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121
32B-1-102
32B-1-202
32B-1-202.1
32B-1-407
32B-2-202
32B-2-207
32B-2-213
32B-2-302.5
32B-2-304
32B-2-503
32B-2-605
32B-3-203
32B-4-405
32B-5-201
32B-5-303
32B-5-304
32B-5-305
32B-5-306
32B-5-307
32B-6-203
32B-6-303
32B-6-605
32B-6-803
32B-6-805
32B-6-903
32B-7-202
32B-8-401
32B-8b-102
32B-8b-301
32B-8c-301
32B-9-201
32B-9-202
32B-9-204
32B-9-305
63I-5-201
32B-1-102
32B-1-202
32B-1-202.1
32B-1-407
32B-2-202
32B-2-207
32B-2-213
32B-2-302.5
32B-2-304
32B-2-503
32B-2-605
32B-3-203
32B-4-405
32B-5-201
32B-5-303
32B-5-304
32B-5-305
32B-5-306
32B-5-307
32B-6-203
32B-6-303
32B-6-605
32B-6-803
32B-6-805
32B-6-903
32B-7-202
32B-8-401
32B-8b-102
32B-8b-301
32B-8c-301
32B-9-201
32B-9-202
32B-9-204
32B-9-305
63I-5-201
8
Alcohol Amendments
2026 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Jefferson S. Burton
Senate Sponsor: Jerry W Stevenson
LONG TITLE
General Description:
This bill amends provisions relating to alcohol.
Highlighted Provisions:
This bill:
provides that the Point of the Mountain State Land Authority is a local authority under
Title 32B, Alcoholic Beverage Control Act;
provides that a driver license issued by a foreign country is a valid proof of age;
enacts provisions relating to the local consent of a local authority when the commission
issues a license;
amends provisions related to a designated conveyance area;
lowers the number of rooms for a facility to qualify as a hotel;
provides that a restaurant licensee is only required to verify proof of age if the individual
appears to be 35 years old or younger;
amends provisions requiring that a person verify whether an individual is an interdicted
person;
repeals requirements related to the scanning device a licensee shall use when verifying
proof of age;
amends provisions to allow the Department of Alcoholic Beverage Services (department)
to round up or round down the price of liquor when a customer pays with cash;
requires that the department coordinate with law enforcement before beginning a
disciplinary action;
places the internal audit division of the department under the control of the director of the
department;
provides that the Alcoholic Beverage Services Commission (commission) may propose
internal audit policies and recommend changes to the division's internal audit plan;
amends provisions relating to the commission's authority to deny a license;
removes the requirement that a liquor storage area be locked at all times;
provides the conditions under which a patron may transport an alcoholic beverage from a
bar establishment to a restaurant establishment;
amends the percentage requirement of alcohol to food that a licensee shall maintain;
describes the language that the department shall require in each off-premise beer retailer
display;
requires that the department make a report to the Legislative Management Committee
regarding the language the department requires that an off-premise beer retailer display;
increases the number of reception center licenses that the commission may issue;
removes the notice requirements relating to issuing an event permit; and
makes technical changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
This bill provides a special effective date.
Utah Code Sections Affected:
AMENDS:
32B-1-102
Effective
05/06/26
, as last amended by Laws of Utah 2025, First Special
Session, Chapter 16
32B-1-202
Effective
05/06/26
, as last amended by Laws of Utah 2025, Chapter 162
32B-1-202.1
Effective
05/06/26
, as last amended by Laws of Utah 2023, Chapter 371
32B-1-407
Effective
upon governor's approval
, as last amended by Laws of Utah 2025,
Chapter 471
32B-2-202
Effective
upon governor's approval
, as last amended by Laws of Utah 2023,
Chapter 371
32B-2-207
Effective
05/06/26
, as last amended by Laws of Utah 2021, Chapter 345
32B-2-213
Effective
upon governor's approval
, as enacted by Laws of Utah 2024,
Chapter 94
32B-2-302.5
Effective
05/06/26
, as enacted by Laws of Utah 2012, Chapter 365
32B-2-304
Effective
upon governor's approval
, as last amended by Laws of Utah 2024,
Chapter 94
32B-2-503
Effective
upon governor's approval
, as last amended by Laws of Utah 2024,
Chapter 94
32B-2-605
Effective
upon governor's approval
, as last amended by Laws of Utah 2024,
Chapter 94
32B-3-203
Effective
05/06/26
, as last amended by Laws of Utah 2024, Chapter 94
32B-4-405
Effective
05/06/26
, as last amended by Laws of Utah 2025, Chapter 471
32B-5-201
Effective
05/06/26
, as last amended by Laws of Utah 2025, Chapter 162
32B-5-303
Effective
05/06/26
, as last amended by Laws of Utah 2019, Chapter 403
32B-5-304
Effective
upon governor's approval
, as last amended by Laws of Utah 2025,
Chapter 162
32B-5-305
Effective
upon governor's approval
, as last amended by Laws of Utah 2011,
Chapter 334
32B-5-306
Effective
05/06/26
, as last amended by Laws of Utah 2025, Chapter 471
32B-5-307
Effective
05/06/26
, as last amended by Laws of Utah 2025, Chapter 162
32B-6-203
Effective
05/06/26
, as last amended by Laws of Utah 2024, Chapter 94
32B-6-303
Effective
05/06/26
, as last amended by Laws of Utah 2019, Chapter 403
32B-6-605
Effective
05/06/26
, as last amended by Laws of Utah 2025, Chapter 162
32B-6-803
Effective
05/06/26
, as last amended by Laws of Utah 2020, Sixth Special
Session, Chapter 6
32B-6-805
Effective
05/06/26
, as last amended by Laws of Utah 2020, Chapter 219
32B-6-903
Effective
05/06/26
, as last amended by Laws of Utah 2019, Chapter 403
32B-7-202
Effective
05/06/26
, as last amended by Laws of Utah 2025, Chapters 162,
173
32B-8-401
Effective
05/06/26
, as last amended by Laws of Utah 2024, Chapter 94
32B-8b-102
Effective
05/06/26
, as last amended by Laws of Utah 2024, Chapter 94
32B-8b-301
Effective
05/06/26
, as last amended by Laws of Utah 2024, Chapter 94
32B-8c-301
Effective
05/06/26
, as enacted by Laws of Utah 2020, Chapter 219
32B-9-201
Effective
05/06/26
, as last amended by Laws of Utah 2020, Chapter 219
32B-9-202
Effective
05/06/26
, as last amended by Laws of Utah 2023, Chapter 371
32B-9-204
Effective
05/06/26
, as last amended by Laws of Utah 2025, Chapter 173
32B-9-305
Effective
upon governor's approval
, as last amended by Laws of Utah 2011,
Chapters 307, 334
63I-5-201
Effective
05/06/26
, as last amended by Laws of Utah 2022, Chapters 169,
447
Be it enacted by the Legislature of the state of Utah:
Section 1. Section
32B-1-102
is amended to read:
32B-1-102
Effective
05/06/26
. Definitions.
As used in this title:
(1)
"Airport lounge" means a business location:
(a)
at which an alcoholic product is sold at retail for consumption on the premises; and
(b)
that is located at an international airport or domestic airport.
(2)
"Airport lounge license" means a license issued in accordance with Chapter 5, Retail
License Act, and Chapter 6, Part 5, Airport Lounge License.
(3)
"Alcoholic beverage" means the following:
(a)
beer; or
(b)
liquor.
(4)
(a)
"Alcoholic product" means a product that:
(i)
contains at least .5% of alcohol by volume; and
(ii)
is obtained by fermentation, infusion, decoction, brewing, distillation, or other
process that uses liquid or combinations of liquids, whether drinkable or not, to
create alcohol in an amount equal to or greater than .5% of alcohol by volume.
(b)
"Alcoholic product" includes an alcoholic beverage.
(c)
"Alcoholic product" does not include any of the following common items that
otherwise come within the definition of an alcoholic product:
(i)
except as provided in Subsection
(4)(d)
, an extract;
(ii)
vinegar;
(iii)
preserved nonintoxicating cider;
(iv)
essence;
(v)
tincture;
(vi)
food preparation; or
(vii)
an over-the-counter medicine.
(d)
"Alcoholic product" includes an extract containing alcohol obtained by distillation
when it is used as a flavoring in the manufacturing of an alcoholic product.
(5)
"Alcohol training and education seminar" means a seminar that is:
(a)
required by Chapter 1, Part 7, Alcohol Training and Education Act; and
(b)
described in Section
26B-5-205
.
(6)
(a)
"Amphitheater" means an outdoor, multi-use performance venue that:
(i)
is primarily used to present live entertainment, including music, dance, comedy,
and theater;
(ii)
has the capacity to hold over 10,000 patrons; and
(iii)
is located in a county of the first class.
(b)
"Amphitheater" does not include a space that is used to present sporting events or
sporting competitions.
(7)
"Arena" means an enclosed building:
(a)
that is managed by:
(i)
the same person who owns the enclosed building;
(ii)
a person who has a majority interest in each person who owns or manages a space
in the enclosed building; or
(iii)
a person who has authority to direct or exercise control over the management or
policy of each person who owns or manages a space in the enclosed building;
(b)
that operates as a venue; and
(c)
that has an occupancy capacity of at least 12,500.
(8)
"Arena license" means a license issued in accordance with Chapter 5, Retail License
Act, and Chapter 8c, Arena License Act.
(9)
"Banquet" means an event:
(a)
that is a private event or a privately sponsored event;
(b)
that is held at one or more designated locations approved by the commission in or on
the premises of:
(i)
a hotel;
(ii)
a resort facility;
(iii)
a sports center;
(iv)
a convention center;
(v)
a performing arts facility;
(vi)
an arena;
(vii)
a restaurant venue; or
(viii)
an amphitheater;
(c)
for which there is a contract:
(i)
between a person operating a facility listed in Subsection
(9)(b)
and another
person that has common ownership of less than 20% with the person operating the
facility; and
(ii)
under which the person operating a facility listed in Subsection
(9)(b)
is required
to provide an alcoholic product at the event; and
(d)
at which food and alcoholic products may be sold, offered for sale, or furnished.
(10)
(a)
"Bar establishment license" means a license issued in accordance with Chapter 5,
Retail License Act, and Chapter 6, Part 4, Bar Establishment License.
(b)
"Bar establishment license" includes:
(i)
a dining club license;
(ii)
an equity license;
(iii)
a fraternal license; or
(iv)
a bar license.
(11)
"Bar license" means a license issued in accordance with Chapter 5, Retail License Act,
and Chapter 6, Part 4, Bar Establishment License.
(12)
(a)
"Beer" means a product that:
(i)
contains:
(A)
at least .5% of alcohol by volume; and
(B)
no more than 5% of alcohol by volume or 4% by weight;
(ii)
is obtained by fermentation, infusion, or decoction of:
(A)
malt; or
(B)
a malt substitute; and
(iii)
is clearly marketed, labeled, and identified as:
(A)
beer;
(B)
ale;
(C)
porter;
(D)
stout;
(E)
lager;
(F)
a malt;
(G)
a malted beverage; or
(H)
seltzer.
(b)
"Beer" may contain:
(i)
hops extract;
(ii)
caffeine, if the caffeine is a natural constituent of an added ingredient; or
(iii)
a propylene glycol-, ethyl alcohol-, or ethanol-based flavoring agent that:
(A)
is used in the production of beer;
(B)
is in a formula approved by the federal Alcohol and Tobacco Tax and Trade
Bureau after the formula is filed for approval under 27 C.F.R. Sec. 25.55; and
(C)
does not contribute more than 10% of the overall alcohol content of the beer.
(c)
"Beer" does not include:
(i)
a flavored malt beverage;
(ii)
a product that contains alcohol derived from:
(A)
except as provided in Subsection
(12)(b)(iii)
, spirituous liquor; or
(B)
wine; or
(iii)
a product that contains an additive masking or altering a physiological effect of
alcohol, including kratom, kava, cannabidiol, or natural or synthetic
tetrahydrocannabinol.
(13)
"Beer-only restaurant license" means a license issued in accordance with Chapter 5,
Retail License Act, and Chapter 6, Part 9, Beer-Only Restaurant License.
(14)
"Beer retailer" means a business that:
(a)
is engaged, primarily or incidentally, in the retail sale of beer to a patron, whether for
consumption on or off the business premises; and
(b)
is licensed as:
(i)
an off-premise beer retailer, in accordance with Chapter 7, Part 2, Off-Premise
Beer Retailer Local Authority; or
(ii)
an on-premise beer retailer, in accordance with Chapter 5, Retail License Act, and
Chapter 6, Part 7, On-Premise Beer Retailer License.
(15)
"Beer wholesaling license" means a license:
(a)
issued in accordance with Chapter 13, Beer Wholesaling License Act; and
(b)
to import for sale, or sell beer in wholesale or jobbing quantities to one or more retail
licensees or off-premise beer retailers.
(16)
"Billboard" means a public display used to advertise, including:
(a)
a light device;
(b)
a painting;
(c)
a drawing;
(d)
a poster;
(e)
a sign;
(f)
a signboard; or
(g)
a scoreboard.
(17)
"Brewer" means a person engaged in manufacturing:
(a)
beer;
(b)
heavy beer; or
(c)
a flavored malt beverage.
(18)
"Brewery manufacturing license" means a license issued in accordance with Chapter
11, Part 5, Brewery Manufacturing License.
(19)
"Certificate of approval" means a certificate of approval obtained from the department
under Section
32B-11-201
.
(20)
"Chartered bus" means a passenger bus, coach, or other motor vehicle provided by a
bus company to a group of persons pursuant to a common purpose:
(a)
under a single contract;
(b)
at a fixed charge in accordance with the bus company's tariff; and
(c)
to give the group of persons the exclusive use of the passenger bus, coach, or other
motor vehicle, and a driver to travel together to one or more specified destinations.
(21)
"Church" means a building:
(a)
set apart for worship;
(b)
in which religious services are held;
(c)
with which clergy is associated; and
(d)
that is tax exempt under the laws of this state.
(22)
"Commission" means the Alcoholic Beverage Services Commission created in Section
32B-2-201
.
(23)
"Commissioner" means a member of the commission.
(24)
"Community location" means:
(a)
a public or private school as defined in Subsection
(116)
(118)
;
(b)
a church;
(c)
a public library;
(d)
a public playground; or
(e)
a public park.
(25)
"Community location governing authority" means:
(a)
the governing body of the community location; or
(b)
if the commission does not know who is the governing body of a community
location, a person who appears to the commission to have been given on behalf of the
community location the authority to prohibit an activity at the community location.
(26)
"Consent of the local authority" means a written document in which a local authority
gives consent to the commission to consider issuing a license, permit, or package agency
within the boundaries of the local authority.
(26)
(27)
"Container" means a receptacle that contains an alcoholic product, including:
(a)
a bottle;
(b)
a vessel; or
(c)
a similar item.
(27)
(28)
"Controlled group of manufacturers" means as the commission defines by rule
made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
(28)
(29)
"Convention center" means a facility that is:
(a)
in total at least 30,000 square feet; and
(b)
otherwise defined as a "convention center" by the commission by rule.
(29)
(30)
(a)
"Counter" means a surface or structure in a dining area of a licensed
premises where seating is provided to a patron for service of food.
(b)
"Counter" does not include a dispensing structure.
(30)
(31)
"Crime involving moral turpitude"
is as defined by the commission by rule
means the same as the commission defines that term by rule
.
(31)
(32)
"Department" means the Department of Alcoholic Beverage Services created in
Section
32B-2-203
.
(32)
(33)
"Department compliance officer" means an individual who is:
(a)
an auditor or inspector; and
(b)
employed by the department.
(33)
(34)
"Department sample" means liquor that is placed in the possession of the
department for testing, analysis, and sampling.
(34)
(35)
"Dining club license" means a license issued in accordance with Chapter 5,
Retail License Act, and Chapter 6, Part 4, Bar Establishment License, that is designated
by the commission as a dining club license.
(35)
(36)
"Director," unless the context requires otherwise, means the director of the
department.
(36)
(37)
"Disciplinary proceeding" means an adjudicative proceeding permitted under this
title:
(a)
against a person subject to administrative action; and
(b)
that is brought on the basis of a violation of this title.
(37)
(38)
(a)
Subject to Subsection
(37)(b)
(38)(b)
, "dispense" means:
(i)
drawing an alcoholic product; and
(ii)
using the alcoholic product at the location from which it was drawn to mix or
prepare an alcoholic product to be furnished to a patron of the retail licensee.
(b)
The definition of "dispense" in this Subsection
(37)
(38)
applies only to:
(i)
a full-service restaurant license;
(ii)
a limited-service restaurant license;
(iii)
a reception center license;
(iv)
a beer-only restaurant license;
(v)
a bar license;
(vi)
an on-premise beer retailer;
(vii)
an airport lounge license;
(viii)
an on-premise banquet license; and
(ix)
a hospitality amenity license.
(38)
(39)
"Dispensing structure" means a surface or structure on a licensed premises:
(a)
where an alcoholic product is dispensed; or
(b)
from which an alcoholic product is served.
(39)
(40)
"Distillery manufacturing license" means a license issued in accordance with
Chapter 11, Part 4, Distillery Manufacturing License.
(40)
(41)
"Distressed merchandise" means an alcoholic product in the possession of the
department that is saleable, but for some reason is unappealing to the public.
(41)
(42)
"Domestic airport" means an airport that:
(a)
has at least 15,000 commercial airline passenger boardings in any five-year period;
(b)
receives scheduled commercial passenger aircraft service; and
(c)
is not an international airport.
(42)
(43)
"Equity license" means a license issued in accordance with Chapter 5, Retail
License Act, and Chapter 6, Part 4, Bar Establishment License, that is designated by the
commission as an equity license.
(43)
(44)
"Event permit" means:
(a)
a single event permit; or
(b)
a temporary beer event permit.
(44)
(45)
"Exempt license" means a license exempt under Section
32B-1-201
from being
considered in determining the total number of retail licenses that the commission may
issue at any time.
(45)
(46)
(a)
"Flavored malt beverage" means a beverage:
(i)
that contains at least .5% alcohol by volume;
(ii)
for which the producer is required to file a formula for approval with the federal
Alcohol and Tobacco Tax and Trade Bureau under 27 C.F.R. Sec. 25.55 because
the beverage is treated by processing, filtration, or another method of manufacture
that is not generally recognized as a traditional process in the production of a beer,
ale, porter, stout, lager, or malt liquor; and
(iii)
for which the producer is required to file a formula for approval with the federal
Alcohol and Tobacco Tax and Trade Bureau under 27 C.F.R. Sec. 25.55 because
the beverage includes an ingredient containing alcohol.
(b)
"Flavored malt beverage" may contain a propylene glycol-, ethyl alcohol-, or
ethanol-based flavoring agent that contributes to the overall alcohol content of the
beverage.
(c)
"Flavored malt beverage" does not include beer or heavy beer.
(d)
"Flavored malt beverage" is considered liquor for purposes of this title.
(46)
(47)
"Fraternal license" means a license issued in accordance with Chapter 5, Retail
License Act, and Chapter 6, Part 4, Bar Establishment License, that is designated by the
commission as a fraternal license.
(47)
(48)
"Full-service restaurant license" means a license issued in accordance with
Chapter 5, Retail License Act, and Chapter 6, Part 2, Full-Service Restaurant License.
(48)
(49)
(a)
"Furnish" means by any means to provide with, supply, or give an
individual an alcoholic product, by sale or otherwise.
(b)
"Furnish" includes to:
(i)
serve;
(ii)
deliver; or
(iii)
otherwise make available.
(49)
(50)
"Guest" means an individual who meets the requirements of Subsection
32B-6-407(9)
.
(50)
(51)
"Hard cider" means the same as that term is defined in 26 U.S.C. Sec. 5041.
(51)
(52)
"Health care practitioner" means:
(a)
a podiatrist licensed under Title 58, Chapter 5a, Podiatric Physician Licensing Act;
(b)
an optometrist licensed under Title 58, Chapter 16a, Utah Optometry Practice Act;
(c)
a pharmacist licensed under Title 58, Chapter 17b, Pharmacy Practice Act;
(d)
a physical therapist licensed under Title 58, Chapter 24b, Physical Therapy Practice
Act;
(e)
a nurse or advanced practice registered nurse licensed under Title 58, Chapter 31b,
Nurse Practice Act;
(f)
a recreational therapist licensed under Title 58, Chapter 40, Recreational Therapy
Practice Act;
(g)
an occupational therapist licensed under Title 58, Chapter 42a, Occupational
Therapy Practice Act;
(h)
a nurse midwife licensed under Title 58, Chapter 44a, Nurse Midwife Practice Act;
(i)
a mental health professional licensed under Title 58, Chapter 60, Mental Health
Professional Practice Act;
(j)
a physician licensed under Title 58, Chapter 67, Utah Medical Practice Act;
(k)
an osteopath licensed under Title 58, Chapter 68, Utah Osteopathic Medical Practice
Act;
(l)
a dentist or dental hygienist licensed under Title 58, Chapter 69, Dentist and Dental
Hygienist Practice Act; and
(m)
a physician assistant licensed under Title 58, Chapter 70a, Utah Physician Assistant
Act.
(52)
(53)
(a)
"Heavy beer" means a product that:
(i)
(A)
contains more than 5% alcohol by volume;
(B)
contains at least .5% of alcohol by volume and no more than 5% of alcohol by
volume or 4% by weight, and a propolyne glycol-, ethyl alcohol-, or
ethanol-based flavoring agent that contributes more than 10% of the overall
alcohol content of the product; or
(C)
contains at least .5% of alcohol by volume and no more than 5% of alcohol by
volume or 4% by weight, and has a label or packaging that is rejected under
Subsection
32B-1-606(3)(b)
; and
(ii)
is obtained by fermentation, infusion, or decoction of:
(A)
malt; or
(B)
a malt substitute.
(b)
"Heavy beer" may, if the heavy beer contains more than 5% alcohol by volume,
contain a propolyne glycol-, ethyl alcohol-, or ethanol-based flavoring agent that
contributes to the overall alcohol content of the heavy beer.
(c)
"Heavy beer" does not include:
(i)
a flavored malt beverage;
(ii)
a product that contains alcohol derived from:
(A)
except as provided in Subsections
(52)(a)(i)(B)
(53)(a)(i)(B)
and
(52)(b)
(53)(b)
, spirituous liquor; or
(B)
wine; or
(iii)
a product that contains an additive masking or altering a physiological effect of
alcohol, including kratom, kava, cannabidiol, or natural or synthetic
tetrahydrocannabinol.
(d)
"Heavy beer" is considered liquor for the purposes of this title.
(53)
(54)
"Hospitality amenity license" means a license issued in accordance with Chapter
5, Retail License Act, and Chapter 6, Part 10, Hospitality Amenity License.
(54)
(55)
(a)
"Hotel" means a commercial lodging establishment that:
(i)
offers at least
40
30
rooms as temporary sleeping accommodations for
compensation;
(ii)
is capable of hosting conventions, conferences, and food and beverage functions
under a banquet contract; and
(iii)
(A)
has adequate kitchen or culinary facilities on the premises to provide
complete meals;
(B)
has at least 1,000 square feet of function space consisting of meeting or dining
rooms that can be reserved for a banquet and can accommodate at least 75
individuals; or
(C)
if the establishment is located in a small or unincorporated locality, has an
appropriate amount of function space consisting of meeting or dining rooms
that can be reserved for private use under a banquet contract, as determined by
the commission.
(b)
"Hotel" includes a commercial lodging establishment that:
(i)
meets the requirements under Subsection
(54)(a)
(55)(a)
; and
(ii)
has one or more privately owned dwelling units.
(55)
(56)
"Hotel license" means a license issued in accordance with Chapter 5, Retail
License Act, and Chapter 8b, Hotel License Act.
(56)
(57)
"Identification card" means an identification card issued under Title 53, Chapter
3, Part 8, Identification Card Act.
(57)
(58)
"Industry representative" means an individual who is compensated by salary,
commission, or other means for representing and selling an alcoholic product of a
manufacturer, supplier, or importer of liquor.
(58)
(59)
"Industry representative sample" means liquor that is placed in the possession of
the department for testing, analysis, and sampling by a local industry representative on
the premises of the department to educate the local industry representative of the quality
and characteristics of the product.
(59)
(60)
(a)
"Interdicted person" means a person to whom the sale, offer for sale, or
furnishing of an alcoholic product is prohibited by:
(i)
law; or
(ii)
court order.
(b)
"Interdicted person" includes a person who voluntarily obtains a driver license
certificate under Section
53-3-236
or an identification card under Section
53-3-805
with an interdicted person identifier.
(60)
(61)
"International airport" means an airport:
(a)
with a United States Customs and Border Protection office on the premises of the
airport; and
(b)
at which international flights may enter and depart.
(61)
(62)
"Intoxicated" or "intoxication" means that
an individual exhibits plain and easily observable outward manifestations of behavior or
physical signs produced by or as a result of the use of:
(a)
an alcoholic product;
(b)
a controlled substance;
(c)
a substance having the property of releasing toxic vapors; or
(d)
a combination of products or substances described in Subsections
(61)(a)
(62)(a)
through
(c)
.
(62)
(63)
"Investigator" means an individual who is:
(a)
a department compliance officer; or
(b)
a nondepartment enforcement officer.
(63)
(64)
"License" means:
(a)
a retail license;
(b)
a sublicense;
(c)
a license issued in accordance with Chapter 7, Part 4, Off-premise Beer Retailer State
License;
(d)
a license issued in accordance with Chapter 11, Manufacturing and Related Licenses
Act;
(e)
a license issued in accordance with Chapter 12, Liquor Warehousing License Act;
(f)
a license issued in accordance with Chapter 13, Beer Wholesaling License Act; or
(g)
a license issued in accordance with Chapter 17, Liquor Transport License Act.
(64)
(65)
"Licensee" means a person who holds a license.
(65)
(66)
"Limited-service restaurant license" means a license issued in accordance with
Chapter 5, Retail License Act, and Chapter 6, Part 3, Limited-Service Restaurant
License.
(66)
(67)
"Limousine" means a motor vehicle licensed by the state or a local authority,
other than a bus or taxicab:
(a)
in which the driver and a passenger are separated by a partition, glass, or other
barrier;
(b)
that is provided by a business entity to one or more individuals at a fixed charge in
accordance with the business entity's tariff; and
(c)
to give the one or more individuals the exclusive use of the limousine and a driver to
travel to one or more specified destinations.
(67)
(68)
(a)
(i)
"Liquor" means a liquid that:
(A)
is:
(I)
alcohol;
(II)
an alcoholic, spirituous, vinous, fermented, malt, or other liquid;
(III)
a combination of liquids a part of which is spirituous, vinous, or
fermented; or
(IV)
other drink or drinkable liquid; and
(B)
(I)
contains at least .5% alcohol by volume; and
(II)
is suitable to use for beverage purposes.
(ii)
"Liquor" includes:
(A)
heavy beer;
(B)
wine; and
(C)
a flavored malt beverage.
(b)
"Liquor" does not include beer.
(68)
(69)
"Liquor Control Fund" means the enterprise fund created by Section
32B-2-301
.
(69)
(70)
"Liquor transport license" means a license issued in accordance with Chapter 17,
Liquor Transport License Act.
(70)
(71)
"Liquor warehousing license" means a license that is issued:
(a)
in accordance with Chapter 12, Liquor Warehousing License Act; and
(b)
to a person, other than a licensed manufacturer, who engages in the importation for
storage, sale, or distribution of liquor regardless of amount.
(71)
(72)
"Local authority" means:
(a)
for premises that are located in an unincorporated area of a county, the governing
body of a county;
(b)
for premises that are located in an incorporated city or town, the governing body of
the city or town;
or
(c)
the Point of the Mountain State Land Authority created in Section
11-59-201
; or
(c)
(d)
for premises that are located in a project area as defined in Section
63H-1-102
and in a project area plan adopted by the Military Installation Development Authority
under Title 63H, Chapter 1, Military Installation Development Authority Act, the
Military Installation Development Authority.
(72)
(73)
"Lounge or bar area"
is as defined by rule made by the commission
means the
same as the commission defines that term by rule
.
(73)
(74)
"Malt substitute" means:
(a)
rice;
(b)
grain;
(c)
bran;
(d)
glucose;
(e)
sugar; or
(f)
molasses.
(74)
(75)
"Manufacture" means to distill, brew, rectify, mix, compound, process, ferment,
or otherwise make an alcoholic product for personal use or for sale or distribution to
others.
(76)
"Markup cost" means the amount a person pays to the department for an alcoholic
product in accordance with Section
32B-2-304
.
(75)
(77)
"Member" means an individual who, after paying regular dues, has full privileges
in an equity licensee or fraternal licensee.
(76)
(78)
(a)
"Military installation" means a base, air field, camp, post, station, yard,
center, or homeport facility for a ship:
(i)
(A)
under the control of the United States Department of Defense; or
(B)
of the National Guard;
(ii)
that is located within the state; and
(iii)
including a leased facility.
(b)
"Military installation" does not include a facility used primarily for:
(i)
civil works;
(ii)
a rivers and harbors project; or
(iii)
a flood control project.
(77)
(79)
"Minibar" means an area of a hotel guest room where one or more alcoholic
products are kept and offered for self-service sale or consumption.
(78)
(80)
"Minor" means an individual under 21 years old.
(79)
(81)
"Nondepartment enforcement agency" means an agency that:
(a)
(i)
is a state agency other than the department; or
(ii)
is an agency of a county, city, or town; and
(b)
has a responsibility to enforce one or more provisions of this title.
(80)
(82)
"Nondepartment enforcement officer" means an individual who is:
(a)
a peace officer, examiner, or investigator; and
(b)
employed by a nondepartment enforcement agency.
(81)
(83)
(a)
"Off-premise beer retailer" means a beer retailer who is:
(i)
licensed in accordance with Chapter 7, Off-Premise Beer Retailer Act; and
(ii)
engaged in the retail sale of beer to a patron for consumption off the beer retailer's
premises.
(b)
"Off-premise beer retailer" does not include an on-premise beer retailer.
(82)
(84)
"Off-premise beer retailer state license" means a state license issued in
accordance with Chapter 7, Part 4, Off-premise Beer Retailer State License.
(83)
(85)
"On-premise banquet license" means a license issued in accordance with Chapter
5, Retail License Act, and Chapter 6, Part 6, On-Premise Banquet License.
(84)
(86)
"On-premise beer retailer" means a beer retailer who is:
(a)
authorized to sell, offer for sale, or furnish beer under a license issued in accordance
with Chapter 5, Retail License Act, and Chapter 6, Part 7, On-Premise Beer Retailer
License; and
(b)
engaged in the sale of beer to a patron for consumption on the beer retailer's
premises:
(i)
regardless of whether the beer retailer sells beer for consumption off the licensed
premises; and
(ii)
on and after March 1, 2012, operating:
(A)
as a tavern; or
(B)
in a manner that meets the requirements of Subsection
32B-6-703(2)(e)(i)
.
(85)
(87)
"Opaque" means impenetrable to sight.
(86)
(88)
"Package agency" means a retail liquor location operated:
(a)
under an agreement with the department; and
(b)
by a person:
(i)
other than the state; and
(ii)
who is authorized by the commission in accordance with Chapter 2, Part 6,
Package Agency, to sell packaged liquor for consumption off the premises of the
package agency.
(87)
(89)
"Package agent" means a person who holds a package agency.
(88)
(90)
"Patron" means an individual to whom food, beverages, or services are sold,
offered for sale, or furnished, or who consumes an alcoholic product including:
(a)
a customer;
(b)
a member;
(c)
a guest;
(d)
an attendee of a banquet or event;
(e)
an individual who receives room service;
(f)
a resident of a resort; or
(g)
a hospitality guest, as defined in Section
32B-6-1002
, under a hospitality amenity
license.
(89)
(91)
(a)
"Performing arts facility" means a multi-use performance space that:
(i)
is primarily used to present various types of performing arts, including dance,
music, and theater;
(ii)
contains over 2,500 seats;
(iii)
is owned and operated by a governmental entity; and
(iv)
is located in a city of the first class.
(b)
"Performing arts facility" does not include a space that is used to present sporting
events or sporting competitions.
(90)
(92)
"Permittee" means a person issued a permit under:
(a)
Chapter 9, Event Permit Act; or
(b)
Chapter 10, Special Use Permit Act.
(91)
(93)
"Person subject to administrative action" means:
(a)
a licensee;
(b)
a permittee;
(c)
a manufacturer;
(d)
a supplier;
(e)
an importer;
(f)
one of the following holding a certificate of approval:
(i)
an out-of-state brewer;
(ii)
an out-of-state importer of beer, heavy beer, or flavored malt beverages; or
(iii)
an out-of-state supplier of beer, heavy beer, or flavored malt beverages; or
(g)
staff of:
(i)
a person listed in Subsections
(91)(a)
(93)(a)
through
(f)
; or
(ii)
a package agent.
(92)
(94)
"Premises" means a building, enclosure, or room used in connection with the
storage, sale, furnishing, consumption, manufacture, or distribution, of an alcoholic
product, unless otherwise defined in this title or rules made by the commission.
(93)
(95)
"Prescription" means an order issued by a health care practitioner when:
(a)
the health care practitioner is licensed under Title 58, Occupations and Professions,
to prescribe a controlled substance, other drug, or device for medicinal purposes;
(b)
the order is made in the course of that health care practitioner's professional practice;
and
(c)
the order is made for obtaining an alcoholic product for medicinal purposes only.
(94)
(96)
(a)
"Primary spirituous liquor" means the main distilled spirit in a beverage.
(b)
"Primary spirituous liquor" does not include a secondary flavoring ingredient.
(95)
(97)
"Principal license" means:
(a)
a resort license;
(b)
a hotel license; or
(c)
an arena license.
(96)
(98)
(a)
"Private event" means a specific social, business, or recreational event:
(i)
for which an entire room, area, or hall is leased or rented in advance by an
identified group; and
(ii)
that is limited in attendance to people who are specifically designated and their
guests.
(b)
"Private event" does not include an event to which the general public is invited,
whether for an admission fee or not.
(97)
(99)
"Privately sponsored event" means a specific social, business, or recreational
event:
(a)
that is held in or on the premises of an on-premise banquet licensee; and
(b)
to which entry is restricted by an admission fee.
(98)
(100)
(a)
"Proof of age" means:
(i)
an identification card;
(ii)
an identification that:
(A)
is substantially similar to an identification card;
(B)
is issued in accordance with the laws of a state other than Utah in which the
identification is issued;
(C)
includes date of birth; and
(D)
has a picture affixed;
(iii)
a valid driver license certificate that:
(A)
includes date of birth;
(B)
has a picture affixed; and
(C)
is issued under Title 53, Chapter 3, Uniform Driver License Act, in
accordance with the laws of the state in which it is issued, or in accordance
with federal law by the United States Department of State;
(iv)
a military identification card that:
(A)
includes date of birth; and
(B)
has a picture affixed;
or
(v)
a valid passport
.
; or
(vi)
a valid driver license that:
(A)
includes a date of birth;
(B)
has a picture affixed; and
(C)
is issued under the laws of a country other than the United States.
(b)
"Proof of age" does not include a driving privilege card issued in accordance with
Section
53-3-207
.
(99)
(101)
"Provisions applicable to a sublicense" means:
(a)
for a full-service restaurant sublicense, the provisions applicable to a full-service
restaurant license under Chapter 6, Part 2, Full-Service Restaurant License;
(b)
for a limited-service restaurant sublicense, the provisions applicable to a
limited-service restaurant license under Chapter 6, Part 3, Limited-Service Restaurant
License;
(c)
for a bar establishment sublicense, the provisions applicable to a bar establishment
license under Chapter 6, Part 4, Bar Establishment License;
(d)
for an on-premise banquet sublicense, the provisions applicable to an on-premise
banquet license under Chapter 6, Part 6, On-Premise Banquet License;
(e)
for an on-premise beer retailer sublicense, the provisions applicable to an on-premise
beer retailer license under Chapter 6, Part 7, On-Premise Beer Retailer License;
(f)
for a beer-only restaurant sublicense, the provisions applicable to a beer-only
restaurant license under Chapter 6, Part 9, Beer-Only Restaurant License;
(g)
for a hospitality amenity license, the provisions applicable to a hospitality amenity
license under Chapter 6, Part 10, Hospitality Amenity License; and
(h)
for a spa sublicense, the provisions applicable to the sublicense under Chapter 8d,
Part 2, Resort Spa Sublicense.
(100)
(102)
(a)
"Public building" means a building or permanent structure that is:
(i)
owned or leased by:
(A)
the state; or
(B)
a local government entity; and
(ii)
used for:
(A)
public education;
(B)
transacting public business; or
(C)
regularly conducting government activities.
(b)
"Public building" does not include a building owned by the state or a local
government entity when the building is used by a person, in whole or in part, for a
proprietary function.
(101)
(103)
"Public conveyance" means a conveyance that the public or a portion of the
public has access to and a right to use for transportation, including an airline, railroad,
bus, boat, or other public conveyance.
(102)
(104)
"Reception center" means a business that:
(a)
operates facilities that are at least 5,000 square feet; and
(b)
has as its primary purpose the leasing of the facilities described in Subsection
(102)(a)
(104)(a)
to a third party for the third party's event.
(103)
(105)
"Reception center license" means a license issued in accordance with Chapter
5, Retail License Act, and Chapter 6, Part 8, Reception Center License.
(104)
(106)
(a)
"Record" means information that is:
(i)
inscribed on a tangible medium; or
(ii)
stored in an electronic or other medium and is retrievable in a perceivable form.
(b)
"Record" includes:
(i)
a book;
(ii)
a book of account;
(iii)
a paper;
(iv)
a contract;
(v)
an agreement;
(vi)
a document; or
(vii)
a recording in any medium.
(105)
(107)
"Residence" means a person's principal place of abode within Utah.
(106)
(108)
"Resident," in relation to a resort, means the same as that term is defined in
Section
32B-8-102
.
(107)
(109)
"Resort" means the same as that term is defined in Section
32B-8-102
.
(108)
(110)
"Resort facility"
is as defined by the commission by rule
means the same as
the commission defines that term by rule
.
(109)
(111)
"Resort license" means a license issued in accordance with Chapter 5, Retail
License Act, and Chapter 8, Resort License Act.
(110)
(112)
"Responsible alcohol service plan" means a written set of policies and
procedures that outlines measures to prevent employees from:
(a)
over-serving alcoholic beverages to customers;
(b)
serving alcoholic beverages to customers who are actually, apparently, or obviously
intoxicated; and
(c)
serving alcoholic beverages to minors.
(111)
(113)
"Restaurant" means a business location:
(a)
at which a variety of foods are prepared;
(b)
at which complete meals are served; and
(c)
that is engaged primarily in serving meals.
(112)
(114)
"Restaurant license" means one of the following licenses issued under this title:
(a)
a full-service restaurant license;
(b)
a limited-service restaurant license; or
(c)
a beer-only restaurant license.
(113)
(115)
"Restaurant venue" means a room within a restaurant that:
(a)
is located on the licensed premises of a restaurant licensee;
(b)
is separated from the area within the restaurant for a patron's consumption of food by
a permanent, opaque, floor-to-ceiling wall such that the inside of the room is not
visible to a patron in the area within the restaurant for a patron's consumption of
food; and
(c)
(i)
has at least 1,000 square feet that:
(A)
may be reserved for a banquet; and
(B)
accommodates at least 75 individuals; or
(ii)
if the restaurant is located in a small or unincorporated locality, has an
appropriate amount of space, as determined by the commission, that may be
reserved for a banquet.
(114)
(116)
"Retail license" means one of the following licenses issued under this title:
(a)
a full-service restaurant license;
(b)
a master full-service restaurant license;
(c)
a limited-service restaurant license;
(d)
a master limited-service restaurant license;
(e)
a bar establishment license;
(f)
an airport lounge license;
(g)
an on-premise banquet license;
(h)
an on-premise beer license;
(i)
a reception center license;
(j)
a beer-only restaurant license;
(k)
a hospitality amenity license;
(l)
a resort license;
(m)
a hotel license; or
(n)
an arena license.
(115)
(117)
"Room service" means furnishing an alcoholic product to a person in a guest
room or privately owned dwelling unit of a:
(a)
hotel; or
(b)
resort facility.
(116)
(118)
(a)
"School" means a building in which any part is used for more than three
hours each weekday during a school year as a public or private:
(i)
elementary school;
(ii)
secondary school; or
(iii)
kindergarten.
(b)
"School" does not include:
(i)
a nursery school;
(ii)
a day care center;
(iii)
a trade and technical school;
(iv)
a preschool;
(v)
a home school;
(vi)
a home-based microschool as defined in Section
53G-6-201
; or
(vii)
a micro-education entity as defined in Section
53G-6-201
.
(117)
(119)
"Secondary flavoring ingredient" means any spirituous liquor added to a
beverage for additional flavoring that is different in type, flavor, or brand from the
primary spirituous liquor in the beverage.
(118)
(120)
"Sell" or "offer for sale" means a transaction, exchange, or barter whereby, for
consideration, an alcoholic product is either directly or indirectly transferred, solicited,
ordered, delivered for value, or by a means or under a pretext is promised or obtained,
whether done by a person as a principal, proprietor, or as staff, unless otherwise defined
in this title or the rules made by the commission.
(119)
(121)
"Serve" means to place an alcoholic product before an individual.
(120)
(122)
"Sexually oriented entertainer" means a person who while in a state of
seminudity appears at or performs:
(a)
for the entertainment of one or more patrons;
(b)
on the premises of:
(i)
a bar licensee; or
(ii)
a tavern;
(c)
on behalf of or at the request of the licensee described in Subsection
(120)(b)
(122)(b)
;
(d)
on a contractual or voluntary basis; and
(e)
whether or not the person is designated as:
(i)
an employee;
(ii)
an independent contractor;
(iii)
an agent of the licensee; or
(iv)
a different type of classification.
(121)
(123)
"Shared seating area" means the licensed premises of two or more restaurant
licensees that the restaurant licensees share as an area for alcoholic beverage
consumption in accordance with Subsection
32B-5-207(3)
.
(122)
(124)
"Single event permit" means a permit issued in accordance with Chapter 9,
Part 3, Single Event Permit.
(123)
(125)
"Small brewer" means a brewer who manufactures less than 60,000 barrels of
beer, heavy beer, and flavored malt beverage per year, as the department calculates by:
(a)
if the brewer is part of a controlled group of manufacturers, including the combined
volume totals of production for all breweries that constitute the controlled group of
manufacturers; and
(b)
excluding beer, heavy beer, or flavored malt beverage the brewer:
(i)
manufactures that is unfit for consumption as, or in, a beverage, as the commission
determines by rule made in accordance with Title 63G, Chapter 3, Utah
Administrative Rulemaking Act; and
(ii)
does not sell for consumption as, or in, a beverage.
(124)
(126)
"Small or unincorporated locality" means:
(a)
a city of the third, fourth, or fifth class, as classified under Section
10-2-301
;
(b)
a town, as classified under Section
10-2-301
; or
(c)
an unincorporated area in a county of the third, fourth, or fifth class, as classified
under Section
17-60-104
.
(125)
(127)
"Spa sublicense" means a sublicense:
(a)
to a resort license or hotel license; and
(b)
that the commission issues in accordance with Chapter 8d, Part 2, Resort Spa
Sublicense.
(126)
(128)
"Special use permit" means a permit issued in accordance with Chapter 10,
Special Use Permit Act.
(127)
(129)
(a)
"Spirituous liquor" means liquor that is distilled.
(b)
"Spirituous liquor" includes an alcoholic product defined as a "distilled spirit" by 27
U.S.C. Sec. 211 and 27 C.F.R. Secs. 5.11 through 5.23.
(128)
(130)
"Sports center"
is as defined by the commission by rule
means the same as
the commission defines that term by rule
.
(129)
(131)
(a)
"Staff" means an individual who engages in activity governed by this
title:
(i)
on behalf of a business, including a package agent, licensee, permittee, or
certificate holder;
(ii)
at the request of the business, including a package agent, licensee, permittee, or
certificate holder; or
(iii)
under the authority of the business, including a package agent, licensee,
permittee, or certificate holder.
(b)
"Staff" includes:
(i)
an officer;
(ii)
a director;
(iii)
an employee;
(iv)
personnel management;
(v)
an agent of the licensee, including a managing agent;
(vi)
an operator; or
(vii)
a representative.
(130)
(132)
"State of nudity" means:
(a)
the appearance of:
(i)
the nipple or areola of a female human breast;
(ii)
a human genital;
(iii)
a human pubic area; or
(iv)
a human anus; or
(b)
a state of dress that fails to opaquely cover:
(i)
the nipple or areola of a female human breast;
(ii)
a human genital;
(iii)
a human pubic area; or
(iv)
a human anus.
(131)
(133)
"State of seminudity" means a state of dress in which opaque clothing covers
no more than:
(a)
the nipple and areola of the female human breast in a shape and color other than the
natural shape and color of the nipple and areola; and
(b)
the human genitals, pubic area, and anus:
(i)
with no less than the following at its widest point:
(A)
four inches coverage width in the front of the human body; and
(B)
five inches coverage width in the back of the human body; and
(ii)
with coverage that does not taper to less than one inch wide at the narrowest point.
(132)
(134)
(a)
"State store" means a facility for the sale of packaged liquor:
(i)
located on premises owned or leased by the state; and
(ii)
operated by a state employee.
(b)
"State store" does not include:
(i)
a package agency;
(ii)
a licensee; or
(iii)
a permittee.
(133)
(135)
(a)
"Storage area" means an area on licensed premises where the licensee
stores an alcoholic product.
(b)
"Store" means to place or maintain in a location an alcoholic product.
(134)
(136)
"Sublicense" means:
(a)
any of the following licenses issued as a subordinate license to, and contingent on the
issuance of, a principal license:
(i)
a full-service restaurant license;
(ii)
a limited-service restaurant license;
(iii)
a bar establishment license;
(iv)
an on-premise banquet license;
(v)
an on-premise beer retailer license;
(vi)
a beer-only restaurant license; or
(vii)
a hospitality amenity license; or
(b)
a spa sublicense.
(135)
(137)
"Supplier" means a person who sells an alcoholic product to the department.
(136)
(138)
"Tavern" means an on-premise beer retailer who is:
(a)
issued a license by the commission in accordance with Chapter 5, Retail License Act,
and Chapter 6, Part 7, On-Premise Beer Retailer License; and
(b)
designated by the commission as a tavern in accordance with Chapter 6, Part 7,
On-Premise Beer Retailer License.
(137)
(139)
"Temporary beer event permit" means a permit issued in accordance with
Chapter 9, Part 4, Temporary Beer Event Permit.
(138)
(140)
"Temporary domicile" means the principal place of abode within Utah of a
person who does not have a present intention to continue residency within Utah
permanently or indefinitely.
(139)
(141)
"Translucent" means a substance that allows light to pass through, but does not
allow an object or person to be seen through the substance.
(140)
(142)
"Unsaleable liquor merchandise" means a container that:
(a)
is unsaleable because the container is:
(i)
unlabeled;
(ii)
leaky;
(iii)
damaged;
(iv)
difficult to open; or
(v)
partly filled;
(b)
(i)
has faded labels or defective caps or corks;
(ii)
has contents that are:
(A)
cloudy;
(B)
spoiled; or
(C)
chemically determined to be impure; or
(iii)
contains:
(A)
sediment; or
(B)
a foreign substance; or
(c)
is otherwise considered by the department as unfit for sale.
(141)
(143)
(a)
"Wine" means an alcoholic product obtained by the fermentation of the
natural sugar content of fruits, plants, honey, or milk, or other like substance, whether
or not another ingredient is added.
(b)
"Wine" includes:
(i)
an alcoholic beverage defined as wine under 27 U.S.C. Sec. 211 and 27 C.F.R.
Sec. 4.10; and
(ii)
hard cider.
(c)
"Wine" is considered liquor for purposes of this title, except as otherwise provided in
this title.
(142)
(144)
"Winery manufacturing license" means a license issued in accordance with
Chapter 11, Part 3, Winery Manufacturing License.
Section 2. Section
32B-1-202
is amended to read:
32B-1-202
Effective
05/06/26
. Proximity to community location.
(1)
As used in this section:
(a)
"Designated project area zone" means the area that is:
(i)
bounded by:
(A)
South Temple Street;
(B)
100 South Street;
(C)
West Temple Street; and
(D)
400 West Street; and
(ii)
within a project area as defined in Section
63N-3-1401
.
(b)
(i)
"Outlet" means:
(A)
a state store;
(B)
a package agency; or
(C)
a retail licensee.
(ii)
"Outlet" does not include:
(A)
an airport lounge licensee; or
(B)
a restaurant.
(c)
"Restaurant" means:
(i)
a full-service restaurant licensee;
(ii)
a limited-service restaurant licensee;
(iii)
a beer-only restaurant licensee; or
(iv)
a restaurant venue on-premise banquet licensee.
(2)
(a)
Except as otherwise provided in this section or Section
32B-1-202.1
, the
commission may not issue a license for an outlet if, on the date the commission takes
final action to approve or deny the application, there is a community location:
(i)
within 600 feet of the proposed outlet, as measured from the nearest patron
entrance of the proposed outlet by following the shortest route of ordinary
pedestrian travel to the property boundary of the community location; or
(ii)
within 200 feet of the proposed outlet, measured in a straight line from the
nearest patron entrance of the proposed outlet to the nearest property boundary of
the community location.
(b)
Except as otherwise provided in this section or Section
32B-1-202.1
, the commission
may not issue a license for a restaurant if, on the date the commission takes final
action to approve or deny the application, there is a community location:
(i)
within 300 feet of the proposed restaurant, as measured from the nearest patron
entrance of the proposed restaurant by following the shortest route of ordinary
pedestrian travel to the property boundary of the community location; or
(ii)
within 200 feet of the proposed restaurant, measured in a straight line from the
nearest patron entrance of the proposed restaurant to the nearest property
boundary of the community location.
(3)
(a)
For an outlet or a restaurant that holds a license on May 9, 2017, and operates
under a previously approved variance to one or more proximity requirements in
effect before May 9, 2017, subject to the other provisions of this title, that outlet or
restaurant, or another outlet or restaurant with the same type of license as that outlet
or restaurant, may operate under the previously approved variance regardless of
whether:
(i)
the outlet or restaurant changes ownership;
(ii)
the property on which the outlet or restaurant is located changes ownership; or
(iii)
there is a lapse in the use of the property as an outlet or a restaurant with the
same type of license, unless during the lapse, the property is used for a different
purpose.
(b)
An outlet or a restaurant that has continuously operated at a location since before
January 1, 2007, is considered to have a previously approved variance.
(4)
An outlet or restaurant that holds a license on May 12, 2020, and operates in accordance
with the proximity requirements in effect at the time the commission issued the license
or operates under a previously approved variance described in Subsection
(3)
, subject to
the other provisions of this title, that outlet or restaurant or an outlet or a restaurant with
the same type of license as that outlet or restaurant may operate at the premises
regardless of whether:
(a)
the outlet or restaurant changes ownership;
(b)
the property on which the outlet or restaurant is located changes ownership; or
(c)
there is a lapse of one year or less in the use of the property as an outlet or a
restaurant with the same type of license, unless during the lapse the property is used
for a different purpose.
(5)
(a)
If, after an outlet or a restaurant obtains a license under this title, a person
establishes a community location on a property that puts the outlet or restaurant in
violation of the proximity requirements in effect at the time the license is issued or a
previously approved variance described in Subsection
(3)
, subject to the other
provisions of this title, that outlet or restaurant, or an outlet or a restaurant with the
same type of license as that outlet or restaurant, may operate at the premises
regardless of whether:
(i)
the outlet or restaurant changes ownership;
(ii)
the property on which the outlet or restaurant is located changes ownership; or
(iii)
there is a lapse in the use of the property as an outlet or a restaurant with the
same type of license, unless during the lapse the property is used for a different
purpose.
(b)
The provisions of this Subsection
(5)
apply regardless of when the outlet's or
restaurant's license is issued.
(6)
The proximity requirements described in Subsection
(2)
do not apply:
(a)
if the proposed outlet or proposed restaurant and the community location are located
within the boundaries of a designated project area zone; or
(b)
if a local authority includes in the
written
consent of the local authority an
acknowledgment and authorization of the outlet's or the restaurant's proximity to a
public park, including any connected trail system, if the public park and connected
trail system are:
(i)
at least 12 acres in size;
(ii)
on land the state owns; and
(iii)
managed by the Point of the Mountain State Land Authority created in Section
11-59-201
.
(7)
(a)
Subject to Subsection
(7)(b)
, the commission may issue a license to a restaurant
that does not meet the proximity requirements of Subsection
(2)
, if a local authority:
(i)
includes in the consent of the local authority an acknowledgment and
authorization of the restaurant's proximity to a community location; and
(ii)
subject to Subsection
(8)
, at least 30 days before the day on which the local
authority issues the consent of the local authority, holds a public meeting in which
the local authority shall give the public the opportunity to comment on the
proposed location of the restaurant.
(b)
Subsection
(7)(a)
does not apply if the community location is a church or school.
(8)
In addition to the meeting requirement described in Subsection
(7)(a)(ii)
, if the local
authority is the Point of the Mountain State Land Authority created in Section
11-59-201
,
before the day on which the local authority holds the public meeting described in
Subsection
(7)(a)(ii)
, the municipality in which the local authority is located shall hold a
separate public meeting in which the municipality shall give the public the opportunity
to comment on the proposed location of the restaurant.
(7)
(9)
Nothing in this section prevents the commission from considering the proximity of
an educational, religious, and recreational facility, or any other relevant factor in
reaching a decision on a proposed location of an outlet.
Section 3. Section
32B-1-202.1
is amended to read:
32B-1-202.1
Effective
05/06/26
. Proximity for certain hotel and arena licensees.
(1)
As used in this section, "hotel" means the same as that term is defined in Section
32B-8b-102
.
(2)
The commission may issue a hotel license for a proposed location that does not meet the
proximity requirements under Section
32B-1-202
, if:
(a)
(i)
the proposed hotel is:
(i)
(A)
located in a city classified as a city of the first class under Section
10-2-301
;
(ii)
(B)
within 650 feet of two community locations, as measured from the
nearest patron entrance of the proposed hotel by following the shortest route of
ordinary pedestrian travel to the property boundary of each community
location;
(iii)
(C)
not within 300 feet of a community location, as measured from the
nearest patron entrance of the proposed hotel by following the shortest route of
ordinary pedestrian travel to the property boundary of the community location;
and
(iv)
(D)
not within 200 feet of a community location, as measured in a straight
line from the nearest patron entrance of the proposed hotel to the nearest
property boundary of the community location;
or
(ii)
the community location is not a school or church, a local authority:
(A)
includes in the consent of the local authority an acknowledgment and
authorization of the hotel's proximity to a community location; and
(B)
subject to Subsection
(5)
, at least 30 days before the day on which the local
authority issues the consent of the local authority, holds a public meeting in
which the local authority shall give the public the opportunity to comment on
the proposed location of the hotel;
(b)
the proposed sublicensed premises of a bar establishment sublicense under the hotel
license:
(i)
is on the second or higher floor of a hotel;
(ii)
is not accessible at street level; and
(iii)
is only accessible to an individual who passes through another area of the hotel
in which the bar establishment sublicense is located; and
(c)
the applicant meets all other criteria under this title for the hotel license.
(3)
The commission may issue authority to operate as a package agency to a hotel licensee
who meets the requirements described in Subsection
(2)
.
(4)
(a)
The commission may issue an arena license for a proposed location that does not
meet the proximity requirements described in Section
32B-1-202
, if, on the day
before the day on which the commission issues the license, each proposed sublicense
of the arena license:
(i)
operates as an outlet or restaurant; and
(ii)
(A)
operates on the proposed sublicense premises under a variance to one or
more proximity requirements in accordance with Section
32B-1-202
; or
(B)
has been in operation on the proposed sublicense premises for at least 10 years.
(b)
After the commission issues an arena license in accordance with Subsection
(4)(a)
,
the commission may not issue the arena licensee an additional sublicense.
(5)
In addition to the meeting requirement described in Subsection
(2)(a)(ii)(B)
, if the local
authority is the Point of the Mountain State Land Authority created in Section
11-59-201
,
before the day on which the local authority holds the public meeting described in
Subsection
(2)(a)(ii)(B)
, the municipality in which the local authority is located shall
hold a separate public meeting in which the municipality shall give the public the
opportunity to comment on the proposed location of the hotel.
Section 4. Section
32B-1-407
is amended to read:
32B-1-407
Effective
upon governor's approval
. Verification of proof of age by
applicable licensees.
(1)
As used in this section, "applicable licensee" means:
(a)
a dining club;
(b)
(a)
a bar;
(c)
(b)
a tavern;
(d)
(c)
a full-service restaurant;
(e)
(d)
a limited-service restaurant;
(f)
(e)
a beer-only restaurant; or
(g)
(f)
an off-premise beer retailer selling, offering for sale, or furnishing beer as
described in Subsection
32B-7-202(8)
.
(2)
Notwithstanding any other provision of this part, an applicable licensee shall require
that an authorized person for the applicable licensee verify proof of age as provided in
this section.
(3)
(a)
An authorized person is required to verify proof of age under this section before
an individual
who appears to be 35 years old or younger
:
(a)
gains admittance to the premises of a bar licensee or tavern;
(b)
procures an alcoholic product on the premises of a dining club licensee; or
(c)
procures an alcoholic product in a dispensing area in the premises of a full-service
restaurant licensee, a limited-service restaurant licensee, or a beer-only restaurant
licensee.
(b)
An authorized person is required to verify proof of age under this section before an
individual:
(i)
gains admittance to the premises of a bar licensee or tavern; or
(ii)
purchases beer from an off-premise beer retailer as described in Subsection
32B-7-202(8)
.
(c)
When verifying proof of age under this Subsection
(3)
, an authorized person shall
verify that:
(i)
the individual's age on the proof of age is at least 21 years old;
(ii)
the picture on the proof of age matches the individual; and
(iii)
if the proof of age is a driver license issued by this state, that the individual is not
an interdicted person.
(4)
To comply with Subsection
(3)
, an authorized person shall:
(a)
request
that
the individual present proof of age; and
(b)
(i)
verify the validity of the proof of age electronically under the verification
program created in Subsection
(5)
; or
(ii)
if the proof of age cannot be electronically verified as provided in Subsection
(4)(b)(i)
, request that the individual comply with a process established by the
commission by rule.
(5)
(a)
The commission shall establish by rule an electronic verification program that
includes the following:
(i)
(a)
the specifications for the technology used by the applicable licensee to
electronically verify proof of age, including that the technology display to the person
described in Subsection
(2)
no more than the following for the individual who
presents the proof of age:
(A)
(i)
the name;
(B)
(ii)
the age;
(C)
(iii)
the number assigned to the individual's proof of age by the issuing authority;
(D)
(iv)
the birth date;
(E)
(v)
the gender; and
(F)
(vi)
the status and expiration date of the individual's proof of age; and
(ii)
(b)
the security measures that shall be used by an applicable licensee to ensure that
information obtained under this section is:
(A)
(i)
used by the applicable licensee only for purposes of verifying proof of age in
accordance with this section; and
(B)
(ii)
retained by the applicable licensee for seven days after the day on which the
applicable licensee obtains the information.
(b)
The commission shall ensure that the electronic verification program described in
Subsection
(5)(a)
includes technology that recognizes every state's unique hidden
security features located on state issued identification cards to determine the validity
of that particular card.
(6)
(a)
An applicable licensee may not disclose information obtained under this section
except as provided under this title.
(b)
Information obtained under this section is considered a record for any purpose under
Chapter 5, Part 3, Retail Licensee Operational Requirements
.
Section 5. Section
32B-2-202
is amended to read:
32B-2-202
Effective
upon governor's approval
. Powers and duties of the
commission.
(1)
The commission shall:
(a)
consistent with the policy established by the Legislature by statute, act as a general
policymaking body on the subject of alcoholic product control;
(b)
adopt and issue policies, rules, and procedures;
(c)
set policy by written rules that establish criteria and procedures for:
(i)
issuing, denying, not renewing, suspending, or revoking a package agency,
license, permit, or certificate of approval; and
(ii)
determining the location of a state store, package agency, or retail licensee;
(d)
decide within the limits, and under the conditions imposed by this title, the number
and location of state stores, package agencies, and retail licensees in the state;
(e)
issue, deny, suspend, revoke, or not renew the following package agencies, licenses,
sublicenses, permits, or certificates of approval for the purchase, storage, sale, offer
for sale, furnishing, consumption, manufacture, and distribution of an alcoholic
product:
(i)
a package agency;
(ii)
a full-service restaurant license;
(iii)
a master full-service restaurant license;
(iv)
a limited-service restaurant license;
(v)
a master limited-service restaurant license;
(vi)
a bar establishment license;
(vii)
an airport lounge license;
(viii)
an on-premise banquet license;
(ix)
a resort license, which includes four or more sublicenses;
(x)
an on-premise beer retailer license;
(xi)
a reception center license;
(xii)
a beer-only restaurant license;
(xiii)
a hotel license, which includes three or more sublicenses;
(xiv)
an arena license, which includes three or more sublicenses;
(xv)
a hospitality amenity license;
(xvi)
subject to Subsection
(5)
, a single event permit;
(xvii)
subject to Subsection
(5)
, a temporary beer event permit;
(xviii)
a special use permit;
(xix)
a manufacturing license;
(xx)
a liquor warehousing license;
(xxi)
a beer wholesaling license;
(xxii)
a liquor transport license;
(xxiii)
an off-premise beer retailer state license;
(xxiv)
a master off-premise beer retailer state license;
(xxv)
one of the following that holds a certificate of approval:
(A)
an out-of-state brewer;
(B)
an out-of-state importer of beer, heavy beer, or flavored malt beverages; and
(C)
an out-of-state supplier of beer, heavy beer, or flavored malt beverages; and
(xxvi)
a spa sublicense;
(f)
issue, deny, suspend, or revoke the following conditional licenses:
(i)
a conditional retail license as defined in Section
32B-5-205
; and
(ii)
a conditional off-premise beer retailer state license as defined in Section
32B-7-406
;
(g)
prescribe the duties of the department in assisting the commission in issuing a
package agency, license, permit, or certificate of approval under this title;
(h)
to the extent a fee is not specified in this title, establish a fee allowed under this title
in accordance with Section
63J-1-504
;
(i)
subject to Section
32B-2-213
,
fix prices at which liquor is sold that are the same at all
state stores, package agencies, and retail licensees;
(j)
issue and distribute price lists showing the price to be paid by a purchaser for each
class, variety, or brand of liquor kept for sale by the department;
(k)
(i)
require the director to follow sound management principles; and
(ii)
require periodic reporting from the director to ensure that:
(A)
sound management principles are being followed; and
(B)
policies established by the commission are being observed;
(l)
(i)
receive, consider, and act in a timely manner upon the reports,
recommendations, and matters submitted by the director to the commission; and
(ii)
do the things necessary to support the department in properly performing the
department's duties;
(m)
obtain temporarily and for special purposes the services of an expert or person
engaged in the practice of a profession, or a person who possesses a needed skill if:
(i)
considered expedient; and
(ii)
approved by the governor;
(n)
prescribe by rule the conduct, management, and equipment of premises upon which
an alcoholic product may be stored, sold, offered for sale, furnished, or consumed;
(o)
make rules governing the credit terms of beer sales within the state to retail
licensees; and
(p)
in accordance with
Chapter 3, Disciplinary Actions and Enforcement Act
, take
disciplinary action against a person subject to administrative action.
(2)
Consistent with the policy established by the Legislature by statute, the power of the
commission to do the following is plenary, except as otherwise provided by this title,
and not subject to review:
(a)
establish a state store;
(b)
issue authority to act as a package agent or operate a package agency; and
(c)
issue, deny, or deem forfeit a license, permit, or certificate of approval.
(3)
(a)
Subject to Subsections
(3)(b)
and
(c)
, the commission may
make rules
permitting and establishing the parameters of a late license renewal.
(b)
The commission may not allow for the late renewal of a license after the later of:
(i)
the tenth day of the month after the month in which the license type is required to
be renewed; or
(ii)
if the tenth day of the month after the month in which the license type is required
to be renewed falls on a Saturday, Sunday, or state or federal holiday, the first
business day after the Saturday, Sunday, or holiday.
(c)
The fee for a late license renewal is $300.
(4)
If the commission is authorized or required to make a rule under this title, the
commission shall make the rule in accordance with
Title 63G, Chapter 3, Utah
Administrative Rulemaking Act
.
(5)
Notwithstanding Subsections
(1)(e)(xvi)
and
(xvii)
, the director or deputy director may
issue an event permit in accordance with
Chapter 9, Event Permit Act
.
Section 6. Section
32B-2-207
is amended to read:
32B-2-207
Effective
05/06/26
. Department employees -- Requirements.
(1)
"Upper
As used in this section, "upper
management" means
the director,
a deputy
director
,
or other Schedule AD, AR, or AS employee of the department, as defined in
Section
63A-17-301
, except for the director of internal audits and auditors hired by the
director of internal audits under Section
32B-2-302.5
.
(2)
(a)
Subject to this title, including the requirements of
Chapter 1, Part 3, Qualifications
and Background
, the director may prescribe the qualifications of a department
employee.
(b)
The director may hire an employee who is upper management only with the approval
of four commissioners voting in an open meeting.
(c)
Except as provided in Section
32B-1-303
, the
executive
director may dismiss an
employee who is upper management after consultation with the chair of the
commission.
(3)
(a)
A person who seeks employment with the department shall file with the
department an application under oath or affirmation in a form prescribed by the
commission.
(b)
Upon receiving an application, the department shall determine whether the individual
is:
(i)
of good moral character; and
(ii)
qualified for the position sought.
(c)
The department shall select an individual for employment or advancement with the
department in accordance with
Title 63A, Chapter 17, Utah State Personnel
Management Act
.
(4)
The following are not considered a department employee:
(a)
a package agent;
(b)
a licensee;
(c)
a staff member of a package agent; or
(d)
staff of a licensee.
(5)
The department may not employ a minor to:
(a)
work in:
(i)
a state store; or
(ii)
a department warehouse; or
(b)
engage in an activity involving the handling of an alcoholic product.
(6)
The department shall ensure that any training or certification required of a public
official or public employee, as those terms are defined in Section
63G-22-102
, complies
with
Title 63G, Chapter 22, State Training and Certification Requirements
, if the
training or certification is required:
(a)
under this title;
(b)
by the department; or
(c)
by an agency or division within the department.
Section 7. Section
32B-2-213
is amended to read:
32B-2-213
Effective
upon governor's approval
. Round up program --
Rounding for cash transactions.
(1)
The department may
:
(a)
establish a round up program under which an individual who makes a purchase at a
state store may elect to round the purchase price up to the nearest dollar
.
; and
(b)
if necessary to make exact change for a cash purchase of liquor at a state store, round
the total price of the liquor up or down to the nearest five cents after applicable taxes
are applied.
(2)
The department shall deposit money the department collects under Subsection
(1)
(1)(a)
into the Pamela Atkinson Homeless Account created in Section
35A-16-301
.
(3)
If necessary to make exact change for a cash purchase of liquor, a package agency, a
retail licensee, or a permittee may round the total price of the liquor up or down to the
nearest five cents after applicable taxes are applied.
Section 8. Section
32B-2-302.5
is amended to read:
32B-2-302.5
Effective
05/06/26
. Internal audits.
(1)
In accordance with
Title 63I, Chapter 5, Utah Internal Audit Act
, the department shall
conduct various types of auditing procedures
determined by the commission
through
an internal audit division.
(2)
(a)
The commission shall appoint an internal audit director who shall serve at the
pleasure of the commission.
(b)
The internal audit director shall hire auditors in the division with the approval of the
commission.
(c)
The internal audit director may dismiss an auditor with the approval of the
commission.
(2)
The internal audit division:
(a)
is placed directly under the director of the department;
(b)
shall report directly to the director of the department; and
(c)
is responsible for:
(i)
conducting and verifying each internal audit and review within the department; and
(ii)
implementing audit procedures that meet or exceed generally accepted auditing
standards.
(3)
Notwithstanding Section
63I-5-301
, the commission shall serve as the audit committee.
(3)
The chair of the commission or the commission may:
(a)
propose internal auditing policies; or
(b)
recommend or make additions or modifications to the internal audit division's annual
internal audit plan.
(4)
Subject to
the other provisions of
this section, the
internal audit
director
of the
internal audit division
shall have the powers and duties described in Section
63I-5-401
or any other duty prescribed by the chair of the commission
or the director of the
department
.
The internal audit director shall oversee and materially participate in
internal audits conducted under this section.
(5)
(a)
Once an internal audit is completed, the internal audit director shall provide an
internal audit report to the director, the chair of the commission, and the other
commissioners.
(b)
Within five business days of receipt of the internal audit, the director shall prepare a
written response and deliver it to the chair of the commission and the other
commissioners.
(c)
Within five business days of receipt of the director's written response under
Subsection
(5)(b)
, the chair of the commission may prepare a separate response.
(d)
Within 12 business days of the internal audit being given to the director, chair of the
commission, and the other commissioners under Subsection
(5)(a)
, the chair of the
commission shall forward the audit and any response to:
(i)
the governor;
(ii)
the legislative auditor general; and
(iii)
the Legislative Management Committee.
(e)
(c)
Within 120 calendar days
of
after the day on which the director of the
department receives
an internal audit
under Subsection
(5)(a)
,
being completed,
the
commission
director of the department
shall prepare a report to the
governor
chair
of the commission and other commissioners
describing
:
(i)
steps taken to implement the recommendations of the
internal
audit
;
or
(ii)
a detailed explanation of why recommendations have not been implemented.
The chair of the commission shall forward the report to:
(i)
the legislative auditor general; and
(ii)
the Legislative Management Committee.
(d)
After receiving a response or report under this Subsection
(5)
, the chair of the
commission or the commission may request that the director of the department or the
director of the internal audit division provide additional information regarding the
audit findings.
(e)
The director of the department shall make a response or report described in
Subsections
(5)(a)
through
(c)
available to the following upon request:
(i)
the governor;
(ii)
the legislative auditor general; and
(iii)
the Legislative Management Committee.
(f)
The chair of the commission shall make such other reports as the governor requests.
Section 9. Section
32B-2-304
is amended to read:
32B-2-304
Effective
upon governor's approval
. Liquor price -- Remittance of
markup -- School lunch program.
(1)
For purposes of this section:
(a)
(i)
"Landed case cost" means the sum of:
(A)
the cost of the product;
(B)
inbound shipping costs the department incurs; and
(C)
case handling costs the department incurs.
(ii)
"Landed case cost" does not include the outbound shipping cost from a
warehouse of the department to a state store.
(b)
"Proof gallon" means the same as that term is defined in 26 U.S.C. Sec. 5002.
(2)
Except as provided in Subsections
(3)
and
,
(4)
, and (7)
:
(a)
spirituous liquor sold by the department within the state shall be marked up in an
amount not less than 88.5% above the landed case cost to the department;
(b)
wine sold by the department within the state shall be marked up in an amount not
less than 88.5% above the landed case cost to the department;
(c)
heavy beer sold by the department within the state shall be marked up in an amount
not less than 66.5% above the landed case cost to the department; and
(d)
a flavored malt beverage sold by the department within the state shall be marked up
in an amount not less than 88.5% above the landed case cost to the department.
(3)
(a)
Liquor sold by the department to a military installation in Utah shall be marked up
in an amount not less than 17% above the landed case cost to the department.
(b)
Except for spirituous liquor sold by the department to a military installation in Utah,
spirituous liquor that is sold by the department within the state shall be marked up
49% above the landed case cost to the department if:
(i)
the spirituous liquor is manufactured by a manufacturer producing less than
30,000 proof gallons of spirituous liquor in a calendar year; and
(ii)
the manufacturer applies to the department for a reduced markup.
(c)
Except for wine sold by the department to a military installation in Utah, wine that is
sold by the department within the state shall be marked up 49% above the landed
case cost to the department if:
(i)
(A)
except as provided in Subsection
(3)(c)(i)(B)
, the wine is manufactured by a
manufacturer producing less than 20,000 gallons of wine in a calendar year; or
(B)
for hard cider, the hard cider is manufactured by a manufacturer producing
less than 620,000 gallons of hard cider in a calendar year; and
(ii)
the manufacturer applies to the department for a reduced markup.
(d)
Except for heavy beer sold by the department to a military installation in Utah, heavy
beer that is sold by the department within the state shall be marked up 32% above the
landed case cost to the department if:
(i)
a small brewer manufactures the heavy beer; and
(ii)
the small brewer applies to the department for a reduced markup.
(e)
The department shall:
(i)
for purposes of Subsections
(3)(b)
and
(c)
, calculate the production amount of a
manufacturer:
(A)
by, if the manufacturer is part of a controlled group of manufacturers,
including the combined volume totals of spirituous liquor, wine, or cider, as
applicable, for all manufacturers that constitute the controlled group of
manufacturers; and
(B)
without considering the manufacturer's production of any other type of
alcoholic product; and
(ii)
verify that a manufacturer meets a production amount described in Subsection
(3)(b)
or
(c)
and the production amount of a small brewer under a federal or other
verifiable production report.
(f)
A manufacturer seeking to obtain a reduced markup under Subsection
(3)(b)
, (c), or
(d), shall provide to the department any documentation or information the department
determines necessary to determine if the manufacturer is part of a controlled group of
manufacturers.
(g)
The department may, at any time, revoke a reduced markup granted to a
manufacturer under Subsection
(3)(b)
, (c), or (d), if the department determines the
manufacturer no longer qualifies for the reduced markup.
(4)
Wine the department purchases on behalf of a subscriber through the wine subscription
program established in Section
32B-2-702
shall be marked up not less than 88.5% above
the cost of the subscription for the interval in which the wine is purchased.
(5)
The department shall deposit 10% of the total gross revenue from sales of liquor with
the state treasurer to be credited to the Uniform School Fund and used to support the
school meals program administered by the State Board of Education under Section
53E-3-510
.
(6)
(a)
Each month, the department shall collect from each package agency located at a
manufacturing facility owned or operated by a person licensed under Chapter 11,
Manufacturing and Related Licenses Act, 12.295% of the package agency's reported
monthly revenue and deposit the money as follows:
(i)
1.695% of the reported monthly revenue into the Alcoholic Beverage Control Act
Enforcement Fund;
(ii)
10% of the reported monthly revenue into the Uniform School Fund and used to
support the school meals program administered by the State Board of Education
under Section
53E-3-510
; and
(iii)
0.60% of the reported monthly revenue into the Underage Drinking Prevention
Media and Education Campaign Restricted Account.
(b)
The department may collect a fee established in accordance with Section
63J-1-504
from a package agency described in this subsection to cover the costs of regulation.
(7)
This section does not prohibit the department from
:
(a)
selling discontinued items at a discount
.
; or
(b)
rounding the price of liquor in accordance with Section
32B-2-213
.
(8)
The Legislature shall annually appropriate to support substance use disorder treatment
services, an amount equal to the revenue generated from a 0.5% markup above the
landed case cost to the department on spirituous liquor.
Section 10. Section
32B-2-503
is amended to read:
32B-2-503
Effective
upon governor's approval
. Operational requirements for a
state store.
(1)
(a)
A state store shall display in a prominent place in the store a sign in large letters
that consists of text in the following order:
(i)
a header that reads: "WARNING";
(ii)
a warning statement that reads: "Drinking alcoholic beverages during pregnancy
can cause birth defects and permanent brain damage for the child.";
(iii)
a statement in smaller font that reads: "Call the Utah Department of Health
and
Human Services
at [insert most current toll-free number] with questions or for
more information.";
(iv)
a header that reads: "WARNING"; and
(v)
a warning statement that reads: "Driving under the influence of alcohol or drugs is
a serious crime that is prosecuted aggressively in Utah."
(b)
(i)
The text described in Subsections
(1)(a)(i)
through
(iii)
shall be in a different
font style than the text described in Subsections
(1)(a)(iv)
and
(v)
.
(ii)
The warning statements in the sign described in Subsection
(1)(a)
shall be in the
same font size.
(c)
The Department of Health
and Human Services
shall work with the commission and
department to facilitate consistency in the format of a sign required under this section.
(2)
A
Except as provided in Section
32B-2-213
, a
state store
may not
shall
sell, offer for
sale, or furnish liquor
except
at a price fixed by the commission.
(3)
A state store may not sell, offer for sale, or furnish liquor to:
(a)
a minor;
(b)
a person actually, apparently, or obviously intoxicated;
(c)
a known interdicted person; or
(d)
a known habitual drunkard.
(4)
(a)
A state store employee may not:
(i)
consume an alcoholic product on the premises of a state store; or
(ii)
allow any person to consume an alcoholic product on the premises of a state store.
(b)
A violation of this Subsection
(4)
is a class B misdemeanor.
(5)
(a)
Sale or delivery of liquor may not be made on or from the premises of a state
store, and a state store may not be kept open for the sale of liquor:
(i)
on Sunday; or
(ii)
on a state or federal legal holiday.
(b)
Sale or delivery of liquor may be made on or from the premises of a state store, and a
state store may be open for the sale of liquor, only on a day and during hours that the
commission directs by rule or order.
(6)
(a)
A minor may not be admitted into, or be on the premises of, a state store unless
accompanied by a person who is:
(i)
21 years
of age
old
or older; and
(ii)
the minor's parent, legal guardian, or spouse.
(b)
A state store employee that has reason to believe that a person who is on the
premises of a state store is under
the age of 21
21 years old
and is not accompanied
by a person described in Subsection
(6)(a)
may:
(i)
ask the suspected minor for proof of age;
(ii)
ask the person who accompanies the suspected minor for proof of age; and
(iii)
ask the suspected minor or the person who accompanies the suspected minor for
proof of parental, guardianship, or spousal relationship.
(c)
A state store employee shall refuse to sell liquor to the suspected minor and to the
person who accompanies the suspected minor into the state store if the suspected
minor or person fails to provide information specified in Subsection
(6)(b)
.
(d)
A state store employee shall require a suspected minor and the person who
accompanies the suspected minor into the state store to immediately leave the
premises of the state store if the suspected minor or person fails to provide
information specified in Subsection
(6)(b)
.
(7)
(a)
A state store may not sell, offer for sale, or furnish liquor except in a sealed
container.
(b)
A person may not open a sealed container on the premises of a state store.
(8)
On or after October 1, 2011, a state store may not sell, offer for sale, or furnish heavy
beer in a sealed container that exceeds two liters.
(9)
A state store may not sell, offer for sale, or furnish:
(a)
liquor that is intended to be frozen and consumed in a manner other than as a
beverage, including liquor in the form of a freeze pop, popsicle, ice cream, or sorbet;
or
(b)
liquor that contains more than 80% alcohol by volume.
Section 11. Section
32B-2-605
is amended to read:
32B-2-605
Effective
upon governor's approval
. Operational requirements for
package agency.
(1)
(a)
A person may not operate a package agency until a package agency agreement is
entered into by the package agent and the department.
(b)
A package agency agreement shall state the conditions of operation by which the
package agent and the department are bound.
(c)
(i)
If a package agent or staff of the package agent violates this title, rules under
this title, or the package agency agreement, the department may take any action
against the package agent that is allowed by the package agency agreement.
(ii)
An action against a package agent is governed solely by its package agency
agreement and may include suspension or revocation of the package agency.
(iii)
A package agency agreement shall provide procedures to be followed if a
package agent fails to pay money owed to the department including a procedure
for replacing the package agent or operator of the package agency.
(iv)
A package agency agreement shall provide that the package agency is subject to
covert investigations for selling an alcoholic product to a minor.
(v)
Notwithstanding that this part refers to "package agency" or "package agent,"
staff of the package agency or package agent is subject to the same requirement or
prohibition.
(2)
(a)
A package agency shall be operated by an individual who is either:
(i)
the package agent; or
(ii)
an individual designated by the package agent.
(b)
An individual who is a designee under this Subsection
(2)
shall be:
(i)
an employee of the package agent; and
(ii)
responsible for the operation of the package agency.
(c)
The conduct of the designee is attributable to the package agent.
(d)
A package agent shall submit the name of the person operating the package agency
to the department for the department's approval.
(e)
A package agent shall state the name and title of a designee on the application for a
package agency.
(f)
A package agent shall:
(i)
inform the department of a proposed change in the individual designated to
operate a package agency; and
(ii)
receive prior approval from the department before implementing the change
described in this Subsection
(2)(f)
.
(g)
Failure to comply with the requirements of this Subsection
(2)
may result in the
immediate termination of a package agency agreement.
(3)
(a)
A package agent shall display in a prominent place in the package agency the
record issued by the commission that designates the package agency.
(b)
A package agent that displays or stores liquor at a location visible to the public shall
display in a prominent place in the package agency a sign in large letters that consists
of text in the following order:
(i)
a header that reads: "WARNING";
(ii)
a warning statement that reads: "Drinking alcoholic beverages during pregnancy
can cause birth defects and permanent brain damage for the child.";
(iii)
a statement in smaller font that reads: "Call the Utah Department of Health
and
Human Services
at [insert most current toll-free number] with questions or for
more information.";
(iv)
a header that reads: "WARNING"; and
(v)
a warning statement that reads: "Driving under the influence of alcohol or drugs is
a serious crime that is prosecuted aggressively in Utah."
(c)
(i)
The text described in Subsections
(3)(b)(i)
through
(iii)
shall be in a different
font style than the text described in Subsections
(3)(b)(iv)
and
(v)
.
(ii)
The warning statements in the sign described in Subsection
(3)(b)
shall be in the
same font size.
(d)
The Department of Health and Human Services shall work with the commission and
department to facilitate consistency in the format of a sign required under this section.
(4)
A package agency may not display liquor or a price list in a window or showcase that is
visible to passersby.
(5)
(a)
A package agency may not purchase liquor from a person except from the
department.
(b)
At the discretion of the department, the department may provide liquor to a package
agency for sale on consignment.
(6)
A package agency may not store, sell, offer for sale, or furnish liquor in a place other
than as designated in the package agent's application, unless the package agent first
applies for and receives approval from the department for a change of location within
the package agency premises.
(7)
(a)
Except as provided in Subsection
(7)(b)
and Section
32B-2-213
, a package agency
may not
shall
sell, offer for sale, or furnish liquor
except
at a price fixed by the
commission.
(b)
A package agency may provide as room service one alcoholic product free of charge
per guest reservation, per guest room, if:
(i)
the package agency is the type of package agency that authorizes the package
agency to sell, offer for sale, or furnish an alcoholic product as part of room
service;
(ii)
staff of the package agency provides the alcoholic product:
(A)
in person; and
(B)
only to an adult guest in the guest room;
(iii)
staff of the package agency does not leave the alcoholic product outside a guest
room for retrieval by a guest; and
(iv)
the alcoholic product:
(A)
is not a spirituous liquor; and
(B)
is in an unopened container not to exceed 750 milliliters.
(8)
A package agency may not sell, offer for sale, or furnish liquor to:
(a)
a minor;
(b)
a person actually, apparently, or obviously intoxicated;
(c)
a known interdicted person; or
(d)
a known habitual drunkard.
(9)
(a)
A package agency may not employ a minor to handle liquor.
(b)
(i)
Staff of a package agency may not:
(A)
consume an alcoholic product on the premises of a package agency; or
(B)
allow any person to consume an alcoholic product on the premises of a
package agency.
(ii)
Violation of this Subsection
(9)(b)
is a class B misdemeanor.
(10)
(a)
A package agency may not close or cease operation for a period longer than 72
hours, unless:
(i)
the package agency notifies the department in writing at least seven days before
the day on which the package agency closes or ceases operation; and
(ii)
the closure or cessation of operation is first approved by the department.
(b)
Notwithstanding Subsection
(10)(a)
, in the case of emergency closure, a package
agency shall immediately notify the department by telephone.
(c)
(i)
The department may authorize a closure or cessation of operation for a period
not to exceed 60 days.
(ii)
The department may extend the initial period described in Subsection
(10)(c)(i)
an additional 30 days upon written request of the package agency and upon a
showing of good cause.
(iii)
A closure or cessation of operation may not exceed a total of 90 days without
commission approval.
(d)
The notice required by Subsection
(10)(a)
shall include:
(i)
the dates of closure or cessation of operation;
(ii)
the reason for the closure or cessation of operation; and
(iii)
the date on which the package agency will reopen or resume operation.
(e)
Failure of a package agency to provide notice and to obtain department authorization
before closure or cessation of operation results in an automatic termination of the
package agency agreement effective immediately.
(f)
Failure of a package agency to reopen or resume operation by the approved date
results in an automatic termination of the package agency agreement effective on that
date.
(11)
A package agency may not transfer the package agency's operations from one location
to another location without prior written approval of the commission.
(12)
(a)
A person, having been issued a package agency, may not sell, transfer, assign,
exchange, barter, give, or attempt in any way to dispose of the package agency to
another person, whether for monetary gain or not.
(b)
A package agency has no monetary value for any type of disposition.
(13)
(a)
Subject to the other provisions of this Subsection
(13)
:
(i)
sale or delivery of liquor may not be made on or from the premises of a package
agency, and a package agency may not be kept open for the sale of liquor:
(A)
on Sunday; or
(B)
on a state or federal legal holiday; and
(ii)
sale or delivery of liquor may be made on or from the premises of a package
agency, and a package agency may be open for the sale of liquor, only on a day
and during hours that the commission directs by rule or order.
(b)
A package agency located at a manufacturing facility is not subject to Subsection
(13)(a)
if:
(i)
the package agency is located at a manufacturing facility licensed in accordance
with Chapter 11, Manufacturing and Related Licenses Act; and
(ii)
the package agency only sells an alcoholic product produced at the manufacturing
facility.
(c)
(i)
Subsection
(13)(a)
does not apply to a package agency held by the following if
the package agent that holds the package agency to sell liquor at a resort or hotel
does not sell liquor in a manner similar to a state store:
(A)
a resort licensee; or
(B)
a hotel licensee.
(ii)
The commission may by rule define what constitutes a package agency that sells
liquor "in a manner similar to a state store."
(14)
(a)
Except to the extent authorized by commission rule, a minor may not be
admitted into, or be on the premises of, a package agency unless accompanied by a
person who is:
(i)
21 years old or older; and
(ii)
the minor's parent, legal guardian, or spouse.
(b)
A package agent or staff of a package agency that has reason to believe that a person
who is on the premises of a package agency is under 21 years old and is not
accompanied by a person described in Subsection
(14)(a)
may:
(i)
ask the suspected minor for proof of age;
(ii)
ask the person who accompanies the suspected minor for proof of age; and
(iii)
ask the suspected minor or the person who accompanies the suspected minor for
proof of parental, guardianship, or spousal relationship.
(c)
A package agent or staff of a package agency shall refuse to sell liquor to the
suspected minor and to the person who accompanies the suspected minor into the
package agency if the minor or person fails to provide any information specified in
Subsection
(14)(b)
.
(d)
A package agent or staff of a package agency shall require the suspected minor and
the person who accompanies the suspected minor into the package agency to
immediately leave the premises of the package agency if the minor or person fails to
provide information specified in Subsection
(14)(b)
.
(15)
(a)
A package agency shall sell, offer for sale, or furnish liquor in a sealed container.
(b)
A person may not open a sealed container on the premises of a package agency.
(c)
Notwithstanding Subsection
(15)(a)
, a package agency may sell, offer for sale, or
furnish liquor in other than a sealed container:
(i)
if the package agency is the type of package agency that authorizes the package
agency to sell, offer for sale, or furnish the liquor as part of room service;
(ii)
if the liquor is sold, offered for sale, or furnished as part of room service; and
(iii)
subject to:
(A)
staff of the package agency providing the liquor in person only to an adult
guest in the guest room or privately owned dwelling unit;
(B)
staff of the package agency not leaving the liquor outside a guest room or
privately owned dwelling unit for retrieval by a guest or resident; and
(C)
the same limits on the portions in which an alcoholic product may be sold by a
retail licensee under Section
32B-5-304
.
(16)
A package agency may not sell, offer for sale, or furnish:
(a)
heavy beer in a sealed container that exceeds two liters; or
(b)
liquor that contains more than 80% alcohol by volume.
(17)
The department may pay or otherwise remunerate a package agent on any basis,
including sales or volume of business done by the package agency.
(18)
The commission may prescribe by policy or rule general operational requirements of a
package agency that are consistent with this title and relate to:
(a)
physical facilities;
(b)
conditions of operation;
(c)
hours of operation;
(d)
inventory levels;
(e)
payment schedules;
(f)
methods of payment;
(g)
premises security; and
(h)
any other matter considered appropriate by the commission.
(19)
A package agency may not maintain a minibar.
Section 12. Section
32B-3-203
is amended to read:
32B-3-203
Effective
05/06/26
. Initiating a disciplinary proceeding.
Subject to Section
32B-3-202
:
(1)
Subject to Subsection
(3)
, the department shall initiate a disciplinary proceeding
described in Subsection
(2)
if the department:
(a)
receives a report from an investigator alleging that a person subject to administrative
action violated this title or the rules of the commission;
(b)
receives notice of criminal proceedings against a person subject to administrative
action on the basis of an alleged violation of this title;
(c)
receives notice of civil proceedings in accordance with Chapter 15, Alcoholic
Product Liability Act, against a person subject to administrative action on the basis of
an alleged violation of this title; or
(d)
otherwise becomes aware that a person subject to administrative action on the basis
of an alleged violation of this title may have violated this title or commission rule.
(2)
Subject to Subsection
(3)
, if a condition in Subsection
(1)
is met, the department shall:
(a)
initiate a disciplinary proceeding to determine:
(i)
whether a person subject to administrative action violated this title or rules of the
commission; and
(ii)
if a violation is found, the appropriate sanction to be imposed; and
(b)
refer the matter to the State Bureau of Investigation, created in Section
53-10-301
.
(3)
The department is not required to initiate a disciplinary proceeding described in
Subsection
(2)
if after reviewing the information described in Subsection
(1)
, the
department determines:
(a)
that there is no basis for initiating a disciplinary proceeding; or
(b)
in consultation with the prosecutor
, law enforcement,
or plaintiff's counsel, as
applicable, that initiating a disciplinary proceeding would pose a significant risk of
interfering with a criminal or civil proceeding.
(4)
(a)
Unless waived by the respondent, a disciplinary proceeding shall be held:
(i)
if required by law;
(ii)
before revoking or suspending a license, permit, or certificate of approval issued
under this title; or
(iii)
before imposing a fine against a person subject to administrative action.
(b)
Inexcusable failure of a respondent to appear at a scheduled disciplinary proceeding
hearing after receiving proper notice is an admission of the charged violation.
(c)
The validity of a disciplinary proceeding is not affected by the failure of a person to
attend or remain in attendance.
Section 13. Section
32B-4-405
is amended to read:
32B-4-405
Effective
05/06/26
. Unlawful sale, offer for sale, or furnishing to
interdicted person.
(1)
A person may not sell, offer for sale, or furnish an alcoholic product to a known
interdicted person.
(2)
Prior to any sale or furnishing of an alcohol product, a person shall verify whether the
person is an interdicted person through examination of the person's identification card or
license certificate issued pursuant to Title 53, Chapter 3, Uniform Driver License Act, or
proof of age issued by another state or country.
(3)
(2)
This section does not apply to the sale, offer for sale, or furnishing of an alcoholic
product to an interdicted person:
(a)
under an order of a health care practitioner who is authorized by law to write a
prescription; or
(b)
administered by a hospital or health care practitioner authorized by law to administer
the alcoholic product for medicinal purposes.
Section 14. Section
32B-5-201
is amended to read:
32B-5-201
Effective
05/06/26
. Application requirements for retail license.
(1)
(a)
Before a person may store, sell, offer for sale, furnish, or permit consumption of
an alcoholic product on licensed premises as a retail licensee, the person shall first
obtain a retail license issued by the commission, notwithstanding whether the person
holds a local license or a permit issued by a local authority.
(b)
Violation of this Subsection
(1)
is a class B misdemeanor.
(2)
To obtain a retail license under this title, a person shall submit to the department:
(a)
a written application in a form prescribed by the department;
(b)
a nonrefundable application fee in the amount specified in the relevant chapter or
part for the type of retail license for which the person is applying;
(c)
an initial license fee:
(i)
in the amount specified in the relevant chapter or part for the type of retail license
for which the person is applying; and
(ii)
that is refundable if a retail license is not issued;
(d)
written consent of the local authority, including, if applicable, consent for each
proposed sublicense;
(e)
a copy of:
(i)
every license the local authority requires, including the person's current business
license; and
(ii)
if the person is applying for a principal license, the current business license for
each proposed sublicense, except if the local authority determines that the
business license for a proposed sublicense is included in the person's current
business license;
(f)
evidence of the proposed retail licensee's proximity to any community location, with
proximity requirements being governed by Section
32B-1-202
;
(g)
a bond as specified by Section
32B-5-204
;
(h)
a floor plan, and boundary map where applicable, of the premises of the retail license
and each, if any, accompanying sublicense, including any:
(i)
consumption area; and
(ii)
area where the person proposes to store, sell, offer for sale, or furnish an alcoholic
beverage;
(i)
evidence that the retail licensee carries public liability insurance in an amount and
form satisfactory to the department;
(j)
evidence that the retail licensee carries dramshop insurance coverage of at least:
(i)
$1,000,000 per occurrence and $2,000,000 in the aggregate;
(ii)
if the retail licensee is a hotel licensee or a resort licensee, $1,000,000 per
occurrence and $2,000,000 in the aggregate to cover both the principal license and
all accompanying sublicenses; or
(iii)
if the retail licensee is an arena licensee, $10,000,000 per occurrence and
$20,000,000 in the aggregate to cover both the arena license and all accompanying
sublicenses;
(k)
a signed consent form stating that the retail licensee will permit any authorized
representative of the commission, department, or any law enforcement officer to have
unrestricted right to enter:
(i)
the premises of the retail licensee; and
(ii)
if applicable, the premises of each of the retail licensee's accompanying
sublicenses;
(l)
if the person is an entity, proper verification evidencing that a person who signs the
application is authorized to sign on behalf of the entity;
(m)
a responsible alcohol service plan;
(n)
evidence that each individual the person has hired to work as a retail manager, as
defined in Section
32B-1-701
, has completed the alcohol training and education
seminar as required under Chapter 1, Part 7, Alcohol Training and Education Act; and
(o)
any other information the commission or department may require.
(3)
The commission may not issue a retail license to a person who:
(a)
is disqualified under Section
32B-1-304
; or
(b)
is not lawfully present in the United States.
(4)
Unless otherwise provided in the relevant chapter or part for the type of retail license for
which the person is applying, the commission may not issue a retail license to a person if
the proposed licensed premises does not meet the proximity requirements of Section
32B-1-202
.
(5)
Subject to Subsection
(6)
, the commission may not deny an application for a retail
license, an application for a conditional retail license under Section
32B-5-205
, or an
application for a sublicense under Chapter 8d, Sublicense Act, if:
(a)
the applicant satisfies the requirements of this chapter and Chapter 6, Specific Retail
License Act; and
(b)
for a retail license or a conditional retail license, granting the retail license or the
conditional retail license would not cause the commission to exceed the maximum
number of licenses of that retail license type that the commission is authorized to
issue under this chapter.
(6)
(a)
The commission may deny an application for a retail license, an application for a
conditional retail license under Section
32B-5-205
, or an application for a sublicense
under Chapter 8d, Sublicense Act, if the commission determines
:
(i)
that the applicant's violation history warrants the denial
.
; or
(ii)
after considering a factor described in Subsections
32B-5-203(2)(c)
through
(f)
or
(3), a denial of the application is warranted.
(b)
The commission, when making a determination under this Subsection
(6)
, shall
:
(i)
treat applicants with substantially similar violation histories consistently
.
; and
(ii)
consider the factors described in Subsections
32B-5-203(2)(c)
through
(f)
or (3)
consistently.
Section 15. Section
32B-5-303
is amended to read:
32B-5-303
Effective
05/06/26
. Purchase and storage of an alcoholic product by
a retail licensee.
(1)
(a)
A retail licensee may not purchase liquor except from a state store or package
agency.
(b)
A retail licensee may transport liquor purchased from a state store or package agency
from the place of purchase to the licensed premises.
(c)
A retail licensee shall pay for liquor in accordance with rules
established by
the
commission
establishes
.
(2)
(a)
(i)
A retail licensee may not purchase, acquire, possess for the purpose of
resale, or sell beer except beer that the retail licensee purchases from:
(A)
a beer wholesaler licensee; or
(B)
a small brewer that manufactures the beer.
(ii)
Violation
A violation
of this Subsection
(2)(a)
is a class A misdemeanor.
(b)
(i)
If a retail licensee purchases beer under Subsection
(2)(a)
from a beer
wholesaler licensee, the retail licensee shall purchase beer only from a beer
wholesaler licensee
that the manufacturer designates
who is designated by the
manufacturer
to sell beer in the geographical area in which the retail licensee is
located, unless
the department authorizes
an alternate wholesaler
is authorized by
the department
to sell to the retail licensee as provided in Section
32B-13-301
.
(ii)
Violation
A violation
of Subsection
(2)(b)
is a class B misdemeanor.
(3)
A retail licensee may not store, sell, offer for sale, or furnish an alcoholic product in a
place other than as designated in the retail licensee's application, unless the retail
licensee first applies for and receives approval from the department for a change of
location within the licensed premises.
(4)
A liquor storage area shall remain locked at all times except when:
(a)
liquor sales are authorized by law; or
(b)
the licensee:
(i)
inventories or restocks the alcoholic product in the liquor storage area; or
(ii)
repairs or cleans the liquor storage area.
Section 16. Section
32B-5-304
is amended to read:
32B-5-304
Effective
upon governor's approval
. Portions in which alcoholic
product may be sold.
(1)
(a)
A retail licensee may sell, offer for sale, or furnish spirituous liquor that is a
primary spirituous liquor only in a quantity that does not exceed 1.5 ounces per
beverage dispensed through a calibrated metered dispensing system approved by the
department in accordance with commission rules adopted under this title.
(b)
A retail license is not required to dispense spirituous liquor through a calibrated
metered dispensing system if the spirituous liquor is:
(i)
a secondary flavoring ingredient;
(ii)
used as a flavoring on a dessert;
(iii)
used to set aflame a food dish, drink, or dessert;
(iv)
in a beverage that:
(A)
is served to a patron in the original
, sealed
container;
(B)
is not more than 12 ounces;
(C)
contains no more than 10% alcohol by volume or 8% by weight; and
(D)
is in a container that has the alcohol by volume percentage on the front label
and in a font that measures at least three millimeters high; or
(v)
in a beverage that:
(A)
is served to a patron by pouring the beverage from the original sealed
container, into a different container as required under Subsection
32B-8d-104(5)(b)
;
(B)
is not more than 12 ounces;
(C)
contains no more than 10% alcohol by volume or 8% by weight; and
(D)
originates from a container that has the alcohol by volume percentage on the
front label and in a font that measures at least three millimeters high.
(c)
A retail licensee that dispenses spirituous liquor that is a secondary flavoring
ingredient shall:
(i)
designate a location where the retail licensee stores secondary flavoring
ingredients on the floor plan the retail licensee submits to the department; and
(ii)
clearly and conspicuously label each secondary flavoring ingredient's container
"flavorings".
"flavorings."
(d)
(i)
A patron may have no more than 2.5 ounces of spirituous liquor at a time.
(ii)
Subsection
(1)(d)(i)
does not apply to a beverage described in Subsection
(1)(b)(iv)
.
(2)
(a)
(i)
A retail licensee may sell, offer for sale, or furnish wine by the glass or in an
individual portion that does not exceed 5 ounces per glass or individual portion.
(ii)
A retail licensee may sell, offer for sale, or furnish an individual portion of wine
to a patron in more than one glass if the total amount of wine does not exceed 5
ounces.
(b)
(i)
A
Except as provided in Subsection
(6)
, a
retail licensee may sell, offer for
sale, or furnish wine in a container not exceeding 1.5 liters at a price fixed by the
commission to a table of four or more persons.
(ii)
A
Except as provided in Subsection
(6)
, a
retail licensee may sell, offer for sale,
or furnish wine in a container not to exceed 750 milliliters at a price fixed by the
commission to a table of less than four persons.
(c)
Notwithstanding Subsections
(2)(a)
and
(b)
, a retail licensee may sell, offer for sale,
or furnish hard cider that contains no more than 5% of alcohol by volume in a sealed
container not to exceed 16 ounces.
(3)
(a)
A
Except as provided in Subsection
(6)
, a
retail licensee may sell, offer for sale,
or furnish heavy beer in an original container at a price fixed by the commission,
except that the original container may not exceed one liter.
(4)
A
Except as provided in Subsection
(6)
, a
retail licensee may sell, offer for sale, or
furnish a flavored malt beverage in an original container at a price fixed by the
commission, except that the original container may not exceed one liter.
(5)
(a)
(i)
Subject to Subsection
(5)(a)(ii)
, a retail licensee may sell, offer for sale, or
furnish beer for on-premise consumption:
(A)
in an open original container; and
(B)
in a container on draft.
(ii)
A retail licensee may not sell, offer for sale, or furnish beer under Subsection
(5)(a)(i)
:
(A)
in a size of container that exceeds two liters; or
(B)
to an individual patron in a size of container that exceeds one liter.
(b)
A retail licensee may sell, offer for sale, or furnish beer for off-premise consumption:
(i)
in a sealed container; and
(ii)
in a size of container that does not exceed two liters.
(c)
A retail licensee may sell, offer for sale, or furnish a flight of beer to an individual
patron if the total amount of beer does not exceed 16 ounces.
(6)
This section does not prohibit a retail licensee from rounding the price of liquor in
accordance with Section
32B-2-213
.
Section 17. Section
32B-5-305
is amended to read:
32B-5-305
Effective
upon governor's approval
. Pricing of alcoholic product --
Other charge.
(1)
(a)
A
Except as provided in Section
32B-2-213
, a
retail licensee
:
(a)
may sell, offer for sale, or furnish liquor only at a price fixed by the commission
.
;
and
(b)
A retail licensee
may not sell an alcoholic product at a discount price on any date
or at any time.
(2)
(a)
A retail licensee may not sell, offer for sale, or furnish an alcoholic product at less
than the cost of the alcoholic product to the retail licensee.
(b)
A retail licensee may not sell, offer for sale, or furnish an alcoholic product at a
special or reduced price that encourages overconsumption or intoxication.
(c)
A retail licensee may not sell, offer for sale, or furnish an alcoholic product at a
special or reduced price for only certain hours of the retail licensee's business day,
such as a "happy hour."
(d)
A retail licensee may not sell, offer for sale, or furnish more than one alcoholic
product for the price of a single alcoholic product.
(e)
A retail licensee may not sell, offer for sale, or furnish an indefinite or unlimited
number of alcoholic products during a set period for a fixed price.
(f)
A retail licensee may not engage in a promotion involving or offering a free alcoholic
product to the general public.
(3)
As authorized by commission rule, a retail licensee may charge a patron for providing:
(a)
a service related to liquor purchased at the licensed premises; or
(b)
wine service performed for wine carried in by a patron in accordance with Section
32B-5-307
.
Section 18. Section
32B-5-306
is amended to read:
32B-5-306
Effective
05/06/26
. Purchasing or selling alcoholic product.
(1)
(a)
A retail licensee may not sell, offer for sale, or furnish an alcoholic product to:
(i)
(a)
a minor;
(ii)
(b)
a person actually, apparently, or obviously intoxicated;
(iii)
(c)
a known interdicted person; or
(iv)
(d)
a known habitual drunkard.
(b)
Prior to any sale or furnishing of an alcohol product, a retail licensee shall verify
whether the person is a minor or an interdicted person through examination of the
person's identification card or license certificate issued pursuant to Title
53, Chapter
3
, Uniform Driver License Act, or proof of age issued by another state or country.
(2)
(a)
A patron may only purchase an alcoholic product in the licensed premises of a
retail licensee from and be served by an individual who is:
(i)
staff of the retail licensee; and
(ii)
designated and trained by the retail licensee to sell and serve an alcoholic product.
(b)
An individual may sell, offer for sale, or furnish an alcoholic product to a patron only
if the individual is:
(i)
staff of the retail licensee; and
(ii)
designated and trained by the retail licensee to sell and serve an alcoholic product.
(c)
Notwithstanding Subsection
(2)(a)
or
(b)
, a patron who purchases bottled wine from
staff of the retail licensee or carries bottled wine onto the retail licensee's premises
pursuant to
in accordance with
Section
32B-5-307
may thereafter serve wine from
the bottle to the patron or others at the patron's table.
(3)
The following may not purchase an alcoholic product for a patron:
(a)
a retail licensee; or
(b)
staff of a retail licensee.
(4)
After a retail licensee closes the retail licensee's business at the licensed premises, the
retail licensee may transfer the retail licensee's inventory of alcoholic product from that
premises to another premises licensed under this chapter that is owned by the same retail
licensee.
Section 19. Section
32B-5-307
is amended to read:
32B-5-307
Effective
05/06/26
. Bringing alcoholic product onto or removing
alcoholic product from premises.
(1)
Except as provided in Subsections
(3)
,
(4)
,
and
(6)
, and (7)
:
(a)
an individual may not bring onto the licensed premises of a retail licensee an
alcoholic product for on-premise consumption;
(b)
a retail licensee may not allow a person to:
(i)
bring onto licensed premises an alcoholic product for on-premise consumption; or
(ii)
consume an alcoholic product brought onto the licensed premises by a person
other than the retail licensee; and
(c)
a retail licensee may not sell, offer for sale, or furnish an alcoholic product through a
window or door to a location off the licensed premises or to a vehicular traffic area.
(2)
Except as provided in Subsections
(3)
,
(4)
,
and
(6)
, and (7)
and Subsection
32B-4-415(5)
:
(a)
an individual may not carry from the licensed premises of a retail licensee an open
container that:
(i)
is used primarily for drinking purposes; and
(ii)
contains an alcoholic product;
(b)
a retail licensee may not permit a patron to carry from the licensed premises an open
container described in Subsection
(2)(a)
; and
(c)
(i)
an individual may not carry from the licensed premises of a retail licensee a
sealed container of liquor that has been purchased from the retail licensee; and
(ii)
a retail licensee may not permit a patron to carry from the licensed premises of
the retail licensee a sealed container of liquor that has been purchased from the
retail licensee.
(3)
(a)
A patron may bring a bottled wine onto the premises of a retail licensee for
on-premise consumption if:
(i)
permitted by the retail licensee; and
(ii)
the retail licensee is authorized to sell, offer for sale, or furnish wine.
(b)
If a patron carries bottled wine onto the licensed premises of a retail licensee, the
patron shall deliver the bottled wine to a server or other representative of the retail
licensee upon entering the licensed premises.
(c)
A retail licensee authorized to sell, offer for sale, or furnish wine, may provide a
wine service for a bottled wine carried onto the licensed premises in accordance with
this Subsection
(3)
or a bottled wine purchased at the licensed premises.
(d)
A patron may remove from a licensed premises the unconsumed contents of a bottle
of wine purchased at the licensed premises, or brought onto the licensed premises in
accordance with this Subsection
(3)
, only if before removal the bottle is recorked or
recapped.
(4)
Neither a patron nor a retail licensee violates this section if:
(a)
the patron is in shared seating; and
(b)
the patron purchased the patron's alcoholic beverage from a restaurant licensee
whose licensed premises include the shared seating area the patron is in.
(5)
(a)
A patron may carry from a retail licensee's licensed premises a sealed container of
beer that has been purchased from the retail licensee.
(b)
A retail licensee may permit a patron to carry from the retail licensee's licensed
premises a sealed container of beer that has been purchased from the retail licensee.
(6)
A patron may transport beer between the licensed areas of a facility with both an
on-premise beer retailer license and an on-premise banquet license if the patron
transports the beer to and from an area of each licensed premises:
(a)
if the premises are contiguous; and
(b)
where the consumption of beer is permitted.
(7)
A patron may transport an alcoholic beverage from a bar establishment licensee to a
restaurant licensee if:
(a)
the bar establishment licensee is adjacent to the restaurant licensee;
(b)
the distance between the bar and the restaurant licensee is no more than 35 feet;
(c)
the bar establishment licensee and the restaurant licensee are under the same
ownership;
(d)
an employee of the bar establishment licensee escorts the patron to the restaurant
licensee; and
(e)
the patron does not enter, cross, or otherwise use a public walkway to transport the
alcoholic beverage to the restaurant licensee.
Section 20. Section
32B-6-203
is amended to read:
32B-6-203
Effective
05/06/26
. Commission's power to issue full-service
restaurant license.
(1)
Before a person may store, sell, offer for sale, furnish, or allow the consumption of an
alcoholic product on
its
the person's
premises as a full-service restaurant, the person
shall first obtain a full-service restaurant license from the commission in accordance
with this part.
(2)
The commission may issue a full-service restaurant license to establish full-service
restaurant licensed premises at places and in numbers the commission considers proper
for the storage, sale, offer for sale, furnishing, and consumption of an alcoholic product
on premises operated as a full-service restaurant.
(3)
Subject to Section
32B-1-201
:
(a)
the commission may not issue a total number of full-service restaurant licenses that
at any time exceeds the sum of:
(i)
30; and
(ii)
the number determined by dividing the population of the state by:
(A)
before July 1, 2024, 4,467;
(B)
in fiscal year 2025, 4,281;
(C)
in fiscal year 2026, 4,095;
(D)
in fiscal year 2027, 3,909;
(E)
in fiscal year 2028, 3,723;
(F)
in fiscal year 2029, 3,537;
(G)
in fiscal year 2030, 3,351; and
(H)
in fiscal year 2031, and in each fiscal year thereafter, 3,167;
(b)
the commission may issue a seasonal full-service restaurant license in accordance
with Section
32B-5-206
; and
(c)
(i)
if the location, design, and construction of a hotel may require more than one
full-service restaurant sales location within the hotel to serve the public
convenience, the commission may authorize the sale, offer for sale, or furnishing
of an alcoholic product at as many as three full-service restaurant locations within
the hotel under one full-service restaurant license if:
(A)
the hotel has a minimum of 150 guest rooms; and
(B)
the locations under the full-service restaurant license are:
(I)
within the same hotel; and
(II)
on premises that are managed or operated, and owned or leased, by the
full-service restaurant licensee; and
(ii)
except for a hotel, a facility shall have a separate full-service restaurant license
for each full-service restaurant where an alcoholic product is sold, offered for sale,
or furnished.
(4)
Except as otherwise provided in Section
32B-1-202
, the commission may not issue a
full-service restaurant license for premises that do not meet the proximity requirements
of Subsection
32B-1-202(2)
.
(5)
(a)
To be licensed as a full-service restaurant, a person shall maintain at least 70% of
the person's gross revenues from the sale of food.
(b)
A person complies with Subsection
(5)(a)
if the percentage calculated by dividing
the person's annual markup cost by the sum of the person's annual gross revenues
from food sales and the person's annual markup cost does not exceed 30%.
(5)
To be licensed as a full-service restaurant, a person shall maintain at least 70% of the
restaurant's gross revenues from the sale of food, which does not include:
(a)
mix for an alcoholic product; or
(b)
a service charge.
Section 21. Section
32B-6-303
is amended to read:
32B-6-303
Effective
05/06/26
. Commission's power to issue limited-service
restaurant license.
(1)
Before a person may store, sell, offer for sale, furnish, or allow the consumption of
wine, heavy beer, or beer on its premises as a limited-service restaurant, the person shall
first obtain a limited-service restaurant license from the commission in accordance with
this part.
(2)
(a)
The commission may issue a limited-service restaurant license to establish
limited-service restaurant licensed premises at places and in numbers the commission
considers proper for the storage, sale, offer for sale, furnishing, and consumption of
wine, heavy beer, or beer on premises operated as a limited-service restaurant.
(b)
A person may not sell, offer for sale, furnish, or allow the consumption of the
following on the licensed premises of a limited-service restaurant licensee:
(i)
spirituous liquor; or
(ii)
a flavored malt beverage.
(3)
Subject to Section
32B-1-201
:
(a)
The commission may not issue a total number of limited-service restaurant licenses
that at any time exceeds the number determined by dividing the population of the
state by 6,817.
(b)
The commission may issue a seasonal limited-service restaurant license in
accordance with Section
32B-5-206
.
(c)
(i)
If the location, design, and construction of a hotel may require more than one
limited-service restaurant sales location within the hotel to serve the public
convenience, the commission may authorize the sale of wine, heavy beer, and beer
at as many as three limited-service restaurant locations within the hotel under one
limited-service restaurant license if:
(A)
the hotel has a minimum of 150 guest rooms; and
(B)
the locations under the limited-service restaurant license are:
(I)
within the same hotel; and
(II)
on premises that are managed or operated, and owned or leased, by the
limited-service restaurant licensee.
(ii)
A facility other than a hotel shall have a separate limited-service restaurant
license for each limited-service restaurant where wine, heavy beer, or beer is sold,
offered for sale, or furnished.
(4)
Except as otherwise provided in Section
32B-1-202
, the commission may not issue a
limited-service restaurant license for premises that do not meet the proximity
requirements of Subsection
32B-1-202(2)
.
(5)
To be licensed as a limited-service restaurant, a person shall maintain at least 70% of
the restaurant's gross revenues from the sale of food, which does not include:
(a)
mix for an alcoholic product; or
(b)
a service charge.
(5)
(a)
To be licensed as a limited-service restaurant, a person shall maintain at least 70%
of the person's gross revenues from the sale of food.
(b)
A person complies with Subsection
(5)(a)
if the percentage calculated by dividing
the person's annual markup cost by the sum of the person's annual gross revenues
from food sales and the person's annual markup cost does not exceed 30%.
Section 22. Section
32B-6-605
is amended to read:
32B-6-605
Effective
05/06/26
. Specific operational requirements for on-premise
banquet license.
(1)
(a)
In addition to complying with Chapter 5, Part 3, Retail Licensee Operational
Requirements, an on-premise banquet licensee and staff of the on-premise banquet
licensee shall comply with this section.
(b)
Failure to comply as provided in Subsection
(1)(a)
may result in disciplinary action
in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
(i)
an on-premise banquet licensee;
(ii)
individual staff of an on-premise banquet licensee; or
(iii)
both an on-premise banquet licensee and staff of the on-premise banquet licensee.
(2)
An on-premise banquet licensee shall comply with Subsections
32B-5-301(4)
and
(5)
for the entire premises of the hotel, resort facility, sports center, convention center,
performing arts facility, arena, restaurant venue, or amphitheater that is the basis for the
on-premise banquet license.
(3)
(a)
For the purpose described in Subsection
(3)(b)
, an on-premise banquet licensee
shall provide the department with advance notice of a scheduled banquet in
accordance with rules made by the commission.
(b)
Any of the following may conduct a random inspection of a banquet:
(i)
an authorized representative of the commission or the department; or
(ii)
a law enforcement officer.
(4)
(a)
An on-premise banquet licensee is not subject to Subsection
32B-5-302(1)
, but
shall make and maintain the records described in Subsection
32B-5-302(2)
and the
records the commission or department requires.
(b)
Section
32B-1-205
applies to a record required to be made or maintained in
accordance with this Subsection
(4)
.
(5)
(a)
Except as otherwise provided in this title, an on-premise banquet licensee may
sell, offer for sale, or furnish an alcoholic product at a banquet only for consumption
at the location of the banquet.
(b)
Notwithstanding Section
32B-5-307
and except as otherwise provided in this title:
(i)
a person at a banquet other than the on-premise banquet licensee or staff of the
on-premise banquet licensee, may not remove an alcoholic product from the
premises of the banquet; and
(ii)
a patron at a banquet may not bring an alcoholic product into or onto the premises
of the banquet.
(6)
(a)
An on-premise banquet licensee may not leave an unsold alcoholic product at the
banquet following the conclusion of the banquet.
(b)
At the conclusion of a banquet, an on-premise banquet licensee shall:
(i)
destroy an opened and unused alcoholic product that is not saleable, under
conditions
established by
the department
establishes
; and
(ii)
return to the on-premise banquet licensee's approved
locked
storage area any:
(A)
opened and unused alcoholic product that is saleable; and
(B)
unopened container of an alcoholic product.
(c)
Except as provided in Subsection
(6)(b)
with regard to an open or sealed container of
an alcoholic product not sold or consumed at a banquet, an on-premise banquet
licensee:
(i)
shall store the alcoholic product in the on-premise banquet licensee's approved
locked
storage area; and
(ii)
may use the alcoholic product at more than one banquet.
(7)
Notwithstanding Section
32B-5-308
, an on-premise banquet licensee may not employ a
minor to sell, furnish, or dispense an alcoholic product in connection with the
on-premise banquet licensee's banquet and room service activities.
(8)
An on-premise banquet licensee:
(a)
may provide room service in portions described in Section
32B-5-304
;
(b)
may not sell, offer for sale, or furnish an alcoholic product at a banquet or in
connection with room service any day during a period that:
(i)
begins at 1 a.m.; and
(ii)
ends at 9:59 a.m.; and
(c)
notwithstanding Section
32B-5-305
, may provide as room service one alcoholic
product free of charge per guest reservation, per guest room, if the alcoholic product:
(i)
is not a spirituous liquor; and
(ii)
is in an unopened container not to exceed 750 milliliters.
(9)
(a)
Subject to the other provisions of this Subsection
(9)
, a patron may not have more
than two alcoholic products of any kind at a time before the patron.
(b)
A patron may not have more than one spirituous liquor drink at a time before the
patron.
(c)
An individual portion of wine is considered to be one alcoholic product under
Subsection
(9)(a)
.
(10)
(a)
An on-premise banquet licensee shall supervise and direct a person involved in
the sale, offer for sale, or furnishing of an alcoholic product.
(b)
A person involved in the sale, offer for sale, or furnishing of an alcoholic product
shall complete an alcohol training and education seminar.
(11)
A staff person of an on-premise banquet licensee shall remain at the banquet at all
times when an alcoholic product is sold, offered for sale, furnished, or consumed at the
banquet.
(12)
(a)
Room service of an alcoholic product to a guest room or privately owned
dwelling unit of a hotel or resort facility shall be provided in person by staff of an
on-premise banquet licensee only to an adult guest in the guest room or privately
owned dwelling unit.
(b)
An alcoholic product may not be left outside a guest room or privately owned
dwelling unit for retrieval by a guest or resident.
(13)
An on-premise banquet licensee may not maintain a minibar.
Section 23. Section
32B-6-803
is amended to read:
32B-6-803
Effective
05/06/26
. Commission's power to issue reception center
license.
(1)
Before a person may store, sell, offer for sale, or furnish an alcoholic product on the
person's premises as a reception center, the person shall first obtain a reception center
license from the commission in accordance with this part.
(2)
The commission may issue a reception center license to establish reception center
licensed premises at places and in numbers the commission considers proper for the
storage, sale, offer for sale, furnishing, and consumption of an alcoholic product on
premises operated as a reception center.
(3)
Subject to Section
32B-1-201
, the commission may not issue a total number of
reception center licenses that at any time exceeds the
sum of:
(a)
a
number determined by dividing the population of the state by 251,693
.
; and
(b)
four.
(4)
The commission may not issue a reception center license for premises that do not meet
the proximity requirements of Section
32B-1-202
.
(5)
(a)
To be licensed as a reception center, a person shall maintain at least 70% of the
person's gross revenues from the sale of food.
(b)
A person complies with Subsection
(5)(a)
if the percentage calculated by dividing
the person's annual markup cost by the sum of the person's annual gross revenues
from food sales and the person's annual markup cost does not exceed 30%.
(5)
(a)
To be licensed as a reception center, a person may not maintain more than 30%
of the person's total annual gross receipts from the sale of alcoholic products.
(b)
For purposes of Subsection
(5)(a)
:
(i)
an alcoholic product includes:
(A)
mix for an alcoholic product; and
(B)
a charge in connection with the furnishing of an alcoholic product; and
(ii)
gross receipts do not include any charge for renting a room or facility.
(c)
A reception center licensee shall report the information necessary to show
compliance with this Subsection
(5)
to the department on an annual basis.
Section 24. Section
32B-6-805
is amended to read:
32B-6-805
Effective
05/06/26
. Specific operational requirements for a reception
center license.
(1)
(a)
In addition to complying with
Chapter 5, Part 3, Retail Licensee Operational
Requirements
, a reception center licensee and staff of the reception center licensee
shall comply with this section.
(b)
Failure to comply as provided in Subsection
(1)(a)
may result in disciplinary action
in accordance with
Chapter 3, Disciplinary Actions and Enforcement Act
, against:
(i)
a reception center licensee;
(ii)
individual staff of a reception center licensee; or
(iii)
both a reception center licensee and staff of the reception center licensee.
(2)
In addition to complying with Section
32B-5-303
, a reception center licensee shall store
an alcoholic product in a storage area described in Subsection
(14)(a)
.
(3)
(a)
For the purpose described in Subsection
(3)(b)
, a reception center licensee shall
provide the following with advance notice of a scheduled event in accordance with
rules
made by
the commission
makes
:
(i)
the department; and
(ii)
the local law enforcement agency responsible for the enforcement of this title in
the jurisdiction where the reception center is located.
(b)
Any of the following may conduct a random inspection of an event:
(i)
an authorized representative of the commission or the department; or
(ii)
a law enforcement officer.
(4)
(a)
Except as otherwise provided in this title, a reception center licensee may sell,
offer for sale, or furnish an alcoholic product at an event only for consumption at the
reception center's licensed premises.
(b)
A host of an event, a patron, or a person other than the reception center licensee or
staff of the reception center licensee, may not remove an alcoholic product from the
reception center's licensed premises.
(c)
Notwithstanding Section
32B-5-307
, a patron at an event may not bring an alcoholic
product into or onto, or remove an alcoholic product from, the reception center.
(5)
(a)
A reception center licensee may not leave an unsold alcoholic product at an event
following the conclusion of the event.
(b)
At the conclusion of an event, a reception center licensee shall:
(i)
destroy an opened and unused alcoholic product that is not saleable, under
conditions
established by
the department
establishes
; and
(ii)
return to the reception center licensee's approved
locked
storage area any:
(A)
opened and unused alcoholic product that is saleable; and
(B)
unopened container of an alcoholic product.
(c)
Except as provided in Subsection
(5)(b)
with regard to an open or sealed container of
an alcoholic product not sold or consumed at an event, a reception center licensee:
(i)
shall store the alcoholic product in accordance with Subsection
(2)
; and
(ii)
may use the alcoholic product at more than one event.
(6)
Notwithstanding Section
32B-5-308
, a reception center licensee may not employ a
minor in connection with an event at the reception center at which food is not made
available.
(7)
A person's willingness to serve an alcoholic product may not be made a condition of
employment as a server with a reception center licensee.
(8)
A reception center licensee may not sell, offer for sale, or furnish an alcoholic product at
the licensed premises on any day during the period that:
(a)
begins at 1 a.m.; and
(b)
ends at 9:59 a.m.
(9)
A reception center licensee may not sell, offer for sale, or furnish an alcoholic product at
an event at which a minor is present unless the reception center licensee makes food
available at all times when an alcoholic product is sold, offered for sale, furnished, or
consumed during the event.
(10)
(a)
Subject to the other provisions of this Subsection
(10)
, a patron may not have
more than two alcoholic products of any kind at a time before the patron.
(b)
An individual portion of wine is considered to be one alcoholic product under
Subsection
(10)(a)
.
(11)
(a)
A reception center licensee shall supervise and direct a person involved in the
sale, offer for sale, or furnishing of an alcoholic product.
(b)
A person involved in the sale, offer for sale, or furnishing of an alcoholic product
shall complete an alcohol training and education seminar.
(12)
A staff person of a reception center licensee shall remain at an event at all times when
an alcoholic product is sold, offered for sale, furnished, or consumed at the event.
(13)
A reception center licensee may not sell, offer for sale, or furnish an alcoholic product
to a patron, and a patron may not consume an alcoholic product at a bar structure.
(14)
Except as provided in Subsection
(15)
, a reception center licensee may dispense an
alcoholic product only if:
(a)
the alcoholic product is dispensed from an area that is:
(i)
separated from an area for the consumption of food by a patron by a solid,
translucent, permanent structural barrier such that the facilities for the storage or
dispensing of an alcoholic product are:
(A)
not readily visible to a patron; and
(B)
not accessible by a patron; and
(ii)
apart from an area used:
(A)
for staging; or
(B)
as a lobby or waiting area;
(b)
the reception center licensee uses an alcoholic product that is:
(i)
stored in an area described in Subsection
(14)(a)
; or
(ii)
in an area not described in Subsection
(14)(a)
on the licensed premises and:
(A)
immediately before the alcoholic product is dispensed it is in an unopened
container;
(B)
the unopened container is taken to an area described in Subsection
(14)(a)
before it is opened; and
(C)
once opened, the container is stored in an area described in Subsection
(14)(a)
;
and
(c)
any instrument or equipment used to dispense an alcoholic product is located in an
area described in Subsection
(14)(a)
.
(15)
A reception center licensee may dispense an alcoholic product from a mobile serving
area that:
(a)
is moved only by staff of the reception center licensee;
(b)
is capable of being moved by only one individual; and
(c)
is no larger than
6
six
feet long and 30 inches wide.
(16)
(a)
A reception center licensee may not have an event on the licensed premises
unless the event:
(i)
is
pursuant to
in accordance with
a contract between a third party host of the
event and the reception center licensee under which the reception center licensee
provides an alcoholic product sold, offered for sale, or furnished at an event; or
(ii)
is a private event.
(b)
At an event, a reception center licensee may furnish an alcoholic product:
(i)
without charge to a patron, except that the third party host of the event shall pay
for an alcoholic product furnished at the event; or
(ii)
with a charge to a patron at the event.
(c)
The commission may by rule define what constitutes a "third-party host" for
purposes of this Subsection
(16)
so that a reception center licensee and the third-party
host are not owned by or operated by the same persons, except that the rule shall
permit a reception center licensee to host an event for an immediate family member
of the reception center licensee.
(17)
A reception center licensee shall have culinary facilities that are:
(a)
adequate to prepare a full meal; and
(b)
(i)
located on the licensed premises; or
(ii)
under the same control as the reception center licensee.
(18)
(a)
Except as provided in Subsection
(18)(b)
, a reception center licensee may not
operate an event:
(i)
that is open to the general public; and
(ii)
at which an alcoholic product is sold or offered for sale.
(b)
A reception center licensee may operate an event described in Subsection
(18)(a)
if
the event is hosted:
(i)
at the reception center no more frequently than once a calendar year; and
(ii)
by a nonprofit organization that is organized and qualified under Section 501(c),
Internal Revenue Code.
Section 25. Section
32B-6-903
is amended to read:
32B-6-903
Effective
05/06/26
. Commission's power to issue beer-only
restaurant license.
(1)
Before a person may store, sell, offer for sale, furnish, or allow the consumption of beer
on its premises as a beer-only restaurant, the person shall first obtain a beer-only
restaurant license from the commission in accordance with this part.
(2)
(a)
The commission may issue a beer-only restaurant license to establish beer-only
restaurant licensed premises at places and in numbers the commission considers
proper for the storage, sale, offer for sale, furnishing, and consumption of beer on
premises operated as a beer-only restaurant.
(b)
A person may not sell, offer for sale, furnish, or allow the consumption of liquor on
the licensed premises of a beer-only restaurant licensee.
(3)
(a)
Only one beer-only restaurant license is required for each building or resort
facility owned or leased by the same person.
(b)
A separate license is not required for each beer-only restaurant license dispensing
location in the same building or on the same resort premises owned or operated by
the same person.
(4)
Except as otherwise provided in Section
32B-1-202
, the commission may not issue a
beer-only restaurant license for premises that do not meet the proximity requirements of
Subsection
32B-1-202(2)
.
(5)
To be licensed as a beer-only restaurant, a person shall maintain at least 70% of the
restaurant's gross revenues from the sale of food, which does not include a service
charge.
(5)
(a)
To be licensed as a beer-only restaurant, a person shall maintain at least 70% of
the person's gross revenues from the sale of food.
(b)
A person complies with Subsection (5)(a) if the percentage calculated by dividing
the person's annual markup cost by the sum of the person's annual gross revenues
from food sales and the person's annual markup cost does not exceed 30%.
Section 26. Section
32B-7-202
is amended to read:
32B-7-202
Effective
05/06/26
. General operational requirements for
off-premise beer retailer.
(1)
(a)
An off-premise beer retailer or staff of the off-premise beer retailer shall comply
with the provisions of this title and any applicable rules made by the commission.
(2)
(b)
Failure to comply with this section may result in a suspension or revocation of a
local license and, on or after July 1, 2018, disciplinary action in accordance with
Chapter 3, Disciplinary Actions and Enforcement Act.
(3)
(2)
(a)
(i)
An off-premise beer retailer may not purchase, acquire, possess for the
purpose of resale, or sell beer, except beer that the off-premise beer retailer
lawfully purchases from:
(A)
a beer wholesaler licensee; or
(B)
a small brewer that manufactures the beer.
(ii)
A violation of Subsection
(2)(a)
(2)(a)(i)
is a class A misdemeanor.
(b)
(i)
If an off-premise beer retailer purchases beer under this Subsection
(2)
from a
beer wholesaler licensee, the off-premise beer retailer shall purchase beer only
from a beer wholesaler licensee who is designated by the manufacturer to sell beer
in the geographical area in which the off-premise beer retailer is located, unless an
alternate wholesaler is authorized by the department to sell to the off-premise beer
retailer as provided in Section
32B-13-301
.
(ii)
A violation of Subsection
(2)(b)
(2)(b)(i)
is a class B misdemeanor.
(4)
(3)
An off-premise beer retailer may not possess, sell, offer for sale, or furnish beer in a
container larger than two liters.
(5)
(4)
(a)
Staff of an off-premise beer retailer, while on duty, may not:
(i)
consume an alcoholic product; or
(ii)
be intoxicated.
(b)
A minor may not sell beer on the licensed premises of an off-premise beer retailer
unless:
(i)
the sale is done under the supervision of a person 21 years old or older who is on
the licensed premises; and
(ii)
the minor is at least 16 years old.
(6)
(5)
An off-premise beer retailer may not sell, offer for sale, or furnish an alcoholic
product to:
(a)
a minor;
(b)
a person actually, apparently, or obviously intoxicated;
(c)
a known interdicted person; or
(d)
a known habitual drunkard.
(7)
(6)
(a)
Subject to the other provisions of this Subsection
(6)
, an off-premise beer
retailer shall:
(i)
display all beer accessible by and visible to a patron in no more than two locations
on the retail sales floor, each of which is:
(A)
a display cabinet, cooler, aisle, floor display, or room where beer is the only
beverage displayed; and
(B)
not adjacent to a display of nonalcoholic beverages, unless the location is a
cooler with a door from which the nonalcoholic beverages are not accessible,
or the beer is separated from the display of nonalcoholic beverages by a display
of one or more nonbeverage products or another physical divider; and
(ii)
display a sign in the area described in Subsection
(6)(a)(i)
that:
(A)
is prominent;
(B)
is easily readable by a consumer;
(C)
meets the requirements for format established by the commission by rule; and
(D)
reads in print that is no smaller than .5 inches, bold type, "These beverages
contain alcohol. Please read the label carefully."
(b)
Notwithstanding Subsection
(6)(a)
, a nonalcoholic beer may be displayed with beer
if the nonalcoholic beer is labeled, packaged, or advertised as a nonalcoholic beer.
(c)
The requirements of this Subsection
(6)
apply to beer notwithstanding that it is
labeled, packaged, or advertised as:
(i)
a malt cooler; or
(ii)
a beverage that may provide energy.
(d)
A violation of this Subsection
(6)
is an infraction.
(e)
(i)
Except as provided in Subsection
(6)(e)(ii)
, the provisions of Subsection
(6)(a)(i)
apply on and after May 9, 2017.
(ii)
For a beer retailer that operates two or more off-premise beer retailers, the
provisions of Subsection
(6)(a)(i)
apply on and after August 1, 2017.
(8)
(7)
(a)
Staff of an off-premise beer retailer who directly supervises the sale of beer
or who sells beer to a patron for consumption off the premises of the off-premise beer
retailer shall wear a unique identification badge:
(i)
on the front of the staff's clothing;
(ii)
visible above the waist;
(iii)
bearing the staff's:
(A)
first or last name;
(B)
initials; or
(C)
unique identification in letters or numbers; and
(iv)
with the number or letters on the unique identification badge being sufficiently
large to be clearly visible and identifiable while engaging in or directly
supervising the retail sale of beer.
(b)
An off-premise beer retailer shall make and maintain a record of each current staff's
unique identification badge assigned by the off-premise beer retailer that includes the
staff's:
(i)
full name;
(ii)
address; and
(iii)
(A)
driver license number; or
(B)
similar identification number.
(c)
An off-premise beer retailer shall make available a record required to be made or
maintained under this Subsection
(7)
for immediate inspection by:
(i)
a peace officer;
(ii)
a representative of the local authority that issues the off-premise beer retailer
license; or
(iii)
for an off-premise beer retailer state license, a representative of the commission
or department.
(d)
A local authority may impose a fine of up to $250 against an off-premise beer
retailer that does not comply or require its staff to comply with this Subsection
(7)
.
(9)
(8)
(a)
An off-premise beer retailer may sell, offer for sale, or furnish beer:
(i)
at a drive-through window;
(ii)
at a drive-up loading area, if the drive-up loading area is contiguous to the
off-premise beer retailer's licensed premises; or
(iii)
subject to Subsection
(8)(b)
, at a designated parking stall.
(b)
(i)
An off-premise beer retailer shall ensure that a parking stall described in
Subsection
(8)(a)(iii)
is:
(A)
located on property that the off-premise beer retailer owns or has a legal right
to occupy;
(B)
designated for picking up pre-ordered items from the off-premise beer retailer;
and
(C)
labeled in a conspicuous manner that communicates the purpose described in
Subsection
(8)(b)(ii)
.
(8)(b)(i)(B).
(ii)
An off-premise beer retailer may not sell, offer for sale, or furnish beer at a
designated parking stall described in Subsection
(8)(a)(iii)
unless:
(A)
the off-premise beer retailer ensures that the individual purchasing the beer
purchases the beer before parking in the designated parking stall;
(B)
the off-premise beer retailer delivers the beer directly from the off-premise
beer retailer's licensed premises to the designated parking stall;
(C)
at the designated parking stall, staff of the off-premise beer retailer verifies the
purchaser's age in accordance with Section
32B-1-407
; and
(D)
the off-premise beer retailer maintains video surveillance of the designated
parking stall.
(c)
Nothing in this Subsection
(8)
modifies the other requirements of this section.
(d)
Staff of an off-premise beer retailer that sells, offers for sale, or furnishes beer in
accordance with this Subsection
(8)
shall comply with the training requirements
described in Section
32B-1-703
.
(10)
(9)
An off-premise beer retailer may not on the licensed premises:
(a)
engage in or permit any form of:
(i)
gambling, as defined in Section
76-9-1401
; or
(ii)
fringe gambling, as defined in Section
76-9-1401
;
(b)
have any fringe gaming device, video gaming device, or gambling device or record
as defined in Section
76-9-1401
; or
(c)
engage in or permit a contest, game, gaming scheme, or gaming device that requires
the risking of something of value for a return or for an outcome when the return or
outcome is based upon an element of chance, excluding the playing of an amusement
device that confers only an immediate and unrecorded right of replay not
exchangeable for value.
(11)
(10)
An off-premise beer retailer may not knowingly allow a person on the licensed
premises to, in violation of Title 58, Chapter 37, Utah Controlled Substances Act, or
Title 58,
Chapter 37a, Utah Drug Paraphernalia Act:
(a)
sell, distribute, possess, or use a controlled substance, as defined in Section
58-37-2
;
or
(b)
use, deliver, or possess, with the intent to deliver, drug paraphernalia, as defined in
Section
58-37a-3
.
(12)
(11)
An off-premise beer retailer may not sell, offer for sale, or furnish a beer that is
intended to be frozen and consumed in a manner other than as a beverage, including beer
in the form of a freeze pop, popsicle, ice cream, or sorbet.
Section 27. Section
32B-8-401
is amended to read:
32B-8-401
Effective
05/06/26
. Specific operational requirements for resort
license.
(1)
(a)
In addition to complying with Chapter 5, Part 3, Retail Licensee Operational
Requirements, a resort licensee, staff of the resort licensee, and a sublicensee or a
person otherwise operating under a sublicense shall comply with this section.
(b)
Subject to Section
32B-8-502
, failure to comply as provided in Subsection
(1)(a)
may result in disciplinary action in accordance with Chapter 3, Disciplinary Actions
and Enforcement Act, against:
(i)
the resort licensee;
(ii)
individual staff of the resort licensee;
(iii)
a sublicensee or person otherwise operating under a sublicense of the resort
licensee;
(iv)
individual staff of a sublicensee or person otherwise operating under a sublicense
of the resort licensee; or
(v)
any combination of the persons listed in Subsections
(1)(b)(i)
through
(iv)
.
(2)
(a)
A resort licensee may not sell, offer for sale, or furnish an alcoholic product
except:
(i)
on sublicensed premises;
(ii)
pursuant to a permit issued under this title;
(iii)
under a package agency agreement with the department, subject to Chapter 2,
Part 6, Package Agency; or
(iv)
through room service.
(b)
A resort licensee who sells, offers for sale, or furnishes an alcoholic product as
provided in Subsection
(2)(a)
, shall sell, offer for sale, or furnish the alcoholic
product:
(i)
if on a sublicense premises, in accordance with the operational requirements
described in Section
32B-8d-104
;
(ii)
if under a permit issued under this title, in accordance with the operational
requirements under the provisions applicable to the permit;
(iii)
if as a package agency, in accordance with the contract with the department and
Chapter 2, Part 6, Package Agency; and
(iv)
if through room service, in accordance with Subsection
(6)
.
(3)
A resort licensee shall operate in a manner so that at least 70% of the annual aggregate
of the gross receipts related to the sale of food or beverages for the resort license and
each of the resort licensee's sublicenses is from the sale of food, not including:
(a)
mix for an alcoholic product; and
(b)
a charge in connection with the service of an alcoholic product.
(3)
(a)
To be licensed as a resort licensee, a person shall maintain at least 70% of the
person's gross revenues related to the sale of food or beverages for the resort licensee
and each of the resort licensee's sublicenses from the sale of food.
(b)
A person complies with Subsection
(3)(a)
if the percentage calculated by dividing
the person's annual markup cost by the sum of the person's annual gross revenues
from food sales and the person's annual markup cost does not exceed 30%.
(4)
(a)
A resort licensee shall supervise and direct a person involved in the sale, offer for
sale, or furnishing of an alcoholic product under a resort license.
(b)
A person involved in the sale, offer for sale, or furnishing of an alcoholic product
under a resort license shall complete the alcohol training and education seminar.
(5)
A resort licensee shall:
(a)
in accordance with commission rule, establish and maintain signage that clearly
identifies each designated conveyance area and conspicuously states that a patron
may not take an alcoholic beverage beyond the designated conveyance area except as
otherwise provided in this chapter;
(b)
ensure that an alcoholic beverage is not left unattended in a designated conveyance
area; and
(c)
ensure that each patron complies with the requirements of Subsection
32B-8d-104(5)(b)(ii)
.
(6)
(a)
Staff of the resort licensee shall provide room service of an alcoholic product to a
lodging accommodation of a resort licensee in person only to an adult occupant in the
lodging accommodation.
(b)
An alcoholic product may not be left outside a lodging accommodation for retrieval
by an occupant.
Section 28. Section
32B-8b-102
is amended to read:
32B-8b-102
Effective
05/06/26
. Definitions.
As used in this chapter:
(1)
"Boundary of a hotel" means the physical boundary of one or more contiguous parcels
of real property owned or managed by the same person and on which a hotel is located.
(2)
"Designated conveyance area" means a route within a hotel or resort:
(a)
that connects one or more of the following
by the most direct route possible
:
(i)
the premises of a bar establishment sublicensee;
(ii)
the premises of a hospitality amenity sublicensee;
(iii)
the premises of an on-premise banquet sublicensee; or
(iv)
a guest's room; and
(b)
does not begin, end, or pass through a pool area or other recreation area, a designated
business center, or a sublicensed premises not described in Subsection
(2)(a)
.
(3)
"Hotel" means one or more buildings that:
(a)
comprise a hotel, as defined by the commission;
(b)
are owned or managed by the same person or by a person who has a majority interest
in or can direct or exercise control over the management or policy of the person who
owns or manages any other building under the hotel license within the boundary of
the hotel;
(c)
primarily operate to provide lodging accommodations;
(d)
have on-premise banquet space and provide on-premise banquet service within the
boundary of the hotel meeting the requirements of this title;
(e)
have a restaurant or bar establishment within the boundary of the hotel meeting the
requirements of this title; and
(f)
have at least
40
30
rooms as temporary sleeping accommodations for compensation.
Section 29. Section
32B-8b-301
is amended to read:
32B-8b-301
Effective
05/06/26
. Specific operational requirements for hotel
license.
(1)
(a)
In addition to complying with Chapter 5, Part 3, Retail Licensee Operational
Requirements, a hotel licensee, staff of the hotel licensee, and a sublicensee or person
otherwise operating under a sublicense shall comply with this section.
(b)
Failure to comply as provided in Subsection
(1)(a)
may result in disciplinary action
in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
(i)
the hotel licensee;
(ii)
individual staff of the hotel licensee;
(iii)
a sublicensee or person otherwise operating under a sublicense of the hotel
licensee;
(iv)
individual staff of a sublicensee or person otherwise operating under a sublicense
of the hotel licensee; or
(v)
any combination of the persons listed in this Subsection
(1)(b)
.
(2)
(a)
A hotel licensee may not sell, offer for sale, or furnish an alcoholic product except:
(i)
on sublicensed premises;
(ii)
pursuant to
in accordance with
a permit issued under this title;
(iii)
under a package agency agreement with the department, subject to Chapter 2,
Part 6, Package Agency; or
(iv)
through room service.
(b)
A hotel licensee who sells, offers for sale, or furnishes an alcoholic product as
provided in Subsection
(2)(a)
shall sell, offer for sale, or furnish the alcoholic product:
(i)
if on sublicensed premises, in accordance with the operational requirements
described in Section
32B-8d-104
;
(ii)
if under a permit issued under this title, in accordance with the operational
requirements under the provisions applicable to the permit;
(iii)
if as a package agency, in accordance with the contract with the department and
Chapter 2, Part 6, Package Agency; and
(iv)
if through room service, in accordance with Subsection
(5)
.
(c)
Notwithstanding the other provisions of this Subsection
(2)
and except as provided in
Section
32B-8d-104
, a hotel licensee may not permit a patron to carry an alcoholic
product off the premises of a sublicense in violation of Section
32B-5-307
, off an
area designated under a permit, or off a designated conveyance area.
(3)
A hotel licensee shall supervise and direct a person involved in the sale, offer for sale,
or furnishing of an alcoholic product under a hotel license.
(4)
(a)
A hotel licensee shall:
(i)
in accordance with commission rule, establish and maintain signage that clearly
identifies each designated conveyance area and conspicuously states that a patron
may not take an alcoholic beverage beyond the designated conveyance area except
as otherwise provided in this chapter;
(ii)
ensure that an alcoholic beverage is not left unattended in a designated
conveyance area; and
(iii)
ensure that each patron complies with the requirements of Subsection
32B-8d-104(5)(b)(ii)
.
(b)
In accordance with Subsection
(2)
, a hotel licensee may not sell, offer for sale, or
furnish an alcoholic product in a designated conveyance area.
(5)
(a)
Staff of the hotel licensee shall provide room service of an alcoholic product to a
lodging accommodation of a hotel licensee in person only to an adult occupant in the
lodging accommodation.
(b)
An alcoholic product may not be left outside a lodging accommodation for retrieval
by an occupant.
(6)
(a)
To be licensed as a hotel licensee, a person shall maintain at least 70% of the
person's gross revenues related to the sale of food or beverages for the hotel licensee
and each of the hotel licensee's sublicenses from the sale of food.
(b)
A person complies with Subsection
(6)(a)
if the percentage calculated by dividing
the hotel's and each of the hotel's sublicense's annual markup cost by the sum of the
the hotel's and each of the hotel's sublicense's annual gross revenues from food sales
and the hotel's and each of the hotel's sublicense's annual markup cost does not
exceed 30%.
(6)
A hotel licensee shall operate in a manner so that at least 70% of the annual aggregate
of the gross receipts related to the sale of food or beverages for the hotel license and
each of the hotel license's sublicenses is from the sale of food, not including:
(a)
mix for an alcoholic product; and
(b)
a charge in connection with the service of an alcoholic product.
Section 30. Section
32B-8c-301
is amended to read:
32B-8c-301
Effective
05/06/26
. Specific operational requirements for arena
license.
(1)
(a)
In addition to complying with
Chapter 5, Part 3, Retail Licensee Operational
Requirements
, an arena licensee, staff of the arena licensee, and a sublicensee or
person otherwise operating under a sublicense shall comply with this section.
(b)
Failure to comply as provided in Subjection (1)(a) may result in disciplinary action
in accordance with
Chapter 3, Disciplinary Actions and Enforcement Act
, against:
(i)
the arena licensee;
(ii)
individual staff of the arena licensee;
(iii)
a sublicensee or person otherwise operating under a sublicense of the arena
licensee;
(iv)
individual staff of a sublicensee or person otherwise operating under a
sublicense; or
(v)
any combination of the persons listed in Subsections
(1)(b)(i)
through
(iv)
.
(2)
(a)
An arena licensee may not sell, offer for sale, or furnish an alcoholic product
except:
(i)
on sublicensed premises;
(ii)
pursuant to
in accordance with
a permit issued under this title; or
(iii)
under a package agency agreement with the department, subject to
Chapter 2,
Part 6, Package Agency
.
(b)
An arena licensee who sells, offers for sale, or furnishes an alcoholic product as
provided in Subsection
(2)(a)
shall sell, offer for sale, or furnish the alcoholic product:
(i)
if on sublicensed premises, in accordance with the operational requirements
described in Section
32B-8d-104
;
(ii)
if under a permit issued under this title, in accordance with the operational
requirements under the provisions applicable to the permit; and
(iii)
if as a package agency, in accordance with the contract with the department and
Chapter 2, Part 6, Package Agency
.
(3)
An arena licensee shall operate in a manner so that at least 70% of the annual aggregate
of the gross receipts related to the sale of food and beverages for the arena license and
each of the arena license's sublicenses is from the sale of food, not including:
(a)
mix for an alcoholic product; and
(b)
a charge in connection with the service of an alcoholic product.
(3)
(a)
To be licensed as an arena licensee, a person shall maintain at least 70% of the
person's gross revenues related to the sale of food or beverages for the arena licensee
and each of the arena licensee's sublicenses from the sale of food.
(b)
A person complies with Subsection
(3)(a)
if the percentage calculated by dividing
the arena's and each of the arena's sublicense's annual markup cost by the sum of the
the arena's and each of the arena's sublicense's annual gross revenues from food sales
and the arena's and each of the arena's sublicense's annual markup cost does not
exceed 30%.
(4)
An arena licensee shall, directly or indirectly, supervise and direct a person involved in
the sale, offer for sale, or furnishing of an alcoholic product under an arena license.
Section 31. Section
32B-9-201
is amended to read:
32B-9-201
Effective
05/06/26
. Application requirements for event permit.
(1)
To obtain an event permit, a person shall submit to the department:
(a)
a written application in a form that the department prescribes;
(b)
an event permit fee:
(i)
in the amount specified in the relevant part under this chapter for the type of event
permit for which the person is applying; and
(ii)
that is refundable if an event permit is not issued;
(c)
written consent of the local authority;
(d)
a bond as specified by Section
32B-9-203
;
(e)
the times, dates, location, estimated attendance, nature, and purpose of the event;
(f)
a description or floor plan designating:
(i)
the area in which the person proposes that an alcoholic product be stored;
(ii)
the site from which the person proposes that an alcoholic product be sold, offered
for sale, or furnished; and
(iii)
the area in which the person proposes that an alcoholic product be allowed to be
consumed;
(g)
a signed consent form stating that the event permittee will permit any authorized
representative of the commission, department, or any law enforcement officer to have
unrestricted right to enter the premises during the event;
(h)
if the person is an entity, proper verification evidencing that a person who signs the
application is authorized to sign on behalf of the entity; and
(i)
any other information as the commission or department may require.
(2)
If a person substantially changes the person's application under Subsection
(1)
after the
person initially submits the application, the person shall pay to the department a fee:
(a)
in an amount the department prescribes in accordance with Section
63J-1-504
; and
(b)
that is nonrefundable, regardless of whether the department issues an event permit.
(3)
An entity applying for a permit need not meet the requirements of Subsections
(1)(b)
,
(c)
,
and
(d)
if the entity is:
(a)
a state agency; or
(b)
a political subdivision of the state.
(4)
The director may not issue an event permit to a person who is disqualified under Section
32B-1-304
.
(5)
(a)
The proximity requirements of Section
32B-1-202
do not apply to an event permit.
(b)
Notwithstanding Subsection
(5)(a)
, nothing in this section prevents the director
, the
Compliance, Licensing, and Enforcement Subcommittee,
or the commission from
considering the proximity of an educational, religious, or recreational facility, or any
other relevant factor in deciding whether to issue an event permit.
Section 32. Section
32B-9-202
is amended to read:
32B-9-202
Effective
05/06/26
. Duties before issuing event permit.
(1)
(a)
Before the director may issue an event permit, the department shall conduct an
investigation and may hold public hearings to gather information and make
recommendations to the director as to whether the director should issue an event
permit.
(b)
The department shall provide the information and recommendations described in
Subsection
(1)(a)
to the director to aid in the director's determination.
(2)
Before issuing an event permit, the director shall:
(a)
determine that the person filed a complete application and is in compliance with:
(i)
Section
32B-9-201
; and
(ii)
the relevant part under this chapter for the type of event permit for which the
person is applying;
(b)
determine that the person is not disqualified under Section
32B-1-304
;
(c)
consider the purpose of the organization or its local lodge, chapter, or other local unit;
(d)
consider the times, dates, location, estimated attendance, nature, and purpose of the
event;
(e)
to minimize the risk of minors being sold or furnished alcohol or adults being
overserved alcohol at the event, determine that adequate and appropriate control
measures and adequate and appropriate enforcement measures are in place at the
event to assure that minors will not be sold or furnished alcohol and that adults will
not be overserved, except that adequate and appropriate control and enforcement
measures may be different for small, large, indoor, or outdoor events;
(f)
determine that the event permit is not being sought by the person as a means to
circumvent other applicable requirements of this title, notwithstanding that the
applicant may hold one or more licenses issued under this title;
(g)
consider, for the period of three years before the date of the event, the violation
history of:
(i)
the applicant; and
(ii)
the venue where the event will be held;
and
(h)
provide the information and recommendations described in Subsection
(1)
to, and
obtain the approval of, the Compliance, Licensing, and Enforcement Subcommittee;
(i)
notify each commissioner before the director issues the event permit in accordance
with Subsection
(3)
; and
(j)
(h)
consider any other factor the director considers necessary.
(3)
(a)
Except as provided in Subsections
(3)(d)
and
(e)
, the director shall notify
each commissioner of the director's preliminary decision to issue or deny the issuance
of an event permit three business days before the day on which the decision is to be
final.
(b)
The preliminary decision becomes a final decision of the director unless:
(i)
within three business days after the day on which the notice is received at least
three of the commissioners request a meeting to discuss whether the event permit
should be issued; or
(ii)
the director modifies or revokes the preliminary decision to issue or deny
issuance of the event permit.
(c)
If three or more of the commissioners request a meeting:
(i)
the applicant for the event permit shall be notified; and
(ii)
the commission shall:
(A)
hold a meeting on the application for an event permit no later than the next
regularly scheduled meeting of the commission; and
(B)
issue the event permit if the applicant meets the requirements of this chapter
or deny issuance of the event permit if the applicant fails to meet the
requirements of this chapter.
(d)
The commission may waive the three business day notice period described in
Subsection
(3)(a)
on behalf of a
commissioner.
(e)
(a)
(i)
The director may at any time refer an application for an event permit
directly to the commission for a determination as to whether an event permit
should be issued or denied.
(ii)
For purposes of this title, an event permit issued by the commission is to be
treated the same as an event permit issued by the director.
(f)
(b)
If the commission finds that an event permit was improperly issued or that the
permittee has violated this chapter, the commission may take any action permitted
under this title.
(4)
Once the director issues an event permit, the department shall send a copy of the
approved application and the event permit by written or electronic means to the state and
local law enforcement authorities at least three days before the event.
(5)
The director shall provide the commission a monthly report of the actions taken by the
director under this part.
(6)
If authorized by the director, the deputy director may act on behalf of the director for
purposes of issuing an event permit under this chapter.
Section 33. Section
32B-9-204
is amended to read:
32B-9-204
Effective
05/06/26
. General operational requirements for an event
permit.
(1)
(a)
An event permittee and a person involved in the storage, sale, offer for sale, or
furnishing of an alcoholic product at an event for which an event permit is issued,
shall comply with this title and rules of the commission.
(b)
Failure to comply as provided in Subsection
(1)(a)
:
(i)
may result in:
(A)
disciplinary action in accordance with
Chapter 3, Disciplinary Actions and
Enforcement Act
, against:
(I)
an event permittee;
(II)
a person involved in the storage, sale, offer for sale, or furnishing of an
alcoholic product at the event; or
(III)
any combination of the persons listed in this Subsection
(1)(b)
;
(B)
immediate revocation of the event permit;
(C)
forfeiture of a bond; or
(D)
immediate seizure of an alcoholic product present at the event; and
(ii)
if the event permit is revoked, disqualifies the event permittee from applying for
an event permit for a period of three years from the date of revocation of the event
permit.
(c)
An alcoholic product seized under this Subsection
(1)
shall be returned to the event
permittee after an event if forfeiture proceedings are not instituted under Section
32B-4-206
.
(2)
(a)
If there is a conflict between this part and the relevant part under this chapter for
the specific type of special use permit held by the special use permittee, the relevant
part governs.
(b)
Notwithstanding that this part may refer to "liquor" or an "alcoholic product," an
event permittee may only sell, offer for sale, or furnish an alcoholic product specified
in the relevant part under this chapter for the type of event permit that is held by the
event permittee.
(c)
Notwithstanding that this part or the relevant part under this chapter for the type of
event permit held by an event permittee refers to "event permittee," a person involved
in the storage, sale, offer for sale, or furnishing of an alcoholic product at the event
for which the event permit is issued is subject to the same requirement or prohibition.
(3)
An event permittee shall display a copy of the event permit in a prominent place in the
area in which an alcoholic product is sold, offered for sale, furnished, and consumed.
(4)
An event permittee may not on the premises of the event:
(a)
engage in or allow any form of gambling, as defined in Section
76-9-1401
, or fringe
gambling, as defined in Section
76-9-1401
;
(b)
have any fringe gaming device, video gaming device, or gambling device or record
as defined in Section
76-9-1401
; or
(c)
engage in or permit a contest, game, gaming scheme, or gaming device that requires
the risking of something of value for a return or for an outcome when the return or
outcome is based upon an element of chance, excluding the playing of an amusement
device that confers only an immediate and unrecorded right of replay not
exchangeable for value.
(5)
An event permittee may not knowingly allow a person at an event to, in violation of
Title 58, Chapter 37, Utah Controlled Substances Act
, or
Title 58,
Chapter 37a, Utah
Drug Paraphernalia Act
:
(a)
sell, distribute, possess, or use a controlled substance, as defined in Section
58-37-2
;
or
(b)
use, deliver, or possess with the intent to deliver drug paraphernalia, as defined in
Section
58-37a-3
.
(6)
An event permittee may not sell, offer for sale, or furnish beer except beer purchases
from:
(a)
a beer wholesaler licensee;
(b)
a beer retailer; or
(c)
a small brewer.
(7)
An event permittee may not store, sell, offer for sale, furnish, or allow the consumption
of an alcoholic product purchased for an event in a location other than that described in
the application and designated on the event permit unless the event permittee first
applies for and receives approval from the director
, with the approval of the
Compliance, Licensing, and Enforcement Subcommittee,
for a change of location.
(8)
(a)
Subject to Subsection
(8)(b)
, an event permittee may sell, offer for sale, or furnish
beer for on-premise consumption:
(i)
in an open original container; and
(ii)
in a container on draft.
(b)
An event permittee may not sell, offer for sale, or furnish beer sold
pursuant to
in
accordance with
Subsection
(8)(a)
:
(i)
in a size of container that exceeds two liters; or
(ii)
to an individual patron in a size of container that exceeds one liter.
(9)
(a)
An event permittee may not sell or offer for sale an alcoholic product at less than
the cost of the alcoholic product to the event permittee.
(b)
An event permittee may not sell an alcoholic product at a discount price on any date
or at any time.
(c)
An event permittee may not sell or offer for sale an alcoholic product at a price that
encourages overconsumption or intoxication.
(d)
An event permittee may not sell or offer for sale an alcoholic product at a special or
reduced price for only certain hours of the day of an event.
(e)
An event permittee may not sell, offer for sale, or furnish more than one alcoholic
product at the price of a single alcoholic product.
(f)
An event permittee, or a person operating, selling, offering, or furnishing an alcoholic
product under an event permit, may not sell, offer for sale, or furnish an indefinite or
unlimited number of alcoholic products during a set period for a fixed price, unless:
(i)
the alcoholic product is served to a patron at a seated event;
(ii)
food is available whenever the alcoholic product is sold, offered for sale, or
furnished; and
(iii)
no person advertises that at the event a person may be sold or furnished an
indefinite or unlimited number of alcoholic products during a set period for a
fixed price.
(g)
An event permittee may not engage in a public promotion involving or offering a
free alcoholic product to the general public.
(10)
An event permittee may not sell, offer for sale, or furnish an alcoholic product to:
(a)
a minor;
(b)
a person actually, apparently, or obviously intoxicated;
(c)
a known interdicted person; or
(d)
a known habitual drunkard.
(11)
(a)
An alcoholic product is considered under the control of the event permittee
during an event.
(b)
A patron at an event may not bring an alcoholic product onto the premises of the
event.
(12)
An event permittee may not permit a patron to carry from the premises an open
container that:
(a)
is used primarily for drinking purposes; and
(b)
contains an alcoholic product.
(13)
(a)
A person involved in the storage, sale, or furnishing of an alcoholic product at an
event is considered under the supervision and direction of the event permittee.
(b)
A person involved in the sale, offer for sale, or furnishing of an alcoholic product at
an event may not, while on duty:
(i)
consume an alcoholic product; or
(ii)
be intoxicated.
(14)
A minor may not handle, sell, offer for sale, or furnish an alcoholic product at an event.
(15)
The location specified in an event permit may not be changed without prior written
approval of the commission.
(16)
An event permittee may not sell, transfer, assign, exchange, barter, give, or attempt in
any way to dispose of the event permit to another person whether for monetary gain or
not.
(17)
(a)
An event permittee may not sell, offer for sale, furnish, or allow the consumption
of an alcoholic product during a period that:
(i)
begins at 1 a.m.; and
(ii)
ends at 9:59 a.m.
(b)
This Subsection
(17)
does not preclude a local authority from being more restrictive
with respect to the hours of sale, offer for sale, furnishing, or consumption of an
alcoholic product at an event.
(18)
A patron may have no more than one alcoholic product of any kind at a time before the
patron.
(19)
(a)
An event permittee shall display, in a prominent place, a sign in large letters that
consists of text in the following order:
(i)
a header that reads: "WARNING";
(ii)
a warning statement that reads: "Drinking alcoholic beverages during pregnancy
can cause birth defects and permanent brain damage for the child.";
(iii)
a statement in smaller font that reads: "Call the Utah Department of Health and
Human Services at [insert most current toll-free number] with questions or for
more information.";
(iv)
a header that reads: "WARNING"; and
(v)
a warning statement that reads: "Driving under the influence of alcohol or drugs is
a serious crime that is prosecuted aggressively in Utah."
(b)
(i)
The text described in Subsections
(19)(a)(i)
through
(iii)
shall be in a different
font style than the text described in Subsections
(19)(a)(iv)
and
(v)
.
(ii)
The warning statements in the sign described in Subsection
(19)(a)
shall be in the
same font size.
(c)
The Department of Health and Human Services shall work with the commission and
department to facilitate consistency in the format of a sign required under this section.
Section 34. Section
32B-9-305
is amended to read:
32B-9-305
Effective
upon governor's approval
. Specific operational
requirements for single event permit.
(1)
(a)
In addition to complying with Section
32B-9-204
, a single event permittee or a
person involved in the storage, sale, offer for sale, or furnishing of an alcoholic
product at the event shall comply with this section.
(b)
Failure to comply as provided in Subsection
(1)(a)
:
(i)
may result in:
(A)
disciplinary action in accordance with
Chapter 3, Disciplinary Actions and
Enforcement Act
, against:
(I)
a single event permittee;
(II)
a person involved in the storage, sale, offer for sale, or furnishing of an
alcoholic product at the event; or
(III)
any combination of persons listed in this Subsection
(1)(b)
;
(B)
immediate revocation of the single event permit;
(C)
forfeiture of a bond; or
(D)
immediate seizure of an alcoholic product present at the event; and
(ii)
if the single event permit is revoked, disqualifies the single event permittee from
applying for a single event permit or temporary beer event permit for a period of
three years from the date of revocation of the single event permit.
(c)
An alcoholic product seized under this Subsection
(1)
shall be returned to the single
event permittee after an event if forfeiture proceedings are not instituted under
Section
32B-4-206
.
(2)
(a)
A single event permittee shall make and maintain an expense and revenue ledger
or record showing:
(i)
expenditures made for:
(A)
liquor;
(B)
beer;
(C)
set-ups; and
(D)
an ingredient or component of an alcoholic product other than a set-up; and
(ii)
the revenue from the sale of an alcoholic product.
(b)
Section
32B-1-205
applies to a record required to be made or maintained in
accordance with this Subsection
(2)
.
(3)
A single event permittee shall purchase liquor stored, sold, offered for sale, furnished,
or consumed at an event from a state store or package agency.
(4)
(a)
A single event permittee may not sell, offer for sale, or furnish a primary
spirituous liquor in a quantity that exceeds 1.5 ounces per beverage, except that
additional spirituous liquor may be used in a beverage if:
(i)
used as a secondary flavoring ingredient;
(ii)
used in conjunction with the primary spirituous liquor;
(iii)
the secondary ingredient is not the only spirituous liquor in the beverage; and
(iv)
subject to Subsection
32B-9-204(18)
:
(A)
a patron has no more than 2.5 ounces of spirituous liquor at a time before the
patron; and
(B)
a patron has no more than one spirituous liquor drink at a time before the
patron.
(b)
Spirituous liquor need not be dispensed through a calibrated metered dispensing
system.
(5)
(a)
A single event permittee may sell, offer for sale, or furnish wine by the glass or an
individual portion, except that a glass or individual portion may not exceed five
ounces.
(b)
A single event permittee may furnish an individual portion served to a patron in
more than one glass if the total amount of wine does not exceed five ounces.
(c)
An individual portion of wine is considered to be one alcoholic product under
Subsection
32B-9-204(18)
.
(d)
A
Except as provided in Subsection
(10)
, a
single event permittee may sell, offer for
sale, or furnish wine in a container not exceeding 1.5 liters at a price fixed by the
commission.
(6)
A
Except as provided in Subsection
(10)
, a
single event permittee may sell, offer for
sale, or furnish heavy beer in an original container at a price fixed by the commission,
except that the original container may not exceed one liter.
(7)
A
Except as provided in Subsection
(10)
, a
single event permittee may sell, offer for
sale, or furnish a flavored malt beverage in an original container at a price fixed by the
commission, except that the original container may not exceed one liter.
(8)
A
Except as provided in Subsection
(10)
, a
single event permittee may sell liquor only
at a price fixed by the commission.
(9)
A single event permittee may perform a service and assess a service charge as
authorized by commission rule for liquor purchased at an event.
(10)
This section does not prohibit a single event permittee from rounding the price of
liquor in accordance with Section
32B-2-213
.
Section 35. Section
63I-5-201
is amended to read:
63I-5-201
Effective
05/06/26
. Internal auditing programs -- State agencies.
(1)
(a)
The departments of Government Operations, Agriculture,
Alcoholic Beverage
Services,
Commerce, Cultural and Community Engagement, Corrections, Workforce
Services, Environmental Quality, Health
,
and
Human Services, Natural Resources,
Public Safety, and Transportation, and the State Tax Commission shall conduct
various types of auditing procedures as determined by the agency head or governor.
(b)
The governor may, by executive order, require a state agency not described in
Subsection
(1)(a)
to establish an internal audit program.
(c)
The governor shall ensure that each state agency that reports to the governor has
adequate internal audit coverage.
(2)
(a)
The Administrative Office of the Courts shall establish an internal audit program
under the direction of the Judicial Council, including auditing procedures for courts
not of record.
(b)
The Judicial Council may, by rule, require other judicial agencies to establish an
internal audit program.
(3)
(a)
Utah Tech University, the University of Utah, Utah State University, Salt Lake
Community College, Southern Utah University, Utah Valley University, Weber State
University, and Snow College shall establish an internal audit program under the
direction of the Utah Board of Higher Education.
(b)
The Utah Board of Higher Education may issue policies requiring other higher
education entities or programs to establish an internal audit program.
(4)
The State Board of Education shall establish an internal audit program that provides
internal audit services for each program administered by the State Board of Education.
(5)
Subject to Section
32B-2-302.5
, the internal audit division of the Department of
Alcoholic Beverage Services shall establish an internal audit program under the
direction of the Alcoholic Beverage Services Commission.
Section 36.
Effective Date.
(1)
Except as provided in Subsection (2), this bill takes effect
May 6, 2026
.
(2)
(a)
The actions affecting sections described in Subsection (2)(b) take effect:
(i)
except as provided in Subsection (2)(a)(ii),
May 6, 2026
; or
(ii)
if approved by two-thirds of all members elected to each house:
(A)
upon approval by the governor;
(B)
without the governor's signature, the day following the constitutional time
limit of Utah Constitution, Article VII, Section 8; or
(C)
in the case of a veto, the date of veto override.
(b)
Subsection (2)(a) applies to the actions affecting the following sections:
(i)
Section 32B-1-407
Effective
upon governor's approval
;
(ii)
Section 32B-2-202
Effective
upon governor's approval
;
(iii)
Section 32B-2-213
Effective
upon governor's approval
;
(iv)
Section 32B-2-304
Effective
upon governor's approval
;
(v)
Section 32B-2-503
Effective
upon governor's approval
;
(vi)
Section 32B-2-605
Effective
upon governor's approval
;
(vii)
Section 32B-5-304
Effective
upon governor's approval
;
(viii)
Section 32B-5-305
Effective
upon governor's approval
; and
(ix)
Section 32B-9-305
Effective
upon governor's approval
.
3-6-26 4:49 PM