83R7351 MCK-F
  By: Eltife, et al. S.B. No. 516
  relating to the distribution of ale by certain brewers.
         SECTION 1.  The legislature finds that:
               (1)  the state is authorized under the Twenty-first
  Amendment of the United States Constitution to promote the public's
  interest in the fair, efficient, and competitive marketing of ale
  in this state;
               (2)  the United States Supreme Court in Granholm v.
  Heald, 544 U.S. 460 (2005), has recognized that the three-tier
  system of regulating the alcoholic beverage industry is
  unquestionably legitimate;
               (3)  in Granholm, the United States Supreme Court
  further recognized that while the states are entitled to regulate
  the production and sales of liquor within their borders, the right
  is nonetheless subject to the provisions of the Constitution of the
  United States, including the Interstate Commerce Clause, and laws
  regulating the alcoholic beverage industry may not discriminate
  against out-of-state participants or give undue deference to local
  participants and may not ignore other provisions of the
  constitution, including the Supremacy Clause, Commerce Clause, and
  the Privileges and Immunities Clause with its nondiscriminatory
               (4)  the state is authorized to promote, market, and
  educate consumers about the emerging small brewing industry;
               (5)  it is in the state's interest to encourage
  entrepreneurial and small business development opportunities in
  the state that will lead to new capital investment in the state,
  create new jobs in the state, and expand the state and local tax
  base; and
               (6)  it is the public policy of the state to exercise
  the police power of the state to protect the welfare, health, peace,
  temperance, and safety of the people of Texas.
         SECTION 2.  Section 12.05, Alcoholic Beverage Code, is
  amended to read as follows:
         Sec. 12.05.  SALES BY CERTAIN BREWERS. (a) The holder of a
  brewer's permit whose annual production of ale [in this state does
  not exceed,] together with the annual production of beer by the
  holder of a manufacturer's license [acting under the authority of
  Section 62.12 of this code] at the same premises does not exceed
  125,000[, a total of 75,000] barrels[,] may sell ale produced under
  the permit to those persons to whom the holder of a general class B
  wholesaler's permit may sell malt liquor under Section 20.01(3) [of
  this code].
         (b)  The total combined sales of ale under this section,
  together with the sales of beer by the holder of a manufacturer's
  license under Section 62.12 at the same premises, may not exceed
  40,000 barrels annually.
         (c)  With regard to [such] a sale under this section, the
  brewer has the same authority and is subject to the same
  requirements that apply to a sale made by the holder of a general
  class B wholesaler's permit.
         SECTION 3.  Chapter 12, Alcoholic Beverage Code, is amended
  by adding Section 12.051 to read as follows:
         Sec. 12.051.  REPORT OF SALES TO RETAILER. (a) Not later
  than the 25th day of each month, the holder of a brewer's permit
  shall file a report with the commission that contains information
  relating to the sales made by the brewer to a retailer during the
  preceding calendar month.
         (b)  The commission shall by rule determine the information
  that is required to be reported under this section and the manner in
  which the report must be submitted to the commission. The
  commission may require the report to contain the same information
  reported to the comptroller under Section 151.462, Tax Code.
         SECTION 4.  This Act takes effect September 1, 2013, but only
  if the 83rd Legislature, Regular Session, 2013, enacts legislation
  that becomes law and that amends the Alcoholic Beverage Code to
  allow small brewers to sell beer to retailers. If the 83rd
  Legislature, Regular Session, 2013, does not enact such legislation
  that becomes law, this Act has no effect.