BILL ANALYSIS
Bill No: AB
1579
SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION
Senator Roderick D. Wright, Chair
2009-2010 Regular Session
Staff Analysis
AB 1579 Author: Committee on Governmental Organization
As Introduced: March 23, 2009
Hearing Date: July 8, 2009
Consultant: Art Terzakis
SUBJECT
Alcoholic Beverages
DESCRIPTION
AB 1579 makes minor clarifying changes to an existing
provision of the Alcoholic Beverage Control (ABC) Act that
grants the department of ABC the authority to, in its
discretion, issue an interim retail permit to an applicant
for any retail license to operate the premises during the
period an application for a license at the premises is
pending, subject to specified conditions.
EXISTING LAW
Existing law 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.
Existing law authorizes the ABC, in its discretion, to
issue an interim retail permit to an applicant for any
retail license to operate the premises during the period an
application for a license at the premises is pending,
subject to specified conditions.
BACKGROUND
Under current law, any person may protest the issuance of
an alcohol license. If a retail license application has
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been protested and ABC has recommended approval of the
license, ABC may issue an "Interim Operating Permit" upon
the applicant's written request. The fee for the permit is
$100 and it is good for up to 120 days subject to renewals.
If an application is withdrawn because of a protest being
filed, an applicant may not re-file an application at the
same premises for one year, and all protests remain valid
for one year against any subsequent applications filed by
other persons at the premises.
Purpose: AB 1579 represents the annual Assembly
Governmental Organization Committee measure that makes
technical, clarifying, conforming, and non-controversial
changes to the ABC Act.
This measure is intended to codify current practice by
authorizing ABC to, in its discretion, issue an interim
operating permit to an applicant for any license to operate
during the period in which an application for a license at
the premises is pending, subject to specified conditions
applicable to all licensees or retail licensees only.
Currently, when a retail license is being protested, the
ABC can issue an interim retail permit to be effective
until the matter is settled via the judicial process.
Unfortunately, though, the ABC cannot issue an interim
permit if the application is for a non-retail license
(winery, wholesaler, etc.) This bill would give ABC the
same latitude and discretion, in terms of interim
operation, for retail and non-retail licenses while protest
matters are being considered.
SUPPORT: None on file as of July 3, 2009.
OPPOSE: None on file as of July 3, 2009.
FISCAL COMMITTEE: Senate Appropriations Committee
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