By Madla S.B. No. 1481
74R8228 CAG-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the use of a caterer's permit in a historical brewing
1-3 compound.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Chapter 31, Alcoholic Beverage Code, is amended
1-6 by adding Section 31.06 to read as follows:
1-7 Sec. 31.06. USE OF PERMIT IN HISTORICAL BREWING COMPOUND.
1-8 (a) In this section, "historical brewing compound" means an
1-9 enclosed, restricted-access area in a county with a population of
1-10 over 1.18 million, which area constitutes a facility operated for
1-11 the education or entertainment of the public involving the display
1-12 of recognized historical structures located within the premises of
1-13 a holder of a manufacturer's permit and related food service and
1-14 amusement activities.
1-15 (b) The authority to use a caterer's permit in a historical
1-16 brewing compound is limited to the holders of those permits who in
1-17 their operations under their primary mixed beverage permits do not
1-18 use the privilege granted by Section 11.49(b)(2) of this code to
1-19 share premises, employees, business facilities, and services.
1-20 (c) Holders of caterer's permits meeting the requirements of
1-21 Subsection (b) of this section and complying with all other
1-22 provisions of this section may use their caterer's permits for
1-23 indefinite periods anywhere in the historical brewing compound even
1-24 though the ownership of the buildings and grounds on which the
2-1 permit is to be used may be in an entity that, either directly or
2-2 by affiliation, has an ownership interest in the holder of a
2-3 manufacturer's license or a brewer's permit or both; provided,
2-4 however, that the caterer shall not give any preferential treatment
2-5 to the brand or brands in which the site owner may have an
2-6 interest.
2-7 (d) For purposes of this section, preferential treatment is
2-8 any practice by the caterer that, on the basis of information
2-9 officially reported to the commission, results in sales of
2-10 beverages identifiable with the site owner made by the caterer in
2-11 the historical brewing compound during a calendar year that in the
2-12 aggregate exceed by more than five percent the aggregate percentage
2-13 share of the same brand or brands sold during the prior calendar
2-14 year within the county in which the historical brewing compound is
2-15 located; provided, however, that the computation may exclude sales
2-16 made on those occasions when a caterer's permit is used to provide
2-17 service for a private party where specific beverages are ordered
2-18 and the total charges for those beverages are paid by only one
2-19 person or entity.
2-20 (e) The consideration to be paid by the caterer's permit
2-21 holder to the owner or operator of the historical brewing compound
2-22 for the right to sell alcoholic beverages therein may not be made
2-23 dependent to any degree on the sales volume of any specific brand
2-24 or brands or on the number of containers of beverages identified
2-25 with any particular producer.
2-26 (f) The wilful sharing of employees, business machines, or
2-27 services between the holder of the caterer's permit and the owner
3-1 of the historical brewing compound or any affiliate of the owner is
3-2 grounds for immediate revocation of the authority of the caterer's
3-3 permit holder to provide service in the historical brewing
3-4 compound.
3-5 (g) The commission or administrator may suspend for not more
3-6 than 60 days or cancel the primary mixed beverage permit of any
3-7 holder of a caterer's permit who violates this section.
3-8 (h) If a historical brewing compound owner having, either
3-9 directly or by affiliation, an ownership interest in the holder of
3-10 a manufacturer's license or a brewer's permit or both is found to
3-11 have violated or to have conspired with any other permittee or
3-12 licensee to violate this section, the commission or administrator
3-13 may suspend for not more than 60 days the permit or license or both
3-14 or may revoke the authority of any holder of a caterer's permit to
3-15 provide service in the historical brewing compound.
3-16 (i) Any permittee or licensee whose business or property is
3-17 injured by a violation of this section may bring suit in any
3-18 district court in the county in which the violation is alleged to
3-19 have occurred to require enforcement by injunctive relief or to
3-20 recover three times the actual damages incurred or for both
3-21 injunctive relief and treble damages. The court in its discretion
3-22 may allow the prevailing party its court costs and reasonable and
3-23 necessary attorney's fees incurred in the defense or prosecution of
3-24 such an action.
3-25 SECTION 2. The importance of this legislation and the
3-26 crowded condition of the calendars in both houses create an
3-27 emergency and an imperative public necessity that the
4-1 constitutional rule requiring bills to be read on three several
4-2 days in each house be suspended, and this rule is hereby suspended,
4-3 and that this Act take effect and be in force from and after its
4-4 passage, and it is so enacted.