SENATE BILL REPORT
SHB 2563



As Reported By Senate Committee On:
Labor, Commerce, Research & Development, February 16, 2006

Title: An act relating to processing liquor licenses.

Brief Description: Concerning the processing of liquor licenses.

Sponsors: House Committee on Commerce & Labor (originally sponsored by Representatives Wood, Conway, Fromhold and Condotta; by request of Liquor Control Board).

Brief History: Passed House: 2/08/06, 98-0.

Committee Activity: Labor, Commerce, Research & Development: 2/16/06 [DPA, DNP].


SENATE COMMITTEE ON LABOR, COMMERCE, RESEARCH & DEVELOPMENT

Majority Report: Do pass as amended.Signed by Senators Kohl-Welles, Chair; Franklin, Vice Chair; Parlette, Ranking Minority Member; Keiser and Prentice.

Minority Report: Do not pass.Signed by Senator Honeyford.

Staff: Jennifer Strus (786-7316)

Background: The Liquor Control Board (LCB) has authority to issue temporary licenses for 60 days which allows the applicant to sell liquor pending the processing of the permanent license. Under the current language, it is not clear whether the temporary license can be issued for premises not previously licensed to sell liquor.

For every license application, the LCB is required to notify local government and certain entities (schools, churches, and public institutions) located within 500 feet of the premises that an application for a liquor license has been received. These entities have 20 days to submit written comment, including objections to the issuance of the license.

The term "public institution" is not defined in statute and has been broadly interpreted to apply to post offices, fire stations, and state agencies in addition to schools and higher education institutions.

The statute currently requires that written notice to schools, churches, and public institutions be sent by certified mail.

The LCB is prohibited from accepting an application from a sole proprietor until he or she has resided in Washington for at least 30 days. It usually takes longer than 30 days to process an application.

Summary of Amended Bill: The LCB can issue a temporary liquor license to operate licensed premises to an operator who was not previously licensed or who is not continuing the operation of a previously licensed facility.

The LCB may extend the 20 day time period for submitting written objections to the issuance of a liquor license.

The LCB must provide notice to schools whose main entrances are within 500 feet of the establishment applying for a license.

The term "public institution" is clarified to include higher education institutions, parks, community centers, libraries, and transit centers.

The LCB must provide notice of the issuance of a liquor license with some kind of receipt verification.

A sole proprietor must reside in Washington for 30 days prior to receiving a liquor license.

Amended Bill Compared to Original Bill: The term "public institution" is defined. The measurement from the school to the licensed premises is changed from the outer property line to the school's entrance.

Appropriation: None.

Fiscal Note: Available.

Committee/Commission/Task Force Created: No.

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

Testimony For: This bill will allow the LCB to deal with liquor license applications more expeditiously. The LCB is fine with the Senate amendments.

Testimony Against: None.

Who Testified: PRO: Rick Garza, LCB.