BILL ANALYSIS Ó
SB 818
Page 1
SENATE THIRD READING
SB 818 (Governmental Organization Committee)
As Amended August 26, 2013
Majority vote
SENATE VOTE : 34-0
GOVERNMENTAL ORGANIZATION 16-0 APPROPRIATIONS 17-0
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|Ayes:|Hall, Nestande, Bigelow, |Ayes:|Gatto, Harkey, Bigelow, |
| |Campos, Chesbro, Cooley, | |Bocanegra, Bradford, Ian |
| |Gray, Hagman, Roger | |Calderon, Campos, |
| |Hernández, Jones, | |Donnelly, Eggman, Gomez, |
| |Jones-Sawyer, Medina, | |Hall, Holden, Linder, |
| |Perea, | |Pan, Quirk, Wagner, Weber |
| |V. Manuel Pérez, Salas, | | |
| |Waldron | | |
| | | | |
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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in 1933 repealed the 18th Amendment and ended the era of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
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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 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 : According to the Assembly Appropriations
Committee, there are no significant costs associated with this
legislation.
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 Business and Professions (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
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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 B&P Code
Section 23954.5(b) at $13,800.
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.
5)Would amend B&P Code Section 23375 to allow ABC to issue to
the holder of a public warehouse license a duplicate of the
original license for each additional warehouse operated by the
licensee, which authorizes the exercise of all privileges of
the original license at the additional warehouse or
warehouses. The fee for a duplicate warehouse license shall
be $1.
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% 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 two 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
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non-substantive changes to the Act.
Related legislation : AB 1425 (Governmental Organization
Committee) of 2013. Requires ABC to post its annual report to
the Legislature on its Web site. In addition, this bill makes
various code maintenance changes to existing provisions of the
Act. This bill is currently on the Senate Floor on the Inactive
File.
Analysis Prepared by : Eric Johnson / G. O. / (916) 319-2531
FN: 0001894