UNLIMITED LIQUOR/MULTIPLE DRINKS                                                             S.B. 271:

                                                                                  SUMMARY OF INTRODUCED BILL

                                                                                                         IN COMMITTEE

 

 

 

 

 

 

 

 

 

Senate Bill 271 (as introduced 4-16-15)

Sponsor:  Senator Wayne Schmidt

Committee:  Regulatory Reform

 

Date Completed:  4-22-15

 


CONTENT

 

The bill would amend the Michigan Liquor Control Code to do the following:

 

 --    Prohibit the sale of an unlimited quantity of alcohol at a specific price, except in connection with a private function.

 --    Prohibit the sale of two or more identical alcoholic drinks at one price.

 

The bill would take effect 90 days after its enactment.

 

Unlimited Quantity

 

The bill would prohibit an on-premises licensee from selling, offering to sell, or advertising the sale of an unlimited quantity of alcoholic liquor at a specific price, unless the sale, offer, or advertisement was in connection with a private function.

 

The bill would define "private function" as an event that meets all of the following conditions:

 

 --    It is a prearranged private party, function, or event for a specific social or business occasion.

 --    It is only by invitation or reservation.

 --    It is not open to the general public.

 --    The guests are served in an outdoor service area or room that is designated and used exclusively for the event.

 

Multiple Drinks

 

The bill would prohibit a licensee from selling, offering to sell, or advertising the sale of two or more identical drinks containing alcoholic liquor to an individual for his or her consumption for one price. If two or more such drinks were served to a person at one time, the price charged for the second and each additional drink would have to be the same as the price charged for the first drink.

 

Proposed MCL 436.2014                                            Legislative Analyst:  Patrick Affholter

 

FISCAL IMPACT

 

The bill would have a minor, but likely negative fiscal impact on the Michigan Liquor Control Commission (MLCC) within the Department of Licensing and Regulatory Affairs, as well as on local units of government. By prohibiting the sale of two or more alcoholic beverages at a single price for on-premises consumption, the bill would introduce minor ongoing enforcement


costs to both local law enforcement departments and the MLCC, as well as initial costs related to changes in agency procedures.  In total, the costs related to enforcement of the bill would likely be minor.  Both the MLCC and local law enforcement departments have dedicated resources for the enforcement of the Michigan Liquor Control Code, which are derived from annual license fees paid by establishments that sell alcoholic beverages; these resources would likely be used to cover new costs introduced under the bill.

 

                                                                                        Fiscal Analyst:  Josh Sefton

 

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.