Full Text of HB3625 101st General Assembly
HB3625ham001 101ST GENERAL ASSEMBLY | Rep. Michael J. Zalewski Filed: 3/26/2019
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| 1 | | AMENDMENT TO HOUSE BILL 3625
| 2 | | AMENDMENT NO. ______. Amend House Bill 3625 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Liquor Control Act of 1934 is amended by | 5 | | changing Sections 3-4, 3-12, 10-1, and 10-7.1 as follows:
| 6 | | (235 ILCS 5/3-4) (from Ch. 43, par. 100)
| 7 | | Sec. 3-4. Authority to conduct investigations. The | 8 | | commission shall obtain, pursuant to the provisions of the
| 9 | | "Personnel Code" enacted by the 69th General Assembly, such | 10 | | inspectors,
clerks and other employees as may be necessary to | 11 | | carry out the provisions
of this Act, or to perform the duties | 12 | | and exercise the powers conferred by
law upon the commission.
| 13 | | The Commission shall have the power to appoint | 14 | | investigators to conduct investigations, searches, seizures, | 15 | | arrests, and other duties required to enforce the provisions of | 16 | | this Act, on behalf of the Commission, and to ensure the |
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| 1 | | health, safety, and welfare of the People of the State of | 2 | | Illinois. The Commission's investigators are peace officers | 3 | | and have all the powers possessed by police officers in cities | 4 | | and by sheriffs. Commission investigators may exercise these | 5 | | powers throughout the State whenever enforcing the provisions | 6 | | of this Chapter, subject to the regulations and orders of the | 7 | | Commission. No Commission investigator may have peace officer | 8 | | status or may exercise police powers unless: (1) he or she | 9 | | successfully completes the basic police training course | 10 | | mandated and approved by the Illinois Law Enforcement Training | 11 | | Standards Board; or (2) the Illinois Law Enforcement Training | 12 | | Standards Board waives the training requirement by reason of | 13 | | the investigator's prior law enforcement experience, training, | 14 | | or both. | 15 | | The Executive Director must authorize to each investigator | 16 | | of the Commission and to any other employee of the Department | 17 | | exercising the powers of a peace officer a distinct badge that, | 18 | | on its face: (1) clearly states that the badge is authorized by | 19 | | the Commission; and (2) contains a unique identifying number. | 20 | | No other badge shall be authorized by the Commission. Nothing | 21 | | in this Section prohibits the Executive Director from issuing | 22 | | shields or other distinctive identification to employees | 23 | | performing security or regulatory duties who are not peace | 24 | | officers if the Executive Director determines that a shield or | 25 | | distinctive identification is needed by the employee to carry | 26 | | out his or her responsibilities. |
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| 1 | | (Source: P.A. 82-783.)
| 2 | | (235 ILCS 5/3-12)
| 3 | | Sec. 3-12. Powers and duties of State Commission.
| 4 | | (a) The State Commission shall have the following powers, | 5 | | functions, and
duties:
| 6 | | (1) To receive applications and to issue licenses to | 7 | | manufacturers,
foreign importers, importing distributors, | 8 | | distributors, non-resident dealers,
on premise consumption | 9 | | retailers, off premise sale retailers, special event
| 10 | | retailer licensees, special use permit licenses, auction | 11 | | liquor licenses, brew
pubs, caterer retailers, | 12 | | non-beverage users, railroads, including owners and
| 13 | | lessees of sleeping, dining and cafe cars, airplanes, | 14 | | boats, brokers, and wine
maker's premises licensees in | 15 | | accordance with the provisions of this Act, and
to suspend | 16 | | or revoke such licenses upon the State Commission's | 17 | | determination,
upon notice after hearing, that a licensee | 18 | | has violated any provision of this
Act or any rule or | 19 | | regulation issued pursuant thereto and in effect for 30 | 20 | | days
prior to such violation. Except in the case of an | 21 | | action taken pursuant to a
violation of Section 6-3, 6-5, | 22 | | or 6-9, any action by the State Commission to
suspend or | 23 | | revoke a licensee's license may be limited to the license | 24 | | for the
specific premises where the violation occurred.
An | 25 | | action for a violation of this Act shall be commenced by |
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| 1 | | the State Commission within 2 years after the date the | 2 | | State Commission becomes aware of the violation.
| 3 | | In lieu of suspending or revoking a license, the | 4 | | commission may impose
a fine, upon the State Commission's | 5 | | determination and notice after hearing,
that a licensee has | 6 | | violated any provision of this Act or any rule or
| 7 | | regulation issued pursuant thereto and in effect for 30 | 8 | | days prior to such
violation. | 9 | | For the purpose of this paragraph (1), when determining | 10 | | multiple violations for the sale of alcohol to a person | 11 | | under the age of 21, a second or subsequent violation for | 12 | | the sale of alcohol to a person under the age of 21 shall | 13 | | only be considered if it was committed within 5 years after | 14 | | the date when a prior violation for the sale of alcohol to | 15 | | a person under the age of 21 was committed. | 16 | | The fine imposed under this paragraph may not exceed | 17 | | $500 for each
violation. Each day that the activity, which | 18 | | gave rise to the original fine,
continues is a separate | 19 | | violation. The maximum fine that may be levied against
any | 20 | | licensee, for the period of the license, shall not exceed | 21 | | $20,000.
The maximum penalty that may be imposed on a | 22 | | licensee for selling a bottle of
alcoholic liquor with a | 23 | | foreign object in it or serving from a bottle of
alcoholic | 24 | | liquor with a foreign object in it shall be the destruction | 25 | | of that
bottle of alcoholic liquor for the first 10 bottles | 26 | | so sold or served from by
the licensee. For the eleventh |
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| 1 | | bottle of alcoholic liquor and for each third
bottle | 2 | | thereafter sold or served from by the licensee with a | 3 | | foreign object in
it, the maximum penalty that may be | 4 | | imposed on the licensee is the destruction
of the bottle of | 5 | | alcoholic liquor and a fine of up to $50.
| 6 | | Any notice issued by the State Commission to a licensee | 7 | | for a violation of this Act or any notice with respect to | 8 | | settlement or offer in compromise shall include the field | 9 | | report, photographs, and any other supporting | 10 | | documentation necessary to reasonably inform the licensee | 11 | | of the nature and extent of the violation or the conduct | 12 | | alleged to have occurred. The failure to include such | 13 | | required documentation shall result in the dismissal of the | 14 | | action. | 15 | | (2) To adopt such rules and regulations consistent with | 16 | | the
provisions of this Act which shall be necessary to | 17 | | carry on its
functions and duties to the end that the | 18 | | health, safety and welfare of
the People of the State of | 19 | | Illinois shall be protected and temperance in
the | 20 | | consumption of alcoholic liquors shall be fostered and | 21 | | promoted and
to distribute copies of such rules and | 22 | | regulations to all licensees
affected thereby.
| 23 | | (3) To call upon other administrative departments of | 24 | | the State,
county and municipal governments, county and | 25 | | city police departments and
upon prosecuting officers for | 26 | | such information and assistance as it
deems necessary in |
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| 1 | | the performance of its duties.
| 2 | | (4) To recommend to local commissioners rules and | 3 | | regulations, not
inconsistent with the law, for the | 4 | | distribution and sale of alcoholic
liquors throughout the | 5 | | State.
| 6 | | (5) To inspect, or cause to be inspected, any
premises | 7 | | in this State
where alcoholic liquors are manufactured, | 8 | | distributed, warehoused, or
sold. Nothing in this Act
| 9 | | authorizes an agent of the Commission to inspect private
| 10 | | areas within the premises without reasonable suspicion or a | 11 | | warrant
during an inspection. "Private areas" include, but | 12 | | are not limited to, safes, personal property, and closed | 13 | | desks.
| 14 | | (5.1) Upon receipt of a complaint or upon having | 15 | | knowledge that any person
is engaged in business as a | 16 | | manufacturer, importing distributor, distributor,
or | 17 | | retailer without a license or valid license, to conduct an | 18 | | investigation. If, after conducting an investigation, the | 19 | | Commission is satisfied that the alleged conduct occurred | 20 | | or is occurring, it may issue a cease and desist notice as | 21 | | provided in this Act, impose civil penalties as provided in | 22 | | this Act, to notify the local liquor
authority, or file a | 23 | | complaint with the State's Attorney's Office of the county
| 24 | | where the incident occurred or the Attorney General , or | 25 | | initiate an investigation with the appropriate
law | 26 | | enforcement officials .
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| 1 | | (5.2) Upon receipt of a complaint or upon having | 2 | | knowledge that any person is To issue a cease and desist | 3 | | notice to persons shipping alcoholic
liquor
into this State | 4 | | from a point outside of this State if the shipment is in
| 5 | | violation of this Act to conduct an investigation. If, | 6 | | after conducting an investigation, the Commission is | 7 | | satisfied that the alleged conduct occurred or is | 8 | | occurring, it may issue a cease and desist notice as | 9 | | provided in this Act, impose civil penalties as provided in | 10 | | this Act, notify the local liquor authority, or file a | 11 | | complaint with the State's Attorney's Office of the county | 12 | | where the incident occurred or the Attorney General .
| 13 | | (5.3) To receive complaints from licensees, local | 14 | | officials, law
enforcement agencies, organizations, and | 15 | | persons stating that any licensee has
been or is violating | 16 | | any provision of this Act or the rules and regulations
| 17 | | issued pursuant to this Act. Such complaints shall be in | 18 | | writing, signed and
sworn to by the person making the | 19 | | complaint, and shall state with specificity
the facts in | 20 | | relation to the alleged violation. If the Commission has
| 21 | | reasonable grounds to believe that the complaint | 22 | | substantially alleges a
violation of this Act or rules and | 23 | | regulations adopted pursuant to this Act, it
shall conduct | 24 | | an investigation. If, after conducting an investigation, | 25 | | the
Commission is satisfied that the alleged violation did | 26 | | occur, it shall proceed
with disciplinary action against |
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| 1 | | the licensee as provided in this Act.
| 2 | | (5.4) To make arrests and issue notices of civil | 3 | | violations where necessary for the enforcement of this | 4 | | Chapter. | 5 | | (5.5) To investigate any and all unlicensed activity. | 6 | | (5.6) To impose civil penalties or fines to any person | 7 | | who, without holding a valid license, engages in conduct | 8 | | which requires a license pursuant to this Act, in an amount | 9 | | not to exceed $20,000 for each offense as determined by the | 10 | | Commission. A civil penalty shall be assessed by the | 11 | | Commission after a hearing is held in accordance with the | 12 | | provisions set forth in this Act regarding the provision of | 13 | | a hearing for the revocation or suspension of a license. | 14 | | (6) To hear and determine appeals from orders of a | 15 | | local commission
in accordance with the provisions of this | 16 | | Act, as hereinafter set forth.
Hearings under this | 17 | | subsection shall be held in Springfield or Chicago,
at | 18 | | whichever location is the more convenient for the majority | 19 | | of persons
who are parties to the hearing.
| 20 | | (7) The commission shall establish uniform systems of | 21 | | accounts to be
kept by all retail licensees having more | 22 | | than 4 employees, and for this
purpose the commission may | 23 | | classify all retail licensees having more
than 4 employees | 24 | | and establish a uniform system of accounts for each
class | 25 | | and prescribe the manner in which such accounts shall be | 26 | | kept.
The commission may also prescribe the forms of |
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| 1 | | accounts to be kept by
all retail licensees having more | 2 | | than 4 employees, including but not
limited to accounts of | 3 | | earnings and expenses and any distribution,
payment, or | 4 | | other distribution of earnings or assets, and any other
| 5 | | forms, records and memoranda which in the judgment of the | 6 | | commission may
be necessary or appropriate to carry out any | 7 | | of the provisions of this
Act, including but not limited to | 8 | | such forms, records and memoranda as
will readily and | 9 | | accurately disclose at all times the beneficial
ownership | 10 | | of such retail licensed business. The accounts, forms,
| 11 | | records and memoranda shall be available at all reasonable | 12 | | times for
inspection by authorized representatives of the | 13 | | State Commission or by
any local liquor control | 14 | | commissioner or his or her authorized representative.
The | 15 | | commission, may, from time to time, alter, amend or repeal, | 16 | | in whole
or in part, any uniform system of accounts, or the | 17 | | form and manner of
keeping accounts.
| 18 | | (8) In the conduct of any hearing authorized to be held | 19 | | by the
commission, to appoint, at the commission's | 20 | | discretion, hearing officers
to conduct hearings involving | 21 | | complex issues or issues that will require a
protracted | 22 | | period of time to resolve, to examine, or cause to be | 23 | | examined,
under oath, any licensee, and to examine or cause | 24 | | to be examined the books and
records
of such licensee; to | 25 | | hear testimony and take proof material for its
information | 26 | | in the discharge of its duties hereunder; to administer or
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| 1 | | cause to be administered oaths; for any such purpose to | 2 | | issue
subpoena or subpoenas to require the attendance of | 3 | | witnesses and the
production of books, which shall be | 4 | | effective in any part of this State, and
to adopt rules to | 5 | | implement its powers under this paragraph (8).
| 6 | | Any circuit court may by order duly entered,
require | 7 | | the attendance of witnesses and the production of relevant | 8 | | books
subpoenaed by the State Commission and the court may | 9 | | compel
obedience to its order by proceedings for contempt.
| 10 | | (9) To investigate the administration of laws in | 11 | | relation to
alcoholic liquors in this and other states and | 12 | | any foreign countries,
and to recommend from time to time | 13 | | to the Governor and through him or
her to the legislature | 14 | | of this State, such amendments to this Act, if any, as
it | 15 | | may think desirable and as will serve to further the | 16 | | general broad
purposes contained in Section 1-2 hereof.
| 17 | | (10) To adopt such rules and regulations consistent | 18 | | with the
provisions of this Act which shall be necessary | 19 | | for the control, sale or
disposition of alcoholic liquor | 20 | | damaged as a result of an accident, wreck,
flood, fire or | 21 | | other similar occurrence.
| 22 | | (11) To develop industry educational programs related | 23 | | to responsible
serving and selling, particularly in the | 24 | | areas of overserving consumers and
illegal underage | 25 | | purchasing and consumption of alcoholic beverages.
| 26 | | (11.1) To license persons providing education and |
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| 1 | | training to alcohol
beverage sellers and servers for | 2 | | mandatory and non-mandatory training under the
Beverage | 3 | | Alcohol Sellers and Servers
Education and Training | 4 | | (BASSET) programs and to develop and administer a public
| 5 | | awareness program in Illinois to reduce or eliminate the | 6 | | illegal purchase and
consumption of alcoholic beverage | 7 | | products by persons under the age of 21.
Application for a | 8 | | license shall be made on forms provided by the State
| 9 | | Commission.
| 10 | | (12) To develop and maintain a repository of license | 11 | | and regulatory
information.
| 12 | | (13) (Blank).
| 13 | | (14) On or before April 30, 2008 and every 2 years
| 14 | | thereafter, the Commission shall present a written
report | 15 | | to the Governor and the General Assembly that shall
be | 16 | | based on a study of the impact of Public Act 95-634 on the | 17 | | business of soliciting,
selling, and shipping wine from | 18 | | inside and outside of this
State directly to residents of | 19 | | this State. As part of its
report, the Commission shall | 20 | | provide all of the
following information: | 21 | | (A) The amount of State excise and sales tax
| 22 | | revenues generated. | 23 | | (B) The amount of licensing fees received. | 24 | | (C) The number of cases of wine shipped from inside
| 25 | | and outside of this State directly to residents of this
| 26 | | State. |
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| 1 | | (D) The number of alcohol compliance operations
| 2 | | conducted. | 3 | | (E) The number of winery shipper's licenses
| 4 | | issued. | 5 | | (F) The number of each of the following: reported
| 6 | | violations; cease and desist notices issued by the
| 7 | | Commission; notices of violations issued by
the | 8 | | Commission and to the Department of Revenue;
and | 9 | | notices and complaints of violations to law
| 10 | | enforcement officials, including, without limitation,
| 11 | | the Illinois Attorney General and the U.S. Department
| 12 | | of Treasury's Alcohol and Tobacco Tax and Trade Bureau. | 13 | | (15) As a means to reduce the underage consumption of
| 14 | | alcoholic liquors, the Commission shall conduct
alcohol | 15 | | compliance operations to investigate whether
businesses | 16 | | that are soliciting, selling, and shipping wine
from inside | 17 | | or outside of this State directly to residents
of this | 18 | | State are licensed by this State or are selling or
| 19 | | attempting to sell wine to persons under 21 years of age in
| 20 | | violation of this Act. | 21 | | (16) The Commission shall, in addition to
notifying any | 22 | | appropriate law enforcement agency, submit
notices of | 23 | | complaints or violations of Sections 6-29 and
6-29.1 by | 24 | | persons who do not hold a winery shipper's
license under | 25 | | this Act to the Illinois Attorney General and
to the U.S. | 26 | | Department of Treasury's Alcohol and Tobacco Tax and Trade |
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| 1 | | Bureau. | 2 | | (17)(A) A person licensed to make wine under the laws | 3 | | of another state who has a winery shipper's license under | 4 | | this Act and annually produces less than 25,000 gallons of | 5 | | wine or a person who has a first-class or second-class wine | 6 | | manufacturer's license, a first-class or second-class | 7 | | wine-maker's license, or a limited wine manufacturer's | 8 | | license under this Act and annually produces less than | 9 | | 25,000 gallons of wine may make application to the | 10 | | Commission for a self-distribution exemption to allow the | 11 | | sale of not more than 5,000 gallons of the exemption | 12 | | holder's wine to retail licensees per year. | 13 | | (B) In the application, which shall be sworn under | 14 | | penalty of perjury, such person shall state (1) the date it | 15 | | was established; (2) its volume of production and sales for | 16 | | each year since its establishment; (3) its efforts to | 17 | | establish distributor relationships; (4) that a | 18 | | self-distribution exemption is necessary to facilitate the | 19 | | marketing of its wine; and (5) that it will comply with the | 20 | | liquor and revenue laws of the United States, this State, | 21 | | and any other state where it is licensed. | 22 | | (C) The Commission shall approve the application for a | 23 | | self-distribution exemption if such person: (1) is in | 24 | | compliance with State revenue and liquor laws; (2) is not a | 25 | | member of any affiliated group that produces more than | 26 | | 25,000 gallons of wine per annum or produces any other |
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| 1 | | alcoholic liquor; (3) will not annually produce for sale | 2 | | more than 25,000 gallons of wine; and (4) will not annually | 3 | | sell more than 5,000 gallons of its wine to retail | 4 | | licensees. | 5 | | (D) A self-distribution exemption holder shall | 6 | | annually certify to the Commission its production of wine | 7 | | in the previous 12 months and its anticipated production | 8 | | and sales for the next 12 months. The Commission may fine, | 9 | | suspend, or revoke a self-distribution exemption after a | 10 | | hearing if it finds that the exemption holder has made a | 11 | | material misrepresentation in its application, violated a | 12 | | revenue or liquor law of Illinois, exceeded production of | 13 | | 25,000 gallons of wine in any calendar year, or become part | 14 | | of an affiliated group producing more than 25,000 gallons | 15 | | of wine or any other alcoholic liquor. | 16 | | (E) Except in hearings for violations of this Act or | 17 | | Public Act 95-634 or a bona fide investigation by duly | 18 | | sworn law enforcement officials, the Commission, or its | 19 | | agents, the Commission shall maintain the production and | 20 | | sales information of a self-distribution exemption holder | 21 | | as confidential and shall not release such information to | 22 | | any person. | 23 | | (F) The Commission shall issue regulations governing | 24 | | self-distribution exemptions consistent with this Section | 25 | | and this Act. | 26 | | (G) Nothing in this paragraph subsection (17) shall |
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| 1 | | prohibit a self-distribution exemption holder from | 2 | | entering into or simultaneously having a distribution | 3 | | agreement with a licensed Illinois distributor. | 4 | | (H) It is the intent of this paragraph subsection (17) | 5 | | to promote and continue orderly markets. The General | 6 | | Assembly finds that in order to preserve Illinois' | 7 | | regulatory distribution system it is necessary to create an | 8 | | exception for smaller makers of wine as their wines are | 9 | | frequently adjusted in varietals, mixes, vintages, and | 10 | | taste to find and create market niches sometimes too small | 11 | | for distributor or importing distributor business | 12 | | strategies. Limited self-distribution rights will afford | 13 | | and allow smaller makers of wine access to the marketplace | 14 | | in order to develop a customer base without impairing the | 15 | | integrity of the 3-tier system.
| 16 | | (18)(A) A class 1 brewer licensee, who must also be | 17 | | either a licensed brewer or licensed non-resident dealer | 18 | | and annually manufacture less than 930,000 gallons of beer, | 19 | | may make application to the State Commission for a | 20 | | self-distribution exemption to allow the sale of not more | 21 | | than 232,500 gallons of the exemption holder's beer per | 22 | | year to retail licensees and to brewers, class 1 brewers, | 23 | | and class 2 brewers that, pursuant to subsection (e) of | 24 | | Section 6-4 of this Act, sell beer, cider, or both beer and | 25 | | cider to non-licensees at their breweries. | 26 | | (B) In the application, which shall be sworn under |
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| 1 | | penalty of perjury, the class 1 brewer licensee shall state | 2 | | (1) the date it was established; (2) its volume of beer | 3 | | manufactured and sold for each year since its | 4 | | establishment; (3) its efforts to establish distributor | 5 | | relationships; (4) that a self-distribution exemption is | 6 | | necessary to facilitate the marketing of its beer; and (5) | 7 | | that it will comply with the alcoholic beverage and revenue | 8 | | laws of the United States, this State, and any other state | 9 | | where it is licensed. | 10 | | (C) Any application submitted shall be posted on the | 11 | | State Commission's website at least 45 days prior to action | 12 | | by the State Commission. The State Commission shall approve | 13 | | the application for a self-distribution exemption if the | 14 | | class 1 brewer licensee: (1) is in compliance with the | 15 | | State, revenue, and alcoholic beverage laws; (2) is not a | 16 | | member of any affiliated group that manufactures more than | 17 | | 930,000 gallons of beer per annum or produces any other | 18 | | alcoholic beverages; (3) shall not annually manufacture | 19 | | for sale more than 930,000 gallons of beer; (4) shall not | 20 | | annually sell more than 232,500 gallons of its beer to | 21 | | retail licensees or to brewers, class 1 brewers, and class | 22 | | 2 brewers that, pursuant to subsection (e) of Section 6-4 | 23 | | of this Act, sell beer, cider, or both beer and cider to | 24 | | non-licensees at their breweries; and (5) has relinquished | 25 | | any brew pub license held by the licensee, including any | 26 | | ownership interest it held in the licensed brew pub. |
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| 1 | | (D) A self-distribution exemption holder shall | 2 | | annually certify to the State Commission its manufacture of | 3 | | beer during the previous 12 months and its anticipated | 4 | | manufacture and sales of beer for the next 12 months. The | 5 | | State Commission may fine, suspend, or revoke a | 6 | | self-distribution exemption after a hearing if it finds | 7 | | that the exemption holder has made a material | 8 | | misrepresentation in its application, violated a revenue | 9 | | or alcoholic beverage law of Illinois, exceeded the | 10 | | manufacture of 930,000 gallons of beer in any calendar year | 11 | | or became part of an affiliated group manufacturing more | 12 | | than 930,000 gallons of beer or any other alcoholic | 13 | | beverage. | 14 | | (E) The State Commission shall issue rules and | 15 | | regulations governing self-distribution exemptions | 16 | | consistent with this Act. | 17 | | (F) Nothing in this paragraph (18) shall prohibit a | 18 | | self-distribution exemption holder from entering into or | 19 | | simultaneously having a distribution agreement with a | 20 | | licensed Illinois importing distributor or a distributor. | 21 | | If a self-distribution exemption holder enters into a | 22 | | distribution agreement and has assigned distribution | 23 | | rights to an importing distributor or distributor, then the | 24 | | self-distribution exemption holder's distribution rights | 25 | | in the assigned territories shall cease in a reasonable | 26 | | time not to exceed 60 days. |
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| 1 | | (G) It is the intent of this paragraph (18) to promote | 2 | | and continue orderly markets. The General Assembly finds | 3 | | that in order to preserve Illinois' regulatory | 4 | | distribution system, it is necessary to create an exception | 5 | | for smaller manufacturers in order to afford and allow such | 6 | | smaller manufacturers of beer access to the marketplace in | 7 | | order to develop a customer base without impairing the | 8 | | integrity of the 3-tier system. | 9 | | (b) On or before April 30, 1999, the Commission shall | 10 | | present a written
report to the Governor and the General | 11 | | Assembly that shall be based on a study
of the impact of Public | 12 | | Act 90-739 on the business of soliciting,
selling, and shipping
| 13 | | alcoholic liquor from outside of this State directly to | 14 | | residents of this
State.
| 15 | | As part of its report, the Commission shall provide the | 16 | | following
information:
| 17 | | (i) the amount of State excise and sales tax revenues | 18 | | generated as a
result of Public Act 90-739;
| 19 | | (ii) the amount of licensing fees received as a result | 20 | | of Public Act 90-739;
| 21 | | (iii) the number of reported violations, the number of | 22 | | cease and desist
notices issued by the Commission, the | 23 | | number of notices of violations issued
to the Department of | 24 | | Revenue, and the number of notices and complaints of
| 25 | | violations to law enforcement officials.
| 26 | | (Source: P.A. 99-78, eff. 7-20-15; 99-448, eff. 8-24-15; |
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| 1 | | 100-134, eff. 8-18-17; 100-201, eff. 8-18-17; 100-816, eff. | 2 | | 8-13-18; 100-1012, eff. 8-21-18; 100-1050, eff. 8-23-18; | 3 | | revised 10-24-18.)
| 4 | | (235 ILCS 5/10-1) (from Ch. 43, par. 183)
| 5 | | Sec. 10-1. Violations; penalties. Whereas a substantial | 6 | | threat
to the sound and careful control, regulation, and | 7 | | taxation of the
manufacture, sale, and distribution of | 8 | | alcoholic liquors exists by virtue
of individuals who | 9 | | manufacture,
import, distribute, or sell alcoholic liquors | 10 | | within the State without
having first obtained a valid license | 11 | | to do so, and whereas such threat is
especially serious along | 12 | | the borders of this State, and whereas such threat
requires | 13 | | immediate correction by this Act, by active investigation and
| 14 | | prosecution by the Commission, law enforcement officials , and | 15 | | prosecutors, and by prompt and
strict enforcement through the | 16 | | courts of this State to punish violators and
to deter such | 17 | | conduct in the future:
| 18 | | (a) Any person who manufactures, imports
for distribution | 19 | | or use, transports from outside this State into this State, or | 20 | | distributes or sells 108 liters (28.53 gallons) or more of | 21 | | wine, 45 liters (11.88 gallons) or more of distilled spirits, | 22 | | or 118 liters (31.17 gallons) or more of beer at any
place | 23 | | within the State without having first obtained a valid license | 24 | | to do
so under the provisions of this Act shall be guilty of a | 25 | | Class 4 felony for each offense. However, any person who was |
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| 1 | | duly licensed under this Act and whose license expired within | 2 | | 30 days prior to a violation shall be guilty of a business | 3 | | offense and fined not more than $1,000 for the first such | 4 | | offense and shall be guilty of a Class 4 felony for each | 5 | | subsequent offense.
| 6 | | Any person who manufactures, imports for distribution, | 7 | | transports from outside this State into this State for sale or | 8 | | resale in this State, or distributes or sells less than 108 | 9 | | liters (28.53 gallons) of wine, less than 45 liters (11.88 | 10 | | gallons) of distilled spirits, or less than 118 liters (31.17 | 11 | | gallons) of beer at any place within the State without having | 12 | | first obtained a valid license to do so under the provisions of | 13 | | this Act shall be guilty of a business offense and fined not | 14 | | more than $1,000 for the first such offense and shall be guilty | 15 | | of a Class 4 felony for each subsequent offense. This | 16 | | subsection does not apply to a motor carrier or freight | 17 | | forwarder, as defined in Section 13102 of Title 49 of the | 18 | | United States Code, an air carrier, as defined in Section 40102 | 19 | | of Title 49 of the United States Code, or a rail carrier, as | 20 | | defined in Section 10102 of Title 49 of the United States Code. | 21 | | Any person who : (1) both has been issued an initial cease | 22 | | and desist notice from the State Commission ; and (2) for | 23 | | compensation , does any of the following: (i) ships alcoholic | 24 | | liquor into this State without a license authorized by Section | 25 | | 5-1 issued by the State Commission or in violation of that | 26 | | license ; or (ii) manufactures, imports for distribution, |
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| 1 | | transports from outside this State into this State for sale or | 2 | | resale in this State, or distributes or sells alcoholic liquors | 3 | | at any place without having first obtained a valid license to | 4 | | do so is guilty of a Class 4 felony for each offense. | 5 | | (b) (1) Any retailer, caterer retailer, brew pub, special | 6 | | event retailer, special use permit holder, homebrewer special | 7 | | event permit holder, or craft distiller tasting permit holder | 8 | | who knowingly causes alcoholic liquors to be imported directly | 9 | | into the State of Illinois from outside of the State for the | 10 | | purpose of furnishing, giving, or selling to another, except | 11 | | when having received the product from a duly licensed | 12 | | distributor or importing distributor, licensed in this State, | 13 | | who knowingly causes to
furnish,
give, sell, or otherwise being | 14 | | within the State, any alcoholic liquor destined
to be used, | 15 | | distributed, consumed or sold in another state, unless such
| 16 | | alcoholic liquor was received in this State by a duly licensed | 17 | | distributor,
or importing distributors shall have his license | 18 | | suspended for 7 days for
the first offense and for the second | 19 | | offense, shall have his license
revoked by the Commission.
| 20 | | (2) In the event the Commission receives a certified copy | 21 | | of a final order
from a foreign jurisdiction that an Illinois | 22 | | retail licensee has been found to
have violated that foreign | 23 | | jurisdiction's laws, rules, or regulations
concerning the | 24 | | importation of alcoholic liquor into that foreign | 25 | | jurisdiction,
the violation may be grounds for the Commission | 26 | | to revoke, suspend, or refuse
to
issue or renew a license, to |
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| 1 | | impose a fine, or to take any additional action
provided by | 2 | | this Act with respect to the Illinois retail license or | 3 | | licensee.
Any such action on the part of the Commission shall | 4 | | be in accordance with this
Act and implementing rules.
| 5 | | For the purposes of paragraph (2): (i) "foreign | 6 | | jurisdiction" means a
state, territory, or possession of the | 7 | | United States, the District of Columbia,
or the Commonwealth of | 8 | | Puerto Rico, and (ii) "final order" means an order or
judgment | 9 | | of a court or administrative body that determines the rights of | 10 | | the
parties respecting the subject matter of the proceeding, | 11 | | that remains in full
force and effect, and from which no appeal | 12 | | can be taken.
| 13 | | (c) Any person who shall make any false statement or | 14 | | otherwise
violates any of the provisions of this Act in | 15 | | obtaining any license
hereunder, or who having obtained a | 16 | | license hereunder shall violate any
of the provisions of this | 17 | | Act with respect to the manufacture,
possession, distribution | 18 | | or sale of alcoholic liquor, or with respect to
the maintenance | 19 | | of the licensed premises, or shall violate any other
provision | 20 | | of this Act, shall for a first offense be guilty of a petty
| 21 | | offense and fined not more than $500, and for a second or | 22 | | subsequent
offense shall be guilty of a Class B misdemeanor.
| 23 | | (c-5) Any owner of an establishment that serves alcohol on | 24 | | its premises, if more than 50% of the establishment's gross | 25 | | receipts within the prior 3 months is from the sale of alcohol, | 26 | | who knowingly fails to prohibit concealed firearms on its |
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| 1 | | premises or who knowingly makes a false statement or record to | 2 | | avoid the prohibition of concealed firearms on its premises | 3 | | under the Firearm Concealed Carry Act shall be guilty of a | 4 | | business offense with a fine up to $5,000. | 5 | | (d) Each day any person engages in business as a | 6 | | manufacturer,
foreign importer, importing distributor, | 7 | | distributor or retailer in
violation of the provisions of this | 8 | | Act shall constitute a separate offense.
| 9 | | (e) Any person, under the age of 21 years who, for the | 10 | | purpose
of buying, accepting or receiving alcoholic liquor from | 11 | | a
licensee, represents that he is 21 years of age or over shall | 12 | | be guilty
of a Class A misdemeanor.
| 13 | | (f) In addition to the penalties herein provided, any | 14 | | person
licensed as a wine-maker in either class who | 15 | | manufactures more wine than
authorized by his license shall be | 16 | | guilty of a business offense and shall be
fined $1 for each | 17 | | gallon so manufactured.
| 18 | | (g) A person shall be exempt from prosecution for a | 19 | | violation of this
Act if he is a peace officer in the | 20 | | enforcement of the criminal laws and
such activity is approved | 21 | | in writing by one of the following:
| 22 | | (1) In all counties, the respective State's Attorney;
| 23 | | (2) The Director of State Police under
Section 2605-10, | 24 | | 2605-15, 2605-75, 2605-100, 2605-105, 2605-110,
2605-115, | 25 | | 2605-120, 2605-130, 2605-140, 2605-190, 2605-200, | 26 | | 2605-205, 2605-210,
2605-215, 2605-250, 2605-275, |
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| 1 | | 2605-300, 2605-305, 2605-315, 2605-325, 2605-335,
| 2 | | 2605-340,
2605-350, 2605-355, 2605-360, 2605-365, | 3 | | 2605-375, 2605-390, 2605-400, 2605-405,
2605-420,
| 4 | | 2605-430, 2605-435, 2605-500, 2605-525, or 2605-550 of the | 5 | | Department of State
Police Law (20 ILCS 2605/2605-10, | 6 | | 2605/2605-15, 2605/2605-75,
2605/2605-100, 2605/2605-105, | 7 | | 2605/2605-110, 2605/2605-115,
2605/2605-120, | 8 | | 2605/2605-130, 2605/2605-140, 2605/2605-190, | 9 | | 2605/2605-200,
2605/2605-205, 2605/2605-210, | 10 | | 2605/2605-215, 2605/2605-250, 2605/2605-275,
| 11 | | 2605/2605-300,
2605/2605-305, 2605/2605-315, | 12 | | 2605/2605-325, 2605/2605-335, 2605/2605-340,
| 13 | | 2605/2605-350, 2605/2605-355, 2605/2605-360,
| 14 | | 2605/2605-365, 2605/2605-375, 2605/2605-390,
| 15 | | 2605/2605-400, 2605/2605-405, 2605/2605-420, | 16 | | 2605/2605-430, 2605/2605-435,
2605/2605-500, | 17 | | 2605/2605-525, or 2605/2605-550); or
| 18 | | (3) In cities over 1,000,000, the Superintendent of | 19 | | Police.
| 20 | | (Source: P.A. 98-63, eff. 7-9-13; 99-904, eff. 1-1-17 .)
| 21 | | (235 ILCS 5/10-7.1) (from Ch. 43, par. 189.1)
| 22 | | Sec. 10-7.1.
The Commission, upon receipt of a complaint or | 23 | | upon having
knowledge that any
person is engaged in the | 24 | | business as a manufacturer, importing distributor,
| 25 | | distributor , or retailer without a license or valid license, |
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| 1 | | shall conduct an investigation. If, after conducting an | 2 | | investigation, the Commission is satisfied that the alleged | 3 | | conduct occurred or is occurring, it may issue a cease and | 4 | | desist notice as provided in this Act, issue civil penalties as | 5 | | provided in this Act, notify
the Department of Revenue and the | 6 | | local liquor authority, and file a
complaint with the State's | 7 | | Attorney's
Office of the County where the incident occurred or | 8 | | with the Attorney General initiate an
investigation with the | 9 | | appropriate
law enforcement officials .
| 10 | | (Source: P.A. 90-739, eff. 8-13-98.)".
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