On September 16, 2024 a new law went into effect that can be a key to expanding your business – but with it comes some strict new precautions and responsibilities.
This article will help you understand this new law and the regulations you must follow to protect your business while taking advantage of this exciting new opportunity.
Let’s get started.
What is it?
Act 86 allows Pennsylvania restaurant, hotel, distributor, and importing distributor licensees to sell ready-to-drink cocktails (RTDC) to go. It also details the age verification technology required to be compliant with this new act.
What Are Ready-to-Drink Cocktails?
Ready-to-drink cocktails are pre-mixed alcoholic drinks that come in cans or bottles.
Think of them as your favorite bar cocktails packaged like a soda.
Popular examples include:
- High Noon (vodka and fruit juice)
- Crown Royal Canned Cocktails (whiskey-based drinks)
- Bacardi Canned Cocktails (rum-based drinks)
- Ranch Water (tequila, lime, and sparkling water)
- Cutwater Spirits (various cocktails like Margaritas and Moscow Mules)
What’s Changing Under Act 86?
Stores with RTDC permits can now sell pre-mixed cocktails that meet these specific requirements:
- Made with distilled liquor and other nonalcoholic liquids
- Must be pre-mixed by the manufacturer
- Packaged in containers of 16 ounces or less
- Contains between 0.5% and 12.5% alcohol
- Cannot include wine, malt, or brewed beverages
The sales rules are as follows for RTDC (as stated in the legislation):
- Restaurant and hotel licensees with RTDC permits can sell up to 192 ounces in a single sale
- Sales must occur at a specifically designated area of the licensed premises
- Distributors and importing distributors with permits can sell in any quantity in original containers
Required ID Checking: What the Law Says & Why ID Scanners Are Now Essential
The new law comes with strict ID verification standards. If you want to sell these drinks, retailers must:
- Use an ID scanner (transaction scan device) for anyone who appears to be under 35 years old
- Have a trained cashier (18 or older) at the register
- Keep legitimate records of all sales
- Follow all RAMP (Responsible Alcohol Management Program) rules
This new legislation supports what we’ve known for a while now – manual ID checks aren’t enough anymore.
The law specifically requires “transaction scan devices” because they protect you, your business, your employees and your license by:
- Instantly checking the validity of an ID
- Automatically calculating a person’s age
- Keeping digital records of every scan
- Helping to prove you’re following the law
- Protecting against costly mistakes
Now that RTDC with alcohol content lower than 12.5% ABV can be sold in various retailers, business owners need to improve their ability to quickly and effectively verify a person’s age.
Costs of Not Complying
Getting caught selling to minors could:
- Cost you your new RTD cocktail permit
- Lead to heavy fines
- Put your business license at risk
- Result in legal trouble
Failure to appropriately verify a person’s age can lead to:
- Fines
- Being placed on the Alcohol Beverage Control’s “Watch list”
- In cases with multiple violations, suspension of liquor/tobacco/vape, etc. licenses.
What to Look for in an ID Scanner
The bottom line is you must use a scanning device if you are going to add this new revenue stream to your business.
When vetting possible age verification technology vendors, look for a scanner that:
- Scans all US driver’s licenses, state IDs, military IDs and passports
- Gives instant age verification
- Securly stores records
- Updates automatically with new ID security features
- Works quickly during busy hours
- Product warranties and dedicated support
- Stationary and handheld product options
- Offers features like a customer management system and cloud sync opportunities
Next Steps for Business Owners
To comply with Pennsylvania’s Act 86 legislation, retailers must:
- Apply for and obtain your RTD cocktail permit from the Pennsylvania Liquor Control Board ($2,500 application fee).
- Receive RAMP certification including:
- Complete training for owners/managers and servers/sellers
- Orientation for new employees
- Display responsible alcohol service signage
- Use an approved ID scanner
- Set up your designated RTDC sales area
- RTD cocktails should be stored in a non-contiguous area that’s inaccessible to the public.
- Storage areas should be locked at all times.
- Start keeping required records
The Bottom Line
The new ready-to-drink cocktail law opens up exciting sales opportunities – but only for businesses that take ID checking seriously.
Under this new bill, around 12,000 bars, beer distributors, convenience stores, restaurants, and grocery stores already licensed to sell alcohol can obtain a special permit to sell RTDC.
If you need help choosing the right ID scanner for your business, please contact us to learn about solutions that meet all of Pennsylvania’s new requirements.
Find the Right ID Scanner for Your Business
From mobile to stationary scanners, fake ID detection, and a customer management system, we have everything you need to streamline your ID verification process and protect your business.
Explore our age verification technology and fit the right ID scanner for you.