BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    AB 1558


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          Date of Hearing:  April 20, 2016


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                               Lorena Gonzalez, Chair


          AB  
          1558 (Mathis) - As Amended March 16, 2016


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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill authorizes the Department of Alcoholic Beverage  
          Control (ABC) to issue additional on-sale general licenses  
          within Inyo County. Specifically, this bill allows up to five  
          additional licenses between January 1, 2017 and December 31,  








                                                                    AB 1558


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          2019, for bona fide public eating places or public premises, or  
          both, with seating capacity for 50 or more diners.





          FISCAL EFFECT:


          Any additional licensing and oversight costs for ABC associated  
          with this legislation will be minor and absorbable.

          COMMENTS:


          1)Purpose and background. According to the author, Inyo County  
            is a popular tourist destination. However, existing ABC  
            regulations that allocate certain alcohol licenses based on  
            county population make it difficult for entrepreneurs to  
            succeed in a volatile economic climate. According to the  
            author, while Inyo County has not seen population growth, the  
            number of businesses unable to obtain a license each year  
            demonstrates the  need for additional liquor licenses.
          2)Other related legislation. A number of recent bills have  
            created specific license exemptions for individual counties.  
            Those bills are: 


             a)   AB 461 (Achadjian), Chapter 110, Statutes of 2013:  
               Authorized ABC to issue no more five new original on-sale  
               general licenses, over a three-year period, for bona fide  
               public eating places in San Luis Obispo County. 


             b)   AB 1320 (Allen), Chapter 467, Statutes of 2012:  
               Authorized ABC to issue no more 15 new original on-sale  
               general licenses, over a three-year period, for bona fide  
               public eating places in Marin County.








                                                                    AB 1558


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             c)   SB 1285 (Leno) of 2016.  This bill, beginning January 1,  
               2017, provides an exception to this limitation for a county  
               of the 6th class, as specified, for 28 new original special  
               on-sale general licenses for bona fide eating places for  
               premises located within specified census tracts in that  
               county, subject to specified requirements.  (Pending in  
               Senate G.O. Committee)


             d)   SB 762 (Cox), Chapter 193, Statutes of 2007: Authorized  
               ABC to issue 10 new original on-sale general licenses for  
               bona fide public eating places in Mono County.


            Moreover, AB 1670 (Dodd) of 2016, which passed the Assembly  
            Governmental Organization Committee on April 6, 2016, allows  
            25 new on-sale general licenses, over a 5-year period, for  
            bona fide public eating places public premises in Napa County.  
             This bill is also on today's calendar.


          Analysis Prepared by:Luke Reidenbach / APPR. / (916)  
          319-2081