Committee substitute for Senate Bill 534 elicited many questions from the Senate Judiciary Committee on Monday before it passed after an over two-hour discussion.
Counsel explained the bill, saying it added five new sections to the law and amended 15 sections.
Among other purposes, the bill clarifies fair and festival language, authorizes municipalities to designate outside areas for consuming alcoholic beverages, allows beer slushies, provides greater freedom for sampling, and removes the beverage limit for food deliveries, among other provisions.
Questions ranged from the requirement of fresh food to the reasoning behind specified populations of municipalities.
Senator Mike Stuart of Kanawha County asked what problem this bill was solving.
Counsel responded that it’s primarily for tourism and expanding services for customers.
“This is a regulated state,” said Counsel.
Senator Stuart commented on the amount of detail in the bill, calling it “painstaking” and observing that a city or town would almost always be in violation of something.
Senator Bill Hamilton of Upshur County asked, “What is a beer slushie?”
Counsel said, “I have no idea, but it will never touch my lips unless there’s nothing else to drink.”
Senator Laura Wakim Chapman of Ohio County asked why the bill refers to West Virginia products. Anoop Basim, Counsel for Alcohol Beverage Control (ABCA), said a West Virginia product, as defined in code, is any product from anywhere as long as the ABCA has listed it. He said the agency has about 2,500 listed and 2,500 special orders.
Mr. Basim responded to several of the questions from committee members, including the term “private” as it relates to the West Virginia Constitution and “trusts” as they relate to businesses, such as beer distributorships. He said he has had discussions with Chairman Charles Trump of Morgan County about simplifying the laws, but it would need to start by amending the Constitution.
Senator Patrick Martin of Lewis County proposed an amendment to take out all language related to allowing municipalities to designate outdoor areas where drinks could be consumed. He said municipalities already are allowing people to drink outside at restaurants.
Senator Ryan Weld of Brooke County spoke in opposition to the amendment, saying he has gone to Wooster, Ohio, which has designated outdoor recreation areas {DORAs} where people can drink outside.
“We have so many cities in West Virginia directly on the river. This comes with guardrails to allow cities to have control,” said Senator Weld.
The amendment was adopted by a 10-to-6 roll-call vote.
Senator Patricia Rucker of Jefferson County proposed an amendment to simplify the language related to food by simply saying there must be the capability of serving freshly prepared food and have food on hand but remove all the references to the specific amounts of food. The amendment was adopted.
Senator Chapman proposed an amendment to reduce the new $750 fee to the original $500 and it was adopted.
Senator Patrick Martin of Lewis County proposed an amendment that a municipality could not charge any additional fee beyond the fees established by ABCA.
Senator Mike Caputo of Marion County spoke against the amendment, saying, “We’re all for local control until we’re not,” and he expressed concern about the impact on municipal revenues.
Senator Weld said he could not support the amendment until he knew the revenue impact. The amendment was rejected.
Senator Chapman proposed an amendment to remove all language referring to trusts, saying trusts should not be allowed to get a license. Senator Weld asked Mr. Basim to explain the relationship of trusts to distributorships.
“On a weekly basis, we probably get five to six trusts. We get some disclosure of the trust,” Mr. Basim said. He added that trusts already are allowed to own a distributorship, and that it has become an estate-planning tool for some family-owned businesses. He clarified to Chairman Trump that if this language is gone, the trusts no longer can be licensed.
The amendment was adopted. |