Bill Text: IL SB0104 | 2021-2022 | 102nd General Assembly | Enrolled
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Amends the Liquor Control Act of 1934. Provides that payment by credit card during the period during which merchandising credit may be extended shall be considered payment. Provides that a retailer may use a credit card to make purchases from a distributor, and the distributor may charge to the retailer any fees associated with that credit card transaction. Provides that manufacturers, non-resident dealers, foreign importers, distributors, or importing distributors may make certain donations related to COVID-19. Provides that retail license holders may accept those donations. Repeals provisions related to the receipt of items of value on January 1, 2024. Authorizes the delivery and carry out of a single serving of wine if specified conditions are met. Provides that the provision concerning delivery and carry out of mixed drinks is repealed on January 1, 2024 (instead of June 2, 2021). Makes other changes. Amends the Use Tax Act and the Retailers' Occupation Tax Act. Provides that, with respect to certain eating and drinking establishments, the obligation to make quarter monthly payments shall be suspended, and the taxpayer shall, instead, make monthly payments as otherwise provided by law. Effective immediately.
Spectrum: Slight Partisan Bill (Democrat 19-7)
Status: (Passed) 2021-06-02 - Public Act . . . . . . . . . 102-0008 [SB0104 Detail]
Download: Illinois-2021-SB0104-Enrolled.html
Bill Title: Amends the Liquor Control Act of 1934. Provides that payment by credit card during the period during which merchandising credit may be extended shall be considered payment. Provides that a retailer may use a credit card to make purchases from a distributor, and the distributor may charge to the retailer any fees associated with that credit card transaction. Provides that manufacturers, non-resident dealers, foreign importers, distributors, or importing distributors may make certain donations related to COVID-19. Provides that retail license holders may accept those donations. Repeals provisions related to the receipt of items of value on January 1, 2024. Authorizes the delivery and carry out of a single serving of wine if specified conditions are met. Provides that the provision concerning delivery and carry out of mixed drinks is repealed on January 1, 2024 (instead of June 2, 2021). Makes other changes. Amends the Use Tax Act and the Retailers' Occupation Tax Act. Provides that, with respect to certain eating and drinking establishments, the obligation to make quarter monthly payments shall be suspended, and the taxpayer shall, instead, make monthly payments as otherwise provided by law. Effective immediately.
Spectrum: Slight Partisan Bill (Democrat 19-7)
Status: (Passed) 2021-06-02 - Public Act . . . . . . . . . 102-0008 [SB0104 Detail]
Download: Illinois-2021-SB0104-Enrolled.html
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1 | AN ACT concerning hospitality.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 1. This Act may be referred to as the COVID-19 | ||||||
5 | Pandemic Hospitality Recovery Act.
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6 | Section 5. The Liquor Control Act of 1934 is amended by | ||||||
7 | changing Sections 6-5 and 6-28.8 and by adding Section 6-37 as | ||||||
8 | follows:
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9 | (235 ILCS 5/6-5) (from Ch. 43, par. 122)
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10 | Sec. 6-5.
Except as otherwise provided in this Section, it | ||||||
11 | is unlawful
for any person having a retailer's license or
any | ||||||
12 | officer, associate, member, representative or agent of such | ||||||
13 | licensee
to accept, receive or borrow money, or anything else | ||||||
14 | of value, or accept
or receive credit (other than | ||||||
15 | merchandising credit in the ordinary
course of business for a | ||||||
16 | period not to exceed 30 days) directly or
indirectly from any | ||||||
17 | manufacturer, importing distributor or distributor
of | ||||||
18 | alcoholic liquor, or from any person connected with or in any | ||||||
19 | way
representing, or from any member of the family of, such | ||||||
20 | manufacturer,
importing distributor, distributor or | ||||||
21 | wholesaler, or from any
stockholders in any corporation | ||||||
22 | engaged in manufacturing, distributing
or wholesaling of such |
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1 | liquor, or from any officer, manager, agent or
representative | ||||||
2 | of said manufacturer. Except as provided below, it is
unlawful | ||||||
3 | for any manufacturer
or distributor or importing distributor | ||||||
4 | to give or lend money or
anything of value, or otherwise loan | ||||||
5 | or extend credit (except such
merchandising credit) directly | ||||||
6 | or indirectly to any retail licensee or
to the manager, | ||||||
7 | representative, agent, officer or director of such
licensee. A | ||||||
8 | manufacturer, distributor or importing distributor may furnish
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9 | free advertising, posters,
signs, brochures, hand-outs, or | ||||||
10 | other promotional devices or materials to
any unit of | ||||||
11 | government owning or operating any auditorium, exhibition | ||||||
12 | hall,
recreation facility or other similar facility holding a | ||||||
13 | retailer's license,
provided that the primary purpose of such | ||||||
14 | promotional devices or materials
is to promote public events | ||||||
15 | being held at such facility. A unit of government
owning or | ||||||
16 | operating such a facility holding a retailer's license may | ||||||
17 | accept
such promotional devices or materials designed | ||||||
18 | primarily to promote public
events held at the facility. No | ||||||
19 | retail licensee delinquent beyond the
30 day period specified | ||||||
20 | in this Section shall
solicit, accept or receive credit, | ||||||
21 | purchase or acquire alcoholic
liquors, directly or indirectly | ||||||
22 | from any other licensee, and no
manufacturer, distributor or | ||||||
23 | importing distributor shall knowingly grant
or extend credit, | ||||||
24 | sell, furnish or supply alcoholic liquors to any such
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25 | delinquent retail licensee; provided that the purchase price | ||||||
26 | of all beer
sold to a retail licensee shall be paid by the |
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1 | retail licensee in cash
on or before delivery of the beer, and | ||||||
2 | unless the purchase price payable
by a retail licensee for | ||||||
3 | beer sold to him in returnable bottles shall
expressly include | ||||||
4 | a charge for the bottles and cases, the retail
licensee shall, | ||||||
5 | on or before delivery of such beer, pay the seller in
cash a | ||||||
6 | deposit in an amount not less than the deposit required to be
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7 | paid by the distributor to the brewer; but where the brewer | ||||||
8 | sells direct
to the retailer, the deposit shall be an amount no | ||||||
9 | less than that
required by the brewer from his own | ||||||
10 | distributors; and provided further,
that in no instance shall | ||||||
11 | this deposit be less than 50 cents for each
case of beer in | ||||||
12 | pint or smaller bottles and 60 cents for each case of
beer in | ||||||
13 | quart or half-gallon bottles; and provided further, that the
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14 | purchase price of all beer sold to an importing distributor or
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15 | distributor shall be paid by such importing distributor or | ||||||
16 | distributor
in cash on or before the 15th day (Sundays and | ||||||
17 | holidays excepted) after
delivery of such beer to such | ||||||
18 | purchaser; and unless the purchase price
payable by such | ||||||
19 | importing distributor or distributor for beer sold in
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20 | returnable bottles and cases shall expressly include a charge | ||||||
21 | for the
bottles and cases, such importing distributor or | ||||||
22 | distributor shall, on
or before the 15th day (Sundays and | ||||||
23 | holidays excepted) after delivery of
such beer to such | ||||||
24 | purchaser, pay the seller in cash a required amount as
a | ||||||
25 | deposit to assure the return of such bottles and cases. | ||||||
26 | Nothing herein
contained shall prohibit any licensee from |
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1 | crediting or refunding to a
purchaser the actual amount of | ||||||
2 | money paid for bottles, cases, kegs or
barrels returned by the | ||||||
3 | purchaser to the seller or paid by the purchaser
as a deposit | ||||||
4 | on bottles, cases, kegs or barrels, when such containers or
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5 | packages are returned to the seller. Nothing herein contained | ||||||
6 | shall
prohibit any manufacturer, importing distributor or | ||||||
7 | distributor from
extending usual and customary credit for | ||||||
8 | alcoholic liquor sold to
customers or purchasers who live in | ||||||
9 | or maintain places of business
outside of this State when such | ||||||
10 | alcoholic liquor is actually transported
and delivered to such | ||||||
11 | points outside of this State.
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12 | A manufacturer, distributor, or importing distributor may | ||||||
13 | furnish free social media advertising to a retail licensee if | ||||||
14 | the social media advertisement does not contain the retail | ||||||
15 | price of any alcoholic liquor and the social media | ||||||
16 | advertisement complies with any applicable rules or | ||||||
17 | regulations issued by the Alcohol and Tobacco Tax and Trade | ||||||
18 | Bureau of the United States Department of the Treasury. A | ||||||
19 | manufacturer, distributor, or importing distributor may list | ||||||
20 | the names of one or more unaffiliated retailers in the | ||||||
21 | advertisement of alcoholic liquor through social media. | ||||||
22 | Nothing in this Section shall prohibit a retailer from | ||||||
23 | communicating with a manufacturer, distributor, or importing | ||||||
24 | distributor on social media or sharing media on the social | ||||||
25 | media of a manufacturer, distributor, or importing | ||||||
26 | distributor. A retailer may request free social media |
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1 | advertising from a manufacturer, distributor, or importing | ||||||
2 | distributor. Nothing in this Section shall prohibit a | ||||||
3 | manufacturer, distributor, or importing distributor from | ||||||
4 | sharing, reposting, or otherwise forwarding a social media | ||||||
5 | post by a retail licensee, so long as the sharing, reposting, | ||||||
6 | or forwarding of the social media post does not contain the | ||||||
7 | retail price of any alcoholic liquor. No manufacturer, | ||||||
8 | distributor, or importing distributor shall pay or reimburse a | ||||||
9 | retailer, directly or indirectly, for any social media | ||||||
10 | advertising services, except as specifically permitted in this | ||||||
11 | Act. No retailer shall accept any payment or reimbursement, | ||||||
12 | directly or indirectly, for any social media advertising | ||||||
13 | services offered by a manufacturer, distributor, or importing | ||||||
14 | distributor, except as specifically permitted in this Act. For | ||||||
15 | the purposes of this Section, "social media" means a service, | ||||||
16 | platform, or site where users communicate with one another and | ||||||
17 | share media, such as pictures, videos, music, and blogs, with | ||||||
18 | other users free of charge. | ||||||
19 | No right of action shall exist for the collection of any | ||||||
20 | claim based
upon credit extended to a distributor, importing | ||||||
21 | distributor or retail
licensee contrary to the provisions of | ||||||
22 | this Section.
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23 | Every manufacturer, importing distributor and distributor | ||||||
24 | shall
submit or cause to be submitted, to the State | ||||||
25 | Commission, in triplicate,
not later than Thursday of each | ||||||
26 | calendar week, a verified written list
of the names and |
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1 | respective addresses of each retail licensee purchasing
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2 | spirits or wine from such manufacturer, importing distributor | ||||||
3 | or
distributor who, on the first business day of that calendar | ||||||
4 | week, was
delinquent beyond the above mentioned permissible | ||||||
5 | merchandising credit
period of 30 days; or, if such is the | ||||||
6 | fact, a verified written statement
that no retail licensee | ||||||
7 | purchasing spirits or wine was then delinquent
beyond such | ||||||
8 | permissible merchandising credit period of 30 days.
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9 | Every manufacturer, importing distributor and distributor | ||||||
10 | shall
submit or cause to be submitted, to the State | ||||||
11 | Commission, in triplicate,
a verified written list of the | ||||||
12 | names and respective addresses of each
previously reported | ||||||
13 | delinquent retail licensee who has cured such
delinquency by | ||||||
14 | payment, which list shall be submitted not later than the
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15 | close of the second full business day following the day such | ||||||
16 | delinquency
was so cured.
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17 | Such written verified reports required to be submitted by | ||||||
18 | this
Section shall be posted by the State Commission in each of | ||||||
19 | its offices
in places available for public inspection not | ||||||
20 | later than the day
following receipt thereof by the | ||||||
21 | Commission. The reports so posted shall
constitute notice to | ||||||
22 | every manufacturer, importing distributor and
distributor of | ||||||
23 | the information contained therein. Actual notice to
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24 | manufacturers, importing distributors and distributors of the
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25 | information contained in any such posted reports, however | ||||||
26 | received,
shall also constitute notice of such information.
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1 | The 30 day merchandising credit period allowed by this | ||||||
2 | Section shall
commence with the day immediately following the | ||||||
3 | date of invoice and
shall include all successive days | ||||||
4 | including Sundays and holidays to and
including the 30th | ||||||
5 | successive day.
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6 | In addition to other methods allowed by law, payment by | ||||||
7 | check or credit card during
the period for which merchandising | ||||||
8 | credit may be extended under the
provisions of this Section | ||||||
9 | shall be considered payment. All checks
received in payment | ||||||
10 | for alcoholic liquor shall be promptly deposited for
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11 | collection. A post dated check or a check dishonored on | ||||||
12 | presentation for
payment shall not be deemed payment.
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13 | A credit card payment in dispute by a retailer shall not be | ||||||
14 | deemed payment, and the debt uncured for merchandising credit | ||||||
15 | shall be reported as delinquent. Nothing in this Section shall | ||||||
16 | prevent a distributor, self-distributing manufacturer, or | ||||||
17 | importing distributor from assessing a usual and customary | ||||||
18 | transaction fee representative of the actual finance charges | ||||||
19 | incurred for processing a credit card payment. This | ||||||
20 | transaction fee shall be disclosed on the invoice. It shall be | ||||||
21 | considered unlawful for a distributor, importing distributor, | ||||||
22 | or self-distributing manufacturer to waive finance charges for | ||||||
23 | retailers. | ||||||
24 | A retail licensee shall not be deemed to be delinquent in | ||||||
25 | payment for
any alleged sale to him of alcoholic liquor when | ||||||
26 | there exists a bona fide
dispute between such retailer and a |
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1 | manufacturer, importing distributor
or distributor with | ||||||
2 | respect to the amount of indebtedness existing
because of such | ||||||
3 | alleged sale. A retail licensee shall not be deemed to be | ||||||
4 | delinquent under this provision and 11 Ill. Adm. Code 100.90 | ||||||
5 | until 30 days after the date on which the region in which the | ||||||
6 | retail licensee is located enters Phase 4 of the Governor's | ||||||
7 | Restore Illinois Plan as issued on May 5, 2020. | ||||||
8 | A delinquent retail licensee who engages in the retail | ||||||
9 | liquor
business at 2 or more locations shall be deemed to be | ||||||
10 | delinquent with
respect to each such location.
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11 | The license of any person who violates any provision of | ||||||
12 | this Section
shall be subject to suspension or revocation in | ||||||
13 | the manner provided by
this Act.
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14 | If any part or provision of this Article or the | ||||||
15 | application thereof
to any person or circumstances shall be | ||||||
16 | adjudged invalid by a court of
competent jurisdiction, such | ||||||
17 | judgment shall be confined by its operation
to the controversy | ||||||
18 | in which it was mentioned and shall not affect or
invalidate | ||||||
19 | the remainder of this Article or the application thereof to
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20 | any other person or circumstance and to this and the | ||||||
21 | provisions of this
Article are declared severable.
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22 | (Source: P.A. 101-631, eff. 6-2-20.)
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23 | (235 ILCS 5/6-28.8) | ||||||
24 | (Section scheduled to be repealed on June 2, 2021) | ||||||
25 | Sec. 6-28.8. Delivery and carry out of mixed drinks |
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1 | permitted. | ||||||
2 | (a) In this Section: | ||||||
3 | "Cocktail" or "mixed drink" means any beverage obtained by | ||||||
4 | combining ingredients alcoholic in nature, whether brewed, | ||||||
5 | fermented, or distilled, with ingredients non-alcoholic in | ||||||
6 | nature, such as fruit juice, lemonade, cream, or a carbonated | ||||||
7 | beverage. | ||||||
8 | "Original container" means, for the purposes of this | ||||||
9 | Section only, a container that is (i) filled, sealed, and | ||||||
10 | secured by a retail licensee's employee at the retail | ||||||
11 | licensee's location with a tamper-evident lid or cap or (ii)
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12 | filled and labeled by the manufacturer and secured by the
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13 | manufacturer's original unbroken seal . | ||||||
14 | "Sealed container" means a rigid container that contains a | ||||||
15 | mixed drink or a single serving of wine , is new, has never been | ||||||
16 | used, has a secured lid or cap designed to prevent consumption | ||||||
17 | without removal of the lid or cap, and is tamper-evident. | ||||||
18 | "Sealed container" includes a manufacturer's
original | ||||||
19 | container as defined in this subsection. "Sealed container" | ||||||
20 | does not include a container with a lid with sipping holes or | ||||||
21 | openings for straws or a container made of plastic, paper, or | ||||||
22 | polystyrene foam. | ||||||
23 | "Tamper-evident" means a lid or cap that has been sealed | ||||||
24 | with tamper-evident covers, including, but not limited to, wax | ||||||
25 | dip or heat shrink wrap. | ||||||
26 | (b) A cocktail , or mixed drink , or single serving of wine |
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1 | placed in a sealed container by a retail licensee at the retail | ||||||
2 | licensee's location or a manufacturer's original container may | ||||||
3 | be transferred and sold for off-premises consumption if the | ||||||
4 | following requirements are met: | ||||||
5 | (1) the cocktail , mixed drink, or single serving of
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6 | wine is transferred within the licensed premises, by a | ||||||
7 | curbside pickup, or by delivery by an employee of the | ||||||
8 | retail licensee who: | ||||||
9 | (A) has been trained in accordance with Section | ||||||
10 | 6-27.1 at the time of the sale; | ||||||
11 | (B) is at least 21 years of age; and | ||||||
12 | (C) upon delivery, verifies the age of the person | ||||||
13 | to whom the cocktail , mixed drink, or single serving | ||||||
14 | of wine is being delivered; | ||||||
15 | (2) if the employee delivering the cocktail , mixed | ||||||
16 | drink, or single serving of wine is not able to safely | ||||||
17 | verify
a person's age or level of intoxication upon | ||||||
18 | delivery, the employee shall cancel the sale of alcohol | ||||||
19 | and return the product to the retail license holder; | ||||||
20 | (3) the sealed container is placed in the trunk of the | ||||||
21 | vehicle or if there is no trunk, in the vehicle's rear | ||||||
22 | compartment that is not readily accessible to the | ||||||
23 | passenger area; | ||||||
24 | (4) except for a manufacturer's original container, a | ||||||
25 | the sealed container filled and sealed at a
retail | ||||||
26 | licensee's location shall be affixed with a label or tag |
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1 | that contains the following information: | ||||||
2 | (A) the cocktail or mixed drink ingredients, type, | ||||||
3 | and name of the alcohol; | ||||||
4 | (B) the name, license number, and address of the | ||||||
5 | retail licensee that filled the original container and | ||||||
6 | sold the product; | ||||||
7 | (C) the volume of the cocktail , or mixed drink , or | ||||||
8 | single serving of wine in the sealed container; and | ||||||
9 | (D) the sealed container was filled less than 7 | ||||||
10 | days before the date of sale ; and . | ||||||
11 | (5) a manufacturer's original container shall be
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12 | affixed with a label or tag that contains the name,
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13 | license number, and address of the retail licensee that
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14 | sold the product. | ||||||
15 | (c) Third-party delivery services are not permitted to | ||||||
16 | deliver cocktails and mixed drinks under this Section. | ||||||
17 | (d) If there is an executive order of the Governor in | ||||||
18 | effect during a disaster, the employee delivering the mixed | ||||||
19 | drink , or cocktail , or single serving of wine must comply with | ||||||
20 | any requirements of that executive order, including, but not | ||||||
21 | limited to, wearing gloves and a mask and maintaining | ||||||
22 | distancing requirements when interacting with the public. | ||||||
23 | (e) Delivery or carry out of a cocktail , or mixed drink , or | ||||||
24 | single serving of wine is prohibited if: | ||||||
25 | (1) a third party delivers the cocktail or mixed | ||||||
26 | drink; |
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1 | (2) a container of a mixed drink , or cocktail , or | ||||||
2 | single serving of wine is not tamper-evident and sealed; | ||||||
3 | (3) a container of a mixed drink , or cocktail , or | ||||||
4 | single serving of wine is transported in the passenger | ||||||
5 | area of a vehicle; | ||||||
6 | (4) a mixed drink , or cocktail , or single serving of | ||||||
7 | wine is delivered by a person or to a person who is under | ||||||
8 | the age of 21; or | ||||||
9 | (5) the person delivering a mixed drink , or cocktail , | ||||||
10 | or single serving of wine fails to verify the age of the | ||||||
11 | person to whom the mixed drink or cocktail is being | ||||||
12 | delivered. | ||||||
13 | (f) Violations of this Section shall be subject to any | ||||||
14 | applicable penalties, including, but not limited to, the | ||||||
15 | penalties specified under Section 11-502 of the Illinois | ||||||
16 | Vehicle Code. | ||||||
17 | (f-5) This Section is not intended to prohibit or preempt | ||||||
18 | the ability of a brew pub, tap room, or distilling pub to | ||||||
19 | continue to temporarily deliver alcoholic liquor pursuant to | ||||||
20 | guidance issued by the State Commission on March 19, 2020 | ||||||
21 | entitled "Illinois Liquor Control Commission, COVID-19 Related | ||||||
22 | Actions, Guidance on Temporary Delivery of Alcoholic Liquor". | ||||||
23 | This Section shall only grant authorization to holders of | ||||||
24 | State of Illinois retail liquor licenses but not to licensees | ||||||
25 | that simultaneously hold any licensure or privilege to | ||||||
26 | manufacture alcoholic liquors within or outside of the State |
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1 | of Illinois. | ||||||
2 | (g) This Section is not a denial or limitation of home rule | ||||||
3 | powers and functions under Section 6 of Article VII of the | ||||||
4 | Illinois Constitution. | ||||||
5 | (h) This Section is repealed on January 3, 2024 one year | ||||||
6 | after the effective date of this amendatory Act of the 101st | ||||||
7 | General Assembly .
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8 | (Source: P.A. 101-631, eff. 6-2-20.)
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9 | (235 ILCS 5/6-37 new) | ||||||
10 | Sec. 6-37. Hospitality vaccination incentive; temporary. | ||||||
11 | (a) Notwithstanding any other provision of law, from June | ||||||
12 | 10, 2021 through July 10, 2021, a retail licensee may offer a | ||||||
13 | single drink of alcoholic liquor at no cost to a customer as | ||||||
14 | part of a publicly advertised promotion to encourage | ||||||
15 | participation in any COVID-19 vaccination program if the | ||||||
16 | customer provides proof of COVID-19 vaccination received at | ||||||
17 | any time. Drinks may be provided under this Section only from 6 | ||||||
18 | p.m. through 10 p.m. | ||||||
19 | This Section is subject to any rule or bulletin posted by | ||||||
20 | the State Commission. | ||||||
21 | (b) A retail licensee's participation in providing a | ||||||
22 | single drink of alcoholic liquor is voluntary and a retail | ||||||
23 | licensee may refuse to provide a single drink at no charge. The | ||||||
24 | retail licensee may determine or restrict which single drink | ||||||
25 | of alcoholic liquor it will provide at no cost but under no |
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1 | circumstances may a single drink of alcoholic liquor exceed | ||||||
2 | 1.5 ounces of distilled spirits, 5 ounces of wine, or 12 ounces | ||||||
3 | of beer. | ||||||
4 | (c) A local liquor control commissioner or local liquor | ||||||
5 | control commission may prohibit retail licensees within its | ||||||
6 | jurisdiction from providing a single drink of alcoholic liquor | ||||||
7 | at no charge by promulgating a rule or policy preempting this | ||||||
8 | Section. | ||||||
9 | (d) After receiving a single drink of alcoholic liquor at | ||||||
10 | no charge, no customer shall receive a subsequent drink from | ||||||
11 | the retail licensee providing the drink at no charge or from | ||||||
12 | another retail licensee on the same day or any subsequent day. | ||||||
13 | In addition to abiding by all other alcoholic liquor sales | ||||||
14 | laws, before providing a single drink at no charge, the retail | ||||||
15 | licensee shall develop procedures to verify the identity of | ||||||
16 | the vaccinated customer by comparing the vaccination card to a | ||||||
17 | form of valid federal or State identification. The retail | ||||||
18 | licensee shall develop procedures to ensure that a customer | ||||||
19 | does not obtain more than a single drink at no charge and the | ||||||
20 | retail licensee shall be subject to penalties imposed by the | ||||||
21 | State Commission if the retail licensee provides more than a | ||||||
22 | single drink to a particular customer at no charge. | ||||||
23 | (e) The State Commission may publish further guidelines on | ||||||
24 | the implementation of this Section not inconsistent with this | ||||||
25 | Section and shall post them on the State Commission's website. | ||||||
26 | (f) This Section is repealed on July 11, 2021.
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1 | Section 99. Effective date. This Act takes effect upon | ||||||
2 | becoming law.
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