By: Walle H.B. No. 5388 A BILL TO BE ENTITLED AN ACT relating to operating agreements between holders of a distiller's and rectifier's permit and nonresident seller's permit. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Chapter 37, Alcoholic Beverage Code, is amended by amending Section 37.011(a) 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 and holds a distiller's and rectifier's permit or whose affiliate owns a distillery outside of the state and holds a distiller's and rectifier's permit may enter into an agreement with the holder of a distiller's and rectifier's permit that allows the nonresident seller to engage in the following activities on the distiller's and rectifier's permitted premises: (1) manufacture distilled spirits; (2) rectify, purify, and refine distilled spirits and wines; (3) mix wines, distilled spirits, or other liquors; (4) bottle, label, and package the nonresident seller's finished products; and (5) sell the finished products in this state to holders of distiller's and rectifier's permits and holders of wholesaler's permits and to authorized wholesalers and manufacturers outside the state. SECTION 2. This Act takes effect September 1, 2025.