WSR 18-03-185 PROPOSED RULES LIQUOR AND CANNABIS BOARD [Filed January 24, 2018, 10:33 a.m.] Supplemental Notice to WSR 17-21-113. Preproposal statement of inquiry was filed as WSR 17-18-101. Title of Rule and Other Identifying Information: WAC 314-12-146 Private label spirits. Hearing Location(s): On March 7, 2018, at 10:00 a.m., at 3000 Pacific Avenue S.E., Olympia, WA. Date of Intended Adoption: March 21, 2018. Submit Written Comments to: Karen McCall, P.O. Box 43098, Olympia, WA 98504, email rules@lcb.wa.gov, fax 360-664-9689, by March 7, 2018. Assistance for Persons with Disabilities: Contact Karen McCall, phone 360-664-1631, fax 360-664-9689, email rules@lcb.wa.gov, by March 7, 2018. Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: Rules are needed to clarify the requirements for private label spirits between a spirits manufacturer and a spirits retailer. Reasons Supporting Proposal: Stakeholders requested the board develop rules for this activity. Statutory Authority for Adoption: RCW 66.08.030. Rule is not necessitated by federal law, federal or state court decision. Name of Proponent: Washington state liquor and cannabis board, governmental. Name of Agency Personnel Responsible for Drafting: Karen McCall, Rules Coordinator, 3000 Pacific Avenue S.E., Olympia, WA, 360-664-1631; Implementation: Becky Smith, Licensing Director, 3000 Pacific Avenue S.E., Olympia, WA, 360-664-1615; and Enforcement: Justin Nordhorn, Enforcement Chief, 3000 Pacific Avenue S.E., Olympia, WA, 360-664-1726. A school district fiscal impact statement is not required under RCW 28A.305.135. A cost-benefit analysis is not required under RCW 34.05.328. There are no costs or reporting requirements to licensees. The proposed rule does not impose more-than-minor costs on businesses. Following is a summary of the agency's analysis showing how costs were calculated. No costs or reporting requirements are required. January 24, 2018 Jane Rushford Chair
NEW SECTION
WAC 314-12-146 Private label spirits.
Distillers, crafter distillers, spirit certificate of approval holders, and manufacturers of spirits may produce private label spirits for on-premises and off-premises spirits retailers under the following conditions:
(1) There may be no exclusivity between the producer and the retailer for the private label spirit product. The spirit product must be reasonably available to all spirits retailers licensed to sell spirits;
(2) A copy of the contract between the producer and the spirits retailer for all private label spirits products must be available to the board for inspection; and
(3) The distiller, craft distiller, spirit certificate of approval holder, or manufacturer of spirits must submit a TTB certificate of label approval for each private label produced to the board for review.
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