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.