Establishes license allowing supermarkets to sell certain alcoholic beverages manufactured in this State; designated as The Garden State Grocery Liquor Licensing Act.

A1520

ASSEMBLY, No. 1520

STATE OF NEW JERSEY

222nd LEGISLATURE

�

PRE-FILED FOR INTRODUCTION IN THE 2026 SESSION

Sponsored by:

Assemblyman CLINTON CALABRESE

District 36 (Bergen and Passaic)

Assemblyman STERLEY S. STANLEY

District 18 (Middlesex)

Assemblyman WILLIAM B. SAMPSON, IV

District 31 (Hudson)

SYNOPSIS

���� Establishes license allowing supermarkets to sell
certain alcoholic beverages manufactured in this State; designated as The
Garden State Grocery Liquor Licensing Act.

CURRENT VERSION OF TEXT

���� Introduced Pending Technical Review by Legislative
Counsel.

��

An Act
concerning alcoholic beverage licensing, designated as
the Garden State Grocery Liquor Licensing Act, and amending R.S.33
:1-12.

����
Be It
Enacted
by the Senate and General Assembly of
the State of New Jersey:

���� 1.� R.S.33:1-12 is amended to
read as follows:�

���� 33:1-12.� Class C licenses
shall be subdivided and classified as follows:

���� Plenary retail consumption
license. 1. The holder of this license shall be entitled, subject to rules and
regulations, to sell any alcoholic beverages for consumption on the licensed
premises by the glass or other open receptacle, and also to sell any alcoholic
beverages in original containers for consumption off the licensed premises; but
this license shall not be issued to permit the sale of alcoholic beverages in
or upon any premises in which a grocery, delicatessen, drug store or other
mercantile business is carried on, except as hereinafter provided.� The holder
of this license shall be permitted to conduct consumer wine, beer and spirits
tasting events and samplings for a fee or on a complimentary basis pursuant to
conditions established by rules and regulations of the Division of Alcoholic
Beverage Control, provided however, that the holder of this license complies
with the terms and conditions set forth in section 3 of P.L.2009, c.216
(C.33:1-12d).� Subject to such rules and regulations established from time to
time by the director, the holder of this license shall be permitted to sell
alcoholic beverages in or upon the premises in which any of the following is
carried on:� the keeping of a hotel or restaurant including the sale of
mercantile items incidental thereto as an accommodation to patrons; the sale,
at an entertainment facility as defined in R.S.33:1-1, having a seating
capacity for no less than 4,000 patrons, of mercantile items traditionally
associated with the type of event or program held at the site; the sale of
distillers', brewers' and vintners' packaged merchandise prepacked as a unit
with other suitable objects as gift items to be sold only as a unit; the sale
of novelty wearing apparel identified with the name of the establishment licensed
under the provisions of this section; the sale of cigars, cigarettes, packaged
crackers, chips, nuts and similar snacks and ice at retail as an accommodation
to patrons, or the retail sale of nonalcoholic beverages as accessory beverages
to alcoholic beverages; or, in commercial bowling establishments, the retail
sale or rental of bowling accessories and the retail sale from vending machines
of candy, ice cream and nonalcoholic beverages.� The fee for this license shall
be fixed by the governing board or body of the

municipality in which the licensed
premises are situated, by ordinance, at not less than $250 and not more than
$2,500. No ordinance shall be enacted which shall raise or lower the fee to be
charged for this license by more than 20% from that charged in the preceding
license year or $500.00, whichever is the lesser.� The governing board or body
of each municipality may, by ordinance, enact that no plenary retail
consumption license shall be granted within its respective municipality.

���� The holder of this license
shall be permitted to obtain a restricted brewery license issued pursuant to
subsection 1c. of R.S.33:1-10 and to operate a restricted brewery immediately
adjoining the licensed premises in accordance with the restrictions set forth
in that subsection.� All fees related to the issuance of both licenses shall be
paid in accordance with statutory law.

���� Seasonal retail consumption
license.� 2. (1) The holder of this license shall be entitled, subject to rules
and regulations, to sell any alcoholic beverages for consumption on the
licensed premises by the glass or other open receptacle, and also to sell any
alcoholic beverages in original containers for consumption off the licensed
premises, during the summer season from May 1 until November 14, inclusive, or
during the winter season from November 15 until April 30, inclusive.

���� (2)� In addition, the director
shall issue to the holder of this license, upon request by the licensee,
one-day permits that shall entitle the license holder to sell alcoholic
beverages for consumption on the licensed premises during the season when the
license holder is not authorized to sell alcoholic beverages pursuant to
subparagraph (1) of this subsection.� The number of one-day permits issued to a
licensee pursuant to this subsection shall not exceed an aggregate of 14
permits in one calendar year.� A one-day permit issued pursuant to this
subsection shall be valid for 24 consecutive hours.� The fee for each one-day
permit shall be $500.

���� The governing body of the
municipality in which the licensed premises is situated may place reasonable
conditions upon a one-day permit for the purpose of maintaining public safety
on the licensed premises and immediately surrounding area.� The costs associated
with the reasonable conditions placed on the one-day permit shall be assumed by
the holder of this license.

���� (3)� This license shall not be
issued to permit the sale of alcoholic beverages in or upon any premises in
which a grocery, delicatessen, drug store or other mercantile business is
carried on, except as hereinafter provided.� Subject to such rules and regulations
established from time to time by the director, the holder of this license shall
be permitted to sell alcoholic beverages in or upon the premises in which any
of the following is carried on:� the keeping of a hotel or restaurant including
the sale of mercantile items incidental thereto as an accommodation to patrons;
the sale of distillers', brewers' and vintners' packaged merchandise prepacked
as a unit with other suitable objects as gift items to be sold only as a unit;
the sale of novelty wearing apparel identified with the name of the
establishment licensed under the provisions of this section; the sale of
cigars, cigarettes, packaged crackers, chips, nuts and similar snacks and ice
at retail as an accommodation to patrons; or the retail sale of nonalcoholic
beverages as accessory beverages to alcoholic beverages.� The fee for this
license shall be fixed by the governing board or body of the municipality in
which the licensed premises are situated, by ordinance, at 75% of the fee fixed
by said board or body for plenary retail consumption licenses.� The governing
board or body of each municipality may, by ordinance, enact that no seasonal
retail consumption license shall be granted within its respective municipality.

���� Plenary retail distribution
license. 3. a. The holder of this license shall be entitled, subject to rules
and regulations, to sell any alcoholic beverages for consumption off the
licensed premises, but only in original containers; except that licensees shall
be permitted to conduct consumer wine, beer, and spirits tasting events and
samplings on a complimentary basis pursuant to conditions established by rules
and regulations of the Division of Alcoholic Beverage Control, provided
however, that the holder of this license complies with the terms and conditions
set forth in section 3 of P.L.2009, c.216 (C.33:1-12d).

���� The governing board or body of
each municipality may, by ordinance, enact that this license shall not be
issued to permit the sale of alcoholic beverages in or upon any premises in
which any other mercantile business is carried on, except that any such ordinance,
heretofore or hereafter adopted, shall not prohibit the retail sale of
distillers', brewers' and vintners' packaged merchandise prepacked as a unit
with other suitable objects as gift items to be sold only as a unit; the sale
of novelty wearing apparel identified with the name of the establishment
licensed under the provisions of this act; cigars, cigarettes, packaged
crackers, chips, nuts and similar snacks, ice, and nonalcoholic beverages as
accessory beverages to alcoholic beverages.� The fee for this license shall be
fixed by the governing board or body of the municipality in which the licensed
premises are situated, by ordinance, at not less than $125 and not more than
$2,500.� No ordinance shall be enacted which shall raise or lower the fee to be
charged for this license by more than 20% from that charged in the preceding
license year or $500.00, whichever is the lesser.� The governing board or body
of each municipality may, by ordinance, enact that no plenary retail
distribution license shall be granted within its respective municipality.

���� Limited retail distribution
license. 3. b. The holder of this license shall be entitled, subject to rules
and regulations, to sell any unchilled, brewed, malt alcoholic beverages in
quantities of not less than 72 fluid ounces for consumption off the licensed
premises, but only in original containers; provided, however, that this license
shall be issued only for premises operated and conducted by the licensee as a
bona fide grocery store, meat market, meat and grocery store, delicatessen, or
other type of bona fide food store at which groceries or other foodstuffs are
sold at retail; and provided further that this license shall not be issued
except for premises at which the sale of groceries or other foodstuffs is the
primary and principal business and at which the sale of alcoholic beverages is
merely incidental and subordinate thereto.� The fee for this license shall be
fixed by the governing body or board of the municipality in which the licensed
premises are situated, by ordinance, at not less than $31 and not more than
$63.� The governing board or body of each municipality may, by ordinance, enact
that no limited retail distribution license shall be granted within its
respective municipality.

���� Plenary retail transit
license. 4. The holder of this license shall be entitled, subject to rules and
regulations, to sell any alcoholic beverages, for consumption only, on railroad
trains, airplanes, limousines and boats, while in transit.� The fee for this
license for use by a railroad or air transport company shall be $375, for use
by the owners of limousines shall be $31 per vehicle, and for use on a boat
shall be $63 on a boat 65 feet or less in length, $125 on a boat more than 65
feet in length but not more than 110 feet in length, and $375 on a boat more
than 110 feet in length; such boat lengths shall be determined in the manner
prescribed by the Bureau of Customs of the United States Government or any
federal agency successor thereto for boat measurement in connection with
issuance of marine documents. A license issued under this provision to a
railroad or air transport company shall cover all railroad cars and planes
operated by any such company within the State of New Jersey.� A license for a boat
or limousine issued under this provision shall apply only to the particular
boat or limousine for which issued, and shall permit the purchase of alcoholic
beverages for sale or service in a boat or limousine to be made from any Class
A and B licensee or from any Class C licensee whose license privilege permits
the sale of alcoholic beverages in original containers for off-premises
consumption.� An interest in a plenary retail transit license issued in
accordance with this section shall be excluded in determining the maximum
number of retail licenses permitted under P.L.1962, c.152 (C.33:1-12.31 et
seq.).

���� Club license. 5. The holder of
this license shall be entitled, subject to rules and regulations, to sell any
alcoholic beverages but only for immediate consumption on the licensed premises
and only to bona fide club members and their guests.� The fee for this license
shall be fixed by the governing board or body of the municipality in which the
licensed premises are situated, by ordinance, at not less than $63 and not more
than $188.� The governing board or body of each municipality may, by ordinance,
enact that no club licenses shall be granted within its respective
municipality.� Club licenses may be issued only to such corporations,
associations and organizations as are operated for benevolent, charitable,
fraternal, social, religious, recreational, athletic, or similar purposes, and
not for private gain, and which comply with all conditions which may be imposed
by the Director of the Division of Alcoholic Beverage Control by rules and
regulations.

���� The provisions of section 23
of P.L.2003, c.117 amendatory of this section shall apply to licenses issued or
transferred on or after July 1, 2003, and to license renewals commencing on or
after July 1, 2003.

���� Sporting facility license. 6.
The holder of this license shall be entitled, subject to rules and regulations,
to sell at retail or to serve any alcoholic beverages as the owner, operator,
lessee, or concessionaire of a sporting facility by the glass or other
receptacle or in original containers only on the premises of the sporting
facility.

���� Notwithstanding any other
provision of Title 33 of the Revised Statutes and subject to conditions
established by the director, the holder of this license may share direction and
control of the premises to be licensed and share proceeds and profits from the
sale of alcoholic beverages with the owner, operator, concessionaire, or lessee
of the facility.� The holder of this license shall be permitted to conduct
consumer wine, beer, and spirits tasting events and samplings for a fee or on a
complimentary basis provided, however, the license holder complies with the
provisions of section 3 of P.L.2009, c.216 (C.33:1-12d) and rules and
regulations promulgated thereto.� Notwithstanding any law, rule or regulation
to the contrary, the holder of this license shall be entitled to establish an
all-inclusive area within the licensed sporting facility, provided the
all-inclusive area is limited to one area within the sporting facility for each
game or event and the capacity of the all-inclusive area does not exceed 500 persons.

���� The fee for this license shall
be $2,500 for venues with a capacity of less than 7,500 persons; $5,000 for
venues with a capacity of not less than 7,500 persons but not more than 14,999
persons; $7,500 for venues with a capacity of not less than 15,000 persons but
not more than 22,499 persons; and $10,000 for venues with a capacity of 22,500
persons or more.

���� For the purposes of this
subsection:

���� "Sporting facility"
means a stadium, arena, team training facility, or similar venue located on
public property where alcoholic beverages are served or sold at retail for
consumption on the premises by the glass or other open receptacle or in original
containers.

���� "Team training
facility" shall include team offices and team headquarters.

����
Restricted retail food
store license 7. The holder of this license shall be entitled, subject to rules
and regulations, to sell any alcoholic beverages in connection with the
operation of a retail food store for consumption off the licensed premises and
in original containers. The holder of this license only shall be entitled to
sell products manufactured in this State by the holder of a limited brewery
license, restricted brewery license, plenary winery license, farm winery
license, cidery and meadery license, or craft distillery license issued
pursuant to R.S.33:1-10.� A license holder may sell and display alcoholic
beverages in any location of the retail food store floor area
and
the restriction on the sale and display of
alcoholic beverages pursuant to section 3 of P.L.2021, c.48 (C.33:1-101) shall
not apply to alcoholic beverages sold pursuant to this subsection.�

����
The governing board or body
of each municipality shall not enact an ordinance providing that a restricted
supermarket license shall not be granted within its respective municipality

����
The restriction in section
2 of P.L.1947, c.94 (C.33:1-12.14) concerning the number of retail consumption
licenses that may be issued in a municipality shall not be applicable to a
permit issued pursuant to this section.

����
The license shall be issued
by the director and may be renewed annually.� The initial issuance fee for the
license shall be $5,000 for a retail food store with a gross square footage of
less than 5,000; $15,000 for a retail food store with a gross square footage
between 5,000 and 20,000; and $30,000 for a retail food store with a gross
square footage of more than 20,000.� Twenty-five percent of the initial
issuance fee shall be allocated to the director and the remaining 75 percent of
the fee shall be allocated to the municipality in which the licensed premises
is located. �The annual renewal fee shall be $1,000, which shall be divided
equally between the division and municipal governing body.

����
As used in this subsection,

����
�
Retail food store� means any retail
establishment where groceries and other foodstuffs are regularly and
customarily sold in a bona fide manner for off-premises consumption and which constitute
at least 65 percent of the store�s total annual sales in dollars,
and at which the sale of alcoholic beverages is merely
incidental and subordinate thereto
.

����
�Groceries and other
foodstuffs� means dairy products; meat and� delicatessen products; produce
products; seafood products;� carbonated beverages; coffee and other beverages;
snack foods; candy products; baked products; paper products; household cleaning
items; health and beauty products; frozen foods; pet foods and supplies; and
any other edible product not previously listed.

(cf:� P.L.2018, c.147, s.1)

���� 2.� This act shall take effect
immediately.�

STATEMENT

���� This bill, designated as the
Garden State Grocery Liquor Licensing Act, establishes a new retail alcoholic
beverage license authorizing retail food stores to sell alcoholic beverages
manufactured in this State for consumption off the licensed premises.� The bill
defines �retail food store� as any retail establishment where groceries and
other foodstuffs are regularly and customarily sold in a bona fide manner for
off-premises consumption and which constitute at least 65 percent of the
store�s total annual sales in dollars,
and at which
the sale of alcoholic beverages is merely incidental
. Under the bill,
alcoholic beverages may be displayed and sold in any location of the retail
food store floor area
where groceries and other
foodstuffs are displayed and sold
.�

���� The initial fee for the
restricted retail food store license would be based on the square footage of
the retail food store.� The bill establishes an initial $5,000 fee for a retail
food store with a gross square footage of less than 5,000; a $15,000 fee for a
retail food store with a gross square footage between 5,000 and 20,000; and
$30,000 fee for a retail food with a gross square footage of more than 20,000.�
The bill also establishes an annual renewal fee would of $1,000 regardless of
the food store�s square footage.� Under the bill, 25 percent of the initial and
annual fee would be allocated to the Director of the Division of Alcoholic
Beverage Control and the remaining 75 percent of the fee would be allocated to
the governing body of the municipality in which the licensed premises is
located. The bill also establishes a $1,000 annual renewal fee regardless of
the food store�s square footage to be divided equally between the division and
the municipal governing body.�

���� The license would not be
subject to the population
limitation that restricts a municipality from issuing more than one plenary
retail distribution license for every 7,500 persons residing in that
municipality.