WSR 06-08-108

PROPOSED RULES

LIQUOR CONTROL BOARD


[ Filed April 5, 2006, 11:16 a.m. ]

Original Notice.

Exempt from preproposal statement of inquiry under RCW 34.05.310(4).

Title of Rule and Other Identifying Information: Amending WAC 314-20-145 Beer certificate of approval fee and 314-24-117 Wine certificate of approval fee to establish a fee for the endorsement to a certificate of approval license that allows a United States brewery or winery to distribute their beer or wine to licensed Washington retailers.

Hearing Location(s): Liquor Control Board, Board Room, 3000 Pacific Avenue S.E., Olympia, WA, on May 10, 2006, at 9:00 a.m.

Date of Intended Adoption: May 10, 2006.

Submit Written Comments to: Pam Madson, P.O. Box 43080, Olympia, WA 98504-3080, e-mail rules@liq.wa.gov, fax (360) 704-4921, by May 9, 2006.

Assistance for Persons with Disabilities: Contact Pam Madson by May 1, 2006, TTY (800) 855-2880 or (360) 664-1648.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: The purpose of this rule making is to establish a fee for the endorsement to the certificate of approval license allowing United States beer and wine manufacturers to distribute their beer or wine directly to Washington retailers licensed to sell alcohol. This is a new endorsement and is in addition to the fee for the certificate of approval license. Subsequent rule proposals will address additional regulations for this self-distribution of beer and wine.

Reasons Supporting Proposal: The liquor control board may establish a fee for an endorsement to the certificate of approval license for United States beer and wine manufacturers under sections 4 and 6 of 2SSB 6823. This endorsement allows the holder to distribute its own product directly to Washington retailers licensed to sell alcohol. This revenue helps to offset the cost of this program.

Statutory Authority for Adoption: RCW 66.08.030 and sections 4 and 6 of 2SSB 6823.

Statute Being Implemented: Sections 4 and 6 of 2SSB 6823.

Rule is not necessitated by federal law, federal or state court decision.

Name of Proponent: Washington state liquor control board, governmental.

Name of Agency Personnel Responsible for Drafting: Pam Madson, 3000 Pacific Avenue S.E., Olympia, WA, (360) 664-1648; Implementation and Enforcement: Lorraine Lee, 3000 Pacific Avenue S.E., Olympia, WA, (360) 664-1648.

No small business economic impact statement has been prepared under chapter 19.85 RCW. This proposal imposes only minor impact on businesses in the industry.

A cost-benefit analysis is not required under RCW 34.05.328.

April 5, 2006

Merritt D. Long

Chairman

OTS-8745.1


AMENDATORY SECTION(Amending WSR 04-24-097, filed 12/1/04, effective 1/1/05)

WAC 314-20-145   Beer certificate of approval fee.   (1) The fee for a beer certificate of approval license is $200 per year. The certificate of approval holder must pay the $200 fee for each privilege as described below:

((&sqbul;)) (a) Manufacturer of beer produced in the United States but outside of Washington state, shipping beer to licensed Washington beer distributors or importers.

((&sqbul;)) (b) Authorized representative for beer produced in the United States but outside of Washington state, shipping beer to licensed Washington beer distributors or importers.

((&sqbul;)) (c) Authorized representative for beer produced outside of the United States, shipping beer to licensed Washington beer distributors or importers.

(2) A certificate of approval holder under RCW 66.24.270 (2)(a) may add an endorsement to the certificate of approval that allows the holder to ship beer or strong beer of the holder's own production directly to licensed liquor retailers. The fee for this endorsement is $100 and is in addition to the fee required for a certificate of approval license.

[Statutory Authority: RCW 66.08.030, 2004 c 160. 04-24-097, 314-20-145, filed 12/1/04, effective 1/1/05.]

OTS-8746.1


AMENDATORY SECTION(Amending WSR 04-24-097, filed 12/1/04, effective 1/1/05)

WAC 314-24-117   Wine certificate of approval fee.   (1) The fee for a wine certificate of approval license is $200 per year. The certificate of approval holder must pay the $200 fee for each privilege as described below:

((&sqbul;)) (a) Manufacturer of wine produced in the United States but outside of Washington state, shipping wine to licensed Washington wine distributors or importers.

((&sqbul;)) (b) Authorized representative for wine produced in the United States but outside of Washington state, shipping wine to licensed Washington wine distributors or importers.

((&sqbul;)) (c) Authorized representative for wine produced outside of the United States, shipping wine to licensed Washington wine distributors or importers.

(2) A certificate of approval holder under RCW 66.24.206 (1)(a) may add an endorsement to the certificate of approval that allows the holder to ship wine of the holder's own production directly to licensed liquor retailers. The fee for this endorsement is $100 and is in addition to the fee required for a certificate of approval license.

[Statutory Authority: RCW 66.08.030, 2004 c 160. 04-24-097, 314-24-117, filed 12/1/04, effective 1/1/05.]

Washington State Code Reviser's Office