HB1173
To Amend The Definition Of "beer" To Change The Allowable Alcoholic Content And To Include Malt Beverages.
AI-Generated Summary
This bill proposes to amend various sections of Arkansas law concerning alcoholic beverages, primarily focusing on the definition and allowable alcohol content of "beer". It seeks to redefine "beer" to include malt beverages and to increase the maximum allowable alcohol content from five percent (5%) to fourteen percent (14%) by weight in many contexts. The legislation modifies definitions within the Arkansas Code, including those related to "malt", "malt beverage", and "beer" itself across different subchapters and specific acts. It also adjusts provisions related to the purpose of beer and light wine regulation, permit oaths, prohibited practices for brewers and distributors, and definitions used in local option elections. Additionally, the bill revises the tax rate per barrel of beer to reflect the new fourteen percent (14%) alcohol content limit and amends sections pertaining to tax rebates for manufacturers. The overall effect is to expand the scope of what is legally considered "beer" in Arkansas by raising its alcohol content ceiling.
Potential Impact Analysis
Who Might Benefit?
The primary beneficiaries of this bill would likely be brewers and distributors of malt beverages in Arkansas. By raising the allowable alcohol content of "beer" to fourteen percent (14%) by weight, these entities can potentially produce and sell a wider range of products under the "beer" classification. This could include higher-alcohol craft beers and other malt-based beverages that were previously classified differently or were restricted. Consumers may also benefit from a potentially broader selection of alcoholic beverages available for purchase under the "beer" category. Microbrewery-restaurants and businesses operating under specific brewery acts could also see expanded operational capabilities and product offerings.
Who Might Suffer?
The groups most directly negatively impacted by this bill would be entities and individuals concerned with the regulation of alcohol at lower alcohol content levels, particularly those that were previously restricted to five percent (5%) alcohol by weight. This could include some existing businesses or regulatory frameworks that rely on the lower five percent threshold for specific licenses or operational rules. Additionally, public health organizations or advocacy groups focused on limiting access to higher-alcohol beverages might be negatively impacted, as the bill effectively broadens the definition of "beer" to include drinks with significantly higher alcohol content than previously allowed. Local governments that have previously established local ordinances based on the five percent (5%) limit for beer might also face challenges in adapting to the new definition.