2006 Utah Code - 32A-8-401 — Authority and operational restrictions.

     32A-8-401.   Authority and operational restrictions.
     (1) A brewery license allows the licensee to:
     (a) manufacture, brew, store, transport, or export beer and heavy beer;
     (b) sell heavy beer to the department, to military installations, and to out-of-state customers;
     (c) sell beer to licensed wholesalers;
     (d) in the case of a small brewer, sell in accordance with Subsection (5) beer manufactured by the brewer to:
     (i) a licensed retailer;
     (ii) a holder of a single event permit issued by the commission pursuant to Chapter 7, Single Event Permits; and
     (iii) a holder of a temporary retail beer permit issued by the commission for a temporary special event pursuant to Chapter 10, Part 3, Temporary Special Event Beer Permits; and
     (e) warehouse on its premises alcoholic beverages which it manufactures or purchases for manufacturing purposes.
     (2) If considered necessary, the commission or department may:
     (a) require certain alterations to the plant, equipment, or premises;
     (b) require the alteration or removal of any unsuitable alcoholic beverage-making equipment or material;
     (c) require the licensee to clean, disinfect, ventilate, or otherwise improve the sanitary and working conditions of any plant, premises, and equipment; or
     (d) demand that all books, records, or data pertaining to the materials and ingredients used in the manufacture of alcoholic products are available to the commission or department upon request.
     (3) A brewery licensee may not sell heavy beer to any person within the state except the department and military installations.
     (4) A brewery licensee may not permit any beer to be consumed on its premises, except under the circumstances described in this Subsection (4).
     (a) A brewer may allow its off-duty employees to consume beer on its premises without charge.
     (b) A brewery licensee may allow any person who can lawfully buy beer or malted beverages for wholesale or retail distribution to consume bona fide samples of its product on the brewery premises.
     (c) (i) A brewery licensee may operate on its manufacturing premises a retail facility allowing consumption on premises of beer in bottles or draft as long as food is also available.
     (ii) Any retail facility located on the premises of a brewery licensee shall be operated or supervised by the brewer.
     (iii) In operating an on-site retail facility, a brewery licensee shall comply with the requirements of Sections 32A-10-101 and 32A-10-102.
     (5) (a) Every small brewer licensee located in this state, and every small brewer located outside this state that obtains a certificate of approval from the department to sell beer in this state under Subsection 32A-8-101(4), that sells beer manufactured by the small brewer directly to a retailer licensee or permittee shall own, lease, or maintain and control a warehouse facility located in this state for the storage of all beer to be sold to any retailer licensee or permittee.
     (b) A small brewer may not sell beer to a retailer licensee or permittee unless the beer:

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     (i) was manufactured by the small brewer; and
     (ii) has first been placed in the small brewer's warehouse facility in this state.
     (c) (i) Each small brewer warehouse shall maintain complete beer importation, inventory, tax, distribution, sales records, and other documents as the department and State Tax Commission may require.
     (ii) The records and documents described in Subsection (5)(c)(i) are subject to inspection by:
     (A) the department; and
     (B) the State Tax Commission.
     (iii) Any small brewer or person acting for the small brewer, who knowingly forges, falsifies, alters, cancels, destroys, conceals, or removes the records or documents required to be made, maintained, or preserved by this title or the rules of the commission, or State Tax Commission for the purpose of deceiving the commission, department, State Tax Commission, or any of their officials or employees, is subject to:
     (A) the immediate suspension or revocation of:
     (I) the brewery license; or
     (II) the certificate of approval; and
     (B) possible criminal prosecution under Chapter 12, Criminal Offenses.

Amended by Chapter 268, 2004 General Session