Florida Legislature Goes into Short Overtime, But Adjourns Passing the Only Required Bill – the State Budget

The Florida Legislature worked throughout the 60-day legislative session to find ways to balance the state budget.After making many cuts across the board, the Legislature sent the Governor what was thought to be a pretty slim budget based on prior budgets passed by the Legislature.The Governor didn’t agree and vetoed over $600 million in projects and services that lawmakers had sent to him for Executive action.The budget drove most of the legislation that made it through both chambers.

We were most concerned throughout the session with lawmakers' desire to expedite the issuance of permits and licenses, eliminating duplication by state regulatory agencies, and eliminating “unfair” regulations. Normally, we would be speaking the loudest on these measures, but unfortunately some touchy alcohol beverage regulations came under scrutiny including the qualifying thresholds for Special Restaurant Licenses (SRX). State law now requires SRX licensees to maintain 51% food sales, 2500 square feet of space, and at least 150 seats. Several changes were floated in both the House and Senate that would have made it much easier to qualify and obtain SRX licenses. These changes would have created unfair advantages to businesses that want to serve full spirits against those that have invested substantial dollars in the licenses alone that allow spirits sales. Some local Acts that made it through the legislative process did just that. We have been successful in keeping changes from occurring at the state level which has forced lawmakers to utilize the local bill process to make changes.

We are pleased to report that no controversial bills having a statewide impact passed the 2011 legislative session. You can expect a number of the issues to appear again next session. Below is a listing of the bills that RBC was primarily involved with.

Package Sales by Charitable Organizations
SB 986 by Senator Mike Bennett (R-Bradenton) and HB 749 by Representative Matt Caldwell (R-Ft. Myers) would have allowed charitable organizations to sell alcoholic beverages for consumption on or off premises. Current law allows for consumption on premise only. Senator Bennett and Representative Caldwell were attempting to help a local affiliation, and after a thorough understanding of the statewide implication such legislation would create, decided to let RBC work it out administratively, which we are in the process of doing so. The bills died before being heard in committee.

Merlot to Go by Restaurants Licensed to Sell Wine
Under current law, a restaurant that is licensed to sell wine on the premises may permit a patron to remove one unsealed bottle of wine for consumption off the premises if the patron has purchased a full-course meal and consumed a portion of the bottle of wine with the meal on the premises. The originally filed version of HB 4143 by Representative Jason Brodeur (R-Oveida) did not require any meal to be served on the premises with the bottle of wine. We were concerned that this change opened up the door for SRX licensed establishments to sell by package. Representative Brodeur agreed to amend his in bill, in the first committee stop in the House, to require that a meal be consumed on premises in order for a patron to leave with a partially consumed bottle of wine. The amended bill passed the House, but died in the Senate.

Wine Shipping by Out-of-State Wineries
SB 854 by Senator Joe Negron (R-Stuart) and HB 837 by Representative Chris Dorworth (R-Orlando) that created a mechanism for licensing, tax collection and regulatory measures for out-of-state shippers unfortunately never made it to the respective Chamber’s floor for action. We have worked on this legislation since the US Supreme Court ruled that a state could not treat in-state wineries differently than out-of-state wineries. Until some regulatory scheme is put in place, including tax collection and a protection against underage sales, out-of-state wineries will continue to ship wine direct to Florida consumers unregulated. We have aligned ourselves with the distributors and in-state wineries on this issue.

Open House Parties
The current Open House Party statute states that a person in control of a residence who allows an open house party to take place commits a second degree misdemeanor if they know a minor has possession of or consumed any alcoholic beverage or drug at their residence and the person fails to take responsible steps to prevent the possession or consumption of the alcoholic beverage or drug by the minor. HB 105 by Representative Goodson (R-Titusville) and Senator Thad Altman (R-Melbourne) that passed both chambers amends present law to make a second or subsequent violation of the Open House Party statute a first degree misdemeanor. It also provides that any violation of the OPH statute which results in serious bodily injury or death will be punishable by a first degree misdemeanor.

Local Acts Passed By the 2011 Florida Legislature:

• Martin County – HB 657 by Representative Gayle Harrell (R-Port St. Lucie) makes an exception to current local act regulating SRX establishments by allowing SRX licensed establishments located in an area within the legal boundaries of the community redevelopment areas (CRAs) to obtain an SRX license if the restaurants provide service for 150 or more patrons at tables, occupying more than 2,500 square feet of floor space, and derives at least 51% in food sales. Current local act provides for 200 seats and 4,000 square feet of floor space.
• City of Jacksonville – HB 1009 by Representative McBurney (R-Jacksonville) amends local act to include the Urban Transition area for restaurants to operate under an SRX license. Provides that DBPR may issue a special alcoholic beverage restaurant license to any bona fide restaurant containing all necessary equipment and supplies for and serving full course meals regularly and having accommodations at all times for service of 100 or more patrons at tables and occupying not less than 1,800 square feet of floor space which derive no less than 51 percent of gross income per annum from the sale of food consumed on the premises.
• Okaloosa County – HB 4203 by Representative Matt Gaetz (R-Shalimar) repeals a 1969 Okaloosa County special act providing for the issuance of special alcoholic beverage licenses to restaurants accommodating at least 200 patrons at tables and occupying more than 5,000 square feet of floor space. The changes will allow Okaloosa County restaurants to apply for special alcoholic beverage licenses under general law which provides for special licenses to be issued to restaurants accommodating at least 150 persons at tables, occupying more than 2,500 square feet of floor space, and deriving at least 51% in food sales.
• City of Tampa – HB 233 by Representative Dana Young (R-Tampa) authorizes the DBPR to issue a special alcoholic beverage license to the City of Tampa for use within the buildings and adjoining grounds of Curtis Hixon Waterfront Park and Kiley Garden Park. The bills prohibit the sale of alcoholic beverages in sealed containers for consumption outside the buildings and adjoining grounds, but does permit the licensee to remove opened, partially consumed containers of alcoholic beverages from the premises.
• Brevard County – HB 1293 by Representative John Tobia (R-Melbourne) authorizes the issuance of a special COP license to the Brevard Art Museum.
• City of Mount Dora – HB 1307 by Representative Metz (R-Eustis) authorizes the Division to issue temporary COP alcoholic beverages permits to nonprofit organizations holding outdoor events in the downtown area of the City of Mount Dora in Lake County. An organization may be issued up to 15 temporary permits per calendar year, valid for up to three days, in addition to the three temporary permits currently authorized by law.

RBC Convention & Trade Show Shaping Up to Be Best Yet
Retailers, distributors, and suppliers will be at the beautiful Omni Orlando Resort at ChampionsGate October 9, 10 and 11 for RBC’s 2011 Conference & Trade Show. Many new surprises await participants, including an Industry Trade Show featuring a newly formatted buying show; surprise entertainment on a special evening; and newly designed business sessions critical to your bottom line. Please click to register for the conference. RBC’s conference is the perfect setting to tie a little R&R into your business travels. We hope to see you there!