Late last year, the President signed the Taxpayer Certainty and Disaster Tax Act of 2020, which made most of the Craft Beverage Modernization and Tax Reform Act (“CBMTRA”) provisions permanent starting January 1, 2021. The CBMTRA makes extensive changes to the federal excise taxes on wine, distilled spirits, and beer.
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2017 Changes to Washington Liquor Laws Affecting Producers and Distributors
This post was guest authored by Stoel Rives summer associate Alex Pearson.
With the Washington State Legislature’s third special session at a close, now is a good time for alcoholic beverage producers and distributors to take a moment to look at five bills that passed the Legislature and were signed into law by Governor Inslee this past session. All are effective as of July 23, 2017, and create new opportunities for producers and distributors. What follows is a summary of the more notable additions and modifications made by these new laws. Please note that these laws affect a variety of licensees, so we encourage all producers and distributors to evaluate these changes with their attorney.
Legal Definition of Mead
One of the world’s oldest alcoholic beverages—mead—finally has a legal definition in Washington. S.H.B. 1176 amends RCW 66.24.215 and RCW 66.28.360 to define mead as a wine or malt beverage sold as “mead” and which is fermented primarily from honey, but may contain other agricultural products such as fruit, hops, or spices. Those licensed to sell beer or cider in growlers will also be allowed to similarly sell mead to customers, so long as the mead sold has an alcohol content equal to or less than 14 percent alcohol by volume. Additionally, starting January 1, 2018, mead will be exempt from the assessment on wine production that funds the Washington Wine Commission.
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2017 Changes to Oregon Liquor Laws
This post was guest authored by Stoel Rives summer associate Antonija Krizanac.
Since the 2017 Oregon Legislative Session convened on February 1, 2017, the Legislature has introduced a variety of bills that impact the Oregon alcohol and beverage industry. Out of the countless proposed bills, five have already been signed by the Governor and will go into effect this year or early 2018 and may impact your business. Following is a summary of those bills.
House Bill 2150: Relating to electronic administration of alcoholic beverage tax provisions
House Bill 2150 requires the Oregon Liquor Control Commission (“OLCC”) to allow manufacturers or distributors of wine, cider, or malt beverages to file by electronic means:
- A statement of the quantity of wine, cider, or malt beverages produced, purchased, or received, and
- Payment of privilege taxes on such activities.
This alters the current filing and payment system, which is done on paper. The measure will apply to statements or privilege taxes due on or after July 1, 2019.
Effective date: January 1, 2018
Link to enrolled bill: https://olis.leg.state.or.us/liz/2017R1/Downloads/MeasureDocument/HB2150
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2017 Changes to Washington Liquor Laws Affecting Retailers
This post was guest authored by Stoel Rives summer associate Emma Vignali.
On July 23, 2017, numerous Bills will go into effect that will meaningfully impact alcohol and beverage retailers across Washington. Governor Jay Inslee will sign four bills that will create opportunities for alcohol retailers and simplify the licensing process for current and future licensees. Additionally, although not yet passed by the legislature, S.B. 5164 would expand the criteria under RCW 66.24.363 to authorize the issuance of a beer and wine tasting endorsement to small retailers of meat, seafood, poultry, and cheese. The following is a summary of some of the notable changes adopted in these bills. Note that many of the changes affect licenses, so we encourage anyone who sells alcohol in Washington to discuss these changes with their attorney.
Special Permit for Wine Auctions
H.B. 1718 amends RCW 66.20.010 to improve the process for non-profits hoping to hold wine auctions at their charitable events. While the previous process for holding wine auctions proved strenuous for many non-profits, this Bill simplifies the process by creating a special permit specifically for private wine auctions. The special permit allows non-profits to auction wine for off-premises consumption and to provide auction guests with tasting samples of the wine to be auctioned at the event. More than one winery may participate in the auction, but each must be listed on the application for the special permit. A $25.00 fee will be charged for each winery listed on the permit. Non-profit organizations considering holding a private auction should be sure to apply for a permit prior to the event.
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New California General Industrial Storm Water Permit Slated For Adoption on April 1, 2014 May Hold Surprises for California’s Wineries, Breweries and Distilleries
Today, the State Water Resources Control Board (State Board) released for public comment its Draft Industrial Storm Water Permit and supporting documents. This is the fourth (and likely final) version of the Draft Industrial Storm Water Permit, which is designed to replace the existing Industrial Storm Water Permit issued in 1997.
The Draft Industrial
Oregon Liquor Privatization Rejected in 2014 Legislature
Late last week, Oregon lawmakers shot down SB 1559, a bill that proposed what some called a compromise on liquor privatization in Oregon. It would have allowed grocery stores 10,000 square feet or more to sell liquor from their shelves, while keeping the Oregon Liquor Control Commission in control of the supply. Lawmakers sent
Initiative 522 Defeated in Washington
Based on preliminary results from Tuesday’s election, it appears that Washington State’s hotly debated Initiative 522 (I-522) concerning the labeling of genetically-engineered foods has gone the way of California’s Proposition 37. Washington officials reported on Wednesday, November 6, 2013 that voters had rejected the measure, 54% to 46%. California’s similar labeling measure, Proposition
Oregon Liquor Control Commission Rulemaking Updates
The Oregon Liquor Control Commission (“OLCC”) is initiating rulemaking that would amend licensing requirements for outdoor areas and distilled liquor tasting.
Outdoor Areas
The OLCC has proposed two new rules to address the licensing qualifications and operating requirements for “exclusively outdoor areas,” or areas that do not abut a licensed building. The rule would apply
Utah DABC Abandons “Intent to Dine” Rule
The DABC unexpectedly decided to forgo adopting an administrative rule interpreting Utah’s “intent to dine” law. As we discussed previously, the Commission was considering three draft rules that were intended to clarify the steps a restaurant licensee must take to confirm a patron’s intent to order food before a server can furnish an alcoholic
“Intent to Dine” Rules under Consideration (Again) in Utah
The controversy continues over Utah’s so-called “intent to dine” requirement for restaurants licensed to serve alcohol. As we previously discussed, the Utah Legislature amended the law to require restaurants to confirm that a patron has the intent to order food before serving an alcoholic drink. In response to the change, the DABC has proposed
Oregon Senate Bill 841 Provides Some Certainty for Wineries but Leaves Some Wanting
Oregon Senate Bill 841 brings finality to the ongoing debate about the appropriate intensity of agri-tourism and other commercial events held at wineries on agricultural land.
Looking forward, wineries permitted under ORS 215.452 are allowed to engage in activities that are directly related to the sale and marketing of wine without local review. These types of activities include wine tastings, wine club activities, winery and vineyard tours, meetings or business activities with wine industry members or vendors, open houses, and similar activities (which appears to be a catch-all allowing for some flexibility). The legislation confronts the debate about on-site kitchens at wineries, making clear that kitchens are allowed under specified conditions.Continue Reading Oregon Senate Bill 841 Provides Some Certainty for Wineries but Leaves Some Wanting