Relating to allowing the governing bodies of certain political subdivisions to call for a local option election relating to the sale of alcoholic beverages.

Contracts

• Commercial Leases (Tenants): Review "Permitted Use" clauses immediately. If your lease restricts operations to "dry" uses, negotiate amendments now to allow for alcohol sales contingent on election results.
• Franchise Agreements: Verify if your franchise agreement mandates the sale of all approved products. If the jurisdiction votes "wet," you may be contractually obligated to obtain a liquor license and commence sales immediately.
• Exclusivity Clauses: Landlords must audit anchor tenant leases. Legalization of alcohol in the precinct does not void existing exclusivity rights granted to grocery anchors that prevent new liquor store tenants.

Hiring/Training

• TABC Certification: If the election is successful, staff in affected units must be TABC-certified prior to the commencement of sales (projected Jan 1, 2026).
• Security Protocols: Hospitality operators moving from "private club" to "public sale" models must update security protocols to match open-access liability standards.

Reporting & Record-Keeping

• Permit Applications: Prepare original TABC application packets (ownership structure, bonds, premises maps) *before* the November election. Filing must occur immediately upon election canvassing to avoid processing backlogs.
• Zoning alignment: Verify that current municipal zoning allows for alcohol sales. A successful local option election does not automatically grant a Conditional Use Permit (CUP) for zoning purposes.

Fees & Costs

• Lobbying Reallocation: Redirect budgets previously allocated for petition signature gathering toward direct government relations with City Councils and Commissioners Courts.
• Insurance Premiums: Budget for immediate increases in liability insurance (Dram Shop/Liquor Liability) effective Q1 2026 if the measure passes.