Under current law, a manufacturer's permit or rectifier's permit authorizes the
permittee to, respectively, manufacture or rectify intoxicating liquor and sell it to
wholesalers. Current law prohibits a manufacturer or rectifier from holding an
interest in a retail license and prohibits a retail licensee from holding an interest in
a manufacturer or rectifier, but a manufacturer's permit or rectifier's permit
authorizes limited retail sales, without a retail license, of intoxicating liquor
manufactured or rectified on the premises. A winery permit authorizes the winery
to manufacture, blend, and bottle wine for sale to wholesalers. A winery may also
hold one retail license. If the retail license is a “Class B" license, the license is limited
compared to other “Class B” licenses and authorizes the winery to sell only wine, not
distilled spirits. A winery issued a retail license may provide wine made by the
winery directly to its own retail licensed premises without the wine first passing
through a wholesaler.
This bill creates a resort manufacturer permit, issued by the office, authorizing
all of the following: 1) the manufacture or rectification of up to 150,000 gallons of
intoxicating liquor per year on the resort manufacturer premises; 2) the bottling of
intoxicating liquor manufactured or rectified by the resort manufacturer; 3) the
possession and storage of alcohol beverages on the resort manufacturer premises; 4)
the sale of intoxicating liquor manufactured or rectified by the resort manufacturer
to wholesalers; 5) the retail sale on resort manufacturer premises, without a retail
license, of intoxicating liquor manufactured or rectified on these premises, for
consumption on the premises or off the premises; 6) the retail sale on resort
manufacturer premises, without a retail license, of beer and of intoxicating liquor not
manufactured or rectified on the premises, for consumption on the premises, if the
beer or intoxicating liquor is purchased from a wholesaler; and 7) the sale and
delivery of intoxicating liquor manufactured or rectified on the resort manufacturer
premises to the retail licensed premises of the resort or of a secondary resort facility
(discussed below). Among the requirements for the office to issue a resort
manufacturer permit, the applicant must own and operate at least one resort located
in this state. The bill defines a “resort” as a hospitality business operation involving
multiple facilities under the same ownership that includes at least 300 guest rooms
and includes all of the following located within 15 miles of these guest rooms: at least
one spa; comprehensive food and beverage services consisting of at least five separate
restaurants; and championship golf courses consisting of at least 36 holes. The bill
defines a “secondary resort facility” as a facility, other than a resort, that is located
in this state, that is owned by a resort manufacturer, that is of the same or
substantially similar consumer brand family as the resort, and that provides lodging
or has at least one golf course or both. To be eligible for a resort manufacturer permit,
the applicant's entire process for manufacturing or rectifying intoxicating liquor
must occur on the resort manufacturer premises. A resort manufacturer may hold
the following retail licenses: 1) retail licenses for licensed premises that are part of
the resort; 2) Class “B” and “Class B” licenses for up to ten licensed locations that are

part of a secondary resort facility; and 3) if a Class “B” or “Class B” license has been
issued for a secondary resort facility, a Class “A” or “Class A” license, or both, for any
gift shop associated with the secondary resort facility. A person may not hold a resort
manufacturer's permit and also a manufacturer's permit or rectifier's permit.
The bill also includes various provisions that treat resort manufacturers
similar to manufacturers and rectifiers, including provisions relating to tax
reporting.
For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SB801,1 1Section 1. 15.435 (title) of the statutes is amended to read:
SB801,5,2 215.435 (title) Same; attached boards and offices.
SB801,2 3Section 2. 15.435 (2) of the statutes is created to read:
SB801,5,84 15.435 (2) Office of alcohol beverages enforcement. There is created an
5office of alcohol beverages enforcement which is attached to the department of
6revenue under s. 15.03. The office shall be under the direction and supervision of a
7director nominated by the governor, and with the advice and consent of the senate
8appointed, for a 6-year term, subject to removal under s. 17.07 (3m).
SB801,3 9Section 3. 17.07 (3m) of the statutes is amended to read:
SB801,5,1210 17.07 (3m) Notwithstanding sub. (3), the parole commission chairperson and
11the director of the office of alcohol beverages enforcement
may be removed by the
12governor, at pleasure.
SB801,4 13Section 4. 19.42 (13) (q) of the statutes is created to read:
SB801,5,1514 19.42 (13) (q) The director and employees of the office of alcohol beverages
15enforcement.
SB801,5 16Section 5 . 20.005 (3) (schedule) of the statutes: at the appropriate place, insert
17the following amounts for the purposes indicated: - See PDF for table PDF
SB801,6 1Section 6. 20.566 (1) (ha) of the statutes is amended to read:
SB801,6,112 20.566 (1) (ha) Administration of liquor tax and alcohol beverages enforcement .
3The amounts in the schedule for computer, audit, and enforcement costs incurred in
4administering the tax under s. 139.03 (2m) and for costs incurred in enforcing the
53-tier system for alcohol beverages production, distribution, and sale under ch. 125
.
6All moneys received from the administration fee under s. 139.06 (1) (a) and any
7permit fee under s. 125.535 (2)
shall be credited to this appropriation.
8Notwithstanding s. 20.001 (3) (a), at the end of each fiscal year, the unencumbered
9balance of this appropriation account, minus an amount equal to 10 percent of the
10sum of the amounts expended and the amounts encumbered from the account during
11the fiscal year, shall lapse to the general fund.
SB801,7 12Section 7. 20.566 (1) (hd) of the statutes is repealed.
SB801,8 13Section 8. 20.566 (9) of the statutes is created to read:
SB801,6,1914 20.566 (9) Office of alcohol beverages enforcement. (g) General program
15operations.
The amounts in the schedule for alcohol beverages regulation and
16enforcement under ch. 125 and general program operations of the office of alcohol
17beverages enforcement. All moneys received by the office of alcohol beverages
18enforcement, including all moneys transferred under 2017 Wisconsin Act .... (this
19act), section 137 (1) (a), shall be credited to this appropriation account.
SB801,9 20Section 9. 20.923 (4) (c) 6. of the statutes is created to read:
SB801,7,1
120.923 (4) (c) 6. Office of alcohol beverages enforcement: director of.
SB801,10 2Section 10. 125.02 (10) of the statutes is amended to read:
SB801,7,43 125.02 (10) “Manufacturer" means a person, other than a rectifier or resort
4manufacturer
, that ferments, manufactures, or distills intoxicating liquor.
SB801,11 5Section 11. 125.02 (11g) of the statutes is created to read:
SB801,7,76 125.02 (11g) Except in ss. 125.30 (3) and 125.545 (2) (a) 2., “office" means the
7office of alcohol beverages enforcement.
SB801,12 8Section 12. 125.02 (12) of the statutes is amended to read:
SB801,7,119 125.02 (12) “Peace officer" means a sheriff, undersheriff, deputy sheriff, police
10officer, constable, marshal, deputy marshal or any employee of the department office
11or of the department of justice authorized to act under this chapter.
SB801,13 12Section 13. 125.02 (13) of the statutes is amended to read:
SB801,7,1413 125.02 (13) “Permit" means any permit issued by the department office under
14this chapter.
SB801,14 15Section 14. 125.02 (15) (b) of the statutes is amended to read:
SB801,7,1816 125.02 (15) (b) With respect to intoxicating liquor, the manufacturer, the
17rectifier, the resort manufacturer, or the exclusive agent designated by the
18manufacturer or, rectifier, or resort manufacturer.
SB801,15 19Section 15. 125.02 (16) (intro.) of the statutes is amended to read:
SB801,7,2120 125.02 (16) (intro.) “Rectifier" means any one of the following but does not
21include a resort manufacturer
:
SB801,16 22Section 16. 125.02 (17r) and (17t) of the statutes are created to read:
SB801,7,2323 125.02 (17r) “Resort manufacturer” means a permittee under s. 125.525.
SB801,7,25 24(17t) “Resort manufacturer premises" means any premises covered by a permit
25issued under s. 125.525.
SB801,17
1Section 17. 125.02 (21) of the statutes is amended to read:
SB801,8,52 125.02 (21) “Wholesaler" means a person, other than a brewer, brewpub,
3manufacturer, or rectifier, or resort manufacturer, who sells alcohol beverages to a
4licensed retailer or to another person who holds a permit to sell alcohol beverages at
5wholesale.
SB801,18 6Section 18. 125.02 (23) of the statutes is amended to read:
SB801,8,97 125.02 (23) “Wine collector" means an individual who meets the standards
8established by the department office by rule and who is registered with the
9department office as a collector of wine.
SB801,19 10Section 19. 125.025 of the statutes is created to read:
SB801,8,14 11125.025 Powers and duties of office. (1) Administration; personnel. (a)
12The office, under the direction of the director, shall administer this chapter and have
13jurisdiction over alcohol beverages regulation, enforcement, and education in this
14state.
SB801,8,1915 (b) The director of the office shall serve outside the classified service. The
16director of the office shall appoint a chief legal counsel in the classified service. The
17director may also appoint, in the classified service, special agents and other
18employees necessary to carry out the permitting, audit, education, and enforcement
19functions of the office.
SB801,8,2220 (c) The director and any employee of the office may not be employed by or have
21a financial interest in the alcohol beverages industry or any business subject to the
22office's jurisdiction.
SB801,8,25 23(2) Police powers. The office shall enforce, and the duly authorized employees
24of the office shall have all necessary police powers to prevent violations of, this
25chapter.
SB801,9,12
1(3) Inspection for enforcement. Duly authorized employees of the
2department of justice and the office and any sheriff, police officer, marshal, or
3constable, within their respective jurisdictions, may at all reasonable hours enter
4any licensed premises, and examine the books, papers, and records of any brewer,
5brewpub, manufacturer, bottler, rectifier, resort manufacturer, wholesaler, or
6retailer, and may inspect and examine, according to law, any premises where
7fermented malt beverages or intoxicating liquors are manufactured, sold, exposed
8for sale, possessed, or stored, for the purpose of inspecting the same and determining
9whether this chapter is being complied with. Any refusal to permit such examination
10of such premises is sufficient grounds under s. 125.12 for revocation or suspension
11of any license or permit granted for the sale of any fermented malt beverages or
12intoxicating liquors and is punishable under s. 125.11 (3).
SB801,9,15 13(4) Fees. All fees collected by the office in connection with permits issued under
14this chapter, including permit fees and other associated administrative fees, shall be
15credited to the appropriation account under s. 20.566 (9) (g).
SB801,9,18 16(5) List of permittees. The office shall provide the department with all
17information necessary for the department to publish the information specified in s.
18139.11 (4) (a) 2. and (b) 2.
SB801,20 19Section 20. 125.03 (title) of the statutes is amended to read:
SB801,9,20 20125.03 (title) Department Office rule making.
SB801,21 21Section 21. 125.03 (1) (a) of the statutes is amended to read:
SB801,9,2422 125.03 (1) (a) The department, in furtherance of effective control, may office
23shall
promulgate rules consistent with necessary to carry out its duties under this
24chapter and ch. 139.
SB801,22 25Section 22. 125.03 (1) (b) of the statutes is amended to read:
SB801,10,4
1125.03 (1) (b) The department office shall promulgate rules providing for
2registration of wine collectors and establishing standards of eligibility for
3registration as a wine collector. The rules shall also specify the form and manner of
4notice required under s. 125.06 (11m).
SB801,23 5Section 23. 125.03 (2) of the statutes is amended to read:
SB801,10,116 125.03 (2) Containers. The department office may by rule prescribe the
7standard size, form or character of any container in which intoxicating liquor may
8be sold in this state except that the department office may not set the size of
9containers in which intoxicating liquor, except wine containing not more than 21
10percent of alcohol by volume, may be sold at a capacity greater than 1.75 liters
11(59.1752 fluid ounces).
SB801,24 12Section 24. 125.04 (3) (a) (intro.) of the statutes is amended to read:
SB801,10,1613 125.04 (3) (a) Contents. (intro.) The department office shall prepare an
14application form for each kind of license, other than a manager's or operator's license,
15and for each kind of permit issued under this chapter. Each form shall require all
16of the following information:
SB801,25 17Section 25. 125.04 (3) (b) of the statutes is amended to read:
SB801,10,2018 125.04 (3) (b) Application for renewing. The department office may prepare a
19simplified application form for renewal of each kind of license or permit which
20requires only information pertinent to renewal.
SB801,26 21Section 26. 125.04 (3) (c) of the statutes is amended to read:
SB801,10,2322 125.04 (3) (c) Distribution. The department office shall make one copy of each
23kind of license application that it prepares available to each municipality.
SB801,27 24Section 27. 125.04 (3) (d) 1. of the statutes is amended to read:
SB801,11,2
1125.04 (3) (d) 1. An application form prepared by the department office shall
2be used by each applicant for a permit.
SB801,28 3Section 28. 125.04 (3) (d) 2. of the statutes is amended to read:
SB801,11,64 125.04 (3) (d) 2. A replica of an application form prepared by the department
5office shall be used by each applicant for a license, other than a manager's or
6operator's license.
SB801,29 7Section 29. 125.04 (3) (e) 2. of the statutes is amended to read:
SB801,11,98 125.04 (3) (e) 2. The applicant shall file the application for a permit with the
9department office.
SB801,30 10Section 30. 125.04 (4) of the statutes is amended to read:
SB801,11,1611 125.04 (4) List of licensees. By July 15 annually, the clerk of a municipality
12issuing licenses shall mail to the department office a list containing the name,
13address and trade name of each person holding a license issued by that municipality,
14other than a manager's or operator's license or a license issued under s. 125.26 (6),
15the type of license held and, if the person holding the license is a corporation or
16limited liability company, the name of the agent appointed under sub. (6).
SB801,31 17Section 31. 125.04 (5) (a) 5. of the statutes, as affected by 2017 Wisconsin Act
1859
, is amended to read:
SB801,12,219 125.04 (5) (a) 5. Have successfully completed within the 2 years prior to the
20date of application a responsible beverage server training course at any location that
21is offered by a technical college district and that conforms to curriculum guidelines
22specified by the technical college system board or a comparable training course that
23is approved by the department office or the department of safety and professional
24services. This subdivision does not apply to an applicant who held, or who was an
25agent appointed and approved under sub. (6) of a corporation or limited liability

1company that held, within the past 2 years, a Class “A", “ Class A" or “Class C" license
2or a Class “B" or “Class B" license or permit or a manager's or operator's license.
SB801,32 3Section 32. 125.04 (9) of the statutes is amended to read:
SB801,12,94 125.04 (9) Separate license or permit required. Except as provided under ss.
5125.27 (2) (a) and 125.51 (5) (c) 1., wholesalers, manufacturers, rectifiers, resort
6manufacturers,
brewers, brewpubs, and retailers shall have a separate permit or
7license covering each location or premises, except a licensed public warehouse, from
8which deliveries and sales of alcohol beverages are made or at which alcohol
9beverages are stored.
SB801,33 10Section 33. 125.045 of the statutes is amended to read:
SB801,12,14 11125.045 Booklet for licensees and permittees. (1) The department office
12shall prepare a booklet explaining the state statutes and rules relating to the retail
13sale of alcohol beverages, written concisely in language which is clearly understood
14by those required to utilize it.
SB801,12,18 15(2) The department office shall provide a copy of the booklet under sub. (1) free
16of charge to each person issued a permit, including a renewal, under s. 125.27 or
17125.51 (5). The department office shall provide the booklet for a charge not to exceed
18cost, as provided under s. 20.908, to municipalities.
SB801,13,2 19(3) A municipality shall provide a copy of the booklet under sub. (1) to each
20person issued a license, including a renewal, under s. 125.17, 125.18, 125.25, 125.26
21or 125.51 (1) by the municipality unless the municipality requires the person to
22complete an instructional program which includes the subject matter of the booklet
23or unless the person completes the program under s. 125.04 (5) (a) 5. or 125.17 (6).
24This section does not preclude a municipality from charging a fee for such a program.

1A municipality may charge for the booklet in an amount not to exceed the amount
2charged by the department office under sub. (2).
SB801,34 3Section 34. 125.06 (11m) of the statutes is amended to read:
SB801,13,84 125.06 (11m) Wine collectors. The sale by a wine collector to any other wine
5collector of manufacturer-sealed bottles or containers of wine that the selling wine
6collector has held for at least 8 years if the selling wine collector has provided prior
7notice of the sale to the department office. No more than one sale in any 12-month
8period may be conducted by a wine collector under this paragraph.
SB801,35 9Section 35. 125.07 (1) (b) 4. of the statutes is amended to read:
SB801,13,1210 125.07 (1) (b) 4. The court shall promptly mail notice of a suspension under this
11paragraph to the department office and to the clerk of each municipality which has
12issued a license or permit to the person.
SB801,36 13Section 36. 125.07 (4) (f) 3. of the statutes is amended to read:
SB801,13,2014 125.07 (4) (f) 3. A licensee may not bring a civil action under this paragraph
15unless the licensee has first provided notice to the underage person or the underage
16person's parent, as applicable, of the licensee's intent to bring the action. The notice
17shall be mailed to the last-known address of the underage person or underage
18person's parent, as applicable, at least 15 days prior to filing the action and shall
19include a demand for the relief described in subd. 1. The department office may, by
20rule, prescribe a form for this notice.
SB801,37 21Section 37. 125.105 (1) of the statutes is amended to read:
SB801,13,2322 125.105 (1) No person may impersonate an inspector, agent or other employee
23of the department office or of the department of justice.
SB801,38 24Section 38. 125.11 (3) of the statutes is created to read:
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