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House of Representatives
Session of 2017 - 2018 Regular Session


Posted: January 20, 2017 09:31 AM
From: Representative Adam Harris and Rep. Paul Costa
To: All House members
Subject: Trans-shipping Beer Changes
In the near future, we will be introducing legislation to amend the Liquor Code to modify changes to the trans-shipping of beer language that was enacted in Act 166, of 2016.

Act 166, of 2016 included language which would prohibit a distributor from selling beer outside of the territory of the Importing Distributor from which they purchased the beer. Under this act if a licensee accepts the delivery of beer received outside its franchise territory or transfers it to another of their licensed locations the receiving licensee is subject to a suspension of at least 30 days.

While this language was intended to clarify that licensees are only to buy from within their franchise territory, unfortunately the ambiguity in the Liquor Code has caused great concern to our many small family owned beer distributors.

To address the concerns of the beer distributors we will be introducing language which would:
  • Delay the effective date of the trans-shipping language until April 30, 2017.
  • Modify the penalty for those licensees that receive product outside their franchise territory from the current 30 day suspension to a fine not to exceed $1,000.

It is our hope that delaying implementation will allow our Committee time to fully look at the ramifications of the trans-shipping language and determine a path forward. We hope that you will join us in co-sponsoring this important piece of legislation. Thank you in advance for your support.

Introduced as HB282