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MI SB0579

Bill

Status

Engrossed

11/29/2018

Primary Sponsor

John Proos

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Origin

Senate

99th Legislature

AI Summary

  • Removes requirement for uniform pricing in state liquor stores, establishing uniform prices only for sales by specially designated distributors.

  • Implements graduated gross profit margin reductions for spirits from 65% in 2018 to 64.5% in 2019, with further 0.5% reductions in subsequent years if annual spirits sales increase by at least 2%.

  • Establishes 32.5% gross profit margin for spirits produced by certified "qualified small distillers" beginning January 1, 2020.

  • Requires small distillers to be certified by the Department of Agriculture and Rural Development, with certification dependent on at least 40% of base distillate being derived from grains grown and harvested in Michigan.

  • Imposes criminal penalties (up to 1 year imprisonment and/or $3,000 fine) and restitution requirements for small distillers providing false certification information.

Legislative Description

Liquor; other; mark-up on spirits; revise based on distiller's production amount. Amends sec. 233 of 1998 PA 58 (MCL 436.1233).

Liquor: spirits

Last Action

Referred To Second Reading

12/12/2018

Committee Referrals

Agriculture11/29/2018
Regulatory Reform9/19/2017

Full Bill Text

No bill text available