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TITLE 16ECONOMIC REGULATION
PART 3TEXAS ALCOHOLIC BEVERAGE COMMISSION
CHAPTER 41AUDITING
SUBCHAPTER EPRIVATE CLUBS
RULE §41.51Requirements for Permit; Membership

(a) This section does not apply to temporary members or to hotel patrons, as described in Alcoholic Beverage Code §§32.09, 32.10, and 32.11.

(b) To qualify to hold a private club registration permit, a private club must:

  (1) have 50 or more members at all times;

  (2) have a membership committee composed of three or more members of the club and vested with authority by charter, bylaw or regulation to approve or reject membership applications and terminate existing memberships. The governing body of a club, if qualified under this provision, may be the membership committee, and when functioning as such is subject to and governed by all provisions herein relating to the membership committee. When considering a membership application or termination of membership, the membership committee shall keep written minutes showing the meeting date, the names of all committee members present, the name of any person admitted to membership, and the name of any person whose membership was terminated. No minutes are required of any discussion or action regarding a membership application that is denied;

  (3) have, other than charter members, no members except those approved by at least three members of the membership committee at a meeting of such a committee;

  (4) keep a well-bound book in which is shown the following about each member: the full name of the member, the member's initial membership number which shall be issued in sequence, the current complete address of such member, the date such member was admitted to membership, and the date such member was removed from membership. When a member has been removed from membership, the membership number may be reassigned to another member. Additional well-bound books may be used if necessary to record the information required by this paragraph, but all such books shall be kept permanently by the club;

  (5) keep all books, records, and minutes required herein on the premises of the club, and make them available to any representative of the commission upon reasonable notice; and

  (6) maintain in force any bond required and executed by the corporation as principal, if an incorporated club, or by an officer of the club as principal, if an unincorporated club. Such bond shall be executed by a surety company duly authorized and qualified to do business in this state, as surety, in an amount required by rule of the commission payable to the State of Texas conditioned that all fees and taxes owed by such club to the State of Texas shall be paid. Such bond shall be in a form approved by the executive director and the attorney general of Texas.

(c) No membership shall be terminated except by action of the membership committee or by written resignation of the member. Resignation of any member shall be recorded immediately in the minute book of the membership committee and in the records required by subsection (b) of this section.

(d) The executive director may, after notice and hearing, refuse to issue a private club registration permit if the executive director finds that the applicant has failed to comply with any requirement set forth in this subsection.

(e) As provided in the Alcoholic Beverage Code §32.01, alcoholic beverages owned by members of a private club may only be served to and consumed by a member, a member's family, or their guests.

(f) Permittees may access electronically readable information on a driver's license, commercial driver's license, or identification certificate for the purpose of verifying the accuracy of the records required by this rule. Information so accessed may not be retained longer than is reasonably necessary to ensure verification. The information may not be marketed in any manner. Written consent must be obtained from the club member or prospective member when accessing electronically readable information and proof of such consent must be maintained with the permittee's membership records.


Source Note: The provisions of this §41.51 adopted to be effective December 6, 2021, 46 TexReg 8246

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