Virginia Regulatory Town Hall

Preliminary Draft Text

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Action:
Chapter 40 Regulatory Reform and Periodic Review
Stage: NOIRA
3/31/23  8:44 AM
 
3VAC5-40-10 Spirits; labels, definitions and standards of identity

Spirits sold in the Commonwealth shall conform with regulations adopted by the appropriate federal agency, relating to labels, definitions, standards of identity, and standards of fill. In addition, the prior approval of the board Authority must be obtained as to the spirits, containers and labels. The board Authority may request a copy of the federal certificate of label approval before a product is approved for sale.

Subsequent sales under an approved label shall conform to the analysis of the spirits originally approved by the board Authority, and shall be packaged in approved types and sizes of containers.

3VAC5-40-20 Wine and beer; qualifying procedures; disqualifying factors; samples; exceptions

A. Except as provided in subsection F of this section, all wine and beer sold in the Commonwealth shall be first approved by the board Authority as to content, container, and label.

1. All wine and beer sold in this the Commonwealth shall conform with regulations adopted by the appropriate federal agency, relating to labels, definitions and standards of identity. An application acceptable to the board Authority or on a form prescribed by the board Authority describing the merchandise shall be submitted for each new brand and type of wine or beer offered for sale in the Commonwealth. Applicants shall submit a copy of the approval of the label by such federal agency. A registration fee in such amount as may be established by the board Authority shall be included with each application.

2. A gift package containing wine or beer for which label approval has been granted may be sold without additional approval by the board Authority.

B. While not limited thereto, the board shall withhold approval of any wine if the alcoholic content exceeds 21% by volume.

CB. While not limited thereto, the board The Authority may withhold approval of any label if it has reasonable cause to believe the container or label:

1. Which implies or indicates that the product contains spirits;

2. Which contains the word "fortified" or implies that the contents contain spirits, except that the composition and alcoholic content may be shown if required by regulations of an appropriate federal agency;

31. Which contains Contains any obscene subject matter or illustration;

42. Which contains subject matter designed Contains a design or statement that is likely to induce minors underage persons to drink, or is suggestive of the intoxicating effect of wine or beer targets underage persons;

3. Suggests the intoxicating effect of wine or beer;

54. Which contains Contains any design or statement which is likely to mislead the consumer;

5. Is an imitation of a spirits product or is a complete facsimile of a spirits product (excluding products defined as low alcohol beverage coolers per Title 4.1 of the Code of Virginia);

6. Which implies or indicates that the product is government (federal, state, or local) endorsed; or Is not clearly distinguishable from a non-alcoholic product, or which minimizes, fails to identify, or disguises the product’s alcoholic contents. The Authority shall take into account:

a. the number, location, size, and clarity of references to the alcohol content therein;

b. whether the labeling or container emphasizes features that are more commonly associated with nonalcoholic consumable products;

c. any and all differences between it and the non-alcoholic product, including but not limited to color palette, font type, imagery, placement of words, images or descriptions, backgrounds; and

d. Any other relevant factor, including but not limited to, whether the non-alcoholic product is clearly marketed as a non-alcoholic beverage alternative to an alcoholic beverage product; or

7. Which implies Implies the product enhances athletic prowess or includes any reference to any athlete, former athlete, or athletic team except that references to athletes or athletic teams shall be allowed to the extent such references are permitted in point-of-sale advertising pursuant to 3VAC5-20-10.

C. In analyzing products and labels for approval, the Authority may consider the totality of the product label and packaging, and consider any other relevant factors.

D. A person holding a license as a winery, farm winery, brewery, or a wine or beer wholesaler shall upon request furnish the board Authority without compensation a reasonable quantity of such brand sold by him the person for chemical analysis.

E. Any wine or beer sold only by direct shipment to consumers by holders of wine or beer shippers' licenses shall be approved upon compliance with subdivision A 1 of this section.

F. If the board Authority has not approved a wine or beer for sale within 30 days after receipt by the board Authority of a complete application and registration fee, the wine or beer may be sold in the Commonwealth pending a decision from the board Authority on the application. If the application for approval is rejected, the manufacturer or importer shall discontinue sales of the rejected product upon notice from the board Authority. Any wholesale or retail licensee may continue sales until any inventory on hand at the time of notice from the board Authority is depleted.

3VAC5-40-30 Wine and beer containers; sizes and types; on-premises and off-premises limitations; cooler-dispensers; novel containers; carafes and decanters

A. Wine and beer may be sold at retail only in or from the original containers of the sizes that have been approved by the appropriate federal agency, except that farm winery licensees may conduct barrel tastings at the winery, at which samples of wine not yet bottled may be sold to visitors to the winery. Each farm winery conducting a barrel tasting shall measure the wine withdrawn for the tasting, maintain full and complete records, and remit the taxes imposed by § 4.1-234 of the Code of Virginia.

B. Wine sold for on-premises consumption shall not be removed from the licensed premises except in the original container with closure. Beer dispensed for on-premises consumption shall not be removed from authorized areas upon the premises. No wine or beer shall be sold for off-premises consumption in any container upon which the original closure has been broken, except for (i) a growler.; or (ii) wine or beer sold for off-premises consumption by on-premises licensees that are not in the manufacturer's original sealed container shall (a) be enclosed in a container that has no straw holes or other openings and is sealed in a manner that allows a person to readily discern whether the container has been opened or tampered with subsequent to its original closure; (b) display the name of the licensee from which the wine or beer was purchased; (c) be clearly marked with the phrase "contains alcoholic beverages"; and (d) have a maximum volume of 16 ounces per beverage. A "growler" is defined as a resealable container made of glass, ceramic, metal., or other materials approved by the board Authority as well as resealable containers approved by the board Authority.

1. Beer and cider may be sold for off-premises consumption by persons licensed to sell beer and cider for off-premises consumption in growlers with a maximum capacity of 128 fluid ounces or if in metric size containers, four liters.

2. Wine may be sold for off-premises consumption in growlers with a maximum capacity of 64 fluid ounces or, for metric size containers, two liters. Wine sold in growlers may only be sold by persons licensed to sell wine for both on-premises and off-premises consumption and by gourmet shop licensees. Wine sold by gourmet shop licensees shall be labeled with the (i) manufacturer's name or trade name, (ii) place of production, (iii) net contents in fluid ounces, and (iv) name and address of the retailer.

3. Retail licensees licensed to sell wine and beer for both on-premises and off-premises consumption and gourmet shop licensees licensed for off-premises consumption may sell wine and beer in sealed containers made of metal or other materials approved by the board Authority with a maximum capacity of 32 fluid ounces or if in metric size containers, one liter, provided that the alcoholic beverages are placed in the container following an order from the consumer.

C. Novel or unusual containers are prohibited except upon special permit issued by the board Authority. In determining whether a container is novel or unusual, the board Authority may consider, but is not limited to, the following factors: (i) nature and composition of the container; (ii) length of time it has been employed for the purpose; (iii) the extent to which it is designed or suitable for those uses; (iv) the extent to which the container is a humorous representation; and (v) whether the container is dutiable for any other purpose under customs laws and regulations.

D. Wine may be served for on-premises consumption in carafes or decanters not exceeding 52 fluid ounces (1.5 liters) in capacity. Beer may be served for on-premises consumption in pitchers not exceeding 80 fluid ounces in capacity.