An Act To Support Maine Craft Distillers
Maine Legislature, Session 129, LD 1015
Committee Amendment CA_A_S93 (Senate)
Amends: 28-A MRSA §606, 28-A MRSA §1355-A

COMMITTEE AMENDMENT "j\- " to S.P. 294, L.D. 1015, Bill, "An Act To 
Support Maine Craft Distillers" 
Amend the bill by inserting after the title and before the enacting clause the 
following: 
'Emergency preamble. Whereas, acts and resolves of the Legislature do not 
become effective until 90 days after adjournment unless enacted as emergencies; and 
Whereas, this Act increases the discount rate for licensed small distilleries located 
in Maine that do not send their products through the State's spirits warehouse and 
distribution system and instead sell their products directly to consumers; and 
Whereas, in order to allow small distilleries to take advantage of this change in time 
for the summer, this change is scheduled to take place July 1, 2019; and 
Whereas, in the judgment of the Legislature, these facts create an emergency within 
the meaning of the Constitution of Maine and require the following legislation as 
immediately necessary for the preservation of the public peace, health and safety; now, 
therefore,' 
Amend the bill by striking out everything after the enacting clause and inserting the 
following: 
'Sec. 1. 28-A MRSA §606, sub-§4-B is enacted to read: 
4-B. Discount rate for small distilleries. Beginning July 1, 2019, the bureau shall 
set the price of spirits produced by a small distillery licensed under section 1355-A, 
subsection 5, paragraph B and retained by that small distillery for sale under section 
1355-A, subsection 5, paragraph G or Hat a discount of 22.75% of the list price. 
Sec. 2. 28-A MRSA §1355-A, sub-§2, ,re, as enacted by PL 2011, c. 629, §22, 
is amended to read: 
C. A licensee under this section may sell to nonlicensees during regular business 
hours from the licensed premises where liquor is produced by the licensee liquor 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT ''f) "to S.P. 294, L.D. 1015 
( ':)-'f:J 
produced by the bottle, by the case or in bulk for consumption off the licensed 
premises. 
Spirits sold by distillers and small distillers in accordance with this 
paragraph must be first sold to the State, subject to the listing, pricing and distribution 
provisions of this Title. 
Sec. 3. 28-A MRSA §1355-A, sub-§5, 1G, as amended by PL 2015, c. 440, §1, 
is further amended to read: 
G. Notwithstanding paragraph D, a holder of a small distillery license lioensed under 
paragraph B, subparagraph (3) to operate a retail looation for that sells its products 
directly to consumers for off-premises consumption under paragraph B, subparagraph 
O 
(3) or subsection 2, paragraph C, D or E 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 purohases its O\Vll spirits to be sold at retail from its off 
premises looation under section 606, subsection 4-B. 
A small distillery is not 
required to transport spirits that will be sold for off-premises consumption tH3:00f 
paragraph B, subparagraph (3) as described in this paragraph to a warehouse operated 
by the bureau or by a wholesaler contracted by the bureau under section 90 fer 
distribution to the looation 1.vhere the small distillery is authorized to sell spirits 
produoed by the small distillery for off prnmises oonsumption. 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. 4. 28-A MRSA §1355-A, sub-§5, ,rH, as enacted by PL 2015, c. 440, §2, is 
amended to read: 
H. Notwithstanding paragraph D, a holder of a small distillery license lioensed under 
paragraph E to operate a looation lioensed under ohapter 4 3 that sells its products 
directly to consumers for on-premises consumption under paragraph E or subsection 
2, paragraph B, E or F may pay the bureau the difference between the distillery's 
price charged to the bureau and the discounted list price charged by the bureau whoo 
a distillery purohases its own spirits to be sold at its on premises looation under 
section 606, subsection 4-B. A small distillery is not required to transport spirits that 
will be sold for on-premises consumption undt:ir paragraph E as described in this 
paragraph to a warehouse operated by the bureau or by a wholesaler contracted by the 
bureau under section 90 for distribution to tht:i looation where tht:i small distillt:iry is 
authorized to sell spirits produoed by the small distillery for on premises 
oonsumption. 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. 
Emergency clause. 
In view of the emergency cited in the preamble, this 
legislation takes effect when approved.' 
Amend the bill by relettering or renumbering any nonconsecutive Part letter or 
section number to read consecutively. 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT" f>r" to S.P. 294, L.D. 1015 L t,;,-c1~) 
SUMMARY 
This amendment strikes and replaces the bill and adds an emergency preamble and 
emergency clause. The amendment provides that the Department of Administrative and 
Financial Services, Bureau of Alcoholic Beverages and Lottery Operations is required to 
set the price of spirits produced by a licensed Maine small distillery and retained by that 
small distillery for sale directly to customers at a discount of 22.75% off the list price. 
This discount rate is greater than the discount that an agency liquor store is given off of 
the list price when it purchases spirits produced by a small distillery because, unlike 
spirits purchased by an agency liquor store, the spirits retained by the small distillery are 
not transported to a warehouse operated by the bureau or by a wholesaler contracted by 
the bureau and then distributed by that wholesaler to another location. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Fiscal Detail and Notes 
Revised: 05/08/19 feac.. 
LD 1015 
LR 938(02) 
An Act To Support Maine Craft Distillers 
Fiscal Note for Bill as Amended by Committee Amendment "ft(, S-·'1:>) 
Committee: Veterans and Legal Affairs 
Fiscal Note Required: Yes 
Fiscal Note 
Revenue decrease - State Alcoholic Beverage Fund 
Revenue increase - Licensed Maine Small Distilleries 
This bill requires that the pricing of spirits produced by a licensed Maine small distillery and retained by that small 
distillery for sale directly to the customer include a discount rate of 22.75% off the list price for spirits. Because the 
retailer retains the discount rate portion of the list price of spirits and the increased discount rate only applies to small 
distilleries acting as their own retailer, this change will generate additional revenue for small distilleries and will 
decrease revenue to the Bureau of Alcoholic Beverages and Lottery Operations by the same amount. The amount of 
revenue shift is not expected to be significant. 
LR0938(02) - Fiscal Note - Page 1 of 1