View Amendment Current Amendment: 1 to Bill 334 The Committee on Judiciary proposes the following Amendment No. 1 to S. 334 (COUNCIL\JH\334C001.DKA.JH17):

Reference is to Printer's Date 3/22/17--S.

Amend the bill, as and if amended, by adding appropriately numbered SECTIONS to read:

/ SECTION __.      A.      The General Assembly affirms its police power to regulate the business of retail liquor sales in the manner and to the extent allowed by law including, but not limited to, Article VIII-A, Section 1 of the South Carolina Constitution. This police power includes regulating the number and localities of retail dealer licenses that a person may be issued, a process that affects the health, safety, and morals of the state. Regulation of the number and localities of retail dealer licenses prevents monopolies and avoids problems associated with indiscriminate price cutting, excessive advertising of alcoholic products, and concentration of retail liquor stores in close proximity. Accordingly, in order to (1) protect the health, safety, and morals of this state; (2) prevent indiscriminate price cutting, excessive advertising of alcoholic products, and concentration of retail liquor stores in close proximity; (3) provide for the continuation of control and orderly processing by the state over the number and locations of retail liquor stores; and (4) ensure compliance with other laws governing the sales of alcoholic beverages, the General Assembly authorizes the planned and incremental growth of retail dealer licenses as provided in this SECTION of this act.

B.      Section 61-6-140 of the 1976 Code is amended to read:

     "Section 61-6-140.      (A)      To provide for an orderly and incremental growth in retail dealer licenses, the issuance of retail dealer licenses must be governed pursuant to the following requirements:
           (1)(a)      Until January 1, 2018, no more than three retail dealer licenses may be issued to one licensee, and the licensee must be eligible for a license for each store pursuant to Section 61-6-110.
           (b)      The limitation of no more than three retail dealer licenses to one licensee does not apply to a person having an interest in retail liquor stores as of July 1, 1978. Additional retail dealer licenses may be issued to that person as provided in this section.
           (2)      Beginning January 2, 2018, no more than four retail dealer licenses may be issued to one licensee, and the licensee must be eligible for each license for each store pursuant to Section 61-6-110.
           (3)      Beginning January 2, 2019, no more than five retail dealer licenses may be issued to one licensee, and the licensee must be eligible for each license for each store pursuant to Section 61-6-110.
           (4)      Beginning January 2, 2021, no more than six retail dealer licenses may be issued to one licensee, and the licensee must be eligible for each license for each store pursuant to Section 61-6-110.
           (5)      Beginning January 2, 2023, no more than eight retail dealer licenses may be issued to one licensee, and the licensee must be eligible for each license for each store pursuant to Section 61-6-110.
           (6)      Beginning July 1, 2025, no more than nine retail dealer licenses may be issued to one licensee, and the licensee must be eligible for each license for each store pursuant to Section 61-6-110.
     (B)      No more than three Retail dealer licenses may be issued for the use of one corporation, association, partnership, or limited partnership, pursuant to the provisions of this section. A corporation having the use of a retail dealer license that is owned by another corporation is considered to be holding the retail dealer license for the use of the owning corporation.
     (C)      The department may not grant or issue a new retail dealer license if the proposed place of business is within five hundred feet of an existing retail dealer licensee. For purposes of this section, the distance between the licensed premises of the existing business and the premises of the proposed business must be computed by a straight line measured between the two locations. This restriction does not apply to the renewal of a retail dealer license. Nothing in this subsection may be construed to abrogate or affect the provisions of any lawful ordinance, regulations or resolution, which are more restrictive than the provisions of this subsection."

C.      Section 61-6-150 of the 1976 Code is amended to read:

     "Section 61-6-150.      No person, directly or indirectly, individually or as a member of a partnership or an association, as a member or stockholder of a corporation, or as a relative to a person by blood or marriage within the second degree, may have any interest whatsoever in a retail liquor store licensed under this section except the three stores covered by his the person's retail dealer's licenses, as provided for in Section 61-6-140. The prohibitions in this section do not apply to a person having an interest in retail liquor stores on July 1, 1978."

SECTION      __.      Section 61-6-1540 of the 1976 Code is amended to read:

     "Section 61-6-1540.      (A)      Except as provided in subsection (B), no other goods, wares, or merchandise may be kept or stored in or sold in or from a retail alcoholic liquor store or place of business, and no place of amusement may be maintained in or in connection with the store. However, retail dealers may sell:
           (1)      drinking glassware and barware packaged together with alcoholic liquors if the glassware and alcoholic liquors are packaged together by the wholesaler or producer in packaging provided by the producer;
           (2)      nonalcoholic items, other than beer or wine, packaged together with alcoholic liquors if the nonalcoholic items and alcoholic liquors are in sealed packages and are packaged together by the alcoholic liquor producer at its place of business; and
           (3)      nonalcoholic mixers and nonalcoholic cocktail condiments consumed in conjunction with alcoholic liquors;
           (4)      beverage accessories and cooling accessories used in preparation of alcoholic liquors; and
           (5)      lottery tickets under the provisions of Chapter 150 of Title 59.
     (B)      Retail dealers licensed pursuant to the provisions of this article may sell all wines in the stores or places of business covered by their respective licenses, whether declared alcoholic or nonalcoholic or nonintoxicating by the laws of this State. Wines containing more than sixteen percent of alcohol by volume may be sold only in licensed alcoholic liquor stores or in establishments licensed to sell and permit consumption of alcoholic liquors by the drink. The provisions of this section do not amend, alter, or modify the taxes imposed on wines or the collection and enforcement of these taxes.
     (C)      As used in this section:
           (1)      'Nonalcoholic mixers' include, but are not limited to, powdered drink mixes, packaged drink mixes, tonics, club sodas, seltzer waters, and colas;
           (2)      'Nonalcoholic cocktail condiments' include, but are not limited to, bitters, ginger beers, lemon juices, lime juices, grenadines, cream coconut, olives, olive juices, rimming salts and sugars, wild hibiscus flowers, and syrups;
           (3)      'Beverage accessories' include, but are not limited to, shakers, jiggers, muddlers, mixing pitchers, atomizers, bar knives, peelers, decanters, flasks, and martini picks;
           (4)      'Cooling accessories' include, but are not limited to, ice molds, whiskey stones, ice picks, ice tongs, ice scoops, and ice buckets."

SECTION      __.      Section 61-4-960(A)(11), (12), and (13) of the 1976 Code, as last amended by Act 36 of 2013, is further amended to read:

           "(11)      a sampling may not be offered for more than four hours; and
           (12)      a retailer, pursuant to this section, may not offer more than one sampling per day; and
           (13)      the tasting may not be held in conjunction with a tasting in a retail alcoholic liquor store, pursuant to Section 61-6-1035, that is adjacent to and licensed in the same name of the retail permit authorizing the sale of beer."

SECTION      __.      If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this act is for any reason held to be unconstitutional or invalid, such holding shall not affect the constitutionality or validity of the remaining portions of this act, the General Assembly hereby declaring that it would have passed this, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more other sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words hereof may be declared to be unconstitutional, invalid, or otherwise effective.

SECTION      __.      The General Assembly finds that all the provisions contained in this act relate to one subject as required by Section 17, Article III of the South Carolina Constitution in that each provision relates directly to, or in conjunction with, other sections to the subject of premises licensed to sell alcoholic liquors to consumers. The General Assembly further finds that a common purpose or relationship exists among the sections, representing a potential plurality but not disunity of topics, notwithstanding that reasonable minds might differ in identifying more than one topic contained in this act. /

Renumber sections to conform.
Amend title to conform.