Georgia Georgia, could it finally happen for us????!!!

[limulus]

Check out this article regarding on-site sales at breweries:
http://www.georgiacraftbrewersguild...r-wholesalers-association-find-common-ground/

This could be good news for us. But for some reason, I think our distinguished politicians in GA will water this down like a 12oz can of Natural Light.

 

[jmark]

Yup - I started a thread on this last week... the back story is that the distributors and the Georgia Craft Brewers Guild actually came to an agreement on this legislation and all parties are 'happy' with the bill as it stands. It passed the Senate Committee yesterday with only one 'No' vote and is now headed to the full Senate for consideration. Fingers crossed, but this does look quite likely to pass. It will be interesting to see how the Dept. of Revenue handles the rule making as there are LOT of new rules to write, so it will be important for everyone to keep tabs on that process to ensure the 2015 debacle is not repeated.

 

[theowlman16]

You cant drink beer at a brewery?

 

[jmark]

You can't buy it at a brewery... currently you can purchase a tour and the brewery is allowed to 'gift' you souvenir beer of up to 36oz to be consumed onsite and up to 72oz to take away for consumption offsite. This itself was only made possible with a 2015 law but after breweries spent significant money expanding/building taprooms, the Dept. of Revenue changed the rules after closed door meetings with distributors. They were upset that breweries were offering different 'tiers' of tours for which you'd get different types of souvenirs (e.g. brewery-only releases and 'whale' type beers) while still adhering to the 72oz caps. That cronyism caused a backlash and eventually the DoR backtracked on the condition that no new legislation would be proposed in 2016 (an election year). I guess that also forced folks to get together to come up with a long-term solution that we now appear to have within our grasp with this bill.

 

[limulus]

You can't buy it at a brewery... currently you can purchase a tour and the brewery is allowed to 'gift' you souvenir beer of up to 36oz to be consumed onsite and up to 72oz to take away for consumption offsite. This itself was only made possible with a 2015 law but after breweries spent significant money expanding/building taprooms, the Dept. of Revenue changed the rules after closed door meetings with distributors. They were upset that breweries were offering different 'tiers' of tours for which you'd get different types of souvenirs (e.g. brewery-only releases and 'whale' type beers) while still adhering to the 72oz caps. That cronyism caused a backlash and eventually the DoR backtracked on the condition that no new legislation would be proposed in 2016 (an election year). I guess that also forced folks to get together to come up with a long-term solution that we now appear to have within our grasp with this bill.

Excellent explanation. The GA law is why our state, which is the 9th largest by population has one of the lowest numbers of craft breweries. This will definitely change things. If I know the Atlanta market, it will go balls to the wall crazy and we'll have a brewery in every strip center until the inevitable bubble bursts and we have a reasonable number. It will be fun if the law changes.

 

[Jaybird]

Hey! At least you guys have strip clubs! Baahhhahaaaaaaaaa!

Cheers
Jay

 

[jmark]

Excellent explanation. The GA law is why our state, which is the 9th largest by population has one of the lowest numbers of craft breweries. This will definitely change things. If I know the Atlanta market, it will go balls to the wall crazy and we'll have a brewery in every strip center until the inevitable bubble bursts and we have a reasonable number. It will be fun if the law changes.

Yeah... will definitely be interested in the regs... could make even a small nano with no distribution a viable second job!

 

[limulus]

Hey! At least you guys have strip clubs! Baahhhahaaaaaaaaa!

Cheers
Jay

Yes, those are still around and from what I hear just as nekkid as always.

 

[limulus]

Yeah... will definitely be interested in the regs... could make even a small nano with no distribution a viable second job!

I think we may see a few nanos once this gets through. I have a second home up in the mountains on a lake. I spoke with a town across the border in NC that wants a brewery. They would change whatever regs they need to change in order to have a brewery. On-site sales and self distribution in NC were very attractive and I really thought about it.

 

[jmark]

Senate passes the bill 49-2... on to the house

 

[GaBrewZoo]

Senate passes the bill 49-2... on to the house

Yay, go house.

 

[soccerdad]

I gotta look up the 2 ... not sure my senator would support

 

[limulus]

I think this could finally happen. Un-freakin-believable. Have the lawmakers in GA finally realized what century this is?

 

[soccerdad]

My senator one of two nay votes. Alcohol is the debil you know. Sheesh.

 

[wyowolf]

I'll believe it when I drink it... I've lived here 20 years, things move really slow here...

 

[madscientist451]

I used to live in Atlanta, Georgia, a city with lots of strip clubs and police that look the other way as girls openly sell themselves to guys in the parking lot.
I'm not the least bit surprised that the corrupt politicians there have closed door meetings to keep the well connected rolling in beer profits while screwing the beer drinking public and small entrepreneurs.
You think there's any chance the beer distributors provide campaign contributions and other goodies like Super Bowl tickets to key political figures?
In 2012, Georgia received the absolute worst score in the US for public integrity:
https://www.publicintegrity.org/2012/03/19/8427/georgia-worst-score-country
But since that time, my state, Pennsyvania, surged ahead of Georgia and is now ranked as among the most corrupt.
Ok my rant is ALMOST over, at least they are making some progress down in Dixie, and even up here, the ridiculous anti-alcohol regulations have been relaxed some what.
The founding fathers were all enthusiastic brewers, cider and wine makers, distillers and drinkers and didn't put freedom to make and sell alcohol in the BILL OF RIGHTS because GOD made yeast, fruit and grain all the other things needed for fermentation.
And Since GOD wants the people to be happy, GOD wants us to have alcohol (in moderation). Its a natural process and a GOD GIVEN RIGHT. They never would have thought that the USA would turn into a dictatorial nanny-state where rights like these would be infringed.

 

[estricklin]

Was skimming through your thread here, glad to see the laws changing for the better.

In Arkansas we still have lots of blue laws that don't make any sense, including a disproportionate number of dry counties; there are some places in the state where a person must drive for 1-2 hours to get spirits, or up to an hour to get a beer.

The laws do seem to be changing for the better, but it's like chipping away at a giant ice block with a tooth pick.

 

[TheMadKing]

Yeah... will definitely be interested in the regs... could make even a small nano with no distribution a viable second job!

Where do I sign up!?

 

[jmark]

I'll believe it when I drink it... I've lived here 20 years, things move really slow here...

I don't think it's going to a problem getting the thing passed since everyone from the distributors to the governor are on board... it's just how the DoR sets up the rules that's going to be interestingly... the distributors could still force some stupid stuff there like forcing a brewery to sign even if not needing a distributor. Once they have you signed, the only way to change distributors is to stop selling beer off-premise for FIVE years! Obviously that would put any brewery out of business.

 

[limulus]

Yeah... will definitely be interested in the regs... could make even a small nano with no distribution a viable second job!

I was thinking about this and I still think you would need to sign with a distributor. Georgia is a franchise state and as part of the licensing process, you have to select a distributor pretty early. I think they will require you to distribute something. Knowing GA, they are still going to take care of the distributors and require you to sell a % via distribution.

 

[jmark]

Well not unless the DoR writes that into the law. The bill is very specific about allowing up to 3000 barrels to be sold from the brewery in cans, bottles or growlers and does not mention any percentage that has to go to distributors.

Even before this bill, there's nothing in the licensing process that precludes you from having a brewery license without an agreement with a distributor. You simply can't sell anything until you have an agreement! Even if they change the system in order to force you to sign with a distributor, you certainly don't have to give them anything to distribute. Besides, what reason would a distributors have to deal with such small an account?

 

[jmark]

Latest update... in the GA house, the bill was combined with another similar bill aimed at distillers. It passed committee yesterday unanimously so it's on to the house floor next. After that I believe it needs to go back to the Senate due to the distillery add-on, but the future looks bright!

 

[soccerdad]

My senator will vote against it twice if he can .. once for beer and once for spirits

 

[jmark]

Thankfully there are only a couple like that

 

[limulus]

You guys know we are talking about Georgia. I won't believe it until I see it. That group of distributors is just not going to hand over everything they've fought for. There will strings or steel cables attached...

 

[jmark]

I get the skepticism but this bill was the result of the Guild AND the distributors getting together and coming to an agreement. The fact that so far it's cleared the Senate with all but two senators voting for it and the house with all but one shows how on board everyone is. The fact that only GA and MS currently disallow on premise sales probably plays into this.

Now the DOR may yet have some weird rules that they put in place, but the bill is incredibly clear as to what it allows.

 

[limulus]

I still think that the distributors will get something. It may be a 50/50 distribution/on-site rule or something. The law in GA requiring a brewer to sign a distributor has not changed and GA is a franchise state. Once you sign, they practically own you. I was once a member of the Guild until they made it for operating breweries or breweries in planning only.

I sure hope it passes with no limitations. If you recall, the last time this came to a vote, they basically stripped it of everything and then the DOR did their middle of the night crap. The ultimate would be to allow some limited self distribution. But I don't see that happening and that is how they will probably hook brewers.

I have thought about retiring and opening a brewery but things were just too prohibitive in GA. We have a home up in the mountains on a lake which is 1/2 in NC. I got a welcome response from a town on the NC side and thoght about taking the plunge. They allow self distribution. You can also brew in GA and self distribute in NC. At least that is what a lawyer told me at the GACBG seminar last year.

 

[jmark]

The bill is quite clear... up to 3000 barrels of on/off premise sales by the brewery... nothing requiring anything for distributors. There is NO current legal requirement for any brewery to sign with a distributor in order to get a brewery license (it's obviously something you currently NEED though), so I'm not sure why they would suddenly add that as it doesn't benefit either the distributor or the brewery... wtf would a distributor want to sign up a small time brewer and have to do all that heavy lifting for such a minimal return... wait until they're big enough and then it makes it worthwhile... after all, the ridiculous 5-year waiting period rule is still in effect regardless. Even if they did say you needed to sign up with a distributor it's not like you actually have to use them... like I said the bill is explicit on what it allows of the brewery.

EDIT: I would agree wholeheartedly that the proof will be in the pudding. The DoR did pull the rug the last time after all.

 

[limulus]

Looks like this all got signed by the House on Monday. So it is now back to the Senate for their review of the amendments made to give distilleries to also sell on-site. Then Gov Deal needs to sign. After that, it can become effective on Sept 1 unless the DOR does something underhanded again.

 

[violinguy]

FYI, I heard yesterday at a brewery tour (Printer's Ale in Carrollton - really good beer) that this did pass and will go into effect Sept. 1.

 

[limulus]

Yep. As usual, in the Atlanta area, we'll see breweries popping up everywhere and of course some will fail. But we can finally walk in and buy a pint in a tasting room without having to pay for some tour. We can also take home a case. That is the shocking part for me knowing how tight the distributors in GA were gripping the balls of the legislators. I'm now over 55 and I'm going to retire soon, so hell, I may just look for a place to open. I'm sure a lot of the existing breweries are working on tasting rooms expansions....

 

[leftcontact]

For the record, it did indeed pass, brewers do not need to convey the beer to a distributor if it's in-house, and life is somewhat better.