ARIZONA HOUSE OF REPRESENTATIVES

Fifty-fifth Legislature

First Regular Session

House: COM DPA 10-0-0-0


HB 2050: liquor omnibus

Sponsor:  Representative Weninger, LD 17

House Engrossed

Overview

Makes various changes to statute relating to alcoholic beverages.

History

The Department of Liquor Licenses and Control (Department), which consists of the State Liquor Board and the Office of the Director (Director) of the Department regulates the manufacture, distribution and sale of liquor in this state through the issuance of 21 license types or series. A separate license is required for each specific type of business and is issued only after a satisfactory showing of the capability, qualifications and reliability of the applicant. With the exception of wholesaler, producer, government or club licensees, issuance also requires a satisfactory showing that the public convenience and best interest of the community will be substantially served by the issuance of the license (A.R.S. § 4-203).

Statute outlines the grounds for license revocation, suspension and refusal to renew which include, failing to take reasonable steps to protect the safety of a customer entering leaving or remaining on the licensed premises when the licensee knew or reasonably should have known of the danger to the person (A.R.S. § 4-210).

Provisions

1.   Requires the Director to relieve a licensee from a prior license reversion, unless a reverted license has been reissued, if a request for reversion relief is filed no later than two years after the reversion date. (Sec. 1)

2.   Allows the Director to issue both a microbrewery license and a farm winery license that are located on the same land to the same bona fide educational institution for the purposes of postsecondary educational instruction. (Sec. 2)

3.   Increases the cap that a licensed craft distiller may produce in a year for sale and delivery to an on-sale and off-sale retailer from 1,189 gallons to 3,566 gallons. (Sec. 3)

4.   Prohibits a joint premises licensee from allowing a person under the legal drinking age who is not accompanied by a spouse, parent, grandparent or legal guardian of legal drinking age, rather than an adult, to remain in the area of the joint premises. (Sec. 4)

5.   ☐ Prop 105 (45 votes)	     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes)	☐ Fiscal NoteExempts wine that is produced for personal or family use that is not for sale from laws governing alcoholic beverages. (Sec. 5)

6.   Allows wine to be removed from the premises where it was made for certain contests. (Sec. 5)

7.   Increases the amount of beer or cooler products that may be provided as samples to retail consumers at an on-sale premises from 12 ounces to 16 ounces. (Sec. 6)

8.   Allows a retailer to order, purchase or receive a spirituous liquor from a licensed craft distiller that produces less than the allowable amount as defined in statute for sale and delivery. (Sec. 7)

9.   Allows a representative of a producer or wholesaler that is participating at a special event to consume small amounts of the products on the premises of the event for quality control purposes. (Sec. 8)

10.  Stipulates an on-sale retailer licensee is not in violation of law relating to the service and pouring of a spirituous liquor if the licensee installs a functioning locking device or removes the bottle and lock from bottle service when a customer removes or tampers with the locking device. (Sec. 8)

11.  Provides a process, under specified circumstances, for license reversion for a retail licensee. (Sec. 9)

12.  Provides a process for certain licensees to sell or activate a license that has not been activated. (Sec. 10)

13.  Makes technical changes. (Sec. 1-8)

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17.                    HB 2050

18.  Initials PRB           Page 0 House Engrossed

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