Chapter 632 Oregon Laws 2005

AN ACT

HB 3495

Relating to bonding requirement for malt beverage manufacturers; creating new provisions; and amending ORS 471.311.

Be It Enacted by the People of the State of Oregon:

SECTION 1. Section 2 of this 2005 Act is added to and made a part of ORS chapter 473.

SECTION 2. (1) If a manufacturer’s total tax liability under ORS 473.030 (1) in the previous calendar year was less than $1,000, the manufacturer may deposit with the Oregon Liquor Control Commission an amount in cash equal to the manufacturer’s total tax liability under ORS 473.030 (1) for the previous calendar year in lieu of the bond required by ORS 471.155 (1).

(2) If a manufacturer’s actual tax liability under ORS 473.030 (1) is less than the amount deposited under subsection (1) of this section, the manufacturer may request that the commission refund the excess funds or may apply those funds toward the manufacturer’s tax liability under ORS 473.030 (1) for the next calendar year.

(3) If a manufacturer’s actual tax liability under ORS 473.030 (1) is greater than the amount deposited under subsection (1) of this section, the manufacturer shall pay to the commission the additional amount owed in the manner required under ORS 473.060.

SECTION 3. ORS 471.311 is amended to read:

471.311. (1) Any person desiring a license or renewal of a license under this chapter shall make application to the Oregon Liquor Control Commission upon forms to be furnished by the commission showing the name and address of the applicant, location of the place of business which is to be operated under the license, and such other pertinent information as the commission may require. No license shall be granted or renewed until the applicant has complied with the provisions of the Liquor Control Act, the provisions of the Oregon Distilled Liquor Control Act and the rules of the commission.

(2) The commission may reject any application that is not submitted in the form required by rule. The commission shall give applicants an opportunity to be heard if an application is rejected. A hearing under this subsection is not subject to the requirements for contested case proceedings under ORS chapter 183.

(3) Subject to subsection (4) of this section, the commission shall assess a nonrefundable fee for processing a renewal application for any license authorized by this chapter only if the renewal application is received by the commission less than 20 days before expiration of the license. If the renewal application is received prior to expiration of the license but less than 20 days prior to expiration, this fee shall be 25 percent of the annual license fee. If a renewal application is received by the commission after expiration of the license but no more than 30 days after expiration, this fee shall be 40 percent of the annual license fee. This subsection shall not apply to a certificate of approval, a brewery-public house license or to any license which is issued for a period of less than 30 days.

(4) The commission may waive the fee imposed under subsection (3) of this section if it finds that failure to submit a timely application was due to unforeseen circumstances or to a delay in processing the application by the local governing authority that is no fault of the licensee.

(5) The annual license fee is nonrefundable and shall be paid by each applicant upon the granting or committing of a license. Subject to ORS 471.155 and section 2 of this 2005 Act, the annual license fee and the minimum bond required of each class of license under this chapter are as follows:

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Minimum

License Fee Bond

Brewery, including

Certificate of Approval $ 500 $ 1,000

Winery 250 1,000

Distillery 100 None

Wholesale Malt

Beverage and Wine 275 1,000

Warehouse 100 1,000

Special events winery

license may be

issued to a

winery licensee at $ 10 per day

Brewery-Public House,

including Certificate

of Approval $ 250 $ 1,000

Limited On-Premises Sales $ 200 None

Off-Premises Sales $ 100 None

Temporary Sales $ 25 for events

lasting five hours

or less and

$25 for each

additional period

of five hours

or less

Grower sales privilege

license $ 250 $ 1,000

Special events grower

sales privilege

license $ 10 per day

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(6) The fee for a certificate of approval or special certificate of approval granted under ORS 471.289 is nonrefundable and must be paid by each applicant upon the granting or committing of a certificate of approval or special certificate of approval. No bond is required for the granting of a certificate of approval or special certificate of approval. Certificates of approval are valid for a period commencing on the date of issuance and ending on December 31 of the fifth calendar year following the calendar year of issuance. The fee for a certificate of approval is $175. Special certificates of approval are valid for a period of 30 days. The fee for a special certificate of approval is $10.

(7) Except as provided in subsection (8) of this section, the annual license fee for a full on-premises sales license is $400. No bond is required for any full on-premises sales license.

(8) The annual license fee for a full on-premises sales license held by a private club as described in ORS 471.175 (7), or held by a nonprofit or charitable organization that is registered with the state, is $200.

Approved by the Governor July 22, 2005

Filed in the office of Secretary of State July 25, 2005

Effective date January 1, 2006

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