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Oregon Bulletin

June 1, 2011

 

Oregon Liquor Control Commission
Chapter 845

Rule Caption: Allow alcohol sales within Category I – Commercial Service airports to ticketed passengers beginning at 5:00 a.m.

Adm. Order No.: OLCC 3-2011

Filed with Sec. of State: 4-25-2011

Certified to be Effective: 5-1-11

Notice Publication Date: 12-1-2010

Rules Amended: 845-006-0425

Subject: This rule sets the hours during which licensees of the Commission may sell, dispense, serve, allow consumption of, or allow removal of alcohol. The Commission accepted a petition from David Shurtleff (Coyote Pub Ranch) at the Redmond Municipal Airport (RDM) requesting to amend this rule by adding language which would allow both On-Premises and Off-Premises sales licensees located at RDM to sell and serve alcohol between the hours of 5:00 a.m. and 2:30 a.m. This is an additional two hours in the morning outside of the currently allowed hours of 7:00 a.m. to 2:30 a.m., but only to ticketed airline passengers with a valid same-day boarding pass. The rule amendments differ from the petitioners’ request in that they would expand the hours of sale for not only RDM, but also for all public use airports designated as Category I – Commercial Service by the Oregon Department of Aviation (currently eight airports, including RDM & PDX).

Rules Coordinator: Jennifer Huntsman—(503) 872-5004

845-006-0425

Hours of Sale

(1) Except as provided by sections (2) and (3) of this rule, and OAR 845-015-0140, alcoholic liquor may be sold, dispensed, served, consumed on, or removed from licensed premises only between the hours of 7 a.m. and 2:30 a.m.

(2) Except as provided by section (3) of this rule, alcoholic liquor may be sold, dispensed, served, consumed on, or removed from a licensed premises located within any Oregon public use airport designated as a Category I – Commercial Service Airport by the Oregon Department of Aviation only between the hours of 5:00 a.m. and 2:30 a.m. However, from 5:00 a.m. to 7:00 a.m. alcoholic liquor may be sold, dispensed, or served only to a ticketed airline passenger with a valid same-day boarding pass.

(3) Licensees whose license privileges permit the sale and distribution of malt beverages, cider, and wines for resale may make deliveries of that alcohol to licensees at any time.

Stat. Auth.: ORS 471, including 471.030, 471.040, 471.730(1) & (5)

Stats. Implemented: ORS 471.030

Hist.: LCC 26, f. 5-12-60; LCC 27, f. 9-15-60; LCC 28, f. 12-19-60; LCC 29, f. 5-21-64; LCC 30, f. 1-20-66; LCC 50, f. 12-18-74, ef. 1-15-75; LCC 3-1979, f. 1-26-79, ef. 2-1-79; LCC 5-1979, f. 4-2-79, ef. 4-5-79; Renumbered from 845-010-0005; LCC 7-1981, f. 11-2-81, ef. 1-1-82; LCC 4-1986, f. 3-3-86, ef. 4-1-86; OLCC 14-1987, f. 4-6-87, ef. 5-1-87; OLCC 19-2000, f. 12-6-00, cert. ef. 1-1-01, Renumbered from 845-006-0030; OLCC 7-2009, f. 6-22-09, cert. ef. 7-1-09; OLCC 3-2011, f. 4-25-11, cert. ef. 5-1-11

 

Rule Caption: Amend two financial assistance rules updating maximum display bin/rack and exterior sign allowances.

Adm. Order No.: OLCC 4-2011

Filed with Sec. of State: 4-25-2011

Certified to be Effective: 5-1-11

Notice Publication Date: 2-1-2011

Rules Amended: 845-013-0030, 845-013-0050

Subject: The Oregon Beer & Wine Distributors Association (OBWDA) submitted a petition requesting to amend two Financial Assistance rules in Division 13; this division of rules implements our statutes governing “Tied-House” prohibitions. The petitioner proposed to amend OAR 845-013-0030 (Fixtures, Furniture, Furnishings) which describes the very limited items (display bins or racks) that a supplier (manufacturer or wholesaler) is allowed to provide to a retailer. The amendments change the maximum value allowed for such branded bins & racks from $30 to $100, eliminate the ability to loan bins or racks worth more than that, and change the allowance of no more than one bin/rack per retailer at any given time from one per trade name to one per brand name family. The petitioner also proposed to amend OAR 845-013-0050 (Point of Sale Advertising Materials and Consumer Take-Aways) which describes the limited conditions under which these items may be provided to a retailer by a supplier. The one amendment in subsection (3)(g) of this rule changes the maximum size of exterior point of sale allowed from 630 square inches to 2160 square inches.

Rules Coordinator: Jennifer Huntsman—(503) 872-5004

845-013-0030

Fixtures, Furniture, Furnishings, ORS 471.398(3)

ORS 471.398(3) prohibits a supplier (manufacturer, wholesaler, or its agents) from providing any fixtures, furniture or furnishings to a retailer. A supplier does not violate this prohibition if he/she provides a display bin or rack for manufacturer-sealed containers of alcoholic beverages for consumption off the licensed premises, if the following conditions are met:

(1) The supplier provides no more than one bin or rack per brand name family per retailer at any given time;

(2) The cost of the display bin or rack may not exceed $100 (cost is the cost to the supplier who initially purchased or produced the bin or rack);

(3) The supplier has permanently marked the bin or rack with a brand name or trade name of the supplier’s alcoholic beverage product; and

(4) The retailer uses the bin or rack to display only products from the brand name family or trade name permanently marked on the bin or rack;

(5) For purposes of this rule, “trade name” means the operating trade name and associated business names filed by a manufacturer or wholesaler as part of the Alcohol and Tobacco Tax and Trade Bureau (TTB) basic permit, i.e. Anheuser-Busch InBev; “brand name family” means all of the alcoholic beverage products included in a particular product line which are marketed and labeled with a particular brand name, i.e. Budweiser.

Stat. Auth.: ORS 471, including 471.030, 471.730(1) & (5)

Stats. Implemented: ORS 471.398(3)

Hist.: OLCC 8-1992, f. 8-25-92, cert. ef. 10-1-92; OLCC 6-2003, f. 4-25-03, cert. ef. 5-1-03; OLCC 4-2011, f. 4-25-11, cert. ef. 5-1-11

845-013-0050

Point of Sale Advertising Materials and Consumer Take-Aways, ORS 471.398(4)

(1) A supplier (manufacturer, wholesaler, or its agents), may provide point of sale materials and consumer take-aways to a retailer provided that the conditions prescribed in section (3) of this rule are met. Suppliers may provide point of sale material only for display at the retailer’s premises. No minimum purchase may be required of a retailer in order to have an item at their premises.

(2) Definitions. For this rule:

(a) Point of sale advertising materials are items designed to be used at a retail establishment to attract consumer attention to a supplier’s products. Such materials include window decorations, posters, placards, trays, coasters, mats, menu cards, meal checks, paper napkins, foam scrapers, back bar mats, calendars, alcohol beverage lists or menus, display mirrors, table tents, chalk boards, thermometers, and similar items of like value. Also allowed are signs (neon, electrical, mechanical, inflatable or otherwise). Point of sale items do not include fixtures, furniture or furnishings as prohibited by ORS 471.398(3) and OAR 845-013-0030.

(b) Consumer take-aways are items intended for use by the retailer’s customers off the premises that provide information to the retailer’s customers but do not promote the retailer’s business. Only items made of paper or other similar inexpensive material are allowed to be given to the retailer and such informational items include recipes, sports and entertainment event schedules, and informational pamphlets.

(3) Conditions and limitations.

(a) All point of sale advertising materials and consumer take-aways must bear conspicuous and substantial advertising matter about the product or the supplier that is permanently inscribed or securely affixed. The name and address of the retailer may appear on the point of sale advertising materials only.

(b) The supplier may not directly or indirectly pay or credit the retailer for using or distributing these items or for any expense incidental to their use.

(c) The Commission prohibits any advertising that contains material so appealing to minors that it encourages them to purchase, possess, or drink alcoholic beverages (OAR 845-007-0020(1)(e)).

(d) Items that predominantly advertise the supplier’s alcoholic beverage products but also advertise a generic food product are allowed. This subsection does not prohibit cross-promotions of the supplier’s alcoholic beverage product with a specific food product or brand when the food product producer is not a retail licensee; the food product producer pays at least half the cost of the cross-promotion; and any retailer who receives the item pays none of the costs. For example, a cheese manufacturer and a wine manufacturer jointly produce a poster to promote their products. As long as the cheese manufacturer is not a retail licensee, the cheese manufacturer pays at least half the costs and the retail licensee pays none of the costs, the Commission treats the poster as an alcoholic beverage/generic food product item;

(e) Items that predominantly advertise the supplier’s alcoholic beverage products but also have generic words or symbols for activities the supplier wants to associate with his/her alcoholic beverage products are allowed. Exterior material may, however, have only generic symbols relating to activities, not words.

(f) Beer, wine and distilled spirits lists. Despite OAR 845-013-0001(3)(b)(A) that limits items of nominal value to the supplier’s products, the list may include any malt beverage, wine or distilled spirit the retailer sells. Despite 845-013-0001(3)(d) that prohibits customization, the supplier may add generic food references to the list. For example, the list may indicate that a particular alcoholic beverage goes well with chicken but may not refer to a chicken dish on the retailer’s menu.

(g) Exterior point of sale material given or loaned under this rule must not exceed 2160 square inches. This means that inflatables or any point of sale material cannot be displayed in a retailer’s parking lots or other outside areas if the material exceeds 2160 square inches.

(4) A violation of any section of this rule is a Category III violation.

Stat. Auth.: ORS 471, including 471.030, 471.730(1) & (5)

Stats. Implemented: ORS 471.398(4)

Hist.: OLCC 8-1987, f. 31-3-87, ef. 4-1-87; OLCC 7-1992, f. & cert. ef. 7-1-92; Renumbered from 845-010-0124; OLCC 5-2009, f. 4-21-09, cert. ef. 5-1-09; OLCC 4-2011, f. 4-25-11, cert. ef. 5-1-11

Notes
1.) This online version of the OREGON BULLETIN is provided for convenience of reference and enhanced access. The official, record copy of this publication is contained in the original Administrative Orders and Rulemaking Notices filed with the Secretary of State, Archives Division. Discrepancies, if any, are satisfied in favor of the original versions. Use the OAR Revision Cumulative Index found in the Oregon Bulletin to access a numerical list of rulemaking actions after November 15, 2010.

2.) Copyright 2011 Oregon Secretary of State: Terms and Conditions of Use

Oregon Secretary of State • 136 State Capitol • Salem, OR 97310-0722
Phone: (503) 986-1523 • Fax: (503) 986-1616 • oregon.sos@state.or.us

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