Louisiana 2015 2015 Regular Session

Louisiana Senate Bill SB235 Comm Sub / Analysis

                    RÉSUMÉ DIGEST
Act 460 (SB 235) 2015 Regular Session	Murray
Prior law requires that alcoholic beverages be distributed only through wholesalers.
Prior law made an exception for sparkling wine and still wine. Provided that such products
may be sold and shipped directly to a consumer in Louisiana by the manufacturer or retailer
domiciled inside or outside of Louisiana, or by a wine producer domiciled inside or outside
of Louisiana, provided that all taxes levied have been paid in full and that all of the following
apply:
(1)The consumer is 21 years of age or older.
(2)The sparkling wine or still wine is for that consumer's personal consumption.
(3)The total amount of sparkling wine or still wine shipped in 750 ml bottles does not
exceed 144 bottles per adult person per household address per calendar year.
(4)The wine producer, manufacturer, or retailer engaging in such direct sales holds a
valid wine producer's, manufacturer's, or retailer's license issued by the state of its
domicile.
(5)The package in which the sparkling wine or still wine is shipped is prominently
labeled as containing beverage alcohol.
(6)The package in which such sparkling wine or still wine is shipped is received by a
person 21 years of age or older.
(7)The package contains an invoice indicating the date of the shipment, providing a full
and complete description of all items included in the shipment, and stating the price
thereof.
(8)The wine producer, manufacturer, or retailer domiciled outside of Louisiana has
complied with prior law relating to annual application and quarterly statement to the
secretary of revenue.
(9)The seller or shipper who is a wine producer or manufacturer is not a party, directly
or indirectly, to any agreement in which a wholesaler licensed by Louisiana has been
granted the right to purchase and to sell any sparkling wine or still wine produced by
the manufacturer.
New law retains prior law and adds a requirement that prior to selling or shipping any
sparkling wine or still wine directly to a consumer in Louisiana, a wine producer or
manufacturer or retailer domiciled outside Louisiana register with the state office of alcohol
and tobacco control.  The registration is required to be renewed annually and updated within
30 days of any change to the information contained on the form.
Prior law provided that prior to 2012, a wine producer, manufacturer or out-of-state retailer
selling directly to consumers in Louisiana had to file monthly statements with the secretary
of revenue regarding shipments.  New law deletes prior law.
Prior law provided that beginning in 2012, wine producers, manufacturers and out-of-state
retailers are required to file quarterly statements regarding shipments. New law retains prior
law.
New law authorizes the secretary of revenue to release to the commissioner of the office of
alcohol and tobacco copies of annual applications and quarterly statements of wine
producers, manufacturers and out-of-state retailers authorized to sell directly to consumers.
New law requires any person who transports sparkling wine or still wine for direct shipment
into or out of Louisiana to register with the commissioner.  Requires the commissioner to
promulgate rules for transport registrants that include regular reporting requirements related
to size of containers and quantities of sparkling wine and still wine contained in each shipment.  Requires the rules to also include requirements that prevent sales and deliveries
to underage persons.
New law provides that any person who transports sparkling wine or still wine for direct
shipment into or out of Louisiana in violation of new law or rules shall be subject to a civil
penalty of up to $25,000.
Prior law, relative to restaurant "R" permits, defined "restaurant establishment", in part, as
an establishment which has a public habitable floor area of no less than 500 square feet.
However this shall not apply to business locations that apply to or have been licensed to sell
or serve alcoholic beverages prior to August 1, 2006, and have not discontinued the sale and
service of such beverages for more than six months.  New law specifies that the 500 square
feet must be dedicated to the exclusive use of the applicant's or licensee's business.
New law provides that the commissioner may waive this requirement for any building listed
as a historic building on an official registry or located within an officially designated historic
district.
Prior law provided that all applications for state alcoholic beverage permits shall be mailed
or delivered to the commissioner in Baton Rouge, Louisiana, and all applications for local
permits shall be mailed or delivered to the respective local authorities. Required that an
applicant mail or deliver both his applications for state and local permits within 24 hours of
each other. Provided that if he fails to do so, his state application may be withheld and the
permits denied. Required that upon receipt of an application, the commissioner or the local
authorities, as the case may be, stamp the day, month, and year received, and the
commissioner shall verify that the applicant does not owe the state any delinquent sales
taxes, penalties, or interest, excluding items under formal appeal pursuant to the applicable
statutes. Authorized the commissioner and officers or employees specifically so authorized
by the commissioner and local authorities to issue the permits immediately after proper
investigation but, for a period of 35 days after issuance, such permits shall operate on a
probationary basis subject to final action on, opposition to, or withholding of, the permits as
hereinafter provided.
New law provides that prior to August 1, 2016, the commissioner may waive all state
application fees or provide an equal credit to an applicant's account when a permit is not
issued within three business days after receipt of a fully and properly completed application.
Otherwise retains prior law.
Prior law, relative to the Prevention of Youth Access to Tobacco Law, required that the
commissioner annually conduct random, unannounced inspections at locations where
tobacco products are sold or distributed. Provided that persons under the age of 18 may be
enlisted by employees of the office of alcohol and tobacco control to test compliance, but
such persons may be used only if the testing is conducted under the direct supervision of such
employees and written parental consent has been provided. Provided that any person under
the age of 18 shall either carry the person's own identification showing the person's correct
date of birth or shall carry no identification. Provided that a person under the age of 18 who
carries identification shall, on request, present it to any seller of tobacco products. In
addition, any person under the age of 18 enlisted under prior law shall truthfully answer any
questions about the person's age. Provides that any other use of persons under the age of 18
to test compliance with prior law or any other prohibition of like or similar import shall be
unlawful and the person or persons responsible for such use shall be subject to the penalties
prescribed in prior law.
New law, relative to laws prohibiting the sale or service of alcoholic beverages, tobacco,
alternative nicotine, or vapor products to underage persons, requires that the commissioner
annually conduct random, unannounced inspections at locations where alcoholic beverages,
tobacco, alternative nicotine, or vapor products are sold, served, or distributed. Provides that
persons under the age of 18 or 21 may be enlisted by employees of the office of alcohol and
tobacco control to test compliance, but such persons may be used only if the testing is
conducted under the direct supervision of such employees and written parental consent has
been provided if the person in under the age of 18. Provides that any person under the age
of 18 or 21 shall either carry the person's own identification showing the person's correct date
of birth or shall carry no identification. Provides that a person under the age of 18 or 21 who
carries identification shall, on request, present it to any seller or server of alcoholic beverages, tobacco, alternative nicotine, or vapor products. In addition, any person under the
age of 18 or 21 enlisted under prior law shall truthfully answer any questions about the
person's age. Provides that except where expressly authorized in writing by the commission
in furtherance of the objectives of new law, any other use of persons under the age of 18 or
21 to test compliance with new law or any other prohibition of like or similar import shall
be unlawful and the person or persons responsible for such use shall be subject to the
penalties prescribed in prior law.
Effective January 1, 2016.
(Amends R.S. 26:73(C)(1)(e), 79, 272(C)(1)(e), 279, and 359(D), (E), (F), and (G) and
793(C)(1); adds R.S. 26:359(B)(3))