The bill HB521 Engrossed amends the Code of Alabama 1975 to introduce a new category of alcoholic beverages called "mixed spirit beverages," defined as single-serve drinks containing liquor in containers no larger than 16 ounces and with an alcohol content not exceeding seven percent by volume. The bill establishes regulations for these beverages, including the requirement for label approval by the Alcoholic Beverage Control Board and mandates that alcoholic beverages be displayed separately from nonalcoholic ones in retail settings. It also imposes a new excise tax on mixed spirit beverages, with wholesalers responsible for collecting and remitting this tax, while introducing licensing requirements for wholesalers and retailers. Key deletions from current law include the removal of certain definitions of alcoholic beverages, while new insertions clarify the inclusion of mixed spirit beverages within these definitions.

Additionally, the bill streamlines the licensing process for establishments selling alcoholic beverages, allowing for the sale of mixed spirit beverages alongside beer and wine. It introduces new licensing fees and requirements, including a mixed spirit beverage wholesaler license fee of $550 and an expanded retail license fee of $500. The bill also addresses the licensing of nonprofit special events, allowing for the donation of mixed spirit beverages and clarifying that liquor liability insurance is not required for special event licenses. Furthermore, it establishes provisions for distribution agreements between suppliers and wholesalers, ensuring fair compensation for wholesalers if agreements are terminated without good cause. Overall, HB521 Engrossed aims to modernize and regulate the sale and distribution of alcoholic beverages in Alabama, reflecting current market trends and consumer preferences.

Statutes affected:
Introduced: 28-3A-9
Engrossed: 28-1-9