By: Sheffield of Bell (Senate Sponsor - Carona) H.B. No. 2818

(In the Senate - Received from the House May 9, 2013; May 10, 2013, read first time and referred to Committee on Business and Commerce; May 17, 2013, reported adversely, with favorable Committee Substitute by the following vote: Yeas 8, Nays 0; May 17, 2013, sent to printer.)

COMMITTEE SUBSTITUTE FOR H.B. No. 2818 By: Carona

A BILL TO BE ENTITLED

AN ACT

relating to certain local option elections and the permits and licenses that can be issued in areas that approved the sale of certain alcoholic beverages in a local option election.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Chapter 25, Alcoholic Beverage Code, is amended by adding Section 25.14 to read as follows:

Sec. 25.14. ISSUANCE OF PERMIT AUTHORIZED FOR CERTAIN AREAS. (a) Notwithstanding any other provision of this code, a permit under this chapter may be issued for a premises in an area in which the voters have approved the following alcoholic beverage ballot issues in a local option election:

(1) "The legal sale of beer and wine for off-premise consumption only."; and

(2) either:

(A) "The legal sale of mixed beverages."; or

(B) "The legal sale of mixed beverages in restaurants by food and beverage certificate holders only."

(b) A premises that qualifies for a permit under this chapter because it is located in an area that approved the ballot issue described by Subsection (a)(2)(B) may be issued a permit under this chapter only if the premises is issued a food and beverage certificate.

SECTION 2. Chapter 69, Alcoholic Beverage Code, is amended by adding Section 69.17 to read as follows:

Sec. 69.17. ISSUANCE OF LICENSE AUTHORIZED FOR CERTAIN AREAS. (a) Notwithstanding any other provision of this code, a license under this chapter may be issued for a premises in an area in which the voters have approved the following alcoholic beverage ballot issues in a local option election:

(1) "The legal sale of beer and wine for off-premise consumption only."; and

(2) either:

(A) "The legal sale of mixed beverages."; or

(B) "The legal sale of mixed beverages in restaurants by food and beverage certificate holders only."

(b) A premises that qualifies for a license under this chapter because it is located in an area that approved the ballot issue described by Subsection (a)(2)(B) may be issued a license under this chapter only if the premises is issued a food and beverage certificate.

SECTION 3. Chapter 70, Alcoholic Beverage Code, is amended by adding Section 70.04 to read as follows:

Sec. 70.04. ISSUANCE OF LICENSE AUTHORIZED FOR CERTAIN AREAS. (a) Notwithstanding any other provision of this code, a license under this chapter may be issued for a premises in an area in which the voters have approved the following alcoholic beverage ballot issues in a local option election:

(1) "The legal sale of beer and wine for off-premise consumption only."; and

(2) either:

(A) "The legal sale of mixed beverages."; or

(B) "The legal sale of mixed beverages in restaurants by food and beverage certificate holders only."

(b) A premises that qualifies for a license under this chapter because it is located in an area that approved the ballot issue described by Subsection (a)(2)(B) may be issued a license under this chapter only if the premises is issued a food and beverage certificate.

SECTION 4. Section 251.72, Alcoholic Beverage Code, is amended to read as follows:

Sec. 251.72. CHANGE OF STATUS. Except as provided in Sections [Section] 251.73 and 251.80 [of this code], an authorized voting unit that has exercised or may exercise the right of local option retains the status adopted, whether absolute prohibition or legalization of the sale of alcoholic beverages of one or more of the various types and alcoholic contents on which an issue may be submitted under the terms of Section 501.035, Election Code, until that status is changed by a subsequent local option election in the same authorized voting unit.

SECTION 5. Section 251.80, Alcoholic Beverage Code, is amended by amending Subsection (a) and adding Subsection (a-1) to read as follows:

(a) A local option election held in a justice precinct shall be held in the territory comprising the justice precinct at the time the election is held. If a justice precinct has established [Whenever] a local option status as a result of a previous local option election [is once legally put into effect as the result of the vote] in the [a] justice precinct, such status shall remain in effect until the status is changed as the result of a subsequent local option election [vote] in the [same territory that comprised the] precinct [when such status was established]. If the boundaries of the justice precinct have changed since such status was established, [the commissioners court shall, for purposes of] a subsequent local option election will only change the local option status in the territory that is part of the justice [, define the boundaries of the original] precinct on the date of the subsequent local option election[. A local option election may be held within the territory defined by the commissioners court as constituting such original precinct].

(a-1) For purposes of a local option election, a newly created justice precinct shall be considered to have not held a local option election on the sale of alcoholic beverages. Any local option status established in the territory comprising the new justice precinct that resulted from a local option election held in the territory when the territory was part of another justice precinct remains in effect until that status is changed by a local option election held in the new justice precinct.

SECTION 6. Section 251.80(c), Alcoholic Beverage Code, is repealed.

SECTION 7. Sections 25.14, 69.17, and 70.04, Alcoholic Beverage Code, as added by this Act, apply to a permit or license issued on or after the effective date of this Act regardless of when the local option election approving the sale of mixed beverages was held.

SECTION 8. This Act takes effect September 1, 2013.

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