BILL NUMBER: SB 157	AMENDED
	BILL TEXT

	AMENDED IN SENATE  SEPTEMBER 7, 2007

INTRODUCED BY    Senators   Wiggins
    and Ashburn  
Senator   Wiggins 
    (   Principal coauthor: 
 Assembly Member   Berg   )


                        JANUARY 30, 2007

    An act to add Sections 12012.53 and 12012.54 to the
Government Code, relating to gaming.   An act to amend
Sections 23356.1, 23399.6, and 25503.9 of the Business and
Professions Code, relating to alcoholic beverages. 


	LEGISLATIVE COUNSEL'S DIGEST


   SB 157, as amended, Wiggins.  Tribal gaming: compact
ratification.   Alcoholic beverages: winegrower's
license.  
   (1) The Alcoholic Beverage Control Act authorizes a person issued
a winegrower's license to conduct winetastings either on or off the
winegrower's premises. The act provides that when a winetasting is
held off the winegrower's premises at an event sponsored by a private
nonprofit organization, as defined, no wine may be sold, and no
sales or orders solicited, except as provided.  
   This bill would expand the definition of a nonprofit organization
to include specified tax-exempt organizations.  
   (2) The Alcoholic Beverage Control Act authorizes the issuance of
a wine sales permit to any licensee under a winegrower's license,
which authorizes the sale of bottled wine produced by the winegrower'
s at specified events that are sponsored by an organization that is
exempt from taxation, as specified.  
   This bill would expand the list of organizations that are exempt
from taxation, as specified, that are authorized to sponsor specified
events.  
   (3) The Alcoholic Beverage Control Act provides that nothing in
that law prohibits a winegrower or a beer and wine wholesaler, as
specified, from giving or selling wine to certain nonprofit
organizations, as specified, at prices other than those contained in
schedules filed with the Department of Alcoholic Beverage Control.
 
   This bill would expand the list of nonprofit organizations that
are authorized to receive or purchase wine at prices other than those
contained in schedules filed with the Department of Alcoholic
Beverage Control.  
   (4) The Alcoholic Beverage Control Act provides that a violation
of its provisions is a misdemeanor, unless otherwise specified. This
bill, by changing the definition of an existing crime, imposes a
state-mandated loca program.  
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.  
   This bill would provide that no reimbursement shall be made
pursuant to these statutory provisions for costs mandated by the
state pursuant to this act, but would recognize that local agencies
and school districts may pursue any available remedies to seek
reimbursement for these costs. 
   The federal Indian Gaming Regulatory Act provides for the
negotiation and execution of tribal-state gaming compacts for the
purpose of authorizing certain types of gaming on Indian lands within
a state. The California Constitution authorizes the Governor to
negotiate and conclude compacts, subject to ratification by the
Legislature. Existing law expressly ratifies a number of tribal-state
gaming compacts, and amendments of tribal-state gaming compacts,
between the State of California and specified Indian tribes.
 
   This bill would ratify tribal-state gaming compacts entered into
on September 9, 2005, between the State of California and the Big
Lagoon Rancheria, and between the State of California and the Los
Coyotes Band of Cahuilla and Cupeno Indians. The bill would require
that related revenue contributions be deposited into the General Fund
and would also specify that, in deference to tribal sovereignty,
certain actions may not be deemed projects for purposes of the
California Environmental Quality Act. 
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program:  no   yes  .



THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    (a) This act shall be known and may be
cited as the Nonprofit Organization Equal Participation Act. 

   (b) The Legislature finds and declares all of the following: 

   (1) The California wine industry generates one hundred fifteen
million dollars ($115,000,000) annually in support of nonprofit
organizations and their causes.  
   (2) The collaboration between the wine industry and nonprofit
organizations has a proven track record in attracting supporters to
nonprofit fundraising events. This support has resulted in sustaining
vital community services across the state.  
   (3) Nonprofit organizations that hold wine related events provide
an opportunity for small, startup, and family wine producers to build
brand awareness and develop new marketing opportunities. This is
increasingly important in a highly competitive industry with over
2,400 licensed wineries and 1,400 custom crush producers.  
   (4) Current law provides that the wine industry can participate in
winetastings, donate wine, take orders, and sell bottled wine at
certain nonprofit events.  
   (5) The purpose of this act is to provide continuity and equal
participation for nonprofit organizations in sanctioned wine related
events and to provide orderly direction for wine producers. 
   SEC. 2.    Section 23356.1 of the   Business
and Professions Code   is amended to read: 
   23356.1.  (a) A winegrower's license also authorizes the person to
whom issued to conduct winetastings of wine produced or bottled by,
or produced and packaged for, the licensee, either on or off the
winegrower's premises. When a winetasting is held off the winegrower'
s premises at an event sponsored by a private nonprofit organization,
no wine may be sold, and no sales or orders solicited, except that
orders for the sale of wine may be accepted by the winegrower if the
sales transaction is completed at the winegrower's premises. For
purposes of this subdivision, "private nonprofit organization" means
an organization described in Section 23701a, 23701b, 23701d, 23701e,
 23701f, 23701g, 23701i,  23701k, 23701, 23701r, or 23701w
of the Revenue and Taxation Code.
   (b) Notwithstanding any other provisions of this division, a
winegrower who, prior to July 1, 1970, had, at his or her premises of
production, sold to consumers for consumption off the premises
domestic wine other than wine which was produced or bottled by, or
produced and packaged for, the licensee, and which was not sold under
a brand or trade name owned by the licensee, and who had, prior to
July 1, 1970, conducted winetastings of the domestic wine at his or
her licensed premises, is authorized to continue to conduct the
winetasting and selling activities at the licensed premises.
   (c) A winegrower who was licensed as such prior to July 1, 1954,
and who prior to July 1, 1970, had, at his or her licensed premises,
sold to consumers for consumption off the premises, wine packaged for
and imported by him or her, and who conducted winetastings of the
wines at his or her licensed premises, may continue to conduct the
winetasting and selling activities at the licensed premises.
   (d) The department may adopt the rules as it determines to be
necessary for the administration of this section.
   SEC. 3.    Section 23399.6 of the   Business
and Professions Code   is amended to read: 
   23399.6.  (a) Any licensee under a winegrower's license may apply
to the department for a wine sales event permit. The wine sales event
permit shall authorize the sale of bottled wine produced by the
winegrower at festivals, state, county, district, or citrus fruit
fairs, civic or cultural celebrations, or similar events approved by
the department. The sale of the wine shall not be the primary purpose
of the event, and the sale shall be for consumption off the premises
where sold. The permit shall be valid for a maximum of five
consecutive days during the event period. The event shall be
sponsored by an organization that is exempt from taxation under
Section 23701a of the Revenue and Taxation Code, including state
designated fairs as specified in Section 19418 of the Revenue and
Taxation Code, or exempt from taxation under Section 23701b, 23701d,
23701e,  23701f, 23701g, 23701i,  23701k, 23701, 23701r, or
23701w of the Revenue and Taxation Code.
   (b) A wine sales event permit may not be used more than two times
a month at a particular location.
   (c) Consent for sales at each event shall be first obtained by an
annual authorization issued by the department. The applicant for the
wine sales permit is required to notify the city, county, or city and
county where the event is being held at least five days prior to the
event. At all events, a copy of the wine sales permit shall be
maintained. The licensee may exercise only those privileges
authorized by the licensee's license and shall comply with all
provisions of the act pertaining to that license, and any violation
of those provisions may be grounds for suspension or revocation of
the licensee's license or permit, or both, as though the violation
occurred on the licensed premises.
   (d) (1) A licensee may not sell more than 5,000 gallons of wine
annually pursuant to wine sales event permits issued under this
section to that licensee.
   (2) A licensee holding a wine sales event permit may not sell more
than 1,250 gallons of wine per event.
   (3) A licensee that is eligible to receive a certified farmers'
market sales permit under Section 23399.4 and a wine sales event
permit may not, under both permits collectively, sell more than a
total of 5,000 gallons of wine annually.
   (4) The licensee shall annually report to the department the total
gallons of wine sold by that licensee under permits issued under
this section to that licensee. The report may be included within the
annual report of production submitted by the licensee to the
department, or may be made in another manner as prescribed by the
department in regulation.
   (e) The sponsoring tax-exempt organization may charge a fee of the
licensee for the licensee's use of display booth space. The fee, if
paid, shall be comparable with, or less than, fees, or goods or
services of equivalent value, paid by other vendors at the event for
a similar booth size and location.
   (f) The sponsoring tax-exempt organization shall allow the
participation of more than one winegrower under a wine sales event
permit at an event if public attendance at the event is expected to
reach or exceed 1,000 attendees. The prior year's stated attendance
for the event shall be used to determine the expected attendance.
   (g) (1) The fee for the authorization to utilize a wine sales
permit shall be fifty dollars ($50) per year, and the authorization
may be renewable annually at the time of the licensee's license. The
wine sales permit authorization shall be transferable as part of the
license.
   (2) All money collected as fees pursuant to this subdivision shall
be deposited in the Alcohol Beverage Control Fund, as described in
Section 25761, for allocation, upon appropriation by the Legislature,
as provided in subdivision (d) of that section.
   (h) The department may adopt any regulations as it determines to
be necessary for the administration of this section.
   SEC. 4.    Section 25503.9 of the   Business
and Professions Code   is amended to read: 
   25503.9.  Nothing in this division prohibits a winegrower or a
beer and wine wholesaler that also holds an off-sale beer and wine
retail license and only sells wine from giving or selling wine, a
beer manufacturer from giving or selling beer, a distilled spirits
manufacturer or a distilled spirits manufacturer's agent from giving
or selling distilled spirits, or a licensed importer from giving or
selling beer, wine, or distilled spirits at prices other than those
contained in schedules filed with the department, to any of the
following:
   (a) A nonprofit charitable corporation or association exempt from
payment of income taxes under the provisions of the Internal Revenue
Code of 1954 of the United States and Chapter 4 (commencing with
Section 23701) of Part 11 of Division 2 of the Revenue and Taxation
Code.
   (b) A nonprofit incorporated trade association that is exempt from
payment of income taxes under the provisions of the Internal Revenue
Code of 1954 of the United States and Chapter 4 (commencing with
Section 23701) of Part 11 of Division 2 of the Revenue and Taxation
Code, and the members of which trade association are licensed under
this division. However, the wine, beer, and distilled spirits shall
be used solely for a convention or meeting of the nonprofit
incorporated trade association.
   (c) A nonprofit corporation or association that is exempt from
payment of income taxes under the provisions of the Internal Revenue
Code of 1954 of the United States and is defined as a tax exempt
organization under Section 23701a,  23701b,  23701d, 23701e,
23701f,  or 23701r   23701g, 23701i, 23701k,
23701   , 23701r, or 23701w  of the Revenue and
Taxation Code. Wine, beer, and distilled spirits given or sold by a
winegrower, beer manufacturer, distilled spirits manufacturer,
distilled spirits manufacturer's agent, or licensed importer pursuant
to this subdivision may be furnished only in connection with public
service or fundraising activities including picnics, parades, fairs,
amateur sporting events, agricultural exhibitions, or similar events.

   SEC. 5.    No reimbursement is required by this act
pursuant to Section 6 of Article XIII B of the California
Constitution because the only costs that may be incurred by a local
agency or school district will be incurred because this act creates a
new crime or infraction, eliminates a crime or infraction, or
changes the penalty for a crime or infraction, within the meaning of
Section 17556 of the Government Code, or changes the definition of a
crime within the meaning of Section 6 of Article XIII B of the
California Constitution.  
  SECTION 1.    Section 12012.53 is added to the
Government Code, to read:
   12012.53.  (a) The tribal-state gaming compact entered into in
accordance with the Indian Gaming Regulatory Act of 1988 (18 U.S.C.
Sec. 1166 to 1168, incl., and 25 U.S.C. Sec. 2701 et seq.) between
the State of California and the Big Lagoon Rancheria, executed on
September 9, 2005, is hereby ratified.
   (b) (1) In deference to tribal sovereignty, none of the following
shall be deemed a project for purposes of the California
Environmental Quality Act (Division 13 (commencing with Section
21000) of the Public Resources Code):
   (A) The execution of an amendment of the tribal-state gaming
compact ratified by this section.
   (B) The execution of the tribal-state gaming compact ratified by
this section.
   (C) The execution of an intergovernmental agreement between a
tribe and a county or city government negotiated pursuant to the
express authority of, or as expressly referenced in, the tribal-state
gaming compact ratified by this section.
   (D) The execution of an intergovernmental agreement between a
tribe and the California Department of Transportation negotiated
pursuant to the express authority of, or as expressly referenced in,
the tribal-state gaming compact ratified by this section.
   (E) The on-reservation impacts of compliance with the terms of the
tribal-state gaming compact ratified by this section.
   (F) The sale of compact assets, as defined in subdivision (a) of
Section 63048.6, or the creation of the special purpose trust
established pursuant to Section 63048.65.
   (2) Except as expressly provided herein, nothing in this
subdivision shall be construed to exempt a city, county, or city and
county, or the California Department of Transportation, from the
requirements of the California Environmental Quality Act.
   (c) Revenue contributions made to the state by the tribe pursuant
to the tribal-state gaming compact ratified by this section shall be
deposited in the General Fund.  
  SEC. 2.    Section 12012.54 is added to the
Government Code, to read:
   12012.54.  (a) The tribal-state gaming compact entered into in
accordance with the Indian Gaming Regulatory Act of 1988 (18 U.S.C.
Sec. 1166 to 1168, incl., and 25 U.S.C. Sec. 2701 et seq.) between
the State of California and the Los Coyotes Band of Cahuilla and
Cupeno Indians, executed on September 9, 2005, is hereby ratified.
   (b) (1) In deference to tribal sovereignty, none of the following
shall be deemed a project for purposes of the California
Environmental Quality Act (Division 13 (commencing with Section
21000) of the Public Resources Code):
   (A) The execution of an amendment of the tribal-state gaming
compact ratified by this section.
   (B) The execution of the tribal-state gaming compact ratified by
this section.
   (C) The execution of an intergovernmental agreement between a
tribe and a county or city government negotiated pursuant to the
express authority of, or as expressly referenced in, the tribal-state
gaming compact ratified by this section.
   (D) The execution of an intergovernmental agreement between a
tribe and the California Department of Transportation negotiated
pursuant to the express authority of, or as expressly referenced in,
the tribal-state gaming compact ratified by this section.
   (E) The on-reservation impacts of compliance with the terms of the
tribal-state gaming compact ratified by this section.
   (F) The sale of compact assets, as defined in subdivision (a) of
Section 63048.6, or the creation of the special purpose trust
established pursuant to Section 63048.65.
   (2) Except as expressly provided herein, nothing in this
subdivision shall be construed to exempt a city, county, or city and
county, or the California Department of Transportation, from the
requirements of the California Environmental Quality Act.
   (c) Revenue contributions made to the state by the tribe pursuant
to the tribal-state gaming compact ratified by this section shall be
deposited in the General Fund.