With the passage of Senate Bill 13 (“SB 13”), effective June 25, 2013, Kentucky modernized its alcoholic beverage laws in an effort to make them more effective and efficient for manufacturers, distributors and retailers alike. This modernization included consolidating licenses, simplifying the licensing process, and most importantly for out of state wine and spirits suppliers, it created an out of state shipper permit. Prior to the revisions, beer suppliers were required to hold a license to ship to Kentucky distributors but suppliers of distilled spirits and wine were not.

The new Out-of-State Distilled Spirits/Wine Producers/Supplier license application is available here: http://abc.ky.gov/License%20Applications%202013/outofstate.pdf

Three classes of the new Out-of-State Distilled Spirits/Wine Producers/Supplier license are available:

- Out of State Producer/Supplier for 50,000 gallons or more ($1,550 a year/$3,100 for 2 years);
- Limited Producer/Supplier for 2,001 to 49,999 gallons ($260 a year/$520 for 2 years); and
- Micro-Producer/Supplier for 2,000 gallons or less ($10 a year/$20 for 2 years).

Below are some of the other key changes ushered in by the passage of SB 13:

- Consolidates 88 different license types into 44, changing the names of the licenses and fees associated with each, but keeping unchanged the privileges afforded to the licensees. A few examples: A “Vintner” license is now a “Winery” license, a “Blender’s” license was eliminated and its privileges consolidated into the “Rectifier’s” license.
- Allows a two-year license term renewal for manufacturers and wholesalers, in addition to a one-year license option.
- Bundles together several non-quota retail-drink licenses.
- Creates a Transporter license, consolidating six former transportation-related licenses into one.
- Eliminates bond requirements for many license types
- Changes the licensing structure for microbreweries.

For more information on the changes to Kentucky’s alcohol beverage laws, visit the Kentucky Liquor Control’s information page at http://www.klc.org/UserFiles/files/KACOinfosheet.pdf

And of course, you can always call one of the attorneys at Strike Kerr & Johns if you have any questions about any of the changes to Kentucky’s alcohol beverage laws, or if you have any general questions about shipping to distributors in any state.

Alcohol.law Digest is published for general informational purposes only and is not intended as legal advice. Copyright © 2013 · All Rights Reserved ·

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