By:  West                                     S.B. No. 541

                                A BILL TO BE ENTITLED

                                       AN ACT

 1-1     relating to alcoholic beverage seller training programs.

 1-2           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-3           SECTION 1.  Section 106.14, Alcoholic Beverage Code, is

 1-4     amended to read as follows:

 1-5           Sec. 106.14.  SELLER TRAINING PROGRAM [ACTIONS OF EMPLOYEE].

 1-6     (a)  A licensee or permittee that is found to have sold, served,

 1-7     dispensed, or delivered alcoholic beverages to a minor or an

 1-8     intoxicated person three or more times in any 24-month period shall

 1-9     require each employee of the holder to successfully complete a

1-10     seller training program approved by the commission.

1-11           (b)  A licensee or permittee subject to Subsection (a)

1-12     remains subject to Subsection (a) until the licensee or permittee

1-13     has operated for 24 consecutive months without a violation of

1-14     Section 11.61(b)(14), 61.71(a)(5), 61.71(a)(6), 106.03, or 106.06.

1-15           (c)  For purposes of this chapter and any other provision of

1-16     this code relating to the sales, service, dispensing, or delivery

1-17     of alcoholic beverages to a minor or an intoxicated person or the

1-18     consumption of alcoholic beverages by a minor or an intoxicated

1-19     person, the actions of an employee shall not be attributable to the

1-20     employer if:

1-21                 (1)  the employer requires its employees to complete

1-22     [attend] a commission-approved seller training program;

1-23                 (2)  the employee has passed a test adopted by the

 2-1     commission for [actually attended such] a training program; and

 2-2                 (3)  the employer has not directly or indirectly

 2-3     encouraged the employee to violate such law.

 2-4           (d)  The commission may by rule adopt additional objective

 2-5     criteria which must be met by an employer to qualfiy for the safe

 2-6     harbor provision set forth in Subsection (c).  Such criteria shall

 2-7     be readily verifiable and of such a nature as to demonstrate that

 2-8     the employer is making a genuine effort to prevent the sale,

 2-9     service, or delivery of alcoholic beverages to minors or

2-10     intoxicated persons or the consumption of alcoholic beverages by

2-11     minors or intoxicated persons on the premises.

2-12           (e) [(b)]  The commission shall adopt rules or policies

2-13     establishing the minimum requirements for approved seller training

2-14     programs.  Upon application, the commission shall approve seller

2-15     training programs meeting such requirements that are sponsored

2-16     either privately, by public community colleges, or by public or

2-17     private institutions of higher education that offer a four-year

2-18     undergraduate program and a degree or certificate in hotel or motel

2-19     management, restaurant management, or travel or tourism management.

2-20     The commission may charge an application fee to be set by the

2-21     commission in such amount as is necessary to defray the expense of

2-22     processing the application.

2-23           (f) [(c)]  The commission may approve under this section a

2-24     seller training program sponsored by a licensee or permittee for

2-25     the purpose of training its employees whether or not such employees

 3-1     are located at the same premises.  This subsection shall only apply

 3-2     to licensees or permittees who employ at least 100 [150] persons at

 3-3     any one time during the license or permit year who sell, serve, or

 3-4     prepare alcoholic beverages.

 3-5           (g) [(d)]  The commission may approve under this section a

 3-6     seller training program conducted by a hotel management company or

 3-7     a hotel operating company for the employees of five or more hotels

 3-8     operated or managed by the company if:

 3-9                 (1)  the seller training program is administered

3-10     through the corporate offices of the company; and

3-11                 (2)  the hotels employ a total of at least 200 persons

3-12     at one time during the license or permit year who sell, serve, or

3-13     prepare alcoholic beverages.

3-14           (h)  The commission may approve a seller training program

3-15     conducted by a franchisor for the employees of a franchise if:

3-16                 (1)  the seller training program is administered

3-17     through the corporate offices of the franchisor; and

3-18                 (2)  all of the licensees and permittees operating a

3-19     franchise employ 100 or more persons at one time during the license

3-20     or permit year who sell, serve, or prepare alcoholic beverages.

3-21           (i)  The commission may revoke an employee's seller training

3-22     certificate if the employee receives a citation for an offense

3-23     under Section 11.61(b)(14), 61.71(a)(5), 61.71(a)(6), 106.03, or

3-24     106.06.  An employee whose certificate is revoked may obtain a new

3-25     certificate after the date of the citation only if the employee

 4-1     completes an approved seller training program and passes the test

 4-2     required by the commission.

 4-3           SECTION 2.  (a)  This Act takes effect September 1, 1997.

 4-4           (b)  The requirement that an employee of a holder of an

 4-5     alcoholic beverage permit or license pass a test approved by the

 4-6     Texas Alcoholic Beverage Commission on completion of a seller

 4-7     training program as provided by Section 106.14, Alcoholic Beverage

 4-8     Code, as amended by this Act, applies only to an employee attending

 4-9     a seller training program after the effective date of this Act.

4-10           SECTION 3.  The importance of this legislation and the

4-11     crowded condition of the calendars in both houses create an

4-12     emergency and an imperative public necessity that the

4-13     constitutional rule requiring bills to be read on three several

4-14     days in each house be suspended, and this rule is hereby suspended.