SF 3460

Introduction - 85th Legislature (2007 - 2008)

Posted on 12/15/2009 12:00 a.m.

A bill for an act
relating to liquor; authorizing artisan distilleries; amending Minnesota Statutes
2006, section 340A.101, by adding a subdivision; proposing coding for new law
in Minnesota Statutes, chapter 340A.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2006, section 340A.101, is amended by adding a
subdivision to read:

new text begin Subd. 3a. new text end

new text begin Artisan distillery. new text end

new text begin "Artisan distillery" is a distillery operated within
the state producing distilled spirits produced with not less than 30 percent Minnesota
produced or grown agricultural products, subject to the provisions of section 340A.3155.
new text end

Sec. 2.

new text begin [340A.3155] ARTISAN DISTILLERY LICENSE.
new text end

new text begin Subdivision 1. new text end

new text begin Licenses. new text end

new text begin The commissioner may issue an artisan distillery license
to the owner or operator of an artisan distillery located within the state and producing
distilled spirits as defined under section 340A.101, subdivision 9, which may exceed 25
percent alcohol by volume. Licenses may be issued and renewed for an annual fee of
$500, which is in lieu of all other license fees required by this chapter.
new text end

new text begin Subd. 2. new text end

new text begin Sales. new text end

new text begin A license authorizes the sale, on the artisan distillery premises, of
distilled spirits at on-sale or off-sale, in retail, or wholesale lots in total quantities not to
exceed 50,000 gallons in a calendar year. Labels for each type of brand produced must
be registered with the commissioner, without fee, prior to sale. Artisan distilleries may
not sell or produce distilled spirits for direct sale to manufacturers licensed under section
340A.301, subdivision 6, paragraph (a).
new text end

new text begin Subd. 3. new text end

new text begin Scope. new text end

new text begin All provisions of this chapter govern the production, sale,
possession, and consumption of distilled spirits produced by an artisan distillery.
new text end

new text begin Subd. 4. new text end

new text begin Minnesota products. new text end

new text begin Distilled spirits produced under an artisan distillery
license under this section must be made from not less than 30 percent Minnesota produced
or grown agricultural products. If Minnesota produced or grown agricultural products
are not available in sufficient quantities to meet this threshold, the holder of an artisan
distillery license may file an affidavit stating this fact with the commissioner. If the
commissioner, after consultation with the commissioner of agriculture, determines this
to be true, the artisan distillery may use imported products. The affidavit is effective for
a period of one year, after which the artisan distillery must use the required amount of
Minnesota produced or grown agricultural products unless the holder files a new affidavit
with the commissioner.
new text end

new text begin Subd. 5. new text end

new text begin On-sale licenses allowed. new text end

new text begin Nothing in this section or any other provision of
law prevents an artisan distillery from obtaining a separate on-sale license and operating a
business establishment that utilizes that license in conjunction with and within the physical
facilities of the distillery and its buildings.
new text end