An act relating to alcoholic beverages

Board of Liquor and Lottery member terms extended from staggered three-year terms to staggered four-year terms.

A licensed manufacturer or rectifier may now operate up to five fourth-class license locations (previously limited to only one) where they can sell by unopened container or distribute by the glass.

The number of additional licensed manufacturers or rectifiers whose spirits or fortified wines may be sold at a fourth-class location increased from five to seven.

The notice period for retail alcoholic beverage tasting permits was shortened from at least five days prior to the event to one business day prior.

The effective dates section was updated to specify that Section 7 (the malt beverage distribution repeal) takes effect on July 1, 2028, and to clarify that Sections 9 and 10 (deleting the 2026 sunset of special venue serving permits for retail establishments) through 12 take effect on passage.

A new Section 7 was added that repeals 7 V.S.A. section 271(g), which had allowed licensed malt beverage manufacturers to directly distribute up to 3,000 barrels annually to first- or second-class license holders. This repeal takes effect July 1, 2028.

Board of Liquor and Lottery member terms extended from staggered three-year terms to staggered four-year terms.

The limit on how many other manufacturers a licensed manufacturer may sell its product to was removed entirely; it can now sell to any fourth-class licensee with no numerical cap.

Malt beverage manufacturers distributing up to 3,000 barrels annually must now retain distribution and sales records and file an annual report with the Division of Liquor Control by January 15 reporting total amounts distributed in the preceding 12 months.

Maximum number of fourth-class license locations where a manufacturer may sell by unopened container or distribute by glass reduced from 10 to 5.

Maximum number of other manufacturers whose spirits or fortified wines may be sold at a fourth-class location increased from 5 to 7 additional licensed manufacturers or rectifiers.

Notice period for retail alcoholic beverage tasting permits shortened from at least five days prior to the event to one business day prior.

Effective dates revised: Sections 9 through 12 (including the new caterer's license provisions) take effect on passage, and the separate July 1, 2028 effective date for the malt beverage distribution provision is eliminated since it was merged into an earlier section.

A new caterer's license is established, allowing holders of first-class or first-and-third-class licenses to serve alcoholic beverages at functions on premises other than those occupied by another licensee. A caterer's license holder may host no more than five functions per calendar year on their own licensed premises.

Official version adds a header block identifying the introducing committee (Government Operations and Military Affairs), a date field, a subject summary, and a statement of purpose for the bill as introduced.

The internal tracking number 'VT LEG #388159 v.1' present in the unofficial version is removed from the official version.

Page count changes from 8 to 9 pages and the header label changes from 'AS PASSED BY HOUSE' to 'BILL AS PASSED BY THE HOUSE' to reflect official formatting conventions.

Board of Liquor and Lottery member terms extended from three years to four years (7 V.S.A. 101(b)(2)(A)).

Fourth-class license holders may now sell by the glass at up to 10 locations instead of only one, significantly expanding where manufacturers and rectifiers can serve their products on-site (7 V.S.A. 224(c)(1)).

The number of additional licensed manufacturers or rectifiers from which a fourth-class licensee may source spirits or fortified wines increased from five to seven (7 V.S.A. 224(c)(1)(B)).

The advance notice period for retail alcoholic beverage tasting permits was reduced from at least five days prior to the event to at least one business day prior, making it much easier to schedule short-notice tastings (7 V.S.A. 255(a)(1)).