Florida Senate - 2017                          SENATOR AMENDMENT
       Bill No. CS for CS for CS for SB 166
       
       
       
       
       
       
                                Ì474444/Î474444                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
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                 Floor: WD/2R          .                                
             05/04/2017 01:22 PM       .                                
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       Senator Steube moved the following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete everything after the enacting clause
    4  and insert:
    5         Section 1. Section 565.03, Florida Statutes, is amended to
    6  read:
    7         565.03 License fees; manufacturers, distributors, brokers,
    8  sales agents, and importers of alcoholic beverages; vendor
    9  licenses and fees; craft distilleries; distilleries.—
   10         (1) As used in this section, the term:
   11         (a) “Branded product” means any distilled spirits product
   12  manufactured on site, which requires a federal certificate and
   13  label approval by the Federal Alcohol Administration Act or
   14  federal regulations.
   15         (b) “Craft distillery” means a licensed distillery that has
   16  notified the division in writing of its decision to qualify as a
   17  craft distillery and that:
   18         1. Produces 250,000 75,000 or fewer gallons per calendar
   19  year of distilled spirits on its premises; and
   20         2. Sells up to 50,000 gallons per calendar year of
   21  distilled spirits to consumers at its souvenir gift shop in
   22  accordance with this section and has notified the division in
   23  writing of its decision to qualify as a craft distillery.
   24         (c) “Distillery” means a manufacturer of distilled spirits.
   25         (2)(a) A distillery or a craft distillery authorized to do
   26  business under the Beverage Law shall pay an annual state
   27  license tax for each plant or branch operating in the state, as
   28  follows:
   29         1. A distillery If engaged in the business of manufacturing
   30  distilled spirits:, a state license tax of $4,000.
   31         2. A craft distillery engaged in the business of
   32  manufacturing distilled spirits: $1,000.
   33         3.2.A distillery If engaged in the business of rectifying
   34  and blending spirituous liquors and nothing else:, a state
   35  license tax of $4,000.
   36         (b) Persons licensed under this section who are in the
   37  business of distilling spirituous liquors may also engage in the
   38  business of rectifying and blending spirituous liquors without
   39  the payment of an additional license tax.
   40         (c) A craft distillery licensed under this section may sell
   41  up to 50,000 gallons per calendar year to consumers, at its
   42  souvenir gift shop, branded products distilled on its premises
   43  in this state in factory-sealed containers that are filled at
   44  the distillery for off-premises consumption. Such sales are
   45  authorized only on private property contiguous to the licensed
   46  distillery premises in this state and included on the sketch or
   47  diagram defining the licensed premises submitted with the
   48  distillery’s license application. All sketch or diagram
   49  revisions by the distillery shall require the division’s
   50  approval verifying that the souvenir gift shop location operated
   51  by the licensed distillery is owned or leased by the distillery
   52  and on property contiguous to the distillery’s production
   53  building in this state.
   54         1. A craft distillery may not sell any factory-sealed
   55  individual containers of spirits except in face-to-face sales
   56  transactions with consumers who are making a purchase of no more
   57  than six individual containers of each branded product:
   58         a. Two individual containers of each branded product;
   59         b. Three individual containers of a single branded product
   60  and up to one individual container of a second branded product;
   61  or
   62         c. Four individual containers of a single branded product.
   63         2. Each container sold in face-to-face transactions with
   64  consumers must comply with the container limits in s. 565.10,
   65  per calendar year for the consumer’s personal use and not for
   66  resale and who are present at the distillery’s licensed premises
   67  in this state.
   68         3. A craft distillery must report to the division within 5
   69  days after it reaches the production limitations provided in
   70  paragraph (1)(b). Any retail sales to consumers at the craft
   71  distillery’s licensed premises are prohibited beginning the day
   72  after it reaches the production limitation.
   73         4. A craft distillery may not ship or arrange to ship any
   74  of its distilled spirits to consumers and may sell and deliver
   75  only to consumers within the state in a face-to-face transaction
   76  at the distillery property. However, a craft distiller licensed
   77  under this section may ship, arrange to ship, or deliver such
   78  spirits to manufacturers of distilled spirits, wholesale
   79  distributors of distilled spirits, state or federal bonded
   80  warehouses, and exporters.
   81         5. Except as provided in subparagraph 6., it is unlawful to
   82  transfer a distillery license for a craft distillery that
   83  produces 75,000 or fewer gallons per calendar year of distilled
   84  spirits on its premises or any direct or indirect ownership
   85  interest in such license to an individual or entity that has a
   86  direct or indirect ownership interest in any distillery licensed
   87  in this state; in another state, territory, or country; or by
   88  the United States government to manufacture, blend, or rectify
   89  distilled spirits for beverage purposes.
   90         6. A craft distillery may shall not have its ownership
   91  interest affiliated directly or indirectly with any individual
   92  or entity that has a direct or indirect ownership interest in
   93  any another distillery licensed in this state; in another state,
   94  territory, or country; or by the United States government to
   95  manufacture, blend, or rectify distilled spirits for beverage
   96  purposes, unless such distillery is a craft distillery produces
   97  75,000 or fewer gallons per calendar year of distilled spirits
   98  on each of its premises in this state or in another state,
   99  territory, or country.
  100         7. A craft distillery may transfer up to 50,000 gallons per
  101  calendar year of distilled spirits it manufactures from its
  102  federal bonded space, a nonbonded space at its licensed
  103  premises, or its storage areas to its souvenir gift shop.
  104         (3) Distributors authorized to do business under the
  105  Beverage Law, unless otherwise provided, shall pay a state
  106  license tax of $4,000 for each and every establishment or branch
  107  they may operate or conduct in the state. However, in counties
  108  having a population of 15,000 or less according to the latest
  109  state or federal census, the state license tax for a restricted
  110  license shall be $1,000, but the holder of such a license shall
  111  be permitted to sell only to vendors and distributors licensed
  112  in the same county, and such license shall contain such
  113  restrictions. In such counties, licenses without such
  114  restrictions may be obtained as in other counties, but the tax
  115  for a license without such restrictions shall be the same as in
  116  other counties. Warehouses of a licensed distributor used solely
  117  for storage and located in the county in which the license is
  118  issued to such distributor shall not be construed to be separate
  119  establishments or branches.
  120         (4) Each broker or sales agent and each importer of
  121  alcoholic beverages, as defined in s. 561.14(4) and (5),
  122  respectively, shall pay an annual state license tax of $500.
  123         (5) A craft distillery making sales under paragraph (2)(c)
  124  is responsible for submitting any excise taxes on beverages
  125  under the Beverage Law in its monthly report to the division
  126  with any tax payments due to the state.
  127         (6) Upon the request of a craft distillery licensed in this
  128  state, the Department of Transportation shall install
  129  directional signs for the craft distillery on the rights-of-way
  130  of interstate highways and primary and secondary roads in
  131  accordance with Florida’s Highway Guide Sign Program as provided
  132  in chapter 14-51, Florida Administrative Code. A craft
  133  distillery licensed in this state that requests placement of a
  134  directional sign through the department’s permit process shall
  135  pay all associated costs.
  136         (7) The division may adopt rules to administer this
  137  section.
  138         Section 2. This act shall take effect upon becoming a law.
  139  
  140  ================= T I T L E  A M E N D M E N T ================
  141  And the title is amended as follows:
  142         Delete everything before the enacting clause
  143  and insert:
  144                        A bill to be entitled                      
  145         An act relating to craft distilleries; amending s.
  146         565.03, F.S.; revising the definition of the term
  147         “craft distillery”; revising license taxes for
  148         distilleries or craft distilleries authorized to do
  149         business under the Beverage Law; revising limitations
  150         on retail sales by craft distilleries to consumers;
  151         revising the prohibitions of license transfers and
  152         ownership interest affiliations for craft distilleries
  153         under certain circumstances; authorizing craft
  154         distilleries to transfer to their souvenir gift shops
  155         up to a specified amount of distilled spirits under
  156         certain circumstances; providing an effective date.