PRIOR PRINTER'S NOS. 2602, 3221, 3702 PRINTER'S NO. 3759
No. 2088 Session of 1981
Report of the Committee of Conference
To the Members of the House of Representatives and Senate:
We, the undersigned, Committee of Conference on the part of the House of Representatives and Senate for the purpose of considering House Bill No. 2088, entitled: "An act amending the act of April 12, 1951 (P.L.90, No.21), entitled 'An act relating to alcoholic liquors, alcohol and malt and brewed beverages; * * * prescribing penalties and forfeitures; providing for local option, and repealing existing laws,' further providing FOR THE APPROVAL OF SECONDARY SERVICE AREAS AND for the sale of wine by holders of a limited winery license," respectfully submit the following bill as our report: STANFORD I. LEHR HARRY E. BOWSER BERNARD J. DOMBROWSKI (Committee on the part of the House of Representatives.) STEWART J. GREENLEAF FRANK J. O'CONNELL JAMES R. KELLEY (Committee on the part of the Senate.)
AN ACT 1 Amending the act of April 12, 1951 (P.L.90, No.21), entitled "An 2 act relating to alcoholic liquors, alcohol and malt and 3 brewed beverages; amending, revising, consolidating and 4 changing the laws relating thereto; regulating and 5 restricting the manufacture, purchase, sale, possession, 6 consumption, importation, transportation, furnishing, holding 7 in bond, holding in storage, traffic in and use of alcoholic 8 liquors, alcohol and malt and brewed beverages and the 9 persons engaged or employed therein; defining the powers and 10 duties of the Pennsylvania Liquor Control Board; providing 11 for the establishment and operation of State liquor stores, 12 for the payment of certain license fees to the respective 13 municipalities and townships, for the abatement of certain 14 nuisances and, in certain cases, for search and seizure 15 without warrant; prescribing penalties and forfeitures; 16 providing for local option, and repealing existing law," 17 defining "golf course" and exempting certain privately-owned 18 public golf courses from licensing quotas, further providing 19 for the approval of secondary service areas, providing for 20 trade show and convention licenses in cities of the third 21 class, and further providing for the sale of wine by holders 22 of a limited winery license. 23 The General Assembly of the Commonwealth of Pennsylvania 24 hereby enacts as follows: 25 Section 1. Section 102, act of April 12, 1951 (P.L.90, 26 No.21), known as the "Liquor Code," is amended by adding a 27 definition to read: 28 Section 102. Definitions.--The following words or phrases, 29 unless the context clearly indicates otherwise, shall have the 30 meanings ascribed to them in this section: 31 * * * 32 "Golf course" shall mean a course having a minimum of nine 33 holes and a total length of at least twenty-five hundred yards. 34 * * * 35 Section 2. Subsection (a) of section 406 of the act, amended 36 February 18, 1982 (P.L.40, No.24), is amended to read: 37 Section 406. Sales by Liquor Licensees; Restrictions.--(a) 38 (1) Every hotel, restaurant or club liquor licensee may sell 39 liquor and malt or brewed beverages by the glass, open bottle or
1 other container, and in any mixture, for consumption only in 2 that part of the hotel or restaurant habitually used for the 3 serving of food to guests or patrons, or in a bowling alley that 4 is immediately adjacent to and under the same roof as a 5 restaurant when no minors are present in the bowling alley, and 6 in the case of hotels, to guests, and in the case of clubs, to 7 members, in their private rooms in the hotel or club. No club 8 licensee nor its officers, servants, agents or employes, other 9 than one holding a catering license, shall sell any liquor or 10 malt or brewed beverages to any person except a member of the 11 club. In the case of a restaurant located in a hotel which is 12 not operated by the owner of the hotel and which is licensed to 13 sell liquor under this act, liquor and malt or brewed beverages 14 may be sold for consumption in that part of the restaurant 15 habitually used for the serving of meals to patrons and also to 16 guests in private guest rooms in the hotel. For the purpose of 17 this paragraph, any person who is an active member of another 18 club which is chartered by the same state or national 19 organization shall have the same rights and privileges as 20 members of the particular club. For the purpose of this 21 paragraph, any person who is an active member of any volunteer 22 firefighting company, association or group of this Commonwealth, 23 whether incorporated or unincorporated, shall upon the approval 24 of any club composed of volunteer firemen licensed under this 25 act, have the same social rights and privileges as members of 26 such licensed club. For the purposes of this paragraph, the term 27 "active member" shall not include a social member. 28 (2) Hotel and restaurant liquor licensees, airport 29 restaurant liquor licensees [and], municipal golf course 30 restaurant liquor licensees, privately-owned public golf course 19810H2088B3759 - 2 -
1 restaurant licensees may sell liquor and malt or brewed 2 beverages only after seven o'clock antemeridian of any day until 3 two o'clock antemeridian of the following day, except Sunday, 4 and except as hereinafter provided, may sell liquor and malt or 5 brewed beverages on Sunday between the hours of twelve o'clock 6 midnight and two o'clock antemeridian. 7 (3) Hotel and restaurant liquor licensees, airport 8 restaurant liquor licensees [and], municipal golf course 9 restaurant liquor licensees, privately-owned public golf course 10 restaurant licensees whose sales of food and nonalcoholic 11 beverages are equal to forty per centum or more of the combined 12 gross sales of both food and alcoholic beverages may sell liquor 13 and malt or brewed beverages on Sunday between the hours of one 14 o'clock postmeridian and two o'clock antemeridian Monday upon 15 purchase of a special annual permit from the board at a fee of 16 two hundred dollars ($200.00) per year, which shall be in 17 addition to any other license fees. 18 (4) Hotel and restaurant liquor licensees, airport 19 restaurant liquor licensees [and], municipal golf course 20 restaurant liquor licensees, privately-owned public golf course 21 restaurant licensees which do not qualify for and purchase such 22 annual special permit, their servants, agents or employes may 23 sell liquor and malt or brewed beverages only after seven 24 o'clock antemeridian of any day and until two o'clock 25 antemeridian of the following day, and shall not sell after two 26 o'clock antemeridian on Sunday. No hotel, restaurant and public 27 service liquor licensee which does not have the special annual 28 permit for Sunday sales shall sell liquor and malt or brewed 29 beverages after two o'clock antemeridian on any day on which a 30 general, municipal, special or primary election is being held 19810H2088B3759 - 3 -
1 until one hour after the time fixed by law for closing the 2 polls, except, that, in the case of a special election for 3 members of the General Assembly or members of the Congress of 4 the United States, when such special election is held on other 5 than a primary, municipal or general election day, licensees in 6 those Legislative or Congressional Districts may make such 7 sales, as though the day were not a special election day. No 8 club licensee or its servants, agents or employes may sell 9 liquor or malt or brewed beverages between the hours of three 10 o'clock antemeridian and seven o'clock antemeridian on any day. 11 No public service liquor licensee or its servants, agents, or 12 employes may sell liquor or malt or brewed beverages between the 13 hours of two o'clock antemeridian and seven o'clock antemeridian 14 on any day. 15 (5) Any hotel, restaurant, club or public service liquor 16 licensee may, by giving notice to the board, advance by one hour 17 the hours herein prescribed as those during which liquor and 18 malt or brewed beverages may be sold during such part of the 19 year when daylight saving time is being observed generally in 20 the municipality in which the place of business of such licensee 21 is located. Any licensee who elects to operate his place of 22 business in accordance with daylight saving time shall post a 23 conspicuous notice in his place of business that he is operating 24 in accordance with daylight saving time. 25 (6) Notwithstanding any provisions to the contrary, whenever 26 the thirty-first day of December falls on a Sunday, every hotel 27 or restaurant liquor licensee, their servants, agents or 28 employes may sell liquor and malt or brewed beverages on any 29 such day after one o'clock postmeridian and until two o'clock 30 antemeridian of the following day. 19810H2088B3759 - 4 -
1 * * * 2 Section 3. The act is amended by adding sections to read: 3 Section 406.1. Secondary Service Area.--Upon application of 4 any restaurant, hotel, club or municipal golf course liquor 5 licensee, and payment of the appropriate fee, the board may 6 approve a secondary service area by extending the licensed 7 premises to include one additional permanent structure with 8 dimensions of at least one hundred seventy-five square feet, 9 enclosed on three sides and having adequate seating. Such 10 secondary service area must be located on property having a 11 minimum area of one (1) acre, and must be on land which is 12 immediate, abutting, adjacent or contiguous to the licensed 13 premises with no intervening public thoroughfare. There shall be 14 no requirement that the secondary service area be physically 15 connected to the original licensed premises. Notwithstanding 40 16 Pa. Code § 7.21(c)(3), the licensee shall be permitted to store, 17 serve, sell or dispense food, liquor and malt or brewed 18 beverages at the board approved secondary service area. 19 Section 408.8. Trade Shows and Convention Licenses; Cities 20 of the Third Class.--(a) The board is authorized to issue a 21 restaurant liquor license to a nonprofit corporation or to a 22 concessionaire selected by such nonprofit corporation in any 23 city of the third class for the retail sale of liquor and malt 24 or brewed beverages by the glass, open bottles or other 25 container or in any mixture for consumption on any city-owned 26 premises customarily used or available for use for trade shows 27 and conventions with a capacity within the premises for one 28 thousand people or more: Provided, however, That no sale or 29 consumption of such beverages shall take place on any portions 30 of such premises other than service areas approved by the board. 19810H2088B3759 - 5 -
1 (b) An application for the issuance may be filed at any time 2 by a nonprofit corporation operating such a facility for trade 3 shows or conventions or by a concessionaire selected by such 4 nonprofit corporation. Any such license granted under these 5 provisions need not conform to the requirements of the act 6 relating to restaurant liquor licenses, except as provided 7 herein. Applicant shall submit such other information as the 8 board may require. Applications shall be in writing on forms 9 prescribed by the board and shall be signed and submitted to the 10 board by the applicant. The filing fee which shall accompany the 11 license application shall be thirty dollars ($30). 12 (c) Upon receipt of the application in proper form and the 13 application fee and upon being satisfied that the applicant is 14 of good repute and financially responsible and that the proposed 15 place of business is proper, the board shall issue the 16 restaurant liquor license for the trade show or convention 17 facility. 18 (d) The license shall be issued for the same period of time 19 as provided for restaurant licenses and shall be renewed as 20 provided in section 402. The license shall terminate upon 21 revocation by the board or upon termination and nonrenewal of 22 the contract between the concessionaire and such nonprofit 23 corporation. 24 (e) The annual fee for a trade show or convention facility 25 shall be as provided in section 405 and shall accompany the 26 application for the license. Whenever and if a concessionaire's 27 contract terminates and is not renewed the license shall be 28 returned to the board for cancellation but the board may issue a 29 restaurant liquor license to a subsequent application. 30 (f) The penal sum of the bond which shall be filed by an 19810H2088B3759 - 6 -
1 applicant for a trade show or convention facility pursuant to 2 section 465 shall be two thousand dollars ($2,000). 3 (g) Sales by the holder of a trade show or convention 4 facility license may be made except to those persons prohibited 5 under clause (1) of section 493 on board-approved service areas 6 of the premises of such a facility for trade shows or 7 conventions during the hours in which the trade show or 8 convention is being held and up to one hour before the scheduled 9 opening and one hour after the scheduled closing, but such sales 10 may not be made beyond the hours expressed in the code for the 11 sale of liquor and malt or brewed beverages by restaurant 12 licensees: Provided, however, That such sales may be made on 13 Sunday between the hours of one o'clock postmeridian and ten 14 o'clock postmeridian, irrespective of the volume of food sales. 15 (h) Whenever a contract with a concessionaire is terminated 16 prior to the expiration date provided in the contract between 17 such nonprofit corporation and the concessionaire and is not 18 renewed, such nonprofit corporation may apply to the board for 19 the issuance of a restaurant liquor license or may select and 20 certify to the board a different concessionaire which 21 concessionaire shall apply to the board for issuance of a 22 restaurant liquor license. If the applicant meets the 23 requirements of the board as herein provided, the issuance shall 24 thereupon occur. If any such trade show or convention license is 25 revoked, the board shall issue a new license to any qualified 26 applicant without regard to the prohibition in section 471, 27 against the grant of a license at the same premises for a period 28 of at least one year. 29 (i) Licenses issued under the provisions of this section 30 shall not be subject to the quota restrictions of section 461. 19810H2088B3759 - 7 -
1 (j) Trade show or convention licenses shall not be subject 2 to the provisions of section 404 except insofar as they relate 3 to the reputation of the applicant not to the provisions of 4 sections 461 and 463, nor to the provisions of clause (10) of 5 section 493. 6 (k) Sales under such licenses (including food sales) may be 7 limited by the licensee to patrons of the events scheduled in 8 the facility for trade shows or conventions. Provided food is 9 offered for sale when sales are made under the license, such 10 food may be catered from off the premises. 11 Section 4. Subsection (a) of section 461 of the act, amended 12 December 12, 1980 (P.L.1195, No.221), is amended and subsections 13 are added to read: 14 Section 461. Limiting Number of Retail Licenses To Be Issued 15 In Each Municipality.--(a) No licenses shall hereafter be 16 granted by the board for the retail sale of malt or brewed 17 beverages or the retail sale of liquor and malt or brewed 18 beverages in excess of one of such licenses of any class for 19 each two thousand inhabitants in any municipality, exclusive of 20 licenses granted to airport restaurants, municipal golf courses, 21 [and] hotels, privately-owned public golf courses, as defined in 22 this section, and clubs; but at least one such license may be 23 granted in each municipality and in each part of a municipality 24 where such municipality is split so that each part thereof is 25 separated by another municipality, except in municipalities 26 where the electors have voted against the granting of any retail 27 licenses and except in that part of a split municipality where 28 the electors have voted against the granting of any retail 29 licenses. Nothing contained in this section shall be construed 30 as denying the right to the board to renew or to transfer 19810H2088B3759 - 8 -
1 existing retail licenses of any class notwithstanding that the 2 number of such licensed places in a municipality shall exceed 3 the limitation hereinbefore prescribed; but where such number 4 exceeds the limitation prescribed by this section, no new 5 license, except for hotels, municipal golf courses, [and] 6 airport restaurants, privately-owned public golf courses and 7 privately-owned private golf course licensees, as defined in 8 this section, shall be granted so long as said limitation is 9 exceeded. 10 * * * 11 (e.1) "Privately-owned public golf course," as used in this 12 section shall mean the restaurant facilities at any privately- 13 owned golf course open for public accommodation. 14 (f) The provisions of subsection (a) which apply to 15 privately-owned public golf courses shall not apply to the owner 16 of such course who has, within three years prior to the 17 effective date of this amendatory act or at any time after the 18 effective date of this amendatory act, sold or transferred a 19 regularly issued license for such course. 20 Section 5. Section 505.2 of the act, amended March 27, 1972 21 (P.L.153, No.57), is amended to read: 22 Section 505.2. Limited Wineries.--Holders of a limited 23 winery license may: 24 (1) Produce wines only from fruits grown in Pennsylvania in 25 an amount not to exceed one hundred thousand (100,000) gallons 26 per year. 27 (2) Sell wine produced by the limited winery or purchased in 28 bulk in bond from another Pennsylvania limited winery on the 29 licensed premises, under such conditions and regulations as the 30 board may enforce, to the Liquor Control Board, to individuals 19810H2088B3759 - 9 -
1 and to hotel, restaurant, club and public service liquor 2 licensees, and to Pennsylvania winery licensees: Provided, That 3 a limited winery shall not, in any calendar year, purchase wine 4 produced by other limited wineries in an amount in excess of 5 fifty per centum of the wine produced by the purchasing limited 6 winery in the preceding calendar year. 7 Section 6. This act shall take effect in 60 days. J26L47RAW/19810H2088B3759 - 10 -