SENATE AMENDED
        PRIOR PRINTER'S NOS. 1102, 1366, 1735,        PRINTER'S NO. 1941
        1864

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1000 Session of 1987


        INTRODUCED BY SALOOM, BELARDI, JAROLIN, MANMILLER, MANDERINO,
           LAUGHLIN, IRVIS, O'DONNELL, FEE, DOMBROWSKI, ITKIN, PETRARCA,
           COY, D. R. WRIGHT, ACOSTA, PETRONE, YANDRISEVITS, HALUSKA,
           DUFFY, WAMBACH, LaGROTTA, VAN HORNE, GAMBLE, LETTERMAN,
           COLAFELLA, VEON AND CALTAGIRONE, APRIL 7, 1987

        SENATOR TILGHMAN, APPROPRIATIONS, IN SENATE, RE-REPORTED AS
           AMENDED, JUNE 24, 1987

                                     AN ACT

     1  Reenacting and amending the act of April 12, 1951 (P.L.90,
     2     No.21), entitled "An act relating to alcoholic liquors,
     3     alcohol and malt and brewed beverages; amending, revising,
     4     consolidating and changing the laws relating thereto;
     5     regulating and restricting the manufacture, purchase, sale,
     6     possession, consumption, importation, transportation,
     7     furnishing, holding in bond, holding in storage, traffic in
     8     and use of alcoholic liquors, alcohol and malt and brewed
     9     beverages and the persons engaged or employed therein;
    10     defining the powers and duties of the Pennsylvania Liquor
    11     Control Board; providing for the establishment and operation
    12     of State liquor stores, for the payment of certain license
    13     fees to the respective municipalities and townships, for the
    14     abatement of certain nuisances and, in certain cases, for
    15     search and seizure without warrant; prescribing penalties and
    16     forfeitures; providing for local option, and repealing
    17     existing laws," providing for the creation REESTABLISHMENT,    <--
    18     powers and duties of the Alcoholic Beverages Commission        <--
    19     BOARD; providing ethical standards for the commission BOARD    <--
    20     and its members and employees; establishing administrative
    21     officers and units for the administration and enforcement of
    22     the act; providing for the powers and duties of the Auditor
    23     General, State Treasurer, Attorney General and Pennsylvania
    24     State Police; regulating advertising; REGULATING ADVERTISING;  <--
    25     further providing for licenses, FOR BRAND REGISTRATION, for    <--
    26     penalties, for funding and for disposition of moneys; and
    27     transferring personnel, property and appropriations.

    28                         TABLE OF CONTENTS

     1  ARTICLE I.  PRELIMINARY PROVISIONS.
     2     Section 101.  Short Title.
     3     Section 102.  Definitions.
     4     Section 103.  Saving Clause.
     5     Section 104.  Interpretation of Act.
     6  ARTICLE II.  ALCOHOLIC BEVERAGES COMMISSION.                      <--
     7  ARTICLE II.  PENNSYLVANIA LIQUOR CONTROL BOARD.                   <--
     8     Section 201.  Appointment of Members; Terms; Salaries.
     9     Section 202.  Qualifications of Members.
    10     Section 203.  Chairman of Commission BOARD.                    <--
    11     Section 204.  Executive Director.                              <--
    12     SECTION 204.  SECRETARY OF BOARD.                              <--
    13     Section 205.  Bonds Required of Members and Executive          <--
    14                     Director SECRETARY.                            <--
    15     Section 206.  Commission BOARD Subject to                      <--
    16                     Administrative Code.
    17     Section 206.1.Commission BOARD AND ENFORCEMENT BUREAU          <--
    18                     Subject to State Ethics and Adverse Interest
    19                     Acts.
    20     Section 207.  General Powers of Commission BOARD.              <--
    21     Section 208.  Specific Subjects on Which Commission            <--
    22                     BOARD May Adopt Regulations.                   <--
    23     Section 209.  Officers and Investigators of the Board to be
    24                     Peace Officers; Powers (Repealed).
    25     Section 210.  Restrictions on Members of the Commission        <--
    26                     BOARD and CERTAIN Employes of Commonwealth.    <--
    27     Section 211.  Enforcement.
    28     Section 212.  Office of Administrative Law Judge.
    29     Section 213.  Office of Chief Counsel.                         <--
    30     Section 214 213.  Bureau of Consumer Relations.                <--
    19870H1000B1941                  - 2 -

     1     Section 215 214.  Prohibitions.                                <--
     2     Section 216 215.  Wine Marketing.                              <--
     3  ARTICLE III.  PENNSYLVANIA LIQUOR STORES.
     4     Section 301.  Commission BOARD to Establish State              <--
     5                     Liquor Stores.
     6     Section 302.  Selection of Personnel.
     7     Section 303.  Management of Pennsylvania Liquor Stores.
     8     Section 304.  When Sales May Be Made at Pennsylvania Liquor
     9                     Stores.
    10     Section 305.  Sales by Pennsylvania Liquor Stores.
    11     Section 306.  Audits by Auditor General.
    12  ARTICLE IV.  LICENSES AND REGULATIONS; LIQUOR, ALCOHOL AND
    13                 MALT AND BREWED BEVERAGES.
    14         (A)  Liquor and Alcohol (Not Including Manufacturers).
    15     Section 401.  Authority to Issue Liquor Licenses to Hotels,
    16                     Restaurants and Clubs.
    17     Section 402.  License Districts; License Year; Hearings.
    18     Section 403.  Applications for Hotel, Restaurant and Club
    19                     Liquor Licenses.
    20     Section 404.  Issuance of Hotel, Restaurant and Club Liquor
    21                     Licenses.
    22     Section 405.  License Fees.
    23     Section 406.  Sales by Liquor Licensees; Restrictions.
    24     Section 406.1.Secondary Service Area.
    25     Section 407.  Sale of Malt or Brewed Beverages by Liquor
    26                     Licensees.
    27     Section 408.  Public Service Liquor Licenses.
    28     Section 408.1.Trade Show and Convention Licenses.
    29     Section 408.2.City-Owned Stadia.
    30     Section 408.3.Performing Arts Facilities.
    19870H1000B1941                  - 3 -

     1     Section 408.4.Special Occasion Permits.
     2     Section 408.5.Licenses for City-owned Art Museums, Cities
     3                     First Class and; Art Museums Maintained        <--
     4                     by Certain Non-profit Corporations in Cities
     5                     of the Second Class; AND NON-PROFIT SCIENCE    <--
     6                     AND TECHNOLOGY MUSEUMS IN CITIES OF THE
     7                     FIRST CLASS AND IN CITIES OF THE SECOND CLASS.
     8     Section 408.6.Performing Arts Facilities in Third Class
     9                     Cities.
    10     Section 408.7.Performing Arts Facilities in First and Second
    11                     Class Cities.
    12     Section 408.8.Trade Shows and Convention Licenses; Cities of
    13                     the Third Class.
    14     Section 408.9.Stadium and Restaurant Licenses in Third Class
    15                     Cities.
    16     Section 409.  Sacramental Wine Licenses; Fees; Privileges;
    17                     Restrictions.
    18     Section 410.  Liquor Importers' Licenses; Fees; Privileges;
    19                     Restrictions.
    20     Section 411.  Interlocking Business Prohibited.
    21         (B)  Malt and Brewed Beverages (Including Manufacturers).
    22     Section 431.  Malt and Brewed Beverages Manufacturers',
    23                     Distributors' and Importing Distributors'
    24                     Licenses.
    25     Section 432.  Malt and Brewed Beverages Retail Licenses.
    26     Section 433.  Public Service Licenses.
    27     Section 433.1.Stadium or Arena Permits.
    28     Section 434.  License Year.
    29     Section 435.  Filing of Applications for Distributors',
    30                     Importing Distributors' and Retail
    19870H1000B1941                  - 4 -

     1                     Dispensers' Licenses; Filing Fee.
     2     Section 436.  Application for Distributors', Importing
     3                     Distributors' and Retail Dispensers'
     4                     Licenses.
     5     Section 437.  Prohibitions Against the Grant of Licenses.
     6     Section 438.  Number and Kinds of Licenses Allowed Same
     7                     Licensee.
     8     Section 439.  Malt or Brewed Beverage License Fees.
     9     Section 440.  Sales by Manufacturers of Malt or Brewed
    10                     Beverages; Minimum Quantities.
    11     Section 441.  Distributors' and Importing Distributors'
    12                     Restrictions on Sales, Storage, Etc.
    13     Section 442.  Retail Dispensers' Restrictions on Purchases
    14                     and Sales.
    15     Section 443.  Interlocking Business Prohibited.
    16     Section 444.  Malt or Brewed Beverages Manufactured Outside
    17                     This Commonwealth.
    18     SECTION 445.  BRAND REGISTRATION.                              <--
    19     Section 446.  Breweries.
    20         (C)  General Provisions Applying to Both Liquor and Malt
    21                 and Brewed Beverages.
    22     Section 461.  Limiting Number of Retail Licenses To Be Issued
    23                     In Each Municipality.
    24     Section 461.1.Incorporated Units of National Veterans'
    25                     Organizations.
    26     Section 462.  Licensed Places May Be Closed During Period of
    27                     Emergency.
    28     Section 463.  Places of Amusement Not To Be Licensed;
    29                     Penalty.
    30     Section 464.  Hearings Upon Refusal of Licenses, Renewals or
    19870H1000B1941                  - 5 -

     1                     Transfers; Appeals.
     2     Section 465.  All Licensees to Furnish Bond.
     3     Section 466.  Disposition of Cash and Securities Upon
     4                     Forfeiture of Bond.
     5     Section 467.  Display of License.
     6     Section 468.  Licenses Not Assignable; Transfers.
     7     Section 469.  Applications for Transfers; Fees.
     8     Section 470.  Renewal of Licenses; Temporary Provisions for
     9                     Licensees in Armed Service.
    10     Section 470.1.Renewal of Hotel Liquor Licenses; Special
    11                     Provisions (Repealed).
    12     Section 470.2.Exchange of Hotel Liquor License; Special
    13                     Provisions (Repealed).
    14     Section 471.  Revocation and Suspension of Licenses; Fines.
    15     Section 472.  Local Option.
    16     Section 472.1.Clubs.
    17     Section 472.2.Granting of Liquor Licenses in Certain
    18                     Municipalities.
    19     Section 472.3.Exchange of Certain Licenses.
    20     Section 473.  Public Record.
    21     Section 474.  Surrender of Club Licenses for Benefit of
    22                     Licensees.
    23     Section 475.  Establishments Proximate to Interstate Highways
    24                     Not To Be Licensed.
    25     SECTION 477.  APPLICANTS TO PROVIDE STATE TAX                  <--
    26                     IDENTIFICATION NUMBERS AND STATEMENT OF STATE
    27                     TAX STATUS; WAIVER OF CONFIDENTIALITY OF
    28                     INFORMATION IN THE POSSESSION OF THE
    29                     DEPARTMENT OF REVENUE AND OTHER DEPARTMENTS;
    30                     REVIEW OF STATE TAX STATUS.
    19870H1000B1941                  - 6 -

     1         (D)  Unlawful Acts; Penalties.
     2     Section 491.  Unlawful Acts Relative to Liquor, Alcohol and
     3                     Liquor Licensees.
     4     Section 492.  Unlawful Acts Relative to Malt or Brewed
     5                     Beverages and Licensees.
     6     Section 493.  Unlawful Acts Relative to Liquor, Malt and
     7                     Brewed Beverages and Licensees.
     8     Section 494.  Penalties.
     9     Section 495.  Identification Cards; Licensees and State
    10                     Liquor Store Employes Saved From Prosecution.
    11     Section 496.  Reporting of Worthless Checks.
    12     Section 497.  Liability of Licensees.
    13     Section 498.  Unlawful Advertising.                            <--
    14     SECTION 498.  UNLAWFUL ADVERTISING.                            <--
    15  ARTICLE V.  DISTILLERIES, WINERIES, BONDED WAREHOUSES, BAILEES
    16                 FOR HIRE AND TRANSPORTERS FOR HIRE.
    17     Section 501.  License Required.
    18     Section 502.  Exemptions.
    19     Section 502.1.Production of Denatured Ethyl Alcohol.
    20     Section 503.  Qualifications for License.
    21     Section 504.  Applications; Filing Fees.
    22     Section 505.  Licenses Issued.
    23     Section 505.1.Bonded Warehouse License Privilege
    24                     Restrictions.
    25     Section 505.2.Limited Wineries.
    26     Section 505.3.Distilleries.
    27     Section 506.  Bonds Required.
    28     Section 507.  Hearings on Licenses and Refusals.
    29     Section 508.  License Fees.
    30     Section 509.  License Must Be Posted; Business Hours.
    19870H1000B1941                  - 7 -

     1     Section 510.  Containers To Be Labeled.
     2     Section 511.  License To Specify Each Place Authorized For
     3                     Use.
     4     Section 512.  Records To Be Kept.
     5     Section 513.  Premises and Records Subject To Inspection.
     6     Section 514.  Suspension and Revocation of Licenses.
     7     Section 515.  Appeals.
     8     Section 516.  Compromise Penalty In Lieu of Suspension.
     9     Section 517.  Expiration of Licenses; Renewals.
    10     Section 518.  Unlawful Acts.
    11     Section 519.  Penalties.
    12  ARTICLE VI.  PROPERTY ILLEGALLY POSSESSED OR USED; FORFEITURES;
    13                 NUISANCES.
    14         (A)  Forfeitures.
    15     Section 601.  Forfeiture of Property Illegally Possessed or
    16                     Used.
    17     Section 602.  Forfeiture Proceedings.
    18     Section 603.  Disposition of Forfeited Property.
    19     Section 604.  Motor Vehicle Licenses To Be Revoked.
    20     Section 605.  Application of Subdivision.
    21         (B)  Nuisances.
    22     Section 611.  Nuisances; Actions To Enjoin.
    23  ARTICLE VII.  DEALING IN DISTILLERY BONDED WAREHOUSE
    24                  CERTIFICATES.
    25         (A)  Preliminary Provisions.
    26     Section 701.  Definitions and Interpretation.
    27         (B)  Permits.
    28     Section 702.  Unlawful to Act as a Distillery Certificate
    29                     Broker or to Buy or Sell Distillery Bonded
    30                     Warehouse Certificate Without a Permit.
    19870H1000B1941                  - 8 -

     1     Section 703.  Authority to Issue Permits to Distillery
     2                     Certificate Brokers.
     3     Section 704.  Application for Permit; Filing Fee.
     4     Section 705.  Issuance of Permits.
     5     Section 706.  Office or Place of Business to be Maintained.
     6     Section 707.  Permit Fee; Permits Not Assignable or
     7                     Transferable; Display of Permit; Term of
     8                     Permit.
     9     Section 708.  Records to be Kept.
    10     Section 709.  Renewal of Permits.
    11     Section 710.  Permit Hearings; Appeals From Refusal of the
    12                     Commission BOARD to Issue or Renew Permits.    <--
    13     Section 712.  Revocation and Suspension of Permit.
    14         (C)  Permittees' Registered Agents.
    15     Section 721.  Unlawful to Act as Agent or to Employ Agents
    16                     Without Registration.
    17     Section 722.  Registered Agents.
    18     Section 723.  Registration Fee.
    19     Section 724.  Registration and Issuance of Identification
    20                     Card.
    21     Section 725.  Hearings Upon Refusal of the Commission          <--
    22                     BOARD; Appeals.                                <--
    23     Section 726.  Revocation and Suspension of Agents'
    24                     Registrations.
    25     Section 727.  Identification Cards.
    26         (D)  Exemptions.
    27     Section 731.  Bank and Trust Companies and Other Persons.
    28     Section 732.  Distillers, Rectifiers and Importers.
    29     Section 733.  Certificates Owned Since July 24, 1939.
    30         (E)  Administration and Enforcement.
    19870H1000B1941                  - 9 -

     1     Section 741.  Duties of the Commission BOARD.                  <--
     2         (F)  Fines and Penalties.
     3     Section 751.  Penalties.
     4  ARTICLE VIII.  DISPOSITION OF MONEYS COLLECTED UNDER PROVISIONS
     5                 OF ACT.
     6     Section 801.  Moneys Paid Into Liquor License Fund and
     7                     Returned to Municipalities.
     8     Section 802.  Moneys Paid Into The State Stores Fund for Use
     9                     of the Commonwealth.
    10     Section 803.  Alcohol Tax Moneys Paid Into General Fund.
    11  ARTICLE IX.  REPEALS (REPEALED).                                  <--
    12     Section 901.  Acts and Parts of Acts Repealed (REPEALED).      <--
    13     Section 902.  General Repeal Clause (REPEALED).                <--
    14     The General Assembly of the Commonwealth of Pennsylvania
    15  hereby enacts as follows:
    16     Section 1.  The title of the act of April 12, 1951 (P.L.90,
    17  No.21), known as the Liquor Code, is reenacted and amended to     <--
    18  read:
    19                               AN ACT
    20  Relating to alcoholic liquors, alcohol and malt and brewed
    21     beverages; amending, revising, consolidating and changing the
    22     laws relating thereto; regulating and restricting the
    23     manufacture, purchase, sale, possession, consumption,
    24     importation, transportation, furnishing, holding in bond,
    25     holding in storage, traffic in and use of alcoholic liquors,
    26     alcohol and malt and brewed beverages and the persons engaged
    27     or employed therein; defining the powers and duties of the
    28     [Pennsylvania Liquor Control Board] Alcoholic Beverages        <--
    29     Commission; providing for the establishment and operation of
    30     State liquor stores, for the payment of certain license fees
    19870H1000B1941                 - 10 -

     1     to the respective municipalities and townships, for the
     2     abatement of certain nuisances and, in certain cases, for
     3     search and seizure without warrant; prescribing penalties and
     4     forfeitures; providing for local option, and repealing
     5     existing laws.
     6     Section 2.  The heading of Article I of the act is reenacted
     7  to read:
     8                             ARTICLE I.
     9                      PRELIMINARY PROVISIONS.
    10     Section 3.  Section 101 of the act is reenacted to read:
    11     Section 101.  Short Title.--This act shall be known and may
    12  be cited as the "Liquor Code."
    13     Section 4.  Section 102 of the act, amended July 10,1957
    14  (P.L.638, No.346), August 17, 1965 (P.L.346, No.182), December
    15  2, 1970 (P.L.825, No.271), October 11, 1972 (P.L.906, No.215),
    16  December 12, 1980 (P.L.1195, No.221) and May 2, 1986 (P.L.141,
    17  No.44), is reenacted and amended to read:
    18     Section 102.  Definitions.--The following words or phrases,
    19  unless the context clearly indicates otherwise, shall have the
    20  meanings ascribed to them in this section:
    21     "Alcohol" shall mean ethyl alcohol of any degree of proof
    22  originally produced by the distillation of any fermented liquid,
    23  whether rectified or diluted with or without water, whatever may
    24  be the origin thereof, and shall include synthetic ethyl
    25  alcohol, but shall not mean or include ethyl alcohol, whether or
    26  not diluted, that has been denatured or otherwise rendered unfit
    27  for beverage purposes.
    28     "Association" shall mean a partnership, limited partnership
    29  or any form of unincorporated enterprise owned by two or more
    30  persons.
    19870H1000B1941                 - 11 -

     1     ["Board" shall mean the Pennsylvania Liquor Control Board.]    <--
     2     "Bonded warehouse" shall mean and include all places and
     3  warehouses legally established under the provisions of the acts
     4  of Congress and the administrative provisions of the internal
     5  revenue laws of the Government of the United States of America,
     6  for the storage, concentration, distribution and holding in
     7  bond, (a) of whiskey and any other potable distilled spirits,
     8  except ethyl alcohol, when used in Article VII entitled
     9  "Distillery Bonded Warehouse Certificates" and, (b) of alcohol
    10  or liquor when otherwise used.
    11     "Club" shall mean any reputable group of individuals
    12  associated together not for profit for legitimate purposes of
    13  mutual benefit, entertainment, fellowship or lawful convenience,
    14  having some primary interest and activity to which the sale of
    15  liquor or malt and brewed beverages shall be only secondary,
    16  which, if incorporated, has been in continuous existence and
    17  operation for at least one year, and if first licensed after
    18  June sixteenth, one thousand nine hundred thirty-seven, shall
    19  have been incorporated in this Commonwealth, and, if
    20  unincorporated, for at least ten years, immediately preceding
    21  the date of its application for a license under this act, and
    22  which regularly occupies, as owner or lessee, a clubhouse or
    23  quarters for the use of its members. Continuous existence must
    24  be proven by satisfactory evidence. The [board] commission shall  <--
    25  refuse to issue a license if it appears that the charter is not
    26  in possession of the original incorporators or their direct or
    27  legitimate successors. The club shall hold regular meetings,
    28  conduct its business through officers regularly elected, admit
    29  members by written application, investigation and ballot, and
    30  charge and collect dues from elected members, and maintain such
    19870H1000B1941                 - 12 -

     1  records as the [board] commission shall from time to time         <--
     2  prescribe, but any such club may waive or reduce in amount, or
     3  pay from its club funds, the dues of any person who was a member
     4  at the time he was inducted into the military service of the
     5  United States or was enrolled in the armed forces of the United
     6  States pursuant to any selective service act during the time of
     7  the member's actual service or enrollment. The term includes a
     8  privately-owned private golf course.
     9     "Commission" shall mean the Alcoholic Beverages Commission.    <--
    10     "Container" shall mean and include any receptacle, vessel or
    11  form of package, tank, vat, cask, barrel, drum, keg, can, bottle
    12  or conduit used or capable of use for holding, storing,
    13  transferring or shipment of alcohol, liquor or malt or brewed
    14  beverages.
    15     "Corporation" shall mean a corporation or joint-stock
    16  association organized under the laws of this Commonwealth, the
    17  United States, or any other state, territory, or foreign country
    18  or dependency.
    19     "Denatured alcohol" shall mean and include all alcohol or any
    20  compound thereof which by the admixture of such denaturing
    21  material or materials is rendered unfit for use as a beverage.
    22     "Denaturing plant" shall mean and include the premises of a
    23  distillery used exclusively for the denaturization of alcohol,
    24  either specially or completely, by the admixture of such
    25  denaturing materials as shall render the alcohol or any compound
    26  in which it is authorized to be used unfit for use as a
    27  beverage.
    28     "Distillery" shall mean and include any premises or plant
    29  wherein alcohol or liquor is manufactured, made and distilled
    30  from raw materials, blended or rectified, or any place wherein
    19870H1000B1941                 - 13 -

     1  alcohol or liquor is produced by any method suitable for the
     2  production of alcohol. The term shall not include a "winery"
     3  where alcohol is derived from by-products of wine production by
     4  distillation for the sole purpose of adding to the fermented
     5  products to fortify the same.
     6     "Distillery Bonded Warehouse Certificate" shall mean a
     7  certificate, receipt, contract or other document given upon the
     8  storage of whiskey or any other potable distilled spirits,
     9  except ethyl alcohol, in a bonded warehouse, and evidencing the
    10  ownership of such whiskey or other potable distilled spirits.
    11     "Distillery certificate broker" shall mean and include every
    12  person who engages directly or through an agent in selling,
    13  purchasing, exchanging, offering for sale or delivery, or
    14  entering into agreements for the purchase, sale or exchange, or
    15  soliciting subscriptions to or orders for, or undertaking to
    16  dispose of, or dealing in any manner in, distillery bonded
    17  warehouse certificates.
    18     "Distributor" shall mean any person licensed by the [board]    <--
    19  commission to engage in the purchase only from Pennsylvania
    20  manufacturers and from importing distributors and the resale of
    21  malt or brewed beverages, except to importing distributors and
    22  distributors, in the original sealed containers as prepared for
    23  the market by the manufacturer at the place of manufacture, but
    24  not for consumption on the premises where sold, and in
    25  quantities of not less than a case of twenty-four containers,
    26  each container holding seven fluid ounces or more, or a case of
    27  twelve containers, each container holding twenty-four fluid
    28  ounces or more, except original containers containing one
    29  hundred twenty-eight ounces or more which may be sold
    30  separately.
    19870H1000B1941                 - 14 -

     1     "Eating place" shall mean a premise where food is regularly
     2  and customarily prepared and sold, having a total area of not
     3  less than three hundred square feet available to the public in
     4  one or more rooms, other than living quarters, and equipped with
     5  tables and chairs accommodating thirty persons at one time.
     6     "Enforcement bureau" shall mean the Bureau of Liquor Control
     7  Enforcement of the Pennsylvania State Police.
     8     "Golf course" shall mean a course having a minimum of nine
     9  holes and a total length of at least twenty-five hundred yards.
    10  The term includes a privately-owned private golf course.
    11     "Hotel" shall mean any reputable place operated by
    12  responsible persons of good reputation where the public may, for
    13  a consideration, obtain sleeping accommodations and meals and
    14  which, in a city, has at least ten, and in any other place at
    15  least six, permanent bedrooms for the use of guests, a public
    16  dining room or rooms operated by the same management
    17  accommodating at least thirty persons at one time, and a
    18  kitchen, apart from the public dining room or rooms, in which
    19  food is regularly prepared for the public.
    20     "Importing distributor" shall mean any person licensed by the
    21  [board] commission to engage in the purchase from manufacturers   <--
    22  and other persons located outside this Commonwealth and from
    23  persons licensed as manufacturers of malt or brewed beverages
    24  and importing distributors under this act, and the resale of
    25  malt or brewed beverages in the original sealed containers as
    26  prepared for the market by the manufacturer at the place of
    27  manufacture, but not for consumption on the premises where sold,
    28  and in quantities of not less than a case of twenty-four
    29  containers, each container holding seven fluid ounces or more,
    30  or a case of twelve containers, each container holding twenty-
    19870H1000B1941                 - 15 -

     1  four fluid ounces or more, except original containers containing
     2  one hundred twenty-eight ounces or more which may be sold
     3  separately.
     4     "Limited Winery" shall mean a winery with a maximum output of
     5  [one hundred thousand (100,000)] TWO HUNDRED THOUSAND (200,000)   <--
     6  gallons per year.
     7     "Liquor" shall mean and include any alcoholic, spirituous,
     8  vinous, fermented or other alcoholic beverage, or combination of
     9  liquors and mixed liquor a part of which is spirituous, vinous,
    10  fermented or otherwise alcoholic, including all drinks or
    11  drinkable liquids, preparations or mixtures, and reused,
    12  recovered or redistilled denatured alcohol usable or taxable for
    13  beverage purposes which contain more than one-half of one per
    14  cent of alcohol by volume, except pure ethyl alcohol and malt or
    15  brewed beverages.
    16     "Malt or Brewed Beverages" means any beer, lager beer, ale,
    17  porter or similar fermented malt beverage containing one-half of
    18  one per centum or more of alcohol by volume, by whatever name
    19  such beverage may be called.
    20     "Manufacture", when the term is applied to malt or brewed
    21  beverages, shall mean and include all means, methods and
    22  processes used, employed and made use of, to produce, make and
    23  manufacture for commercial purposes, malt or brewed beverages
    24  from raw materials; when applied otherwise, it shall mean and
    25  include all means, methods and processes used, employed and made
    26  use of, to produce and make alcohol or liquor from raw
    27  materials, and shall mean and include rectification and blending
    28  of alcohol and liquor, the production, recovery or reuse of
    29  alcohol in the making, developing, using in the process of
    30  manufacture, denaturing, redistilling or recovering of any
    19870H1000B1941                 - 16 -

     1  alcohol or liquor in distilleries, denaturing plants and
     2  wineries.
     3     "Manufacturer" shall mean any person, association or
     4  corporation engaged in the producing, manufacturing, distilling,
     5  rectifying or compounding of liquor, alcohol or malt or brewed
     6  beverages in this Commonwealth or elsewhere.
     7     "Manufacturer of malt or brewed beverages" shall mean any
     8  person holding a license issued by the [board] commission to      <--
     9  engage in the manufacture, transportation and sale of malt or
    10  brewed beverages; also, any person engaged in the legal
    11  manufacture of malt or brewed beverages within the territorial
    12  limits of the United States, outside the Commonwealth of
    13  Pennsylvania.
    14     "Municipality" shall mean any city, borough, incorporated
    15  town, or township of this Commonwealth.
    16     "Original container" shall mean all bottles, casks, kegs or
    17  other suitable containers that have been securely capped, sealed
    18  or corked by the manufacturer of malt or brewed beverages at the
    19  place of manufacture, with the name and address of the
    20  manufacturer of the malt or brewed beverages contained or to be
    21  contained therein permanently affixed to the bottle, cask, keg
    22  or other container, or in the case of a bottle or can, to the
    23  cap or cork used in sealing the same or to a label securely
    24  affixed to a bottle or can.
    25     "Package" shall mean any container or containers or
    26  receptacle or receptacles used for holding liquor or alcohol as
    27  marketed by the manufacturer.
    28     "Performing arts facilities" shall mean those halls or
    29  theaters in which live musical, concert, dance, ballet and
    30  legitimate play book-length productions are performed.
    19870H1000B1941                 - 17 -

     1  Performing arts facilities shall not mean those halls or
     2  theaters in which burlesque shows or reviews are performed.
     3     "Person" shall mean a natural person, association or
     4  corporation. Whenever used in a clause prescribing or imposing a
     5  fine or imprisonment or both, the term "person", as applied to
     6  "association", shall mean the partners or members thereof, and
     7  as applied to "corporation", shall mean the officers thereof,
     8  except, as to incorporated clubs, the term "person" shall mean
     9  such individual  or individuals who, under the by-laws of such
    10  club, shall have jurisdiction over the possession and sale of
    11  liquor therein.
    12     "Population" shall mean the number of inhabitants as
    13  determined by the last preceding decennial census of the United
    14  States, or by any other census subsequently taken by the census
    15  bureau of the United States and so certified by it: Provided,
    16  however, That such other census shall not be a basis for the
    17  fixing of license fees as provided in article IV. sections 405
    18  and 439.
    19     "Potable distilled spirits" shall mean and include any
    20  distillate from grains, wine, fruits, vegetables or molasses,
    21  except ethyl alcohol, capable of being used for beverage
    22  purposes.
    23     "Regulation" shall mean any regulation prescribed by the
    24  [board] commission for carrying out the provisions of this act.   <--
    25     "Restaurant" shall mean a reputable place operated by
    26  responsible persons of good reputation and habitually and
    27  principally used for the purpose of providing food for the
    28  public, the place to have an area within a building of not less
    29  than four hundred square feet, equipped with tables and chairs
    30  accommodating at least thirty persons at one time.
    19870H1000B1941                 - 18 -

     1     "Retail dispenser" shall mean any person licensed to engage
     2  in the retail sale of malt or brewed beverages for consumption
     3  on the premises of such licensee, with the privilege of selling
     4  malt or brewed beverages in quantities not in excess of [one      <--
     5  hundred forty-four] ONE HUNDRED NINETY-TWO fluid ounces in a      <--
     6  single sale to one person, to be carried from the premises by
     7  the purchaser thereof.
     8     "Sale" or "Sell" shall include any transfer of liquor,
     9  alcohol or malt or brewed beverages for a consideration.
    10     "Whiskey" shall mean and include any alcoholic distillate
    11  from a fermented mash of grain, capable of being used for
    12  beverage purposes.
    13     "Winery" shall mean and include any premises and plants where
    14  any alcohol or liquor is produced by the process by which wine
    15  is produced, or premises and plants wherein liquid such as wine
    16  is produced; and shall include the manufacture by distillation
    17  of alcohol from the by-products of wine fermentation when the
    18  alcohol so derived is used solely to fortify the fermented
    19  products, under such regulations as are or may be promulgated by
    20  the proper agency of the United States Government, and such
    21  alcohol, for that purpose only, may be sold or exchanged between
    22  wineries holding permits in this Commonwealth, without
    23  restriction.
    24     Section 5.  Section 103 of the act is reenacted to read:
    25     Section 103.  Saving Clause.--The provisions of this act, so
    26  far as they are the same as those of existing laws, are intended
    27  as a continuation of such laws and not as new enactments. The
    28  repeal by this act of any act of Assembly or part thereof shall
    29  not revive any act or part thereof heretofore repealed or
    30  superseded. The provisions of this act shall not affect any act
    19870H1000B1941                 - 19 -

     1  done, liability incurred or right accrued or vested, or affect
     2  any suit or prosecution pending or to be instituted to enforce
     3  any right or penalty or punish any offense under the authority
     4  of such repeal laws. All regulations and rules made and all
     5  licenses and permits issued pursuant to any act repealed by this
     6  act shall continue with the same force and effect as if such act
     7  had not been repealed.
     8     Section 6.  Section 104 of the act is reenacted and amended    <--
     9  to read:
    10     Section 104.  Interpretation of Act.--(a)  This act shall be
    11  deemed an exercise of the police power of the Commonwealth for
    12  the protection of the public welfare, health, peace and morals
    13  of the people of the Commonwealth and to prohibit forever the
    14  open saloon, and all of the provisions of this act shall be
    15  liberally construed for the accomplishment of this purpose.
    16     (b)  The provisions of this act are severable and if any of
    17  its provisions shall be held unconstitutional the decision of
    18  the court shall not affect or impair any of the remaining
    19  provisions of this act. It is hereby declared to be the
    20  legislative intent that this act would have been adopted had
    21  such unconstitutional provisions not been included herein.
    22     (c)  Except as otherwise expressly provided, the purpose of
    23  this act is to prohibit the manufacture of and transactions in
    24  liquor, alcohol and malt or brewed beverages which take place in
    25  this Commonwealth, except by and under the control of the
    26  [board] commission as herein specifically provided, and every     <--
    27  section and provision of the act shall be construed accordingly.
    28  The provisions of this act dealing with the manufacture,
    29  importation, sale and disposition of liquor, alcohol and malt or
    30  brewed beverages within the Commonwealth through the
    19870H1000B1941                 - 20 -

     1  instrumentality of the [board] commission and otherwise, provide  <--
     2  the means by which such control shall be made effective. This
     3  act shall not be construed as forbidding, affecting or
     4  regulating any transaction which is not subject to the
     5  legislative authority of this Commonwealth.
     6     (d)  Any reference in this act to the provisions of law on
     7  any subject shall apply to statutes becoming effective after the
     8  effective date of this act as well as to those then in
     9  existence.
    10     (e)  Section headings shall not be taken to govern or limit
    11  the scope of the sections of this act. The singular shall
    12  include the plural and the masculine shall include the feminine
    13  and the neuter.
    14     Section 7.  The heading of Article II of the act is reenacted
    15  and amended to read:                                              <--
    16                            ARTICLE II.
    17                [PENNSYLVANIA LIQUOR CONTROL BOARD]                 <--
    18                  ALCOHOLIC BEVERAGES COMMISSION.
    19     Section 8.  Section 201 of the act, amended November 23, 1976
    20  (P.L.1123, No.235), is reenacted and amended to read:
    21     Section 201.  Appointment of Members; Terms; Salaries.--An
    22  independent administrative [board] commission to be known as the  <--
    23  "[Pennsylvania Liquor Control Board] Alcoholic Beverages          <--
    24  Commission" is hereby created. The [board] commission shall       <--
    25  consist of three members to be appointed by the Governor by and
    26  with the advice and consent of [two-thirds] a majority of all     <--
    27  the members of the Senate[. Of the [original] members first       <--
    28  appointed after the effective date of this amendatory act, one
    29  shall be appointed for a term of two years, one for a term of
    30  four years, and one for a term of six years [from the date of     <--
    19870H1000B1941                 - 21 -

     1  his appointment and until his successor shall have been
     2  appointed and qualified]. Thereafter, all appointments shall be   <--
     3  for terms of six years [or until successors are appointed and     <--
     4  qualified.], NOT MORE THAN TWO OF WHOM SHALL BE FROM THE SAME     <--
     5  POLITICAL PARTY AS THE GOVERNOR. THE APPOINTMENT OF A MEMBER NOT  <--
     6  OF THE GOVERNOR'S POLITICAL PARTY SHALL BE MADE FROM A LIST
     7  PREPARED AND SUBMITTED TO THE GOVERNOR BY THE LEADER OF THE
     8  OPPOSITION PARTY TO THE GOVERNOR IN THE HOUSE OF REPRESENTATIVES
     9  AND THE SENATE. EACH FLOOR LEADER MAY CONTRIBUTE AT LEAST THREE
    10  NAMES TO THE LIST. THE GOVERNOR SHALL SELECT A MEMBER FROM THE
    11  LIST WITHIN THIRTY DAYS OF RECEIPT OF THE LIST, OR THE GOVERNOR
    12  MAY REQUEST ONE SUBSTITUTE LIST OF NOMINEES FROM THE FLOOR
    13  LEADERS. IF THE FLOOR LEADERS FAIL TO SUBMIT A SUBSTITUTE LIST
    14  WITHIN THIRTY DAYS OF RECEIPT OF A REQUEST TO DO SO, THE
    15  GOVERNOR MAY APPOINT THE MEMBER FOR WHICH LISTS OF NOMINEES WERE
    16  NOT SUBMITTED AT HIS DISCRETION. IF ONE OF THE TWO FLOOR LEADERS
    17  RESPONSIBLE FOR THE SUBMISSION OF NOMINEES FOR A LIST FAILS TO
    18  SUBMIT NOMINEES, THE GOVERNOR SHALL ACT UPON THE NOMINEES
    19  SUBMITTED BY THE OTHER FLOOR LEADER AS IF NOMINEES HAD BEEN
    20  RECEIVED FROM BOTH FLOOR LEADERS. IF THE GOVERNOR FAILS TO
    21  SELECT A MEMBER FROM THE LIST OF NOMINEES WITHIN THIRTY DAYS OF
    22  RECEIPT OF THE LIST AND FAILS TO REQUEST A SUBSTITUTE LIST, OR
    23  FAILS TO SELECT A MEMBER FROM THE SUBSTITUTE LIST WITHIN THIRTY
    24  DAYS OF RECEIPT OF THE LIST, THE FLOOR LEADERS WHO PREPARED THE
    25  LIST MAY APPOINT A MEMBER TO SERVE ON THE BOARD. WHENEVER A
    26  VACANCY OCCURS PRIOR TO THE COMPLETION OF THE TERM OF OFFICE OF
    27  A MEMBER APPOINTED PURSUANT TO THIS SECTION, THE SAME PROCEDURE
    28  AS THAT USED TO APPOINT THE MEMBER WHOSE SEAT HAS BECOME VACANT
    29  SHALL BE USED TO NOMINATE A REPLACEMENT FOR THE REMAINDER OF THE
    30  UNEXPIRED TERM. OF THE MEMBERS FIRST APPOINTED AFTER THE
    19870H1000B1941                 - 22 -

     1  EFFECTIVE DATE OF THIS AMENDATORY ACT: ONE MEMBER SHALL SERVE A
     2  TERM OF THREE YEARS; ONE MEMBER SHALL SERVE A TERM OF FOUR
     3  YEARS; AND ONE MEMBER SHALL SERVE A TERM OF FIVE YEARS.
     4  SUBSEQUENT TERMS SHALL BE FOR FOUR YEARS, ENDING ON THE THIRD
     5  TUESDAY IN MAY. No member upon the expiration of his term shall
     6  continue to hold office until his successor shall be duly
     7  appointed or shall be AND qualified. Each of the members shall    <--
     8  receive an annual salary of [twenty-four thousand dollars
     9  ($24,000), except the chairman, who shall receive an annual
    10  salary of twenty-five thousand dollars ($25,000)] thirty-five     <--
    11  thousand dollars ($35,000), EXCEPT THE CHAIRMAN, WHO SHALL        <--
    12  RECEIVE AN ANNUAL SALARY OF THIRTY-SEVEN THOUSAND FIVE HUNDRED
    13  DOLLARS ($37,500) FORTY THOUSAND DOLLARS ($40,000), EXCEPT THE    <--
    14  CHAIRMAN, WHO SHALL RECEIVE AN ANNUAL SALARY OF FORTY-TWO
    15  THOUSAND DOLLARS ($42,000).
    16     Section 9.  Sections 202, 203, 204, 205 and 206 of the act
    17  are reenacted and amended OR REENACTED AND THE ACT IS AMENDED BY  <--
    18  ADDING A SECTION to read:
    19     Section 202.  Qualifications of Members.--(a)  Each member of
    20  the [board] commission at the time of his appointment and         <--
    21  qualification shall be a citizen of the United States and a
    22  resident of the Commonwealth of Pennsylvania, shall have been a
    23  qualified elector in the Commonwealth for a period of at least
    24  one year next preceding his appointment, and shall be not less
    25  than [thirty] twenty-one years of age.
    26     (b)  No member of the [board] commission during his period of  <--
    27  service as such shall hold any other office under the laws of
    28  this Commonwealth or of the United States.
    29     (c)  Commission members shall devote full time to their        <--
    30  official duties. No commission member shall hold any office or
    19870H1000B1941                 - 23 -

     1  position the duties of which are incompatible with his
     2  commission duties or be engaged in any employment or vocation
     3  for which he receives any remuneration.
     4     (C)  NO BOARD MEMBER SHALL HOLD ANY OFFICE OR POSITION, THE    <--
     5  DUTIES OF WHICH ARE INCOMPATIBLE WITH HIS OR HER BOARD DUTIES.
     6     (C)  BOARD MEMBERS SHALL DEVOTE FULL TIME TO THEIR OFFICIAL    <--
     7  DUTIES. NO BOARD MEMBER SHALL HOLD ANY OFFICE OR POSITION THE
     8  DUTIES OF WHICH ARE INCOMPATIBLE WITH HIS BOARD DUTIES.
     9     Section 203.  Chairman of [Board] Commission.--[The board      <--
    10  shall elect one of its members as chairmen] (a)  The Governor
    11  shall designate one of the commission BOARD members as chairman   <--
    12  who shall serve in that position at the pleasure of the
    13  Governor. The chairman shall, when present, preside at all
    14  meetings, and in his absence a member designated by the chairman
    15  shall preside.
    16     (b)  Two members of the [board] commission shall constitute a  <--
    17  quorum, and any action or order of the [board] commission shall   <--
    18  require the approval of at least two members.
    19     Section 204.  [Secretary of Board.--The board may appoint a    <--
    20  secretary to hold office at its pleasure. The secretary, if
    21  appointed, shall have such powers and shall perform such duties
    22  not contrary to law as the board shall prescribe, and shall
    23  receive such compensation as the board, with the approval of the
    24  Governor, shall determine. The secretary shall have power and
    25  authority to designate, from time to time, one of the clerks
    26  appointed by the board to perform the duties of the secretary
    27  during his absence and the clerk so appointed shall exercise,
    28  for the time so designated, the powers of the secretary of the
    29  board.] Executive Director.--The commission shall appoint an      <--
    30  executive director and professional management personnel,
    19870H1000B1941                 - 24 -

     1  including bureau directors, as necessary. The salary of the
     2  executive director shall be thirty-four thousand dollars
     3  ($34,000) annually and the salaries of the other professional
     4  personnel shall be set by the commission, with the approval of
     5  the Governor. The executive director shall be responsible for
     6  managing the daily operations of the commission and shall have
     7  such powers and perform such duties not contrary to law as are
     8  necessary to implement decisions and policies made and
     9  established by vote of a majority of the commission.
    10     Section 205.  Bonds Required of Members and [Secretary]        <--
    11  Executive Director.--Before entering upon the duties of their
    12  respective offices or positions, each member of the [board]       <--
    13  commission and the [secretary] executive director shall execute   <--
    14  and file with the State Treasurer a bond in such penal sum as
    15  shall be fixed by the Executive Board of this Commonwealth upon
    16  recommendation of the Governor, but the amount of any such bond
    17  shall not be less than ten thousand dollars ($10,000). Bonds in
    18  such penal sums as shall be fixed by the Executive Board
    19  likewise shall be executed and filed with the State Treasurer by
    20  such employes of the [Pennsylvania Liquor Control Board]
    21  commission BOARD as the head of such [board] commission shall,    <--
    22  with the approval of the Executive Board, prescribe. Such bonds
    23  shall be payable to the Commonwealth of Pennsylvania and shall
    24  be conditioned for the faithful performance of the members',
    25  [secretary's] executive director's or employes' duties imposed    <--
    26  by law or by lawful authority and that the person bonded will
    27  not knowingly violate the provisions of this act. All bonds
    28  required to be given under this section shall, before being
    29  accepted by the State Treasurer, be approved by the [Department
    30  of Justice] Attorney General, and unless the Commonwealth shall
    19870H1000B1941                 - 25 -

     1  establish its own indemnity fund, all such bonds shall be given
     2  with security approved by the [Department of Justice] Attorney
     3  General. If the Commonwealth shall establish its own indemnity
     4  fund, the Executive Board may, nevertheless, require any bond
     5  given hereunder to be executed by a surety or sureties
     6  satisfactory to the [Department of Justice] Attorney General.
     7  The cost of such bonds required to be executed by a surety or
     8  sureties shall be borne by the [board] commission as part of its  <--
     9  operating expense.
    10     Section 206.  [Board] Commission Subject to Administrative     <--
    11  Code.--Except as otherwise expressly provided by law, the
    12  [board] commission shall be subject to all the provisions of The  <--
    13  Administrative Code of one thousand nine hundred twenty-nine, as
    14  amended, which apply generally to independent administrative
    15  boards and commissions.
    16     Section 9.1.  The act is amended by adding a section to read:  <--
    17     Section 206.1.  Commission BOARD AND ENFORCEMENT BUREAU        <--
    18  Subject to State Ethics and Adverse Interest Acts.--(a)  Except
    19  to the extent that the penalties provided in section 210 of this
    20  act for violations are more stringent, the commission BOARD, its  <--
    21  members and all of its employes AND EMPLOYES OF THE ENFORCEMENT   <--
    22  BUREAU shall be subject to the act of October 4, 1978 (P.L.883,
    23  No.170), referred to as the Public Official and Employee Ethics
    24  Law, and the act of July 19, 1957 (P.L.1017, No.451), known as
    25  the "State Adverse Interest Act."
    26     (b)  Membership on the commission BOARD and employment or      <--
    27  continued employment as an employe of the commission BOARD OR     <--
    28  ENFORCEMENT BUREAU is conditioned upon compliance with all of
    29  the provisions of the acts specified in subsection (a),
    30  including, but not limited to, the filing of statements of
    19870H1000B1941                 - 26 -

     1  financial interests required by section 5 of the Public Official
     2  and Employee Ethics Law. Acceptance or retention of employment
     3  shall be deemed as voluntary consent to submit to the financial
     4  reporting requirements of the Public Official and Employee
     5  Ethics Law as a condition of employment. Failure to timely
     6  comply with the requirements shall result in immediate
     7  termination of employment.
     8     Section 10.  Section 207 of the act, amended May 25, 1956
     9  (1955 P.L.1743, No.583), January 13, 1966 (1965 P.L.1301,
    10  No.518), June 17, 1971 (P.L.180, No.22) and July 27, 1973
    11  (P.L.247, No.70), is reenacted and amended to read:
    12     Section 207.  General Powers of [Board] Commission.--Under     <--
    13  this act, the [board] commission shall have the power and its     <--
    14  duty shall be:
    15     (a)  To buy, import or have in its possession for sale, and
    16  sell liquor and alcohol in the manner set forth in this act:
    17  Provided, however, That all purchases shall be made subject to
    18  the approval of the State Treasurer, or his designated deputy.
    19  The commission BOARD shall buy liquor and alcohol at the lowest   <--
    20  price and in the greatest variety reasonably obtainable.
    21     (b)  To control the manufacture, possession, sale,
    22  consumption, importation, use, storage, transportation and
    23  delivery of liquor, alcohol and malt or brewed beverages in
    24  accordance with the provisions of this act, and to fix the
    25  wholesale and retail prices at which liquors and alcohol shall
    26  be sold at Pennsylvania Liquor Stores[: Provided, That in fixing
    27  the sale prices, the board shall not give any preference or make
    28  any discrimination as to classes, brands or otherwise, except to
    29  the extent and for the length of time necessary to sell such
    30  classes or brands in compliance with any Federal action freezing
    19870H1000B1941                 - 27 -

     1  or otherwise controlling the price of said classes or brands, or
     2  except where special sales are deemed necessary to move
     3  unsaleable merchandise, or except where the addition of a
     4  service or handling charge to the fixed sales price of any
     5  merchandise in the same comparable price bracket, regardless of
     6  class, brand or otherwise, is, in the opinion of the board,
     7  required for the efficient operation of the State store system].
     8  Prices shall be proportional with prices paid by the commission   <--
     9  BOARD to its suppliers and shall reflect any advantage obtained   <--
    10  through volume purchases by the commission BOARD. The commission  <--
    11  BOARD may establish a preferential price structure for wines      <--
    12  produced within this Commonwealth for the promotion of such
    13  wines, as long as the price structure is uniform within each
    14  class of wine purchased by the commission BOARD. The [board]      <--
    15  commission shall require each Pennsylvania manufacturer and each
    16  nonresident manufacturer of liquors, other than wine, selling
    17  such liquors to the [board] commission, which are not             <--
    18  manufactured in this Commonwealth, to make application for and
    19  be granted a permit by the [board] commission before such         <--
    20  liquors not manufactured in this Commonwealth shall be purchased
    21  from such manufacturer. Each such manufacturer shall pay for
    22  such permit a fee which, in the case of a manufacturer of this
    23  Commonwealth, shall be equal to that required to be paid, if
    24  any, by a manufacturer or wholesaler of the state, territory or
    25  country of origin of the liquors, for selling liquors
    26  manufactured in Pennsylvania, and in the case of a nonresident
    27  manufacturer, shall be equal to that required to be paid, if
    28  any, in such state, territory or country by Pennsylvania
    29  manufacturers doing business in such state, territory or
    30  country. In the event that any such manufacturer shall, in the
    19870H1000B1941                 - 28 -

     1  opinion of the [board] commission, sell or attempt to sell        <--
     2  liquors to the [board] commission through another person for the  <--
     3  purpose of evading this provision relating to permits, the
     4  [board] commission shall require such person, before purchasing   <--
     5  liquors from him or it, to take out a permit and pay the same
     6  fee as hereinbefore required to be paid by such manufacturer.
     7  All permit fees so collected shall be paid into The State Stores
     8  Fund. The [board] commission shall not purchase any alcohol or    <--
     9  liquor fermented, distilled, rectified, compounded or bottled in
    10  any state, territory or country, the laws of which result in
    11  prohibiting the importation therein of alcohol or liquor,
    12  fermented, distilled, rectified, compounded or bottled in
    13  Pennsylvania.
    14     (c)  To determine the municipalities within which
    15  Pennsylvania Liquor Stores shall be established and the
    16  locations of the stores within such municipalities.
    17     (d)  To grant and issue all licenses and to grant, issue,
    18  suspend and revoke all [licenses and] permits authorized to be
    19  issued under this act [and the regulations of the [board and      <--
    20  impose fines on licensees licensed under this act]] commission.   <--
    21     (e)  Through the Department of [Property and Supplies]
    22  General Services as agent, to lease and furnish and equip such
    23  buildings, rooms and other accommodations as shall be required
    24  for the operation of this act.
    25     (f)  To appoint, fix the compensation and define the powers
    26  and duties of such managers, officers, inspectors, [examiners,]   <--
    27  clerks and other employes as shall be required for the operation
    28  of this act, subject to the provisions of The Administrative
    29  Code of 1929 and the Civil Service Act.
    30     (g)  To determine the nature, form and capacity of all
    19870H1000B1941                 - 29 -

     1  packages and original containers to be used for containing
     2  liquor, alcohol or malt or brewed beverages.
     3     (h)  Without in any way limiting or being limited by the
     4  foregoing, to do all such things and perform all such acts as
     5  are deemed necessary or advisable for the purpose of carrying
     6  into effect the provisions of this act and the regulations made
     7  thereunder.
     8     (i)  From time to time, to make such regulations not
     9  inconsistent with this act as it may deem necessary for the
    10  efficient administration of this act. The [board] commission      <--
    11  shall cause such regulations to be published and disseminated
    12  throughout the Commonwealth in such manner as it shall deem
    13  necessary and advisable or as may be provided by law. Such
    14  regulations adopted by the [board] commission shall have the      <--
    15  same force as if they formed a part of this act.
    16     (j)  [To investigate, whenever any person complains, or when
    17  the board is aware that there is reasonable grounds to believe
    18  liquor or malt or brewed beverage is being sold on premises not
    19  licensed under the provisions of this act. If the investigation
    20  produces evidence of the unlawful sale of liquor or malt or
    21  brewed beverage or of any other violation of the provisions of
    22  this act, the board shall cause the prosecution of the person or
    23  persons believed to have been criminally liable for the unlawful
    24  acts. Any equipment or appurtenances actually used in the
    25  commission of the unlawful acts may be confiscated upon
    26  direction of the board. The confiscation by or under the
    27  direction of the board shall not, in any manner, divest or
    28  impair the rights or interest of any bona fide lien holder in
    29  the equipment or appurtenances, who had no knowledge that the
    30  same was being used in violation of this act.] By regulation, to
    19870H1000B1941                 - 30 -

     1  provide for the use of a computerized referral system to assist
     2  consumers in locating special items at Pennsylvania Liquor
     3  Stores and for the use of electronic transfer of funds AND        <--
     4  CREDIT CARDS for the purchase of liquor and alcohol at
     5  Pennsylvania Liquor Stores; and for the use of credit cards, by   <--
     6  licensees only, for volume purchases.
     7     Section 11.  Section 208 of the act, amended July 22, 1970
     8  (P.L.539, No.182) and October 11, 1972 (P.L.906, No.215), is
     9  reenacted and amended to read:                                    <--
    10     Section 208.  Specific Subjects on Which [Board] Commission    <--
    11  May Adopt Regulations.--Subject to the provisions of this act
    12  and without limiting the general power conferred by the
    13  preceding section, the [board] commission may make regulations    <--
    14  regarding:
    15     (a)  The equipment and management of Pennsylvania Liquor
    16  Stores and warehouses in which liquor and alcohol are kept or
    17  sold, and the books and records to be kept therein.
    18     (b)  The duties and conduct of the officers and employes of
    19  the [board] commission.                                           <--
    20     (c)  The purchase, as provided in this act, of liquor and
    21  alcohol, and its supply to Pennsylvania Liquor Stores.
    22     (d)  The classes, varieties and brands of liquor and alcohol
    23  to be kept and sold in Pennsylvania Liquor Stores. In making
    24  this determination the [board] commission shall meet not less     <--
    25  than twice a year.
    26     (e)  The issuing and distribution of price lists for the
    27  various classes, varieties or brands of liquor and alcohol kept
    28  for sale by the [board] commission under this act.                <--
    29     (f)  The labeling of liquor and alcohol sold under this act
    30  and of liquor and alcohol lawfully acquired by any person prior
    19870H1000B1941                 - 31 -

     1  to January first, one thousand nine hundred thirty-four.
     2     (g)  Forms to be used for the purposes of this act.
     3     (h)  The issuance of licenses and permits and the conduct,
     4  management, sanitation and equipment of places licensed or
     5  included in permits.
     6     (i)  The place and manner of depositing the receipts of
     7  Pennsylvania Liquor Stores and the transmission of balances to
     8  the Treasury Department through the Department of Revenue.
     9     (j)  The solicitation by resident or nonresident vendors of
    10  liquor from Pennsylvania licensees and other persons of orders
    11  for liquor to be sold through the Pennsylvania Liquor Stores
    12  and, in the case of nonresident vendors, the collection
    13  therefrom of license fees for such privilege at the same rate as
    14  provided herein for importers' licenses.
    15     Section 12.  Section 209 of the act is repealed.
    16     Section 13.  Section 210 of the act is reenacted and amended
    17  to read:
    18     Section 210.  Restrictions on Members of the [Board]           <--
    19  Commission and CERTAIN Employes of Commonwealth.--(a)  A member   <--
    20  or employe of the [board] commission OR ENFORCEMENT BUREAU or a   <--
    21  member of the immediate family of a member or employe of the
    22  commission BOARD OR ENFORCEMENT BUREAU shall not be directly or   <--
    23  indirectly interested or engaged in any other business or
    24  undertaking dealing in liquor, alcohol, or malt or brewed
    25  beverages, whether as owner, part owner, partner, member of
    26  syndicate, shareholder, agent or employe, and whether for his
    27  own benefit or in a fiduciary capacity for some other person.
    28     (b)  No member or employe of the [board] commission OR         <--
    29  ENFORCEMENT BUREAU or a member of the immediate family of a
    30  member or employe of the commission BOARD OR ENFORCEMENT BUREAU   <--
    19870H1000B1941                 - 32 -

     1  nor any employe of the Commonwealth shall solicit or receive,
     2  directly or indirectly, any commission, remuneration or gift
     3  whatsoever, from any person having sold, selling or offering
     4  liquor or alcohol for sale to the [board] commission for use in   <--
     5  Pennsylvania Liquor Stores.
     6     (c)  No person convicted of an infamous crime may be employed
     7  as a member or employe by the commission BOARD OR ENFORCEMENT     <--
     8  BUREAU.
     9     (d)  No member or employe of the commission BOARD OR           <--
    10  ENFORCEMENT BUREAU may use his position with the commission       <--
    11  BOARD OR ENFORCEMENT BUREAU, or any confidential information      <--
    12  received through his position with the commission, BOARD OR       <--
    13  ENFORCEMENT BUREAU to obtain financial gain, other than
    14  compensation provided by law, for himself, a member of his
    15  immediate family or a business with which he is associated.
    16     (e)  No person may offer or give to a member or employe of
    17  the commission BOARD OR ENFORCEMENT BUREAU or a member of his     <--
    18  immediate family or a business with which he is associated, and
    19  no member or employe of the commission BOARD OR ENFORCEMENT       <--
    20  BUREAU may solicit or accept anything of value, including a
    21  gift, loan, political contribution, reward or promise of future
    22  employment, based on an understanding that the vote, official
    23  action or judgment of the member or employe of the commission     <--
    24  BOARD OR ENFORCEMENT BUREAU would be influenced thereby.          <--
    25     (f)  No member or employe of the commission BOARD OR           <--
    26  ENFORCEMENT BUREAU or a member of his immediate family or any
    27  business in which the member or employe or a member of his
    28  immediate family is a director, officer or owner or holder of
    29  stock exceeding five percent (5%) of the equity at fair market
    30  value of the business may enter into any contract valued at five
    19870H1000B1941                 - 33 -

     1  hundred dollars ($500) or more to provide goods or services to
     2  the commission BOARD OR ENFORCEMENT BUREAU unless the contract    <--
     3  has been awarded to the lowest responsible bidder through an
     4  open and public process, including prior public notice and
     5  subsequent public disclosure of all proposals considered and
     6  contracts awarded.
     7     (g)  No former member or employe of the commission BOARD OR    <--
     8  ENFORCEMENT BUREAU may represent a person, with or without
     9  compensation, on any matter before the commission BOARD OR        <--
    10  ENFORCEMENT BUREAU for one year after leaving the commission      <--
    11  BOARD OR ENFORCEMENT BUREAU.                                      <--
    12     (h)  A public officer or public official or a party officer    <--
    13  or member of the immediate family of such individuals, or a
    14  business with which such individuals or members of their
    15  immediate families are associated, must not have a financial
    16  interest in any contract valued at five hundred dollars ($500)
    17  or more to provide goods or services to the commission either
    18  during the time the person holds such office, or for two years
    19  after the person terminates such office, unless the contract is
    20  executed pursuant to the provisions of subsection (f). For
    21  purposes of this subsection, the term "financial interest" shall
    22  not include employment by, association with or ownership of a
    23  business association unless the public officer, public official,
    24  party officer or member of the immediate family or the
    25  individual owns shares of stock in the corporation in an amount
    26  in excess of five percent (5%) of the total issue for the stock
    27  of the corporation, or has an ownership interest in a
    28  noncorporate business association in an amount in excess of five
    29  percent (5%) of the total ownership of the noncorporate business
    30  association.
    19870H1000B1941                 - 34 -

     1     (i) (H)  No member or employe of the commission BOARD OR       <--
     2  ENFORCEMENT BUREAU or an advisor or consultant thereto having
     3  recommended to the commission BOARD OR ENFORCEMENT BUREAU either  <--
     4  the making of a contract or a course of action of which the
     5  making of a contract is an express or implied part, may, at any
     6  time thereafter, have an adverse interest in that contract.
     7     (j) (I)  No member or employe of the commission or any         <--
     8  officer or employe of the Commonwealth or any of its political
     9  subdivisions BOARD OR ENFORCEMENT BUREAU may influence or         <--
    10  attempt to influence the making of, or supervise or deal with, a
    11  contract with the commission BOARD OR ENFORCEMENT BUREAU in       <--
    12  which he has an adverse interest.
    13     (k) (J)  No member or employe of the commission BOARD OR       <--
    14  ENFORCEMENT BUREAU may have an adverse interest in a contract
    15  with the commission BOARD OR ENFORCEMENT BUREAU.                  <--
    16     (l) (K)  No person having an adverse interest in a contract    <--
    17  with the commission BOARD OR ENFORCEMENT BUREAU may become an     <--
    18  employe of the commission BOARD OR ENFORCEMENT BUREAU until the   <--
    19  adverse interest has been wholly divested.
    20     (m) (L)  No member or employe of the commission or any         <--
    21  officer or employe of the Commonwealth or a political
    22  subdivision BOARD OR ENFORCEMENT BUREAU, except in the            <--
    23  performance of his duties as such employe, may, for
    24  remuneration, directly or indirectly, represent a person upon a
    25  matter pending before the commission BOARD OR ENFORCEMENT         <--
    26  BUREAU.
    27     (n) (M)  (1)  Any person who violates the provisions of this   <--
    28  section shall have his employment by the commission BOARD OR      <--
    29  ENFORCEMENT BUREAU immediately terminated by the appropriate
    30  person having the power to terminate and shall be liable to the
    19870H1000B1941                 - 35 -

     1  commission BOARD OR ENFORCEMENT BUREAU to reimburse the           <--
     2  commission BOARD OR ENFORCEMENT BUREAU for all compensation       <--
     3  received by him from the commission BOARD OR ENFORCEMENT BUREAU   <--
     4  while employed in violation of subsection (c).
     5     (2)  Any person who violates the provisions of subsections
     6  (b), (d) or (e) shall be guilty of a felony and, upon conviction
     7  thereof, shall be sentenced to pay a fine of not more than ten
     8  thousand dollars ($10,000) or to undergo imprisonment for not
     9  more than five (5) years, or both.
    10     (3)  Any person who violates the provisions of subsections
    11  (a) or (f) through (m) (L) shall be guilty of a misdemeanor and,  <--
    12  upon conviction thereof, shall be sentenced to pay a fine of not
    13  more than one thousand dollars ($1,000) or to undergo
    14  imprisonment for not more than one (1) year, or both.
    15     (4)  Any person who obtains financial gain from violating any
    16  provisions of this section, in addition to any other penalty
    17  provided by law, shall pay into the accounts of the commission    <--
    18  BOARD a sum of money equal to three (3) times the financial gain  <--
    19  resulting from the violation.
    20     (5)  Any person who violates the provisions of this section
    21  shall be barred for a period of five (5) years from engaging in
    22  any business or contract with the commission, the Commonwealth    <--
    23  or a political subdivision BOARD OR ENFORCEMENT BUREAU.           <--
    24     (6)  Any employe of the Commonwealth or a political            <--
    25  subdivision or any public officer or public official who
    26  violates any of the provisions of this section shall
    27  automatically forfeit the office or employment.
    28     (7) (6)  The penalties and sanctions provided by this          <--
    29  subsection shall supersede any similar penalties and sanctions
    30  provided by the act of July 19, 1957 (P.L.1017, No.451), known
    19870H1000B1941                 - 36 -

     1  as the "State Adverse Interest Act," and the act of October 4,
     2  1978 (P.L.883, No.170), referred to as the Public Official and
     3  Employee Ethics Law.
     4     (o) (N)  As used in this section, the following words and      <--
     5  phrases shall have the meanings given to them in this
     6  subsection:
     7     "Business" shall mean a corporation, partnership, sole
     8  proprietorship, firm, enterprise, franchise, association,
     9  organization, self-employed individual, holding company, joint-
    10  stock company, receivership, trust or legal entity organized for
    11  profit or as a not-for-profit corporation or organization.
    12     "Immediate family" shall mean a parent, spouse, child,
    13  brother, sister or like relative-in-law.
    14     "Infamous crime" shall mean a violation and conviction for an
    15  offense which would disqualify an individual from holding public
    16  office pursuant to section 6 of Article II of the Constitution
    17  of Pennsylvania; a conviction WITHIN THE PRECEDING TEN (10)       <--
    18  YEARS for a violation of this section or of 18 Pa.C.S. § 4113
    19  (relating to misapplication of entrusted property and property
    20  of government or financial institutions), Ch. 47 (relating to
    21  bribery and corrupt influence), Ch. 49 (relating to
    22  falsification and intimidation), Ch. 51 (relating to obstructing
    23  governmental operations) or Ch. 53 (relating to abuse of
    24  office); or a violation of the laws of this Commonwealth or
    25  another state or the Federal Government for which an individual
    26  has been convicted within the preceding ten (10) years and which
    27  is classified as a felony.
    28     "Party officer" shall mean any of the following members or     <--
    29  officers of a political party: a member of a national committee;
    30  a chairman, vice chairman, secretary, treasurer or counsel of a
    19870H1000B1941                 - 37 -

     1  State committee or member of the executive committee of a State
     2  committee; a county chairman, vice chairman, counsel, secretary
     3  or treasurer of a county committee; or a city chairman, vice
     4  chairman, counsel, secretary or treasurer of a city committee.
     5     "Public officer" shall mean a person elected to a public
     6  office of the Commonwealth or a political subdivision.
     7     "Public official" shall mean an elected or appointed official
     8  in the executive, legislative or judicial branch of the
     9  Commonwealth or a political subdivision. The term does not
    10  include members of advisory boards that have no authority to
    11  expend public funds other than reimbursement for personal
    12  expense or to otherwise exercise the power of the Commonwealth
    13  or a political subdivision. The term does not include an
    14  appointed official who receives no compensation other than
    15  reimbursement for actual expenses.
    16     Section 14.  The act is amended by adding sections to read:
    17     Section 211.  Enforcement.--(a)  There is created within the
    18  Pennsylvania State Police a Bureau of Liquor Control Enforcement
    19  which shall be responsible for enforcing this act and any
    20  regulations promulgated pursuant thereto. Officers and
    21  investigators assigned to the bureau shall have the power and
    22  their duty shall be:
    23     (1)  To investigate whenever there are reasonable grounds to
    24  believe liquor, alcohol or malt or brewed beverages is being
    25  sold on premises not licensed under the provisions of this act.
    26  If the investigation produces evidence of the unlawful sale of
    27  liquor or malt or brewed beverages or any other violation of the
    28  provisions of this act, the officer involved in the
    29  investigation shall institute criminal proceedings against the
    30  person or persons believed to have been criminally liable, as
    19870H1000B1941                 - 38 -

     1  otherwise provided by law or rule of court.
     2     (2)  To arrest on view, except in private homes, without
     3  warrant, any person actually engaged in the unlawful sale,
     4  importation, manufacture or transportation or having unlawful
     5  possession of liquor, alcohol or malt or brewed beverages
     6  contrary to the provisions of this act or any other law of this
     7  Commonwealth.
     8     (3)  Upon reasonable and probable cause, to search for and to
     9  seize, without warrant or process, except in private homes, any
    10  liquor, alcohol or malt or brewed beverages unlawfully
    11  possessed, manufactured, sold, imported or transported and any
    12  stills, equipment, materials, utensils, vehicles, boats,
    13  vessels, animals, aircraft, or any of them, which are or have
    14  been used in the unlawful manufacture, sale, importation or
    15  transportation of the same. Such liquor, alcohol, malt or brewed
    16  beverages, stills, equipment, materials, utensils, vehicles,
    17  boards BOATS, vessels, animals or aircraft so seized shall be     <--
    18  disposed of as hereinafter provided.
    19     (4)  To investigate and issue citations for any violations of
    20  this act or any laws of this Commonwealth relating to liquor,
    21  alcohol or malt or brewed beverages, or any regulations of the
    22  commission BOARD adopted pursuant to such laws or any violation   <--
    23  of any laws of this Commonwealth or of the Federal Government,
    24  relating to the payment of taxes on liquor, alcohol or malt or
    25  brewed beverages by any licensee, his officers, servants, agents
    26  or employes.
    27     (b)  Any equipment or appurtenance actually used in the
    28  commission of the unlawful acts may be confiscated. The
    29  confiscation shall not, in any manner, divest or impair the
    30  rights or interest of any bona fide lienholder in the equipment
    19870H1000B1941                 - 39 -

     1  or appurtenance.
     2     (c)  Except for up to three State Police officers who shall    <--
     3  be employed in a supervisory capacity at the State headquarters
     4  of the enforcement bureau, all other personnel of the
     5  enforcement bureau shall be civilians.
     6     (C)  THE PENNSYLVANIA STATE POLICE COMMISSIONER SHALL ASSIGN   <--
     7  STATE POLICE OFFICERS TO SUCH SUPERVISORY AND OTHER CAPACITIES
     8  IN THE ENFORCEMENT BUREAU AS HE DEEMS NECESSARY. ALL OTHER
     9  PERSONNEL OF THE ENFORCEMENT BUREAU SHALL BE CIVILIANS.
    10     (D)  THE OFFICE OF CHIEF COUNSEL FOR THE PENNSYLVANIA STATE
    11  POLICE SHALL REPRESENT THE ENFORCEMENT BUREAU IN ALL ENFORCEMENT
    12  PROCEEDINGS BROUGHT BEFORE THE OFFICE OF ADMINISTRATIVE LAW
    13  JUDGE OR ANY OTHER ADJUDICATORY BODY.
    14     Section 212.  Office of Administrative Law Judge.--(a)  There
    15  is hereby created within the commission BOARD an autonomous       <--
    16  office to be known as the Office of Administrative Law Judge.
    17     (b)  All hearing examiners employed by the Pennsylvania        <--
    18  Liquor Control Board on the effective date of this section shall
    19  continue to serve as administrative law judges within the
    20  commission. Additional administrative law judges may be
    21  appointed by the commission, with the approval of the Governor,
    22  as the commission deems necessary for the holding of hearings
    23  required or permitted under this act.
    24     (B)  BY AND WITH THE ADVICE AND CONSENT OF A MAJORITY OF ALL   <--
    25  THE MEMBERS OF THE SENATE, THE GOVERNOR SHALL APPOINT A CHIEF
    26  ADMINISTRATIVE LAW JUDGE AND AS MANY ADMINISTRATIVE LAW JUDGES
    27     (B)  THE GOVERNOR SHALL APPOINT FROM A LIST OF QUALIFIED       <--
    28  CANDIDATES SUBMITTED BY THE CIVIL SERVICE COMMISSION AFTER
    29  APPROPRIATE EXAMINATION UNDER THE ACT OF AUGUST 5, 1941
    30  (P.L.752, NO.286), KNOWN AS THE "CIVIL SERVICE ACT," AS MANY
    19870H1000B1941                 - 40 -

     1  ADMINISTRATIVE LAW JUDGES AS THE BOARD, WITH THE APPROVAL OF THE
     2  GOVERNOR, DEEMS NECESSARY FOR THE HOLDING OF HEARINGS REQUIRED
     3  OR PERMITTED UNDER THIS ACT. THE GOVERNOR SHALL DESIGNATE ONE OF  <--
     4  THE CIVIL SERVICE APPOINTEES AS THE CHIEF ADMINISTRATIVE LAW
     5  JUDGE.
     6     (c)  Administrative law judges shall preside at all
     7  licensing, citation and other enforcement hearings required or    <--
     8  permitted under this act.
     9     (d)  Administrative law judges appointed under this section    <--
    10  shall be afforded employment security as provided by the act of
    11  August 5, 1941 (P.L.752, No.286), known as the "Civil Service
    12  Act."
    13     (D)  ADMINISTRATIVE LAW JUDGES APPOINTED UNDER THIS SECTION    <--
    14  SHALL BE LEARNED IN THE LAW AND SHALL BE MEMBERS IN GOOD
    15  STANDING OF THE BAR OF THE SUPREME COURT OF PENNSYLVANIA.
    16     (e)  Compensation for the administrative law judges shall be
    17  established by the commission BOARD with the approval of the      <--
    18  Governor. ESTABLISHED BY THE EXECUTIVE BOARD.                     <--
    19     (F)  ADMINISTRATIVE LAW JUDGES SHALL DEVOTE FULL TIME TO       <--
    20  THEIR OFFICIAL DUTIES AND SHALL PERFORM NO DUTIES INCONSISTENT
    21  WITH THEIR DUTIES AND RESPONSIBILITIES AS ADMINISTRATIVE LAW
    22  JUDGES.
    23     (G)  ADMINISTRATIVE LAW JUDGES APPOINTED UNDER THIS SECTION    <--
    24  SHALL BE AFFORDED EMPLOYMENT SECURITY AS PROVIDED BY THE ACT OF   <--
    25  AUGUST 5, 1941 (P.L.752, NO.286), KNOWN AS THE "CIVIL SERVICE
    26  ACT."
    27     (f) (G) (H)  Nothing in this section or this act shall be      <--
    28  construed or intended to change or affect the terms and
    29  conditions of employment or the employment security of hearing
    30  examiners employed by the Pennsylvania Liquor Control Board       <--
    19870H1000B1941                 - 41 -

     1  BOARD on the effective date of this section.                      <--
     2     Section 213.  Office of Chief Counsel.--The commission shall   <--
     3  establish an Office of Chief Counsel which shall provide legal
     4  advice on matters coming before the commission and shall
     5  represent the enforcement bureau in all enforcement proceedings
     6  brought before the Office of Administrative Law Judge. The
     7  salary of the chief counsel and the number and salaries of any
     8  deputy counsels employed by the Office of Chief Counsel shall be
     9  set by the commission with the approval of the Governor.
    10     Section 214 213.  Bureau of Consumer Relations.--The           <--
    11  commission BOARD shall establish a Bureau of Consumer Relations   <--
    12  which shall be responsible for handling all consumer complaints
    13  and suggestions. The bureau shall develop a system-wide program
    14  for investigating all complaints and suggestions and
    15  implementing improvements into the State Store system.
    16     Section 215 214.  Prohibitions.--(a)  The commission BOARD     <--
    17  may not make a contract or otherwise do business with a
    18  corporation, vendor or service contractor that has not complied
    19  with the regulatory and statutory requirements of any other
    20  administrative agency.
    21     (b)  The commission BOARD may not make a contract or           <--
    22  otherwise do business with a transportation carrier for hire of
    23  liquor, wine or malt or brewed beverages which (carrier) has not
    24  obtained the proper permits from the Pennsylvania Public Utility
    25  Commission under 66 Pa.C.S. Ch. 25 (relating to contract carrier
    26  by motor vehicle and broker).
    27     Section 216 215.  Wine Marketing.--(a)  There is hereby        <--
    28  established within the commission BOARD the Bureau of Wine which  <--
    29  shall be responsible for the purchasing and the wholesale and
    30  retail marketing of premium wines so as to make these wines
    19870H1000B1941                 - 42 -

     1  available to Pennsylvania consumers at competitive prices and in
     2  a convenient atmosphere.
     3     (b)  The management of the bureau shall be vested in a
     4  director, an assistant director for purchasing and an assistant   <--
     5  director for marketing. WHO SHALL BE ASSISTED BY SUCH OTHER       <--
     6  PERSONNEL AS HE OR SHE THE BOARD DEEMS NECESSARY.                 <--
     7     (c)  The commission BOARD shall establish that at least five   <--
     8  per centum of all State stores within a metropolitan area are
     9  wine specialty stores, at which premium wine shall be sold.
    10  These stores shall not sell any distilled product. The stores     <--
    11  shall be in addition to the current number of State stores in
    12  operation in said area. THE BOARD MAY ESTABLISH THE WINE          <--
    13  SPECIALTY STORES IN LOCATIONS WHICH PROVIDE THE GREATEST
    14  CUSTOMER TRAFFIC AND THE GREATEST GROSS PROFIT TO THE BOARD.
    15  THESE LOCATIONS MAY INCLUDE ESTABLISHED RETAIL ESTABLISHMENTS.
    16  BOARD EMPLOYES SHALL STAFF THESE LOCATIONS. THE BOARD SHALL HAVE
    17  THE OPTION OF CLOSING STORES WHICH ARE UNPROFITABLE FOR TWO
    18  CONSECUTIVE FISCAL YEARS.
    19     (d)  (1)  The term "metropolitan area" as used in this
    20  section shall mean any one county or any combination of two,
    21  three or four counties contiguous and adjacent with a total
    22  population of fifty thousand or more.
    23     (2)  The term "wine" as used in this section shall mean
    24  liquor which is fermented from grapes and other fruits, having
    25  alcoholic content of twenty-four per centum or less. The term
    26  "wine" shall not include malt or brewed beverages, nor shall
    27  wine include any products containing alcohol derived from malt,
    28  grain, cereal, molasses or cactus.
    29     Section 15.  The heading of Article III of the act is
    30  reenacted to read:
    19870H1000B1941                 - 43 -

     1                            ARTICLE III.
     2                    PENNSYLVANIA LIQUOR STORES.
     3     Section 16.  Section 301 of the act, amended July 9, 1976
     4  (P.L.527, No.125), is reenacted and amended to read:
     5     Section 301.  [Board] Commission to Establish State Liquor     <--
     6  Stores.--(a)  The [board] commission shall establish, operate     <--
     7  and maintain at such places throughout the Commonwealth as it
     8  shall deem essential and advisable, stores to be known as
     9  "Pennsylvania Liquor Stores," for the sale of liquor and alcohol
    10  in accordance with the provisions of and the regulations made
    11  under this act; except that no store not so already located
    12  shall be located within three hundred feet of any elementary or
    13  secondary school, nor within a dry municipality without there
    14  first having been a referendum approving such location. When the
    15  [board] commission shall have determined upon the location of a   <--
    16  liquor store in any municipality, it shall give notice of such
    17  location by public advertisement in two newspapers of general
    18  circulation. In cities of the first class, the location shall
    19  also be posted for a period of at least fifteen days following
    20  its determination by the [board] commission as required in        <--
    21  section 403(g) of this act. The notice shall be posted in a
    22  conspicuous place on the outside of the premises in which the
    23  proposed store is to operate or, in the event that a new
    24  structure is to be built in a similarly visible location. If,
    25  within five days after the appearance of such advertisement, or
    26  of the last day upon which the notice was posted, fifteen or
    27  more taxpayers residing within a quarter of a mile of such
    28  location, or the City Solicitor of the city of the first class,
    29  shall file a protest with the court of common pleas of the
    30  county averring that the location is objectionable because of
    19870H1000B1941                 - 44 -

     1  its proximity to a church, a school, or to private residences,
     2  the court shall forthwith hold a hearing affording an
     3  opportunity to the protestants and to the [board] commission to   <--
     4  present evidence. The court shall render its decision
     5  immediately upon the conclusion of the testimony and from the
     6  decision there shall be no appeal. If the court shall determine
     7  that the proposed location is undesirable for the reasons set
     8  forth in the protest, the [board] commission shall abandon it     <--
     9  and find another location. The [board] commission may establish,  <--
    10  operate and maintain such establishments for storing and testing
    11  liquors as it shall deem expedient to carry out its powers and
    12  duties under this act.
    13     (b)  The [board] commission may lease the necessary premises   <--
    14  for such stores or establishments, but all such leases shall be
    15  made through the Department of General Services as agent of the
    16  [board] commission. The [board] commission, through the           <--
    17  Department of General Services, shall have authority to purchase
    18  such equipment and appointments as may be required in the
    19  operation of such stores or establishments.
    20     Section 17.  Sections 302 and 303 of the act are reenacted
    21  and amended to read:                                              <--
    22     Section 302.  Selection of Personnel.--Officers and employes
    23  of the [board] commission, except as herein otherwise provided,   <--
    24  shall be appointed and employed subject to the provisions of the
    25  Civil Service Act.
    26     Section 303.  Management of Pennsylvania Liquor Stores.--
    27  Every Pennsylvania Liquor Store shall be conducted by a person
    28  appointed in the manner provided in the Civil Service Act who
    29  shall be known as the "manager" and who shall, under the
    30  directions of the [board] commission, be responsible for          <--
    19870H1000B1941                 - 45 -

     1  carrying out the provisions of this act and the regulations
     2  adopted by the [board] commission under this act as far as they   <--
     3  relate to the conduct of such stores.
     4     Section 18.  Section 304 of the act, amended March 5, 1973
     5  (P.L.1, No.1), is reenacted and amended to read:
     6     Section 304.  When Sales May Be Made at Pennsylvania Liquor
     7  Stores.--Every Pennsylvania Liquor Store shall be open for
     8  business week days, except legal holidays or any day on which a
     9  general, municipal, special or primary election is being held,
    10  during such hours as the [board] commission, in its discretion,   <--
    11  shall determine[, but shall not be open longer than fourteen
    12  hours in any one day nor later than eleven o'clock
    13  postmeridian]: Provided, That the Pennsylvania Liquor Stores in
    14  the case of a special election for members of the General
    15  Assembly or members of the Congress of the United States, when
    16  such special election is held on other than a primary, municipal
    17  or general election day, shall be open in those Legislative or
    18  Congressional Districts as though the day were not a special
    19  election day. The [board] commission may, with the approval of    <--
    20  the Governor, temporarily close any store in any municipality.
    21     Section 19.  Section 305 of the act, amended October 21, 1965
    22  (P.L.642, No.316), October 11, 1972 (P.L.906, No.215), June 17,
    23  1974 (P.L.352, No.115), October 2, 1974 (P.L.668, No.222) and
    24  October 4, 1974 (P.L.672, No.224), is reenacted and amended to
    25  read:
    26     Section 305.  Sales by Pennsylvania Liquor Stores.--(a)
    27  Every Pennsylvania Liquor Store shall keep in stock for sale
    28  such classes, varieties and brands of liquor and alcohol as the
    29  [board] commission shall prescribe. If any person shall desire    <--
    30  to purchase any class, variety or brand of liquor or alcohol
    19870H1000B1941                 - 46 -

     1  which any such store does not have in stock, it shall be the
     2  duty of such store immediately to order the same upon the
     3  payment of a reasonable deposit by the purchaser in such
     4  proportion of the approximate cost of the order as shall be
     5  prescribed by the regulations of the [board] commission. NO       <--
     6  PURCHASER MAY BE REQUIRED TO PURCHASE MORE THAN TWO BOTTLES OR
     7  CONTAINERS OF THE PRODUCT, PROVIDED THAT SUCH PRODUCT IS
     8  AVAILABLE THROUGH THE STATE STORE SYSTEM. The customer shall be
     9  notified immediately upon the arrival of the goods.
    10     In computing the retail price of such special orders for
    11  liquor or alcohol, the [board] commission shall not include the   <--
    12  cost of freight or shipping before applying the mark-up and
    13  taxes but shall add the freight or shipping charges to the price
    14  after the mark-up and taxes have been applied.
    15     Unless the customer pays for and accepts delivery of any such
    16  special order within [five] TEN days after notice of arrival,     <--
    17  the store may place it in stock for general sale and the
    18  customer's deposit shall be forfeited.
    19     (b)  Every Pennsylvania Liquor Store shall sell liquors at
    20  wholesale to hotels, restaurants, clubs, and railroad, pullman
    21  and steamship companies licensed under this act; and, under the
    22  regulations of the [board] commission, to pharmacists duly        <--
    23  licensed and registered under the laws of the Commonwealth, and
    24  to manufacturing pharmacists, and to reputable hospitals
    25  approved by the [board] commission, or chemists. The [board]      <--
    26  commission may sell to registered pharmacists only such liquors
    27  as conform to the Pharmacopoeia of the United States, the
    28  National Formulary, or the American Homeopathic Pharmacopoeia.
    29  The [board] commission may sell at special prices under the       <--
    30  regulations of the [board] commission, to United States Armed     <--
    19870H1000B1941                 - 47 -

     1  Forces facilities which are located on United States Armed
     2  Forces installations and are conducted pursuant to the authority
     3  and regulations of the United States Armed Forces. All other
     4  sales by such stores shall be at retail. [No liquor shall be
     5  sold except for cash, except that the board may, by regulation,
     6  authorize the acceptance of checks for liquor sold at wholesale.
     7  The board shall have power to designate certain stores for
     8  wholesale or retail sales exclusively.] A person entitled to
     9  purchase liquor at wholesale prices may purchase the liquor at
    10  any Pennsylvania Liquor Store upon tendering cash, check or
    11  credit card for the full amount of the purchase. For this
    12  purpose, the commission BOARD shall issue a discount card to      <--
    13  each licensee identifying such licensee as a person authorized
    14  to purchase liquor at wholesale prices. Such discount card shall
    15  be retained by the licensee. The commission may provide BOARD     <--
    16  MAY CONTRACT THROUGH THE COMMONWEALTH BIDDING PROCESS for
    17  delivery to wholesale licensees at the expense of the licensee
    18  receiving the delivery.
    19     (c)  Whenever any checks issued in payment of liquor or
    20  alcohol purchased from State Liquor Stores by persons holding
    21  wholesale purchase permit cards issued by the [board] commission  <--
    22  shall be returned to the [board] commission as dishonored, the    <--
    23  [board] commission shall charge a fee of five dollars per         <--
    24  hundred dollars or fractional part thereof, plus all protest
    25  fees, to the maker of such check submitted to the [board]         <--
    26  commission. Failure to pay the face amount of the check in full
    27  and all charges thereon as herein required within ten days after
    28  demand has been made by the [board] commission upon the maker of  <--
    29  the check shall be cause for revocation or suspension of any
    30  license issued by the [board] commission to the person who        <--
    19870H1000B1941                 - 48 -

     1  issued such check and the cancellation of the wholesale purchase
     2  permit card held by such person.
     3     (d)  No liquor or alcohol package shall be opened on the
     4  premises of a Pennsylvania Liquor Store. No manager or other
     5  employe of the [board] commission employed in a Pennsylvania      <--
     6  Liquor Store shall allow any liquor or alcohol to be consumed on
     7  the store premises, nor shall any person consume any liquor or
     8  alcohol on such premises.
     9     (e)  The [board] commission may sell tax exempt alcohol to     <--
    10  the Commonwealth of Pennsylvania and to persons to whom the
    11  [board] commission shall, by regulation to be promulgated by it,  <--
    12  issue special permits for the purchase of such tax exempt
    13  alcohol.
    14     Such permits may be issued to the United States or any
    15  governmental agency thereof, to any university or college of
    16  learning, any laboratory for use exclusively in scientific
    17  research, any hospital, sanitorium, eleemosynary institution or
    18  dispensary; to physicians, dentists, veterinarians and
    19  pharmacists duly licensed and registered under the laws of the
    20  Commonwealth of Pennsylvania; to manufacturing chemists and
    21  pharmacists or other persons for use in the manufacture or
    22  compounding of preparations unfit for beverage purposes.
    23     (f)  Every purchaser of liquor or alcohol from a Pennsylvania
    24  Liquor Store shall receive a numbered receipt which shall show
    25  the price paid therefor, and such other information as the
    26  [board] commission may prescribe. Copies of all receipts issued   <--
    27  by a Pennsylvania Liquor Store shall be retained by and shall
    28  form part of the records of such store.
    29     (g)  The [board] commission is hereby authorized and           <--
    30  empowered to adopt and enforce appropriate rules and regulations
    19870H1000B1941                 - 49 -

     1  to insure the equitable wholesale and retail sale and
     2  distribution, through the Pennsylvania Liquor Stores, of
     3  available liquor and alcohol at any time when the demand
     4  therefor is greater than the supply.
     5     (h)  Every Pennsylvania Liquor Store shall sell gift
     6  certificates which may be redeemed for liquor.
     7     Section 20.  Section 306 of the act is reenacted and amended
     8  to read:
     9     Section 306.  Audits by Auditor General.--(a)  It shall be
    10  the duty of the Department of the Auditor General to make all
    11  audits which may be necessary in connection with the
    12  administration of the financial affairs of the [board]            <--
    13  commission and the Pennsylvania Liquor Stores operated and
    14  maintained by the [board] commission. SUCH AUDITS SHALL BE        <--
    15  CONDUCTED IN ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING
    16  PRINCIPLES. NOTHING HEREIN SHALL BE CONSTRUED TO REQUIRE THE
    17  AUDITOR GENERAL TO CONDUCT BIANNUAL INVENTORIES.
    18     (b)  At least one audit shall be made each year of the
    19  affairs of the [board] commission, and all collections made by    <--
    20  the Pennsylvania Liquor Stores shall be audited quarterly. A
    21  copy of the annual audit of the affairs of the commission BOARD   <--
    22  shall be submitted to each member of the General Assembly.
    23     (c)  Special audits of the affairs of the [board] commission   <--
    24  and the Pennsylvania Liquor Stores maintained and operated by
    25  the [board] commission may be made whenever they may, in the      <--
    26  judgment of the Auditor General, appear necessary, and shall be
    27  made whenever the Governor shall call upon the Auditor General
    28  to make them.
    29     (d)  Copies of all audits made by the Department of the
    30  Auditor General shall be promptly submitted to the [board]        <--
    19870H1000B1941                 - 50 -

     1  commission and to the Governor.
     2     (e)  Unless the Department of the Auditor General shall
     3  neglect or refuse to make annual, quarterly or special Audits,
     4  as hereinabove required, it shall be unlawful for the [board]     <--
     5  commission to expend any money appropriated to it by the General
     6  Assembly for any audit of its affairs, except for the payment of
     7  the compensation and expenses of such auditors as are regularly
     8  employed as part of the administrative staff of the [board]       <--
     9  commission.
    10     Section 21.  The headings of Article IV and Subdivision (A)
    11  of Article IV of the act are reenacted to read:
    12                            ARTICLE IV.
    13           LICENSES AND REGULATIONS; LIQUOR, ALCOHOL AND
    14                     MALT AND BREWED BEVERAGES.
    15       (A)  Liquor and Alcohol (Not Including Manufacturers).
    16     Section 22.  Section 401 of the act, amended June 1, 1972
    17  (P.L.355, No.95), is reenacted and amended AND AMENDED to read:   <--
    18     Section 401.  Authority to Issue Liquor Licenses to Hotels,
    19  Restaurants and Clubs.--(a)  Subject to the provisions of this
    20  act and regulations promulgated under this act, the [board]       <--
    21  commission shall have authority to issue a retail liquor license
    22  for any premises kept or operated by a hotel, restaurant or club
    23  and specified in the license entitling the hotel, restaurant or
    24  club to purchase liquor from a Pennsylvania Liquor Store and to
    25  keep on the premises such liquor and, subject to the provisions
    26  of this act and the regulations made thereunder, to sell the
    27  same and also malt or brewed beverages to guests, patrons or
    28  members for consumption on the hotel, restaurant or club
    29  premises. Such licensees, other than clubs, shall be permitted
    30  to sell malt or brewed beverages for consumption off the
    19870H1000B1941                 - 51 -

     1  premises where sold in quantities of not more than [one hundred   <--
     2  forty-four] ONE HUNDRED NINETY-TWO fluid ounces in a single sale  <--
     3  to one person. Such licenses shall be known as hotel liquor
     4  licenses, restaurant liquor licenses and club liquor licenses,
     5  respectively. No person who holds, either by appointment or
     6  election, any public office which involves the duty to enforce
     7  any of the penal laws of the United States of America or the
     8  penal laws of the Commonwealth of Pennsylvania or any penal
     9  ordinance or resolution of any political subdivision of this
    10  Commonwealth shall be issued any hotel or restaurant liquor
    11  license, nor shall such a person have any interest, directly or
    12  indirectly, in any such license.
    13     (b)  The [board] commission may issue to any club which        <--
    14  caters to groups of non-members, either privately or for
    15  functions, a catering license, and the [board] commission shall,  <--
    16  by its rules and regulations, define what constitutes catering
    17  under this subsection except that any club which is issued a
    18  catering license shall not be prohibited from catering on
    19  Sundays during the hours which the club may lawfully serve
    20  liquor, malt or brewed beverages.
    21     Section 23.  Section 402 of the act is reenacted and amended
    22  to read:
    23     Section 402.  License Districts; License Year; Hearings.--(a)
    24  The [board] commission shall, by regulation, divide the State     <--
    25  into convenient license districts and shall hold hearings on
    26  applications for licenses and renewals thereof, as it deems
    27  necessary, at a convenient place or places in each of said
    28  districts, at such times as it shall fix, by regulation, for the
    29  purpose of hearing testimony for and against applications for
    30  new licenses and renewals thereof. The commission BOARD shall     <--
    19870H1000B1941                 - 52 -

     1  hold a hearing on any application for a new hotel, club or
     2  restaurant liquor license or the transfer of any such license to
     3  a new location, upon the request of any person with standing to
     4  testify under subsection (b) if the request is filed with the
     5  commission BOARD within the first fifteen days of posting of the  <--
     6  notice of application pursuant to section 403(g). The [board]     <--
     7  commission may provide for the holding of such hearings by
     8  [examiners learned in the law, to be appointed by the Governor,   <--
     9  who shall not be subject to the "Civil Service Act."]             <--
    10  administrative law judges. Such examiners shall make A report to  <--
    11  the [board] commission in each case with their recommendations.   <--
    12  The [board] commission shall, by regulation, fix the license      <--
    13  year for each separate district so that the expiration dates
    14  shall be uniform in each of the several districts but staggered
    15  as to the State.
    16     (b)  Where a hearing is held in the case of an application
    17  for a new hotel, club or restaurant liquor license or an
    18  application for the transfer of a hotel, club or restaurant
    19  liquor license to a new location, the commission BOARD shall      <--
    20  permit residents residing within a radius of five hundred feet
    21  of the premises to testify at the hearing. The commission BOARD   <--
    22  and any hearing officer thereof shall give appropriate
    23  evidentiary weight to any testimony of such residents given at
    24  the hearing.
    25     Section 24.  Section 403 of the act, amended November 19,
    26  1959 (P.L.1546, No.553) and September 28, 1961 (P.L.1728,
    27  No.702), is reenacted and amended to read:
    28     Section 403.  Applications for Hotel, Restaurant and Club
    29  Liquor Licenses.--(a)  Every applicant for a hotel liquor
    30  license, restaurant liquor license or club liquor license or for
    19870H1000B1941                 - 53 -

     1  the transfer of an existing license to another premises not then
     2  licensed shall file a written application with the [board]        <--
     3  commission in such form and containing such information as the
     4  [board] commission shall from time to time prescribe, which       <--
     5  shall be accompanied by a filing fee of twenty dollars ($20),
     6  the prescribed license fee, and the bond hereinafter specified.
     7  Every such application shall contain a description of that part
     8  of the hotel, restaurant or club for which the applicant desires
     9  a license and shall set forth such other material information,
    10  description or plan of that part of the hotel, restaurant or
    11  club where it is proposed to keep and sell liquor as may be
    12  required by the regulations of the [board] commission. The        <--
    13  descriptions, information and plans referred to in this
    14  subsection shall show the hotel, restaurant, club, or the
    15  proposed location for the construction of a hotel, restaurant or
    16  club, at the time the application is made, and shall show any
    17  alterations proposed to be made thereto, or the new building
    18  proposed to be constructed after the approval by the [board]      <--
    19  commission of the application for a license or for the transfer
    20  of an existing license to another premises not then licensed. No
    21  physical alterations, improvements or changes shall be required
    22  to be made to any hotel, restaurant or club, nor shall any new
    23  building for any such purpose, be required to be constructed
    24  until approval of the application for license or for the
    25  transfer of an existing license to another premises not then
    26  licensed by the [board] commission. After approval of the         <--
    27  application, the licensee shall make the physical alterations,
    28  improvements and changes to the licensed premises, or shall
    29  construct the new building in the manner specified by the
    30  [board] commission at the time of approval, and the licensee      <--
    19870H1000B1941                 - 54 -

     1  shall not transact any business under the license until the
     2  [board] commission has approved the completed physical            <--
     3  alterations, improvements and changes to the licensed premises,
     4  or the completed construction of the new building as conforming
     5  to the specifications required by the [board] commission at the   <--
     6  time of issuance or transfer of the license, and is satisfied
     7  that the establishment is a restaurant, hotel or club as defined
     8  by this act. The [board] commission may require that all such     <--
     9  alterations or construction or conformity to definition be
    10  completed within six months from the time of issuance or
    11  transfer of the license. Failure to comply with these
    12  requirements shall be considered cause for revocation of the
    13  license. No such license shall be transferable between the time
    14  of issuance or transfer of the license and the approval of the
    15  completed alterations or construction by the [board] commission   <--
    16  and full compliance by the licensee with the requirements of
    17  this act, except in the case of death of the licensee prior to
    18  full compliance with all of the aforementioned requirements, in
    19  which event, the license may be transferred by the [board]        <--
    20  commission as provided in section 468 of this act for the
    21  transfer of the license in the case of death of the licensee.
    22     (b)  If the applicant is a natural person, his application
    23  must show that he is a citizen of the United States and has been
    24  a resident of this Commonwealth for at least two years
    25  immediately preceding his application.
    26     (c)  If the applicant is a corporation, the application must
    27  show that the corporation was created under the laws of
    28  Pennsylvania or holds a certificate of authority to transact
    29  business in Pennsylvania, that all officers, directors and
    30  stockholders are citizens of the United States, and that the
    19870H1000B1941                 - 55 -

     1  manager of the hotel, restaurant or club is a citizen of the
     2  United States.
     3     (d)  Each application shall be signed and verified by oath or
     4  affirmation by the owner, if a natural person, or, in the case
     5  of an association, by a member or partner thereof, or, in the
     6  case of a corporation, by an executive officer thereof or any
     7  person specifically authorized by the corporation to sign the
     8  application, to which shall be attached written evidence of his
     9  authority.
    10     (e)  If the applicant is an association, the application
    11  shall set forth the names and addresses of the persons
    12  constituting the association, and if a corporation, the names
    13  and addresses of the principal officers thereof. Every club
    14  applicant shall file with and as a part of its application a
    15  list of the names and addresses of its members, directors,
    16  officers, agents and employes, together with the dates of their
    17  admission, election or employment, and such other information
    18  with respect to its affairs as the [board] commission shall       <--
    19  require.
    20     (f)  The [board] commission shall refuse to issue licenses to  <--
    21  clubs when it appears that the operation of the licensed
    22  business would inure to the benefit of individual members,
    23  officers, agents or employes of the club, rather than to the
    24  benefit of the entire membership of the club.
    25     (g)  Every applicant for a new license or for the transfer of
    26  an existing license [to another premises not then licensed]
    27  shall post, for a period of a least fifteen days beginning with
    28  the day the application is filed with the [board] commission, in  <--
    29  a conspicuous place on the outside of the premises or at the
    30  proposed new location for which the license is applied, a notice
    19870H1000B1941                 - 56 -

     1  of such application, in such form, of such size, and containing
     2  such provisions as the [board] commission may require by its      <--
     3  regulations. Proof of the posting of such notice shall be filed
     4  with the [board] commission.                                      <--
     5     (h)  If any false statement is intentionally made in any part
     6  of the application, the affiant shall be deemed guilty of a
     7  misdemeanor and, upon conviction, shall be subject to the
     8  penalties provided by this article.
     9     (i)  Upon receipt of an application for a new license or
    10  transfer of an existing license to a new location, the
    11  commission BOARD shall immediately notify, in writing, the        <--
    12  municipality in which the premises proposed to be licensed are
    13  located.
    14     Section 25.  Section 404 of the act, amended September 2,
    15  1971 (P.L.429, No.103), is reenacted and amended AND AMENDED to   <--
    16  read:
    17     Section 404.  Issuance of Hotel, Restaurant and Club Liquor
    18  Licenses.--Upon receipt of the application, the proper fees and
    19  bond, and upon being satisfied of the truth of the statements in
    20  the application that the applicant is the only person in any
    21  manner pecuniarily interested in the business so asked to be
    22  licensed and that no other person will be in any manner
    23  pecuniarily interested therein during the continuance of the
    24  license, except as hereinafter permitted, and that the applicant
    25  is a person of good repute, that the premises applied for meet
    26  all the requirements of this act and the regulations of the
    27  [board] commission, that the applicant seeks a license for a      <--
    28  hotel, restaurant or club, as defined in this act, and that the
    29  issuance of such license is not prohibited by any of the
    30  provisions of this act, the [board] commission shall, in the      <--
    19870H1000B1941                 - 57 -

     1  case of a hotel or restaurant, grant and issue to the applicant
     2  a liquor license, and in the case of a club may, in its
     3  discretion, issue or refuse a license: Provided, however, That
     4  in the case of any new license or the transfer of any license to
     5  a new location the [board] commission may, in its discretion,     <--
     6  grant or refuse such new license or transfer if such place
     7  proposed to be licensed is within three hundred feet of any
     8  church, hospital, charitable institution, school, or public
     9  playground, or if such new license or transfer is applied for a
    10  place which is within two hundred feet of any other premises
    11  which is licensed by the [board] commission[, or if such new      <--
    12  license or transfer is applied for a place where the principal
    13  business is the sale of liquid fuels and oil]: And provided       <--
    14  further, That the [board] commission shall refuse any             <--
    15  application for a new license or the transfer of any license to
    16  a new location if, in the [board's] commission's opinion, such    <--
    17  new license or transfer would be detrimental to the welfare,
    18  health, peace and morals of the inhabitants of the neighborhood
    19  within a radius of five hundred feet of the place proposed to be
    20  licensed: And provided further, That the [board] commission       <--
    21  shall not issue new licenses in any license district more than
    22  twice each license year, effective from specific dates fixed by
    23  the [board] commission, and new licenses shall not be granted,    <--
    24  except for hotels as defined in this act, unless the application
    25  therefor shall have been filed at least thirty days before the
    26  effective date of the license: And provided further, That
    27  nothing herein contained shall prohibit the [board] commission    <--
    28  from issuing a new license for the balance of any unexpired term
    29  in any license district to any applicant in such district, who
    30  shall have become eligible to hold such license as the result of
    19870H1000B1941                 - 58 -

     1  legislative enactment, when such enactment shall have taken
     2  place during the license term of that district for which
     3  application is made or within the thirty days immediately
     4  preceding such term, nor shall anything herein contained
     5  prohibit the [board] commission from issuing at any time a new    <--
     6  license for an airport restaurant, or municipal golf course, as
     7  defined in section 461 of this act, for the balance of the
     8  unexpired license term in any license district: And provided
     9  further, That the [board] commission shall have the discretion    <--
    10  to refuse a license to any person or to any corporation,
    11  partnership or association if such person, or any officer or
    12  director of such corporation, or any member or partner of such
    13  partnership or association shall have been convicted or found
    14  guilty of a felony within a period of five years immediately
    15  preceding the date of application for the said license. THE       <--
    16  BOARD SHALL REFUSE ANY APPLICATION FOR A NEW LICENSE OR THE
    17  TRANSFER OF ANY LICENSE TO A LOCATION WHERE THE SALE OF LIQUID
    18  FUELS OR OIL IS CONDUCTED.
    19     Section 26.  Section 405 of the act, amended July 18, 1961
    20  (P.L.790, No.348), is reenacted and amended to read:              <--
    21     Section 405.  License Fees.--(a)  License fees for hotel and
    22  restaurant liquor licenses shall be graduated according to the
    23  population of the municipality as determined by the last
    24  preceding decennial census of the United States in which the
    25  hotel or restaurant is located, as follows:
    26     In municipalities having a population of less than fifteen
    27  hundred inhabitants, one hundred fifty dollars ($150.00).
    28     In municipalities, except townships, having a population of
    29  fifteen hundred and more but less than ten thousand inhabitants,
    30  and in townships having a population of fifteen hundred and more
    19870H1000B1941                 - 59 -

     1  but less than twelve thousand inhabitants, two hundred dollars
     2  ($200.00).
     3     In municipalities, except townships, having a population of
     4  ten thousand and more but less than fifty thousand inhabitants,
     5  and in townships having a population of twelve thousand and more
     6  but less than fifty thousand inhabitants, three hundred dollars
     7  ($300.00).
     8     In those having a population of fifty thousand and more but
     9  less than one hundred thousand inhabitants, four hundred dollars
    10  ($400.00).
    11     In those having a population of one hundred thousand and more
    12  but less than one hundred fifty thousand inhabitants, five
    13  hundred dollars ($500.00).
    14     In those having a population of one hundred fifty thousand
    15  and more inhabitants, six hundred dollars ($600.00).
    16     (b)  Every applicant for a club liquor license shall pay to
    17  the [board] commission a license fee of fifty dollars ($50.00),   <--
    18  except clubs to which catering licenses are issued, in which
    19  cases the license fees shall be the same as for hotels and
    20  restaurants located in the same municipality.
    21     (c)  All license fees authorized under this section shall be
    22  collected by the [board] commission for the use of the            <--
    23  municipalities in which such fees were collected.
    24     (d)  Whenever any checks issued in payment of filing and/or
    25  license fees shall be returned to the [board] commission as       <--
    26  dishonored, the [board] commission shall charge a fee of five     <--
    27  dollars ($5.00) per hundred dollars, or fractional part thereof,
    28  plus all protest fees, to the maker of such check submitted to
    29  the [board] commission. Failure to pay the face amount of the     <--
    30  check in full and all charges thereon as herein required within
    19870H1000B1941                 - 60 -

     1  ten days after demand has been made by the [board] commission     <--
     2  upon the maker of the check, the license of such person, if
     3  issued, shall immediately terminate and be cancelled without any
     4  action on the part of the [board] commission.                     <--
     5     Section 27.  Section 406 of the act, amended September 2,
     6  1971 (P.L.429, No.103), December 17, 1982 (P.L.1390, No.319),
     7  May 9, 1984 (P.L.246, No.54) and February 28, 1985 (P.L.1,
     8  No.1), is reenacted and amended to read:                          <--
     9     Section 406.  Sales by Liquor Licensees; Restrictions.--(a)
    10  (1)  Every hotel, restaurant or club liquor licensee may sell
    11  liquor and malt or brewed beverages by the glass, open bottle or
    12  other container, and in any mixture, for consumption only in
    13  that part of the hotel or restaurant habitually used for the
    14  serving of food to guests or patrons, or in a bowling alley that
    15  is immediately adjacent to and under the same roof as a
    16  restaurant when no minors are present, unless minors who are
    17  present are under proper supervision as defined in section 493,
    18  in the bowling alley, and in the case of hotels, to guests, and
    19  in the case of clubs, to members, in their private rooms in the
    20  hotel or club. No club licensee nor its officers, servants,
    21  agents or employes, other than one holding a catering license,
    22  shall sell any liquor or malt or brewed beverages to any person
    23  except a member of the club. In the case of a restaurant located
    24  in a hotel which is not operated by the owner of the hotel and
    25  which is licensed to sell liquor under this act, liquor and malt
    26  or brewed beverages may be sold for consumption in that part of
    27  the restaurant habitually used for the serving of meals to
    28  patrons and also to guests in private guest rooms in the hotel.
    29  For the purpose of this paragraph, any person who is an active
    30  member of another club which is chartered by the same state or
    19870H1000B1941                 - 61 -

     1  national organization shall have the same rights and privileges
     2  as members of the particular club. For the purpose of this
     3  paragraph, any person who is an active member of any volunteer
     4  firefighting company, association or group of this Commonwealth,
     5  whether incorporated or unincorporated, shall upon the approval
     6  of any club composed of volunteer firemen licensed under this
     7  act, have the same social rights and privileges as members of
     8  such licensed club. For the purposes of this paragraph, the term
     9  "active member" shall not include a social member.
    10     (2)  Hotel and restaurant liquor licensees, airport
    11  restaurant liquor licensees, municipal golf course restaurant
    12  liquor licensees and privately-owned public golf course
    13  restaurant licensees may sell liquor and malt or brewed
    14  beverages only after seven o'clock antemeridian of any day until
    15  two o'clock antemeridian of the following day, except Sunday,
    16  and except as hereinafter provided, may sell liquor and malt or
    17  brewed beverages on Sunday between the hours of twelve o'clock
    18  midnight and two o'clock antemeridian.
    19     (3)  Hotel and restaurant liquor licensees, airport
    20  restaurant liquor licensees, municipal golf course restaurant
    21  liquor licensees and privately-owned public golf course
    22  restaurant licensees whose sales of food and nonalcoholic
    23  beverages are equal to forty per centum or more of the combined
    24  gross sales of both food and alcoholic beverages may sell liquor
    25  and malt or brewed beverages on Sunday between the hours of
    26  eleven o'clock antemeridian and two o'clock antemeridian Monday
    27  upon purchase of a special annual permit from the [board]         <--
    28  commission at a fee of two hundred dollars ($200.00) per year,
    29  which shall be in addition to any other license fees.
    30     (4)  Hotel and restaurant liquor licensees, airport
    19870H1000B1941                 - 62 -

     1  restaurant liquor licensees, municipal golf course restaurant
     2  liquor licensees and privately-owned public golf course
     3  restaurant licensees which do not qualify for and purchase such
     4  annual special permit, their servants, agents or employes may
     5  sell liquor and malt or brewed beverages only after seven
     6  o'clock antemeridian of any day and until two o'clock
     7  antemeridian of the following day, and shall not sell after two
     8  o'clock antemeridian on Sunday. No hotel, restaurant and public
     9  service liquor licensee which does not have the special annual
    10  permit for Sunday sales shall sell liquor and malt or brewed
    11  beverages after two o'clock antemeridian on any day on which a
    12  general, municipal, special or primary election is being held
    13  until one hour after the time fixed by law for closing the
    14  polls, except, that, in the case of a special election for
    15  members of the General Assembly or members of the Congress of
    16  the United States, when such special election is held on other
    17  than a primary, municipal or general election day, licensees in
    18  those Legislative or Congressional Districts may make such
    19  sales, as though the day were not a special election day. No
    20  club licensee or its servants, agents or employes may sell
    21  liquor or malt or brewed beverages between the hours of three
    22  o'clock antemeridian and seven o'clock antemeridian on any day.
    23  No public service liquor licensee or its servants, agents, or
    24  employes may sell liquor or malt or brewed beverages between the
    25  hours of two o'clock antemeridian and seven o'clock antemeridian
    26  on any day.
    27     (5)  Any hotel, restaurant, club or public service liquor
    28  licensee may, by giving notice to the [board] commission,         <--
    29  advance by one hour the hours herein prescribed as those during
    30  which liquor and malt or brewed beverages may be sold during
    19870H1000B1941                 - 63 -

     1  such part of the year when daylight saving time is being
     2  observed generally in the municipality in which the place of
     3  business of such licensee is located. Any licensee who elects to
     4  operate his place of business in accordance with daylight saving
     5  time shall post a conspicuous notice in his place of business
     6  that he is operating in accordance with daylight saving time.
     7     (6)  Notwithstanding any provisions to the contrary, whenever
     8  the thirty-first day of December or Saint Patrick's Day falls on
     9  a Sunday, every hotel or restaurant liquor licensee, their
    10  servants, agents or employes may sell liquor and malt or brewed
    11  beverages on any such day after one o'clock postmeridian and
    12  until two o'clock antemeridian of the following day.
    13     (b)  Such Sunday sales by hotel and restaurant liquor
    14  licensees which qualify for and purchase such annual special
    15  permit, their servants, agents and employes, shall be made
    16  subject to the restrictions imposed by the act on sales by
    17  hotels and restaurants for sales on weekdays as well as those
    18  restrictions set forth in this section.
    19     Section 28.  Section 406.1 of the act, amended May 9, 1984
    20  (P.L.246, No.54), is reenacted and amended to read:               <--
    21     Section 406.1.  Secondary Service Area.--Upon application of
    22  any restaurant, hotel, club, any stadium as described in section
    23  408.9 or municipal golf course liquor licensee, and payment of
    24  the appropriate fee, the [board] commission may approve a         <--
    25  secondary service area by extending the licensed premises to
    26  include one additional permanent structure with dimensions of at
    27  least one hundred seventy-five square feet, enclosed on three
    28  sides and having adequate seating. Such secondary service area
    29  must be located on property having a minimum area of one (1)
    30  acre, and must be on land which is immediate, abutting, adjacent
    19870H1000B1941                 - 64 -

     1  or contiguous to the licensed premises with no intervening
     2  public thoroughfare. In any stadium as described in section
     3  408.9, only malt or brewed beverages may be served. There shall
     4  be no requirement that the secondary service area be physically
     5  connected to the original licensed premises. Notwithstanding 40
     6  Pa. Code § 7.21(c)(3), the licensee shall be permitted to store,
     7  serve, sell or dispense food, liquor and malt or brewed
     8  beverages at the [board] commission approved secondary service    <--
     9  area.
    10     Section 29.  Section 407 of the act is reenacted AND AMENDED   <--
    11  to read:
    12     Section 407.  Sale of Malt or Brewed Beverages by Liquor
    13  Licensees.--Every liquor license issued to a hotel, restaurant,
    14  club, or a railroad, pullman or steamship company under this
    15  subdivision (A) for the sale of liquor shall authorize the
    16  licensee to sell malt or brewed beverages at the same places but
    17  subject to the same restrictions and penalties as apply to sales
    18  of liquor, except that licensees other than clubs may sell malt
    19  or brewed beverages for consumption off the premises where sold
    20  in quantities of not more than [one hundred forty-four] ONE       <--
    21  HUNDRED NINETY-TWO fluid ounces in a single sale to one person.
    22  No licensee under this subdivision (A) shall at the same time be
    23  the holder of any other class of license, except a retail
    24  dispenser's license authorizing the sale of malt or brewed
    25  beverages only.
    26     Section 30.  Section 408 of the act, amended September 19,
    27  1961 (P.L.1507, No.639) and November 26, 1978 (P.L.1389,
    28  No.326), is reenacted and amended to read:                        <--
    29     Section 408.  Public Service Liquor Licenses.--(a)  Subject
    30  to the provisions of this act and regulations promulgated under
    19870H1000B1941                 - 65 -

     1  this act, the [board] commission, upon application, shall issue   <--
     2  retail liquor licenses to railroad or pullman companies
     3  permitting liquor and malt or brewed beverages to be sold in
     4  dining, club or buffet cars to passengers for consumption while
     5  enroute on such railroad, and may issue retail liquor licenses
     6  to steamship companies permitting liquor or malt or brewed
     7  beverages to be sold in the dining compartments of steamships or
     8  vessels wherever operated in the Commonwealth, except when
     9  standing or moored in stations, terminals or docks within a
    10  municipality wherein sales of liquor for consumption on the
    11  premises are prohibited, and may further issue retail liquor
    12  licenses to airline companies permitting liquor or malt or
    13  brewed beverages to be sold to passengers for consumption while
    14  enroute on such airline. Such licenses shall be known as public
    15  service liquor licenses. The [board] commission may issue a       <--
    16  master license to railroad or pullman companies to cover the
    17  maximum number of cars which the company shall estimate that it
    18  will operate within the Commonwealth on any one day. Such
    19  licensees shall file monthly reports with the [board] commission  <--
    20  showing the maximum number of cars operated in any one day
    21  during the preceding month, and if it appears that more cars
    22  have been operated than covered by its license it shall
    23  forthwith remit to the [board] commission the sum of twenty       <--
    24  dollars for each extra car so operated.
    25     (b)  For the purpose of considering an application by a
    26  steamship or airline company for a public service liquor
    27  license, the [board] commission may cause an inspection of the    <--
    28  steamship or vessel or aircraft for which a license is desired.
    29  The [board] commission may, in its discretion, grant or refuse    <--
    30  the license applied for and there shall be no appeal from its
    19870H1000B1941                 - 66 -

     1  decision, except that an action of mandamus may be brought
     2  against the [board] commission in the manner provided by law.     <--
     3     (c)  Every applicant for a public service liquor license
     4  shall, before receiving such license, file with the [board]       <--
     5  commission a surety bond as hereinafter prescribed, pay to the
     6  [board] commission for each of the maximum number of dining,      <--
     7  club or buffet cars which the applicant estimates it will have
     8  in operation on any one day an annual fee of twenty dollars
     9  ($20.00), and for each steamship or vessel or aircraft for which
    10  a license is desired an annual fee of one hundred dollars
    11  ($100.00).
    12     (d)  Unless previously revoked, every license issued by the
    13  [board] commission under this section shall expire and terminate  <--
    14  on the thirty-first day of December, in the year for which the
    15  license is issued. Licenses issued under the provisions of this
    16  section shall be renewed annually, as herein provided, upon the
    17  filing of applications in such form as the [board] commission     <--
    18  shall prescribe, but no license shall be renewed until the
    19  applicant shall file with the [board] commission a new surety     <--
    20  bond and shall pay the requisite license fee specified in this
    21  section.
    22     (e)  Except as otherwise specifically provided, sales of
    23  liquor and malt or brewed beverages by the aforesaid public
    24  service company licensees shall be made in accordance with, and
    25  shall be subject to, the provisions of this act relating to the
    26  sale of liquors by restaurant licensees.
    27     Section 31.  Section 408.1 of the act, added December 15,
    28  1965 (P.L.1106, No.426) and amended November 17, 1967 (P.L.510,
    29  No.247), is reenacted and amended to read:                        <--
    30     Section 408.1.  Trade Show and Convention Licenses.--(a)  The
    19870H1000B1941                 - 67 -

     1  [board] commission is authorized to issue a license in any city   <--
     2  of the first or second class for the retail sale of liquor and
     3  malt or brewed beverages by the glass, open bottles or other
     4  container or in any mixture for consumption in any restaurant or
     5  other appropriate location on city-owned premises or on premises
     6  of an authority created under the act of July 29, 1953
     7  (P.L.1034), known as the "Public Auditorium Authorities Law"
     8  customarily used or available for use for trade shows and
     9  conventions. Any concessionaire selected and certified by the
    10  city or its authorized agency or by the authority may apply for
    11  a license.
    12     (b)  The application for a trade show and convention license
    13  may be filed at any time and shall conform with all requirements
    14  for restaurant liquor license applications except as may be
    15  otherwise provided herein. The applicant shall submit such other
    16  information as the [board] commission may require. Application    <--
    17  shall be in writing on forms prescribed by the [board]            <--
    18  commission and shall be signed and submitted to the [board]       <--
    19  commission by the applicant. The filing fee which shall
    20  accompany the trade show and convention license application
    21  shall be twenty dollars ($20).
    22     (c)  Upon receipt of the application in proper form and the
    23  application fee, and upon being satisfied that the applicant is
    24  of good repute and financially responsible and that the proposed
    25  place of business is proper, the [board] commission shall issue   <--
    26  a license to the applicant.
    27     (d)  The license shall be issued for the same period as
    28  provided for restaurant licenses and shall be renewed as in
    29  section 402. The license shall terminate upon revocation by the
    30  [board] commission or upon termination of the contract between    <--
    19870H1000B1941                 - 68 -

     1  the concessionaire and the city or authority.
     2     (e)  The annual fee for a trade show and convention license
     3  shall be six hundred dollars ($600), and shall accompany the
     4  application for the license. Whenever a concessionaire's
     5  contract terminates the license shall be returned to the [board]  <--
     6  commission for cancellation and a new license shall be issued to
     7  a new applicant.
     8     (f)  The penal sum of the bond which shall be filed by an
     9  applicant for a trade show and convention license pursuant to
    10  section 465 of this article shall be two thousand dollars
    11  ($2,000) and in addition thereto he shall file an additional
    12  bond in a sum to assure payment of any suspension of license up
    13  to one hundred days.
    14     (g)  Sales by the holder of a trade show and convention
    15  license may be made except to those persons prohibited under
    16  clause (1) of section 493 of this act on city-owned or
    17  authority-owned, leased or operated premises customarily used or
    18  available for use for trade shows and conventions during the
    19  hours in which the convention or trade show is being held and up
    20  to one hour after the scheduled closing, and at functions which
    21  are incidental to or a part of the trade show or convention, but
    22  such sales may not be made beyond the hours expressed in the act
    23  for the sale of liquor by restaurant licensees: Provided,
    24  however, That during the hours expressed in this act for the
    25  sale of liquor by hotel licensees, sales of such liquor or malt
    26  or brewed beverages may be made by said licensee at banquets,
    27  not incidental to trade shows or conventions, at which more than
    28  two thousand persons are scheduled to attend, and at functions
    29  irrespective of attendance, which are directly related to the
    30  Philadelphia Commercial Museum or the Center for International
    19870H1000B1941                 - 69 -

     1  Visitors: And provided further, That no such sale shall be made
     2  at any sporting, athletic or theatrical event.
     3     (h)  Whenever a contract is terminated prior to the
     4  expiration date provided in the contract between the city or
     5  authority and the concessionaire, the city or authority may
     6  select and certify to the [board] commission a different          <--
     7  concessionaire which concessionaire shall apply to the [board]    <--
     8  commission for a new license. If the applicant meets the
     9  requirements of the [board] commission as herein provided a new   <--
    10  license shall thereupon be issued.
    11     (i)  If any trade show and convention license is suspended,
    12  the offer in compromise shall be accepted at the same rate as
    13  provided for existing restaurant liquor licenses not in excess
    14  of one hundred days. If any trade show and convention license is
    15  revoked, the [board] commission shall issue a new license to any  <--
    16  qualified applicant without regard to the prohibition in section
    17  471 against the grant of license at the same premises for a
    18  period of at least one year.
    19     Section 32.  Section 408.2 of the act, added November 25,
    20  1970 (P.L.770, No.255) and amended June 9, 1972 (P.L.379,
    21  No.108), is reenacted and amended to read:                        <--
    22     Section 408.2.  City-Owned Stadia.--(a)  The [board]           <--
    23  commission is authorized to issue a license in any city of the
    24  first class for the retail sale of liquor and malt or brewed
    25  beverages by the glass, open bottles or other container or in
    26  any mixture for consumption in any restaurant on city-owned
    27  premises principally utilized for competition of professional
    28  and amateur athletes and other types of entertainment where
    29  there is an available seating capacity within the premises of
    30  twelve thousand or more.
    19870H1000B1941                 - 70 -

     1     (b)  The application for a city-owned stadium license may be
     2  filed at any time by a concessionaire selected and certified by
     3  the city or its authorized agency and shall conform with all
     4  requirements for restaurant-liquor licenses and applications
     5  except as may otherwise be provided herein. Applicant shall
     6  submit such other information as the [board] commission may       <--
     7  require. Applications shall be in writing on forms prescribed by
     8  the [board] commission and shall be signed and submitted to the   <--
     9  [board] commission by the applicant. The filing fee which shall   <--
    10  accompany the license application shall be twenty dollars ($20).
    11     (c)  Upon receipt of the application in proper form and the
    12  application fee and upon being satisfied that the applicant is
    13  of good repute and financially responsible and that the proposed
    14  place of business is proper, the [board] commission shall issue   <--
    15  a license to the applicant.
    16     (d)  The license shall be issued for the same period of time
    17  as provided for restaurant licenses and shall be renewed as
    18  provided in section 402. The license shall terminate upon
    19  revocation by the [board] commission or upon termination of the   <--
    20  contract between the concessionaire and the city.
    21     (e)  The annual fee for a stadium license shall be six
    22  hundred dollars ($600), and shall accompany the application for
    23  the license. Whenever a concessionaire's contract terminates the
    24  license shall be returned to the [board] commission for           <--
    25  cancellation and a new license shall be issued to a new
    26  applicant.
    27     (f)  The penal sum of the bond which shall be filed by an
    28  applicant for a stadium license pursuant to section 465 of the
    29  "Liquor Code" shall be two thousand dollars ($2,000) and in
    30  addition thereto he shall file an additional bond in a sum to
    19870H1000B1941                 - 71 -

     1  assure payment of any fine imposed by the [board] commission up   <--
     2  to one thousand dollars ($1,000).
     3     (g)  Sales by the holder of a stadium license may be made
     4  except to those persons prohibited under clause (1) of section
     5  493 of this act on city-owned premises customarily used or
     6  available for use for competition of professional and amateur
     7  athletes and other types of entertainment during the hours in
     8  which the entertainment is being held and up to one hour after
     9  the scheduled closing, and at functions which are incidental to
    10  or part of the stadium activities, but such sales may not be
    11  made beyond the hours expressed in the code for the sale of
    12  liquor by restaurant licensees: Provided, however, That such
    13  sales may be made on Sunday between the hours of twelve o'clock
    14  noon and ten o'clock postmeridian: And provided further, That
    15  during the hours expressed in this act for the sale of liquor by
    16  hotel licensees, sales of such liquor or malt or brewed
    17  beverages may be made by said licensee at banquets, not
    18  incidental to stadium activities, at which more than two
    19  thousand persons are scheduled to attend, and at functions
    20  irrespective of attendance, which are directly related to stadia
    21  purposes.
    22     (h)  Whenever a contract is terminated prior to the
    23  expiration date provided in the contract between the city and
    24  the concessionaire, the city may select and certify to the
    25  [board] commission a different concessionaire which               <--
    26  concessionaire shall apply to the [board] commission for a new    <--
    27  license. If the applicant meets the requirements of the [board]   <--
    28  commission as herein provided a new license shall thereupon be
    29  issued. If any stadium license is revoked, the [board]            <--
    30  commission shall issue a new license to any qualified applicant
    19870H1000B1941                 - 72 -

     1  without regard to the prohibition in section 471, against the
     2  grant of a license at the same premises for a period of at least
     3  one year.
     4     Section 33.  Section 408.3 of the act, amended December 16,
     5  1982 (P.L.1359, No.311), is reenacted and amended to read:
     6     Section 408.3.  Performing Arts Facilities.--(a)  The [board]  <--
     7  commission is authorized to issue a license to one nonprofit
     8  corporation operating a theater for the performing arts in each
     9  city of the first or second class which has seating
    10  accommodations for at least twenty-seven hundred persons except
    11  where prohibited by local option for the retail sale of liquor
    12  and malt or brewed beverages by the glass, open bottle or other
    13  container or in any mixture for consumption in any such theater
    14  for the performing arts.
    15     (a.1)  The [board] commission is authorized to issue licenses  <--
    16  to operators of theaters for the performing arts, other than a
    17  theater qualifying under subsection (a), which are permanently
    18  located at a single site and which have seating accommodations,
    19  affixed to the theater structure, for at least twenty-eight
    20  hundred persons except where prohibited by local option for the
    21  retail sale of liquor and malt or brewed beverages by the glass,
    22  open bottle, or other container or in any mixture for
    23  consumption in any such theater for the performing arts.
    24     (A.2)  THE BOARD IS AUTHORIZED TO APPROVE THE TRANSFER OF A    <--
    25  RESTAURANT LICENSE TO ONE NONPROFIT CORPORATION OPERATING A
    26  THEATER FOR THE PERFORMING ARTS IN EACH CITY WHICH HAS A SEATING
    27  CAPACITY OF AT LEAST TWO HUNDRED FIFTY (250) PERSONS, EXCEPT
    28  WHERE PROHIBITED BY LOCAL OPTION, FOR THE RETAIL SALE OF LIQUOR
    29  AND MALT OR BREWED BEVERAGES BY THE GLASS, OPEN BOTTLE OR OTHER
    30  CONTAINER OR IN ANY MIXTURE FOR CONSUMPTION IN ANY SUCH THEATER
    19870H1000B1941                 - 73 -

     1  FOR THE PERFORMING ARTS.
     2     (b)  The application for a performing arts facility license
     3  may be filed at any time by a nonprofit corporation operating
     4  such a theater for the performing arts or by a concessionaire
     5  selected by such nonprofit corporation and shall conform with
     6  all requirements for restaurant liquor licenses and applications
     7  except as may otherwise be provided herein. Applicant shall
     8  submit such other information as the [board] commission may       <--
     9  require. Applications shall be in writing on forms prescribed by
    10  the [board] commission and shall be signed and submitted to the   <--
    11  [board] commission by the applicant. The filing fee shall         <--
    12  accompany the license application.
    13     (b.1)  A performing arts facility referred to in subsection
    14  (a.1) OR (A.2) must be in operation for a period of two (2)       <--
    15  years before it may file an application for a license. The
    16  application for a performing arts facility license may be filed
    17  at any time thereafter by the operator or a concessionaire
    18  selected by the operator of such theater for the performing arts
    19  and shall conform with all requirements for restaurant liquor
    20  licenses and applications except as may be otherwise provided
    21  herein. Applicants shall submit such other information as the
    22  [board] commission may require. Applications shall be in writing  <--
    23  on forms prescribed by the [board] commission and shall be        <--
    24  signed and submitted to the [board] commission by the applicant.  <--
    25  The filing fee shall accompany the license application.
    26     (b.2)  The filing fee which is prescribed in clause (19) of
    27  section 614-A of the act of April 9, 1929 (P.L.177, No.175),
    28  known as "The Administrative Code of 1929," shall accompany the
    29  license application filed under subsection (b) or (b.1).
    30     (c)  Upon receipt of the application in proper form and the
    19870H1000B1941                 - 74 -

     1  application fee and upon being satisfied that the applicant is
     2  of good repute and financially responsible and that the proposed
     3  place of business is proper, the [board] commission shall issue   <--
     4  a license to the applicant.
     5     (d)  The license shall be issued for the same period of time
     6  as provided for restaurant licenses and shall be renewed as
     7  provided in section 402. The license shall terminate upon
     8  revocation by the [board] commission or upon termination of the   <--
     9  contract between the concessionaire and the operator of such
    10  theater for the performing arts.
    11     (e)  The annual fee for a performing arts facility shall
    12  accompany the application for the license and shall be as
    13  prescribed in clause (19) of section 614-A of "The
    14  Administrative Code of 1929." Whenever and if a concessionaire's
    15  contract terminates the license shall be returned to the [board]  <--
    16  commission for cancellation and a new license shall be issued to
    17  a new applicant.
    18     (f)  The penal sum of the bond which shall be filed by an
    19  applicant for a performing arts facility pursuant to section 465
    20  of the "Liquor Code" shall be two thousand dollars ($2,000).
    21     (g)  Sales by the holder of a performing arts facility
    22  license may be made except to those persons prohibited under
    23  clause (1) of section 493 of this act on the premises of such a
    24  theater for the performing arts during the hours expressed in
    25  the code for the sale of liquor and malt and brewed beverages by
    26  restaurant licensees, and the license may be used for such sales
    27  on Sundays between the hours of 1:00 P.M. and 10:00 P.M.,
    28  irrespective of the volume of food sales.
    29     (g.1)  Sales by the holder of a performing arts facility
    30  license referred to in subsection (a.1) shall be further
    19870H1000B1941                 - 75 -

     1  restricted to the period of time beginning one (1) hour before
     2  and ending one (1) hour after any presentation at the performing
     3  arts facility.
     4     (h)  Whenever a contract with a concessionaire is terminated
     5  prior to the expiration date provided in the contract between
     6  such operator and the concessionaire, operator may select and
     7  certify to the [board] commission a different concessionaire      <--
     8  which concessionaire shall apply to the [board] commission for a  <--
     9  new license. If the applicant meets the requirements of the
    10  [board] commission as herein provided a new license shall         <--
    11  thereupon be issued. If any such performing arts facility
    12  license is revoked, the [board] commission shall issue a new      <--
    13  license to any qualified applicant without regard to the
    14  prohibition in section 471, against the grant of a license at
    15  the same premises for a period of at least one (1) year.
    16     (i)  Licenses issued under the provisions of this section
    17  shall not be subject to the quota restrictions of section 461 of
    18  this act.
    19     (j)  Performing arts facility licenses referred to in
    20  subsection (a) shall not be subject to the provisions of section
    21  404 except in so far as they relate to the reputation of the
    22  applicant nor to the provisions of sections 461 and 463 nor to
    23  the provisions of clause (10) of section 493 of the "Liquor
    24  Code."
    25     (j.1)  Performing arts facilities referred to in subsection
    26  (a.1) shall not be subject to the provisions of section 463 nor
    27  to the provision requiring a special permit for dancing,
    28  theatricals or floor shows of any sort, or moving pictures other
    29  than television in clause (10) of section 493 of the "Liquor
    30  Code."
    19870H1000B1941                 - 76 -

     1     (J.2)  PERFORMING ARTS THEATERS REFERRED TO IN SUBSECTION      <--
     2  (A.2) SHALL NOT BE SUBJECT TO THE PROVISIONS OF SECTION 463, NOR
     3  TO THE PROVISION REQUIRING A SPECIAL PERMIT FOR DANCING,
     4  THEATRICALS OR FLOOR SHOWS OF ANY SORT, OR MOVING PICTURES OTHER
     5  THAN TELEVISION IN SECTION 493(10), NOR TO PROVISIONS DEFINING
     6  "RESTAURANT" IN SECTION 102.
     7     (k)  Sales under such licenses (including food sales) may be
     8  limited by the licensee to patrons of the events scheduled in
     9  the theater of the performing arts. Provided food is offered for
    10  sale when sales are made under the license, such food may be
    11  catered from off the premises.
    12     Section 34.  Section 408.4 of the act, amended July 11, 1980
    13  (P.L.558, No.117), July 9, 1984 (P.L.659, No.137) and July 3,
    14  1985 (P.L.134, No.36), is reenacted and amended to read:
    15     Section 408.4.  Special Occasion Permits.--(a)  Upon
    16  application of any hospital, church, synagogue, volunteer fire
    17  company, VOLUNTEER AMBULANCE COMPANY, VOLUNTEER RESCUE SQUAD,     <--
    18  bona fide sportsmen's club in existence for at least ten years,   <--
    19  OR THE AUXILIARY OF ANY OF THE FOREGOING, and upon payment of a
    20  fee of fifteen dollars ($15) per day, the [board] commission      <--
    21  shall issue a special occasion permit good for a period of not
    22  more than five consecutive [days] OR NONCONSECUTIVE DAYS:         <--
    23  PROVIDED, HOWEVER, THAT THE FIVE NONCONSECUTIVE DAYS SHALL BE
    24  USED IN A THREE-MONTH PERIOD MEASURED FROM THE DATE OF THE FIRST
    25  DAY. Special occasion permits may also be issued to a museum
    26  operated by a nonprofit corporation in a city of the third class
    27  or a nonprofit corporation engaged in the performing arts in a
    28  city of the third class for a period of not more than six
    29  nonconsecutive or ten consecutive days at a fee of fifteen
    30  dollars ($15) per day.
    19870H1000B1941                 - 77 -

     1     (b)  In any city, borough, incorporated town or township in
     2  which the sale of liquor and/or malt or brewed beverages has
     3  been approved by the electorate, such special occasion permit
     4  shall authorize the permittee to sell liquor and/or malt or
     5  brewed beverages as the case may be to any adult person on any
     6  day for which the permit is issued.
     7     (c)  Such special occasion permit shall only be valid for the
     8  number of days stated in the permit. Only one permit may be
     9  issued to any permittee during the year. Provided, that a museum
    10  operated by a nonprofit corporation in a city of the third class
    11  and a nonprofit corporation engaged in the performing arts in a
    12  city of the third class may be issued no more than six permits
    13  during the year, each permit being valid for only one day, or in
    14  the alternative, one permit valid for no more than a total of
    15  ten consecutive days per year, which may be issued only during
    16  the month of August. Notwithstanding this subsection, two         <--
    17  special occasion permits per calendar year may be issued to the
    18  same hospital, church, synagogue, volunteer fire company or bona
    19  fide sportsmen's club.
    20     (d)  Such permits shall only be issued for use at a special
    21  event including, but not limited to bazaars, picnics and
    22  clambakes. The special event must be one which is used by the
    23  permittee as a means of raising funds for itself.
    24     (d.1)  The hours during which the holder of a special
    25  occasion permit may sell liquor or malt or brewed beverages
    26  shall be limited to the hours set forth in section 406 which are
    27  applicable to hotel and restaurant licensees. The hours during
    28  which a nonprofit corporation engaged in the performing arts in
    29  a city of the third class may sell liquor or malt or brewed
    30  beverages pursuant to a special occasion permit shall be limited
    19870H1000B1941                 - 78 -

     1  to those hours set forth in section 408.3(g.1).
     2     (d.2)  At least forty-eight hours prior to the sale of any
     3  liquor or malt or brewed beverages, the holder of a special
     4  occasion permit shall notify the local police department, or in
     5  the absence of a local police department, the Pennsylvania State
     6  Police, of the times when and place where the sale of liquor or
     7  malt or brewed beverages shall occur.
     8     (e)  The provisions of this section shall not be applicable
     9  to any licensee now or hereafter possessing a caterer's license,
    10  nor to any professional fund raiser.
    11     (f)  Any person selling liquor or malt or brewed beverages in
    12  violation of this section shall, upon summary conviction, be
    13  sentenced to pay a fine of two hundred fifty dollars ($250) for
    14  the first offense and a fine of five hundred dollars ($500) for
    15  each subsequent offense. This fine shall be in addition to any
    16  other penalty imposed by law for the illegal sale of malt or
    17  brewed beverages.
    18     Section 35.  Section 408.5 of the act, amended July 9, 1976
    19  (P.L.527, No.125), is reenacted and amended to read:
    20     Section 408.5.  Licenses for City-owned Art Museums, Cities
    21  First Class [and]; Art Museums Maintained by Certain Non-profit   <--
    22  Corporations in Cities of the Second Class; AND NON-PROFIT        <--
    23  SCIENCE AND TECHNOLOGY MUSEUMS IN CITIES OF THE FIRST CLASS AND
    24  IN CITIES OF THE SECOND CLASS.--(a)  The [board] commission is    <--
    25  authorized to issue a license in any city of the first class for
    26  the retail sale of liquor and malt or brewed beverages by the
    27  glass, open bottles or other container, and in any mixture, for
    28  consumption in any city-owned art museum [or], in any art museum  <--
    29  maintained by a non-profit corporation in cities of the second
    30  class OR ANY NON-PROFIT SCIENCE AND TECHNOLOGY MUSEUM IN CITIES   <--
    19870H1000B1941                 - 79 -

     1  OF THE FIRST CLASS OR IN CITIES OF THE SECOND CLASS. For the
     2  purpose of this section "non-profit corporation" shall mean a
     3  corporation organized under the non-profit corporation laws for
     4  the benefit of the public and not for the mutual benefit of its
     5  members, and which maintains an art museum OR A SCIENCE AND       <--
     6  TECHNOLOGY MUSEUM having a floor area of not less than one
     7  hundred thousand square feet in one building.
     8     (b)  The application for a license may be filed at any time
     9  by the city, the non-profit corporation or lessee. The
    10  application may also be filed by a concessionaire selected and
    11  certified by the city or the non-profit corporation. The
    12  application shall conform with all requirements for restaurant
    13  liquor licenses and applications except as may otherwise be
    14  provided herein. Applicant shall submit such other information
    15  as the [board] commission may require. The application shall be   <--
    16  in writing on forms prescribed by the [board] commission and      <--
    17  shall be signed and submitted to the [board] commission by the    <--
    18  applicant. A filing fee of twenty dollars ($20) shall accompany
    19  the license application.
    20     (c)  Upon receipt of the application in proper form with the
    21  application fee and upon being satisfied that the applicant is
    22  of good repute and financially responsible and that the proposed
    23  place of business is proper, the [board] commission shall issue   <--
    24  a license to the applicant.
    25     (d)  The license shall be issued for the same period of time
    26  as provided for restaurant licensees and shall be renewed as
    27  provided in section 402. The license shall terminate upon
    28  revocation by the [board] commission or upon termination of the   <--
    29  lease or upon termination of the contract between the
    30  concessionaire and the city or the non-profit corporation.
    19870H1000B1941                 - 80 -

     1     (g)  Sales by the holder of an art museum license OR SCIENCE   <--
     2  AND TECHNOLOGY LICENSE may be made except to those persons
     3  prohibited by this act on premises used for art museum OR         <--
     4  SCIENCE AND TECHNOLOGY purposes, but such sales may not be made
     5  beyond the hours expressed in this act for the sale of liquor by
     6  restaurant licenses. However, sales of liquor or malt or brewed
     7  beverages may be made by an art museum OR SCIENCE AND TECHNOLOGY  <--
     8  licensee at banquets at which more than five hundred persons are
     9  scheduled to attend and at any other function which is directly
    10  related to art museum OR SCIENCE AND TECHNOLOGY purposes.         <--
    11     (h)  Whenever a lease or a concession contract is terminated
    12  prior to the expiration date provided in the lease or contract
    13  between the city or the non-profit corporation and the tenant or
    14  concessionaire, the city or the non-profit corporation may
    15  select and certify to the [board] commission a different          <--
    16  licensee or concessionaire who may then apply to the [board]      <--
    17  commission for a new license. If the applicant meets the
    18  requirements of the [board] commission as herein provided a new   <--
    19  license shall thereupon be issued.
    20     (i)  If the [board] commission shall revoke any art museum     <--
    21  license OR SCIENCE AND TECHNOLOGY LICENSE, the [board]            <--
    22  commission shall issue a new license to any qualified applicant
    23  without regard to the prohibition in section 471 against the
    24  grant of a license at the same premises for a period of at least
    25  one year.
    26     (i.1)  Any renewal of a license presently held by a city-
    27  owned art museum in a city of the first class shall be
    28  accomplished by the purchase of a license from an existing
    29  licensee.
    30     (i.2)  An art museum maintained by a non-profit corporation
    19870H1000B1941                 - 81 -

     1  or corporations in a city of the second class which obtains
     2  approval of its application for a license from the [board]        <--
     3  commission shall purchase a license from an existing licensee.
     4     (j)  The provisions of this act shall supersede or exempt any
     5  provision of the Liquor Code which would prevent the issuance of
     6  a license for the retail sale of liquor and malt or brewed
     7  beverages upon any premises owned by the city of the first class
     8  or by a non-profit corporation in a city of the second class
     9  used for art museum purposes.
    10     Section 36.  Section 408.6 of the act, added July 11, 1980
    11  (P.L.558, No.117), is reenacted and amended to read:
    12     Section 408.6.  Performing Arts Facilities in Third Class
    13  Cities.--(a)  The [board] commission is authorized to issue a     <--
    14  restaurant liquor license to a nonprofit corporation or to a
    15  concessionaire selected by such nonprofit corporation in any
    16  city of the third class for the retail sale of liquor and malt
    17  or brewed beverages by the glass, open bottles or other
    18  container or in any mixture for consumption on any city-owned
    19  premises utilized as a nonprofit performing arts facility or any
    20  other premises utilized as a nonprofit performing arts facility
    21  where there is an available seating capacity within the premises
    22  of one thousand or more: Provided, however, That no sale or
    23  consumption of such beverages shall take place on any portions
    24  of such premises other than service areas approved by the
    25  [board] commission.                                               <--
    26     (b)  An application for the issuance may be filed at any time
    27  by a nonprofit corporation operating such a theater for the
    28  performing arts or by a concessionaire selected by such
    29  nonprofit corporation. Any such license granted under these
    30  provisions need not conform to the requirements of the act
    19870H1000B1941                 - 82 -

     1  relating to restaurant liquor licenses, except as provided
     2  herein. Applicant shall submit such other information as the
     3  [board] commission may require. Applications shall be in writing  <--
     4  on forms prescribed by the [board] commission and shall be        <--
     5  signed and submitted to the [board] commission by the applicant.  <--
     6  The filing fee which shall accompany the license application
     7  shall be thirty dollars ($30).
     8     (c)  Upon receipt of the application in proper form and the
     9  application fee and upon being satisfied that the applicant is
    10  of good repute and financially responsible and that the proposed
    11  place of business is proper, the [board] commission shall issue   <--
    12  the restaurant liquor license for the performing arts facility.
    13     (d)  The license shall be issued for the same period of time
    14  as provided for restaurant licenses and shall be renewed as
    15  provided in section 402. The license shall terminate upon
    16  revocation by the [board] commission or upon termination and      <--
    17  nonrenewal of the contract between the concessionaire and such
    18  nonprofit corporation.
    19     (e)  The annual fee for a performing arts facility shall be
    20  as provided in section 405 and shall accompany the application
    21  for the license. Whenever and if a concessionaire's contract
    22  terminates and is not renewed the license shall be returned to
    23  the [board] commission for cancellation but the [board]           <--
    24  commission may issue a restaurant liquor license to a subsequent
    25  applicant.
    26     (f)  The penal sum of the bond which shall be filed by an
    27  applicant for a performing arts facility pursuant to section 465
    28  shall be two thousand dollars ($2,000).
    29     (g)  Sales by the holder of a performing arts facility
    30  license may be made except to those persons prohibited under
    19870H1000B1941                 - 83 -

     1  clause (1) of section 493 on [board-approved] commission-         <--
     2  approved service areas of the premises of such a facility for
     3  the performing arts during the hours in which the performance is
     4  being held and up to one hour before the scheduled opening and
     5  one hour after the scheduled closing, but such sales may not be
     6  made beyond the hours expressed in the code for the sale of
     7  liquor and malt or brewed beverages by restaurant licensees:
     8  Provided, however, That such sales may be made on Sunday between
     9  the hours of one o'clock postmeridian and ten o'clock
    10  postmeridian, irrespective of the volume of food sales.
    11     (h)  Whenever a contract with a concessionaire is terminated
    12  prior to the expiration date provided in the contract between
    13  such nonprofit corporation and the concessionaire and is not
    14  renewed, such nonprofit corporation may apply to the [board]      <--
    15  commission for the issuance of a restaurant liquor license or
    16  may select and certify to the [board] commission a different      <--
    17  concessionaire which concessionaire shall apply to the [board]    <--
    18  commission for the issuance of a restaurant liquor license. If
    19  the applicant meets the requirements of the [board] commission    <--
    20  as herein provided, the issuance shall thereupon occur. If any
    21  such performing arts facility license is revoked, the [board]     <--
    22  commission shall issue a new license to any qualified applicant
    23  without regard to the prohibition in section 471, against the
    24  grant of a license at the same premises for a period of at least
    25  one year.
    26     (i)  Licenses issued under the provisions of this section
    27  shall not be subject to the quota restrictions of section 461.
    28     (j)  Performing arts licenses shall not be subject to the
    29  provisions of section 404 except insofar as they relate to the
    30  reputation of the applicant nor to the provisions of sections
    19870H1000B1941                 - 84 -

     1  461 and 463, nor to the provisions of clause (10) of section
     2  493.
     3     (k)  Sales under such licenses (including food sales) may be
     4  limited by the licensee to patrons of the events scheduled in
     5  the facility of the performing arts. Provided food is offered
     6  for sale when sales are made under the license, such food may be
     7  catered from off the premises.
     8     Section 37.  Section 408.7 of the act, added December 12,
     9  1980 (P.L.1195, No.221), is reenacted and amended to read:
    10     Section 408.7.  Performing Arts Facilities in First and
    11  Second Class Cities.--(a)  The [board] commission is authorized   <--
    12  to transfer a restaurant liquor license purchased by any person
    13  or by a concessionaire selected by such person in any city of
    14  the first or second class for the retail sale of liquor and malt
    15  or brewed beverages by the glass, open bottles or other
    16  container or in any mixture for consumption on any city-owned
    17  premises utilized as a performing arts facility or any other
    18  premise utilized as a performing arts facility where there is an
    19  available seating capacity within the premises of one thousand
    20  or more: Provided, however, That no sale or consumption of such
    21  beverages shall take place on any portions of such premises
    22  other than service areas approved by the [board] commission.      <--
    23     (b)  An application for transfer may be filed at any time by
    24  a person operating such a theater for the performing arts or by
    25  a concessionaire selected by such person. Any such license
    26  granted under these provisions need not conform to the
    27  requirements of the act relating to restaurant liquor licenses,
    28  except as provided herein. Applicant shall submit such other
    29  information as the [board] commission may require. Applications   <--
    30  shall be in writing on forms prescribed by the [board]            <--
    19870H1000B1941                 - 85 -

     1  commission and shall be signed and submitted to the [board]       <--
     2  commission by the applicant. The filing fee which shall
     3  accompany the license transfer application shall be thirty
     4  dollars ($30).
     5     (c)  Upon receipt of the application in proper form and the
     6  application fee and upon being satisfied that the applicant is
     7  of good repute and financially responsible and that the proposed
     8  place of business is proper, the [board] commission shall         <--
     9  transfer the restaurant liquor license for the performing arts
    10  facility.
    11     (d)  The license shall be transferred for the same period of
    12  time as provided for restaurant licenses and shall be renewed as
    13  provided in section 402. The license shall terminate upon
    14  revocation by the [board] commission or upon termination and      <--
    15  nonrenewal of the contract between the concessionaire and such
    16  person.
    17     (e)  The annual fee for a performing arts facility shall be
    18  as provided in section 405 and shall accompany the application
    19  for the license. Whenever and if a concessionaire's contract
    20  terminates and is not renewed the license shall be returned to
    21  the [board] commission for cancellation and the [board]           <--
    22  commission may transfer a restaurant liquor license purchased by
    23  a subsequent applicant.
    24     (f)  The penal sum of the bond which shall be filed by an
    25  applicant for a performing arts facility pursuant to section 465
    26  shall be two thousand dollars ($2,000).
    27     (g)  Sales by the holder of a performing arts facility
    28  license may be made except to those persons prohibited under
    29  clause (1) of section 493 on [board-approved] commission-         <--
    30  approved service areas of the premises of such a facility for
    19870H1000B1941                 - 86 -

     1  the performing arts during the hours in which the performance is
     2  being held and up to one hour before the scheduled opening and
     3  one hour after the scheduled closing, but such sales may not be
     4  made beyond the hours expressed in the code for the sale of
     5  liquor and malt or brewed beverages by restaurant licensees:
     6  Provided, however, That such sales may be made on Sunday between
     7  the hours of one o'clock postmeridian and ten o'clock
     8  postmeridian, irrespective of the volume of food sales.
     9     (h)  Whenever a contract with a concessionaire is terminated
    10  prior to the expiration date provided in the contract between
    11  such person and the concessionaire and is not renewed, such
    12  person may apply to the [board] commission for the transfer of a  <--
    13  restaurant liquor license purchased by such person, or may
    14  select and certify to the [board] commission a different          <--
    15  concessionaire which concessionaire shall apply to the [board]    <--
    16  commission for the transfer of a restaurant liquor license
    17  purchased by such concessionaire. If the applicant meets the
    18  requirements of the [board] commission as herein provided, a      <--
    19  transfer shall thereupon occur. If any such performing arts
    20  facility license is revoked, the [board] commission shall         <--
    21  transfer a license for any qualified applicant who has purchased
    22  a restaurant liquor license without regard to the prohibition in
    23  section 471, against the grant of a license at the same premises
    24  for a period of at least one year.
    25     (i)  Performing arts licenses shall not be subject to the
    26  provisions of section 404 except insofar as they relate to the
    27  reputation of the applicant nor to the provisions of section
    28  463, nor to the provisions of clause (10) of section 493.
    29     (j)  Sales under such licenses (including food sales) may be
    30  limited by the licensee to portions of the events scheduled in
    19870H1000B1941                 - 87 -

     1  the facility of the performing arts. Provided food is offered
     2  for sale when sales are made under the license, such food may be
     3  catered from off the premises.
     4     Section 38.  Section 408.8 of the act, added December 17,
     5  1982 (P.L.1390, No.319), is reenacted and amended to read:        <--
     6     Section 408.8.  Trade Shows and Convention Licenses; Cities
     7  of the Third Class.--(a)  The [board] commission is authorized    <--
     8  to issue a restaurant liquor license to a nonprofit corporation
     9  or to a concessionaire selected by such nonprofit corporation in
    10  any city of the third class for the retail sale of liquor and
    11  malt or brewed beverages by the glass, open bottles or other
    12  container or in any mixture for consumption on any city-owned
    13  premises customarily used or available for use for trade shows
    14  and conventions with a capacity within the premises for one
    15  thousand people or more: Provided, however, That no sale or
    16  consumption of such beverages shall take place on any portions
    17  of such premises other than service areas approved by the
    18  [board] commission.                                               <--
    19     (b)  An application for the issuance may be filed at any time
    20  by a nonprofit corporation operating such a facility for trade
    21  shows or conventions or by a concessionaire selected by such
    22  nonprofit corporation. Any such license granted under these
    23  provisions need not conform to the requirements of the act
    24  relating to restaurant liquor licenses, except as provided
    25  herein. Applicant shall submit such other information as the
    26  [board] commission may require. Applications shall be in writing  <--
    27  on forms prescribed by the [board] commission and shall be        <--
    28  signed and submitted to the [board] commission by the applicant.  <--
    29  The filing fee which shall accompany the license application
    30  shall be thirty dollars ($30).
    19870H1000B1941                 - 88 -

     1     (c)  Upon receipt of the application in proper form and the
     2  application fee, and upon being satisfied that the applicant is
     3  of good repute and financially responsible and that the proposed
     4  place of business is proper, the [board] commission shall issue   <--
     5  the restaurant liquor license for the trade show or convention
     6  facility.
     7     (d)  The license shall be issued for the same period of time
     8  as provided for restaurant licenses and shall be renewed as
     9  provided in section 402. The license shall terminate upon
    10  revocation by the [board] commission or upon termination and      <--
    11  nonrenewal of the contract between the concessionaire and such
    12  nonprofit corporation.
    13     (e)  The annual fee for a trade show or convention facility
    14  shall be as provided in section 405 and shall accompany the
    15  application for the license. Whenever and if a concessionaire's
    16  contract terminates and is not renewed, the license shall be
    17  returned to the [board] commission for cancellation but the       <--
    18  [board] commission may issue a restaurant liquor license to a     <--
    19  subsequent application.
    20     (f)  The penal sum of the bond which shall be filed by an
    21  applicant for a trade show or convention facility pursuant to
    22  section 465 shall be two thousand dollars ($2,000).
    23     (g)  Sales by the holder of a trade show or convention
    24  facility license may be made except to those persons prohibited
    25  under clause (1) of section 493 on [board-approved] commission-   <--
    26  approved service areas of the premises of such a facility for
    27  trade shows or conventions during the hours in which the trade
    28  show or convention is being held and up to one hour before the
    29  scheduled opening and one hour after the scheduled closing, but
    30  such sales may not be made beyond the hours expressed in the
    19870H1000B1941                 - 89 -

     1  code for the sale of liquor and malt or brewed beverages by
     2  restaurant licensees: Provided, however, That such sales may be
     3  made on Sunday between the hours of one o'clock postmeridian and
     4  ten o'clock postmeridian, irrespective of the volume of food
     5  sales.
     6     (h)  Whenever a contract with a concessionaire is terminated
     7  prior to the expiration date provided in the contract between
     8  such nonprofit corporation and the concessionaire and is not
     9  renewed, such nonprofit corporation may apply to the [board]      <--
    10  commission for the issuance of a restaurant liquor license or
    11  may select and certify to the [board] commission a different      <--
    12  concessionaire which concessionaire shall apply to the [board]    <--
    13  commission for issuance of a restaurant liquor license. If the
    14  applicant meets the requirements of the [board] commission as     <--
    15  herein provided, the issuance shall thereupon occur. If any such
    16  trade show or convention license is revoked, the [board]          <--
    17  commission shall issue a new license to any qualified applicant
    18  without regard to the prohibition in section 471 against the
    19  grant of a license at the same premises for a period of at least
    20  one year.
    21     (i)  Licenses issued under the provisions of this section
    22  shall not be subject to the quota restrictions of section 461.
    23     (j)  Trade show or convention licenses shall not be subject
    24  to the provisions of section 404 except insofar as they relate
    25  to the reputation of the applicant nor to the provisions of
    26  sections 461 and 463 nor to the provisions of clause (10) of
    27  section 493.
    28     (k)  Sales under such licenses (including food sales) may be
    29  limited by the licensee to patrons of the events scheduled in
    30  the facility for trade shows or conventions. Provided food is
    19870H1000B1941                 - 90 -

     1  offered for sale when sales are made under the license, such
     2  food may be catered from off the premises.
     3     Section 39.  Section 408.9 of the act, added May 9, 1984
     4  (P.L.246, No.54), is reenacted and amended to read:               <--
     5     Section 408.9.  Stadium and Restaurant Licenses in Third
     6  Class Cities.--The [board] commission is authorized to issue one  <--
     7  restaurant license in any city of the third class for the retail
     8  sale of liquor and malt or brewed beverages by the glass, open
     9  bottles or other containers, and in any mixture, for consumption
    10  in any restaurant which is located not more than one thousand
    11  feet from a stadium which has a seating capacity of five
    12  thousand persons, situate on the same lot or parcel of land not
    13  less than twenty-five acres in size with no intervening public
    14  thoroughfare between the restaurant and the stadium.
    15     Section 40.  Section 409 of the act, amended February 17,
    16  1956 (1955 P.L.1078, No.349) and September 28, 1961 (P.L.1728,
    17  No.702), is reenacted and amended to read:                        <--
    18     Section 409.  Sacramental Wine Licenses; Fees; Privileges;
    19  Restrictions.--(a)  Subject to the provisions of this act in
    20  general and more particularly to the following provisions of
    21  this section, the [board] commission shall issue sacramental      <--
    22  wine licenses to qualified applicants.
    23     (b)  Every applicant for a sacramental wine license shall
    24  file a written application with the [board] commission in such    <--
    25  form as the [board] commission shall from time to time            <--
    26  prescribe, which shall be accompanied by a filing fee of twenty
    27  dollars ($20), a license fee of one hundred dollars, and a bond
    28  as hereinafter prescribed. Every such application shall contain
    29  a description of the premises for which the applicant desires a
    30  license and shall set forth such other material information as
    19870H1000B1941                 - 91 -

     1  may be required by the [board] commission.                        <--
     2     (c)  If the applicant is a natural person, his application
     3  must show that he is a citizen of the United States and a
     4  resident of this Commonwealth. If the applicant is an
     5  association or partnership, each and every member of the
     6  association or partnership must be a citizen of the United
     7  States and a resident of this Commonwealth. If the applicant is
     8  a corporation, the application must show that the corporation
     9  was created under the laws of Pennsylvania or holds a
    10  certificate of authority to transact business in Pennsylvania,
    11  and that all officers, directors and stockholders are citizens
    12  of the United States.
    13     (d)  Holders of such licenses may purchase from manufacturers
    14  or bring or import into this Commonwealth wine to be used for
    15  sacramental or religious purposes only, and bottle and sell the
    16  same to priests, clergymen and rabbis for use in the cathedral,
    17  church, synagogue or temple, or for sustaining members of the
    18  congregation or members of the faith who attend religious
    19  services, duly certified by such priests, clergymen or rabbis.
    20  The sale and use of wine for sacramental or religious purposes
    21  shall be subject to and in accordance with the regulations of
    22  the [board] commission.                                           <--
    23     (e)  Any wine purchased under the authority of this section
    24  shall not be used for any other than sacramental or religious
    25  purposes. Sacramental wine may not be sold by any person except
    26  the holder of a sacramental wine license.
    27     (f)  Every sacramental wine licensee shall maintain on the
    28  licensed premises such records as the [board] commission may      <--
    29  prescribe. No deliveries of sacramental wine shall be made
    30  unless and until an order therefor is on file at the principal
    19870H1000B1941                 - 92 -

     1  place of business in Pennsylvania. All shipments into
     2  Pennsylvania of wine to be used for sacramental or religious
     3  purposes shall be consigned to the principal place of business
     4  maintained by the licensee.
     5     (g)  Any such license may be suspended or revoked by the
     6  [board] commission upon proof satisfactory to it that the         <--
     7  licensee has violated any law of this Commonwealth or any
     8  regulation of the [board] commission relating to liquor and       <--
     9  alcohol. The procedure in such cases shall be the same as for
    10  the revocation and suspension of hotel, restaurant and club
    11  licenses.
    12     Section 41.  Section 410 of the act, amended September 28,
    13  1961 (P.L.1728, No.702), is reenacted and amended to read:
    14     Section 410.  Liquor Importers' Licenses; Fees; Privileges;
    15  Restrictions.--(a)  Subject to the provisions of this act in
    16  general and more particularly to the following provisions of
    17  this section, the [board] commission shall issue liquor           <--
    18  importers' licenses to qualified applicants.
    19     (b)  Every applicant for an importer's license shall file a
    20  written application with the [board] commission in such form as   <--
    21  the [board] commission shall from time to time prescribe, which   <--
    22  shall be accompanied by a filing fee of twenty dollars ($20), a
    23  license fee of one hundred dollars, and a bond as hereinafter
    24  required. Every such application shall contain a description of
    25  the principal place of business for which the applicant desires
    26  a license and shall set forth such other material information as
    27  may be required by the [board] commission.                        <--
    28     (c)  The holder of an importer's license may have included in
    29  such license one warehouse wherein only his liquor may be kept
    30  and stored, located in the same municipality in which his
    19870H1000B1941                 - 93 -

     1  licensed premises is situate, and not elsewhere, unless such
     2  licensee secures from the [board] commission a license for each   <--
     3  additional storage warehouse desired. The [board] commission is   <--
     4  authorized and empowered to issue to a holder of an importer's
     5  license a license for an additional storage warehouse or
     6  warehouses located in this Commonwealth, provided such licensed
     7  importer files with the [board] commission a separate             <--
     8  application for each warehouse in such form and containing such
     9  information as the [board] commission may from time to time       <--
    10  require, accompanied by a filing fee of twenty dollars ($20), a
    11  license fee of twenty-five dollars, and a bond of an approved
    12  surety company in the amount of ten thousand dollars. Such bond
    13  shall contain the same provisions and conditions as are required
    14  in the other license bonds under this article.
    15     (d)  If the applicant is a natural person, his application
    16  must show that he is a citizen of the United States and a
    17  resident of this Commonwealth. If the applicant is an
    18  association or partnership, each and every member of the
    19  association or partnership must be a citizen of the United
    20  States and a resident of this Commonwealth. If the applicant is
    21  a corporation, the application must show that the corporation
    22  was created under the laws of Pennsylvania or holds a
    23  certificate of authority to transact business in Pennsylvania,
    24  and that all officers, directors and stockholders are citizens
    25  of the United States.
    26     (e)  Importers' licenses shall permit the holders thereof to
    27  bring or import liquor from other states, foreign countries, or
    28  insular possessions of the United States, and purchase liquor
    29  from manufacturers located within this Commonwealth, to be sold
    30  outside of this Commonwealth or to Pennsylvania Liquor Stores
    19870H1000B1941                 - 94 -

     1  within this Commonwealth, or when in original containers of ten
     2  gallons or greater capacity, to licensed manufacturers within
     3  this Commonwealth.
     4     All importations of liquor into Pennsylvania by the licensed
     5  importer shall be consigned to the [Pennsylvania Liquor Control
     6  Board] commission BOARD or the principal place of business or     <--
     7  authorized place of storage maintained by the licensee.
     8     (f)  Every importer shall maintain on the licensed premises
     9  such records as the [board] commission may prescribe. Any such    <--
    10  license may be suspended or revoked by the [board] commission     <--
    11  upon proof satisfactory to it that the licensee has violated any
    12  law of this Commonwealth or any regulation of the [board]         <--
    13  commission relating to liquor and alcohol. The procedure in such
    14  cases shall be the same as for the revocation and suspension of
    15  hotel, restaurant and club licenses.
    16     Section 42.  Section 411 of the act, amended July 9, 1976
    17  (P.L.963, No.188), is reenacted to read:
    18     Section 411.  Interlocking Business Prohibited.--(a)  No
    19  manufacturer and no officer or director of any manufacturer
    20  shall at the same time be a holder of a hotel, restaurant or
    21  club liquor license, nor be the owner, proprietor or lessor of
    22  any place covered by any hotel, restaurant or club liquor
    23  license.
    24     (b)  No manufacturer, importer or sacramental wine licensee,
    25  and no officer or director of a manufacturer, importer or
    26  sacramental wine licensee shall own any stock or have any
    27  financial interest in any hotel or restaurant licensed under
    28  this act.
    29     (c)  Excepting as herein provided, no manufacturer, or
    30  officer, director, stockholder, agent or employe of a
    19870H1000B1941                 - 95 -

     1  manufacturer shall in any wise be interested, either directly or
     2  indirectly, in the ownership or leasehold of any property or the
     3  equipment of any property or any mortgage lien against the same,
     4  for which a hotel, restaurant or club license is granted; nor
     5  shall a manufacturer, importer or sacramental wine licensee, or
     6  officer, director, stockholder, agent or employe of a
     7  manufacturer, importer or sacramental wine licensee, either
     8  directly or indirectly, lend any moneys, credit, or give
     9  anything of value or the equivalent thereof to, or guarantee the
    10  payment of any bond, mortgage, note or other obligation of, any
    11  hotel, restaurant or club licensee, his servant, agent or
    12  employe, for equipping, fitting out, or maintaining and
    13  conducting, either in whole or in part, a hotel, restaurant or
    14  club licensed for the selling of liquor for use and consumption
    15  upon the premises.
    16     (d)  Excepting as herein provided, no hotel licensee,
    17  restaurant licensee or club licensee, and no officer, director,
    18  stockholder, agent or employe of any such licensee shall in any
    19  wise be interested, either directly or indirectly, in the
    20  ownership or leasehold of any property or the equipment of any
    21  property or any mortgage lien against the same, used by a
    22  manufacturer in manufacturing liquor or malt or brewed
    23  beverages; nor shall any hotel, restaurant or club licensee, or
    24  any officer, director, stockholder, agent or employe of any such
    25  licensee, either directly or indirectly, lend any moneys,
    26  credit, or give anything of value or the equivalent thereof, to
    27  any manufacturer for equipping, fitting out, or maintaining and
    28  conducting, either in whole or in part, an establishment used
    29  for the manufacture of liquor or malt or brewed beverages.
    30     (e)  Except as herein provided, no hotel, restaurant, retail
    19870H1000B1941                 - 96 -

     1  dispenser or club licensee, and no officer, director or
     2  stockholder, agent or employe of any such licensee shall in any
     3  wise be interested, directly or indirectly, in the ownership or
     4  leasehold of any property or the equipment of any property or
     5  any mortgage lien against the same, used by a distributor,
     6  importing distributor, or by an importer or sacramental wine
     7  licensee, in the conduct of his business; nor shall any hotel,
     8  restaurant, retail dispenser or club licensee, or any officer,
     9  director, stockholder, agent or employe of any such licensee,
    10  either directly or indirectly, lend any moneys, credit, or give
    11  anything of value or the equivalent thereof, to any distributor,
    12  importing distributor, importer or sacramental wine licensee,
    13  for equipping, fitting out, or maintaining and conducting,
    14  either in whole or in part, an establishment used in the conduct
    15  of his business.
    16     The purpose of this section is to require a separation of the
    17  financial and business interests between manufacturers and
    18  holders of hotel or restaurant liquor licenses and, as herein
    19  provided, of club licenses, issued under this article, and no
    20  person shall, by any device whatsoever, directly or indirectly,
    21  evade the provisions of the section. But in view of existing
    22  economic conditions, nothing contained in this section shall be
    23  construed to prohibit the ownership of property or conflicting
    24  interest by a manufacturer of any place occupied by a licensee
    25  under this article after the manufacturer has continuously owned
    26  and had a conflicting interest in such place for a period of at
    27  least five years prior to July eighteenth, one thousand nine
    28  hundred thirty-five: Provided, however, That this clause shall
    29  not prohibit any hotel, restaurant or club liquor licensee from
    30  owning land which is leased to, and the buildings thereon owned
    19870H1000B1941                 - 97 -

     1  by, a holder of a retail dispenser's license; and nothing in
     2  this clause shall prevent the issuance of a retail dispenser's
     3  license to a lessee of such lands who owns the buildings
     4  thereon: And, provided further, That nothing contained in this
     5  section shall be construed to prohibit any hotel, restaurant,
     6  retail dispenser or club licensee or any officer, director or
     7  stockholder, agent or employe of any such licensee from having a
     8  financial or other interest, directly or indirectly in the
     9  ownership or leasehold of any property or the equipment of any
    10  property or any mortgage lien against same, used, leased by an
    11  importer or sacramental wine licensee for the exclusive purpose
    12  of maintaining commercial offices and on the condition that said
    13  property is not used for the storage or sale of liquor or malt
    14  or brewed beverages in any quantity.
    15     Section 43.  The heading of Subdivision (B) of Article IV of
    16  the act is reenacted to read:
    17     (B)  Malt and Brewed Beverages (Including Manufacturers).
    18     Section 44.  Section 431 of the act, amended August 17, 1965
    19  (P.L.346, No.182), October 9, 1967 (P.L.395, No.179), May 5,
    20  1970 (P.L.342, No.110) and June 22, 1980 (P.L.253, No.73), is
    21  reenacted and amended to read:
    22     Section 431.  Malt and Brewed Beverages Manufacturers',
    23  Distributors' and Importing Distributors' Licenses.--(a)  The
    24  [board] commission shall issue to any person a resident of this   <--
    25  Commonwealth of good repute who applies therefor, pays the
    26  license fee hereinafter prescribed, and files the bond
    27  hereinafter required, a manufacturer's license to produce and
    28  manufacture malt or brewed beverages, and to transport, sell and
    29  deliver malt or brewed beverages at or from one or more places
    30  of manufacture or storage, only in original containers, in
    19870H1000B1941                 - 98 -

     1  quantities of not less than a case of twenty-four containers,
     2  each container holding seven fluid ounces or more, or a case of
     3  twelve containers, each container holding twenty-four fluid
     4  ounces or more, except original containers containing one
     5  hundred twenty-eight ounces or more which may be sold separately
     6  anywhere within the Commonwealth. Licenses for places of storage
     7  shall be limited to those maintained by manufacturers on July
     8  eighteenth, one thousand nine hundred thirty-five, and the
     9  [board] commission shall issue no licenses for places of storage  <--
    10  in addition to those maintained on July eighteenth, one thousand
    11  nine hundred thirty-five. The application for such license shall
    12  be in such form and contain such information as the [board]       <--
    13  commission shall require. All such licenses shall be granted for
    14  the calendar year. Every manufacturer shall keep at his or its
    15  principal place of business, within the Commonwealth daily
    16  permanent records which shall show, (1) the quantities of raw
    17  materials received and used in the manufacture of malt or brewed
    18  beverages and the quantities of malt or brewed beverages
    19  manufactured and stored, (2) the sales of malt or brewed
    20  beverages, (3) the quantities of malt or brewed beverages stored
    21  for hire or transported for hire by or for the licensee, and (4)
    22  the names and addresses of the purchasers or other recipients
    23  thereof. Every place licensed as a manufacturer shall be subject
    24  to inspection by members of the [board] commission or by persons  <--
    25  duly authorized and designated by the [board] commission, at any  <--
    26  and all times of the day or night, as they may deem necessary,
    27  for the detection of violations of this act or of the rules and
    28  regulations of the [board] commission, or for the purpose of      <--
    29  ascertaining the correctness of the records required to be kept
    30  by licensees. The books and records of such licensees shall at
    19870H1000B1941                 - 99 -

     1  all times be open to inspection by members of the [board]         <--
     2  commission or by persons duly authorized and designated by the
     3  [board] commission. Members of the [board] commission and its     <--
     4  duly authorized agents shall have the right, without hindrance,
     5  to enter any place which is subject to inspection hereunder or
     6  any place where such records are kept for the purpose of making
     7  such inspections and making transcripts thereof.
     8     (b)  The [board] commission shall issue to any reputable       <--
     9  person who applies therefor, pays the license fee hereinafter
    10  prescribed, and files the bond hereinafter required, a
    11  distributor's or importing distributor's license for the place
    12  which such person desires to maintain for the sale of malt or
    13  brewed beverages, not for consumption on the premises where
    14  sold, and in quantities of not less than twenty-four containers,
    15  each container holding seven fluid ounces or more, or twelve
    16  containers, each container holding twenty-four fluid ounces or
    17  more, except original containers containing one hundred twenty-
    18  eight ounces or more which may be sold separately and such
    19  containers to be the original containers as prepared for the
    20  market by the manufacturer at the place of manufacture[: And
    21  provided further, That the board]. Additionally, a distributor    <--
    22  may sell a quantity of 24 containers, all of the same unit size,
    23  but containing different brands of malt or brewed beverages,
    24  mixed in unit combinations of six of the same brand. The
    25  commission BOARD shall have the discretion to refuse a license    <--
    26  to any person or to any corporation, partnership or association
    27  if such person, or any officer or director of such corporation,
    28  or any member or partner of such partnership or association
    29  shall have been convicted or found guilty of a felony within a
    30  period of five years immediately preceding the date of
    19870H1000B1941                 - 100 -

     1  application for the said license[.]: And provided further, That
     2  in the case of any new license or the transfer of any license to
     3  a new location the commission BOARD may, in its discretion,       <--
     4  grant or refuse such new license or transfer if such place
     5  proposed to be licensed is within three hundred feet of any
     6  church, hospital, charitable institution, school or public
     7  playground, or if such new license or transfer is applied for a
     8  place which is within two hundred feet of any other premises
     9  which is licensed by the commission, or if such new license or    <--
    10  transfer is applied for a place where the principal business is
    11  the sale of liquid fuels and oil BOARD: And provided further,     <--
    12  That the commission BOARD shall refuse any application for a new  <--
    13  license or the transfer of any license to a new location if, in
    14  the commission's BOARD'S opinion, such new license or transfer    <--
    15  would be detrimental to the welfare, health, peace and morals of
    16  the inhabitants of the neighborhood within a radius of five
    17  hundred feet of the place proposed to be licensed. THE BOARD      <--
    18  SHALL REFUSE ANY APPLICATION FOR A NEW LICENSE OR THE TRANSFER
    19  OF ANY LICENSE TO A LOCATION WHERE THE SALE OF LIQUID FUELS OR
    20  OIL IS CONDUCTED. The commission BOARD shall require notice to    <--
    21  be posted on the property or premises upon which the licensee or
    22  proposed licensee will engage in sales of malt or brewed
    23  beverages. This notice shall be similar to the notice required
    24  of hotel, restaurant and club liquor licensees.
    25     Except as hereinafter provided, such license shall authorize
    26  the holder thereof to sell or deliver malt or brewed beverages
    27  in quantities above specified anywhere within the Commonwealth
    28  of Pennsylvania, which, in the case of distributors, have been
    29  purchased only from persons licensed under this act as
    30  manufacturers or importing distributors, and in the case of
    19870H1000B1941                 - 101 -

     1  importing distributors, have been purchased from manufacturers
     2  or persons outside this Commonwealth engaged in the legal sale
     3  of malt or brewed beverages or from manufacturers or importing
     4  distributors licensed under this article.
     5     Each out of State manufacturer of malt or brewed beverages
     6  whose products are sold and delivered in this Commonwealth shall
     7  give distributing rights for such products in designated
     8  geographical areas to specific importing distributors, and such
     9  importing distributor shall not sell or deliver malt or brewed
    10  beverages manufactured by the out of State manufacturer to any
    11  person issued a license under the provisions of this act whose
    12  licensed premises are not located within the geographical area
    13  for which he has been given distributing rights by such
    14  manufacturer. SHOULD A LICENSEE ACCEPT THE DELIVERY OF SUCH MALT  <--
    15  OR BREWED BEVERAGES IN VIOLATION OF THIS SECTION, SAID LICENSEE
    16  SHALL BE SUBJECT TO A SUSPENSION OF HIS LICENSE FOR AT LEAST
    17  THIRTY DAYS: Provided, That the importing distributor holding
    18  such distributing rights for such product shall not sell or
    19  deliver the same to another importing distributor without first
    20  having entered into a written agreement with the said secondary
    21  importing distributor setting forth the terms and conditions
    22  under which such products are to be resold within the territory
    23  granted to the primary importing distributor by the
    24  manufacturer.
    25     When a Pennsylvania manufacturer of malt or brewed beverages
    26  licensed under this article names or constitutes a distributor
    27  or importing distributor as the primary or original supplier of
    28  his product, he shall also designate the specific geographical
    29  area for which the said distributor or importing distributor is
    30  given distributing rights, and such distributor or importing
    19870H1000B1941                 - 102 -

     1  distributor shall not sell or deliver the products of such
     2  manufacturer to any person issued a license under the provisions
     3  of this act whose licensed premises are not located within the
     4  geographical area for which distributing rights have been given
     5  to the distributor and importing distributor by the said
     6  manufacturer: Provided, That the importing distributor holding
     7  such distributing rights for such product shall not sell or
     8  deliver the same to another importing distributor without first
     9  having entered into a written agreement with the said secondary
    10  importing distributor setting forth the terms and conditions
    11  under which such products are to be resold within the territory
    12  granted to the primary importing distributor by the
    13  manufacturer. Nothing herein contained shall be construed to
    14  prevent any manufacturer from authorizing the importing
    15  distributor holding the distributing rights for a designated
    16  geographical area from selling the products of such manufacturer
    17  to another importing distributor also holding distributing
    18  rights from the same manufacturer for another geographical area,
    19  providing such authority be contained in writing and a copy
    20  thereof be given to each of the importing distributors so
    21  affected.
    22     (B.1)  (1)  ANY PERSON IN THIS COMMONWEALTH OR ELSEWHERE WHO   <--
    23  SHALL PURCHASE OR IN ANY MANNER WHATSOEVER ACQUIRE OR OTHERWISE
    24  SUCCEED TO THE BUSINESS OF A MANUFACTURER, ASSETS OR RIGHTS TO
    25  IMPORT, MARKET, SHIP INTO THIS COMMONWEALTH OR DISTRIBUTE A
    26  BRAND OF BEER, OR TO USE AND EXPLOIT ANY TRADEMARK INCORPORATED
    27  AS PART OF A BRAND OF BEER PRODUCED BY SUCH A MANUFACTURER SHALL
    28  BE OBLIGATED TO ALL TERMS OF THE MANUFACTURER'S FRANCHISE
    29  AGREEMENTS IN EFFECT ON THE EFFECTIVE DATE OF THE PURCHASE,
    30  ACQUISITION OR SUCCESSION, OR, IF EARLIER, AT THE TIME THE
    19870H1000B1941                 - 103 -

     1  AGREEMENT CONTEMPLATING THE PURCHASE, ACQUISITION OR SUCCESSION
     2  IS ACTUALLY MADE.
     3     (2)  "PURCHASE" OR "ACQUISITION," FOR PURPOSES OF THIS
     4  SECTION, INCLUDES, BUT IS NOT LIMITED TO, A PURCHASE,
     5  ACQUISITION, LEASE, LICENSE OR ASSIGNMENT OF ALL OR A
     6  CONTROLLING INTEREST IN THE CAPITAL STOCK OR OPERATING ASSETS,
     7  INCLUDING BRAND TRADEMARKS RIGHTS; MERGER; ANY CORPORATE
     8  REORGANIZATION OR CONSOLIDATION; AND ALSO, WITHOUT LIMITATION,
     9  ANY LICENSE, CROSS-LICENSE, JOINT VENTURE OR OTHER AGREEMENT OR
    10  ARRANGEMENT, DIRECTLY OR INDIRECTLY, TRANSFERRING, SUBSTITUTING
    11  OR MATERIALLY CHANGING THE PERSON OR PERSON AUTHORIZED BY THE
    12  ONE OWNING OR CONTROLLING A BRAND OR ANY TRADEMARK AS PART OF A
    13  BRAND, TO PRODUCE, IMPORT, SHIP, MARKET OR DISTRIBUTE THE BRAND
    14  OF BEER INTO OR WITHIN THIS COMMONWEALTH.
    15     (3)  "MANUFACTURER" AS USED IN THIS SUBSECTION SHALL MEAN ANY
    16  PERSON, INCLUDING ANY AGENT OF SUCH PERSON, WHO (I) IS LICENSED
    17  AS A MANUFACTURER OF MALT OR BREWED BEVERAGES LOCATED WITHIN THE
    18  COMMONWEALTH OF PENNSYLVANIA, (II) HOLDS A DISTRIBUTOR OR
    19  IMPORTING DISTRIBUTOR LICENSE, OR (III) MANUFACTURES ANY MALT
    20  BEVERAGE, HAS TITLE TO ANY MALT BEVERAGE PRODUCTS OR HAS THE
    21  CONTRACTUAL RIGHT TO DISTRIBUTE ANY MALT BEVERAGE PRODUCT,
    22  WHETHER LICENSED IN THIS COMMONWEALTH OR NOT, WHO ENTERS INTO AN
    23  "AGREEMENT" WITH ANY IMPORTING DISTRIBUTOR LICENSED TO DO
    24  BUSINESS IN THIS COMMONWEALTH.
    25     (c)  The aforesaid licenses shall be issued only to reputable
    26  individuals, partnerships and associations who are, or whose
    27  members are, citizens of the United States and have for two
    28  years prior to the date of their applications been residents of
    29  the Commonwealth of Pennsylvania or to reputable corporations
    30  organized or duly registered under the laws of the Commonwealth
    19870H1000B1941                 - 104 -

     1  of Pennsylvania. Such licenses shall be issued to corporations
     2  duly organized or registered under the laws of the Commonwealth
     3  of Pennsylvania only when it appears that all of the officers
     4  and directors of the corporation are citizens of the United
     5  States and have been residents of the Commonwealth of
     6  Pennsylvania for a period of at least two years prior to the
     7  date of application, and that at least fifty-one per centum of
     8  the capital stock of such corporation is actually owned by
     9  individuals who are citizens of the United States and have been
    10  residents of the Commonwealth of Pennsylvania for a period of at
    11  least two years prior to the date of application: Provided, That
    12  the provisions of this subsection with respect to residence
    13  requirements shall not apply to individuals, partners, officers,
    14  directors and owners of capital stock, of corporations licensed
    15  or applying for licenses as manufacturers of malt or brewed
    16  beverages, nor shall the provisions of this subsection with
    17  respect to stockholder requirements apply to corporations
    18  licensed or applying for licenses as manufacturers of malt or
    19  brewed beverages.
    20     (d)  (1)  All distributing rights as hereinabove required
    21  shall be in writing, shall be equitable in their provisions and
    22  shall be substantially similar as to terms and conditions with
    23  all other distributing rights agreements between the
    24  manufacturer giving such agreement and its other importing
    25  distributors and distributors shall not be modified, cancelled,
    26  terminated or rescinded by the manufacturer without good cause,
    27  and shall contain a provision in substance or effect as follows:
    28  "The manufacturer recognizes that the importing distributor and
    29  distributor are free to manage their business in the manner the
    30  importing distributor and distributor deem best and that this
    19870H1000B1941                 - 105 -

     1  prerogative vests in the importing distributor and distributor
     2  the exclusive right to establish a selling price, to select the
     3  brands of malt or brewed beverages they wish to handle and to
     4  determine the efforts and resources which the importing
     5  distributor and distributor will exert to develop and promote
     6  the same of the manufacturer's products handled by the importing
     7  distributor and distributor. However, the manufacturer expects
     8  that the importing distributor and distributor will price
     9  competitively the products handled by them, devote reasonable
    10  effort and resources to the sale of such products and maintain a
    11  reasonable sales level." "Good cause" shall mean the failure by
    12  any party to an agreement, without reasonable excuse or
    13  justification, to comply substantially with an essential,
    14  reasonable and commercially acceptable requirement imposed by
    15  the other party under the terms of an agreement.
    16     (2)  After January 1, 1980, no manufacturer shall enter into
    17  any agreement with more than one distributor or importing
    18  distributor for the purpose of establishing more than one
    19  agreement for designated brand or brands of malt or brewed
    20  beverages in any one territory. Each franchise territory which
    21  is granted by a manufacturer shall be geographically contiguous.
    22     (3)  Except for discontinuance of a brand or a valid
    23  termination for good cause, the purchaser of the assets of the
    24  manufacturer as defined in this act shall become obligated to
    25  all the territorial and brand designations of the agreement in
    26  effect on the date of purchase. Purchase of assets as defined
    27  for the purposes of this act shall include, but not be limited
    28  to, the sale of stock, sale of assets, merger, lease, transfer
    29  or consolidation.
    30     (4)  The court of common pleas of the county wherein the
    19870H1000B1941                 - 106 -

     1  licensed premises of the importing distributor or distributor
     2  are located is hereby vested with jurisdiction and power to
     3  enjoin the modification, rescission, cancellation or termination
     4  of a franchise or agreement between a manufacturer and an
     5  importing distributor or distributor at the instance of such
     6  importing distributor or distributor who is or might be
     7  adversely affected by such modification, rescission,
     8  cancellation or termination, and in granting an injunction the
     9  court shall provide that no manufacturer shall supply the
    10  customers or territory of the importing distributor or
    11  distributor by servicing the territory or customers through
    12  other importing distributors or distributors or any other means
    13  while the injunction is in effect: Provided, however, That any
    14  injunction issued under this subsection shall require the
    15  posting of sufficient bond against damages arising from an
    16  injunction improvidently granted and a showing that the danger
    17  of irrevocable loss or damage is immediate and that during the
    18  pendency of such injunction the importing distributor or
    19  distributor shall continue to service the accounts of the
    20  manufacturer in good faith.
    21     (5)  The provisions of this subsection shall not apply to
    22  Pennsylvania manufacturers whose principal place of business is
    23  located in Pennsylvania unless they name or constitute a
    24  distributor or importing distributor as a primary or original
    25  supplier of their products subsequent to the effective date of
    26  this act, or unless such Pennsylvania manufacturers have named
    27  or constituted a distributor or importing distributor as a
    28  primary or original supplier of their products prior to the
    29  effective date of this act, and which status is continuing when
    30  this act becomes effective.
    19870H1000B1941                 - 107 -

     1     Section 45.  Section 432 of the act, amended January 19, 1952
     2  (1951 P.L.2170, No.619), June 19, 1961 (P.L.482, No.244),
     3  October 9, 1967 (P.L.392, No.177) and May 9, 1984 (P.L.246,
     4  No.54), is reenacted and amended AND AMENDED to read:             <--
     5     Section 432.  Malt and Brewed Beverages Retail Licenses.--(a)
     6  Subject to the restrictions hereinafter provided in this act,
     7  and upon being satisfied of the truth of the statements in the
     8  application, that the premises and the applicant meet all the
     9  requirements of this act and the regulations of the [board]       <--
    10  commission, that the applicant seeks a license for a reputable
    11  hotel, eating place or club, as defined in this act, the [board]  <--
    12  commission shall, in the case of a hotel or eating place, grant
    13  and issue, and in the case of a club may, in its discretion,
    14  issue or refuse the applicant a retail dispenser's license.
    15     (b)  In the case of hotels and eating places, licenses shall
    16  be issued only to reputable persons who are citizens of the
    17  United States and have for two years been residents of the
    18  Commonwealth of Pennsylvania at the date of their application,
    19  or to reputable corporations organized or duly registered under
    20  the laws of the Commonwealth of Pennsylvania, all of whose
    21  officers and directors are citizens of the United States. In the
    22  case of incorporated clubs, licenses shall be issued only to
    23  those incorporated under the laws of Pennsylvania.
    24     (c)  No retail dispenser's licenses shall be granted or
    25  renewed upon their expiration in any municipality in which the
    26  electors shall vote, as hereinafter provided, against the
    27  licensing therein of places where malt or brewed beverages may
    28  be sold for consumption on the premises where sold.
    29     (d)  The [board] commission shall, in its discretion, grant    <--
    30  or refuse any new license or the transfer of any license to a
    19870H1000B1941                 - 108 -

     1  new location if such place proposed to be licensed is within
     2  three hundred feet of any church, hospital, charitable
     3  institution, school, or public playground, or if such new
     4  license or transfer is applied for a place which is within two
     5  hundred feet of any other premises which is licensed by the
     6  [board] commission[, or if such new license or transfer is        <--
     7  applied for a place where the principal business conducted is
     8  the sale of liquid fuels and oil]. The [board] commission shall   <--
     9  refuse any application for a new license or the transfer of any
    10  license to a new location if, in the [board's] commission's       <--
    11  opinion, such new license or transfer would be detrimental to
    12  the welfare, health, peace and morals of the inhabitants of the
    13  neighborhood within a radius of five hundred feet of the place
    14  to be licensed. THE BOARD SHALL REFUSE ANY APPLICATION FOR A NEW  <--
    15  LICENSE OR THE TRANSFER OF ANY LICENSE TO A LOCATION WHERE THE
    16  SALE OF LIQUID FUELS OR OIL IS CONDUCTED. The [board] commission  <--
    17  shall not issue new licenses, except as herein otherwise
    18  provided, in any license district more than twice each license
    19  year effective from specific dates fixed by the [board]           <--
    20  commission, and new licenses shall not be granted unless the
    21  application therefor shall have been filed at least thirty days
    22  before the effective date of the license. Nothing herein
    23  contained shall prohibit the [board] commission from issuing a    <--
    24  new license for the balance of any unexpired term in any license
    25  district to any applicant in such district, who shall have
    26  become eligible to hold such license as the result of
    27  legislative enactment, when such enactment shall have taken
    28  place during the license term of that district for which
    29  application is made, or within the thirty days immediately
    30  preceding such term: And provided further, That the [board]       <--
    19870H1000B1941                 - 109 -

     1  commission shall have the discretion to refuse a license to any
     2  person or to any corporation, partnership or association if such
     3  person, or any officer or director of such corporation, or any
     4  member or partner of such partnership or association shall have
     5  been convicted or found guilty of a felony within a period of
     6  five years immediately preceding the date of application for the
     7  said license.
     8     (e)  Every applicant for a new or for the transfer of an
     9  existing license to another premises not then licensed shall
    10  post, for a period of at least fifteen days beginning with the
    11  day the application is filed with the [board] commission, in a    <--
    12  conspicuous place on the outside of the premises or in a window
    13  plainly visible from the outside of the premises for which the
    14  license is applied or at the proposed new location, a notice of
    15  such application, in such form, of such size, and containing
    16  such provisions as the [board] commission may require by its      <--
    17  regulations. Proof of the posting of such notice shall be filed
    18  with the [board] commission.                                      <--
    19     (f)  Hotel, eating places, or municipal golf course retail
    20  dispenser licensees whose sales of food and nonalcoholic
    21  beverages are equal to forty per centum (40%) or more of the
    22  combined gross sales of both food and malt or brewed beverages
    23  may sell malt or brewed beverages between the hours of eleven
    24  o'clock antemeridian on Sunday and two o'clock antemeridian on
    25  Monday upon purchase of a special annual permit from the [board]  <--
    26  commission at a fee of two hundred dollars ($200.00) per year,
    27  which shall be in addition to any other license fees. Provided
    28  further, the holder of such special annual permit may sell malt
    29  or brewed beverages after seven o'clock antemeridian and until
    30  two o'clock antemeridian of the following day, on any day on
    19870H1000B1941                 - 110 -

     1  which a general, municipal, special or primary election is being
     2  held.
     3     Section 46.  Section 433 of the act is reenacted and amended
     4  to read:
     5     Section 433.  Public Service Licenses.--The [board]            <--
     6  commission may issue public service malt and brewed beverage
     7  licenses to a railroad, pullman or steamship company permitting
     8  malt or brewed beverages to be sold at retail in dining, club or
     9  buffet cars, or the dining compartments of steamships or
    10  vessels, for consumption on the trains, steamships or vessels
    11  wherever operated in the State, except when standing in stations
    12  or terminals within a municipality wherein retail sales are
    13  prohibited. Such licenses shall only be granted to reputable
    14  persons and for fit places. The [board] commission may issue a    <--
    15  master license to railroad or pullman companies to cover the
    16  maximum number of cars which the company shall estimate that it
    17  will operate within the Commonwealth on any one day. Such
    18  licensees shall file monthly reports with the [board] commission  <--
    19  showing the maximum number of cars operated at any time on any
    20  day during the preceding month, and if it appears that more cars
    21  have been operated than covered by its license it shall
    22  forthwith remit to the [board] commission the sum of ten dollars  <--
    23  for each extra car so operated. The [board] commission shall      <--
    24  have the power to suspend or revoke any such licenses for cause
    25  after granting a hearing [thereon] before an administrative law   <--
    26  judge A HEARING EXAMINER to the licensee. Any person aggrieved    <--
    27  by the decision of the [board] commission in refusing,            <--
    28  suspending or revoking any such license may appeal to the [court
    29  of quarter sessions of Dauphin County] Commonwealth Court in the
    30  same manner as provided in this article for appeals from
    19870H1000B1941                 - 111 -

     1  refusals of licenses.
     2     Section 47.  Section 433.1 of the act, added July 10, 1961
     3  (P.L.561, No.275), amended November 17, 1967 (P.L.510, No.247)
     4  and December 16, 1982 (P.L.1359, No.311), is reenacted and
     5  amended to read:
     6     Section 433.1.  Stadium or Arena Permits.--(a)  The [board]    <--
     7  commission is hereby authorized to issue, in cities of the
     8  first, second and third class, in counties of the third class
     9  and in school districts in counties of the third class, special
    10  permits allowing the holders thereof to make retail sales of
    11  malt or brewed beverages in shatterproof containers at all
    12  events on premises principally utilized for competition of
    13  professional and amateur athletes and other types of
    14  entertainment having an available seating capacity of twelve
    15  thousand or more in cities of the first and second class and
    16  seven thousand or more and owned by the city in cities of the
    17  third class and four thousand two hundred or more and owned by
    18  counties of the third class and two thousand five hundred or
    19  more in school districts in counties of the third class:
    20  Provided, however, That in cities of the second class this
    21  section shall be applicable only to premises owned, leased or
    22  operated by any authority created under the act of July 29, 1953
    23  (P.L.1034, No.270), known as the "Public Auditorium Authorities
    24  Law." Such sales may be made only to adults and only on days
    25  when the premises are so used and only during the period from
    26  one hour before the start of and ending one-half hour after the
    27  close of the event on the premises: Provided, however, That in
    28  school districts in counties of the third class sales may be
    29  made only during professional athletic competition.
    30     (b)  The owner or lessee or a concessionaire of any such
    19870H1000B1941                 - 112 -

     1  premises may make application for a permit. The aforesaid
     2  permits shall be issued only to reputable individuals,
     3  partnerships and associations, who are or whose members are
     4  citizens of the United States and have for two years prior to
     5  the date of their applications been residents of the
     6  Commonwealth of Pennsylvania, or to reputable corporations
     7  organized or duly registered under the laws of the Commonwealth
     8  of Pennsylvania, all of whose officers and directors are
     9  citizens of the United States. Each applicant shall furnish
    10  proof satisfactory to the [board] commission that he is of good   <--
    11  repute and financially responsible and that the premises upon
    12  which he proposes to do business is a proper place. The
    13  applicant shall submit such other information as the [board]      <--
    14  commission may require. Applications shall be, in writing on
    15  forms prescribed by the [board] commission, and signed and sworn  <--
    16  to by the applicant. Every application shall be accompanied by
    17  an application fee of twenty-five dollars ($25), a permit fee of
    18  one hundred dollars ($100) and a surety bond in the amount of
    19  one thousand dollars ($1000) conditioned the same as the license
    20  bonds required by this act for retail dispenser licenses.
    21     (c)  Upon receipt of the application in proper form, the
    22  application fee, the permit fee and bond, and upon being
    23  satisfied that the applicant is of good repute and financially
    24  responsible and that the proposed place of business is proper,
    25  the [board] commission shall issue a special permit to the        <--
    26  applicant. Only one permit issued under this section shall be in
    27  effect on any such premises at any time.
    28     (d)  No permit shall be transferable or assignable. The
    29  [board] commission may by regulation fix the permit year and      <--
    30  provide for the renewal of such permits. Whenever a permit is
    19870H1000B1941                 - 113 -

     1  revoked, another may be issued for the same premises to another
     2  applicant upon compliance with the provisions of this section.
     3     (e)  The [board] commission shall have the power to refuse     <--
     4  the issuance of any permit for cause, and to revoke or suspend
     5  any permit for cause or for any violation of the liquor or malt
     6  and brewed beverage laws. Any applicant or holder of a permit
     7  aggrieved by any ruling of the [board] commission or by its       <--
     8  refusal to issue a permit, or by its suspension or revocation
     9  thereof, shall have the right to a hearing and appeal therefrom
    10  in the same manner as provided in sections 464 and 471 of this
    11  act authorizing appeals from orders of the [board] commission or  <--
    12  an administrative law judge.
    13     Section 48.  Section 434 of the act is reenacted and amended   <--
    14  to read:
    15     Section 434.  License Year.--(a)  Licenses issued under this
    16  article to distributors, importing distributors and retail
    17  dispensers shall, unless revoked in the manner provided in this
    18  act, be valid for the license year which may be established by
    19  the [board] commission for the particular license district in     <--
    20  which the license issues.
    21     (b)  Malt or brewed beverage licenses issued under this
    22  article to manufacturers and public service companies shall,
    23  unless revoked in the manner herein provided, be valid for the
    24  calendar year for which they are issued. Licenses to such
    25  manufacturers and public service companies may be issued at any
    26  time during a calendar year.
    27     Section 49.  Section 435 of the act, amended September 28,
    28  1961 (P.L.1728, No.702), is reenacted and amended to read:        <--
    29     Section 435.  Filing of Applications for Distributors',
    30  Importing Distributors' and Retail Dispensers' Licenses; Filing
    19870H1000B1941                 - 114 -

     1  Fee.--Every person intending to apply for a distributor's,
     2  importing distributor's or retail dispenser's license, as
     3  aforesaid, in any municipality of this Commonwealth, shall file
     4  with the [board] commission his or its application. All such      <--
     5  applications shall be filed at a time to be fixed by the [board]  <--
     6  commission for the particular license district as set up by the
     7  [board] commission under the provisions of this act. The          <--
     8  applicant shall, at the time of filing the application and bond,
     9  pay said [board] commission the filing fee of twenty dollars      <--
    10  ($20), as hereinafter specified.
    11     Section 50.  Section 436 of the act, amended June 19, 1961
    12  (P.L.482, No.244) and June 29, 1965 (P.L.151, No.101), is
    13  reenacted and amended to read:                                    <--
    14     Section 436.  Application for Distributors', Importing
    15  Distributors' and Retail Dispensers' Licenses.--Application for
    16  distributors', importing distributors' and retail dispensers'
    17  licenses, or for the transfer of an existing license to another
    18  premises not then licensed, shall contain or have attached
    19  thereto the following information and statements:
    20     (a)  The name and residence of the applicant and how long he
    21  has resided there, and if an association, partnership or
    22  corporation, the residences of the members, officers and
    23  directors for the period of two years next preceding the date of
    24  such application.
    25     (b)  The particular place for which the license is desired
    26  and a detailed description thereof. The description, information
    27  and plans referred to in this subsection shall show the premises
    28  or the proposed location for the construction of the premises at
    29  the time the application is made, and shall show any alterations
    30  proposed to be made thereto, or the new building proposed to be
    19870H1000B1941                 - 115 -

     1  constructed after the approval by the [board] commission of the   <--
     2  application for a license, or for the transfer of an existing
     3  license to another premises not then licensed. No physical
     4  alterations, improvements or changes shall be required to be
     5  made to any hotel, eating place or club, nor shall any new
     6  building for any such purpose be required to be constructed
     7  until approval of the application for license or for the
     8  transfer of an existing license to another premises not then
     9  licensed by the [board] commission. After approval of the         <--
    10  application, the licensee shall make the physical alterations,
    11  improvements and changes to the licensed premises, or shall
    12  construct the new building in the manner specified by the
    13  [board] commission at the time of approval. The licensee shall    <--
    14  not transact any business under the license until the [board]     <--
    15  commission has approved the completed physical alterations,
    16  improvements and changes of the licensed premises or the
    17  completed construction of the new building as conforming to the
    18  specifications required by the [board] commission at the time of  <--
    19  issuance or transfer of the license and is satisfied that the
    20  premises meet the requirements for a distributor's or importing
    21  distributor's license as set forth in this act or that the
    22  establishment is an eating place, hotel or club as defined by
    23  this act. The [board] commission may require that all such        <--
    24  alterations or construction or conformity to definition be
    25  completed within six months from the time of issuance or
    26  transfer of the license. Failure to comply with these
    27  requirements shall be considered cause for revocation of the
    28  license. No such license shall be transferable between the time
    29  of issuance or transfer of the license and the approval of the
    30  completed alterations or construction by the [board] commission   <--
    19870H1000B1941                 - 116 -

     1  and full compliance by the licensee with the requirements of
     2  this act, except in the case of death of the licensee prior to
     3  full compliance with all of the aforementioned requirements, in
     4  which event the license may be transferred by the [board]         <--
     5  commission as provided in section 468 of this act for the
     6  transfer of the license in the case of death of the licensee.
     7     (c)  Place of birth of applicant, and if a naturalized
     8  citizen, where and when naturalized, and if a corporation
     9  organized or registered under the laws of the Commonwealth, when
    10  and where incorporated, with the names and addresses of each
    11  officer and director, all of whom shall be citizens of the
    12  United States; if the application is for a distributor's or
    13  importing distributor's license and the applicant therefor is a
    14  corporation, the application shall also contain a statement of
    15  facts showing the qualifications of the corporation, as
    16  hereinbefore required, together with the names and addresses of
    17  all stockholders.
    18     (d)  Name of owner of premises and his residence.
    19     (e)  That the applicant is not, or in case of a partnership
    20  or association, that the members or partners are not, and in the
    21  case of a corporation, that the officers and directors are not,
    22  in any manner pecuniarily interested, either directly or
    23  indirectly, in the profits of any other class of business
    24  regulated under this article, except as hereinafter permitted.
    25     (f)  That applicant is the only person in any manner
    26  pecuniarily interested in the business so asked to be licensed,
    27  and that no other person shall be in any manner pecuniarily
    28  interested therein during the continuance of the license, except
    29  as hereinafter permitted.
    30     (g)  Whether applicant, or in case of a partnership or
    19870H1000B1941                 - 117 -

     1  association, any member or partner thereof, or in case of a
     2  corporation, any officer or director thereof, has during the
     3  three years immediately preceding the date of said application
     4  had a license for the sale of malt or brewed beverages or
     5  spirituous and vinous liquors revoked, or has during the same
     6  period been convicted of any criminal offense, and if so, a
     7  detailed history thereof.
     8     (h)  A full description of that portion of the premises for
     9  which license is asked, and if any other business is to be
    10  conducted concurrently with the sale and distribution of malt or
    11  brewed beverages, a full history of such business, relating the
    12  nature thereof, the length of time it has so previously been
    13  conducted by the applicant or his predecessor at such location,
    14  and such additional information as the [board] commission may     <--
    15  require.
    16     (i)  Every club applicant shall file with and as a part of
    17  its application a list of the names and addresses of its
    18  members, directors, officers, agents and employes, together with
    19  the dates of their admission, election or employment, and such
    20  other information with respect to its affairs as the [board]      <--
    21  commission shall require.
    22     (j)  The application must be verified by affidavit of
    23  applicant, and if any false statement is intentionally made in
    24  any part of the application, the affiant shall be deemed guilty
    25  of a misdemeanor and, upon conviction, shall be subject to the
    26  penalties provided by this article.
    27     Section 51.  Section 437 of the act, amended December 22,
    28  1965 (P.L.1149, No.445), is reenacted and amended to read:        <--
    29     Section 437.  Prohibitions Against the Grant of Licenses.--
    30  (a)  The [board] commission shall refuse to grant any licenses    <--
    19870H1000B1941                 - 118 -

     1  unless the application therefor contains the information
     2  required by this act, and the premises meet such reasonable
     3  sanitary requirements as the [board] commission, by regulation,   <--
     4  shall prescribe.
     5     (b)  The [board] commission shall refuse to grant a license    <--
     6  to any club when it appears that the operation of such license
     7  would inure to the benefit of individual members, officers,
     8  agents or employes of the club, rather than to the benefit of
     9  the entire membership of the club.
    10     (c)  Licenses shall be granted by the [board] commission only  <--
    11  to reputable individuals, or to associations, partnerships and
    12  corporations whose members or officers and directors are
    13  reputable individuals.
    14     (d)  No person who holds, either by appointment or election,
    15  any public office which involves the duty to enforce any of the
    16  penal laws of the United States of America or any of the penal
    17  laws of this Commonwealth or any penal ordinance or resolution
    18  of any political subdivision of this Commonwealth shall be
    19  issued any manufacturer's, importing distributor's,
    20  distributor's or retail dispenser's license, nor shall such a
    21  person have any interest, directly or indirectly, in any such
    22  license.
    23     (e)  No distributor's or importing distributor's license
    24  shall be issued for any premises in any part of which there is
    25  operated any retail license for the sale of liquor or malt or
    26  brewed beverages.
    27     (f)  No new distributor's or importing distributor's license
    28  shall hereafter be granted by the [board] commission in any       <--
    29  county of the Commonwealth where the combined number of
    30  distributor and importing distributor licenses exceeds one
    19870H1000B1941                 - 119 -

     1  license for each fifteen thousand inhabitants of the county in
     2  which the license is to be issued: Provided, That a combined
     3  total of five such licenses may be granted in any county of the
     4  Commonwealth.
     5     Nothing in this subsection shall be construed as denying the
     6  right of the [board] commission to renew or to transfer existing  <--
     7  distributors' or importing distributors' licenses or to exchange
     8  a distributor's license for an importing distributor's license
     9  or to exchange an importing distributor's license for a
    10  distributor's license, upon adjustment of the applicable fee,
    11  notwithstanding that the number of such licensed places in the
    12  county shall exceed the limitation hereinbefore prescribed:
    13  Provided, That no distributor's license or importing
    14  distributor's license shall be transferred from one county to
    15  another county so long as the quota is filled in the county to
    16  which the license is proposed to be transferred.
    17     Section 52.  Section 438 of the act is reenacted to read:
    18     Section 438.  Number and Kinds of Licenses Allowed Same
    19  Licensee.--(a)  Any retail dispenser may be granted licenses to
    20  maintain, operate or conduct any number of places for the sale
    21  of malt or brewed beverages, but a separate license must be
    22  secured for each place where malt or brewed beverages are sold.
    23     (b)  No person shall possess or be issued more than one
    24  distributor's or importing distributor's license.
    25     (c)  No person shall possess more than one class of license,
    26  except that a holder of a retail dispenser's license may also be
    27  a holder of a retail liquor license.
    28     Section 53.  Section 439 of the act, amended September 28,
    29  1961 (P.L.1728, No.702), is reenacted and amended to read:        <--
    30     Section 439.  Malt or Brewed Beverage License Fees.--No
    19870H1000B1941                 - 120 -

     1  public service license and no license to any manufacturer,
     2  distributor, importing distributor or retail dispenser shall be
     3  issued under the provisions of this subdivision (B) until the
     4  licensee shall have first paid an annual license fee, as
     5  follows:
     6     (a)  In the case of a manufacturer, the license fee shall be
     7  one thousand dollars ($1,000) for each place of manufacture and
     8  shall be paid to the [board] commission. The fee for all such     <--
     9  licenses when applied for and issued on or after April 1, but
    10  prior to July 1, shall be three-fourths of the annual fee; July
    11  1, but prior to October 1, shall be one-half of the annual fee;
    12  October 1, but prior to January 1, shall be one quarter of the
    13  annual fee.
    14     (b)  In the case of a distributor, the license fee shall be
    15  four hundred dollars ($400) and shall be paid to the [board]      <--
    16  commission.
    17     (c)  In the case of an importing distributor, the license fee
    18  shall be nine hundred dollars ($900) and shall be paid to the
    19  [board] commission.                                               <--
    20     (d)  In the case of a retail dispenser, except clubs, the
    21  license fee shall be graduated according to the population of
    22  the municipality in which the place of business is located and
    23  shall be paid to the [board] commission, as follows:              <--
    24      (1)  Less than 10,000..................................$100
    25      (2)  10,000 and more, but less than 50,000.............$150
    26      (3)  50,000 and more, but less than 100,000............$200
    27      (4)  100,000 and more, but less than 150,000...........$250
    28      (5)  150,000 and more..................................$300
    29     (e)  In the case of a club, the fee shall be twenty-five
    30  dollars in all cases and shall be paid to the [board]             <--
    19870H1000B1941                 - 121 -

     1  commission.
     2     (f)  In the case of a public service license for cars, the
     3  fee shall be ten dollars per car for the maximum number of cars
     4  operated on any one day on which malt or brewed beverages are
     5  sold, to be paid to the [board] commission.                       <--
     6     (g)  In the case of a public service license for the sale of
     7  malt or brewed beverages on a boat or vessel, the fee shall be
     8  fifty dollars for each such vessel or boat and shall be paid to
     9  the [board] commission.                                           <--
    10     (h)  The fee for filing applications for licenses and for
    11  renewals shall be twenty dollars ($20) which, together with fees
    12  for transfers, shall be paid to the [board] commission.           <--
    13     (i)  The license fees fixed by this section shall be paid
    14  before the license or renewal is issued.
    15     Section 54.  Section 440 of the act, amended August 17, 1965
    16  (P.L.346, No.182), is reenacted and amended to read:              <--
    17     Section 440.  Sales by Manufacturers of Malt or Brewed
    18  Beverages; Minimum Quantities.--No manufacturer shall sell any
    19  malt or brewed beverages for consumption on the premises where
    20  sold, nor sell or deliver any such malt or brewed beverages in
    21  other than original containers approved as to capacity by the
    22  [board] commission, nor in quantities of less than a case of      <--
    23  twenty-four containers, each container holding seven fluid
    24  ounces or more, or a case of twelve containers, each container
    25  holding twenty-four fluid ounces or more, except original
    26  containers containing one hundred twenty-eight ounces or more
    27  which may be sold separately; nor shall any manufacturer
    28  maintain or operate within the Commonwealth any place or places
    29  other than the place or places covered by his or its license
    30  where malt or brewed beverages are sold or where orders are
    19870H1000B1941                 - 122 -

     1  taken.
     2     Section 55.  Section 441 of the act, amended October 23, 1959
     3  (P.L.1360, No.471), is reenacted and amended to read:             <--
     4     Section 441.  Distributors' and Importing Distributors'
     5  Restrictions on Sales, Storage, Etc.--(a) No distributor or
     6  importing distributor shall purchase, receive or resell any malt
     7  or brewed beverages except in the original containers as
     8  prepared for the market by the manufacturer at the place of
     9  manufacture.
    10     (b)  No distributor or importing distributor shall sell any
    11  malt or brewed beverages in quantities of less than a case of
    12  twenty-four containers, each container holding seven fluid
    13  ounces or more, or a case of twelve containers, each container
    14  holding twenty-four fluid ounces or more, except original
    15  containers containing one hundred twenty-eight ounces or more
    16  which may be sold separately: Provided, That no malt or brewed
    17  beverages sold or delivered shall be consumed upon the premises
    18  of the distributor or importing distributor, or in any place
    19  provided for such purpose by such distributor or importing
    20  distributor.
    21     (c)  No distributor or importing distributor shall maintain
    22  or operate any place where sales are made other than that for
    23  which the license is granted.
    24     (d)  No distributor or importing distributor shall maintain
    25  any place for the storage of malt or brewed beverages except in
    26  the same municipality in which the licensed premises is located
    27  and unless the same has been approved by the [board] commission.  <--
    28  In the event there is no place of cold storage in the same
    29  municipality, the [board] commission may approve a place of cold  <--
    30  storage in the nearest municipality.
    19870H1000B1941                 - 123 -

     1     (e)  No distributor or importing distributor shall purchase,
     2  sell, resell, receive or deliver any malt or brewed beverages,
     3  except in strict compliance with the provisions of subsection
     4  (b) of section 431 of this act.
     5     Section 56.  Section 442 of the act, amended October 9, 1967
     6  (P.L.413, No.183), July 3, 1980 (P.L.348, No.88) and May 9, 1984
     7  (P.L.246, No.54), is reenacted AND AMENDED to read:               <--
     8     Section 442.  Retail Dispensers' Restrictions on Purchases
     9  and Sales.--(a)  No retail dispenser shall purchase or receive
    10  any malt or brewed beverages except in original containers as
    11  prepared for the market by the manufacturer at the place of
    12  manufacture. The retail dispenser may thereafter break the bulk
    13  upon the licensed premises and sell or dispense the same for
    14  consumption on or off the premises so licensed: Provided,
    15  however, That no retail dispenser may sell malt or brewed
    16  beverages for consumption off the premises in quantities in
    17  excess of [one hundred forty-four] ONE HUNDRED NINETY-TWO fluid   <--
    18  ounces: Provided, further, That no club licensee may sell any
    19  malt or brewed beverages for consumption off the premises where
    20  sold or to persons not members of the club.
    21     (b)  No retail dispenser shall sell any malt or brewed
    22  beverages for consumption on the licensed premises except in a
    23  room or rooms or place on the licensed premises at all times
    24  accessible to the use and accommodation of the general public,
    25  but this section shall not be interpreted to prohibit a retail
    26  dispenser from selling malt or brewed beverages in a hotel or
    27  club house in any room of such hotel or club house occupied by a
    28  bona fide registered guest or member entitled to purchase the
    29  same or to prohibit a retail dispenser from selling malt or
    30  brewed beverages in a bowling alley when no minors are present,
    19870H1000B1941                 - 124 -

     1  unless minors who are present are under proper supervision as
     2  defined in section 493, where the licensed premises and bowling
     3  alley are immediately adjacent and under the same roof.
     4     (c)  For the purpose of this section any person who is an
     5  active member of another club which is chartered by the same
     6  state or national organization shall have the same rights and
     7  privileges as members of the particular club.
     8     (d)  For the purposes of this section, any person who is an
     9  active member of any volunteer firefighting company, association
    10  or group of this Commonwealth, whether incorporated or
    11  unincorporated, shall upon the approval of any club composed of
    12  volunteer firemen licensed under this act, have the same social
    13  rights and privileges as members of such licensed club.
    14     Section 57.  Section 443 of the act is reenacted to read:
    15     Section 443.  Interlocking Business Prohibited.--(a)  No
    16  manufacturer of malt or brewed beverages and no officer or
    17  director of any such manufacturer shall at the same time be a
    18  distributor, importing distributor or retail dispenser, or an
    19  officer, director or stockholder or creditor of any distributor,
    20  importing distributor or retail dispenser, nor, except as
    21  hereinafter provided, be the owner, proprietor or lessor of any
    22  place for which a license has been issued for any importing
    23  distributor, distributor or retail dispenser, or for which a
    24  hotel, restaurant or club liquor license has been issued.
    25     (b)  No distributor or importing distributor and no officer
    26  or director of any distributor or importing distributor shall at
    27  the same time be a manufacturer, a retail dispenser or a liquor
    28  licensee, or be an officer, director, stockholder or creditor of
    29  a manufacturer, a retail dispenser or a liquor licensee, or,
    30  directly or indirectly, own any stock of, or have any financial
    19870H1000B1941                 - 125 -

     1  interest in, or be the owner, proprietor or lessor of, any place
     2  covered by any other malt or brewed beverage or liquor license.
     3     (c)  No licensee licensed under this subdivision (B) of
     4  Article IV and no officer or director of such licensee shall,
     5  directly or indirectly, own any stock of, or have any financial
     6  interest in, any other class of business licensed under this
     7  subdivision.
     8     (d)  Excepting as hereinafter provided, no malt or brewed
     9  beverage manufacturer, importing distributor or distributor
    10  shall in any wise be interested, either directly or indirectly,
    11  in the ownership or leasehold of any property or in any mortgage
    12  against the same, for which a liquor or retail dispenser's
    13  license is granted; nor shall any such manufacturer, importing
    14  distributor or distributor, either directly or indirectly, lend
    15  any moneys, credit or equivalent thereof to, or guarantee the
    16  payment of any bond, mortgage, note or other obligation of, any
    17  liquor licensee or retail dispenser, in equipping, fitting out,
    18  or maintaining and conducting, either in whole or in part, an
    19  establishment or business operated under a liquor or retail
    20  dispenser's license, excepting only the usual and customary
    21  credits allowed for returning original containers in which malt
    22  or brewed beverages were packaged for market by the manufacturer
    23  at the place of manufacture.
    24     (e)  Excepting as hereinafter provided, no manufacturer of
    25  malt or brewed beverages shall in any wise be interested, either
    26  directly or indirectly, in the ownership or leasehold of any
    27  property or any mortgage lien against the same, for which a
    28  distributor's or importing distributor's license is granted; nor
    29  shall any such manufacturer, either directly or indirectly, lend
    30  any moneys, credit, or their equivalent to, or guarantee the
    19870H1000B1941                 - 126 -

     1  payment of any bond, mortgage, note or other obligation of, any
     2  distributor or importing distributor, in equipping, fitting out,
     3  or maintaining and conducting, either in whole or in part, an
     4  establishment or business where malt or brewed beverages are
     5  licensed for sale by a distributor or importing distributor,
     6  excepting only the usual credits allowed for the return of
     7  original containers in which malt or brewed beverages were
     8  originally packaged for the market by the manufacturer at the
     9  place of manufacture.
    10     (f)  No distributor, importing distributor or retail
    11  dispenser shall in anywise receive, either directly or
    12  indirectly, any credit, loan, moneys or the equivalent thereof
    13  from any other licensee, or from any officer, director or firm
    14  member of any other licensee, or from or through a subsidiary or
    15  affiliate of another licensee, or from any firm, association or
    16  corporation, except banking institutions, in which another
    17  licensee or any officer, director or firm member of another
    18  licensee has a substantial interest or exercises a control of
    19  its business policy, for equipping, fitting out, payment of
    20  license fee, maintaining and conducting, either in whole or in
    21  part, an establishment or business operated under a
    22  distributor's, importing distributor's or retail dispenser's
    23  license, excepting only the usual and customary credits allowed
    24  for the return of original containers in which malt or brewed
    25  beverages were packaged for the market by the manufacturer at
    26  the place of manufacture.
    27     (g)  The purpose of this section is to require a separation
    28  of the financial and business interests between the various
    29  classes of business regulated by subdivision (B) of this
    30  article, and no person or corporation shall, by any device
    19870H1000B1941                 - 127 -

     1  whatsoever, directly or indirectly, evade the provisions of this
     2  section. But in view of existing economic conditions, nothing
     3  contained in this section shall be construed to prohibit the
     4  ownership of property or conflicting interest by a malt or
     5  brewed beverage manufacturer of any place occupied by a
     6  distributor, importing distributor or retail dispenser after the
     7  manufacturer has continuously owned and had a conflicting
     8  interest in such place for a period of at least five years prior
     9  to the eighteenth day of July, one thousand nine hundred thirty-
    10  five.
    11     The term "manufacturer" as used in this section shall include
    12  manufacturers of malt or brewed beverages as defined in this act
    13  and any person manufacturing any malt or brewed beverages
    14  outside of this Commonwealth.
    15     Section 58.  Section 444 of the act, amended December 12,
    16  1980 (P.L.1195, No.221) and repealed in part December 20, 1982
    17  (P.L.1409, No.326), is reenacted and amended AND THE ACT IS       <--
    18  AMENDED BY ADDING SECTIONS to read:
    19     Section 444.  Malt or Brewed Beverages Manufactured Outside
    20  This Commonwealth.--(a)  In addition to compliance with all
    21  other provisions of this act, the [board] commission shall        <--
    22  require each person desiring to sell any malt or brewed
    23  beverages manufactured outside this Commonwealth to Pennsylvania
    24  licensees, and shall require each Pennsylvania licensee who
    25  desires to purchase and resell any such malt or brewed
    26  beverages, to pay to the [board] commission the same fees as are  <--
    27  required to be paid by Pennsylvania licensees or by persons or
    28  licensees in any state, territory or country outside of
    29  Pennsylvania who desires to sell malt or brewed beverages
    30  manufactured in Pennsylvania to licensees in such other state,
    19870H1000B1941                 - 128 -

     1  territory or country of origin of such malt or brewed beverages
     2  not manufactured in Pennsylvania, and to observe and comply with
     3  the same regulations, prohibitions and restrictions as are
     4  required of or enforced against Pennsylvania licensees or
     5  persons who desire to purchase and resell malt or brewed
     6  beverages manufactured in Pennsylvania in such other state,
     7  territory or country of origin.
     8     (b)  In all cases where the [board] commission shall have      <--
     9  issued any reciprocal regulations or orders concerning malt or
    10  brewed beverages manufactured in any state, territory or country
    11  other than Pennsylvania, no Pennsylvania licensee shall purchase
    12  any such malt or brewed beverages if their importation has been
    13  prohibited, or if not entirely prohibited, unless such
    14  regulations or orders have been observed and complied with by
    15  the Pennsylvania licensee and by the person from or through whom
    16  the Pennsylvania licensee desires to purchase.
    17     (c)  Any malt or brewed beverages manufactured outside of
    18  Pennsylvania which are sold, transported or possessed in
    19  Pennsylvania contrary to any such regulations or orders of the
    20  [board] commission, or without the payment of the fees herein     <--
    21  required, shall be considered contraband and shall be
    22  confiscated by the [board] commission and disposed of in the      <--
    23  same manner as any other illegal liquor or malt or brewed
    24  beverages.
    25     (d)  Upon learning of the commission by a manufacturer of
    26  malt or brewed beverages whose principal place of business is
    27  outside this Commonwealth, or by any servant, agent, employe or
    28  representative of such manufacturer, within or partly within and
    29  partly outside this Commonwealth, of any violation of this act
    30  or any laws of this Commonwealth relating to liquor, alcohol or
    19870H1000B1941                 - 129 -

     1  malt or brewed beverages, or of any regulation of the [board]     <--
     2  commission adopted pursuant thereto, or of any violation of any
     3  laws of this Commonwealth or of the United States of America
     4  relating to the tax payment of liquor or malt or brewed
     5  beverages, the [board] commission shall cite such manufacturer    <--
     6  to appear before it or [its examiner] an administrative law
     7  judge not less than ten nor more than fifteen days from the date
     8  of mailing such manufacturer at his principal place of business,
     9  wherever located, by registered mail, a notice to show cause why
    10  the further importation into this Commonwealth of malt or brewed
    11  beverages manufactured by him should not be prohibited.
    12     (e)  Upon such hearing, whether or not an appearance was made
    13  by such outside manufacturer, if satisfied that any such
    14  violation has occurred, the [board] commission is specifically    <--
    15  empowered and directed to issue an order imposing a fine upon
    16  such outside manufacturer of not less than five hundred dollars
    17  ($500) or more than ten thousand dollars ($10,000), or
    18  prohibiting the importation of malt or brewed beverages
    19  manufactured by such outside manufacturer into this Commonwealth
    20  for a period not exceeding three years, or both. Such fine or
    21  prohibition shall not go into effect until twenty days have
    22  elapsed from the date of notice of issuance of the [board's]      <--
    23  commission's order.
    24     (f)  If, after hearing, the [board] commission prohibits the   <--
    25  importation of malt or brewed beverages manufactured by such
    26  outside manufacturer into this Commonwealth, notice of such
    27  [board] commission action shall be given immediately to such      <--
    28  manufacturer and to all persons licensed to import malt or
    29  brewed beverages within this Commonwealth by mailing a copy of
    30  such order to such manufacturer at its principal place of
    19870H1000B1941                 - 130 -

     1  business, wherever located, and to such licensees at their
     2  licensed premises. Thereafter, it shall be unlawful for any
     3  person licensed to import malt or brewed beverages within this
     4  Commonwealth to purchase any malt or brewed beverages
     5  manufactured by such outside manufacturer during the term of
     6  such prohibition.
     7     (g)  Any violation of such prohibitory order shall be a
     8  misdemeanor and shall be punished in the same manner as herein
     9  provided for any other violation of this act, and shall also
    10  constitute grounds for revocation or suspension of a license to
    11  import malt or brewed beverages.
    12     (h)  In all such cases, the [board] commission shall file of   <--
    13  record at least a brief statement in the form of an opinion of
    14  the reasons for the ruling or order.
    15     Section 58.1.  The act is amended by adding a section          <--
    16  SECTIONS to read:                                                 <--
    17     Section 445.  Limited Breweries.--(a)  Holders of a limited    <--
    18  brewery license may:
    19     SECTION 445.  BRAND REGISTRATION.--NO BRAND OR BRANDS OF MALT  <--
    20  OR BREWED BEVERAGES SHALL BE OFFERED, SOLD OR DELIVERED TO ANY
    21  TRADE BUYER WITHIN THIS COMMONWEALTH UNLESS THE MANUFACTURER
    22  THEREOF SHALL FIRST SUBMIT AN APPLICATION IN THE FORM AND MANNER
    23  PRESCRIBED BY THE BOARD FOR THE REGISTRATION OF THE SAID BRAND
    24  OR BRANDS OF MALT BEVERAGES TOGETHER WITH AN ANNUAL FILING FEE
    25  NOT TO EXCEED TWENTY FIVE DOLLARS ($25) FOR EACH BRAND
    26  REGISTRATION REQUESTED. IN THE EVENT AN OUT OF STATE OR FOREIGN
    27  MANUFACTURER OF MALT OR BREWED BEVERAGES HAS GRANTED FRANCHISE
    28  RIGHTS TO ANY PERSON FOR THE SALE AND DISTRIBUTION OF ITS BRAND
    29  PRODUCTS BUT WHICH PERSON IS NOT LICENSED TO SELL AND DISTRIBUTE
    30  THE SAME IN THIS COMMONWEALTH, SAID SUCH PERSON SHALL
    19870H1000B1941                 - 131 -

     1  NEVERTHELESS BE REQUIRED TO REGISTER THE INVOLVED BRAND BEFORE
     2  OFFERING THE SAME FOR SALE IN PENNSYLVANIA. IT IS FURTHER
     3  CONDITIONED THAT THE PERSON HOLDING SUCH FRANCHISE RIGHTS SHALL,
     4  TOGETHER WITH ITS APPLICATION FOR BRAND REGISTRATION, FILE WITH
     5  THE BOARD COPIES OF ALL AGREEMENTS BETWEEN IT AND THE
     6  PENNSYLVANIA IMPORTING DISTRIBUTOR APPOINTED BY SUCH PERSON TO
     7  SELL AND DISTRIBUTE THE BRANDS OF MALT OR BREWED BEVERAGES AS
     8  PROVIDED BY SECTIONS 431 AND 492. SUCH AGREEMENT SHALL CONTAIN
     9  THE MANUFACTURER'S CONSENT AND APPROVAL TO THE APPOINTMENT OF
    10  THE PENNSYLVANIA IMPORTING DISTRIBUTOR AND THE RIGHTS CONFERRED
    11  THEREUNDER.
    12     SECTION 446.  BREWERIES.--HOLDERS OF A BREWERY LICENSE MAY:    <--
    13     (1)  Sell malt or brewed beverages produced AND OWNED by the   <--
    14  limited brewery on the licensed premises under such conditions    <--
    15  and regulations as the commission BOARD may enforce, to the       <--
    16  commission, to individuals for consumption on or off the          <--
    17  premises and to hotel, restaurant, club and public service
    18  liquor licensees.
    19     (2)  Operate a restaurant or brewery pub on the licensed
    20  premises under such conditions and regulations as the commission  <--
    21  BOARD may enforce.                                                <--
    22     (b)  The term "limited brewery" as used in this section shall  <--
    23  include manufacturers of malt or brewed beverages produced
    24  within this Commonwealth not exceeding twenty thousand barrels
    25  per year.
    26     Section 59.  The heading of Subdivision (C) of Article IV of
    27  the act is reenacted to read:
    28      (C)  General Provisions Applying to Both Liquor and Malt
    29                       and Brewed Beverages.
    30     Section 60.  Section 461 of the act, amended June 19, 1961
    19870H1000B1941                 - 132 -

     1  (P.L.484, No.245), September 2, 1971 (P.L.429, No.103), December
     2  17, 1982 (P.L.1390, No.319) and May 2, 1986 (P.L.141, No.44), is
     3  reenacted and amended to read:                                    <--
     4     Section 461.  Limiting Number of Retail Licenses To Be Issued
     5  In Each Municipality.--(a)  No licenses shall hereafter be
     6  granted by the [board] commission for the retail sale of malt or  <--
     7  brewed beverages or the retail sale of liquor and malt or brewed
     8  beverages in excess of one of such licenses of any class for
     9  each two thousand inhabitants in any municipality, exclusive of
    10  licenses granted to airport restaurants, municipal golf courses,
    11  hotels, privately-owned public golf courses, as defined in this
    12  section, and clubs; but at least one such license may be granted
    13  in each municipality and in each part of a municipality where
    14  such municipality is split so that each part thereof is
    15  separated by another municipality, except in municipalities
    16  where the electors have voted against the granting of any retail
    17  licenses and except in that part of a split municipality where
    18  the electors have voted against the granting of any retail
    19  licenses. Nothing contained in this section shall be construed
    20  as denying the right to the [board] commission to renew or to     <--
    21  transfer existing retail licenses of any class notwithstanding
    22  that the number of such licensed places in a municipality shall
    23  exceed the limitation hereinbefore prescribed; but where such
    24  number exceeds the limitation prescribed by this section, no new
    25  license, except for hotels, municipal golf courses, airport
    26  restaurants, privately-owned public golf courses and privately-
    27  owned private golf course licensees, as defined in this section,
    28  shall be granted so long as said limitation is exceeded.
    29     (b)  The [board] commission shall have the power to increase   <--
    30  the number of licenses in any such municipality which in the
    19870H1000B1941                 - 133 -

     1  opinion of the [board] commission is located within a resort      <--
     2  area.
     3     (c)  The word "hotel" as used in this section shall mean any
     4  reputable place operated by a responsible person of good
     5  reputation where the public may, for a consideration, obtain
     6  sleeping accommodations, and which shall have the following
     7  number of bedrooms and requirements in each case--at least one-
     8  half of the required number of bedrooms shall be regularly
     9  available to transient guests seven days weekly, except in
    10  resort areas; at least one-third of such bedrooms shall be
    11  equipped with hot and cold water, a lavatory, commode, bathtub
    12  or shower and a clothes closet; and an additional one-third of
    13  the total of such required rooms shall be equipped with lavatory
    14  and commode:
    15     (1)  In municipalities having a population of less than three
    16  thousand, at least twelve permanent bedrooms for the use of
    17  guests.
    18     (2)  In municipalities having a population of three thousand
    19  and more but less than ten thousand inhabitants, at least
    20  sixteen permanent bedrooms for the use of guests.
    21     (3)  In municipalities having a population of ten thousand
    22  and more but less than twenty-five thousand inhabitants, at
    23  least thirty permanent bedrooms for the use of guests.
    24     (4)  In municipalities having a population of twenty-five
    25  thousand and more but less than one hundred thousand
    26  inhabitants, at least forty permanent bedrooms for the use of
    27  guests.
    28     (5)  In municipalities having a population of one hundred
    29  thousand and more inhabitants, at least fifty permanent bedrooms
    30  for the use of guests.
    19870H1000B1941                 - 134 -

     1     (6)  A public dining room or rooms operated by the same
     2  management accommodating at least thirty persons at one time and
     3  a kitchen, apart from the dining room or rooms, in which food is
     4  regularly prepared for the public.
     5     (7)  Each room to be considered a bedroom under the
     6  requirements of this section shall have an area of not less than
     7  eighty square feet and an outside window.
     8     (8)  The provisions of this subsection (c) shall not apply to
     9  hotel licenses granted prior to the first day of September, one
    10  thousand nine hundred forty-nine, or that have been granted on
    11  any application made and pending prior to said date, nor to any
    12  renewal or transfer thereof, or hotels under construction or for
    13  which a bona fide contract had been entered into for
    14  construction prior to said date. In such cases, the provisions
    15  of section one of the act, approved the twenty-fourth day of
    16  June, one thousand nine hundred thirty-nine (Pamphlet Laws 806),
    17  shall continue to apply.
    18     (d)  "Airport restaurant," as used in this section, shall
    19  mean restaurant facilities at any airport for public
    20  accommodation, which are owned or operated directly or through
    21  lessees by the Commonwealth of Pennsylvania, by any municipal
    22  authority, county or city, either severally or jointly, with any
    23  other municipal authority, county or city, but shall not include
    24  any such restaurant facilities at any airport situated in a
    25  municipality where by vote of the electors the retail sale of
    26  liquor and malt or brewed beverages is not permitted.
    27     (e)  "Municipal golf course" as used in this section shall
    28  mean the restaurant facilities at any municipal golf course open
    29  for public accommodation, which are owned or operated directly
    30  or through lessees by a county, municipality or a municipal
    19870H1000B1941                 - 135 -

     1  authority, severally or jointly with any other county,
     2  municipality or municipal authority, including any such
     3  restaurant facilities at any municipal golf course situate in a
     4  municipality where by vote of the electors the retail sale of
     5  liquor and malt and brewed beverages is not permitted.
     6     (e.1)  "Privately-owned public golf course" as used in this
     7  section shall mean the restaurant facilities at any privately-
     8  owned golf course open for public accommodation.
     9     (e.2)  "Privately-owned private golf course" as used in this
    10  section shall mean the clubhouse at any privately-owned golf
    11  course as defined in section 102 open for private membership
    12  accommodations only as a club as defined in section 102. The
    13  license to be issued in this instance shall be a club license.
    14     (f)  The provisions of subsection (a) which apply to
    15  privately-owned public golf courses shall not apply to the owner
    16  of such course who has, within three years prior to the
    17  effective date of this amendatory act or at any time after the
    18  effective date of this amendatory act, sold or transferred a
    19  regularly issued license for such course.
    20     Section 61.  Section 461.1 of the act, added December 12,
    21  1980 (P.L.1195, No.221), is reenacted and amended to read:        <--
    22     Section 461.1.  Incorporated Units of National Veterans'
    23  Organizations.--(a)  The [board] commission shall have the        <--
    24  authority to issue new licenses to incorporated units of
    25  national veterans' organizations, as defined herein, in
    26  municipalities where the number of licenses exceeds the
    27  limitation prescribed by section 461.
    28     (b)  The term "national veterans' organization" shall mean
    29  any veterans' organization having a national charter.
    30     The term "incorporated unit of a national veterans'
    19870H1000B1941                 - 136 -

     1  organization" shall mean any incorporated post, branch, camp,
     2  detachment, lodge or other subordinate unit of a national
     3  veterans' organization having one hundred or more paid up
     4  members and organized for a period of at least three years prior
     5  to filing the application for a license.
     6     (c)  When the charter of an incorporated unit of a national
     7  veterans' organization is suspended or revoked, the retail
     8  license of the organization shall also be suspended or revoked.
     9  The retail license of an incorporated unit of a national
    10  veterans' organization is not transferable to any other
    11  organization or person.
    12     Section 62.  Section 462 of the act is reenacted and amended   <--
    13  to read:
    14     Section 462.  Licensed Places May Be Closed During Period of
    15  Emergency.--The [board] commission may, with the approval of the  <--
    16  Governor,
    17     (a)  Temporarily close all licensed places within any
    18  municipality during any period of emergency proclaimed to be
    19  such by the Governor.
    20     (b)  Advance by one hour the hours prescribed in this act as
    21  the hours during which liquor and malt or brewed beverages may
    22  be sold in any municipality during such part of the year when
    23  daylight saving time may be observed generally in such
    24  municipality.
    25     Section 63.  Section 463 of the act, amended November 17,
    26  1967 (P.L.510, No.247), March 23, 1972 (P.L.122, No.46) and May
    27  9, 1984 (P.L.246, No.54), is reenacted and amended to read:       <--
    28     Section 463.  Places of Amusement Not To Be Licensed;
    29  Penalty.--(a)  No license for the sale of liquor or malt or
    30  brewed beverages in any quantity shall be granted to the
    19870H1000B1941                 - 137 -

     1  proprietors, lessees, keepers or managers of any theater,
     2  circus, museum or other place of amusement, nor shall any house
     3  be licensed for the sale of liquor or malt or brewed beverages
     4  which has passage or communication to or with any theater,
     5  circus, museum or other place of amusement, and any license
     6  granted contrary to this act shall be null and void. Nothing
     7  contained in this section shall be construed as denying to the
     8  [board] commission the right to grant a restaurant liquor         <--
     9  license regardless of quota restrictions to the owner or
    10  operator of a restaurant in a building on a plot of ground owned
    11  or possessed under lease by a corporation incorporated under the
    12  laws of this Commonwealth and used principally by such
    13  corporation for holding outdoor sport events wherein such events
    14  are held under a license issued as provided by law to such
    15  corporation by a department, board or commission of the
    16  Commonwealth of Pennsylvania. The restaurant liquor license
    17  aforementioned shall be subject to all the conditions and
    18  restrictions herein applicable to restaurant liquor licenses,
    19  except the above prohibition against any passageway or
    20  communication between such licensed premises and the place of
    21  amusement.
    22     Nothing contained in this act shall be construed as denying
    23  to the [board] commission the right to grant a new restaurant     <--
    24  liquor license, regardless of quota restrictions, at any time,
    25  to the owner or operator of a restaurant in a building or plot
    26  of ground having a seating capacity in excess of twenty-five
    27  thousand, used principally for holding automobile races.
    28     (a.1)  Nothing contained in subsection (a) of this section or
    29  in section 102 of this act shall be construed as denying to the
    30  [board] commission the right to grant a club or restaurant        <--
    19870H1000B1941                 - 138 -

     1  liquor or malt and brewed beverage license to a club
     2  incorporated in this Commonwealth which has been in existence
     3  less than one year prior to making application under this
     4  section or to a restaurant either of which has a clubhouse or
     5  restaurant located in a stadium or arena having an available
     6  seating capacity of twelve thousand or more and owned and
     7  operated by or pursuant to an agreement with any city of the
     8  first class or created and operated under and in compliance with
     9  the act of July 29, 1953 (P.L.1034), known as the "Public
    10  Auditorium Authorities Law," and used principally for events at
    11  which athletes compete or other types of performers entertain.
    12  The club or restaurant liquor or malt and brewed beverage
    13  license aforementioned shall be subject to all the conditions
    14  and restrictions applicable to such licenses and licenses for
    15  places of amusement, except the above prohibition against any
    16  passageway or communication between such licensed premises and
    17  the place of amusement.
    18     (a.2)  Nothing contained in this act shall be construed to
    19  prevent the holder of a hotel, restaurant liquor or malt and
    20  brewed beverage license from selling liquor and malt or brewed
    21  beverages in a bowling alley, or other recreational areas
    22  including, but no limited to, game rooms and video arcade areas
    23  of hotels, when no minors are present, unless minors who are
    24  present are under proper supervision as defined in section 493,
    25  where the restaurant, bowling alley, or other recreational areas
    26  including, but not limited to, game rooms and video arcade areas
    27  of hotels are immediately adjacent and under the same roof. The
    28  restaurant liquor or malt and brewed beverage licensee
    29  aforementioned shall be subject to all the conditions and
    30  restrictions applicable to such restaurant licenses except the
    19870H1000B1941                 - 139 -

     1  above prohibition against any passageway or communication
     2  between a licensed premise and a place of amusement.
     3     (b)  Any proprietor, lessee, keeper or manager of any
     4  theater, circus, museum or other place of amusement, or any
     5  other person who shall violate the provisions of this section,
     6  shall be guilty of a misdemeanor and, upon conviction thereof,
     7  shall be sentenced to pay a fine of one hundred dollars and to
     8  undergo an imprisonment of not less than thirty days.
     9     Section 64.  Section 464 of the act, amended June 3, 1971
    10  (P.L.118, No.6), is reenacted and amended to read:
    11     Section 464.  Hearings Upon Refusal of Licenses, Renewals or
    12  Transfers; Appeals.--(a)  The [board] commission may of its own   <--
    13  motion, and shall upon the written request of any applicant for
    14  club, hotel or restaurant liquor license, or any applicant for
    15  any malt or brewed beverage license other than a public service
    16  license, or for renewal or transfer thereof, whose application
    17  for such license, renewal or transfer has been refused, fix a
    18  time and place for hearing of such application for license or
    19  for renewal or transfer thereof, notice of which hearing shall
    20  be mailed to the applicant at the address given in his
    21  application. Such hearing shall be before [the board, a member
    22  thereof, or an examiner designated by the board] an               <--
    23  administrative law judge A HEARING EXAMINER DESIGNATED BY THE     <--
    24  BOARD. At such hearing, the [board] commission shall present its  <--
    25  reasons for its refusal or withholding of license, renewal or
    26  transfer thereof. The applicant may appear in person or by
    27  counsel, may cross-examine the witnesses for the [board]          <--
    28  commission and may present evidence which shall likewise be
    29  subject to cross-examination by the [board] commission. Such      <--
    30  hearing shall be stenographically recorded. The [examiner]        <--
    19870H1000B1941                 - 140 -

     1  administrative law judge shall thereafter report to the [board]   <--
     2  commission upon such hearing. The [board] commission shall        <--
     3  thereupon grant or refuse the license, renewal or transfer
     4  thereof. In considering the renewal of a license, the [board]     <--
     5  commission shall not refuse any such renewal on the basis of the
     6  propriety of the original issuance or any prior renewal of such
     7  license. If the [board] commission shall refuse such license,     <--
     8  renewal or transfer following such hearing, notice in writing of
     9  such refusal shall be mailed to the applicant at the address
    10  given in his application. In all such cases, the [board]          <--
    11  commission shall file of record at least a brief statement in
    12  the form of an opinion of the reasons for the ruling or order
    13  and furnish a copy thereof to the applicant. Any applicant who
    14  has appeared [before the board or any agent thereof] at any
    15  hearing, as above provided, who is aggrieved by the refusal of
    16  the [board] commission to issue any such license or to renew or   <--
    17  transfer any such license may appeal, or any church, hospital,
    18  charitable institution, school or public playground located
    19  within three hundred feet of the premises applied for, aggrieved
    20  by the action of the [board] commission in granting the issuance  <--
    21  of any such license or the transfer of any such license, may
    22  take an appeal limited to the question of such grievance, within
    23  twenty days from date of refusal or grant, to the court of
    24  [quarter sessions] common pleas of the county in which the
    25  premises applied for is located [or the county court of
    26  Allegheny County]. Such appeal shall be upon petition of the
    27  aggrieved party, who shall serve a copy thereof upon the [board]  <--
    28  commission, whereupon a hearing shall be held upon the petition
    29  by the court upon ten days' notice to the [board[, which shall    <--
    30  be represented in the proceeding by the Department of Justice]
    19870H1000B1941                 - 141 -

     1  commission. The said appeal shall act as a supersedeas unless     <--
     2  upon sufficient cause shown the court shall determine otherwise.
     3  The court shall hear the application de novo on questions of
     4  fact, administrative discretion and such other matters as are
     5  involved, at such time as it shall fix, of which notice shall be
     6  given to the [board] commission. The court shall either sustain   <--
     7  or over-rule the action of the [board] commission and either      <--
     8  order or deny the issuance of a new license or the renewal or
     9  transfer of the license to the applicant.
    10     (b)  [The jurisdiction of the county court of Allegheny        <--
    11  County conferred hereby shall be exclusive within the
    12  territorial limits of its jurisdiction.]                          <--
    13     Section 65.  Sections 465 and 466 465, 466 AND 467 of the act  <--
    14  are reenacted and amended to read:                                <--
    15     Section 465.  All Licensees to Furnish Bond.--(a)  No license
    16  shall be issued to any applicant under the provisions of this
    17  article until such applicant has filed with the [board]           <--
    18  commission an approved bond and a warrant of attorney to confess
    19  judgment payable to the Commonwealth of Pennsylvania in the
    20  amount hereinafter prescribed.
    21     (b)  Bonds of all such applicants shall have as surety a
    22  surety company authorized to do business in this Commonwealth,
    23  or shall have deposited therewith, as collateral security, cash
    24  or negotiable obligations of the United States of America or the
    25  Commonwealth of Pennsylvania in the same amount as herein
    26  provided for the penal sum of bonds. In all cases where cash or
    27  securities in lieu of other surety have been deposited with the
    28  [board] commission, the depositor shall be permitted to continue  <--
    29  the same deposit from year to year on each renewal of license,
    30  but in no event shall he be permitted to withdraw his deposit
    19870H1000B1941                 - 142 -

     1  during the time he holds said license, or until six months after
     2  the expiration of the license held by him, or while revocation
     3  proceedings are pending against such license. All cash or
     4  securities received by the [board] commission in lieu of other    <--
     5  surety shall be turned over by the [board] commission to the      <--
     6  State Treasurer and held by him. The State Treasurer shall repay
     7  or return money or securities deposited with him to the
     8  respective depositors only on the order of the [board]            <--
     9  commission.
    10     (c)  No such bond shall be accepted until approved by the
    11  [board] commission. All such bonds shall be conditioned for the   <--
    12  faithful observance of all the laws of this Commonwealth
    13  relating to liquor, alcohol and malt or brewed beverages and the
    14  regulations of the [board] commission. All bonds shall be         <--
    15  retained by the [board] commission.                               <--
    16     (d)  The penal sum of the respective bonds filed under the
    17  provisions of this section shall be as follows:
    18     (1)  Manufacturers of malt or brewed beverages, ten thousand
    19  dollars ($10,000.00) for each place at which the licensee is
    20  authorized to manufacture.
    21     (2)  Liquor importers, ten thousand dollars ($10,000.00) for
    22  each license.
    23     (3)  Sacramental wine licensees, ten thousand dollars
    24  ($10,000.00).
    25     (4)  Importing distributors of malt or brewed beverages, two
    26  thousand dollars ($2,000.00).
    27     (5)  Hotel, restaurant, club and public service liquor
    28  licensees, two thousand dollars ($2,000.00), but in the case of
    29  a railroad or pullman company, such penal sum shall cover every
    30  dining, club or buffet car of such company operated under such
    19870H1000B1941                 - 143 -

     1  license.
     2     (6)  Distributors of malt or brewed beverages, one thousand
     3  dollars ($1,000.00).
     4     (7)  Retail dispensers and public service malt or brewed
     5  beverage licensees, one thousand dollars ($1,000.00) for each
     6  place at which the licensee is authorized to sell malt or brewed
     7  beverages, except that in the case of railroad or pullman
     8  companies, said penal sum shall be one thousand dollars
     9  ($1,000.00), irrespective of the number of licensed cars
    10  operated by the company.
    11     (e)  Every such bond may be forfeited when a license is
    12  revoked and shall be turned over to the Attorney General for
    13  collection if and when the licensee's license shall have been
    14  revoked and his bond forfeited as provided in this act.
    15     Section 466.  Disposition of Cash and Securities Upon
    16  Forfeiture of Bond.--After notice from the [board] commission     <--
    17  that any of the aforesaid bonds have been forfeited, the State
    18  Treasurer shall immediately pay into The State Stores Fund all
    19  cash deposited as collateral with such bond, and when securities
    20  have been deposited with such bond, the State Treasurer shall
    21  sell, at private sale, at not less than the prevailing market
    22  price, any such securities so deposited as collateral with such
    23  forfeited bond. The State Treasurer shall thereafter deposit in
    24  The State Stores Fund the net amount realized from the sale of
    25  such securities, except that if the amount so realized, after
    26  deducting proper costs and expenses, is in excess of the penal
    27  amount of the bond, such excess shall be paid over by him to the
    28  obligor on such forfeited bond.
    29     Section 65.1.  Section 467 of the act is reenacted to read:    <--
    30     Section 467.  Display of License.--Every license issued under
    19870H1000B1941                 - 144 -

     1  this article shall be constantly and conspicuously exposed under
     2  transparent substance on the licensed premises and no license
     3  shall authorize sales until this section has been complied with.
     4     Section 66.  Section 468 of the act, amended November 26,
     5  1978 (P.L.1389, No.326) and June 24, 1982 (P.L.624, No.176), is
     6  reenacted and amended to read:
     7     Section 468.  Licenses Not Assignable; Transfers.--(a)
     8  Licenses issued under this article may not be assigned. The
     9  [board] commission, upon payment of the transfer filing fee and   <--
    10  the execution of a new bond, is hereby authorized to transfer
    11  any license issued by it under the provisions of this article
    12  from one person to another or from one place to another, or
    13  both, within the same municipality, and if the applicant is a
    14  unit of a nonprofit nationally chartered club, the [board]        <--
    15  commission is hereby authorized to transfer such license to a
    16  place in any other municipality within the same county if the
    17  sale of liquor or malt and brewed beverages are legal in such
    18  other municipality as the [board] commission may determine.       <--
    19  Prior to the approval of an application for transfer by a unit
    20  of a nonprofit nationally chartered club the [board] commission   <--
    21  shall make an affirmative finding, upon proof submitted by the
    22  applicant, and after investigation by the [board] commission,     <--
    23  that at the time the application for transfer is made the club
    24  continues to hold a valid national charter and continues to
    25  function in fact as a club as defined in section 102. The
    26  [board] commission, in its discretion, may transfer an existing   <--
    27  restaurant retail dispenser or club license from one
    28  municipality to another in the same county regardless of the
    29  quota limitations provided for in this act, if sales of liquor
    30  or malt and brewed beverages are legal in such other
    19870H1000B1941                 - 145 -

     1  municipality and if the restaurant retail dispenser or club lost
     2  the use of the building in which it was located due to
     3  governmental exercise of the right of eminent domain and no
     4  other suitable building can be found in the first municipality.
     5  In the case of distributor and importing distributor licenses,
     6  the [board] commission may transfer any such license from its     <--
     7  place in a municipality to a place in any other municipality
     8  within the same county, or from one place to another place
     9  within the same municipality, or exchange a distributor license
    10  for an importing distributor license or an importing distributor
    11  license for a distributor license, if the building for which the
    12  license is to be issued has, in the case of an importing
    13  distributor license, an area under one roof of two thousand five
    14  hundred square feet and, in the case of a distributor license,
    15  an area under one roof of one thousand square feet: And
    16  provided, That, in the case of all transfers of distributor or
    17  importing distributor licenses, whether from a place within the
    18  same municipality to another place within the same municipality
    19  or from a place in a municipality to a place in any other
    20  municipality within the same county, and, in the case of an
    21  exchange of a distributor license for an importing distributor
    22  license or an importing distributor license for a distributor
    23  license, the premises to be affected by the transfer or exchange
    24  shall contain an office separate and apart from the remainder of
    25  the premises to be licensed for the purpose of keeping records,
    26  required by the [board] commission, adequate toilet facilities    <--
    27  for employes of the licensee and an entrance on a public
    28  thoroughfare: Provided, however, That in the event that the
    29  majority of the voting electors of a municipality, at an
    30  election held under the provisions of any law so empowering them
    19870H1000B1941                 - 146 -

     1  to do, shall vote against the issuance of distributor or
     2  importing distributor licenses in such municipality, the [board]  <--
     3  commission is hereby authorized to transfer any such distributor
     4  or importing distributor license from its place in such
     5  municipality to a place in any other municipality within the
     6  same county, upon application prior to the expiration of any
     7  such license and upon payment of the transfer filing fee and the
     8  execution of a new bond; but no transfer shall be made to a
     9  person who would not have been eligible to receive the license
    10  originally nor for the transaction of business at a place for
    11  which the license could not lawfully have been issued
    12  originally, nor, except as herein provided, to a place as to
    13  which a license has been revoked. No license shall be
    14  transferred to any place or property upon which is located as a
    15  business the sale of liquid fuels and oil. Except in cases of
    16  emergency such as death, serious illness, or circumstances
    17  beyond the control of the licensee, as the [board] commission     <--
    18  may determine such circumstances to justify its action,
    19  transfers of licenses may be made only at times fixed by the
    20  [board] commission. In the case of the death of a licensee, the   <--
    21  [board] commission may transfer the license to the surviving      <--
    22  spouse or personal representative or to a person designated by
    23  him. From any refusal to grant a transfer or upon the grant of
    24  any transfer, the party aggrieved shall have the right of appeal
    25  to the proper court in the manner hereinbefore provided. The      <--
    26  commission shall not authorize the transfer of any license under
    27  this subsection where the application for transfer has been
    28  denied by an administrative law judge pursuant to section 404.
    29     (b.1)  In the event that any person to whom a license shall
    30  have been issued under the provisions of this article shall
    19870H1000B1941                 - 147 -

     1  become insolvent, make an assignment for the benefit of
     2  creditors, become bankrupt by either voluntary or involuntary
     3  action, the license of such person shall be immediately placed
     4  in safekeeping with the [board] commission for the balance of     <--
     5  the term of the license and for an additional period of one year
     6  upon application to the [board] commission by the trustee,        <--
     7  receiver, or assignee. The trustee, receiver, or assignee shall
     8  have, during said period of safekeeping, the same rights,
     9  benefits and obligations as to the license as the person to whom
    10  the license had been issued, including the right to transfer the
    11  license subject to the approval of the [board] commission. The    <--
    12  license shall continue as a personal privilege granted by the
    13  [board] commission and nothing herein shall constitute the        <--
    14  license as property.
    15     (c)  (1)  The term "nonprofit nationally chartered club"
    16  shall mean any club which does not contemplate pecuniary gain or
    17  profit, incidental or otherwise, having a national charter.
    18     (2)  The term "unit of a nonprofit nationally chartered club"
    19  shall mean any post, branch, lodge or other subordinate unit of
    20  a nonprofit nationally chartered club.
    21     (D)  THE LICENSE SHALL CONSTITUTE A PRIVILEGE BETWEEN THE      <--
    22  BOARD AND THE LICENSEE. AS BETWEEN THE LICENSEE AND THIRD
    23  PARTIES, THE LICENSE SHALL CONSTITUTE PROPERTY.
    24     Section 67.  Section 469 of the act, amended September 28,
    25  1961 (P.L.1728, No.702), is reenacted and amended to read:
    26     Section 469.  Applications for Transfers; Fees.--(a)  Every
    27  applicant for a transfer of a license under the provisions of
    28  this article shall file a written application with the [board]    <--
    29  commission, together with a filing fee of thirty dollars ($30)
    30  if the license to be transferred is a liquor license, and twenty
    19870H1000B1941                 - 148 -

     1  dollars ($20) if the license is a malt or brewed beverage
     2  license. Such application shall be is such form and shall be
     3  filed at such times as the [board] commission shall in its        <--
     4  regulations prescribe. Each such applicant shall also file an
     5  approved bond as required on original applications for such
     6  licenses.
     7     (b)  Whenever any license is transferred, no license or other
     8  fees shall be required from the persons to whom such transfer is
     9  made for the balance of the then current license year, except
    10  the filing fee as herein provided.
    11     Section 68.  Section 470 of the act, amended August 1, 1969
    12  (P.L.219, No.87), is reenacted and amended to read:
    13     Section 470.  Renewal of Licenses; Temporary Provisions for
    14  Licensees in Armed Service.--(a)  All applications for renewal
    15  of licenses under the provisions of this article shall be filed
    16  with a new bond, requisite license and filing fees at least
    17  sixty days before the expiration date of same: Provided,
    18  however, That the [board] commission, in its discretion, may      <--
    19  accept a renewal application filed less than sixty days before
    20  the expiration date of the license with the required bond and
    21  fees, upon reasonable cause shown and the payment of an
    22  additional filing fee of one hundred dollars ($100.00) for late
    23  filing: And provided further, That except where the failure to
    24  file a renewal application or before the expiration date has
    25  created a license quota vacancy after said expiration date which
    26  has been filled by the issuance of a new license, after such
    27  expiration date, but before the [board] commission has received   <--
    28  a renewal application within the time prescribed herein the
    29  [board] commission, in its discretion, may, after hearing,        <--
    30  accept a renewal application filed within ten months after the
    19870H1000B1941                 - 149 -

     1  expiration date of the license with the required bond and fees
     2  upon the payment of an additional filing fee of two hundred
     3  fifty dollars ($250.00) for late filing. Where any such renewal
     4  application is filed less than sixty days before the expiration
     5  date, or subsequent to the expiration date, no license shall
     6  issue upon the filing of the renewal application until the
     7  matter is finally determined by the [board] commission and if an  <--
     8  appeal is taken from the [board's] commission's action the        <--
     9  courts shall not order the issuance of the renewal license until
    10  final determination of the matter by the courts. A renewal
    11  application will not be considered filed unless accompanied by a
    12  new bond and the requisite filing and license fees and any
    13  additional filing fee required by this section. Unless the
    14  [board] commission 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] commission relating to the manufacture,            <--
    19  transportation, use, storage, importation, possession or sale of
    20  liquors, alcohol or malt or brewed beverages, or the conduct of
    21  a licensed establishment, or unless the applicant has by his own
    22  act become a person of ill repute, or unless the premises do not
    23  meet the requirements of this act or the regulations of the
    24  [board] commission, the license of a licensee shall be renewed.   <--
    25     (b)  In cases where a licensee or his servants, agents or
    26  employes are arrested, charged with violating any of the laws of
    27  this Commonwealth relating to liquor, alcohol or malt or brewed
    28  beverages, and where the [board] commission has on file in such   <--
    29  cases reports of [its] enforcement officers or investigators of
    30  the enforcement bureau or from other sources that a licensee or
    19870H1000B1941                 - 150 -

     1  his servants, agents or employes have violated any of the
     2  aforementioned laws and a proceeding to revoke such licensee's
     3  license is or is about to be instituted, and such arrest occurs
     4  or report of violations is received or revocation proceeding
     5  instituted or about to be instituted during the time a renewal
     6  application of such license in pending before the [board]         <--
     7  commission, the [board] commission may, in its discretion, renew  <--
     8  the license, notwithstanding such alleged violations, but such
     9  renewal license may be revoked if and when the licensee or any
    10  of his servants, agents or employes are convicted of or plead
    11  guilty to violations under the previous license, as aforesaid,
    12  or if and when such previous license is for any reason revoked.
    13     In the event such renewal license is revoked by the [board]    <--
    14  commission, neither the license fee paid for such license nor
    15  any part thereof shall be returned to the licensee, but the
    16  license bond filed with the application for such renewal of
    17  license shall not be forfeited.
    18     [(c)  Notwithstanding anything to the contrary in this
    19  section, any individual who holds a restaurant or hotel liquor
    20  license or a retail dispenser (hotel or eating place) malt or
    21  brewed beverage license in effect at the time such individual
    22  enters the armed forces of the United States of America, may
    23  surrender to the board for safekeeping the said license and, if
    24  surrendered, shall furnish the board with documentary evidence
    25  as to his entering such armed forces. Upon surrender of the
    26  license, the board shall, without the filing of an application
    27  for renewal or surety bond, the payment of filing and license
    28  fees, renew the said license from year to year and hold the same
    29  in its possession for the benefit of such licensee. A license so
    30  renewed by the board shall to all intents and purposes be
    19870H1000B1941                 - 151 -

     1  considered as in full force and effect, notwithstanding the
     2  licensee is not exercising the privileges thereunder, and shall
     3  be returned to the said licensee at any time within one year
     4  from the date of his honorable discharge from the armed forces
     5  of the United States upon the filing of an application therefor,
     6  surety bond, and payment of the filing and license fees as
     7  hereinafter provided. The said application for return of license
     8  shall be on a form prescribed by the board, accompanied by a
     9  filing fee in the sum of ten dollars ($10.00) and the prescribed
    10  license fee, except that when such application is filed after a
    11  portion of the then current license term has elapsed, the
    12  license fee shall be prorated on a monthly basis for the balance
    13  of the license year: Provided, however, That the said license
    14  shall not be returned if the electors of the municipality in
    15  which the licensed establishment is situate have voted against
    16  the granting of retail liquor licenses or against the granting
    17  of retail dispenser licenses, as the case may be, under the
    18  local option provision of this act. In the event the premises
    19  originally covered by the license are not available for
    20  occupancy by the licensee at the time he files his application
    21  for return of license, as hereinbefore provided, he shall be
    22  permitted to file an application for transfer of the license to
    23  other premises in the same municipality. Such transfer of the
    24  license shall be subject to all of the provisions of this act
    25  pertaining to the transfer of such licenses.
    26     This subsection (c) was enacted due to conditions caused by
    27  the present war and shall remain in effect only until the
    28  termination of said war and one year thereafter.]
    29     Section 69.  Sections 470.1 and 470.2 of the act are
    30  repealed.
    19870H1000B1941                 - 152 -

     1     Section 70.  Section 471 of the act, amended January 13, 1966
     2  (1965 P.L.1301, No.518) and repealed in part June 3, 1971
     3  (P.L.118, No.6), is reenacted and amended to read:
     4     Section 471.  Revocation and Suspension of Licenses; Fines.--
     5  [Upon learning of any violation of this act or any laws of this
     6  Commonwealth relating to liquor, alcohol or malt or brewed
     7  beverages, or of any regulations of the board adopted pursuant
     8  to such laws, of any violation of any laws of this Commonwealth
     9  or of the United States of America relating to the tax-payment
    10  of liquor or malt or brewed beverages by any licensee within the
    11  scope of this article, his officers, servants, agents or
    12  employes, or upon any other sufficient cause shown, the board
    13  may, within one year from the date of such violation or cause
    14  appearing, cite such licensee to appear before it or its
    15  examiner, not less than ten nor more than sixty days from the
    16  date of sending such licensee, by registered mail, a notice
    17  addressed to him at his licensed premises, to show cause why
    18  such license should not be suspended or revoked or a fine
    19  imposed. Hearings on such citations shall be held in the same
    20  manner as provided herein for hearings on applications for
    21  license. Upon such hearing, if satisfied that any such violation
    22  has occurred or for other sufficient cause, the board shall
    23  immediately suspend or revoke the license, or impose a fine of
    24  not less than fifty dollars ($50) nor more than one thousand
    25  dollars ($1,000), notifying the licensee by registered letter
    26  addressed to his licensed premises. In the event the fine is not
    27  paid within twenty days of the order the board shall suspend or
    28  revoke the license, notifying the licensee by registered mail
    29  addressed to his licensed premises. Suspensions and revocations
    30  shall not go into effect until twenty days have elapsed from the
    19870H1000B1941                 - 153 -

     1  date of notice of issuance of the board's order, during which
     2  time the licensee may take an appeal as provided for in this
     3  act. When a license is revoked, the licensee's bond may be
     4  forfeited by the board. Any licensee whose license is revoked
     5  shall be ineligible to have a license under this act until the
     6  expiration of three years from the date such license was
     7  revoked. In the event the board shall revoke a license, no
     8  license shall be granted for the premises or transferred to the
     9  premises in which the said license was conducted for a period of
    10  at least one year after the date of the revocation of the
    11  license conducted in the said premises, except in cases where
    12  the licensee or a member of his immediate family is not the
    13  owner of the premises, in which case the board may, in its
    14  discretion, issue or transfer a license within the said year. In
    15  all such cases, the board shall file of record at least a brief
    16  statement in the form of an opinion of the reasons for the
    17  ruling or order. In the event the person who was fined or whose
    18  license was suspended or revoked by the board shall feel
    19  aggrieved by the action of the board, he shall have the right to
    20  appeal to the court of quarter sessions or the county court of
    21  Allegheny County in the same manner as herein provided for
    22  appeals from refusals to grant licenses. Upon appeal, the court
    23  so appealed to shall, in the exercise of its discretion,
    24  sustain, reject, alter or modify the findings, conclusions and
    25  penalties of the board, based on the findings of fact and
    26  conclusions of law as found by the court. The aforesaid appeal
    27  shall act as a supersedeas unless upon sufficient cause shown
    28  the court shall determine otherwise. No penalty provided by this
    29  section shall be imposed by the board or any court for any
    30  violations provided for in this act unless the enforcement
    19870H1000B1941                 - 154 -

     1  officer or the board notifies the licensee of its nature and of
     2  the date of the alleged violation within ten days of the
     3  completion of the investigation which in no event shall exceed
     4  ninety days.
     5     If the violation in question is a third or subsequent
     6  violation of this act or the act of June 24, 1939 (P.L.872),
     7  known as "The Penal Code," occurring within a period of four
     8  years the board shall impose a suspension or revocation.
     9     The jurisdiction of the county court of Allegheny County
    10  conferred hereby shall be exclusive within the territorial
    11  limits of its jurisdiction.] (a)  Upon learning of any violation
    12  of this act or any laws of this Commonwealth relating to liquor,
    13  alcohol or malt or brewed beverages, or of any regulations of
    14  the commission BOARD adopted pursuant to such laws, or any        <--
    15  violation of any laws of this Commonwealth or of the Federal
    16  Government relating to the payment of taxes on liquor, alcohol
    17  or malt or brewed beverages by any licensee within the scope of
    18  this article, his officers, servants, agents or employes, or
    19  upon any other sufficient cause shown, the enforcement bureau
    20  may, within one year from the date of such violation or cause
    21  appearing, cite such licensee to appear before an administrative
    22  law judge, not less than ten nor more than sixty days from the
    23  date of sending such licensee, by registered mail, a notice
    24  addressed to him at his licensed premises, to show cause why
    25  such license should not be suspended or revoked or a fine
    26  imposed, or both. The bureau shall also send a copy of the
    27  hearing notice to the municipality in which the premises is
    28  located.
    29     (b)  Hearing on such citations shall be held in the same
    30  manner as provided herein for hearings on applications for
    19870H1000B1941                 - 155 -

     1  license. Upon such hearing, if satisfied that any such violation
     2  has occurred or for other sufficient cause, the administrative
     3  law judge shall immediately suspend or revoke the license, or
     4  impose a fine of not less than fifty dollars ($50) nor more than
     5  one thousand dollars ($1,000), or both, notifying the licensee
     6  by registered letter addressed to his licensed premises. If the
     7  licensee has been cited and found to have violated SECTION        <--
     8  493(1) INSOFAR AS IT RELATES TO SALES TO MINORS, section 493(10)
     9  insofar as it relates to lewd, immoral or improper entertainment
    10  OR SECTION 493(14), (16) OR (21), or has been found to be a       <--
    11  public nuisance pursuant to section 611, or if the owner or
    12  operator of the licensed premises or any authorized agent of the
    13  owner or operator has been convicted of any violation of the act
    14  of April 14, 1972 (P.L.233, No.64), known as "The Controlled
    15  Substance, Drug, Device and Cosmetic Act," or of 18 Pa.C.S. §
    16  5902 (relating to prostitution and related offenses) or 6301
    17  (relating to corruption of minors), at or relating to the
    18  licensed premises, the administrative law judge shall
    19  immediately suspend or revoke the license, or impose a fine of
    20  not less than one thousand dollars ($1,000) nor more than five
    21  thousand dollars ($5,000), or both. The administrative law judge
    22  shall notify the licensee by registered mail, addressed to the
    23  licensed premises, of such suspension, revocation or fine. The
    24  increased civil penalty imposed by this subsection shall not be
    25  used to require any licensee to increase the amount of the bond
    26  required by this act. In the event the fine is not paid within
    27  twenty days of the adjudication, the administrative law judge
    28  shall suspend or revoke the license, notifying the licensee by
    29  registered mail addressed to the licensed premises. Suspensions
    30  and revocations shall not go into effect until thirty days have
    19870H1000B1941                 - 156 -

     1  elapsed from the date of the adjudication during which time the
     2  licensee may take an appeal as provided for in this act. When a
     3  license is revoked, the licensee's bond may be forfeited. Any
     4  licensee whose license is revoked shall be ineligible to have a
     5  license under this act until the expiration of three years from
     6  the date such license was revoked. In the event a license is
     7  revoked, no license shall be granted for the premises or
     8  transferred to the premises in which the said license was
     9  conducted for a period of at least one year after the date of
    10  the revocation of the license conducted in the said premises,
    11  except in cases where the licensee or a member of his immediate
    12  family is not the owner of the premises, in which case the
    13  commission BOARD may, in its discretion, issue or transfer a      <--
    14  license within the said year. In the event the bureau or the
    15  person who was fined or whose license was suspended or revoked
    16  shall feel aggrieved by the adjudication of the administrative
    17  law judge, there shall be a right to appeal to the BOARD. THE     <--
    18  APPEAL SHALL BE BASED SOLELY ON THE RECORD BEFORE THE
    19  ADMINISTRATIVE LAW JUDGE. THE BOARD SHALL AFFIRM THE DECISION OF
    20  THE ADMINISTRATIVE LAW JUDGE IF IT IS BASED ON SUBSTANTIAL
    21  EVIDENCE; OTHERWISE, THE BOARD SHALL REVERSE THE DECISION OF THE
    22  ADMINISTRATIVE LAW JUDGE. IN THE EVENT THE BUREAU OR THE PERSON
    23  WHO WAS FINED OR WHOSE LICENSE WAS SUSPENDED OR REVOKED SHALL
    24  FEEL AGGRIEVED BY THE DECISION OF THE BOARD, THERE SHALL BE A
    25  RIGHT TO APPEAL TO THE court of common pleas in the same manner
    26  as herein provided for appeals from refusals to grant licenses.
    27  The aforesaid appeal EACH OF THE APPEALS shall act as a           <--
    28  supersedeas unless upon sufficient cause shown the court          <--
    29  REVIEWING AUTHORITY shall determine otherwise; however, if the    <--
    30  licensee has been cited and found to have violated SECTION        <--
    19870H1000B1941                 - 157 -

     1  493(1) INSOFAR AS IT RELATES TO SALES TO MINORS, section 493(10)
     2  insofar as it relates to lewd, immoral or improper entertainment
     3  OR SECTION 493(14), (16) OR (21), or has been found to be a       <--
     4  public nuisance pursuant to section 611, or if the owner or
     5  operator of the licensed premises or any authorized agent of the
     6  owner or operator has been convicted of any violation of "The
     7  Controlled Substance, Drug, Device and Cosmetic Act," or of 18
     8  Pa.C.S. § 5902 or 6301, at or relating to the licensed premises,
     9  its appeal shall not act as a supersedeas unless the court        <--
    10  REVIEWING AUTHORITY determines otherwise upon sufficient cause    <--
    11  shown. In any hearing on an application for a supersedeas under
    12  this section, the court REVIEWING AUTHORITY may consider, in      <--
    13  addition to other relevant evidence, documentary evidence,
    14  including records of the bureau, showing the prior history of
    15  citations, fines, suspensions or revocations against the
    16  licensee; and the court REVIEWING AUTHORITY may also consider,    <--
    17  in addition to other relevant evidence, evidence of any
    18  recurrence of the unlawful activity occurring between the date
    19  of the citation which is the subject of the appeal and the date
    20  of the hearing by the court. No penalty provided by this section  <--
    21  shall be imposed for any violations provided for in this act
    22  unless the bureau notifies the licensee of its nature within
    23  thirty days of the completion of the investigation.
    24     (c)  If the violation in question is a third or subsequent
    25  violation of this act or Title 18 of the Pennsylvania
    26  Consolidated Statutes (relating to crime and offenses),
    27  occurring within a period of four years, the administrative law
    28  judge shall impose a suspension or revocation.
    29     Section 71.  Section 472 of the act, amended May 2, 1986
    30  (P.L.141, No.44), is reenacted and amended to read:               <--
    19870H1000B1941                 - 158 -

     1     Section 472.  Local Option.--In any municipality or any part
     2  of a municipality where such municipality is split so that each
     3  part thereof is separated by another municipality, an election
     4  may be held on the date of the primary election immediately
     5  preceding any municipal election, but not oftener than once in
     6  four years, to determine the will of the electors with respect
     7  to the granting of liquor licenses to hotels, restaurants and
     8  clubs, not oftener than once in four years, to determine the
     9  will of the electors with respect to the granting of liquor
    10  licenses to privately-owned private golf courses, not oftener
    11  than once in four years, to determine the will of the electors
    12  with respect to the granting of licenses to retail dispensers of
    13  malt and brewed beverages, not oftener than once in four years,
    14  to determine the will of the electors with respect to granting
    15  of licenses to wholesale distributors and importing
    16  distributors, or not more than once in four years, to determine
    17  the will of the electors with respect to the establishment,
    18  operation and maintenance by the [board] commission of            <--
    19  Pennsylvania liquor stores, within the limits of such
    20  municipality or part of a split municipality, under the
    21  provisions of this act: Provided, however, Where an election
    22  shall have been held at the primary preceding a municipal
    23  election in any year, another election may be held under the
    24  provisions of this act at the primary occurring the fourth year
    25  after such prior election: And provided further, That an
    26  election on the question of establishing and operating a State
    27  liquor store shall be initiated only in those municipalities, or
    28  that part of a split municipality that shall have voted against
    29  the granting of liquor licenses; and that an election on the
    30  question of granting wholesale distributor and importing
    19870H1000B1941                 - 159 -

     1  distributor licenses shall be initiated only in those
     2  municipalities or parts of split municipalities that shall have
     3  at a previous election voted against the granting of dispenser's
     4  licenses. Whenever electors equal to at least twenty-five per
     5  centum of the highest vote cast for any office in the
     6  municipality or part of a split municipality at the last
     7  preceding general election shall file a petition with the county
     8  board of elections of the county for a referendum on the
     9  question of granting any of said classes of licenses or the
    10  establishment of Pennsylvania liquor stores, the said county
    11  board of elections shall cause a question to be placed on the
    12  ballots or on the voting machine board and submitted at the
    13  primary immediately preceding the municipal election. Separate
    14  petitions must be filed for each question to be voted on. Said
    15  proceedings shall be in the manner and subject to the provisions
    16  of the election laws which relate to the signing, filing and
    17  adjudication of nomination petitions, insofar as such provisions
    18  are applicable.
    19     When the question is in respect to the granting of liquor
    20  licenses, it shall be in the following form:
    21     Do you favor the granting of liquor licenses
    22     for the sale of liquor in........................  Yes
    23     of..............................................?  No
    24     When the question is in respect to the granting of liquor
    25  licenses, for privately-owned private golf courses, it shall be
    26  in the following form:
    27     Do you favor the granting of liquor licenses for
    28     privately-owned private golf courses for the sale
    29     of liquor in.................by..................  Yes
    30     of..............................................?  No
    19870H1000B1941                 - 160 -

     1     When the question is in respect to the granting of licenses
     2  to retail dispensers of malt and brewed beverages, it shall be
     3  in the following form:
     4     Do you favor the granting of malt and brewed
     5     beverage retail dispenser licenses for
     6     consumption on premises where sold in the........  Yes
     7     of..............................................?  No
     8     When the question is in respect to the granting of licenses
     9  to wholesale distributors of malt or brewed beverages and
    10  importing distributors, it shall be in the following form:
    11     Do you favor the granting of malt and brewed
    12     beverage wholesale distributor's and importing
    13     distributor's licenses not for consumption on
    14     premises where sold in the.......................  Yes
    15     of..............................................?  No
    16     When the question is in respect to the establishment,
    17  operation and maintenance of Pennsylvania liquor stores it shall
    18  be in the following form:
    19     Do you favor the establishment, operation
    20     and maintenance of Pennsylvania liquor
    21     stores in the....................................  Yes
    22     of..............................................?  No
    23     In case of a tie vote, the status quo shall obtain. If a
    24  majority of the voting electors on any such question vote "yes,"
    25  then liquor licenses shall be granted by the [board] commission   <--
    26  to hotels, restaurants and clubs, or liquor licenses shall be
    27  granted by the [board] commission to privately-owned private      <--
    28  golf courses, or malt and brewed beverage retail dispenser
    29  licenses or wholesale distributor's and importing distributor's
    30  license for the sale of malt or brewed beverages shall be
    19870H1000B1941                 - 161 -

     1  granted by the [board] commission, or the [board] commission may  <--
     2  establish, operate and maintain Pennsylvania liquor stores, as
     3  the case may be, in such municipality or part of a split
     4  municipality, as provided by this act; but if a majority of the
     5  electors voting on any such question vote "no," then the [board]  <--
     6  commission shall have no power to grant or to renew upon their
     7  expiration any licenses of the class so voted upon in such
     8  municipality or part of a split municipality; or if the negative
     9  vote is on the question in respect to the establishment,
    10  operation and maintenance of Pennsylvania liquor stores, the
    11  [board] commission shall not open and operate a Pennsylvania      <--
    12  liquor store in such municipality or part of a split
    13  municipality, nor continue to operate a then existing
    14  Pennsylvania liquor store in the municipality or part of a split
    15  municipality for more than two years thereafter or after the
    16  expiration of the term of the lease on the premises occupied by
    17  such store, whichever period is less, unless and until at a
    18  later election a majority of the voting electors vote "yes" on
    19  such question.
    20     Section 72.  Section 472.1 of the act, added September 15,
    21  1961 (P.L.1337, No.590), is reenacted to read:
    22     Section 472.1.  Clubs.--Whenever any club in existence at
    23  least five years prior to the time of application for license
    24  owns a contiguous plot of land in more than two municipalities
    25  in one or more but less than all of which the granting of liquor
    26  licenses has not been prohibited and at least one acre of the
    27  plot of land owned by the club is situated in each municipality
    28  in which the granting of liquor licenses has not been
    29  prohibited, the club may be issued a club liquor license or a
    30  catering license by the board if the board finds that the
    19870H1000B1941                 - 162 -

     1  license will not be detrimental to any residential neighborhood.
     2  This section shall not be construed to prohibit the issuance of
     3  club liquor licenses or catering licenses which may otherwise be
     4  issued under the provisions of this act.
     5     Section 73.  Section 472.2 of the act, added November 18,
     6  1969 (P.L.296, No.124), is reenacted and amended to read:         <--
     7     Section 472.2.  Granting of Liquor Licenses in Certain
     8  Municipalities.--(a)  In any municipality which has, prior to
     9  January 1, 1967, by referendum approved the granting of malt and
    10  brewed beverage retail dispensers' licenses and has also
    11  thereafter, in a separate and subsequent referendum approved the
    12  granting of liquor licenses prior to the effective date of this
    13  amendment, the [board] commission may issue to an applicant       <--
    14  holding a malt and brewed beverage retail dispenser's license, a
    15  liquor license: Provided, That the applicant surrenders for
    16  cancellation the malt and brewed beverage retail dispenser's
    17  license. The [board] commissioner shall not issue such a liquor   <--
    18  license in excess of one for each one thousand five hundred
    19  residents in said municipality and any application for said
    20  license shall be filed within two years from the effective date
    21  of this amendment.
    22     (b)  Nothing in this section shall otherwise affect any
    23  existing malt and brewed beverage retail dispenser's license.
    24     (c)  The [board] commission may not accept, act upon, or       <--
    25  grant an application for a liquor license under this section,
    26  when such application, if granted, would cause an excess in the
    27  aforesaid quota of one liquor license for each one thousand five
    28  hundred residents in said municipality. Nor shall an applicant
    29  under this section be required to surrender his malt and brewed
    30  beverage retail dispenser's license until and unless the [board]  <--
    19870H1000B1941                 - 163 -

     1  commission has granted his application for a liquor license.
     2     Section 74.  Section 472.3 of the act, added July 3, 1980
     3  (P.L.348, No.88), is reenacted and amended to read:               <--
     4     Section 472.3.  Exchange of Certain Licenses.--(a)  In any
     5  municipality wherein restaurant liquor license issue, the
     6  [board] commission may issue to a club as defined in this act, a  <--
     7  club liquor license in exchange for a club retail dispenser
     8  license.
     9     (b)  An applicant under this section shall surrender his club
    10  retail dispenser license for cancellation prior to the issuance
    11  of the new club liquor license.
    12     (c)  The applicant for such exchange of license shall file an
    13  application for a club liquor license and shall post a notice of
    14  such application in the manner provided in section 403. In
    15  determining whether the exchange shall be granted the [board]     <--
    16  commission shall have the same discretion as provided in section
    17  404 in the case of any new license.
    18     (d)  The provisions of section 461 pertaining to quota shall
    19  not pertain to this section for exchange purposes.
    20     Section 75.  Section 473 of the act, added January 13, 1966
    21  (1965 P.L.1301, No.518), is reenacted and amended to read:        <--
    22     Section 473.  Public Record.--(a)  Any person having a
    23  pecuniary interest in the conduct of business on licensed
    24  premises whether that interest is direct or indirect, legal or
    25  equitable, individual, corporate, or mutual shall file his name
    26  and address with the [board] commission on forms provided by the  <--
    27  [board] commission. In the case of corporate ownership, the       <--
    28  secretary of the corporation shall file with the [board]          <--
    29  commission the names and addresses of all persons having such a
    30  corporate pecuniary interest.
    19870H1000B1941                 - 164 -

     1     (b)  The names and addresses required by this section shall
     2  be recorded by the [board] commission and made available to the   <--
     3  public as a public record.
     4     Section 76.  Section 474 of the act, added July 20, 1968
     5  (P.L.429, No.201), is reenacted and amended to read:              <--
     6     Section 474.  Surrender of Club Licenses for Benefit of
     7  Licensees.--Whenever a club license has been returned to the
     8  [board] commission for the benefit of the licensee due to the     <--
     9  licensed establishment not having been in operation for any
    10  reason whatsoever for a period of time not exceeding fifteen
    11  days, the license shall be held by the [board] commission for     <--
    12  the benefit of the licensee for a period of time not exceeding
    13  one year, or, upon proper application to the [board] commission,  <--
    14  for an additional year, and the license shall be revoked at the
    15  termination of the period, and transfer of the license shall not
    16  be permitted after the termination of the period.
    17     Section 77.  Section 475 of the act, amended November 26,
    18  1978 (P.L.1389, No.326) and June 24, 1982 (P.L.624, No.176), is
    19  reenacted AND THE ACT IS AMENDED BY ADDING A SECTION to read:     <--
    20     Section 475.  Establishments Proximate to Interstate Highways
    21  Not To Be Licensed.--(a)  No license for the sale of liquor or
    22  malt or brewed beverages in any quantity shall be granted to the
    23  proprietor, lessee, keeper or manager of an establishment the
    24  building entrance to which is located within three hundred feet
    25  of the entrance or exit of an interstate limited access highway.
    26     (b)  This section shall not apply to existing licenses, nor
    27  be deemed to affect the right of an existing licensee to
    28  reinstatement or renewal of his license.
    29     SECTION 77.1.  THE ACT IS AMENDED BY ADDING A SECTION TO       <--
    30  READ:
    19870H1000B1941                 - 165 -

     1     SECTION 477.  APPLICANTS TO PROVIDE STATE TAX IDENTIFICATION
     2  NUMBERS AND STATEMENT OF STATE TAX STATUS; WAIVER OF
     3  CONFIDENTIALITY OF INFORMATION IN THE POSSESSION OF THE
     4  DEPARTMENT OF REVENUE AND OTHER DEPARTMENTS; REVIEW OF STATE TAX
     5  STATUS.--(A)  AN APPLICANT FOR THE GRANT, RENEWAL OR TRANSFER OF
     6  ANY LICENSE ISSUED PURSUANT TO THIS ARTICLE SHALL PROVIDE TO THE
     7  BOARD, UPON FORMS APPROVED BY THE DEPARTMENT OF REVENUE, THE
     8  FOLLOWING:
     9     (1)  THE APPLICANT'S STATE PERSONAL INCOME TAX IDENTIFICATION
    10  NUMBER;
    11     (2)  THE APPLICANT'S STATE SALES TAX NUMBER;
    12     (3)  THE APPLICANT'S STATE CORPORATION TAX NUMBER;
    13     (4)  THE APPLICANT'S STATE EMPLOYER WITHHOLDING TAX NUMBER;
    14     (5)  THE APPLICANT'S UNEMPLOYMENT COMPENSATION ACCOUNT
    15  NUMBER; AND
    16     (6)  A STATEMENT THAT:
    17     (I)  ALL STATE TAX REPORTS HAVE BEEN FILED AND ALL STATE
    18  TAXES PAID;
    19     (II)  ALL STATE TAXES ARE SUBJECT TO A TIMELY ADMINISTRATIVE
    20  OR JUDICIAL APPEAL; OR
    21     (III)  ALL STATE TAXES ARE SUBJECT TO A DULY APPROVED
    22  DEFERRED PAYMENT PLAN.
    23     (B)  AN APPLICANT FOR THE GRANT, RENEWAL OR TRANSFER OF ANY
    24  LICENSE ISSUED PURSUANT TO THIS ARTICLE SHALL, BY THE FILING OF
    25  AN APPLICATION INSOFAR AS IT RELATES TO THE BOARD, WAIVE ANY
    26  CONFIDENTIALITY WITH RESPECT TO STATE TAX INFORMATION REGARDING
    27  SAID APPLICANT IN THE POSSESSION OF THE DEPARTMENT OF REVENUE,
    28  THE OFFICE OF ATTORNEY GENERAL OR THE DEPARTMENT OF LABOR AND
    29  INDUSTRY, REGARDLESS OF THE SOURCE OF THAT INFORMATION AND SHALL
    30  CONSENT TO THE PROVIDING OF THAT INFORMATION TO THE BOARD BY THE
    19870H1000B1941                 - 166 -

     1  DEPARTMENT OF REVENUE, THE OFFICE OF ATTORNEY GENERAL OR THE
     2  DEPARTMENT OF LABOR AND INDUSTRY.
     3     (C)  UPON RECEIPT OF ANY APPLICATION FOR THE GRANT, RENEWAL
     4  OR TRANSFER OF ANY LICENSE ISSUED PURSUANT TO THIS ARTICLE, THE
     5  BOARD SHALL REVIEW THE STATE TAX STATUS OF THE APPLICANT. THE
     6  BOARD SHALL REQUEST STATE TAX INFORMATION REGARDING THE
     7  APPLICANT FROM THE DEPARTMENT OF REVENUE, THE OFFICE OF ATTORNEY
     8  GENERAL OR THE DEPARTMENT OF LABOR AND INDUSTRY AND SAID
     9  INFORMATION SHALL BE PROVIDED.
    10     (D)  THE BOARD SHALL NOT APPROVE ANY APPLICATION FOR THE
    11  GRANT, RENEWAL OR TRANSFER OF ANY LICENSE ISSUED PURSUANT TO
    12  THIS ARTICLE WHERE THE APPLICANT HAS FAILED TO:
    13     (1)  PROVIDE ANY OF THE INFORMATION REQUIRED BY SUBSECTION
    14  (A);
    15     (2)  FILE REQUIRED STATE TAX REPORTS; OR
    16     (3)  PAY ANY STATE TAXES NOT SUBJECT TO A TIMELY
    17  ADMINISTRATIVE OR JUDICIAL APPEAL OR SUBJECT TO A DULY
    18  AUTHORIZED DEFERRED PAYMENT PLAN.
    19     (E)  FOR THE PURPOSE OF THIS SECTION THE TERM "APPLICANT"
    20  SHALL INCLUDE THE TRANSFEROR AND TRANSFEREE OF ANY LICENSE
    21  ISSUED UNDER THIS ACT.
    22     Section 78.  Subheading (D) of Article IV of the act is
    23  reenacted to read:
    24                   (D)  Unlawful Acts; Penalties.
    25     Section 79.  Section 491 of the act, amended July 18, 1961
    26  (P.L.789, No.347), May 5, 1970 (P.L.342, No.110), October 11,
    27  1972 (P.L.906, No.215), October 2, 1974 (P.L.665, No.220),
    28  October 10, 1974 (P.L.692, No.231), December 12, 1980 (P.L.1195,
    29  No.221) and February 9, 1984 (P.L.21, No.8), is reenacted and
    30  amended to read:
    19870H1000B1941                 - 167 -

     1     Section 491.  Unlawful Acts Relative to Liquor, Alcohol and
     2  Liquor Licensees.--
     3     It shall be unlawful--
     4     (1)  Sales of Liquor. For any person, by himself or by an
     5  employe or agent, to expose or keep for sale, or directly or
     6  indirectly, or upon any pretense or upon any device, to sell or
     7  offer to sell any liquor within this Commonwealth, except in
     8  accordance with the provisions of this act and the regulations
     9  of the [board] commission. This clause shall not be construed to  <--
    10  prohibit hospitals, physicians, dentists or veterinarians who
    11  are licensed and registered under the laws of this Commonwealth
    12  from administering liquor in the regular course of their
    13  professional work and taking into account the cost of the liquor
    14  so administered in making charges for their professional
    15  service, or a pharmacist duly licensed and registered under the
    16  laws of this Commonwealth from dispensing liquor on a
    17  prescription of a duly licensed physician, dentist or
    18  veterinarian, or selling medical preparations containing
    19  alcohol, or using liquor in compounding prescriptions or
    20  medicines and making a charge for the liquor used in such
    21  medicines, or a manufacturing pharmacist or chemist from using
    22  liquor in manufacturing preparations unfit for beverage purposes
    23  and making a charge for the liquor so used. All such liquors so
    24  administered or sold by hospitals, physicians, dentists,
    25  veterinarians, pharmacists or chemists shall conform to the
    26  Pharmacopoeia of the United States, the National Formulary, or
    27  the American Homeopathic Pharmacopoeia. This clause shall not be
    28  construed to prohibit an executor or an administrator of a
    29  decedent's estate from selling privately or at public auction
    30  liquor which was an asset of the decedent. The [board]            <--
    19870H1000B1941                 - 168 -

     1  commission shall establish regulations to ensure that State
     2  taxes from the sales will be paid by the estate from the
     3  proceeds of the sale. The [board] commission may not prohibit a   <--
     4  sale of liquor for the reason that it was not lawfully acquired
     5  prior to January 1, 1934 or has not been purchased from a
     6  Pennsylvania Liquor Store or in compliance with Pennsylvania
     7  law.
     8     (2)  Possession or Transportation of Liquor or Alcohol. For
     9  any person, except a manufacturer or the [board] commission or    <--
    10  the holder of a sacramental wine license or of an importer's
    11  license, to possess or transport any liquor or alcohol within
    12  this Commonwealth which was not lawfully acquired prior to
    13  January first, one thousand nine hundred and thirty-four, or has
    14  not been purchased from a Pennsylvania Liquor Store or a
    15  licensed limited winery in Pennsylvania, except miniatures
    16  totalling less than one gallon purchased by a collector of the
    17  same in another state or foreign country, or in accordance with
    18  the [board's] commission's regulations. The burden shall be upon  <--
    19  the person possessing or transporting such liquor or alcohol to
    20  prove that it was so acquired. But nothing herein contained
    21  shall prohibit the manufacture or possession of wine by any
    22  person in his home for consumption of himself, his family and
    23  guests and not for sale, not exceeding, during any one calendar
    24  year, two hundred gallons, any other law to the contrary
    25  notwithstanding. Such wine shall not be manufactured, possessed,
    26  offered for sale or sold on any licensed premises.
    27     None of the provisions herein contained shall prohibit nor
    28  shall it be unlawful for any person to import into Pennsylvania,
    29  transport or have in his possession, an amount of liquor not
    30  exceeding one gallon in volume upon which a State tax has not
    19870H1000B1941                 - 169 -

     1  been paid, if it can be shown to the satisfaction of the [board]  <--
     2  commission that such person purchased the liquor in a foreign
     3  country or United States territory and was allowed to bring it
     4  into the United States. Neither shall the provisions contained
     5  herein prohibit nor make it unlawful for (i) any member of the
     6  armed forces on active duty, or (ii) any retired member of the
     7  armed forces, or (iii) any totally disabled veteran, or (iv) the
     8  spouse of any person included in the foregoing classes of
     9  persons to import into Pennsylvania, transport or have in his
    10  possession an amount of liquor not exceeding one gallon per
    11  month in volume upon which the State tax has not been paid, so
    12  long as such liquor has been lawfully purchased from a package
    13  store established and maintained under the authority of the
    14  United States and is in containers identified in accordance with
    15  regulations issued by the Department of Defense. Such liquor
    16  shall not be possessed, offered for sale or sold on any licensed
    17  premises.
    18     None of the provisions herein contained shall prohibit nor
    19  shall it be unlawful for any consul general, consul or other
    20  diplomatic officer of a foreign government to import into
    21  Pennsylvania, transport or have in his possession liquor upon
    22  which a State tax has not been paid, if it can be shown to the
    23  satisfaction of the [board] commission that such person acquired  <--
    24  the liquor in a foreign country and was allowed to bring it into
    25  the United States. Such liquor shall not be possessed, offered
    26  for sale or sold on any licensed premises.
    27     Any person violating the provisions of this clause for a
    28  first offense involving the possession or transportation in
    29  Pennsylvania of any liquor in a package (bottle or other
    30  receptacle) or wine not purchased from a Pennsylvania Liquor
    19870H1000B1941                 - 170 -

     1  Store or from a licensed limited winery in Pennsylvania, with
     2  respect to which satisfactory proof is produced that the
     3  required Federal tax has been paid and which was purchased,
     4  procured or acquired legally outside of Pennsylvania shall upon
     5  conviction thereof in a summary proceeding be sentenced to pay a
     6  fine of twenty-five dollars ($25) for each such package, plus
     7  costs of prosecution, or undergo imprisonment for a term not
     8  exceeding ninety (90) days. Each full quart or major fraction
     9  thereof shall be considered a separate package (bottle or other
    10  receptacle) for the purposes of this clause. Such packages of
    11  liquor shall be forfeited to the Commonwealth in the manner
    12  prescribed in Article VI of this act but the vehicle, boat,
    13  vessel, animal or aircraft used in the illegal transportation of
    14  such packages shall not be subject to forfeiture: Provided,
    15  however, That if it is a second or subsequent offense or if it
    16  is established that the illegal possession or transportation was
    17  in connection with a commercial transaction, then the other
    18  provisions of this act providing for prosecution as a
    19  misdemeanor and for the forfeiture of the vehicle, boat, vessel,
    20  animal or aircraft shall apply.
    21     (3)  Purchase of Liquor or Alcohol. For any person within
    22  this Commonwealth, by himself or by an employe or agent, to
    23  attempt to purchase, or directly or indirectly, or upon any
    24  pretense or device whatsoever, to purchase any liquor or alcohol
    25  from any person or source other than a Pennsylvania Liquor
    26  Store, except in accordance with the provisions of this act or
    27  the regulations of the [board] commission.                        <--
    28     (4)  Possession and Use of Decanters. For any person to use
    29  decanters of alcoholic beverages except that the use of
    30  decanters or other similar receptacles by licensees shall be
    19870H1000B1941                 - 171 -

     1  permitted in the case of wines and then only in accordance with
     2  the regulations of the [board] commission, but nothing herein     <--
     3  contained shall prohibit the manufacture and possession of wine
     4  as provided in clause (2) of this section.
     5     (5)  Failure to Break Empty Liquor Containers. For any
     6  restaurant, hotel or club licensee, his servants, agents or
     7  employes, to fail to break any package in which liquors were
     8  contained, except those decanter packages that the [board]        <--
     9  commission determines to be decorative, within twenty-four hours
    10  after the original contents were removed therefrom.
    11     (6)  Sales by Restaurant and Hotel Liquor Licensees. For any
    12  restaurant or hotel licensee, his servants, agents or employes,
    13  to sell any liquor or malt or brewed beverages for consumption
    14  on the licensed premises except in a room or rooms or place on
    15  the licensed premises at all times accessible to the use and
    16  accommodation of the general public, but this section shall not
    17  be interpreted to prohibit a restaurant liquor licensee from
    18  providing private affairs the primary function of which is for
    19  catering only to weddings or special occasions arranged twenty-
    20  four hours in advance, nor to prohibit a hotel licensee, or a
    21  restaurant licensee when the restaurant is located in a hotel,
    22  from selling liquor or malt or brewed beverages in any room of
    23  such hotel occupied by a bona fide guest or to prohibit a
    24  restaurant licensee from selling liquor or malt or brewed
    25  beverages in a bowling alley when no minors are present where
    26  the restaurant and bowling alley are immediately adjacent and
    27  under the same roof.
    28     (7)  Sales of Liquor by Manufacturers and Licensed Importers.
    29  For any manufacturer or licensed importer of liquor in this
    30  Commonwealth, his agents, servants or employes, to sell or offer
    19870H1000B1941                 - 172 -

     1  to sell any liquor in this Commonwealth except to the [board]     <--
     2  commission for use in Pennsylvania Liquor Stores, and in the
     3  case of a manufacturer, to the holder of a sacramental wine
     4  license or an importer's license, but a manufacturer or licensed
     5  importer may sell or offer to sell liquor to persons outside of
     6  this Commonwealth.
     7     (8)  Importation and Sales of Alcohol. For any person, to
     8  import alcohol into this Commonwealth, or to sell alcohol to any
     9  person, except in accordance with the regulations of the [board]  <--
    10  commission.
    11     (9)  Possession of Alcohol. For any person, to have alcohol
    12  in his possession, except in accordance with the provisions of
    13  this act and the regulations of the [board] commission.           <--
    14     (10)  Fortifying, Adulterating or Contaminating Liquor. For
    15  any licensee or any employe or agent of a licensee or of the
    16  [board] commission, to fortify, adulterate or contaminate any     <--
    17  liquor, except as permitted by the regulations of the [board]     <--
    18  commission, or to refill wholly or in part, with any liquid or
    19  substance whatsoever, any liquor bottle or other liquor
    20  container.
    21     (11)  Importation of Liquor. For any person, other than the
    22  [board] commission or the holder of a sacramental wine license    <--
    23  or of an importer's license, to import any liquor whatsoever
    24  into this Commonwealth, but this section shall not be construed
    25  to prohibit railroad and pullman companies from selling liquors
    26  purchased outside the Commonwealth in their dining, club and
    27  buffet cars which are covered by public service liquor licenses
    28  and which are operated in this Commonwealth.
    29     (12)  Delivery of Liquor by Certain Licensees. For a liquor
    30  licensee permitted to deliver liquor, to make any deliveries
    19870H1000B1941                 - 173 -

     1  except in his own vehicles bearing his name, address and license
     2  number on each side in letters not smaller than four inches in
     3  height, or in the vehicle of another person duly authorized to
     4  transport liquor within this Commonwealth.
     5     (13)  Violation of Certain Rules and Regulations of [Board]    <--
     6  Commission. For any person, to violate any rules and regulations
     7  adopted by the [board] commission to insure the equitable         <--
     8  wholesale and retail sale and distribution of liquor and alcohol
     9  through the Pennsylvania Liquor Stores.
    10     (14)  Offering Commission or Gift to Members of [Board]        <--
    11  Commission or State Employe. For any person selling or offering
    12  to sell liquor or alcohol to, or purchasing at wholesale liquor
    13  or alcohol from, the [board] commission, either directly or       <--
    14  indirectly, to pay or offer to pay any commission, profit or
    15  remuneration, or to make or offer to make any gift to any member
    16  or employe of the [board] commission or other employe of the      <--
    17  Commonwealth or to anyone on behalf of such member or employe.
    18     Section 80.  Section 492 of the act, amended July 3, 1957
    19  (P.L.475, No.268), June 22, 1980 (P.L.253, No.73) and June 24,
    20  1982 (P.L.624, No.176), is reenacted and amended to read:         <--
    21     Section 492.  Unlawful Acts Relative to Malt or Brewed
    22  Beverages and Licensees.--
    23     It shall be unlawful--
    24     (1)  Manufacturing Without License. For any person, to
    25  manufacture malt or brewed beverages, unless such person holds a
    26  valid manufacturer's license for such purpose issued by the
    27  [board] commission.                                               <--
    28     (2)  Sales of Malt or Brewed Beverages for Consumption on the
    29  Premises. For any person, to sell to another for consumption
    30  upon the premises where sold or to permit another to consume
    19870H1000B1941                 - 174 -

     1  upon the premises where sold, any malt or brewed beverages,
     2  unless such person holds a valid retail dispenser license or a
     3  valid liquor license issued by the [board] commission             <--
     4  authorizing the sale of malt or brewed beverages for consumption
     5  upon such premises.
     6     (3)  Sales of Malt or Brewed Beverages Not for Consumption on
     7  the Premises. For any person, to sell to another any malt or
     8  brewed beverages not for consumption upon the premises where
     9  sold, unless such person holds a valid license permitting such
    10  sale.
    11     (4)  Sunday Sales of Malt or Brewed Beverages by
    12  Manufacturers, Importing Distributors or Distributors. For any
    13  manufacturer of malt or brewed beverages, importing distributor
    14  or distributor, or the servants, agents or employes of the same,
    15  to sell, trade or barter in malt or brewed beverages between the
    16  hours of twelve o'clock midnight of any Saturday and two o'clock
    17  in the forenoon of the following Monday.
    18     (5)  Sales of Malt or Brewed Beverages by Hotels, Eating
    19  Places or Public Service Licensees During Prohibited Hours.--For
    20  any hotel or eating place holding a retail dispenser's license,
    21  or the servants, agents or employes of such licensees, to sell,
    22  trade or barter in malt or brewed beverages between the hours of
    23  two o'clock antemeridian Sunday and seven o'clock in the
    24  forenoon of the following Monday, or between the hours of two
    25  o'clock antemeridian and seven o'clock antemeridian of any week
    26  day: Provided, That notwithstanding any provision to the
    27  contrary, whenever the thirty-first day of December falls on a
    28  Sunday such sales of malt or brewed beverages may be made on
    29  such day after one o'clock postmeridian and until two o'clock
    30  antemeridian of the following day. For any public service
    19870H1000B1941                 - 175 -

     1  licensee authorized to sell malt or brewed beverages or the
     2  servants, agents or employes of such licensees to sell, trade or
     3  barter in malt or brewed beverages between the hours of two
     4  o'clock antemeridian and seven o'clock antemeridian on any day.
     5     Any licensee holding a retail dispenser license or a malt or
     6  brewed beverage public service license may, by giving notice to
     7  the [board] commission, advance by one hour the hours herein      <--
     8  prescribed as those during which malt or brewed beverages may be
     9  sold during such part of the year when daylight saving time is
    10  being observed generally in the municipality in which the place
    11  of business is located. Any licensee who elects to operate his
    12  place of business in accordance with daylight saving time shall
    13  post a conspicuous notice in his place of business that he is
    14  operating in accordance with daylight saving time.
    15     (6)  Sales of Malt or Brewed Beverages on Election Day by
    16  Hotels, Eating Places or Public Service Licensees. For any hotel
    17  or eating place holding a retail dispenser's license, or any
    18  malt or brewed beverage public service licensee, or his
    19  servants, agents or employes, to sell, furnish or give any malt
    20  or brewed beverages to any person after two o'clock
    21  antemeridian, or until one hour after the time fixed by law for
    22  the closing of polling places on days on which a general,
    23  municipal, special or primary election is being held except as
    24  permitted by subsection (f) of section 432.
    25     (7)  Clubs Selling Between Three O'Clock Antemeridian and
    26  Seven O'Clock Antemeridian. For any club retail dispenser, or
    27  its servants, agents or employes, to sell malt or brewed
    28  beverages between the hours of three o'clock antemeridian and
    29  seven o'clock antemeridian on any day.
    30     (8)  Transportation of Malt or Brewed Beverages. For any
    19870H1000B1941                 - 176 -

     1  person, to transport malt or brewed beverages except in the
     2  original containers, or to transport malt or brewed beverages
     3  for another who is engaged in selling either liquor or malt or
     4  brewed beverages, unless such person shall hold (a) a license to
     5  transport for hire, alcohol, liquor and malt or brewed
     6  beverages, as hereinafter provided in this act, or (b) shall
     7  hold a permit issued by the [board] commission and shall have     <--
     8  paid to the [board] commission such permit fee, not exceeding     <--
     9  one hundred dollars ($100), and shall have filed with the
    10  [board] commission a bond in the penal sum of not more than two   <--
    11  thousand dollars ($2000), as may be fixed by the rules and
    12  regulations of the [board] commission, any other law to the       <--
    13  contrary notwithstanding.
    14     (9)  Transportation of Malt or Brewed Beverages by Licensee.
    15  For a malt or brewed beverage licensee, to deliver or transport
    16  any malt or brewed beverages, excepting in vehicles bearing the
    17  name and address and license number of such licensee painted or
    18  affixed on each side of such vehicle in letters no smaller than
    19  four inches in height.
    20     (10)  Importing or Transporting Malt or Brewed Beverages
    21  Without Tax Stamps. For any person, to transport within or
    22  import any malt or brewed beverages into this Commonwealth,
    23  except in accordance with the rules and regulations of the
    24  [board] commission, or for any person to transport malt or        <--
    25  brewed beverages into or within this Commonwealth, unless there
    26  shall be affixed to the original containers in which such malt
    27  or brewed beverages are transported, stamps or crowns evidencing
    28  the payment of the malt liquor tax to the Commonwealth:
    29  Provided, however, That this clause shall not be construed to
    30  prohibit transportation of malt or brewed beverages through this
    19870H1000B1941                 - 177 -

     1  Commonwealth and not for delivery therein, if such transporting
     2  is done in accordance with the rules and regulations of the
     3  [board] commission.                                               <--
     4     (11)  Delivery of Malt or Brewed Beverages With Other
     5  Commodities. For any manufacturer, importing distributor or
     6  distributor, or his servants, agents or employes, except with
     7  [board] commission approval, to deliver or transport any malt or  <--
     8  brewed beverages in any vehicle in which any other commodity is
     9  being transported.
    10     (12)  Distributors and Importing Distributors Engaging in
    11  Other Business. For any distributor or importing distributor, or
    12  his servants, agents or employes, without the approval of the
    13  [board] commission, and then only in accordance with [board]      <--
    14  commission regulations, to engage in any other business
    15  whatsoever, except the business of distributing malt or brewed
    16  beverages.
    17     (13)  Possession or Storage of Liquor or Alcohol by Certain
    18  Licensees. For any distributor, importing distributor or retail
    19  dispenser, or his servants, agents or employes, to have in his
    20  possession, or to permit the storage of on the licensed premises
    21  or in any place contiguous or adjacent thereto accessible to the
    22  public or used in connection with the operation of the licensed
    23  premises, any alcohol or liquor.
    24     (14)  Malt or Brewed Beverage Licensees Dealing in Liquor or
    25  Alcohol. For any malt or brewed beverage licensee, other than a
    26  manufacturer, or the servants, agents or employes thereof, to
    27  manufacture, import, sell, transport, store, trade or barter in
    28  any liquor or alcohol.
    29     (15)  Selling to Persons Doing Illegal Business. For any malt
    30  or brewed beverage licensee, or his servants, agents or
    19870H1000B1941                 - 178 -

     1  employes, to knowingly sell any malt or brewed beverages to any
     2  person engaged in the business of illegally selling liquor or
     3  malt or brewed beverages.
     4     (16)  Distributors and Importing Distributors Failing to Keep
     5  Records. For any importing distributor or distributor engaged in
     6  the sale of products, other than malt or brewed beverages, to
     7  fail to keep such complete separate records covering in every
     8  respect his transactions in malt or brewed beverages as the
     9  [board] commission shall by regulation require.                   <--
    10     (17)  Fortifying, Adulterating or Contaminating Malt or
    11  Brewed Beverages. For any person, to fortify, adulterate,
    12  contaminate, or in any wise to change the character or purity
    13  of, the malt or brewed beverages from that as originally
    14  marketed by the manufacturer at the place of manufacture.
    15     (18)  Coercing Distributors and Importing Distributors. For
    16  any manufacturer or any officer, agent or representative of any
    17  manufacturer to coerce or persuade or attempt to coerce or
    18  persuade any person licensed to sell or distribute malt or
    19  brewed beverages at wholesale or retail to establish selling
    20  prices for its products or to enter into any contracts or
    21  agreements, whether written or oral, or take any action which
    22  will violate or tend to violate any provisions of this act or
    23  any of the rules or regulations promulgated by the [board]        <--
    24  commission pursuant thereto.
    25     (19)  Modifying or Terminating Distributing Rights Agreement.
    26  For any manufacturer or any officer, agent or representative of
    27  any manufacturer to modify, cancel, terminate, rescind or not
    28  renew, without good cause, any distributing rights agreement,
    29  and in no event shall any modification, cancellation,
    30  termination, rescission or nonrenewal of any distributing rights
    19870H1000B1941                 - 179 -

     1  agreement become effective for at least ninety (90) days after
     2  written notice of such modification, cancellation, termination,
     3  rescission or intention not to renew has been served on the
     4  affected party and [board] commission by certified mail, return   <--
     5  receipt requested, except by written consent of the parties to
     6  the agreement. The notice shall state all the reasons for the
     7  intended modification, termination, cancellation, rescission or
     8  nonrenewal. The distributor or importing distributor holding
     9  such agreement shall have ninety (90) days in which to rectify
    10  any claimed deficiency, or challenge the alleged cause.
    11     If the deficiency shall be rectified within ninety (90) days
    12  of notice, then the proposed modification, termination,
    13  cancellation, rescission or nonrenewal shall be null and void
    14  and without legal effect.
    15     If the notice states as one of the reasons for the intended
    16  modification, cancellation, termination, rescission or renewal
    17  that the importing distributor or distributor's equipment or
    18  warehouse requires major changes or additions, then if the
    19  distributor or importing distributor shall have taken some
    20  positive action to comply with the required changes or
    21  additions, the distributor or importing distributor shall have
    22  deemed to have complied with the deficiency as set forth in the
    23  notice. The notice provisions of this section shall not apply if
    24  the reason for termination, cancellation or nonrenewal is
    25  insolvency, assignment for the benefit of creditors, bankruptcy,
    26  liquidation, fraudulent conduct in its dealings with the
    27  manufacturer, revocation or suspension for more than a thirty
    28  (30) day period of the importing distributor or distributor
    29  license.
    30     (20)  Interference with Transfer of License, Business or
    19870H1000B1941                 - 180 -

     1  Franchise. (i) For any manufacturer to interfere with or prevent
     2  any distributor or importing distributor from selling or
     3  transferring his license, business or franchise, whether before
     4  or after notice of modification, cancellation, termination,
     5  rescission or nonrenewal has been given, provided the proposed
     6  purchaser of the business of the distributor or importing
     7  distributor meets the material qualifications and standards
     8  required of the manufacturers other distributors or importing
     9  distributors; (ii) if the proposed transfer of the distributor
    10  or importing distributor's business is to a surviving spouse or
    11  adult child, the manufacturer shall not, for any reason,
    12  interfere with, or prevent, the transfer of the distributor or
    13  importing distributor's license, business or franchise. Any
    14  subsequent transfer by surviving spouse or adult child shall
    15  thereafter be subject to the provisions of subclause (i) above.
    16     (21)  Inducing or Coercing Distributors or Importing
    17  Distributors to Accept Unordered Products or Commit Illegal
    18  Acts. For any manufacturer to compel or attempt to compel any
    19  distributor or importing distributor to accept delivery of any
    20  malt or brewed beverages or any other commodity which shall not
    21  have been ordered by the distributor or importing distributor,
    22  or to do any illegal act by any means whatsoever including, but
    23  not limited to, threatening to amend, cancel, terminate, rescind
    24  or refuse to renew any agreement existing between manufacturer
    25  and the distributor or importing distributor, or to require a
    26  distributor or importing distributor to assent to any condition,
    27  stipulation or provision limiting the distributor or importing
    28  distributor in his right to sell the products of any other
    29  manufacturer.
    30     Section 81.  Section 493 of the act, amended June 14, 1957
    19870H1000B1941                 - 181 -

     1  (P.L.322, No.170), June 15, 1961 (P.L.423, No.211), September
     2  25, 1967 (P.L.307, No.135), March 5, 1970 (P.L.137, No.55),
     3  August 1, 1975 (P.L.161, No.83), March 9, 1982 (P.L.174, No.55)
     4  and May 9, 1984 (P.L.246, No.54), is reenacted and amended to
     5  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     (1)  Furnishing Liquor or Malt or Brewed Beverages to Certain
    13  Persons. For any licensee or the [board] commission, or any       <--
    14  employe, servant or agent of such licensee or of the [board]      <--
    15  commission, or any other person, to sell, furnish or give any
    16  liquor or malt or brewed beverages, or to permit any liquor or
    17  malt or brewed beverages to be sold, furnished or given, to any
    18  person visibly intoxicated, or to any insane person, or to any
    19  minor, or to habitual drunkards, or persons of known intemperate
    20  habits.
    21     (2)  Purchase or Sale of Liquor or Malt or Brewed Beverages
    22  on Credit. For any licensee, his agent, servant or employe, to
    23  sell or offer to sell or purchase or receive any liquor or malt
    24  or brewed beverages except for cash, excepting credit extended
    25  by a hotel or club to a bona fide guest or member, or by
    26  railroad or pullman companies in dining, club or buffet cars to
    27  passengers, for consumption while enroute, holding authorized
    28  credit cards issued by railroad or railroad credit bureaus or by
    29  hotel, restaurant and public service licensees to customers
    30  holding credit cards issued in accordance with regulations of
    19870H1000B1941                 - 182 -

     1  the [board] commission or credit cards issued by banking          <--
     2  institutions subject to State or Federal regulation: Provided
     3  further, That nothing herein contained shall be construed to
     4  prohibit the use of checks or drafts drawn on a bank, banking
     5  institution, trust company or similar depository, organized and
     6  existing under the laws of the United States of America or the
     7  laws of any state, territory or possession thereof, in payment
     8  for any liquor or malt or brewed beverages if the purchaser is
     9  the payor of the check or draft and the licensee is the payee.
    10  No right of action shall exist to collect any claim for credit
    11  extended contrary to the provisions of this clause. Nothing
    12  herein contained shall prohibit a licensee from crediting to a
    13  purchaser the actual price charged for original containers
    14  returned by the original purchaser as a credit on any sale, or
    15  from refunding to any purchaser the amount paid by such
    16  purchaser for such containers or as a deposit on containers when
    17  title is retained by the vendor, if such original containers
    18  have been returned to the licensee. Nothing herein contained
    19  shall prohibit a manufacturer from extending usual and customary
    20  credit for liquor or malt or brewed beverages sold to customers
    21  or purchasers who live or maintain places of business outside of
    22  the Commonwealth of Pennsylvania, when the liquor or malt or
    23  brewed beverages so sold are actually transported and delivered
    24  to points outside of the Commonwealth: Provided, however, That
    25  as to all transactions affecting malt or brewed beverages to be
    26  resold or consumed within this Commonwealth, every licensee
    27  shall pay and shall require cash deposits on all returnable
    28  original containers and all such cash deposits shall be refunded
    29  upon return of the original containers.
    30     (3)  Exchange of Liquor or Malt or Brewed Beverages For
    19870H1000B1941                 - 183 -

     1  Merchandise, etc. For any licensee or the [board] commission, or  <--
     2  any employe, servant or agent of a licensee or of the [board]     <--
     3  commission, to sell, offer to sell or furnish any liquor or malt
     4  or brewed beverages to any person on a pass book or store order,
     5  or to receive from any person any goods, wares, merchandise or
     6  other articles in exchange for liquor or malt or brewed
     7  beverages.
     8     (4)  Peddling Liquor or Malt or Brewed Beverages. For any
     9  person, to hawk or peddle any liquor or malt or brewed beverages
    10  in this Commonwealth.
    11     (5)  Failure to Have Brands as Advertised. For any licensee,
    12  his servants, agents or employes, to advertise or hold out for
    13  sale any liquor or malt or brewed beverages by trade name or
    14  other designation which would indicate the manufacturer or place
    15  of production of the said liquor or malt or brewed beverages,
    16  unless he shall actually have on hand and for sale a sufficient
    17  quantity of the particular liquor or malt or brewed beverages so
    18  advertised to meet requirements to be normally expected as a
    19  result of such advertisement or offer.
    20     (6)  Brand or Trade Name on Spigot. For any licensee, his
    21  agents, servants or employes, to furnish or serve any malt or
    22  brewed beverages from any faucet, spigot or other dispensing
    23  apparatus, unless the trade name or brand of the product served
    24  shall appear in full sight of the customer and in legible
    25  lettering upon such faucet, spigot or dispensing apparatus.
    26     (7)  Alcoholic Strength on Label of Malt or Brewed Beverages.
    27  For any licensee, or his servants, agents or employes, to
    28  transport, sell, deliver or purchase any malt or brewed
    29  beverages upon which there shall appear a label or other
    30  informative data which in any manner refers to the alcoholic
    19870H1000B1941                 - 184 -

     1  contents of the malt or brewed beverage, or which refers in any
     2  manner to the original alcoholic strength, extract or balling
     3  proof from which such malt or brewed beverage was produced. This
     4  clause shall not be construed to prohibit a manufacturer from
     5  designating upon the label or descriptive data the alcoholic
     6  content of malt or brewed beverages intended for shipment into
     7  another state or territory, when the laws of such state or
     8  territory require that the alcoholic content of the malt or
     9  brewed beverage must be stated upon the package.
    10     (8)  Advertisements on Labels Giving Alcoholic Content of
    11  Malt or Brewed Beverages. For any manufacturer or other
    12  licensee, or his servants, agents or employes, to issue, publish
    13  or post, or cause to be issued, published or posted, any
    14  advertisement of any malt or brewed beverage including a label
    15  which shall refer in any manner to the alcoholic strength of the
    16  malt or brewed beverage manufactured, sold or distributed by
    17  such licensees, or to use in any advertisement or label such
    18  words as "full strength," "extra strength," "high test," "high
    19  proof," "pre-war strength," or similar words or phrases, which
    20  would lead or induce a consumer to purchase a brand of malt or
    21  brewed beverage on the basis of its alcoholic content, or to use
    22  in or on any advertisement or label any numeral, unless
    23  adequately explained in type of the same size, prominence and
    24  color, or for any licensee to purchase, transport, sell or
    25  distribute any malt or brewed beverage advertised or labeled
    26  contrary to the provisions of this clause.
    27     (9)  Retail Licensees Furnishing Free Lunch, etc. For any
    28  retail liquor licensee or any retail dispenser, his agents,
    29  servants or employes, to furnish, give or sell below a fair cost
    30  any lunch to any consumer, except such articles of food as the
    19870H1000B1941                 - 185 -

     1  [board] commission may authorize and approve.                     <--
     2     (10)  Entertainment on Licensed Premises (Except Clubs);
     3  Permits; Fees. For any licensee, his servants, agents or
     4  employes, except club licensees, to permit in any licensed
     5  premises or in any place operated in connection therewith,
     6  dancing, theatricals or floor shows of any sort, or moving
     7  pictures other than television, or such as are exhibited through
     8  machines operated by patrons by the deposit of coins, which
     9  project pictures on a screen not exceeding in size twenty-four
    10  by thirty inches and which forms part of the machine, unless the
    11  licensee shall first have obtained from the [board] commission a  <--
    12  special permit to provide such entertainment, or for any
    13  licensee, under any circumstances, to permit in any licensed
    14  premises any lewd, immoral or improper entertainment, regardless
    15  of whether a permit to provide entertainment has been obtained
    16  or not. The [board] commission shall have power to provide for    <--
    17  the issue of such special permits, and to collect a fee for such
    18  permits equal to one-fifth of the annual license fee but not
    19  less than twenty-five dollars ($25). All such fees shall be paid
    20  into The State Stores Fund. No such permit shall be issued in
    21  any municipality which, by ordinance, prohibits amusements in
    22  licensed places. Any violation of this clause shall, in addition
    23  to the penalty herein provided, subject the licensee to
    24  suspension or revocation of his permit and his license.
    25     (11)  Licensees Employed by Others. For any hotel, restaurant
    26  or club liquor licensee, or any malt or brewed beverage
    27  licensee, or any servant, agent or employe of such licensee, to
    28  be at the same time employed, directly or indirectly, by any
    29  other person engaged in the manufacture, sale, transportation or
    30  storage of liquor, malt or brewed beverages or alcohol:
    19870H1000B1941                 - 186 -

     1  Provided, That any person (except a licensee or the manager,
     2  officer or director of a licensee) who is employed by a retail
     3  licensee to prepare or serve food and beverages may be employed
     4  in the same capacity by another retail licensee during other
     5  hours or on other days.
     6     (12)  Failure to Have Records on Premises. For any liquor
     7  licensee, or any importing distributor, distributor or retail
     8  dispenser, to fail to keep on the licensed premises for a period
     9  of at least two years complete and truthful records covering the
    10  operation of his licensed business, particularly showing the
    11  date of all purchases of liquor and malt or brewed beverages,
    12  the actual price paid therefor, and the name of the vendor,
    13  including State Store receipts, or for any licensee, his
    14  servants, agents or employes, to refuse the [board] commission    <--
    15  or an authorized employe of the [board] commission or the         <--
    16  enforcement bureau access thereto or the opportunity to make
    17  copies of the same when the request is made during business
    18  hours.
    19     (13)  Retail Licensees Employing Minors. For any hotel,
    20  restaurant or club liquor licensee, or any retail dispenser, to
    21  employ or to permit any minor under the age of eighteen to serve
    22  any alcoholic beverages or to employ or permit any minor under
    23  the age of sixteen to render any service whatever in or about
    24  the licensed premises, nor shall any entertainer under the age
    25  of eighteen be employed or permitted to perform in any licensed
    26  premises in violation of the labor laws of this Commonwealth:
    27  Provided, That in accordance with [board] commission regulations  <--
    28  minors between the ages of sixteen and eighteen may be employed
    29  to serve food, clear tables and perform other similar duties,
    30  not to include the dispensing or serving of alcoholic beverages.
    19870H1000B1941                 - 187 -

     1     (14)  Permitting Undesirable Persons or Minors to Frequent
     2  Premises. For any hotel, restaurant or club liquor licensee, or
     3  any retail dispenser, his servants, agents or employes, to
     4  permit persons of ill repute, known criminals, prostitutes or
     5  minors to frequent his licensed premises or any premises
     6  operated in connection therewith, except minors accompanied by
     7  parents, guardians, or under proper supervision or except minors
     8  who frequent any restaurant or retail dispensing licensee whose
     9  sales of food and non-alcoholic beverages are equal to seventy
    10  per centum or more of the combined gross sales of both food and
    11  alcoholic beverages on the condition that alcoholic beverages
    12  may not be served at the table or booth at which the said minor
    13  is seated at the time (unless said minor is under proper
    14  supervision as hereinafter defined) and on the further condition
    15  that only table service of alcoholic beverages or take-out
    16  service of beer shall be permitted in the room wherein the minor
    17  is located: Provided, however, That it shall not be unlawful for
    18  any hotel, restaurant or club liquor licensee or any retail
    19  dispenser to permit minors under proper supervision upon the
    20  licensed premises or any premises operated in connection
    21  therewith for the purpose of a social gathering, even if such
    22  gathering is exclusively for minors: And provided further, That
    23  no liquor shall be sold, furnished or given to such minors nor
    24  shall the licensee knowingly permit any liquor or malt or brewed
    25  beverages to be sold, furnished or given to or be consumed by
    26  any minor, and the area of such gathering shall be segregated
    27  from the remainder of the licensed premises. In the event the
    28  area of such gathering cannot be segregated from the remainder
    29  of the licensed premises, all alcoholic beverages must be either
    30  removed from the licensed premises or placed under lock and key
    19870H1000B1941                 - 188 -

     1  during the time the gathering is taking place. Notice of such
     2  gathering shall be given the [Liquor Control Board] commission    <--
     3  BOARD as it may, by regulation, require. Any licensee violating   <--
     4  the provisions of this clause shall be subject to the provisions
     5  of section 471.
     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 minors or part thereof who is directly
    10  responsible for the care and conduct of such minor or minors
    11  while on the licensed premises and in such proximity that the
    12  minor or minors are constantly within his sight or hearing. The
    13  presence of the licensee or any employe or security officer of
    14  the licensee shall not constitute proper supervision.
    15     (15)  Cashing Pay Roll, Public Assistance, Unemployment
    16  Compensation or Any Other Relief Checks. For any licensee or his
    17  servants, agents or employes to cash pay roll checks or to cash,
    18  receive, handle or negotiate in any way Public Assistance,
    19  Unemployment Compensation or any other relief checks.
    20     (16)  Furnishing or Delivering Liquor or Malt or Brewed
    21  Beverages at Unlawful Hours. For any licensee, his servants,
    22  agents or employes, to give, furnish, trade, barter, serve or
    23  deliver any liquor or malt or brewed beverages to any person
    24  during hours or on days when the licensee is prohibited by this
    25  act from selling liquor or malt or brewed beverages.
    26     (17)  Licensees, etc., Interested or Employed in
    27  Manufacturing or Sale of Equipment or Fixtures. For any
    28  licensee, or any officer, director, stockholder, servant, agent
    29  or employe of any licensee, to own any interest, directly or
    30  indirectly, in or be employed or engaged in any business which
    19870H1000B1941                 - 189 -

     1  involves the manufacture or sale of any equipment, furnishings
     2  or fixtures to any hotel, restaurant or club licensees, or to
     3  any importing distributors, distributors or retail dispensers:
     4  Provided, however, That as to malt or brewed beverage licensees,
     5  the provisions of this subsection shall not apply to such a
     6  conflicting interest if it has existed for a period of not less
     7  than three years prior to the first day of January, one thousand
     8  nine hundred thirty-seven, and the [board] commission shall       <--
     9  approve.
    10     (18)  Displaying Price of Liquor or Malt or Brewed Beverages.
    11  For any restaurant, hotel or club liquor licensee, or any
    12  importing distributor, distributor or retail dispenser, or the
    13  servants, agents or employes of such licensees, to display on
    14  the outside of any licensed premises or to display any place
    15  within the licensed premises where it can be seen from the
    16  outside, any advertisement whatsoever referring, directly or
    17  indirectly, to the price at which the licensee will sell liquor
    18  or malt or brewed beverages.
    19     (19)  Licensee's Outside Advertisements. For any retail
    20  liquor licensee or any retail dispenser, distributor or
    21  importing distributor, to display in any manner whatsoever on
    22  the outside of his licensed premises, or on any lot of ground on
    23  which the licensed premises are situate, or on any building of
    24  which the licensed premises are a part, a sign of any kind,
    25  printed, painted or electric, advertising any brand of liquor or
    26  malt or brewed beverage, and it shall be likewise unlawful for
    27  any manufacturer, distributor or importing distributor, to
    28  permit the display of any sign which advertises either his
    29  products or himself on any lot of ground on which such licensed
    30  premises are situate, or on any building of which such licensed
    19870H1000B1941                 - 190 -

     1  premises are a part.
     2     (20)  (i)  Retail Liquor and Retail Malt or Brewed Beverages
     3  Licensee's Inside Advertisements. For any retail liquor or
     4  retail malt or brewed beverages licensee, to display or permit
     5  the display in the show window or doorways of his licensed
     6  premises, any placard or sign advertising the brands of liquor
     7  or malt or brewed beverages produced by any one manufacturer, if
     8  the total display area of any such placard or sign advertising
     9  the products of any one manufacturer exceeds three hundred
    10  square inches. Nothing herein shall prohibit a licensee from
    11  displaying inside his licensed premises point of sale displays
    12  advertising brand names of products sold by him, other than a
    13  window or door display: Provided, That the total cost of all
    14  such point of sale advertising matter relating to any one brand
    15  of any one manufacturer shall not exceed the sum of seventy
    16  dollars ($70) at any one time, and no single piece of
    17  advertising shall exceed a cost of thirty-five dollars ($35).
    18  All such advertising material, including the window and door
    19  signs, may be furnished by a manufacturer, distributor or
    20  importing distributor. The restrictions on advertising set forth
    21  in subclause (ii) and in clauses (20.1) and (20.2) shall also
    22  apply to this subclause.
    23     (ii)  Cooperative Advertising. No distributor or importing
    24  distributor, directly or indirectly, independent or otherwise,
    25  shall, except by prior written agreement, be required to
    26  participate with a manufacturer in the purchase of any
    27  advertising of a brand name product in any name, in any form,
    28  whether it be radio, television, newspaper, magazine or
    29  otherwise.
    30     (20.1)  Manufacturer Shall Not Require Advertising. For a
    19870H1000B1941                 - 191 -

     1  manufacturer to require a distributor or importing distributor
     2  to purchase any type of advertising.
     3     (20.2)  Advertising Shall Be Ordered and Authorized in
     4  Advance. For any advertising to be done on behalf of a
     5  distributor or importing distributor which was not ordered and
     6  authorized in advance by the distributor or importing
     7  distributor.
     8     (21)  Refusing The Right of Inspection. For any licensee, or
     9  his servants, agents or employes, to refuse the [board]           <--
    10  commission or the enforcement bureau or any of [its] their
    11  authorized employes the right to inspect completely the entire
    12  licensed premises at any time during which the premises are open
    13  for the transaction of business, or when patrons, guests or
    14  members are in that portion of the licensed premises wherein
    15  either liquor or malt or brewed beverages are sold.
    16     (22)  Allowance or Rebate to Induce Purchases. For any
    17  licensee, or his servants, agents or employes, to offer, pay,
    18  make or allow, or for any licensee, or his servants, agents or
    19  employes, to solicit or receive any allowance or rebate, refunds
    20  or concessions, whether in the form of money or otherwise, to
    21  induce directly the purchase of liquor or malt or brewed
    22  beverages.
    23     (23)  Money or Valuables Given to Employes to Influence
    24  Actions of Their Employers. For any licensee, or any agent,
    25  employe or representative of any licensee, to give or permit to
    26  be given, directly or indirectly, money or anything of
    27  substantial value, in an effort to induce agents, employes or
    28  representatives of customers or prospective customers to
    29  influence their employer or principal to purchase or contract to
    30  purchase liquor or malt or brewed beverages from the donor of
    19870H1000B1941                 - 192 -

     1  such gift, or to influence such employers or principals to
     2  refrain from dealing or contracting to deal with other
     3  licensees.
     4     (24)  Things of Value Offered as Inducement. For any licensee
     5  under the provisions of this article, or the [board] commission   <--
     6  or any manufacturer, or any employe or agent of a manufacturer,
     7  licensee or of the [board] commission, to offer to give anything  <--
     8  of value or to solicit or receive anything of value as a premium
     9  for the return of caps, stoppers, corks, stamps or labels taken
    10  from any bottle, case, barrel or package containing liquor or
    11  malt or brewed beverage, or to offer or give or solicit or
    12  receive anything of value as a premium or present to induce
    13  directly the purchase of liquor or malt or brewed beverage, or
    14  for any licensee, manufacturer or other person to offer or give
    15  to trade or consumer buyers any prize, premium, gift or other
    16  inducement to purchase liquor or malt or brewed beverages,
    17  except advertising novelties of nominal value which the [board]   <--
    18  commission shall define[: Provided, however, That this]. This
    19  section shall not prevent any manufacturer or any agent of a
    20  manufacturer from offering ONLY ON LICENSED PREMISES and          <--
    21  honoring coupons which offer monetary rebates on purchases of
    22  wines and spirits through State Liquor Stores AND PURCHASES OF    <--
    23  MALT OR BREWED BEVERAGES in accordance with conditions or
    24  regulations established by the commission BOARD. Further, no      <--
    25  manufacturer or any agent of a manufacturer shall honor any
    26  coupons without proof of purchase in the form of a sales slip or
    27  receipt attached to the coupons. This section shall not apply to
    28  the return of any monies specifically deposited for the return
    29  of the original container to the owners thereof.
    30     (25)  Employment [of Females] in Licensed Places. For any      <--
    19870H1000B1941                 - 193 -

     1  licensee or his agent, to employ or permit the employment of any
     2  [female] PERSON at his licensed hotel, restaurant or eating       <--
     3  place for the purpose of enticing customers, or to encourage
     4  them to drink liquor, or make assignations for improper
     5  purposes[: Provided, That nothing in this section shall be        <--
     6  construed to prevent the employment of any female waitress who
     7  regularly takes orders for food from serving food, liquor or
     8  malt or brewed beverages at tables; also, that nothing shall
     9  prevent any such licensees from employing any female
    10  stenographer, hotel secretary, clerk or other employe for their
    11  respective positions: Provided further, That nothing in this
    12  section shall be so construed as to prevent the wife of any such
    13  licensee or agent or any employed female from mixing or serving
    14  liquor or malt or brewed beverages behind the bar of any such
    15  licensed place].                                                  <--
    16     Any person violating the provisions of this clause shall be
    17  guilty of a misdemeanor and, upon conviction of the same, shall
    18  be sentenced to pay a fine of not less than one hundred dollars
    19  ($100), nor more than five hundred dollars ($500), for each and
    20  every [female] PERSON so employed, or undergo an imprisonment of  <--
    21  not less than three (3) months, nor more than one (1) year, or
    22  either or both, at the discretion of the court having
    23  jurisdiction of the case. The [board] administrative law judge
    24  shall have the power to revoke or refuse licenses for violation
    25  of this clause.
    26     (26)  Worthless Checks. For any retail liquor licensee or any
    27  retail dispenser, distributor or importing distributor, to make,
    28  draw, utter, issue or deliver, or cause to be made, drawn,
    29  uttered, issued or delivered, any check, draft or similar order,
    30  for the payment of money in payment for any purchase of malt or
    19870H1000B1941                 - 194 -

     1  brewed beverages, when such retail liquor licensee, retail
     2  dispenser, distributor or importing distributor, has not
     3  sufficient funds in, or credit with, such bank, banking
     4  institution, trust company or other depository, for the payment
     5  of such check. Any person who is a licensee under the provisions
     6  of this article, who shall receive in payment for malt or brewed
     7  beverages sold by him any check, draft or similar order for the
     8  payment of money, which is subsequently dishonored by the bank,
     9  banking institution, trust company or other depository, upon
    10  which drawn, for any reason whatsoever, shall, within five days
    11  of receipt of notice of such dishonor, notify by certified mail
    12  the person who presented the said worthless check, draft or
    13  similar order.
    14     (27)  Distributors and Importing Distributors Employing
    15  Minors. For any distributor or importing distributor to employ
    16  minors under the age of eighteen but persons eighteen and over
    17  may be employed to sell and deliver malt and brewed beverages.
    18     Section 82.  Section 494 of the act, amended May 25, 1956
    19  (1955 P.L.1743, No.583), is reenacted and amended to read:
    20     Section 494.  Penalties.--(a)  Any person who shall violate
    21  any of the provisions of this article, except as otherwise
    22  specifically provided, shall be guilty of a misdemeanor and,
    23  upon conviction thereof, shall be sentenced to pay a fine of not
    24  less than one hundred dollars ($100), nor more than five hundred
    25  dollars ($500), and on failure to pay such fine, to imprisonment
    26  for not less than one month, nor more than three months, and for
    27  any subsequent offense, shall be sentenced to pay a fine not
    28  less than three hundred dollars ($300), nor more than five
    29  hundred dollars ($500), and to undergo imprisonment for a period
    30  not less than three months, nor more than one year, OR BOTH. IF   <--
    19870H1000B1941                 - 195 -

     1  THE PERSON, AT OR RELATING TO THE LICENSED PREMISES, VIOLATES
     2  SECTION 493(1), (10), (14), (16) OR (21), OR IF THE OWNER OR
     3  OPERATOR OF THE LICENSED PREMISES OR ANY AUTHORIZED AGENT OF THE
     4  OWNER OR OPERATOR VIOLATES THE ACT OF APRIL 14, 1972 (P.L.233,
     5  NO.64), KNOWN AS "THE CONTROLLED SUBSTANCE, DRUG, DEVICE AND
     6  COSMETIC ACT," OR 18 PA.C.S. § 5902 (RELATING TO PROSTITUTION
     7  AND RELATED OFFENSES) OR 6301 (RELATING TO CORRUPTION OF
     8  MINORS), HE SHALL BE SENTENCED TO PAY A FINE NOT EXCEEDING FIVE
     9  THOUSAND DOLLARS ($5,000) OR TO UNDERGO IMPRISONMENT FOR A
    10  PERIOD NOT LESS THAN THREE MONTHS, NOR MORE THAN ONE YEAR, OR
    11  BOTH.
    12     (b)  The right [of the board] to suspend and revoke licenses
    13  granted under this article shall be in addition to the penalty
    14  set forth in this section.
    15     Section 83.  Section 495 of the act, amended June 22, 1980
    16  (P.L.262, No.76), is reenacted and amended to read:
    17     Section 495.  Identification Cards; Licensees and State
    18  Liquor Store Employes Saved From Prosecution.--[(a)  The board
    19  shall issue, to any person who shall have attained the age of
    20  twenty-one years, an identification card bearing said person's
    21  date of birth, physical description, photograph, signature, and
    22  such other information, as the board by regulation may
    23  determine, attesting to the age of the applicant, upon
    24  application therefor by said person, filed no earlier than
    25  fifteen days prior to attaining the age of twenty-one. Such
    26  cards shall be numbered and a record thereof maintained by the
    27  board for a period of five years. The board may, in its
    28  discretion, impose a charge for such cards in an amount to be
    29  determined by it, and it may, upon proof of loss of such
    30  identification card by and upon application of anyone to whom
    19870H1000B1941                 - 196 -

     1  such card may have been issued, issue a duplicate thereof and
     2  impose a charge therefor in an amount as it may by regulation
     3  prescribe. The board shall have the power to make such
     4  regulations as it shall, from time to time, deem proper
     5  regarding the size, style and additional content of the
     6  identification card, the form and content of any application
     7  therefor, the type, style and quantity of proof required to
     8  verify the applicant's age, the procedure for receiving and
     9  processing such application, the distribution of said card, the
    10  charge to be imposed for any card more than one that it shall
    11  issue to the same applicant, and all other matters the board
    12  shall deem necessary or advisable for the purpose of carrying
    13  into effect the provisions of this section.
    14     (a.1)] (a)  The photo driver's license or identification card
    15  issued by the Department of Transportation shall, for the
    16  purpose of this act, be accepted as an identification card.
    17     [(a.2)  For the purposes of this section, the term
    18  identification card means a card which complies with either
    19  subsection (a) or (a.1).]
    20     (b)  Such identification card shall be presented by the
    21  holder thereof upon request of any State Liquor Store or any
    22  licensee, or the servant, agent or employe thereof, for the
    23  purpose of aiding such store, licensee, or the servant, agent or
    24  employe to determine whether or not such person is twenty-one
    25  years of age and upwards, when such person desires alcoholic
    26  beverage at a State Liquor Store or licensed establishment.
    27     (c)  In addition to the presentation of such identification
    28  card, the agent of the State Liquor Store or the licensee, or
    29  his servant, agent or employe, shall require the person whose
    30  age may be in question to fill in and sign a card in the
    19870H1000B1941                 - 197 -

     1  following form:
     2                               ............................ 19
     3     I,........................................., hereby represent
     4  to ..........................................., a State Store or
     5  licensee of the [Pennsylvania Liquor Control Board] Alcohol       <--
     6  Beverages Commission BOARD, that I am of full age and discretion  <--
     7  and over the age of 21 years, having been born on
     8  ....................... 19..... at ..........................
     9  This statement is made to induce said store or licensee above
    10  named to sell or otherwise furnish alcoholic beverages to the
    11  undersigned.
    12  Serial Number of Identification Card:
    13     I understand that I am subject to a fine of
    14  $300.00 and sixty days imprisonment for any
    15  misrepresentation herein.
    16                                                ..................
    17                                                     (Name)
    18                                                ..................
    19                                                    (Address)
    20  Witness:
    21  Name............................
    22  Address.........................
    23     Such statement shall be printed upon a 3 inch by 5 inch or 4
    24  inch by 5 inch file card, which card shall be filed
    25  alphabetically by the State Liquor Store or licensee, at or
    26  before the close of business on the day of which said
    27  certificate is executed, in a file box containing a suitable
    28  alphabetical index, and which card shall be subject to
    29  examination by any officer, agent or employe of the [Liquor
    30  Control Board] commission BOARD at any and all times.             <--
    19870H1000B1941                 - 198 -

     1     (d)  It shall be unlawful for the owner of an identification
     2  card, as defined by this act, to transfer said card to any other
     3  person for the purpose of aiding such person to secure alcoholic
     4  beverage. Any person who shall transfer such identification card
     5  for the purpose of aiding such transferee to obtain alcoholic
     6  beverage shall be guilty of a misdemeanor and, upon conviction
     7  thereof, shall be sentenced to pay a fine of not more than three
     8  hundred dollars ($300), or undergo imprisonment for not more
     9  than sixty (60) days. Any person not entitled thereto who shall
    10  have unlawfully procured or have issued or transferred to him,
    11  as aforesaid, identification card or any person who shall make
    12  any false statement on any card required by subsection (c)
    13  hereof to be signed by him shall be guilty of a misdemeanor and,
    14  upon conviction thereof, shall be sentenced to pay a fine of not
    15  more than three hundred dollars ($300), or undergo imprisonment
    16  for not more than sixty (60) days.
    17     (e)  The signed statement in the possession of a licensee or
    18  an employe of a State Liquor Store may be offered as a defense
    19  in all civil and criminal prosecutions for serving a minor, and
    20  no penalty shall be imposed if the [Liquor Control Board]
    21  commission BOARD or the courts are satisfied that the licensee    <--
    22  or State Liquor Store employe acted in good faith.
    23     Section 84.  Section 496 of the act, added June 15, 1961
    24  (P.L.423, No.211), is reenacted and amended to read:              <--
    25     Section 496.  Reporting of Worthless Checks.--Any person who
    26  is a licensee under the provisions of this article, who shall
    27  receive in payment for malt or brewed beverages sold by him any
    28  check, draft or similar order, for the payment of money, which
    29  is subsequently dishonored by the bank, banking institution,
    30  trust company or other depository, upon which drawn, for any
    19870H1000B1941                 - 199 -

     1  reason whatsoever, shall, within twenty days of receipt of
     2  notice of such dishonor, notify the [board] commission thereof.   <--
     3  Such notification to the [board] commission shall be in such      <--
     4  manner and form as the [board] commission shall direct.           <--
     5     Section 85.  Section 497 of the act, added December 22, 1965
     6  (P.L.1144, No.441), is reenacted to read:
     7     Section 497.  Liability of Licensees.--No licensee shall be
     8  liable to third persons on account of damages inflicted upon
     9  them off of the licensed premises by customers of the licensee
    10  unless the customer who inflicts the damages was sold, furnished
    11  or given liquor or malt or brewed beverages by the said licensee
    12  or his agent, servant or employe when the said customer was
    13  visibly intoxicated.
    14     Section 86.  The act is amended by adding a section to read:   <--
    15     Section 498.  Unlawful Advertising.--(a)  No manufacturer,
    16  wholesaler or shipper whether from outside or inside this
    17  Commonwealth and no licensee under this act shall cause or
    18  permit the advertising in any manner whatsoever of the price of
    19  any malt beverage, cordial, wine or distilled liquor offered for
    20  sale in this Commonwealth: Provided, however, That the
    21  provisions of this section shall not apply to price signs or
    22  tags attached to or placed on merchandise for sale within the
    23  licensed premises in accordance with rules and regulations of
    24  the commission.
    25     (b)  No newspaper, periodical, radio or television
    26  broadcaster or broadcasting company or any other person, firm or
    27  corporation with a principal place of business in this
    28  Commonwealth which is engaged in the business of advertising or
    29  selling advertising time or space shall accept, publish or
    30  broadcast any advertisement in this Commonwealth of the price or
    19870H1000B1941                 - 200 -

     1  make reference to the price of any alcoholic beverages.
     2     (c)  Any person who shall violate any of the provisions of
     3  this section shall be guilty of a misdemeanor and upon
     4  conviction shall be punished for the first offense by a fine in
     5  the sum of fifty dollars ($50) and for each additional offense
     6  thereafter by a fine not exceeding the sum of one hundred
     7  dollars ($100). Publication or broadcast by any person in
     8  violation of the provisions of this section shall also be
     9  subject to injunctive proceedings in a court of competent
    10  jurisdiction on a complaint brought by a retail licensee or an
    11  association of retail licensees.
    12     (d)  The provisions of this section shall not apply to any
    13  trade journal which is duly recognized and authorized to be
    14  exempt from the provisions of this section by the commission.
    15     SECTION 86.  THE ACT IS AMENDED BY ADDING A SECTION TO READ:   <--
    16     SECTION 498.  UNLAWFUL ADVERTISING.--(A)  NO MANUFACTURER,
    17  WHOLESALER, RETAILER OR SHIPPER WHETHER FROM OUTSIDE OR INSIDE
    18  THIS COMMONWEALTH AND NO LICENSEE UNDER THIS ACT SHALL CAUSE OR
    19  PERMIT THE ADVERTISING IN ANY MANNER WHATSOEVER OF THE PRICE OF
    20  ANY MALT BEVERAGE, CORDIAL, WINE OR DISTILLED LIQUOR OFFERED FOR
    21  SALE IN THIS COMMONWEALTH: PROVIDED, HOWEVER, THAT THE
    22  PROVISIONS OF THIS SECTION SHALL NOT APPLY TO PRICE SIGNS OR
    23  TAGS ATTACHED TO OR PLACED ON MERCHANDISE FOR SALE WITHIN THE
    24  LICENSED PREMISES IN ACCORDANCE WITH RULES AND REGULATIONS OF
    25  THE BOARD.
    26     (B)  ANY PERSON WHO VIOLATES ANY OF THE PROVISIONS OF THIS
    27  SECTION COMMITS A MISDEMEANOR AND SHALL, UPON CONVICTION, BE
    28  SENTENCED TO PAY A FINE OF FIFTY DOLLARS ($50) FOR THE FIRST
    29  OFFENSE AND FOR EACH ADDITIONAL OFFENSE THEREAFTER SHALL BE
    30  SENTENCED TO PAY A FINE OF ONE HUNDRED DOLLARS ($100).
    19870H1000B1941                 - 201 -

     1  PUBLICATION OR BROADCAST BY ANY PERSON IN VIOLATION OF THE
     2  PROVISIONS OF THIS SECTION SHALL ALSO BE SUBJECT TO INJUNCTIVE
     3  PROCEEDINGS IN A COURT OF COMPETENT JURISDICTION ON A COMPLAINT
     4  BROUGHT BY A RETAIL LICENSEE OR AN ASSOCIATION OF RETAIL
     5  LICENSEES.
     6     (C)  THE PROVISIONS OF THIS SECTION SHALL NOT APPLY TO ANY
     7  TRADE JOURNAL WHICH IS DULY RECOGNIZED AND AUTHORIZED TO BE
     8  EXEMPT FROM THE PROVISIONS OF THIS SECTION BY THE BOARD.
     9     Section 87.  The heading of Article V of the act is reenacted
    10  to read:
    11                             ARTICLE V.
    12             DISTILLERIES, WINERIES, BONDED WAREHOUSES,
    13            BAILEES FOR HIRE AND TRANSPORTERS FOR HIRE.
    14     Section 88.  Section 501 of the act is reenacted to read:
    15     Section 501.  License Required.--Except as otherwise provided
    16  in this article, and except as otherwise provided in article
    17  four as to malt and brewed beverages, it shall be unlawful for
    18  any person without a license obtained under provisions of this
    19  article to hold in storage as bailee for hire, or transport for
    20  hire, any malt or brewed beverage, or to manufacture, produce,
    21  distill, develop or use in the process of manufacture, denature,
    22  redistill, recover, rectify, blend, reuse, hold in bond, hold in
    23  storage as bailee for hire, or transport for hire, within this
    24  Commonwealth, any alcohol or liquor, except that a person may
    25  manufacture wine out of grapes grown in Pennsylvania by
    26  fermentation only and with no alcohol or alcoholic product added
    27  thereto by way of fortification and sell the same to a licensed
    28  winery.
    29     Section 89.  Section 502 of the act is reenacted and amended
    30  to read:
    19870H1000B1941                 - 202 -

     1     Section 502.  Exemptions.--No license hereunder shall be
     2  required from any registered pharmacist; or a physician licensed
     3  by the State Board of [Medical Education and Licensure]
     4  Medicine; or any person who makes and sells vinegar,
     5  nonalcoholic cider and fruit juices; or any person who
     6  manufactures, stores, sells or transports methanol, propanol,
     7  butanol and amanol; or any person who conducts a wholesale drug
     8  business; or any person who manufactures alcoholic preparations
     9  not fit for use as a beverage, other than denatured alcohol or
    10  for beverage purposes; any person engaged in the manufacture;
    11  possession or sale of patent, patented or proprietary medicines,
    12  toilet, medicinal or antiseptic preparations unfit for beverage
    13  purposes, or solutions or flavoring extracts or syrups unfit for
    14  beverage purposes; or any person who manufactures or sells
    15  paints, varnishes, enamels, lacquers, stains or paint, or
    16  varnish removing or reducing compounds, or wood fillers; or any
    17  person who manufactures any substance where the alcohol or any
    18  liquor is changed into other chemical substances and does not
    19  appear in the finished product as alcohol or liquor; or any
    20  common carrier by railroad which is subject to regulation by the
    21  Pennsylvania Public Utility Commission of the Commonwealth of
    22  Pennsylvania, or scheduled common carriers by air of mail and
    23  passengers; or any person who sells, stores or transports
    24  alcohol or liquor completely denatured, as specified by the
    25  [board] commission.                                               <--
    26     Section 90.  Section 502.1 of the act, added December 14,
    27  1979 (P.L.565, No.129), is reenacted and amended to read:         <--
    28     Section 502.1.  Production of Denatured Ethyl Alcohol.--(a)
    29  Notwithstanding any other provisions of this act, a person may
    30  upon payment of an annual registration fee of twenty-five
    19870H1000B1941                 - 203 -

     1  dollars ($25) and without the necessity of having to post a
     2  bond, manufacture or distill, hold in storage and use denatured
     3  ethyl alcohol for the purpose of providing fuel for personal or
     4  business vehicles or machinery.
     5     (b)  No denatured ethyl alcohol produced under the provisions
     6  of this section may be sold or utilized by any person other than
     7  the producer.
     8     (c)  Each licensee shall file annually with the [board]        <--
     9  commission accurate records of the monthly production and
    10  utilization of denatured ethyl alcohol fuel. The [board]          <--
    11  commission shall prescribe the form to be used for this report.
    12     (d)  Any violation of this section shall be subject to the
    13  penalties set forth in section 519.
    14     Section 91.  Section 503 of the act is reenacted to read:
    15     Section 503.  Qualifications for License.--No license shall
    16  be issued under the provisions of this article to any person
    17  unless (a) in case of individuals, he or she is a citizen of the
    18  United States of America, (b) in case of companies or
    19  unincorporated associations of individuals, each and every one
    20  is a citizen of the United States of America, (c) in case of
    21  corporations, each and every stockholder thereof is a citizen of
    22  the United States of America.
    23     Section 92.  Section 504 of the act, amended September 28,
    24  1961 (P.L.1728, No.702), is reenacted and amended to read:
    25     Section 504.  Applications; Filing Fees.--(a)  Every
    26  applicant for a license under this article shall file with the
    27  [board] commission a written application in such form as the      <--
    28  [board] commission shall from time to time require. Every such    <--
    29  application shall be accompanied by a filing fee of twenty
    30  dollars ($20), the prescribed license fee and the bond
    19870H1000B1941                 - 204 -

     1  hereinafter specified, and shall set forth:
     2     [1.] (1)  The legal names of the applicant and of the owner
     3  of the place where business under the license will be carried
     4  on, with their residence addresses by street and number, if a
     5  partnership, of each separate partner, and if a corporation, of
     6  each individual officer thereof.
     7     [2.] (2)  The exact location of said place of business and of
     8  every place to be occupied or used in connection with such
     9  business, the productive capacity of each plant where any
    10  alcohol or liquor is to be manufactured, produced, distilled,
    11  rectified, blended, developed or used in the process of
    12  manufacture, denatured, redistilled, recovered, reused, the
    13  capacity of every warehouse or other place where such alcohol or
    14  liquor or malt or brewed beverage is to be held in bond or
    15  stored for hire, or the equipment to be used where a
    16  transportation business is to be carried on under the license.
    17     [3.] (3)  That each and every one of the applicants is a
    18  citizen of the United States of America.
    19     [4.] (4)  Such other relevant information as the [board]       <--
    20  commission shall from time to time require by rule or
    21  regulation.
    22     (b)  Each application must be verified by affidavit of the
    23  applicant made before any officer legally qualified to
    24  administer oaths, and if any false statement is wilfully made in
    25  any part of said application, the applicant or applicants shall
    26  be deemed guilty of a misdemeanor and, upon conviction, shall be
    27  subject to the penalties provided by this article.
    28     Section 93.  Section 505 of the act, amended July 31, 1968
    29  (P.L.902, No.272), is reenacted and amended to read:              <--
    30     Section 505.  Licenses Issued.--Upon receipt of the
    19870H1000B1941                 - 205 -

     1  application in the form herein provided, the proper fees and an
     2  approved bond as herein designated, the [board] commission may    <--
     3  grant to such applicant a license to engage in, (a) the
     4  operation of a limited winery or a winery; or, (b) the
     5  manufacturing, producing, distilling, developing, or using in
     6  the process of manufacturing, denaturing, redistilling,
     7  recovering, rectifying, blending and reusing of alcohol and
     8  liquor; or, (c) the holding in bond of alcohol and liquor; or,
     9  (d) the holding in storage, as bailee for hire, of alcohol,
    10  liquor and malt or brewed beverages; or, (e) the transporting
    11  for hire of alcohol, liquor and malt or brewed beverages.
    12     Section 94.  Section 505.1 of the act, amended February 17,
    13  1956 (1955 P.L.1077, No.348), is reenacted and amended to read:
    14     Section 505.1.  Bonded Warehouse License Privilege
    15  Restrictions.--(a)  Holders of bonded warehouse licenses may:
    16     [(a)] (1)  Receive and store in bond liquor owned by
    17  Pennsylvania licensed manufacturers and importers.
    18     [(b)] (2)  Receive and store in bond alcohol owned by
    19  Pennsylvania licensed manufacturers.
    20     [(c)] (3)  Receive and store in bond liquor owned by
    21  licensees outside this Commonwealth. Such liquor shall be
    22  released from the bonded warehouse for delivery within this
    23  Commonwealth only to persons holding a liquor importer's license
    24  issued by the [Pennsylvania Liquor Control Board] commission      <--
    25  BOARD authorizing the importation of liquor or to other storage   <--
    26  facilities or persons outside this Commonwealth.
    27     [(d)] (4)  Receive and store in bond alcohol owned by
    28  licensees outside this Commonwealth. Such alcohol shall be
    29  released from the bonded warehouse for delivery within this
    30  Commonwealth only to persons holding an alcohol permit issued by
    19870H1000B1941                 - 206 -

     1  the [Pennsylvania Liquor Control Board] commission BOARD          <--
     2  authorizing the importation of alcohol or to other storage
     3  facilities or persons outside this Commonwealth.
     4     (b)  All liquor and alcohol received and stored pursuant to
     5  this section shall be in original containers of ten gallons or
     6  greater capacity. Liquor and alcohol placed in storage in
     7  accordance with the foregoing provisions may remain in storage
     8  notwithstanding any change in ownership.
     9     Section 95.  Section 505.2 of the act, amended November 5,
    10  1981 (P.L.329, No.119) and December 17, 1982 (P.L.1390, No.319),
    11  is reenacted and amended to read:
    12     Section 505.2.  Limited Wineries.--Holders of a limited
    13  winery license may:
    14     (1)  Produce wines and wine coolers only from fruits grown in
    15  Pennsylvania in an amount not to exceed [one hundred thousand     <--
    16  (100,000)] TWO HUNDRED THOUSAND (200,000) gallons per year.       <--
    17     (2)  Sell wine and wine coolers produced by the limited
    18  winery or purchased in bulk in bond from another Pennsylvania
    19  limited winery on the licensed premises, under such conditions
    20  and regulations as the [board] commission may enforce, to the     <--
    21  [Liquor Control Board] commission BOARD, to individuals and to    <--
    22  hotel, restaurant, club and public service liquor licensees, and
    23  to Pennsylvania winery licensees: Provided, That a limited
    24  winery shall not, in any calendar year, purchase wine produced
    25  by other limited wineries in an amount in excess of fifty per
    26  centum of the wine produced by the purchasing limited winery in
    27  the preceding calendar year.
    28     (3)  [Sell] Separately or in conjunction with other limited
    29  wineries, sell wine and wine coolers produced by the limited
    30  winery [on no more than [three] FIVE board-approved] at           <--
    19870H1000B1941                 - 207 -

     1  commission-approved locations other than the licensed premises,
     2  with no bottling or production requirement at those additional
     3  [board-approved] commission-approved locations and under such     <--
     4  conditions and regulations as the [board] commission may          <--
     5  enforce, to the [Liquor Control Board] commission BOARD, to       <--
     6  individuals and to hotel, restaurant, club and public service
     7  liquor licensees.
     8     Section 96.  Section 505.3 of the act, added July 30, 1975
     9  (P.L.136, No.68), is reenacted and amended to read:               <--
    10     Section 505.3.  Distilleries.--Distilleries of historical
    11  significance established more than one hundred years prior to
    12  January 1, 1975 which hold a license issued under section 505
    13  may sell liquor produced by the distillery on the licensed
    14  premises under such conditions and regulations as the [board]     <--
    15  commission may enforce.
    16     Section 97.  Sections 506 and 507 of the act are reenacted
    17  and amended to read:
    18     Section 506.  Bonds Required.--(a)  No license shall be
    19  issued to any such applicant until he has filed with the [board]  <--
    20  commission an approved bond, duly executed, payable to the
    21  Commonwealth of Pennsylvania, together with a warrant of
    22  attorney to confess judgment in the penal sum herein set forth.
    23  All such bonds shall be conditioned for the faithful observance
    24  of all the laws of this Commonwealth and regulations of the
    25  [board] commission relating to alcohol, liquor and malt or        <--
    26  brewed beverages and the conditions of the license, and shall
    27  have as surety a duly authorized surety company, or shall have
    28  deposited therewith, as collateral security, cash or negotiable
    29  obligations of the United States of America or the Commonwealth
    30  of Pennsylvania in the same amount as herein provided for the
    19870H1000B1941                 - 208 -

     1  penal sum of bonds.
     2     (b)  In all cases where cash or securities in lieu of other
     3  surety have been deposited with the [board] commission, the       <--
     4  depositor shall be permitted to continue the same deposit from
     5  year to year on each renewal of license, but in no event shall
     6  he be permitted to withdraw his deposit during the time he holds
     7  said license, or until six months after the expiration of the
     8  license held by him, or while revocation proceedings are pending
     9  against such licensee.
    10     (c)  All cash or securities received by the [board]            <--
    11  commission in lieu of other surety shall be turned over by the
    12  [board] commission to the State Treasurer and held by him. The    <--
    13  State Treasurer shall repay or return money or securities
    14  deposited with him to the respective depositors only on the
    15  order of the [board] commission.                                  <--
    16     (d)  After notice from the [board] commission that such a      <--
    17  bond has been forfeited, the State Treasurer shall immediately
    18  pay into the State Stores Fund all cash deposited as collateral
    19  with such bond, and when securities have been deposited with
    20  such a bond, the State Treasurer shall sell at private sale, at
    21  not less than the prevailing market price, any such securities
    22  so deposited as collateral with any such forfeited bond. The
    23  State Treasurer shall thereafter deposit in The State Stores
    24  Fund the net amount realized from the sale of such securities,
    25  except that if the amount so realized, after deducting proper
    26  costs and expenses, is in excess of the penal amount of the
    27  bond, such excess shall be paid over by him to the obligor on
    28  such forfeited bond.
    29     (e)  The penal sum of bonds required to be filed by
    30  applicants for license shall be as follows:
    19870H1000B1941                 - 209 -

     1     In the case of a distillery (manufacturer), the bond shall be
     2  in the amount of ten thousand dollars ($10,000); in the case of
     3  a bonded warehouse, a bailee for hire and a transporter for
     4  hire, each shall be in the amount of three thousand dollars
     5  ($3000); and in the case of a winery, shall be in the amount of
     6  five thousand dollars ($5000). Such bonds shall be filed with
     7  and retained by the [board] commission.                           <--
     8     (f)  Every such bond shall be turned over to the [Department
     9  of Justice] Attorney General to be collected if and when the
    10  licensee's license shall have been revoked and his bond
    11  forfeited as provided in this act.
    12     Section 507.  Hearings [Upon Refusal of Licenses] on Licenses
    13  and Refusals.--(a)  The [board] commission may of its own         <--
    14  motion, and shall upon the written request of the enforcement
    15  bureau or of any applicant for license or for renewal thereof
    16  whose application for such license or renewal has been refused,
    17  fix a time and place for hearing of such application or renewal,
    18  notice of which hearing shall be sent to the bureau and to the
    19  applicant, by registered mail, at the address given in his
    20  application. Such hearing shall be before the [board]             <--
    21  commission, a member thereof, or an [examiner designated by the   <--
    22  board] administrative law judge.                                  <--
    23     (b)  At such hearing, the [board] commission shall present     <--
    24  its reasons for its refusal or withholding of such license or
    25  renewal thereof or the bureau shall present its objections to
    26  the granting or renewal of the license, as the case may be. The
    27  applicant may appear in person or by counsel, may cross-examine
    28  the witnesses for the [board] commission or the bureau, and may   <--
    29  present evidence which shall likewise be subject to cross-
    30  examination by the [board] commission or the bureau. Such         <--
    19870H1000B1941                 - 210 -

     1  hearing shall be stenographically recorded. The [examiner]        <--
     2  administrative law judge shall thereafter report to the [board]   <--
     3  commission. The [board] commission shall thereafter grant or      <--
     4  refuse the license or renewal thereof. [If the board shall
     5  refuse such license or renewal following such hearing, notice in
     6  writing of such refusal shall be mailed to the applicant at the
     7  address given in his application. In all cases, the board shall
     8  file of record at least a brief statement in the form of an
     9  opinion of the reasons for the ruling or order.]
    10     (c)  Hearings and adjudications pursuant to this section
    11  shall be in accordance with 2 Pa.C.S. Ch. 5 Subch. A (relating
    12  to practice and procedure of Commonwealth agencies).
    13     Section 98.  Section 508 of the act, amended July 31, 1968
    14  (P.L.902, No.272), is reenacted and amended to read:
    15     Section 508.  License Fees.--(a)  The annual fee for every
    16  license issued to a limited winery or a winery shall be two
    17  hundred and fifty dollars ($250). The annual fee for every
    18  license issued to a distillery (manufacturer) shall be twenty-
    19  five hundred dollars ($2500) per annum if the annual production
    20  is five hundred thousand (500,000) proof gallons or less, and an
    21  additional fee of one hundred dollars ($100) for each one
    22  hundred thousand (100,000) proof gallons or fraction thereof in
    23  excess of five hundred thousand (500,000) proof gallons, but for
    24  the purpose of determining the amount of the fee payable by a
    25  distillery, the annual production of alcohol that is denatured
    26  by the manufacturer thereof during the license year in
    27  Pennsylvania and not elsewhere shall be excluded, but alcohol or
    28  liquor used by the manufacturer thereof during the license year
    29  in rectification or blending shall not be excluded, except that
    30  no fee for a distillery shall be less than twenty-five hundred
    19870H1000B1941                 - 211 -

     1  dollars ($2500) per annum. The annual fee for all other licenses
     2  shall be one hundred dollars ($100). The fee for any license
     3  when applied for and issued on or after April first, but prior
     4  to July first, shall be three-fourths of the annual fee; July
     5  first, but prior to October first, shall be one-half of the
     6  annual fee; October first, but prior to January first, one-
     7  fourth of the annual fee.
     8     (b)  For the purpose of this section, the term "proof gallon"
     9  shall mean a gallon liquid which contains one-half its volume of
    10  alcohol of a specific gravity of seven thousand nine hundred
    11  thirty-nine ten thousandths (.7939) at sixty degrees Fahrenheit.
    12     Section 99.  Section 509 of the act is reenacted and amended   <--
    13  to read:
    14     Section 509.  License Must Be Posted; Business Hours.--
    15  Licenses shall be issued by the [board] commission under its      <--
    16  official seal. Every license so issued must at all times be
    17  posted in a conspicuous place where the business is carried on
    18  under it, and said place of business must be kept open during
    19  general business hours of every day in the year except Sundays
    20  and legal holidays.
    21     Section 100.  Sections 510 and 511 510, 511, 512 AND 513 of    <--
    22  the act are reenacted to read:
    23     Section 510.  Containers To Be Labeled.--All persons, except
    24  as exempted by section five hundred two hereof, manufacturing,
    25  producing, distilling, developing or using in the process of
    26  manufacture, denaturing, redistilling, recovering, rectifying,
    27  blending, reusing, holding in bond, holding in storage as bailee
    28  for hire, or transporting for hire of alcohol or liquor under
    29  the provisions of this article, shall securely and permanently
    30  attach to every container ready for shipment thereof as the same
    19870H1000B1941                 - 212 -

     1  is manufactured, produced, distilled, developed, denatured,
     2  redistilled, recovered, rectified, blended, reused, a label
     3  stating the name of the manufacturer, kind and quantity of
     4  alcohol or liquor contained therein, and the date of its
     5  manufacture, together with the number of the license authorizing
     6  the manufacture thereof, and all persons possessing such alcohol
     7  or liquor in wholesale quantities shall securely keep and
     8  maintain such label thereon.
     9     Section 511.  License To Specify Each Place Authorized For
    10  Use.--Every license issued under the provision of this article
    11  shall specify by definite location every place to be occupied or
    12  used in connection with the business to be conducted thereunder.
    13  It shall be unlawful for the holder of any license to occupy or
    14  use any place in connection with any business authorized under a
    15  license other than the place or places designated therein.
    16     Section 101.  Sections 512, AND 513 and 514 of the act are     <--
    17  reenacted and amended to read:
    18     Section 512.  Records To Be Kept.--Every person holding a
    19  license issued under the provisions of this article shall keep
    20  on the licensed premises daily permanent records which shall
    21  show, (a) the quantities of any alcohol or liquor manufactured,
    22  produced, distilled, developed, denatured, redistilled,
    23  recovered, reused, stored in bond, stored as bailee for hire,
    24  received or used in the process of manufacture by him, and of
    25  all other material used in manufacturing or developing any
    26  alcohol or liquor; (b) the sales or other disposition of any
    27  alcohol, liquor or malt or brewed beverages if covered by said
    28  license; (c) the quantities thereof, if any, stored in bond,
    29  stored for hire, or transported for hire by or for the licensee;
    30  and (d) the names and addresses of the purchasers or other
    19870H1000B1941                 - 213 -

     1  recipients thereof: Provided, however, That persons holding
     2  licenses issued under the provisions of this article for the
     3  transportation for hire of any alcohol, liquor or malt or brewed
     4  beverages shall not be required to keep the above records, but
     5  shall keep daily permanent records showing the names and
     6  addresses of the persons from whom any alcohol, liquor or malt
     7  or brewed beverage was received and to whom delivered, and such
     8  other permanent records as the [board] commission shall           <--
     9  prescribe.
    10     Section 513.  Premises and Records Subject To Inspection.--
    11  Every place operated under license secured under the provisions
    12  of this article where any alcohol, liquor or malt or brewed
    13  beverage covered by the license is manufactured, produced,
    14  distilled, developed or used in the process of manufacture,
    15  denatured, redistilled, rectified, blended, recovered, reused,
    16  held in bond, stored for hire or in connection with a licensee's
    17  business, shall be subject to inspection by members of the
    18  [board] commission or by persons duly authorized and designated   <--
    19  by the [board] commission at any and all times of the day or      <--
    20  night, as they may deem necessary, (a) for the detection of
    21  violations of this act or of the rules and regulations of the
    22  [board] commission promulgated under the authority of this act,   <--
    23  or (b) for the purpose of ascertaining the correctness of the
    24  records required by this act to be kept by licensees and the
    25  books and records of licensees, and the books and records of
    26  their customers, in so far as they relate to purchases from said
    27  licensees, shall at all times be open to inspection by the
    28  members of the [board] commission or by persons duly authorized   <--
    29  and designated by the [board] commission for the purpose of       <--
    30  making inspections as authorized by this section. Members of the
    19870H1000B1941                 - 214 -

     1  [board] commission and the persons duly authorized and            <--
     2  designated by the [board] commission shall have the right,        <--
     3  without fee or hindrance, to enter any place which is subject to
     4  inspection hereunder, or any place where records subject to
     5  inspection hereunder are kept, for the purpose of making such
     6  inspections.
     7     SECTION 101.1 101.  SECTION 514 OF THE ACT IS REENACTED AND    <--
     8  AMENDED TO READ:
     9     Section 514.  Suspension and Revocation of Licenses.--(a)
    10  Upon learning of any violation of this act or of any rule or
    11  regulation promulgated by the [board] commission under the        <--
    12  authority of this act, or any violation of any laws of the
    13  Commonwealth or of the United States of America relating to the
    14  tax payment of alcohol, liquor or malt or brewed beverages by
    15  the holder of a license issued under the provisions of this
    16  article, or upon other sufficient cause, the [board] enforcement
    17  bureau may, within one year from the date of such violation or
    18  cause appearing, cite such licensee to appear before [it or its
    19  examiner] an administrative law judge not less than ten (10) nor
    20  more than [fifteen (15)] sixty (60) days from the date of
    21  sending such licensee, by registered mail, a notice addressed to
    22  his licensed premises, to show cause why the license should not
    23  be suspended or revoked. Hearings on such citations shall be
    24  held in the same manner as provided herein for hearings on
    25  applications for license. And upon such hearing, if satisfied
    26  that any such violation has occurred or for other sufficient
    27  cause, the [board] administrative law judge shall immediately
    28  suspend or revoke such license, notifying the licensee thereof
    29  by registered letter addressed to his licensed premises, or to
    30  the address given in his application where no licensed premises
    19870H1000B1941                 - 215 -

     1  is maintained in Pennsylvania.
     2     (b)  When a license is revoked, the licensee's bond may be
     3  forfeited [by the board]. Any licensee whose license is revoked
     4  shall be ineligible to have a license under this act or under
     5  any other act relating to alcohol, liquor or malt or brewed
     6  beverages until the expiration of three (3) years from the date
     7  such license was revoked. In the event [the board shall revoke a
     8  license] of a revocation, no license shall be granted for the
     9  premises or transferred to the premises in which said license
    10  was conducted for a period of at least one (1) year after the
    11  date of the revocation of the license conducted in the said
    12  premises, except in cases where the licensee or a member of his
    13  immediate family is not the owner of the premises, in which case
    14  the [board] commission may, in its discretion, issue or transfer  <--
    15  a license within said year. [In all such cases, the board shall
    16  file of record at least a brief statement in the form of an
    17  opinion of the reasons for the ruling or order.] Such hearing
    18  before and adjudication by an administrative law judge shall be
    19  in accordance with 2 Pa.C.S. Ch. 5 Subch. A (relating to
    20  practice and procedure of Commonwealth agencies).
    21     Section 102.  Section 515 of the act, repealed in part June
    22  3, 1971 (P.L.118, No.6) and April 28, 1978 (P.L.202, No.53), is
    23  reenacted and amended to read:
    24     Section 515.  Appeals.--[Any] The commission BOARD, the        <--
    25  enforcement bureau or any applicant or any licensee aggrieved by
    26  any decision [of the board] refusing, suspending or revoking a
    27  license under the provisions of this article may appeal to the
    28  court of the county in which the licensed premises or the
    29  premises to be licensed are located. In the event an applicant
    30  or a licensee shall have no place of business established within
    19870H1000B1941                 - 216 -

     1  the Commonwealth, his appeal shall be to the [court of Dauphin
     2  County] Commonwealth Court. Such appeal shall be [upon petition
     3  of the applicant or licensee, as the case may be, who shall
     4  serve a copy thereof upon the board. The said appeal shall act
     5  as a supersedeas, unless upon sufficient cause shown the court
     6  shall determine otherwise. The court shall hear the application
     7  de novo at such time as it shall fix, of which notice shall be
     8  given to the board. The court shall, in the case of a refusal by
     9  the board, either sustain such refusal or order the issuance of
    10  the license to the applicant] in accordance with 2 Pa.C.S. Ch. 7
    11  Subch. A (relating to judicial review of Commonwealth agency
    12  action).
    13     Section 103.  Sections 516 and 517 of the act are SECTION 516  <--
    14  OF THE ACT IS reenacted and amended to read:
    15     Section 516.  Compromise Penalty In Lieu of Suspension.--In
    16  those cases where the [board] administrative law judge shall
    17  suspend a license, the [board] administrative law judge may
    18  accept from the licensee an offer in compromise as a penalty in
    19  lieu of such suspension and shall thereupon rescind its order of
    20  suspension. In the case of a distillery licensee, the offer in
    21  compromise shall be at the rate of one hundred dollars ($100)
    22  for each day of suspension; in the case of a bonded warehouse,
    23  bailee for hire and transporter for hire licensees, twenty-five
    24  dollars ($25) for each day; and in the case of a winery
    25  licensee, fifty dollars ($50) for each day. No offer in
    26  compromise may be accepted [by the board] in those cases where
    27  the suspension is for a period in excess of one hundred (100)
    28  days.
    29     SECTION 103.1 104.  SECTION 517 SECTIONS 517 AND 518 OF THE    <--
    30  ACT IS ARE REENACTED TO READ:                                     <--
    19870H1000B1941                 - 217 -

     1     Section 517.  Expiration of Licenses; Renewals.--All licenses
     2  issued under this article shall expire at the close of the
     3  calendar year, but new licenses for the succeeding year shall be
     4  issued upon written application therefor, duly verified by
     5  affidavit, stating that the facts in the original application
     6  are unchanged, and upon payment of the fee as hereinafter
     7  provided and the furnishing of a new bond, without the filing of
     8  further statements or the furnishing of any further information
     9  unless specifically requested by the [board] commission:          <--
    10  Provided, however, That any such license issued to a corporation
    11  shall expire thirty (30) days after any change in the officers
    12  of such corporation, unless the name and address of each such
    13  new officer of such corporation shall, within that period, be
    14  reported to the [board] commission by certificate, duly           <--
    15  verified. Applications for renewals must be made not less than
    16  thirty (30) nor more than sixty (60) days before the first day
    17  of January of the ensuing year. All applications for renewal
    18  received otherwise shall be treated as original applications.
    19     Section 104.  Section 518 of the act is reenacted to read:     <--
    20     Section 518.  Unlawful Acts.--(a)  It shall be unlawful for
    21  any person to transport any illegal alcohol, liquor or malt or
    22  brewed beverages.
    23     (b)  Whenever any person withdraws or removes any alcohol or
    24  liquor which has not been denatured from any distillery,
    25  denaturing plant, winery or bonded warehouse for the purpose of
    26  denaturing the same, it shall be unlawful for any such person to
    27  use, sell or conceal, or attempt to use, sell or conceal, or be
    28  concerned in the sale, use or concealment of, any such alcohol
    29  or liquor, unless before such sale or use the said alcohol or
    30  liquor shall be denatured by adding thereto denaturing material
    19870H1000B1941                 - 218 -

     1  or materials or admixtures thereof which render it unfit for
     2  beverage purposes.
     3     (c)  It shall be unlawful for any person to recover and reuse
     4  or attempt to recover and reuse, by redistillation or by any
     5  other process or means whatsoever, any alcohol or liquor from
     6  denatured alcohol or from any other liquor from denatured
     7  alcohol or from any other liquid, or to knowingly use, sell,
     8  conceal, or otherwise dispose of, alcohol or liquor so recovered
     9  or redistilled.
    10     Section 105.  Section 519 of the act is reenacted and amended
    11  to read:
    12     Section 519.  Penalties.--Any person or persons who knowingly
    13  violate any of the provisions of this article, or any person who
    14  shall violate any of the conditions of any license issued under
    15  the provisions of this article, or who shall falsify any record
    16  or report required by this article to be kept, or who shall
    17  violate any rule or regulation of the [board] commission, or who  <--
    18  shall interfere with, hinder or obstruct any inspection
    19  authorized by this article, or prevent any member of the [board]  <--
    20  commission or the enforcement bureau or any person duly
    21  authorized and designated by the [board] commission or the        <--
    22  bureau from entering any place which such member of the [board]   <--
    23  commission or the bureau or such person is authorized by this
    24  article to enter for the purpose of making an inspection, or who
    25  shall violate any other provision of this article, shall be
    26  guilty of a misdemeanor and, upon conviction thereof, shall be
    27  sentenced to pay a fine of not less than one hundred dollars
    28  ($100), nor more than five thousand dollars ($5000), or undergo
    29  imprisonment of not more than three (3) years, or both, at the
    30  discretion of the court.
    19870H1000B1941                 - 219 -

     1     Section 106.  The headings of Article VI and Subdivision (A)
     2  of Article VI of the act are reenacted to read:
     3                            ARTICLE VI.
     4         PROPERTY ILLEGALLY POSSESSED OR USED; FORFEITURES;
     5                             NUISANCES.
     6                         (A)  Forfeitures.
     7     Section 107.  Sections 601, 602 and 603 of the act, amended
     8  April 20, 1956 (1955 P.L.1508, No.499), are reenacted and
     9  amended to read:
    10     Section 601.  Forfeiture of Property Illegally Possessed or
    11  Used.--No property rights shall exist in any liquor, alcohol or
    12  malt or brewed beverage illegally manufactured or possessed, or
    13  in any still, equipment, material, utensil, vehicle, boat,
    14  vessel, animals or aircraft used in the illegal manufacture or
    15  illegal transportation of liquor, alcohol or malt or brewed
    16  beverages, and the same shall be deemed contraband and
    17  proceedings for its forfeiture to the Commonwealth may[, at the
    18  discretion of the board,] be instituted in the manner
    19  hereinafter provided. No such property when in the custody of
    20  the law shall be seized or taken therefrom on any writ of
    21  replevin or like process.
    22     Section 602.  Forfeiture Proceedings.--(a)  The proceedings
    23  for the forfeiture or condemnation of all property shall be in
    24  rem, in which the Commonwealth shall be the plaintiff and the
    25  property the defendant. A petition shall be filed in the court
    26  of [quarter sessions] common pleas, verified by oath or
    27  affirmation of any officer or citizen, containing the following:
    28  (1) a description of the property so seized; (2) a statement of
    29  the time and place where seized; (3) the owner, if known; (4)
    30  the person or persons in possession, if known; (5) an allegation
    19870H1000B1941                 - 220 -

     1  that the same had been possessed or used or was intended for use
     2  in violation of this act; (6) and, a prayer for an order of
     3  forfeiture that the same be adjudged forfeited to the
     4  Commonwealth, unless cause be shown to the contrary.
     5     (b)  A copy of said petition shall be served personally on
     6  said owner if he can be found within the jurisdiction of the
     7  court, or upon the person or persons in possession at the time
     8  of the seizure thereof. Said copy shall have endorsed thereon a
     9  notice as follows:
    10     "To the Claimant of Within Described Property: You are
    11  required to file an answer to this petition, setting forth your
    12  title in and right to possession of said property, within
    13  fifteen (15) days from the service hereof; and you are also
    14  notified that if you fail to file said answer, a decree of
    15  forfeiture and condemnation will be entered against said
    16  property."
    17     Said notice shall be signed by petitioner or his attorney, or
    18  the district attorney or the Attorney General.
    19     (c)  If the owner of said property is unknown or outside the
    20  jurisdiction of the court and there was no person in possession
    21  of said property when seized, or such person so in possession
    22  cannot be found within the jurisdiction of the court, notice of
    23  said petition shall be given by an advertisement in only one
    24  newspaper of general circulation published in the county where
    25  such property shall have been seized, once a week for two (2)
    26  successive weeks. No other advertisement of any sort shall be
    27  necessary, any other law to the contrary notwithstanding. Said
    28  notice shall contain a statement of the seizure of said
    29  property, with a description thereof, the place and date of
    30  seizure, and shall direct any claimants thereof to file a claim
    19870H1000B1941                 - 221 -

     1  therefor on or before a date given in said notice, which date
     2  shall not be less than ten (10) days from the date of the last
     3  publication.
     4     (d)  Upon the filing of any claim for said property, setting
     5  forth a right of possession thereof, the case shall be deemed at
     6  issue and a time be fixed for the hearing thereof.
     7     (e)  At the time of said hearing, if the Commonwealth shall
     8  produce evidence that the property in question was unlawfully
     9  possessed or used, the burden shall be upon the claimant to show
    10  (1) that he is the owner of said property, (2) that he lawfully
    11  acquired the same, and (3) that it was not unlawfully used or
    12  possessed.
    13     In the event such claimant shall prove by competent evidence
    14  to the satisfaction of the court that said liquor, alcohol or
    15  malt or brewed beverage, or still, equipment, material, utensil,
    16  vehicle, boat, vessel, container, animal or aircraft was
    17  lawfully acquired, possessed and used, then the court may order
    18  the same returned or delivered to the claimant; but if it
    19  appears that said liquor, alcohol or malt or brewed beverage or
    20  still, equipment, material or utensil was unlawfully possessed
    21  or used, the court shall order the same destroyed, delivered to
    22  a hospital, or turned over to the [board] commission or           <--
    23  enforcement bureau, as hereinafter provided, or if it appears
    24  that said vehicle, boat, vessel, container, animal or aircraft
    25  was unlawfully possessed or used, the court may, in its
    26  discretion, adjudge same forfeited and condemned as hereinafter
    27  provided.
    28     Section 603.  Disposition of Forfeited Property.--If, upon
    29  petition as hereinbefore provided and hearing before the court
    30  of [quarter sessions] common pleas, it appears that any liquor,
    19870H1000B1941                 - 222 -

     1  alcohol, or malt or brewed beverage or still, equipment,
     2  material or utensil was so illegally possessed, or used, such
     3  liquor, alcohol or malt or brewed beverage or still, equipment,
     4  material or utensil shall be adjudged forfeited and condemned,
     5  or if it appears that any vehicle, boat, vessel, container,
     6  animal or aircraft was so used in the illegal manufacture or
     7  transportation of liquor, alcohol or malt or brewed beverage,
     8  such property may, in the discretion of the court, be adjudged
     9  forfeited and condemned and in such case shall be disposed of as
    10  follows:
    11     (a)  Upon conviction of any person of a violation of any of
    12  the provisions of this act, the court shall order the sheriff to
    13  destroy all condemned liquor, alcohol or malt or brewed beverage
    14  and property seized or obtained from such defendants, except
    15  that the court may order the liquor, alcohol or malt or brewed
    16  beverages, or any part thereof, to be delivered to a hospital
    17  for its use, and make return to the court of compliance with
    18  said order, and any vehicle, container, boat, vessel, animals or
    19  aircraft seized under the provisions of this act shall be
    20  disposed of as hereinafter provided.
    21     (b)  In any case in which the defendant is acquitted of a
    22  violation of this act and denies the ownership or possession
    23  thereof, or no claimant appears for same, or appearing, is
    24  unable to sustain claim thereof, the court shall order all
    25  condemned liquor, alcohol and malt or brewed beverages and
    26  property (except vehicles, boats, vessels, containers, animals
    27  and aircraft) publicly destroyed by the sheriff, except that the
    28  court may order the liquor, alcohol or malt or brewed beverages,
    29  or any part thereof, to be delivered to a hospital for its use.
    30  Return of compliance with said order shall be made by the
    19870H1000B1941                 - 223 -

     1  sheriff to the court.
     2     (c)  In the case of any vehicle, boat, vessel, container,
     3  animal or aircraft seized under the provisions of this act and
     4  condemned, the court shall order the same to be delivered to the
     5  [board] enforcement bureau for its use or for sale or
     6  disposition by the [board] bureau, in its discretion. Notice of
     7  such sale shall be given in such manner as the [board] bureau
     8  may prescribe. The proceeds of such sale shall be paid into The
     9  State Stores Fund.
    10     Section 108.  Section 604 of the act is reenacted and amended
    11  to read:
    12     Section 604.  Motor Vehicle Licenses To Be Revoked.--In
    13  addition to the foregoing provisions, the court may, in its
    14  order of condemnation, and in every conviction under this act
    15  where it shall appear that liquor, alcohol or malt or brewed
    16  beverages were unlawfully transported in a motor vehicle,
    17  declare that the license issued by the Department of [Revenue]
    18  Transportation for any motor vehicle so forfeited and condemned,
    19  or issued to any defendant convicted of transporting liquor,
    20  alcohol or malt or brewed beverages in any motor vehicle, shall
    21  be forfeited and revoked, and it shall be the duty of the clerk
    22  of the court in which such conviction is had and order of
    23  condemnation made to certify such conviction to the Secretary of
    24  [Revenue] Transportation, who shall suspend or revoke the
    25  license issued for such motor vehicles: Provided, That a license
    26  may be issued for such motor vehicle to the [board] commission    <--
    27  or the enforcement bureau or to any purchaser of the vehicle
    28  after the sale thereof, as above provided.
    29     Section 109.  Section 605 of the act is reenacted to read:
    30     Section 605.  Application of Subdivision.--The provisions of
    19870H1000B1941                 - 224 -

     1  this subdivision shall apply to the disposition of any liquor,
     2  alcohol or malt or brewed beverage or property in the custody of
     3  the law or of any officer at the time of the passage of this
     4  act.
     5     Section 110.  The heading of Subdivision (B) of Article VI of
     6  the act is reenacted to read:
     7                          (B)  Nuisances.
     8     Section 111.  Section 611 of the act is reenacted and amended
     9  to read:
    10     Section 611.  Nuisances; Actions To Enjoin.--(a)  Any room,
    11  house, building, boat, vehicle, structure or place, except a
    12  private home, where liquor, alcohol or malt or brewed beverages
    13  are manufactured, possessed, sold, transported, offered for
    14  sale, bartered or furnished, or stored in bond, or stored for
    15  hire, in violation of this act, and all such liquids, beverages
    16  and property kept or used in maintaining the same, are hereby
    17  declared to be common nuisances, and any person who maintains
    18  such a common nuisance shall be guilty of a misdemeanor and,
    19  upon conviction thereof, shall be subject to the same penalties
    20  provided in section four hundred ninety four of this act.
    21     (b)  An action to enjoin any nuisance defined in this act may
    22  be brought in the name of the Commonwealth of Pennsylvania by
    23  the Attorney General [or], by the district attorney of the
    24  proper county or by a person who resides or has a place of
    25  business within five hundred feet of the location of the alleged
    26  nuisance. Such action shall be brought and tried as an action in
    27  equity and may be brought in any court having jurisdiction to
    28  hear and determine equity cases within the county in which the
    29  offense occurs. If it is made to appear, by affidavit or
    30  otherwise, to the satisfaction of the court that such nuisance
    19870H1000B1941                 - 225 -

     1  exists, a temporary writ of injunction shall forthwith issue,
     2  restraining the defendant from conducting or permitting the
     3  continuance of such nuisance until the conclusion of the
     4  proceedings. If a temporary injunction is prayed for, the court
     5  may issue an order restraining the defendant and all other
     6  persons from removing or in any way interfering with the
     7  liquids, beverages or other things used in connection with the
     8  violation of this act constituting such nuisance. No bond shall
     9  be required in instituting such proceedings brought in the name
    10  of the Commonwealth by the Attorney General or the district
    11  attorney. Where such proceedings are brought by a person, the
    12  court, upon application of the defendant and prior to any
    13  injunction being issued, may direct the plaintiff to post bond
    14  in such amount as the court may find to be reasonable and
    15  sufficient. It shall not be necessary for the court to find the
    16  property involved was being unlawfully used, as aforesaid, at
    17  the time of the hearing, but on finding that the material
    18  allegations of the petition are true, the court shall order that
    19  no liquor, alcohol or malt or brewed beverage shall be
    20  manufactured, sold, offered for sale, transported, bartered or
    21  furnished, or stored in bond, or stored for hire in such room,
    22  house, building, structure, boat, vehicle, or place, or any part
    23  thereof.
    24     (c)  Upon the decree of the court ordering such nuisance to
    25  be abated, the court may, upon proper cause shown, order that
    26  the room, house, building, structure, boat, vehicle or place
    27  shall not be occupied or used for one year thereafter, but the
    28  court may, in its discretion, permit it to be occupied or used
    29  if the owner, lessee, tenant or occupant thereof shall give bond
    30  with sufficient surety to be approved by the court making the
    19870H1000B1941                 - 226 -

     1  order in the penal and liquidated sum of not less than five
     2  hundred dollars ($500.00), payable to the Commonwealth of
     3  Pennsylvania, for use of the county in which said proceedings
     4  are instituted, and conditioned that neither liquor, alcohol,
     5  nor malt or brewed beverages will thereafter be manufactured,
     6  sold, transported, offered for sale, bartered or furnished, or
     7  stored in bond, or stored for hire therein or thereon in
     8  violation of this act, and that he will pay all fines, costs and
     9  damages that may be assessed for any violation of this act upon
    10  said property.
    11     Section 112.  The headings of Article VII and Subdivision (A)
    12  of Article VII of the act are reenacted to read:
    13                            ARTICLE VII.
    14               DEALING IN DISTILLERY BONDED WAREHOUSE
    15                           CERTIFICATES.
    16                    (A)  Preliminary Provisions.
    17     Section 113.  Section 701 of the act is reenacted and amended  <--
    18  to read:
    19     Section 701.  Definitions and Interpretation.--(a)  When used
    20  in this article, the following words or phrases, unless the
    21  context clearly indicates otherwise, shall have the meanings
    22  ascribed to them in this section.
    23     "Agent" shall mean and include every person employed by a
    24  distillery certificate broker to sell, offer for sale or
    25  delivery, to purchase, exchange, or to enter into agreements for
    26  the purchase, sale or exchange, or to solicit subscriptions to,
    27  or orders for, or to undertake to dispose of, or to deal in any
    28  manner in, distillery bonded warehouse certificates.
    29     "Fraud," "fraudulent" and "fraudulent practice" shall include
    30  any misrepresentation in any manner of a relevant fact not made
    19870H1000B1941                 - 227 -

     1  honestly and in good faith; any promise or representation or
     2  prediction as to the future not made honestly and in good faith,
     3  or an intentional failure to disclose a material fact; the
     4  gaining, directly or indirectly, through the purchase, sale or
     5  exchange of distillery bonded warehouse certificates, of any
     6  promotion fee or profit, selling or managing commission or
     7  profit, so gross and exorbitant as to be unconscionable and
     8  fraudulent; and any scheme, device, artifice or investment plan
     9  to obtain such an unconscionable profit: Provided, however, that
    10  nothing herein shall limit or diminish the full meaning of the
    11  terms "fraud" and "fraudulent" as applied or accepted in courts
    12  of law or equity.
    13     (b)  Nothing contained in this article shall be construed as
    14  permitting the holder or owner of a distillery bonded warehouse
    15  certificate, as defined in this act, to secure possession of the
    16  whiskey or other potable distilled spirits named or designated
    17  in such certificate, except in accordance with the provisions of
    18  this act and the laws of this Commonwealth hereafter enacted
    19  relating to alcohol or alcoholic beverages and the regulations
    20  of the [board] commission adopted and promulgated thereunder.     <--
    21     Section 114.  The heading of Subdivision (B) of Article VII
    22  of the act is reenacted to read:
    23                           (B)  Permits.
    24     Section 115.  Section 702 of the act is reenacted to read:
    25     Section 702.  Unlawful to Act as a Distillery Certificate
    26  Broker or to Buy or Sell Distillery Bonded Warehouse Certificate
    27  Without a Permit.--It shall be unlawful for any person, except
    28  as hereinafter exempted, directly or through an agent, to sell,
    29  purchase, exchange, offer for sale, deliver, enter into
    30  agreements for the purchase, sale, exchange, solicit
    19870H1000B1941                 - 228 -

     1  subscriptions to, orders for, undertake to dispose of, deal in
     2  any manner in, distillery bonded warehouse certificates, without
     3  first having obtained a permit to act as a distillery
     4  certificate broker as provided in this article.
     5     Section 116.  Section 703 of the act is reenacted and amended  <--
     6  to read:
     7     Section 703.  Authority to Issue Permits to Distillery
     8  Certificate Brokers.--Subject to the provisions of this article
     9  and regulations promulgated under this act, the [board]           <--
    10  commission shall have authority to issue to any reputable
    11  financially responsible person whose plan of business in dealing
    12  in distillery bonded warehouse certificates is not deemed by the
    13  [board] commission to constitute "fraudulent practice," as        <--
    14  defined herein, a permit to act as distillery certificate
    15  broker.
    16     Section 117.  Section 704 of the act, amended September 28,
    17  1961 (P.L.1728, No.702), is reenacted and amended to read:        <--
    18     Section 704.  Application for Permit; Filing Fee.--Every
    19  applicant for a distillery certificate broker permit shall file
    20  a written application with the [board] commission outlining his   <--
    21  plan of business in dealing in distillery bonded warehouse
    22  certificates, in such form and containing such other information
    23  as the [board] commission shall from time to time prescribe,      <--
    24  which shall be accompanied by a filing fee of twenty dollars
    25  ($20) and the prescribed permit fee. If the applicant is a
    26  natural person, his application must show that he is a citizen
    27  of the United States, and if a corporation, the application must
    28  show that the corporation was created under the laws of
    29  Pennsylvania or holds a certificate of authority to transact
    30  business in Pennsylvania. The application shall be signed and
    19870H1000B1941                 - 229 -

     1  verified by oath or affirmation of the applicant, if a natural
     2  person, or in the case of an association, by a member or partner
     3  thereof, or in the case of a corporation, by an executive
     4  officer thereof or any person specifically authorized by the
     5  corporation to sign the application, to which shall be attached
     6  written evidence of his authority. If the applicant is an
     7  association, the application shall set forth the names and
     8  addresses of the persons constituting the association, and if a
     9  corporation, the names and addresses of all the officers
    10  thereof. All applications must be verified by affidavit of
    11  applicant and if any false statement is intentionally made in
    12  any part of the application, the signer shall be guilty of a
    13  misdemeanor and upon indictment and conviction, shall be subject
    14  to penalties provided by this article.
    15     Section 118.  Section 705 of the act is reenacted and amended  <--
    16  to read:
    17     Section 705.  Issuance of Permits.--Upon receipt of the
    18  application and proper fees and upon being satisfied of the
    19  truth of the statements in the application, and being also
    20  satisfied that the applicant's plan of business in dealing in
    21  distillery bonded warehouse certificates does not constitute
    22  "fraudulent practice," as defined in this article, and that the
    23  applicant is a person of good repute and financially
    24  responsible, the [board] commission may issue to such applicant   <--
    25  a permit authorizing the permittee to sell, purchase, exchange,
    26  pledge and deal in distillery bonded warehouse certificates.
    27     Section 119.  Section 706 of the act is reenacted to read:
    28     Section 706.  Office or Place of Business to be Maintained.--
    29  Every applicant for a distillery certificate broker permit under
    30  this article and every person to whom such a permit is issued
    19870H1000B1941                 - 230 -

     1  shall maintain an office or place of business within the
     2  Commonwealth.
     3     Section 120.  Sections 707, 708 and 709 of the act are
     4  reenacted and amended to read:                                    <--
     5     Section 707.  Permit Fee; Permits Not Assignable or
     6  Transferable; Display of Permit; Term of Permit.--Every
     7  applicant for distillery certificate broker permit shall, before
     8  receiving such permit, pay to the [board] commission an annual    <--
     9  permit fee of one hundred dollars ($100). Permits issued under
    10  this act may not be assigned or transferred and shall be
    11  conspicuously displayed at the place of business of the
    12  permittee. All permits shall be valid only during the year for
    13  which issued and shall automatically expire on the thirty-first
    14  day of December of each calendar year unless suspended, revoked
    15  or cancelled prior thereto.
    16     Section 708.  Records to be Kept.--Every person holding a
    17  permit issued under this act shall keep daily permanent records
    18  containing a complete record of all transactions in distillery
    19  bonded warehouse certificates within this Commonwealth, in such
    20  form and manner as the [board] commission may from time to time   <--
    21  prescribe. Such records shall be available for examination by
    22  the [board's] commission's officers at the broker's principal     <--
    23  place of business or office in Pennsylvania.
    24     Section 709.  Renewal of Permits.--Upon the filing of an
    25  application and the payment of the prescribed filing fee and
    26  permit fee in the same amount as herein required on original
    27  applications for permits, the [board] commission may renew the    <--
    28  permit for the calendar year beginning January first, provided
    29  such application for renewal is filed and fee paid on or before
    30  December fifteenth of the preceding year, unless the [board]      <--
    19870H1000B1941                 - 231 -

     1  commission shall have given previous notice of objections to the
     2  renewal of the permit, based upon violation of this article or
     3  the [board's] commission's regulations promulgated thereunder,    <--
     4  or unless the applicant has by his own act become a person of
     5  ill repute or ceases to be financially responsible.
     6     Section 121.  Section 710 of the act, amended June 3, 1971
     7  (P.L.118, No.6) and April 28, 1978 (P.L.202, No.53), is
     8  reenacted and amended to read:                                    <--
     9     Section 710.  Permit Hearings; Appeals From Refusal of the
    10  [Board] Commission to Issue or Renew Permits.--The [board]        <--
    11  commission may of its own motion, and shall upon written request
    12  of any applicant for distillery certificate broker permit or for
    13  renewal thereof whose application for such permit or renewal has
    14  been refused, fix a time and place for hearings of such
    15  application for permit or for renewal thereof, notice of which
    16  hearing shall be sent by registered mail to the applicant at the
    17  address given in his application. Such hearing shall be before
    18  the [board] commission or a member thereof. At such hearing, the  <--
    19  [board] commission shall present its reasons for its refusal or   <--
    20  withholding a permit or renewal thereof. The applicant may
    21  appear in person or by counsel, cross-examine the witnesses of
    22  the [board] commission, and may present evidence which shall be   <--
    23  subject to cross-examination by the [board] commission. Such      <--
    24  hearings shall be stenographically recorded. The [board]          <--
    25  commission shall thereupon grant or refuse the permit or renewal
    26  thereof. If the [board] commission shall refuse such permit or    <--
    27  renewal following such hearing, notice in writing of such
    28  refusal shall be sent by registered mail to the applicant at the
    29  address given in his application. In all such cases, the [board]  <--
    30  commission shall file of record at least a brief statement in
    19870H1000B1941                 - 232 -

     1  the form of an opinion of the reasons for the ruling or order
     2  and furnish a copy thereof to the applicant.
     3     Section 122.  Section 712 of the act, amended April 28, 1978
     4  (P.L.202, No.53), is reenacted and amended to read:               <--
     5     Section 712.  Revocation and Suspension of Permit.--Upon
     6  learning of any violation of this act or regulations of the
     7  [board] commission promulgated thereunder, or any violation of    <--
     8  any laws of this Commonwealth or of the United States of America
     9  by the permittee, his officers, servants, agents or employes, or
    10  upon any other sufficient cause shown, the [board] commission     <--
    11  may cite such permittee to appear before it or a member thereof
    12  not less than ten or more than fifteen days from the date of
    13  sending such permittee, by registered mail, a notice addressed
    14  to him at the address set forth in the application for permit,
    15  to show cause why such permit should not be suspended or
    16  revoked. When such notice is duly addressed and deposited in the
    17  post office, it shall be deemed due and sufficient notice.
    18  Hearings on such citations shall be held in the same manner as
    19  provided herein for hearing on application for permit. Upon such
    20  hearing, if satisfied that any such violation has occurred, or
    21  for other sufficient cause, the [board] commission shall          <--
    22  immediately suspend or revoke the permit, notifying the
    23  permittee thereof by registered letter addressed to the address
    24  set forth in the application for permit. Any permittee whose
    25  permit is revoked shall be ineligible to have a permit under
    26  this act until the expiration of three years from the date such
    27  permit was revoked. In all such cases, the [board] commission     <--
    28  shall file of record at least a brief statement in the form of
    29  an opinion of the reasons for the ruling or order.
    30     Section 123.  The heading of Subdivision (C) of Article VII
    19870H1000B1941                 - 233 -

     1  of the act is reenacted to read:
     2                (C)  Permittees' Registered Agents.
     3     Section 124.  Section 721 of the act is reenacted to read:
     4     Section 721.  Unlawful to Act as Agent or to Employ Agents
     5  Without Registration.--It shall be unlawful for a distillery
     6  certificate broker to employ any person to act as agent, or for
     7  any person to act as agent for any distillery certificate
     8  broker, in purchasing, exchanging, offering for sale,
     9  delivering, entering into agreements for the purchase, sale,
    10  exchange, soliciting subscriptions to, orders for, undertaking
    11  to dispose of, dealing in any manner in, distillery bonded
    12  warehouse certificates, without such person first having been
    13  registered as an agent as provided in this article.
    14     Section 125.  Section 722 of the act is reenacted and amended  <--
    15  to read:
    16     Section 722.  Registered Agents.--Every person holding a
    17  distillery certificate broker permit under this article who
    18  desires to employ an agent or agents in the operation of his
    19  business under the permit shall make application to the [board]   <--
    20  commission for registration of such agent or agents. Every such
    21  permittee's application shall set forth the name of the
    22  permittee and the address of his main office or principal place
    23  of business in Pennsylvania, and the full address where complete
    24  records are maintained covering the permittee's operations in
    25  Pennsylvania. With each such permittee's application there shall
    26  be filed an agent's application for each agent to be registered.
    27  Permittees' applications for agents and agents' applications
    28  shall contain such information as the [board] commission shall    <--
    29  from time to time require, and shall be signed and verified by
    30  oath or affirmation of the agent. Each application shall be
    19870H1000B1941                 - 234 -

     1  accompanied by two unmounted photographs of the agent.
     2     Section 126.  Section 723 of the act is reenacted to read:
     3     Section 723.  Registration Fee.--Every application for the
     4  registration of agents filed by a permittee shall be accompanied
     5  by a registration fee in the amount of ten dollars ($10) for
     6  each agent to be registered, which shall cover the agent's
     7  registration from date of approval until December thirty-first
     8  of the year in which approved. Registrations may be renewed for
     9  a period of one calendar year upon the filing of a new
    10  application and payment of the same registration fee as herein
    11  provided for original registration, together with agent's new
    12  application and photographs of each agent. Applications for
    13  renewal of registration shall be filed not later than December
    14  fifteenth of each year.
    15     Section 127.  Section 724 of the act is reenacted and amended  <--
    16  to read:
    17     Section 724.  Registration and Issuance of Identification
    18  Card.--Upon receipt of the application, the proper fees, and
    19  upon being satisfied of the truth of the statements in the
    20  application and that the applicant is a person of good
    21  reputation and the applicant seeks a registration as defined in
    22  this act, the [board] commission may register such agent and      <--
    23  issue to him an identification card.
    24     Section 128.  Sections 725 and 726 of the act, amended April
    25  28, 1978 (P.L.202, No.53), are reenacted and amended to read:     <--
    26     Section 725.  Hearings Upon Refusal of the [Board]             <--
    27  Commission; Appeals.--In the event that the [board] commission    <--
    28  shall refuse to issue or to renew an agent's registration, a
    29  hearing shall be had.
    30     Section 726.  Revocation and Suspension of Agents'
    19870H1000B1941                 - 235 -

     1  Registrations.--Upon learning of any violation of this act or
     2  regulation of the [board] commission promulgated thereunder, or   <--
     3  any violation of any laws of this Commonwealth or of the United
     4  States of America by a registered agent, the [board] commission   <--
     5  may revoke or suspend the agent's registration in the same
     6  manner as provided herein for the revocation and suspension of
     7  distillery certificate broker permits.
     8     Section 129.  Section 727 of the act is reenacted and amended
     9  to read:
    10     Section 727.  Identification Cards.--(a)  Upon approval by
    11  the [board] commission of the application for registration of an  <--
    12  agent, there shall be issued to such registered agent an
    13  identification card containing the name and address of the
    14  distillery certificate broker, the name, address and physical
    15  description of the agent. There shall also be affixed to the
    16  identification card a photograph of the agent, and no
    17  identification card shall be valid until signed by both the
    18  distillery certificate broker and the agent and counter-signed
    19  by a representative of the [board] commission.                    <--
    20     (b)  Before any agent's registration can be changed from one
    21  distillery certificate broker to another, the identification
    22  card of such agent shall either be returned to the [board]        <--
    23  commission by the broker under whom he is registered, or such
    24  broker shall file with the [b