AB 404: Revises provisions relating to alcoholic beverages. (BDR 52-651) - Nevada

Reprint 2 → As Enrolled · 6 edits · Jun 9, 2025

MODERATE

This bill expands the ability of brew pubs to sell a wider variety of alcoholic beverages beyond just malt beverages, allowing them to sell other types of alcohol if they hold the proper retail licenses and buy from wholesalers. It also clarifies rules for selling malt beverages to out-of-state wholesalers and adds recordkeeping requirements for liquor manufacturers. Additionally, the bill shifts some enforcement powers from local governments to the state Department of Taxation regarding license revocations and introduces electronic payment requirements for liquor deliveries.

Scope change

The bill expands the scope of activities allowed for brew pub operators and modifies enforcement mechanisms by granting the state Department of Taxation additional authority previously held by local governments.

ELIGIBILITY

Brew pubs are now authorized to sell any type of alcoholic beverage at retail locations, provided they have the necessary retail licenses and purchase the alcohol from a licensed wholesaler.

Rules for selling malt beverages were changed to allow sales to out-of-state wholesalers or persons residing in other states, rather than restricting sales only to out-of-state wholesalers.

REQUIREMENT

New recordkeeping requirements were added for all persons manufacturing liquor, requiring them to preserve records for inspection and audit by the Department of Taxation.

Wholesale dealers must now initiate electronic funds transfers for liquor deliveries to retail stores, and the payment must be completed within 30 days of delivery.

Retail liquor stores are now permitted to pay for liquor deliveries using credit cards, though they remain responsible for all associated processing costs.

ENFORCEMENT

The state Department of Taxation is now authorized to investigate complaints, conduct hearings, and revoke or suspend liquor licenses directly, without needing a recommendation from a local board of county commissioners or city governing body.

As Introduced → Reprint 1 · 7 edits

MODERATE

The bill was significantly rewritten to expand brew pub operations, allowing them to sell a broader range of alcoholic beverages at additional retail locations under specific conditions. It also updated the definition of a 'special event' to permit three-day durations instead of one, and introduced new requirements for electronic payments between liquor stores and wholesalers. Additionally, recordkeeping rules were extended to cover liquor manufacturers, and certain existing definitions were removed.

Scope change

The bill's scope expanded from primarily regulating malt beverage sales at special events to authorizing brew pubs to sell various alcoholic beverages at up to two additional retail liquor store locations, provided they meet licensing and distance requirements.

DEFINITION

The definition of a 'special event' was changed from a one-day event to allow events lasting up to three calendar days.

Several existing statutory definitions, including those for 'craft distillery' and 'estate distillery', were removed from the text.

ELIGIBILITY

Brew pubs are now authorized to sell any alcoholic beverage if they hold the necessary retail license and purchase the stock from a licensed wholesaler.

Brew pubs may sell alcoholic beverages at up to two additional retail liquor store locations under their common control, subject to distance and location restrictions.

The exception for personal importation of alcohol was revised to apply to shipments rather than individuals physically entering the state.

REQUIREMENT

Payments from retail liquor stores to wholesalers must now be made via electronic funds transfer initiated by the wholesaler within 30 days of delivery.

Liquor manufacturers are now required to preserve records for inspection and audit by the Department of Taxation.

Reprint 1 → Reprint 2 · 4 edits

MODERATE

This bill update revises the scope of investigations and hearings for liquor license violations, shifts authority from local governments to the Department of Taxation for license revocation, and clarifies rules for brew pubs selling at retail locations. The changes also update the effective date for certain retail store restrictions and modify payment requirements for liquor deliveries.

Scope change

The bill now expands enforcement authority to the Department of Taxation for investigating complaints and revoking liquor licenses, whereas previously local county or city governments held this authority.

ENFORCEMENT

Authority to investigate complaints and revoke liquor licenses was transferred from local county commissioners or city governing bodies to the Department of Taxation.

REQUIREMENT

New requirement mandates that retail liquor stores licensed on or after January 1, 2025, must be located at least 1,000 feet from gaming establishments to qualify for brew pub retail sales.

Payment from retail liquor stores to wholesalers must now be made via electronic funds transfer initiated by the wholesaler, with completion required within 30 days of delivery.

TIMELINE

Reprint date updated from April 21, 2025 to May 29, 2025, reflecting amendments adopted during the legislative session.

Revises provisions relating to alcoholic beverages. (BDR 52-651)

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