By: Menendez H.B. No. 58
A BILL TO BE ENTITLED
AN ACT
relating to the consumption of alcoholic beverages on certain
premises; providing a penalty and authorizing a fee.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle A, Title 3, Alcoholic Beverage Code, is
amended by adding Chapter 56 to read as follows:
CHAPTER 56. PUBLIC CONSUMPTION PERMIT
Sec. 56.01. AUTHORIZED ACTIVITIES. The holder of a public
consumption permit may allow a person to:
(1) consume alcoholic beverages on the permitted
premises; and
(2) bring alcoholic beverages onto or possess
alcoholic beverages on the permitted premises for the purpose of
consumption by the person on the permitted premises.
Sec. 56.02. PUBLIC CONSUMPTION PERMIT REQUIRED. A person
is required to obtain a permit under this chapter if the person:
(1) operates a commercial establishment:
(A) described by Section 243.002, Local
Government Code, other than an establishment exempt from regulation
under Chapter 243, Local Government Code; or
(B) that requires payment, dues, or a mandatory
purchase of any kind or amount to be admitted on the premises;
(2) allows persons to:
(A) consume alcoholic beverages on the
establishment's premises; or
(B) bring alcoholic beverages onto or possess
alcoholic beverages on the establishment's premises for the purpose
of consumption on the establishment's premises;
(3) is not covered by or required to be covered by a
license or permit under this code authorizing the sale or service of
alcoholic beverages; and
(4) operates during hours when the public consumption
of alcoholic beverages is prohibited under Section 105.06.
Sec. 56.03. FEE. The annual state fee for a public
consumption permit is $3,000.
Sec. 56.04. ISSUANCE OF PERMIT. A public consumption
permit is issued by the commission or administrator. The
qualifications of an applicant and the application for and issuance
of the permit are governed by the same provisions that apply to the
application for and issuance of a mixed beverage permit.
Sec. 56.05. REFUSAL OF PERMIT. (a) In this section,
"applicant" includes each member of a partnership or association
and, with respect to a corporation, each officer and the owner or
owners of a majority of the corporate stock.
(b) The commission or administrator may refuse to issue an
original or renewal public consumption permit with or without a
hearing if the commission or administrator has reasonable grounds
to believe and finds that any of the following circumstances
exists:
(1) the applicant has been convicted of the violation
of any provision of this code during the two years immediately
preceding the filing of the application;
(2) five years have not elapsed since the termination,
by pardon or otherwise, of a sentence imposed on the applicant for
the conviction of a felony;
(3) within the six-month period immediately preceding
the filing of the application the applicant violated or caused to be
violated a provision of this code or a rule or regulation of the
commission that involves moral turpitude, as distinguished from a
technical violation of this code or of the rule;
(4) the applicant failed to answer or falsely or
incorrectly answered a question in an original or renewal
application;
(5) the applicant is indebted to the state for any
taxes, fees, or payment of a penalty imposed by this code or by a
rule of the commission;
(6) the applicant is not of good moral character or the
applicant's reputation for being a peaceable, law-abiding citizen
in the community where the applicant resides is bad;
(7) the applicant is a minor;
(8) the place or manner in which the applicant may
conduct the applicant's business warrants the refusal of a permit
based on the general welfare, health, peace, morals, and safety of
the people and on the public sense of decency;
(9) the applicant is in the habit of using alcoholic
beverages to excess or is physically or mentally incapacitated;
(10) the applicant is not a United States citizen;
(11) the applicant does not provide an adequate
building available at the address for which the permit is sought
before conducting any activity authorized by the permit;
(12) the applicant is residentially domiciled with a
person whose permit or license has been canceled for cause within
the 12 months immediately preceding the date of the applicant's
present application;
(13) the applicant has failed or refused to furnish a
true copy of the applicant's application to the commission's
district office in the district in which the premises for which the
permit is sought are located;
(14) during the six months immediately preceding the
filing of the application the premises for which the permit is
sought have been operated, used, or frequented for a purpose or in a
manner that is lewd, immoral, or offensive to public decency;
(15) the applicant does not hold a sales tax permit, if
required, for the place of business for which the public
consumption permit is sought; or
(16) the applicant has had a license or permit
canceled during the preceding 12 months as a result of a shooting,
stabbing, or other violent act, or as a result of an offense
involving drugs, prostitution, or trafficking of persons.
Sec. 56.06. CANCELLATION AND SUSPENSION OF PERMIT. (a) In
this section, "permittee" includes each member of a partnership or
association and, with respect to a corporation, each officer and
the owner or owners of a majority of the corporate stock.
(b) The commission or administrator may suspend for not more
than 60 days or cancel an original or renewal public consumption
permit if it is found, after notice and hearing, that any of the
following is true:
(1) the permittee has been finally convicted of a
violation of this code;
(2) the permittee violated a provision of this code or
a rule of the commission;
(3) the permittee was finally convicted of a felony
while holding an original or renewal permit;
(4) the permittee made a false and misleading
statement in connection with the permittee's original or renewal
application, either in the formal application itself or in any
other written instrument relating to the application submitted to
the commission or its officers or employees;
(5) the permittee does not hold a sales tax permit, if
required, for the place of business covered by the permit;
(6) the permittee is not of good moral character or the
permittee's reputation for being a peaceable, law-abiding citizen
in the community where the permittee resides is bad;
(7) the place or manner in which the permittee
conducts the permittee's business warrants the cancellation or
suspension of the permit based on the general welfare, health,
peace, morals, and safety of the people and on the public sense of
decency;
(8) the permittee maintains a noisy, lewd, disorderly,
or unsanitary establishment;
(9) the permittee is insolvent or mentally or
physically unable to carry on the management of the permittee's
establishment;
(10) the permittee is in the habit of using alcoholic
beverages to excess;
(11) the permittee was intoxicated on the licensed
premises;
(12) the permittee allowed an intoxicated person to
remain on the premises;
(13) the permittee is residentially domiciled with a
person whose permit or license was canceled for cause within the
12-month period preceding the permittee's own application;
(14) the permittee is not a United States citizen;
(15) the permittee failed to promptly report to the
commission a breach of the peace occurring on the premises; or
(16) the permittee consumed an alcoholic beverage or
permitted one to be consumed on the premises at a time when the
consumption of alcoholic beverages is prohibited by this code.
Sec. 56.07. PERFORMANCE BOND. Notwithstanding Section
204.01 or any other provision of this code, a person applying for a
permit under this chapter must file with the commission a surety
bond, in an amount to be determined by the commission, conditioned
on the permittee's conformance with the alcoholic beverage law.
The bond is forfeited to the commission on the suspension of the
permit for the first time under this chapter. Before the suspended
permit may be reinstated, the permittee must furnish a second
surety bond, similarly conditioned, in an amount greater than the
initial surety bond, the amount to be determined by the commission.
If the same permit is suspended under this chapter a second time,
the bond is again forfeited to the commission. Before the suspended
permit may be reinstated, the permittee shall furnish a third
surety bond, similarly conditioned, in an amount greater than the
second surety bond, the amount to be determined by the commission.
If the same permit is suspended under this chapter a third time, the
bond is again forfeited to the commission and the permit shall be
canceled by the commission.
Sec. 56.08. SUMMARY SUSPENSION. The commission or
administrator without a hearing may for investigative purposes
summarily suspend a permit issued under this chapter for not more
than seven days if the commission or administrator finds that a
shooting, stabbing, or murder has occurred on the premises that is
likely to result in a subsequent act of violence. Notice of the
order suspending the permit shall be given to the permittee
personally within 24 hours of the time the violent act occurs. If
the permittee cannot be located, notice shall be provided by
posting a copy of the order on the front door of the permitted
premises.
Sec. 56.09. WARNING SIGN. The holder of a permit issued
under this chapter shall comply with the requirements of Section
411.204, Government Code.
Sec. 56.10. COMMON NUISANCE. Notwithstanding Section
81.002, Chapter 81 applies to a permit issued under this chapter.
Sec. 56.11. PUBLIC PLACE. A commercial establishment that
is required to hold a permit under this chapter is a public place.
Sec. 56.12. PENALTY. (a) A person who operates a
commercial establishment or that person's agent commits an offense
if:
(1) the person or that person's agent allows a person
to:
(A) consume alcoholic beverages on the
establishment's premises; or
(B) bring alcoholic beverages onto or possess
alcoholic beverages on the establishment's premises for the purpose
of consumption on the establishment's premises;
(2) the establishment is required to be covered by a
public consumption permit under this chapter; and
(3) the establishment is not covered by a public
consumption permit under this chapter.
(b) An offense under this section is a Class A misdemeanor.
SECTION 2. Section 11.042(a), Alcoholic Beverage Code, is
amended to read as follows:
(a) The commission by rule shall require the holder of a
permit authorizing the sale or possession of alcoholic beverages
for on-premises consumption to display a warning sign on the door to
each restroom on the permitted premises that informs the public of
the risks of drinking alcohol during pregnancy.
SECTION 3. Section 104.07(a), Alcoholic Beverage Code, is
amended to read as follows:
(a) The holder of a permit or license under Chapter 25, 26,
28, 32, 56, 69, or 71, other than the holder of a food and beverage
certificate, shall display a sign containing the following notice
in English and in Spanish:
WARNING: Obtaining forced labor or services is a crime under
Texas law. Call the national human trafficking
hotline: 1-888-373-7888. You may remain anonymous.
SECTION 4. Section 411.204, Government Code, is amended by
adding Subsection (a-1) to read as follows:
(a-1) A business that has a permit issued under Chapter 56,
Alcoholic Beverage Code, shall prominently display at each entrance
to the business a sign that complies with the requirements of
Subsection (c) other than the requirement that the sign include on
its face the number "51".
SECTION 5. Section 46.02(c), Penal Code, is amended to read
as follows:
(c) An offense under this section is a felony of the third
degree if the offense is committed on any premises licensed or
issued a permit by this state for the sale or public consumption of
alcoholic beverages.
SECTION 6. Section 46.035(b), Penal Code, is amended to
read as follows:
(b) A license holder commits an offense if the license
holder intentionally, knowingly, or recklessly carries a handgun
under the authority of Subchapter H, Chapter 411, Government Code,
regardless of whether the handgun is concealed, on or about the
license holder's person:
(1) on the premises of a business that has:
(A) a permit or license issued under Chapter 25,
28, 32, 69, or 74, Alcoholic Beverage Code, if the business derives
51 percent or more of its income from the sale or service of
alcoholic beverages for on-premises consumption, as determined by
the Texas Alcoholic Beverage Commission under Section 104.06,
Alcoholic Beverage Code; or
(B) a permit issued under Chapter 56, Alcoholic
Beverage Code;
(2) on the premises where a high school, collegiate,
or professional sporting event or interscholastic event is taking
place, unless the license holder is a participant in the event and a
handgun is used in the event;
(3) on the premises of a correctional facility;
(4) on the premises of a hospital licensed under
Chapter 241, Health and Safety Code, or on the premises of a nursing
home licensed under Chapter 242, Health and Safety Code, unless the
license holder has written authorization of the hospital or nursing
home administration, as appropriate;
(5) in an amusement park; or
(6) on the premises of a church, synagogue, or other
established place of religious worship.
SECTION 7. On or before November 1, 2013, the Texas
Alcoholic Beverage Commission shall adopt all rules necessary to
implement Chapter 56, Alcoholic Beverage Code, as added by this
Act.
SECTION 8. (a) Except as provided by Subsection (b) of this
section, this Act takes effect September 1, 2013.
(b) Section 56.12, Alcoholic Beverage Code, as added by this
Act, takes effect January 1, 2014.