Montana Brewers Association

News

Montana Tavern Association Boasts Bringing Anti-Brewery Bill in Tavern Times

Posted On March 7, 2013

The anti-brewery bill that you’ve been hearing about is still coming, and a new article in The Tavern Times makes that very clear. LC1429 by Roger Hagan (R-Great Falls) intends to shackle the craft brewing industry. This bill will make a mockery of all the good the craft brewing industry has brought in the last 10 years. Large established breweries are somewhat protected from some aspects of the bill, but this legislation will stop or seriously hinder any new brewery entering the market, eliminate any start-ups, and let the MTA call the shots on what breweries can grow and when. Odd how these things happen when you have a sanctioned monopoly at play. The final language or a bill number are not yet available, but this is what we have learned thus far:

  • Brewers’ on premise sales would be severely limited based on their barrel production volume:
    • 300 barrels a year – 100%
    • 301-500 barrels a year – 60%
    • 501-1,000 barrels a year – 50%
    • 1,001 to 10,000 barrels a year – 40%
    • Over 10,000 barrels – buy a license
  • Brewers could purchase retail licenses (big $), and retailers license holders could purchase brewers licenses (small $).
  • Brewers would have to completely close their doors to the public at 8pm sharp! Currently, customers must finish their beer by 9pm- a reasonable approach. With this new law there would be no growler sales after 8pm as the public would not be allowed on site after 8pm and before 10am. I’m sure our traveling public and visitors are going to love these regulations in the summer time.
  • Brewers cannot have any food, music (live or broadcast), or entertainment whatsoever. Popcorn is now illegal.
  • Brewers could request special permits to serve their beer at 10 events a year. Better choose em’ carefully.

We are watching the MTA very closely and will let everyone know when the details of the bill are finalized, who you can contact, and when. This Bill is likely to be heard in the House Business and Labor Committee. Many of the committee members have already indicated support for brewers and possess no interest in this type of bill coming forward (Republicans and many Democrats alike). Roger Hagan is obviously not one of those, and Rep. Rob Cook (R-Conrad) may still carry this bad legislation forward. We are told to expect a bill draft to be available for a hearing late next week (March 14th, 15th, or the following week). Please be prepared to come to Helena if you can, and certainly ready to contact committee members
when the time is right!

Stay tuned and keep your pencils sharp!

45 Days Down, and an Anti-Brewery Bill is Still Coming!

Posted On February 26, 2013

Well, we are almost at transmittal date, the midway point of the legislature, and brewers are still breathing. We continue to need your attention and support for our issues as we are told another anti-brewery bill is on its way. Representative Roger Hagan (R-Great Falls) has indicated that he intends to introduce a bill on behalf of the Montana Tavern Association that will further limit existing brewery retail abilities.

Rep. Hagan explains that his bill, potentially to be carried by Rep. Rob Cook (R-Conrad), would provide new marketing opportunities for brewers, distributors, and retailers, by allowing brewers to buy retail licenses and tavern owners to buy brewery licenses. Oh, there was also the point that in order to curtail the burgeoning and successful brewery industry, brewers would have to abide by limits that dictate how much beer can be sold on premise versus through the distribution tier. The limits would start when a brewer sells more that 300 barrels a year (a very small amount)! Thank you very much. Once over 300 barrels, brewers can only sell a certain percentage of their production on premise till 500 barrels, then a lesser percent till 1,000, then a lesser percent still till you reach 10,000. Clear as a bell? I’m waiting to see the next brewer’s business plan and how it is received by his investors and his banker.

Another meeting was held recently between the 3 tier representatives (brewers, taverns, distributors), along with Rep. Hagan, Rep. Cook and Sen. Tropila (D-Great Falls with tavern connections). As in prior meetings, this one ended with both the brewer (Brian Smith, Blackfoot River Brewing, Helena) and the distributor (Brian Clark, Fun Beverage, Kalispell) counseling the legislators and the tavern owner (Steve Morris, Jorgenson’s, Helena) that anything proposed in the next 20 days would do nothing to create desired effects for the group as a whole. One does wonder; however, that the end result of such a bill must be so that attractive to the Montana Taverns Association that they will stop at nothing to introduce a bill that almost all legislators you speak with say, “give it a rest, take it out of the building, and bring back a comprehensive and agreed to solution next session.”

Think about it. If this were to pass, the brewing industry as we know it would be stopped in its tracks ($50 million in output, 450 jobs, double digit growth in production and jobs, etc., etc.), and taverns could start building breweries across the state. They have the retail licenses to sell ad nauseam, and they could hire brewers, buy breweries, and make it a part of their motif.

We are told a bill is on its way following transmittal (LC1429 is the placeholder), so please stay tuned so that you can express your feelings to the House Business and Labor Committee at the right time. As we see a bill and have a hearing date, we will try to tell you which committee members have indicated their support and which ones are important to reach out to.

A Historic Event, but An Opportunity Lost

Posted On February 11, 2013

Join Our Cause

On February 5th, there was a meeting held among members of the alcoholic beverage industry in Montana that I am told has never happened before. The tavern guys, the brewery guys, and the distributor guys (well one gal), sat at a table for the first time ever. Wow! Everyone thought it was a great start to something new, felt that the dialogue was real and respectful, and that everyone’s participation was genuine. There was no fist pounding, no accusations, but a great deal of dialogue and sensibility to each party’s positions.

There were three representatives from each of the Montana Brewers Association, Montana Tavern Association, and the Montana Beer & Wine Wholesalers Association. A good, diverse group representing the majority of adult beverage related industries in Montana.

At the end of the meeting, the majority of the parties were counseling an approach that would entail continuation of these meetings on a monthly basis. All parties agreed on an approach that would develop the details of an agreement on how the brewing industry, tavern industry, and distributors should proceed, with the goal of defining legislation for the 2015 Legislature. Most felt that there has not been the proper dialogue as of yet, and trying anything in the 2013 Legislature would create more issues, not fewer.

Nonetheless, the Montana Tavern Association still intends to sponsor legislation during this session to attack Montana’s small breweries. They are apparently so bent on the position that our businesses are running amok, not paying for licenses, and skirting the system, that they feel that they must carry a bill to limit our abilities, in return for allowing a brewer to purchase a retail license. The entire room was counseling caution and the continuation of these meetings, but two of the three representatives of the MTA indicated that their board already made up its mind to further restrict small breweries. So much for detente, I guess.

So what we are told is that a bill would be coming, in spite of our efforts, that would place some further restrictions on brewers. We heard about 40% of sales can only be on premise, but we don’t know for sure; haven’t seen any language. We do know, we must resist any changes that bring further restrictions to brewers.

The Facts

  • Montana brewers already have some of the most severe restrictions in the nation (only 48 ounces per person per day, and only till 8pm).
  • Montana brewers represent over 450 jobs in 22 towns across Montana, from Whitefish to Wibaux, and have an economic impact of over $50 million.
  • Montana brewers follow the laws and have helped create one of the fastest growing industries in the state.
  • Montana brewers brew most of their beer from barley and wheat grown right here in Montana, and malted right here at the malting plant in Great Falls.
  • Montana brewers heavily utilize other trade companies in the manufacturing of their beer such as plumbers, electricians, glass companies and many more.
  • Montana brewers send their products to taverns, restaurants, hotels and grocers through the state, and some distribute out of state.
  • Montanans and tourists love Montana made beer and the choices made by the breweries.
  • Further restrictions on Montana brewers will harm this good and responsible industry, and Montana’s economy.

Let Your Voice Be Heard

Representative Roger Hagan (Great Falls) is apparently introducing this bill. Tell Rep. Hagen that this bill will stop entry into this growing market, affect the majority of brewers in the state of Montana today, shut down several breweries, and stop ANY new businesses for starting. This in an anti-jobs, anti-economic development bill, and they should tell the MTA to come to their senses and get back to the table.

Representative Rodger Hagan: [email protected]

Please also contact the members of the House Business and Labor Committee, below. Tell them you are against any bills that place further restrictions on brewers than they already have!

Tom Berry [email protected]
Carlie Boland [email protected]
Christy Clark [email protected]
Amanda Curtis [email protected]
Steve Fitzpatrick [email protected]
Edward Greef [email protected]
Roger A Hagan [email protected]
Chuck Hunter [email protected]
Mike Lang [email protected]
Jonathan McNive  [email protected]
David Moore [email protected]
Daniel Salomon [email protected]
Reilly Neill [email protected]
Rae Peppers [email protected]
Gordon Pierson [email protected]
Scott Reichner [email protected]
Cary Smith [email protected]
Carolyn Squires [email protected]
Tom Steenberg [email protected]
Jeffrey W Welborn [email protected]

Love Beer? So do we – and Montana breweries need your help!

Posted On February 4, 2013

Join Our Cause

I know most of us enjoy cold session beers over legislative sessions, but the Montana craft beer industry is in trouble!

A bill was recently introduced to limit the amount of beer sold in taprooms to just 10% of yearly production. The bill’s sponsor, Rep. Jeff Welborn, dropped the legislation, but our growing Montana beer industry is still in danger. More bad legislation may be on the way and we need you to speak out!

We hear talk about a bill coming that might limit the amount of beer sold in tap rooms to just 40% of yearly production. Existing brewers would be clipped under these severe limitations, and no new brewers would ever build in Montana again. The Montana Tavern Association and some legislators say “let em buy a license, but restrict brewery success with regulation in the meantime.” Nice; the legislature prescribing entrepreneurialism.

There are too many moving parts to be assembled for any of this legislation to benefit the public, the economy, tourism, agriculture, brewers, retailers, distributors, and you. We need industry players to work together on these issues, and give microbrewery-targeting legislation a rest this session. We are committed to doing just that! Tell your legislators to stop this kind of rash and destructive legislation!

The Facts

Despite the most restrictive laws in the nation, Montana brewers have continued to follow every rule including the 10,000 barrel production limit, 8 PM last call, and a 48 ounce limit per person per day.

Owners take on serious risk to open a brewery. They must make significant investments in brewing equipment, good people, and many local materials. They have to prove their brewing abilities by incubating their beer with a discerning public, distribute their beer to taverns and restaurants, and continually expand the reach of their products.

These risks and investments have been made with the knowledge that the current limiting rules of the market are in place. Changes that affect entry to the market, or to current retail and distribution abilities will cripple this growing industry.

Montana Craft Breweries are part of a $50 million industry with 22 Montana communities participating in the growing economic trend. Our recent report, The Economic Contributions of Craft Brewing in Montana, contains the research that supports these claims!

Montana brewers support the use of Montana grown agricultural products, provide jobs, give back to their communities, and create a fantastic place for community members to gather.

We need to help this amazing industry grow in Montana!

Contact Your Legislators

Tell your local legislator that you support craft brewers in Montana and they should too!

Tell them you do not support any legislation that hinders the growth of Montana’s growing craft beer industry!

Please be clear, concise, and polite. We ask you be respectful but urgent in your message to legislators!

Letting your voice be heard has never been so fast, easy, and effective!

Visit the Send a Message to a MT Legislator portal.

  1. Fill out your name and contact information.
  2. Select the House Business and Labor Committee and the Senate Business, Labor, and Economic Affairs Committee, or your local legislator to receive your message.
  3. Sound off in 1250 characters (cannot include * ^ ; & > < / ) .

-or-

Call 444-4800 and dictate your message to a legislator or committee of your choice.

Montana Brewers Association

Montana Brewers Association

P.O. Box 8591

Missoula, MT 59807

406-948-BREW (2739)