Bill Summary – FastDemocracy

House File 384 - Enrolled
                                                       House File 384
                                  AN ACT
     RELATING TO ALCOHOL BEVERAGE CONTROL CONCERNING CERTAIN CLASS
        “C” LIQUOR CONTROL LICENSES, HOURS OF SALE OF ALCOHOLIC
        BEVERAGES ON SUNDAY, AND THE DELIVERY OF CERTAIN ALCOHOLIC
        BEVERAGES.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
    Section 1. Section 123.3, subsection 11, Code 2021, is
 amended to read as follows:
    11. “Canned cocktail” means a mixed drink or cocktail that
 is premixed and packaged in a metal can and contains more than
 six and twenty-five hundredths percent of alcohol by volume but
 not more than fifteen percent of alcohol by volume. A mixed
 drink or cocktail mixed and packaged in a metal can pursuant to
 section 123.49, subsection 2, paragraph “d”, subparagraph (3),
 shall not be considered a canned cocktail.
    Sec. 2. Section 123.30, subsection 3, paragraph c,
 subparagraph (1), Code 2021, is amended to read as follows:
    (1) A class “C” liquor control license may be issued to
 a commercial establishment but must be issued in the name of
 the individuals who actually own the entire business and shall
 authorize the holder to purchase alcoholic liquors in original
 unopened containers from class “E” liquor control licensees
 only, wine from class “A” wine permittees or class “B” wine
 permittees who also hold class “E” liquor control licenses
 only as provided in sections 123.173 and 123.177, and to sell
 alcoholic beverages to patrons by the individual drink for
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 consumption on the premises only. However, alcoholic liquor,
 wine, and beer in original unopened containers may also be sold
 for consumption off the premises. In addition, mixed drinks
 or cocktails may also be sold for consumption off the premises
 subject to the requirements of section 123.49, subsection 2,
 paragraph “d”. The holder of a class “C” liquor control license
 may also hold a special class “A” beer permit for the premises
 licensed under a class “C” liquor control license for the
 purpose of operating a brewpub pursuant to this chapter.
    Sec. 3. Section 123.36, subsection 6, Code 2021, is amended
 to read as follows:
    6. Any club, hotel, motel, native distillery,
 passenger-carrying boat or ship, railway corporation, air
 common carrier, or commercial establishment holding a liquor
 control license, subject to section 123.49, subsection 2,
 paragraph “b”, may apply for and receive permission to sell and
 dispense alcoholic beverages as authorized by section 123.30 to
 patrons between the hours of 8:00 6:00 a.m. on Sunday and 2:00
 a.m. on the following Monday. For the privilege of selling
 beer, wine, and alcoholic liquor on the premises on Sunday the
 liquor control license fee of the applicant shall be increased
 by twenty percent of the regular fee prescribed for the license
 pursuant to this section, and the privilege shall be noted on
 the liquor control license.
    Sec. 4. Section 123.46A, subsections 1 and 2, Code 2021, are
 amended to read as follows:
    1. Licensees and permittees authorized to sell alcoholic
 liquor, wine, or beer in original unopened containers for
 consumption off the licensed premises may deliver alcoholic
 liquor, wine, or beer to a home, another licensed premises if
 there is identical ownership of the premises by the licensee
 or permittee, or other designated location in this state.
 Deliveries shall be limited to alcoholic beverages authorized
 by the licensee’s or permittee’s license or permit. Orders
 delivered to another licensed premises shall contain only those
 alcoholic beverages authorized for sale by the liquor control
 license or retail wine or beer permit covering the premises
 to which the alcoholic beverages will be delivered. Orders
 delivered to another licensed premises shall be fulfilled using
                                                House File 384, p. 3
 the alcoholic beverages inventory owned by the licensee or
 permittee who will receive the order for delivery. If the
 recipient refuses or fails to pick up the delivery, or is
 ineligible to receive the delivery, the alcoholic beverages
 shall be returned to the licensee or permittee who fulfilled
 the order.
    2. All deliveries of alcoholic liquor, wine, or beer, or
 mixed drinks or cocktails shall be subject to the following
 requirements and restrictions:
    a. Payment for the alcoholic liquor, wine, or beer, or
 mixed drinks or cocktails shall be received by the licensee or
 permittee at the time of order.
    b. Orders for deliveries may be taken by the licensee or
 permittee between the hours of 2:00 a.m. and 6:00 a.m. on
 a day other than Sunday, and orders for deliveries may be
 taken between the hours of 2:00 a.m. and 8:00 6:00 a.m. on a
 Sunday provided the licensee or permittee has been granted the
 privilege of selling alcoholic liquor, wine, or beer, or mixed
 drinks or cocktails on Sunday, notwithstanding any provision of
 section 123.49, subsection 2, paragraph “b”, to the contrary.
    c. Alcoholic liquor, wine, or beer, or mixed drinks or
 cocktails delivered to a person shall be for personal use and
 not for resale.
    d. Deliveries shall only be made to persons in this state
 who are twenty-one years of age or older.
    e. Deliveries shall not be made to a person who is
 intoxicated or is simulating intoxication.
    f. Deliveries shall occur between 6:00 a.m. and 10:00 p.m.
  Monday through Saturday, and between 8:00 a.m. and 10:00 p.m.
  Sunday.
    g. Delivery of alcoholic liquor, wine, or beer, or mixed
 drinks or cocktails shall be made by the licensee or permittee,
 or the licensee’s or permittee’s employee, and not by a third
 party.
    h. Delivery personnel shall be twenty-one years of age or
 older.
    i. Deliveries shall be made in a vehicle owned, leased, or
 under the control of the licensee or permittee.
    j. Valid proof of the recipient’s identity and age shall
                                                House File 384, p. 4
 be obtained at the time of delivery, and the signature of a
 person twenty-one years of age or older shall be obtained as a
 condition of delivery.
    k. Licensees and permittees shall maintain records
 of deliveries which include the quantity delivered, the
 recipient’s name and address, and the signature of the
 recipient of the alcoholic liquor, wine, or beer, or mixed
 drinks or cocktails. The records shall be maintained on the
 licensed premises for a period of three years.
    l. Orders delivered to another licensed premises shall
 contain only those alcoholic beverages authorized for sale
 by the liquor control license or retail wine or beer permit
 covering the premises to receive the delivery.
    m. Orders delivered to another licensed premises shall be
 fulfilled using the alcoholic beverages inventory owned by the
 licensee or permittee who received the order for delivery. If
 the recipient refuses or fails to pick up the delivery, or is
 ineligible to receive the delivery, the alcoholic beverages
 shall be returned to the licensee or permittee who fulfilled
 the order.
    Sec. 5. Section 123.46A, Code 2021, is amended by adding the
 following new subsection:
    NEW SUBSECTION. 1A. Licensees and permittees authorized to
 sell wine, beer, or mixed drinks or cocktails for consumption
 off the licensed premises in a container other than the
 original container may deliver the wine, beer, or mixed drinks
 or cocktails to a home or other designated location in this
 state only if the container other than the original container
 has been sold and securely sealed in compliance with this
 chapter or the rules of the division. Deliveries shall be
 limited to alcoholic beverages authorized by the licensee’s or
 permittee’s license or permit.
    Sec. 6. Section 123.49, subsection 2, paragraph b, Code
 2021, is amended to read as follows:
    b. Sell or dispense any alcoholic beverage on the premises
 covered by the license or permit, or permit its consumption
 thereon between the hours of 2:00 a.m. and 6:00 a.m. on a
 weekday, and between the hours of 2:00 a.m. on Sunday and 6:00
 a.m. on the following Monday, however, a holder of a liquor
                                                House File 384, p. 5
 control license or retail wine or beer permit granted the
 privilege of selling alcoholic liquor, wine, or beer on Sunday
 may sell or dispense alcoholic liquor, wine, or beer between
 the hours of 8:00 6:00 a.m. on Sunday and 2:00 a.m. on the
 following Monday.
    Sec. 7. Section 123.49, subsection 2, paragraph d,
 subparagraphs (2) and (3), Code 2021, are amended to read as
 follows:
    (2) Mixed drinks or cocktails mixed on the premises that are
 not for immediate consumption may be consumed on the licensed
 premises subject to the requirements of this subparagraph
 pursuant to rules adopted by the division. The rules shall
 provide that the mixed drinks or cocktails be stored, for
 no longer than seventy-two hours, in a labeled container in
 a quantity that does not exceed three gallons. The rules
 shall also provide that added flavors and other nonbeverage
 ingredients included in the mixed drinks or cocktails shall
 not include hallucinogenic substances or added caffeine or
 other added stimulants including but not limited to guarana,
 ginseng, and taurine. In addition, the The rules shall also
 require that the licensee keep records as to when the contents
 in a particular container were mixed and the recipe used for
 that mixture. In addition, mixed drinks or cocktails mixed
 on the premises pursuant to this subparagraph may be sold
 for consumption off the licensed premises as provided in and
 subject to the requirements of subparagraph (3).
    (3) Mixed drinks or cocktails mixed on premises covered
 by a class “C” liquor control license or a class “C” native
 distilled spirits liquor control license for consumption
 off the licensed premises may be sold if the mixed drink or
 cocktail is immediately sealed with a lid or other method
 of securing the product filled in a sealed container and is
 promptly taken from the licensed premises prior to consumption
 of the mixed drink or cocktail. A mixed drink or cocktail
 that is sold and sealed in a sealed container in compliance
 with the requirements of this subparagraph and rules adopted
 by the division shall not be deemed an open container subject
 to the requirements of sections 321.284 and 321.284A if the
 sealed container is unopened and the seal has not been tampered
                                                House File 384, p. 6
 with, and the contents of the container have not been partially
 removed.
    Sec. 8. Section 123.49, subsection 2, paragraph d, Code
 2021, is amended by adding the following new subparagraph:
    NEW SUBPARAGRAPH. (4) For purposes of this paragraph:
    (a) “Sealed container” means a vessel, including a
 substantial or sturdy plastic container and a vacuum or
 heat-sealed pouch, containing a mixed drink or cocktail
 that is designed to prevent consumption without removal of
 a tamper-evident lid, cap, or seal. “Sealed container” does
 not include a container with a sipping hole or other opening
 for a straw, unless the hole or other opening includes a
 tamper-evident seal, but a straw may be separately provided
 with a sealed container to the consumer for off-premises
 consumption.
    (b) “Tamper-evident” means a lid, cap, or seal that visibly
 demonstrates when a container has been opened.
    Sec. 9. Section 123.134, subsection 4, Code 2021, is amended
 to read as follows:
    4. Any club, hotel, motel, or commercial establishment
 holding a class “B” beer permit, subject to the provisions of
 section 123.49, subsection 2, paragraph “b”, may apply for
 and receive permission to sell and dispense beer to patrons
 on Sunday for consumption on or off the premises between
 the hours of 8:00 6:00 a.m. on Sunday and 2:00 a.m. on the
 following Monday. Any class “C” beer permittee may sell beer
 for consumption off the premises between the hours of 8:00 6:00
 a.m. on Sunday and 2:00 a.m. on the following Monday. For the
 privilege of selling beer on Sunday the beer permit fees of the
 applicant shall be increased by twenty percent of the regular
 fees prescribed for the permit pursuant to this section and the
 privilege shall be noted on the beer permit.
    Sec. 10. Section 123.150, Code 2021, is amended to read as
 follows:
    123.150 Sunday sales before New Year’s Day.
    Notwithstanding section 123.36, subsection 6, section
 123.49, subsection 2, paragraph “b”, and section 123.134,
 subsection 4, a holder of any class of liquor control license
 or the holder of a class “B” beer permit may sell or dispense
                                                 House File 384, p. 7
 alcoholic liquor, wine, or beer to patrons for consumption on
 the premises between the hours of 8:00 6:00 a.m. on Sunday and
 2:00 a.m. on Monday when that Monday is New Year’s Day and beer
 for consumption off the premises between the hours of 8:00 6:00
 a.m. on Sunday and 2:00 a.m. on the following Monday when that
 Sunday is the day before New Year’s Day. The liquor control
 license fee or beer permit fee of licensees and permittees
 permitted to sell or dispense liquor, wine, or beer on a Sunday
 when that Sunday is the day before New Year’s Day shall not be
 increased because of this privilege. The special privileges
 granted in this section are in force only during the specified
 times provided in this section.
     ______________________________     ______________________________
     PAT GRASSLEY                       JAKE CHAPMAN
     Speaker of the House               President of the Senate
        I hereby certify that this bill originated in the House and
     is known as House File 384, Eighty-ninth General Assembly.
                                        ______________________________
                                        MEGHAN NELSON
                                        Chief Clerk of the House
     Approved _______________, 2021     ______________________________
                                        KIM REYNOLDS
                                        Governor
Statutes affected: 
Introduced: 123.30, 123.173, 321.284, 123.49
Reprinted: 123.3, 123.173, 123.49
Enrolled: 123.3, 123.173, 123.49, 123.134