Baltimore Brew

FOR the purpose of establishing a public market license in a certain area in Baltimore City; specifying that the Board may issue the license to an owner of an enclosed market that meets certain requirements; specifying that the license authorizes the license holder to sell beer and wine for on– and off–premises consumption; authorizing the license holder to designate a restaurant or retail store as a serving area; requiring that the license holder shall submit to the Board certain information about each serving area operator; requiring the Board to apply for a certain criminal history records check for each operator; requiring each operator of a serving area or individual who is designated by the operator and employed in a supervisory capacity to be certified by an approved alcohol awareness program and present when alcoholic beverages are consumed; requiring that average monthly receipts from the sale of nonalcoholic beverages items be at least a certain percentage of the total monthly receipts of the market; prohibiting a license holder from engaging in certain activities; providing for the hours of sale of alcoholic beverages; providing for certain license fees; authorize ng the Board to issue a Class B beer, wine, and liquor license for a restaurant in the area that is commonly known as Port Covington; specifying the boundaries of the area; requiring that the restaurant meet certain seating, capital investment, and food sales standards; authorizing the Board to issue a certain number of Class B licenses for use by establishments in certain areas; prohibiting the licenses from being transferred; providing that the Board may upgrade the public market license to allow the holder to sell liquor under certain circumstances, with no further action required by the General Assembly; and generally to alcoholic beverages licenses issued in Baltimore City.

EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXISTING LAW.

[Brackets] indicate matter deleted from existing law.
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BY repealing and reenacting, without amendments, Article – Alcoholic Beverages

Section 12–102, 12–1102, and 12–1604(b) Annotated Code of Maryland

(2016 Volume and 2016 Supplement)

BY adding to

Article – Alcoholic Beverages Section 12–1002.1 Annotated Code of Maryland
(2016 Volume and 2016 Supplement)

BY repealing and reenacting, with amendments, Article – Alcoholic Beverages

Section 12–1604(c) and (g) Annotated Code of Maryland
(2016 Volume and 2016 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, That the Laws of Maryland read as follows:

Article – Alcoholic Beverages

12–102.

This title applies only in Baltimore City.

12–1002.1.

(A) THERE IS A PUBLIC MARKET LICENSE.

(B) BOARD MAY ISSUE THE LICENSE ONLY TO AN OWNER OF AN ENCLOSED

MARKET THAT:

(1) HAS A CAPITAL INVESTMENT OF AT LEAST $500,000;

(2) HAS AT LEAST 65% OF ITS FLOOR SPACE DEVOTED TO THE SALE

OF ITEMS THAT ARE NOT ALCOHOLIC BEVERAGES; AND

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(3) IS LOCATED IN AN AREA SURROUNDED BY CHARLES STREET ON

THE WEST, EAST CROSS STREET ON THE NORTH, LIGHT STREET ON THE EAST, AND

EAST CROSS STREET ON THE SOUTH, IN WARD 23, PRECINCT 1, OF THE 46TH

ALCOHOLIC BEVERAGES DISTRICT.

AND WINE FOR ON– AND OFF–PREMISES CONSUMPTION.

(2) SUBJECT TO PARAGRAPH (3) OF THIS SUBSECTION, THE LICENSE

HOLDER MAY DESIGNATE A RESTAURANT OR RETAIL STORE AS A SERVING AREA.

(3) (I) THE LICENSE HOLDER SHALL SUBMIT TO THE BOARD THE
SAME INFORMATION ABOUT EACH SERVING AREA OPERATOR THAT THE BOARD
REQUIRES OF AN APPLICANT FOR A LICENSE.
(II) THE BOARD SHALL APPLY TO THE CENTRAL REPOSITORY

FOR A STATE AND NATIONAL CRIMINAL HISTORY RECORDS CHECK FOR EACH

OPERATOR OF A SERVING AREA.

(III) AN OPERATOR OF A SERVING AREA OR AN INDIVIDUAL WHO

IS DESIGNATED BY THE OPERATOR AND EMPLOYED IN A SUPERVISORY CAPACITY IS

REQUIRED TO BE:

PROGRAM; AND

CONSUMED.

CERTIFIED BY AN APPROVED ALCOHOL AWARENESS

PRESENT WHEN ALCOHOLIC BEVERAGES ARE

(4) AVERAGE MONTHLY RECEIPTS FROM THE SALE OF

NONALCOHOLIC BEVERAGES ITEMS SHALL BE AT LEAST 65% OF THE TOTAL

MONTHLY RECEIPTS OF THE MARKET.

(D) A LICENSE HOLDER MAY NOT:

(1) PARTICIPATE IN OR PUBLICIZE A PUB CRAWL AUTHORIZED

UNDER § 12–1101.1 OF THIS TITLE; OR

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(2) EXCEPT FOR AN EVENT CLOSED TO THE PUBLIC, ALLOW A

SERVING AREA TO OPERATE AN OPEN BAR.

(E) THE HOURS OF SALE OF ALCOHOLIC BEVERAGES FOR ON–PREMISES

CONSUMPTION ARE:

(1) FROM NOON TO 11 P.M. FROM MONDAY THROUGH FRIDAY;

AND

(2) FROM 9 A.M. TO 11 P.M. ON SATURDAY AND SUNDAY.

(F) THE ANNUAL LICENSE FEE IS:

(1) $50,000, SUBJECT TO ITEMS (2) AND (3) OF THIS SUBSECTION;

(2) $20,000, IF THE APPLICANT FOR THE LICENSE OBTAINS AND

EXTINGUISHES ONE CLASS A, CLASS B, CLASS D, OR CLASS B–D–7 LICENSE ISSUED

FOR USE IN WARD 23, PRECINCT 1 OF THE 46TH ALCOHOLIC BEVERAGES DISTRICT;

(3) $10,000, IF THE APPLICANT FOR THE LICENSE OBTAINS AND

EXTINGUISHES ANY TWO LICENSES, NOT NECESSARILY OF THE SAME

CLASSIFICATION, THAT ARE CLASS A, CLASS B, CLASS D, OR CLASS B–D–7

LICENSES ISSUED FOR USE IN WARD 23, PRECINCT 1 OF THE 46TH ALCOHOLIC

BEVERAGES DISTRICT.

12–1102.

The Board may issue a refillable container permit for draft beer to a holder of any class of license except a Class C license or a Class M–G license.

12–1604.

(b) Except as provided in subsection (c) of this section, the Board may not issue a new license in the 46th alcoholic beverages district.

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(i) a 1–day license; and

(ii) except as provided in paragraph (2) of this subsection, and

subject to paragraphs (3) and (4) of this subsection, a Class B beer, wine, and liquor license for use by a restaurant if the average daily receipts from the sale of food are at least 51% of the total daily receipts of the restaurant.

(2) The Board may issue a Class B beer, wine, and liquor license:

(i) for a restaurant in ward 26, precinct 8, ward 4, precinct 1, or
ward 3, precinct 3 that has:

1. seating for more than 150 individuals;

2. a minimum capital investment of $700,000; and

3. subject to paragraph (3) of this subsection, average daily

receipts from the sale of food that are at least 65% of the total daily receipts of the restaurant;

(ii) for a restaurant in ward 4, precinct 1, or ward 22, precinct 1, if
the restaurant has:

1. seating for more than 75 individuals;

2. a minimum capital investment of $700,000;

3. average daily receipts from the sale of food that are at

least 65% of the total daily receipts of the restaurant; and

4. except as provided in paragraph (5) of this subsection, no
sales for off–premises consumption;

(iii) for not more than three restaurants in a residential planned unit

development for Silo Point as approved by the Mayor and City Council of Baltimore City in Ordinance 04–697 on June 23, 2004, if each restaurant has:

1. a minimum capital investment of $700,000;

2. seating for more than 75 individuals;

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3. average daily receipts from the sale of food that are at

least 65% of the total daily receipts of the restaurant; and

4. except as provided in paragraph (5) of this subsection, no

sales for off–premises consumption; [and]

(iv) for not more than three restaurants in a business planned unit

development in ward 24, precinct 5, if each restaurant:

1. has a minimum capital investment of $700,000;

2. has seating for more than 75 individuals, but not more

than 150 individuals;

3. has average daily receipts from the sale of food that are at

least 51% of the total daily receipts of the restaurant; and

4. except as provided in paragraph (5) of this subsection, may

not sell for off–premises consumption; AND

(V) FOR A RESTAURANT IN THE AREA THAT IS COMMONLY

KNOWN AS PORT COVINGTON, BOUNDED ON THE NORTH BY INTERSTATE 95, ON THE

EAST BY THE SOUTH LOCUST POINT TERMINAL, AND ON THE SOUTH AND WEST BY

THE PATAPSCO RIVER, AND THAT HAS:

1. SEATING FOR MORE THAN 150 INDIVIDUALS;

2. A MINIMUM CAPITAL INVESTMENT OF $700,000; AND

3. SUBJECT TO PARAGRAPH (3) OF THIS SUBSECTION,

AVERAGE DAILY RECEIPTS FROM THE SALE OF FOOD THAT ARE AT LEAST 60% OF

THE TOTAL DAILY RECEIPTS OF THE RESTAURANT.

(3) When a license is renewed, the license holder shall file with the Board

a statement of average daily receipts and an affidavit of a licensed certified public accountant that verify that the license holder has met the requirement under paragraph (1)(ii) or (2)(i)3 OR (V)3 of this subsection.

(4) (i)A license may not be issued under paragraph (1)(ii) of this
subsection for use in an establishment that is a fast–food–style restaurant.

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(ii) A license issued under paragraph (1)(ii) of this subsection may
not be transferred from the location of its first issuance.

(5) A license specified under this subsection, including a license that does

not allow sales for off–premises consumption, may include an off–sale privilege for sales of refillable containers under a refillable container license issued in accordance with § 12– 1102 of this title.

(g) (1) Except as provided in [paragraph (2)] PARAGRAPHS (2) AND (3) of this subsection AND § 12–1002.1 OF THIS SUBTITLE, the Board may not issue a license for:

(i) ward 1, precincts 4 and 5;

(ii) ward 23, precinct 1; or

(iii) ward 24, precinct 5.

(2) The Board may issue not more than two Class B beer, wine, and liquor

licenses, so that the cumulative number of licenses issued or transferred is two, into the area of 829 through 919 E. Fort Avenue only if the Board:

(i) has executed a memorandum of understanding between the

community associations in Riverside and Locust Point regarding the nature of the establishment; and

(ii) enforces the memorandum of understanding against any license

holder that obtains a license under this paragraph and seeks to renew or transfer the license.

(3) (I) THE BOARD MAY ISSUE NOT MORE THAN A COMBINED

TOTAL OF 5 CLASS B BEER, WINE, AND LIQUOR LICENSES FOR USE BY

ESTABLISHMENTS ON THE NORTH SIDE OF THE 900 BLOCK OF EAST FORT AVENUE

AND ON THE WEST SIDE OF THE 1400 BLOCK OF LAWRENCE STREET.

(II) A LICENSE ISSUED FOR AN ESTABLISHMENT IN THESE

AREAS MAY NOT BE TRANSFERRED TO ANOTHER ESTABLISHMENT.

SECTION 2. AND BE IT FURTHER ENACTED, That, after the holder of the public market license established by this Act has been in operation for at least 2 years, the Board

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of License Commissioners for Baltimore City may upgrade the license to allow the sale of liquor, with no further action required by the General Assembly,

SECTION 3. AND BE IT FURTHER ENACTED, That this Act Shall take effect July 1, 2017.