Texas 2021 - 87th Regular

Texas House Bill HB4016 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	By: Kuempel, et al. (Senate Sponsor - Zaffirini) H.B. No. 4016
2		-	(In the Senate - Received from the House May 3, 2021;
3		-	May 12, 2021, read first time and referred to Committee on Business &
4		-	Commerce; May 20, 2021, reported favorably by the following vote:
5		-	Yeas 9, Nays 0; May 20, 2021, sent to printer.)
6		-	Click here to see the committee vote
	1	+	By: Kuempel, Darby, Fierro, Geren H.B. No. 4016
7	2
8	3
9	4		A BILL TO BE ENTITLED
10	5		AN ACT
11	6		relating to operating agreements between holders of a distiller's
12	7		and rectifier's permit and certain alcoholic beverage permit
13	8		holders.
14	9		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
15	10		SECTION 1. Chapter 14, Alcoholic Beverage Code, is amended
16	11		by adding Section 14.10 to read as follows:
17	12		Sec. 14.10. OPERATING AGREEMENTS BETWEEN PERMIT HOLDERS.
18	13		(a) The holder of a distiller's and rectifier's permit may enter
19	14		into an agreement with another holder of a distiller's and
20	15		rectifier's permit that allows the distiller's and rectifier's
21	16		permit holder to engage in the following activities on the
22	17		permitted premises of the other distiller's and rectifier's permit
23	18		holder:
24	19		(1) manufacture distilled spirits;
25	20		(2) rectify, purify, and refine distilled spirits and
26	21		wines;
27	22		(3) mix wines, distilled spirits, or other liquors;
28	23		(4) bottle, label, and package the permit holder's
29	24		finished products;
30	25		(5) sell the finished products in this state to
31	26		holders of wholesaler's permits and to authorized wholesalers and
32	27		manufacturers outside the state;
33	28		(6) purchase distilled spirits, to be used only for
34	29		manufacturing or rectification purposes, from holders of
35	30		nonresident seller's permits or distiller's and rectifier's
36	31		permits; and
37	32		(7) sell bulk alcohol produced by the permit holder
38	33		for purposes described by Section 38.01.
39	34		(b) The agreement is subject to approval by the commission
40	35		and must describe with specificity the nature, duration, and extent
41	36		of the activities authorized by the agreement.
42	37		(c) The holder of a distiller's and rectifier's permit may
43	38		enter into an agreement authorized by Section 37.011 with the
44	39		holder of a nonresident seller's permit.
45	40		(d) The commission shall adopt rules regulating the shared
46	41		use of the permitted premises under this section to ensure
47	42		administrative accountability of each permit holder and a strict
48	43		separation between the businesses and operations of the permit
49	44		holders.
50	45		SECTION 2. Chapter 37, Alcoholic Beverage Code, is amended
51	46		by adding Section 37.011 to read as follows:
52	47		Sec. 37.011. OPERATING AGREEMENT WITH IN-STATE DISTILLERY.
53	48		(a) The holder of a nonresident seller's permit who owns a
54	49		distillery outside of the state may enter into an agreement with the
55	50		holder of a distiller's and rectifier's permit that allows the
56	51		nonresident seller to engage in the following activities on the
57	52		distiller's and rectifier's permitted premises:
58	53		(1) manufacture distilled spirits;
59	54		(2) rectify, purify, and refine distilled spirits and
60	55		wines;
61	56		(3) mix wines, distilled spirits, or other liquors;
62	57		(4) bottle, label, and package the nonresident
63	58		seller's finished products; and
64	59		(5) sell the finished products in this state to
65	60		holders of distiller's and rectifier's permits and holders of
66	61		wholesaler's permits and to authorized wholesalers and
67	62		manufacturers outside the state.
68	63		(b) The agreement is subject to approval by the commission
69	64		and must describe with specificity the nature, duration, and extent
70	65		of the activities authorized by the agreement.
71	66		(c) The commission shall adopt rules regulating the shared
72	67		use of the permitted premises under this section to ensure
73	68		administrative accountability of each permit holder and a strict
74	69		separation between the businesses and operations of the permit
75	70		holders.
76	71		SECTION 3. This Act takes effect September 1, 2021.
77		-	* * * * *