Bill Text: IL HB4701 | 2023-2024 | 103rd General Assembly | Introduced

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Bill Title: Amends the Liquor Control Act of 1934. Provides that the amendatory Act may be referred to as the Uniform Alcohol Direct-Shipping Compliance Act. Provides for the registration of third-party providers that ship wine to residents of this State on behalf of winery shippers. With regard to third-party providers, sets forth provisions concerning registration applications; recordkeeping; reporting; and suspending, revoking, or refusing to issue or renew a registration. Provides that a carrier may not deliver to a consumer a package known by the carrier to contain wine unless the consignor is a licensed winery shipper or registered third-party provider and the carrier has verified that license or registration for the current license period. Requires winery shippers, third-party providers, and carriers to file with the Illinois Liquor Control Commission a monthly report containing specified information concerning wine shipments. Provides that the State Commission may suspend, revoke, or refuse to issue or renew a license to manufacture, distribute, or sell alcoholic liquor issued by the State Commission if the State Commission finds, after notice and an opportunity for an evidentiary hearing, that the person holding the license has shipped alcoholic liquor into another state in violation of that state's law. Makes other changes. Amends the Freedom of Information Act to make a conforming change.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-04-05 - Rule 19(a) / Re-referred to Rules Committee [HB4701 Detail]

Download: Illinois-2023-HB4701-Introduced.html

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103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4701 Introduced , by Rep. Daniel Didech SYNOPSIS AS INTRODUCED:
5 ILCS 140/7.5
235 ILCS 5/1-3.45 new
235 ILCS 5/3-12
235 ILCS 5/5-1 from Ch. 43, par. 115
235 ILCS 5/5-8 new
235 ILCS 5/6-29 from Ch. 43, par. 144e
235 ILCS 5/7-3.5 new
235 ILCS 5/7-15 new
Amends the Liquor Control Act of 1934. Provides that the amendatory Act may be referred to as the Uniform Alcohol Direct-Shipping Compliance Act. Provides for the registration of third-party providers that ship wine to residents of this State on behalf of winery shippers. With regard to third-party providers, sets forth provisions concerning registration applications; recordkeeping; reporting; and suspending, revoking, or refusing to issue or renew a registration. Provides that a carrier may not deliver to a consumer a package known by the carrier to contain wine unless the consignor is a licensed winery shipper or registered third-party provider and the carrier has verified that license or registration for the current license period. Requires winery shippers, third-party providers, and carriers to file with the Illinois Liquor Control Commission a monthly report containing specified information concerning wine shipments. Provides that the State Commission may suspend, revoke, or refuse to issue or renew a license to manufacture, distribute, or sell alcoholic liquor issued by the State Commission if the State Commission finds, after notice and an opportunity for an evidentiary hearing, that the person holding the license has shipped alcoholic liquor into another state in violation of that state's law. Makes other changes. Amends the Freedom of Information Act to make a conforming change.
LRB103 36426 RPS 66528 b
A BILL FOR
HB4701 LRB103 36426 RPS 66528 b
AN ACT concerning liquor.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 1. This Act may be referred to as the Uniform
Alcohol Direct-Shipping Compliance Act.
Section 5. The Freedom of Information Act is amended by
changing Section 7.5 as follows:
(5 ILCS 140/7.5)
(Text of Section before amendment by P.A. 103-472)
Sec. 7.5. Statutory exemptions. To the extent provided for
by the statutes referenced below, the following shall be
exempt from inspection and copying:
(a) All information determined to be confidential
under Section 4002 of the Technology Advancement and
Development Act.
(b) Library circulation and order records identifying
library users with specific materials under the Library
Records Confidentiality Act.
(c) Applications, related documents, and medical
records received by the Experimental Organ Transplantation
Procedures Board and any and all documents or other
records prepared by the Experimental Organ Transplantation

HB4701 - 2 - LRB103 36426 RPS 66528 b
Procedures Board or its staff relating to applications it
has received.
(d) Information and records held by the Department of
Public Health and its authorized representatives relating
to known or suspected cases of sexually transmissible
disease or any information the disclosure of which is
restricted under the Illinois Sexually Transmissible
Disease Control Act.
(e) Information the disclosure of which is exempted
under Section 30 of the Radon Industry Licensing Act.
(f) Firm performance evaluations under Section 55 of
the Architectural, Engineering, and Land Surveying
Qualifications Based Selection Act.
(g) Information the disclosure of which is restricted
and exempted under Section 50 of the Illinois Prepaid
Tuition Act.
(h) Information the disclosure of which is exempted
under the State Officials and Employees Ethics Act, and
records of any lawfully created State or local inspector
general's office that would be exempt if created or
obtained by an Executive Inspector General's office under
that Act.
(i) Information contained in a local emergency energy
plan submitted to a municipality in accordance with a
local emergency energy plan ordinance that is adopted
under Section 11-21.5-5 of the Illinois Municipal Code.

HB4701 - 3 - LRB103 36426 RPS 66528 b
(j) Information and data concerning the distribution
of surcharge moneys collected and remitted by carriers
under the Emergency Telephone System Act.
(k) Law enforcement officer identification information
or driver identification information compiled by a law
enforcement agency or the Department of Transportation
under Section 11-212 of the Illinois Vehicle Code.
(l) Records and information provided to a residential
health care facility resident sexual assault and death
review team or the Executive Council under the Abuse
Prevention Review Team Act.
(m) Information provided to the predatory lending
database created pursuant to Article 3 of the Residential
Real Property Disclosure Act, except to the extent
authorized under that Article.
(n) Defense budgets and petitions for certification of
compensation and expenses for court appointed trial
counsel as provided under Sections 10 and 15 of the
Capital Crimes Litigation Act (repealed). This subsection
(n) shall apply until the conclusion of the trial of the
case, even if the prosecution chooses not to pursue the
death penalty prior to trial or sentencing.
(o) Information that is prohibited from being
disclosed under Section 4 of the Illinois Health and
Hazardous Substances Registry Act.
(p) Security portions of system safety program plans,

HB4701 - 4 - LRB103 36426 RPS 66528 b
investigation reports, surveys, schedules, lists, data, or
information compiled, collected, or prepared by or for the
Department of Transportation under Sections 2705-300 and
2705-616 of the Department of Transportation Law of the
Civil Administrative Code of Illinois, the Regional
Transportation Authority under Section 2.11 of the
Regional Transportation Authority Act, or the St. Clair
County Transit District under the Bi-State Transit Safety
Act (repealed).
(q) Information prohibited from being disclosed by the
Personnel Record Review Act.
(r) Information prohibited from being disclosed by the
Illinois School Student Records Act.
(s) Information the disclosure of which is restricted
under Section 5-108 of the Public Utilities Act.
(t) (Blank).
(u) Records and information provided to an independent
team of experts under the Developmental Disability and
Mental Health Safety Act (also known as Brian's Law).
(v) Names and information of people who have applied
for or received Firearm Owner's Identification Cards under
the Firearm Owners Identification Card Act or applied for
or received a concealed carry license under the Firearm
Concealed Carry Act, unless otherwise authorized by the
Firearm Concealed Carry Act; and databases under the
Firearm Concealed Carry Act, records of the Concealed

HB4701 - 5 - LRB103 36426 RPS 66528 b
Carry Licensing Review Board under the Firearm Concealed
Carry Act, and law enforcement agency objections under the
Firearm Concealed Carry Act.
(v-5) Records of the Firearm Owner's Identification
Card Review Board that are exempted from disclosure under
Section 10 of the Firearm Owners Identification Card Act.
(w) Personally identifiable information which is
exempted from disclosure under subsection (g) of Section
19.1 of the Toll Highway Act.
(x) Information which is exempted from disclosure
under Section 5-1014.3 of the Counties Code or Section
8-11-21 of the Illinois Municipal Code.
(y) Confidential information under the Adult
Protective Services Act and its predecessor enabling
statute, the Elder Abuse and Neglect Act, including
information about the identity and administrative finding
against any caregiver of a verified and substantiated
decision of abuse, neglect, or financial exploitation of
an eligible adult maintained in the Registry established
under Section 7.5 of the Adult Protective Services Act.
(z) Records and information provided to a fatality
review team or the Illinois Fatality Review Team Advisory
Council under Section 15 of the Adult Protective Services
Act.
(aa) Information which is exempted from disclosure
under Section 2.37 of the Wildlife Code.

HB4701 - 6 - LRB103 36426 RPS 66528 b
(bb) Information which is or was prohibited from
disclosure by the Juvenile Court Act of 1987.
(cc) Recordings made under the Law Enforcement
Officer-Worn Body Camera Act, except to the extent
authorized under that Act.
(dd) Information that is prohibited from being
disclosed under Section 45 of the Condominium and Common
Interest Community Ombudsperson Act.
(ee) Information that is exempted from disclosure
under Section 30.1 of the Pharmacy Practice Act.
(ff) Information that is exempted from disclosure
under the Revised Uniform Unclaimed Property Act.
(gg) Information that is prohibited from being
disclosed under Section 7-603.5 of the Illinois Vehicle
Code.
(hh) Records that are exempt from disclosure under
Section 1A-16.7 of the Election Code.
(ii) Information which is exempted from disclosure
under Section 2505-800 of the Department of Revenue Law of
the Civil Administrative Code of Illinois.
(jj) Information and reports that are required to be
submitted to the Department of Labor by registering day
and temporary labor service agencies but are exempt from
disclosure under subsection (a-1) of Section 45 of the Day
and Temporary Labor Services Act.
(kk) Information prohibited from disclosure under the

HB4701 - 7 - LRB103 36426 RPS 66528 b
Seizure and Forfeiture Reporting Act.
(ll) Information the disclosure of which is restricted
and exempted under Section 5-30.8 of the Illinois Public
Aid Code.
(mm) Records that are exempt from disclosure under
Section 4.2 of the Crime Victims Compensation Act.
(nn) Information that is exempt from disclosure under
Section 70 of the Higher Education Student Assistance Act.
(oo) Communications, notes, records, and reports
arising out of a peer support counseling session
prohibited from disclosure under the First Responders
Suicide Prevention Act.
(pp) Names and all identifying information relating to
an employee of an emergency services provider or law
enforcement agency under the First Responders Suicide
Prevention Act.
(qq) Information and records held by the Department of
Public Health and its authorized representatives collected
under the Reproductive Health Act.
(rr) Information that is exempt from disclosure under
the Cannabis Regulation and Tax Act.
(ss) Data reported by an employer to the Department of
Human Rights pursuant to Section 2-108 of the Illinois
Human Rights Act.
(tt) Recordings made under the Children's Advocacy
Center Act, except to the extent authorized under that

HB4701 - 8 - LRB103 36426 RPS 66528 b
Act.
(uu) Information that is exempt from disclosure under
Section 50 of the Sexual Assault Evidence Submission Act.
(vv) Information that is exempt from disclosure under
subsections (f) and (j) of Section 5-36 of the Illinois
Public Aid Code.
(ww) Information that is exempt from disclosure under
Section 16.8 of the State Treasurer Act.
(xx) Information that is exempt from disclosure or
information that shall not be made public under the
Illinois Insurance Code.
(yy) Information prohibited from being disclosed under
the Illinois Educational Labor Relations Act.
(zz) Information prohibited from being disclosed under
the Illinois Public Labor Relations Act.
(aaa) Information prohibited from being disclosed
under Section 1-167 of the Illinois Pension Code.
(bbb) Information that is prohibited from disclosure
by the Illinois Police Training Act and the Illinois State
Police Act.
(ccc) Records exempt from disclosure under Section
2605-304 of the Illinois State Police Law of the Civil
Administrative Code of Illinois.
(ddd) Information prohibited from being disclosed
under Section 35 of the Address Confidentiality for
Victims of Domestic Violence, Sexual Assault, Human

HB4701 - 9 - LRB103 36426 RPS 66528 b
Trafficking, or Stalking Act.
(eee) Information prohibited from being disclosed
under subsection (b) of Section 75 of the Domestic
Violence Fatality Review Act.
(fff) Images from cameras under the Expressway Camera
Act. This subsection (fff) is inoperative on and after
July 1, 2025.
(ggg) Information prohibited from disclosure under
paragraph (3) of subsection (a) of Section 14 of the Nurse
Agency Licensing Act.
(hhh) Information submitted to the Illinois State
Police in an affidavit or application for an assault
weapon endorsement, assault weapon attachment endorsement,
.50 caliber rifle endorsement, or .50 caliber cartridge
endorsement under the Firearm Owners Identification Card
Act.
(iii) Data exempt from disclosure under Section 50 of
the School Safety Drill Act.
(jjj) (hhh) Information exempt from disclosure under
Section 30 of the Insurance Data Security Law.
(kkk) (iii) Confidential business information
prohibited from disclosure under Section 45 of the Paint
Stewardship Act.
(lll) (Reserved).
(mmm) (iii) Information prohibited from being
disclosed under subsection (e) of Section 1-129 of the

HB4701 - 10 - LRB103 36426 RPS 66528 b
Illinois Power Agency Act.
(nnn) Information prohibited from being disclosed
under Section 6-29 of the Liquor Control Act of 1934.
(Source: P.A. 102-36, eff. 6-25-21; 102-237, eff. 1-1-22;
102-292, eff. 1-1-22; 102-520, eff. 8-20-21; 102-559, eff.
8-20-21; 102-813, eff. 5-13-22; 102-946, eff. 7-1-22;
102-1042, eff. 6-3-22; 102-1116, eff. 1-10-23; 103-8, eff.
6-7-23; 103-34, eff. 6-9-23; 103-142, eff. 1-1-24; 103-372,
eff. 1-1-24; 103-508, eff. 8-4-23; 103-580, eff. 12-8-23;
revised 1-2-24.)
(Text of Section after amendment by P.A. 103-472)
Sec. 7.5. Statutory exemptions. To the extent provided for
by the statutes referenced below, the following shall be
exempt from inspection and copying:
(a) All information determined to be confidential
under Section 4002 of the Technology Advancement and
Development Act.
(b) Library circulation and order records identifying
library users with specific materials under the Library
Records Confidentiality Act.
(c) Applications, related documents, and medical
records received by the Experimental Organ Transplantation
Procedures Board and any and all documents or other
records prepared by the Experimental Organ Transplantation
Procedures Board or its staff relating to applications it

HB4701 - 11 - LRB103 36426 RPS 66528 b
has received.
(d) Information and records held by the Department of
Public Health and its authorized representatives relating
to known or suspected cases of sexually transmissible
disease or any information the disclosure of which is
restricted under the Illinois Sexually Transmissible
Disease Control Act.
(e) Information the disclosure of which is exempted
under Section 30 of the Radon Industry Licensing Act.
(f) Firm performance evaluations under Section 55 of
the Architectural, Engineering, and Land Surveying
Qualifications Based Selection Act.
(g) Information the disclosure of which is restricted
and exempted under Section 50 of the Illinois Prepaid
Tuition Act.
(h) Information the disclosure of which is exempted
under the State Officials and Employees Ethics Act, and
records of any lawfully created State or local inspector
general's office that would be exempt if created or
obtained by an Executive Inspector General's office under
that Act.
(i) Information contained in a local emergency energy
plan submitted to a municipality in accordance with a
local emergency energy plan ordinance that is adopted
under Section 11-21.5-5 of the Illinois Municipal Code.
(j) Information and data concerning the distribution

HB4701 - 12 - LRB103 36426 RPS 66528 b
of surcharge moneys collected and remitted by carriers
under the Emergency Telephone System Act.
(k) Law enforcement officer identification information
or driver identification information compiled by a law
enforcement agency or the Department of Transportation
under Section 11-212 of the Illinois Vehicle Code.
(l) Records and information provided to a residential
health care facility resident sexual assault and death
review team or the Executive Council under the Abuse
Prevention Review Team Act.
(m) Information provided to the predatory lending
database created pursuant to Article 3 of the Residential
Real Property Disclosure Act, except to the extent
authorized under that Article.
(n) Defense budgets and petitions for certification of
compensation and expenses for court appointed trial
counsel as provided under Sections 10 and 15 of the
Capital Crimes Litigation Act (repealed). This subsection
(n) shall apply until the conclusion of the trial of the
case, even if the prosecution chooses not to pursue the
death penalty prior to trial or sentencing.
(o) Information that is prohibited from being
disclosed under Section 4 of the Illinois Health and
Hazardous Substances Registry Act.
(p) Security portions of system safety program plans,
investigation reports, surveys, schedules, lists, data, or

HB4701 - 13 - LRB103 36426 RPS 66528 b
information compiled, collected, or prepared by or for the
Department of Transportation under Sections 2705-300 and
2705-616 of the Department of Transportation Law of the
Civil Administrative Code of Illinois, the Regional
Transportation Authority under Section 2.11 of the
Regional Transportation Authority Act, or the St. Clair
County Transit District under the Bi-State Transit Safety
Act (repealed).
(q) Information prohibited from being disclosed by the
Personnel Record Review Act.
(r) Information prohibited from being disclosed by the
Illinois School Student Records Act.
(s) Information the disclosure of which is restricted
under Section 5-108 of the Public Utilities Act.
(t) (Blank).
(u) Records and information provided to an independent
team of experts under the Developmental Disability and
Mental Health Safety Act (also known as Brian's Law).
(v) Names and information of people who have applied
for or received Firearm Owner's Identification Cards under
the Firearm Owners Identification Card Act or applied for
or received a concealed carry license under the Firearm
Concealed Carry Act, unless otherwise authorized by the
Firearm Concealed Carry Act; and databases under the
Firearm Concealed Carry Act, records of the Concealed
Carry Licensing Review Board under the Firearm Concealed

HB4701 - 14 - LRB103 36426 RPS 66528 b
Carry Act, and law enforcement agency objections under the
Firearm Concealed Carry Act.
(v-5) Records of the Firearm Owner's Identification
Card Review Board that are exempted from disclosure under
Section 10 of the Firearm Owners Identification Card Act.
(w) Personally identifiable information which is
exempted from disclosure under subsection (g) of Section
19.1 of the Toll Highway Act.
(x) Information which is exempted from disclosure
under Section 5-1014.3 of the Counties Code or Section
8-11-21 of the Illinois Municipal Code.
(y) Confidential information under the Adult
Protective Services Act and its predecessor enabling
statute, the Elder Abuse and Neglect Act, including
information about the identity and administrative finding
against any caregiver of a verified and substantiated
decision of abuse, neglect, or financial exploitation of
an eligible adult maintained in the Registry established
under Section 7.5 of the Adult Protective Services Act.
(z) Records and information provided to a fatality
review team or the Illinois Fatality Review Team Advisory
Council under Section 15 of the Adult Protective Services
Act.
(aa) Information which is exempted from disclosure
under Section 2.37 of the Wildlife Code.
(bb) Information which is or was prohibited from

HB4701 - 15 - LRB103 36426 RPS 66528 b
disclosure by the Juvenile Court Act of 1987.
(cc) Recordings made under the Law Enforcement
Officer-Worn Body Camera Act, except to the extent
authorized under that Act.
(dd) Information that is prohibited from being
disclosed under Section 45 of the Condominium and Common
Interest Community Ombudsperson Act.
(ee) Information that is exempted from disclosure
under Section 30.1 of the Pharmacy Practice Act.
(ff) Information that is exempted from disclosure
under the Revised Uniform Unclaimed Property Act.
(gg) Information that is prohibited from being
disclosed under Section 7-603.5 of the Illinois Vehicle
Code.
(hh) Records that are exempt from disclosure under
Section 1A-16.7 of the Election Code.
(ii) Information which is exempted from disclosure
under Section 2505-800 of the Department of Revenue Law of
the Civil Administrative Code of Illinois.
(jj) Information and reports that are required to be
submitted to the Department of Labor by registering day
and temporary labor service agencies but are exempt from
disclosure under subsection (a-1) of Section 45 of the Day
and Temporary Labor Services Act.
(kk) Information prohibited from disclosure under the
Seizure and Forfeiture Reporting Act.

HB4701 - 16 - LRB103 36426 RPS 66528 b
(ll) Information the disclosure of which is restricted
and exempted under Section 5-30.8 of the Illinois Public
Aid Code.
(mm) Records that are exempt from disclosure under
Section 4.2 of the Crime Victims Compensation Act.
(nn) Information that is exempt from disclosure under
Section 70 of the Higher Education Student Assistance Act.
(oo) Communications, notes, records, and reports
arising out of a peer support counseling session
prohibited from disclosure under the First Responders
Suicide Prevention Act.
(pp) Names and all identifying information relating to
an employee of an emergency services provider or law
enforcement agency under the First Responders Suicide
Prevention Act.
(qq) Information and records held by the Department of
Public Health and its authorized representatives collected
under the Reproductive Health Act.
(rr) Information that is exempt from disclosure under
the Cannabis Regulation and Tax Act.
(ss) Data reported by an employer to the Department of
Human Rights pursuant to Section 2-108 of the Illinois
Human Rights Act.
(tt) Recordings made under the Children's Advocacy
Center Act, except to the extent authorized under that
Act.

HB4701 - 17 - LRB103 36426 RPS 66528 b
(uu) Information that is exempt from disclosure under
Section 50 of the Sexual Assault Evidence Submission Act.
(vv) Information that is exempt from disclosure under
subsections (f) and (j) of Section 5-36 of the Illinois
Public Aid Code.
(ww) Information that is exempt from disclosure under
Section 16.8 of the State Treasurer Act.
(xx) Information that is exempt from disclosure or
information that shall not be made public under the
Illinois Insurance Code.
(yy) Information prohibited from being disclosed under
the Illinois Educational Labor Relations Act.
(zz) Information prohibited from being disclosed under
the Illinois Public Labor Relations Act.
(aaa) Information prohibited from being disclosed
under Section 1-167 of the Illinois Pension Code.
(bbb) Information that is prohibited from disclosure
by the Illinois Police Training Act and the Illinois State
Police Act.
(ccc) Records exempt from disclosure under Section
2605-304 of the Illinois State Police Law of the Civil
Administrative Code of Illinois.
(ddd) Information prohibited from being disclosed
under Section 35 of the Address Confidentiality for
Victims of Domestic Violence, Sexual Assault, Human
Trafficking, or Stalking Act.

HB4701 - 18 - LRB103 36426 RPS 66528 b
(eee) Information prohibited from being disclosed
under subsection (b) of Section 75 of the Domestic
Violence Fatality Review Act.
(fff) Images from cameras under the Expressway Camera
Act. This subsection (fff) is inoperative on and after
July 1, 2025.
(ggg) Information prohibited from disclosure under
paragraph (3) of subsection (a) of Section 14 of the Nurse
Agency Licensing Act.
(hhh) Information submitted to the Illinois State
Police in an affidavit or application for an assault
weapon endorsement, assault weapon attachment endorsement,
.50 caliber rifle endorsement, or .50 caliber cartridge
endorsement under the Firearm Owners Identification Card
Act.
(iii) Data exempt from disclosure under Section 50 of
the School Safety Drill Act.
(jjj) (hhh) Information exempt from disclosure under
Section 30 of the Insurance Data Security Law.
(kkk) (iii) Confidential business information
prohibited from disclosure under Section 45 of the Paint
Stewardship Act.
(lll) (iii) Data exempt from disclosure under Section
2-3.196 of the School Code.
(mmm) (iii) Information prohibited from being
disclosed under subsection (e) of Section 1-129 of the

HB4701 - 19 - LRB103 36426 RPS 66528 b
Illinois Power Agency Act.
(nnn) Information prohibited from being disclosed
under Section 6-29 of the Liquor Control Act of 1934.
(Source: P.A. 102-36, eff. 6-25-21; 102-237, eff. 1-1-22;
102-292, eff. 1-1-22; 102-520, eff. 8-20-21; 102-559, eff.
8-20-21; 102-813, eff. 5-13-22; 102-946, eff. 7-1-22;
102-1042, eff. 6-3-22; 102-1116, eff. 1-10-23; 103-8, eff.
6-7-23; 103-34, eff. 6-9-23; 103-142, eff. 1-1-24; 103-372,
eff. 1-1-24; 103-472, eff. 8-1-24; 103-508, eff. 8-4-23;
103-580, eff. 12-8-23; revised 1-2-24.)
Section 10. The Liquor Control Act of 1934 is amended by
changing Sections 3-12, 5-1, and 6-29 and by adding Sections
1-3.45, 5-8, 7-3.5, and 7-15 as follows:
(235 ILCS 5/1-3.45 new)
Sec. 1-3.45. Third-party provider. "Third-party provider"
means any entity that provides fulfillment house services,
including warehousing, packaging, distribution, order
processing, or shipment of wine, but not the sale of wine, on
behalf of a winery shipper.
(235 ILCS 5/3-12)
Sec. 3-12. Powers and duties of State Commission.
(a) The State Commission shall have the following powers,
functions, and duties:

HB4701 - 20 - LRB103 36426 RPS 66528 b
(1) To receive applications, to register third-party
providers, and to issue licenses to manufacturers, foreign
importers, importing distributors, distributors,
non-resident dealers, on premise consumption retailers,
off premise sale retailers, special event retailer
licensees, special use permit licenses, auction liquor
licenses, brew pubs, caterer retailers, non-beverage
users, railroads, including owners and lessees of
sleeping, dining and cafe cars, airplanes, boats, brokers,
and wine maker's premises licensees in accordance with the
provisions of this Act, and to suspend or revoke such
licenses and registrations upon the State Commission's
determination, upon notice after hearing, that a licensee
or registrant has violated any provision of this Act or
any rule or regulation issued pursuant thereto and in
effect for 30 days prior to such violation. Except in the
case of an action taken pursuant to a violation of Section
6-3, 6-5, or 6-9, any action by the State Commission to
suspend or revoke a licensee's license or a registrant's
registration may be limited to the license or registration
for the specific premises where the violation occurred. An
action for a violation of this Act shall be commenced by
the State Commission within 2 years after the date the
State Commission becomes aware of the violation.
In lieu of suspending or revoking a license or
registration, the commission may impose a fine, upon the

HB4701 - 21 - LRB103 36426 RPS 66528 b
State Commission's determination and notice after hearing,
that a licensee or registrant has violated any provision
of this Act or any rule or regulation issued pursuant
thereto and in effect for 30 days prior to such violation.
For the purpose of this paragraph (1), when
determining multiple violations for the sale of alcohol to
a person under the age of 21, a second or subsequent
violation for the sale of alcohol to a person under the age
of 21 shall only be considered if it was committed within 5
years after the date when a prior violation for the sale of
alcohol to a person under the age of 21 was committed.
The fine imposed under this paragraph may not exceed
$500 for each violation. Each day that the activity, which
gave rise to the original fine, continues is a separate
violation. The maximum fine that may be levied against any
licensee or registrant, for the period of the license or
registration, shall not exceed $20,000. The maximum
penalty that may be imposed on a licensee for selling a
bottle of alcoholic liquor with a foreign object in it or
serving from a bottle of alcoholic liquor with a foreign
object in it shall be the destruction of that bottle of
alcoholic liquor for the first 10 bottles so sold or
served from by the licensee. For the eleventh bottle of
alcoholic liquor and for each third bottle thereafter sold
or served from by the licensee with a foreign object in it,
the maximum penalty that may be imposed on the licensee is

HB4701 - 22 - LRB103 36426 RPS 66528 b
the destruction of the bottle of alcoholic liquor and a
fine of up to $50.
Any notice issued by the State Commission to a
licensee or registrant for a violation of this Act or any
notice with respect to settlement or offer in compromise
shall include the field report, photographs, and any other
supporting documentation necessary to reasonably inform
the licensee of the nature and extent of the violation or
the conduct alleged to have occurred. The failure to
include such required documentation shall result in the
dismissal of the action.
(2) To adopt such rules and regulations consistent
with the provisions of this Act which shall be necessary
to carry on its functions and duties to the end that the
health, safety and welfare of the People of the State of
Illinois shall be protected and temperance in the
consumption of alcoholic liquors shall be fostered and
promoted and to distribute copies of such rules and
regulations to all licensees affected thereby.
(3) To call upon other administrative departments of
the State, county and municipal governments, county and
city police departments and upon prosecuting officers for
such information and assistance as it deems necessary in
the performance of its duties.
(4) To recommend to local commissioners rules and
regulations, not inconsistent with the law, for the

HB4701 - 23 - LRB103 36426 RPS 66528 b
distribution and sale of alcoholic liquors throughout the
State.
(5) To inspect, or cause to be inspected, any premises
in this State where alcoholic liquors are manufactured,
distributed, warehoused, or sold. Nothing in this Act
authorizes an agent of the State Commission to inspect
private areas within the premises without reasonable
suspicion or a warrant during an inspection. "Private
areas" include, but are not limited to, safes, personal
property, and closed desks.
(5.1) Upon receipt of a complaint or upon having
knowledge that any person is engaged in business as a
manufacturer, importing distributor, distributor, or
retailer without a license or valid license or as a
third-party provider without registering with the State
Commission, to conduct an investigation. If, after
conducting an investigation, the State Commission is
satisfied that the alleged conduct occurred or is
occurring, it may issue a cease and desist notice as
provided in this Act, impose civil penalties as provided
in this Act, notify the local liquor authority, or file a
complaint with the State's Attorney's Office of the county
where the incident occurred or the Attorney General.
(5.2) Upon receipt of a complaint or upon having
knowledge that any person is shipping alcoholic liquor
into this State from a point outside of this State if the

HB4701 - 24 - LRB103 36426 RPS 66528 b
shipment is in violation of this Act, to conduct an
investigation. If, after conducting an investigation, the
State Commission is satisfied that the alleged conduct
occurred or is occurring, it may issue a cease and desist
notice as provided in this Act, impose civil penalties as
provided in this Act, notify the foreign jurisdiction, or
file a complaint with the State's Attorney's Office of the
county where the incident occurred or the Attorney
General.
(5.3) To receive complaints from licensees,
registrants, local officials, law enforcement agencies,
organizations, and persons stating that any licensee or
registrant has been or is violating any provision of this
Act or the rules and regulations issued pursuant to this
Act. Such complaints shall be in writing, signed and sworn
to by the person making the complaint, and shall state
with specificity the facts in relation to the alleged
violation. If the State Commission has reasonable grounds
to believe that the complaint substantially alleges a
violation of this Act or rules and regulations adopted
pursuant to this Act, it shall conduct an investigation.
If, after conducting an investigation, the State
Commission is satisfied that the alleged violation did
occur, it shall proceed with disciplinary action against
the licensee or registrant as provided in this Act.
(5.4) To make arrests and issue notices of civil

HB4701 - 25 - LRB103 36426 RPS 66528 b
violations where necessary for the enforcement of this
Act.
(5.5) To investigate any and all unlicensed or
unregistered activity.
(5.6) To impose civil penalties or fines to any person
who, without holding a valid license or registration,
engages in conduct that requires a license or registration
pursuant to this Act, in an amount not to exceed $20,000
for each offense as determined by the State Commission. A
civil penalty shall be assessed by the State Commission
after a hearing is held in accordance with the provisions
set forth in this Act regarding the provision of a hearing
for the revocation or suspension of a license or
registration.
(6) To hear and determine appeals from orders of a
local commission in accordance with the provisions of this
Act, as hereinafter set forth. Hearings under this
subsection shall be held in Springfield or Chicago, at
whichever location is the more convenient for the majority
of persons who are parties to the hearing.
(7) The State Commission shall establish uniform
systems of accounts to be kept by all retail licensees
having more than 4 employees, and for this purpose the
State Commission may classify all retail licensees having
more than 4 employees and establish a uniform system of
accounts for each class and prescribe the manner in which

HB4701 - 26 - LRB103 36426 RPS 66528 b
such accounts shall be kept. The State Commission may also
prescribe the forms of accounts to be kept by all retail
licensees having more than 4 employees, including, but not
limited to, accounts of earnings and expenses and any
distribution, payment, or other distribution of earnings
or assets, and any other forms, records, and memoranda
which in the judgment of the commission may be necessary
or appropriate to carry out any of the provisions of this
Act, including, but not limited to, such forms, records,
and memoranda as will readily and accurately disclose at
all times the beneficial ownership of such retail licensed
business. The accounts, forms, records, and memoranda
shall be available at all reasonable times for inspection
by authorized representatives of the State Commission or
by any local liquor control commissioner or his or her
authorized representative. The commission may, from time
to time, alter, amend, or repeal, in whole or in part, any
uniform system of accounts, or the form and manner of
keeping accounts.
(8) In the conduct of any hearing authorized to be
held by the State Commission, to appoint, at the
commission's discretion, hearing officers to conduct
hearings involving complex issues or issues that will
require a protracted period of time to resolve, to
examine, or cause to be examined, under oath, any licensee
or registrant, and to examine or cause to be examined the

HB4701 - 27 - LRB103 36426 RPS 66528 b
books and records of such licensee or registrant; to hear
testimony and take proof material for its information in
the discharge of its duties hereunder; to administer or
cause to be administered oaths; for any such purpose to
issue subpoena or subpoenas to require the attendance of
witnesses and the production of books, which shall be
effective in any part of this State, and to adopt rules to
implement its powers under this paragraph (8).
Any circuit court may, by order duly entered, require
the attendance of witnesses and the production of relevant
books subpoenaed by the State Commission and the court may
compel obedience to its order by proceedings for contempt.
(9) To investigate the administration of laws in
relation to alcoholic liquors in this and other states and
any foreign countries, and to recommend from time to time
to the Governor and through him or her to the legislature
of this State, such amendments to this Act, if any, as it
may think desirable and as will serve to further the
general broad purposes contained in Section 1-2 hereof.
(10) To adopt such rules and regulations consistent
with the provisions of this Act which shall be necessary
for the control, sale, or disposition of alcoholic liquor
damaged as a result of an accident, wreck, flood, fire, or
other similar occurrence.
(11) To develop industry educational programs related
to responsible serving and selling, particularly in the

HB4701 - 28 - LRB103 36426 RPS 66528 b
areas of overserving consumers and illegal underage
purchasing and consumption of alcoholic beverages.
(11.1) To license persons providing education and
training to alcohol beverage sellers and servers for
mandatory and non-mandatory training under the Beverage
Alcohol Sellers and Servers Education and Training
(BASSET) programs and to develop and administer a public
awareness program in Illinois to reduce or eliminate the
illegal purchase and consumption of alcoholic beverage
products by persons under the age of 21. Application for a
license shall be made on forms provided by the State
Commission.
(12) To develop and maintain a repository of license
and regulatory information.
(13) (Blank).
(14) On or before April 30, 2008 and every 2 years
thereafter, the State Commission shall present a written
report to the Governor and the General Assembly that shall
be based on a study of the impact of Public Act 95-634 on
the business of soliciting, selling, and shipping wine
from inside and outside of this State directly to
residents of this State. As part of its report, the State
Commission shall provide all of the following information:
(A) The amount of State excise and sales tax
revenues generated.
(B) The amount of licensing fees received.

HB4701 - 29 - LRB103 36426 RPS 66528 b
(C) The number of cases of wine shipped from
inside and outside of this State directly to residents
of this State.
(D) The number of alcohol compliance operations
conducted.
(E) The number of winery shipper's licenses
issued.
(F) The number of each of the following: reported
violations; cease and desist notices issued by the
Commission; notices of violations issued by the
Commission and to the Department of Revenue; and
notices and complaints of violations to law
enforcement officials, including, without limitation,
the Illinois Attorney General and the U.S. Department
of Treasury's Alcohol and Tobacco Tax and Trade
Bureau.
(15) As a means to reduce the underage consumption of
alcoholic liquors, the State Commission shall conduct
alcohol compliance operations to investigate whether
businesses that are soliciting, selling, and shipping wine
from inside or outside of this State directly to residents
of this State are licensed by this State or are selling or
attempting to sell wine to persons under 21 years of age in
violation of this Act.
(16) The State Commission shall, in addition to
notifying any appropriate law enforcement agency, submit

HB4701 - 30 - LRB103 36426 RPS 66528 b
notices of complaints or violations of Sections 6-29 and
6-29.1 by persons who do not hold a winery shipper's
license under this Act to the Illinois Attorney General
and to the U.S. Department of Treasury's Alcohol and
Tobacco Tax and Trade Bureau.
(17)(A) A person licensed to make wine under the laws
of another state who has a winery shipper's license under
this Act and annually produces less than 25,000 gallons of
wine or a person who has a first-class or second-class
wine manufacturer's license, a first-class or second-class
wine-maker's license, or a limited wine manufacturer's
license under this Act and annually produces less than
25,000 gallons of wine may make application to the
Commission for a self-distribution exemption to allow the
sale of not more than 5,000 gallons of the exemption
holder's wine to retail licensees per year and to sell
cider, mead, or both cider and mead to brewers, class 1
brewers, class 2 brewers, and class 3 brewers that,
pursuant to subsection (e) of Section 6-4 of this Act,
sell beer, cider, mead, or any combination thereof to
non-licensees at their breweries.
(B) In the application, which shall be sworn under
penalty of perjury, such person shall state (1) the date
it was established; (2) its volume of production and sales
for each year since its establishment; (3) its efforts to
establish distributor relationships; (4) that a

HB4701 - 31 - LRB103 36426 RPS 66528 b
self-distribution exemption is necessary to facilitate the
marketing of its wine; and (5) that it will comply with the
liquor and revenue laws of the United States, this State,
and any other state where it is licensed.
(C) The State Commission shall approve the application
for a self-distribution exemption if such person: (1) is
in compliance with State revenue and liquor laws; (2) is
not a member of any affiliated group that produces
directly or indirectly more than 25,000 gallons of wine
per annum, 930,000 gallons of beer per annum, or 50,000
gallons of spirits per annum; (3) will not annually
produce for sale more than 25,000 gallons of wine, 930,000
gallons of beer, or 50,000 gallons of spirits; and (4)
will not annually sell more than 5,000 gallons of its wine
to retail licensees.
(D) A self-distribution exemption holder shall
annually certify to the State Commission its production of
wine in the previous 12 months and its anticipated
production and sales for the next 12 months. The State
Commission may fine, suspend, or revoke a
self-distribution exemption after a hearing if it finds
that the exemption holder has made a material
misrepresentation in its application, violated a revenue
or liquor law of Illinois, exceeded production of 25,000
gallons of wine, 930,000 gallons of beer, or 50,000
gallons of spirits in any calendar year, or become part of

HB4701 - 32 - LRB103 36426 RPS 66528 b
an affiliated group producing more than 25,000 gallons of
wine, 930,000 gallons of beer, or 50,000 gallons of
spirits.
(E) Except in hearings for violations of this Act or
Public Act 95-634 or a bona fide investigation by duly
sworn law enforcement officials, the State Commission, or
its agents, the State Commission shall maintain the
production and sales information of a self-distribution
exemption holder as confidential and shall not release
such information to any person.
(F) The State Commission shall issue regulations
governing self-distribution exemptions consistent with
this Section and this Act.
(G) Nothing in this paragraph (17) shall prohibit a
self-distribution exemption holder from entering into or
simultaneously having a distribution agreement with a
licensed Illinois distributor.
(H) It is the intent of this paragraph (17) to promote
and continue orderly markets. The General Assembly finds
that, in order to preserve Illinois' regulatory
distribution system, it is necessary to create an
exception for smaller makers of wine as their wines are
frequently adjusted in varietals, mixes, vintages, and
taste to find and create market niches sometimes too small
for distributor or importing distributor business
strategies. Limited self-distribution rights will afford

HB4701 - 33 - LRB103 36426 RPS 66528 b
and allow smaller makers of wine access to the marketplace
in order to develop a customer base without impairing the
integrity of the 3-tier system.
(18)(A) A class 1 brewer licensee, who must also be
either a licensed brewer or licensed non-resident dealer
and annually manufacture less than 930,000 gallons of
beer, may make application to the State Commission for a
self-distribution exemption to allow the sale of not more
than 232,500 gallons per year of the exemption holder's
beer to retail licensees and to brewers, class 1 brewers,
and class 2 brewers that, pursuant to subsection (e) of
Section 6-4 of this Act, sell beer, cider, mead, or any
combination thereof to non-licensees at their breweries.
(B) In the application, which shall be sworn under
penalty of perjury, the class 1 brewer licensee shall
state (1) the date it was established; (2) its volume of
beer manufactured and sold for each year since its
establishment; (3) its efforts to establish distributor
relationships; (4) that a self-distribution exemption is
necessary to facilitate the marketing of its beer; and (5)
that it will comply with the alcoholic beverage and
revenue laws of the United States, this State, and any
other state where it is licensed.
(C) Any application submitted shall be posted on the
State Commission's website at least 45 days prior to
action by the State Commission. The State Commission shall

HB4701 - 34 - LRB103 36426 RPS 66528 b
approve the application for a self-distribution exemption
if the class 1 brewer licensee: (1) is in compliance with
the State, revenue, and alcoholic beverage laws; (2) is
not a member of any affiliated group that manufactures,
directly or indirectly, more than 930,000 gallons of beer
per annum, 25,000 gallons of wine per annum, or 50,000
gallons of spirits per annum; (3) shall not annually
manufacture for sale more than 930,000 gallons of beer,
25,000 gallons of wine, or 50,000 gallons of spirits; (4)
shall not annually sell more than 232,500 gallons of its
beer to retail licensees and class 3 brewers and to
brewers, class 1 brewers, and class 2 brewers that,
pursuant to subsection (e) of Section 6-4 of this Act,
sell beer, cider, mead, or any combination thereof to
non-licensees at their breweries; and (5) has relinquished
any brew pub license held by the licensee, including any
ownership interest it held in the licensed brew pub.
(D) A self-distribution exemption holder shall
annually certify to the State Commission its manufacture
of beer during the previous 12 months and its anticipated
manufacture and sales of beer for the next 12 months. The
State Commission may fine, suspend, or revoke a
self-distribution exemption after a hearing if it finds
that the exemption holder has made a material
misrepresentation in its application, violated a revenue
or alcoholic beverage law of Illinois, exceeded the

HB4701 - 35 - LRB103 36426 RPS 66528 b
manufacture of 930,000 gallons of beer, 25,000 gallons of
wine, or 50,000 gallons of spirits in any calendar year or
became part of an affiliated group manufacturing more than
930,000 gallons of beer, 25,000 gallons of wine, or 50,000
gallons of spirits.
(E) The State Commission shall issue rules and
regulations governing self-distribution exemptions
consistent with this Act.
(F) Nothing in this paragraph (18) shall prohibit a
self-distribution exemption holder from entering into or
simultaneously having a distribution agreement with a
licensed Illinois importing distributor or a distributor.
If a self-distribution exemption holder enters into a
distribution agreement and has assigned distribution
rights to an importing distributor or distributor, then
the self-distribution exemption holder's distribution
rights in the assigned territories shall cease in a
reasonable time not to exceed 60 days.
(G) It is the intent of this paragraph (18) to promote
and continue orderly markets. The General Assembly finds
that in order to preserve Illinois' regulatory
distribution system, it is necessary to create an
exception for smaller manufacturers in order to afford and
allow such smaller manufacturers of beer access to the
marketplace in order to develop a customer base without
impairing the integrity of the 3-tier system.

HB4701 - 36 - LRB103 36426 RPS 66528 b
(19)(A) A class 1 craft distiller licensee or a
non-resident dealer who manufactures less than 50,000
gallons of distilled spirits per year may make application
to the State Commission for a self-distribution exemption
to allow the sale of not more than 5,000 gallons of the
exemption holder's spirits to retail licensees per year.
(B) In the application, which shall be sworn under
penalty of perjury, the class 1 craft distiller licensee
or non-resident dealer shall state (1) the date it was
established; (2) its volume of spirits manufactured and
sold for each year since its establishment; (3) its
efforts to establish distributor relationships; (4) that a
self-distribution exemption is necessary to facilitate the
marketing of its spirits; and (5) that it will comply with
the alcoholic beverage and revenue laws of the United
States, this State, and any other state where it is
licensed.
(C) Any application submitted shall be posted on the
State Commission's website at least 45 days prior to
action by the State Commission. The State Commission shall
approve the application for a self-distribution exemption
if the applicant: (1) is in compliance with State revenue
and alcoholic beverage laws; (2) is not a member of any
affiliated group that produces more than 50,000 gallons of
spirits per annum, 930,000 gallons of beer per annum, or
25,000 gallons of wine per annum; (3) does not annually

HB4701 - 37 - LRB103 36426 RPS 66528 b
manufacture for sale more than 50,000 gallons of spirits,
930,000 gallons of beer, or 25,000 gallons of wine; and
(4) does not annually sell more than 5,000 gallons of its
spirits to retail licensees.
(D) A self-distribution exemption holder shall
annually certify to the State Commission its manufacture
of spirits during the previous 12 months and its
anticipated manufacture and sales of spirits for the next
12 months. The State Commission may fine, suspend, or
revoke a self-distribution exemption after a hearing if it
finds that the exemption holder has made a material
misrepresentation in its application, violated a revenue
or alcoholic beverage law of Illinois, exceeded the
manufacture of 50,000 gallons of spirits, 930,000 gallons
of beer, or 25,000 gallons of wine in any calendar year, or
has become part of an affiliated group manufacturing more
than 50,000 gallons of spirits, 930,000 gallons of beer,
or 25,000 gallons of wine.
(E) The State Commission shall adopt rules governing
self-distribution exemptions consistent with this Act.
(F) Nothing in this paragraph (19) shall prohibit a
self-distribution exemption holder from entering into or
simultaneously having a distribution agreement with a
licensed Illinois importing distributor or a distributor.
(G) It is the intent of this paragraph (19) to promote
and continue orderly markets. The General Assembly finds

HB4701 - 38 - LRB103 36426 RPS 66528 b
that in order to preserve Illinois' regulatory
distribution system, it is necessary to create an
exception for smaller manufacturers in order to afford and
allow such smaller manufacturers of spirits access to the
marketplace in order to develop a customer base without
impairing the integrity of the 3-tier system.
(20)(A) A class 3 brewer licensee who must manufacture
less than 465,000 gallons of beer in the aggregate and not
more than 155,000 gallons at any single brewery premises
may make application to the State Commission for a
self-distribution exemption to allow the sale of not more
than 6,200 gallons of beer from each in-state or
out-of-state class 3 brewery premises, which shall not
exceed 18,600 gallons annually in the aggregate, that is
manufactured at a wholly owned class 3 brewer's in-state
or out-of-state licensed premises to retail licensees and
class 3 brewers and to brewers, class 1 brewers, class 2
brewers that, pursuant to subsection (e) of Section 6-4,
sell beer, cider, or both beer and cider to non-licensees
at their licensed breweries.
(B) In the application, which shall be sworn under
penalty of perjury, the class 3 brewer licensee shall
state:
(1) the date it was established;
(2) its volume of beer manufactured and sold for
each year since its establishment;

HB4701 - 39 - LRB103 36426 RPS 66528 b
(3) its efforts to establish distributor
relationships;
(4) that a self-distribution exemption is
necessary to facilitate the marketing of its beer; and
(5) that it will comply with the alcoholic
beverage and revenue laws of the United States, this
State, and any other state where it is licensed.
(C) Any application submitted shall be posted on the
State Commission's website at least 45 days before action
by the State Commission. The State Commission shall
approve the application for a self-distribution exemption
if the class 3 brewer licensee: (1) is in compliance with
the State, revenue, and alcoholic beverage laws; (2) is
not a member of any affiliated group that manufacturers,
directly or indirectly, more than 465,000 gallons of beer
per annum; (3) shall not annually manufacture for sale
more than 465,000 gallons of beer or more than 155,000
gallons at any single brewery premises; and (4) shall not
annually sell more than 6,200 gallons of beer from each
in-state or out-of-state class 3 brewery premises, and
shall not exceed 18,600 gallons annually in the aggregate,
to retail licensees and class 3 brewers and to brewers,
class 1 brewers, and class 2 brewers that, pursuant to
subsection (e) of Section 6-4 of this Act, sell beer,
cider, or both beer and cider to non-licensees at their
breweries.

HB4701 - 40 - LRB103 36426 RPS 66528 b
(D) A self-distribution exemption holder shall
annually certify to the State Commission its manufacture
of beer during the previous 12 months and its anticipated
manufacture and sales of beer for the next 12 months. The
State Commission may fine, suspend, or revoke a
self-distribution exemption after a hearing if it finds
that the exemption holder has made a material
misrepresentation in its application, violated a revenue
or alcoholic beverage law of Illinois, exceeded the
manufacture of 465,000 gallons of beer in any calendar
year or became part of an affiliated group manufacturing
more than 465,000 gallons of beer, or exceeded the sale to
retail licensees, brewers, class 1 brewers, class 2
brewers, and class 3 brewers of 6,200 gallons per brewery
location or 18,600 gallons in the aggregate.
(E) The State Commission may adopt rules governing
self-distribution exemptions consistent with this Act.
(F) Nothing in this paragraph shall prohibit a
self-distribution exemption holder from entering into or
simultaneously having a distribution agreement with a
licensed Illinois importing distributor or a distributor.
If a self-distribution exemption holder enters into a
distribution agreement and has assigned distribution
rights to an importing distributor or distributor, then
the self-distribution exemption holder's distribution
rights in the assigned territories shall cease in a

HB4701 - 41 - LRB103 36426 RPS 66528 b
reasonable time not to exceed 60 days.
(G) It is the intent of this paragraph to promote and
continue orderly markets. The General Assembly finds that
in order to preserve Illinois' regulatory distribution
system, it is necessary to create an exception for smaller
manufacturers in order to afford and allow such smaller
manufacturers of beer access to the marketplace in order
to develop a customer base without impairing the integrity
of the 3-tier system.
(b) On or before April 30, 1999, the Commission shall
present a written report to the Governor and the General
Assembly that shall be based on a study of the impact of Public
Act 90-739 on the business of soliciting, selling, and
shipping alcoholic liquor from outside of this State directly
to residents of this State.
As part of its report, the Commission shall provide the
following information:
(i) the amount of State excise and sales tax revenues
generated as a result of Public Act 90-739;
(ii) the amount of licensing fees received as a result
of Public Act 90-739;
(iii) the number of reported violations, the number of
cease and desist notices issued by the Commission, the
number of notices of violations issued to the Department
of Revenue, and the number of notices and complaints of
violations to law enforcement officials.

HB4701 - 42 - LRB103 36426 RPS 66528 b
(Source: P.A. 101-37, eff. 7-3-19; 101-81, eff. 7-12-19;
101-482, eff. 8-23-19; 102-442, eff. 8-20-21; 102-558, eff.
8-20-21; 102-813, eff. 5-13-22.)
(235 ILCS 5/5-1) (from Ch. 43, par. 115)
Sec. 5-1. Licenses issued by the Illinois Liquor Control
Commission shall be of the following classes:
(a) Manufacturer's license - Class 1. Distiller, Class 2.
Rectifier, Class 3. Brewer, Class 4. First Class Wine
Manufacturer, Class 5. Second Class Wine Manufacturer, Class
6. First Class Winemaker, Class 7. Second Class Winemaker,
Class 8. Limited Wine Manufacturer, Class 9. Craft Distiller,
Class 10. Class 1 Craft Distiller, Class 11. Class 2 Craft
Distiller, Class 12. Class 1 Brewer, Class 13. Class 2 Brewer,
Class 14. Class 3 Brewer,
(b) Distributor's license,
(c) Importing Distributor's license,
(d) Retailer's license,
(e) Special Event Retailer's license (not-for-profit),
(f) Railroad license,
(g) Boat license,
(h) Non-Beverage User's license,
(i) Wine-maker's premises license,
(j) Airplane license,
(k) Foreign importer's license,
(l) Broker's license,

HB4701 - 43 - LRB103 36426 RPS 66528 b
(m) Non-resident dealer's license,
(n) Brew Pub license,
(o) Auction liquor license,
(p) Caterer retailer license,
(q) Special use permit license,
(r) Winery shipper's license,
(s) Craft distiller tasting permit,
(t) Brewer warehouse permit,
(u) Distilling pub license,
(v) Craft distiller warehouse permit,
(w) Beer showcase permit.
No person, firm, partnership, corporation, or other legal
business entity that is engaged in the manufacturing of wine
may concurrently obtain and hold a wine-maker's license and a
wine manufacturer's license.
(a) A manufacturer's license shall allow the manufacture,
importation in bulk, storage, distribution and sale of
alcoholic liquor to persons without the State, as may be
permitted by law and to licensees in this State as follows:
Class 1. A Distiller may make sales and deliveries of
alcoholic liquor to distillers, rectifiers, importing
distributors, distributors and non-beverage users and to no
other licensees.
Class 2. A Rectifier, who is not a distiller, as defined
herein, may make sales and deliveries of alcoholic liquor to
rectifiers, importing distributors, distributors, retailers

HB4701 - 44 - LRB103 36426 RPS 66528 b
and non-beverage users and to no other licensees.
Class 3. A Brewer may make sales and deliveries of beer to
importing distributors and distributors and may make sales as
authorized under subsection (e) of Section 6-4 of this Act,
including any alcoholic liquor that subsection (e) of Section
6-4 authorizes a brewer to sell in its original package only to
a non-licensee for pick-up by a non-licensee either within the
interior of the brewery premises or at outside of the brewery
premises at a curb-side or parking lot adjacent to the brewery
premises, subject to any local ordinance.
Class 4. A first class wine-manufacturer may make sales
and deliveries of up to 50,000 gallons of wine to
manufacturers, importing distributors and distributors, and to
no other licensees. If a first-class wine-manufacturer
manufactures beer, it shall also obtain and shall only be
eligible for, in addition to any current license, a class 1
brewer license, shall not manufacture more than 930,000
gallons of beer per year, and shall not be a member of or
affiliated with, directly or indirectly, a manufacturer that
produces more than 930,000 gallons of beer per year. If the
first-class wine-manufacturer manufactures spirits, it shall
also obtain and shall only be eligible for, in addition to any
current license, a class 1 craft distiller license, shall not
manufacture more than 50,000 gallons of spirits per year, and
shall not be a member of or affiliated with, directly or
indirectly, a manufacturer that produces more than 50,000

HB4701 - 45 - LRB103 36426 RPS 66528 b
gallons of spirits per year. A first-class wine-manufacturer
shall be permitted to sell wine manufactured at the
first-class wine-manufacturer premises to non-licensees.
Class 5. A second class Wine manufacturer may make sales
and deliveries of more than 50,000 gallons of wine to
manufacturers, importing distributors and distributors and to
no other licensees.
Class 6. A first-class wine-maker's license shall allow
the manufacture of up to 50,000 gallons of wine per year, and
the storage and sale of such wine to distributors in the State
and to persons without the State, as may be permitted by law. A
person who, prior to June 1, 2008 (the effective date of Public
Act 95-634), is a holder of a first-class wine-maker's license
and annually produces more than 25,000 gallons of its own wine
and who distributes its wine to licensed retailers shall cease
this practice on or before July 1, 2008 in compliance with
Public Act 95-634. If a first-class wine-maker manufactures
beer, it shall also obtain and shall only be eligible for, in
addition to any current license, a class 1 brewer license,
shall not manufacture more than 930,000 gallons of beer per
year, and shall not be a member of or affiliated with, directly
or indirectly, a manufacturer that produces more than 930,000
gallons of beer per year. If the first-class wine-maker
manufactures spirits, it shall also obtain and shall only be
eligible for, in addition to any current license, a class 1
craft distiller license, shall not manufacture more than

HB4701 - 46 - LRB103 36426 RPS 66528 b
50,000 gallons of spirits per year, and shall not be a member
of or affiliated with, directly or indirectly, a manufacturer
that produces more than 50,000 gallons of spirits per year. A
first-class wine-maker holding a class 1 brewer license or a
class 1 craft distiller license shall not be eligible for a
wine-maker's premises license but shall be permitted to sell
wine manufactured at the first-class wine-maker premises to
non-licensees.
Class 7. A second-class wine-maker's license shall allow
the manufacture of up to 150,000 gallons of wine per year, and
the storage and sale of such wine to distributors in this State
and to persons without the State, as may be permitted by law. A
person who, prior to June 1, 2008 (the effective date of Public
Act 95-634), is a holder of a second-class wine-maker's
license and annually produces more than 25,000 gallons of its
own wine and who distributes its wine to licensed retailers
shall cease this practice on or before July 1, 2008 in
compliance with Public Act 95-634. If a second-class
wine-maker manufactures beer, it shall also obtain and shall
only be eligible for, in addition to any current license, a
class 2 brewer license, shall not manufacture more than
3,720,000 gallons of beer per year, and shall not be a member
of or affiliated with, directly or indirectly, a manufacturer
that produces more than 3,720,000 gallons of beer per year. If
a second-class wine-maker manufactures spirits, it shall also
obtain and shall only be eligible for, in addition to any

HB4701 - 47 - LRB103 36426 RPS 66528 b
current license, a class 2 craft distiller license, shall not
manufacture more than 100,000 gallons of spirits per year, and
shall not be a member of or affiliated with, directly or
indirectly, a manufacturer that produces more than 100,000
gallons of spirits per year.
Class 8. A limited wine-manufacturer may make sales and
deliveries not to exceed 40,000 gallons of wine per year to
distributors, and to non-licensees in accordance with the
provisions of this Act.
Class 9. A craft distiller license, which may only be held
by a class 1 craft distiller licensee or class 2 craft
distiller licensee but not held by both a class 1 craft
distiller licensee and a class 2 craft distiller licensee,
shall grant all rights conveyed by either: (i) a class 1 craft
distiller license if the craft distiller holds a class 1 craft
distiller license; or (ii) a class 2 craft distiller licensee
if the craft distiller holds a class 2 craft distiller
license.
Class 10. A class 1 craft distiller license, which may
only be issued to a licensed craft distiller or licensed
non-resident dealer, shall allow the manufacture of up to
50,000 gallons of spirits per year provided that the class 1
craft distiller licensee does not manufacture more than a
combined 50,000 gallons of spirits per year and is not a member
of or affiliated with, directly or indirectly, a manufacturer
that produces more than 50,000 gallons of spirits per year. If

HB4701 - 48 - LRB103 36426 RPS 66528 b
a class 1 craft distiller manufactures beer, it shall also
obtain and shall only be eligible for, in addition to any
current license, a class 1 brewer license, shall not
manufacture more than 930,000 gallons of beer per year, and
shall not be a member of or affiliated with, directly or
indirectly, a manufacturer that produces more than 930,000
gallons of beer per year. If a class 1 craft distiller
manufactures wine, it shall also obtain and shall only be
eligible for, in addition to any current license, a
first-class wine-manufacturer license or a first-class
wine-maker's license, shall not manufacture more than 50,000
gallons of wine per year, and shall not be a member of or
affiliated with, directly or indirectly, a manufacturer that
produces more than 50,000 gallons of wine per year. A class 1
craft distiller licensee may make sales and deliveries to
importing distributors and distributors and to retail
licensees in accordance with the conditions set forth in
paragraph (19) of subsection (a) of Section 3-12 of this Act.
However, the aggregate amount of spirits sold to non-licensees
and sold or delivered to retail licensees may not exceed 5,000
gallons per year.
A class 1 craft distiller licensee may sell up to 5,000
gallons of such spirits to non-licensees to the extent
permitted by any exemption approved by the State Commission
pursuant to Section 6-4 of this Act. A class 1 craft distiller
license holder may store such spirits at a non-contiguous

HB4701 - 49 - LRB103 36426 RPS 66528 b
licensed location, but at no time shall a class 1 craft
distiller license holder directly or indirectly produce in the
aggregate more than 50,000 gallons of spirits per year.
A class 1 craft distiller licensee may hold more than one
class 1 craft distiller's license. However, a class 1 craft
distiller that holds more than one class 1 craft distiller
license shall not manufacture, in the aggregate, more than
50,000 gallons of spirits by distillation per year and shall
not sell, in the aggregate, more than 5,000 gallons of such
spirits to non-licensees in accordance with an exemption
approved by the State Commission pursuant to Section 6-4 of
this Act.
Class 11. A class 2 craft distiller license, which may
only be issued to a licensed craft distiller or licensed
non-resident dealer, shall allow the manufacture of up to
100,000 gallons of spirits per year provided that the class 2
craft distiller licensee does not manufacture more than a
combined 100,000 gallons of spirits per year and is not a
member of or affiliated with, directly or indirectly, a
manufacturer that produces more than 100,000 gallons of
spirits per year. If a class 2 craft distiller manufactures
beer, it shall also obtain and shall only be eligible for, in
addition to any current license, a class 2 brewer license,
shall not manufacture more than 3,720,000 gallons of beer per
year, and shall not be a member of or affiliated with, directly
or indirectly, a manufacturer that produces more than

HB4701 - 50 - LRB103 36426 RPS 66528 b
3,720,000 gallons of beer per year. If a class 2 craft
distiller manufactures wine, it shall also obtain and shall
only be eligible for, in addition to any current license, a
second-class wine-maker's license, shall not manufacture more
than 150,000 gallons of wine per year, and shall not be a
member of or affiliated with, directly or indirectly, a
manufacturer that produces more than 150,000 gallons of wine
per year. A class 2 craft distiller licensee may make sales and
deliveries to importing distributors and distributors, but
shall not make sales or deliveries to any other licensee. If
the State Commission provides prior approval, a class 2 craft
distiller licensee may annually transfer up to 100,000 gallons
of spirits manufactured by that class 2 craft distiller
licensee to the premises of a licensed class 2 craft distiller
wholly owned and operated by the same licensee. A class 2 craft
distiller may transfer spirits to a distilling pub wholly
owned and operated by the class 2 craft distiller subject to
the following limitations and restrictions: (i) the transfer
shall not annually exceed more than 5,000 gallons; (ii) the
annual amount transferred shall reduce the distilling pub's
annual permitted production limit; (iii) all spirits
transferred shall be subject to Article VIII of this Act; (iv)
a written record shall be maintained by the distiller and
distilling pub specifying the amount, date of delivery, and
receipt of the product by the distilling pub; and (v) the
distilling pub shall be located no farther than 80 miles from

HB4701 - 51 - LRB103 36426 RPS 66528 b
the class 2 craft distiller's licensed location.
A class 2 craft distiller shall, prior to transferring
spirits to a distilling pub wholly owned by the class 2 craft
distiller, furnish a written notice to the State Commission of
intent to transfer spirits setting forth the name and address
of the distilling pub and shall annually submit to the State
Commission a verified report identifying the total gallons of
spirits transferred to the distilling pub wholly owned by the
class 2 craft distiller.
A class 2 craft distiller license holder may store such
spirits at a non-contiguous licensed location, but at no time
shall a class 2 craft distiller license holder directly or
indirectly produce in the aggregate more than 100,000 gallons
of spirits per year.
Class 12. A class 1 brewer license, which may only be
issued to a licensed brewer or licensed non-resident dealer,
shall allow the manufacture of up to 930,000 gallons of beer
per year provided that the class 1 brewer licensee does not
manufacture more than a combined 930,000 gallons of beer per
year and is not a member of or affiliated with, directly or
indirectly, a manufacturer that produces more than 930,000
gallons of beer per year. If a class 1 brewer manufactures
spirits, it shall also obtain and shall only be eligible for,
in addition to any current license, a class 1 craft distiller
license, shall not manufacture more than 50,000 gallons of
spirits per year, and shall not be a member of or affiliated

HB4701 - 52 - LRB103 36426 RPS 66528 b
with, directly or indirectly, a manufacturer that produces
more than 50,000 gallons of spirits per year. If a class 1
craft brewer manufactures wine, it shall also obtain and shall
only be eligible for, in addition to any current license, a
first-class wine-manufacturer license or a first-class
wine-maker's license, shall not manufacture more than 50,000
gallons of wine per year, and shall not be a member of or
affiliated with, directly or indirectly, a manufacturer that
produces more than 50,000 gallons of wine per year. A class 1
brewer licensee may make sales and deliveries to importing
distributors and distributors and to retail licensees in
accordance with the conditions set forth in paragraph (18) of
subsection (a) of Section 3-12 of this Act. If the State
Commission provides prior approval, a class 1 brewer may
annually transfer up to 930,000 gallons of beer manufactured
by that class 1 brewer to the premises of a licensed class 1
brewer wholly owned and operated by the same licensee.
Class 13. A class 2 brewer license, which may only be
issued to a licensed brewer or licensed non-resident dealer,
shall allow the manufacture of up to 3,720,000 gallons of beer
per year provided that the class 2 brewer licensee does not
manufacture more than a combined 3,720,000 gallons of beer per
year and is not a member of or affiliated with, directly or
indirectly, a manufacturer that produces more than 3,720,000
gallons of beer per year. If a class 2 brewer manufactures
spirits, it shall also obtain and shall only be eligible for,

HB4701 - 53 - LRB103 36426 RPS 66528 b
in addition to any current license, a class 2 craft distiller
license, shall not manufacture more than 100,000 gallons of
spirits per year, and shall not be a member of or affiliated
with, directly or indirectly, a manufacturer that produces
more than 100,000 gallons of spirits per year. If a class 2
craft distiller manufactures wine, it shall also obtain and
shall only be eligible for, in addition to any current
license, a second-class wine-maker's license, shall not
manufacture more than 150,000 gallons of wine per year, and
shall not be a member of or affiliated with, directly or
indirectly, a manufacturer that produces more than 150,000
gallons of wine a year. A class 2 brewer licensee may make
sales and deliveries to importing distributors and
distributors, but shall not make sales or deliveries to any
other licensee. If the State Commission provides prior
approval, a class 2 brewer licensee may annually transfer up
to 3,720,000 gallons of beer manufactured by that class 2
brewer licensee to the premises of a licensed class 2 brewer
wholly owned and operated by the same licensee.
A class 2 brewer may transfer beer to a brew pub wholly
owned and operated by the class 2 brewer subject to the
following limitations and restrictions: (i) the transfer shall
not annually exceed more than 31,000 gallons; (ii) the annual
amount transferred shall reduce the brew pub's annual
permitted production limit; (iii) all beer transferred shall
be subject to Article VIII of this Act; (iv) a written record

HB4701 - 54 - LRB103 36426 RPS 66528 b
shall be maintained by the brewer and brew pub specifying the
amount, date of delivery, and receipt of the product by the
brew pub; and (v) the brew pub shall be located no farther than
80 miles from the class 2 brewer's licensed location.
A class 2 brewer shall, prior to transferring beer to a
brew pub wholly owned by the class 2 brewer, furnish a written
notice to the State Commission of intent to transfer beer
setting forth the name and address of the brew pub and shall
annually submit to the State Commission a verified report
identifying the total gallons of beer transferred to the brew
pub wholly owned by the class 2 brewer.
Class 14. A class 3 brewer license, which may be issued to
a brewer or a non-resident dealer, shall allow the manufacture
of no more than 465,000 gallons of beer per year and no more
than 155,000 gallons at a single brewery premises, and shall
allow the sale of no more than 6,200 gallons of beer from each
in-state or out-of-state class 3 brewery premises, or 18,600
gallons in the aggregate, to retail licensees, class 1
brewers, class 2 brewers, and class 3 brewers as long as the
class 3 brewer licensee does not manufacture more than a
combined 465,000 gallons of beer per year and is not a member
of or affiliated with, directly or indirectly, a manufacturer
that produces more than 465,000 gallons of beer per year to
make sales to importing distributors, distributors, retail
licensees, brewers, class 1 brewers, class 2 brewers, and
class 3 brewers in accordance with the conditions set forth in

HB4701 - 55 - LRB103 36426 RPS 66528 b
paragraph (20) of subsection (a) of Section 3-12. If the State
Commission provides prior approval, a class 3 brewer may
annually transfer up to 155,000 gallons of beer manufactured
by that class 3 brewer to the premises of a licensed class 3
brewer wholly owned and operated by the same licensee. A class
3 brewer shall manufacture beer at the brewer's class 3
designated licensed premises, and may sell beer as otherwise
provided in this Act.
(a-1) A manufacturer which is licensed in this State to
make sales or deliveries of alcoholic liquor to licensed
distributors or importing distributors and which enlists
agents, representatives, or individuals acting on its behalf
who contact licensed retailers on a regular and continual
basis in this State must register those agents,
representatives, or persons acting on its behalf with the
State Commission.
Registration of agents, representatives, or persons acting
on behalf of a manufacturer is fulfilled by submitting a form
to the Commission. The form shall be developed by the
Commission and shall include the name and address of the
applicant, the name and address of the manufacturer he or she
represents, the territory or areas assigned to sell to or
discuss pricing terms of alcoholic liquor, and any other
questions deemed appropriate and necessary. All statements in
the forms required to be made by law or by rule shall be deemed
material, and any person who knowingly misstates any material

HB4701 - 56 - LRB103 36426 RPS 66528 b
fact under oath in an application is guilty of a Class B
misdemeanor. Fraud, misrepresentation, false statements,
misleading statements, evasions, or suppression of material
facts in the securing of a registration are grounds for
suspension or revocation of the registration. The State
Commission shall post a list of registered agents on the
Commission's website.
(b) A distributor's license shall allow (i) the wholesale
purchase and storage of alcoholic liquors and sale of
alcoholic liquors to licensees in this State and to persons
without the State, as may be permitted by law; (ii) the sale of
beer, cider, mead, or any combination thereof to brewers,
class 1 brewers, and class 2 brewers that, pursuant to
subsection (e) of Section 6-4 of this Act, sell beer, cider,
mead, or any combination thereof to non-licensees at their
breweries; (iii) the sale of vermouth to class 1 craft
distillers and class 2 craft distillers that, pursuant to
subsection (e) of Section 6-4 of this Act, sell spirits,
vermouth, or both spirits and vermouth to non-licensees at
their distilleries; or (iv) as otherwise provided in this Act.
No person licensed as a distributor shall be granted a
non-resident dealer's license.
(c) An importing distributor's license may be issued to
and held by those only who are duly licensed distributors,
upon the filing of an application by a duly licensed
distributor, with the Commission and the Commission shall,

HB4701 - 57 - LRB103 36426 RPS 66528 b
without the payment of any fee, immediately issue such
importing distributor's license to the applicant, which shall
allow the importation of alcoholic liquor by the licensee into
this State from any point in the United States outside this
State, and the purchase of alcoholic liquor in barrels, casks
or other bulk containers and the bottling of such alcoholic
liquors before resale thereof, but all bottles or containers
so filled shall be sealed, labeled, stamped and otherwise made
to comply with all provisions, rules and regulations governing
manufacturers in the preparation and bottling of alcoholic
liquors. The importing distributor's license shall permit such
licensee to purchase alcoholic liquor from Illinois licensed
non-resident dealers and foreign importers only. No person
licensed as an importing distributor shall be granted a
non-resident dealer's license.
(d) A retailer's license shall allow the licensee to sell
and offer for sale at retail, only in the premises specified in
the license, alcoholic liquor for use or consumption, but not
for resale in any form. Except as provided in Section 6-16,
6-29, or 6-29.1, nothing in this Act shall deny, limit,
remove, or restrict the ability of a holder of a retailer's
license to transfer or ship alcoholic liquor to the purchaser
for use or consumption subject to any applicable local law or
ordinance. For the purposes of this Section, "shipping" means
the movement of alcoholic liquor from a licensed retailer to a
consumer via a common carrier. Except as provided in Section

HB4701 - 58 - LRB103 36426 RPS 66528 b
6-16, 6-29, or 6-29.1, nothing in this Act shall deny, limit,
remove, or restrict the ability of a holder of a retailer's
license to deliver alcoholic liquor to the purchaser for use
or consumption. The delivery shall be made only within 12
hours from the time the alcoholic liquor leaves the licensed
premises of the retailer for delivery. For the purposes of
this Section, "delivery" means the movement of alcoholic
liquor purchased from a licensed retailer to a consumer
through the following methods:
(1) delivery within licensed retailer's parking lot,
including curbside, for pickup by the consumer;
(2) delivery by an owner, officer, director,
shareholder, or employee of the licensed retailer; or
(3) delivery by a third-party contractor, independent
contractor, or agent with whom the licensed retailer has
contracted to make deliveries of alcoholic liquors.
Under subsection (1), (2), or (3), delivery shall not
include the use of common carriers.
Any retail license issued to a manufacturer shall only
permit the manufacturer to sell beer at retail on the premises
actually occupied by the manufacturer. For the purpose of
further describing the type of business conducted at a retail
licensed premises, a retailer's licensee may be designated by
the State Commission as (i) an on premise consumption
retailer, (ii) an off premise sale retailer, or (iii) a
combined on premise consumption and off premise sale retailer.

HB4701 - 59 - LRB103 36426 RPS 66528 b
Except for a municipality with a population of more than
1,000,000 inhabitants, a home rule unit may not regulate the
delivery of alcoholic liquor inconsistent with this
subsection. This paragraph is a limitation under subsection
(i) of Section 6 of Article VII of the Illinois Constitution on
the concurrent exercise by home rule units of powers and
functions exercised by the State. A non-home rule municipality
may not regulate the delivery of alcoholic liquor inconsistent
with this subsection.
Notwithstanding any other provision of this subsection
(d), a retail licensee may sell alcoholic liquors to a special
event retailer licensee for resale to the extent permitted
under subsection (e).
(e) A special event retailer's license (not-for-profit)
shall permit the licensee to purchase alcoholic liquors from
an Illinois licensed distributor (unless the licensee
purchases less than $500 of alcoholic liquors for the special
event, in which case the licensee may purchase the alcoholic
liquors from a licensed retailer) and shall allow the licensee
to sell and offer for sale, at retail, alcoholic liquors for
use or consumption, but not for resale in any form and only at
the location and on the specific dates designated for the
special event in the license. An applicant for a special event
retailer license must (i) furnish with the application: (A) a
resale number issued under Section 2c of the Retailers'
Occupation Tax Act or evidence that the applicant is

HB4701 - 60 - LRB103 36426 RPS 66528 b
registered under Section 2a of the Retailers' Occupation Tax
Act, (B) a current, valid exemption identification number
issued under Section 1g of the Retailers' Occupation Tax Act,
and a certification to the Commission that the purchase of
alcoholic liquors will be a tax-exempt purchase, or (C) a
statement that the applicant is not registered under Section
2a of the Retailers' Occupation Tax Act, does not hold a resale
number under Section 2c of the Retailers' Occupation Tax Act,
and does not hold an exemption number under Section 1g of the
Retailers' Occupation Tax Act, in which event the Commission
shall set forth on the special event retailer's license a
statement to that effect; (ii) submit with the application
proof satisfactory to the State Commission that the applicant
will provide dram shop liability insurance in the maximum
limits; and (iii) show proof satisfactory to the State
Commission that the applicant has obtained local authority
approval.
Nothing in this Act prohibits an Illinois licensed
distributor from offering credit or a refund for unused,
salable alcoholic liquors to a holder of a special event
retailer's license or the special event retailer's licensee
from accepting the credit or refund of alcoholic liquors at
the conclusion of the event specified in the license.
(f) A railroad license shall permit the licensee to import
alcoholic liquors into this State from any point in the United
States outside this State and to store such alcoholic liquors

HB4701 - 61 - LRB103 36426 RPS 66528 b
in this State; to make wholesale purchases of alcoholic
liquors directly from manufacturers, foreign importers,
distributors and importing distributors from within or outside
this State; and to store such alcoholic liquors in this State;
provided that the above powers may be exercised only in
connection with the importation, purchase or storage of
alcoholic liquors to be sold or dispensed on a club, buffet,
lounge or dining car operated on an electric, gas or steam
railway in this State; and provided further, that railroad
licensees exercising the above powers shall be subject to all
provisions of Article VIII of this Act as applied to importing
distributors. A railroad license shall also permit the
licensee to sell or dispense alcoholic liquors on any club,
buffet, lounge or dining car operated on an electric, gas or
steam railway regularly operated by a common carrier in this
State, but shall not permit the sale for resale of any
alcoholic liquors to any licensee within this State. A license
shall be obtained for each car in which such sales are made.
(g) A boat license shall allow the sale of alcoholic
liquor in individual drinks, on any passenger boat regularly
operated as a common carrier on navigable waters in this State
or on any riverboat operated under the Illinois Gambling Act,
which boat or riverboat maintains a public dining room or
restaurant thereon.
(h) A non-beverage user's license shall allow the licensee
to purchase alcoholic liquor from a licensed manufacturer or

HB4701 - 62 - LRB103 36426 RPS 66528 b
importing distributor, without the imposition of any tax upon
the business of such licensed manufacturer or importing
distributor as to such alcoholic liquor to be used by such
licensee solely for the non-beverage purposes set forth in
subsection (a) of Section 8-1 of this Act, and such licenses
shall be divided and classified and shall permit the purchase,
possession and use of limited and stated quantities of
alcoholic liquor as follows:
Class 1, not to exceed ......................... 500 gallons
Class 2, not to exceed ....................... 1,000 gallons
Class 3, not to exceed ....................... 5,000 gallons
Class 4, not to exceed ...................... 10,000 gallons
Class 5, not to exceed ....................... 50,000 gallons
(i) A wine-maker's premises license shall allow a licensee
that concurrently holds a first-class wine-maker's license to
sell and offer for sale at retail in the premises specified in
such license not more than 50,000 gallons of the first-class
wine-maker's wine that is made at the first-class wine-maker's
licensed premises per year for use or consumption, but not for
resale in any form. A wine-maker's premises license shall
allow a licensee who concurrently holds a second-class
wine-maker's license to sell and offer for sale at retail in
the premises specified in such license up to 100,000 gallons
of the second-class wine-maker's wine that is made at the
second-class wine-maker's licensed premises per year for use
or consumption but not for resale in any form. A first-class

HB4701 - 63 - LRB103 36426 RPS 66528 b
wine-maker that concurrently holds a class 1 brewer license or
a class 1 craft distiller license shall not be eligible to hold
a wine-maker's premises license. A wine-maker's premises
license shall allow a licensee that concurrently holds a
first-class wine-maker's license or a second-class
wine-maker's license to sell and offer for sale at retail at
the premises specified in the wine-maker's premises license,
for use or consumption but not for resale in any form, any
beer, wine, and spirits purchased from a licensed distributor.
Upon approval from the State Commission, a wine-maker's
premises license shall allow the licensee to sell and offer
for sale at (i) the wine-maker's licensed premises and (ii) at
up to 2 additional locations for use and consumption and not
for resale. Each location shall require additional licensing
per location as specified in Section 5-3 of this Act. A
wine-maker's premises licensee shall secure liquor liability
insurance coverage in an amount at least equal to the maximum
liability amounts set forth in subsection (a) of Section 6-21
of this Act.
(j) An airplane license shall permit the licensee to
import alcoholic liquors into this State from any point in the
United States outside this State and to store such alcoholic
liquors in this State; to make wholesale purchases of
alcoholic liquors directly from manufacturers, foreign
importers, distributors and importing distributors from within
or outside this State; and to store such alcoholic liquors in

HB4701 - 64 - LRB103 36426 RPS 66528 b
this State; provided that the above powers may be exercised
only in connection with the importation, purchase or storage
of alcoholic liquors to be sold or dispensed on an airplane;
and provided further, that airplane licensees exercising the
above powers shall be subject to all provisions of Article
VIII of this Act as applied to importing distributors. An
airplane licensee shall also permit the sale or dispensing of
alcoholic liquors on any passenger airplane regularly operated
by a common carrier in this State, but shall not permit the
sale for resale of any alcoholic liquors to any licensee
within this State. A single airplane license shall be required
of an airline company if liquor service is provided on board
aircraft in this State. The annual fee for such license shall
be as determined in Section 5-3.
(k) A foreign importer's license shall permit such
licensee to purchase alcoholic liquor from Illinois licensed
non-resident dealers only, and to import alcoholic liquor
other than in bulk from any point outside the United States and
to sell such alcoholic liquor to Illinois licensed importing
distributors and to no one else in Illinois; provided that (i)
the foreign importer registers with the State Commission every
brand of alcoholic liquor that it proposes to sell to Illinois
licensees during the license period, (ii) the foreign importer
complies with all of the provisions of Section 6-9 of this Act
with respect to registration of such Illinois licensees as may
be granted the right to sell such brands at wholesale, and

HB4701 - 65 - LRB103 36426 RPS 66528 b
(iii) the foreign importer complies with the provisions of
Sections 6-5 and 6-6 of this Act to the same extent that these
provisions apply to manufacturers.
(l) (i) A broker's license shall be required of all
persons who solicit orders for, offer to sell or offer to
supply alcoholic liquor to retailers in the State of Illinois,
or who offer to retailers to ship or cause to be shipped or to
make contact with distillers, craft distillers, rectifiers,
brewers or manufacturers or any other party within or without
the State of Illinois in order that alcoholic liquors be
shipped to a distributor, importing distributor or foreign
importer, whether such solicitation or offer is consummated
within or without the State of Illinois.
No holder of a retailer's license issued by the Illinois
Liquor Control Commission shall purchase or receive any
alcoholic liquor, the order for which was solicited or offered
for sale to such retailer by a broker unless the broker is the
holder of a valid broker's license.
The broker shall, upon the acceptance by a retailer of the
broker's solicitation of an order or offer to sell or supply or
deliver or have delivered alcoholic liquors, promptly forward
to the Illinois Liquor Control Commission a notification of
said transaction in such form as the Commission may by
regulations prescribe.
(ii) A broker's license shall be required of a person
within this State, other than a retail licensee, who, for a fee

HB4701 - 66 - LRB103 36426 RPS 66528 b
or commission, promotes, solicits, or accepts orders for
alcoholic liquor, for use or consumption and not for resale,
to be shipped from this State and delivered to residents
outside of this State by an express company, common carrier,
or contract carrier. This Section does not apply to any person
who promotes, solicits, or accepts orders for wine as
specifically authorized in Section 6-29 of this Act.
A broker's license under this subsection (l) shall not
entitle the holder to buy or sell any alcoholic liquors for his
own account or to take or deliver title to such alcoholic
liquors.
This subsection (l) shall not apply to distributors,
employees of distributors, or employees of a manufacturer who
has registered the trademark, brand or name of the alcoholic
liquor pursuant to Section 6-9 of this Act, and who regularly
sells such alcoholic liquor in the State of Illinois only to
its registrants thereunder.
Any agent, representative, or person subject to
registration pursuant to subsection (a-1) of this Section
shall not be eligible to receive a broker's license.
(m) A non-resident dealer's license shall permit such
licensee to ship into and warehouse alcoholic liquor into this
State from any point outside of this State, and to sell such
alcoholic liquor to Illinois licensed foreign importers and
importing distributors and to no one else in this State;
provided that (i) said non-resident dealer shall register with

HB4701 - 67 - LRB103 36426 RPS 66528 b
the Illinois Liquor Control Commission each and every brand of
alcoholic liquor which it proposes to sell to Illinois
licensees during the license period, (ii) it shall comply with
all of the provisions of Section 6-9 hereof with respect to
registration of such Illinois licensees as may be granted the
right to sell such brands at wholesale by duly filing such
registration statement, thereby authorizing the non-resident
dealer to proceed to sell such brands at wholesale, and (iii)
the non-resident dealer shall comply with the provisions of
Sections 6-5 and 6-6 of this Act to the same extent that these
provisions apply to manufacturers. No person licensed as a
non-resident dealer shall be granted a distributor's or
importing distributor's license.
(n) A brew pub license shall allow the licensee to only (i)
manufacture up to 155,000 gallons of beer per year only on the
premises specified in the license, (ii) make sales of the beer
manufactured on the premises or, with the approval of the
Commission, beer manufactured on another brew pub licensed
premises that is wholly owned and operated by the same
licensee to importing distributors, distributors, and to
non-licensees for use and consumption, (iii) store the beer
upon the premises, (iv) sell and offer for sale at retail from
the licensed premises for off-premises consumption no more
than 155,000 gallons per year so long as such sales are only
made in-person, (v) sell and offer for sale at retail for use
and consumption on the premises specified in the license any

HB4701 - 68 - LRB103 36426 RPS 66528 b
form of alcoholic liquor purchased from a licensed distributor
or importing distributor, (vi) with the prior approval of the
Commission, annually transfer no more than 155,000 gallons of
beer manufactured on the premises to a licensed brew pub
wholly owned and operated by the same licensee, and (vii)
notwithstanding item (i) of this subsection, brew pubs wholly
owned and operated by the same licensee may combine each
location's production limit of 155,000 gallons of beer per
year and allocate the aggregate total between the wholly
owned, operated, and licensed locations.
A brew pub licensee shall not under any circumstance sell
or offer for sale beer manufactured by the brew pub licensee to
retail licensees.
A person who holds a class 2 brewer license may
simultaneously hold a brew pub license if the class 2 brewer
(i) does not, under any circumstance, sell or offer for sale
beer manufactured by the class 2 brewer to retail licensees;
(ii) does not hold more than 3 brew pub licenses in this State;
(iii) does not manufacture more than a combined 3,720,000
gallons of beer per year, including the beer manufactured at
the brew pub; and (iv) is not a member of or affiliated with,
directly or indirectly, a manufacturer that produces more than
3,720,000 gallons of beer per year or any other alcoholic
liquor.
Notwithstanding any other provision of this Act, a
licensed brewer, class 2 brewer, or non-resident dealer who

HB4701 - 69 - LRB103 36426 RPS 66528 b
before July 1, 2015 manufactured less than 3,720,000 gallons
of beer per year and held a brew pub license on or before July
1, 2015 may (i) continue to qualify for and hold that brew pub
license for the licensed premises and (ii) manufacture more
than 3,720,000 gallons of beer per year and continue to
qualify for and hold that brew pub license if that brewer,
class 2 brewer, or non-resident dealer does not simultaneously
hold a class 1 brewer license and is not a member of or
affiliated with, directly or indirectly, a manufacturer that
produces more than 3,720,000 gallons of beer per year or that
produces any other alcoholic liquor.
A brew pub licensee may apply for a class 3 brewer license
and, upon meeting all applicable qualifications of this Act
and relinquishing all commonly owned brew pub or retail
licenses, shall be issued a class 3 brewer license. Nothing in
this Act shall prohibit the issuance of a class 3 brewer
license if the applicant:
(1) has a valid retail license on or before May 1,
2021;
(2) has an ownership interest in at least two brew
pubs licenses on or before May 1, 2021;
(3) the brew pub licensee applies for a class 3 brewer
license on or before October 1, 2022 and relinquishes all
commonly owned brew pub licenses; and
(4) relinquishes all commonly owned retail licenses on
or before December 31, 2022.

HB4701 - 70 - LRB103 36426 RPS 66528 b
If a brew pub licensee is issued a class 3 brewer license,
the class 3 brewer license shall expire on the same date as the
existing brew pub license and the State Commission shall not
require a class 3 brewer licensee to obtain a brewer license,
or in the alternative to pay a fee for a brewer license, until
the date the brew pub license of the applicant would have
expired.
(o) A caterer retailer license shall allow the holder to
serve alcoholic liquors as an incidental part of a food
service that serves prepared meals which excludes the serving
of snacks as the primary meal, either on or off-site whether
licensed or unlicensed. A caterer retailer license shall allow
the holder, a distributor, or an importing distributor to
transfer any inventory to and from the holder's retail
premises and shall allow the holder to purchase alcoholic
liquor from a distributor or importing distributor to be
delivered directly to an off-site event.
Nothing in this Act prohibits a distributor or importing
distributor from offering credit or a refund for unused,
salable beer to a holder of a caterer retailer license or a
caterer retailer licensee from accepting a credit or refund
for unused, salable beer, in the event an act of God is the
sole reason an off-site event is cancelled and if: (i) the
holder of a caterer retailer license has not transferred
alcoholic liquor from its caterer retailer premises to an
off-site location; (ii) the distributor or importing

HB4701 - 71 - LRB103 36426 RPS 66528 b
distributor offers the credit or refund for the unused,
salable beer that it delivered to the off-site premises and
not for any unused, salable beer that the distributor or
importing distributor delivered to the caterer retailer's
premises; and (iii) the unused, salable beer would likely
spoil if transferred to the caterer retailer's premises. A
caterer retailer license shall allow the holder to transfer
any inventory from any off-site location to its caterer
retailer premises at the conclusion of an off-site event or
engage a distributor or importing distributor to transfer any
inventory from any off-site location to its caterer retailer
premises at the conclusion of an off-site event, provided that
the distributor or importing distributor issues bona fide
charges to the caterer retailer licensee for fuel, labor, and
delivery and the distributor or importing distributor collects
payment from the caterer retailer licensee prior to the
distributor or importing distributor transferring inventory to
the caterer retailer premises.
For purposes of this subsection (o), an "act of God" means
an unforeseeable event, such as a rain or snow storm, hail, a
flood, or a similar event, that is the sole cause of the
cancellation of an off-site, outdoor event.
(p) An auction liquor license shall allow the licensee to
sell and offer for sale at auction wine and spirits for use or
consumption, or for resale by an Illinois liquor licensee in
accordance with provisions of this Act. An auction liquor

HB4701 - 72 - LRB103 36426 RPS 66528 b
license will be issued to a person and it will permit the
auction liquor licensee to hold the auction anywhere in the
State. An auction liquor license must be obtained for each
auction at least 14 days in advance of the auction date.
(q) A special use permit license shall allow an Illinois
licensed retailer to transfer a portion of its alcoholic
liquor inventory from its retail licensed premises to the
premises specified in the license hereby created; to purchase
alcoholic liquor from a distributor or importing distributor
to be delivered directly to the location specified in the
license hereby created; and to sell or offer for sale at
retail, only in the premises specified in the license hereby
created, the transferred or delivered alcoholic liquor for use
or consumption, but not for resale in any form. A special use
permit license may be granted for the following time periods:
one day or less; 2 or more days to a maximum of 15 days per
location in any 12-month period. An applicant for the special
use permit license must also submit with the application proof
satisfactory to the State Commission that the applicant will
provide dram shop liability insurance to the maximum limits
and have local authority approval.
A special use permit license shall allow the holder to
transfer any inventory from the holder's special use premises
to its retail premises at the conclusion of the special use
event or engage a distributor or importing distributor to
transfer any inventory from the holder's special use premises

HB4701 - 73 - LRB103 36426 RPS 66528 b
to its retail premises at the conclusion of an off-site event,
provided that the distributor or importing distributor issues
bona fide charges to the special use permit licensee for fuel,
labor, and delivery and the distributor or importing
distributor collects payment from the retail licensee prior to
the distributor or importing distributor transferring
inventory to the retail premises.
Nothing in this Act prohibits a distributor or importing
distributor from offering credit or a refund for unused,
salable beer to a special use permit licensee or a special use
permit licensee from accepting a credit or refund for unused,
salable beer at the conclusion of the event specified in the
license if: (i) the holder of the special use permit license
has not transferred alcoholic liquor from its retail licensed
premises to the premises specified in the special use permit
license; (ii) the distributor or importing distributor offers
the credit or refund for the unused, salable beer that it
delivered to the premises specified in the special use permit
license and not for any unused, salable beer that the
distributor or importing distributor delivered to the
retailer's premises; and (iii) the unused, salable beer would
likely spoil if transferred to the retailer premises.
(r) A winery shipper's license shall allow a person with a
first-class or second-class wine manufacturer's license, a
first-class or second-class wine-maker's license, or a limited
wine manufacturer's license or who is licensed to make wine

HB4701 - 74 - LRB103 36426 RPS 66528 b
under the laws of another state to ship wine made by that
licensee directly to a resident of this State who is 21 years
of age or older for that resident's personal use and not for
resale. Prior to receiving a winery shipper's license, an
applicant for the license must provide the Commission with a
true copy of its current license in any state in which it is
licensed as a manufacturer of wine. An applicant for a winery
shipper's license must also complete an application form that
provides any other information the Commission deems necessary.
The application form shall include all addresses from which
the applicant for a winery shipper's license intends to ship
wine, including the name and address of any third party,
except for a common carrier, authorized to ship wine on behalf
of the manufacturer. The application form shall include an
acknowledgement consenting to the jurisdiction of the
Commission, the Illinois Department of Revenue, and the courts
of this State concerning the enforcement of this Act and any
related laws, rules, and regulations, including authorizing
the Department of Revenue and the Commission to conduct audits
for the purpose of ensuring compliance with Public Act 95-634,
and an acknowledgement that the wine manufacturer is in
compliance with Section 6-2 of this Act. Any third party,
except for a common carrier, authorized to ship wine on behalf
of a first-class or second-class wine manufacturer's licensee,
a first-class or second-class wine-maker's licensee, a limited
wine manufacturer's licensee, or a person who is licensed to

HB4701 - 75 - LRB103 36426 RPS 66528 b
make wine under the laws of another state shall also be
disclosed by the winery shipper's licensee, and a copy of the
written appointment of the third-party wine provider, except
for a common carrier, to the wine manufacturer shall be filed
with the State Commission as a supplement to the winery
shipper's license application or any renewal thereof. The
winery shipper's license holder shall affirm under penalty of
perjury, as part of the winery shipper's license application
or renewal, that he or she only ships wine, either directly or
indirectly through a third-party provider registered under
Section 5-8, from the licensee's own production. A third-party
provider's shipment of wine on behalf of a winery shipper must
comply with Section 5-8.
Except for a common carrier, a third-party provider
shipping wine on behalf of a winery shipper's license holder
is the agent of the winery shipper's license holder and, as
such, a winery shipper's license holder is responsible for the
acts and omissions of the third-party provider acting on
behalf of the license holder. A winery shipper's use of the
services of a third-party provider does not relieve the winery
shipper of any obligation under this Act or any rule adopted
under this Act. A third-party provider, except for a common
carrier, that engages in shipping wine into Illinois must
comply with Section 5-8 and on behalf of a winery shipper's
license holder shall consent to the jurisdiction of the State
Commission and the State. Any third-party, except for a common

HB4701 - 76 - LRB103 36426 RPS 66528 b
carrier, holding such an appointment shall, by February 1 of
each calendar year and upon request by the State Commission or
the Department of Revenue, file with the State Commission a
statement detailing each shipment made to an Illinois
resident. The statement shall include the name and address of
the third-party provider filing the statement, the time period
covered by the statement, and the following information:
(1) the name, address, and license number of the
winery shipper on whose behalf the shipment was made;
(2) the quantity of the products delivered; and
(3) the date and address of the shipment.
If the Department of Revenue or the State Commission requests
a statement under this paragraph, the third-party provider
must provide that statement no later than 30 days after the
request is made. Any books, records, supporting papers, and
documents containing information and data relating to a
statement under this paragraph shall be kept and preserved for
a period of 3 years, unless their destruction sooner is
authorized, in writing, by the Director of Revenue, and shall
be open and available to inspection by the Director of Revenue
or the State Commission or any duly authorized officer, agent,
or employee of the State Commission or the Department of
Revenue, at all times during business hours of the day. Any
person who violates any provision of this paragraph or any
rule of the State Commission for the administration and
enforcement of the provisions of this paragraph is guilty of a

HB4701 - 77 - LRB103 36426 RPS 66528 b
Class C misdemeanor. In case of a continuing violation, each
day's continuance thereof shall be a separate and distinct
offense.
The State Commission shall adopt rules as soon as
practicable to implement the requirements of Public Act 99-904
and shall adopt rules prohibiting any such third-party
appointment of a third-party provider, except for a common
carrier, that has been deemed by the State Commission to have
violated the provisions of this Act with regard to any winery
shipper licensee.
A winery shipper licensee must pay to the Department of
Revenue the State liquor gallonage tax under Section 8-1 for
all wine that is sold by the licensee and shipped to a person
in this State. For the purposes of Section 8-1, a winery
shipper licensee shall be taxed in the same manner as a
manufacturer of wine. A licensee who is not otherwise required
to register under the Retailers' Occupation Tax Act must
register under the Use Tax Act to collect and remit use tax to
the Department of Revenue for all gallons of wine that are sold
by the licensee and shipped to persons in this State. If a
licensee fails to remit the tax imposed under this Act in
accordance with the provisions of Article VIII of this Act,
the winery shipper's license shall be revoked in accordance
with the provisions of Article VII of this Act. If a licensee
fails to properly register and remit tax under the Use Tax Act
or the Retailers' Occupation Tax Act for all wine that is sold

HB4701 - 78 - LRB103 36426 RPS 66528 b
by the winery shipper and shipped to persons in this State, the
winery shipper's license shall be revoked in accordance with
the provisions of Article VII of this Act.
For tax purposes, a A winery shipper licensee must
collect, maintain, and submit to the State Commission on a
semi-annual basis the total number of cases per resident of
wine shipped to residents of this State. A winery shipper
licensed under this subsection (r) must comply with the
requirements of Section 6-29 of this Act.
Pursuant to paragraph (5.1) or (5.3) of subsection (a) of
Section 3-12, the State Commission may receive, respond to,
and investigate any complaint and impose any of the remedies
specified in paragraph (1) of subsection (a) of Section 3-12.
As used in this subsection, "third-party provider" means
any entity that provides fulfillment house services, including
warehousing, packaging, distribution, order processing, or
shipment of wine, but not the sale of wine, on behalf of a
licensed winery shipper.
(s) A craft distiller tasting permit license shall allow
an Illinois licensed class 1 craft distiller or class 2 craft
distiller to transfer a portion of its alcoholic liquor
inventory from its class 1 craft distiller or class 2 craft
distiller licensed premises to the premises specified in the
license hereby created and to conduct a sampling, only in the
premises specified in the license hereby created, of the
transferred alcoholic liquor in accordance with subsection (c)

HB4701 - 79 - LRB103 36426 RPS 66528 b
of Section 6-31 of this Act. The transferred alcoholic liquor
may not be sold or resold in any form. An applicant for the
craft distiller tasting permit license must also submit with
the application proof satisfactory to the State Commission
that the applicant will provide dram shop liability insurance
to the maximum limits and have local authority approval.
(t) A brewer warehouse permit may be issued to the holder
of a class 1 brewer license or a class 2 brewer license. If the
holder of the permit is a class 1 brewer licensee, the brewer
warehouse permit shall allow the holder to store or warehouse
up to 930,000 gallons of tax-determined beer manufactured by
the holder of the permit at the premises specified on the
permit. If the holder of the permit is a class 2 brewer
licensee, the brewer warehouse permit shall allow the holder
to store or warehouse up to 3,720,000 gallons of
tax-determined beer manufactured by the holder of the permit
at the premises specified on the permit. Sales to
non-licensees are prohibited at the premises specified in the
brewer warehouse permit.
(u) A distilling pub license shall allow the licensee to
only (i) manufacture up to 5,000 gallons of spirits per year
only on the premises specified in the license, (ii) make sales
of the spirits manufactured on the premises or, with the
approval of the State Commission, spirits manufactured on
another distilling pub licensed premises that is wholly owned
and operated by the same licensee to importing distributors

HB4701 - 80 - LRB103 36426 RPS 66528 b
and distributors and to non-licensees for use and consumption,
(iii) store the spirits upon the premises, (iv) sell and offer
for sale at retail from the licensed premises for off-premises
consumption no more than 5,000 gallons per year so long as such
sales are only made in-person, (v) sell and offer for sale at
retail for use and consumption on the premises specified in
the license any form of alcoholic liquor purchased from a
licensed distributor or importing distributor, and (vi) with
the prior approval of the State Commission, annually transfer
no more than 5,000 gallons of spirits manufactured on the
premises to a licensed distilling pub wholly owned and
operated by the same licensee.
A distilling pub licensee shall not under any circumstance
sell or offer for sale spirits manufactured by the distilling
pub licensee to retail licensees.
A person who holds a class 2 craft distiller license may
simultaneously hold a distilling pub license if the class 2
craft distiller (i) does not, under any circumstance, sell or
offer for sale spirits manufactured by the class 2 craft
distiller to retail licensees; (ii) does not hold more than 3
distilling pub licenses in this State; (iii) does not
manufacture more than a combined 100,000 gallons of spirits
per year, including the spirits manufactured at the distilling
pub; and (iv) is not a member of or affiliated with, directly
or indirectly, a manufacturer that produces more than 100,000
gallons of spirits per year or any other alcoholic liquor.

HB4701 - 81 - LRB103 36426 RPS 66528 b
(v) A craft distiller warehouse permit may be issued to
the holder of a class 1 craft distiller or class 2 craft
distiller license. The craft distiller warehouse permit shall
allow the holder to store or warehouse up to 500,000 gallons of
spirits manufactured by the holder of the permit at the
premises specified on the permit. Sales to non-licensees are
prohibited at the premises specified in the craft distiller
warehouse permit.
(w) A beer showcase permit license shall allow an
Illinois-licensed distributor to transfer a portion of its
beer inventory from its licensed premises to the premises
specified in the beer showcase permit license, and, in the
case of a class 3 brewer, transfer only beer the class 3 brewer
manufactures from its licensed premises to the premises
specified in the beer showcase permit license; and to sell or
offer for sale at retail, only in the premises specified in the
beer showcase permit license, the transferred or delivered
beer for on or off premise consumption, but not for resale in
any form and to sell to non-licensees not more than 96 fluid
ounces of beer per person. A beer showcase permit license may
be granted for the following time periods: one day or less; or
2 or more days to a maximum of 15 days per location in any
12-month period. An applicant for a beer showcase permit
license must also submit with the application proof
satisfactory to the State Commission that the applicant will
provide dram shop liability insurance to the maximum limits

HB4701 - 82 - LRB103 36426 RPS 66528 b
and have local authority approval. The State Commission shall
require the beer showcase applicant to comply with Section
6-27.1.
(Source: P.A. 101-16, eff. 6-14-19; 101-31, eff. 6-28-19;
101-81, eff. 7-12-19; 101-482, eff. 8-23-19; 101-517, eff.
8-23-19; 101-615, eff. 12-20-19; 101-668, eff. 1-1-22;
102-442, eff. 8-20-21; 102-1142, eff. 2-17-23.)
(235 ILCS 5/5-8 new)
Sec. 5-8. Third-party provider registration.
(a) A third-party provider must register with the State
Commission before shipping wine into this State. Registration
as a third-party provider is valid for a 2-year period and may
be renewed. The application for registration as a third-party
provider must include:
(1) each address from which the third-party provider
will ship wine to a consumer;
(2) the name, business address, and license number of
each winery shipper, with the name stated as it appears on
the winery shipper license, on whose behalf the
third-party provider will ship wine to a consumer; and
(3) any other information the State Commission may
require.
(b) To register as a third-party provider, the third-party
provider must pay a $50 fee and agree to:
(1) allow the State Commission to inspect and audit

HB4701 - 83 - LRB103 36426 RPS 66528 b
its records under subsection (e);
(2) allow the State Commission to inspect a location
under Section 3-12;
(3) appoint and maintain an agent for service of
process under subsection (g); and
(4) submit to the jurisdiction of the State
Commission, the courts, and any other enforcement
authority of this State in a matter relating to
enforcement of a law of this State regulating shipment of
wine to a person in this State.
(c) A third-party provider may ship wine on behalf of a
winery shipper to a consumer only if:
(1) the third-party provider maintains a registration
under this Section that is not suspended, revoked, or
canceled;
(2) the wine was supplied to the third-party provider
by a licensed winery shipper;
(3) the package containing the wine clearly indicates:
(A) on the shipping label, the name and applicable
address of the third-party provider, as they appear in
the registration under this Section, as consignor, and
the name and address of the consumer, as intended
recipient;
(B) on the package or shipping label, the name and
winery shipper's license number of the licensed winery
shipper that supplied to the third-party provider the

HB4701 - 84 - LRB103 36426 RPS 66528 b
wine contained in the package; and
(4) the shipment is otherwise authorized under this
Act.
(d) A registered third-party provider is subject to the
jurisdiction of the State Commission, the courts, and any
other enforcement authority of this State in a matter relating
to the enforcement of the laws of this State regulating
shipment of alcoholic liquor directly to a person in this
State.
(e) The State Commission may inspect and audit the records
of a registered third-party provider for compliance with the
laws of this State regulating shipment of wine directly to a
person in this State. A registered third-party provider shall
allow the State Commission to inspect and audit its records
and, at the State Commission's request in a record, provide
complete and accurate copies of its records to the State
Commission at a location specified by the State Commission,
not later than 15 days after the date of the request.
(f) The State Commission may inspect, during ordinary
hours of operation, a location where a registered third-party
provider conducts business to assess compliance with the laws
of this State regulating shipment of alcoholic liquor directly
to a person in this State.
(g) A registered third-party provider shall appoint and
continuously maintain with the State Commission an agent for
service of process. The agent may be located in this State or

HB4701 - 85 - LRB103 36426 RPS 66528 b
another state. By appointing an agent under this subsection,
the registered third-party provider affirms that the agent
consents to accept service. Service of process on the agent
constitutes valid service of process on the registered
third-party provider in an action or proceeding arising out of
enforcement of law of this State regulating shipment of wine
directly to a person in this State. If a registered
third-party provider fails to maintain in the records of the
State Commission a current agent for service of process or if
the current agent cannot be served with reasonable diligence,
the State Commission is the agent for service of process.
(h) The State Commission may disclose a report, record,
order, or other information in its possession, for a
regulatory or enforcement purpose, to:
(1) a State agency or law enforcement agency;
(2) a local or state agency in another state with
regulatory authority over matters relating to alcoholic
liquor or taxation or a law enforcement agency of another
state; and
(3) a federal agency with regulatory authority
relating to alcoholic liquor or taxation or a federal law
enforcement agency.
(i) The State Commission may disclose to the public an
order resulting from a completed investigation.
(235 ILCS 5/6-29) (from Ch. 43, par. 144e)

HB4701 - 86 - LRB103 36426 RPS 66528 b
Sec. 6-29. Winery shipper's license.
(a) The General Assembly declares that the following is
the intent of this Section:
(1) To authorize direct shipment of wine by an
out-of-state maker of wine on the same basis permitted an
in-state maker of wine pursuant to the authority of the
State under the provisions of Section 2 of the
Twenty-First Amendment to the United States Constitution
and in conformance with the United States Supreme Court
decision decided on May 16, 2005 in Granholm v. Heald.
(2) To reaffirm that the General Assembly's findings
and declarations that selling alcoholic liquor through
various direct marketing means such as catalogs,
newspapers, mailings, and the Internet directly to
consumers of this State poses a serious threat to the
State's efforts to further temperance and prevent youth
from accessing alcoholic liquor and the expansion of youth
access to additional types of alcoholic liquors.
(3) To maintain the State's broad powers granted by
Section 2 of the Twenty-First Amendment to the United
States Constitution to control the importation or sale of
alcoholic liquor and its right to structure its alcoholic
liquor distribution system.
(4) To ensure that the General Assembly, by
authorizing limited direct shipment of wine to meet the
directives of the United States Supreme Court, does not

HB4701 - 87 - LRB103 36426 RPS 66528 b
intend to impair or modify the State's distribution of
wine through distributors or importing distributors, but
only to permit limited shipment of wine for personal use.
(5) To provide that, in the event that a court of
competent jurisdiction declares or finds that this
Section, which is enacted to conform Illinois law to the
United States Supreme Court decision, is invalid or
unconstitutional, the Illinois General Assembly at its
earliest general session shall conduct hearings and study
methods to conform to any directive or order of the court
consistent with the temperance and revenue collection
purposes of this Act.
(a-5) In this Section, "carrier" means a person or entity
that:
(1) holds himself, herself, or itself out to the
general public as engaged in the business of transporting
goods for a fee; and
(2) is engaged in the business of transporting and
delivering alcoholic beverages in this State directly to
consumers.
(b) Notwithstanding any other provision of law, a wine
shipper licensee may ship, for personal use and not for
resale, not more than 12 cases of wine per year to any resident
of this State who is 21 years of age or older.
(b-3) Notwithstanding any other provision of law, sale and
shipment by a winery shipper licensee pursuant to this Section

HB4701 - 88 - LRB103 36426 RPS 66528 b
shall be deemed to constitute a sale in this State.
(b-5) The shipping container of any wine shipped under
this Section shall be clearly labeled with the following
words: "CONTAINS ALCOHOL. SIGNATURE OF A PERSON 21 YEARS OF
AGE OR OLDER REQUIRED FOR DELIVERY. PROOF OF AGE AND IDENTITY
MUST BE SHOWN BEFORE DELIVERY.". This warning must be
prominently displayed on the packaging. A licensee shall
require the transporter or common carrier that delivers the
wine to obtain the signature of a person 21 years of age or
older at the delivery address at the time of delivery. At the
expense of the licensee, the licensee shall receive a delivery
confirmation from the express company, common carrier, or
contract carrier indicating the location of the delivery, time
of delivery, and the name and signature of the individual 21
years of age or older who accepts delivery. The State
Commission shall design and create a label or approve a label
that must be affixed to the shipping container by the
licensee.
(b-10) A carrier may not deliver to a consumer a package
known by the carrier to contain wine unless:
(1) the consignor is a licensed winery shipper and the
carrier has verified its winery shipper license for the
current license period; or
(2) the consignor is a registered third-party provider
and the carrier has verified the registration.
A carrier that verifies that a winery shipper has a winery

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shipper license for the current license period may consider
the license to be valid for the remainder of the license
period, unless the carrier receives notice from the State
Commission that the license has been suspended or revoked. A
carrier that verifies that a third-party provider is
registered may consider the registration to be valid unless
the carrier receives notice from the State Commission that the
registration has been suspended or revoked.
(b-15) A registered third-party provider shall file with
the State Commission a monthly report that includes:
(1) the name, business address, and registration
number of the third-party provider;
(2) the total number of gallons of wine shipped to
consumers by the third-party provider during the reporting
period; and
(3) for each shipment of wine to a consumer during the
reporting period:
(A) the name, business address, and license number
of the winery shipper on whose behalf the third-party
provider shipped the wine, with the name stated, if
possible, as it appears on the winery shipper license;
(B) the name and address of the consumer to whom
the wine was shipped;
(C) the address from which the third-party
provider originated the shipment, stated identically
as an address provided by the third-party provider

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under paragraph (1) of subsection (a) of Section 5-8;
(D) the date the shipment was delivered;
(E) the type and quantity by volume of wine
shipped; and
(F) the name and business address of the carrier
that delivered the wine and the carrier's parcel
tracking number for the shipment.
If no business was transacted in this State during the
reporting period, a report under this subsection must include
the information under paragraph (1) and report that no
business was transacted in this State during the reporting
period.
Any books, records, supporting papers, and documents
containing information and data relating to a statement under
this subsection shall be kept and preserved for a period of 3
years, unless their destruction is authorized sooner in
writing by the Director of Revenue, and shall be open and
available to inspection by the Director of Revenue or the
State Commission or any duly authorized officer, agent, or
employee of the State Commission or the Department of Revenue,
at all times during business hours of the day. Any person who
violates any provision of this subsection or any rule of the
State Commission for the administration and enforcement of the
provisions of this subsection is guilty of a Class C
misdemeanor. In case of a continuing violation, each day's
continuance thereof shall be a separate and distinct offense.

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(b-20) A licensed winery shipper shall file with the State
Commission a monthly report that includes:
(1) the name, business address, and license number of
the licensed winery shipper;
(2) the total gallons of each type of wine shipped to
consumers during the reporting period; and
(3) for each shipment of wine to a consumer during the
reporting period:
(A) the name and address of the consumer to whom
the wine was shipped;
(B) the date the shipment was delivered;
(C) the type and quantity by volume of wine
shipped;
(D) the purchase price of the wine shipped and the
amount and type of each tax charged in connection with
the wine;
(E) if the wine was shipped for the licensed
winery shipper by a third-party provider, the name,
business address, and registration number of the
third-party provider, with the name stated, if
possible, as it appears on the third-party provider's
registration; and
(F) if the wine was delivered by a carrier, the
name and business address of the carrier and the
carrier's parcel tracking number for the shipment.
If no business was transacted in this State during the

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reporting period, a report under this subsection must include
the information under paragraph (1) and report that no
business was transacted in this State during the reporting
period.
(b-25) A carrier shall file with the State Commission a
monthly report that includes:
(1) the name and business address of the carrier;
(2) a list containing the name, business address, and
winery shipper license number or third-party provider
registration number of each licensed winery shipper and
registered third-party provider with which the carrier has
an agreement to ship wine, with the name stated, if
possible, as it appears on the winery shipper license or
third-party provider registration; and
(3) for each shipment known by the carrier to contain
wine that was delivered to a consumer during the reporting
period:
(A) the name and business address of the consignor
of the shipment;
(B) the name and address of the consumer;
(C) the date the shipment was delivered by the
carrier;
(D) the weight, in pounds, of the package; and
(E) the carrier's parcel tracking number for the
shipment.
If no business was transacted in this State during the

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reporting period, a report under this subsection must include
the information under paragraph (1) and report that no
business was transacted in this State during the reporting
period.
(b-30) The State Commission shall prescribe the form and
deadline for filing a report under this Section. The State
Commission may require the report to be filed electronically.
The State Commission may require a person filing the report to
submit additional information, including business records, to
substantiate information in the report.
(b-35) Except as provided in subsection (b-40), reports
filed under this Section and information obtained from the
report, records inspected or obtained by the State Commission
under subsection (e) of Section 5-8, and other information
obtained by the State Commission relating to enforcement or
investigation of a violation of this Act are confidential,
exempt from disclosure under the Freedom of Information Act,
and exempt from public inspection.
(b-40) The State Commission may disclose a report under
this Section or information from the report:
(1) if reasonably necessary to enforce or implement
this Act or other law of this State relating to the
shipment of alcoholic liquor directly to individuals in
this State; or
(2) as a compilation of aggregated data if personally
identifiable information is not disclosed.

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The State Commission may disclose to a carrier the
information specified under paragraph (3) of subsection (b-15)
and information specified under paragraph (2) of subsection
(a) of Section 5-8.
(b-42) A carrier shipping wine into or within this State
shall appoint and continuously maintain with the State
Commission an agent for service of process. The agent may be
located in this State or another state. By appointing an agent
under this subsection, the carrier affirms that the agent
consents to accept service. Service of process on the agent
constitutes valid service of process on the carrier in an
action or proceeding arising out of enforcement of law of this
State regulating shipment of wine directly to a person in this
State. If a carrier fails to maintain in the records of the
State Commission a current agent for service of process or if
the current agent cannot be served with reasonable diligence,
the State Commission is the agent for service of process.
(b-45) If the State Commission has reason to believe that
alcoholic liquor has been shipped unlawfully into or within
this State, the State Commission may give notice to the
consignor requiring the consignor to show cause why shipments
by the consignor into or within this State should not be
prohibited. If the State Commission, after an opportunity for
an evidentiary hearing, determines that the consignor shipped
alcoholic liquor into or within this State unlawfully, the
State Commission may issue an administrative order prohibiting

HB4701 - 95 - LRB103 36426 RPS 66528 b
additional shipments by the consignor of alcoholic liquor into
or within this State.
(b-50) The State Commission may give notice to a carrier
of the administrative order under subsection (b-45). Except as
provided in subsection (b-60), beginning 10 days after the
date of the notice, and until the carrier receives notice that
the administrative order is rescinded, the carrier may not
accept from the consignor identified in the notice, for
shipment into or within this State, a package known by the
carrier to contain wine.
(b-55) For good cause, the State Commission may rescind an
administrative order issued under subsection (b-45). On
rescinding the order, the State Commission shall give notice
of the rescission to each carrier that received notice under
subsection (b-50) of the order.
(b-60) The State Commission may not hold a hearing under
subsection (a) less than 30 days after the date of the notice
requiring the consignor to show cause unless:
(1) the consignor agrees to an earlier hearing date;
or
(2) the notice describes with particularity how the
consignor's alleged unlawful shipment poses a serious risk
to public health or safety.
(b-65) If the notice includes a description under
paragraph (2) of subsection (b-60) and the State Commission
issues an administrative order under subsection (a):

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(1) the order must identify the risk; and
(2) the State Commission's notice under subsection
(b-45) to a carrier must require the carrier to implement
the order as soon as possible.
(b-70) An administrative order issued under subsection (a)
is subject to judicial review under the Administrative Review
Law.
(b-75) This amendatory Act of the 103rd General Assembly
modifies, limits, or supersedes the Electronic Signatures in
Global and National Commerce Act, 15 U.S.C. Section 7001 et
seq., as amended, but does not modify, limit, or supersede 15
U.S.C. Section 7001(c), or authorize electronic delivery of
any of the notices described in 15 U.S.C. Section 7003(b).
(c) No broker within this State shall solicit consumers to
engage in direct wine shipments under this Section.
(d) It is not the intent of this Section to impair the
distribution of wine through distributors or importing
distributors, but only to permit shipments of wine for
personal use.
(Source: P.A. 95-634, eff. 6-1-08.)
(235 ILCS 5/7-3.5 new)
Sec. 7-3.5. Suspension, revocation, or nonrenewal of
license for unlawful shipping into another state.
(a) Notwithstanding subsection (b) of Section 10-1, the
State Commission may suspend, revoke, or refuse to issue or

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renew a license to manufacture, distribute, or sell alcoholic
liquor issued by the State Commission if the State Commission
finds, after notice and an opportunity for an evidentiary
hearing, that the person holding the license has shipped
alcoholic liquor into another state in violation of that
state's law.
(b) The State Commission may not suspend, revoke, or
refuse to issue or renew a license issued by the State
Commission under subsection (a) if the person holding the
license shows that:
(1) the violation of the other state's law is the
subject of an enforcement action in the other state that
is pending before an administrative body or trial or
appellate court in the other state;
(2) an enforcement action described in paragraph (1)
has concluded in the other state and resulted in a
determination that no violation of the other state's law
occurred; or
(3) the violation of the other state's law occurred
more than 2 years before the date of the notice under
subsection (a).
(235 ILCS 5/7-15 new)
Sec. 7-15. Third-party provider registrations.
Registrations as a third-party provider shall be governed
under this Article in the same manner as licenses.

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