The bill amends the Michigan liquor control code of 1998 by adding a new section, 1016, which allows licensees to donate a portion of their profits to tax-exempt organizations under section 501(c)(3) of the Internal Revenue Code. This provision is made notwithstanding existing regulations in section 609(1) and R 436.1041 of the Michigan Administrative Code. Licensees are required to record their profits on their financial records prior to making any donations.

Additionally, the bill stipulates that if the receiving organization has been issued a special license, the donation cannot be used to cover any costs associated with the event for which the special license was granted. This ensures that the funds are used appropriately and not to subsidize licensed events directly.

Statutes affected:
Substitute (H-2): 436.1101, 436.2303
House Introduced Bill: 436.1101, 436.2303