HOUSE BILL ANALYSIS

                    SSB 6812

Brief Description:  Allowing contract brewing by domestic brewers.

Sponsors:  Senator Prentice

Hearing:  February 23, 2000

                 Brief Summary of Bill

CExempts domestic breweries that contract with certain distributors to manufacture beer from the requirements to file contracts and other memoranda with the Liquor Control Board.

BACKGROUND:

Beer and wine distributors must file with the Liquor Control Board the wholesale prices they charge to retailers.  Distributors may not modify these prices without prior notice to the board and must have the board's approval.

Beer and wine manufacturers, importers and distributors who sell to other distributors must file with the board all contracts and memoranda that reflect the schedule of prices and other charges and discounts used in dealings with distributors.  Prices must be uniform to all distributors and the charges cannot differ from those filed.

SUMMARY OF BILL: 

Domestic breweries that contract with a beer distributor to manufacture beer are not subject to the filing or posting of contracts and memorandum  with the Liquor Control Board if the distributor is also an out-of-state brewery or manufacturer and the distributor only sells beer in the state of Washington to other distributors.

RULES AUTHORITY:  The bill does not contain provisions addressing the rule making powers of an agency.

FISCAL NOTE: Not requested.

EFFECTIVE DATE:  Ninety days after adjournment of a session in which bill is passed.