SB 537

Current law authorizes municipalities to issue temporary Class "B" and "Class

B" licenses to certain clubs, fair associations, agricultural societies, churches,

veterans organizations, lodges, and societies that authorize the retail sale of,

respectively, fermented malt beverages (beer) and wine at fairs, meetings, picnics,

and similar gatherings hosted by these organizations. A municipality may not issue

to one of these organizations more than two temporary "Class B" licenses in any

12-month period.

This bill authorizes municipalities to issue temporary Class "B" and "Class B"

licenses to nonprofit organizations authorizing the sale of, respectively, beer and

wine at fund-raising events. For purposes of the bill, a nonprofit organization is an

organization described in certain provisions of the Internal Revenue Code as exempt

from federal income tax. The bill also increases, from two to five, the number of

temporary "Class B" licenses that a municipality may issue to an eligible applicant

in any 12-month period.

Current law also prohibits, with certain exceptions, the issuance of a Class "B"

license or permit for any premises where another business is conducted.

This bill creates an exception to this prohibition allowing a nonprofit

organization holding a temporary license to serve beer or wine at a fund-raising

event on premises where other business is conducted.