BILL NUMBER: SB 937 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY FEBRUARY 7, 2012
AMENDED IN ASSEMBLY JULY 7, 2011
INTRODUCED BY Committee on Governmental Organization (Senators
Wright (Chair), Anderson, Berryhill, Calderon, Cannella, Corbett, De
León, Evans, Hernandez, Padilla, Strickland, Wyland, and Yee)
MARCH 21, 2011
An act to amend Sections 23800 and 494.5,
23083.5, 23355, 23393.5, 23800, 23817.5 , 23958.4, 24016,
25503.6, 25503.8, 25503.85, 25503.26, 25503.29, 25503.31, 25503.37,
and 25503.42 of , to repeal Section 24210 of, and to
repeal and add Sections 23320 and 24079 of, the Business and
Professions Code, relating to alcoholic beverages.
LEGISLATIVE COUNSEL'S DIGEST
SB 937, as amended, Committee on Governmental Organization.
Alcoholic beverages : licenses .
(1) The Alcoholic Beverage Control Act
contains various provisions regulating the application for,
the issuance of, the suspension of, and the conditions imposed upon,
alcoholic beverage licenses by the Department of Alcoholic Beverage
Control. The Alcoholic Beverage Control Act authorizes the Department
of Alcoholic Beverage Control to impose reasonable conditions in
certain situations on the exercise of retail privileges under the act
requires the Alcoholic Beverage Control Appeals Board
to establish a surcharge of up to 3 percent of the annual license
fees imposed under the act to pay for the board's
administrative costs .
This bill would make a technical, nonsubstantive change
to the provision authorizing the Department of Alcoholic Beverage
Control to impose reasonable conditions provide that
the Department of Alcoholic Beverage Control is required to collect a
surcharge of 3 percent of the annual license fees for the Alcoholic
Beverage Control Appeals Board's administrative costs .
(2) The Alcoholic Beverage Control Act provides for the issuance
of licenses for which various annual fees are charged depending upon
the type of license issued. That law authorizes an annual adjustment
of the fees, as provided, commencing with the 2010 calendar year.
This bill would revise the license fee schedule to set forth the
fee amounts as of the 2010 calendar year.
(3) Existing law provides that licenses provided for in a
specified article within the Alcoholic Beverage Control Act authorize
the license holder to exercise the rights and privileges specified
in that article.
This bill would provide that the licenses provided for in the
Alcoholic Beverage Control Act authorize the license holder to
exercise the rights and privileges specified in that act.
Existing
(4) Existing law requires a
retail off-sale beer and wine replacement license to be issued upon
application when specified conditions exist.
This bill would instead authorize a retail off-sale beer and wine
replacement license to be issued under specified circumstances. This
bill would also prohibit the issuance of a replacement license under
specified circumstances.
(5) The Alcoholic Beverage Control Act prohibits the transfer of
an original on-sale or off-sale general license for one year if a fee
in excess of $12,000 has been paid and for 2 years if a fee of
$12,000 has been paid.
This bill would revise the provision to prohibit the transfer of
an original on-sale or off-sale license for more than the original
purchase price for a period of 2 years.
(6) Existing law prohibits specified holders of alcoholic beverage
licenses, including wholesalers, from having specified relationships
with an on-sale alcoholic beverage licensee, with limited
exceptions, including, in some cases, a requirement that the on-sale
licensee serve other brands of beer, wine, and distilled spirits from
competing wholesalers.
This bill would remove the competing wholesalers requirement and
instead require the on-sale licensee to serve brands of beer, wine,
and distilled spirits other than those produced by the wholesaler
with whom the on-sale retail licensee has a relationship.
(7) This bill would also make technical and conforming changes.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 494.5 of the
Business and Professions Code is amended to read:
494.5. (a) (1) Except as provided in paragraphs (2), (3), and
(4), a state governmental licensing entity shall refuse to issue,
reactivate, reinstate, or renew a license and shall suspend a license
if a licensee's name is included on a certified list.
(2) The Department of Motor Vehicles shall suspend a license if a
licensee's name is included on a certified list. Any reference in
this section to the issuance, reactivation, reinstatement, renewal,
or denial of a license shall not apply to the Department of Motor
Vehicles.
(3) The State Bar of California may recommend to refuse to issue,
reactivate, reinstate, or renew a license and may recommend to
suspend a license if a licensee's name is included on a certified
list. The word "may" shall be substituted for the word "shall"
relating to the issuance of a temporary license, refusal to issue,
reactivate, reinstate, renew, or suspend a license in this section
for licenses under the jurisdiction of the California Supreme Court.
(4) The Alcoholic Department of Alcoholic
Beverage Control Board may refuse to issue,
reactivate, reinstate, or renew a license, and may suspend a
license, if a licensee's name is included on a certified list.
(b) For purposes of this section:
(1) "Certified list" means either the list provided by the State
Board of Equalization or the list provided by the Franchise Tax Board
of persons whose names appear on the lists of the 500 largest tax
delinquencies pursuant to Section 7063 or 19195 of the Revenue and
Taxation Code, as applicable.
(2) "License" includes a certificate, registration, or any other
authorization to engage in a profession or occupation issued by a
state governmental licensing entity. "License" includes a driver's
license issued pursuant to Chapter 1 (commencing with Section 12500)
of Division 6 of the Vehicle Code. "License" excludes a vehicle
registration issued pursuant to Division 3 (commencing with Section
4000) of the Vehicle Code.
(3) "Licensee" means an individual authorized by a license to
drive a motor vehicle or authorized by a license, certificate,
registration, or other authorization to engage in a profession or
occupation issued by a state governmental licensing entity.
(4) "State governmental licensing entity" means any entity listed
in Section 101, 1000, or 19420, the office of the Attorney General,
the Department of Insurance, the Department of Motor Vehicles, the
State Bar of California, the Department of Real Estate, and any other
state agency, board, or commission that issues a license,
certificate, or registration authorizing an individual to engage in a
profession or occupation, including any certificate, business or
occupational license, or permit or license issued by the Department
of Motor Vehicles or the Department of the California Highway Patrol.
"State governmental licensing entity" shall not include the
Contractors' State License Board.
(c) The State Board of Equalization and the Franchise Tax Board
shall each submit its respective certified list to every state
governmental licensing entity. The certified lists shall include the
name, social security number or taxpayer identification number, and
the last known address of the persons identified on the certified
lists.
(d) Notwithstanding any other law, each state governmental
licensing entity shall collect the social security number or the
federal taxpayer identification number from all applicants for the
purposes of matching the names of the certified lists provided by the
State Board of Equalization and the Franchise Tax Board to
applicants and licensees.
(e) (1) Each state governmental licensing entity shall determine
whether an applicant or licensee is on the most recent certified list
provided by the State Board of Equalization and the Franchise Tax
Board.
(2) If an applicant or licensee is on either of the certified
lists, the state governmental licensing entity shall immediately
provide a preliminary notice to the applicant or licensee of the
entity's intent to suspend or withhold issuance or renewal of the
license. The preliminary notice shall be delivered personally or by
mail to the applicant's or licensee's last known mailing address on
file with the state governmental licensing entity within 30 days of
receipt of the certified list. Service by mail shall be completed in
accordance with Section 1013 of the Code of Civil Procedure.
(A) The state governmental licensing entity shall issue a
temporary license valid for a period of 90 days to any applicant
whose name is on a certified list if the applicant is otherwise
eligible for a license.
(B) The 90-day time period for a temporary license shall not be
extended. Only one temporary license shall be issued during a regular
license term and the term of the temporary license shall coincide
with the first 90 days of the regular license term. A license for the
full term or the remainder of the license term may be issued or
renewed only upon compliance with this section.
(C) In the event that a license is suspended or an application for
a license or the renewal of a license is denied pursuant to this
section, any funds paid by the applicant or licensee shall not be
refunded by the state governmental licensing entity.
(f) (1) A state governmental licensing entity shall refuse to
issue or shall suspend a license pursuant to this section no sooner
than 90 days and no later than 120 days of the mailing of the
preliminary notice described in paragraph (2) of subdivision (e),
unless the state governmental licensing entity has received a release
pursuant to subdivision (h). The procedures in the administrative
adjudication provisions of the Administrative Procedure Act (Chapter
4.5 (commencing with Section 11400) and Chapter 5 (commencing with
Section 11500) of Part 1 of Division 3 of Title 2 of the Government
Code) shall not apply to the denial or suspension of, or refusal to
renew, a license or the issuance of a temporary license pursuant to
this section.
(2) Notwithstanding any other law, if a board, bureau, or
commission listed in Section 101, other than the Contractors' State
License Board, fails to take action in accordance with this section,
the Department of Consumer Affairs shall issue a temporary license or
suspend or refuse to issue, reactivate, reinstate, or renew a
license, as appropriate.
(g) Notices shall be developed by each state governmental
licensing entity. For an applicant or licensee on the State Board of
Equalization's certified list, the notice shall include the address
and telephone number of the State Board of Equalization, and shall
emphasize the necessity of obtaining a release from the State Board
of Equalization as a condition for the issuance, renewal, or
continued valid status of a license or licenses. For an applicant or
licensee on the Franchise Tax Board's certified list, the notice
shall include the address and telephone number of the Franchise Tax
Board, and shall emphasize the necessity of obtaining a release from
the Franchise Tax Board as a condition for the issuance, renewal, or
continued valid status of a license or licenses.
(1) The notice shall inform the applicant that the state
governmental licensing entity shall issue a temporary license, as
provided in subparagraph (A) of paragraph (2) of subdivision (e), for
90 calendar days if the applicant is otherwise eligible and that
upon expiration of that time period, the license will be denied
unless the state governmental licensing entity has received a release
from the State Board of Equalization or the Franchise Tax Board,
whichever is applicable.
(2) The notice shall inform the licensee that any license
suspended under this section will remain suspended until the state
governmental licensing entity receives a release along with
applications and fees, if applicable, to reinstate the license.
(3) The notice shall also inform the applicant or licensee that if
an application is denied or a license is suspended pursuant to this
section, any moneys paid by the applicant or licensee shall not be
refunded by the state governmental licensing entity. The state
governmental licensing entity shall also develop a form that the
applicant or licensee shall use to request a release by the State
Board of Equalization or the Franchise Tax Board. A copy of this form
shall be included with every notice sent pursuant to this
subdivision.
(h) If the applicant or licensee wishes to challenge the
submission of his or her name on a certified list, the applicant or
licensee shall make a timely written request for release to the State
Board of Equalization or the Franchise Tax Board, whichever is
applicable. The State Board of Equalization or the Franchise Tax
Board shall immediately send a release to the appropriate state
governmental licensing entity and the applicant or licensee, if any
of the following conditions are met:
(1) The applicant or licensee has complied with the tax
obligation, either by payment of the unpaid taxes or entry into an
installment payment agreement, as described in Section 6832 or 19008
of the Revenue and Taxation Code, to satisfy the unpaid taxes.
(2) The applicant or licensee has submitted a request for release
not later than 45 days after the applicant's or licensee's receipt of
a preliminary notice described in paragraph (2) of subdivision (e),
but the State Board of Equalization or the Franchise Tax Board,
whichever is applicable, will be unable to complete the release
review and send notice of its findings to the applicant or licensee
and state governmental licensing entity within 45 days after the
State Board of Equalization's or the Franchise Tax Board's receipt of
the applicant's or licensee's request for release. Whenever a
release is granted under this paragraph, and, notwithstanding that
release, the applicable license or licenses have been suspended
erroneously, the state governmental licensing entity shall reinstate
the applicable licenses with retroactive effect back to the date of
the erroneous suspension and that suspension shall not be reflected
on any license record.
(3) The applicant or licensee is unable to pay the outstanding tax
obligation due to a current financial hardship. "Financial hardship"
means financial hardship as determined by the State Board of
Equalization or the Franchise Tax Board, whichever is applicable,
where the applicant or licensee is unable to pay any part of the
outstanding liability and the applicant or licensee is unable to
qualify for an installment payment arrangement as provided for by
Section 6832 or Section 19008 of the Revenue and Taxation Code. In
order to establish the existence of a financial hardship, the
applicant or licensee shall submit any information, including
information related to reasonable business and personal expenses,
requested by the State Board of Equalization or the Franchise Tax
Board, whichever is applicable, for purposes of making that
determination.
(i) An applicant or licensee is required to act with diligence in
responding to notices from the state governmental licensing entity
and the State Board of Equalization or the Franchise Tax Board with
the recognition that the temporary license will lapse or the license
suspension will go into effect after 90 days and that the State Board
of Equalization or the Franchise Tax Board must have time to act
within that period. An applicant's or licensee's delay in acting,
without good cause, which directly results in the inability of the
State Board of Equalization or the Franchise Tax Board, whichever is
applicable, to complete a review of the applicant's or licensee's
request for release shall not constitute the diligence required under
this section which would justify the issuance of a release. An
applicant or licensee shall have the burden of establishing that he
or she diligently responded to notices from the state governmental
licensing entity or the State Board of Equalization or the Franchise
Tax Board and that any delay was not without good cause.
(j) The State Board of Equalization or the Franchise Tax Board
shall create release forms for use pursuant to this section. When the
applicant or licensee has complied with the tax obligation by
payment of the unpaid taxes, or entry into an installment payment
agreement, or establishing the existence of a current financial
hardship as defined in paragraph (3) of subdivision (h), the State
Board of Equalization or the Franchise Tax Board, whichever is
applicable, shall mail a release form to the applicant or licensee
and provide a release to the appropriate state governmental licensing
entity. Any state governmental licensing entity that has received a
release from the State Board of Equalization and the Franchise Tax
Board pursuant to this subdivision shall process the release within
five business days of its receipt. If the State Board of Equalization
or the Franchise Tax Board determines subsequent to the issuance of
a release that the licensee has not complied with their installment
payment agreement, the State Board of Equalization or the Franchise
Tax Board, whichever is applicable, shall notify the state
governmental licensing entity and the licensee in a format prescribed
by the State Board of Equalization or the Franchise Tax Board,
whichever is applicable, that the licensee is not in compliance and
the release shall be rescinded. The State Board of Equalization and
the Franchise Tax Board may, when it is economically feasible for the
state governmental licensing entity to develop an automated process
for complying with this subdivision, notify the state governmental
licensing entity in a manner prescribed by the State Board of
Equalization or the Franchise Tax Board, whichever is applicable,
that the licensee has not complied with the installment payment
agreement. Upon receipt of this notice, the state governmental
licensing entity shall immediately notify the licensee on a form
prescribed by the state governmental licensing entity that the
licensee's license will be suspended on a specific date, and this
date shall be no longer than 30 days from the date the form is
mailed. The licensee shall be further notified that the license will
remain suspended until a new release is issued in accordance with
this subdivision.
(k) The State Board of Equalization and the Franchise Tax Board
may enter into interagency agreements with the state governmental
licensing entities necessary to implement this section.
(l) Notwithstanding any other law, a state governmental licensing
entity, with the approval of the appropriate department director or
governing body, may impose a fee on a licensee whose license has been
suspended pursuant to this section. The fee shall not exceed the
amount necessary for the state governmental licensing entity to cover
its costs in carrying out the provisions of this section. Fees
imposed pursuant to this section shall be deposited in the fund in
which other fees imposed by the state governmental licensing entity
are deposited and shall be available to that entity upon
appropriation in the annual Budget Act.
(m) The process described in subdivision (h) shall constitute the
sole administrative remedy for contesting the issuance of a temporary
license or the denial or suspension of a license under this section.
(n) Any state governmental licensing entity receiving an inquiry
as to the licensed status of an applicant or licensee who has had a
license denied or suspended under this section or who has been
granted a temporary license under this section shall respond that the
license was denied or suspended or the temporary license was issued
only because the licensee appeared on a list of the 500 largest tax
delinquencies pursuant to Section 7063 or 19195 of the Revenue and
Taxation Code. Information collected pursuant to this section by any
state agency, board, or department shall be subject to the
Information Practices Act of 1977 (Chapter 1 (commencing with Section
1798) of Title 1.8 of Part 4 of Division 3 of the Civil Code). Any
state governmental licensing entity that discloses on its Internet
Web site or other publication that the licensee has had a license
denied or suspended under this section or has been granted a
temporary license under this section shall prominently disclose, in
bold and adjacent to the information regarding the status of the
license, that the only reason the license was denied, suspended, or
temporarily issued is because the licensee failed to pay taxes.
(o) Any rules and regulations issued pursuant to this section by
any state agency, board, or department may be adopted as emergency
regulations in accordance with the rulemaking provisions of the
Administrative Procedure Act (Chapter 3.5 (commencing with Section
11340) of Part 1 of Division 3 of Title 2 of the Government Code).
The adoption of these regulations shall be deemed an emergency and
necessary for the immediate preservation of the public peace, health,
and safety, or general welfare. The regulations shall become
effective immediately upon filing with the Secretary of State.
(p) The State Board of Equalization, the Franchise Tax Board, and
state governmental licensing entities, as appropriate, shall adopt
regulations as necessary to implement this section.
(q) (1) Neither the state governmental licensing entity, nor any
officer, employee, or agent, or former officer, employee, or agent of
a state governmental licensing entity, may disclose or use any
information obtained from the State Board of Equalization or the
Franchise Tax Board, pursuant to this section, except to inform the
public of the denial, refusal to renew, or suspension of a license or
the issuance of a temporary license pursuant to this section. The
release or other use of information received by a state governmental
licensing entity pursuant to this section, except as authorized by
this section, is punishable as a misdemeanor. This subdivision may
not be interpreted to prevent the State Bar of California from filing
a request with the Supreme Court of California to suspend a member
of the bar pursuant to this section.
(2) A suspension of, or refusal to renew, a license or issuance of
a temporary license pursuant to this section does not constitute
denial or discipline of a licensee for purposes of any reporting
requirements to the National Practitioner Data Bank and shall not be
reported to the National Practitioner Data Bank or the Healthcare
Integrity and Protection Data Bank.
(3) Upon release from the certified list, the suspension or
revocation of the applicant's or licensee's license shall be purged
from the state governmental licensing entity's Internet Web site or
other publication within three business days. This paragraph shall
not apply to the State Bar of California.
(r) If any provision of this section or the application thereof to
any person or circumstance is held invalid, that invalidity shall
not affect other provisions or applications of this section that can
be given effect without the invalid provision or application, and to
this end the provisions of this section are severable.
(s) All rights to review afforded by this section to an applicant
shall also be afforded to a licensee.
(t) Unless otherwise provided in this section, the policies,
practices, and procedures of a state governmental licensing entity
with respect to license suspensions under this section shall be the
same as those applicable with respect to suspensions pursuant to
Section 17520 of the Family Code.
(u) No provision of this section shall be interpreted to allow a
court to review and prevent the collection of taxes prior to the
payment of those taxes in violation of the California Constitution.
(v) This section shall apply to any licensee whose name appears on
a list of the 500 largest tax delinquencies pursuant to Section 7063
or 19195 of the Revenue and Taxation Code on or after July 1, 2012.
SEC. 2. Section 23083.5 of the Business
and Professions Code is amended to read:
23083.5. (a) The board shall establish a surcharge applicable to
the annual fees provided for in Section 23320.
(b)
23083.5. (a) The surcharge set by
the board shall be proportionate to the fee charged to each licensee
pursuant to Section 23320 and shall provide an amount which is
sufficient to pay the actual costs of the board in carrying out its
duties commencing July 1, 1982. The surcharge shall not exceed 3
percent applied to the annual fees provided for in Section 23320, but
shall otherwise be adjusted periodically to ensure that sufficient
amounts are collected to pay these costs. The surcharge shall be
collected department shall collect a 3-percent
surcharge on the annual fees provided for in Section 23320 on
behalf of the appeals board by the Department of
Alcoholic Beverage Control at the same time the department
makes its regular collections of annual fees pursuant to
Sections Section 23320 and 23320.2
. The surcharge shall be rounded to the nearest whole
dollar and pay the costs of the appeals board in carrying out its
duties.
(c)
(b) All surcharges collected by the Department
of Alcoholic Beverage Control department on
behalf of the appeals board pursuant to this section shall
be deposited in the Alcoholic Beverage Control Appeals Fund, which
is hereby created. All moneys in the Alcoholic Beverage Control
Appeals Fund shall be available to the appeals board,
when appropriated upon appropriation by
the Legislature, to pay the actual costs of the appeals
board in carrying out its duties , commencing July 1, 1982,
under this chapter.
SEC. 3. Section 23320 of the Business
and Professions Code is repealed.
23320. (a) The following are the types of licenses and the annual
fees to be charged therefor:
+-------------------+----------+----------+----------+
| | Fee | Fee | Fee |
|Name & License | Effective| Effective| Effective|
|Type Number: | 01/01/02 | 01/01/03 | 01/01/04 |
+-------------------+----------+----------+----------+
|(1) Beer | | | |
|manufacturer: | | | |
|(a) Beer | | | |
|manufacturers | | | |
|that produce 60,000| | | |
|barrels or less a | | | |
|year | $127.00| $134.00| $140.00|
|(Type 23)..........| | | |
|(b) All other beer | | | |
|manufacturers | $1,043.00| $1,098.00| $1,153.00|
|(Type 1)...........| | | |
|(c) Branch Office | | | |
|--Small Beer | | | |
|Manufacturers | $69.00| $71.00| $73.00|
|(Type 23D).........| | | |
|--Beer | $69.00| $71.00| $73.00|
|Manufacturers | | | |
|(Type 1D)..........| | | |
+-------------------+----------+----------+----------+
|(2) Winegrower or | | | |
|wine | | | |
|blender (to be | | | |
|computed only on | | | |
|the | | | |
|gallonage produced | | | |
|or blended) (Type | | | |
|2 & | | | |
|Type 22) | | | |
|--5,000 gallons or | | | |
|less...............| | | |
|--Over 5,000 | | | |
|gallons | | | |
|to 20,000 gallons | $34.00| $44.00| $54.00|
|per | | | |
|year...............| | | |
|--Over 20,000 to | $65.00| $80.00| $99.00|
|100,000 | | | |
|gallons per year...| $130.00| $155.00| $180.00|
|--Over 100,000 to | | | |
|200,000 gallons per| | | |
|year...............| $180.00| $205.00| $237.00|
|--Over 200,000 | | | |
|gallons | | | |
|to 1,000,000 | $250.00| $300.00| $351.00|
|gallons | | | |
|per year...........| | | |
|--For each | | | |
|1,000,000 | $170.00| $200.00| $229.00|
|gallons or fraction| | | |
|thereof over | $69.00| $71.00| $73.00|
|1,000,000 | | | |
|gallons an | | | |
|additional.........| | | |
|Winegrower (Branch | | | |
|Office) - (Type | | | |
|2D)................| | | |
+-------------------+----------+----------+----------+
|(3) Brandy | | | |
|manufacturer | $212.00| $223.00| $234.00|
|(Type 3)...........| | | |
|Brandy manufacturer| | | |
|(Branch Office) | $204.00| $210.00| $215.00|
|(Type 3D)..........| | | |
+-------------------+----------+----------+----------+
|(4) Distilled | | | |
|spirits | | | |
|manufacturer (Type | $348.00| $366.00| $384.00|
|4).................| | | |
+-------------------+----------+----------+----------+
|(5) Distilled | | | |
|spirits | | | |
|manufacturer's | | | |
|agent | $348.00| $366.00| $384.00|
|(Type 5)...........| | | |
+-------------------+----------+----------+----------+
|(5a) California | | | |
|winegrower's | $348.00| $366.00| $384.00|
|agent (Type 27)....| | | |
+-------------------+----------+----------+----------+
|(6) Still (Type 6).| $33.00| $46.00| $58.00|
+-------------------+----------+----------+----------+
|(7) Rectifier | $348.00| $366.00| $384.00|
|(Type 7)...........| | | |
+-------------------+----------+----------+----------+
|(7a) Distilled | | | |
|spirits | | | |
|rectifier's | | | |
|general license | $348.00| $366.00| $384.00|
|(Type 24)..........| | | |
+-------------------+----------+----------+----------+
|(8) Wine rectifier | | | |
|(Type 8)...........| $348.00| $366.00| $384.00|
+-------------------+----------+----------+----------+
|(9) Beer & wine | | | |
|importer | $25.00| $42.00| $58.00|
|(Type 9)...........| | | |
+-------------------+----------+----------+----------+
|(10) Beer & wine | | | |
|importer's | | | |
|general license | $147.00| $202.00| $256.00|
|(Type 10) | | | |
+-------------------+----------+----------+----------+
|(11) Brandy | | | |
|importer | $25.00| $42.00| $58.00|
|(Type 11)..........| | | |
+-------------------+----------+----------+----------+
|(12) Distilled | | | |
|spirits | $25.00| $42.00| $58.00|
|importer (Type 12).| | | |
+-------------------+----------+----------+----------+
|(13) Distilled | | | |
|spirits | | | |
|importer's general | | | |
|license | $348.00| $366.00| $384.00|
|(Type 13)..........| | | |
+-------------------+----------+----------+----------+
|(14) Public | | | |
|warehouse | $33.00| $46.00| $58.00|
|(Type 14)..........| | | |
+-------------------+----------+----------+----------+
|(15) Customs broker| | | |
|(Type 15)..........| $33.00| $46.00| $58.00|
+-------------------+----------+----------+----------+
|(16) Wine broker | $7l.00| $75.00| $78.00|
|(Type 16)..........| | | |
+-------------------+----------+----------+----------+
|(17) Beer & wine | | | |
|wholesaler | $147.00| $202.00| $256.00|
|(Type 17)..........| | | |
+-------------------+----------+----------+----------+
|(18) Distilled | | | |
|spirits | | | |
|wholesaler (Type | $348.00| $366.00| $384.00|
|18)................| | | |
+-------------------+----------+----------+----------+
|(18a) California | | | |
|brandy | | | |
|wholesaler (Type | $348.00| $366.00| $384.00|
|25)................| | | |
+-------------------+----------+----------+----------+
|(19) Industrial | | | |
|alcohol | $71.00| $75.00| $78.00|
|dealer (Type 19)...| | | |
+-------------------+----------+----------+----------+
|(20) Retail | | | |
|package off-sale | | | |
|beer & wine (Type | $105.00| $157.00| $209.00|
|20)................| | | |
+-------------------+----------+----------+----------+
|(21) Retail | | | |
|package off-sale | | | |
|general license | | | |
|(Type 21) | | | |
|and controlled | | | |
|access | $431.00| $448.00| $464.00|
|cabinet permit | | | |
|(Type 66)..........| | | |
+-------------------+----------+----------+----------+
|(22) On-sale beer | | | |
|(Type | | | |
|40 & Type 61); On- | | | |
|sale | | | |
|beer & wine (Type | | | |
|42); | | | |
|Special on-sale | | | |
|beer & | | | |
|wine (Theater) | | | |
|(Type 69); | | | |
|and Special on-sale| $204.00| $210.00| $215.00|
|beer & wine | | | |
|(Symphony) | | | |
|cabinet permit | | | |
|(Type 66)..........| | | |
+-------------------+----------+----------+----------+
|(23) On-sale beer | | | |
|& wine | | | |
|eating place (Type | $236.00| $263.00| $290.00|
|41)................| | | |
+-------------------+----------+----------+----------+
|(24) On-sale beer | | | |
|& wine | | | |
|license for trains | | | |
|(per | $48.00| $68.00| $87.00|
|train) (Type 43)...| | | |
+-------------------+----------+----------+----------+
|(25) On-sale beer | | | |
|license for | | | |
|fishing party | | | |
|boats (per | $59.00| $73.00| $87.00|
|boat) (Type 44)....| | | |
+-------------------+----------+----------+----------+
|(26) On-sale beer | | | |
|& wine | | | |
|license for boats | | | |
|(per | $75.00| $81.00| $87.00|
|boat) (Type 45)....| | | |
+-------------------+----------+----------+----------+
|(27) On-sale beer | | | |
|& wine | | | |
|license for | | | |
|airplanes (per | | | |
|scheduled flight) | $48.00| $68.00| $87.00|
|(Type 46)..........| | | |
+-------------------+----------+----------+----------+
|(28) On-sale | | | |
|general license | | | |
|(Types 47, 48, 57, | | | |
|70, 75, | | | |
|78, 78D (for 78D | | | |
|see | | | |
|Section 23396.2)) | | | |
|and | | | |
|club caterer's | | | |
|permit | | | |
|(Type 58): | | | |
|--In cities of | | | |
|40,000 | | | |
|population or | | | |
|over...............| $698.00| $715.00| $731.00|
|--In cities of | | | |
|less than | | | |
|40,000 but more | | | |
|than 20,000 | $503.00| $520.00| $536.00|
|population.........| | | |
|--In all other | $443.00| $460.00| $476.00|
|localities.........| | | |
|Duplicate on-sale | | | |
|general | | | |
|license (Types | | | |
|47D, 48D, | | | |
|57D) and portable | $499.00| $513.00| $526.00|
|bar | | | |
|license (Type 68): | | | |
|--In cities of | $295.00| $303.00| $311.00|
|40,000 | | | |
|population or over.| $233.00| $239.00| $245.00|
|--In cities of | | | |
|less than | | | |
|40,000 but more | | | |
|than | | | |
|20,000 population..| | | |
|--In all other | | | |
|localities.........| | | |
+-------------------+----------+----------+----------+
|(29) On-sale | | | |
|general license | | | |
|for seasonal | | | |
|business | | | |
|(Type 49): | | | |
|--In cities of | | | |
|40,000 | | | |
|population or over | | | |
|(per | | | |
|quarter)...........| | | |
|--In cities of | | | |
|less than | | | |
|40,000 but more | | | |
|than | $176.00| $181.00| $186.00|
|20,000 population | | | |
|(per | | | |
|quarter)...........| | | |
|--In all other | $126.00| $129.00| $132.00|
|localities | | | |
|(per quarter)......| $109.00| $112.00| $115.00|
|Duplicate on-sale | | | |
|general | | | |
|license for | | | |
|seasonal | | | |
|business (Type | | | |
|49D): | $126.00| $129.00| $132.00|
|--In cities of | | | |
|40,000 | | | |
|population or over | | | |
|(per | $74.00| $76.00| $78.00|
|quarter)...........| | | |
|--In cities of | $59.00| $61.00| $62.00|
|less than | | | |
|40,000 but more | | | |
|than | | | |
|20,000 population | | | |
|(per | | | |
|quarter)...........| | | |
|--In all other | | | |
|localities | | | |
|(per quarter)......| | | |
+-------------------+----------+----------+----------+
|(30) (a) On-sale | | | |
|general | | | |
|license for bona | | | |
|fide | | | |
|clubs, (b) Club | | | |
|license | | | |
|(issued under | | | |
|Article 4 of | | | |
|this chapter), or | | | |
|(c) Veterans' club | | | |
|license | | | |
|(issued under | | | |
|Article 5 | | | |
|(commencing with | | | |
|Section 23450) of | | | |
|this | | | |
|chapter) (Types | | | |
|50, 51, | $400.00| $411.00| $422.00|
|52, & 64): | | | |
|--In cities of | | | |
|40,000 | $301.00| $309.00| $317.00|
|population or over.| | | |
|--In cities of | $267.00| $274.00| $281.00|
|less than | | | |
|40,000 but more | | | |
|than | | | |
|20,000 population..| | | |
|--In all other | | | |
|localities.........| | | |
+-------------------+----------+----------+----------+
|(31) On-sale | | | |
|general license | | | |
|for trains and | | | |
|sleeping | $156.00| $160.00| $164.00|
|cars (Type 53).....| | | |
|--Duplicate on-sale| | | |
|general license for| | | |
|trains and | | | |
|sleeping car | $46.00| $52.00| $58.00|
|companies | | | |
|(Type 53D).........| | | |
+-------------------+----------+----------+----------+
|(32) On-sale | | | |
|general license | | | |
|for boats (Type | $402.00| $413.00| $424.00|
|54)................| | | |
+-------------------+----------+----------+----------+
|(33) On-sale | | | |
|general license | | | |
|for airplanes | $402.00| $413.00| $424.00|
|(Type 55)..........| | | |
|--Duplicate on-sale| | | |
|general license | | | |
|for air | $32.00| $45.00| $58.00|
|common carriers | | | |
|(Type 55D).........| | | |
+-------------------+----------+----------+----------+
|(34) On-sale | | | |
|general license | | | |
|for vessels of | | | |
|more than | | | |
|1,000 tons burden | | | |
|(Type | | | |
|56) and for | $156.00| $160.00| $164.00|
|Maritime | | | |
|Museum (Type 76)...| | | |
|--Duplicate on-sale| | | |
|general license for| | | |
|vessels of more | | | |
|than | | | |
|1,000 tons burden | $46.00| $52.00| $58.00|
|(Type 56D) and for | | | |
|Maritime Museum | | | |
|(Type 76D).........| | | |
+-------------------+----------+----------+----------+
|(35) On-sale | | | |
|general bona | | | |
|fide public eating | | | |
|place | | | |
|intermittent | | | |
|dockside | | | |
|license for | | | |
|vessels of | | | |
|more than 7,000 | $435.00| $447.00| $459.00|
|tons | | | |
|displacement (Type | | | |
|62)................| | | |
+-------------------+----------+----------+----------+
|(36) On-sale | | | |
|special beer & | | | |
|wine license for | | | |
|hospitals, | | | |
|convalescent | | | |
|homes, and | $68.00| $70.00| $72.00|
|rest homes (Type | | | |
|63)................| | | |
+-------------------+----------+----------+----------+
|(37) On-sale beer | | | |
|& wine | | | |
|seasonal (Type 59) | | | |
|and | | | |
|on-sale beer | | | |
|seasonal | | | |
|(Type 60) | $161.00| $171.00| $180.00|
|--Operating period | | | |
|3-9 months.........| $108.00| $115.00| $122.00|
|--Operating period | | | |
|3-6 months.........| | | |
+-------------------+----------+----------+----------+
(b) Beginning January 1, 2009, each fee specified in subdivision
(a) shall be increased by 11.78 percent, in lieu of any annual fee
adjustment that could have been imposed for the previous four years.
The increase to each fee shall be rounded to the nearest whole
dollar.
(c) Beginning January 1, 2010, and each January 1 thereafter, the
department may adjust each of the fees specified in this section by
increasing each fee by an amount not to exceed the percentage that
the Consumer Price Index (United States Bureau of Labor Statistics,
West Region, All Urban Consumers, All Items, Base Period 1982-84 =
100) for the preceding April 2008, and each April annually
thereafter, has increased under the same index over the month of
April 2007, which shall be the base period. No fee shall be decreased
pursuant to this adjustment below the fee currently in effect on
each December 31. In the event that this index is discontinued, the
department shall consult with the Department of Finance to convert
the increase calculations to an index then available. When approved
by the Department of Finance, the new index shall replace the
discontinued index.
(d) The department shall calculate the percentage increase as
specified in subdivision (c) and shall apply this increase to each
fee. The increase to each fee shall be rounded to the nearest whole
dollar. The adjusted fee list shall be published by the department
and transmitted to the Legislature for approval as part of the
department's budget submission for the fiscal year in which the
adjusted fees would be implemented. This adjustment of fees and
publication of the adjusted fee list is not subject to the
requirements of Chapter 3.5 (commencing with Section 11340) of Part 1
of Division 3 of Title 2 of the Government Code.
SEC. 4. Section 23320 is added to the Business and
Professions Code, to read:
23320. (a) The following are the types of licenses and the annual
fees to be charged therefor:
+------------------------+------------------------+
|Name & License Type | Fee Effective |
|Number: | 01/01/10 |
+------------------------+------------------------+
|(1) Beer manufacturer: | |
|(a) Beer manufacturers | |
|that produce 60,000 | |
|barrels or less a year | |
|(Type 23)...............| $161.00|
|(b) All other beer | |
|manufacturers | |
|(Type 1)................| $1334.00|
|(c) Branch Office | |
|--Small Beer | |
|Manufacturers | |
|(Type 23D)..............| $85.00|
|--Beer Manufacturers | |
|(Type 1D)...............| $85.00|
+------------------------+------------------------+
|(2) Winegrower or wine | |
|blender (to be | |
|computed only on the | |
|gallonage produced | |
|or blended) (Type 2 & | |
|Type 22): | |
|--5,000 gallons or | |
|less....................| $62.00|
|--Over 5,000 gallons | |
|to 20,000 gallons per | |
|year....................| $115.00|
|--Over 20,000 to 100,000| |
|gallons per year........| $208.00|
|--Over 100,000 to | |
|200,000 gallons per | |
|year....................| $274.00|
|--Over 200,000 gallons | |
|to 1,000,000 gallons | |
|per year................| $406.00|
|--For each 1,000,000 | |
|gallons or fraction | |
|thereof over 1,000,000 | |
|gallons an additional...| $265.00|
|Winegrower (Branch | |
|Office) - (Type 2D).....| $85.00|
+------------------------+------------------------+
|(3) Brandy manufacturer | |
|(Type 3)................| $271.00|
|Brandy manufacturer | |
|(Branch Office) | |
|(Type 3D)...............| $248.00|
+------------------------+------------------------+
|(4) Distilled spirits | |
|manufacturer (Type 4)...| $444.00|
+------------------------+------------------------+
|(5) Distilled spirits | |
|manufacturer's agent | |
|(Type 5)................| $444.00|
+------------------------+------------------------+
|(5a) California | |
|winegrower's | $444.00|
|agent (Type 27).........| |
+------------------------+------------------------+
|(6) Still (Type 6)......| $67.00|
+------------------------+------------------------+
|(7) Rectifier (Type 7)..| $444.00|
+------------------------+------------------------+
|(7a) Distilled spirits | |
|rectifier's general | |
|license | $444.00|
|(Type 24)...............| |
+------------------------+------------------------+
|(8) Wine rectifier | |
|(Type 8)................| $444.00|
+------------------------+------------------------+
|(9) Beer & wine importer| |
|(Type 9)................| $67.00|
+------------------------+------------------------+
|(10) Beer & wine | |
|importer's | |
|general license (Type | $296.00|
|10) | |
+------------------------+------------------------+
|(11) Brandy importer | |
|(Type 11)...............| $67.00|
+------------------------+------------------------+
|(12) Distilled spirits | |
|importer (Type 12)......| $67.00|
+------------------------+------------------------+
|(13) Distilled spirits | |
|importer's general | |
|license | $444.00|
|(Type 13)...............| |
+------------------------+------------------------+
|(14) Public warehouse | |
|(Type 14)...............| $67.00|
+------------------------+------------------------+
|(15) Customs
broker | |
|(Type 15)...............| $67.00|
+------------------------+------------------------+
|(16) Wine broker (Type | $90.00|
|16).....................| |
+------------------------+------------------------+
|(17) Beer & wine | |
|wholesaler | $296.00|
|(Type 17)...............| |
+------------------------+------------------------+
|(18) Distilled spirits | |
|wholesaler (Type 18)....| $444.00|
+------------------------+------------------------+
|(18a) California brandy | |
|wholesaler (Type 25)....| $444.00|
+------------------------+------------------------+
|(19) Industrial alcohol | |
|dealer (Type 19)........| $90.00|
+------------------------+------------------------+
|(20) Retail package off-| |
|sale | $242.00|
|beer & wine (Type 20)...| |
+------------------------+------------------------+
|(21) Retail package off-| |
|sale | |
|general license (Type | |
|21) | |
|and controlled access | $537.00|
|cabinet permit (Type | |
|66).....................| |
+------------------------+------------------------+
|(22) On-sale beer (Type | |
|40 & Type 61); On-sale | |
|beer & wine (Type 42); | |
|Special on-sale beer & | |
|wine (Theater) (Type | |
|69); | |
|and Special on-sale | |
|beer & wine (Symphony) | |
|cabinet permit (Type | $248.00|
|66).....................| |
+------------------------+------------------------+
|(23) On-sale beer & wine| |
|eating place (Type 41)..| $335.00|
+------------------------+------------------------+
|(24) On-sale beer & wine| |
|license for trains (per | |
|train) (Type 43)........| $100.00|
+------------------------+------------------------+
|(25) On-sale beer | |
|license for | |
|fishing party boats (per| $100.00|
|boat) (Type 44).........| |
+------------------------+------------------------+
|(26) On-sale beer & wine| |
|license for boats (per | |
|boat) (Type 45).........| $100.00|
+------------------------+------------------------+
|(27) On-sale beer & wine| |
|license for airplanes | |
|(per | |
|scheduled flight) | $100.00|
|(Type 46)...............| |
+------------------------+------------------------+
|(28) On-sale general | |
|license | |
|(Types 47, 48, 57, 70, | |
|75, | |
|78, 78D (for 78D see | |
|Section 23396.2)) and | |
|club caterer's permit | |
|(Type 58): | |
|--In cities of 40,000 | |
|population or | $846.00|
|over....................| |
|--In cities of less than| |
|40,000 but more | |
|than 20,000 | $620.00|
|population..............| |
|--In all other | $551.00|
|localities..............| |
|Duplicate on-sale | |
|general | |
|license (Types 47D, 48D,| |
|57D) and portable bar | |
|license (Type 68): | $609.00|
|--In cities of 40,000 | |
|population or over......| |
|--In cities of less than| $360.00|
|40,000 but more than | |
|20,000 population.......| $284.00|
|--In all other | |
|localities..............| |
+------------------------+------------------------+
|(29) On-sale general | |
|license | |
|for seasonal business | |
|(Type 49): | |
|--In cities of 40,000 | |
|population or over (per | |
|quarter)................| |
|--In cities of less than| $215.00|
|40,000 but more than | |
|20,000 population (per | |
|quarter)................| |
|--In all other | $153.00|
|localities | |
|(per quarter)...........| $134.00|
|Duplicate on-sale | |
|general | |
|license for seasonal | |
|business (Type 49D): | |
|--In cities of 40,000 | |
|population or over (per | $153.00|
|quarter)................| |
|--In cities of less than| |
|40,000 but more than | |
|20,000 population (per | $90.00|
|quarter)................| |
|--In all other | $71.00|
|localities | |
|(per quarter)...........| |
+------------------------+------------------------+
|(30) (a) On-sale general| |
|license for bona fide | |
|clubs, (b) Club license | |
|(issued under Article 4 | |
|of | |
|this chapter), or | |
|(c) Veterans' club | |
|license | |
|(issued under Article 5 | |
|(commencing with | |
|Section 23450) of this | |
|chapter) (Types 50, 51, | |
|52, & 64): | |
|--In cities of 40,000 | $488.00|
|population or over......| |
|--In cities of less than| |
|40,000 but more than | $366.00|
|20,000 population.......| |
|--In all other | $325.00|
|localities..............| |
+------------------------+------------------------+
|(31) On-sale general | |
|license | |
|for trains and sleeping | $189.00|
|cars (Type 53)..........| |
|--Duplicate on-sale | |
|general license for | |
|trains and sleeping car | |
|companies | $67.00|
|(Type 53D)..............| |
+------------------------+------------------------+
|(32) On-sale general | |
|license | $491.00|
|for boats (Type 54).....| |
+------------------------+------------------------+
|(33) On-sale general | |
|license | $491.00|
|for airplanes (Type 55).| |
|--Duplicate on-sale | |
|general license for air | |
|common carriers | $67.00|
|(Type 55D)..............| |
+------------------------+------------------------+
|(34) On-sale general | |
|license | |
|for vessels of more than| |
|1,000 tons burden (Type | |
|56) and for Maritime | $189.00|
|Museum (Type 76)........| |
|--Duplicate on-sale | |
|general license for | |
|vessels of more than | |
|1,000 tons burden | |
|(Type 56D) and for | |
|Maritime Museum | $67.00|
|(Type 76D)..............| |
+------------------------+------------------------+
|(35) On-sale general | |
|bona | |
|fide public eating place| |
|intermittent dockside | |
|license for vessels of | |
|more than 7,000 tons | $531.00|
|displacement (Type 62)..| |
+------------------------+------------------------+
|(36) On-sale special | |
|beer & | |
|wine license for | |
|hospitals, | |
|convalescent homes, and | $83.00|
|rest homes (Type 63)....| |
+------------------------+------------------------+
|(37) On-sale beer & wine| |
|seasonal (Type 59) and | |
|on-sale beer seasonal | |
|(Type 60) | |
|--Operating period | |
|3-9 months..............| $208.00|
|--Operating period | |
|3-6 months..............| $141.00|
+------------------------+------------------------+
(b) Beginning January 1, 2011, and each January 1 thereafter, the
department may adjust each of the fees specified in this section by
increasing each fee by an amount not to exceed the percentage that
the Consumer Price Index (United States Bureau of Labor Statistics,
West Region, All Urban Consumers, All Items, Base Period 1982-84
=100) for the preceding April 2010, and each April annually
thereafter, has increased under the same index over the month of
April 2007, which shall be the base period. No fee shall be decreased
pursuant to this adjustment below the fee currently in effect on
each December 31. In the event that this index is discontinued, the
department shall consult with the Department of Finance to convert
the increase calculations to an index then available. When approved
by the Department of Finance, the new index shall replace the
discontinued index.
(c) The department shall calculate the percentage increase as
specified in subdivision (b) and shall apply this increase to each
fee. The increase to each fee shall be rounded to the nearest whole
dollar. The adjusted fee list shall be published by the department
and transmitted to the Legislature for approval as part of the
department's budget submission for the fiscal year in which the
adjusted fees would be implemented. This adjustment of fees and
publication of the adjusted fee list is not subject to the
requirements of Chapter 3.5 (commencing with Section 11340) of Part 1
of Division 3 of Title 2 of the Government Code.
SEC. 5. Section 23355 of the Business
and Professions Code is amended to read:
23355. Except as otherwise provided in this division and subject
to the provisions of Section 22 of Article XX of the Constitution,
the licenses provided for in Article 2 of this chapter
this division authorize the person to whom
issued to exercise the rights and privileges specified in this
article division and no others at the
premises for which issued during the year for which issued.
SEC. 6. Section 23393.5 of the Business
and Professions Code is amended to read:
23393.5. (a) The department may issue a limited off-sale retail
wine license which authorizes the sale of wine by the licensee if all
of the following conditions are met:
(1) Sales are restricted to those solicited and accepted via
direct mail, telephone, or the Internet.
(2) Sales are not conducted from a retail premises open to the
public.
(3) The licensee takes possession of and title to all wine sold by
the licensee.
(4) All wine sold by the licensee are delivered to the purchaser
from the licensee's licensed premises or from a licensed public
warehouse.
(b) The sale of wine shall only be to consumers and not for
resale, in packages or quantities of 52 gallons or less per sale, for
consumption off the premise where sold.
(c) The licensee shall comply with Section 23985, but is exempted
from Sections 23985.5 and 23986.
(d) The department may impose reasonable conditions upon the
licensee as may be needed in the interest of public health, safety,
and welfare.
(e) The application for the license shall be accompanied by an
original fee in an amount equivalent to that of an original off-sale
beer and wine license pursuant to Section 23954.5. The annual fee for
the license shall be an amount equivalent to that of a retail
package off-sale beer and wine license pursuant to Section 23320. All
moneys collected from the fees shall be deposited in the
Alcoholic Alcohol Beverage Control Fund,
pursuant to Section 25761.
SECTION 1. SEC. 7. Section 23800 of
the Business and Professions Code is amended to read:
23800. The department may place reasonable conditions upon retail
licensees or upon any licensee in the exercise of retail privileges
in the following situations:
(a) If grounds exist for the denial of an application for a
license or where a protest against the issuance of a license is filed
and if the department finds that those grounds may be removed by the
imposition of those conditions.
(b) Where findings are made by the department which would justify
a suspension or revocation of a license, and where the imposition of
a condition is reasonably related to those findings. In the case of a
suspension, the conditions may be in lieu of or in addition to the
suspension.
(c) Where the department issues an order suspending or revoking
only a portion of the privileges to be exercised under the license.
(d) Where findings are made by the department that the licensee
has failed to correct objectionable conditions within a reasonable
time after receipt of notice to make corrections given pursuant to
subdivision (e) of Section 24200, or subdivision (a) or (b) of
Section 24200.1.
(e) (1) At the time of transfer of a license pursuant to Section
24070, 24071.1, or 24071.2, and upon written notice to the licensee,
the department may adopt conditions that the department determines
are reasonable pursuant to its investigation or that are requested by
the local governing body, or its designated subordinate officer or
agency, in whose jurisdiction the license is located. The request for
conditions shall be supported by substantial evidence that the
problems either on the premises or in the immediate vicinity
identified by the local governing body or its designated subordinate
officer or agency will be mitigated by the conditions. Upon receipt
of the request for conditions, the department shall either adopt the
conditions requested or notify the local governing body, or its
designated subordinate officer or agency, in writing of its
determination that there is not substantial evidence that the problem
exists or that the conditions would not mitigate the problems
identified. The department may adopt conditions only when the request
is filed. Any request for conditions from the local governing body
or its designated subordinate officer or agency pursuant to this
provision shall be filed with the department within the time
authorized for a local law enforcement agency to file a protest or
proposed conditions pursuant to Section 23987.
(2) If the license to be transferred subject to paragraph (1) is
located in an area of undue concentration as defined in Section
23958.4, the period within which the local governing body or its
designated subordinate officer or agency may submit a written request
for conditions shall be 40 days after the mailing of the notices
required by Section 23987. For purposes of this provision only, undue
concentration shall be established when the requirements of both
paragraph (1) of subdivision (a) and either paragraph (2) or
paragraph (3) of subdivision (a) of Section 23958.4 exist. Pursuant
to Section 23987, the department may extend the 40-day period for a
period not to exceed an additional 20 days upon the written request
of any local law enforcement agency or local government entity with
jurisdiction. Nothing in this paragraph is intended to reduce the
burden of the local governing body or its designated subordinate
officer or agency to support any request for conditions as required
by paragraph (1). Notwithstanding Section 23987, the department may
not transfer any license subject to this paragraph until after the
time period permitted to request conditions as specified in this
paragraph.
(f) At the time of a transfer of a license pursuant to Article 5
(commencing with Section 24070) of Chapter 6.
SEC. 2. SEC. 8. Section 23817.5 of
the Business and Professions Code is amended to read:
23817.5. (a) (1) The number of premises for which an off-sale
beer and wine license is issued shall be limited to one for each
2,500, or fraction thereof, inhabitants of the city or county in
which the premises are situated. No additional off-sale beer and wine
license, other than a renewal or transfer or as permitted by Section
23821, shall be issued in any city or county where the number of
premises for which all off-sale beer and wine licenses are issued is
more than one for each 2,500, or fraction thereof, inhabitants of the
city or county.
(2) The number of premises for which an off-sale beer and wine
license is issued in a city and county, in combination with the
number of premises for which an off-sale general license is issued in
a city and county, shall be limited to one for each 1,250, or
fraction thereof, inhabitants of the city and county in which the
premises are situated. No additional off-sale beer and wine license,
other than a renewal or transfer or as permitted by Section 23821,
shall be issued in any city and county where the number of premises
for which all off-sale beer and wine licenses in combination with
off-sale general licenses are issued is more than one for each 1,250,
or fraction thereof, inhabitants of the city and county.
(b) (1) Notwithstanding subdivision (a), a retail off-sale beer
and wine replacement license
may be issued at a premises that was operated under an existing
off-sale beer and wine license no less than 90 days prior to the date
of application for the replacement license, provided that the
existing licensee is subject to a bankruptcy proceeding and the
existing licensee has no right to operate at the premises, or has
abandoned the premises of that license.
(2) A replacement license shall not be issued if the existing
license has been, or is in the process of being, transferred, or if
the existing license has been canceled by the licensee or surrendered
by the licensee pursuant to department rule.
(3) An application for a replacement license shall be accompanied
by a fee of one hundred dollars ($100) and all conditions imposed
upon the existing off-sale beer and wine license at the premises
shall be imposed upon the replacement license.
(4) Upon issuance of the replacement license, the off-sale beer
and wine license existing at the premises shall be canceled by
operation of law. A replacement license shall not be transferred to
another premises.
SEC. 9. Section 23958.4 of the Business
and Professions Code is amended to read:
23958.4. (a) For purposes of Section 23958, "undue concentration"
means the case in which the applicant premises for an original or
premises-to-premises transfer of any retail license are located in an
area where any of the following conditions exist:
(1) The applicant premises are located in a crime reporting
district that has a 20 percent greater number of reported crimes, as
defined in subdivision (c), than the average number of reported
crimes as determined from all crime reporting districts within the
jurisdiction of the local law enforcement agency.
(2) As to on-sale retail license applications, the ratio of
on-sale retail licenses to population in the census tract or census
division in which the applicant premises are located exceeds the
ratio of on-sale retail licenses to population in the county in which
the applicant premises are located.
(3) As to off-sale retail license applications, the ratio of
off-sale retail licenses to population in the census tract or census
division in which the applicant premises are located exceeds the
ratio of off-sale retail licenses to population in the county in
which the applicant premises are located.
(b) Notwithstanding Section 23958, the department may issue a
license as follows:
(1) With respect to a nonretail license, a retail on-sale bona
fide eating place license, a retail license issued for a hotel,
motel, or other lodging establishment, as defined in subdivision (b)
of Section 25503.16, a retail license issued in conjunction with a
beer manufacturer's license, or a winegrower's license, if the
applicant shows that public convenience or necessity would be served
by the issuance.
(2) With respect to any other license, if the local governing body
of the area in which the applicant premises are located, or its
designated subordinate officer or body, determines within 90 days of
notification of a completed application that public convenience or
necessity would be served by the issuance. The 90-day period shall
commence upon receipt by the local governing body of (A) notification
by the department of an application for licensure, or (B) a
completed application according to local requirements, if any,
whichever is later.
If the local governing body, or its designated subordinate officer
or body, does not make a determination within the 90-day period,
then the department may issue a license if the applicant shows the
department that public convenience or necessity would be served by
the issuance. In making its determination, the department shall not
attribute any weight to the failure of the local governing body, or
its designated subordinate officer or body, to make a determination
regarding public convenience or necessity within the 90-day period.
(c) For purposes of this section, the following definitions shall
apply:
(1) "Reporting districts" means geographical areas within the
boundaries of a single governmental entity (city or the
unincorporated area of a county) that are identified by the local law
enforcement agency in the compilation and maintenance of statistical
information on reported crimes and arrests.
(2) "Reported crimes" means the most recent yearly compilation by
the local law enforcement agency of reported offenses of criminal
homicide, forcible rape, robbery, aggravated assault, burglary,
larceny theft, and motor vehicle theft, combined with all arrests for
other crimes, both felonies and misdemeanors, except traffic
citations.
(3) "Population within the census tract or census division" means
the population as determined by the most recent United States
decennial or special census. The population determination shall not
operate to prevent an applicant from establishing that an increase of
resident population has occurred within the census tract or census
division.
(4) "Population in the county" shall be determined by the annual
population estimate for California counties published by the
Population Research Unit of the Department of Finance.
(5) "Retail licenses" shall include the following:
(A) Off-sale retail licenses: Type 20 (off-sale beer and wine) and
Type 21 (off-sale general).
(B) On-sale retail licenses: All retail on-sale licenses, except
Type 43 (on-sale beer and wine for train), Type 44 (on-sale beer and
wine for fishing party boat), Type 45 (on-sale beer and wine for
boat), Type 46 (on-sale beer and wine for airplane), Type 53 (on-sale
general for train and sleeping car), Type 54 (on-sale general for
boat), Type 55 (on-sale general for airplane), Type 56 (on-sale
general for vessels of more than 1,000 tons burden), and Type 62
(on-sale general bona fide public eating place intermittent dockside
license for vessels of more than 15,000 tons displacement).
(6) A "premises to premises transfer" refers to each license
being separate and distinct, and transferable upon approval of the
department.
(d) For purposes of this section, the number of retail licenses in
the county shall be determined by the most recent yearly
retail license count published established by
the department in its Procedure Manual on an
annual basis .
(e) The enactment of this section shall not affect any existing
rights of any holder of a retail license issued prior to April 29,
1992, whose premises were destroyed or rendered unusable as a result
of the civil disturbances occurring in Los Angeles from April 29 to
May 2, 1992, to reopen and operate those licensed premises.
(f) This section shall not apply if the premises have been
licensed and operated with the same type license within 90 days of
the application.
SEC. 10. Section 24016 of the Business
and Professions Code is amended to read:
24016. (a) The proceedings under this
article shall be conducted in accordance with Chapter 5 of Part 1 of
Division 3 of Title 2 of the Government Code, and the department has
all the powers granted therein.
(b) The department may delegate the power to hear and decide to an
administrative law judge appointed by the director. Any hearing
before an administrative law judge shall be pursuant to the
procedures, rules, and limitations prescribed in Chapter 5
(commencing with Section 11500) of Part 1 of Division 3 of Title 2 of
the Government Code.
SEC. 11. Section 24079 of the Business
and Professions Code is repealed.
24079. (a) The purchase price or consideration that may be paid
by a transferee or received by a transferor of an on-sale general
license or off-sale general license originally issued on or after
June 1, 1961, shall not exceed six thousand dollars ($6,000), except
that after a period of five years from the date of the original
issuance of the license there shall be no restriction as to the
purchase price or consideration that may be paid by a transferee or
received by a transferor.
(b) Notwithstanding subdivision (a), any original on-sale general
license or any original off-sale general license for which a fee in
excess of twelve thousand dollars ($12,000) has been paid pursuant to
subdivision (b) of Section 23954.5 may not be transferred for one
year following its initial issuance. After one year, this license may
be transferred and there shall be no restriction as to the purchase
price or consideration that may be paid by a transferee or received
by a transferor.
(c) Any original on-sale general license or any original off-sale
general license for which an original fee of twelve thousand dollars
($12,000) was paid shall not be transferred for a purchase price in
excess of twelve thousand dollars ($12,000) for two years following
its initial issuance. After two years, this license may be
transferred and there shall be no restriction as to the purchase
price or consideration that may be paid by a transferee or received
by a transferor.
SEC. 12. Section 24079 is added to the
Business and Professions Code , to read:
24079. (a) An on-sale general license or off-sale general license
shall not be transferred for a purchase price or consideration in
excess of the original fee paid for that license pursuant to
subdivision (b) of Section 23954.4 for a period of two years
following the original issuance of that license.
(b) On and after the two-year period following the original
issuance of an on-sale general license or off-sale general license,
there shall not be a restriction as to the purchase price or
consideration paid by a transferee or received by a transferor for an
on-sale general license or off-sale general license.
SEC. 13. Section 24210 of the Business
and Professions Code is repealed.
24210. (a) The department may delegate the power to hear and
decide to an administrative law judge appointed by the director. Any
hearing before an administrative law judge shall be pursuant to the
procedures, rules, and limitations prescribed in Chapter 5
(commencing with Section 11500) of Part 1 of Division 3 of Title 2 of
the Government Code.
(b) The amendments to this section made by the act adding this
subdivision shall become operative on July 1, 1995.
SEC. 14. Section 25503.6 of the
Business and Professions Code is amended to read:
25503.6. (a) Notwithstanding any other provision of this chapter,
a beer manufacturer, the holder of a winegrower's license, a
distilled spirits rectifier, a distilled spirits manufacturer, or
distilled spirits manufacturer's agent may purchase advertising space
and time from, or on behalf of, an on-sale retail licensee subject
to all of the following conditions:
(1) The on-sale licensee is the owner, manager, agent of the
owner, assignee of the owner's advertising rights, or the major
tenant of the owner of any of the following:
(A) An outdoor stadium or a fully enclosed arena with a fixed
seating capacity in excess of 10,000 seats located in Sacramento
County or Alameda County.
(B) A fully enclosed arena with a fixed seating capacity in excess
of 18,000 seats located in Orange County or Los Angeles County.
(C) An outdoor stadium or fully enclosed arena with a fixed
seating capacity in excess of 8,500 seats located in Kern County.
(D) An exposition park of not less than 50 acres that includes an
outdoor stadium with a fixed seating capacity in excess of 8,000
seats and a fully enclosed arena with an attendance capacity in
excess of 4,500 people, located in San Bernardino County.
(E) An outdoor stadium with a fixed seating capacity in excess of
10,000 seats located in Yolo County.
(F) An outdoor stadium and a fully enclosed arena with fixed
seating capacities in excess of 10,000 seats located in Fresno
County.
(G) An athletic and entertainment complex of not less than 50
acres that includes within its boundaries an outdoor stadium with a
fixed seating capacity of at least 8,000 seats and a second outdoor
stadium with a fixed seating capacity of at least 3,500 seats located
within Riverside County.
(H) An outdoor stadium with a fixed seating capacity in excess of
1,500 seats located in Tulare County.
(I) A motorsports entertainment complex of not less than 50 acres
that includes within its boundaries an outdoor speedway with a fixed
seating capacity of at least 50,000 seats, located within San
Bernardino County.
(J) An exposition park, owned or operated by a bona fide nonprofit
organization, of not less than 400 acres with facilities including a
grandstand with a seating capacity of at least 8,000 people, at
least one exhibition hall greater than 100,000 square feet, and at
least four exhibition halls, each greater than 30,000 square feet,
located in the City of Pomona or the City of La Verne in Los Angeles
County.
(K) An outdoor soccer stadium with a fixed seating capacity of at
least 25,000 seats, an outdoor tennis stadium with a fixed capacity
of at least 7,000 seats, an outdoor track and field facility with a
fixed seating capacity of at least 7,000 seats, and an indoor
velodrome with a fixed seating capacity of at least 2,000 seats, all
located within a sports and athletic complex built before January 1,
2005, within the City of Carson in Los Angeles County.
(L) An outdoor professional sports facility with a fixed seating
capacity of at least 4,200 seats located within San Joaquin County.
(2) The outdoor stadium or fully enclosed arena described in
paragraph (1) is not owned by a community college district.
(3) The advertising space or time is purchased only in connection
with the events to be held on the premises of the exposition park,
stadium, or arena owned by the on-sale licensee. With respect to an
exposition park as described in subparagraph (J) of paragraph (1)
that includes at least one hotel, the advertising space or time shall
not be displayed on or in any hotel located in the exposition park,
or purchased in connection with the operation of any hotel located in
the exposition park.
(4) The on-sale licensee serves other brands of beer
distributed by a competing beer wholesaler in addition to
the brand manufactured or marketed by the beer manufacturer, other
brands of wine distributed by a competing wine wholesaler
in addition to the brand produced by the winegrower, and
other brands of distilled spirits distributed by a competing
distilled spirits wholesaler in addition to the brand
manufactured or marketed by the distilled spirits rectifier, the
distilled spirits manufacturer or the distilled spirits manufacturer'
s agent that purchased the advertising space or time.
(b) Any purchase of advertising space or time pursuant to
subdivision (a) shall be conducted pursuant to a written contract
entered into by the beer manufacturer, the holder of the winegrower's
license, the distilled spirits rectifier, the distilled spirits
manufacturer, or the distilled spirits manufacturer's agent and the
on-sale licensee.
(c) Any beer manufacturer or holder of a winegrower's license, any
distilled spirits rectifier, any distilled spirits manufacturer, or
any distilled spirits manufacturer's agent who, through coercion or
other illegal means, induces, directly or indirectly, a holder of a
wholesaler's license to fulfill all or part of those contractual
obligations entered into pursuant to subdivision (a) or (b) shall be
guilty of a misdemeanor and shall be punished by imprisonment in the
county jail not exceeding six months, or by a fine in an amount equal
to the entire value of the advertising space, time, or costs
involved in the contract, whichever is greater, plus ten thousand
dollars ($10,000), or by both imprisonment and fine. The person shall
also be subject to license revocation pursuant to Section 24200.
(d) Any on-sale retail licensee, as described in subdivision (a),
who, directly or indirectly, solicits or coerces a holder of a
wholesaler's license to solicit a beer manufacturer, a holder of a
winegrower's license, a distilled spirits rectifier, a distilled
spirits manufacturer, or a distilled spirits manufacturer's agent to
purchase advertising space or time pursuant to subdivision (a) or (b)
shall be guilty of a misdemeanor and shall be punished by
imprisonment in the county jail not exceeding six months, or by a
fine in an amount equal to the entire value of the advertising space
or time involved in the contract, whichever is greater, plus ten
thousand dollars ($10,000), or by both imprisonment and fine. The
person shall also be subject to license revocation pursuant to
Section 24200.
(e) For the purposes of this section, "beer manufacturer" includes
any holder of a beer manufacturer's license, any holder of an
out-of-state beer manufacturer's certificate, or any holder of a beer
and wine importer's general license.
SEC. 15. Section 25503.8 of the
Business and Professions Code is amended to read:
25503.8. (a) Notwithstanding any other provision of this chapter,
a beer manufacturer, the holder of a winegrower's license, a
California winegrower's agent, a distilled spirits rectifier, a
distilled spirits manufacturer, or a distilled spirits manufacturer's
agent may purchase advertising space and time from, or on behalf of,
an on-sale retail licensee if all of the following conditions are
met:
(1) The on-sale licensee is the owner of any of the following:
(A) A fully enclosed auditorium or theater with a fixed seating
capacity in excess of 6,000 seats, at least 60 percent of the use of
which is for plays or musical concerts, not including sporting
events.
(B) A motion picture studio facility at which public tours are
conducted for at least four million people per year.
(C) A retail, entertainment development adjacent to, and under
common ownership with, a theme park, amphitheater, and motion picture
production studio.
(D) A theme or amusement park and the adjacent retail, dining, and
entertainment area located in the City of Los Angeles, Los Angeles
County, or Orange County.
(E) A fully enclosed theater, with box office sales and attendance
by the public on a ticketed basis only, with a fixed seating
capacity in excess of 6,000 seats, located in Los Angeles County
within the area subject to the Los Angeles Sports and Entertainment
District Specific Plan adopted by the City of Los Angeles pursuant to
ordinance number 174225, as approved on September 6, 2001.
(F) A fully enclosed arena with a fixed seating capacity in excess
of 15,000 seats located in Santa Clara County. With respect to the
arena described in this subparagraph, advertising space may also be
purchased from, or on behalf of, a lessee or manager of the arena.
(2) The advertising space or time is purchased only in connection
with one of the following:
(A) In the case of a fully enclosed auditorium or theater, in
connection with sponsorship of plays or musical concerts to be held
on the premises of the auditorium or theater owned by the on-sale
licensee.
(B) In the case of a motion picture studio facility, in connection
with sponsorship of the public tours or special events conducted at
the studio facility.
(C) In the case of a retail, entertainment development, in
connection with sponsorship of public tours or special events
conducted at the development.
(D) In the case of a theme or amusement park and the adjacent
retail, dining, and entertainment area, located in the City of Los
Angeles, Los Angeles County, or Orange County, in connection with
daily activities and events at the theme or amusement park and the
adjacent retail, dining, and entertainment area.
(E) In the case of the fully enclosed theater described in
subparagraph (E) of paragraph (1) of subdivision (a), in connection
with events conducted at the theater.
(F) In the case of a fully enclosed arena described in
subparagraph (F) of paragraph (1) of subdivision (a), interior
advertising in connection with events conducted within the arena.
(3) The on-sale licensee serves other brands of beer
distributed by a competing beer wholesaler in addition to
the brand manufactured or marketed by the beer manufacturer, other
brands of wine distributed by a competing wine wholesaler
in addition to the brand produced or marketed by the
winegrower or California winegrower's agent, and other brands of
distilled spirits distributed by a competing distilled
spirits wholesaler in addition to the brand manufactured or
marketed by the distilled spirits manufacturer or distilled spirits
manufacturer's agent purchasing the advertising space or time.
(b) Any purchase of advertising space or time conducted pursuant
to subdivision (a) shall be conducted pursuant to a written contract
entered into by the beer manufacturer, the holder of the winegrower's
license, the California winegrower's agent, the distilled spirits
manufacturer, or the distilled spirits manufacturer's agent, and the
on-sale licensee, which contract shall not in any way involve the
holder of a wholesaler's license.
(c) Any beer manufacturer, distilled spirits manufacturer,
distilled spirits manufacturer's agent, holder of a winegrower's
license, or California winegrower's agent, who, through coercion or
other illegal means, induces, directly or indirectly, a holder of a
wholesaler's license to fulfill those contractual obligations entered
into pursuant to subdivision (a) or (b) shall be guilty of a
misdemeanor and shall be punished by imprisonment in the county jail
not exceeding six months, or by a fine in an amount equal to the
entire value of the advertising space or time involved in the
contract, whichever is greater, plus ten thousand dollars ($10,000),
or by both imprisonment and fine. The person shall also be subject to
license revocation pursuant to Section 24200.
(d) Any on-sale retail licensee, as described in subdivision (a),
who solicits or coerces, directly or indirectly, a holder of a
wholesaler's license to solicit a beer manufacturer, distilled
spirits manufacturer, or distilled spirits manufacturer's agent,
holder of a winegrower's license, or California winegrower's agent to
purchase advertising space or time pursuant to subdivision (a) or
(b) shall be guilty of a misdemeanor and shall be punished by
imprisonment in the county jail not exceeding six months, or by a
fine in an amount equal to the entire value of the advertising space
or time involved in the contract, whichever is greater, plus ten
thousand dollars ($10,000), or by both imprisonment and fine. The
person shall also be subject to license revocation pursuant to
Section 24200.
(e) For the purposes of this section, "beer manufacturer" includes
any holder of a beer manufacturer's license, any holder of an
out-of-state beer manufacturer's certificate, or any holder of a beer
and wine importer's general license.
SEC. 16. Section 25503.85 of the
Business and Professions Code is amended to read:
25503.85. (a) Notwithstanding any other provision of this
chapter, a beer manufacturer, distilled spirits manufacturer,
distilled spirits manufacturer's agent, holder of a winegrower's
license, or California winegrower's agent may purchase advertising
space and time from, or on behalf of, an on-sale retail licensee,
that shall be limited to small notices, plaques, or signs that
portray partial or full sponsorship or funding of educational
programs, special fundraising and promotional events, improvements in
capital projects, and the development of exhibits or facilities, if
all of the following conditions are met:
(1) The on-sale licensee is a zoo or aquarium operated by a
nonprofit organization that is accredited by the American Association
of Zoological Parks and Aquariums.
(2) The advertising space or time is purchased only in connection
with the sponsorship of activities that are held on the premises or
grounds owned, leased, or controlled by the on-sale licensee.
(3) The on-sale licensee serves other brands of beer
distributed by a competing beer wholesaler in addition to
the brand manufactured or marketed by the beer manufacturer, other
brands of wine distributed by a competing wine wholesaler
in addition to the brand produced or marketed by the
winegrower or California winegrower's agent, and other brands of
distilled spirits distributed by a competing distilled
spirits wholesaler in addition to the brand manufactured or
marketed by the distilled spirits manufacturer or distilled spirits
manufacturer's agent purchasing the advertising space or time.
(b) Nothing in this section shall be construed to permit the
purchase of billboards or bench advertisements as "advertising space."
(c) Any purchase of advertising space or time pursuant to
subdivision (a) shall be accomplished by a written contract entered
into by the beer manufacturer, the distilled spirits manufacturer,
the distilled spirits manufacturer's agent, a holder of the
winegrower's license, or the California winegrower's agent, and the
on-sale licensee. That contract shall not in any way involve the
holder of a wholesaler's license.
(d) Any beer manufacturer, distilled spirits manufacturer,
distilled spirits manufacturer's agent, holder of a winegrower's
license, or California winegrower's agent who, through coercion or
other illegal means, induces, directly or indirectly, a holder of a
wholesaler's license to fulfill those contractual obligations entered
into pursuant to subdivision (a) or (c) is guilty of a misdemeanor
and shall be punished by imprisonment in the county jail for a period
not to exceed six months, or by a fine in an amount equal to the
entire value of the advertising space or time involved in the
contract, whichever is greater, plus ten thousand dollars ($10,000),
or by both imprisonment and fine. The person shall also be subject to
license revocation pursuant to Section 24200.
(e) Any on-sale licensee who, directly or indirectly, solicits or
coerces a holder of a wholesaler's license to solicit a beer
manufacturer, distilled spirits manufacturer, distilled spirits
manufacturer's agent, holder of a winegrower's license, or a
California winegrower's agent to purchase advertising space or time
shall be guilty of a misdemeanor and shall be punished by
imprisonment in the county jail not exceeding six months, or by a
fine in an amount equal to the entire value of the advertising space
or time involved in the contract, whichever is greater, plus ten
thousand dollars ($10,000), or by both imprisonment and fine. The
person shall also be subject to license revocation pursuant to
Section 24200.
(f) For the purposes of this section, "beer manufacturer" includes
any holder of a beer manufacturer's license, any holder of an
out-of-state beer manufacturer's certificate, or any holder of a beer
and wine importer's general license.
SEC. 17. Section 25503.26 of the
Business and Professions Code is amended to read:
25503.26. (a) Notwithstanding any other provision of this
chapter, a beer manufacturer, the holder of a winegrower's license, a
California winegrower's agent, a manufacturer of distilled spirits,
or distilled spirits manufacturer's agent, may purchase advertising
space and time from, or on behalf of, an on-sale retail licensee
subject to all of the following conditions:
(1) The on-sale licensee is the owner, or is the lessee, or is a
wholly owned subsidiary of the lessee, of an arena with a fixed
seating capacity in excess of 10,000 seats, at least 60 percent of
the use of which is for horseracing events, and which is located
within Los Angeles County, Alameda County, or San Mateo County.
(2) The advertising space or time is purchased only in connection
with events to be held on the premises of the arena owned or leased
by the on-sale licensee.
(3) The on-sale licensee serves other brands of beer
distributed by a competing beer wholesaler in addition to
the brand manufactured or marketed by the beer manufacturer, other
brands of wine distributed by a competing wine wholesaler
in addition to the brand produced or marketed by the
winegrower or California winegrower's agent , and other
brands of distilled spirits distributed by a competing
distilled spirits wholesaler in addition to the brand
manufactured or marketed by the distilled spirits manufacturer or
distilled spirits manufacturer's agent purchasing the advertising
space or time.
(b) Any purchase of advertising space or time pursuant to
subdivision (a) shall be conducted pursuant to a written contract
entered into by the beer manufacturer, the holder of the winegrower's
license, the California winegrower's agent, the manufacturer of
distilled spirits, or distilled spirits manufacturer's agent, and the
on-sale licensee.
(c) Any beer manufacturer, holder of a winegrower's license,
California winegrower's agent, manufacturer of distilled spirits, or
the distilled spirits manufacturer's agent, who, through coercion or
other illegal means, induces, directly or indirectly, a holder of a
wholesaler's license to fulfill the contractual obligations entered
into pursuant to subdivision (a) or (b) is guilty of a misdemeanor
and shall be punished by imprisonment in the county jail not
exceeding six months, or by a fine in an amount equal to the entire
value of the advertising space or time involved in the contract,
whichever is greater, plus ten thousand dollars ($10,000), or by both
imprisonment and fine. The person shall also be subject to license
revocation pursuant to Section 24200.
(d) Any on-sale licensee who, directly or indirectly, solicits or
coerces a holder of a wholesaler's license to solicit a beer
manufacturer, a holder of a winegrower's license, a California
winegrower's agent, a distilled spirits manufacturer, or a distilled
spirits manufacturer's agent, to purchase advertising space or time
shall be guilty of a misdemeanor and shall be punished by
imprisonment in the county jail not exceeding six months, or by a
fine in an amount equal to the entire value of the advertising space
or time involved in the contract, whichever is greater, plus ten
thousand dollars ($10,000), or by both imprisonment and fine. The
person shall also be subject to license revocation pursuant to
Section 24200.
(e) For the purposes of this section, "beer manufacturer" includes
any holder of a beer manufacturer's license, any holder of an
out-of-state beer manufacturer's certificate, or any holder of a beer
and wine importer's general license.
SEC. 18. Section 25503.29 of the
Business and Professions Code is amended to read:
25503.29. (a) Nothing in this division shall prohibit the
issuance, transfer, or renewal of any retail on-sale license to any
person with respect to premises that are either an integral part of,
or adjacent to, the operations of a motion picture or television
production facility or an affiliated motion picture or television
theme park, which premises are owned by, or operated by or on behalf
of, the licensee, notwithstanding that a manufacturer, winegrower,
manufacturer's agent, California winegrower's agent, rectifier,
distiller, bottler, importer, or wholesaler has any interest,
directly or indirectly, in the premises, in the retail license, or in
the retail licensee, if all of the following conditions are met:
(1) No more than 10 percent of the total gross annual revenues of
the motion picture or television production facility and any
affiliated theme park is derived from the sale of alcoholic
beverages.
(2) The retail licensee shall purchase no beer, wine, or distilled
spirits for sale in this state other than from a wholesale licensee,
and the retail licensee shall purchase no alcoholic beverages for
sale in this state from any wholesale licensee that has any interest,
directly or indirectly, in the premises, in the retail licensee, or
in the retail license.
(3) The retail licensee serves other brands of beer, wine, and
distilled spirits in addition to the brands manufactured or
distributed by the beer or distilled spirits manufacturer or produced
or distributed by the
winegrower which has any interest, directly or indirectly, in the
premises, in the retail licensee, or in the retail license.
(4) No more than 15 percent of the retail licensee's
purchases of monetary expenditures for alcoholic
beverages for sale on its licensed premises in a calendar year
shall be for products manufactured or distributed by
the beer or distilled spirits manufacturer or produced or
distributed by the winegrower which has any interest, directly or
indirectly, in the premises, in the retail licensee, or in the retail
license.
(b) For purposes of this section:
(1) "Motion picture or television production facility" means an
establishment where motion pictures or television programs are
produced.
(2) "Motion picture or television theme park" means an
establishment with not less than 25 contiguous acres, located in Los
Angeles County, the predominant purpose of which is the entertainment
of the public through activities related to motion pictures and
television programs, that has an annual paid attendance of at least
three million people.
(3) "Adjacent to" means located on commonly owned property, or
contiguous to, or in close proximity.
(c) The Legislature finds that it is necessary and proper to
require a separation between manufacturing interests, wholesale
interests, and retail interests in the production and distribution of
alcoholic beverages in order to prevent suppliers from dominating
local markets through vertical integration and to prevent excessive
sales of alcoholic beverages produced by overly aggressive marketing
techniques. The Legislature further finds that the exception
established by this section to the general prohibition against tied
interests must be limited to its express terms so as not to undermine
the general prohibition, and intends that this section shall be
construed accordingly.
SEC. 19. Section 25503.31 of the
Business and Professions Code is amended to read:
25503.31. (a) Notwithstanding any other provision of this
division, a beer manufacturer, holder of a winegrower's license, a
California winegrower's agent, a distilled spirits manufacturer,
holder of a distilled spirits rectifiers general license, a distilled
spirits manufacturer's agent, and a licensed retailer may make
monetary contributions or alcoholic beverage contributions of the
type that licensee is authorized to sell to a symphony association,
if all the following conditions are met:
(1) The symphony association is a nonprofit charitable corporation
or association exempt from payment of income taxes under the
provisions of the Internal Revenue Code of the United States and
Chapter 4 (commencing with Section 23701) of Part 11 of Division 2 of
the Revenue and Taxation Code.
(2) The symphony association has been incorporated in the City and
County of San Francisco by and through its predecessor organizations
for not less than 99 years and produces not less than 175 musical
events open to the general public per symphony season.
(3) The symphony association holds a retail on-sale license in a
portion of its premises, provided that no contribution shall be used
in or for the benefit of the symphony association's retail on-sale
license.
(4) The contribution shall not be conditioned directly or
indirectly, in any way, on the purchase, sale, or distribution of any
alcoholic beverage manufactured or distributed by the beer
manufacturer, holder of a winegrower's license, California winegrower'
s agent, distilled spirits manufacturer, holder of a distilled
spirits rectifiers general license, a distilled spirits manufacturer'
s agent, or a licensed retailer by the symphony association.
(b) The symphony association shall serve other brands of beer
distributed by a competing beer wholesaler in
addition to the brand manufactured or marketed by the contributing
beer manufacturer, other brands of wine distributed by a
competing wine wholesaler in addition to the brand produced
or marketed by the contributing winegrower or California winegrower'
s agent, and other brands of distilled spirits distributed
by a competing distilled spirits wholesaler in addition to
the brand manufactured or marketed by the contribution distilled
spirits manufacturer or distilled spirits manufacturer's agent.
(c) For purposes of this section, "beer manufacturer" includes a
holder of a beer manufacturer's license, a holder of an out-of-state
beer manufacturer's certificate, or a holder of a beer and wine
importer's general license.
(d) The Legislature finds that it is necessary and proper to
require a separation between manufacturing interests, wholesale
interests, and retail interests in the production and distribution of
alcoholic beverages in order to prevent suppliers from dominating
local markets through vertical integration and to prevent excessive
sales of alcoholic beverages produced by overly aggressive marketing
techniques. The Legislature further finds that the exceptions
established by this section to the general prohibition against tied
interests must be limited to their express terms so as not to
undermine the general prohibition, and intends that this section be
construed accordingly.
(e) This section shall remain in effect only until December 31,
2014, and as of that date is repealed.
SEC. 20. Section 25503.37 of the
Business and Professions Code is amended to read:
25503.37. (a) Nothing in this division shall prohibit the
issuance, transfer, or renewal of any retail on-sale license to any
person with respect to premises that are an integral part of an
interactive entertainment facility and are owned directly or
indirectly, in whole or in part, by, or operated by or on behalf of,
the licensee, notwithstanding that a manufacturer, winegrower,
manufacturer's agent, California winegrower's agent, rectifier,
distiller, bottler, importer, or wholesaler has any interest,
directly or indirectly, in the premises, in the retail license, or in
the retail licensee, if all of the following conditions are met:
(1) The principal business conducted within the facility is
providing interactive entertainment, not the sale of alcoholic
beverages.
(2) Other than as permitted in Sections 23358 and 23360 with
respect to wine and brandy, the retail licensee shall purchase no
beer, wine, or distilled spirits for sale in this state other than
from a wholesale licensee, and the retail licensee shall purchase no
alcoholic beverages for sale in this state from any wholesale
licensee that has any interest, directly or indirectly, in the
premises, in the retail licensee, or in the retail license.
(3) The retail licensee shall serve other brands of beer, wine,
and distilled spirits in addition to the brands manufactured,
produced, or distributed by any manufacturer, winegrower,
manufacturer's agent, California winegrower's agent, rectifier,
distiller, bottler, importer, or wholesaler which has any interest,
directly or indirectly, in the premises, in the retail licensee, or
in the retail license.
(4) No more than 15 percent of the retail licensee's
purchases of monetary expenditures for alcoholic
beverages for sale on its licensed premises in a calendar year
shall be for products manufactured, produced, or
distributed by any manufacturer, winegrower, manufacturer's agent,
California winegrower's agent, rectifier, distiller, bottler,
importer, or wholesaler which has any interest, directly or
indirectly, in the premises, in the retail licensee, or in the retail
license.
(b) For purposes of this section, "interactive entertainment
facility" means premises which feature interactive computer and video
entertainment attractions, themed merchandise, and food and
beverages.
(c) The Legislature finds that it is necessary and proper to
require a separation between manufacturing interests, wholesale
interests, and retail interests in the production and distribution of
alcoholic beverages in order to prevent suppliers from dominating
local markets through vertical integration and to prevent excessive
sales of alcoholic beverages produced by overly aggressive marketing
techniques. Notwithstanding the foregoing, having considered the
public welfare, the economic impact on the state, and the entirety of
the circumstances involved, the Legislature further finds that the
purpose and intent of the general prohibition against tied interests
is not violated by granting the exception established by this
section.
SEC. 21. Section 25503.42 of the
Business and Professions Code is amended to read:
25503.42. (a) Notwithstanding any other provision of this
chapter, a beer manufacturer, the holder of a winegrower's license, a
California winegrower's agent, a holder of a distilled spirits
rectifiers rectifier's general license,
a distilled spirits manufacturer, or a distilled spirits
manufacturer's agent 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 adopted by the City of Los Angeles pursuant to
ordinance number 174225, as approved on September 6, 2001, where the
owner of the venue is not the on-sale retail licensee. The purchase
of the indoor advertising space or time shall be subject to all of
the following conditions:
(1) The indoor advertising space or time is purchased only at the
venue specified in this subdivision.
(2) The purchase of indoor advertising space or time shall be
conducted pursuant to a written agreement entered into by the beer
manufacturer, holder of a winegrower's license, California winegrower'
s agent, holder of a distilled spirits rectifiers
rectifier's general license, distilled spirits
manufacturer, or a distilled spirits manufacturer's agent and the
owner of the venue described in this subdivision. A holder of a
wholesale license shall not be a party to the written agreement or
otherwise have any direct or indirect obligations under the
agreement, including an obligation to share in the costs or
contribute to the costs of the indoor advertising space or time
purchased pursuant to this section.
(3) An agreement for the purchase of indoor advertising space or
time pursuant to this section shall not be conditioned directly or
indirectly, in any way, on the purchase, sale, or distribution of any
alcoholic beverage manufactured or distributed by the advertising
beer manufacturer, holder of a winegrower's license, California
winegrower's agent, holder of a distilled spirits rectifiers
rectifier's general license, distilled spirits
manufacturer, or a distilled spirits manufacturer's agent by any
on-sale retail licensee.
(4) An on-sale licensee operating at a venue described in this
subdivision where indoor advertising space or time is purchased shall
serve other brands of beer distributed by a competing beer
wholesaler in addition to the brands manufactured or marketed by the
advertising beer manufacturer, other brands of wine distributed by a
competing wine wholesaler in addition to the brands produced or
marketed by the advertising winegrower or California winegrower's
agent, and other brands of distilled spirits distributed by a
competing distilled spirits wholesaler in addition to the brands
manufactured or marketed by the advertising distilled spirits
manufacturer, the distilled spirits manufacturer's agent, or a holder
of a distilled spirits rectifiers rectifier'
s general license.
(5) No more than 15 percent of the retail licensee's monetary
expenditures for distilled spirits and wine for sale on its licensed
premises in any calendar year shall be for products manufactured,
produced, or distributed by the holder of a winegrower's license,
California winegrower's agent, distilled spirits manufacturer, holder
of a distilled spirits rectifiers rectifier'
s general license, or a distilled spirits manufacturer's agent
that has purchased indoor advertising space.
(b) A beer manufacturer, holder of a winegrower's license,
California winegrower's agent, holder of a distilled spirits
rectifiers rectifier's general license,
distilled spirits manufacturer, or a distilled spirits manufacturer's
agent who, through coercion or other illegal means, induces,
directly or indirectly, a holder of a wholesaler's license to fulfill
those contractual obligations entered into pursuant to subdivision
(a) shall be guilty of a misdemeanor and shall be punished by
imprisonment in the a county jail
for not exceeding more than six
months, or by a fine equal to the greater of an amount equal to the
entire value of the advertising space or time involved in the
contract or ten thousand dollars ($10,000), or by both that
imprisonment and fine. The person shall also be subject to
license revocation pursuant to Section 24200.
(c) An on-sale retail licensee who, directly or indirectly,
solicits or coerces a holder of a wholesaler's license to solicit a
beer manufacturer, holder of a winegrower's license, California
winegrower's agent, holder of a distilled spirits rectifiers
rectifier's general license, distilled spirits
manufacturer, or a distilled spirits manufacturer's agent to purchase
indoor advertising time or space pursuant to subdivision (a) shall
be guilty of a misdemeanor and shall be punished by imprisonment in
the a county jail for not
exceeding more than six months, or by a
fine equal to the greater of an amount equal to the entire value of
the advertising space or time involved in the contract or ten
thousand dollars ($10,000), or by both that imprisonment
and fine. The person shall also be subject to license revocation
pursuant to Section 24200.
(d) For purposes of this section, "beer manufacturer" includes a
holder of a beer manufacturer's license, a holder of an out-of-state
beer manufacturer's certificate, or a holder of a beer and wine
importer's general license.
(e) Nothing in this section shall authorize the purchasing of
indoor advertising space or time pursuant to subdivision (a) by any
beer manufacturer, holder of a winegrower's license, a California
winegrower's agent, a distilled spirits manufacturer, holder of a
distilled spirits rectifiers rectifier's
general license, or a distilled spirits manufacturer's agent
directly or indirectly from any on-sale licensee.
(f) A venue owner that meets the description provided in
subdivision (a) and that enters into a written agreement pursuant to
this section shall obtain an annual certificate from the department.
The director shall prepare, as part of the annual report required by
Section 23055 for submission to the Legislature, a listing of the
number of certifications made pursuant to this section or the absence
of any certifications. Where there have been no certifications made
pursuant to this section for two consecutive years, this information
shall be included in the report.
(g) The Legislature finds that it is necessary and proper to
require a separation among manufacturing interests, wholesale
interests, and retail interests in the production and distribution of
alcoholic beverages in order to prevent suppliers from dominating
local markets through vertical integration and to prevent excessive
sales of alcoholic beverages produced by overly aggressive marketing
techniques. The Legislature further finds that the exception
established by this section to the general prohibition against tied
interests shall be limited to its express terms so as not to
undermine the general prohibition, and intends that this section be
construed accordingly.