SENATE BILL REPORT

SHB 1158

BYHouse Committee on Commerce & Labor (originally sponsored by Representatives Wang, Schmidt, Zellinsky, Vekich, Fisch, J. Williams and Ferguson)

Establishing a liquor license for qualified duty free exporters to sell beer and wine to vessels for consumption outside the state of Washington.

House Committe on Commerce & Labor

Senate Committee on Commerce & Labor

Senate Hearing Date(s):April 2, 1987

Majority Report:  Do pass as amended.

      Signed by Senators Warnke, Chairman; Smitherman, Vice Chairman; Anderson, Cantu, Sellar, Tanner, Vognild, West, Williams, Wojahn.

Senate Staff:Patrick Woods (786-7430)

                  April 2, 1987

AS REPORTED BY COMMITTEE ON COMMERCE & LABOR, APRIL 2, 1987

BACKGROUND:

A license is required to sell beer and wine in the state. Currently, there is no license authorizing duty free exporters to sell beer and wine to vessels for consumption outside the state.

SUMMARY:

A new class S liquor license is established, which authorizes qualified duty free exporters to sell beer and wine to vessels for consumption outside the state.  The license also authorizes the exporter to purchase from a licensed brewery, winery, beer or wine wholesaler, and beer or wine importer.

To qualify for an exporter's license, the exporter is required to have a basic permit issued by the U.S. Bureau of Alcohol, Tobacco, and Firearms, a customs house license in conjunction with a common carriers bond, a customs bonded warehouse, and a notarized signed statement from the purchaser stating that the product is for consumption outside the state.

The license fee is $100 per year.  Beer and wine sold and delivered to licensed exporters shall be considered exported from the state.

Fiscal Note:      none requested

Effective Date:The bill contains an emergency clause and takes effect immediately.

SUMMARY OF PROPOSED COMMITTEE AMENDMENT:

The ability of an exporter to operate from a foreign trade zone is added to the list of qualifications for gaining a class S license.

Senate Committee - Testified: Carter Mitchell, Liquor Control Board