PRIOR PRINTER'S NOS. 1793, 2631, 3066,        PRINTER'S NO. 4055
        3470, 3972

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1527 Session of 1979


                     Report of the Committee of Conference

        To the Members of the House of Representatives and Senate:

           We, the undersigned, Committee of Conference on the part of
        the House of Representatives and Senate for the purpose of
        considering House Bill No. 1527, entitled:
        "An act amending the act of April 12, 1951 (P.L.90, No.21),
        entitled 'An act relating to alcoholic liquors, alcohol and malt
        and brewed beverages; * * *,' PERMITTING CERTAIN HOTEL OR
        RESTAURANT LIQUOR LICENSEES TO SELL LIQUOR AND MALT OR BREWED
        BEVERAGES ON ELECTION DAYS, further providing for penalties for
        out-of-state manufacturers of malt or brewed beverages; FURTHER
        DEFINING THE TERM "INCORPORATED UNIT OF A NATIONAL VETERANS'
        ORGANIZATION" and making editorial changes."


        respectfully submit the following bill as our report:

                                           STANFORD I. LEHR

                                           GEORGE C. HASAY

                                           FRED TAYLOR

                (Committee on the part of the House of Representatives.)

                                           JAMES R. KELLEY

                                           FRANK J. O'CONNELL

                                  (Committee on the part of the Senate.)



                                     AN ACT

     1  Amending the act of April 12, 1951 (P.L.90, No.21), entitled "An
     2     act relating to alcoholic liquors, alcohol and malt and
     3     brewed beverages; amending, revising, consolidating and
     4     changing the laws relating thereto; regulating and
     5     restricting the manufacture, purchase, sale, possession,
     6     consumption, importation, transportation, furnishing, holding
     7     in bond, holding in storage, traffic in and use of alcoholic
     8     liquors, alcohol and malt and brewed beverages and the
     9     persons engaged or employed therein; defining the powers and
    10     duties of the Pennsylvania Liquor Control Board; providing
    11     for the establishment and operation of State liquor stores,
    12     for the payment of certain license fees to the respective
    13     municipalities and townships, for the abatement of certain
    14     nuisances and, in certain cases, for search and seizure
    15     without warrant; prescribing penalties and forfeitures;
    16     providing for local option, and repealing existing laws,"
    17     further providing for penalties for out-of-state
    18     manufacturers of malt or brewed beverages; providing for
    19     licenses of incorporated units of national veterans'
    20     organizations; authorizing the board to transfer certain
    21     licenses to performing arts facilities; providing for certain
    22     licensees who are immediately adjacent to bowling alleys;
    23     further providing for establishments proximate to interstate
    24     highways and making editorial changes.

    25     The General Assembly of the Commonwealth of Pennsylvania
    26  hereby enacts as follows:
    27     Section 1.  Section 102, act of April 12, 1951 (P.L.90,
    28  No.21), known as the "Liquor Code," is amended by adding a
    29  definition to read:
    30     Section 102.  Definitions.--The following words or phrases,
    31  unless the context clearly indicates otherwise, shall have the
    32  meanings ascribed to them in this section:
    33     * * *
    34     "Performing arts facilities" shall mean those halls or
    35  theaters in which live musical, concert dance, ballet and
    36  legitimate play book-length productions are performed.
    37  Performing arts facilities shall not mean those halls or
    38  theaters in which burlesque shows or reviews are performed.
    39     * * *
    40     Section 2.  Subsection (a) of section 406 of the act, amended

     1  July 3, 1980 (No.88), is amended to read:
     2     Section 406.  Sales by Liquor Licensees; Restrictions.--(a)
     3  Every hotel, restaurant or club liquor licensee may sell liquor
     4  and malt or brewed beverages by the glass, open bottle or other
     5  container, and in any mixture, for consumption only in that part
     6  of the hotel or restaurant habitually used for the serving of
     7  food to guests or patrons, or in a bowling alley that is
     8  immediately adjacent to and under the same roof as a restaurant
     9  when no minors are present in the bowling alley, and in the case
    10  of hotels, to guests, and in the case of clubs, to members, in
    11  their private rooms in the hotel or club. No club licensee nor
    12  its officers, servants, agents or employes, other than one
    13  holding a catering license, shall sell any liquor or malt or
    14  brewed beverages to any person except a member of the club. In
    15  the case of a restaurant located in a hotel which is not
    16  operated by the owner of the hotel and which is licensed to sell
    17  liquor under this act, liquor and malt or brewed beverages may
    18  be sold for consumption in that part of the restaurant
    19  habitually used for the serving of meals to patrons and also to
    20  guests in private guest rooms in the hotel. For the purpose of
    21  this paragraph, any person who is an active member of another
    22  club which is chartered by the same state or national
    23  organization shall have the same rights and privileges as
    24  members of the particular club. For the purpose of this
    25  paragraph, any person who is an active member of any volunteer
    26  firefighting company, association or group of this Commonwealth,
    27  whether incorporated or unincorporated, shall upon the approval
    28  of any club composed of volunteer firemen licensed under this
    29  act, have the same social rights and privileges as members of
    30  such licensed club. For the purposes of this paragraph, the term
    19790H1527B4055                  - 2 -

     1  "active member" shall not include a social member.
     2     Hotel and restaurant liquor licensees, airport restaurant
     3  liquor licensees and municipal golf course restaurant liquor
     4  licensees may sell liquor and malt or brewed beverages only
     5  after seven o'clock antemeridian of any day until two o'clock
     6  antemeridian of the following day, except Sunday, and except as
     7  hereinafter provided, may sell liquor and malt or brewed
     8  beverages on Sunday between the hours of twelve o'clock midnight
     9  and two o'clock antemeridian.
    10     Hotel and restaurant liquor licensees, airport restaurant
    11  liquor licensees and municipal golf course restaurant liquor
    12  licensees whose sales of food and nonalcoholic beverages are
    13  equal to forty per centum or more of the combined gross sales of
    14  both food and alcoholic beverages may sell liquor and malt or
    15  brewed beverages on Sunday between the hours of one o'clock
    16  postmeridian and two o'clock antemeridian Monday upon purchase
    17  of a special annual permit from the board at a fee of two
    18  hundred dollars ($200.00) per year, which shall be in addition
    19  to any other license fees.
    20     Hotel and restaurant liquor licensees, airport restaurant
    21  liquor licensees and municipal golf course restaurant liquor
    22  licensees which do not qualify for and purchase such annual
    23  special permit, their servants, agents or employes may sell
    24  liquor and malt or brewed beverages only after seven o'clock
    25  antemeridian of any day and until two o'clock antemeridian of
    26  the following day, and shall not sell after two o'clock
    27  antemeridian on Sunday. No hotel, restaurant and public service
    28  liquor licensee shall sell liquor and malt or brewed beverages
    29  after two o'clock antemeridian on any day on which a general,
    30  municipal, special or primary election is being held until one
    19790H1527B4055                  - 3 -

     1  hour after the time fixed by law for closing the polls, except,
     2  that, in the case of a special election for members of the
     3  General Assembly or members of the Congress of the United
     4  States, when such special election is held on other than a
     5  primary, municipal or general election day, licensees in those
     6  Legislative or Congressional Districts may make such sales, as
     7  though the day were not a special election day. No club licensee
     8  or its servants, agents or employes may sell liquor or malt or
     9  brewed beverages between the hours of three o'clock antemeridian
    10  and seven o'clock antemeridian on any day. No public service
    11  liquor licensee or its servants, agents, or employes may sell
    12  liquor or malt or brewed beverages between the hours of two
    13  o'clock antemeridian and seven o'clock antemeridian on any day.
    14     Any hotel, restaurant, club or public service liquor licensee
    15  may, by [given] giving notice to the board, advance by one hour
    16  the hours herein prescribed as those during which liquor and
    17  malt or brewed beverages may be sold during such part of the
    18  year when daylight saving time is being observed generally in
    19  the municipality in which the place of business of such licensee
    20  is located. Any licensee who elects to operate his place of
    21  business in accordance with daylight saving time shall post a
    22  conspicuous notice in his place of business that he is operating
    23  in accordance with daylight saving time.
    24     Notwithstanding any provisions to the contrary, whenever the
    25  thirty-first day of December falls on a Sunday, every hotel or
    26  restaurant liquor licensee, their servants, agents or employes
    27  may sell liquor and malt or brewed beverages on any such day
    28  after one o'clock postmeridian and until two o'clock
    29  antemeridian of the following day.
    30     * * *
    19790H1527B4055                  - 4 -

     1     Section 3.  The act is amended by adding a section to read:
     2     Section 408.7.  Performing Arts Facilities.--(a)  The board
     3  is authorized to transfer a restaurant liquor license purchased
     4  by any person or by a concessionaire selected by such person in
     5  any city of the first or second class for the retail sale of
     6  liquor and malt or brewed beverages by the glass, open bottles
     7  or other container or in any mixture for consumption on any
     8  city-owned premises utilized as a performing arts facility or
     9  any other premise utilized as a performing arts facility where
    10  there is an available seating capacity within the premises of
    11  one thousand or more: Provided, however, That no sale or
    12  consumption of such beverages shall take place on any portions
    13  of such premises other than service areas approved by the board.
    14     (b)  An application for transfer may be filed at any time by
    15  a person operating such a theater for the performing arts or by
    16  a concessionaire selected by such person. Any such license
    17  granted under these provisions need not conform to the
    18  requirements of the act relating to restaurant liquor licenses,
    19  except as provided herein. Applicant shall submit such other
    20  information as the board may require. Applications shall be in
    21  writing on forms prescribed by the board and shall be signed and
    22  submitted to the board by the applicant. The filing fee which
    23  shall accompany the license transfer application shall be thirty
    24  dollars ($30).
    25     (c)  Upon receipt of the application in proper form and the
    26  application fee and upon being satisfied that the applicant is
    27  of good repute and financially responsible and that the proposed
    28  place of business is proper, the board shall transfer the
    29  restaurant liquor license for the performing arts facility.
    30     (d)  The license shall be transferred for the same period of
    19790H1527B4055                  - 5 -

     1  time as provided for restaurant licenses and shall be renewed as
     2  provided in section 402. The license shall terminate upon
     3  revocation by the board or upon termination and nonrenewal of
     4  the contract between the concessionaire and such person.
     5     (e)  The annual fee for a performing arts facility shall be
     6  as provided in section 405 and shall accompany the application
     7  for the license. Whenever and if a concessionaire's contract
     8  terminates and is not renewed the license shall be returned to
     9  the board for cancellation and the board may transfer a
    10  restaurant liquor license purchased by a subsequent applicant.
    11     (f)  The penal sum of the bond which shall be filed by an
    12  applicant for a performing arts facility pursuant to section 465
    13  shall be two thousand dollars ($2,000).
    14     (g)  Sales by the holder of a performing arts facility
    15  license may be made except to those persons prohibited under
    16  clause (1) of section 493 on board-approved service areas of the
    17  premises of such a facility for the performing arts during the
    18  hours in which the performance is being held and up to one hour
    19  before the scheduled opening and one hour after the scheduled
    20  closing, but such sales may not be made beyond the hours
    21  expressed in the code for the sale of liquor and malt or brewed
    22  beverages by restaurant licensees: Provided, however, That such
    23  sales may be made on Sunday between the hours of one o'clock
    24  postmeridian and ten o'clock postmeridian, irrespective of the
    25  volume of food sales.
    26     (h)  Whenever a contract with a concessionaire is terminated
    27  prior to the expiration date provided in the contract between
    28  such person and the concessionaire and is not renewed, such
    29  person may apply to the board for the transfer of a restaurant
    30  liquor license purchased by such person, or may select and
    19790H1527B4055                  - 6 -

     1  certify to the board a different concessionaire which
     2  concessionaire shall apply to the board for the transfer of a
     3  restaurant liquor license purchased by such concessionaire. If
     4  the applicant meets the requirements of the board as herein
     5  provided, a transfer shall thereupon occur. If any such
     6  performing arts facility license is revoked, the board shall
     7  transfer a license for any qualified applicant who has purchased
     8  a restaurant liquor license without regard to the prohibition in
     9  section 471, against the grant of a license at the same premises
    10  for a period of at least one year.
    11     (i)  Performing arts licenses shall not be subject to the
    12  provisions of section 404 except insofar as they relate to the
    13  reputation of the applicant nor to the provisions of section
    14  463, nor to the provisions of clause (10) of section 493.
    15     (j)  Sales under such licenses (including food sales) may be
    16  limited by the licensee to portions of the events scheduled in
    17  the facility of the performing arts. Provided food is offered
    18  for sale when sales are made under the license, such food may be
    19  catered from off the premises.
    20     Section 4.  Subsection (b) of section 442 of the act, amended
    21  October 9, 1967 (P.L.413, No.183), is amended to read:
    22     Section 442.  Retail Dispensers' Restrictions on Purchases
    23  and Sales.--* * *
    24     (b)  No retail dispenser shall sell any malt or brewed
    25  beverages for consumption on the licensed premises except in a
    26  room or rooms or place on the licensed premises at all times
    27  accessible to the use and accommodation of the general public,
    28  but this section shall not be interpreted to prohibit a retail
    29  dispenser from selling malt or brewed beverages in a hotel or
    30  club house in any room of such hotel or club house occupied by a
    19790H1527B4055                  - 7 -

     1  bona fide registered guest or member entitled to purchase the
     2  same or to prohibit a retail dispenser from selling malt or
     3  brewed beverages in a bowling alley when no minors are present
     4  where the licensed premises and bowling alley are immediately
     5  adjacent and under the same roof.
     6     * * *
     7     Section 5.  Subsections (e), (f) and (i) of section 444 of
     8  the act are amended to read:
     9     Section 444.  Malt or Brewed Beverages Manufactured Outside
    10  This Commonwealth.--* * *
    11     (e)  Upon such hearing, whether or not an appearance was made
    12  by such outside manufacturer, if satisfied that any such
    13  violation has occurred, the board is specifically empowered and
    14  directed to [immediately issue an order prohibiting the
    15  importation of malt or brewed beverages manufactured by such
    16  manufacturer into this Commonwealth for a period of not less
    17  than six months nor more than three years] issue an order
    18  imposing a fine upon such outside manufacturer of not less than
    19  five hundred dollars ($500) or more than ten thousand dollars
    20  ($10,000), or prohibiting the importation of malt or brewed
    21  beverages manufactured by such outside manufacturer into this
    22  Commonwealth for a period not exceeding three years, or both.
    23  Such fine or prohibition shall not go into effect until twenty
    24  days have elapsed from the date of notice of issuance of the
    25  board's order, during which time such manufacturer may take an
    26  appeal as provided for in this act. The aforesaid appeal shall
    27  act as a supersedeas unless upon sufficient cause shown the
    28  court shall determine otherwise.
    29     (f)  [Notice] If, after hearing, the board prohibits the
    30  importation of malt or brewed beverages manufactured by such
    19790H1527B4055                  - 8 -

     1  outside manufacturer into this Commonwealth, notice of such
     2  board action shall be given immediately to such manufacturer and
     3  to all persons licensed to import malt or brewed beverages
     4  within this Commonwealth by mailing a copy of such order to such
     5  manufacturer at its principal place of business, wherever
     6  located, and to such licensees at their licensed premises.
     7  Thereafter, it shall be unlawful for any person licensed to
     8  import malt or brewed beverages within this Commonwealth to
     9  purchase [or sell] any malt or brewed beverages manufactured by
    10  such outside manufacturer during the term of such prohibition.
    11     * * *
    12     (i)  Any outside manufacturer aggrieved by the action of the
    13  board may appeal to the [quarter sessions court of Dauphin
    14  County] Commonwealth Court in the same manner as herein provided
    15  for appeals from refusals to grant licenses. Upon appeal, the
    16  court shall in the exercise of its discretion, sustain, reject,
    17  alter or modify the findings, conclusions and penalties of the
    18  board, based on the findings of fact and conclusions of law as
    19  found by the court.
    20     Section 6.  Subsections (a) and (f) of section 461 of the
    21  act, subsection (a) amended July 11, 1980 (No.117) and
    22  subsection (f) added June 1, 1978 (P.L.451, No.56), are amended
    23  to read:
    24     Section 461.  Limiting Number of Retail Licenses To Be Issued
    25  In Each Municipality.--(a)  No licenses shall hereafter be
    26  granted by the board for the retail sale of malt or brewed
    27  beverages or the retail sale of liquor and malt or brewed
    28  beverages in excess of one of such licenses of any class for
    29  each two thousand inhabitants in any municipality, exclusive of
    30  licenses granted to airport restaurants, municipal golf courses,
    19790H1527B4055                  - 9 -

     1  and hotels [and incorporated units of national veterans'
     2  organizations], as defined in this section, and clubs; but at
     3  least one such license may be granted in each municipality and
     4  in each part of a municipality where such municipality is split
     5  so that each part thereof is separated by another municipality,
     6  except in municipalities where the electors have voted against
     7  the granting of any retail licenses and except in that part of a
     8  split municipality where the electors have voted against the
     9  granting of any retail licenses. Nothing contained in this
    10  section shall be construed as denying the right to the board to
    11  renew or to transfer existing retail licenses of any class
    12  notwithstanding that the number of such licensed places in a
    13  municipality shall exceed the limitation hereinbefore
    14  prescribed; but where such number exceeds the limitation
    15  prescribed by this section, no new license, except for hotels,
    16  municipal golf courses, and airport restaurants [and
    17  incorporated units of national veterans' organizations], as
    18  defined in this section, shall be granted so long as said
    19  limitation is exceeded.
    20     * * *
    21     [(f)  The term "national veterans' organization" shall mean
    22  any veterans' organization having a national charter.
    23     The term "incorporated unit of a national veterans'
    24  organization" shall mean any incorporated post, branch, camp,
    25  detachment, lodge or other subordinate unit of a national
    26  veterans' organization having one hundred or more paid up
    27  members as of, and organized prior to, January 1, 1975.]
    28     Section 7.  The act is amended by adding a section to read:
    29     Section 461.1.  Incorporated Units of National Veterans'
    30  Organizations.--(a)  The board shall have the authority to issue
    19790H1527B4055                 - 10 -

     1  new licenses to incorporated units of national veterans'
     2  organizations, as defined herein, in municipalities where the
     3  number of licenses exceeds the limitation prescribed by section
     4  461.
     5     (b)  The term "national veterans' organization" shall mean
     6  any veterans' organization having a national charter.
     7     The term "incorporated unit of a national veterans'
     8  organization" shall mean any incorporated post, branch, camp,
     9  detachment, lodge or other subordinate unit of a national
    10  veterans' organization having one hundred or more paid up
    11  members and organized for a period of at least three years prior
    12  to filing the application for a license.
    13     (c)  When the charter of an incorporated unit of a national
    14  veterans' organization is suspended or revoked, the retail
    15  license of the organization shall also be suspended or revoked.
    16  The retail license of an incorporated unit of a national
    17  veterans' organization is not transferable to any other
    18  organization or person.
    19     Section 8.  Section 463 of the act is amended by adding a
    20  subsection to read:
    21     Section 463.  Places of Amusement Not To Be Licensed;
    22  Penalty.--* * *
    23     (a.2)  Nothing contained in this act shall be construed to
    24  prevent the holder of restaurant liquor or malt and brewed
    25  beverage license from selling liquor and malt or brewed
    26  beverages in a bowling alley when no minors are present where
    27  the restaurant and bowling alley are immediately adjacent and
    28  under the same roof. The restaurant liquor or malt and brewed
    29  beverage licensee aforementioned shall be subject to all the
    30  conditions and restrictions applicable to such restaurant
    19790H1527B4055                 - 11 -

     1  licenses except the above prohibition against any passageway or
     2  communication between a licensed premise and a place of
     3  amusement.
     4     * * *
     5     Section 9.  Subsection (a) of section 475 of the act, added
     6  November 26, 1978 (P.L.1389, No.326), is amended to read:
     7     Section 475.  Establishments Proximate to Interstate Highways
     8  Not To Be Licensed.--(a)  No license for the sale of liquor or
     9  malt or brewed beverages in any quantity shall be granted to the
    10  proprietor, lessee, keeper or manager of an establishment [any
    11  part of] the entrance to which is located within three hundred
    12  feet of any part of a ramp of an interstate limited access
    13  highway.
    14     * * *
    15     Section 10.  Clause (6) of section 491 of the act is amended
    16  to read:
    17     Section 491.  Unlawful Acts Relative to Liquor, Alcohol and
    18  Liquor Licensees.--
    19     It shall be unlawful--
    20     * * *
    21     (6)  Sales by Restaurant and Hotel Liquor Licensees. For any
    22  restaurant or hotel licensee, his servants, agents or employes,
    23  to sell any liquor or malt or brewed beverages for consumption
    24  on the licensed premises except in a room or rooms or place on
    25  the licensed premises at all times accessible to the use and
    26  accommodation of the general public, but this section shall not
    27  be interpreted to prohibit a hotel licensee, or a restaurant
    28  licensee when the restaurant is located in a hotel, from selling
    29  liquor or malt or brewed beverages in any room of such hotel
    30  occupied by a bona fide guest or to prohibit a restaurant
    19790H1527B4055                 - 12 -

     1  licensee from selling liquor or malt or brewed beverages in a
     2  bowling alley when no minors are present where the restaurant
     3  and bowling alley are immediately adjacent and under the same
     4  roof.
     5     * * *
     6     Section 11.  This act shall take effect immediately.
















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