Springtime in Michigan means only one thing - liquor license renewal time.  St. Patrick's Day has come and gone.  The NCAA basketball tournament is wrapping up.  The Tigers have begun to play "real" baseball games.  The last snow of the season (hopefully) has melted.  All of these are sure signs of Springtime.  That means it's also time to renew your annual liquor license with the MLCC.  The deadline for renewal of liquor licenses is April 30^th.  The MLCC suggests, however, that renewal contracts and fees be submitted before April 15^th to ensure processing is completed prior to the deadline.  If you have not yet received your renewal notice from the MLCC, you should contact the MLCC or our office immediately to obtain a duplicate copy.  Our office in Lansing is strategically located near the MLCC to help process any last-minute renewal applications. 

Nicer weather means outdoor service and temporary permits.  Many licensees like to use the warm weather months to hold special events outdoors.  This may involve putting up a tent in the parking lot, on a sidewalk, or some other adjacent space.  If that space is not normally licensed by the MLCC, a temporary permit will be necessary in order to serve alcohol in that area.  Licensees may apply for up to 12 daily permits each year.  The MLCC now charges a $70 application fee for these temporary permits.  If you are selling alcohol outside, instead of serving it from inside, you will also need a temporary additional bar permit.  The temporary additional bar permit costs $350 per day of use. 

If you are going to be using this outdoor area annually, or for more than 12 days per year, an outdoor service permit may be a better option.  A new outdoor service permit, however, requires a more extensive MLCC investigation and can take 2-3 months to complete.  Thus, a licensee looking to add new outdoor service for this summer should apply now to allow enough time for the investigation.  This permit also requires a $70 application fee.  We can help expedite the processing for a new outdoor service permit so your guests will be able to utilize the outdoor area sooner.  Summer is short - don't miss out!

Catering Permits may finally become a reality.  After passing the legislature last year, but getting vetoed by then-Governor Granholm, catering permits for on-premise licensees may soon become a reality.  Senate Bill 5 was introduced by Senator Pappageorge (R-Troy) on January 19, 2011 and passed the Senate on March 17, 2011 by a vote of 37-1.  The Bill then went to the House where it passed by a vote of 107-3 on March 24, 2011.  The House vote would give immediate effect to the Bill if it is signed by Governor Snyder.  The Bill will allow on-premise licensees to sell and deliver beer, wine, and spirits, in the original sealed container, to private events where the alcoholic liquor is not resold to guests.  On-premise licensees could also cater to non-profit organizations that have obtained a Special License issued by the Commission.  An applicant will be required to pay a $70 processing fee and, if approved, pay an annual $100 Catering Permit fee.  If you have any questions about how this Catering Permit might apply to your business, please feel free to contact either our Troy or Lansing office for guidance.  We will be happy to assist you in applying for the new Catering Permit, should this legislation become law.

Senate Bill 303 was introduced on March 24, 2011 by Senator Casperson (R-Escanaba) and referred to the Committee on Regulatory Reform.  This Bill would allow stores with gas pumps to also have Specially Designated Merchant (SDM) licenses by significantly relaxing the inventory requirements to qualify for the license.  Instead of the current $250,000 minimum inventory requirement for stores with gas pumps to qualify for a SDM license, SB 303 would only require the store to maintain an inventory of not less than $20,000 at cost.  Inventory that would count towards this $20,000 requirement includes any goods and materials available for retail sale on the licensed premises, but would exclude beer, wine, tobacco products, items offered for sale on consignment, and motor vehicle fuel.   If passed, the Bill would allow for these new SDM licenses to go into effect immediately in Michigan's northern counties, but would be phased in over the next year for counties south of approximately Mt. Pleasant.  If you have questions on whether your business might qualify to obtain a SDM license under this relaxed criteria, or if you wish to become involved in the legislative debate over this Bill, please contact us for more information.

John, a lifetime member of the Michigan Restaurant Association's Board of Directors, attended the Board of Directors Meeting on Jan 31st at Boyne Mountain Resort and was impressed with the report to the Board of various issues being addressed by the National Restaurant Association. The report was given by Craig Heath as a member of the National Board and in fact Craig is stepping into various positions of leadership at the NRA to ultimately become the Chairperson of the Association. He, along with Ann Arbor's leading restaurateur, Mike Gibbons, the immediate past chair of the MRA, are certainly keeping Michigan in the forefront of the NRA. We have copies of reports on several issues such as Health Care Reform, Toy/Incentive Bans in Kids Meals, Waste Reduction, Diversion and Resource Recovery and Data Security. All are interesting and address issues that are in the forefront of issues affecting the hospitality industry. If you would like to review any of these reports just email John at [email protected] and we will email you a copy.

Our last newsletter highlighted that Rick Perkins, former Director of Enforcement and former Assistant Director for Licensing at MLCC, joined our firm working as a licensing specialist, effective February 1, 2011.  Rick has already become an invaluable resource for our clients, particularly with his in-depth knowledge of the MLCC process and the intricacies of licensing issues in the Manufacturers & Wholesalers Section of the MLCC.  Rick's 30+ years of experience working for the MLCC is a nice complement to John, Scott and Mike's combined 80+ years of experience dealing with liquor issues in the private sector.  Put that collective experience to work for you and let us help solve any liquor licensing or liquor law violation issues that may arise under Michigan's complicated regulatory system.