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A BILL TO BE ENTITLED
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AN ACT
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relating to the promotion and sale of wine produced in this state; |
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creating a farm winery permit; authorizing a fee. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subtitle A, Title 3, Alcoholic Beverage Code, is |
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amended by adding Chapter 17 to read as follows: |
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CHAPTER 17. FARM WINERY PERMIT |
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Sec. 17.001. DEFINITION. In this chapter, "Texas wine" |
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means wine that is: |
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(1) at least 75 percent by volume fermented juice of |
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grapes or other fruit grown in this state or a lesser percentage |
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established by the commissioner of agriculture under Section |
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12.039, Agriculture Code; and |
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(2) bottled in this state. |
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Sec. 17.002. QUALIFICATION FOR PERMIT. A farm winery |
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permit may be issued only to the holder of a winery permit who |
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produces Texas wine. |
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Sec. 17.003. AUTHORIZED ACTIVITIES. In addition to the |
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activities authorized for a winery permit holder under Chapter 16, |
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the holder of a farm winery permit may: |
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(1) operate up to five locations off of the winery |
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premises where the permit holder may sell Texas wine to ultimate |
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consumers for consumption on the location's premises; and |
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(2) sell on the winery premises or at a location |
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described by Subdivision (1) Texas wine to ultimate consumers in |
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unbroken packages for consumption off the winery's or location's |
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premises in an amount not to exceed 250,000 gallons annually. |
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Sec. 17.004. SALES AT OFF-SITE LOCATION. (a) The |
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commission shall adopt rules to implement Section 17.003, including |
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rules that: |
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(1) require the farm winery permit holder to notify |
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the commission of each location operated by the permit holder under |
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Section 17.003(1); |
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(2) establish a procedure to verify the wet or dry |
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status of each location described by Subdivision (1); and |
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(3) require the farm winery permit holder to provide |
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any other information the commission determines necessary. |
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(b) The provisions of this code applicable to the sale of |
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Texas wine on the permitted premises of the holder of a farm winery |
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permit apply to the sale of Texas wine at a location authorized by |
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Section 17.003(1). |
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Sec. 17.005. PERMIT FEE. (a) The fee for a farm winery |
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permit may not exceed $500 annually. |
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(b) The revenue attributable to the fees collected under |
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Subsection (a) shall be deposited as follows: |
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(1) 50 percent to the credit of the farm winery |
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marketing assistance fund; and |
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(2) the remainder to the credit of the general revenue |
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fund. |
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Sec. 17.006. RULES. The commission shall adopt rules to |
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administer this chapter. |
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SECTION 2. Chapter 110, Alcoholic Beverage Code, is amended |
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by adding Subchapter C to read as follows: |
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SUBCHAPTER C. FARM WINERY MARKETING ASSISTANCE FUND |
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Sec. 110.101. FARM WINERY MARKETING ASSISTANCE FUND. (a) |
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The farm winery marketing assistance fund is a dedicated account in |
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the general revenue fund. |
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(b) The fund consists of: |
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(1) legislative appropriations to the commission or |
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the Department of Agriculture for a purpose of the fund; |
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(2) money from farm winery permit fees; |
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(3) interest or other earnings on money credited to or |
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allocable to the fund; and |
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(4) gifts, grants, including grants from the federal |
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government, and donations received for the fund. |
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(c) The Department of Agriculture may use money in the fund |
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only to promote and market farm wineries permitted under Chapter |
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17. |
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(d) The commission may use money in the fund necessary to |
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implement and administer Chapter 17, including money necessary for |
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the initial implementation of the chapter. |
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SECTION 3. (a) As soon as practicable after the effective |
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date of this Act, the Texas Alcoholic Beverage Commission shall |
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adopt rules necessary to implement the changes in law made by this |
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Act. |
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(b) Chapter 17, Alcoholic Beverage Code, as added by this |
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Act, takes effect on the effective date of the rules adopted by the |
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Texas Alcoholic Beverage Commission under Section 17.006, |
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Alcoholic Beverage Code, as added by this Act. |
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(c) Rules adopted under Section 17.006, Alcoholic Beverage |
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Code, as added by this Act, must provide a reasonable amount of time |
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after the effective date of the rules for a holder of a farm winery |
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permit issued before the effective date of the rules to begin |
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manufacturing wine and otherwise come into compliance with the |
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rules. |
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SECTION 4. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2025. |