H.F. 677 Section 1. Section 123.3, subsection 45, Code 2023, is 1 amended to read as follows: 2 45. “Retail alcohol license” means a class “B”, class “C”, 3 special class “C”, class “D”, class “E”, or class “F” retail 4 alcohol license, or a special class “B” or special class “C” 5 retail native wine license issued under this chapter . 6 Sec. 2. Section 123.30, subsection 3, paragraph a, 7 subparagraph (1), subparagraph division (c), Code 2023, is 8 amended to read as follows: 9 (c) The holder of a class “B” retail alcohol license may 10 sell beer to class “C”, special class “C”, special class “C” 11 retail native license, class “D”, and class “F” retail alcohol 12 licensees for resale for consumption on the premises. Such 13 beer sales shall be in quantities of not more than five cases 14 of beer, high alcoholic content beer, and canned cocktails, 15 but not more than one such sale shall be made to the same 16 retail alcohol licensee in a twenty-four-hour period. A class 17 “A” beer permittee shall be held harmless concerning any beer 18 resold as authorized by this subparagraph division. 19 Sec. 3. Section 123.30, subsection 3, paragraph b, Code 20 2023, is amended by adding the following new subparagraph: 21 NEW SUBPARAGRAPH . (3) A special class “C” retail native 22 wine license shall authorize the holder to sell beer and native 23 wine as provided in section 123.31C. 24 Sec. 4. Section 123.30, subsection 3, paragraph d, 25 subparagraph (4), Code 2023, is amended to read as follows: 26 (4) The holder of a class “E” retail alcohol license may 27 sell beer to class “C”, special class “C”, special class “C” 28 retail native license, class “D”, and class “F” retail alcohol 29 licensees for resale for consumption on the premises. Such 30 beer sales shall be in quantities of not more than five cases 31 of beer, high alcoholic content beer, and canned cocktails, 32 but not more than one such sale shall be made to the same 33 retail alcohol licensee in a twenty-four-hour period. A class 34 “A” beer permittee shall be held harmless concerning any beer 35 -1- HF 677 (2) 90 ec/rn/md 1/ 4

H.F. 677 resold as authorized by this subparagraph. 1 Sec. 5. NEW SECTION . 123.31C Authority under special class 2 “C” retail native wine license. 3 1. A person holding a special class “C” retail native 4 wine license may sell beer and native wine only at retail for 5 consumption on or off the premises. Sales of beer and native 6 wine for consumption off the premises made pursuant to this 7 section shall be made in original containers except as provided 8 in subsection 5. 9 2. A special class “C” retail native wine licensee having 10 more than one place of business where wine is sold and served 11 shall obtain a separate permit for each place of business. 12 3. A person holding a special class “C” retail native wine 13 license may purchase wine for resale only from a native winery 14 holding a class “A” wine permit. 15 4. A person holding a special class “C” retail native wine 16 license may purchase beer as follows: 17 a. From class “A” beer permittees. 18 b. From class “B” retail alcohol licensees or class “E” 19 retail alcohol licensees in quantities of not more than 20 five cases of beer, high alcoholic content beer, and canned 21 cocktails, but not more than one such purchase shall be made by 22 the licensee in a twenty-four-hour period. A class “A” beer 23 permittee shall be held harmless concerning any beer resold as 24 authorized by this subsection. 25 5. Subject to the rules of the department, sales made 26 pursuant to this section may be made in a container other 27 than the original container only if all of the following 28 requirements are met: 29 a. The beer or native wine is transferred from the original 30 container to the container to be sold on the licensed premises 31 at the time of sale or when sold by telephonic or other 32 electronic means. 33 b. The person transferring the beer or native wine from 34 the original container to the container to be sold shall be 35 -2- HF 677 (2) 90 ec/rn/md 2/ 4

H.F. 677 eighteen years of age or more. 1 c. The container to be sold shall be no larger than 2 seventy-two ounces. 3 d. The container to be sold shall be securely sealed by a 4 method authorized by the department that is designed so that if 5 the sealed container is reopened or the seal tampered with, it 6 is visibly apparent that the seal on the container of beer or 7 native wine has been tampered with or the sealed container has 8 otherwise been reopened. 9 6. A container of beer or native wine other than the 10 original container that is sold and sealed in compliance 11 with the requirements of subsection 5 and the rules of the 12 department shall not be deemed an open container subject to the 13 requirements of sections 321.284 and 321.284A if the sealed 14 container is unopened and the seal has not been tampered with, 15 and the contents of the container have not been partially 16 removed. 17 Sec. 6. Section 123.36, subsection 1, Code 2023, is amended 18 by adding the following new paragraph: 19 NEW PARAGRAPH . 0e. Special class “C” retail native wine 20 license fees shall be one hundred twenty-five dollars. 21 Sec. 7. Section 123.45, subsection 3, Code 2023, is amended 22 to read as follows: 23 3. A person engaged in the wholesaling of beer or wine 24 may sell only disposable glassware, which is constructed of 25 paper, paper laminated, or plastic materials and designed 26 primarily for personal consumption on a one-time usage 27 basis, to retailers for use within the premises of licensed 28 establishments, for an amount which is greater than or equal 29 to an amount which represents the greater of either the amount 30 paid for the disposable glassware by the supplier or the amount 31 paid for the disposable glassware by the wholesaler. Also, 32 notwithstanding any other provision of this chapter or the fact 33 that a person is the holder of a class “A” beer permit, a native 34 brewery may be granted not more than two class “C” retail 35 -3- HF 677 (2) 90 ec/rn/md 3/ 4

H.F. 677 alcohol licenses or not more than two special class “C” retail 1 alcohol licenses, both as defined in section 123.30 , regardless 2 of whether that person is also a manufacturer of native 3 distilled spirits pursuant to a class “A” native distilled 4 spirits license or a manufacturer of native wine pursuant to a 5 class “A” wine permit. 6 Sec. 8. Section 123.130, subsection 2, Code 2023, is amended 7 to read as follows: 8 2. Pursuant to section 123.45, subsection 3 , a native 9 brewery may be granted not more than two class “C” retail 10 alcohol licenses or not more than two special class “C” retail 11 alcohol licenses . 12 Sec. 9. Section 123.176, subsection 5, Code 2023, is amended 13 to read as follows: 14 5. Notwithstanding any other provision of this chapter , a 15 person engaged in the business of manufacturing native wine 16 may be granted a class “C” retail alcohol license or special 17 class “C” retail native wine license as defined in section 18 123.30 . A manufacturer of native wine may be granted not more 19 than two class “C” retail alcohol licenses or special class “C” 20 retail native wine licenses . A manufacturer of native wine 21 may be issued a class “C” retail alcohol license or special 22 class “C” retail native wine license regardless of whether the 23 manufacturer is also a manufacturer of beer pursuant to a class 24 “A” beer permit or a manufacturer of native distilled spirits 25 pursuant to a class “A” native distilled spirits license. 26 -4- HF 677 (2) 90 ec/rn/md 4/ 4