HOUSE BILL No. 5457

 

November 20, 2007, Introduced by Rep. Green 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 added by 2001 PA 223.

 

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. Except as otherwise provided in

 

subsection (2), 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. As used in this


 

subsection, "bona fide members" means members of the club and

 

includes members of any affiliated, subsidiary, or parent

 

organization.

 

     (2) Public notice of the intent of the commission to issue the

 

club license shall be given by publication in some newspaper

 

published or in general circulation within the local governmental

 

unit at least 10 days before the issuance of 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.

 

     (3) Except in the case of 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 shall 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.

 

     (4) The affairs and management of the club shall 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 shall 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.