Illinois 2023-2024 Regular Session

Illinois House Bill HB4775 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 HB4775 Introduced , by Rep. Will Guzzardi SYNOPSIS AS INTRODUCED: 235 ILCS 5/5-1 from Ch. 43, par. 115235 ILCS 5/6-40 new Amends the Liquor Control Act of 1934. Provides that a special event retailer's license (not-for-profit) or special use permit license shall allow the licensee to sell and offer for sale, at retail, alcoholic liquors for consumption on or off the premises specified in the license (instead of for use or consumption) if certain conditions are met. Provides that a retail licensee or licensed manufacturer with retail privileges may offer incentives to consumers for participation in a consumer loyalty and reward program, offer consumers discounts on its products as part of a consumer loyalty and reward program, offer benefits to the members or participants of a consumer loyalty and reward program that are not offered to other consumers, or offer specialty glassware for sale to members or participants in a consumer loyalty and reward program, and offer a price discount to the owner of that glassware for additional purchases using the glassware. Defines "consumer loyalty and reward program". LRB103 37577 RPS 67703 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4775 Introduced , by Rep. Will Guzzardi SYNOPSIS AS INTRODUCED: 235 ILCS 5/5-1 from Ch. 43, par. 115235 ILCS 5/6-40 new 235 ILCS 5/5-1 from Ch. 43, par. 115 235 ILCS 5/6-40 new Amends the Liquor Control Act of 1934. Provides that a special event retailer's license (not-for-profit) or special use permit license shall allow the licensee to sell and offer for sale, at retail, alcoholic liquors for consumption on or off the premises specified in the license (instead of for use or consumption) if certain conditions are met. Provides that a retail licensee or licensed manufacturer with retail privileges may offer incentives to consumers for participation in a consumer loyalty and reward program, offer consumers discounts on its products as part of a consumer loyalty and reward program, offer benefits to the members or participants of a consumer loyalty and reward program that are not offered to other consumers, or offer specialty glassware for sale to members or participants in a consumer loyalty and reward program, and offer a price discount to the owner of that glassware for additional purchases using the glassware. Defines "consumer loyalty and reward program". LRB103 37577 RPS 67703 b LRB103 37577 RPS 67703 b A BILL FOR
2	2	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4775 Introduced , by Rep. Will Guzzardi SYNOPSIS AS INTRODUCED:
3	3	235 ILCS 5/5-1 from Ch. 43, par. 115235 ILCS 5/6-40 new 235 ILCS 5/5-1 from Ch. 43, par. 115 235 ILCS 5/6-40 new
4	4	235 ILCS 5/5-1 from Ch. 43, par. 115
5	5	235 ILCS 5/6-40 new
6	6	Amends the Liquor Control Act of 1934. Provides that a special event retailer's license (not-for-profit) or special use permit license shall allow the licensee to sell and offer for sale, at retail, alcoholic liquors for consumption on or off the premises specified in the license (instead of for use or consumption) if certain conditions are met. Provides that a retail licensee or licensed manufacturer with retail privileges may offer incentives to consumers for participation in a consumer loyalty and reward program, offer consumers discounts on its products as part of a consumer loyalty and reward program, offer benefits to the members or participants of a consumer loyalty and reward program that are not offered to other consumers, or offer specialty glassware for sale to members or participants in a consumer loyalty and reward program, and offer a price discount to the owner of that glassware for additional purchases using the glassware. Defines "consumer loyalty and reward program".
7	7	LRB103 37577 RPS 67703 b LRB103 37577 RPS 67703 b
8	8	LRB103 37577 RPS 67703 b
9	9	A BILL FOR
10	10	HB4775LRB103 37577 RPS 67703 b HB4775 LRB103 37577 RPS 67703 b
11	11	HB4775 LRB103 37577 RPS 67703 b
12	12	1 AN ACT concerning liquor.
13	13	2 Be it enacted by the People of the State of Illinois,
14	14	3 represented in the General Assembly:
15	15	4 Section 5. The Liquor Control Act of 1934 is amended by
16	16	5 changing Section 5-1 and adding Section 6-40 as follows:
17	17	6 (235 ILCS 5/5-1) (from Ch. 43, par. 115)
18	18	7 Sec. 5-1. Licenses issued by the Illinois Liquor Control
19	19	8 Commission shall be of the following classes:
20	20	9 (a) Manufacturer's license - Class 1. Distiller, Class 2.
21	21	10 Rectifier, Class 3. Brewer, Class 4. First Class Wine
22	22	11 Manufacturer, Class 5. Second Class Wine Manufacturer, Class
23	23	12 6. First Class Winemaker, Class 7. Second Class Winemaker,
24	24	13 Class 8. Limited Wine Manufacturer, Class 9. Craft Distiller,
25	25	14 Class 10. Class 1 Craft Distiller, Class 11. Class 2 Craft
26	26	15 Distiller, Class 12. Class 1 Brewer, Class 13. Class 2 Brewer,
27	27	16 Class 14. Class 3 Brewer,
28	28	17 (b) Distributor's license,
29	29	18 (c) Importing Distributor's license,
30	30	19 (d) Retailer's license,
31	31	20 (e) Special Event Retailer's license (not-for-profit),
32	32	21 (f) Railroad license,
33	33	22 (g) Boat license,
34	34	23 (h) Non-Beverage User's license,
35	35
36	36
37	37
38	38	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4775 Introduced , by Rep. Will Guzzardi SYNOPSIS AS INTRODUCED:
39	39	235 ILCS 5/5-1 from Ch. 43, par. 115235 ILCS 5/6-40 new 235 ILCS 5/5-1 from Ch. 43, par. 115 235 ILCS 5/6-40 new
40	40	235 ILCS 5/5-1 from Ch. 43, par. 115
41	41	235 ILCS 5/6-40 new
42	42	Amends the Liquor Control Act of 1934. Provides that a special event retailer's license (not-for-profit) or special use permit license shall allow the licensee to sell and offer for sale, at retail, alcoholic liquors for consumption on or off the premises specified in the license (instead of for use or consumption) if certain conditions are met. Provides that a retail licensee or licensed manufacturer with retail privileges may offer incentives to consumers for participation in a consumer loyalty and reward program, offer consumers discounts on its products as part of a consumer loyalty and reward program, offer benefits to the members or participants of a consumer loyalty and reward program that are not offered to other consumers, or offer specialty glassware for sale to members or participants in a consumer loyalty and reward program, and offer a price discount to the owner of that glassware for additional purchases using the glassware. Defines "consumer loyalty and reward program".
43	43	LRB103 37577 RPS 67703 b LRB103 37577 RPS 67703 b
44	44	LRB103 37577 RPS 67703 b
45	45	A BILL FOR
46	46
47	47
48	48
49	49
50	50
51	51	235 ILCS 5/5-1 from Ch. 43, par. 115
52	52	235 ILCS 5/6-40 new
53	53
54	54
55	55
56	56	LRB103 37577 RPS 67703 b
57	57
58	58
59	59
60	60
61	61
62	62
63	63
64	64
65	65
66	66	HB4775 LRB103 37577 RPS 67703 b
67	67
68	68
69	69	HB4775- 2 -LRB103 37577 RPS 67703 b HB4775 - 2 - LRB103 37577 RPS 67703 b
70	70	HB4775 - 2 - LRB103 37577 RPS 67703 b
71	71	1 (i) Wine-maker's premises license,
72	72	2 (j) Airplane license,
73	73	3 (k) Foreign importer's license,
74	74	4 (l) Broker's license,
75	75	5 (m) Non-resident dealer's license,
76	76	6 (n) Brew Pub license,
77	77	7 (o) Auction liquor license,
78	78	8 (p) Caterer retailer license,
79	79	9 (q) Special use permit license,
80	80	10 (r) Winery shipper's license,
81	81	11 (s) Craft distiller tasting permit,
82	82	12 (t) Brewer warehouse permit,
83	83	13 (u) Distilling pub license,
84	84	14 (v) Craft distiller warehouse permit,
85	85	15 (w) Beer showcase permit.
86	86	16 No person, firm, partnership, corporation, or other legal
87	87	17 business entity that is engaged in the manufacturing of wine
88	88	18 may concurrently obtain and hold a wine-maker's license and a
89	89	19 wine manufacturer's license.
90	90	20 (a) A manufacturer's license shall allow the manufacture,
91	91	21 importation in bulk, storage, distribution and sale of
92	92	22 alcoholic liquor to persons without the State, as may be
93	93	23 permitted by law and to licensees in this State as follows:
94	94	24 Class 1. A Distiller may make sales and deliveries of
95	95	25 alcoholic liquor to distillers, rectifiers, importing
96	96	26 distributors, distributors and non-beverage users and to no
97	97
98	98
99	99
100	100
101	101
102	102	HB4775 - 2 - LRB103 37577 RPS 67703 b
103	103
104	104
105	105	HB4775- 3 -LRB103 37577 RPS 67703 b HB4775 - 3 - LRB103 37577 RPS 67703 b
106	106	HB4775 - 3 - LRB103 37577 RPS 67703 b
107	107	1 other licensees.
108	108	2 Class 2. A Rectifier, who is not a distiller, as defined
109	109	3 herein, may make sales and deliveries of alcoholic liquor to
110	110	4 rectifiers, importing distributors, distributors, retailers
111	111	5 and non-beverage users and to no other licensees.
112	112	6 Class 3. A Brewer may make sales and deliveries of beer to
113	113	7 importing distributors and distributors and may make sales as
114	114	8 authorized under subsection (e) of Section 6-4 of this Act,
115	115	9 including any alcoholic liquor that subsection (e) of Section
116	116	10 6-4 authorizes a brewer to sell in its original package only to
117	117	11 a non-licensee for pick-up by a non-licensee either within the
118	118	12 interior of the brewery premises or at outside of the brewery
119	119	13 premises at a curb-side or parking lot adjacent to the brewery
120	120	14 premises, subject to any local ordinance.
121	121	15 Class 4. A first class wine-manufacturer may make sales
122	122	16 and deliveries of up to 50,000 gallons of wine to
123	123	17 manufacturers, importing distributors and distributors, and to
124	124	18 no other licensees. If a first-class wine-manufacturer
125	125	19 manufactures beer, it shall also obtain and shall only be
126	126	20 eligible for, in addition to any current license, a class 1
127	127	21 brewer license, shall not manufacture more than 930,000
128	128	22 gallons of beer per year, and shall not be a member of or
129	129	23 affiliated with, directly or indirectly, a manufacturer that
130	130	24 produces more than 930,000 gallons of beer per year. If the
131	131	25 first-class wine-manufacturer manufactures spirits, it shall
132	132	26 also obtain and shall only be eligible for, in addition to any
133	133
134	134
135	135
136	136
137	137
138	138	HB4775 - 3 - LRB103 37577 RPS 67703 b
139	139
140	140
141	141	HB4775- 4 -LRB103 37577 RPS 67703 b HB4775 - 4 - LRB103 37577 RPS 67703 b
142	142	HB4775 - 4 - LRB103 37577 RPS 67703 b
143	143	1 current license, a class 1 craft distiller license, shall not
144	144	2 manufacture more than 50,000 gallons of spirits per year, and
145	145	3 shall not be a member of or affiliated with, directly or
146	146	4 indirectly, a manufacturer that produces more than 50,000
147	147	5 gallons of spirits per year. A first-class wine-manufacturer
148	148	6 shall be permitted to sell wine manufactured at the
149	149	7 first-class wine-manufacturer premises to non-licensees.
150	150	8 Class 5. A second class Wine manufacturer may make sales
151	151	9 and deliveries of more than 50,000 gallons of wine to
152	152	10 manufacturers, importing distributors and distributors and to
153	153	11 no other licensees.
154	154	12 Class 6. A first-class wine-maker's license shall allow
155	155	13 the manufacture of up to 50,000 gallons of wine per year, and
156	156	14 the storage and sale of such wine to distributors in the State
157	157	15 and to persons without the State, as may be permitted by law. A
158	158	16 person who, prior to June 1, 2008 (the effective date of Public
159	159	17 Act 95-634), is a holder of a first-class wine-maker's license
160	160	18 and annually produces more than 25,000 gallons of its own wine
161	161	19 and who distributes its wine to licensed retailers shall cease
162	162	20 this practice on or before July 1, 2008 in compliance with
163	163	21 Public Act 95-634. If a first-class wine-maker manufactures
164	164	22 beer, it shall also obtain and shall only be eligible for, in
165	165	23 addition to any current license, a class 1 brewer license,
166	166	24 shall not manufacture more than 930,000 gallons of beer per
167	167	25 year, and shall not be a member of or affiliated with, directly
168	168	26 or indirectly, a manufacturer that produces more than 930,000
169	169
170	170
171	171
172	172
173	173
174	174	HB4775 - 4 - LRB103 37577 RPS 67703 b
175	175
176	176
177	177	HB4775- 5 -LRB103 37577 RPS 67703 b HB4775 - 5 - LRB103 37577 RPS 67703 b
178	178	HB4775 - 5 - LRB103 37577 RPS 67703 b
179	179	1 gallons of beer per year. If the first-class wine-maker
180	180	2 manufactures spirits, it shall also obtain and shall only be
181	181	3 eligible for, in addition to any current license, a class 1
182	182	4 craft distiller license, shall not manufacture more than
183	183	5 50,000 gallons of spirits per year, and shall not be a member
184	184	6 of or affiliated with, directly or indirectly, a manufacturer
185	185	7 that produces more than 50,000 gallons of spirits per year. A
186	186	8 first-class wine-maker holding a class 1 brewer license or a
187	187	9 class 1 craft distiller license shall not be eligible for a
188	188	10 wine-maker's premises license but shall be permitted to sell
189	189	11 wine manufactured at the first-class wine-maker premises to
190	190	12 non-licensees.
191	191	13 Class 7. A second-class wine-maker's license shall allow
192	192	14 the manufacture of up to 150,000 gallons of wine per year, and
193	193	15 the storage and sale of such wine to distributors in this State
194	194	16 and to persons without the State, as may be permitted by law. A
195	195	17 person who, prior to June 1, 2008 (the effective date of Public
196	196	18 Act 95-634), is a holder of a second-class wine-maker's
197	197	19 license and annually produces more than 25,000 gallons of its
198	198	20 own wine and who distributes its wine to licensed retailers
199	199	21 shall cease this practice on or before July 1, 2008 in
200	200	22 compliance with Public Act 95-634. If a second-class
201	201	23 wine-maker manufactures beer, it shall also obtain and shall
202	202	24 only be eligible for, in addition to any current license, a
203	203	25 class 2 brewer license, shall not manufacture more than
204	204	26 3,720,000 gallons of beer per year, and shall not be a member
205	205
206	206
207	207
208	208
209	209
210	210	HB4775 - 5 - LRB103 37577 RPS 67703 b
211	211
212	212
213	213	HB4775- 6 -LRB103 37577 RPS 67703 b HB4775 - 6 - LRB103 37577 RPS 67703 b
214	214	HB4775 - 6 - LRB103 37577 RPS 67703 b
215	215	1 of or affiliated with, directly or indirectly, a manufacturer
216	216	2 that produces more than 3,720,000 gallons of beer per year. If
217	217	3 a second-class wine-maker manufactures spirits, it shall also
218	218	4 obtain and shall only be eligible for, in addition to any
219	219	5 current license, a class 2 craft distiller license, shall not
220	220	6 manufacture more than 100,000 gallons of spirits per year, and
221	221	7 shall not be a member of or affiliated with, directly or
222	222	8 indirectly, a manufacturer that produces more than 100,000
223	223	9 gallons of spirits per year.
224	224	10 Class 8. A limited wine-manufacturer may make sales and
225	225	11 deliveries not to exceed 40,000 gallons of wine per year to
226	226	12 distributors, and to non-licensees in accordance with the
227	227	13 provisions of this Act.
228	228	14 Class 9. A craft distiller license, which may only be held
229	229	15 by a class 1 craft distiller licensee or class 2 craft
230	230	16 distiller licensee but not held by both a class 1 craft
231	231	17 distiller licensee and a class 2 craft distiller licensee,
232	232	18 shall grant all rights conveyed by either: (i) a class 1 craft
233	233	19 distiller license if the craft distiller holds a class 1 craft
234	234	20 distiller license; or (ii) a class 2 craft distiller licensee
235	235	21 if the craft distiller holds a class 2 craft distiller
236	236	22 license.
237	237	23 Class 10. A class 1 craft distiller license, which may
238	238	24 only be issued to a licensed craft distiller or licensed
239	239	25 non-resident dealer, shall allow the manufacture of up to
240	240	26 50,000 gallons of spirits per year provided that the class 1
241	241
242	242
243	243
244	244
245	245
246	246	HB4775 - 6 - LRB103 37577 RPS 67703 b
247	247
248	248
249	249	HB4775- 7 -LRB103 37577 RPS 67703 b HB4775 - 7 - LRB103 37577 RPS 67703 b
250	250	HB4775 - 7 - LRB103 37577 RPS 67703 b
251	251	1 craft distiller licensee does not manufacture more than a
252	252	2 combined 50,000 gallons of spirits per year and is not a member
253	253	3 of or affiliated with, directly or indirectly, a manufacturer
254	254	4 that produces more than 50,000 gallons of spirits per year. If
255	255	5 a class 1 craft distiller manufactures beer, it shall also
256	256	6 obtain and shall only be eligible for, in addition to any
257	257	7 current license, a class 1 brewer license, shall not
258	258	8 manufacture more than 930,000 gallons of beer per year, and
259	259	9 shall not be a member of or affiliated with, directly or
260	260	10 indirectly, a manufacturer that produces more than 930,000
261	261	11 gallons of beer per year. If a class 1 craft distiller
262	262	12 manufactures wine, it shall also obtain and shall only be
263	263	13 eligible for, in addition to any current license, a
264	264	14 first-class wine-manufacturer license or a first-class
265	265	15 wine-maker's license, shall not manufacture more than 50,000
266	266	16 gallons of wine per year, and shall not be a member of or
267	267	17 affiliated with, directly or indirectly, a manufacturer that
268	268	18 produces more than 50,000 gallons of wine per year. A class 1
269	269	19 craft distiller licensee may make sales and deliveries to
270	270	20 importing distributors and distributors and to retail
271	271	21 licensees in accordance with the conditions set forth in
272	272	22 paragraph (19) of subsection (a) of Section 3-12 of this Act.
273	273	23 However, the aggregate amount of spirits sold to non-licensees
274	274	24 and sold or delivered to retail licensees may not exceed 5,000
275	275	25 gallons per year.
276	276	26 A class 1 craft distiller licensee may sell up to 5,000
277	277
278	278
279	279
280	280
281	281
282	282	HB4775 - 7 - LRB103 37577 RPS 67703 b
283	283
284	284
285	285	HB4775- 8 -LRB103 37577 RPS 67703 b HB4775 - 8 - LRB103 37577 RPS 67703 b
286	286	HB4775 - 8 - LRB103 37577 RPS 67703 b
287	287	1 gallons of such spirits to non-licensees to the extent
288	288	2 permitted by any exemption approved by the State Commission
289	289	3 pursuant to Section 6-4 of this Act. A class 1 craft distiller
290	290	4 license holder may store such spirits at a non-contiguous
291	291	5 licensed location, but at no time shall a class 1 craft
292	292	6 distiller license holder directly or indirectly produce in the
293	293	7 aggregate more than 50,000 gallons of spirits per year.
294	294	8 A class 1 craft distiller licensee may hold more than one
295	295	9 class 1 craft distiller's license. However, a class 1 craft
296	296	10 distiller that holds more than one class 1 craft distiller
297	297	11 license shall not manufacture, in the aggregate, more than
298	298	12 50,000 gallons of spirits by distillation per year and shall
299	299	13 not sell, in the aggregate, more than 5,000 gallons of such
300	300	14 spirits to non-licensees in accordance with an exemption
301	301	15 approved by the State Commission pursuant to Section 6-4 of
302	302	16 this Act.
303	303	17 Class 11. A class 2 craft distiller license, which may
304	304	18 only be issued to a licensed craft distiller or licensed
305	305	19 non-resident dealer, shall allow the manufacture of up to
306	306	20 100,000 gallons of spirits per year provided that the class 2
307	307	21 craft distiller licensee does not manufacture more than a
308	308	22 combined 100,000 gallons of spirits per year and is not a
309	309	23 member of or affiliated with, directly or indirectly, a
310	310	24 manufacturer that produces more than 100,000 gallons of
311	311	25 spirits per year. If a class 2 craft distiller manufactures
312	312	26 beer, it shall also obtain and shall only be eligible for, in
313	313
314	314
315	315
316	316
317	317
318	318	HB4775 - 8 - LRB103 37577 RPS 67703 b
319	319
320	320
321	321	HB4775- 9 -LRB103 37577 RPS 67703 b HB4775 - 9 - LRB103 37577 RPS 67703 b
322	322	HB4775 - 9 - LRB103 37577 RPS 67703 b
323	323	1 addition to any current license, a class 2 brewer license,
324	324	2 shall not manufacture more than 3,720,000 gallons of beer per
325	325	3 year, and shall not be a member of or affiliated with, directly
326	326	4 or indirectly, a manufacturer that produces more than
327	327	5 3,720,000 gallons of beer per year. If a class 2 craft
328	328	6 distiller manufactures wine, it shall also obtain and shall
329	329	7 only be eligible for, in addition to any current license, a
330	330	8 second-class wine-maker's license, shall not manufacture more
331	331	9 than 150,000 gallons of wine per year, and shall not be a
332	332	10 member of or affiliated with, directly or indirectly, a
333	333	11 manufacturer that produces more than 150,000 gallons of wine
334	334	12 per year. A class 2 craft distiller licensee may make sales and
335	335	13 deliveries to importing distributors and distributors, but
336	336	14 shall not make sales or deliveries to any other licensee. If
337	337	15 the State Commission provides prior approval, a class 2 craft
338	338	16 distiller licensee may annually transfer up to 100,000 gallons
339	339	17 of spirits manufactured by that class 2 craft distiller
340	340	18 licensee to the premises of a licensed class 2 craft distiller
341	341	19 wholly owned and operated by the same licensee. A class 2 craft
342	342	20 distiller may transfer spirits to a distilling pub wholly
343	343	21 owned and operated by the class 2 craft distiller subject to
344	344	22 the following limitations and restrictions: (i) the transfer
345	345	23 shall not annually exceed more than 5,000 gallons; (ii) the
346	346	24 annual amount transferred shall reduce the distilling pub's
347	347	25 annual permitted production limit; (iii) all spirits
348	348	26 transferred shall be subject to Article VIII of this Act; (iv)
349	349
350	350
351	351
352	352
353	353
354	354	HB4775 - 9 - LRB103 37577 RPS 67703 b
355	355
356	356
357	357	HB4775- 10 -LRB103 37577 RPS 67703 b HB4775 - 10 - LRB103 37577 RPS 67703 b
358	358	HB4775 - 10 - LRB103 37577 RPS 67703 b
359	359	1 a written record shall be maintained by the distiller and
360	360	2 distilling pub specifying the amount, date of delivery, and
361	361	3 receipt of the product by the distilling pub; and (v) the
362	362	4 distilling pub shall be located no farther than 80 miles from
363	363	5 the class 2 craft distiller's licensed location.
364	364	6 A class 2 craft distiller shall, prior to transferring
365	365	7 spirits to a distilling pub wholly owned by the class 2 craft
366	366	8 distiller, furnish a written notice to the State Commission of
367	367	9 intent to transfer spirits setting forth the name and address
368	368	10 of the distilling pub and shall annually submit to the State
369	369	11 Commission a verified report identifying the total gallons of
370	370	12 spirits transferred to the distilling pub wholly owned by the
371	371	13 class 2 craft distiller.
372	372	14 A class 2 craft distiller license holder may store such
373	373	15 spirits at a non-contiguous licensed location, but at no time
374	374	16 shall a class 2 craft distiller license holder directly or
375	375	17 indirectly produce in the aggregate more than 100,000 gallons
376	376	18 of spirits per year.
377	377	19 Class 12. A class 1 brewer license, which may only be
378	378	20 issued to a licensed brewer or licensed non-resident dealer,
379	379	21 shall allow the manufacture of up to 930,000 gallons of beer
380	380	22 per year provided that the class 1 brewer licensee does not
381	381	23 manufacture more than a combined 930,000 gallons of beer per
382	382	24 year and is not a member of or affiliated with, directly or
383	383	25 indirectly, a manufacturer that produces more than 930,000
384	384	26 gallons of beer per year. If a class 1 brewer manufactures
385	385
386	386
387	387
388	388
389	389
390	390	HB4775 - 10 - LRB103 37577 RPS 67703 b
391	391
392	392
393	393	HB4775- 11 -LRB103 37577 RPS 67703 b HB4775 - 11 - LRB103 37577 RPS 67703 b
394	394	HB4775 - 11 - LRB103 37577 RPS 67703 b
395	395	1 spirits, it shall also obtain and shall only be eligible for,
396	396	2 in addition to any current license, a class 1 craft distiller
397	397	3 license, shall not manufacture more than 50,000 gallons of
398	398	4 spirits per year, and shall not be a member of or affiliated
399	399	5 with, directly or indirectly, a manufacturer that produces
400	400	6 more than 50,000 gallons of spirits per year. If a class 1
401	401	7 craft brewer manufactures wine, it shall also obtain and shall
402	402	8 only be eligible for, in addition to any current license, a
403	403	9 first-class wine-manufacturer license or a first-class
404	404	10 wine-maker's license, shall not manufacture more than 50,000
405	405	11 gallons of wine per year, and shall not be a member of or
406	406	12 affiliated with, directly or indirectly, a manufacturer that
407	407	13 produces more than 50,000 gallons of wine per year. A class 1
408	408	14 brewer licensee may make sales and deliveries to importing
409	409	15 distributors and distributors and to retail licensees in
410	410	16 accordance with the conditions set forth in paragraph (18) of
411	411	17 subsection (a) of Section 3-12 of this Act. If the State
412	412	18 Commission provides prior approval, a class 1 brewer may
413	413	19 annually transfer up to 930,000 gallons of beer manufactured
414	414	20 by that class 1 brewer to the premises of a licensed class 1
415	415	21 brewer wholly owned and operated by the same licensee.
416	416	22 Class 13. A class 2 brewer license, which may only be
417	417	23 issued to a licensed brewer or licensed non-resident dealer,
418	418	24 shall allow the manufacture of up to 3,720,000 gallons of beer
419	419	25 per year provided that the class 2 brewer licensee does not
420	420	26 manufacture more than a combined 3,720,000 gallons of beer per
421	421
422	422
423	423
424	424
425	425
426	426	HB4775 - 11 - LRB103 37577 RPS 67703 b
427	427
428	428
429	429	HB4775- 12 -LRB103 37577 RPS 67703 b HB4775 - 12 - LRB103 37577 RPS 67703 b
430	430	HB4775 - 12 - LRB103 37577 RPS 67703 b
431	431	1 year and is not a member of or affiliated with, directly or
432	432	2 indirectly, a manufacturer that produces more than 3,720,000
433	433	3 gallons of beer per year. If a class 2 brewer manufactures
434	434	4 spirits, it shall also obtain and shall only be eligible for,
435	435	5 in addition to any current license, a class 2 craft distiller
436	436	6 license, shall not manufacture more than 100,000 gallons of
437	437	7 spirits per year, and shall not be a member of or affiliated
438	438	8 with, directly or indirectly, a manufacturer that produces
439	439	9 more than 100,000 gallons of spirits per year. If a class 2
440	440	10 craft distiller manufactures wine, it shall also obtain and
441	441	11 shall only be eligible for, in addition to any current
442	442	12 license, a second-class wine-maker's license, shall not
443	443	13 manufacture more than 150,000 gallons of wine per year, and
444	444	14 shall not be a member of or affiliated with, directly or
445	445	15 indirectly, a manufacturer that produces more than 150,000
446	446	16 gallons of wine a year. A class 2 brewer licensee may make
447	447	17 sales and deliveries to importing distributors and
448	448	18 distributors, but shall not make sales or deliveries to any
449	449	19 other licensee. If the State Commission provides prior
450	450	20 approval, a class 2 brewer licensee may annually transfer up
451	451	21 to 3,720,000 gallons of beer manufactured by that class 2
452	452	22 brewer licensee to the premises of a licensed class 2 brewer
453	453	23 wholly owned and operated by the same licensee.
454	454	24 A class 2 brewer may transfer beer to a brew pub wholly
455	455	25 owned and operated by the class 2 brewer subject to the
456	456	26 following limitations and restrictions: (i) the transfer shall
457	457
458	458
459	459
460	460
461	461
462	462	HB4775 - 12 - LRB103 37577 RPS 67703 b
463	463
464	464
465	465	HB4775- 13 -LRB103 37577 RPS 67703 b HB4775 - 13 - LRB103 37577 RPS 67703 b
466	466	HB4775 - 13 - LRB103 37577 RPS 67703 b
467	467	1 not annually exceed more than 31,000 gallons; (ii) the annual
468	468	2 amount transferred shall reduce the brew pub's annual
469	469	3 permitted production limit; (iii) all beer transferred shall
470	470	4 be subject to Article VIII of this Act; (iv) a written record
471	471	5 shall be maintained by the brewer and brew pub specifying the
472	472	6 amount, date of delivery, and receipt of the product by the
473	473	7 brew pub; and (v) the brew pub shall be located no farther than
474	474	8 80 miles from the class 2 brewer's licensed location.
475	475	9 A class 2 brewer shall, prior to transferring beer to a
476	476	10 brew pub wholly owned by the class 2 brewer, furnish a written
477	477	11 notice to the State Commission of intent to transfer beer
478	478	12 setting forth the name and address of the brew pub and shall
479	479	13 annually submit to the State Commission a verified report
480	480	14 identifying the total gallons of beer transferred to the brew
481	481	15 pub wholly owned by the class 2 brewer.
482	482	16 Class 14. A class 3 brewer license, which may be issued to
483	483	17 a brewer or a non-resident dealer, shall allow the manufacture
484	484	18 of no more than 465,000 gallons of beer per year and no more
485	485	19 than 155,000 gallons at a single brewery premises, and shall
486	486	20 allow the sale of no more than 6,200 gallons of beer from each
487	487	21 in-state or out-of-state class 3 brewery premises, or 18,600
488	488	22 gallons in the aggregate, to retail licensees, class 1
489	489	23 brewers, class 2 brewers, and class 3 brewers as long as the
490	490	24 class 3 brewer licensee does not manufacture more than a
491	491	25 combined 465,000 gallons of beer per year and is not a member
492	492	26 of or affiliated with, directly or indirectly, a manufacturer
493	493
494	494
495	495
496	496
497	497
498	498	HB4775 - 13 - LRB103 37577 RPS 67703 b
499	499
500	500
501	501	HB4775- 14 -LRB103 37577 RPS 67703 b HB4775 - 14 - LRB103 37577 RPS 67703 b
502	502	HB4775 - 14 - LRB103 37577 RPS 67703 b
503	503	1 that produces more than 465,000 gallons of beer per year to
504	504	2 make sales to importing distributors, distributors, retail
505	505	3 licensees, brewers, class 1 brewers, class 2 brewers, and
506	506	4 class 3 brewers in accordance with the conditions set forth in
507	507	5 paragraph (20) of subsection (a) of Section 3-12. If the State
508	508	6 Commission provides prior approval, a class 3 brewer may
509	509	7 annually transfer up to 155,000 gallons of beer manufactured
510	510	8 by that class 3 brewer to the premises of a licensed class 3
511	511	9 brewer wholly owned and operated by the same licensee. A class
512	512	10 3 brewer shall manufacture beer at the brewer's class 3
513	513	11 designated licensed premises, and may sell beer as otherwise
514	514	12 provided in this Act.
515	515	13 (a-1) A manufacturer which is licensed in this State to
516	516	14 make sales or deliveries of alcoholic liquor to licensed
517	517	15 distributors or importing distributors and which enlists
518	518	16 agents, representatives, or individuals acting on its behalf
519	519	17 who contact licensed retailers on a regular and continual
520	520	18 basis in this State must register those agents,
521	521	19 representatives, or persons acting on its behalf with the
522	522	20 State Commission.
523	523	21 Registration of agents, representatives, or persons acting
524	524	22 on behalf of a manufacturer is fulfilled by submitting a form
525	525	23 to the Commission. The form shall be developed by the
526	526	24 Commission and shall include the name and address of the
527	527	25 applicant, the name and address of the manufacturer he or she
528	528	26 represents, the territory or areas assigned to sell to or
529	529
530	530
531	531
532	532
533	533
534	534	HB4775 - 14 - LRB103 37577 RPS 67703 b
535	535
536	536
537	537	HB4775- 15 -LRB103 37577 RPS 67703 b HB4775 - 15 - LRB103 37577 RPS 67703 b
538	538	HB4775 - 15 - LRB103 37577 RPS 67703 b
539	539	1 discuss pricing terms of alcoholic liquor, and any other
540	540	2 questions deemed appropriate and necessary. All statements in
541	541	3 the forms required to be made by law or by rule shall be deemed
542	542	4 material, and any person who knowingly misstates any material
543	543	5 fact under oath in an application is guilty of a Class B
544	544	6 misdemeanor. Fraud, misrepresentation, false statements,
545	545	7 misleading statements, evasions, or suppression of material
546	546	8 facts in the securing of a registration are grounds for
547	547	9 suspension or revocation of the registration. The State
548	548	10 Commission shall post a list of registered agents on the
549	549	11 Commission's website.
550	550	12 (b) A distributor's license shall allow (i) the wholesale
551	551	13 purchase and storage of alcoholic liquors and sale of
552	552	14 alcoholic liquors to licensees in this State and to persons
553	553	15 without the State, as may be permitted by law; (ii) the sale of
554	554	16 beer, cider, mead, or any combination thereof to brewers,
555	555	17 class 1 brewers, and class 2 brewers that, pursuant to
556	556	18 subsection (e) of Section 6-4 of this Act, sell beer, cider,
557	557	19 mead, or any combination thereof to non-licensees at their
558	558	20 breweries; (iii) the sale of vermouth to class 1 craft
559	559	21 distillers and class 2 craft distillers that, pursuant to
560	560	22 subsection (e) of Section 6-4 of this Act, sell spirits,
561	561	23 vermouth, or both spirits and vermouth to non-licensees at
562	562	24 their distilleries; or (iv) as otherwise provided in this Act.
563	563	25 No person licensed as a distributor shall be granted a
564	564	26 non-resident dealer's license.
565	565
566	566
567	567
568	568
569	569
570	570	HB4775 - 15 - LRB103 37577 RPS 67703 b
571	571
572	572
573	573	HB4775- 16 -LRB103 37577 RPS 67703 b HB4775 - 16 - LRB103 37577 RPS 67703 b
574	574	HB4775 - 16 - LRB103 37577 RPS 67703 b
575	575	1 (c) An importing distributor's license may be issued to
576	576	2 and held by those only who are duly licensed distributors,
577	577	3 upon the filing of an application by a duly licensed
578	578	4 distributor, with the Commission and the Commission shall,
579	579	5 without the payment of any fee, immediately issue such
580	580	6 importing distributor's license to the applicant, which shall
581	581	7 allow the importation of alcoholic liquor by the licensee into
582	582	8 this State from any point in the United States outside this
583	583	9 State, and the purchase of alcoholic liquor in barrels, casks
584	584	10 or other bulk containers and the bottling of such alcoholic
585	585	11 liquors before resale thereof, but all bottles or containers
586	586	12 so filled shall be sealed, labeled, stamped and otherwise made
587	587	13 to comply with all provisions, rules and regulations governing
588	588	14 manufacturers in the preparation and bottling of alcoholic
589	589	15 liquors. The importing distributor's license shall permit such
590	590	16 licensee to purchase alcoholic liquor from Illinois licensed
591	591	17 non-resident dealers and foreign importers only. No person
592	592	18 licensed as an importing distributor shall be granted a
593	593	19 non-resident dealer's license.
594	594	20 (d) A retailer's license shall allow the licensee to sell
595	595	21 and offer for sale at retail, only in the premises specified in
596	596	22 the license, alcoholic liquor for use or consumption, but not
597	597	23 for resale in any form. Except as provided in Section 6-16,
598	598	24 6-29, or 6-29.1, nothing in this Act shall deny, limit,
599	599	25 remove, or restrict the ability of a holder of a retailer's
600	600	26 license to transfer or ship alcoholic liquor to the purchaser
601	601
602	602
603	603
604	604
605	605
606	606	HB4775 - 16 - LRB103 37577 RPS 67703 b
607	607
608	608
609	609	HB4775- 17 -LRB103 37577 RPS 67703 b HB4775 - 17 - LRB103 37577 RPS 67703 b
610	610	HB4775 - 17 - LRB103 37577 RPS 67703 b
611	611	1 for use or consumption subject to any applicable local law or
612	612	2 ordinance. For the purposes of this Section, "shipping" means
613	613	3 the movement of alcoholic liquor from a licensed retailer to a
614	614	4 consumer via a common carrier. Except as provided in Section
615	615	5 6-16, 6-29, or 6-29.1, nothing in this Act shall deny, limit,
616	616	6 remove, or restrict the ability of a holder of a retailer's
617	617	7 license to deliver alcoholic liquor to the purchaser for use
618	618	8 or consumption. The delivery shall be made only within 12
619	619	9 hours from the time the alcoholic liquor leaves the licensed
620	620	10 premises of the retailer for delivery. For the purposes of
621	621	11 this Section, "delivery" means the movement of alcoholic
622	622	12 liquor purchased from a licensed retailer to a consumer
623	623	13 through the following methods:
624	624	14 (1) delivery within licensed retailer's parking lot,
625	625	15 including curbside, for pickup by the consumer;
626	626	16 (2) delivery by an owner, officer, director,
627	627	17 shareholder, or employee of the licensed retailer; or
628	628	18 (3) delivery by a third-party contractor, independent
629	629	19 contractor, or agent with whom the licensed retailer has
630	630	20 contracted to make deliveries of alcoholic liquors.
631	631	21 Under subsection (1), (2), or (3), delivery shall not
632	632	22 include the use of common carriers.
633	633	23 Any retail license issued to a manufacturer shall only
634	634	24 permit the manufacturer to sell beer at retail on the premises
635	635	25 actually occupied by the manufacturer. For the purpose of
636	636	26 further describing the type of business conducted at a retail
637	637
638	638
639	639
640	640
641	641
642	642	HB4775 - 17 - LRB103 37577 RPS 67703 b
643	643
644	644
645	645	HB4775- 18 -LRB103 37577 RPS 67703 b HB4775 - 18 - LRB103 37577 RPS 67703 b
646	646	HB4775 - 18 - LRB103 37577 RPS 67703 b
647	647	1 licensed premises, a retailer's licensee may be designated by
648	648	2 the State Commission as (i) an on premise consumption
649	649	3 retailer, (ii) an off premise sale retailer, or (iii) a
650	650	4 combined on premise consumption and off premise sale retailer.
651	651	5 Except for a municipality with a population of more than
652	652	6 1,000,000 inhabitants, a home rule unit may not regulate the
653	653	7 delivery of alcoholic liquor inconsistent with this
654	654	8 subsection. This paragraph is a limitation under subsection
655	655	9 (i) of Section 6 of Article VII of the Illinois Constitution on
656	656	10 the concurrent exercise by home rule units of powers and
657	657	11 functions exercised by the State. A non-home rule municipality
658	658	12 may not regulate the delivery of alcoholic liquor inconsistent
659	659	13 with this subsection.
660	660	14 Notwithstanding any other provision of this subsection
661	661	15 (d), a retail licensee may sell alcoholic liquors to a special
662	662	16 event retailer licensee for resale to the extent permitted
663	663	17 under subsection (e).
664	664	18 (e) A special event retailer's license (not-for-profit)
665	665	19 shall permit the licensee to purchase alcoholic liquors from
666	666	20 an Illinois licensed distributor (unless the licensee
667	667	21 purchases less than $500 of alcoholic liquors for the special
668	668	22 event, in which case the licensee may purchase the alcoholic
669	669	23 liquors from a licensed retailer) and shall allow the licensee
670	670	24 to sell and offer for sale, at retail, alcoholic liquors for
671	671	25 consumption on or off the premises specified in the license
672	672	26 use or consumption, but not for resale in any form and only at
673	673
674	674
675	675
676	676
677	677
678	678	HB4775 - 18 - LRB103 37577 RPS 67703 b
679	679
680	680
681	681	HB4775- 19 -LRB103 37577 RPS 67703 b HB4775 - 19 - LRB103 37577 RPS 67703 b
682	682	HB4775 - 19 - LRB103 37577 RPS 67703 b
683	683	1 the location and on the specific dates designated for the
684	684	2 special event in the license. An applicant for a special event
685	685	3 retailer license must (i) furnish with the application: (A) a
686	686	4 resale number issued under Section 2c of the Retailers'
687	687	5 Occupation Tax Act or evidence that the applicant is
688	688	6 registered under Section 2a of the Retailers' Occupation Tax
689	689	7 Act, (B) a current, valid exemption identification number
690	690	8 issued under Section 1g of the Retailers' Occupation Tax Act,
691	691	9 and a certification to the Commission that the purchase of
692	692	10 alcoholic liquors will be a tax-exempt purchase, or (C) a
693	693	11 statement that the applicant is not registered under Section
694	694	12 2a of the Retailers' Occupation Tax Act, does not hold a resale
695	695	13 number under Section 2c of the Retailers' Occupation Tax Act,
696	696	14 and does not hold an exemption number under Section 1g of the
697	697	15 Retailers' Occupation Tax Act, in which event the Commission
698	698	16 shall set forth on the special event retailer's license a
699	699	17 statement to that effect; (ii) submit with the application
700	700	18 proof satisfactory to the State Commission that the applicant
701	701	19 will provide dram shop liability insurance in the maximum
702	702	20 limits; and (iii) show proof satisfactory to the State
703	703	21 Commission that the applicant has obtained local authority
704	704	22 approval.
705	705	23 Nothing in this Act prohibits an Illinois licensed
706	706	24 distributor from offering credit or a refund for unused,
707	707	25 salable alcoholic liquors to a holder of a special event
708	708	26 retailer's license or the special event retailer's licensee
709	709
710	710
711	711
712	712
713	713
714	714	HB4775 - 19 - LRB103 37577 RPS 67703 b
715	715
716	716
717	717	HB4775- 20 -LRB103 37577 RPS 67703 b HB4775 - 20 - LRB103 37577 RPS 67703 b
718	718	HB4775 - 20 - LRB103 37577 RPS 67703 b
719	719	1 from accepting the credit or refund of alcoholic liquors at
720	720	2 the conclusion of the event specified in the license.
721	721	3 (f) A railroad license shall permit the licensee to import
722	722	4 alcoholic liquors into this State from any point in the United
723	723	5 States outside this State and to store such alcoholic liquors
724	724	6 in this State; to make wholesale purchases of alcoholic
725	725	7 liquors directly from manufacturers, foreign importers,
726	726	8 distributors and importing distributors from within or outside
727	727	9 this State; and to store such alcoholic liquors in this State;
728	728	10 provided that the above powers may be exercised only in
729	729	11 connection with the importation, purchase or storage of
730	730	12 alcoholic liquors to be sold or dispensed on a club, buffet,
731	731	13 lounge or dining car operated on an electric, gas or steam
732	732	14 railway in this State; and provided further, that railroad
733	733	15 licensees exercising the above powers shall be subject to all
734	734	16 provisions of Article VIII of this Act as applied to importing
735	735	17 distributors. A railroad license shall also permit the
736	736	18 licensee to sell or dispense alcoholic liquors on any club,
737	737	19 buffet, lounge or dining car operated on an electric, gas or
738	738	20 steam railway regularly operated by a common carrier in this
739	739	21 State, but shall not permit the sale for resale of any
740	740	22 alcoholic liquors to any licensee within this State. A license
741	741	23 shall be obtained for each car in which such sales are made.
742	742	24 (g) A boat license shall allow the sale of alcoholic
743	743	25 liquor in individual drinks, on any passenger boat regularly
744	744	26 operated as a common carrier on navigable waters in this State
745	745
746	746
747	747
748	748
749	749
750	750	HB4775 - 20 - LRB103 37577 RPS 67703 b
751	751
752	752
753	753	HB4775- 21 -LRB103 37577 RPS 67703 b HB4775 - 21 - LRB103 37577 RPS 67703 b
754	754	HB4775 - 21 - LRB103 37577 RPS 67703 b
755	755	1 or on any riverboat operated under the Illinois Gambling Act,
756	756	2 which boat or riverboat maintains a public dining room or
757	757	3 restaurant thereon.
758	758	4 (h) A non-beverage user's license shall allow the licensee
759	759	5 to purchase alcoholic liquor from a licensed manufacturer or
760	760	6 importing distributor, without the imposition of any tax upon
761	761	7 the business of such licensed manufacturer or importing
762	762	8 distributor as to such alcoholic liquor to be used by such
763	763	9 licensee solely for the non-beverage purposes set forth in
764	764	10 subsection (a) of Section 8-1 of this Act, and such licenses
765	765	11 shall be divided and classified and shall permit the purchase,
766	766	12 possession and use of limited and stated quantities of
767	767	13 alcoholic liquor as follows:
768	768	14 Class 1, not to exceed ......................... 500 gallons
769	769	15 Class 2, not to exceed ....................... 1,000 gallons
770	770	16 Class 3, not to exceed ....................... 5,000 gallons
771	771	17 Class 4, not to exceed ...................... 10,000 gallons
772	772	18 Class 5, not to exceed ....................... 50,000 gallons
773	773	19 (i) A wine-maker's premises license shall allow a licensee
774	774	20 that concurrently holds a first-class wine-maker's license to
775	775	21 sell and offer for sale at retail in the premises specified in
776	776	22 such license not more than 50,000 gallons of the first-class
777	777	23 wine-maker's wine that is made at the first-class wine-maker's
778	778	24 licensed premises per year for use or consumption, but not for
779	779	25 resale in any form. A wine-maker's premises license shall
780	780	26 allow a licensee who concurrently holds a second-class
781	781
782	782
783	783
784	784
785	785
786	786	HB4775 - 21 - LRB103 37577 RPS 67703 b
787	787
788	788
789	789	HB4775- 22 -LRB103 37577 RPS 67703 b HB4775 - 22 - LRB103 37577 RPS 67703 b
790	790	HB4775 - 22 - LRB103 37577 RPS 67703 b
791	791	1 wine-maker's license to sell and offer for sale at retail in
792	792	2 the premises specified in such license up to 100,000 gallons
793	793	3 of the second-class wine-maker's wine that is made at the
794	794	4 second-class wine-maker's licensed premises per year for use
795	795	5 or consumption but not for resale in any form. A first-class
796	796	6 wine-maker that concurrently holds a class 1 brewer license or
797	797	7 a class 1 craft distiller license shall not be eligible to hold
798	798	8 a wine-maker's premises license. A wine-maker's premises
799	799	9 license shall allow a licensee that concurrently holds a
800	800	10 first-class wine-maker's license or a second-class
801	801	11 wine-maker's license to sell and offer for sale at retail at
802	802	12 the premises specified in the wine-maker's premises license,
803	803	13 for use or consumption but not for resale in any form, any
804	804	14 beer, wine, and spirits purchased from a licensed distributor.
805	805	15 Upon approval from the State Commission, a wine-maker's
806	806	16 premises license shall allow the licensee to sell and offer
807	807	17 for sale at (i) the wine-maker's licensed premises and (ii) at
808	808	18 up to 2 additional locations for use and consumption and not
809	809	19 for resale. Each location shall require additional licensing
810	810	20 per location as specified in Section 5-3 of this Act. A
811	811	21 wine-maker's premises licensee shall secure liquor liability
812	812	22 insurance coverage in an amount at least equal to the maximum
813	813	23 liability amounts set forth in subsection (a) of Section 6-21
814	814	24 of this Act.
815	815	25 (j) An airplane license shall permit the licensee to
816	816	26 import alcoholic liquors into this State from any point in the
817	817
818	818
819	819
820	820
821	821
822	822	HB4775 - 22 - LRB103 37577 RPS 67703 b
823	823
824	824
825	825	HB4775- 23 -LRB103 37577 RPS 67703 b HB4775 - 23 - LRB103 37577 RPS 67703 b
826	826	HB4775 - 23 - LRB103 37577 RPS 67703 b
827	827	1 United States outside this State and to store such alcoholic
828	828	2 liquors in this State; to make wholesale purchases of
829	829	3 alcoholic liquors directly from manufacturers, foreign
830	830	4 importers, distributors and importing distributors from within
831	831	5 or outside this State; and to store such alcoholic liquors in
832	832	6 this State; provided that the above powers may be exercised
833	833	7 only in connection with the importation, purchase or storage
834	834	8 of alcoholic liquors to be sold or dispensed on an airplane;
835	835	9 and provided further, that airplane licensees exercising the
836	836	10 above powers shall be subject to all provisions of Article
837	837	11 VIII of this Act as applied to importing distributors. An
838	838	12 airplane licensee shall also permit the sale or dispensing of
839	839	13 alcoholic liquors on any passenger airplane regularly operated
840	840	14 by a common carrier in this State, but shall not permit the
841	841	15 sale for resale of any alcoholic liquors to any licensee
842	842	16 within this State. A single airplane license shall be required
843	843	17 of an airline company if liquor service is provided on board
844	844	18 aircraft in this State. The annual fee for such license shall
845	845	19 be as determined in Section 5-3.
846	846	20 (k) A foreign importer's license shall permit such
847	847	21 licensee to purchase alcoholic liquor from Illinois licensed
848	848	22 non-resident dealers only, and to import alcoholic liquor
849	849	23 other than in bulk from any point outside the United States and
850	850	24 to sell such alcoholic liquor to Illinois licensed importing
851	851	25 distributors and to no one else in Illinois; provided that (i)
852	852	26 the foreign importer registers with the State Commission every
853	853
854	854
855	855
856	856
857	857
858	858	HB4775 - 23 - LRB103 37577 RPS 67703 b
859	859
860	860
861	861	HB4775- 24 -LRB103 37577 RPS 67703 b HB4775 - 24 - LRB103 37577 RPS 67703 b
862	862	HB4775 - 24 - LRB103 37577 RPS 67703 b
863	863	1 brand of alcoholic liquor that it proposes to sell to Illinois
864	864	2 licensees during the license period, (ii) the foreign importer
865	865	3 complies with all of the provisions of Section 6-9 of this Act
866	866	4 with respect to registration of such Illinois licensees as may
867	867	5 be granted the right to sell such brands at wholesale, and
868	868	6 (iii) the foreign importer complies with the provisions of
869	869	7 Sections 6-5 and 6-6 of this Act to the same extent that these
870	870	8 provisions apply to manufacturers.
871	871	9 (l) (i) A broker's license shall be required of all
872	872	10 persons who solicit orders for, offer to sell or offer to
873	873	11 supply alcoholic liquor to retailers in the State of Illinois,
874	874	12 or who offer to retailers to ship or cause to be shipped or to
875	875	13 make contact with distillers, craft distillers, rectifiers,
876	876	14 brewers or manufacturers or any other party within or without
877	877	15 the State of Illinois in order that alcoholic liquors be
878	878	16 shipped to a distributor, importing distributor or foreign
879	879	17 importer, whether such solicitation or offer is consummated
880	880	18 within or without the State of Illinois.
881	881	19 No holder of a retailer's license issued by the Illinois
882	882	20 Liquor Control Commission shall purchase or receive any
883	883	21 alcoholic liquor, the order for which was solicited or offered
884	884	22 for sale to such retailer by a broker unless the broker is the
885	885	23 holder of a valid broker's license.
886	886	24 The broker shall, upon the acceptance by a retailer of the
887	887	25 broker's solicitation of an order or offer to sell or supply or
888	888	26 deliver or have delivered alcoholic liquors, promptly forward
889	889
890	890
891	891
892	892
893	893
894	894	HB4775 - 24 - LRB103 37577 RPS 67703 b
895	895
896	896
897	897	HB4775- 25 -LRB103 37577 RPS 67703 b HB4775 - 25 - LRB103 37577 RPS 67703 b
898	898	HB4775 - 25 - LRB103 37577 RPS 67703 b
899	899	1 to the Illinois Liquor Control Commission a notification of
900	900	2 said transaction in such form as the Commission may by
901	901	3 regulations prescribe.
902	902	4 (ii) A broker's license shall be required of a person
903	903	5 within this State, other than a retail licensee, who, for a fee
904	904	6 or commission, promotes, solicits, or accepts orders for
905	905	7 alcoholic liquor, for use or consumption and not for resale,
906	906	8 to be shipped from this State and delivered to residents
907	907	9 outside of this State by an express company, common carrier,
908	908	10 or contract carrier. This Section does not apply to any person
909	909	11 who promotes, solicits, or accepts orders for wine as
910	910	12 specifically authorized in Section 6-29 of this Act.
911	911	13 A broker's license under this subsection (l) shall not
912	912	14 entitle the holder to buy or sell any alcoholic liquors for his
913	913	15 own account or to take or deliver title to such alcoholic
914	914	16 liquors.
915	915	17 This subsection (l) shall not apply to distributors,
916	916	18 employees of distributors, or employees of a manufacturer who
917	917	19 has registered the trademark, brand or name of the alcoholic
918	918	20 liquor pursuant to Section 6-9 of this Act, and who regularly
919	919	21 sells such alcoholic liquor in the State of Illinois only to
920	920	22 its registrants thereunder.
921	921	23 Any agent, representative, or person subject to
922	922	24 registration pursuant to subsection (a-1) of this Section
923	923	25 shall not be eligible to receive a broker's license.
924	924	26 (m) A non-resident dealer's license shall permit such
925	925
926	926
927	927
928	928
929	929
930	930	HB4775 - 25 - LRB103 37577 RPS 67703 b
931	931
932	932
933	933	HB4775- 26 -LRB103 37577 RPS 67703 b HB4775 - 26 - LRB103 37577 RPS 67703 b
934	934	HB4775 - 26 - LRB103 37577 RPS 67703 b
935	935	1 licensee to ship into and warehouse alcoholic liquor into this
936	936	2 State from any point outside of this State, and to sell such
937	937	3 alcoholic liquor to Illinois licensed foreign importers and
938	938	4 importing distributors and to no one else in this State;
939	939	5 provided that (i) said non-resident dealer shall register with
940	940	6 the Illinois Liquor Control Commission each and every brand of
941	941	7 alcoholic liquor which it proposes to sell to Illinois
942	942	8 licensees during the license period, (ii) it shall comply with
943	943	9 all of the provisions of Section 6-9 hereof with respect to
944	944	10 registration of such Illinois licensees as may be granted the
945	945	11 right to sell such brands at wholesale by duly filing such
946	946	12 registration statement, thereby authorizing the non-resident
947	947	13 dealer to proceed to sell such brands at wholesale, and (iii)
948	948	14 the non-resident dealer shall comply with the provisions of
949	949	15 Sections 6-5 and 6-6 of this Act to the same extent that these
950	950	16 provisions apply to manufacturers. No person licensed as a
951	951	17 non-resident dealer shall be granted a distributor's or
952	952	18 importing distributor's license.
953	953	19 (n) A brew pub license shall allow the licensee to only (i)
954	954	20 manufacture up to 155,000 gallons of beer per year only on the
955	955	21 premises specified in the license, (ii) make sales of the beer
956	956	22 manufactured on the premises or, with the approval of the
957	957	23 Commission, beer manufactured on another brew pub licensed
958	958	24 premises that is wholly owned and operated by the same
959	959	25 licensee to importing distributors, distributors, and to
960	960	26 non-licensees for use and consumption, (iii) store the beer
961	961
962	962
963	963
964	964
965	965
966	966	HB4775 - 26 - LRB103 37577 RPS 67703 b
967	967
968	968
969	969	HB4775- 27 -LRB103 37577 RPS 67703 b HB4775 - 27 - LRB103 37577 RPS 67703 b
970	970	HB4775 - 27 - LRB103 37577 RPS 67703 b
971	971	1 upon the premises, (iv) sell and offer for sale at retail from
972	972	2 the licensed premises for off-premises consumption no more
973	973	3 than 155,000 gallons per year so long as such sales are only
974	974	4 made in-person, (v) sell and offer for sale at retail for use
975	975	5 and consumption on the premises specified in the license any
976	976	6 form of alcoholic liquor purchased from a licensed distributor
977	977	7 or importing distributor, (vi) with the prior approval of the
978	978	8 Commission, annually transfer no more than 155,000 gallons of
979	979	9 beer manufactured on the premises to a licensed brew pub
980	980	10 wholly owned and operated by the same licensee, and (vii)
981	981	11 notwithstanding item (i) of this subsection, brew pubs wholly
982	982	12 owned and operated by the same licensee may combine each
983	983	13 location's production limit of 155,000 gallons of beer per
984	984	14 year and allocate the aggregate total between the wholly
985	985	15 owned, operated, and licensed locations.
986	986	16 A brew pub licensee shall not under any circumstance sell
987	987	17 or offer for sale beer manufactured by the brew pub licensee to
988	988	18 retail licensees.
989	989	19 A person who holds a class 2 brewer license may
990	990	20 simultaneously hold a brew pub license if the class 2 brewer
991	991	21 (i) does not, under any circumstance, sell or offer for sale
992	992	22 beer manufactured by the class 2 brewer to retail licensees;
993	993	23 (ii) does not hold more than 3 brew pub licenses in this State;
994	994	24 (iii) does not manufacture more than a combined 3,720,000
995	995	25 gallons of beer per year, including the beer manufactured at
996	996	26 the brew pub; and (iv) is not a member of or affiliated with,
997	997
998	998
999	999
1000	1000
1001	1001
1002	1002	HB4775 - 27 - LRB103 37577 RPS 67703 b
1003	1003
1004	1004
1005	1005	HB4775- 28 -LRB103 37577 RPS 67703 b HB4775 - 28 - LRB103 37577 RPS 67703 b
1006	1006	HB4775 - 28 - LRB103 37577 RPS 67703 b
1007	1007	1 directly or indirectly, a manufacturer that produces more than
1008	1008	2 3,720,000 gallons of beer per year or any other alcoholic
1009	1009	3 liquor.
1010	1010	4 Notwithstanding any other provision of this Act, a
1011	1011	5 licensed brewer, class 2 brewer, or non-resident dealer who
1012	1012	6 before July 1, 2015 manufactured less than 3,720,000 gallons
1013	1013	7 of beer per year and held a brew pub license on or before July
1014	1014	8 1, 2015 may (i) continue to qualify for and hold that brew pub
1015	1015	9 license for the licensed premises and (ii) manufacture more
1016	1016	10 than 3,720,000 gallons of beer per year and continue to
1017	1017	11 qualify for and hold that brew pub license if that brewer,
1018	1018	12 class 2 brewer, or non-resident dealer does not simultaneously
1019	1019	13 hold a class 1 brewer license and is not a member of or
1020	1020	14 affiliated with, directly or indirectly, a manufacturer that
1021	1021	15 produces more than 3,720,000 gallons of beer per year or that
1022	1022	16 produces any other alcoholic liquor.
1023	1023	17 A brew pub licensee may apply for a class 3 brewer license
1024	1024	18 and, upon meeting all applicable qualifications of this Act
1025	1025	19 and relinquishing all commonly owned brew pub or retail
1026	1026	20 licenses, shall be issued a class 3 brewer license. Nothing in
1027	1027	21 this Act shall prohibit the issuance of a class 3 brewer
1028	1028	22 license if the applicant:
1029	1029	23 (1) has a valid retail license on or before May 1,
1030	1030	24 2021;
1031	1031	25 (2) has an ownership interest in at least two brew
1032	1032	26 pubs licenses on or before May 1, 2021;
1033	1033
1034	1034
1035	1035
1036	1036
1037	1037
1038	1038	HB4775 - 28 - LRB103 37577 RPS 67703 b
1039	1039
1040	1040
1041	1041	HB4775- 29 -LRB103 37577 RPS 67703 b HB4775 - 29 - LRB103 37577 RPS 67703 b
1042	1042	HB4775 - 29 - LRB103 37577 RPS 67703 b
1043	1043	1 (3) the brew pub licensee applies for a class 3 brewer
1044	1044	2 license on or before October 1, 2022 and relinquishes all
1045	1045	3 commonly owned brew pub licenses; and
1046	1046	4 (4) relinquishes all commonly owned retail licenses on
1047	1047	5 or before December 31, 2022.
1048	1048	6 If a brew pub licensee is issued a class 3 brewer license,
1049	1049	7 the class 3 brewer license shall expire on the same date as the
1050	1050	8 existing brew pub license and the State Commission shall not
1051	1051	9 require a class 3 brewer licensee to obtain a brewer license,
1052	1052	10 or in the alternative to pay a fee for a brewer license, until
1053	1053	11 the date the brew pub license of the applicant would have
1054	1054	12 expired.
1055	1055	13 (o) A caterer retailer license shall allow the holder to
1056	1056	14 serve alcoholic liquors as an incidental part of a food
1057	1057	15 service that serves prepared meals which excludes the serving
1058	1058	16 of snacks as the primary meal, either on or off-site whether
1059	1059	17 licensed or unlicensed. A caterer retailer license shall allow
1060	1060	18 the holder, a distributor, or an importing distributor to
1061	1061	19 transfer any inventory to and from the holder's retail
1062	1062	20 premises and shall allow the holder to purchase alcoholic
1063	1063	21 liquor from a distributor or importing distributor to be
1064	1064	22 delivered directly to an off-site event.
1065	1065	23 Nothing in this Act prohibits a distributor or importing
1066	1066	24 distributor from offering credit or a refund for unused,
1067	1067	25 salable beer to a holder of a caterer retailer license or a
1068	1068	26 caterer retailer licensee from accepting a credit or refund
1069	1069
1070	1070
1071	1071
1072	1072
1073	1073
1074	1074	HB4775 - 29 - LRB103 37577 RPS 67703 b
1075	1075
1076	1076
1077	1077	HB4775- 30 -LRB103 37577 RPS 67703 b HB4775 - 30 - LRB103 37577 RPS 67703 b
1078	1078	HB4775 - 30 - LRB103 37577 RPS 67703 b
1079	1079	1 for unused, salable beer, in the event an act of God is the
1080	1080	2 sole reason an off-site event is cancelled and if: (i) the
1081	1081	3 holder of a caterer retailer license has not transferred
1082	1082	4 alcoholic liquor from its caterer retailer premises to an
1083	1083	5 off-site location; (ii) the distributor or importing
1084	1084	6 distributor offers the credit or refund for the unused,
1085	1085	7 salable beer that it delivered to the off-site premises and
1086	1086	8 not for any unused, salable beer that the distributor or
1087	1087	9 importing distributor delivered to the caterer retailer's
1088	1088	10 premises; and (iii) the unused, salable beer would likely
1089	1089	11 spoil if transferred to the caterer retailer's premises. A
1090	1090	12 caterer retailer license shall allow the holder to transfer
1091	1091	13 any inventory from any off-site location to its caterer
1092	1092	14 retailer premises at the conclusion of an off-site event or
1093	1093	15 engage a distributor or importing distributor to transfer any
1094	1094	16 inventory from any off-site location to its caterer retailer
1095	1095	17 premises at the conclusion of an off-site event, provided that
1096	1096	18 the distributor or importing distributor issues bona fide
1097	1097	19 charges to the caterer retailer licensee for fuel, labor, and
1098	1098	20 delivery and the distributor or importing distributor collects
1099	1099	21 payment from the caterer retailer licensee prior to the
1100	1100	22 distributor or importing distributor transferring inventory to
1101	1101	23 the caterer retailer premises.
1102	1102	24 For purposes of this subsection (o), an "act of God" means
1103	1103	25 an unforeseeable event, such as a rain or snow storm, hail, a
1104	1104	26 flood, or a similar event, that is the sole cause of the
1105	1105
1106	1106
1107	1107
1108	1108
1109	1109
1110	1110	HB4775 - 30 - LRB103 37577 RPS 67703 b
1111	1111
1112	1112
1113	1113	HB4775- 31 -LRB103 37577 RPS 67703 b HB4775 - 31 - LRB103 37577 RPS 67703 b
1114	1114	HB4775 - 31 - LRB103 37577 RPS 67703 b
1115	1115	1 cancellation of an off-site, outdoor event.
1116	1116	2 (p) An auction liquor license shall allow the licensee to
1117	1117	3 sell and offer for sale at auction wine and spirits for use or
1118	1118	4 consumption, or for resale by an Illinois liquor licensee in
1119	1119	5 accordance with provisions of this Act. An auction liquor
1120	1120	6 license will be issued to a person and it will permit the
1121	1121	7 auction liquor licensee to hold the auction anywhere in the
1122	1122	8 State. An auction liquor license must be obtained for each
1123	1123	9 auction at least 14 days in advance of the auction date.
1124	1124	10 (q) A special use permit license shall allow an Illinois
1125	1125	11 licensed retailer to transfer a portion of its alcoholic
1126	1126	12 liquor inventory from its retail licensed premises to the
1127	1127	13 premises specified in the license hereby created; to purchase
1128	1128	14 alcoholic liquor from a distributor or importing distributor
1129	1129	15 to be delivered directly to the location specified in the
1130	1130	16 license hereby created; and to sell or offer for sale at
1131	1131	17 retail, only in the premises specified in the license hereby
1132	1132	18 created, the transferred or delivered alcoholic liquor for
1133	1133	19 consumption on or off the premises specified in the license
1134	1134	20 for use or consumption, but not for resale in any form. A
1135	1135	21 special use permit license may be granted for the following
1136	1136	22 time periods: one day or less; 2 or more days to a maximum of
1137	1137	23 15 days per location in any 12-month period. An applicant for
1138	1138	24 the special use permit license must also submit with the
1139	1139	25 application proof satisfactory to the State Commission that
1140	1140	26 the applicant will provide dram shop liability insurance to
1141	1141
1142	1142
1143	1143
1144	1144
1145	1145
1146	1146	HB4775 - 31 - LRB103 37577 RPS 67703 b
1147	1147
1148	1148
1149	1149	HB4775- 32 -LRB103 37577 RPS 67703 b HB4775 - 32 - LRB103 37577 RPS 67703 b
1150	1150	HB4775 - 32 - LRB103 37577 RPS 67703 b
1151	1151	1 the maximum limits and have local authority approval.
1152	1152	2 A special use permit license shall allow the holder to
1153	1153	3 transfer any inventory from the holder's special use premises
1154	1154	4 to its retail premises at the conclusion of the special use
1155	1155	5 event or engage a distributor or importing distributor to
1156	1156	6 transfer any inventory from the holder's special use premises
1157	1157	7 to its retail premises at the conclusion of an off-site event,
1158	1158	8 provided that the distributor or importing distributor issues
1159	1159	9 bona fide charges to the special use permit licensee for fuel,
1160	1160	10 labor, and delivery and the distributor or importing
1161	1161	11 distributor collects payment from the retail licensee prior to
1162	1162	12 the distributor or importing distributor transferring
1163	1163	13 inventory to the retail premises.
1164	1164	14 Nothing in this Act prohibits a distributor or importing
1165	1165	15 distributor from offering credit or a refund for unused,
1166	1166	16 salable beer to a special use permit licensee or a special use
1167	1167	17 permit licensee from accepting a credit or refund for unused,
1168	1168	18 salable beer at the conclusion of the event specified in the
1169	1169	19 license if: (i) the holder of the special use permit license
1170	1170	20 has not transferred alcoholic liquor from its retail licensed
1171	1171	21 premises to the premises specified in the special use permit
1172	1172	22 license; (ii) the distributor or importing distributor offers
1173	1173	23 the credit or refund for the unused, salable beer that it
1174	1174	24 delivered to the premises specified in the special use permit
1175	1175	25 license and not for any unused, salable beer that the
1176	1176	26 distributor or importing distributor delivered to the
1177	1177
1178	1178
1179	1179
1180	1180
1181	1181
1182	1182	HB4775 - 32 - LRB103 37577 RPS 67703 b
1183	1183
1184	1184
1185	1185	HB4775- 33 -LRB103 37577 RPS 67703 b HB4775 - 33 - LRB103 37577 RPS 67703 b
1186	1186	HB4775 - 33 - LRB103 37577 RPS 67703 b
1187	1187	1 retailer's premises; and (iii) the unused, salable beer would
1188	1188	2 likely spoil if transferred to the retailer premises.
1189	1189	3 (r) A winery shipper's license shall allow a person with a
1190	1190	4 first-class or second-class wine manufacturer's license, a
1191	1191	5 first-class or second-class wine-maker's license, or a limited
1192	1192	6 wine manufacturer's license or who is licensed to make wine
1193	1193	7 under the laws of another state to ship wine made by that
1194	1194	8 licensee directly to a resident of this State who is 21 years
1195	1195	9 of age or older for that resident's personal use and not for
1196	1196	10 resale. Prior to receiving a winery shipper's license, an
1197	1197	11 applicant for the license must provide the Commission with a
1198	1198	12 true copy of its current license in any state in which it is
1199	1199	13 licensed as a manufacturer of wine. An applicant for a winery
1200	1200	14 shipper's license must also complete an application form that
1201	1201	15 provides any other information the Commission deems necessary.
1202	1202	16 The application form shall include all addresses from which
1203	1203	17 the applicant for a winery shipper's license intends to ship
1204	1204	18 wine, including the name and address of any third party,
1205	1205	19 except for a common carrier, authorized to ship wine on behalf
1206	1206	20 of the manufacturer. The application form shall include an
1207	1207	21 acknowledgement consenting to the jurisdiction of the
1208	1208	22 Commission, the Illinois Department of Revenue, and the courts
1209	1209	23 of this State concerning the enforcement of this Act and any
1210	1210	24 related laws, rules, and regulations, including authorizing
1211	1211	25 the Department of Revenue and the Commission to conduct audits
1212	1212	26 for the purpose of ensuring compliance with Public Act 95-634,
1213	1213
1214	1214
1215	1215
1216	1216
1217	1217
1218	1218	HB4775 - 33 - LRB103 37577 RPS 67703 b
1219	1219
1220	1220
1221	1221	HB4775- 34 -LRB103 37577 RPS 67703 b HB4775 - 34 - LRB103 37577 RPS 67703 b
1222	1222	HB4775 - 34 - LRB103 37577 RPS 67703 b
1223	1223	1 and an acknowledgement that the wine manufacturer is in
1224	1224	2 compliance with Section 6-2 of this Act. Any third party,
1225	1225	3 except for a common carrier, authorized to ship wine on behalf
1226	1226	4 of a first-class or second-class wine manufacturer's licensee,
1227	1227	5 a first-class or second-class wine-maker's licensee, a limited
1228	1228	6 wine manufacturer's licensee, or a person who is licensed to
1229	1229	7 make wine under the laws of another state shall also be
1230	1230	8 disclosed by the winery shipper's licensee, and a copy of the
1231	1231	9 written appointment of the third-party wine provider, except
1232	1232	10 for a common carrier, to the wine manufacturer shall be filed
1233	1233	11 with the State Commission as a supplement to the winery
1234	1234	12 shipper's license application or any renewal thereof. The
1235	1235	13 winery shipper's license holder shall affirm under penalty of
1236	1236	14 perjury, as part of the winery shipper's license application
1237	1237	15 or renewal, that he or she only ships wine, either directly or
1238	1238	16 indirectly through a third-party provider, from the licensee's
1239	1239	17 own production.
1240	1240	18 Except for a common carrier, a third-party provider
1241	1241	19 shipping wine on behalf of a winery shipper's license holder
1242	1242	20 is the agent of the winery shipper's license holder and, as
1243	1243	21 such, a winery shipper's license holder is responsible for the
1244	1244	22 acts and omissions of the third-party provider acting on
1245	1245	23 behalf of the license holder. A third-party provider, except
1246	1246	24 for a common carrier, that engages in shipping wine into
1247	1247	25 Illinois on behalf of a winery shipper's license holder shall
1248	1248	26 consent to the jurisdiction of the State Commission and the
1249	1249
1250	1250
1251	1251
1252	1252
1253	1253
1254	1254	HB4775 - 34 - LRB103 37577 RPS 67703 b
1255	1255
1256	1256
1257	1257	HB4775- 35 -LRB103 37577 RPS 67703 b HB4775 - 35 - LRB103 37577 RPS 67703 b
1258	1258	HB4775 - 35 - LRB103 37577 RPS 67703 b
1259	1259	1 State. Any third-party, except for a common carrier, holding
1260	1260	2 such an appointment shall, by February 1 of each calendar year
1261	1261	3 and upon request by the State Commission or the Department of
1262	1262	4 Revenue, file with the State Commission a statement detailing
1263	1263	5 each shipment made to an Illinois resident. The statement
1264	1264	6 shall include the name and address of the third-party provider
1265	1265	7 filing the statement, the time period covered by the
1266	1266	8 statement, and the following information:
1267	1267	9 (1) the name, address, and license number of the
1268	1268	10 winery shipper on whose behalf the shipment was made;
1269	1269	11 (2) the quantity of the products delivered; and
1270	1270	12 (3) the date and address of the shipment.
1271	1271	13 If the Department of Revenue or the State Commission requests
1272	1272	14 a statement under this paragraph, the third-party provider
1273	1273	15 must provide that statement no later than 30 days after the
1274	1274	16 request is made. Any books, records, supporting papers, and
1275	1275	17 documents containing information and data relating to a
1276	1276	18 statement under this paragraph shall be kept and preserved for
1277	1277	19 a period of 3 years, unless their destruction sooner is
1278	1278	20 authorized, in writing, by the Director of Revenue, and shall
1279	1279	21 be open and available to inspection by the Director of Revenue
1280	1280	22 or the State Commission or any duly authorized officer, agent,
1281	1281	23 or employee of the State Commission or the Department of
1282	1282	24 Revenue, at all times during business hours of the day. Any
1283	1283	25 person who violates any provision of this paragraph or any
1284	1284	26 rule of the State Commission for the administration and
1285	1285
1286	1286
1287	1287
1288	1288
1289	1289
1290	1290	HB4775 - 35 - LRB103 37577 RPS 67703 b
1291	1291
1292	1292
1293	1293	HB4775- 36 -LRB103 37577 RPS 67703 b HB4775 - 36 - LRB103 37577 RPS 67703 b
1294	1294	HB4775 - 36 - LRB103 37577 RPS 67703 b
1295	1295	1 enforcement of the provisions of this paragraph is guilty of a
1296	1296	2 Class C misdemeanor. In case of a continuing violation, each
1297	1297	3 day's continuance thereof shall be a separate and distinct
1298	1298	4 offense.
1299	1299	5 The State Commission shall adopt rules as soon as
1300	1300	6 practicable to implement the requirements of Public Act 99-904
1301	1301	7 and shall adopt rules prohibiting any such third-party
1302	1302	8 appointment of a third-party provider, except for a common
1303	1303	9 carrier, that has been deemed by the State Commission to have
1304	1304	10 violated the provisions of this Act with regard to any winery
1305	1305	11 shipper licensee.
1306	1306	12 A winery shipper licensee must pay to the Department of
1307	1307	13 Revenue the State liquor gallonage tax under Section 8-1 for
1308	1308	14 all wine that is sold by the licensee and shipped to a person
1309	1309	15 in this State. For the purposes of Section 8-1, a winery
1310	1310	16 shipper licensee shall be taxed in the same manner as a
1311	1311	17 manufacturer of wine. A licensee who is not otherwise required
1312	1312	18 to register under the Retailers' Occupation Tax Act must
1313	1313	19 register under the Use Tax Act to collect and remit use tax to
1314	1314	20 the Department of Revenue for all gallons of wine that are sold
1315	1315	21 by the licensee and shipped to persons in this State. If a
1316	1316	22 licensee fails to remit the tax imposed under this Act in
1317	1317	23 accordance with the provisions of Article VIII of this Act,
1318	1318	24 the winery shipper's license shall be revoked in accordance
1319	1319	25 with the provisions of Article VII of this Act. If a licensee
1320	1320	26 fails to properly register and remit tax under the Use Tax Act
1321	1321
1322	1322
1323	1323
1324	1324
1325	1325
1326	1326	HB4775 - 36 - LRB103 37577 RPS 67703 b
1327	1327
1328	1328
1329	1329	HB4775- 37 -LRB103 37577 RPS 67703 b HB4775 - 37 - LRB103 37577 RPS 67703 b
1330	1330	HB4775 - 37 - LRB103 37577 RPS 67703 b
1331	1331	1 or the Retailers' Occupation Tax Act for all wine that is sold
1332	1332	2 by the winery shipper and shipped to persons in this State, the
1333	1333	3 winery shipper's license shall be revoked in accordance with
1334	1334	4 the provisions of Article VII of this Act.
1335	1335	5 A winery shipper licensee must collect, maintain, and
1336	1336	6 submit to the Commission on a semi-annual basis the total
1337	1337	7 number of cases per resident of wine shipped to residents of
1338	1338	8 this State. A winery shipper licensed under this subsection
1339	1339	9 (r) must comply with the requirements of Section 6-29 of this
1340	1340	10 Act.
1341	1341	11 Pursuant to paragraph (5.1) or (5.3) of subsection (a) of
1342	1342	12 Section 3-12, the State Commission may receive, respond to,
1343	1343	13 and investigate any complaint and impose any of the remedies
1344	1344	14 specified in paragraph (1) of subsection (a) of Section 3-12.
1345	1345	15 As used in this subsection, "third-party provider" means
1346	1346	16 any entity that provides fulfillment house services, including
1347	1347	17 warehousing, packaging, distribution, order processing, or
1348	1348	18 shipment of wine, but not the sale of wine, on behalf of a
1349	1349	19 licensed winery shipper.
1350	1350	20 (s) A craft distiller tasting permit license shall allow
1351	1351	21 an Illinois licensed class 1 craft distiller or class 2 craft
1352	1352	22 distiller to transfer a portion of its alcoholic liquor
1353	1353	23 inventory from its class 1 craft distiller or class 2 craft
1354	1354	24 distiller licensed premises to the premises specified in the
1355	1355	25 license hereby created and to conduct a sampling, only in the
1356	1356	26 premises specified in the license hereby created, of the
1357	1357
1358	1358
1359	1359
1360	1360
1361	1361
1362	1362	HB4775 - 37 - LRB103 37577 RPS 67703 b
1363	1363
1364	1364
1365	1365	HB4775- 38 -LRB103 37577 RPS 67703 b HB4775 - 38 - LRB103 37577 RPS 67703 b
1366	1366	HB4775 - 38 - LRB103 37577 RPS 67703 b
1367	1367	1 transferred alcoholic liquor in accordance with subsection (c)
1368	1368	2 of Section 6-31 of this Act. The transferred alcoholic liquor
1369	1369	3 may not be sold or resold in any form. An applicant for the
1370	1370	4 craft distiller tasting permit license must also submit with
1371	1371	5 the application proof satisfactory to the State Commission
1372	1372	6 that the applicant will provide dram shop liability insurance
1373	1373	7 to the maximum limits and have local authority approval.
1374	1374	8 (t) A brewer warehouse permit may be issued to the holder
1375	1375	9 of a class 1 brewer license or a class 2 brewer license. If the
1376	1376	10 holder of the permit is a class 1 brewer licensee, the brewer
1377	1377	11 warehouse permit shall allow the holder to store or warehouse
1378	1378	12 up to 930,000 gallons of tax-determined beer manufactured by
1379	1379	13 the holder of the permit at the premises specified on the
1380	1380	14 permit. If the holder of the permit is a class 2 brewer
1381	1381	15 licensee, the brewer warehouse permit shall allow the holder
1382	1382	16 to store or warehouse up to 3,720,000 gallons of
1383	1383	17 tax-determined beer manufactured by the holder of the permit
1384	1384	18 at the premises specified on the permit. Sales to
1385	1385	19 non-licensees are prohibited at the premises specified in the
1386	1386	20 brewer warehouse permit.
1387	1387	21 (u) A distilling pub license shall allow the licensee to
1388	1388	22 only (i) manufacture up to 5,000 gallons of spirits per year
1389	1389	23 only on the premises specified in the license, (ii) make sales
1390	1390	24 of the spirits manufactured on the premises or, with the
1391	1391	25 approval of the State Commission, spirits manufactured on
1392	1392	26 another distilling pub licensed premises that is wholly owned
1393	1393
1394	1394
1395	1395
1396	1396
1397	1397
1398	1398	HB4775 - 38 - LRB103 37577 RPS 67703 b
1399	1399
1400	1400
1401	1401	HB4775- 39 -LRB103 37577 RPS 67703 b HB4775 - 39 - LRB103 37577 RPS 67703 b
1402	1402	HB4775 - 39 - LRB103 37577 RPS 67703 b
1403	1403	1 and operated by the same licensee to importing distributors
1404	1404	2 and distributors and to non-licensees for use and consumption,
1405	1405	3 (iii) store the spirits upon the premises, (iv) sell and offer
1406	1406	4 for sale at retail from the licensed premises for off-premises
1407	1407	5 consumption no more than 5,000 gallons per year so long as such
1408	1408	6 sales are only made in-person, (v) sell and offer for sale at
1409	1409	7 retail for use and consumption on the premises specified in
1410	1410	8 the license any form of alcoholic liquor purchased from a
1411	1411	9 licensed distributor or importing distributor, and (vi) with
1412	1412	10 the prior approval of the State Commission, annually transfer
1413	1413	11 no more than 5,000 gallons of spirits manufactured on the
1414	1414	12 premises to a licensed distilling pub wholly owned and
1415	1415	13 operated by the same licensee.
1416	1416	14 A distilling pub licensee shall not under any circumstance
1417	1417	15 sell or offer for sale spirits manufactured by the distilling
1418	1418	16 pub licensee to retail licensees.
1419	1419	17 A person who holds a class 2 craft distiller license may
1420	1420	18 simultaneously hold a distilling pub license if the class 2
1421	1421	19 craft distiller (i) does not, under any circumstance, sell or
1422	1422	20 offer for sale spirits manufactured by the class 2 craft
1423	1423	21 distiller to retail licensees; (ii) does not hold more than 3
1424	1424	22 distilling pub licenses in this State; (iii) does not
1425	1425	23 manufacture more than a combined 100,000 gallons of spirits
1426	1426	24 per year, including the spirits manufactured at the distilling
1427	1427	25 pub; and (iv) is not a member of or affiliated with, directly
1428	1428	26 or indirectly, a manufacturer that produces more than 100,000
1429	1429
1430	1430
1431	1431
1432	1432
1433	1433
1434	1434	HB4775 - 39 - LRB103 37577 RPS 67703 b
1435	1435
1436	1436
1437	1437	HB4775- 40 -LRB103 37577 RPS 67703 b HB4775 - 40 - LRB103 37577 RPS 67703 b
1438	1438	HB4775 - 40 - LRB103 37577 RPS 67703 b
1439	1439	1 gallons of spirits per year or any other alcoholic liquor.
1440	1440	2 (v) A craft distiller warehouse permit may be issued to
1441	1441	3 the holder of a class 1 craft distiller or class 2 craft
1442	1442	4 distiller license. The craft distiller warehouse permit shall
1443	1443	5 allow the holder to store or warehouse up to 500,000 gallons of
1444	1444	6 spirits manufactured by the holder of the permit at the
1445	1445	7 premises specified on the permit. Sales to non-licensees are
1446	1446	8 prohibited at the premises specified in the craft distiller
1447	1447	9 warehouse permit.
1448	1448	10 (w) A beer showcase permit license shall allow an
1449	1449	11 Illinois-licensed distributor to transfer a portion of its
1450	1450	12 beer inventory from its licensed premises to the premises
1451	1451	13 specified in the beer showcase permit license, and, in the
1452	1452	14 case of a class 3 brewer, transfer only beer the class 3 brewer
1453	1453	15 manufactures from its licensed premises to the premises
1454	1454	16 specified in the beer showcase permit license; and to sell or
1455	1455	17 offer for sale at retail, only in the premises specified in the
1456	1456	18 beer showcase permit license, the transferred or delivered
1457	1457	19 beer for on or off premise consumption, but not for resale in
1458	1458	20 any form and to sell to non-licensees not more than 96 fluid
1459	1459	21 ounces of beer per person. A beer showcase permit license may
1460	1460	22 be granted for the following time periods: one day or less; or
1461	1461	23 2 or more days to a maximum of 15 days per location in any
1462	1462	24 12-month period. An applicant for a beer showcase permit
1463	1463	25 license must also submit with the application proof
1464	1464	26 satisfactory to the State Commission that the applicant will
1465	1465
1466	1466
1467	1467
1468	1468
1469	1469
1470	1470	HB4775 - 40 - LRB103 37577 RPS 67703 b
1471	1471
1472	1472
1473	1473	HB4775- 41 -LRB103 37577 RPS 67703 b HB4775 - 41 - LRB103 37577 RPS 67703 b
1474	1474	HB4775 - 41 - LRB103 37577 RPS 67703 b
1475	1475	1 provide dram shop liability insurance to the maximum limits
1476	1476	2 and have local authority approval. The State Commission shall
1477	1477	3 require the beer showcase applicant to comply with Section
1478	1478	4 6-27.1.
1479	1479	5 (Source: P.A. 101-16, eff. 6-14-19; 101-31, eff. 6-28-19;
1480	1480	6 101-81, eff. 7-12-19; 101-482, eff. 8-23-19; 101-517, eff.
1481	1481	7 8-23-19; 101-615, eff. 12-20-19; 101-668, eff. 1-1-22;
1482	1482	8 102-442, eff. 8-20-21; 102-1142, eff. 2-17-23.)
1483	1483	9 (235 ILCS 5/6-40 new)
1484	1484	10 Sec. 6-40. Consumer loyalty and reward programs.
1485	1485	11 (a) In this Section, "consumer loyalty and reward program"
1486	1486	12 means any program offered to consumers by a licensed retailer
1487	1487	13 or manufacturer with retail privileges designed to allow a
1488	1488	14 consumer to access rewards for purchases made at the premises
1489	1489	15 of the retailer or the premises of the manufacturer with
1490	1490	16 retail privileges. "Consumer loyalty and reward program"
1491	1491	17 includes, but is not limited to, selling the retailer's or
1492	1492	18 manufacturer with retail privileges' products at a discount
1493	1493	19 for promotional purposes, targeted discounts, membership
1494	1494	20 programs that offer discounts, point accumulation programs,
1495	1495	21 membership in a retailer's or manufacturer with retail
1496	1496	22 privileges' club or organization, email lists or other forms
1497	1497	23 of registration by a consumer in a retailer's or manufacturer
1498	1498	24 with retail privileges' program, or mug clubs.
1499	1499	25 (b) Any retail licensee or licensed manufacturer with
1500	1500
1501	1501
1502	1502
1503	1503
1504	1504
1505	1505	HB4775 - 41 - LRB103 37577 RPS 67703 b
1506	1506
1507	1507
1508	1508	HB4775- 42 -LRB103 37577 RPS 67703 b HB4775 - 42 - LRB103 37577 RPS 67703 b
1509	1509	HB4775 - 42 - LRB103 37577 RPS 67703 b
1510	1510
1511	1511
1512	1512
1513	1513
1514	1514
1515	1515	HB4775 - 42 - LRB103 37577 RPS 67703 b