Illinois General Assembly - Full Text of SB0054
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Full Text of SB0054  101st General Assembly

SB0054ham004 101ST GENERAL ASSEMBLY

Rep. Michael J. Zalewski

Filed: 1/5/2021

 

 


 

 


 
10100SB0054ham004LRB101 04781 RPS 74348 a

1
AMENDMENT TO SENATE BILL 54

2    AMENDMENT NO. ______. Amend Senate Bill 54 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Liquor Control Act of 1934 is amended by
5changing Section 5-1 as follows:
 
6    (235 ILCS 5/5-1)  (from Ch. 43, par. 115)
7    Sec. 5-1. Licenses issued by the Illinois Liquor Control
8Commission shall be of the following classes:
9    (a) Manufacturer's license - Class 1. Distiller, Class 2.
10Rectifier, Class 3. Brewer, Class 4. First Class Wine
11Manufacturer, Class 5. Second Class Wine Manufacturer, Class 6.
12First Class Winemaker, Class 7. Second Class Winemaker, Class
138. Limited Wine Manufacturer, Class 9. Craft Distiller, Class
1410. Class 1 Craft Distiller, Class 11. Class 2 Craft Distiller,
15Class 12. Class 1 Brewer, Class 13. Class 2 Brewer,
16    (b) Distributor's license,

 

 

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1    (c) Importing Distributor's license,
2    (d) Retailer's license,
3    (e) Special Event Retailer's license (not-for-profit),
4    (f) Railroad license,
5    (g) Boat license,
6    (h) Non-Beverage User's license,
7    (i) Wine-maker's premises license,
8    (j) Airplane license,
9    (k) Foreign importer's license,
10    (l) Broker's license,
11    (m) Non-resident dealer's license,
12    (n) Brew Pub license,
13    (o) Auction liquor license,
14    (p) Caterer retailer license,
15    (q) Special use permit license,
16    (r) Winery shipper's license,
17    (s) Craft distiller tasting permit,
18    (t) Brewer warehouse permit,
19    (u) Distilling pub license,
20    (v) Craft distiller warehouse permit.
21    No person, firm, partnership, corporation, or other legal
22business entity that is engaged in the manufacturing of wine
23may concurrently obtain and hold a wine-maker's license and a
24wine manufacturer's license.
25    (a) A manufacturer's license shall allow the manufacture,
26importation in bulk, storage, distribution and sale of

 

 

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1alcoholic liquor to persons without the State, as may be
2permitted by law and to licensees in this State as follows:
3    Class 1. A Distiller may make sales and deliveries of
4alcoholic liquor to distillers, rectifiers, importing
5distributors, distributors and non-beverage users and to no
6other licensees.
7    Class 2. A Rectifier, who is not a distiller, as defined
8herein, may make sales and deliveries of alcoholic liquor to
9rectifiers, importing distributors, distributors, retailers
10and non-beverage users and to no other licensees.
11    Class 3. A Brewer may make sales and deliveries of beer to
12importing distributors and distributors and may make sales as
13authorized under subsection (e) of Section 6-4 of this Act.
14    Class 4. A first class wine-manufacturer may make sales and
15deliveries of up to 50,000 gallons of wine to manufacturers,
16importing distributors and distributors, and to no other
17licensees.
18    Class 5. A second class Wine manufacturer may make sales
19and deliveries of more than 50,000 gallons of wine to
20manufacturers, importing distributors and distributors and to
21no other licensees.
22    Class 6. A first-class wine-maker's license shall allow the
23manufacture of up to 50,000 gallons of wine per year, and the
24storage and sale of such wine to distributors in the State and
25to persons without the State, as may be permitted by law. A
26person who, prior to June 1, 2008 (the effective date of Public

 

 

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1Act 95-634), is a holder of a first-class wine-maker's license
2and annually produces more than 25,000 gallons of its own wine
3and who distributes its wine to licensed retailers shall cease
4this practice on or before July 1, 2008 in compliance with
5Public Act 95-634.
6    Class 7. A second-class wine-maker's license shall allow
7the manufacture of between 50,000 and 150,000 gallons of wine
8per year, and the storage and sale of such wine to distributors
9in this State and to persons without the State, as may be
10permitted by law. A person who, prior to June 1, 2008 (the
11effective date of Public Act 95-634), is a holder of a
12second-class wine-maker's license and annually produces more
13than 25,000 gallons of its own wine and who distributes its
14wine to licensed retailers shall cease this practice on or
15before July 1, 2008 in compliance with Public Act 95-634.
16    Class 8. A limited wine-manufacturer may make sales and
17deliveries not to exceed 40,000 gallons of wine per year to
18distributors, and to non-licensees in accordance with the
19provisions of this Act.
20    Class 9. A craft distiller license, which may only be held
21by a class 1 craft distiller licensee or class 2 craft
22distiller licensee but not held by both a class 1 craft
23distiller licensee and a class 2 craft distiller licensee,
24shall grant all rights conveyed by either: (i) a class 1 craft
25distiller license if the craft distiller holds a class 1 craft
26distiller license; or (ii) a class 2 craft distiller licensee

 

 

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1if the craft distiller holds a class 2 craft distiller license.
2    Class 10. A class 1 craft distiller license, which may only
3be issued to a licensed craft distiller or licensed
4non-resident dealer, shall allow the manufacture of up to
550,000 gallons of spirits per year provided that the class 1
6craft distiller licensee does not manufacture more than a
7combined 50,000 gallons of spirits per year and is not a member
8of or affiliated with, directly or indirectly, a manufacturer
9that produces more than 50,000 gallons of spirits per year or
10any other alcoholic liquor. A class 1 craft distiller licensee
11may make sales and deliveries to importing distributors and
12distributors and to retail licensees in accordance with the
13conditions set forth in paragraph (19) of subsection (a) of
14Section 3-12 of this Act. However, the aggregate amount of
15spirits sold to non-licensees and sold or delivered to retail
16licensees may not exceed 5,000 gallons per year.
17    A class 1 craft distiller licensee may sell up to 5,000
18gallons of such spirits to non-licensees to the extent
19permitted by any exemption approved by the State Commission
20pursuant to Section 6-4 of this Act. A class 1 craft distiller
21license holder may store such spirits at a non-contiguous
22licensed location, but at no time shall a class 1 craft
23distiller license holder directly or indirectly produce in the
24aggregate more than 50,000 gallons of spirits per year.
25    A class 1 craft distiller licensee may hold more than one
26class 1 craft distiller's license. However, a class 1 craft

 

 

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1distiller that holds more than one class 1 craft distiller
2license shall not manufacture, in the aggregate, more than
350,000 gallons of spirits by distillation per year and shall
4not sell, in the aggregate, more than 5,000 gallons of such
5spirits to non-licensees in accordance with an exemption
6approved by the State Commission pursuant to Section 6-4 of
7this Act.
8    Class 11. A class 2 craft distiller license, which may only
9be issued to a licensed craft distiller or licensed
10non-resident dealer, shall allow the manufacture of up to
11100,000 gallons of spirits per year provided that the class 2
12craft distiller licensee does not manufacture more than a
13combined 100,000 gallons of spirits per year and is not a
14member of or affiliated with, directly or indirectly, a
15manufacturer that produces more than 100,000 gallons of spirits
16per year or any other alcoholic liquor. A class 2 craft
17distiller licensee may make sales and deliveries to importing
18distributors and distributors, but shall not make sales or
19deliveries to any other licensee. If the State Commission
20provides prior approval, a class 2 craft distiller licensee may
21annually transfer up to 100,000 gallons of spirits manufactured
22by that class 2 craft distiller licensee to the premises of a
23licensed class 2 craft distiller wholly owned and operated by
24the same licensee. A class 2 craft distiller may transfer
25spirits to a distilling pub wholly owned and operated by the
26class 2 craft distiller subject to the following limitations

 

 

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1and restrictions: (i) the transfer shall not annually exceed
2more than 5,000 gallons; (ii) the annual amount transferred
3shall reduce the distilling pub's annual permitted production
4limit; (iii) all spirits transferred shall be subject to
5Article VIII of this Act; (iv) a written record shall be
6maintained by the distiller and distilling pub specifying the
7amount, date of delivery, and receipt of the product by the
8distilling pub; and (v) the distilling pub shall be located no
9farther than 80 miles from the class 2 craft distiller's
10licensed location.
11    A class 2 craft distiller shall, prior to transferring
12spirits to a distilling pub wholly owned by the class 2 craft
13distiller, furnish a written notice to the State Commission of
14intent to transfer spirits setting forth the name and address
15of the distilling pub and shall annually submit to the State
16Commission a verified report identifying the total gallons of
17spirits transferred to the distilling pub wholly owned by the
18class 2 craft distiller.
19    A class 2 craft distiller license holder may store such
20spirits at a non-contiguous licensed location, but at no time
21shall a class 2 craft distiller license holder directly or
22indirectly produce in the aggregate more than 100,000 gallons
23of spirits per year.
24    Class 12. A class 1 brewer license, which may only be
25issued to a licensed brewer or licensed non-resident dealer,
26shall allow the manufacture of up to 930,000 gallons of beer

 

 

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1per year provided that the class 1 brewer licensee does not
2manufacture more than a combined 930,000 gallons of beer per
3year and is not a member of or affiliated with, directly or
4indirectly, a manufacturer that produces more than 930,000
5gallons of beer per year or any other alcoholic liquor. A class
61 brewer licensee may make sales and deliveries to importing
7distributors and distributors and to retail licensees in
8accordance with the conditions set forth in paragraph (18) of
9subsection (a) of Section 3-12 of this Act. If the State
10Commission provides prior approval, a class 1 brewer may
11annually transfer up to 930,000 gallons of beer manufactured by
12that class 1 brewer to the premises of a licensed class 1
13brewer wholly owned and operated by the same licensee.
14    Class 13. A class 2 brewer license, which may only be
15issued to a licensed brewer or licensed non-resident dealer,
16shall allow the manufacture of up to 3,720,000 gallons of beer
17per year provided that the class 2 brewer licensee does not
18manufacture more than a combined 3,720,000 gallons of beer per
19year and is not a member of or affiliated with, directly or
20indirectly, a manufacturer that produces more than 3,720,000
21gallons of beer per year or any other alcoholic liquor. A class
222 brewer licensee may make sales and deliveries to importing
23distributors and distributors, but shall not make sales or
24deliveries to any other licensee. If the State Commission
25provides prior approval, a class 2 brewer licensee may annually
26transfer up to 3,720,000 gallons of beer manufactured by that

 

 

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1class 2 brewer licensee to the premises of a licensed class 2
2brewer wholly owned and operated by the same licensee.
3    A class 2 brewer may transfer beer to a brew pub wholly
4owned and operated by the class 2 brewer subject to the
5following limitations and restrictions: (i) the transfer shall
6not annually exceed more than 31,000 gallons; (ii) the annual
7amount transferred shall reduce the brew pub's annual permitted
8production limit; (iii) all beer transferred shall be subject
9to Article VIII of this Act; (iv) a written record shall be
10maintained by the brewer and brew pub specifying the amount,
11date of delivery, and receipt of the product by the brew pub;
12and (v) the brew pub shall be located no farther than 80 miles
13from the class 2 brewer's licensed location.
14    A class 2 brewer shall, prior to transferring beer to a
15brew pub wholly owned by the class 2 brewer, furnish a written
16notice to the State Commission of intent to transfer beer
17setting forth the name and address of the brew pub and shall
18annually submit to the State Commission a verified report
19identifying the total gallons of beer transferred to the brew
20pub wholly owned by the class 2 brewer.
21    (a-1) A manufacturer which is licensed in this State to
22make sales or deliveries of alcoholic liquor to licensed
23distributors or importing distributors and which enlists
24agents, representatives, or individuals acting on its behalf
25who contact licensed retailers on a regular and continual basis
26in this State must register those agents, representatives, or

 

 

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1persons acting on its behalf with the State Commission.
2    Registration of agents, representatives, or persons acting
3on behalf of a manufacturer is fulfilled by submitting a form
4to the Commission. The form shall be developed by the
5Commission and shall include the name and address of the
6applicant, the name and address of the manufacturer he or she
7represents, the territory or areas assigned to sell to or
8discuss pricing terms of alcoholic liquor, and any other
9questions deemed appropriate and necessary. All statements in
10the forms required to be made by law or by rule shall be deemed
11material, and any person who knowingly misstates any material
12fact under oath in an application is guilty of a Class B
13misdemeanor. Fraud, misrepresentation, false statements,
14misleading statements, evasions, or suppression of material
15facts in the securing of a registration are grounds for
16suspension or revocation of the registration. The State
17Commission shall post a list of registered agents on the
18Commission's website.
19    (b) A distributor's license shall allow (i) the wholesale
20purchase and storage of alcoholic liquors and sale of alcoholic
21liquors to licensees in this State and to persons without the
22State, as may be permitted by law; (ii) the sale of beer,
23cider, or both beer and cider to brewers, class 1 brewers, and
24class 2 brewers that, pursuant to subsection (e) of Section 6-4
25of this Act, sell beer, cider, or both beer and cider to
26non-licensees at their breweries; and (iii) the sale of

 

 

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1vermouth to class 1 craft distillers and class 2 craft
2distillers that, pursuant to subsection (e) of Section 6-4 of
3this Act, sell spirits, vermouth, or both spirits and vermouth
4to non-licensees at their distilleries. No person licensed as a
5distributor shall be granted a non-resident dealer's license.
6    (c) An importing distributor's license may be issued to and
7held by those only who are duly licensed distributors, upon the
8filing of an application by a duly licensed distributor, with
9the Commission and the Commission shall, without the payment of
10any fee, immediately issue such importing distributor's
11license to the applicant, which shall allow the importation of
12alcoholic liquor by the licensee into this State from any point
13in the United States outside this State, and the purchase of
14alcoholic liquor in barrels, casks or other bulk containers and
15the bottling of such alcoholic liquors before resale thereof,
16but all bottles or containers so filled shall be sealed,
17labeled, stamped and otherwise made to comply with all
18provisions, rules and regulations governing manufacturers in
19the preparation and bottling of alcoholic liquors. The
20importing distributor's license shall permit such licensee to
21purchase alcoholic liquor from Illinois licensed non-resident
22dealers and foreign importers only. No person licensed as an
23importing distributor shall be granted a non-resident dealer's
24license.
25    (d) A retailer's license shall allow the licensee to sell
26and offer for sale at retail, only in the premises specified in

 

 

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1the license, alcoholic liquor for use or consumption, but not
2for resale in any form. Except as provided in Section 6-16 or
36-23, nothing in this Act Nothing in Public Act 95-634 shall
4deny, limit, remove, or restrict the ability of a holder of a
5retailer's license to transfer, deliver, or ship alcoholic
6liquor to the purchaser for use or consumption subject to any
7applicable local law or ordinance. For the purposes of this
8Section, "shipping" means the movement of alcoholic liquor from
9a licensed retailer to a consumer via a common carrier. Except
10as provided in Section 6-16 or 6-23, nothing in this Act shall
11deny, limit, remove, or restrict the ability of a holder of a
12retailer's license to deliver alcoholic liquor to the purchaser
13for use or consumption. The delivery shall be made only within
1412 hours from the time the alcoholic liquor leaves the licensed
15premises of the retailer for delivery. For the purposes of this
16Section, "delivery" means the movement of alcoholic liquor
17purchased from a licensed retailer to a consumer through the
18following methods:
19        (1) delivery within licensed retailer's parking lot,
20    including curbside, for pickup by the consumer;
21        (2) delivery by an owner, officer, director,
22    shareholder, or employee of the licensed retailer; or
23        (3) delivery by a third-party contractor, independent
24    contractor, or agent with whom the licensed retailer has
25    contracted to make deliveries of alcoholic liquors.
26    Under subsection (1), (2), or (3), delivery shall not

 

 

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1include the use of common carriers.
2    Any retail license issued to a manufacturer shall only
3permit the manufacturer to sell beer at retail on the premises
4actually occupied by the manufacturer. For the purpose of
5further describing the type of business conducted at a retail
6licensed premises, a retailer's licensee may be designated by
7the State Commission as (i) an on premise consumption retailer,
8(ii) an off premise sale retailer, or (iii) a combined on
9premise consumption and off premise sale retailer.
10    Except for a municipality with a population of more than
111,000,000 inhabitants, a home rule unit may not regulate the
12delivery of alcoholic liquor inconsistent with this
13subsection. This paragraph is a limitation of under subsection
14(i) of Section 6 of Article VII of the Illinois Constitution on
15the concurrent exercise by home rule units of powers and
16functions exercised by the State.
17    Notwithstanding any other provision of this subsection
18(d), a retail licensee may sell alcoholic liquors to a special
19event retailer licensee for resale to the extent permitted
20under subsection (e).
21    (e) A special event retailer's license (not-for-profit)
22shall permit the licensee to purchase alcoholic liquors from an
23Illinois licensed distributor (unless the licensee purchases
24less than $500 of alcoholic liquors for the special event, in
25which case the licensee may purchase the alcoholic liquors from
26a licensed retailer) and shall allow the licensee to sell and

 

 

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1offer for sale, at retail, alcoholic liquors for use or
2consumption, but not for resale in any form and only at the
3location and on the specific dates designated for the special
4event in the license. An applicant for a special event retailer
5license must (i) furnish with the application: (A) a resale
6number issued under Section 2c of the Retailers' Occupation Tax
7Act or evidence that the applicant is registered under Section
82a of the Retailers' Occupation Tax Act, (B) a current, valid
9exemption identification number issued under Section 1g of the
10Retailers' Occupation Tax Act, and a certification to the
11Commission that the purchase of alcoholic liquors will be a
12tax-exempt purchase, or (C) a statement that the applicant is
13not registered under Section 2a of the Retailers' Occupation
14Tax Act, does not hold a resale number under Section 2c of the
15Retailers' Occupation Tax Act, and does not hold an exemption
16number under Section 1g of the Retailers' Occupation Tax Act,
17in which event the Commission shall set forth on the special
18event retailer's license a statement to that effect; (ii)
19submit with the application proof satisfactory to the State
20Commission that the applicant will provide dram shop liability
21insurance in the maximum limits; and (iii) show proof
22satisfactory to the State Commission that the applicant has
23obtained local authority approval.
24    Nothing in this Act prohibits an Illinois licensed
25distributor from offering credit or a refund for unused,
26salable alcoholic liquors to a holder of a special event

 

 

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1retailer's license or the special event retailer's licensee
2from accepting the credit or refund of alcoholic liquors at the
3conclusion of the event specified in the license.
4    (f) A railroad license shall permit the licensee to import
5alcoholic liquors into this State from any point in the United
6States outside this State and to store such alcoholic liquors
7in this State; to make wholesale purchases of alcoholic liquors
8directly from manufacturers, foreign importers, distributors
9and importing distributors from within or outside this State;
10and to store such alcoholic liquors in this State; provided
11that the above powers may be exercised only in connection with
12the importation, purchase or storage of alcoholic liquors to be
13sold or dispensed on a club, buffet, lounge or dining car
14operated on an electric, gas or steam railway in this State;
15and provided further, that railroad licensees exercising the
16above powers shall be subject to all provisions of Article VIII
17of this Act as applied to importing distributors. A railroad
18license shall also permit the licensee to sell or dispense
19alcoholic liquors on any club, buffet, lounge or dining car
20operated on an electric, gas or steam railway regularly
21operated by a common carrier in this State, but shall not
22permit the sale for resale of any alcoholic liquors to any
23licensee within this State. A license shall be obtained for
24each car in which such sales are made.
25    (g) A boat license shall allow the sale of alcoholic liquor
26in individual drinks, on any passenger boat regularly operated

 

 

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1as a common carrier on navigable waters in this State or on any
2riverboat operated under the Illinois Gambling Act, which boat
3or riverboat maintains a public dining room or restaurant
4thereon.
5    (h) A non-beverage user's license shall allow the licensee
6to purchase alcoholic liquor from a licensed manufacturer or
7importing distributor, without the imposition of any tax upon
8the business of such licensed manufacturer or importing
9distributor as to such alcoholic liquor to be used by such
10licensee solely for the non-beverage purposes set forth in
11subsection (a) of Section 8-1 of this Act, and such licenses
12shall be divided and classified and shall permit the purchase,
13possession and use of limited and stated quantities of
14alcoholic liquor as follows:
15Class 1, not to exceed ......................... 500 gallons
16Class 2, not to exceed ....................... 1,000 gallons
17Class 3, not to exceed ....................... 5,000 gallons
18Class 4, not to exceed ...................... 10,000 gallons
19Class 5, not to exceed ....................... 50,000 gallons
20    (i) A wine-maker's premises license shall allow a licensee
21that concurrently holds a first-class wine-maker's license to
22sell and offer for sale at retail in the premises specified in
23such license not more than 50,000 gallons of the first-class
24wine-maker's wine that is made at the first-class wine-maker's
25licensed premises per year for use or consumption, but not for
26resale in any form. A wine-maker's premises license shall allow

 

 

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1a licensee who concurrently holds a second-class wine-maker's
2license to sell and offer for sale at retail in the premises
3specified in such license up to 100,000 gallons of the
4second-class wine-maker's wine that is made at the second-class
5wine-maker's licensed premises per year for use or consumption
6but not for resale in any form. A wine-maker's premises license
7shall allow a licensee that concurrently holds a first-class
8wine-maker's license or a second-class wine-maker's license to
9sell and offer for sale at retail at the premises specified in
10the wine-maker's premises license, for use or consumption but
11not for resale in any form, any beer, wine, and spirits
12purchased from a licensed distributor. Upon approval from the
13State Commission, a wine-maker's premises license shall allow
14the licensee to sell and offer for sale at (i) the wine-maker's
15licensed premises and (ii) at up to 2 additional locations for
16use and consumption and not for resale. Each location shall
17require additional licensing per location as specified in
18Section 5-3 of this Act. A wine-maker's premises licensee shall
19secure liquor liability insurance coverage in an amount at
20least equal to the maximum liability amounts set forth in
21subsection (a) of Section 6-21 of this Act.
22    (j) An airplane license shall permit the licensee to import
23alcoholic liquors into this State from any point in the United
24States outside this State and to store such alcoholic liquors
25in this State; to make wholesale purchases of alcoholic liquors
26directly from manufacturers, foreign importers, distributors

 

 

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1and importing distributors from within or outside this State;
2and to store such alcoholic liquors in this State; provided
3that the above powers may be exercised only in connection with
4the importation, purchase or storage of alcoholic liquors to be
5sold or dispensed on an airplane; and provided further, that
6airplane licensees exercising the above powers shall be subject
7to all provisions of Article VIII of this Act as applied to
8importing distributors. An airplane licensee shall also permit
9the sale or dispensing of alcoholic liquors on any passenger
10airplane regularly operated by a common carrier in this State,
11but shall not permit the sale for resale of any alcoholic
12liquors to any licensee within this State. A single airplane
13license shall be required of an airline company if liquor
14service is provided on board aircraft in this State. The annual
15fee for such license shall be as determined in Section 5-3.
16    (k) A foreign importer's license shall permit such licensee
17to purchase alcoholic liquor from Illinois licensed
18non-resident dealers only, and to import alcoholic liquor other
19than in bulk from any point outside the United States and to
20sell such alcoholic liquor to Illinois licensed importing
21distributors and to no one else in Illinois; provided that (i)
22the foreign importer registers with the State Commission every
23brand of alcoholic liquor that it proposes to sell to Illinois
24licensees during the license period, (ii) the foreign importer
25complies with all of the provisions of Section 6-9 of this Act
26with respect to registration of such Illinois licensees as may

 

 

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1be granted the right to sell such brands at wholesale, and
2(iii) the foreign importer complies with the provisions of
3Sections 6-5 and 6-6 of this Act to the same extent that these
4provisions apply to manufacturers.
5    (l) (i) A broker's license shall be required of all persons
6who solicit orders for, offer to sell or offer to supply
7alcoholic liquor to retailers in the State of Illinois, or who
8offer to retailers to ship or cause to be shipped or to make
9contact with distillers, craft distillers, rectifiers, brewers
10or manufacturers or any other party within or without the State
11of Illinois in order that alcoholic liquors be shipped to a
12distributor, importing distributor or foreign importer,
13whether such solicitation or offer is consummated within or
14without the State of Illinois.
15    No holder of a retailer's license issued by the Illinois
16Liquor Control Commission shall purchase or receive any
17alcoholic liquor, the order for which was solicited or offered
18for sale to such retailer by a broker unless the broker is the
19holder of a valid broker's license.
20    The broker shall, upon the acceptance by a retailer of the
21broker's solicitation of an order or offer to sell or supply or
22deliver or have delivered alcoholic liquors, promptly forward
23to the Illinois Liquor Control Commission a notification of
24said transaction in such form as the Commission may by
25regulations prescribe.
26    (ii) A broker's license shall be required of a person

 

 

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1within this State, other than a retail licensee, who, for a fee
2or commission, promotes, solicits, or accepts orders for
3alcoholic liquor, for use or consumption and not for resale, to
4be shipped from this State and delivered to residents outside
5of this State by an express company, common carrier, or
6contract carrier. This Section does not apply to any person who
7promotes, solicits, or accepts orders for wine as specifically
8authorized in Section 6-29 of this Act.
9    A broker's license under this subsection (l) shall not
10entitle the holder to buy or sell any alcoholic liquors for his
11own account or to take or deliver title to such alcoholic
12liquors.
13    This subsection (l) shall not apply to distributors,
14employees of distributors, or employees of a manufacturer who
15has registered the trademark, brand or name of the alcoholic
16liquor pursuant to Section 6-9 of this Act, and who regularly
17sells such alcoholic liquor in the State of Illinois only to
18its registrants thereunder.
19    Any agent, representative, or person subject to
20registration pursuant to subsection (a-1) of this Section shall
21not be eligible to receive a broker's license.
22    (m) A non-resident dealer's license shall permit such
23licensee to ship into and warehouse alcoholic liquor into this
24State from any point outside of this State, and to sell such
25alcoholic liquor to Illinois licensed foreign importers and
26importing distributors and to no one else in this State;

 

 

10100SB0054ham004- 21 -LRB101 04781 RPS 74348 a

1provided that (i) said non-resident dealer shall register with
2the Illinois Liquor Control Commission each and every brand of
3alcoholic liquor which it proposes to sell to Illinois
4licensees during the license period, (ii) it shall comply with
5all of the provisions of Section 6-9 hereof with respect to
6registration of such Illinois licensees as may be granted the
7right to sell such brands at wholesale by duly filing such
8registration statement, thereby authorizing the non-resident
9dealer to proceed to sell such brands at wholesale, and (iii)
10the non-resident dealer shall comply with the provisions of
11Sections 6-5 and 6-6 of this Act to the same extent that these
12provisions apply to manufacturers. No person licensed as a
13non-resident dealer shall be granted a distributor's or
14importing distributor's license.
15    (n) A brew pub license shall allow the licensee to only (i)
16manufacture up to 155,000 gallons of beer per year only on the
17premises specified in the license, (ii) make sales of the beer
18manufactured on the premises or, with the approval of the
19Commission, beer manufactured on another brew pub licensed
20premises that is wholly owned and operated by the same licensee
21to importing distributors, distributors, and to non-licensees
22for use and consumption, (iii) store the beer upon the
23premises, (iv) sell and offer for sale at retail from the
24licensed premises for off-premises consumption no more than
25155,000 gallons per year so long as such sales are only made
26in-person, (v) sell and offer for sale at retail for use and

 

 

10100SB0054ham004- 22 -LRB101 04781 RPS 74348 a

1consumption on the premises specified in the license any form
2of alcoholic liquor purchased from a licensed distributor or
3importing distributor, (vi) with the prior approval of the
4Commission, annually transfer no more than 155,000 gallons of
5beer manufactured on the premises to a licensed brew pub wholly
6owned and operated by the same licensee, and (vii)
7notwithstanding item (i) of this subsection, brew pubs wholly
8owned and operated by the same licensee may combine each
9location's production limit of 155,000 gallons of beer per year
10and allocate the aggregate total between the wholly owned,
11operated, and licensed locations.
12    A brew pub licensee shall not under any circumstance sell
13or offer for sale beer manufactured by the brew pub licensee to
14retail licensees.
15    A person who holds a class 2 brewer license may
16simultaneously hold a brew pub license if the class 2 brewer
17(i) does not, under any circumstance, sell or offer for sale
18beer manufactured by the class 2 brewer to retail licensees;
19(ii) does not hold more than 3 brew pub licenses in this State;
20(iii) does not manufacture more than a combined 3,720,000
21gallons of beer per year, including the beer manufactured at
22the brew pub; and (iv) is not a member of or affiliated with,
23directly or indirectly, a manufacturer that produces more than
243,720,000 gallons of beer per year or any other alcoholic
25liquor.
26    Notwithstanding any other provision of this Act, a licensed

 

 

10100SB0054ham004- 23 -LRB101 04781 RPS 74348 a

1brewer, class 2 brewer, or non-resident dealer who before July
21, 2015 manufactured less than 3,720,000 gallons of beer per
3year and held a brew pub license on or before July 1, 2015 may
4(i) continue to qualify for and hold that brew pub license for
5the licensed premises and (ii) manufacture more than 3,720,000
6gallons of beer per year and continue to qualify for and hold
7that brew pub license if that brewer, class 2 brewer, or
8non-resident dealer does not simultaneously hold a class 1
9brewer license and is not a member of or affiliated with,
10directly or indirectly, a manufacturer that produces more than
113,720,000 gallons of beer per year or that produces any other
12alcoholic liquor.
13    (o) A caterer retailer license shall allow the holder to
14serve alcoholic liquors as an incidental part of a food service
15that serves prepared meals which excludes the serving of snacks
16as the primary meal, either on or off-site whether licensed or
17unlicensed. A caterer retailer license shall allow the holder,
18a distributor, or an importing distributor to transfer any
19inventory to and from the holder's retail premises and shall
20allow the holder to purchase alcoholic liquor from a
21distributor or importing distributor to be delivered directly
22to an off-site event.
23    Nothing in this Act prohibits a distributor or importing
24distributor from offering credit or a refund for unused,
25salable beer to a holder of a caterer retailer license or a
26caterer retailer licensee from accepting a credit or refund for

 

 

10100SB0054ham004- 24 -LRB101 04781 RPS 74348 a

1unused, salable beer, in the event an act of God is the sole
2reason an off-site event is cancelled and if: (i) the holder of
3a caterer retailer license has not transferred alcoholic liquor
4from its caterer retailer premises to an off-site location;
5(ii) the distributor or importing distributor offers the credit
6or refund for the unused, salable beer that it delivered to the
7off-site premises and not for any unused, salable beer that the
8distributor or importing distributor delivered to the caterer
9retailer's premises; and (iii) the unused, salable beer would
10likely spoil if transferred to the caterer retailer's premises.
11A caterer retailer license shall allow the holder to transfer
12any inventory from any off-site location to its caterer
13retailer premises at the conclusion of an off-site event or
14engage a distributor or importing distributor to transfer any
15inventory from any off-site location to its caterer retailer
16premises at the conclusion of an off-site event, provided that
17the distributor or importing distributor issues bona fide
18charges to the caterer retailer licensee for fuel, labor, and
19delivery and the distributor or importing distributor collects
20payment from the caterer retailer licensee prior to the
21distributor or importing distributor transferring inventory to
22the caterer retailer premises.
23    For purposes of this subsection (o), an "act of God" means
24an unforeseeable event, such as a rain or snow storm, hail, a
25flood, or a similar event, that is the sole cause of the
26cancellation of an off-site, outdoor event.

 

 

10100SB0054ham004- 25 -LRB101 04781 RPS 74348 a

1    (p) An auction liquor license shall allow the licensee to
2sell and offer for sale at auction wine and spirits for use or
3consumption, or for resale by an Illinois liquor licensee in
4accordance with provisions of this Act. An auction liquor
5license will be issued to a person and it will permit the
6auction liquor licensee to hold the auction anywhere in the
7State. An auction liquor license must be obtained for each
8auction at least 14 days in advance of the auction date.
9    (q) A special use permit license shall allow an Illinois
10licensed retailer to transfer a portion of its alcoholic liquor
11inventory from its retail licensed premises to the premises
12specified in the license hereby created; to purchase alcoholic
13liquor from a distributor or importing distributor to be
14delivered directly to the location specified in the license
15hereby created; and to sell or offer for sale at retail, only
16in the premises specified in the license hereby created, the
17transferred or delivered alcoholic liquor for use or
18consumption, but not for resale in any form. A special use
19permit license may be granted for the following time periods:
20one day or less; 2 or more days to a maximum of 15 days per
21location in any 12-month period. An applicant for the special
22use permit license must also submit with the application proof
23satisfactory to the State Commission that the applicant will
24provide dram shop liability insurance to the maximum limits and
25have local authority approval.
26    A special use permit license shall allow the holder to

 

 

10100SB0054ham004- 26 -LRB101 04781 RPS 74348 a

1transfer any inventory from the holder's special use premises
2to its retail premises at the conclusion of the special use
3event or engage a distributor or importing distributor to
4transfer any inventory from the holder's special use premises
5to its retail premises at the conclusion of an off-site event,
6provided that the distributor or importing distributor issues
7bona fide charges to the special use permit licensee for fuel,
8labor, and delivery and the distributor or importing
9distributor collects payment from the retail licensee prior to
10the distributor or importing distributor transferring
11inventory to the retail premises.
12    Nothing in this Act prohibits a distributor or importing
13distributor from offering credit or a refund for unused,
14salable beer to a special use permit licensee or a special use
15permit licensee from accepting a credit or refund for unused,
16salable beer at the conclusion of the event specified in the
17license if: (i) the holder of the special use permit license
18has not transferred alcoholic liquor from its retail licensed
19premises to the premises specified in the special use permit
20license; (ii) the distributor or importing distributor offers
21the credit or refund for the unused, salable beer that it
22delivered to the premises specified in the special use permit
23license and not for any unused, salable beer that the
24distributor or importing distributor delivered to the
25retailer's premises; and (iii) the unused, salable beer would
26likely spoil if transferred to the retailer premises.

 

 

10100SB0054ham004- 27 -LRB101 04781 RPS 74348 a

1    (r) A winery shipper's license shall allow a person with a
2first-class or second-class wine manufacturer's license, a
3first-class or second-class wine-maker's license, or a limited
4wine manufacturer's license or who is licensed to make wine
5under the laws of another state to ship wine made by that
6licensee directly to a resident of this State who is 21 years
7of age or older for that resident's personal use and not for
8resale. Prior to receiving a winery shipper's license, an
9applicant for the license must provide the Commission with a
10true copy of its current license in any state in which it is
11licensed as a manufacturer of wine. An applicant for a winery
12shipper's license must also complete an application form that
13provides any other information the Commission deems necessary.
14The application form shall include all addresses from which the
15applicant for a winery shipper's license intends to ship wine,
16including the name and address of any third party, except for a
17common carrier, authorized to ship wine on behalf of the
18manufacturer. The application form shall include an
19acknowledgement consenting to the jurisdiction of the
20Commission, the Illinois Department of Revenue, and the courts
21of this State concerning the enforcement of this Act and any
22related laws, rules, and regulations, including authorizing
23the Department of Revenue and the Commission to conduct audits
24for the purpose of ensuring compliance with Public Act 95-634,
25and an acknowledgement that the wine manufacturer is in
26compliance with Section 6-2 of this Act. Any third party,

 

 

10100SB0054ham004- 28 -LRB101 04781 RPS 74348 a

1except for a common carrier, authorized to ship wine on behalf
2of a first-class or second-class wine manufacturer's licensee,
3a first-class or second-class wine-maker's licensee, a limited
4wine manufacturer's licensee, or a person who is licensed to
5make wine under the laws of another state shall also be
6disclosed by the winery shipper's licensee, and a copy of the
7written appointment of the third-party wine provider, except
8for a common carrier, to the wine manufacturer shall be filed
9with the State Commission as a supplement to the winery
10shipper's license application or any renewal thereof. The
11winery shipper's license holder shall affirm under penalty of
12perjury, as part of the winery shipper's license application or
13renewal, that he or she only ships wine, either directly or
14indirectly through a third-party provider, from the licensee's
15own production.
16    Except for a common carrier, a third-party provider
17shipping wine on behalf of a winery shipper's license holder is
18the agent of the winery shipper's license holder and, as such,
19a winery shipper's license holder is responsible for the acts
20and omissions of the third-party provider acting on behalf of
21the license holder. A third-party provider, except for a common
22carrier, that engages in shipping wine into Illinois on behalf
23of a winery shipper's license holder shall consent to the
24jurisdiction of the State Commission and the State. Any
25third-party, except for a common carrier, holding such an
26appointment shall, by February 1 of each calendar year and upon

 

 

10100SB0054ham004- 29 -LRB101 04781 RPS 74348 a

1request by the State Commission or the Department of Revenue,
2file with the State Commission a statement detailing each
3shipment made to an Illinois resident. The statement shall
4include the name and address of the third-party provider filing
5the statement, the time period covered by the statement, and
6the following information:
7        (1) the name, address, and license number of the winery
8    shipper on whose behalf the shipment was made;
9        (2) the quantity of the products delivered; and
10        (3) the date and address of the shipment.
11If the Department of Revenue or the State Commission requests a
12statement under this paragraph, the third-party provider must
13provide that statement no later than 30 days after the request
14is made. Any books, records, supporting papers, and documents
15containing information and data relating to a statement under
16this paragraph shall be kept and preserved for a period of 3
17years, unless their destruction sooner is authorized, in
18writing, by the Director of Revenue, and shall be open and
19available to inspection by the Director of Revenue or the State
20Commission or any duly authorized officer, agent, or employee
21of the State Commission or the Department of Revenue, at all
22times during business hours of the day. Any person who violates
23any provision of this paragraph or any rule of the State
24Commission for the administration and enforcement of the
25provisions of this paragraph is guilty of a Class C
26misdemeanor. In case of a continuing violation, each day's

 

 

10100SB0054ham004- 30 -LRB101 04781 RPS 74348 a

1continuance thereof shall be a separate and distinct offense.
2    The State Commission shall adopt rules as soon as
3practicable to implement the requirements of Public Act 99-904
4and shall adopt rules prohibiting any such third-party
5appointment of a third-party provider, except for a common
6carrier, that has been deemed by the State Commission to have
7violated the provisions of this Act with regard to any winery
8shipper licensee.
9    A winery shipper licensee must pay to the Department of
10Revenue the State liquor gallonage tax under Section 8-1 for
11all wine that is sold by the licensee and shipped to a person
12in this State. For the purposes of Section 8-1, a winery
13shipper licensee shall be taxed in the same manner as a
14manufacturer of wine. A licensee who is not otherwise required
15to register under the Retailers' Occupation Tax Act must
16register under the Use Tax Act to collect and remit use tax to
17the Department of Revenue for all gallons of wine that are sold
18by the licensee and shipped to persons in this State. If a
19licensee fails to remit the tax imposed under this Act in
20accordance with the provisions of Article VIII of this Act, the
21winery shipper's license shall be revoked in accordance with
22the provisions of Article VII of this Act. If a licensee fails
23to properly register and remit tax under the Use Tax Act or the
24Retailers' Occupation Tax Act for all wine that is sold by the
25winery shipper and shipped to persons in this State, the winery
26shipper's license shall be revoked in accordance with the

 

 

10100SB0054ham004- 31 -LRB101 04781 RPS 74348 a

1provisions of Article VII of this Act.
2    A winery shipper licensee must collect, maintain, and
3submit to the Commission on a semi-annual basis the total
4number of cases per resident of wine shipped to residents of
5this State. A winery shipper licensed under this subsection (r)
6must comply with the requirements of Section 6-29 of this Act.
7    Pursuant to paragraph (5.1) or (5.3) of subsection (a) of
8Section 3-12, the State Commission may receive, respond to, and
9investigate any complaint and impose any of the remedies
10specified in paragraph (1) of subsection (a) of Section 3-12.
11    As used in this subsection, "third-party provider" means
12any entity that provides fulfillment house services, including
13warehousing, packaging, distribution, order processing, or
14shipment of wine, but not the sale of wine, on behalf of a
15licensed winery shipper.
16    (s) A craft distiller tasting permit license shall allow an
17Illinois licensed class 1 craft distiller or class 2 craft
18distiller to transfer a portion of its alcoholic liquor
19inventory from its class 1 craft distiller or class 2 craft
20distiller licensed premises to the premises specified in the
21license hereby created and to conduct a sampling, only in the
22premises specified in the license hereby created, of the
23transferred alcoholic liquor in accordance with subsection (c)
24of Section 6-31 of this Act. The transferred alcoholic liquor
25may not be sold or resold in any form. An applicant for the
26craft distiller tasting permit license must also submit with

 

 

10100SB0054ham004- 32 -LRB101 04781 RPS 74348 a

1the application proof satisfactory to the State Commission that
2the applicant will provide dram shop liability insurance to the
3maximum limits and have local authority approval.
4    (t) A brewer warehouse permit may be issued to the holder
5of a class 1 brewer license or a class 2 brewer license. If the
6holder of the permit is a class 1 brewer licensee, the brewer
7warehouse permit shall allow the holder to store or warehouse
8up to 930,000 gallons of tax-determined beer manufactured by
9the holder of the permit at the premises specified on the
10permit. If the holder of the permit is a class 2 brewer
11licensee, the brewer warehouse permit shall allow the holder to
12store or warehouse up to 3,720,000 gallons of tax-determined
13beer manufactured by the holder of the permit at the premises
14specified on the permit. Sales to non-licensees are prohibited
15at the premises specified in the brewer warehouse permit.
16    (u) A distilling pub license shall allow the licensee to
17only (i) manufacture up to 5,000 gallons of spirits per year
18only on the premises specified in the license, (ii) make sales
19of the spirits manufactured on the premises or, with the
20approval of the State Commission, spirits manufactured on
21another distilling pub licensed premises that is wholly owned
22and operated by the same licensee to importing distributors and
23distributors and to non-licensees for use and consumption,
24(iii) store the spirits upon the premises, (iv) sell and offer
25for sale at retail from the licensed premises for off-premises
26consumption no more than 5,000 gallons per year so long as such

 

 

10100SB0054ham004- 33 -LRB101 04781 RPS 74348 a

1sales are only made in-person, (v) sell and offer for sale at
2retail for use and consumption on the premises specified in the
3license any form of alcoholic liquor purchased from a licensed
4distributor or importing distributor, and (vi) with the prior
5approval of the State Commission, annually transfer no more
6than 5,000 gallons of spirits manufactured on the premises to a
7licensed distilling pub wholly owned and operated by the same
8licensee.
9    A distilling pub licensee shall not under any circumstance
10sell or offer for sale spirits manufactured by the distilling
11pub licensee to retail licensees.
12    A person who holds a class 2 craft distiller license may
13simultaneously hold a distilling pub license if the class 2
14craft distiller (i) does not, under any circumstance, sell or
15offer for sale spirits manufactured by the class 2 craft
16distiller to retail licensees; (ii) does not hold more than 3
17distilling pub licenses in this State; (iii) does not
18manufacture more than a combined 100,000 gallons of spirits per
19year, including the spirits manufactured at the distilling pub;
20and (iv) is not a member of or affiliated with, directly or
21indirectly, a manufacturer that produces more than 100,000
22gallons of spirits per year or any other alcoholic liquor.
23    (v) A craft distiller warehouse permit may be issued to the
24holder of a class 1 craft distiller or class 2 craft distiller
25license. The craft distiller warehouse permit shall allow the
26holder to store or warehouse up to 500,000 gallons of spirits

 

 

10100SB0054ham004- 34 -LRB101 04781 RPS 74348 a

1manufactured by the holder of the permit at the premises
2specified on the permit. Sales to non-licensees are prohibited
3at the premises specified in the craft distiller warehouse
4permit.
5(Source: P.A. 100-17, eff. 6-30-17; 100-201, eff. 8-18-17;
6100-816, eff. 8-13-18; 100-885, eff. 8-14-18; 100-1050, eff.
78-23-18; 101-16, eff. 6-14-19; 101-31, eff. 6-28-19; 101-81,
8eff. 7-12-19; 101-482, eff. 8-23-19; 101-517, eff. 8-23-19;
9101-615, eff. 12-20-19.)".