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                                 SENATE AMENDED
        PRIOR PRINTER'S NOS. 2523, 3058, 3313,        PRINTER'S NO. 4339
        3058, 4201, 4290, 4323

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1946 Session of 1989


        INTRODUCED BY SALOOM, MOWERY, J. L. WRIGHT, CAPPABIANCA,
           STABACK, HOWLETT, MICOZZIE, CIVERA, CORRIGAN AND ACOSTA,
           OCTOBER 4, 1989

        AS AMENDED ON THIRD CONSIDERATION, IN SENATE, NOVEMBER 19, 1990

                                     AN ACT

     1  Amending the act of April 12, 1951 (P.L.90, No.21), entitled, as
     2     reenacted, "An act relating to alcoholic liquors, alcohol and
     3     malt and brewed beverages; amending, revising, consolidating
     4     and changing the laws relating thereto; regulating and
     5     restricting the manufacture, purchase, sale, possession,
     6     consumption, importation, transportation, furnishing, holding
     7     in bond, holding in storage, traffic in and use of alcoholic
     8     liquors, alcohol and malt and brewed beverages and the
     9     persons engaged or employed therein; defining the powers and
    10     duties of the Pennsylvania Liquor Control Board; providing
    11     for the establishment and operation of State liquor stores,
    12     for the payment of certain license fees to the respective
    13     municipalities and townships, for the abatement of certain
    14     nuisances and, in certain cases, for search and seizure
    15     without warrant; prescribing penalties and forfeitures;
    16     providing for local option, and repealing existing laws,"
    17     further providing for INTERPRETATION AND FOR the quota on the  <--
    18     issuance of distributors licenses and retail licenses;
    19     PROVIDING FOR PRICE CHANGES FOR MALT AND BREWED BEVERAGES;     <--
    20     further providing for privately-owned public golf courses;
    21     providing that patrons be required to leave licensed premises
    22     at a certain time; authorizing the serving of food after the
    23     hour to cease serving liquor or malt or brewed beverages has
    24     arrived; and prohibiting the consumption of liquor or malt or  <--
    25     brewed beverages while tending bar or otherwise serving such
    26     beverages; AND FURTHER PROVIDING FOR ADMINISTRATIVE LAW        <--
    27     JUDGES, LICENSES AND LICENSING PROCEDURES.

    28     The General Assembly of the Commonwealth of Pennsylvania
    29  hereby enacts as follows:

     1     Section 1.  Sections 437(f) and 461(a) of the act of April     <--
     2  12, 1951 (P.L.90, No.21), known as the Liquor Code, reenacted
     3  and amended June 29, 1987 (P.L.32, No.14), are amended to read:
     4     SECTION 1.  SECTIONS 104(C), (D) AND (E), 212(C) AND (H),      <--
     5  402, 433 AND 437(F) OF THE ACT OF APRIL 12, 1951 (P.L.90,
     6  NO.21), KNOWN AS THE LIQUOR CODE, REENACTED AND AMENDED JUNE 29,
     7  1987 (P.L.32, NO.14), ARE AMENDED TO READ:
     8     SECTION 104.  INTERPRETATION OF ACT.--* * *
     9     (C)  EXCEPT AS OTHERWISE EXPRESSLY PROVIDED, THE PURPOSE OF
    10  THIS ACT IS TO PROHIBIT THE MANUFACTURE OF AND TRANSACTIONS IN
    11  LIQUOR, ALCOHOL AND MALT OR BREWED BEVERAGES WHICH TAKE PLACE IN
    12  THIS COMMONWEALTH, EXCEPT BY AND UNDER THE CONTROL OF THE BOARD
    13  AS HEREIN SPECIFICALLY PROVIDED, AND EVERY SECTION AND PROVISION
    14  OF THE ACT SHALL BE CONSTRUED ACCORDINGLY; TO PROVIDE A
    15  STRUCTURE IN THIS COMMONWEALTH FOR A DISTRIBUTION SYSTEM,
    16  INCLUDING THE ESTABLISHMENT OF PENNSYLVANIA LIQUOR STORES AND
    17  LICENSING OF IMPORTING DISTRIBUTORS AND DISTRIBUTORS; AND TO
    18  PRESERVE MANUFACTURERS OF LIQUOR AND ALCOHOL AND MALT AND BREWED
    19  BEVERAGES SELLING THOSE PRODUCTS WITHIN THIS COMMONWEALTH. THE
    20  PROVISIONS OF THIS ACT DEALING WITH THE MANUFACTURE,
    21  IMPORTATION, SALE, DISTRIBUTION AND DISPOSITION OF LIQUOR,
    22  ALCOHOL AND MALT OR BREWED BEVERAGES WITHIN THE COMMONWEALTH
    23  THROUGH THE INSTRUMENTALITY OF THE BOARD, LICENSEES AND
    24  OTHERWISE, PROVIDE THE MEANS BY WHICH SUCH CONTROL SHALL BE MADE
    25  EFFECTIVE. THIS ACT SHALL NOT BE CONSTRUED AS FORBIDDING,
    26  AFFECTING OR REGULATING ANY TRANSACTION WHICH IS NOT SUBJECT TO
    27  THE LEGISLATIVE AUTHORITY OF THIS COMMONWEALTH.
    28     (D)  THE PROVISIONS OF THIS ACT ARE INTENDED TO CREATE A
    29  SYSTEM FOR DISTRIBUTION THAT SHALL INCLUDE THE FIXING OF PRICES
    30  FOR LIQUOR AND ALCOHOL AND CONTROLS PLACED ON PRICES FOR MALT
    19890H1946B4339                  - 2 -

     1  AND BREWED BEVERAGES AND WHICH SHALL BE CONSTRUED AS INTEGRAL TO
     2  THE PRESERVATION OF THE SYSTEM, WITHOUT WHICH THE COMMONWEALTH'S
     3  CONTROL OF THE SALE OF LIQUOR AND ALCOHOL AND MALT AND BREWED
     4  BEVERAGES WOULD NOT BE POSSIBLE.
     5     [(D)] (E)  ANY REFERENCE IN THIS ACT TO THE PROVISIONS OF LAW
     6  ON ANY SUBJECT SHALL APPLY TO STATUTES BECOMING EFFECTIVE AFTER
     7  THE EFFECTIVE DATE OF THIS ACT AS WELL AS TO THOSE THEN IN
     8  EXISTENCE.
     9     [(E)] (F)  SECTION HEADINGS SHALL NOT BE TAKEN TO GOVERN OR
    10  LIMIT THE SCOPE OF THE SECTIONS OF THIS ACT. THE SINGULAR SHALL
    11  INCLUDE THE PLURAL AND THE MASCULINE SHALL INCLUDE THE FEMININE
    12  AND THE NEUTER.
    13     SECTION 212.  OFFICE OF ADMINISTRATIVE LAW JUDGE.--* * *
    14     (C)  ADMINISTRATIVE LAW JUDGES SHALL PRESIDE AT ALL
    15  LICENSING, CITATION AND OTHER ENFORCEMENT HEARINGS REQUIRED OR
    16  PERMITTED UNDER THIS ACT. AN ADMINISTRATIVE LAW JUDGE SHALL
    17  RECUSE HIMSELF IN A LICENSING PROCEEDING IF THE LICENSEE OR
    18  PROSPECTIVE LICENSEE CAN DEMONSTRATE THAT THE JUDGE HAS HEARD AN
    19  ENFORCEMENT MATTER CONCERNING THE LICENSEE OR PROSPECTIVE
    20  LICENSEE. AN ADMINISTRATIVE LAW JUDGE SHALL RECUSE HIMSELF IN AN
    21  ENFORCEMENT PROCEEDING IF THE PERSON SUBJECT TO ENFORCEMENT CAN
    22  DEMONSTRATE THAT THE JUDGE HAS HEARD A LICENSING MATTER
    23  CONCERNING THE PERSON. ADMINISTRATIVE LAW JUDGES SHALL INFORM
    24  PERSONS AND THEIR COUNSEL OF RECUSAL RIGHTS UNDER THIS
    25  SUBSECTION.
    26     * * *
    27     [(H)  NOTHING IN THIS SECTION OR THIS ACT SHALL BE CONSTRUED
    28  OR INTENDED TO CHANGE OR AFFECT THE TERMS AND CONDITIONS OF
    29  EMPLOYMENT OR THE EMPLOYMENT SECURITY OF HEARING EXAMINERS
    30  EMPLOYED BY THE BOARD ON THE EFFECTIVE DATE OF THIS SECTION.]
    19890H1946B4339                  - 3 -

     1     SECTION 402.  LICENSE DISTRICTS; LICENSE YEAR; HEARINGS.--(A)
     2  THE BOARD SHALL, BY REGULATION, DIVIDE THE STATE INTO CONVENIENT
     3  LICENSE DISTRICTS AND SHALL HOLD HEARINGS ON APPLICATIONS FOR
     4  LICENSES AND RENEWALS THEREOF, AS IT DEEMS NECESSARY, AT A
     5  CONVENIENT PLACE OR PLACES IN EACH OF SAID DISTRICTS, AT SUCH
     6  TIMES AS IT SHALL FIX, BY REGULATION, FOR THE PURPOSE OF HEARING
     7  TESTIMONY FOR AND AGAINST APPLICATIONS FOR NEW LICENSES AND
     8  RENEWALS THEREOF. THE BOARD SHALL HOLD A HEARING ON ANY
     9  APPLICATION FOR A NEW HOTEL, CLUB OR RESTAURANT LIQUOR LICENSE
    10  OR THE TRANSFER OF ANY SUCH LICENSE TO A NEW LOCATION, UPON THE
    11  REQUEST OF ANY PERSON WITH STANDING TO TESTIFY UNDER SUBSECTION
    12  (B) IF THE REQUEST IS FILED WITH THE BOARD WITHIN THE FIRST
    13  FIFTEEN DAYS OF POSTING OF THE NOTICE OF APPLICATION PURSUANT TO
    14  SECTION 403(G). THE BOARD [MAY] SHALL PROVIDE FOR THE HOLDING OF
    15  SUCH HEARINGS BY [EXAMINERS LEARNED IN THE LAW, TO BE APPOINTED
    16  BY THE GOVERNOR, WHO SHALL NOT BE SUBJECT TO THE "CIVIL SERVICE
    17  ACT." SUCH EXAMINERS] ADMINISTRATIVE LAW JUDGES, WHO SHALL MAKE
    18  A REPORT TO THE BOARD IN EACH CASE WITH THEIR RECOMMENDATIONS.
    19  THE BOARD SHALL, BY REGULATION, FIX THE LICENSE YEAR FOR EACH
    20  SEPARATE DISTRICT SO THAT THE EXPIRATION DATES SHALL BE UNIFORM
    21  IN EACH OF THE SEVERAL DISTRICTS BUT STAGGERED AS TO THE STATE.
    22     (B)  WHERE A HEARING IS HELD IN THE CASE OF AN APPLICATION
    23  FOR A NEW HOTEL, CLUB OR RESTAURANT LIQUOR LICENSE OR AN
    24  APPLICATION FOR THE TRANSFER OF A HOTEL, CLUB OR RESTAURANT
    25  LIQUOR LICENSE TO A NEW LOCATION, THE BOARD SHALL PERMIT
    26  RESIDENTS RESIDING WITHIN A RADIUS OF FIVE HUNDRED FEET OF THE
    27  PREMISES TO TESTIFY AT THE HEARING. THE BOARD AND ANY [HEARING
    28  OFFICER] ADMINISTRATIVE LAW JUDGE THEREOF SHALL GIVE APPROPRIATE
    29  EVIDENTIARY WEIGHT TO ANY TESTIMONY OF SUCH RESIDENTS GIVEN AT
    30  THE HEARING.
    19890H1946B4339                  - 4 -

     1     SECTION 433.  PUBLIC SERVICE LICENSES.--THE BOARD MAY ISSUE
     2  PUBLIC SERVICE MALT AND BREWED BEVERAGE LICENSES TO A RAILROAD,
     3  PULLMAN OR STEAMSHIP COMPANY PERMITTING MALT OR BREWED BEVERAGES
     4  TO BE SOLD AT RETAIL IN DINING, CLUB OR BUFFET CARS, OR THE
     5  DINING COMPARTMENTS OF STEAMSHIPS OR VESSELS, FOR CONSUMPTION ON
     6  THE TRAINS, STEAMSHIPS OR VESSELS WHEREVER OPERATED IN THE
     7  STATE, EXCEPT WHEN STANDING IN STATIONS OR TERMINALS WITHIN A
     8  MUNICIPALITY WHEREIN RETAIL SALES ARE PROHIBITED. SUCH LICENSES
     9  SHALL ONLY BE GRANTED TO REPUTABLE PERSONS AND FOR FIT PLACES.
    10  THE BOARD MAY ISSUE A MASTER LICENSE TO RAILROAD OR PULLMAN
    11  COMPANIES TO COVER THE MAXIMUM NUMBER OF CARS WHICH THE COMPANY
    12  SHALL ESTIMATE THAT IT WILL OPERATE WITHIN THE COMMONWEALTH ON
    13  ANY ONE DAY. SUCH LICENSEES SHALL FILE MONTHLY REPORTS WITH THE
    14  BOARD SHOWING THE MAXIMUM NUMBER OF CARS OPERATED AT ANY TIME ON
    15  ANY DAY DURING THE PRECEDING MONTH, AND IF IT APPEARS THAT MORE
    16  CARS HAVE BEEN OPERATED THAN COVERED BY ITS LICENSE IT SHALL
    17  FORTHWITH REMIT TO THE BOARD THE SUM OF TEN DOLLARS FOR EACH
    18  EXTRA CAR SO OPERATED. THE BOARD SHALL HAVE THE POWER TO SUSPEND
    19  OR REVOKE ANY SUCH LICENSES FOR CAUSE AFTER GRANTING A HEARING
    20  BEFORE [A HEARING EXAMINER TO THE LICENSEE] AN ADMINISTRATIVE
    21  LAW JUDGE. ANY PERSON AGGRIEVED BY THE DECISION OF THE BOARD IN
    22  REFUSING, SUSPENDING OR REVOKING ANY SUCH LICENSE MAY APPEAL TO
    23  THE COMMONWEALTH COURT IN THE SAME MANNER AS PROVIDED IN THIS
    24  ARTICLE FOR APPEALS FROM REFUSALS OF LICENSES.
    25     Section 437.  Prohibitions Against the Grant of Licenses.--*
    26  * *
    27     (f)  No new distributor's or importing distributor's license
    28  shall hereafter be granted by the board in any county of the
    29  Commonwealth where the combined number of distributor and
    30  importing distributor licenses exceeds one license for each
    19890H1946B4339                  - 5 -

     1  [fifteen] thirty thousand inhabitants of the county in which the
     2  license is to be issued: Provided, That a combined total of five
     3  such licenses may be granted in any county of the Commonwealth.
     4     Nothing in this subsection shall be construed as denying the
     5  right of the board to renew or to transfer existing
     6  distributors' or importing distributors' licenses or to exchange
     7  a distributor's license for an importing distributor's license
     8  or to exchange an importing distributor's license for a
     9  distributor's license, upon adjustment of the applicable fee,
    10  notwithstanding that the number of such licensed places in the
    11  county shall exceed the limitation hereinbefore prescribed:
    12  Provided, That no distributor's license or importing
    13  distributor's license shall be transferred from one county to
    14  another county so long as the quota is filled in the county to
    15  which the license is proposed to be transferred.
    16     SECTION 2.  THE ACT IS AMENDED BY ADDING A SECTION TO READ:    <--
    17     SECTION 447.  PRICE CHANGES OF MALT AND BREWED BEVERAGES.--
    18  (A)  (1)  THE PURPOSE OF THIS SECTION IS TO REGULATE THE MANNER
    19  IN WHICH PRICES OF MALT OR BREWED BEVERAGES IS CHANGED BY THE
    20  MANUFACTURERS, IMPORTING DISTRIBUTORS AND OTHER DISTRIBUTORS,
    21  AND TO PROVIDE FOR THE RETENTION AND THE FURNISHING OF RECORDS
    22  OF PRICE CHANGES BY SUCH MANUFACTURERS, IMPORTING DISTRIBUTORS
    23  AND DISTRIBUTORS.
    24     (2)  ANY MANUFACTURER, IMPORTING DISTRIBUTOR OR DISTRIBUTOR
    25  WHO REDUCES THE PRICE ON ANY PACKAGE OF ANY BRAND OF MALT OR
    26  BREWED BEVERAGES SOLD FOR RESALE WITHIN THIS COMMONWEALTH MAY
    27  FURTHER REDUCE THE PRICE AT ANY TIME, BUT ANY REDUCTION SHALL
    28  CONTINUE IN FULL FORCE AND EFFECT FOR AT LEAST ONE HUNDRED
    29  EIGHTY DAYS FROM THE DATE ON WHICH THE LAST SUCH REDUCED PRICE
    30  BECOMES EFFECTIVE, EXCEPT FOR THE MEETING OF COMPETITION AS SET
    19890H1946B4339                  - 6 -

     1  FORTH IN PARAGRAPH (B). HOWEVER, SUCH REDUCED PRICE MAY BE
     2  INCREASED DURING SUCH ONE HUNDRED EIGHTY-DAY PERIOD TO REFLECT
     3  ANY TAX INCREASE ON MALT OR BREWED BEVERAGES.
     4     (3)  IF A MANUFACTURER, IMPORTING DISTRIBUTOR OR DISTRIBUTOR
     5  OF MALT OR BREWED BEVERAGES LOWERS THE WHOLESALE PRICE ON ANY
     6  PACKAGE OF ANY BRAND OF MALT OR BREWED BEVERAGES TO ONE
     7  IMPORTING DISTRIBUTOR OR DISTRIBUTOR OR RETAIL LICENSEE WITHIN
     8  THIS COMMONWEALTH, THE MANUFACTURER, IMPORTING DISTRIBUTOR OR
     9  DISTRIBUTOR SHALL LOWER THE WHOLESALE PRICE ON SUCH PACKAGE OF
    10  SUCH BRAND OFFERED OR SOLD TO ALL OTHER IMPORTING DISTRIBUTORS
    11  OR DISTRIBUTORS OR RETAIL LICENSEES WITHIN THIS COMMONWEALTH BY
    12  A LIKE AMOUNT. ANY IMPORTING DISTRIBUTOR OR DISTRIBUTOR WHO
    13  LOWERS THE WHOLESALE PRICE ON ANY PACKAGE OF ANY BRAND OF MALT
    14  OR BREWED BEVERAGES SHALL FILE A NOTICE OF THE LOWERED PRICE
    15  WITH THE COMMONWEALTH NO LATER THAN SEVEN DAYS OF SUCH CHANGE
    16  AND RETAIN A RECORD OF THE LOWERED PRICE FOR AT LEAST TWO YEARS
    17  FROM THE DATE OF FILING. IF SUCH MANUFACTURER, IMPORTING
    18  DISTRIBUTOR OR DISTRIBUTOR, HAVING LOWERED THE WHOLESALE PRICE
    19  ON A PACKAGE OF A BRAND PURSUANT TO THIS SECTION, SUBSEQUENTLY
    20  RAISES THE WHOLESALE PRICE ON SUCH PACKAGE OF SUCH BRAND TO ONE
    21  IMPORTING DISTRIBUTOR, OR DISTRIBUTOR OR RETAIL LICENSEE WITHIN
    22  THIS COMMONWEALTH, SUCH MANUFACTURER, IMPORTING DISTRIBUTOR OR
    23  DISTRIBUTOR SHALL RAISE THE WHOLESALE PRICE ON SUCH PACKAGE OF
    24  SUCH BRAND OFFERED OR SOLD TO ALL OTHER IMPORTING DISTRIBUTORS
    25  OR DISTRIBUTORS OR RETAIL LICENSEES WITHIN THIS COMMONWEALTH BY
    26  A LIKE AMOUNT.
    27     (4)  NO IMPORTING DISTRIBUTOR OR DISTRIBUTOR SHALL BE
    28  REQUIRED BY ANY MANUFACTURER OR IMPORTING DISTRIBUTOR TO REDUCE
    29  THE RESALE PRICE OF ANY PACKAGE OF ANY BRAND OF MALT OR BREWED
    30  BEVERAGES BY AN AMOUNT GREATER THAN THE AMOUNT BY WHICH SUCH
    19890H1946B4339                  - 7 -

     1  MANUFACTURER OR IMPORTING DISTRIBUTOR HAS REDUCED THE WHOLESALE
     2  PRICE ON SUCH PACKAGE OF SUCH BRAND TO SUCH IMPORTING
     3  DISTRIBUTOR OR DISTRIBUTOR.
     4     (5)  EVERY IMPORTING DISTRIBUTOR AND DISTRIBUTOR RECEIVING A
     5  PRICE REDUCTION ON ANY PACKAGE OF ANY BRAND OF MALT OR BREWED
     6  BEVERAGES PURSUANT TO THIS SECTION SHALL REDUCE HIS PRICE BY A
     7  LIKE AMOUNT TO ALL CLASSES OF CUSTOMERS.
     8     (6)  MANUFACTURERS OF MALT OR BREWED BEVERAGES SHALL NOTIFY
     9  IMPORTING DISTRIBUTORS AND DISTRIBUTORS, IN WRITING, OF ANY
    10  PRICE REDUCTIONS, PRICES ON NEWLY INTRODUCED BRAND OR PACKAGES
    11  AND SUBSEQUENT INCREASES AFTER EXPIRATION OF ONE HUNDRED EIGHTY
    12  DAYS, IF ANY, AT LEAST FIFTEEN DAYS IN ADVANCE OF SUCH PRICE
    13  CHANGES.
    14     (B)  IF A MANUFACTURER, IMPORTING DISTRIBUTOR OR DISTRIBUTOR
    15  HAS REDUCED THE WHOLESALE PRICE ON ANY PACKAGE OF ANY BRAND OF
    16  MALT OR BREWED BEVERAGES, ANY OTHER MANUFACTURER, IMPORTING
    17  DISTRIBUTOR OR DISTRIBUTOR MAY REDUCE THE WHOLESALE PRICE ON THE
    18  SAME OR SIMILAR PACKAGE OF SUCH BRAND IN ORDER TO MEET
    19  COMPETITION. SUCH PRICE REDUCTION SHALL BE NO GREATER THAN THE
    20  PRICE REDUCTION BEING MET. ALL SUCH PRICE REDUCTIONS TO MEET
    21  COMPETITION SHALL CONTINUE IN FULL FORCE AND EFFECT FOR THE
    22  BALANCE OF THE ONE HUNDRED EIGHTY-DAY PERIOD DURING WHICH THE
    23  PRICE REDUCTION BEING MET IS REQUIRED TO REMAIN IN FULL FORCE
    24  AND EFFECT.
    25     (C)  NOTWITHSTANDING ANY OTHER PROVISION OF THIS SECTION, THE
    26  BOARD SHALL HAVE THE AUTHORITY, UPON APPLICATION BY A
    27  MANUFACTURER, IMPORTING DISTRIBUTOR OR DISTRIBUTOR TO PERMIT
    28  SUCH MANUFACTURER, IMPORTING DISTRIBUTOR OR DISTRIBUTOR TO
    29  CHANGE THE PRICE WITHIN A TIME PERIOD OF LESS THAN ONE HUNDRED
    30  EIGHTY DAYS FROM WHEN THE PRICE WENT INTO EFFECT UPON AN
    19890H1946B4339                  - 8 -

     1  APPROPRIATE SHOWING THAT MARKET CONDITIONS WARRANT A CHANGE IN
     2  PRICE.
     3     SECTION 3.  SECTIONS 461(A) AND 464 OF THE ACT ARE AMENDED TO
     4  READ:
     5     Section 461.  Limiting Number of Retail Licenses To Be Issued
     6  In Each Municipality.--(a)  No licenses shall hereafter be
     7  granted by the board for the retail sale of malt or brewed
     8  beverages or the retail sale of liquor and malt or brewed
     9  beverages in excess of one of such licenses of any class for
    10  each [two thousand] three thousand inhabitants in any
    11  municipality, exclusive of licenses granted to airport
    12  restaurants, municipal golf courses, hotels, privately-owned
    13  public golf courses, as defined in this section, and clubs; but
    14  at least one such license may be granted in each municipality
    15  and in each part of a municipality where such municipality is
    16  split so that each part thereof is separated by another
    17  municipality, except in municipalities where the electors have
    18  voted against the granting of any retail licenses and except in
    19  that part of a split municipality where the electors have voted
    20  against the granting of any retail licenses. Nothing contained
    21  in this section shall be construed as denying the right to the
    22  board to renew or to transfer existing retail licenses of any
    23  class notwithstanding that the number of such licensed places in
    24  a municipality shall exceed the limitation hereinbefore
    25  prescribed; but where such number exceeds the limitation
    26  prescribed by this section, no new license, except for hotels,
    27  municipal golf courses, airport restaurants, privately-owned
    28  public golf courses and privately-owned private golf course
    29  licensees, as defined in this section, shall be granted so long
    30  as said limitation is exceeded.
    19890H1946B4339                  - 9 -

     1     * * *
     2     SECTION 464.  HEARINGS UPON REFUSAL OF LICENSES, RENEWALS OR   <--
     3  TRANSFERS; APPEALS.--THE BOARD MAY OF ITS OWN MOTION, AND SHALL
     4  UPON THE WRITTEN REQUEST OF ANY APPLICANT FOR CLUB, HOTEL OR
     5  RESTAURANT LIQUOR LICENSE, OR ANY APPLICANT FOR ANY MALT OR
     6  BREWED BEVERAGE LICENSE OTHER THAN A PUBLIC SERVICE LICENSE, OR
     7  FOR RENEWAL OR TRANSFER THEREOF, WHOSE APPLICATION FOR SUCH
     8  LICENSE, RENEWAL OR TRANSFER HAS BEEN REFUSED, FIX A TIME AND
     9  PLACE FOR HEARING OF SUCH APPLICATION FOR LICENSE OR FOR RENEWAL
    10  OR TRANSFER THEREOF, NOTICE OF WHICH HEARING SHALL BE MAILED TO
    11  THE APPLICANT AT THE ADDRESS GIVEN IN HIS APPLICATION. SUCH
    12  HEARING SHALL BE BEFORE [A HEARING EXAMINER DESIGNATED BY THE
    13  BOARD] AN ADMINISTRATIVE LAW JUDGE. AT SUCH HEARING, THE BOARD
    14  SHALL PRESENT ITS REASONS FOR ITS REFUSAL OR WITHHOLDING OF
    15  LICENSE, RENEWAL OR TRANSFER THEREOF. THE APPLICANT MAY APPEAR
    16  IN PERSON OR BY COUNSEL, MAY CROSS-EXAMINE THE WITNESSES FOR THE
    17  BOARD AND MAY PRESENT EVIDENCE WHICH SHALL LIKEWISE BE SUBJECT
    18  TO CROSS-EXAMINATION BY THE BOARD. SUCH HEARING SHALL BE
    19  STENOGRAPHICALLY RECORDED. THE [EXAMINER] ADMINISTRATIVE LAW
    20  JUDGE SHALL THEREAFTER MAKE A REPORT, INCLUDING THE JUDGE'S
    21  RECOMMENDATION, TO THE BOARD [UPON SUCH HEARING] IN EACH CASE.
    22  THE BOARD SHALL THEREUPON GRANT OR REFUSE THE LICENSE, RENEWAL
    23  OR TRANSFER THEREOF. IN CONSIDERING THE RENEWAL OF A LICENSE,
    24  THE BOARD SHALL NOT REFUSE ANY SUCH RENEWAL ON THE BASIS OF THE
    25  PROPRIETY OF THE ORIGINAL ISSUANCE OR ANY PRIOR RENEWAL OF SUCH
    26  LICENSE. IF THE BOARD SHALL REFUSE SUCH LICENSE, RENEWAL OR
    27  TRANSFER FOLLOWING SUCH HEARING, NOTICE IN WRITING OF SUCH
    28  REFUSAL SHALL BE MAILED TO THE APPLICANT AT THE ADDRESS GIVEN IN
    29  HIS APPLICATION. IN ALL SUCH CASES, THE BOARD SHALL FILE OF
    30  RECORD AT LEAST A BRIEF STATEMENT IN THE FORM OF AN OPINION OF
    19890H1946B4339                 - 10 -

     1  THE REASONS FOR THE RULING OR ORDER AND FURNISH A COPY THEREOF
     2  TO THE APPLICANT. ANY APPLICANT WHO HAS APPEARED AT ANY HEARING,
     3  AS ABOVE PROVIDED, WHO IS AGGRIEVED BY THE REFUSAL OF THE BOARD
     4  TO ISSUE ANY SUCH LICENSE OR TO RENEW OR TRANSFER ANY SUCH
     5  LICENSE MAY APPEAL, OR ANY CHURCH, HOSPITAL, CHARITABLE
     6  INSTITUTION, SCHOOL OR PUBLIC PLAYGROUND LOCATED WITHIN THREE
     7  HUNDRED FEET OF THE PREMISES APPLIED FOR, AGGRIEVED BY THE
     8  ACTION OF THE BOARD IN GRANTING THE ISSUANCE OF ANY SUCH LICENSE
     9  OR THE TRANSFER OF ANY SUCH LICENSE, MAY TAKE AN APPEAL LIMITED
    10  TO THE QUESTION OF SUCH GRIEVANCE, WITHIN TWENTY DAYS FROM DATE
    11  OF REFUSAL OR GRANT, TO THE COURT OF COMMON PLEAS OF THE COUNTY
    12  IN WHICH THE PREMISES APPLIED FOR IS LOCATED. SUCH APPEAL SHALL
    13  BE UPON PETITION OF THE AGGRIEVED PARTY, WHO SHALL SERVE A COPY
    14  THEREOF UPON THE BOARD, WHEREUPON A HEARING SHALL BE HELD UPON
    15  THE PETITION BY THE COURT UPON TEN DAYS' NOTICE TO THE BOARD.
    16  THE SAID APPEAL SHALL ACT AS A SUPERSEDEAS UNLESS UPON
    17  SUFFICIENT CAUSE SHOWN THE COURT SHALL DETERMINE OTHERWISE. THE
    18  COURT SHALL HEAR THE APPLICATION DE NOVO ON QUESTIONS OF FACT,
    19  ADMINISTRATIVE DISCRETION AND SUCH OTHER MATTERS AS ARE
    20  INVOLVED, AT SUCH TIME AS IT SHALL FIX, OF WHICH NOTICE SHALL BE
    21  GIVEN TO THE BOARD. THE COURT SHALL EITHER SUSTAIN OR OVER-RULE
    22  THE ACTION OF THE BOARD AND EITHER ORDER OR DENY THE ISSUANCE OF
    23  A NEW LICENSE OR THE RENEWAL OR TRANSFER OF THE LICENSE TO THE
    24  APPLICANT.
    25     Section 2 4.  The act is amended by adding a section to read:  <--
    26     Section 472.4.  Privately-Owned Public Golf Courses.--(a)
    27  Any privately-owned public golf course licensee may, upon
    28  application to and the approval of the board, contract with a
    29  concessionaire to operate a restaurant or provide food service
    30  and, in the case of a restaurant liquor licensee, sell liquor
    19890H1946B4339                 - 11 -

     1  and malt and brewed beverages or, in the case of a malt and
     2  brewed beverage dispenser licensee, sell malt and brewed
     3  beverages pursuant to the provisions of this act pertaining to
     4  such licensees.
     5     (b)  The board shall approve the application of any
     6  privately-owned public golf course licensee to contract with a
     7  concessionaire pursuant to subsection (a) upon being satisfied
     8  that the concessionaire is of good repute and financially
     9  responsible.
    10     Section 3 5.  Section 493 of the act is amended by adding a    <--
    11  clause to read:
    12     Section 493.  Unlawful Acts Relative to Liquor, Malt and
    13  Brewed Beverages and Licensees.--The term "licensee," when used
    14  in this section, shall mean those persons licensed under the
    15  provisions of Article IV, unless the context clearly indicates
    16  otherwise.
    17     It shall be unlawful--
    18     * * *
    19     (28)  Consumption of Liquor or Malt or Brewed Beverages While
    20  Tending Bar. For any licensee, his servants, agents or employes,
    21  to consume liquor or malt or brewed beverages while tending bar
    22  or otherwise serving liquor or malt or brewed beverages. No
    23  action shall be taken against a licensee under this clause
    24  unless the licensee is the individual consuming liquor or malt
    25  or brewed beverages in violation of this clause.
    26     Section 4 6.  The act is amended by adding a section to read:  <--
    27     Section 499.  Premises to be Vacated by Patrons.--(a)  Except
    28  as provided for in subsection (b), all patrons of a licensee
    29  shall be required to leave that part of the premises habitually
    30  used for the serving of food LIQUOR OR MALT OR BREWED BEVERAGES   <--
    19890H1946B4339                 - 12 -

     1  to guests or patrons not later than one-half hour after the time
     2  the licensee is required by this act to cease serving liquor or
     3  malt or brewed beverages, and shall not be permitted to have any
     4  previously served liquor or malt or brewed beverages in their
     5  possession, nor shall they be permitted to remove any previously
     6  served liquor or malt or brewed beverages from that part of the
     7  premises.
     8     (b)  A licensee may serve food between the hours of two
     9  o'clock antemeridian and seven o'clock antemeridian on any day
    10  if such licensee either possesses or is eligible to purchase a
    11  Sunday Sales Permit in accordance with section 406 (relating to
    12  sales by liquor licensees, restrictions), and receives an
    13  extended hours food license. The board shall establish an annual
    14  fee for the extended hours food license which shall not exceed
    15  $50. FIFTY DOLLARS ($50).                                         <--
    16     (c)  Any owner of licensed premises who violates this section
    17  for the first offense commits a summary offense and shall, upon
    18  conviction, be sentenced to pay a fine of not more than three
    19  hundred dollars ($300) or to imprisonment for not more than
    20  ninety (90) days, or both, and for the second or any subsequent
    21  offense commits a misdemeanor of the third degree and shall,
    22  upon conviction, be sentenced to pay a fine of not more than two
    23  thousand five hundred dollars ($2,500) or to imprisonment for
    24  not more than one (1) year, or both.
    25     Section 5.  This act shall take effect in 60 days.             <--
    26     SECTION 7.  SECTION 507 OF THE ACT IS AMENDED TO READ:         <--
    27     SECTION 507.  HEARINGS ON LICENSES AND REFUSALS.--(A)  THE
    28  BOARD MAY OF ITS OWN MOTION, AND SHALL UPON THE WRITTEN REQUEST
    29  OF THE ENFORCEMENT BUREAU OR OF ANY APPLICANT FOR LICENSE OR FOR
    30  RENEWAL THEREOF WHOSE APPLICATION FOR SUCH LICENSE OR RENEWAL
    19890H1946B4339                 - 13 -

     1  HAS BEEN REFUSED, FIX A TIME AND PLACE FOR HEARING OF SUCH
     2  APPLICATION OR RENEWAL, NOTICE OF WHICH HEARING SHALL BE SENT TO
     3  THE BUREAU AND TO THE APPLICANT, BY REGISTERED MAIL, AT THE
     4  ADDRESS GIVEN IN HIS APPLICATION. SUCH HEARING SHALL BE BEFORE
     5  [THE BOARD, A MEMBER THEREOF, OR] AN [EXAMINER DESIGNATED BY THE
     6  BOARD] ADMINISTRATIVE LAW JUDGE.
     7     (B)  AT SUCH HEARING, THE BOARD SHALL PRESENT ITS REASONS FOR
     8  ITS REFUSAL OR WITHHOLDING OF SUCH LICENSE OR RENEWAL THEREOF OR
     9  THE BUREAU SHALL PRESENT ITS OBJECTIONS TO THE GRANTING OR
    10  RENEWAL OF THE LICENSE, AS THE CASE MAY BE. THE APPLICANT MAY
    11  APPEAR IN PERSON OR BY COUNSEL, MAY CROSS-EXAMINE THE WITNESSES
    12  FOR THE BOARD OR THE BUREAU, AND MAY PRESENT EVIDENCE WHICH
    13  SHALL LIKEWISE BE SUBJECT TO CROSS-EXAMINATION BY THE BOARD OR
    14  THE BUREAU. SUCH HEARING SHALL BE STENOGRAPHICALLY RECORDED. THE
    15  [EXAMINER] ADMINISTRATIVE LAW JUDGE SHALL THEREAFTER MAKE A
    16  REPORT, INCLUDING THE JUDGE'S RECOMMENDATION, TO THE BOARD IN
    17  EACH CASE. THE BOARD SHALL THEREAFTER GRANT OR REFUSE THE
    18  LICENSE OR RENEWAL THEREOF.
    19     (C)  HEARINGS AND ADJUDICATIONS PURSUANT TO THIS SECTION
    20  SHALL BE IN ACCORDANCE WITH 2 PA.C.S. CH. 5 SUBCH. A (RELATING
    21  TO PRACTICE AND PROCEDURE OF COMMONWEALTH AGENCIES).
    22     SECTION 8.  BY NOVEMBER 13, 1991, THE PENNSYLVANIA LIQUOR
    23  CONTROL BOARD SHALL DEPOSIT WITH THE LEGISLATIVE REFERENCE
    24  BUREAU A NOTICE EXPLAINING THE IMPLEMENTATION OF THIS ACT.
    25     SECTION 9.  UPON APPROVAL OF THE PENNSYLVANIA LIQUOR CONTROL
    26  BOARD, EQUIPMENT, MATERIALS AND FUNDS UTILIZED IN CONNECTION
    27  WITH THE FUNCTIONS OF HEARING EXAMINERS ARE TRANSFERRED TO THE
    28  OFFICE OF ADMINISTRATIVE LAW JUDGE.
    29     SECTION 10.  HEARING EXAMINERS SHALL HAVE 30 DAYS FOLLOWING
    30  THE EFFECTIVE DATE OF THIS SECTION TO COMPLETE WORK ON HEARINGS
    19890H1946B4339                 - 14 -

     1  CONDUCTED PRIOR TO THE EFFECTIVE DATE OF THIS ACT.
     2     SECTION 11.  THIS ACT SHALL TAKE EFFECT AS FOLLOWS:            <--
     3         (1)  SECTIONS 1 (SECTIONS 212, 402, AND 433), 3 (SECTION
     4     464), 7 (SECTION 507), 9 AND 10 SHALL TAKE EFFECT JANUARY 1,
     5     1992.
     6         (2)  THE REMAINDER OF THIS ACT SHALL TAKE EFFECT IN 60
     7     DAYS.
     8     SECTION 11.  THIS ACT SHALL TAKE EFFECT AS FOLLOWS:            <--
     9         (1)  SECTIONS 1 (SECTION 104), 2 (SECTION 447) AND THIS
    10     SECTION SHALL TAKE EFFECT IMMEDIATELY.
    11         (2)  SECTIONS 1 (SECTIONS 212, 402 AND 433), 3 (SECTION
    12     464), 7 (SECTION 507), 9 AND 10 SHALL TAKE EFFECT JANUARY 1,   <--
    13     JUNE 30, 1992.
    14         (3)  THE REMAINDER OF THIS ACT SHALL TAKE EFFECT IN 60
    15     DAYS.










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