HBA-DMH H.B. 3400 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 3400 By: Denny Licensing & Administrative Procedures 3/27/2001 Introduced BACKGROUND AND PURPOSE Some areas have held local option elections as to whether to prohibit the sale of certain alcoholic beverages. A city located in two counties is prevented from conducting a local option election regarding the sale of alcohol. House Bill 3400 provides for an election to be held by an incorporated city or a town located in two counties that meets certain population requirements to permit or prohibit the legal sale of wine for off-premises consumption. 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. ANALYSIS House Bill 3400 amends the Alcoholic Beverage Code relating to an election to permit or prohibit the legal sale of a wine for off-premises consumption by a city or town that is located in two specified counties. The bill requires the specified city or town, rather than the county, to conduct the election. The bill requires a city or town to pay the expense of the election. The bill provides for an action to contest the election and specifies ballot requirements. The bill authorizes the holder of a wine only package store permit whose premises is located in a wet area permitting the legal sale of wine for off-premises consumption only as determined by an election to only purchase, sell, or possess vinous liquor on those licensed premises. The qualifications for a wine only package store permit whose premises is in a wet area permitting the legal sale of beer or wine for offpremises consumption only as determined by an election are the same as the qualifications for a wine and beer retailer's off-premise permit. EFFECTIVE DATE September 1, 2001.