Texas 2021 87th Regular

Texas House Bill HB4016 Introduced / Bill

Filed 03/11/2021

                    87R10545 MCK-D
 By: Kuempel H.B. No. 4016


 A BILL TO BE ENTITLED
 AN ACT
 relating to operating agreements between holders of a distiller's
 and rectifier's permit and certain alcoholic beverage permit
 holders.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Chapter 14, Alcoholic Beverage Code, is amended
 by adding Section 14.10 to read as follows:
 Sec. 14.10.  OPERATING AGREEMENTS BETWEEN PERMIT HOLDERS.
 (a) The holder of a distiller's and rectifier's permit may engage
 in any activity authorized by that permit on the permitted premises
 of another distiller's and rectifier's permit holder under an
 agreement between the permit holders that is approved by the
 commission and that describes with specificity the nature,
 duration, and extent of the activities authorized by the agreement.
 (b)  The holder of a distiller's and rectifier's permit may
 enter into an agreement authorized by Section 37.011 with the
 holder of a nonresident seller's permit that allows the nonresident
 seller to use the distiller's permitted premises to manufacture,
 rectify, purify, and refine distilled spirits and to bottle, label,
 and package the nonresident seller's finished products.
 (c)  The commission shall adopt rules regulating the shared
 use of the permitted premises under this section to ensure
 administrative accountability of each permit holder and a strict
 separation between the businesses and operations of the permit
 holders.
 SECTION 2.  Chapter 37, Alcoholic Beverage Code, is amended
 by adding Section 37.011 to read as follows:
 Sec. 37.011.  OPERATING AGREEMENT WITH IN-STATE DISTILLERY.
 (a) The holder of a nonresident seller's permit who owns a
 distillery outside of the state may enter into an agreement with the
 holder of a distiller's and rectifier's permit that allows the
 nonresident seller to manufacture, rectify, purify, and refine
 distilled spirits and to bottle, label, and package the nonresident
 seller's finished products on the distiller's and rectifier's
 permitted premises. The agreement is subject to approval by the
 commission and must describe with specificity the nature, duration,
 and extent of the activities authorized by the agreement.
 (b)  The commission shall adopt rules regulating the shared
 use of the permitted premises under this section to ensure
 administrative accountability of each permit holder and a strict
 separation between the businesses and operations of the permit
 holders.
 SECTION 3.  This Act takes effect September 1, 2021.