By Davila H.B. No. 2567 A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the issuance of certain alcoholic beverage permits and 1-3 licenses. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Chapter 11, Alcoholic Beverage Code, is amended 1-6 by adding Subchapter D to read as follows: 1-7 SUBCHAPTER D. AREA PROTECTED FROM ISSUANCE OF CERTAIN PERMITS 1-8 Sec. 11.91. APPLICABILITY OF SUBCHAPTER. This subchapter 1-9 applies to the issuance or renewal of a wine and beer retailer's 1-10 permit or mixed beverage permit. 1-11 Sec. 11.92. SECURITY. (a) An applicant for a permit to 1-12 which this subchapter applies shall deposit security with the 1-13 commission or the county judge, as applicable, in the amount of 1-14 $2,500 for the costs that may be incurred in the protest of the 1-15 application under this subchapter. 1-16 (b) Any amount remaining after payment of those costs shall 1-17 be refunded to the applicant on the expiration of the permit if the 1-18 permit is not renewed and is not canceled under this code. 1-19 Sec. 11.93. PROTECTED AREA. Property is protected under 1-20 this subchapter if any point on a property line of the property is 1-21 less than 1,000 feet, as measured in a straight line, from the 1-22 midpoint of the line connecting the two points of the premises 1-23 under consideration for the issuance or renewal of a permit that 2-1 are the greatest distance apart. 2-2 Sec. 11.94. NOTICE. (a) Not later than the fifth day after 2-3 the date of the application, or not later than the 30th day before 2-4 the date on which the permit being renewed expires, the applicant 2-5 or permittee shall notify each owner or tenant of property 2-6 protected under this subchapter of: 2-7 (1) the date, time, and location of any hearing on the 2-8 issuance of the permit; 2-9 (2) the street address and legal description of the 2-10 premises; 2-11 (3) the type of permit for which the application is 2-12 made or which is being renewed; 2-13 (4) any identifying number or other designation 2-14 assigned to the application or permit by the commission or the 2-15 county judge; 2-16 (5) the applicant's or permittee's trade name; 2-17 (6) the proposed date of opening of the applicant's 2-18 business at the premises for which the application is made; 2-19 (7) the name and mailing address of the owner of the 2-20 premises, the applicant or permittee, and any person employed by 2-21 the applicant to perform any services related to the application 2-22 process; and 2-23 (8) the property owner's or tenant's right under this 2-24 code to contest the issuance or renewal of the permit. 2-25 (b) An applicant or permittee is not required to notify a 3-1 property owner or tenant who the applicant or permittee is unable 3-2 to locate if the applicant or permittee made a reasonable effort to 3-3 locate the property owner or tenant. 3-4 (c) A property owner or tenant entitled to notice under this 3-5 section who desires to file an objection to the issuance of the 3-6 permit must file the objection with the commission or county judge, 3-7 as applicable, not later than the 35th day after the date the 3-8 application is filed or, for a renewal, not later than the date on 3-9 which the permit expires. The commission or county judge may not 3-10 require a property owner or tenant to deposit security or pay a fee 3-11 to file an objection under this subchapter. 3-12 Sec. 11.95. DENIAL OF PERMIT DUE TO PROTEST. (a) The 3-13 commission or administrator or the county judge, as applicable, 3-14 shall deny the issuance or renewal of a permit to which this 3-15 section applies if 25 percent or more of the property owners and 3-16 tenants in the area protected under this section file an objection 3-17 with the commission or the county judge. 3-18 (b) If fewer than 25 percent of the property owners and 3-19 tenants in the protected area file an objection under this section, 3-20 the commission or county judge, as applicable, shall hold a hearing 3-21 at which the applicant and the property owners or tenants who filed 3-22 objections may present evidence related to the effect in the 3-23 protected area of the issuance or renewal of the permit. The 3-24 commission or the county judge may deny the issuance or renewal of 3-25 the permit if the commission or county judge determines from the 4-1 evidence presented that the denial is necessary for the general 4-2 welfare of the protected area. 4-3 (c) The applicant or permittee shall file with the 4-4 commission or county judge, as applicable, a list of the property 4-5 owners and tenants in the protected area. Unless the commission or 4-6 county judge finds that the list is incomplete or was not made in 4-7 good faith, the commission or county judge shall determine from 4-8 that list the percentage of owners and tenants that file 4-9 objections. The commission or county judge shall deny the 4-10 application if the commission or county judge finds that the list 4-11 is incomplete and was not made in good faith. 4-12 (d) The commission or the county judge, as applicable, may 4-13 not grant an application to which this section applies or hold a 4-14 hearing relating to that application before the expiration of the 4-15 35th day after the date on which the application is filed with the 4-16 commission or county judge. 4-17 Sec. 11.96. SUBSEQUENT APPLICATIONS. If an application for 4-18 the issuance or renewal of a permit to which this subchapter 4-19 applies is denied under this subchapter, a permit may not be issued 4-20 for the same premises before the first anniversary of the date of 4-21 the denial of the issuance or renewal of the permit. 4-22 Sec. 11.97. PERMIT RECORDS. The commission or the county 4-23 judge, as applicable, shall record the issuance of permits to which 4-24 this subchapter applies by location of the premises for which a 4-25 permit is issued according to street address and to legal 5-1 description. 5-2 Sec. 11.98. APPOINTMENT OF MASTER. (a) The county judge of 5-3 any county may appoint a master to hear a permit application or 5-4 renewal application to which this subchapter applies. 5-5 (b) The appointment of a master under this section shall be 5-6 made in the manner provided under Section 61.311 of this code for 5-7 the appointment of a master to hear a license application in 5-8 certain counties. 5-9 SECTION 2. Section 11.31, Alcoholic Beverage Code, is 5-10 amended to read as follows: 5-11 Sec. 11.31. Application for Permit. (a) All permits shall 5-12 be applied for and obtained from the commission. This section does 5-13 not apply to wine and beer retailer's permits, except those for 5-14 railway cars or excursion boats, or to wine and beer retailer's 5-15 off-premise permits. 5-16 (b) The commission may assign a hearing officer employed by 5-17 the commission to process applications for mixed beverage permits 5-18 in any county. If the commission does not assign a hearing officer 5-19 to a county for that purpose, an applicant shall apply to the 5-20 county judge for the issuance of those permits. 5-21 SECTION 3. Chapter 28, Alcoholic Beverage Code, is amended 5-22 by adding Section 28.14 to read as follows: 5-23 Sec. 28.14. COUNTY JUDGE. If an applicant is required under 5-24 Section 11.31 of this code to apply to the county judge for a 5-25 permit under this chapter, the county judge shall perform the 6-1 duties relating to that application that are assigned to the 6-2 commission or administrator under this chapter. 6-3 SECTION 4. Chapter 69, Alcoholic Beverage Code, is amended 6-4 by adding Section 69.15 to read as follows: 6-5 Sec. 69.15. PROTECTED AREAS. (a) The provisions of 6-6 Subchapter D, Chapter 11, of this code apply to the issuance or 6-7 renewal of a retail dealer's on-premise license. 6-8 (b) Section 61.31(b) of this code does not apply to 6-9 application for a retail dealer's on-premise license. 6-10 SECTION 5. This Act takes effect September 1, 1993, and 6-11 applies only to an application filed on or after that date or the 6-12 renewal of a permit that expires on or after that date. An 6-13 application filed before that date or the renewal of a permit that 6-14 expires before that date is governed by the law in effect on the 6-15 date on which the application is filed or on which the permit 6-16 expires. 6-17 SECTION 6. The importance of this legislation and the 6-18 crowded condition of the calendars in both houses create an 6-19 emergency and an imperative public necessity that the 6-20 constitutional rule requiring bills to be read on three several 6-21 days in each house be suspended, and this rule is hereby suspended.