BILL ANALYSIS
AB 2793
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB 2793 (Governmental Organization Committee)
As Amended August 18, 2010
Majority vote
-----------------------------------------------------------------
|ASSEMBLY: |77-0 |(June 1, 2010) |SENATE: |34-0 |(August 25, |
| | | | | |2010) |
-----------------------------------------------------------------
Original Committee Reference: G.O.
SUMMARY : The annual Assembly Governmental Organization
Committee bill makes technical, clarifying, conforming, and
non-controversial changes to the Alcoholic Beverage Control Act
(Act). In addition, permits a licensed winegrower to serve on
the board of trustees of a nonprofit theater company operating a
theater in the City of Livermore. Specifically, this bill :
1)Authorizes the Department of Alcoholic Beverage Control (ABC)
to issue a club license to nonprofit lawn bowling clubs that
do not discriminate or restrict membership, as specified.
2)Clarifies current law by stating that a defined alcohol
manufacturer or supplier may purchase indoor advertising space
or time at a fully enclosed venue with box office sales and
attendance by the public on a ticketed basis only, with a
patronage capacity in excess of 2,000, but not more than
3,000, located in Los Angeles County within the area subject
to the Los Angeles Sports and Entertainment District Specific
Plan, as defined.
3)Permits a licensed winegrower, to serve on the board of
trustees of a nonprofit theater company operating a theater in
the City of Livermore, as specified.
4)Makes technical and clarifying changes to existing law.
The Senate amendments add a provision that permits a licensed
winegrower, to serve on the board of trustees of a nonprofit
theater company operating a theater in the City of Livermore, as
specified.
EXISTING LAW :
AB 2793
Page 2
1)Establishes ABC and grants it exclusive authority to
administer the provisions of the ABC Act in accordance with
laws enacted by the Legislature. This involves the licensing
and regulation of businesses involved in the manufacture,
importation, and sale of alcoholic beverages in the state.
2)Provides for the issuance of a club license allowing the sale
of alcoholic beverages to numerous specified organizations, as
specified.
3)Specifies the holder of a club license may exercise all of the
rights and privileges permitted by an on-sale general license
but may sell and serve alcoholic beverages for consumption
within the licensed establishment only to bona fide members of
the club and their bona fide guests. A club license is not
transferable from person to person. No new club license shall
be issued to any club which is not a nonprofit organization.
4)Provides that on and after January 1, 1980, no new club
license shall be issued for any club, organization, or
association which does not have at least 100 members and which
has not been in existence for at least one year.
5)Restricts certain alcoholic beverage licensees, including
manufacturers and winegrowers, from paying, crediting, or
compensating a retailer for advertising in connection with the
advertising and sale of alcoholic beverages but expressly
authorizes specified licensees to purchase advertising space
or time from specified fully enclosed venues located in Los
Angeles County that have a patronage capacity in excess of
2,000, as described, under specified conditions.
FISCAL EFFECT: According to the Assembly Appropriations
Committee, potential minor non-reimbursable local costs for
investigation and prosecution of violations, potentially offset
by fine revenue.
COMMENTS : This bill represents the annual Assembly Governmental
Organization Committee bill that makes technical, clarifying,
conforming, and non-controversial changes to the ABC Act.
Currently, club licenses are available to a variety of entities
by statute. Examples include golf, swimming or tennis clubs,
AB 2793
Page 3
rod and gun clubs, press clubs, firemen's associations,
nonprofit social luncheon clubs, etc. Currently, 30 types of
organizations are eligible for club licenses.
The holder of a club license may exercise all of the rights and
privileges permitted by an on-sale general license but may sell
and serve alcoholic beverages for consumption within the
licensed establishment only to members of the club and their
guests.
AB 2793 would authorize ABC to issue a club license to nonprofit
lawn bowling clubs. This bill prohibits the issuance of a club
license to such an organization if it restricts membership or
the use of its facilities on the basis of race, religion,
national origin, sex or age.
In addition, this measure contains language to clean-up and/or
clarify provisions contained in AB 813 (John A. Perez), Chapter
647, Statutes of 2009. AB 813 creates a new tied-house
exception to the Act by allowing the owner of a venue (Club
Nokia) in Los Angeles to engage in a sponsorship agreement with
an alcoholic beverage supplier for the privilege of placing
advertising in the on-sale licensee's premises. The amendments
contained in this bill were put forth by ABC.
This bill also contains language which will allow the Livermore
Valley Performing Arts Center Board to apply for an annual
on-sale general license with ABC. The Arts Center operates the
Bankhead Theater in downtown Livermore which sells beer and wine
in the lobby before performances and during intermission.
Revenue from these sales helps underwrite the costs of operating
the theater. For the past three seasons, the Arts Center has
secured "daily" alcoholic beverage licenses from the ABC for
each event. The Arts Center was recently informed that it could
qualify for an annual on-sale "theater" license for these sales
at a significant savings in fees. The only catch is that the
founder and Chairman of the Arts Center Board is a licensed
winegrower and existing law prohibits any winegrower from
serving on the licensee's Board of Directors, except for a
nonprofit theater company operating in Napa.
Background: Lawn bowling has been described as part strategy,
part skill. Players take bowls, balls a bit larger than
softballs with one side flatter than the rest, and roll them
AB 2793
Page 4
toward a jack, a small white ball at the opposite end of the
lawn. Bowlers receive points for landing the bowls close to the
jack. Teams are made with two, three, or four bowlers. The
length of each game is preset by the number of times the bowls
are rolled to the Jack. When all the bowls have been rolled, it
is an "end" and the score for each "end" is recorded. Each set
of bowls has a distinguishing emblem for identification of the
scoring bowls and their owner. The green upon which the game is
played must be between 110' and 125' in length. Most are
square, providing play areas (rinks), for six to eight sets of
opponents at a time. Lawn bowls share some heritage with bocce
(Italy) or boul? (France) but is played on a very flat grass
green. It is also known as English Lawn Bowls or simply English
Bowling. In colder climates, lawn bowling evolved into curling.
In most social games, men and women compete on the same teams."
Lawn bowling in the USA is administered by the US Lawn Bowling
Association, an all volunteer non-profit organization that seeks
to maintain the low-cost of the sport and easy-access for people
of all ages. Nearly every week of the year there is at least
one major tournament held in California.
In 2009, Governor Arnold Schwarzenegger issued a Proclamation
for California Lawn Bowls Day, a salute to the state's 59 lawn
bowling facilities which hosted local and regional open houses.
The Proclamation applauded California bowlers' efforts to
encourage the challenge of lawn bowling and awareness of the
game.
Prior legislation : AB 813 creates a new tied-house exception to
the Act that authorizes the owner of a venue (Club Nokia) in Los
Angeles to engage in a sponsorship agreement with an a beer
manufacturer, holder of winegrower's license, California
winegrower's agent, distilled spirits manufacturer, holder of a
distilled spirits rectifiers general license, or a distilled
spirits manufacturer's agent for the privilege of placing
advertising in the on-sale licensee's premises.
Analysis Prepared by : Eric Johnson / G. O. / (916) 319-2531
FN: 0006551
AB 2793
Page 5