Bill Text: IA HF260 | 2023-2024 | 90th General Assembly | Introduced


Bill Title: A bill for an act providing for the direct shipment of beer and including effective date provisions.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2024-02-01 - Subcommittee recommends passage. Vote Total: 2-0. [HF260 Detail]

Download: Iowa-2023-HF260-Introduced.html
House File 260 - Introduced HOUSE FILE 260 BY JONES A BILL FOR An Act providing for the direct shipment of beer and including 1 effective date provisions. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 1997YH (2) 90 ec/rn
H.F. 260 Section 1. Section 123.32, subsection 1, paragraph b, Code 1 2023, is amended by adding the following new subparagraph: 2 NEW SUBPARAGRAPH . (06) A beer direct shipper license as 3 provided in section 123.147. 4 Sec. 2. Section 123.46A, subsection 5, Code 2023, is amended 5 to read as follows: 6 5. Nothing in this section shall impact the direct shipment 7 of beer as regulated by section 123.147 or the direct shipment 8 of wine as regulated by section 123.187 . 9 Sec. 3. Section 123.136, subsection 1, Code 2023, is amended 10 to read as follows: 11 1. In addition to the annual permit fee to be paid by 12 all class “A” beer permittees under this chapter there shall 13 be levied and collected from the permittees on all beer 14 manufactured for sale or sold in this state at wholesale and 15 on all beer imported into this state for sale at wholesale and 16 sold in this state at wholesale, and from special class “A” 17 beer permittees on all beer manufactured for consumption on the 18 premises and on all beer sold at retail at the manufacturing 19 premises for consumption off the premises pursuant to section 20 123.130, subsection 4 , a tax of five and eighty-nine hundredths 21 dollars for every barrel containing thirty-one gallons, and at 22 a like rate for any other quantity or for the fractional part 23 of a barrel. A barrel tax shall also be levied and collected 24 on the direct shipment of beer pursuant to section 123.147. 25 However, no tax shall be levied or collected on beer shipped 26 outside this state by a class “A” beer permittee or special 27 class “A” beer permittee or on beer sold to a class “A” beer 28 permittee by a special class “A” beer permittee or another 29 class “A” beer permittee. 30 Sec. 4. Section 123.137, Code 2023, is amended by adding the 31 following new subsection: 32 NEW SUBSECTION . 1A. Each beer direct shipper license holder 33 shall make a report under oath to the division electronically, 34 or in a manner prescribed by the administrator, on or before 35 -1- LSB 1997YH (2) 90 ec/rn 1/ 5
H.F. 260 the tenth day of the calendar months of June and December, 1 showing the exact number of barrels of beer and fractional 2 parts of barrels sold and shipped pursuant to section 123.147 3 during the preceding six-month calendar period. The report 4 shall also state whatever reasonable additional information 5 the administrator requires. The license holder at the time of 6 filing this report shall pay to the division the amount of tax 7 due at the rate fixed in section 123.136. 8 Sec. 5. NEW SECTION . 123.147 Direct shipment of beer —— 9 license and requirements. 10 1. A beer manufacturer licensed or permitted pursuant to 11 laws regulating alcoholic beverages in this state or another 12 state may apply for a beer direct shipper permit, as provided 13 in this section. 14 2. a. Only a beer manufacturer that holds a beer direct 15 shipper license issued pursuant to this section shall sell beer 16 at retail for direct shipment to any person within this state. 17 This section shall not prohibit an authorized retail licensee 18 from delivering beer pursuant to section 123.46A. 19 b. A beer manufacturer applying for a beer direct 20 shipper license shall submit an application for the license 21 electronically, or in a manner prescribed by the administrator, 22 accompanied by a true copy of the manufacturer’s current 23 alcoholic beverage license or permit issued by the state 24 where the manufacturer is primarily located and a copy of the 25 manufacturer’s basic permit issued by the alcohol and tobacco 26 tax and trade bureau of the United States department of the 27 treasury. 28 c. An application submitted pursuant to paragraph “b” shall 29 be accompanied by a license fee in the amount of twenty-five 30 dollars. 31 d. A license issued pursuant to this section may be 32 renewed annually by submitting a renewal application with the 33 administrator in a manner prescribed by the administrator, 34 accompanied by the twenty-five-dollar license fee. 35 -2- LSB 1997YH (2) 90 ec/rn 2/ 5
H.F. 260 3. The direct shipment of beer pursuant to this 1 section shall be subject to the following requirements and 2 restrictions: 3 a. Beer shall only be shipped to a resident of this state 4 who is at least twenty-one years of age, for the resident’s 5 personal use and consumption and not for resale. 6 b. Beer subject to direct shipping shall be properly 7 registered with the federal alcohol and tobacco tax and trade 8 bureau, and manufactured on the licensed premises of the beer 9 direct shipper licensee. 10 c. All containers of beer shipped directly to a resident 11 of this state shall be conspicuously labeled with the words 12 “CONTAINS ALCOHOL: SIGNATURE OF PERSON AGE 21 OR OLDER 13 REQUIRED FOR DELIVERY” or shall be conspicuously labeled with 14 alternative wording preapproved by the administrator. 15 d. All containers of beer shipped directly to a resident 16 of this state shall be shipped by a holder of an alcoholic 17 beverage carrier permit as provided in section 123.188. 18 e. Shipment of beer pursuant to this subsection does not 19 require a refund value for beverage container control purposes 20 under chapter 455C. 21 4. A beer direct shipper licensee shall remit to the 22 division an amount equivalent to the barrel tax on beer subject 23 to direct shipment at the rate specified in section 123.136 24 for deposit as provided in section 123.136, subsection 2. 25 The amount shall be remitted at the time and in the manner 26 provided in section 123.137, subsection 1A, and the ten percent 27 penalty specified in section 123.137, subsection 2, shall be 28 applicable. 29 5. A beer direct shipper licensee shall be deemed to have 30 consented to the jurisdiction of the division or any other 31 agency or court in this state concerning enforcement of this 32 section and any related laws, rules, or regulations. A license 33 holder shall allow the division to perform an audit of shipping 34 records upon request. 35 -3- LSB 1997YH (2) 90 ec/rn 3/ 5
H.F. 260 6. A violation of this section shall subject the licensee 1 to the general penalties provided in this chapter and shall 2 constitute grounds for imposition of a civil penalty or 3 suspension or revocation of the license pursuant to section 4 123.39. 5 Sec. 6. Section 123.188, subsections 1, 2, and 4, Code 2023, 6 are amended to read as follows: 7 1. A person desiring to deliver beer subject to direct 8 shipment within this state pursuant to section 123.147 and 9 wine subject to direct shipment within this state pursuant 10 to section 123.187 shall submit an application for a wine 11 an alcoholic beverage carrier permit electronically, or in 12 a manner prescribed by the administrator, which shall be 13 accompanied by a fee in the amount of one hundred dollars. 14 2. The administrator may in accordance with this chapter 15 issue a wine an alcoholic beverage carrier permit which shall 16 be valid for one year from the date of issuance unless it is 17 sooner suspended or revoked for a violation of this chapter . 18 4. The delivery of beer and wine pursuant to this 19 section shall be subject to the following requirements and 20 restrictions: 21 a. A wine An alcoholic beverage carrier permittee shall 22 not deliver beer or wine to any person under twenty-one years 23 of age, or to any person who either is or appears to be in an 24 intoxicated state or condition. 25 b. A wine An alcoholic beverage carrier permittee shall 26 obtain valid proof of identity and age prior to delivery, 27 and shall obtain the signature of an adult as a condition of 28 delivery. 29 c. A wine An alcoholic beverage carrier permittee shall 30 maintain records of beer and wine shipped which include the 31 permit number and name of the beer and wine manufacturer, 32 quantity of beer and wine shipped, recipient’s name and 33 address, and an electronic or paper form of signature from the 34 recipient of the beer and wine. Records shall be submitted 35 -4- LSB 1997YH (2) 90 ec/rn 4/ 5
H.F. 260 to the division on a monthly basis in a form and manner to be 1 determined by the division. 2 Sec. 7. EFFECTIVE DATE. This Act takes effect January 1, 3 2024. 4 EXPLANATION 5 The inclusion of this explanation does not constitute agreement with 6 the explanation’s substance by the members of the general assembly. 7 This bill allows for the direct shipment of beer within the 8 state. 9 New Code section 123.147 provides for the direct shipment 10 of beer and provides for a beer direct shipper license. 11 Provisions governing the direct shipment of wine and the wine 12 direct shipper permit are generally made applicable to the new 13 Code section providing for the direct shipment of beer. The 14 bill provides for application requirements and establishes the 15 annual fee for the license as $25. The bill also provides that 16 a licensee under the new Code section shall pay the barrel tax 17 on beer subject to direct shipment at the rate specified for 18 beer sold in the state. Code section 123.135, concerning the 19 barrel tax, and Code section 123.136, concerning report of 20 barrel sales, are made applicable to beer subject to direct 21 shipment. 22 Code section 123.188, providing for a wine carrier permit, 23 is amended to provide for the direct shipment of beer as 24 provided by the bill. 25 The bill takes effect January 1, 2024. 26 -5- LSB 1997YH (2) 90 ec/rn 5/ 5
feedback