SESSION OF 2021
SUPPLEMENTAL NOTE ON HOUSE BILL NO. 2417
As Recommended by House Committee on
Federal and State Affairs

Brief*
HB 2417 would amend the Club and Drinking
Establishment Act and law concerning the retail sale of
alcoholic liquor as it relates to removable, sealable containers
of beer and cereal malt beverage (CMB).

Club and Drinking Establishments
The bill would allow patrons to remove one or more
open containers of alcoholic liquor, beer, and CMB sold on
licensed premises and served in refillable and sealable
containers for consumption off the licensed premises. The bill
would require containers to:
● Contain between 32 and 64 fluid ounces;
● Have a label affixed that clearly indicates
the licensee’s name and the type of alcoholic
beverage contained in such container; and
● Not be sold or removed from the premises
after 11:00 p.m.
All alcoholic liquor, cereal malt beverage, and
nonalcoholic beverage sold by a licensee under the
Club and Drinking Establishment Act would be subject
to the 10 percent tax on gross receipts from the sale
of alcohol required under KSA 79-41a02.
____________________
*Supplemental notes are prepared by the Legislative Research
Department and do not express legislative intent. The supplemental
note and fiscal note for this bill may be accessed on the Internet at
http://www.kslegislature.org
Retail Sales
The bill would also allow a retail licensee to sell
containers of beer, domestic beer, and CMB sold on the
licensed premises and served in refillable and sealable
containers for consumption off the licensed premises Such
containers would be required to:
● Contain between 32 and 64 fluid ounces; and
● Have a label affixed that clearly indicates the
licensee’s name and the type of alcoholic beverage
contained in such container.
Background
The bill was introduced by the House Committee on
Federal and State Affairs at the request of a representative of
the Kansas Association of Beverage Retailers.
[Note: The provisions of HB 2417 are similar to the
provisions of 2019 SB 221 as amended by the Senate
Committee of the Whole.]

House Committee on Federal and State Affairs
In the House Committee Hearing on March 17, 2021,
representatives of the Kansas Association of Beverage
Retailers and the Kansas Restaurant and Hospitality
Association testified as proponents, stating that the bill
would allow drinking establishments to participate in a market
for local beer products and allow consumers to buy Kansas
microbrewery products.
The Kansas Department of Revenue provided neutral
testimony, suggesting a technical amendment which would
add a subsection stating the provisions which authorize

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refilling containers not apply to liquor stores selling beer,
domestic beer, and CMB.
No other testimony was provided.

Fiscal Information
According to the fiscal note prepared by the Division of
Budget on the bill, the Department of Revenue indicates the
bill would increase administrative expenses by $4,750 from
special revenue funds for updating publications, providing
notice to taxpayers and customers, printing, and postage for
FY 2022.
Any fiscal effect associated with the bill is not reflected
in The FY 2022 Governor’s Budget Report.
Club and Drinking Establishment Act; growler; sale of refillable sealable containers


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Statutes affected:
As introduced: 41-308, 79-4101, 41-2653