Purpose

To restrict who can receive a brewer taproom license by limiting eligibility based on how much beer or wine a producer makes. The bill adds thresholds that disqualify large producers from obtaining a brewer taproom license through municipalities.

Main provisions

• The bill amends Minnesota Statutes 2024 section 340A.26, subdivision 2 (Prohibition).
• It prohibits a municipality from issuing a brewer taproom license to a brewer seeking the license if:
  • the brewer or someone with an economic interest in the brewer, or someone exercising control over the brewer, is a brewer that brews more than 250,000 barrels of malt liquor per year, or
  • the brewer or someone with an economic interest in the brewer, or someone exercising control, is a winery that produces more than 250,000 gallons of wine per year.
• In short, producers above these production thresholds are ineligible for a brewer taproom license.

Significant changes to existing law

• Adds explicit production-based eligibility limits to the prohibition on issuing a brewer taproom license.
• Creates a clear threshold (250,000 barrels of malt liquor annually or 250,000 gallons of wine annually) that disqualifies large producers, shifting licensing access toward smaller producers or those under these production levels.
• Maintains language about who must meet the restriction (the brewer, anyone with an economic interest, or anyone exercising control).

Practical implications

• Large breweries and large wineries would be barred from obtaining a brewer taproom license in municipalities, potentially affecting direct-to-consumer sales via taprooms for those producers.
• Smaller producers may retain eligibility, potentially increasing opportunities for local or craft-focused operations to operate taprooms.
• Local governments would apply the prohibition when considering brewer taproom licenses.

Relevant Terms brewer taproom license, municipality may not issue, brewer, malt liquor, barrels, 250,000 barrels, winery, wine, gallons, annual production, economic interest, exercising control, Minnesota Statutes 340A.26, subdivision 2, Prohibition