Bill > HB4422

This bill amends the Michigan Liquor Control Code to modify regulations for authorized distribution agents (ADAs) who warehouse and deliver spirits in the state. The bill makes several key changes, including establishing a mandatory per-case payment of $12.50 to spirit vendors beginning March 1, 2025, with annual adjustments based on the Consumer Price Index (up to 5%), and requiring vendors to pay ADAs $1.75 per case, with the option to negotiate a higher rate. The bill also allows the Liquor Control Commission to make additional payments to ADAs using a methodology they establish. The legislation maintains existing requirements for ADAs, such as delivering to retailers weekly, providing emergency ordering options, and maintaining strict independence from both suppliers and retailers. The bill clarifies delivery procedures, especially for hard-to-access locations like islands, and reinforces the ADAs' responsibilities for transportation, delivery charges, and potential penalties for violations. Additionally, the bill standardizes definitions for industry terms like "case" and establishes reporting requirements for on-premises retailers purchasing spirits from specially designated distributors.

Government Affairs

https://legislature.mi.gov/Bills/Bill?ObjectName=2025-HB-4422