Senate
File
277
-
Introduced
SENATE
FILE
277
BY
COURNOYER
(COMPANION
TO
LSB
2475HH
BY
MOMMSEN)
A
BILL
FOR
An
Act
relating
to
manufacturers
of
alcoholic
beverages.
1
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
2
TLSB
2475SS
(2)
88
ec/rn
S.F.
277
Section
1.
Section
123.41,
subsection
1,
Code
2019,
is
1
amended
to
read
as
follows:
2
1.
a.
Each
application
to
obtain
or
renew
a
manufacturer’s
3
license
shall
be
submitted
to
the
division
electronically,
4
or
in
a
manner
prescribed
by
the
administrator,
and
shall
be
5
accompanied
by
a
fee
of
three
hundred
fifty
dollars
payable
to
6
the
division.
The
administrator
may
in
accordance
with
this
7
chapter
grant
and
issue
to
a
manufacturer
a
manufacturer’s
8
license,
valid
for
a
one-year
period
after
date
of
issuance,
9
which
shall
allow
the
manufacture,
storage,
and
wholesale
10
disposition
and
sale
of
alcoholic
liquors
to
the
division
and
11
to
customers
outside
of
the
state.
12
b.
Notwithstanding
any
provision
of
this
chapter
to
the
13
contrary,
a
manufacturer
may
be
granted
a
manufacturer’s
14
license
regardless
of
whether
the
manufacturer
is
a
holder
15
of
a
class
“A”
native
distilled
spirits
license,
a
class
“C”
16
native
distilled
spirits
liquor
control
license,
a
class
“A”
17
wine
permit,
a
class
“C”
native
wine
permit,
or
a
wine
direct
18
shipper
permit.
19
Sec.
2.
Section
123.43A,
subsection
6,
Code
2019,
is
amended
20
to
read
as
follows:
21
6.
Notwithstanding
any
provision
of
this
chapter
to
the
22
contrary
or
the
fact
that
a
person
is
the
holder
of
a
class
23
“A”
native
distilled
spirits
license,
a
native
distillery
24
which,
combining
all
production
facilities
of
the
business,
25
produces
and
manufactures
not
more
than
one
hundred
thousand
26
proof
gallons
of
native
distilled
spirits
on
an
annual
basis
27
may
sell
those
native
distilled
spirits
manufactured
on
the
28
premises
of
the
native
distillery
for
consumption
on
the
29
premises
by
applying
for
a
class
“C”
native
distilled
spirits
30
liquor
control
license
as
provided
in
section
123.30
.
A
native
31
distillery
may
be
granted
not
more
than
one
class
“C”
native
32
distilled
spirits
liquor
control
license.
All
native
distilled
33
spirits
sold
by
a
native
distillery
for
on-premises
consumption
34
shall
be
purchased
from
a
class
“E”
liquor
control
licensee.
35
-1-
LSB
2475SS
(2)
88
ec/rn
1/
4
S.F.
277
A
manufacturer
of
native
distilled
spirits
may
be
issued
a
1
class
“C”
native
distilled
spirits
liquor
control
license
2
regardless
of
whether
the
manufacturer
holds
an
alcoholic
3
liquor
manufacturer’s
license
or
is
also
a
manufacturer
of
4
native
wine
pursuant
to
a
class
“A”
wine
permit.
A
native
5
distillery
engaged
in
the
business
of
manufacturing
beer
shall
6
not
be
issued
a
class
“C”
native
distilled
spirits
liquor
7
control
license.
8
Sec.
3.
Section
123.45,
subsection
2,
Code
2019,
is
amended
9
to
read
as
follows:
10
2.
However,
a
person
engaged
in
the
wholesaling
of
beer
or
11
wine
may
sell
only
disposable
glassware,
which
is
constructed
12
of
paper,
paper
laminated,
or
plastic
materials
and
designed
13
primarily
for
personal
consumption
on
a
one-time
usage
14
basis,
to
retailers
for
use
within
the
premises
of
licensed
15
establishments,
for
an
amount
which
is
greater
than
or
equal
16
to
an
amount
which
represents
the
greater
of
either
the
amount
17
paid
for
the
disposable
glassware
by
the
supplier
or
the
amount
18
paid
for
the
disposable
glassware
by
the
wholesaler.
Also,
a
19
person
engaged
in
the
business
of
manufacturing
beer
may
sell
20
beer
at
retail
for
consumption
on
or
off
the
premises
of
the
21
manufacturing
facility
and,
notwithstanding
any
other
provision
22
of
this
chapter
or
the
fact
that
a
person
is
the
holder
of
a
23
class
“A”
beer
permit,
may
be
granted
not
more
than
one
class
24
“B”
beer
permit
as
defined
in
section
123.124
for
that
purpose
25
regardless
of
whether
that
person
is
also
a
manufacturer
26
of
native
distilled
spirits
pursuant
to
a
class
“A”
native
27
distilled
spirits
license
or
a
manufacturer
of
native
wine
28
pursuant
to
a
class
“A”
wine
permit
.
29
Sec.
4.
Section
123.56,
subsection
5,
Code
2019,
is
amended
30
to
read
as
follows:
31
5.
Notwithstanding
any
other
provision
of
this
chapter
,
a
32
person
engaged
in
the
business
of
manufacturing
native
wine
may
33
sell
native
wine
at
retail
for
consumption
on
the
premises
of
34
the
manufacturing
facility
by
applying
for
a
class
“C”
native
35
-2-
LSB
2475SS
(2)
88
ec/rn
2/
4
S.F.
277
wine
permit
as
provided
in
section
123.178B
.
A
manufacturer
1
of
native
wine
may
be
granted
not
more
than
one
class
“C”
2
native
wine
permit.
A
manufacturer
of
native
wine
may
be
3
issued
a
class
“C”
native
wine
permit
regardless
of
whether
the
4
manufacturer
holds
an
alcoholic
liquor
manufacturer’s
license,
5
is
a
manufacturer
of
beer
pursuant
to
a
class
“A”
beer
permit,
6
or
is
also
a
manufacturer
of
native
distilled
spirits
pursuant
7
to
a
class
“A”
native
distilled
spirits
license.
8
EXPLANATION
9
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
10
the
explanation’s
substance
by
the
members
of
the
general
assembly.
11
This
bill
relates
to
manufacturers
of
alcoholic
beverages
12
under
Code
chapter
123.
13
Code
section
123.41,
concerning
an
alcoholic
liquor
14
manufacturer’s
license,
is
amended
to
allow
the
issuance
of
a
15
license
to
a
manufacturer
that
also
holds
a
class
“A”
native
16
distilled
spirits
license,
a
class
“C”
native
distilled
spirits
17
liquor
control
license,
a
class
“A”
wine
permit,
a
class
“C”
18
native
wine
permit,
or
a
wine
direct
shipper
permit.
19
Code
section
123.43A,
concerning
native
distilleries,
is
20
amended
to
provide
that
a
manufacturer
of
native
distilled
21
spirits
may
be
issued
a
class
“C”
native
distilled
spirits
22
liquor
control
license
regardless
of
whether
the
manufacturer
23
holds
an
alcoholic
liquor
manufacturer’s
license.
24
Code
section
123.45,
concerning
limitations
on
business
25
interests,
is
amended
to
provide
that
a
manufacturer
of
beer
26
may
be
granted
one
class
“B”
beer
permit
for
the
purpose
of
27
selling
beer
at
retail
for
consumption
on
or
off
the
premises
28
of
the
manufacturing
facility
regardless
of
whether
the
29
manufacturer
is
also
a
manufacturer
of
native
distilled
spirits
30
or
a
manufacturer
of
native
wine.
31
Code
section
123.56,
concerning
native
wines,
is
amended
32
to
provide
that
a
manufacturer
of
native
wine
may
be
issued
33
a
class
“C”
native
wine
permit
regardless
of
whether
the
34
manufacturer
holds
an
alcoholic
liquor
manufacturer’s
license
35
-3-
LSB
2475SS
(2)
88
ec/rn
3/
4
S.F.
277
or
is
a
manufacturer
of
beer
pursuant
to
a
class
“A”
beer
1
permit.
2
-4-
LSB
2475SS
(2)
88
ec/rn
4/
4