EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. Underlining indicates amendments to bill. Strike out indicates matter stricken from the bill by amendment or deleted from the law by amendment. *hb1052* HOUSE BILL 1052 A2 4lr1706 CF SB 1100 By: Delegates Clippinger, Edelson, and R. Lewis Introduced and read first time: February 7, 2024 Assigned to: Economic Matters Committee Report: Favorable House action: Adopted Read second time: March 8, 2024 CHAPTER ______ AN ACT concerning 1 Baltimore City – Alcoholic Beverages – 46th Alcoholic Beverages District – 2 Revisions 3 FOR the purpose of providing that, in the 46th alcoholic beverages district in Baltimore 4 City, a certain license may be issued and an existing license may be moved to a 5 building that is within a certain distance of a place of worship or school under certain 6 circumstances; authorizing the Board of License Commissioners for Baltimore City 7 to waive a certain requirement for a certain license holder that operates a restaurant 8 to remain open after hours; extending for a certain amount of time the expiration of 9 an alcoholic beverages license for the purpose of a transfer; authorizing a certain 10 license conversion under certain circumstances; and generally relating to alcoholic 11 beverages licenses in the 46th alcoholic beverages district in Baltimore City. 12 BY repealing and reenacting, without amendments, 13 Article – Alcoholic Beverages and Cannabis 14 Section 12–102 and 12–1604.1 15 Annotated Code of Maryland 16 (2016 Volume and 2023 Supplement) 17 BY repealing and reenacting, with amendments, 18 Article – Alcoholic Beverages and Cannabis 19 Section 12–1605(b) and 12–2007 20 Annotated Code of Maryland 21 (2016 Volume and 2023 Supplement) 22 2 HOUSE BILL 1052 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 1 That the Laws of Maryland read as follows: 2 Article – Alcoholic Beverages and Cannabis 3 12–102. 4 This title applies only in Baltimore City. 5 12–1604.1. 6 (a) This section applies only to a license holder of a Class D beer and light wine 7 license for use in the 46th alcoholic beverages district. 8 (b) (1) A license holder who holds a valid Class D beer and light wine license 9 may apply to the Board to convert the license to a Class D beer, wine, and liquor license if 10 the license holder: 11 (i) 1. maintains average daily receipts from the sale of food that 12 are at least 51% of its total daily receipts; 13 2. executes a memorandum of understanding with the 14 relevant local neighborhood association as determined by the Board; 15 3. operates a location with not more than 75 seats; and 16 4. pays a special transfer fee of $15,000, in addition to any 17 fees required under § 12–1704 of this title; or 18 (ii) 1. holds a license that was originally issued by the Board 19 under § 12–1604(i) of this subtitle; and 20 2. pays a special transfer fee of $15,000, in addition to any 21 fees required under § 12–1704 of this title. 22 (2) If a Class D beer and light wine license is converted to a Class D beer, 23 wine, and liquor license under paragraph (1) of this subsection, the Class D beer, wine, and 24 liquor license: 25 (i) may not be transferred to a new location; and 26 (ii) is subject to the requirements of paragraph (1) of this subsection. 27 (c) A holder of a license converted under this section may sell beer, wine, and 28 liquor Monday through Sunday from 6 a.m. until 1 a.m. the following day. 29 (d) An application to convert a Class D beer and light wine license under 30 HOUSE BILL 1052 3 subsection (b)(1) of this section is a transfer subject to the provisions of § 12–1701 of this 1 title. 2 12–1605. 3 (b) (1) This subsection: 4 (i) applies only in the 46th alcoholic beverages district; and 5 (ii) does not apply to a licensed restaurant in: 6 1. ward 4, precinct 1; 7 2. ward 22, precinct 1; 8 3. a residential planned unit development for Silo Point as 9 approved by the Mayor and City Council in Ordinance 04–697 on June 23, 2004; [or] 10 4. subject to paragraph (3) of this subsection, the area that is 11 bounded as follows: from the intersection of West Ostend Street and Race Street, north on 12 Race Street to Seldner Place, then east on Seldner Place to Clarkson Street, then north on 13 Clarkson Street to West Cross Street, then east on West Cross Street to South Hanover 14 Street, then north on South Hanover Street to Race Street (also known as Winter Street), 15 then west/southwest on Race Street to West Cross Street, then west on West Cross Street 16 to Leadenhall Street, then south on Leadenhall Street to West Ostend Street, then east on 17 West Ostend Street back to the intersection of West Ostend Street and Race Street; 18 5. SUBJECT TO PARAGRAPH (4) OF THIS SUBSECTION , 19 THE AREA THAT IS BOU NDED AS FOLLOWS : FROM THE INTERSECTIO N OF EASTERN 20 AVENUE AND SOUTH HIGHLAND AVENUE, NORTH ON SOUTH HIGHLAND AVENUE 21 TO BANK STREET, THEN WEST ON BANK STREET TO SOUTH CLINTON STREET, THEN 22 SOUTH ON SOUTH CLINTON STREET TO EASTERN AVENUE, THEN EAST ON EASTERN 23 AVENUE BACK TO T HE INTERSECTION OF EASTERN AVENUE AND SOUTH HIGHLAND 24 AVENUE; OR 25 6. SUBJECT TO PARAGRAPH (5) OF THIS SUBSECTION , 26 THE AREA THAT IS BOU NDED AS FOLLOWS : FROM THE INTERSECTIO N OF EASTERN 27 AVENUE AND SOUTH NEWKIRK STREET, EAST ON EASTERN AVENUE TO OLDHAM 28 STREET, THEN SOUTH ON OLDHAM STREET TO FLEET STREET, THEN WEST ON 29 FLEET STREET TO SOUTH NEWKIRK STREET, THEN NORTH ON SOUTH NEWKIRK 30 STREET BACK TO THE IN TERSECTION OF SOUTH NEWKIRK STREET AND EASTERN 31 AVENUE. 32 (2) The Board may not issue or approve the transfer of a license if the 33 licensed premises would be: 34 4 HOUSE BILL 1052 (i) within 300 feet of the nearest point of a place of worship or school; 1 or 2 (ii) closer to the nearest point of a place of worship or school than the 3 licensed premises was on June 1, 2004. 4 (3) For an establishment that is within 300 feet of the nearest point of a 5 place of worship or school, the Board may issue a license in or approve the transfer of a 6 license into the area specified in paragraph (1)(ii)4 of this subsection only if the Board: 7 (i) has executed a memorandum of understanding with a 8 community association in the area specified in paragraph (1)(ii)4 of this subsection 9 regarding the nature of the establishment; and 10 (ii) enforces the memorandum of understanding against any license 11 holder that obtains a license under paragraph (1)(ii)4 of this subsection and seeks to renew 12 or transfer the license. 13 (4) FOR AN ESTABLISHMENT THAT IS WITHIN 300 FEET OF THE 14 NEAREST POINT OF A P LACE OF WORSHIP OR S CHOOL, THE BOARD MAY ISSUE A 15 LICENSE IN OR APPROVE THE TR ANSFER OF A LICENSE INTO THE AREA SPECIF IED 16 IN PARAGRAPH (1)(II)5 OF THIS SUBSECTION O NLY IF THE BOARD: 17 (I) HAS EXECUTED A MEMOR ANDUM OF UNDERSTANDI NG WITH 18 A COMMUNITY ASSOCIAT ION IN THE AREA SPEC IFIED IN PARAGRAPH (1)(II)5 OF 19 THIS SUBSECTION REGARDING THE NATURE OF THE ES TABLISHMENT ; AND 20 (II) ENFORCES THE MEMORAN DUM OF UNDERSTANDING 21 AGAINST ANY LICENSE HOLDER THAT OBTAINS A LICENSE UNDER PARA GRAPH 22 (1)(II)5 OF THIS SUBSECTION A ND SEEKS TO RENEW OR TRANSFER THE LICENSE . 23 (5) FOR AN ESTABLISHMENT THA T IS WITHIN 300 FEET OF THE 24 NEAREST POINT OF A P LACE OF WORSHIP OR S CHOOL, THE BOARD MAY ISSUE A 25 LICENSE IN OR APPROV E THE TRANSFER OF A LICENSE INTO THE ARE A SPECIFIED 26 IN PARAGRAPH (1)(II)6 OF THIS SUBSECTION O NLY IF THE LICENSE H OLDER HAS 27 RECEIVED A LETTER OF SUPPORT FROM A PLACE OF WORSHIP OR SCHOOL THAT IS 28 WITHIN THE BOUNDED A REA. 29 12–2007. 30 (a) Except as provided in subsection (b) of this section, a licensed premises shall 31 end all operations, including the serving of alcoholic beverages and food and providing 32 entertainment, at the closing hour for that class of licensed premises specified in this title. 33 HOUSE BILL 1052 5 (b) (1) The Board may grant an exemption for remaining open after hours to: 1 (i) a holder of a Class B restaurant license, only for serving food to 2 patrons seated for dining; 3 (ii) a pharmacy that fills prescriptions; or 4 (iii) a holder of a Class D beer, wine, and liquor license that operates 5 a restaurant, if: 6 1. it is used only for serving food to patrons seated in a dining 7 room that is not adjacent to a bar; and 8 2. the restaurant is located in the 46th Legislative District in 9 the Legislative Districting Plan of 2022. 10 (2) A pharmacy that receives an exemption under paragraph (1) of this 11 subsection may also sell products other than alcohol after normal closing hours. 12 (3) A hotel that holds a Class B license and that serves food to seated 13 customers or for private functions or guest rooms may continue to provide food service. 14 (4) THE BOARD MAY WAIVE THE R EQUIREMENT IN PARAGR APH 15 (1)(III)1 OF THIS SUBSECTION T HAT A DINING ROOM NO T BE ADJACENT TO A B AR. 16 SECTION 2. AND BE IT FURTHER ENACTED, That: 17 (a) Notwithstanding § 12–1705 of the Alcoholic Beverages and Cannabis Article, 18 a Class B–D–7 license issued for a premises on the 2800 block of O’Donnell Street shall be 19 considered unexpired until the end of July 1, 2024, for the purpose of completing a transfer 20 of ownership at the same location. 21 (b) Notwithstanding § 12–1604.1 of the Alcoholic Beverages and Cannabis 22 Article, a holder of a Class D beer and light wine license on the 3200 block of Eastern 23 Avenue may apply to the Board to convert to a Class D beer, wine, and liquor license if the 24 license holder meets each requirement in § 12–1604.1 except for the requirement to 25 maintain average daily receipts from the sale of food that are at least 51% of the total daily 26 receipts. 27 SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect July 28 1, 2024. Section 2 of this Act shall remain effective for a period of 1 year and 1 month and, 29 at the end of July 31, 2025, Section 2 of this Act, with no further action required by the 30 General Assembly, shall be abrogated and of no further force and effect. 31