ALCOHOLIC BEVERAGE CODE

Sec. 16.01.  AUTHORIZED ACTIVITIES.  (a)  Except as provided by Section 16.011,
the holder of a winery permit may:
(1)  manufacture, bottle, label, and package wine containing not more than 24
percent alcohol by volume;
(2)  manufacture and import grape brandy for fortifying purposes only and to be
used only on his licensed premises;
(3)  sell wine in this state to or buy wine from permit holders authorized to
purchase and sell wine, including holders of wholesaler's permits, winery permits,
and wine bottler's permits;
(4)  sell wine to ultimate consumers:
(A)  for consumption on the winery premises;  or
(B)  in unbroken packages for off-premises consumption in an amount not to
exceed 35,000 gallons annually;
(5)  sell the wine outside this state to qualified persons;
(6)  blend wines;  and
(7)  dispense free wine for consumption on the winery premises.
(b)  The holder of a winery permit may manufacture and label wine for an adult in
an amount not to exceed 50 gallons annually for the personal use of the adult.  
Any amount of wine produced under this subsection is included in the annual total
amount That may be sold by the holder under Subsection (a)(4) of this section.  
An adult for whom wine is manufactured and labeled under this subsection is not
required to hold a license or permit issued under this code.
(c)  The holder of a winery permit may conduct wine samplings, including wine
tastings at a retailer's premises.  A winery employee may open, touch, or pour
wine, make a presentation, or answer questions at a wine sampling.
Without reference to the amendment of subsec. (d) by Acts 2003, 78th Leg., ch.
1051, Sec. 1, Acts 2003, 78th Leg., ch. 1119, Sec. 3 repealed subsec. (d)
(d)  The holder of a winery permit may sell wine to ultimate consumers for
consumption on or off winery premises and dispense free wine for consumption on
or off the winery premises.
(e)  The holder of a winery permit may dispense wine for consumption on the
premises of the winery under Section 16.07.
Acts 1977, 65th Leg., p. 416, ch. 194, Sec. 1, eff. Sept. 1, 1977.  Amended by Acts
1979, 66th Leg., p. 2116, ch. 819, Sec. 1, eff. June 13, 1979;  Acts 1981, 67th
Leg., p. 2212, ch. 515, Sec. 1, eff. Aug. 31, 1981;  Acts 1993, 73rd Leg., ch. 934,
Sec. 27, eff. Sept. 1, 1993;  Acts 1997, 75th Leg., ch. 998, Sec. 1, eff. Sept. 1,
1997;  Acts 2001, 77th Leg., ch. 1257, Sec. 1, eff. Sept. 1, 2001;  Acts 2003, 78th
Leg., ch. 1051, Sec. 1, eff. Sept. 1, 2003;  Acts 2003, 78th Leg., ch. 1119, Sec. 1,
3, eff. Sept. 13, 2003.
Sec. 16.011.  PREMISES IN DRY AREA.  A winery permit may be issued for premises
in an area in which the sale of wine has not been authorized by a local option
election.  A holder of a permit under this section may engage in any activity
authorized under Section 16.01 except That the permit holder may sell or dispense
wine under That section only if the wine is:
(1)  bottled in this state; and
(2)  at least 75 percent by volume fermented juice of grapes or other fruit grown in
this state or a lesser percentage established by the commissioner of agriculture
under Section 12.039, Agriculture Code.
Added by Acts 2003, 78th Leg., ch. 1119, Sec. 2., eff. Sept. 13, 2003
Amended by:
Acts 2005, 79th Leg., Ch. 878, Sec. 3, eff. June 17, 2005.
Sec. 16.02.  FEE.  The annual state fee for a winery permit is $75.
Acts 1977, 65th Leg., p. 416, ch. 194, Sec. 1, eff. Sept. 1, 1977.  Amended by Acts
1979, 66th Leg., p. 2116, ch. 819, Sec. 1, eff. June 13, 1979;  Acts 1983, 68th
Leg., p. 1343, ch. 278, Sec. 6, eff. Sept. 1, 1983.
Sec. 16.03.  IMPORTATION FOR BLENDING.  The holder of a winery permit may, for
blending purposes only, import wines or grape brandy.  The wine or grape brandy
may be purchased only from the holders of nonresident seller's permits.  The state
tax on wines imported for blending purposes does not accrue until the wine has
been used for blending purposes and the resultant product placed in containers for
sale.
Acts 1977, 65th Leg., p. 416, ch. 194, Sec. 1, eff. Sept. 1, 1977.  Amended by Acts
1979, 66th Leg., p. 2116, ch. 819, Sec. 1, eff. June 13, 1979.
Sec. 16.04.  FEDERAL PERMIT REQUIRED.  A winery permit may be granted only on
presentation of a winemaker's and blender's basic permit of the federal alcohol tax
unit.
Acts 1977, 65th Leg., p. 416, ch. 194, Sec. 1, eff. Sept. 1, 1977.  Amended by Acts
1979, 66th Leg., p. 2116, ch. 819, Sec. 1, eff. June 13, 1979.
Sec.  16.05.  OPERATING AGREEMENTS BETWEEN PERMIT HOLDERS.  (a)  The
holder of a winery permit may engage in any activity authorized by That permit on
the permitted premises of another winery permit holder under an agreement
between the permit holders That is approved by the commission and That
describes with specificity the nature, duration, and extent of the activities
authorized by the agreement.
(b)  The commission shall adopt rules regulating the shared use of winery
premises under this section to ensure administrative accountability of each permit
holder and a strict separation between the businesses and operations of the
permit holders.
Added by Acts 2005, 79th Leg., Ch. 878, Sec. 4, eff. June 17, 2005.
Sec. 16.06.  ORGANIZED WINE TASTING COMPETITION.  (a)  For the purpose of
participating in an organized wine tasting, wine evaluation, wine competition, or
literary review, the holder of a winery permit may deliver wine produced and
manufactured by the holder to locations That are not licensed under this code for
the purpose of submitting the wine to an evaluation at an organized wine tasting
competition attended primarily by unlicensed persons or by a wine reviewer whose
reviews are published if:
(1)  no charge of any kind is made for the wine, delivery, or attendance at the
event;  and
(2)  the commission consents in writing to the delivery.
(b)  In connection with events authorized by Subsection (a) of this section, the
holder of the winery permit may dispense wine to individuals attending the event
and discuss with them the manufacture and characteristics of the wine.
Added by Acts 1989, 71st Leg., ch. 142, Sec. 1, eff. May 25, 1989.
Sec. 16.07.  WINE SAMPLING.  (a)  The holder of a winery permit may conduct wine
samplings, including wine tastings, on the permitted premises.  The holder of the
permit may collect a fee for the wine sampling.
(b)  A sampling event authorized by this section may not be advertised except by
on-site communication or by direct mail.
(c)  A person other than the holder of a permit or the holder's agent or employee
may not dispense or participate in the dispensing of wine under this section.
(d)  A person authorized to dispense wine under this section:
(1)  may serve a person more than one sample;  and
(2)  may not serve a sample to a minor or to an obviously intoxicated person.
(e)  A person who receives a sample may not remove the sample from the
permitted premises.
(f)  For the purposes of this code and any other law of this state or a political
subdivision of this state, the holder of a permit, during the sampling of wine under
this section, is:
(1)  not the holder of a permit authorizing the sale of alcoholic beverages for
on-premises consumption;  and
(2)  not considered to have received any revenue from the on-premises sale of
alcoholic beverages.
Added by Acts 1997, 75th Leg., ch. 998, Sec. 2, eff. Sept. 1, 1997.
Sec. 16.08.  WINE FESTIVALS.  (a)  At an event That is approved by the
commission, organized to celebrate and promote the wine industry in this state,
and held in whole or in part on the premises of the holder of a winery permit, the
permit holder may:
(1)  sell wine to consumers for consumption on or off the holder's premises;  and
(2)  dispense wine without charge for consumption on or off the holder's premises.
(b)  The holder of a winery permit may sell wine to the holder of a temporary
permit issued under Chapter 27, 30, or 33 for an event That is approved by the
commission and organized to celebrate and promote the wine industry in this state.
(c)  Repealed by Acts 2005, 79th Leg., Ch. 878, Sec. 10(1), eff. June 17, 2005.
Added by Acts 2001, 77th Leg., ch. 1001, Sec. 2.02, eff. Sept. 1, 2001.
Amended by:
Acts 2005, 79th Leg., Ch. 878, Sec. 10(1), eff. June 17, 2005.
Sec. 16.09.  DIRECT SHIPMENT TO CONSUMERS.  (a)  The holder of a winery
permit may ship wine to the ultimate consumer, including ultimate consumers
located in dry areas.  Delivery must be by the holder of a carrier permit.
(b)  All wine shipped to an ultimate consumer by the holder of a winery permit
must be in a package That is clearly and conspicuously labeled showing That:
(1)  the package contains wine; and
(2)  the package may be delivered only to a person described in Subsection (c).
(c)  Wine shipped by the holder of a winery permit may not be delivered to any
person other than:
(1)  the person who purchased the wine;
(2)  a recipient designated in advance by such purchaser; or
(3)  a person at the delivery address who is age 21 or over.
(d)  Wine may be delivered only to a person who is age 21 or over after the
person accepting the package:
(1)  presents valid proof of identity and age; and
(2)  personally signs a receipt acknowledging delivery of the package.
(e)  The holder of a winery permit may not:
(1)  sell or ship wine to a minor;
(2)  deliver wine to a consumer using a carrier That does not hold a carrier's permit
under this code; or
(3)  deliver more than three gallons of wine within any 30-day period to the same
consumer in this state.
Added by Acts 2005, 79th Leg., Ch. 36, Sec. 1, eff. May 9, 2005.
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