BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 339
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          SENATE THIRD READING
          SB 339 (Wolk)
          As Amended  May 23, 2011
          Majority vote 

           SENATE VOTE  :40-0  
           
           GOVERNMENTAL ORGANIZATION   17-0APPROPRIATIONS      16-0        
           
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          |Ayes:|Hall, Nestande, Atkins,   |Ayes:|Fuentes, Harkey,          |
          |     |Block, Blumenfield,       |     |Blumenfield, Bradford,    |
          |     |Chesbro, Cook, Galgiani,  |     |Charles Calderon, Campos, |
          |     |Garrick, Gatto, Hill,     |     |Donnelly, Gatto, Hall,    |
          |     |Jeffries, Ma, Perea, V.   |     |Hill, Lara, Mitchell,     |
          |     |Manuel P�rez, Silva,      |     |Nielsen, Norby, Solorio,  |
          |     |Torres                    |     |Wagner                    |
          |-----+--------------------------+-----+--------------------------|
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Adds a new provision to the Alcoholic Beverage Control 
          Act (ABC Act) relating to the establishment of cooking schools 
          as bona fide eating places for the purpose of obtaining a 
          license to sell beer and wine.  In addition, this bill 
          authorizes the sale and consumption of alcoholic beverages at a 
          city-owned community center, as specified.  Specifically,  this 
          bill  :   

          1)Expands the definition of "bona fide eating place," within the 
            ABC Act, for purposes of the on-sale beer and wine eating 
            place license, to include a cooking school that regularly and 
            in a bona fide manner provides courses of instruction in the 
            preparation of food and that maintains suitable kitchen 
            facilities for persons attending the courses of instruction.

          2)Makes other minor conforming changes to a related provision of 
            the ABC Act containing compliance requirements imposed upon 
            bona fide eating places.

          3)Permits alcoholic beverages to be possessed, sold, or used 
            during an event held at a community center owned by a city 
            located on public school grounds, if the event is held when 
            students are not present at the facility, as specified.









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           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.  

          2)Defines "bona fide public eating place" as a place which is 
            regularly and in a bona fide manner used and kept open for the 
            serving of meals to guests for compensation and which has 
            suitable kitchen facilities connected therewith, containing 
            conveniences for cooking an assortment of foods which may be 
            required for ordinary meals, the kitchen of which must be kept 
            in a sanitary condition with the proper amount of 
            refrigeration for keeping of food on said premises and must 
            comply with all the regulations of the local department of 
            health. 

          3)Defines "meals" to mean the usual assortment of foods commonly 
            ordered at various hours of the day; the service of such food 
            and victuals only as sandwiches or salads shall not be deemed 
            a compliance with this requirement.  In addition, "guests" is 
            defined to mean persons who, during the hours when meals are 
            regularly served therein, come to a bona-fide public eating 
            place for the purpose of obtaining, and actually order and 
            obtain at such time, in good faith, a meal therein.

          4)Authorizes the issuance of an on-sale beer and wine eating 
            place license (Type 41), which authorizes the sale of beer and 
            wine for consumption on or off the premises where sold.  
            Distilled spirits may not be on the premises (except brandy, 
            rum, or liqueurs for use solely for cooking purposes).  The 
            law also provides that the licensee must maintain the licensed 
            premises as a "bona fide public eating place."  Minors are 
            allowed on the premises.

          5)Defines an "on-sale" license as authorizing the sale of all 
            types of alcoholic beverages: namely, beer, wine and distilled 
            spirits, for consumption on the premises (such as at a 
            restaurant or bar).  An "off-sale" license authorizes the sale 
            of all types of alcoholic beverages for consumption off the 
            premises in original, sealed containers.  

          6)Prohibits, generally, the sale or consumption of alcoholic 








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            beverages at a public schoolhouse or any grounds thereof.  
            Existing law provides that this prohibition does not apply if 
            the alcoholic beverage is possessed, consumed, or used during 
            an event at a community center owned by a community services 
            district, as provided.  

          FISCAL EFFECT  :   According to the Assembly Appropriations 
          Committee, any costs associated with this legislation would be 
          minor and absorbable within ABC's existing resources.

           COMMENTS  :   
           
          Purpose of the bill  :  The ABC Act contains provisions for 
          various types of licenses that permit licensees to furnish 
          alcoholic beverages under certain circumstances.  As noted 
          above, an eating establishment must be considered a "bona fide 
          eating place" to obtain a license to sell beer and wine for 
          consumption on or off the premises where sold.  Currently, a 
          cooking school which operates for the purpose of teaching its 
          students to prepare meals, and which often times provides 
          students the opportunity to consume the meals prepared in 
          classes on site, does not meet the requirements for a "bona fide 
          public eating place" and thus is unable to obtain a license from 
          the ABC to include appropriate wine pairings with cooking 
          classes.

          According to the author, allowing cooking schools to serve wine 
          with prepared meals enables the schools to present complete meal 
          options to students, thus enriching the learning experience.  
          Individuals must be 21 years of age or older to consume the 
          alcoholic beverages. 

          This measure is sponsored by the Davis Food Co-operative, Inc. 
          (DFC) which is a community-owned grocery store that serves its 
          member-owners and the larger Davis and Yolo County Community.  
          In 2009, the DFC remodeled an adjacent building and now offers 
          classes each year to hundreds of local residents in their 
          teaching kitchen.  The DFC notes that this measure will enable 
          its teaching kitchen, and other cooking schools, to offer 
          courses that include appropriate wine pairings.  

          The Family Winemakers of California emphasizes that this bill is 
          a narrow expansion of Tied-house exceptions.  Greater wine 
          knowledge may expand sales for winemakers when on-sale beer and 








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          wine licenses are granted to qualified cooking schools 
          throughout the state. 

          In addition, this bill would expand an existing statute which 
          allows community centers located on public school grounds to 
          hold events during which alcoholic beverages are sold and 
          consumed, to include city-owned community centers, provided that 
          the events are not held at a time when students are attending a 
          school-sponsored activity at the center.

           
          Analysis Prepared by  :    Eric Johnson / G. O. / (916) 319-2531 



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