An Act To Assist Small Distilleries
Maine Legislature, Session 127, LD 1687
Committee: Veterans and Legal Affairs
Sponsors: LUCHINI, COLLINS, GIDEON, SAUCIER, CYRWAY
Amends: 28-A MRSA §1355-A

Legislative Document 
No. 1687 
H.P. 1152 
House of Representatives, March 30, 2016 
An Act To Assist Small Distilleries 
(AFTER DEADLINE) 
Approved for introduction by a majority of the Legislative Council pursuant to Joint Rule 
205. 
Reference to the Committee on Veterans and Legal Affairs suggested and ordered printed. 
ROBERT B. HUNT 
Clerk 
Presented by Representative LUCHINI of Ellsworth. 
Cosponsored by Senator COLLINS of York and 
Representatives: GIDEON of Freeport, McCABE of Skowhegan, SAUCIER of Presque Isle, 
Senator: CYRWAY of Kennebec. 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1.  28-A MRSA §1355-A, sub-§5, ¶G, as enacted by PL 2013, c. 359, §1, is 
amended to read: 
G.  Notwithstanding paragraph D, a holder of a small distillery license that produces 
less than 25,000 gallons of spirits annually and is licensed under paragraph B, 
subparagraph (3) to operate a retail location for off-premises consumption may pay 
the alcohol bureau the difference between the distillery's price charged to the alcohol 
bureau and the discounted list price charged by the bureau when a distillery purchases 
its own spirits to be sold at retail from its off-premises location.  The alcohol bureau 
shall establish a procedure to allow a distillery to purchase spirits produced by the 
distillery for sale at a retail location as described in this paragraph. A small distillery 
is not required to transport spirits that will be sold for off-premises consumption 
under paragraph B, subparagraph (3) to a warehouse operated by the bureau or by a 
wholesaler contracted by the bureau under section 90 for distribution to the location 
where the small distillery is authorized to sell spirits produced by the small distillery 
for off-premises consumption.  A holder of a small distillery license shall record the 
quantity of spirits sold for off-premises consumption that were not transported to a 
warehouse as described in this paragraph and submit monthly reports of this 
information, along with the full amount of state liquor tax due as prescribed by 
chapter 65, to the bureau in a manner prescribed by the bureau. 
Sec. 2.  28-A MRSA §1355-A, sub-§5, ¶H is enacted to read: 
H.  Notwithstanding paragraph D, a holder of a small distillery license licensed under 
paragraph E to operate a location licensed under chapter 43 for on-premises 
consumption may pay the bureau the difference between the distillery's price charged 
to the bureau and the discounted list price charged by the bureau when a distillery 
purchases its own spirits to be sold at its on-premises location.  A small distillery is 
not required to transport spirits that will be sold for on-premises consumption under 
paragraph E to a warehouse operated by the bureau or by a wholesaler contracted by 
the bureau under section 90 for distribution to the location where the small distillery 
is authorized to sell spirits produced by the small distillery for on-premises 
consumption.  A holder of a small distillery license shall record the quantity of spirits 
sold for on-premises consumption that were not transported to a warehouse as 
described in this paragraph and submit monthly reports of this information, along 
with the full amount of state liquor tax due as prescribed by chapter 65, to the bureau 
in a manner prescribed by the bureau. 
SUMMARY 
Under current law small distillers licensed to manufacture spirits in the State are 
authorized to have up to 2 locations where they may sell their product for off-premises 
consumption and one license to serve alcoholic beverages for on-premises consumption.  
This bill provides that small distillers, distillers who produce up to 50,000 gallons 
annually, are not required to transport their spirits to a warehouse operated by the 
Department of Administrative and Financial Services, Bureau of Alcoholic Beverages 
and Lottery Operations or the bureau's contracted wholesaler for distribution back to the 
distillers' facilities where they will be sold.  The bill requires that small distillers submit 
monthly reports to the bureau on spirits not transported to a warehouse and pay the 
required state liquor tax.