HOUSE BILL REPORT

HB 1805

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 Summary of Substitute Bill

Creates a wine retailer's license called a culinary class specialty license that allows the licensee to: (1) sell wine to culinary class participants to accompany food prepared as part of the class; (2) sell wine to the public for off-premise consumption; and (3) sell wine for consumption during off-site events under limited conditions.

Background:

The Liquor Control Board (Board) issues a number of types of liquor licenses. A beer and/or wine restaurant license allows the sale of beer and/or wine for consumption on the premises. A patron of the licensee may remove from the premises any unconsumed portion of wine that was purchased for consumption with a meal.

A beer and/or wine restaurant licensee may also apply for a caterer's endorsement to the license that allows the licensee to sell and serve beer and/or wine at event locations at specified dates and places, subject to certain conditions established by the Board. The caterer's endorsement also allows the licensee to sell and serve alcohol at domestic wineries and on passenger vessels and to store alcohol at another entity's premises under certain conditions.

Before the Board issues any type of new or renewal license, it must comply with certain procedures. It must give due consideration to the location of the business to be conducted under the license with respect to proximity of churches, schools, and public institutions. The Board must also provide written notice to the chief executive officer of the city, county, or town.

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Summary of Substitute Bill:

A new retailer's license called a culinary class specialty license is created, under which the licensee may: (1) sell wine by the glass or bottle to culinary class participants for consumption on the premises to accompany food prepared as part of the culinary class; (2) sell wine by the bottle to the public for consumption off the premises; and (3) sell wine by the glass or bottle for consumption during off-site special events, under certain conditions.

For off-site events, the licensee may sell and serve at event locations at specified dates and places. Upon request by the Board, the licensee must notify the Board of the date, time, place, and location of any off-site event. The licensee must provide to the Board all necessary or requested information concerning the event. Similar to caterers' endorsements, the licensee may store wine on the premises of another as long as there is a written agreement between the licensee and other party to provide for ongoing culinary class activities and other conditions are met. A licensee may also engage in culinary class activities at a domestic winery or on a passenger vessel under certain conditions. All service of wine must be conducted by persons who have valid alcohol server permits.

"Culinary class" means a class offered by an establishment that is substantially engaged in teaching cooking techniques and/or wine appreciation for a fee.

The licensee may furnish wine to the licensee's employees free of charge for the purposes of instruction on such things as the nature, characteristics, and handling of wine.

The annual license fee is $550. The Board may adopt rules to implement the special license.

Substitute Bill Compared to Original Bill:

The substitute bill specified that the licensee may sell wine for off-premise consumption, expanded the definition of "culinary class" to include wine appreciation, specified that the off-site event activity would be allowable under the license (rather than requiring an endorsement), and increased the annual fee for the license from $250 to $550.

Staff Summary of Public Testimony:

(In support) Businesses engaged in offering cooking classes want to be able to serve wine with the food they prepare in their cooking classes. The goal of these classes is to teach people about food and wine and to be able to take these activities to farms and local producers. It will help people connect to the source of their food. Students learn in different ways and going to the farms will help farmers and support local businesses. It will help local wineries as the cooking classes highlight local wines. After looking into what was currently available with the Board, it was discovered that there was not really a liquor license for this business idea. This bill should help businesses grow.

(Opposed) None.