HB521 Summary

• Defines "mixed spirit beverages" as single-serve beverages containing liquor in containers no larger than 16 ounces with no more than 7 percent alcohol by volume.

• Establishes a three-tier distribution system for mixed spirit beverages with separate licenses for wholesalers, retailers, and manufacturers/importers, requiring exclusive sales territory distribution agreements.

• Levies an excise tax of $.035 per ounce on mixed spirit beverages, with proceeds split between the State General Fund and the Alcoholic Beverage Control Board for regulatory and administrative purposes.

• Requires label approval by the board and prohibits marketing that appeals to minors or misleads consumers about alcohol content; mandates separation of alcoholic beverages from non-alcoholic products in retail displays.

• Becomes effective October 1, 2025, with comprehensive rulemaking authority granted to the Alcoholic Beverage Control Board for implementation and enforcement.