Liquor license fees

AN ACT Relating to increasing license, permit, and endorsement 1
fees; amending RCW 66.20.010, 66.20.400, 66.24.015, 66.24.035, 2
66.24.055, 66.24.140, 66.24.146, 66.24.150, 66.24.160, 66.24.165, 3
66.24.170, 66.24.179, 66.24.185, 66.24.200, 66.24.203, 66.24.240, 4
66.24.244, 66.24.250, 66.24.261, 66.24.310, 66.24.320, 66.24.330, 5
66.24.350, 66.24.354, 66.24.360, 66.24.363, 66.24.371, 66.24.395, 6
66.24.420, 66.24.425, 66.24.450, 66.24.452, 66.24.495, 66.24.520, 7
66.24.530, 66.24.540, 66.24.550, 66.24.570, 66.24.580, 66.24.590, 8
66.24.600, 66.24.610, 66.24.630, 66.24.650, 66.24.655, 66.24.690, and 9
66.24.695; reenacting and amending RCW 66.24.400 and 66.24.680; and 10
adding a new section to chapter 66.08 RCW. 11
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:12
Sec. 1. RCW 66.20.010 and 2024 c 91 s 1 are each amended to read 13
as follows: 14
Upon application in the prescribed form being made to any 15
employee authorized by the board to issue permits, accompanied by 16
payment of the prescribed fee, and upon the employee being satisfied 17
that the applicant should be granted a permit under this title, the 18
employee must issue to the applicant under such regulations and at 19
such fee as may be prescribed by the board a permit of the class 20
applied for, as follows: 21
S-2096.3
SENATE BILL 5786
State of Washington 69th Legislature 2025 Regular Session
By Senator Stanford
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(1) Where the application is for a special permit by a physician 1
or dentist, or by any person in charge of an institution regularly 2
conducted as a hospital or sanatorium for the care of persons in ill 3
health, or as a home devoted exclusively to the care of aged people, 4
a special liquor purchase permit, except that the governor may waive 5
the requirement for a special liquor purchase permit under this 6
subsection pursuant to an order issued under RCW 43.06.220(2);7
(2) Where the application is for a special permit by a person 8
engaged within the state in mechanical or manufacturing business or 9
in scientific pursuits requiring alcohol for use therein, or by any 10
private individual, a special permit to purchase alcohol for the 11
purpose named in the permit, except that the governor may waive the 12
requirement for a special liquor purchase permit under this 13
subsection pursuant to an order issued under RCW 43.06.220(2);14
(3) Where the application is for a special permit to consume 15
liquor at a banquet, at a specified date and place, a special permit 16
to purchase liquor for consumption at such banquet, to such 17
applicants as may be fixed by the board; 18
(4) Where the application is for a special permit to consume 19
liquor on the premises of a business not licensed under this title, a 20
special permit to purchase liquor for consumption thereon for such 21
periods of time and to such applicants as may be fixed by the board;22
(5) Where the application is for a special permit by a 23
manufacturer to import or purchase within the state alcohol, malt, 24
and other materials containing alcohol to be used in the manufacture 25
of liquor, or other products, a special permit; 26
(6) Where the application is for a special permit by a person 27
operating a drug store to purchase liquor at retail prices only, to 28
be thereafter sold by such person on the prescription of a physician, 29
a special liquor purchase permit, except that the governor may waive 30
the requirement for a special liquor purchase permit under this 31
subsection pursuant to an order issued under RCW 43.06.220(2);32
(7) Where the application is for a special permit by an 33
authorized representative of a military installation operated by or 34
for any of the armed forces within the geographical boundaries of the 35
state of Washington, a special permit to purchase liquor for use on 36
such military installation; 37
(8) Where the application is for a special permit by a vendor 38
that manufactures or sells a product which cannot be effectively 39
presented to potential buyers without serving it with liquor or by a 40
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manufacturer, importer, or distributor, or representative thereof, to 1
serve liquor without charge to delegates and guests at a convention 2
of a trade association composed of licensees of the board, when the 3
said liquor is served in a hospitality room or from a booth in a 4
board-approved suppliers' display room at the convention, and when 5
the liquor so served is for consumption in the said hospitality room 6
or display room during the convention, anything in this title to the 7
contrary notwithstanding. Any such spirituous liquor must be 8
purchased from a spirits retailer or distributor, and any such liquor 9
is subject to the taxes imposed by RCW 82.08.150, 66.24.290, and 10
66.24.210; 11
(9) Where the application is for a special permit by a 12
manufacturer, importer, or distributor, or representative thereof, to 13
donate liquor for a reception, breakfast, luncheon, or dinner for 14
delegates and guests at a convention of a trade association composed 15
of licensees of the board, when the liquor so donated is for 16
consumption at the said reception, breakfast, luncheon, or dinner 17
during the convention, anything in this title to the contrary 18
notwithstanding. Any such spirituous liquor must be purchased from a 19
spirits retailer or distributor, and any such liquor is subject to 20
the taxes imposed by RCW 82.08.150, 66.24.290, and 66.24.210;21
(10) Where the application is for a special permit by a 22
manufacturer, importer, or distributor, or representative thereof, to 23
donate and/or serve liquor without charge to delegates and guests at 24
an international trade fair, show, or exposition held under the 25
auspices of a federal, state, or local governmental entity or 26
organized and promoted by a nonprofit organization, anything in this 27
title to the contrary notwithstanding. Any such spirituous liquor 28
must be purchased from a liquor spirits retailer or distributor, and 29
any such liquor is subject to the taxes imposed by RCW 82.08.150, 30
66.24.290, and 66.24.210; 31
(11) Where the application is for an annual special permit by a 32
person operating a bed and breakfast lodging facility to donate or 33
serve wine or beer without charge to overnight guests of the facility 34
if the wine or beer is for consumption on the premises of the 35
facility. "Bed and breakfast lodging facility," as used in this 36
subsection, means a facility offering from one to eight lodging units 37
and breakfast to travelers and guests; 38
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(12) Where the application is for a special permit to allow 1
tasting of alcohol by persons at least 18 years of age under the 2
following circumstances: 3
(a) The application is from a community or technical college as 4
defined in RCW 28B.50.030, a regional university, or a state 5
university; 6
(b) The person who is permitted to taste under this subsection is 7
enrolled as a student in a required or elective class that is part of 8
a culinary, sommelier, wine business, enology, viticulture, wine 9
technology, beer technology, or spirituous technology-related degree 10
program; 11
(c) The alcohol served to any person in the degree-related 12
programs under (b) of this subsection is tasted but not consumed for 13
the purposes of educational training as part of the class curriculum 14
with the approval of the educational provider; 15
(d) The service and tasting of alcoholic beverages is supervised 16
by a faculty or staff member of the educational provider who is 21 17
years of age or older. The supervising faculty or staff member shall 18
possess a class 12 or 13 alcohol server permit under the provisions 19
of RCW 66.20.310; 20
(e) The enrolled student permitted to taste the alcoholic 21
beverages does not purchase the alcoholic beverages;22
(f) The enrolled student permitted to taste the alcoholic 23
beverages conducts the tasting either: (i) On the premises of the 24
college or university at which the student is enrolled; or (ii) while 25
on a field trip to a grape-growing area or production facility so 26
long as the enrolled student is accompanied by a faculty or staff 27
member with a class 12 or 13 alcohol server permit who supervises as 28
provided in (d) of this subsection and all other requirements of this 29
subsection (12) are met; and 30
(g) The permit fee for the special permit provided for in this 31
subsection (12) must be waived by the board; 32
(13) Where the application is for a special permit by a 33
distillery or craft distillery for an event not open to the general 34
public to be held or conducted at a specific place, including at the 35
licensed premise of the applying distillery or craft distillery, upon 36
a specific date for the purpose of tasting and selling spirits of its 37
own production. The distillery or craft distillery must obtain a 38
permit for a fee of (($10)) $15 per event. An application for the 39
permit must be submitted for private banquet permits prior to the 40
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event and, once issued, must be posted in a conspicuous place at the 1
premises for which the permit was issued during all times the permit 2
is in use. No licensee may receive more than 12 permits under this 3
subsection (13) each year; 4
(14) Where the application is for a special permit by a 5
manufacturer of wine for an event not open to the general public to 6
be held or conducted at a specific place upon a specific date for the 7
purpose of tasting and selling wine of its own production. The winery 8
must obtain a permit for a fee of (($10)) $15 per event. An 9
application for the permit must be submitted at least ten days before 10
the event and once issued, must be posted in a conspicuous place at 11
the premises for which the permit was issued during all times the 12
permit is in use. No more than 12 events per year may be held by a 13
single manufacturer under this subsection; 14
(15) Where the application is for a special permit by a 15
manufacturer of beer for an event not open to the general public to 16
be held or conducted at a specific place upon a specific date for the 17
purpose of tasting and selling beer of its own production. The 18
brewery or microbrewery must obtain a permit for a fee of (($10)) $15 19
per event. An application for the permit must be submitted at least 20
10 days before the event and, once issued, must be posted in a 21
conspicuous place at the premises for which the permit was issued 22
during all times the permit is in use. No more than 12 events per 23
year may be held by a single manufacturer under this subsection;24
(16) Where the application is for a special permit by an 25
individual or business to sell a private collection of wine or 26
spirits to an individual or business. The seller must obtain a permit 27
at least five business days before the sale, for a fee of (($25)) 28
$37.50 per sale. The seller must provide an inventory of products 29
sold and the agreed price on a form provided by the board. The seller 30
shall submit the report and taxes due to the board no later than 20 31
calendar days after the sale. A permit may be issued under this 32
section to allow the sale of a private collection to licensees, but 33
may not be issued to a licensee to sell to a private individual or 34
business which is not otherwise authorized under the license held by 35
the seller. If the liquor is purchased by a licensee, all sales are 36
subject to taxes assessed as on liquor acquired from any other 37
source. The board may adopt rules to implement this section;38
(17)(a) A special permit, where the application is for a special 39
permit by a nonprofit organization to sell wine through an auction, 40
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not open to the public, to be conducted at a specific place, upon a 1
specific date, and to allow wine tastings at the auction of the wine 2
to be auctioned. 3
(b) A permit holder under this subsection (17) may at the 4
specified event: 5
(i) Sell wine by auction for off-premises consumption; and6
(ii) Allow tastings of samples of the wine to be auctioned at the 7
event. 8
(c) An application is required for a permit under this subsection 9
(17). The application must be submitted prior to the event and once 10
issued must be posted in a conspicuous place at the premises for 11
which the permit was issued during all times the permit is in use.12
(d) Wine from more than one winery may be sold at the auction; 13
however, each winery selling wine at the auction must be listed on 14
the permit application. Only a single application form may be 15
required for each auction, regardless of the number of wineries that 16
are selling wine at the auction. The total fee per event for a permit 17
issued under this subsection (17) is (($25)) $37.50 multiplied by the 18
number of wineries that are selling wine at the auction.19
(e) For the purposes of this subsection (17), "nonprofit 20
organization" means an entity incorporated as a nonprofit 21
organization under Washington state law. 22
(f) The board may adopt rules to implement this section;23
(18) An annual special permit to allow a short-term rental 24
operator to provide one complimentary bottle of wine to rental guests 25
who are age 21 or over. The annual special permit fee is (($75)) 26
$112.50. A single permit applies to all rental properties owned or 27
operated by the short-term rental operator and identified in the 28
permit application. One complimentary bottle of wine per booking may 29
be provided, regardless of the total number of rental guests. The 30
provision of the complimentary bottle of wine may occur only after an 31
operator or staff person of the short-term rental, who is present at 32
the short-term rental property, verifies that each rental guest who 33
will consume the complimentary bottle of wine is age 21 or over by 34
checking a valid form of identification of each such rental guest at 35
the time rental guests arrive. The rental guests must be informed the 36
rental guests are being offered one complimentary bottle of wine and 37
that opening or consuming the bottle of wine in a public place is 38
illegal pursuant to RCW 66.44.100. The rental guests must not have 39
notified the operator that the rental guests decline the 40
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complimentary bottle of wine. The complimentary bottle of wine may be 1
consumed on the premises of the rental property or removed and 2
consumed off the premises of the rental property. A permit holder may 3
purchase wine from wine distributors in accordance with RCW 4
66.24.200, and from retailers and other suppliers of wine authorized 5
under this title to sell wine at retail to consumers for off-premises 6
consumption. For purposes of this subsection, the terms "short-term 7
rental," "operator," and "guest" have the same meanings as in RCW 8
64.37.010; and 9
(19) Where the application is for an emergency liquor permit by a 10
licensed manufacturer to authorize the sale, service, and consumption 11
of liquor on the premises of another liquor licensee with retail 12
sales privileges when an emergency or disaster as defined in RCW 13
38.52.010 has made the premises of the applicant inaccessible and 14
unable to operate due to an emergency or road closure, except that 15
the fee must be waived if there is a proclamation of a state of 16
emergency issued by the governor or by the city, town, or county 17
where the applicant is located. The permit shall be valid for 30 days 18
and may be continually renewed for periods of 30 days if the 19
emergency or disaster continues. Employees or agents of the emergency 20
permit holder or the licensed premises may serve liquor provided by 21
the permit holder. The permit holder may store no more than a 30-day 22
supply of liquor at the licensed premises in segregated storage. No 23
more than a total of three emergency permit holders may sell at the 24
same licensed premises under an emergency permit. 25
Sec. 2. RCW 66.20.400 and 2014 c 199 s 1 are each amended to 26
read as follows: 27
(1) There shall be a permit known as a day spa permit to allow 28
the holder to offer or supply , without charge, wine or beer by the 29
individual glass to a customer for consumption on the premises. The 30
customer must be at least ((twenty-one)) 21 years of age and may only 31
be offered wine or beer if the services he or she will be receiving 32
will last more than one hour. Wine or beer served or consumed shall 33
be purchased from a Washington state licensed retailer. A customer 34
may consume no more than one six ounce glass of wine or one 35
((twelve)) 12 ounce glass of beer per day under this permit. Day spas 36
with a day spa permit may not advertise the service of complimentary 37
wine or beer and may not sell wine or beer in any manner. Any 38
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employee involved in the service of wine or beer must complete a 1
board-approved limited alcohol server training program.2
(2) For the purposes of this section, "day spa" means a business 3
that offers at least three of the following four service categories:4
(a) Hair care; 5
(b) Skin care; 6
(c) Nail care; and 7
(d) Body care, such as massages, wraps, and waxing.8
Day spas must provide separate service areas of the day spa for 9
at least three of the service categories offered. 10
(3) The annual fee for this permit is ((one hundred twenty-five 11
dollars)) $187.50. 12
Sec. 3. RCW 66.24.015 and 1988 c 200 s 4 are each amended to 13
read as follows: 14
An application for a new annual retail license under this title 15
shall be accompanied by payment of a nonrefundable ((seventy-five 16
dollar)) $112.50 fee to cover expenses incurred in processing the 17
application. If the application is approved, the application fee 18
shall be applied toward the fee charged for the license.19
Sec. 4. RCW 66.24.035 and 2017 c 96 s 1 are each amended to read 20
as follows: 21
(1) There is a license called a combination spirits, beer, and 22
wine license, to sell wine and beer, including without limitation 23
strong beer, at retail in bottles, cans, and original containers, not 24
to be consumed upon the premises where sold, and to:25
(a) Sell spirits in original containers to consumers for 26
consumption off the licensed premises and to permit holders;27
(b) Sell spirits in original containers to retailers licensed to 28
sell spirits for consumption on the premises, for resale at their 29
licensed premises according to the terms of their licenses, although 30
no single sale may exceed ((twenty-four)) 24 liters; and31
(c) Export spirits. 32
(2) The annual fee for the combination spirits, beer, and wine 33
license is ((three hundred sixteen dollars)) $474 for each store.34
(3) For the purposes of this title, a combination spirits, beer, 35
and wine license is a retail license, and a sale by a combination 36
spirits, beer, and wine licensee is a retail sale only if not for 37
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resale. Nothing in this title authorizes sales by on-premise 1
licensees to other retail licensees. 2
(4)(a) The board may issue a combination spirits, beer, and wine 3
license: 4
(i) For premises comprising at least ((ten thousand )) 10,000 5
square feet of fully enclosed retail space within a single structure, 6
including storerooms and other interior auxiliary areas but excluding 7
covered or fenced exterior areas, whether or not attached to the 8
structure, and only to applicants that the board determines will 9
maintain appropriate systems for inventory management, employee 10
training, employee supervision, and physical security of the product;11
(ii) For premises of a former contract liquor store; or12
(iii) To a holder of former state liquor store operating rights 13
sold at auction under RCW 66.24.620. 14
(b) License issuances and renewals are subject to RCW 66.24.010 15
and the regulations adopted thereunder including, without limitation, 16
rights of cities, towns, county legislative authorities, the public, 17
churches, schools, and public institutions to object to or prevent 18
issuance of local liquor licenses. However, existing grocery and 19
other retail premises over ((ten thousand )) 10,000 square feet 20
licensed to sell beer and/or wine are deemed to be premises "now 21
licensed" under RCW 66.24.010(9)(a) for the purpose of processing 22
applications for combination spirits, beer, and wine licenses.23
(c) A retailer authorized to sell spirits for consumption on or 24
off the licensed premises may accept delivery of spirits and deliver 25
spirits in the same manner as is provided in RCW 66.24.630(3)(d).26
(d) For purposes of negotiating volume discounts of spirits, a 27
group of individual retailers authorized to sell spirits for 28
consumption off the licensed premises may accept delivery of spirits 29
as provided in RCW 66.24.630(3)(e). 30
(5) Each combination spirits, beer, and wine licensee must pay to 31
the board, for deposit into the liquor revolving fund, a license 32
issuance fee equivalent to the license issuance fee imposed on 33
licensees selling spirits pursuant to RCW 66.24.630(4)(a).34
(6) The board may not issue a combined spirits, beer, and wine 35
license to an applicant if the applicant would qualify for a 36
restricted license as provided in RCW 66.24.371(4) or 66.24.360(7) if 37
the applicant had applied for a license under RCW 66.24.371 or 38
66.24.360 instead of pursuant to this section. 39
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(7) As a condition to receiving and renewing a combination 1
spirits, beer, and wine license the licensee must comply with RCW 2
66.24.630(6). 3
(8) The maximum penalties prescribed by the board in WAC 4
314-29-020 through 314-29-040 relating to fines and suspensions are 5
doubled for violations relating to the sale of spirits by combination 6
spirits, beer, and wine licensees. 7
(9)(a) A combination spirits, beer, and wine licensee that joins 8
the responsible vendor program developed by the board pursuant to RCW 9
66.24.630(8) and maintains all of the program's requirements is not 10
subject to the doubling of penalties provided in this section for a 11
single violation in any period of ((twelve)) 12 calendar months.12
(b) To participate in the responsible vendor program, a 13
combination spirits, beer, and wine licensee must submit an 14
application form to the board. If the application establishes that 15
the combination spirits, beer, and wine licensee meets the 16
qualifications to join the program, the board must send the licensee 17
a membership certificate. 18
(c) A combination spirits, beer, and wine licensee participating 19
in the responsible vendor program must meet the requirements in RCW 20
66.24.630(8)(e) and comply with board rules adopted to implement RCW 21
66.24.630(8). 22
(10)(a) Any endorsement available to the holder of a license 23
issued pursuant to RCW 66.24.360 or 66.24.371 is available, upon 24
board approval and pursuant to board rules, to a combination spirits, 25
beer, and wine licensee, provided that the combination spirits, beer, 26
and wine licensee would qualify for a license and the endorsement 27
under RCW 66.24.360 or 66.24.371, as applicable, had the licensee 28
applied for a license and endorsement pursuant to RCW 66.24.360, 29
66.24.363, or 66.24.371, as applicable, instead of the combination 30
spirits, beer, and wine license pursuant to this section. A 31
combination spirits, beer, and wine licensee with an endorsement 32
issued pursuant to this subsection must comply with the requirements 33
of the endorsement to the same extent as if the endorsement was 34
issued pursuant to RCW 66.24.360, 66.24.363, or 66.24.371, as 35
applicable. 36
(b) A combination spirits, beer, and wine licensee may conduct 37
sampling in accordance with: 38
(i) RCW 66.24.371(2) if the combination spirits, beer, and wine 39
licensee would qualify for a license under RCW 66.24.371; or40
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(ii) RCW 66.24.363 if the combination spirits, beer, and wine 1
licensee would qualify for a license under RCW 66.24.360.2
(11) Licensees holding a combination spirits, beer, and wine 3
license must maintain either: 4
(a) A minimum ((three thousand dollar )) $3,000 inventory of food 5
products for human consumption, not including pop, beer, strong beer, 6
wine, or spirits; or 7
(b) A minimum ((three thousand dollar )) $3,000 wholesale 8
inventory of beer, strong beer, and/or wine. 9
(12) A combination spirits, beer, and wine licensee holding a 10
snack bar license under RCW 66.24.350 may receive an endorsement to 11
allow the sale of confections containing more than one percent but 12
not more than ((ten)) 10 percent alcohol by weight to persons 13
((twenty-one)) 21 years of age or older. 14
(13) The board may adopt rules to implement this section.15
Sec. 5. RCW 66.24.055 and 2013 2nd sp.s. c 12 s 1 are each 16
amended to read as follows: 17
(1) There is a license for spirits distributors to (a) sell 18
spirits purchased from manufacturers, distillers, or suppliers 19
including, without limitation, licensed Washington distilleries, 20
licensed spirits importers, other Washington spirits distributors, or 21
suppliers of foreign spirits located outside of the United States, to 22
spirits retailers including, without limitation, spirits retail 23
licensees, special occasion license holders, interstate common 24
carrier license holders, restaurant spirits retailer license holders, 25
spirits, beer, and wine private club license holders, hotel license 26
holders, sports entertainment facility license holders, and spirits, 27
beer, and wine nightclub license holders, and to other spirits 28
distributors; and (b) export the same from the state.29
(2) ((By January 1, 2012, the board must issue spirits 30
distributor licenses to all applicants who, upon December 8, 2011, 31
have the right to purchase spirits from a spirits manufacturer, 32
spirits distiller, or other spirits supplier for resale in the state, 33
or are agents of such supplier authorized to sell to licensees in the 34
state, unless the board determines that issuance of a license to such 35
applicant is not in the public interest.36
(3)))(a) As limited by (b) of this subsection ((and subject to 37
(c) of this subsection )), each spirits distributor licensee must pay 38
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to the board, for deposit into the liquor revolving fund, a license 1
issuance fee calculated as follows: 2
(i) In each of the first ((twenty-seven)) 27 months of licensure, 3
((ten)) 10 percent of the total revenue from all the licensee's sales 4
of spirits made during the month for which the fee is due, 5
respectively; and 6
(ii) In the ((twenty-eighth)) 28th month of licensure and each 7
month thereafter, five percent of the total revenue from all the 8
licensee's sales of spirits made during the month for which the fee 9
is due, respectively. 10
(b) The fee required under this subsection (((3))) (2) is 11
calculated only on sales of items which the licensee was the first 12
spirits distributor in the state to have received:13
(i) In the case of spirits manufactured in the state, from the 14
distiller; or 15
(ii) In the case of spirits manufactured outside the state, from 16
an authorized out-of-state supplier. 17
(c) ((By March 31, 2013, all persons holding spirits distributor 18
licenses on or before March 31, 2013, must have paid collectively one 19
hundred fifty million dollars or more in spirits distributor license 20
fees. If the collective payment through March 31, 2013, totals less 21
than one hundred fifty million dollars, the board must, according to 22
rules adopted by the board for the purpose, collect by May 31, 2013, 23
as additional spirits distributor license fees the difference between 24
one hundred fifty million dollars and the actual receipts, allocated 25
among persons holding spirits distributor licenses at any time on or 26
before March 31, 2013, ratably according to their spirits sales made 27
during calendar year 2012. Any amount by which such payments exceed 28
one hundred fifty million dollars by March 31, 2013, must be credited 29
to future license issuance fee obligations of spirits distributor 30
licensees according to rules adopted by the board.31
(d))) A retail licensee selling for resale must pay a distributor 32
license fee under the terms and conditions in this section on resales 33
of spirits the licensee has purchased on which no other distributor 34
license fee has been paid. The board must establish rules setting 35
forth the frequency and timing of such payments and reporting of 36
sales dollar volume by the licensee, with payments due quarterly in 37
arrears. 38
(((e))) (d) No spirits inventory may be subject to calculation of 39
more than a single spirits distributor license issuance fee.40
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(((4))) (3) In addition to the payment set forth in subsection 1
(((3))) (2) of this section, each spirits distributor licensee 2
renewing its annual license must pay an annual license renewal fee of 3
((one thousand three hundred twenty dollars )) $1,980 for each 4
licensed location. 5
(((5))) (4) There is no minimum facility size or capacity for 6
spirits distributor licenses, and no limit on the number of such 7
licenses issued to qualified applicants. License applicants must 8
provide physical security of the product that is substantially as 9
effective as the physical security of the distribution facilities 10
currently operated by the board with respect to preventing pilferage. 11
License issuances and renewals are subject to RCW 66.24.010 and the 12
regulations promulgated thereunder, including without limitation 13
rights of cities, towns, county legislative authorities, the public, 14
churches, schools, and public institutions to object to or prevent 15
issuance of local liquor licenses. However, existing distributor 16
premises licensed to sell beer and/or wine are deemed to be premises 17
"now licensed" under RCW 66.24.010(9)(a) for the purpose of 18
processing applications for spirits distributor licenses.19
Sec. 6. RCW 66.24.140 and 2021 c 6 s 1 are each amended to read 20
as follows: 21
(1) There is a license to distillers, including blending, 22
rectifying, and bottling; fee ((two thousand dollars )) $3,000 per 23
annum, unless provided otherwise as follows: 24
(a) For distillers producing ((one hundred fifty thousand )) 25
150,000 gallons or less of spirits with at least half of the raw 26
materials used in the production grown in Washington, the license fee 27
must be reduced to ((one hundred dollars)) $150 per annum;28
(b) The board must license stills used and to be used solely and 29
only by a commercial chemist for laboratory purposes, and not for the 30
manufacture of liquor for sale, at a fee of ((twenty dollars )) $30 31
per annum; 32
(c) The board must license stills used and to be used solely and 33
only for laboratory purposes in any school, college, or educational 34
institution in the state, without fee; and35
(d) The board must license stills that have been duly licensed as 36
fruit and/or wine distilleries by the federal government, used and to 37
be used solely as fruit and/or wine distilleries in the production of 38
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fruit brandy and wine spirits, at a fee of ((two hundred dollars )) 1
$300 per annum((;2
(e) The annual fees in this subsection (1) are waived during the 3
12-month period beginning with the second calendar month after 4
February 28, 2021, for:5
(i) Licenses that expire during the 12-month waiver period under 6
this subsection (1)(e); and7
(ii) Licenses issued to persons previously licensed under this 8
section at any time during the 12-month period prior to the 12-month 9
waiver period under this subsection (1)(e);10
(f) The waivers in (e) of this subsection do not apply to any 11
licensee that:12
(i) Had their license suspended by the board for health and 13
safety violations of state COVID-19 guidelines; or14
(ii) Received an order of immediate restraint or citation from 15
the department of labor and industries for allowing an employee to 16
perform work where business activity was prohibited in violation of 17
an emergency proclamation of the governor under RCW 43.06.220; and18
(g) Upon request of the department of revenue, the board and the 19
department of labor and industries must both provide a list of 20
persons that they have determined to be ineligible for a fee waiver 21
under (e) of this subsection for the reasons described in (f) of this 22
subsection. Unless otherwise agreed, any list must be received by the 23
department of revenue no later than 15 calendar days after the 24
request is made)). 25
(2) Any distillery licensed under this section may:26
(a) Sell, for off-premises consumption, spirits of the 27
distillery's own production, spirits produced by another distillery 28
or craft distillery licensed in this state, or vermouth or sparkling 29
wine products produced by a licensee in this state. A distillery 30
selling spirits or other alcohol authorized under this subsection 31
must comply with the applicable laws and rules relating to retailers 32
for those products; 33
(b) Contract distilled spirits for, and sell contract distilled 34
spirits to, holders of distillers' or manufacturers' licenses, 35
including licenses issued under RCW 66.24.520, or for export; and36
(c) Serve samples of spirits for free or for a charge, and sell 37
servings of spirits, vermouth, and sparkling wine to customers for 38
on-premises consumption, at the premises of the distillery indoors, 39
outdoors, or in any combination thereof, and at the distillery's off-40
p. 14 SB 5786
site tasting rooms in accordance with this chapter, subject to the 1
following conditions: 2
(i) A distillery may provide to customers, for free or for a 3
charge, for on-premises consumption, spirits samples that are ((one-4
half)) .5 ounce or less per sample of spirits, and that may be 5
adulterated with water, ice, other alcohol entitled to be served or 6
sold on the licensed premises under this section, or nonalcoholic 7
mixers; 8
(ii) A distillery may sell, for on-premises consumption, servings 9
of spirits of the distillery's own production or spirits produced by 10
another distillery or craft distillery licensed in this state, which 11
must be adulterated with water, ice, other alcohol entitled to be 12
sold or served on the licensed premises, or nonalcoholic mixers if 13
the revenue derived from the sale of spirits for on-premises 14
consumption under this subsection (2)(c)(ii) does not comprise more 15
than ((thirty)) 30 percent of the overall gross revenue earned in the 16
tasting room during the calendar year. Any distiller who sells 17
adulterated products under this subsection, must file an annual 18
report with the board that summarizes the distiller's revenue 19
sources; and 20
(iii) A distillery may sell, for on-premises consumption, 21
servings of vermouth or sparkling wine products produced by a 22
licensee in this state. 23
(3)(a) If a distillery provides or sells spirits or other alcohol 24
products authorized to be sold or provided to customers for on-25
premises or off-premises consumption that are produced by another 26
distillery, craft distillery, or licensee in this state, then at any 27
one time no more than ((twenty-five)) 25 percent of the alcohol 28
stock-keeping units offered or sold by the distillery at its 29
distillery premises and at any off-site tasting rooms licensed under 30
RCW 66.24.146 may be vermouth, sparkling wine, or spirits made by 31
another distillery, craft distillery, or licensee in this state. If a 32
distillery sells fewer than ((twenty)) 20 alcohol stock-keeping units 33
of products of its own production, it may sell up to five alcohol 34
stock-keeping units of vermouth, sparkling wine, or spirits produced 35
by another distillery, craft distillery, or licensee in this state.36
(b) A person is limited to receiving or purchasing, for on-37
premises consumption, no more than two ounces total of spirits that 38
are unadulterated. Any additional spirits purchased for on-premises 39
consumption must be adulterated as authorized in this section.40
p. 15 SB 5786
(c)(i) No person under ((twenty-one)) 21 years of age may be on 1
the premises of a distillery tasting room, including an off-site 2
tasting room licensed under RCW 66.24.146, unless they are 3
accompanied by their parent or legal guardian. 4
(ii) Every distillery tasting room, including the off-site 5
tasting rooms licensed under RCW 66.24.146, where alcohol is sampled, 6
sold, or served, must include a designated area where persons under 7
((twenty-one)) 21 years of age are allowed to enter. Such location 8
may be in a separate room or a designated area within the tasting 9
room separated from the remainder of the tasting room space as 10
authorized by the board. 11
(iii) Except for (c)(iv) of this subsection, or an event where a 12
private party has secured a private banquet permit, no person under 13
((twenty-one)) 21 years of age may be on the distillery premises, or 14
the off-site tasting rooms licensed under RCW 66.24.146, past 9:00 15
p.m. 16
(iv) Notwithstanding the limitations of (c)(iii) of this 17
subsection, persons under ((twenty-one)) 21 years of age who are 18
children of owners, operators, or managers of a distillery or an off-19
site tasting room licensed under RCW 66.24.146, may be in any area of 20
a distillery, tasting room, or an off-site tasting room licensed 21
under RCW 66.24.146, provided they must be under the direct 22
supervision of their parent or legal guardian while on the premises.23
(d) Any person serving or selling spirits or other alcohol 24
authorized to be served or sold by a distillery must obtain a class 25
12 alcohol server permit. 26
(e) A distillery may sell nonalcoholic products at retail.27
Sec. 7. RCW 66.24.146 and 2021 c 6 s 2 are each amended to read 28
as follows: 29
(1) There is a tasting room license available to distillery and 30
craft distillery licensees. A tasting room license authorizes the 31
operation of an off-site tasting room, in addition to a tasting room 32
attached to the distillery's or craft distillery's production 33
facility, at which the licensee may sample, serve, and sell spirits 34
and alcohol products authorized to be sampled, served, and sold under 35
RCW 66.24.140 and 66.24.145, for on-premises and off-premises 36
consumption, subject to the same limitations as provided in RCW 37
66.24.140 and 66.24.145. 38
p. 16 SB 5786
(2)(((a))) A distillery or craft distillery licensed production 1
facility is eligible for no more than two off-site tasting room 2
licenses located in this state, which may be indoors, or outdoors or 3
a combination thereof, and which shall be administratively tied to a 4
licensed production facility. A separate license is required for the 5
operation of each off-site tasting room. The fee for each off-site 6
tasting room license is ((two thousand dollars)) $3,000 per annum. No 7
additional license is required for a distillery or craft distillery 8
to sample, serve, and sell spirits and alcohol to customers in a 9
tasting room on the distillery or craft distillery premises as 10
authorized under this section, RCW 66.24.1472, 66.24.140, 66.24.145, 11
66.28.040, 66.24.630, and 66.28.310. Off-site tasting rooms may have 12
a section identified and segregated as federally bonded spaces for 13
the storage of bulk or packaged spirits. Product of the licensee's 14
production may be bottled or packaged in the space.15
(((b) The annual fee in (a) of this subsection is waived during 16
the 12-month period beginning with the second calendar month after 17
February 28, 2021, for:18
(i) Licenses that expire during the 12-month waiver period under 19
this subsection (2)(b); and20
(ii) Licenses issued to persons previously licensed under this 21
section at any time during the 12-month period prior to the 12-month 22
waiver period under this subsection (2)(b).23
(c) The waiver in (b) of this subsection does not apply to any 24
licensee that:25
(i) Had their license suspended by the board for health and 26
safety violations of state COVID-19 guidelines; or27
(ii) Received an order of immediate restraint or citation from 28
the department of labor and industries for allowing an employee to 29
perform work where business activity was prohibited in violation of 30
an emergency proclamation of the governor under RCW 43.06.220.31
(d) Upon request of the department of revenue, the board and the 32
department of labor and industries must both provide a list of 33
persons that they have determined to be ineligible for a fee waiver 34
under (b) of this subsection for the reasons described in (c) of this 35
subsection. Unless otherwise agreed, any list must be received by the 36
department of revenue no later than 15 calendar days after the 37
request is made.))38
p. 17 SB 5786
Sec. 8. RCW 66.24.150 and 2019 c 156 s 1 are each amended to 1
read as follows: 2
(1) There shall be a license to manufacturers of liquor, 3
including all kinds of manufacturers except those licensed as 4
distillers, domestic brewers, microbreweries, wineries, and domestic 5
wineries, authorizing such licensees to manufacture, import, sell, 6
and export liquor from the state; fee ((five hundred dollars )) $750 7
per annum. 8
(2) Manufacturers licensed under this section may contract with 9
licensed liquor distillers, craft distillers, domestic brewers, 10
microbreweries, wineries, and domestic wineries to provide packaging 11
services that include, but are not limited to: 12
(a) Canning, bottling, and bagging of alcoholic beverages;13
(b) Mixing products before packaging; and 14
(c) Receiving and returning products to the originating liquor 15
licensed businesses as part of a contract. 16
(3) Holders of a manufacturer's license: 17
(a) May contract with other nonliquor licensed businesses if the 18
contract does not include alcohol products; 19
(b) May not contract directly or indirectly with any retail 20
liquor licensee for the sale of alcohol products, unless they are 21
medicinal, culinary, or toilet preparations not usable as beverages, 22
as described in RCW 66.12.070; 23
(c) May not engage in direct liquor sales to retail liquor 24
licensees, except for the sale of alcohol products described in RCW 25
66.12.070; and 26
(d) May not mix or infuse THC, CBD, or any other cannabinoid into 27
any products containing alcohol. 28
Sec. 9. RCW 66.24.160 and 2012 c 2 s 207 are each amended to 29
read as follows: 30
A spirits importer's license may be issued to any qualified 31
person, firm or corporation, entitling the holder thereof to import 32
into the state any liquor other than beer or wine; to store the same 33
within the state, and to sell and export the same from the state; fee 34
((six hundred dollars )) $900 per annum. Such spirits importer's 35
license is subject to all conditions and restrictions imposed by this 36
title or by the rules and regulations of the board, and is issued 37
only upon such terms and conditions as may be imposed by the board.38
p. 18 SB 5786
Sec. 10. RCW 66.24.165 and 2020 c 210 s 1 are each amended to 1
read as follows: 2
(1) There is a retail license to be designated as the local wine 3
industry association license to be issued to a nonprofit society or 4
organization specifically created with the express purpose of 5
encouraging consumer education of and promoting the economic 6
development for a designated area of the Washington state wine 7
industry. 8
(2) The local wine industry association licensee may purchase or 9
receive donations of wine from domestic winery licensees and 10
certificate of approval holders and use such wine for promotional or 11
marketing purposes. Events or marketing programs conducted by the 12
local wine industry association licensee may be held on domestic 13
winery premises, including the premises of additional locations 14
authorized under RCW 66.24.170(4), as long as the domestic winery and 15
the local wine industry association licensee each separately account 16
for the sales of its wine. Domestic wineries and additional locations 17
authorized under RCW 66.24.170(4) are not subject to the restrictions 18
of RCW 66.28.305, but only while participating in an event or 19
marketing program conducted by the holder of this license.20
(3) The holder of the local wine industry association license 21
must notify the board of any event or marketing program conducted 22
under the license at least ((forty-five)) 45 days before the event or 23
start of the marketing program. 24
(4) The annual fee for the local wine industry association 25
license is ((seven hundred dollars)) $1,050 per calendar year.26
(5) Nothing in this section prohibits the holder of the local 27
wine industry association license access to the special occasion 28
license under RCW 66.24.380 or special permits under RCW 66.20.010.29
(6) Wine furnished to a nonprofit society under this section is 30
subject to the taxes imposed under RCW 66.24.210. 31
(7) A licensee under this section may conduct no more than 32
((twelve)) 12 events per year. 33
(8) All licensees participating in an event or marketing program 34
conducted under a license issued under this section are jointly 35
responsible for any violation or enforcement issues arising out of 36
the event or marketing program unless it can be demonstrated that the 37
violation or enforcement issue was due to one or more licensee's 38
specific conduct or action, in which case the violation or 39
enforcement issue applies only to those identified licensees.40
p. 19 SB 5786
Sec. 11. RCW 66.24.170 and 2021 c 6 s 3 are each amended to read 1
as follows: 2
(1)(((a))) There is a license for domestic wineries; fee to be 3
computed only on the liters manufactured: Less than ((two hundred 4
fifty thousand )) 250,000 liters per year, ((one hundred dollars )) 5
$150 per year; and ((two hundred fifty thousand )) 250,000 liters or 6
more per year, ((four hundred dollars)) $600 per year.7
(((b) The annual fees in (a) of this subsection are waived during 8
the 12-month period beginning with the second calendar month after 9
February 28, 2021, for:10
(i) Licenses that expire during the 12-month waiver period under 11
this subsection (1)(b); and12
(ii) Licenses issued to persons previously licensed under this 13
section at any time during the 12-month period prior to the 12-month 14
waiver period under this subsection (1)(b).15
(c) The waivers in (b) of this subsection do not apply to any 16
licensee that:17
(i) Had their license suspended by the board for health and 18
safety violations of state COVID-19 guidelines; or19
(ii) Received an order of immediate restraint or citation from 20
the department of labor and industries for allowing an employee to 21
perform work where business activity was prohibited in violation of 22
an emergency proclamation of the governor under RCW 43.06.220.23
(d) Upon request of the department of revenue, the board and the 24
department of labor and industries must both provide a list of 25
persons that they have determined to be ineligible for a fee waiver 26
under (b) of this subsection for the reasons described in (c) of this 27
subsection. Unless otherwise agreed, any list must be received by the 28
department of revenue no later than 15 calendar days after the 29
request is made.))30
(2) The license allows for the manufacture of wine in Washington 31
state from grapes or other agricultural products. 32
(3) Any domestic winery licensed under this section may also act 33
as a retailer of wine of its own production. Any domestic winery 34
licensed under this section may act as a distributor of its own 35
production. Notwithstanding any language in this title to the 36
contrary, a domestic winery may use a common carrier to deliver up to 37
((one hundred )) 100 cases of its own production, in the aggregate, 38
per month to licensed Washington retailers. A domestic winery may not 39
arrange for any such common carrier shipments to licensed retailers 40
p. 20 SB 5786
of wine not of its own production. Except as provided in this 1
section, any winery operating as a distributor and/or retailer under 2
this subsection must comply with the applicable laws and rules 3
relating to distributors and/or retailers, except that a winery 4
operating as a distributor may maintain a warehouse off the premises 5
of the winery for the distribution of wine of its own production 6
provided that: (a) The warehouse has been approved by the board under 7
RCW 66.24.010; and (b) the number of warehouses off the premises of 8
the winery does not exceed one. 9
(4)(a) A domestic winery licensed under this section, at 10
locations separate from any of its production or manufacturing sites, 11
may serve samples of its own products, with or without charge, may 12
sell wine of its own production at retail, and may sell for off-13
premises consumption wines of its own production in kegs or sanitary 14
containers meeting the applicable requirements of federal law brought 15
to the premises by the purchaser or furnished by the licensee and 16
filled at the tap at the time of sale, provided that: (i) Each 17
additional location has been approved by the board under RCW 18
66.24.010; (ii) the total number of additional locations does not 19
exceed four; (iii) a winery may not act as a distributor at any such 20
additional location; and (iv) any person selling or serving wine at 21
an additional location for on-premises consumption must obtain a 22
class 12 or class 13 alcohol server permit. Each additional location 23
is deemed to be part of the winery license for the purpose of this 24
title. At additional locations operated by multiple wineries under 25
this section, if the board cannot connect a violation of RCW 26
66.44.200 or 66.44.270 to a single licensee, the board may hold all 27
licensees operating the additional location jointly liable. Nothing 28
in this subsection may be construed to prevent a domestic winery from 29
holding multiple domestic winery licenses. 30
(b) A customer of a domestic winery may remove from the premises 31
of the domestic winery or from a tasting room location approved under 32
(a) of this subsection, recorked or recapped in its original 33
container, any portion of wine purchased for on-premises consumption.34
(5)(a) A domestic winery licensed under this section may apply to 35
the board for an endorsement to sell wine of its own production at 36
retail for off-premises consumption at a qualifying farmers market. 37
The annual fee for this endorsement is ((seventy-five dollars )) 38
$112.50. An endorsement issued pursuant to this subsection does not 39
p. 21 SB 5786
count toward the four additional retail locations limit specified in 1
this section. 2
(b) For each month during which a domestic winery will sell wine 3
at a qualifying farmers market, the winery must provide the board or 4
its designee a list of the dates, times, and locations at which 5
bottled wine may be offered for sale. This list must be received by 6
the board before the winery may offer wine for sale at a qualifying 7
farmers market. 8
(c) The wine sold at qualifying farmers markets must be made 9
entirely from grapes grown in a recognized Washington appellation or 10
from other agricultural products grown in this state.11
(d) Each approved location in a qualifying farmers market is 12
deemed to be part of the winery license for the purpose of this 13
title. The approved locations under an endorsement granted under this 14
subsection include tasting or sampling privileges subject to the 15
conditions pursuant to RCW 66.24.175. The winery may not store wine 16
at a farmers market beyond the hours that the winery offers bottled 17
wine for sale. The winery may not act as a distributor from a farmers 18
market location. 19
(e) Before a winery may sell bottled wine at a qualifying farmers 20
market, the farmers market must apply to the board for authorization 21
for any winery with an endorsement approved under this subsection to 22
sell bottled wine at retail at the farmers market. This application 23
shall include, at a minimum: (i) A map of the farmers market showing 24
all booths, stalls, or other designated locations at which an 25
approved winery may sell bottled wine; and (ii) the name and contact 26
information for the on-site market managers who may be contacted by 27
the board or its designee to verify the locations at which bottled 28
wine may be sold. Before authorizing a qualifying farmers market to 29
allow an approved winery to sell bottled wine at retail at its 30
farmers market location, the board must notify the persons or 31
entities of such application for authorization pursuant to RCW 32
66.24.010 (8) and (9). An authorization granted under this subsection 33
(5)(e) may be withdrawn by the board for any violation of this title 34
or any rules adopted under this title. 35
(f) The board may adopt rules establishing the application and 36
approval process under this section and such additional rules as may 37
be necessary to implement this section. 38
(g) For the purposes of this subsection: 39
p. 22 SB 5786
(i) "Qualifying farmers market" means an entity that sponsors a 1
regular assembly of vendors at a defined location for the purpose of 2
promoting the sale of agricultural products grown or produced in this 3
state directly to the consumer under conditions that meet the 4
following minimum requirements: 5
(A) There are at least five participating vendors who are farmers 6
selling their own agricultural products; 7
(B) The total combined gross annual sales of vendors who are 8
farmers exceeds the total combined gross annual sales of vendors who 9
are processors or resellers. However, if a farmers market does not 10
satisfy this subsection (5)(g)(i)(B), a farmers market is still 11
considered a "qualifying farmers market" if the total combined gross 12
annual sales of farmers and processors at the farmers market is ((one 13
million dollars)) $1,000,000 or more; 14
(C) The total combined gross annual sales of vendors who are 15
farmers, processors, or resellers exceeds the total combined gross 16
annual sales of vendors who are not farmers, processors, or 17
resellers; 18
(D) The sale of imported items and secondhand items by any vendor 19
is prohibited; and 20
(E) No vendor is a franchisee. 21
(ii) "Farmer" means a natural person who sells, with or without 22
processing, agricultural products that he or she raises on land he or 23
she owns or leases in this state or in another state's county that 24
borders this state. 25
(iii) "Processor" means a natural person who sells processed food 26
that he or she has personally prepared on land he or she owns or 27
leases in this state or in another state's county that borders this 28
state. 29
(iv) "Reseller" means a natural person who buys agricultural 30
products from a farmer and resells the products directly to the 31
consumer. 32
(6) Wine produced in Washington state by a domestic winery 33
licensee may be shipped out-of-state for the purpose of making it 34
into sparkling wine and then returned to such licensee for resale. 35
Such wine is deemed wine manufactured in the state of Washington for 36
the purposes of RCW 66.24.206, and shall not require a special 37
license. 38
(7) During an event held by a nonprofit holding a special 39
occasion license issued under RCW 66.24.380, a domestic winery 40
p. 23 SB 5786
licensed under this section may take orders, either in writing or 1
electronically, and accept payment for wines of its own production 2
under the following conditions: 3
(a) Wine produced by the domestic winery may be served for on-4
premises consumption by the special occasion licensee;5
(b) The domestic winery delivers wine to the consumer on a date 6
after the conclusion of the special occasion event;7
(c) The domestic winery delivers wine to the consumer at a 8
location different from the location at which the special occasion 9
event is held; 10
(d) The domestic winery complies with all requirements in chapter 11
66.20 RCW for direct sale of wine to consumers; 12
(e) The wine is not sold for resale; and 13
(f) The domestic winery is entitled to all proceeds from the sale 14
and delivery of its wine to a consumer after the conclusion of the 15
special occasion event, but may enter into an agreement to share a 16
portion of the proceeds of these sales with the special occasion 17
licensee licensed under RCW 66.24.380. 18
Sec. 12. RCW 66.24.179 and 2016 c 190 s 1 are each amended to 19
read as follows: 20
(1) There is a wine retailer reseller endorsement to a beer 21
and/or wine specialty shop license issued under RCW 66.24.371, to 22
sell wine at retail in original containers to retailers licensed to 23
sell wine for consumption on the premises, for resale at their 24
licensed premises according to the terms of the license. However, no 25
single sale may exceed ((twenty-four)) 24 liters, unless the sale is 26
made by a licensee that was a former state liquor store or contract 27
liquor store at the location from which such sales are made. For the 28
purposes of this title, a beer and/or wine specialty shop license is 29
a retail license, and a sale by a beer and/or wine specialty shop 30
license with a reseller endorsement is a retail sale only if not for 31
resale. The annual fee for the wine retailer reseller endorsement is 32
((one hundred ten dollars)) $165 for each store. 33
(2) A beer and/or wine specialty shop licensee with a wine 34
retailer reseller endorsement issued under this section may accept 35
delivery of wine at its licensed premises or at one or more warehouse 36
facilities registered with the board, which facilities may also 37
warehouse and distribute nonliquor items, and from which it may 38
deliver to its own licensed premises and, pursuant to sales permitted 39
p. 24 SB 5786
by this title, to other licensed premises, to other registered 1
facilities, or to lawful purchasers outside the state. Facilities may 2
be registered and utilized by associations, cooperatives, or 3
comparable groups of beer and/or wine specialty shop licensees.4
(3) A beer and/or wine specialty shop licensee, selling wine 5
under the endorsement created in this section, may sell a maximum of 6
((five thousand )) 5,000 liters of wine per day for resale to 7
retailers licensed to sell wine for consumption on the premises.8
Sec. 13. RCW 66.24.185 and 2008 c 41 s 4 are each amended to 9
read as follows: 10
(1) There shall be a license for bonded wine warehouses which 11
shall authorize the storage and handling of bottled wine. Under this 12
license a licensee may maintain a warehouse for the storage of wine 13
off the premises of a winery. 14
(2) The board shall adopt similar qualifications for a bonded 15
wine warehouse license as required for obtaining a domestic winery 16
license as specified in RCW 66.24.010 and 66.24.170. A licensee must 17
be a sole proprietor, a partnership, a limited liability company, or 18
a corporation. One or more domestic wineries may operate as a 19
partnership, corporation, business co-op, or agricultural co-op for 20
the purposes of obtaining a bonded wine warehouse license.21
(3) All bottled wine shipped to a bonded wine warehouse from a 22
winery or another bonded wine warehouse shall remain under bond and 23
no tax imposed under RCW 66.24.210 shall be due, unless the wine is 24
removed from bond and shipped to a licensed Washington wine 25
distributor. Wine may be removed from a bonded wine warehouse only 26
for the purpose of being (a) exported from the state, (b) shipped to 27
a licensed Washington wine distributor, (c) returned to a winery or 28
bonded wine warehouse, or (([(d)])) (d) shipped to a consumer 29
pursuant to RCW 66.20.360 through 66.20.390. 30
(4) Warehousing of wine by any person other than (a) a licensed 31
domestic winery or a bonded wine warehouse licensed under the 32
provisions of this section, (b) a licensed Washington wine 33
distributor, (c) a licensed Washington wine importer, (d) a wine 34
certificate of approval holder (W7), or (e) the ((liquor control )) 35
board, is prohibited. 36
(5) A license applicant shall hold a federal permit for a bonded 37
wine cellar and may be required to post a continuing wine tax bond of 38
such an amount and in such a form as may be required by the board 39
p. 25 SB 5786
prior to the issuance of a bonded wine warehouse license. The fee for 1
this license shall be ((one hundred dollars)) $150 per annum.2
(6) The board shall adopt rules requiring a bonded wine warehouse 3
to be physically secure, zoned for the intended use and physically 4
separated from any other use. 5
(7) Every licensee shall submit to the board a monthly report of 6
movement of bottled wines to and from a bonded wine warehouse in a 7
form prescribed by the board. The board may adopt other necessary 8
procedures by which bonded wine warehouses are licensed and 9
regulated. 10
(8) Handling of bottled wine, as provided for in this section, 11
includes packaging and repackaging services; bottle labeling 12
services; creating baskets or variety packs that may or may not 13
include nonwine products; and picking, packing, and shipping wine 14
orders direct to consumer. A winery contracting with a bonded wine 15
warehouse for handling bottled wine must comply with all applicable 16
state and federal laws and shall be responsible for financial 17
transactions in direct to consumer shipping activities.18
Sec. 14. RCW 66.24.200 and 2023 c 257 s 2 are each amended to 19
read as follows: 20
There shall be a license for wine distributors to sell wine, 21
purchased from licensed Washington wineries, wine certificate of 22
approval holders, licensed wine importers, or suppliers of foreign 23
wine located outside of the United States, to licensed wine 24
retailers, other wine distributors, and holders of annual special 25
permits issued under RCW 66.20.010(18), and to export the same from 26
the state; fee (($660)) $990 per year for each distributing unit.27
Sec. 15. RCW 66.24.203 and 2004 c 160 s 3 are each amended to 28
read as follows: 29
There shall be a license for wine importers that authorizes the 30
licensee to import wine purchased from certificate of approval 31
holders into the state of Washington. The licensee may also import, 32
from suppliers located outside of the United States, wine 33
manufactured outside the United States. 34
(1) Wine so imported may be sold to licensed wine distributors or 35
exported from the state. 36
(2) Every person, firm, or corporation licensed as a wine 37
importer shall establish and maintain a principal office within the 38
p. 26 SB 5786
state at which shall be kept proper records of all wine imported into 1
the state under this license. 2
(3) No wine importer's license shall be granted to a nonresident 3
of the state nor to a corporation whose principal place of business 4
is outside the state until such applicant has established a principal 5
office and agent within the state upon which service can be made.6
(4) As a requirement for license approval, a wine importer shall 7
enter into a written agreement with the board to furnish on or before 8
the ((twentieth)) 20th day of each month, a report under oath, 9
detailing the quantity of wine sold or delivered to each licensed 10
wine distributor. Failure to file such reports may result in the 11
suspension or cancellation of this license. 12
(5) Wine imported under this license must conform to the 13
provisions of RCW 66.28.110 and have received label approval from the 14
board. The board shall not certify wines labeled with names that may 15
be confused with other nonalcoholic beverages whether manufactured or 16
produced from a domestic winery or imported nor wines that fail to 17
meet quality standards established by the board. 18
(6) The license fee shall be ((one hundred sixty dollars )) $240 19
per year. 20
Sec. 16. RCW 66.24.240 and 2021 c 6 s 4 are each amended to read 21
as follows: 22
(1)(((a))) There shall be a license for domestic breweries; fee 23
to be ((two thousand dollars )) $3,000 for production of ((sixty 24
thousand)) 60,000 barrels or more of malt liquor per year.25
(((b) The annual fee in (a) of this subsection is waived during 26
the 12-month period beginning with the second calendar month after 27
February 28, 2021, for:28
(i) Licenses that expire during the 12-month waiver period under 29
this subsection (1)(b); and30
(ii) Licenses issued to persons previously licensed under this 31
section at any time during the 12-month period prior to the 12-month 32
waiver period under this subsection (1)(b).33
(c) The waiver in (b) of this subsection does not apply to any 34
licensee that:35
(i) Had their license suspended by the board for health and 36
safety violations of state COVID-19 guidelines; or37
(ii) Received an order of immediate restraint or citation from 38
the department of labor and industries for allowing an employee to 39
p. 27 SB 5786
perform work where business activity was prohibited in violation of 1
an emergency proclamation of the governor under RCW 43.06.220.2
(d) Upon request of the department of revenue, the board and the 3
department of labor and industries must both provide a list of 4
persons that they have determined to be ineligible for a fee waiver 5
under (b) of this subsection for the reasons described in (c) of this 6
subsection. Unless otherwise agreed, any list must be received by the 7
department of revenue no later than 15 calendar days after the 8
request is made.))9
(2) Any domestic brewery, except for a brand owner of malt 10
beverages under RCW 66.04.010(7), licensed under this section may 11
also act as a distributor and/or retailer for beer of its own 12
production. Any domestic brewery operating as a distributor and/or 13
retailer under this subsection shall comply with the applicable laws 14
and rules relating to distributors and/or retailers. A domestic 15
brewery holding a spirits, beer, and wine restaurant license may sell 16
beer of its own production for off-premises consumption from its 17
restaurant premises in kegs or in a sanitary container brought to the 18
premises by the purchaser or furnished by the licensee and filled at 19
the tap by the licensee at the time of sale. 20
(3) Any domestic brewery licensed under this section may also 21
sell beer produced by another domestic brewery or a microbrewery for 22
on and off-premises consumption from its premises as long as the 23
other breweries' brands do not exceed ((twenty-five)) 25 percent of 24
the domestic brewery's on-tap offering of its own brands.25
(4) A domestic brewery may hold up to four retail licenses to 26
operate an on or off-premises tavern, beer and/or wine restaurant, 27
spirits, beer, and wine restaurant, or any combination thereof. This 28
retail license is separate from the brewery license. A brewery that 29
holds a tavern license, a spirits, beer, and wine restaurant license, 30
or a beer and/or wine restaurant license shall hold the same 31
privileges and endorsements as permitted under RCW 66.24.320, 32
66.24.330, and 66.24.420. 33
(5) Any domestic brewery licensed under this section may 34
contract-produce beer for a brand owner of malt beverages defined 35
under RCW 66.04.010(7), and this contract-production is not a sale 36
for the purposes of RCW 66.28.170 and 66.28.180. 37
(6)(a) A domestic brewery licensed under this section and 38
qualified for a reduced rate of taxation pursuant to RCW 39
66.24.290(3)(b) may apply to the board for an endorsement to sell 40
p. 28 SB 5786
bottled beer of its own production at retail for off-premises 1
consumption at a qualifying farmers market. The annual fee for this 2
endorsement is ((seventy-five dollars)) $112.50. 3
(b) For each month during which a domestic brewery will sell beer 4
at a qualifying farmers market, the domestic brewery must provide the 5
board or its designee a list of the dates, times, and locations at 6
which bottled beer may be offered for sale. This list must be 7
received by the board before the domestic brewery may offer beer for 8
sale at a qualifying farmers market. 9
(c) The beer sold at qualifying farmers markets must be produced 10
in Washington. 11
(d) Each approved location in a qualifying farmers market is 12
deemed to be part of the domestic brewery license for the purpose of 13
this title. The approved locations under an endorsement granted under 14
this subsection do not include the tasting or sampling privilege of a 15
domestic brewery. The domestic brewery may not store beer at a 16
farmers market beyond the hours that the domestic brewery offers 17
bottled beer for sale. The domestic brewery may not act as a 18
distributor from a farmers market location. 19
(e) Before a domestic brewery may sell bottled beer at a 20
qualifying farmers market, the farmers market must apply to the board 21
for authorization for any domestic brewery with an endorsement 22
approved under this subsection to sell bottled beer at retail at the 23
farmers market. This application shall include, at a minimum: (i) A 24
map of the farmers market showing all booths, stalls, or other 25
designated locations at which an approved domestic brewery may sell 26
bottled beer; and (ii) the name and contact information for the on-27
site market managers who may be contacted by the board or its 28
designee to verify the locations at which bottled beer may be sold. 29
Before authorizing a qualifying farmers market to allow an approved 30
domestic brewery to sell bottled beer at retail at its farmers market 31
location, the board shall notify the persons or entities of such 32
application for authorization pursuant to RCW 66.24.010 (8) and (9). 33
An authorization granted under this subsection (6)(e) may be 34
withdrawn by the board for any violation of this title or any rules 35
adopted under this title. 36
(f) The board may adopt rules establishing the application and 37
approval process under this section and such additional rules as may 38
be necessary to implement this section. 39
(g) For the purposes of this subsection: 40
p. 29 SB 5786
(i) "Qualifying farmers market" means an entity that sponsors a 1
regular assembly of vendors at a defined location for the purpose of 2
promoting the sale of agricultural products grown or produced in this 3
state directly to the consumer under conditions that meet the 4
following minimum requirements: 5
(A) There are at least five participating vendors who are farmers 6
selling their own agricultural products; 7
(B) The total combined gross annual sales of vendors who are 8
farmers exceeds the total combined gross annual sales of vendors who 9
are processors or resellers; 10
(C) The total combined gross annual sales of vendors who are 11
farmers, processors, or resellers exceeds the total combined gross 12
annual sales of vendors who are not farmers, processors, or 13
resellers; 14
(D) The sale of imported items and secondhand items by any vendor 15
is prohibited; and 16
(E) No vendor is a franchisee. 17
(ii) "Farmer" means a natural person who sells, with or without 18
processing, agricultural products that he or she raises on land he or 19
she owns or leases in this state or in another state's county that 20
borders this state. 21
(iii) "Processor" means a natural person who sells processed food 22
that he or she has personally prepared on land he or she owns or 23
leases in this state or in another state's county that borders this 24
state. 25
(iv) "Reseller" means a natural person who buys agricultural 26
products from a farmer and resells the products directly to the 27
consumer. 28
(7) The state board of health shall adopt rules to allow dogs on 29
the premises of licensed domestic breweries that do not provide food 30
service subject to a food service permit requirement.31
Sec. 17. RCW 66.24.244 and 2021 c 6 s 5 are each amended to read 32
as follows: 33
(1)(((a))) There shall be a license for microbreweries; fee to be 34
((one hundred dollars )) $150 for production of less than ((sixty 35
thousand)) 60,000 barrels of malt liquor, including strong beer, per 36
year. 37
p. 30 SB 5786
(((b) The annual fee in (a) of this subsection is waived during 1
the 12-month period beginning with the second calendar month after 2
February 28, 2021, for:3
(i) Licenses that expire during the 12-month waiver period under 4
this subsection (1)(b); and5
(ii) Licenses issued to persons previously licensed under this 6
section at any time during the 12-month period prior to the 12-month 7
waiver period under this subsection (1)(b).8
(c) The waiver in (b) of this subsection does not apply to any 9
licensee that:10
(i) Had their license suspended by the board for health and 11
safety violations of state COVID-19 guidelines; or12
(ii) Received an order of immediate restraint or citation from 13
the department of labor and industries for allowing an employee to 14
perform work where business activity was prohibited in violation of 15
an emergency proclamation of the governor under RCW 43.06.220.16
(d) Upon request of the department of revenue, the board and the 17
department of labor and industries must both provide a list of 18
persons that they have determined to be ineligible for a fee waiver 19
under (b) of this subsection for the reasons described in (c) of this 20
subsection. Unless otherwise agreed, any list must be received by the 21
department of revenue no later than 15 calendar days after the 22
request is made.))23
(2)(a) Any microbrewery licensed under this section may also act 24
as a distributor and/or retailer for beer and strong beer of its own 25
production. 26
(b) Any microbrewery operating as a distributor and/or retailer 27
under this subsection must comply with the applicable laws and rules 28
relating to distributors and/or retailers, except that a microbrewery 29
operating as a distributor may maintain a warehouse off the premises 30
of the microbrewery for the distribution of beer provided that:31
(i) The warehouse has been approved by the board under RCW 32
66.24.010; and 33
(ii) The number of warehouses off the premises of the 34
microbrewery does not exceed one. 35
(c) A microbrewery holding a spirits, beer, and wine restaurant 36
license may sell beer of its own production for off-premises 37
consumption from its restaurant premises in kegs or in a sanitary 38
container brought to the premises by the purchaser or furnished by 39
p. 31 SB 5786
the licensee and filled at the tap by the licensee at the time of 1
sale. 2
(3) Any microbrewery licensed under this section may also sell 3
from its premises for on-premises and off-premises consumption:4
(a) Beer produced by another microbrewery or a domestic brewery 5
as long as the other breweries' brands do not exceed ((twenty-five)) 6
25 percent of the microbrewery's on-tap offerings; or7
(b) Cider produced by a domestic winery. 8
(4) The board may issue up to four retail licenses allowing a 9
microbrewery to operate an on or off-premises tavern, beer and/or 10
wine restaurant, spirits, beer, and wine restaurant, or any 11
combination thereof. 12
(5) A microbrewery that holds a tavern license, spirits, beer, 13
and wine restaurant license, or a beer and/or wine restaurant license 14
holds the same privileges and endorsements as permitted under RCW 15
66.24.320, 66.24.330, and 66.24.420. 16
(6)(a) A microbrewery licensed under this section may apply to 17
the board for an endorsement to sell bottled beer of its own 18
production at retail for off-premises consumption at a qualifying 19
farmers market. The annual fee for this endorsement is ((seventy-five20
dollars)) $112.50. However, strong beer may not be sold at a farmers 21
market or under any endorsement which may authorize microbreweries to 22
sell beer at farmers markets. 23
(b) For each month during which a microbrewery will sell beer at 24
a qualifying farmers market, the microbrewery must provide the board 25
or its designee a list of the dates, times, and locations at which 26
bottled beer may be offered for sale. This list must be received by 27
the board before the microbrewery may offer beer for sale at a 28
qualifying farmers market. 29
(c) Any person selling or serving beer must obtain a class 12 or 30
class 13 alcohol server permit. 31
(d) The beer sold at qualifying farmers markets must be produced 32
in Washington. 33
(e) Each approved location in a qualifying farmers market is 34
deemed to be part of the microbrewery license for the purpose of this 35
title. The approved locations under an endorsement granted under this 36
subsection (6) include tasting or sampling privileges subject to the 37
conditions pursuant to RCW 66.24.175. The microbrewery may not store 38
beer at a farmers market beyond the hours that the microbrewery 39
p. 32 SB 5786
offers bottled beer for sale. The microbrewery may not act as a 1
distributor from a farmers market location. 2
(f) Before a microbrewery may sell bottled beer at a qualifying 3
farmers market, the farmers market must apply to the board for 4
authorization for any microbrewery with an endorsement approved under 5
this subsection (6) to sell bottled beer at retail at the farmers 6
market. This application must include, at a minimum: (i) A map of the 7
farmers market showing all booths, stalls, or other designated 8
locations at which an approved microbrewery may sell bottled beer; 9
and (ii) the name and contact information for the on-site market 10
managers who may be contacted by the board or its designee to verify 11
the locations at which bottled beer may be sold. Before authorizing a 12
qualifying farmers market to allow an approved microbrewery to sell 13
bottled beer at retail at its farmers market location, the board must 14
notify the persons or entities of the application for authorization 15
pursuant to RCW 66.24.010 (8) and (9). An authorization granted under 16
this subsection (6)(f) may be withdrawn by the board for any 17
violation of this title or any rules adopted under this title.18
(g) The board may adopt rules establishing the application and 19
approval process under this section and any additional rules 20
necessary to implement this section. 21
(h) For the purposes of this subsection (6): 22
(i) "Qualifying farmers market" has the same meaning as defined 23
in RCW 66.24.170. 24
(ii) "Farmer" means a natural person who sells, with or without 25
processing, agricultural products that he or she raises on land he or 26
she owns or leases in this state or in another state's county that 27
borders this state. 28
(iii) "Processor" means a natural person who sells processed food 29
that he or she has personally prepared on land he or she owns or 30
leases in this state or in another state's county that borders this 31
state. 32
(iv) "Reseller" means a natural person who buys agricultural 33
products from a farmer and resells the products directly to the 34
consumer. 35
(7) Any microbrewery licensed under this section may 36
contract-produce beer for another microbrewer. This contract-37
production is not a sale for the purposes of RCW 66.28.170 and 38
66.28.180. 39
p. 33 SB 5786
(8) The state board of health shall adopt rules to allow dogs on 1
the premises of licensed microbreweries that do not provide food 2
service subject to a food service permit requirement.3
Sec. 18. RCW 66.24.250 and 2004 c 160 s 6 are each amended to 4
read as follows: 5
There shall be a license for beer distributors to sell beer and 6
strong beer, purchased from licensed Washington breweries, beer 7
certificate of approval holders, licensed beer importers, or 8
suppliers of foreign beer located outside of the United States, to 9
licensed beer retailers and other beer distributors and to export 10
same from the state of Washington; fee ((six hundred sixty dollars )) 11
$990 per year for each distributing unit. 12
Sec. 19. RCW 66.24.261 and 2004 c 160 s 7 are each amended to 13
read as follows: 14
There shall be a license for beer importers that authorizes the 15
licensee to import beer and strong beer purchased from beer 16
certificate of approval holders into the state of Washington. The 17
licensee may also import, from suppliers located outside of the 18
United States, beer and strong beer manufactured outside the United 19
States. 20
(1) Beer and strong beer so imported may be sold to licensed beer 21
distributors or exported from the state. 22
(2) Every person, firm, or corporation licensed as a beer 23
importer shall establish and maintain a principal office within the 24
state at which shall be kept proper records of all beer and strong 25
beer imported into the state under this license. 26
(3) No beer importer's license shall be granted to a nonresident 27
of the state nor to a corporation whose principal place of business 28
is outside the state until such applicant has established a principal 29
office and agent within the state upon which service can be made.30
(4) As a requirement for license approval, a beer importer shall 31
enter into a written agreement with the board to furnish on or before 32
the ((twentieth)) 20th day of each month, a report under oath, 33
detailing the quantity of beer and strong beer sold or delivered to 34
each licensed beer distributor. Failure to file such reports may 35
result in the suspension or cancellation of this license.36
(5) Beer and strong beer imported under this license must conform 37
to the provisions of RCW 66.28.120 and have received label approval 38
p. 34 SB 5786
from the board. The board shall not certify beer or strong beer 1
labeled with names which may be confused with other nonalcoholic 2
beverages whether manufactured or produced from a domestic brewery or 3
imported nor shall it certify beer or strong beer which fails to meet 4
quality standards established by the board. 5
(6) The license fee shall be ((one hundred sixty dollars )) $240 6
per year. 7
Sec. 20. RCW 66.24.310 and 2012 c 2 s 111 are each amended to 8
read as follows: 9
(1)(a) Except as provided in (b) of this subsection, no person 10
may canvass for, solicit, receive, or take orders for the purchase or 11
sale of liquor, nor contact any licensees of the board in goodwill 12
activities, unless the person is the representative of a licensee or 13
certificate holder authorized by this title to sell liquor for resale 14
in the state and has applied for and received a representative's 15
license. 16
(b) (a) of this subsection does not apply to: (i) Drivers who 17
deliver spirits, beer, or wine; or (ii) domestic wineries or their 18
employees. 19
(2) Every representative's license issued under this title is 20
subject to all conditions and restrictions imposed by this title or 21
by the rules and regulations of the board; the board, for the purpose 22
of maintaining an orderly market, may limit the number of 23
representative's licenses issued for representation of specific 24
classes of eligible employers. 25
(3) Every application for a representative's license must be 26
approved by a holder of a certificate of approval, a licensed beer 27
distributor, a licensed domestic brewer, a licensed beer importer, a 28
licensed microbrewer, a licensed domestic winery, a licensed wine 29
importer, a licensed wine distributor, or by a distiller, 30
manufacturer, importer, or distributor of spirits, or of foreign-31
produced beer or wine, as required by the rules and regulations of 32
the board. 33
(4) The fee for a representative's license is ((twenty-five 34
dollars)) $37.50 per year. 35
Sec. 21. RCW 66.24.320 and 2021 c 6 s 6 are each amended to read 36
as follows: 37
p. 35 SB 5786
There shall be a beer and/or wine restaurant license to sell 1
beer, including strong beer, or wine, or both, at retail, for 2
consumption on the premises. A patron of the licensee may remove from 3
the premises, recorked or recapped in its original container, any 4
portion of wine or sake that was purchased for consumption with a 5
meal. 6
(1)(((a))) The annual fee shall be ((two hundred dollars )) $300 7
for the beer license, ((two hundred dollars )) $300 for the wine 8
license, or ((four hundred dollars )) $600 for a combination beer and 9
wine license. 10
(((b) The annual fees in (a) of this subsection are waived during 11
the 12-month period beginning with the second calendar month after 12
February 28, 2021, for:13
(i) Licenses that expire during the 12-month waiver period under 14
this subsection (1)(b); and15
(ii) Licenses issued to persons previously licensed under this 16
section at any time during the 12-month period prior to the 12-month 17
waiver period under this subsection (1)(b).18
(c) The waivers in (b) of this subsection do not apply to any 19
licensee that:20
(i) Had their license suspended by the board for health and 21
safety violations of state COVID-19 guidelines; or22
(ii) Received an order of immediate restraint or citation from 23
the department of labor and industries for allowing an employee to 24
perform work where business activity was prohibited in violation of 25
an emergency proclamation of the governor under RCW 43.06.220.26
(d) Upon request of the department of revenue, the board and the 27
department of labor and industries must both provide a list of 28
persons that they have determined to be ineligible for a fee waiver 29
under (b) of this subsection for the reasons described in (c) of this 30
subsection. Unless otherwise agreed, any list must be received by the 31
department of revenue no later than 15 calendar days after the 32
request is made.))33
(2)(a) The board may issue a caterer's endorsement to this 34
license to allow the licensee to remove from the liquor stocks at the 35
licensed premises, only those types of liquor that are authorized 36
under the on-premises license privileges for sale and service at 37
event locations at a specified date and, except as provided in 38
subsection (3) of this section, place not currently licensed by the 39
board. If the event is open to the public, it must be sponsored by a 40
p. 36 SB 5786
society or organization as defined by RCW 66.24.375. If attendance at 1
the event is limited to members or invited guests of the sponsoring 2
individual, society, or organization, the requirement that the 3
sponsor must be a society or organization as defined by RCW 66.24.375 4
is waived. Cost of the endorsement is ((three hundred fifty dollars )) 5
$525. 6
(b) The holder of this license with a catering endorsement shall, 7
if requested by the board, notify the board or its designee of the 8
date, time, place, and location of any catered event. Upon request, 9
the licensee shall provide to the board all necessary or requested 10
information concerning the society or organization that will be 11
holding the function at which the endorsed license will be utilized.12
(c) The holder of this license with a caterer's endorsement may, 13
under conditions established by the board, store liquor on the 14
premises of another not licensed by the board so long as there is a 15
written agreement between the licensee and the other party to provide 16
for ongoing catering services, the agreement contains no exclusivity 17
clauses regarding the alcoholic beverages to be served, and the 18
agreement is filed with the board. 19
(d) The holder of this license with a caterer's endorsement may, 20
under conditions established by the board, store liquor on other 21
premises operated by the licensee so long as the other premises are 22
owned or controlled by a leasehold interest by that licensee. A 23
duplicate license may be issued for each additional premises. A 24
license fee of ((twenty dollars )) $30 shall be required for such 25
duplicate licenses. 26
(3) Licensees under this section that hold a caterer's 27
endorsement are allowed to use this endorsement on a domestic winery 28
premises or on the premises of a passenger vessel and may store 29
liquor at such premises under conditions established by the board 30
under the following conditions: 31
(a) Agreements between the domestic winery or the passenger 32
vessel, as the case may be, and the retail licensee shall be in 33
writing, contain no exclusivity clauses regarding the alcoholic 34
beverages to be served, and be filed with the board; and35
(b) The domestic winery or passenger vessel, as the case may be, 36
and the retail licensee shall be separately contracted and 37
compensated by the persons sponsoring the event for their respective 38
services. 39
p. 37 SB 5786
(4) The holder of this license or its manager may furnish beer or 1
wine to the licensee's employees free of charge as may be required 2
for use in connection with instruction on beer and wine. The 3
instruction may include the history, nature, values, and 4
characteristics of beer or wine, the use of wine lists, and the 5
methods of presenting, serving, storing, and handling beer or wine. 6
The beer and/or wine licensee must use the beer or wine it obtains 7
under its license for the sampling as part of the instruction. The 8
instruction must be given on the premises of the beer and/or wine 9
licensee. 10
(5) If the license is issued to a person who contracts with the 11
Washington state ferry system to provide food and alcohol service on 12
a designated ferry route, the license shall cover any vessel assigned 13
to the designated route. A separate license is required for each 14
designated ferry route. 15
Sec. 22. RCW 66.24.330 and 2021 c 6 s 7 are each amended to read 16
as follows: 17
(1) There is a beer and wine retailer's license to be designated 18
as a tavern license to sell beer, including strong beer, or wine, or 19
both, at retail, for consumption on the premises. Such licenses may 20
be issued only to a person operating a tavern that may be frequented 21
only by persons ((twenty-one)) 21 years of age and older.22
(2)(((a))) The annual fee for the license is ((two hundred 23
dollars)) $300 for the beer license, ((two hundred dollars)) $300 for 24
the wine license, or ((four hundred dollars )) $600 for a combination 25
beer and wine license. ((Licensees who have a fee increase of more 26
than one hundred dollars as a result of this change shall have their 27
fees increased fifty percent of the amount the first renewal year and 28
the remaining amount beginning with the second renewal period. New 29
licensees obtaining a license after July 1, 1998, must pay the full 30
amount of four hundred dollars.31
(b) The annual fees in (a) of this subsection are waived during 32
the 12-month period beginning with the second calendar month after 33
February 28, 2021, for:34
(i) Licenses that expire during the 12-month waiver period under 35
this subsection (2)(b); and36
(ii) Licenses issued to persons previously licensed under this 37
section at any time during the 12-month period prior to the 12-month 38
waiver period under this subsection (2)(b).39
p. 38 SB 5786
(c) The waivers in (b) of this subsection do not apply to any 1
licensee that:2
(i) Had their license suspended by the board for health and 3
safety violations of state COVID-19 guidelines; or4
(ii) Received an order of immediate restraint or citation from 5
the department of labor and industries for allowing an employee to 6
perform work where business activity was prohibited in violation of 7
an emergency proclamation of the governor under RCW 43.06.220.8
(d) Upon request of the department of revenue, the board and the 9
department of labor and industries must both provide a list of 10
persons that they have determined to be ineligible for a fee waiver 11
under (b) of this subsection for the reasons described in (c) of this 12
subsection. Unless otherwise agreed, any list must be received by the 13
department of revenue no later than 15 calendar days after the 14
request is made.))15
(3)(a) The board may issue a caterer's endorsement to this 16
license to allow the licensee to remove from the liquor stocks at the 17
licensed premises, only those types of liquor that are authorized 18
under the on-premises license privileges for sale and service at 19
event locations at a specified date and, except as provided in 20
subsection (4) of this section, place not currently licensed by the 21
board. If the event is open to the public, it must be sponsored by a 22
society or organization as defined by RCW 66.24.375. If attendance at 23
the event is limited to members or invited guests of the sponsoring 24
individual, society, or organization, the requirement that the 25
sponsor must be a society or organization as defined by RCW 66.24.375 26
is waived. Cost of the endorsement is ((three hundred fifty dollars )) 27
$525. 28
(b) The holder of this license with a catering endorsement must, 29
if requested by the board, notify the board or its designee of the 30
date, time, place, and location of any catered event. Upon request, 31
the licensee must provide to the board all necessary or requested 32
information concerning the society or organization that will be 33
holding the function at which the endorsed license will be utilized.34
(c) The holder of this license with a caterer's endorsement may, 35
under conditions established by the board, store liquor on the 36
premises of another not licensed by the board so long as there is a 37
written agreement between the licensee and the other party to provide 38
for ongoing catering services, the agreement contains no exclusivity 39
p. 39 SB 5786
clauses regarding the alcoholic beverages to be served, and the 1
agreement is filed with the board. 2
(d) The holder of this license with a caterer's endorsement may, 3
under conditions established by the board, store liquor on other 4
premises operated by the licensee so long as the other premises are 5
owned or controlled by a leasehold interest by that licensee. A 6
duplicate license may be issued for each additional premises. A 7
license fee of ((twenty dollars)) $30 is required for such duplicate 8
licenses. 9
(4) Licensees under this section that hold a caterer's 10
endorsement are allowed to use this endorsement on a domestic winery 11
premises and may store liquor at such premises under conditions 12
established by the board under the following conditions:13
(a) Agreements between the domestic winery and the retail 14
licensee must be in writing, contain no exclusivity clauses regarding 15
the alcoholic beverages to be served, and be filed with the board; 16
and 17
(b) The domestic winery and the retail licensee may be separately 18
contracted and compensated by the persons sponsoring the event for 19
their respective services. 20
(5) The holder of this license or its manager may furnish beer or 21
wine to the licensee's employees free of charge as may be required 22
for use in connection with instruction on beer and wine. The 23
instruction may include the history, nature, values, and 24
characteristics of beer or wine, the use of wine lists, and the 25
methods of presenting, serving, storing, and handling beer or wine. 26
The tavern licensee must use the beer or wine it obtains under its 27
license for the sampling as part of the instruction. The instruction 28
must be given on the premises of the tavern licensee.29
(6) Any person serving liquor at a catered event on behalf of a 30
licensee with a caterer's endorsement under this section must be an 31
employee of the licensee and must possess a class 12 alcohol server 32
permit as required under RCW 66.20.310. 33
(7) The board may issue rules as necessary to implement the 34
requirements of this section. 35
Sec. 23. RCW 66.24.350 and 2021 c 6 s 8 are each amended to read 36
as follows: 37
(((1))) There shall be a beer retailer's license to be designated 38
as a snack bar license to sell beer by the opened bottle or can at 39
p. 40 SB 5786
retail, for consumption upon the premises only, such license to be 1
issued to places where the sale of beer is not the principal business 2
conducted; fee ((one hundred twenty-five dollars)) $187.50 per year.3
(((2)(a) The annual fee in subsection (1) of this section is 4
waived during the 12-month period beginning with the second calendar 5
month after February 28, 2021, for:6
(i) Licenses that expire during the 12-month waiver period under 7
this subsection (2)(a); and8
(ii) Licenses issued to persons previously licensed under this 9
section at any time during the 12-month period prior to the 12-month 10
waiver period under this subsection (2)(a).11
(b) The waiver in (a) of this subsection does not apply to any 12
licensee that:13
(i) Had their license suspended by the board for health and 14
safety violations of state COVID-19 guidelines; or15
(ii) Received an order of immediate restraint or citation from 16
the department of labor and industries for allowing an employee to 17
perform work where business activity was prohibited in violation of 18
an emergency proclamation of the governor under RCW 43.06.220.19
(c) Upon request of the department of revenue, the board and the 20
department of labor and industries must both provide a list of 21
persons that they have determined to be ineligible for a fee waiver 22
under (a) of this subsection for the reasons described in (b) of this 23
subsection. Unless otherwise agreed, any list must be received by the 24
department of revenue no later than 15 calendar days after the 25
request is made.))26
Sec. 24. RCW 66.24.354 and 1997 c 321 s 21 are each amended to 27
read as follows: 28
There shall be a beer and wine retailer's license that may be 29
combined only with the on-premises licenses described in either RCW 30
66.24.320 or 66.24.330. The combined license permits the sale of beer 31
and wine for consumption off the premises. 32
(1) Beer and wine sold for consumption off the premises must be 33
in original sealed packages of the manufacturer or bottler.34
(2) Beer may be sold to a purchaser in a sanitary container 35
brought to the premises by the purchaser and filled at the tap by the 36
retailer at the time of sale. 37
(3) Licensees holding this type of license also may sell malt 38
liquor in kegs or other containers that are capable of holding four 39
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gallons or more of liquid and are registered in accordance with RCW 1
66.28.200. 2
(4) The board may impose conditions upon the issuance of this 3
license to best protect and preserve the health, safety, and welfare 4
of the public. 5
(5) The annual fee for this license shall be ((one hundred twenty 6
dollars)) $180. 7
Sec. 25. RCW 66.24.360 and 2017 c 96 s 2 are each amended to 8
read as follows: 9
(1) There is a grocery store license to sell wine and/or beer, 10
including without limitation strong beer at retail in original 11
containers, not to be consumed upon the premises where sold.12
(2) There is a wine retailer reseller endorsement of a grocery 13
store license, to sell wine at retail in original containers to 14
retailers licensed to sell wine for consumption on the premises, for 15
resale at their licensed premises according to the terms of the 16
license. However, no single sale may exceed ((twenty-four)) 24 17
liters, unless the sale is made by a licensee that was a contract 18
liquor store manager of a contract-operated liquor store at the 19
location from which such sales are made. For the purposes of this 20
title, a grocery store license is a retail license, and a sale by a 21
grocery store licensee with a reseller endorsement is a retail sale 22
only if not for resale. 23
(3) Licensees obtaining a written endorsement from the board may 24
also sell malt liquor in kegs or other containers capable of holding 25
less than ((five and one-half)) 5.5 gallons of liquid.26
(4) The annual fee for the grocery store license is ((one hundred 27
fifty dollars)) $225 for each store. 28
(5) The annual fee for the wine retailer reseller endorsement is 29
((one hundred sixty-six dollars)) $240 for each store.30
(6)(a) Upon approval by the board, a grocery store licensee with 31
revenues derived from beer and/or wine sales exceeding ((fifty)) 50 32
percent of total revenues or that maintains an alcohol inventory of 33
not less than ((fifteen thousand dollars )) $15,000 may also receive 34
an endorsement to permit the sale of beer and cider, as defined in 35
RCW 66.24.210(6), in a sanitary container brought to the premises by 36
the purchaser, or provided by the licensee or manufacturer, and 37
filled at the tap by the licensee at the time of sale by an employee 38
of the licensee holding a class 12 alcohol server permit.39
p. 42 SB 5786
(b) Pursuant to RCW 74.08.580(1)(f), a person may not use an 1
electronic benefit transfer card for the purchase of any product 2
authorized for sale under this section. 3
(c) The board may, by rule, establish fees to be paid by 4
licensees receiving the endorsement authorized under this subsection 5
(6), as necessary to cover the costs of implementing and enforcing 6
the provisions of this subsection (6). 7
(7) The board must issue a restricted grocery store license 8
authorizing the licensee to sell beer and only table wine, if the 9
board finds upon issuance or renewal of the license that the sale of 10
strong beer or fortified wine would be against the public interest. 11
In determining the public interest, the board must consider at least 12
the following factors: 13
(a) The likelihood that the applicant will sell strong beer or 14
fortified wine to persons who are intoxicated; 15
(b) Law enforcement problems in the vicinity of the applicant's 16
establishment that may arise from persons purchasing strong beer or 17
fortified wine at the establishment; and 18
(c) Whether the sale of strong beer or fortified wine would be 19
detrimental to or inconsistent with a government-operated or funded 20
alcohol treatment or detoxification program in the area.21
If the board receives no evidence or objection that the sale of 22
strong beer or fortified wine would be against the public interest, 23
it must issue or renew the license without restriction, as 24
applicable. The burden of establishing that the sale of strong beer 25
or fortified wine by the licensee would be against the public 26
interest is on those persons objecting. 27
(8) Licensees holding a grocery store license must maintain a 28
minimum ((three thousand dollar )) $3,000 inventory of food products 29
for human consumption, not including pop, beer, strong beer, or wine.30
(9) A grocery store licensee with a wine retailer reseller 31
endorsement may accept delivery of wine at its licensed premises or 32
at one or more warehouse facilities registered with the board, which 33
facilities may also warehouse and distribute nonliquor items, and 34
from which it may deliver to its own licensed premises and, pursuant 35
to sales permitted by this title, to other licensed premises, to 36
other registered facilities, or to lawful purchasers outside the 37
state. Facilities may be registered and utilized by associations, 38
cooperatives, or comparable groups of grocery store licensees.39
p. 43 SB 5786
(10) Upon approval by the board, the grocery store licensee may 1
also receive an endorsement to permit the international export of 2
beer, strong beer, and wine. 3
(a) Any beer, strong beer, or wine sold under this endorsement 4
must have been purchased from a licensed beer or wine distributor 5
licensed to do business within the state of Washington.6
(b) Any beer, strong beer, and wine sold under this endorsement 7
must be intended for consumption outside the state of Washington and 8
the United States and appropriate records must be maintained by the 9
licensee. 10
(c) Any beer, strong beer, or wine sold under this endorsement 11
must be sold at a price no less than the acquisition price paid by 12
the holder of the license. 13
(d) The annual cost of this endorsement is ((five hundred 14
dollars)) $750 and is in addition to the license fees paid by the 15
licensee for a grocery store license. 16
(11) A grocery store licensee holding a snack bar license under 17
RCW 66.24.350 may receive an endorsement to allow the sale of 18
confections containing more than one percent but not more than 19
((ten)) 10 percent alcohol by weight to persons ((twenty-one)) 21 20
years of age or older. 21
(12) The board may adopt rules to implement this section.22
(13) Nothing in this section limits the authority of the board to 23
regulate the sale of beer or cider or container sizes under rules 24
adopted pursuant to RCW 66.08.030. 25
(14) Any endorsement issued pursuant to this section or RCW 26
66.24.363 may be issued to a qualified combination spirits, beer, and 27
wine licensee in accordance with RCW 66.24.035(10).28
(15)(a) A grocery store licensee that also holds a spirits retail 29
license under RCW 66.24.630 may, upon board approval and pursuant to 30
board rules, transition to a combination spirits, beer, and wine 31
license pursuant to RCW 66.24.035. 32
(b) An applicant that would qualify for a grocery store license 33
under this section and a spirits retail license under RCW 66.24.630 34
may apply for a single license pursuant to RCW 66.24.035 instead of 35
applying for a grocery store license under this section in addition 36
to a spirits retail license under ((to)) RCW 66.24.630.37
Sec. 26. RCW 66.24.363 and 2017 c 96 s 5 are each amended to 38
read as follows: 39
p. 44 SB 5786
(1) A grocery store licensed under RCW 66.24.360 may apply for an 1
endorsement to offer beer and wine tasting under this section.2
(2) To be issued an endorsement, a licensee must meet the 3
following criteria: 4
(a) The licensee operates a fully enclosed retail area 5
encompassing at least ((ten thousand )) 10,000 square feet of fully 6
enclosed retail space within a single structure, including storerooms 7
and other interior auxiliary areas but excluding covered or fenced 8
exterior areas, whether or not attached to the structure, except that 9
the board may issue an endorsement to a licensee with a retail area 10
encompassing less than ((ten thousand )) 10,000 square feet if the 11
board determines that no licensee in the community the licensee 12
serves meets the square footage requirement and the licensee meets 13
operational requirements established by the board by rule; and14
(b) The licensee has not had more than one public safety 15
violation within the past two years. 16
(3) A tasting must be conducted under the following conditions:17
(a) Each sample must be two ounces or less, up to a total of four 18
ounces, per customer during any one visit to the premises;19
(b) No more than one sample of the same product offering of beer 20
or wine may be provided to a customer during any one visit to the 21
premises; 22
(c) The licensee must have food available for the tasting 23
participants; 24
(d) Customers must remain in the service area while consuming 25
samples; and 26
(e) The service area and facilities must be located within the 27
licensee's fully enclosed retail area and must be of a size and 28
design such that the licensee can observe and control persons in the 29
area to ensure that persons under ((twenty-one)) 21 years of age and 30
apparently intoxicated persons cannot possess or consume alcohol.31
(4) Employees of licensees whose duties include serving during 32
tasting activities under this section must hold a class 12 alcohol 33
server permit. 34
(5) Tasting activities under this section are subject to RCW 35
66.28.305 and 66.28.040 and the cost of sampling may not be borne, 36
directly or indirectly, by any liquor manufacturer, importer, or 37
distributor. 38
(6) A licensee may advertise a tasting event only within the 39
store, on a store website, in store newsletters and flyers, and via 40
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email and mail to customers who have requested notice of events. 1
Advertising under this subsection may not be targeted to or appeal 2
principally to youth. 3
(7)(a) If a licensee is found to have committed a public safety 4
violation in conjunction with tasting activities, the board may 5
suspend the licensee's tasting endorsement and not reissue the 6
endorsement for up to two years from the date of the violation. If 7
mitigating circumstances exist, the board may offer a monetary 8
penalty in lieu of suspension during a settlement conference.9
(b) The board may revoke an endorsement granted to a licensee 10
that is located within the boundaries of an alcohol impact area 11
recognized by resolution of the board if the board finds that the 12
tasting activities by the licensee are having an adverse effect on 13
the reduction of chronic public inebriation in the area.14
(c) RCW 66.08.150 applies to the suspension or revocation of an 15
endorsement. 16
(8) The board may establish additional requirements under this 17
section to assure that persons under ((twenty-one)) 21 years of age 18
and apparently intoxicated persons cannot possess or consume alcohol.19
(9) The annual fee for the endorsement is ((two hundred dollars)) 20
$300. The board shall review the fee annually and may increase the 21
fee by rule to a level sufficient to defray the cost of 22
administration and enforcement of the endorsement, except that the 23
board may not increase the fee by more than ten percent annually.24
(10) The board must adopt rules to implement this section.25
(11) An endorsement issued pursuant to this section may be issued 26
to a qualified combination spirits, beer, and wine licensee in 27
accordance with RCW 66.24.035. 28
Sec. 27. RCW 66.24.371 and 2017 c 96 s 3 are each amended to 29
read as follows: 30
(1) There shall be a beer and/or wine retailer's license to be 31
designated as a beer and/or wine specialty shop license to sell beer, 32
strong beer, and/or wine at retail in bottles, cans, and original 33
containers, not to be consumed upon the premises where sold, at any 34
store other than the state liquor stores. Licensees obtaining a 35
written endorsement from the board may also sell malt liquor in kegs 36
or other containers capable of holding four gallons or more of 37
liquid. The annual fee for the beer and/or wine specialty shop 38
license is ((one hundred dollars )) $150 for each store. The sale of 39
p. 46 SB 5786
any container holding four gallons or more must comply with RCW 1
66.28.200 and 66.28.220. 2
(2) Licensees under this section may provide, free or for a 3
charge, single-serving samples of two ounces or less to customers for 4
the purpose of sales promotion. Sampling activities of licensees 5
under this section are subject to RCW 66.28.305 and 66.28.040 and the 6
cost of sampling under this section may not be borne, directly or 7
indirectly, by any manufacturer, importer, or distributor of liquor.8
(3) Upon approval by the board, the beer and/or wine specialty 9
shop licensee that exceeds ((fifty)) 50 percent beer and/or wine 10
sales may also receive an endorsement to permit the sale of beer to a 11
purchaser in a sanitary container brought to the premises by the 12
purchaser, or provided by the licensee or manufacturer, and fill at 13
the tap by the licensee at the time of sale. If the beer and/or wine 14
specialty shop licensee does not exceed ((fifty)) 50 percent beer 15
and/or wine sales, the board may waive the ((fifty)) 50 percent beer 16
and/or wine sale criteria if the beer and/or wine specialty shop 17
maintains alcohol inventory that exceeds ((fifteen thousand dollars)) 18
$15,000. 19
(4) The board shall issue a restricted beer and/or wine specialty 20
shop license, authorizing the licensee to sell beer and only table 21
wine, if the board finds upon issuance or renewal of the license that 22
the sale of strong beer or fortified wine would be against the public 23
interest. In determining the public interest, the board shall 24
consider at least the following factors: 25
(a) The likelihood that the applicant will sell strong beer or 26
fortified wine to persons who are intoxicated; 27
(b) Law enforcement problems in the vicinity of the applicant's 28
establishment that may arise from persons purchasing strong beer or 29
fortified wine at the establishment; and 30
(c) Whether the sale of strong beer or fortified wine would be 31
detrimental to or inconsistent with a government-operated or funded 32
alcohol treatment or detoxification program in the area.33
If the board receives no evidence or objection that the sale of 34
strong beer or fortified wine would be against the public interest, 35
it shall issue or renew the license without restriction, as 36
applicable. The burden of establishing that the sale of strong beer 37
or fortified wine by the licensee would be against the public 38
interest is on those persons objecting. 39
p. 47 SB 5786
(5) Licensees holding a beer and/or wine specialty shop license 1
must maintain a minimum ((three thousand dollar )) $3,000 wholesale 2
inventory of beer, strong beer, and/or wine. 3
(6) The board may adopt rules to implement this section.4
(7) Any endorsement issued pursuant to this section may be issued 5
to a qualified combination spirits, beer, and wine licensee in 6
accordance with RCW 66.24.035. 7
(8)(a) A beer and/or wine specialty shop licensee that also holds 8
a spirits retail license under RCW 66.24.630 may, upon board approval 9
and pursuant to board rules, transition to a combination spirits, 10
beer, and wine license pursuant to RCW 66.24.035. 11
(b) An applicant that would qualify for a beer and/or wine 12
specialty shop license under this section and a spirits retail 13
license under RCW 66.24.630 may apply for a single license pursuant 14
to RCW 66.24.035 instead of applying for a beer and/or wine specialty 15
shop license under this section in addition to a spirits retail 16
license under RCW 66.24.630. 17
Sec. 28. RCW 66.24.395 and 2020 c 200 s 2 are each amended to 18
read as follows: 19
(1)(a) There shall be a license that may be issued to 20
corporations, associations, or persons operating as federally 21
licensed commercial common passenger carriers engaged in interstate 22
commerce, in or over territorial limits of the state of Washington on 23
passenger trains, vessels, or airplanes. Such license shall permit 24
the sale of spirituous liquor, wine, and beer at retail for passenger 25
consumption within the state upon one such train passenger car, 26
vessel, or airplane, while in or over the territorial limits of the 27
state. Such license shall include the privilege of transporting into 28
and storing within the state such liquor for subsequent retail sale 29
to passengers in passenger train cars, vessels or airplanes. The fees 30
for such master license shall be ((seven hundred fifty dollars )) 31
$1,125 per annum (class CCI-1) ((: PROVIDED, That upon )). Upon payment 32
of an additional sum of ((five dollars)) $7.50 per annum per car, or 33
vessel, or airplane, the privileges authorized by such license 34
classes shall extend to additional cars, or vessels, or airplanes 35
operated by the same licensee within the state, and a duplicate 36
license for each additional car, or vessel, or airplane shall be 37
issued((: PROVIDED, FURTHER, That such )). Such licensee may make such 38
sales and/or service upon cars, or vessels, or airplanes in emergency 39
p. 48 SB 5786
for not more than five consecutive days without such license ((: AND 1
PROVIDED, FURTHER, That such )). Such license shall be valid only 2
while such cars, or vessels, or airplanes are actively operated as 3
common carriers for hire in interstate commerce and not while they 4
are out of such common carrier service. 5
(b) Alcoholic beverages sold and/or served for consumption by 6
such interstate common carriers while within or over the territorial 7
limits of this state shall be subject to such board markup and state 8
liquor taxes in an amount to approximate the revenue that would have 9
been realized from such markup and taxes had the alcoholic beverages 10
been purchased in Washington ((: PROVIDED, That )). However, the 11
board's markup shall be applied on spirituous liquor only. Such 12
common carriers shall report such sales and/or service and pay such 13
markup and taxes in accordance with procedures prescribed by the 14
board. 15
(2) Alcoholic beverages sold and delivered in this state to 16
interstate common carriers for use under the provisions of this 17
section shall be considered exported from the state, subject to the 18
conditions provided in subsection (1)(b) of this section. Interstate 19
common carriers licensed under this section may purchase alcoholic 20
beverages outside the territorial limits of the state of Washington 21
and import such alcoholic beverages into the state of Washington for 22
sales and service aboard passenger trains, vessels, or airplanes. The 23
storage facilities for liquor within the state by common carriers 24
licensed under this section shall be subject to written approval by 25
the board. 26
(3) Interstate common carriers licensed under this section may 27
provide complimentary alcoholic beverages to passengers aboard 28
passenger trains, vessels, or airplanes. 29
Sec. 29. RCW 66.24.400 and 2019 c 169 s 3 and 2019 c 61 s 2 are 30
each reenacted and amended to read as follows: 31
(1) There shall be a retailer's license, to be known and 32
designated as a spirits, beer, and wine restaurant license, to sell 33
spirituous liquor by the individual glass, beer, and wine, at retail, 34
for consumption on the premises, including mixed drinks and cocktails 35
compounded or mixed on the premises only. A club licensed under 36
chapter 70.62 RCW with overnight sleeping accommodations, that is 37
licensed under this section may sell liquor by the bottle to 38
registered guests of the club for consumption in guest rooms, 39
p. 49 SB 5786
hospitality rooms, or at banquets in the club. A patron of a bona 1
fide restaurant or club licensed under this section may remove from 2
the premises recorked or recapped in its original container any 3
portion of wine or sake which was purchased for consumption with a 4
meal, and registered guests who have purchased liquor from the club 5
by the bottle may remove from the premises any unused portion of such 6
liquor in its original container. Such license may be issued only to 7
bona fide restaurants and clubs, and to dining, club and buffet cars 8
on passenger trains, and to dining places on passenger boats and 9
airplanes, and to dining places at civic centers with facilities for 10
sports, entertainment, and conventions, and to such other 11
establishments operated and maintained primarily for the benefit of 12
tourists, vacationers and travelers as the board shall determine are 13
qualified to have, and in the discretion of the board should have, a 14
spirits, beer, and wine restaurant license under the provisions and 15
limitations of this title. 16
(2) The board may issue an endorsement to the spirits, beer, and 17
wine restaurant license that allows the holder of a spirits, beer, 18
and wine restaurant license to sell bottled wine for off-premises 19
consumption. Spirits and beer may not be sold for off-premises 20
consumption under this section except as provided in subsection (4) 21
of this section. The annual fee for the endorsement under this 22
subsection is ((one hundred twenty dollars)) $180.23
(3) The holder of a spirits, beer, and wine license or its 24
manager may furnish beer, wine, or spirituous liquor to the 25
licensee's employees free of charge as may be required for use in 26
connection with instruction on beer, wine, or spirituous liquor. The 27
instruction may include the history, nature, values, and 28
characteristics of beer, wine, or spirituous liquor, the use of wine 29
lists, and the methods of presenting, serving, storing, and handling 30
beer, wine, and spirituous liquor. The spirits, beer, and wine 31
restaurant licensee must use the beer, wine, or spirituous liquor it 32
obtains under its license for the sampling as part of the 33
instruction. The instruction must be given on the premises of the 34
spirits, beer, and wine restaurant licensee. 35
(4) The board may issue an endorsement to the spirits, beer, and 36
wine restaurant license that allows the holder of a spirits, beer, 37
and wine restaurant license to sell for off-premises consumption malt 38
liquor in kegs or other containers that are capable of holding four 39
gallons or more of liquid and are registered in accordance with RCW 40
p. 50 SB 5786
66.28.200. Beer may also be sold under the endorsement to a purchaser 1
in a sanitary container brought to the premises by the purchaser or 2
furnished by the licensee and filled at the tap by the retailer at 3
the time of sale. The annual fee for the endorsement under this 4
subsection is ((one hundred twenty dollars)) $180. 5
(5)(a) The board shall create a soju endorsement to the spirits, 6
beer, and wine restaurant license that allows the holder of a 7
spirits, beer, and wine restaurant license to serve soju for on-8
premises consumption by the bottle to tables of two or more patrons 9
((twenty-one)) 21 years of age or older. Cost of the endorsement is 10
((fifty dollars)) $75. 11
(b) The holder of a soju endorsement may serve soju in bottles 12
that are ((three hundred seventy-five )) 375 milliliters or less. 13
Empty bottles of soju must remain on the patron's table until the 14
patron has left the premises of the licensee. 15
(c) The patron of a holder of a soju endorsement may remove from 16
the premises recapped in its original container any unused portion of 17
soju that was purchased for consumption with a meal.18
(d) The board must develop additional responsible sale and 19
service of soju training curriculum related to the provisions of the 20
soju endorsement under this subsection (5) that includes but is not 21
limited to certification procedures and enforcement policies. This 22
information must be provided in both Korean and English languages to 23
licensees holding the soju endorsement. Soju endorsement holders must 24
ensure servers providing soju to patrons are trained in the soju 25
curriculum developed under this subsection (5). 26
Sec. 30. RCW 66.24.420 and 2021 c 6 s 9 are each amended to read 27
as follows: 28
(1) The spirits, beer, and wine restaurant license shall be 29
issued in accordance with the following schedule of annual fees:30
(a) The annual fee for a spirits, beer, and wine restaurant 31
license shall be graduated according to the dedicated dining area and 32
type of service provided as follows: 33
34
35
Less than 50% dedicated dining area (($2,000))
$3,000
36
37
50% or more dedicated dining area (($1,600))
$2,400
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1
2
Service bar only (($1,000))
$1,500
(b) The annual fee for the license when issued to any other 3
spirits, beer, and wine restaurant licensee outside of incorporated 4
cities and towns shall be prorated according to the calendar 5
quarters, or portion thereof, during which the licensee is open for 6
business, except in case of suspension or revocation of the license.7
(c) Where the license shall be issued to any corporation, 8
association or person operating a bona fide restaurant in an airport 9
terminal facility providing service to transient passengers with more 10
than one place where liquor is to be dispensed and sold, such license 11
shall be issued upon the payment of the annual fee, which shall be a 12
master license and shall permit such sale within and from one such 13
place. Such license may be extended to additional places on the 14
premises at the discretion of the board and a duplicate license may 15
be issued for each such additional place. The holder of a master 16
license for a restaurant in an airport terminal facility must 17
maintain in a substantial manner at least one place on the premises 18
for preparing, cooking, and serving of complete meals, and such food 19
service shall be available on request in other licensed places on the 20
premises. An additional license fee of ((twenty-five)) 25 percent of 21
the annual master license fee shall be required for such duplicate 22
licenses. 23
(d) Where the license shall be issued to any corporation, 24
association, or person operating dining places at a publicly or 25
privately owned civic or convention center with facilities for 26
sports, entertainment, or conventions, or a combination thereof, with 27
more than one place where liquor is to be dispensed and sold, such 28
license shall be issued upon the payment of the annual fee, which 29
shall be a master license and shall permit such sale within and from 30
one such place. Such license may be extended to additional places on 31
the premises at the discretion of the board and a duplicate license 32
may be issued for each such additional place. The holder of a master 33
license for a dining place at such a publicly or privately owned 34
civic or convention center must maintain in a substantial manner at 35
least one place on the premises for preparing, cooking, and serving 36
of complete meals, and food service shall be available on request in 37
other licensed places on the premises. An additional license fee of 38
((ten dollars)) $15 shall be required for such duplicate licenses.39
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(((e) The annual fees in this subsection (1) are waived during 1
the 12-month period beginning with the second calendar month after 2
February 28, 2021, for:3
(i) Licenses that expire during the 12-month waiver period under 4
this subsection (1)(e); and5
(ii) Licenses issued to persons previously licensed under this 6
section at any time during the 12-month period prior to the 12-month 7
waiver period under this subsection (1)(e).8
(f) The waivers in (e) of this subsection do not apply to any 9
licensee that:10
(i) Had their license suspended by the board for health and 11
safety violations of state COVID-19 guidelines; or12
(ii) Received an order of immediate restraint or citation from 13
the department of labor and industries for allowing an employee to 14
perform work where business activity was prohibited in violation of 15
an emergency proclamation of the governor under RCW 43.06.220.16
(g) Upon request of the department of revenue, the board and the 17
department of labor and industries must both provide a list of 18
persons that they have determined to be ineligible for a fee waiver 19
under (e) of this subsection for the reasons described in (f) of this 20
subsection. Unless otherwise agreed, any list must be received by the 21
department of revenue no later than 15 calendar days after the 22
request is made.))23
(2) The board, so far as in its judgment is reasonably possible, 24
shall confine spirits, beer, and wine restaurant licenses to the 25
business districts of cities and towns and other communities, and not 26
grant such licenses in residential districts, nor within the 27
immediate vicinity of schools, without being limited in the 28
administration of this subsection to any specific distance 29
requirements. 30
(3) The board shall have discretion to issue spirits, beer, and 31
wine restaurant licenses outside of cities and towns in the state of 32
Washington. The purpose of this subsection is to enable the board, in 33
its discretion, to license in areas outside of cities and towns and 34
other communities, establishments which are operated and maintained 35
primarily for the benefit of tourists, vacationers and travelers, and 36
also golf and country clubs, and common carriers operating dining, 37
club and buffet cars, or boats. 38
(4) The combined total number of spirits, beer, and wine 39
nightclub licenses, and spirits, beer, and wine restaurant licenses 40
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issued in the state of Washington by the board, not including 1
spirits, beer, and wine private club licenses, shall not in the 2
aggregate at any time exceed one license for each ((one thousand two 3
hundred)) 1,200 of population in the state, determined according to 4
the yearly population determination developed by the office of 5
financial management pursuant to RCW 43.62.030. 6
(5) Notwithstanding the provisions of subsection (4) of this 7
section, the board shall refuse a spirits, beer, and wine restaurant 8
license to any applicant if in the opinion of the board the spirits, 9
beer, and wine restaurant licenses already granted for the particular 10
locality are adequate for the reasonable needs of the community.11
(6)(a) The board may issue a caterer's endorsement to this 12
license to allow the licensee to remove the liquor stocks at the 13
licensed premises, for use as liquor for sale and service at event 14
locations at a specified date and, except as provided in subsection 15
(7) of this section, place not currently licensed by the board. If 16
the event is open to the public, it must be sponsored by a society or 17
organization as defined by RCW 66.24.375. If attendance at the event 18
is limited to members or invited guests of the sponsoring individual, 19
society, or organization, the requirement that the sponsor must be a 20
society or organization as defined by RCW 66.24.375 is waived. Cost 21
of the endorsement is ((three hundred fifty dollars)) $525.22
(b) The holder of this license with a catering endorsement shall, 23
if requested by the board, notify the board or its designee of the 24
date, time, place, and location of any catered event. Upon request, 25
the licensee shall provide to the board all necessary or requested 26
information concerning the society or organization that will be 27
holding the function at which the endorsed license will be utilized.28
(c) The holder of this license with a caterer's endorsement may, 29
under conditions established by the board, store liquor on the 30
premises of another not licensed by the board so long as there is a 31
written agreement between the licensee and the other party to provide 32
for ongoing catering services, the agreement contains no exclusivity 33
clauses regarding the alcoholic beverages to be served, and the 34
agreement is filed with the board. 35
(d) The holder of this license with a caterer's endorsement may, 36
under conditions established by the board, store liquor on other 37
premises operated by the licensee so long as the other premises are 38
owned or controlled by a leasehold interest by that licensee. A 39
duplicate license may be issued for each additional premises. A 40
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license fee of ((twenty dollars )) $30 shall be required for such 1
duplicate licenses. 2
(7) Licensees under this section that hold a caterer's 3
endorsement are allowed to use this endorsement on a domestic winery 4
premises or on the premises of a passenger vessel and may store 5
liquor at such premises under conditions established by the board 6
under the following conditions: 7
(a) Agreements between the domestic winery or passenger vessel, 8
as the case may be, and the retail licensee shall be in writing, 9
contain no exclusivity clauses regarding the alcoholic beverages to 10
be served, and be filed with the board; and 11
(b) The domestic winery or passenger vessel, as the case may be, 12
and the retail licensee shall be separately contracted and 13
compensated by the persons sponsoring the event for their respective 14
services. 15
Sec. 31. RCW 66.24.425 and 2020 c 274 s 45 are each amended to 16
read as follows: 17
(1) The board may, in its discretion, issue a spirits, beer, and 18
wine restaurant license to a business which qualifies as a 19
"restaurant" as that term is defined in RCW 66.24.410 in all respects 20
except that the business does not serve the general public but, 21
through membership qualification, selectively restricts admission to 22
the business. For purposes of RCW 66.24.400 and 66.24.420, all 23
licenses issued under this section shall be considered spirits, beer, 24
and wine restaurant licenses and shall be subject to all 25
requirements, fees, and qualifications in this title, or in rules 26
adopted by the board, as are applicable to spirits, beer, and wine 27
restaurant licenses generally except that no service to the general 28
public may be required. 29
(2) No license shall be issued under this section to a business:30
(a) Which shall not have been in continuous operation for at 31
least one year immediately prior to the date of its application; or32
(b) Which denies membership or admission to any person because of 33
race, creed, color, national origin, sex, or the presence of any 34
disability. 35
(3) The board may issue an endorsement to the spirits, beer, and 36
wine restaurant license issued under this section that allows up to 37
((forty)) 40 nonclub, member-sponsored events using club liquor. 38
Visitors and guests may attend these events only by invitation of the 39
p. 55 SB 5786
sponsoring member or members. These events may not be open to the 1
general public. The fee for the endorsement is an annual fee of 2
((nine hundred dollars)) $1,350. Upon the board's request, the holder 3
of the endorsement must provide the board or the board's designee 4
with the following information at least ((seventy-two)) 72 hours 5
before the event: The date, time, and location of the event; the name 6
of the sponsor of the event; and a brief description of the purpose 7
of the event. 8
(4) The board may issue an endorsement to the spirits, beer, and 9
wine restaurant license that allows the holder of a spirits, beer, 10
and wine restaurant license to sell for off-premises consumption wine 11
vinted and bottled in the state of Washington and carrying a label 12
exclusive to the license holder selling the wine. Spirits and beer 13
may not be sold for off-premises consumption under this section. The 14
annual fee for the endorsement under this section is ((one hundred 15
twenty dollars)) $180. 16
Sec. 32. RCW 66.24.450 and 2011 c 119 s 402 are each amended to 17
read as follows: 18
(1) No club shall be entitled to a spirits, beer, and wine 19
private club license: 20
(a) Unless such private club has been in continuous operation for 21
at least one year immediately prior to the date of its application 22
for such license; 23
(b) Unless the private club premises be constructed and equipped, 24
conducted, managed, and operated to the satisfaction of the board and 25
in accordance with this title and the regulations made thereunder;26
(c) Unless the board shall have determined pursuant to any 27
regulations made by it with respect to private clubs, that such 28
private club is a bona fide private club; it being the intent of this 29
section that license shall not be granted to a club which is, or has 30
been, primarily formed or activated to obtain a license to sell 31
liquor, but solely to a bona fide private club, where the sale of 32
liquor is incidental to the main purposes of the spirits, beer, and 33
wine private club, as defined in RCW 66.04.010(8).34
(2) The annual fee for a spirits, beer, and wine private club 35
license, whether inside or outside of an incorporated city or town, 36
is ((seven hundred twenty dollars)) $1,080 per year.37
(3) The board may issue an endorsement to the spirits, beer, and 38
wine private club license that allows nonclub, member-sponsored 39
p. 56 SB 5786
events using club liquor. Visitors and guests may attend these events 1
only by invitation of the sponsoring member or members. These events 2
may not be open to the general public. The fee for the endorsement 3
shall be an annual fee of ((nine hundred dollars )) $1,350. Upon the 4
board's request, the holder of the endorsement must provide the board 5
or the board's designee with the following information at least 6
((seventy-two)) 72 hours prior to the event: The date, time, and 7
location of the event; the name of the sponsor of the event; and a 8
brief description of the purpose of the event. 9
(4) The board may issue an endorsement to the spirits, beer, and 10
wine private club license that allows the holder of a spirits, beer, 11
and wine private club license to sell bottled wine for off-premises 12
consumption. Spirits and beer may not be sold for off-premises 13
consumption under this section. The annual fee for the endorsement 14
under this section is ((one hundred twenty dollars)) $180.15
Sec. 33. RCW 66.24.452 and 2009 c 373 s 3 are each amended to 16
read as follows: 17
(1) There shall be a beer and wine license to be issued to a 18
private club for sale of beer, strong beer, and wine for on-premises 19
consumption. 20
(2) Beer, strong beer, and wine sold by the licensee may be on 21
tap or by open bottles or cans. 22
(3) The fee for the private club beer and wine license is ((one 23
hundred eighty dollars)) $270 per year. 24
(4) The board may issue an endorsement to the private club beer 25
and wine license that allows the holder of a private club beer and 26
wine license to sell bottled wine for off-premises consumption. 27
Spirits, strong beer, and beer may not be sold for off-premises 28
consumption under this section. The annual fee for the endorsement 29
under this section is ((one hundred twenty dollars)) $180.30
Sec. 34. RCW 66.24.495 and 2023 c 470 s 1013 are each amended to 31
read as follows: 32
(1)(((a))) There shall be a license to be designated as a 33
nonprofit arts organization license. This shall be a special license 34
to be issued to any nonprofit arts organization which sponsors and 35
presents productions or performances of an artistic or cultural 36
nature in a specific theater or other appropriate designated indoor 37
premises approved by the board. The license shall permit the licensee 38
p. 57 SB 5786
to sell liquor to patrons of productions or performances for 1
consumption on the premises at these events. The fee for the license 2
shall be ((two hundred fifty dollars)) $375 per annum.3
(((b) The annual fee in (a) of this subsection is waived during 4
the 12-month period beginning with the second calendar month after 5
February 28, 2021, for:6
(i) Licenses that expire during the 12-month waiver period under 7
this subsection (1)(b); and8
(ii) Licenses issued to persons previously licensed under this 9
section at any time during the 12-month period prior to the 12-month 10
waiver period under this subsection (1)(b).11
(c) The waiver in (b) of this subsection does not apply to any 12
licensee that:13
(i) Had their license suspended by the board for health and 14
safety violations of state COVID-19 guidelines; or15
(ii) Received an order of immediate restraint or citation from 16
the department of labor and industries for allowing an employee to 17
perform work where business activity was prohibited in violation of 18
an emergency proclamation of the governor under RCW 43.06.220.19
(d) Upon request of the department of revenue, the board and the 20
department of labor and industries must both provide a list of 21
persons that they have determined to be ineligible for a fee waiver 22
under (b) of this subsection for the reasons described in (c) of this 23
subsection. Unless otherwise agreed, any list must be received by the 24
department of revenue no later than 15 calendar days after the 25
request is made.))26
(2) For the purposes of this section, the term "nonprofit arts 27
organization" means an organization which is organized and operated 28
for the purpose of providing artistic or cultural exhibitions, 29
presentations, or performances or cultural or art education programs, 30
as defined in subsection (3) of this section, for viewing or 31
attendance by the general public. The organization must be a not-for-32
profit corporation under chapter 24.03A RCW and managed by a 33
governing board of not less than eight individuals none of whom is a 34
paid employee of the organization or by a corporation sole under 35
chapter 24.12 RCW. In addition, the corporation must satisfy the 36
following conditions: 37
(a) No part of its income may be paid directly or indirectly to 38
its members, stockholders, officers, directors, or trustees except in 39
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the form of services rendered by the corporation in accordance with 1
its purposes and bylaws; 2
(b) Salary or compensation paid to its officers and executives 3
must be only for actual services rendered, and at levels comparable 4
to the salary or compensation of like positions within the state;5
(c) Assets of the corporation must be irrevocably dedicated to 6
the activities for which the license is granted and, on the 7
liquidation, dissolution, or abandonment by the corporation, may not 8
inure directly or indirectly to the benefit of any member or 9
individual except a nonprofit organization, association, or 10
corporation; 11
(d) The corporation must be duly licensed or certified when 12
licensing or certification is required by law or regulation;13
(e) The proceeds derived from sales of liquor, except for 14
reasonable operating costs, must be used in furtherance of the 15
purposes of the organization; 16
(f) Services must be available regardless of race, color, 17
national origin, or ancestry; and 18
(g) The board shall have access to its books in order to 19
determine whether the corporation is entitled to a license.20
(3) The term "artistic or cultural exhibitions, presentations, or 21
performances or cultural or art education programs" includes and is 22
limited to: 23
(a) An exhibition or presentation of works of art or objects of 24
cultural or historical significance, such as those commonly displayed 25
in art or history museums; 26
(b) A musical or dramatic performance or series of performances; 27
or 28
(c) An educational seminar or program, or series of such 29
programs, offered by the organization to the general public on an 30
artistic, cultural, or historical subject. 31
Sec. 35. RCW 66.24.520 and 2010 c 290 s 4 are each amended to 32
read as follows: 33
There shall be a grower's license to sell wine or spirits made 34
from grapes or other agricultural products owned at the time of 35
vinification or distillation by the licensee in bulk to holders of 36
domestic wineries', distillers', or manufacturers' licenses or for 37
export. The wine or spirits shall be made upon the premises of a 38
domestic winery or craft distillery licensee and is referred to in 39
p. 59 SB 5786
this section as grower's wine or grower's spirits. A grower's license 1
authorizes the agricultural product grower to contract for the 2
manufacturing of wine or spirits from the grower's own agricultural 3
product, store wine or spirits in bulk made from agricultural 4
products produced by the holder of this license, and to sell wine or 5
spirits in bulk made from the grower's own agricultural products to a 6
winery or distillery in the state of Washington or to export in bulk 7
for sale out-of-state. The annual fee for a grower's license shall be 8
((seventy-five dollars )) $112.50. For the purpose of chapter 66.28 9
RCW, a grower licensee shall be deemed a manufacturer.10
Sec. 36. RCW 66.24.530 and 1987 c 386 s 1 are each amended to 11
read as follows: 12
(1) There shall be a license to be designated as a class S 13
license to qualified duty free exporters authorizing such exporters 14
to sell beer and wine to vessels for consumption outside the state of 15
Washington. 16
(2) To qualify for a license under subsection (1) of this 17
section, the exporter shall have: 18
(a) An importer's basic permit issued by the United States bureau 19
of alcohol, tobacco, and firearms and a customs house license in 20
conjunction with a common carriers bond; 21
(b) A customs bonded warehouse, or be able to operate from a 22
foreign trade zone; and 23
(c) A notarized signed statement from the purchaser stating that 24
the product is for consumption outside the state of Washington.25
(3) The license for qualified duty free exporters shall authorize 26
the duty free exporter to purchase from a brewery, winery, beer 27
wholesaler, wine wholesaler, beer importer, or wine importer licensed 28
by the state of Washington. 29
(4) Beer and/or wine sold and delivered in this state to duty 30
free exporters for use under this section shall be considered 31
exported from the state. 32
(5) The fee for this license shall be ((one hundred dollars )) 33
$150 per annum. 34
Sec. 37. RCW 66.24.540 and 2021 c 6 s 11 are each amended to 35
read as follows: 36
(1) There is a retailer's license to be designated as a motel 37
license. The motel license may be issued to a motel regardless of 38
p. 60 SB 5786
whether it holds any other class of license under this title. No 1
license may be issued to a motel offering rooms to its guests on an 2
hourly basis. The license authorizes the licensee to:3
(a) Sell, at retail, in locked honor bars, spirits in individual 4
bottles not to exceed ((fifty)) 50 milliliters, beer in individual 5
cans or bottles not to exceed ((twelve)) 12 ounces, and wine in 6
individual bottles not to exceed ((one hundred eighty-seven )) 187 7
milliliters, to registered guests of the motel for consumption in 8
guest rooms. 9
(i) Each honor bar must also contain snack foods. No more than 10
one-half of the guest rooms may have honor bars. 11
(ii) All spirits to be sold under the license must be purchased 12
from a spirits retailer or a spirits distributor licensee of the 13
board. 14
(iii) The licensee must require proof of age from the guest 15
renting a guest room and requesting the use of an honor bar. The 16
guest must also execute an affidavit verifying that no one under 17
((twenty-one)) 21 years of age has access to the spirits, beer, and 18
wine in the honor bar. 19
(b) Provide without additional charge, to overnight guests of the 20
motel, spirits, beer, and wine by the individual serving for on-21
premises consumption at a specified regular date, time, and place as 22
may be fixed by the board. Self-service by attendees is prohibited. 23
All spirits, beer, and wine service must be done by an alcohol server 24
as defined in RCW 66.20.300 and comply with RCW 66.20.310.25
(2)(((a))) The annual fee for a motel license is ((five hundred 26
dollars)) $750. 27
(((b) The annual fee in (a) of this subsection is waived during 28
the 12-month period beginning with the second calendar month after 29
February 28, 2021, for:30
(i) Licenses that expire during the 12-month waiver period under 31
this subsection (2)(b); and32
(ii) Licenses issued to persons previously licensed under this 33
section at any time during the 12-month period prior to the 12-month 34
waiver period under this subsection (2)(b).35
(c) The waiver in (b) of this subsection does not apply to any 36
licensee that:37
(i) Had their license suspended by the board for health and 38
safety violations of state COVID-19 guidelines; or39
p. 61 SB 5786
(ii) Received an order of immediate restraint or citation from 1
the department of labor and industries for allowing an employee to 2
perform work where business activity was prohibited in violation of 3
an emergency proclamation of the governor under RCW 43.06.220.4
(d) Upon request of the department of revenue, the board and the 5
department of labor and industries must both provide a list of 6
persons that they have determined to be ineligible for a fee waiver 7
under (b) of this subsection for the reasons described in (c) of this 8
subsection. Unless otherwise agreed, any list must be received by the 9
department of revenue no later than 15 calendar days after the 10
request is made.))11
(3) For the purposes of this section, "motel" means a transient 12
accommodation licensed under chapter 70.62 RCW. 13
Sec. 38. RCW 66.24.550 and 1997 c 321 s 35 are each amended to 14
read as follows: 15
There shall be a beer and wine retailer's license to be 16
designated as a beer and wine gift delivery license to solicit, take 17
orders for, sell, and deliver beer and/or wine in bottles and 18
original packages to persons other than the person placing the order. 19
A beer and wine gift delivery license may be issued only to a 20
business solely engaged in the sale or sale and delivery of gifts at 21
retail which holds no other class of license under this title or to a 22
person in the business of selling flowers or floral arrangements at 23
retail. No minimum beer and/or wine inventory requirement shall apply 24
to holders of beer and wine gift delivery licenses. The fee for this 25
license is ((seventy-five dollars )) $112.50 per year. Delivery of 26
beer and/or wine under a beer and wine gift delivery license shall be 27
made in accordance with all applicable provisions of this title and 28
the rules of the board, and no beer and/or wine so delivered shall be 29
opened on any premises licensed under this title. A beer and wine 30
gift delivery license does not authorize door-to-door solicitation of 31
gift wine delivery orders. Deliveries of beer and/or wine under a 32
beer and wine gift delivery license shall be made only in conjunction 33
with gifts or flowers. 34
Sec. 39. RCW 66.24.570 and 2021 c 6 s 12 are each amended to 35
read as follows: 36
(1)(((a))) There is a license for sports entertainment facilities 37
to be designated as a sports entertainment facility license to sell 38
p. 62 SB 5786
beer, wine, and spirits at retail, for consumption upon the premises 1
only, the license to be issued to the entity providing food and 2
beverage service at a sports entertainment facility as defined in 3
this section. The cost of the license is ((two thousand five hundred 4
dollars)) $3,750 per annum. 5
(((b) The annual fee in (a) of this subsection is waived during 6
the 12-month period beginning with the second calendar month after 7
February 28, 2021, for:8
(i) Licenses that expire during the 12-month waiver period under 9
this subsection (1)(b); and10
(ii) Licenses issued to persons previously licensed under this 11
section at any time during the 12-month period prior to the 12-month 12
waiver period under this subsection (1)(b).13
(c) The waiver in (b) of this subsection does not apply to any 14
licensee that:15
(i) Had their license suspended by the board for health and 16
safety violations of state COVID-19 guidelines; or17
(ii) Received an order of immediate restraint or citation from 18
the department of labor and industries for allowing an employee to 19
perform work where business activity was prohibited in violation of 20
an emergency proclamation of the governor under RCW 43.06.220.21
(d) Upon request of the department of revenue, the board and the 22
department of labor and industries must both provide a list of 23
persons that they have determined to be ineligible for a fee waiver 24
under (b) of this subsection for the reasons described in (c) of this 25
subsection. Unless otherwise agreed, any list must be received by the 26
department of revenue no later than 15 calendar days after the 27
request is made.))28
(2) For purposes of this section, a sports entertainment facility 29
includes a publicly or privately owned arena, coliseum, stadium, or 30
facility where sporting events are presented for a price of 31
admission. The facility does not have to be exclusively used for 32
sporting events. 33
(3) The board may impose reasonable requirements upon a licensee 34
under this section, such as requirements for the availability of food 35
and victuals including but not limited to hamburgers, sandwiches, 36
salads, or other snack food. The board may also restrict the type of 37
events at a sports entertainment facility at which beer, wine, and 38
spirits may be served. When imposing conditions for a licensee, the 39
board must consider the seating accommodations, eating facilities, 40
p. 63 SB 5786
and circulation patterns in such a facility, and other amenities 1
available at a sports entertainment facility. 2
(4)(a) The board may issue a caterer's endorsement to the license 3
under this section to allow the licensee to remove from the liquor 4
stocks at the licensed premises, for use as liquor for sale and 5
service at event locations at a specified date and place not 6
currently licensed by the board. If the event is open to the public, 7
it must be sponsored by a society or organization as defined by RCW 8
66.24.375. If attendance at the event is limited to members or 9
invited guests of the sponsoring individual, society, or 10
organization, the requirement that the sponsor must be a society or 11
organization as defined by RCW 66.24.375 is waived. Cost of the 12
endorsement is ((three hundred fifty dollars)) $525.13
(b) The holder of this license with catering endorsement shall, 14
if requested by the board, notify the board or its designee of the 15
date, time, place, and location of any catered event. Upon request, 16
the licensee shall provide to the board all necessary or requested 17
information concerning the society or organization that will be 18
holding the function at which the endorsed license will be utilized.19
(5) The board may issue an endorsement to the beer, wine, and 20
spirits sports entertainment facility license that allows the holder 21
of a beer, wine, and spirits sports entertainment facility license to 22
sell for off-premises consumption wine vinted and bottled in the 23
state of Washington and carrying a label exclusive to the license 24
holder selling the wine. Spirits and beer may not be sold for off-25
premises consumption under this section. The annual fee for the 26
endorsement under this section is ((one hundred twenty dollars )) 27
$180. 28
(6)(a) A licensee and an affiliated business may enter into 29
arrangements with a manufacturer, importer, or distributor for brand 30
advertising at the sports entertainment facility or promotion of 31
events held at the sports entertainment facility, with a capacity of 32
five thousand people or more. The financial arrangements providing 33
for the brand advertising or promotion of events shall not be used as 34
an inducement to purchase the products of the manufacturer, importer, 35
or distributor entering into the arrangement nor shall it result in 36
the exclusion of brands or products of other companies.37
(b) The arrangements allowed under this subsection (6) are an 38
exception to arrangements prohibited under RCW 66.28.305. The board 39
shall monitor the impacts of these arrangements. The board may 40
p. 64 SB 5786
conduct audits of the licensee and the affiliated business to 1
determine compliance with this subsection (6). Audits may include but 2
are not limited to product selection at the facility; purchase 3
patterns of the licensee; contracts with the liquor manufacturer, 4
importer, or distributor; and the amount allocated or used for liquor 5
advertising by the licensee, affiliated business, manufacturer, 6
importer, or distributor under the arrangements. 7
(c) The board shall report to the appropriate committees of the 8
legislature by December 30, 2008, and biennially thereafter, on the 9
impacts of arrangements allowed between sports entertainment 10
licensees and liquor manufacturers, importers, and distributors for 11
brand advertising and promotion of events at the facility.12
Sec. 40. RCW 66.24.580 and 2021 c 6 s 13 are each amended to 13
read as follows: 14
(1) A public house license allows the licensee:15
(a) To annually manufacture no less than ((two hundred fifty )) 16
250 gallons and no more than ((two thousand four hundred )) 2,400 17
barrels of beer on the licensed premises; 18
(b) To sell product, that is produced on the licensed premises, 19
at retail on the licensed premises for consumption on the licensed 20
premises; 21
(c) To sell beer or wine not of its own manufacture for 22
consumption on the licensed premises if the beer or wine has been 23
purchased from a licensed beer or wine wholesaler;24
(d) To apply for and, if qualified and upon the payment of the 25
appropriate fee, be licensed as a spirits, beer, and wine restaurant 26
to do business at the same location. This fee is in addition to the 27
fee charged for the basic public house license. 28
(2) RCW 66.28.305 applies to a public house license.29
(3) A public house licensee must pay all applicable taxes on 30
production as are required by law, and all appropriate taxes must be 31
paid for any product sold at retail on the licensed premises.32
(4) The employees of the licensee must comply with the provisions 33
of mandatory server training in RCW 66.20.300 through 66.20.350.34
(5) The holder of a public house license may not hold a 35
wholesaler's or importer's license, act as the agent of another 36
manufacturer, wholesaler, or importer, or hold a brewery or winery 37
license. 38
p. 65 SB 5786
(6)(((a))) The annual license fee for a public house is ((one 1
thousand dollars)) $1,500. 2
(((b) The annual fee in (a) of this subsection is waived during 3
the 12-month period beginning with the second calendar month after 4
February 28, 2021, for:5
(i) Licenses that expire during the 12-month waiver period under 6
this subsection (6)(b); and7
(ii) Licenses issued to persons previously licensed under this 8
section at any time during the 12-month period prior to the 12-month 9
waiver period under this subsection (6)(b).10
(c) The waiver in (b) of this subsection does not apply to any 11
licensee that:12
(i) Had their license suspended by the board for health and 13
safety violations of state COVID-19 guidelines; or14
(ii) Received an order of immediate restraint or citation from 15
the department of labor and industries for allowing an employee to 16
perform work where business activity was prohibited in violation of 17
an emergency proclamation of the governor under RCW 43.06.220.18
(d) Upon request of the department of revenue, the board and the 19
department of labor and industries must both provide a list of 20
persons that they have determined to be ineligible for a fee waiver 21
under (b) of this subsection for the reasons described in (c) of this 22
subsection. Unless otherwise agreed, any list must be received by the 23
department of revenue no later than 15 calendar days after the 24
request is made.))25
(7) The holder of a public house license may hold other licenses 26
at other locations if the locations are approved by the board.27
(8) Existing holders of annual retail liquor licenses may apply 28
for and, if qualified, be granted a public house license at one or 29
more of their existing liquor licensed locations without 30
discontinuing business during the application or construction stages.31
Sec. 41. RCW 66.24.590 and 2021 c 6 s 14 are each amended to 32
read as follows: 33
(1) There is a retailer's license to be designated as a hotel 34
license. No license may be issued to a hotel offering rooms to its 35
guests on an hourly basis. Food service provided for room service, 36
banquets or conferences, or restaurant operation under this license 37
must meet the requirements of rules adopted by the board.38
(2) The hotel license authorizes the licensee to:39
p. 66 SB 5786
(a) Sell spirituous liquor, beer, and wine, by the individual 1
glass, at retail, for consumption on the premises, including mixed 2
drinks and cocktails compounded and mixed on the premises;3
(b) Sell, at retail, from locked honor bars, in individual units, 4
spirits not to exceed ((fifty)) 50 milliliters, beer in individual 5
units not to exceed ((twelve)) 12 ounces, and wine in individual 6
bottles not to exceed ((three hundred eighty-five )) 385 milliliters, 7
to registered guests of the hotel for consumption in guest rooms. The 8
licensee must require proof of age from the guest renting a guest 9
room and requesting the use of an honor bar. The guest must also 10
execute an affidavit verifying that no one under ((twenty-one)) 21 11
years of age will have access to the spirits, beer, and wine in the 12
honor bar; 13
(c) Provide without additional charge, to overnight guests, 14
spirits, beer, and wine by the individual serving for on-premises 15
consumption at a specified regular date, time, and place as may be 16
fixed by the board. Self-service by attendees is prohibited;17
(d) Sell beer, including strong beer, wine, or spirits, in the 18
manufacturer's sealed container or by the individual drink to guests 19
through room service, or through service to occupants of private 20
residential units which are part of the buildings or complex of 21
buildings that include the hotel; 22
(e) Sell beer, including strong beer, spirits, or wine, in the 23
manufacturer's sealed container at retail sales locations within the 24
hotel premises; 25
(f) Sell beer to a purchaser in a sanitary container brought to 26
the premises by the purchaser or furnished by the licensee and filled 27
at the tap in the restaurant area by the licensee at the time of 28
sale; 29
(g) Sell for on or off-premises consumption, including through 30
room service and service to occupants of private residential units 31
managed by the hotel, wine carrying a label exclusive to the hotel 32
license holder; 33
(h) Place in guest rooms at check-in, a complimentary bottle of 34
liquor in a manufacturer-sealed container, and make a reference to 35
this service in promotional material. 36
(3) If all or any facilities for alcoholic beverage service and 37
the preparation, cooking, and serving of food are operated under 38
contract or joint venture agreement, the operator may hold a license 39
separate from the license held by the operator of the hotel. Food and 40
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beverage inventory used in separate licensed operations at the hotel 1
may not be shared and must be separately owned and stored by the 2
separate licensees. 3
(4) All spirits to be sold under this license must be purchased 4
from a spirits retailer or spirits distributor licensee of the board.5
(5) All on-premises alcoholic beverage service must be done by an 6
alcohol server as defined in RCW 66.20.300 and must comply with RCW 7
66.20.310. 8
(6)(a) The hotel license allows the licensee to remove from the 9
liquor stocks at the licensed premises, liquor for sale and service 10
at event locations at a specified date and place not currently 11
licensed by the board. If the event is open to the public, it must be 12
sponsored by a society or organization as defined by RCW 66.24.375. 13
If attendance at the event is limited to members or invited guests of 14
the sponsoring individual, society, or organization, the requirement 15
that the sponsor must be a society or organization as defined by RCW 16
66.24.375 is waived. 17
(b) The holder of this license must, if requested by the board, 18
notify the board or its designee of the date, time, place, and 19
location of any event. Upon request, the licensee must provide to the 20
board all necessary or requested information concerning the society 21
or organization that will be holding the function at which the 22
endorsed license will be utilized. 23
(c) Licensees may cater events on a domestic winery, brewery, or 24
distillery premises. 25
(7) The holder of this license or its manager may furnish 26
spirits, beer, or wine to the licensee's employees who are ((twenty-27
one)) 21 years of age or older free of charge as may be required for 28
use in connection with instruction on spirits, beer, and wine. The 29
instruction may include the history, nature, values, and 30
characteristics of spirits, beer, or wine, the use of wine lists, and 31
the methods of presenting, serving, storing, and handling spirits, 32
beer, or wine. The licensee must use the liquor it obtains under its 33
license for the sampling as part of the instruction. The instruction 34
must be given on the premises of the licensee. 35
(8) Minors may be allowed in all areas of the hotel where liquor 36
may be consumed; however, the consumption must be incidental to the 37
primary use of the area. These areas include, but are not limited to, 38
tennis courts, hotel lobbies, and swimming pool areas. If an area is 39
not a mixed-use area, and is primarily used for alcohol service, the 40
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area must be designated and restricted to access by persons of lawful 1
age to purchase liquor. 2
(9)(((a))) The annual fee for this license is ((two thousand 3
dollars)) $3,000. 4
(((b) The annual fee in (a) of this subsection is waived during 5
the 12-month period beginning with the second calendar month after 6
February 28, 2021, for:7
(i) Licenses that expire during the 12-month waiver period under 8
this subsection (9)(b); and9
(ii) Licenses issued to persons previously licensed under this 10
section at any time during the 12-month period prior to the 12-month 11
waiver period under this subsection (9)(b).12
(c) The waiver in (b) of this subsection does not apply to any 13
licensee that:14
(i) Had their license suspended by the board for health and 15
safety violations of state COVID-19 guidelines; or16
(ii) Received an order of immediate restraint or citation from 17
the department of labor and industries for allowing an employee to 18
perform work where business activity was prohibited in violation of 19
an emergency proclamation of the governor under RCW 43.06.220.20
(d) Upon request of the department of revenue, the board and the 21
department of labor and industries must both provide a list of 22
persons that they have determined to be ineligible for a fee waiver 23
under (b) of this subsection for the reasons described in (c) of this 24
subsection. Unless otherwise agreed, any list must be received by the 25
department of revenue no later than 15 calendar days after the 26
request is made.))27
(10) As used in this section, "hotel," "spirits," "beer," and 28
"wine" have the meanings defined in RCW 66.24.410 and 66.04.010.29
Sec. 42. RCW 66.24.600 and 2021 c 6 s 15 are each amended to 30
read as follows: 31
(1) There shall be a spirits, beer, and wine nightclub license to 32
sell spirituous liquor by the drink, beer, and wine at retail, for 33
consumption on the licensed premises. 34
(2) The license may be issued only to a person whose business 35
includes the sale and service of alcohol to the person's customers, 36
has food sales and service incidental to the sale and service of 37
alcohol, and has primary business hours between 9:00 p.m. and 2:00 38
a.m. 39
p. 69 SB 5786
(3) Minors may be allowed on the licensed premises but only in 1
areas where alcohol is not served or consumed. 2
(4)(((a))) The annual fee for this license is ((two thousand 3
dollars)) $3,000. The fee for the license shall be reviewed from time 4
to time and set at such a level sufficient to defray the cost of 5
licensing and enforcing this licensing program. The fee shall be 6
fixed by rule adopted by the board in accordance with the provisions 7
of the administrative procedure act, chapter 34.05 RCW.8
(((b) The annual fee in (a) of this subsection is waived during 9
the 12-month period beginning with the second calendar month after 10
February 28, 2021, for:11
(i) Licenses that expire during the 12-month waiver period under 12
this subsection (4)(b); and13
(ii) Licenses issued to persons previously licensed under this 14
section at any time during the 12-month period prior to the 12-month 15
waiver period under this subsection (4)(b).16
(c) The waiver in (b) of this subsection does not apply to any 17
licensee that:18
(i) Had their license suspended by the board for health and 19
safety violations of state COVID-19 guidelines; or20
(ii) Received an order of immediate restraint or citation from 21
the department of labor and industries for allowing an employee to 22
perform work where business activity was prohibited in violation of 23
an emergency proclamation of the governor under RCW 43.06.220.24
(d) Upon request of the department of revenue, the board and the 25
department of labor and industries must both provide a list of 26
persons that they have determined to be ineligible for a fee waiver 27
under (b) of this subsection for the reasons described in (c) of this 28
subsection. Unless otherwise agreed, any list must be received by the 29
department of revenue no later than 15 calendar days after the 30
request is made.))31
(5) Local governments may petition the board to request that 32
further restrictions be imposed on a spirits, beer, and wine 33
nightclub license in the interest of public safety. Examples of 34
further restrictions a local government may request are: No minors 35
allowed on the entire premises, submitting a security plan, or 36
signing a good neighbor agreement with the local government.37
(6) The total number of spirits, beer, and wine nightclub 38
licenses are subject to the requirements of RCW 66.24.420(4). 39
However, the board shall refuse a spirits, beer, and wine nightclub 40
p. 70 SB 5786
license to any applicant if the board determines that the spirits, 1
beer, and wine nightclub licenses already granted for the particular 2
locality are adequate for the reasonable needs of the community.3
(7) The board may adopt rules to implement this section.4
Sec. 43. RCW 66.24.610 and 2011 c 325 s 1 are each amended to 5
read as follows: 6
There shall be a license to allow a VIP airport lounge operator 7
to sell or otherwise provide spirits, wine, and beer solely for 8
consumption on the premises of a VIP airport lounge. The license 9
described in this section allows the VIP airport lounge operator to 10
purchase spirits from the board, and to purchase beer and wine at 11
retail outlets, or from the manufacturer or a distributor. No 12
licensee may serve liquor from a bar where patrons may sit to be 13
served, but may only serve liquor from a service bar, as approved by 14
the board. The annual fee for this license shall be ((two thousand 15
dollars)) $3,000. 16
Sec. 44. RCW 66.24.630 and 2021 c 48 s 5 are each amended to 17
read as follows: 18
(1) There is a spirits retail license to: Sell spirits in 19
original containers to consumers for consumption off the licensed 20
premises and to permit holders; sell spirits in original containers 21
to retailers licensed to sell spirits for consumption on the 22
premises, for resale at their licensed premises according to the 23
terms of their licenses, although no single sale may exceed ((twenty-24
four)) 24 liters, unless the sale is by a licensee that was a 25
contract liquor store manager of a contract liquor store at the 26
location of its spirits retail licensed premises from which it makes 27
such sales; and export spirits. 28
(2) For the purposes of this title, a spirits retail license is a 29
retail license, and a sale by a spirits retailer is a retail sale 30
only if not for resale. Nothing in this title authorizes sales by on-31
sale licensees to other retail licensees. The board must establish by 32
rule an obligation of on-sale spirits retailers to:33
(a) Maintain a schedule by stock-keeping unit of all their 34
purchases of spirits from spirits retail licensees, including 35
combination spirits, beer, and wine licensees holding a license 36
issued pursuant to RCW 66.24.035, indicating the identity of the 37
seller and the quantities purchased; and 38
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(b) Provide, not more frequently than quarterly, a report for 1
each scheduled item containing the identity of the purchasing on-2
premises licensee and the quantities of that scheduled item purchased 3
since any preceding report to: 4
(i) A distributor authorized by the distiller to distribute a 5
scheduled item in the on-sale licensee's geographic area; or6
(ii) A distiller acting as distributor of the scheduled item in 7
the area. 8
(3)(a) Except as otherwise provided in (c) of this subsection, 9
the board may issue spirits retail licenses only for premises 10
comprising at least ((ten thousand )) 10,000 square feet of fully 11
enclosed retail space within a single structure, including storerooms 12
and other interior auxiliary areas but excluding covered or fenced 13
exterior areas, whether or not attached to the structure, and only to 14
applicants that the board determines will maintain systems for 15
inventory management, employee training, employee supervision, and 16
physical security of the product substantially as effective as those 17
of stores currently operated by the board with respect to preventing 18
sales to or pilferage by underage or inebriated persons.19
(b) License issuances and renewals are subject to RCW 66.24.010 20
and the regulations adopted thereunder, including without limitation 21
rights of cities, towns, county legislative authorities, the public, 22
churches, schools, and public institutions to object to or prevent 23
issuance of local liquor licenses. However, existing grocery premises 24
licensed to sell beer and/or wine are deemed to be premises "now 25
licensed" under RCW 66.24.010(9)(a) for the purpose of processing 26
applications for spirits retail licenses. 27
(c) The board may not deny a spirits retail license to an 28
otherwise qualified contract liquor store at its contract location or 29
to the holder of former state liquor store operating rights sold at 30
auction under RCW 66.24.620 on the grounds of location, nature, or 31
size of the premises to be licensed. The board may not deny a spirits 32
retail license to applicants that are not contract liquor stores or 33
operating rights holders on the grounds of the size of the premises 34
to be licensed, if such applicant is otherwise qualified and the 35
board determines that: 36
(i) There is no spirits retail license holder in the trade area 37
that the applicant proposes to serve; 38
(ii) The applicant meets, or upon licensure will meet, the 39
operational requirements established by the board by rule; and40
p. 72 SB 5786
(iii) The licensee has not committed more than one public safety 1
violation within the three years preceding application.2
(d) A retailer authorized to sell spirits for consumption on or 3
off the licensed premises may accept delivery of spirits at its 4
licensed premises, at another licensed premises as designated by the 5
retailer, or at one or more warehouse facilities registered with the 6
board, which facilities may also warehouse and distribute nonliquor 7
items, and from which the retailer may deliver to its own licensed 8
premises and, pursuant to sales permitted under subsection (1) of 9
this section: 10
(i) To other retailer premises licensed to sell spirits for 11
consumption on the licensed premises; 12
(ii) To other registered facilities; or 13
(iii) To lawful purchasers outside the state. The facilities may 14
be registered and utilized by associations, cooperatives, or 15
comparable groups of retailers, including at least one retailer 16
licensed to sell spirits. 17
(e) For purposes of negotiating volume discounts, a group of 18
individual retailers authorized to sell spirits for consumption off 19
the licensed premises may accept delivery of spirits at their 20
individual licensed premises or at any one of the individual 21
licensee's premises, or at a warehouse facility registered with the 22
board. 23
(4)(a) Except as otherwise provided in RCW 66.24.632, section 2, 24
chapter 48, Laws of 2021, or in (b) of this subsection, each spirits 25
retail licensee must pay to the board, for deposit into the liquor 26
revolving fund, a license issuance fee equivalent to ((seventeen)) 17 27
percent of all spirits sales revenues under the license, exclusive of 28
taxes collected by the licensee and of sales of items on which a 29
license fee payable under this section has otherwise been incurred. 30
The board must establish rules setting forth the timing of such 31
payments and reporting of sales dollar volume by the licensee, with 32
payments required quarterly in arrears. The first payment is due 33
October 1, 2012. 34
(b) This subsection (4) does not apply to craft distilleries for 35
sales of spirits of the craft distillery's own production.36
(5) In addition to the payment required under subsection (4) of 37
this section, each licensee must pay an annual license renewal fee of 38
((one hundred sixty-six dollars )) $240. The board must periodically 39
review and adjust the renewal fee as may be required to maintain it 40
p. 73 SB 5786
as comparable to annual license renewal fees for licenses to sell 1
beer and wine not for consumption on the licensed premises. If 2
required by law at the time, any increase of the annual renewal fee 3
becomes effective only upon ratification by the legislature.4
(6) As a condition to receiving and renewing a spirits retail 5
license the licensee must provide training as prescribed by the board 6
by rule for individuals who sell spirits or who manage others who 7
sell spirits regarding compliance with laws and regulations regarding 8
sale of spirits, including without limitation the prohibitions 9
against sale of spirits to individuals who are underage or visibly 10
intoxicated. The training must be provided before the individual 11
first engages in the sale of spirits and must be renewed at least 12
every five years. The licensee must maintain records documenting the 13
nature and frequency of the training provided. An employee training 14
program is presumptively sufficient if it incorporates a "responsible 15
vendor program" adopted by the board. 16
(7) The maximum penalties prescribed by the board in WAC 17
314-29-020 through 314-29-040 relating to fines and suspensions are 18
doubled for violations relating to the sale of spirits by spirits 19
retail licensees. 20
(8)(a) The board must adopt regulations concerning the adoption 21
and administration of a compliance training program for spirits 22
retail licensees, to be known as a "responsible vendor program," to 23
reduce underage drinking, encourage licensees to adopt specific best 24
practices to prevent sales to minors, and provide licensees with an 25
incentive to give their employees ongoing training in responsible 26
alcohol sales and service. 27
(b) Licensees who join the responsible vendor program under this 28
section and maintain all of the program's requirements are not 29
subject to the doubling of penalties provided in this section for a 30
single violation in any period of twelve calendar months.31
(c) The responsible vendor program must be free, voluntary, and 32
self-monitoring. 33
(d) To participate in the responsible vendor program, licensees 34
must submit an application form to the board. If the application 35
establishes that the licensee meets the qualifications to join the 36
program, the board must send the licensee a membership certificate.37
(e) A licensee participating in the responsible vendor program 38
must at a minimum: 39
(i) Provide ongoing training to employees; 40
p. 74 SB 5786
(ii) Accept only certain forms of identification for alcohol 1
sales; 2
(iii) Adopt policies on alcohol sales and checking 3
identification; 4
(iv) Post specific signs in the business; and 5
(v) Keep records verifying compliance with the program's 6
requirements. 7
(f)(i) A spirits retail licensee that also holds a grocery store 8
license under RCW 66.24.360 or a beer and/or wine specialty shop 9
license under RCW 66.24.371 may, upon board approval and pursuant to 10
board rules, transition to a combination spirits, beer, and wine 11
license pursuant to RCW 66.24.035. 12
(ii) An applicant that would qualify for a spirits retail license 13
under this section and that qualifies for a combination spirits, 14
beer, and wine license pursuant to RCW 66.24.035 may apply for a 15
license pursuant to RCW 66.24.035 instead of applying for a spirits 16
retail license under this section. 17
Sec. 45. RCW 66.24.650 and 2021 c 6 s 16 are each amended to 18
read as follows: 19
(1)(((a))) There is a theater license to sell beer, including 20
strong beer, or wine, or both, at retail, for consumption on theater 21
premises. The annual fee is ((four hundred dollars )) $600 for a beer 22
and wine theater license. 23
(((b) The annual fee in (a) of this subsection is waived during 24
the 12-month period beginning with the second calendar month after 25
February 28, 2021, for:26
(i) Licenses that expire during the 12-month waiver period under 27
this subsection (1)(b); and28
(ii) Licenses issued to persons previously licensed under this 29
section at any time during the 12-month period prior to the 12-month 30
waiver period under this subsection (1)(b).31
(c) The waiver in (b) of this subsection does not apply to any 32
licensee that:33
(i) Had their license suspended by the board for health and 34
safety violations of state COVID-19 guidelines; or35
(ii) Received an order of immediate restraint or citation from 36
the department of labor and industries for allowing an employee to 37
perform work where business activity was prohibited in violation of 38
an emergency proclamation of the governor under RCW 43.06.220.39
p. 75 SB 5786
(d) Upon request of the department of revenue, the board and the 1
department of labor and industries must both provide a list of 2
persons that they have determined to be ineligible for a fee waiver 3
under (b) of this subsection for the reasons described in (c) of this 4
subsection. Unless otherwise agreed, any list must be received by the 5
department of revenue no later than 15 calendar days after the 6
request is made.))7
(2) If the theater premises is to be frequented by minors, an 8
alcohol control plan must be submitted to the board at the time of 9
application. The alcohol control plan must be approved by the board, 10
and be prominently posted on the premises, prior to minors being 11
allowed. 12
(3) For the purposes of this section: 13
(a) "Alcohol control plan" means a written, dated, and signed 14
plan submitted to the board by an applicant or licensee for the 15
entire theater premises, or rooms or areas therein, that shows where 16
and when alcohol is permitted, where and when minors are permitted, 17
and the control measures used to ensure that minors are not able to 18
obtain alcohol or be exposed to environments where drinking alcohol 19
predominates. 20
(b) "Theater" means a place of business where motion pictures or 21
other primarily nonparticipatory entertainment are shown, and 22
includes only theaters with up to four screens. 23
(4) The board must adopt rules regarding alcohol control plans 24
and necessary control measures to ensure that minors are not able to 25
obtain alcohol or be exposed to areas where drinking alcohol 26
predominates. All alcohol control plans must include a requirement 27
that any person involved in the serving of beer and/or wine must have 28
completed a mandatory alcohol server training program.29
(5)(a) A licensee that is an entity that is exempt from taxation 30
under Title 26 U.S.C. Sec. 501 (c)(3) of the federal internal revenue 31
code of 1986, as amended as of January 1, 2013, may enter into 32
arrangements with a beer or wine manufacturer, importer, or 33
distributor for brand advertising at the theater or promotion of 34
events held at the theater. The financial arrangements providing for 35
the brand advertising or promotion of events may not be used as an 36
inducement to purchase the products of the manufacturer, importer, or 37
distributor entering into the arrangement and such arrangements may 38
not result in the exclusion of brands or products of other companies.39
p. 76 SB 5786
(b) The arrangements allowed under this subsection (5) are an 1
exception to arrangements prohibited under RCW 66.28.305. The board 2
must monitor the impacts of these arrangements. The board may conduct 3
audits of a licensee and the affiliated business to determine 4
compliance with this subsection (5). Audits may include, but are not 5
limited to: Product selection at the facility; purchase patterns of 6
the licensee; contracts with the beer or wine manufacturer, importer, 7
or distributor; and the amount allocated or used for wine or beer 8
advertising by the licensee, affiliated business, manufacturer, 9
importer, or distributor under the arrangements. 10
(6) The maximum penalties prescribed by the board in WAC 11
314-29-020 relating to fines and suspensions are double for 12
violations involving minors or the failure to follow the alcohol 13
control plan with respect to theaters licensed under this section.14
Sec. 46. RCW 66.24.655 and 2021 c 6 s 17 are each amended to 15
read as follows: 16
(1)(((a))) There is a theater license to sell spirits, beer, 17
including strong beer, or wine, or all, at retail, for consumption on 18
theater premises. A spirits, beer, and wine theater license may be 19
issued only to theaters that have no more than ((one hundred twenty)) 20
120 seats per screen and that are maintained in a substantial manner 21
as a place for preparing, cooking, and serving complete meals and 22
providing tabletop accommodations for in-theater dining. Requirements 23
for complete meals are the same as those adopted by the board in 24
rules pursuant to chapter 34.05 RCW for a spirits, beer, and wine 25
restaurant license authorized by RCW 66.24.400. The annual fee for a 26
spirits, beer, and wine theater license is ((two thousand dollars )) 27
$3,000. 28
(((b) The annual fee in (a) of this subsection is waived during 29
the 12-month period beginning with the second calendar month after 30
February 28, 2021, for:31
(i) Licenses that expire during the 12-month waiver period under 32
this subsection (1)(b); and33
(ii) Licenses issued to persons previously licensed under this 34
section at any time during the 12-month period prior to the 12-month 35
waiver period under this subsection (1)(b).36
(c) The waiver in (b) of this subsection does not apply to any 37
licensee that:38
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(i) Had their license suspended by the board for health and 1
safety violations of state COVID-19 guidelines; or2
(ii) Received an order of immediate restraint or citation from 3
the department of labor and industries for allowing an employee to 4
perform work where business activity was prohibited in violation of 5
an emergency proclamation of the governor under RCW 43.06.220.6
(d) Upon request of the department of revenue, the board and the 7
department of labor and industries must both provide a list of 8
persons that they have determined to be ineligible for a fee waiver 9
under (b) of this subsection for the reasons described in (c) of this 10
subsection. Unless otherwise agreed, any list must be received by the 11
department of revenue no later than 15 calendar days after the 12
request is made.))13
(2) If the theater premises is to be frequented by minors, an 14
alcohol control plan must be submitted to the board at the time of 15
application. The alcohol control plan must be approved by the board 16
and be prominently posted on the premises, prior to minors being 17
allowed. 18
(3) For the purposes of this section: 19
(a) "Alcohol control plan" means a written, dated, and signed 20
plan submitted to the board by an applicant or licensee for the 21
entire theater premises, or rooms or areas therein, that shows where 22
and when alcohol is permitted, where and when minors are permitted, 23
and the control measures used to ensure that minors are not able to 24
obtain alcohol or be exposed to environments where drinking alcohol 25
predominates. 26
(b) "Theater" means a place of business where motion pictures or 27
other primarily nonparticipatory entertainment are shown.28
(4) The board must adopt rules regarding alcohol control plans 29
and necessary control measures to ensure that minors are not able to 30
obtain alcohol or be exposed to areas where drinking alcohol 31
predominates. All alcohol control plans must include a requirement 32
that any person involved in the serving of spirits, beer, and/or wine 33
must have completed a mandatory alcohol server training program.34
(5)(a) A licensee that is an entity that is exempt from taxation 35
under Title 26 U.S.C. Sec. 501 (c)(3) of the federal internal revenue 36
code of 1986, as amended as of January 1, 2013, may enter into 37
arrangements with a spirits, beer, or wine manufacturer, importer, or 38
distributor for brand advertising at the theater or promotion of 39
events held at the theater. The financial arrangements providing for 40
p. 78 SB 5786
the brand advertising or promotion of events may not be used as an 1
inducement to purchase the products of the manufacturer, importer, or 2
distributor entering into the arrangement and such arrangements may 3
not result in the exclusion of brands or products of other companies.4
(b) The arrangements allowed under this subsection (5) are an 5
exception to arrangements prohibited under RCW 66.28.305. The board 6
must monitor the impacts of these arrangements. The board may conduct 7
audits of a licensee and the affiliated business to determine 8
compliance with this subsection (5). Audits may include, but are not 9
limited to: Product selection at the facility; purchase patterns of 10
the licensee; contracts with the spirits, beer, or wine manufacturer, 11
importer, or distributor; and the amount allocated or used for 12
spirits, beer, or wine advertising by the licensee, affiliated 13
business, manufacturer, importer, or distributor under the 14
arrangements. 15
(6) The maximum penalties prescribed by the board in WAC 16
314-29-020 relating to fines and suspensions are double for 17
violations involving minors or the failure to follow the alcohol 18
control plan with respect to theaters licensed under this section.19
Sec. 47. RCW 66.24.680 and 2021 c 176 s 5235 and 2021 c 6 s 18 20
are each reenacted and amended to read as follows:21
(1) There shall be a license to be designated as a senior center 22
license. This shall be a license issued to a nonprofit organization 23
whose primary service is providing recreational and social activities 24
for seniors on the licensed premises. This license shall permit the 25
licensee to sell spirits by the individual glass, including mixed 26
drinks and cocktails mixed on the premises only, beer and wine, at 27
retail for consumption on the premises. 28
(2) To qualify for this license, the applicant entity must:29
(a) Be a nonprofit organization under chapter 24.03A RCW;30
(b) Be open at times and durations established by the board; and31
(c) Provide limited food service as defined by the board.32
(3) All alcohol servers must have a valid mandatory alcohol 33
server training permit. 34
(4) The board shall adopt rules to implement this section.35
(5)(((a))) The annual fee for this license shall be ((seven 36
hundred twenty dollars)) $1,080. 37
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(((b) The annual fee in (a) of this subsection is waived during 1
the 12-month period beginning with the second calendar month after 2
February 28, 2021, for:3
(i) Licenses that expire during the 12-month waiver period under 4
this subsection (5)(b); and5
(ii) Licenses issued to persons previously licensed under this 6
section at any time during the 12-month period prior to the 12-month 7
waiver period under this subsection (5)(b).8
(c) The waiver in (b) of this subsection does not apply to any 9
licensee that:10
(i) Had their license suspended by the board for health and 11
safety violations of state COVID-19 guidelines; or12
(ii) Received an order of immediate restraint or citation from 13
the department of labor and industries for allowing an employee to 14
perform work where business activity was prohibited in violation of 15
an emergency proclamation of the governor under RCW 43.06.220.16
(d) Upon request of the department of revenue, the board and the 17
department of labor and industries must both provide a list of 18
persons that they have determined to be ineligible for a fee waiver 19
under (b) of this subsection for the reasons described in (c) of this 20
subsection. Unless otherwise agreed, any list must be received by the 21
department of revenue no later than 15 calendar days after the 22
request is made.))23
Sec. 48. RCW 66.24.690 and 2021 c 6 s 19 are each amended to 24
read as follows: 25
(1) There shall be a caterer's license to sell spirits, beer, and 26
wine, by the individual serving, at retail, for consumption on the 27
premises at an event location that is either owned, leased, or 28
operated either by the caterer or the sponsor of the event for which 29
catering services are being provided. If the event is open to the 30
public, it must be sponsored by a society or organization as defined 31
in RCW 66.24.375. If attendance at the event is limited to members or 32
invited guests of the sponsoring individual, society, or 33
organization, the requirement that the sponsor must be a society or 34
organization as defined in RCW 66.24.375 is waived. The licensee must 35
serve food as required by rules of the board. 36
(2)(((a))) The annual fee is ((two hundred dollars)) $300 for the 37
beer license, ((two hundred dollars )) $300 for the wine license, or 38
((four hundred dollars )) $600 for a combination beer and wine 39
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license. The annual fee for a combined beer, wine, and spirits 1
license is ((one thousand dollars)) $1,500. 2
(((b) The annual fees in (a) of this subsection are waived during 3
the 12-month period beginning with the second calendar month after 4
February 28, 2021, for:5
(i) Licenses that expire during the 12-month waiver period under 6
this subsection (2)(b); and7
(ii) Licenses issued to persons previously licensed under this 8
section at any time during the 12-month period prior to the 12-month 9
waiver period under this subsection (2)(b).10
(c) The waivers in (b) of this subsection do not apply to any 11
licensee that:12
(i) Had their license suspended by the board for health and 13
safety violations of state COVID-19 guidelines; or14
(ii) Received an order of immediate restraint or citation from 15
the department of labor and industries for allowing an employee to 16
perform work where business activity was prohibited in violation of 17
an emergency proclamation of the governor under RCW 43.06.220.18
(d) Upon request of the department of revenue, the board and the 19
department of labor and industries must both provide a list of 20
persons that they have determined to be ineligible for a fee waiver 21
under (b) of this subsection for the reasons described in (c) of this 22
subsection. Unless otherwise agreed, any list must be received by the 23
department of revenue no later than 15 calendar days after the 24
request is made.))25
(3) The holder of this license shall notify the board or its 26
designee of the date, time, place, and location of any catered event 27
at which liquor will be served, sold, or consumed. The board shall 28
create rules detailing notification requirements. Upon request, the 29
licensee shall provide to the board all necessary or requested 30
information concerning the individual, society, or organization that 31
will be holding the catered function at which the caterer's liquor 32
license will be utilized. 33
(4) The holder of this license may, under conditions established 34
by the board, store liquor on other premises operated by the licensee 35
so long as the other premises are owned or controlled by a leasehold 36
interest by that licensee. 37
(5) The holder of this license is prohibited from catering events 38
at locations that are already licensed to sell liquor under this 39
chapter. 40
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(6) The holder of this license is responsible for all sales, 1
service, and consumption of alcohol at the location of the catered 2
event. 3
Sec. 49. RCW 66.24.695 and 2017 c 229 s 1 are each amended to 4
read as follows: 5
(1) There shall be a bonded and nonbonded spirits warehouse 6
license for spirits warehouses that authorizes the storage and 7
handling of bonded bulk spirits and, to the extent allowed under 8
federal law and under rules adopted by the board, bottled spirits and 9
the storage of tax-paid spirits not in bond. Under this license a 10
licensee may maintain a warehouse for the storage of federally 11
authorized spirits off the premises of a distillery for distillers 12
qualified under RCW 66.24.140, 66.24.145, or 66.24.150, or entities 13
otherwise licensed and permitted in this state, or bulk spirits 14
transferred in bond from out-of-state distilleries and, to the extent 15
allowed by federal law and under rules adopted by the board, bottled 16
spirits, if the storage of the federally authorized spirits 17
transferred into the state is for storage only and not for processing 18
or bottling in the bonded spirits warehouse. A licensee must 19
designate clearly in its license application to the board the 20
sections of the warehouse that are bonded and nonbonded with a 21
physical separation between such spaces. Only spirits in bond may be 22
stored in the bonded sections of the warehouse and only spirits that 23
have been removed from bond tax-paid may be stored in nonbonded areas 24
of the warehouse. The proprietor of the warehouse must maintain a 25
plan for tracking spirits being stored in the warehouse to ensure 26
compliance with relevant bonding and tax obligations.27
(2) The board must adopt similar qualifications for a spirits 28
warehouse licensed under this section as required for obtaining a 29
distillery license as specified in RCW 66.24.140, 66.24.145, and 30
66.24.150. A licensee must be a sole proprietor, a partnership, a 31
limited liability company, a corporation, a port authority, a city, a 32
county, or any other public entity or subdivision of the state that 33
elects to license a bonded spirits warehouse as an agricultural or 34
economic development activity. One or more domestic distilleries or 35
manufacturers may operate as a partnership, corporation, business co-36
op, cotenant, or agricultural co-op for the purpose of obtaining a 37
bonded and nonbonded spirits warehouse license or storing spirits in 38
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the facility under a common management and oversight agreement free 1
of charge or for a fee. 2
(3) Spirits in bond may be removed from a bonded spirits 3
warehouse for the purpose of being: 4
(a) Exported from the state; 5
(b) Returned to a distillery or spirits warehouse licensed under 6
this section; or 7
(c) Transferred to a distillery, spirits warehouse licensed under 8
this section, or a licensed bottling or packaging facility.9
(4) Bottled spirits that are being removed from a spirits 10
warehouse licensed under this section tax-paid may be:11
(a) Transferred back to the distillery that produced them;12
(b) Shipped to a licensed Washington spirits distributor;13
(c) Shipped to a licensed Washington spirits retailer;14
(d) Exported from the state; or 15
(e) Removed for direct shipping to a consumer pursuant to RCW 16
66.20.410. 17
(5) The ownership and operation of a spirits warehouse facility 18
licensed under this section may be by a person or entity other than 19
those described in this section acting in a commercial warehouse 20
management position under contract for such licensed persons or 21
entities on their behalf. 22
(6) A license applicant must demonstrate the right to have 23
warehoused spirits under a valid federal permit held by a licensee 24
who maintains ownership and title to the spirits while they are in 25
storage in the spirits warehouse licensed under this section. The fee 26
for this license is ((one hundred dollars)) $150 per year.27
(7) The board must adopt rules requiring a spirits warehouse 28
licensed under this section to be physically secure, zoned for the 29
intended use, and physically separated from any other use.30
(8) The operator or licensee operating a spirits warehouse 31
licensed under this section must submit to the board a monthly report 32
of movement of spirits to and from a warehouse licensed under this 33
section in a form prescribed by the board. The board may adopt other 34
necessary procedures by which such warehouses are licensed and 35
regulated. 36
(9) The board may require a single annual permit valid for a full 37
calendar year issued to each licensee or entity warehousing spirits 38
under this section that allows for unlimited transfers to and from 39
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such warehouse within that year. The fee for this permit is ((one 1
hundred dollars)) $150 per year. 2
(10) Handling of bottled spirits that have been removed from bond 3
tax-paid and that reside in the spirits warehouse licensed under this 4
section includes packaging and repackaging services; bottle labeling 5
services; creating baskets or variety packs that may or may not 6
include nonspirits products; and picking, packing, and shipping 7
spirits orders on behalf of a licensed distillery direct to consumers 8
in accordance with RCW 66.20.410. A distillery contracting with the 9
operator of a spirits warehouse licensed under this section for 10
handling bottled spirits must comply with all applicable state and 11
federal laws and is responsible for financial transactions in direct 12
to consumer shipping activities. 13
NEW SECTION. Sec. 50. A new section is added to chapter 66.08 14
RCW to read as follows: 15
The board must increase by 50 percent the license, permit, or 16
endorsement fee for any liquor license, permit, or endorsement in 17
which the amount of such fee is determined by the board in rule.18
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