The bill amends the Michigan Liquor Control Code of 1998, specifically section 205, to establish clearer guidelines and requirements for authorized distribution agents responsible for warehousing and delivering spirits to retail licensees. It outlines the eligibility criteria for these agents, including the necessity of a written agreement with a supplier, adequate warehousing facilities, and the prohibition of any direct or indirect interests in suppliers or retailers. The bill mandates that authorized distribution agents deliver spirits to retailers at least weekly, with provisions for special emergency orders and specific delivery procedures for locations inaccessible by motor vehicle.

Additionally, the bill introduces new payment structures for vendors of spirits, specifying a per-case offset that will be adjusted based on the Consumer Price Index starting March 1, 2025. It also clarifies that this payment must not be included in the cost of purchasing spirits by the commission and is exempt from markup, special taxes, or state sales tax. The bill further defines terms such as "case" and "Consumer Price Index" to ensure consistency in interpretation and application of the law.

Statutes affected:
Substitute (H-1): 436.1205
House Introduced Bill: 436.1205