Small Brewer Distribution Bill Passes: Signed by Governor on June 16, 2015

The Governor signed S.B. 138 today.  The legislation will permit brewery-public house licensees to sell at wholesale and distribute up to 7,500 barrels of malt beverages per year produced by the licensee to other licensees of the Oregon Liquor Control Commission (the “OLCC“).  It will also allow brewery-public house licensees to distribute any amount of malt beverages manufactured at the licensee’s premises to any other manufacturer, wholesaler or retail premises licensed to the same licensee and allow brewery-public house licensees to distribute for export any amount of malt beverages manufactured at the licensee’s premises.

Guest Presenter at Portland State University’s Business of Craft Brewing Program

It’s no longer a secret that Portland State University has a great Business of Craft Brewing program. Check their program out here.

I was lucky enough to be asked to be a guest presenter for the program last night.  I gave a talk on “The Regulatory Environment: the TTB, State ABC’s, and the Three Tier System.”  The students were fantastic and the program was truly interactive.  We have a nice crop of future brewers learning how to succeed as a craft brewer.

Thank you to Marcus Reed of Craft Brew Alliance and Maria Young of Radix Accounting for inviting me to speak!

Senator Wyden Sponsors the Craft Beverage Modernization and Tax Reform Act

Sen. Ron Wyden, D-Ore., has introduced legislation that would promote continued job creation in the growing craft beverage, cider, wine and distillery industries throughout Oregon and the country.

The Craft Beverage Modernization and Tax Reform Act, S.1562, would cut taxes and modernize outdated regulations for craft brewers, cider makers, vintners, and distillers.

In Oregon, wineries, breweries and distilleries are responsible for an estimated 40,000 jobs collectively and generate about $6 billion annually in revenue.

In addition to providing tax relief for Oregon’s wineries, breweries and distillers, this legislation would also reduce compliance burdens for craft beverage producers by exempting nearly 90 percent of all industry members from complex bonding and bi-weekly tax filing requirements.  The bill would exempt aged beers, ciders, wines, and spirits from complicated and burdensome accounting rules.  It would reform rules on brewers to encourage more collaboration and streamline regulations.  And it would equalize the playing field for all distilled spirits producers.  Finally, this bill would cut administrative backlogs by ensuring the Alcohol and Tobacco Tax and Trade Bureau, which is charged with regulating these industries, is sufficiently funded.  Having a more fully staffed TTB would likely have a big impact on how long it took for a new business to start up.  Additional enforcement funding and authority would help offset the cost of this bill by cracking down on tax cheats.

Presenter at Oregon State University’s Craft Brewery Startup Workshop: May 11, 2015.

I was invited back for another year!  I gave a presentation on “Craft Brewing: the Regulatory Environment.”

The program was fantastic and the students were fully engaged.  Thanks again for another great year.  We covered the history of alcohol regulatory law in the U.S., key issues in the current regulatory environment, the basics of obtaining a TTB Brewer’s Notice and state brewpub license, tax and reporting requirements, COLA’s, distribution agreements, and best practices in compliance.  Three hours of fun!

Presentation at the National Craft Brewers Conference: Strength Through Flexibility: The Three Tier System of the Future?

Portland was full of brewers this April at the 2015 Craft Brewers Conference.  It was amazing.  With over 11,000 attendees and 600 vendors, one day was just not enough.

 We had an engaging conversation with the 100 or so attendees about the current three tier system and how it may involve in the future.  Some may say it was a bit academic, but we had a great time.

I’d like to thank my co-presenters: R.J. O’Hara from Flaherty & O’Hara and Tuck Duncan from Tuck Duncan Law.

OSU’s Craft Brewery Startup Workshop II: Great to Meet Aspiring Craft Brewers.  

Oregon State University hosted a Craft Brewery Startup Workshop in Portland, Oregon from May 10-13, 2014.  This workshop focused on moving forward with brewery logistics including beer brewing equipment needs and planning for brewery supplies, sourcing, legalities, distribution and marketing strategies for a small business. Instructors will give one-on-one feedback for your developed craft brewery business plan and leave you with a functional strategy for opening a business and operating your craft brewery.

I led the section on the regulatory and legal aspects of starting and operating a craft brewery and enjoyed the enthusiasm and energy of the attendees.  Very exciting to share my knowledge with the next generation of craft brewers.