HOUSE BILL REPORT

                 SHB 1008

                      As Passed House:

                      January 10, 1996

Title:  An act relating to wine and beer educator's licenses.

Brief Description:  Providing wine and beer educator's licenses.

Sponsors:  By House Committee on Commerce & Labor (originally sponsored by Representatives Carlson, Ogden and Boldt).

Brief History:

  Committee Activity:

Commerce & Labor:  1/23/95, 2/1/95 [DPS].

Floor Activity:

     Passed House:  3/3/95, 94-0;

     Passed House:  1/10/96, 94-0.

HOUSE COMMITTEE ON COMMERCE & LABOR

Majority Report:  The substitute bill be substituted therefor and the substitute bill do pass.  Signed by 11 members:  Representatives Lisk, Chair; Hargrove, Vice Chair; Thompson, Vice Chair; Romero, Ranking Minority Member; Conway, Assistant Ranking Minority Member; Cairnes; Cody; Cole; Fuhrman; Goldsmith and Horn.

Staff:  Pam Madson (786-7166).

Background:

Certain liquor licensees may  conduct samplings and educational activities under specific circumstances.

Class E and Class F retailers whose business is primarily selling beer or wine to be consumed off premises may provide, free or for a charge, single serving samples of two ounces or less to customers as sales promotion.

A brewery, winery, or wholesale licensee may instruct other licensees and their employees on the subject of beer or wine and may provide beer or wine as required for use during instruction.  They may also conduct educational activities for consumers on the premises of a retail licensee, however, they may not receive compensation or financial benefit from the activity. 

There is no authority for anyone not licensed under the Liquor Control Board to conduct educational activities, for a charge, using liquor.

Summary of Bill:

A person or corporation, not otherwise eligible to be licensed under the Liquor Control Board,  may obtain an educators license that permits the holder to sell wine or beer only by the glass for educational wine or beer testings at one day events.  The licensee may purchase wine or beer from a licensed wholesaler and must maintain records including all wine or beer diverted for personal use following an event.

The annual license fee is $200 and each event is an additional $10.  An extended event license for no more than five continuous days is $50. 

Along with the application for an event license, a licensee must obtain a letter of approval from the local law enforcement administrator having jurisdiction in the area where the event is held.  Any restrictions on the use of the license must appear in the letter of approval.

Application for an annual license must be made 45 days before the applicant's first event.  For each specific event, application must be made 30 days before the event.

Appropriation:  None.

Fiscal Note:  Available.

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

Testimony For:  This license would help promote and educate the public in Washington about the beer and wine industry.  The distinction between this new license and existing licenses under the Liquor Control Board is that this license would allow the licensee to move from location to location.  The new license still requires the applicant to contact local law enforcement in each location. 

Testimony Against:  None.

Testified:  Representative Carlson, Prime Sponsor (pro); Carter Mitchell, Liquor Control Board; Scott Williams and Victoria Chiechi, Washington Wine Institute (pro);  and Phil Wayt, Washington Beer and Wine Wholesalers Association.