BILL ANALYSIS S.B. 714 By: Cain State Affairs 4-4-95 Committee Report (Amended) 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 As proposed, 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 grant any additional rulemaking authority to a state officer, institution, or agency. 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.