H-3876              _______________________________________________

                                                   HOUSE BILL NO. 1299

                        _______________________________________________

State of Washington                              50th Legislature                              1988 Regular Session

By Representatives Patrick, Cole and Crane

Prefiled with Chief Clerk 1/8/88.  Read first time 1/11/88 and referred to Committee on Commerce & Labor.

AN ACT Relating to the issuance of class E and F liquor licenses; and amending RCW 66.24.360 and 66.24.370.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

        Sec. 1.  Section 23-Q added to chapter 62, Laws of 1933 ex. sess. by section 1, chapter 217, Laws of 1937 as last amended by section 1, chapter 46, Laws of 1987 and RCW 66.24.360 are each amended to read as follows:

          There shall be a beer retailer's license to be designated as class E license to sell pasteurized beer at retail in bottles and original packages, not to be consumed upon the premises where sold, at any store other than the state liquor stores; fee seventy-five dollars per annum for each store:  PROVIDED, That a holder of a class A or a class B license shall be entitled to the privileges permitted in this section by paying an annual fee of twenty-five dollars for each store.  Licensees under this section whose business is primarily the sale of beer and/or wine at retail may provide, free or for a charge, single-serving samples of two ounces or less to customers for the purpose of sales promotion.  Sampling activities of licensees under this section shall be subject to RCW 66.28.010 and 66.28.040 and the cost of sampling under this section may not be borne, directly or indirectly, by any manufacturer, importer, or wholesaler of liquor.

          For the purpose of this section, "pasteurized beer" includes, in addition to the usual and customary meaning, bottle conditioned beer which has been fermented partially or completely in the container in which it is sold to the retail customer and which may contain residual active yeast.  The bottles and original packages in which such bottle conditioned beer may be sold under this section shall not exceed one hundred seventy ounces in capacity.

The board shall refuse a class E license to any applicant if in the opinion of the board the class E licenses already granted for the particular locality are adequate for the reasonable needs of the area.

        Sec. 2.  Section 23-R added to chapter 62, Laws of 1933 ex. sess. by section 1, chapter 217, Laws of 1937 as last amended by section 4, chapter 386, Laws of 1987 and RCW 66.24.370 are each amended to read as follows:

          (1) There shall be a wine retailer's license to be designated as class F license to sell, subject to subsection (2) of this section, table and fortified wine in bottles and original packages, not to be consumed on the premises where sold, at any store other than the state liquor stores:  PROVIDED, Such licensee shall pay to the state liquor stores for wines purchased from such stores the current retail price; fee seventy-five dollars per annum:  PROVIDED, FURTHER, That a holder of a class A or class B license shall be entitled to the privileges permitted in this section by paying an annual fee of twenty-five dollars for each store.

          (2) In counties with a population over three hundred thousand, the board shall issue a restricted class F license, authorizing the licensee to sell only table wine, if the board finds upon issuance or renewal of the license that the sale of fortified wine would be against the public interest.  In determining the public interest, the board shall consider at least the following factors:

          (a) The likelihood that the applicant will sell fortified wine to persons who are intoxicated;

          (b) Law enforcement problems in the vicinity of the applicant's establishment that may arise from persons purchasing fortified wine at the establishment; and

          (c) Whether the sale of fortified wine would be detrimental to or inconsistent with a government-operated or funded alcohol treatment or detoxification program in the area.

          If the board receives no evidence or objection that the sale of fortified wine would be against the public interest, it shall issue or renew the license without restriction, as applicable.  The burden of establishing that the sale of fortified wine by the licensee would be against the public interest is on those persons objecting.

          (3) Licensees under this section whose business is primarily the sale of wine at retail may provide, free or for a charge, single-serving samples of two ounces or less to customers for the purpose of sales promotion.

(4) The board shall refuse a class F license to any applicant if in the opinion of the board the class F licenses already granted for the particular locality are adequate for the reasonable needs of the area.