This bill amends the Michigan Liquor Control Code of 1998, specifically section 205, to update the regulations surrounding authorized distribution agents for spirits. It establishes that the commission will appoint these agents to warehouse and deliver spirits to retail licensees, ensuring they are adequately serviced. The bill outlines the eligibility criteria for these agents, including the requirement for a written agreement with a supplier, adequate warehousing facilities, and the prohibition of any direct or indirect interests in suppliers or retailers. Additionally, it mandates a minimum delivery schedule and allows for special emergency orders to be placed by retail licensees.

Significant changes include the introduction of a structured payment system for vendors of spirits, which will begin at $12.50 per case starting March 1, 2025, with adjustments based on the Consumer Price Index thereafter. The bill also clarifies that certain payments made to authorized distribution agents must not be included in the cost of purchasing spirits and are exempt from markup, special taxes, or state sales tax. Furthermore, it defines key terms such as "case" and "Consumer Price Index" to ensure clarity in the application of the law.

Statutes affected:
Senate Introduced Bill: 436.1205