Notice of Modification to Text of Proposed Regulations

Pursuant to the requirements of Government Code section 11346.8(c), and section 44 of Title 1 of the California Code of Regulations, the Department of Alcoholic Beverage Control is providing notice of changes that have been made to the text of the proposed addition of Title 4 of the California Code of Regulations Title 4 section 70.

The proposal to update California Code of Regulations Title 4 section 70 was originally noticed to the public on September 16, 2022. The proposed regulation had a 45-day comment period that ended at 5:00 pm on November 1, 2022. A public hearing was also held on November 1, 2022. Specifically, the Department of Alcoholic Beverage Control has made the following changes to the proposed regulations:

1. Clarifying the intent of the regulation by specifying that licensing of non-contiguous areas is intended for spaces that are operating as an extension of the main licensed area and not operating independently from the primary licensed area.
2. Clarifying the language describing beverages passing between a primary licensed area and non-contiguous areas.
3. Modifying the definition of “open and operating” by specifying that this regulation applies at all times during which the licensed premises is open to patrons for the purpose of receiving services and stating that non-contiguous areas are not necessarily open during all times that the main licensed premises is open and operating.
4. Modifying the definition of “actively monitored” by requiring that all non-contiguous areas be monitored in a manner that allows patron conduct to be readily discernable. Changes to this definition also allow licensees more options to comply with the requirement to actively monitor the non-contiguous licensed area.
5. Clarifying language by replacing the word “observation” with “actively monitored.”
6. Eliminating language that requires an employee or agent of a licensee to deliver alcoholic beverages to patrons seated within a non-contiguous area.
7. Adding language authorizing persons to traverse between the main licensed area and a non-contiguous area in possession of an open alcoholic beverage container if allowed by local law but not authorizing persons to consume alcoholic beverages in unlicensed areas.
8. Adding requirements for posting signs in connection with licensure of non-contiguous areas.
9. Clarifying the types of licensees that may utilize a shared consumption area.
10. Clarifying language limiting the administrative responsibility of licensees if a non-contiguous area may be accessed by the public while the non-contiguous area is not being utilized by the licensee.
11. Removing language preventing a dispensing point located within a non-contiguous area.
12. Adding language to allow for and regulate an approved bar or dispensing point located within the non-contiguous area.
13. Adding language that clarifies licensing procedures. This includes addressing possible operating conditions, noticing the public, and appropriate posting of notice required by law.

The necessity of each of these changes will be explained in the Final Statement of Reasons to be submitted at the close of this rulemaking record and the Response to Comments attached.

A copy of the full text of the regulation with the proposed changes indicated is attached for your review. Additions to the originally proposed language appear in italic underlined text and deletions are shown in strikethrough.

Any interested person may submit a written statement relating to the modified language during the public comment period from January 25, 2023 to March 13, 2023. The written comment period will close at 12:00 p.m. on March 13, 2023. Submit written comments to:

The Department of Alcoholic Beverage Control
3927 Lennane Drive, Suite 100
Sacramento, CA 95834

Attention: Law and Policy Unit

Comments may also be submitted by email to rpu@abc.ca.gov.

All written comments received by the Department of Alcoholic Beverage Control by 12:00 p.m. March 13, 2023, which pertain to the indicated changes, will be reviewed and responded to by the Department’s staff as part of the compilation of the rulemaking file. Please limit your comments to the proposed modifications to the text which will appear in double underline bold or in double strikethrough.

Questions concerning the changes to the proposed regulatory action may be addressed to the agency representative, Robert de Ruyter, Assistant General Counsel, (916) 419-8958, (designated backup contact) Sarah Easter, Associate Governmental Program Analyst, Law and Policy Unit, (916) 823-1310 or via email at rpu@abc.ca.gov.