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Sampling/Sales States


Jeff

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Does anyone know how many states right now allow samples and sales of their product on premises? I plan on using the information in testimony on a bill that was recently introduced.

Jeff

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NY allows farm distillers to do on site sampling. (The farm distiller license is basically the same as NY's usual small distiller license but requires the use of at least 50% NY grown ingredients in your products. You don't have to be located on a farm.)

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The New York State DD Farm Distillery license requires use of 100% New York Agricultural raw materials for production of spirits sold at the Farm Distillery. The license allows for tastings at the distillery as prescribed in SLA regs (max. .25 oz per "taste", max. 3 "tastes" per consumer/visit). And it permits sale of NY State Spirits (made with 100% NY Ag raw materials) made at the distillery and from three other NYS Farm Distilleries. The first line of the law reads: "A Farm Distillery is located on a Farm". Trouble is, there is no definition in NY law for the term "farm". There are various definitions for what a farm must include or the types of productions which are included in a "farm operation", but no actual definition of a "Farm" as a place or entity. The Department of Environmental Conservation (DEC) has its definition of what constitutes a "farm operation", which is not the same as that employed by the Department of Ag and Markets.

I have recently proposed State shift responsibility for regulation and development of Farm Distilleries, Micro Breweries and Farm Wineries over to the Department of Ag and Markets and away from the SLA, which would continue to manage enforcement of distribution and consumer sales regulations.

Another suggestion for NY Legislators is the development of a Farm Alcohol Sales license. The concept would be simple (though I'm sure the SLA will not agree). A farmer growing corn for a whiskey maker could have some of that corn distilled into a whiskey with his farm's brand and sell it at his established, licensed farm stand/market. The grower would not be permitted to sell the alcoholic beverages of any other grower and the stuff he sells must be 100% made from his produce (or in the case of infusions using GNS, made with fruit or herbs grown on the farm). No other alcohol could be sold at that farm. The details would require some security and regulatory oversight, but the result might prove to be a boon to the farmer and the State (increased excise and sales tax revenue); and it would promote the local farms and their produce.

The work has begun in NY to form a coalition of small alcohol beverage producers including: growers, distillers, microbrewers, farm wineries, tourism reps and Ag and Markets. The goal is to bring all small production under Ag and Markets and to make a deliberate effort to grow the industry in New York. The timing is right, the State being in such dire need of tax revenue and working very very hard to help small farms survive. If you're interested in joining the effort to form an organized constituency that would speak for our needs as an emerging Agricultural Industry in Albany, contact:

Todd M. Erling, Executive Director

Hudson Valley AgriBusiness Development Corp.

4303 US Rte 9

Hudson, NY 12534

www.hvadc.org

terling@hvadc.org

The work begins now.

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  • 2 weeks later...
Missouri allows it, also we can pour by the drink, sell on premise and self distrbute "what a state"

For those folks that have a winery and distillery, can you tell me if spirits are removed taxpaid can they be moved to the same taxpaid area that wine is moved to? The same retail section.

Jeff

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Michigan allows sales by bottle and by the drink, as well as giving out samples, on the premise so long as you write a check to the State later for their cut (48%). Unfortunately you are not able to attend shows or tastings in Michigan and provide samples. I know that our legislators are being approached to improve this, but not currently a horrible situation.

I am process of site and equipment selection but not yet distilling. Maybe an existing Michigan distiller can comment further but I have spent a lot of time trying to clearly understand the state laws.

Regards,

Paul

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Oregon allows it.

(2) A distillery licensee may:

(a) Permit tastings of the distilled liquor manufactured by the distillery. The tastings may be conducted on the premises and on at least one other premises owned or leased by the licensee. The licensee must purchase the distilled liquor from the commission.

(B) Apply for appointment as a retail sales agent of the commission for purposes of retailing only distilled liquor that the licensee distilled in Oregon at the two locations at which tastings are permitted pursuant to paragraph (a) of this subsection.

(3) Notwithstanding ORS 471.392 to 471.400, a distillery licensee may also hold a full on-premises sales license for a location at the licensed premises of the distillery and a full on-premises sales license for one other location. All distilled spirits sold under the full on-premises sales license must be purchased from the commission.

-Tyler

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I don't think Jack and George will ever do sampling because of they are in dry townships.

The TN law allows sampling if the local area is wet. All the handful of distilling-permitted counties in TN being dry, you need to be in a wet township in one of the dry counties to do sampling. Which means sampling is allowed in a few square miles in all of the state.

Laws are baffling.

-A

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  • 3 months later...

Yesterday, the Texas Senate passed a law that will permit sampling on premises. It should take effect in about three weeks barring a Governor's veto. It took us five months of lobbying to get it done and we worked closely with the major distributors to make it happen. The code will permit up to a half ounce of each brand produced.

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Washington, too, allows this but only at craft distilleries, and with restrictions on volume. Up to 2 ounces of free samples, and no more than 2 litres per person per day can be sold from the premises.

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