OLR Bill Analysis
AN ACT EXPANDING THE HOURS OF OPERATION FOR FARM WINERIES.
This bill extends the hours farm wineries can offer the retail sale and tasting of wine by allowing them to close at 9: 00 p. m. instead of 8: 00 p. m. every night. Under current law, their hours of operation are 11: 00 a. m. to 8: 00 p. m. on Sundays, and 10: 00 a. m. to 8: 00 p. m. on all other days.
The bill also requires the consumer protection commissioner to adopt regulations, by January 1, 2010, allowing the sale of Connecticut-produced wine at farmers' markets. The regulations governing such sale must mirror the manner in which the holder of a manufacturer permit for a farm winery may sell wine on the premises of the winery.
EFFECTIVE DATE: July 1, 2009, except for the section on farmers' markets, which is effective upon passage.
BACKGROUND
Sale at Farm Wineries
No licensed farm winery may sell any wine or brandy not manufactured by such winery, except wine manufactured by another farm winery located in this state (CGS § 30-16(e)(4)).
A farm winery permit authorizes:
1. the sale in bulk by the permittee from the premises where the products are manufactured,
2. the sale and shipment by the permittee of wine manufactured by the permittee to persons outside the state,
3. free samples to visitors and prospective customers for consumption on the premises,
4. the sale at retail from the premises of sealed bottles or containers of such wine or brandy for consumption off the premises, and
5. the sale at retail from the premises of such wine or brandy by the glass and bottle for consumption on the premises (CGS § 30-16(e)(2)).
A town may, by ordinance or zoning regulation, prohibit any such offering, tasting, or selling at retail at any premises in the town (CGS § 30-16(e)(2)).
COMMENT
Related Court Case
The bill appears to raise a constitutional issue because it allows in-state farm wineries to sell their products directly to in-state consumers at farmers' markets without giving the same privilege to out-of-state producers. The U. S. Supreme Court addressed a similar issue in Granholm v. Heald, 544 U. S. 460 (2005).
In Granholm, the Court ruled on a challenge to state regulatory schemes in Michigan and New York brought by small wineries. The Court considered whether a state's regulatory scheme that permits in-state wineries, but not out-of-state wineries to ship alcohol directly to consumers violates the dormant Commerce Clause in light of § 2 of the 21st Amendment. In general, the U. S. Constitution's Commerce Clause prohibits states from adopting laws that benefit in-state economic interests to the detriment of out-of-state interests.
The Supreme Court held that laws banning or severely restricting the ability of out-of-state shippers to ship wine directly to consumers while allowing in-state wineries to do so violate the Commerce Clause. The Court's opinion stressed that if states choose to allow the direct shipment of wine to consumers, they must do so on even-handed terms.
Related Bills
SB 926 (File 90) creates a $ 75 annual permit to allow farm winery permittees to sell Connecticut-made wine by the bottle at nonprofit farmers' markets and requires the permit holder or authorized representative to be present at the time of sale.
Legislative History
On March 25, the House passed the bill (File 76). The Senate then referred the bill to the Environment Committee, which reported a substitute adding the requirement that the consumer protection commissioner adopt regulations by January 1, 2010 allowing the sale of Connecticut-produced wine at farmers' markets.
COMMITTEE ACTION
General Law Committee
Joint Favorable
Yea |
18 |
Nay |
0 |
(02/26/2009) |
Environment Committee
Joint Favorable Substitute
Yea |
26 |
Nay |
0 |
(04/21/2009) |