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Bill

H 647

An act relating to vinous beverage manufacturers and fourth-class licenses

2025-2026 Regular Session Introduced by Lucy Boyden

Vinous beverage manufacturers can operate up to two first-class licensed establishments at or next to their facility, expanding direct-to-consumer on-site options.

Read first time and referred to the Committee on Government Operations and Military Affairs
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Bill Summary · H 647

Summary of H.647 (2025-2026) – Vermont

Purpose and intent

  • The bill aims to modernize and expand licensing options for vinous beverage manufacturers (wine producers) and fourth-class license holders.
  • It would allow vinous beverage manufacturers to operate up to two first-class licensed establishments at their licensed manufacturing facility or on land owned by the licensee that is contiguous with the facility’s parcel.
  • It also seeks to adjust how fourth-class licensees (typically small producers/retailers tied to their production facilities) can serve customers, particularly in tasting rooms or retail shops, by permitting larger total volumes of beverages consumed on-site.

Key provisions and changes

1) Fourth-class licenses (7 V.S.A. § 224)
- Current framework allows fourth-class licensees to sell by the unopened container or by the glass at their licensed location.
- New on-site consumption allowances:
- At a tasting room and retail shop operated by a fourth-class licensee:
- Up to 16 ounces of malt beverages or hard cider in total.
- Up to 12 ounces of vinous beverages or ready-to-drink spirits beverages in total.
- Up to 1/4 ounce of spirits or fortified wine, with a combined total of 2 ounces.
- At a farmer’s market location:
- Up to 2 ounces of malt beverages, vinous beverages, or ready-to-drink spirits per sale, with a total of 8 ounces.

2) Manufacturer’s or rectifier’s licenses (7 V.S.A. § 271)
- The Board of Liquor and Lottery may grant a first-class license (or a third-class license, or both) permitting sales to the public at an establishment located at the licensed facility, provided the manufacturer/rectifier owns or has direct control of the establishment.
- For vinous/beverage manufacturers (malt or vinous beverages), the bill allows operating up to two licensed establishments under this subsection, located at the licensed manufacturing facility or on contiguous-owned property, so long as the manufacturer owns or has direct control over both establishments.

3) Effective date
- The act would take effect July 1, 2026.

Who is affected

  • Vinous beverage manufacturers (wineries):

    • Would be able to operate up to two first-class licensed establishments on-site or on contiguous property under direct control.
    • Potentially expanded venue options for tastings and sales, expanding direct-to-consumer experiences.

  • Fourth-class licensees (small producers with tasting rooms/retail shops):

    • Could offer larger on-site consumption limits in tasting rooms and retail shops, aligning on-site service with larger-scale consumer experiences.
    • Farmers market settings remain subject to smaller consumption limits.

  • Consumers:

    • May have access to larger on-site sample/consumption allowances at licensed facilities and tasting rooms.
    • More opportunities to purchase and consume vinous beverages at affiliated licensed locations.

Procedural and timeline considerations

  • Legislative action history:

    • Introduced by Rep. Lucy Boyden (Cambridge) and referred to the House Committee on Government Operations and Military Affairs on January 13, 2026.
    • Public hearings and discussions noted in committee activity (Jan. 16 and Jan. 28, 2026).

  • Implementation:

    • If enacted, the provisions would take effect July 1, 2026, providing time for regulatory updates and licensing adjustments.

Notable details

  • The bill maintains a distinction between on-site consumption at fourth-class and first-class licensed locations, with clarified volume limits for on-site consumption.
  • It specifies ownership/direct control requirements for establishments associated with manufacturing facilities seeking first-class licenses or additional on-site establishments.
  • The combinations of allowed volumes (ounces for malt, vinous, and spirits) are designed to balance on-site entertainment with regulatory controls.

If you’d like, I can provide a side-by-side comparison with the current Vermont liquor law, or a brief impact assessment for small producers versus larger vinous beverage manufacturers.

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

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