Texas 2019 - 86th Regular

Texas House Bill HB672 Compare Versions

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11 86R4379 BEE-F
22 By: Rodriguez of Travis H.B. No. 672
33
44
55 A BILL TO BE ENTITLED
66 AN ACT
77 relating to the sale of ale and beer by certain brewers and
88 manufacturers to ultimate consumers for consumption off the
99 brewers' or manufacturers' premises.
1010 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1111 SECTION 1. Sections 12.052(a), (c), and (e), Alcoholic
1212 Beverage Code, are amended to read as follows:
1313 (a) In addition to the activities authorized by Section
1414 12.01, the holder of a brewer's permit whose annual production of
1515 ale, together with the annual production of beer by the holder of a
1616 manufacturer's license at all premises wholly or partly owned,
1717 directly or indirectly, by the permit holder or an affiliate or
1818 subsidiary of the permit holder, does not exceed a total of 225,000
1919 barrels may sell ale produced on the brewer's premises under the
2020 permit to ultimate consumers on the brewer's premises for
2121 responsible consumption on the brewer's premises or for
2222 off-premises consumption.
2323 (c) Subject to Subsections (b), (d), and (e), the holder of
2424 a brewer's permit may sell ale produced on the brewer's premises
2525 under the permit to ultimate consumers on the brewer's premises for
2626 responsible consumption on the brewer's premises or for
2727 off-premises consumption even if the annual production limit
2828 prescribed by Subsection (a) is exceeded if:
2929 (1) the permit holder:
3030 (A) was legally operating a manufacturing
3131 facility with on-premise sales under Subsection (a) on February 1,
3232 2017; or
3333 (B) purchased an ownership interest in, or was
3434 purchased by the holder of, a permit or license issued under Chapter
3535 12, 13, 62, or 63; and
3636 (2) the permit holder has annual production that does
3737 not exceed 175,000 barrels at the brewer's premises.
3838 (e) A holder of a brewer's permit who under Subsection (c)
3939 sells ale produced on the brewer's premises under the permit to
4040 ultimate consumers on the brewer's premises for responsible
4141 consumption on the brewer's premises or for off-premises
4242 consumption:
4343 (1) shall file a territorial agreement with the
4444 commission under Subchapters C and D, Chapter 102;
4545 (2) must purchase any ale the permit holder sells on
4646 the brewer's premises from the holder of a permit issued under
4747 Chapter 19, 20, or 21; and
4848 (3) with respect to those purchases, must comply with
4949 the requirements of this code governing dealings between a
5050 distributor or wholesaler and a member of the retail tier,
5151 including Section 102.31.
5252 SECTION 2. Sections 62.122(a), (c), and (e), Alcoholic
5353 Beverage Code, are amended to read as follows:
5454 (a) A manufacturer's licensee whose annual production of
5555 beer, together with the annual production of ale by the holder of a
5656 brewer's permit at all premises wholly or partly owned, directly or
5757 indirectly, by the license holder or an affiliate or subsidiary of
5858 the license holder, does not exceed 225,000 barrels may sell beer
5959 produced on the manufacturer's premises under the license to
6060 ultimate consumers on the manufacturer's premises for responsible
6161 consumption on the manufacturer's premises or for off-premises
6262 consumption.
6363 (c) Subject to Subsections (b), (d), and (e), the holder of
6464 a manufacturer's license may sell beer produced on the
6565 manufacturer's premises under the license to ultimate consumers on
6666 the manufacturer's premises for responsible consumption on the
6767 manufacturer's premises or for off-premises consumption even if the
6868 annual production limit prescribed by Subsection (a) is exceeded
6969 if:
7070 (1) the license holder:
7171 (A) was legally operating a manufacturing
7272 facility with on-premise sales under Subsection (a) on February 1,
7373 2017; or
7474 (B) purchased an ownership interest in, or was
7575 purchased by the holder of, a permit or license issued under Chapter
7676 12, 13, 62, or 63; and
7777 (2) the license holder has annual production that does
7878 not exceed 175,000 barrels at the manufacturer's premises.
7979 (e) A holder of a manufacturer's license who under
8080 Subsection (c) sells beer produced on the manufacturer's premises
8181 under the license to ultimate consumers on the manufacturer's
8282 premises for responsible consumption on the manufacturer's
8383 premises or for off-premises consumption:
8484 (1) shall file a territorial agreement with the
8585 commission under Subchapters C and D, Chapter 102;
8686 (2) must purchase any beer the license holder sells on
8787 the manufacturer's premises from the holder of a license issued
8888 under Chapter 64, 65, or 66; and
8989 (3) with respect to those purchases, must comply with
9090 the requirements of this code governing dealings between a
9191 distributor or wholesaler and a member of the retail tier,
9292 including Sections 61.73 and 102.31.
9393 SECTION 3. This Act takes effect September 1, 2019.