Bill

Bill > HF526


IA HF526

A bill for an act providing for the direct shipment of beer, levying a barrel tax, providing fees, making penalties applicable, and including effective date provisions.(Formerly HF 57.)


summary

Introduced
02/20/2025
In Committee
02/20/2025
Crossed Over
Passed
Dead

Introduced Session

91st General Assembly

Bill Summary

This bill allows for the direct shipment of beer. New Code section 123.147 provides for the direct shipment of beer to any person within this state, or from this state to any person outside the state if also authorized pursuant to the laws of that jurisdiction, and provides for a beer direct shipper permit. A class “A” beer permittee who holds a federal brewer’s notice may apply for a beer direct shipper permit. Provisions governing the direct shipment of wine and the wine direct shipper permit are generally made applicable to the direct shipment of beer. Under current law, the wine direct shipper permit under Code section 123.187 does not authorize the permittee to ship wine to persons out of state. The bill provides for application requirements and establishes a $25 annual fee for the permit. The bill also provides that a permittee under the bill shall pay the barrel tax on beer subject to direct shipment at the rate specified for beer sold in the state. Code section 123.135, concerning the barrel tax, and Code section 123.136, concerning reporting of barrel sales, are made applicable to beer subject to direct shipment. Code section 123.188, providing for a wine carrier permit, is amended to provide for the direct shipment of beer as provided by the bill. The bill takes effect January 1, 2026.

AI Summary

This bill establishes a framework for direct shipment of beer in Iowa, allowing class "A" beer permit holders who also hold a federal brewer's notice to apply for a beer direct shipper permit. Under this new law, brewers can ship beer directly to residents within Iowa or to out-of-state customers if permitted by the receiving jurisdiction, subject to several key restrictions: the recipient must be at least 21 years old, the beer is for personal consumption and not resale, and shipments must be made through a carrier with an alcoholic beverage carrier permit. The bill requires beer direct shipper permittees to pay a $25 annual permit fee, remit the barrel tax on shipped beer, and label shipments with age verification requirements. The permit allows for direct shipping while maintaining regulatory oversight, including provisions for potential audits and penalties for non-compliance. Carriers must verify recipient age, obtain signatures upon delivery, and maintain detailed shipping records. The legislation modifies existing alcohol-related statutes to incorporate these new provisions and will take effect on January 1, 2026, providing a structured approach to expanding beer distribution options in the state.

Committee Categories

Budget and Finance

Sponsors (0)

No sponsors listed

Other Sponsors (1)

State Government (H)

Last Action

Subcommittee recommends passage. (on 03/11/2025)

bill text


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