Licenses - state license fees - requirements - definition - repeal.

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(1) The licenses to be granted and issued by the state licensing authority pursuant to this article 4 for the retail sale of fermented malt beverages are as follows:

(a) and (b) Repealed.

(c) (I) (A) A retailer's license shall be granted and issued to any person, partnership, association, organization, or corporation qualifying under section 44-3-301 and not prohibited from licensure under section 44-3-307 to sell at retail fermented malt beverages either for consumption off the licensed premises or for consumption on the licensed premises or, subject to subsection (1)(c)(III) of this section, for consumption on and off the licensed premises, upon paying an annual license fee of seventy-five dollars to the state licensing authority.

(B) A person licensed pursuant to this subsection (1)(c) to sell fermented malt beverages at retail shall purchase the fermented malt beverages only from a wholesaler licensed pursuant to article 3 of this title 44.

(II) Except as otherwise provided in subsection (1)(c)(III) of this section:

  1. The state licensing authority shall not issue a new or renew a fermented malt beverage retailer's license for the sale of fermented malt beverages for consumption on and off the licensed premises; and

  2. Any licensee holding a fermented malt beverage license authorizing the sale of fermented malt beverages for consumption on and off the licensed premises that was issued by the state licensing authority under this subsection (1)(c) before June 4, 2018, that applies to renew the license on or after June 4, 2018, and whose licensed premises is located in a county with a population of thirty-five thousand or more and not in an underserved area must simultaneously apply to convert the license either to a license for the sale of fermented malt beverages at retail for consumption off the licensed premises or to a license for the sale of fermented malt beverages at retail for consumption on the licensed premises.

(III) (A) The state licensing authority may issue a new or renew a fermented malt beverage retailer's license for the sale of fermented malt beverages for consumption on and off the licensed premises if the licensed premises is located in a county with a population of less than thirty-five thousand or in an underserved area.

(B) If a licensee whose licensed premises is located in a county with a population of less than thirty-five thousand or in an underserved area applied for conversion of the license under this subsection (1)(c) on or after June 4, 2018, and before July 1, 2019, the state licensing authority shall, at no additional charge to the licensee, allow the application to be withdrawn and resubmitted as an application to renew the license or reconvert the license to a license for the sale of fermented malt beverages for consumption on and off the licensed premises. This subsection (1)(c)(III)(B) is repealed, effective September 1, 2021.

  1. As used in this subsection (1)(c), "underserved area" means an area that is within acounty with a population of thirty-five thousand or more but lies outside of municipal boundaries or is a city or town with a population of less than seven thousand five hundred.

  2. For purposes of this subsection (1)(c), population is determined according to themost recently available population statistics of the United States census bureau.

  1. Repealed.

  2. (I) Notwithstanding any law to the contrary, beginning on January 31, 2019, the statelicensing authority shall not issue or renew any licenses under this section except for licenses authorized under subsection (1)(c) of this section.

(II) Licenses issued by the state licensing authority under subsection (1)(a), (1)(b), or (1)(d) of this section in effect on January 31, 2019, immediately convert, on January 31, 2019, without any further act by the state licensing authority or the licensee, as follows:

  1. A manufacturer's license that was issued under subsection (1)(a) of this section, as itexisted before January 31, 2019, converts to a manufacturer's license issued pursuant to section 44-3-402 for the manufacture of malt liquors;

  2. A wholesaler's license that was issued under subsection (1)(b) of this section, as itexisted before January 31, 2019, converts to a wholesaler's beer license issued pursuant to section 44-3-407 (1)(b);

  3. A nonresident manufacturer's license that was issued under subsection (1)(d)(I) ofthis section, as it existed before January 31, 2019, converts to a nonresident manufacturer's license issued pursuant to section 44-3-406 (1); and

  4. An importer's license that was issued under subsection (1)(d)(II) of this section, as itexisted before January 31, 2019, converts to a malt liquor importer's license issued pursuant to section 44-3-406 (2).

(III) The conversion of a license issued under subsection (1)(a), (1)(b), or (1)(d) of this section to a license issued under article 3 of this title 44 pursuant to subsection (1)(e)(II) of this section is a continuation of the prior license issued pursuant to this article 4 and does not affect:

  1. Any prior discipline, limitation, or condition imposed by the state licensing authorityon a licensee;

  2. The deadline for renewal of a license; or

  3. Any pending or future investigation or administrative proceeding.

  1. Notwithstanding the amount specified for any fee in subsection (1) of this section,the state licensing authority, by rule or as otherwise provided by law, may reduce the amount of one or more of the fees if necessary pursuant to section 24-75-402 (3) to reduce the uncommitted reserves of the fund to which all or any portion of one or more of the fees is credited. After the uncommitted reserves of the fund are sufficiently reduced, the state licensing authority, by rule or as otherwise provided by law, may increase the amount of one or more of the fees as provided in section 24-75-402 (4).

  2. Repealed.

  3. It is unlawful for any retail licensee under this article 4 to be interested financially,directly or indirectly, in the business of any manufacturer or wholesaler or any person, partnership, association, organization, or corporation interested in or with any of the manufacturers or wholesalers licensed pursuant to article 3 of this title 44.

Source: L. 2018: IP(1) and (1)(c) amended, (SB 18-243), ch. 366, p. 2191, § 2, effective June 4; entire article added with relocations, (HB 18-1025), ch. 152, p. 1068, § 2, effective October 1. L. 2019: IP(1), (1)(c)(I), and (4) amended, (1)(a), (1)(b), (1)(d), and (3) repealed, and (1)(e) added (SB 19-011), ch. 1, p. 2, § 3, effective January 31; (1)(c) amended, (SB 19-028), ch. 4, p. 22, § 1, effective February 20.

Editor's note: (1) This section is similar to former § 12-46-104 as it existed prior to 2018.

  1. Subsections IP(1) and (1)(c) of this section were numbered as § 12-46-104 IP(1) and(1)(c), respectively, in SB 18-243. Those provisions were harmonized with and relocated to this section as this section appears in HB 18-1025.

  2. Amendments to subsection (1)(c) by SB 19-011 and SB 19-028 were harmonized.

Cross references: For the legislative declaration in SB 18-243, see section 1 of chapter 366, Session Laws of Colorado 2018.


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