SB3019 EngrossedLRB100 18963 RPS 34213 b

1    AN ACT concerning liquor.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Liquor Control Act of 1934 is amended by
5changing Sections 5-1, 6-4, 6-6, 6-8, and 8-1 as follows:
 
6    (235 ILCS 5/5-1)  (from Ch. 43, par. 115)
7    Sec. 5-1. Licenses issued by the Illinois Liquor Control
8Commission shall be of the following classes:
9    (a) Manufacturer's license - Class 1. Distiller, Class 2.
10Rectifier, Class 3. Brewer, Class 4. First Class Wine
11Manufacturer, Class 5. Second Class Wine Manufacturer, Class 6.
12First Class Winemaker, Class 7. Second Class Winemaker, Class
138. Limited Wine Manufacturer, Class 9. Craft Distiller, Class
1410. Class 1 Brewer, Class 11. Class 2 Brewer,
15    (b) Distributor's license,
16    (c) Importing Distributor's license,
17    (d) Retailer's license,
18    (e) Special Event Retailer's license (not-for-profit),
19    (f) Railroad license,
20    (g) Boat license,
21    (h) Non-Beverage User's license,
22    (i) Wine-maker's premises license,
23    (j) Airplane license,

 

 

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1    (k) Foreign importer's license,
2    (l) Broker's license,
3    (m) Non-resident dealer's license,
4    (n) Brew Pub license,
5    (o) Auction liquor license,
6    (p) Caterer retailer license,
7    (q) Special use permit license,
8    (r) Winery shipper's license,
9    (s) Craft distiller tasting permit.
10    No person, firm, partnership, corporation, or other legal
11business entity that is engaged in the manufacturing of wine
12may concurrently obtain and hold a wine-maker's license and a
13wine manufacturer's license.
14    (a) A manufacturer's license shall allow the manufacture,
15importation in bulk, storage, distribution and sale of
16alcoholic liquor to persons without the State, as may be
17permitted by law and to licensees in this State as follows:
18    Class 1. A Distiller may make sales and deliveries of
19alcoholic liquor to distillers, rectifiers, importing
20distributors, distributors and non-beverage users and to no
21other licensees.
22    Class 2. A Rectifier, who is not a distiller, as defined
23herein, may make sales and deliveries of alcoholic liquor to
24rectifiers, importing distributors, distributors, retailers
25and non-beverage users and to no other licensees.
26    Class 3. A Brewer may make sales and deliveries of beer to

 

 

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1importing distributors and distributors and may make sales as
2authorized under subsection (e) of Section 6-4 of this Act.
3    Class 4. A first class wine-manufacturer may make sales and
4deliveries of up to 50,000 gallons of wine to manufacturers,
5importing distributors and distributors, and to no other
6licensees.
7    Class 5. A second class Wine manufacturer may make sales
8and deliveries of more than 50,000 gallons of wine to
9manufacturers, importing distributors and distributors and to
10no other licensees.
11    Class 6. A first-class wine-maker's license shall allow the
12manufacture of up to 50,000 gallons of wine per year, and the
13storage and sale of such wine to distributors in the State and
14to persons without the State, as may be permitted by law. A
15person who, prior to June 1, 2008 (the effective date of Public
16Act 95-634), is a holder of a first-class wine-maker's license
17and annually produces more than 25,000 gallons of its own wine
18and who distributes its wine to licensed retailers shall cease
19this practice on or before July 1, 2008 in compliance with
20Public Act 95-634.
21    Class 7. A second-class wine-maker's license shall allow
22the manufacture of between 50,000 and 150,000 gallons of wine
23per year, and the storage and sale of such wine to distributors
24in this State and to persons without the State, as may be
25permitted by law. A person who, prior to June 1, 2008 (the
26effective date of Public Act 95-634), is a holder of a

 

 

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1second-class wine-maker's license and annually produces more
2than 25,000 gallons of its own wine and who distributes its
3wine to licensed retailers shall cease this practice on or
4before July 1, 2008 in compliance with Public Act 95-634.
5    Class 8. A limited wine-manufacturer may make sales and
6deliveries not to exceed 40,000 gallons of wine per year to
7distributors, and to non-licensees in accordance with the
8provisions of this Act.
9    Class 9. A craft distiller license shall allow the
10manufacture of up to 100,000 gallons of spirits by distillation
11per year and the storage of such spirits. If a craft distiller
12licensee, including a craft distiller licensee who holds more
13than one craft distiller license, is not affiliated with any
14other manufacturer of spirits, then the craft distiller
15licensee may sell such spirits to distributors in this State
16and up to 2,500 gallons of such spirits to non-licensees to the
17extent permitted by any exemption approved by the Commission
18pursuant to Section 6-4 of this Act. A craft distiller license
19holder may store such spirits at a non-contiguous licensed
20location, but at no time shall a craft distiller license holder
21directly or indirectly produce in the aggregate more than
22100,000 gallons of spirits per year.
23    A craft distiller licensee may hold more than one craft
24distiller's license. However, a craft distiller that holds more
25than one craft distiller license shall not manufacture, in the
26aggregate, more than 100,000 gallons of spirits by distillation

 

 

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1per year and shall not sell, in the aggregate, more than 2,500
2gallons of such spirits to non-licensees in accordance with an
3exemption approved by the State Commission pursuant to Section
46-4 of this Act.
5    Any craft distiller licensed under this Act who on July 28,
62010 (the effective date of Public Act 96-1367) was licensed as
7a distiller and manufactured no more spirits than permitted by
8this Section shall not be required to pay the initial licensing
9fee.
10    Class 10. A class 1 brewer license, which may only be
11issued to a licensed brewer or licensed non-resident dealer,
12shall allow the manufacture of up to 930,000 gallons of beer
13per year provided that the class 1 brewer licensee does not
14manufacture more than a combined 930,000 gallons of beer per
15year and is not a member of or affiliated with, directly or
16indirectly, a manufacturer that produces more than 930,000
17gallons of beer per year or any other alcoholic liquor. A class
181 brewer licensee may make sales and deliveries to importing
19distributors and distributors and to retail licensees in
20accordance with the conditions set forth in paragraph (18) of
21subsection (a) of Section 3-12 of this Act.
22    Class 11. A class 2 brewer license, which may only be
23issued to a licensed brewer or licensed non-resident dealer,
24shall allow the manufacture of up to 3,720,000 gallons of beer
25per year provided that the class 2 brewer licensee does not
26manufacture more than a combined 3,720,000 gallons of beer per

 

 

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1year and is not a member of or affiliated with, directly or
2indirectly, a manufacturer that produces more than 3,720,000
3gallons of beer per year or any other alcoholic liquor. A class
42 brewer licensee may make sales and deliveries to importing
5distributors and distributors, but shall not make sales or
6deliveries to any other licensee. If the State Commission
7provides prior approval, a class 2 brewer licensee may annually
8transfer up to 3,720,000 gallons of beer manufactured by that
9class 2 brewer licensee to the premises of a licensed class 2
10brewer wholly owned and operated by the same licensee.
11    (a-1) A manufacturer which is licensed in this State to
12make sales or deliveries of alcoholic liquor to licensed
13distributors or importing distributors and which enlists
14agents, representatives, or individuals acting on its behalf
15who contact licensed retailers on a regular and continual basis
16in this State must register those agents, representatives, or
17persons acting on its behalf with the State Commission.
18    Registration of agents, representatives, or persons acting
19on behalf of a manufacturer is fulfilled by submitting a form
20to the Commission. The form shall be developed by the
21Commission and shall include the name and address of the
22applicant, the name and address of the manufacturer he or she
23represents, the territory or areas assigned to sell to or
24discuss pricing terms of alcoholic liquor, and any other
25questions deemed appropriate and necessary. All statements in
26the forms required to be made by law or by rule shall be deemed

 

 

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1material, and any person who knowingly misstates any material
2fact under oath in an application is guilty of a Class B
3misdemeanor. Fraud, misrepresentation, false statements,
4misleading statements, evasions, or suppression of material
5facts in the securing of a registration are grounds for
6suspension or revocation of the registration. The State
7Commission shall post a list of registered agents on the
8Commission's website.
9    (b) A distributor's license shall allow the wholesale
10purchase and storage of alcoholic liquors and sale of alcoholic
11liquors to licensees in this State and to persons without the
12State, as may be permitted by law. No person licensed as a
13distributor shall be granted a non-resident dealer's license.
14    (c) An importing distributor's license may be issued to and
15held by those only who are duly licensed distributors, upon the
16filing of an application by a duly licensed distributor, with
17the Commission and the Commission shall, without the payment of
18any fee, immediately issue such importing distributor's
19license to the applicant, which shall allow the importation of
20alcoholic liquor by the licensee into this State from any point
21in the United States outside this State, and the purchase of
22alcoholic liquor in barrels, casks or other bulk containers and
23the bottling of such alcoholic liquors before resale thereof,
24but all bottles or containers so filled shall be sealed,
25labeled, stamped and otherwise made to comply with all
26provisions, rules and regulations governing manufacturers in

 

 

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1the preparation and bottling of alcoholic liquors. The
2importing distributor's license shall permit such licensee to
3purchase alcoholic liquor from Illinois licensed non-resident
4dealers and foreign importers only. No person licensed as an
5importing distributor shall be granted a non-resident dealer's
6license.
7    (d) A retailer's license shall allow the licensee to sell
8and offer for sale at retail, only in the premises specified in
9the license, alcoholic liquor for use or consumption, but not
10for resale in any form. Nothing in Public Act 95-634 shall
11deny, limit, remove, or restrict the ability of a holder of a
12retailer's license to transfer, deliver, or ship alcoholic
13liquor to the purchaser for use or consumption subject to any
14applicable local law or ordinance. Any retail license issued to
15a manufacturer shall only permit the manufacturer to sell beer
16at retail on the premises actually occupied by the
17manufacturer. For the purpose of further describing the type of
18business conducted at a retail licensed premises, a retailer's
19licensee may be designated by the State Commission as (i) an on
20premise consumption retailer, (ii) an off premise sale
21retailer, or (iii) a combined on premise consumption and off
22premise sale retailer.
23    Notwithstanding any other provision of this subsection
24(d), a retail licensee may sell alcoholic liquors to a special
25event retailer licensee for resale to the extent permitted
26under subsection (e).

 

 

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1    (e) A special event retailer's license (not-for-profit)
2shall permit the licensee to purchase alcoholic liquors from an
3Illinois licensed distributor (unless the licensee purchases
4less than $500 of alcoholic liquors for the special event, in
5which case the licensee may purchase the alcoholic liquors from
6a licensed retailer) and shall allow the licensee to sell and
7offer for sale, at retail, alcoholic liquors for use or
8consumption, but not for resale in any form and only at the
9location and on the specific dates designated for the special
10event in the license. An applicant for a special event retailer
11license must (i) furnish with the application: (A) a resale
12number issued under Section 2c of the Retailers' Occupation Tax
13Act or evidence that the applicant is registered under Section
142a of the Retailers' Occupation Tax Act, (B) a current, valid
15exemption identification number issued under Section 1g of the
16Retailers' Occupation Tax Act, and a certification to the
17Commission that the purchase of alcoholic liquors will be a
18tax-exempt purchase, or (C) a statement that the applicant is
19not registered under Section 2a of the Retailers' Occupation
20Tax Act, does not hold a resale number under Section 2c of the
21Retailers' Occupation Tax Act, and does not hold an exemption
22number under Section 1g of the Retailers' Occupation Tax Act,
23in which event the Commission shall set forth on the special
24event retailer's license a statement to that effect; (ii)
25submit with the application proof satisfactory to the State
26Commission that the applicant will provide dram shop liability

 

 

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1insurance in the maximum limits; and (iii) show proof
2satisfactory to the State Commission that the applicant has
3obtained local authority approval.
4    Nothing in this Act prohibits an Illinois licensed
5distributor from offering credit or a refund for unused,
6salable alcoholic liquors to a holder of a special event
7retailer's license or from the special event retailer's
8licensee accepting the credit or refund of alcoholic liquors at
9the conclusion of the event specified in the license.
10    (f) A railroad license shall permit the licensee to import
11alcoholic liquors into this State from any point in the United
12States outside this State and to store such alcoholic liquors
13in this State; to make wholesale purchases of alcoholic liquors
14directly from manufacturers, foreign importers, distributors
15and importing distributors from within or outside this State;
16and to store such alcoholic liquors in this State; provided
17that the above powers may be exercised only in connection with
18the importation, purchase or storage of alcoholic liquors to be
19sold or dispensed on a club, buffet, lounge or dining car
20operated on an electric, gas or steam railway in this State;
21and provided further, that railroad licensees exercising the
22above powers shall be subject to all provisions of Article VIII
23of this Act as applied to importing distributors. A railroad
24license shall also permit the licensee to sell or dispense
25alcoholic liquors on any club, buffet, lounge or dining car
26operated on an electric, gas or steam railway regularly

 

 

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1operated by a common carrier in this State, but shall not
2permit the sale for resale of any alcoholic liquors to any
3licensee within this State. A license shall be obtained for
4each car in which such sales are made.
5    (g) A boat license shall allow the sale of alcoholic liquor
6in individual drinks, on any passenger boat regularly operated
7as a common carrier on navigable waters in this State or on any
8riverboat operated under the Riverboat Gambling Act, which boat
9or riverboat maintains a public dining room or restaurant
10thereon.
11    (h) A non-beverage user's license shall allow the licensee
12to purchase alcoholic liquor from a licensed manufacturer or
13importing distributor, without the imposition of any tax upon
14the business of such licensed manufacturer or importing
15distributor as to such alcoholic liquor to be used by such
16licensee solely for the non-beverage purposes set forth in
17subsection (a) of Section 8-1 of this Act, and such licenses
18shall be divided and classified and shall permit the purchase,
19possession and use of limited and stated quantities of
20alcoholic liquor as follows:
21Class 1, not to exceed ......................... 500 gallons
22Class 2, not to exceed ....................... 1,000 gallons
23Class 3, not to exceed ....................... 5,000 gallons
24Class 4, not to exceed ...................... 10,000 gallons
25Class 5, not to exceed ....................... 50,000 gallons
26    (i) A wine-maker's premises license shall allow a licensee

 

 

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1that concurrently holds a first-class wine-maker's license to
2sell and offer for sale at retail in the premises specified in
3such license not more than 50,000 gallons of the first-class
4wine-maker's wine that is made at the first-class wine-maker's
5licensed premises per year for use or consumption, but not for
6resale in any form. A wine-maker's premises license shall allow
7a licensee who concurrently holds a second-class wine-maker's
8license to sell and offer for sale at retail in the premises
9specified in such license up to 100,000 gallons of the
10second-class wine-maker's wine that is made at the second-class
11wine-maker's licensed premises per year for use or consumption
12but not for resale in any form. A wine-maker's premises license
13shall allow a licensee that concurrently holds a first-class
14wine-maker's license or a second-class wine-maker's license to
15sell and offer for sale at retail at the premises specified in
16the wine-maker's premises license, for use or consumption but
17not for resale in any form, any beer, wine, and spirits
18purchased from a licensed distributor. Upon approval from the
19State Commission, a wine-maker's premises license shall allow
20the licensee to sell and offer for sale at (i) the wine-maker's
21licensed premises and (ii) at up to 2 additional locations for
22use and consumption and not for resale. Each location shall
23require additional licensing per location as specified in
24Section 5-3 of this Act. A wine-maker's premises licensee shall
25secure liquor liability insurance coverage in an amount at
26least equal to the maximum liability amounts set forth in

 

 

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1subsection (a) of Section 6-21 of this Act.
2    (j) An airplane license shall permit the licensee to import
3alcoholic liquors into this State from any point in the United
4States outside this State and to store such alcoholic liquors
5in this State; to make wholesale purchases of alcoholic liquors
6directly from manufacturers, foreign importers, distributors
7and importing distributors from within or outside this State;
8and to store such alcoholic liquors in this State; provided
9that the above powers may be exercised only in connection with
10the importation, purchase or storage of alcoholic liquors to be
11sold or dispensed on an airplane; and provided further, that
12airplane licensees exercising the above powers shall be subject
13to all provisions of Article VIII of this Act as applied to
14importing distributors. An airplane licensee shall also permit
15the sale or dispensing of alcoholic liquors on any passenger
16airplane regularly operated by a common carrier in this State,
17but shall not permit the sale for resale of any alcoholic
18liquors to any licensee within this State. A single airplane
19license shall be required of an airline company if liquor
20service is provided on board aircraft in this State. The annual
21fee for such license shall be as determined in Section 5-3.
22    (k) A foreign importer's license shall permit such licensee
23to purchase alcoholic liquor from Illinois licensed
24non-resident dealers only, and to import alcoholic liquor other
25than in bulk from any point outside the United States and to
26sell such alcoholic liquor to Illinois licensed importing

 

 

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1distributors and to no one else in Illinois; provided that (i)
2the foreign importer registers with the State Commission every
3brand of alcoholic liquor that it proposes to sell to Illinois
4licensees during the license period, (ii) the foreign importer
5complies with all of the provisions of Section 6-9 of this Act
6with respect to registration of such Illinois licensees as may
7be granted the right to sell such brands at wholesale, and
8(iii) the foreign importer complies with the provisions of
9Sections 6-5 and 6-6 of this Act to the same extent that these
10provisions apply to manufacturers.
11    (l) (i) A broker's license shall be required of all persons
12who solicit orders for, offer to sell or offer to supply
13alcoholic liquor to retailers in the State of Illinois, or who
14offer to retailers to ship or cause to be shipped or to make
15contact with distillers, rectifiers, brewers or manufacturers
16or any other party within or without the State of Illinois in
17order that alcoholic liquors be shipped to a distributor,
18importing distributor or foreign importer, whether such
19solicitation or offer is consummated within or without the
20State of Illinois.
21    No holder of a retailer's license issued by the Illinois
22Liquor Control Commission shall purchase or receive any
23alcoholic liquor, the order for which was solicited or offered
24for sale to such retailer by a broker unless the broker is the
25holder of a valid broker's license.
26    The broker shall, upon the acceptance by a retailer of the

 

 

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1broker's solicitation of an order or offer to sell or supply or
2deliver or have delivered alcoholic liquors, promptly forward
3to the Illinois Liquor Control Commission a notification of
4said transaction in such form as the Commission may by
5regulations prescribe.
6    (ii) A broker's license shall be required of a person
7within this State, other than a retail licensee, who, for a fee
8or commission, promotes, solicits, or accepts orders for
9alcoholic liquor, for use or consumption and not for resale, to
10be shipped from this State and delivered to residents outside
11of this State by an express company, common carrier, or
12contract carrier. This Section does not apply to any person who
13promotes, solicits, or accepts orders for wine as specifically
14authorized in Section 6-29 of this Act.
15    A broker's license under this subsection (l) shall not
16entitle the holder to buy or sell any alcoholic liquors for his
17own account or to take or deliver title to such alcoholic
18liquors.
19    This subsection (l) shall not apply to distributors,
20employees of distributors, or employees of a manufacturer who
21has registered the trademark, brand or name of the alcoholic
22liquor pursuant to Section 6-9 of this Act, and who regularly
23sells such alcoholic liquor in the State of Illinois only to
24its registrants thereunder.
25    Any agent, representative, or person subject to
26registration pursuant to subsection (a-1) of this Section shall

 

 

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1not be eligible to receive a broker's license.
2    (m) A non-resident dealer's license shall permit such
3licensee to ship into and warehouse alcoholic liquor into this
4State from any point outside of this State, and to sell such
5alcoholic liquor to Illinois licensed foreign importers and
6importing distributors and to no one else in this State;
7provided that (i) said non-resident dealer shall register with
8the Illinois Liquor Control Commission each and every brand of
9alcoholic liquor which it proposes to sell to Illinois
10licensees during the license period, (ii) it shall comply with
11all of the provisions of Section 6-9 hereof with respect to
12registration of such Illinois licensees as may be granted the
13right to sell such brands at wholesale, and (iii) the
14non-resident dealer shall comply with the provisions of
15Sections 6-5 and 6-6 of this Act to the same extent that these
16provisions apply to manufacturers. No person licensed as a
17non-resident dealer shall be granted a distributor's or
18importing distributor's license.
19    (n) A brew pub license shall allow the licensee to only (i)
20manufacture up to 155,000 gallons of beer per year only on the
21premises specified in the license, (ii) make sales of the beer
22manufactured on the premises or, with the approval of the
23Commission, beer manufactured on another brew pub licensed
24premises that is wholly owned and operated by the same licensee
25to importing distributors, distributors, and to non-licensees
26for use and consumption, (iii) store the beer upon the

 

 

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1premises, (iv) sell and offer for sale at retail from the
2licensed premises for off-premises consumption no more than
3155,000 gallons per year so long as such sales are only made
4in-person, (v) sell and offer for sale at retail for use and
5consumption on the premises specified in the license any form
6of alcoholic liquor purchased from a licensed distributor or
7importing distributor, and (vi) with the prior approval of the
8Commission, annually transfer no more than 155,000 gallons of
9beer manufactured on the premises to a licensed brew pub wholly
10owned and operated by the same licensee.
11    A brew pub licensee shall not under any circumstance sell
12or offer for sale beer manufactured by the brew pub licensee to
13retail licensees.
14    A person who holds a class 2 brewer license may
15simultaneously hold a brew pub license if the class 2 brewer
16(i) does not, under any circumstance, sell or offer for sale
17beer manufactured by the class 2 brewer to retail licensees;
18(ii) does not hold more than 3 brew pub licenses in this State;
19(iii) does not manufacture more than a combined 3,720,000
20gallons of beer per year, including the beer manufactured at
21the brew pub; and (iv) is not a member of or affiliated with,
22directly or indirectly, a manufacturer that produces more than
233,720,000 gallons of beer per year or any other alcoholic
24liquor.
25    Notwithstanding any other provision of this Act, a licensed
26brewer, class 2 brewer, or non-resident dealer who before July

 

 

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11, 2015 manufactured less than 3,720,000 gallons of beer per
2year and held a brew pub license on or before July 1, 2015 may
3(i) continue to qualify for and hold that brew pub license for
4the licensed premises and (ii) manufacture more than 3,720,000
5gallons of beer per year and continue to qualify for and hold
6that brew pub license if that brewer, class 2 brewer, or
7non-resident dealer does not simultaneously hold a class 1
8brewer license and is not a member of or affiliated with,
9directly or indirectly, a manufacturer that produces more than
103,720,000 gallons of beer per year or that produces any other
11alcoholic liquor.
12    (o) A caterer retailer license shall allow the holder to
13serve alcoholic liquors as an incidental part of a food service
14that serves prepared meals which excludes the serving of snacks
15as the primary meal, either on or off-site whether licensed or
16unlicensed.
17    (p) An auction liquor license shall allow the licensee to
18sell and offer for sale at auction wine and spirits for use or
19consumption, or for resale by an Illinois liquor licensee in
20accordance with provisions of this Act. An auction liquor
21license will be issued to a person and it will permit the
22auction liquor licensee to hold the auction anywhere in the
23State. An auction liquor license must be obtained for each
24auction at least 14 days in advance of the auction date.
25    (q) A special use permit license shall allow an Illinois
26licensed retailer to transfer a portion of its alcoholic liquor

 

 

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1inventory from its retail licensed premises to the premises
2specified in the license hereby created, and to sell or offer
3for sale at retail, only in the premises specified in the
4license hereby created, the transferred alcoholic liquor for
5use or consumption, but not for resale in any form. A special
6use permit license may be granted for the following time
7periods: one day or less; 2 or more days to a maximum of 15 days
8per location in any 12-month period. An applicant for the
9special use permit license must also submit with the
10application proof satisfactory to the State Commission that the
11applicant will provide dram shop liability insurance to the
12maximum limits and have local authority approval.
13    (r) A winery shipper's license shall allow a person with a
14first-class or second-class wine manufacturer's license, a
15first-class or second-class wine-maker's license, or a limited
16wine manufacturer's license or who is licensed to make wine
17under the laws of another state to ship wine made by that
18licensee directly to a resident of this State who is 21 years
19of age or older for that resident's personal use and not for
20resale. Prior to receiving a winery shipper's license, an
21applicant for the license must provide the Commission with a
22true copy of its current license in any state in which it is
23licensed as a manufacturer of wine. An applicant for a winery
24shipper's license must also complete an application form that
25provides any other information the Commission deems necessary.
26The application form shall include all addresses from which the

 

 

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1applicant for a winery shipper's license intends to ship wine,
2including the name and address of any third party, except for a
3common carrier, authorized to ship wine on behalf of the
4manufacturer. The application form shall include an
5acknowledgement consenting to the jurisdiction of the
6Commission, the Illinois Department of Revenue, and the courts
7of this State concerning the enforcement of this Act and any
8related laws, rules, and regulations, including authorizing
9the Department of Revenue and the Commission to conduct audits
10for the purpose of ensuring compliance with Public Act 95-634,
11and an acknowledgement that the wine manufacturer is in
12compliance with Section 6-2 of this Act. Any third party,
13except for a common carrier, authorized to ship wine on behalf
14of a first-class or second-class wine manufacturer's licensee,
15a first-class or second-class wine-maker's licensee, a limited
16wine manufacturer's licensee, or a person who is licensed to
17make wine under the laws of another state shall also be
18disclosed by the winery shipper's licensee, and a copy of the
19written appointment of the third-party wine provider, except
20for a common carrier, to the wine manufacturer shall be filed
21with the State Commission as a supplement to the winery
22shipper's license application or any renewal thereof. The
23winery shipper's license holder shall affirm under penalty of
24perjury, as part of the winery shipper's license application or
25renewal, that he or she only ships wine, either directly or
26indirectly through a third-party provider, from the licensee's

 

 

SB3019 Engrossed- 21 -LRB100 18963 RPS 34213 b

1own production.
2    Except for a common carrier, a third-party provider
3shipping wine on behalf of a winery shipper's license holder is
4the agent of the winery shipper's license holder and, as such,
5a winery shipper's license holder is responsible for the acts
6and omissions of the third-party provider acting on behalf of
7the license holder. A third-party provider, except for a common
8carrier, that engages in shipping wine into Illinois on behalf
9of a winery shipper's license holder shall consent to the
10jurisdiction of the State Commission and the State. Any
11third-party, except for a common carrier, holding such an
12appointment shall, by February 1 of each calendar year and upon
13request by the State Commission or the Department of Revenue,
14file with the State Commission a statement detailing each
15shipment made to an Illinois resident. The statement shall
16include the name and address of the third-party provider filing
17the statement, the time period covered by the statement, and
18the following information:
19        (1) the name, address, and license number of the winery
20    shipper on whose behalf the shipment was made;
21        (2) the quantity of the products delivered; and
22        (3) the date and address of the shipment.
23If the Department of Revenue or the State Commission requests a
24statement under this paragraph, the third-party provider must
25provide that statement no later than 30 days after the request
26is made. Any books, records, supporting papers, and documents

 

 

SB3019 Engrossed- 22 -LRB100 18963 RPS 34213 b

1containing information and data relating to a statement under
2this paragraph shall be kept and preserved for a period of 3
3years, unless their destruction sooner is authorized, in
4writing, by the Director of Revenue, and shall be open and
5available to inspection by the Director of Revenue or the State
6Commission or any duly authorized officer, agent, or employee
7of the State Commission or the Department of Revenue, at all
8times during business hours of the day. Any person who violates
9any provision of this paragraph or any rule of the State
10Commission for the administration and enforcement of the
11provisions of this paragraph is guilty of a Class C
12misdemeanor. In case of a continuing violation, each day's
13continuance thereof shall be a separate and distinct offense.
14    The State Commission shall adopt rules as soon as
15practicable to implement the requirements of Public Act 99-904
16and shall adopt rules prohibiting any such third-party
17appointment of a third-party provider, except for a common
18carrier, that has been deemed by the State Commission to have
19violated the provisions of this Act with regard to any winery
20shipper licensee.
21    A winery shipper licensee must pay to the Department of
22Revenue the State liquor gallonage tax under Section 8-1 for
23all wine that is sold by the licensee and shipped to a person
24in this State. For the purposes of Section 8-1, a winery
25shipper licensee shall be taxed in the same manner as a
26manufacturer of wine. A licensee who is not otherwise required

 

 

SB3019 Engrossed- 23 -LRB100 18963 RPS 34213 b

1to register under the Retailers' Occupation Tax Act must
2register under the Use Tax Act to collect and remit use tax to
3the Department of Revenue for all gallons of wine that are sold
4by the licensee and shipped to persons in this State. If a
5licensee fails to remit the tax imposed under this Act in
6accordance with the provisions of Article VIII of this Act, the
7winery shipper's license shall be revoked in accordance with
8the provisions of Article VII of this Act. If a licensee fails
9to properly register and remit tax under the Use Tax Act or the
10Retailers' Occupation Tax Act for all wine that is sold by the
11winery shipper and shipped to persons in this State, the winery
12shipper's license shall be revoked in accordance with the
13provisions of Article VII of this Act.
14    A winery shipper licensee must collect, maintain, and
15submit to the Commission on a semi-annual basis the total
16number of cases per resident of wine shipped to residents of
17this State. A winery shipper licensed under this subsection (r)
18must comply with the requirements of Section 6-29 of this Act.
19    Pursuant to paragraph (5.1) or (5.3) of subsection (a) of
20Section 3-12, the State Commission may receive, respond to, and
21investigate any complaint and impose any of the remedies
22specified in paragraph (1) of subsection (a) of Section 3-12.
23    As used in this subsection, "third-party provider" means
24any entity that provides fulfillment house services, including
25warehousing, packaging, distribution, order processing, or
26shipment of wine, but not the sale of wine, on behalf of a

 

 

SB3019 Engrossed- 24 -LRB100 18963 RPS 34213 b

1licensed winery shipper.
2    (s) A craft distiller tasting permit license shall allow an
3Illinois licensed craft distiller to transfer a portion of its
4alcoholic liquor inventory from its craft distiller licensed
5premises to the premises specified in the license hereby
6created and to conduct a sampling, only in the premises
7specified in the license hereby created, of the transferred
8alcoholic liquor in accordance with subsection (c) of Section
96-31 of this Act. The transferred alcoholic liquor may not be
10sold or resold in any form. An applicant for the craft
11distiller tasting permit license must also submit with the
12application proof satisfactory to the State Commission that the
13applicant will provide dram shop liability insurance to the
14maximum limits and have local authority approval.
15(Source: P.A. 99-448, eff. 8-24-15; 99-642, eff. 7-28-16;
1699-800, eff. 8-12-16; 99-902, eff. 8-26-16; 99-904, eff.
171-1-17; 100-17, eff. 6-30-17; 100-201, eff. 8-18-17.)
 
18    (235 ILCS 5/6-4)  (from Ch. 43, par. 121)
19    Sec. 6-4. (a) No person licensed by any licensing authority
20as a distiller, or a wine manufacturer, or any subsidiary or
21affiliate thereof, or any officer, associate, member, partner,
22representative, employee, agent or shareholder owning more
23than 5% of the outstanding shares of such person shall be
24issued an importing distributor's or distributor's license,
25nor shall any person licensed by any licensing authority as an

 

 

SB3019 Engrossed- 25 -LRB100 18963 RPS 34213 b

1importing distributor, distributor or retailer, or any
2subsidiary or affiliate thereof, or any officer or associate,
3member, partner, representative, employee, agent or
4shareholder owning more than 5% of the outstanding shares of
5such person be issued a distiller's license, a craft
6distiller's license, or a wine manufacturer's license; and no
7person or persons licensed as a distiller or craft distiller by
8any licensing authority shall have any interest, directly or
9indirectly, with such distributor or importing distributor.
10    However, an importing distributor or distributor, which on
11January 1, 1985 is owned by a brewer, or any subsidiary or
12affiliate thereof or any officer, associate, member, partner,
13representative, employee, agent or shareholder owning more
14than 5% of the outstanding shares of the importing distributor
15or distributor referred to in this paragraph, may own or
16acquire an ownership interest of more than 5% of the
17outstanding shares of a wine manufacturer and be issued a wine
18manufacturer's license by any licensing authority.
19    (b) The foregoing provisions shall not apply to any person
20licensed by any licensing authority as a distiller or wine
21manufacturer, or to any subsidiary or affiliate of any
22distiller or wine manufacturer who shall have been heretofore
23licensed by the State Commission as either an importing
24distributor or distributor during the annual licensing period
25expiring June 30, 1947, and shall actually have made sales
26regularly to retailers.

 

 

SB3019 Engrossed- 26 -LRB100 18963 RPS 34213 b

1    (c) Provided, however, that in such instances where a
2distributor's or importing distributor's license has been
3issued to any distiller or wine manufacturer or to any
4subsidiary or affiliate of any distiller or wine manufacturer
5who has, during the licensing period ending June 30, 1947, sold
6or distributed as such licensed distributor or importing
7distributor alcoholic liquors and wines to retailers, such
8distiller or wine manufacturer or any subsidiary or affiliate
9of any distiller or wine manufacturer holding such
10distributor's or importing distributor's license may continue
11to sell or distribute to retailers such alcoholic liquors and
12wines which are manufactured, distilled, processed or marketed
13by distillers and wine manufacturers whose products it sold or
14distributed to retailers during the whole or any part of its
15licensing periods; and such additional brands and additional
16products may be added to the line of such distributor or
17importing distributor, provided, that such brands and such
18products were not sold or distributed by any distributor or
19importing distributor licensed by the State Commission during
20the licensing period ending June 30, 1947, but can not sell or
21distribute to retailers any other alcoholic liquors or wines.
22    (d) It shall be unlawful for any distiller licensed
23anywhere to have any stock ownership or interest in any
24distributor's or importing distributor's license wherein any
25other person has an interest therein who is not a distiller and
26does not own more than 5% of any stock in any distillery.

 

 

SB3019 Engrossed- 27 -LRB100 18963 RPS 34213 b

1Nothing herein contained shall apply to such distillers or
2their subsidiaries or affiliates, who had a distributor's or
3importing distributor's license during the licensing period
4ending June 30, 1947, which license was owned in whole by such
5distiller, or subsidiaries or affiliates of such distiller.
6    (e) Any person licensed as a brewer, class 1 brewer, or
7class 2 brewer shall be permitted to sell on the licensed
8premises to non-licensees for on or off-premises consumption
9for the premises in which he or she actually conducts such
10business beer manufactured by the brewer, class 1 brewer, or
11class 2 brewer. Such sales shall be limited to on-premises,
12in-person sales only, for lawful consumption on or off
13premises. Such authorization shall be considered a privilege
14granted by the brewer license and, other than a manufacturer of
15beer as stated above, no manufacturer or distributor or
16importing distributor, excluding airplane licensees exercising
17powers provided in paragraph (i) of Section 5-1 of this Act, or
18any subsidiary or affiliate thereof, or any officer, associate,
19member, partner, representative, employee or agent, or
20shareholder shall be issued a retailer's license, nor shall any
21person having a retailer's license, excluding airplane
22licensees exercising powers provided in paragraph (i) of
23Section 5-1 of this Act, or any subsidiary or affiliate
24thereof, or any officer, associate, member, partner,
25representative or agent, or shareholder be issued a
26manufacturer's license or importing distributor's license.

 

 

SB3019 Engrossed- 28 -LRB100 18963 RPS 34213 b

1    A manufacturer of beer that imports or transfers beer into
2this State must comply with Sections 6-8 and 8-1 of this Act.
3    A person who holds a class 1 or class 2 brewer license and
4is authorized by this Section to sell beer to non-licensees
5shall not sell beer to non-licensees from more than 3 total
6brewer or commonly owned brew pub licensed locations in this
7State. The class 1 or class 2 brewer shall designate to the
8State Commission the brewer or brew pub locations from which it
9will sell beer to non-licensees.
10    A person licensed as a craft distiller, including a person
11who holds more than one craft distiller license, not affiliated
12with any other person manufacturing spirits may be authorized
13by the Commission to sell up to 2,500 gallons of spirits
14produced by the person to non-licensees for on or off-premises
15consumption for the premises in which he or she actually
16conducts business permitting only the retail sale of spirits
17manufactured at such premises. Such sales shall be limited to
18on-premises, in-person sales only, for lawful consumption on or
19off premises, and such authorization shall be considered a
20privilege granted by the craft distiller license. A craft
21distiller licensed for retail sale shall secure liquor
22liability insurance coverage in an amount at least equal to the
23maximum liability amounts set forth in subsection (a) of
24Section 6-21 of this Act.
25    A craft distiller license holder shall not deliver any
26alcoholic liquor to any non-licensee off the licensed premises.

 

 

SB3019 Engrossed- 29 -LRB100 18963 RPS 34213 b

1A craft distiller shall affirm in its annual craft distiller's
2license application that it does not produce more than 100,000
3gallons of distilled spirits annually and that the craft
4distiller does not sell more than 2,500 gallons of spirits to
5non-licensees for on or off-premises consumption. In the
6application, which shall be sworn under penalty of perjury, the
7craft distiller shall state the volume of production and sales
8for each year since the craft distiller's establishment.
9    (f) (Blank).
10    (g) Notwithstanding any of the foregoing prohibitions, a
11limited wine manufacturer may sell at retail at its
12manufacturing site for on or off premises consumption and may
13sell to distributors. A limited wine manufacturer licensee
14shall secure liquor liability insurance coverage in an amount
15at least equal to the maximum liability amounts set forth in
16subsection (a) of Section 6-21 of this Act.
17    (h) The changes made to this Section by Public Act 99-47
18shall not diminish or impair the rights of any person, whether
19a distiller, wine manufacturer, agent, or affiliate thereof,
20who requested in writing and submitted documentation to the
21State Commission on or before February 18, 2015 to be approved
22for a retail license pursuant to what has heretofore been
23subsection (f); provided that, on or before that date, the
24State Commission considered the intent of that person to apply
25for the retail license under that subsection and, by recorded
26vote, the State Commission approved a resolution indicating

 

 

SB3019 Engrossed- 30 -LRB100 18963 RPS 34213 b

1that such a license application could be lawfully approved upon
2that person duly filing a formal application for a retail
3license and if that person, within 90 days of the State
4Commission appearance and recorded vote, first filed an
5application with the appropriate local commission, which
6application was subsequently approved by the appropriate local
7commission prior to consideration by the State Commission of
8that person's application for a retail license. It is further
9provided that the State Commission may approve the person's
10application for a retail license or renewals of such license if
11such person continues to diligently adhere to all
12representations made in writing to the State Commission on or
13before February 18, 2015, or thereafter, or in the affidavit
14filed by that person with the State Commission to support the
15issuance of a retail license and to abide by all applicable
16laws and duly adopted rules.
17(Source: P.A. 99-47, eff. 7-15-15; 99-448, eff. 8-24-15;
1899-642, eff. 7-28-16; 99-902, eff. 8-26-16; 100-201, eff.
198-18-17.)
 
20    (235 ILCS 5/6-6)  (from Ch. 43, par. 123)
21    Sec. 6-6. Except as otherwise provided in this Act no
22manufacturer or distributor or importing distributor shall,
23directly or indirectly, sell, supply, furnish, give or pay for,
24or loan or lease, any furnishing, fixture or equipment on the
25premises of a place of business of another licensee authorized

 

 

SB3019 Engrossed- 31 -LRB100 18963 RPS 34213 b

1under this Act to sell alcoholic liquor at retail, either for
2consumption on or off the premises, nor shall he or she,
3directly or indirectly, pay for any such license, or advance,
4furnish, lend or give money for payment of such license, or
5purchase or become the owner of any note, mortgage, or other
6evidence of indebtedness of such licensee or any form of
7security therefor, nor shall such manufacturer, or
8distributor, or importing distributor, directly or indirectly,
9be interested in the ownership, conduct or operation of the
10business of any licensee authorized to sell alcoholic liquor at
11retail, nor shall any manufacturer, or distributor, or
12importing distributor be interested directly or indirectly or
13as owner or part owner of said premises or as lessee or lessor
14thereof, in any premises upon which alcoholic liquor is sold at
15retail.
16    No manufacturer or distributor or importing distributor
17shall, directly or indirectly or through a subsidiary or
18affiliate, or by any officer, director or firm of such
19manufacturer, distributor or importing distributor, furnish,
20give, lend or rent, install, repair or maintain, to or for any
21retail licensee in this State, any signs or inside advertising
22materials except as provided in this Section and Section 6-5.
23With respect to retail licensees, other than any government
24owned or operated auditorium, exhibition hall, recreation
25facility or other similar facility holding a retailer's license
26as described in Section 6-5, a manufacturer, distributor, or

 

 

SB3019 Engrossed- 32 -LRB100 18963 RPS 34213 b

1importing distributor may furnish, give, lend or rent and
2erect, install, repair and maintain to or for any retail
3licensee, for use at any one time in or about or in connection
4with a retail establishment on which the products of the
5manufacturer, distributor or importing distributor are sold,
6the following signs and inside advertising materials as
7authorized in subparts (i), (ii), (iii), and (iv):
8        (i) Permanent outside signs shall cost be limited to
9    one outside sign, per brand, in place and in use at any one
10    time, costing not more than $3,000 per manufacturer $893,
11    exclusive of erection, installation, repair and
12    maintenance costs, and permit fees and shall bear only the
13    manufacturer's name, brand name, trade name, slogans,
14    markings, trademark, or other symbols commonly associated
15    with and generally used in identifying the product
16    including, but not limited to, "cold beer", "on tap",
17    "carry out", and "packaged liquor".
18        (ii) Temporary outside signs shall include, but not be
19    limited to, be limited to one temporary outside sign per
20    brand. Examples of temporary outside signs are banners,
21    flags, pennants, streamers, and other items of a temporary
22    and non-permanent nature, and shall cost not more than
23    $1,000 per manufacturer. Each temporary outside sign must
24    include the manufacturer's name, brand name, trade name,
25    slogans, markings, trademark, or other symbol commonly
26    associated with and generally used in identifying the

 

 

SB3019 Engrossed- 33 -LRB100 18963 RPS 34213 b

1    product. Temporary outside signs may also include, for
2    example, the product, price, packaging, date or dates of a
3    promotion and an announcement of a retail licensee's
4    specific sponsored event, if the temporary outside sign is
5    intended to promote a product, and provided that the
6    announcement of the retail licensee's event and the product
7    promotion are held simultaneously. However, temporary
8    outside signs may not include names, slogans, markings, or
9    logos that relate to the retailer. Nothing in this subpart
10    (ii) shall prohibit a distributor or importing distributor
11    from bearing the cost of creating or printing a temporary
12    outside sign for the retail licensee's specific sponsored
13    event or from bearing the cost of creating or printing a
14    temporary sign for a retail licensee containing, for
15    example, community goodwill expressions, regional sporting
16    event announcements, or seasonal messages, provided that
17    the primary purpose of the temporary outside sign is to
18    highlight, promote, or advertise the product. In addition,
19    temporary outside signs provided by the manufacturer to the
20    distributor or importing distributor may also include, for
21    example, subject to the limitations of this Section,
22    preprinted community goodwill expressions, sporting event
23    announcements, seasonal messages, and manufacturer
24    promotional announcements. However, a distributor or
25    importing distributor shall not bear the cost of such
26    manufacturer preprinted signs.

 

 

SB3019 Engrossed- 34 -LRB100 18963 RPS 34213 b

1        (iii) Permanent inside signs, whether visible from the
2    outside or the inside of the premises, include, but are not
3    limited to: alcohol lists and menus that may include names,
4    slogans, markings, or logos that relate to the retailer;
5    neons; illuminated signs; clocks; table lamps; mirrors;
6    tap handles; decalcomanias; window painting; and window
7    trim. All neons, illuminated signs, clocks, table lamps,
8    mirrors, and tap handles are the property of the
9    manufacturer and shall be returned to the manufacturer or
10    its agent upon request. All permanent inside signs in place
11    and in use at any one time shall cost in the aggregate not
12    more than $6,000 $2000 per manufacturer. A permanent inside
13    sign must include the manufacturer's name, brand name,
14    trade name, slogans, markings, trademark, or other symbol
15    commonly associated with and generally used in identifying
16    the product. However, permanent inside signs may not
17    include names, slogans, markings, or logos that relate to
18    the retailer. For the purpose of this subpart (iii), all
19    permanent inside signs may be displayed in an adjacent
20    courtyard or patio commonly referred to as a "beer garden"
21    that is a part of the retailer's licensed premises.
22        (iv) Temporary inside signs shall include, but are not
23    limited to, lighted chalk boards, acrylic table tent
24    beverage or hors d'oeuvre list holders, banners, flags,
25    pennants, streamers, and inside advertising materials such
26    as posters, placards, bowling sheets, table tents, inserts

 

 

SB3019 Engrossed- 35 -LRB100 18963 RPS 34213 b

1    for acrylic table tent beverage or hors d'oeuvre list
2    holders, sports schedules, or similar printed or
3    illustrated materials and product displays, such as
4    display racks, bins, barrels, or similar items, the primary
5    function of which is to temporarily hold and display
6    alcoholic beverages; however, such items, for example, as
7    coasters, trays, napkins, glassware and cups shall not be
8    deemed to be inside signs or advertising materials and may
9    only be sold to retailers at fair market value, which shall
10    be no less than the cost of the item to the manufacturer,
11    distributor, or importing distributor. All temporary
12    inside signs and inside advertising materials in place and
13    in use at any one time shall cost in the aggregate not more
14    than $1,000 $325 per manufacturer. Nothing in this subpart
15    (iv) prohibits a distributor or importing distributor from
16    paying the cost of printing or creating any temporary
17    inside banner or inserts for acrylic table tent beverage or
18    hors d'oeuvre list holders for a retail licensee, provided
19    that the primary purpose for the banner or insert is to
20    highlight, promote, or advertise the product. For the
21    purpose of this subpart (iv), all temporary inside signs
22    and inside advertising materials may be displayed in an
23    adjacent courtyard or patio commonly referred to as a "beer
24    garden" that is a part of the retailer's licensed premises.
25    A "cost adjustment factor" shall be used to periodically
26update the dollar limitations prescribed in subparts (i),

 

 

SB3019 Engrossed- 36 -LRB100 18963 RPS 34213 b

1(iii), and (iv). The Commission shall establish the adjusted
2dollar limitation on an annual basis beginning in January,
31997. The term "cost adjustment factor" means a percentage
4equal to the change in the Bureau of Labor Statistics Consumer
5Price Index or 5%, whichever is greater. The restrictions
6contained in this Section 6-6 do not apply to signs, or
7promotional or advertising materials furnished by
8manufacturers, distributors or importing distributors to a
9government owned or operated facility holding a retailer's
10license as described in Section 6-5.
11    No distributor or importing distributor shall directly or
12indirectly or through a subsidiary or affiliate, or by any
13officer, director or firm of such manufacturer, distributor or
14importing distributor, furnish, give, lend or rent, install,
15repair or maintain, to or for any retail licensee in this
16State, any signs or inside advertising materials described in
17subparts (i), (ii), (iii), or (iv) of this Section except as
18the agent for or on behalf of a manufacturer, provided that the
19total cost of any signs and inside advertising materials
20including but not limited to labor, erection, installation and
21permit fees shall be paid by the manufacturer whose product or
22products said signs and inside advertising materials advertise
23and except as follows:
24    A distributor or importing distributor may purchase from or
25enter into a written agreement with a manufacturer or a
26manufacturer's designated supplier and such manufacturer or

 

 

SB3019 Engrossed- 37 -LRB100 18963 RPS 34213 b

1the manufacturer's designated supplier may sell or enter into
2an agreement to sell to a distributor or importing distributor
3permitted signs and advertising materials described in
4subparts (ii), (iii), or (iv) of this Section for the purpose
5of furnishing, giving, lending, renting, installing,
6repairing, or maintaining such signs or advertising materials
7to or for any retail licensee in this State. Any purchase by a
8distributor or importing distributor from a manufacturer or a
9manufacturer's designated supplier shall be voluntary and the
10manufacturer may not require the distributor or the importing
11distributor to purchase signs or advertising materials from the
12manufacturer or the manufacturer's designated supplier.
13    A distributor or importing distributor shall be deemed the
14owner of such signs or advertising materials purchased from a
15manufacturer or a manufacturer's designated supplier.
16    The provisions of Public Act 90-373 concerning signs or
17advertising materials delivered by a manufacturer to a
18distributor or importing distributor shall apply only to signs
19or advertising materials delivered on or after August 14, 1997.
20    A manufacturer, distributor, or importing distributor may
21furnish free social media advertising to a retail licensee if
22the social media advertisement does not contain the retail
23price of any alcoholic liquor and the social media
24advertisement complies with any applicable rules or
25regulations issued by the Alcohol and Tobacco Tax and Trade
26Bureau of the United States Department of the Treasury. A

 

 

SB3019 Engrossed- 38 -LRB100 18963 RPS 34213 b

1manufacturer, distributor, or importing distributor may list
2the names of one or more unaffiliated retailers in the
3advertisement of alcoholic liquor through social media.
4Nothing in this Section shall prohibit a retailer from
5communicating with a manufacturer, distributor, or importing
6distributor on social media or sharing media on the social
7media of a manufacturer, distributor, or importing
8distributor. A retailer may request free social media
9advertising from a manufacturer, distributor, or importing
10distributor. Nothing in this Section shall prohibit a
11manufacturer, distributor, or importing distributor from
12sharing, reposting, or otherwise forwarding a social media post
13by a retail licensee, so long as the sharing, reposting, or
14forwarding of the social media post does not contain the retail
15price of any alcoholic liquor. No manufacturer, distributor, or
16importing distributor shall pay or reimburse a retailer,
17directly or indirectly, for any social media advertising
18services, except as specifically permitted in this Act. No
19retailer shall accept any payment or reimbursement, directly or
20indirectly, for any social media advertising services offered
21by a manufacturer, distributor, or importing distributor,
22except as specifically permitted in this Act. For the purposes
23of this Section, "social media" means a service, platform, or
24site where users communicate with one another and share media,
25such as pictures, videos, music, and blogs, with other users
26free of charge.

 

 

SB3019 Engrossed- 39 -LRB100 18963 RPS 34213 b

1    No person engaged in the business of manufacturing,
2importing or distributing alcoholic liquors shall, directly or
3indirectly, pay for, or advance, furnish, or lend money for the
4payment of any license for another. Any licensee who shall
5permit or assent, or be a party in any way to any violation or
6infringement of the provisions of this Section shall be deemed
7guilty of a violation of this Act, and any money loaned
8contrary to a provision of this Act shall not be recovered
9back, or any note, mortgage or other evidence of indebtedness,
10or security, or any lease or contract obtained or made contrary
11to this Act shall be unenforceable and void.
12    This Section shall not apply to airplane licensees
13exercising powers provided in paragraph (i) of Section 5-1 of
14this Act.
15(Source: P.A. 98-756, eff. 7-16-14; 99-448, eff. 8-24-15.)
 
16    (235 ILCS 5/6-8)  (from Ch. 43, par. 125)
17    Sec. 6-8. Each manufacturer or importing distributor or
18foreign importer shall keep an accurate record of all alcoholic
19liquors manufactured, distributed, sold, used, or delivered by
20him in this State during each month, showing therein to whom
21sold, and shall furnish a copy thereof or a report thereon to
22the State Commission, as the State Commission may, request.
23    Each importing distributor or manufacturer to whom
24alcoholic liquors imported into this State have been consigned
25shall effect possession and physical control thereof by storing

 

 

SB3019 Engrossed- 40 -LRB100 18963 RPS 34213 b

1such alcoholic liquors in the premises wherein such importing
2distributor or manufacturer is licensed to engage in such
3business as an importing distributor or manufacturer and to
4make such alcoholic liquors together with accompanying
5invoices, bills of lading and receiving tickets available for
6inspection by an agent or representative of the Department of
7Revenue and of the State Commission.
8    All alcoholic liquor imported into this State must be
9off-loaded from the common carrier, vehicle, or mode of
10transportation by which the alcoholic liquor was delivered into
11this State. The alcoholic liquor shall be stored at the
12licensed premises of the importing distributor before sale and
13delivery to licensees in this State. A distributor or importing
14distributor, upon application to the Commission, may secure a
15waiver of the provisions of this Section for purposes of
16delivering beer directly to a licensee holding or otherwise
17participating in a special event sponsored by a unit of
18government or a not-for-profit organization.
19    A manufacturer of beer that imports or transfers beer into
20this State must comply with the provisions of this Section.
21(Source: P.A. 88-535.)
 
22    (235 ILCS 5/8-1)
23    Sec. 8-1. A tax is imposed upon the privilege of engaging
24in business as a manufacturer or as an importing distributor of
25alcoholic liquor other than beer at the rate of $0.185 per

 

 

SB3019 Engrossed- 41 -LRB100 18963 RPS 34213 b

1gallon until September 1, 2009 and $0.231 per gallon beginning
2September 1, 2009 for cider containing not less than 0.5%
3alcohol by volume nor more than 7% alcohol by volume, $0.73 per
4gallon until September 1, 2009 and $1.39 per gallon beginning
5September 1, 2009 for wine other than cider containing less
6than 7% alcohol by volume, and $4.50 per gallon until September
71, 2009 and $8.55 per gallon beginning September 1, 2009 on
8alcohol and spirits manufactured and sold or used by such
9manufacturer, or as agent for any other person, or sold or used
10by such importing distributor, or as agent for any other
11person. A tax is imposed upon the privilege of engaging in
12business as a manufacturer of beer or as an importing
13distributor of beer at the rate of $0.185 per gallon until
14September 1, 2009 and $0.231 per gallon beginning September 1,
152009 on all beer manufactured and sold or used by such
16manufacturer, or as agent for any other person, or sold or used
17by such importing distributor, or as agent for any other
18person. Any brewer manufacturing beer in this State shall be
19entitled to and given a credit or refund of 75% of the tax
20imposed on each gallon of beer up to 4.9 million gallons per
21year in any given calendar year for tax paid or payable on beer
22produced and sold in the State of Illinois.
23    For the purpose of this Section, "cider" means any
24alcoholic beverage obtained by the alcohol fermentation of the
25juice of apples or pears including, but not limited to,
26flavored, sparkling, or carbonated cider.

 

 

SB3019 Engrossed- 42 -LRB100 18963 RPS 34213 b

1    The credit or refund created by this Act shall apply to all
2beer taxes in the calendar years 1982 through 1986.
3    The increases made by this amendatory Act of the 91st
4General Assembly in the rates of taxes imposed under this
5Section shall apply beginning on July 1, 1999.
6    A tax at the rate of 1 per gallon on beer and 48 per
7gallon on alcohol and spirits is also imposed upon the
8privilege of engaging in business as a retailer or as a
9distributor who is not also an importing distributor with
10respect to all beer and all alcohol and spirits owned or
11possessed by such retailer or distributor when this amendatory
12Act of 1969 becomes effective, and with respect to which the
13additional tax imposed by this amendatory Act upon
14manufacturers and importing distributors does not apply.
15Retailers and distributors who are subject to the additional
16tax imposed by this paragraph of this Section shall be required
17to inventory such alcoholic liquor and to pay this additional
18tax in a manner prescribed by the Department.
19    The provisions of this Section shall be construed to apply
20to any importing distributor engaging in business in this
21State, whether licensed or not.
22    However, such tax is not imposed upon any such business as
23to any alcoholic liquor shipped outside Illinois by an Illinois
24licensed manufacturer or importing distributor, nor as to any
25alcoholic liquor delivered in Illinois by an Illinois licensed
26manufacturer or importing distributor to a purchaser for

 

 

SB3019 Engrossed- 43 -LRB100 18963 RPS 34213 b

1immediate transportation by the purchaser to another state into
2which the purchaser has a legal right, under the laws of such
3state, to import such alcoholic liquor, nor as to any alcoholic
4liquor other than beer sold by one Illinois licensed
5manufacturer or importing distributor to another Illinois
6licensed manufacturer or importing distributor to the extent to
7which the sale of alcoholic liquor other than beer by one
8Illinois licensed manufacturer or importing distributor to
9another Illinois licensed manufacturer or importing
10distributor is authorized by the licensing provisions of this
11Act, nor to alcoholic liquor whether manufactured in or
12imported into this State when sold to a "non-beverage user"
13licensed by the State for use in the manufacture of any of the
14following when they are unfit for beverage purposes:
15    Patent and proprietary medicines and medicinal,
16antiseptic, culinary and toilet preparations;
17    Flavoring extracts and syrups and food products;
18    Scientific, industrial and chemical products, excepting
19denatured alcohol;
20    Or for scientific, chemical, experimental or mechanical
21purposes;
22    Nor is the tax imposed upon the privilege of engaging in
23any business in interstate commerce or otherwise, which
24business may not, under the Constitution and Statutes of the
25United States, be made the subject of taxation by this State.
26    The tax herein imposed shall be in addition to all other

 

 

SB3019 Engrossed- 44 -LRB100 18963 RPS 34213 b

1occupation or privilege taxes imposed by the State of Illinois
2or political subdivision thereof.
3    If any alcoholic liquor manufactured in or imported into
4this State is sold to a licensed manufacturer or importing
5distributor by a licensed manufacturer or importing
6distributor to be used solely as an ingredient in the
7manufacture of any beverage for human consumption, the tax
8imposed upon such purchasing manufacturer or importing
9distributor shall be reduced by the amount of the taxes which
10have been paid by the selling manufacturer or importing
11distributor under this Act as to such alcoholic liquor so used
12to the Department of Revenue.
13    If any person received any alcoholic liquors from a
14manufacturer or importing distributor, with respect to which
15alcoholic liquors no tax is imposed under this Article, and
16such alcoholic liquor shall thereafter be disposed of in such
17manner or under such circumstances as may cause the same to
18become the base for the tax imposed by this Article, such
19person shall make the same reports and returns, pay the same
20taxes and be subject to all other provisions of this Article
21relating to manufacturers and importing distributors.
22    Nothing in this Article shall be construed to require the
23payment to the Department of the taxes imposed by this Article
24more than once with respect to any quantity of alcoholic liquor
25sold or used within this State.
26    No tax is imposed by this Act on sales of alcoholic liquor

 

 

SB3019 Engrossed- 45 -LRB100 18963 RPS 34213 b

1by Illinois licensed foreign importers to Illinois licensed
2importing distributors.
3    All of the proceeds of the additional tax imposed by Public
4Act 96-34 shall be deposited by the Department into the Capital
5Projects Fund. The remainder of the tax imposed by this Act
6shall be deposited by the Department into the General Revenue
7Fund.
8    A manufacturer of beer that imports or transfers beer into
9this State must comply with the provisions of this Section with
10regard to the beer imported into this State.
11    The provisions of this Section 8-1 are severable under
12Section 1.31 of the Statute on Statutes.
13(Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09; 96-38,
14eff. 7-13-09; 96-1000, eff. 7-2-10.)
 
15    Section 99. Effective date. This Act takes effect upon
16becoming law.