S.B. No. 1932
  relating to authorizing secondary wine sales; authorizing an
  administrative penalty.
         SECTION 1.  Title 4, Alcoholic Beverage Code, is amended by
  adding Chapter 111 to read as follows:
         Sec. 111.001.  DEFINITIONS. In this chapter:
               (1)  "Permitted restaurant" means a restaurant that
                     (A)  a mixed beverage permit, a wine and malt
  beverage retailer's permit, or a private club registration permit;
                     (B)  a food and beverage certificate.
               (2)  "Wine collection seller" means a person who:
                     (A)  is at least 21 years of age;
                     (B)  does not hold a license or permit under this
  code; and
                     (C)  is:
                           (i)  an administrator, executor, receiver,
  or other fiduciary who receives and sells wine in execution of the
  person's fiduciary capacity;
                           (ii)  a creditor who receives or takes
  possession of wine as security for, or in payment of, debt, in whole
  or in part;
                           (iii)  a public officer or court official
  who levies on wine under order or process of any court or magistrate
  to sell the wine in satisfaction of the order or process; or
                           (iv)  any other person who does not hold or
  have an interest in a permit or a license or in the business of a
  permit or license holder under this code and is not engaged in the
  business of selling alcoholic beverages.
         Sec. 111.002.  AUTHORIZED ACTIVITIES. A wine collection
  seller may sell to a permitted restaurant wine that is:
               (1)  lawfully owned or possessed by the wine collection
               (2)  in an original container sealed by the
  manufacturer; and
               (3)  manufactured not less than 20 years before the
  date the wine collection seller sells the wine to a permitted
  permitted restaurant may purchase wine from a wine collection
  seller and sell that wine to an ultimate consumer for on-premises
  consumption in accordance with the permit held by the permitted
         Sec. 111.004.  RECORDS. (a)  A permitted restaurant that
  purchases wine under this chapter shall maintain a record of each
  purchase. A permitted restaurant shall maintain the record until
  the second anniversary of the date the restaurant sells the wine to
  an ultimate consumer.
         (b)  The record, at a minimum, must include:
               (1)  the name, address, and phone number of the wine
  collection seller who sold the wine to the permitted restaurant;
               (2)  a description of the wine;
               (3)  details of the transaction between the wine
  collection seller and the permitted restaurant, including the brand
  name and quantity of containers purchased by the permitted
               (4)  the date of the purchase; and
               (5)  any documents that support the provenance of the
         (c)  A permitted restaurant shall make a record of a wine
  purchase made under this chapter available upon request to the
  ultimate consumer who purchases the wine. The ultimate consumer
  may request the records either before or after the sale to the
  consumer.  The permitted restaurant may redact from the record the
  price the restaurant paid for the wine.
         (d)  The commission shall assess an administrative penalty
  in the amount of $500 against a permitted restaurant for each
  violation of this section.
         Sec. 111.005.  TAX. Sales of wine by a wine collection
  seller to a permitted restaurant under this chapter are exempt from
  the taxes imposed under Subchapter A, Chapter 201.
         SECTION 2.  As soon as practicable after the effective date
  of this Act, the Texas Alcoholic Beverage Commission shall adopt
  rules necessary to implement Chapter 111, Alcoholic Beverage Code,
  as added by this Act.
         SECTION 3.  This Act takes effect September 1, 2023.
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
         I hereby certify that S.B. No. 1932 passed the Senate on
  April 26, 2023, by the following vote:  Yeas 24, Nays 6, one
  present not voting.
  Secretary of the Senate    
         I hereby certify that S.B. No. 1932 passed the House on
  May 18, 2023, by the following vote:  Yeas 132, Nays 10, one
  present not voting.
  Chief Clerk of the House