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BILL AS INTRODUCED 2007-2008

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H.786

Introduced by Representatives Scheuermann of Stowe, Brennan of Colchester, Komline of Dorset, Larrabee of Danville, Smith of Morristown and Westman of Cambridge

Referred to Committee on

Date:

Subject:  Alcoholic beverages; makeup of liquor board; common ownership; malted beverages; shared inventory

Statement of purpose:  This bill proposes to require that one member of the liquor control board be a representative of the hospitality industry; to increase the alcoholic content of malt beverages; to permit second class licensees to sell beer with a higher alcoholic content; and to allow separate licensed establishments under the same ownership and located on the same premises to exchange and share inventory.

AN ACT RELATING TO THE LIQUOR CONTROL BOARD, THE ALCOHOLIC CONTENT OF MALT BEVERAGES, AND SHARING INVENTORY BETWEEN CERTAIN LICENSEES

It is hereby enacted by the General Assembly of the State of Vermont:

Sec. 1.  7 V.S.A. § 101(b) is amended to read:

(b)  The liquor control board shall consist of three persons members, not more than two members of which shall belong to the same political party. Biennially, with the advice and consent of the senate, the governor shall appoint a person as a member of such the board for the term of six years, whose term of office shall commence beginning on February 1 of the year in which such the appointment is made.  One of the members shall be a representative of the hospitality business.  The governor shall biennially designate a member of such board to be its chairman chair.

Sec. 2.  7 V.S.A. § 2(14) and (20) are amended to read:

(14)  “Malt beverages”:  all fermented beverages of any name or description manufactured for sale from malt, wholly or in part, or from any substitute therefor, known as beer, porter, ale, and stout, containing not less than one percent nor more than eight 16 percent of alcohol by volume at 60 degrees fahrenheit Fahrenheit.  However, if such a beverage has an alcohol content of more than six percent and not more than eight percent and has a terminal specific gravity of less than 1.009, it shall be deemed to be a spirit and not a malt beverage.  The holder of the certificate of approval or the manufacturer shall certify to the liquor control board the terminal specific gravity of the beverage when the alcohol content is more than six percent and not more than eight percent.

(20)  “Spirits”:  beverages for sale containing more than one percent of alcohol obtained by distillation, by chemical synthesis, or through concentration by freezing; and vinous beverages containing more than 16 percent of alcohol; and all vermouths of any alcohol content; malt beverages containing more than eight 16 percent of alcohol or more than six percent of alcohol if the terminal specific gravity thereof is less than 1.009; in each case measured by volume at 60 degrees fahrenheit Fahrenheit.

Sec. 3.  7 V.S.A. § 421(a) is amended to read:

 (a)  Every bottler and wholesaler shall pay to the commissioner of taxes the sum of 26 and one-half cents per gallon for every gallon or its equivalent of malt beverage containing not more than six percent of alcohol by volume at 60 degrees fahrenheit Fahrenheit sold by them to retailers in the state and the sum of 55 cents per gallon for each gallon of malt beverage containing more than six percent and not more than eight percent of alcohol by volume at 60 degrees fahrenheit Fahrenheit and each gallon of vinous beverages sold by them to retailers in the state and shall also pay to the liquor control board all fees for bottler’s and wholesaler’s licenses.

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Sec. 4.  BEER LABELING

Malt beverages with alcohol content above eight percent shall be labeled in accordance with the code of federal regulations.


Sec. 5.  7 V.S.A. § 224 is amended to read:

§ 224.  THIRD CLASS LICENSES; OPEN CONTAINERS; INVENTORY

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(c)  A person who holds a third class license shall purchase from the liquor control board all spirituous liquors dispensed in accordance with the provisions of the third class license and this title.  A person who holds two or more first, third, or first and third class licenses for separate locations, as authorized by the board pursuant to subsection 229(a) of this title, may share or exchange alcoholic inventory among the licensed premises, provided the licensed premises are located on the same property and the inventory is acknowledged on invoice pursuant to rules of the board.



Published by:

The Vermont General Assembly
115 State Street
Montpelier, Vermont


www.leg.state.vt.us