Oregon Bulletin
Rule
Caption: Amend two distilled spirits
tasting rules allowing mixing with nonalcoholic beverages.
Adm.
Order No.: OLCC 5-2011
Filed with Sec. of
State: 8-15-2011
Certified to be
Effective: 9-1-11
Notice Publication
Date: 5-1-2011
Rules Amended: 845-005-0428, 845-015-0155
Subject: There are two rules in this package: OAR 845-005-0428
Retail On-Premises Distilled Spirits Sampling Involving Distillery
Representative and OAR 845-015-0155 Consumption in a Retail Liquor Store. Both
of these rules describe the conditions under which distilled spirits tastings
for the public involving distilled spirits representatives are allowed. The
first rule governs distilled spirits tastings at a Full On-Premises location
and the second governs tastings in a retail liquor store. In November 2009 the
Commission adopted new tastings rules for tastings at a Distillery licensee’s
premises and then in September 2010 the Commission adopted the new Special
Event Distillery rule which included the parameters for allowable distilled
spirits tastings at these events. The rule amendments in this package allow the
mixing of distilled spirits with nonalcoholic beverages in tastings which
parallels what is allowed at the Distillery premises and at their special
events. The maximum one-quarter ounce distilled spirits per taste and one-half
ounce total distilled spirits per customer per day remains the same. The
amendments allow, at both a Full On-Premises location and at a retail liquor
store, the ability to use a nonalcoholic mixer to enhance the taste for
consumers and set the maximum total ounces of liquid in each taste (including
mixer) at two ounces.
Rules Coordinator: Jennifer Huntsman—(503) 872-5004
845-005-0428
Retail On-Premises Distilled
Spirits Sampling Involving Distillery Representative
(1) Full On-Premises Sales licensees may allow a
distillery with products approved for sale in Oregon (distillery) and its
representatives, employees, contractors, and agents to participate in distilled
spirits educational seminars and sample tasting events. These events must be
sponsored by the Full On-Premises Sales licensee and be held on the Full
On-Premises Sales licensee’s permanently (not temporarily) licensed premises.
(2) Sample Tasting Events. These are events sponsored
by the Full On-Premises Sales licensee where a distillery and its
representatives, employees, contractors, and agents visit the Full On-Premises
Sales licensee’s permanently licensed premises for the purpose of offering free
sample tastings of the distillery’s product to customers of the Full
On-Premises Sales licensee. At any event allowed by sections (2) through (7) of
this rule, the Full On-Premises Sales licensee is responsible for ensuring that
the distillery and its representatives, employees, contractors, and agents:
(a) Provide or pay for the person to serve the
distilled spirit tasting. The server must be the distillery’s representative,
employee, contractor, or agent. The server may not be an employee or agent of
the Full On-Premises licensee where the tastings occur. All servers must have
valid Oregon Service Permits;
(b) Do not compensate the Full On-Premises Sales
licensee or its employees or agents in order to conduct the tasting event;
(c) Do not sell, serve, or coordinate the sale or
service of alcohol for the Full On-Premises Sales licensee or its employees or
agents;
(d) Do not advertise the tasting. The Full On-Premises
Sales licensee may advertise the tasting event only inside its retail business;
(e) Do not provide any other service normally provided
by the Full On-Premises Sales licensee (for example: taking orders for alcohol
or food, serving drinks to customers, promoting alcohol beyond service of the
sample tasting);
(f) Provide the distilled spirits product to be
sampled, and remove any remaining product at the end of the tasting;
(g) Provide only distilled spirits product approved for
sale in Oregon;
(h) Do not give anything prohibited by division 13 of
chapter 845 of the Commission’s administrative rules to a retailer or its
customers;
(i) Comply with ORS 471.398, and division 13 of chapter
845 of the Commission’s administrative rules.
(3) Tastings allowed under sections (2) though (7) of
this rule are permitted only in premises or portions of premises where minors
are not allowed, either due to an existing OLCC minor posting sign which
prohibits minors, or because the event is not open to minor patronage.
(4) Sample tasting sizes, number of samples per
customer. At sample tasting events allowed under sections (2) through (7) of
this rule, a tasting shall be no more than one-quarter fluid ounce of distilled
spirits in a single container. The container may also contain nonalcoholic
beverages; however, the total amount of liquid in the container may be no more
than two ounces. A distillery and its representatives, employees, contractors,
and agents may not provide more than one-half ounce total of distilled spirits
per customer per day. For purposes of this rule, a day is from 7:00 a.m. until
2:30 a.m. on the succeeding calendar day.
(5) Number of sample tasting events allowed. Each Full
On-Premises Sales licensee shall sponsor no more than eight sample tasting
events (as described in sections (2) through (7) of this rule) per calendar
year on its premises.
(6) Violations associated with sample tastings. In the
case of a liquor law violation associated with a sample tasting allowed under
sections (2) through (7) of this rule, the Full On-Premises Sales licensee will
be held responsible. When the violation also involves a server (for example,
service of a sample to a minor or a visibly intoxicated person), both the
server and the Full On-Premises Sales licensee will be held responsible.
(7) Record keeping. The Full On-Premises Sales licensee
must keep a record of each tasting event it sponsors, including the date and
location of each event, the products served, and the names of the servers.
Records of tasting events must be retained for one year from the date of the
tasting.
(8) Promotional Dinner Events. These are events
sponsored by a Full On-Premises Sales licensee on its permanently licensed
premises where it accepts assistance from the distillery and its
representatives, employees, contractors, and agents, where meals are served,
and multiple servings/samples (“flights”) of distilled spirits accompany the
meals. These are not considered sample tasting events as described in sections
(2) through (7) of this rule. At all promotional dinner events the Full
On-Premises Sales licensees must meet the Commission’s food service standards
as described in OAR 845-006-0459 through 845-006-0469. All distilled spirits
consumed at promotional dinner events as described in this section must be
purchased by the Full On-Premises Sales licensee from a retail sales agent of
the Commission or from another Full On-Premises Sales licensee who has
purchased the distilled spirits from a retail sales agent of the Commission.
All advertising of the promotional dinner event must be purchased by the Full
On-Premises Sales licensee.
(a) Each Full On-Premises Sales licensee may sponsor no
more than eight promotional dinner events per calendar year on its premises.
(b) At events allowed under this section, the Full
On-Premises Sales licensee is responsible for ensuring that the distillery and
its representatives, employees, contractors, and agents:
(A) Provide only education to patrons and staff (the
distillery and its representatives, employees, contractors, and agents may not
pour, serve or sell alcoholic beverages);
(B) Participate in these promotional events only for
the products they represent;
(C) Do not compensate any employee or agent of the
retail licensee to participate in any promotional event as described in this
section;
(D) Do not pay for advertising the event;
(E) Do not donate, give, pay for, underwrite, or
otherwise compensate the Full On-Premises Sales licensee for the distilled
spirits consumed at the promotional dinner event.
(c) The Full On-Premises Sales licensee must keep a
record of each promotional dinner event it holds, including the date and
location of each event, the proof of purchase of each product(s) served, the
distillery or distilleries represented, and the name of each distillery
representative, employee, contractor, or agent who participated in an educational
capacity at the event. These records must be retained by the Full On-Premises
Sales licensee for one year from the date of the promotional dinner event.
(9) Violation of sections (2) through (8) of this rule
are Category III violations.
(10) A distillery and its representatives, employees,
contractors, and agents may offer samples not exceeding one-quarter ounce of
alcohol per sample by measured pour to those attending an industry trade show.
Stat. Auth.: ORS 471, including
471.030, 471.040 & 471.730(1) & (5)
Stats. Implemented: ORS 471.398
Hist.: OLCC 19-2000, f. 12-6-00,
cert. ef. 1-1-01; OLCC 3-2001(Temp), f. & cert. ef. 8-10-01 thru 2-6-02;
OLCC 3-2002, f. & cert. ef. 2-15-02; OLCC 7-2005, f. 10-19-05, cert. ef.
11-1-05; OLCC 5-2011, f. 8-15-11, cert. ef. 9-1-11
845-015-0155
Consumption in a Retail Liquor
Store
(1) The Commission allows sponsors to conduct distilled
spirits sample tastings in retail liquor stores at the sole discretion of the
retail sales agent for the purpose of promoting the sponsor’s products. For
purposes of this rule, “sponsors” are: Oregon Distillery licensees,
out-of-state manufacturers of distilled spirits, importers of distilled
spirits, distillery representatives, and the employees or agents of Distillery
licensees, out-of-state manufacturers, importers, and distillery
representatives. Sample tastings are subject to the requirements and limits
described in this rule.
(2) Sample Sizes, Number of Samples per Customer. The
size of each distilled spirits tasting shall be no more than one-quarter fluid
ounce of distilled spirits in a single container. The container may also
contain nonalcoholic beverages; however, the total amount of liquid in the
container may be no more than two ounces. A sponsor may not provide more than
one-half ounce total of distilled spirits per customer per day.
(3) The distilled spirits product(s) provided for
sample tastings must be available for sale at the retail sales agency where the
sample tasting occurs at the time of the sample tasting.
(4) Identified Tasting Area. Retail sales agents who
allow tastings at their retail liquor store must identify a specific tasting
area. The area must be of a size and design such that the person(s) conducting
the tasting can observe and control persons in the area to ensure no minors or
visibly intoxicated persons possess or consume alcohol. Customers must remain
in the tasting area until they have finished consuming the sample(s). In
exclusive retail liquor stores, the tasting area may be the entire retail
liquor store. In non-exclusive retail liquor stores, the retail sales agent
must identify a tasting area, and keep on file at the retail liquor store a
floor plan sketch identifying the tasting area.
(5) Duration of Tastings Allowed. Tastings are limited to
a maximum of three consecutive hours per sponsor per retail sales agency per
day. Only one sponsor at a time may conduct sample tastings in a retail sales
agency.
(6) Server Requirements. Alcohol servers must have
valid Oregon service permits.
(7) Record Keeping. The sponsor must keep a record of
each tasting they conduct, including the date and location of each event, the
products served, and the names of the servers. The sponsor must retain records
of tastings for one year.
(8) Sponsor responsibilities. Sponsors must:
(a) Provide the distilled spirits product to be tasted,
and remove any remaining product at the end of the tasting;
(b) Provide or pay for a person to serve the distilled
spirits being tasted. The server must be a sponsor or an employee or agent of
the sponsor;
(c) Not compensate the retail sales agent, or any
employee or agent of the retail sales agent to participate in the tasting; and
(d) Not advertise the tasting outside of the retail
liquor store.
(9) Retail Sales Agent Responsibilities. Retail sales
agents:
(a) Must not advertise the sample tasting outside the
retail sales agency; and
(b) Are responsible for liquor law violations occurring
in the retail sales agency which are not related to the sample tasting.
(10) Violations Associated with the Sample Tasting. In
the case of a liquor law violation associated with sample tasting (for example,
service of a sample to a minor or a visibly intoxicated person), both the
server and the sponsor may be held responsible for violations of Oregon liquor
laws which occur due to or during the tasting. Violations which occur due to a
sponsor or server violating the law will not be charged to the retail sales
agent.
Stat. Auth.: ORS 471, 471.030,
471.730(1) & (5)
Stats. Implemented: ORS 471.750
Hist.: LCC 27-1986, f. 11-20-86,
ef. 1-1-87; OLCC 2-2003, f. 1-27-03, cert. ef. 2-1-03, Renumbered from
845-015-0095; OLCC 9-2004, f. 6-29-04 cert. ef. 7-1-04; OLCC 5-2011, f.
8-15-11, cert. ef. 9-1-11
Rule
Caption: Requires licensees with evidence
of serious compliance problems to submit and follow a compliance plan.
Adm.
Order No.: OLCC 6-2011
Filed with Sec. of
State: 8-15-2011
Certified to be
Effective: 9-1-11
Notice Publication
Date: 5-1-2011
Rules Adopted: 845-006-0497
Subject: Previously compliance plans were voluntary and were
usually developed at the time of an intervention meeting between regulatory
staff and a licensee. Adoption of this new rule gives the Commission authority
to require such plans when there is evidence of compliance problems that are or
are likely to become serious. The compliance plan will set out specific actions
the licensee will take to address the problems and must be approved by the
Commission. The new rule also gives the Commission the authority to sanction a
licensee if a required compliance plan is not submitted or is not being
followed.
Rules Coordinator: Jennifer Huntsman—(503) 872-5004
845-006-0497
Enforceable Compliance Plans
(1) When the Commission issues a written Notice of
Warning to a licensee for a history of serious and persistent problems under
ORS 471.315(1)(c), the Commission shall require the licensee to submit a
written compliance plan setting out the specific actions that the licensee will
take to address the problems.
(2) A draft compliance plan required under this rule
must be submitted to the Commission within 15 days of the licensee receiving
notice of the requirement. The Commission will provide written feedback
regarding the licensee’s draft plan within 10 days of receipt. A final
acceptable compliance plan must be submitted no later than 30 days from the
date the licensee received initial notice of the requirement, or 5 days from
the date the licensee received written feedback on their draft plan, whichever
is later. The Commission will give written approval of a compliance plan as
acceptable if it determines that implementation of the plan is reasonably
likely to reduce or prevent the identified compliance problems. Under no
circumstances will the time period between initial Commission notice of the
requirement and Commission approval of a final acceptable compliance plan
exceed 45 days.
(3) Once a compliance plan is approved, the licensee
must follow the plan. The licensee may request Commission approval to
discontinue a compliance plan no sooner than one year from the approval date.
The licensee may request Commission approval to modify a compliance plan no
sooner than six months from the approval date. The Commission will grant the
request if it finds there is no longer a significant risk at the premises of
future compliance problems pertaining to the elements of the plan contained in
the licensee’s request.
(4) Approval of a compliance plan under this rule does
not prevent the Commission from taking any other compliance action.
(5) Failure to submit an acceptable compliance plan as
required or to follow an approved compliance plan is a Category III violation.
(6) The licensee must keep the compliance plan on the
licensed premises and make the compliance plan available at any time for
immediate inspection by any Commission employee or any peace officer. Failure
to comply with this requirement is a Category IV violation.
Stat. Auth.: ORS 471, including
471.030, 471.040 & 471.730(1) & (5)
Stats. Implemented: ORS 471.030
Hist.: OLCC 6-2011, f. 8-15-11,
cert. ef. 9-1-11
Rule
Caption: New sponsorship rule describing
items/services manufacturers may give retail licensees at temporary special
events.
Adm.
Order No.: OLCC 7-2011
Filed with Sec. of
State: 8-15-2011
Certified to be
Effective: 9-1-11
Notice Publication
Date: 11-1-2010
Rules Adopted: 845-013-0080
Subject: This new rule describes the items and services that a
supplier may provide to a retail licensee for use at a temporary special event.
Staff recommended adoption of this new rule regulating sponsorships which
replaces the current Commission guidelines titled “Corporate Sponsorships
Information Memo”. Under the new rule the only approved items/services for the
most part are those allowed under the existing financial assistance rules
(Division 13); however licensees providing or accepting these sponsorships will
now have this specific rule to reference which provides a definition of
temporary special events for the purposes of sponsorship regulations.
Rules Coordinator: Jennifer Huntsman—(503) 872-5004
845 013-0080
Manufacturer or Wholesaler
Sponsorship of a Temporary Special Event
ORS 471.398 and 471.400 allow manufacturers and
wholesalers to provide certain items and services to retail licensees. This
rule describes the terms and conditions under which a manufacturer or
wholesaler may provide items or services to a retail licensee in connection
with the sponsorship of a temporary special event.
(1) For this rule: “temporary special event” means an
event licensed with a temporary sales license under ORS 471.190, a temporary
use of an annual license under ORS 471.184(2), or a special event brewery
public house license under ORS 471.200 where the event does not exceed five
license days (which need not be consecutive), and the event is not on a
licensee’s annually licensed premises. It does not mean an event licensed with
a special event winery license or a special event grower license issued under
OAR 845-005-0415 or licensed with a special event distillery license under OAR
845-005-0413.
(2) This rule does not apply to the purchase of
advertising from a licensee as authorized under ORS 471.401.
(3) This rule does not apply to items or services a
manufacturer or wholesaler provides under OAR 845-013-0090 to a nonprofit or
governmental temporary sales licensee as described in OAR 845-013-0090(4)(a).
(4) This rule does not apply to a manufacturer or
wholesaler providing items and services to a retail licensee (Full On-Premises
Sales licensee, Limited On-Premises Sales licensee, Off-Premises Sales
licensee, and Brewery-Public House Sales licensee) at the retail licensee’s
annually licensed premises or at an event where the retail licensee has
pre-approval for small-scale private catering under OAR 845-005-0405 or
large-scale private catering under OAR 845-005-0410. Instead, the manufacturer
or wholesaler must comply with ORS 471.398, 471.400, 471.401, and division 13
of chapter 845 of the Commission’s administrative rules.
(5) A manufacturer or wholesaler sponsoring a temporary
special event may provide to the temporary special event licensee only the
items or services allowed under division 13 of chapter 845 of the Commission’s
administrative rules. However, notwithstanding OAR 845-013-0040, a manufacturer
or wholesaler may also provide advertising of a temporary special event that
lists the name and location of the temporary special event along with the name
of the manufacturer’s or wholesaler’s product.
(6) No monetary payments of any kind may be made by a
manufacturer or wholesaler or its agent to a retail licensee in connection with
a temporary special event, except for payments to purchase advertising allowed
under ORS 471.401(1)(d). Any payments for advertising provided under this rule
must be made by the manufacturer or wholesaler or its agent directly to the
third party provider of the advertising (for example, payments for advertising
furnished by the manufacturer or wholesaler must be made to the media outlet
that provides the advertising and not to the retail licensee). Advertising does
not include fixtures, furniture or furnishings as prohibited by ORS 471.398(3)
and OAR 845-013-0030.
(7) All alcoholic beverages sold or served at a
temporary special event must be purchased by the temporary special event
licensee from a licensed manufacturer or wholesaler at the established
wholesale price or from the Commission. The manufacturer or wholesaler may not
require the temporary special event licensee to exclude any competitor’s
products.
(8) Each manufacturer or wholesaler and each retail
licensee providing or accepting sponsorship for a temporary special event shall
maintain an accurate and complete record of the sponsorship. These records must
include the items or services provided in connection with the sponsorship, the
name and duration of the event, and the names of the licensee and sponsoring
manufacturers or wholesalers. These records must be retained for a period of
two years from the date of the event, and this information shall be provided to
the OLCC upon request.
(9) Violation of any section of this rule is a Category
III violation.
Stat. Auth.: ORS 471, including
471.030, 471.040 & 471.730(1) & (5)
Stats implemented: ORS 471.398
& 471.400
Hist.: OLCC 7-2011, f. 8-15-11,
cert. ef. 9-1-11
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.
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