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Public Act 100-0816 | ||||
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AN ACT concerning liquor.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 5. The Liquor Control Act of 1934 is amended by | ||||
changing Sections 3-12, 5-1, 5-3, and 6-4 as follows:
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(235 ILCS 5/3-12)
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Sec. 3-12. Powers and duties of State Commission.
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(a) The State commission shall have the following powers, | ||||
functions, and
duties:
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(1) To receive applications and to issue licenses to | ||||
manufacturers,
foreign importers, importing distributors, | ||||
distributors, non-resident dealers,
on premise consumption | ||||
retailers, off premise sale retailers, special event
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retailer licensees, special use permit licenses, auction | ||||
liquor licenses, brew
pubs, caterer retailers, | ||||
non-beverage users, railroads, including owners and
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lessees of sleeping, dining and cafe cars, airplanes, | ||||
boats, brokers, and wine
maker's premises licensees in | ||||
accordance with the provisions of this Act, and
to suspend | ||||
or revoke such licenses upon the State commission's | ||||
determination,
upon notice after hearing, that a licensee | ||||
has violated any provision of this
Act or any rule or | ||||
regulation issued pursuant thereto and in effect for 30 |
days
prior to such violation. Except in the case of an | ||
action taken pursuant to a
violation of Section 6-3, 6-5, | ||
or 6-9, any action by the State Commission to
suspend or | ||
revoke a licensee's license may be limited to the license | ||
for the
specific premises where the violation occurred.
An | ||
action for a violation of this Act shall be commenced by | ||
the State Commission within 2 years after the date the | ||
State Commission becomes aware of the violation.
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In lieu of suspending or revoking a license, the | ||
commission may impose
a fine, upon the State commission's | ||
determination and notice after hearing,
that a licensee has | ||
violated any provision of this Act or any rule or
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regulation issued pursuant thereto and in effect for 30 | ||
days prior to such
violation. | ||
For the purpose of this paragraph (1), when determining | ||
multiple violations for the sale of alcohol to a person | ||
under the age of 21, a second or subsequent violation for | ||
the sale of alcohol to a person under the age of 21 shall | ||
only be considered if it was committed within 5 years after | ||
the date when a prior violation for the sale of alcohol to | ||
a person under the age of 21 was committed. | ||
The fine imposed under this paragraph may not exceed | ||
$500 for each
violation. Each day that the activity, which | ||
gave rise to the original fine,
continues is a separate | ||
violation. The maximum fine that may be levied against
any | ||
licensee, for the period of the license, shall not exceed |
$20,000.
The maximum penalty that may be imposed on a | ||
licensee for selling a bottle of
alcoholic liquor with a | ||
foreign object in it or serving from a bottle of
alcoholic | ||
liquor with a foreign object in it shall be the destruction | ||
of that
bottle of alcoholic liquor for the first 10 bottles | ||
so sold or served from by
the licensee. For the eleventh | ||
bottle of alcoholic liquor and for each third
bottle | ||
thereafter sold or served from by the licensee with a | ||
foreign object in
it, the maximum penalty that may be | ||
imposed on the licensee is the destruction
of the bottle of | ||
alcoholic liquor and a fine of up to $50.
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Any notice issued by the State Commission to a licensee | ||
for a violation of this Act or any notice with respect to | ||
settlement or offer in compromise shall include the field | ||
report, photographs, and any other supporting | ||
documentation necessary to reasonably inform the licensee | ||
of the nature and extent of the violation or the conduct | ||
alleged to have occurred. | ||
(2) To adopt such rules and regulations consistent with | ||
the
provisions of this Act which shall be necessary to | ||
carry on its
functions and duties to the end that the | ||
health, safety and welfare of
the People of the State of | ||
Illinois shall be protected and temperance in
the | ||
consumption of alcoholic liquors shall be fostered and | ||
promoted and
to distribute copies of such rules and | ||
regulations to all licensees
affected thereby.
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(3) To call upon other administrative departments of | ||
the State,
county and municipal governments, county and | ||
city police departments and
upon prosecuting officers for | ||
such information and assistance as it
deems necessary in | ||
the performance of its duties.
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(4) To recommend to local commissioners rules and | ||
regulations, not
inconsistent with the law, for the | ||
distribution and sale of alcoholic
liquors throughout the | ||
State.
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(5) To inspect, or cause to be inspected, any
premises | ||
in this State
where alcoholic liquors are manufactured, | ||
distributed, warehoused, or
sold. Nothing in this Act
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authorizes an agent of the Commission to inspect private
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areas within the premises without reasonable suspicion or a | ||
warrant
during an inspection. "Private areas" include, but | ||
are not limited to, safes, personal property, and closed | ||
desks.
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(5.1) Upon receipt of a complaint or upon having | ||
knowledge that any person
is engaged in business as a | ||
manufacturer, importing distributor, distributor,
or | ||
retailer without a license or valid license, to notify the | ||
local liquor
authority, file a complaint with the State's | ||
Attorney's Office of the county
where the incident | ||
occurred, or initiate an investigation with the | ||
appropriate
law enforcement officials.
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(5.2) To issue a cease and desist notice to persons |
shipping alcoholic
liquor
into this State from a point | ||
outside of this State if the shipment is in
violation of | ||
this Act.
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(5.3) To receive complaints from licensees, local | ||
officials, law
enforcement agencies, organizations, and | ||
persons stating that any licensee has
been or is violating | ||
any provision of this Act or the rules and regulations
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issued pursuant to this Act. Such complaints shall be in | ||
writing, signed and
sworn to by the person making the | ||
complaint, and shall state with specificity
the facts in | ||
relation to the alleged violation. If the Commission has
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reasonable grounds to believe that the complaint | ||
substantially alleges a
violation of this Act or rules and | ||
regulations adopted pursuant to this Act, it
shall conduct | ||
an investigation. If, after conducting an investigation, | ||
the
Commission is satisfied that the alleged violation did | ||
occur, it shall proceed
with disciplinary action against | ||
the licensee as provided in this Act.
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(6) To hear and determine appeals from orders of a | ||
local commission
in accordance with the provisions of this | ||
Act, as hereinafter set forth.
Hearings under this | ||
subsection shall be held in Springfield or Chicago,
at | ||
whichever location is the more convenient for the majority | ||
of persons
who are parties to the hearing.
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(7) The commission shall establish uniform systems of | ||
accounts to be
kept by all retail licensees having more |
than 4 employees, and for this
purpose the commission may | ||
classify all retail licensees having more
than 4 employees | ||
and establish a uniform system of accounts for each
class | ||
and prescribe the manner in which such accounts shall be | ||
kept.
The commission may also prescribe the forms of | ||
accounts to be kept by
all retail licensees having more | ||
than 4 employees, including but not
limited to accounts of | ||
earnings and expenses and any distribution,
payment, or | ||
other distribution of earnings or assets, and any other
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forms, records and memoranda which in the judgment of the | ||
commission may
be necessary or appropriate to carry out any | ||
of the provisions of this
Act, including but not limited to | ||
such forms, records and memoranda as
will readily and | ||
accurately disclose at all times the beneficial
ownership | ||
of such retail licensed business. The accounts, forms,
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records and memoranda shall be available at all reasonable | ||
times for
inspection by authorized representatives of the | ||
State commission or by
any local liquor control | ||
commissioner or his or her authorized representative.
The | ||
commission, may, from time to time, alter, amend or repeal, | ||
in whole
or in part, any uniform system of accounts, or the | ||
form and manner of
keeping accounts.
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(8) In the conduct of any hearing authorized to be held | ||
by the
commission, to appoint, at the commission's | ||
discretion, hearing officers
to conduct hearings involving | ||
complex issues or issues that will require a
protracted |
period of time to resolve, to examine, or cause to be | ||
examined,
under oath, any licensee, and to examine or cause | ||
to be examined the books and
records
of such licensee; to | ||
hear testimony and take proof material for its
information | ||
in the discharge of its duties hereunder; to administer or
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cause to be administered oaths; for any such purpose to | ||
issue
subpoena or subpoenas to require the attendance of | ||
witnesses and the
production of books, which shall be | ||
effective in any part of this State, and
to adopt rules to | ||
implement its powers under this paragraph (8).
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Any Circuit Court may by order duly entered,
require | ||
the attendance of witnesses and the production of relevant | ||
books
subpoenaed by the State commission and the court may | ||
compel
obedience to its order by proceedings for contempt.
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(9) To investigate the administration of laws in | ||
relation to
alcoholic liquors in this and other states and | ||
any foreign countries,
and to recommend from time to time | ||
to the Governor and through him or
her to the legislature | ||
of this State, such amendments to this Act, if any, as
it | ||
may think desirable and as will serve to further the | ||
general broad
purposes contained in Section 1-2 hereof.
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(10) To adopt such rules and regulations consistent | ||
with the
provisions of this Act which shall be necessary | ||
for the control, sale or
disposition of alcoholic liquor | ||
damaged as a result of an accident, wreck,
flood, fire or | ||
other similar occurrence.
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(11) To develop industry educational programs related | ||
to responsible
serving and selling, particularly in the | ||
areas of overserving consumers and
illegal underage | ||
purchasing and consumption of alcoholic beverages.
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(11.1) To license persons providing education and | ||
training to alcohol
beverage sellers and servers for | ||
mandatory and non-mandatory training under the
Beverage | ||
Alcohol Sellers and Servers
Education and Training | ||
(BASSET) programs and to develop and administer a public
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awareness program in Illinois to reduce or eliminate the | ||
illegal purchase and
consumption of alcoholic beverage | ||
products by persons under the age of 21.
Application for a | ||
license shall be made on forms provided by the State
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Commission.
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(12) To develop and maintain a repository of license | ||
and regulatory
information.
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(13) On or before January 15, 1994, the Commission | ||
shall issue
a written report to the Governor and General | ||
Assembly that is to be based on a
comprehensive study of | ||
the impact on and implications for the State of Illinois
of | ||
Section 1926 of the federal ADAMHA Reorganization Act of | ||
1992 (Public Law
102-321). This study shall address the | ||
extent to which Illinois currently
complies with the | ||
provisions of P.L. 102-321 and the rules promulgated | ||
pursuant
thereto.
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As part of its report, the Commission shall provide the |
following essential
information:
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(i) the number of retail distributors of tobacco | ||
products, by type and
geographic area, in the State;
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(ii) the number of reported citations and | ||
successful convictions,
categorized by type and | ||
location of retail distributor, for violation of the
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Prevention of Tobacco Use by Minors and Sale and | ||
Distribution of Tobacco Products Act and the Smokeless
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Tobacco Limitation Act;
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(iii) the extent and nature of organized | ||
educational and governmental
activities that are | ||
intended to promote, encourage or otherwise secure
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compliance with any Illinois laws that prohibit the | ||
sale or distribution of
tobacco products to minors; and
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(iv) the level of access and availability of | ||
tobacco products to
individuals under the age of 18.
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To obtain the data necessary to comply with the | ||
provisions of P.L. 102-321
and the requirements of this | ||
report, the Commission shall conduct random,
unannounced | ||
inspections of a geographically and scientifically | ||
representative
sample of the State's retail tobacco | ||
distributors.
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The Commission shall consult with the Department of | ||
Public Health, the
Department of Human Services, the
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Illinois State Police and any
other executive branch | ||
agency, and private organizations that may have
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information relevant to this report.
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The Commission may contract with the Food and Drug | ||
Administration of the
U.S. Department of Health and Human | ||
Services to conduct unannounced
investigations of Illinois | ||
tobacco vendors to determine compliance with federal
laws | ||
relating to the illegal sale of cigarettes and smokeless | ||
tobacco products
to persons under the age of 18.
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(14) On or before April 30, 2008 and every 2 years
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thereafter, the Commission shall present a written
report | ||
to the Governor and the General Assembly that shall
be | ||
based on a study of the impact of Public Act 95-634 on the | ||
business of soliciting,
selling, and shipping wine from | ||
inside and outside of this
State directly to residents of | ||
this State. As part of its
report, the Commission shall | ||
provide all of the
following information: | ||
(A) The amount of State excise and sales tax
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revenues generated. | ||
(B) The amount of licensing fees received. | ||
(C) The number of cases of wine shipped from inside
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and outside of this State directly to residents of this
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State. | ||
(D) The number of alcohol compliance operations
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conducted. | ||
(E) The number of winery shipper's licenses
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issued. | ||
(F) The number of each of the following: reported
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violations; cease and desist notices issued by the
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Commission; notices of violations issued by
the | ||
Commission and to the Department of Revenue;
and | ||
notices and complaints of violations to law
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enforcement officials, including, without limitation,
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the Illinois Attorney General and the U.S. Department
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of Treasury's Alcohol and Tobacco Tax and Trade Bureau. | ||
(15) As a means to reduce the underage consumption of
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alcoholic liquors, the Commission shall conduct
alcohol | ||
compliance operations to investigate whether
businesses | ||
that are soliciting, selling, and shipping wine
from inside | ||
or outside of this State directly to residents
of this | ||
State are licensed by this State or are selling or
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attempting to sell wine to persons under 21 years of age in
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violation of this Act. | ||
(16) The Commission shall, in addition to
notifying any | ||
appropriate law enforcement agency, submit
notices of | ||
complaints or violations of Sections 6-29 and
6-29.1 by | ||
persons who do not hold a winery shipper's
license under | ||
this Act to the Illinois Attorney General and
to the U.S. | ||
Department of Treasury's Alcohol and Tobacco Tax and Trade | ||
Bureau. | ||
(17)(A) A person licensed to make wine under the laws | ||
of another state who has a winery shipper's license under | ||
this Act and annually produces less than 25,000 gallons of | ||
wine or a person who has a first-class or second-class wine |
manufacturer's license, a first-class or second-class | ||
wine-maker's license, or a limited wine manufacturer's | ||
license under this Act and annually produces less than | ||
25,000 gallons of wine may make application to the | ||
Commission for a self-distribution exemption to allow the | ||
sale of not more than 5,000 gallons of the exemption | ||
holder's wine to retail licensees per year. | ||
(B) In the application, which shall be sworn under | ||
penalty of perjury, such person shall state (1) the date it | ||
was established; (2) its volume of production and sales for | ||
each year since its establishment; (3) its efforts to | ||
establish distributor relationships; (4) that a | ||
self-distribution exemption is necessary to facilitate the | ||
marketing of its wine; and (5) that it will comply with the | ||
liquor and revenue laws of the United States, this State, | ||
and any other state where it is licensed. | ||
(C) The Commission shall approve the application for a | ||
self-distribution exemption if such person: (1) is in | ||
compliance with State revenue and liquor laws; (2) is not a | ||
member of any affiliated group that produces more than | ||
25,000 gallons of wine per annum or produces any other | ||
alcoholic liquor; (3) will not annually produce for sale | ||
more than 25,000 gallons of wine; and (4) will not annually | ||
sell more than 5,000 gallons of its wine to retail | ||
licensees. | ||
(D) A self-distribution exemption holder shall |
annually certify to the Commission its production of wine | ||
in the previous 12 months and its anticipated production | ||
and sales for the next 12 months. The Commission may fine, | ||
suspend, or revoke a self-distribution exemption after a | ||
hearing if it finds that the exemption holder has made a | ||
material misrepresentation in its application, violated a | ||
revenue or liquor law of Illinois, exceeded production of | ||
25,000 gallons of wine in any calendar year, or become part | ||
of an affiliated group producing more than 25,000 gallons | ||
of wine or any other alcoholic liquor. | ||
(E) Except in hearings for violations of this Act or | ||
Public Act 95-634 or a bona fide investigation by duly | ||
sworn law enforcement officials, the Commission, or its | ||
agents, the Commission shall maintain the production and | ||
sales information of a self-distribution exemption holder | ||
as confidential and shall not release such information to | ||
any person. | ||
(F) The Commission shall issue regulations governing | ||
self-distribution exemptions consistent with this Section | ||
and this Act. | ||
(G) Nothing in this subsection (17) shall prohibit a | ||
self-distribution exemption holder from entering into or | ||
simultaneously having a distribution agreement with a | ||
licensed Illinois distributor. | ||
(H) It is the intent of this subsection (17) to promote | ||
and continue orderly markets. The General Assembly finds |
that in order to preserve Illinois' regulatory | ||
distribution system it is necessary to create an exception | ||
for smaller makers of wine as their wines are frequently | ||
adjusted in varietals, mixes, vintages, and taste to find | ||
and create market niches sometimes too small for | ||
distributor or importing distributor business strategies. | ||
Limited self-distribution rights will afford and allow | ||
smaller makers of wine access to the marketplace in order | ||
to develop a customer base without impairing the integrity | ||
of the 3-tier system.
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(18)(A) A class 1 brewer licensee, who must also be | ||
either a licensed brewer or licensed non-resident dealer | ||
and annually manufacture less than 930,000 gallons of beer, | ||
may make application to the State Commission for a | ||
self-distribution exemption to allow the sale of not more | ||
than 232,500 gallons of the exemption holder's beer per | ||
year to retail licensees and to brewers, class 1 brewers, | ||
and class 2 brewers that, pursuant to subsection (e) of | ||
Section 6-4 of this Act, sell beer, cider, or both beer and | ||
cider to non-licensees at their breweries per year . | ||
(B) In the application, which shall be sworn under | ||
penalty of perjury, the class 1 brewer licensee shall state | ||
(1) the date it was established; (2) its volume of beer | ||
manufactured and sold for each year since its | ||
establishment; (3) its efforts to establish distributor | ||
relationships; (4) that a self-distribution exemption is |
necessary to facilitate the marketing of its beer; and (5) | ||
that it will comply with the alcoholic beverage and revenue | ||
laws of the United States, this State, and any other state | ||
where it is licensed. | ||
(C) Any application submitted shall be posted on the | ||
State Commission's website at least 45 days prior to action | ||
by the State Commission. The State Commission shall approve | ||
the application for a self-distribution exemption if the | ||
class 1 brewer licensee: (1) is in compliance with the | ||
State, revenue, and alcoholic beverage laws; (2) is not a | ||
member of any affiliated group that manufactures more than | ||
930,000 gallons of beer per annum or produces any other | ||
alcoholic beverages; (3) shall not annually manufacture | ||
for sale more than 930,000 gallons of beer; (4) shall not | ||
annually sell more than 232,500 gallons of its beer to | ||
retail licensees or to brewers, class 1 brewers, and class | ||
2 brewers that, pursuant to subsection (e) of Section 6-4 | ||
of this Act, sell beer, cider, or both beer and cider to | ||
non-licensees at their breweries ; and (5) has relinquished | ||
any brew pub license held by the licensee, including any | ||
ownership interest it held in the licensed brew pub. | ||
(D) A self-distribution exemption holder shall | ||
annually certify to the State Commission its manufacture of | ||
beer during the previous 12 months and its anticipated | ||
manufacture and sales of beer for the next 12 months. The | ||
State Commission may fine, suspend, or revoke a |
self-distribution exemption after a hearing if it finds | ||
that the exemption holder has made a material | ||
misrepresentation in its application, violated a revenue | ||
or alcoholic beverage law of Illinois, exceeded the | ||
manufacture of 930,000 gallons of beer in any calendar year | ||
or became part of an affiliated group manufacturing more | ||
than 930,000 gallons of beer or any other alcoholic | ||
beverage. | ||
(E) The State Commission shall issue rules and | ||
regulations governing self-distribution exemptions | ||
consistent with this Act. | ||
(F) Nothing in this paragraph (18) shall prohibit a | ||
self-distribution exemption holder from entering into or | ||
simultaneously having a distribution agreement with a | ||
licensed Illinois importing distributor or a distributor. | ||
If a self-distribution exemption holder enters into a | ||
distribution agreement and has assigned distribution | ||
rights to an importing distributor or distributor, then the | ||
self-distribution exemption holder's distribution rights | ||
in the assigned territories shall cease in a reasonable | ||
time not to exceed 60 days. | ||
(G) It is the intent of this paragraph (18) to promote | ||
and continue orderly markets. The General Assembly finds | ||
that in order to preserve Illinois' regulatory | ||
distribution system, it is necessary to create an exception | ||
for smaller manufacturers in order to afford and allow such |
smaller manufacturers of beer access to the marketplace in | ||
order to develop a customer base without impairing the | ||
integrity of the 3-tier system. | ||
(b) On or before April 30, 1999, the Commission shall | ||
present a written
report to the Governor and the General | ||
Assembly that shall be based on a study
of the impact of Public | ||
Act 90-739 on the business of soliciting,
selling, and shipping
| ||
alcoholic liquor from outside of this State directly to | ||
residents of this
State.
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As part of its report, the Commission shall provide the | ||
following
information:
| ||
(i) the amount of State excise and sales tax revenues | ||
generated as a
result of Public Act 90-739;
| ||
(ii) the amount of licensing fees received as a result | ||
of Public Act 90-739;
| ||
(iii) the number of reported violations, the number of | ||
cease and desist
notices issued by the Commission, the | ||
number of notices of violations issued
to the Department of | ||
Revenue, and the number of notices and complaints of
| ||
violations to law enforcement officials.
| ||
(Source: P.A. 99-78, eff. 7-20-15; 99-448, eff. 8-24-15; | ||
100-134, eff. 8-18-17; 100-201, eff. 8-18-17.) | ||
(235 ILCS 5/5-1) (from Ch. 43, par. 115) | ||
Sec. 5-1. Licenses issued by the Illinois Liquor Control | ||
Commission
shall be of the following classes: |
(a) Manufacturer's license - Class 1.
Distiller, Class 2. | ||
Rectifier, Class 3. Brewer, Class 4. First Class Wine
| ||
Manufacturer, Class 5. Second Class Wine Manufacturer,
Class 6. | ||
First Class Winemaker, Class 7. Second Class Winemaker, Class | ||
8.
Limited Wine Manufacturer, Class 9. Craft Distiller, Class | ||
10. Class 1 Brewer, Class 11. Class 2 Brewer, | ||
(b) Distributor's license, | ||
(c) Importing Distributor's license, | ||
(d) Retailer's license, | ||
(e) Special Event Retailer's license (not-for-profit), | ||
(f) Railroad license, | ||
(g) Boat license, | ||
(h) Non-Beverage User's license, | ||
(i) Wine-maker's premises license, | ||
(j) Airplane license, | ||
(k) Foreign importer's license, | ||
(l) Broker's license, | ||
(m) Non-resident dealer's
license, | ||
(n) Brew Pub license, | ||
(o) Auction liquor license, | ||
(p) Caterer retailer license, | ||
(q) Special use permit license, | ||
(r) Winery shipper's license, | ||
(s) Craft distiller tasting permit , . | ||
(t) Brewer warehouse permit. | ||
No
person, firm, partnership, corporation, or other legal |
business entity that is
engaged in the manufacturing of wine | ||
may concurrently obtain and hold a
wine-maker's license and a | ||
wine manufacturer's license. | ||
(a) A manufacturer's license shall allow the manufacture,
| ||
importation in bulk, storage, distribution and sale of | ||
alcoholic liquor
to persons without the State, as may be | ||
permitted by law and to licensees
in this State as follows: | ||
Class 1. A Distiller may make sales and deliveries of | ||
alcoholic liquor to
distillers, rectifiers, importing | ||
distributors, distributors and
non-beverage users and to no | ||
other licensees. | ||
Class 2. A Rectifier, who is not a distiller, as defined | ||
herein, may make
sales and deliveries of alcoholic liquor to | ||
rectifiers, importing distributors,
distributors, retailers | ||
and non-beverage users and to no other licensees. | ||
Class 3. A Brewer may make sales and deliveries of beer to | ||
importing
distributors and distributors and may make sales as | ||
authorized under subsection (e) of Section 6-4 of this Act. | ||
Class 4. A first class wine-manufacturer may make sales and | ||
deliveries of
up to 50,000 gallons of wine to manufacturers,
| ||
importing
distributors and distributors, and to no other | ||
licensees. | ||
Class 5. A second class Wine manufacturer may make sales | ||
and deliveries
of more than 50,000 gallons of wine to | ||
manufacturers, importing distributors
and distributors and to | ||
no other licensees. |
Class 6. A first-class wine-maker's license shall allow the | ||
manufacture
of up to 50,000 gallons of wine per year, and the
| ||
storage
and sale of such
wine to distributors in the State and | ||
to persons without the
State, as may be permitted by law. A | ||
person who, prior to June 1, 2008 (the effective date of Public | ||
Act 95-634), is a holder of a first-class wine-maker's license | ||
and annually produces more than 25,000 gallons of its own wine | ||
and who distributes its wine to licensed retailers shall cease | ||
this practice on or before July 1, 2008 in compliance with | ||
Public Act 95-634. | ||
Class 7. A second-class wine-maker's license shall allow | ||
the manufacture
of between 50,000 and 150,000 gallons of wine | ||
per year, and
the
storage and sale of such wine
to distributors | ||
in this State and to persons without the State, as may be
| ||
permitted by law. A person who, prior to June 1, 2008 (the | ||
effective date of Public Act 95-634), is a holder of a | ||
second-class wine-maker's license and annually produces more | ||
than 25,000 gallons of its own wine and who distributes its | ||
wine to licensed retailers shall cease this practice on or | ||
before July 1, 2008 in compliance with Public Act 95-634. | ||
Class 8. A limited wine-manufacturer may make sales and | ||
deliveries not to
exceed 40,000 gallons of wine per year to | ||
distributors, and to
non-licensees in accordance with the | ||
provisions of this Act. | ||
Class 9. A craft distiller license shall allow the | ||
manufacture of up to 100,000 gallons of spirits by distillation |
per year and the storage of such spirits. If a craft distiller | ||
licensee, including a craft distiller licensee who holds more | ||
than one craft distiller license, is not affiliated with any | ||
other manufacturer of spirits, then the craft distiller | ||
licensee may sell such spirits to distributors in this State | ||
and up to 2,500 gallons of such spirits to non-licensees to the | ||
extent permitted by any exemption approved by the Commission | ||
pursuant to Section 6-4 of this Act. A craft distiller license | ||
holder may store such spirits at a non-contiguous licensed | ||
location, but at no time shall a craft distiller license holder | ||
directly or indirectly produce in the aggregate more than | ||
100,000 gallons of spirits per year. | ||
A craft distiller licensee may hold more than one craft | ||
distiller's license. However, a craft distiller that holds more | ||
than one craft distiller license shall not manufacture, in the | ||
aggregate, more than 100,000 gallons of spirits by distillation | ||
per year and shall not sell, in the aggregate, more than 2,500 | ||
gallons of such spirits to non-licensees in accordance with an | ||
exemption approved by the State Commission pursuant to Section | ||
6-4 of this Act. | ||
Any craft distiller licensed under this Act who on July 28, | ||
2010 (the effective date of Public Act 96-1367) was licensed as | ||
a distiller and manufactured no more spirits than permitted by | ||
this Section shall not be required to pay the initial licensing | ||
fee. | ||
Class 10. A class 1 brewer license, which may only be |
issued to a licensed brewer or licensed non-resident dealer, | ||
shall allow the manufacture of up to 930,000 gallons of beer | ||
per year provided that the class 1 brewer licensee does not | ||
manufacture more than a combined 930,000 gallons of beer per | ||
year and is not a member of or affiliated with, directly or | ||
indirectly, a manufacturer that produces more than 930,000 | ||
gallons of beer per year or any other alcoholic liquor. A class | ||
1 brewer licensee may make sales and deliveries to importing | ||
distributors and distributors and to retail licensees in | ||
accordance with the conditions set forth in paragraph (18) of | ||
subsection (a) of Section 3-12 of this Act. If the State | ||
Commission provides prior approval, a class 1 brewer may | ||
annually transfer up to 930,000 gallons of beer manufactured by | ||
that class 1 brewer to the premises of a licensed class 1 | ||
brewer wholly owned and operated by the same licensee. | ||
Class 11. A class 2 brewer license, which may only be | ||
issued to a licensed brewer or licensed non-resident dealer, | ||
shall allow the manufacture of up to 3,720,000 gallons of beer | ||
per year provided that the class 2 brewer licensee does not | ||
manufacture more than a combined 3,720,000 gallons of beer per | ||
year and is not a member of or affiliated with, directly or | ||
indirectly, a manufacturer that produces more than 3,720,000 | ||
gallons of beer per year or any other alcoholic liquor. A class | ||
2 brewer licensee may make sales and deliveries to importing | ||
distributors and distributors, but shall not make sales or | ||
deliveries to any other licensee. If the State Commission |
provides prior approval, a class 2 brewer licensee may annually | ||
transfer up to 3,720,000 gallons of beer manufactured by that | ||
class 2 brewer licensee to the premises of a licensed class 2 | ||
brewer wholly owned and operated by the same licensee. | ||
A class 2 brewer may transfer beer to a brew pub wholly | ||
owned and operated by the class 2 brewer subject to the | ||
following limitations and restrictions: (i) the transfer shall | ||
not annually exceed more than 31,000 gallons; (ii) the annual | ||
amount transferred shall reduce the brew pub's annual permitted | ||
production limit; (iii) all beer transferred shall be subject | ||
to Article VIII of this Act; (iv) a written record shall be | ||
maintained by the brewer and brew pub specifying the amount, | ||
date of delivery, and receipt of the product by the brew pub; | ||
and (v) the brew pub shall be located no farther than 80 miles | ||
from the class 2 brewer's licensed location. | ||
A class 2 brewer shall, prior to transferring beer to a | ||
brew pub wholly owned by the class 2 brewer, furnish a written | ||
notice to the State Commission of intent to transfer beer | ||
setting forth the name and address of the brew pub and shall | ||
annually submit to the State Commission a verified report | ||
identifying the total gallons of beer transferred to the brew | ||
pub wholly owned by the class 2 brewer. | ||
(a-1) A manufacturer which is licensed in this State to | ||
make sales or
deliveries of alcoholic liquor to licensed | ||
distributors or importing distributors and which enlists | ||
agents, representatives, or
individuals acting on its behalf |
who contact licensed retailers on a regular
and continual basis | ||
in this State must register those agents, representatives,
or | ||
persons acting on its behalf with the State Commission. | ||
Registration of agents, representatives, or persons acting | ||
on behalf of a
manufacturer is fulfilled by submitting a form | ||
to the Commission. The form
shall be developed by the | ||
Commission and shall include the name and address of
the | ||
applicant, the name and address of the manufacturer he or she | ||
represents,
the territory or areas assigned to sell to or | ||
discuss pricing terms of
alcoholic liquor, and any other | ||
questions deemed appropriate and necessary.
All statements in | ||
the forms required to be made by law or by rule shall be
deemed | ||
material, and any person who knowingly misstates any material | ||
fact under
oath in an application is guilty of a Class B | ||
misdemeanor. Fraud,
misrepresentation, false statements, | ||
misleading statements, evasions, or
suppression of material | ||
facts in the securing of a registration are grounds for
| ||
suspension or revocation of the registration. The State | ||
Commission shall post a list of registered agents on the | ||
Commission's website. | ||
(b) A distributor's license shall allow the wholesale | ||
purchase and storage
of alcoholic liquors and sale of alcoholic | ||
liquors to licensees in this State and to persons without the | ||
State, as may be permitted by law , and the sale of beer, cider, | ||
or both beer and cider to brewers, class 1 brewers, and class 2 | ||
brewers that, pursuant to subsection (e) of Section 6-4 of this |
Act, sell beer, cider, or both beer and cider to non-licensees | ||
at their breweries . No person licensed as a distributor shall | ||
be granted a non-resident dealer's license. | ||
(c) An importing distributor's license may be issued to and | ||
held by
those only who are duly licensed distributors, upon the | ||
filing of an
application by a duly licensed distributor, with | ||
the Commission and
the Commission shall, without the
payment of | ||
any fee, immediately issue such importing distributor's
| ||
license to the applicant, which shall allow the importation of | ||
alcoholic
liquor by the licensee into this State from any point | ||
in the United
States outside this State, and the purchase of | ||
alcoholic liquor in
barrels, casks or other bulk containers and | ||
the bottling of such
alcoholic liquors before resale thereof, | ||
but all bottles or containers
so filled shall be sealed, | ||
labeled, stamped and otherwise made to comply
with all | ||
provisions, rules and regulations governing manufacturers in
| ||
the preparation and bottling of alcoholic liquors. The | ||
importing
distributor's license shall permit such licensee to | ||
purchase alcoholic
liquor from Illinois licensed non-resident | ||
dealers and foreign importers only. No person licensed as an | ||
importing distributor shall be granted a non-resident dealer's | ||
license. | ||
(d) A retailer's license shall allow the licensee to sell | ||
and offer
for sale at retail, only in the premises specified in | ||
the license,
alcoholic liquor for use or consumption, but not | ||
for resale in any form. Nothing in Public Act 95-634 shall |
deny, limit, remove, or restrict the ability of a holder of a | ||
retailer's license to transfer, deliver, or ship alcoholic | ||
liquor to the purchaser for use or consumption subject to any | ||
applicable local law or ordinance. Any retail license issued to | ||
a manufacturer shall only
permit the manufacturer to sell beer | ||
at retail on the premises actually
occupied by the | ||
manufacturer. For the purpose of further describing the type of | ||
business conducted at a retail licensed premises, a retailer's | ||
licensee may be designated by the State Commission as (i) an on | ||
premise consumption retailer, (ii) an off premise sale | ||
retailer, or (iii) a combined on premise consumption and off | ||
premise sale retailer.
| ||
Notwithstanding any other provision of this subsection | ||
(d), a retail
licensee may sell alcoholic liquors to a special | ||
event retailer licensee for
resale to the extent permitted | ||
under subsection (e). | ||
(e) A special event retailer's license (not-for-profit) | ||
shall permit the
licensee to purchase alcoholic liquors from an | ||
Illinois licensed distributor
(unless the licensee purchases | ||
less than $500 of alcoholic liquors for the
special event, in | ||
which case the licensee may purchase the alcoholic liquors
from | ||
a licensed retailer) and shall allow the licensee to sell and | ||
offer for
sale, at retail, alcoholic liquors for use or | ||
consumption, but not for resale
in any form and only at the | ||
location and on the specific dates designated for
the special | ||
event in the license. An applicant for a special event retailer
|
license must
(i) furnish with the application: (A) a resale | ||
number issued under Section
2c of the Retailers' Occupation Tax | ||
Act or evidence that the applicant is
registered under Section | ||
2a of the Retailers' Occupation Tax Act, (B) a
current, valid | ||
exemption identification
number issued under Section 1g of the | ||
Retailers' Occupation Tax Act, and a
certification to the | ||
Commission that the purchase of alcoholic liquors will be
a | ||
tax-exempt purchase, or (C) a statement that the applicant is | ||
not registered
under Section 2a of the Retailers' Occupation | ||
Tax Act, does not hold a resale
number under Section 2c of the | ||
Retailers' Occupation Tax Act, and does not
hold an exemption | ||
number under Section 1g of the Retailers' Occupation Tax
Act, | ||
in which event the Commission shall set forth on the special | ||
event
retailer's license a statement to that effect; (ii) | ||
submit with the application proof satisfactory to
the State | ||
Commission that the applicant will provide dram shop liability
| ||
insurance in the maximum limits; and (iii) show proof | ||
satisfactory to the
State Commission that the applicant has | ||
obtained local authority
approval. | ||
(f) A railroad license shall permit the licensee to import | ||
alcoholic
liquors into this State from any point in the United | ||
States outside this
State and to store such alcoholic liquors | ||
in this State; to make wholesale
purchases of alcoholic liquors | ||
directly from manufacturers, foreign
importers, distributors | ||
and importing distributors from within or outside
this State; | ||
and to store such alcoholic liquors in this State; provided
|
that the above powers may be exercised only in connection with | ||
the
importation, purchase or storage of alcoholic liquors to be | ||
sold or
dispensed on a club, buffet, lounge or dining car | ||
operated on an electric,
gas or steam railway in this State; | ||
and provided further, that railroad
licensees exercising the | ||
above powers shall be subject to all provisions of
Article VIII | ||
of this Act as applied to importing distributors. A railroad
| ||
license shall also permit the licensee to sell or dispense | ||
alcoholic
liquors on any club, buffet, lounge or dining car | ||
operated on an electric,
gas or steam railway regularly | ||
operated by a common carrier in this State,
but shall not | ||
permit the sale for resale of any alcoholic liquors to any
| ||
licensee within this State. A license shall be obtained for | ||
each car in which
such sales are made. | ||
(g) A boat license shall allow the sale of alcoholic liquor | ||
in
individual drinks, on any passenger boat regularly operated | ||
as a common
carrier on navigable waters in this State or on any | ||
riverboat operated
under
the Riverboat Gambling Act, which boat | ||
or riverboat maintains a public
dining room or restaurant | ||
thereon. | ||
(h) A non-beverage user's license shall allow the licensee | ||
to
purchase alcoholic liquor from a licensed manufacturer or | ||
importing
distributor, without the imposition of any tax upon | ||
the business of such
licensed manufacturer or importing | ||
distributor as to such alcoholic
liquor to be used by such | ||
licensee solely for the non-beverage purposes
set forth in |
subsection (a) of Section 8-1 of this Act, and
such licenses | ||
shall be divided and classified and shall permit the
purchase, | ||
possession and use of limited and stated quantities of
| ||
alcoholic liquor as follows: | ||
Class 1, not to exceed ......................... 500 gallons
| ||
Class 2, not to exceed ....................... 1,000 gallons
| ||
Class 3, not to exceed ....................... 5,000 gallons
| ||
Class 4, not to exceed ...................... 10,000 gallons
| ||
Class 5, not to exceed ....................... 50,000 gallons | ||
(i) A wine-maker's premises license shall allow a
licensee | ||
that concurrently holds a first-class wine-maker's license to | ||
sell
and offer for sale at retail in the premises specified in | ||
such license
not more than 50,000 gallons of the first-class | ||
wine-maker's wine that is
made at the first-class wine-maker's | ||
licensed premises per year for use or
consumption, but not for | ||
resale in any form. A wine-maker's premises
license shall allow | ||
a licensee who concurrently holds a second-class
wine-maker's | ||
license to sell and offer for sale at retail in the premises
| ||
specified in such license up to 100,000 gallons of the
| ||
second-class wine-maker's wine that is made at the second-class | ||
wine-maker's
licensed premises per year
for use or consumption | ||
but not for resale in any form. A wine-maker's premises license | ||
shall allow a
licensee that concurrently holds a first-class | ||
wine-maker's license or a second-class
wine-maker's license to | ||
sell
and offer for sale at retail at the premises specified in | ||
the wine-maker's premises license, for use or consumption but |
not for resale in any form, any beer, wine, and spirits | ||
purchased from a licensed distributor. Upon approval from the
| ||
State Commission, a wine-maker's premises license
shall allow | ||
the licensee to sell and offer for sale at (i) the wine-maker's
| ||
licensed premises and (ii) at up to 2 additional locations for | ||
use and
consumption and not for resale. Each location shall | ||
require additional
licensing per location as specified in | ||
Section 5-3 of this Act. A wine-maker's premises licensee shall
| ||
secure liquor liability insurance coverage in an amount at
| ||
least equal to the maximum liability amounts set forth in
| ||
subsection (a) of Section 6-21 of this Act.
| ||
(j) An airplane license shall permit the licensee to import
| ||
alcoholic liquors into this State from any point in the United | ||
States
outside this State and to store such alcoholic liquors | ||
in this State; to
make wholesale purchases of alcoholic liquors | ||
directly from
manufacturers, foreign importers, distributors | ||
and importing
distributors from within or outside this State; | ||
and to store such
alcoholic liquors in this State; provided | ||
that the above powers may be
exercised only in connection with | ||
the importation, purchase or storage
of alcoholic liquors to be | ||
sold or dispensed on an airplane; and
provided further, that | ||
airplane licensees exercising the above powers
shall be subject | ||
to all provisions of Article VIII of this Act as
applied to | ||
importing distributors. An airplane licensee shall also
permit | ||
the sale or dispensing of alcoholic liquors on any passenger
| ||
airplane regularly operated by a common carrier in this State, |
but shall
not permit the sale for resale of any alcoholic | ||
liquors to any licensee
within this State. A single airplane | ||
license shall be required of an
airline company if liquor | ||
service is provided on board aircraft in this
State. The annual | ||
fee for such license shall be as determined in
Section 5-3. | ||
(k) A foreign importer's license shall permit such licensee | ||
to purchase
alcoholic liquor from Illinois licensed | ||
non-resident dealers only, and to
import alcoholic liquor other | ||
than in bulk from any point outside the
United States and to | ||
sell such alcoholic liquor to Illinois licensed
importing | ||
distributors and to no one else in Illinois;
provided that (i) | ||
the foreign importer registers with the State Commission
every
| ||
brand of
alcoholic liquor that it proposes to sell to Illinois | ||
licensees during the
license period, (ii) the foreign importer | ||
complies with all of the provisions
of Section
6-9 of this Act | ||
with respect to registration of such Illinois licensees as may
| ||
be granted the
right to sell such brands at wholesale, and | ||
(iii) the foreign importer complies with the provisions of | ||
Sections 6-5 and 6-6 of this Act to the same extent that these | ||
provisions apply to manufacturers. | ||
(l) (i) A broker's license shall be required of all persons
| ||
who solicit
orders for, offer to sell or offer to supply | ||
alcoholic liquor to
retailers in the State of Illinois, or who | ||
offer to retailers to ship or
cause to be shipped or to make | ||
contact with distillers, rectifiers,
brewers or manufacturers | ||
or any other party within or without the State
of Illinois in |
order that alcoholic liquors be shipped to a distributor,
| ||
importing distributor or foreign importer, whether such | ||
solicitation or
offer is consummated within or without the | ||
State of Illinois. | ||
No holder of a retailer's license issued by the Illinois | ||
Liquor
Control Commission shall purchase or receive any | ||
alcoholic liquor, the
order for which was solicited or offered | ||
for sale to such retailer by a
broker unless the broker is the | ||
holder of a valid broker's license. | ||
The broker shall, upon the acceptance by a retailer of the | ||
broker's
solicitation of an order or offer to sell or supply or | ||
deliver or have
delivered alcoholic liquors, promptly forward | ||
to the Illinois Liquor
Control Commission a notification of | ||
said transaction in such form as
the Commission may by | ||
regulations prescribe. | ||
(ii) A broker's license shall be required of
a person | ||
within this State, other than a retail licensee,
who, for a fee | ||
or commission, promotes, solicits, or accepts orders for
| ||
alcoholic liquor, for use or consumption and not for
resale, to | ||
be shipped from this State and delivered to residents outside | ||
of
this State by an express company, common carrier, or | ||
contract carrier.
This Section does not apply to any person who | ||
promotes, solicits, or accepts
orders for wine as specifically | ||
authorized in Section 6-29 of this Act. | ||
A broker's license under this subsection (l)
shall not | ||
entitle the holder to
buy or sell any
alcoholic liquors for his |
own account or to take or deliver title to
such alcoholic | ||
liquors. | ||
This subsection (l)
shall not apply to distributors, | ||
employees of
distributors, or employees of a manufacturer who | ||
has registered the
trademark, brand or name of the alcoholic | ||
liquor pursuant to Section 6-9
of this Act, and who regularly | ||
sells such alcoholic liquor
in the State of Illinois only to | ||
its registrants thereunder. | ||
Any agent, representative, or person subject to | ||
registration pursuant to
subsection (a-1) of this Section shall | ||
not be eligible to receive a broker's
license. | ||
(m) A non-resident dealer's license shall permit such | ||
licensee to ship
into and warehouse alcoholic liquor into this | ||
State from any point
outside of this State, and to sell such | ||
alcoholic liquor to Illinois licensed
foreign importers and | ||
importing distributors and to no one else in this State;
| ||
provided that (i) said non-resident dealer shall register with | ||
the Illinois Liquor
Control Commission each and every brand of | ||
alcoholic liquor which it proposes
to sell to Illinois | ||
licensees during the license period, (ii) it shall comply with | ||
all of the provisions of Section 6-9 hereof with
respect to | ||
registration of such Illinois licensees as may be granted the | ||
right
to sell such brands at wholesale, and (iii) the | ||
non-resident dealer shall comply with the provisions of | ||
Sections 6-5 and 6-6 of this Act to the same extent that these | ||
provisions apply to manufacturers. No person licensed as a |
non-resident dealer shall be granted a distributor's or | ||
importing distributor's license. | ||
(n) A brew pub license shall allow the licensee to only (i) | ||
manufacture up to 155,000 gallons of beer per year only
on the | ||
premises specified in the license, (ii) make sales of the
beer | ||
manufactured on the premises or, with the approval of the | ||
Commission, beer manufactured on another brew pub licensed | ||
premises that is wholly owned and operated by the same licensee | ||
to importing distributors, distributors,
and to non-licensees | ||
for use and consumption, (iii) store the beer upon
the | ||
premises, (iv) sell and offer for sale at retail from the | ||
licensed
premises for off-premises
consumption no more than | ||
155,000 gallons per year so long as such sales are only made | ||
in-person, (v) sell and offer for sale at retail for use and | ||
consumption on the premises specified in the license any form | ||
of alcoholic liquor purchased from a licensed distributor or | ||
importing distributor, and (vi) with the prior approval of the | ||
Commission, annually transfer no more than 155,000 gallons of | ||
beer manufactured on the premises to a licensed brew pub wholly | ||
owned and operated by the same licensee. | ||
A brew pub licensee shall not under any circumstance sell | ||
or offer for sale beer manufactured by the brew pub licensee to | ||
retail licensees. | ||
A person who holds a class 2 brewer license may | ||
simultaneously hold a brew pub license if the class 2 brewer | ||
(i) does not, under any circumstance, sell or offer for sale |
beer manufactured by the class 2 brewer to retail licensees; | ||
(ii) does not hold more than 3 brew pub licenses in this State; | ||
(iii) does not manufacture more than a combined 3,720,000 | ||
gallons of beer per year, including the beer manufactured at | ||
the brew pub; and (iv) is not a member of or affiliated with, | ||
directly or indirectly, a manufacturer that produces more than | ||
3,720,000 gallons of beer per year or any other alcoholic | ||
liquor. | ||
Notwithstanding any other provision of this Act, a licensed | ||
brewer, class 2 brewer, or non-resident dealer who before July | ||
1, 2015 manufactured less than 3,720,000 gallons of beer per | ||
year and held a brew pub license on or before July 1, 2015 may | ||
(i) continue to qualify for and hold that brew pub license for | ||
the licensed premises and (ii) manufacture more than 3,720,000 | ||
gallons of beer per year and continue to qualify for and hold | ||
that brew pub license if that brewer, class 2 brewer, or | ||
non-resident dealer does not simultaneously hold a class 1 | ||
brewer license and is not a member of or affiliated with, | ||
directly or indirectly, a manufacturer that produces more than | ||
3,720,000 gallons of beer per year or that produces any other | ||
alcoholic liquor. | ||
(o) A caterer retailer license shall allow the holder
to | ||
serve alcoholic liquors as an incidental part of a food service | ||
that serves
prepared meals which excludes the serving of snacks | ||
as
the primary meal, either on or off-site whether licensed or | ||
unlicensed. |
(p) An auction liquor license shall allow the licensee to | ||
sell and offer
for sale at auction wine and spirits for use or | ||
consumption, or for resale by
an Illinois liquor licensee in | ||
accordance with provisions of this Act. An
auction liquor | ||
license will be issued to a person and it will permit the
| ||
auction liquor licensee to hold the auction anywhere in the | ||
State. An auction
liquor license must be obtained for each | ||
auction at least 14 days in advance of
the auction date. | ||
(q) A special use permit license shall allow an Illinois | ||
licensed
retailer to transfer a portion of its alcoholic liquor | ||
inventory from its
retail licensed premises to the premises | ||
specified in the license hereby
created, and to sell or offer | ||
for sale at retail, only in the premises
specified in the | ||
license hereby created, the transferred alcoholic liquor for
| ||
use or consumption, but not for resale in any form. A special | ||
use permit
license may be granted for the following time | ||
periods: one day or less; 2 or
more days to a maximum of 15 days | ||
per location in any 12-month period. An
applicant for the | ||
special use permit license must also submit with the
| ||
application proof satisfactory to the State Commission that the | ||
applicant will
provide dram shop liability insurance to the | ||
maximum limits and have local
authority approval. | ||
(r) A winery shipper's license shall allow a person
with a | ||
first-class or second-class wine manufacturer's
license, a | ||
first-class or second-class wine-maker's license,
or a limited | ||
wine manufacturer's license or who is licensed to
make wine |
under the laws of another state to ship wine
made by that | ||
licensee directly to a resident of this
State who is 21 years | ||
of age or older for that resident's
personal use and not for | ||
resale. Prior to receiving a
winery shipper's license, an | ||
applicant for the license must
provide the Commission with a | ||
true copy of its current
license in any state in which it is | ||
licensed as a manufacturer
of wine. An applicant for a winery | ||
shipper's license must
also complete an application form that | ||
provides any other
information the Commission deems necessary. | ||
The application form shall include all addresses from which the | ||
applicant for a winery shipper's license intends to ship wine, | ||
including the name and address of any third party, except for a | ||
common carrier, authorized to ship wine on behalf of the | ||
manufacturer. The
application form shall include an | ||
acknowledgement consenting
to the jurisdiction of the | ||
Commission, the Illinois
Department of Revenue, and the courts | ||
of this State concerning
the enforcement of this Act and any | ||
related laws, rules, and
regulations, including authorizing | ||
the Department of Revenue
and the Commission to conduct audits | ||
for the purpose of
ensuring compliance with Public Act 95-634, | ||
and an acknowledgement that the wine manufacturer is in | ||
compliance with Section 6-2 of this Act. Any third party, | ||
except for a common carrier, authorized to ship wine on behalf | ||
of a first-class or second-class wine manufacturer's licensee, | ||
a first-class or second-class wine-maker's licensee, a limited | ||
wine manufacturer's licensee, or a person who is licensed to |
make wine under the laws of another state shall also be | ||
disclosed by the winery shipper's licensee, and a copy of the | ||
written appointment of the third-party wine provider, except | ||
for a common carrier, to the wine manufacturer shall be filed | ||
with the State Commission as a supplement to the winery | ||
shipper's license application or any renewal thereof. The | ||
winery shipper's license holder shall affirm under penalty of | ||
perjury, as part of the winery shipper's license application or | ||
renewal, that he or she only ships wine, either directly or | ||
indirectly through a third-party provider, from the licensee's | ||
own production. | ||
Except for a common carrier, a third-party provider | ||
shipping wine on behalf of a winery shipper's license holder is | ||
the agent of the winery shipper's license holder and, as such, | ||
a winery shipper's license holder is responsible for the acts | ||
and omissions of the third-party provider acting on behalf of | ||
the license holder. A third-party provider, except for a common | ||
carrier, that engages in shipping wine into Illinois on behalf | ||
of a winery shipper's license holder shall consent to the | ||
jurisdiction of the State Commission and the State. Any | ||
third-party, except for a common carrier, holding such an | ||
appointment shall, by February 1 of each calendar year and upon | ||
request by the State Commission or the Department of Revenue, | ||
file with the State Commission a statement detailing each | ||
shipment made to an Illinois resident. The statement shall | ||
include the name and address of the third-party provider filing |
the statement, the time period covered by the statement, and | ||
the following information: | ||
(1) the name, address, and license number of the winery | ||
shipper on whose behalf the shipment was made; | ||
(2) the quantity of the products delivered; and | ||
(3) the date and address of the shipment. | ||
If the Department of Revenue or the State Commission requests a | ||
statement under this paragraph, the third-party provider must | ||
provide that statement no later than 30 days after the request | ||
is made. Any books, records, supporting papers, and documents | ||
containing information and data relating to a statement under | ||
this paragraph shall be kept and preserved for a period of 3 | ||
years, unless their destruction sooner is authorized, in | ||
writing, by the Director of Revenue, and shall be open and | ||
available to inspection by the Director of Revenue or the State | ||
Commission or any duly authorized officer, agent, or employee | ||
of the State Commission or the Department of Revenue, at all | ||
times during business hours of the day. Any person who violates | ||
any provision of this paragraph or any rule of the State | ||
Commission for the administration and enforcement of the | ||
provisions of this paragraph is guilty of a Class C | ||
misdemeanor. In case of a continuing violation, each day's | ||
continuance thereof shall be a separate and distinct offense. | ||
The State Commission shall adopt rules as soon as | ||
practicable to implement the requirements of Public Act 99-904 | ||
and shall adopt rules prohibiting any such third-party |
appointment of a third-party provider, except for a common | ||
carrier, that has been deemed by the State Commission to have | ||
violated the provisions of this Act with regard to any winery | ||
shipper licensee. | ||
A winery shipper licensee must pay to the Department
of | ||
Revenue the State liquor gallonage tax under Section 8-1 for
| ||
all wine that is sold by the licensee and shipped to a person
| ||
in this State. For the purposes of Section 8-1, a winery
| ||
shipper licensee shall be taxed in the same manner as a
| ||
manufacturer of wine. A licensee who is not otherwise required | ||
to register under the Retailers' Occupation Tax Act must
| ||
register under the Use Tax Act to collect and remit use tax to
| ||
the Department of Revenue for all gallons of wine that are sold
| ||
by the licensee and shipped to persons in this State. If a
| ||
licensee fails to remit the tax imposed under this Act in
| ||
accordance with the provisions of Article VIII of this Act, the
| ||
winery shipper's license shall be revoked in accordance
with | ||
the provisions of Article VII of this Act. If a licensee
fails | ||
to properly register and remit tax under the Use Tax Act
or the | ||
Retailers' Occupation Tax Act for all wine that is sold
by the | ||
winery shipper and shipped to persons in this
State, the winery | ||
shipper's license shall be revoked in
accordance with the | ||
provisions of Article VII of this Act. | ||
A winery shipper licensee must collect, maintain, and
| ||
submit to the Commission on a semi-annual basis the
total | ||
number of cases per resident of wine shipped to residents
of |
this State.
A winery shipper licensed under this subsection (r)
| ||
must comply with the requirements of Section 6-29 of this Act. | ||
Pursuant to paragraph (5.1) or (5.3) of subsection (a) of | ||
Section 3-12, the State Commission may receive, respond to, and | ||
investigate any complaint and impose any of the remedies | ||
specified in paragraph (1) of subsection (a) of Section 3-12. | ||
As used in this subsection, "third-party provider" means | ||
any entity that provides fulfillment house services, including | ||
warehousing, packaging, distribution, order processing, or | ||
shipment of wine, but not the sale of wine, on behalf of a | ||
licensed winery shipper. | ||
(s) A craft distiller tasting permit license shall allow an | ||
Illinois licensed craft distiller to transfer a portion of its | ||
alcoholic liquor inventory from its craft distiller licensed | ||
premises to the premises specified in the license hereby | ||
created and to conduct a sampling, only in the premises | ||
specified in the license hereby created, of the transferred | ||
alcoholic liquor in accordance with subsection (c) of Section | ||
6-31 of this Act. The transferred alcoholic liquor may not be | ||
sold or resold in any form. An applicant for the craft | ||
distiller tasting permit license must also submit with the | ||
application proof satisfactory to the State Commission that the | ||
applicant will provide dram shop liability insurance to the | ||
maximum limits and have local authority approval. | ||
A brewer warehouse permit may be issued to the holder of a | ||
class 1 brewer license or a class 2 brewer license. If the |
holder of the permit is a class 1 brewer licensee, the brewer | ||||||||||||||
warehouse permit shall allow the holder to store or warehouse | ||||||||||||||
up to 930,000 gallons of tax-determined beer manufactured by | ||||||||||||||
the holder of the permit at the premises specified on the | ||||||||||||||
permit. If the holder of the permit is a class 2 brewer | ||||||||||||||
licensee, the brewer warehouse permit shall allow the holder to | ||||||||||||||
store or warehouse up to 3,720,000 gallons of tax-determined | ||||||||||||||
beer manufactured by the holder of the permit at the premises | ||||||||||||||
specified on the permit. Sales to non-licensees are prohibited | ||||||||||||||
at the premises specified in the brewer warehouse permit. | ||||||||||||||
(Source: P.A. 99-448, eff. 8-24-15; 99-642, eff. 7-28-16; | ||||||||||||||
99-800, eff. 8-12-16; 99-902, eff. 8-26-16; 99-904, eff. | ||||||||||||||
1-1-17; 100-17, eff. 6-30-17; 100-201, eff. 8-18-17.) | ||||||||||||||
(235 ILCS 5/5-3) (from Ch. 43, par. 118) | ||||||||||||||
Sec. 5-3. License fees. Except as otherwise provided | ||||||||||||||
herein, at the time
application is made to the State Commission | ||||||||||||||
for a license of any class, the
applicant shall pay to the | ||||||||||||||
State Commission the fee hereinafter provided for
the kind of | ||||||||||||||
license applied for. | ||||||||||||||
The fee for licenses issued by the State Commission shall | ||||||||||||||
be as follows: | ||||||||||||||
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Fees collected under this Section shall be paid into the
| ||
Dram Shop Fund. On and after July 1, 2003 and until June 30, | ||
2016, of the funds received for a
retailer's license, in
| ||
addition to the
first $175, an additional $75 shall be paid | ||
into the Dram Shop Fund, and $250
shall be
paid into the | ||
General Revenue Fund. On and after June 30, 2016, one-half of | ||
the funds received for a retailer's license shall be paid into | ||
the Dram Shop Fund and one-half of the funds received for a | ||
retailer's license shall be paid into the General Revenue Fund. | ||
Beginning June 30, 1990 and on June 30
of each
subsequent year | ||
through June 29, 2003, any balance over $5,000,000
remaining in | ||
the Dram Shop Fund
shall be credited to State liquor licensees | ||
and applied against their fees for
State liquor licenses for | ||
the following year. The amount credited to each
licensee shall | ||
be a proportion of the balance in the Dram Fund that is the
| ||
same as the proportion of the license fee paid by the licensee | ||
under
this Section for the period in which the balance was | ||
accumulated to the
aggregate fees paid by all licensees during | ||
that period. | ||
No fee shall be paid for licenses issued by the State | ||
Commission to
the following non-beverage users: | ||
(a) Hospitals, sanitariums, or clinics when their use | ||
of alcoholic
liquor is exclusively medicinal, mechanical | ||
or scientific. | ||
(b) Universities, colleges of learning or schools when | ||
their use of
alcoholic liquor is exclusively medicinal, |
mechanical or scientific. | ||
(c) Laboratories when their use is exclusively for the | ||
purpose of
scientific research. | ||
(Source: P.A. 99-448, eff. 8-24-15; 99-902, eff. 8-26-16; | ||
99-904, eff. 8-26-16; 100-201, eff. 8-18-17.)
| ||
(235 ILCS 5/6-4) (from Ch. 43, par. 121)
| ||
Sec. 6-4. (a) No person licensed by any licensing authority | ||
as a
distiller, or a wine manufacturer, or any subsidiary or | ||
affiliate
thereof, or any officer, associate, member, partner, | ||
representative,
employee, agent or shareholder owning more | ||
than 5% of the outstanding
shares of such person shall be | ||
issued an importing distributor's or
distributor's license, | ||
nor shall any person licensed by any licensing
authority as an | ||
importing distributor, distributor or retailer, or any
| ||
subsidiary or affiliate thereof, or any officer or associate, | ||
member,
partner, representative, employee, agent or | ||
shareholder owning more than
5% of the outstanding shares of | ||
such person be issued a distiller's
license, a craft | ||
distiller's license, or a wine manufacturer's license; and no | ||
person or persons
licensed as a distiller or craft distiller by | ||
any licensing authority shall have any
interest, directly or | ||
indirectly, with such distributor or importing
distributor.
| ||
However, an importing distributor or distributor, which on | ||
January
1, 1985 is owned by a brewer, or any subsidiary or | ||
affiliate thereof or any
officer, associate, member, partner, |
representative, employee, agent or
shareholder owning more | ||
than 5% of the outstanding shares of the importing
distributor | ||
or distributor referred to in this paragraph, may own or
| ||
acquire an ownership interest of more than 5% of the | ||
outstanding shares of
a wine manufacturer and be issued a wine
| ||
manufacturer's license by any licensing authority.
| ||
(b) The foregoing provisions shall not apply to any person | ||
licensed
by any licensing authority as a distiller or wine | ||
manufacturer, or to
any subsidiary or affiliate of any | ||
distiller or wine manufacturer who
shall have been heretofore | ||
licensed by the State Commission as either an
importing | ||
distributor or distributor during the annual licensing period
| ||
expiring June 30, 1947, and shall actually have made sales | ||
regularly to
retailers.
| ||
(c) Provided, however, that in such instances where a | ||
distributor's
or importing distributor's license has been | ||
issued to any distiller or
wine manufacturer or to any | ||
subsidiary or affiliate of any distiller or
wine manufacturer | ||
who has, during the licensing period ending June 30,
1947, sold | ||
or distributed as such licensed distributor or importing
| ||
distributor alcoholic liquors and wines to retailers, such | ||
distiller or
wine manufacturer or any subsidiary or affiliate | ||
of any distiller or
wine manufacturer holding such | ||
distributor's or importing distributor's
license may continue | ||
to sell or distribute to retailers such alcoholic
liquors and | ||
wines which are manufactured, distilled, processed or
marketed |
by distillers and wine manufacturers whose products it sold or
| ||
distributed to retailers during the whole or any part of its | ||
licensing
periods; and such additional brands and additional | ||
products may be added
to the line of such distributor or | ||
importing distributor, provided, that
such brands and such | ||
products were not sold or distributed by any
distributor or | ||
importing distributor licensed by the State Commission
during | ||
the licensing period ending June 30, 1947, but can not sell or
| ||
distribute to retailers any other alcoholic liquors or wines.
| ||
(d) It shall be unlawful for any distiller licensed | ||
anywhere to have
any stock ownership or interest in any | ||
distributor's or importing
distributor's license wherein any | ||
other person has an interest therein
who is not a distiller and | ||
does not own more than 5% of any stock in any
distillery. | ||
Nothing herein contained shall apply to such distillers or
| ||
their subsidiaries or affiliates, who had a distributor's or | ||
importing
distributor's license during the licensing period | ||
ending June 30, 1947,
which license was owned in whole by such | ||
distiller, or subsidiaries or
affiliates of such distiller.
| ||
(e) Any person licensed as a brewer, class 1 brewer, or | ||
class 2 brewer shall be
permitted to sell on the licensed | ||
premises to non-licensees for on or off-premises consumption | ||
for the premises in which he
or she actually conducts such | ||
business : (i) beer manufactured by the brewer, class 1 brewer, | ||
or class 2 brewer ; (ii) beer manufactured by any other brewer, | ||
class 1 brewer, or class 2 brewer; and (iii) cider . Such sales |
shall be limited to on-premises, in-person sales only, for | ||
lawful consumption on or off premises. Such authorization shall | ||
be considered a privilege granted by the brewer license and, | ||
other than a manufacturer of beer
as stated above, no | ||
manufacturer or distributor or importing
distributor, | ||
excluding airplane licensees exercising powers provided in
| ||
paragraph (i) of Section 5-1 of this Act, or any subsidiary or | ||
affiliate
thereof, or any officer,
associate, member, partner, | ||
representative, employee or agent, or
shareholder shall be | ||
issued a retailer's license, nor shall any person
having a | ||
retailer's license, excluding airplane licensees exercising | ||
powers
provided in paragraph (i) of Section 5-1 of this
Act, or | ||
any subsidiary or affiliate thereof, or
any officer, associate, | ||
member, partner, representative or agent, or
shareholder be | ||
issued a manufacturer's license or importing distributor's
| ||
license.
| ||
A person who holds a class 1 or class 2 brewer license and | ||
is authorized by this Section to sell beer to non-licensees | ||
shall not sell beer to non-licensees from more than 3 total | ||
brewer or commonly owned brew pub licensed locations in this | ||
State. The class 1 or class 2 brewer shall designate to the | ||
State Commission the brewer or brew pub locations from which it | ||
will sell beer to non-licensees. | ||
A person licensed as a craft distiller, including a person | ||
who holds more than one craft distiller license, not affiliated | ||
with any other person manufacturing spirits may be authorized |
by the Commission to sell up to 2,500 gallons of spirits | ||
produced by the person to non-licensees for on or off-premises | ||
consumption for the premises in which he or she actually | ||
conducts business permitting only the retail sale of spirits | ||
manufactured at such premises. Such sales shall be limited to | ||
on-premises, in-person sales only, for lawful consumption on or | ||
off premises, and such authorization shall be considered a | ||
privilege granted by the craft distiller license. A craft | ||
distiller licensed for retail sale shall secure liquor | ||
liability insurance coverage in an amount at least equal to the | ||
maximum liability amounts set forth in subsection (a) of | ||
Section 6-21 of this Act. | ||
A craft distiller license holder shall not deliver any | ||
alcoholic liquor to any non-licensee off the licensed premises. | ||
A craft distiller shall affirm in its annual craft distiller's | ||
license application that it does not produce more than 100,000 | ||
gallons of distilled spirits annually and that the craft | ||
distiller does not sell more than 2,500 gallons of spirits to | ||
non-licensees for on or off-premises consumption. In the | ||
application, which shall be sworn under penalty of perjury, the | ||
craft distiller shall state the volume of production and sales | ||
for each year since the craft distiller's establishment. | ||
(f) (Blank).
| ||
(g) Notwithstanding any of the foregoing prohibitions, a | ||
limited wine
manufacturer may sell at retail at its | ||
manufacturing site for on or off
premises consumption and may |
sell to distributors. A limited wine manufacturer licensee
| ||
shall secure liquor liability insurance coverage in an amount
| ||
at least equal to the maximum liability amounts set forth in
| ||
subsection (a) of Section 6-21 of this Act.
| ||
(h) The changes made to this Section by Public Act 99-47 | ||
shall not diminish or impair the rights of any person, whether | ||
a distiller, wine manufacturer, agent, or affiliate thereof, | ||
who requested in writing and submitted documentation to the | ||
State Commission on or before February 18, 2015 to be approved | ||
for a retail license pursuant to what has heretofore been | ||
subsection (f); provided that, on or before that date, the | ||
State Commission considered the intent of that person to apply | ||
for the retail license under that subsection and, by recorded | ||
vote, the State Commission approved a resolution indicating | ||
that such a license application could be lawfully approved upon | ||
that person duly filing a formal application for a retail | ||
license and if that person, within 90 days of the State | ||
Commission appearance and recorded vote, first filed an | ||
application with the appropriate local commission, which | ||
application was subsequently approved by the appropriate local | ||
commission prior to consideration by the State Commission of | ||
that person's application for a retail license. It is further | ||
provided that the State Commission may approve the person's | ||
application for a retail license or renewals of such license if | ||
such person continues to diligently adhere to all | ||
representations made in writing to the State Commission on or |
before February 18, 2015, or thereafter, or in the affidavit | ||
filed by that person with the State Commission to support the | ||
issuance of a retail license and to abide by all applicable | ||
laws and duly adopted rules. | ||
(Source: P.A. 99-47, eff. 7-15-15; 99-448, eff. 8-24-15; | ||
99-642, eff. 7-28-16; 99-902, eff. 8-26-16; 100-201, eff. | ||
8-18-17.)
| ||
Section 99. Effective date. This Act takes effect upon | ||
becoming law.
|