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AB-1035 Alcoholic beverages: nonprofits: auctions: licenses.(2015-2016)

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AB1035:v98#DOCUMENT

Amended  IN  Assembly  March 26, 2015

CALIFORNIA LEGISLATURE— 2015–2016 REGULAR SESSION

Assembly Bill
No. 1035

Introduced by Assembly Member Linder

February 26, 2015

An act to amend Section 24045.2 23356.2 of the Business and Professions Code, relating to alcoholic beverages.


LEGISLATIVE COUNSEL'S DIGEST


AB 1035, as amended, Linder. Alcoholic beverages: temporary licenses. nonprofits: auctions: licenses.
The Alcoholic Beverage Control Act authorizes the issuance of a special temporary retail package off-sale beer and wine license to a television station, supported wholly or in part by public membership subscription, which is a nonprofit, charitable corporation, as provided, or to a nonprofit, charitable corporation that receives and administers donations for a noncommercial, educational television station, or public broadcasting station supported wholly or in part by public membership subscription, as provided, subject to specified restrictions a person to manufacture beer or wine for personal or family use without the need for a license or permit, as provided. Existing law authorizes the removal of beer or wine from the premises where made for personal or family use, for specified purposes, including for donation to a nonprofit organization for sale at a fundraising event.
This bill would make nonsubstantive changes to this provision provide that a nonprofit organization that auctions this type of donated beer or wine that has a value of less than $____ is not required to obtain a license issued under the act for the sale of that beer or wine.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NOYES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 23356.2 of the Business and Professions Code is amended to read:

23356.2.
 (a) No license or permit shall be required for the manufacture of beer or wine for personal or family use, and not for sale, by a person over 21 years of age. The aggregate amount of beer or wine with respect to any household shall not exceed (1) 100 gallons per calendar year if there is only one adult in the household or (2) 200 gallons per calendar year if there are two or more adults in the household.
(b) Beer or wine produced pursuant to this section may be removed from the premises where made only under any of the following circumstances:
(1) For use, including in a bona fide competition or judging or a bona fide exhibition or tasting.
(2) For personal or family use.
(3) When donated to a nonprofit organization for use as provided in subdivision (c) or (d).
(4) Beer or wine produced pursuant to this section may only be provided or served to the public pursuant to paragraphs (1) and (3) within a clearly identified area, that includes, but is not limited to, a physical barrier with a monitored point of entry. Beer or wine produced by a beer manufacturer or winegrower as defined in Sections 23012 and 23013, respectively, and licensed by the department, shall not be provided or served to the public within this area.
(c) (1) Beer or wine produced pursuant to this section may be donated to a nonprofit organization for sale at fundraising events conducted solely by and for the benefit of the nonprofit organization. Beer and wine donated pursuant to this subdivision may be sold by the nonprofit organization only for consumption on the premises of the fundraising event, under a license issued by the department to the nonprofit organization pursuant to this division. A nonprofit organization that auctions donated beer or wine at a fundraising event that has a value of less than ____ dollars ($____) shall not be required to obtain a license issued by the department pursuant to this division.
(2) Beer or wine donated and sold pursuant to this subdivision shall bear a label identifying its producer and stating that the beer or wine is homemade and not available for sale or for consumption off the licensed premises. The beer or wine is not required to comply with other labeling requirements under this division. However, nothing in this paragraph authorizes the use of any false or misleading information on a beer or wine label.
(3) A nonprofit organization established for the purpose of promoting home production of beer or wine, or whose membership is composed primarily of home brewers or home winemakers, shall not be eligible to sell beer pursuant to this subdivision.
(d) A nonprofit organization established for the purpose of promoting home production of beer shall be eligible to serve beer at a fundraising event conducted solely for the benefit of the nonprofit organization pursuant to this subdivision, subject to the following conditions:
(1) The beer that is served is donated by home brewers.
(2) The nonprofit organization shall be issued no more than two permits per calendar year for the serving of beer pursuant to this subdivision.
(3) The nonprofit organization shall display a printed notice at the event that states that home brewed beer is not a regulated product subject to health and safety standards.
(4) The event shall have an educational component that includes instruction on the subject of beer, including, but not limited to, the history, nature, values, and characteristics of beer, the use of beer lists, and the methods of presenting and serving beer.
(5) Only bona fide members of the nonprofit organization may attend the event.
(6) The nonprofit organization shall not solicit or sign up individuals to be members of the nonprofit organization on the day of the event at the event premises.
(7) The nonprofit organization shall provide the department with the number of members that have registered for the event and the estimated number that will be in attendance, 48 hours before the event. This paragraph shall apply only if more than 50 members are expected to be in attendance at the event.
(e) Except as provided in subdivision (c), this section does not authorize the sale or offering for sale by any person of any beer or wine produced pursuant to this section.
(f) Except as provided herein, nothing in this section authorizes any activity in violation of Section 23300, 23355, or 23399.1.

SECTION 1.Section 24045.2 of the Business and Professions Code is amended to read:
24045.2.

(a)The department may issue a special temporary retail package off-sale beer and wine license to: (1) a television station, supported wholly or in part by public membership subscription, which is a nonprofit, charitable corporation exempt from payment of income taxes under the provisions of the Internal Revenue Code of 1954 of the United States, or (2) a nonprofit, charitable corporation exempt from payment of income taxes under the provisions of the Internal Revenue Code of 1954 of the United States that receives and administers donations for a noncommercial, educational television station, or public broadcasting station supported wholly or in part by public membership subscription. An applicant for this license shall accompany the application with a fee of one hundred dollars ($100).

(b)A license issued pursuant to this section shall only entitle the licensee to sell at auction beer and wine donated to it. Notwithstanding any other provision, a licensee may donate beer, wine, or both beer and wine to a corporation licensed under this section, provided donations are not made in connection with a sale of an alcoholic beverage.

(c)This license shall be for a period not exceeding 30 days. Only one license shall be issued to any corporation in a calendar year.