HF 402 (LSB 2099YH (3) 86)

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 permits issued by the administrator of the alcoholic beverages division of the department of commerce.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 123.34, subsections 2, 3, 4, and 5, Code 2015, are amended to read as follows:
   2.  The administrator may issue fourteen-day class “A”, class “B”, class “C”, special class “C”, and class “D” liquor control licenses and fourteen-day class “B” beer and class “C” native wine permits. A fourteen-day license or permit, if granted, is valid for fourteen consecutive days, but the holder shall not sell on the two Sundays in the fourteen-day period unless the holder qualifies for and obtains the privilege to sell on Sundays contained in section 123.36, subsection 5, and section 123.134, subsection 5.
   3.  The fee for a fourteen-day liquor control license or beer permit is one quarter of the annual fee for that class of liquor control license or beer permit. The fee for the privilege to sell on the two Sundays in the fourteen-day period is twenty percent of the price of the fourteen-day liquor control license or beer permit.  The fee for a fourteen-day class “C” native wine permit shall be the permit fee as provided by section 123.179, subsection 4.
   4.  The administrator may issue five-day class “A”, class “B”, class “C”, special class “C”, and class “D” liquor control licenses and five-day class “B” beer and class “C” native wine permits. A five-day license or permit is valid for five consecutive days, but the holder shall not sell alcoholic beverages on Sunday in the five-day period unless the holder qualifies for and obtains the privilege to sell on Sunday pursuant to sections 123.36 and 123.134.
   5.  The fee for the five-day liquor control license or beer permit is one-eighth of the annual fee for that class of license or permit. The fee for the privilege to sell on a Sunday in the five-day period is ten percent of the price of the five-day liquor control license or beer permit.  The fee for a five-day class “C” native wine permit shall be the permit fee as provided by section 123.179, subsection 4.
    Sec. 2.  Section 123.34, Code 2015, is amended by adding the following new subsection:
   NEW SUBSECTION.  6.  A holder of a fourteen-day or five-day license or permit may allow, notwithstanding any provision of section 123.45 to the contrary, a person who manufactures alcoholic liquor, wine, or beer, to handle, serve, dispense, and sell at retail on behalf of the licensee or permittee the alcoholic liquor, wine, or beer the person manufactures, if the person who manufactures the alcoholic liquor, wine, or beer does not have an ownership interest in the holder of the license or permit and the holder of the license or permit is authorized to sell the alcoholic liquor, wine, or beer. For purposes of this subsection, “person who manufactures” includes any jobber, representative, broker, employee, or agent of the person. 
EXPLANATION
The inclusion of this explanation does not constitute agreement with

the explanation’s substance by the members of the general assembly.
   This bill concerns 14-day and 5-day licenses and permits issued by the administrator of the alcoholic beverages division of the department of commerce.
   The bill amends Code section 123.34 to provide that the administrator may issue 14-day and 5-day special class “C” liquor control licenses and class “C” native wine permits. The bill provides that the permit fee for a 14-day or 5-day class “C” native wine permit shall be $25 as specified in Code section 123.179, subsection 4.
   The bill also authorizes a holder of a 14-day or 5-day license or permit to allow a manufacturer, including any jobber, representative, broker, employee, or agent of the manufacturer, to handle, serve, dispense, and sell at retail on behalf of the licensee or permittee the alcoholic liquor, wine, or beer it manufactures, if the manufacturer does not have an ownership interest in the holder of the license or permit and the holder of the license or permit is authorized to sell the alcoholic liquor, wine, or beer.