By Yarbrough H.B. No. 1419
74R5991 T
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the creation of a license allowing food and beverage
1-3 establishments to sell or serve alcoholic beverages, providing
1-4 penalties.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Amend Title 1, Chapter 1, Section 1.04(13) of the
1-7 Alcoholic Beverage Code as follows:
1-8 (13) "Mixed beverage" means one or more servings of a
1-9 beverage composed in whole or part of an alcoholic beverage in a
1-10 sealed or unsealed container of any legal size for consumption on
1-11 the premises where served or sold by the holder of a mixed beverage
1-12 permit, the holder of a daily temporary mixed beverage permit, the
1-13 holder of a caterer's permit, the holder of a mixed beverage late
1-14 hours permit, the holder of a food and beverage permit, the holder
1-15 of a private club food and beverage permit, the holder of a private
1-16 club registration permit, or the holder of a private club late
1-17 hours permit.
1-18 SECTION 2. Amend Title 2, Chapter 6, Section 6.03(k) of the
1-19 Alcoholic Beverage Code as follows:
1-20 (k) A requirement under this code that 51 percent or more of
1-21 the stock of a corporation be owned by a person or persons who were
1-22 citizens of this state for a one-year period preceding the date of
1-23 the filing of an application for a license or permit does not apply
1-24 to a corporation organized under the laws of this state that
2-1 applies for a license or permit under Chapters 25-34, Chapter 44,
2-2 Chapters 48-51, Chapters 53-54, Chapters 69-72, or Chapter 74 of
2-3 this code if:
2-4 (1) all of the officers and a majority of directors of
2-5 the applicant corporation have resided within the state for a
2-6 one-year period preceding the date of the application and each
2-7 officer or director possesses the qualifications required of other
2-8 applicants for permits and licenses;
2-9 (2) the applicant corporation and the applicant's
2-10 shareholders have no direct or indirect ownership or other
2-11 prohibited relationship with others engaged in the alcoholic
2-12 beverage industry at different levels as provided by Chapter 102 of
2-13 this code and other provisions of this code;
2-14 (3) the applicant corporation is not precluded by law,
2-15 rules charter, or corporate bylaw from disclosing the applicant's
2-16 shareholders to the commission; and
2-17 (4) the applicant corporation maintains its books and
2-18 records relating to its alcoholic beverage operations in the state
2-19 at its registered office or at a location in the state approved in
2-20 writing by the commission.
2-21 SECTION 3. Amend Title 3, Chapter 11, Section 11.39 of the
2-22 Alcoholic Beverage Code as follows:
2-23 Sec. 11.39. APPLICANT TO PUBLISH NOTICE. (a) Every
2-24 applicant for a pharmacist's medicinal, brewer's, distiller's and
2-25 rectifier's, mixed beverage, food and beverage, private club food
2-26 and beverage, private club registration, winery, wholesaler's,
2-27 class B wholesaler's, wine bottler's, or package store permit shall
3-1 give notice of the application by publication at his own expense in
3-2 two consecutive issues of a newspaper of general circulation
3-3 published in the city or town in which his place of business is
3-4 located. If no newspaper is published in the city or town, the
3-5 notice shall be published in a newspaper of general circulation
3-6 published in the county where the applicant's business is located.
3-7 If no newspaper is published in the county, the notice shall be
3-8 published in a qualified newspaper published in the closest
3-9 neighboring county and circulated in the county of the applicant's
3-10 residence.
3-11 SECTION 4. Amend Title 3, Chapter 11, Section 11.391 of the
3-12 Alcoholic Beverage Code as follows:
3-13 Sec. 11.391. NOTICE BY SIGN. (a) An applicant for a mixed
3-14 beverage permit, food and beverage permit, private club food and
3-15 beverage permit or a private club registration permit for a
3-16 location not previously licensed for the on-premises consumption of
3-17 alcoholic beverages shall, on the dates notice is required to be
3-18 published under Section 11.39 of this code, prominently post an
3-19 outdoor sign at the location stating that alcoholic beverages are
3-20 intended to be served on the premises, the type of permit, and the
3-21 name and business address of the applicant.
3-22 SECTION 5. Amend Title 3, Chapter 11, Section 11.48 of the
3-23 Alcoholic Beverage Code as follows:
3-24 Sec. 11.48. REFUSAL OF PACKAGE STORE, FOOD AND BEVERAGE OR
3-25 MIXED BEVERAGE PERMIT. (a) The commission or administrator may
3-26 refuse to issue an original or renewal food and beverage or mixed
3-27 beverage permit with or without a hearing if it has reasonable
4-1 grounds to believe and finds that the applicant, directly or
4-2 indirectly, or through a subsidiary, affiliate, agent or employee,
4-3 or through an officer, director, or firm member, owns an interest
4-4 of any kind in the premises, business, or permit of a package
4-5 store.
4-6 (b) The commissioner administrator may refuse to issue an
4-7 original or renewal package store permit with or without a hearing
4-8 if it has reasonable grounds to believe and finds that the
4-9 applicant, directly or indirectly, through a subsidiary, affiliate,
4-10 agent, or employee, or through an officer, director, or firm
4-11 member, owns an interest of any kind in the premises, business, or
4-12 permit of a food and beverage or mixed beverage establishment.
4-13 (c) This section does not apply to anything permitted by
4-14 Section 102.05 of this code.
4-15 SECTION 6. Amend Title 3, Chapter 11, Section 11.49 of the
4-16 Alcoholic Beverage Code as follows:
4-17 Sec. 11.49. PREMISES DEFINED; DESIGNATION OF LICENSED
4-18 PREMISES. (a) In this code, "premises" means the grounds and all
4-19 buildings, vehicles, and appurtenances pertaining to the grounds,
4-20 including any adjacent premises if they are directly or indirectly
4-21 under the control of the same person.
4-22 (b)(1) Subject to the approval of the commission or the
4-23 administrator, and except as provided in Subsection (c) of this
4-24 section, an applicant for a permit or license may designate a
4-25 portion of the grounds, buildings, vehicles, and appurtenances to
4-26 be excluded from the licensed premises.
4-27 (2) If such a designation has been made and approved
5-1 as to the holder of a license or permit authorizing the sale of
5-2 alcoholic beverages at retail or as to a private club food and
5-3 beverage or private club registration permit, the sharing of space,
5-4 employees, business facilities, and services with another business
5-5 entity (including the permittee's lessor, which, if a corporation,
5-6 may be a domestic or foreign corporation, but excluding a business
5-7 entity holding any type of winery permit, a manufacturer's license,
5-8 or a general, local, or branch distributor's license), does not
5-9 constitute a subterfuge or surrender of exclusive control in
5-10 violation of Section 109.53 of this code or the use or display of
5-11 the license for the benefit of another in violation of Subdivision
5-12 (15) of Subsection (a) of Section 61.71 of this code. This
5-13 subsection shall not apply to original or renewal package store
5-14 permits, wine only package store permits, local distributor's
5-15 permits, or any type of wholesaler's permits.
5-16 (c) An applicant for an original or renewal package store
5-17 permit, wine only package store permit, wine only package store
5-18 permit, local distributor's permit, or any type of wholesaler's
5-19 permit may not take advantage of the right conferred by Subsection
5-20 (b) of this section except as permitted in Section 11.50 or 109.53
5-21 of this code.
5-22 (d) Any package store, wine only package store,
5-23 wholesaler's, or local distributor's permittee who is injured in
5-24 his business or property by another person (other than a person in
5-25 his capacity as the holder of a wine and beer retailer's permit,
5-26 wine and beer retailer's off-premise permit, private club
5-27 registration permit, or mixed beverage permit or any person in the
6-1 capacity of lessor of the holder of such a permit) by reason of
6-2 anything prohibited in this section or Section 109.53 of this code
6-3 is entitled to the same remedies available to a package store
6-4 permittee under Section 109.53 of this code. Except for actions
6-5 brought against a person in his capacity as the holder of or as the
6-6 lessor of the holder of a wine and beer retailer's permit, wine and
6-7 beer retailer's off-premise permit, mixed beverage permit, or
6-8 private club registration permit, the statute of limitations for
6-9 any action brought under this section or Section 109.53 of this
6-10 code for any cause of action arising after the effective date of
6-11 this Act is four years unless a false affidavit has been filed with
6-12 the commission in which event the statute of limitations is 10
6-13 years for all purposes.
6-14 (e) When a designation under Subsection (b) of this section
6-15 is made by a wine and beer retailer, selling primarily for
6-16 off-premise consumption, or by a wine and bee retailer's
6-17 off-premise permittee, no more than 20 percent of the retail floor
6-18 and display space of the entire premises may be included in the
6-19 licensed premises, and all the retail floor and display space in
6-20 the licensed premises must be compact and contiguous and may not be
6-21 gerrymandered. However, the retail floor and display space
6-22 included in the licensed premises must be compact and contiguous
6-23 and may not be gerrymandered. However, the retail floor and
6-24 display space included in the licensed premises may be in two
6-25 separate locations within the retail premises if the total retail
6-26 floor and display space included in the licensed premises does not
6-27 exceed 20 percent of the floor and display space of the entire
7-1 premises and each of the two portions of floor and display space
7-2 included in the licensed premises is itself compact and contiguous
7-3 and not gerrymandered. In addition to the one or two separate
7-4 locations of retail floor and display space on the premises, the
7-5 licensed premises may include the cash register and check-out
7-6 portions of the premises provided that (1) no alcoholic beverages
7-7 are displayed in the check-out or cash register portions of the
7-8 premises, and (2) the area of the check-out and cash register
7-9 portions of the premises are counted towards the total of 20
7-10 percent of the retail floor and display space that may be dedicated
7-11 to the sale and display of wine and beer. A storage area that is
7-12 not accessible or visible to the public may be included in the
7-13 licensed premises but shall not be considered retail floor and
7-14 display space for purposes of this section. The commission or
7-15 administrator shall adopt rules to implement this subsection and to
7-16 prevent gerrymandering.
7-17 SECTION 7. Amend Title 3, Chapter 11, Section 11.61 of the
7-18 Alcoholic Beverage Code as follows:
7-19 Sec. 11.61. CANCELLATION OR SUSPENSION OF PERMIT. (a) As
7-20 used in Subsection (b) of this section, the word "permittee" also
7-21 includes each member of a partnership or association and, with
7-22 respect to a corporation, each officer and the owner or owners of a
7-23 majority of the corporate stock. This section shall not be
7-24 construed as prohibiting anything permitted under Section 22.06,
7-25 24.05, or 102.05 of this code.
7-26 (b) The commission or administrator may suspend for not more
7-27 than 60 days or cancel an original or renewal permit if it is
8-1 found, after notice and hearing, that any of the following is true:
8-2 (1) the permittee has been finally convicted of a
8-3 violation of this code;
8-4 (2) the permittee violated a provision of this code or
8-5 a rule of the commission;
8-6 (3) the permittee was finally convicted of a felony
8-7 while holding an original or renewal permit;
8-8 (4) the permittee made a false or misleading statement
8-9 in connection with his original or renewal application either in
8-10 the formal application itself or in any other written instrument
8-11 relating to the application submitted to the commission, its
8-12 officers, or employees;
8-13 (5) the permittee is indebted to the state for taxes,
8-14 fees, or payment of penalties imposed by this code or by a rule of
8-15 the commission;
8-16 (6) the permittee is not of good moral character or
8-17 his reputation for being a peaceable and law-abiding citizen in the
8-18 community where he resides is bad;
8-19 (7) the place or manner in which the permittee
8-20 conducts his business warrants the cancellation or suspension of
8-21 the permit based on the general welfare, health, peace, morals, and
8-22 safety of the people and on the public sense of decency;
8-23 (8) the permittee is not maintaining an acceptable
8-24 bond;
8-25 (9) the permittee maintains a noisy, lewd, disorderly,
8-26 or unsanitary establishment or has supplied impure or otherwise
8-27 deleterious beverages;
9-1 (10) the permittee is insolvent or mentally or
9-2 physically unable to carry on the management of his establishment;
9-3 (11) the permittee is in the habit of using alcoholic
9-4 beverages to excess;
9-5 (12) the permittee knowingly misrepresented to a
9-6 customer or the public any liquor sold by him;
9-7 (13) the permittee was intoxicated on the licensed
9-8 premises;
9-9 (14) the permittee sold or delivered an alcoholic
9-10 beverage to an intoxicated person;
9-11 (15) the permittee possessed on the licensed premises
9-12 an alcoholic beverage that he was not authorized by his permit to
9-13 purchase and sell;
9-14 (16) a package store or wine only package store
9-15 permittee transported or shipped liquor, or caused it to be
9-16 transported or shipped, into a dry state or a dry area within this
9-17 state;
9-18 (17) the permittee is residentially domiciled with a
9-19 person who has a financial interest in an establishment engaged in
9-20 the business of selling beer at retail, other than a food and
9-21 beverage or mixed beverage establishment, except as authorized by
9-22 Section 22.06, 24.05 or 102.05 of this code;
9-23 (18) the permittee is residentially domiciled with a
9-24 person whose permit or license was canceled for cause within the
9-25 12-month period preceding his own application;
9-26 (19) the permittee is not a citizen of the United
9-27 States or has not been a citizen of Texas for a period of one year
10-1 immediately preceding the filing of his application, unless he was
10-2 issued an original or renewal permit on or before September 1,
10-3 1948, and has been a United States citizen at some time; or
10-4 (20) the permittee permitted a person to open a
10-5 container of alcoholic beverage or possess an open container of
10-6 alcoholic beverage on the licensed premises unless a food and
10-7 beverage or mixed beverage permit has been issued for the premises.
10-8 (c) The commission or administrator may refuse to renew or,
10-9 after notice and hearing, suspend for not more than 60 days or
10-10 cancel a permit if the commission or administrator finds that the
10-11 permittee:
10-12 (1) no longer holds a sales tax permit, if required,
10-13 for the place of business covered by the alcoholic beverage permit;
10-14 or
10-15 (2) is shown on the records of the comptroller of
10-16 public accounts as being subject to a final determination of taxes
10-17 due and payable under the Limited Sales, Excise and Use Tax Act
10-18 (Chapter 151, Tax Code), or is shown on the records of the
10-19 comptroller of public accounts as being subject to a final
10-20 determination of taxes due and payable under Chapter 321, Tax Code.
10-21 (d) The commission or administrator without a hearing may
10-22 for investigative purposes summarily suspend a mixed beverage
10-23 permit, a food and beverage permit, a private club food and
10-24 beverage permit, a private club registration permit, or a wine and
10-25 beer retailer's permit for not more than seven days if the
10-26 commission or administrator finds that a shooting, stabbing, or
10-27 murder has occurred on the licensed premises which is likely to
11-1 result in a subsequent act of violence. Notice of the order
11-2 suspending the permit shall be given to the permittee personally
11-3 within 24 hours of the time the violent act occurs. If the
11-4 permittee cannot be located, notice shall be provided by posting a
11-5 copy of the order on the front door of the licensed premise.
11-6 (e) The commission or administrator shall cancel an original
11-7 or renewal permit if it is found, after notice and hearing, that
11-8 the permittee knowingly allowed a person to possess a firearm in a
11-9 building on the licensed premises. This subsection does not apply
11-10 to a person:
11-11 (1) who holds a security officer commission issued by
11-12 the Texas Board of Private Investigators and Private Security
11-13 Agencies, if:
11-14 (A) the person is engaged in the performance of
11-15 the person's duties as a security officer;
11-16 (B) the person is wearing a distinctive uniform;
11-17 and
11-18 (C) the weapon is in plain view; or
11-19 (2) who is a peace officer.
11-20 SECTION 8. Amend Title 3, Chapter 23, Section 23.01 of the
11-21 Alcoholic Beverage Code as follows:
11-22 Sec. 23.01. AUTHORIZED ACTIVITIES. (a) The holder of a
11-23 local distributor's permit may:
11-24 (1) purchase alcoholic beverages from wholesalers
11-25 authorized to sell them for resale, but may purchase only those
11-26 brands available for general distribution to all local
11-27 distributor's permittees;
12-1 (2) sell and distribute the alcoholic beverages to
12-2 mixed beverage, food and beverage, private club food and beverage
12-3 and private club registration permittees; and
12-4 (3) rent or sell to mixed beverage, food and beverage,
12-5 private club food and beverage and private club registration
12-6 permittees any equipment, fixtures, or supplies used in the selling
12-7 or dispensing of distilled spirits.
12-8 (b) A local distributor's permittee may purchase liquor only
12-9 from a wholesaler's, general class B wholesaler's, or local class B
12-10 wholesaler's permittee and may purchase only the types of liquor
12-11 the particular wholesaler is authorized by his permit to sell.
12-12 SECTION 9. Amend Title 3, Chapter 27, Section 27.04 of the
12-13 Alcoholic Beverage Code as follows:
12-14 Sec. 27.04. REQUIRED BASIC PERMIT. A temporary wine and
12-15 beer retailer's permit may be issued only to the holder of a wine
12-16 and beer retailer's permit, a holder of a mixed beverage permit,
12-17 food and beverage permit, or a non-profit historic preservation
12-18 organization that has been in existence for at least 30 years.
12-19 SECTION 10. Amend Title 3, Chapter 29, Section 29.03 of the
12-20 Alcoholic Beverage Code as follows:
12-21 Sec. 29.03. APPLICATION OF PROVISIONS REGULATING MIXED
12-22 BEVERAGE PERMITS. All provisions of this code which apply to the
12-23 underlying food and beverage or <a> mixed beverage permit also
12-24 apply to a mixed beverage late hours permit.
12-25 SECTION 11. Amend Title 3, Chapter 30, Section 30.03 of the
12-26 Alcoholic Beverage Code as follows:
12-27 Sec. 30.03. ISSUANCE OF PERMIT. (a) The commission may, in
13-1 its discretion, issue on a temporary basis a daily temporary mixed
13-2 beverage permit. A daily temporary mixed beverage permit may be
13-3 issued only to a holder of a food and beverage or mixed beverage
13-4 permit for the temporary sale of authorized alcoholic beverages at
13-5 picnics, celebrations, or similar events, or to a political party
13-6 or political association supporting a candidate for public office
13-7 or a proposed amendment to the Texas Constitution or other ballot
13-8 measure, to an organization formed for a specific charitable or
13-9 civic purpose, to a fraternal organization in existence for over
13-10 five years with a regular membership, or to a religious
13-11 organization. The commission shall not issue more than 10
13-12 temporary mixed beverage permits in each calendar year to a person
13-13 who does not also hold a food and beverage or mixed beverage
13-14 permit.
13-15 (b) The provisions of this code which apply to the
13-16 application for and issuance of other permits do not apply to the
13-17 application and issuance of a daily temporary mixed beverage
13-18 permit.
13-19 SECTION 12. Amend Title 3, Chapter 30, Section 30.05 of the
13-20 Alcoholic Beverage Code as follows:
13-21 Sec. 30.05. APPLICATION OF PROVISIONS REGULATING MIXED
13-22 BEVERAGE PERMITS. All provisions of this code applicable to the
13-23 underlying food and beverage or <a> mixed beverage permit also
13-24 apply to a daily temporary mixed beverage permit unless there is a
13-25 special provision to the contrary.
13-26 SECTION 13. Amend Title 3, Chapter 31, Section 31.01 of the
13-27 Alcoholic Beverage Code as follows:
14-1 Sec. 31.01. AUTHORIZED ACTIVITIES. The holder of a
14-2 caterer's permit may sell mixed beverages on a temporary basis at a
14-3 place other than the premises for which the holder's food and
14-4 beverage or mixed beverage permit is issued only in:
14-5 (1) an area where the sale of mixed beverages has been
14-6 authorized by a local option election; or
14-7 (2) an area that:
14-8 (A) is adjacent to a county with a home-rule
14-9 municipality with a population of more than 350,000:
14-10 (i) that has in its charter a provision
14-11 allowing for limited purpose annexation for zoning;
14-12 (ii) that has previously disannexed
14-13 territory annexed for limited purposes; and
14-14 (iii) that allows the sale of mixed
14-15 beverages;
14-16 (B) does not comprise an entire county; and
14-17 (C) is not within the corporate limits of a
14-18 municipality.
14-19 SECTION 14. Amend Title 3, Chapter 31, Section 31.03 of the
14-20 Alcoholic Beverage Code as follows:
14-21 Sec. 31.03. ISSUANCE OF PERMIT. (a) A caterer's permit may
14-22 be issued only to the holder of a food and beverage or mixed
14-23 beverage permit.
14-24 (b) The commission shall adopt rules and regulations
14-25 governing the application for and the issuance and use of caterer's
14-26 permits.
14-27 (c) The provisions of this code which apply to the
15-1 application for and issuance of other permits do not apply to the
15-2 application for and issuance of a caterer's permit.
15-3 SECTION 15. Amend Title 3, Chapter 31, Section 31.04 of the
15-4 Alcoholic Beverage Code as follows:
15-5 Sec. 31.04. APPLICATION OF PROVISIONS REGULATING MIXED
15-6 BEVERAGE PERMITS. (a) A caterer's permit is auxiliary to the
15-7 primary <mixed beverage> permit held by the permittee.
15-8 (b) The restrictions and regulations which apply to the sale
15-9 of mixed beverages on the licensed premises also apply to the sale
15-10 under the authority of a caterer's permit, and any act that is
15-11 prohibited on the licensed premises is also prohibited when the
15-12 permittee is operating other than on the licensed premises under a
15-13 caterer's permit.
15-14 (c) Any act which if done on the licensed premises would be
15-15 a ground for cancellation or suspension of the food and beverage or
15-16 mixed beverage permit is a ground for cancellation of both the
15-17 primary <mixed beverage> permit and the caterer's permit if done
15-18 when the permittee is operating away from the licensed premises
15-19 under the authority of the caterer's permit.
15-20 (d) all receipts from the sale of mixed beverages under the
15-21 authority of the caterer's permit shall be treated for tax purposes
15-22 as if they were made under the authority of the primary permit.
15-23 (e) If the primary permit ceases to be valid for any reason,
15-24 the caterer's permit ceases to be valid.
15-25 (f) All provisions of this code applicable to the primary
15-26 permit and not inconsistent with this chapter apply to a caterer's
15-27 permit.
16-1 SECTION 16. Amend Title 3, Chapter 33, Section 33.03 of the
16-2 Alcoholic Beverage Code as follows:
16-3 Sec. 33.03. APPLICATION OF CODE PROVISIONS. All provisions
16-4 of this code which apply to the underlying private club food and
16-5 beverage or <a> private club registration permit also apply to a
16-6 private club late hours permit.
16-7 SECTION 17. Amend Title 3, Chapter 33, Section 33.23 of the
16-8 Alcoholic Beverage Code as follows:
16-9 Sec. 33.23. ISSUANCE OF PERMIT. (a) The commission may
16-10 issue a daily temporary private club permit only to a holder of a
16-11 private club food and beverage or private club registration permit
16-12 for the temporary serving of alcoholic beverages at a picnic,
16-13 celebration, or similar event sponsored by:
16-14 (1) a political party or political association
16-15 supporting a candidate for public office or a proposed amendment to
16-16 the Texas Constitution or other ballot measure;
16-17 (2) a charitable or civic organization;
16-18 (3) a fraternal organization with a regular membership
16-19 that has been in continuous existence for not less than five years;
16-20 or
16-21 (4) a religious organization.
16-22 (b) The commission may not issue more than two daily
16-23 temporary private club permits in each calendar year for events
16-24 sponsored by the same party, association, or organization. A daily
16-25 temporary private club permit may only be issued in the county
16-26 where the private club food and beverage or private club
16-27 registration permit is issued.
17-1 SECTION 18. Amend Title 3, Chapter 33, Section 33.25 of the
17-2 Alcoholic Beverage Code as follows:
17-3 Sec. 33.25. APPLICATION OF PRIVATE CLUB PERMIT PROVISIONS.
17-4 A provision of this code that applies to the underlying private
17-5 club food and beverage or <a> private club registration permit
17-6 applies to a daily temporary private club permit unless the
17-7 provision conflicts with a provision of this chapter.
17-8 SECTION 19. Amend Title 3, Chapter 44, Section 44.01 of the
17-9 Alcoholic Beverage Code as follows:
17-10 Sec. 44.01. AUTHORIZED ACTIVITIES. A beverage cartage
17-11 permit authorizes the holder of a food and beverage, private club
17-12 food and beverage, mixed beverage or private club registration
17-13 permit to transfer alcoholic beverages from the place of purchase
17-14 to the licensed premises as provided in this code.
17-15 SECTION 20. Amend Title 3, Chapter 44, Section 44.03 of the
17-16 Alcoholic Beverage Code as follows:
17-17 Sec. 44.03. ELIGIBILITY FOR PERMIT. The commission may
17-18 issue a beverage cartage permit to the holder of a food and
17-19 beverage, private club food and beverage, mixed beverage or private
17-20 club registration permit.
17-21 SECTION 21. Amend Title 3, Chapter 51, Section 51.01 of the
17-22 Alcoholic Beverage Code as follows:
17-23 Sec. 51.01. ELIGIBILITY FOR PERMIT. The commission or the
17-24 administrator may issue a minibar permit only to the holder of a
17-25 food and beverage or mixed beverage permit issued for operation in
17-26 a hotel.
17-27 SECTION 22. Amend Title 3, Chapter 51, Section 51.07 of the
18-1 Alcoholic Beverage Code as follows:
18-2 Sec. 51.07. FOOD AND BEVERAGE OR MIXED BEVERAGE PERMIT IS
18-3 PRIMARY. All purchases made by a minibar permittee shall be made
18-4 under the authority of and subject to the limitations imposed on
18-5 the food and beverage or mixed beverage permit held by the
18-6 permittee. All sales made by a minibar permittee shall, for the
18-7 tax purposes, be considered sales under the food and beverage or
18-8 mixed beverage permit held by the permittee and shall be taxed
18-9 accordingly. To ensure that the marketing of alcoholic beverages
18-10 for stocking minibars is not used by suppliers for purposes of
18-11 inducement or unauthorized or illegal advertising, it is further
18-12 provided that:
18-13 (1) No person who holds a permit or license
18-14 authorizing sale of any alcoholic beverage to food and beverage or
18-15 mixed beverage permittees may sell or offer to sell alcoholic
18-16 beverages to a minibar permittee at a cost less than the seller's
18-17 laid-in cost plus the customary and normal profit margin applicable
18-18 to other container sizes. The laid-in cost shall be defined as the
18-19 manufacturer's or supplier's invoice price, plus all applicable
18-20 freight, taxes, and duties.
18-21 (2) Proof of laid-in cost shall become a part of the
18-22 permanent records of each permittee or licensee supplying alcoholic
18-23 beverages to minibar permittees and be available for a period of
18-24 two years for inspection by the commission.
18-25 (3) No alcoholic beverages offered for use in a
18-26 minibar may be sold in connection with or conveyed as part of any
18-27 promotional program providing a discount on the purchase of any
19-1 other type, size, or brand of alcoholic beverage.
19-2 (4) Distilled spirits in containers with a capacity of
19-3 more than one but less than two fluid ounces must be invoiced
19-4 separately from any other alcoholic beverage, and the price must be
19-5 shown on the invoice.
19-6 (5) Distilled spirits in containers with a capacity of
19-7 more than one but less than two fluid ounces may not be returned by
19-8 the holder of a minibar permit. Neither may the beverages be
19-9 exchanged by the holder of a minibar permit or redeemed for any
19-10 reason other than damage noted at the time of delivery and approved
19-11 by the commission. Claims for breakage or shortage after delivery
19-12 to a minibar permittee shall not be allowed.
19-13 (6) No person holding a wholesaler's, local
19-14 distributor's, or package store permit may participate in the cost
19-15 of producing any room menu, beverage list, table tent, or any other
19-16 device or novelty, written or printed, relating to the sale of
19-17 distilled spirits in containers with a capacity of more than one
19-18 but less than two fluid ounces. No permittee or licensee
19-19 authorized to sell alcoholic beverages to a minibar permittee may
19-20 pay for or contribute to the cost of providing in-house television
19-21 or radio announcements to be used by any holder of a minibar permit
19-22 to promote the sale of alcoholic beverages.
19-23 SECTION 23. Amend Title 3 of the Alcoholic Beverage Code by
19-24 adding a new Chapter 53 as follows:
19-25 CHAPTER 53. FOOD AND BEVERAGE PERMIT
19-26 Sec. 53.01. AUTHORIZED ACTIVITIES. (a) The holder of a
19-27 food and beverage permit may sell mixed beverages in an amount not
20-1 to exceed 75 percent of the gross receipts of the licensed premise.
20-2 (b) The holder of a food and beverage permit may sell, offer
20-3 for sale, and possess mixed beverages, including distilled spirits,
20-4 for consumption on the licensed premises:
20-5 (1) from sealed containers containing not less than
20-6 one fluid ounce nor more than two fluid ounces or of any legal
20-7 size; and
20-8 (2) from unsealed containers.
20-9 (c) The holder of a food and beverage permit for an
20-10 establishment in a hotel may deliver mixed beverages, including
20-11 wine and beer, to individual rooms of the hotel or to any other
20-12 location in the hotel building or grounds, except a parking area or
20-13 the licensed premises of another alcoholic beverage establishment,
20-14 without regard to whether the place of delivery is part of the
20-15 licensed premises. A permittee in a hotel may allow a patron or
20-16 visitor to enter or leave the licensed premises, even though the
20-17 patron or visitor possesses an alcoholic beverage, if the beverage
20-18 is in an open container and appears to be possessed for present
20-19 consumption.
20-20 (d) The holder of a food and beverage permit may also:
20-21 (1) purchase wine, beer, ale, and malt liquor
20-22 containing alcohol of not more than 21 percent by volume in
20-23 containers of any legal size from any permittee or licensee
20-24 authorized to sell those beverages for resale; and
20-25 (2) sell the wine, beer, ale, and malt liquor for
20-26 consumption on the licensed premises.
20-27 (e) An applicant for or the holder of a food and beverage
21-1 permit may apply to the commission to have the activities
21-2 authorized under the permit restricted to the sale, offering for
21-3 sale, and possession of wine, beer, traditional port or sherry
21-4 containing not more than 24 percent alcohol by volume, and malt
21-5 liquor for on or on and off premise consumption as allowed by local
21-6 option election. Except as otherwise provided by this chapter, an
21-7 applicant for or the holder of a permit that is restricted under
21-8 this subsection is subject to all the requirements of this chapter
21-9 not inconsistent with this subsection. The holder of a permit
21-10 restricted under this subsection may conduct all authorized
21-11 activities, and utilize all ancillary permits authorized for the
21-12 holder of a food and beverage permit consistent with the
21-13 restrictions of this subsection. Chapter 183, Tax Code, shall not
21-14 apply to a permit restricted under this subsection. The commission
21-15 may adopt rules as necessary to implement this subsection.
21-16 (f) The holder of a mixed beverage permit may renew that
21-17 permit as a food and beverage permit if the mixed beverage
21-18 permittee is otherwise qualified for renewal upon payment of $100.
21-19 Sec. 53.02. FEE. (a) The annual state fee for an original
21-20 food and beverage permit is $3,000.
21-21 (b) The annual state fee for the first renewal of a food and
21-22 beverage permit is $2,250.
21-23 (c) The annual state fee for the second renewal of a food
21-24 and beverage permit is $1,500.
21-25 (d) The annual state fee for the third and each subsequent
21-26 renewal of a food and beverage permit is $750.
21-27 (e) The annual fee for an original and all renewals of a
22-1 food and beverage permit restricted under Sec. 53.01(e) is $175.
22-2 Sec. 53.03. INFORMATION REQUIRED OF APPLICANTS. (a) In
22-3 addition to the information required of applicants for permits
22-4 under this code, the applicant for a food and beverage permit must
22-5 file with his original and renewal application a sworn statement in
22-6 a form prescribed by the commission or administrator containing the
22-7 following information:
22-8 (1) the name and residential address of the lessor of
22-9 the premises;
22-10 (2) the name and address of the lessee of the
22-11 premises;
22-12 (3) the amount of monthly rental on the premises and
22-13 the date of expiration of the lease;
22-14 (4) whether the lease or rental agreement includes
22-15 furniture and fixtures;
22-16 (5) whether the business is to be operated under a
22-17 franchise and, if so, the name and address of the franchisor;
22-18 (6) the name and address of the accountant of the
22-19 business;
22-20 (7) a list of all bank accounts, including account
22-21 numbers, used in connection with the business; and
22-22 (8) any information required by the commission or
22-23 administrator relevant to the determination of all persons having a
22-24 financial interest of any kind in the granting of the food and
22-25 beverage permit.
22-26 (b) All applications for renewal shall be certified by the
22-27 Comptroller of Public Accounts to be in compliance with
23-1 Sec. 53.01(a) in order to be renewed. If an applicant is not in
23-2 compliance with the requirements of Sec. 53.01(a) the applicant may
23-3 pay a fee of $100 and renew as a mixed beverage permittee if the
23-4 applicant is otherwise qualified for that permit.
23-5 Sec. 53.04. CHANGE IN CORPORATE CONTROL. (a) A food and
23-6 beverage permit held by a corporation may not be renewed if the
23-7 commission or administrator finds that legal or beneficial
23-8 ownership of over 50 percent of the stock of the corporation has
23-9 changed since the time the original permit was issued.
23-10 (b) The commission or administrator may adopt reasonable
23-11 rules and regulations in accordance with the provisions of this
23-12 section.
23-13 (c) A corporation which is barred from renewing a permit
23-14 because of this section may file an application for an original
23-15 permit and may be issued an original permit if otherwise qualified.
23-16 (d) This section does not apply to a change in corporate
23-17 control:
23-18 (1) brought about by the death of a shareholder if his
23-19 surviving spouse or descendants are his successors in interest; or
23-20 (2) brought about when legal or beneficial ownership
23-21 of over 50 percent of the stock of the corporation has been
23-22 transferred:
23-23 (A) to a person who possesses the qualifications
23-24 required of other applicants for permits and is currently an
23-25 officer of the corporation and has been an officer of the
23-26 corporation ever since the date the original permit was issued; or
23-27 (B) if the permittee pays a fee of $500 and
24-1 notifies the commission, on completed forms and attachments
24-2 prescribed by the commission, of the proposed transfer at least 10
24-3 days prior to the date the transfer is to become effective and the
24-4 commission does not find that circumstances exist that would be
24-5 grounds for the denial of a renewal of the permit under Section
24-6 11.46 of this cod and provided the ownership of the corporation
24-7 immediately after the transfer satisfies the requirements of this
24-8 code.
24-9 (e) Nothing in this section shall be construed to grant any
24-10 property right to any permit or construed to prevent the commission
24-11 from suspending or canceling a permit at any time after notice and
24-12 hearing for a violation of this code.
24-13 Sec. 53.05. RENEWAL OF PERMIT BY DESCENDANT OR SURVIVING
24-14 SPOUSE. If the surviving spouse or surviving descendant of a
24-15 holder of a food and beverage permit qualifies as the successor in
24-16 interest to the permit as provided in Section 11.10 of this code,
24-17 the descendant or surviving spouse may continue to renew the permit
24-18 by paying a renewal fee equal to the fee the permittee would be
24-19 required to pay had he lived.
24-20 Sec. 53.06. POSSESSION OF ALCOHOLIC BEVERAGE NOT COVERED BY
24-21 INVOICE. (a) No holder of a food and beverage permit, nor any
24-22 officer, agent, or employee of a holder, may possessor permit to be
24-23 possessed on the premises for which the permit is issued any
24-24 alcoholic beverage which is not covered by an invoice from the
24-25 supplier from whom the alcoholic beverage was purchased.
24-26 (b) A person who violates Subsection (a) of this section
24-27 commits a misdemeanor punishable by a fine of not more than $1,000
25-1 or by confinement in the county jail for no more than 30 days or by
25-2 both.
25-3 (c) No holder of a food and beverage permit, nor any
25-4 officer, agent, or employee of a holder, may knowingly possess or
25-5 permit to be possessed on the licensed premises any alcoholic
25-6 beverage which is not covered by an invoice from the supplier from
25-7 whom the alcoholic beverage was purchased.
25-8 (d) A person who violates Subsection (c) of this section
25-9 commits a misdemeanor punishable by a fine of not less than $500
25-10 nor more than $1,000 and by confinement in the county jail for not
25-11 less than 30 days nor more than two years. The commission or
25-12 administrator shall cancel the permit of any permittee found by the
25-13 commission or administrator, after notice and hearing, to have
25-14 violated or to have been convicted of violating Subsection (c) of
25-15 this section.
25-16 Sec. 53.07. PURCHASE AND TRANSPORTATION OF ALCOHOLIC
25-17 BEVERAGES. (a) All distilled spirits sold by a holder of a food
25-18 and beverage permit must be purchased from a holder of a local
25-19 distributor's permit in the county in which the premises of a food
25-20 and beverage permittee is located.
25-21 (b) If a holder of a food and beverage permit is in a county
25-22 where there are no local distributors, he may purchase alcoholic
25-23 beverages in the nearest county where local distributors are
25-24 located and may transport them to his premises provided that he is
25-25 also a holder of a beverage cartage permit. The transporter may
25-26 acquire the alcoholic beverages only on the written order of the
25-27 holder of the food and beverage permit. The alcoholic beverages
26-1 must be accompanied by a written statement furnished and signed by
26-2 the local distributor showing the name and address of the consignee
26-3 and consignor, the origin and destination of the shipment, and any
26-4 other information required by the commission or administrator. The
26-5 person in charge of the alcoholic beverages while they are being
26-6 transported shall exhibit the written statement to any
26-7 representative of the commission or any peace officer on demand,
26-8 and the statement shall be accepted by the representative or
26-9 officer as prima facie evidence of the lawful right to transport
26-10 the alcoholic beverages.
26-11 (c) If a food and beverage permittee holds a beverage
26-12 cartage permit and his premises are located in a regional airport
26-13 governed by a board, commission, or authority composed of members
26-14 from two or more counties, and there is no local distributor at the
26-15 airport, the mixed beverage permittee may purchase alcoholic
26-16 beverages from any local distributor in a trade area served by the
26-17 airport and transport them to his licensed premises. The
26-18 transportation of the beverages must be in accordance with
26-19 Subsection (b) of this section.
26-20 Sec. 53.08. REFILLING CONTAINERS PROHIBITED. No holder of a
26-21 food and beverage permit may refill with any substance a container
26-22 which contained distilled spirits on which the tax prescribed in
26-23 Section 201.03 of this code has been paid.
26-24 Sec. 53.081. SUBSTITUTION OF BRAND WITHOUT CONSENT OF
26-25 CONSUMER PROHIBITED. (a) The holder of a food and beverage permit
26-26 or a private club food and beverage permit, or the agent, servant,
26-27 or employee of a holder of a food and beverage permit or private
27-1 club food and beverage permit commits an offense if the holder,
27-2 agent, servant, or employee substitutes one brand of alcoholic
27-3 beverage for a brand that has been specifically requested by a
27-4 consumer, unless the consumer is notified and consents to the
27-5 substitution.
27-6 (b) A holder of a permit who violates Subsection (a) of this
27-7 section is liable in a civil suit to a consumer for damages
27-8 resulting from the substitution. The court shall award the
27-9 prevailing party in an action under this section attorney's fees
27-10 and costs of action.
27-11 (c) The commission shall provide written notice of the
27-12 provisions of this section to an applicant or permittee when
27-13 issuing an original or renewal food and beverage permit or private
27-14 club food and beverage permit on or after October 1, 1993.
27-15 Sec. 53.09. INVALIDATION OF STAMP. (a) A holder of a food
27-16 and beverage permit or any person employed by the holder who
27-17 empties a bottle containing distilled spirits on which the tax
27-18 prescribed in Section 201.03 of this code has been paid, shall
27-19 immediately after emptying the bottle invalidate the identification
27-20 stamp on the bottle in the manner prescribed by rule or regulation
27-21 of the commission or administration.
27-22 (b) Each holder of a food and beverage permit shall provide
27-23 at all service counters where distilled spirits are poured from
27-24 bottles the necessary facilities for the invalidation of
27-25 identification stamps on bottles so that persons emptying distilled
27-26 spirits bottles may immediately invalidate the identification
27-27 stamps on them.
28-1 (c) If an empty distilled spirits bottle has locked on it an
28-2 automatic measuring and dispensing devise of a type approved by the
28-3 commission or administrator, which prevents the refilling of the
28-4 bottle without unlocking the device and removing it from the
28-5 bottle, the identification stamp is not required to be invalidated
28-6 until immediately after the device has been unlocked and removed
28-7 from the bottle.
28-8 (d) A holder of a food and beverage permit or any of his
28-9 officers, agents, or employees who is found in possession of an
28-10 empty distilled spirits bottle which contained distilled spirits on
28-11 which the tax prescribed in Section 201.03 of this code has been
28-12 paid and on which the identification stamp has not been invalidated
28-13 in accordance with this section commits a separate offense for each
28-14 bottle so possessed.
28-15 Sec. 53.10. CONSUMPTION RESTRICTED TO PREMISES. (a) Except
28-16 as permitted by Subsection (b) of this section and by Subsection
28-17 (b) of Section 28.01, a food and beverage permittee may not sell an
28-18 alcoholic beverage to another permittee or to any other person
28-19 except for consumption on the seller's licensed premises.
28-20 (b) A food and beverage permittee may not permit any person
28-21 to take any alcoholic beverage purchased on the licensed premises
28-22 from the premises where sold, except that a person who orders wine
28-23 with food and has a portion of the open container remaining may
28-24 remove the open container of wine from the premises.
28-25 Sec. 53.11. BREACH OF PEACE. The commission or
28-26 administrator may suspend or cancel a food and beverage permit
28-27 after giving the permittee notice and the opportunity to show
29-1 compliance with all requirements of law for the retention of the
29-2 permit if it finds that a breach of the peace has occurred on the
29-3 licensed premises or on premises under the control of the permittee
29-4 and that the breach of the peace was not beyond the control of the
29-5 permittee and resulted from his improper supervision of persons
29-6 permitted to be on the licensed premises or on premises under his
29-7 control.
29-8 Sec. 53.12. SALE OF MALT BEVERAGES TO PERMITTEE. The sale
29-9 of malt beverages to a food and beverage permittee by a local
29-10 distributor's permittee or by a licensee authorized to sell them
29-11 for resale is subject to the provisions of Section 61.73 of this
29-12 code.
29-13 Sec. 53.13. ISSUANCE OF PERMIT FOR CERTAIN BOATS. (a) A
29-14 food and beverage permit may be issued for a boat if:
29-15 (1) the boat:
29-16 (A) carries at least 350 passengers;
29-17 (B) weighs at least 90 gross tons; and
29-18 (C) is at least 80 feet long; and
29-19 (2) the home port of the boat is in an area where the
29-20 sale of mixed beverages is legal.
29-21 (b) For purposes of Section 11.38 of this code, the home
29-22 port of the boat is treated as the location of the licensed
29-23 premises.
29-24 (c) A permit for a boat is inoperative in a dry area.
29-25 Sec. 53.14. MERGER OR CONSOLIDATION OF CORPORATIONS HOLDING
29-26 PERMITS ALLOWING THE SALE OR SERVICE OF MIXED BEVERAGES. When two
29-27 or more corporations which have substantially similar ownership and
30-1 which hold permits allowing the sale of mixed beverages issued by
30-2 the commission merge or consolidate and pay to the commission a
30-3 $100 fee for each licensed premises, the surviving corporation
30-4 shall succeed to all the privileges of such corporations in the
30-5 permits held by such corporations provided the surviving
30-6 corporation is qualified to hold such permits under this code. For
30-7 purposes of this section, two corporations have substantially
30-8 similar ownership if 90 percent or more of both corporations is
30-9 owned by the same persons.
30-10 Sec. 53.15. STAMPS. (a) A food and beverage permittee may
30-11 not possess or permit a person to possess on the premises distilled
30-12 spirits in any container that does not bear a serially numbered
30-13 identification stamp issued by the commission or other
30-14 identification approved by the commission.
30-15 (b) A holder of a local distributor's permit may not
30-16 knowingly sell, ship, or deliver distilled spirits in any container
30-17 that does not bear a serially numbered identification stamp issued
30-18 by the commission or other identification approved by the
30-19 commission.
30-20 (c) Identification stamps may be issued only to a holder of
30-21 a local distributor's permit who shall affix the stamps as
30-22 prescribed by the commission or administrator.
30-23 Sec. 53.16. PERMIT INELIGIBILITY. A food and beverage
30-24 permit may not be issued to:
30-25 (1) a person whose permit was canceled for a violation
30-26 of Section 28.06(c) of this code;
30-27 (2) a person who held an interest in a permit that was
31-1 canceled for a violation of Section 28.06(c) of this code:
31-2 (3) a person who held 50 percent or more of the stock,
31-3 directly or indirectly, of a corporation whose permit was canceled
31-4 for a violation of Section 28.06(c) of this code;
31-5 (4) a corporation, if a person holding 50 percent or
31-6 more of the corporation's stock, directly or indirectly, is
31-7 disqualified from obtaining a permit under Subdivision (3) of this
31-8 section; or
31-9 (5) a person who resides with a person who is barred
31-10 from obtaining a permit because of a violation of Section 28.06(c)
31-11 of this code.
31-12 Sec. 53.17. SUMMARY SUSPENSION. (a) The commission may
31-13 summarily suspend, without a hearing, the permit of a permittee who
31-14 fails to file a return or make a tax payment. The Administrative
31-15 Procedure and Texas Register Act (Article 6252-13a, Vernon's Texas
31-16 Civil Statutes) does not apply to the commission in the enforcement
31-17 and administration of this section.
31-18 (b) A suspension under this section takes effect on the
31-19 third day after the date the notice of suspension is provided.
31-20 Notice of suspension shall be sent by registered or certified mail
31-21 to the permittee or the permittee's agent, servant, or employee if
31-22 not given in person.
31-23 (c) The commission shall terminate a suspension made under
31-24 this section when the permittee files all required returns and
31-25 makes all required tax payments, including payment of penalties
31-26 that are due.
31-27 SECTION 24. Amend Title 3 of the Alcoholic Beverage Code by
32-1 adding a new Chapter 54 as follows:
32-2 CHAPTER 54. PRIVATE CLUB FOOD AND BEVERAGE PERMIT
32-3 Sec. 54.01. AUTHORIZED ACTIVITIES. (a) A private club food
32-4 and beverage permit authorizes alcoholic beverages belonging to
32-5 members of the club to be:
32-6 (1) stored, possessed, and mixed on the club premises;
32-7 and
32-8 (2) served for on-premises consumption only to members
32-9 of the club and their families and guests, by the drink or in
32-10 sealed, unsealed, or broken containers of any legal size.
32-11 (b) An applicant for or the holder of a private club food
32-12 and beverage permit may apply to the commission to have the
32-13 activities authorized under the permit restricted to the storage
32-14 and service of wine, beer, traditional port or sherry containing
32-15 not more than 24 percent alcohol by volume, and malt liquor for
32-16 members of the club. Except as otherwise provided by this chapter,
32-17 an applicant for or the holder of a permit that is restricted under
32-18 this subsection is subject to all the requirements of this chapter
32-19 and may conduct all authorized activities, and utilize all
32-20 ancillary permits consistent with the restrictions of this
32-21 subsection. The commission may adopt rules as necessary to
32-22 implement this subsection.
32-23 (c) The holder of a private club registration permit may
32-24 renew that permit as a private club food and beverage permit if the
32-25 private club registration permittee is otherwise qualified for
32-26 renewal upon payment of $100.
32-27 Sec. 54.02. FEES. (a) Each private club food and beverage
33-1 permittee shall pay an annual state fee for each separate place of
33-2 business.
33-3 (b) The annual state fee shall be computed at the election
33-4 of the permittee by using one of the following methods:
33-5 (1) A fee based on the highest number of members in
33-6 good standing during the year for which the permit fee is paid
33-7 according to the following rates:
33-8 0 to 250 members - $ 750
33-9 251 to 450 members - $1,350
33-10 451 to 650 members - $1,950
33-11 651 to 850 members - $2,550
33-12 851 to 1,000 members - $3,000
33-13 Over 1,000 members - $3 per member; or
33-14 (2) Except as provided by Subsection (d) of this
33-15 section, a fee for an original private club food and beverage
33-16 permit of $3,500, with a fee for the first renewal of a private
33-17 club food and beverage permit of $2,750, and a fee for the second
33-18 and each subsequent renewal of a private club food and beverage
33-19 permit of $2,000.
33-20 (c) A permittee who elects to compute the permit fee based
33-21 on Subsection (b)(1) of this section may not alter the method by
33-22 which the fee is calculated until the second renewal or a renewal
33-23 subsequent to the second renewal.
33-24 (d) A permit holder who has elected to restrict the holder's
33-25 authorized activities under the permit as provided by Section
33-26 54.01(b) of this code shall pay an original permit fee of $1,500
33-27 and an annual renewal fee of $1,500.
34-1 (e) No later than 90 days before the expiration of the year
34-2 for which the permit fee is paid, the permit holder may submit an
34-3 amended application with as much additional fee as is required
34-4 under the amended return.
34-5 (f) For a permittee who holds a valid permit on the
34-6 effective date of this subsection and who elects to pay a permit
34-7 fee as provided by Subsection (b)(2) of this section, the fee for
34-8 renewal of that permit is:
34-9 (1) $2,750 for the first annual renewal since the
34-10 original permit was issued; and
34-11 (2) $2,000 for a renewal subsequent to the first
34-12 annual renewal.
34-13 (g) Fees collected under this section shall be deposited in
34-14 the general revenue fund.
34-15 Sec. 54.03. QUALIFICATIONS FOR PERMIT. (a) A private club
34-16 food and beverage permit may only be issued to a club which meets
34-17 the requirements of this section.
34-18 (b) The club must be an association of persons, whether
34-19 unincorporated or incorporated under the laws of this state, for
34-20 the promotion of some common object.
34-21 (c) Members of the club must be passed on and elected by a
34-22 committee or board made up of members of the club, and no employee
34-23 of the club shall be eligible to serve on the membership committee
34-24 or board.
34-25 (d) No application for membership may be approved until the
34-26 application has been filed with the chairman of the membership
34-27 committee or board and approved by the chairman. The committee or
35-1 board may authorize the chairman or a designated agent to issue
35-2 preliminary memberships without approval of the committee or board
35-3 for a period not exceeding three days on the request of an
35-4 applicant for membership. A preliminary member has all of the
35-5 privileges of membership in the club. If the committee or board
35-6 does not approve the application before the expiration of the
35-7 preliminary membership, the club shall pay to the state the fee
35-8 required of temporary members under Section 54.09 of this code.
35-9 The club shall remit the fees and record and report preliminary
35-10 memberships as the commission or the administrator prescribes.
35-11 (e) At least 50 members of the club must reside in the
35-12 county in which the premises of the club are located, or at least
35-13 100 members must reside in an area comprised of the county in which
35-14 the premises of the club is located and an adjacent county or
35-15 counties.
35-16 (f) The club must own, lease, or rent a building, or space
35-17 in a building of such extent and character as in the judgment of
35-18 the commission is suitable and adequate for the club's members and
35-19 their guests.
35-20 (g) The club must provide regular food service adequate for
35-21 its members and their guests.
35-22 (h) Proceeds from the disposition of alcoholic beverages may
35-23 not exceed 75 percent of the gross revenues of the club premises.
35-24 (i) The club's total annual membership fees, dues, or other
35-25 income, excluding proceeds from the disposition of alcoholic
35-26 beverages but including service charges, must be sufficient to
35-27 defray the annual rental of its leased or rented premises or, if
36-1 the premises are owned by the club, sufficient to meet the taxes,
36-2 insurance, and repairs and the interest on any mortgage on the
36-3 premises.
36-4 (j) The club's affairs and management must be conducted by a
36-5 board of directors, executive committee, or similar body chosen by
36-6 the members at their annual meeting.
36-7 (k) No member or any officer, agent, or employee of the club
36-8 may be paid or receive any money as salary or other compensation,
36-9 directly or indirectly, from the disposition of alcoholic beverages
36-10 to members of the club and their guests, other than charges for the
36-11 service of the beverages.
36-12 Sec. 54.04. APPLICATIONS FOR PERMITS; RENEWALS. (a) A club
36-13 which meets the requirements set forth in Section 54.03 of this
36-14 code may apply for a private club food and beverage permit on forms
36-15 furnished by the commission and containing all information
36-16 necessary to insure compliance with the provisions of this code.
36-17 (b) Each applicant shall furnish a true copy of his
36-18 application to the commission's district office in the district in
36-19 which the premises sought to be covered by the permit are located
36-20 prior to the filing of the original application with the commission
36-21 at Austin.
36-22 (c) Applications for a renewal permit shall be filed with
36-23 the commission within 30 days prior to the expiration of the
36-24 current permit.
36-25 (d) All applications for renewal shall be certified by the
36-26 Comptroller of Public Accounts to be in compliance with
36-27 Sec. 54.03(h) in order to be renewed. If an applicant is not in
37-1 compliance with the requirements of Sec. 54.03(h) the applicant may
37-2 pay a fee of $100 and renew as a private club registration
37-3 permittee if the applicant is otherwise qualified for that permit.
37-4 Sec. 54.05. LOCKER SYSTEM. The locker system of storage is
37-5 a system whereby the club rents a locker to a member in which he
37-6 may store alcoholic beverages for consumption by himself and his
37-7 guests. All alcoholic beverages stored at a club under the locker
37-8 system must be purchased and owned by the member individually.
37-9 Sec. 54.06. POOL SYSTEM. (a) The pool system of storage
37-10 may be used in any area. Under this system all members of a pool
37-11 participate equally in the original purchase of all alcoholic
37-12 beverages. The replacement of all alcoholic beverages shall be
37-13 paid for either by money assessed equally from each member and
37-14 collected in advance or by the establishment of an alcoholic
37-15 beverages replacement account in which a designated percentage of
37-16 each charge for the service of alcoholic beverages, as determined
37-17 by the club's governing body, is deposited.
37-18 (b) If an alcoholic beverages replacement account is used:
37-19 (1) each service check shall have printed on it the
37-20 percentage of the service charge that is to be deposited in the
37-21 alcoholic beverages replacement account;
37-22 (2) no money other than the designated percentage of
37-23 service charges may be deposited in the replacement account;
37-24 (3) the replacement of alcoholic beverages may be paid
37-25 for only from money in the replacement account;
37-26 (4) the club's governing body may transfer from the
37-27 replacement account to the club's general operating account any
38-1 portion of the replacement account that the governing body
38-2 determines is in excess of the amount that will be needed to
38-3 purchase replacement alcoholic beverages, but it may make only one
38-4 transfer in a calendar month; and
38-5 (5) the club shall maintain a monthly record of the
38-6 total amount of alcoholic beverage service charges collected, the
38-7 amount deposited in the replacement account, the amount used to
38-8 purchase alcoholic beverages, and the amount transferred to the
38-9 club's general operating account.
38-10 Sec.54.07. DISPLAY OF PERMIT. A private club food and
38-11 beverage permit shall be displayed in a conspicuous place at all
38-12 times on the licensed premises.
38-13 Sec. 54.08. PURCHASE AND TRANSPORTATION OF ALCOHOLIC
38-14 BEVERAGES. (a) All distilled spirits sold by a club holding a
38-15 private club food and beverage permit must be purchased in this
38-16 state from a holder of a local distributor's permit.
38-17 (b) If the club holding the permit is in an area where there
38-18 are no local distributors, alcoholic beverages may be purchased in
38-19 any area where local distributors are located and may be
38-20 transported to the club premises if the club also holds a beverage
38-21 cartage permit. The transporter may acquire the alcoholic
38-22 beverages only on the written order of an officer or manager of the
38-23 club holding the permit. The alcoholic beverages must be
38-24 accompanied by a written statement furnished and signed by the
38-25 local distributor showing the name and address of the consignee and
38-26 consignor, the origin and destination of the shipment, and any
38-27 other information required by the commission or administrator. The
39-1 person in charge of the alcoholic beverages while they are being
39-2 transported shall exhibit the written statement to any
39-3 representative of the commission or any peace officer on demand,
39-4 and the statement shall be accepted by the representative or
39-5 officer as prima facie evidence of the lawful right to transport
39-6 the alcoholic beverages.
39-7 (c) If a private club food and beverage permittee holds a
39-8 beverage cartage permit and his premises are located in a regional
39-9 airport governed by a board, commission, or authority composed of
39-10 members from two or more counties, and there is no local
39-11 distributor at the airport, the private club food and beverage
39-12 permittee may purchase alcoholic beverages from any local
39-13 distributor in a trade area served by the airport and transport
39-14 them to his licensed premises. The transportation of the beverages
39-15 must be in accordance with Subsection (b) of this section.
39-16 Sec. 54.09. TEMPORARY MEMBERS. (a) The manager or other
39-17 person in charge of the club premises may allow a person to enter
39-18 the club if he possesses a valid temporary membership card which
39-19 has no erasures or changes and which has the temporary dates in a
39-20 prominent position on the card. A temporary member may enjoy the
39-21 club's services and privileges for a period of not more than three
39-22 days per invitation. A temporary member may bring not more than
39-23 three guests to the club and must remain in their presence while
39-24 they are at the club.
39-25 (b) At the time of his admission the temporary member shall
39-26 pay the club a fee of $3, which shall represent the fee payable by
39-27 the permittee to the state. All fees and payments from temporary
40-1 members shall be collected in cash or through credit cards approved
40-2 by the commission or administrator.
40-3 (c) Temporary memberships shall be governed by rules
40-4 promulgated by the commission consistent with the provisions of
40-5 this section.
40-6 Sec. 54.10. GUESTS. (a) Guests shall be limited to those
40-7 who accompany a member or temporary member onto the premises or for
40-8 whom a member, other than a temporary member, has made prior
40-9 arrangements with the management of the club.
40-10 (b) Except as provided in Subsection (c) of this section no
40-11 guest shall be permitted to pay, by cash or otherwise, for any
40-12 service of alcoholic beverages. Any charge for a service rendered
40-13 to a guest by the club must be billed by the club to the member or
40-14 temporary member sponsoring the guest. A club shall bill a member
40-15 other than a temporary member for the service of guests in the
40-16 club's regular billing cycle.
40-17 (c) The manager of a hotel who is a member of a private club
40-18 located within the hotel building may issue a guest card to a
40-19 patron of the hotel who is staying in the hotel overnight or
40-20 longer. The holder of the guest card may be served alcoholic
40-21 beverages in the club or the holder's hotel room. The guest may
40-22 not be allowed to pay, by cash or otherwise, at the time of service
40-23 in the private club. The charge for service shall be billed to the
40-24 hotel manager's account in the hotel and shall be collected by the
40-25 hotel manager along with other hotel charges, including the charge
40-26 for using the hotel room when the patron leaves the hotel. The
40-27 hotel records shall be available for inspection at the request of
41-1 the commission. If the club operates under the locker system a
41-2 guest shall be served from the locker rented to the manager of the
41-3 hotel.
41-4 (d) The commission shall promulgate rules necessary to
41-5 implement the provisions of this section.
41-6 Sec. 54.11. INSPECTION OF PREMISES. The acceptance of a
41-7 private club food and beverage permit constitutes an express
41-8 agreement and consent on the part of the private club that any
41-9 authorized representative of the commission or any peace officer
41-10 has the right and privilege to freely enter the club premises at
41-11 any time to conduct an investigation or to inspect the premises for
41-12 the purpose of performing a duty imposed by this code.
41-13 Sec. 54.12. INSPECTION OF BOOKS AND RECORDS. All books and
41-14 records pertaining to the operation of any permittee club,
41-15 including a current listing, correct to the last day of the
41-16 preceding month, of all members of the club who have liquor stored
41-17 on the club premises under either the locker or pool system shall
41-18 be made available to the commission or its authorized
41-19 representatives on request.
41-20 Sec. 54.13. UNREGISTERED CLUBS; PROHIBITED ACTIVITIES. (a)
41-21 No permittee, licensee, or any other person shall deliver,
41-22 transport, or carry an alcoholic beverage to, into, or on the
41-23 premises of any establishment, location, room, or place purporting
41-24 to be a club, or holding itself out to the public or any person as
41-25 a club or private club, unless the club holds a private club
41-26 registration permit or private club food and beverage permit.
41-27 (b) No person may store, possess, mix, or serve by the drink
42-1 or in broken or unsealed containers an alcoholic beverage on the
42-2 premises of any establishment, location, room, or place purporting
42-3 to be a club or private club unless the club holds a private club
42-4 registration permit or private club food and beverage permit.
42-5 (c) An alcoholic beverage stored or possessed on the
42-6 premises of any establishment, location, room or place purporting
42-7 to be a club, or holding itself out to the public or any person as
42-8 a club or private club, is declared to be an illicit beverage and
42-9 subject to seizure without a warrant unless a private club
42-10 registration permit has been issued for the premises, location,
42-11 room, or place.
42-12 Sec. 54.14. REMOVAL OF BEVERAGES FROM PREMISES. A private
42-13 club, irrespective of location or system of storage of alcoholic
42-14 beverages, may not permit any person to remove any alcoholic
42-15 beverages from the club premises, except as authorized by
42-16 Subsection (b) of Section 28.10 of this code.
42-17 Sec. 54.15. UNAUTHORIZED MEMBERSHIP. No private club food
42-18 and beverage permittee may allow its average membership to exceed
42-19 that authorized by its permit.
42-20 Sec. 54.16. CANCELLATION OR SUSPENSION OF PERMIT; GROUNDS.
42-21 (a) The commission or administrator may cancel or suspend for a
42-22 period of time not exceeding 60 days, after notice and hearing, an
42-23 original or renewal private club food and beverage permit on
42-24 finding that the permittee club has:
42-25 (1) sold, offered for sale, purchased, or held title
42-26 to any liquor so as to constitute an open saloon;
42-27 (2) refused to allow an authorized agent or
43-1 representative of the commission or a peace officer to come on the
43-2 club premises for the purposes of inspecting alcoholic beverages
43-3 stored on the premises or investigating compliance with the
43-4 provisions of this code;
43-5 (3) refused to furnish the commission or its agent or
43-6 representative when requested any information pertaining to the
43-7 storage, possession, serving, or consumption of alcoholic beverages
43-8 on club premises;
43-9 (4) permitted or allowed any alcoholic beverages
43-10 stored on club premises to be served or consumed at any place other
43-11 than on the club premises;
43-12 (5) failed to maintain an adequate building at the
43-13 address for which the private club food and beverage permit was
43-14 issued;
43-15 (6) caused, permitted, or allowed any member of a club
43-16 in a dry area to store any liquor on the club premises except under
43-17 the locker system;
43-18 (7) caused, permitted, or allowed any person to
43-19 consume or be served any alcoholic beverages on the club premise:
43-20 (A) at any time on Sunday between the hours of
43-21 1:15 a.m. and 10 a.m. or on any other day at any time between the
43-22 hours of 12:15 a.m. and 7 a.m., if the club does not have a private
43-23 club late hours permit, except that an alcoholic beverage served to
43-24 a customer between 10 a.m. and 12 noon on Sunday must be provided
43-25 during the service of food to the customer; or
43-26 (B) at any time on Sunday between the hours of 2
43-27 a.m. and 10 a.m. or on any other day at any time between the hours
44-1 of 2 a.m. and 7 a.m., if the club has a private club late hours
44-2 permit, except that an alcoholic beverage served to a customer
44-3 between 10 a.m. and 12 noon on Sunday must be provided during the
44-4 service of food to the customer; or
44-5 (8) violated or assisted, aided or abetted the
44-6 violation of any provision of this code.
44-7 (b) As used in Subsection (a)(1) of this section, the term
44-8 "open saloon" means any place where an alcoholic beverage
44-9 manufactured in whole or in part by distillation, or liquor
44-10 composed or compounded in part of distilled spirits, is sold or
44-11 offered for sale for beverage purposes by the drink or in broken or
44-12 unsealed containers, or a place where any of the liquors are sold
44-13 or offered for sale for on-premises consumption.
44-14 (c) After notice and an opportunity for a hearing, the
44-15 commission or administrator may cancel or suspend the private club
44-16 food and beverage permit of a permit holder who has restricted the
44-17 holder's authorized activities under the permit as provided by
44-18 Section 54.01(b) of the code on a determination that the permit
44-19 holder is storing or serving alcoholic beverages to club members
44-20 other than, or in addition to, wine, beer, and malt liquor.
44-21 Sec. 54.17. APPEALS FROM ORDERS OF COMMISSION OR
44-22 ADMINISTRATOR. An appeal from an order of the commission or
44-23 administrator refusing, canceling, or suspending a private club
44-24 food and beverage permit shall be taken to the district court of
44-25 the county in which the private club is located. The proceeding on
44-26 appeal shall be under the substantial evidence rule. The rules
44-27 applicable to ordinary civil suits apply, with the following
45-1 exceptions, which shall be construed literally:
45-2 (1) all appeals shall be perfected and filed within 30
45-3 days after the order, decision, or ruling of the commission or
45-4 administrator becomes final and appealable;
45-5 (2) all causes shall be tried before the judge within
45-6 10 days from the filing, and neither party shall be entitled to a
45-7 jury; and
45-8 (3) the order, decision, or ruling of the commission
45-9 or administrator may be suspended or modified by the district court
45-10 pending a trial on the merits, but the final judgment of the
45-11 district court shall not be modified or suspended pending appeal.
45-12 Sec. 54.18. AIDING OR ABETTING VIOLATION. A person who
45-13 commits, assists, aids, or abets a violation of this chapter
45-14 commits an offense.
45-15 Sec. 54.19. STAMPS. (a) A private club food and beverage
45-16 permittee may not possess or permit a person to possess on the
45-17 premises distilled spirits in any container that does not bear a
45-18 serially numbered identification stamp issued by the commissioner
45-19 other identification approved by the commission.
45-20 (b) A holder of a local distributor's permit may not
45-21 knowingly sell, ship or deliver distilled spirits in any container
45-22 that does not bear a serially numbered identification stamp issued
45-23 by the commission or other identification approved by the
45-24 commission.
45-25 (c) Identification stamps may be issued only to a holder of
45-26 a local distributor's permit who shall affix the stamps as
45-27 prescribed by the commission or administrator.
46-1 Sec. 54.20. PERMIT INELIGIBILITY. A private club food and
46-2 beverage permit may not be issued to:
46-3 (1) a person whose permit was canceled for a violation
46-4 of Section 28.06(c) of this code;
46-5 (2) a person who held an interest in a permit that was
46-6 canceled for a violation of Section 28.06(c) of this code;
46-7 (3) a person who held 50 percent or more of the stock,
46-8 directly or indirectly, of a corporation whose permit was canceled
46-9 for a violation of Section 28.06(c) of this code;
46-10 (4) a corporation, if a person holding 50 percent or
46-11 more of the corporation's stock, directly or indirectly, is
46-12 disqualified from obtaining a permit under Subdivision (3) of this
46-13 section; or
46-14 (5) a person who resides with a person who is barred
46-15 from obtaining a permit because of a violation of Section 28.06(c)
46-16 of this code.
46-17 Sec. 54.21. SUMMARY SUSPENSION (a) The commission may
46-18 summarily suspend, without a hearing, the permit of a permittee who
46-19 fails to file a return or make a tax payment. The Administrative
46-20 Procedure and Texas Register Act (Article 6252-13a, Vernon's Texas
46-21 Civil Statutes) does not apply to the commission in Vernon's Texas
46-22 Civil Statutes) does not apply to the commission in the enforcement
46-23 and administration of this section.
46-24 (b) A suspension under this section takes effect on the
46-25 third day after the date the notice of suspension is given. The
46-26 notice of suspension shall be sent by registered or certified mail
46-27 to the permittee, the permittee's agent, servant, or employee if
47-1 not given in person.
47-2 (c) The commission shall terminate a suspension made under
47-3 this section when the permittee files all required returns and
47-4 makes all required tax payments, including payment of penalties
47-5 that are due.
47-6 SECTION 25. Amend Title 3, Chapter 64, Section 64.01 of the
47-7 Alcoholic Beverage Code as follows:
47-8 Sec. 64.01. AUTHORIZED ACTIVITIES. (a) The holder of a
47-9 general distributor's license may:
47-10 (1) receive beer in unbroken original packages from
47-11 manufacturers and from general, local, or branch distributors;
47-12 (2) distribute or sell beer in the unbroken original
47-13 packages in which it is received to general, branch, or local
47-14 distributors, to local distributor permittees, to permittees or
47-15 licensees authorized to sell to ultimate consumers, to private club
47-16 food and beverage and private club registration permittees, to
47-17 authorized outlets located on any installation of the national
47-18 military establishment, or to qualified persons for shipment and
47-19 consumption outside the state; and
47-20 (3) serve free beer for consumption on the licensed
47-21 premises.
47-22 (b) All sales made under the authority of this section
47-23 except sales to general, local, or branch distributor's licensees
47-24 must be made in accordance with Sections 61.73 and 102.31 of this
47-25 code.
47-26 SECTION 26. Amend Title 3, Chapter 64, Section 64.03 of the
47-27 Alcoholic Beverage Code as follows:
48-1 Sec. 64.03. SALE OF BEER TO PRIVATE CLUBS. The holder of a
48-2 general distributor's license may sell and deliver beer to private
48-3 club food and beverage and private clubs located in wet areas
48-4 without having to secure a prior order. All sales made under the
48-5 authority of this section must be made in accordance with Sections
48-6 61.73 and 102.31 of this code.
48-7 SECTION 27. Amend Title 3, Chapter 65, Section 65.01 of the
48-8 Alcoholic Beverage Code as follows:
48-9 Sec. 65.01. AUTHORIZED ACTIVITIES. (a) The holder of a
48-10 local distributor's license may:
48-11 (1) receive beer in unbroken original packages from
48-12 manufacturers and from general, branch, or local distributors;
48-13 (2) sell and distribute beer in the unbroken original
48-14 packages in which it is received:
48-15 (A) to the following, if located in the county
48-16 of the licensee's residence: local distributor permittees,
48-17 permittees or licensees authorized to sell to ultimate consumers,
48-18 private club food and beverage and private club registration
48-19 permittees, authorized outlets located on any installation of the
48-20 national military establishment, or qualified persons for shipment
48-21 and consumption outside of the state; or
48-22 (B) to other licensed distributors in the state;
48-23 and
48-24 (3) serve free beer for consumption on the licensed
48-25 premises.
48-26 (b) All sales made under the authority of this section
48-27 except sales to general, local, or branch distributor's licensees
49-1 must be made in accordance with Sections 61.73 and 102.31 of this
49-2 code.
49-3 SECTION 28. Amend Title 3, Chapter 65, Section 65.03 of the
49-4 Alcoholic Beverage Code as follows:
49-5 Sec. 65.03. SALE OF BEER TO PRIVATE CLUBS. The holder of a
49-6 local distributor's license may sell and deliver beer to private
49-7 club food and beverage and private clubs located in wet areas
49-8 without having to secure a prior order. All sales made under the
49-9 authority of this section must be made in accordance with Sections
49-10 61.73 and 102.31 of this code.
49-11 SECTION 29. Amend Title 3, Chapter 66, Section 66.07 of the
49-12 Alcoholic Beverage Code as follows:
49-13 Sec. 66.07. SALE OF BEER TO PRIVATE CLUBS. The holder of a
49-14 branch distributor's license may sell and deliver beer to private
49-15 club food and beverage and private clubs located in wet areas
49-16 without having to secure a prior order. All sales made under the
49-17 authority of this section must be made in accordance with Sections
49-18 61.73 and 102.31 of this code.
49-19 SECTION 30. Amend Title 3, Chapter 74, Section 74.01(c) of
49-20 the Alcoholic Beverage Code as follows:
49-21 (c) A holder of a brewpub license must also hold a wine and
49-22 beer retailer's permit, a mixed beverage permit, a food and
49-23 beverage permit or a retail dealer's on-premise license.
49-24 SECTION 31. Amend Title 4, Chapter 102, Section 102.04 of
49-25 the Alcoholic Beverage Code as follows:
49-26 Sec. 102.04. PERSONS BARRED FROM INTEREST IN MIXED BEVERAGE
49-27 BUSINESS. (a) This section applies to any person who has an
50-1 interest in the business of a distiller-rectifier, brewer,
50-2 wholesaler, class B wholesaler, winery, wine bottler, or local
50-3 distributor's permittee. This section also applies to the agent,
50-4 servant, or employee of a person who has an interest in one of
50-5 those businesses.
50-6 (b) Except as permitted in Section 23.01 of this code, no
50-7 person to whom this section applies may"
50-8 (1) have a direct or indirect interest in the
50-9 business, premises, equipment, or fixtures of a food and beverage
50-10 or mixed beverage establishment;
50-11 (2) furnish or lend any money, service, or other thing
50-12 of value to a food and beverage or mixed beverage permittee or
50-13 guarantee the fulfillment of a financial obligation of a food and
50-14 beverage or mixed beverage permittee;
50-15 (3) enter or offer to enter into an agreement,
50-16 condition, or system which in effect amounts to the shipment and
50-17 delivery of alcoholic beverages on consignment;
50-18 (4) furnish, rent, lend, or sell to a food and
50-19 beverage or mixed beverage permittee any equipment, fixtures, or
50-20 supplies used in the selling or dispensing of alcoholic beverages;
50-21 (5) pay or make an allowance to a food and beverage or
50-22 mixed beverage permittee for a special advertising or distributing
50-23 service, or allow the permittee an excessive discount;
50-24 (6) offer to a food and beverage or mixed beverage
50-25 permittee a prize, premium, or other inducement, except as
50-26 permitted by Section 102.07 (b) of this code; or
50-27 (7) advertise in the convention program or sponsor a
51-1 function at a meeting or convention or a trade association of
51-2 holders of food and beverage or mixed beverage permits, unless the
51-3 trade association of holders of food and beverage or mixed beverage
51-4 permits, unless the trade association was incorporated before 1950.
51-5 SECTION 32. Amend Title 4, Chapter 102, Section 102.05 of
51-6 the Alcoholic Beverage Code as follows:
51-7 Sec. 102.05. HOTEL: MULTIPLE INTERESTS AUTHORIZED. A hotel
51-8 may hold a package store permit, food and beverage permit, mixed
51-9 beverage permit, wine and beer retailer's permit, and retail
51-10 dealer's license if the businesses are completely segregated from
51-11 each other.
51-12 SECTION 33. Amend Title 4, Chapter 102, Section 102.31(a) of
51-13 the Alcoholic Beverage Code as follows:
51-14 Sec. 102.31. CASH PAYMENT REQUIRED. (a) This section
51-15 applies to:
51-16 (1) the sale of beer or its containers or the original
51-17 packages in which it is received, packaged, or contained by a
51-18 distributor's licensee to a retail dealer's on-premise or
51-19 off-premise licensee, a wine and beer retailer's permittee, or a
51-20 wine and beer dealer's off-premise permittee; and
51-21 (2) the sale of malt beverages by a local
51-22 distributor's permittee, or by any licensee authorized to sell
51-23 those beverages for resale, to a food and beverage, mixed beverage
51-24 or daily temporary mixed beverage permittee.
51-25 SECTION 34. Amend Title 4, Chapter 102, Section 102.32(a)(2)
51-26 of the Alcoholic Beverage Code as follows:
51-27 (2) "Retailer" means a package store, wine only
52-1 package store, wine and beer retailer's, wine and beer retailer's
52-2 off-premise, food and beverage or mixed beverage permittee, any
52-3 other retailer, or a private club food and beverage or private club
52-4 registration permittee.
52-5 SECTION 35. Amend Title 4, Chapter 105, Section 105.03(b) of
52-6 the Alcoholic Beverage Code as follows:
52-7 (b) A food and beverage or mixed beverage permittee may sell
52-8 and offer for sale mixed beverages between 7 a.m. and midnight on
52-9 any day except Sunday. On Sunday he may sell mixed beverages
52-10 between midnight and 1:00 a.m. and between 10:00 a.m. and
52-11 midnight, except that an alcoholic beverage served to a customer
52-12 between 10 a.m. and 12 noon on Sunday must be provided during the
52-13 service of food to the customer.
52-14 SECTION 36. Amend Title 4, Chapter 108, Section 108.07 of
52-15 the Alcoholic Beverage Code as follows:
52-16 Sec. 108.07. ADVERTISING OF MIXED BEVERAGE ESTABLISHMENTS.
52-17 The provisions of this code applicable to outdoor advertising and
52-18 to advertising in or on the premises do not apply to establishments
52-19 for which a food and beverage or mixed beverage permit has been
52-20 issued. The commission or administrator shall promulgate
52-21 reasonable rules relating to these types <that type> of
52-22 advertising, and violation of any of those rules is a violation of
52-23 this code.
52-24 SECTION 37. Amend Title 4, Chapter 109, Section 109.59 of
52-25 the Alcoholic Beverage Code as follows:
52-26 Sec. 109.59. APPLICATION OF DISTANCE REQUIREMENTS. If at
52-27 the time an original alcoholic beverage permit or license is
53-1 granted for a premises the premises satisfies the requirements
53-2 regarding distance from schools, churches, and other types of
53-3 premises established in this code and any other law or ordinance of
53-4 the state or a political subdivision of the state in effect at that
53-5 time, the premises shall be deemed to satisfy the distance
53-6 requirements for all subsequent renewals of the license or permit.
53-7 On the sale or transfer of the premises or the business on the
53-8 premises in which a new original license or permit is required for
53-9 the premises, or where a mixed beverage permittee elects to renew
53-10 as a food and beverage permittee, or where a private club permittee
53-11 elects to renew as a private club food and beverage permittee the
53-12 premises shall be deemed to satisfy any distance requirements as if
53-13 the issuance of the new original permit or license were a renewal
53-14 of a previously held permit or license.
53-15 SECTION 38. Amend Title 4, Chapter 109, Section 109.60 of
53-16 the Alcoholic Beverage Code as follows:
53-17 Sec. 109.60. PURCHASES BY CERTAIN PERMITTEES. For the
53-18 convenience of the commission in performing its regulatory
53-19 functions and the comptroller in examining tax accounts of food and
53-20 beverage, private club food and beverage, mixed beverage and
53-21 private club permittees, each of these permittees is required to
53-22 purchase separately and individually for each licensed premise any
53-23 and all alcoholic beverages to be sold or served on the licensed
53-24 premises.
53-25 SECTION 39. This Act takes effect September 1, 1995.
53-26 SECTION 40. The importance of this legislation and the
53-27 crowded condition of the calendars in both houses create an
54-1 emergency and an imperative public necessity that the
54-2 constitutional rule requiring bills to be read on three several
54-3 days in each house to be suspended, and this rule is hereby
54-4 suspended.