1 | 1 | | By: Whitmire S.B. No. 1974 |
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2 | 2 | | |
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3 | 3 | | |
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4 | 4 | | A BILL TO BE ENTITLED |
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5 | 5 | | AN ACT |
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6 | 6 | | relating to certain alcoholic beverage auction and raffle permits. |
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7 | 7 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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8 | 8 | | SECTION 1. Chapter 53, Alcoholic Beverage Code, is amended to read |
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9 | 9 | | as follows: |
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10 | 10 | | Chapter 53. Temporary Charitable Auction and Raffle Permit. |
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11 | 11 | | Sec. 53.001. AUTHORIZED ACTIVITIES. The holder of a temporary |
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12 | 12 | | charitable auction and raffle permit may auction or raffle |
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13 | 13 | | alcoholic beverages for consumption off premises to raise money to |
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14 | 14 | | support charitable works of the permit holder. |
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15 | 15 | | Sec. 53.002. FEE. (a) The state fee for a temporary |
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16 | 16 | | charitable auction and raffle permit is $25. |
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17 | 17 | | (b) A local fee may not be charged for the application for |
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18 | 18 | | the issuance of a temporary charitable auction and raffle permit. |
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19 | 19 | | (c) The commission may not impose a surcharge for a |
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20 | 20 | | temporary charitable auction and raffle permit. |
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21 | 21 | | Sec. 53.003. DURATION OF PERMIT. A temporary charitable |
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22 | 22 | | auction and raffle permit may be issued for a period of not more |
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23 | 23 | | than five days. |
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24 | 24 | | Sec. 53.004. PERMIT. The commission may issue a temporary |
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25 | 25 | | charitable auction and raffle permit only to an organization that |
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26 | 26 | | is exempt from taxation under Section 501(a), Internal Revenue Code |
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27 | 27 | | of 1986 (26 U.S.C. Section 501(a)) by being listed under Section |
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28 | 28 | | 501(c)(3), Internal Revenue Code of 1986 (26 U.S.C. Section |
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29 | 29 | | 501(c)(3)). |
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30 | 30 | | Sec. 53.005. AUCTION OR RAFFLE LOCATION. (a) The holder of a |
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31 | 31 | | temporary charitable auction and raffle permit may conduct an |
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32 | 32 | | auction or raffle in any area where the sale of the type of |
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33 | 33 | | alcoholic beverage to be auctioned or raffled is authorized by a |
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34 | 34 | | local option election. |
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35 | 35 | | (b) The holder of a temporary charitable auction and raffle |
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36 | 36 | | permit may conduct an auction or raffle at a premises of another |
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37 | 37 | | permit or license holder if: |
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38 | 38 | | (1) the alcoholic beverages to be auctioned or raffled |
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39 | 39 | | are kept separate from the alcoholic beverages sold, stored, or |
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40 | 40 | | served at the premises; and |
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41 | 41 | | (2) the alcoholic beverages subject to the auction or |
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42 | 42 | | raffle, whether or not sold or awarded [unsold] at the auction or |
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43 | 43 | | raffle, are removed from the premises immediately following the |
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44 | 44 | | auction. |
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45 | 45 | | Sec. 53.006. AUCTION OR RAFFLE NOTICE. Before an auction or |
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46 | 46 | | raffle is held, the holder of a temporary charitable auction and |
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47 | 47 | | raffle permit shall provide to the branch office of the commission |
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48 | 48 | | located closest to the auction site written notice of: |
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49 | 49 | | (1) the date, time, and place of the auction or raffle; |
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50 | 50 | | and |
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51 | 51 | | (2) the inventory of the alcoholic beverages to be |
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52 | 52 | | auctioned or raffled. |
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53 | 53 | | Sec. 53.007. DISPOSITION OF PROCEEDS. The proceeds from an |
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54 | 54 | | auction or raffle authorized by this chapter shall be deposited to |
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55 | 55 | | the account of the holder of a temporary charitable auction and |
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56 | 56 | | raffle permit. |
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57 | 57 | | Sec. 53.008. PROHIBITED ACTIVITIES. The holder of a temporary |
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58 | 58 | | charitable auction and raffle permit may not: |
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59 | 59 | | (1) auction or raffle distilled spirits, wine, ale, or |
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60 | 60 | | malt liquor that has not been donated to the organization; |
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61 | 61 | | (2) auction or raffle alcoholic beverages if any taxes |
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62 | 62 | | are owed on the beverages; |
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63 | 63 | | (3) conduct more than one auction or raffle during |
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64 | 64 | | each calendar year; or [and] |
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65 | 65 | | (4) pay a commission or promotional allowance to a |
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66 | 66 | | person to: |
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67 | 67 | | (A) arrange or conduct an auction or raffle under |
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68 | 68 | | this chapter; or |
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69 | 69 | | (B) arrange the donation of alcoholic beverages |
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70 | 70 | | to be auctioned or raffled by the organization. |
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71 | 71 | | Sec. 53.009. RULES. (a) The commission may [shall] adopt |
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72 | 72 | | rules governing the issuance and use of a temporary charitable |
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73 | 73 | | auction or raffle permit. |
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74 | 74 | | (b) The commission shall adopt rules establishing penalties |
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75 | 75 | | for the violation of rules adopted under this chapter. A penalty |
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76 | 76 | | established by the commission under this subsection may not exceed |
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77 | 77 | | a penalty that the commission may impose on the holder of another |
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78 | 78 | | temporary license or permit. |
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79 | 79 | | SECTION 2. Title 3, Alcoholic Beverage Code, is amended by |
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80 | 80 | | adding a new Chapter 56 to read as follows: |
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81 | 81 | | Chapter 56. CAMPAIGN FUNDRAISING AUCTION AND RAFFLE PERMIT |
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82 | 82 | | Sec. 56.001. AUTHORIZED ACTIVITIES. The holder of a |
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83 | 83 | | campaign fundraising auction and raffle permit may auction or |
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84 | 84 | | raffle alcoholic beverages for consumption off premises to raise |
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85 | 85 | | money to support campaign fundraising by the permit holder. |
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86 | 86 | | Sec. 56.002. FEE. The annual state fee for a campaign |
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87 | 87 | | fundraising auction and raffle permit is $500. |
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88 | 88 | | Sec. 56.003. ISSUANCE OF PERMIT. A campaign fundraising |
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89 | 89 | | auction and raffle permit may only be issued to a person or |
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90 | 90 | | organization that is subject to reporting requirements under |
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91 | 91 | | Chapter 251, Election Code or Chapter 254, Election Code. |
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92 | 92 | | Sec. 56.004. AUCTION OR RAFFLE LOCATION. (a) The holder |
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93 | 93 | | of a campaign fundraising auction and raffle permit may conduct an |
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94 | 94 | | auction or raffle in any area where the sale of the type of |
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95 | 95 | | alcoholic beverage to be auctioned or raffled is authorized by a |
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96 | 96 | | local option election. |
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97 | 97 | | (b) The holder of a campaign fundraising auction and raffle |
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98 | 98 | | permit may conduct an auction or raffle at the premises of another |
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99 | 99 | | permit or license holder if: |
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100 | 100 | | (1) the alcoholic beverages to be auctioned or raffled |
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101 | 101 | | are kept separate from the alcoholic beverages sold, stored, or |
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102 | 102 | | served at the premises; and |
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103 | 103 | | (2) the alcoholic beverages subject to the auction or |
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104 | 104 | | raffle, whether or not sold or awarded at the auction or raffle, are |
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105 | 105 | | removed from the premises immediately following the auction or |
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106 | 106 | | raffle. |
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107 | 107 | | Sec. 56.005. AUCTION OR RAFFLE NOTICE. Before an auction or |
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108 | 108 | | raffle is held, the holder of a campaign fundraising auction and |
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109 | 109 | | raffle permit shall provide to the branch office of the commission |
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110 | 110 | | located closest to the auction or raffle site written notice of: |
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111 | 111 | | (1) the date, time, and place of the auction or raffle; and |
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112 | 112 | | (2) the inventory of the alcoholic beverages to be auctioned |
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113 | 113 | | or raffled. |
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114 | 114 | | Sec. 56.006. DISPOSITION OF PROCEEDS. The proceeds from an |
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115 | 115 | | auction or raffle authorized by this chapter shall be deposited to |
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116 | 116 | | the account of the holder of a campaign fundraising auction and |
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117 | 117 | | raffle permit. |
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118 | 118 | | Sec. 56.007. PROHIBITED ACTIVITIES. The holder of a |
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119 | 119 | | campaign fundraising auction and raffle permit may not: |
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120 | 120 | | (1) auction or raffle distilled spirits, wine, ale, or malt |
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121 | 121 | | liquor that has not been donated to the entity; |
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122 | 122 | | (2) auction or raffle alcoholic beverages if any taxes are |
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123 | 123 | | owed on the beverages; or |
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124 | 124 | | (3) pay a commission or promotional allowance to a person |
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125 | 125 | | to: |
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126 | 126 | | (A) arrange or conduct an auction or raffle under this |
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127 | 127 | | chapter; or |
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128 | 128 | | (B) arrange the donation of alcoholic beverages to be |
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129 | 129 | | auctioned or raffled by the organization. |
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130 | 130 | | Sec. 56.008. APPLICATION OF PROVISIONS GENERALLY |
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131 | 131 | | APPLICABLE TO PERMITS. The campaign fundraising auction and raffle |
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132 | 132 | | permit is subject to the provisions generally applicable to permits |
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133 | 133 | | in Chapter 11 of this code. |
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134 | 134 | | Sec. 56.009. RULES. The commission may adopt rules |
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135 | 135 | | necessary to implement this chapter. |
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136 | 136 | | SECTION 3. This Act takes effect immediately if it receives |
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137 | 137 | | a vote of two-thirds of all the members elected to each house, as |
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138 | 138 | | provided by Section 39, Article III, Texas Constitution. If this |
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139 | 139 | | Act does not receive the vote necessary for immediate effect, this |
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140 | 140 | | Act takes effect September 1, 2017. |
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