Florida Senate - 2013                        COMMITTEE AMENDMENT
       Bill No. SB 1344
                                Barcode 662070                          
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                   Comm: FC            .                                
                  03/22/2013           .                                

       The Committee on Regulated Industries (Sachs) recommended the
    1         Senate Amendment (with title amendment)
    3         Delete everything after the enacting clause
    4  and insert:
    5         Section 1. Subsection (9) of section 316.1936, Florida
    6  Statutes, is amended to read:
    7         316.1936 Possession of open containers of alcoholic
    8  beverages in vehicles prohibited; penalties.—
    9         (9) A bottle of wine that has been resealed and is
   10  transported pursuant to s. 564.09 or a 64-ounce container of
   11  malt beverage that has been refilled and resealed and is
   12  transported pursuant to s. 563.0205 is not an open container
   13  under the provisions of this section.
   14         Section 2. Subsections (22) through (24) are added to
   15  section 561.01, Florida Statutes, to read:
   16         561.01 Definitions.—As used in the Beverage Law:
   17         (22) “Package store” means a licensed place of business in
   18  which alcoholic beverages are sold in sealed containers as
   19  received from the distributor for consumption off the premises
   20  only.
   21         (23) “Sales by the package” or “package sales” means sales
   22  of sealed containers for consumption off the premises.
   23         (24) “Sealed container” means a container that is factory
   24  sealed by a licensed manufacturer and has not been opened.
   25         Section 3. Section 561.221, Florida Statutes, is amended to
   26  read:
   27         561.221 Licensing of manufacturers and distributors as
   28  vendors and of vendors as manufacturers; conditions and
   29  limitations.—
   30         (1)(a) Nothing contained in s. 561.22, s. 561.42, or any
   31  other provision of the Beverage Law prohibits the ownership,
   32  management, operation, or control of not more than three
   33  vendor’s licenses for the sale of alcoholic beverages by a
   34  manufacturer of wine who is licensed and engaged in the
   35  manufacture of wine in this state, even if such manufacturer is
   36  also licensed as a distributor; provided that no such vendor’s
   37  license shall be owned, managed, operated, or controlled by any
   38  licensed manufacturer of wine unless the licensed premises of
   39  the vendor are situated on property contiguous to the
   40  manufacturing premises of the licensed manufacturer of wine.
   41         (b) The Division of Alcoholic Beverages and Tobacco shall
   42  issue permits to a certified Florida Farm Winery to conduct
   43  tasting and sales of wine produced by certified Florida Farm
   44  Wineries at Florida fairs, trade shows, expositions, and
   45  festivals. The certified Florida Farm Winery shall pay all entry
   46  fees and shall have a winery representative present during the
   47  event. The permit is limited to the length of the event.
   48         (2) Notwithstanding s. 561.22, s. 561.42, or any other
   49  provision of the Beverage Law, the division may is authorized to
   50  issue vendor’s licenses to a manufacturer of malt beverages,
   51  even if such manufacturer is also licensed as a distributor, for
   52  the sale of alcoholic beverages, whether by the drink or in
   53  sealed containers, on property consisting of a single complex,
   54  for consumption only on the vendor’s licensed premises within
   55  such complex if all of the following requirements are met:
   56         (a) The complex comprises at least 25 enclosed acres of
   57  land.
   58         (b) The enclosed area has a controlled entrance and exit.
   59         (c) The property has permanent exhibitions and a variety of
   60  recreational activities.
   61         (d) At least 1 million visitors annually pay admission fees
   62  to the complex.
   63         (e) The complex includes, which property shall include a
   64  brewery and such other structures that which promote the brewery
   65  and the tourist industry of the state. However, such
   66         (f) The property is not may be divided by no more than one
   67  public street or highway.
   68         (3)(a) Notwithstanding s. 561.22, s. 561.42, or any other
   69  provision provisions of the Beverage Law, any vendor licensed in
   70  this state may be licensed as a manufacturer of malt beverages
   71  and referred to as a brewpub upon a finding by the division
   72  that:
   73         1. The vendor will be engaged in brewing malt beverages at
   74  a single location and in an amount that which will not exceed
   75  5,000 10,000 kegs, as defined in s. 563.01, per year. For
   76  purposes of this subsection, the term “keg” means 15.5 gallons.
   77         2. The malt beverages so brewed will be sold to consumers
   78  for consumption on the vendor’s licensed premises or on
   79  contiguous licensed premises owned by the vendor.
   80         (b) Any vendor that which is also licensed as a
   81  manufacturer of malt beverages under pursuant to this subsection
   82  is shall be responsible for applicable reports pursuant to ss.
   83  561.50 and 561.55 with respect to the amount of beverage
   84  manufactured each month and shall pay applicable excise taxes
   85  thereon to the division by the 10th day of each month for the
   86  previous month.
   87         (c) It is shall be unlawful for a any licensed distributor
   88  of malt beverages or an any officer, agent, or other
   89  representative thereof to discourage or prohibit a any vendor
   90  licensed as a manufacturer under this subsection from offering
   91  malt beverages brewed for consumption on the licensed premises
   92  of the vendor.
   93         (d) It is shall be unlawful for a any manufacturer of malt
   94  beverages or an any officer, agent, or other representative
   95  thereof to take any action to discourage or prohibit a any
   96  distributor of the manufacturer’s product from distributing such
   97  product to a licensed vendor that which is also licensed as a
   98  manufacturer of malt beverages under pursuant to this
   99  subsection.
  100         (4) Notwithstanding s. 561.22, s. 561.42, or any other
  101  provision of the Beverage Law, the division may issue vendor’s
  102  licenses to a manufacturer of malt beverages licensed and
  103  operating in this state as a startup brewery, as defined in s.
  104  563.01, for the sale of malt beverages pursuant to s. 563.0205.
  105         Section 4. Subsection (1) of section 561.5101, Florida
  106  Statutes, is amended to read:
  107         561.5101 Come-to-rest requirement; exceptions; penalties.—
  108         (1) For purposes of inspection and tax-revenue control, all
  109  malt beverages, except those manufactured and sold under a
  110  vendor’s license issued pursuant to s. 561.221(3), must come to
  111  rest at the licensed premises of an alcoholic beverage
  112  wholesaler in this state before being sold to a vendor by the
  113  wholesaler. The prohibition contained in this subsection does
  114  not apply to the shipment of malt beverages commonly known as
  115  private labels. The prohibition contained in this subsection
  116  does shall not prevent a manufacturer from shipping malt
  117  beverages for storage at a bonded warehouse facility if,
  118  provided that such malt beverages are distributed as provided in
  119  this subsection or to an out-of-state entity.
  120         Section 5. Section 563.01, Florida Statutes, is amended to
  121  read:
  122         563.01 Definitions Definition.—As used in this chapter, the
  123  term: terms
  124         (1) “Beer” or and “malt beverage” means a mean all brewed
  125  beverage beverages containing malt.
  126         (2) “Brewery” means a manufacturer of malt beverages.
  127         (3) “Brewpub” means a vendor licensed in this state to sell
  128  alcoholic beverages which is also licensed as a manufacturer of
  129  malt beverages pursuant to s. 561.221(3).
  130         (4) “Keg” means 15.5 gallons.
  131         (5) “Startup brewery” means a brewery licensed and
  132  operating in this state which produces no more than 2,500 kegs
  133  of malt beverages on its premises per year.
  134         Section 6. Subsection (2) of section 563.02, Florida
  135  Statutes, is amended to read:
  136         563.02 License fees; vendors; manufacturers and
  137  distributors.—
  138         (2) A Each manufacturer engaged in the business of brewing
  139  only malt beverages which is not a brewpub must shall pay an
  140  annual state license tax of $3,000 for each plant or branch he
  141  or she operates may operate. A However, Each manufacturer
  142  engaged in the business of brewing less than 10,000 kegs of malt
  143  beverages as a brewpub must annually for consumption on the
  144  premises pursuant to s. 561.221(3) shall pay an annual state
  145  license tax of $500 for each plant or branch he or she operates.
  146         Section 7. Section 563.0205, Florida Statutes, is created
  147  to read:
  148         563.0205 Startup breweries.—
  149         (1) A startup brewery licensed and operating in this state
  150  which is also licensed as a vendor under s. 561.221(4) may sell
  151  malt beverages produced on its premises:
  152         (a) By the drink for on-premises consumption; or
  153         (b) In a 64-ounce sealed container for off-premises
  154  consumption if the container was:
  155         1. Sealed at the factory; or
  156         2. Refilled and resealed on the premises of the vendor as
  157  securely as the original seal, but it must be visible that the
  158  seal has been broken and the container opened or tampered with.
  159         (2) Sales described in subsection (1) are authorized only
  160  on private property contiguous to the brewery premises licensed
  161  in this state and included on the sketch or diagram defining the
  162  licensed premises submitted with the brewery’s application for a
  163  manufacturer’s license. All sketch or diagram revisions by the
  164  brewery require approval from the Division of Alcoholic
  165  Beverages and Tobacco of the Department of Business and
  166  Professional Regulation verifying that all malt beverage retail
  167  locations operated by the brewery are owned or leased by the
  168  brewery and are on property contiguous to the brewery’s
  169  production building in this state.
  170         (3) A startup brewery may not sell malt beverages as a
  171  vendor under this section except in face-to-face sales
  172  transactions with consumers who purchase for personal use rather
  173  than for resale.
  174         (4) A startup brewery shall report to the Division of
  175  Alcoholic Beverages and Tobacco of the Department of Business
  176  and Professional Regulation within 5 days after producing more
  177  than 2,500 kegs of malt beverages on its premises in a year.
  178  After the brewery reaches this production limitation, it ceases
  179  to be a startup brewery, and any sales to consumers at the
  180  brewery’s licensed premises for off-premises consumption are
  181  prohibited upon the expiration of its manufacturer’s license.
  182         (5) A startup brewery is responsible for applicable reports
  183  pursuant to ss. 561.50 and 561.55 with respect to the amount of
  184  malt beverages manufactured each month, and it must pay
  185  applicable excise taxes thereon to the Division of Alcoholic
  186  Beverages and Tobacco of the Department of Business and
  187  Professional Regulation by the 10th day of each month for the
  188  previous month. A startup brewery shall also provide the
  189  Division of Alcoholic Beverages and Tobacco of the Department of
  190  Business and Professional Regulation a copy of each federal
  191  excise tax report that it submits to the Federal Government, if
  192  any, with all supporting documents during the reporting period
  193  under subsection (4).
  194         (6) A startup brewery may not ship, arrange to ship, or
  195  deliver any of its malt beverages to consumers within the state.
  196  However, a startup brewery may ship, arrange to ship, or deliver
  197  its malt beverages to wholesale distributors of malt beverages,
  198  state or federal bonded warehouses, or exporters.
  199         (7) The Division of Alcoholic Beverages and Tobacco of the
  200  Department of Business and Professional Regulation may adopt
  201  rules to administer this section.
  202         Section 8. Subsection (14) of section 563.022, Florida
  203  Statutes, is amended to read:
  204         563.022 Relations between beer distributors and
  205  manufacturers.—
  207         (a) This subsection applies to:
  208         1. A manufacturer;
  209         2. Any officer, director, agent, or employee of a
  210  manufacturer; or
  211         3. An affiliate of any manufacturer, regardless of whether
  212  the affiliation is corporate or by management, direction, or
  213  control.
  214         (b) Except as provided in paragraph (c), an no entity or
  215  person specified in paragraph (a) may not have an interest in
  216  the license, business, assets, or corporate stock of a licensed
  217  distributor nor may shall such entity sell directly to any
  218  vendor in this state other than to vendors who are licensed
  219  pursuant to s. 561.221(2), (3), or (4) 561.221(2).
  220         (c) Any entity described in paragraph (a) may financially
  221  assist a proposed distributor in acquiring ownership of the
  222  distributorship through participation in a limited partnership
  223  arrangement in which the entity described in paragraph (a) is a
  224  limited partner and the proposed distributor seeking to acquire
  225  ownership of the distributorship is the general partner. Such
  226  limited partnership arrangements may exist for no longer than 8
  227  years from their creation and may shall not be extended or
  228  renewed by means of a transfer of full ownership to an entity
  229  described in paragraph (a) followed by the creation of a new
  230  limited partnership or by any other means. In any such
  231  arrangement for financial assistance, the federal basic permit
  232  and distributor’s license issued by the division shall be issued
  233  in the name of the distributor and not in the name of an entity
  234  described in paragraph (a). If, after the creation of a limited
  235  partnership pursuant to this paragraph, an entity described in
  236  paragraph (a) acquires title to the distributorship that which
  237  was the subject of the limited partnership, the entity described
  238  in paragraph (a) shall divest itself of the distributorship
  239  within 180 days, and the distributorship shall be ineligible for
  240  limited partnership financing for 20 years thereafter. An No
  241  entity described in paragraph (a) may not shall enter into a
  242  limited partnership arrangement with a licensed distributor
  243  whose distributorship existed and was operated prior to the
  244  creation of such limited partnership arrangement.
  245         (d) Nothing in The Beverage Law may not shall be construed
  246  to prohibit a manufacturer from shipping products to or between
  247  its breweries without a distributor’s license.
  248         (e) Notwithstanding the provisions of paragraph (b), any
  249  entity named in paragraph (a) may have an interest in the
  250  license, business, assets, or corporate stock of a licensed
  251  distributor for a maximum of 180 consecutive days as the result
  252  of a judgment of foreclosure against the distributor or for 180
  253  consecutive days after acquiring title pursuant to the written
  254  request of the licensed distributor. Under either of these
  255  circumstances, manufacturer ownership of an interest in the
  256  license, business, assets, or corporate stock of a licensed
  257  distributor shall only be for 180 days and only for the purpose
  258  of facilitating an orderly transfer of the distributorship to an
  259  owner not affiliated with a manufacturer.
  260         (f) Notwithstanding the provisions of paragraph (b), any
  261  entity named in paragraph (a) may have a security interest in
  262  the inventory or property of its licensed distributors to secure
  263  payment for the said inventory or other loans for other
  264  purposes.
  265         Section 9. Subsection (6) of section 563.06, Florida
  266  Statutes, is amended, and present subsection (7) of that section
  267  is amended and renumbered as subsection (8), to read:
  268         563.06 Malt beverages; imprint on individual container;
  269  size of containers; exemptions.—
  270         (6) All malt beverages packaged in individual containers
  271  sold or offered for sale by vendors at retail in this state
  272  shall be in individual containers containing 64 ounces or
  273  smaller containers containing no more than 32 ounces of such
  274  malt beverages.; provided, however, that nothing contained in
  275         (7) This section does not shall affect malt beverages
  276  packaged in bulk, or in kegs or in barrels, or in any individual
  277  container containing 1 gallon or more of such malt beverage
  278  regardless of individual container type.
  279         (8)(7) Any person, firm, or corporation, or any of its
  280  agents, officers, or employees which violates, violating any of
  281  the provisions of this section commits, shall be guilty of a
  282  misdemeanor of the first degree, punishable as provided in s.
  283  775.082 or s. 775.083; and the license, if any, is shall be
  284  subject to revocation or suspension by the division.
  285         Section 10. A manufacturer of malt beverages which holds
  286  active licenses as a manufacturer and as a vendor which were
  287  issued under the Beverage Law before October 1, 2013, and whose
  288  terms have not expired as of that date may continue to operate
  289  under those licenses until the term of the license as a
  290  manufacturer expires.
  291         Section 11. This act shall take effect October 1, 2013.
  293  ================= T I T L E  A M E N D M E N T ================
  294         And the title is amended as follows:
  295         Delete everything before the enacting clause
  296  and insert:
  297                        A bill to be entitled                      
  298         An act relating to alcoholic beverages; amending s.
  299         316.1936, F.S.; exempting certain resealed containers
  300         of malt beverages from open container prohibitions;
  301         amending s. 561.01, F.S.; providing definitions
  302         relating to package sales; amending s. 561.221, F.S.;
  303         revising provisions relating to the licensing of
  304         manufacturers of malt beverages as vendors and of
  305         vendors as manufacturers of malt beverages;
  306         authorizing the issuance of vendor’s licenses to
  307         manufacturers of malt beverages licensed as startup
  308         breweries; amending s. 561.5101, F.S.; revising
  309         exceptions to the come-to-rest requirement; amending
  310         s. 563.01, F.S.; providing definitions relating to
  311         regulation of the manufacture, distribution, and sale
  312         of beer or malt beverages; amending s. 563.02, F.S.;
  313         revising requirements for license fees based on
  314         whether a manufacturer of malt beverages operates as a
  315         brewpub; creating s. 563.0205, F.S.; providing
  316         requirements for startup breweries to manufacture and
  317         sell their products; providing reporting requirements
  318         and requirements relating to payment of state and
  319         federal excise taxes on malt beverages; providing
  320         rulemaking authority; amending s. 563.022, F.S.;
  321         revising exceptions relating to prohibited interests
  322         for manufacturers of malt beverages; conforming a
  323         cross-reference to changes made by the act; amending
  324         s. 563.06, F.S.; authorizing the sale of malt
  325         beverages at retail in containers of a specified size;
  326         providing for applicability relating to certain
  327         manufacturers licensed before the effective date of
  328         this act; providing an effective date.