Oklahoma 2023 Regular Session

Oklahoma House Bill HB2640 Compare Versions

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Version 2 (New)

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3		-	SENATE FLOOR VERSION - HB2640 SFLR Page 1
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	3	+	ENGR. H. B. NO. 2640 Page 1 1
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29		-	SENATE FLOOR VERSION
30		-	April 10, 2023
31		-	AS AMENDED
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33	28		ENGROSSED HOUSE
34	29		BILL NO. 2640 By: Echols of the House
35	30
36	31		and
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38	33		Coleman of the Senate
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43		-	[ alcoholic beverages - permit - reports - penalties
44		-	- shipments - records - effective date ]
	38	+
	39	+
	40	+	An Act relating to alcoholic beverages; amending 37A
	41	+	O.S. 2021, Section 3 -106, which relates to direct
	42	+	wine shipper's permit; modifying requirements for
	43	+	certain reports; providing information to be
	44	+	reported; prohibiting shipment of wine to consumers
	45	+	without a permit; pr oviding penalties; providing that
	46	+	certain shippers have consented to c ertain state
	47	+	agency and court jurisdiction; prohibiting certain
	48	+	acts; providing penalties; requiring notice to
	49	+	carriers of shipments that are unlawful; requiring
	50	+	inspection and auditing of records; and providing an
	51	+	effective date.
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49	56		BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
50	57		SECTION 1. AMENDATORY 37A O.S. 2021, Section 3 -106, is
51	58		amended to read as follows:
52	59		Section 3-106. A. A Direct Wine Ship per's Permit may be issued
53	60		by the Oklahoma ABLE Commission to a wine ry licensed in this or any
54	61		other state within the United States as a wi ne producer. A Direct
55	62		Wine Shipper's Permit allows a winery to ship up to six nine -liter
56	63		cases of wine annually dire ctly to an Oklahoma resident who is
57	64		twenty-one (21) years of age or older for such resident's personal
58	65		use and not for resale. No resident shall be permitted to purchase
59		-	more than thirty nine-liter cases of wine per year under the
60		-	provisions of this secti on.
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62		-	SENATE FLOOR VERSION - HB2640 SFLR Page 2
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	67	+	ENGR. H. B. NO. 2640 Page 2 1
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	92	+	more than thirty nine-liter cases of wine per year under the
	93	+	provisions of this secti on.
88	94		B. The ABLE Commission shall promulgate rules governing the
89	95		application, issuance and renewal of Direct Wine Shipper 's Permits,
90	96		which shall include but not be limited to:
91	97		1. Proof of current licensure in this or any other state as a
92	98		wine producer;
93	99		2. Payment of a registration fee of Three Hundred Dollars
94	100		($300.00) for original permits and One Hundred Fifty Dollars
95	101		($150.00) for renewal permits; and
96	102		3. Any other document ation that the ABLE Commission believes is
97	103		reasonably necessary to verify the ide ntity and physical location of
98	104		the winery.
99	105		C. With regard to direct wine shipments permitted by this
100	106		section, Direct Wine Shipper permit h olders:
101	107		1. Shall not ship more than six nine-liter cases of wine
102	108		annually to any person for his or her personal use;
103	109		2. Shall not ship wine intended for resale;
104	110		3. Shall ensure that all packages containing wine shipped
105	111		directly to a resident in this sta te are conspicuously labeled with
106	112		the words "CONTAINS ALCOHOL: SIGNATURE OF PERSON AGE 21 OR OLDER
107	113		REQUIRED FOR DELIVERY" or are conspicuously labeled with alternative
108	114		wording preapproved by the ABLE Commission;
109		-	4. Shall require the transporter or common carrier that
110		-	delivers the wine to ob tain the signature of a person twenty-one
111		-	(21) years of age or older at the deliv ery address at the time of
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113		-	SENATE FLOOR VERSION - HB2640 SFLR Page 3
114		-	(Bold face denotes Committee Amendments) 1
	116	+	ENGR. H. B. NO. 2640 Page 3 1
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	141	+	4. Shall require the transporter or common carrier that
	142	+	delivers the wine to ob tain the signature of a person twenty-one
	143	+	(21) years of age or older at the deliv ery address at the time of
139	144		delivery. At the expense of the Direct W ine Shipper, the Direct
140	145		Wine Shipper shall receive a delivery confirmat ion from the express
141	146		company, common carrier or contract carrier indicating the location
142	147		of delivery and the name and signature of the individual who
143	148		accepted the delivery. The ABLE Co mmission shall design and create
144	149		a label or approve a label that must b e affixed to the shipping
145	150		container by the licensee;
146	151		5. Shall report to the ABLE Commission annually, quarterly by a
147	152		method prescribed by the ABLE Commission, the total amount of wine
148	153		shipped into the state the preceding calendar year all of the
149	154		following information for each wine shipment into the state pursuant
150	155		to this section:
151	156		a. the name and address of the Oklahoma resident who
152	157		placed the order,
153	158		b. for each completed shipment, evidence of signature by
154	159		an individual of age 21 or older,
155	160		c. the name and license number of the common or permit
156	161		carrier engaged in the shipment,
157	162		d. for each shipment by a wine fulfillment center
158	163		licensee on behalf of the direct wine shipper, the
159		-	name and license number of the wine fulfillment center
160		-	licensee engaged in the shipment,
161		-	e. the date of the shipment,
162		-	f. the carrier tracking number, and
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164		-	SENATE FLOOR VERSION - HB2640 SFLR Page 4
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	190	+	name and license number of the wine fulfillment center
	191	+	licensee engaged in the shipment,
	192	+	e. the date of the shipment,
	193	+	f. the carrier tracking number, and
190	194		g. the quantity of wine in the shipment;
191	195		6. Shall annually quarterly pay to the Oklahoma Tax Commission
192	196		all applicable taxes due on sales authorized by this section to
193	197		Oklahoma residents in the preceding calendar year. The amount of
194	198		such taxes shall be calculated as if the sale were in Oklahoma at
195	199		the location where delivery is made. Upon request, permit holders
196	200		shall permit the Tax Commission to perform an audit of the permit
197	201		holder's records in order to assure compliance;
198	202		7. Shall be deemed to have consented to the jurisdiction of any
199	203		agency or court of the State of Oklahoma tasked with the enforcement
200	204		of or adjudication of controversies related to this section and any
201	205		related laws or rules; and
202	206		8. Shall require the consumer to verify, by elec tronic means or
203	207		otherwise, that the consumer is at leas t twenty-one (21) years of
204	208		age.
205	209		9. Shipments of wine to consumers in Oklahom a from persons who
206	210		do not possess a current Direct Wine Shippe r Permit pursuant to this
207	211		section are prohibited. Any person that violates this section is
208	212		guilty of a misdemeanor and subject to a civil penalty as follows:
209		-	for the first offense shall be fined not more than One Thousand Five
210		-	Hundred Dollars ($1,500.00), for a second offense shall be fined not
211		-	more than Two Thousand Five Hundred Dollars ($2,500.00), and for a
212		-	third and subsequent offense shall be fined not more than Five
213		-	Thousand Dollars ($5,000.00).
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215		-	SENATE FLOOR VERSION - HB2640 SFLR Page 5
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	214	+	ENGR. H. B. NO. 2640 Page 5 1
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	239	+	for the first offense shall be fined not more than One Thousand Five
	240	+	Hundred Dollars ($1,500.00), for a second offense shall be fined not
	241	+	more than Two Thousand Five Hundred Dollars ($2,500.00), and for a
	242	+	third and subsequent offense shall be fined not more than Five
	243	+	Thousand Dollars ($5,000.00).
241	244		D. Every express company, common car rier, contract carrier and
242	245		every firm or corporation that shall bring, carry or transport wine
243	246		for delivery to any person in the state, except wine or spirit
244	247		wholesalers or beer distributors, shall prepare and fil e quarterly
245	248		with the ABLE Commission a repo rt, which shall not be subject to the
246	249		Oklahoma Open Records Act, of all known wine, beer and distilled
247	250		shipments containing:
248	251		1. The name of the company, carrier, person, firm or
249	252		corporation making the report;
250	253		2. The period of time covered by the report;
251	254		3. The name, direct shipping permit number and business address
252	255		of the consignor shipping the wine;
253	256		4. The weight of the packages shi pped;
254	257		5. The unique tracking number of the delivery; and
255	258		6. The date of deli very.
256	259		E. A common carrier shall not deliver a shipment of wi ne
257	260		pursuant to this section to any person in this state unless the
258	261		carrier has verified the validity of the Direct Wi ne Shipper's
259	262		Permit prior to accepting shipment. A carrier may consider a dire ct
260		-	wine shipper's permit to be valid for the remainder of th e stated
261		-	license period unless notified otherwise by the ABLE C ommission.
262		-	F. Every express company, common carrier, contract carrier and
263		-	every firm or corporation that shall bring, carry or transport wine
264		-	for delivery to any person in the state, except wi ne or spirit
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266		-	SENATE FLOOR VERSION - HB2640 SFLR Page 6
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	264	+	ENGR. H. B. NO. 2640 Page 6 1
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	289	+	wine shipper's permit to be valid for the remainder of th e stated
	290	+	license period unless notified otherwise by the ABLE C ommission.
	291	+	F. Every express company, common carrier, contract carrier and
	292	+	every firm or corporation that shall bring, carry or trans port wine
	293	+	for delivery to any person in the state, except wi ne or spirit
292	294		wholesalers or beer distributors, shall be deemed to have consented
293	295		to the jurisdiction of any agency or court of the State of Oklahoma
294	296		tasked with the enforcement of or adjudication of controversies
295	297		related to this section and any related law s or rules; and
296	298		G. 1. No express company, common carrier, or c ontract carrier
297	299		nor any representative, agent, or emp loyee on behalf of an express
298	300		company, common carrier, or contract carrier shall knowingly deliver
299	301		any shipping container that contains an alcoholic beverage into this
300	302		state, unless it complies with the provisions of this section.
301	303		2. No express company, c ommon carrier, or contract carrier nor
302	304		any representative, agent, or employee on behalf of an express
303	305		company, common carrier, or contract carrier shall knowingly deliver
304	306		any shipping container that is c learly labeled as containing an
305	307		alcoholic beverage in cluding, but not limited to, the lawful
306	308		shipment of wine under this section, to any person in this state who
307	309		is under the age of twenty -one (21) years of age at the time of
308	310		delivery.
309	311		3. Any express company, common carrier, or contract carrier
310		-	that carries or transports alcoholic beverages for delivery within
311		-	this state in violation of this section for the fi rst offense shall
312		-	be fined not more than One Thousand Five Hundred Dollars
313		-	($1,500.00), for a sec ond offense shall be fined not more than Two
314		-	Thousand Five Hundred Dollars ($2,500.00), and for a third and
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	338	+	that carries or transports alcoholic beverages for delivery within
	339	+	this state in violation of this section for the fi rst offense shall
	340	+	be fined not more than One Thousand Five Hundred Dollars
	341	+	($1,500.00), for a sec ond offense shall be fined not more than Two
	342	+	Thousand Five Hundred Dollars ($2,500.00), and for a third and
342	343		subsequent offense shall be fined not more than Fiv e Thousand
343	344		Dollars ($5,000.00).
344	345		4. An express company, common carrier, and contract carrier may
345	346		be held vicariously liable for the actions of its repr esentatives,
346	347		agents, and employees for actions in violation of this section.
347	348		5. The Commission shall notify common carriers of all shipmen ts
348	349		it has good cause to believe were made unlawfully into the s tate
349	350		whether those be through a licensed direct shippe r, fulfillment
350	351		provider or an unlicensed entity. The Commission may prohibit a
351	352		carrier from transporting alcohol on behalf of a consignor
352	353		identified as having made an unlawful shipment beginning 15 days
353	354		from the date of the notice. A common carrier may r equest, and the
354	355		Commission must provide, a hearing to show good cause for the
355	356		continued shipping by said consignor .
356	357		H. The ABLE Commission shall inspect and audit the records of
357	358		both the direct wine shipp er permit holder, as well as the common
358	359		carrier and enforce accordingly.
359	360		I. The provisions of this section do not apply to a motor
360	361		carrier or freight forwarder as d efined in Section 13102 o f Title 49
	362	+
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361	388		of the United States Code or to an air carrier as defin ed in Section
362	389		40102 of Title 49 of the United State s Code.
363	390		SECTION 2. This act shall become effective November 1, 2023.
364		-	COMMITTEE REPORT BY: COMMITTEE ON BUSINESS AND COMMERCE
365		-	April 10, 2023 - DO PASS AS AMENDED
	391	+	Passed the House of Representatives the 21st day of March, 2023.
	392	+
	393	+
	394	+
	395	+
	396	+	Presiding Officer of the House
	397	+	of Representatives
	398	+
	399	+
	400	+
	401	+	Passed the Senate the ___ day of __________, 2023.
	402	+
	403	+
	404	+
	405	+
	406	+	Presiding Officer of the Senate
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