Senate Study Bill 1022 - IntroducedA Bill ForAn Act 1relating to alcoholic beverage drink pods and including
2effective date provisions.
3BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1   Section 1.  Section 123.3, Code 2021, is amended by adding
2the following new subsection:
3   NEW SUBSECTION.  4A.  “Alcoholic beverage drink pod” means
4a sealed, plastic capsule that is not readily accessible or
5intended for consumption unless certain processing procedures
6are followed that is composed in whole or in part of alcoholic
7liquor, wine, or beer that is combined with other alcoholic
8beverages or nonalcoholic beverages or ingredients including
9but not limited to ice, water, soft drinks, or flavorings. For
10purposes of this subsection, “processing procedures” means use
11of an appliance designed to release the contents of the plastic
12capsule and produce an alcoholic beverage that contains more
13than one-half of one percent of alcohol by volume but not more
14than twenty-one percent of alcohol by volume.
15   Sec. 2.  Section 123.3, subsection 5, Code 2021, is amended
16to read as follows:
   175.  “Alcoholic liquor” means the varieties of liquor defined
18in subsections 3 and 50 which contain more than six and
19twenty-five hundredths percent of alcohol by volume, beverages
20made as described in subsection 7 which beverages contain
21more than six and twenty-five hundredths percent of alcohol
22by volume but which are not wine as defined in subsection 54,
23high alcoholic content beer as defined in subsection 22, or
24 canned cocktails as defined in subsection 11, or alcoholic
25beverage drink pods as defined in subsection 4A,
and every
26other liquid or solid, patented or not, containing spirits and
27every beverage obtained by the process described in subsection
2854 containing more than twenty-one and twenty-five hundredths
29percent of alcohol by volume, and susceptible of being consumed
30by a human being, for beverage purposes. Alcohol manufactured
31in this state for use as fuel pursuant to an experimental
32distilled spirits plant permit or its equivalent issued by
33the federal bureau of alcohol, tobacco and firearms is not an
34“alcoholic liquor”.
35   Sec. 3.  NEW SECTION.  123.126B  Alcoholic beverage drink pods
-1-1— applicability — manufacture.
   21.  Unless otherwise provided by this chapter, the
3provisions of this chapter applicable to beer shall also apply
4to alcoholic beverage drink pods.
   52.  Notwithstanding any provision of this chapter to the
6contrary, a manufacturer of beer may obtain and possess
7alcoholic liquor from the division for the purpose of
8manufacturing alcoholic beverage drink pods.
9   Sec. 4.  Section 123A.2, Code 2021, is amended by adding the
10following new subsection:
11   NEW SUBSECTION.  2A.  “Alcoholic beverage drink pods” means
12the same as defined in section 123.3.
13   Sec. 5.  Section 123A.13, Code 2021, is amended to read as
14follows:
   15123A.13  Canned cocktails —  alcoholic beverage drink pods —
16
applicability of chapter.
   17The provisions of this chapter that apply to a brewer and
18wholesaler of beer shall apply to a manufacturer and wholesaler
19of alcoholic beverage drink pods and canned cocktails.
20   Sec. 6.  EFFECTIVE DATE.  This Act, being deemed of immediate
21importance, takes effect upon enactment.
22EXPLANATION
23The inclusion of this explanation does not constitute agreement with
24the explanation’s substance by the members of the general assembly.
   25This bill concerns alcoholic beverage drink pods.
   26Code section 123.3 is amended by adding a definition for
27“alcoholic beverage drink pods” and amending the definition of
28“alcoholic liquor”. “Alcoholic beverage drink pods” is defined
29as a sealed, plastic capsule that is not readily accessible or
30intended for consumption unless certain processing procedures
31are followed that is composed in whole or in part of alcoholic
32liquor, wine, or beer. The bill provides that “processing
33procedures” means use of an appliance designed to release
34the contents of the plastic capsule and produce an alcoholic
35beverage that contains more than 1.5 percent of alcohol by
-2-1volume but not more than 21 percent of alcohol by volume. The
2definition of “alcoholic liquor” is also amended to exclude
3alcoholic beverage drink pods.
   4New Code section 123.126B provides that the provisions
5of Code chapter 123 applicable to beer shall also apply to
6alcoholic beverage drink pods and allows a manufacturer of
7beer to obtain and possess alcoholic liquor for the purpose of
8manufacturing alcoholic beverage drink pods.
   9New Code section 123A.13 provides that the provisions of
10Code chapter 123A that apply to brewers and wholesalers of
11beer also apply to manufacturers and wholesalers of alcoholic
12beverage drink pods.
   13The bill takes effect upon enactment.
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