BILL ANALYSIS S.B. 714 By: Cain (Pitts) 5-3-95 Committee Report (Unamended) BACKGROUND Current law exempts various fraternal and veterans organizations from several requirements of the Alcoholic Beverage Code's provisions for the Private Club Registration permit holders. Fraternal and veterans organizations qualifying for private club registration permit exemption status are not required to pay a permit fee, provide regular food service for members, have guests pay for beverages in cash, or maintain a locker system to store members' alcoholic beverages or a pool system to purchase alcoholic beverages for all members. In addition, any funds held jointly by club members can be used to replenish the club's joint stock of alcoholic beverages. PURPOSE S.B. 714 redefines "fraternal organization" to include a chapter or other local unit of a national fraternal organization that promotes physical fitness among the organizations exempt from certain requirements of the Alcoholic Beverage Code. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 32.11(a)(1), Alcoholic Beverage Code, to redefine "fraternal organization," to include a chapter or local unit of an American national fraternal organization that promotes physical fitness and provides class in athletics to children and that, as owner, lessee, or occupant, has operated an establishment for fraternal purposes for at least one year. Requires the fraternal organization to actively operate in not fewer than 12 states, have at least six local units in this state, and have at least one unit in this state that has been in active, continuous existence for at least 75 years. SECTION 2. Effective date: September 1, 1995. SECTION 3. Emergency clause. SUMMARY OF COMMITTEE ACTION SB 714 was heard in a Public Hearing on May 3, 1995. The Chair laid out SB 714, and recognized the House Sponsor, Rep. Pitts to explain the bill. The Chair recognized the following persons to testify in favor of the bill: Mr. Larry Laznovsky, Sokol Ennis, Fraternal Activities Organization; The Chair recognized Rep. Pitts to close. Rep. Goolsby moved that the full committee adopt SB 714, and that it be reported favorably to the full House with the recommendation that it do pass and be printed, and placed on the Local and Consent Calendar. The motion prevailed by the following vote: AYES: 7, NAYS: 0, ABSENT: 2.