HBA-MPA C.S.H.B. 3193 76(R)BILL ANALYSIS Office of House Bill AnalysisC.S.H.B. 3193 By: Moreno, Joe Licensing & Administrative Procedures 4/25/1999 Committee Report (Substituted) BACKGROUND AND PURPOSE Currently, most retailers are not authorized to sell wine with an alcohol content in excess of 14 percent by volume. C.S.H.B. 3193 increases the permissible concentration of alcohol in certain beverages sold or held by persons permitted to sell such beverages to 17 percent by volume. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 24.07, Alcoholic Beverage Code, to make a conforming change. SECTION 2. Amends Section 25.01, Alcoholic Beverage Code, to authorize the holder of a wine and beer retailer's permit to sell wine, beer, and malt liquor containing not more than 17, rather than 14, percent alcohol by volume, for consumption on or off the premises where sold, but not for resale. SECTION 3. Amends Section 25.09, Alcoholic Beverage Code, to make a conforming change. SECTION 4. Amends Section 26.01, Alcoholic Beverage Code, to make a conforming change. SECTION 5. Amends Section 27.01, Alcoholic Beverage Code, to make a conforming change. SECTION 6. Amends Section 27.11, Alcoholic Beverage Code, to make a conforming change. SECTION 7. Amends Section 251.14, Alcoholic Beverage Code, to make conforming changes. SECTION 8. Amends Subchapter D, Chapter 251, Alcoholic Beverage Code, by adding Section 251.81, as follows: Sec. 251.81. SALE OF WINE. (a) Prohibits an alcoholic beverage license or permit holder from selling wine containing more than 14 percent alcohol by volume in an area where the sale of wine was approved by a local option election before September 1, 1999, other than such an election that approved the sale of all alcoholic beverages, unless a subsequent local option election approves the sale of wine or wine and other alcoholic beverages. (b) Requires the Texas Alcoholic Beverage Commission to indicate on the face of each alcoholic beverage license or permit whether the holder is authorized to sell wine and whether the holder may sell wine up to 14 percent or 17 percent alcohol by volume. SECTION 9. Effective date: September 1, 1999. SECTION 10. Emergency clause. COMPARISON OF ORIGINAL TO SUBSTITUTE C.S.H.B. 3193 differs from the original by replacing language in the original bill specifying that holders of wine and beer permits may sell wine containing not more than 17 percent alcohol by volume, with a provision in the substitute that such permit holders may sell wine, beer, and malt liquor containing alcohol in excess of one-half of one percent by volume but not more than 17, rather than 14, percent by volume. This change is made in SECTIONS 2 (Section 25.01), 4 (Section 26.01), 5 (Section 27.01), and 6 (Section 27.11, Alcoholic Beverage Code). C.S.H.B. 3193 differs from the original in SECTION 3 (Section 25.09, Alcoholic Beverage Code) by providing, in the original bill, that no wine and beer retailer's permitee, nor officer of the permittee, may possess on the licensed premises any alcoholic beverage the permitee is not authorized to sell, rather than distilled spirits or liquor containing alcohol in excess of 14 percent by volume. The substitute provides that no such person may possess specified beverages with alcohol content of 17, rather than 14, percent alcohol content. The substitute removes the proposed amendment in SECTION 7 (Section 71.04, Alcoholic Beverage Code) of the original bill which addresses possession of beverages in excess of 17 percent alcohol content by permit holders. The substitute redesignates SECTIONS 8-11 in the original bill as SECTIONS 7-10.