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3 | 34 | BILL NO. 2843 By: Caldwell (Trey) of the | |
4 | 35 | House | |
5 | 36 | ||
6 | 37 | and | |
7 | 38 | ||
8 | 39 | Seifried of the Senate | |
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12 | 45 | An Act relating to alcoholic beverages; amending 37A | |
13 | 46 | O.S. 2021, Sections 2 -108, 3-109, 3-123 and 5-132, | |
14 | 47 | which relate to alcoholic beverages; providing that a | |
15 | 48 | beer distributor licensee may store alcoholic | |
16 | 49 | beverages of any kind, nonalcoholic beverages, and | |
17 | 50 | other goods, wares, and merchandise in a ny warehouses | |
18 | 51 | owned or leased by the beer distributor; providing | |
19 | 52 | that a beer distributor is not obligated to segregate | |
20 | 53 | the products in the warehouse; providing that a | |
21 | 54 | leased warehouse includes a leased space within a | |
22 | 55 | multi-tenant building under certain cir cumstances; | |
23 | 56 | providing that employees of a beer distributor may | |
24 | 57 | transport beer to licensed retailers; modifying | |
25 | 58 | penalties and providing a remedy to cure such | |
26 | 59 | violations; providing it shall not be deemed an | |
27 | 60 | inducement or a discriminatory action for certain | |
28 | 61 | license holders to establish individu alized servicing | |
29 | 62 | and delivery schedules for their retailers based on | |
30 | 63 | the retailer's actual needs; expanding license | |
31 | 64 | holders who must submit an application for | |
32 | 65 | registration of a brand label; providing that certain | |
33 | 66 | license holders shall not be required to ve rify | |
34 | 67 | registration and shall not be penalized for any | |
35 | 68 | applicant's failure to register its brand label; and | |
36 | 69 | declaring an emergency . | |
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42 | 75 | BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLA HOMA: | |
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44 | 103 | SECTION 1. AMENDATORY 37A O.S. 202 1, Section 2-108, is | |
45 | 104 | amended to read as follows: | |
46 | - | ENR. H. B. NO. 2843 Page 2 | |
47 | 105 | Section 2-108. A. A beer distributor license shall authorize | |
48 | 106 | the holder thereof: | |
49 | - | ||
50 | 107 | 1. To purchase and import into this state cider from pe rsons | |
51 | 108 | authorized to sell the sam e who are the holders of manufacture r's | |
52 | 109 | licenses, and their agents who are the holders of manufacturer's | |
53 | 110 | agent licenses; | |
54 | - | ||
55 | 111 | 2. To purchase and import into this state beer or cider from | |
56 | 112 | persons authorized to sell the same who a re the holders of brewer 's | |
57 | 113 | or small brewer's licenses; | |
58 | - | ||
59 | 114 | 3. To purchase beer and cider from licensed beer distributors | |
60 | 115 | in this state; | |
61 | - | ||
62 | 116 | 4. To sell in retail containers to retailers, on -premises beer | |
63 | 117 | and wine, mixed beverage, caterer, special event, public ev ent, | |
64 | 118 | hotel beverage and airline/ railroad beverage licensees or any o ther | |
65 | 119 | licensee permitted to sell beer to consumers in this state, beer a nd | |
66 | 120 | cider which has been received, unloaded and stored at the holder 's | |
67 | 121 | self-owned or leased and self -operated warehouses before such sale, | |
68 | 122 | unless otherwise permitted by this section; | |
69 | - | ||
70 | 123 | 5. To sell beer and cider in this state to beer distributors | |
71 | 124 | and out of this state to qualified persons, including federal | |
72 | 125 | instrumentalities and voluntary associations of military personnel | |
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73 | 153 | on federal enclaves in this stat e over which this state has ceded | |
74 | 154 | jurisdiction; | |
75 | - | ||
76 | 155 | 6. To donate beer and cider to organizations, associations or | |
77 | 156 | nonprofit corporations organized for political, fraternal, | |
78 | 157 | charitable, religious or social purposes or to charita ble events; | |
79 | 158 | and | |
80 | - | ||
81 | 159 | 7. To transport wine, spirits, beer and cider in ve hicles | |
82 | 160 | owned, leased or operated by the beer distributor, a subsidiary of | |
83 | 161 | the beer distributor, or its agent, in addition to any nonalcoholic | |
84 | 162 | items. Provided, if the beer distributor tran sports wine and | |
85 | 163 | spirits, a valid wine and spirits wholesaler license must be | |
86 | 164 | maintained by the beer distributor or affiliated entity having | |
87 | 165 | common ownership with the licensed beer distributor ; and | |
88 | - | ||
89 | 166 | 8. To store alcoholic beverages of any kind, including wine and | |
90 | 167 | spirits owned by a licensed affiliated entity having common | |
91 | - | ownership, nonalcoholic beverages, and other goods, wares, and | |
168 | + | ownership, nonalcoholic beverages, and other goods, wares, and | |
92 | 169 | merchandise related to the foregoing, in any number of warehouses | |
93 | 170 | owned or leased by the beer distributor as determined by t he beer | |
94 | 171 | distributor. Provided, however, the storage of wine and spirits | |
95 | 172 | shall comply with the limitations to the number of warehouses | |
96 | 173 | contained in Section 2-107 of this title. There shall be no | |
97 | 174 | obligation to segregate the products in the warehouse by alcoho l | |
98 | 175 | content or type of product. F or purposes of this section, a leas ed | |
99 | 176 | warehouse includes a leased space within a multi-tenant building as | |
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100 | 204 | long as such leased space is a discrete, enclosed area operated and | |
101 | 205 | controlled exclusively by the beer distributor . | |
102 | - | ||
103 | 206 | B. In the event that no in -state beer distributor for a | |
104 | 207 | particular brewer or manufacturer is willing to deliver beer or | |
105 | 208 | cider to a county or counties located within the state, the ABLE | |
106 | 209 | Commission may grant an economic hardship exemption to an out -of- | |
107 | 210 | state beer distributor for a particular brewer and waive the at-rest | |
108 | 211 | requirement set forth in this section, upon a good-faith showing | |
109 | 212 | that: | |
110 | - | ||
111 | 213 | 1. It is economically infeasible or impractical for an in -state | |
112 | 214 | beer distributor for a particular brewer to deliver to the county or | |
113 | 215 | counties due to remot eness, or population, or both; | |
114 | - | ||
115 | 216 | 2. No in-state beer distributor of a particular brewer or | |
116 | 217 | manufacturer objects to the waiver within thirty (30) days of | |
117 | 218 | receiving written notice of the economic hardship application sent | |
118 | 219 | by the ABLE Commission; and | |
119 | - | ||
120 | 220 | 3. The out-of-state beer distributor agrees to pay all | |
121 | 221 | necessary licensing fees and remit all applicable taxes to t he State | |
122 | 222 | of Oklahoma. | |
123 | - | ||
124 | 223 | C. The economic hardship exemption provided for in subsection B | |
125 | 224 | of this section shall renew an nually, provided that no in -state beer | |
126 | 225 | distributor for a particular brewer or manufacturer submits an | |
127 | 226 | executed distribution agreement to as sume responsibility to | |
128 | 227 | distribute the beer in the subject county or counties at least sixty | |
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129 | 255 | (60) days prior to the re newal date of the exemption. Th e in-state | |
130 | 256 | beer distributor who has executed a distribution agreement to assume | |
131 | 257 | responsibility to distribut e beer in the subject territory shall | |
132 | 258 | compensate the out-of-state distributor the fair market value of the | |
133 | 259 | distribution rights of the territory as de termined pursuant to | |
134 | 260 | Section 3-108 of this title. | |
135 | - | ENR. H. B. NO. 2843 Page 4 | |
136 | 261 | D. Provided, nothing in this section shall require an Ok lahoma | |
137 | 262 | licensed beer distributor with an Oklahoma designated territory on | |
138 | 263 | the effective date of this act to meet the hardship provisions in | |
139 | 264 | subsections B and C of this section to conti nue to operate as a | |
140 | 265 | licensed Oklahoma beer distributor. | |
141 | - | ||
142 | 266 | SECTION 2. AMENDATORY 37A O.S. 2021, Section 3 -109, is | |
143 | 267 | amended to read as follows: | |
144 | - | ||
145 | 268 | Section 3-109. In order to regulate distribution of beer in | |
146 | 269 | this state and assure collection of all applicable taxes and fees, | |
147 | 270 | all beer sold in this state by a licensed distributor shall only be | |
148 | 271 | transported within this state to the licensed address and lo cation | |
149 | 272 | of a licensed retailer or between the licensed addresses and | |
150 | 273 | locations of licensed retailers by a marked conveyance conveyances | |
151 | 274 | owned or leased by a licensed distributor or its employees. | |
152 | - | ||
153 | 275 | SECTION 3. AMENDATORY 37A O.S. 202 1, Section 3-123, is | |
154 | 276 | amended to read as follo ws: | |
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156 | 304 | Section 3-123. A. It shall be unlawful for any person | |
157 | 305 | privileged to sell alcoholic beverages to wholesalers, beer | |
158 | 306 | distributors or retailers: | |
159 | - | ||
160 | 307 | 1. To discriminate, directly or indirectly, in price between | |
161 | 308 | one wine and spirits wholesaler and another win e and spirits | |
162 | 309 | wholesaler, when that manufacturer has not designated a single wine | |
163 | 310 | and spirits wholesaler, or between one retailer and another retailer | |
164 | 311 | purchasing alcoholic beverages bearing the same brand or trad e name | |
165 | 312 | and of like age and quality, unless o therwise provided by law; or | |
166 | - | ||
167 | 313 | 2. To grant, directly or indirectly, any discount, rebate, free | |
168 | 314 | goods, allowance or other inducement. | |
169 | - | ||
170 | 315 | B. The ABLE Commission is hereby authorized to promulgate rules | |
171 | 316 | which are necessary to carry out the purpose of this sectio n and to | |
172 | 317 | prevent its circumvention by offering or giving of any rebate, | |
173 | 318 | allowance, free goods, discount or any other thing or service of | |
174 | 319 | value; provided, the posting or invoicing of charges per order for | |
175 | 320 | processing minimum orders or per case for the handling or repacking | |
176 | 321 | of goods by wine and spirits wholesalers and beer distributors for | |
177 | 322 | sales in less than full case lots shall not constitute a violation | |
178 | 323 | of this section. | |
179 | - | ENR. H. B. NO. 2843 Page 5 | |
180 | 324 | C. For the violation of any provision of thi s section or of any | |
181 | 325 | rule duly promulgated under this section, the ABLE Commission may | |
182 | 326 | issue a written warning, fine, suspend or revoke a license as | |
183 | 327 | follows: | |
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185 | 355 | 1. For a first offense, not exceeding ten (10) days ' suspension | |
186 | 356 | of license a written warning which may be accompanied by a fine not | |
187 | 357 | to exceed Five Thousand Dollars ($5,000.00); | |
188 | - | ||
189 | 358 | 2. For a second offense, not exceeding thirty (30) ten (10) | |
190 | 359 | days' suspension of license; and | |
191 | - | ||
192 | 360 | 3. For a third offense, the ABLE Commission shall revoke the | |
193 | 361 | license. | |
194 | - | ||
195 | 362 | Provided, however, prior to suspending or revoking a license, | |
196 | 363 | the ABLE Commission shall first provide written notice to a licensee | |
197 | 364 | of the violation and a period of ninety (90) days following such | |
198 | 365 | notice to cure or remedy such violation. For purposes of this | |
199 | 366 | section, a "second offense" and "third offense" shall mean | |
200 | 367 | violations that are related to or arising out of and occurring | |
201 | 368 | within twelve (12) months of the "first offense". | |
202 | - | ||
203 | 369 | D. For purposes of this section, and except as otherwise | |
204 | 370 | provided in subsecti on E of this section, "inducement" means | |
205 | 371 | directly or indirectly offerin g, selling, trading, giving or | |
206 | 372 | furnishing any discount, free goods, electronic or nonelectronic | |
207 | 373 | refrigerated equipment, barrels, tubs, fixtures, dispensing | |
208 | 374 | equipment, outdoor electric o r nonelectric advertising st ructure | |
209 | 375 | displaying the retailer 's name, permanent shelving, supplies, gifts, | |
210 | 376 | prizes, instantly redeemable coupons, premiums, retailer rebates, | |
211 | 377 | services of any employee including but not limited to affixing price | |
212 | 378 | labels or tags, routinely stocking product o n shelves other than the | |
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213 | 406 | stocking of cold boxes, paying a third party for entering product | |
214 | 407 | and price information into a retailer's computer system, portal, | |
215 | 408 | website, spreadsheet or third-party system, handling product that | |
216 | 409 | was not sold to the retailer by th e licensee, paying a slotting fee, | |
217 | 410 | selling on consignment, operating a retailer's cash register, | |
218 | 411 | conducting janitorial services, decoration providing decorations, | |
219 | 412 | samples of alcoholic beverages, personal property or other | |
220 | 413 | inducement or thing of value to any retail spirit, retail beer, | |
221 | 414 | retail wine, beer and wine, mixed beverage, caterer, bottle club or | |
222 | 415 | special event licensee, wine and spirits wholesaler or beer | |
223 | 416 | distributor, their agents or employees. | |
224 | - | ENR. H. B. NO. 2843 Page 6 | |
225 | 417 | E. It shall not be deemed an inducement for a brewe r, beer | |
226 | 418 | distributor, small brewer sel f-distributor or brewpub self- | |
227 | 419 | distributor to voluntarily take the following merchandising actions | |
228 | 420 | with the permission of the retail licensee: | |
229 | - | ||
230 | 421 | 1. Furnish point-of-sale advertising materials and consumer | |
231 | 422 | advertising specialties, as those terms are defined in 27 C.F.R., | |
232 | 423 | Section 6.84 and in compliance with the other limits and | |
233 | 424 | restrictions provided in 27 C.F.R., Section 6.84; | |
234 | - | ||
235 | 425 | 2. Give or sell product displays, including but not limited to | |
236 | 426 | barrels and tubs, provided that the value of such displays does not | |
237 | 427 | exceed the limits and restrictions provided in 27 C.F.R., Section | |
238 | 428 | 6.83; | |
239 | 429 | ||
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240 | 456 | 3. Build product displays, accessible to the customer and | |
241 | 457 | without disturbing competitors ' products, for the product being | |
242 | 458 | delivered by the beer distri butor; | |
243 | - | ||
244 | 459 | 4. Affix pricing to the shelf strip or product display for the | |
245 | 460 | product being delivered by the beer distributor, small brewer self- | |
246 | 461 | distributor or brewpub self-distributor, or brewed by the brewer; | |
247 | - | ||
248 | 462 | 5. Routinely stock and restock shelves and cold box es and | |
249 | 463 | rotate product that has been s old to the retail licensee by the beer | |
250 | 464 | distributor, small brewer self-distributor or brewpub self- | |
251 | 465 | distributor, or brewed by the brewer; | |
252 | - | ||
253 | 466 | 6. Periodically perform product resets, with permission of the | |
254 | 467 | retail licensee, pursuant to a provi ded shelf plan or shelf | |
255 | 468 | schematic; | |
256 | - | ||
257 | 469 | 7. Furnish things of value to a temporary retailer, as defined | |
258 | 470 | in 27 C.F.R., Section 6.85; | |
259 | - | ||
260 | 471 | 7. 8. Sell equipment or supplies to a retail licensee, provid ed | |
261 | 472 | the equipment or supplies are sold at a price not less than the cost | |
262 | 473 | to the industry member and payment is collected within thirty (30) | |
263 | 474 | days of the sale; | |
264 | - | ||
265 | 475 | 8. 9. Install dispensing accessories at the retail location, as | |
266 | 476 | long as the retailer bears the cost o f installation including | |
267 | 477 | equipment; or furnish, give or sell co il cleaning services to a | |
268 | 478 | retailer; | |
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270 | 506 | 9. 10. Withdraw quantities of b eer or cider in undamaged, | |
271 | 507 | original packaging from the retail licensee's stock, provided the | |
272 | 508 | beer distributor, small brewer self -distributor, brewpub self- | |
273 | 509 | distributor or brewer sold such b eer, directly or indirec tly, to the | |
274 | 510 | retail licensee and such removal is otherwise permitted under | |
275 | 511 | Section 3-115 of this title; provided, however, replacing with beer | |
276 | 512 | or cider of equivalent value sh all not be considered a consignment | |
277 | 513 | sale; | |
278 | - | ||
279 | 514 | 10. 11. Provide mail-in rebates for beer, ci der and | |
280 | 515 | nonalcoholic beverage merchandis e items, funded by the brewer and | |
281 | 516 | redeemed by the brewer, either by itself or through a third-party | |
282 | 517 | fulfillment company, for a discou nt or rebate on the beer, cider or | |
283 | 518 | nonalcoholic item; | |
284 | - | ||
285 | 519 | 11. 12. Provide a recommended sh elf plan or shelf schematic to | |
286 | 520 | a retail licensee for all or any portion of the inventory sold by | |
287 | 521 | the retail licensee; | |
288 | - | ||
289 | 522 | 12. 13. Furnish or give a sample of beer or cider to a ret ailer | |
290 | 523 | who has not purchased the brand from that brewer, beer distributor, | |
291 | 524 | small brewer self-distributor or brewpub self-distributor within the | |
292 | 525 | last twelve (12) months, provided that the b rewer, beer distributor, | |
293 | 526 | small brewer self-distributor or brewpub sel f-distributor may not | |
294 | 527 | give more than thirty -six (36) ounces of any brand of beer or cider | |
295 | 528 | to a specific retailer; | |
296 | 529 | ||
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297 | 556 | 13. 14. Furnish or give newspaper cuts, mats or engraved blocks | |
298 | 557 | for use in retailers' advertisements; | |
299 | - | ||
300 | 558 | 14. 15. Package and distribute beer or cider i n combination | |
301 | 559 | with other nonalcoholic i tems for sale to consumers; | |
302 | - | ||
303 | 560 | 15. 16. Give or sponsor educational seminars for employees of | |
304 | 561 | retailers either at the brewer, beer distributor, small brewer self- | |
305 | 562 | distributor or brewpub self -distributor's premises or at the | |
306 | 563 | retailer's establishment, including seminars dealing with use of a | |
307 | 564 | retailer's equipment, training seminars for employees of retailers | |
308 | 565 | or tours of the brewer, beer distributor, small brewer self- | |
309 | 566 | distributor, or brewpub self -distributor's plant premises, prov ided | |
310 | 567 | that the brewer, beer distribu tor, small brewer self -distributor or | |
311 | 568 | brewpub self-distributor shall not pay the retailer for the | |
312 | 569 | employees' travel, lodging or other expens es in conjunction with an | |
313 | 570 | educational seminar but may provide nominal hospitality during the | |
314 | - | event; ENR. H. B. NO. 2843 Page 8 | |
315 | - | ||
571 | + | event; | |
316 | 572 | 16. 17. Conduct tasting or sampling activities a t a retail | |
317 | 573 | establishment and purchase the products to be used from the retailer | |
318 | 574 | so long as the purchase pri ce paid does not exceed the ordinary | |
319 | 575 | retail price; provided, a beer distributor shall not be required to | |
320 | 576 | provide labor for such sampling activities; | |
321 | - | ||
322 | 577 | 17. 18. Offer contest prizes, premium offers, refunds and like | |
323 | 578 | items directly to consumers so long as offi cers, employees and | |
324 | 579 | representatives of brewers, beer distr ibutors, small brewer self - | |
580 | + | ||
581 | + | SENATE FLOOR VERSION - HB2843 SFLR Page 12 | |
582 | + | (Bold face denotes Committee Amendments) 1 | |
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325 | 607 | distributors, brewpub self-distributors and licensed retailers a re | |
326 | 608 | excluded from participation; | |
327 | - | ||
328 | 609 | 18. 19. List the names and addresses of two or more | |
329 | 610 | unaffiliated retailers selling the products of a brewer, beer | |
330 | 611 | distributor, small bre wer, small brewer self -distributor or brewpub | |
331 | 612 | self-distributor in an advertisement of s uch brewer, beer | |
332 | 613 | distributor, small brewer, small brewer self-distributor or brewpub | |
333 | 614 | self-distributor so long as the requirements of 27 C.F.R., Section | |
334 | 615 | 6.98 are satisfied, considering applicable guida nce issued by the | |
335 | 616 | United States Department of the Treasu ry Alcohol and Tobacco Tax and | |
336 | 617 | Trade Bureau; provided, nothing in the Oklahoma Alcoholic Beverage | |
337 | 618 | Control Act shall prohibit a retail, mixed beverage, on-premises | |
338 | 619 | beer and wine, public event, special event, charitable auction, | |
339 | 620 | charitable alcoholic beverage event, or complimentary beverage | |
340 | 621 | licensee from communicating with a brewer, beer distributor, small | |
341 | 622 | brewer, small brewer self-distributor or brewpub self-distributor on | |
342 | 623 | social media or sharing media on the social media page or site of a | |
343 | 624 | brewer, beer distributor, small brewer, small brewer self- | |
344 | 625 | distributor or brewpub self-distributor. A retail, mixed beverage, | |
345 | 626 | on-premises beer and wine, public event, special event, chari table | |
346 | 627 | auction, charitable alcoh olic beverage event, or complimentary | |
347 | 628 | beverage licensee may request free social media advertising from a | |
348 | 629 | brewer, beer distributor, small brewer, small brewer self - | |
349 | 630 | distributor or brewpub self-distributor; provided, nothing in this | |
631 | + | ||
632 | + | SENATE FLOOR VERSION - HB2843 SFLR Page 13 | |
633 | + | (Bold face denotes Committee Amendments) 1 | |
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350 | 658 | section shall prohibit a b rewer, beer distributor, small brewer, | |
351 | 659 | small brewer self-distributor or brewpub self-distributor from | |
352 | 660 | sharing, reposting or forwarding a social media post by a ret ail, | |
353 | 661 | mixed beverage, on-premises beer and wine, public event, special | |
354 | 662 | event, charitable aucti on, charitable alcoholic beverage event, or | |
355 | 663 | complimentary beverage licensee, as long as the sharing, reposting | |
356 | 664 | or forwarding of the social media post does not cont ain the retail | |
357 | 665 | price of any alcoholic beverage. No brewer, be er distributor, small | |
358 | 666 | brewer, small brewer self-distributor or brewpub self -distributor | |
359 | - | shall pay or reimburse a retail, mixed beverage, on-premises beer | |
667 | + | shall pay or reimburse a retail, mixed beverage, on-premises beer | |
360 | 668 | and wine, public event, special event, c haritable auction, | |
361 | 669 | charitable alcoholic beverage event, or com plimentary beverage | |
362 | 670 | licensee, directly or indirectly, for any social media advertising | |
363 | 671 | services. No retail, mixed beverage, on-premises beer and wine, | |
364 | 672 | public event, special event, charitable au ction, charitable | |
365 | 673 | alcoholic beverage event, or complimentary b everage licensee shall | |
366 | 674 | accept any payment or reimbursement, directly or indirectly, for any | |
367 | 675 | social media advertising service offered by a brewer, beer | |
368 | 676 | distributor, small brewer, small brewer sel f-distributor or brewpub | |
369 | 677 | self-distributor. For purposes of th is paragraph, "social media" | |
370 | 678 | means a service, platform or site where users communicate with one | |
371 | 679 | another and share media, such as pictures, videos, music and blogs, | |
372 | 680 | with other users free of charg e; or | |
373 | 681 | ||
682 | + | SENATE FLOOR VERSION - HB2843 SFLR Page 14 | |
683 | + | (Bold face denotes Committee Amendments) 1 | |
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707 | + | ||
374 | 708 | 19. 20. Entering product and price information into a | |
375 | 709 | retailer's portal, website, spreadsh eet or third-party system. A | |
376 | 710 | brewer may pay for a t hird-party system that provides data and | |
377 | 711 | pricing services to the brewer or a beer distributor. | |
378 | - | ||
379 | 712 | F. It shall not be deemed an inducement for a brewer, beer | |
380 | 713 | distributor, small brewer self-distributor or brewpub self- | |
381 | 714 | distributor to engage in the following mar keting activities, | |
382 | 715 | provided that the brewer, beer distributor, small brewer self- | |
383 | 716 | distributor or brewpub sel f-distributor shall not pay the retailer's | |
384 | 717 | travel costs other than those for local transportation or lodging: | |
385 | - | ||
386 | 718 | 1. Provide tickets to a retailer for a sporting or | |
387 | 719 | entertainment event so long as a representative of the brewer, beer | |
388 | 720 | distributor, small brewer self-distributor or brewpub self- | |
389 | 721 | distributor attends the event wit h the retailer; | |
390 | - | ||
391 | 722 | 2. Provide food and beverage to a retailer for immediate | |
392 | 723 | consumption: | |
393 | - | ||
394 | 724 | a. at a meeting at which the primary purpose is the | |
395 | 725 | discussion of business, | |
396 | - | ||
397 | 726 | b. at a convention when the food and beverages are | |
398 | 727 | offered to all participants, or | |
399 | - | ||
400 | 728 | c. at a sports or entertainment event tha t the | |
401 | 729 | representatives of a brewer, beer distributor, small | |
402 | 730 | brewer self-distributor or brewpub self-distributor | |
403 | 731 | attend with the retailer; | |
404 | - | ENR. H. B. NO. 2843 Page 10 | |
732 | + | ||
733 | + | SENATE FLOOR VERSION - HB2843 SFLR Page 15 | |
734 | + | (Bold face denotes Committee Amendments) 1 | |
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758 | + | ||
405 | 759 | 3. Participate in ret ailer association activities by engaging | |
406 | 760 | in the following actions: | |
407 | - | ||
408 | 761 | a. displaying products at a co nvention or trade show, | |
409 | - | ||
410 | 762 | b. renting display booth spa ce if the rental fee is the | |
411 | 763 | same as paid by all exhibitors at the event, | |
412 | - | ||
413 | 764 | c. providing its own hospitality w hich is independent | |
414 | 765 | from association-sponsored activities, | |
415 | - | ||
416 | 766 | d. purchasing tickets to functions and paying | |
417 | 767 | registration fees if the payments or fees ar e the same | |
418 | 768 | as paid by all attendees, participants or exhibitors | |
419 | 769 | at the event, or | |
420 | - | ||
421 | 770 | e. making payments for adv ertisements in programs or | |
422 | 771 | brochures issued by retailer associatio ns at a | |
423 | 772 | convention or trade sho w; or | |
424 | - | ||
425 | 773 | 4. Giving or selling outdoor signs to a retai ler so long as the | |
426 | 774 | following requirements of 27 C.F.R., Section 6.102 are satisfied: | |
427 | - | ||
428 | 775 | a. the sign bears conspicuous and substantial advertising | |
429 | 776 | matter about the product or th e brewer, beer | |
430 | 777 | distributor, small brewer self-distributor or brewpub | |
431 | 778 | self-distributor which is permanently inscribed or | |
432 | 779 | securely affixed, | |
433 | - | ||
434 | 780 | b. the retailer is not compensated, directly or | |
435 | 781 | indirectly, such as through a sign company, for | |
436 | 782 | displaying the signs, and | |
437 | 783 | ||
784 | + | SENATE FLOOR VERSION - HB2843 SFLR Page 16 | |
785 | + | (Bold face denotes Committee Amendments) 1 | |
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438 | 810 | c. a permanent outdoor sign does not contain the | |
439 | 811 | retailer's name. | |
440 | - | ||
441 | 812 | G. It shall not be deemed an inducement or a discriminatory | |
442 | 813 | action for a brewer, beer distributor, small brewer self- | |
443 | 814 | distributor, brewpub self-distributor, or a wine and spirits | |
444 | 815 | wholesaler to establish individualized servicing and delivery | |
445 | 816 | schedules for its retailers based on each retailer's actual needs, | |
446 | 817 | including, without limitation, on the basis of the retailer's sales | |
447 | 818 | volume. | |
448 | - | ENR. H. B. NO. 2843 Page 11 | |
449 | 819 | SECTION 4. AMENDATORY 37A O. S. 2021, Section 5-132, is | |
450 | 820 | amended to read as follows: | |
451 | - | ||
452 | 821 | Section 5-132. A. Except as provided in subsection D of this | |
453 | 822 | section, no alcoholic beverage shall be labeled, offered or | |
454 | 823 | advertised for sale in this state unless in accordanc e with rules | |
455 | 824 | promulgated pursuant to the provisions of Sectio n 5-130 of this | |
456 | 825 | title and unless the brand label shall have been registered with and | |
457 | 826 | approved by the ABLE Commission and the appropriate fee paid as | |
458 | 827 | provided for in this section. | |
459 | - | ||
460 | 828 | B. An application for registration of a bran d label shall be | |
461 | 829 | filed by and fees paid by the manufacturer or brewer, winemaker, | |
462 | 830 | distiller or nonresident seller of the brand if the manufacturer or | |
463 | 831 | brewer is licensed by the ABLE Commissi on; however, if the brewer or | |
464 | 832 | manufacturer is represented by a manu facturer's agent, licensed | |
465 | 833 | nonresident seller, win e and spirits wholesaler or beer distributor, | |
834 | + | ||
835 | + | SENATE FLOOR VERSION - HB2843 SFLR Page 17 | |
836 | + | (Bold face denotes Committee Amendments) 1 | |
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466 | 861 | then the manufacturer's agent, nonresident seller, wine and spirits | |
467 | 862 | wholesaler or beer distri butor may submit each label for each | |
468 | 863 | product the manufacturer or br ewer offers for sale in this state, | |
469 | 864 | along with payment of the brand registration fee, on behalf of the | |
470 | 865 | manufacturer or brewer; provided, the manufacturer or brewer must | |
471 | 866 | fully reimburse the manufacturer's agent, licensed nonresident | |
472 | 867 | seller, wine and spirits wholesaler or beer distributor for the cost | |
473 | 868 | of the brand registration fee within forty-five (45) days of the | |
474 | 869 | time the original brand registration fee is paid. Licensees, other | |
475 | 870 | than the foregoing applicants, shall not be required to verify | |
476 | 871 | registration to the ABLE Commission and shall not be penalized fo r | |
477 | 872 | any applicant's failure to register its brand label in accordance | |
478 | 873 | with this section. Cordials and wines which differ only as to age | |
479 | 874 | or vintage year, as defined by such rules, shall be considered the | |
480 | 875 | same brand, and those that differ as to type or class may be | |
481 | 876 | considered the same brand by the ABLE Commission where consis tent | |
482 | 877 | with the purposes of this section. | |
483 | - | ||
484 | 878 | C. The application for registra tion of a brand label shall be | |
485 | 879 | filed on a form prescribed by the ABLE Commission, and shall contain | |
486 | 880 | such information as the ABLE Commission shall require. Such | |
487 | 881 | application shall be ac companied by a certified check, bank | |
488 | 882 | officers' check or draft or money o rder in the amount of the annual | |
489 | 883 | registration fee, or the properly prorated portion thereof | |
490 | 884 | prescribed by this secti on. | |
491 | 885 | ||
886 | + | SENATE FLOOR VERSION - HB2843 SFLR Page 18 | |
887 | + | (Bold face denotes Committee Amendments) 1 | |
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911 | + | ||
492 | 912 | D. 1. The annual fee for registration of any brand label for | |
493 | - | spirits shall be Three Hundred Seventy-five Dollars ($375.00). The | |
913 | + | spirits shall be Three Hundred Seventy-five Dollars ($375.00). The | |
494 | 914 | annual fee for registration of any brand label for beer shall b e Two | |
495 | 915 | Hundred Dollars ($200.00). The annual fee for regis tration of any | |
496 | 916 | brand label for wine made in the United States, or fo r registration | |
497 | 917 | of any category of imported wine as defined by the Tax Co mmission, | |
498 | 918 | shall be Two Hundred Dollars ($200.00). Beer ma nufactured in this | |
499 | 919 | state shall be exempt from brand label registration fees. | |
500 | - | ||
501 | 920 | 2. Each brand label registered and approved purs uant to this | |
502 | 921 | section shall be valid for a term of up to one (1) year, ex piring on | |
503 | 922 | the June 30 next following registration, and may be renewed for | |
504 | 923 | subsequent terms of one (1) year beginning on the July 1 following | |
505 | 924 | the initial registration. Brand registrati on fees for labels | |
506 | 925 | registered after July 1 may be prorated through the f ollowing June | |
507 | 926 | 30 on a quarterly basis. The brand registra tion fee shall not be | |
508 | 927 | transferable, unless otherwise allow ed by law. A nonresident seller | |
509 | 928 | who registered brands prior to May 7, 2019, may transfer brand | |
510 | 929 | registrations to the brewer or manufacturer that produces those | |
511 | 930 | brands, provided the brewer or manufac turer has obtained a license, | |
512 | 931 | at no expense to the nonresi dent seller, brewer or manufacturer. | |
513 | - | ||
514 | 932 | E. If the ABLE Commission shal l deny the application for | |
515 | 933 | registration of a brand label, it shall retur n the registration fee | |
516 | 934 | to the applicant, less twenty -five percent (25%) of such fee. | |
935 | + | ||
936 | + | SENATE FLOOR VERSION - HB2843 SFLR Page 19 | |
937 | + | (Bold face denotes Committee Amendments) 1 | |
938 | + | 2 | |
939 | + | 3 | |
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517 | 961 | ||
518 | 962 | F. The ABLE Commission may at any time exempt any discontinued | |
519 | 963 | brand from fee provisions of this s ection where a manufacturer, | |
520 | 964 | brewer, beer distributor or wholesaler has an inventory of one | |
521 | 965 | hundred cases or less of liquor or win e and five hundred cases or | |
522 | 966 | less of beer, and certifies to the ABLE Commission in writing that | |
523 | 967 | such brand is being discontinue d. | |
524 | - | ||
525 | 968 | G. No private labels or control labels shall be approved for | |
526 | 969 | sale in this state;, except for charity collaboration beer as | |
527 | 970 | authorized in Section 3 2-102.1 of this act title. | |
528 | - | ||
529 | 971 | SECTION 5. It being immediately necessary for the preservation | |
530 | 972 | of the public peace, health or safety, an emergency is hereby | |
531 | 973 | declared to exist, by reason whereof this act shall take effect and | |
532 | 974 | be in full force from and after its passage an d approval. | |
533 | - | ENR. H. B. NO. 2843 Page 13 | |
534 | - | Passed the House of Representati ves the 21st day of March, 2023. | |
535 | - | ||
536 | - | ||
537 | - | ||
538 | - | ||
539 | - | Presiding Officer of the House | |
540 | - | of Representatives | |
541 | - | ||
542 | - | ||
543 | - | Passed the Senate the 19th day of April, 2023. | |
544 | - | ||
545 | - | ||
546 | - | ||
547 | - | ||
548 | - | Presiding Officer of the Senate | |
549 | - | ||
550 | - | ||
551 | - | OFFICE OF THE GOVERNOR | |
552 | - | Received by the Office of the Governor this _________ ___________ | |
553 | - | day of ___________________, 20_______, at _______ o'clock _______ M. | |
554 | - | By: _________________________________ | |
555 | - | Approved by the Governor of the State of Oklahoma this _____ ____ | |
556 | - | day of ___________________, 20_______, at _______ o'clock _______ M. | |
557 | - | ||
558 | - | ||
559 | - | _________________________________ | |
560 | - | Governor of the State of Oklahoma | |
561 | - | ||
562 | - | OFFICE OF THE SECRETARY OF STATE | |
563 | - | Received by the Office of the Secretary of State this __________ | |
564 | - | day of ___________________, 20_______, at _______ o'clock _______ M. | |
565 | - | By: _________________________________ | |
975 | + | COMMITTEE REPORT BY: COMMITTEE ON BUSINESS AND COMMERCE | |
976 | + | April 3, 2023 - DO PASS |