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Board files CR-102 to implement HB 1701 allowing liquor license premises leasing
Summary
The board voted to file a CR-102 implementing HB 1701 to allow liquor licensees to lease separate spaces (including kitchen space) to other liquor licensees; staff outlined required lease submissions, definitions, and a public hearing set for Aug. 12.
The Washington State Liquor and Cannabis Board on July 1 voted to file a CR-102 to implement 2nd substitute House Bill 1701, a law that permits liquor licensees to lease separate real or personal property to other liquor licensees while continuing operations.
Daniel Jacobs, speaking for the director's office, said the proposed rule package would create a new rule (WAC 314.02.006) defining terms such as lessor, lessee and lease, and amend two existing rules to clarify that leasing property to other liquor licensees is allowed. He said the rule would require submission of lease agreements to the LCB, require licensees who lease kitchen space to secure liquor, and make clear that contract-kitchen rules still apply. Jacobs also noted the proposed CR-102 opens a public comment period until Aug. 12 and a public hearing scheduled for that date.
Board member Ali moved to approve filing the CR-102; Pete seconded and the board voted 3-0 to proceed. Jacobs said staff would return to request final rule adoption at the September meeting following the public hearing and comment period.
