Tied-house exceptions: advertising: Counties of Los Angeles, San Bernardino, and San Diego.

Plain English Breakdown

Checked against official source text during the last sync.

Advertising Rules for Certain Counties

This law changes advertising rules in Los Angeles, San Bernardino, and San Diego counties to allow certain businesses to buy ad space from other specific types of venues.

What This Bill Does

• Expands the current rule that allows some alcohol-related businesses to purchase advertising space for themselves or on behalf of another business.
• Applies this expanded rule specifically to facilities in Los Angeles, San Bernardino, and San Diego counties.
• Requires these purchases to be made through written contracts.
• Makes it a crime if someone forces others to buy ad space under these rules.
• Requires the California Horse Racing Board to post voting records on their website within two business days after meetings.

Who It Names or Affects

• Businesses that sell alcohol in Los Angeles, San Bernardino, and San Diego counties.
• The California Horse Racing Board.

Terms To Know

Tied-house restrictions

Rules that stop certain businesses from giving money or things of value to other specific types of businesses.

On-sale premises

Places where alcoholic drinks are sold directly to customers.

Limits and Unknowns

• The bill does not specify the exact facilities in Los Angeles, San Bernardino, and San Diego counties that will be affected.
• It is unclear how this change might affect local businesses beyond what is stated.

Official Summary Text

SB 1195, as amended, Rubio.
California Horse Racing Board: public records: votes.
Tied-house exceptions: advertising: Counties of Los Angeles, San Bernardino, and San Diego.
Existing law, the Alcoholic Beverage Control Act, which is administered by the Department of Alcoholic Beverage Control, regulates the application, issuance, and suspension of alcoholic beverage licenses. Existing law, known as tied-house restrictions, generally prohibits specified licensees, or their officers, directors, or agents, from giving or lending money or a thing of value to a person operating, owning, or maintaining any on-sale premises where alcoholic beverages are sold. In this regard, existing law specifically prohibits paying a retailer for advertising. Existing law creates a variety of exceptions to this prohibition, including permitting specified licensees to purchase advertising space and time from, or on behalf of, an on-sale retail licensee that is an owner, manager, agent or assignee
of the owner, or major tenant of certain venues, subject to specified conditions. Existing law requires the purchase of advertising space or time, in this context, to be conducted pursuant to a written contract. In this context, existing law makes certain acts of coercion crimes, including when an on-sale licensee coerces other specified licensees to purchase advertising space or time.
This bill would expand the above-described exception to tied-house restrictions that allows for the purchase of advertising by applying it to various facilities that are located in the Counties of Los Angeles, San Bernardino, and San Diego, as specified. By expanding the definition of a crime, this bill would impose a state-mandated local program.
This bill would make legislative findings and declarations as to the
necessity of a special statute for the Counties of Los Angeles, San Bernardino, and San Diego.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.
The Horse Racing Law establishes the California Horse Racing Board and requires the board, among other things, to maintain a general office for the transaction of its business in the City of Sacramento, to maintain a public record of every vote at the general office, and to post the record of its vote on its internet website.
This bill would require the board to post the record of its vote on its internet website no later than the close of business of the 2nd business day after the meeting at which the vote was taken.

Current Bill Text

Download Bill PDF