Chapter 237 Oregon Laws 2009
Relating to distilled liquor; amending ORS 471.168, 471.230 and 471.311.
Be It Enacted by the People of the State of Oregon:
SECTION 1. ORS 471.168 is amended to read:
471.168. (1) For the purpose of providing coverage for injuries suffered by persons by reason of the conduct of intoxicated persons who were served alcoholic beverages on licensed premises while visibly intoxicated, all persons holding a license described in this section must either:
(a) Maintain liquor liability insurance of not less than $300,000; or
(b) Maintain a bond with a corporate surety authorized to transact business in this state in the amount of not less than $300,000.
(2) The Oregon Liquor Control Commission may by rule require liquor liability insurance or bond in an amount larger than the minimum amount provided for in subsection (1) of this section.
(3) The requirements of this section apply to full on-premises sales licenses, limited on-premises sales licenses and brewery-public house licenses. The requirements of this section apply to temporary sales licenses, special events winery licenses,[and] special events grower sales privilege licenses and special events distillery licenses if the event that is licensed is open to the public and attendance at the event is anticipated to exceed 300 individuals per day.
(4) The requirements of this section apply to winery licenses, brewery licenses and grower sales privilege licenses unless an applicant for issuance of the license or renewal of the license submits with the application for issuance or renewal of the license an affidavit that states that the licensee will not allow consumption of alcoholic beverages on the premises.
(5) All licensees subject to the requirements of this section must supply proof of compliance at the time the license is issued or renewed. The commission by rule shall determine the manner in which proof of compliance may be made under the provisions of this subsection.
SECTION 2. ORS 471.230 is amended to read:
471.230. (1) A distillery license shall allow the holder thereof to import, manufacture, distill, rectify, blend, denature and store spirits of an alcoholic content greater than 17 percent alcohol by weight, to sell the same to the Oregon Liquor Control Commission and to transport the same out of this state for sale outside this state. Distillery licensees shall be permitted to purchase from and through the commission alcoholic beverages for blending and manufacturing purposes upon such terms and conditions as the commission may provide. No such licensee shall sell any alcoholic beverage within this state except to the commission or as provided in this section. However, any agricultural producer or association of agricultural producers or legal agents thereof who manufacture and convert agricultural surpluses, by-products and wastes into denatured ethyl and industrial alcohol for use in the arts and industry shall not be required to obtain a license from the commission.
(2) A distillery licensee may:
(a) Permit tastings of the distilled liquor manufactured by the distillery. The tastings may be conducted on the premises and on at least one other premises owned or leased by the licensee. The licensee must purchase the distilled liquor from the commission.
(b) Obtain a special events distillery license entitling the holder to permit tastings of the distilled liquor manufactured by the distillery. Tastings may be conducted under a special events distillery license at a designated location other than the location set forth in the distillery license for a period not exceeding five days. The licensee must purchase the distilled liquor from the commission.
[(b)] (c) Apply for appointment as a retail sales agent of the commission for purposes of retailing only distilled liquor that the licensee distilled in Oregon at the two locations at which tastings are permitted pursuant to paragraph (a) of this subsection.
(3) Notwithstanding ORS 471.392 to 471.400, a distillery licensee may also hold a full on-premises sales license for a location at the licensed premises of the distillery and a full on-premises sales license for one other location. All distilled spirits sold under the full on-premises sales license must be purchased from the commission.
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 that 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 this chapter 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 does not apply to a certificate of approval, a brewery-public house license or any license that 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 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 473.065, the annual or daily license fee and the minimum bond required of each class of license under this chapter are as follows:
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
of Approval $ 250 $ 1,000
Limited On-Premises Sales $ 200 None
Off-Premises Sales $ 100 None
Temporary Sales $ 50 per day
Grower sales privilege
license $ 250 $ 1,000
Special events grower
license $ 10 per day
license $ 10 per day
(6) The fee for a certificate of approval or special certificate of approval granted under ORS 471.244 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 (8), or held by a nonprofit or charitable organization that is registered with the state, is $200.
(9) The annual fee for a wine self-distribution permit is $100, and the minimum bond is $1,000.
Approved by the Governor June 4, 2009
Filed in the office of Secretary of State June 4, 2009
Effective date January 1, 2010