HB 828 — An Act amending the act of April 12, 1951 (P.L.90, No.21), known as the Liquor Code, in licenses and regulations for liquor, alcohol and malt and brewed beverages, further providing for license auction.

PRINTER'S NO.   859

                     THE GENERAL ASSEMBLY OF PENNSYLVANIA



                          HOUSE BILL
                          No. 828
                                                 Session of
                                                   2025

     INTRODUCED BY FEE, ROWE, STAATS, M. BROWN AND SMITH,
        MARCH 10, 2025

     REFERRED TO COMMITTEE ON LIQUOR CONTROL, MARCH 10, 2025


                                      AN ACT
 1   Amending the act of April 12, 1951 (P.L.90, No.21), entitled "An
 2      act relating to alcoholic liquors, alcohol and malt and
 3      brewed beverages; amending, revising, consolidating and
 4      changing the laws relating thereto; regulating and
 5      restricting the manufacture, purchase, sale, possession,
 6      consumption, importation, transportation, furnishing, holding
 7      in bond, holding in storage, traffic in and use of alcoholic
 8      liquors, alcohol and malt and brewed beverages and the
 9      persons engaged or employed therein; defining the powers and
10      duties of the Pennsylvania Liquor Control Board; providing
11      for the establishment and operation of State liquor stores,
12      for the payment of certain license fees to the respective
13      municipalities and townships, for the abatement of certain
14      nuisances and, in certain cases, for search and seizure
15      without warrant; prescribing penalties and forfeitures;
16      providing for local option, and repealing existing laws," in
17      licenses and regulations for liquor, alcohol and malt and
18      brewed beverages, further providing for license auction.
19      The General Assembly of the Commonwealth of Pennsylvania
20   hereby enacts as follows:
21      Section 1.      Section 470.3(a.1)(2), (h), (i) and (k) of the
22   act of April 12, 1951 (P.L.90, No.21), known as the Liquor Code,
23   are amended and the section is amended by adding a subsection to
24   read:
25      Section 470.3.     License Auction.--* * *
26      (a.1)   * * *
 1      (2)   [Any licenses not sold shall be available for sale at
 2   future auctions, provided, however, that no] No more than fifty
 3   licenses shall be auctioned in any county per year.
 4      * * *
 5      (h)   [The winning bidder shall pay to the board the bid
 6   amount within two weeks. Payment] Within six months of being
 7   awarded a license, payment shall be by cashier's check,
 8   certified check or any other method acceptable to the board. If
 9   the winning bidder does not pay the bid amount within [two
10   weeks] six months, the second highest bidder shall be awarded
11   the right to file an application for the license, so long as the
12   bid amount is in accordance with subsection (g). [The board
13   shall hold the bid amount in escrow until the license is
14   approved.]
15      (i)   Within six months of being awarded the license, the
16   bidder or its assignee shall file an application to transfer the
17   license. The application shall be processed in the same manner
18   as any other transfer application and shall be subject to the
19   same restrictions as any other transfer application, including
20   any conditional licensing agreements and county quota
21   restrictions under section 461. The board shall only approve the
22   transfer of a license under this section to a municipality,
23   other than the municipality it last operated in, upon approval
24   by the governing body of the municipality as provided under
25   section 461(b.3).
26      * * *
27      (k)   A license acquired under this section may subsequently
28   be transferred subject to any restrictions that would otherwise
29   be applicable to the transfer of the license[.], unless the
30   license was awarded in an excess auction under subsection (l). A

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 1   license awarded in an excess auction and subsequently
 2   transferred to a different county than the county of origination
 3   may not be transferred from the receiving municipality for a
 4   period of five years after the date the licensed premises are
 5   operational.
 6      (l)   A license not receiving a bid at an initial auction
 7   shall be eligible to be bid upon at the discretion of the board
 8   and awarded at an excess auction as follows:
 9      (1)   the board shall hold one excess auction every calendar
10   year;
11      (2)   the license shall be awarded to the highest bidder in
12   any county, regardless of the original location of the licensed
13   premises. No more than one license shall be awarded per county
14   in an excess auction;
15      (3)   the winning bidder may transfer the license without
16   regard to the restrictions under section 461(a) upon approval
17   from the governing body of the municipality where the license
18   will be transferred as provided under section 461(b.3); and
19      (4)   a request to transfer the winning license to a different
20   county shall be made in writing to the board and shall be
21   subject to an application fee of twenty-five thousand dollars
22   ($25,000).
23      Section 2.   This act shall take effect immediately.




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