BUY A BARREL OF BEER, SKIP THE PAPERWORK Modernization Efforts Lead to More Streamlined Alcohol Sales
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t’s Friday and a typical ‘Happy Hour’ rush is in full swing, a customer saddles up to the bar and asks to purchase a keg. The bartender silently groans and reluctantly reaches for a stack of forms. “Ugh, here we go again, it’s time to fill out the keg tag,” mutters the bartender under their breath. The beer connoisseur’s brow furrows with bewilderment, as the bartender explains the legacy paperwork requirement that they will need to slog through together. This bartender has heard it all from first-time keg purchasers. “What are these even for?” “Do I really have to say all the beer is going to be consumed at one location?” “Can we drink some at my uncle’s 60th birthday then bring the leftovers to my house?” And of course, “Let me run to my car, I forgot my license plate number.” Ten minutes later, with all the “i’s dotted” and the “t’s crossed,” the bartender slaps a copy of the tag on the side of the barrel and files a copy in a folder that may never see the light of day. But change is coming! Actually, it’s already here… keg tags are a thing of the past. First off, it helps to understand how tags became a part of alcohol regulation in Oregon. Tagging kegs has been an industry requirement since they were first required by Oregon the legislature in 1978. For reference, that year the iconic rock band Van Halen released their first album, Jimmy Carter was in the White House and gas was 65 cents a gallon. The original intent of keg tagging was to create a chain of custody and discourage secondary sales, especially illegal sales to minors. The logic being, if a keg found its way to a house party with minors, it could be traced back to the original purchaser. While this concept was crafted with the best intentions to prevent minors from obtaining large volumes of beer, the reality is, over the years the requirement was in place tags, did not produce the public safety benefit they were designed for. Tags were often found
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Oregon Restaurant & Lodging Association | AUTUMN 2021
ripped off kegs and thrown in the trash. In fact, from a compliance standpoint, local authorities, and the Oregon Liquor & Cannabis Commission (OLCC) could not recall a situation where a keg tag led to a successful case prosecuting someone who had sold a keg of beer to a minor. Now, 43 years later, Van Halen is in the Rock and Roll Hall of Fame and keg tags are officially “no more.” Getting rid of burdensome requirements and modernizing the way in which the OLCC operates was a major theme for the hospitality industry during the 2021 legislative session. In the face of extreme challenges due to COVID, the industry rolled up their sleeves, told their story and persuaded the Oregon legislature to upgrade the alcohol regulations. This resulted in green-lighting investments in OLCC’s facilities and technology. These modernizations should help the agency move away from traditional paper-based processes like keg tags, while streamlining licensing and compliance reporting systems. Removing tags wasn’t the only change that occurred during the 2021 legislative session. As of today, more bars and restaurants can sell packaged beer, wine, and cider to go. Previously, Limited and Full-On Premises licensees were required to obtain an Off-premises license to sell bottles or six packs to go; now they don’t. One other change the legislature made permanent was the ability for restaurants and bars with Full On-Premises licenses to sell cocktails to go! While this year’s legislative session might be over, OLCC will continue its transformation. This fall the agency will carry on with its modernization efforts and business owners are encouraged to participate in those discussions. Restaurant and bar owners should visit the OLCC website to review the details of these and other changes. The OLCC looks forward to working with the Oregon hospitality industry to continue to modernize the agency’s operations and provide greater opportunities for operators. BRYANT HALEY, OLCC
