House File 478 - EnrolledAn Actconcerning alcoholic beverage control relating to
brewpubs and alternating proprietorship arrangements for
beer manufacturers.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
   Section 1.  Section 123.30, subsection 3, paragraph b,
subparagraph (2), Code 2023, is amended by adding the following
new subparagraph division:
   NEW SUBPARAGRAPH DIVISION.  (0d)  The holder of a special
class “C” retail alcohol license may also hold a special class
“A” beer permit for the premises licensed under a special class
“C” retail alcohol license for the purpose of operating a
brewpub pursuant to this chapter.
   Sec. 2.  Section 123.130, subsection 4, Code 2023, is amended
to read as follows:
   4.  a.  All special class “A” premises shall be located
within the state. A
   b.   Except as provided in paragraph “c”, aperson who
holds a special class “A” beer permit for the same location
at which the person holds a class “C” or special class “C”
retail alcohol license for the purpose of operating as a
brewpub may manufacture and sell beer to be consumed on the
premises, may sell beer at retail at the manufacturing premises
for consumption off the premises, may sell beer to a class
“A” beer permittee for resale purposes, and may sell beer to
distributors outside of the state that are authorized by the
laws of that jurisdiction to sell beer at wholesale.
   c.  A person who holds a special class “A” beer permit
for the same location at which the person holds a class
“C” or special class “C” retail alcohol license for the
purpose of operating as a brewpub may manufacture beer under
an alternating proprietorship arrangement as provided in
subsection 4A. However, the person may not sell beer to be
consumed on the premises where manufactured or sell beer at
retail for consumption off the premises where manufactured
unless the person is also the holder of a class “C” or special
class “C” retail alcohol license issued for the premises of the
alternating proprietorship whose space and equipment is being
used for the purpose of manufacturing beer.
   d.  The permit issued to holders of a special class “A”
-1-beer permit shall clearly state on its face that the permit is
limited.
   Sec. 3.  Section 123.130, Code 2023, is amended by adding the
following new subsection:
   NEW SUBSECTION.  4A.  a.  For purposes of this subsection,
“manufacturer” includes only those persons who hold a class “A”
or special class “A” beer permit and manufacture beer in Iowa.
   b.  Notwithstanding any provision of law to the contrary,
a manufacturer may use the space and equipment of another
manufacturer for the purpose of manufacturing beer, provided
that such an alternating proprietorship arrangement has been
approved by the alcohol and tobacco tax and trade bureau of the
United States department of the treasury. A separate class
“A” or special class “A” beer permit shall be issued to each
manufacturer, and each manufacturer shall be subject to the
provisions of this chapter and the rules of the department.
   c.  Notwithstanding any provision of law to the contrary,
not more than one class “C” retail alcohol license or special
class “C” retail license shall be issued to a premises with
alternating proprietorships as authorized by this subsection.
______________________________
PAT GRASSLEYSpeaker of the House
______________________________
AMY SINCLAIRPresident of the Senate
   I hereby certify that this bill originated in the House and is known as House File 478, Ninetieth General Assembly.______________________________
MEGHAN NELSONChief Clerk of the House
Approved _______________, 2023______________________________
KIM REYNOLDSGovernor
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