Summary#
Bill 16 would update New Brunswick’s Liquor Control Act. Its main changes would allow some small breweries and distilleries to sell unopened products at approved farmers’ markets through an agency arrangement with the New Brunswick Liquor Corporation.
The bill would also remove rules for in-house brewery licences and a related tax, change some live-entertainment licensing rules, and add licensing requirements for producers.
- Small breweries producing up to 500,000 litres of beer per year could be appointed to sell their beer at approved farmers’ markets.
- Distilleries producing up to 75,000 litres of liquor per year could receive the same type of authority.
- Products sold at farmers’ markets would have to be in unopened containers and intended for consumption at home.
- The Act’s in-house brewery licence system would be removed.
- A tax provision connected to that system would also be removed.
- The bill would require brewer, winery and distiller licence applicants to be at least 19 years old. Distiller licence applicants would also need proof that their proposed premises meet fire-safety standards.
- The bill has not been adopted in the material provided. It would start on a date set by proclamation.
What it means for you#
- Consumers: You could be able to buy unopened beer directly from qualifying small breweries, and liquor directly from qualifying distilleries, at approved farmers’ markets. The bill does not guarantee that every farmers’ market would offer these sales.
- Small breweries: A brewery producing no more than 500,000 litres per year could be appointed as an agent of the New Brunswick Liquor Corporation. It would need to follow the Act, related rules and any conditions set by the Corporation.
- Small distilleries: A distillery producing no more than 75,000 litres per year could receive similar authority to sell at approved farmers’ markets.
- Distillers: New distiller licence applicants would need a statement from a fire marshal, deputy fire marshal or fire prevention officer confirming that the proposed premises meet fire-safety standards.
- Producers: Applicants for brewer, winery or distiller licences would have to be at least 19 years old and not otherwise barred from possessing or consuming liquor.
- Businesses with live entertainment: The bill removes references to one licence category from the rules for live entertainment and other licence provisions. The practical effect appears to be that establishments in that category would no longer be covered by those particular rules. The bill does not identify the category by name in the supplied material.
- Former in-house brewery licence holders: The bill repeals the in-house brewery licence provisions. The material does not explain how any existing licences or businesses using that system would be handled.
Expenses#
No publicly available information.
- The supplied material contains no fiscal estimate for government, the Liquor Corporation, municipalities or businesses.
- Breweries and distilleries that use the farmers’ market option could face licensing, reporting and compliance costs.
- The bill does not state whether new fees would apply to the farmers’ market sales arrangement.
- Removing the in-house brewery tax provision could affect government revenue, but the amount is not provided.
- The bill could create administrative work for the Liquor Corporation and fire-safety officials, but no cost estimate is available.
Proponents' View#
No statements from supporters were supplied. Based on the bill’s text, possible arguments in favour include:
- The bill could give qualifying small breweries and distilleries another way to sell products directly to consumers.
- Farmers’ markets could offer more locally produced beer and liquor.
- The sales limits would focus the new option on smaller producers rather than all manufacturers.
- Requiring products to be sold in unopened containers for home consumption could provide a clear limit on the type of sale allowed.
- Requiring fire-safety confirmation for distilleries could improve safety before a licence is issued.
- Removing obsolete in-house brewery rules and related provisions could simplify the Liquor Control Act.
Opponents' View#
No statements from opponents were supplied. Possible concerns based on the bill’s text include:
- The bill gives the Liquor Corporation broad power to set terms and conditions for farmers’ market sales. The bill does not explain those conditions in detail.
- It is unclear how many farmers’ markets would be approved or how the approval process would work.
- Small producers may face added reporting and compliance requirements because liquor-store rules would apply, with necessary changes, to their farmers’ market sales.
- Removing the in-house brewery licence provisions could create uncertainty for businesses that currently rely on that system. The bill does not provide transition rules in the supplied material.
- Removing the related tax provision could reduce government revenue, although the likely amount is unknown.
- The bill changes live-entertainment rules by removing references to one licence category, but the supplied material does not clearly explain the practical effect for affected establishments.
- The bill’s timing is uncertain because it would begin only when proclaimed.