SENATE BILL REPORT

ESB 5265

BYSenator Warnke; by request of Liquor Control Board

Eliminating certain restrictions on purchase of beer by licensed beer retailers.

Senate Committee on Commerce & Labor

Senate Hearing Date(s):February 10, 1987; February 13, 1987

Majority Report:  Do pass as amended.

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

Senate Staff:Patrick Woods (786-7430)

                  April 17, 1987

AS PASSED SENATE, MARCH 6, 1987

BACKGROUND:

Currently, retail beer licensees are required to purchase beer solely from licensed beer wholesalers.  As a result of this restriction, several government agencies find it difficult to dispose of lawfully seized beer.  In addition, retail beer licensees that are discontinuing business operations are unable to dispose of their stock, unless a wholesaler is willing to accept returned merchandise.

SUMMARY:

Retail beer licensees are permitted to purchase beer from government agencies which have lawfully seized beer and Board authorized retailers.  In addition, licensees may purchase beer from other beer retailers that are discontinuing business and are unable to find a wholesaler that will accept returned merchandise.

Beer purchased from government agencies and businesses discontinuing operations is required to meet its manufacturer's quality standards.

Fiscal Note:      none requested

Senate Committee - Testified: Carter Mitchell, Liquor Control Board; Dick Ducharme, Washington Beer and Wine Wholesalers

HOUSE AMENDMENT:

The amendment is technical in nature and clarifies that beer purchased under the provisions of the act is required to meet the quality standards set by its manufacturer.