This bill allows for-profit movie theaters to obtain a plenary retail consumption license, enabling them to sell alcoholic beverages. The governing body of any municipality, with the approval of the Director of the Division of Alcoholic Beverage Control, can issue this license specifically for facilities that primarily show first-run motion pictures. The license permits the sale of alcoholic beverages two hours before and during the showing of these films. The application for both initial issuance and renewal must be submitted annually to the municipal governing body, with an initial fee set at a minimum of $210,000, which can be reduced to $150,000 if a certain percentage of the beverages sold are produced by local breweries or wineries.

Additionally, the bill stipulates that the license cannot be transferred to any premises other than those operated as a motion picture exhibition facility and does not count towards the municipal limit on retail consumption licenses based on population. This legislation aims to support the struggling movie theater industry by allowing them to diversify their revenue through alcohol sales, thereby enhancing their financial viability in a competitive market increasingly influenced by streaming services. It also seeks to promote local economic activity and support New Jersey's craft alcohol industry by encouraging the sale of locally produced beverages.