June 12, 2018, Introduced by Senator JONES and referred to the Committee on Regulatory Reform.
A bill to amend 1998 PA 58, entitled
"Michigan liquor control code of 1998,"
by amending section 532 (MCL 436.1532), as amended by 2018 PA 104.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 532. (1) A club license allows the licensee to sell, for
consumption on the licensed premises, beer, wine, mixed spirit
drink, and spirits only to bona fide members of the club who have
attained the age of 21 years. As used in this subsection, "bona
fide member" means an individual admitted as a charter member or
admitted in accordance with the bylaws of the club, who maintains
current membership by the payment of annual dues, whose name and
address is entered on the list of members, and who has voting
rights to regularly elect the board of directors, officers,
executive committee, or similar body that conducts the affairs and
management of the club. For an incorporated or unincorporated
nonprofit veterans' organization that is a branch or chapter of a
national organization or an organization chartered by the United
States Congress, a bona fide member includes a member of another
branch or chapter who possesses an identification card indicating
current membership in the same national or congressionally
chartered veterans' organization. For a branch, chapter, lodge,
aerie, or other local unit of a national fraternal nonprofit
association that is exempt from federal income taxes under section
501(c)(8) or 501(c)(10) of the internal revenue code of 1986, 26
USC 501, a bona fide member includes a member of another branch,
chapter, lodge, aerie, or local unit who possesses an
identification card indicating current membership in the same
national fraternal nonprofit association.
(2) Except as otherwise provided in subsection (3), the
commission shall not issue a license to a club unless the club has
been in existence for a period of not less than 2 years before the
application for the license.
(3) A club shall give public notice of the intent of the
commission to issue the club a club license by publication in a
newspaper published or in general circulation within the local
governmental unit at least 10 days before the commission issues the
license. A club that is a chapter of a national organization that
has had a license for 10 or more years may apply for a license
without a waiting period. Public notice of the commission's intent
to renew the club license is not required.
(4) Except for a club paying a maximum fee, within 10 days
after February 1 of each year the club shall file with the
commission a list of names and residences of its members and make a
similar filing of the name and residence with the commission within
10 days after the election of an additional member. The annual
filing must also include a statement that the club's annual
aggregate
membership fees or dues and other income , exclusive of
the
proceeds from the sale of alcoholic liquor, are sufficient to
defray the annual rental of its leased or rented premises or, if
the premises are owned by the club, are sufficient to meet the
taxes, insurance, repairs, and interest on a mortgage on the
premises.
(5) The affairs and management of the club must be conducted
by a board of directors, executive committee, or similar body
chosen by the members. A member, officer, agent, or employee of the
club must not be paid, or directly or indirectly receive in the
form of salary or other compensation, profits from the disposition
of alcoholic liquor to the club or to the members of the club,
beyond the amount of salary fixed and voted at meetings by the
members or by its directors or other governing body and as reported
by the club to the commission, within 3 months after the meeting.