LIQUOR LICENSES FOR CULINARY

ARTS & HOSPITALITY PROGRAMS

House Bill 4744

Sponsor:  Rep. George Darany

Committee:  Regulatory Reform

Complete to 6-14-11

A SUMMARY OF HOUSE BILL 4744 AS INTRODUCED 6-14-11

The bill would amend the Liquor Control Code to allow for the governing board of a community college or university that operates an accredited culinary or hospitality program to obtain a license to sell alcoholic liquor for consumption at the program's location.  The license would be granted to the culinary or hospitality program's location, and as part of the application process, the program must submit documentation proving it is accredited by a regionally recognized accrediting body.  These licenses would not be subject to the quota provisions in Section 531 (MCL 436.1531).

The sale of alcoholic liquor would have to further the community college or university's community or academic mission, and a school would be prohibited from selling liquor for activities that do not do so.  Additionally, sales could only take place at the program's location.  Additionally, a community college or university holding a liquor license is prevented from obtaining a catering permit under Section 547 (MCL 436.1547).

MCL 436.1101 to 436.2303

FISCAL IMPACT:

The bill would increase liquor license revenue by $600 per license, which would be credited to the Liquor Control Commission (41.5%, or $249) for administration, to local governments (55%, or $330) for enforcement of liquor laws, and for alcohol abuse prevention programs (3.5%, or $21). 

According to data from the Workforce Development Agency there are 10 community colleges that offer culinary arts program.[1] Of those programs, Section 513 of the Liquor Control Code already provides a liquor license to the Oakland Community College Culinary Studies Institute.  The bill further limits the granting of a liquor license to those community colleges with accredited culinary programs.  Of those programs, the American Culinary Federation Education Foundation Accrediting Commission (ACFEFAC) lists seven community college culinary arts programs as being accredited.[2]  There don't appear to be any culinary arts programs offered by state universities. 

Additionally, the bill also provides a liquor license to accredited community college or university hospitality programs.  According to the Workforce Development Agency and National Center for Education Statistics data, there are 11 community colleges that offer hospitality management programs.[3]  Additionally, the National Center for Education Statistics data indicates that six universities offer hospitality management programs.[4]  Of these schools, the Accreditation Commission for Programs in Hospitality Administration (ACPHA) lists Eastern Michigan University as being the only Michigan institution with a hospitality program accredited by the commission.[5]  All community colleges and universities are, however, accredited at the institutional level by the Higher Learning Commission.[6]

                                                                                           Legislative Analyst:   Jeff Stoutenburg

                                                                                                  Fiscal Analyst:   Mark Wolf

■ This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.

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