CHAPTER 62. MANUFACTURER'S LICENSE - Texas Statutes

ALCOHOLIC BEVERAGE CODE

TITLE 3. LICENSES AND PERMITS

SUBTITLE B. LICENSES

CHAPTER 62. MANUFACTURER'S LICENSE

Sec. 62.01. AUTHORIZED ACTIVITIES. (a) The holder of a

manufacturer's license may:

(1) manufacture or brew beer and distribute and sell it in this

state to the holders of general, local, and branch distributor's

licenses and to qualified persons outside the state;

(2) dispense beer for consumption on the premises;

(3) bottle and can beer and pack it into containers for resale

in this state, regardless of whether the beer is manufactured or

brewed in this state or in another state and imported into Texas;

and

(4) conduct samplings of beer, including tastings, at a

retailer's premises.

(b) An agent or employee of the holder of a manufacturer's

license may open, touch, or pour beer, make a presentation, or

answer questions at a sampling event.

Acts 1977, 65th Leg., p. 474, ch. 194, Sec. 1, eff. Sept. 1,

1977. Amended by Acts 1979, 66th Leg., p. 53, ch. 33, Sec. 1,

eff. Aug. 27, 1979.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

1073, Sec. 8, eff. September 1, 2007.

Sec. 62.02. FEE. (a) Each person who establishes, operates, or

maintains one or more licensed manufacturing establishments in

this state under the same general management or ownership shall

pay an annual state fee as follows:

(1) the fee for the first establishment is $750;

(2) the fee for the second establishment is $1,500;

(3) the fee for the third, fourth, and fifth establishments is

$4,275 for each establishment; and

(4) the fee for each establishment in excess of five is $8,400.

(b) For the purposes of this section, two or more establishments

are under the same general management or ownership if:

(1) they bottle the same brand of beer or beer brewed by the

same manufacturer; or

(2) the persons (regardless of domicile) who establish, operate,

or maintain the establishments are controlled or directed by one

management or by an association of ultimate management.

Acts 1977, 65th Leg., p. 474, ch. 194, Sec. 1, eff. Sept. 1,

1977. Amended by Acts 1983, 68th Leg., p. 1349, ch. 278, Sec. 38,

eff. Sept. 1, 1983.

Sec. 62.03. STATEMENT OF INTENTION. (a) Except as provided by

Section 62.14, each applicant for a manufacturer's license shall

file with an application a sworn statement that the applicant

will be engaged in the business of brewing and packaging beer in

this state in quantities sufficient to make the applicant's

operation a bona fide brewing manufacturer within three years of

the issuance of the original license. If the applicant is a

corporation, the statement must be signed by one of its principal

officers. The county judge may not approve an application unless

it is accompanied by the required sworn statement.

(b) This section does not apply to the holder of a

manufacturer's license which was in effect on January 1, 1953.

Acts 1977, 65th Leg., p. 474, ch. 194, Sec. 1, eff. Sept. 1,

1977.

Amended by:

Acts 2005, 79th Leg., Ch.

1182, Sec. 5, eff. June 18, 2005.

Sec. 62.04. RENEWAL OF LICENSE DURING PRELIMINARY STAGES OF

OPERATION. (a) A renewal of a manufacturer's license may not be

denied during the two-year period following the issuance of the

original license on the ground that the licensee has not brewed

and packaged beer in this state if the licensee is engaged in

good faith in constructing a brewing plant on the licensed

premises or is engaged in one of the following preparatory stages

of construction:

(1) preliminary engineering;

(2) preparing drawings and specifications;

(3) conducting engineering, architectural, or equipment studies;

or

(4) preparing for the taking of bids from contractors.

(b) During the three-year period following the issuance of a

manufacturer's license, as long as the licensee is engaged in

construction or in a preliminary stage of construction enumerated

in Subsection (a) of this section, the commission shall issue

each renewal license to take effect immediately on the expiration

of the expiring license and shall not require the licensee to

make an original application.

(c) After two years and 11 months has expired following the

issuance of an original manufacturer's license, the commission

shall not issue a renewal license if it finds that the licensee

has not complied with his sworn statement filed with his original

application or that he has not begun construction of a plant or

initiated any of the preliminary stages of construction

enumerated in Subsection (a) unless the commission also finds

that the applicant has been prevented from doing so by causes

beyond his reasonable control. If the commission finds that the

licensee has been prevented from complying by causes beyond his

reasonable control, it may grant one additional renewal for the

licensee to comply with the terms of his sworn statement.

Otherwise, the commission shall deny the renewal application and

may not grant a subsequent original application by the licensee

for a period of two years following the date of the denial.

(d) This section does not apply to the holder of a license that

was in effect on January 1, 1953.

Acts 1977, 65th Leg., p. 475, ch. 194, Sec. 1, eff. Sept. 1,

1977.

Sec. 62.05. RECORDS. (a) The holder of a manufacturer's

license shall make and keep a record of each day's production or

receipt of beer and of every sale of beer, including the name of

each purchaser. Each transaction shall be recorded on the day it

occurs. The licensee shall make and keep any other records that

the commission or administrator requires.

(b) All required records shall be kept available for inspection

by the commission or its authorized representative during

reasonable office hours for at least two years.

(c) The failure to make or keep a record as required by this

section, the making of a false entry in the record, or the

failure to make an entry as required by this section is a

violation of this code.

Acts 1977, 65th Leg., p. 475, ch. 194, Sec. 1, eff. Sept. 1,

1977.

Sec. 62.06. ISSUANCE OF BREWER'S PERMIT. A holder of a

manufacturer's license is entitled to be issued an original or

renewal brewer's permit for the same location on application to

the commission and payment of the required fee.

Acts 1977, 65th Leg., p. 475, ch. 194, Sec. 1, eff. Sept. 1,

1977.

Sec. 62.07. IMPORTATION OF BEER: CONTAINERS, USE OF TANK CARS.

The holder of a manufacturer's license may import beer into this

state in barrels or other containers in accordance with the

provisions of this code. No person may ship beer into the state

in tank cars.

Acts 1977, 65th Leg., p. 476, ch. 194, Sec. 1, eff. Sept. 1,

1977.

Sec. 62.08. WAREHOUSES; DELIVERY TRUCKS. (a) The holder of a

manufacturer's or distributor's license may maintain or engage

necessary warehouses for storage purposes in areas where the sale

of beer is lawful and may make deliveries from the warehouses

without obtaining licenses for them. The licensee may not import

beer from outside the state directly or indirectly to an

unlicensed warehouse.

(b) A warehouse or railway car in which orders for the sale of

beer are taken or money from the sale of beer is collected is a

separate place of business for which a license is required.

(c) A truck operated by a licensed distributor for the sale and

delivery of beer to a licensed retail dealer at the dealer's

place of business is not a separate place of business for which a

license is required.

(d) The commission shall promulgate rules governing the

transportation of beer, the sale of which is to be consummated at

a licensed retailer's place of business.

Acts 1977, 65th Leg., p. 476, ch. 194, Sec. 1, eff. Sept. 1,

1977. Amended by Acts 1979, 66th Leg., p. 53, ch. 33, Sec. 2,

eff. Aug. 27, 1979.

Sec. 62.09. BEER FOR EXPORT. Regardless of any other provision

of this code, a holder of a manufacturer's license may brew and

package malt beverages or import them from outside the state, for

shipment out of the state, even though the alcohol content,

containers, packages, or labels make the beverages illegal to

sell within the state. The licensee may export the beverages out

of state or deliver them at his premises for shipment out of the

state without being liable for any state tax on beer, ale, or

malt liquor sold for resale in the state.

Acts 1977, 65th Leg., p. 476, ch. 194, Sec. 1, eff. Sept. 1,

1977.

Sec. 62.11. CONTINUANCE OF OPERATION AFTER LOCAL OPTION

ELECTION. The right of a manufacturer's licensee to continue

operation after a prohibitory local option election is covered by

Section 251.75 of this code.

Acts 1977, 65th Leg., p. 476, ch. 194, Sec. 1, eff. Sept. 1,

1977.

Sec. 62.12. SALES BY CERTAIN MANUFACTURERS. (a) A

manufacturer's licensee whose annual production of beer in this

state does not exceed 75,000 barrels may sell beer produced under

the license to those permittees, licensees, and persons to whom a

general distributor's licensee may sell beer under Section

64.01(2) of this code. With regard to such a sale, the

manufacturer has the same authority and is subject to the same

requirements as apply to a sale made by a general distributor's

licensee.

(b) The authority granted by this section is additional to that

granted by Section 62.01 of this code.

Added by Acts 1979, 66th Leg., p. 55, ch. 33, Sec. 11, eff. Aug.

27, 1979.

Sec. 62.13. LICENSED WAREHOUSE FOR IMPORTATION OF BEER. On

application and payment of a fee to be set by the commission, the

holder of a manufacturer's license may be issued a license for a

warehouse located in an area where the sale of beer is lawful and

may import beer from outside the state for delivery to the

licensed warehouse for sale to beer distributors or for removal

to other warehouses of the manufacturer. The manufacturer shall

make and keep a record of the receipt, sale, and other movement

of beer received at the licensed warehouse and any other records

that the commission or administrator requires. This section

applies only to a holder of a manufacturer's license who, on

January 1, 1993, operated under Sections 62.12 and 203.08 of this

code.

Added by Acts 1993, 73rd Leg., ch. 934, Sec. 55, eff. Sept. 1,

1993.

Sec. 62.14. USE OF FACILITIES. (a) An entity or successor to

an entity that on May 1, 2005, held a manufacturer's or

nonresident manufacturer's license or whose brand was legally

sold in this state may contract with the holder of a

manufacturer's license for the use of the license holder's

manufacturing facilities or to provide manufacturing services.

(b) An entity or successor to an entity that on May 1, 2005,

held a manufacturer's or nonresident manufacturer's license or

whose brand was legally sold in this state is not required to own

its manufacturing facilities.

(c) This section does not authorize a person acting as an agent

for a manufacturer located outside of this state to contract with

the holder of a manufacturer's license to manufacture beer on the

person's behalf. A contract described by this subsection may

only be entered into by the holder of a manufacturer's license

and another person holding a license under this code.

Added by Acts 2005, 79th Leg., Ch.

1182, Sec. 6, eff. June 18, 2005.