ARIZONA HOUSE OF REPRESENTATIVES

Fifty-fourth Legislature

Second Regular Session

House: COM DPA 7-1-0-1


HB 2739: liquor omnibus

Sponsor:  Representative Weninger, LD 17

House Engrossed

Overview

Makes various changes to statute relating to alcoholic beverages.

History

The Department of Liquor Licenses and Control (Department), which consists of the State Liquor Board and the Office of the Director (Director) of the Department regulates the manufacture, distribution and sale of liquor in this state through the issuance of 21 license types or series. A separate license is required for each specific type of business and is issued only after a satisfactory showing of the capability, qualifications and reliability of the applicant. With the exception of wholesaler, producer, government or club licensees, issuance also requires a satisfactory showing that the public convenience and best interest of the community will be substantially served by the issuance of the license (A.R.S. § 4-203).

Statute outlines conditions for issuing a microbrewery license located on the same land as a farm winery which includes that the licenses must be held by different persons and that the microbrewery and the farm winery be located in separate buildings (A.R.S. § 4-205.09).

Current statute exempts beer that is produced for personal or family use that is not for sale from laws governing alcoholic beverages (A.R.S. § 4-226).

An employee of a retail licensee is prohibited during their working hours to give, purchase, accept or consume liquor, except under conditions outlined in statute (A.R.S. § 4-244).

Provisions

1.    ☐ Prop 105 (45 votes)	     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes)	☐ Fiscal NoteRequires the Director to relieve a licensee from a prior license reversion, unless a reverted license has been reissued, if a request is filed no later than two years after the reversion date. (Sec. 1)

2.    Allows the Director to issue a microbrewery license and a farm winery license, both located on the same land, to the same bona fide educational institution for the purposes of post-secondary educational instruction. (Sec. 2)

3.    Increases the cap that a licensed craft distiller may produce in a year for sale and delivery to an on-sale and off-sale retailer from 1,189 gallons to 3,566 gallons. (Sec. 3)

4.    Prohibits a joint premises licensee from allowing a person under the legal drinking age who is not accompanied by a spouse, parent, grandparent or legal guardian of legal drinking age, rather than any adult, to remain in the area of the joint premises. (Sec. 4)

5.    Specifies the duty to protect a customer or other person on the premises does not limit the licensee from using reasonable intervention, restraint or removal of a person to prevent that person from injuring other persons on the premises or damaging or disrupting the premises. (Sec. 5)

6.    Exempts wine that is produced for personal or family use that is not for sale from laws governing alcoholic beverages. (Sec. 6)

7.    Increases the amount of beer that may be provided as samples to retail consumers at an on-sale premises from 12 ounces to 16 ounces. (Sec. 7)

8.    Allows a retailer to order, purchase or receive a spirituous liquor from a licensed craft distiller that produces not more than 3,566 gallons. (Sec. 8)

9.    Allows a representative of a producer or wholesaler that is participating at a special event to consume small amounts of the products on the premises of the event for quality control purposes. (Sec. 9)

10.  Stipulates a licensee is not in violation of law if:

a)    A customer removes or tampers with the locking device on a bottle delivered for bottle service and pours their own drink without the knowledge of the retailer; and

b)    The licensee installs a functioning locking device or removes the bottle and lock when the licensee becomes aware of the removal or tampering of the locking device. (Sec. 9)

11.  Makes technical changes. (Sec. 2, 3, 6, 7, 8)

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15.  Initials PRB                       House Engrossed

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