Indiana 2022 Regular Session

Indiana House Bill HB1298 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
	1	+	EH1298.1
	2	+	February 25, 2022
	3	+	ENGROSSED
	4	+	HOUSE BILL No. 1298
	5	+	_____
	6	+	DIGEST OF HB 1298 (Updated February 23, 2022 2:32 pm - DI 147)
	7	+	Citations Affected: IC 7.1-3; IC 7.1-4; IC 7.1-5; noncode.
	8	+	Synopsis: Alcoholic beverages. Provides that the alcohol and tobacco
	9	+	commission may not require physical separation between a bar area
	10	+	and a dining area in a food hall. Reduces the length of time that an
	11	+	applicant for an artisan distiller's permit must hold another permit prior
	12	+	to the date of the application. Creates a temporary craft manufacturer
	13	+	hospitality permit (hospitality permit) that allows a craft manufacturer
	14	+	to participate in a convention, a trade show, an exposition, or a similar
	15	+	event on the licensed premises of a particular host permittee. Specifies
	16	+	certain requirements and restrictions concerning a hospitality permit.
	17	+	Makes conforming amendments.
	18	+	Effective: July 1, 2022.
	19	+	Smaltz, Clere, Bartels
	20	+	(SENATE SPONSOR — ALTING)
	21	+	January 11, 2022, read first time and referred to Committee on Public Policy.
	22	+	January 18, 2022, amended, reported — Do Pass.
	23	+	January 26, 2022, read second time, amended, ordered engrossed.
	24	+	January 27, 2022, engrossed.
	25	+	January 31, 2022, read third time, passed. Yeas 88, nays 2.
	26	+	SENATE ACTION
	27	+	February 8, 2022, read first time and referred to Committee on Public Policy.
	28	+	February 24, 2022, amended, reported favorably — Do Pass.
	29	+	EH 1298—LS 7163/DI 87 February 25, 2022
1	30		Second Regular Session of the 122nd General Assembly (2022)
2	31		PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
3	32		Constitution) is being amended, the text of the existing provision will appear in this style type,
4	33		additions will appear in this style type, and deletions will appear in this style type.
5	34		Additions: Whenever a new statutory provision is being enacted (or a new constitutional
6	35		provision adopted), the text of the new provision will appear in this style type. Also, the
7	36		word NEW will appear in that style type in the introductory clause of each SECTION that adds
8	37		a new provision to the Indiana Code or the Indiana Constitution.
9	38		Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
10	39		between statutes enacted by the 2021 Regular Session of the General Assembly.
11		-	HOUSE ENROLLED ACT No. 1298
12		-	AN ACT to amend the Indiana Code concerning alcohol and
13		-	tobacco.
	40	+	ENGROSSED
	41	+	HOUSE BILL No. 1298
	42	+	A BILL FOR AN ACT to amend the Indiana Code concerning
	43	+	alcohol and tobacco.
14	44		Be it enacted by the General Assembly of the State of Indiana:
15		-	SECTION 1. IC 7.1-3-20-29, AS AMENDED BY P.L.150-2021,
	45	+	1 SECTION 1. IC 7.1-3-20-29, AS AMENDED BY P.L.150-2021,
	46	+	2 SECTION 4 AND P.L.194-2021, SECTION 46, IS AMENDED TO
	47	+	3 READ AS FOLLOWS [EFFECTIVE JULY 1, 2022]: Sec. 29. (a) As
	48	+	4 used in this section, "food hall" means the premises:
	49	+	5 (1) located within a retail shopping and food service district; and
	50	+	6 (2) to which a master permit is issued under this section.
	51	+	7 (b) As used in this section, "master permit" means a food hall master
	52	+	8 permit issued under this section.
	53	+	9 (c) Except as provided in subsection (d), the commission may issue
	54	+	10 a master permit, which is a three-way retailer's permit for on premises
	55	+	11 consumption, to a food hall located in a retail shopping and food
	56	+	12 service district that meets the following requirements:
	57	+	13 (1) The district consists of an area that:
	58	+	14 (A) has been redeveloped, renovated, or environmentally
	59	+	15 remediated in part with grants from the federal, state, or local
	60	+	16 government under IC 36-7-11; and
	61	+	17 (B) is entirely located within an incorporated city or town.
	62	+	EH 1298—LS 7163/DI 87 2
	63	+	1 (2) The district consists of land and a building or group of
	64	+	2 buildings that are part of a common development.
	65	+	3 (3) The district is located within a locally designated historic
	66	+	4 district under IC 36-7-11 established by a city or town ordinance.
	67	+	5 (4) The district contains at least one (1) building that:
	68	+	6 (A) is on the list of the National Register for Historic Places or
	69	+	7 qualifies as a historic building worthy of preservation under
	70	+	8 IC 36-7-11; and
	71	+	9 (B) has been approved for present commercial use by the local
	72	+	10 historic preservation commission of the city or town.
	73	+	11 (d) Subsection (c)(3) and (c)(4) does not apply to a food hall that:
	74	+	12 (1) is located within a certified technology park established under
	75	+	13 IC 36-7-32; and
	76	+	14 (2) operates within a previously vacant building that was, or
	77	+	15 within a complex of buildings that were:
	78	+	16 (A) placed in service at least twenty-five (25) years prior to the
	79	+	17 redevelopment of the building or buildings; and
	80	+	18 (B) owned by a unit of local government or a public charitable
	81	+	19 trust prior to redevelopment.
	82	+	20 (e) The commission may issue a master permit to the owner or
	83	+	21 developer of a food hall. The food hall constitutes a single permit
	84	+	22 premises that:
	85	+	23 (1) contains not less than seven (7) distinct, nonaffiliated retail
	86	+	24 food and beverage vendors, each of which may apply for a food
	87	+	25 hall vendor permit under section 30 of this chapter; and
	88	+	26 (2) has a seating capacity of the type traditionally designed for
	89	+	27 food and drink for at least one hundred (100) people.
	90	+	28 (f) An applicant for a master permit shall post notice and appear in
	91	+	29 front of the local board in which the permit premises is situated. The
	92	+	30 local board shall determine the eligibility of the applicant under this
	93	+	31 section and hear evidence in support of or against the master permit
	94	+	32 location. A master permit may not be transferred to a location outside
	95	+	33 the food hall permit premises. A permit that is inactive for more than
	96	+	34 six (6) months shall revert back to the commission or may be deposited
	97	+	35 with the commission under IC 7.1-3-1.1 with the commission's
	98	+	36 permission.
	99	+	37 (g) A master permit authorized by this section may be issued
	100	+	38 without regard to the proximity provisions of IC 7.1-3-21-11 or the
	101	+	39 quota provisions of IC 7.1-3-22.
	102	+	40 (h) The commission may not require physical separation
	103	+	41 between a bar area and a dining area in a food hall.
	104	+	42 SECTION 2. IC 7.1-3-27-5, AS AMENDED BY P.L.270-2017,
	105	+	EH 1298—LS 7163/DI 87 3
	106	+	1 SECTION 15, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	107	+	2 JULY 1, 2022]: Sec. 5. (a) Except as provided in section 7 of this
	108	+	3 chapter, an applicant for an artisan distiller's permit must meet all the
	109	+	4 following requirements to be eligible for an artisan distiller's permit:
	110	+	5 (1) The permit applicant must hold one (1) of the following
	111	+	6 permits for the eighteen (18) six (6) months immediately
	112	+	7 preceding the date of the application:
	113	+	8 (A) A farm winery permit under IC 7.1-3-12.
	114	+	9 (B) A brewer's permit issued under IC 7.1-3-2-2(b).
	115	+	10 (C) A distiller's permit under IC 7.1-3-7.
	116	+	11 (2) The permit applicant may not have more than one (1) violation
	117	+	12 of this title during the eighteen (18) months immediately
	118	+	13 preceding the date of the application.
	119	+	14 (3) The permit applicant may not have any violation of this title
	120	+	15 during the twelve (12) month period immediately preceding the
	121	+	16 date of the permit application.
	122	+	17 (b) As used in this subsection, "qualifying permit" means a farm
	123	+	18 winery, brewer's, or distiller's permit under subsection (a)(1)(A),
	124	+	19 (a)(1)(B), or (a)(1)(C) that is required in order to hold an artisan
	125	+	20 distiller's permit. The same persons must directly or indirectly own and
	126	+	21 control more than fifty percent (50%) of the entity that holds the
	127	+	22 qualifying permit and the artisan distiller's permit.
	128	+	23 SECTION 3. IC 7.1-3-30 IS ADDED TO THE INDIANA CODE
	129	+	24 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
	130	+	25 JULY 1, 2022]:
	131	+	26 Chapter 30. Temporary Craft Manufacturer Hospitality Permit
	132	+	27 Sec. 1. The following terms apply throughout this chapter:
	133	+	28 (1) "Craft manufacturer" means a person who holds:
	134	+	29 (A) a small brewery permit under IC 7.1-3-2-7(5);
	135	+	30 (B) a farm winery permit under IC 7.1-3-12; or
	136	+	31 (C) an artisan distiller's permit under IC 7.1-3-27.
	137	+	32 (2) "Holder" means a person who holds a temporary craft
	138	+	33 manufacturer hospitality permit.
	139	+	34 (3) "Hospitality permit" means a temporary craft
	140	+	35 manufacturer hospitality permit issued under this chapter.
	141	+	36 (4) "Host permittee" means a person who holds:
	142	+	37 (A) a civic center permit under IC 7.1-3-1-25;
	143	+	38 (B) a permit under IC 7.1-3-20-18 through IC 7.1-3-20-21
	144	+	39 (hotel);
	145	+	40 (C) a permit under IC 7.1-3-21-14 (state fair grounds);
	146	+	41 (D) a permit under IC 7.1-3-20-16.8 (economic
	147	+	42 development area); or
	148	+	EH 1298—LS 7163/DI 87 4
	149	+	1 (E) a permit under IC 7.1-3-17.8 (state park).
	150	+	2 (5) "Temporary event" means an event listed in section 4 of
	151	+	3 this chapter for which the commission issues a hospitality
	152	+	4 permit.
	153	+	5 Sec. 2. (a) The commission may issue a temporary craft
	154	+	6 manufacturer hospitality permit without publication of notice or
	155	+	7 investigation before a local board to a qualified person as provided
	156	+	8 in this chapter. In all other respects, a hospitality permit shall be
	157	+	9 issued, revoked, and governed by the restrictions and limitations
	158	+	10 made in a provisional order or rule or regulation of the
	159	+	11 commission.
	160	+	12 (b) The commission shall issue a hospitality permit to an
	161	+	13 applicant if the applicant:
	162	+	14 (1) submits an application for a hospitality permit to the
	163	+	15 commission not later than five (5) business days before the
	164	+	16 event for which the permit is requested;
	165	+	17 (2) meets all requirements for a hospitality permit; and
	166	+	18 (3) pays the license fee for a hospitality permit, as described
	167	+	19 in IC 7.1-4-4.1-5.1.
	168	+	20 (c) If authorized by the chairman or the chairman's designee,
	169	+	21 and at the commission's discretion, a hospitality permit may be
	170	+	22 issued to an applicant that:
	171	+	23 (1) submits an application for the hospitality permit to the
	172	+	24 commission later than five (5) business days before the event
	173	+	25 for which the hospitality permit is requested; and
	174	+	26 (2) meets all requirements for a hospitality permit.
	175	+	27 (d) An application submitted under this section must contain a
	176	+	28 floor plan which demonstrates that the host permittee is not
	177	+	29 operating a bar in the same area as the temporary event. The
	178	+	30 premises of the temporary event must be well defined.
	179	+	31 (e) An application submitted under this section must:
	180	+	32 (1) identify each craft manufacturer that will participate in
	181	+	33 the temporary event;
	182	+	34 (2) designate an individual who is responsible for the event;
	183	+	35 and
	184	+	36 (3) be signed by the individual described in subdivision (2).
	185	+	37 Sec. 3. The commission may issue a hospitality permit to a
	186	+	38 person who is qualified to hold a beer retailer's permit and who
	187	+	39 has such other qualifications as the commission may prescribe by
	188	+	40 a provisional order until it adopts a rule or regulation on the
	189	+	41 matter. However, the special disqualifications listed in
	190	+	42 IC 7.1-3-4-2(a)(4), IC 7.1-3-4-2(a)(9), and IC 7.1-3-4-2(a)(14) do not
	191	+	EH 1298—LS 7163/DI 87 5
	192	+	1 apply to an applicant for a hospitality permit.
	193	+	2 Sec. 4. The commission may issue a hospitality permit only to
	194	+	3 allow a craft manufacturer to participate in:
	195	+	4 (1) a convention;
	196	+	5 (2) a trade show;
	197	+	6 (3) an exposition; or
	198	+	7 (4) an event similar to one (1) or more of the events described
	199	+	8 in subdivisions (1) through (3);
	200	+	9 on the licensed premises of a host permittee.
	201	+	10 Sec. 5. The commission may issue a hospitality permit for a term
	202	+	11 not to exceed fifteen (15) consecutive days from its issuance.
	203	+	12 However, if an emergency exists, in the judgment of the
	204	+	13 commission, a hospitality permit may be renewed for a period not
	205	+	14 to exceed fifteen (15) additional consecutive days.
	206	+	15 Sec. 6. A hospitality permit issued under this chapter is subject
	207	+	16 to the following:
	208	+	17 (1) Except as provided in subdivision (4), alcoholic beverages
	209	+	18 may be sold by a craft manufacturer only for consumption on
	210	+	19 the licensed premises of the host permittee.
	211	+	20 (2) The sale of alcoholic beverages under a hospitality permit
	212	+	21 is subject to the same restrictions that apply to the sale of beer
	213	+	22 by the holder of a beer retailer's permit.
	214	+	23 (3) A holder is not entitled to sell at wholesale or for carry out
	215	+	24 from the licensed premises of the host permittee.
	216	+	25 (4) Notwithstanding subdivisions (2) and (3), a craft
	217	+	26 manufacturer may sell alcoholic beverages for carry out in an
	218	+	27 original container in the manner permitted for a trade show
	219	+	28 or exposition held under:
	220	+	29 (A) IC 7.1-3-2-7(5)(J) (brewery);
	221	+	30 (B) IC 7.1-3-12-5(d) (farm winery); or
	222	+	31 (C) IC 7.1-3-27-8(a)(9) (artisan distillery).
	223	+	32 (5) A craft manufacturer's participation in a temporary event
	224	+	33 counts against the maximum days that the craft manufacturer
	225	+	34 is permitted to participate in a trade show or exposition under
	226	+	35 IC 7.1-3-2-7(5)(J), IC 7.1-3-12-5(d), or IC 7.1-3-27-8(a)(9).
	227	+	36 (6) Alcoholic beverages served and sold by a craft
	228	+	37 manufacturer under a hospitality permit must be provided by
	229	+	38 the craft manufacturer.
	230	+	39 (7) A person who serves alcoholic beverages for a craft
	231	+	40 manufacturer must hold a valid employee's permit under
	232	+	41 IC 7.1-3-18-9 or IC 7.1-3-18-11.
	233	+	42 (8) A minor may be present at a temporary event:
	234	+	EH 1298—LS 7163/DI 87 6
	235	+	1 (A) only to the extent that a minor is permitted to be
	236	+	2 present on the licensed premises of the host permittee; and
	237	+	3 (B) if the minor is in the company of a parent, legal
	238	+	4 guardian, or custodian, or family member who is at least
	239	+	5 twenty-one (21) years of age.
	240	+	6 (9) The temporary event must meet applicable board of health
	241	+	7 requirements, including all requirements concerning
	242	+	8 restroom facilities.
	243	+	9 (10) A holder may allow the sale of alcoholic beverages only
	244	+	10 during the times prescribed under IC 7.1-3-1-14.
	245	+	11 (11) The hospitality permit must be posted in the most
	246	+	12 conspicuous place at the location of the temporary event.
	247	+	13 (12) An excise officer, or commissioner for good cause, has the
	248	+	14 authority to revoke a hospitality permit at any time before or
	249	+	15 during the event.
	250	+	16 SECTION 4. IC 7.1-4-4.1-5.1 IS ADDED TO THE INDIANA
	251	+	17 CODE AS A NEW SECTION TO READ AS FOLLOWS
	252	+	18 [EFFECTIVE JULY 1, 2022]: Sec. 5.1. The license fee for a
	253	+	19 temporary craft manufacturer hospitality permit issued under
	254	+	20 IC 7.1-3-30 is an amount determined in STEP THREE of the
	255	+	21 following formula:
	256	+	22 STEP ONE: Determine the number of days each craft
	257	+	23 manufacturer will participate in the temporary event.
	258	+	24 STEP TWO: Determine the sum of all the numbers
	259	+	25 determined under STEP ONE.
	260	+	26 STEP THREE: Multiply the number determined in STEP
	261	+	27 TWO by fifty dollars ($50).
	262	+	28 SECTION 5. IC 7.1-5-8-4, AS AMENDED BY P.L.285-2019,
	263	+	29 SECTION 60, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	264	+	30 JULY 1, 2022]: Sec. 4. (a) It is a Class B misdemeanor for a person
	265	+	31 who owns or operates a private or public restaurant or place of public
	266	+	32 or private entertainment to knowingly or intentionally permit another
	267	+	33 person to come into the establishment with an alcoholic beverage for
	268	+	34 sale or gift, or for consumption in the establishment by that person or
	269	+	35 another, or to serve a setup to a person who comes into the
	270	+	36 establishment. However, the provisions of this section do not apply to
	271	+	37 the following:
	272	+	38 (1) A private room hired by a guest of a bona fide club or hotel
	273	+	39 that holds a retail permit.
	274	+	40 (2) A facility that is used in connection with the operation of a
	275	+	41 paved track that is used primarily in the sport of auto racing.
	276	+	42 (3) An outdoor place of public entertainment that:
	277	+	EH 1298—LS 7163/DI 87 7
	278	+	1 (A) has an area of at least four (4) acres and not more than six
	279	+	2 (6) acres;
	280	+	3 (B) is located within one (1) mile of the White River;
	281	+	4 (C) is owned and operated by a nonprofit corporation exempt
	282	+	5 from federal income taxation under Section 501(c)(3) of the
	283	+	6 Internal Revenue Code; and
	284	+	7 (D) is used primarily in connection with live music concerts.
	285	+	8 (4) A craft manufacturer (as defined in IC 7.1-3-30-1) at an
	286	+	9 event held on the licensed premises of a host permittee (as
	287	+	10 defined in IC 7.1-3-30-1) under a temporary craft
	288	+	11 manufacturer hospitality permit issued under IC 7.1-3-30.
	289	+	12 (b) An establishment operated in violation of this section is declared
	290	+	13 to be a public nuisance and subject to abatement as other public
	291	+	14 nuisances are abated under the provisions of this title.
	292	+	15 (c) This section does not apply to a person who owns or operates a
	293	+	16 private or public restaurant or place of public or private entertainment
	294	+	17 where a qualified organization is conducting:
	295	+	18 (1) an allowable event to which IC 7.1-3-6.1 applies, and the
	296	+	19 alcoholic beverage brought into the establishment is:
	297	+	20 (A) in sealed bottles or cases; and
	298	+	21 (B) donated to or purchased by the qualified organization to be
	299	+	22 offered as a prize in the allowable event; or
	300	+	23 (2) a charity auction to which IC 7.1-3-6.2 applies, and the
	301	+	24 alcoholic beverage brought into the establishment is:
	302	+	25 (A) in sealed bottles or cases; and
	303	+	26 (B) donated to or purchased by the qualified organization to be
	304	+	27 offered for sale in the charity auction.
	305	+	28 (d) This section does not apply to an art instruction studio under
	306	+	29 section 4.6 of this chapter.
	307	+	30 SECTION 6. IC 7.1-5-8-5, AS AMENDED BY P.L.285-2019,
	308	+	31 SECTION 62, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	309	+	32 JULY 1, 2022]: Sec. 5. (a) This section does not apply to a person who,
	310	+	33 on or about a licensed premises, carries, conveys, or consumes beer or
	311	+	34 wine:
	312	+	35 (1) described in IC 7.1-1-2-3(a)(4); and
	313	+	36 (2) not sold or offered for sale.
	314	+	37 (b) This section does not apply to a person at a facility that is used
	315	+	38 in connection with the operation of a track that is used primarily in the
	316	+	39 sport of auto racing.
	317	+	40 (c) This section does not apply to a person at an outdoor place of
	318	+	41 public entertainment that:
	319	+	42 (1) has an area of at least four (4) acres and not more than six (6)
	320	+	EH 1298—LS 7163/DI 87 8
	321	+	1 acres;
	322	+	2 (2) is located within one (1) mile of the White River;
	323	+	3 (3) is owned and operated by a nonprofit corporation exempt from
	324	+	4 federal income taxation under Section 501(c)(3) of the Internal
	325	+	5 Revenue Code; and
	326	+	6 (4) is used primarily in connection with live music concerts.
	327	+	7 (d) This section does not apply to a person who brings wine into an
	328	+	8 art instruction studio or consumes wine that is brought into the art
	329	+	9 instruction studio in accordance with section 4.6 of this chapter.
	330	+	10 (e) This section does not apply to a craft manufacturer (as
	331	+	11 defined in IC 7.1-3-30-1) at an event held on the licensed premises
	332	+	12 of a host permittee (as defined in IC 7.1-3-30-1) under a temporary
	333	+	13 craft manufacturer hospitality permit issued under IC 7.1-3-30.
	334	+	14 (e) (f) It is a Class C misdemeanor for a person, for the person's own
	335	+	15 use, to knowingly carry on, convey to, or consume on or about the
	336	+	16 licensed premises of a permittee an alcoholic beverage that was not
	337	+	17 then and there purchased from that permittee.
	338	+	18 SECTION 7. IC 7.1-5-8-6, AS AMENDED BY P.L.153-2015,
	339	+	19 SECTION 14, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	340	+	20 JULY 1, 2022]: Sec. 6. (a) It is a Class C misdemeanor for a person to
	341	+	21 knowingly carry liquor into a restaurant or place of public
	342	+	22 entertainment for the purpose of consuming it, displaying it, or selling,
	343	+	23 furnishing, or giving it away to another person on the premises, or for
	344	+	24 the purpose of having it served to himself or another person, then and
	345	+	25 there. It is a Class C misdemeanor to knowingly consume liquor
	346	+	26 brought into a public establishment in violation of this section.
	347	+	27 (b) This section does not apply to a person at an outdoor place of
	348	+	28 public entertainment that:
	349	+	29 (1) has an area of at least four (4) acres and not more than six (6)
	350	+	30 acres;
	351	+	31 (2) is located within one (1) mile of the White River;
	352	+	32 (3) is owned and operated by a nonprofit corporation exempt from
	353	+	33 federal income taxation under Section 501(c)(3) of the Internal
	354	+	34 Revenue Code; and
	355	+	35 (4) is used primarily in connection with live music concerts.
	356	+	36 (c) This section does not apply to a person who carries liquor into
	357	+	37 a restaurant or place of public entertainment where a qualified
	358	+	38 organization is conducting:
	359	+	39 (1) an allowable event to which IC 7.1-3-6.1 applies, and the
	360	+	40 liquor brought into the establishment is:
	361	+	41 (A) in sealed bottles or cases; and
	362	+	42 (B) donated to or purchased by the qualified organization to be
	363	+	EH 1298—LS 7163/DI 87 9
	364	+	1 offered as a prize in the allowable event; or
	365	+	2 (2) a charity auction to which IC 7.1-3-6.2 applies, and the liquor
	366	+	3 brought into the establishment is:
	367	+	4 (A) in sealed bottles or cases; and
	368	+	5 (B) donated to or purchased by the qualified organization to be
	369	+	6 offered for sale in the charity auction.
	370	+	7 (d) This section does not apply to a craft manufacturer (as
	371	+	8 defined in IC 7.1-3-30-1) at an event held on the licensed premises
	372	+	9 of a host permittee (as defined in IC 7.1-3-30-1) under a temporary
	373	+	10 craft manufacturer hospitality permit issued under IC 7.1-3-30.
	374	+	11 SECTION 8. [EFFECTIVE JULY 1, 2022] (a) The alcohol and
	375	+	12 tobacco commission shall amend 905 IAC 1-41-2 to conform to
	376	+	13 IC 7.1-3-20-29, as amended by this act.
	377	+	14 (b) In amending the rules as required by this SECTION, the
	378	+	15 commission may adopt emergency rules in the manner provided by
	379	+	16 IC 4-22-2-37.1.
	380	+	17 (c) Notwithstanding IC 4-22-2-37.1(g), an emergency rule
	381	+	18 adopted by the commission under this SECTION expires on the
	382	+	19 date on which a rule that supersedes the emergency rule is adopted
	383	+	20 by the commission under IC 4-22-2-24 through IC 4-22-2-36.
	384	+	21 (d) This SECTION expires July 1, 2024.
	385	+	EH 1298—LS 7163/DI 87 10
	386	+	COMMITTEE REPORT
	387	+	Mr. Speaker: Your Committee on Public Policy, to which was
	388	+	referred House Bill 1298, has had the same under consideration and
	389	+	begs leave to report the same back to the House with the
	390	+	recommendation that said bill be amended as follows:
	391	+	Delete AM129802, as adopted by the committee on public policy on
	392	+	January 12, 2022.
	393	+	Page 5, line 5, after "section" delete "is subject to the".
	394	+	Page 5, delete line 6.
	395	+	Page 5, line 7, delete "(1) The ordinance".
	396	+	Page 5, run in lines 5 through 8.
	397	+	Page 5, line 9, delete "(2)".
	398	+	Page 5, line 9, delete "expires one (1) year after the date the" and
	399	+	insert "may not regulate a permittee's sale or service of alcoholic
	400	+	beverages. However, this section may not be construed to prohibit
	401	+	a legislative body from adopting an ordinance to regulate a
	402	+	farmers' market in a manner that does not regulate a permittee's
	403	+	sale or service of alcoholic beverages.".
	404	+	Page 5, delete lines 10 through 17, begin a new paragraph and
	405	+	insert:
	406	+	"(c) Nothing in this section may be interpreted to:
	407	+	(1) preclude an operator of a farmers' market from allowing
	408	+	more than one (1) permittee to sell and serve samples at the
	409	+	same farmers' market, if an ordinance is adopted that allows
	410	+	that permittee to sell and serve samples under:
	411	+	(A) this section;
	412	+	(B) IC 7.1-3-12-5.3 (farm wineries); or
	413	+	(C) IC 7.1-3-27-8.3 (artisan distilleries); or
	414	+	(2) require an operator of a farmers' market to allow
	415	+	breweries to sell and serve samples of beer at the farmers'
	416	+	market if an ordinance is adopted under this section.
	417	+	(d) At a farmers' market held under this section, a sample size
	418	+	of beer may not exceed two (2) ounces.
	419	+	(e) A brewery's sale and service at a farmers' market under this
	420	+	section does not count toward the maximum days that a brewery
	421	+	is permitted to participate in a trade show or exhibition under
	422	+	IC 7.1-3-2-7(5)(J).".
	423	+	Page 8, line 35, after "section" delete "is subject to the".
	424	+	Page 8, delete line 36.
	425	+	Page 8, line 37, delete "(1) The ordinance".
	426	+	Page 8, run in lines 35 through 38.
	427	+	Page 8, line 39, delete "(2)".
	428	+	EH 1298—LS 7163/DI 87 11
	429	+	Page 8, line 39, delete "expires one (1) year after the date the" and
	430	+	insert "may not regulate a permittee's sale or service of alcoholic
	431	+	beverages. However, this section may not be construed to prohibit
	432	+	a legislative body from adopting an ordinance to regulate a
	433	+	farmers' market in a manner that does not regulate a permittee's
	434	+	sale or service of alcoholic beverages.".
	435	+	Page 8, delete lines 40 through 42, begin a new paragraph and
	436	+	insert:
	437	+	"(c) Nothing in this section may be interpreted to:
	438	+	(1) preclude an operator of a farmers' market from allowing
	439	+	more than one (1) permittee to sell and serve samples at the
	440	+	same farmers' market, if an ordinance is adopted that allows
	441	+	that permittee to sell and serve samples under:
	442	+	(A) this section;
	443	+	(B) IC 7.1-3-2-7.3 (breweries); or
	444	+	(C) IC 7.1-3-27-8.3 (artisan distilleries); or
	445	+	(2) require an operator of a farmers' market to allow farm
	446	+	wineries to sell and serve samples of wine at the farmers'
	447	+	market if an ordinance is adopted under this section.
	448	+	(d) At a farmers' market held under this section, a sample size
	449	+	of:
	450	+	(1) wine, other than hard cider, may not exceed one (1) ounce;
	451	+	and
	452	+	(2) hard cider may not exceed two (2) ounces.
	453	+	(e) A farm winery's sale and service at a farmers' market under
	454	+	this section does not count toward the maximum days that a farm
	455	+	winery is permitted to participate in a trade show or exhibition
	456	+	under IC 7.1-3-12-5(d).".
	457	+	Page 9, delete lines 1 through 6, begin a new paragraph and insert:
	458	+	"SECTION 5. IC 7.1-3-20-29, AS AMENDED BY P.L.150-2021,
16	459		SECTION 4 AND P.L.194-2021, SECTION 46, IS AMENDED TO
17	460		READ AS FOLLOWS [EFFECTIVE JULY 1, 2022]: Sec. 29. (a) As
18	461		used in this section, "food hall" means the premises:
19	462		(1) located within a retail shopping and food service district; and
20	463		(2) to which a master permit is issued under this section.
21	464		(b) As used in this section, "master permit" means a food hall master
22	465		permit issued under this section.
23	466		(c) Except as provided in subsection (d), the commission may issue
24	467		a master permit, which is a three-way retailer's permit for on premises
25	468		consumption, to a food hall located in a retail shopping and food
26	469		service district that meets the following requirements:
27	470		(1) The district consists of an area that:
	471	+	EH 1298—LS 7163/DI 87 12
28	472		(A) has been redeveloped, renovated, or environmentally
29	473		remediated in part with grants from the federal, state, or local
30	474		government under IC 36-7-11; and
31	475		(B) is entirely located within an incorporated city or town.
32	476		(2) The district consists of land and a building or group of
33	477		buildings that are part of a common development.
34	478		(3) The district is located within a locally designated historic
35	479		district under IC 36-7-11 established by a city or town ordinance.
36		-	HEA 1298 — Concur 2
37	480		(4) The district contains at least one (1) building that:
38	481		(A) is on the list of the National Register for Historic Places or
39	482		qualifies as a historic building worthy of preservation under
40	483		IC 36-7-11; and
41	484		(B) has been approved for present commercial use by the local
42	485		historic preservation commission of the city or town.
43	486		(d) Subsection (c)(3) and (c)(4) does not apply to a food hall that:
44	487		(1) is located within a certified technology park established under
45	488		IC 36-7-32; and
46	489		(2) operates within a previously vacant building that was, or
47	490		within a complex of buildings that were:
48	491		(A) placed in service at least twenty-five (25) years prior to the
49	492		redevelopment of the building or buildings; and
50	493		(B) owned by a unit of local government or a public charitable
51	494		trust prior to redevelopment.
52	495		(e) The commission may issue a master permit to the owner or
53	496		developer of a food hall. The food hall constitutes a single permit
54	497		premises that:
55	498		(1) contains not less than seven (7) distinct, nonaffiliated retail
56	499		food and beverage vendors, each of which may apply for a food
57	500		hall vendor permit under section 30 of this chapter; and
58	501		(2) has a seating capacity of the type traditionally designed for
59	502		food and drink for at least one hundred (100) people.
60	503		(f) An applicant for a master permit shall post notice and appear in
61	504		front of the local board in which the permit premises is situated. The
62	505		local board shall determine the eligibility of the applicant under this
63	506		section and hear evidence in support of or against the master permit
64	507		location. A master permit may not be transferred to a location outside
65	508		the food hall permit premises. A permit that is inactive for more than
66	509		six (6) months shall revert back to the commission or may be deposited
67	510		with the commission under IC 7.1-3-1.1 with the commission's
68	511		permission.
69	512		(g) A master permit authorized by this section may be issued
70	513		without regard to the proximity provisions of IC 7.1-3-21-11 or the
	514	+	EH 1298—LS 7163/DI 87 13
71	515		quota provisions of IC 7.1-3-22.
72	516		(h) The commission may not require physical separation
73	517		between a bar area and a dining area in a food hall.
74		-	SECTION 2. IC 7.1-3-27-5, AS AMENDED BY P.L.270-2017,
	518	+	SECTION 6. IC 7.1-3-27-5, AS AMENDED BY P.L.270-2017,
75	519		SECTION 15, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
76	520		JULY 1, 2022]: Sec. 5. (a) Except as provided in section 7 of this
77	521		chapter, an applicant for an artisan distiller's permit must meet all the
78	522		following requirements to be eligible for an artisan distiller's permit:
79		-	HEA 1298 — Concur 3
80	523		(1) The permit applicant must hold one (1) of the following
81	524		permits for the eighteen (18) six (6) months immediately
82	525		preceding the date of the application:
83	526		(A) A farm winery permit under IC 7.1-3-12.
84	527		(B) A brewer's permit issued under IC 7.1-3-2-2(b).
85	528		(C) A distiller's permit under IC 7.1-3-7.
86	529		(2) The permit applicant may not have more than one (1) violation
87	530		of this title during the eighteen (18) months immediately
88	531		preceding the date of the application.
89	532		(3) The permit applicant may not have any violation of this title
90	533		during the twelve (12) month period immediately preceding the
91	534		date of the permit application.
92	535		(b) As used in this subsection, "qualifying permit" means a farm
93	536		winery, brewer's, or distiller's permit under subsection (a)(1)(A),
94	537		(a)(1)(B), or (a)(1)(C) that is required in order to hold an artisan
95	538		distiller's permit. The same persons must directly or indirectly own and
96	539		control more than fifty percent (50%) of the entity that holds the
97		-	qualifying permit and the artisan distiller's permit.
98		-	SECTION 3. IC 7.1-3-30 IS ADDED TO THE INDIANA CODE
	540	+	qualifying permit and the artisan distiller's permit.".
	541	+	Page 11, line 36, after "liquor" insert ", liqueur, or cordials".
	542	+	Page 11, line 40, after "section" delete "is subject to the".
	543	+	Page 11, delete line 41.
	544	+	Page 11, line 42, delete "(1) The ordinance".
	545	+	Page 11, run in line 40 through page 12, line 1.
	546	+	Page 12, line 2, delete "(2)".
	547	+	Page 12, line 2, delete "expires one (1) year after the date the" and
	548	+	insert "may not regulate a permittee's sale or service of alcoholic
	549	+	beverages. However, this section may not be construed to prohibit
	550	+	a legislative body from adopting an ordinance to regulate a
	551	+	farmers' market in a manner that does not regulate a permittee's
	552	+	sale or service of alcoholic beverages.".
	553	+	Page 12, delete lines 3 through 10, begin a new paragraph and
	554	+	insert:
	555	+	"(c) Nothing in this section may be interpreted to:
	556	+	(1) preclude an operator of a farmers' market from allowing
	557	+	EH 1298—LS 7163/DI 87 14
	558	+	more than one (1) permittee to sell and serve samples at the
	559	+	same farmers' market, if an ordinance is adopted that allows
	560	+	that permittee to sell and serve samples under:
	561	+	(A) this section;
	562	+	(B) IC 7.1-3-2-7.3 (breweries); or
	563	+	(C) IC 7.1-3-12-5.3 (farm wineries); or
	564	+	(2) require an operator of a farmers' market to allow artisan
	565	+	distilleries to sell and serve samples of liquor, liqueur, or
	566	+	cordials at the farmers' market if an ordinance is adopted
	567	+	under this section.
	568	+	(d) At a farmers' market held under this section, a sample size
	569	+	of:
	570	+	(1) liqueur or cordials may not exceed one-half (1/2) ounce;
	571	+	and
	572	+	(2) liquor may not exceed four-tenths (0.4) ounce.
	573	+	A permittee may allow a customer to sample a combined total of
	574	+	two (2) liqueur, cordials, or liquor samples per day.
	575	+	(e) An artisan distillery's sale and service at a farmers' market
	576	+	under this section does not count toward the maximum days that
	577	+	an artisan distillery is permitted to participate in a trade show or
	578	+	exhibition under IC 7.1-3-27-8(a)(9).
	579	+	SECTION 8. IC 7.1-3-30 IS ADDED TO THE INDIANA CODE
	580	+	AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
	581	+	JULY 1, 2022]:
	582	+	Chapter 30. Craft Manufacturer Hospitality Permit.
	583	+	Sec. 1. The following terms apply throughout this chapter:
	584	+	(1) "Craft manufacturer" means a person who holds:
	585	+	(A) a small brewery permit under IC 7.1-3-2-7(5);
	586	+	(B) a farm winery permit under IC 7.1-3-12; or
	587	+	(C) an artisan distiller's permit under IC 7.1-3-27.
	588	+	(2) "Holder" means the applicant for a craft manufacturer
	589	+	hospitality permit.
	590	+	(3) "Permittee" means a person who holds a permit under this
	591	+	title.
	592	+	Sec. 2. (a) A holder may apply to the commission for a craft
	593	+	manufacturer hospitality permit.
	594	+	(b) There is no fee for a craft manufacturer hospitality permit.
	595	+	(c) The commission shall issue a craft manufacturer hospitality
	596	+	permit to a individual who applies under subsection (a).
	597	+	Sec. 3. A craft manufacturer who obtains approval from a
	598	+	holder may do the following on the licensed premises of the holder:
	599	+	(1) Display alcoholic beverages manufactured by the craft
	600	+	EH 1298—LS 7163/DI 87 15
	601	+	manufacturer.
	602	+	(2) Allow customers to sample alcoholic beverages
	603	+	manufactured by the craft manufacturer.
	604	+	(3) Sell alcoholic beverages in the manner permitted by
	605	+	IC 7.1-3-2-7(5)(J), IC 7.1-3-12-5(d), IC 7.1-3-27-8(a)(9).
	606	+	SECTION 9. IC 7.1-5-8-4, AS AMENDED BY P.L.285-2019,
	607	+	SECTION 60, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	608	+	JULY 1, 2022]: Sec. 4. (a) It is a Class B misdemeanor for a person
	609	+	who owns or operates a private or public restaurant or place of public
	610	+	or private entertainment to knowingly or intentionally permit another
	611	+	person to come into the establishment with an alcoholic beverage for
	612	+	sale or gift, or for consumption in the establishment by that person or
	613	+	another, or to serve a setup to a person who comes into the
	614	+	establishment. However, the provisions of this section do not apply to
	615	+	the following:
	616	+	(1) A private room hired by a guest of a bona fide club or hotel
	617	+	that holds a retail permit.
	618	+	(2) A facility that is used in connection with the operation of a
	619	+	paved track that is used primarily in the sport of auto racing.
	620	+	(3) An outdoor place of public entertainment that:
	621	+	(A) has an area of at least four (4) acres and not more than six
	622	+	(6) acres;
	623	+	(B) is located within one (1) mile of the White River;
	624	+	(C) is owned and operated by a nonprofit corporation exempt
	625	+	from federal income taxation under Section 501(c)(3) of the
	626	+	Internal Revenue Code; and
	627	+	(D) is used primarily in connection with live music concerts.
	628	+	(4) The holder of a craft manufacturer hospitality permit:
	629	+	(A) in the manner allowed under IC 7.1-3-30; and
	630	+	(B) who has obtained the approval of the person who owns
	631	+	or operates the private or public restaurant or place of
	632	+	public or private entertainment.
	633	+	(b) An establishment operated in violation of this section is declared
	634	+	to be a public nuisance and subject to abatement as other public
	635	+	nuisances are abated under the provisions of this title.
	636	+	(c) This section does not apply to a person who owns or operates a
	637	+	private or public restaurant or place of public or private entertainment
	638	+	where a qualified organization is conducting:
	639	+	(1) an allowable event to which IC 7.1-3-6.1 applies, and the
	640	+	alcoholic beverage brought into the establishment is:
	641	+	(A) in sealed bottles or cases; and
	642	+	(B) donated to or purchased by the qualified organization to be
	643	+	EH 1298—LS 7163/DI 87 16
	644	+	offered as a prize in the allowable event; or
	645	+	(2) a charity auction to which IC 7.1-3-6.2 applies, and the
	646	+	alcoholic beverage brought into the establishment is:
	647	+	(A) in sealed bottles or cases; and
	648	+	(B) donated to or purchased by the qualified organization to be
	649	+	offered for sale in the charity auction.
	650	+	(d) This section does not apply to an art instruction studio under
	651	+	section 4.6 of this chapter.
	652	+	SECTION 10. IC 7.1-5-8-5, AS AMENDED BY P.L.285-2019,
	653	+	SECTION 62, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	654	+	JULY 1, 2022]: Sec. 5. (a) This section does not apply to a person who,
	655	+	on or about a licensed premises, carries, conveys, or consumes beer or
	656	+	wine:
	657	+	(1) described in IC 7.1-1-2-3(a)(4); and
	658	+	(2) not sold or offered for sale.
	659	+	(b) This section does not apply to a person at a facility that is used
	660	+	in connection with the operation of a track that is used primarily in the
	661	+	sport of auto racing.
	662	+	(c) This section does not apply to a person at an outdoor place of
	663	+	public entertainment that:
	664	+	(1) has an area of at least four (4) acres and not more than six (6)
	665	+	acres;
	666	+	(2) is located within one (1) mile of the White River;
	667	+	(3) is owned and operated by a nonprofit corporation exempt from
	668	+	federal income taxation under Section 501(c)(3) of the Internal
	669	+	Revenue Code; and
	670	+	(4) is used primarily in connection with live music concerts.
	671	+	(d) This section does not apply to a person who brings wine into an
	672	+	art instruction studio or consumes wine that is brought into the art
	673	+	instruction studio in accordance with section 4.6 of this chapter.
	674	+	(e) This section does not apply to the holder of a craft
	675	+	manufacturer hospitality permit:
	676	+	(1) in the manner allowed under IC 7.1-3-30; and
	677	+	(2) who has obtained the approval of the permittee of the
	678	+	licensed premises.
	679	+	(e) (f) It is a Class C misdemeanor for a person, for the person's own
	680	+	use, to knowingly carry on, convey to, or consume on or about the
	681	+	licensed premises of a permittee an alcoholic beverage that was not
	682	+	then and there purchased from that permittee.
	683	+	SECTION 11. IC 7.1-5-8-6, AS AMENDED BY P.L.153-2015,
	684	+	SECTION 14, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	685	+	JULY 1, 2022]: Sec. 6. (a) It is a Class C misdemeanor for a person to
	686	+	EH 1298—LS 7163/DI 87 17
	687	+	knowingly carry liquor into a restaurant or place of public
	688	+	entertainment for the purpose of consuming it, displaying it, or selling,
	689	+	furnishing, or giving it away to another person on the premises, or for
	690	+	the purpose of having it served to himself or another person, then and
	691	+	there. It is a Class C misdemeanor to knowingly consume liquor
	692	+	brought into a public establishment in violation of this section.
	693	+	(b) This section does not apply to a person at an outdoor place of
	694	+	public entertainment that:
	695	+	(1) has an area of at least four (4) acres and not more than six (6)
	696	+	acres;
	697	+	(2) is located within one (1) mile of the White River;
	698	+	(3) is owned and operated by a nonprofit corporation exempt from
	699	+	federal income taxation under Section 501(c)(3) of the Internal
	700	+	Revenue Code; and
	701	+	(4) is used primarily in connection with live music concerts.
	702	+	(c) This section does not apply to a person who carries liquor into
	703	+	a restaurant or place of public entertainment where a qualified
	704	+	organization is conducting:
	705	+	(1) an allowable event to which IC 7.1-3-6.1 applies, and the
	706	+	liquor brought into the establishment is:
	707	+	(A) in sealed bottles or cases; and
	708	+	(B) donated to or purchased by the qualified organization to be
	709	+	offered as a prize in the allowable event; or
	710	+	(2) a charity auction to which IC 7.1-3-6.2 applies, and the liquor
	711	+	brought into the establishment is:
	712	+	(A) in sealed bottles or cases; and
	713	+	(B) donated to or purchased by the qualified organization to be
	714	+	offered for sale in the charity auction.
	715	+	(d) This section does not apply to the holder of a craft
	716	+	manufacturer hospitality permit:
	717	+	(1) in the manner allowed under IC 7.1-3-30; and
	718	+	(2) who has obtained the approval of the person who owns or
	719	+	operates the restaurant or place of public entertainment.
	720	+	SECTION 12. [EFFECTIVE JULY 1, 2022] (a) The commission
	721	+	shall amend 905 IAC 1-41-2 to conform to IC 7.1-3-20-29, as
	722	+	amended by this act.
	723	+	(b) In amending the rules as required by this SECTION, the
	724	+	commission may adopt emergency rules in the manner provided by
	725	+	IC 4-22-2-37.1.
	726	+	(c) Notwithstanding IC 4-22-2-37.1(g), an emergency rule
	727	+	adopted by the commission under this SECTION expires on the
	728	+	date on which a rule that supersedes the emergency rule is adopted
	729	+	EH 1298—LS 7163/DI 87 18
	730	+	by the commission under IC 4-22-2-24 through IC 4-22-2-36.
	731	+	(d) This SECTION expires July 1, 2024.".
	732	+	Renumber all SECTIONS consecutively.
	733	+	and when so amended that said bill do pass.
	734	+	(Reference is to HB 1298 as introduced.)
	735	+	SMALTZ
	736	+	Committee Vote: yeas 10, nays 0.
	737	+	_____
	738	+	HOUSE MOTION
	739	+	Mr. Speaker: I move that House Bill 1298 be amended to read as
	740	+	follows:
	741	+	Page 15, delete lines 9 through 34, begin a new paragraph and
	742	+	insert:
	743	+	"SECTION 9. IC 7.1-3-30 IS ADDED TO THE INDIANA CODE
99	744		AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
100	745		JULY 1, 2022]:
101	746		Chapter 30. Temporary Craft Manufacturer Hospitality Permit
102	747		Sec. 1. The following terms apply throughout this chapter:
103	748		(1) "Craft manufacturer" means a person who holds:
104	749		(A) a small brewery permit under IC 7.1-3-2-7(5);
105	750		(B) a farm winery permit under IC 7.1-3-12; or
106	751		(C) an artisan distiller's permit under IC 7.1-3-27.
107	752		(2) "Holder" means a person who holds a temporary craft
108	753		manufacturer hospitality permit.
109	754		(3) "Hospitality permit" means a temporary craft
110	755		manufacturer hospitality permit issued under this chapter.
111	756		(4) "Host permittee" means a person who holds:
112	757		(A) a civic center permit under IC 7.1-3-1-25;
113	758		(B) a permit under IC 7.1-3-20-18 through IC 7.1-3-20-21
114	759		(hotel);
115	760		(C) a permit under IC 7.1-3-21-14 (state fair grounds);
116	761		(D) a permit under IC 7.1-3-20-16.8 (economic
117	762		development area); or
118	763		(E) a permit under IC 7.1-3-17.8 (state park).
119	764		(5) "Temporary event" means an event listed in section 4 of
120	765		this chapter for which the commission issues a hospitality
	766	+	EH 1298—LS 7163/DI 87 19
121	767		permit.
122		-	HEA 1298 — Concur 4
123	768		Sec. 2. (a) The commission may issue a temporary craft
124	769		manufacturer hospitality permit without publication of notice or
125	770		investigation before a local board to a qualified person as provided
126	771		in this chapter. In all other respects, a hospitality permit shall be
127	772		issued, revoked, and governed by the restrictions and limitations
128	773		made in a provisional order or rule or regulation of the
129	774		commission.
130	775		(b) The commission shall issue a hospitality permit to an
131	776		applicant if the applicant:
132	777		(1) submits an application for a hospitality permit to the
133	778		commission not later than five (5) business days before the
134		-	event for which the permit is requested;
135		-	(2) meets all requirements for a hospitality permit; and
136		-	(3) pays the license fee for a hospitality permit, as described
137		-	in IC 7.1-4-4.1-5.1.
	779	+	event for which the permit is requested; and
	780	+	(2) meets all requirements for a hospitality permit.
138	781		(c) If authorized by the chairman or the chairman's designee,
139	782		and at the commission's discretion, a hospitality permit may be
140	783		issued to an applicant that:
141	784		(1) submits an application for the hospitality permit to the
142	785		commission later than five (5) business days before the event
143	786		for which the hospitality permit is requested; and
144	787		(2) meets all requirements for a hospitality permit.
145	788		(d) An application submitted under this section must contain a
146	789		floor plan which demonstrates that the host permittee is not
147	790		operating a bar in the same area as the temporary event. The
148	791		premises of the temporary event must be well defined.
149		-	(e) An application submitted under this section must:
150		-	(1) identify each craft manufacturer that will participate in
151		-	the temporary event;
152		-	(2) designate an individual who is responsible for the event;
153		-	and
154		-	(3) be signed by the individual described in subdivision (2).
	792	+	(e) An application submitted under this section must designate
	793	+	an individual who is responsible for the event. The individual
	794	+	designated under this subsection must sign the application.
155	795		Sec. 3. The commission may issue a hospitality permit to a
156	796		person who is qualified to hold a beer retailer's permit and who
157	797		has such other qualifications as the commission may prescribe by
158	798		a provisional order until it adopts a rule or regulation on the
159	799		matter. However, the special disqualifications listed in
160	800		IC 7.1-3-4-2(a)(4), IC 7.1-3-4-2(a)(9), and IC 7.1-3-4-2(a)(14) do not
161	801		apply to an applicant for a hospitality permit.
162	802		Sec. 4. The commission may issue a hospitality permit only to
163	803		allow a craft manufacturer to participate in:
164	804		(1) a convention;
165		-	HEA 1298 — Concur 5
166	805		(2) a trade show;
167	806		(3) an exposition; or
168	807		(4) an event similar to one (1) or more of the events described
169	808		in subdivisions (1) through (3);
	809	+	EH 1298—LS 7163/DI 87 20
170	810		on the licensed premises of a host permittee.
171	811		Sec. 5. The commission may issue a hospitality permit for a term
172	812		not to exceed fifteen (15) consecutive days from its issuance.
173	813		However, if an emergency exists, in the judgment of the
174	814		commission, a hospitality permit may be renewed for a period not
175	815		to exceed fifteen (15) additional consecutive days.
176	816		Sec. 6. A hospitality permit issued under this chapter is subject
177	817		to the following:
178	818		(1) Except as provided in subdivision (4), alcoholic beverages
179	819		may be sold by a craft manufacturer only for consumption on
180	820		the licensed premises of the host permittee.
181	821		(2) The sale of alcoholic beverages under a hospitality permit
182	822		is subject to the same restrictions that apply to the sale of beer
183	823		by the holder of a beer retailer's permit.
184	824		(3) A holder is not entitled to sell at wholesale or for carry out
185	825		from the licensed premises of the host permittee.
186	826		(4) Notwithstanding subdivisions (2) and (3), a craft
187	827		manufacturer may sell alcoholic beverages for carry out in an
188	828		original container in the manner permitted for a trade show
189	829		or exposition held under:
190	830		(A) IC 7.1-3-2-7(5)(J) (brewery);
191	831		(B) IC 7.1-3-12-5(d) (farm winery); or
192	832		(C) IC 7.1-3-27-8(a)(9) (artisan distillery).
193	833		(5) A craft manufacturer's participation in a temporary event
194	834		counts against the maximum days that the craft manufacturer
195	835		is permitted to participate in a trade show or exposition under
196	836		IC 7.1-3-2-7(5)(J), IC 7.1-3-12-5(d), or IC 7.1-3-27-8(a)(9).
197	837		(6) Alcoholic beverages served and sold by a craft
198	838		manufacturer under a hospitality permit must be provided by
199	839		the craft manufacturer.
200	840		(7) A person who serves alcoholic beverages for a craft
201	841		manufacturer must hold a valid employee's permit under
202	842		IC 7.1-3-18-9 or IC 7.1-3-18-11.
203		-	(8) A minor may be present at a temporary event:
204		-	(A) only to the extent that a minor is permitted to be
205		-	present on the licensed premises of the host permittee; and
206		-	(B) if the minor is in the company of a parent, legal
207		-	guardian, or custodian, or family member who is at least
208		-	HEA 1298 — Concur 6
209		-	twenty-one (21) years of age.
	843	+	(8) A minor may be present at a temporary event only to the
	844	+	extent that a minor is permitted to be present on the licensed
	845	+	premises of the host permittee.
210	846		(9) The temporary event must meet applicable board of health
211	847		requirements, including all requirements concerning
212	848		restroom facilities.
213	849		(10) A holder may allow the sale of alcoholic beverages only
214	850		during the times prescribed under IC 7.1-3-1-14.
215	851		(11) The hospitality permit must be posted in the most
	852	+	EH 1298—LS 7163/DI 87 21
216	853		conspicuous place at the location of the temporary event.
217	854		(12) An excise officer, or commissioner for good cause, has the
218	855		authority to revoke a hospitality permit at any time before or
219	856		during the event.
220		-	SECTION 4. IC 7.1-4-4.1-5.1 IS ADDED TO THE INDIANA
	857	+	SECTION 10. IC 7.1-4-4.1-5, AS AMENDED BY P.L.214-2016,
	858	+	SECTION 29, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
	859	+	JULY 1, 2022]: Sec. 5. (a) This section applies to the following
	860	+	permits:
	861	+	(1) Temporary beer permit.
	862	+	(2) Temporary wine permit.
	863	+	(b) Except as provided in subsection (d), a license fee for a
	864	+	temporary permit is the greater of the following:
	865	+	(1) Two dollars ($2) per day of operation.
	866	+	(2) The amount per day set by the commission under subsection
	867	+	(c).
	868	+	(c) Subject to any rates or schedules adopted by the commission, the
	869	+	commission may set a higher daily rate for a temporary beer permit
	870	+	under subsection (b)(2) if, in the judgment of the commission, the
	871	+	number of persons likely to be accommodated, or any other facts
	872	+	bearing on the value of the permit warrant the increase. However,
	873	+	except as provided under subsection (d), the fee may not exceed one
	874	+	thousand dollars ($1,000) per day.
	875	+	(d) A license fee for a temporary permit issued under IC 7.1-3-6-3.8
	876	+	is two thousand five hundred dollars ($2,500).
	877	+	(e) A license fee for a temporary craft manufacturer hospitality
	878	+	permit issued under 7.1-3-30 is fifty dollars ($50).".
	879	+	Page 16, line 15, delete "The holder of a craft manufacturer
	880	+	hospitality permit:" and insert "A craft manufacturer (as defined in
	881	+	IC 7.1-3-30-1) at an event held on the licensed premises of a host
	882	+	permittee (as defined in IC 7.1-3-30-1) under a temporary craft
	883	+	manufacturer hospitality permit issued under IC 7.1-3-30.".
	884	+	Page 16, delete lines 16 through 19.
	885	+	Page 17, line 18, delete "the holder of a craft" and insert "a craft
	886	+	manufacturer (as defined in IC 7.1-3-30-1) at an event held on the
	887	+	licensed premises of a host permittee (as defined in IC 7.1-3-30-1)
	888	+	under a temporary craft manufacturer hospitality permit issued
	889	+	under IC 7.1-3-30.".
	890	+	Page 17, delete lines 19 through 22.
	891	+	Page 18, line 16, delete "the holder of a craft" and insert "a craft
	892	+	manufacturer (as defined in IC 7.1-3-30-1) at an event held on the
	893	+	licensed premises of a host permittee (as defined in IC 7.1-3-30-1)
	894	+	under a temporary craft manufacturer hospitality permit issued
	895	+	EH 1298—LS 7163/DI 87 22
	896	+	under IC 7.1-3-30.".
	897	+	Page 18, delete lines 17 through 20.
	898	+	Renumber all SECTIONS consecutively.
	899	+	(Reference is to HB 1298 Digest Correction, as printed January 18,
	900	+	2022.)
	901	+	BARTELS
	902	+	_____
	903	+	COMMITTEE REPORT
	904	+	Madam President: The Senate Committee on Public Policy, to which
	905	+	was referred House Bill No. 1298, has had the same under
	906	+	consideration and begs leave to report the same back to the Senate with
	907	+	the recommendation that said bill be AMENDED as follows:
	908	+	Page 1, delete lines 1 through 17.
	909	+	Delete pages 2 through 8.
	910	+	Page 9, delete lines 1 through 30.
	911	+	Page 11, delete lines 28 through 42.
	912	+	Delete pages 12 through 14.
	913	+	Page 15, delete lines 1 through 8.
	914	+	Page 16, line 2, delete "and".
	915	+	Page 16, line 3, delete "permit." and insert "permit; and".
	916	+	Page 16, between lines 3 and 4, begin a new line block indented and
	917	+	insert:
	918	+	"(3) pays the license fee for a hospitality permit, as described
	919	+	in IC 7.1-4-4.1-5.1.".
	920	+	Page 16, line 15, delete "must designate" and insert "must:".
	921	+	Page 16, delete lines 16 and 17, begin a new line block indented and
	922	+	insert:
	923	+	"(1) identify each craft manufacturer that will participate in
	924	+	the temporary event;
	925	+	(2) designate an individual who is responsible for the event;
	926	+	and
	927	+	(3) be signed by the individual described in subdivision (2).".
	928	+	Page 17, delete lines 23 through 25, begin a new line block indented
	929	+	and insert:
	930	+	"(8) A minor may be present at a temporary event:
	931	+	(A) only to the extent that a minor is permitted to be
	932	+	present on the licensed premises of the host permittee; and
	933	+	EH 1298—LS 7163/DI 87 23
	934	+	(B) if the minor is in the company of a parent, legal
	935	+	guardian, or custodian, or family member who is at least
	936	+	twenty-one (21) years of age.".
	937	+	Page 17, delete lines 36 through 42, begin a new paragraph and
	938	+	insert:
	939	+	"SECTION 4. IC 7.1-4-4.1-5.1 IS ADDED TO THE INDIANA
221	940		CODE AS A NEW SECTION TO READ AS FOLLOWS
222	941		[EFFECTIVE JULY 1, 2022]: Sec. 5.1. The license fee for a
223	942		temporary craft manufacturer hospitality permit issued under
224	943		IC 7.1-3-30 is an amount determined in STEP THREE of the
225	944		following formula:
226	945		STEP ONE: Determine the number of days each craft
227	946		manufacturer will participate in the temporary event.
228	947		STEP TWO: Determine the sum of all the numbers
229	948		determined under STEP ONE.
230	949		STEP THREE: Multiply the number determined in STEP
231		-	TWO by fifty dollars ($50).
232		-	SECTION 5. IC 7.1-5-8-4, AS AMENDED BY P.L.285-2019,
233		-	SECTION 60, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
234		-	JULY 1, 2022]: Sec. 4. (a) It is a Class B misdemeanor for a person
235		-	who owns or operates a private or public restaurant or place of public
236		-	or private entertainment to knowingly or intentionally permit another
237		-	person to come into the establishment with an alcoholic beverage for
238		-	sale or gift, or for consumption in the establishment by that person or
239		-	another, or to serve a setup to a person who comes into the
240		-	establishment. However, the provisions of this section do not apply to
241		-	the following:
242		-	(1) A private room hired by a guest of a bona fide club or hotel
243		-	that holds a retail permit.
244		-	(2) A facility that is used in connection with the operation of a
245		-	paved track that is used primarily in the sport of auto racing.
246		-	(3) An outdoor place of public entertainment that:
247		-	(A) has an area of at least four (4) acres and not more than six
248		-	(6) acres;
249		-	(B) is located within one (1) mile of the White River;
250		-	(C) is owned and operated by a nonprofit corporation exempt
251		-	HEA 1298 — Concur 7
252		-	from federal income taxation under Section 501(c)(3) of the
253		-	Internal Revenue Code; and
254		-	(D) is used primarily in connection with live music concerts.
255		-	(4) A craft manufacturer (as defined in IC 7.1-3-30-1) at an
256		-	event held on the licensed premises of a host permittee (as
257		-	defined in IC 7.1-3-30-1) under a temporary craft
258		-	manufacturer hospitality permit issued under IC 7.1-3-30.
259		-	(b) An establishment operated in violation of this section is declared
260		-	to be a public nuisance and subject to abatement as other public
261		-	nuisances are abated under the provisions of this title.
262		-	(c) This section does not apply to a person who owns or operates a
263		-	private or public restaurant or place of public or private entertainment
264		-	where a qualified organization is conducting:
265		-	(1) an allowable event to which IC 7.1-3-6.1 applies, and the
266		-	alcoholic beverage brought into the establishment is:
267		-	(A) in sealed bottles or cases; and
268		-	(B) donated to or purchased by the qualified organization to be
269		-	offered as a prize in the allowable event; or
270		-	(2) a charity auction to which IC 7.1-3-6.2 applies, and the
271		-	alcoholic beverage brought into the establishment is:
272		-	(A) in sealed bottles or cases; and
273		-	(B) donated to or purchased by the qualified organization to be
274		-	offered for sale in the charity auction.
275		-	(d) This section does not apply to an art instruction studio under
276		-	section 4.6 of this chapter.
277		-	SECTION 6. IC 7.1-5-8-5, AS AMENDED BY P.L.285-2019,
278		-	SECTION 62, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
279		-	JULY 1, 2022]: Sec. 5. (a) This section does not apply to a person who,
280		-	on or about a licensed premises, carries, conveys, or consumes beer or
281		-	wine:
282		-	(1) described in IC 7.1-1-2-3(a)(4); and
283		-	(2) not sold or offered for sale.
284		-	(b) This section does not apply to a person at a facility that is used
285		-	in connection with the operation of a track that is used primarily in the
286		-	sport of auto racing.
287		-	(c) This section does not apply to a person at an outdoor place of
288		-	public entertainment that:
289		-	(1) has an area of at least four (4) acres and not more than six (6)
290		-	acres;
291		-	(2) is located within one (1) mile of the White River;
292		-	(3) is owned and operated by a nonprofit corporation exempt from
293		-	federal income taxation under Section 501(c)(3) of the Internal
294		-	HEA 1298 — Concur 8
295		-	Revenue Code; and
296		-	(4) is used primarily in connection with live music concerts.
297		-	(d) This section does not apply to a person who brings wine into an
298		-	art instruction studio or consumes wine that is brought into the art
299		-	instruction studio in accordance with section 4.6 of this chapter.
300		-	(e) This section does not apply to a craft manufacturer (as
301		-	defined in IC 7.1-3-30-1) at an event held on the licensed premises
302		-	of a host permittee (as defined in IC 7.1-3-30-1) under a temporary
303		-	craft manufacturer hospitality permit issued under IC 7.1-3-30.
304		-	(e) (f) It is a Class C misdemeanor for a person, for the person's own
305		-	use, to knowingly carry on, convey to, or consume on or about the
306		-	licensed premises of a permittee an alcoholic beverage that was not
307		-	then and there purchased from that permittee.
308		-	SECTION 7. IC 7.1-5-8-6, AS AMENDED BY P.L.153-2015,
309		-	SECTION 14, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
310		-	JULY 1, 2022]: Sec. 6. (a) It is a Class C misdemeanor for a person to
311		-	knowingly carry liquor into a restaurant or place of public
312		-	entertainment for the purpose of consuming it, displaying it, or selling,
313		-	furnishing, or giving it away to another person on the premises, or for
314		-	the purpose of having it served to himself or another person, then and
315		-	there. It is a Class C misdemeanor to knowingly consume liquor
316		-	brought into a public establishment in violation of this section.
317		-	(b) This section does not apply to a person at an outdoor place of
318		-	public entertainment that:
319		-	(1) has an area of at least four (4) acres and not more than six (6)
320		-	acres;
321		-	(2) is located within one (1) mile of the White River;
322		-	(3) is owned and operated by a nonprofit corporation exempt from
323		-	federal income taxation under Section 501(c)(3) of the Internal
324		-	Revenue Code; and
325		-	(4) is used primarily in connection with live music concerts.
326		-	(c) This section does not apply to a person who carries liquor into
327		-	a restaurant or place of public entertainment where a qualified
328		-	organization is conducting:
329		-	(1) an allowable event to which IC 7.1-3-6.1 applies, and the
330		-	liquor brought into the establishment is:
331		-	(A) in sealed bottles or cases; and
332		-	(B) donated to or purchased by the qualified organization to be
333		-	offered as a prize in the allowable event; or
334		-	(2) a charity auction to which IC 7.1-3-6.2 applies, and the liquor
335		-	brought into the establishment is:
336		-	(A) in sealed bottles or cases; and
337		-	HEA 1298 — Concur 9
338		-	(B) donated to or purchased by the qualified organization to be
339		-	offered for sale in the charity auction.
340		-	(d) This section does not apply to a craft manufacturer (as
341		-	defined in IC 7.1-3-30-1) at an event held on the licensed premises
342		-	of a host permittee (as defined in IC 7.1-3-30-1) under a temporary
343		-	craft manufacturer hospitality permit issued under IC 7.1-3-30.
344		-	SECTION 8. [EFFECTIVE JULY 1, 2022] (a) The alcohol and
345		-	tobacco commission shall amend 905 IAC 1-41-2 to conform to
346		-	IC 7.1-3-20-29, as amended by this act.
347		-	(b) In amending the rules as required by this SECTION, the
348		-	commission may adopt emergency rules in the manner provided by
349		-	IC 4-22-2-37.1.
350		-	(c) Notwithstanding IC 4-22-2-37.1(g), an emergency rule
351		-	adopted by the commission under this SECTION expires on the
352		-	date on which a rule that supersedes the emergency rule is adopted
353		-	by the commission under IC 4-22-2-24 through IC 4-22-2-36.
354		-	(d) This SECTION expires July 1, 2024.
355		-	HEA 1298 — Concur Speaker of the House of Representatives
356		-	President of the Senate
357		-	President Pro Tempore
358		-	Governor of the State of Indiana
359		-	Date: Time:
360		-	HEA 1298 — Concur
	950	+	TWO by fifty dollars ($50).".
	951	+	Page 18, delete lines 1 through 15.
	952	+	Page 20, line 41, delete "commission" and insert "alcohol and
	953	+	tobacco commission".
	954	+	Renumber all SECTIONS consecutively.
	955	+	and when so amended that said bill do pass.
	956	+	(Reference is to HB 1298 as reprinted January 27, 2022.)
	957	+	ALTING, Chairperson
	958	+	Committee Vote: Yeas 9, Nays 0.
	959	+	EH 1298—LS 7163/DI 87