ALCOHOLIC BEVERAGE MANUFACTURERS                                   H.B. 4960 & 4961 (H-4):

                                                                                                    SUMMARY OF BILL

                                                                                     REPORTED FROM COMMITTEE

House Bill 4960 (as reported without amendment)

House Bill 4961 (Substitute H-4 as reported without amendment)

Sponsor:  Representative Rebekah Warren (H.B. 4960)

               Representative Beth Griffin (H.B. 4961)

House Committee:  Regulatory Reform

                             Ways and Means

Senate Committee:  Regulatory Reform

CONTENT

House Bill 4960 would amend the Michigan Liquor Control Code to define "financial records".

House Bill 4961 (H-4) would amend the Michigan Liquor Control Code to prohibit manufacturers from requiring, requesting, or prohibiting certain actions of wholesalers, and to prescribe penalties for manufactures who violated the bill's provisions.

MCL 436.1107 (H.B. 4960)                                       Legislative Analyst:  Drew Krogulecki

Proposed MCL 436.1608 (H.B. 4961)

FISCAL IMPACT

House Bill 4960 would have no fiscal impact on State or local government.

House Bill 4961 (H-4) would have an indeterminate fiscal impact on State government and no fiscal impact on local government. Under the bill, a manufacturer who violated its provisions could be ordered to pay a civil fine. A first violation could result in a civil fine of up to $1,000 and a second violation could result in a civil fine of up to $2,000. Subsequent violations could result in civil fines of up to $5,000 each. The amount of revenue collected would depend on the number of manufacturers who violated the bill's provisions and the magnitude and number of the civil fines imposed. Revenue from these fines would be deposited into the General Fund.

Existing appropriations and staffing levels likely would be sufficient to allow the Department of Licensing and Regulatory Affairs to monitor manufacturers for potential violations of the new provisions.

Date Completed:  10-30-19                                      Fiscal Analyst:  Elizabeth Raczkowski

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.