Beer Bills in the 82nd Texas Legislature

Okay Texas beer drinkers, once again the Legislature is back in session – and it's time for you citizens to stand up for those who provide us with our favorite tasty, tasty beverage.

So far I've found two filed bills related to beer:

HB 602: This is the return of what has become an every-other-year (that's how often the Lege meets) cause among microbrewery fans, a bill to allow brewers to sell their product on the premises. Currently in Texas, brewers (not including brewpubs) must sell their product through wholesalers. Previous attempts to get this right — one that winemakers have, but brewers do not (!) — have been killed or at least delayed in committee thanks to the lobbying group Wholesale Beer Distributors of Texas. The bill was introduced yesterday by Rep. Jessica Farrar of Houston (who, I recently discovered, is married to someone with whom I attended high school!). Technically, the bill won't allow direct sales, but it will allow up to two cases of beer as a parting gift upon completion of brewery tour — for which admission may be charged.

HB 660: This bill is sort of the inverse of HB 602. Whereas microbreweries cannot sell directly to consumers, brewpubs can sell only to consumers — in other words, they can't put their product on store shelves. This bill would allow them to sell to wholesalers, so this bill would allow them the right to sell off the premises. This bill was introduced today by Rep. Mike Villarreal of San Antonio (who, as far as I know, is not married to any of my former high school classmates).

What can you do to help make these perfectly sensible laws pass? Contact your legislators and politely tell them that you are a voter, a constituent, and you support these bills. Start with your state representative, since the bill is in the House. Then keep coming back to this blog, and I'll update you on when the bills have been referred to a committee, when the bills will be heard in committee (you may even consider showing up to testify in support of the bills, especially if you're in Austin), and if the bills make it to the Senate, I'll continue following them through the process. (Or, if you're a do-it-yourself type, the Texas Legislature's website allows you to get e-mail alerts on a bill's status sent directly to you.)

Beer Bills at the Texas Legislature

Hey, remember me? I used to write a beer blog.

And I used to be a reporter for The Austin Chronicle. And 2011 really kicked butt, because I kind of became the go-to guy in Texas for reporting on beer-related legislation, because I was the only beer writer in the state who just happened to also be a Capitol reporter and could live-blog directly from committee meetings in Austin. My blog traffic went nuts every time I broke news on the bills.

That was fun, but I can't be that guy anymore, because now I'm working inside the legislature, rather than reporting on it. And because my boss, state Senator Leticia Van de Putte of San Antonio, is one of the coauthors of this year's beer legislation.

So I'll just step aside and offer you, without commentary, links to the reporting of others. Here's what happened yesterday: After months of discussions between various stakeholders, bills were filed that would benefit craft brewers in Texas. Here's a sampling of the reporting:

Houston Chronicle

Dallas Observer

KXAN-TV

Brewed and Never Battered (Freetail Brewing)

Austin Chronicle

If you'd like to keep track of these bills yourself (and read the text, and get other details), go to these links and set up e-mail alerts that will notify you whenever the bills advance through the legislative process:

Senate Bill 515

SB 516

SB 517

SB 518

Texas Microbrewers Again Try to Legalize On-Site Sales

A bill has been introduced in the 81st Texas Legislature to allow microbrewers to sell their product on the premises of the brewery. Such sales are currently allowed for winemakers, but not beer producers. A similar bill was filed in the 80th Lege two years ago, but it died in committee.

The language of the bill is below. The bill number is Senate Bill 754 (author: Wendy Davis of Fort Worth), and its twin is House Bill 1062 (author: Lon Burnam, also of Forth Worth). (Hmm … do you think the guys at Rahr & Sons had something to do with this?)

I am a bit concerned that it specifies "ale" and "malt liquor" but not beer. I know that those words have specific (albeit arbitrary and inaccurate) meanings for the Texas Alcoholic Beverage Commission. I'll investigate further and give you an update. (SEE END OF THIS POST FOR UPDATE AND EXPLANATION)

A BILL TO BE ENTITLED AN ACT relating to the sale of ale and malt liquor by brewer's permit holders.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 12.01, Alcoholic Beverage Code, is amended by adding Subsection (c) to read as follows:
(c) The holder of a brewer's permit whose premises is located in an area where the sale of ale and malt liquor is legal and who produces at least 1,000 barrels of ale or malt liquor a year may sell ale and malt liquor manufactured or bottled on the permitted premises to ultimate consumers:
(1) in unbroken packages for off-premises consumption in an amount that does not exceed 35,000 gallons annually; and
(2) for consumption on the brewery premises if the brewery is located in an area where the sale of ale and malt liquor for on-premises consumption is legal.

SECTION 2. This Act takes effect September 1, 2009.

UPDATE: Okay, as promised here's what the "ale" and "malt liquor" language is about. Definitions, according to the TABC and Texas Legal Code:

"Ale" or "malt liquor" means a malt beverage containing more than four percent of alcohol by weight.

and

"Beer" means a malt beverage containing one-half of one percent or more of alcohol by volume and not more than four percent of alcohol by weight, and does not include a beverage designated by label or otherwise by a name other than beer.

As I said, the definitions are arbitrary and have nothing to do with proper terminology as used by brewers. Those definitions could cause some problems, though: I just did a quick check of one brewer's website, and noticed that Saint Arnold would be able to sell some of its beers, but not all (their Wheat is 3.9% ABW, and thus fits the definition of "beer" and would be excluded by this bill). If the bill can even get a hearing, the authors may want to include "beer" in the bill as well.

UPDATE 2: On Sunday, the Fort Worth Star-Telegram's J.R. Labbe wrote an editorial favoring this bill, and did a good job previewing the battle that could kill this bill: Although lawmakers love to extol the virtues of small business, they also like the campaign cash that might come from big distributors who prefer to be the only game in town for beer sales.

Beer Bill Moves at the Texas Legislature

On Friday, House Bill 602, which would kinda-sorta allow Texas microbreweries to sell their beer on the premises, was referred to the House Licensing & Administrative Procedures Committee of the Texas Legislature.

The bill actually wouldn't allow true sales, but it would let consumers take beer home at the end of a paid-admission tour.

Something I hadn't noticed before, perhaps because it was recently added: Austin Rep. Eddie Rodriguez is listed as a coauthor.

The other bill that Texas beer fans are pushing, HB 660, has yet to be assigned to a committee. My guess is it will end up in the same one.

The Lege session ends May 30. Keep checking back: I'll keep you updated on the bills' progress.

The Official Beer of the 81st Texas Legislature

(This was originally published on The Austin Chronicle's "Newsdesk" blog. If you're not from Texas and/or you don't follow Texas politics, you're probably not going to get the joke.)

If we were to have an official brew for the 81st session of the Texas Legislature, I'd nominate Old Chub Scottish Ale, for obvious reasons. Somehow, though, I suspect it wouldn't gain passage – aside from the fact that this beer comes from Colorado's Oskar Blues Brewery, and not a Texas beermaker, there's the additional problem that it might leave a bitter taste in Republicans' mouths. Too bad, it's a mighty tasty beer.

But be careful with this stuff: It's 8% alcohol, strong enough to knock out an entire session's worth of bills.

You'll need photo ID to buy it. Or two forms of non-photo ID.

On-site Sales Bills Alive Again!

Unfortunately I missed the meeting, but I see on the Capitol website that state Rep. Jessica Farrar (pictured) made another, and this time successful, push for her bill allowing on-site sales for Texas microbreweries. Her House Bill 2094 was reported out of the Licensing & Administrative Procedures committee yesterday on a 5-2 vote. The bill was amended, but I haven't learned what the changes are yet.

UPDATE: Even though the bill's out of committee, don't get your hopes up. Now it has to get through the Calendars committee, onto the House floor, and then repeat the process through the Senate, and ultimately get the approval of Gov. Perry. This late in the session (the Legislature adjourns June 1, and doesn't return to regular session until 2011), that's a pretty tall order. I just spoke with Farrar on the House floor, and she said, "It's on life support." As she noted, "Sometimes it takes several sessions to get a law passed."

Saint Arnold Pub Crawl in Austin

Hey Austinites, Saint Arnold is having a pub crawl here on Saturday. I can't make it, but y'all should go drink one for me. Details below. And if you're wondering why they can't tell exactly where they'll be, thank those idiots at the Texas Alcoholic Beverage Commission (and our state Legislature) and their stupid, arbitrary rules.

SAINT ARNOLD PUB CRAWL II, SATURDAY, JUNE 19
Since we overwhelmed some of the bars at the last Crawl, we are utilizing our "open house" schedule for the first 3 stops this time. This means that we will be punching tickets at all three of the first three stops for three hours so people can split up between the establishments. You will get your ticket at whichever stop you decide to visit first. But, VERY IMPORTANT, we will only be handing out the tickets between 6 PM and 7 PM. Thus, you still need to start between 6 and 7. Then, at 9 PM, everybody will gather at one final stop and that is where we will award the glasses. The prize for making all four stops will be our latest St. Arnold pub crawl pint glass. We will have a large but limited supply of glasses. And as always, designated drivers are both eligible for the award and encouraged to attend! We can't tell you exactly where the stops will be, so instead enjoy our vague directions and hints:

The first 3 stops between 6 PM and 9 PM:
On E. 7th St. around Red River. Expect lawyers whispering to judges.
On E. 6th St. between Sabine St. and I-35. Be a good ambassador from our republic.
On E. 6th St. just past Comal. Freedom, keep walkin', keep on your toes and don't stop talkin' 'bout freedom.

The Final Stop at 9 PM:
E. 6th St. just west of Medina. Seek nirvana.

There is plenty parking under I-35, and lots of cool food carts to get a base down!
Hope to see everyone there! (Please leave the vuvuzelas at home!)

Austin Chronicle Beer Articles Today

Hello loyal readers, please note that today's issue of The Austin Chronicle has a pair of beer related articles by me:

• In the Food section is my monthly-or-so "Beer Flights" column with quick hits of Austin and Texas beer news.
• In the News section is my look at House Bills 602 and 660 in the Texas Legislature, both of which would greatly benefit Texas craft brewers if passed.

Also, strictly on the Chronicle website:

• Late last night, I made a post to our news blog with updates, particularly regarding 660, that broke too late for me to get into the print edition. Brewers think they may have struck a compromise with at least some distributors that might help 660 get passed. (Of course, even if it does pass, good luck getting past the veto pen of Gov. Rick Perry, the former employer of Wholesale Beer Distributors of Texas president Mike McKinney.)
  

Another On-Site Sales Bill

Another bill to allow on-site sales for brewers was filed in the Texas Legislature back on Feb. 4, but slipped under my radar until just now. And it's coming up in committee next week, before the SB 754/HB 1062 that I've discussed and promoted previously.

This one is House Bill 2094 by Houston Rep. Jessica Farrar (pictured), the sponsor of the unsuccessful on-site sales bill last session.

I haven't had a chance to talk with Farrar about this bill yet (I discovered it only about 20 minutes ago), but it seems much more limited than Lon Burnam's 1062. If I'm reading it right, it would only affect microbrewers (it only applies to those whose production does not exceed 250,000 barrels a year, whereas 1062 has no upper limit and applies to those that produce at a minimum of 1,000 barrels annually), and its sales limits are much stricter (Burnam's bill caps on-site sales at 35,000 gallons, while Farrar's puts the limit at 5,000). [CORRECTION: Whoops, I totally misread Farrar's bill — it limits sales to 5,000 barrels, not gallons, which means it actually allows much more than Burnam's: 155,000 gallons.]

Frankly, it seems like Burnam's is the better bill, so I'm wondering if she had some political reasons for such a radically different bill. I'd also love to know with whom she consulted (I'd assume Saint Arnold, her collaborator from last time, but again, I haven't talked with anyone about it yet).

Both bills have been referred to the House Licensing and Administrative Procedures Committee; Farrar's will be heard by the committee on Wednesday, March 18. The hearing will begin at 8am in Room E2.016 of the Capitol, but there are nine bills listed before it, so it likely won't come up until later in the morning. The Burnam bill has not been scheduled for a hearing.

Not certain yet, but it's possible the meeting will be webcast live here.

House Brown 660

So apparently there's this new beer on the Texas market called House Brown 660. But it's not just one beer – different brewpubs each have their own recipe, but they're all using the same name to promote House Bill 660 in the Texas Legislature, a bill that would allow brewpubs to sell their beer 0ff-premises, i.e., at your local grocery store, liquor store, or other bars.

As I've noted in previous posts, it's a good piece of legislation that would remove silly obstacles to allowing these businesses to grow. If you're a craft beer-loving Texan, or even if you just support small businesses' right to reach more customers, then you should write to your state representative and state senator right now and declare your support for it. (And for HB 602, which would kinda-sorta allow microbreweries to sell their product on-premises. Click here for fuller descriptions of both.)

I think North by Northwest served up a cask version Monday night. And tonight (Thursday), here in Austin, you can get Black Star Co-op's version of House Brown 660. Head on over there and grab a pint to show your support. Or, if you'd like to make your own, head to Austin Homebrew Supply and pick up the ingredients and a recipe for yet another take on it.

But most of all, get involved and get these bills passed!

Texas Craft Brewers Festival: Conversation With Brian Peters

It’s almost here! This weekend, the Texas Craft Brewers Festival, which has been on hiatus for a few years, returns to Austin at Fiesta Gardens (Saturday, Sept. 24, 2-8pm). TCBF promises a showcase for what our state has to offer in terms of production breweries. (Unfortunately, due to Texas law, Draught House will be the only brewpub represented.

I Love Beer chatted with Brian Peters, brewmaster at Uncle Billy’s Brew & Que about the festival. Although his business can’t actually participate, he’s a member of the organizing committee for the festival, which is being produced by the Young Men’s Business League of Austin and benefiting Austin Sunshine Camps. It was an interesting conversation in which he shared his views on Austin’s place in the larger craft brewing universe, how Texas alcohol laws are holding our state back, and what treasures will be found at the fest:

I Love Beer: Do you think Texas is ahead of or behind the curve on the craft beer revolution?

Brian Peters: It’s very geographic, isn’t it? I would say we’re making up some lost ground. I think we were behind and we’re catching up. Probably within a year we’ll be where I believe we should have been years ago.

Are we ahead of certain areas? Yeah. The Midwest, we probably are getting close to about average with them. We’ll never catch up to Seattle or Portland or Northern California. I think Portland has fifty-something breweries in the city?

Do I think we’re behind? Not anymore. So Austin, with what I see being planned, we’ll see if we can absorb this many breweries, to be honest. It’s more than what we might be able to handle. But are we getting recognition finally that we certainly needed? Yes, it’s becoming where people recognize that we do have good beer here.

ILB: Why will we never catch up?

Peters: Well … to catch up — what does that mean? I don’t think we’ll be a Portland ever. I don’t think there will be many Portlands, or San Diegos. But I think for the demographic and the size of our market, we’ll be solidly in that second tier. But there’s only room for a couple of San Diegos or Portlands.

We’re getting there. When you go into almost any bar and you start to see the majority of the taps are local taps, then you’ll know we’re getting there. And we’re not quite there yet. But it’s an exciting time, for sure.

Hard to say, though, what “catching up” means. I don’t know if we can ever be as big as Portland, and I don’t know if we need to be. But say Portland has 50 breweries and we have 20 — well damn, I just went to Chicago and they only have, like, four brewpubs. And Houston has nothing, you know. So in a way, I think we’re doing pretty good. I think we’ll have more than our share of production breweries, it looks like, and I’m hoping we’ll get a few more brewpubs.

[Editor’s note: Actually, Beermapping.com says Chicago has eight, but still surprisingly low number for a city that size. There are, however, many brewpubs in Chicago’s suburbs. As for Houston, despite the growing presence of Saint Arnold, the craft beer scene there is shockingly sparse, with no brewpubs.]

ILB: What’s helping or hurting the craft brewing industry in Texas?

Peters: Well certainly, the regulations that [the Texas Alcoholic Beverage Commission] has to enforce are not helping. [The Legislature] took away the tax break for small brewers, and that hurt. The rules are in place, and they’re unfortunate, [and] not necessarily sympathetic at all to the small craft brewer. They are rules that were either designed before craft brewing existed or they’re specifically geared to where the larger breweries have the upper hand.

But the TABC comes out as the boogeyman. They’re just enforcing the laws that we create. We need to change the laws. And the laws right now as they’re written and being enforced prevent brewpubs for sure from excelling at all. We can’t distribute, and that’s such a limitation. Production-wise, for large-scale breweries, not being able to sell anything on-site is also challenging. [Ed. note: Go here for my coverage of the failed efforts to change Texas laws regarding microbreweries and brewpubs]

But everything else, it seems like the market’s ready. People are dying to get their hands on this stuff, and we have decent, pretty creative, good brewers and breweries. So you take away some of the limitations from the TABC and there’s no limit to what I think we can accomplish both in Texas and nationally.

ILB: Why is Uncle Billy’s Brew & Que not on the list of participants?

Peters: It’s against the law right now, based on interpretation of the TABC that you can’t have two permitees at the event. Josh [Wilson] from Draught House is pulling the permit, and it’s only by extension of his license that he’s allowed to have beer there. That might make other brewpubs upset, but I’m sorry, I based it basically on the fact that he’s good to go because [he has a license for] beer and wine.

That’s another area where [if] you want to talk about limitations of where we are in the big world — a festival where we can’t have brewpubs? That’s kind of cramping our style. We still have 18, possibly 19 breweries [in the festival] now, but you know, we could double that with brewpubs. That would be pretty exciting. But even then, at 18 or 19 breweries, we are what I believe is the largest collection of Texas brewers ever at a festival. Even the Brewmasters one that just happened [Brewmasters International Beer Festival in Galveston] didn’t have everybody from Texas. TCBF will have Twisted X, even people that haven’t released a beers at a festival before. That’s pretty exciting.

ILB: Maybe you just answered this question, but why should Austin beer lovers attend this festival?

Peters: There’s going to be new releases, stuff that’s not even been in the market yet, from both the old and new breweries. We have some breweries’ first time at a festival, and a lot of upstarts from the past year that maybe people haven’t tried yet. The whole goal was to highlight Texas craft beer, and this is a spotlight for some of these newer releases and limited releases. TCBF is asking the brewers to make about a third of what they bring be limited release, seasonal, or new release beers. You should be able to find things that you’ve never had before.

A Historic Day for Texas Brewpubs

Today was a historic day in Texas. A brewpub loaded some of its beer onto a truck and delivered it to another bar.

That beer delivery might not seem like a big deal to those of y'all reading this from a state like California or Oregon, but it's a new thing for us Texans. Brewpubs were legalized in Texas in 1993, but they were forbidden from selling their products anywhere but the brewpub itself.

This created a really maddening situation where we Texas craft beer lovers would walk into our local stores and see brewpub beers from other states — like, say, California's Bear Republic — but not from the brewpub that was mere blocks away. It almost felt insulting.

Multiple attempts to change this law met failure until last year, during the 83rd Texas Legislature. I'm very proud that my boss, state Senator Leticia Van de Putte of San Antonio, was one of the key players in getting this law changed. (She's running for Lieutenant Governor this year — if you're a Texas beer lover, she's definitely the candidate for whom you should vote. Also deserving a huge tip of the hat is Senator Kevin Eltife, the lead author on the bill.)

The Texas Tribune has an article about today's historic beer delivery, and of the great economic boon that the package of brewery laws passed last session could bring to our state. Give it a read here.

Partial Victory in Jester King Case

Yesterday, U.S. Judge Sam Sparks handed down his ruling in the Jester King et al v. TABC case. Unfortunately, he did not rule in favor of craft brewers on the most important part of the case — the section seeking to allow brewers to better sell their products, giving them rights on par with wineries. However, he at least agreed with Jester King on the First Amendment issues, ending the practice of forcing brewers to inaccurately label their products and freeing them to finally tell consumers where their products may be found.

Pasted below is Jester King's commentary on the decision, followed by comments from Texas state Senator John Carona of Dallas, chairman of the committee that oversees alcohol regulation in the Senate.

To read the full ruling, click here: http://courtweb.pamd.uscourts.gov/courtwebsearch/txwd/08866076.pdf

Full disclosure: I am no longer an objective journalist (okay, I was never really all that objective) looking at this issue from the outside. I got laid off from The Austin Chronicle in August (although I continue to review beer for them on a freelance basis), and on Dec. 1, I began employment as the Communications Director for Sen. Leticia Van de Putte of San Antonio.

Yesterday afternoon, Judge Sam Sparks of the United States District Court for the Western District of Texas issued his final judgment on the case that Jester King Brewery and our two co-plaintiffs, Authentic Beverage Company and Zax Restaurant & Bar, filed against the Texas Alcoholic Beverage Commission. With respect to all of the First Amendment challenges to the current state law, he ruled in our favor, declaring the statutes and TABC rules in question unconstitutional and therefore invalid. Congratulations and many thanks to our attorneys, Jim Houchins of Houchins Law and Pete Kennedy of Graves Dougherty Hearon & Moody for taking on this case and for all of the hard work that they put in. Thanks also to Pete’s firm for supporting his efforts and to Jim’s associate, Rachel Fisher, for all of her hard work and diligent research.

As of result of yesterday’s ruling, beer in Texas may now be labeled as “beer” and ale may now be labeled as “ale”, regardless of alcohol content. Breweries and distributors are also no longer prohibited from independently telling consumers where their products may be purchased, or from communicating truthful and accurate information about their alcohol content. That means Jester King will now be able to add a “Where to Buy” section to our website, as will all other breweries selling beer in Texas.

“In a remarkable (though logically dubious) demonstration of circular reasoning” Judge Sparks writes in his ruling, “TABC attempts to defend the constitutional legitimacy of the Code through an appeal to the statutory authority of the Code itself.” Referring to the required use of the terms “beer”, “ale”, and “malt liquor”, he writes “TABC’s argument, combined with artful legislative drafting, could be used to justify any restrictions on commercial speech. For instance, Texas would likely face no (legal) obstacle if it wished to pass a law defining the word ‘milk’ to mean ‘a nocturnal flying mammal that eats insects and employs echolocation.’ Under TABC’s logic, Texas would then be authorized to prohibit use of the word ‘milk’ by producers of a certain liquid dairy product, but also to require Austin promoters to advertise the famous annual ‘Milk Festival’ on the Congress Avenue Bridge.’”

We were disappointed, but not too surprised, that Judge Sparks ruled against our claims that Texas’s disparate treatment of breweries and brewpubs violated the Equal Protection Clause and that its treatment of foreign breweries violated both the Equal Protection Clause and the Commerce Clause. The TABC never gave any reason why Texas should be able to prohibit craft brewers from selling beer to customers on-site, while allowing wineries to do so, or why Texas should be able to favor foreign wineries over foreign breweries, and Judge Sparks did not speculate on why that might be. But the legal standards are different and more demanding for challenges brought under the Equal Protection Clause than the First Amendment, and we were unable to persuade Judge Sparks to strike down these discriminatory laws. We were encouraged, however, by Judge Sparks’s observation that “The State of Texas is lucky the burden of proof was on [the Plaintiffs] for many of its claims, or else the Alcoholic Beverage Code might have fared even worse than it has.”

We’re pleased to have helped to bring about at least a few long overdue changes in the antiquated and often inconsistent Texas Alcoholic Beverage Code, but small brewers still face many unjust and unnecessary obstacles that need to be removed before we can stand on equal footing with Texas winemakers and brewers in other states. Measurable progress was made with yesterday’s decision, but much more is still needed. We don’t yet know what, if anything, will happen next on the legal front. That’s something that we’ll need to discuss with our attorneys. In the meantime, though, it’s not too early to start thinking about the 2013 legislative session, with the hope that this case will help to bring some momentum for further change. For the first time, Texas consumers finally have a well-organized grassroots organization that’s working to modernize the Beverage Code. We, at Jester King Craft Brewery, will continue to do everything we can to support the efforts of Open the Taps and we encourage everyone who is reading this to do the same.

And here is the statement from Sen. Carona:

"A Federal Court has ruled that Texas' laws regarding the advertising and labeling of beer are flawed. In the case of Authentic Beverages Co. vs. TABC, the Judge awarded a summary judgment that certain laws directing the labeling and advertisement of beer are unconstitutional. While the three-tier system of manufacturer, distributor, and retailer has served Texas well since the end of Prohibition, it is an open question how well the Texas Alcoholic Beverage Code reflects today's reality of Internet sales and the growth of the craft brewing industry. The Court's ruling suggests this is a topic that may be taken up by the 83rd Legislature."

Press release from Hops & Grain below. When I find time, I'll make a little additional comment about the new Texas laws that the press release refers to. Now that I work for the Texas Legislature, I got an inside view of these laws moving through the legislative process. My boss, State Senator Leticia Van de Putte of San Antonio played a key role in making this happen, and I'm very proud of her.

Great Things to Come for Hops & Grain Brewery
New Craft Beer Laws Pave Way for Expansion

(Austin, TX) – In response to Texas’ new craft brew laws, Austin-based brewery Hops & Grain has successfully applied for a Brewpub license and proudly announces an enhanced experience and expanded set of hours in its tap room beginning the first week of July. 

 
Governor Rick Perry graciously signed the bills into law last week, which went into effect immediately. Hops & Grain, among other breweries in the area, will officially become a brewpub, which owner Josh Hare applied for this past April.

With a brewpub license, Hops & Grain will be able to sell its beer on-premise, which will begin this weekend, giving customers the chance to drink and buy beer from the source. That means that visitors to the tap room can now purchase a beer or two from the tap wall, plus cans and growler fills to take home. Starting the first week of July, tap room hours will also be expanded to Thursday and Friday from 2 - 8PM and Saturday and Sunday from noon – 6PM. However, the first Thursday, July 4, Hops & Grain will be closed in observation of the holiday and will open its first Thursday tap room day on July 11. 

 
This means great things for Hops & Grain, as well as for the consumer. Allowing the brewery to provide reasonably priced beer directly to the consumer from the brewery as well as allowing direct distribution to local retail establishments, these new laws open the door for Hops & Grain to grow to its full potential and to give the people what they want – great craft beer! 

 
“We are stoked to be able to continue to offer the experience that our customers have come to expect with the added benefit of being able to purchase beer from our tap room to take home with you,” says Hare. “It’s a better, more sustainable experience for everyone.” 

 
About Hops & Grain: Specializing in craft beer and sustainability, Hops & Grain Brewery is located in East Austin (literally at the end of East Sixth Street) at 507 Calles, Austin, TX 78702. Hops & Grain Tap Room is currently open every Friday from 2 – 6PM, and every Saturday from Noon – 4PM with tours of the brewery given on Saturdays at 1 and 3PM. Tours are approximately 45 minutes and include special samples not available in the tap room. Beginning July 1 the Tap Room will expand its hours to Thursday and Friday from 2 - 8PM and Saturday and Sunday from noon – 6PM. For further information please visit www.hopsandgrain.com or call 512.914.2467. ‘Like’ us on Facebook at Facebook.com/hopsandgrain and follow us on Twitter @HopsandGrain.

The On-Site "Sales" Bill Explained

Update to the previous post: The substitute bill that passed out of committee yesterday technically doesn't allow on-site sales, contrary to the original intention. What got the bill out was by changing it to allow breweries to let participants in brewery tours to take home two cases of beer, but specifically disallowing the sale of "ale to an ultimate consumer."

The language of the committee substitute, which is markedly different from the original:

A BILL TO BE ENTITLED

AN ACT relating to authorizing certain brewers and manufacturers to conduct tours of their premises after which beer or ale is provided to ultimate consumers for off-premises consumption.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1 Chapter 12, Alcoholic Beverage Code, is amended by adding Section 12.07 to read as follows:

Sec. 2.07 TOUR OF PERMITTED PREMISES.

(a) The holder of a brewer 's permit may give tours of the brewery premises and may charge an admission fee for the tour.

(b) The holder of a brewer 's permit whose annual production of ale in this state does not exceed, together with the annual production of beer by the holder of a manufacturer 's license under Section 62.15 at the same premises, a total of 250,000 barrels may, at the end of a tour of the brewery premises, give ale to tour participants in unbroken packages for off-premises consumption without an additional charge.

(c) The total amount of ale a tour participant may receive in a single day under this section, together with the amount of beer the tour participant receives under Section 62.15 at the same premises, may not exceed 48 12-ounce bottles.

(d) This section does not authorize the holder of a brewer 's permit to sell ale to an ultimate consumer.

SECTION 2. Chapter 62, Alcoholic Beverage Code, is amended by adding Section 62.15 to read as follows:

Sec. 62.15 TOUR OF LICENSED PREMISES.

(a) The holder of a manufacturer 's license may give tours of the manufacturer 's premises and may charge an admission fee for the tour.

(b)The holder of a manufacturer 's license whose annual
production of beer in this state does not exceed, together with the annual production of ale by the holder of a brewer 's permit under Section 12.07 at the same premises, a total of 250,000 barrels may, at the end of a tour of the manufacturer 's premises, give beer to tour participants in unbroken packages for off-premises
consumption without an additional charge.

(c)The total amount of beer a tour participant may receive in a single day under this section, together with the amount of ale the tour participant receives under Section 12.07 at the same premises, may not exceed 48 12-ounce bottles.

(d) This section does not authorize the holder of a brewer 's permit to sell ale to an ultimate consumer.

SECTION A3. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2009.

My Latest Beer News Column

Hey all, the latest version of my "Beer Flights" column is in today's Austin Chronicle.

This month's topics:

• A remembrance of Pierre Celis
• A brief update on beer bills in the Texas Legislature
• The launch of the Austin Beer Guide.

Please check it out.

It's Alive! HB 602 Moves Out of Committee

I reported last week that House Bill 602, which would benefit Texas microbrewers, ran into serious trouble week at the Legislature. Well, good news: Somehow (I'm still chasing the story), the bill moved out of Senate committee this morning, reported favorably without amendments, and has been recommended for the "Local & Uncontested" calendar. I have more details on The Austin Chronicle's Newsdesk blog, please go give it a read.

Next up: It needs to pass the Senate. If the Senate makes any amendments — presumably it won't, if it's on Local & Uncontested [UPDATE: I've been told by the office of bill author Rep. Jessica Farrar that being on "local and uncontested" is not a guarantee of smooth passage. It could also end up on the "intent" calendar, which meanst it will be debated. The spokesman said "some senators are not fully convinced." — it would have to go to conference committee to iron out the differences with the House version, and then to the governor's desk for passage or a veto. This bill definitely isn't out of the woods yet, but this is a hopeful sign.

Microbrewery bill probably dead

The bill in the Texas Legislature that would allow microbrewers to sell their product on the premises of their breweries appears to be dead. I don't know why this seemingly sensible idea never got any traction — after all, wineries are allowed to sell their product on-site, so why discriminate against beer?

Actually, there are two bills, although they are word-for-word identical, just with different authors listed. (I'm not sure why they do this; I'm sure it makes some kind of sense in the Bizarro World of lawmaking.) But both House Bill 1926 by Houston's Jessica Farrar and HB 2647 by Dripping Springs' Patrick Rose were referred to the Licensing and Administrative Procedures Committee on Feb. 28 and March 13, respectively, and have been stuck there ever since. In theoretical fantasy world, it is still technically possible for the bills to move through the process and become law, but the legislative session ends on May 28, and anyone who watches the Lege knows that any bills that haven't emerged from committee at this late date probably never will. Even Friends of Texas Microbreweries seems to have given up – their blog hasn't been updated since January.

It's so sad. I'm sure on-site sales will happen eventually, but now it will be 2008 at the earliest, as the Texas Lege only meets every other year.

UPDATE: In my similarly worded report on this for The Austin Chronicle, Saint Arnold's Brock Wagner agrees with what Karla says about beer distributors in the comments section.

Expect less of me the next few months

The 81st Texas Legislature convenes today at noon, and I am now a beat reporter at the Capitol, so expect fewer postings from me through May. I suspect I'll be mighty busy.

On the upside, maybe this means I'll get to spend a little more time at Scholz Garten. Perhaps even the occasional live post from there.

Killing Bats = Bad Karma

The Freetail Brewing Company press release below is a lot more charitable about San Antonio Spurs star Manu Genobli killing a bat that was delaying a game than I am. Learn something about the region in which you live, Genobli. A bat is not a "just a mouse with wings" — bats eat the 5 zillion @#$%ing mosquitoes that can make life a living hell in Texas. We need them, a lot more than we need rich sports stars. I wish the damn thing had bitten him. Or at least, I hope the next time he tries to relax on the back porch of his no doubt lavish house, he gets swarmed by hungry mosquitoes.

UPDATE: Ha ha, I just heard on the news that he has to get a series of rabies shots.

FREETAIL BREWING CO. OFFERS PEACE BETWEEN MANU GINOBILI AND AREA BATS

Locally owned and operated brewpub seeks to draw attention to the value of Mexican Free-tailed Bats

(November 2, 2009) San Antonio, TX – Immediately after Spurs superstar and San Antonio hero Manu Ginobili killed a bat that had twice delayed the basketball team’s game versus the Sacramento Kings, Freetail Brewing Co. has announced it is willing to broker a peace accord between the veteran guard and area flying mammals.

“Mexican Free-tailed Bats are an important part of our local eco-system and the Texas State Legislature has in fact recognized this by naming them the Official Flying Mammal of Texas. Many people may not realize that the San Antonio area is home to the largest population of Mexican Free-tailed bats in the world,” said Freetail Brewing Co. Founder and CEO Scott Metzger. “A single bat can eat up to eight times its body weight of pesky insects in a single night, making them a vital asset to area residents who love sitting on the patio, enjoying a beer and taking in Texas’s beautiful vistas.”

“I don’t think it was a big deal,” Ginobili said, later adding, “It’s just a mouse with wings.”

Metzger has a difference of opinion. “While I don’t think Manu has any interest in stomping on bluebonnets, burning pecan trees, or spitting on the Alamo – I think he should recognize how important these creatures are to our area,” adding that he would love to see Ginobili contribute to Bat Conservation International which owns Bracken Cave, home to over 20 million Mexican Free-tailed Bats.

Metzger had a final message for Ginobili, saying “We know Manu is a great citizen of San Antonio, and we look forward to seeing him fly for more dunks while the bats fly through our skies at night.”

Freetail Brewing Co. is founded on the pursuit of creating exciting, innovative and unique world class beers and wood-fired gourmet pizzas. We embrace the laid back and fun-loving South Central Texas culture and set out to create products that mirror the lifestyle of our diverse and rapidly growing community. We believe in promoting an increased appreciation of craft beer and its responsible enjoyment. We believe in going above and beyond customer expectations not only through our products, but also through exceptional customer service. We believe in providing a dining and leisure experience unmatched in the local community. And in case you didn’t get it the first time… we believe in having fun.

For more information visit www.freetailbrewing.com.