For Immediate Release	Contact: Justin Winslow
March 12, 2013	(517) 482-5244

 

MICHIGAN RESTAURANT ASSOCIATION praises house committee for passing “conditional” liquor license bill

 LANSING, MI – The House Regulatory Reform Committee today passed legislation (HB 4277) that would create a “conditional” or temporary liquor license for applicants of on and off premises establishments while a full background investigation is conducted by the Michigan Liquor Control Commission (MLCC).

 “This is a great step in the direction of a more streamlined licensing process for restaurateurs,” said Michigan Restaurant Association (MRA) Vice President of Government Affairs Justin Winslow.  “This bill creates the much-needed certainty for an owner to open his or her doors, start creating jobs, and start generating revenue without the all-too common fear that their liquor license will be held up for an unknown period.  In most instances that is several months and on occasion the wait can extend longer than a year.”

Some highlights of HB 4277 include:

 A conditional license costs $300.

·         The bill would require the applicant to file a separate form requesting a conditional license.  A conditional is not automatic for all full license applicants

·         Conditional license applicants must show proof of financial responsibility such as a liquor liability insurance policy as well as an executed property document.

·         MLCC would be required to conduct a LEIN background check to scan for prior arrests.

·         The bill would limit conditional licenses to transfers of licenses to same location so as not to violate state statute requiring all licensed establishments be 500 feet from a church or school. 

·         The transferring license goes into escrow during the review process and the original owner has option to reclaim license out of escrow, or leave it in escrow if the purchasing applicant is subsequently denied.    

·         MLCC must issue a conditional within 20 business days of receiving a completed receipt, 30 business days if requesting multiple locations. 

·         The conditional license would expire after 1 year, or when applicant receives or is denied a full license.

 House Bill 4277 now moves to the House floor where it will await a vote of the full House of Representatives.

The Michigan Restaurant Association (MRA) is the recognized leader of Michigan's hospitality industry, providing essential services to the foodservice community.  Founded in 1921, the MRA represents nearly 4,500 Michigan foodservice establishments. The industry plays an integral role in Michigan's economy, employing more than 390,000 people and creating more than $13.1 billion in annual sales.

 

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