BILL NUMBER: AB 1928	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JUNE 23, 2014
	AMENDED IN SENATE  JUNE 4, 2014
	AMENDED IN ASSEMBLY  APRIL 21, 2014
	AMENDED IN ASSEMBLY  MARCH 26, 2014

INTRODUCED BY   Assembly Member Bocanegra

                        FEBRUARY 19, 2014

   An act to add Section 25600.3 to the Business and Professions
Code, relating to alcoholic beverages.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1928, as amended, Bocanegra. Alcoholic beverages: coupons:
beer.
   (1) The Alcoholic Beverage Control Act prohibits any licensee from
giving any premium, gift, or free goods in connection with the sale
or distribution of any alcoholic beverage, except as specifically
authorized. The act provides that a violation of any of its
provisions for which another penalty or punishment is not
specifically provided is a misdemeanor.
   This bill would prohibit a beer manufacturer or a beer 
and wine  wholesaler from offering, funding, producing,
sponsoring, promoting, furnishing, or redeeming any type of coupon.
The bill would also prohibit a licensee authorized to sell alcoholic
beverages at retail from accepting, redeeming, possessing, or
utilizing any type of coupon that is funded, produced, sponsored,
promoted, or furnished by a beer manufacturer or beer  and
wine  wholesaler. The bill would define beer manufacturer
and coupon for these purposes and would except from the definition of
coupon certain rebates, coupons, and discounts. By expanding the
definition of a crime by imposing additional duties on a licensee
under the act, the bill would impose a state-mandated local program.
   (2) 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 is required by this
act for a specified reason.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


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

  SECTION 1.  Section 25600.3 is added to the Business and
Professions Code, to read:
   25600.3.  (a) A beer manufacturer or a beer  and wine
 wholesaler shall not offer, fund, produce, sponsor,
promote, furnish, or redeem any type of coupon.
   (b) A licensee authorized to sell alcoholic beverages at retail
shall not accept, redeem, possess, or utilize any type of coupon that
is funded, produced, sponsored, promoted, or furnished by a beer
manufacturer or beer  and wine  wholesaler.
   (c) For purposes of this section:
   (1) "Beer manufacturer" means a holder of a beer manufacturer's
license, a holder of an out-of-state beer manufacturer's certificate,
a holder of a beer and wine importer's general license when selling
beer, malt beverages, cider, or perry, or a winegrower that is a
wholly owned subsidiary of a beer manufacturer. 
   (2) "Beer wholesaler" means a holder of a beer and wine wholesaler
license when selling beer, malt beverages, cider, or perry. 

   (2) 
    (3)  "Cider" has the same meaning set forth in Section
4.21(e)(5) of the Code of Federal Regulations. 
   (3) 
    (4)  "Coupon" means any method by which a consumer
receives an instant discount at the time of a purchase that is
funded, produced, sponsored, promoted, or furnished, either directly
or indirectly, by a beer manufacturer or beer and wine wholesaler,
including, but not limited to, a paper coupon, a digital coupon, an
instant redeemable coupon (IRC), or an electronic coupon commonly
referred to as a scan or scanback. "Coupon" does not include:
   (A) A mail-in rebate by which the consumer purchases an item and
submits required information in order to receive a rebate or discount
from the beer manufacturer.
   (B) A coupon that is offered and funded by a distilled spirits
manufacturer, distilled spirits importer general, distilled spirits
importer, or distilled spirits wholesaler that offers a discount on
the purchase of a distilled spirits product if beer, malt beverages,
cider, or perry are not advertised in connection with the coupon.
   (C) A coupon offered and funded by a winegrower, a wine rectifier,
a wine blender, a beer and wine wholesaler, a beer and wine
importer, a  beer and  wine importer general, or a
wine broker that offers a discount on the purchase of a wine product
if beer, malt beverages, cider, or perry are not advertised in
connection with the coupon.
   (D) A discount that is offered and funded by a beer manufacturer
on the purchase of beer, malt beverages, cider, or perry at the
licensed premises of production or other licensed premises owned and
operated by the beer manufacturer. 
   (4) 
    (5)  "Perry" has the same meaning set forth in Section
4.21(e)(5) of the Code of Federal Regulations. 
   (6) "Wine wholesaler" means a holder of a beer and wine wholesaler
license when selling wine. 
  SEC. 2.  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.