HB-4641, As Passed House, November 29, 2006

SUBSTITUTE FOR

HOUSE BILL NO. 4641

[A bill to amend 1998 PA 58, entitled

"Michigan liquor control code of 1998,"

by amending sections 513 and 541 (MCL 436.1513 and 436.1541), section 513

as amended by 2004 PA 141 and section 541 as amended by 2006 PA 253, and

by adding sections 413 and 526.]

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

Sec. 413. Notwithstanding any provision of this act or rule

promulgated under this act, a licensed brewpub, microbrewer, or

brewer may directly sell to a holder of a special license issued

under section 526, for the purpose of conducting a beer festival, a

quantity of beer determined appropriate by the commission for the

purpose of participating in a beer festival.

     Sec. 513. (1) The commission may issue to the governing board

of a college or university, without regard to the quota provisions

of section 531, a license to sell alcoholic liquor for consumption

on the premises of a conference center operated by the governing

board. Licenses granted under this subsection may be used only for

the sale of alcoholic liquor at regularly scheduled conference

center activities. The sale of alcoholic liquor to unscheduled

patrons or at unscheduled events is prohibited under this

subsection.

     (2) Subject to the provisions of section 531, the commission

may issue a license to a private entity for the sale of alcoholic

liquor for consumption on the premises of a hotel located on land

owned by central Michigan university if both of the following

circumstances exist:

     (a) The land is leased or subleased at fair market value to a

private entity that owns, leases, or subleases the hotel building

and its fixtures.

     (b) The hotel and land are located within an industrial,

research, or commercial development park established by the

governing board of central Michigan university.

     (3) Licenses issued pursuant to this section are

nontransferable, and the licensee shall pay the fee required under

section 525.

     (4) As used in this section:

     (a) "College" or "university" means a 2-year or 4-year state

supported institution of higher education.

     (b) "Conference center" means a building or portion of a

building, other than a student residence hall or student center,

which has meeting rooms, banquet areas, social halls, overnight

accommodations, and related facilities for special activities

scheduled by the college or university, which in the judgment of

the commission, has been regularly used for conferences and lodging

of guests. The convocation center and the corporate education

center at eastern Michigan university, the Kirkhof and Eberhard

centers at Grand Valley state university, the Bernhard center at

western Michigan university, the Wadsworth center at Michigan

technological university, the West complex at Saginaw Valley state

university, the conference center at Big Rapids, the applied

technology center at Grand Rapids and the FSU-GR conference center

of Ferris state university, Grand Rapids junior college, the

Waterman campus center at Schoolcraft college, the Mendel center at

Lake Michigan community college, the McGregor memorial conference

center at Wayne state university, the Michigan state university

management educational center, the Superior dome at northern

Michigan university, Walker Cisler center at Lake Superior state

university, the Marie Prahl college center at Mott community

college, the John T. Parsons and Frank L. Stulen Michigan technical

education center, the Gerald and Frances Oleson center, the Dennos

museum center, and the Great Lakes campus at northwestern Michigan

college,  and the farmhouse at Delta college, and the Oakland

community college culinary studies institute are considered

conference centers for the purposes of this act.

Sec. 526. (1) The commission may issue a special license under

this section to any organization conducting a beer festival. The

application shall conform to the following:

     (a) Be submitted by a nonprofit entity composed primarily of

House Bill No. 4641 (H-4) as amended November 29, 2006  (1 of 2)

brewers, microbrewers, and brewpubs, as determined by the

commission.

     (b) Involve an event having for its primary purpose the

showcasing of beer and its production.

     (c) Be accompanied by a fee of $25.00 per event.

     (2) The special license shall not allow more than 5 events per

calendar year conforming to the prescriptions of subsection (1).

     (3) A holder of a special license issued under this section

may buy a quantity of beer, as determined appropriate under the

circumstances by the commission, directly from any licensed

brewpub, microbrewer, or brewer for consumption only at the

licensed event.

     (4) As used in this section and section 413, "beer festival"

means an event at which the various types and kinds of beer and the

production of that beer are showcased to the general public and at

which the general public can purchase and sample the beer being

showcased for consumption on the licensed premises.

[Sec. 541. (1) The commission shall not prohibit an applicant for or the holder of a specially designated distributor license or specially designated merchant license from owning or operating motor vehicle fuel pumps on or adjacent to the licensed premises, if both of the following conditions are met:

    (a) One or both of the following conditions exist:

    (i) The applicant or licensee is located in a neighborhood shopping center composed of 1 or more commercial establishments organized or operated as a unit which is related in location, size, and type of shop to the trade area that the unit serves, which provides not less than 50,000 square feet of gross leasable retail space, and which provides 5 private off-street parking spaces for each 1,000 square feet of gross leasable retail space.

    (ii) The applicant or licensee maintains a minimum inventory on the premises, excluding alcoholic liquor and motor vehicle fuel, of not less than $250,000.00, at cost, of those goods and services customarily marketed by approved types of businesses.

    (b) The site of payment and selection of alcoholic liquor is not less than 50 feet from that point where motor vehicle fuel is dispensed.

    (2) The commission shall not prohibit an applicant for or the holder of a specially designated distributor license or specially designated merchant license from owning or operating motor vehicle fuel pumps on or adjacent to the licensed premises, if all of the following conditions are met:

    (a) The applicant is located in a township with a population of 7,000 or less, which township is not contiguous with any other township. For purposes of this subdivision, a township is not considered contiguous by water.

    (b) The applicant or licensee maintains a minimum inventory on the premises, excluding alcoholic liquor and motor vehicle fuel, of not less than $12,500.00 at cost, of those goods and services customarily marketed by approved types of businesses.

    (c) The applicant has the approval of the township, as evidenced by a resolution duly adopted by the township and submitted with the application to the commission.

    (3) The commission shall not prohibit an applicant for or the holder of a specially designated merchant license from owning or operating motor vehicle fuel pumps on or adjacent to the licensed premises if both of the following conditions are met:

    (a) The applicant or licensee is located in either of the following:

    (i) A city, incorporated village, or township with a population of 3,500 or less and a county with a population of 31,000 or more.

    (ii) A city, incorporated village, or township with a population of 4,000 or less and a county with a population of less than 31,000.

    (b) The applicant or licensee maintains a minimum inventory on the premises, excluding alcoholic liquor and motor vehicle fuel, of not less than $10,000.00, at cost, of those goods and services customarily marketed by approved types of businesses.

    (4) The commission shall not prohibit an applicant for or the holder of a specially designated distributor license from owning or operating motor vehicle fuel pumps on or adjacent to the licensed premises if both of the following conditions are met:

    (a) The applicant or licensee is located in either of the following:

    (i) A city, incorporated village, or township with a population of  3,000  3,500 or less and a county with a population of 31,000 or more.

    (ii) A city, incorporated village, or township with a population of  3,500  4,000 or less and a county with a population of less than 31,000.

    (b) The applicant or licensee maintains a minimum inventory on the premises, excluding alcoholic liquor and motor vehicle fuel, of not less than $12,500.00, at cost, of those goods and services customarily marketed by approved types of businesses.

    (5) A person who was issued a specially designated merchant license or specially designated distributor license at a location at which another person owned, operated or maintained motor vehicle fuel pumps at the same location may have or acquire an interest in the ownership, operation or maintenance of those motor vehicle fuel pumps.

     (6) The commission may transfer ownership of a specially designated merchant license or specially designated distributor license to a person who owns or is acquiring an interest in motor vehicle fuel pumps already in operation at the same location at which the license is issued.]