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Bill

H 110

An act relating to a reciprocity requirement for out-of-state consumer shipping licenses

2025-2026 Regular Session Introduced by Lucy Boyden

Out-of-state malt beverage licenses for Vermont shipments depend on reciprocity: Vermont will issue licenses only to manufacturers whose home state allows Vermont shipments to that

Read first time and referred to the Committee on Government Operations and Military Affairs
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Bill Summary · H 110

Overview

  • Bill: H.110 (House) – 2025-2026 Session, Vermont
  • Topic: Reciprocity requirement for out-of-state malt beverage consumer shipping licenses
  • Sponsor: Rep. Lucy Boyden (Cambridge)
  • Committee: Government Operations and Military Affairs
  • Status: Read first time and referred to Committee on Government Operations and Military Affairs (January 28, 2025)
  • Effective date: July 1, 2025

Purpose and Intent

  • The bill aims to create a reciprocity-based restriction for out-of-state consumer shipping licenses for malt beverages (beer), with the intent of adopting a reciprocity requirement: Vermont-issued out-of-state shipping licenses would be limited to manufacturers from states that allow Vermont brewers to ship malt beverages to consumers in that state.

Key Provisions

  • Amends 7 V.S.A. § 277 (Malt, Vinous, and Ready-to-Drink Spirits Beverage Consumer Shipping License).
  • Eligibility for an out-of-state license:
    • A manufacturer or rectifier licensed in another state (that operates a brewery, winery, or distillery in the U.S. and holds valid state and federal permits) may apply for an out-of-state consumer shipping license with the Vermont Division of Liquor Control (DLC) by:
    • Filing an application in the form required by the Commissioner.
    • Providing copies of the applicant’s current out-of-state manufacturer’s license.
    • Paying the fee established in § 204 of Vermont law.
  • Reciprocity condition:
    • An out-of-state malt beverage manufacturer may be granted a Vermont out-of-state shipping license only if the manufacturer’s home state allows Vermont manufacturers to ship malt beverages to consumers in that state.
  • Renewal:
    • The out-of-state license can be renewed annually by submitting the renewal fee (as per § 204) along with the licensee’s current out-of-state manufacturer’s license.
  • Definitions:
    • “Out-of-state” means any state other than Vermont, including U.S. territories or possessions; foreign countries are explicitly excluded.
  • Scope:
    • Applies to malt beverages (beer) and does not separately mention other categories beyond malt, vinous, and ready-to-drink spirits in the licensing framework, but the citation remains within the same licensing structure.

Who/What is Affected

  • Affected Stakeholders:
    • Out-of-state malt beverage manufacturers and rectifiers seeking to ship direct-to-consumer (DTC) to Vermont residents.
    • Vermont consumers who would receive shipments of malt beverages from out-of-state manufacturers.
    • Vermont Division of Liquor Control (DLC) as the administering agency for processing applications, licenses, and renewals.
  • Impact on interstate shipping activities:
    • The ability of non-Vermont manufacturers to obtain or renew an out-of-state shipping license to Vermont is contingent on reciprocity from their home state.

Procedural and Timeline Considerations

  • Effective date: July 1, 2025.
  • Application process:
    • Submit form required by the DLC, provide copies of out-of-state license, and pay the applicable fee.
  • Renewal process:
    • Annual renewal with current out-of-state license and renewal fee.
  • Reciprocity trigger:
    • License eligibility hinges on the other state permitting Vermont manufacturers to ship malt beverages into that state, creating a reciprocal framework.
  • Legislative status:
    • As introduced, referred to committee; no subsequent committee actions or amendments listed in the provided materials.

Potential Implications

  • Encourages Vermont to adopt reciprocity standards with other states to enable cross-state shipping licenses.
  • Potentially narrows the pool of eligible out-of-state producers if their home state does not permit Vermont shipments, thereby reducing DTC shipping options for Vermont residents from certain out-of-state producers.
  • Could affect small breweries seeking direct-to-consumer sales by requiring evaluation of other states’ reciprocity policies.
  • Administrative workload for DLC remains focused on license issuance, renewal, and ensuring compliance with reciprocity requirements.

Compiled from official sources — confirm details with the bill’s official record.

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