SENATE BILL REPORT

SB 6719

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

As of February 1, 2010

Title: An act relating to special occasion licenses.

Brief Description: Concerning special occasion licenses.

Sponsors: Senators Murray, King and Kohl-Welles.

Brief History:

Committee Activity: Labor, Commerce & Consumer Protection: 1/28/10.

SENATE COMMITTEE ON LABOR, COMMERCE & CONSUMER PROTECTION

Staff: Mac Nicholson (786-7445)

Background: Special occasion licenses are a type of liquor retail licensee that allow nonprofit societies and organizations to sell liquor by the individual glass for on-premise consumption at a specified event. With Liquor Control Board permission, a special occasion licensee can also sell beer and/or wine in original, unopened containers for off-premise consumption.

State law prohibits industry members from advancing, and retailers from accepting, moneys or moneys' worth. Under the moneys' worth provisions, a retail licensee (including special occasion licensees) must pay for beer and wine at the time of delivery, and are prohibited from charging slotting or table fees.

Summary of Bill: Special occasion licensees may charge a table fee to participating wineries or breweries and pay for products immediately following the end of the special occasion event.

Appropriation: None.

Fiscal Note: Not requested.

Committee/Commission/Task Force Created: No.

Effective Date: Ninety days after adjournment of session in which bill is passed.

Staff Summary of Public Testimony: PRO: Charitable events are good promotional events for wineries; however, the charity is a retailer for that one day and subject to all the restrictions on retailers. This bill would allow a charity to charge a table fee, and adds a level of convenience by allowing the charities to issue one check at the end of the event for the products used and sold. This bill makes it easier for wineries and charities to participate in events. The bill could be improved with a few changes that allow the charity to use a contractor or agent to pay the wineries and allow payment up to one business day after the event. The word reasonable should be included in the bill when referring to table fees.

Persons Testifying: PRO: Jean Leonard, Ann Anderson, Washington Wine Institute; Rick Garza, Liquor Control Board; John Morgan, Family Wineries of Washington State; Ron Main, Beer and Wine Wholesalers Association; TK Bentler, Washington Brewers Guild.