PRIOR PRINTER'S NOS. 1821, 2366, 2405 PRINTER'S NO. 2412
No. 1365 Session of 2002
INTRODUCED BY CONTI, BODACK, THOMPSON AND TARTAGLIONE, MARCH 20, 2002
AS AMENDED ON THIRD CONSIDERATION, NOVEMBER 20, 2002
AN ACT 1 Amending the act of April 12, 1951 (P.L.90, No.21), entitled, as 2 reenacted, "An act relating to alcoholic liquors, alcohol and 3 malt and brewed beverages; amending, revising, consolidating 4 and 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 laws," 17 defining "arts council," "eligible entity" and "pecuniary 18 interest"; and further providing for the definitions of 19 "eating place" and "restaurant," for bonds required of 20 members and secretary, for board and enforcement bureau 21 subject to State ethics and adverse interest acts, for <-- 22 restrictions on members of the board and on certain employees 23 of the Commonwealth for wine marketing, FOR WHEN SALES MAY BE <-- 24 MADE AT PENNSYLVANIA LIQUOR STORES, for sales by Pennsylvania 25 liquor stores, for authority to issue liquor licenses to <-- 26 hotels, restaurants and clubs, for applications for hotel, 27 restaurant and club liquor licenses, for issuance of hotel, 28 restaurant and club liquor licenses, for sales by liquor 29 licensees, for secondary service area, for special occasion 30 permits, for sacramental wine licenses, for liquor importers' 31 licenses, for malt and brewed beverages (excluding 32 manufacturers), for malt and brewed beverages retail 33 licenses, for application for distributors', importing
1 distributors' and retail dispensers' licenses, for 2 prohibitions against the grant of licenses, for retail 3 dispensers' restrictions on purchases and sales, for hearings 4 upon refusal of licenses, renewals or transfers, for renewal 5 of licenses, for revocation and suspension of licenses, for 6 local option and for exchange of certain licenses; providing 7 for surrender of restaurant, eating place retail dispenser, 8 hotel, importing distributor and distributor license for 9 benefit of licensee; further providing for renewal of 10 amusement permit, for unlawful acts relative to liquor, 11 alcohol and liquor licensees, for unlawful acts relative to 12 malt or brewed beverages and licensees, for unlawful acts 13 relative to liquor, malt and brewed beverages and licensees, 14 for unlawful advertising, for limited wineries, for <-- 15 distilleries and for business hours. 16 The General Assembly of the Commonwealth of Pennsylvania 17 hereby enacts as follows: 18 Section 1. The definitions of "eating place" and 19 "restaurant" in section 102 of the act of April 12, 1951 20 (P.L.90, No.21), known as the Liquor Code, reenacted and amended 21 June 29, 1987 (P.L.32, No.14), and amended February 21, 2002 22 (P.L.103, No.10), are amended and the section is amended by 23 adding definitions to read: 24 Section 102. Definitions.--The following words or phrases, 25 unless the context clearly indicates otherwise, shall have the 26 meanings ascribed to them in this section: 27 * * * 28 "Arts council" shall mean a tax-exempt organization which 29 promotes the visual arts, performing arts, or both, and which 30 receives funding under the Local Arts Services Program 31 administered by the Pennsylvania Council of the Arts. 32 * * * 33 "Eating place" shall mean a premise where food is regularly 34 and customarily prepared and sold, having a total area of not 35 less than three hundred square feet available to the public in 36 one or more rooms, other than living quarters, and equipped with 37 tables and chairs, including bar seats, accommodating thirty 20020S1365B2412 - 2 -
1 persons at one time. The board shall, by regulation, set forth 2 what constitutes tables and chairs sufficient to accommodate 3 thirty persons at one time. 4 "Eligible entity" shall mean a city of the third class, a 5 hospital, a church, a synagogue, a volunteer fire company, a 6 volunteer ambulance company, a volunteer rescue squad, a unit of 7 a nationally chartered club which has been issued a club liquor 8 license, a library, a nationally accredited Pennsylvania 9 nonprofit zoological institution licensed by the United States 10 Department of Agriculture, a nonprofit agricultural association 11 in existence for at least ten years, a bona fide sportsmen's 12 club in existence for at least ten years, a nationally chartered 13 veterans' organization and any affiliated lodge or subdivision 14 of such organization, a fraternal benefit society that is 15 licensed to do business in this Commonwealth and any affiliated 16 lodge or subdivision of such fraternal benefit society, a museum 17 operated by a nonprofit corporation in a city of the third class 18 or township of the first class, a nonprofit corporation engaged 19 in the performing arts in a city of the third class or in an 20 incorporated town, an arts council, a nonprofit corporation that 21 operates an arts facility or museum in a city of the third class 22 in the county of the fourth class, a nonprofit organization as 23 defined under section 501(c)(3) of the Internal Revenue Code of 24 1986 (Public Law 99-514, 26 U.S.C. § 501(c)(3)) whose purpose is 25 to protect the architectural heritage of boroughs and which has 26 been recognized as such by a municipal resolution, or a 27 nonprofit organization as defined under section 501(c)(3) of the 28 Internal Revenue Code of 1986 (Public Law 99-514, 26 U.S.C. § 29 501(c)(3)) conducting a regatta in a city of the second class 30 with the permit to be used on State park grounds or conducting a 20020S1365B2412 - 3 -
1 family-oriented celebration as part of Welcome America in a city 2 of the first class on property leased from that city for more 3 than fifty years. 4 * * * 5 "Restaurant" shall mean a reputable place operated by 6 responsible persons of good reputation and habitually and 7 principally used for the purpose of providing food for the 8 public, the place to have an area within a building of not less 9 than four hundred square feet, equipped with tables and chairs, 10 including bar seats, accommodating at least thirty persons at 11 one time. The board shall, by regulation, set forth what 12 constitutes tables and chairs sufficient to accommodate thirty 13 persons at one time. 14 * * * 15 "Tract" shall mean a contiguous expanse of land under the 16 control of one person. 17 Section 3. Sections 205 and 206.1(a) and (b) of the act are 18 amended to read: 19 [Section 205. Bonds Required of Members and Secretary.-- 20 Before entering upon the duties of their respective offices or 21 positions, each member of the board and the secretary shall 22 execute and file with the State Treasurer a bond in such penal 23 sum as shall be fixed by the Executive Board of this 24 Commonwealth upon recommendation of the Governor, but the amount 25 of any such bond shall not be less than ten thousand dollars 26 ($10,000). Bonds in such penal sums as shall be fixed by the 27 Executive Board likewise shall be executed and filed with the 28 State Treasurer by such employes of the board as the head of 29 such board shall, with the approval of the Executive Board, 30 prescribe. Such bonds shall be payable to the Commonwealth of 20020S1365B2412 - 4 -
1 Pennsylvania and shall be conditioned for the faithful 2 performance of the members', secretary's or employes' duties 3 imposed by law or by lawful authority and that the person bonded 4 will not knowingly violate the provisions of this act. All bonds 5 required to be given under this section shall, before being 6 accepted by the State Treasurer, be approved by the Attorney 7 General, and unless the Commonwealth shall establish its own 8 indemnity fund, all such bonds shall be given with security 9 approved by the Attorney General. If the Commonwealth shall 10 establish its own indemnity fund, the Executive Board may, 11 nevertheless, require any bond given hereunder to be executed by 12 a surety or sureties satisfactory to the Attorney General. The 13 cost of such bonds required to be executed by a surety or 14 sureties shall be borne by the board as part of its operating 15 expense.] 16 Section 206.1. Board and Enforcement Bureau Subject to State 17 Ethics and Adverse Interest Acts.--(a) Except to the extent 18 that the penalties provided in section 210 of this act for 19 violations are more stringent, the board, its members and all of 20 its employes and employes of the enforcement bureau shall be 21 subject to the act of October 4, 1978 (P.L.883, No.170), 22 referred to as the Public Official and Employee Ethics Law, and 23 the act of July 19, 1957 (P.L.1017, No.451), known as the "State 24 Adverse Interest Act." 25 (b) Membership on the board and employment or continued 26 employment as an employe of the board or enforcement bureau is 27 conditioned upon compliance with all of the provisions of the 28 acts specified in subsection (a), including, but not limited to, 29 the filing of statements of financial interests required by 30 section 5 of the Public Official and Employee Ethics Law. 20020S1365B2412 - 5 -
1 Acceptance or retention of employment shall be deemed as 2 voluntary consent to submit to the financial reporting 3 requirements of the Public Official and Employee Ethics Law as a 4 condition of employment. Failure to timely comply with the 5 requirements shall result in immediate termination of 6 employment. Both the board and the enforcement bureau are 7 subject to the provisions of 65 Pa.C.S. Ch. 11 (relating to 8 ethics standards and financial disclosure). 9 Section 4. Section 210 of the act, amended December 21, 1988 <-- 10 (P.L.1879, No.183), is amended to read: 11 [Section 210. Restrictions on Members of the Board and 12 Certain Employes of Commonwealth.--(a) A member or employe of 13 the board or enforcement bureau or a member of the immediate 14 family of a member or employe of the board or enforcement bureau 15 shall not be directly or indirectly interested or engaged in any 16 other business or undertaking within the Commonwealth dealing in 17 liquor, alcohol, or malt or brewed beverages, whether as owner, 18 part owner, partner, member of syndicate, holder of stock 19 exceeding five percent (5%) of the equity at fair market value 20 of the business, independent contractor or manager of a licensed 21 establishment required under 40 Pa. Code § 5.23 (relating to 22 appointment of managers), and whether for his own benefit or in 23 a fiduciary capacity for some other person. For the purpose of 24 this subsection only, "employe of the board or Enforcement 25 Bureau" shall mean any individual employed by the board or 26 Enforcement Bureau who is responsible for taking or recommending 27 official action of a nonministerial nature with regard to: 28 (1) contracting or procurement; 29 (2) administering or monitoring grants or subsidies; 30 (3) planning or zoning; 20020S1365B2412 - 6 -
1 (4) inspecting, licensing, regulating or auditing any 2 person; or 3 (5) any other activity where the official action has an 4 economic impact of greater than a de minimis nature on the 5 interests of any person. 6 (b) No member or employe of the board or enforcement bureau 7 or a member of the immediate family of a member or employe of 8 the board or enforcement bureau nor any employe of the 9 Commonwealth shall solicit or receive, directly or indirectly, 10 any commission, remuneration or gift whatsoever, from any person 11 having sold, selling or offering liquor or alcohol for sale to 12 the board for use in Pennsylvania Liquor Stores. 13 (c) No person convicted of an infamous crime may be employed 14 as a member or employe by the board or enforcement bureau. 15 (d) No member or employe of the board or enforcement bureau 16 may use his position with the board or enforcement bureau, or 17 any confidential information received through his position with 18 the board or enforcement bureau, to obtain financial gain, other 19 than compensation provided by law, for himself, a member of his 20 immediate family or a business with which he is associated. 21 (e) No person may offer or give to a member or employe of 22 the board or enforcement bureau or a member of his immediate 23 family or a business with which he is associated, and no member 24 or employe of the board or enforcement bureau may solicit or 25 accept anything of value, including a gift, loan, political 26 contribution, reward or promise of future employment, based on 27 an understanding that the vote, official action or judgment of 28 the member or employe of the board or enforcement bureau would 29 be influenced thereby. 30 (f) No member or employe of the board or enforcement bureau 20020S1365B2412 - 7 -
1 or a member of his immediate family or any business in which the 2 member or employe or a member of his immediate family is a 3 director, officer or owner or holder of stock exceeding five 4 percent (5%) of the equity at fair market value of the business 5 may enter into any contract valued at five hundred dollars 6 ($500) or more to provide goods or services to the board or 7 enforcement bureau unless the contract has been awarded to the 8 lowest responsible bidder through an open and public process, 9 including prior public notice and subsequent public disclosure 10 of all proposals considered and contracts awarded. 11 (g) No former member or employe of the board or enforcement 12 bureau may represent a person, with or without compensation, on 13 any matter before the board or enforcement bureau for one year 14 after leaving the board or enforcement bureau. 15 (h) No member or employe of the board or enforcement bureau 16 or an advisor or consultant thereto having recommended to the 17 board or enforcement bureau either the making of a contract or a 18 course of action of which the making of a contract is an express 19 or implied part, may, at any time thereafter, have an adverse 20 interest in that contract. 21 (i) No member or employe of the board or enforcement bureau 22 may influence or attempt to influence the making of, or 23 supervise or deal with, a contract with the board or enforcement 24 bureau in which he has an adverse interest. 25 (j) No member or employe of the board or enforcement bureau 26 may have an adverse interest in a contract with the board or 27 enforcement bureau. 28 (k) No person having an adverse interest in a contract with 29 the board or enforcement bureau may become an employe of the 30 board or enforcement bureau until the adverse interest has been 20020S1365B2412 - 8 -
1 wholly divested. 2 (l) No member or employe of the board or enforcement bureau, 3 except in the performance of his duties as such employe, may, 4 for remuneration, directly or indirectly, represent a person 5 upon a matter pending before the board or enforcement bureau. 6 (m) (1) Any person who violates the provisions of this 7 section shall have his employment by the board or enforcement 8 bureau immediately terminated by the appropriate person having 9 the power to terminate and shall be liable to the board or 10 enforcement bureau to reimburse the board or enforcement bureau 11 for all compensation received by him from the board or 12 enforcement bureau while employed in violation of subsection 13 (c). 14 (2) Any person who violates the provisions of subsections 15 (b), (d) or (e) shall be guilty of a felony and, upon conviction 16 thereof, shall be sentenced to pay a fine of not more than ten 17 thousand dollars ($10,000) or to undergo imprisonment for not 18 more than five (5) years, or both. 19 (3) Any person who violates the provisions of subsections 20 (a) or (f) through (l) shall be guilty of a misdemeanor and, 21 upon conviction thereof, shall be sentenced to pay a fine of not 22 more than one thousand dollars ($1,000) or to undergo 23 imprisonment for not more than one (1) year, or both. 24 (4) Any person who obtains financial gain from violating any 25 provisions of this section, in addition to any other penalty 26 provided by law, shall pay into the accounts of the board a sum 27 of money equal to three (3) times the financial gain resulting 28 from the violation. 29 (5) Any person who violates the provisions of this section 30 shall be barred for a period of five (5) years from engaging in 20020S1365B2412 - 9 -
1 any business or contract with the board or enforcement bureau. 2 (6) The penalties and sanctions provided by this subsection 3 shall supersede any similar penalties and sanctions provided by 4 the act of July 19, 1957 (P.L.1017, No.451), known as the "State 5 Adverse Interest Act," and the act of October 4, 1978 (P.L.883, 6 No.170), referred to as the Public Official and Employee Ethics 7 Law. 8 (n) As used in this section, the following words and phrases 9 shall have the meanings given to them in this subsection: 10 "Business" shall mean a corporation, partnership, sole 11 proprietorship, firm, enterprise, franchise, association, 12 organization, self-employed individual, holding company, joint- 13 stock company, receivership, trust or legal entity organized for 14 profit or as a not-for-profit corporation or organization. 15 "Immediate family" shall mean a spouse residing in the 16 person's household and minor dependent children. 17 "Infamous crime" shall mean a violation and conviction for an 18 offense which would disqualify an individual from holding public 19 office pursuant to section 6 of Article II of the Constitution 20 of Pennsylvania; a conviction within the preceding ten (10) 21 years for a violation of this section or of 18 Pa.C.S. § 4113 22 (relating to misapplication of entrusted property and property 23 of government or financial institutions), Ch. 47 (relating to 24 bribery and corrupt influence), Ch. 49 (relating to 25 falsification and intimidation), Ch. 51 (relating to obstructing 26 governmental operations) or Ch. 53 (relating to abuse of 27 office); or a violation of the laws of this Commonwealth or 28 another state or the Federal Government for which an individual 29 has been convicted within the preceding ten (10) years and which 30 is classified as a felony.] 20020S1365B2412 - 10 -
1 Section 5. Sections 215(c) and (d) and 305(d) and (h) of the 2 SECTION 4. SECTIONS 215(C) AND (D), 304 AND 305(D) AND (H) <-- 3 OF THE act are amended to read: 4 Section 215. Wine Marketing.--* * * 5 [(c) The board shall establish that at least five per centum 6 of all State stores within a metropolitan area are wine 7 specialty stores, at which premium wine shall be sold. These 8 stores shall not sell any distilled product. The board may 9 establish the wine specialty stores in locations which provide 10 the greatest customer traffic and the greatest gross profit to 11 the board. These locations may include established retail 12 establishments. Board employes shall staff these locations. The 13 board shall have the option of closing stores which are 14 unprofitable for two consecutive fiscal years.] 15 (d) [(1) The term "metropolitan area," as used in this 16 section, shall mean any one county or any combination of two, 17 three or four counties contiguous and adjacent with a total 18 population of fifty thousand or more.] 19 (2) The term "wine," as used in this section, shall mean 20 liquor which is fermented from grapes and other fruits, having 21 alcoholic content of twenty-four per centum or less. The term 22 "wine" shall not include malt or brewed beverages, nor shall 23 wine include any products containing alcohol derived from malt, 24 grain, cereal, molasses or cactus. 25 SECTION 304. WHEN SALES MAY BE MADE AT PENNSYLVANIA LIQUOR <-- 26 STORES.--[EVERY] (A) EXCEPT AS PROVIDED FOR IN SUBSECTION (B), 27 EVERY PENNSYLVANIA LIQUOR STORE SHALL BE OPEN FOR BUSINESS WEEK 28 DAYS, EXCEPT LEGAL HOLIDAYS OR ANY DAY ON WHICH A GENERAL, 29 MUNICIPAL, SPECIAL OR PRIMARY ELECTION IS BEING HELD, DURING 30 SUCH HOURS AS THE BOARD, IN ITS DISCRETION, SHALL DETERMINE: 20020S1365B2412 - 11 -
1 PROVIDED, THAT THE PENNSYLVANIA LIQUOR STORES IN THE CASE OF A 2 SPECIAL ELECTION FOR MEMBERS OF THE GENERAL ASSEMBLY OR MEMBERS 3 OF THE CONGRESS OF THE UNITED STATES, WHEN SUCH SPECIAL ELECTION 4 IS HELD ON OTHER THAN A PRIMARY, MUNICIPAL OR GENERAL ELECTION 5 DAY, SHALL BE OPEN IN THOSE LEGISLATIVE OR CONGRESSIONAL 6 DISTRICTS AS THOUGH THE DAY WERE NOT A SPECIAL ELECTION DAY. THE 7 BOARD MAY, WITH THE APPROVAL OF THE GOVERNOR, TEMPORARILY CLOSE 8 ANY STORE IN ANY MUNICIPALITY. 9 (B) CERTAIN PENNSYLVANIA LIQUOR STORES OPERATED BY THE BOARD 10 SHALL BE OPEN FOR SUNDAY RETAIL SALES BETWEEN THE HOURS OF NOON 11 AND FIVE O'CLOCK POSTMERIDIAN, EXCEPT THAT NO SUNDAY SALES SHALL 12 OCCUR ON EASTER SUNDAY OR CHRISTMAS DAY. FOR A TWO-YEAR TIME 13 PERIOD FOLLOWING THE EFFECTIVE DATE OF THIS SUBSECTION, THE 14 BOARD SHALL OPEN UP TO TEN PER CENTUM OF THE TOTAL NUMBER OF 15 PENNSYLVANIA LIQUOR STORES AT ITS DISCRETION FOR SUNDAY SALES AS 16 PROVIDED FOR IN THIS SUBSECTION. AT THE EXPIRATION OF THE TWO- 17 YEAR TIME PERIOD, THE BOARD SHALL CONDUCT A REVIEW AND DETERMINE 18 WHETHER THE STORES SHALL BE CLOSED OR WHETHER ADDITIONAL STORES 19 SHALL BE OPENED FOR THESE SUNDAY SALES. THE BOARD SHALL SUBMIT 20 YEARLY REPORTS TO THE APPROPRIATIONS AND THE LAW AND JUSTICE 21 COMMITTEES OF THE SENATE AND THE APPROPRIATIONS AND THE LIQUOR 22 CONTROL COMMITTEES OF THE HOUSE OF REPRESENTATIVES SUMMARIZING 23 THE TOTAL DOLLAR VALUE OF SALES UNDER THIS SECTION. 24 Section 305. Sales by Pennsylvania Liquor Stores.--* * * 25 (d) No liquor or alcohol package shall be opened on the 26 premises of a Pennsylvania Liquor Store. No manager or other 27 employe of the board employed in a Pennsylvania Liquor Store 28 shall allow any liquor or alcohol to be consumed on the store 29 premises, nor shall any person consume any liquor or alcohol on 30 such premises, except liquor and alcohol which is part of a 20020S1365B2412 - 12 -
1 tasting conducted pursuant to the board's regulations. 2 * * * 3 (h) Every Pennsylvania Liquor Store shall sell gift 4 certificates which may be redeemed for liquor. In addition, the 5 board may sell corkscrews and wine sleeves at Pennsylvania 6 liquor stores. 7 Section 7. Section 401 of the act is amended to read: <-- 8 Section 401. Authority to Issue Liquor Licenses to Hotels, 9 Restaurants and Clubs.--(a) Subject to the provisions of this 10 act and regulations promulgated under this act, the board shall 11 have authority to issue a retail liquor license for any premises 12 kept or operated by a hotel, restaurant or club and specified in 13 the license entitling the hotel, restaurant or club to purchase 14 liquor from a Pennsylvania Liquor Store and to keep on the 15 premises such liquor and, subject to the provisions of this act 16 and the regulations made thereunder, to sell the same and also 17 malt or brewed beverages to guests, patrons or members for 18 consumption on the hotel, restaurant or club premises. Such 19 licensees, other than clubs, shall be permitted to sell malt or 20 brewed beverages for consumption off the premises where sold in 21 quantities of not more than one hundred ninety-two fluid ounces 22 in a single sale to one person. Such licenses shall be known as 23 hotel liquor licenses, restaurant liquor licenses and club 24 liquor licenses, respectively. [No person who holds, either by 25 appointment or election, any public office which involves the 26 duty to enforce any of the penal laws of the United States of 27 America or the penal laws of the Commonwealth of Pennsylvania or 28 any penal ordinance or resolution of any political subdivision 29 of this Commonwealth shall be issued any hotel or restaurant 30 liquor license, nor shall such a person have any interest, 20020S1365B2412 - 13 -
1 directly or indirectly, in any such license.] No person who 2 holds any office which involves the duty to enforce any of the 3 penal laws of the United States of America, this Commonwealth or 4 of any political subdivision of this Commonwealth shall have any 5 interest in any hotel or restaurant liquor license. This 6 prohibition applies to anyone with arrest authority, including, 7 but not limited to, police officers, sheriffs, district 8 attorneys, state attorneys general and United States attorneys. 9 This prohibition shall also apply to district justices, judges 10 or any other individuals who can impose a criminal sentence. 11 This prohibition does not apply to members of the legislature, 12 township supervisors, city councilpersons, mayors without arrest 13 authority and any other office that does not involve the ability 14 to arrest or the ability to impose a criminal sentence. This 15 prohibition does not apply if the proposed premises are located 16 outside the jurisdiction of the individual in question. 17 (b) The board may issue to any club which caters to groups 18 of non-members, either privately or for functions, a catering 19 license, and the board shall, by its rules and regulations, 20 define what constitutes catering under this subsection except 21 that any club which is issued a catering license shall not be 22 prohibited from catering on Sundays during the hours which the 23 club may lawfully serve liquor, malt or brewed beverages. 24 Section 8 5. Section 403(a) and (g) of the act, amended <-- 25 February 21, 2002 (P.L.103, No.10), are amended to read: 26 Section 403. Applications for Hotel, Restaurant and Club 27 Liquor Licenses.--(a) Every applicant for a hotel liquor 28 license, restaurant liquor license or club liquor license or for 29 the transfer of an existing license to another premises not then 30 licensed or to another person shall file a written application 20020S1365B2412 - 14 -
1 with the board in such form and containing such information as 2 the board shall from time to time prescribe, which shall be 3 accompanied by a filing fee and an annual license fee as 4 prescribed in section 614-A of the act of April 9, 1929 5 (P.L.177, No.175), known as "The Administrative Code of 1929." 6 Every such application shall contain a description of that part 7 of the hotel, restaurant or club for which the applicant desires 8 a license and shall set forth such other material information, 9 description or plan of that part of the hotel, restaurant or 10 club where it is proposed to keep and sell liquor as may be 11 required by the regulations of the board. The descriptions, 12 information and plans referred to in this subsection shall show 13 the hotel, restaurant, club, or the proposed location for the 14 construction of a hotel, restaurant or club, at the time the 15 application is made, and shall show any alterations proposed to 16 be made thereto, or the new building proposed to be constructed 17 after the approval by the board of the application for a license 18 or for the transfer of an existing license to another premises 19 not then licensed or to another person. No physical alterations, 20 improvements or changes shall be required to be made to any 21 hotel, restaurant or club, nor shall any new building for any 22 such purpose, be required to be constructed until approval of 23 the application for license or for the transfer of an existing 24 license to another premises not then licensed or to another 25 person by the board. After approval of the application, the 26 licensee shall make the physical alterations, improvements and 27 changes to the licensed premises, or shall construct the new 28 building in the manner specified by the board at the time of 29 approval, and the licensee shall not transact any business under 30 the license until the board has approved the completed physical 20020S1365B2412 - 15 -
1 alterations, improvements and changes to the licensed premises, 2 or the completed construction of the new building as conforming 3 to the specifications required by the board at the time of 4 issuance or transfer of the license, and is satisfied that the 5 establishment is a restaurant, hotel or club as defined by this 6 act. The board may require that all such alterations or 7 construction or conformity to definition be completed within six 8 months from the time of issuance or transfer of the license. 9 Failure to comply with these requirements shall be considered 10 cause for revocation of the license. No such license shall be 11 transferable between the time of issuance or transfer of the 12 license and the approval of the completed alterations or 13 construction by the board and full compliance by the licensee 14 with the requirements of this act, except in the case of death 15 of the licensee prior to full compliance with all of the 16 aforementioned requirements[,] or unless full compliance is 17 impossible for reasons beyond the licensee's control, in which 18 event, the license may be transferred by the board as provided 19 in this act. 20 * * * 21 (g) Every applicant for a new license or for the transfer of 22 an existing license shall post, for a period of at least 23 [fifteen] thirty days beginning with the day the application is 24 filed with the board, in a conspicuous place on the outside of 25 the premises or at the proposed new location for which the 26 license is applied, a notice of such application[,]. The notice 27 shall indicate whether the applicant is applying for the 28 amusement permit required by section 493(10). The notice shall 29 be in such form, be of such size, and [containing] contain such 30 provisions as the board may require by its regulations. Proof of 20020S1365B2412 - 16 -
1 the posting of such notice shall be filed with the board. The
2 posting requirement imposed by this subsection shall not apply
3 to license applications submitted for public venues.
4 * * *
5 Section 9 6. Section 404 of the act, amended December 20, <--
6 2000 (P.L.992, No.141), is amended to read:
7 Section 404. Issuance of Hotel, Restaurant and Club Liquor
8 Licenses.--Upon receipt of the application and the proper fees,
9 and upon being satisfied of the truth of the statements in the
10 application that the applicant is the only person in any manner
11 pecuniarily interested in the business so asked to be licensed
12 and that no other person will be in any manner pecuniarily
13 interested therein during the continuance of the license, except
14 as hereinafter permitted, and that the applicant is a person of
15 good repute, that the premises applied for meet all the
16 requirements of this act and the regulations of the board, that
17 the applicant seeks a license for a hotel, restaurant or club,
18 as defined in this act, and that the issuance of such license is
19 not prohibited by any of the provisions of this act, the board
20 shall, in the case of a hotel or restaurant, grant and issue to
21 the applicant a liquor license, and in the case of a club may,
22 in its discretion, issue or refuse a license: Provided, however,
23 That in the case of any new license or the transfer of any
24 license to a new location the board may, in its discretion,
25 grant or refuse such new license or transfer if such place
26 proposed to be licensed is within three hundred feet of any
27 church, hospital, charitable institution, school, or public
28 playground, or if such new license or transfer is applied for a
29 place which is within two hundred feet of any other premises
30 which is licensed by the board: And provided further, That the
20020S1365B2412 - 17 -
1 board's authority to refuse to grant a license because of its 2 proximity to a church, hospital, charitable institution, public 3 playground or other licensed premises shall not be applicable to 4 license applications submitted for public venues or performing 5 arts facilities: And provided further, That the board shall 6 refuse any application for a new license or the transfer of any 7 license to a new location if, in the board's opinion, such new 8 license or transfer would be detrimental to the welfare, health, 9 peace and morals of the inhabitants of the neighborhood within a 10 radius of five hundred feet of the place proposed to be 11 licensed: [And provided further, That prior to July 1, 1996, in 12 any license district in a city of the first class, the board 13 may, in its opinion, refuse any application for a new license or 14 for any person-to-person transfer which shall include a change 15 in stockholders involving ten per centum or more of all 16 outstanding voting stock and/or less than ten per centum of all 17 outstanding voting stock when such change involves a majority or 18 controlling interest, of any license if the licensed premises is 19 or would be within three hundred feet of any church, hospital, 20 charitable institution, school or public playground or within 21 two hundred feet of any other premises licensed by the board and 22 if, in the opinion of the board, the licensed premises is or 23 would be detrimental to the welfare, health, peace and morals of 24 such church, hospital, school, public playground and/or the 25 inhabitants of the neighborhood within a radius of five hundred 26 feet of the licensed premises. This authority to refuse a 27 person-to-person transfer in a city of the first class is in 28 addition to and not in derogation of the authority of the board 29 generally stated for all areas of this Commonwealth:] And 30 provided further, That the board shall have the discretion to 20020S1365B2412 - 18 -
1 refuse a license to any person or to any corporation, 2 partnership or association if such person, or any officer or 3 director of such corporation, or any member or partner of such 4 partnership or association shall have been convicted or found 5 guilty of a felony within a period of five years immediately 6 preceding the date of application for the said license. The 7 board shall refuse any application for a new license or the 8 transfer of any license to a location where the sale of liquid 9 fuels or oil is conducted. The board may enter into an agreement 10 with the applicant concerning additional restrictions on the 11 license in question. If the board and the applicant enter into 12 such an agreement, such agreement shall be binding on the 13 applicant. Failure by the applicant to adhere to the agreement 14 will be sufficient cause to form the basis for a citation under 15 section 471 and for the nonrenewal of the license under section 16 470. If the board enters into an agreement with an applicant 17 concerning additional restrictions, those restrictions shall be 18 binding on subsequent holders of the license until the license 19 is transferred to a new location or until the board enters into 20 a subsequent agreement removing those restrictions. If the 21 application in question involves a location previously licensed 22 by the board, then any restrictions imposed by the board on the 23 previous license at that location shall be binding on the 24 applicant unless the board enters into a new agreement 25 rescinding those restrictions. The board may, in its discretion, 26 refuse an application for an economic development license under 27 section 461(b.1) or an application for an intermunicipal 28 transfer of a license if the board receives a protest from the 29 governing body of the receiving municipality. The receiving 30 municipality of an intermunicipal transfer or an economic 20020S1365B2412 - 19 -
1 development license under section 461(b.1) may file a protest 2 against the transfer of a license into its municipality, and the 3 receiving municipality shall have standing in a hearing to 4 present testimony in support of or against the issuance or 5 transfer of a license. Upon any opening in any quota, an 6 application for a new license shall only be filed with the board 7 for a period of six months following said opening. 8 Section 10 7. Section 406(a)(1) of the act, amended November <-- 9 10, 1999 (P.L.514, No.47), is amended and the section is amended 10 by adding a subsection to read: 11 Section 406. Sales by Liquor Licensees; Restrictions.--(a) 12 (1) Every hotel, restaurant or club liquor licensee may sell 13 liquor and malt or brewed beverages by the glass, open bottle or 14 other container, and in any mixture, for consumption only in 15 that part of the hotel or restaurant habitually used for the 16 serving of food to guests or patrons, or in a bowling alley that 17 is immediately adjacent to and under the same roof as a 18 restaurant when no minors are present, unless minors who are 19 present are under proper supervision as defined in section 493, 20 in the bowling alley, and in the case of hotels, to guests, and 21 in the case of clubs, to members, in their private rooms in the 22 hotel or club. No club licensee nor its officers, servants, 23 agents or employes, other than one holding a catering license, 24 shall sell any liquor or malt or brewed beverages to any person 25 except a member of the club. [In the case of a restaurant 26 located in a hotel which is not operated by the owner of the 27 hotel and which is licensed to sell liquor under this act, 28 liquor and malt or brewed beverages may be sold] The holder of a 29 restaurant license located in a hotel may sell liquor or malt or 30 brewed beverages for consumption in that part of the restaurant 20020S1365B2412 - 20 -
1 habitually used for the serving of meals to patrons and also to 2 guests in private guest rooms in the hotel. For the purpose of 3 this paragraph, any person who is an active member of another 4 club which is chartered by the same state or national 5 organization shall have the same rights and privileges as 6 members of the particular club. For the purpose of this 7 paragraph, any person who is an active member of any volunteer 8 firefighting company, association or group of this Commonwealth, 9 whether incorporated or unincorporated, shall upon the approval 10 of any club composed of volunteer firemen licensed under this 11 act, have the same social rights and privileges as members of 12 such licensed club. For the purposes of this paragraph, the term 13 "active member" shall not include a social member. Any club 14 licensee which is either an incorporated unit of a national 15 veterans' organization or an affiliated organization as defined 16 in section 461.1 shall be permitted to sell liquor or malt or 17 brewed beverages to any active member of another unit which is 18 chartered by the same national veterans' organization or to any 19 member of a nationally chartered auxiliary associated with the 20 same national veterans' organization. 21 * * * 22 (e) The holder of a hotel license or the holder of a 23 restaurant license located in a hotel may allow persons to 24 transport liquor or malt or brewed beverages from the licensed 25 portion of the premises to the unlicensed portion of the 26 premises, so long as the liquor or malt or brewed beverages 27 remain on the hotel property. In addition, a holder of a 28 restaurant license located on a golf course may sell, furnish or 29 give liquor or malt or brewed beverages on the unlicensed 30 portion of the golf course so long as the liquor or malt or 20020S1365B2412 - 21 -
1 brewed beverages remain on the restaurant or golf course. The 2 holder of a restaurant license located immediately adjacent to 3 and under the same roof of a bowling center may allow persons to 4 transport liquor or malt or brewed beverages from the licensed 5 portion of the premises to the unlicensed portion of the 6 premises, so long as the liquor or malt or brewed beverages 7 remain within the bowling center. 8 Section 11 8. Section 406.1 of the act, amended July 1, 1994 <-- 9 (P.L.402, No.61),is amended to read: 10 Section 406.1. Secondary Service Area.--(a) Upon 11 application of any restaurant, hotel, club[, any stadium as 12 described in section 408.9 or], municipal golf course liquor 13 licensee or manufacturer of malt or brewed beverages, and 14 payment of the appropriate fee, the board may approve a 15 secondary service area by extending the licensed premises to 16 include one additional permanent structure with dimensions of at 17 least one hundred seventy-five square feet, enclosed on three 18 sides and having adequate seating. Such secondary service area 19 must be located on property having a minimum area of one (1) 20 acre, and must be on land which is immediate, abutting, adjacent 21 or contiguous to the licensed premises with no intervening 22 public thoroughfare, however, the original licensed premises and 23 the secondary service area must be located on the same tract of 24 land. [In any stadium as described in section 408.9, only malt 25 or brewed beverages may be served.] There shall be no 26 requirement that the secondary service area be physically 27 connected to the original licensed premises. In addition, there 28 shall be no requirement that the secondary service area be 29 located in the same municipality as the original licensed 30 premises, provided, however, that the board shall not approve a 20020S1365B2412 - 22 -
1 secondary service area in this case if that secondary service 2 area is located in any municipality where the granting of liquor 3 licenses has been prohibited as provided in this article. 4 Notwithstanding 40 Pa. Code § 7.21(c)(3), the licensee shall be 5 permitted to store, serve, sell or dispense food, liquor and 6 malt or brewed beverages at the board approved secondary service 7 area. 8 (b) If the applicant is a manufacturer of malt or brewed 9 beverages, the board may approve a secondary service area for 10 use as a brewery pub pursuant to section 446, notwithstanding 11 any intervening public thoroughfare, so long as the proposed 12 secondary service area is within one thousand feet of the 13 licensed premises. Notwithstanding any other provision of this 14 act, the licensed premises and the secondary service area may be 15 located on different tracts of lands. 16 Section 12 9. Section 408.4 of the act, amended or added <-- 17 April 29, 1994 (P.L.212, No.30), October 5, 1994 (P.L.522, 18 No.77), June 18, 1998 (P.L.664, No.86), December 21, 1998 19 (P.L.1202, No.155), November 10, 1999 (P.L.514, No.47) and 20 February 10, 2002 (P.L.103, No.10), is amended to read: 21 Section 408.4. Special Occasion Permits.--[(a) Upon 22 application of any hospital, church, synagogue, volunteer fire 23 company, volunteer ambulance company, volunteer rescue squad, 24 unit of a nationally chartered club which has been issued a club 25 liquor license, nonprofit agricultural association in existence 26 for at least ten years, bona fide sportsmen's club in existence 27 for at least ten years, nationally chartered veterans' 28 organization and any affiliated lodge or subdivision of such 29 organization, fraternal benefit society that is licensed to do 30 business in this Commonwealth and any affiliated lodge or 20020S1365B2412 - 23 -
1 subdivision of such fraternal benefit society, or one auxiliary 2 of any of the foregoing, and upon payment of the prescribed fee 3 for special occasion permits under section 614-A of the act of 4 April 9, 1929 (P.L.177, No.175), known as "The Administrative 5 Code of 1929," the board shall issue a special occasion permit 6 good for a period of not more than six consecutive or 7 nonconsecutive days during a calendar year. Special occasion 8 permits may also be issued to a museum operated by a nonprofit 9 corporation in a city of the third class or township of the 10 first class or a nonprofit corporation engaged in the performing 11 arts in a city of the third class or in an incorporated town or 12 to an arts council or to a nonprofit corporation that operates 13 an arts facility or museum in a city of the third class in a 14 county of the fourth class for a period of not more than six 15 nonconsecutive or ten consecutive days at the prescribed fee for 16 special occasion permits under section 614-A of "The 17 Administrative Code of 1929." 18 (a.1) Upon application by a nationally accredited 19 Pennsylvania nonprofit zoological institution licensed by the 20 United States Department of Agriculture, the board shall issue a 21 special occasion permit in accordance with subsection (a) for 22 six nonconsecutive days or ten consecutive days in a calendar 23 year. 24 (b) In any city, borough, incorporated town or township in 25 which the sale of liquor and/or malt or brewed beverages has 26 been approved by the electorate, such special occasion permit 27 shall authorize the permittee to sell liquor and/or malt or 28 brewed beverages as the case may be to any adult person on any 29 day for which the permit is issued. 30 (c) Such special occasion permit shall only be valid for the 20020S1365B2412 - 24 -
1 number of days stated in the permit. Only one permit may be 2 issued to any permittee during the year. Provided, that a museum 3 operated by a nonprofit corporation in a city of the third class 4 or township of the first class, and a nonprofit corporation 5 engaged in the performing arts in a city of the third class, or 6 an arts council or a nonprofit corporation that operates an arts 7 facility or museum in a city of the third class in a county of 8 the fourth class may be issued no more than six permits during 9 the year, each permit being valid for only one day, or in the 10 alternative, one permit valid for no more than a total of ten 11 consecutive days per year, which may be issued only during the 12 month of August. 13 (d) Such permits shall only be issued for use at a special 14 event including, but not limited to bazaars, picnics and 15 clambakes. The special event must be one which is used by the 16 permittee as a means of raising funds for itself. 17 (d.1) The hours during which the holder of a special 18 occasion permit may sell liquor or malt or brewed beverages 19 shall be limited to the hours set forth in section 406 which are 20 applicable to hotel and restaurant licensees. The hours during 21 which a nonprofit corporation engaged in the performing arts in 22 a city of the third class may sell liquor or malt or brewed 23 beverages pursuant to a special occasion permit shall be limited 24 to those hours set forth in section 408.3(g.1). 25 (d.2) At least forty-eight hours prior to the sale of any 26 liquor or malt or brewed beverages, the holder of a special 27 occasion permit shall notify the local police department, or in 28 the absence of a local police department, the Pennsylvania State 29 Police, of the times when and place where the sale of liquor or 30 malt or brewed beverages shall occur. 20020S1365B2412 - 25 -
1 (e) The provisions of this section shall not be applicable 2 to any of the following: 3 (1) A licensee now or hereafter possessing a caterer's 4 license, other than a volunteer fire company, volunteer 5 ambulance company or volunteer rescue squad, which owns its own 6 facility and wishes to use its special occasion permit at that 7 facility. 8 (2) A professional fund raiser. 9 (e.1) Notwithstanding any provisions of law to the contrary, 10 a permittee who is a nonprofit organization as defined under 11 section 501(c)(4) of the Internal Revenue Code of 1986 (Public 12 Law 99-514, 26 U.S.C. § 501(c)(4)) may do any of the following: 13 (1) If the permittee is conducting a regatta, sell for 14 consumption liquor and malt or brewed beverages in or on the 15 grounds of a State park located within a city of the second 16 class for a period not to exceed ten consecutive days per 17 calendar year. 18 (2) If the permittee is conducting a family-oriented 19 celebration as part of Welcome America in a city of the first 20 class on property leased from that city for a period of more 21 than fifty years, sell for consumption liquor and malt or brewed 22 beverages on such leased property for a period not to exceed ten 23 consecutive days per calendar year. 24 (3) If the permittee is a nonprofit corporation designated 25 by a city of the first class to conduct a millennium celebration 26 on behalf of the city on property located at four sites approved 27 by the board, sell for consumption champagne for a period not to 28 exceed two consecutive days between December 31, 1999, and 29 January 1, 2000. 30 (f) Any person selling liquor or malt or brewed beverages in 20020S1365B2412 - 26 -
1 violation of this section shall, upon summary conviction, be 2 sentenced to pay a fine of two hundred fifty dollars ($250) for 3 the first offense and a fine of five hundred dollars ($500) for 4 each subsequent offense. This fine shall be in addition to any 5 other penalty imposed by law for the illegal sale of malt or 6 brewed beverages. 7 (g) For the purposes of this section, "arts council" means a 8 tax-exempt organization which promotes the visual arts, 9 performing arts, or both, and which receives funding under the 10 Local Arts Services Program administered by the Pennsylvania 11 Council on the Arts.] 12 (h) The board may issue a special occasion permit to an 13 eligible entity. The board may also issue a special occasion 14 permit to one auxiliary of any eligible entity. Any eligible 15 entity that wishes to acquire a special occasion permit must 16 submit a written application to the board in such form and 17 containing such information as the board shall from time to time 18 prescribe. The fee for special occasion permits shall be as set 19 forth under section 614-A(24) of the act of April 9, 1929 20 (P.L.177, No.175), known as "The Administrative Code of 1929." 21 (i) Only one special occasion permit shall be issued to each 22 eligible entity per calendar year. Each permit may only be used 23 for six consecutive or nonconsecutive days; however, if the 24 eligible entity is a museum operated by a nonprofit corporation 25 in a city of the third class or township of the first class, a 26 nonprofit corporation engaged in the performing arts in a city 27 of the third class or in an incorporated town, or an arts 28 council, then the special occasion permit may be used for six 29 nonconsecutive or ten consecutive days. 30 (j) The eligible entity shall give the local police 20020S1365B2412 - 27 -
1 department or the Pennsylvania State Police, if there is no 2 local police department, written notice at least forty-eight 3 hours prior to each use of the special occasion permit. Written 4 notice consists of notifying the police of the date, time and 5 place of the impending sale of alcoholic beverages. 6 (k) Special occasion permit holders may sell alcoholic 7 beverages during the same hours as restaurant liquor license 8 holders. In addition, special occasion permit holders may sell 9 any type of alcohol for consumption off the licensed premises. 10 (l) The issuance of a special occasion permit does not 11 preclude the eligible entity from acquiring and retaining any 12 other liquor license to which it may be entitled; however, the 13 board shall not issue a special occasion permit for premises 14 already licensed by the board unless the applicant owns the 15 premises and is a volunteer fire company, volunteer rescue 16 company or volunteer ambulance squad. 17 (m) The purpose of a special occasion permit is to provide 18 the eligible entity with a means of raising funds for itself. 19 The permit may be used in conjunction with activities and events 20 involving other entities; however, no one other than the holder 21 of the special occasion permit may acquire a pecuniary interest 22 in the permit. 23 (n) The board may refuse to issue a special occasion permit 24 if it finds that the applicant is not reputable, or does not 25 otherwise meet the requirements of this act. The right to refuse 26 to issue a special occasion permit may be based in whole or in 27 part on the applicant's prior operational history with either a 28 special occasion permit or a license issued by the board. 29 (o) The holder of a special occasion permit is subject to 30 the provisions of section 493(1). 20020S1365B2412 - 28 -
1 (p) Notwithstanding any provision of law to the contrary, if 2 the eligible entity is a regatta in a city of the second class 3 held on the grounds of a State park, the regatta may install a 4 security fence or similar enclosure around the boundary of the 5 State park or a portion of the State park during the regatta and 6 may charge an admittance fee not to exceed five dollars ($5) per 7 day. 8 Section 13 10. Sections 409(c) and 410(d) of the act are <-- 9 amended to read: 10 Section 409. Sacramental Wine Licenses; Fees; Privileges; 11 Restrictions.--* * * 12 (c) If the applicant is a natural person, his application 13 must show that he is a citizen of the United States or a 14 resident alien and a resident of this Commonwealth. If the 15 applicant is an association or partnership, each and every 16 member of the association or partnership must be a citizen of 17 the United States or a resident alien and a resident of this 18 Commonwealth. If the applicant is a corporation, the application 19 must show that the corporation was created under the laws of 20 Pennsylvania or holds a certificate of authority to transact 21 business in Pennsylvania, and that all officers, directors and 22 stockholders are citizens of the United States or resident 23 aliens. 24 * * * 25 Section 410. Liquor Importers' Licenses; Fees; Privileges; 26 Restrictions.--* * * 27 (d) If the applicant is a natural person, his application 28 must show that he is a citizen of the United States or a 29 resident alien and a resident of this Commonwealth. If the 30 applicant is an association or partnership, each and every 20020S1365B2412 - 29 -
1 member of the association or partnership must be a citizen of 2 the United States or a resident alien and a resident of this 3 Commonwealth. If the applicant is a corporation, the application 4 must show that the corporation was created under the laws of 5 Pennsylvania or holds a certificate of authority to transact 6 business in Pennsylvania, and that all officers, directors and 7 stockholders are citizens of the United States or resident 8 aliens. 9 * * * 10 Section 14 11. Section 412(f)(4) of the act, amended <-- 11 February 21, 2002 (P.L.103, No.10), is amended and the section 12 is amended by adding a subsection to read: 13 Section 412. Public Venue License.--* * * 14 (f) Licenses issued under this section are to be considered 15 restaurant liquor licenses. However, the following additional 16 restrictions and privileges apply: 17 * * * 18 (4) Licenses issued under this section shall not be subject 19 to: (i) the proximity provisions of sections 402 and 404; (ii) 20 the quota restrictions of section 461; (iv) the provisions of 21 section 493(10) except as they relate to lewd, immoral or 22 improper entertainment; [and] (v) the prohibition against minors 23 frequenting as described in section 493(14) and (vi) the cost 24 and total display area limitations of section 493(20)(i). In 25 addition, licenses issued under this section shall not be 26 subject to the provisions defining "restaurant" in section 102. 27 (g) The board may issue multiple licenses under this section 28 for use in a public venue with permanent seating of at least 29 thirty-five thousand people. If the board does issue more than 30 one license for a specific public venue, written notice of the 20020S1365B2412 - 30 -
1 event must be provided to the enforcement bureau at least forty- 2 eight hours in advance of the dispensing of any liquor or malt 3 or brewed beverages. The notice shall include the date, time and 4 specific licensed areas to be used. No more than one license 5 issued under this section shall be in effect at any location at 6 any time of day at the same time. 7 Section 15 12. Section 431(b) of the act, amended June 18, <-- 8 1998 (P.L.664, No.86) and December 21, 1998 (P.L.1202, No.155), 9 is amended to read: 10 Section 431. Malt and Brewed Beverages Manufacturers', 11 Distributors' and Importing Distributors' Licenses.--* * * 12 (b) The board shall issue to any reputable person who 13 applies therefor, and pays the license fee hereinafter 14 prescribed, a distributor's or importing distributor's license 15 for the place which such person desires to maintain for the sale 16 of malt or brewed beverages, not for consumption on the premises 17 where sold, and in quantities of not less than a case or 18 original containers containing one hundred twenty-eight ounces 19 or more which may be sold separately as prepared for the market 20 by the manufacturer at the place of manufacture. The board shall 21 have the discretion to refuse a license to any person or to any 22 corporation, partnership or association if such person, or any 23 officer or director of such corporation, or any member or 24 partner of such partnership or association shall have been 25 convicted or found guilty of a felony within a period of five 26 years immediately preceding the date of application for the said 27 license: And provided further, That, in the case of any new 28 license or the transfer of any license to a new location, the 29 board may, in its discretion, grant or refuse such new license 30 or transfer if such place proposed to be licensed is within 20020S1365B2412 - 31 -
1 three hundred feet of any church, hospital, charitable 2 institution, school or public playground, or if such new license 3 or transfer is applied for a place which is within two hundred 4 feet of any other premises which is licensed by the board: And 5 provided further, That the board shall refuse any application 6 for a new license or the transfer of any license to a new 7 location if, in the board's opinion, such new license or 8 transfer would be detrimental to the welfare, health, peace and 9 morals of the inhabitants of the neighborhood within a radius of 10 five hundred feet of the place proposed to be licensed. The 11 board shall refuse any application for a new license or the 12 transfer of any license to a location where the sale of liquid 13 fuels or oil is conducted. The board may enter into an agreement 14 with the applicant concerning additional restrictions on the 15 license in question. If the board and the applicant enter into 16 such an agreement, such agreement shall be binding on the 17 applicant. Failure by the applicant to adhere to the agreement 18 will be sufficient cause to form the basis for a citation under 19 section 471 and for the nonrenewal of the license under section 20 470. If the board enters into an agreement with an applicant 21 concerning additional restrictions, those restrictions shall be 22 binding on subsequent holders of the license until the license 23 is transferred to a new location or until the board enters into 24 a subsequent agreement removing those restrictions. If the 25 application in question involves a location previously licensed 26 by the board, then any restrictions imposed by the board on the 27 previous license at that location shall be binding on the 28 applicant unless the board enters into a new agreement 29 rescinding those restrictions. The board shall require notice to 30 be posted on the property or premises upon which the licensee or 20020S1365B2412 - 32 -
1 proposed licensee will engage in sales of malt or brewed 2 beverages. This notice shall be similar to the notice required 3 of hotel, restaurant and club liquor licensees. 4 Except as hereinafter provided, such license shall authorize 5 the holder thereof to sell or deliver malt or brewed beverages 6 in quantities above specified anywhere within the Commonwealth 7 of Pennsylvania, which, in the case of distributors, have been 8 purchased only from persons licensed under this act as 9 manufacturers or importing distributors, and in the case of 10 importing distributors, have been purchased from manufacturers 11 or persons outside this Commonwealth engaged in the legal sale 12 of malt or brewed beverages or from manufacturers or importing 13 distributors licensed under this article. In the case of an 14 importing distributor, the holder of such a license shall be 15 authorized to store malt or brewed beverages owned by an out of 16 State manufacturer at a segregated portion of a warehouse or 17 other storage facility authorized by section 441(d) and operated 18 by the importing distributor within its appointed territory and 19 deliver such beverages to another importing distributor who has 20 been granted distribution rights by the out of State 21 manufacturer as provided herein. The importing distributor shall 22 be permitted to receive a fee from the out of State manufacturer 23 for any related storage or delivery services. In the case of a 24 bailee for hire hired by an out of State manufacturer, the 25 holder of such a permit shall be authorized: to receive or store 26 malt or brewed beverages under the same conditions as permitted 27 for a distributor or importing distributor under section 441(f) 28 produced by that out of State manufacturer for sale by that 29 manufacturer to importing distributors to whom that out of State 30 manufacturer has given distribution rights pursuant to this 20020S1365B2412 - 33 -
1 subsection or to purchasers outside this Commonwealth for 2 delivery outside this Commonwealth; or to ship to that out of 3 State manufacturer's storage facilities outside this 4 Commonwealth. The bailee for hire shall be permitted to receive 5 a fee from the out of State manufacturer for any related storage 6 or delivery services. The bailee for hire shall, as required in 7 Article V of this act, keep complete and accurate records of all 8 transactions, inventory, receipts and shipments and make all 9 records and the licensed areas available for inspection by the 10 board and for the Pennsylvania State Police, Bureau of Liquor 11 Control Enforcement, during normal business hours. 12 Each out of State manufacturer of malt or brewed beverages 13 whose products are sold and delivered in this Commonwealth shall 14 give distributing rights for such products in designated 15 geographical areas to specific importing distributors, and such 16 importing distributor shall not sell or deliver malt or brewed 17 beverages manufactured by the out of State manufacturer to any 18 person issued a license under the provisions of this act whose 19 licensed premises are not located within the geographical area 20 for which he has been given distributing rights by such 21 manufacturer. Should a licensee accept the delivery of such malt 22 or brewed beverages in violation of this section, said licensee 23 shall be subject to a suspension of his license for at least 24 thirty days: Provided, That the importing distributor holding 25 such distributing rights for such product shall not sell or 26 deliver the same to another importing distributor without first 27 having entered into a written agreement with the said secondary 28 importing distributor setting forth the terms and conditions 29 under which such products are to be resold within the territory 30 granted to the primary importing distributor by the 20020S1365B2412 - 34 -
1 manufacturer.
2 When a Pennsylvania manufacturer of malt or brewed beverages
3 licensed under this article names or constitutes a distributor
4 or importing distributor as the primary or original supplier of
5 his product, he shall also designate the specific geographical
6 area for which the said distributor or importing distributor is
7 given distributing rights, and such distributor or importing
8 distributor shall not sell or deliver the products of such
9 manufacturer to any person issued a license under the provisions
10 of this act whose licensed premises are not located within the
11 geographical area for which distributing rights have been given
12 to the distributor and importing distributor by the said
13 manufacturer: Provided, That the importing distributor holding
14 such distributing rights for such product shall not sell or
15 deliver the same to another importing distributor without first
16 having entered into a written agreement with the said secondary
17 importing distributor setting forth the terms and conditions
18 under which such products are to be resold within the territory
19 granted to the primary importing distributor by the
20 manufacturer. Nothing herein contained shall be construed to
21 prevent any manufacturer from authorizing the importing
22 distributor holding the distributing rights for a designated
23 geographical area from selling the products of such manufacturer
24 to another importing distributor also holding distributing
25 rights from the same manufacturer for another geographical area,
26 providing such authority be contained in writing and a copy
27 thereof be given to each of the importing distributors so
28 affected.
29 * * *
30 Section 16 13. Section 432(d) and (e) of the act, amended <--
20020S1365B2412 - 35 -
1 December 20, 2000 (P.L.992, No.141), are amended to read: 2 Section 432. Malt and Brewed Beverages Retail Licenses.--* * 3 * 4 (d) The board shall, in its discretion, grant or refuse any 5 new license or the transfer of any license to a new location if 6 such place proposed to be licensed is within three hundred feet 7 of any church, hospital, charitable institution, school, or 8 public playground, or if such new license or transfer is applied 9 for a place which is within two hundred feet of any other 10 premises which is licensed by the board. The board shall refuse 11 any application for a new license or the transfer of any license 12 to a new location if, in the board's opinion, such new license 13 or transfer would be detrimental to the welfare, health, peace 14 and morals of the inhabitants of the neighborhood within a 15 radius of five hundred feet of the place to be licensed. The 16 board may enter into an agreement with the applicant concerning 17 additional restrictions on the license in question. If the board 18 and the applicant enter into such an agreement, such agreement 19 shall be binding on the applicant. Failure by the applicant to 20 adhere to the agreement will be sufficient cause to form the 21 basis for a citation under section 471 and for the nonrenewal of 22 the license under section 470. If the board enters into an 23 agreement with an applicant concerning additional restrictions, 24 those restrictions shall be binding on subsequent holders of the 25 license until the license is transferred to a new location or 26 until the board enters into a subsequent agreement removing 27 those restrictions. If the application in question involves a 28 location previously licensed by the board, then any restrictions 29 imposed by the board on the previous license at that location 30 shall be binding on the applicant unless the board enters into a 20020S1365B2412 - 36 -
1 new agreement rescinding those restrictions. The board shall 2 refuse any application for a new license or the transfer of any 3 license to a location where the sale of liquid fuels or oil is 4 conducted: And provided further, That the board shall have the 5 discretion to refuse a license to any person or to any 6 corporation, partnership or association if such person, or any 7 officer or director of such corporation, or any member or 8 partner of such partnership or association shall have been 9 convicted or found guilty of a felony within a period of five 10 years immediately preceding the date of application for the said 11 license. The board may, in its discretion, refuse an application 12 for an economic development license under section 461(b.1) or an 13 application for an intermunicipal transfer or a license if the 14 board receives a protest from the governing body of the 15 receiving municipality. The receiving municipality of an 16 intermunicipal transfer or an economic development license under 17 section 461(b.1) may file a protest against the approval for 18 issuance of a license for economic development or an 19 intermunicipal transfer of a license into its municipality, and 20 such municipality shall have standing in a hearing to present 21 testimony in support of or against the issuance or transfer of a 22 license. Upon any opening in any quota, an application for a new 23 license shall only be filed with the board for a period of six 24 months following said opening. 25 (e) Every applicant for a new or for the transfer of an 26 existing license to another premises not then licensed shall 27 post, for a period of at least [fifteen] thirty days beginning 28 with the day the application is filed with the board, in a 29 conspicuous place on the outside of the premises or in a window 30 plainly visible from the outside of the premises for which the 20020S1365B2412 - 37 -
1 license is applied or at the proposed new location, a notice of 2 such application[,]. The notice shall indicate whether the 3 applicant is applying for the amusement permit required by 4 section 493(10). The notice shall be in such form, be of such 5 size, and [containing] contain such provisions as the board may 6 require by its regulations. Proof of the posting of such notice 7 shall be filed with the board. 8 * * * 9 Section 17 14. Section 436(b) of the act, amended February <-- 10 21, 2002 (P.L.103, No.10), is amended to read: 11 Section 436. Application for Distributors', Importing 12 Distributors' and Retail Dispensers' Licenses.--Application for 13 distributors', importing distributors' and retail dispensers' 14 licenses, or for the transfer of an existing license to another 15 premises not then licensed, or to another person, shall contain 16 or have attached thereto the following information and 17 statements: 18 * * * 19 (b) The particular place for which the license is desired 20 and a detailed description thereof. The description, information 21 and plans referred to in this subsection shall show the premises 22 or the proposed location for the construction of the premises at 23 the time the application is made, and shall show any alterations 24 proposed to be made thereto, or the new building proposed to be 25 constructed after the approval by the board of the application 26 for a license, or for the transfer of an existing license to 27 another premises not then licensed or to another person. No 28 physical alterations, improvements or changes shall be required 29 to be made to any hotel, eating place or club, nor shall any new 30 building for any such purpose be required to be constructed 20020S1365B2412 - 38 -
1 until approval of the application for license or for the
2 transfer of an existing license to another premises not then
3 licensed or to another person by the board. After approval of
4 the application, the licensee shall make the physical
5 alterations, improvements and changes to the licensed premises,
6 or shall construct the new building in the manner specified by
7 the board at the time of approval. The licensee shall not
8 transact any business under the license until the board has
9 approved the completed physical alterations, improvements and
10 changes of the licensed premises or the completed construction
11 of the new building as conforming to the specifications required
12 by the board at the time of issuance or transfer of the license
13 and is satisfied that the premises meet the requirements for a
14 distributor's or importing distributor's license as set forth in
15 this act or that the establishment is an eating place, hotel or
16 club as defined by this act. The board may require that all such
17 alterations or construction or conformity to definition be
18 completed within six months from the time of issuance or
19 transfer of the license. Failure to comply with these
20 requirements shall be considered cause for revocation of the
21 license. No such license shall be transferable between the time
22 of issuance or transfer of the license and the approval of the
23 completed alterations or construction by the board and full
24 compliance by the licensee with the requirements of this act,
25 except in the case of death of the licensee prior to full
26 compliance with all of the aforementioned requirements[,] or
27 unless full compliance is impossible for reasons beyond the
28 licensee's control, in which event the license may be
29 transferred by the board as provided in this act.
30 * * *
20020S1365B2412 - 39 -
1 Section 19 15. Section 441(b) of the act, amended May 31, <-- 2 1996 (P.L.312, No.49), is amended to read: 3 Section 441. Distributors' and Importing Distributors' 4 Restrictions on Sales, Storage, Etc.--* * * 5 (b) No distributor or importing distributor shall sell any 6 malt or brewed beverages in quantities of less than a case or 7 original containers containing one hundred twenty-eight ounces 8 or more which may be sold separately: Provided, That no malt or 9 brewed beverages sold or delivered shall be consumed upon the 10 premises of the distributor or importing distributor, or in any 11 place provided for such purpose by such distributor or importing 12 distributor. Notwithstanding any other provision of this section 13 or act, malt or brewed beverages which are part of a tasting 14 conducted pursuant to the board's regulations may be consumed on 15 licensed premises. 16 Section 20 16. Section 442 of the act is amended by adding a <-- 17 subsection to read: 18 Section 442. Retail Dispensers' Restrictions on Purchases 19 and Sales.--* * * 20 (e) The holder of a retail dispenser license located in a 21 hotel may allow persons to transport malt or brewed beverages 22 from the licensed portion of the premises to the unlicensed 23 portion of the premises so long as the malt or brewed beverages 24 remain on the hotel property. In addition, the holder of a 25 retail dispenser license located on a golf course may allow its 26 patrons to order malt or brewed beverages on licensed premises 27 for subsequent delivery by the licensee on nonlicensed portions 28 of the premises, including the golf course. 29 Section 21 17. Section 464 of the act, amended December 20, <-- 30 2000 (P.L.992, No.141), is amended to read: 20020S1365B2412 - 40 -
1 Section 464. Hearings Upon Refusal of Licenses, Renewals or 2 Transfers; Appeals.--The board may of its own motion, and shall 3 upon the written request of any applicant for club, hotel or 4 restaurant liquor license, or any applicant for any malt or 5 brewed beverage license other than a public service license, or 6 for renewal or transfer thereof, or for the renewal of an 7 amusement permit, whose application for such license, renewal or 8 transfer, or the renewal of an amusement permit, has been 9 refused, fix a time and place for hearing of such application 10 for license or for renewal or transfer thereof, or the renewal 11 of an amusement permit, notice of which hearing shall be mailed 12 to the applicant at the address given in his application. Such 13 hearing shall be before a hearing examiner designated by the 14 board. At such hearing, the board shall present its reasons for 15 its refusal or withholding of license, renewal or transfer 16 thereof, or its refusal for renewal of an amusement permit. The 17 applicant may appear in person or by counsel, may cross-examine 18 the witnesses for the board and may present evidence which shall 19 likewise be subject to cross-examination by the board. Such 20 hearing shall be stenographically recorded. The hearing examiner 21 shall thereafter report, with the examiner's recommendation, to 22 the board in each case. The board shall thereupon grant or 23 refuse the license, renewal or transfer thereof or the renewal 24 of an amusement permit. In considering the renewal of a license 25 or amusement permit, the board shall not refuse any such renewal 26 on the basis of the propriety of the original issuance or any 27 prior renewal of such license or amusement permit. If the board 28 shall refuse such license, renewal or transfer or the renewal of 29 an amusement permit, following such hearing, notice in writing 30 of such refusal shall be mailed to the applicant at the address 20020S1365B2412 - 41 -
1 given in his application. In all such cases, the board shall
2 file of record at least a brief statement in the form of an
3 opinion of the reasons for the ruling or order and furnish a
4 copy thereof to the applicant. Any applicant who has appeared at
5 any hearing, as above provided, who is aggrieved by the refusal
6 of the board to issue any such license or to renew or transfer
7 any such license or to issue or renew any amusement permit may
8 appeal, or any church, hospital, charitable institution, school
9 or public playground located within three hundred feet of the
10 premises applied for, aggrieved by the action of the board in
11 granting the issuance of any such license or the transfer of any
12 such license, may take an appeal limited to the question of such
13 grievance, within twenty days from date of refusal or grant, to
14 the court of common pleas of the county in which the premises or
15 permit applied for is located. If the application is for an
16 economic development license under section 461(b.1) or the
17 intermunicipal transfer of a license, the governing body of the
18 municipality receiving the new license or the transferred
19 license may file an appeal of the board decision granting the
20 license, within twenty days of the date of the board's decision,
21 to the court of common pleas of the county in which the proposed
22 premises is located. Such appeal shall be upon petition of the
23 aggrieved party, who shall serve a copy thereof upon the board,
24 whereupon a hearing shall be held upon the petition by the court
25 upon ten days' notice to the board. The said appeal shall act as
26 a supersedeas unless upon sufficient cause shown the court shall
27 determine otherwise. The court shall hear the application de
28 novo on questions of fact, administrative discretion and such
29 other matters as are involved, at such time as it shall fix, of
30 which notice shall be given to the board. The court shall either
20020S1365B2412 - 42 -
1 sustain or over-rule the action of the board and either order or
2 deny the issuance of a new license or the renewal or transfer of
3 the license or the renewal of an amusement permit to the
4 applicant.
5 Section 22 18. Section 470(a) of the act, amended December <--
6 21, 1998 (P.L.1202, No.155), is amended to read:
7 Section 470. Renewal of Licenses; Temporary Provisions for
8 Licensees in Armed Service.--(a) All applications for renewal
9 of licenses under the provisions of this article shall be filed
10 with tax clearance from the Department of Revenue and the
11 Department of Labor and Industry and requisite license and
12 filing fees at least sixty days before the expiration date of
13 same: Provided, however, That the board, in its discretion, may
14 accept nunc pro tunc a renewal application filed less than sixty
15 days before the expiration date of the license with the required
16 fees, upon reasonable cause shown and the payment of an
17 additional filing fee of one hundred dollars ($100.00) for late
18 filing: And provided further, That except where the failure to
19 file a renewal application on or before the expiration date has
20 created a license quota vacancy after said expiration date which
21 has been filled by the issuance of a new license, after such
22 expiration date, but before the board has received a renewal
23 application nunc pro tunc within the time prescribed herein the
24 board, in its discretion, may, after hearing, accept a renewal
25 application filed within two years after the expiration date of
26 the license with the required fees upon the payment of an
27 additional filing fee of two hundred fifty dollars ($250.00) for
28 late filing. Where any such renewal application is filed less
29 than sixty days before the expiration date, or subsequent to the
30 expiration date, no license shall issue upon the filing of the
20020S1365B2412 - 43 -
1 renewal application until the matter is finally determined by 2 the board and if an appeal is taken from the board's action the 3 courts shall not order the issuance of the renewal license until 4 final determination of the matter by the courts. The board may 5 enter into an agreement with the applicant concerning additional 6 restrictions on the license in question. If the board and the 7 applicant enter into such an agreement, such agreement shall be 8 binding on the applicant. Failure by the applicant to adhere to 9 the agreement will be sufficient cause to form the basis for a 10 citation under section 471 and for the nonrenewal of the license 11 under this section. A renewal application will not be considered 12 filed unless accompanied by the requisite filing and license 13 fees and any additional filing fee required by this section. 14 Unless the board shall have given ten days' previous notice to 15 the applicant of objections to the renewal of his license, based 16 upon violation by the licensee or his servants, agents or 17 employes of any of the laws of the Commonwealth or regulations 18 of the board relating to the manufacture, transportation, use, 19 storage, importation, possession or sale of liquors, alcohol or 20 malt or brewed beverages, or the conduct of a licensed 21 establishment, or unless the applicant has by his own act become 22 a person of ill repute, or unless the premises do not meet the 23 requirements of this act or the regulations of the board, the 24 license of a licensee shall be renewed. 25 * * * 26 Section 23 19. Section 471(c) of the act, amended February <-- 27 21, 2002 (P.L.103, No.10), is amended to read: 28 Section 471. Revocation and Suspension of Licenses; Fines.-- 29 * * * 30 (c) The administrative law judge may consider the licensee's 20020S1365B2412 - 44 -
1 prior citation history when imposing a penalty. If the violation 2 in question is a third or subsequent violation of [this act] any 3 offense referred to in subsection (b) or Title 18 of the 4 Pennsylvania Consolidated Statutes (relating to crimes and 5 offenses), occurring within a period of four years, the 6 administrative law judge shall impose a suspension or 7 revocation. 8 * * * 9 Section 24 20. Section 472 of the act is amended by adding a <-- 10 subsection to read: 11 Section 472. Local Option.--* * * 12 (e) A vote on the ballot question regarding the granting of 13 liquor licenses that changes the municipality's status on that 14 issue supersedes any earlier contrary votes on the granting of 15 liquor licenses to public venues, performing arts facilities, 16 hotels, golf courses, incorporated units of national veterans' 17 clubs and special occasion permits. In addition, a vote on the 18 ballot question regarding the granting of liquor licenses that 19 changes the municipality's status on that issue supersedes any 20 earlier contrary votes on the issuance of granting licenses to 21 retail dispensers of malt and brewed beverages. 22 Section 25 21. Section 472.3(a) of the act is amended to <-- 23 read: 24 Section 472.3. Exchange of Certain Licenses.--(a) [In any 25 municipality wherein restaurant liquor license issue, the] The 26 board may issue to a club as defined in this act, a club liquor 27 license in exchange for a club retail dispenser license in any 28 municipality which has approved the granting of liquor licenses. 29 * * * 30 Section 26 22. The act is amended by adding a section to <-- 20020S1365B2412 - 45 -
1 read: 2 Section 474.1. Surrender of Restaurant, Eating Place Retail 3 Dispenser, Hotel, Importing Distributor and Distributor License 4 for Benefit of Licensee.--(a) A restaurant, eating place retail 5 dispenser, hotel, importing distributor and distributor licensee 6 whose licensed establishment is not in operation for fifteen 7 consecutive days shall return its license for safekeeping with 8 the board no later than at the expiration of the fifteen-day 9 period. The license may only be reissued from safekeeping in the 10 manner set forth by the board through regulation. 11 (b) The board may hold the license in safekeeping for a 12 period not to exceed three consecutive years. Any license 13 remaining in safekeeping for more than three consecutive years 14 shall be immediately revoked by the Bureau of Licensing unless a 15 transfer application or request for reissue from safekeeping has 16 been filed prior to the expiration of the three-year period. The 17 board shall extend the period for an additional year if at the 18 end of the three-year period, the licensed premises are 19 unavailable due to fire, flood or other similar natural 20 disaster. 21 (c) In the event a transfer application filed prior to the 22 expiration of the three-year period is disapproved by the board, 23 through its exercise of discretion, then the license may remain 24 in safekeeping for an additional period of three consecutive 25 months after the board's decision to refuse the transfer 26 application. Failure to remove the license from safekeeping or 27 to file another transfer application prior to the expiration of 28 the three-month period of time shall result in revocation of the 29 license. 30 (d) Any period of time in which the licensee allows the 20020S1365B2412 - 46 -
1 license to lapse by not filing a timely license renewal or 2 license validation shall be considered time in which the license 3 was held in safekeeping, for purposes of this section. 4 (e) A license placed in safekeeping prior to the effective 5 date of this act will be deemed to have been placed in 6 safekeeping on the effective date of this act, for purposes of 7 this section. 8 Section 27 23. Section 478(c) of the act is repealed. <-- 9 Section 28 24. Section 491(7) and (11) of the act, amended <-- 10 February 21, 2002 (P.L.103, No.10), are amended to read: 11 Section 491. Unlawful Acts Relative to Liquor, Alcohol and 12 Liquor Licensees.-- 13 It shall be unlawful-- 14 * * * 15 (7) Sales of Liquor by Manufacturers and Licensed Importers. 16 For any manufacturer or licensed importer of liquor in this 17 Commonwealth, his agents, servants or employes, to sell or offer 18 to sell any liquor in this Commonwealth except to the board for 19 use in Pennsylvania Liquor Stores, and in the case of a 20 manufacturer, to the holder of a sacramental wine license or an 21 importer's license[, but a manufacturer or licensed importer may 22 sell or offer to sell liquor to persons outside of this 23 Commonwealth]. Notwithstanding any other provision of this act, 24 a manufacturer or licensed importer may sell or offer to sell 25 liquor for delivery outside of this Commonwealth. 26 * * * 27 (11) Importation of Liquor. For any person, other than the 28 board or the holder of a sacramental wine license, an importer's 29 license or a direct shipper's license, to import any liquor 30 whatsoever into this Commonwealth, but this section shall not be 20020S1365B2412 - 47 -
1 construed to prohibit railroad and pullman companies from 2 purchasing and selling liquors purchased outside the 3 Commonwealth in their dining, club and buffet cars which are 4 covered by public service liquor licenses and which are operated 5 in this Commonwealth. 6 * * * 7 Section 29 25. Section 492(8) and (10) of the act, amended <-- 8 December 21 1998 (P.L.1202, No.155), are amended to read: 9 Section 492. Unlawful Acts Relative to Malt or Brewed 10 Beverages and Licensees.-- 11 It shall be unlawful-- 12 * * * 13 (8) Transportation and Importation of Malt or Brewed 14 Beverages. For any person, to transport malt or brewed beverages 15 except in the original containers, or to transport malt or 16 brewed beverages for another who is engaged in selling either 17 liquor or malt or brewed beverages, unless such person shall 18 hold (a) a license to transport for hire, alcohol, liquor and 19 malt or brewed beverages, as hereinafter provided in this act, 20 or (b) shall hold a permit issued by the board and shall have 21 paid to the board such permit fee, as prescribed in section 614- 22 A of the act of April 9, 1929 (P.L.177, No.175), known as "The 23 Administrative Code of 1929," any other law to the contrary 24 notwithstanding. This clause shall not be construed: 25 (i) to prohibit transportation of malt or brewed beverages 26 through this Commonwealth and not for delivery in this 27 Commonwealth if such transporting is done in accordance with the 28 rules and regulations of the board; or 29 (ii) to prohibit railroad and Pullman companies from selling 30 malt or brewed beverages purchased outside this Commonwealth in 20020S1365B2412 - 48 -
1 their dining, club and buffet cars which are covered by public 2 service liquor licenses and which are operated in this 3 Commonwealth. 4 * * * 5 [(10) Importing or Transporting Malt or Brewed Beverages 6 Without Tax Stamps. For any person, to transport within or 7 import any malt or brewed beverages into this Commonwealth, 8 except in accordance with the rules and regulations of the 9 board, or for any person to transport malt or brewed beverages 10 into or within this Commonwealth, unless there shall be affixed 11 to the original containers in which such malt or brewed 12 beverages are transported, stamps or crowns evidencing the 13 payment of the malt liquor tax to the Commonwealth: Provided, 14 however, That this clause shall not be construed to prohibit 15 transportation of malt or brewed beverages through this 16 Commonwealth and not for delivery therein, if such transporting 17 is done in accordance with the rules and regulations of the 18 board.] 19 * * * 20 Section 30 26. Section 493(14) and (17) of the act, amended <-- 21 February 21, 2002 (P.L.103, No.10), are amended to read: 22 Section 493. Unlawful Acts Relative to Liquor, Malt and 23 Brewed Beverages and Licensees.--The term "licensee," when used 24 in this section, shall mean those persons licensed under the 25 provisions of Article IV, unless the context clearly indicates 26 otherwise. 27 It shall be unlawful-- 28 * * * 29 (14) Permitting Undesirable Persons or Minors to Frequent 30 Premises. For any hotel, restaurant or club liquor licensee, or 20020S1365B2412 - 49 -
1 any retail dispenser, his servants, agents or employes, to 2 permit persons of ill repute, prostitutes or minors to frequent 3 his licensed premises or any premises operated in connection 4 therewith, except minors accompanied by parents, guardians, or 5 under proper supervision or except minors who frequent any 6 restaurant or retail dispensing licensee whose sales of food and 7 non-alcoholic beverages are equal to fifty per centum or more of 8 the combined gross sales of both food and alcoholic beverages on 9 the condition that alcoholic beverages may not be served at the 10 table or booth at which the said minor is seated at the time 11 (unless said minor is under proper supervision as hereinafter 12 defined) and on the further condition that only table service of 13 alcoholic beverages or take-out service of beer shall be 14 permitted in the room wherein the minor is located: Provided, 15 however, That it shall not be unlawful for any hotel, restaurant 16 or club liquor licensee or any retail dispenser to permit minors 17 under proper supervision upon the licensed premises or any 18 premises operated in connection therewith for the purpose of a 19 social gathering, even if such gathering is exclusively for 20 minors: And provided further, That no liquor shall be sold, 21 furnished or given to such minors nor shall the licensee 22 knowingly permit any liquor or malt or brewed beverages to be 23 sold, furnished or given to or be consumed by any minor, and the 24 area of such gathering shall be segregated from the remainder of 25 the licensed premises. In the event the area of such gathering 26 cannot be segregated from the remainder of the licensed 27 premises, all alcoholic beverages must be either removed from 28 the licensed premises or placed under lock and key during the 29 time the gathering is taking place. Written notice, at least 30 forty-eight (48) hours in advance of such gathering, shall be 20020S1365B2412 - 50 -
1 given to the enforcement bureau. Any licensee violating the 2 provisions of this clause shall be subject to the provisions of 3 section 471. Nothing in this clause shall be construed to make 4 it unlawful for minors to frequent public venues or performing 5 arts facilities. 6 "Proper supervision," as used in this clause, means the 7 presence, on that portion of the licensed premises where a minor 8 or minors are present, of one person twenty-five years of age or 9 older for every [fifty] five minors or part thereof who is 10 directly responsible for the care and conduct of such minor or 11 minors while on the licensed premises and in such proximity that 12 the minor or minors are constantly within his sight or hearing. 13 The presence of the licensee or any employe or security officer 14 of the licensee shall not constitute proper supervision. 15 * * * 16 (17) Licensees, etc., Interested or Employed in 17 Manufacturing or Sale of Equipment or Fixtures. For any 18 licensee, or any officer, director, stockholder, servant, agent 19 or employe of any licensee, to own any interest, directly or 20 indirectly, in or be employed or engaged in any business which 21 involves the manufacture or sale of any equipment, furnishings 22 or fixtures to any hotel, restaurant or club licensees, or to 23 any importing distributors, distributors or retail dispensers[: 24 Provided, however, That as to malt or brewed beverage licensees, 25 the provisions of this subsection shall not apply to such a 26 conflicting interest if it has existed for a period of not less 27 than three years prior to the first day of January, one thousand 28 nine hundred thirty-seven, and the board shall approve]. 29 Notwithstanding any other provision of this section or this act, 30 licensees may sell glasses at not less than cost and to provide 20020S1365B2412 - 51 -
1 metal keg connectors and tap knobs to other licensees and to 2 holders of special occasion permits. 3 * * * 4 Section 31 27. Section 493(20)(i) of the act, amended May <-- 5 31, 1996 (P.L.312, No.49), is amended to read: 6 Section 493. Unlawful Acts Relative to Liquor, Malt and 7 Brewed Beverages and Licensees.--The term "licensee," when used 8 in this section, shall mean those persons licensed under the 9 provisions of Article IV, unless the context clearly indicates 10 otherwise. 11 It shall be unlawful-- 12 * * * 13 (20) (i) Retail Liquor and Retail Malt or Brewed Beverages 14 Licensee's Inside Advertisements. For any retail liquor or 15 retail malt or brewed beverages licensee, to display or permit 16 the display in the show window or doorways of his licensed 17 premises, any placard or sign advertising the brands of liquor 18 or malt or brewed beverages, if the total display area of any 19 such placard or sign advertising the product or products exceeds 20 six hundred square inches. Nothing herein shall prohibit a 21 licensee from displaying inside his licensed premises point of 22 sale displays advertising brand names of products sold by him, 23 other than a window or door display: Provided, That the total 24 cost of all such point of sale advertising matter relating to 25 any one brand shall [not exceed the sum of one hundred forty 26 dollars ($140) at any one time, and no single piece of 27 advertising shall exceed a cost of seventy dollars ($70). The 28 board is authorized to make annual adjustments to the cost 29 limitations on point of display advertising to reflect any 30 changes in such limitations by the United States Bureau of 20020S1365B2412 - 52 -
1 Alcohol, Tobacco and Firearms or its successors in accordance 2 with 27 CFR 6.83 (relating to product displays) and 27 CFR 6.85 3 (relating to retailer advertising specialties).] not exceed the 4 dollar amount set forth by the board through regulation. All 5 such advertising material, including the window and door signs, 6 may be furnished by a manufacturer, distributor or importing 7 distributor. The restrictions on advertising set forth in 8 subclause (ii) and in clauses (20.1) and (20.2) shall also apply 9 to this subclause. 10 * * * 11 Section 32 28. Section 493.1 of the act, added October 5, <-- 12 1994 (P.L.522, No.77), is amended to read: 13 Section 493.1. Rights of Municipalities Preserved.--(a) 14 Nothing in this act shall be construed to preempt the right of 15 any municipality to regulate zoning and enforce any other local 16 ordinances and codes dealing with health and welfare issues. 17 (b) A municipality that wishes to supersede those provisions <-- 18 of the board's regulations pertaining to amplified music being 19 heard off the licensed premises may do so by notifying the board 20 that the municipality has adopted an ordinance to impose the 21 requirements of its own local noise ordinance in lieu of the 22 board's regulations on licensed premises within its boundaries. 23 If a municipality chooses to give the board such notification, 24 those provisions of the board's regulations pertaining to 25 amplified music being heard off the licensed premises, shall not 26 be applicable to licensed premises located in that municipality 27 until the municipality informs the board that it will no longer 28 supersede the board's regulations. 29 (B) A MUNICIPALITY MAY FILE AN APPLICATION WITH THE BOARD TO <-- 30 CONSIDER AN EXEMPTION FROM THE BOARD'S REGULATIONS REGARDING 20020S1365B2412 - 53 -
1 AMPLIFIED MUSIC BEING HEARD OFF THE LICENSED PREMISES FOR ALL 2 THE LICENSEES WITHIN AN IDENTIFIABLE AREA IN THE MUNICIPALITY 3 WITH A CONCENTRATED NUMBER OF LICENSEES. PRIOR TO SUBMITTING AN 4 APPLICATION, THE MUNICIPALITY SHALL ADOPT A LOCAL NOISE 5 ORDINANCE AND A RESOLUTION ADOPTED BY ITS GOVERNING BODY 6 CONFIRMING SUPPORT OF THE APPLICATION, CITING THE NOISE 7 ORDINANCE AND THEIR INTENTION TO ENFORCE THE ORDINANCE IN PLACE 8 OF THE BOARD'S REGULATIONS. UPON RECEIPT OF AN APPLICATION, 9 INCLUDING A COPY OF THE NOISE ORDINANCE AND RESOLUTION, THE 10 BOARD SHALL HOLD AT LEAST ONE PUBLIC HEARING ON THE APPLICATION. 11 THE HEARING MAY BE HELD BEFORE A HEARING EXAMINER. THE HEARING 12 SHALL TAKE PLACE WITHIN THE IDENTIFIED AREA AND MUST COMPLY WITH 13 ALL REQUIREMENTS OF 65 PA.C.S. CH. 7 (RELATING TO OPEN 14 MEETINGS). WITHIN SIXTY DAYS AFTER RECEIPT OF THE APPLICATION, 15 THE BOARD SHALL, IN ITS DISCRETION, APPROVE OR DISAPPROVE THE 16 APPLICATION FOR AN EXEMPTION IN ITS ENTIRETY OR MAY APPROVE AN 17 AREA MORE LIMITED FOR WHICH THE EXEMPTION WILL BE GRANTED. THERE 18 SHALL BE A RIGHT TO APPEAL TO THE COURT OF COMMON PLEAS IN THE 19 SAME MANNER AS PROVIDED BY THIS ACT FOR APPEALS FROM REFUSALS TO 20 GRANT LICENSES. 21 Section 33 29. Section 498(g) of the act, amended February <-- 22 21, 2002 (P.L.103, No.10), is amended to read: 23 Section 498. Unlawful Advertising.-- * * * 24 (g) For purposes of this subsection, the term 25 "advertisement" shall mean any advertising of alcoholic 26 beverages through the medium of radio broadcast, television 27 broadcast, newspapers, periodicals or other publication, outdoor 28 advertisement, any form of electronic transmission or any other 29 printed or graphic matter, including booklets, flyers or cards, 30 or on the product label or attachment itself. 20020S1365B2412 - 54 -
1 Section 34 30. Section 505.2(2) of the act, amended November <-- 2 10, 1999 (P.L.514, No.49), is amended to read: 3 Section 505.2. Limited Wineries.--In the interest of 4 promoting tourism and recreational development in Pennsylvania, 5 holders of a limited winery license may: 6 * * * 7 (2) Sell alcoholic cider, wine and wine coolers produced by 8 the limited winery or purchased in bulk in bond from another 9 Pennsylvania limited winery on the licensed premises, under such 10 conditions and regulations as the board may enforce, to the 11 board, to individuals and to brewery, hotel, restaurant, club 12 and public service liquor licensees, and to Pennsylvania winery 13 licensees: Provided, That a limited winery shall not, in any 14 calendar year, purchase alcoholic cider or wine produced by 15 other limited wineries in an amount in excess of fifty per 16 centum of the alcoholic cider or wine produced by the purchasing 17 limited winery in the preceding calendar year. In addition, the 18 holder of a limited winery license may purchase wine in bottles 19 from another Pennsylvania limited winery if these wines undergo 20 a second fermentation process. Such wine may be sold in bottles 21 bearing the purchasing limited winery's label or the producing 22 limited winery's label. Such wines, if sold by the board, may be 23 sold by the producing limited winery to the purchasing limited 24 winery at a price lower than the price charged by the board. 25 * * * 26 Section 35 31. Sections 505.3, 509 and 515 AND 509 of the <-- 27 act are amended to read: 28 [Section 505.3. Distilleries.--Distilleries of historical 29 significance established more than one hundred years prior to 30 January 1, 1975 which hold a license issued under section 505 20020S1365B2412 - 55 -
1 may sell liquor produced by the distillery on the licensed 2 premises under such conditions and regulations as the board may 3 enforce.] 4 Section 509. License Must Be Posted; Business Hours.-- 5 Licenses shall be issued by the board under its official seal. 6 Every license so issued must at all times be posted in a 7 conspicuous place where the business is carried on under it[, 8 and said place of business must be kept open during general 9 business hours of every day in the year except Sundays and legal 10 holidays]. Licensees may be open every day except limited 11 wineries which may be open as set forth by the board through 12 regulations. 13 Section 515. Appeals.--The [board, the] enforcement bureau <-- 14 or any applicant or any licensee aggrieved by any decision 15 refusing, suspending or revoking a license under the provisions 16 of this article may appeal to the [court of the county in which 17 the licensed premises or the premises to be licensed are 18 located. In the event an applicant or a licensee shall have no 19 place of business established within the Commonwealth, his 20 appeal shall be to the] Commonwealth Court. Such appeal shall be 21 in accordance with 2 Pa.C.S. Ch. 7 Subch. A (relating to 22 judicial review of Commonwealth agency action). 23 Section 36 32. This act shall take effect as follows: <-- 24 (1) The amendment or addition of section 305, 412 and 441(b) 25 of the act shall take effect immediately. 26 (2) This section shall take effect immediately. 27 (3) The remainder of this act shall take effect in 60 days. C7L47RLE/20020S1365B2412 - 56 -