HI HB887

Adds spirits-based beverages to the definition of "cooler beverage" as a new category, defined as distilled spirits with added natural or artificial blending materials containing less than 12% alcohol by volume, to encourage local distilleries to produce ready-to-drink cocktails.

Repeals the definition of "draft beer" (beer in containers of seven gallons or more) and eliminates the separate tax rate for draft beer.

Applies a uniform tax rate of $0.54 per wine gallon to all beer effective July 1, 2019, eliminating the previous disparity between draft beer ($0.54) and other beer ($0.93).

Updates the definition of "distilled spirits" and "liquor" to remove references to draft beer as a separate category.

Takes effect on January 1, 2020.