BILL ANALYSIS

Senate Research Center	S.B. 1322
88R10995 TYPED	By: Men�ndez
	State Affairs
	4/12/2023
	As Filed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

As proposed, S.B. 1322 amends current law relating to the purchase and sale of vintage distilled spirits by the holder of a package store permit or local distributor's permit.

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 1.04, Alcoholic Beverage Code, by adding Subdivisions (30) and (31) to define "vintage distilled spirits" �and "vintage distilled spirits seller."

SECTION 2. Amends Section 22.01, Alcoholic Beverage Code, as follows:

Sec. 22.01. AUTHORIZED ACTIVITIES. Authorizes the holder of a package store permit to take certain actions, including to purchase vintage distilled spirits from a vintage distilled spirits seller and to sell vintage distilled spirits as provided in Section 22.19. Makes nonsubstantive changes.

SECTION 3. Amends Chapter 22, Alcoholic Beverage Code, by adding Section 22.19, as follows:

Sec. 22.19. PURCHASE AND SALE OF VINTAGE DISTILLED SPIRITS. (a) Authorizes the holder of a package store permit to purchase vintage distilled spirits from a vintage distilled spirits seller.

(b) Prohibits a vintage distilled spirits seller from selling more than twenty-four vintage distilled spirits bottles or containers in any given twelve month period to each premises of the holder of a package store permit.

(c) Requires the holder of a package store permit, prior to selling vintage distilled spirits purchased from a vintage distilled spirits seller to a consumer, to provide notice of its purchase of the vintage distilled spirits to the Texas Alcoholic Beverage Commission (TABC). Requires that the notice contain the following information:

(1) the name, address, state license number, and phone number of the holder of a package store permit purchasing vintage distilled spirits;

(2) the name, address, and phone number of the vintage distilled spirits seller;

(3) the brand name and quantity of bottles or containers of each vintage distilled spirits purchased;

(4) the date of the purchase; and

(5) the number of bottles or containers that the package store permittee has previously purchased from the same vintage distilled spirits seller and the dates of those purchases.

SECTION 4. Amends Chapter 23, Alcoholic Beverage Code, by amending Section 23.01 by adding Subdivision (c), as follows:

(c) Authorizes a local distributor's permittee to purchase vintage distilled spirits from a vintage distilled spirits seller subject to the same limitations and requirements under Sections 22.19(b) and (c). Authorizes a local distributor's permittee to sell and distribute such vintage distilled spirits to the mixed beverage permittees in an amount not to exceed six bottles or containers per mixed beverage permittee premises during any given twelve month period.

SECTION 5. Amends Subsection (a), Section 28.07, Alcoholic Beverage Code, as follows:

(a) Requires that all distilled spirits and vintage distilled spirits sold by a holder of a mixed beverage permit be purchased from a holder of a local distributor's permit in the county in which the premises of a mixed beverage permittee is located.

SECTION 6. Amends Section 201.02, Alcoholic Beverage Code, as follows:

Sec. 201.02. "FIRST SALE" DEFINED. Redefines "first sale."

SECTION 7. Effective date: September 1, 2023.