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A02545
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1615
Session of
2021
INTRODUCED BY TOPPER, JUNE 11, 2021
REFERRED TO COMMITTEE ON LIQUOR CONTROL, JUNE 11, 2021
AN ACT
Amending the act of April 12, 1951 (P.L.90, No.21), entitled "An
act relating to alcoholic liquors, alcohol and malt and
brewed beverages; amending, revising, consolidating and
changing the laws relating thereto; regulating and
restricting the manufacture, purchase, sale, possession,
consumption, importation, transportation, furnishing, holding
in bond, holding in storage, traffic in and use of alcoholic
liquors, alcohol and malt and brewed beverages and the
persons engaged or employed therein; defining the powers and
duties of the Pennsylvania Liquor Control Board; providing
for the establishment and operation of State liquor stores,
for the payment of certain license fees to the respective
municipalities and townships, for the abatement of certain
nuisances and, in certain cases, for search and seizure
without warrant; prescribing penalties and forfeitures;
providing for local option, and repealing existing laws," in
licenses and regulations and liquor, alcohol and malt and
brewed beverages, further providing for breweries and for
unlawful acts relative to malt or brewed beverages and
licensees.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Sections 446(a)(1), (2) and (3) and 492(22) of
the act of April 12, 1951 (P.L.90, No.21), known as the Liquor
Code, are amended to read:
Section 1. Sections 446(a)(1), (2) and (3) of the act of
April 12, 1951 (P.L.90, No.21), known as the Liquor Code, are
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amended and subsection (a) is amended by adding a paragraph to
read:
Section 446. Breweries.--(a) Holders of a brewery license
may:
(1) Sell malt or brewed beverages [produced at the location
and owned by the brewery] as provided in this section under such
conditions and regulations as the board may enforce[, to
individuals for consumption on the licensed premises in any
container or package of any volume and to hotel, restaurant,
club and public service liquor licensees]. Malt] The following
shall apply:
(i) Malt or brewed beverages produced [for the holder of a
brewery license under a contract brewing agreement with an out-
of-State manufacturer may be sold to a nonlicensee for on-
premises or off-premises consumption, except that sales to a
licensee must be distributed as provided under section 431(b).]
by a brewery at the brewery location or under a contract brewing
agreement or alternating proprietorship with an in-State
manufacturer may be sold by the brewery to nonlicensees for on-
premise on-premises or off-premise off-premises consumption and
to licensees who are authorized to resell malt or brewed
beverages. Sales to licensees under this paragraph shall comply
with the provisions of this act. Malt or brewed beverages
produced for the brewery under a contract brewing agreement or
alternating proprietorship with an out-of-State manufacturer may
only be distributed as provided under paragraph (3).
(ii) A brewery located in a second-class city with retail
sales prior to June 1, 2017, may sell malt or brewed beverages
produced under a contract brewing agreement with an in-state or
out-of-State manufacturer to nonlicensees for on-premises or
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off-premises consumption. If the brewery uses storage locations
granted to the brewery under section 431(a.2) for distribution
or retail sales, the brewery may only sell malt or brewed
beverages as provided under paragraph (3).
(2) Operate a restaurant or brewery pub on the licensed
premises under such conditions and regulations as the board may
enforce: Provided, however, That sales on Sunday may be made
irrespective of the volume of food sales if the licensed
premises are at a public venue location. [The] In addition to
the sales authorized under paragraph (1), the holder of a
brewery license may sell wines, alcoholic cider and fermented
fruit beverages produced by the holder of a limited winery
license, malt or brewed beverages produced by a manufacturer
licensed by the board and liquor produced by a limited
distillery or distillery licensed by the board: Provided,
however, That said wines, malt or brewed beverages produced by
another manufacturer and liquor must be consumed at the licensed
premises. In addition, the combined sales of wine, malt or
brewed beverages produced by another manufacturer and liquor may
not, on a yearly basis, exceed fifty per centum (50%) of the on-
premises sales of the brewery's own malt or brewed beverages for
the preceding calendar year: however, if a brewery did not
operate for an entire calendar year during the preceding year,
then its combined sales of wine, malt or brewed beverages
produced by another manufacturer and liquor may not, on a yearly
basis, exceed fifty per centum (50%) of the on-premises sales of
the brewery's own malt or brewed beverages for that year.
(3) Use brewery storage and distribution facilities for the
purpose of receiving, storing and distributing malt or brewed
beverages manufactured outside this Commonwealth [if], including
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malt or brewed beverages produced for the brewery under a
contract brewing agreement or alternating proprietorship with an
out-of-State manufacturer, so long as the beverages are
distributed in this Commonwealth only through specific importing
distributors who shall have first been given distributing rights
for such products in designated geographical areas through the
distribution system required for out-of-State manufacturers
under section [431(b)] 431 as well as all other pertinent
sections of this act. The manufacturer of the beverages must
comply with section 444.
* * *
Section 492. Unlawful Acts Relative to Malt or Brewed
Beverages and Licensees.--
It shall be unlawful--
* * *
(22) Selling or Distributing of Malt or Brewed Beverages.
For the holder of a brewery license to sell or distribute malt
or brewed beverages except as provided under [section 446(a)(1)]
sections 431(b) and 446(a).
(5) Nothing in paragraphs (2) and (3) shall be construed to
impact the status of existing or future distribution contracts
or rights under this act.
* * *
Section 2. This act shall take effect in 60 days.
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