HB262 (2011) Detail

Relative to beverage manufacturers.


CHAPTER 128

HB 262-FN – FINAL VERSION

15Mar2011… 0711h

18May2011… 1861EBA

2011 SESSION

11-0118

03/04

HOUSE BILL 262-FN

AN ACT relative to beverage manufacturers.

SPONSORS: Rep. Pratt, Hills 7; Rep. Warden, Hills 7

COMMITTEE: Commerce and Consumer Affairs

AMENDED ANALYSIS

This bill establishes a nano brewery license for businesses that manufacture up to 2,000 barrels of beer or specialty beer annually.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

15Mar2011… 0711h

18May2011… 1861EBA

11-0118

03/04

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Eleven

AN ACT relative to beverage manufacturers.

Be it Enacted by the Senate and House of Representatives in General Court convened:

128:1 New Section; Nano Brewery License. Amend RSA 178 by inserting after section 12 the following new section:

178:12-a Nano Brewery License.

I. The commission may issue a nano brewery license to a business that manufactures beer or specialty beer, not exceeding, 2,000 barrels annually for sale in any quantity to the general public or licensees. The license shall entitle the licensee to sell at retail or wholesale only beverages manufactured by the licensee in a public building as defined in RSA 175:1, LV-a. In addition to the annual license fees provided in this section, a fee of $.30 for each gallon of beverage sold or transferred for retail sale or to the public shall be required.

II.(a) The annual fee for each license issued under this section shall be $240.

(b) On or before the tenth day of each month a nano brewery licensee shall pay the license fees as provided by paragraph I covering sales or transfers made during the preceding calendar month.

III.(a) No beverage or liquor shall be served or consumed on the premises except that which is manufactured by the licensee.

(b) The licensee may serve beverages to any visitor of legal drinking age by the glass or other suitable container.

(c) For the purpose of this section, food and non-alcoholic beverages may be provided by a properly licensed third party food vendor on or off the premises.

(d) The licensee shall not allow any beverage or liquor to be served or sold to any person under the age of 21 on the premises.

(e) Sales for consumption on the premises shall be limited to one 4-ounce glass per label per person.

IV. A nano brewery licensee shall have the right to transport beverages it manufactures in barrels, kegs, bottles, or other closed containers within the state for sale to licensees and to the state border for transportation and sale outside the state.

128:2 Limited Credits. Amend RSA 179:13 to read as follows:

179:13 Limited Credits.

I. Each holder of a wholesale distributor, brew pub, nano brewery, or beverage manufacturer license shall report to the commission the name and license number of any on-premises or off-premises licensee who is delinquent in making payment of accounts over a total of $100 within 10 days, including Sundays and holidays, from the date of delivery of beverages on the premises of such on-premises or off-premises licensee or on the premises of a liquor/wine/beverage warehouser storing the beverages for an on-premises or off-premises licensee. Each holder of a wholesale distributor license, brew pub license, nano brewery license, beverage manufacturer license, or beverage vendor license shall report to the commission the name and license number of any holder of a wholesale distributor license who is delinquent in making payments of accounts within 30 days from the date of delivery of beverages on the premises of such holder of a wholesale distributor license. Such report to the commission shall include the amounts purchased and the dates when payments were due and shall be forwarded to the commission within 5 days after said accounts become delinquent, unless the fifth day of such period is a Sunday or holiday in which case the report shall be forwarded the day following such Sunday or holiday.

II. Each holder of a beverage manufacturer license, [a] beverage vendor license, brew pub license, nano brewery license, or wholesale distributor license shall immediately notify the commission of the receipt of the payment of any account which has been reported to the commission as delinquent. Post-dated checks beyond the 5-day reporting period shall not constitute payments of accounts for the purchases of beverages. Checks given in payment for beverages which are returned for nonpayment after the 5-day reporting period shall immediately constitute a delinquency and shall, upon return, be reported to the commission. Payments collected by agents shall be reported as delinquent unless actually received at the place of business of the holder of the beverage manufacturer license, beverage vendor license, brew pub license, nano brewery license, or wholesale distributor license on or before the fifth day of the reporting period. When collections are made by an agent, the sales slips or invoices shall be clearly marked with the name of the person making the collection and the date of such collection.

III. The commission shall inform holders of beverage manufacturer licenses, beverage vendor licenses, brew pub licenses, nano brewery licenses, and wholesale distributor licenses of the names of licensees who are delinquent in making payments of a total amount of $100 or more under the provisions of this section and no holder of a beverage manufacturer license, beverage vendor license, brew pub license, nano brewery license, or wholesale distributor license shall knowingly make any delivery of beverages to any licensee whose payments for purchases of beverages are reported as delinquent under this section. The commission may withhold names of delinquent licensees under circumstances in which there is a dispute over payments, an agreement to liquidate which has been approved by the commission, or other reason which the commission may deem proper.

IV. The commission may impose a fine of not less than $100 nor more than $500 for a violation of this section. Determinations of a failure to comply with this section shall be made by the commission.

V. Each wholesale distributor, brew pub licensee, nano brewery, or beverage manufacturer shall notify any retailer reported to the commission pursuant to RSA 179:13, I who is delinquent in making payment of accounts. Notification shall be delivered in writing to the licensee by a representative of the wholesaler, brew pub licensee, nano brewery, or beverage manufacturer. Proof of notification shall be forwarded to the commission, whose enforcement division shall issue an administrative notice for a violation of the provisions of RSA 179:13, I and shall forward a report of violation for administrative action. Any license issued to any business violating the provisions of RSA 179:13, I may be suspended by the commission for nonpayment of accounts which are delinquent more than 15 days from the date of the wholesale distributor’s, brew pub licensee’s, nano brewery’s, or beverage manufacturer's notification, providing the requirements of this section have been met.

128:3 Purchase and Supply Restrictions. Amend RSA 179:33 to read as follows:

179:33 Sizes of Beer Containers; Promotions; Notification.

I. Holders of beverage vendor, nano brewery, or beverage manufacturer licenses shall use bottles or cans, and cases or containers for the sale of beer in the state which shall be specifically authorized by the commission.

II. Holders of beverage vendor, nano brewery, or beverage manufacturer licenses shall have their packaging or containers specifically approved by the commission and shall be fined $250 for each packaging or container violation.

III. All details of transactions between retailers and wholesale distributors, beverage manufacturers, nano breweries, or brew pubs shall be reflected on pertinent invoices. Promotions shall be clearly identified by both brands and sizes and cash discounts shall be shown as credit and itemized as such. All items noted on delivery slips shall also be noted on wholesale distributor's account receivable ledger records.

IV. All wholesale distributors, beverage manufacturers, nano breweries, and brew pubs shall make their current prices for wholesale sales available to the commission in writing by brand package. Prices shall remain in effect until such time as they are changed in writing by the wholesale distributor, beverage manufacturer, nano brewery, or brew pub to the commission. Price changes shall be in the commission offices no later than 5 working days prior to any change of prices.

128:4 Effective Date. This act shall take effect July 1, 2011 at 12:01 a.m.

Approved: June 6, 2011

Effective Date: July 1, 2011 at 12:01 am.