HB-4360, As Passed House, April 25, 2013

SUBSTITUTE FOR

HOUSE BILL NO. 4360

     A bill to amend 1998 PA 58, entitled

"Michigan liquor control code of 1998,"

(MCL 436.1101 to 436.2303) by adding section 903a.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

     Sec. 903a. (1) A licensee is subject to the licensing

sanctions in subsection (2) if the licensee is convicted or

administratively disqualified as the result of an electronic

transaction to which all of the following apply:

     (a) The transaction is a transaction for food assistance

program benefits.

     (b) The transaction involves an item other than eligible food.

     (c) The transaction is related to the sale of alcoholic liquor

under that licensee's liquor license.

     (2) The commission or a commissioner or duly authorized agent

of the commission designated by the chairperson of the commission

House Bill No. 4360 (H-1) as amended April 23, 2013

shall, upon due notice and proper hearing, impose the following

license sanctions upon a licensee described in subsection (1):

     (a) For a first violation, a license suspension for between 30

and 60 days.

     (b) For a second violation, a license suspension for between

61 and 120 days.

     (c) For a third or subsequent violation, revocation of the

license.

     (3) A licensee aggrieved by a sanction imposed under

subsection (2) may invoke the hearing and appeal procedures of

section 903(2) and rules promulgated under that section.

     (4) As used in this section:

     (a) "Administratively disqualified" means administratively

disqualified from acting as a merchant under the food and nutrition

act of 2008, 7 USC 2011 to 2036a, or 7 CFR 278.6 because the

licensee has engaged in trafficking as that term is defined in 7

CFR 271.2. A licensee is not administratively disqualified until

any administrative or judicial review under 7 CFR 279 is complete.

     (b) "Convicted" means that the licensee either was convicted

of or pled guilty to a crime under section 300a(1)(c) of the

Michigan penal code, 1931 PA 328, MCL 750.300a.

     (c) "Eligible food" means that term as defined in 7 CFR 271.2.

[Enacting section 1. This amendatory act takes effect on the expiration of 90 days after the date it is enacted into law.]