Final
BILL SUMMARY for SB05-095

HOUSE COMMITTEE ON BUSINESS AFFAIRS AND LABOR

Votes:
Action Taken:
Moved amendment L.009 (Attachment A). The amendmen
Moved that SB05-095 be referred, as amended, to th		Pass Without Objection
PASS



11:18 AM -- Senate Bill 05-095

Representative Buescher introduced SB05-095 which expands the definition of limited winery to include persons who produce wine from agricultural products other than grapes and fruit, such as honey. The bill also attempts to clarify limits on crop utilization and production in response to litigation in other states. Licensed limited wineries and licensed manufacturers may use a label on bottles that states that the products used to make the wine are grown in Colorado.

11:22 AM -- Matt Cook, representing the Colorado Liquor Enforcement Division, testified in support of the bill. Mr. Cook testified that the bill is the result of a collaborative effort between the division and the wine industry.

11:25 AM -- Matt Cookson, representing the Winery of Holy Cross Abbey, testified in opposition to the bill. Mr. Cookson testified that he opposes the labeling provision of the bill. The new label requirements represent a cost burden to the industry. Representative Buescher added that an amendment he will offer addresses this concern.

11:29 AM

Representative Buescher introduced amendment L.009 (Attachment A). Representative Buescher and stated that amendment L.009 makes the labeling provision consistent with, rather than more restrictive than, federal law regarding labeling and it corrects drafting errors.

11:30 AM -- Mark Beran, representing Medovina Winery, testified in support of the bill. Mr. Beran testified that the bill resolves several problems in the current statute regarding limited wineries. He testified that the labeling requirement provides information regarding the origin of the grapes or other fruit used in the wine. Mr. Beran testified that the provision was brought forth by local Colorado growers interested in promoting locally grown products.

11:36 AM -- John Garlich, representing Brook Cliff Vineyards, testified in support of the bill. Mr. Garlich believes that the industry can resolve the problem with the labeling provision after the law passes. He testified that there may be other means to provide information regarding the origin of the ingredients.

11:39 AM -- Doug Caskey, representing the Colorado Wine Industry Development Board, testified in support of the bill. Mr. Caskey testified regarding the value of the work done by the Wine Board in developing this legislation. Mr. Caskey believes that the industry will be able to resolve the issue over labeling. He testified that amendment L.009 provides for consistency with federal law regarding labeling.

11:45 AM -- David Myers, representing Redstone Meadery and the International Mead Association, testified in support of the bill. Mr. Myers provided the committee with information about the mead industry. He believes that the bill allows the mead industry to equitably participate in the Colorado market along with the rest of the wine industry.

11:48 AM -- Fred Strothman, representing Centre Cellars, testified in opposition to the bill. Mr. Strothman supports all provisions of the bill except the labeling provision. Mr. Strothman testified that the labeling requirement would require that he discard his current labels and make new ones. He believes this will be very costly. Mr. Strothman provided the committee with copies of two letter that summarize his position (Attachments B and C). Mr. Strothman responded to questions from the committee.

12:00 PM -- J.P. Sicotte, representing Cottonwood Cellars, testified in opposition to the bill. Mr. Sicotte does not support the labeling provision. He believes that the outcome of industry negotiations on rules regarding labeling is too vague at this time.

12:04 PM -- Matt Cook returned to discuss the concerns with the labeling provision. Mr. Cook clarified that the requirement was initiated by the industry. Colorado grape growers want to insure that if a winery represents to consumers that it uses Colorado grapes, that it indeed does. Mr. Cook testified that the United States constitution allows Colorado to be more strict than federal law regarding labeling requirements. Representative Buescher made additional comments regarding compromises that have been achieved within the industry through amendment L.009. Mr. Cook and Representative Buescher responded to questions from the committee.

BILL:SB05-095
TIME: 12:11:04 PM
MOVED:Marshall
MOTION:Moved amendment L.009 (Attachment A). The amendment passed without objection.
SECONDED:Paccione
VOTE
Balmer
Borodkin
Butcher
Carroll M.
Coleman
Knoedler
Liston
Massey
McCluskey
Paccione
White
Cerbo
Marshall
Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:SB05-095
TIME: 12:12:01 PM
MOVED:White
MOTION:Moved that SB05-095 be referred, as amended, to the Committee of the Whole with a favorable recommendation. The motion passed 10-3.
SECONDED:Marshall
VOTE
Balmer
No
Borodkin
Yes
Butcher
Yes
Carroll M.
Yes
Coleman
Yes
Knoedler
No
Liston
Yes
Massey
Yes
McCluskey
No
Paccione
Yes
White
Yes
Cerbo
Yes
Marshall
Yes
Final YES: 10 NO: 3 EXC: 0 ABS: 0 FINAL ACTION: PASS