Mason Delacroix
Alabama's alcohol bill has been a hot topic in the House of Representatives, with several bills related to alcohol sales and consumption advancing in the legislature. One of the most notable bills, S.B. 126, focuses on allowing home delivery of alcohol by qualified businesses, including grocery stores, independent package stores, and restaurants. This bill has gone through changes since its introduction, addressing concerns about including craft beer, brewers, and distillers. Other bills, such as House Bill 328 and House Bill 149, regulate the sale and taxation of spirit-infused refreshments and allow retail table wine licensees to sell wine for off-premises consumption, respectively. House Bill 176 addresses the issue of servers and bussers between 18-20 years old serving alcohol in restaurants. The Alabama House has also passed bills enabling food trucks to sell alcohol and permitting drive-through beer and wine sales. While these bills have sparked debates about convenience, public safety, and potential impacts on local businesses, they reflect the evolving landscape of alcohol regulation in Alabama.
| Characteristics | Values |
|---|---|
| Bill Number | S.B. 126 |
| Bill Sponsor | Isbell |
| Bill Purpose | To allow home delivery of alcohol |
| Bill Status | Passed by Alabama House of Representatives; awaiting Kay Ivey's signature |
| Eligible Businesses | Grocery stores, independent package stores, wineries, distilleries, breweries, and restaurants |
| Application Requirements | File an application with the Alcoholic Beverage Control Board; pay a non-refundable $100 filing fee and a $250 license fee; criminal background check |
| Delivery Methods | Businesses can use their employees or third-party contractors |
| Customer Requirements | Provide a valid ID; adult over 21 must sign for delivery; limit on the amount of alcohol ordered in a 24-hour window |
| Delivery Radius | Limited to a 75-mile delivery radius |
| Other Bills | House Bill 328, House Bill 149, House Bill 176, House Bill 215, House Bill 234, House Bill 240, H.B. 437 |
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What You'll Learn
Alabama House approves alcohol delivery and wine shipment bills
Alabama has seen a number of alcohol-related bills introduced to the state legislature in recent years, with several approved by the Alabama House.
Alcohol Delivery Bills
In April 2021, the Alabama House approved a bill that would allow the delivery of beer, wine, and liquor to individuals. The bill, sponsored by Sen. Jabo Waggoner, R-Vestavia Hills, passed with a vote of 79-12. The bill would allow retailers to apply for licenses to deliver alcohol, with restaurants only permitted to deliver alcohol alongside a meal.
The bill included limits on the amount of alcohol that could be delivered per customer, per day. For beer, this was set at 120 12-ounce containers or 288 ounces of draft beer. Wine deliveries were limited to 12 750-mL bottles, while liquor deliveries were restricted to 9,000 mL for off-premises retailers and 375 mL for restaurants.
The bill also included age verification requirements, with customers needing to provide valid ID and an adult over 21 signing for the delivery. Businesses would be required to have scanning technology or an approved alternative to verify customer identification.
Wine Shipment Bills
In addition to the alcohol delivery bill, the Alabama House also approved a second bill allowing the direct shipment of wine to Alabama residents, sponsored by Rep. Terri Collins, R-Decatur. This bill passed with an 83-7 vote.
The wine shipment bill, HB 437, would enable wine manufacturers to apply for a license to ship directly to customers over 21 years old. A company seeking a license would need to pay a $200 application fee and a $100 annual license fee. A customer could order up to 12 cases of wine per year.
Other Alcohol-Related Bills
Other alcohol-related bills that have been introduced in the Alabama Legislature include House Bill 328, which would regulate the sale and tax of "spirit-infused refreshments" with less than 16 ounces and 10% alcohol content, allowing their sale with a beer license. House Bill 149 would permit retail table wine licensees to sell wine for off-premises consumption in containers approved by the Alcoholic Beverage Control Board.
House Bill 176, sponsored by Rep. Kyle South, R-Fayette, proposes to allow servers and bussers aged 18-20 to serve alcohol in restaurants. House Bill 215, sponsored by Rep. Mike Ball, R-Madison, seeks to increase the number of entertainment districts in a Class 3 municipality from five to nine.
House Bill 234, sponsored by Rep. Neil Rafferty, D-Birmingham, aims to permit food trucks in Class 1 municipalities, like Birmingham, to sell alcoholic beverages. A similar bill, House Bill 240, sponsored by Rep. Terri Collins, R-Decatur, proposes changes to a 2021 law that allowed some wine retailers to ship directly to Alabamians' homes.
Implementation and Controversy
The alcohol delivery bill and wine shipment bill were both sent to the Senate for further committee action and votes. Gov. Kay Ivey signed the Alcohol Delivery Bill into law in 2021, and the ABC Board planned to implement home delivery in phases, starting with Birmingham and expanding to other areas, with full activation expected by October 2022.
However, the Alabama Liquor Store Association (ABLA) has expressed opposition to the ABC Board's plans for alcohol delivery, citing concerns about potential violations of Alabama law and the impact on private liquor stores. They have indicated their readiness to take legal action to stop the ABC Board's implementation of delivery services.
The bills have sparked debates about convenience for citizens, potential safety risks, and the economic impact on different industries. While some legislators argued that delivery could reduce alcohol-related traffic deaths, others raised concerns about teenage alcoholism and minors' access to alcohol.
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Home delivery of alcohol
In 2021, the Alabama House of Representatives approved bills to allow home delivery of alcohol. The bill, sponsored by Sen. Jabo Waggoner, R-Vestavia Hills, would allow retailers to apply for licenses to deliver beer, wine, or liquor. Restaurants would only be allowed to deliver alcohol along with a meal.
The bill faced some opposition, with concerns being raised about potential increased access to alcohol for minors and contributing to alcoholism. However, supporters of the bill argued that it would provide convenience for citizens of Alabama and potentially reduce alcohol-related traffic deaths.
The bill included specific provisions for alcohol delivery quantities. For beer, there would be a limit of 120 12-ounce containers or 288 ounces of draft beer per customer per day. Wine deliveries would be restricted to 12 750-ml bottles or 9000 ml total per customer per day for off-premises retailers, with restaurants limited to 375 ml. Liquor deliveries would also be limited to 9000 ml per customer for off-premises retailers and 375 ml for restaurants.
To ensure secure delivery, customers would be required to provide valid ID, and deliveries would have to be signed for by an adult over 21. Businesses would need to invest in scanning technology or an approved alternative to verify customer identification. Qualified businesses interested in alcohol delivery would need to apply for a license by filing an application with the Alcoholic Beverage Control Board and paying associated fees.
In addition to the home delivery bill, the Alabama House has also passed other alcohol-related bills. These include bills allowing food trucks and drive-throughs to sell alcohol and bills related to the taxation and sale of "spirit-infused refreshments."
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Alcohol licensing and regulatory practice
Under S.B. 126, qualified businesses interested in alcohol delivery must apply for a license from the Alcoholic Beverage Control Board and pay a non-refundable fee. The bill sets limits on the amount of alcohol that can be delivered, with varying restrictions for beer, wine, and spirits. It also addresses concerns about underage access by requiring age verification upon delivery. While some companies are eager to expand into alcohol delivery in Alabama, local liquor stores have expressed concerns about the potential impact on their businesses.
Another bill, H.B. 437, permits wine manufacturers to obtain a license for direct shipping to Alabama residents over 21 years old. This bill has progressed through the House and is now under consideration by the Senate Committee on Tourism. Additionally, House Bill 240, sponsored by Rep. Terri Collins, amends the 2021 wine delivery bill to allow shipments to both wet and dry counties and makes changes to application requirements.
Other bills, such as House Bill 328, focus on regulating the sale and taxation of "spirit-infused refreshments" with specific volume and alcohol content restrictions. House Bill 149 aims to permit retail table wine licensees to sell wine for off-premises consumption in containers approved by the Alcoholic Beverage Control Board. Furthermore, House Bill 176 proposes to allow servers and bussers between 18 and 20 years old to serve alcohol in restaurants, addressing workforce shortages.
These bills reflect Alabama's evolving approach to alcohol licensing and regulatory practices, balancing convenience, safety, and economic considerations. While some bills have progressed through the House, they continue their legislative journey, undergoing revisions and facing support and opposition from various stakeholders.
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Food trucks selling alcohol
As of September 1, 2023, Alabama law allows food and beverage trucks to sell alcohol in open containers within entertainment districts in all classes of cities. This law, Act No. 2023-523, was sponsored by Rep. Neil Rafferty, D-Birmingham, and grants cities the authority to prohibit food trucks from selling alcohol. The new law also permits the sale of multiple beverages in a single transaction and prohibits food trucks from selling alcohol within 150 feet of the entrance of an Alabama Alcohol Beverage Control Board licensee.
The bill's passage represents a significant development for Alabama's food truck industry, particularly in Birmingham, where there is a prominent hospitality industry and a diverse range of food truck owners. By allowing food trucks to sell alcohol, the bill offers a unique opportunity for these businesses to enhance their brand identity and attract new customers.
While selling alcohol from food trucks can be a lucrative venture, there are important considerations to keep in mind. Liquor laws and regulations vary across states and even cities, making it essential to research and understand the specific requirements for obtaining a liquor license in Alabama. The process can be time-consuming and expensive, with licenses potentially costing thousands of dollars and taking several months to acquire. Additionally, different types of alcohol may be restricted, such as limiting sales to cocktails, beer, or wine.
To ensure compliance and safety, food truck owners must carefully evaluate the costs and potential profits associated with selling alcohol. They should also be prepared to implement security measures, such as installing security cameras and conducting rigorous age verification checks to prevent minors from accessing alcohol.
Overall, the ability of food trucks to sell alcohol in Alabama presents a valuable opportunity for business growth and customer satisfaction. By navigating the legal and regulatory landscape, food truck owners can successfully expand their offerings and provide a unique experience to their patrons.
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Alcohol delivery license fees
Under S.B. 126, qualified businesses would be required to pay a non-refundable filing fee of $100 and a license fee of $250. The initial proposed license fee was $1,000, but it was reduced to $250 as the bill progressed. This bill aimed to include a range of businesses, such as grocery stores, independent package stores, wineries, distilleries, breweries, and restaurants, in the alcohol delivery market. Applicants would also need to undergo a criminal background check to ensure the secure and responsible distribution of alcohol.
Another bill, H.B. 437, focused on wine shipments and had different license fees. Wine manufacturers applying for a wine direct shipper license would pay a $200 application fee and a $100 annual license fee. This bill, sponsored by Rep. Terri Collins, would allow wine to be shipped directly to Alabama residents over the age of 21.
The alcohol delivery license fees in Alabama have been a point of contention, with some groups like the Alabama Beverage Licensees Association (ABLA) expressing concerns about the potential impact on privately owned liquor stores. The ABLA has even considered legal action against the ABC Board's plans for alcohol delivery.
While the bills propose license fees for businesses providing alcohol delivery, there are also measures in place to regulate the sale and tax of alcoholic beverages. For example, House Bill 328 addresses "spirit-infused refreshments" and their tax regulations.
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Frequently asked questions
The Alabama Alcohol Bill is a piece of legislation that allows the delivery of beer, wine, and liquor to individuals. It also permits the direct shipment of wine to Alabama residents.
Under the bill, qualified businesses interested in alcohol delivery must file an application with the Alcoholic Beverage Control Board and pay a non-refundable fee. It also sets limits on the amount of alcohol that can be delivered to customers within a 24-hour period.
The Alabama Alcohol Bill was approved by the Alabama House in April 2021 and signed into law by Governor Kay Ivey. It went into effect in October 2021.
There are concerns about minors gaining easy access to alcohol and a potential increase in alcoholism. However, supporters argue that the bill provides convenience and addresses workforce shortages. Additionally, there is an ongoing legal battle between the Alabama Liquor Stores and the ABC Board over alcohol delivery.
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