Kansas 2025-2026 Regular Session

Kansas House Bill HB2376 Compare Versions

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1	1	Session of 2025
2	2	HOUSE BILL No. 2376
3	3	By Committee on Federal and State Affairs
4	4	Requested by Zack Denney, Department of Revenue
5	5	2-11
6	6	AN ACT concerning alcoholic liquor; amending the Kansas liquor control
7	7	act, the Kansas club and drinking establishment act and the Kansas
8	8	cereal malt beverage act; transferring the licensure of off-premise
9	9	cereal malt beverage retailers and on-premise cereal malt beverage
10	10	retailers from cities and counties to the alcoholic beverage control
11	11	division of the department of revenue; allowing local licensure by cities
12	12	or counties; amending K.S.A. 41-304, 41-2601, 41-2701, 41-2702, 41-
13	13	2705, 41-2706, 41-2707, 41-2708, 41-2722, 41-2726 and 41-2730 and
14	14	K.S.A. 2024 Supp. 41-102, 41-104, 41-2703 and 41-2704 and repealing
15	15	the existing sections.
16	16	Be it enacted by the Legislature of the State of Kansas:
17	17	Section 1. K.S.A. 2024 Supp. 41-102 is hereby amended to read as
18	18	follows: 41-102. As used in this act, unless the context clearly requires
19	19	otherwise:
20	20	(a) "Alcohol" means the product of distillation of any fermented
21	21	liquid, whether rectified or diluted, whatever its origin, and includes
22	22	synthetic ethyl alcohol but does not include denatured alcohol or wood
23	23	alcohol.
24	24	(b) "Alcoholic candy" means:
25	25	(1) For purposes of manufacturing, any candy or other confectionery
26	26	product with an alcohol content greater than 0.5% alcohol by volume; and
27	27	(2) for purposes of sale at retail, any candy or other confectionery
28	28	product with an alcohol content greater than 1% alcohol by volume.
29	29	(c) "Alcoholic liquor" means alcohol, spirits, wine, beer, alcoholic
30	30	candy and every liquid or solid, patented or not, containing alcohol, spirits,
31	31	wine or beer and capable of being consumed by a human being, but shall
32	32	not include any cereal malt beverage.
33	33	(d) "Applicant" means a person who has submitted an application for
34	34	licensure under this act.
35	35	(e) "Beer" means a beverage, containing more than 3.2% alcohol by
36	36	weight, obtained by alcoholic fermentation of an infusion or concoction of
37	37	barley, or other grain, malt and hops in water and includes beer, ale, stout,
38	38	lager beer, porter and similar beverages having such alcoholic content.
39	39	(f) "Caterer" means the same as defined by K.S.A. 41-2601, and
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75	75	amendments thereto.
76	76	(g) "Cereal malt beverage" means the same as defined by K.S.A. 41-
77	77	2701, and amendments thereto.
78	78	(h) "Club" means the same as defined by K.S.A. 41-2601, and
79	79	amendments thereto.
80	80	(i) "Director" means the director of alcoholic beverage control of the
81	81	department of revenue.
82	82	(j) "Distributor" means the person importing or causing to be
83	83	imported into the state, or purchasing or causing to be purchased within
84	84	the state, alcoholic liquor for sale or resale to retailers licensed under this
85	85	act or cereal malt beverage for sale or resale to retailers licensed under
86	86	K.S.A. 41-2702, and amendments thereto.
87	87	(k) "Domestic beer" means beer which that contains not more than
88	88	15% alcohol by weight and which that is manufactured in this state.
89	89	(l) "Domestic fortified wine" means wine which contains more than
90	90	16%, but not more than 20% alcohol by volume and which that is
91	91	manufactured in this state.
92	92	(m) "Domestic table wine" means wine which contains not more than
93	93	16% alcohol by volume and which that is manufactured without
94	94	rectification or fortification in this state.
95	95	(n) "Drinking establishment" means the same as defined by K.S.A.
96	96	41-2601, and amendments thereto.
97	97	(o) "Farm winery" means a winery licensed by the director to
98	98	manufacture, store and sell domestic table wine and domestic fortified
99	99	wine.
100	100	(p) "Fulfillment house" means any location or facility for any in-state
101	101	or out-of-state entity that handles logistics, including warehousing,
102	102	packaging, order fulfillment or shipping services, on behalf of the holder
103	103	of a special order shipping license issued pursuant to K.S.A. 41-350, and
104	104	amendments thereto.
105	105	(q) "Hard cider" means any alcoholic beverage that:
106	106	(1) Contains less than 8.5% alcohol by volume;
107	107	(2) has a carbonation level that does not exceed 6.4 grams per liter;
108	108	and
109	109	(3) is obtained by the normal alcoholic fermentation of the juice of
110	110	sound, ripe apples or pears, including such beverages containing sugar
111	111	added for the purpose of correcting natural deficiencies.
112	112	(r) "Licensee" means a person who is issued any valid license under
113	113	the Kansas liquor control act, Kansas club and drinking establishment act
114	114	or Kansas cereal malt beverage act.
115	115	(s) "Manufacture" means to distill, rectify, ferment, brew, make, mix,
116	116	concoct, process, blend, bottle or fill an original package with any
117	117	alcoholic liquor, beer or cereal malt beverage.
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161	161	(s)(t) (1) "Manufacturer" means every brewer, fermenter, distiller,
162	162	rectifier, wine maker, blender, processor, bottler or person who fills or
163	163	refills an original package and others engaged in brewing, fermenting,
164	164	distilling, rectifying or bottling alcoholic liquor, beer or cereal malt
165	165	beverage.
166	166	(2) "Manufacturer" does not include a microbrewery, microdistillery
167	167	or a farm winery.
168	168	(t)(u) "Microbrewery" means a brewery licensed by the director to
169	169	manufacture, store and sell domestic beer and hard cider.
170	170	(u)(v) "Microdistillery" means a facility which that produces spirits
171	171	from any source or substance that is licensed by the director to
172	172	manufacture, store and sell spirits.
173	173	(v)(w) "Minor" means any person under 21 years of age.
174	174	(w)(x) "Nonbeverage user" means any manufacturer of any of the
175	175	products set forth and described in K.S.A. 41-501, and amendments
176	176	thereto, when the products contain alcohol or wine, and all laboratories
177	177	using alcohol for nonbeverage purposes.
178	178	(x)(y) "Original package" means any bottle, flask, jug, can, cask,
179	179	barrel, keg, hogshead or other receptacle or container whatsoever, used,
180	180	corked or capped, sealed and labeled by the manufacturer of alcoholic
181	181	liquor, to contain and to convey any alcoholic liquor. Original container
182	182	does not include a sleeve.
183	183	(y)(z) "Person" means any natural person, corporation, partnership,
184	184	trust or association.
185	185	(z)(aa) "Powdered alcohol" means alcohol that is prepared in a
186	186	powdered or crystal form for either direct use or for reconstitution in a
187	187	nonalcoholic liquid.
188	188	(aa)(bb) "Primary American source of supply" means the
189	189	manufacturer, the owner of alcoholic liquor at the time it becomes a
190	190	marketable product or the manufacturer's or owner's exclusive agent who,
191	191	if the alcoholic liquor cannot be secured directly from such manufacturer
192	192	or owner by American wholesalers, is the source closest to such
193	193	manufacturer or owner in the channel of commerce from which the
194	194	product can be secured by American wholesalers.
195	195	(bb)(cc) (1) "Retailer" means a person who is licensed under the
196	196	Kansas liquor control act and sells at retail, or offers for sale at retail,
197	197	alcoholic liquors or cereal malt beverages.
198	198	(2) "Retailer" does not include a microbrewery, microdistillery or a
199	199	farm winery.
200	200	(cc)(dd) "Sale" means any transfer, exchange or barter in any manner
201	201	or by any means whatsoever for a consideration and includes all sales
202	202	made by any person, whether principal, proprietor, agent, servant or
203	203	employee.
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247	247	(dd)(ee) "Salesperson" means any natural person who:
248	248	(1) Procures or seeks to procure an order, bargain, contract or
249	249	agreement for the sale of alcoholic liquor or cereal malt beverage; or
250	250	(2) is engaged in promoting the sale of alcoholic liquor or cereal malt
251	251	beverage, or in promoting the business of any person, firm or corporation
252	252	engaged in the manufacturing and selling of alcoholic liquor or cereal malt
253	253	beverage, whether the seller resides within the state of Kansas and sells to
254	254	licensed buyers within the state of Kansas, or whether the seller resides
255	255	without the state of Kansas and sells to licensed buyers within the state of
256	256	Kansas.
257	257	(ee)(ff) "Sample" means a serving of alcoholic liquor that contains not
258	258	more than:
259	259	(1) One-half
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261	261	/2 ounce of distilled spirits;
262	262	(2) one ounce of wine; or
263	263	(3) two ounces of beer or cereal malt beverage. A "sample" of a
264	264	mixed alcoholic beverage shall contain not more than ½ ounce of distilled
265	265	spirits.
266	266	(ff)(gg) "Secretary" means the secretary of revenue.
267	267	(gg)(hh) (1) "Sell at retail" and "sale at retail" refer to and mean sales
268	268	for use or consumption and not for resale in any form and sales to clubs,
269	269	licensed drinking establishments, licensed caterers or holders of temporary
270	270	permits.
271	271	(2) "Sell at retail" and "sale at retail" do not refer to or mean sales by
272	272	a distributor, a microbrewery, a farm winery, a licensed club, a licensed
273	273	drinking establishment, a licensed caterer or a holder of a temporary
274	274	permit.
275	275	(hh)(ii) "To sell" includes to solicit or receive an order for, to keep or
276	276	expose for sale and to keep with intent to sell.
277	277	(ii)(jj) "Sleeve" means a package of two or more 50-milliliter or 3.2-
278	278	fluid-ounce containers of spirits.
279	279	(jj)(kk) "Spirits" means any beverage which that contains alcohol
280	280	obtained by distillation, mixed with water or other substance in solution,
281	281	and includes brandy, rum, whiskey, gin or other spirituous liquors, and
282	282	such liquors when rectified, blended or otherwise mixed with alcohol or
283	283	other substances.
284	284	(kk)(ll) "Supplier" means a manufacturer of alcoholic liquor or cereal
285	285	malt beverage or an agent of such manufacturer, other than a salesperson.
286	286	(ll)(mm) "Temporary permit" means the same as defined by K.S.A.
287	287	41-2601, and amendments thereto.
288	288	(mm)(nn) "Wine" means any alcoholic beverage obtained by the
289	289	normal alcoholic fermentation of the juice of sound, ripe grapes, fruits,
290	290	berries or other agricultural products, including such beverages containing
291	291	added alcohol or spirits or containing sugar added for the purpose of
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335	335	correcting natural deficiencies. "Wine" includes hard cider and any other
336	336	product that is commonly known as a subset of wine.
337	337	Sec. 2. K.S.A. 2024 Supp. 41-104 is hereby amended to read as
338	338	follows: 41-104. (a) No person shall manufacture, bottle, blend, sell,
339	339	barter, transport, deliver, furnish or possess any alcoholic liquor or cereal
340	340	malt beverage for beverage purposes, except as specifically provided in
341	341	this act, the club and drinking establishment act or article 27 of chapter 41
342	342	of the Kansas Statutes Annotated, and amendments thereto, except that
343	343	nothing contained in such acts shall prevent:
344	344	(1) The possession and transportation of alcoholic liquor for the
345	345	personal use of the possessor, the possessor's family and guests except that
346	346	the provisions of K.S.A. 41-407, and amendments thereto, shall be
347	347	applicable to all persons;
348	348	(2) the making of wine, cider or beer by a person from fruits,
349	349	vegetables or grains, or the product thereof, by simple fermentation and
350	350	without distillation, if it is made solely for the use of the maker, the
351	351	maker's family, guests and judges at a contest or competition of such
352	352	beverages, provided, the maker receives no compensation for producing
353	353	such beverages or for allowing the consumption thereof;
354	354	(3) any duly licensed practicing physician or dentist from possessing
355	355	or using alcoholic liquor in the strict practice of the medical or dental
356	356	profession;
357	357	(4) any hospital or other institution caring for sick and diseased
358	358	persons, from possessing and using alcoholic liquor for the treatment of
359	359	bona fide patients of such hospital or institution;
360	360	(5) any drugstore employing a licensed pharmacist from possessing
361	361	and using alcoholic liquor in the compounding of prescriptions of duly
362	362	licensed physicians;
363	363	(6) the possession and dispensation of wine by an authorized
364	364	representative of any church for the purpose of conducting any bona fide
365	365	rite or religious ceremony conducted by such church;
366	366	(7) the sale of wine to a consumer in this state by a person which that
367	367	holds a valid license authorizing the manufacture of wine in this or another
368	368	state and the shipment of such wine directly to such consumer, subject to
369	369	the following:
370	370	(A) The consumer must shall be at least 21 years of age;
371	371	(B) the consumer must shall purchase the wine while physically
372	372	present on the premises of the wine manufacturer;
373	373	(C) the wine must shall be for the consumer's personal consumption
374	374	and not for resale; and
375	375	(D) the consumer shall comply with the provisions of K.S.A. 41-407,
376	376	and amendments thereto, by payment of all applicable taxes within such
377	377	time after purchase of the wine as prescribed by rules and regulations
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421	421	adopted by the secretary;
422	422	(8) the serving of complimentary alcoholic liquor or cereal malt
423	423	beverages at fund raising activities of charitable organizations as defined
424	424	by K.S.A. 17-1760, and amendments thereto, and as qualified pursuant to
425	425	26 U.S.C. § 501(c) and by committees formed pursuant to K.S.A. 25-4142
426	426	et seq., and amendments thereto. The serving of such alcoholic liquor at
427	427	such fund raising activities shall not constitute a sale pursuant to this act,
428	428	the club and drinking establishment act or article 27 of chapter 41 of the
429	429	Kansas Statutes Annotated, and amendments thereto. Any such fund
430	430	raising activity shall not be required to obtain a license or a temporary
431	431	permit pursuant to this act, the club and drinking establishment act or
432	432	article 27 of chapter 41 of the Kansas Statutes Annotated, and amendments
433	433	thereto;
434	434	(9) the serving of complimentary alcoholic liquor or cereal malt
435	435	beverage on the unlicensed premises of a business by the business owner
436	436	or owner's agent at an event sponsored by a nonprofit organization
437	437	promoting the arts and which that has been approved by ordinance or
438	438	resolution of the governing body of the city, county or township wherein
439	439	the event will take place and whereby the director of the alcoholic
440	440	beverage control has been notified thereof no less than 10 days in advance;
441	441	or
442	442	(10) the provision of alcoholic liquor or cereal malt beverage as a
443	443	prize for a charitable raffle conducted in accordance with K.S.A. 75-5171
444	444	et seq., and amendments thereto, except that no such prize shall be
445	445	provided to any person under 21 years of age.
446	446	(b) For purposes of subsection (a)(2), the term "guest" means a
447	447	natural person who is known to the host and receives a personal invitation
448	448	to an event conducted by the host. The term "guest" does not mean a
449	449	natural person who receives an invitation to an event conducted by the
450	450	host when such invitation has been made available to the general public.
451	451	Sec. 3. K.S.A. 41-304 is hereby amended to read as follows: 41-304.
452	452	Licenses issued by the director shall be of the following classes: (a)
453	453	Manufacturer's license; (b) spirits distributor's license; (c) wine
454	454	distributor's license; (d) beer distributor's license; (e) retailer's license; (f)
455	455	microbrewery license; (g) microdistillery license; (h) farm winery license;
456	456	(i) producer's license; and (j) nonbeverage user's license; (k) on-premise
457	457	cereal malt beverage retailer's license; and (l) off-premise cereal malt
458	458	beverage retailer's license.
459	459	Sec. 4. K.S.A. 41-2601 is hereby amended to read as follows: 41-
460	460	2601. As used in the club and drinking establishment act:
461	461	(a) The following terms mean the same as provided by K.S.A. 41-
462	462	102, and amendments thereto:
463	463	(1) "Alcoholic liquor";
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507	507	(2) "director";
508	508	(3) "original package";
509	509	(4) "person";
510	510	(5) "sale"; and
511	511	(6) "to sell."
512	512	(b) "Beneficial interest" shall not include any interest a person may
513	513	have as owner, operator, lessee or franchise holder of a licensed hotel or
514	514	motel on the premises of which a club or drinking establishment is located.
515	515	(c) "Caterer" means an individual, partnership or corporation that
516	516	sells alcoholic liquor or cereal malt beverage by the individual drink, and
517	517	provides services related to the serving thereof, on unlicensed premises
518	518	that may be open to the public, but does not include a holder of a
519	519	temporary permit, selling alcoholic liquor or cereal malt beverage in
520	520	accordance with the terms of such permit.
521	521	(d) "Cereal malt beverage" means the same as provided by K.S.A. 41-
522	522	2701, and amendments thereto.
523	523	(e) "Class A club" means a premises that is owned or leased by a
524	524	corporation, partnership, business trust or association and that is operated
525	525	thereby as a bona fide nonprofit social, fraternal or war veterans' club, as
526	526	determined by the director, for the exclusive use of the corporate
527	527	stockholders, partners, trust beneficiaries or associates, hereinafter referred
528	528	to as members, and their families and guests accompanying them, as
529	529	provided in K.S.A. 41-2637, and amendments thereto.
530	530	(f) "Class B club" means a premises operated for profit by a
531	531	corporation, partnership or individual, to which members of such club may
532	532	resort for the consumption of food or alcoholic beverages and for
533	533	entertainment.
534	534	(g) "Club" means a class A or class B club.
535	535	(h) "Drinking establishment" means premises that may be open to the
536	536	general public, where alcoholic liquor or cereal malt beverage by the
537	537	individual drink is sold. The term "Drinking establishment" includes a
538	538	railway car.
539	539	(i) "Food" means any raw, cooked or processed edible substance or
540	540	ingredient, other than alcoholic liquor or cereal malt beverage, used or
541	541	intended for use or for sale, in whole or in part, for human consumption.
542	542	(j) "Food service establishment" means the same as provided by
543	543	K.S.A. 36-501, and amendments thereto.
544	544	(k) "Hotel" means the same as provided by K.S.A. 36-501, and
545	545	amendments thereto.
546	546	(l) "Individual drink" means a beverage containing alcoholic liquor or
547	547	cereal malt beverage served to an individual for consumption by such
548	548	individual or another individual, but which that is not intended to be
549	549	consumed by two or more individuals. The term "Individual drink"
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593	593	includes beverages containing not more than:
594	594	(1) Eight ounces of wine;
595	595	(2) thirty-two32 ounces of beer or cereal malt beverage; or
596	596	(3) four ounces of a single spirit or a combination of spirits.
597	597	(m) "Licensee" means a person who is issued any valid license under
598	598	the Kansas liquor control act, Kansas club and drinking establishment act,
599	599	or Kansas cereal malt beverage act. "Licensee" shall include the holder of
600	600	a temporary permit.
601	601	(n) "Minibar" means a closed cabinet, whether nonrefrigerated or
602	602	wholly or partially refrigerated, access to the interior of which is restricted
603	603	by means of a locking device that requires the use of a key, magnetic card
604	604	or similar device.
605	605	(n)(o) "Minor" means a person under 21 years of age.
606	606	(o)(p) "Morals charge" means a charge involving the sale of sexual
607	607	relations;, procuring any person;, soliciting of a child under 18 years of
608	608	age for any immoral act involving sex;, possession or sale of narcotics,
609	609	marijuana, amphetamines or barbiturates;, rape;, incest;, gambling;, illegal
610	610	cohabitation;, adultery;, bigamy; or a crime against nature.
611	611	(p)(q) "Municipal corporation" means the governing body of any
612	612	county or city.
613	613	(q)(r) "Public venue" means an arena, stadium, hall or theater, used
614	614	primarily for athletic or sporting events, live concerts, live theatrical
615	615	productions or similar seasonal entertainment events, not operated on a
616	616	daily basis, and containing:
617	617	(1) Not fewer than 4,000 permanent seats; and
618	618	(2) not fewer than two private suites that are enclosed or semi-
619	619	enclosed seating areas, having controlled access and separated from the
620	620	general admission areas by a permanent barrier.
621	621	(r)(s) "Railway car" means a locomotive drawn conveyance used for
622	622	the transportation and accommodation of human passengers that is
623	623	confined to a fixed rail route and which that derives from sales of food for
624	624	consumption on the railway car not less than 30% of its gross receipts
625	625	from all sales of food and beverages in a 12-month period.
626	626	(s)(t) "Restaurant" means:
627	627	(1) In the case of a club, a licensed food service establishment that, as
628	628	determined by the director, derives from sales of food for consumption on
629	629	the licensed club premises of not less than 50% of its gross receipts from
630	630	all sales of food and beverages on such premises in a 12-month period;
631	631	(2) in the case of a drinking establishment subject to a food sales
632	632	requirement under K.S.A. 41-2642, and amendments thereto, a licensed
633	633	food service establishment that, as determined by the director, derives
634	634	from sales of food for consumption on the licensed drinking establishment
635	635	premises of not less than 30% of its gross receipts from all sales of food
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679	679	and beverages on such premises in a 12-month period; and
680	680	(3) in the case of a drinking establishment subject to no food sales
681	681	requirement under K.S.A. 41-2642, and amendments thereto, a licensed
682	682	food service establishment.
683	683	(t)(u) "RV resort" means premises where a place to park recreational
684	684	vehicles, as defined in K.S.A. 75-1212, and amendments thereto, is offered
685	685	for pay, primarily to transient guests, for overnight or longer use while
686	686	such recreational vehicles are used as sleeping or living accommodations.
687	687	(u)(v) "Sample" means a serving of alcoholic liquor or cereal malt
688	688	beverage that contains not more than:
689	689	(1) One-half
690	690	1
691	691	/2 ounce of distilled spirits;
692	692	(2) one ounce of wine; or
693	693	(3) two ounces of beer or cereal malt beverage.
694	694	A sample of a mixed alcoholic beverage shall contain not more than ½
695	695	ounce of distilled spirits.
696	696	(v)(w) "Secretary" means the secretary of revenue.
697	697	(w)(x) "Temporary permit" means a temporary permit issued pursuant
698	698	to K.S.A. 41-1201, and amendments thereto.
699	699	Sec. 5. K.S.A. 41-2701 is hereby amended to read as follows: 41-
700	700	2701. As used in this act, unless the context otherwise requires:
701	701	(a) "Cereal malt beverage" means any fermented but undistilled
702	702	liquor brewed or made from malt or from a mixture of malt or malt
703	703	substitute or any flavored malt beverage, as defined in K.S.A. 41-2729,
704	704	and amendments thereto, but does not include any such liquor which that
705	705	is more than 3.2% alcohol by weight.
706	706	(b) "Director" means the director of alcoholic beverage control of the
707	707	department of revenue.
708	708	(c) "Manufacturer" means a manufacturer as defined by K.S.A. 41-
709	709	102, and amendments thereto.
710	710	(d) "Person" means any individual, firm, partnership, corporation or
711	711	association.
712	712	(e) "Retailer" means any person who is licensed under the Kansas
713	713	cereal malt beverage act and who sells or offers for sale any cereal malt
714	714	beverage or beer containing not more than 6% alcohol by volume for use
715	715	or consumption and not for resale in any form.
716	716	(f) "Place of business" means any place at which cereal malt
717	717	beverages or beer containing not more than 6% alcohol by volume are
718	718	sold.
719	719	(g) "Distributor" means a beer distributor licensed pursuant to the
720	720	Kansas liquor control act.
721	721	(h) "Legal age for consumption of cereal malt beverage" means 21
722	722	years of age, except that "legal age for consumption of cereal malt
723	723	beverage" shall mean 18 years of age if at any time the provisions of P.L.
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767	767	98-363 penalizing states for permitting persons under 21 years of age to
768	768	consume cereal malt beverage are repealed or otherwise invalidated or
769	769	nullified."Distributor" means a beer distributor licensed pursuant to the
770	770	Kansas liquor control act.
771	771	(d) "Legal age for consumption of cereal malt beverage" means 21
772	772	years of age, except that "legal age for consumption of cereal malt
773	773	beverage" means 18 years of age if at any time the provisions of P.L. 98-
774	774	363 penalizing states for permitting persons under 21 years of age to
775	775	consume cereal malt beverage are repealed or otherwise invalidated or
776	776	nullified.
777	777	(e) "Licensee" means the holder of an on-premise, off-premise or
778	778	railroad cereal malt beverage retailers' license.
779	779	(f) "Manufacturer" means a manufacturer as defined by K.S.A. 41-
780	780	102, and amendments thereto.
781	781	(g) "Off-premise cereal malt beverage retailer" means any person
782	782	who is licensed under the Kansas cereal malt beverage act and who sells
783	783	or offers for sale any cereal malt beverage or beer containing not more
784	784	than 6% alcohol by volume for consumption off and away from the
785	785	premises specified in such license.
786	786	(h) "On-premise cereal malt beverage retailer" means any person
787	787	who is licensed under the Kansas cereal malt beverage act and who sells
788	788	or offers for sale any cereal malt beverage or beer containing not more
789	789	than 6% alcohol by volume for consumption on the premises specified in
790	790	such license and not for resale in any form.
791	791	(i) "Person" means any natural person, corporation, partnership,
792	792	trust or association.
793	793	(j) "Place of business" means any place where cereal malt beverages
794	794	or beer containing not more than 6% alcohol by volume are sold.
795	795	(k) "Retailer" means any person who is licensed under the Kansas
796	796	cereal malt beverage act and who sells or offers for sale any cereal malt
797	797	beverage or beer containing not more than 6% alcohol by volume for use
798	798	or consumption and not for resale in any form.
799	799	Sec. 6. K.S.A. 41-2702 is hereby amended to read as follows: 41-
800	800	2702. (a) No retailer person shall sell any cereal malt beverage or beer
801	801	containing not more than 6% alcohol by volume without having first
802	802	secured a license for each place of business as herein provided. In case
803	803	such place of business is located within the corporate limits of a city, the
804	804	application for license shall be made to the governing body of such city. In
805	805	all other cases, the application for license shall be made to the board of
806	806	county commissioners in the county in which such place of business is to
807	807	be located, except that the application for license Applications for all
808	808	cereal malt beverage licenses, including licenses to sell on railway cars
809	809	shall be made to the director as hereinafter provided.
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853	853	(b) A board of county commissionersThe director shall not issue or
854	854	renew a cereal malt beverage retailer's license without giving the clerk of
855	855	the township where the place of business is to be located written notice by
856	856	registered mail of the filing of the application for licensure or renewal. The
857	857	township board, may within 10 days, file advisory recommendations as to
858	858	the granting of such license or renewal, and such advisory
859	859	recommendations shall be considered by the board of county
860	860	commissioners director before such license is issued. If an original license
861	861	is granted and issued, the board of county commissioners director shall
862	862	grant and issue renewals thereof upon application of the license holder, if
863	863	the license holder is qualified to receive the same and the license has not
864	864	been revoked as provided by law.
865	865	(c) An application for a cereal malt beverage retailer's license shall
866	866	be verified and upon a form prepared by the attorney general of the state
867	867	director and with any other documents deemed necessary by the director
868	868	shall contain:
869	869	(1) The name and residence of the applicant;
870	870	(2) the length of time that the applicant has resided within the state of
871	871	Kansas;
872	872	(3) the particular place of business for which a license is desired;
873	873	(4)(3) the name of the owner of the premises upon which where the
874	874	place of business is located; and
875	875	(5)(4) a statement that the applicant is a citizen of the United States
876	876	and, not less than 21 years of age and that the applicant has not within two
877	877	years immediately preceding the date of making application been
878	878	convicted of a felony, any crime involving moral turpitude, drunkenness,
879	879	driving a motor vehicle while under the influence of intoxicating liquor or
880	880	a violation of any other intoxicating liquor law of any state or of the
881	881	United States.
882	882	(d) In addition to the fee provided by subsection (e), Each application
883	883	for a retailer's license to sell cereal malt beverages for consumption on the
884	884	licensed premises shall be accompanied by a fee as follows:
885	885	(1) For licensure of a place of business other than a railway car, a fee
886	886	of not less than $25 nor more than $200, as prescribed by the board of
887	887	county commissioners or the governing body of the city, as the case may
888	888	be; and
889	889	(2) for licensure to sell on railway cars, railway cereal malt beverage
890	890	retailer's license shall be accompanied by a fee of $100.
891	891	(e) Each applicant for a an on-premise or off-premise cereal malt
892	892	beverage retailer's license or renewal of such a license shall submit to the
893	893	director a copy of the completed application for such license or license
894	894	renewal, together with a fee of $25 $50. Upon receipt of such application,
895	895	the director shall authorize a state stamp to be affixed to the license. No
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939	939	such stamp shall be affixed to any license except such stamps as provided
940	940	by the director and no retailer's license shall be issued or renewed unless
941	941	such stamp has first been affixed thereto.
942	942	(f) Notwithstanding any other provision of the law, the director may
943	943	refuse to issue a stamp license if the applicant or licensee is not current in
944	944	the payment of any fines imposed by the director relating to such license
945	945	or a license previously issued pursuant to this section, the Kansas liquor
946	946	control act or the club and drinking establishment act.
947	947	(f)(g) The director shall remit all fees collected by the director to the
948	948	state treasurer in accordance with the provisions of K.S.A. 75-4215, and
949	949	amendments thereto. Upon receipt of each such remittance, the state
950	950	treasurer shall deposit the entire amount in the state treasury to the credit
951	951	of the state general fund, except that the director may provide for the
952	952	deposit in the cereal malt beverage tax refund fund of such amounts as
953	953	necessary for the refund of any license fees collected hereunder.
954	954	(g)(h) The board of county commissioners of the several counties or
955	955	the governing body of a city shall issue a license upon application duly
956	956	made as otherwise provided for herein, to any retailer engaged in business
957	957	in such county or city and qualified to receive such license, to sell only
958	958	cereal malt beverages in original and unopened containers, and not for
959	959	consumption on the premises may require any application for an on-
960	960	premise or off-premise cereal malt beverage retailer's license to obtain a
961	961	local license in addition to the requirements of this section.
962	962	(i) If a local license is required as provided in subsection (h), no on-
963	963	premise or off-premise cereal malt beverage retailer shall operate until it
964	964	has obtained such license. The annual license fee for such license, which
965	965	shall be in addition to the fee provided by subsection (e), shall be not less
966	966	than $25 nor more than $50 $200.
967	967	(h)(j) No license issued under this act shall be transferable.
968	968	Sec. 7. K.S.A. 2024 Supp. 41-2703 is hereby amended to read as
969	969	follows: 41-2703. (a) After examination of an application for a any cereal
970	970	malt beverage retailer's license, the board of county commissioners or the
971	971	director shall, if they approve the same approved, issue a license to the
972	972	applicant. The governing body of the city shall, if the applicant is qualified
973	973	as provided by law, issue a license to such applicant.
974	974	(b) No cereal malt beverage retailer's license shall be issued to:
975	975	(1) A person who is not a citizen of the United States;
976	976	(2) a person who, within two years immediately preceding the date of
977	977	application approval, has been convicted of, released from incarceration
978	978	for or released from probation or parole for a felony or any crime
979	979	involving moral turpitude, drunkenness, driving a motor vehicle while
980	980	under the influence of intoxicating liquor or violation of any other
981	981	intoxicating liquor law of any state or of the United States;
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1025	1025	(3) a partnership, unless all the members of the partnership are
1026	1026	otherwise qualified to obtain a license;
1027	1027	(4) a corporation, if any manager, officer or director thereof, or any
1028	1028	stockholder owning in the aggregate more than 25% of the stock of such
1029	1029	corporation, would be ineligible to receive a license hereunder for any
1030	1030	reason other than the citizenship requirements;
1031	1031	(5) a person whose place of business is conducted by a manager or
1032	1032	agent unless the manager or agent possesses all the qualifications of a
1033	1033	licensee;
1034	1034	(6) a person whose spouse would be ineligible to receive a cereal
1035	1035	malt beverage retailer's license for any reason other than citizenship
1036	1036	requirements or age, except that this paragraph shall not apply in
1037	1037	determining eligibility for a renewal license; and
1038	1038	(7) a person whose spouse has been convicted of a felony or other
1039	1039	crime that would disqualify a person from licensure under this section and
1040	1040	such felony or other crime was committed during the time that the spouse
1041	1041	held a license under this act.
1042	1042	(c) After examination of an application for a cereal malt beverage
1043	1043	retailer's license, the board of county commissioners or the governing body
1044	1044	of a city director may deny a license to a person, partnership or
1045	1045	corporation if any manager, officer or director thereof, or any stockholder
1046	1046	owning in the aggregate more than 25% of the stock of such corporation,
1047	1047	has been an officer, manager, director or a stockholder owning in the
1048	1048	aggregate more than 25% of the stock, of a corporation that has:
1049	1049	(1) Had a cereal malt beverage retailer's license revoked under
1050	1050	K.S.A. 41-2708, and amendments thereto; or
1051	1051	(2) been convicted of a violation of the club and drinking
1052	1052	establishment act or the cereal malt beverage laws of this state.
1053	1053	(d) Notwithstanding any generally applicable grant of discretion that
1054	1054	may be provided pursuant to subsection (a), if an applicant has been issued
1055	1055	a farm winery license pursuant to K.S.A. 41-316, and amendments thereto,
1056	1056	or a producer's license pursuant to K.S.A. 41-355, and amendments
1057	1057	thereto, an application for a retailers' license shall be approved by the
1058	1058	board of county commissioners, the governing body of the city or the
1059	1059	director, subject to the requirements of subsections (b) and (c).
1060	1060	(e) Cereal malt beverage retailers' licenses shall be issued either on
1061	1061	an annual basis or for the calendar year. If such licenses are issued on an
1062	1062	annual basis, the board of county commissioners or the governing body of
1063	1063	the city shall notify the distributors supplying the county or city on or
1064	1064	before April 1 of the year if a retailer's license is not renewed for a period
1065	1065	of one year, beginning on the effective date of the license and ending one
1066	1066	year thereafter.
1067	1067	(f) In addition to, and consistent with the requirements of K.S.A. 41-
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1110	1110	43 HB 2376 14
1111	1111	2701 et seq., and amendments thereto, the board of county commissioners
1112	1112	of any county or the governing body of any city may provide by a
1113	1113	resolution or ordinance for the issuance of requesting the director to issue
1114	1114	a special event retailers' permit that shall allow the permit holder to offer
1115	1115	for sale, sell and serve cereal malt beverage for consumption on
1116	1116	unpermitted premises, that may be open to the public, subject to the
1117	1117	following:
1118	1118	(1) A special event retailers' permit shall specify the premises for
1119	1119	which the permit is issued;
1120	1120	(2) a special event retailers' permit shall be issued for the duration of
1121	1121	the special event, the dates and hours of which shall be specified in the
1122	1122	permit;
1123	1123	(3) not more than four special event retailers' permits may be issued
1124	1124	to any one applicant in a calendar year; and
1125	1125	(4) a special event retailers' permit shall not be transferable or
1126	1126	assignable.
1127	1127	(g) A special event retailers' permit holder shall not be subject to the
1128	1128	provisions of the beer and cereal malt beverage keg registration act, K.S.A.
1129	1129	41-2901 et seq., and amendments thereto.
1130	1130	Sec. 8. K.S.A. 2024 Supp. 41-2704 is hereby amended to read as
1131	1131	follows: 41-2704. (a) In addition to and consistent with the requirements
1132	1132	of the Kansas cereal malt beverage act, the board of county commissioners
1133	1133	of any county or the governing body of any city may prescribe hours of
1134	1134	closing, standards of conduct and rules and regulations concerning the
1135	1135	moral, sanitary and health conditions of places licensed pursuant to this act
1136	1136	and may establish zones within which no such place may be located.
1137	1137	(b) Within any city where the days of sale at retail of cereal malt
1138	1138	beverage in the original package have not been expanded as provided by
1139	1139	K.S.A. 41-2911, and amendments thereto, or have been so expanded and
1140	1140	subsequently restricted as provided by K.S.A. 41-2911, and amendments
1141	1141	thereto, no cereal malt beverages or beer containing not more than 6%
1142	1142	alcohol by volume may be sold:
1143	1143	(1) Between the hours of 12 midnight and 6 a.m.; or
1144	1144	(2) on Sunday, except in a place of business that is licensed to sell
1145	1145	cereal malt beverage for consumption on the premises and that is located
1146	1146	in a county where such sales on Sunday have been authorized by
1147	1147	resolution of the board of county commissioners of the county or in a city
1148	1148	where such sales on Sunday have been authorized by ordinance of the
1149	1149	governing body of the city.
1150	1150	(c) Within any city where the days of sale at retail of cereal malt
1151	1151	beverage in the original package have been expanded as provided by
1152	1152	K.S.A. 41-2911, and amendments thereto, and have not been subsequently
1153	1153	restricted as provided in K.S.A. 41-2911, and amendments thereto, no
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1197	1197	person shall sell at retail cereal malt beverage or beer containing not more
1198	1198	than 6% alcohol by volume:
1199	1199	(1) Between the hours of 12 midnight and 6 a.m.;
1200	1200	(2) in the original package not earlier than 9 a.m. and not later than 8
1201	1201	p.m. on Sunday;
1202	1202	(3) on Easter Sunday; or
1203	1203	(4) for consumption on the licensed premises on Sunday, except in a
1204	1204	place of business that is licensed to sell cereal malt beverage for
1205	1205	consumption on the premises and that is located in a county where such
1206	1206	sales on Sunday have been authorized by resolution of the board of county
1207	1207	commissioners of the county or in a city where such sales on Sunday have
1208	1208	been authorized by ordinance of the governing body of the city.
1209	1209	(d) No private rooms or closed booths shall be operated in a place of
1210	1210	business, but this provision shall not apply if the licensed premises also are
1211	1211	licensed as a club pursuant to the club and drinking establishment act.
1212	1212	(e) Each place of business shall be open to the public and to law
1213	1213	enforcement officers at all times during business hours, except that a
1214	1214	premises licensed as a club pursuant to the club and drinking establishment
1215	1215	act shall be open to law enforcement officers and not to the publicThe
1216	1216	right of immediate entry to and inspection of any premises licensed as an
1217	1217	on-premise or off-premise cereal malt beverage retailer, or any premises
1218	1218	subject to the control of any such licensee, by any duly authorized officer
1219	1219	or agent of the director, or by any law enforcement officer, shall be a
1220	1220	condition upon which every license is issued, and the application for, and
1221	1221	acceptance of, any license shall conclusively be deemed to be the consent
1222	1222	of the applicant and licensee to such immediate entry and inspection. Such
1223	1223	right of immediate entry and inspection shall be at any time when the
1224	1224	premises are occupied and is not limited to hours when the licensee is
1225	1225	open for business. Such consent shall not be revocable during the term of
1226	1226	the license. Refusal of such entry shall be grounds for revocation of the
1227	1227	license.
1228	1228	(f) Except as otherwise provided by this subsection, no licensee shall
1229	1229	permit a person under the legal age for consumption of cereal malt
1230	1230	beverage or beer containing not more than 6% alcohol by volume to
1231	1231	consume or purchase any cereal malt beverage in or about a place of
1232	1232	business. A licensee's employee who is not less than 18 years of age may
1233	1233	dispense or sell cereal malt beverage or beer containing not more than 6%
1234	1234	alcohol by volume, if:
1235	1235	(1) The licensee's place of business is licensed only to sell at retail
1236	1236	cereal malt beverage or beer containing not more than 6% alcohol by
1237	1237	volume in the original package and not for consumption on the premises
1238	1238	as an off-premise cereal malt beverage retailer; or
1239	1239	(2) the licensee's place of business is a licensed food service
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1283	1283	establishment, as defined by K.S.A. 36-501, and amendments thereto, and
1284	1284	not less than 50% of the gross receipts from the licensee's place of
1285	1285	business is derived from the sale of food for consumption on the premises
1286	1286	of the licensed place of business.
1287	1287	(g) No person shall have any alcoholic liquor, except beer containing
1288	1288	not more than 6% alcohol by volume, in such person's possession while in
1289	1289	a place of business, unless the premises are currently licensed as a club or
1290	1290	drinking establishment pursuant to the club and drinking establishment act
1291	1291	or the business is a farm winery licensed pursuant to K.S.A. 41-316, and
1292	1292	amendments thereto, or a producer licensed pursuant to K.S.A. 41-355,
1293	1293	and amendments thereto.
1294	1294	(h) Cereal malt beverages may be sold on premises that are licensed
1295	1295	pursuant to both the Kansas cereal malt beverage act and the club and
1296	1296	drinking establishment act at any time when alcoholic liquor is allowed by
1297	1297	law to be served on the premises.
1298	1298	Sec. 9. K.S.A. 41-2705 is hereby amended to read as follows: 41-
1299	1299	2705. (a) Except to the extent permitted pursuant to K.S.A. 41-703, and
1300	1300	amendments thereto, no retailer licensee, or any officer, associate,
1301	1301	member, representative or agent thereof, shall accept, receive or borrow
1302	1302	money or anything else of value, or accept or receive credit, directly or
1303	1303	indirectly, from: (1) Any manufacturer or distributor; (2) any person
1304	1304	connected with, in any way representing or a member of the family of a
1305	1305	manufacturer or distributor; (3) any stockholders in a manufacturer or
1306	1306	distributor; or (4) any officer, manager, agent or representative of a
1307	1307	manufacturer or distributor.
1308	1308	(b) AnyA licensee who shall permit or assent, or be a party in any
1309	1309	way, to any violation or infringement of the provisions of this section or of
1310	1310	K.S.A. 41-702 or 41-703, and amendments thereto, shall be deemed guilty
1311	1311	of a violation of this act, and any money loaned contrary to a provision of
1312	1312	this section shall not be recovered, or any note, mortgage or other evidence
1313	1313	of indebtedness, or security, or any lease or contract obtained or made
1314	1314	contrary to this act shall be unenforceable and void.
1315	1315	Sec. 10. K.S.A. 41-2706 is hereby amended to read as follows: 41-
1316	1316	2706. (a) Except as provided by subsection (b), no person shall sell or
1317	1317	furnish cereal malt beverages or beer containing not more than 6% alcohol
1318	1318	by volume at retail to any person on credit; on a passbook; on order on a
1319	1319	store; in exchange for any goods, wares or merchandise; or in payment for
1320	1320	any services rendered. If any person extends credit for such purpose, the
1321	1321	debt attempted to be created shall not be recoverable at law and, in
1322	1322	addition, such person shall be subject to the penalties provided in K.S.A.
1323	1323	41-2707, and amendments thereto.
1324	1324	(b) A licensed retailer licensee may sell cereal malt beverages or beer
1325	1325	containing not more than 6% alcohol by volume to a consumer on credit
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1369	1369	pursuant to a credit card which that entitles the user to purchase goods or
1370	1370	services from at least 100 persons not related to the issuer of the credit
1371	1371	card.
1372	1372	Sec. 11. K.S.A. 41-2707 is hereby amended to read as follows: 41-
1373	1373	2707. No distributor shall sell or furnish cereal malt beverages to a retailer
1374	1374	licensee on credit; on a passbook; on order on a store; in exchange for any
1375	1375	goods, wares or merchandise; in payment for any service rendered or to be
1376	1376	rendered; or by any extension of credit of any kind, type or class. Any
1377	1377	distributor or retailer who violates any of the terms of this section or
1378	1378	K.S.A. 41-2706, and amendments thereto, shall be subject to all penalties
1379	1379	and forfeitures provided by K.S.A. 41-2705 and 41-2708, and amendments
1380	1380	thereto, and any debt attempted to be created in violation hereof shall not
1381	1381	be recoverable at law.
1382	1382	Sec. 12. K.S.A. 41-2708 is hereby amended to read as follows: 41-
1383	1383	2708. (a) The board of county commissioners or the governing body of
1384	1384	any city, upon five days' notice to the persons holding a license, director
1385	1385	may revoke or suspend the a license issued pursuant to this act for any one
1386	1386	of the following reasons:
1387	1387	(1) The licensee has violated any of the provisions of K.S.A. 41-2701
1388	1388	et seq., and amendments thereto, the Kansas cereal malt beverage act or
1389	1389	any rules or regulations made by the board or the city, as the case may be;
1390	1390	(2) drunkenness of the licensee or permitting any intoxicated person
1391	1391	to remain in or upon the licensee's place of business;
1392	1392	(3) the sale of cereal malt beverages or beer containing not more than
1393	1393	6% alcohol by volume to any person under the legal age for consumption
1394	1394	of cereal malt beverage;
1395	1395	(4) permitting any person to mix drinks with materials purchased in
1396	1396	or upon the place of business or brought in for that purpose;
1397	1397	(5) the sale or possession of, or permitting any person to use or
1398	1398	consume on the licensed premises, any alcoholic liquor as defined by
1399	1399	K.S.A. 41-102, and amendments thereto, except beer containing not more
1400	1400	than 6% alcohol by volume; or
1401	1401	(6) the licensee has been convicted of a violation of the beer and
1402	1402	cereal malt beverage keg registration act.
1403	1403	(b) The provisions of subsections (a)(4) and (5) shall not apply if the
1404	1404	place of business or premises also are currently licensed as a club or
1405	1405	drinking establishment pursuant to the club and drinking establishment act.
1406	1406	(c) The board of county commissioners or the governing body of any
1407	1407	city, upon five days' notice to the persons holding a license, director shall
1408	1408	revoke or suspend the license for any one of the following reasons:
1409	1409	(1) The licensee has fraudulently obtained the license by giving false
1410	1410	information in the application therefor;
1411	1411	(2) the licensee has become ineligible to obtain a license under this
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1455	1455	act;
1456	1456	(3) the nonpayment of any license fees;
1457	1457	(4) permitting any gambling in or upon the licensee's place of
1458	1458	business;
1459	1459	(5) the employment of persons under 18 years of age in dispensing or
1460	1460	selling cereal malt beverages or beer containing not more than 6% alcohol
1461	1461	by volume;
1462	1462	(6) the employment or continuation in employment of a person in
1463	1463	connection with the sale, serving or dispensing of cereal malt beverages if
1464	1464	the licensee knows such person has been, within the preceding two years,
1465	1465	adjudged guilty of a felony or of any violation of the intoxicating liquor
1466	1466	laws of this state, another state or the United States; or
1467	1467	(7) there has been a violation of K.S.A. 21-4106 or 21-4107, prior to
1468	1468	their repeal, or K.S.A. 21-6204, and amendments thereto, in or upon the
1469	1469	licensee's place of business.
1470	1470	(d) Within 20 days after the order of the board revoking or
1471	1471	suspending any license, the licensee may appeal to the district court and
1472	1472	the district court shall proceed to hear such appeal as though such court
1473	1473	had original jurisdiction of the matter. Any appeal taken from an order
1474	1474	revoking or suspending the license shall not suspend the order of
1475	1475	revocation or suspension during the pendency of any such appealAll
1476	1476	proceedings involving the suspension or revocation of a license pursuant
1477	1477	to this section shall be conducted in accordance with the provisions of the
1478	1478	Kansas administrative procedure act. No license shall be suspended or
1479	1479	revoked except after an opportunity for a hearing before the director.
1480	1480	(e) (1) (A) At any time, the governing body of any city or county may
1481	1481	request the director to hold a hearing on whether any license issued
1482	1482	pursuant to this act should be revoked or suspended. The governing body
1483	1483	shall provide the director reasonable cause to believe that a hearing is
1484	1484	necessary based upon factors included in rules and regulations by the
1485	1485	secretary. The director may refuse the governing body's request absent
1486	1486	such reasonable cause to hold a hearing;
1487	1487	(B) Any hearing held pursuant to this section shall be conducted in
1488	1488	accordance with the provisions of the Kansas administrative procedure act
1489	1489	as provided in subsection (d).
1490	1490	(2) At any hearing held pursuant to this section, the governing body
1491	1491	of such city or county shall have the right to appear before the director
1492	1492	and present testimony and evidence and make recommendations regarding
1493	1493	the granting or refusal to grant such license or renewal, or whether such
1494	1494	license should be revoked or suspended. In determining whether to grant
1495	1495	or to refuse to grant such license or renewal, or to revoke or suspend such
1496	1496	license, the director shall take into consideration the testimony and
1497	1497	evidence and recommendations of the governing body of such city or
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1541	1541	county. The director may refuse to grant such license or renewal, or may
1542	1542	revoke or suspend such license based on the evidence gathered at such
1543	1543	hearing, in the interest of protecting the public welfare and in accordance
1544	1544	with rules and regulations adopted by the secretary.
1545	1545	Sec. 13. K.S.A. 41-2722 is hereby amended to read as follows: 41-
1546	1546	2722. (a) No on-premise or off-premise cereal malt beverage retailer, or
1547	1547	employee or agent of a retailer, licensed to sell cereal malt beverage and
1548	1548	beer containing not more than 6% alcohol by volume for consumption on
1549	1549	the licensed premises shall:
1550	1550	(1) OfferSell or serve any free cereal malt beverage or beer
1551	1551	containing not more than 6% alcohol by volume to any person;
1552	1552	(2) offersell or serve to any person a drink at a price that is less than
1553	1553	the acquisition cost of the drink to the licensee;
1554	1554	(3) sell, offer to sell or serve to any person an unlimited number of
1555	1555	drinks during any set period of time for a fixed price, except at private
1556	1556	functions not open to the general public;
1557	1557	(4) encourage or permit, on the licensed premises, any game or
1558	1558	contest which that involves drinking cereal malt beverage or beer
1559	1559	containing not more than 6% alcohol by volume or the awarding of drinks
1560	1560	as prizes; or
1561	1561	(5) advertise or promote in any way, whether on or off the licensed
1562	1562	premises, any of the practices prohibited under subsections (a)(1) through
1563	1563	(4).
1564	1564	(b) (1) AAn on-premise or off-premise cereal malt beverage retailer
1565	1565	may:
1566	1566	(1) offer free food or entertainment at any time;.
1567	1567	(2) An on-premise cereal malt beverage retailer may:
1568	1568	(A) Sell, offer to sell and serve individual drinks at different prices
1569	1569	throughout any day; or
1570	1570	(3)(B) sell or serve cereal malt beverage or beer containing not more
1571	1571	than 6% alcohol by volume in a pitcher capable of containing not more
1572	1572	than 64 fluid ounces.
1573	1573	(c) Violation of any provisions of this section is a misdemeanor
1574	1574	punishable as provided by K.S.A. 41-2711, and amendments thereto.
1575	1575	(d) Violation of any provision of this act shall be grounds for
1576	1576	suspension or revocation of the retailer's license as provided by K.S.A. 41-
1577	1577	2708, and amendments thereto.
1578	1578	(e) Every licensee subject to the provisions of this section shall make
1579	1579	available at any time upon request a price list showing the licensee's
1580	1580	current prices for all cereal malt beverages and beer containing not more
1581	1581	than 6% alcohol by volume.
1582	1582	(f) This section shall be part of and supplemental to K.S.A. 41-2701
1583	1583	through 41-2721, and amendments thereto.
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1627	1627	Sec. 14. K.S.A. 41-2726 is hereby amended to read as follows: 41-
1628	1628	2726. (a) No off-premise cereal malt beverage retailer licensed under
1629	1629	K.S.A. 41-2701 et seq., and amendments thereto, to sell cereal malt
1630	1630	beverage or beer containing not more than 6% alcohol by volume in
1631	1631	original and unopened containers and not for consumption on the licensed
1632	1632	premises shall sell or offer for sale directly or indirectly any cereal malt
1633	1633	beverage or beer containing not more than 6% alcohol by volume at a
1634	1634	price that is less than the acquisition cost of such cereal malt beverage or
1635	1635	beer containing not more than 6% alcohol by volume to the licensee.
1636	1636	(b) The director may issue to a an off-premise cereal malt beverage
1637	1637	retailer a permit authorizing the retailer to sell cereal malt beverage or beer
1638	1638	containing not more than 6% alcohol by volume at less than the
1639	1639	acquisition cost thereof, if:
1640	1640	(1) The retailer is actually closing out the retailer's stock for the
1641	1641	purpose of completely discontinuing sale of the item for a period of not
1642	1642	less than 12 months;
1643	1643	(2) the item is damaged or deteriorated in quality and notice is given
1644	1644	to the public thereof; or
1645	1645	(3) the sale of the item is by an officer acting under the order of a
1646	1646	court.
1647	1647	(c) Violation of this section is a misdemeanor punishable as provided
1648	1648	by K.S.A. 41-2711, and amendments thereto.
1649	1649	(d) Violation of this section shall be grounds for suspension or
1650	1650	revocation of the retailer's license as provided by K.S.A. 41-2708, and
1651	1651	amendments thereto.
1652	1652	Sec. 15. K.S.A. 41-2730 is hereby amended to read as follows: 41-
1653	1653	2730. (a) The director, or any properly designated agent of the director,
1654	1654	may issue a citation to a licensee for any violation of the Kansas cereal
1655	1655	malt beverage act, the Kansas liquor control act, the Kansas club and
1656	1656	drinking establishment act or any rules and regulations promulgated
1657	1657	thereunder, with regard to the sale, consumption or possession of beer
1658	1658	containing not more than 6% alcohol by volume. Any such citation shall
1659	1659	be issued in accordance with the provisions of K.S.A. 41-106, and
1660	1660	amendments thereto.
1661	1661	(b) In addition to or in lieu of any other civil or criminal penalty
1662	1662	provided by law, the director, upon a finding that a retailer, as defined by
1663	1663	K.S.A. 41-2701(e), and amendments thereto, licensee has violated a
1664	1664	provision of the Kansas liquor control act, the Kansas club and drinking
1665	1665	establishment act or the Kansas cereal malt beverage act, or any rules and
1666	1666	regulations promulgated thereunder, with regard to the sale, consumption
1667	1667	or possession of beer containing not more than 6% alcohol by volume may
1668	1668	impose upon such retailer licensee a civil fine not exceeding $1,000 for
1669	1669	each violation.
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1710	1710	41
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1712	1712	43 HB 2376 21
1713	1713	(c) No fine shall be imposed pursuant to this section except upon the
1714	1714	written order of the director to the retailer licensee who committed the
1715	1715	violation. Such order shall state the violation, the fine to be imposed and
1716	1716	the right of the retailer to appeal the order. Such order shall be subject to
1717	1717	appeal and review in accordance with the Kansas administrative procedure
1718	1718	act.
1719	1719	(d) Any fine imposed pursuant to this section shall be remitted to the
1720	1720	state treasurer in accordance with the provisions of K.S.A. 75-4215, and
1721	1721	amendments thereto. Upon receipt of each such remittance, the state
1722	1722	treasurer shall deposit the entire amount in the state treasury to the credit
1723	1723	of the state general fund.
1724	1724	(e) This section shall be a part of and supplemental to the Kansas
1725	1725	cereal malt beverage act.
1726	1726	Sec. 16. K.S.A. 41-304, 41-2601, 41-2701, 41-2702, 41-2705, 41-
1727	1727	2706, 41-2707, 41-2708, 41-2722, 41-2726 and 41-2730 and K.S.A. 2024
1728	1728	Supp. 41-102, 41-104, 41-2703 and 41-2704 are hereby repealed.
1729	1729	Sec. 17. This act shall take effect and be in force from and after its
1730	1730	publication in the statute book.
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