Bill Summary – FastDemocracy

SB 755
                       Department of Legislative Services
                               Maryland General Assembly
                                     2021 Session
                            FISCAL AND POLICY NOTE
                               Third Reader - Revised
Senate Bill 755               (Senator Hayes)
Education, Health, and Environmental Affairs                               Economic Matters
                   Baltimore City - 40th District Alcoholic Beverages
This bill generally restricts license holders in specified geographical areas in the
40th alcoholic beverages district in Baltimore City from selling alcoholic beverages before
10:00 a.m. or after 10:00 p.m. Specified classes of licenses are exempt from the restriction
on hours. The bill additionally authorizes the Baltimore City Board of License
Commissioners to issue a Class B-D-7 license and a Class C beer, wine, and liquor (BWL)
license in the 40th alcoholic beverages district, as specified. The bill takes effect
July 1, 2021.
                                     Fiscal Summary
State Effect: None.
Local Effect: Baltimore City revenues increase by an estimated $3,070 in FY 2022 and
$1,970 annually thereafter, as discussed below. Baltimore City can handle any additional
enforcement with existing resources.
Small Business Effect: Minimal overall, but potential meaningful impact for a license
holder whose hours of sale are restricted under the bill or who obtains a license as specified.
                                          Analysis
Bill Summary: For a license holder in specified geographical areas in the 40th alcoholic
beverages district, the hours of sale for alcoholic beverages may not begin before
10:00 a.m. or end after 10:00 p.m. This restriction does not apply to (1) a Class B beer and
light wine (restaurant) license; (2) a Class B BWL (restaurant) license, as specified; (3) a
Class B-BWL (H-M) license; (4) a Class C beer and wine license; (5) a Class C BWL
license; (6) an arena license; or (7) a marketplace license.
The bill authorizes the board to issue a Class B-D-7 license on the eastern side of the
400 block of North Howard Street in the 40th alcoholic beverages district if (1) the
applicant does not convert the license to a different license class; (2) alcoholic beverages
are served outdoors only to patrons seated at tables or standing in a courtyard area; (3) the
applicant does not allow the off-premises sale of alcoholic beverages; (4) alcoholic
beverages sales begin no earlier than 10:00 a.m.; and (5) the applicant executes
memorandums of understanding (MOU), as specified.
The bill additionally authorizes the board to issue a Class C BWL license in the 1200 block
of Eutaw Place in the 40th alcoholic beverages district, if the applicant executes a
MOU with the Bolton Hill Community Association.
Current Law:
General Restriction on Hours of Sale
A licensed establishment generally may not permit consumption between 2:00 a.m. and
6:00 a.m. except as otherwise specified. Authorized hours of sale may further vary
depending on the class of license and location within Baltimore City.
Class B-D-7 Licenses
The board may issue a Class B-D-7 license if it determines, upon consideration of the
number of beer, wine, and liquor outlets in the affected area and the outlets’ days of sale,
that the license is reasonably necessary for public convenience. A Class B-D-7 license
authorizes the licensee to sell beer, wine, and liquor for on- and off-premises consumption.
With specified exceptions, a Class B-D-7 licensee may generally sell beer, wine, and liquor
from 6:00 a.m. to 2:00 a.m. the following day. The annual license fee is $1,320.
Class C BWL Licenses
In Baltimore City, Class C licenses generally authorize clubs and other organizations to
sell alcoholic beverages for on-premises consumption. A Class C BWL license authorizes
the license holder to sell beer, wine, and liquor at a club at the place described in the license
for on-premises consumption. The annual license fee is $550.
Local Revenues: The bill authorizes the board to issue one Class B-D-7 license and
one Class C BWL license within the 40th alcoholic beverages district. Assuming that both
licenses are issued in fiscal 2022, Baltimore City revenues increase by $3,070 in
SB 755/ Page 2
fiscal 2022 and $1,970 annually thereafter. This estimate accounts for annual license fees
of $1,320 (for the Class B-D-7 license) and $550 (for the Class C BWL license), as well as
a $600 application fee and $50 renewal fee for each license.
                               Additional Information
Prior Introductions: None.
Designated Cross File: HB 1288 (Delegate Amprey) - Economic Matters.
Information Source(s): Department of Legislative Services
Fiscal Note History:     First Reader - February 18, 2021
an/tso                   Third Reader - March 19, 2021
                                Revised - Amendment(s) - March 19, 2021
Analysis by: Tyler Allard                             Direct Inquiries to:
                                                      (410) 946-5510
                                                      (301) 970-5510
SB 755/ Page 3
Statutes affected: 
Text - First - Baltimore City - 40th District Alcoholic Beverages: 12-102 Alcoholic Beverages, 12-1603 Alcoholic Beverages, 12-2004 Alcoholic Beverages, 12-2005 Alcoholic Beverages
Text - Third - Baltimore City - 40th District Alcoholic Beverages: 12-102 Alcoholic Beverages, 12-1603 Alcoholic Beverages, 12-2004 Alcoholic Beverages, 12-2005 Alcoholic Beverages