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A BILL TO BE ENTITLED
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AN ACT
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relating to requiring certain alcoholic beverage permittees to be |
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the primary American source of supply for certain alcoholic |
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beverages. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 37.10, Alcoholic Beverage Code, is |
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amended to read as follows: |
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Sec. 37.10. RESTRICTION AS TO SOURCE OF SUPPLY. (a) No |
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holder of a nonresident seller's permit may solicit, accept, or |
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fill an order for distilled spirits or wine from a holder of any |
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type of wholesaler's or winery permit unless the nonresident seller |
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is the primary American source of supply for the brand of distilled |
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spirits or wine that is ordered. |
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(b) In this section, "primary American source of supply" |
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means the distiller, the producer, the owner of the commodity at the |
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time it becomes a marketable product, the bottler, or the exclusive |
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agent of any of those. To be the "primary American source of |
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supply" the nonresident seller must be the first source, that is, |
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the manufacturer or the source closest to the manufacturer, in the |
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channel of commerce from whom the product can be secured by Texas |
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[American] wholesalers and Texas wineries. Except as provided by |
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Subsection (c), a product may have only one primary American source |
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of supply to Texas. |
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(c) A product may have more than one primary American source |
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of supply to Texas if the product is a wine that is bottled or |
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produced outside of the United States. |
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SECTION 2. Subsections (a) and (d), Section 101.671, |
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Alcoholic Beverage Code, are amended to read as follows: |
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(a) Before an authorized permittee may ship distilled |
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spirits or wine into the state or sell distilled spirits or wine |
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within the state, the permittee must register the distilled spirits |
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or wine with the commission and provide proof that the permittee is |
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the primary American source of supply for purposes of Section |
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37.10. Except for rare or vintage wine that is acquired at auction |
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and for which no certificate is available, the [The] registration |
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application must include a certificate of label approval issued by |
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the United States Alcohol and Tobacco Tax and Trade Bureau for the |
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product. Rare or vintage wine purchased at auction and registered |
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by the commission under this subsection must comply with all other |
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provisions of this code, including provisions regarding the sale, |
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purchase, importation, and distribution of that wine. |
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(d) The commission by rule may [shall] establish procedures |
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for accepting: |
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(1) federal certificates of label approval for |
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registration under this section; and |
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(2) proof, such as a letter of authorization, that a |
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permittee is the primary American source of supply for purposes of |
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Section 37.10. |
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SECTION 3. This Act takes effect September 1, 2013. |