H.B. No. 1425
1-1 AN ACT
1-2 relating to the establishment of a brewpub license.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Subtitle B, Title 3, Alcoholic Beverage Code, is
1-5 amended by adding Chapter 74 to read as follows:
1-6 CHAPTER 74. BREWPUB LICENSE
1-7 Sec. 74.01. AUTHORIZED ACTIVITIES. (a) A holder of a
1-8 brewpub license for a brewpub located in a wet area, as that term
1-9 is described by Section 251.71 of this code, may:
1-10 (1) manufacture, brew, bottle, can, package, and label
1-11 malt liquor, ale, and beer;
1-12 (2) sell or offer without charge, on the premises of
1-13 the brewpub, to ultimate consumers for consumption on or off those
1-14 premises, malt liquor, ale, or beer produced by the holder, in or
1-15 from a lawful container, to the extent the sales or offers are
1-16 allowed under the holder's other permits or licenses; and
1-17 (3) sell food on the premises of the holder's
1-18 breweries.
1-19 (b) The holder of a brewpub license may establish, operate,
1-20 or maintain one or more licensed brewpubs in this state under the
1-21 same general management or ownership. The holder shall pay the fee
1-22 assessed by the commission for each establishment. For the
1-23 purposes of this subsection, two or more establishments are under
1-24 the same general management or ownership if:
2-1 (1) the establishments bottle the same brand of malt
2-2 liquor, beer, or ale or bottle malt liquor, beer, or ale brewed by
2-3 the same manufacturer; or
2-4 (2) the person, regardless of domicile, who
2-5 establishes, operates, or maintains the establishments is
2-6 controlled or directed by one management or by an association of
2-7 ultimate management.
2-8 (c) A holder of a brewpub license must also hold a wine and
2-9 beer retailer's permit, a mixed beverage permit, or a retail
2-10 dealer's on-premise license.
2-11 (d) The holder of a brewpub license may not hold or have an
2-12 interest either directly or indirectly, or through a subsidiary,
2-13 affiliate, agent, employee, officer, director, or other person, in
2-14 a manufacturer's or distributor's license or any other license or
2-15 permit in the manufacturing or wholesaling levels of the alcoholic
2-16 beverage industry regardless of the specific names given to permits
2-17 or licenses in Title 3 of this code. The holder shall be
2-18 considered a "retailer" for purposes of Section 102.01 of this
2-19 code.
2-20 (e) A holder of a retail dealer's on-premise license who
2-21 obtains a brewpub license may not manufacture, brew, bottle, can,
2-22 package, label, sell, or offer without charge malt liquor or ale.
2-23 (f) A holder of a brewpub license may not sell an alcoholic
2-24 beverage for resale.
2-25 Sec. 74.02. FEE. The annual state fee for a brewpub license
2-26 is $500.
2-27 Sec. 74.03. PRODUCTION LIMIT. The total annual production
3-1 of malt liquor, ale, and beer by a holder of a brewpub license may
3-2 not exceed 5,000 barrels for each licensed brewpub established,
3-3 operated, or maintained by the holder in this state.
3-4 Sec. 74.04. LICENSE APPLICATION, RENEWAL, AND MAINTENANCE;
3-5 RECORDS; LICENSE ISSUANCE. All provisions of this code that apply
3-6 to a brewpub licensee's wine and beer retailer's permit, mixed
3-7 beverage permit, or retail dealer's on-premise license also apply
3-8 to the brewpub license.
3-9 Sec. 74.05. STATEMENT OF INTENT. An applicant for a brewpub
3-10 license shall file with the application a sworn statement that the
3-11 applicant shall be engaged in the business of brewing and packaging
3-12 malt liquor, ale, or beer in this state in quantities sufficient to
3-13 operate a brewpub not later than six months after the date of
3-14 issuance of the original license. If the applicant is a
3-15 corporation, the statement must be signed by a principal corporate
3-16 officer. A county judge may not issue a brewpub license to an
3-17 applicant who does not submit the required sworn statement with the
3-18 application for a license.
3-19 Sec. 74.06. QUALITY STANDARDS. Manufacturing or brewing
3-20 equipment used by a holder of a brewpub license, and process,
3-21 labeling, and packaging conducted by a holder of a brewpub license,
3-22 shall conform to standards and tax requirements imposed by this
3-23 code and the commission's rules for the manufacture of beer and the
3-24 brewing of ale and malt liquor and shall conform to any standards
3-25 that may be applied by the agency of the United States charged with
3-26 supervising and inspecting the manufacture and brewing of alcoholic
3-27 beverages.
4-1 Sec. 74.07. CONTAINER SIZE. In addition to any other
4-2 container for beer, ale, or malt liquor authorized elsewhere in
4-3 this code, a holder of a brewpub license may store or serve to
4-4 consumers beer, ale, or malt liquor manufactured by the holder of
4-5 the license at the premises of the brewpub license from any
4-6 container having the capacity of one barrel or whole multiples of
4-7 one barrel.
4-8 SECTION 2. The importance of this legislation and the
4-9 crowded condition of the calendars in both houses create an
4-10 emergency and an imperative public necessity that the
4-11 constitutional rule requiring bills to be read on three several
4-12 days in each house be suspended, and this rule is hereby suspended.