HBA-CMT C.S.S.B. 1684 77(R)BILL ANALYSIS


Office of House Bill AnalysisC.S.S.B. 1684
By: Jackson
Licensing & Administrative Procedures
5/10/2001
Committee Report (Substituted)



BACKGROUND AND PURPOSE 

Current law restricts brewpubs with a mixed beverage permit to sales of
their malt liquor, ale, and beer for on-premises consumption only.  The
restriction limits the amount of sales that a brewpub may generate because
it does not allow for the malt liquor, ale, or beer produced by the brewpub
to leave the premises, therefore reducing revenue for the brewpub and tax
revenue for the state.  C.S.S.B. 1684 allows licensed brewpubs with a mixed
beverage permit to sell their malt liquor, ale, and beer under certain
conditions 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

C.S.S.B. 1684 amends the Alcoholic Beverage Code to provide an exception
for holders of brewpub licenses.  The bill authorizes a mixed beverage
permittee who also holds a brewpub license to sell or offer without charge
on the premises of the brewpub, to consumers for consumption on or off the
premises, malt liquor, ale, or beer produced by the permittee, in or from a
lawful container in an amount that does not exceed one-half barrel,
provided that the aggregate amount of malt liquor, ale, or beer removed
from the premises does not exceed 1,000 barrels annually. 

EFFECTIVE DATE

September 1, 2001.

COMPARISON OF ORIGINAL TO SUBSTITUTE

C.S.S.B. 1684 modifies the original bill by specifying that the lawful
container used to take malt liquor, ale, or beer produced by the holder of
a mixed beverage permit who also holds a brewpub license off the premises
where it is sold or offered without charge for consumption is not to exceed
one-half barrel in size.