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| THE GENERAL ASSEMBLY OF PENNSYLVANIA |
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| HOUSE BILL |
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| INTRODUCED BY PAYNE, HELM, KILLION AND WAGNER, MAY 9, 2011 |
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| REFERRED TO COMMITTEE ON LIQUOR CONTROL, MAY 9, 2011 |
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| AN ACT |
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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 | further providing for enforcement, for malt and brewed |
18 | beverages manufacturers', distributors' and importing |
19 | distributors' licenses, for malt or brewed beverages |
20 | manufactured outside this Commonwealth and for brand |
21 | registration. |
22 | The General Assembly of the Commonwealth of Pennsylvania |
23 | hereby enacts as follows: |
24 | Section 1. Section 211(a) of act of April 12, 1951 (P.L.90, |
25 | No.21), known as the Liquor Code, reenacted and amended June 29, |
26 | 1987 (P.L.32, No.14), is amended by adding a paragraph to read: |
27 | Section 211. Enforcement.--(a) There is created within the |
28 | Pennsylvania State Police a Bureau of Liquor Control Enforcement |
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1 | which shall be responsible for enforcing this act and any |
2 | regulations promulgated pursuant thereto. Officers and |
3 | investigators assigned to the bureau shall have the power and |
4 | their duty shall be: |
5 | * * * |
6 | (8) Nothing in this act shall be construed to grant the |
7 | Pennsylvania State Police Bureau of Liquor Control Enforcement |
8 | the authority to investigate allegations of licensees selling |
9 | unregistered malt or brewed beverages. The authority to |
10 | investigate unregistered malt or brewed beverages rests with the |
11 | malt beverage compliance officer pursuant to section 445(b). |
12 | * * * |
13 | Section 2. Sections 431(c), 444(c) and 445 of the act are |
14 | amended to read: |
15 | Section 431. Malt and Brewed Beverages Manufacturers', |
16 | Distributors' and Importing Distributors' Licenses.--* * * |
17 | (c) The aforesaid licenses shall be issued only to reputable |
18 | individuals, partnerships and associations who are, or whose |
19 | members are, citizens of the United States and [have for two |
20 | years prior to the date of their applications been] are |
21 | residents of the Commonwealth of Pennsylvania or to reputable |
22 | corporations organized or duly registered under the laws of the |
23 | Commonwealth of Pennsylvania. Such licenses shall be issued to |
24 | corporations duly organized or registered under the laws of the |
25 | Commonwealth of Pennsylvania only when it appears that all of |
26 | the officers and directors of the corporation are citizens of |
27 | the United States and [have been] are residents of the |
28 | Commonwealth of Pennsylvania [for a period of at least two years |
29 | prior to the date of application], and that at least fifty-one |
30 | per centum of the capital stock of such corporation is actually |
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1 | owned by individuals who are citizens of the United States and |
2 | [have been] are residents of the Commonwealth of Pennsylvania |
3 | [for a period of at least two years prior to the date of |
4 | application]: Provided, That the provisions of this subsection |
5 | with respect to residence requirements shall not apply to |
6 | individuals, partners, officers, directors and owners of capital |
7 | stock, of corporations licensed or applying for licenses as |
8 | manufacturers of malt or brewed beverages, nor shall the |
9 | provisions of this subsection with respect to stockholder |
10 | requirements apply to corporations licensed or applying for |
11 | licenses as manufacturers of malt or brewed beverages. |
12 | * * * |
13 | Section 444. Malt or Brewed Beverages Manufactured Outside |
14 | This Commonwealth.--* * * |
15 | (c) Any malt or brewed beverages manufactured outside of |
16 | Pennsylvania which are sold, transported or possessed in |
17 | Pennsylvania contrary to any such regulations or orders of the |
18 | board, or without the payment of the fees herein required, shall |
19 | be considered contraband and shall be [confiscated by the board |
20 | and disposed of in the same manner as any other illegal liquor |
21 | or malt or brewed beverages] left on the licensed premises where |
22 | found under orders not to sell such contraband until such time |
23 | as the malt or brewed beverage manufacturer comes into |
24 | compliance with Pennsylvania's regulations or until the licensee |
25 | holding the contraband can return it to the manufacturer and be |
26 | fully reimbursed. |
27 | * * * |
28 | Section 445. Brand Registration.--(a) No brand or brands of |
29 | malt or brewed beverages shall be offered, sold or delivered to |
30 | any trade buyer within this Commonwealth unless the manufacturer |
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1 | thereof shall first submit an application in the form and manner |
2 | prescribed by the board for the registration of the said brand |
3 | or brands of malt beverages, together with an annual filing fee |
4 | not to exceed twenty-five dollars ($25) for each brand |
5 | registration requested. In the event an out-of-State or foreign |
6 | manufacturer of malt or brewed beverages has granted franchise |
7 | rights to any person for the sale and distribution of its brand |
8 | products but which person is not licensed to sell and distribute |
9 | the same in this Commonwealth, said such person shall |
10 | nevertheless be required to register the involved brand before |
11 | offering the same for sale in Pennsylvania. It is further |
12 | conditioned that the person holding such franchise rights shall, |
13 | together with its application for brand registration, file with |
14 | the board copies of all agreements between it and the |
15 | Pennsylvania importing distributor appointed by such person to |
16 | sell and distribute the brands of malt or brewed beverages as |
17 | provided by sections 431 and 492. Such agreement shall contain |
18 | the manufacturer's consent and approval to the appointment of |
19 | the Pennsylvania importing distributor and the rights conferred |
20 | thereunder. |
21 | (b) The board shall employ a malt beverage compliance |
22 | officer whose duties shall include investigating reports of |
23 | unregistered brands of malt or brewed beverages being sold by |
24 | licensees in addition to any other duties the board shall assign |
25 | the officer. If the malt beverage compliance officer finds that |
26 | a licensee is selling malt or brewed beverages that are |
27 | unregistered in this Commonwealth, he shall give the |
28 | manufacturer of the malt or brewed beverages written notice that |
29 | the manufacturer has ten days to register the malt or brewed |
30 | beverages with the board. During that ten-day period in which |
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1 | the manufacturer has to come into compliance with brand |
2 | registration, the unregistered malt or brewed beverages shall |
3 | remain on the licensee's premises but may not be sold. Should |
4 | the manufacturer fail to register the malt or brewed beverages |
5 | with the board within ten days, the manufacturer shall be |
6 | required to remove the unregistered malt or brewed beverages |
7 | from the licensee's premises and reimburse the licensee for all |
8 | unregistered products that cannot be sold in this Commonwealth. |
9 | (c) Any person filing a report pursuant to section 2004 of |
10 | the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform |
11 | Code of 1971, shall, within seven days of filing the report with |
12 | the Department of Revenue, file the same report with the board. |
13 | The board shall maintain these reports online, where they will |
14 | be accessible to the general public, within fourteen days of |
15 | their receipt. |
16 | Section 3. This act shall take effect in 60 days. |
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