BILL REQ. #: S-0251.2
| State of Washington | 58th Legislature | 2003 Regular Session |
Read first time 01/13/2003. Referred to Committee on Commerce & Trade.
AN ACT Relating to privatizing the sale of liquor; amending RCW 66.04.010, 66.08.030, 66.08.070, 66.08.130, 66.08.140, 66.08.150, 66.24.010, 66.24.012, 66.24.015, 66.24.025, 66.24.120, 66.44.200, 66.44.318, 66.44.340, 66.04.010, 66.08.020, 66.08.030, 66.08.050, 66.12.110, 66.12.120, 66.20.160, 66.20.170, 66.20.180, 66.20.190, 66.20.200, 66.20.210, 66.24.395, 66.32.010, and 66.44.150; adding a new section to chapter 66.08 RCW; creating new sections; repealing RCW 66.08.070, 66.08.160, 66.08.220, 66.08.235, 66.16.010, 66.16.030, 66.16.040, 66.16.041, 66.16.050, 66.16.060, 66.16.070, 66.16.080, 66.16.090, 66.16.100, 66.16.110, 66.28.170, and 66.28.180; and providing effective dates.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
NEW SECTION. Sec. 101 (1) The legislature intends for
privatization of retail and distribution of liquor to result in a
system that is more efficient than public sector retail and
distribution. The legislature finds that the present system of state
control includes a markup amount at distribution that generates revenue
for the state and local governments, and that this markup will be
eliminated when liquor sales and distribution are privatized. The
legislature further intends that the privatization of liquor sales and
distribution not result in revenue losses to state or local governments
as compared to projected revenues assumed under state control, not
including any separate licenses or franchises.
(2) Therefore, the legislature directs the liquor control board and
the department of revenue, with assistance from legislative staff and
the office of financial management, to present a report to the
legislature no later than December 1, 2003, on a recommended method and
rates of liquor taxation that would generate the same future projected
revenue for the state and local jurisdictions as under the current
state control system. The report may also include recommendations on
tax enforcement and simplification to the current system of liquor
taxation and distribution of revenues.
Sec. 201 RCW 66.04.010 and 2000 c 142 s 1 are each amended to
read as follows:
In this title, unless the context otherwise requires:
(1) "Alcohol" is that substance known as ethyl alcohol, hydrated
oxide of ethyl, or spirit of wine, which is commonly produced by the
fermentation or distillation of grain, starch, molasses, or sugar, or
other substances including all dilutions and mixtures of this
substance. The term "alcohol" does not include alcohol in the
possession of a manufacturer or distiller of alcohol fuel, as described
in RCW 66.12.130, which is intended to be denatured and used as a fuel
for use in motor vehicles, farm implements, and machines or implements
of husbandry.
(2) "Beer" means any malt beverage or malt liquor as these terms
are defined in this chapter.
(3) "Beer distributor" means a person who buys beer from a brewer
or brewery located either within or beyond the boundaries of the state,
beer importers, or foreign produced beer from a source outside the
state of Washington, for the purpose of selling the same pursuant to
this title, or who represents such brewer or brewery as agent.
(4) "Beer importer" means a person or business within Washington
who purchases beer from a United States brewery holding a certificate
of approval (B5) or foreign produced beer from a source outside the
state of Washington for the purpose of selling the same pursuant to
this title.
(5) "Brewer" means any person engaged in the business of
manufacturing beer and malt liquor. Brewer includes a brand owner of
malt beverages who holds a brewer's notice with the federal bureau of
alcohol, tobacco, and firearms at a location outside the state and
whose malt beverage is contract-produced by a licensed in-state
brewery, and who may exercise within the state, under a domestic
brewery license, only the privileges of storing, selling to licensed
beer distributors, and exporting beer from the state.
(6) "Board" means the liquor control board, constituted under this
title.
(7) "Club" means an organization of persons, incorporated or
unincorporated, operated solely for fraternal, benevolent, educational,
athletic or social purposes, and not for pecuniary gain.
(8) "Consume" includes the putting of liquor to any use, whether by
drinking or otherwise.
(9) "Dentist" means a practitioner of dentistry duly and regularly
licensed and engaged in the practice of his profession within the state
pursuant to chapter 18.32 RCW.
(10) "Distiller" means a person engaged in the business of
distilling spirits.
(11) "Domestic brewery" means a place where beer and malt liquor
are manufactured or produced by a brewer within the state.
(12) "Domestic winery" means a place where wines are manufactured
or produced within the state of Washington.
(13) "Druggist" means any person who holds a valid certificate and
is a registered pharmacist and is duly and regularly engaged in
carrying on the business of pharmaceutical chemistry pursuant to
chapter 18.64 RCW.
(14) "Drug store" means a place whose principal business is, the
sale of drugs, medicines and pharmaceutical preparations and maintains
a regular prescription department and employs a registered pharmacist
during all hours the drug store is open.
(15) "Employee" means any person employed by the board, including
a vendor, as hereinafter in this section defined.
(16) "Fund" means 'liquor revolving fund.'
(17) "Hotel" means every building or other structure kept, used,
maintained, advertised or held out to the public to be a place where
food is served and sleeping accommodations are offered for pay to
transient guests, in which twenty or more rooms are used for the
sleeping accommodation of such transient guests and having one or more
dining rooms where meals are served to such transient guests, such
sleeping accommodations and dining rooms being conducted in the same
building and buildings, in connection therewith, and such structure or
structures being provided, in the judgment of the board, with adequate
and sanitary kitchen and dining room equipment and capacity, for
preparing, cooking and serving suitable food for its guests: PROVIDED
FURTHER, That in cities and towns of less than five thousand
population, the board shall have authority to waive the provisions
requiring twenty or more rooms.
(18) "Importer" means a person who buys distilled spirits from a
distillery outside the state of Washington and imports such spirituous
liquor into the state for sale to the board or for export.
(19) "Imprisonment" means confinement in the county jail.
(20) "Liquor" includes the four varieties of liquor herein defined
(alcohol, spirits, wine and beer), and all fermented, spirituous,
vinous, or malt liquor, or combinations thereof, and mixed liquor, a
part of which is fermented, spirituous, vinous or malt liquor, or
otherwise intoxicating; and every liquid or solid or semisolid or other
substance, patented or not, containing alcohol, spirits, wine or beer,
and all drinks or drinkable liquids and all preparations or mixtures
capable of human consumption, and any liquid, semisolid, solid, or
other substance, which contains more than one percent of alcohol by
weight shall be conclusively deemed to be intoxicating. Liquor does
not include confections or food products that contain one percent or
less of alcohol by weight.
(21) "Liquor franchise" means a specific location designated by the
board where spirits, wine, and beer may be sold in original packages
for off-premises consumption, or where liquor may be sold to holders of
a permit to purchase.
(22) "Liquor franchise agreement" means approval by the board to
operate a liquor franchise in accordance with the provisions of this
title.
(23) "Liquor franchise applicant" means any person who bids for a
liquor franchise agreement to sell spirits, wine, and beer in
accordance with the provisions of this title.
(24) "Liquor franchise area" means a geographic area designated as
such by the board for the purpose of issuing franchise agreements.
(25) "Liquor franchise holder" means a person who has been granted
a liquor franchise agreement in accordance with the provisions of this
title.
(26) "Manufacturer" means a person engaged in the preparation of
liquor for sale, in any form whatsoever.
(((22))) (27) "Malt beverage" or "malt liquor" means any beverage
such as beer, ale, lager beer, stout, and porter obtained by the
alcoholic fermentation of an infusion or decoction of pure hops, or
pure extract of hops and pure barley malt or other wholesome grain or
cereal in pure water containing not more than eight percent of alcohol
by weight, and not less than one-half of one percent of alcohol by
volume. For the purposes of this title, any such beverage containing
more than eight percent of alcohol by weight shall be referred to as
"strong beer."
(((23))) (28) "Package" means any container or receptacle used for
holding liquor.
(((24))) (29) "Permit" means a permit for the purchase of liquor
under this title.
(((25))) (30) "Person" means an individual, copartnership,
association, or corporation.
(((26))) (31) "Physician" means a medical practitioner duly and
regularly licensed and engaged in the practice of his profession within
the state pursuant to chapter 18.71 RCW.
(((27))) (32) "Prescription" means a memorandum signed by a
physician and given by him to a patient for the obtaining of liquor
pursuant to this title for medicinal purposes.
(((28))) (33) "Public place" includes streets and alleys of
incorporated cities and towns; state or county or township highways or
roads; buildings and grounds used for school purposes; public dance
halls and grounds adjacent thereto; those parts of establishments where
beer may be sold under this title, soft drink establishments, public
buildings, public meeting halls, lobbies, halls and dining rooms of
hotels, restaurants, theatres, stores, garages and filling stations
which are open to and are generally used by the public and to which the
public is permitted to have unrestricted access; railroad trains,
stages, and other public conveyances of all kinds and character, and
the depots and waiting rooms used in conjunction therewith which are
open to unrestricted use and access by the public; publicly owned
bathing beaches, parks, and/or playgrounds; and all other places of
like or similar nature to which the general public has unrestricted
right of access, and which are generally used by the public.
(((29))) (34) "Regulations" means regulations made by the board
under the powers conferred by this title.
(((30))) (35) "Restaurant" means any establishment provided with
special space and accommodations where, in consideration of payment,
food, without lodgings, is habitually furnished to the public, not
including drug stores and soda fountains.
(((31))) (36) "Sale" and "sell" include exchange, barter, and
traffic; and also include the selling or supplying or distributing, by
any means whatsoever, of liquor, or of any liquid known or described as
beer or by any name whatever commonly used to describe malt or brewed
liquor or of wine, by any person to any person; and also include a sale
or selling within the state to a foreign consignee or his agent in the
state. "Sale" and "sell" shall not include the giving, at no charge,
of a reasonable amount of liquor by a person not licensed by the board
to a person not licensed by the board, for personal use only. "Sale"
and "sell" also does not include a raffle authorized under RCW
9.46.0315: PROVIDED, That the nonprofit organization conducting the
raffle has obtained the appropriate permit from the board.
(((32))) (37) "Soda fountain" means a place especially equipped
with apparatus for the purpose of dispensing soft drinks, whether mixed
or otherwise.
(((33))) (38) "Spirits" means any beverage which contains alcohol
obtained by distillation, including wines exceeding twenty-four percent
of alcohol by volume and beer exceeding eight percent of alcohol by
weight.
(((34))) (39) "Store" means a state liquor store established under
this title.
(((35))) (40) "Tavern" means any establishment with special space
and accommodation for sale by the glass and for consumption on the
premises, of beer, as herein defined.
(((36))) (41) "Vendor" means a person employed by the board as a
store manager under this title.
(((37))) (42) "Winery" means a business conducted by any person for
the manufacture of wine for sale, other than a domestic winery.
(((38))) (43) "Wine" means any alcoholic beverage obtained by
fermentation of fruits (grapes, berries, apples, et cetera) or other
agricultural product containing sugar, to which any saccharine
substances may have been added before, during or after fermentation,
and containing not more than twenty-four percent of alcohol by volume,
including sweet wines fortified with wine spirits, such as port,
sherry, muscatel and angelica, not exceeding twenty-four percent of
alcohol by volume and not less than one-half of one percent of alcohol
by volume. For purposes of this title, any beverage containing no more
than fourteen percent of alcohol by volume when bottled or packaged by
the manufacturer shall be referred to as "table wine," and any beverage
containing alcohol in an amount more than fourteen percent by volume
when bottled or packaged by the manufacturer shall be referred to as
"fortified wine." However, "fortified wine" shall not include: (a)
Wines that are both sealed or capped by cork closure and aged two years
or more; and (b) wines that contain more than fourteen percent alcohol
by volume solely as a result of the natural fermentation process and
that have not been produced with the addition of wine spirits, brandy,
or alcohol.
This subsection shall not be interpreted to require that any wine
be labeled with the designation "table wine" or "fortified wine."
(((39))) (44) "Wine distributor" means a person who buys wine from
a vintner or winery located either within or beyond the boundaries of
the state for the purpose of selling the same not in violation of this
title, or who represents such vintner or winery as agent.
(((40))) (45) "Wine importer" means a person or business within
Washington who purchases wine from a United States winery holding a
certificate of approval (W7) or foreign produced wine from a source
outside the state of Washington for the purpose of selling the same
pursuant to this title.
Sec. 202 RCW 66.08.030 and 2002 c 119 s 2 are each amended to
read as follows:
(1) For the purpose of carrying into effect the provisions of this
title according to their true intent or of supplying any deficiency
therein, the board may make such regulations not inconsistent with the
spirit of this title as are deemed necessary or advisable. All
regulations so made shall be a public record and shall be filed in the
office of the code reviser, and thereupon shall have the same force and
effect as if incorporated in this title. Such regulations, together
with a copy of this title, shall be published in pamphlets and shall be
distributed as directed by the board.
(2) Without thereby limiting the generality of the provisions
contained in subsection (1), it is declared that the power of the board
to make regulations in the manner set out in that subsection shall
extend to
(a) regulating the equipment and management of liquor franchises
and stores and warehouses in which state liquor is sold or kept, and
prescribing the books and records to be kept therein and the reports to
be made thereon to the board;
(b) prescribing the duties of the employees of the board, and
regulating their conduct in the discharge of their duties;
(c) governing the purchase of liquor by the state and the
furnishing of liquor to stores established under this title;
(d) determining the classes, varieties, and brands of liquor to be
kept for sale at any store;
(e) prescribing, subject to RCW 66.16.080, the hours during which
the state liquor stores shall be kept open for the sale of liquor;
(f) providing for the issuing and distributing of price lists
showing the price to be paid by purchasers for each variety of liquor
kept for sale under this title;
(g) prescribing an official seal and official labels and stamps and
determining the manner in which they shall be attached to every package
of liquor sold or sealed under this title, including the prescribing of
different official seals or different official labels for different
classes of liquor;
(h) providing for the payment by the board in whole or in part of
the carrying charges on liquor shipped by freight or express;
(i) prescribing forms to be used for purposes of this title or the
regulations, and the terms and conditions to be contained in permits
and licenses issued under this title, and the qualifications for
receiving a permit or license issued under this title, including a
criminal history record information check. The board may submit the
criminal history record information check to the Washington state
patrol and to the identification division of the federal bureau of
investigation in order that these agencies may search their records for
prior arrests and convictions of the individual or individuals who
filled out the forms. The board shall require fingerprinting of any
applicant whose criminal history record information check is submitted
to the federal bureau of investigation;
(j) prescribing the fees payable in respect of permits and licenses
and liquor franchise agreements issued under this title for which no
fees are prescribed in this title, and prescribing the fees for
anything done or permitted to be done under the regulations;
(k) prescribing the kinds and quantities of liquor which may be
kept on hand by the holder of a special permit for the purposes named
in the permit, regulating the manner in which the same shall be kept
and disposed of, and providing for the inspection of the same at any
time at the instance of the board;
(l) regulating the sale of liquor kept by the holders of licenses
and liquor franchise agreements which entitle the holder to purchase
and keep liquor for sale;
(m) prescribing the records of purchases or sales of liquor kept by
the holders of licenses and liquor franchise agreements, and the
reports to be made thereon to the board, and providing for inspection
of the records so kept;
(n) prescribing the kinds and quantities of liquor for which a
prescription may be given, and the number of prescriptions which may be
given to the same patient within a stated period;
(o) prescribing the manner of giving and serving notices required
by this title or the regulations, where not otherwise provided for in
this title;
(p) regulating premises in which liquor is kept for export from the
state, or from which liquor is exported, prescribing the books and
records to be kept therein and the reports to be made thereon to the
board, and providing for the inspection of the premises and the books,
records and the liquor so kept;
(q) prescribing the conditions and qualifications requisite for the
obtaining of club licenses and the books and records to be kept and the
returns to be made by clubs, prescribing the manner of licensing clubs
in any municipality or other locality, and providing for the inspection
of clubs;
(r) prescribing the conditions, accommodations and qualifications
requisite for the obtaining of licenses to sell beer and wines, and
regulating the sale of beer and wines thereunder;
(s) specifying and regulating the time and periods when, and the
manner, methods and means by which manufacturers shall deliver liquor
within the state; and the time and periods when, and the manner,
methods and means by which liquor may lawfully be conveyed or carried
within the state;
(t) providing for the making of returns by brewers of their sales
of beer shipped within the state, or from the state, showing the gross
amount of such sales and providing for the inspection of brewers' books
and records, and for the checking of the accuracy of any such returns;
(u) providing for the making of returns by the wholesalers of beer
whose breweries are located beyond the boundaries of the state;
(v) providing for the making of returns by any other liquor
manufacturers, showing the gross amount of liquor produced or
purchased, the amount sold within and exported from the state, and to
whom so sold or exported, and providing for the inspection of the
premises of any such liquor manufacturers, their books and records, and
for the checking of any such return;
(w) providing for the giving of fidelity bonds by any or all of the
employees of the board: PROVIDED, That the premiums therefor shall be
paid by the board;
(x) providing for the shipment by mail or common carrier of liquor
to any person holding a permit and residing in any unit which has, by
election pursuant to this title, prohibited the sale of liquor therein;
(y) prescribing methods of manufacture, conditions of sanitation,
standards of ingredients, quality and identity of alcoholic beverages
manufactured, sold, bottled, or handled by licensees and the board; and
conducting from time to time, in the interest of the public health and
general welfare, scientific studies and research relating to alcoholic
beverages and the use and effect thereof;
(z) seizing, confiscating and destroying all alcoholic beverages
manufactured, sold or offered for sale within this state which do not
conform in all respects to the standards prescribed by this title or
the regulations of the board: PROVIDED, Nothing herein contained shall
be construed as authorizing the liquor board to prescribe, alter, limit
or in any way change the present law as to the quantity or percentage
of alcohol used in the manufacturing of wine or other alcoholic
beverages.
Sec. 203 RCW 66.08.070 and 1985 c 226 s 2 are each amended to
read as follows:
(1) Every order for the purchase of liquor shall be authorized by
the board, and no order for liquor shall be valid or binding unless it
is so authorized and signed by the board or its authorized designee.
(2) A duplicate of every such order shall be kept on file in the
office of the board.
(3) All cancellations of such orders made by the board shall be
signed in the same manner and duplicates thereof kept on file in the
office of the board. Nothing in this title shall be construed as
preventing the board from accepting liquor on consignment.
(4) In the purchase of wine or malt beverages the board shall not
require, as a term or condition of purchase, any warranty or
affirmation with respect to the relationship of the price charged the
board to any price charged any other buyer.
(5) This section does not apply to liquor franchises pursuant to
this title.
Sec. 204 RCW 66.08.130 and 1981 1st ex.s. c 5 s 4 are each
amended to read as follows:
For the purpose of obtaining information concerning any matter
relating to the administration or enforcement of this title, the board,
or any person appointed by it in writing for the purpose, may inspect
the books and records of
(1) any manufacturer;
(2) any license holder;
(3) any liquor franchise holder;
(4) any drug store holding a permit to sell on prescriptions;
(((4))) (5) the freight and express books and records and all
waybills, bills of lading, receipts and documents in the possession of
any common carrier doing business within the state, containing any
information or record relating to any goods shipped or carried, or
consigned or received for shipment or carriage within the state. Every
manufacturer, license holder, liquor franchise holder, drug store
holding a permit to sell on prescriptions, and common carrier, and
every owner or officer or employee of the foregoing, who neglects or
refuses to produce and submit for inspection any book, record or
document referred to in this section when requested to do so by the
board or by a person so appointed by it shall be guilty of a violation
of this title.
Sec. 205 RCW 66.08.140 and 1945 c 48 s 1 are each amended to read
as follows:
For the purpose of obtaining information concerning any matter
relating to the administration or enforcement of this title, the board,
or any person appointed by it in writing for the purpose, may inspect
the books, documents and records of any person lending money to or in
any manner financing any license, or liquor franchise agreement, holder
or applicant for license, or liquor franchise holder insofar as such
books, documents and/or records pertain to the financial transaction
involved. Every person who neglects or refuses to produce and submit
for inspection any book, record or document as required by this section
when requested to do so by the board or by a person duly appointed by
it shall be guilty of a violation of this title.
Sec. 206 RCW 66.08.150 and 1989 c 175 s 122 are each amended to
read as follows:
The action, order, or decision of the board as to any denial of an
application for the reissuance of a permit ((or)), license, or liquor
franchise agreement or as to any revocation, suspension, or
modification of any permit ((or)), license, or liquor franchise
agreement shall be an adjudicative proceeding and subject to the
applicable provisions of chapter 34.05 RCW.
(1) An opportunity for a hearing may be provided an applicant for
the reissuance of a permit ((or)), license, or liquor franchise
agreement prior to the disposition of the application, and if no such
opportunity for a prior hearing is provided then an opportunity for a
hearing to reconsider the application must be provided the applicant.
(2) An opportunity for a hearing must be provided a permittee
((or)), licensee, or liquor franchise holder prior to a revocation or
modification of any permit ((or)), license, or liquor franchise
agreement and, except as provided in subsection (4) of this section,
prior to the suspension of any permit ((or)), license, or liquor
franchise agreement.
(3) No hearing shall be required until demanded by the applicant,
permittee, ((or)) licensee, or liquor franchise holder.
(4) The board may summarily suspend a license ((or)), permit, or
liquor franchise agreement for a period of up to thirty days without a
prior hearing if it finds that public health, safety, or welfare
imperatively require emergency action, and incorporates a finding to
that effect in its order; and proceedings for revocation or other
action must be promptly instituted and determined.
Sec. 207 RCW 66.24.010 and 2002 c 119 s 3 are each amended to
read as follows:
(1) Every license and liquor franchise agreement shall be issued in
the name of the applicant, and the holder thereof shall not allow any
other person to use the license.
(2) For the purpose of considering any application for a license or
liquor franchise agreement, the board may cause an inspection of the
premises to be made, and may inquire into all matters in connection
with the construction and operation of the premises. For the purpose
of reviewing any application for a license or liquor franchise
agreement and for considering the denial, suspension or revocation of
any license or liquor franchise agreement, the liquor control board may
consider any prior criminal conduct of the applicant including a
criminal history record information check. The board may submit the
criminal history record information check to the Washington state
patrol and to the identification division of the federal bureau of
investigation in order that these agencies may search their records for
prior arrests and convictions of the individual or individuals who
filled out the forms. The board shall require fingerprinting of any
applicant whose criminal history record information check is submitted
to the federal bureau of investigation. The provisions of RCW 9.95.240
and of chapter 9.96A RCW shall not apply to such cases. The board may,
in its discretion, grant or refuse the license or liquor franchise
agreement applied for. Authority to approve an uncontested or
unopposed license or liquor franchise agreement may be granted by the
board to any staff member the board designates in writing. Conditions
for granting such authority shall be adopted by rule. No retail
license or liquor franchise agreement of any kind may be issued to:
(a) A person who has not resided in the state for at least one
month prior to making application, except in cases of licenses or
liquor franchise agreements issued to dining places on railroads,
boats, or aircraft;
(b) A copartnership, unless all of the members thereof are
qualified to obtain a license or liquor franchise agreement, as
provided in this section;
(c) A person whose place of business is conducted by a manager or
agent, unless such manager or agent possesses the same qualifications
required of the licensee or liquor franchise holder;
(d) A corporation or a limited liability company, unless it was
created under the laws of the state of Washington or holds a
certificate of authority to transact business in the state of
Washington.
(3)(a) The board may, in its discretion, subject to the provisions
of RCW 66.08.150, suspend or cancel any license or liquor franchise
agreement; and all rights of the licensee or liquor franchise holder to
keep or sell liquor thereunder shall be suspended or terminated, as the
case may be.
(b) The board shall immediately suspend the license ((or)),
certificate, or liquor franchise agreement of a person who has been
certified pursuant to RCW 74.20A.320 by the department of social and
health services as a person who is not in compliance with a support
order. If the person has continued to meet all other requirements for
reinstatement during the suspension, reissuance of the license ((or)),
certificate, or liquor franchise agreement shall be automatic upon the
board's receipt of a release issued by the department of social and
health services stating that the licensee or liquor franchise holder is
in compliance with the order.
(c) The board may request the appointment of administrative law
judges under chapter 34.12 RCW who shall have power to administer
oaths, issue subpoenas for the attendance of witnesses and the
production of papers, books, accounts, documents, and testimony,
examine witnesses, and to receive testimony in any inquiry,
investigation, hearing, or proceeding in any part of the state, under
such rules and regulations as the board may adopt.
(d) Witnesses shall be allowed fees and mileage each way to and
from any such inquiry, investigation, hearing, or proceeding at the
rate authorized by RCW 34.05.446, as now or hereafter amended. Fees
need not be paid in advance of appearance of witnesses to testify or to
produce books, records, or other legal evidence.
(e) In case of disobedience of any person to comply with the order
of the board or a subpoena issued by the board, or any of its members,
or administrative law judges, or on the refusal of a witness to testify
to any matter regarding which he or she may be lawfully interrogated,
the judge of the superior court of the county in which the person
resides, on application of any member of the board or administrative
law judge, shall compel obedience by contempt proceedings, as in the
case of disobedience of the requirements of a subpoena issued from said
court or a refusal to testify therein.
(4) Upon receipt of notice of the suspension or cancellation of a
license or liquor franchise agreement, the licensee or liquor franchise
holder shall forthwith deliver up the license or liquor franchise
agreement to the board. Where the license or liquor franchise
agreement has been suspended only, the board shall return the license
or liquor franchise agreement to the licensee or liquor franchise
holder at the expiration or termination of the period of suspension.
The board shall notify all vendors in the city or place where the
licensee or liquor franchise holder has its premises of the suspension
or cancellation of the license or liquor franchise agreement; and no
employee may allow or cause any liquor to be delivered to or for any
person at the premises of that licensee or liquor franchise holder.
(5)(a) At the time of the original issuance of a spirits, beer, and
wine restaurant license, the board shall prorate the license fee
charged to the new licensee according to the number of calendar
quarters, or portion thereof, remaining until the first renewal of that
license is required.
(b) Unless sooner canceled, every license issued by the board shall
expire at midnight of the thirtieth day of June of the fiscal year for
which it was issued. However, if the board deems it feasible and
desirable to do so, it may establish, by rule pursuant to chapter 34.05
RCW, a system for staggering the annual renewal dates for any and all
licenses authorized by this chapter. If such a system of staggered
annual renewal dates is established by the board, the license fees
provided by this chapter shall be appropriately prorated during the
first year that the system is in effect.
(6) Every license or liquor franchise agreement issued under this
section shall be subject to all conditions and restrictions imposed by
this title or by the regulations in force from time to time. All
conditions and restrictions imposed by the board in the issuance of an
individual license or liquor franchise agreement shall be listed on the
face of the individual license or liquor franchise agreement along with
the trade name, address, and expiration date.
(7) Every licensee or liquor franchise holder shall post and keep
posted its license, or licenses, or liquor franchise agreement in a
conspicuous place on the premises.
(8) Before the board shall issue a license or liquor franchise
agreement to an applicant it shall give notice of such application to
the chief executive officer of the incorporated city or town, if the
application be for a license or liquor franchise agreement within an
incorporated city or town, or to the county legislative authority, if
the application be for a license or liquor franchise agreement outside
the boundaries of incorporated cities or towns; and such incorporated
city or town, through the official or employee selected by it, or the
county legislative authority or the official or employee selected by
it, shall have the right to file with the board within twenty days
after date of transmittal of such notice, written objections against
the applicant or against the premises for which the license or liquor
franchise agreement is asked, and shall include with such objections a
statement of all facts upon which such objections are based, and in
case written objections are filed, may request and the liquor control
board may in its discretion hold a formal hearing subject to the
applicable provisions of Title 34 RCW. Upon the granting of a license
or liquor franchise agreement under this title the board shall send a
duplicate of the license or liquor franchise agreement or written
notification to the chief executive officer of the incorporated city or
town in which the license or liquor franchise agreement is granted, or
to the county legislative authority if the license or liquor franchise
agreement is granted outside the boundaries of incorporated cities or
towns.
(9) Before the board issues any license or liquor franchise
agreement to any applicant, it shall give (a) due consideration to the
location of the business to be conducted under such license or liquor
franchise agreement with respect to the proximity of churches, schools,
and public institutions and (b) written notice by certified mail of the
application to churches, schools, and public institutions within five
hundred feet of the premises ((to be licensed)). The board shall issue
no beer retailer license for either on-premises or off-premises
consumption or wine retailer license for either on-premises or off-premises consumption or spirits, beer, and wine restaurant license
covering any premises not now licensed, if such premises are within
five hundred feet of the premises of any tax-supported public
elementary or secondary school measured along the most direct route
over or across established public walks, streets, or other public
passageway from the outer property line of the school grounds to the
nearest public entrance of the premises proposed for license or liquor
franchise agreement, and if, after receipt by the school or public
institution of the notice as provided in this subsection, the board
receives written notice, within twenty days after posting such notice,
from an official representative or representatives of the school within
five hundred feet of said proposed licensed premises, indicating to the
board that there is an objection to the issuance of such license or
liquor franchise agreement because of proximity to a school. For the
purpose of this section, church shall mean a building erected for and
used exclusively for religious worship and schooling or other activity
in connection therewith. No liquor license may be issued or reissued
by the board to any motor sports facility ((or)), licensee, or liquor
franchise holder operating within the motor sports facility unless the
motor sports facility enforces a program reasonably calculated to
prevent alcohol or alcoholic beverages not purchased within the
facility from entering the facility and such program is approved by
local law enforcement agencies. It is the intent under this subsection
that a retail license or liquor franchise agreement shall not be issued
by the board where doing so would, in the judgment of the board,
adversely affect a private school meeting the requirements for private
schools under Title 28A RCW, which school is within five hundred feet
of the proposed licensee or liquor franchise holder. The board shall
fully consider and give substantial weight to objections filed by
private schools. If a license or liquor franchise agreement is issued
despite the proximity of a private school, the board shall state in a
letter addressed to the private school the board's reasons for issuing
the license or liquor franchise agreement.
(10) The restrictions set forth in subsection (9) of this section
shall not prohibit the board from authorizing the assumption of
existing licenses now located within the restricted area by other
persons or licenses or relocations of existing licensed premises within
the restricted area. In no case may the licensed premises be moved
closer to a church or school than it was before the assumption or
relocation.
(11) Nothing in this section prohibits the board, in its
discretion, from issuing a temporary retail or distributor license to
an applicant assuming an existing retail or distributor license to
continue the operation of the retail or distributor premises during the
period the application for the license is pending and when the
following conditions exist:
(a) The licensed premises has been operated under a retail or
distributor license within ninety days of the date of filing the
application for a temporary license;
(b) The retail or distributor license for the premises has been
surrendered pursuant to issuance of a temporary operating license;
(c) The applicant for the temporary license has filed with the
board an application to assume the retail or distributor license at
such premises to himself or herself; and
(d) The application for a temporary license is accompanied by a
temporary license fee established by the board by rule.
A temporary license issued by the board under this section shall be
for a period not to exceed sixty days. A temporary license may be
extended at the discretion of the board for an additional sixty-day
period upon payment of an additional fee and upon compliance with all
conditions required in this section.
Refusal by the board to issue or extend a temporary license shall
not entitle the applicant to request a hearing. A temporary license
may be canceled or suspended summarily at any time if the board
determines that good cause for cancellation or suspension exists. RCW
66.08.130 and chapter 34.05 RCW shall apply to temporary licenses.
Application for a temporary license shall be on such form as the
board shall prescribe. If an application for a temporary license is
withdrawn before issuance or is refused by the board, the fee which
accompanied such application shall be refunded in full.
Sec. 208 RCW 66.24.012 and 1997 c 58 s 862 are each amended to
read as follows:
The board shall immediately suspend the license or liquor franchise
agreement of a person who has been certified pursuant to RCW 74.20A.320
by the department of social and health services as a person who is not
in compliance with a support order or a residential or visitation
order. If the person has continued to meet all other requirements for
reinstatement during the suspension, reissuance of the license or
liquor franchise agreement shall be automatic upon the board's receipt
of a release issued by the department of social and health services
stating that the licensee or liquor franchise holder is in compliance
with the order.
Sec. 209 RCW 66.24.015 and 1988 c 200 s 4 are each amended to
read as follows:
An application for a new annual retail license under this title
shall be accompanied by payment of a nonrefundable seventy-five dollar
fee to cover expenses incurred in processing the application. If the
application is approved, the application fee shall be applied toward
the fee charged for the license. An application for a liquor franchise
agreement under this title shall be accompanied by a nonrefundable fee
to be determined by the board by rule. If the liquor franchise
application is approved, the application fee shall be applied toward
the fee charged for the license.
Sec. 210 RCW 66.24.025 and 2002 c 119 s 4 are each amended to
read as follows:
(1) If the board approves, a license or liquor franchise agreement
may be transferred, without charge, to the surviving spouse only of a
deceased licensee or liquor franchise holder if the parties were
maintaining a marital community and the license or liquor franchise
agreement was issued in the names of one or both of the parties. For
the purpose of considering the qualifications of the surviving party or
parties to receive a liquor license or liquor franchise agreement, the
liquor control board may require a criminal history record information
check. The board may submit the criminal history record information
check to the Washington state patrol and to the identification division
of the federal bureau of investigation in order that these agencies may
search their records for prior arrests and convictions of the
individual or individuals who filled out the forms. The board shall
require fingerprinting of any applicant whose criminal history record
information check is submitted to the federal bureau of investigation.
(2) The proposed sale of more than ten percent of the outstanding
and/or issued stock of a licensed corporation or any proposed change in
the officers of a licensed corporation must be reported to the board,
and board approval must be obtained before such changes are made. A
fee of seventy-five dollars will be charged for the processing of such
change of stock ownership and/or corporate officers.
Sec. 211 RCW 66.24.120 and 1973 1st ex.s. c 209 s 12 are each
amended to read as follows:
The board in suspending any license or liquor franchise agreement
may further provide in the order of suspension that such suspension
shall be vacated upon payment to the board by the licensee or liquor
franchise holder of a monetary penalty in an amount then fixed by the
board.
Sec. 212 RCW 66.44.200 and 1998 c 259 s 1 are each amended to
read as follows:
(1) No person shall sell any liquor to any person apparently under
the influence of liquor.
(2)(a) No person who is apparently under the influence of liquor
may purchase or consume liquor on any premises licensed by the board or
any liquor franchise designated by the board.
(b) A violation of this subsection is an infraction punishable by
a fine of not more than five hundred dollars.
(c) A defendant's intoxication may not be used as a defense in an
action under this subsection.
(d) Until July 1, 2000, every establishment licensed under RCW
66.24.330 or 66.24.420 shall conspicuously post in the establishment
notice of the prohibition against the purchase or consumption of liquor
under this subsection.
(3) An administrative action for violation of subsection (1) of
this section and an infraction issued for violation of subsection (2)
of this section arising out of the same incident are separate actions
and the outcome of one shall not determine the outcome of the other.
Sec. 213 RCW 66.44.318 and 1995 c 100 s 2 are each amended to
read as follows:
Licensees holding nonretail class liquor licenses and liquor
franchise holders are permitted to allow their employees between
(([the])) the ages of eighteen and twenty-one to stock, merchandise,
and handle beer or wine on or about the nonretail premises if there is
an adult twenty-one years of age or older on duty supervising such
activities on the premises.
Sec. 214 RCW 66.44.340 and 1999 c 281 s 11 are each amended to
read as follows:
Employers holding grocery store or beer and/or wine specialty shop
licenses and liquor franchise holders exclusively are permitted to
allow their employees, between the ages of eighteen and twenty-one
years, to sell, stock, and handle beer or wine in, on or about any
establishment holding a grocery store or beer and/or wine specialty
shop license exclusively: PROVIDED, That there is an adult twenty-one
years of age or older on duty supervising the sale of liquor at the
licensed premises: PROVIDED, That minor employees may make deliveries
of beer and/or wine purchased from licensees holding grocery store or
beer and/or wine specialty shop licenses exclusively, when delivery is
made to cars of customers adjacent to such licensed premises but only,
however, when the minor employee is accompanied by the purchaser.
NEW SECTION. Sec. 215 A new section is added to chapter 66.08
RCW to read as follows:
(1) By July 1, 2005, the board must close all state liquor stores
and state liquor distribution facilities, and must sell at auction all
assets pertaining to the state sale and distribution of liquor. Funds
received from these auctions shall be deposited in the state general
fund.
(2) By July 1, 2005, the board must:
(a) Determine liquor franchise areas throughout the state in which
a certain number of liquor franchises can be located;
(b) Establish criteria for the placement of liquor franchises in
liquor franchise areas, including input gained from cities, counties,
towns, schools, churches, and public institutions pursuant to RCW
66.24.010, and the amount of the bid submitted by the liquor franchise
applicant;
(c) Collect information from incorporated cities and towns
regarding acceptable locations for liquor franchises within their
boundaries. The board must not locate liquor franchises in any
locations that have not been deemed acceptable by cities and towns; and
(d) Award liquor franchise agreements to applicants in all liquor
franchise areas.
(3) The board shall provide an orderly transition from state liquor
store sales to liquor franchise sales.
(4) After July 1, 2005, it is unlawful for the board to lease space
for or to operate a state retail or wholesale liquor store.
(5) Nothing in this section shall be construed to eliminate liquor
vendors as referenced in RCW 66.08.050.
(6) The board may adopt rules to carry out the provisions of this
section. These rules may include, but are not limited to:
(a) The establishment of franchise agreement periods, expiration
dates, and renewal procedures;
(b) The enumeration of records to be kept by franchise holders;
(c) The procedures for advertising and other promotion of sales of
spirits by liquor franchise holders, in accordance with RCW 66.08.060;
and
(d) The establishment of fees and administrative penalties for
liquor franchise holders.
(7) The price of liquor sold at liquor franchises must be set by
each liquor franchise holder, but cannot be less than the price the
franchise holder paid to obtain the liquor, including any applicable
taxes.
(8) The board shall determine the hours and days during which
liquor may be sold at liquor franchises.
Sec. 301 RCW 66.04.010 and 2003 c ... s 201 (section 201 of this
act) are each amended to read as follows:
In this title, unless the context otherwise requires:
(1) "Alcohol" is that substance known as ethyl alcohol, hydrated
oxide of ethyl, or spirit of wine, which is commonly produced by the
fermentation or distillation of grain, starch, molasses, or sugar, or
other substances including all dilutions and mixtures of this
substance. The term "alcohol" does not include alcohol in the
possession of a manufacturer or distiller of alcohol fuel, as described
in RCW 66.12.130, which is intended to be denatured and used as a fuel
for use in motor vehicles, farm implements, and machines or implements
of husbandry.
(2) "Beer" means any malt beverage or malt liquor as these terms
are defined in this chapter.
(3) "Beer distributor" means a person who buys beer from a brewer
or brewery located either within or beyond the boundaries of the state,
beer importers, or foreign produced beer from a source outside the
state of Washington, for the purpose of selling the same pursuant to
this title, or who represents such brewer or brewery as agent.
(4) "Beer importer" means a person or business within Washington
who purchases beer from a United States brewery holding a certificate
of approval (B5) or foreign produced beer from a source outside the
state of Washington for the purpose of selling the same pursuant to
this title.
(5) "Brewer" means any person engaged in the business of
manufacturing beer and malt liquor. Brewer includes a brand owner of
malt beverages who holds a brewer's notice with the federal bureau of
alcohol, tobacco, and firearms at a location outside the state and
whose malt beverage is contract-produced by a licensed in-state
brewery, and who may exercise within the state, under a domestic
brewery license, only the privileges of storing, selling to licensed
beer distributors, and exporting beer from the state.
(6) "Board" means the liquor control board, constituted under this
title.
(7) "Club" means an organization of persons, incorporated or
unincorporated, operated solely for fraternal, benevolent, educational,
athletic or social purposes, and not for pecuniary gain.
(8) "Consume" includes the putting of liquor to any use, whether by
drinking or otherwise.
(9) "Dentist" means a practitioner of dentistry duly and regularly
licensed and engaged in the practice of his profession within the state
pursuant to chapter 18.32 RCW.
(10) "Distiller" means a person engaged in the business of
distilling spirits.
(11) "Domestic brewery" means a place where beer and malt liquor
are manufactured or produced by a brewer within the state.
(12) "Domestic winery" means a place where wines are manufactured
or produced within the state of Washington.
(13) "Druggist" means any person who holds a valid certificate and
is a registered pharmacist and is duly and regularly engaged in
carrying on the business of pharmaceutical chemistry pursuant to
chapter 18.64 RCW.
(14) "Drug store" means a place whose principal business is, the
sale of drugs, medicines and pharmaceutical preparations and maintains
a regular prescription department and employs a registered pharmacist
during all hours the drug store is open.
(15) "Employee" means any person employed by the board((, including
a vendor, as hereinafter in this section defined)).
(16) "Fund" means 'liquor revolving fund.'
(17) "Hotel" means every building or other structure kept, used,
maintained, advertised or held out to the public to be a place where
food is served and sleeping accommodations are offered for pay to
transient guests, in which twenty or more rooms are used for the
sleeping accommodation of such transient guests and having one or more
dining rooms where meals are served to such transient guests, such
sleeping accommodations and dining rooms being conducted in the same
building and buildings, in connection therewith, and such structure or
structures being provided, in the judgment of the board, with adequate
and sanitary kitchen and dining room equipment and capacity, for
preparing, cooking and serving suitable food for its guests: PROVIDED
FURTHER, That in cities and towns of less than five thousand
population, the board shall have authority to waive the provisions
requiring twenty or more rooms.
(18) "Importer" means a person who buys distilled spirits from a
distillery outside the state of Washington and imports such spirituous
liquor into the state for sale to the board or for export.
(19) "Imprisonment" means confinement in the county jail.
(20) "Liquor" includes the four varieties of liquor herein defined
(alcohol, spirits, wine and beer), and all fermented, spirituous,
vinous, or malt liquor, or combinations thereof, and mixed liquor, a
part of which is fermented, spirituous, vinous or malt liquor, or
otherwise intoxicating; and every liquid or solid or semisolid or other
substance, patented or not, containing alcohol, spirits, wine or beer,
and all drinks or drinkable liquids and all preparations or mixtures
capable of human consumption, and any liquid, semisolid, solid, or
other substance, which contains more than one percent of alcohol by
weight shall be conclusively deemed to be intoxicating. Liquor does
not include confections or food products that contain one percent or
less of alcohol by weight.
(21) "Liquor franchise" means a specific location designated by the
board where spirits may be sold in original packages for off-premises
consumption, or where liquor may be sold to holders of a permit to
purchase.
(22) "Liquor franchise agreement" means approval by the board to
operate a liquor franchise in accordance with the provisions of this
title.
(23) "Liquor franchise applicant" means any person who bids for a
liquor franchise agreement to sell spirits in accordance with the
provisions of this title.
(24) "Liquor franchise area" means a geographic area designated as
such by the board for the purpose of issuing franchises.
(25) "Liquor franchise holder" means a person who has been granted
a liquor franchise agreement in accordance with the provisions of this
title.
(26) "Manufacturer" means a person engaged in the preparation of
liquor for sale, in any form whatsoever.
(27) "Malt beverage" or "malt liquor" means any beverage such as
beer, ale, lager beer, stout, and porter obtained by the alcoholic
fermentation of an infusion or decoction of pure hops, or pure extract
of hops and pure barley malt or other wholesome grain or cereal in pure
water containing not more than eight percent of alcohol by weight, and
not less than one-half of one percent of alcohol by volume. For the
purposes of this title, any such beverage containing more than eight
percent of alcohol by weight shall be referred to as "strong beer."
(28) "Package" means any container or receptacle used for holding
liquor.
(29) "Permit" means a permit for the purchase of liquor under this
title.
(30) "Person" means an individual, copartnership, association, or
corporation.
(31) "Physician" means a medical practitioner duly and regularly
licensed and engaged in the practice of his profession within the state
pursuant to chapter 18.71 RCW.
(32) "Prescription" means a memorandum signed by a physician and
given by him to a patient for the obtaining of liquor pursuant to this
title for medicinal purposes.
(33) "Public place" includes streets and alleys of incorporated
cities and towns; state or county or township highways or roads;
buildings and grounds used for school purposes; public dance halls and
grounds adjacent thereto; those parts of establishments where beer may
be sold under this title, soft drink establishments, public buildings,
public meeting halls, lobbies, halls and dining rooms of hotels,
restaurants, theatres, stores, garages and filling stations which are
open to and are generally used by the public and to which the public is
permitted to have unrestricted access; railroad trains, stages, and
other public conveyances of all kinds and character, and the depots and
waiting rooms used in conjunction therewith which are open to
unrestricted use and access by the public; publicly owned bathing
beaches, parks, and/or playgrounds; and all other places of like or
similar nature to which the general public has unrestricted right of
access, and which are generally used by the public.
(34) "Regulations" means regulations made by the board under the
powers conferred by this title.
(35) "Restaurant" means any establishment provided with special
space and accommodations where, in consideration of payment, food,
without lodgings, is habitually furnished to the public, not including
drug stores and soda fountains.
(36) "Sale" and "sell" include exchange, barter, and traffic; and
also include the selling or supplying or distributing, by any means
whatsoever, of liquor, or of any liquid known or described as beer or
by any name whatever commonly used to describe malt or brewed liquor or
of wine, by any person to any person; and also include a sale or
selling within the state to a foreign consignee or his agent in the
state. "Sale" and "sell" shall not include the giving, at no charge,
of a reasonable amount of liquor by a person not licensed by the board
to a person not licensed by the board, for personal use only. "Sale"
and "sell" also does not include a raffle authorized under RCW
9.46.0315: PROVIDED, That the nonprofit organization conducting the
raffle has obtained the appropriate permit from the board.
(37) "Soda fountain" means a place especially equipped with
apparatus for the purpose of dispensing soft drinks, whether mixed or
otherwise.
(38) "Spirits" means any beverage which contains alcohol obtained
by distillation, including wines exceeding twenty-four percent of
alcohol by volume and beer exceeding eight percent of alcohol by
weight.
(39) (("Store" means a state liquor store established under this
title.)) "Tavern" means any establishment with special space and
accommodation for sale by the glass and for consumption on the
premises, of beer, as herein defined.
(40)
(((41) "Vendor" means a person employed by the board as a store
manager under this title.)) (40) "Winery" means a business conducted by any person for
the manufacture of wine for sale, other than a domestic winery.
(42)
(((43))) (41) "Wine" means any alcoholic beverage obtained by
fermentation of fruits (grapes, berries, apples, et cetera) or other
agricultural product containing sugar, to which any saccharine
substances may have been added before, during or after fermentation,
and containing not more than twenty-four percent of alcohol by volume,
including sweet wines fortified with wine spirits, such as port,
sherry, muscatel and angelica, not exceeding twenty-four percent of
alcohol by volume and not less than one-half of one percent of alcohol
by volume. For purposes of this title, any beverage containing no more
than fourteen percent of alcohol by volume when bottled or packaged by
the manufacturer shall be referred to as "table wine," and any beverage
containing alcohol in an amount more than fourteen percent by volume
when bottled or packaged by the manufacturer shall be referred to as
"fortified wine." However, "fortified wine" shall not include: (a)
Wines that are both sealed or capped by cork closure and aged two years
or more; and (b) wines that contain more than fourteen percent alcohol
by volume solely as a result of the natural fermentation process and
that have not been produced with the addition of wine spirits, brandy,
or alcohol.
This subsection shall not be interpreted to require that any wine
be labeled with the designation "table wine" or "fortified wine."
(((44))) (42) "Wine distributor" means a person who buys wine from
a vintner or winery located either within or beyond the boundaries of
the state for the purpose of selling the same not in violation of this
title, or who represents such vintner or winery as agent.
(((45))) (43) "Wine importer" means a person or business within
Washington who purchases wine from a United States winery holding a
certificate of approval (W7) or foreign produced wine from a source
outside the state of Washington for the purpose of selling the same
pursuant to this title.
Sec. 302 RCW 66.08.020 and 1933 ex.s. c 62 s 5 are each amended
to read as follows:
The administration of this title((, including the general control,
management and supervision of all liquor stores,)) shall be vested in
the liquor control board, constituted under this title.
Sec. 303 RCW 66.08.030 and 2003 c ... s 202 (section 202 of this
act) are each amended to read as follows:
(1) For the purpose of carrying into effect the provisions of this
title according to their true intent or of supplying any deficiency
therein, the board may make such regulations not inconsistent with the
spirit of this title as are deemed necessary or advisable. All
regulations so made shall be a public record and shall be filed in the
office of the code reviser, and thereupon shall have the same force and
effect as if incorporated in this title. Such regulations, together
with a copy of this title, shall be published in pamphlets and shall be
distributed as directed by the board.
(2) Without thereby limiting the generality of the provisions
contained in subsection (1), it is declared that the power of the board
to make regulations in the manner set out in that subsection shall
extend to
(a) ((regulating the equipment and management of liquor franchises
and stores and warehouses in which state liquor is sold or kept, and
prescribing the books and records to be kept therein and the reports to
be made thereon to the board;)) prescribing the duties of the employees of the board, and
regulating their conduct in the discharge of their duties;
(b)
(((c) governing the purchase of liquor by the state and the
furnishing of liquor to stores established under this title;)) (b) prescribing an official seal and official labels and
stamps and determining the manner in which they shall be attached to
every package of liquor sold or sealed under this title, including the
prescribing of different official seals or different official labels
for different classes of liquor;
(d) determining the classes, varieties, and brands of liquor to be
kept for sale at any store;
(e) prescribing, subject to RCW 66.16.080, the hours during which
the state liquor stores shall be kept open for the sale of liquor;
(f) providing for the issuing and distributing of price lists
showing the price to be paid by purchasers for each variety of liquor
kept for sale under this title;
(g)
(((h) providing for the payment by the board in whole or in part of
the carrying charges on liquor shipped by freight or express;)) (c) prescribing forms to be used for purposes of this title
or the regulations, and the terms and conditions to be contained in
permits and licenses issued under this title, and the qualifications
for receiving a permit or license issued under this title, including a
criminal history record information check. The board may submit the
criminal history record information check to the Washington state
patrol and to the identification division of the federal bureau of
investigation in order that these agencies may search their records for
prior arrests and convictions of the individual or individuals who
filled out the forms. The board shall require fingerprinting of any
applicant whose criminal history record information check is submitted
to the federal bureau of investigation;
(i)
(((j))) (d) prescribing the fees payable in respect of permits and
licenses and liquor franchise agreements issued under this title for
which no fees are prescribed in this title, and prescribing the fees
for anything done or permitted to be done under the regulations;
(((k))) (e) prescribing the kinds and quantities of liquor which
may be kept on hand by the holder of a special permit for the purposes
named in the permit, regulating the manner in which the same shall be
kept and disposed of, and providing for the inspection of the same at
any time at the instance of the board;
(((l))) (f) regulating the sale of liquor kept by the holders of
licenses and liquor franchise agreements which entitle the holder to
purchase and keep liquor for sale;
(((m))) (g) prescribing the records of purchases or sales of liquor
kept by the holders of licenses and liquor franchise agreements, and
the reports to be made thereon to the board, and providing for
inspection of the records so kept;
(((n))) (h) prescribing the kinds and quantities of liquor for
which a prescription may be given, and the number of prescriptions
which may be given to the same patient within a stated period;
(((o))) (i) prescribing the manner of giving and serving notices
required by this title or the regulations, where not otherwise provided
for in this title;
(((p))) (j) regulating premises in which liquor is kept for export
from the state, or from which liquor is exported, prescribing the books
and records to be kept therein and the reports to be made thereon to
the board, and providing for the inspection of the premises and the
books, records and the liquor so kept;
(((q))) (k) prescribing the conditions and qualifications requisite
for the obtaining of club licenses and the books and records to be kept
and the returns to be made by clubs, prescribing the manner of
licensing clubs in any municipality or other locality, and providing
for the inspection of clubs;
(((r))) (l) prescribing the conditions, accommodations and
qualifications requisite for the obtaining of licenses to sell beer and
wines, and regulating the sale of beer and wines thereunder;
(((s))) (m) specifying and regulating the time and periods when,
and the manner, methods and means by which manufacturers shall deliver
liquor within the state; and the time and periods when, and the manner,
methods and means by which liquor may lawfully be conveyed or carried
within the state;
(((t))) (n) providing for the making of returns by brewers of their
sales of beer shipped within the state, or from the state, showing the
gross amount of such sales and providing for the inspection of brewers'
books and records, and for the checking of the accuracy of any such
returns;
(((u))) (o) providing for the making of returns by the wholesalers
of beer whose breweries are located beyond the boundaries of the state;
(((v))) (p) providing for the making of returns by any other liquor
manufacturers, showing the gross amount of liquor produced or
purchased, the amount sold within and exported from the state, and to
whom so sold or exported, and providing for the inspection of the
premises of any such liquor manufacturers, their books and records, and
for the checking of any such return;
(((w))) (q) providing for the giving of fidelity bonds by any or
all of the employees of the board: PROVIDED, That the premiums
therefor shall be paid by the board;
(((x))) (r) providing for the shipment by mail or common carrier of
liquor to any person holding a permit and residing in any unit which
has, by election pursuant to this title, prohibited the sale of liquor
therein;
(((y))) (s) prescribing methods of manufacture, conditions of
sanitation, standards of ingredients, quality and identity of alcoholic
beverages manufactured, sold, bottled, or handled by licensees and the
board; and conducting from time to time, in the interest of the public
health and general welfare, scientific studies and research relating to
alcoholic beverages and the use and effect thereof;
(((z))) (t) seizing, confiscating and destroying all alcoholic
beverages manufactured, sold or offered for sale within this state
which do not conform in all respects to the standards prescribed by
this title or the regulations of the board: PROVIDED, Nothing herein
contained shall be construed as authorizing the liquor board to
prescribe, alter, limit or in any way change the present law as to the
quantity or percentage of alcohol used in the manufacturing of wine or
other alcoholic beverages.
Sec. 304 RCW 66.08.050 and 1997 c 228 s 1 are each amended to
read as follows:
The board, subject to the provisions of this title and the rules,
shall:
(1) ((Determine the localities within which state liquor stores
shall be established throughout the state, and the number and situation
of the stores within each locality;)) The
board may appoint, in its discretion, a manufacturer that also
manufactures liquor products other than wine under a license under this
title, as a vendor for the purpose of sale of liquor products of its
own manufacture on the licensed premises only. ((
(2) Appoint in cities and towns and other communities, in which no
state liquor store is located, liquor vendors. In addition,Such liquor vendors
shall be agents of the board and be authorized to sell liquor to such
persons, firms or corporations as provided for the sale of liquor from
a state liquor store, and)) Such vendors shall be subject to such
additional rules and regulations consistent with this title as the
board may require;
(((3) Establish all necessary warehouses for the storing and
bottling, diluting and rectifying of stocks of liquors for the purposes
of this title;)) (2) Determine the nature, form and capacity of all packages
to be used for containing liquor kept for sale under this title;
(4) Provide for the leasing for periods not to exceed ten years of
all premises required for the conduct of the business; and for
remodeling the same, and the procuring of their furnishings, fixtures,
and supplies; and for obtaining options of renewal of such leases by
the lessee. The terms of such leases in all other respects shall be
subject to the direction of the board;
(5)
(((6))) (3) Execute or cause to be executed, all contracts, papers,
and documents in the name of the board, under such regulations as the
board may fix;
(((7))) (4) Pay all customs, duties, excises, charges and
obligations whatsoever relating to the business of the board;
(((8) Require bonds from all employees in the discretion of the
board, and to determine the amount of fidelity bond of each such
employee;)) (5) Perform services for the state lottery commission to such
extent, and for such compensation, as may be mutually agreed upon
between the board and the commission;
(9)
(((10))) (6) Accept and deposit into the general fund-local account
and disburse, subject to appropriation, federal grants or other funds
or donations from any source for the purpose of improving public
awareness of the health risks associated with alcohol consumption by
youth and the abuse of alcohol by adults in Washington state. The
board's alcohol awareness program shall cooperate with federal and
state agencies, interested organizations, and individuals to effect an
active public beverage alcohol awareness program;
(((11))) (7) Perform all other matters and things, whether similar
to the foregoing or not, to carry out the provisions of this title, and
shall have full power to do each and every act necessary to the conduct
of its business, including all buying, selling, preparation and
approval of forms, and every other function of the business whatsoever,
subject only to audit by the state auditor: PROVIDED, That the board
shall have no authority to regulate the content of spoken language on
licensed premises where wine and other liquors are served and where
there is not a clear and present danger of disorderly conduct being
provoked by such language.
Sec. 305 RCW 66.12.110 and 1999 c 281 s 3 are each amended to
read as follows:
A person twenty-one years of age or over may bring into the state
from without the United States, free of tax and markup, for his
personal or household use such alcoholic beverages as have been
declared and permitted to enter the United States duty free under
federal law.
Such entry of alcoholic beverages in excess of that herein provided
may be authorized by the board upon payment of ((an equivalent markup
and tax as would be applicable to the purchase of the same or similar
liquor at retail from a Washington state liquor store)) state sales
tax. The board shall adopt appropriate regulations pursuant to chapter
34.05 RCW for the purpose of carrying out the provisions of this
section. The board may issue a spirits, beer, and wine private club
license to a charitable or nonprofit corporation of the state of
Washington, the majority of the officers and directors of which are
United States citizens and the minority of the officers and directors
of which are citizens of the Dominion of Canada, and where the location
of the premises for such spirits, beer, and wine private club license
is not more than ten miles south of the border between the United
States and the province of British Columbia.
Sec. 306 RCW 66.12.120 and 1995 c 100 s 1 are each amended to
read as follows:
Notwithstanding any other provision of Title 66 RCW, a person
twenty-one years of age or over may, free of tax and markup, for
personal or household use, bring into the state of Washington from
another state no more than once per calendar month up to two liters of
spirits or wine or two hundred eighty-eight ounces of beer.
Additionally, such person may be authorized by the board to bring into
the state of Washington from another state a reasonable amount of
alcoholic beverages in excess of that provided in this section for
personal or household use only upon payment of ((an equivalent markup
and tax as would be applicable to the purchase of the same or similar
liquor at retail from a state liquor store)) state sales tax. The
board shall adopt appropriate regulations pursuant to chapter 34.05 RCW
for the purpose of carrying into effect the provisions of this section.
Sec. 307 RCW 66.20.160 and 1973 1st ex.s. c 209 s 4 are each
amended to read as follows:
Words and phrases as used in RCW 66.20.160 to 66.20.210, inclusive,
shall have the following meaning:
"Card of identification" means any one of those cards described in
RCW 66.16.040.
"Licensee" means the holder of a retail liquor license issued by
the board, and includes any employee or agent of the licensee.
(("Store employee" means a person employed in a state liquor store
or agency to sell liquor.))
"Liquor franchise holder" means a person who has been granted a
liquor franchise agreement in accordance with the provisions of this
title.
Sec. 308 RCW 66.20.170 and 1973 1st ex.s. c 209 s 5 are each
amended to read as follows:
A card of identification may, for the purpose of this title and for
the purpose of procuring liquor, be accepted as an identification card
by any licensee or ((store employee)) liquor franchise holder and as
evidence of legal age of the person presenting such card, provided the
licensee or ((store employee)) liquor franchise holder complies with
the conditions and procedures prescribed herein and such regulations as
may be made by the board.
Sec. 309 RCW 66.20.180 and 1973 1st ex.s. c 209 s 6 are each
amended to read as follows:
A card of identification shall be presented by the holder thereof
upon request of any licensee, ((store employee,)) liquor franchise
holder, peace officer, or enforcement officer of the board for the
purpose of aiding the licensee, ((store employee,)) liquor franchise
holder, peace officer, or enforcement officer of the board to determine
whether or not such person is of legal age to purchase liquor when such
person desires to procure liquor from a licensed establishment or state
liquor store or agency.
Sec. 310 RCW 66.20.190 and 1981 1st ex.s. c 5 s 9 are each
amended to read as follows:
In addition to the presentation by the holder and verification by
the licensee or ((store employee)) liquor franchise holder of such card
of identification, the licensee or ((store employee)) liquor franchise
holder who is still in doubt about the true age of the holder shall
require the person whose age may be in question to sign a certification
card and record an accurate description and serial number of his card
of identification thereon. Such statement shall be upon a five-inch by
eight-inch file card, which card shall be filed alphabetically by the
licensee or ((store employee)) liquor franchise holder at or before the
close of business on the day on which the statement is executed, in the
file box containing a suitable alphabetical index and the card shall be
subject to examination by any peace officer or agent or employee of the
board at all times. The certification card shall also contain in bold-face type a statement stating that the signer understands that
conviction for unlawful purchase of alcoholic beverages or misuse of
the certification card may result in criminal penalties including
imprisonment or fine or both.
Sec. 311 RCW 66.20.200 and 2002 c 175 s 41 are each amended to
read as follows:
It shall be unlawful for the owner of a card of identification to
transfer the card to any other person for the purpose of aiding such
person to procure alcoholic beverages from any licensee or ((store
employee)) liquor franchise holder. Any person who shall permit his or
her card of identification to be used by another or transfer such card
to another for the purpose of aiding such transferee to obtain
alcoholic beverages from a licensee or ((store employee)) liquor
franchise holder or gain admission to a premises or portion of a
premises classified by the board as off-limits to persons under twenty-one years of age, shall be guilty of a misdemeanor punishable as
provided by RCW 9A.20.021, except that a minimum fine of two hundred
fifty dollars shall be imposed and any sentence requiring community
restitution shall require not fewer than twenty-five hours of community
restitution. Any person not entitled thereto who unlawfully procures
or has issued or transferred to him or her a card of identification,
and any person who possesses a card of identification not issued to him
or her, and any person who makes any false statement on any
certification card required by RCW 66.20.190, as now or hereafter
amended, to be signed by him or her, shall be guilty of a misdemeanor
punishable as provided by RCW 9A.20.021, except that a minimum fine of
two hundred fifty dollars shall be imposed and any sentence requiring
community restitution shall require not fewer than twenty-five hours of
community restitution.
Sec. 312 RCW 66.20.210 and 1973 1st ex.s. c 209 s 9 are each
amended to read as follows:
No licensee or the agent or employee of the licensee, or ((store
employee)) liquor franchise holder, shall be prosecuted criminally or
be sued in any civil action for serving liquor to a person under legal
age to purchase liquor if such person has presented a card of
identification in accordance with RCW 66.20.180, and has signed a
certification card as provided in RCW 66.20.190.
Such card in the possession of a licensee may be offered as a
defense in any hearing held by the board for serving liquor to the
person who signed the card and may be considered by the board as
evidence that the licensee acted in good faith.
Sec. 313 RCW 66.24.395 and 1997 c 321 s 25 are each amended to
read as follows:
(1)(a) There shall be a license that may be issued to corporations,
associations, or persons operating as federally licensed commercial
common passenger carriers engaged in interstate commerce, in or over
territorial limits of the state of Washington on passenger trains,
vessels, or airplanes. Such license shall permit the sale of
spirituous liquor, wine, and beer at retail for passenger consumption
within the state upon one such train passenger car, vessel, or
airplane, while in or over the territorial limits of the state. Such
license shall include the privilege of transporting into and storing
within the state such liquor for subsequent retail sale to passengers
in passenger train cars, vessels or airplanes. The fees for such
master license shall be seven hundred fifty dollars per annum (class
CCI-1): PROVIDED, That upon payment of an additional sum of five
dollars per annum per car, or vessel, or airplane, the privileges
authorized by such license classes shall extend to additional cars, or
vessels, or airplanes operated by the same licensee within the state,
and a duplicate license for each additional car, or vessel, or airplane
shall be issued: PROVIDED, FURTHER, That such licensee may make such
sales and/or service upon cars, or vessels, or airplanes in emergency
for not more than five consecutive days without such license: AND
PROVIDED, FURTHER, That such license shall be valid only while such
cars, or vessels, or airplanes are actively operated as common carriers
for hire in interstate commerce and not while they are out of such
common carrier service.
(b) Alcoholic beverages sold and/or served for consumption by such
interstate common carriers while within or over the territorial limits
of this state shall be subject to such ((board markup and)) state
liquor taxes in an amount to approximate the revenue that would have
been realized from such ((markup and)) taxes had the alcoholic
beverages been purchased in Washington((: PROVIDED, That the board's
markup shall be applied on spirituous liquor only)). Such common
carriers shall report such sales and/or service and pay ((such markup
and)) taxes in accordance with procedures prescribed by the board.
(2) Alcoholic beverages sold and delivered in this state to
interstate common carriers for use under the provisions of this section
shall be considered exported from the state, subject to the conditions
provided in subsection (1)(b) of this section. The storage facilities
for liquor within the state by common carriers licensed under this
section shall be subject to written approval by the board.
Sec. 314 RCW 66.32.010 and 1955 c 39 s 3 are each amended to read
as follows:
Except as permitted by the board, no liquor shall be kept or had by
any person within this state unless the package in which the liquor was
contained had, while containing that liquor, been sealed with the
official seal adopted by the board, except in the case of:
(1) ((Liquor imported by the board; or)) Liquor manufactured in the state for ((
(2)sale to the board or
for)) export; or
(((3))) (2) Beer, purchased in accordance with the provisions of
law; or
(((4))) (3) Wine or beer exempted in RCW 66.12.010.
Sec. 315 RCW 66.44.150 and 1955 c 289 s 5 are each amended to
read as follows:
If any person in this state buys alcoholic beverages from any
person other than ((the board, a state liquor store, or)) some person
authorized by the board to sell them, he shall be guilty of a
misdemeanor.
NEW SECTION. Sec. 316 The following acts or parts of acts are
each repealed:
(1) RCW 66.08.070 (Purchase of liquor by board -- Consignment not
prohibited -- Warranty or affirmation not required for wine or malt
purchases) and 2003 c ... s 203 (section 203 of this act), 1985 c 226
s 2, 1973 1st ex.s. c 209 s 1, & 1933 ex.s. c 62 s 67;
(2) RCW 66.08.160 (Acquisition of warehouse authorized) and 1947 c
134 s 1;
(3) RCW 66.08.220 (Liquor revolving fund -- Separate account--Distribution) and 1999 c 281 s 2 & 1949 c 5 s 11;
(4) RCW 66.08.235 (Liquor control board construction and
maintenance account) and 2002 c 371 s 918 & 1997 c 75 s 1;
(5) RCW 66.16.010 (Board may establish -- Price standards -- Prices in
special instances) and 1939 c 172 s 10, 1937 c 62 s 1, & 1933 ex.s. c
62 s 4;
(6) RCW 66.16.030 (Vendor to be in charge) and 1933 ex.s. c 62 s 6;
(7) RCW 66.16.040 (Sales of liquor by employees -- Identification
cards -- Permit holders -- Sales for cash -- Exception) and 1996 c 291 s 1,
1995 c 16 s 1, 1981 1st ex.s. c 5 s 8, 1979 c 158 s 217, 1973 1st ex.s.
c 209 s 3, 1971 ex.s. c 15 s 1, 1959 c 111 s 1, & 1933 ex.s. c 62 s 7;
(8) RCW 66.16.041 (Credit and debit card purchases -- Rules--Provision, installation, maintenance of equipment by board--Consideration of offsetting liquor revolving fund balance reduction--Report to legislature) and 1998 c 265 s 3, 1997 c 148 s 2, & 1996 c 291
s 2;
(9) RCW 66.16.050 (Sale of beer and wine to person licensed to
sell) and 1933 ex.s. c 62 s 8;
(10) RCW 66.16.060 (Sealed packages may be required, exception) and
1943 c 216 s 1 & 1933 ex.s. c 62 s 9;
(11) RCW 66.16.070 (Liquor cannot be opened or consumed on store
premises) and 1933 ex.s. c 62 s 10;
(12) RCW 66.16.080 (Sunday closing) and 1988 c 101 s 1 & 1933 ex.s.
c 62 s 11;
(13) RCW 66.16.090 (Record of individual purchases confidential--Penalty for disclosure) and 1933 ex.s. c 62 s 89;
(14) RCW 66.16.100 (Fortified wine sales) and 1997 c 321 s 42 &
1987 c 386 s 5;
(15) RCW 66.16.110 (Birth defects from alcohol -- Warning required)
and 1993 c 422 s 2;
(16) RCW 66.28.170 (Wine or malt beverage manufacturers--Discrimination in price to purchaser for resale prohibited) and 1997 c
321 s 50 & 1985 c 226 s 3; and
(17) RCW 66.28.180 (Price modification by certain persons, firms,
or corporations -- Board notification and approval -- Intent -- Price
posting -- Price filing, contracts, memoranda) and 1997 c 321 s 51, 1995
c 232 s 10, & 1985 c 226 s 4.
NEW SECTION. Sec. 401 (1) Sections 201 through 215 of this act
take effect August 1, 2003.
(2) Sections 301 through 316 of this act take effect July 1, 2005.
NEW SECTION. Sec. 402 Part headings used in this act are not
part of the law.