| 1 | 1 | | 85R7154 JAM-F |
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| 2 | 2 | | By: Isaac H.B. No. 1429 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to the authority of certain holders of a wine and beer |
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| 8 | 8 | | retailer's permit to manufacture and sell wine and engage in |
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| 9 | 9 | | certain related activities. |
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| 10 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 11 | 11 | | SECTION 1. The legislature finds that: |
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| 12 | 12 | | (1) the state is authorized under the Twenty-first |
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| 13 | 13 | | Amendment of the United States Constitution to promote the public's |
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| 14 | 14 | | interest in the fair, efficient, and competitive marketing of wine |
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| 15 | 15 | | in this state; |
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| 16 | 16 | | (2) the Texas wine industry operates within the |
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| 17 | 17 | | traditional three-tier system of alcoholic beverage regulation |
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| 18 | 18 | | that has been recognized as unquestionably legitimate by the United |
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| 19 | 19 | | States Supreme Court in Granholm v. Heald, 544 U.S. 460 (2005); |
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| 20 | 20 | | (3) within the state statutes that are the basis of the |
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| 21 | 21 | | three-tier system there are occasional exceptions, some of which |
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| 22 | 22 | | have been in place for years, that do not undermine or compromise |
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| 23 | 23 | | the three-tier system of alcoholic beverage regulation or threaten |
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| 24 | 24 | | the welfare, health, peace, temperance, or safety of the people of |
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| 25 | 25 | | Texas; |
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| 26 | 26 | | (4) the Texas wine industry is a growing segment of the |
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| 27 | 27 | | Texas economy, expanding opportunities for grape growers, wine |
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| 28 | 28 | | makers, wine wholesalers, and wine retailers, while generating more |
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| 29 | 29 | | excise tax and sales tax revenue every year; and |
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| 30 | 30 | | (5) it is in the state's interest to encourage |
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| 31 | 31 | | entrepreneurial and small business development opportunities in |
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| 32 | 32 | | the state that will lead to new capital investment in the state, |
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| 33 | 33 | | create new jobs in the state, and expand the state and local tax |
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| 34 | 34 | | base. |
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| 35 | 35 | | SECTION 2. Chapter 25, Alcoholic Beverage Code, is amended |
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| 36 | 36 | | by adding Section 25.15 to read as follows: |
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| 37 | 37 | | Sec. 25.15. MANUFACTURE AND SALE OF WINE BY CERTAIN PERMIT |
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| 38 | 38 | | HOLDERS. (a) This section applies only to the holder of a wine and |
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| 39 | 39 | | beer retailer's permit whose premises is located in the territory |
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| 40 | 40 | | described by Section 3858.005, Special District Local Laws Code. |
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| 41 | 41 | | (b) Notwithstanding any other law, a holder of a permit |
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| 42 | 42 | | under this chapter may engage in any activity authorized under |
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| 43 | 43 | | Chapter 16 except that the permit holder may not: |
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| 44 | 44 | | (1) ship wine under Section 16.09 unless the wine is: |
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| 45 | 45 | | (A) bottled by the permit holder; and |
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| 46 | 46 | | (B) produced from grapes or other fruit grown in |
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| 47 | 47 | | this state; or |
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| 48 | 48 | | (2) sell wine to the holder of a winery permit or the |
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| 49 | 49 | | holder of any permit authorizing the retail sale of wine. |
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| 50 | 50 | | (c) The holder of a permit who engages in the activities |
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| 51 | 51 | | authorized under this section shall be considered a "retailer" for |
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| 52 | 52 | | purposes of Section 102.01. |
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| 53 | 53 | | SECTION 3. This Act takes effect September 1, 2017. |
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