Amendment SA2-SB268

SB268-SA2,26cq Section 26cq. 125.29 (3) (g) of the statutes is repealed.

SB268-SA2,26cr Section 26cr. 125.29 (3) (h) of the statutes is renumbered 125.29 (3) (h) (intro.) and amended to read:

SB268-SA2,58,16 125.29 (3) (h) (intro.) Notwithstanding ss. 125.04 (9) and 125.09 (1), the retail sale of intoxicating liquor, for on-premise on-premises consumption by individuals at the brewery premises or an off-site retail outlet established by the brewer, if all of the following apply:

SB268-SA2,58,18 1. The brewer held, on June 1, 2011, a license or permit authorizing the retail sale of intoxicating liquor and if at the location.

SB268-SA2,58,20 2. The intoxicating liquor has been purchased by the brewer from a wholesaler holding a permit under s. 125.54.

SB268-SA2,26cs Section 26cs. 125.29 (3) (h) 3. of the statutes is created to read:

SB268-SA2,58,23 125.29 (3) (h) 3. The brewer is not eligible to make full-service retail sales under sub. (7) at the location.

SB268-SA2,26ct Section 26ct. 125.29 (3) (i) of the statutes is amended to read:

SB268-SA2,59,4 125.29 (3) (i) The provision of free taste samples on the brewery premises, at an off-site retail outlet established by the brewer, or at the brewer's full-service retail outlet if the taste samples are of alcohol beverages the brewer is authorized to sell under sub. (3) (e) and (f) or (7) (c) or as authorized under s. 125.33 (12).

SB268-SA2,26cu Section 26cu. 125.29 (6) of the statutes is amended to read:

SB268-SA2,59,15 125.29 (6) Restaurants. A brewer may operate a restaurant on the brewery premises and, at an off-site retail outlet established by the brewer. A brewer may not operate a restaurant at any other location except that a brewer may possess or hold an indirect interest in a Class “B" license for not more than 20 restaurants in each of which the sale of alcohol beverages accounts for less than 60 percent of the restaurant's gross receipts if no fermented malt beverages manufactured by the brewer are offered for sale in any of these restaurants, and at any full-service retail outlet under sub. (7). Unless engaged in retail sales under sub. (7), a brewer operating a restaurant may only sell alcohol beverages that have been manufactured under the brewer's own brewer's permit.

SB268-SA2,26cv Section 26cv. 125.29 (7) and (8) of the statutes are created to read:

SB268-SA2,59,21 125.29 (7) Retail sales; full-service retail outlets. (a) 1. Notwithstanding ss. 125.04 (9) and 125.09 (1), a brewer may make retail sales, on the brewery premises, of fermented malt beverages that have been manufactured by the brewer on the brewery premises or on other premises of the brewer, for on-premises or off-premises consumption.

SB268-SA2,59,25 2. Notwithstanding ss. 125.04 (9) and 125.09 (1), if a brewer manufactured, on all brewery premises operated by the brewer in this state, a cumulative total of at least 250 barrels of fermented malt beverages in any one of the 3 preceding calendar years, the brewer may engage in full-service retail sales on the brewery premises.

SB268-SA2,60,9 (b) Notwithstanding ss. 125.04 (9) and 125.09 (1), and subject to pars. (d) and (g), if a brewer manufactured, on all brewery premises operated by the brewer in this state, a cumulative total of at least 250 barrels of fermented malt beverages in any one of the 3 preceding calendar years, the brewer may engage in full-service retail sales at off-site locations identified in the brewer's permit. Subject to pars. (f) and (g), the number of retail sales locations a brewer is allowed in addition to the brewery premises is determined by the cumulative volume of fermented malt beverages the brewer manufactured on all brewery premises operated by the brewer in this state in any one of the 3 preceding calendar years, as follows:

SB268-SA2,60,12 1. If the brewer's cumulative volume in a year was at least 250 barrels of fermented malt beverages but less than 2,500 barrels of fermented malt beverages, the brewer may establish one full-service retail outlet.

SB268-SA2,60,15 2. If the brewer's cumulative volume in a year was at least 2,500 barrels of fermented malt beverages but less than 7,500 barrels of fermented malt beverages, the brewer may establish not more than 2 full-service retail outlets.

SB268-SA2,60,18 3. If the brewer's cumulative volume in a year was at least 7,500 barrels of fermented malt beverages, the brewer may establish not more than 3 full-service retail outlets.

SB268-SA2,60,25 (c) 1. Except as provided in subd. 2. and par. (f), a brewer may make full-service retail sales of alcohol beverages on the brewery premises and at any of its full-service retail outlets only if the alcohol beverages were purchased by the brewer from a wholesaler holding a permit under s. 125.28 or 125.54, from a brewer authorized to make sales to retailers under sub. (3m), from a brewpub authorized to make sales to retailers under s. 125.295 (1) (g), or from a permittee under s. 125.30 authorized to make sales to retailers under s. 125.30 (4).

SB268-SA2,61,3 2. A brewer is not required to purchase from another permittee fermented malt beverages manufactured by the brewer that the brewer sells at retail on the brewery premises or at a full-service retail outlet of the brewer.

SB268-SA2,61,6 3. Subject to subd. 2. and par. (f), a brewer engaged in full-service retail sales on brewery premises or at a full-service retail outlet of the brewer is subject to ss. 125.33 (9) and 125.69 (6) to the same extent as if the brewer were a retail licensee.

SB268-SA2,61,10 (d) 1. A brewer may not commence sales of alcohol beverages at a full-service retail outlet unless, prior to commencing such sales, the brewer receives approval from the municipality in which the full-service retail outlet is located and from the division as provided in par. (g).

SB268-SA2,61,18 2. Subject to par. (f), a municipality may limit the scope of alcohol beverages offered for sale at a full-service retail outlet only with respect to alcohol beverages that are not of the same type as those produced by the person holding the brewer's permit. A municipality may not limit the sale, at a full-service retail outlet, of alcohol beverages produced by the person holding the brewer's permit. A municipality may not limit the scope of alcohol beverages offered for sale under sub. (3) (h). If a municipality limits the scope of alcohol beverages offered for sale, the provision of taste samples is limited to those alcohol beverages authorized to be sold.

SB268-SA2,61,23 3. Except as provided in subd. 2., a municipality's approval under subd. 1. shall be based on the same standards and criteria that the municipality has established by ordinance for the evaluation and approval of retail license applications. A municipality may not impose any requirement or restriction in connection with the approval under subd. 1. that the municipality does not impose on retail licensees.

SB268-SA2,62,3 (e) If a brewer operates a restaurant as provided in sub. (6) and is authorized under this subsection to make retail sales of wine at the restaurant, the brewer may make retail sales of wine in an opened original bottle, in a quantity not to exceed one bottle, for consumption both at the restaurant and away from the restaurant if all of the following apply:

SB268-SA2,62,4 1. The purchaser of the wine orders food to be consumed at the restaurant.

SB268-SA2,62,6 2. The brewer provides a dated receipt that identifies the purchase of the food and the bottle of wine.

SB268-SA2,62,12 3. Prior to the opened, partially consumed bottle of wine being taken away from the restaurant, the brewer securely reinserts the cork into the bottle to the point where the top of the cork is even with the top of the bottle, or securely reattaches the original cap to the bottle, and the cork is reinserted or the cap is reattached at a time other than during the hours in which the brewer is prohibited under sub. (8) (b) from making retail sales for off-premises consumption.

SB268-SA2,62,23 (f) 1. If a brewer may establish one or more full-service retail outlets under pars. (b) and (g) and the brewer also holds a manufacturer's or rectifier's permit or winery permit or both and, as such, may establish full-service retail outlets under s. 125.52 (4) (b) and (g) or 125.53 (3) (b) and (g), the aggregate number of full-service retail outlets that may be established is the maximum number authorized under par. (b), under s. 125.52 (4) (b), or under s. 125.53 (3) (b), whichever is greatest, but not exceeding 3 full-service retail outlets. Under these circumstances, each authorized full-service retail outlet shall serve as the full-service retail outlet associated with each applicable permit, regardless of whether the permittee would otherwise be entitled to fewer full-service retail outlets when calculated under par. (b) or s. 125.52 (4) (b) or 125.53 (3) (b).

SB268-SA2,63,4 2. If a brewer may engage in full-service retail sales on the brewery premises as provided in par. (a) 2. and the brewer also holds a manufacturer's or rectifier's permit or winery permit or both, the brewer may make retail sales on the brewery premises of intoxicating liquor produced under its manufacturer's or rectifier's permit or winery permit without first purchasing the intoxicating liquor from a wholesaler holding a permit under s. 125.54.

SB268-SA2,63,8 3. If a person holds more than one brewer's permit under this section, the retail sales authority under this subsection for brewery premises applies with respect to each brewer's permit, but the limit on full-service retail outlets is an aggregate maximum, regardless of the number of brewer's permits held.

SB268-SA2,63,11 (g) 1. An application for a brewer's permit, including an application for an amendment to the brewer's permit, shall specify each full-service retail outlet of the brewer and particularly describe the premises of the full-service retail outlet.

SB268-SA2,63,18 2. The division shall establish a process for approval of a brewer's full-service retail outlet and for revocation of this approval. The division shall approve a brewer's full-service retail outlet, and may not revoke this approval, unless the brewer has violated a provision of this chapter related to full-service retail outlets. The division's failure to approve, or revocation of approval of, a full-service retail outlet described in a brewer's application or permit does not affect any other full-service retail outlet or the brewery premises as described in the application or permit.

SB268-SA2,63,22 3. If the division approves a full-service retail outlet, the brewer's permit, as initially issued or as amended, shall particularly describe the premises constituting the full-service retail outlet, which shall be considered part of the premises under the brewer's permit.

SB268-SA2,63,25 4. If the division approves a full-service retail outlet, the agent appointed under s. 125.04 (6) for the brewer's permit shall also serve as the agent for the full-service retail outlet.

SB268-SA2,64,5 5. Section 125.04 (12) (a) does not apply to a brewer's full-service retail outlet. Upon notice to the division, a brewer may relocate any full-service retail outlet to a new location within this state once per calendar year, except that one full-service retail outlet of a brewer may be relocated without limitation on frequency in each calendar year.

SB268-SA2,64,8 (h) A brewer that is eligible to establish a full-service retail outlet under this subsection is not authorized to make retail sales of fermented malt beverages at an off-site retail outlet under sub. (3) (e) and (f).

SB268-SA2,64,14 (8) Closing hours. (a) On brewery premises, no person may sell alcohol beverages at retail for on-premises consumption, provide taste samples of alcohol beverages, or consume alcohol beverages during the closing hours applicable to a Class “B" licensee under s. 125.32 (3) (a). A full-service retail outlet under sub. (7) shall be subject to the same closing hours applicable to a Class “B" licensee under s. 125.32 (3) (a).

SB268-SA2,64,18 (b) On brewery premises and at a full-service retail outlet, no person may sell alcohol beverages at retail for off-premises consumption during the hours in which a Class “B” licensee in the municipality where the brewery or retail outlet is located may not make retail sales under s. 125.32 (3) (am) and (d).

SB268-SA2,64,21 (c) No member of the public or invited guests may be present on brewery premises during the closing hours applicable to a Class “B" licensee under s. 125.32 (3) (a).

SB268-SA2,64,23 (d) Activities authorized under a brewer's permit related to the production, shipment, transportation, or delivery of alcohol beverages may occur at any time.

SB268-SA2,26cw Section 26cw. 125.295 (1) (intro.) of the statutes is amended to read:

SB268-SA2,65,2 125.295 (1) (intro.) The department division shall issue brewpub permits to eligible applicants authorizing all of the following:

SB268-SA2,26cx Section 26cx. 125.295 (1) (a) of the statutes is amended to read:

SB268-SA2,65,8 125.295 (1) (a) The manufacture of fermented malt beverages on the brewpub premises if, except as provided in s. 125.21 (2) and (3), the entire manufacturing process occurs on these premises and not more than 10,000 20,000 barrels of fermented malt beverages are manufactured in a calendar year by the permittee's brewpub group.

SB268-SA2,26cy Section 26cy. 125.295 (1) (fm) of the statutes is created to read:

SB268-SA2,65,13 125.295 (1) (fm) The sale, shipment, transportation, and delivery of fermented malt beverages, in bulk or in any state of packaging, that have been manufactured by the brewpub to another brewpub holding a permit under this section, and the receipt of the fermented malt beverages by the other brewpub.

SB268-SA2,26cz Section 26cz. 125.295 (1) (g) of the statutes is amended to read:

SB268-SA2,66,2 125.295 (1) (g) The sale at wholesale, shipment, transportation, and delivery, in original unopened packages or containers, to retailers, from the brewpub premises, of fermented malt beverages that have been manufactured on these premises or on other brewpub premises of the brewpub. A brewpub's brewpub group may not sell, ship, transport, or deliver more than a total of 1,000 2,000 barrels of fermented malt beverages in any calendar year to retailers under this paragraph. Fermented malt beverages provided by a brewpub to any retail premises for which the brewpub group holds a retail license shall not be included in any calculation of the 1,000 2,000 barrel limitation under this paragraph. Deliveries and shipments of fermented malt beverages by a brewpub under this paragraph shall be made to retailers only at their retail premises. Any retailer receiving such a delivery or shipment is subject to the prohibition under s. 125.34 (5) against further transporting the delivery or shipment to any other retail premises.

SB268-SA2,26db Section 26db. 125.295 (2) (a) 1. of the statutes is amended to read:

SB268-SA2,66,5 125.295 (2) (a) 1. The applicant's brewpub group manufactures a total of not more than 10,000 20,000 barrels of fermented malt beverages in a calendar year.

SB268-SA2,26dc Section 26dc. 125.295 (2) (a) 2. of the statutes is amended to read:

SB268-SA2,66,12 125.295 (2) (a) 2. The Except as provided in s. 125.21 (2) and (3), the applicant's entire process for manufacturing fermented malt beverages occurs on premises covered by a permit issued under this section. If the applicant holds more than one permit issued under this section, the applicant is not required to manufacture fermented malt beverages on each premises for which a permit is issued under this section.

SB268-SA2,26dd Section 26dd. 125.295 (2) (a) 4. of the statutes is amended to read:

SB268-SA2,66,18 125.295 (2) (a) 4. The applicant holds a Class “B" license for the restaurant identified in subd. 3. and, on these Class “B" premises, offers for sale, in addition to fermented malt beverages manufactured by the applicant, fermented malt beverages manufactured by a brewer or brewpub other than the applicant and its brewpub group.

SB268-SA2,26de Section 26de. 125.295 (2) (a) 6. (intro.) of the statutes is amended to read:

SB268-SA2,66,23 125.295 (2) (a) 6. (intro.) Neither Subject to s. 125.20 (6), neither the applicant nor the applicant's brewpub group holds, or has a direct or indirect ownership an interest in a premises operating under licensee or permittee holding, any of the following:

SB268-SA2,26df Section 26df. 125.295 (2) (a) 6. a. of the statutes is amended to read:

SB268-SA2,67,2 125.295 (2) (a) 6. a. A Class “A" license issued under s. 125.25 or “Class A” license issued under s. 125.51 (2).

SB268-SA2,26dg Section 26dg. 125.295 (2) (a) 6. b. of the statutes is amended to read:

SB268-SA2,67,7 125.295 (2) (a) 6. b. Except as provided in subd. 4. and subs. (1) (h) and (3) (b) and (c), a Class “B" license issued under s. 125.26, Class “B” permit issued under s. 125.27, “Class B” license issued under s. 125.51 (3), “Class B” permit issued under s. 125.51 (5), or “Class C” license issued under s. 125.51 (3m).

SB268-SA2,26dh Section 26dh. 125.295 (2) (a) 6. c. of the statutes is amended to read:

SB268-SA2,67,9 125.295 (2) (a) 6. c. A wholesaler's permit issued under s. 125.28 or 125.54.

SB268-SA2,26di Section 26di. 125.295 (2) (a) 6. g. of the statutes is created to read:

SB268-SA2,67,11 125.295 (2) (a) 6. g. A no-sale event venue permit issued under s. 125.24.

SB268-SA2,26dj Section 26dj. 125.295 (2) (b) of the statutes is amended to read:

SB268-SA2,67,20 125.295 (2) (b) If an applicant under par. (a) has no current operations, the applicant may certify that the applicant has applied for or will apply for a Class “B" license or license under s. 97.30 for a restaurant or will comply with any other requirement under par. (a), prior to or upon commencing operations authorized under this section. If a Class “B" license or license under s. 97.30 for a restaurant is not subsequently issued to the applicant, or if the applicant otherwise fails to comply with any requirement for eligibility under par. (a), the department division may revoke under s. 125.12 (5) the permit issued under this section.

SB268-SA2,26dk Section 26dk. 125.295 (2) (c) of the statutes is amended to read:

SB268-SA2,68,6 125.295 (2) (c) If an applicant under par. (a) holds any license or permit prohibited under par. (a) 6. at the time of its application, the applicant may certify that the applicant will surrender any such license or permit upon issuance of a permit under this section. If the department division issues a permit under this section and the applicant fails to surrender any license or permit prohibited under par. (a) 6., the department division may revoke under s. 125.12 (5) the permit issued under this section. An applicant is not required to surrender any Class “B" license issued under s. 125.31 (1) (a) 2., 2009 stats., or under s. 125.31 (1) (a) 3., 2005 stats., if the applicant's continued possession of the license is consistent with subs. (1) (h), (2) (a) 4., and (3) (b) and (c).

SB268-SA2,26dm Section 26dm. 125.295 (4) of the statutes is amended to read:

SB268-SA2,68,10 125.295 (4) The fee established by the department division for a brewpub permit shall not exceed the fee established by the department division for a permit under s. 125.29.

SB268-SA2,26dn Section 26dn. 125.295 (5) of the statutes is amended to read:

SB268-SA2,68,13 125.295 (5) The department division shall promulgate rules and prescribe forms to ensure strict compliance with the requirements under this section.

SB268-SA2,26do Section 26do. 125.30 (1) of the statutes is amended to read:

SB268-SA2,68,25 125.30 (1) The department division shall issue out-of-state shippers' permits which, except as provided in sub. (4), authorize the permittee to ship fermented malt beverages only to holders of a wholesaler's permit issued under s. 125.28. Except with respect to any shipment from a warehouse in an adjoining state by a wholesaler issued a wholesale permit under s. 125.28 (1) (b), no person may receive fermented malt beverages in this state which have been directly shipped from outside this state by any person other than the holder of a permit issued under this section. Subject to s. 125.34 (2), all shipments of fermented malt beverages to a wholesaler of fermented malt beverages in this state, whether shipped to the wholesaler from inside this state or from outside this state, shall be unloaded in, physically at rest in, and only then distributed from the wholesaler's warehouse in this state.

SB268-SA2,26dp Section 26dp. 125.30 (2) of the statutes is amended to read:

SB268-SA2,69,6 125.30 (2) The application for an out-of-state shipper's permit and the permit shall be on forms prescribed by the department division which shall contain provisions determined by the department division as necessary to effectuate the purposes of ss. 139.01 to 139.25 and shall include a provision that the permittee agrees to do all of the following:

SB268-SA2,69,8 (a) To comply Comply with s. 139.05 relating to filing a bond, filing returns, paying taxes, and record keeping; .

SB268-SA2,69,11 (b) To permit Permit inspections and examinations of the permittee's premises and records by the department division and its duly authorized employees, as authorized under s. 139.08 (4); and 125.025 (3).

SB268-SA2,69,13 (c) To pay Pay the expenses reasonably attributable to such the inspections and examinations under par. (b) made within the United States.

SB268-SA2,26dq Section 26dq. 125.30 (2) (d) of the statutes is created to read:

SB268-SA2,69,16 125.30 (2) (d) Accept service of process and consent to jurisdiction in any proceeding in this state to enforce the provisions of this chapter or ch. 139.

SB268-SA2,26dr Section 26dr. 125.30 (3) of the statutes is renumbered 125.30 (3) (a) and amended to read:

SB268-SA2,70,6 125.30 (3) (a) Out-of-state shippers' permits may be issued only to a person who holds a valid certificate issued under s. 73.03 (50), who is qualified under s. 125.04 (5), who does not maintain an office or street address in this state, and who is the primary source of supply for the brand of fermented malt beverages. An out-of-state shipper's permit may not be issued to a person determined by the department division to be primarily engaged in wholesale or retail sales in another state. Notwithstanding s. 125.04 (5) (a), natural persons obtaining out-of-state shippers' permits are not required to be residents of this state. Notwithstanding s. 125.04 (5) (a) 5., a person is not required to complete a responsible beverage server training course to be qualified for a permit under this section. Notwithstanding s. 125.04 (6), corporations or limited liability companies obtaining out-of-state shippers' permits are not required to appoint agents vested with authority over the premises as described in s. 125.04 (6) (a).

SB268-SA2,26ds Section 26ds. 125.30 (3) (b) of the statutes is created to read:

SB268-SA2,70,15 125.30 (3) (b) 1. A permittee under this section shall appoint and continually engage the services of an agent in this state to act as agent for the service of process on whom all processes, and any action or proceeding against the permittee concerning or arising out of the enforcement of any provision of this chapter or ch. 139, may be served in any manner authorized by law. That service shall constitute legal and valid service of process on the permittee. The permittee shall provide to the division, in the form and manner prescribed by the division, the name, address, phone number, and proof of the appointment and availability of the agent.

SB268-SA2,70,22 2. The permittee shall provide notice to the division 30 calendar days before termination of the authority of an agent under subd. 1. and shall provide proof to the satisfaction of the division of the appointment of a new agent no less than 5 calendar days before the termination of an existing agent appointment. In the event an agent terminates an agency appointment, the permittee shall notify the division of that termination within 5 calendar days and shall include proof to the satisfaction of the division of the appointment of a new agent.

SB268-SA2,71,2 3. If a permittee fails to maintain an agent in this state after a permit is issued under this section, the permittee is considered to have appointed the department of financial institutions as the permittee's agent, and the permittee may be proceeded against in courts of this state by service of process upon the department of financial institutions.

SB268-SA2,26dt Section 26dt. 125.30 (3) (c) of the statutes is created to read: