Bill Text: MI SB1164 | 2017-2018 | 99th Legislature | Introduced
Bill Title: Liquor; other; provision related to classes of vendors permitted to sell alcoholic liquor at retail; modify. Amends sec. 537 of 1998 PA 58 (MCL 436.1537). TIE BAR WITH: SB 1154'18, SB 1155'18, SB 1156'18, SB 1159'18, SB 1160'18, SB 1161'18, SB 1165'18, SB 1166'18
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2018-12-21 - Assigned Pa 0413'18 With Immediate Effect [SB1164 Detail]
Download: Michigan-2017-SB1164-Introduced.html
SENATE BILL No. 1164
November 8, 2018, Introduced by Senator WARREN and referred to the Committee on Regulatory Reform.
A bill to amend 1998 PA 58, entitled
"Michigan liquor control code of 1998,"
by amending section 537 (MCL 436.1537), as amended by 2018 PA 40.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 537. (1) The following classes of vendors may sell
alcoholic liquor at retail as provided in this section:
(a) Taverns, where beer and wine may be sold for consumption
on the premises only.
(b) Class C licensee, where beer, wine, mixed spirit drink,
and spirits may be sold for consumption on the premises.
(c) Clubs, where beer, wine, mixed spirit drink, and spirits
may be sold for consumption on the premises only to bona fide
members
where if consumption is limited to these members and their
bona fide guests, who are 21 years of age or older.
(d) Direct shippers, where wine may be sold and shipped
directly to the consumer.
(e) Hotels of class A, where beer and wine may be sold for
consumption on the premises and in the rooms of bona fide
registered guests. Hotels of class B where beer, wine, mixed spirit
drink, and spirits may be sold for consumption on the premises and
in the rooms of bona fide registered guests.
(f) Specially designated merchants, where beer and wine may be
sold for consumption off the premises only.
(g) Specially designated distributors, where spirits and mixed
spirit drink may be sold for consumption off the premises only.
(h) Special licensee, where beer and wine or beer, wine, mixed
spirit drink, and spirits may be sold for consumption on the
premises only.
(i) Dining cars or other railroad or Pullman cars, watercraft,
or aircraft, where alcoholic liquor may be sold for consumption on
the premises only, subject to rules promulgated by the commission.
(j) Brewpubs, where beer manufactured on the premises by the
licensee may be sold for consumption on or off the premises by any
of the following licensees:
(i) Class C.
(ii) Tavern.
(iii) Class A hotel.
(iv) Class B hotel.
(k)
Micro brewers and brewers, where beer produced
manufactured by the micro brewer or brewer may be sold in an
approved tasting room under section 536 to a consumer for
consumption
on or off the brewery manufacturing
premises.
(l) Class G-1 licensee, where beer, wine, mixed spirit drink,
and spirits may be sold for consumption on the premises only to
members required to pay an annual membership fee and consumption is
limited to these members and their bona fide guests.
(m) Class G-2 licensee, where beer and wine may be sold for
consumption on the premises only to members required to pay an
annual membership fee and consumption is limited to these members
and their bona fide guests.
(n) Motorsports event licensee, where beer and wine may be
sold for consumption on the premises during sanctioned motorsports
events only.
(o)
Wine maker , or
small wine maker, where wine manufactured
by the wine maker or small wine maker may be sold by direct
shipment as provided in section 203, at retail on the licensed
premises,
and as provided for in subsections (2) and (3).for
consumption on or off the premises in an approved tasting room
under section 536, or as otherwise provided for in this act.
(p) Small wine maker, where wine bottled by the small wine
maker may be sold by direct shipment as provided in section 203, at
retail for consumption on or off the premises in an approved
tasting room under section 536, or as otherwise provided for in
this act.
(q) Wine maker or small wine maker, where shiners as that term
is defined in section 111(10) may be sold by direct shipment as
provided in section 203, at retail for consumption on or off the
premises in an approved tasting room under section 536, or as
otherwise provided for in this act.
(r) (p)
Small Distiller or small distiller, selling not more
than
60,000 gallons of where spirits manufactured by that licensee
the distiller or small distiller may be sold to the consumer at
retail
for consumption on or off the licensed premises in the
manner
provided for in section 534.for
consumption on or off the
premises in an approved tasting room under section 536.
(s) (q)
Nonpublic continuing care
retirement center license,
where beer, wine, mixed spirit drink, mixed wine drink, and spirits
may be sold at retail and served on the licensed premises to
residents and bona fide guests accompanying the resident for
consumption only on the licensed premises.
(t) (r)
A small wine maker or an
out-of-state entity that is
the substantial equivalent of a small wine maker, that holds a
farmer's market permit, where wine manufactured or bottled by the
small wine maker and shiners as that term is defined in section
111(10)
may be sampled and sold at a farmer's
farmers' market for
consumption off the licensed premises.
(u) A brandy manufacturer where brandy manufactured by the
brandy manufacturer may be sold at retail for consumption on or off
the premises in an approved tasting room under section 536 located
on the manufacturing premises of the brandy manufacturer.
(v) A mixed spirit drink manufacturer where mixed spirit drink
manufactured by the mixed spirit drink manufacturer may be sold at
retail for consumption on or off the premises in an approved
tasting room under section 536.
(2)
A wine maker may sell wine made by that wine maker in a
restaurant
for consumption on or off the premises if the restaurant
is
owned by the wine maker or operated by another person under an
agreement
approved by the commission and located on the premises
where
the wine maker is licensed.
(3)
A wine maker, with the prior written approval of the
commission,
may conduct wine tastings of wines made by that wine
maker
on the premises where the wine maker is licensed to
manufacture
wine. The wine maker may charge for the samples.
(4)
A wine maker, with the prior written approval of the
commission,
may conduct wine tastings of wines made by that wine
maker
and may sell the wine made by that wine maker for consumption
off
the premises at a location other than the premises where the
wine
maker is licensed to manufacture wine, under the following
conditions:
(a)
The premises on which the wine tasting occurs conform to
local
and state sanitation requirements.
(b)
Payment of a $100.00 fee per location is made to the
commission.
(c)
The wine tasting locations are considered licensed
premises,
and the wine maker may include a charge for the samples.
(d)
The wine tasting takes place during the legal hours for
the
sale of alcoholic liquor by the licensee.
(e)
The premises and the licensee comply with and are subject
to
all applicable rules promulgated by the commission.
(2) (5)
Notwithstanding section 1025(1), an
outstate seller of
beer, an outstate seller of wine, a wine maker, a brewer, a micro
brewer, or a specially designated merchant, or an agent of any of
those persons, that does not hold a license allowing the
consumption of alcoholic liquor on the premises at the same
licensed address, may conduct beer and wine tastings on the
licensed premises of a specially designated merchant under the
following conditions:
(a) A customer is not charged for the tasting of beer or wine.
(b) The tasting samples provided to a customer do not exceed 3
servings at up to 3 ounces per serving of beer or 3 servings at up
to 2 ounces of wine. A customer shall not be provided more than a
total of 3 samples of beer or wine within a 24-hour period per
licensed premises.
(c) The specially designated merchant, outstate seller of
beer, outstate seller of wine, wine maker, micro brewer, or brewer
has first obtained an annual beer and wine tasting permit approved
by the commission.
(d) The commission is notified, in writing, a minimum of 10
working days before the event, regarding the date, time, and
location of the event.
(3) (6)
During the time While a beer or wine tasting is
conducted
under subsection (5), (2),
a specially designated
merchant, outstate seller of beer, outstate seller of wine, wine
maker, micro brewer, or brewer, or its agent or employee who has
successfully completed a server training program as provided for in
section 906, shall devote full time to the beer and wine tasting
activity and shall not perform other duties, including the sale of
alcoholic liquor for consumption off the licensed premises. Beer
and wine used for the tasting must come from the specially
designated merchant's inventory, and all open bottles must be
removed from the premises on the same business day or resealed and
stored in a locked, separate storage compartment on the licensed
premises when not being used for the activities allowed by the
permit.
(4) (7)
A wholesaler shall not conduct or
participate in beer
and wine tastings allowed under a permit issued under subsection
(5).(2).
(5) (8)
A beer and wine tasting under
subsection (5) (2) may
only be conducted during the legal hours for the sale of alcoholic
liquor by the licensee.
(9)
A brandy manufacturer or small distiller, with the prior
written
approval of the commission, may conduct tastings of brandy
and
spirits made by that brandy manufacturer or small distiller and
may
sell the brandy and spirits made by that brandy manufacturer or
small
distiller for consumption off the licensed premises at a
location
other than the licensed premises where the brandy
manufacturer
or small distiller is licensed to manufacture brandy
or
spirits under the following conditions:
(a)
The premises on which the brandy and spirits tastings
occur
conform to local and state sanitation requirements.
(b)
The brandy manufacturer or small distiller pays the
commission
a $100.00 fee per location.
(c)
The brandy and spirits tasting locations are considered
licensed
premises.
(d)
The brandy and spirits tasting takes place during the
legal
hours for the sale of alcoholic liquor by the licensee.
(e)
The premises and the license comply with and are subject
to
all applicable rules promulgated by the commission.
(6) (10)
An eligible merchant may fill and
sell growlers with
beer for consumption off the premises under the following
conditions:
(a) The premises where the filling of growlers takes place
comply with the requirements for food service establishments under
the food law, 2000 PA 92, MCL 289.1101 to 289.8111.
(b) The growler is sealed and has a label affixed to it that
includes at least the brand name of the beer, the class of the
beer, the net contents of the container, and the name of the
retailer filling the growler. The label conditions described in
this subdivision do not apply to either of the following:
(i) A brewpub described in subsection (1)(j), but only as to
beer that the brewpub produces.
(ii) A micro brewer or brewer described in subsection (1)(k).
(c) The eligible merchant or his or her agent or employee
shall not fill a growler in advance of the sale.
(d) The eligible merchant or his or her agent or employee
shall only use containers that have a capacity of 5 gallons or more
to fill a growler.
(e) The beer to be dispensed has received a registration
number from the commission and has been approved for sale by the
commission.
(f) The eligible merchant complies with all applicable rules
promulgated by the commission.
(7) (11)
As used in this section:
(a) "Eligible merchant" means a person that holds a specially
designated merchant license.
(b) "Growler" means any clean, refillable, resealable
container that is exclusively intended, and used only, for the sale
of beer for consumption off the premises and that has a liquid
capacity that does not exceed 1 gallon.
Enacting section 1. This amendatory act does not take effect
unless all of the following bills of the 99th Legislature are
enacted into law:
(a) Senate Bill No. 1154.
(b) Senate Bill No. 1165.
(c) Senate Bill No. 1160.
(d) Senate Bill No. 1159.
(e) Senate Bill No. 1166.
(f) Senate Bill No. 1155.
(g) Senate Bill No. 1161.
(h) Senate Bill No. 1156.