House File 2540 - Reprinted HOUSE FILE 2540 BY COMMITTEE ON STATE GOVERNMENT (SUCCESSOR TO HSB 683) (As Amended and Passed by the House March 4, 2020 ) A BILL FOR An Act establishing a charity beer, spirits, and wine event 1 permit. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 HF 2540 (2) 88 ec/rn/md

H.F. 2540 Section 1. Section 123.32, subsection 1, paragraph b, Code 1 2020, is amended by adding the following new subparagraph: 2 NEW SUBPARAGRAPH . (7A) A charity beer, spirits, and wine 3 event permit as provided in section 123.173B. 4 Sec. 2. NEW SECTION . 123.173B Charity beer, spirits, and 5 wine event permit. 6 1. For purposes of this section, “authorized nonprofit 7 entity” includes a nonprofit entity which has a principal office 8 in the state, a nonprofit corporation organized under chapter 9 504, or a foreign corporation as defined in section 504.141, 10 whose income is exempt from federal taxation under section 11 501(c) of the Internal Revenue Code. 12 2. Upon application to the division and receipt of a charity 13 beer, spirits, and wine event permit, an authorized nonprofit 14 entity may conduct an event at which the entity is authorized 15 to serve the event’s attendees beer, spirits, and wine for 16 consumption on the premises of the event, regardless of whether 17 the entity charges an admission fee to the event or otherwise 18 collects the cost of the beer, spirits, and wine served from 19 the event’s attendees and subject to the requirements of this 20 section. 21 3. An application for a charity beer, spirits, and wine 22 event permit shall include all of the following information: 23 a. The date and time when the charity beer, spirits, and 24 wine event is to be conducted and the location of the premises 25 in this state where the charity beer, spirits, and wine event 26 is to be physically conducted. 27 b. The liquor control license or wine or beer permit number 28 issued by the division for the premises where the charity beer, 29 spirits, and wine event is to be conducted. 30 c. A certification that the objective of the charity beer, 31 spirits, and wine event is to raise funds solely to be used for 32 educational, religious, or charitable purposes and that the 33 entire proceeds from the charity beer, spirits, and wine event 34 are to be expended for any of the purposes described in section 35 -1- HF 2540 (2) 88 ec/rn/md 1/ 3

H.F. 2540 423.3, subsection 78. 1 4. A charity beer, spirits, and wine event shall comply with 2 all of the following requirements: 3 a. The event is to be conducted on a premises covered by a 4 valid liquor control license or wine or beer permit issued by 5 the division. 6 b. The authorized nonprofit entity shall have a written 7 agreement with the liquor control licensee or wine or beer 8 permittee covering the premises where the event is to be 9 conducted specifying that that licensee or permittee shall act 10 as the agent of the authorized nonprofit entity for the purpose 11 of providing and serving alcoholic beverages to the attendees 12 of the event. 13 c. The liquor control licensee or wine or beer permittee 14 covering the premises where the event is to be conducted shall 15 supply all alcoholic beverages served to the attendees of the 16 event. 17 d. Only those types of alcoholic beverages as are authorized 18 to be sold by the liquor control license or wine or beer permit 19 covering the premises where the event is to be conducted are to 20 be served to the attendees of the event. 21 5. An authorized nonprofit entity shall be eligible to 22 receive no more than two charity beer, spirits, and wine event 23 permits during a calendar year and each charity beer, spirits, 24 and wine event permit shall be valid for a period not to exceed 25 thirty-six consecutive hours. 26 6. Any violation of the requirements of this chapter or 27 the rules adopted pursuant to this chapter shall subject the 28 charity beer, spirits, and wine event permit holder to the 29 general penalties provided in this chapter and shall constitute 30 grounds for imposition of a civil penalty, suspension of 31 the permit, or revocation of the permit after notice and 32 opportunity for a hearing pursuant to section 123.39 and 33 chapter 17A. 34 Sec. 3. Section 123.179, Code 2020, is amended by adding the 35 -2- HF 2540 (2) 88 ec/rn/md 2/ 3

H.F. 2540 following new subsection: 1 NEW SUBSECTION . 7. The fee for a charity beer, spirits, and 2 wine event permit is one hundred dollars. 3 -3- HF 2540 (2) 88 ec/rn/md 3/ 3