House File 402 - Introduced HOUSE FILE 402 BY OURTH , R. TAYLOR , VANDER LINDEN , FORBES , HEARTSILL , RUFF , BEARINGER , HUNTER , KEARNS , T. TAYLOR , DUNKEL , HALL , PRICHARD , HANSON , ANDERSON , GASKILL , KELLEY , STUTSMAN , H. MILLER , STECKMAN , WOLFE , DAWSON , BAUDLER , BACON , FISHER , ROGERS , MAXWELL , SALMON , PETTENGILL , HOLT , WILLS , KAUFMANN , PAUSTIAN , RIZER , LANDON , and BAXTER A BILL FOR An Act concerning fourteen-day and five-day licenses and 1 permits issued by the administrator of the alcoholic 2 beverages division of the department of commerce. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 2099YH (3) 86 ec/nh

H.F. 402 Section 1. Section 123.34, subsections 2, 3, 4, and 5, Code 1 2015, are amended to read as follows: 2 2. The administrator may issue fourteen-day class “A”, 3 class “B”, class “C”, special class “C”, and class “D” liquor 4 control licenses and fourteen-day class “B” beer and class “C” 5 native wine permits. A fourteen-day license or permit, if 6 granted, is valid for fourteen consecutive days, but the holder 7 shall not sell on the two Sundays in the fourteen-day period 8 unless the holder qualifies for and obtains the privilege to 9 sell on Sundays contained in section 123.36, subsection 5 , and 10 section 123.134, subsection 5 . 11 3. The fee for a fourteen-day liquor control license or 12 beer permit is one quarter of the annual fee for that class 13 of liquor control license or beer permit. The fee for the 14 privilege to sell on the two Sundays in the fourteen-day period 15 is twenty percent of the price of the fourteen-day liquor 16 control license or beer permit. The fee for a fourteen-day 17 class “C” native wine permit shall be the permit fee as 18 provided by section 123.179, subsection 4. 19 4. The administrator may issue five-day class “A”, class 20 “B”, class “C”, special class “C”, and class “D” liquor control 21 licenses and five-day class “B” beer and class “C” native 22 wine permits. A five-day license or permit is valid for five 23 consecutive days, but the holder shall not sell alcoholic 24 beverages on Sunday in the five-day period unless the holder 25 qualifies for and obtains the privilege to sell on Sunday 26 pursuant to sections 123.36 and 123.134 . 27 5. The fee for the five-day liquor control license or 28 beer permit is one-eighth of the annual fee for that class of 29 license or permit. The fee for the privilege to sell on a 30 Sunday in the five-day period is ten percent of the price of 31 the five-day liquor control license or beer permit. The fee 32 for a five-day class “C” native wine permit shall be the permit 33 fee as provided by section 123.179, subsection 4. 34 Sec. 2. Section 123.34, Code 2015, is amended by adding the 35 -1- LSB 2099YH (3) 86 ec/nh 1/ 2

H.F. 402 following new subsection: 1 NEW SUBSECTION . 6. A holder of a fourteen-day or five-day 2 license or permit may allow, notwithstanding any provision 3 of section 123.45 to the contrary, a person who manufactures 4 alcoholic liquor, wine, or beer, to handle, serve, dispense, 5 and sell at retail on behalf of the licensee or permittee the 6 alcoholic liquor, wine, or beer the person manufactures, if 7 the person who manufactures the alcoholic liquor, wine, or 8 beer does not have an ownership interest in the holder of the 9 license or permit and the holder of the license or permit is 10 authorized to sell the alcoholic liquor, wine, or beer. For 11 purposes of this subsection, “person who manufactures” includes 12 any jobber, representative, broker, employee, or agent of the 13 person. 14 EXPLANATION 15 The inclusion of this explanation does not constitute agreement with 16 the explanation’s substance by the members of the general assembly. 17 This bill concerns 14-day and 5-day licenses and permits 18 issued by the administrator of the alcoholic beverages division 19 of the department of commerce. 20 The bill amends Code section 123.34 to provide that the 21 administrator may issue 14-day and 5-day special class “C” 22 liquor control licenses and class “C” native wine permits. 23 The bill provides that the permit fee for a 14-day or 5-day 24 class “C” native wine permit shall be $25 as specified in Code 25 section 123.179, subsection 4. 26 The bill also authorizes a holder of a 14-day or 5-day 27 license or permit to allow a manufacturer, including any 28 jobber, representative, broker, employee, or agent of the 29 manufacturer, to handle, serve, dispense, and sell at retail on 30 behalf of the licensee or permittee the alcoholic liquor, wine, 31 or beer it manufactures, if the manufacturer does not have an 32 ownership interest in the holder of the license or permit and 33 the holder of the license or permit is authorized to sell the 34 alcoholic liquor, wine, or beer. 35 -2- LSB 2099YH (3) 86 ec/nh 2/ 2