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SB374
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Oklahoma Senate Bill SB374

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Oklahoma 2022 Regular Session

Oklahoma Senate Bill SB374 Compare Versions

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

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1
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4	4		Req. No. 851 Page 1 1
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53	53		STATE OF OKLAHOMA
54	54
55	55		1st Session of the 58th Legislature (2021)
56	56
57	57		SENATE BILL 374 By: David
58	58
59	59
60	60
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62	62
63	63		AS INTRODUCED
64	64
65	65		An Act relating to the Oklahoma Alcoholic Beverage
66	66		Control Act; amending Section 3, Cha pter 366, O.S.L.
67	67		2016, as last amended by Section 6, Chapter 161,
68	68		O.S.L. 2020 (37A O.S. Supp. 2020, Section 1-103),
69	69		which relates to definitions; adding definition for
70	70		small farm producer; updating statutory references;
71	71		amending Section 13, Cha pter 366, O.S.L. 2016, as
72	72		last amended by Section 9, Chapter 161, O.S.L. 2020
73	73		(37A O.S. Supp. 2020, Section 2-101), which relates
74	74		to licenses; adding small farm producer license;
75	75		setting license fee; modifying references;
76	76		establishing authority for certain lic ense;
77	77		permitting tastings and sales for on -premises and
78	78		off-premises consumption; limiting gallons for
79	79		certain consumption; requiring records be kept;
80	80		allowing label to be owned by certain licensees;
81	81		providing for codification; and providing an
82	82		effective date.
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87	87		BE IT ENACTED BY THE PEOPLE OF THE STATE O F OKLAHOMA:
88	88		SECTION 1. AMENDATORY Section 3, Chapter 366, O.S.L.
89	89		2016, as last amended by Section 6, Chapter 161, O.S.L. 2020 (37A
90	90		O.S. Supp. 2020, Section 1-103), is amended to read as follows:
91	91		Section 1-103. As used in the Oklaho ma Alcoholic Beverage
92	92		Control Act:
93	93
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144	144		1. "ABLE Commission" or "Commission" means the Alcoholic
145	145		Beverage Laws Enforcement Commission;
146	146		2. "Alcohol" means and includes hydrated oxide of ethyl, ethyl
147	147		alcohol, ethanol or spirits of wine, from whatever source or by
148	148		whatever process produced. It does not include wood alcohol or
149	149		alcohol which has been denatured or produced as denatured in
150	150		accordance with Acts of Congress and regulations promulgated
151	151		thereunder;
152	152		3. "Alcoholic beverage" means alcohol, spirits, beer a nd wine
153	153		as those terms are defined herein and also includes every liquid or
154	154		solid, patented or not, containing alcohol, spirits, wine or beer
155	155		and capable of being consumed as a beverage by human beings;
156	156		4. "Applicant" means any individual, legal or commer cial
157	157		business entity, or any individual involved in any legal or
158	158		commercial business entity allowed to hold any license issued in
159	159		accordance with the Oklahoma A lcoholic Beverage Control Act;
160	160		5. "Beer" means any beverage of alcohol by volume and obtained
161	161		by the alcoholic fermentation of an infusion or decoction of barley,
162	162		or other grain, malt or similar products. "Beer" may or may not
163	163		contain hops or other veget able products. "Beer" includes, among
164	164		other things, beer, ale, stout, l ager beer, porter and ot her malt or
165	165		brewed liquors, but does not include sake, known as Japanese rice
166	166		wine;
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218	218		6. "Beer keg" means any brewer-sealed, single container that
219	219		contains not less than four (4) gallons of beer;
220	220		7. "Beer distributor" means and includes any person licensed to
221	221		distribute beer for retail sale in the state, but does not include a
222	222		holder of a small brewer self -distribution license or brewpub self -
223	223		distribution license . The term "distributor", as used in the
224	224		Oklahoma Alcoholic Beverage Co ntrol Act, shall be cons trued to refer
225	225		to a beer distributor;
226	226		8. "Bottle club" means any establishment in a county which has
227	227		not authorized the retail sale of alcoholic beverages by t he
228	228		individual drink, which is required to be licensed to keep, mix and
229	229		serve alcoholic beverages belonging to club members on club
230	230		premises;
231	231		9. "Brand" means any word, name, group of letters, symbol or
232	232		combination thereof, that is adopted and used by a li censed brewer
233	233		to identify a specific beer, wi ne or spirit and to disting uish that
234	234		product from another beer, wine or spirit;
235	235		10. "Brand extension" means:
236	236		a. after October 1, 2018, any brand of beer or cider
237	237		introduced by a manufacturer in this state which
238	238		either:
239	239		(1) incorporates all or a substantia l part of the
240	240		unique features of a preexisting bran d of the
241	241		same licensed brewer, or
242	242
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293	293		(2) relies to a significant extent on the goodwill
294	294		associated with the preexisting brand, or
295	295		b. any brand of beer that a brewe r, the majority of whose
296	296		total volume of all brands of beer distributed in this
297	297		state by such brewer on January 1, 2016, was
298	298		distributed as low-point beer, desires to sell,
299	299		introduces, begins selling or theretofore has sold and
300	300		desires to continue selling a strong beer in this
301	301		state which either:
302	302		(1) incorporates or incorporat ed all or a substantial
303	303		part of the unique features of a preexisting low -
304	304		point beer brand of the same licensed brewer, or
305	305		(2) relies or relied to a significant extent on the
306	306		goodwill associated with a preexisting low -point
307	307		beer brand;
308	308		11. "Brewer" means and includes any person w ho manufactures for
309	309		human consumption by the use of raw materials or other ingredients
310	310		any beer or cider upon which a license fee and a tax are imposed by
311	311		any law of this state;
312	312		12. "Brewpub" means a licensed establishment operated on the
313	313		premises of, or on premises located contiguous to, a small brewer,
314	314		that prepares and serves food and beverages, including alcoholic
315	315		beverages, for on-premises consumption;
316	316
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367	367		13. "Cider" means any alcoholic beverage obtaine d by the
368	368		alcoholic fermentation of fruit juice, inc luding but not limited to
369	369		flavored, sparkling or carbonated cider. For the purposes of the
370	370		manufacture of this product, cider may be manufactured by either
371	371		manufacturers or brewers. For the purposes of t he distribution of
372	372		this product, cider may be distr ibuted by either wine and spirits
373	373		wholesalers or beer distributors;
374	374		14. "Convenience store" means any person primarily engaged in
375	375		retailing a limited range of general household items and groceries,
376	376		with extended hours of operation, whether or not engaged in retail
377	377		sales of automotive fuels in combination with such sales;
378	378		15. "Convicted" and "conviction" mean and include a finding of
379	379		guilt resulting from a plea of guilty or nolo contendere, the
380	380		decision of a court or magistrate or t he verdict of a jury,
381	381		irrespective of the pronouncement of judgment or the suspension
382	382		thereof;
383	383		16. "Designated products" means the brands of wine or spirits
384	384		offered for sale by a manu facturer that the manufacturer has
385	385		assigned to a designated wholesaler f or exclusive distributio n;
386	386		17. "Designated wholesaler " means a wine and spirits wholesaler
387	387		who has been selected by a manufacturer as a wholesaler appointed to
388	388		distribute designated p roducts;
389	389		18. "Director" means the Director o f the ABLE Commission;
390	390
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441	441		19. "Distiller" means any person who produces spirits from any
442	442		source or substance, or any person who brews or makes mash, wort or
443	443		wash, fit for distillation or for the production of spir its (except
444	444		a person making or using such mat erial in the authorized pro duction
445	445		of wine or beer, or the production of vinegar by fermentation), or
446	446		any person who by any process separates alcoholic spirits from any
447	447		fermented substance, or any person who, ma king or keeping mash, wort
448	448		or wash, has also in his or her possession or use a still;
449	449		20. "Distributor agreement" means the written agreement between
450	450		the distributor and brewer as set forth in Section 3 -108 of this
451	451		title;
452	452		21. "Drug store" means a person primarily engaged in retailing
453	453		prescription and nonprescription drugs an d medicines;
454	454		22. "Dual-strength beer" means a brand of beer that,
455	455		immediately prior to April 15, 2017, was being sold and distributed
456	456		in this state:
457	457		a. as a low-point beer pursuant to the Low-Point Beer
458	458		Distribution Act in effec t immediately prior to
459	459		October 1, 2018, and
460	460		b. as strong beer pursuant to the Alcoholic Beverage
461	461		Control Act in effect immediately prior to October 1,
462	462		2018,
463	463
464	464
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514	514		and continues to be sold and distributed as such on Oc tober 1, 2018.
515	515		Dual-strength beer does not i nclude a brand of beer that arose as a
516	516		result of a brand extension as defined in this section;
517	517		23. "Fair market value" means the value in the subject
518	518		territory covered by the written agreement with the distribu tor or
519	519		wholesaler that would be determined in an arm's length transaction
520	520		entered into without d uress or threat of termination of the
521	521		distributor's or wholesaler's rights and shall include all elements
522	522		of value, including goodwill and going -concern value;
523	523		24. "Good cause" means:
524	524		a. failure by the distributor to comply with th e material
525	525		and reasonable provisions of a written agreement or
526	526		understanding with the brewer, or
527	527		b. failure by the distributor to comply with the duty of
528	528		good faith;
529	529		25. "Good faith" means the duty of each party to any
530	530		distributor agreement and all office rs, employees or agents thereof
531	531		to act with honesty in fact and within reasonable standards of fair
532	532		dealing in the trade;
533	533		26. "Grocery store" means a person primarily engaged in
534	534		retailing a general line of food, such as canned o r frozen foods,
535	535		fresh fruits and vegetables, and fr esh and prepared meats, fish and
536	536		poultry;
537	537
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588	588		27. "Hotel" or "motel" means an establishment which is licensed
589	589		to sell alcoholic beverages by the individual drink a nd which
590	590		contains guestroom accommodations wi th respect to which the
591	591		predominant relationship ex isting between the occupants thereof and
592	592		the owner or operator of the establishment is that of innkeeper and
593	593		guest. For purposes of this section, the existence of other legal
594	594		relationships as between some occupants and the owner or operator
595	595		thereof shall be immaterial;
596	596		28. "Legal newspaper" means a newspaper meeting the requisites
597	597		of a newspaper for publication of legal notices as prescribed in
598	598		Sections 101 through 114 of Title 25 of the Oklahoma Statutes ;
599	599		29. "Licensee" means any person holding a licens e under the
600	600		Oklahoma Alcoholic Beverage Control Act, and any agent, servant or
601	601		employee of such licensee while in the performance of any act or
602	602		duty in connection with the licensed business or on the licen sed
603	603		premises;
604	604		30. "Low-point beer" shall mean any beverages containing more
605	605		than one-half of one percent (1/2 of 1%) alcohol by volume, and not
606	606		more than three and two -tenths percent (3.2%) alcohol by weight,
607	607		including but not limited to, beer or cereal m alt beverages obtained
608	608		by the alcoholic fermentatio n of an infusion by barley or other
609	609		grain, malt or similar products;
610	610
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661	661		31. "Manufacturer" means a distiller, winemaker, rectifier or
662	662		bottler of any alcoholic bev erage (other than beer) and its
663	663		subsidiaries, affiliates and parent comp anies;
664	664		32. "Manufacturer's agent" means a salaried or commissioned
665	665		salesperson who is the agent authorized to act on behalf of the
666	666		manufacturer or nonresident seller in the state;
667	667		33. "Meals" means foods commonly ordered at lun ch or dinner and
668	668		at least part of which is cooked o n the licensed premises and
669	669		requires the use of dining implements for consumption. Provided,
670	670		that the service of only food such as appetizers, sandwiches, sala ds
671	671		or desserts shall not be considered "meals";
672	672		34. "Mini-bar" means a closed container, either refrigerated in
673	673		whole or in part, or nonrefrigerated, and access to the interior of
674	674		which is:
675	675		a. restricted by means of a locking device which requires
676	676		the use of a key, magnetic card or similar device, o r
677	677		b. controlled at all time s by the licensee;
678	678		35. "Mixed beverage cooler " means any beverage, by whatever
679	679		name designated, consisting of an alcoholic beverage and fruit or
680	680		vegetable juice, fruit or vegetable fl avorings, dairy products or
681	681		carbonated water containing more than one -half of one percent (1/2
682	682		of 1%) of alcohol measured by volume but not more than seven percent
683	683		(7%) alcohol by volume at sixty (60) degrees Fahrenheit and which is
684	684		packaged in a container not larger than three hundred seventy -five
685	685
686	686
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701	701		15
702	702		16
703	703		17
704	704		18
705	705		19
706	706		20
707	707		21
708	708		22
709	709		23
710	710		24
711	711		1
712	712		2
713	713		3
714	714		4
715	715		5
716	716		6
717	717		7
718	718		8
719	719		9
720	720		10
721	721		11
722	722		12
723	723		13
724	724		14
725	725		15
726	726		16
727	727		17
728	728		18
729	729		19
730	730		20
731	731		21
732	732		22
733	733		23
734	734		24
735	735
736	736		(375) milliliters. Such ter m shall include but not be limited to
737	737		the beverage popularly known as a "wine cooler";
738	738		36. "Mixed beverages" means one or more servings of a beverage
739	739		composed in whole or part of an a lcoholic beverage in a sealed or
740	740		unsealed container of any legal size fo r consumption on the pre mises
741	741		where served or sold by the holder of a mixed beverage, beer and
742	742		wine, caterer, public event, charitable event or special event
743	743		license;
744	744		37. "Motion picture theater" means an establishment which is
745	745		licensed by Section 2 -110 of this title to sell alc oholic beverages
746	746		by the individual drink and where motion pictures are exhibited, and
747	747		to which the general public is admitted;
748	748		38. "Nondesignated products " means the brands of wine or
749	749		spirits offered for sale by a manufacturer that have not been
750	750		assigned to a designated wholesaler;
751	751		39. "Nonresident seller" means any person licensed pursuant to
752	752		Section 2-135 of this title;
753	753		40. "Retail salesperson" means a salesperson soliciting orders
754	754		from and calling upo n retail alcoholic beverage stores with regard
755	755		to his or her product;
756	756		41. "Occupation" as used in connection with "occupation tax"
757	757		means the sites occupied as the places of business of the
758	758		manufacturers, brewer s, wholesalers, beer distributors, retailers,
759	759
760	760
761	761		Req. No. 851 Page 11 1
762	762		2
763	763		3
764	764		4
765	765		5
766	766		6
767	767		7
768	768		8
769	769		9
770	770		10
771	771		11
772	772		12
773	773		13
774	774		14
775	775		15
776	776		16
777	777		17
778	778		18
779	779		19
780	780		20
781	781		21
782	782		22
783	783		23
784	784		24
785	785		1
786	786		2
787	787		3
788	788		4
789	789		5
790	790		6
791	791		7
792	792		8
793	793		9
794	794		10
795	795		11
796	796		12
797	797		13
798	798		14
799	799		15
800	800		16
801	801		17
802	802		18
803	803		19
804	804		20
805	805		21
806	806		22
807	807		23
808	808		24
809	809
810	810		mixed beverage licensees, on-premises beer and win e licensees,
811	811		bottle clubs, caterers, public event and special event licensees;
812	812		42. "Original package" means any container of alcoholic
813	813		beverage filled and stam ped or sealed by the manufacturer or brewer;
814	814		43. "Package store" means any sole proprietor or p artnership
815	815		that qualifies to sell wine, beer and/or spirits for off -premises
816	816		consumption and that is not a grocery store, convenience store or
817	817		drug store, or other retail outlet that is not permitted to se ll
818	818		wine or beer for off -premises consumption;
819	819		44. "Patron" means any person, customer or visitor who is not
820	820		employed by a licensee or who is not a licensee;
821	821		45. "Person" means an individual, any type of partne rship,
822	822		corporation, association, limited liab ility company or any
823	823		individual involved in the leg al structure of any such business
824	824		entity;
825	825		46. "Premises" means the grounds and all buildings and
826	826		appurtenances pertaining to the grounds including any adjacent
827	827		premises if under the direct or indirect con trol of the licensee and
828	828		the rooms and equipment un der the control of the licensee and used
829	829		in connection with or in furtherance of the business covered by a
830	830		license. Provided that the ABLE Commission shall hav e the authority
831	831		to designate areas to be excl uded from the licensed prem ises solely
832	832		for the purpose of:
833	833
834	834
835	835		Req. No. 851 Page 12 1
836	836		2
837	837		3
838	838		4
839	839		5
840	840		6
841	841		7
842	842		8
843	843		9
844	844		10
845	845		11
846	846		12
847	847		13
848	848		14
849	849		15
850	850		16
851	851		17
852	852		18
853	853		19
854	854		20
855	855		21
856	856		22
857	857		23
858	858		24
859	859		1
860	860		2
861	861		3
862	862		4
863	863		5
864	864		6
865	865		7
866	866		8
867	867		9
868	868		10
869	869		11
870	870		12
871	871		13
872	872		14
873	873		15
874	874		16
875	875		17
876	876		18
877	877		19
878	878		20
879	879		21
880	880		22
881	881		23
882	882		24
883	883
884	884		a. allowing the presence and consumption of alcoholic
885	885		beverages by private parties which are closed to the
886	886		general public, or
887	887		b. allowing the services o f a caterer serving alcoholic
888	888		beverages provided by a private party.
889	889		This exception shall in no way limit the licensee 's concurrent
890	890		responsibility for any violations of the Oklahoma Alcoholic Beverage
891	891		Control Act occurring on the licensed premises;
892	892		47. "Private event" means a social gathering or eve nt attended
893	893		by invited guests who share a common ca use, membership, business or
894	894		task and have a prior established relationship. For purposes of
895	895		this definition, advertisement for general public attendance or
896	896		sales of tickets to the general public shall no t constitute a
897	897		private event;
898	898		48. "Public event" means any event that can be attended by the
899	899		general public;
900	900		49. "Rectifier" means any person who rectifies, purifies or
901	901		refines spirits or wines by any process (other than by original and
902	902		continuous distillation, or original and con tinuous processing, from
903	903		mash, wort, wash or other substance, through continuous closed
904	904		vessels and pipes, until the production thereof is complete), and
905	905		any person who, without rectif ying, purifying or refining spirits,
906	906		shall by mixing (except for immedia te consumption on the pr emises
907	907		where mixed) such spirits, wine or other liquor with any material,
908	908
909	909
910	910		Req. No. 851 Page 13 1
911	911		2
912	912		3
913	913		4
914	914		5
915	915		6
916	916		7
917	917		8
918	918		9
919	919		10
920	920		11
921	921		12
922	922		13
923	923		14
924	924		15
925	925		16
926	926		17
927	927		18
928	928		19
929	929		20
930	930		21
931	931		22
932	932		23
933	933		24
934	934		1
935	935		2
936	936		3
937	937		4
938	938		5
939	939		6
940	940		7
941	941		8
942	942		9
943	943		10
944	944		11
945	945		12
946	946		13
947	947		14
948	948		15
949	949		16
950	950		17
951	951		18
952	952		19
953	953		20
954	954		21
955	955		22
956	956		23
957	957		24
958	958
959	959		manufactures any spurious, imitation or compound liquors for sale,
960	960		under the name of whiskey, brandy, rum, gin, wine, spirits, cord ials
961	961		or any other name;
962	962		50. "Regulation" or "rule" means a formal rule of general
963	963		application promulgated by the ABLE Commission as herein required;
964	964		51. "Restaurant" means an establishment that is licensed to
965	965		sell alcoholic beverages by the individual dr ink for on-premises
966	966		consumption and where food is p repared and sold for immediate
967	967		consumption on the premises;
968	968		52. "Retail container for spirits and wines " means an original
969	969		package of any capacity approved by the United States Bureau of
970	970		Alcohol, Tobacco and Firearms;
971	971		53. "Retailer" means a package store , grocery store,
972	972		convenience store or drug store licensed to sell alcoholic beverages
973	973		for off-premises consumption pursuant to a Retail Spirits License,
974	974		Retail Wine License or Retail Beer License;
975	975		54. "Sale" means any transfer, exc hange or barter in any m anner
976	976		or by any means whatsoever, and includes and means all sales made by
977	977		any person, whether as principal, proprietor or as an agent, servant
978	978		or employee. The term "sale" is also declared to be and incl ude the
979	979		use or consumption in this state of any alc oholic beverage obtained
980	980		within or imported from without this state, upon which the excise
981	981		tax levied by the Oklahoma Alcoholic Beverage Control Act has not
982	982		been paid or exempted;
983	983
984	984
985	985		Req. No. 851 Page 14 1
986	986		2
987	987		3
988	988		4
989	989		5
990	990		6
991	991		7
992	992		8
993	993		9
994	994		10
995	995		11
996	996		12
997	997		13
998	998		14
999	999		15
1000	1000		16
1001	1001		17
1002	1002		18
1003	1003		19
1004	1004		20
1005	1005		21
1006	1006		22
1007	1007		23
1008	1008		24
1009	1009		1
1010	1010		2
1011	1011		3
1012	1012		4
1013	1013		5
1014	1014		6
1015	1015		7
1016	1016		8
1017	1017		9
1018	1018		10
1019	1019		11
1020	1020		12
1021	1021		13
1022	1022		14
1023	1023		15
1024	1024		16
1025	1025		17
1026	1026		18
1027	1027		19
1028	1028		20
1029	1029		21
1030	1030		22
1031	1031		23
1032	1032		24
1033	1033
1034	1034		55. "Short-order food" means food other than full m eals
1035	1035		including but not limited to sandwiches, soups and salads. Provided
1036	1036		that popcorn, chips and other similar snack food shall not be
1037	1037		considered "short-order food";
1038	1038		56. "Small brewer" means a brewer who manufactures less than
1039	1039		sixty-five thousand (65,000 ) barrels of beer annual ly pursuant to a
1040	1040		validly issued Small Brewer License hereunder;
1041	1041		57. "Small farm wine" means a wine that is produced by a small
1042	1042		farm winery with seventy -five percent (75%) or more Oklahoma -grown
1043	1043		grapes, berries, other fruits, honey or vegetables;
1044	1044		58. "Small farm winery" means a wine-making establishment that
1045	1045		does not annually produce for sale more than fifteen thousand
1046	1046		(15,000) gallons of wine as reported on the United States Department
1047	1047		of the Treasury, Alcohol and Tobacco Tax and T rade Bureau, Report of
1048	1048		Wine Premises Operations (TTB Form 5120.17);
1049	1049		59. "Small farm producer" means a person that annually produces
1050	1050		in this state no les s than one hundred (100) vines of sound ripe
1051	1051		grapes, one thousand (1,000) pounds of other sound r ipe fruit or
1052	1052		berries or one hundred (100) pounds of honey ;
1053	1053		60. "Sparkling wine" means champagne or any artificially
1054	1054		carbonated wine;
1055	1055		60. 61. "Special event" means an entertainment, recreation or
1056	1056		marketing event that occurs at a single location on an irregular
1057	1057		basis and at which alcoh olic beverages are sold;
1058	1058
1059	1059
1060	1060		Req. No. 851 Page 15 1
1061	1061		2
1062	1062		3
1063	1063		4
1064	1064		5
1065	1065		6
1066	1066		7
1067	1067		8
1068	1068		9
1069	1069		10
1070	1070		11
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1072	1072		13
1073	1073		14
1074	1074		15
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1076	1076		17
1077	1077		18
1078	1078		19
1079	1079		20
1080	1080		21
1081	1081		22
1082	1082		23
1083	1083		24
1084	1084		1
1085	1085		2
1086	1086		3
1087	1087		4
1088	1088		5
1089	1089		6
1090	1090		7
1091	1091		8
1092	1092		9
1093	1093		10
1094	1094		11
1095	1095		12
1096	1096		13
1097	1097		14
1098	1098		15
1099	1099		16
1100	1100		17
1101	1101		18
1102	1102		19
1103	1103		20
1104	1104		21
1105	1105		22
1106	1106		23
1107	1107		24
1108	1108
1109	1109		61. 62. "Spirits" means any beverage other than wine or beer,
1110	1110		which contains more than one -half of one percent (1/2 of 1%) alcohol
1111	1111		measured by volume, and obtained by distil lation, whether or not
1112	1112		mixed with other substances in sol ution and includes those products
1113	1113		known as whiskey, brandy, rum, gin, vodka, liqueurs, cordials and
1114	1114		fortified wines and similar compounds, but shall not include any
1115	1115		alcohol liquid completely denature d in accordance with the Acts of
1116	1116		Congress and regulations pursuant thereto;
1117	1117		62. 63. "Strong beer" means beer which, prior to October 1,
1118	1118		2018, was distributed pursuant to the Oklahoma Alcoholic Beverage
1119	1119		Control Act, Section 501 e t seq. of Title 37 of the Oklah oma
1120	1120		Statutes;
1121	1121		63. 64. "Successor brewer" means a primary source of supply, a
1122	1122		brewer, a cider manufacturer or an importer that acquires rights to
1123	1123		a beer or cider brand from a predecessor brewer;
1124	1124		64. 65. "Tax Commission" means the Oklahoma Tax Commission;
1125	1125		65. 66. "Territory" means a geographic region with a specified
1126	1126		boundary;
1127	1127		66. 67. "Wine and spirits wholesaler " or "wine and spirits
1128	1128		distributor" means and includes any sole proprietorship or
1129	1129		partnership licensed to distribute wine and spir its in the state.
1130	1130		The term "wholesaler", as used the Oklahoma Alcoh olic Beverage
1131	1131		Control Act, shall be construed to refer to a wine and spirits
1132	1132		wholesaler;
1133	1133
1134	1134
1135	1135		Req. No. 851 Page 16 1
1136	1136		2
1137	1137		3
1138	1138		4
1139	1139		5
1140	1140		6
1141	1141		7
1142	1142		8
1143	1143		9
1144	1144		10
1145	1145		11
1146	1146		12
1147	1147		13
1148	1148		14
1149	1149		15
1150	1150		16
1151	1151		17
1152	1152		18
1153	1153		19
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1155	1155		21
1156	1156		22
1157	1157		23
1158	1158		24
1159	1159		1
1160	1160		2
1161	1161		3
1162	1162		4
1163	1163		5
1164	1164		6
1165	1165		7
1166	1166		8
1167	1167		9
1168	1168		10
1169	1169		11
1170	1170		12
1171	1171		13
1172	1172		14
1173	1173		15
1174	1174		16
1175	1175		17
1176	1176		18
1177	1177		19
1178	1178		20
1179	1179		21
1180	1180		22
1181	1181		23
1182	1182		24
1183	1183
1184	1184		67. 68. "Wine" means and includes any beverage containing more
1185	1185		than one-half of one percent (1/2 of 1 %) alcohol by volume and not
1186	1186		more than twenty-four percent (24%) alcohol by volume at sixty (60)
1187	1187		degrees Fahrenheit obtained by the fermentation of the natural
1188	1188		contents of fruits, vegetables, honey, milk or other products
1189	1189		containing sugar, whether or not o ther ingredients are added, and
1190	1190		includes vermouth and sake, known as Japanese rice wine;
1191	1191		68. 69. "Winemaker" means and includes any person or
1192	1192		establishment who manufactures for human consumption any wine upon
1193	1193		which a license fee and a tax are imposed by any l aw of this state;
1194	1194		and
1195	1195		69. 70. "Satellite tasting room" means a licensed establishment
1196	1196		operated off the licensed premises of the holder of a small farm
1197	1197		winery or winemaker license, which serves wine for on -premises or
1198	1198		off-premises consumption.
1199	1199		Words in the plural include the singular, and v ice versa, and
1200	1200		words imparting the masculine gender include the feminine, as well
1201	1201		as persons and licensees as defined in this section.
1202	1202		SECTION 2. AMENDATORY Section 13, Chapter 366, O.S.L.
1203	1203		2016, as last amended by Section 9, Chapter 161, O.S.L. 2020 (37A
1204	1204		O.S. Supp. 2020, Section 2-101), is amended to read as follows:
1205	1205		Section 2-101. A. Except as otherwise provided in this
1206	1206		section, the licenses issued by the ABLE Commission, and the annual
1207	1207		fees therefor, shall be as follows:
1208	1208
1209	1209
1210	1210		Req. No. 851 Page 17 1
1211	1211		2
1212	1212		3
1213	1213		4
1214	1214		5
1215	1215		6
1216	1216		7
1217	1217		8
1218	1218		9
1219	1219		10
1220	1220		11
1221	1221		12
1222	1222		13
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1224	1224		15
1225	1225		16
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1227	1227		18
1228	1228		19
1229	1229		20
1230	1230		21
1231	1231		22
1232	1232		23
1233	1233		24
1234	1234		1
1235	1235		2
1236	1236		3
1237	1237		4
1238	1238		5
1239	1239		6
1240	1240		7
1241	1241		8
1242	1242		9
1243	1243		10
1244	1244		11
1245	1245		12
1246	1246		13
1247	1247		14
1248	1248		15
1249	1249		16
1250	1250		17
1251	1251		18
1252	1252		19
1253	1253		20
1254	1254		21
1255	1255		22
1256	1256		23
1257	1257		24
1258	1258
1259	1259		1. Brewer License................................ .. $1,250.00
1260	1260		2. Small Brewer License .............................. $125.00
1261	1261		3. Distiller License ............................... $3,125.00
1262	1262		4. Winemaker License................................ . $625.00
1263	1263		5. Small Farm Winery License .......................... $75.00
1264	1264		6. Small Farm Producer License ........................ $75.00
1265	1265		7. Rectifier License............................... $3,125.00
1266	1266		7. 8. Wine and Spirits Wholesal er License.......... $3,000.00
1267	1267		8. 9. Beer Distributor License ....................... $750.00
1268	1268		9. 10. The following retail spiri ts license fees
1269	1269		shall be determined by the latest Federal
1270	1270		Decennial Census:
1271	1271		a. Retail Spirits License for cities and
1272	1272		towns from 200 to 2,500 population.......... $305.00
1273	1273		b. Retail Spirits License for cities and
1274	1274		towns from 2,501 to 5,000 population ........ $605.00
1275	1275		c. Retail Spirits License for cities and
1276	1276		towns over 5,000 population ................. $905.00
1277	1277		10. 11. Retail Wine License........................ $1,000.00
1278	1278		11. 12. Retail Beer License.......................... $500.00
1279	1279		12. 13. Mixed Beverage License..................... $1,005.00
1280	1280		(initial license)
1281	1281		$905.00
1282	1282		(renewal)
1283	1283
1284	1284
1285	1285		Req. No. 851 Page 18 1
1286	1286		2
1287	1287		3
1288	1288		4
1289	1289		5
1290	1290		6
1291	1291		7
1292	1292		8
1293	1293		9
1294	1294		10
1295	1295		11
1296	1296		12
1297	1297		13
1298	1298		14
1299	1299		15
1300	1300		16
1301	1301		17
1302	1302		18
1303	1303		19
1304	1304		20
1305	1305		21
1306	1306		22
1307	1307		23
1308	1308		24
1309	1309		1
1310	1310		2
1311	1311		3
1312	1312		4
1313	1313		5
1314	1314		6
1315	1315		7
1316	1316		8
1317	1317		9
1318	1318		10
1319	1319		11
1320	1320		12
1321	1321		13
1322	1322		14
1323	1323		15
1324	1324		16
1325	1325		17
1326	1326		18
1327	1327		19
1328	1328		20
1329	1329		21
1330	1330		22
1331	1331		23
1332	1332		24
1333	1333
1334	1334		13. 14. Mixed Beverage/Caterer Combination
1335	1335		License................................ ........ $1,250.00
1336	1336		14. 15. On-Premises Beer and Wine License ............ $500.00
1337	1337		(initial license)
1338	1338		$450.00
1339	1339		(renewal)
1340	1340		15. 16. Bottle Club License........................ $1,000.00
1341	1341		(initial license)
1342	1342		$900.00
1343	1343		(renewal)
1344	1344		16. 17. Caterer License............................ $1,005.00
1345	1345		(initial license)
1346	1346		$905.00
1347	1347		(renewal)
1348	1348		17. 18. Annual Special Event License.................. $55.00
1349	1349		18. 19. Quarterly Special Event License ............... $55.00
1350	1350		19. 20. Hotel Beverage License..................... $1,005.00
1351	1351		(initial license)
1352	1352		$905.00
1353	1353		(renewal)
1354	1354		20. 21. Airline/Railroad/Commercial Passenger Vessel Beverage
1355	1355		License................................ ................. $1,005.00
1356	1356		(initial license)
1357	1357		$905.00
1358	1358
1359	1359
1360	1360		Req. No. 851 Page 19 1
1361	1361		2
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1395	1395		12
1396	1396		13
1397	1397		14
1398	1398		15
1399	1399		16
1400	1400		17
1401	1401		18
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1403	1403		20
1404	1404		21
1405	1405		22
1406	1406		23
1407	1407		24
1408	1408
1409	1409		(renewal)
1410	1410		21. 22. Agent License................................ . $55.00
1411	1411		22. 23. Employee License.............................. $30.00
1412	1412		23. 24. Industrial License............................ $23.00
1413	1413		24. 25. Carrier License............................... $23.00
1414	1414		25. 26. Private Carrier License ....................... $23.00
1415	1415		26. 27. Bonded Warehouse License ..................... $190.00
1416	1416		27. 28. Storage License............................... $23.00
1417	1417		28. 29. Nonresident Seller Licens e or
1418	1418		Manufacturer's License........................... $750.00
1419	1419		29. 30. Manufacturer's Agent License.................. $55.00
1420	1420		30. 31. Sacramental Wine Supplier License............ $100.00
1421	1421		31. 32. Charitable Auction License ..................... $1.00
1422	1422		32. 33. Charitable Alcoholic Beverage License ......... $55.00
1423	1423		33. 34. Winemaker Self-Distribution License .......... $750.00
1424	1424		34. 35. Annual Public Event Lice nse................ $1,005.00
1425	1425		35. 36. One-Time Public Event Licens e................ $255.00
1426	1426		36. 37. Small Brewer Self-Distribution License ....... $750.00
1427	1427		37. 38. Brewpub License............................ $1,005.00
1428	1428		38. 39. Brewpub Self-Distribution License ............ $750.00
1429	1429		39. 40. Complimentary Beverage License ................ $75.00
1430	1430		40. 41. Satellite Tasting Room L icense............... $100.00
1431	1431		B. 1. There shall be added to the initial or renewal fees for
1432	1432		a Mixed Beverage License an administrative fee, which shall not be
1433	1433
1434	1434
1435	1435		Req. No. 851 Page 20 1
1436	1436		2
1437	1437		3
1438	1438		4
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1483	1483
1484	1484		deemed to be a license fee, in the amount of Five Hundred Dollars
1485	1485		($500.00), which shall be paid at the same time and in the sa me
1486	1486		manner as the license fees prescribed by paragraph 12 of subsection
1487	1487		A of this section; provided, this fee shall not be assessed against
1488	1488		service organizations or fraternal beneficiary societies which are
1489	1489		exempt under Section 501(c )(19), (8) or (10) of th e Internal Revenue
1490	1490		Code.
1491	1491		2. There shall be added to the fee for a Mixed Beverage/Caterer
1492	1492		Combination License an administrative fee, which shall not be deemed
1493	1493		to be a license fee, in the amount o f Two Hundred Fifty Dollars
1494	1494		($250.00), which shall be paid at the same time and in the same
1495	1495		manner as the license fee prescribed by paragraph 13 of subsection A
1496	1496		of this section.
1497	1497		C. Notwithstanding the provisions of subsection A of this
1498	1498		section:
1499	1499		1. The license fee for a mixed beverage or bot tle club license
1500	1500		for those service organizations or fraternal beneficiary societies
1501	1501		which are exempt under Section 501(c)(19), (8) or (10) of the
1502	1502		Internal Revenue Code shall be Five Hundred Dollars ($500.00) per
1503	1503		year; and
1504	1504		2. The renewal fee for an airline /railroad/commercial pas senger
1505	1505		vessel beverage license held by a railroad described in 49 U.S.C.,
1506	1506		Section 24301, shall be One Hundred Dollars ($100.00).
1507	1507
1508	1508
1509	1509		Req. No. 851 Page 21 1
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1557	1557
1558	1558		D. An applicant may apply for and receive both an on -premises
1559	1559		beer and wine license and a caterer lice nse.
1560	1560		E. All licenses, except as otherwise provided, shall be valid
1561	1561		for one (1) year from date of issuance unless revoked or
1562	1562		surrendered. Provided, all employee licenses shall be valid for two
1563	1563		(2) years.
1564	1564		F. The holder of a license, issued by the ABLE Com mission, for
1565	1565		a bottle club located in a county of this state where the sale of
1566	1566		alcoholic beverages by the individual drink for on -premises
1567	1567		consumption has been authorized, may exchange the bottle club
1568	1568		license for a mixed beverage license or an on-premises beer and wine
1569	1569		license and operate the licensed premises as a mixed beverage
1570	1570		establishment or an on -premises beer and wine establishment subject
1571	1571		to the provisions of the Oklahoma Alcoholic Beverage Control Act.
1572	1572		There shall be no additional fee for such exc hange and the mixed
1573	1573		beverage license or on-premises beer and wine license issued shall
1574	1574		expire one (1) year from the date of issuance of the original bottle
1575	1575		club license.
1576	1576		G. In addition to the applicable licensing fee, the following
1577	1577		surcharge shall be asse ssed annually on the fol lowing licenses:
1578	1578		1. Nonresident Seller or Manufacturer License ...... $2,500.00
1579	1579		2. Wine and Spirits Wholesaler License ............. $2,500.00
1580	1580		3. Beer Distributor ................................ $1,000.00
1581	1581
1582	1582
1583	1583		Req. No. 851 Page 22 1
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1600	1600		18
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1602	1602		20
1603	1603		21
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1606	1606		24
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1608	1608		2
1609	1609		3
1610	1610		4
1611	1611		5
1612	1612		6
1613	1613		7
1614	1614		8
1615	1615		9
1616	1616		10
1617	1617		11
1618	1618		12
1619	1619		13
1620	1620		14
1621	1621		15
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1623	1623		17
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1631	1631
1632	1632		4. Retail Spirits License for cities an d towns
1633	1633		over 5,000 population............................. $250.00
1634	1634		5. Retail Spirits Lice nse for cities and towns
1635	1635		from 2,501 to 5,000 population .................... $200.00
1636	1636		6. Retail Spirits License for cities and towns
1637	1637		from 200 to 2,500 population ...................... $150.00
1638	1638		7. Retail Wine License ............................... $250.00
1639	1639		8. Retail Beer License............................... $250.00
1640	1640		9. Mixed Beverage License............................. $25.00
1641	1641		10. Mixed Beverage/Caterer Combination License ........ $25.00
1642	1642		11. Caterer License ................................ ... $25.00
1643	1643		12. On-Premises Beer and Wine License ................. $25.00
1644	1644		13. Annual Public Event License ....................... $25.00
1645	1645		14. Small Farm Winery License ......................... $25.00
1646	1646		15. Small Brewer License.............................. $35.00
1647	1647		16. Complimentary Bevera ge License.................... $25.00
1648	1648		The surcharge shall be paid concurrent with the licensee 's
1649	1649		annual licensing fee and, in addition to Five Dollars ($5.00) of the
1650	1650		employee license fee, shall be deposited in the A lcoholic Beverage
1651	1651		Governance Revolving Fund established pursu ant to Section 5-128 of
1652	1652		this title.
1653	1653		H. Any license issued by the ABLE Commission under this title
1654	1654		may be relied upon by other licensees as a valid license, and no
1655	1655		other licensee shall have any o bligation to independently determine
1656	1656
1657	1657
1658	1658		Req. No. 851 Page 23 1
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1706	1706
1707	1707		the validity of such lic ense or be held liable solely as a
1708	1708		consequence of another licensee 's failure to maintain a valid
1709	1709		license.
1710	1710		SECTION 3. NEW LAW A new section of law to be codified
1711	1711		in the Oklahoma Stat utes as Section 2-131.1 of Title 37A, unless
1712	1712		there is created a duplication in numb ering, reads as follows:
1713	1713		A. Small Farm Producer License shall authorize the holder
1714	1714		thereof:
1715	1715		1. To contract with a small farm winery license holder to
1716	1716		manufacture wine exclusively from produce grown by the licensee on
1717	1717		the premises described in the application and in the issued license.
1718	1718		All wine sold or served by the license holder shall be produced, in
1719	1719		whole or in part, using sound ripe grapes, fruits, berries or honey
1720	1720		grown or produced exclusively by the license holder and shall not
1721	1721		exceed one thousand (1,000) gallons;
1722	1722		2. To conduct wine tastings of wine m anufactured from produce
1723	1723		grown by the licensee on the licens ed premise and registered farmers
1724	1724		markets;
1725	1725		3. To sell wine manufactured from produce grown by the licensee
1726	1726		in the original unopened container or by the glass for either on -
1727	1727		premises or off-premises consumption to consumers on the premises of
1728	1728		the small farm producer license holder; and
1729	1729		4. To sell and serve Oklahom a-manufactured wine, mulled wine or
1730	1730		spiced wine, mixed with nonalcoholic beverages or food items such as
1731	1731
1732	1732
1733	1733		Req. No. 851 Page 24 1
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1781	1781
1782	1782		water, sugar, fruits and vegetables, at any temperature for either
1783	1783		on-premises or off-premises consumption and not to exceed One
1784	1784		Thousand (1000) gallons.
1785	1785		B. The small farm producer licensee shall maint ain records of
1786	1786		all sales made under the license including sales of agriculture
1787	1787		products to a small farm winery and sales to consumers and maintain
1788	1788		records of all purchases of wine manufactured by such smal l farm
1789	1789		winery, for at least three (3) years after the sale or purchase.
1790	1790		C. The manufacturer for the sale of wine to holders of producer
1791	1791		licenses shall be included in the small farm winer y licensee's
1792	1792		annual production.
1793	1793		D. The label for any such wine manuf actured by the small farm
1794	1794		winery may be owned by either the small farm winery or the producer
1795	1795		licensee for whom the wine was manufactured.
1796	1796		SECTION 4. This act shall become effect ive November 1, 2021.
1797	1797
1798	1798		58-1-851 NP 1/12/2021 3:29:13 PM