Texas Senate Bill SB1368

Texas 2019 - 86th Regular

Caption

Relating to the authority of a warehouse to store and ship wine.

Impact

The impact of SB1368 on state law includes a redefinition of the capabilities and regulations that govern wine storage facilities. Warehouses that hold a bonded warehouse permit will be authorized not only to store liquor but also to deliver wine directly to consumers, thereby facilitating direct shipping from wineries. This represents a significant change that could enhance the operations of both local and out-of-state wineries by providing more avenues for product distribution.

Summary

SB1368 aims to amend the Alcoholic Beverage Code in Texas to enhance the authority of warehouses in relation to the storage and shipment of wine. This bill allows holders of winery and out-of-state winery direct shipper permits to consolidate their applications for various permits, including bonding and storage permits. The amendments provide clearer definitions and streamline the permitting process, intending to improve efficiency for businesses involved in the wine industry.

Contention

While the bill offers advantages for wine distribution, it may also generate points of contention. Industry advocates may support the bill for promoting business growth and enhancing consumer access to products, but there could be concerns regarding regulation enforcement and local control over alcohol distribution. Furthermore, the increase in shipping and storage capabilities may lead to discussions around state regulatory oversight and public health considerations regarding alcohol distribution.