectly, more than 930,000 gallons of beer
920	920	7 per annum, 25,000 gallons of wine per annum, or 50,000
921	921	8 gallons of spirits per annum; (3) shall not annually
922	922	9 manufacture for sale more than 930,000 gallons of beer,
923	923	10 25,000 gallons of wine, or 50,000 gallons of spirits; (4)
924	924	11 shall not annually sell more than 232,500 gallons of its
925	925	12 beer to retail licensees and class 3 brewers and to
926	926	13 brewers, class 1 brewers, and class 2 brewers that,
927	927	14 pursuant to subsection (e) of Section 6-4 of this Act,
928	928	15 sell beer, cider, mead, or any combination thereof to
929	929	16 non-licensees at their breweries; and (5) has relinquished
930	930	17 any brew pub license held by the licensee, including any
931	931	18 ownership interest it held in the licensed brew pub.
932	932	19 (D) A self-distribution exemption holder shall
933	933	20 annually certify to the State Commission its manufacture
934	934	21 of beer during the previous 12 months and its anticipated
935	935	22 manufacture and sales of beer for the next 12 months. The
936	936	23 State Commission may fine, suspend, or revoke a
937	937	24 self-distribution exemption after a hearing if it finds
938	938	25 that the exemption holder has made a material
939	939	26 misrepresentation in its application, violated a revenue
940	940
941	941
942	942
943	943
944	944
945	945	HB2399 - 25 - LRB103 28782 RPS 55167 b
946	946
947	947
948	948	HB2399- 26 -LRB103 28782 RPS 55167 b HB2399 - 26 - LRB103 28782 RPS 55167 b
949	949	HB2399 - 26 - LRB103 28782 RPS 55167 b
950	950	1 or alcoholic beverage law of Illinois, exceeded the
951	951	2 manufacture of 930,000 gallons of beer, 25,000 gallons of
952	952	3 wine, or 50,000 gallons of spirits in any calendar year or
953	953	4 became part of an affiliated group manufacturing more than
954	954	5 930,000 gallons of beer, 25,000 gallons of wine, or 50,000
955	955	6 gallons of spirits.
956	956	7 (E) The State Commission shall issue rules and
957	957	8 regulations governing self-distribution exemptions
958	958	9 consistent with this Act.
959	959	10 (F) Nothing in this paragraph (18) shall prohibit a
960	960	11 self-distribution exemption holder from entering into or
961	961	12 simultaneously having a distribution agreement with a
962	962	13 licensed Illinois importing distributor or a distributor.
963	963	14 If a self-distribution exemption holder enters into a
964	964	15 distribution agreement and has assigned distribution
965	965	16 rights to an importing distributor or distributor, then
966	966	17 the self-distribution exemption holder's distribution
967	967	18 rights in the assigned territories shall cease in a
968	968	19 reasonable time not to exceed 60 days.
969	969	20 (G) It is the intent of this paragraph (18) to promote
970	970	21 and continue orderly markets. The General Assembly finds
971	971	22 that in order to preserve Illinois' regulatory
972	972	23 distribution system, it is necessary to create an
973	973	24 exception for smaller manufacturers in order to afford and
974	974	25 allow such smaller manufacturers of beer access to the
975	975	26 marketplace in order to develop a customer base without
976	976
977	977
978	978
979	979
980	980
981	981	HB2399 - 26 - LRB103 28782 RPS 55167 b
982	982
983	983
984	984	HB2399- 27 -LRB103 28782 RPS 55167 b HB2399 - 27 - LRB103 28782 RPS 55167 b
985	985	HB2399 - 27 - LRB103 28782 RPS 55167 b
986	986	1 impairing the integrity of the 3-tier system.
987	987	2 (19)(A) A class 1 craft distiller licensee or a
988	988	3 non-resident dealer who manufactures less than 50,000
989	989	4 gallons of distilled spirits per year may make application
990	990	5 to the State Commission for a self-distribution exemption
991	991	6 to allow the sale of not more than 5,000 gallons of the
992	992	7 exemption holder's spirits to retail licensees per year.
993	993	8 (B) In the application, which shall be sworn under
994	994	9 penalty of perjury, the class 1 craft distiller licensee
995	995	10 or non-resident dealer shall state (1) the date it was
996	996	11 established; (2) its volume of spirits manufactured and
997	997	12 sold for each year since its establishment; (3) its
998	998	13 efforts to establish distributor relationships; (4) that a
999	999	14 self-distribution exemption is necessary to facilitate the
1000	1000	15 marketing of its spirits; and (5) that it will comply with
1001	1001	16 the alcoholic beverage and revenue laws of the United
1002	1002	17 States, this State, and any other state where it is
1003	1003	18 licensed.
1004	1004	19 (C) Any application submitted shall be posted on the
1005	1005	20 State Commission's website at least 45 days prior to
1006	1006	21 action by the State Commission. The State Commission shall
1007	1007	22 approve the application for a self-distribution exemption
1008	1008	23 if the applicant: (1) is in compliance with State revenue
1009	1009	24 and alcoholic beverage laws; (2) is not a member of any
1010	1010	25 affiliated group that produces more than 50,000 gallons of
1011	1011	26 spirits per annum, 930,000 gallons of beer per annum, or
1012	1012
1013	1013
1014	1014
1015	1015
1016	1016
1017	1017	HB2399 - 27 - LRB103 28782 RPS 55167 b
1018	1018
1019	1019
1020	1020	HB2399- 28 -LRB103 28782 RPS 55167 b HB2399 - 28 - LRB103 28782 RPS 55167 b
1021	1021	HB2399 - 28 - LRB103 28782 RPS 55167 b
1022	1022	1 25,000 gallons of wine per annum; (3) does not annually
1023	1023	2 manufacture for sale more than 50,000 gallons of spirits,
1024	1024	3 930,000 gallons of beer, or 25,000 gallons of wine; and
1025	1025	4 (4) does not annually sell more than 5,000 gallons of its
1026	1026	5 spirits to retail licensees.
1027	1027	6 (D) A self-distribution exemption holder shall
1028	1028	7 annually certify to the State Commission its manufacture
1029	1029	8 of spirits during the previous 12 months and its
1030	1030	9 anticipated manufacture and sales of spirits for the next
1031	1031	10 12 months. The State Commission may fine, suspend, or
1032	1032	11 revoke a self-distribution exemption after a hearing if it
1033	1033	12 finds that the exemption holder has made a material
1034	1034	13 misrepresentation in its application, violated a revenue
1035	1035	14 or alcoholic beverage law of Illinois, exceeded the
1036	1036	15 manufacture of 50,000 gallons of spirits, 930,000 gallons
1037	1037	16 of beer, or 25,000 gallons of wine in any calendar year, or
1038	1038	17 has become part of an affiliated group manufacturing more
1039	1039	18 than 50,000 gallons of spirits, 930,000 gallons of beer,
1040	1040	19 or 25,000 gallons of wine.
1041	1041	20 (E) The State Commission shall adopt rules governing
1042	1042	21 self-distribution exemptions consistent with this Act.
1043	1043	22 (F) Nothing in this paragraph (19) shall prohibit a
1044	1044	23 self-distribution exemption holder from entering into or
1045	1045	24 simultaneously having a distribution agreement with a
1046	1046	25 licensed Illinois importing distributor or a distributor.
1047	1047	26 (G) It is the intent of this paragraph (19) to promote
1048	1048
1049	1049
1050	1050
1051	1051
1052	1052
1053	1053	HB2399 - 28 - LRB103 28782 RPS 55167 b
1054	1054
1055	1055
1056	1056	HB2399- 29 -LRB103 28782 RPS 55167 b HB2399 - 29 - LRB103 28782 RPS 55167 b
1057	1057	HB2399 - 29 - LRB103 28782 RPS 55167 b
1058	1058	1 and continue orderly markets. The General Assembly finds
1059	1059	2 that in order to preserve Illinois' regulatory
1060	1060	3 distribution system, it is necessary to create an
1061	1061	4 exception for smaller manufacturers in order to afford and
1062	1062	5 allow such smaller manufacturers of spirits access to the
1063	1063	6 marketplace in order to develop a customer base without
1064	1064	7 impairing the integrity of the 3-tier system.
1065	1065	8 (20)(A) A class 3 brewer licensee who must manufacture
1066	1066	9 less than 465,000 gallons of beer in the aggregate and not
1067	1067	10 more than 155,000 gallons at any single brewery premises
1068	1068	11 may make application to the State Commission for a
1069	1069	12 self-distribution exemption to allow the sale of not more
1070	1070	13 than 6,200 gallons of beer from each in-state or
1071	1071	14 out-of-state class 3 brewery premises, which shall not
1072	1072	15 exceed 18,600 gallons annually in the aggregate, that is
1073	1073	16 manufactured at a wholly owned class 3 brewer's in-state
1074	1074	17 or out-of-state licensed premises to retail licensees and
1075	1075	18 class 3 brewers and to brewers, class 1 brewers, class 2
1076	1076	19 brewers that, pursuant to subsection (e) of Section 6-4,
1077	1077	20 sell beer, cider, or both beer and cider to non-licensees
1078	1078	21 at their licensed breweries.
1079	1079	22 (B) In the application, which shall be sworn under
1080	1080	23 penalty of perjury, the class 3 brewer licensee shall
1081	1081	24 state:
1082	1082	25 (1) the date it was established;
1083	1083	26 (2) its volume of beer manufactured and sold for
1084	1084
1085	1085
1086	1086
1087	1087
1088	1088
1089	1089	HB2399 - 29 - LRB103 28782 RPS 55167 b
1090	1090
1091	1091
1092	1092	HB2399- 30 -LRB103 28782 RPS 55167 b HB2399 - 30 - LRB103 28782 RPS 55167 b
1093	1093	HB2399 - 30 - LRB103 28782 RPS 55167 b
1094	1094	1 each year since its establishment;
1095	1095	2 (3) its efforts to establish distributor
1096	1096	3 relationships;
1097	1097	4 (4) that a self-distribution exemption is
1098	1098	5 necessary to facilitate the marketing of its beer; and
1099	1099	6 (5) that it will comply with the alcoholic
1100	1100	7 beverage and revenue laws of the United States, this
1101	1101	8 State, and any other state where it is licensed.
1102	1102	9 (C) Any application submitted shall be posted on the
1103	1103	10 State Commission's website at least 45 days before action
1104	1104	11 by the State Commission. The State Commission shall
1105	1105	12 approve the application for a self-distribution exemption
1106	1106	13 if the class 3 brewer licensee: (1) is in compliance with
1107	1107	14 the State, revenue, and alcoholic beverage laws; (2) is
1108	1108	15 not a member of any affiliated group that manufacturers,
1109	1109	16 directly or indirectly, more than 465,000 gallons of beer
1110	1110	17 per annum; (3) shall not annually manufacture for sale
1111	1111	18 more than 465,000 gallons of beer or more than 155,000
1112	1112	19 gallons at any single brewery premises; and (4) shall not
1113	1113	20 annually sell more than 6,200 gallons of beer from each
1114	1114	21 in-state or out-of-state class 3 brewery premises, and
1115	1115	22 shall not exceed 18,600 gallons annually in the aggregate,
1116	1116	23 to retail licensees and class 3 brewers and to brewers,
1117	1117	24 class 1 brewers, and class 2 brewers that, pursuant to
1118	1118	25 subsection (e) of Section 6-4 of this Act, sell beer,
1119	1119	26 cider, or both beer and cider to non-licensees at their
1120	1120
1121	1121
1122	1122
1123	1123
1124	1124
1125	1125	HB2399 - 30 - LRB103 28782 RPS 55167 b
1126	1126
1127	1127
1128	1128	HB2399- 31 -LRB103 28782 RPS 55167 b HB2399 - 31 - LRB103 28782 RPS 55167 b
1129	1129	HB2399 - 31 - LRB103 28782 RPS 55167 b
1130	1130	1 breweries.
1131	1131	2 (D) A self-distribution exemption holder shall
1132	1132	3 annually certify to the State Commission its manufacture
1133	1133	4 of beer during the previous 12 months and its anticipated
1134	1134	5 manufacture and sales of beer for the next 12 months. The
1135	1135	6 State Commission may fine, suspend, or revoke a
1136	1136	7 self-distribution exemption after a hearing if it finds
1137	1137	8 that the exemption holder has made a material
1138	1138	9 misrepresentation in its application, violated a revenue
1139	1139	10 or alcoholic beverage law of Illinois, exceeded the
1140	1140	11 manufacture of 465,000 gallons of beer in any calendar
1141	1141	12 year or became part of an affiliated group manufacturing
1142	1142	13 more than 465,000 gallons of beer, or exceeded the sale to
1143	1143	14 retail licensees, brewers, class 1 brewers, class 2
1144	1144	15 brewers, and class 3 brewers of 6,200 gallons per brewery
1145	1145	16 location or 18,600 gallons in the aggregate.
1146	1146	17 (E) The State Commission may adopt rules governing
1147	1147	18 self-distribution exemptions consistent with this Act.
1148	1148	19 (F) Nothing in this paragraph shall prohibit a
1149	1149	20 self-distribution exemption holder from entering into or
1150	1150	21 simultaneously having a distribution agreement with a
1151	1151	22 licensed Illinois importing distributor or a distributor.
1152	1152	23 If a self-distribution exemption holder enters into a
1153	1153	24 distribution agreement and has assigned distribution
1154	1154	25 rights to an importing distributor or distributor, then
1155	1155	26 the self-distribution exemption holder's distribution
1156	1156
1157	1157
1158	1158
1159	1159
1160	1160
1161	1161	HB2399 - 31 - LRB103 28782 RPS 55167 b
1162	1162
1163	1163
1164	1164	HB2399- 32 -LRB103 28782 RPS 55167 b HB2399 - 32 - LRB103 28782 RPS 55167 b
1165	1165	HB2399 - 32 - LRB103 28782 RPS 55167 b
1166	1166	1 rights in the assigned territories shall cease in a
1167	1167	2 reasonable time not to exceed 60 days.
1168	1168	3 (G) It is the intent of this paragraph to promote and
1169	1169	4 continue orderly markets. The General Assembly finds that
1170	1170	5 in order to preserve Illinois' regulatory distribution
1171	1171	6 system, it is necessary to create an exception for smaller
1172	1172	7 manufacturers in order to afford and allow such smaller
1173	1173	8 manufacturers of beer access to the marketplace in order
1174	1174	9 to develop a customer base without impairing the integrity
1175	1175	10 of the 3-tier system.
1176	1176	11 (b) On or before April 30, 1999, the Commission shall
1177	1177	12 present a written report to the Governor and the General
1178	1178	13 Assembly that shall be based on a study of the impact of Public
1179	1179	14 Act 90-739 on the business of soliciting, selling, and
1180	1180	15 shipping alcoholic liquor from outside of this State directly
1181	1181	16 to residents of this State.
1182	1182	17 As part of its report, the Commission shall provide the
1183	1183	18 following information:
1184	1184	19 (i) the amount of State excise and sales tax revenues
1185	1185	20 generated as a result of Public Act 90-739;
1186	1186	21 (ii) the amount of licensing fees received as a result
1187	1187	22 of Public Act 90-739;
1188	1188	23 (iii) the number of reported violations, the number of
1189	1189	24 cease and desist notices issued by the Commission, the
1190	1190	25 number of notices of violations issued to the Department
1191	1191	26 of Revenue, and the number of notices and complaints of
1192	1192
1193	1193
1194	1194
1195	1195
1196	1196
1197	1197	HB2399 - 32 - LRB103 28782 RPS 55167 b
1198	1198
1199	1199
1200	1200	HB2399- 33 -LRB103 28782 RPS 55167 b HB2399 - 33 - LRB103 28782 RPS 55167 b
1201	1201	HB2399 - 33 - LRB103 28782 RPS 55167 b
1202	1202	1 violations to law enforcement officials.
1203	1203	2 (Source: P.A. 101-37, eff. 7-3-19; 101-81, eff. 7-12-19;
1204	1204	3 101-482, eff. 8-23-19; 102-442, eff. 8-20-21; 102-558, eff.
1205	1205	4 8-20-21; 102-813, eff. 5-13-22.)
1206	1206	5 (235 ILCS 5/5-1) (from Ch. 43, par. 115)
1207	1207	6 Sec. 5-1. Licenses issued by the Illinois Liquor Control
1208	1208	7 Commission shall be of the following classes:
1209	1209	8 (a) Manufacturer's license - Class 1. Distiller, Class 2.
1210	1210	9 Rectifier, Class 3. Brewer, Class 4. First Class Wine
1211	1211	10 Manufacturer, Class 5. Second Class Wine Manufacturer, Class
1212	1212	11 6. First Class Winemaker, Class 7. Second Class Winemaker,
1213	1213	12 Class 8. Limited Wine Manufacturer, Class 9. Craft Distiller,
1214	1214	13 Class 10. Class 1 Craft Distiller, Class 11. Class 2 Craft
1215	1215	14 Distiller, Class 12. Class 1 Brewer, Class 13. Class 2 Brewer,
1216	1216	15 Class 14. Class 3 Brewer,
1217	1217	16 (b) Distributor's license,
1218	1218	17 (c) Importing Distributor's license,
1219	1219	18 (d) Retailer's license,
1220	1220	19 (e) Special Event Retailer's license (not-for-profit),
1221	1221	20 (f) Railroad license,
1222	1222	21 (g) Boat license,
1223	1223	22 (h) Non-Beverage User's license,
1224	1224	23 (i) Wine-maker's premises license,
1225	1225	24 (j) Airplane license,
1226	1226	25 (k) Foreign importer's license,
1227	1227
1228	1228
1229	1229
1230	1230
1231	1231
1232	1232	HB2399 - 33 - LRB103 28782 RPS 55167 b
1233	1233
1234	1234
1235	1235	HB2399- 34 -LRB103 28782 RPS 55167 b HB2399 - 34 - LRB103 28782 RPS 55167 b
1236	1236	HB2399 - 34 - LRB103 28782 RPS 55167 b
1237	1237	1 (l) Broker's license,
1238	1238	2 (m) Non-resident dealer's license,
1239	1239	3 (n) Brew Pub license,
1240	1240	4 (o) Auction liquor license,
1241	1241	5 (p) Caterer retailer license,
1242	1242	6 (q) Special use permit license,
1243	1243	7 (r) Winery shipper's license,
1244	1244	8 (s) Craft distiller tasting permit,
1245	1245	9 (t) Brewer warehouse permit,
1246	1246	10 (u) Distilling pub license,
1247	1247	11 (v) Craft distiller warehouse permit,
1248	1248	12 (w) Beer showcase permit.
1249	1249	13 No person, firm, partnership, corporation, or other legal
1250	1250	14 business entity that is engaged in the manufacturing of wine
1251	1251	15 may concurrently obtain and hold a wine-maker's license and a
1252	1252	16 wine manufacturer's license.
1253	1253	17 (a) A manufacturer's license shall allow the manufacture,
1254	1254	18 importation in bulk, storage, distribution and sale of
1255	1255	19 alcoholic liquor to persons without the State, as may be
1256	1256	20 permitted by law and to licensees in this State as follows:
1257	1257	21 Class 1. A Distiller may make sales and deliveries of
1258	1258	22 alcoholic liquor to distillers, rectifiers, importing
1259	1259	23 distributors, distributors and non-beverage users and to no
1260	1260	24 other licensees.
1261	1261	25 Class 2. A Rectifier, who is not a distiller, as defined
1262	1262	26 herein, may make sales and deliveries of alcoholic liquor to
1263	1263
1264	1264
1265	1265
1266	1266
1267	1267
1268	1268	HB2399 - 34 - LRB103 28782 RPS 55167 b
1269	1269
1270	1270
1271	1271	HB2399- 35 -LRB103 28782 RPS 55167 b HB2399 - 35 - LRB103 28782 RPS 55167 b
1272	1272	HB2399 - 35 - LRB103 28782 RPS 55167 b
1273	1273	1 rectifiers, importing distributors, distributors, retailers
1274	1274	2 and non-beverage users and to no other licensees.
1275	1275	3 Class 3. A Brewer may make sales and deliveries of beer to
1276	1276	4 importing distributors and distributors and may make sales as
1277	1277	5 authorized under subsection (e) of Section 6-4 of this Act,
1278	1278	6 including any alcoholic liquor that subsection (e) of Section
1279	1279	7 6-4 authorizes a brewer to sell in its original package only to
1280	1280	8 a non-licensee for pick-up by a non-licensee either within the
1281	1281	9 interior of the brewery premises or at outside of the brewery
1282	1282	10 premises at a curb-side or parking lot adjacent to the brewery
1283	1283	11 premises, subject to any local ordinance.
1284	1284	12 Class 4. A first class wine-manufacturer may make sales
1285	1285	13 and deliveries of up to 50,000 gallons of wine to
1286	1286	14 manufacturers, importing distributors and distributors, and to
1287	1287	15 no other licensees. If a first-class wine-manufacturer
1288	1288	16 manufactures beer, it shall also obtain and shall only be
1289	1289	17 eligible for, in addition to any current license, a class 1
1290	1290	18 brewer license, shall not manufacture more than 930,000
1291	1291	19 gallons of beer per year, and shall not be a member of or
1292	1292	20 affiliated with, directly or indirectly, a manufacturer that
1293	1293	21 produces more than 930,000 gallons of beer per year. If the
1294	1294	22 first-class wine-manufacturer manufactures spirits, it shall
1295	1295	23 also obtain and shall only be eligible for, in addition to any
1296	1296	24 current license, a class 1 craft distiller license, shall not
1297	1297	25 manufacture more than 50,000 gallons of spirits per year, and
1298	1298	26 shall not be a member of or affiliated with, directly or
1299	1299
1300	1300
1301	1301
1302	1302
1303	1303
1304	1304	HB2399 - 35 - LRB103 28782 RPS 55167 b
1305	1305
1306	1306
1307	1307	HB2399- 36 -LRB103 28782 RPS 55167 b HB2399 - 36 - LRB103 28782 RPS 55167 b
1308	1308	HB2399 - 36 - LRB103 28782 RPS 55167 b
1309	1309	1 indirectly, a manufacturer that produces more than 50,000
1310	1310	2 gallons of spirits per year. A first-class wine-manufacturer
1311	1311	3 shall be permitted to sell wine manufactured at the
1312	1312	4 first-class wine-manufacturer premises to non-licensees.
1313	1313	5 Class 5. A second class Wine manufacturer may make sales
1314	1314	6 and deliveries of more than 50,000 gallons of wine to
1315	1315	7 manufacturers, importing distributors and distributors and to
1316	1316	8 no other licensees.
1317	1317	9 Class 6. A first-class wine-maker's license shall allow
1318	1318	10 the manufacture of up to 50,000 gallons of wine per year, and
1319	1319	11 the storage and sale of such wine to distributors in the State
1320	1320	12 and to persons without the State, as may be permitted by law. A
1321	1321	13 person who, prior to June 1, 2008 (the effective date of Public
1322	1322	14 Act 95-634), is a holder of a first-class wine-maker's license
1323	1323	15 and annually produces more than 25,000 gallons of its own wine
1324	1324	16 and who distributes its wine to licensed retailers shall cease
1325	1325	17 this practice on or before July 1, 2008 in compliance with
1326	1326	18 Public Act 95-634. If a first-class wine-maker manufactures
1327	1327	19 beer, it shall also obtain and shall only be eligible for, in
1328	1328	20 addition to any current license, a class 1 brewer license,
1329	1329	21 shall not manufacture more than 930,000 gallons of beer per
1330	1330	22 year, and shall not be a member of or affiliated with, directly
1331	1331	23 or indirectly, a manufacturer that produces more than 930,000
1332	1332	24 gallons of beer per year. If the first-class wine-maker
1333	1333	25 manufactures spirits, it shall also obtain and shall only be
1334	1334	26 eligible for, in addition to any current license, a class 1
1335	1335
1336	1336
1337	1337
1338	1338
1339	1339
1340	1340	HB2399 - 36 - LRB103 28782 RPS 55167 b
1341	1341
1342	1342
1343	1343	HB2399- 37 -LRB103 28782 RPS 55167 b HB2399 - 37 - LRB103 28782 RPS 55167 b
1344	1344	HB2399 - 37 - LRB103 28782 RPS 55167 b
1345	1345	1 craft distiller license, shall not manufacture more than
1346	1346	2 50,000 gallons of spirits per year, and shall not be a member
1347	1347	3 of or affiliated with, directly or indirectly, a manufacturer
1348	1348	4 that produces more than 50,000 gallons of spirits per year. A
1349	1349	5 first-class wine-maker holding a class 1 brewer license or a
1350	1350	6 class 1 craft distiller license shall not be eligible for a
1351	1351	7 wine-maker's premises license but shall be permitted to sell
1352	1352	8 wine manufactured at the first-class wine-maker premises to
1353	1353	9 non-licensees.
1354	1354	10 Class 7. A second-class wine-maker's license shall allow
1355	1355	11 the manufacture of up to 150,000 gallons of wine per year, and
1356	1356	12 the storage and sale of such wine to distributors in this State
1357	1357	13 and to persons without the State, as may be permitted by law. A
1358	1358	14 person who, prior to June 1, 2008 (the effective date of Public
1359	1359	15 Act 95-634), is a holder of a second-class wine-maker's
1360	1360	16 license and annually produces more than 25,000 gallons of its
1361	1361	17 own wine and who distributes its wine to licensed retailers
1362	1362	18 shall cease this practice on or before July 1, 2008 in
1363	1363	19 compliance with Public Act 95-634. If a second-class
1364	1364	20 wine-maker manufactures beer, it shall also obtain and shall
1365	1365	21 only be eligible for, in addition to any current license, a
1366	1366	22 class 2 brewer license, shall not manufacture more than
1367	1367	23 3,720,000 gallons of beer per year, and shall not be a member
1368	1368	24 of or affiliated with, directly or indirectly, a manufacturer
1369	1369	25 that produces more than 3,720,000 gallons of beer per year. If
1370	1370	26 a second-class wine-maker manufactures spirits, it shall also
1371	1371
1372	1372
1373	1373
1374	1374
1375	1375
1376	1376	HB2399 - 37 - LRB103 28782 RPS 55167 b
1377	1377
1378	1378
1379	1379	HB2399- 38 -LRB103 28782 RPS 55167 b HB2399 - 38 - LRB103 28782 RPS 55167 b
1380	1380	HB2399 - 38 - LRB103 28782 RPS 55167 b
1381	1381	1 obtain and shall only be eligible for, in addition to any
1382	1382	2 current license, a class 2 craft distiller license, shall not
1383	1383	3 manufacture more than 100,000 gallons of spirits per year, and
1384	1384	4 shall not be a member of or affiliated with, directly or
1385	1385	5 indirectly, a manufacturer that produces more than 100,000
1386	1386	6 gallons of spirits per year.
1387	1387	7 Class 8. A limited wine-manufacturer may make sales and
1388	1388	8 deliveries not to exceed 40,000 gallons of wine per year to
1389	1389	9 distributors, and to non-licensees in accordance with the
1390	1390	10 provisions of this Act.
1391	1391	11 Class 9. A craft distiller license, which may only be held
1392	1392	12 by a class 1 craft distiller licensee or class 2 craft
1393	1393	13 distiller licensee but not held by both a class 1 craft
1394	1394	14 distiller licensee and a class 2 craft distiller licensee,
1395	1395	15 shall grant all rights conveyed by either: (i) a class 1 craft
1396	1396	16 distiller license if the craft distiller holds a class 1 craft
1397	1397	17 distiller license; or (ii) a class 2 craft distiller licensee
1398	1398	18 if the craft distiller holds a class 2 craft distiller
1399	1399	19 license.
1400	1400	20 Class 10. A class 1 craft distiller license, which may
1401	1401	21 only be issued to a licensed craft distiller or licensed
1402	1402	22 non-resident dealer, shall allow the manufacture of up to
1403	1403	23 50,000 gallons of spirits per year provided that the class 1
1404	1404	24 craft distiller licensee does not manufacture more than a
1405	1405	25 combined 50,000 gallons of spirits per year and is not a member
1406	1406	26 of or affiliated with, directly or indirectly, a manufacturer
1407	1407
1408	1408
1409	1409
1410	1410
1411	1411
1412	1412	HB2399 - 38 - LRB103 28782 RPS 55167 b
1413	1413
1414	1414
1415	1415	HB2399- 39 -LRB103 28782 RPS 55167 b HB2399 - 39 - LRB103 28782 RPS 55167 b
1416	1416	HB2399 - 39 - LRB103 28782 RPS 55167 b
1417	1417	1 that produces more than 50,000 gallons of spirits per year. If
1418	1418	2 a class 1 craft distiller manufactures beer, it shall also
1419	1419	3 obtain and shall only be eligible for, in addition to any
1420	1420	4 current license, a class 1 brewer license, shall not
1421	1421	5 manufacture more than 930,000 gallons of beer per year, and
1422	1422	6 shall not be a member of or affiliated with, directly or
1423	1423	7 indirectly, a manufacturer that produces more than 930,000
1424	1424	8 gallons of beer per year. If a class 1 craft distiller
1425	1425	9 manufactures wine, it shall also obtain and shall only be
1426	1426	10 eligible for, in addition to any current license, a
1427	1427	11 first-class wine-manufacturer license or a first-class
1428	1428	12 wine-maker's license, shall not manufacture more than 50,000
1429	1429	13 gallons of wine per year, and shall not be a member of or
1430	1430	14 affiliated with, directly or indirectly, a manufacturer that
1431	1431	15 produces more than 50,000 gallons of wine per year. A class 1
1432	1432	16 craft distiller licensee may make sales and deliveries to
1433	1433	17 importing distributors and distributors and to retail
1434	1434	18 licensees in accordance with the conditions set forth in
1435	1435	19 paragraph (19) of subsection (a) of Section 3-12 of this Act.
1436	1436	20 However, the aggregate amount of spirits sold to non-licensees
1437	1437	21 and sold or delivered to retail licensees may not exceed 5,000
1438	1438	22 gallons per year.
1439	1439	23 A class 1 craft distiller licensee may sell up to 5,000
1440	1440	24 gallons of such spirits to non-licensees to the extent
1441	1441	25 permitted by any exemption approved by the State Commission
1442	1442	26 pursuant to Section 6-4 of this Act. A class 1 craft distiller
1443	1443
1444	1444
1445	1445
1446	1446
1447	1447
1448	1448	HB2399 - 39 - LRB103 28782 RPS 55167 b
1449	1449
1450	1450
1451	1451	HB2399- 40 -LRB103 28782 RPS 55167 b HB2399 - 40 - LRB103 28782 RPS 55167 b
1452	1452	HB2399 - 40 - LRB103 28782 RPS 55167 b
1453	1453	1 license holder may store such spirits at a non-contiguous
1454	1454	2 licensed location, but at no time shall a class 1 craft
1455	1455	3 distiller license holder directly or indirectly produce in the
1456	1456	4 aggregate more than 50,000 gallons of spirits per year.
1457	1457	5 A class 1 craft distiller licensee may hold more than one
1458	1458	6 class 1 craft distiller's license. However, a class 1 craft
1459	1459	7 distiller that holds more than one class 1 craft distiller
1460	1460	8 license shall not manufacture, in the aggregate, more than
1461	1461	9 50,000 gallons of spirits by distillation per year and shall
1462	1462	10 not sell, in the aggregate, more than 5,000 gallons of such
1463	1463	11 spirits to non-licensees in accordance with an exemption
1464	1464	12 approved by the State Commission pursuant to Section 6-4 of
1465	1465	13 this Act.
1466	1466	14 Class 11. A class 2 craft distiller license, which may
1467	1467	15 only be issued to a licensed craft distiller or licensed
1468	1468	16 non-resident dealer, shall allow the manufacture of up to
1469	1469	17 100,000 gallons of spirits per year provided that the class 2
1470	1470	18 craft distiller licensee does not manufacture more than a
1471	1471	19 combined 100,000 gallons of spirits per year and is not a
1472	1472	20 member of or affiliated with, directly or indirectly, a
1473	1473	21 manufacturer that produces more than 100,000 gallons of
1474	1474	22 spirits per year. If a class 2 craft distiller manufactures
1475	1475	23 beer, it shall also obtain and shall only be eligible for, in
1476	1476	24 addition to any current license, a class 2 brewer license,
1477	1477	25 shall not manufacture more than 3,720,000 gallons of beer per
1478	1478	26 year, and shall not be a member of or affiliated with, directly
1479	1479
1480	1480
1481	1481
1482	1482
1483	1483
1484	1484	HB2399 - 40 - LRB103 28782 RPS 55167 b
1485	1485
1486	1486
1487	1487	HB2399- 41 -LRB103 28782 RPS 55167 b HB2399 - 41 - LRB103 28782 RPS 55167 b
1488	1488	HB2399 - 41 - LRB103 28782 RPS 55167 b
1489	1489	1 or indirectly, a manufacturer that produces more than
1490	1490	2 3,720,000 gallons of beer per year. If a class 2 craft
1491	1491	3 distiller manufactures wine, it shall also obtain and shall
1492	1492	4 only be eligible for, in addition to any current license, a
1493	1493	5 second-class wine-maker's license, shall not manufacture more
1494	1494	6 than 150,000 gallons of wine per year, and shall not be a
1495	1495	7 member of or affiliated with, directly or indirectly, a
1496	1496	8 manufacturer that produces more than 150,000 gallons of wine
1497	1497	9 per year. A class 2 craft distiller licensee may make sales and
1498	1498	10 deliveries to importing distributors and distributors, but
1499	1499	11 shall not make sales or deliveries to any other licensee. If
1500	1500	12 the State Commission provides prior approval, a class 2 craft
1501	1501	13 distiller licensee may annually transfer up to 100,000 gallons
1502	1502	14 of spirits manufactured by that class 2 craft distiller
1503	1503	15 licensee to the premises of a licensed class 2 craft distiller
1504	1504	16 wholly owned and operated by the same licensee. A class 2 craft
1505	1505	17 distiller may transfer spirits to a distilling pub wholly
1506	1506	18 owned and operated by the class 2 craft distiller subject to
1507	1507	19 the following limitations and restrictions: (i) the transfer
1508	1508	20 shall not annually exceed more than 5,000 gallons; (ii) the
1509	1509	21 annual amount transferred shall reduce the distilling pub's
1510	1510	22 annual permitted production limit; (iii) all spirits
1511	1511	23 transferred shall be subject to Article VIII of this Act; (iv)
1512	1512	24 a written record shall be maintained by the distiller and
1513	1513	25 distilling pub specifying the amount, date of delivery, and
1514	1514	26 receipt of the product by the distilling pub; and (v) the
1515	1515
1516	1516
1517	1517
1518	1518
1519	1519
1520	1520	HB2399 - 41 - LRB103 28782 RPS 55167 b
1521	1521
1522	1522
1523	1523	HB2399- 42 -LRB103 28782 RPS 55167 b HB2399 - 42 - LRB103 28782 RPS 55167 b
1524	1524	HB2399 - 42 - LRB103 28782 RPS 55167 b
1525	1525	1 distilling pub shall be located no farther than 80 miles from
1526	1526	2 the class 2 craft distiller's licensed location.
1527	1527	3 A class 2 craft distiller shall, prior to transferring
1528	1528	4 spirits to a distilling pub wholly owned by the class 2 craft
1529	1529	5 distiller, furnish a written notice to the State Commission of
1530	1530	6 intent to transfer spirits setting forth the name and address
1531	1531	7 of the distilling pub and shall annually submit to the State
1532	1532	8 Commission a verified report identifying the total gallons of
1533	1533	9 spirits transferred to the distilling pub wholly owned by the
1534	1534	10 class 2 craft distiller.
1535	1535	11 A class 2 craft distiller license holder may store such
1536	1536	12 spirits at a non-contiguous licensed location, but at no time
1537	1537	13 shall a class 2 craft distiller license holder directly or
1538	1538	14 indirectly produce in the aggregate more than 100,000 gallons
1539	1539	15 of spirits per year.
1540	1540	16 Class 12. A class 1 brewer license, which may only be
1541	1541	17 issued to a licensed brewer or licensed non-resident dealer,
1542	1542	18 shall allow the manufacture of up to 930,000 gallons of beer
1543	1543	19 per year provided that the class 1 brewer licensee does not
1544	1544	20 manufacture more than a combined 930,000 gallons of beer per
1545	1545	21 year and is not a member of or affiliated with, directly or
1546	1546	22 indirectly, a manufacturer that produces more than 930,000
1547	1547	23 gallons of beer per year. If a class 1 brewer manufactures
1548	1548	24 spirits, it shall also obtain and shall only be eligible for,
1549	1549	25 in addition to any current license, a class 1 craft distiller
1550	1550	26 license, shall not manufacture more than 50,000 gallons of
1551	1551
1552	1552
1553	1553
1554	1554
1555	1555
1556	1556	HB2399 - 42 - LRB103 28782 RPS 55167 b
1557	1557
1558	1558
1559	1559	HB2399- 43 -LRB103 28782 RPS 55167 b HB2399 - 43 - LRB103 28782 RPS 55167 b
1560	1560	HB2399 - 43 - LRB103 28782 RPS 55167 b
1561	1561	1 spirits per year, and shall not be a member of or affiliated
1562	1562	2 with, directly or indirectly, a manufacturer that produces
1563	1563	3 more than 50,000 gallons of spirits per year. If a class 1
1564	1564	4 craft brewer manufactures wine, it shall also obtain and shall
1565	1565	5 only be eligible for, in addition to any current license, a
1566	1566	6 first-class wine-manufacturer license or a first-class
1567	1567	7 wine-maker's license, shall not manufacture more than 50,000
1568	1568	8 gallons of wine per year, and shall not be a member of or
1569	1569	9 affiliated with, directly or indirectly, a manufacturer that
1570	1570	10 produces more than 50,000 gallons of wine per year. A class 1
1571	1571	11 brewer licensee may make sales and deliveries to importing
1572	1572	12 distributors and distributors and to retail licensees in
1573	1573	13 accordance with the conditions set forth in paragraph (18) of
1574	1574	14 subsection (a) of Section 3-12 of this Act. If the State
1575	1575	15 Commission provides prior approval, a class 1 brewer may
1576	1576	16 annually transfer up to 930,000 gallons of beer manufactured
1577	1577	17 by that class 1 brewer to the premises of a licensed class 1
1578	1578	18 brewer wholly owned and operated by the same licensee.
1579	1579	19 Class 13. A class 2 brewer license, which may only be
1580	1580	20 issued to a licensed brewer or licensed non-resident dealer,
1581	1581	21 shall allow the manufacture of up to 3,720,000 gallons of beer
1582	1582	22 per year provided that the class 2 brewer licensee does not
1583	1583	23 manufacture more than a combined 3,720,000 gallons of beer per
1584	1584	24 year and is not a member of or affiliated with, directly or
1585	1585	25 indirectly, a manufacturer that produces more than 3,720,000
1586	1586	26 gallons of beer per year. If a class 2 brewer manufactures
1587	1587
1588	1588
1589	1589
1590	1590
1591	1591
1592	1592	HB2399 - 43 - LRB103 28782 RPS 55167 b
1593	1593
1594	1594
1595	1595	HB2399- 44 -LRB103 28782 RPS 55167 b HB2399 - 44 - LRB103 28782 RPS 55167 b
1596	1596	HB2399 - 44 - LRB103 28782 RPS 55167 b
1597	1597	1 spirits, it shall also obtain and shall only be eligible for,
1598	1598	2 in addition to any current license, a class 2 craft distiller
1599	1599	3 license, shall not manufacture more than 100,000 gallons of
1600	1600	4 spirits per year, and shall not be a member of or affiliated
1601	1601	5 with, directly or indirectly, a manufacturer that produces
1602	1602	6 more than 100,000 gallons of spirits per year. If a class 2
1603	1603	7 craft distiller manufactures wine, it shall also obtain and
1604	1604	8 shall only be eligible for, in addition to any current
1605	1605	9 license, a second-class wine-maker's license, shall not
1606	1606	10 manufacture more than 150,000 gallons of wine per year, and
1607	1607	11 shall not be a member of or affiliated with, directly or
1608	1608	12 indirectly, a manufacturer that produces more than 150,000
1609	1609	13 gallons of wine a year. A class 2 brewer licensee may make
1610	1610	14 sales and deliveries to importing distributors and
1611	1611	15 distributors, but shall not make sales or deliveries to any
1612	1612	16 other licensee. If the State Commission provides prior
1613	1613	17 approval, a class 2 brewer licensee may annually transfer up
1614	1614	18 to 3,720,000 gallons of beer manufactured by that class 2
1615	1615	19 brewer licensee to the premises of a licensed class 2 brewer
1616	1616	20 wholly owned and operated by the same licensee.
1617	1617	21 A class 2 brewer may transfer beer to a brew pub wholly
1618	1618	22 owned and operated by the class 2 brewer subject to the
1619	1619	23 following limitations and restrictions: (i) the transfer shall
1620	1620	24 not annually exceed more than 31,000 gallons; (ii) the annual
1621	1621	25 amount transferred shall reduce the brew pub's annual
1622	1622	26 permitted production limit; (iii) all beer transferred shall
1623	1623
1624	1624
1625	1625
1626	1626
1627	1627
1628	1628	HB2399 - 44 - LRB103 28782 RPS 55167 b
1629	1629
1630	1630
1631	1631	HB2399- 45 -LRB103 28782 RPS 55167 b HB2399 - 45 - LRB103 28782 RPS 55167 b
1632	1632	HB2399 - 45 - LRB103 28782 RPS 55167 b
1633	1633	1 be subject to Article VIII of this Act; (iv) a written record
1634	1634	2 shall be maintained by the brewer and brew pub specifying the
1635	1635	3 amount, date of delivery, and receipt of the product by the
1636	1636	4 brew pub; and (v) the brew pub shall be located no farther than
1637	1637	5 80 miles from the class 2 brewer's licensed location.
1638	1638	6 A class 2 brewer shall, prior to transferring beer to a
1639	1639	7 brew pub wholly owned by the class 2 brewer, furnish a written
1640	1640	8 notice to the State Commission of intent to transfer beer
1641	1641	9 setting forth the name and address of the brew pub and shall
1642	1642	10 annually submit to the State Commission a verified report
1643	1643	11 identifying the total gallons of beer transferred to the brew
1644	1644	12 pub wholly owned by the class 2 brewer.
1645	1645	13 Class 14. A class 3 brewer license, which may be issued to
1646	1646	14 a brewer or a non-resident dealer, shall allow the manufacture
1647	1647	15 of no more than 465,000 gallons of beer per year and no more
1648	1648	16 than 155,000 gallons at a single brewery premises, and shall
1649	1649	17 allow the sale of no more than 6,200 gallons of beer from each
1650	1650	18 in-state or out-of-state class 3 brewery premises, or 18,600
1651	1651	19 gallons in the aggregate, to retail licensees, class 1
1652	1652	20 brewers, class 2 brewers, and class 3 brewers as long as the
1653	1653	21 class 3 brewer licensee does not manufacture more than a
1654	1654	22 combined 465,000 gallons of beer per year and is not a member
1655	1655	23 of or affiliated with, directly or indirectly, a manufacturer
1656	1656	24 that produces more than 465,000 gallons of beer per year to
1657	1657	25 make sales to importing distributors, distributors, retail
1658	1658	26 licensees, brewers, class 1 brewers, class 2 brewers, and
1659	1659
1660	1660
1661	1661
1662	1662
1663	1663
1664	1664	HB2399 - 45 - LRB103 28782 RPS 55167 b
1665	1665
1666	1666
1667	1667	HB2399- 46 -LRB103 28782 RPS 55167 b HB2399 - 46 - LRB103 28782 RPS 55167 b
1668	1668	HB2399 - 46 - LRB103 28782 RPS 55167 b
1669	1669	1 class 3 brewers in accordance with the conditions set forth in
1670	1670	2 paragraph (20) of subsection (a) of Section 3-12. If the State
1671	1671	3 Commission provides prior approval, a class 3 brewer may
1672	1672	4 annually transfer up to 155,000 gallons of beer manufactured
1673	1673	5 by that class 3 brewer to the premises of a licensed class 3
1674	1674	6 brewer wholly owned and operated by the same licensee. A class
1675	1675	7 3 brewer shall manufacture beer at the brewer's class 3
1676	1676	8 designated licensed premises, and may sell beer as otherwise
1677	1677	9 provided in this Act.
1678	1678	10 (a-1) A manufacturer which is licensed in this State to
1679	1679	11 make sales or deliveries of alcoholic liquor to licensed
1680	1680	12 distributors or importing distributors and which enlists
1681	1681	13 agents, representatives, or individuals acting on its behalf
1682	1682	14 who contact licensed retailers on a regular and continual
1683	1683	15 basis in this State must register those agents,
1684	1684	16 representatives, or persons acting on its behalf with the
1685	1685	17 State Commission.
1686	1686	18 Registration of agents, representatives, or persons acting
1687	1687	19 on behalf of a manufacturer is fulfilled by submitting a form
1688	1688	20 to the Commission. The form shall be developed by the
1689	1689	21 Commission and shall include the name and address of the
1690	1690	22 applicant, the name and address of the manufacturer he or she
1691	1691	23 represents, the territory or areas assigned to sell to or
1692	1692	24 discuss pricing terms of alcoholic liquor, and any other
1693	1693	25 questions deemed appropriate and necessary. All statements in
1694	1694	26 the forms required to be made by law or by rule shall be deemed
1695	1695
1696	1696
1697	1697
1698	1698
1699	1699
1700	1700	HB2399 - 46 - LRB103 28782 RPS 55167 b
1701	1701
1702	1702
1703	1703	HB2399- 47 -LRB103 28782 RPS 55167 b HB2399 - 47 - LRB103 28782 RPS 55167 b
1704	1704	HB2399 - 47 - LRB103 28782 RPS 55167 b
1705	1705	1 material, and any person who knowingly misstates any material
1706	1706	2 fact under oath in an application is guilty of a Class B
1707	1707	3 misdemeanor. Fraud, misrepresentation, false statements,
1708	1708	4 misleading statements, evasions, or suppression of material
1709	1709	5 facts in the securing of a registration are grounds for
1710	1710	6 suspension or revocation of the registration. The State
1711	1711	7 Commission shall post a list of registered agents on the
1712	1712	8 Commission's website.
1713	1713	9 (b) A distributor's license shall allow (i) the wholesale
1714	1714	10 purchase and storage of alcoholic liquors and sale of
1715	1715	11 alcoholic liquors to licensees in this State and to persons
1716	1716	12 without the State, as may be permitted by law; (ii) the sale of
1717	1717	13 beer, cider, mead, or any combination thereof to brewers,
1718	1718	14 class 1 brewers, and class 2 brewers that, pursuant to
1719	1719	15 subsection (e) of Section 6-4 of this Act, sell beer, cider,
1720	1720	16 mead, or any combination thereof to non-licensees at their
1721	1721	17 breweries; (iii) the sale of vermouth to class 1 craft
1722	1722	18 distillers and class 2 craft distillers that, pursuant to
1723	1723	19 subsection (e) of Section 6-4 of this Act, sell spirits,
1724	1724	20 vermouth, or both spirits and vermouth to non-licensees at
1725	1725	21 their distilleries; or (iv) as otherwise provided in this Act.
1726	1726	22 No person licensed as a distributor shall be granted a
1727	1727	23 non-resident dealer's license.
1728	1728	24 (c) An importing distributor's license may be issued to
1729	1729	25 and held by those only who are duly licensed distributors,
1730	1730	26 upon the filing of an application by a duly licensed
1731	1731
1732	1732
1733	1733
1734	1734
1735	1735
1736	1736	HB2399 - 47 - LRB103 28782 RPS 55167 b
1737	1737
1738	1738
1739	1739	HB2399- 48 -LRB103 28782 RPS 55167 b HB2399 - 48 - LRB103 28782 RPS 55167 b
1740	1740	HB2399 - 48 - LRB103 28782 RPS 55167 b
1741	1741	1 distributor, with the Commission and the Commission shall,
1742	1742	2 without the payment of any fee, immediately issue such
1743	1743	3 importing distributor's license to the applicant, which shall
1744	1744	4 allow the importation of alcoholic liquor by the licensee into
1745	1745	5 this State from any point in the United States outside this
1746	1746	6 State, and the purchase of alcoholic liquor in barrels, casks
1747	1747	7 or other bulk containers and the bottling of such alcoholic
1748	1748	8 liquors before resale thereof, but all bottles or containers
1749	1749	9 so filled shall be sealed, labeled, stamped and otherwise made
1750	1750	10 to comply with all provisions, rules and regulations governing
1751	1751	11 manufacturers in the preparation and bottling of alcoholic
1752	1752	12 liquors. The importing distributor's license shall permit such
1753	1753	13 licensee to purchase alcoholic liquor from Illinois licensed
1754	1754	14 non-resident dealers and foreign importers only. No person
1755	1755	15 licensed as an importing distributor shall be granted a
1756	1756	16 non-resident dealer's license.
1757	1757	17 (d) A retailer's license shall allow the licensee to sell
1758	1758	18 and offer for sale at retail, only in the premises specified in
1759	1759	19 the license, alcoholic liquor for use or consumption, but not
1760	1760	20 for resale in any form. Except as provided in Section 6-16,
1761	1761	21 6-29, or 6-29.1, nothing in this Act shall deny, limit,
1762	1762	22 remove, or restrict the ability of a holder of a retailer's
1763	1763	23 license to transfer or ship alcoholic liquor to the purchaser
1764	1764	24 for use or consumption subject to any applicable local law or
1765	1765	25 ordinance. For the purposes of this Section, "shipping" means
1766	1766	26 the movement of alcoholic liquor from a licensed retailer to a
1767	1767
1768	1768
1769	1769
1770	1770
1771	1771
1772	1772	HB2399 - 48 - LRB103 28782 RPS 55167 b
1773	1773
1774	1774
1775	1775	HB2399- 49 -LRB103 28782 RPS 55167 b HB2399 - 49 - LRB103 28782 RPS 55167 b
1776	1776	HB2399 - 49 - LRB103 28782 RPS 55167 b
1777	1777	1 consumer via a common carrier. Except as provided in Section
1778	1778	2 6-16, 6-29, or 6-29.1, nothing in this Act shall deny, limit,
1779	1779	3 remove, or restrict the ability of a holder of a retailer's
1780	1780	4 license to deliver alcoholic liquor to the purchaser for use
1781	1781	5 or consumption. The delivery shall be made only within 12
1782	1782	6 hours from the time the alcoholic liquor leaves the licensed
1783	1783	7 premises of the retailer for delivery. For the purposes of
1784	1784	8 this Section, "delivery" means the movement of alcoholic
1785	1785	9 liquor purchased from a licensed retailer to a consumer
1786	1786	10 through the following methods:
1787	1787	11 (1) delivery within licensed retailer's parking lot,
1788	1788	12 including curbside, for pickup by the consumer;
1789	1789	13 (2) delivery by an owner, officer, director,
1790	1790	14 shareholder, or employee of the licensed retailer; or
1791	1791	15 (3) delivery by a third-party contractor, independent
1792	1792	16 contractor, or agent with whom the licensed retailer has
1793	1793	17 contracted to make deliveries of alcoholic liquors.
1794	1794	18 Under subsection (1), (2), or (3), delivery shall not
1795	1795	19 include the use of common carriers.
1796	1796	20 Any retail license issued to a manufacturer shall only
1797	1797	21 permit the manufacturer to sell beer at retail on the premises
1798	1798	22 actually occupied by the manufacturer. For the purpose of
1799	1799	23 further describing the type of business conducted at a retail
1800	1800	24 licensed premises, a retailer's licensee may be designated by
1801	1801	25 the State Commission as (i) an on premise consumption
1802	1802	26 retailer, (ii) an off premise sale retailer, or (iii) a
1803	1803
1804	1804
1805	1805
1806	1806
1807	1807
1808	1808	HB2399 - 49 - LRB103 28782 RPS 55167 b
1809	1809
1810	1810
1811	1811	HB2399- 50 -LRB103 28782 RPS 55167 b HB2399 - 50 - LRB103 28782 RPS 55167 b
1812	1812	HB2399 - 50 - LRB103 28782 RPS 55167 b
1813	1813	1 combined on premise consumption and off premise sale retailer.
1814	1814	2 Except for a municipality with a population of more than
1815	1815	3 1,000,000 inhabitants, a home rule unit may not regulate the
1816	1816	4 delivery of alcoholic liquor inconsistent with this
1817	1817	5 subsection. This paragraph is a limitation under subsection
1818	1818	6 (i) of Section 6 of Article VII of the Illinois Constitution on
1819	1819	7 the concurrent exercise by home rule units of powers and
1820	1820	8 functions exercised by the State.
1821	1821	9 Notwithstanding any other provision of this subsection
1822	1822	10 (d), a retail licensee may sell alcoholic liquors to a special
1823	1823	11 event retailer licensee for resale to the extent permitted
1824	1824	12 under subsection (e).
1825	1825	13 (e) A special event retailer's license (not-for-profit)
1826	1826	14 shall permit the licensee to purchase alcoholic liquors from
1827	1827	15 an Illinois licensed distributor (unless the licensee
1828	1828	16 purchases less than $500 of alcoholic liquors for the special
1829	1829	17 event, in which case the licensee may purchase the alcoholic
1830	1830	18 liquors from a licensed retailer) and shall allow the licensee
1831	1831	19 to sell and offer for sale, at retail, alcoholic liquors for
1832	1832	20 use or consumption, but not for resale in any form and only at
1833	1833	21 the location and on the specific dates designated for the
1834	1834	22 special event in the license. An applicant for a special event
1835	1835	23 retailer license must (i) furnish with the application: (A) a
1836	1836	24 resale number issued under Section 2c of the Retailers'
1837	1837	25 Occupation Tax Act or evidence that the applicant is
1838	1838	26 registered under Section 2a of the Retailers' Occupation Tax
1839	1839
1840	1840
1841	1841
1842	1842
1843	1843
1844	1844	HB2399 - 50 - LRB103 28782 RPS 55167 b
1845	1845
1846	1846
1847	1847	HB2399- 51 -LRB103 28782 RPS 55167 b HB2399 - 51 - LRB103 28782 RPS 55167 b
1848	1848	HB2399 - 51 - LRB103 28782 RPS 55167 b
1849	1849	1 Act, (B) a current, valid exemption identification number
1850	1850	2 issued under Section 1g of the Retailers' Occupation Tax Act,
1851	1851	3 and a certification to the Commission that the purchase of
1852	1852	4 alcoholic liquors will be a tax-exempt purchase, or (C) a
1853	1853	5 statement that the applicant is not registered under Section
1854	1854	6 2a of the Retailers' Occupation Tax Act, does not hold a resale
1855	1855	7 number under Section 2c of the Retailers' Occupation Tax Act,
1856	1856	8 and does not hold an exemption number under Section 1g of the
1857	1857	9 Retailers' Occupation Tax Act, in which event the Commission
1858	1858	10 shall set forth on the special event retailer's license a
1859	1859	11 statement to that effect; (ii) submit with the application
1860	1860	12 proof satisfactory to the State Commission that the applicant
1861	1861	13 will provide dram shop liability insurance in the maximum
1862	1862	14 limits; and (iii) show proof satisfactory to the State
1863	1863	15 Commission that the applicant has obtained local authority
1864	1864	16 approval.
1865	1865	17 Nothing in this Act prohibits an Illinois licensed
1866	1866	18 distributor from offering credit or a refund for unused,
1867	1867	19 salable alcoholic liquors to a holder of a special event
1868	1868	20 retailer's license or the special event retailer's licensee
1869	1869	21 from accepting the credit or refund of alcoholic liquors at
1870	1870	22 the conclusion of the event specified in the license.
1871	1871	23 (f) A railroad license shall permit the licensee to import
1872	1872	24 alcoholic liquors into this State from any point in the United
1873	1873	25 States outside this State and to store such alcoholic liquors
1874	1874	26 in this State; to make wholesale purchases of alcoholic
1875	1875
1876	1876
1877	1877
1878	1878
1879	1879
1880	1880	HB2399 - 51 - LRB103 28782 RPS 55167 b
1881	1881
1882	1882
1883	1883	HB2399- 52 -LRB103 28782 RPS 55167 b HB2399 - 52 - LRB103 28782 RPS 55167 b
1884	1884	HB2399 - 52 - LRB103 28782 RPS 55167 b
1885	1885	1 liquors directly from manufacturers, foreign importers,
1886	1886	2 distributors and importing distributors from within or outside
1887	1887	3 this State; and to store such alcoholic liquors in this State;
1888	1888	4 provided that the above powers may be exercised only in
1889	1889	5 connection with the importation, purchase or storage of
1890	1890	6 alcoholic liquors to be sold or dispensed on a club, buffet,
1891	1891	7 lounge or dining car operated on an electric, gas or steam
1892	1892	8 railway in this State; and provided further, that railroad
1893	1893	9 licensees exercising the above powers shall be subject to all
1894	1894	10 provisions of Article VIII of this Act as applied to importing
1895	1895	11 distributors. A railroad license shall also permit the
1896	1896	12 licensee to sell or dispense alcoholic liquors on any club,
1897	1897	13 buffet, lounge or dining car operated on an electric, gas or
1898	1898	14 steam railway regularly operated by a common carrier in this
1899	1899	15 State, but shall not permit the sale for resale of any
1900	1900	16 alcoholic liquors to any licensee within this State. A license
1901	1901	17 shall be obtained for each car in which such sales are made.
1902	1902	18 (g) A boat license shall allow the sale of alcoholic
1903	1903	19 liquor in individual drinks, on any passenger boat regularly
1904	1904	20 operated as a common carrier on navigable waters in this State
1905	1905	21 or on any riverboat operated under the Illinois Gambling Act,
1906	1906	22 which boat or riverboat maintains a public dining room or
1907	1907	23 restaurant thereon.
1908	1908	24 (h) A non-beverage user's license shall allow the licensee
1909	1909	25 to purchase alcoholic liquor from a licensed manufacturer or
1910	1910	26 importing distributor, without the imposition of any tax upon
1911	1911
1912	1912
1913	1913
1914	1914
1915	1915
1916	1916	HB2399 - 52 - LRB103 28782 RPS 55167 b
1917	1917
1918	1918
1919	1919	HB2399- 53 -LRB103 28782 RPS 55167 b HB2399 - 53 - LRB103 28782 RPS 55167 b
1920	1920	HB2399 - 53 - LRB103 28782 RPS 55167 b
1921	1921	1 the business of such licensed manufacturer or importing
1922	1922	2 distributor as to such alcoholic liquor to be used by such
1923	1923	3 licensee solely for the non-beverage purposes set forth in
1924	1924	4 subsection (a) of Section 8-1 of this Act, and such licenses
1925	1925	5 shall be divided and classified and shall permit the purchase,
1926	1926	6 possession and use of limited and stated quantities of
1927	1927	7 alcoholic liquor as follows:
1928	1928	8 Class 1, not to exceed ......................... 500 gallons
1929	1929	9 Class 2, not to exceed ....................... 1,000 gallons
1930	1930	10 Class 3, not to exceed ....................... 5,000 gallons
1931	1931	11 Class 4, not to exceed ...................... 10,000 gallons
1932	1932	12 Class 5, not to exceed ....................... 50,000 gallons
1933	1933	13 (i) A wine-maker's premises license shall allow a licensee
1934	1934	14 that concurrently holds a first-class wine-maker's license to
1935	1935	15 sell and offer for sale at retail in the premises specified in
1936	1936	16 such license not more than 50,000 gallons of the first-class
1937	1937	17 wine-maker's wine that is made at the first-class wine-maker's
1938	1938	18 licensed premises per year for use or consumption, but not for
1939	1939	19 resale in any form. A wine-maker's premises license shall
1940	1940	20 allow a licensee who concurrently holds a second-class
1941	1941	21 wine-maker's license to sell and offer for sale at retail in
1942	1942	22 the premises specified in such license up to 100,000 gallons
1943	1943	23 of the second-class wine-maker's wine that is made at the
1944	1944	24 second-class wine-maker's licensed premises per year for use
1945	1945	25 or consumption but not for resale in any form. A first-class
1946	1946	26 wine-maker that concurrently holds a class 1 brewer license or
1947	1947
1948	1948
1949	1949
1950	1950
1951	1951
1952	1952	HB2399 - 53 - LRB103 28782 RPS 55167 b
1953	1953
1954	1954
1955	1955	HB2399- 54 -LRB103 28782 RPS 55167 b HB2399 - 54 - LRB103 28782 RPS 55167 b
1956	1956	HB2399 - 54 - LRB103 28782 RPS 55167 b
1957	1957	1 a class 1 craft distiller license shall not be eligible to hold
1958	1958	2 a wine-maker's premises license. A wine-maker's premises
1959	1959	3 license shall allow a licensee that concurrently holds a
1960	1960	4 first-class wine-maker's license or a second-class
1961	1961	5 wine-maker's license to sell and offer for sale at retail at
1962	1962	6 the premises specified in the wine-maker's premises license,
1963	1963	7 for use or consumption but not for resale in any form, any
1964	1964	8 beer, wine, and spirits purchased from a licensed distributor.
1965	1965	9 Upon approval from the State Commission, a wine-maker's
1966	1966	10 premises license shall allow the licensee to sell and offer
1967	1967	11 for sale at (i) the wine-maker's licensed premises and (ii) at
1968	1968	12 up to 2 additional locations for use and consumption and not
1969	1969	13 for resale. Each location shall require additional licensing
1970	1970	14 per location as specified in Section 5-3 of this Act. A
1971	1971	15 wine-maker's premises licensee shall secure liquor liability
1972	1972	16 insurance coverage in an amount at least equal to the maximum
1973	1973	17 liability amounts set forth in subsection (a) of Section 6-21
1974	1974	18 of this Act.
1975	1975	19 (j) An airplane license shall permit the licensee to
1976	1976	20 import alcoholic liquors into this State from any point in the
1977	1977	21 United States outside this State and to store such alcoholic
1978	1978	22 liquors in this State; to make wholesale purchases of
1979	1979	23 alcoholic liquors directly from manufacturers, foreign
1980	1980	24 importers, distributors and importing distributors from within
1981	1981	25 or outside this State; and to store such alcoholic liquors in
1982	1982	26 this State; provided that the above powers may be exercised
1983	1983
1984	1984
1985	1985
1986	1986
1987	1987
1988	1988	HB2399 - 54 - LRB103 28782 RPS 55167 b
1989	1989
1990	1990
1991	1991	HB2399- 55 -LRB103 28782 RPS 55167 b HB2399 - 55 - LRB103 28782 RPS 55167 b
1992	1992	HB2399 - 55 - LRB103 28782 RPS 55167 b
1993	1993	1 only in connection with the importation, purchase or storage
1994	1994	2 of alcoholic liquors to be sold or dispensed on an airplane;
1995	1995	3 and provided further, that airplane licensees exercising the
1996	1996	4 above powers shall be subject to all provisions of Article
1997	1997	5 VIII of this Act as applied to importing distributors. An
1998	1998	6 airplane licensee shall also permit the sale or dispensing of
1999	1999	7 alcoholic liquors on any passenger airplane regularly operated
2000	2000	8 by a common carrier in this State, but shall not permit the
2001	2001	9 sale for resale of any alcoholic liquors to any licensee
2002	2002	10 within this State. A single airplane license shall be required
2003	2003	11 of an airline company if liquor service is provided on board
2004	2004	12 aircraft in this State. The annual fee for such license shall
2005	2005	13 be as determined in Section 5-3.
2006	2006	14 (k) A foreign importer's license shall permit such
2007	2007	15 licensee to purchase alcoholic liquor from Illinois licensed
2008	2008	16 non-resident dealers only, and to import alcoholic liquor
2009	2009	17 other than in bulk from any point outside the United States and
2010	2010	18 to sell such alcoholic liquor to Illinois licensed importing
2011	2011	19 distributors and to no one else in Illinois; provided that (i)
2012	2012	20 the foreign importer registers with the State Commission every
2013	2013	21 brand of alcoholic liquor that it proposes to sell to Illinois
2014	2014	22 licensees during the license period, (ii) the foreign importer
2015	2015	23 complies with all of the provisions of Section 6-9 of this Act
2016	2016	24 with respect to registration of such Illinois licensees as may
2017	2017	25 be granted the right to sell such brands at wholesale, and
2018	2018	26 (iii) the foreign importer complies with the provisions of
2019	2019
2020	2020
2021	2021
2022	2022
2023	2023
2024	2024	HB2399 - 55 - LRB103 28782 RPS 55167 b
2025	2025
2026	2026
2027	2027	HB2399- 56 -LRB103 28782 RPS 55167 b HB2399 - 56 - LRB103 28782 RPS 55167 b
2028	2028	HB2399 - 56 - LRB103 28782 RPS 55167 b
2029	2029	1 Sections 6-5 and 6-6 of this Act to the same extent that these
2030	2030	2 provisions apply to manufacturers.
2031	2031	3 (l) (i) A broker's license shall be required of all
2032	2032	4 persons who solicit orders for, offer to sell or offer to
2033	2033	5 supply alcoholic liquor to retailers in the State of Illinois,
2034	2034	6 or who offer to retailers to ship or cause to be shipped or to
2035	2035	7 make contact with distillers, craft distillers, rectifiers,
2036	2036	8 brewers or manufacturers or any other party within or without
2037	2037	9 the State of Illinois in order that alcoholic liquors be
2038	2038	10 shipped to a distributor, importing distributor or foreign
2039	2039	11 importer, whether such solicitation or offer is consummated
2040	2040	12 within or without the State of Illinois.
2041	2041	13 No holder of a retailer's license issued by the Illinois
2042	2042	14 Liquor Control Commission shall purchase or receive any
2043	2043	15 alcoholic liquor, the order for which was solicited or offered
2044	2044	16 for sale to such retailer by a broker unless the broker is the
2045	2045	17 holder of a valid broker's license.
2046	2046	18 The broker shall, upon the acceptance by a retailer of the
2047	2047	19 broker's solicitation of an order or offer to sell or supply or
2048	2048	20 deliver or have delivered alcoholic liquors, promptly forward
2049	2049	21 to the Illinois Liquor Control Commission a notification of
2050	2050	22 said transaction in such form as the Commission may by
2051	2051	23 regulations prescribe.
2052	2052	24 (ii) A broker's license shall be required of a person
2053	2053	25 within this State, other than a retail licensee, who, for a fee
2054	2054	26 or commission, promotes, solicits, or accepts orders for
2055	2055
2056	2056
2057	2057
2058	2058
2059	2059
2060	2060	HB2399 - 56 - LRB103 28782 RPS 55167 b
2061	2061
2062	2062
2063	2063	HB2399- 57 -LRB103 28782 RPS 55167 b HB2399 - 57 - LRB103 28782 RPS 55167 b
2064	2064	HB2399 - 57 - LRB103 28782 RPS 55167 b
2065	2065	1 alcoholic liquor, for use or consumption and not for resale,
2066	2066	2 to be shipped from this State and delivered to residents
2067	2067	3 outside of this State by an express company, common carrier,
2068	2068	4 or contract carrier. This Section does not apply to any person
2069	2069	5 who promotes, solicits, or accepts orders for wine as
2070	2070	6 specifically authorized in Section 6-29 of this Act.
2071	2071	7 A broker's license under this subsection (l) shall not
2072	2072	8 entitle the holder to buy or sell any alcoholic liquors for his
2073	2073	9 own account or to take or deliver title to such alcoholic
2074	2074	10 liquors.
2075	2075	11 This subsection (l) shall not apply to distributors,
2076	2076	12 employees of distributors, or employees of a manufacturer who
2077	2077	13 has registered the trademark, brand or name of the alcoholic
2078	2078	14 liquor pursuant to Section 6-9 of this Act, and who regularly
2079	2079	15 sells such alcoholic liquor in the State of Illinois only to
2080	2080	16 its registrants thereunder.
2081	2081	17 Any agent, representative, or person subject to
2082	2082	18 registration pursuant to subsection (a-1) of this Section
2083	2083	19 shall not be eligible to receive a broker's license.
2084	2084	20 (m) A non-resident dealer's license shall permit such
2085	2085	21 licensee to ship into and warehouse alcoholic liquor into this
2086	2086	22 State from any point outside of this State, and to sell such
2087	2087	23 alcoholic liquor to Illinois licensed foreign importers and
2088	2088	24 importing distributors and to no one else in this State;
2089	2089	25 provided that (i) said non-resident dealer shall register with
2090	2090	26 the Illinois Liquor Control Commission each and every brand of
2091	2091
2092	2092
2093	2093
2094	2094
2095	2095
2096	2096	HB2399 - 57 - LRB103 28782 RPS 55167 b
2097	2097
2098	2098
2099	2099	HB2399- 58 -LRB103 28782 RPS 55167 b HB2399 - 58 - LRB103 28782 RPS 55167 b
2100	2100	HB2399 - 58 - LRB103 28782 RPS 55167 b
2101	2101	1 alcoholic liquor which it proposes to sell to Illinois
2102	2102	2 licensees during the license period, (ii) it shall comply with
2103	2103	3 all of the provisions of Section 6-9 hereof with respect to
2104	2104	4 registration of such Illinois licensees as may be granted the
2105	2105	5 right to sell such brands at wholesale by duly filing such
2106	2106	6 registration statement, thereby authorizing the non-resident
2107	2107	7 dealer to proceed to sell such brands at wholesale, and (iii)
2108	2108	8 the non-resident dealer shall comply with the provisions of
2109	2109	9 Sections 6-5 and 6-6 of this Act to the same extent that these
2110	2110	10 provisions apply to manufacturers. No person licensed as a
2111	2111	11 non-resident dealer shall be granted a distributor's or
2112	2112	12 importing distributor's license.
2113	2113	13 (n) A brew pub license shall allow the licensee to only (i)
2114	2114	14 manufacture up to 155,000 gallons of beer per year only on the
2115	2115	15 premises specified in the license, (ii) make sales of the beer
2116	2116	16 manufactured on the premises or, with the approval of the
2117	2117	17 Commission, beer manufactured on another brew pub licensed
2118	2118	18 premises that is wholly owned and operated by the same
2119	2119	19 licensee to importing distributors, distributors, and to
2120	2120	20 non-licensees for use and consumption, (iii) store the beer
2121	2121	21 upon the premises, (iv) sell and offer for sale at retail from
2122	2122	22 the licensed premises for off-premises consumption no more
2123	2123	23 than 155,000 gallons per year so long as such sales are only
2124	2124	24 made in-person, (v) sell and offer for sale at retail for use
2125	2125	25 and consumption on the premises specified in the license any
2126	2126	26 form of alcoholic liquor purchased from a licensed distributor
2127	2127
2128	2128
2129	2129
2130	2130
2131	2131
2132	2132	HB2399 - 58 - LRB103 28782 RPS 55167 b
2133	2133
2134	2134
2135	2135	HB2399- 59 -LRB103 28782 RPS 55167 b HB2399 - 59 - LRB103 28782 RPS 55167 b
2136	2136	HB2399 - 59 - LRB103 28782 RPS 55167 b
2137	2137	1 or importing distributor, (vi) with the prior approval of the
2138	2138	2 Commission, annually transfer no more than 155,000 gallons of
2139	2139	3 beer manufactured on the premises to a licensed brew pub
2140	2140	4 wholly owned and operated by the same licensee, and (vii)
2141	2141	5 notwithstanding item (i) of this subsection, brew pubs wholly
2142	2142	6 owned and operated by the same licensee may combine each
2143	2143	7 location's production limit of 155,000 gallons of beer per
2144	2144	8 year and allocate the aggregate total between the wholly
2145	2145	9 owned, operated, and licensed locations.
2146	2146	10 A brew pub licensee shall not under any circumstance sell
2147	2147	11 or offer for sale beer manufactured by the brew pub licensee to
2148	2148	12 retail licensees.
2149	2149	13 A person who holds a class 2 brewer license may
2150	2150	14 simultaneously hold a brew pub license if the class 2 brewer
2151	2151	15 (i) does not, under any circumstance, sell or offer for sale
2152	2152	16 beer manufactured by the class 2 brewer to retail licensees;
2153	2153	17 (ii) does not hold more than 3 brew pub licenses in this State;
2154	2154	18 (iii) does not manufacture more than a combined 3,720,000
2155	2155	19 gallons of beer per year, including the beer manufactured at
2156	2156	20 the brew pub; and (iv) is not a member of or affiliated with,
2157	2157	21 directly or indirectly, a manufacturer that produces more than
2158	2158	22 3,720,000 gallons of beer per year or any other alcoholic
2159	2159	23 liquor.
2160	2160	24 Notwithstanding any other provision of this Act, a
2161	2161	25 licensed brewer, class 2 brewer, or non-resident dealer who
2162	2162	26 before July 1, 2015 manufactured less than 3,720,000 gallons
2163	2163
2164	2164
2165	2165
2166	2166
2167	2167
2168	2168	HB2399 - 59 - LRB103 28782 RPS 55167 b
2169	2169
2170	2170
2171	2171	HB2399- 60 -LRB103 28782 RPS 55167 b HB2399 - 60 - LRB103 28782 RPS 55167 b
2172	2172	HB2399 - 60 - LRB103 28782 RPS 55167 b
2173	2173	1 of beer per year and held a brew pub license on or before July
2174	2174	2 1, 2015 may (i) continue to qualify for and hold that brew pub
2175	2175	3 license for the licensed premises and (ii) manufacture more
2176	2176	4 than 3,720,000 gallons of beer per year and continue to
2177	2177	5 qualify for and hold that brew pub license if that brewer,
2178	2178	6 class 2 brewer, or non-resident dealer does not simultaneously
2179	2179	7 hold a class 1 brewer license and is not a member of or
2180	2180	8 affiliated with, directly or indirectly, a manufacturer that
2181	2181	9 produces more than 3,720,000 gallons of beer per year or that
2182	2182	10 produces any other alcoholic liquor.
2183	2183	11 A brew pub licensee may apply for a class 3 brewer license
2184	2184	12 and, upon: (i) meeting all applicable qualifications of this
2185	2185	13 Act, and relinquishing all commonly owned brew pub or retail
2186	2186	14 licenses, shall be issued a class 3 brewer license. Nothing in
2187	2187	15 this Act shall prohibit the issuance of a class 3 brewer
2188	2188	16 license if the applicant:
2189	2189	17 (1) has a valid retail license on or before May 1,
2190	2190	18 2021;
2191	2191	19 (2) has an ownership interest in at least two brew
2192	2192	20 pubs licenses on or before May 1, 2021;
2193	2193	21 (3) the brew pub licensee applies for a class 3 brewer
2194	2194	22 license on or before October 1, 2022 and relinquishes all
2195	2195	23 commonly owned brew pub licenses; and
2196	2196	24 (4) relinquishes all commonly owned retail licenses on
2197	2197	25 or before December 31, 2022.
2198	2198	26 If a brew pub licensee is issued a class 3 brewer license,
2199	2199
2200	2200
2201	2201
2202	2202
2203	2203
2204	2204	HB2399 - 60 - LRB103 28782 RPS 55167 b
2205	2205
2206	2206
2207	2207	HB2399- 61 -LRB103 28782 RPS 55167 b HB2399 - 61 - LRB103 28782 RPS 55167 b
2208	2208	HB2399 - 61 - LRB103 28782 RPS 55167 b
2209	2209	1 the class 3 brewer license shall expire on the same date as the
2210	2210	2 existing brew pub license and the State Commission shall not
2211	2211	3 require a class 3 brewer licensee to obtain a brewer license,
2212	2212	4 or in the alternative to pay a fee for a brewer license, until
2213	2213	5 the date the brew pub license of the applicant would have
2214	2214	6 expired.
2215	2215	7 (o) A caterer retailer license shall allow the holder to
2216	2216	8 serve alcoholic liquors as an incidental part of a food
2217	2217	9 service that serves prepared meals which excludes the serving
2218	2218	10 of snacks as the primary meal, either on or off-site whether
2219	2219	11 licensed or unlicensed. A caterer retailer license shall allow
2220	2220	12 the holder, a distributor, or an importing distributor to
2221	2221	13 transfer any inventory to and from the holder's retail
2222	2222	14 premises and shall allow the holder to purchase alcoholic
2223	2223	15 liquor from a distributor or importing distributor to be
2224	2224	16 delivered directly to an off-site event.
2225	2225	17 Nothing in this Act prohibits a distributor or importing
2226	2226	18 distributor from offering credit or a refund for unused,
2227	2227	19 salable beer to a holder of a caterer retailer license or a
2228	2228	20 caterer retailer licensee from accepting a credit or refund
2229	2229	21 for unused, salable beer, in the event an act of God is the
2230	2230	22 sole reason an off-site event is cancelled and if: (i) the
2231	2231	23 holder of a caterer retailer license has not transferred
2232	2232	24 alcoholic liquor from its caterer retailer premises to an
2233	2233	25 off-site location; (ii) the distributor or importing
2234	2234	26 distributor offers the credit or refund for the unused,
2235	2235
2236	2236
2237	2237
2238	2238
2239	2239
2240	2240	HB2399 - 61 - LRB103 28782 RPS 55167 b
2241	2241
2242	2242
2243	2243	HB2399- 62 -LRB103 28782 RPS 55167 b HB2399 - 62 - LRB103 28782 RPS 55167 b
2244	2244	HB2399 - 62 - LRB103 28782 RPS 55167 b
2245	2245	1 salable beer that it delivered to the off-site premises and
2246	2246	2 not for any unused, salable beer that the distributor or
2247	2247	3 importing distributor delivered to the caterer retailer's
2248	2248	4 premises; and (iii) the unused, salable beer would likely
2249	2249	5 spoil if transferred to the caterer retailer's premises. A
2250	2250	6 caterer retailer license shall allow the holder to transfer
2251	2251	7 any inventory from any off-site location to its caterer
2252	2252	8 retailer premises at the conclusion of an off-site event or
2253	2253	9 engage a distributor or importing distributor to transfer any
2254	2254	10 inventory from any off-site location to its caterer retailer
2255	2255	11 premises at the conclusion of an off-site event, provided that
2256	2256	12 the distributor or importing distributor issues bona fide
2257	2257	13 charges to the caterer retailer licensee for fuel, labor, and
2258	2258	14 delivery and the distributor or importing distributor collects
2259	2259	15 payment from the caterer retailer licensee prior to the
2260	2260	16 distributor or importing distributor transferring inventory to
2261	2261	17 the caterer retailer premises.
2262	2262	18 For purposes of this subsection (o), an "act of God" means
2263	2263	19 an unforeseeable event, such as a rain or snow storm, hail, a
2264	2264	20 flood, or a similar event, that is the sole cause of the
2265	2265	21 cancellation of an off-site, outdoor event.
2266	2266	22 (p) An auction liquor license shall allow the licensee to
2267	2267	23 sell and offer for sale at auction wine and spirits for use or
2268	2268	24 consumption, or for resale by an Illinois liquor licensee in
2269	2269	25 accordance with provisions of this Act. An auction liquor
2270	2270	26 license will be issued to a person and it will permit the
2271	2271
2272	2272
2273	2273
2274	2274
2275	2275
2276	2276	HB2399 - 62 - LRB103 28782 RPS 55167 b
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2279	2279	HB2399- 63 -LRB103 28782 RPS 55167 b HB2399 - 63 - LRB103 28782 RPS 55167 b
2280	2280	HB2399 - 63 - LRB103 28782 RPS 55167 b
2281	2281	1 auction liquor licensee to hold the auction anywhere in the
2282	2282	2 State. An auction liquor license must be obtained for each
2283	2283	3 auction at least 14 days in advance of the auction date.
2284	2284	4 (q) A special use permit license shall allow an Illinois
2285	2285	5 licensed retailer to transfer a portion of its alcoholic
2286	2286	6 liquor inventory from its retail licensed premises to the
2287	2287	7 premises specified in the license hereby created; to purchase
2288	2288	8 alcoholic liquor from a distributor or importing distributor
2289	2289	9 to be delivered directly to the location specified in the
2290	2290	10 license hereby created; and to sell or offer for sale at
2291	2291	11 retail, only in the premises specified in the license hereby
2292	2292	12 created, the transferred or delivered alcoholic liquor for use
2293	2293	13 or consumption, but not for resale in any form. A special use
2294	2294	14 permit license may be granted for the following time periods:
2295	2295	15 one day or less; 2 or more days to a maximum of 15 days per
2296	2296	16 location in any 12-month period. An applicant for the special
2297	2297	17 use permit license must also submit with the application proof
2298	2298	18 satisfactory to the State Commission that the applicant will
2299	2299	19 provide dram shop liability insurance to the maximum limits
2300	2300	20 and have local authority approval.
2301	2301	21 A special use permit license shall allow the holder to
2302	2302	22 transfer any inventory from the holder's special use premises
2303	2303	23 to its retail premises at the conclusion of the special use
2304	2304	24 event or engage a distributor or importing distributor to
2305	2305	25 transfer any inventory from the holder's special use premises
2306	2306	26 to its retail premises at the conclusion of an off-site event,
2307	2307
2308	2308
2309	2309
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2311	2311
2312	2312	HB2399 - 63 - LRB103 28782 RPS 55167 b
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2315	2315	HB2399- 64 -LRB103 28782 RPS 55167 b HB2399 - 64 - LRB103 28782 RPS 55167 b
2316	2316	HB2399 - 64 - LRB103 28782 RPS 55167 b
2317	2317	1 provided that the distributor or importing distributor issues
2318	2318	2 bona fide charges to the special use permit licensee for fuel,
2319	2319	3 labor, and delivery and the distributor or importing
2320	2320	4 distributor collects payment from the retail licensee prior to
2321	2321	5 the distributor or importing distributor transferring
2322	2322	6 inventory to the retail premises.
2323	2323	7 Nothing in this Act prohibits a distributor or importing
2324	2324	8 distributor from offering credit or a refund for unused,
2325	2325	9 salable beer to a special use permit licensee or a special use
2326	2326	10 permit licensee from accepting a credit or refund for unused,
2327	2327	11 salable beer at the conclusion of the event specified in the
2328	2328	12 license if: (i) the holder of the special use permit license
2329	2329	13 has not transferred alcoholic liquor from its retail licensed
2330	2330	14 premises to the premises specified in the special use permit
2331	2331	15 license; (ii) the distributor or importing distributor offers
2332	2332	16 the credit or refund for the unused, salable beer that it
2333	2333	17 delivered to the premises specified in the special use permit
2334	2334	18 license and not for any unused, salable beer that the
2335	2335	19 distributor or importing distributor delivered to the
2336	2336	20 retailer's premises; and (iii) the unused, salable beer would
2337	2337	21 likely spoil if transferred to the retailer premises.
2338	2338	22 (r) A winery shipper's license shall allow a person with a
2339	2339	23 first-class or second-class wine manufacturer's license, a
2340	2340	24 first-class or second-class wine-maker's license, or a limited
2341	2341	25 wine manufacturer's license or who is licensed to make wine
2342	2342	26 under the laws of another state to ship wine made by that
2343	2343
2344	2344
2345	2345
2346	2346
2347	2347
2348	2348	HB2399 - 64 - LRB103 28782 RPS 55167 b
2349	2349
2350	2350
2351	2351	HB2399- 65 -LRB103 28782 RPS 55167 b HB2399 - 65 - LRB103 28782 RPS 55167 b
2352	2352	HB2399 - 65 - LRB103 28782 RPS 55167 b
2353	2353	1 licensee directly to a resident of this State who is 21 years
2354	2354	2 of age or older for that resident's personal use and not for
2355	2355	3 resale. Prior to receiving a winery shipper's license, an
2356	2356	4 applicant for the license must provide the Commission with a
2357	2357	5 true copy of its current license in any state in which it is
2358	2358	6 licensed as a manufacturer of wine. An applicant for a winery
2359	2359	7 shipper's license must also complete an application form that
2360	2360	8 provides any other information the Commission deems necessary.
2361	2361	9 The application form shall include all addresses from which
2362	2362	10 the applicant for a winery shipper's license intends to ship
2363	2363	11 wine, including the name and address of any third party,
2364	2364	12 except for a common carrier, authorized to ship wine on behalf
2365	2365	13 of the manufacturer. The application form shall include an
2366	2366	14 acknowledgement consenting to the jurisdiction of the
2367	2367	15 Commission, the Illinois Department of Revenue, and the courts
2368	2368	16 of this State concerning the enforcement of this Act and any
2369	2369	17 related laws, rules, and regulations, including authorizing
2370	2370	18 the Department of Revenue and the Commission to conduct audits
2371	2371	19 for the purpose of ensuring compliance with Public Act 95-634,
2372	2372	20 and an acknowledgement that the wine manufacturer is in
2373	2373	21 compliance with Section 6-2 of this Act. Any third party,
2374	2374	22 except for a common carrier, authorized to ship wine on behalf
2375	2375	23 of a first-class or second-class wine manufacturer's licensee,
2376	2376	24 a first-class or second-class wine-maker's licensee, a limited
2377	2377	25 wine manufacturer's licensee, or a person who is licensed to
2378	2378	26 make wine under the laws of another state shall also be
2379	2379
2380	2380
2381	2381
2382	2382
2383	2383
2384	2384	HB2399 - 65 - LRB103 28782 RPS 55167 b
2385	2385
2386	2386
2387	2387	HB2399- 66 -LRB103 28782 RPS 55167 b HB2399 - 66 - LRB103 28782 RPS 55167 b
2388	2388	HB2399 - 66 - LRB103 28782 RPS 55167 b
2389	2389	1 disclosed by the winery shipper's licensee, and a copy of the
2390	2390	2 written appointment of the third-party wine provider, except
2391	2391	3 for a common carrier, to the wine manufacturer shall be filed
2392	2392	4 with the State Commission as a supplement to the winery
2393	2393	5 shipper's license application or any renewal thereof. The
2394	2394	6 winery shipper's license holder shall affirm under penalty of
2395	2395	7 perjury, as part of the winery shipper's license application
2396	2396	8 or renewal, that he or she only ships wine, either directly or
2397	2397	9 indirectly through a third-party provider registered under
2398	2398	10 Section 5-8, from the licensee's own production. A third-party
2399	2399	11 provider's shipment of wine on behalf of a winery shipper must
2400	2400	12 comply with Section 5-8.
2401	2401	13 Except for a common carrier, a third-party provider
2402	2402	14 shipping wine on behalf of a winery shipper's license holder
2403	2403	15 is the agent of the winery shipper's license holder and, as
2404	2404	16 such, a winery shipper's license holder is responsible for the
2405	2405	17 acts and omissions of the third-party provider acting on
2406	2406	18 behalf of the license holder. A winery shipper's use of the
2407	2407	19 services of a third-party provider does not relieve the winery
2408	2408	20 shipper of any obligation under this Act or any rule adopted
2409	2409	21 under this Act. A third-party provider, except for a common
2410	2410	22 carrier, that engages in shipping wine into Illinois must
2411	2411	23 comply with Section 5-8 and on behalf of a winery shipper's
2412	2412	24 license holder shall consent to the jurisdiction of the State
2413	2413	25 Commission and the State. Any third-party, except for a common
2414	2414	26 carrier, holding such an appointment shall, by February 1 of
2415	2415
2416	2416
2417	2417
2418	2418
2419	2419
2420	2420	HB2399 - 66 - LRB103 28782 RPS 55167 b
2421	2421
2422	2422
2423	2423	HB2399- 67 -LRB103 28782 RPS 55167 b HB2399 - 67 - LRB103 28782 RPS 55167 b
2424	2424	HB2399 - 67 - LRB103 28782 RPS 55167 b
2425	2425	1 each calendar year and upon request by the State Commission or
2426	2426	2 the Department of Revenue, file with the State Commission a
2427	2427	3 statement detailing each shipment made to an Illinois
2428	2428	4 resident. The statement shall include the name and address of
2429	2429	5 the third-party provider filing the statement, the time period
2430	2430	6 covered by the statement, and the following information:
2431	2431	7 (1) the name, address, and license number of the
2432	2432	8 winery shipper on whose behalf the shipment was made;
2433	2433	9 (2) the quantity of the products delivered; and
2434	2434	10 (3) the date and address of the shipment.
2435	2435	11 If the Department of Revenue or the State Commission requests
2436	2436	12 a statement under this paragraph, the third-party provider
2437	2437	13 must provide that statement no later than 30 days after the
2438	2438	14 request is made. Any books, records, supporting papers, and
2439	2439	15 documents containing information and data relating to a
2440	2440	16 statement under this paragraph shall be kept and preserved for
2441	2441	17 a period of 3 years, unless their destruction sooner is
2442	2442	18 authorized, in writing, by the Director of Revenue, and shall
2443	2443	19 be open and available to inspection by the Director of Revenue
2444	2444	20 or the State Commission or any duly authorized officer, agent,
2445	2445	21 or employee of the State Commission or the Department of
2446	2446	22 Revenue, at all times during business hours of the day. Any
2447	2447	23 person who violates any provision of this paragraph or any
2448	2448	24 rule of the State Commission for the administration and
2449	2449	25 enforcement of the provisions of this paragraph is guilty of a
2450	2450	26 Class C misdemeanor. In case of a continuing violation, each
2451	2451
2452	2452
2453	2453
2454	2454
2455	2455
2456	2456	HB2399 - 67 - LRB103 28782 RPS 55167 b
2457	2457
2458	2458
2459	2459	HB2399- 68 -LRB103 28782 RPS 55167 b HB2399 - 68 - LRB103 28782 RPS 55167 b
2460	2460	HB2399 - 68 - LRB103 28782 RPS 55167 b
2461	2461	1 day's continuance thereof shall be a separate and distinct
2462	2462	2 offense.
2463	2463	3 The State Commission shall adopt rules as soon as
2464	2464	4 practicable to implement the requirements of Public Act 99-904
2465	2465	5 and shall adopt rules prohibiting any such third-party
2466	2466	6 appointment of a third-party provider, except for a common
2467	2467	7 carrier, that has been deemed by the State Commission to have
2468	2468	8 violated the provisions of this Act with regard to any winery
2469	2469	9 shipper licensee.
2470	2470	10 A winery shipper licensee must pay to the Department of
2471	2471	11 Revenue the State liquor gallonage tax under Section 8-1 for
2472	2472	12 all wine that is sold by the licensee and shipped to a person
2473	2473	13 in this State. For the purposes of Section 8-1, a winery
2474	2474	14 shipper licensee shall be taxed in the same manner as a
2475	2475	15 manufacturer of wine. A licensee who is not otherwise required
2476	2476	16 to register under the Retailers' Occupation Tax Act must
2477	2477	17 register under the Use Tax Act to collect and remit use tax to
2478	2478	18 the Department of Revenue for all gallons of wine that are sold
2479	2479	19 by the licensee and shipped to persons in this State. If a
2480	2480	20 licensee fails to remit the tax imposed under this Act in
2481	2481	21 accordance with the provisions of Article VIII of this Act,
2482	2482	22 the winery shipper's license shall be revoked in accordance
2483	2483	23 with the provisions of Article VII of this Act. If a licensee
2484	2484	24 fails to properly register and remit tax under the Use Tax Act
2485	2485	25 or the Retailers' Occupation Tax Act for all wine that is sold
2486	2486	26 by the winery shipper and shipped to persons in this State, the
2487	2487
2488	2488
2489	2489
2490	2490
2491	2491
2492	2492	HB2399 - 68 - LRB103 28782 RPS 55167 b
2493	2493
2494	2494
2495	2495	HB2399- 69 -LRB103 28782 RPS 55167 b HB2399 - 69 - LRB103 28782 RPS 55167 b
2496	2496	HB2399 - 69 - LRB103 28782 RPS 55167 b
2497	2497	1 winery shipper's license shall be revoked in accordance with
2498	2498	2 the provisions of Article VII of this Act.
2499	2499	3 For tax purposes, a A winery shipper licensee must
2500	2500	4 collect, maintain, and submit to the State Commission on a
2501	2501	5 semi-annual basis the total number of cases per resident of
2502	2502	6 wine shipped to residents of this State. A winery shipper
2503	2503	7 licensed under this subsection (r) must comply with the
2504	2504	8 requirements of Section 6-29 of this Act.
2505	2505	9 Pursuant to paragraph (5.1) or (5.3) of subsection (a) of
2506	2506	10 Section 3-12, the State Commission may receive, respond to,
2507	2507	11 and investigate any complaint and impose any of the remedies
2508	2508	12 specified in paragraph (1) of subsection (a) of Section 3-12.
2509	2509	13 As used in this subsection, "third-party provider" means
2510	2510	14 any entity that provides fulfillment house services, including
2511	2511	15 warehousing, packaging, distribution, order processing, or
2512	2512	16 shipment of wine, but not the sale of wine, on behalf of a
2513	2513	17 licensed winery shipper.
2514	2514	18 (s) A craft distiller tasting permit license shall allow
2515	2515	19 an Illinois licensed class 1 craft distiller or class 2 craft
2516	2516	20 distiller to transfer a portion of its alcoholic liquor
2517	2517	21 inventory from its class 1 craft distiller or class 2 craft
2518	2518	22 distiller licensed premises to the premises specified in the
2519	2519	23 license hereby created and to conduct a sampling, only in the
2520	2520	24 premises specified in the license hereby created, of the
2521	2521	25 transferred alcoholic liquor in accordance with subsection (c)
2522	2522	26 of Section 6-31 of this Act. The transferred alcoholic liquor
2523	2523
2524	2524
2525	2525
2526	2526
2527	2527
2528	2528	HB2399 - 69 - LRB103 28782 RPS 55167 b
2529	2529
2530	2530
2531	2531	HB2399- 70 -LRB103 28782 RPS 55167 b HB2399 - 70 - LRB103 28782 RPS 55167 b
2532	2532	HB2399 - 70 - LRB103 28782 RPS 55167 b
2533	2533	1 may not be sold or resold in any form. An applicant for the
2534	2534	2 craft distiller tasting permit license must also submit with
2535	2535	3 the application proof satisfactory to the State Commission
2536	2536	4 that the applicant will provide dram shop liability insurance
2537	2537	5 to the maximum limits and have local authority approval.
2538	2538	6 (t) A brewer warehouse permit may be issued to the holder
2539	2539	7 of a class 1 brewer license or a class 2 brewer license. If the
2540	2540	8 holder of the permit is a class 1 brewer licensee, the brewer
2541	2541	9 warehouse permit shall allow the holder to store or warehouse
2542	2542	10 up to 930,000 gallons of tax-determined beer manufactured by
2543	2543	11 the holder of the permit at the premises specified on the
2544	2544	12 permit. If the holder of the permit is a class 2 brewer
2545	2545	13 licensee, the brewer warehouse permit shall allow the holder
2546	2546	14 to store or warehouse up to 3,720,000 gallons of
2547	2547	15 tax-determined beer manufactured by the holder of the permit
2548	2548	16 at the premises specified on the permit. Sales to
2549	2549	17 non-licensees are prohibited at the premises specified in the
2550	2550	18 brewer warehouse permit.
2551	2551	19 (u) A distilling pub license shall allow the licensee to
2552	2552	20 only (i) manufacture up to 5,000 gallons of spirits per year
2553	2553	21 only on the premises specified in the license, (ii) make sales
2554	2554	22 of the spirits manufactured on the premises or, with the
2555	2555	23 approval of the State Commission, spirits manufactured on
2556	2556	24 another distilling pub licensed premises that is wholly owned
2557	2557	25 and operated by the same licensee to importing distributors
2558	2558	26 and distributors and to non-licensees for use and consumption,
2559	2559
2560	2560
2561	2561
2562	2562
2563	2563
2564	2564	HB2399 - 70 - LRB103 28782 RPS 55167 b
2565	2565
2566	2566
2567	2567	HB2399- 71 -LRB103 28782 RPS 55167 b HB2399 - 71 - LRB103 28782 RPS 55167 b
2568	2568	HB2399 - 71 - LRB103 28782 RPS 55167 b
2569	2569	1 (iii) store the spirits upon the premises, (iv) sell and offer
2570	2570	2 for sale at retail from the licensed premises for off-premises
2571	2571	3 consumption no more than 5,000 gallons per year so long as such
2572	2572	4 sales are only made in-person, (v) sell and offer for sale at
2573	2573	5 retail for use and consumption on the premises specified in
2574	2574	6 the license any form of alcoholic liquor purchased from a
2575	2575	7 licensed distributor or importing distributor, and (vi) with
2576	2576	8 the prior approval of the State Commission, annually transfer
2577	2577	9 no more than 5,000 gallons of spirits manufactured on the
2578	2578	10 premises to a licensed distilling pub wholly owned and
2579	2579	11 operated by the same licensee.
2580	2580	12 A distilling pub licensee shall not under any circumstance
2581	2581	13 sell or offer for sale spirits manufactured by the distilling
2582	2582	14 pub licensee to retail licensees.
2583	2583	15 A person who holds a class 2 craft distiller license may
2584	2584	16 simultaneously hold a distilling pub license if the class 2
2585	2585	17 craft distiller (i) does not, under any circumstance, sell or
2586	2586	18 offer for sale spirits manufactured by the class 2 craft
2587	2587	19 distiller to retail licensees; (ii) does not hold more than 3
2588	2588	20 distilling pub licenses in this State; (iii) does not
2589	2589	21 manufacture more than a combined 100,000 gallons of spirits
2590	2590	22 per year, including the spirits manufactured at the distilling
2591	2591	23 pub; and (iv) is not a member of or affiliated with, directly
2592	2592	24 or indirectly, a manufacturer that produces more than 100,000
2593	2593	25 gallons of spirits per year or any other alcoholic liquor.
2594	2594	26 (v) A craft distiller warehouse permit may be issued to
2595	2595
2596	2596
2597	2597
2598	2598
2599	2599
2600	2600	HB2399 - 71 - LRB103 28782 RPS 55167 b
2601	2601
2602	2602
2603	2603	HB2399- 72 -LRB103 28782 RPS 55167 b HB2399 - 72 - LRB103 28782 RPS 55167 b
2604	2604	HB2399 - 72 - LRB103 28782 RPS 55167 b
2605	2605	1 the holder of a class 1 craft distiller or class 2 craft
2606	2606	2 distiller license. The craft distiller warehouse permit shall
2607	2607	3 allow the holder to store or warehouse up to 500,000 gallons of
2608	2608	4 spirits manufactured by the holder of the permit at the
2609	2609	5 premises specified on the permit. Sales to non-licensees are
2610	2610	6 prohibited at the premises specified in the craft distiller
2611	2611	7 warehouse permit.
2612	2612	8 (w) A beer showcase permit license shall allow an
2613	2613	9 Illinois-licensed distributor to transfer a portion of its
2614	2614	10 beer inventory from its licensed premises to the premises
2615	2615	11 specified in the beer showcase permit license, and, in the
2616	2616	12 case of a class 3 brewer, transfer only beer the class 3 brewer
2617	2617	13 manufactures from its licensed premises to the premises
2618	2618	14 specified in the beer showcase permit license; and to sell or
2619	2619	15 offer for sale at retail, only in the premises specified in the
2620	2620	16 beer showcase permit license, the transferred or delivered
2621	2621	17 beer for on or off premise consumption, but not for resale in
2622	2622	18 any form and to sell to non-licensees not more than 96 fluid
2623	2623	19 ounces of beer per person. A beer showcase permit license may
2624	2624	20 be granted for the following time periods: one day or less; or
2625	2625	21 2 or more days to a maximum of 15 days per location in any
2626	2626	22 12-month period. An applicant for a beer showcase permit
2627	2627	23 license must also submit with the application proof
2628	2628	24 satisfactory to the State Commission that the applicant will
2629	2629	25 provide dram shop liability insurance to the maximum limits
2630	2630	26 and have local authority approval. The State Commission shall
2631	2631
2632	2632
2633	2633
2634	2634
2635	2635
2636	2636	HB2399 - 72 - LRB103 28782 RPS 55167 b
2637	2637
2638	2638
2639	2639	HB2399- 73 -LRB103 28782 RPS 55167 b HB2399 - 73 - LRB103 28782 RPS 55167 b
2640	2640	HB2399 - 73 - LRB103 28782 RPS 55167 b
2641	2641	1 require the beer showcase applicant to comply with Section
2642	2642	2 6-27.1.
2643	2643	3 (Source: P.A. 101-16, eff. 6-14-19; 101-31, eff. 6-28-19;
2644	2644	4 101-81, eff. 7-12-19; 101-482, eff. 8-23-19; 101-517, eff.
2645	2645	5 8-23-19; 101-615, eff. 12-20-19; 101-668, eff. 1-1-22;
2646	2646	6 102-442, eff. 8-20-21; revised 2-28-22.)
2647	2647	7 (235 ILCS 5/5-8 new)
2648	2648	8 Sec. 5-8. Third-party provider registration.
2649	2649	9 (a) A third-party provider must register with the State
2650	2650	10 Commission before shipping wine into this State. Registration
2651	2651	11 as a third-party provider is valid for a 2-year period and may
2652	2652	12 be renewed. The application for registration as a third-party
2653	2653	13 provider must include:
2654	2654	14 (1) each address from which the third-party provider
2655	2655	15 will ship wine to a consumer;
2656	2656	16 (2) the name, business address, and license number of
2657	2657	17 each winery shipper, with the name stated as it appears on
2658	2658	18 the winery shipper license, on whose behalf the
2659	2659	19 third-party provider will ship wine to a consumer; and
2660	2660	20 (3) any other information the State Commission may
2661	2661	21 require.
2662	2662	22 (b) To register as a third-party provider, the third-party
2663	2663	23 provider must pay a $50 fee and agree to:
2664	2664	24 (1) allow the State Commission to inspect and audit
2665	2665	25 its records under subsection (e);
2666	2666
2667	2667
2668	2668
2669	2669
2670	2670
2671	2671	HB2399 - 73 - LRB103 28782 RPS 55167 b
2672	2672
2673	2673
2674	2674	HB2399- 74 -LRB103 28782 RPS 55167 b HB2399 - 74 - LRB103 28782 RPS 55167 b
2675	2675	HB2399 - 74 - LRB103 28782 RPS 55167 b
2676	2676	1 (2) allow the State Commission to inspect a location
2677	2677	2 under Section 3-12;
2678	2678	3 (3) appoint and maintain an agent for service of
2679	2679	4 process under subsection (g); and
2680	2680	5 (4) submit to the jurisdiction of the State
2681	2681	6 Commission, the courts, and any other enforcement
2682	2682	7 authority of this State in a matter relating to
2683	2683	8 enforcement of a law of this State regulating shipment of
2684	2684	9 wine to a person in this State.
2685	2685	10 (c) A third-party provider may ship wine on behalf of a
2686	2686	11 winery shipper to a consumer only if:
2687	2687	12 (1) the third-party provider maintains a registration
2688	2688	13 under this Section that is not suspended, revoked, or
2689	2689	14 canceled;
2690	2690	15 (2) the wine was supplied to the third-party provider
2691	2691	16 by a licensed winery shipper;
2692	2692	17 (3) the package containing the wine clearly indicates:
2693	2693	18 (A) on the shipping label, the name and applicable
2694	2694	19 address of the third-party provider, as they appear in
2695	2695	20 the registration under this Section, as consignor, and
2696	2696	21 the name and address of the consumer, as intended
2697	2697	22 recipient;
2698	2698	23 (B) on the package or shipping label, the name and
2699	2699	24 winery shipper's license number of the licensed winery
2700	2700	25 shipper that supplied to the third-party provider the
2701	2701	26 wine contained in the package; and
2702	2702
2703	2703
2704	2704
2705	2705
2706	2706
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2711	2711	HB2399 - 75 - LRB103 28782 RPS 55167 b
2712	2712	1 (4) the shipment is otherwise authorized under this
2713	2713	2 Act.
2714	2714	3 (d) A registered third-party provider is subject to the
2715	2715	4 jurisdiction of the State Commission, the courts, and any
2716	2716	5 other enforcement authority of this State in a matter relating
2717	2717	6 to the enforcement of the laws of this State regulating
2718	2718	7 shipment of alcoholic liquor directly to a person in this
2719	2719	8 State.
2720	2720	9 (e) The State Commission may inspect and audit the records
2721	2721	10 of a registered third-party provider for compliance with the
2722	2722	11 laws of this State regulating shipment of wine directly to a
2723	2723	12 person in this State. A registered third-party provider shall
2724	2724	13 allow the State Commission to inspect and audit its records
2725	2725	14 and, at the State Commission's request in a record, provide
2726	2726	15 complete and accurate copies of its records to the State
2727	2727	16 Commission at a location specified by the State Commission,
2728	2728	17 not later than 15 days after the date of the request.
2729	2729	18 (f) The State Commission may inspect, during ordinary
2730	2730	19 hours of operation, a location where a registered third-party
2731	2731	20 provider conducts business to assess compliance with the laws
2732	2732	21 of this State regulating shipment of alcoholic liquor directly
2733	2733	22 to a person in this State.
2734	2734	23 (g) A registered third-party provider shall appoint and
2735	2735	24 continuously maintain with the State Commission an agent for
2736	2736	25 service of process. The agent may be located in this State or
2737	2737	26 another state. By appointing an agent under this subsection,
2738	2738
2739	2739
2740	2740
2741	2741
2742	2742
2743	2743	HB2399 - 75 - LRB103 28782 RPS 55167 b
2744	2744
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2747	2747	HB2399 - 76 - LRB103 28782 RPS 55167 b
2748	2748	1 the registered third-party provider affirms that the agent
2749	2749	2 consents to accept service. Service of process on the agent
2750	2750	3 constitutes valid service of process on the registered
2751	2751	4 third-party provider in an action or proceeding arising out of
2752	2752	5 enforcement of law of this State regulating shipment of wine
2753	2753	6 directly to a person in this State. If a registered
2754	2754	7 third-party provider fails to maintain in the records of the
2755	2755	8 State Commission a current agent for service of process or if
2756	2756	9 the current agent cannot be served with reasonable diligence,
2757	2757	10 the State Commission is the agent for service of process.
2758	2758	11 (h) The State Commission may disclose a report, record,
2759	2759	12 order, or other information in its possession, for a
2760	2760	13 regulatory or enforcement purpose, to:
2761	2761	14 (1) a State agency or law enforcement agency;
2762	2762	15 (2) a local or state agency in another state with
2763	2763	16 regulatory authority over matters relating to alcoholic
2764	2764	17 liquor or taxation or a law enforcement agency of another
2765	2765	18 state; and
2766	2766	19 (3) a federal agency with regulatory authority
2767	2767	20 relating to alcoholic liquor or taxation or a federal law
2768	2768	21 enforcement agency.
2769	2769	22 (i) The State Commission may disclose to the public an
2770	2770	23 order resulting from a completed investigation.
2771	2771	24 (235 ILCS 5/6-29) (from Ch. 43, par. 144e)
2772	2772	25 Sec. 6-29. Winery shipper's license.
2773	2773
2774	2774
2775	2775
2776	2776
2777	2777
2778	2778	HB2399 - 76 - LRB103 28782 RPS 55167 b
2779	2779
2780	2780
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2782	2782	HB2399 - 77 - LRB103 28782 RPS 55167 b
2783	2783	1 (a) The General Assembly declares that the following is
2784	2784	2 the intent of this Section:
2785	2785	3 (1) To authorize direct shipment of wine by an
2786	2786	4 out-of-state maker of wine on the same basis permitted an
2787	2787	5 in-state maker of wine pursuant to the authority of the
2788	2788	6 State under the provisions of Section 2 of the
2789	2789	7 Twenty-First Amendment to the United States Constitution
2790	2790	8 and in conformance with the United States Supreme Court
2791	2791	9 decision decided on May 16, 2005 in Granholm v. Heald.
2792	2792	10 (2) To reaffirm that the General Assembly's findings
2793	2793	11 and declarations that selling alcoholic liquor through
2794	2794	12 various direct marketing means such as catalogs,
2795	2795	13 newspapers, mailings, and the Internet directly to
2796	2796	14 consumers of this State poses a serious threat to the
2797	2797	15 State's efforts to further temperance and prevent youth
2798	2798	16 from accessing alcoholic liquor and the expansion of youth
2799	2799	17 access to additional types of alcoholic liquors.
2800	2800	18 (3) To maintain the State's broad powers granted by
2801	2801	19 Section 2 of the Twenty-First Amendment to the United
2802	2802	20 States Constitution to control the importation or sale of
2803	2803	21 alcoholic liquor and its right to structure its alcoholic
2804	2804	22 liquor distribution system.
2805	2805	23 (4) To ensure that the General Assembly, by
2806	2806	24 authorizing limited direct shipment of wine to meet the
2807	2807	25 directives of the United States Supreme Court, does not
2808	2808	26 intend to impair or modify the State's distribution of
2809	2809
2810	2810
2811	2811
2812	2812
2813	2813
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2815	2815
2816	2816
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2818	2818	HB2399 - 78 - LRB103 28782 RPS 55167 b
2819	2819	1 wine through distributors or importing distributors, but
2820	2820	2 only to permit limited shipment of wine for personal use.
2821	2821	3 (5) To provide that, in the event that a court of
2822	2822	4 competent jurisdiction declares or finds that this
2823	2823	5 Section, which is enacted to conform Illinois law to the
2824	2824	6 United States Supreme Court decision, is invalid or
2825	2825	7 unconstitutional, the Illinois General Assembly at its
2826	2826	8 earliest general session shall conduct hearings and study
2827	2827	9 methods to conform to any directive or order of the court
2828	2828	10 consistent with the temperance and revenue collection
2829	2829	11 purposes of this Act.
2830	2830	12 (a-5) In this Section, "carrier" means a person or entity
2831	2831	13 that:
2832	2832	14 (1) holds himself, herself, or itself out to the
2833	2833	15 general public as engaged in the business of transporting
2834	2834	16 goods for a fee; and
2835	2835	17 (2) is engaged in the business of transporting and
2836	2836	18 delivering alcoholic beverages in this State directly to
2837	2837	19 consumers.
2838	2838	20 (b) Notwithstanding any other provision of law, a wine
2839	2839	21 shipper licensee may ship, for personal use and not for
2840	2840	22 resale, not more than 12 cases of wine per year to any resident
2841	2841	23 of this State who is 21 years of age or older.
2842	2842	24 (b-3) Notwithstanding any other provision of law, sale and
2843	2843	25 shipment by a winery shipper licensee pursuant to this Section
2844	2844	26 shall be deemed to constitute a sale in this State.
2845	2845
2846	2846
2847	2847
2848	2848
2849	2849
2850	2850	HB2399 - 78 - LRB103 28782 RPS 55167 b
2851	2851
2852	2852
2853	2853	HB2399- 79 -LRB103 28782 RPS 55167 b HB2399 - 79 - LRB103 28782 RPS 55167 b
2854	2854	HB2399 - 79 - LRB103 28782 RPS 55167 b
2855	2855	1 (b-5) The shipping container of any wine shipped under
2856	2856	2 this Section shall be clearly labeled with the following
2857	2857	3 words: "CONTAINS ALCOHOL. SIGNATURE OF A PERSON 21 YEARS OF
2858	2858	4 AGE OR OLDER REQUIRED FOR DELIVERY. PROOF OF AGE AND IDENTITY
2859	2859	5 MUST BE SHOWN BEFORE DELIVERY.". This warning must be
2860	2860	6 prominently displayed on the packaging. A licensee shall
2861	2861	7 require the transporter or common carrier that delivers the
2862	2862	8 wine to obtain the signature of a person 21 years of age or
2863	2863	9 older at the delivery address at the time of delivery. At the
2864	2864	10 expense of the licensee, the licensee shall receive a delivery
2865	2865	11 confirmation from the express company, common carrier, or
2866	2866	12 contract carrier indicating the location of the delivery, time
2867	2867	13 of delivery, and the name and signature of the individual 21
2868	2868	14 years of age or older who accepts delivery. The State
2869	2869	15 Commission shall design and create a label or approve a label
2870	2870	16 that must be affixed to the shipping container by the
2871	2871	17 licensee.
2872	2872	18 (b-10) A carrier may not deliver to a consumer a package
2873	2873	19 known by the carrier to contain wine unless:
2874	2874	20 (1) the consignor is a licensed winery shipper and the
2875	2875	21 carrier has verified its winery shipper license for the
2876	2876	22 current license period; or
2877	2877	23 (2) the consignor is a registered third-party provider
2878	2878	24 and the carrier has verified the registration.
2879	2879	25 A carrier that verifies that a winery shipper has a winery
2880	2880	26 shipper license for the current license period may consider
2881	2881
2882	2882
2883	2883
2884	2884
2885	2885
2886	2886	HB2399 - 79 - LRB103 28782 RPS 55167 b
2887	2887
2888	2888
2889	2889	HB2399- 80 -LRB103 28782 RPS 55167 b HB2399 - 80 - LRB103 28782 RPS 55167 b
2890	2890	HB2399 - 80 - LRB103 28782 RPS 55167 b
2891	2891	1 the license to be valid for the remainder of the license
2892	2892	2 period, unless the carrier receives notice from the State
2893	2893	3 Commission that the license has been suspended or revoked. A
2894	2894	4 carrier that verifies that a third-party provider is
2895	2895	5 registered may consider the registration to be valid unless
2896	2896	6 the carrier receives notice from the State Commission that the
2897	2897	7 registration has been suspended or revoked.
2898	2898	8 (b-15) A registered third-party provider shall file with
2899	2899	9 the State Commission a monthly report that includes:
2900	2900	10 (1) the name, business address, and registration
2901	2901	11 number of the third-party provider;
2902	2902	12 (2) the total number of gallons of wine shipped to
2903	2903	13 consumers by the third-party provider during the reporting
2904	2904	14 period; and
2905	2905	15 (3) for each shipment of wine to a consumer during the
2906	2906	16 reporting period:
2907	2907	17 (A) the name, business address, and license number
2908	2908	18 of the winery shipper on whose behalf the third-party
2909	2909	19 provider shipped the wine, with the name stated, if
2910	2910	20 possible, as it appears on the winery shipper license;
2911	2911	21 (B) the name and address of the consumer to whom
2912	2912	22 the wine was shipped;
2913	2913	23 (C) the address from which the third-party
2914	2914	24 provider originated the shipment, stated identically
2915	2915	25 as an address provided by the third-party provider
2916	2916	26 under paragraph (1) of subsection (a) of Section 5-8;
2917	2917
2918	2918
2919	2919
2920	2920
2921	2921
2922	2922	HB2399 - 80 - LRB103 28782 RPS 55167 b
2923	2923
2924	2924
2925	2925	HB2399- 81 -LRB103 28782 RPS 55167 b HB2399 - 81 - LRB103 28782 RPS 55167 b
2926	2926	HB2399 - 81 - LRB103 28782 RPS 55167 b
2927	2927	1 (D) the date the shipment was delivered;
2928	2928	2 (E) the type and quantity by volume of wine
2929	2929	3 shipped; and
2930	2930	4 (F) the name and business address of the carrier
2931	2931	5 that delivered the wine and the carrier's parcel
2932	2932	6 tracking number for the shipment.
2933	2933	7 If no business was transacted in this State during the
2934	2934	8 reporting period, a report under this subsection must include
2935	2935	9 the information under paragraph (1) and report that no
2936	2936	10 business was transacted in this State during the reporting
2937	2937	11 period.
2938	2938	12 Any books, records, supporting papers, and documents
2939	2939	13 containing information and data relating to a statement under
2940	2940	14 this subsection shall be kept and preserved for a period of 3
2941	2941	15 years, unless their destruction is authorized sooner in
2942	2942	16 writing by the Director of Revenue, and shall be open and
2943	2943	17 available to inspection by the Director of Revenue or the
2944	2944	18 State Commission or any duly authorized officer, agent, or
2945	2945	19 employee of the State Commission or the Department of Revenue,
2946	2946	20 at all times during business hours of the day. Any person who
2947	2947	21 violates any provision of this subsection or any rule of the
2948	2948	22 State Commission for the administration and enforcement of the
2949	2949	23 provisions of this subsection is guilty of a Class C
2950	2950	24 misdemeanor. In case of a continuing violation, each day's
2951	2951	25 continuance thereof shall be a separate and distinct offense.
2952	2952	26 (b-20) A licensed winery shipper shall file with the State
2953	2953
2954	2954
2955	2955
2956	2956
2957	2957
2958	2958	HB2399 - 81 - LRB103 28782 RPS 55167 b
2959	2959
2960	2960
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2962	2962	HB2399 - 82 - LRB103 28782 RPS 55167 b
2963	2963	1 Commission a monthly report that includes:
2964	2964	2 (1) the name, business address, and license number of
2965	2965	3 the licensed winery shipper;
2966	2966	4 (2) the total gallons of each type of wine shipped to
2967	2967	5 consumers during the reporting period; and
2968	2968	6 (3) for each shipment of wine to a consumer during the
2969	2969	7 reporting period:
2970	2970	8 (A) the name and address of the consumer to whom
2971	2971	9 the wine was shipped;
2972	2972	10 (B) the date the shipment was delivered;
2973	2973	11 (C) the type and quantity by volume of wine
2974	2974	12 shipped;
2975	2975	13 (D) the purchase price of the wine shipped and the
2976	2976	14 amount and type of each tax charged in connection with
2977	2977	15 the wine;
2978	2978	16 (E) if the wine was shipped for the licensed
2979	2979	17 winery shipper by a third-party provider, the name,
2980	2980	18 business address, and registration number of the
2981	2981	19 third-party provider, with the name stated, if
2982	2982	20 possible, as it appears on the third-party provider's
2983	2983	21 registration; and
2984	2984	22 (F) if the wine was delivered by a carrier, the
2985	2985	23 name and business address of the carrier and the
2986	2986	24 carrier's parcel tracking number for the shipment.
2987	2987	25 If no business was transacted in this State during the
2988	2988	26 reporting period, a report under this subsection must include
2989	2989
2990	2990
2991	2991
2992	2992
2993	2993
2994	2994	HB2399 - 82 - LRB103 28782 RPS 55167 b
2995	2995
2996	2996
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2998	2998	HB2399 - 83 - LRB103 28782 RPS 55167 b
2999	2999	1 the information under paragraph (1) and report that no
3000	3000	2 business was transacted in this State during the reporting
3001	3001	3 period.
3002	3002	4 (b-25) A carrier shall file with the State Commission a
3003	3003	5 monthly report that includes:
3004	3004	6 (1) the name and business address of the carrier;
3005	3005	7 (2) a list containing the name, business address, and
3006	3006	8 winery shipper license number or third-party provider
3007	3007	9 registration number of each licensed winery shipper and
3008	3008	10 registered third-party provider with which the carrier has
3009	3009	11 an agreement to ship wine, with the name stated, if
3010	3010	12 possible, as it appears on the winery shipper license or
3011	3011	13 third-party provider registration; and
3012	3012	14 (3) for each shipment known by the carrier to contain
3013	3013	15 wine that was delivered to a consumer during the reporting
3014	3014	16 period:
3015	3015	17 (A) the name and business address of the consignor
3016	3016	18 of the shipment;
3017	3017	19 (B) the name and address of the consumer;
3018	3018	20 (C) the date the shipment was delivered by the
3019	3019	21 carrier;
3020	3020	22 (D) the weight, in pounds, of the package; and
3021	3021	23 (E) the carrier's parcel tracking number for the
3022	3022	24 shipment.
3023	3023	25 If no business was transacted in this State during the
3024	3024	26 reporting period, a report under this subsection must include
3025	3025
3026	3026
3027	3027
3028	3028
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3030	3030	HB2399 - 83 - LRB103 28782 RPS 55167 b
3031	3031
3032	3032
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3034	3034	HB2399 - 84 - LRB103 28782 RPS 55167 b
3035	3035	1 the information under paragraph (1) and report that no
3036	3036	2 business was transacted in this State during the reporting
3037	3037	3 period.
3038	3038	4 (b-30) The State Commission shall prescribe the form and
3039	3039	5 deadline for filing a report under this Section. The State
3040	3040	6 Commission may require the report to be filed electronically.
3041	3041	7 The State Commission may require a person filing the report to
3042	3042	8 submit additional information, including business records, to
3043	3043	9 substantiate information in the report.
3044	3044	10 (b-35) Except as provided in subsection (b-40), a report
3045	3045	11 filed under this Section, and information obtained from the
3046	3046	12 report, is confidential, exempt from disclosure under the
3047	3047	13 Freedom of Information Act, and exempt from public inspection.
3048	3048	14 (b-40) The State Commission may disclose a report under
3049	3049	15 this Section or information from the report:
3050	3050	16 (1) as provided in subsections (f) and (g) of Section
3051	3051	17 5-28;
3052	3052	18 (2) if reasonably necessary to enforce or implement
3053	3053	19 this Act or other law of this State relating to the
3054	3054	20 shipment of alcoholic liquor directly to individuals in
3055	3055	21 this State; or
3056	3056	22 (3) as a compilation of aggregated data if personally
3057	3057	23 identifiable information is not disclosed.
3058	3058	24 (b-42) A carrier shipping wine into or within this State
3059	3059	25 shall appoint and continuously maintain with the State
3060	3060	26 Commission an agent for service of process. The agent may be
3061	3061
3062	3062
3063	3063
3064	3064
3065	3065
3066	3066	HB2399 - 84 - LRB103 28782 RPS 55167 b
3067	3067
3068	3068
3069	3069	HB2399- 85 -LRB103 28782 RPS 55167 b HB2399 - 85 - LRB103 28782 RPS 55167 b
3070	3070	HB2399 - 85 - LRB103 28782 RPS 55167 b
3071	3071	1 located in this State or another state. By appointing an agent
3072	3072	2 under this subsection, the carrier affirms that the agent
3073	3073	3 consents to accept service. Service of process on the agent
3074	3074	4 constitutes valid service of process on the carrier in an
3075	3075	5 action or proceeding arising out of enforcement of law of this
3076	3076	6 State regulating shipment of wine directly to a person in this
3077	3077	7 State. If a carrier fails to maintain in the records of the
3078	3078	8 State Commission a current agent for service of process or if
3079	3079	9 the current agent cannot be served with reasonable diligence,
3080	3080	10 the State Commission is the agent for service of process.
3081	3081	11 (b-45) If the State Commission has reason to believe that
3082	3082	12 alcoholic liquor has been shipped unlawfully into or within
3083	3083	13 this State, the State Commission may give notice to the
3084	3084	14 consignor requiring the consignor to show cause why shipments
3085	3085	15 by the consignor into or within this State should not be
3086	3086	16 prohibited. If the State Commission, after an opportunity for
3087	3087	17 an evidentiary hearing, determines that the consignor shipped
3088	3088	18 alcoholic liquor into or within this State unlawfully, the
3089	3089	19 State Commission may issue an administrative order prohibiting
3090	3090	20 additional shipments by the consignor of alcoholic liquor into
3091	3091	21 or within this State.
3092	3092	22 (b-50) The State Commission may give notice to a carrier
3093	3093	23 of the administrative order under subsection (b-45). Except as
3094	3094	24 provided in subsection (b-60), beginning 10 days after the
3095	3095	25 date of the notice, and until the carrier receives notice that
3096	3096	26 the administrative order is rescinded, the carrier may not
3097	3097
3098	3098
3099	3099
3100	3100
3101	3101
3102	3102	HB2399 - 85 - LRB103 28782 RPS 55167 b
3103	3103
3104	3104
3105	3105	HB2399- 86 -LRB103 28782 RPS 55167 b HB2399 - 86 - LRB103 28782 RPS 55167 b
3106	3106	HB2399 - 86 - LRB103 28782 RPS 55167 b
3107	3107	1 accept from the consignor identified in the notice, for
3108	3108	2 shipment into or within this State, a package known by the
3109	3109	3 carrier to contain wine.
3110	3110	4 (b-55) For good cause, the State Commission may rescind an
3111	3111	5 administrative order issued under subsection (b-45). On
3112	3112	6 rescinding the order, the State Commission shall give notice
3113	3113	7 of the rescission to each carrier that received notice under
3114	3114	8 subsection (b-50) of the order.
3115	3115	9 (b-60) The State Commission may not hold a hearing under
3116	3116	10 subsection (a) less than 30 days after the date of the notice
3117	3117	11 requiring the consignor to show cause unless:
3118	3118	12 (1) the consignor agrees to an earlier hearing date;
3119	3119	13 or
3120	3120	14 (2) the notice describes with particularity how the
3121	3121	15 consignor's alleged unlawful shipment poses a serious risk
3122	3122	16 to public health or safety.
3123	3123	17 (b-65) If the notice includes a description under
3124	3124	18 paragraph (2) of subsection (b-60) and the State Commission
3125	3125	19 issues an administrative order under subsection (a):
3126	3126	20 (1) the order must identify the risk; and
3127	3127	21 (2) the State Commission's notice under subsection
3128	3128	22 (b-45) to a carrier must require the carrier to implement
3129	3129	23 the order as soon as possible.
3130	3130	24 (b-70) An administrative order issued under subsection (a)
3131	3131	25 is subject to judicial review under the Administrative Review
3132	3132	26 Law.
3133	3133
3134	3134
3135	3135
3136	3136
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3138	3138	HB2399 - 86 - LRB103 28782 RPS 55167 b
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3141	3141	HB2399- 87 -LRB103 28782 RPS 55167 b HB2399 - 87 - LRB103 28782 RPS 55167 b
3142	3142	HB2399 - 87 - LRB103 28782 RPS 55167 b
3143	3143	1 (b-75) This amendatory Act of the 103rd General Assembly
3144	3144	2 modifies, limits, or supersedes the Electronic Signatures in
3145	3145	3 Global and National Commerce Act, 15 U.S.C. Section 7001 et
3146	3146	4 seq., as amended, but does not modify, limit, or supersede 15
3147	3147	5 U.S.C. Section 7001(c), or authorize electronic delivery of
3148	3148	6 any of the notices described in 15 U.S.C. Section 7003(b).
3149	3149	7 (c) No broker within this State shall solicit consumers to
3150	3150	8 engage in direct wine shipments under this Section.
3151	3151	9 (d) It is not the intent of this Section to impair the
3152	3152	10 distribution of wine through distributors or importing
3153	3153	11 distributors, but only to permit shipments of wine for
3154	3154	12 personal use.
3155	3155	13 (Source: P.A. 95-634, eff. 6-1-08.)
3156	3156	14 (235 ILCS 5/7-3.5 new)
3157	3157	15 Sec. 7-3.5. Suspension, revocation, or nonrenewal of
3158	3158	16 license for unlawful shipping into another state.
3159	3159	17 (a) The State Commission may suspend, revoke, or refuse to
3160	3160	18 issue or renew a license to manufacture, distribute, or sell
3161	3161	19 alcoholic liquor issued by the State Commission if the State
3162	3162	20 Commission finds, after notice and an opportunity for an
3163	3163	21 evidentiary hearing, that the person holding the license has
3164	3164	22 shipped alcoholic liquor into another state in violation of
3165	3165	23 that state's law.
3166	3166	24 (b) The State Commission may not suspend, revoke, or
3167	3167	25 refuse to issue or renew a license issued by the State
3168	3168
3169	3169
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3178	3178	1 Commission under subsection (a) if the person holding the
3179	3179	2 license shows that:
3180	3180	3 (1) the violation of the other state's law is the
3181	3181	4 subject of an enforcement action in the other state that
3182	3182	5 is pending before an administrative body or trial or
3183	3183	6 appellate court in the other state;
3184	3184	7 (2) an enforcement action described in paragraph (1)
3185	3185	8 has concluded in the other state and resulted in a
3186	3186	9 determination that no violation of the other state's law
3187	3187	10 occurred; or
3188	3188	11 (3) the violation of the other state's law occurred
3189	3189	12 more than 2 years before the date of the notice under
3190	3190	13 subsection (a).
3191	3191	14 (235 ILCS 5/7-15 new)
3192	3192	15 Sec. 7-15. Third-party provider registrations.
3193	3193	16 Registrations as a third-party provider shall be governed
3194	3194	17 under this Article in the same manner as licenses.
3195	3195
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3199	3199
3200	3200	HB2399 - 88 - LRB103 28782 RPS 55167 b