47 Pa. Stat. § 5-505.2

Current through Pa Acts 2024-53, 2024-56 through 2024-95
Section 5-505.2 - Limited wineries
(a) In the interest of promoting tourism and recreational development in Pennsylvania, holders of a limited winery license may:
(1) Produce and sell alcoholic ciders, fermented fruit beverages, mead, wines and wine coolers, subject to the exceptions provided under this section, only from an agricultural commodity grown in Pennsylvania.
(2) Sell alcoholic cider, fermented fruit beverages, mead, wine and wine coolers produced by the limited winery or purchased in bulk in bond from another Pennsylvania limited winery on the licensed premises, under such conditions and regulations as the board may enforce, to the board, to individuals and to brewery, importing distributor, distributor, hotel, restaurant, club and public service liquor licensees, and to Pennsylvania winery licensees: Provided, That a limited winery shall not, in any calendar year, purchase alcoholic cider, fermented fruit beverages, mead or wine produced by other limited wineries in an amount in excess of fifty per centum of the alcoholic cider, fermented fruit beverage, mead or wine produced by the purchasing limited winery in the preceding calendar year. In addition, the holder of a limited winery license may purchase wine in bottles from another Pennsylvania limited winery if these wines undergo a second fermentation process. Such wine may be sold in bottles bearing the purchasing limited winery's label or the producing limited winery's label. Such wines, if sold by the board, may be sold by the producing limited winery to the purchasing limited winery at a price lower than the price charged by the board.
(2.1) Notwithstanding any other provision of this act or law to the contrary, only ship wine in accordance with the provisions of section 488.
(3) Separately or in conjunction with other limited wineries, sell alcoholic cider, fermented fruit beverages, mead, wine and wine coolers produced by the limited winery on no more than five (5) board-approved locations other than the licensed premises, with no bottling or production requirement at those additional board-approved locations and under such conditions and regulations as the board may enforce, to the board, to individuals and to brewery, hotel, restaurant, club and public service liquor licensees. If two or more limited wineries apply to operate an additional board-approved location in conjunction with each other, the wineries need only have one board-approved manager for the location, need only pay one application fee and need not designate specific or distinct areas for each winery's licensed area. Each limited winery must file an application for such an additional board-approved location, and such location shall count as one of the five permitted for each limited winery. Each limited winery is responsible for keeping only its own complete records. A limited winery may be cited for a violation of the recordkeeping requirements of sections 512 and 513 pertaining to its own records only.
(4) At the discretion of the board, obtain a special permit to participate in alcoholic cider, fermented fruit beverage, mead, wine and food expositions off the licensed premises. A special permit shall be issued upon proper application and payment of a fee of thirty dollars ($30) per day for each day of permitted use, not to exceed thirty (30) consecutive days. The total number of days for all the special permits may not exceed one hundred (100) days in any calendar year. A special permit shall entitle the holder to engage in the sale by the glass, by the bottle or in case lots of alcoholic cider, fermented fruit beverage, mead or wine produced by the permittee under the authority of a limited winery license. Holders of special permits may provide tasting samples of wines in individual portions not to exceed one fluid ounce. Samples at alcoholic cider, fermented fruit beverage, mead, wine and food expositions may be sold or offered free of charge. Except as provided herein, limited wineries utilizing special permits shall be governed by all applicable provisions of this act as well as by all applicable regulations or conditions adopted by the board.

For the purposes of this clause, "alcoholic cider, fermented fruit beverage, mead, wine and food expositions" are defined as affairs held indoors or outdoors with the intent of promoting Pennsylvania products by educating those in attendance of the availability, nature and quality of Pennsylvania-produced alcoholic ciders, fermented fruit beverages, mead and wines in conjunction with suitable food displays, demonstrations and sales. Alcoholic cider, fermented fruit beverage, mead, wine and food expositions may also include activities other than alcoholic cider, fermented fruit beverage, mead, wine and food displays, including arts and crafts, musical activities, cultural exhibits, agricultural exhibits and farmers markets.

(4.1) At the discretion of the board, obtain a farmers market permit. The permit shall entitle the holder to participate in more than one farmers market at any given time and an unlimited number throughout the year and sell alcoholic cider, fermented fruit beverages, mead or wine produced under the authority of the underlying limited winery license by the bottle or in case lots. Samples not to exceed one fluid once per brand of mead or wine may be offered free of charge. A farmers market permit shall be issued upon proper application and payment of an annual fee of two hundred fifty dollars ($250). A permit holder may participate in more than one farmers market at any given time. Sales by permit holders shall take place during the standard hours of operation of the farmers market. Written notice of the date, times and location the permit is to be used shall be provided by the permit holder to the enforcement bureau at least two (2) weeks prior to the event. Except as provided in this subsection, limited wineries utilizing farmers market permits shall be governed by all applicable provisions of this act as well as by all applicable regulations adopted by the board.
(5) Do either of the following:
(i) Apply for and hold a hotel liquor license, a restaurant liquor license or a malt and brewed beverages retail license to sell for consumption at the restaurant or limited winery on the licensed winery premises, liquor, wine and malt or brewed beverages regardless of the place of manufacture under the same conditions and regulations as any other hotel liquor license, restaurant liquor license or malt and brewed beverages retail license.
(ii) Apply for and hold a restaurant liquor license for use at one of the additional board-approved locations referenced under clause (3), as long as such location does not serve as an additional board-approved location for any other manufacturer.
(6)
(i) Secure a permit from the board to allow the holder of a limited winery license to use up to twenty-five per centum permitted fruit, not wine, in the current year's production. Each permit is valid only for the calendar year in which it is issued.
(ii) The fee for a permit to import and use permitted fruit shall be in an amount to be determined by the board.
(iii) The purpose of this section is to increase the productivity of limited wineries while at the same time protecting the integrity and unique characteristics of wine produced from fruit primarily grown in this Commonwealth. Prevailing climatic conditions have a significant impact on the character of the fruit. Accordingly, "permitted fruit" shall mean fruit grown or juice derived from fruit grown within three hundred fifty (350) miles of the winery.
(iv) The department is authorized to promulgate regulations requiring the filing of periodic reports by limited wineries to ensure compliance with the provisions of this section.
(6.1) Sell food for consumption on or off the licensed premises and at the limited winery's additional board-approved locations and sell by the glass, at the licensed premises and at the limited winery's additional board-approved locations, wine, mead , alcoholic ciders and fermented fruit beverages that may otherwise be sold by the bottle. In addition, the holder of a limited winery license may sell for consumption on the licensed premises and at the limited winery's additional board-approved locations, liquor produced by a licensed distillery or limited distillery, wine , alcoholic cider and fermented fruit beverages produced by another limited winery and malt or brewed beverages produced by a licensed brewery. The combined sales of wine , alcoholic cider and fermented fruit beverages produced by another limited winery, malt or brewed beverages and liquor may not, on a yearly basis, exceed fifty per centum of the on-premises sales of the limited winery's own sales of wine , alcoholic cider and fermented fruit beverages for the preceding calendar year: however, if a limited winery did not operate for an entire calendar year during the preceding year, then its combined sales of wine and alcohol produced by another limited winery, malt or brewed beverages and liquor may not, on a yearly basis, exceed fifty per centum of the on-premises sales of the limited winery's own wine , alcoholic cider and fermented fruit beverages for that year.
(6.2) Sell wine- or liquor-scented candles acquired or produced by the limited winery.
(6.3) Sell alcoholic cider, fermented fruit beverages, mead, wine and wine coolers only between the hours of nine o'clock antemeridian and eleven o'clock postmeridian. A limited winery also may request approval from the board to extend sales hours in individual locations at other times during the year or beyond the limits set forth in this clause. The request shall be made in writing to the board's Office of the Chief Counsel and shall detail the exact locations where sales hours are proposed to be extended, the proposed hours and dates of extended operation and the reason for the proposed extended hours.
(6.4) Store alcoholic cider, fermented fruit beverages, mead, wine and wine coolers produced by the limited winery at no more than two (2) board-approved locations other than the licensed premises and those premises referenced in clause (3) pertaining to the five (5) board-approved locations for the sale of wine, with no bottling or production requirement at those additional locations and under such conditions and regulations as the board may enforce. If two (2) or more businesses will operate out of the same storage facility, the limited winery must designate specific and distinct areas for its storage. The limited winery's designated storage area must be secured and no one other than the licensee and his employees may be allowed access to the storage area. No board-approved manager will be necessary for the storage facility. The limited winery must fill out an application for such an additional board-approved storage location, and such location shall count as one of the two permitted for each limited winery. The limited winery is responsible for keeping only its own complete records. A limited winery may be cited for a violation of the recordkeeping requirements of sections 512 and 513 pertaining to its own records only.
(b) The total production of alcoholic ciders, fermented fruit beverages, mead, wine and wine coolers by a limited winery may not exceed two hundred thousand (200,000) gallons per year.
(c) As used in this section:

"Agricultural commodity" shall include any of the following: agricultural, apicultural, horticultural, silvicultural and viticultural commodities.

"Farmers market" shall include any building, structure or other place:

(1) owned, leased or otherwise in the possession of a person, municipal corporation or public or private organization;
(2) used or intended to be used by two or more farmers or an association of farmers, who are certified by the Department of Agriculture of the Commonwealth to participate in the Farmers' Market Nutrition Program subject to 7 CFR Pt. 249 (relating to Senior Farmers' Market Nutrition Program (SFMNP)), for the purpose of selling agricultural commodities produced in this Commonwealth directly to consumers;
(3) which is physically located within this Commonwealth; and
(4) which is not open for business more than twelve hours each day.

47 P.S. § 5-505.2

Amended by P.L. TBD 2019 No. 45, § 6, eff. 8/31/2019.
Amended by P.L. TBD 2016 No. 166, § 14, eff. 1/14/2017.
Amended by P.L. TBD 2016 No. 39, § 25, eff. 8/7/2016.
1951, April 12, P.L. 90, art. V, § 505.2, added 1968, July 31, P.L. 902 No. 272, § 3. Amended 1970, Dec. 2, P.L. 825, No. 271, § 1; 1972, March 27, P.L. 153, No. 57, § 1, imd. effective; 1981, Nov. 5, P.L. 329, No. 119, § 1, imd. effective; 1982, Dec. 17, P.L. 1390, No. 319, § 5, effective in 60 days. Reenacted and amended 1987, June 29, P.L. 32, No. 14, § 95, effective 7/1/1987. Amended 1994, April 29, P.L. 212, No. 30, § 18, effective in 60 days; 1996, May 31, P.L. 312, No. 49, § 16, imd. effective; 1998, June 18, P.L. 664, No. 86, § 16, imd. effective; 1998, Dec. 21, P.L. 1202, No. 155, § 20.1, imd. effective; 1999, Nov. 10, P.L; 514, No. 47, § 12; 2002, Dec. 9, P.L. 1653, No. 212, § 29, effective in 60 days; 2002, Dec. 16, P.L. 1806, No. 221, § 4, imd. effective; 2003, July 17, P.L. 63, No. 15, § 9, imd. effective; 2004, Dec. 8, P.L. 1810, No. 239, § 10, imd. effective; 2007, July 16, P.L. 107, No. 34, § 7, imd. effective; 2010, June 25, P.L. 217, No. 35, § 8, imd. effective; 2011, June 28, P.L. 55, No. 11, § 13; 2011, Dec. 22, P.L. 530, No. 113, § 20, imd. effective.