Amends TCA Title 7; Title 57 and Title 68.
ON APRIL 20, 2023, THE SENATE ADOPTED AMENDMENT #1 AND PASSED SENATE BILL 1327, AS AMENDED.<br /> <br /> AMENDMENT #1 rewrites this bill to revise present law relative to the revocation or suspension of permits or licenses for intoxicating liquors. <br /> <br /> Under present law, as a pilot project in certain counties, when a local or municipal beer board responsible for controlling the sale of beer or malt beverages within any county included in the project, finds violations of the laws pertaining to consumption of alcohol, in the sale of beer or malt beverages consumed on-premises of an establishment located within the local or municipal beer board's jurisdiction that result in the beer board suspending the operation of or revoking the permit of the establishment where the violation occurred, the beer board is authorized to notify the executive director of the alcoholic beverage commission by certified mail, return receipt requested, of the action taken by the beer board. Such notice must include the record of evidence and the determination made by the beer board in suspending or revoking the permit. Upon receipt of such notice, the executive director of the alcoholic beverage commission must, with respect to violations related to the license for the sale of alcoholic beverages for consumption on the premises at the location where the violation occurred:<br /> <br /> (1) Schedule a show-cause hearing for the next regularly scheduled meeting of the commission to be held at least 14 days following the date the executive director receives the certified letter to provide an opportunity for the licensee to appear and show cause why the license to sell alcoholic beverages on the premises should not be suspended or revoked for violations based on actions taken by the beer board pursuant to the pilot program; and<br /> <br /> (2) Notify the individual or business entity, which is listed as the licensee at the same location where the beer permit had been suspended or revoked, of the date and time of the show-cause hearing.<br /> <br /> The suspension or revocation decision of the beer board is final, and any party aggrieved thereby may appeal the decision of the beer board in accordance with the appeal procedures.<br /> <br /> Additionally, as another pilot project in certain counties, if the alcoholic beverage commission sends a certified letter, return receipt requested to the local or municipal beer board responsible for controlling the sale of beer or malt beverages within any county included in the program, providing notice that the commission has suspended or revoked the license of an establishment for a violation of consumption of alcoholic beverages laws, upon receipt of the certified letter, the beer board must:<br /> <br /> (1) Schedule a hearing for the next regularly scheduled meeting of the beer board to be held at least 14 days following the date the beer board receives the certified letter to provide an opportunity for the permit holder to appear and show cause why the permit to sell beer on the premises should not be suspended or revoked for violations based on actions taken by the alcoholic beverage commission; and<br /> <br /> (2) Notify the individual or business entity, which is listed as the permit holder at the same location where the alcoholic beverage license had been suspended or revoked, of the date and time of the hearing.<br /> <br /> If the beer board finds that a sufficient violation or violations have occurred at such location, then the beer board must suspend or revoke the permit to the same extent and at least for the same period of time as the alcoholic beverage commission has suspended or revoked the license of the establishment. If the permit holder fails to appear or decides to surrender the permit to the beer board in lieu of appearing at the hearing, the permit must be suspended or revoked by the beer board, and no permit to sell beer or malt beverages on the premises can be issued by the beer board to any person for the location where the alcoholic beverage commission had suspended or revoked the license for the period of time included in the decision of the alcoholic beverage commission. The decision of the beer board is final, and any party aggrieved thereby may appeal the decision of the beer board in accordance with this chapter.<br /> <br /> This amendment deletes all these provisions and prohibits the beer board or committee of a local government from imposing a fine or other penalty on a permittee based solely on a report issued by another local governmental agency of the local government, other than a law enforcement agency, as a predicate to enter the premises of a permittee or cite the permittee. The beer board is only authorized to issue a citation to a permittee for a violation of intoxicating liquors law after an independent investigation by the board. <br /> <br /> ON MARCH 11, 2024, THE HOUSE SUBSTITUTED SENATE BILL 1327 FOR HOUSE BILL 594, ADOPTED AMENDMENT #3, AND PASSED SENATE BILL 1327, AS AMENDED.<br /> <br /> AMENDMENT #3 rewrites the bill to revise present law relative to the revocation or suspension of permits or licenses for intoxicating liquors, as described below. <br /> <br /> REVOCATION OR SUSPENSION BY BEER BOARD<br /> <br /> Under present law, as a pilot project in certain counties, when a local or municipal beer board responsible for controlling the sale of beer or malt beverages within any county included in the project, finds violations of the laws pertaining to consumption of alcohol, in the sale of beer or malt beverages consumed on-premises of an establishment located within the local or municipal beer board's jurisdiction that result in the beer board suspending the operation of or revoking the permit of the establishment where the violation occurred, the beer board is authorized to notify the executive director of the alcoholic beverage commission ("commission") by certified mail, return receipt requested, of the action taken by the beer board. Such notice must include the record of evidence and the determination made by the beer board in suspending or revoking the permit. Upon receipt of such notice, the executive director of the commission must, with respect to violations related to the license for the sale of alcoholic beverages for consumption on the premises at the location where the violation occurred:<br /> <br /> (1) Schedule a show-cause hearing for the next regularly scheduled meeting of the commission to be held at least 14 days following the date the executive director receives the certified letter to provide an opportunity for the licensee to appear and show cause why the license to sell alcoholic beverages on the premises should not be suspended or revoked for violations based on actions taken by the beer board pursuant to the pilot program; and<br /> <br /> (2) Notify the individual or business entity, which is listed as the licensee at the same location where the beer permit had been suspended or revoked, of the date and time of the show-cause hearing.<br /> <br /> Present law provides that the suspension or revocation decision of the beer board is final, and any party aggrieved thereby may appeal the decision of the beer board in accordance with the appeal procedures.<br /> <br /> Additionally, as another pilot project in certain counties, if the alcoholic beverage commission sends a certified letter, return receipt requested to the local or municipal beer board responsible for controlling the sale of beer or malt beverages within any county included in the program, providing notice that the commission has suspended or revoked the license of an establishment for a violation of consumption of alcoholic beverages laws, upon receipt of the certified letter, then present law requires the beer board to do the following:<br /> <br /> (1) Schedule a hearing for the next regularly scheduled meeting of the beer board to be held at least 14 days following the date the beer board receives the certified letter to provide an opportunity for the permit holder to appear and show cause why the permit to sell beer on the premises should not be suspended or revoked for violations based on actions taken by the commission; and<br /> <br /> (2) Notify the individual or business entity, which is listed as the permit holder at the same location where the alcoholic beverage license had been suspended or revoked, of the date and time of the hearing.<br /> <br /> If the beer board finds that a sufficient violation has occurred at such location, then present law requires the beer board to suspend or revoke the permit to the same extent and at least for the same period of time as the commission has suspended or revoked the license of the establishment. If the permit holder fails to appear or decides to surrender the permit to the beer board in lieu of appearing at the hearing, the permit must be suspended or revoked by the beer board, and no permit to sell beer or malt beverages on the premises can be issued by the beer board to any person for the location where the commission had suspended or revoked the license for the period of time included in the decision of the commission. The decision of the beer board is final, and any party aggrieved thereby may appeal the decision of the beer board.<br /> <br /> Present law provides that the above provisions only apply in Hancock County, Union County, Grainger County, Claiborne County, Cocke County, Jefferson County, Hawkins County, Hamilton County, and Knox County.<br /> <br /> This amendment deletes all of these provisions and prohibits a local legislative body or a committee or board created by the local legislative body from imposing a fine or other penalty on a permittee based solely on a report issued by another agency of the local government, other than a law enforcement agency, as a predicate to enter the premises of a permittee or cite the permittee. Except as provided in the previous provision, the local legislative body or a committee or board created by the local legislative body may only issue a citation to a permittee for a violation after its own independent investigation.<br /> <br /> Present law authorizes a revocation, suspension, or imposition of civil penalty to be made for any violation or whenever it satisfactorily appears that the premises of any person, firm or corporation holding a permit or license are being maintained and operated in such manner as to be detrimental to public health, safety or morals. The board in considering the suspension or revocation of a license must consider repeated violations of any local ordinance or state law involving prohibited sexual contact on the premises of an adult oriented establishment. This amendment deletes these provisions and, instead, requires the local legislative body or a committee or board created by the local legislative body, in considering the suspension or revocation of a license, to consider repeated violations of any local ordinance or state law involving prohibited sexual contact on the premises of an adult-oriented establishment.<br /> <br /> REVOCATION OR SUSPENSION BY COMMISSION<br /> <br /> If a local or municipal beer board responsible for controlling the sale of beer or malt beverages sends a certified letter, return receipt requested to the executive director of the commission providing notice that the beer board has suspended or revoked the permit of an establishment for a violation, upon receipt of the certified letter, present law requires the executive director of the commission to do the following:<br /> <br /> (1) Schedule a show-cause hearing for the next regularly scheduled meeting of the commission to be held at least 14 days following the date the executive director receives the certified letter to provide an opportunity for the licensee to appear and show cause why the license to sell alcoholic beverages on the premises should not be suspended or revoked for violations of this chapter based on actions taken by the beer board; and<br /> <br /> (2) Notify the individual or business entity, which is listed as the licensee at the same location where the beer permit had been suspended or revoked, of the date and time of the show-cause hearing.<br /> <br /> If the commission finds that a sufficient violation has occurred at such location, then present law requires the commission to suspend or revoke the license of the establishment to the same extent and at least for the same period of time as the beer board has suspended or revoked the permit of the establishment.<br /> <br /> If the licensee fails to appear or decides to surrender the license to the commission in lieu of appearing at the show-cause hearing, then present law requires the license to be suspended or revoked by the commission, and prohibits a license to sell alcoholic beverages on the premises from being issued by the commission to any person for the location where the beer board suspended or revoked the license or permit for the period of time included in the decision of the beer board. Present law prohibits the commission from having the authority to and from issuing a fine in lieu of suspending or revoking the license of an establishment whose license had been suspended or revoked by the beer board. The decision of the commission is final, and any party aggrieved thereby may appeal the decision of the commission.<br /> <br /> When the alcoholic beverage commission suspends the license to sell alcoholic beverages on the premises for any violation or violations, present law authorizes the commission to notify the local or municipal beer board responsible for controlling the sale of beer or malt beverages within such county by certified mail, return receipt requested, of the action taken by the commission. Such notice must include the record of evidence and the determination made by the alcohol beverage commission in suspending or revoking the license. <br /> <br /> Present law provides that the pilot project established by the above present law relevant to revocation or suspension by the commission only applies in Hancock County, Union County, Grainger County, Claiborne County, Cocke County, Jefferson County, Hawkins County, Hamilton County, and Knox County.<br /> <br /> This amendment deletes the above provisions relevant to revocation or suspension by the commission.<br />
ON APRIL 20, 2023, THE SENATE ADOPTED AMENDMENT #1 AND PASSED SENATE BILL 1327, AS AMENDED.<br /> <br /> AMENDMENT #1 rewrites this bill to revise present law relative to the revocation or suspension of permits or licenses for intoxicating liquors. <br /> <br /> Under present law, as a pilot project in certain counties, when a local or municipal beer board responsible for controlling the sale of beer or malt beverages within any county included in the project, finds violations of the laws pertaining to consumption of alcohol, in the sale of beer or malt beverages consumed on-premises of an establishment located within the local or municipal beer board's jurisdiction that result in the beer board suspending the operation of or revoking the permit of the establishment where the violation occurred, the beer board is authorized to notify the executive director of the alcoholic beverage commission by certified mail, return receipt requested, of the action taken by the beer board. Such notice must include the record of evidence and the determination made by the beer board in suspending or revoking the permit. Upon receipt of such notice, the executive director of the alcoholic beverage commission must, with respect to violations related to the license for the sale of alcoholic beverages for consumption on the premises at the location where the violation occurred:<br /> <br /> (1) Schedule a show-cause hearing for the next regularly scheduled meeting of the commission to be held at least 14 days following the date the executive director receives the certified letter to provide an opportunity for the licensee to appear and show cause why the license to sell alcoholic beverages on the premises should not be suspended or revoked for violations based on actions taken by the beer board pursuant to the pilot program; and<br /> <br /> (2) Notify the individual or business entity, which is listed as the licensee at the same location where the beer permit had been suspended or revoked, of the date and time of the show-cause hearing.<br /> <br /> The suspension or revocation decision of the beer board is final, and any party aggrieved thereby may appeal the decision of the beer board in accordance with the appeal procedures.<br /> <br /> Additionally, as another pilot project in certain counties, if the alcoholic beverage commission sends a certified letter, return receipt requested to the local or municipal beer board responsible for controlling the sale of beer or malt beverages within any county included in the program, providing notice that the commission has suspended or revoked the license of an establishment for a violation of consumption of alcoholic beverages laws, upon receipt of the certified letter, the beer board must:<br /> <br /> (1) Schedule a hearing for the next regularly scheduled meeting of the beer board to be held at least 14 days following the date the beer board receives the certified letter to provide an opportunity for the permit holder to appear and show cause why the permit to sell beer on the premises should not be suspended or revoked for violations based on actions taken by the alcoholic beverage commission; and<br /> <br /> (2) Notify the individual or business entity, which is listed as the permit holder at the same location where the alcoholic beverage license had been suspended or revoked, of the date and time of the hearing.<br /> <br /> If the beer board finds that a sufficient violation or violations have occurred at such location, then the beer board must suspend or revoke the permit to the same extent and at least for the same period of time as the alcoholic beverage commission has suspended or revoked the license of the establishment. If the permit holder fails to appear or decides to surrender the permit to the beer board in lieu of appearing at the hearing, the permit must be suspended or revoked by the beer board, and no permit to sell beer or malt beverages on the premises can be issued by the beer board to any person for the location where the alcoholic beverage commission had suspended or revoked the license for the period of time included in the decision of the alcoholic beverage commission. The decision of the beer board is final, and any party aggrieved thereby may appeal the decision of the beer board in accordance with this chapter.<br /> <br /> This amendment deletes all these provisions and prohibits the beer board or committee of a local government from imposing a fine or other penalty on a permittee based solely on a report issued by another local governmental agency of the local government, other than a law enforcement agency, as a predicate to enter the premises of a permittee or cite the permittee. The beer board is only authorized to issue a citation to a permittee for a violation of intoxicating liquors law after an independent investigation by the board. <br /> <br /> ON MARCH 11, 2024, THE HOUSE SUBSTITUTED SENATE BILL 1327 FOR HOUSE BILL 594, ADOPTED AMENDMENT #3, AND PASSED SENATE BILL 1327, AS AMENDED.<br /> <br /> AMENDMENT #3 rewrites the bill to revise present law relative to the revocation or suspension of permits or licenses for intoxicating liquors, as described below. <br /> <br /> REVOCATION OR SUSPENSION BY BEER BOARD<br /> <br /> Under present law, as a pilot project in certain counties, when a local or municipal beer board responsible for controlling the sale of beer or malt beverages within any county included in the project, finds violations of the laws pertaining to consumption of alcohol, in the sale of beer or malt beverages consumed on-premises of an establishment located within the local or municipal beer board's jurisdiction that result in the beer board suspending the operation of or revoking the permit of the establishment where the violation occurred, the beer board is authorized to notify the executive director of the alcoholic beverage commission ("commission") by certified mail, return receipt requested, of the action taken by the beer board. Such notice must include the record of evidence and the determination made by the beer board in suspending or revoking the permit. Upon receipt of such notice, the executive director of the commission must, with respect to violations related to the license for the sale of alcoholic beverages for consumption on the premises at the location where the violation occurred:<br /> <br /> (1) Schedule a show-cause hearing for the next regularly scheduled meeting of the commission to be held at least 14 days following the date the executive director receives the certified letter to provide an opportunity for the licensee to appear and show cause why the license to sell alcoholic beverages on the premises should not be suspended or revoked for violations based on actions taken by the beer board pursuant to the pilot program; and<br /> <br /> (2) Notify the individual or business entity, which is listed as the licensee at the same location where the beer permit had been suspended or revoked, of the date and time of the show-cause hearing.<br /> <br /> Present law provides that the suspension or revocation decision of the beer board is final, and any party aggrieved thereby may appeal the decision of the beer board in accordance with the appeal procedures.<br /> <br /> Additionally, as another pilot project in certain counties, if the alcoholic beverage commission sends a certified letter, return receipt requested to the local or municipal beer board responsible for controlling the sale of beer or malt beverages within any county included in the program, providing notice that the commission has suspended or revoked the license of an establishment for a violation of consumption of alcoholic beverages laws, upon receipt of the certified letter, then present law requires the beer board to do the following:<br /> <br /> (1) Schedule a hearing for the next regularly scheduled meeting of the beer board to be held at least 14 days following the date the beer board receives the certified letter to provide an opportunity for the permit holder to appear and show cause why the permit to sell beer on the premises should not be suspended or revoked for violations based on actions taken by the commission; and<br /> <br /> (2) Notify the individual or business entity, which is listed as the permit holder at the same location where the alcoholic beverage license had been suspended or revoked, of the date and time of the hearing.<br /> <br /> If the beer board finds that a sufficient violation has occurred at such location, then present law requires the beer board to suspend or revoke the permit to the same extent and at least for the same period of time as the commission has suspended or revoked the license of the establishment. If the permit holder fails to appear or decides to surrender the permit to the beer board in lieu of appearing at the hearing, the permit must be suspended or revoked by the beer board, and no permit to sell beer or malt beverages on the premises can be issued by the beer board to any person for the location where the commission had suspended or revoked the license for the period of time included in the decision of the commission. The decision of the beer board is final, and any party aggrieved thereby may appeal the decision of the beer board.<br /> <br /> Present law provides that the above provisions only apply in Hancock County, Union County, Grainger County, Claiborne County, Cocke County, Jefferson County, Hawkins County, Hamilton County, and Knox County.<br /> <br /> This amendment deletes all of these provisions and prohibits a local legislative body or a committee or board created by the local legislative body from imposing a fine or other penalty on a permittee based solely on a report issued by another agency of the local government, other than a law enforcement agency, as a predicate to enter the premises of a permittee or cite the permittee. Except as provided in the previous provision, the local legislative body or a committee or board created by the local legislative body may only issue a citation to a permittee for a violation after its own independent investigation.<br /> <br /> Present law authorizes a revocation, suspension, or imposition of civil penalty to be made for any violation or whenever it satisfactorily appears that the premises of any person, firm or corporation holding a permit or license are being maintained and operated in such manner as to be detrimental to public health, safety or morals. The board in considering the suspension or revocation of a license must consider repeated violations of any local ordinance or state law involving prohibited sexual contact on the premises of an adult oriented establishment. This amendment deletes these provisions and, instead, requires the local legislative body or a committee or board created by the local legislative body, in considering the suspension or revocation of a license, to consider repeated violations of any local ordinance or state law involving prohibited sexual contact on the premises of an adult-oriented establishment.<br /> <br /> REVOCATION OR SUSPENSION BY COMMISSION<br /> <br /> If a local or municipal beer board responsible for controlling the sale of beer or malt beverages sends a certified letter, return receipt requested to the executive director of the commission providing notice that the beer board has suspended or revoked the permit of an establishment for a violation, upon receipt of the certified letter, present law requires the executive director of the commission to do the following:<br /> <br /> (1) Schedule a show-cause hearing for the next regularly scheduled meeting of the commission to be held at least 14 days following the date the executive director receives the certified letter to provide an opportunity for the licensee to appear and show cause why the license to sell alcoholic beverages on the premises should not be suspended or revoked for violations of this chapter based on actions taken by the beer board; and<br /> <br /> (2) Notify the individual or business entity, which is listed as the licensee at the same location where the beer permit had been suspended or revoked, of the date and time of the show-cause hearing.<br /> <br /> If the commission finds that a sufficient violation has occurred at such location, then present law requires the commission to suspend or revoke the license of the establishment to the same extent and at least for the same period of time as the beer board has suspended or revoked the permit of the establishment.<br /> <br /> If the licensee fails to appear or decides to surrender the license to the commission in lieu of appearing at the show-cause hearing, then present law requires the license to be suspended or revoked by the commission, and prohibits a license to sell alcoholic beverages on the premises from being issued by the commission to any person for the location where the beer board suspended or revoked the license or permit for the period of time included in the decision of the beer board. Present law prohibits the commission from having the authority to and from issuing a fine in lieu of suspending or revoking the license of an establishment whose license had been suspended or revoked by the beer board. The decision of the commission is final, and any party aggrieved thereby may appeal the decision of the commission.<br /> <br /> When the alcoholic beverage commission suspends the license to sell alcoholic beverages on the premises for any violation or violations, present law authorizes the commission to notify the local or municipal beer board responsible for controlling the sale of beer or malt beverages within such county by certified mail, return receipt requested, of the action taken by the commission. Such notice must include the record of evidence and the determination made by the alcohol beverage commission in suspending or revoking the license. <br /> <br /> Present law provides that the pilot project established by the above present law relevant to revocation or suspension by the commission only applies in Hancock County, Union County, Grainger County, Claiborne County, Cocke County, Jefferson County, Hawkins County, Hamilton County, and Knox County.<br /> <br /> This amendment deletes the above provisions relevant to revocation or suspension by the commission.<br />
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