SB801: Bill Text

SB801,107 Section 107. 125.535 (3) (b) 2. of the statutes is amended to read:

SB801,39,5 125.535 (3) (b) 2. The winery submits to the department office, with any initial application or renewal for a certificate under s. 73.03 (50) or a permit under par. (a) 3. or 4., a copy of any current license, permit, or authorization issued to the winery by the state from which the winery will ship wine into this state or the winery's federal basic permit.

SB801,108 Section 108. 125.54 (1) of the statutes is amended to read:

SB801,39,14 125.54 (1) Authorized activities. The department office shall issue wholesalers' permits authorizing the permittee to sell, from the premises described in the permit, intoxicating liquor at wholesale to retailers and wholesalers, as well as to manufacturers, rectifiers, resort manufacturers, and wineries for production purposes. The permittee may not sell intoxicating liquor for consumption on the premises. Possession of a permit under this section does not authorize the permittee to sell tax-free intoxicating liquor and wine brought into this state under s. 139.03 (5).

SB801,109 Section 109. 125.54 (5) of the statutes is amended to read:

SB801,39,21 125.54 (5) Sales area. No wholesaler may sell any intoxicating liquor before filing with the department office a written statement that the permittee is a distributor of a particular brand in this state, or an area of this state, and that the sales of that brand by the permittee and anyone purchasing from the permittee will be limited to the area specified. The permittee shall notify the department office of any change in the area within 7 days of the effective date of the change.

SB801,110 Section 110. 125.54 (7) (a) 2. of the statutes is amended to read:

SB801,40,4 125.54 (7) (a) 2. A permittee under this section shall annually sell and deliver intoxicating liquor to at least 10 retail licensees or permittees that do not have any direct or indirect interest in each other or in the permittee under this section. The department office shall not issue a permit under this section unless the applicant represents to the department office an intention to satisfy this requirement, and shall not renew a permit issued under this section unless the permittee demonstrates that this requirement has been satisfied.

SB801,111 Section 111. 125.54 (7) (c) 3. of the statutes is amended to read:

SB801,40,8 125.54 (7) (c) 3. This paragraph shall not affect the authority of any municipality or the department office to revoke, suspend, or refuse to renew or issue a license or permit under s. 125.12.

SB801,112 Section 112. 125.54 (7) (d) of the statutes is amended to read:

SB801,40,18 125.54 (7) (d) The department office shall promulgate rules to administer and enforce the requirements under this subsection. The rules shall ensure coordination between the department's office's issuance and renewal of permits under this section and its enforcement of the requirements of this subsection, and shall require that all applications for issuance or renewal of permits under this section be processed by department office personnel generally familiar with activities of intoxicating liquor wholesalers. The department office shall establish by rule minimum requirements for warehouse facilities on premises described in permits issued under this section and for periodic site inspections by the department office of such warehouse facilities.

SB801,113 Section 113. 125.54 (8) of the statutes is amended to read:

SB801,40,25 125.54 (8) Duty to work in good faith. Each wholesaler has an obligation to negotiate in good faith with any manufacturer, rectifier, resort manufacturer, or winery that seeks to sell its products in this state through the wholesaler. To this end, all wholesalers shall work diligently to ensure that distribution channels are available for the sale of intoxicating liquor products through wholesalers to retailers in this state.

SB801,114 Section 114. 125.545 (2) (a) 3. b. of the statutes is amended to read:

SB801,41,3 125.545 (2) (a) 3. b. The small winery is certified by the department office under sub. (6) (a) as a small winery.

SB801,115 Section 115. 125.545 (3) (a) 1. of the statutes is amended to read:

SB801,41,12 125.545 (3) (a) 1. Within 7 days after filing its articles of incorporation under ch. 185, a cooperative wholesaler shall apply to the department office for a wholesaler's permit under s. 125.54. The provisions of s. 125.04 (5) (c) and (6) shall apply to a cooperative wholesaler as if the cooperative wholesaler were a corporation or a limited liability company and, for each of these provisions, the department office shall determine whether the cooperative wholesaler is most similar to a corporation or a limited liability company in the context of that provision and apply that provision to the cooperative wholesaler accordingly.

SB801,116 Section 116. 125.545 (3) (a) 2. of the statutes is amended to read:

SB801,41,20 125.545 (3) (a) 2. Notwithstanding s. 125.54 (6), the department office may issue not more than one wholesaler's permit to any cooperative wholesaler. The department office may not issue more than a total of 6 wholesalers' permits to cooperative wholesalers in this state. The department office may not issue any new wholesaler's permit to a cooperative wholesaler after December 31, 2008, but may renew wholesalers' permits that were initially issued to cooperative wholesalers prior to that date.

SB801,117 Section 117. 125.545 (5) of the statutes is amended to read:

SB801,42,2 125.545 (5) Biennial reports. With each application for renewal of a wholesaler's permit issued to a cooperative wholesaler, each cooperative wholesaler shall file with the department office, in the form and manner prescribed by the department office by rule, a biennial report that includes detailed information on its members, board of directors, and sale and distribution activities.

SB801,118 Section 118. 125.545 (6) of the statutes is amended to read:

SB801,42,6 125.545 (6) Department Office certification and rule making. (a) 1. The department office shall, upon application, certify eligible applicants as small wineries and renew prior certifications of eligible applicants as small wineries.

SB801,42,14 2. Any winery seeking to become a member of, or to maintain its membership in, a cooperative wholesaler may apply to the department office for certification as a small winery. If the winery meets the definition of a small winery under this section, satisfies the requirement under sub. (2) (a) 3. a., and submits any other information that the department office determines is necessary to certify that the winery is operating as a small winery and is eligible for membership in a cooperative wholesaler, the department office shall certify the winery as a small winery. This certification shall remain valid for one year.

SB801,42,16 3. In certifying any winery under subd. 2., the department office shall classify the winery as either a Wisconsin winery or an out-of-state winery.

SB801,42,20 4. The department office shall refuse to certify under this paragraph any winery that cannot demonstrate it holds all necessary permits for its operations or that the department office finds is otherwise not in full compliance with the laws of this state.

SB801,42,22 (b) The department office shall promulgate rules to administer and enforce the requirements under this section.

SB801,119 Section 119. 125.545 (7) of the statutes is amended to read:

SB801,43,2 125.545 (7) Penalties. (a) Any winery that sells or distributes its wine directly to a retailer, rather than through a wholesaler or cooperative wholesaler, is subject to a fine of not more than $10,000 and revocation of all of its permits by the department office under s. 125.12 (5).

SB801,43,6 (b) Any cooperative wholesaler that provides preferential treatment to a Wisconsin winery or discriminates against an out-of-state winery is subject to a fine of not more than $10,000 and revocation of its wholesaler's permit by the department office under s. 125.12 (5).

SB801,120 Section 120. 125.55 (1) of the statutes is amended to read:

SB801,43,9 125.55 (1) The department office may issue a combination manufacturer's and rectifier's permit.

SB801,121 Section 121. 125.56 (2) (a) of the statutes is amended to read:

SB801,43,15 125.56 (2) (a) The department office shall issue sacramental wine permits to organized religious bodies authorizing them to purchase for their own use sacramental wine from any permittee under s. 125.52 (1), 125.53 or 125.54. A permit under this subsection does not authorize the resale of sacramental wine by the permittee.

SB801,122 Section 122. 125.56 (2) (c) of the statutes is amended to read:

SB801,43,19 125.56 (2) (c) Shipments of sacramental wine shall be conspicuously labeled “for sacramental purposes" and shall meet any other requirements the department office prescribes by rule.

SB801,123 Section 123. 125.56 (2) (d) of the statutes is amended to read:

SB801,43,22 125.56 (2) (d) A sacramental wine permit shall be issued free of charge by the department office and is not subject to s. 125.04 (11) (a).

SB801,124 Section 124. 125.58 (1) of the statutes is amended to read:

SB801,44,17 125.58 (1) The department office shall issue out-of-state shippers' permits which authorize persons located outside this state to sell or ship intoxicating liquor into this state. Except as provided under sub. (4), intoxicating liquor may be shipped into this state only to a person holding a wholesaler's permit under s. 125.54 or, if shipped from a manufacturer or rectifier in another state holding a permit under this section and shipped for use for production purposes, to a person holding a manufacturer's or rectifier's permit under s. 125.52, a resort manufacturer permit under s. 125.525, or a winery permit under s. 125.53. Except as provided under sub. (4), a separate out-of-state shipper's permit is required for each location from which any intoxicating liquor is sold or shipped into this state, including the location from which the invoices are issued for the sales or shipments. Any person holding an out-of-state shipper's permit issued under this section may solicit orders for sales or shipments by the permittee without obtaining the sales solicitation permit required by s. 125.65, but every agent, salesperson or other representative who solicits orders for sales or shipments by an out-of-state shipper shall first obtain a permit for soliciting orders under s. 125.65. No holder of an out-of-state shipper's permit issued under this section may sell intoxicating liquor in this state or ship intoxicating liquor into this state unless the out-of-state shipper is the primary source of supply for that intoxicating liquor.

SB801,125 Section 125. 125.60 (1) of the statutes is amended to read:

SB801,44,23 125.60 (1) The department office may issue a wholesale alcohol permit which authorizes the permittee to sell ethyl alcohol of 190 proof or more to persons holding permits or licenses issued under s. 125.61 or 125.62. Nothing in this section requires manufacturers, rectifiers and wholesalers holding permits issued under s. 125.52 (1) or 125.54 to obtain a wholesale alcohol permit.

SB801,126 Section 126. 125.61 (1) of the statutes is amended to read:

SB801,45,4 125.61 (1) The department office may issue a medicinal alcohol permit which authorizes the permittee to purchase and use alcohol for medicinal purposes only. The permit may be issued only to persons who prove to the department office that they use alcohol for medicinal purposes.

SB801,127 Section 127. 125.61 (3) of the statutes is amended to read:

SB801,45,8 125.61 (3) Shipments of medicinal alcohol shall be conspicuously labeled “for medicinal purposes" and shall meet other requirements which the department office prescribes by rule.

SB801,128 Section 128. 125.61 (4) of the statutes is amended to read:

SB801,45,11 125.61 (4) A medicinal permit shall be issued free of charge by the department office and is not subject to s. 125.04 (11) (a).

SB801,129 Section 129. 125.62 (1) of the statutes is amended to read:

SB801,45,16 125.62 (1) The department office may issue an industrial alcohol permit which authorizes the permittee to purchase and use alcohol for industrial purposes only. Such permits may be issued only to persons who prove to the department office that they use alcohol for industrial purposes.

SB801,130 Section 130. 125.62 (3) of the statutes is amended to read:

SB801,45,20 125.62 (3) Shipments of industrial alcohol shall be conspicuously labeled “for industrial purposes" and shall meet other requirements which the department office prescribes by rule.

SB801,131 Section 131. 125.63 (1) of the statutes is amended to read:

SB801,45,25 125.63 (1) The department office may issue an industrial wine permit which authorizes the purchase and use of wine for industrial purposes only. An industrial wine permit may be issued only to persons who prove to the department office that they use wine for industrial purposes.

SB801,132 Section 132. 125.63 (3) of the statutes is amended to read:

SB801,46,4 125.63 (3) Shipments of industrial wine shall be conspicuously labeled “for industrial purposes" and shall meet other requirements which the department office prescribes by rule.

SB801,133 Section 133. 125.65 (1) of the statutes is amended to read:

SB801,46,10 125.65 (1) The department office may issue a permit for wholesale sales for future delivery which authorizes the permittee to solicit orders, and to engage in the sale, of intoxicating liquor for delivery at a future date. A person holding a permit under this section may give a sample of a brand of intoxicating liquor to a “Class A" licensee who has not previously purchased that brand from the permittee.

SB801,134 Section 134. 125.65 (4) (intro.) of the statutes is amended to read:

SB801,46,13 125.65 (4) (intro.) The department office shall require the following information in applications for permits under this section:

SB801,135 Section 135. 125.65 (4) (e) of the statutes is amended to read:

SB801,46,15 125.65 (4) (e) Any other information required by the department office.

SB801,136 Section 136. 125.65 (6) of the statutes is amended to read:

SB801,46,21 125.65 (6) Employers shall furnish the department office with the names of all employees engaged in activities requiring a permit under this section and shall notify the department office whenever an employee begins or terminates employment. Upon leaving employment, an employee shall submit his or her permit to the department office for cancellation.

SB801,137 Section 137. 125.65 (10) of the statutes is amended to read:

SB801,46,25 125.65 (10) The department office may not require a fee for a permit under this section for an individual who is eligible for the veterans fee waiver program under s. 45.44.

SB801,138 Section 138. 125.68 (9) (b) of the statutes is amended to read:

SB801,47,5 125.68 (9) (b) All containers of intoxicating liquor sold in this state shall be clearly and legibly labeled with the name and address of the manufacturer or resort manufacturer and the name of the intoxicating liquor. The label shall meet any other labeling requirements created by the federal alcohol administration act.

SB801,139 Section 139. 125.68 (9) (d) of the statutes is amended to read:

SB801,47,9 125.68 (9) (d) All packages or containers of intoxicating liquor delivered in this state shall bear seals affixed by the manufacturer or resort manufacturer so that the contents cannot be removed without breaking the seals.

SB801,140 Section 140. 125.68 (9) (f) of the statutes is amended to read:

SB801,47,17 125.68 (9) (f) Every person manufacturing, rectifying or blending intoxicating liquor sold in this state shall provide the department office with the names, brands, descriptions, alcoholic content by volume and any other information about the intoxicating liquor required by the department office. Information required by this paragraph shall be submitted prior to placing any new blend on the market. The department office may also require by rule that samples of new products be submitted for examination and analysis.

SB801,141 Section 141. 125.68 (10) of the statutes is amended to read:

SB801,47,24 125.68 (10) Shipments into state. (a) Except as provided in s. 125.535, no intoxicating liquor may be shipped into this state unless consigned to a person holding a wholesaler's permit under s. 125.54 or, if shipped from a manufacturer or rectifier in another state holding a permit under s. 125.58, consigned to a person holding a manufacturer's or rectifier's permit under s. 125.52, a resort manufacturer permit under s. 125.525, or a winery permit under s. 125.53.

SB801,48,7 (b) Except as provided in s. 125.535, no common carrier or other person may transport into and deliver within this state any intoxicating liquor unless it is consigned to a person holding a wholesaler's permit under s. 125.54 or, if shipped from a manufacturer or rectifier in another state holding a permit under s. 125.58, consigned to a person holding a manufacturer's or rectifier's permit under s. 125.52, a resort manufacturer permit under s. 125.525, or a winery permit under s. 125.53. Any common carrier violating this paragraph shall forfeit $100 for each violation.

SB801,142 Section 142. 125.69 (title) of the statutes is amended to read:

SB801,48,10 125.69 (title) Restrictions on dealings between manufacturers, rectifiers, resort manufacturers, wholesalers, and retailers.

SB801,143 Section 143. 125.69 (1) (a) of the statutes is renumbered 125.69 (1) (a) 1. and amended to read:

SB801,48,17 125.69 (1) (a) 1. No Except as provided in subds. 2. and 3., no intoxicating liquor manufacturer, rectifier, resort manufacturer, winery, out-of-state shipper permittee, or wholesaler may hold any direct or indirect interest in any “Class A" license or establishment and no “Class A" licensee may hold any direct or indirect interest in a wholesale permit or establishment, except that a .

SB801,48,22 2. A winery that has a permit under s. 125.53 may have an ownership interest in a “Class A" license and a person may hold a “Class A" license and both a winery permit under s. 125.53 and a manufacturer's or rectifier's permit under s. 125.52 and may make retail sales and provide taste samples as authorized under the “Class A" license and ss. 125.06 (13) and 125.52 (1) (b) 2.

SB801,144 Section 144. 125.69 (1) (a) 3. of the statutes is created to read:

SB801,48,25 125.69 (1) (a) 3. A person may hold a resort manufacturer permit and “Class A” licenses as provided in s. 125.525 (4) (a) and (c).

SB801,145 Section 145. 125.69 (1) (b) 1. of the statutes is amended to read:

SB801,49,8 125.69 (1) (b) 1. Except as provided under subds. 3., 4., and 5., no intoxicating liquor manufacturer, rectifier, resort manufacturer, winery, out-of-state shipper permittee, or wholesaler may hold any direct or indirect interest in any “Class B" license or permit or establishment or “Class C" license or establishment and no “Class B" licensee or permittee or “Class C" licensee may hold any direct or indirect interest in a manufacturer, rectifier, resort manufacturer, winery, out-of-state shipper, or wholesale permit or establishment.

SB801,146 Section 146. 125.69 (1) (b) 3. of the statutes is created to read:

SB801,49,11 125.69 (1) (b) 3. A person may hold a resort manufacturer permit and “Class B” licenses as provided in s. 125.525 (4) (a) and (b).

SB801,147 Section 147. 125.69 (1) (c) of the statutes is amended to read:

SB801,49,18 125.69 (1) (c) No manufacturer, rectifier, resort manufacturer, winery, or out-of-state shipper permittee, whether located within or without this state, may hold any direct or indirect interest in any wholesale permit or establishment. Except as provided in pars. (a) 2. and 3. and (b) 3. and 4. and s. ss. 125.525 and 125.53, no retail licensee may hold any direct or indirect interest in any manufacturer, rectifier, resort manufacturer, winery, or out-of-state shipper permittee.