By Maxey                                              H.B. No. 1921
       74R7035 CAG-D
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the authorized activities of a holder of a brewpub
    1-3  license.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Section 31.01, Alcoholic Beverage Code, is
    1-6  amended to read as follows:
    1-7        Sec. 31.01.  AUTHORIZED ACTIVITIES.  (a) The holder of a
    1-8  caterer's permit may sell mixed beverages on a temporary basis at a
    1-9  place other than the premises for which the holder's mixed beverage
   1-10  permit or brewpub license is issued only in:
   1-11              (1)  an area where the sale of mixed beverages has been
   1-12  authorized by a local option election; or
   1-13              (2)  an area that:
   1-14                    (A)  is adjacent to a county with a home-rule
   1-15  municipality with a population of more than 350,000:
   1-16                          (i)  that has in its charter a provision
   1-17  allowing for limited purpose annexation for zoning;
   1-18                          (ii)  that has previously disannexed
   1-19  territory annexed for limited purposes; and
   1-20                          (iii)  that allows the sale of mixed
   1-21  beverages;
   1-22                    (B)  does not comprise an entire county; and
   1-23                    (C)  is not within the corporate limits of a
   1-24  municipality.
    2-1        (b)  The holder of a brewpub license who also holds a
    2-2  caterer's permit may sell only the type of mixed beverages that the
    2-3  holder is allowed to sell under any license or permit, other than
    2-4  the caterer's permit, held by the holder of a brewpub license.
    2-5        SECTION 2.  Sections 31.03(a) and (c), Alcoholic Beverage
    2-6  Code, are amended to read as follows:
    2-7        (a)  A caterer's permit may be issued only to the holder of a
    2-8  mixed beverage permit or a brewpub license.
    2-9        (c)  The provisions of this code which apply to the
   2-10  application for and issuance of other permits or licenses do not
   2-11  apply to the application for and issuance of a caterer's permit.
   2-12        SECTION 3.  Section 31.04, Alcoholic Beverage Code, is
   2-13  amended to read as follows:
   2-14        Sec. 31.04.  APPLICATION OF PROVISIONS REGULATING MIXED
   2-15  BEVERAGE PERMITS OR BREWPUB LICENSES.  (a)  A caterer's permit is
   2-16  auxiliary to the primary mixed beverage permit or brewpub license
   2-17  held by the permittee or licensee.
   2-18        (b)  The restrictions and regulations which apply to the sale
   2-19  of mixed beverages on the licensed premises also apply to the sale
   2-20  under the authority of a caterer's permit, and any act that is
   2-21  prohibited on the licensed premises is also prohibited when the
   2-22  permittee or licensee is operating other than on the licensed
   2-23  premises under a caterer's permit.
   2-24        (c)  Any act which if done on the licensed premises would be
   2-25  a ground for cancellation or suspension of the mixed beverage
   2-26  permit or brewpub license is a ground for cancellation of both the
   2-27  mixed beverage permit or brewpub license and the caterer's permit
    3-1  if done when the permittee or licensee is operating away from the
    3-2  licensed premises under the authority of the caterer's permit.
    3-3        (d)  All receipts from the sale of mixed beverages under the
    3-4  authority of the caterer's permit shall be treated for tax purposes
    3-5  as if they were made under the authority of the primary permit.
    3-6        (e)  If the primary permit ceases to be valid for any reason,
    3-7  the caterer's permit ceases to be valid.
    3-8        (f)  All provisions of this code applicable to the primary
    3-9  permit and not inconsistent with this chapter apply to a caterer's
   3-10  permit.
   3-11        SECTION 4.  Sections 74.01(a) and (c), Alcoholic Beverage
   3-12  Code, are amended to read as follows:
   3-13        (a)  A holder of a brewpub license for a brewpub located in a
   3-14  wet area, as that term is described by Section 251.71 of this code,
   3-15  may:
   3-16              (1)  manufacture, brew, bottle, can, package, and label
   3-17  malt liquor, ale, and beer;
   3-18              (2)  sell or offer without charge, on the licensed
   3-19  premises <of the brewpub>, to ultimate consumers for consumption on
   3-20  or off those premises, malt liquor, ale, or beer produced by the
   3-21  holder, in or from a lawful container, to the extent the sales or
   3-22  offers are allowed under the holder's other permits or licenses;
   3-23  <and>
   3-24              (3)  sell food on the premises of the holder's
   3-25  breweries; and
   3-26              (4)  sell malt liquor, ale, or beer produced by the
   3-27  holder under the conditions of a caterer's permit.
    4-1        (c)  A holder of a brewpub license must also hold a wine and
    4-2  beer retailer's permit, a mixed beverage permit, or a retail
    4-3  dealer's on-premise license and may hold a caterer's permit.
    4-4        SECTION 5.  Section 74.04, Alcoholic Beverage Code, is
    4-5  amended to read as follows:
    4-6        Sec. 74.04.  LICENSE APPLICATION, RENEWAL, AND MAINTENANCE;
    4-7  RECORDS; LICENSE ISSUANCE.  All provisions of this code that apply
    4-8  to a brewpub licensee's wine and beer retailer's permit, mixed
    4-9  beverage permit, caterer's permit, or retail dealer's on-premise
   4-10  license also apply to the brewpub license.
   4-11        SECTION 6.  This Act takes effect September 1, 1995.
   4-12        SECTION 7.  The importance of this legislation and the
   4-13  crowded condition of the calendars in both houses create an
   4-14  emergency and an imperative public necessity that the
   4-15  constitutional rule requiring bills to be read on three several
   4-16  days in each house be suspended, and this rule is hereby suspended.