AN
ACT Relating to contract brewing by domestic brewers; and amending RCW
66.04.010 and 66.24.240.
BE IT ENACTED BY THE
LEGISLATURE OF THE STATE OF WASHINGTON:
Sec.
1. RCW
66.04.010 and 1997 c 321 ' 37
are each amended to read as follows:
In
this title, unless the context otherwise requires:
(1)
"Alcohol" is that substance known as ethyl alcohol, hydrated oxide of
ethyl, or spirit of wine, which is commonly produced by the fermentation or
distillation of grain, starch, molasses, or sugar, or other substances
including all dilutions and mixtures of this substance. The term
"alcohol" does not include alcohol in the possession of a
manufacturer or distiller of alcohol fuel, as described in RCW 66.12.130, which
is intended to be denatured and used as a fuel for use in motor vehicles, farm
implements, and machines or implements of husbandry.
(2)
"Beer" means any malt beverage or malt liquor as these terms are
defined in this chapter.
(3)
"Beer distributor" means a person who buys beer from a brewer or
brewery located either within or beyond the boundaries of the state, beer
importers, or foreign produced beer from a source outside the state of
Washington, for the purpose of selling the same pursuant to this title, or who
represents such brewer or brewery as agent.
(4)
"Beer importer" means a person or business within Washington who
purchases beer from a United States brewery holding a certificate of approval
(B5) or foreign produced beer from a source outside the state of Washington for
the purpose of selling the same pursuant to this title.
(5)
"Brewer" means any person engaged in the business of manufacturing
beer and malt liquor. Brewer includes a brand owner of malt beverages who
holds a brewer's notice with the federal bureau of alcohol, tobacco, and
firearms at a location outside the state and whose malt beverage is
contract-produced by a licensed in-state brewery, and who may exercise within
the state, under a domestic brewery license, only the privileges of storing,
selling to licensed beer distributors, and exporting beer from the state.
(6)
"Board" means the liquor control board, constituted under this title.
(7)
"Club" means an organization of persons, incorporated or
unincorporated, operated solely for fraternal, benevolent, educational,
athletic or social purposes, and not for pecuniary gain.
(8)
"Consume" includes the putting of liquor to any use, whether by
drinking or otherwise.
(9)
"Dentist" means a practitioner of dentistry duly and regularly
licensed and engaged in the practice of his profession within the state
pursuant to chapter 18.32 RCW.
(10)
"Distiller" means a person engaged in the business of distilling
spirits.
(11)
"Domestic brewery" means a place where beer and malt liquor are
manufactured or produced by a brewer within the state.
(12)
"Domestic winery" means a place where wines are manufactured or
produced within the state of Washington.
(((12)))(13)
"Druggist" means any person who holds a valid certificate and is a
registered pharmacist and is duly and regularly engaged in carrying on the
business of pharmaceutical chemistry pursuant to chapter 18.64 RCW.
(((13)))(14)
"Drug store" means a place whose principal business is, the sale of
drugs, medicines and pharmaceutical preparations and maintains a regular
prescription department and employs a registered pharmacist during all hours
the drug store is open.
(((14)))(15)
"Employee" means any person employed by the board, including a
vendor, as hereinafter in this section defined.
(((15)))(16)
"Fund" means 'liquor revolving fund.'
(((16)))(17)
"Hotel" means every building or other structure kept, used,
maintained, advertised or held out to the public to be a place where food is
served and sleeping accommodations are offered for pay to transient guests, in
which twenty or more rooms are used for the sleeping accommodation of such
transient guests and having one or more dining rooms where meals are served to
such transient guests, such sleeping accommodations and dining rooms being
conducted in the same building and buildings, in connection therewith, and such
structure or structures being provided, in the judgment of the board, with
adequate and sanitary kitchen and dining room equipment and capacity, for
preparing, cooking and serving suitable food for its guests: PROVIDED FURTHER,
That in cities and towns of less than five thousand population, the board shall
have authority to waive the provisions requiring twenty or more rooms.
(((17)))(18)
"Importer" means a person who buys distilled spirits from a
distillery outside the state of Washington and imports such spirituous liquor
into the state for sale to the board or for export.
(((18)))(19)
"Imprisonment" means confinement in the county jail.
(((19)))(20)
"Liquor" includes the four varieties of liquor herein defined
(alcohol, spirits, wine and beer), and all fermented, spirituous, vinous, or
malt liquor, or combinations thereof, and mixed liquor, a part of which is
fermented, spirituous, vinous or malt liquor, or otherwise intoxicating; and
every liquid or solid or semisolid or other substance, patented or not,
containing alcohol, spirits, wine or beer, and all drinks or drinkable liquids
and all preparations or mixtures capable of human consumption, and any liquid,
semisolid, solid, or other substance, which contains more than one percent of
alcohol by weight shall be conclusively deemed to be intoxicating. Liquor does
not include confections or food products that contain one percent or less of
alcohol by weight.
(((20)))(21)
"Manufacturer" means a person engaged in the preparation of liquor
for sale, in any form whatsoever.
(((21)))(22)
"Malt beverage" or "malt liquor" means any beverage such as
beer, ale, lager beer, stout, and porter obtained by the alcoholic fermentation
of an infusion or decoction of pure hops, or pure extract of hops and pure
barley malt or other wholesome grain or cereal in pure water containing not
more than eight percent of alcohol by weight, and not less than one-half of one
percent of alcohol by volume. For the purposes of this title, any such
beverage containing more than eight percent of alcohol by weight shall be
referred to as "strong beer."
(((22)))(23)
"Package" means any container or receptacle used for holding liquor.
(((23)))(24)
"Permit" means a permit for the purchase of liquor under this title.
(((24)))(25)
"Person" means an individual, copartnership, association, or
corporation.
(((25)))(26)
"Physician" means a medical practitioner duly and regularly licensed
and engaged in the practice of his profession within the state pursuant to
chapter 18.71 RCW.
(((26)))(27)
"Prescription" means a memorandum signed by a physician and given by
him to a patient for the obtaining of liquor pursuant to this title for
medicinal purposes.
(((27)))(28)
"Public place" includes streets and alleys of incorporated cities and
towns; state or county or township highways or roads; buildings and grounds
used for school purposes; public dance halls and grounds adjacent thereto;
those parts of establishments where beer may be sold under this title, soft
drink establishments, public buildings, public meeting halls, lobbies, halls
and dining rooms of hotels, restaurants, theatres, stores, garages and filling
stations which are open to and are generally used by the public and to which
the public is permitted to have unrestricted access; railroad trains, stages,
and other public conveyances of all kinds and character, and the depots and
waiting rooms used in conjunction therewith which are open to unrestricted use
and access by the public; publicly owned bathing beaches, parks, and/or
playgrounds; and all other places of like or similar nature to which the
general public has unrestricted right of access, and which are generally used
by the public.
(((28)))(29)
"Regulations" means regulations made by the board under the powers
conferred by this title.
(((29)))(30)
"Restaurant" means any establishment provided with special space and
accommodations where, in consideration of payment, food, without lodgings, is
habitually furnished to the public, not including drug stores and soda
fountains.
(((30)))(31)
"Sale" and "sell" include exchange, barter, and traffic;
and also include the selling or supplying or distributing, by any means
whatsoever, of liquor, or of any liquid known or described as beer or by any
name whatever commonly used to describe malt or brewed liquor or of wine, by any
person to any person; and also include a sale or selling within the state to a
foreign consignee or his agent in the state. "Sale" and
"sell" shall not include the giving, at no charge, of a reasonable
amount of liquor by a person not licensed by the board to a person not licensed
by the board, for personal use only. "Sale" and "sell"
also does not include a raffle authorized under RCW 9.46.0315: PROVIDED, That
the nonprofit organization conducting the raffle has obtained the appropriate
permit from the board.
(((31)))(32)
"Soda fountain" means a place especially equipped with apparatus for
the purpose of dispensing soft drinks, whether mixed or otherwise.
(((32)))(33)
"Spirits" means any beverage which contains alcohol obtained by
distillation, including wines exceeding twenty-four percent of alcohol by
volume.
(((33)))(34)
"Store" means a state liquor store established under this title.
(((34)))(35)
"Tavern" means any establishment with special space and accommodation
for sale by the glass and for consumption on the premises, of beer, as herein
defined.
(((35)))(36)
"Vendor" means a person employed by the board as a store manager
under this title.
(((36)))(37)
"Winery" means a business conducted by any person for the manufacture
of wine for sale, other than a domestic winery.
(((37)))(38)
"Wine" means any alcoholic beverage obtained by fermentation of
fruits (grapes, berries, apples, et cetera) or other agricultural product
containing sugar, to which any saccharine substances may have been added before,
during or after fermentation, and containing not more than twenty-four percent
of alcohol by volume, including sweet wines fortified with wine spirits, such
as port, sherry, muscatel and angelica, not exceeding twenty-four percent of
alcohol by volume and not less than one-half of one percent of alcohol by
volume. For purposes of this title, any beverage containing no more than
fourteen percent of alcohol by volume when bottled or packaged by the
manufacturer shall be referred to as "table wine," and any beverage
containing alcohol in an amount more than fourteen percent by volume when
bottled or packaged by the manufacturer shall be referred to as "fortified
wine." However, "fortified wine" shall not include: (a) Wines
that are both sealed or capped by cork closure and aged two years or more; and
(b) wines that contain more than fourteen percent alcohol by volume solely as a
result of the natural fermentation process and that have not been produced with
the addition of wine spirits, brandy, or alcohol.
This
subsection shall not be interpreted to require that any wine be labeled with
the designation "table wine" or "fortified wine."
(((38)))(39)
"Wine distributor" means a person who buys wine from a vintner or
winery located either within or beyond the boundaries of the state for the
purpose of selling the same not in violation of this title, or who represents
such vintner or winery as agent.
(((39)))(40)
"Wine importer" means a person or business within Washington who
purchases wine from a United States winery holding a certificate of approval
(W7) or foreign produced wine from a source outside the state of Washington for
the purpose of selling the same pursuant to this title.
Sec.
2. RCW
66.24.240 and 1997 c 321 ' 11
are each amended to read as follows:
(1)
There shall be a license for domestic breweries; fee to be two thousand dollars
for production of sixty thousand barrels or more of malt liquor per year.
(2)
Any domestic brewery, except for a brand owner of malt beverages under RCW
66.04.010(5), licensed under this section may also act as a distributor
and/or retailer for beer of its own production. Any domestic brewery operating
as a distributor and/or retailer under this subsection shall comply with the
applicable laws and rules relating to distributors and/or retailers.
(3)
Any domestic brewery licensed under this section may contract-produce beer for
a brand owner of malt beverages defined under RCW 66.04.010(5), and this
contract-production is not a sale for the purposes of RCW 66.28.170 and
66.28.180.
