This bill establishes a new "Veterans Service Organization License" that permits certain veteran organizations, such as the American Legion and Veterans of Foreign Wars, to sell alcoholic beverages for immediate consumption on their premises. The license is limited to bona fide members of the organization, their guests, affiliated members of other veteran organizations, and members of auxiliary organizations. Importantly, affiliated and auxiliary members are prohibited from hosting private events or having guests unless they are bona fide members. A bona fide member can invite up to nine guests and is allowed to host private events, provided they supply all alcoholic beverages purchased off the premises.

The bill also sets a licensing fee ranging from $63 to $188, as determined by the local governing body, and exempts this license from existing restrictions on the number of retail consumption licenses in a municipality. It includes regulations that prevent license holders from selling alcoholic beverages or charging fees during private events, although they may sell food and non-alcoholic beverages for on-premises consumption. This legislation aims to enhance the ability of veteran organizations to serve their members while ensuring compliance with alcohol licensing laws and maintaining responsible service practices.