BILL ANALYSIS Ó
SB 818
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Date of Hearing: June 12, 2013
ASSEMBLY COMMITTEE ON GOVERNMENTAL ORGANIZATION
Isadore Hall, Chair
SB 818 (Committee on Governmental Organization) - As
Introduced: March 14, 2013
SENATE VOTE : 34-0
SUBJECT : Alcoholic beverages.
SUMMARY : Makes non-controversial, clarifying and code
maintenance changes to the Alcoholic Beverage Control Act (the
Act).
EXISTING LAW :
1) The enactment of the 21st Amendment to the U.S. Constitution
in 1933 repealed the 18th Amendment and ended the era of
Prohibition. Accordingly, states were granted the authority to
establish alcoholic beverage laws and administrative structures
to regulate the sale and distribution of alcoholic beverages.
2) Establishes the Department of Alcoholic Beverage Control
(ABC) and grants it exclusive authority to administer the
provisions of the Act in accordance with laws enacted by the
Legislature. This involves licensing individuals and businesses
associated with the manufacture, importation and sale of
alcoholic beverages in this state and the collection of license
fees for this purpose.
3) Defines "veteran" for purposes of Veterans' Club licenses as
any person who has served in the United States Army, Navy,
Marine Corps, Revenue Marine Service, or as an active nurse in
the service of the American Red Cross, or in the Army and Navy
Nurse Corps in time of war, or in any expedition of the armed
forces of the United States, or who served in one of such
services during the period September 16, 1940 to December 7,
1941 and received a discharge under conditions other than
dishonorable.
4) Requires the holder of a Type 14 public warehouse license to
obtain only one license for all warehouses and requires the
license holder to post a copy of the original license in any
additional warehouses operated by the license holder. Existing
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law also requires ABC to charge $1 for each copy it issues to a
Type 14 license holder.
5) Prohibits the transfer of an off-sale general license or
on-sale general license from one county to another for a
purchase price in excess of $10,000 unless it was originally
issued on or after June 1, 1961, in which case the purchase
price shall not exceed $6,000. The law provides that after a
period of five years from the date of the inter-county transfer
of the license, these licenses may be transferred to another
county without restrictions on the purchase price.
6) Prohibits an off-sale licensee from delivering alcoholic
beverages ordered by telephone unless the recipient can furnish
proof of age and identity to indicate that he or she is 21 years
of age or over.
FISCAL EFFECT : Unknown.
COMMENTS :
Purpose of the bill : This is the annual Senate Governmental
Organization Committee bill that makes various non-controversial
and code maintenance changes to the Act. The proposed changes
have been requested by ABC. Specifically this measure:
1. Would amend B&P Code Section 23450, which dates back to
1935, to include persons who have served in the Air Force
and Coast Guard in the definition of "veteran" for purposes
of being eligible for a Veterans Club license.
2. Would amend B&P Code Section 24041 to clarify that a
Type 14 public warehouse licensee with multiple warehouses
must obtain a duplicate of its original license from ABC
for a $1 charge for each additional warehouse operated and
post it in each warehouse. As currently written, Section
24041 is not clear that the duplicates (or copies) must be
obtained from ABC.
3. Would amend B&P Code Section 24070 to clarify that an
original general license cannot be transferred from one
county to another for more than the fee set by statute for
five years from the date it was last transferred between
counties. The current fee for original general licenses is
set in Section 23954.5(b) at $13,800.
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4. Would amend B&P Code Section 25605 to recognize forms of
electronic communication, in addition to the telephone, by
which alcohol orders may be placed. Section 25605 was
enacted in 1963 before e-mail and other forms of electronic
communication existed.
Prior legislation : SB 937 (Governmental Organization
Committee), Chapter 327, Statutes of 2012. Made
non-controversial and code maintenance changes to the Act.
Among other things, codified the process in which ABC is
required to collect a surcharge of 3 percent of the annual
license fees for the ABC Appeals Board's administrative costs;
revised the license fee schedule to set forth the fee amounts as
of the 2010 calendar year; and, revised the provision to
prohibit the transfer of an original on-sale or off-sale license
for more than the original purchase price for a period of 2
years.
SB 1480 (Governmental Organization Committee), Chapter 296,
Statutes of 2010. Made minor clarifying changes, as well as
code maintenance changes, to existing provisions of the ABC Act
in order to reduce paperwork requirements of ABC.
SB 825 (Governmental Organization Committee), Chapter 68,
Statutes of 2009. Made various technical, clarifying and
non-substantive changes to the Act.
Related legislation : AB 1425 (Committee on Governmental
Organization) of 2013. Requires ABC to post its annual report
to the Legislature on its website. In addition, this bill makes
various code maintenance changes to existing provisions of the
Act. (Pending in Senate G.O. Committee)
REGISTERED SUPPORT / OPPOSITION :
Support
None on file
Opposition
None on file
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Analysis Prepared by : Eric Johnson / G. O. / (916) 319-2531