Maine LD 935: An Act Regarding Alcohol Manufacturing Licenses Issued to Research Facilities

LD 935 (subjects: ALCOHOLIC BEVERAGES , BEER )

Official bill page at mainelegislature.org: http://www.mainelegislature.org/legis/bills/display_ps.asp?ld=935&PID=1456&snum=127


Sponsors | Actions | Bill Text & Amendments | Patterns of Support


Sponsors

Principal Sponsor: Sen. James Dill of Penobscot: (D – District 5) — e-mail

5 Cosponsors:

Actions

Chamber

Action
3/17/2015 Senate Committee on VETERANS AND LEGAL AFFAIRS
suggested and ordered printed
On motion by Senator Cyrway of Kennebec REFERRED to the Committee on VETERANS AND LEGAL AFFAIRS
Ordered sent down forthwith for concurrence.
3/17/2015 House Bill REFERRED to the Committee on VETERANS AND LEGAL AFFAIRS.
In concurrence. ORDERED SENT FORTHWITH.
5/19/2015 Senate Report READ and ACCEPTED.
READ ONCE.

Committee Amendment “A” (S-98) READ and ADOPTED.

Under suspension of the Rules, READ A SECOND TIME and PASSED TO BE ENGROSSED AS AMENDED BY Committee Amendment “A” (S-98) .

Ordered sent down forthwith for concurrence.
5/20/2015 House CONSENT CALENDAR – FIRST DAY
Under suspension of the rules
CONSENT CALENDAR – SECOND DAY.
The Bill was PASSED TO BE ENGROSSED as Amended by Committee Amendment “A” (S-98).
In concurrence. ORDERED SENT FORTHWITH.
5/26/2015 House PASSED TO BE ENACTED.
Sent for concurrence. ORDERED SENT FORTHWITH.
5/27/2015 Senate PASSED TO BE ENACTED, in concurrence.
6/9/2015 Senate LD 935 In Senate, June 9, 2015, this Bill, having been returned by the Governor, together with objections to the same pursuant to the provisions of the Constitution of the State of Maine, after reconsideration, the Senate proceeded to vote on the question: “Shall this Bill become a law notwithstanding the objections of the Governor?” 32 In Favor and 3 Against , accordingly it was the vote of the Senate that the Bill become law and the VETO was OVERRIDDEN.
6/9/2015 House This Bill, having been returned by the Governor, together with objections to the same pursuant to Article IV, Part Third, Section 2 of the Constitution of the State of Maine, after reconsideration, the House proceeded to vote on the question: “Shall this Bill become a law notwithstanding the objections of the Governor?”
ROLL CALL NO. 196V
136 having voted in the affirmative and 3 in the negative, with 12 being absent, and accordingly it was the vote of the House that the Bill become a law notwithstanding the objections of the Governor, since two-thirds of the members of the House so voted.
In concurrence. ORDERED SENT FORTHWITH.

Bill Text & Amendments

Important Note: The bill text below presents L.D. 935 as originally introduced. L.D. 935 was changed by the legislature through amendment. To understand the impact of this legislation in proper context, be sure to read adopted amendment text, available here: C-A (S-98) .

An Act Regarding Alcohol Manufacturing Licenses Issued to Research Facilities

Be it enacted by the People of the State of Maine as follows:

Sec. 1. 28-A MRSA 2, sub- 25-B is enacted to read:

25-B. Research facility. “Research facility” means a facility owned and operated by a postsecondary educational institution that is licensed under section 1355-A, subsection 7.

Sec. 2. 28-A MRSA 2, sub- 32-B is enacted to read:

32-B. Subject manufacturer. “Subject manufacturer” means a person licensed under section 1355-A, subsection 3, 4 or 5 who has received approval documentation from the United States Department of the Treasury, Alcohol and Tobacco Tax and Trade Bureau to engage in an alternating proprietorship as allowed by federal regulation.

Sec. 3. 28-A MRSA 1355-A, sub- 2, as enacted by PL 2011, c. 629, 22, is amended to read:

2. Manufacturers. The following provisions apply to brewery, small brewery, winery, small winery, distillery and , small distillery and research facility licensees.

A. A licensee may permit sampling of the liquor product on the premises:

(1) By employees for the purpose of quality control of the product;

(2) By wholesalers for the purpose of determining whether to carry the product as a wholesale product if the holder of the license pays the excise tax on the product sampled according to section 1652; and

(3) By the public if the holder of the license pays the excise tax on the product sampled according to section 1652.

B. A licensee under this section may serve to the public complimentary samples of liquor produced by the licensee at the licensed premises where liquor is produced by the licensee.
C. A licensee under this section may sell to nonlicensees during regular business hours from the licensed premises where liquor is produced by the licensee liquor produced by the bottle, by the case or in bulk for consumption off the licensed premises. Spirits sold by distillers and small distillers in accordance with this paragraph must be first sold to the State, subject to the listing, pricing and distribution provisions of this Title.
D. A licensee under this section may sell from the licensed premises where liquor is produced by the licensee liquor produced by the licensee for consumption off the licensed premises.
E. A licensee may serve complimentary samples of liquor on Sunday after the hour of 9 a.m. and may sell liquor on Sunday after the hour of 9 a.m. if the municipality in which the licensed premises is located has authorized the sale of liquor on Sunday for consumption off the premises under chapter 5.
F. A licensee may charge for samples or shall otherwise comply with the conditions in paragraph E. Each sample poured is subject to a charge in an amount determined by the licensee and is subject to the sales tax on liquor under Title 36, section 1811. A licensee shall maintain a record of liquor samples subject to a charge and maintain those records for a period of 2 years.
G. A licensee that is a brewery or small brewery may sell on the premises during regular business hours and within the hours of legal sale to nonlicensees liquor produced at the licensed premises. The volume of the package may not exceed 15.5 gallons and must be consumed off the premises. The sale of packages described in this paragraph must comply with keg tagging requirements provided in section 714. Each licensee shall submit a monthly report to its wholesaler detailing sales made directly from the premises. The wholesaler shall calculate the fees for any bottle deposit and submit an invoice to the licensee for expenses associated with the requirements prescribed in Title 32, chapter 28 including the retailer handling fee, state container deposit and a mutually agreed-upon pick-up fee.
H. A small winery or small brewery licensee shall keep and maintain complete records on all sales to a retail licensee.
I. A licensee may be issued one retail license under chapter 43 per licensed location for the sale of liquor to be consumed on the premises at the retail premises.

(1) The retail license must be held exclusively by the holder of the brewery, small brewery, winery, small winery, distillery or small distillery license.

(2) The retail license authorizes the sale of products of the brewery, small brewery, winery, small winery, distillery or small distillery, in addition to other liquor permitted to be sold under the retail license, to be consumed on the premises.

(3) All records related to activities under a manufacturer license issued under this section must be kept separate from records related to the retail license.

(4) A distillery or small distillery must meet the requirements of subsection 5, paragraph E.

J. A licensee may display up to 25 bottles of liquor produced by the licensee in a window of the location under paragraph D where liquor is sold for consumption off the licensed premises. Locations licensed under subsection 4, paragraph B, subparagraph (2) or subsection 5, paragraph B, subparagraph (3) may also display up to 25 bottles of liquor produced by the licensee.

Sec. 4. 28-A MRSA 1355-A, sub- 7 is enacted to read:

7. Subject manufacturer; research facility license. Except as otherwise provided, the following provisions apply to a research facility license under which a subject manufacturer may produce malt liquor, wine, sparkling wine, fortified wine or spirits at the research facility under this subsection.

A. To be eligible as a subject manufacturer, a person must submit an application to the bureau in a manner prescribed by the bureau and hold appropriate approval documentation from the United States Department of the Treasury, Alcohol and Tobacco Tax and Trade Bureau that authorizes a subject manufacturer to use the facilities and equipment of a research facility.
B. A subject manufacturer is subject to the same requirements regarding production of malt liquor, wine, sparkling wine, fortified wine or spirits as if the subject manufacturer conducted its manufacturing on its own premises independently.
C. A subject manufacturer is not eligible for privileges provided in subsection 2 except for sampling described by subsection 2, paragraph A.
D. A subject manufacturer licensed under subsection 3 is governed by the provisions of subsection 3 except for the privileges granted under subsection 3, paragraph C and may manufacture only 31 gallons per batch of malt liquor at one time.
E. A subject manufacturer licensed under subsection 4 is governed by the provisions of subsection 4 except the subject manufacturer may manufacture only 53 gallons per batch of wine, sparkling wine or fortified wine at one time.
F. A subject manufacturer licensed under subsection 5 is governed by the provisions of subsection 5 except the subject manufacturer may manufacture only 53 gallons per batch of spirits at one time.
G. A subject manufacturer may not manufacture at the research facility malt liquor, wine, sparkling wine, fortified wine or spirits for another manufacturer or certificate of approval holder.
H. A subject manufacturer shall ensure that the subject manufacturer maintains control of the ingredients used to manufacture the subject manufacturer’s product and may purchase the ingredients from the research facility.
I. A research facility may be used by more than one subject manufacturer at one time. A research facility shall ensure that the ingredients, equipment used and product of a subject manufacturer are segregated and maintained separately from any other ingredients, equipment or product.
J. The bureau may require a subject manufacturer to maintain a record or log indicating which equipment is being used at any time by the subject manufacturer in the production of malt liquor, wine, sparkling wine, fortified wine or spirits and which of the subject manufacturer’s employees are working on production of the subject manufacturer’s product.
K. The bureau shall require that reports from a subject manufacturer be submitted in the same manner as reports from a tenant brewer under subsection 6 are submitted. The bureau shall also require a subject manufacturer to submit to the bureau copies of reports required by the United States Department of the Treasury, Alcohol and Tobacco Tax and Trade Bureau authorizing the subject manufacturer to engage in an alternating proprietorship.
L. A research facility may charge a subject manufacturer a reasonable fee for the use of the research facility.
M. A subject manufacturer’s product manufactured at a research facility is owned by the subject manufacturer as if the subject manufacturer manufactured the product on its own premises independently.
N. A research facility may manufacture malt liquor, wine, sparkling wine, fortified wine or spirits for its own research or instructional purposes. A research facility may manufacture up to 31 gallons per batch of malt liquor and up to 53 gallons per batch of wine, sparkling wine, fortified wine or spirits under this paragraph at any one time. An employee of or a student working or studying at a research facility who is 21 years of age or older may take from the facility up to 72 ounces of each malt liquor product, 24 ounces of each wine, sparkling wine or fortified wine product or 12 ounces of each spirits product manufactured under this paragraph for sampling purposes. A research facility licensed under this subsection is not eligible for privileges under subsection 2 except for the privileges in subsection 2, paragraphs A, B and E. A research facility may sell liquor to retailers and wholesalers pursuant to the provisions of this chapter.

SUMMARY

This bill creates a liquor manufacturing license for a research facility at a postsecondary educational institution. Under the bill, other liquor manufacturers, known as subject manufacturers, may produce malt liquor, wine, sparkling wine, fortified wine and spirits at the research facility and the research facility may itself manufacture malt liquor, wine, sparkling wine, fortified wine and spirits for research or instructional purposes, which the research facility also may sell to the State, wholesalers or retailers or directly to the public under certain circumstances.

Patterns of Support

Pattern of Cosponsorship by Region:

Pattern of Cosponsorship by Gender:

Pattern of Cosponsorship by Party:

Pattern of Cosponsorship by Campaign Finance Classification:

Note: Maine Clean Elections Act (MCEA) Qualified candidates only accept a small dollar value of initial contributions early in their campaigns, pledge not to accept further campaign contributions from private sources, and receive public funding for their campaigns. MCEA Non-Qualified candidates choose not to obtain public funding and instead are free to accept campaign contributions from individuals, party committees, political action committees and business sources.


This information about LD 935 was last updated on 2016-05-12.
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