ABC Permit & License Fees Authorization (language only)

Item 4-12.00 #1h

Language
Page 479, after line 42, insert:
"2. That §§ 4.1-230 and 4.1-231 of the Code of Virginia are amended and re-enacted as follows:
§ 4.1-230. Applications for licenses; publication; notice to localities; fees; permits.
A. Every person intending to apply for any license authorized by this chapter shall file with the Board an application on forms provided by the Board and a statement in writing, under oath, setting forth any information required by the Board. Applications for banquet, tasting, mixed beverage special events, or club events licenses shall not be required to be under oath, but the information contained therein shall be certified as true by the applicant.
B. In addition, each applicant for a license under the provisions of this chapter, except applicants for banquet, tasting, special events, club events, wine or beer shipper's, wine and beer shipper's, or museum licenses issued under the provisions of Chapter 2 (§ 4.1-200 et seq.) of this title, or beer or wine importer's licenses located outside the Commonwealth, shall post a notice of his application with the Board on the front door of the building, place or room where he proposes to engage in such business for no more than 30 days and not less than 10 days. Such notice shall be of a size and contain such information as required by the Board.
The applicant shall cause a copy of such notice to be published at least once a week for two consecutive weeks in a newspaper published in or having a general circulation in the county, city or town wherein such applicant proposes to engage in such business. In the case of wine or beer shipper's licensees, wine and beer shipper's licensees, or operators of boats, dining cars, buffet cars, club cars, and airplanes, the posting and publishing of notice shall not be required.
Except for applicants for banquet, tasting, mixed beverage special events, club events, or museum licenses, the Board shall conduct a background investigation, to include a criminal history records search, on each applicant for a license.
The Board shall notify the local governing body of each license application through the county or city attorney or the chief law-enforcement officer of the locality. Local governing bodies shall submit objections to the granting of a license within 30 days of the filing of the application.
C. Each applicant shall pay the required application fee at the time the application is filed. Each license application fee shall be $50 65, plus $15 20 for each criminal history records search required by the Board, except for banquet, tasting, mixed beverage special events, or mixed beverage club events licenses, in which case the application fee shall be $15. Application fees shall be in addition to the state license tax fee required pursuant to § 4.1-231 and shall not be refunded.
D. Subsection A shall not apply to the continuance of licenses granted under this chapter.
E. Every application for a permit granted pursuant to § 4.1-212 shall be on a form provided by the Board. In the case of applications to solicit the sale of wine and beer or spirits, each application shall be accompanied by a fee of $125 165 and $300 390, respectively. The fee for each such permit shall be subject to proration to the following extent: If the permit is granted in the second quarter of any year, the fee shall be decreased by one-fourth; if granted in the third quarter of any year, the fee shall be decreased by one-half; and if granted in the fourth quarter of any year, the fee shall be decreased by three-fourths. Each such permit shall expire on June 30 next succeeding the date of issuance, unless sooner suspended or revoked by the Board. Such permits shall confer upon their holders no authority to make solicitations in the Commonwealth as otherwise provided by law.
The fee for a temporary permit shall be one-twelfth of the combined fees required by this section for applicable licenses to sell wine, beer, or mixed beverages computed to the nearest cent and multiplied by the number of months for which the permit is granted.
The fee for a keg registration permit shall be $50 65 annually.
The fee for a permit for the storage of lawfully acquired alcoholic beverages not under customs bond or internal revenue bond in warehouses located in the Commonwealth shall be $200 260 annually.
§ 4.1-231.  Taxes on state licenses.
A. The annual taxes fees on state licenses shall be as follows:
1. Alcoholic beverage licenses. For each:
a. Distiller's license, if not more than 5,000 gallons of alcohol or spirits, or both, manufactured during the year in which the license is granted, $350 450; and if more than 5,000 gallons manufactured during such year, $2860 3725;
b. Fruit distiller's license, $2860 3725;
c. Banquet facility license or museum license, $145 190;
d. Bed and breakfast establishment license, $25 35;
e. Tasting license, $30 40 per license granted; and
f. Equine sporting event license, $100 130.
2. Wine licenses. For each:
a. Winery license, if not more than 5,000 gallons of wine manufactured during the year in which the license is granted, $145 189, and if more than 5,000 gallons manufactured during such year, $2860 3725;
b. Wholesale wine license, $715 930 for any wholesaler who sells 150,000 gallons of wine or less per year, $1100 1430 for any wholesaler who sells more than 150,000 but not more than 300,000 gallons of wine per year, and $1430 1860 for any wholesaler who sells more than 300,000 gallons of wine per year;
c. Wine importer's license, $285 370;
d. Retail off-premises winery license, $110 145;
e. Farm winery license, $145 190 for any Class A license and $2860 3725 for any Class B license; and
f. Wine shipper's license, $50 60.
3. Beer licenses. For each:
a. Brewery license, if not more than 10,000 barrels of beer manufactured during the year in which the license is granted, $1650 2150, and if more than 10,000 barrels manufactured during such year, $3300 4300;
b. Bottler's license, $1100 1430;
c. Wholesale beer license, $750 930 for any wholesaler who sells 300,000 cases of beer a year or less, and $1100 1430 for any wholesaler who sells more than 300,000 but not more than 600,000 cases of beer a year, and $1430 1860 for any wholesaler who sells more than 600,000 cases of beer a year;
d. Beer importer's license, $285 370;
e. Retail on-premises beer license to a hotel, restaurant, club or other person, except a common carrier of passengers by train or boat, $110 145; for each such license to a common carrier of passengers by train or boat, $110 145 per  nnum for each of the average number of boats, dining cars, buffet cars or club cars operated daily in the Commonwealth;
f. Retail off-premises beer license, $90 120;
g. Retail on-and-off premises beer license to a hotel, restaurant, club or grocery store located in a town or in a rural area outside the corporate limits of any city or town, $230 300; and
h. Beer shipper's license, $50 65.
4. Wine and beer licenses. For each:
a. Retail on-premises wine and beer license to a hotel, restaurant, club or other person, except a common carrier of passengers by train, boat or airplane, $230 300; for each such license to a common carrier of passengers by train or boat, $230 300 per annum for each of the average number of boats, dining cars, buffet cars or club cars operated daily in the Commonwealth, and for each such license granted to a common carrier of passengers by airplane, $575 750;
b. Retail on-premises wine and beer license to a hospital, $110 145;
c. Retail off-premises wine and beer license, including each gift shop, gourmet shop and convenience grocery store license, $175 230;
d. Retail on-and-off premises wine and beer license to a hotel, restaurant or club, $460 600;
e. Banquet license, $30 40 per license granted by the Board;
f. Gourmet brewing shop license, $175 230; and
g. Wine and beer shipper's license, $50 65.
5. Mixed beverage licenses. For each:
a. Mixed beverage restaurant license granted to persons operating restaurants, including restaurants located on premises of and operated by hotels or motels, or other persons:
(i) With a seating capacity at tables for up to 100 persons, $430 560;
(ii) With a seating capacity at tables for more than 100 but not more than 150 persons, $750 975; and
(iii) With a seating capacity at tables for more than 150 persons, $1100 1430.
b. Mixed beverage restaurant license for restaurants located on the premises of and operated by private, nonprofit clubs:
(i) With an average yearly membership of not more than 200 resident members, $575 750;
(ii) With an average yearly membership of more than 200 but not more than 500 resident members, $1430 1860; and
(iii) With an average yearly membership of more than 500 resident members, $2125 2765.
c. Mixed beverage caterer's license, $1430 1860.
d. Mixed beverage special events license, $35 45 for each day of each event.
e. Mixed beverage club events licenses, $25 35 for each day of each event.
f. Annual mixed beverage special events license, $430 560.
g. Mixed beverage carrier license:
(i) $145 190 for each of the average number of dining cars, buffet cars or club cars operated daily in the Commonwealth by a common carrier of passengers by train;
(ii) $430 560 for each common carrier of passengers by boat;
(iii) $1135 1475 for each license granted to a common carrier of passengers by airplane;
h. Annual mixed beverage amphitheater license, $430 560; and
i. Annual mixed beverage motor sports race track license, $430 560.
6. Temporary licenses. For each temporary license authorized by § 4.1-211, one-half of the tax imposed by this section on the license for which the applicant applied.  
B.  The tax on each such license, except banquet and mixed beverage special events licenses, shall be subject to proration to the following extent: If the license is granted in the second quarter of any year, the tax shall be decreased by one-fourth; if granted in the third quarter of any year, the tax shall be decreased by one-half; and if granted in the fourth quarter of any year, the tax shall be decreased by three-fourths.  
If the license on which the tax is prorated is a distiller's license to manufacture not more than 5,000 gallons of alcohol or spirits, or both, during the year in which the license is granted, or a winery license to manufacture not more than 5,000 gallons of wine during the year in which the license is granted, the number of gallons permitted to be manufactured shall be prorated in the same manner.  
Should the holder of a distiller's license or a winery license to manufacture not more than 5,000 gallons of alcohol or spirits, or both, or wine, apply during the license year for an unlimited distiller's or winery license, such person shall pay for such unlimited license a license tax equal to the amount that would have been charged had such license been applied for at the time that the license to manufacture less than 5,000 gallons of alcohol or spirits or wine, as the case may be, was granted, and such person shall be entitled to a refund of the amount of license tax previously paid on the limited license.  
Notwithstanding the foregoing, the tax on each license granted or reissued for a period of less than 12 months shall be equal to one-twelfth of the taxes required by subsection A computed to the nearest cent, multiplied by the number of months in the license period.  
C.  Nothing in this chapter shall exempt any licensee from any state merchants' license or state restaurant license or any other state tax. Every licensee, in addition to the taxes imposed by this chapter, shall be liable to state merchants' license taxation and state restaurant license taxation and other state taxation the same as if the alcoholic beverages were nonalcoholic. In ascertaining the liability of a beer wholesaler to merchants' license taxation, however, and in computing the wholesale merchants' license tax on a beer wholesaler, the first $163,800 of beer purchases shall be disregarded; and in ascertaining the liability of a wholesale wine distributor to merchants' license taxation, and in computing the wholesale merchants' license tax on a wholesale wine distributor, the first $163,800 of wine purchases shall be disregarded.
3.  That the provisions of the first enactment of this act shall expire at midnight on June 30, 2006, pursuant to § 4-11.00 of this act.  The provisions of all other enactments shall have no expiration date."

Explanation
(This amendment would increase the VABC license privilege fee by 30 percent. The license privilege fee has not been increased since 1990 and the license application fee has not been increased in 17 years. The Code section to be amended is appropriately identified and set out and also sets out the Code sections required to be amended to effectuate the proposed increase in the in the privilege and permit fees.)