LANSING, MI – The Michigan Restaurant Association (MRA), the voice of Michigan’s food and beverage service industry, today applauded the Gov. Jennifer Granholm’s signature of legislation designed to increase sales within liquor-licensed establishments as well as increase safety on the roads.

The new law, Public Act 259 of 2005, was authored by state Rep. Jerry Kooiman (R-Grand Rapids) at the request of the MRA and an MRA member in his district.  It was signed by the governor on Friday, December 16 and has immediate effect.

The legislation would allow restaurants or clubs that have liquor licenses to stay open past 2:00am for entertainment purposes.  Establishments wishing to stay open would have to apply for a newly-created extended hours permit from the Michigan Liquor Control Commission (MLCC).  Under current law, a licensed establishment is able to serve alcohol until 2:00am and must have any patrons (excluding staff and management) out of the premises by 2:30.  The only exception to this rule is if the establishment has received a specific purpose permit from the MLCC that allows them to serve food.  Otherwise, everyone who is not affiliated with the establishment must vacate.  Prior to the signature of this new law. all other activities, including dancing and live musical performances, are expressly prohibited after 2am.

Assuming it met all prescribed conditions, an establishment applying for the new permit could then stay open past 2:00am.  Included in the legislation are the following conditions:

• the establishment must obtain both local legislative and police approval.
• the MLCC must also approve the application.

There are also a number of restrictions in the bill which would prevent certain activities from occurring on the premises after 2:00am.  These restrictions are:

• the establishment cannot sell or provide alcoholic beverages past 2:00am;• no topless activity can take place on the premises;
• gambling of any kind cannot occur after 2 a.m., including the Michigan Lottery’s Club Games.
• no consumption of alcohol could take place after 2:30am., which is consistent with current law.

This new law is a new tool at the disposal of the hospitality industry that can be used to help establishments produce new sales as well as keep impaired drivers off the road.  It allows restaurants and clubs to accommodate those guests who wish to consume food and non-alcoholic beverages and enjoy entertainment after the close of alcohol sales.  No municipality would be forced to allow a restaurant or club the ability to stay open—if they do not wish to give approval to the permit, they have the ability to deny the application to the MLCC.

Founded in 1921, the Michigan Restaurant Association represents more than 4,500 Michigan foodservice establishments.  The foodservice industry plays an integral role in Michigan’s economy, employing more than 436,000 people and creating more than $11.3 billion in total annual sales. For more information, call (517) 482-5244.