NDT C.S.H.B. 251 75(R)BILL ANALYSIS


LICENSING & ADMINISTRATIVE PROCEDURES
C.S.H.B. 251
By: H. Cuellar
3-24-97
Committee Report (Substituted)



BACKGROUND 

Texas law prohibits distributors of imported beer, ale, and malt liquor
from storing these products in Texas when they are to be sold out of
state.  This situation causes great inconvenience to people importing
these goods from Mexico, for sale in states other than Texas. 


PURPOSE

This bill would create a liquor license for the storage of imported beer,
ale, and malt liquor. 


RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any
additional rulemaking authority to a state officer, department, agency or
institution. 

SECTION BY SECTION ANALYSIS

Section 1: Amends Subtitle B, Title 3, Alcoholic Beverage Code by adding
Chapter 75 as   follows: 

Chapter 75.  STORAGE LICENSE

Section 75.01.  Authorized Activities.
a) Authorizes a storage license holder to import beer, ale, and malt
liquor and to store these goods in a county in which a manufacturer's
warehouse license is in effect; limits the permit to storage only in a wet
area (as defined by Section 251.71); makes the permit available only to a
person with an out-of-state manufacturer's license or brewer's permit;
states that the permit is only for goods for sale outside the state. 
b) Provides that only those with carrier permits may transport these
goods, and that all provisions of Chapter 41 apply under this chapter.  

Section 75.02.  Records.
a) Requires that each storage license holder make and keep daily records
of transactions; provides that the administrator or commission may require
that other records also be made and kept.   
b) Requires that all records be available for the commission's inspection
for at least four years. 
c) Provides that failing to keep records, falsifying an entry, or failing
to make an entry is each a violation of this code. 

Section 75.03.  Premises.
Prevents the storage license holder from sharing the storage space with
other license holders; specifies that the storage license holder may not
designate a portion of the space for exclusion under Section 11.49(b).   

 Section 75.04.  Fee.
Provides that the annual fee for a storage license is $200.

Section 75.05.  Licensing.
States that the licensing provisions of Chapter 61 apply to storage
licenses, except for Sections 61.42(a)(5) and (8); allows the commission
or administrator to suspend a license for up to 60 days, if after notice
and hearing it is determined that during either that license period or the
one immediately before, the license holder violated a provision of this
code or a rule of the commission.  

Section 2: Amends Section 61.31(a), Alcoholic Beverage Code by adding the
activity of   storage to the list of licenses for which a person may
apply. 

Section 3: Effective date:  September 1, 1997.

Section 4: Emergency clause. 


COMPARISON OF ORIGINAL TO SUBSTITUTE

The substitute allows for the holder of a custom broker's license issued
under 19 U.S.C. Section 1641(b) to import and store beer, ale, and malt
liquor in a county with a population of 200,000 or less that borders the
United Mexican States, the original did not provide for this.