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Enrolled Bill Summary

Enrolled Bill Summary

Legislative Session: 83(R)

Senate Bill 517

Senate Author:  Eltife et al.

Effective:  6-14-13

House Sponsor:  Smith et al.


            Senate Bill 517 amends the Alcoholic Beverage Code to limit the issuance of a manufacturer's self-distribution license only to the holder of a manufacturer's or nonresident manufacturer's license. The bill authorizes a holder of a manufacturer's self-distribution license whose annual production of beer under the manufacturer's or nonresident manufacturer's license, together with the annual production of ale by the holder of a brewer's or nonresident brewer's permit at the same premises, does not exceed 125,000 barrels to sell beer produced under the manufacturer's or nonresident manufacturer's license to those persons to whom the holder of a general distributor's license is authorized to sell beer. The bill specifies that the holder of a manufacturer's self-distribution license, with regard to such a sale, has the same authority and is subject to the same requirements that apply to a sale made by the holder of a general distributor's license.

Senate Bill 517 sets the limit on the total combined sales of beer by the holder of a manufacturer's self-distribution license, together with the sales of ale by the holder of a brewer's self-distribution permit at the same premises, at 40,000 barrels annually. The bill limits the shipping of the beer sold under these provisions to shipment only from a manufacturing facility in Texas and establishes that the annual state fee for the manufacturer's self-distribution license is $250.

Senate Bill 517 requires the holder of a manufacturer's self-distribution license, not later than the 15th day of each month, to file with the Texas Alcoholic Beverage Commission a report that contains information relating to the sales made by the license holder to a retailer during the preceding calendar month. The bill repeals a provision relating to the authorized sale of beer by certain small manufacturers.