(a)
(1) The Director of the Alcoholic Beverage Control Division may issue a temporary permit to authorize the following:
(A) A festival to be conducted over a period not to exceed three (3) days;
(B) The consumption by persons of legal age of beer and malt beverages, as defined by § 3-5-1202, and hard cider on the festival grounds;
(C) The permittee to charge an entry fee for persons wishing to attend the festival and to distribute beer, malt beverages, and hard cider on any day of the week, including Sunday, as provided for in this section, pursuant to the following conditions:
(i) The distribution of beer, malt beverages, and hard cider, as authorized in this section, shall be limited to the secure area as prescribed in subdivision (a)(1)(D) of this section; and
(ii) The distribution of beer, malt beverages, and hard cider on Sunday, as authorized in this section, shall be limited to the hours between 12:00 noon and 10:00 p.m. central time and be limited to those areas where the retail sale and consumption of alcoholic beverages on Sunday has been approved pursuant to Arkansas law;
(D) The festival permittee to designate the permitted area on the festival grounds to be approved by the director, such that it is a secure area which will not allow unsupervised access and egress; and
(E) Participation in this event by any legal brewery, microbrewery, microbrewery-restaurant, distributor, wholesaler, brewpub, small brewery, hard cider manufacturer, or small brewery tap room, whether or not it is currently registered or its product is licensed in the State of Arkansas.
(2)
(A) The director shall not issue this permit if the proposed location is in a dry area.
(B) The director may issue this permit only to a charitable or nonprofit organization as provided for by the Alcoholic Beverage Control Board, except that this permit may not be issued to a charitable or nonprofit organization holding a private club license.
(3) The permittee shall maintain the permit in conjunction with any other legally obtained permit.
(b)
(1) The permittee shall provide to the board no later than one (1) week prior to the event a complete listing of those nonlicensed participants and the products they will be providing. The list shall include proof of delivery, such as an invoice, from the participant which will denote such product or products being provided to the festival.
(2) The permittee may reimburse participants, if so desired, for the cost of the product provided for the licensed event.
(3)
(A) The permittee shall designate one (1) wholesale distributor currently licensed in Arkansas to act as a temporary warehouse for those nonlicensed products to be stored prior to or following the event.
(B) Those products shall be stored for a period not to exceed one (1) week prior to and following the event.
(C) The designated wholesaler shall not be in violation of § 3-3-216, § 3-5-221, § 3-5-1307, or § 3-7-104.
(4)
(A) The designated wholesaler shall pay the Miscellaneous Tax Section of the Office of Excise Tax Administration a wholesalers tax of $7.507808 per barrel equal to thirty-one gallons (31 gals.) for each barrel of beer, malt beverage, or hard cider provided for this festival by any participant whose product is not currently licensed or registered in the State of Arkansas.
(B) This tax shall be paid in conjunction with the currently required miscellaneous tax and shall be paid by the same means as are currently required in the normal course of paying the miscellaneous tax.
(C) The designated wholesaler shall be reimbursed for this tax by the permittee and may collect a handling fee for services rendered in warehousing such nonlicensed product for this festival.
(c) Neither the participants in this event nor their products need be registered under § 3-2-409, § 3-5-1303, or § 3-7-106, nor shall they be in violation of § 3-3-216, § 3-3-304 [repealed], § 3-3-305 [repealed], § 3-5-205, § 3-5-210, § 3-5-211, § 3-5-216, § 3-5-217, or § 3-5-221 for this event only.
(d) The festival participants and attendees while on the festival grounds shall not be found to be in violation of § 5-71-212(c) or (d) regarding public consumption. This does not exclude any participant or attendee from being found in violation of § 5-71-212(a) or (b) regarding public intoxication.
(e) The permittee shall pay to the board a fee of two hundred fifty dollars ($250) per event for a temporary permit under this section.
(f) Every provision of this section shall be subject to all beer, malt beverage, and hard cider laws and rules, except that conflicting beer, malt beverage, and hard cider laws and rules shall be inapplicable to any provision of this section to the extent that they conflict herewith.
(g) A small brewery holding a distribution permit and a beer festival permit may accept and hold beers from out-of-state breweries and distributors for the purpose of pouring at beer festivals.