Arkansas Administrative Code
Agency 006 - Department of Finance and Administration
Division 02 - Alcoholic Beverage Control Division
Rule 006.02.07-001 - Amendment to Section 1.12; Section 1.19(4)(6)(7)(36)(37)(38)(39)(40); Section 1.20(18); Section 1.22.1; Section 1.22.2; Section 1.22.3; Section 1.23; Section 1.32.1; Section 1.33(8)(15); Section 1.79(25); Section 2.12; Repeal of Section 2.12.1; Section 2.16(10); Section 2.28(12)(15); Repeal of Section 2.46; Repeal of Sections 2.47, 2.48, 2.49, 2.50, 2.51, 2.52; New Regulation Sections 2.70, 2.71, 2.72, 2.73, 2.74; Section 3.1; Section 3.19(1)C (2)(3)F (10)A (10)B (13); Section 4.3; Repeal Section 5.41, 5.42, 5.43, 5.44; Section 6.6
Current through Register Vol. 49, No. 9, September, 2024
Section 1.12 "Native Beverage" means brandy manufactured in the State of Arkansas from the juices of grapes, berries and other fruits or vegetables grown in the State of Arkansas,
Section 1.19(4) Small Farm Wine Retail Off Premises Permit authorizes the Hale of small farm wines for consumption off the premises described in the permit;
Section 1.19(6) Small Farm Wine Wholesale Permit authorizes the purchase of small farm wine from a licensed manufacturer and the sale thereof to persons holding permits to sell small farm wine for consumption on or off the promises;
Section 1.19(7) Small Farm Wine Manufacturer For Sale Permit
authorizes the sale of small farm wine to persona holding a wholesale wine or small arm retail wine permit, or the sale of small farm wine to the consumer sold upon the premises of the winery. In addition, the winery may sell wine by the glass.
It is further provided that such on premises and off premises sales may occur on any day of the week. On Monday through Friday, wine may not be sold at a winery for either on premises or off premises consumption before 7:00 a.m. or after 1:00 a.m. the next day. On Saturday, the winery may not sell wine as set out above before 7:00 a.m. or after 12:00 midnight Saturday night. On a Sunday, the winery may sell wine as set forth above to consumers between the hours of 12:00 p.m. and 10:00 p.m., or within such lesser period as may be provided by an ordinance by any city or county where the winery is located;
Section 1.19(36) Sampling Permit authorizes a retail liquor store to serve at no charge to the customer, servings of alcoholic beverages, as authorised by a permit, for on premises consumption at the retail Jiquor store. Samples may only be offered during the regular hours of operation of liquor stores. If authorized by the permit, wine samples shall be limited to a total of three samples not to exceed one-half ounce (0.5 oz.) per sample per customer each day. No more than two (2) two ounce (2 oz.) beer servings may be offered to each customer per day, authorized by the permit and no more than two (2) one-half ounce (0.5 oz.J samples of spirits may be served to each customer per day if authorized by the permit obtained by the retail liquor store.
Section 1.19(37) Post Exchange Package Permit authorizes the sale of alcoholic beverages at a post exchange facility located upon property owned by the State of Arkansas and operated by the Military Department of Arkansas.
Section 1.19(38) Brandy Distilling Permit authorizes distilling brandy or spirituous liquors for use in fortifying of wines manufactured from the juices of grapes, berries, and other fruits or vegetables grown in Arkansas.
Section 1.19f39) Native Brandy Permit authorizes the manufacture and sale of brandy, cordials or other distillates or component parts thereof manufactured solely from agricultural or horticultural products produced in Arkansas.
Section 1.19(40) Native Beer Permit authorizes the permit holder to operate a small brewery or a microbrewery - restaurant in the manner provided for by Act 1805 of 2003.
Section 1.20(18) Any person, corporation, or business entity making application to replace an existing permittee shall submit with the application a replacement notice from the current permit holder authorizing the replacement applicant to operate under the authority of the currently valid permits) while the replacement application is pending before the agency. The replacement authorization must be on the form provided to the applicant by the Alcoholic Beverage Control Division. In no event shall the current permit holder be allowed to withdraw the replacement notice of authorization once the replacement application has been accepted by the agency for processing. Once the replacement application has been acted on by final agency decision, the replacement notice expires and may not be used for subsequent applications.
Section 1.22-1 Temporary Beer Permit. Temporary beer permits for the sale of beer at functions sponsored by or for the benefit of non-profit or charitable organizations may be issued for a period of time not to exceed five (5) consecutive days. Applications for such permit shall meet the requirements as established by the Director and set out in the application and attachments thereto. The fee for such permit shall be forty dollars ($40,00), The Director shall determine whether an application meets the established requirements and whether the function for which the permit is applied is non-profit or charitable in nature and purpose. Those requirements shall include but not be limited to:
Any action by the Director in granting or denying such application is appealable to the Alcoholic Beverage Control Board pursuant to Section 1.51 of these Regulations, provided that any such action on the part of the Director shall be effective immediately without the requirement of such action being ratified by the Alcoholic Beverage Control Board at the nest Board meeting.
Section 1.22.2 Temporary Wine Permit. Temporary wine permits for the sale of wine and light wine by single servings for on premises consumption at functions sponsored by or for the benefit of non-profit or charitable organizations may be issued for a period of time not to exceed five [5) consecutive days. Applications for such permit shall meet the requirements as established by the Director and set out in the application and attachments thereto. The fee for such permit shall be fifty dollars (S50.00). The Director shall determine whether or not an application meets the established requirements and whether or not the function for which the permit is applied is non-profit or charitable in nature and purpose. Those requirements shall include but not be limited to:
Any action by the Director in granting or denying such application is appealable to the Alcoholic Beverage Control Board pursuant to Section 1,51 of these Regulations, provided that any such action on the part of the Director shall be effective immediately without the requirement of such action being ratified by the Alcoholic Beverage Control Board at the next Board meeting.
Section 1.22.3 Temporary Spirits Permit. Temporary permits for the sale of spirituous alcoholic beverages at functions sponsored by or for the benefit of non-profit or charitable organizations may be issued for a period of time not to exceed five (5} consecutive days. Such permits allow the sale of any such alcoholic beverages authorized to be sold pursuant to applicable local option election that otherwise meet the criteria set forth herein. Applications for such permit shall meet the requirements as established by the Director and set out in the application arid attachments thereto. The fee for such permit shall be fifty dollars ($50.00). The Director shall determine whether an application meets the established requirements and whether the function for which the permit is applied is non-profit or charitable in nature and purpose. Those requirements shall include but not be limited to:
Any action by the Director in granting or denying such application is appealable to the Alcoholic Beverage Control Board pursuant to Section 1.51 of these Regulations, provided that any such action on the part of the Director shall be effective immediately without the requirement of such action being ratified by the Alcoholic Beverage Control Board at the next Board meeting.
Section 1.23 Publication of Notice That Application Has Been Made for Permit.
After filing an application with the Director, the applicant shall cause to be published at least once a week for two (2) consecutive weeks in a legal newspaper of general circulation in the city in which the premises is situated, or if the premises is not in a city, in a newspaper of general circulation in the locality in which the business is to be conducted, a notice that the applicant has applied for a permit to sell, manufacture or dispense controlled beverages, as applicable. The notice shall be verified and shall give the name of the applicant and the name and address or location of the business, and shall state that the applicant is a resident of Arkansas, that he has good moral character, that he has never been convicted of a felony or had a permit revoked within the five (5) years preceding the date of notice. Provided,that this requirement shall not apply if the applicant holds a restaurant mixed drink permit and subsequently makes application for a beer and/or wine permit only at the same location. It is further provided that applicants for a retail liquor permit or a private club permit shall be required to publish at least once a week for four (4) consecutive weeks in a legal newspaper as described above, per the authority of Act 735 of 2007.
Section 1.32.1 Applicant Must Attend Educational Seminar. Any person who is applying for a retail alcoholic beverage license or private club license must attend an educational seminar offered by the Alcoholic Beverage Control Division, Attendance at the seminar by the applicant shall be required prior to any action on the application by the Director, Provided, that such attendance is not required by those applicants who have held a permit prior to the initial adoption of Section L32.1 (8-17-S8J and have continued to hold the permit to a point within twelve (12) months of filing a new application.
Section 1.33(15) Drive Up Windows Prohibited at Off Premises Retail Beer and Small Farm Wine Permitted Outlets - Exception. Drive up windows are prohibited at off premises retail beer and small farm wine permitted outlets, except for such outlets that also hold a retail liquor off premises permit. Provided, that those off premises permitted outlets with health department approved kitchen facilities that prepare food on premises for off and/or on premises consumption may sell food products and other convenience store items, except beer and small farm wine, through drive up windows. Such permitted outlets must post a notice not less than three inches by live inches (3" x 5"), clearly affixed to the drive up window and clearly visible to patrons thereof, stating "NO ALCOHOLIC BEVERAGES SOLD THROUGH THIS DRIVE UP WINDOW". The same notice must also be posted on the interior of the permitted outlet so as to be clearly visible to employees selling items, other than beer and small farm wine, through the drive up window. Provided, those establishments, subject to this regulation, having an established and recognized history with this agency of operating a drive up window not in compliance with this Regulation will be considered as "Grandfathered" in and allowed to continue to operate in accordance with such established history.
Section 1.79(25) Employing a Convicted Felon. The holder of any permit issued by this agency had in employment during any hours the outlet was open for business in any capacity a convicted felon whose felony conviction has not been pardoned or record not expunged whose duties include the sale, service, or dispensing of alcoholic heverages, the control of crowds or entrance to the permitted premises, or the management of the business or activities of the outlet; such prohibited employment shall include but not be limited to managers, bartenders, waiters/waitresses, bouncers, door persons, and cashiers. Provided, that those convicted felons whose felony conviction does not involve bodily harm or the threat thereof to another person or the use of a weapon, as such is defined in Section 1.79(33) of these Regulations, may be employed in an Alcoholic Beverage Control permitted outlet;
Section 2.12 Manufacturer to Sell Only to Wholesalers; Exception for Small Farm Wine and Brandy. Any person manufacturing controlled beverages under any alcoholic beverage control law of the State of Arkansas shall sell such controlled beverages only to persons holding a permit to sell such controlled beverages at wholesale. Provided, that manufacturers of small farm brandy may also sell to consumers in accordance with the laws and Regulations applicable to such permits.
Section 2.16(10) Wholesalers to Register Brands of Controlled Beverages; Manufacturers and Wholesalers Not to Change Brands Without Approval of Director The terms, conditions and requirements of this Regulation are hereby expressly made a part of the terms of and as conditions to the approval granted by the Arkansas Alcoholic Beverage Control Division to distillers, manufacturers, importers or producers to do business in the state and by the application for, the acceptance of, or the conduct of business under any such approval, a distiller, manufacturer, importer or producer consents and agrees to comply with the terms, conditions and requirements of this Regulation. This Regulation does not apply to manufacturers or wholesalers of small farm wine.
Section 2.28(12) Wholesalers May Pay for Advertising Devices in Certain Retail Outlets. Wholesale beer permittees shall be allowed to pay for certain advertising devices used at government owned facilities which are issued a large attendance facility permit as long as the permitted facility is located in a county which has a population of more than one hundred fifty five thousand (155,000) people according to the most recent federal census. Such advertising devices shall include items such as inside or outside signs, scoreboards, programs, scorecards, and the like. However, payment for the advertising devices cannot result in the formation or existence of an exclusive buying arrangement between the large attendance facility permittee and the wholesaler who furnishes such advertising items;
Section 2.28(15) Professional Sports Teams Allowed Sponsorship. A large attendance facility permitted establishment owned or operated by an owner of a professional sports team franchised by the National Association of Professional Baseball Leagues within a county that has a population of more than one hundred fifty-five thousand (155,000), according to the most recent federal census, may accept sponsorship funds, advertising items or promotional items from licensed beer wholesalers. The furnishing of the sponsorship funds, advertising or promotional items may not result in the formation or existence of an exclusive buying arrangement between the large attendance facility permittee and the wholesaler who furnishes the sponsorship funds, advertising items or promotional items.
Section 2.70 'Small Farm Winery" means a wine-making establishment that does not produce for sale more than two hundred fifty thousand (250,000) gallons of wine, the alcoholic content of which is not less than one-half of one percent (0.5%) and which does not exceed twenty-one percent (21%) by weight, per calendar year, as reported on the federal tax report form TTB 5120-17, as it existed on January 1, 2007.
Section 2.71 'Small Farm Wine Grocery Store" means an establishment that has more than fifty thousand dollars ($50,000) of inventory of human consumable items. The applicant must prove the inventory requirement to apply for the small farm wine retail permit. The establishment must be of such a nature and size that it offers a full range of typical grocery store items including, but not limited to, fresh produce, fresh meat, laundry detergents, frozen foods, dairy products, breads and other such items. The above list is not all inclusive.
Section 2.72 "Small Farm Wine Convenience Store" means an establishment which sells a combination of motor fuel products and human consumable food. The convenience store must prove, in order to apply For the Small Farm Wine retail permit for convenience stores, that it has in inventory at least seven thousand five hundred dollars ($7,500) worth of human consumable food items.
Section 2.73 Small Farm Winery may Bottle and Sell Wines Produced by Another Permitted Small Farm Winery. Under the provisions of Act 668 of 2007, a small farm winery permit authorizes the permittee to manufacture and bottle wines produced by that small farm winery. In addition, a small farm winery permit authorizes the holder of that permit to bottle and sell wines produced by another small farm winery. In order for a small farm winery to bottle and sell another small farm winery's products, both the selling winery and the buying winery must be small farm winery permit holders as defined in Act 668 of 2007.
Section 2.74 Product Source for Small Farm Wine. Small farm wine means wine made from grapes, berries, other fruits, honey or vegetables. Small farm wine includes mead.
Section 3.1 - General The Regulations under this Title apply to all permits issued by the authority of the Alcoholic Beverage Control Division of the State of Arkansas Lo sell controlled beverages at retail. These Regulations should be regarded as being supplementary to, and not in replacement of, the code provisions of this State relating to the matters covered by this Title. In addition to these Regulations, other Regulations applicable to the matters covered by this Title may be found under Title 1 of these Regulations, under Title 4 of these Regulations in regard to hotel and motel, and restaurant permits, and under Title 2 of these Regulations in regard to the transportation of native Arkansas beverages.
Section 3.19(1)C. Gambling on Premises* Permitted gambling or games of chance or kept any gambling device, machine or apparatus upon the permitted premises. Provided, any establishment licensed under the authority of Act 132 of 1969, as amended, (e,g, hotel-motel mixed drink, restaurant mixed drink, private club & large attendance facility) shall be allowed to have certain gambling machines or devices on its property in conformance with Act 1170 of 2005. Gambling devices or machines may only be on the property of a premises described above if the gambling machines or devices are being used by a non-profit organization that is described in the Act. Any non-profit organization desiring to use gambling machines on a permitted premises must register the event with the Alcoholic Beverage Control Division at least sixty {60) days before the event. The games used at the event may not use money but may use some form of play money. No cash or other item of value may be won or awarded as a prize. This proviso shall only be available for one event during a calendar year by any specific non-profit qualified organization. No permitted premises shall be allowed to host more than ten (10] such events per calendar year under authority of this law. Provided further, that games of bingo and raffles are not considered gambling when conducted at those permitted outlets which have obtained an authorized organization license from the Department of Finance and Administration to conduct games of bingo and raffles, pursuant to Act 388 of 2007. A violation of any provision of Act 388 of 2007 subjects the permitted outlet to the full range of administrative sanctions that may be levied by the Alcoholic Beverage Control Division;
Section 3.19(2) Samples Prohibited. The permittee or any agent, servant or Employee of the permittee accepted from any person or sold or gave to any person any samples, either in unbroken packages, partial packages, or by the drink; this provision is applicable to private clubs, and all holders of retail permits. Provided, retail liquor stores may offer samples of intoxicating liquors of all kinds pursuant to permit as authorized by Act 455 of 2007. Provided further, that holders of large attendance facility permits in which parimutuel wagering has been authorized by law may offer samples of alcoholic beverages by the drink to patrons who are in that area of the permitted facility where games of skill are housed. All such samples offered shall be subject to the gross receipts and use taxes as a withdrawal from stock and shall be paid by the permit holder in the manner prescribed by law.
Section 3.19 Prohibited Conduct and Activities; Grounds for Suspension or Revocation of Retail Permit. In addition to the violation or failure to comply with any of these Regulations or any alcoholic beverage control law of the State of Arkansas, a permit to sell or dispense controlled beverages at retail may be cancelled, suspended or revoked or assessed a monetary fine for any of the following prohibited activities committed by the permittee or any employee, agent or servant of the permittee:
It is further provided that any establishment which has a Sunday alcoholic beverage permit as authorized by law shall be able to sell alcoholic beverages and allow the possession and consumption thereof on a Sunday between the hours of 12:00 noon and 10:00 p,m,f or within a lesser period of time as authorized by cityT or county ordinance. It is further provided that if a city or county has held an election under the provisions of Act 857 of 1999, legalizing the sale of alcoholic beverages on a Sunday by all permittees located within their jurisdiction, then such retail sales shall be lawful between the hours of 12:00 noon and 10:00 p.m., or within a lesser period of time as authorized by city or county ordinance, [Amended 8-18-99 }
It is further provided that when Sunday falls on December 31st of any year, such Sunday alcoholic beverage permit holder, or any on premises consumption permit holder in an area that has opted for the sale of alcoholic beverages on Sunday, may sell alcoholic beverages for on premises consumption between the hours of 12:00 noon on Sunday and 2:00 a.m. on the following Monday unless the city or county establishes by ordinance a lesser period of time in which alcoholic beverages may be sold for on premises consumption by restaurants and hotels on New Year's Eve; (Amended 8-15-01)
Section 3.19(10) Employment of Certain Persons Prohibited.
Section 3.19 Prohibited Conduct and Activities; Grounds for Suspension or Revocation of Retail Permit.
For purposes of this Regulation, retail grocery establishments shall not include those establishments engaged in the sale of motor fuels which do not maintain an inventory of human consumables (not including alcoholic beverage products) in an amount in excess of fifty thousand dollars ($50,000). The burden of providing this inventory requirement shall be on the permittee.
In accordance with Act 1807 of 2003, any person or organization which holds a public restaurant mixed drink permit, a public hotel-motel-restaurant mixed drink permit, a restaurant wine permit or a Sunday beverage permit, may employ persons 19 years of age or older, who have the written consent of a parent or guardian, to sell and handle alcoholic beverages. Provided, that persons 19 years of age and older may not act as bartenders but they may otherwise open bottles of wine and beer and serve the alcoholic beverages and take payment for the same.
Control Enforcement Division that a forfeiture has occurred. The retail dealer shall forward to the Alcoholic Beverage Control Division its $25.00 portion of the forfeited container deposit. The retail dealer shall indicate on a form furnished by the ABC Division, within ten (10) days of the date of forfeiture, the reason why the container deposit has been forfeited, including but not limited to the following reasons:
Any retail dealer that fails to notify the Director of the ABC Enforcement Division or forward to the ABC Division its share of the forfeited container deposit within ten (10) days of the forfeiture of each container deposit is guilty of a violation of Act 254 of 2007 and is also guilty of a Class B violation against their permit as is provided in ACA 3-4-402.
Any Arkansas brewery or microbrewery-restaurant operation that sells for off premises consumption, as described above, shall be required to engage in the keg registration process on the same basis as any other retailer of keg malt beverage products.
Section 4.3 "Alcoholic Beverages'' means all intoxicating liquors of any sort other than beer and wine.
Section 6.6 Small Farm Wineries and Liquor Wholesalers May be Authorized to Distribute Free Wine Samples in Any Area of the State. Any small farm winery or Arkansas liquor wholesaler licensed by the Alcoholic Beverage Control Division may petition the Alcoholic Beverage Control Division for permission to conduct a wine tasting event for educational and promotional purposes in any area of the State, including areas in which the retail sale of alcoholic beverages is not authorized by Law.
Application for permission to distribute wine samples must be received by the Alcoholic Beverage Control Division at least three (3) weeks prior to the event. Written notice of the application shall be mailed by the Alcoholic Beverage Control Division to the law enforcement officer who has primary jurisdiction over the site where the event will be held. If the Director finds that circumstances exist which precluded the timely tiling of the application with the Alcoholic Beverage Control Division, written approval of the event by the law enforcement officer having primary jurisdiction over the site of the event must accompany any such late filed application received by the Alcoholic Beverage Control Division.
The request must be submitted with authorization from the landowner or the party exercising legal control over the area where the event will be held. The application for permission must describe the area where the event will be held, including the size and dimensions of the area, and the request must clearly describe the character of the location. No wine tasting event shall be held in any facility already licensed by the Alcoholic Beverage Control Division.
As used in this Regulation wine means any product made from grapes, fruits, berries, or other similar products which contains more than one-half of one percent (0.5%) alcohol by weight but which does not contain more than fourteen percent (14%) alcohol by weight, regardless of the location of the manufacturer. Samples may be distributed Monday through Friday between the hours of 7:00 a.m. and 1:00 a.m. of the next day. On a Saturday, samples may be distributed only between the hours of 7:00 a.m. and 12:00 midnight. No sampling activity may take place on a Sunday unless the event is taking place in an area which has voted for the sale of liquor by the drink on a Sunday and, in such event, samples may be distributed between the hours of 12:00 noon and 10:00 p.m,, or such lesser period of time as may be provided by local ordinance for the retail sale of alcoholic beverages on a Sunday.
Any action by the Director in granting or denying such application is appealable to the Alcoholic Beverage Control Board pursuant to Section 1.51 of these Regulations, provided that such action on the part of the Director shall be effective immediately without the requirement of such action being ratified by the Alcoholic Beverage Control Board at the next Board meeting.