March 15, 2012, Introduced by Reps. Franz, Bumstead, Nesbitt, Rendon, Opsommer, Yonker, Shirkey, Pettalia, Jacobsen, Kowall and Wayne Schmidt 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 525 (MCL 436.1525), as amended by 2010 PA 279.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
525. (1) Except as otherwise provided
for in this
section, the following license fees shall be paid at the time of
filing applications or as otherwise provided in this act and are
subject to allocation under section 543:
Manufacturers of spirits,
but not including makers,
blenders, and rectifiers of wines containing 21% or less alcohol by
(b) Manufacturers of beer, $50.00 per 1,000 barrels, or
fraction of a barrel, production annually with a maximum fee of
$1,000.00, and in addition $50.00 for each motor vehicle used in
delivery to retail licensees. A fee increase does not apply to a
manufacturer of less than 15,000 barrels production per year.
(c) Outstate seller of beer, delivering or selling beer in
this state, $1,000.00.
(d) Wine makers, blenders, and rectifiers of wine, including
makers, blenders, and rectifiers of wines containing 21% or less
alcohol by volume, $100.00. The small wine maker license fee is
(e) Outstate seller of wine, delivering or selling wine in
this state, $300.00.
(f) Outstate seller of mixed spirit drink, delivering or
selling mixed spirit drink in this state, $300.00.
(g) Dining cars or other railroad or Pullman cars selling
alcoholic liquor, $100.00 per train.
(h) Wholesale vendors other than manufacturers of beer,
$300.00 for the first motor vehicle used in delivery to retail
licensees and $50.00 for each additional motor vehicle used in
delivery to retail licensees.
(i) Watercraft, licensed to carry passengers, selling
alcoholic liquor, a minimum fee of $100.00 and a maximum fee of
$500.00 per year computed on the basis of $1.00 per person per
(j) Specially designated merchants, for selling beer or wine
for consumption off the premises only but not at wholesale, $100.00
each location regardless of
the fact that whether the location
be a is part of a system or chain of merchandising.
(k) Specially designated distributors licensed by the
commission to distribute spirits and mixed spirit drink in the
original package for the commission for consumption off the
premises, $150.00 per year, and an additional fee of $3.00 for each
$1,000.00 or major fraction of that amount in excess of $25,000.00
of the total retail value of merchandise purchased under each
license from the commission during the previous calendar year.
(l) Hotels of class A selling beer and wine, a minimum fee of
, for all bedrooms in excess of 20, $1.00 for each
bedroom in excess of 20, but not more than $500.00
(m) Hotels of class B selling beer, wine, mixed spirit drink,
spirits, a minimum fee of $600.00 and
, for all bedrooms in excess
of 20, $3.00 for each additional
bedroom in excess of 20. If
a hotel of class B sells beer, wine, mixed spirit drink, and
in more than 1 public bar,
the fee entitles the hotel to sell
in only 1 public bar, other than a bedroom, and a license shall
be secured a fee of $350.00
shall be paid for each additional
bar, other than a bedroom.
, the fee for which is $350.00.
(n) Taverns, selling beer and wine, $250.00.
(o) Class C license selling beer, wine, mixed spirit drink,
and spirits, $600.00. Subject to section 518(2), if a class C
licensee sells beer, wine, mixed spirit drink, and spirits in more
than 1 bar, a fee of $350.00 shall be paid for each additional bar.
In municipally owned or supported facilities in which nonprofit
organizations operate concession stands, a fee of $100.00 shall be
paid for each additional bar.
(p) Clubs selling beer, wine, mixed spirit drink, and spirits,
for clubs having 150 or fewer
duly accredited members and
in excess of 150. The membership list
for the purpose only of determining the license fees to be paid
under this subdivision shall be the accredited Clubs shall
a list of members
as determined by
a sworn affidavit 30 days
before the closing of the license year which shall be used only for
determining the license fees to be paid under this subdivision.
This subdivision does not prevent the commission from checking a
membership list and making its own determination from the list or
otherwise. The list of members and additional members is not
required of a club paying the maximum fee. The maximum fee shall
not exceed $750.00 for any 1 club.
(q) Warehousers, to be fixed by the commission with a minimum
fee for each warehouse of $50.00.
(r) Special licenses, a fee of $50.00 per day, except that the
fee for that license or permit issued to any bona fide nonprofit
association, duly organized and in continuous existence for 1 year
before the filing of its application, is $25.00. Not more than 12
special licenses may be granted to any organization, including an
auxiliary of the organization, in a calendar year.
(s) Airlines licensed to carry passengers in this state that
sell, offer for sale, provide, or transport alcoholic liquor,
(t) Brandy manufacturer, $100.00.
(u) Mixed spirit drink manufacturer, $100.00.
(v) Brewpub, $100.00.
(w) Class G-1, $1,000.00.
(x) Class G-2, $500.00.
(y) Motorsports event license, the amount as described and
(z) Small distiller, $100.00.
(aa) Wine auction license, $50,000.00.
(bb) Nonpublic continuing care retirement center license,
(2) The fees provided in this act for the various types of
licenses shall not be prorated for a portion of the effective
period of the license. Notwithstanding subsection (1), the initial
license fee for any licenses issued under section 531(3) or (4) is
$20,000.00. The renewal license fee shall be the amount described
in subsection (1). However, the commission shall not impose the
$20,000.00 initial license fee for applicants whose license
eligibility was already approved on July 20, 2005.
(3) Beginning July 23, 2004, and except in the case of any
resort or resort economic development license issued under section
531(2), (3), (4), or (5) or a license issued under section 521, the
commission shall issue an initial or renewal license not later than
days after the applicant files a completed application.
the The application is considered to be received the date the
is received by any agency or department of
the state of Michigan.
this state. If the commission
determines that an
considered incomplete, by the commission, the
commission shall notify the applicant in writing, or make the
information electronically available, within 30 days after receipt
of the incomplete application, describing the deficiency and
requesting the additional information. The determination of the
of an application
does not operate as is not an
approval of the application for the license and does not confer
eligibility upon an applicant determined otherwise ineligible for
issuance of a license. The 90-day period is tolled for the
following periods under any of the following circumstances:
Notice If notice is sent by the commission of a deficiency
in the application, until the date all of the requested information
is received by the commission.
The For the time period during which required to complete
required by a
other than the applicant or the
completed that include, including,
but are not
limited to, completion of construction or renovation of the
licensed premises; mandated inspections by the commission or by any
state, local, or federal agency; approval by the legislative body
of a local unit of government; criminal history or criminal record
checks; financial or court record checks; or other actions mandated
by this act or rule or as otherwise mandated by law or local
(4) If the commission fails to issue or deny a license within
the time required by this section, the commission shall return the
license fee and shall reduce the license fee for the applicant's
next renewal application, if any, by 15%. The failure to issue a
license within the time required under this section does not allow
the commission to otherwise delay the processing of the
application, and that application, upon completion, shall be placed
in sequence with other completed applications received at that same
time. The commission shall not discriminate against an applicant in
the processing of the application based upon the fact that the
license fee was refunded or discounted under this subsection.
(5) The commission shall, within 14 days after an applicant
files an application under subsection (3), issue a temporary
license to an applicant seeking an initial license for selling
alcoholic liquor for consumption on or off the premises if the
applicant does all of the following:
(a) Submits a completed temporary license application to the
(b) Provides proof to the commission that the applicant is not
disqualified from holding a license under this act.
(6) The commission may, at any time during the temporary
license period under subsection (5), deny an application for
licensure if it determines the applicant is not qualified or if the
commission denies the applicant's initial license under this
(5) Beginning October 1, 2005, the The chair
commission shall submit a report by December 1 of each year to the
standing committees and appropriations subcommittees of the senate
and house of representatives concerned with liquor license issues.
The chair of the commission shall include all of the following
information in the report concerning the preceding fiscal year:
(a) The number of initial and renewal applications the
commission received and completed within the 90-day time period
described in subsection (3).
(b) The number of applications denied.
(c) The number of applicants not issued a license within the
90-day time period and the amount of money returned to licensees
under subsection (4).
As used in this section,
"completed application" means
an application complete on its face and submitted with any
applicable licensing fees as well as any other information,
records, approval, security, or similar item required by law or
rule from a local unit of government, a federal agency, or a
private entity but not from another department or agency of the
state of Michigan.