HBA-MPM, NLM H.B. 2450 76(R)BILL ANALYSIS


Office of House Bill AnalysisH.B. 2450
By: Haggerty
Licensing & Administrative Procedures
8/17/1999
Enrolled



BACKGROUND AND PURPOSE 

Prior to the 76th Legislature, there was no law that specified disciplinary
actions for an employer or a supervisor of an alcoholic beverage wholesaler
or distributor  who was directly involved in an illegal act or had notice
of an illegal act of an employee authorized to sell liquor or beer by the
agent's license or permit.  The purpose of this bill is to set out criteria
for discipline of a liquor wholesaler or beer distributor whose licensed or
permitted employees are charged with a violation of the law.  H.B. 2450
authorizes the Texas Alcoholic Beverage Commission or its administrator to
suspend or revoke the license or permit of  a person who is the employer
of, or represented by, the holder of an agent's license or permit, or to
otherwise discipline the person based on an act or omission of the holder
of an agent's license or permit under certain conditions. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Subchapter C, Chapter 11, Alcoholic Beverage Code, by
adding Section 11.72, as follows: 

Sec. 11.72.  DISCIPLINE FOR ACTIONS OF AGENT.  Authorizes the Texas
Alcoholic Beverage Commission (commission) or administrator to suspend or
revoke the permit of  a person who is represented by the holder of an
agent's permit as described by Section 35.01 (Authorized Activities),
Alcoholic Beverage Code, or otherwise discipline the person based on an act
or omission of the holder of an agent's permit if an individual employed by
the person in a supervisory position was directly involved in the act or
omission of the holder of an agent's permit; knew of the act or omission;
or did not take reasonable steps to prevent the act or omission. 

SECTION 2.  Amends Subchapter C, Chapter 61, Alcoholic Beverage Code, by
adding Section 61.86, as follows: 

Sec. 61.86.  DISCIPLINE FOR ACTIONS OF AGENT.  Authorizes the commission or
administrator to suspend or revoke the license of  a person who is the
employer of or represented by the holder of an agent's beer license as
described by Section 73.01 (Authorized Activities), Alcoholic Beverage
Code, or otherwise discipline the person based on an act or omission of the
holder of an agent's permit if an individual employed by the person in a
supervisory position was directly involved in the act or omission of the
holder of an agent's beer license; knew of the act or omission; or did not
take reasonable steps to prevent the act or omission. 

SECTION 3.  Effective date: September 1, 1999.
                       Makes application of this Act prospective.

SECTION 4.  Emergency clause.