HBA-DMH H.B. 2027 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 2027 By: Yarbrough Licensing & Administrative Procedures 4/25/2001 Introduced BACKGROUND AND PURPOSE Currently, the Texas Alcoholic Beverage Commission (TABC) issues over 60 different licenses and permits to regulate the alcoholic beverage industry. There are currently three types of beer distributors licenses: general, branch, and local. The general and branch distributors may operate statewide while a local distributor may only operate in the county in which the license is issued. Also, for a distributor and manufacturer to import beer into the state, they must hold either a importer's or importer's carrier's license. In an attempt to ease the administrative burden on both applicants and TABC, House Bill 2027 eliminates the local distributor's license, branch distributor's license, importer's license, and importer's carrier's license, and incorporates various components of such licenses into the manufacturer's license and the distributor's license. 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. ANALYSIS House Bill 2027 amends the Alcoholic Beverage Code to redesignate the general distributor's license as the distributor's license to and repeal law relating to the local distributor's license, branch distributor's license, importer's license, and importer's carrier's license, and incorporates various components of such licenses into the manufacturer's license and the distributor's license. The bill authorizes the holder of a carrier permit to transport beer among the authorized activities under a manufacturer's license or distributor's license, and establishes that provisions relating to the transportation of liquor apply to the transportation of beer under a manufacturer's license and a distributor's license. Unless the beer is consigned to a manufacturer or distributor, the bill prohibits a carrier from transporting beer into this state (Sec. 41.01). The bill authorizes the holder of a manufacturer's license or distributor's license to import beer into the state only from the holder of a nonresident manufacturer's license and authorizes the holder of a nonresident manufacturer's license to transport beer into Texas only to holders of manufacturer's or distributor's licenses (Secs. 62.01, 63.01, and 64.01). The bill authorizes the holder of a manufacturer's license or a distributor's license to import beer into this state in specified containers, and authorizes transportation by: _a railway carrier; _a motor carrier registered with the Texas Department of Transportation; _common motor carrier operating under a certificate issued by the Interstate Commerce Commission; or _a vehicle owned or leased in good faith by the manufacturer or distributor (Secs. 62.07 and 64.09). The bill provides that a carrier transporting beer must hold a carrier permit (Secs 62.07 and 64.09). The bill provides that a vehicle used by a manufacturer's or distributor's license holder for the transportation of beer must be available for inspection by personnel of the Texas Alcoholic Beverage Commission (TABC) on request (Secs. 62.071 and 64.10). The bill provides that the exterior of each vehicle used by such a license holder for the transportation of beer must be designated as required by TABC (Secs. 62.072 and 64.11). The bill authorizes the holder of a distributor's license to apply to the administrator or the administrator's designee for permission to maintain required records at another licensed premises if the holder holds a distributor's license for each premises. The bill requires the administrator or the administrator's designee to grant or deny a request in writing. The bill authorizes the administrator or the administrator's designee to deny a request based on grounds for cancellation or suspension for a distributor or any other valid reason. If the administrator or the administrator's designee denies the request, the administrator or the administrator's designee must specify the grounds for the denial. In deciding whether to grant the request, the bill requires the administrator or the administrator's designee to make certain considerations (Sec. 64.041). EFFECTIVE DATE September 1, 2001.