BILL REQ. #: H-5166.2
| State of Washington | 60th Legislature | 2008 Regular Session |
READ FIRST TIME 02/05/08.
AN ACT Relating to alcoholic beverage regulation; amending RCW 66.20.300, 66.20.310, 66.20.310, 66.24.185, 66.24.170, 66.24.240, 66.24.240, 66.24.590, and 66.28.040; reenacting and amending RCW 66.24.244, 66.24.244, and 66.24.400; providing effective dates; and providing expiration dates.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
Sec. 1 RCW 66.20.300 and 1997 c 321 s 44 are each amended to read
as follows:
Unless the context clearly requires otherwise, the definitions in
this section apply throughout RCW 66.20.310 through 66.20.350.
(1) "Alcohol" has the same meaning as "liquor" in RCW 66.04.010.
(2) "Alcohol server" means any person ((serving or selling alcohol,
spirits, wines, or beer)) who as part of his or her employment
participates in the sale or service of alcoholic beverages for on-premise consumption at ((an on-premises)) a retail licensed
((facility)) premise as a regular requirement of his or her employment,
and includes those persons eighteen years of age or older permitted by
the liquor laws of this state to serve alcoholic beverages with meals.
(3) "Board" means the Washington state liquor control board.
(4) "Training entity" means any liquor licensee associations,
independent contractors, private persons, and private or public
schools, that have been certified by the board.
(5) "Retail licensed premises" means any:
(a) Premises licensed to sell alcohol by the glass or by the drink,
or in original containers primarily for consumption on the premises as
authorized by RCW 66.24.320, 66.24.330, 66.24.350, 66.24.400,
66.24.425, 66.24.450, and 66.24.570; and
(b) Facility established by a domestic winery for serving and
selling wine pursuant to RCW 66.24.170(4).
Sec. 2 RCW 66.20.310 and 1997 c 321 s 45 are each amended to read
as follows:
(1)(a) There shall be an alcohol server permit, known as a class 12
permit, for a manager or bartender selling or mixing alcohol, spirits,
wines, or beer for consumption at an on-premises licensed facility.
(b) There shall be an alcohol server permit, known as a class 13
permit, for a person who only serves alcohol, spirits, wines, or beer
for consumption at an on-premises licensed facility.
(c) As provided by rule by the board, a class 13 permit holder may
be allowed to act as a bartender without holding a class 12 permit.
(2)(a) Effective January 1, 1997, except as provided in (d) of this
subsection, every ((person)) alcohol server employed, under contract or
otherwise, ((by an annual retail liquor licensee holding a license as
authorized by RCW 66.24.320, 66.24.330, 66.24.350, 66.24.400,
66.24.425, 66.24.450, or 66.24.570, who as part of his or her
employment participates in any manner in the sale or service of
alcoholic beverages)) at a retail licensed premise shall have issued to
them a class 12 or class 13 permit.
(b) Every class 12 and class 13 permit issued shall be issued in
the name of the applicant and no other person may use the permit of
another permit holder. The holder shall present the permit upon
request to inspection by a representative of the board or a peace
officer. The class 12 or class 13 permit shall be valid for employment
at any retail licensed premises described in (a) of this subsection.
(c) ((No licensee described in (a) of this subsection,)) Except as
provided in (d) of this subsection, no licensee holding a license as
authorized by RCW 66.24.320, 66.24.330, 66.24.350, 66.24.400,
66.24.425, 66.24.450, and 66.24.570 may employ or accept the services
of any person without the person first having a valid class 12 or class
13 permit.
(d) Within sixty days of initial employment, every person whose
duties include the compounding, sale, service, or handling of liquor
shall have a class 12 or class 13 permit.
(e) No person may perform duties that include the sale or service
of alcoholic beverages on a retail licensed premises without possessing
a valid alcohol server permit.
(3) A permit issued by a training entity under this section is
valid for employment at any retail licensed premises described in
subsection (2)(a) of this section for a period of five years unless
suspended by the board.
(4) The board may suspend or revoke an existing permit if any of
the following occur:
(a) The applicant or permittee has been convicted of violating any
of the state or local intoxicating liquor laws of this state or has
been convicted at any time of a felony; or
(b) The permittee has performed or permitted any act that
constitutes a violation of this title or of any rule of the board.
(5) The suspension or revocation of a permit under this section
does not relieve a licensee from responsibility for any act of the
employee or agent while employed upon the retail licensed premises.
The board may, as appropriate, revoke or suspend either the permit of
the employee who committed the violation or the license of the licensee
upon whose premises the violation occurred, or both the permit and the
license.
(6)(a) After January 1, 1997, it is a violation of this title for
any retail licensee or agent of a retail licensee as described in
subsection (2)(a) of this section to employ in the sale or service of
alcoholic beverages, any person who does not have a valid alcohol
server permit or whose permit has been revoked, suspended, or denied.
(b) It is a violation of this title for a person whose alcohol
server permit has been denied, suspended, or revoked to accept
employment in the sale or service of alcoholic beverages.
(7) Grocery stores licensed under RCW 66.24.360, the primary
commercial activity of which is the sale of grocery products and for
which the sale and service of beer and wine for on-premises consumption
with food is incidental to the primary business, and employees of such
establishments, are exempt from RCW 66.20.300 through 66.20.350.
Sec. 3 RCW 66.20.310 and 2007 c 370 s 17 are each amended to read
as follows:
(1)(a) There shall be an alcohol server permit, known as a class 12
permit, for a manager or bartender selling or mixing alcohol, spirits,
wines, or beer for consumption at an on-premises licensed facility.
(b) There shall be an alcohol server permit, known as a class 13
permit, for a person who only serves alcohol, spirits, wines, or beer
for consumption at an on-premises licensed facility.
(c) As provided by rule by the board, a class 13 permit holder may
be allowed to act as a bartender without holding a class 12 permit.
(2)(a) Effective January 1, 1997, except as provided in (d) of this
subsection, every ((person)) alcohol server employed, under contract or
otherwise, ((by an annual retail liquor licensee holding a license as
authorized by RCW 66.24.320, 66.24.330, 66.24.350, 66.24.400,
66.24.425, 66.24.450, 66.24.590, or 66.24.570, who as part of his or
her employment participates in any manner in the sale or service of
alcoholic beverages)) at a retail licensed premise shall have issued to
them a class 12 or class 13 permit.
(b) Every class 12 and class 13 permit issued shall be issued in
the name of the applicant and no other person may use the permit of
another permit holder. The holder shall present the permit upon
request to inspection by a representative of the board or a peace
officer. The class 12 or class 13 permit shall be valid for employment
at any retail licensed premises described in (a) of this subsection.
(c) ((No licensee described in (a) of this subsection,)) Except as
provided in (d) of this subsection, no licensee holding a license as
authorized by RCW 66.24.320, 66.24.330, 66.24.350, 66.24.400,
66.24.425, 66.24.450, and 66.24.570 may employ or accept the services
of any person without the person first having a valid class 12 or class
13 permit.
(d) Within sixty days of initial employment, every person whose
duties include the compounding, sale, service, or handling of liquor
shall have a class 12 or class 13 permit.
(e) No person may perform duties that include the sale or service
of alcoholic beverages on a retail licensed premises without possessing
a valid alcohol server permit.
(3) A permit issued by a training entity under this section is
valid for employment at any retail licensed premises described in
subsection (2)(a) of this section for a period of five years unless
suspended by the board.
(4) The board may suspend or revoke an existing permit if any of
the following occur:
(a) The applicant or permittee has been convicted of violating any
of the state or local intoxicating liquor laws of this state or has
been convicted at any time of a felony; or
(b) The permittee has performed or permitted any act that
constitutes a violation of this title or of any rule of the board.
(5) The suspension or revocation of a permit under this section
does not relieve a licensee from responsibility for any act of the
employee or agent while employed upon the retail licensed premises.
The board may, as appropriate, revoke or suspend either the permit of
the employee who committed the violation or the license of the licensee
upon whose premises the violation occurred, or both the permit and the
license.
(6)(a) After January 1, 1997, it is a violation of this title for
any retail licensee or agent of a retail licensee as described in
subsection (2)(a) of this section to employ in the sale or service of
alcoholic beverages, any person who does not have a valid alcohol
server permit or whose permit has been revoked, suspended, or denied.
(b) It is a violation of this title for a person whose alcohol
server permit has been denied, suspended, or revoked to accept
employment in the sale or service of alcoholic beverages.
(7) Grocery stores licensed under RCW 66.24.360, the primary
commercial activity of which is the sale of grocery products and for
which the sale and service of beer and wine for on-premises consumption
with food is incidental to the primary business, and employees of such
establishments, are exempt from RCW 66.20.300 through 66.20.350.
Sec. 4 RCW 66.24.185 and 1999 c 281 s 4 are each amended to read
as follows:
(1) There shall be a license for bonded wine warehouses which shall
authorize the storage and handling of bottled wine ((only)). Under
this license a licensee may maintain a warehouse for the storage of
wine off the premises of a winery.
(2) The board shall adopt similar qualifications for a bonded wine
warehouse license as required for obtaining a domestic winery license
as specified in RCW 66.24.010 and 66.24.170. A licensee must be a sole
proprietor, a partnership, a limited liability company, or a
corporation. One or more domestic wineries may operate as a
partnership, corporation, business co-op, or agricultural co-op for the
purposes of obtaining a bonded wine warehouse license.
(3) All bottled wine shipped to a bonded wine warehouse from a
winery or another bonded wine warehouse shall remain under bond and no
tax imposed under RCW 66.24.210 shall be due, unless the wine is
removed from bond and shipped to a licensed Washington wine
distributor. Wine may be removed from a bonded wine warehouse only for
the purpose of being (a) exported from the state, (b) shipped to a
licensed Washington wine distributor, ((or)) (c) returned to a winery
or bonded wine warehouse, or shipped to a consumer pursuant to RCW
66.20.360 through 66.20.390.
(4) Warehousing of wine by any person other than (a) a licensed
domestic winery or a bonded wine warehouse licensed under the
provisions of this section, (b) a licensed Washington wine distributor,
(c) a licensed Washington wine importer, (d) a wine certificate of
approval holder (W7), or (e) the liquor control board, is prohibited.
(5) A license applicant shall hold a federal permit for a bonded
wine cellar and may be required to post a continuing wine tax bond of
such an amount and in such a form as may be required by the board prior
to the issuance of a bonded wine warehouse license. The fee for this
license shall be one hundred dollars per annum.
(6) The board shall adopt rules requiring a bonded wine warehouse
to be physically secure, zoned for the intended use and physically
separated from any other use.
(7) Every licensee shall submit to the board a monthly report of
movement of bottled wines to and from a bonded wine warehouse in a form
prescribed by the board. The board may adopt other necessary
procedures by which bonded wine warehouses are licensed and regulated.
(8) Handling of bottled wine, as provided for in this section,
includes packaging and repackaging services; bottle labeling services;
creating baskets or variety packs that may or may not include nonwine
products; and picking, packing, and shipping wine orders direct to
consumer. A winery contracting with a bonded wine warehouse for
handling bottled wine must comply with all applicable state and federal
laws and shall be responsible for financial transactions in direct to
consumer shipping activities.
Sec. 5 RCW 66.24.170 and 2007 c 16 s 2 are each amended to read
as follows:
(1) There shall be a license for domestic wineries; fee to be
computed only on the liters manufactured: Less than two hundred fifty
thousand liters per year, one hundred dollars per year; and two hundred
fifty thousand liters or more per year, four hundred dollars per year.
(2) The license allows for the manufacture of wine in Washington
state from grapes or other agricultural products.
(3) Any domestic winery licensed under this section may also act as
a retailer of wine of its own production. Any domestic winery licensed
under this section may act as a distributor of its own production.
Notwithstanding any language in this title to the contrary, a domestic
winery may use a common carrier to deliver up to one hundred cases of
its own production, in the aggregate, per month to licensed Washington
retailers. A domestic winery may not arrange for any such common
carrier shipments to licensed retailers of wine not of its own
production. Except as provided in this section, any winery operating
as a distributor and/or retailer under this subsection shall comply
with the applicable laws and rules relating to distributors and/or
retailers.
(4) A domestic winery licensed under this section, at locations
separate from any of its production or manufacturing sites, may serve
samples of its own products, with or without charge, and sell wine of
its own production at retail ((for off-premise consumption)), provided
that: (a) Each additional location has been approved by the board
under RCW 66.24.010; (b) the total number of additional locations does
not exceed two; ((and)) (c) a winery may not act as a distributor at
any such additional location; and (d) any person selling or serving
wine at an additional location for on-premise consumption must obtain
a class 12 or class 13 alcohol server permit. Each additional location
is deemed to be part of the winery license for the purpose of this
title. At additional locations operated by multiple wineries under
this section, if the board cannot connect a violation of RCW 66.44.200
or 66.44.270 to a single licensee, the board may hold all licensees
operating the additional location jointly liable. Nothing in this
subsection shall be construed to prevent a domestic winery from holding
multiple domestic winery licenses.
(5)(a) A domestic winery licensed under this section may apply to
the board for an endorsement to sell wine of its own production at
retail for off-premises consumption at a qualifying farmers market.
The annual fee for this endorsement is seventy-five dollars. An
endorsement issued pursuant to this subsection does not count toward
the two additional retail locations limit specified in this section.
(b) For each month during which a domestic winery will sell wine at
a qualifying farmers market, the winery must provide the board or its
designee a list of the dates, times, and locations at which bottled
wine may be offered for sale. This list must be received by the board
before the winery may offer wine for sale at a qualifying farmers
market.
(c) The wine sold at qualifying farmers markets must be made
entirely from grapes grown in a recognized Washington appellation or
from other agricultural products grown in this state.
(d) Each approved location in a qualifying farmers market is deemed
to be part of the winery license for the purpose of this title. The
approved locations under an endorsement granted under this subsection
do not include the tasting or sampling privilege of a winery. The
winery may not store wine at a farmers market beyond the hours that the
winery offers bottled wine for sale. The winery may not act as a
distributor from a farmers market location.
(e) Before a winery may sell bottled wine at a qualifying farmers
market, the farmers market must apply to the board for authorization
for any winery with an endorsement approved under this subsection to
sell bottled wine at retail at the farmers market. This application
shall include, at a minimum: (i) A map of the farmers market showing
all booths, stalls, or other designated locations at which an approved
winery may sell bottled wine; and (ii) the name and contact information
for the on-site market managers who may be contacted by the board or
its designee to verify the locations at which bottled wine may be sold.
Before authorizing a qualifying farmers market to allow an approved
winery to sell bottled wine at retail at its farmers market location,
the board shall notify the persons or entities of such application for
authorization pursuant to RCW 66.24.010 (8) and (9). An authorization
granted under this subsection (5)(e) may be withdrawn by the board for
any violation of this title or any rules adopted under this title.
(f) The board may adopt rules establishing the application and
approval process under this section and such additional rules as may be
necessary to implement this section.
(g) For the purposes of this subsection:
(i) "Qualifying farmers market" means an entity that sponsors a
regular assembly of vendors at a defined location for the purpose of
promoting the sale of agricultural products grown or produced in this
state directly to the consumer under conditions that meet the following
minimum requirements:
(A) There are at least five participating vendors who are farmers
selling their own agricultural products;
(B) The total combined gross annual sales of vendors who are
farmers exceeds the total combined gross annual sales of vendors who
are processors or resellers;
(C) The total combined gross annual sales of vendors who are
farmers, processors, or resellers exceeds the total combined gross
annual sales of vendors who are not farmers, processors, or resellers;
(D) The sale of imported items and secondhand items by any vendor
is prohibited; and
(E) No vendor is a franchisee.
(ii) "Farmer" means a natural person who sells, with or without
processing, agricultural products that he or she raises on land he or
she owns or leases in this state or in another state's county that
borders this state.
(iii) "Processor" means a natural person who sells processed food
that he or she has personally prepared on land he or she owns or leases
in this state or in another state's county that borders this state.
(iv) "Reseller" means a natural person who buys agricultural
products from a farmer and resells the products directly to the
consumer.
(6) Wine produced in Washington state by a domestic winery licensee
may be shipped out-of-state for the purpose of making it into sparkling
wine and then returned to such licensee for resale. Such wine shall be
deemed wine manufactured in the state of Washington for the purposes of
RCW 66.24.206, and shall not require a special license.
Sec. 6 RCW 66.24.240 and 2007 c 370 s 6 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(6), licensed under this section may also
act as a retailer for beer of its own production. Any domestic brewery
licensed under this section may act as a distributor 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. A domestic
brewery holding a spirits, beer, and wine restaurant license may sell
beer of its own production for off-premises consumption from its
restaurant premises in kegs or in a sanitary container brought to the
premises by the purchaser or furnished by the licensee and filled at
the tap by the licensee at the time of sale.
(3) A domestic brewery may hold ((a)) up to two retail licenses
((under this chapter)) to operate an on or off-premise tavern, beer
and/or wine restaurant, or spirits, beer, and wine restaurant. This
retail license is separate from the brewery license. A brewery that
holds a tavern license, spirits, beer, and wine restaurant license, or
a beer and/or wine restaurant license shall hold the same privileges
and endorsements as permitted under RCW 66.24.320, 66.24.330, and
66.24.420.
(4) ((If the brewery licensee holds a separate license for a
spirits, beer, and wine restaurant or a beer and/or wine restaurant
operated on the brewery premises, the licensee may hold a second retail
license for a spirits, beer, and wine restaurant or a beer and/or wine
restaurant at a location separate from the brewery premises.)) Any domestic brewery licensed under this section may
contract-produce beer for a brand owner of malt beverages defined under
RCW 66.04.010(6), and this contract-production is not a sale for the
purposes of RCW 66.28.170 and 66.28.180.
(5)
(((6))) (5)(a) A domestic brewery licensed under this section and
qualified for a reduced rate of taxation pursuant to RCW
66.24.290(3)(b) may apply to the board for an endorsement to sell
bottled beer of its own production at retail for off-premises
consumption at a qualifying farmers market. The annual fee for this
endorsement is seventy-five dollars.
(b) For each month during which a domestic brewery will sell beer
at a qualifying farmers market, the domestic brewery must provide the
board or its designee a list of the dates, times, and locations at
which bottled beer may be offered for sale. This list must be received
by the board before the domestic brewery may offer beer for sale at a
qualifying farmers market.
(c) The beer sold at qualifying farmers markets must be produced in
Washington.
(d) Each approved location in a qualifying farmers market is deemed
to be part of the domestic brewery license for the purpose of this
title. The approved locations under an endorsement granted under this
subsection do not include the tasting or sampling privilege of a
domestic brewery. The domestic brewery may not store beer at a farmers
market beyond the hours that the domestic brewery offers bottled beer
for sale. The domestic brewery may not act as a distributor from a
farmers market location.
(e) Before a domestic brewery may sell bottled beer at a qualifying
farmers market, the farmers market must apply to the board for
authorization for any domestic brewery with an endorsement approved
under this subsection to sell bottled beer at retail at the farmers
market. This application shall include, at a minimum: (i) A map of
the farmers market showing all booths, stalls, or other designated
locations at which an approved domestic brewery may sell bottled beer;
and (ii) the name and contact information for the on-site market
managers who may be contacted by the board or its designee to verify
the locations at which bottled beer may be sold. Before authorizing a
qualifying farmers market to allow an approved domestic brewery to sell
bottled beer at retail at its farmers market location, the board shall
notify the persons or entities of such application for authorization
pursuant to RCW 66.24.010 (8) and (9). An authorization granted under
this subsection (((6))) (5)(e) may be withdrawn by the board for any
violation of this title or any rules adopted under this title.
(f) The board may adopt rules establishing the application and
approval process under this section and such additional rules as may be
necessary to implement this section.
(g) For the purposes of this subsection:
(i) "Qualifying farmers market" means an entity that sponsors a
regular assembly of vendors at a defined location for the purpose of
promoting the sale of agricultural products grown or produced in this
state directly to the consumer under conditions that meet the following
minimum requirements:
(A) There are at least five participating vendors who are farmers
selling their own agricultural products;
(B) The total combined gross annual sales of vendors who are
farmers exceeds the total combined gross annual sales of vendors who
are processors or resellers;
(C) The total combined gross annual sales of vendors who are
farmers, processors, or resellers exceeds the total combined gross
annual sales of vendors who are not farmers, processors, or resellers;
(D) The sale of imported items and secondhand items by any vendor
is prohibited; and
(E) No vendor is a franchisee.
(ii) "Farmer" means a natural person who sells, with or without
processing, agricultural products that he or she raises on land he or
she owns or leases in this state or in another state's county that
borders this state.
(iii) "Processor" means a natural person who sells processed food
that he or she has personally prepared on land he or she owns or leases
in this state or in another state's county that borders this state.
(iv) "Reseller" means a natural person who buys agricultural
products from a farmer and resells the products directly to the
consumer.
Sec. 7 RCW 66.24.240 and 2007 c 370 s 7 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(6), 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. A domestic brewery holding
a spirits, beer, and wine restaurant license may sell beer of its own
production for off-premises consumption from its restaurant premises in
kegs or in a sanitary container brought to the premises by the
purchaser or furnished by the licensee and filled at the tap by the
licensee at the time of sale.
(3) A domestic brewery may hold ((a)) up to two retail licenses
((under this chapter)) to operate an on or off-premise tavern, beer
and/or wine restaurant, or spirits, beer, and wine restaurant. This
retail license is separate from the brewery license. A brewery that
holds a tavern license, a spirits, beer, and wine restaurant license,
or a beer and/or wine restaurant license shall hold the same privileges
and endorsements as permitted under RCW 66.24.320, 66.24.330, and
66.24.420.
(4) ((If the brewery licensee holds a separate license for a
spirits, beer, and wine restaurant or a beer and/or wine restaurant
operated on the brewery premises, the licensee may hold a second retail
license for a spirits, beer, and wine restaurant or a beer and/or wine
restaurant at a location separate from the brewery premises.)) Any domestic brewery licensed under this section may
contract-produce beer for a brand owner of malt beverages defined under
RCW 66.04.010(6), and this contract-production is not a sale for the
purposes of RCW 66.28.170 and 66.28.180.
(5)
(((6))) (5)(a) A domestic brewery licensed under this section and
qualified for a reduced rate of taxation pursuant to RCW
66.24.290(3)(b) may apply to the board for an endorsement to sell
bottled beer of its own production at retail for off-premises
consumption at a qualifying farmers market. The annual fee for this
endorsement is seventy-five dollars.
(b) For each month during which a domestic brewery will sell beer
at a qualifying farmers market, the domestic brewery must provide the
board or its designee a list of the dates, times, and locations at
which bottled beer may be offered for sale. This list must be received
by the board before the domestic brewery may offer beer for sale at a
qualifying farmers market.
(c) The beer sold at qualifying farmers markets must be produced in
Washington.
(d) Each approved location in a qualifying farmers market is deemed
to be part of the domestic brewery license for the purpose of this
title. The approved locations under an endorsement granted under this
subsection do not include the tasting or sampling privilege of a
domestic brewery. The domestic brewery may not store beer at a farmers
market beyond the hours that the domestic brewery offers bottled beer
for sale. The domestic brewery may not act as a distributor from a
farmers market location.
(e) Before a domestic brewery may sell bottled beer at a qualifying
farmers market, the farmers market must apply to the board for
authorization for any domestic brewery with an endorsement approved
under this subsection to sell bottled beer at retail at the farmers
market. This application shall include, at a minimum: (i) A map of
the farmers market showing all booths, stalls, or other designated
locations at which an approved domestic brewery may sell bottled beer;
and (ii) the name and contact information for the on-site market
managers who may be contacted by the board or its designee to verify
the locations at which bottled beer may be sold. Before authorizing a
qualifying farmers market to allow an approved domestic brewery to sell
bottled beer at retail at its farmers market location, the board shall
notify the persons or entities of such application for authorization
pursuant to RCW 66.24.010 (8) and (9). An authorization granted under
this subsection (((6))) (5)(e) may be withdrawn by the board for any
violation of this title or any rules adopted under this title.
(f) The board may adopt rules establishing the application and
approval process under this section and such additional rules as may be
necessary to implement this section.
(g) For the purposes of this subsection:
(i) "Qualifying farmers market" means an entity that sponsors a
regular assembly of vendors at a defined location for the purpose of
promoting the sale of agricultural products grown or produced in this
state directly to the consumer under conditions that meet the following
minimum requirements:
(A) There are at least five participating vendors who are farmers
selling their own agricultural products;
(B) The total combined gross annual sales of vendors who are
farmers exceeds the total combined gross annual sales of vendors who
are processors or resellers;
(C) The total combined gross annual sales of vendors who are
farmers, processors, or resellers exceeds the total combined gross
annual sales of vendors who are not farmers, processors, or resellers;
(D) The sale of imported items and secondhand items by any vendor
is prohibited; and
(E) No vendor is a franchisee.
(ii) "Farmer" means a natural person who sells, with or without
processing, agricultural products that he or she raises on land he or
she owns or leases in this state or in another state's county that
borders this state.
(iii) "Processor" means a natural person who sells processed food
that he or she has personally prepared on land he or she owns or leases
in this state or in another state's county that borders this state.
(iv) "Reseller" means a natural person who buys agricultural
products from a farmer and resells the products directly to the
consumer.
Sec. 8 RCW 66.24.244 and 2007 c 370 s 4 and 2007 c 222 s 1 are
each reenacted and amended to read as follows:
(1) There shall be a license for microbreweries; fee to be one
hundred dollars for production of less than sixty thousand barrels of
malt liquor, including strong beer, per year.
(2) Any microbrewery licensed under this section may also act as a
distributor and/or retailer for beer and strong beer of its own
production. Any microbrewery licensed under this section may act as a
distributor for beer of its own production. Strong beer may not be
sold at a farmers market or under any endorsement which may authorize
microbreweries to sell beer at farmers markets. Any microbrewery
operating as a distributor and/or retailer under this subsection shall
comply with the applicable laws and rules relating to distributors
and/or retailers. A microbrewery holding a spirits, beer, and wine
restaurant license may sell beer of its own production for off-premises
consumption from its restaurant premises in kegs or in a sanitary
container brought to the premises by the purchaser or furnished by the
licensee and filled at the tap by the licensee at the time of sale.
(3) The board may issue ((a)) up to two retail licenses allowing a
microbrewery to operate ((a)) an on or off-premise tavern, beer and/or
wine restaurant, or spirits, beer, and wine restaurant ((under RCW
66.24.420)).
(4) ((The board may issue a license to a microbrewery allowing for
on-premises consumption of beer, including strong beer, wine, or both
of other manufacture if purchased from a Washington state-licensed
distributor. The microbrewer must determine, at the time the license
is issued, whether the licensed premises will be operated as a tavern
with persons under twenty-one years of age not allowed as provided for
in RCW 66.24.330, or as a beer and/or wine restaurant as described in
RCW 66.24.320.)) A microbrewery that holds a tavern license, spirits, beer,
and wine restaurant license, or a beer and/or wine restaurant license
shall hold the same privileges and endorsements as permitted under RCW
66.24.320, 66.24.330, and 66.24.420.
(5)
(((6) If the microbrewery licensee holds a separate license for a
spirits, beer, and wine restaurant or a beer and/or wine restaurant,
operated on the brewery premises, the licensee may hold a second retail
license for a spirits, beer, and wine restaurant or a beer and/or wine
restaurant, at a location separate from the licensed brewery premises.)) (5)(a) A microbrewery licensed under this section may apply
to the board for an endorsement to sell bottled beer of its own
production at retail for off-premises consumption at a qualifying
farmers market. The annual fee for this endorsement is seventy-five
dollars.
(7)
(b) For each month during which a microbrewery will sell beer at a
qualifying farmers market, the microbrewery must provide the board or
its designee a list of the dates, times, and locations at which bottled
beer may be offered for sale. This list must be received by the board
before the microbrewery may offer beer for sale at a qualifying farmers
market.
(c) The beer sold at qualifying farmers markets must be produced in
Washington.
(d) Each approved location in a qualifying farmers market is deemed
to be part of the microbrewery license for the purpose of this title.
The approved locations under an endorsement granted under this
subsection (((7))) (5) do not constitute the tasting or sampling
privilege of a microbrewery. The microbrewery may not store beer at a
farmers market beyond the hours that the microbrewery offers bottled
beer for sale. The microbrewery may not act as a distributor from a
farmers market location.
(e) Before a microbrewery may sell bottled beer at a qualifying
farmers market, the farmers market must apply to the board for
authorization for any microbrewery with an endorsement approved under
this subsection (((7))) (5) to sell bottled beer at retail at the
farmers market. This application shall include, at a minimum: (i) A
map of the farmers market showing all booths, stalls, or other
designated locations at which an approved microbrewery may sell bottled
beer; and (ii) the name and contact information for the on-site market
managers who may be contacted by the board or its designee to verify
the locations at which bottled beer may be sold. Before authorizing a
qualifying farmers market to allow an approved microbrewery to sell
bottled beer at retail at its farmers market location, the board shall
notify the persons or entities of the application for authorization
pursuant to RCW 66.24.010 (8) and (9). An authorization granted under
this subsection (((7))) (5)(e) may be withdrawn by the board for any
violation of this title or any rules adopted under this title.
(f) The board may adopt rules establishing the application and
approval process under this section and any additional rules necessary
to implement this section.
(g) For the purposes of this subsection (((7))) (5):
(i) "Qualifying farmers market" means an entity that sponsors a
regular assembly of vendors at a defined location for the purpose of
promoting the sale of agricultural products grown or produced in this
state directly to the consumer under conditions that meet the following
minimum requirements:
(A) There are at least five participating vendors who are farmers
selling their own agricultural products;
(B) The total combined gross annual sales of vendors who are
farmers exceeds the total combined gross annual sales of vendors who
are processors or resellers;
(C) The total combined gross annual sales of vendors who are
farmers, processors, or resellers exceeds the total combined gross
annual sales of vendors who are not farmers, processors, or resellers;
(D) The sale of imported items and secondhand items by any vendor
is prohibited; and
(E) No vendor is a franchisee.
(ii) "Farmer" means a natural person who sells, with or without
processing, agricultural products that he or she raises on land he or
she owns or leases in this state or in another state's county that
borders this state.
(iii) "Processor" means a natural person who sells processed food
that he or she has personally prepared on land he or she owns or leases
in this state or in another state's county that borders this state.
(iv) "Reseller" means a natural person who buys agricultural
products from a farmer and resells the products directly to the
consumer.
(6) Any microbrewery licensed under this section may contract-produce beer for another microbrewer. This contract-production is not
a sale for the purposes of RCW 66.28.170 and 66.28.180.
Sec. 9 RCW 66.24.244 and 2007 c 370 s 5 and 2007 c 222 s 2 are
each reenacted and amended to read as follows:
(1) There shall be a license for microbreweries; fee to be one
hundred dollars for production of less than sixty thousand barrels of
malt liquor, including strong beer, per year.
(2) Any microbrewery licensed under this section may also act as a
distributor and/or retailer for beer and strong beer of its own
production. Strong beer may not be sold at a farmers market or under
any endorsement which may authorize microbreweries to sell beer at
farmers markets. Any microbrewery operating as a distributor and/or
retailer under this subsection shall comply with the applicable laws
and rules relating to distributors and/or retailers. A microbrewery
holding a spirits, beer, and wine restaurant license may sell beer of
its own production for off-premises consumption from its restaurant
premises in kegs or in a sanitary container brought to the premises by
the purchaser or furnished by the licensee and filled at the tap by the
licensee at the time of sale.
(3) The board may issue ((a)) up to two retail licenses allowing a
microbrewery to operate ((a)) an on or off-premise tavern, beer and/or
wine restaurant, or spirits, beer, and wine restaurant ((under RCW
66.24.420)).
(4) ((The board may issue a license to a microbrewery allowing for
on-premises consumption of beer, including strong beer, wine, or both
of other manufacture if purchased from a Washington state-licensed
distributor. The microbrewer must determine, at the time the license
is issued, whether the licensed premises will be operated as a tavern
with persons under twenty-one years of age not allowed as provided for
in RCW 66.24.330, or as a beer and/or wine restaurant as described in
RCW 66.24.320.)) A microbrewery that holds a tavern license, spirits, beer,
and wine restaurant license, or a beer and/or wine restaurant license
shall hold the same privileges and endorsements as permitted under RCW
66.24.320, 66.24.330, and 66.24.420.
(5)
(((6) If the microbrewery licensee holds a separate license for a
spirits, beer, and wine restaurant or a beer and/or wine restaurant,
operated on the brewery premises, the licensee may hold a second retail
license for a spirits, beer, and wine restaurant or a beer and/or wine
restaurant, at a location separate from the licensed brewery premises.)) (5)(a) A microbrewery licensed under this section may apply
to the board for an endorsement to sell bottled beer of its own
production at retail for off-premises consumption at a qualifying
farmers market. The annual fee for this endorsement is seventy-five
dollars.
(7)
(b) For each month during which a microbrewery will sell beer at a
qualifying farmers market, the microbrewery must provide the board or
its designee a list of the dates, times, and locations at which bottled
beer may be offered for sale. This list must be received by the board
before the microbrewery may offer beer for sale at a qualifying farmers
market.
(c) The beer sold at qualifying farmers markets must be produced in
Washington.
(d) Each approved location in a qualifying farmers market is deemed
to be part of the microbrewery license for the purpose of this title.
The approved locations under an endorsement granted under this
subsection (((7))) (5) do not constitute the tasting or sampling
privilege of a microbrewery. The microbrewery may not store beer at a
farmers market beyond the hours that the microbrewery offers bottled
beer for sale. The microbrewery may not act as a distributor from a
farmers market location.
(e) Before a microbrewery may sell bottled beer at a qualifying
farmers market, the farmers market must apply to the board for
authorization for any microbrewery with an endorsement approved under
this subsection (((7))) (5) to sell bottled beer at retail at the
farmers market. This application shall include, at a minimum: (i) A
map of the farmers market showing all booths, stalls, or other
designated locations at which an approved microbrewery may sell bottled
beer; and (ii) the name and contact information for the on-site market
managers who may be contacted by the board or its designee to verify
the locations at which bottled beer may be sold. Before authorizing a
qualifying farmers market to allow an approved microbrewery to sell
bottled beer at retail at its farmers market location, the board shall
notify the persons or entities of the application for authorization
pursuant to RCW 66.24.010 (8) and (9). An authorization granted under
this subsection (((7))) (5)(e) may be withdrawn by the board for any
violation of this title or any rules adopted under this title.
(f) The board may adopt rules establishing the application and
approval process under this section and any additional rules necessary
to implement this section.
(g) For the purposes of this subsection (((7))) (5):
(i) "Qualifying farmers market" means an entity that sponsors a
regular assembly of vendors at a defined location for the purpose of
promoting the sale of agricultural products grown or produced in this
state directly to the consumer under conditions that meet the following
minimum requirements:
(A) There are at least five participating vendors who are farmers
selling their own agricultural products;
(B) The total combined gross annual sales of vendors who are
farmers exceeds the total combined gross annual sales of vendors who
are processors or resellers;
(C) The total combined gross annual sales of vendors who are
farmers, processors, or resellers exceeds the total combined gross
annual sales of vendors who are not farmers, processors, or resellers;
(D) The sale of imported items and secondhand items by any vendor
is prohibited; and
(E) No vendor is a franchisee.
(ii) "Farmer" means a natural person who sells, with or without
processing, agricultural products that he or she raises on land he or
she owns or leases in this state or in another state's county that
borders this state.
(iii) "Processor" means a natural person who sells processed food
that he or she has personally prepared on land he or she owns or leases
in this state or in another state's county that borders this state.
(iv) "Reseller" means a natural person who buys agricultural
products from a farmer and resells the products directly to the
consumer.
(6) Any microbrewery licensed under this section may
contract-produce beer for another microbrewer. This contract-production is not a sale for the purposes of RCW 66.28.170 and
66.28.180.
Sec. 10 RCW 66.24.400 and 2007 c 370 s 13 and 2007 c 53 s 1 are
each reenacted and amended to read as follows:
(1) There shall be a retailer's license, to be known and designated
as a spirits, beer, and wine restaurant license, to sell spirituous
liquor by the individual glass, beer, and wine, at retail, for
consumption on the premises, including mixed drinks and cocktails
compounded or mixed on the premises only. A club licensed under
chapter 70.62 RCW with overnight sleeping accommodations, that is
licensed under this section may sell liquor by the bottle to registered
guests of the club for consumption in guest rooms, hospitality rooms,
or at banquets in the club. A patron of a bona fide restaurant or club
licensed under this section may remove from the premises recorked or
recapped in its original container any portion of wine which was
purchased for consumption with a meal, and registered guests who have
purchased liquor from the club by the bottle may remove from the
premises any unused portion of such liquor in its original container.
Such license may be issued only to bona fide restaurants and clubs, and
to dining, club and buffet cars on passenger trains, and to dining
places on passenger boats and airplanes, and to dining places at civic
centers with facilities for sports, entertainment, and conventions, and
to such other establishments operated and maintained primarily for the
benefit of tourists, vacationers and travelers as the board shall
determine are qualified to have, and in the discretion of the board
should have, a spirits, beer, and wine restaurant license under the
provisions and limitations of this title.
(2) The board may issue an endorsement to the spirits, beer, and
wine restaurant license that allows the holder of a spirits, beer, and
wine restaurant license to sell bottled wine for off-premises
consumption ((wine vinted and bottled in the state of Washington and
carrying a label exclusive to the license holder selling the wine)).
Spirits and beer may not be sold for off-premises consumption under
this section except as provided in subsection (4) of this section. The
annual fee for the endorsement under this subsection is one hundred
twenty dollars.
(3) The holder of a spirits, beer, and wine license or its manager
may furnish beer, wine, or spirituous liquor to the licensee's
employees free of charge as may be required for use in connection with
instruction on beer, wine, or spirituous liquor. The instruction may
include the history, nature, values, and characteristics of beer, wine,
or spirituous liquor, the use of wine lists, and the methods of
presenting, serving, storing, and handling beer, wine, and spirituous
liquor. The spirits, beer, and wine restaurant licensee must use the
beer, wine, or spirituous liquor it obtains under its license for the
sampling as part of the instruction. The instruction must be given on
the premises of the spirits, beer, and wine restaurant licensee.
(4) The board may issue an endorsement to the spirits, beer, and
wine restaurant license that allows the holder of a spirits, beer, and
wine restaurant license to sell for off-premises consumption malt
liquor in kegs or other containers that are capable of holding four
gallons or more of liquid and are registered in accordance with RCW
66.28.200. The annual fee for the endorsement under this subsection is
one hundred twenty dollars.
Sec. 11 RCW 66.24.590 and 2007 c 370 s 11 are each amended to
read as follows:
(1) There shall be a retailer's license to be designated as a hotel
license. No license may be issued to a hotel offering rooms to its
guests on an hourly basis. Food service provided for room service,
banquets or conferences, or restaurant operation under this license
shall meet the requirements of rules adopted by the board.
(2) The hotel license authorizes the licensee to:
(a) Sell spiritous liquor, beer, and wine, by the individual glass,
at retail, for consumption on the premises, including mixed drinks and
cocktails compounded and mixed on the premises((, at dining places in
the hotel));
(b) Sell, at retail, from locked honor bars, in individual units,
spirits not to exceed fifty milliliters, beer in individual units not
to exceed twelve ounces, and wine in individual bottles not to exceed
three hundred eighty-five milliliters, to registered guests of the
hotel for consumption in guest rooms. The licensee shall require proof
of age from the guest renting a guest room and requesting the use of an
honor bar. The guest shall also execute an affidavit verifying that no
one under twenty-one years of age shall have access to the spirits,
beer, and wine in the honor bar;
(c) Provide without additional charge, to overnight guests,
spirits, beer, and wine by the individual serving for on-premises
consumption at a specified regular date, time, and place as may be
fixed by the board. Self-service by attendees is prohibited;
(d) Sell beer, including strong beer, wine, or spirits, in the
manufacturer's sealed container or by the individual drink to guests
through room service, or through service to occupants of private
residential units which are part of the buildings or complex of
buildings that include the hotel;
(e) Sell beer, including strong beer, or wine, in the
manufacturer's sealed container at retail sales locations within the
hotel premises;
(f) Sell for on or off-premises consumption, including through room
service and service to occupants of private residential units managed
by the hotel, wine carrying a label exclusive to the hotel license
holder;
(g) Place in guest rooms at check-in, a complimentary bottle of
beer, including strong beer, or wine in a manufacturer-sealed
container, and make a reference to this service in promotional
material.
(3) If all or any facilities for alcoholic beverage service and the
preparation, cooking, and serving of food are operated under contract
or joint venture agreement, the operator may hold a license separate
from the license held by the operator of the hotel. Food and beverage
inventory used in separate licensed operations at the hotel may not be
shared and shall be separately owned and stored by the separate
licensees.
(4) All spirits to be sold under this license must be purchased
from the board.
(5) All on-premise alcoholic beverage service must be done by an
alcohol server as defined in RCW 66.20.300 and must comply with RCW
66.20.310.
(6)(a) The hotel license allows the licensee to remove from the
liquor stocks at the licensed premises, liquor for sale and service at
event locations at a specified date and place not currently licensed by
the board. If the event is open to the public, it must be sponsored by
a society or organization as defined by RCW 66.24.375. If attendance
at the event is limited to members or invited guests of the sponsoring
individual, society, or organization, the requirement that the sponsor
must be a society or organization as defined by RCW 66.24.375 is
waived.
(b) The holder of this license shall, if requested by the board,
notify the board or its designee of the date, time, place, and location
of any event. Upon request, the licensee shall provide to the board
all necessary or requested information concerning the society or
organization that will be holding the function at which the endorsed
license will be utilized.
(c) Licensees may cater events on a domestic winery premises.
(7) The holder of this license or its manager may furnish spirits,
beer, or wine to the licensee's employees who are twenty-one years of
age or older free of charge as may be required for use in connection
with instruction on spirits, beer, and wine. The instruction may
include the history, nature, values, and characteristics of spirits,
beer, or wine, the use of wine lists, and the methods of presenting,
serving, storing, and handling spirits, beer, or wine. The licensee
must use the beer or wine it obtains under its license for the sampling
as part of the instruction. The instruction must be given on the
premises of the licensee.
(8) Minors may be allowed in all areas of the hotel where alcohol
may be consumed; however, the consumption must be incidental to the
primary use of the area. These areas include, but are not limited to,
tennis courts, hotel lobbies, and swimming pool areas. If an area is
not a mixed use area, and is primarily used for alcohol service, the
area must be designated and restricted to access by minors.
(9) The annual fee for this license is two thousand dollars.
(10) As used in this section, "hotel," "spirits," "beer," and
"wine" have the meanings defined in RCW 66.24.410 and 66.04.010.
Sec. 12 RCW 66.28.040 and 2004 c 160 s 11 are each amended to
read as follows:
Except as permitted by the board under RCW 66.20.010, no domestic
brewery, microbrewery, distributor, distiller, domestic winery,
importer, rectifier, certificate of approval holder, or other
manufacturer of liquor shall, within the state of Washington, give to
any person any liquor; but nothing in this section nor in RCW 66.28.010
shall prevent a domestic brewery, microbrewery, distributor, domestic
winery, distiller, certificate of approval holder, or importer from
furnishing samples of beer, wine, or spirituous liquor to authorized
licensees for the purpose of negotiating a sale, in accordance with
regulations adopted by the liquor control board, provided that the
samples are subject to taxes imposed by RCW 66.24.290 and 66.24.210,
and in the case of spirituous liquor, any product used for samples must
be purchased at retail from the board; nothing in this section shall
prevent the furnishing of samples of liquor to the board for the
purpose of negotiating the sale of liquor to the state liquor control
board; nothing in this section shall prevent a domestic brewery,
microbrewery, domestic winery, distillery, certificate of approval
holder, or distributor from furnishing beer, wine, or spirituous liquor
for instructional purposes under RCW 66.28.150; nothing in this section
shall prevent a domestic winery, certificate of approval holder, or
distributor from furnishing wine without charge, subject to the taxes
imposed by RCW 66.24.210, to a not-for-profit group organized and
operated solely for the purpose of enology or the study of viticulture
which has been in existence for at least six months and that uses wine
so furnished solely for such educational purposes or a domestic winery,
or an out-of-state certificate of approval holder, from furnishing wine
without charge or a domestic brewery, or an out-of-state certificate of
approval holder, from furnishing beer without charge, subject to the
taxes imposed by RCW 66.24.210 or 66.24.290, to a nonprofit charitable
corporation or association exempt from taxation under section 501(c)(3)
or (6) of the internal revenue code of 1986 (26 U.S.C. Sec. 501(c)(3)
or (6)) for use consistent with the purpose or purposes entitling it to
such exemption; nothing in this section shall prevent a domestic
brewery or microbrewery from serving beer without charge, on the
brewery premises; nothing in this section shall prevent donations of
wine for the purposes of RCW 66.12.180; and nothing in this section
shall prevent a domestic winery from serving wine without charge, on
the winery premises.
NEW SECTION. Sec. 13 Section 2 of this act expires July 1, 2008.
NEW SECTION. Sec. 14 Sections 6 and 8 of this act expire June
30, 2008.
NEW SECTION. Sec. 15 Sections 7 and 9 of this act take effect
June 30, 2008.
NEW SECTION. Sec. 16 Sections 3, 10, and 11 of this act take
effect July 1, 2008.