Legislative Update: ‘Free the Growler’ Effort Falls Short in Minnesota, For Now; Texas Expected to Extend Restaurant Alcohol To-Go Sales

Minnesota Growler Sales Cap Is Here to Stay

Minnesota brewers’ efforts to remove a ban on growler and beer to-go sales for larger craft breweries may have fallen short, the Minneapolis Star Tribune reported. However, those efforts aren’t fully dead as has been reported.

Lauren Bennett McGinty, the executive director of the Minnesota Craft Brewers Guild, told Brewbound that she doesn’t believe the fight is over. The guild has started a #LastCallMN social media campaign for craft beverage producers, bars, and restaurants to show their support in making “one last call” to lawmakers before the legislative session ends May 17.

A group of more than 100 breweries, distilleries, wineries, retailers and distributors have signed an open letter to the Legislature asking lawmakers to reconsider, Bennett McGinty shared with Brewbound.

“In 2020 we collectively saw our worst year of operations. We pivoted over and over, and we worked hard to keep people safe while struggling to stay in business,” the letter reads. “We decided to come together to support each other and brought forward a simple, minimal, yet comprehensive, bill (S.F. 1176 / H.F. 1192) that has the support of thousands of businesses in this state, yet we did not receive a hearing and that’s just not good enough.”

Since 2013, the state has prohibited breweries producing more than 20,000 barrels of beer a year from selling to-go containers such as 64 oz. growlers. Five breweries currently exceed that cap: Surly, Fulton, Castle Danger, Schell’s, and Summit.

State Rep. Jim Nash (R-Waconia) attempted to introduce provisions to the House to remove the cap, along with allowing restaurants, bars, breweries, distilleries, etc. to continue to sell alcohol with takeout orders.

Six breweries at or near the cap also formed the Alliance of Minnesota Craft Breweries and started a “free the growler” campaign, citing the freedom growlers give breweries to experiment and develop products. Both efforts failed to gain traction in the state Legislature.

Last month, the state’s craft brewers formed the Minnesota Craft Brewers PAC to support lawmakers who back the industry.

Texas Senate Says Restaurants May Continue Alcohol Sales With To-Go Orders

Legislation that would allow Texas restaurants to continue to sell beer, wine and mixed drinks with takeout orders, a permission they were temporarily granted in response to pandemic restrictions, is now in the hands of Gov. Greg Abbott after the Texas Senate passed the measure 30-1 on April 28, according to KVUE.

Abbott has previously shown his support for to-go alcohol sales. In March 2020, he signed the initial waiver allowing the sales, then extended it indefinitely prior to its May 2020 expiration date.

State Sen. Kelly Hancock, speaking to the Texas Tribune, said the bill will “accelerate the industry’s recovery, supporting thousands of jobs and small businesses along the way.” In Texas, thousands of restaurants closed, and 700,000 restaurant employees lost their jobs at the start of the pandemic, according to the Texas Restaurant Association.

Mississippi Legalizes Alcohol Delivery

Alcohol delivery will be legal in Mississippi starting July 1, reports WMC-TV. House Bill 1135 was passed, allowing wine, beer and liquor stores to obtain permits and deliver directly to their customers’ homes.

The law does have a few restrictions; deliveries must be made within 30 miles of the store’s location, and cannot be delivered to dry areas. Customers must also show a proof of ID before receiving their product, and cannot be intoxicated.

Tennessee Governor to Allow To-Go Alcohol Sales Through 2023

Tennessee Gov. Bill Lee is planning to sign Senate Bill 681, allowing to-go alcohol sales until July 2023, according to WKRN-TV. Restaurants will be allowed to sell alcohol in a secured container or bottle, with the requirement that customers are also purchasing food with their order.

Legislators say to-go alcohol sales will help struggling restaurants trying to come back from the pandemic, but some residents are hesitant, saying it will be easier for minors to obtain alcohol. The Tennessee Alcoholic Beverage Commission (TABC) reported concerns in 2020 with many restaurants failing to properly check IDs in the state. In their November 2020 report, the TABC cited curbside and carryout alcohol being the most lacking in this area, with 26 of the 41 establishments offering pick-up alcohol selling to minors (a compliance rate of 36%).

The law will go into effect immediately after it’s signed. It’s estimated to make a combined $7.7 million in tax revenue in the next two fiscal years, according to its fiscal note.