Washington State LCB approves filings to pursue contract-kitchen, advertising rule changes and files trade-practice repeal

The Washington State Liquor and Cannabis Board on March 4 approved three rulemaking filings that advance changes to food-service options for breweries, advertising rules for cannabis retailers and start the process to repeal certain trade-practice rules.

The board approved a request from the director’s office to file a CR102 to implement House Bill 1602, which would allow domestic breweries and microbreweries to subcontract or lease space — including mobile food units — to meet restaurant food-service requirements. Jeff Kildall, policy and rules coordinator in the director’s office, said the proposed changes amend WAC sections to permit leasing or subcontracting kitchen space, set storage and information requirements, and require lease/plan submissions to the LCB; if the CR102 is filed, a public hearing is planned for April 9 and, if adopted on schedule, a final CR103 could be considered at the board’s May meeting with an effective date of June 6, 2026.

The board also approved a CR102 to implement Senate Bill 5206 on cannabis advertising. Kildall said the proposed amendments would expand exterior advertising from two to four signs (subject to a 1,600-square-inch limit), allow two trade-name signs (subject to local sign rules), require age-targeting language on most cannabis advertising, and prohibit ads portraying alcohol, nicotine or motor-vehicle use. A public hearing for that package is scheduled for April 23, with adoption targeted at the May meeting and an intended effective date of June 6, 2026.

Separately, the board approved filing a CR105 to repeal three trade-practice WAC provisions that a 2019 court decision found conflicted with RCW 66.28.170. Daniel Jacobs, policy and rules coordinator, told the board the expedited filing would publish March 18 and open a 45-day window for objections to the use of expedited rulemaking; if no objections are received the director’s office will ask the board to approve a CR103 repeal at the May meeting, at which point the repeal would take effect immediately.

Board member Garrett M. Holmes moved each filing and the chair concurred; the motions were recorded as moved and concurred during the meeting.

Why it matters: the contract-kitchens filing aims to give small breweries more flexibility to meet food-service rules and could affect how breweries partner with food vendors; the advertising changes implement a recent legislative expansion of advertising options while adding age-targeting and content restrictions; and the trade-practice repeal starts an expedited process to remove regulatory language the courts found inconsistent with statute.

The board set public-hearing dates and projected a timeline in which final rule adoption would be considered at the May meeting and, if adopted, the rules would take effect June 6, 2026. The meeting ended with routine closing remarks.