AB 262

This bill creates certain exceptions under the alcohol beverage laws that apply

with respect to a redevelopment project in the city of Milwaukee and that allow a

common ownership interest between a brewer and a beer retailer and allow a brewer

to make retail sales of intoxicating liquor on brewery premises.

Under current law, with limited exceptions, no person may sell alcohol

beverages to a consumer unless the seller possesses a license or permit authorizing

the sale. A Class “B" license authorizes the retail sale of fermented malt beverages

(beer) for consumption on or off the licensed premises and is generally held by such

retailers as taverns and restaurants. A Class “B” retail beer license may not be

issued to a brewer and a Class “B” beer retailer may not be issued a brewer's permit.

Subject to numerous exceptions, a brewer also may not give, sell, or lease, or

otherwise furnish, anything of value to a Class “B” beer retailer.

This bill specifies that a brewer may have a direct or indirect ownership interest

in a Class “B” beer retailer, and a Class “B” beer retailer may have a direct or indirect

ownership interest in a brewer, if 1) the ownership interest arises in connection with

a certain redevelopment project in the city of Milwaukee involving the former site

of a historic Milwaukee brewery; 2) the brewer has or will have brewery premises

within the redevelopment area; 3) the ownership interest does not extend to brewery

premises or Class “B” licensed premises outside the redevelopment area; and 4) no

brewer's permit is issued to the Class “B” beer retailer and no Class “B” retail beer

license is issued to the brewer. The bill also allows a brewer to lease real property

to a Class “B” beer retailer, for a fair consideration, if the real property is part of this

redevelopment project.

Under current law, a brewer may, under its brewer's permit and without a retail

license, make retail sales of its own beer and other Wisconsin-made beer at the

brewery premises and one off-site retail outlet. A brewer may make retail sales of

intoxicating liquor, which means wine and distilled spirits, at the brewery premises

and the brewer's off-site retail outlet only if the brewer held, on June 1, 2011, a retail

license authorizing the sale of intoxicating liquor.

This bill allows a brewer to also make retail sales of intoxicating liquor at the

brewery premises if the brewery premises was established in connection with this

redevelopment project.