An Act to Establish Common Carrier Reporting for the Direct Shipment of Wme
Maine Legislature, Session 131, LD 2148
Committee Amendment CA_A_H884 (House)
Amends: 28-A MRSA §1403-A

COMMITTEE AMENDMENT"/^" toH.P. 1372, L.D. 2148, "An Act to Establish
Common Carrier Reporting for the Direct Shipment of Wme"
Amend the bill by striking out the title and substituting the following:
'An Act to Expand Direct Shipment Reporting and to Allow for the Use of Fulfillment
Providers for the Direct Shipment of Wine'
Amend the bill by insertmg after section 1 the following:
'See. 2. 28-A MRSA §1403-A, sub-§l, ^D is enacted to read:
D. "FulfiUment provider" means a bonded logistics agent of a direct shiooer that
provides fulfillment services. includine warehousine. packaging, distributing andorder
processine for the shipment of wine to a consumer and arranges for transport of wine
to a consumer by a common carrier and that has obtained a fulfillment provider
registration under subsection 5-A,
Sec. 3. 28-A MRSA §1403-A, sub-§4, as enacted by PL 2009, c. 373, §1, is
amended to read:
4. Direct shipment requirements. A direct shipper or a direct shipper's fulfiUment
provider may only ship wine that was produced by or for the direct shipper. owned by the
direct shipper or sold under the winery name of the direct shipper in accordance with the
direct shipper's federal basic wme manufacturing permit to a recipient who is at least 21
years of age and that is intended for personal use and not for resale, A direct shipper or a
direct shipper's fulfillment provider may not ship wine products commonly hiown as "wine
coolers." A direct shipper or a direct shipper's fulfillment provider shall label each package
to be shipped in accordance with this section so that it conspicuously reads "CONTAINS
ALCOHOL; SIGNATURE OP A PERSON 21 YEARS OF AGE OR OLDER IS
REQUIRED FOR DELIVERY,"'
Amend the bill by inserting after section 2 the following:
'See. 3. 28-AMRSA§1403-A,sub-§5-A is enacted to read:
Page I - 131LR2705(02)
COMMITTEE AMENDMENT
COMMITTEE AMENDMENT " ?<" to H.P. 1372, L.D. 2148
ROS '
1" 5-A. Fulfillment provider reeistration. A direct shipper may use a fulfillment
provider that is registered under this section.
A. A fulfillment provider that is not a common carrier. does not hold a direct shipBer^
manufacturer, wholesale or retail license issued by the bureau and is not a certificate
of aooroval holder and that is not owned or controlled by a common carrier. direct
shjpBer, manufacturer, wholesale or retail licensee or certificate of aooroval holder may
register with the bureau in a manner prescribed by the bureau, A registration must
include the information required in paragraph B and a reeistration fee of not more than
$50 per physical oremises. A fulfillment provider registering pursyant_to this
subsection shall register with the bureau for each physical premises from which the
fulfillment provider will ship wme under this section, A fulfillment provider may only
ship v/me to a recipient in the State if the fulfillment provider maintains a current
registration, as applicable, under this subsection and only if the wine shipped is
provided by a direct shfooer licensed under this section.
B, A fulfiUment orovider registration must include the following;
(1) The address of each physical premises from which the fulfillment provider will
ship wine to reciments in the State;
(2') The name. address and license number of each direct shipper on whose behalf
the fulfillment provider will ship wine to recipients in the State; and
(3) Any other information as detennmed by the bureau.
C. A fulfillment provider registration must be renewed every 2 years. If there is a
material change in the information provided to the bureau related to the initial
registration or renewal, the fulfillment urovider shall provide updated information to
the bureau not later than 14 days after the change.
D, A fulfillment provider shall make all commerciallY reasonable efforts to verify the
validity of each direct shiwer license orior to making anv^ shipments under this section.
Continuous failure to verify the validity of licenses may result in the suspension of the
fulfilment provider's reeistration and imposition of a fme.'
Amend the bill by striking out all of sections 3 and 4 and inserting the following:
'See. 3. 28-A MRSA §1403-A, sub-§ll, as amended by PL 2013, c. 476, Pt. A,
§31, is repealed and the following enacted in its place:
11. Reportine. Reports to the bureau regarding direct shipments of wine are eoverned
by this subsection.
A. A direct shipper shall submit a report to the bureau quarterly in a manner and form
5 Brescribed by the bureau that includes the following:.
d) The total number of cases of wine shipped to recipients m the State and, for a
direct shipper located in the State, shipments made outside the Statei
8 (2) The name and residence address of shipment recipients in the State;
(3) The name and registration of the designated fulfilhnent providers, if applicable;
f4) The common carrier used to deliver each shipment: and
f5) The date. quantity and purchase price of each shipment.
COMMITTEE AMENDMENT
COMMITTEE AMENDMENT " fc\. " to H.P. 1372, L.D, 2148
"^\" to]
ROS B. A fulfillment provider shall submit a report to the bureau quarterly in a manner and
form prescribed by the bureau that includes the followine:
d} The name as it appears on the direct shipper license, physical address and
license number of the direct shipper on whose behalf the fulfillment provider
shipped wine under this section;
(2} The date of each shipment;
(3) The name and business address of the common carrier that transported the
shipment and the unique trackins number for each shipment;
(4) The weight of each packaee shipoed; and
(51 The name and residence address of each recipient.
C. A common carrier shall submit a report to the bureau quarterly m a manner and
form prescribed by the bureau that includes the following:
(TL The name of the common carrier;
(T) The name and address of the direct shipper and. if applicable, the fulfillment
provider that used the common carrier for a shipment of wine;
OLThe name and address of each recipient;
f4) The weight of each package delivered to each recipient;
(5) The unique tracking number for each shipment; and
(6) The date of each delivery,
A failure by a common carriertocomply with the reoortmg requirements of this
oaraeraoh that continues for more than 3 0 days after receiving from the bureau a notice
of that failure may result in the suspension of the common carrier's license to operate
inthej»tate or the imoosition of any other penalty the relevant licensine authority m
the State is authorized to impose.
D, If no wine was shipped to a recipient in this State and. for a direct shipper located
in the State, no wine was shipped to a recipient outside the State during the reoortine
GerigcLa reBort cQntajnmfi that information must be submitted to the bureau.
Sec. 4. 28-A MRSA §1403-A, sub-§12, as enacted by PL 2009, c. 373, §1, is
amended to read:
12. Audit and records retention. The bureau may perform an audit of a direct
shipper's, fulfilhnent provider's or common carrier's records relevant to compliance with
this section. A direct shipper, fulfillment provider or common carrier shall provide copies
of any records requested by the bureau within 40 20 business days of that request,
A. A direct shipper shall maintain the books, records and documents suooortine a
report submitted under subsection 11. paragraph A or D for 2 years after the reportme
date, unless otherwise directed by the bureaiL
B. A fulfillment provider shall mamtain the books, records and documents supporting
8 a report submitted under subsection 11. oaraeraoh B or D for 2 years after the reportine
date. unless otherwise directed by the bureau.
COMMITTEE AMENDMENT
COMMITTEE AMENDMENT "J^-" to H.P. 1372, L,D. 2148
C. A common carrier shall maintain the books, records and documents supportine a
ROS reoort submitted under subsection 11. oaraerauh C or D. includme an electronic or
^wttwf paper coov of each recioient's signature, for 2 years after the reportuig date. unless
otherwise directed by the bureau.
Sec. 5. 28-A MRSA §1403-A, sub-§13, as enacted by PL 2009, c. 373, §1, is
amended to read:
13. Violation. A person, including a common carrier or fulfillment provider, who
knowingly causes a direct shipment in violation of this section is subject to a fme up to
$500 for a first offense and up to $1,000 for any subsequent violation of this section, A
direct shipper, fulfillment provider or common carrier who knowingly delivers wine to a
person under 21 years of age is subject to a fine up to $5,000. The bureau may suspend or
revoke a wine direct shipper license for failure to comply with the shipping limits and
reporting requirements required by this section. The bureau may accept payment of an
offer in compromise in lieu of suspension; such payments must be determined by rules
adopted by the bureau.
Sec. 6. Direct shipment of wine report. The Department of Administrative and
Financial Services, Bureau of Alcoholic Beverages and Lottery Operations shall examine
the direct shipment of wine under the Maine Revised Statutes, Title 28-A, section 1403-A
in order to evaluate the effectiveness of the regulations related to compliance and
enforcement. The bureau shall submit a report no later than February 1, 2026 to the joint
standing committee of the Legislatire having jurisdiction over alcoholic beverage matters
summarizing their findings, which must include information regarding the total volume and
sales figures of wine shipped to recipients in the State and outside the State, the entities and
locations from which wme shipments are made, where wine shipments are being delivered
in the State, broken down at a minimum by county, auditing procedures and compliance
and enforcement data. The report may include suggested legislation necessary to support
conclusions reached in the report. The committee may submit legislation related to the
report to the Second Regular Session of the 132nd Legislature.'
Amend the bill by relettering or renumbering any nonconsecutive Part letter or section
0 number to read consecutively.
SUMMARY
This amendment adds a definition of "fulfillment provider" to the laws governing the
3 direct shipment of wine and authorizes a direct shipper of wine to use a fulfillment provider
for the direct shipment of wine. The amendment provides that fulfillment providers must
be registered with the Department of Administrative and Financial Services, Bureau of
Alcoholic Beverages and Lottery Operations in order to ship wine on behalf of a direct
shipper to recipients in this State. The amendment provides that fulfillment providers must
also report quarterly in a similar manner as direct shippers and common carriers and
9 includes fulfillment providers under the record retention requirements provided in the bill.
The amendment clarifies that wine shipped under the laws governing the direct
shipment of wine must have been produced by or for the direct shipper, owned by the direct
shipper or sold under the winery name of the direct shipper in accordance with the direct
shipper's federal basic wine manufacturing permit.
Page4-131LR2705(02)
COMMITTEE AMENDMENT
COMMITTEE AMENDMENT " &. " to H,P, 1372, L,D. 2148
,ROS!, K also du-ects the bureau to examine data related to the direct shipment of wine in order
to evaluate the effectiveness of the regulations related to compliance and enforcement and
to submit a report no later than February 1, 2026 to the joint standing committee of the
Legislature having jurisdiction over alcoholic beverage matters, which may report out
legislation related to the report to the Second Regular Session of the 132nd Legislature.
FISCAL NOTE REQUIRED
(See attached)
COMMITTEE AMENDMENT
Approved; 03/21/24 ^^c^
LD 2148 LR 2705(02)
An Act to Establish Common Carrier Reporting for the Direct Shipment of Wine
Fiscal Note for Bill as Amended by Committee Amendment '^'
Committee: Veterans and Legal Affairs
Fiscal Note Required; Yes
Fiscal Note
Minor cost increase - General Fund
Fiscal Detail and Notes
Any additional costs to the Bureau of Alcoholic Beverages and Lottery Operations within the Department of
Administrative and Financial Services to implement the provisions of this bill are expected to be minor and can be
absorbed within existing budgeted resources.
LR2705(02) - Fiscal .Note - Page 1 of 1