By Yarbrough                                    H.B. No. 2788

      75R7213 PAM-F                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to regulation of storage facilities used by certain

 1-3     alcoholic beverage license or permit holders.

 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-5           SECTION 1.  Section 11.34(a), Alcoholic Beverage Code, is

 1-6     amended to read as follows:

 1-7           (a)  An applicant for a wholesaler's, class B wholesaler's,

 1-8     distiller's and rectifier's, brewer's, or winery permit may

 1-9     consolidate in a single application an [his] application for that

1-10     permit and an [his] application for[:]

1-11                 [(1)  private storage;]

1-12                 [(2)  storage in a public bonded warehouse;]

1-13                 [(3)]  a private carrier's permit[;] and

1-14                 [(4)]  any other permit the applicant [he] is qualified

1-15     to receive for the same location.

1-16           SECTION 2.  Section 11.38(d), Alcoholic Beverage Code, is

1-17     amended to read as follows:

1-18           (d)  The following are exempt from the fee authorized in this

1-19     section:

1-20                 (1)  agent's, airline beverage, passenger train

1-21     beverage, industrial, carrier's, private carrier's, private club

1-22     registration, local cartage, [storage,] and temporary wine and beer

1-23     retailer's permits;

1-24                 (2)  a wine and beer retailer's permit issued for a

 2-1     dining, buffet, or club car; and

 2-2                 (3)  a mixed beverage permit during the three-year

 2-3     period following the issuance of the permit.

 2-4           SECTION 3.  Section 11.40, Alcoholic Beverage Code, is

 2-5     amended to read as follows:

 2-6           Sec. 11.40.  NOTICE TO COUNTY JUDGE.  The commission shall

 2-7     give notice of all permit applications to the county judge of the

 2-8     county in which the applicant's place of business is located,

 2-9     unless the county judge waives the required notice in writing.

2-10     Notice is not required in the case of an application for a wine and

2-11     beer retailer's, wine and beer retailer's off-premise, temporary

2-12     wine and beer retailer's, carrier's, private carrier's, airline

2-13     beverage, industrial, agent's, manufacturer's agent's, or bonded

2-14     warehouse[, or storage] permit.

2-15           SECTION 4.  Section 46.01, Alcoholic Beverage Code, is

2-16     amended to read as follows:

2-17           Sec. 46.01.  AUTHORIZED ACTIVITIES.  The holder of a bonded

2-18     warehouse permit may store alcoholic beverages [liquor] for any

2-19     holder of [permittee who holds] a permit or license authorizing

2-20     [its] storage of alcoholic beverages in a public bonded warehouse.

2-21           SECTION 5.  Section 46.03, Alcoholic Beverage Code, is

2-22     amended to read as follows:

2-23           Sec. 46.03.  QUALIFICATIONS FOR PERMIT.  [(a)]  A bonded

2-24     warehouse permit may be issued to any public bonded warehouse that:

2-25                 (1)  derives at least 50 percent of its gross revenue

2-26     in a bona fide manner during each three-month period from the

2-27     storage of goods or merchandise other than alcoholic beverages

 3-1     [liquor]; and

 3-2                 (2)  is not located in a dry area.

 3-3           [(b)  A bonded warehouse permit may be issued to a public

 3-4     bonded warehouse described by Subsection (a)(1) of this section

 3-5     that is located in a dry area only for the storage of the wine of

 3-6     the holder of a winery permit who holds a permit authorizing its

 3-7     storage in a public bonded warehouse.]

 3-8           SECTION 6.  Section 46.04, Alcoholic Beverage Code, is

 3-9     amended to read as follows:

3-10           Sec. 46.04.  STORAGE INFORMATION.  The holder of a bonded

3-11     warehouse permit shall furnish such information concerning the

3-12     alcoholic beverages [liquor] stored and withdrawn as may be

3-13     required by the commission.

3-14           SECTION 7.  Section 64.06, Alcoholic Beverage Code, is

3-15     amended to read as follows:

3-16           Sec. 64.06.  WAREHOUSES; DELIVERY TRUCKS.  Section 109.71

3-17     [62.08] of this code applies to the use of warehouses and delivery

3-18     trucks by general distributor's licensees.

3-19           SECTION 8.  Section 65.06, Alcoholic Beverage Code, is

3-20     amended to read as follows:

3-21           Sec. 65.06.  WAREHOUSES; DELIVERY TRUCKS.  Section 109.71

3-22     [62.08] of this code applies to the use of warehouses and delivery

3-23     trucks by local distributor's licensees.

3-24           SECTION 9.  Section 66.09, Alcoholic Beverage Code, is

3-25     amended to read as follows:

3-26           Sec. 66.09.  WAREHOUSES; DELIVERY TRUCKS.  Section 109.71

3-27     [62.08] of this code applies to the use of warehouses and delivery

 4-1     trucks by branch distributor's licensees.

 4-2           SECTION 10.  Chapter 109, Alcoholic Beverage Code, is amended

 4-3     by adding Subchapter E to read as follows:

 4-4                      SUBCHAPTER E.  STORAGE FACILITIES

 4-5           Sec. 109.71.  STORAGE FACILITY:  BEER.  (a)  The holder of a

 4-6     manufacturer's or distributor's license may:

 4-7                 (1)  maintain or contract for a warehouse located off

 4-8     the licensed premises that is necessary for storing beer;

 4-9                 (2)  if the holder obtains written approval from the

4-10     commission, make deliveries from a warehouse without obtaining a

4-11     license for the warehouse premises; and

4-12                 (3)  store beer in a location that is covered by a

4-13     bonded warehouse permit.

4-14           (b)  The holder of a manufacturer's or distributor's license

4-15     may not import beer directly or indirectly to an unlicensed

4-16     warehouse or a location that is covered by a bonded warehouse

4-17     permit.

4-18           (c)  A warehouse, railway car, or other location where orders

4-19     for the sale of beer are taken or money from the sale of beer is

4-20     collected is not a storage facility for purposes of this section

4-21     and is a separate place of business for which a license is

4-22     required.  A truck operated by a licensed distributor for the sale

4-23     and delivery of beer to a licensed retail dealer at the dealer's

4-24     place of business is not a separate place of business for which a

4-25     license is required.

4-26           (d)  The commission may adopt rules governing the

4-27     transportation of beer, the sale of which is to be consummated at a

 5-1     licensed retailer's place of business.

 5-2           Sec. 109.72.  STORAGE FACILITY: LIQUOR.  (a)  The holder of a

 5-3     brewer's, distiller's and rectifier's, winery, or wine bottler's

 5-4     permit or any type of wholesaler's permit may store liquor at a

 5-5     storage facility that is located off the licensed premises or

 5-6     covered by a bonded warehouse permit.  The holder shall supply any

 5-7     information regarding the storage that is required by the

 5-8     commission or administrator.

 5-9           (b)  The holder may not import liquor directly or indirectly

5-10     to an unlicensed warehouse or a location that is covered by a

5-11     bonded warehouse permit.

5-12           (c)  A warehouse, railway car, or other location where orders

5-13     for the sale of liquor are taken or money from the sale of liquor

5-14     is collected is not a storage facility for purposes of this section

5-15     and is a separate place of business for which a permit is required.

5-16           (d)  The commission may adopt rules governing the

5-17     transportation and sale of liquor.

5-18           Sec. 109.73.  STORAGE FACILITY APPROVAL.  (a)  Before storing

5-19     any alcoholic beverages off the licensed premises, the holder of

5-20     the permit or license must:

5-21                 (1)  obtain written approval from the commission

5-22     authorizing the storage of alcoholic beverages off the licensed

5-23     premises; and

5-24                 (2)  post the approval with the permit or license at

5-25     all times in a conspicuous place on the licensed premises and at

5-26     the approved storage facility.

5-27           (b)  The storage facility must be located:

 6-1                 (1)  in the same county in which the premises covered

 6-2     by the basic permit or license is located;

 6-3                 (2)  on a site under the permit or license holder's

 6-4     control; and

 6-5                 (3)  in an area that permits the sale of the type of

 6-6     alcoholic beverage stored.

 6-7           (c)  If the request for a separate storage facility is

 6-8     granted, the commission or administrator, by rule, may attach any

 6-9     conditions regarding the use of the facility or transportation of

6-10     alcoholic beverages to the facility that the commission or

6-11     administrator considers proper to promote the purposes of this

6-12     code.

6-13           (d)  A storage facility authorized under this section is

6-14     treated as part of the licensed or permitted premises for the

6-15     purpose of the permit or license holder's consent to inspection

6-16     under Section 101.04 and other applicable provisions of this code.

6-17           SECTION 11.  (a)  Section 62.08, Alcoholic Beverage Code, is

6-18     repealed.

6-19           (b)  Chapter 45, Alcoholic Beverage Code, is repealed.

6-20           SECTION 12.  This Act takes effect September 1, 1997.

6-21           SECTION 13.  The importance of this legislation and the

6-22     crowded condition of the calendars in both houses create an

6-23     emergency and an imperative public necessity that the

6-24     constitutional rule requiring bills to be read on three several

6-25     days in each house be suspended, and this rule is hereby suspended.