BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | SB 685|
|Office of Senate Floor Analyses | |
|(916) 651-1520 Fax: (916) | |
|327-4478 | |
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THIRD READING
Bill No: SB 685
Author: McGuire (D), et al.
Amended: 6/1/15
Vote: 21
SENATE GOVERNMENTAL ORG. COMMITTEE: 11-0, 4/14/15
AYES: Hall, Berryhill, Block, Gaines, Galgiani, Hernandez,
Hill, Hueso, Lara, McGuire, Vidak
SENATE APPROPRIATIONS COMMITTEE: 7-0, 5/28/15
AYES: Lara, Bates, Beall, Hill, Leyva, Mendoza, Nielsen
SUBJECT: Alcoholic beverage service: veterans' club license:
beer and wine tasting
SOURCE: AMVETS, Department of California
DIGEST: This bill expands the privileges of a holder of a
veterans' club license by allowing the licensee to also sell and
serve alcoholic beverages to bona fide members of other
congressionally chartered veterans organizations, active duty or
reserve members of the Armed Forces, or veterans, as defined.
ANALYSIS:
Existing law:
1)Establishes the Department of Alcoholic Beverage Control (ABC)
and grants it exclusive authority to administer the provisions
of the ABC 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.
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Page 2
2)Defines "club" to mean a corporation or association which is
the owner, lessee, or occupant of an establishment operated
solely for objects of a social or athletic nature but not for
pecuniary gain, having a bona fide membership list, and the
majority of the members of which pay dues at least once in
every year, and the property as well as the advantages of
which belong to the members, and which sells alcoholic
beverages only to its members and its bona fide guests. (B &
P Code Section 23037)
3)Provides for the issuance of a "club" license allowing the
sale of alcoholic beverages to a plethora of
clubs/organizations (e.g., golf club, swimming club, tennis
club, horse riding club, beach and athletic club, handball or
racquetball club, nonprofit mobile homeowners social club,
national fraternal organizations, rod and gun club, peace
officers and firefighters associations, nonprofit social and
religious club, National Guard or Air National Guard club,
labor council, American Citizens club, local dental society
club, condominium homeowners' association, Hidalgo Society,
nonprofit lawn bowls club, etc.).
4)Authorizes the issuance of a "veterans" club license and
defines veteran to mean any person who has served in the
United States Army, Navy, Air Force, Marine Corps, Coast
Guard, 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 has served in one of these services during the period
September 16, 1940, to December 7, 1941, and received a
discharge under conditions other than dishonorable. (B & P
Code Section 23450)
5)Defines "veteran" to mean any person who has served full time
in the Armed Forces in time of national emergency or state
military emergency or during an expedition of the Armed Forces
and who has been discharged or released under conditions other
than dishonorable. (Government Code Section 18540.4)
6)Provides that the holder of a veterans' club license may
exercise all of the rights and privileges permitted by an
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Page 3
on-sale general license but may sell and serve alcoholic
beverages for consumption within the licensed establishment
only to bona fide members of the veterans' organization and
their bona fide guests.
This bill:
1)Expands the privileges of the holder of a veterans' club
license by allowing such clubs to also serve and sell
alcoholic beverages to bona fide members of other
congressionally chartered veterans organizations, active duty
or reserve members of the Armed Forces, or veterans defined in
Section 18540.4 of the Government Code.
1)Specifies that a bona fide member of a veterans organization,
bona fide guest, active duty or reserve member of the Armed
Forces, or veteran is not required to sign a roster before
purchasing or being served alcoholic beverages for
consumption.
2)Declares legislative intent to expand the rights of a holder
of a veterans' club license to serve and sell alcoholic
beverages.
Background
Purpose of SB 685. Over the years numerous "club" licenses have
been added to the ABC Act allowing the license holder to sell
and serve alcoholic beverages for consumption within the
licensed establishment and "only" to members of the club and
their guests.
The existing veterans' club license was first established during
World War II and was developed to allow veterans organizations
to operate as a club house for members and their guests. There
are currently approximately 317 of these licenses which are
authorized to sell and serve alcoholic beverages only to bona
fide members of the club and their guests for consumption within
the licensed establishment.
According to the author's office, this bill is intended to
broaden the scope of "veterans" that can be served alcoholic
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beverages on the club's premises thereby increasing
opportunities for fundraising to support programs that provide
assistance to veterans.
FISCAL EFFECT: Appropriation: No Fiscal
Com.: Yes Local: No
According to the Senate Appropriations Committee, there will be
unknown costs, potentially $95,000 annually for enforcement
activities (Special Fund).
SUPPORT: (Verified 5/29/15)
AMVETS, Department of California (source)
American Legion, Department of California
California Association of County Veterans Service Officers
California State Commanders Veterans Council
Military Officers Association of America, California Council of
Chapters
Jewish War Veterans
Veterans of Foreign Wars, Department of California
Vietnam Veterans of America, California State Council
OPPOSITION: (Verified 5/29/15)
California Council on Alcohol Problems
ARGUMENTS IN SUPPORT: Proponents note that this bill gives
veterans organization posts which hold a veteran's club license
the opportunity to sell and serve alcohol within the licensed
establishment to a greater universe of veterans, as specified.
ARGUMENTS IN OPPOSITION: Opponents argue that as currently
drafted, this bill does not provide any particular format for
law enforcement or the Department of ABC to differentiate
between a bona fide guest and a private individual who enters
the club for purposes of alcohol consumption. Opponents believe
some sort of sign-up sheet or roster identifying guests and the
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club member should be required as a condition for alcohol
purchase or consumption.
Prepared by:Arthur Terzakis / G.O. / (916) 651-1530
6/1/15 15:45:52
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