BILL ANALYSIS Ó
AB 525
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB 525 (Ting)
As Amended June 17, 2013
Majority vote
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|ASSEMBLY: |74-0 |(May 20, 2013) |SENATE: |38-0 |(August 15, |
| | | | | |2013) |
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Original Committee Reference: G.O.
SUMMARY : Creates a new special on-sale general license in the
Alcoholic Beverage Control (ABC) Act that enables the operator
of any for-profit theater, as specified, to serve alcoholic
beverages during certain hours in specified areas of the
theater.
The Senate amendments clarify that the special on-sale general
license shall permit sales, service, and consumption of
alcoholic beverages in the lobbies and seating areas of the
theater for the period beginning two consecutive hours prior to
a live theatrical performance and ending one hour after the
performance is completed.
EXISTING LAW :
1)Provides that the ABC is vested with exclusive authority, in
accordance with laws enacted, to license and regulate the
manufacture, distribution, and sale of alcoholic beverages
within California. The ABC also has the power for good cause
to suspend, revoke or deny a license if it determines that
granting or continuance of the license would be contrary to
public welfare or morals.
2)Establishes various alcoholic beverage license categories and
a schedule of annual fees charged to the licensees. Under the
ABC Act, ABC may issue a special on-sale general license to
any nonprofit theater company that meets specified
requirements. Theater companies holding a license pursuant to
these provisions may only sell and serve alcoholic beverages
to ticketholders during, and two hours prior to and one hour
after, a bona fide theater performance of the company. There
are 70 of these Type 64 licenses in California for non-profit
theater companies who meet the specified requirements.
AB 525
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AS PASSED BY THE ASSEMBLY , permitted ABC to issue a new special
on-sale general license to the operator of any for-profit
theater located in the City and County of San Francisco,
configured with theatrical seating of at least 1,000 seats and
primarily devoted to live theatrical performances, which would
permit sales, service, and consumption of alcoholic beverages in
the lobbies and seating areas of the theater at specified times.
This bill specifically prohibited the issuing of these new
licenses to adult or sexually oriented businesses, as defined in
the Penal Code.
FISCAL EFFECT : According to the Senate Appropriations
Committee, pursuant to Senate Rule 28.8, negligible state costs.
COMMENTS : This bill, as amended in the Senate is consistent
with Assembly actions.
According to the author's office, the purpose of this bill is to
create a new general alcoholic beverage license category that
can accommodate the business goals of an operator of any
for-profit theater located in the City and County of San
Francisco.
The sponsor of the bill, Shorenstein, Hays, Nederlander Company
(SHN) states, the bill fixes a quirk in current law that
prevents our patrons from easily approaching service bars to
purchase alcoholic and non-alcoholic beverages and carrying all
drinks elsewhere in the lobby or to their seats. This is
extremely problematic in our historically renovated theaters
that have limited lobby space.
SHN owns and operates the Curran, Golden Gate, and Orpheum
Theatres and is the pre-eminent theatrical entertainment company
in San Francisco. The three theaters are run as for-profit
theaters and currently hold Type 48 ABC licenses (On-Sale
General for Public Premises), which are licenses meant for
over-21-only bars. Under the license, SHN are able to serve
beer, wine, and distilled spirits to attendees. However, under
current license type, patrons must consume their drinks in a
segregated, partitioned-off space - guests are unable to take
their drinks into the lobby or seating area and enjoy the show.
Because of the unique set of circumstances, as a for-profit
theatre not operating in a civic auditorium, they are unable to
qualify for another license type that would rectify the
AB 525
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situation.
The author states this bill solves the problem by allowing the
issuance of a special on-sale general license that would permit
sales, service, and consumption of alcoholic beverages in the
lobbies and seating areas of the theater at specified times.
The bill contains several provisions that ensure appropriate
license controls are in place.
The author further states, this bill is narrowly crafted to
allow patrons to further enjoy their experience at three
historic theatres in San Francisco.
Analysis Prepared by : Eric Johnson / G. O. / (916) 319-2531
FN: 0001518