BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 1470
                                                                  Page  1

          Date of Hearing:   April 30, 2009

                   ASSEMBLY COMMITTEE ON GOVERNMENTAL ORGANIZATION
                               Curren Price, Chairman
                    AB 1470 (Evans) - As Amended:  April 23, 2009
           
          SUBJECT  :   Alcoholic beverage licensees: winegrowers. licensees.

           SUMMARY  :   Allows a patron to remove a partially consumed wine  
          bottle from a licensed on-sale beer and wine premise upon  
          departure.  Specifically,  this bill  : 

          1)Authorizes an on-sale beer and wine public premises licensee  
            to allow a person who has purchased and partially consumed a  
            bottle of wine to remove the partially consumed bottle from  
            the premises upon departure. 

           EXISTING LAW  :

          1)Establishes ABC and grants it exclusive authority to  
            administer the provisions of the Alcoholic Beverage Control  
            Act (Act) in accordance with laws enacted by the Legislature.   
            Provides that ABC shall license individuals and businesses  
            associated with the manufacture, importation and sale of  
            alcoholic beverages in this state.

          2)Provides any on-sale licensee, which maintains a bona fide  
            eating place in conjunction with such license, or any  
            winegrower that is exercising a privilege, as defined, may  
            allow any person who has purchased and partially consumed a  
            bottle of wine to remove such partially consumed bottle from  
            the premises upon departure.

          3)Provides any winegrower that is exercising a privilege, as  
            defined, may allow any person who has purchased and partially  
            consumed a bottle of wine to remove such partially consumed  
            bottle from the premises upon departure, as specified.

          4)Defines an "on-sale" license as authorizing the sale of all  
            types of alcoholic beverages: namely, beer, wine and distilled  
            spirits, for consumption on the premises (such as at a  
            restaurant or bar).  An "off-sale" license authorizes the sale  
            of all types of alcoholic beverages for consumption off the  
            premises in original, sealed containers.  









                                                                  AB 1470
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          5)Defines "bona fide public eating place," as licensed premises  
            that are maintained in good faith and used for the regular  
            service of meals to patrons.  The premises must have suitable  
            kitchen facilities and supply an assortment of foods commonly  
            ordered at various hours of the day.

           FISCAL EFFECT  :   Unknown.

           COMMENTS  :   

          According to the author, AB 1470 fills a gap in current law in  
          order to promote responsible consumption of alcohol by wine bar  
          patrons.  Under current law, partially consumed wine bottles can  
          be removed from an on-sale licensed premise, which is a bona  
          fide eating-place.  In essence, a restaurant or winery customer  
          could purchase a bottle of wine, elect to drink some of the  
          contents, and then put the cork back in to take the bottle home  
          to drink later.  This bill extends this same take home privilege  
          to wine bar customers.  

          The author states that because of current law, wine bar patrons  
          might feel pressured to finish a bottle of wine - especially an  
          expensive bottle - because they would not want to waste it by  
          leaving an unfinished amount only to be thrown away.  By  
          extending the "brown bag" privilege to wine bar patrons, this  
          bill would not only give a consumer options but will also  
          benefit public safety and promote temperance.
           
          In support of this measure, the Wine Institute (WI) states in  
          recent years, Type 42 wine bars have sprung up in many urban  
          settings.  WI believes that wine bar patrons should additionally  
          be afforded the option to "brown bag" an unfinished bottle of  
          wine.

          The ABC reports that there are approximately 1,400 beer and wine  
          public premise licenses (Type 42) in the state.  A large number  
          of these licenses are operating as specialty wine shops and/or  
          wine bars.

           Prior legislation  .  AB 2004 (Evans), Chapter 127, Statutes of  
          2008.  Authorizes a licensed winegrower to sell wine to  
          consumers for on-premises consumption, as specified. In  
          addition, provides any winegrower that is exercising a  
          privilege, as defined, may allow any person who has purchased  
          and partially consumed a bottle of wine to remove such partially  








                                                                  AB 1470
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          consumed          bottle from the premises upon departure, as  
          specified.

          SB 113 (Thompson), Chapter 238, Statutes of 1993, permits a  
          licensed winegrower (a winery) to sell wine and brandy to  
          consumers for consumption off the premises or for consumption at  
          a restaurant located at the winery or immediately contiguous to  
          it.  A winegrower must produce on the licensed premises not less  
          than 50% of the wines sold to consumers.
             
          REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          Family Winemakers of California
          Wine Institute

           Opposition 
           
          None on file
           

          Analysis Prepared by :    Eric Johnson / G. O. / (916) 319-2531