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Pennsylvania gas stations, grocery stores can get permits to sell High Noon, other "ready-to-drink" cocktails

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PHILADELPHIA (CBS) -- They said there ain't no laws when you're drinking claws, but the rules in Pennsylvania have been historically complicated. State laws have kept some of White Claw's rivals out of gas stations and beer distributors, with them only available in state-run liquor stores.

A new permitting process that begins Tuesday aims to change that, after Gov. Josh Shapiro signed into law two bills expanding where "ready-to-drink cocktails" can be sold (oh, and extending the legal limits on happy hour).

Here's the deal: under the old state laws, spirits like vodka, gin and tequila could only be sold in Fine Wine and Good Spirits stores, run by the Pennsylvania Liquor Control Board. The same went for cocktails containing those spirits.

That created an odd situation for fans of some hard seltzers, a drink market that has exploded in popularity since the COVID-19 pandemic. Beverages like White Claw, which uses alcohol made from fermented sugar — not technically a "spirit" — could be sold at corner stores with a license to sell booze. Drinks like High Noon or Surfside, which are vodka-based, could only be sold in the PLCB's stores.

"Unfortunately, only limited products are currently being offered, and those sales account for less than 2% of shelf space in stores.  As these products continue to grow, they are flooding into neighboring states, while Pennsylvania's selection remains limited," Republican state Sen. Mike Regan, who represents York and Cumberland counties, said in a news release. Regan sponsored Senate Bill 688, which Shapiro later signed into law and discussed in his budget address.

Shapiro touted the improvement for customers when speaking about the newly signed state budget in July.

"Thanks to this budget, you'll be able to get your High Noons and your Statesides, made right here in Pennsylvania, at your local grocery store or your local gas station. That is real freedom right there," Shapiro said.

How the permit process works and when you can buy High Noon, Surfside at grocery stores

Businesses including restaurants, hotels, grocery stores and convenience stores can apply for ready-to-drink cocktail permits starting on Tuesday, Aug. 27. If their permit is granted by the PLCB, sales would be barred from starting until Monday, Sept. 16, the day the law takes effect.

The permit would cover spirit-based cocktails with an alcohol by volume ranging from 0.5% to 12.5% in containers up to 16 ounces. Businesses could sell no more than 192 ounces of ready-to-drink cocktail per sale.

The permit cost includes a $2,500 application fee and an annual renewal fee of 2% of the cost of ready-to-drink cocktails the permitholder buys each year. Applications can be filled out on PLCB+, the agency's licensing platform.

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