This bill amends existing laws regarding private clubs in Arkansas, specifically allowing them to purchase alcoholic beverages from wholesalers, in addition to retailers. It also permits private clubs to enter into operating agreements with other permit holders for the management and operation of the club. The bill modifies the language in Arkansas Code 3-4-405(a)(21) to clarify that unauthorized purchasing by a private club can include purchases from wholesalers, and it updates Arkansas Code 3-9-221 to remove references to members owning alcoholic beverages individually or in common under a locker or revolving fund system, instead emphasizing that these beverages must be lawfully purchased.

Furthermore, the bill introduces a new subsection in Arkansas Code 3-9-221 that explicitly allows private clubs to enter into operating agreements with other permit holders. It also revises the tax structure for private clubs, imposing a supplemental tax on gross proceeds derived from charges to members for the preparation and serving of mixed drinks, beer, and wine, while removing references to the private stocks of members. Overall, the bill aims to enhance the operational flexibility of private clubs and support their ability to serve alcoholic beverages in a manner consistent with state laws.

Statutes affected:
HB 1455: 3-4-405(a), 3-9-221(a), 3-9-221, 3-9-223(b)