New Hampshire Liquor Commission Continues Overhaul with Retail-Oriented Rulemaking
The New Hampshire Liquor Commission (NHSLC) has released a new set of proposed rules for public comment. These proposals aim to refine the regulation of retail licensees throughout the state and are available here (Notice here). These changes are poised to impact various aspects of how businesses operate within the liquor industry. Below is a summary of four major changes that business owners should be aware of:
1. Expanded Availability of Grocery and Convenience Store Combination Licenses
One of the significant changes is in Liq 404.02, which expands the availability of combination licenses for grocery and convenience stores. This amendment allows retailers carrying a variety of merchandise to qualify for combination licenses. To qualify, stores must maintain a minimum of $3,000 in wholesale value across at least six of the eleven specified categories, which include bread, meat, dairy, cereal, vegetables, fruit, snack foods, household goods, automotive supplies, hardware, and personal care items. This expansion aims to provide more flexibility and opportunities for small retailers to diversify their offerings. It should ease the burden of maintaining strict fresh grocery requirements on retailers in the convenience store sector, especially.
2. Commitment to No Third-Party Alcohol Delivery and Elimination of Curbside Delivery
Liq 404.04 revises regulations regarding alcohol delivery by off-premise retailers. The proposed rules now fully prohibit curbside delivery of liquor, wine, and beverages, meaning that all deliveries must occur at a physical building or residence. Additionally, the rules affirm the commitment to prohibiting third-party alcohol delivery for off-premise retailers. Only a licensee’s employees can make deliveries, and these must be done in compliance with familiar invoicing and documentation requirements. Although 404.04(a) refers to “agents,” which could mean third-parties in common usage, the use of the term “employee” in (a)(2) makes clear that the Commission is holding firm on its prior policy. Prospective third-party delivery services will wish to provide comment on this section.
3. Simplified "Felon Exception" Process for Retailers with Criminal Backgrounds
Liq 404.06 simplifies the process for obtaining a "felon exception" approval, allowing individuals with certain criminal backgrounds to be approved as persons in charge of licensed premises. The proposed rules streamline the petition process, requiring applicants to submit detailed personal information, a notarized copy of the felony complaint, and a letter from their parole or probation officer, or proof from the court if not on parole or probation. This amendment is designed to make it easier for individuals who have rehabilitated to re-enter the workforce, promoting fair employment practices while maintaining necessary safeguards.
4. Simplified Process for Manufacturers to Conduct Farmers' Market Samplings
The new rules in Liq 405.04 simplify the process for wine, liquor, and beverage manufacturers to conduct public samplings at farmers' markets. Manufacturers must notify the commission 15 business days before the event and provide written approval from the town or city, a diagram of the sampling area, and ensure the area is clearly defined and compliant with safety regulations. This change aims to support local producers in promoting their products, enhancing their ability to engage with consumers directly and grow their businesses.
Conclusion and Call to Action
These proposed changes reflect NHLC’s efforts to adapt and improve the regulatory environment for licensees in New Hampshire. It is crucial for business owners to review these changes carefully to understand their potential impact.
Public Comment Deadline: The period for public comment on these proposed rules ends on September 25, 2024.
Call to Action: Retail licensees are strongly encouraged to evaluate how these new rules might affect their operations and to participate actively in the public commentary process. Your feedback is vital in shaping the final regulations and ensuring that they serve the interests of both the industry and the public. Get involved now to ensure your voice is heard. Bernstein Shur’s Government Affairs team is active on these issues in New Hampshire and has the industry experience to understand your needs.
By staying informed and proactive, businesses can better navigate regulatory changes and continue to thrive within the legal framework set by the NHSLC.
