Washington State
House of Representatives
Office of Program Research
BILL
ANALYSIS

Commerce & Labor Committee

HB 3176


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

Brief Description: Authorizing wine warehouses to handle bottled wine.

Sponsors: Representatives Kenney, Conway, Condotta, Grant, McIntire, Ericks, Blake, Walsh, Hankins, Haler and Williams.

Brief Summary of Bill
  • Expands activities permitted under a bonded wine warehouse license issued by the Liquor Control Board to include handling of wine, including packaging, labeling, and shipping wine orders direct to a consumer.

Hearing Date: 1/31/08

Staff: Joan Elgee (786-7106).

Background:

A bonded wine warehouse license issued by the Liquor Control Board (Board) authorizes the storage of bottled wine off the premises of a winery. Wine may be removed from a bonded wine warehouse only to be exported, shipped to a distributor, or returned to a winery or bonded wine warehouse.

In 2006 the Legislature authorized domestic wineries and out-of-state wineries to ship wine directly to Washington residents age 21 or older. Wineries must make monthly reports on direct shipments to the Board.

Summary of Bill:

The activities permitted under a bonded wine warehouse license are expanded to include the handling of bottled wine. Handling includes packing and repackaging services; labeling services; creating baskets or variety packs; and picking, packing and shipping wine orders direct to a consumer.

A wine may be removed from a bonded wine warehouse to be directly shipped to a consumer. A winery contracting with a bonded wine warehouse for handling services is responsible for compliance and financial transactions in direct-to-consumer shipping activities.

Rules Authority: The bill does not address the rule-making powers of an agency.

Appropriation: None.

Fiscal Note: Requested on January 27, 2008.

Effective Date: The bill takes effect 90 days after adjournment of session in which bill is passed.