Texas 2019 86th Regular

Texas House Bill HB3222 Enrolled / Bill

Filed 05/26/2019

                    H.B. No. 3222


 AN ACT
 relating to the creation of a nonresident brewer's or nonresident
 manufacturer's agent's permit; 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 57 to read as follows:
 CHAPTER 57. NONRESIDENT BREWER'S OR NONRESIDENT MANUFACTURER'S
 AGENT'S PERMIT
 Sec. 57.001.  AUTHORIZED ACTIVITIES. The holder of a
 nonresident brewer's or nonresident manufacturer's agent's permit
 may:
 (1)  represent one or more:
 (A)  nonresident brewers; and
 (B)  nonresident manufacturers; and
 (2)  on behalf of a nonresident brewer or nonresident
 manufacturer whom the permit holder represents:
 (A)  perform any activity the nonresident brewer
 or nonresident manufacturer whom the permit holder represents could
 perform in this state; and
 (B)  apply for a permit, license, or other
 authorization required by the commission.
 Sec. 57.002.  FEE. The annual state fee for a nonresident
 brewer's or nonresident manufacturer's agent's permit is $2,500.
 Sec. 57.003.  ELIGIBILITY. A nonresident brewer's or
 nonresident manufacturer's agent's permit may be issued only to a
 person who holds a nonresident seller's permit under Chapter 37.
 Sec. 57.004.  RESTRICTION AS TO REPRESENTATION. (a) A
 holder of a nonresident brewer's or nonresident manufacturer's
 agent's permit may not represent a nonresident brewer or a
 nonresident manufacturer unless the permit holder is the primary
 American source of supply for a product produced by the nonresident
 brewer or nonresident manufacturer.
 (b)  In this section, "primary American source of supply"
 means the nonresident brewer or nonresident manufacturer or the
 exclusive agent of the nonresident brewer or nonresident
 manufacturer. To be the "primary American source of supply" the
 nonresident brewer's or nonresident manufacturer's agent must be
 the first source, that is, the brewer or manufacturer or the source
 closest to the brewer or manufacturer, in the channel of commerce
 from whom the product can be secured by Texas wholesalers and
 distributors.
 Sec. 57.005.  AUTHORIZATION BY NONRESIDENT BREWER OR
 NONRESIDENT MANUFACTURER REQUIRED. A nonresident brewer's or
 nonresident manufacturer's agent's permit may not be issued to a
 person unless the person shows to the satisfaction of the
 commission that the person has been authorized to act as the agent
 of a nonresident brewer or nonresident manufacturer the person
 proposes to represent.
 Sec. 57.006.  TERRITORIAL AGREEMENT NOT AFFECTED. Nothing
 in this chapter affects a territorial agreement entered into under
 Subchapter C, Chapter 102.
 Sec. 57.007.  RESPONSIBILITY FOR AGENT'S ACTIONS. A
 nonresident brewer or nonresident manufacturer is responsible for
 any action taken by a nonresident brewer's or nonresident
 manufacturer's agent in the course of the agent's representation of
 the nonresident brewer or nonresident manufacturer under this
 chapter to the same extent and in the same manner as if the action
 had been taken by the nonresident brewer or nonresident
 manufacturer.
 SECTION 2.  (a) Subtitle A, Title 3, Alcoholic Beverage
 Code, is amended by adding Chapter 57 to read as follows:
 CHAPTER 57. NONRESIDENT BREWER'S OR NONRESIDENT MANUFACTURER'S
 AGENT
 Sec. 57.001.  AUTHORIZED ACTIVITIES. A nonresident brewer's
 or nonresident manufacturer's agent may:
 (1)  represent one or more:
 (A)  nonresident brewers; and
 (B)  nonresident manufacturers; and
 (2)  on behalf of a nonresident brewer or nonresident
 manufacturer whom the agent represents:
 (A)  perform any activity the nonresident brewer
 or nonresident manufacturer whom the agent represents could perform
 in this state; and
 (B)  apply for a permit, license, or other
 authorization required by the commission.
 Sec. 57.002.  RESTRICTION AS TO REPRESENTATION. (a) A
 nonresident brewer's or nonresident manufacturer's agent may not
 represent a nonresident brewer or a nonresident manufacturer unless
 the agent is the primary American source of supply for a product
 produced by the nonresident brewer or nonresident manufacturer.
 (b)  In this section, "primary American source of supply"
 means the nonresident brewer or nonresident manufacturer or the
 exclusive agent of the nonresident brewer or nonresident
 manufacturer. To be the "primary American source of supply" the
 nonresident brewer's or nonresident manufacturer's agent must be
 the first source, that is, the brewer or manufacturer or the source
 closest to the brewer or manufacturer, in the channel of commerce
 from whom the product can be secured by Texas wholesalers and
 distributors.
 Sec. 57.003.  AUTHORIZATION BY NONRESIDENT BREWER OR
 NONRESIDENT MANUFACTURER REQUIRED. A nonresident brewer's or
 nonresident manufacturer's agent must be authorized to act as the
 agent of a nonresident brewer or nonresident manufacturer the
 person proposes to represent.
 Sec. 57.004.  TERRITORIAL AGREEMENT NOT AFFECTED. Nothing
 in this chapter affects a territorial agreement entered into under
 Subchapter C, Chapter 102.
 Sec. 57.005.  RESPONSIBILITY FOR AGENT'S ACTIONS. A
 nonresident brewer or nonresident manufacturer is responsible for
 any action taken by a nonresident brewer's or nonresident
 manufacturer's agent in the course of the agent's representation of
 the nonresident brewer or nonresident manufacturer under this
 chapter to the same extent and in the same manner as if the action
 had been taken by the nonresident brewer or nonresident
 manufacturer.
 (b)  Effective September 1, 2021, Subtitle A, Title 3,
 Alcoholic Beverage Code, is amended by adding Chapter 57 to read as
 follows:
 CHAPTER 57. NONRESIDENT BREWER'S AGENT
 Sec. 57.001.  AUTHORIZED ACTIVITIES. A nonresident brewer's
 agent may:
 (1)  represent one or more nonresident brewers; and
 (2)  on behalf of a nonresident brewer whom the agent
 represents:
 (A)  perform any activity the nonresident brewer
 whom the agent represents could perform in this state; and
 (B)  apply for a permit, license, or other
 authorization required by the commission.
 Sec. 57.002.  RESTRICTION AS TO REPRESENTATION. (a) A
 nonresident brewer's agent may not represent a nonresident brewer
 unless the agent is the primary American source of supply for a
 product produced by the nonresident brewer.
 (b)  In this section, "primary American source of supply"
 means the nonresident brewer or the exclusive agent of the
 nonresident brewer. To be the "primary American source of supply"
 the nonresident brewer's agent must be the first source, that is,
 the brewer or the source closest to the brewer, in the channel of
 commerce from whom the product can be secured by Texas
 distributors.
 Sec. 57.003.  AUTHORIZATION BY NONRESIDENT BREWER REQUIRED.
 A nonresident brewer's agent must be authorized to act as the agent
 of a nonresident brewer the person proposes to represent.
 Sec. 57.004.  TERRITORIAL AGREEMENT NOT AFFECTED. Nothing
 in this chapter affects a territorial agreement entered into under
 Subchapter C, Chapter 102.
 Sec. 57.005.  RESPONSIBILITY FOR AGENT'S ACTIONS. A
 nonresident brewer is responsible for any action taken by a
 nonresident brewer's agent in the course of the agent's
 representation of the nonresident brewer under this chapter to the
 same extent and in the same manner as if the action had been taken by
 the nonresident brewer.
 SECTION 3.  (a) Except as otherwise provided by this Act,
 this Act takes effect September 1, 2019.
 (b)  Section 1 of this Act takes effect only if H.B. 1545 or
 S.B. 623, Acts of the 86th Legislature, Regular Session, 2019, or
 similar legislation of the 86th Legislature, Regular Session, 2019,
 relating to the continuation and functions of the Texas Alcoholic
 Beverage Commission is not enacted or does not become law. If H.B.
 1545 or S.B. 623, Acts of the 86th Legislature, Regular Session,
 2019, or similar legislation of the 86th Legislature, Regular
 Session, 2019, relating to the continuation and functions of the
 Texas Alcoholic Beverage Commission is enacted and becomes law,
 Section 1 of this Act has no effect.
 (c)  Section 2 of this Act takes effect only if H.B. 1545 or
 S.B. 623, Acts of the 86th Legislature, Regular Session, 2019, or
 similar legislation of the 86th Legislature, Regular Session, 2019,
 relating to the continuation and functions of the Texas Alcoholic
 Beverage Commission is enacted and becomes law. If H.B. 1545 or
 S.B. 623, Acts of the 86th Legislature, Regular Session, 2019, or
 similar legislation of the 86th Legislature, Regular Session, 2019,
 relating to the continuation and functions of the Texas Alcoholic
 Beverage Commission is not enacted or does not become law, Section 2
 of this Act has no effect.
 ______________________________ ______________________________
 President of the Senate Speaker of the House
 I certify that H.B. No. 3222 was passed by the House on May
 10, 2019, by the following vote:  Yeas 128, Nays 13, 2 present, not
 voting; and that the House concurred in Senate amendments to H.B.
 No. 3222 on May 24, 2019, by the following vote:  Yeas 138, Nays 2,
 2 present, not voting.
 ______________________________
 Chief Clerk of the House
 I certify that H.B. No. 3222 was passed by the Senate, with
 amendments, on May 22, 2019, by the following vote:  Yeas 31, Nays
 0.
 ______________________________
 Secretary of the Senate
 APPROVED: __________________
 Date
 __________________
 Governor