HOUSE BILL REPORT

                  SB 5563

             As Reported By House Committee On:

                      Commerce & Labor

Title:  An act relating to class H liquor licenses issued to hotels operating conference or convention centers or having banquet facilities on property owned or through leasehold interest by the licensed hotel.

Brief Description:  Relating to class H liquor licenses issued to hotels operating conference or convention centers or having banquet facilities on property owned or through leasehold interest by the licensed hotel.

Sponsors:  Senators West, Pelz and McCaslin.

Brief History:

  Committee Activity:

Commerce & Labor:  3/20/95, 3/22/95 [DP].

HOUSE COMMITTEE ON COMMERCE & LABOR

Majority Report:  Do pass.  Signed by 11 members:  Representatives Lisk, Chairman; Hargrove, Vice Chairman; Thompson, Vice Chairman; Romero, Ranking Minority Member; Conway, Assistant Ranking Minority Member; Cairnes; Cody; Cole; Fuhrman; Goldsmith and Horn.

Staff:  Pam Madson (786-7166).

Background:  Owners of hotels having a Class H license may serve liquor along with food to quests and the general public for consumption on the premises.  Alcohol service may be provided by a Class H licensee at a different location under a Class I caterer's license.  A Class I license is issued to licensees including Class H licensees for special occasion events held off premises involving members and guests of a particular organization.

Under limited circumstances, a Class H licensee may extend a Class H license to another location.   For example, a Class H licensee who provides food service at public civic centers having sport and entertainment facilities may extend their license privileges to additional locations on the premises under duplicate licenses issued by the liquor control board.   There is no specific provision that allows a hotel corporation that owns or leases non-contiguous property open to the public to operate food and alcoholic beverage service for special events at the off-site location.

Summary of Bill:  A Class H licensed hotel may extend the Class H license to property owned or controlled by a leasehold interest located in the same metropolitan area and used as a convention, conference center, or banquet facility by the public for special events.

Appropriation:  None.

Fiscal Note:  Available.

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

Testimony For:  This would allow privately owned convention facilities the same rights as publicly owned convention facilities.  The benefit under this provision is to allow the hotel to set up for beverage and food service at the alternative location without having to dismantle the set up for each event.  It would also allow events open to the general public like a Mother's Day brunch.

Testimony Against:  None.

Testified:  (In favor)  Senator West, prime sponsor; and Art Coffey, Cavanaugh's Inns.  (Neutral) Carter Mitchell, Liquor Control Board.