HBA-JEK H.B. 3700 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 3700
By: Wilson
Licensing & Administrative Procedures
5/8/2001
Introduced



BACKGROUND AND PURPOSE 

Current law requires the Texas Alcoholic Beverage Commission (TABC) to
issue several different types of beverage permits, including local class B
wholesaler's permits for the sale of malt and vinous liquors, beverage
cartage permits for the transfer of alcohol beverages to private clubs or
holders of mixed beverage permits, market research packager's permits for a
market research packager to receive alcoholic beverages, and local
industrial alcohol manufacturer's permits related to the manufacture and
refining of industrial or denatured alcohol.  House Bill 3700 repeals these
permits and increases the fee amounts for original or renewal mixed
beverage and private club registration permits. 

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 3700 amends the Alcoholic Beverage Code to repeal the local
class B wholesaler's permit, the beverage cartage permit, the market
research packager's permit, and the local industrial alcohol manufacturer's
permit (SECTION 23).  The bill authorizes a person who holds a local class
B wholesaler permit to convert that permit to a general class B
wholesaler's permit on payment of the appropriate fee and in accordance
with procedures adopted by the Texas Alcoholic Beverage Commission (TABC)
(SECTION 24).  

H.B. 3700 authorizes the holder of a mixed beverage permit to transport
alcoholic beverages from the place of purchase to the licensed premises
(Sec. 28.01).  The bill authorizes the transport of alcoholic beverages
belonging to members of a club with a private club registration permit from
the place of purchase to the licensed premises (Sec. 32.01).  

The bill increases by $20 the amounts charged for an original and renewal
mixed beverage permit and for a private club registration permit (Secs.
28.02 and 32.02).  The bill applies provisions regarding mixed beverage
permits and private club registration permits to the holder of a mixed
beverage permit who also holds a food and beverage certificate (Secs. 28.19
and 32.25). 

H.B. 3700 authorizes the holder of an industrial permit to manufacture,
rectify, refine, and denature industrial alcohol, to sell denatured or
industrial alcohol to holders of industrial permits and to qualified
persons outside of the state, and to blend industrial alcohol with
petroleum distillates and sell or use the resulting product as motor fuel
(Sec. 38.01).  The bill authorizes the submission of a plant plan only by
an applicant applying for these privileges (Sec. 38.09). 

EFFECTIVE DATE

September 1, 2001.