BILL ANALYSIS Ó
AB 774
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Date of Hearing: April 29, 2015
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Jimmy Gomez, Chair
AB
774 (Levine) - As Amended April 6, 2015
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|Policy |Governmental Organization |Vote:|20 - 0 |
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Urgency: No State Mandated Local Program: NoReimbursable: No
SUMMARY:
This bill allows a licensed beer manufacturer that holds a
certified farmers' market beer sales permit to conduct
instructional beer tastings for consumers at the certified
farmers' market, and specifies the manner in which the tasting
may be conducted.
FISCAL EFFECT:
Minor and absorbable enforcement costs to the Department of
Alcoholic Beverage Control. These costs could increase if sales
AB 774
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at certified farmers' markets prove especially popular and
brewers begin using farmers' markets as a primary marketing
channel.
COMMENTS:
1)Purpose. According to the author, very few craft brewers sell
beer at farmers' markets, in part because consumers are
accustomed to sampling craft beer before purchasing. The
author believes this bill provides an important market access
opportunity for small brewers.
2)Hoppy Times Are Here To Stay. In recent years, craft brewing
in California has experienced spectacular growth. According
to the Brewers Association, a new craft brewery opens every 16
hours in the United States, and a disproportionate number of
these are on the west coast. The author believes this bill
will foster relationships between local brewers and consumers,
enabling the brewers to build their brands by affiliating with
farmers' markets.
3)Tasting Rules. AB 2488 (Levine), Statutes of 2014, permitted
wineries selling at certified farmers' markets to offer
instructional tastings, and this bill does the same for
brewers. The certified farmers' market beer sales permit will
allow one licensed manufacturer to conduct tastings, subject
to managerial control by the farmers' market operator, so long
as:
a) The instructional tasting is conducted by the licensee,
a family member who is 21 years of age or older, or an
employee of the licensee;
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b) The tasting area is separated from the remainder of the
market; and
c) No more than eight ounces of beer are served per person,
per day, and no consumer is permitted to leave the tasting
area with an open container of beer.
Analysis Prepared by:Joel Tashjian / APPR. / (916)
319-2081