Indiana Augments 30,000 Barrel Limit for Non-Indiana-Ruled Brewers
30,000 barrels of beer is the present limit for a Brewer’s permit under the Indiana Code if the Brewer isn’t in a partnership where all partners are residents of Indiana, limited liability company where all the members are residents of Indiana or a corporation organized under Indiana law with a charter that grants authority to manufacture or sell beer:
IC 7.1-3-2-2
Persons eligible for permits
Sec. 2. (a) Except as provided in subsection (b), the commission may issue a brewer’s permit only to:
(1) an individual;
(2) a partnership, all the partners of which are bona fide residents of Indiana;
(3) a limited liability company, all the members of which are bona fide residents of Indiana; or
(4) a corporation organized and existing under the laws of Indiana and having authority under its charter to manufacture or sell beer.
(b) The commission may issue a brewer’s permit to a brewer for a brewery that manufactures not more than thirty thousand (30,000) barrels of beer in a calendar year to:
(1) an individual;
(2) a partnership organized and existing under the laws of Indiana;
(3) a limited liability company organized and existing under the laws of Indiana; or
(4) a corporation organized and existing under the laws of Indiana.
With the advent of the recent push by Indiana to attract businesses from other states, playfully called “Illinoyed” because it’s targeted at Illinois companies – the 30,000 limit may soon be augmented.
The Indiana House has introduced and passed House Bill 1054 which has been amended and confirmed by both the Senate and the House and was signed by the Indiana Speaker and the Indiana President Pro Tempore. House Bill 1054 – now an enrolled act, changes the 30,000 barrel limit to a limit that only applies the barrels sold in Indiana. Those Brewer’s previously limited to 30,000 would be allowed to make more than 30,000 barrels so long as the amount over 30,000 is sold or distributed outside Indiana:
SECTION 1. IC 7.1-3-2-2, AS AMENDED BY P.L.186-2011, SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2012]: Sec. 2. (a) Except as provided in subsection (b), The commission may issue a brewer’s permit for a brewery that manufactures more than thirty thousand (30,000) barrels of beer in a calendar year for sale or distribution within Indiana. The commission may issue a permit under this subsection only to:
(1) an individual;
(2) a partnership, all the partners of which are bona fide residents of Indiana;
(3) a limited liability company, all the members of which are bona fide residents of Indiana; or
(4) a corporation organized and existing under the laws of Indiana and having authority under its charter to manufacture or sell beer.
The permit does not limit the number of barrels of beer in a calendar year that the brewer may manufacture for sale or distribution outside Indiana.
(b) The commission may issue a brewer’s permit to a brewer for a brewery that manufactures not more than thirty thousand (30,000) barrels of beer in a calendar year for sale or distribution within Indiana. The commission may issue a permit under this subsection only to:(1) an individual;
(2) a partnership organized and existing under the laws of Indiana;
(3) a limited liability company organized and existing under the laws of Indiana; or
(4) a corporation organized and existing under the laws of Indiana.
The permit does not limit the number of barrels of beer in a calendar year that the brewer may manufacture for sale or distribution outside Indiana.
So those of you worried about establishing a brewery in Indiana based on the brewing limits the state imposed because you weren’t wholly owned or controlled by its citizens may soon breathe a sigh of relief and start planning your Indiana ventures.
