Bill Text: MN SF550 | 2011-2012 | 87th Legislature | Introduced


Bill Title: Malt liquor shipments authorization

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2011-03-03 - Referred to Commerce and Consumer Protection [SF550 Detail]

Download: Minnesota-2011-SF550-Introduced.html

1.1A bill for an act
1.2relating to liquor; authorizing shipments of malt liquor into Minnesota with
1.3certain conditions;amending Minnesota Statutes 2010, sections 297G.07,
1.4subdivision 1; 340A.417.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6    Section 1. Minnesota Statutes 2010, section 297G.07, subdivision 1, is amended to
1.7read:
1.8    Subdivision 1. Exemptions. The following are not subject to the excise tax:
1.9(1) Sales by a manufacturer, brewer, or wholesaler for shipment outside the state
1.10in interstate commerce.
1.11(2) Alcoholic beverages sold or transferred between Minnesota wholesalers.
1.12(3) Sales to common carriers engaged in interstate transportation of passengers,
1.13except as provided in this chapter.
1.14(4) Malt beverages served by a brewery for on-premise consumption at no charge, or
1.15distributed to brewery employees for on-premise consumption under a labor contract.
1.16(5) Shipments of wine or malt liquor to Minnesota residents under section 340A.417.
1.17(6) Fruit juices naturally fermented or beer naturally brewed in the home for family
1.18use.
1.19(7) Sales of wine for sacramental purposes under section 340A.316.
1.20(8) Alcoholic beverages sold to authorized manufacturers of food products or
1.21pharmaceutical firms. The alcoholic beverage must be used exclusively in the manufacture
1.22of food products or medicines. For purposes of this clause, "manufacturer" means a
1.23person who manufactures food products intended for sale to wholesalers or retailers for
1.24ultimate sale to the consumer.
2.1(9) Liqueur-filled candy.
2.2(10) Sales to a federal agency, that the state of Minnesota is prohibited from taxing
2.3under the Constitution or laws of the United States or under the Constitution of Minnesota.
2.4(11) Sales to Indian tribes as defined in section 297G.08.
2.5(12) Shipments of intoxicating liquor from foreign countries to diplomatic personnel
2.6of foreign countries assigned to service in this state.

2.7    Sec. 2. Minnesota Statutes 2010, section 340A.417, is amended to read:
2.8340A.417 SHIPMENTS INTO MINNESOTA.
2.9(a) Notwithstanding section 297G.07, subdivision 2, or any provision of this chapter,
2.10a winery or brewery licensed in a state other than Minnesota, or a winery located in
2.11Minnesota, may ship, for personal use and not for resale, not more than two cases of wine,
2.12containing a maximum of nine liters per case, or not more than two cases of malt liquor,
2.13containing a maximum of 288 ounces per case, in any calendar year to any resident of
2.14Minnesota age 21 or over. Delivery of a shipment under this section may not be deemed
2.15a sale in this state.
2.16(b) The shipping container of any wine or malt liquor sent under this section must be
2.17clearly marked "Alcoholic Beverages: adult signature (over 21 years of age) required."
2.18(c) It is not the intent of this section to impair the distribution of wine or malt liquor
2.19through distributors or importing distributors, but only to permit shipments of wine or
2.20malt liquor for personal use.
2.21(d) No criminal penalty may be imposed on a person for a violation of this section
2.22other than a violation described in paragraph (e) or (f). Whenever it appears to the
2.23commissioner that any person has engaged in any act or practice constituting a violation
2.24of this section, and the violation is not within two years of any previous violation of
2.25this section, the commissioner shall issue and cause to be served upon the person an
2.26order requiring the person to cease and desist from violating this section. The order must
2.27give reasonable notice of the rights of the person to request a hearing and must state the
2.28reason for the entry of the order. Unless otherwise agreed between the parties, a hearing
2.29shall be held not later than seven days after the request for the hearing is received by the
2.30commissioner after which and within 20 days after the receipt of the administrative law
2.31judge's report and subsequent exceptions and argument, the commissioner shall issue an
2.32order vacating the cease and desist order, modifying it, or making it permanent as the facts
2.33require. If no hearing is requested within 30 days of the service of the order, the order
2.34becomes final and remains in effect until modified or vacated by the commissioner. All
2.35hearings shall be conducted in accordance with the provisions of chapter 14. If the person
3.1to whom a cease and desist order is issued fails to appear at the hearing after being duly
3.2notified, the person shall be deemed in default, and the proceeding may be determined
3.3against the person upon consideration of the cease and desist order, the allegations of
3.4which may be deemed to be true.
3.5(e) Any person who violates this section within two years of a violation for which a
3.6cease and desist order was issued under paragraph (d), is guilty of a misdemeanor.
3.7(f) Any person who commits a third or subsequent violation of this section within
3.8any subsequent two-year period is guilty of a gross misdemeanor.
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