FINAL BILL REPORT

SHB 1176

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.

C 8 L 17

Synopsis as Enacted

Brief Description: Concerning the alcoholic beverage mead.

Sponsors: House Committee on Commerce & Gaming (originally sponsored by Representative Muri).

House Committee on Commerce & Gaming

Senate Committee on Commerce, Labor & Sports

Background:

Liquor Definitions: Wine, Cider, Malt Beverages, and Mead.

Wine is 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 24 percent alcohol by volume. Any beverage containing no more than 14 percent alcohol by volume when bottled or packaged is referred to as table wine. And, with certain exceptions, any beverage containing alcohol in an amount more than 14 percent by volume when bottled or packaged is referred to as fortified wine.

Cider is table wine that contains not less than 0.5 percent alcohol by volume and not more than 8.5 percent alcohol by volume and is made from the normal alcoholic fermentation of the juice of sound, ripe apples or pears. Cider includes, but is not limited to, flavored, sparkling, or carbonated cider and cider made from condensed apple or pear must.

A malt beverage is any beverage such as beer, ale, lager, stout, or 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 8 percent alcohol by weight and not less than 0.5 percent alcohol by volume. Any such beverage containing more than 8 percent alcohol by weight is referred to as strong beer.

Mead is not defined in state law. Generally speaking, mead is an alcoholic beverage created by fermenting honey with water, and may contain hops, fruit, spices, grain, and other agricultural products or flavors. Mead may be still, carbonated, or naturally sparkling.

The Washington Wine Commission and Agricultural Commodity Assessments.

The Washington Wine Commission (Commission) is an agricultural commodity commission composed of 12 voting members: five of the members are growers; five are wine producers; one is a wine distributor; and one is the Director of the Department of Agriculture or the Director's designee. The Commission advertises and promotes Washington wines, educates people about the state's wine industry, and generally fosters the economic growth of the state's wine industry.

In order to fund the Commission, agricultural commodity assessments are levied on wine producers and growers. The assessment on wine producers is 2 cents per gallon on sales of packaged Washington wines. The assessment on growers of Washington vinifera wine grapes is $3 per ton of vinifera grapes harvested. Those assessment rates may be changed pursuant to a referendum conducted by the Commission that is approved by a majority vote of wine producers or wine growers, whichever group's assessment rate is affected by the referendum. In 2015 the production of cider was permanently excluded from the agricultural commodity assessment levied on wine producers.

Sales of Beer and Cider in Sanitary Containers for Off-Premises Consumption.

Different liquor retailer licenses issued by the Liquor & Cannabis Board (LCB), or endorsements to liquor retailer licenses, authorize the holder to sell beer and cider to a purchaser in a container supplied by the licensee or a sanitary container brought to the premises by the purchaser and filled at the tap at the time of sale (e.g., a growler), for off-premises consumption. Licenses or endorsements with this privilege include the following:

Summary:

Liquor Definitions: Mead.

Mead is defined as a wine or malt beverage of which honey represents the largest percentage of the starting fermentable sugars by weight of finished product and that is derived from a mixture of honey and water, which may contain hops, fruit, spices, grain, and other agricultural products or flavors, and that is sold or offered for sale as mead.

The Washington Wine Commission and Agricultural Commodity Assessments.

After January 1, 2018, the agricultural commodity assessment that applies to the production of wine may not be levied on the production of mead.

Sales of Beer, Cider, and Mead in Sanitary Containers for Off-Premises Consumption.

Liquor licensees with privileges to sell beer or cider to a purchaser in a container supplied by the liquor licensee or a sanitary container brought to the premises by the purchaser and filled at the tap at the time of sale, for off-premises consumption, may similarly sell mead to a purchaser in such a container. However, any mead sold in such a container must have an alcohol content equal to or less than 14 percent alcohol by volume.

Votes on Final Passage:

House

91

7

Senate

43

3

Effective:

July 23, 2017