Alabama Alcohol Beverage Study Commission January 12, 2016

AABSC Created by HJR 154 “The goal of the commission is to examine and determine if Alabama's alcoholic beverage laws related to the manufacture, distribution, and sale of alcoholic beverages are congruent, competitive, and consistent with the alcoholic beverage industry related laws from across the United States.”

Mission Statement “The Alabama Alcohol Beverage Study Commission (AABSC) will examine the State of Alabama’s Alcohol Beverage laws related to the three tier system and licensing to subsequently provide recommendations for updating the Alabama Code relative to creating fair, consistent, and best practices legislation for Alabama’s alcohol industry.”

Public Meetings July 16, 2015 – Mobile July 28, 2015 – Hoover July 28, 2015 – Huntsville

State Visit – North Carolina Met with NC legislators, alcohol regulators, and industry representatives NC’s system is similar to AL’s but provides special allowances for small brewers, wineries, and distillers

State Visit - Colorado Met with CO legislators, alcohol regulators (Dept. of Revenue), and industry representatives CO is not a control state CO allows manufacturers wider latitude in distributing & retailing product

Public Comments Industry groups Industry businesses (manufacturers, wholesalers, retailers) Community groups Consumers Others

Public Comments – Beer Brewers and brewpubs would like more opportunities to retail their products Brewpubs dislike historical siting requirements Wholesalers are concerned about preserving the three tier system

Public Comments - Wine Wineries want: –allow retail at locations beyond the winery premises –more opportunities to retail their products –greater state protection and promotion of native wines Wholesalers are concerned about preserving the three tier system

Public Comments - Spirits Spirits manufacturers want more opportunities to retail their products Spirits manufacturers want to self- distribute to AL retailers

Potential Next Steps Three separate bills 1.Beer 2.Wine 3.Spirits

Co-Chairs’ Proposal – Beer Off-premises retail sales –Brewers and brewpubs <60,000 barrels / year –Up to 288 ounces / consumer / day –Bottles, cans, growlers Eliminate brewpub historical siting requirements (both county & building) Direct delivery to charitable functions (2 kegs / event)

Co-Chairs’ Proposal – Wine Allow AL wineries to retail their wines for on- and off-premise consumption at one ABC-approved off-site location (in addition to the winery)

Co-Chairs’ Proposal – Spirits Allow AL spirits manufacturers to retail –up to 750 mL of their spirits / person / year –only on the manufacturer’s premises –only for off-premises consumption