Maryland 2025 Regular Session

Maryland Senate Bill SB542 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2
3	3	EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4	4	[Brackets] indicate matter deleted from existing law.
5	5	sb0542
6	6
7	7	SENATE BILL 542
8	8	A1 5lr1704
9	9
10	10	By: Senators Charles, Muse, and Ellis
11	11	Introduced and read first time: January 23, 2025
12	12	Assigned to: Finance
13	13
14	14	A BILL ENTITLED
15	15
16	16	AN ACT concerning 1
17	17
18	18	Alcoholic Beverages Industry – Study 2
19	19
20	20	FOR the purpose of requiring the Governor’s Office of Small, Minority, and Women 3
21	21	Business Affairs to contract with an independent consultant to conduct a certain 4
22	22	study concerning the alcoholic beverages industry in the State; and generally 5
23	23	relating to a study of the alcoholic beverages industry in the State. 6
24	24
25	25	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 7
26	26	That: 8
27	27
28	28	(a) In this section, “Office” means the Governor’s Office of Small, Minority, and 9
29	29	Women Business Affairs. 10
30	30
31	31	(b) The Office shall contract with an independent consultant to complete a study 11
32	32	of the structure and composition of the distribution and retail sector of the alcoholic 12
33	33	beverages industry in the State and to make recommendations on identifying and 13
34	34	eliminating barriers to minority participation in that industry. 14
35	35
36	36	(c) The study shall include: 15
37	37
38	38	(1) current participation rates and data organized by racial and ethnic 16
39	39	demographics for distributors and retailers; 17
40	40
41	41	(2) historical business participation rates and data organized by racial and 18
42	42	ethnic demographics for distributors and retailers; 19
43	43
44	44	(3) the names and total numbers organized by racial and ethnic 20
45	45	demographics of the following that are carried by, or do business with, each distributor and 21
46	46	retailer: 22
47	47
48	48	(i) brands by name; 23 2 SENATE BILL 542
49	49
50	50
51	51
52	52	(ii) brand owners; 1
53	53
54	54	(iii) distillers; 2
55	55
56	56	(iv) importers; 3
57	57
58	58	(v) manufacturers; 4
59	59
60	60	(vi) producers; 5
61	61
62	62	(vii) winemakers; and 6
63	63
64	64	(viii) creators of any product that contains alcohol, but is not 7
65	65	specifically mentioned above; 8
66	66
67	67	(4) how the structure of the distribution and retail sector of the Maryland 9
68	68	alcoholic beverages industry compares to similar structures in other licensing states; 10
69	69
70	70	(5) how the participation of businesses owned by different demographics in 11
71	71	Maryland compares to the business participation in other states, where available; and 12
72	72
73	73	(6) areas that have potential discrimination within the industry that could 13
74	74	warrant remedial action. 14
75	75
76	76	(d) The recommendations shall include: 15
77	77
78	78	(1) identifying barriers to participation within the distribution and retail 16
79	79	sector tier of the alcoholic beverages industry; 17
80	80
81	81	(2) how the State can enhance business participation in the alcoholic 18
82	82	beverages industry; and 19
83	83
84	84	(3) other data that may need to be collected or authorized to fully 20
85	85	understand the opportunity of business enterprises to participate in the alcoholic beverages 21
86	86	industry. 22
87	87
88	88	(e) The Office shall consult with the Office of the Attorney General, the 23
89	89	Department of Transportation, and the Alcohol, Tobacco, and Cannabis Commission in 24
90	90	developing the solicitation for an independent consultant under this section. 25
91	91
92	92	(f) (1) Each holder of a State or local alcoholic beverages license or permit 26
93	93	must cooperate with the Office and the independent consultant in providing the following 27
94	94	information: 28
95	95
96	96	(i) services provided by a wholesaler to a supplier or manufacturer 29
97	97	in exchange for distribution rights within the State; 30 SENATE BILL 542 3
98	98
99	99
100	100
101	101	(ii) a list of suppliers that licensed wholesalers distribute on behalf 1
102	102	of; 2
103	103
104	104	(iii) lists of brands sold within the State by each retailer, along with 3
105	105	the demographics of the owner; 4
106	106
107	107	(iv) lists of brands distributed within the State by each wholesaler, 5
108	108	along with the demographics of the owner; 6
109	109
110	110	(v) the percentage of wholesaler revenues for each brand owner 7
111	111	account service; and 8
112	112
113	113	(vi) the percentage of retailer revenues for each brand owner. 9
114	114
115	115	(2) Each holder of a State or local alcoholic beverages license or permit, or 10
116	116	applicant for a license or permit, shall cooperate with requests from the Office or the 11
117	117	independent consultant and provide the requested information within 75 days after 12
118	118	receiving the request. 13
119	119
120	120	(3) The Office of the Comptroller and each local licensing board shall 14
121	121	cooperate with requests from the Office or the independent consultant and provide the 15
122	122	requested information within 75 days after receiving the request. 16
123	123
124	124	(g) Information provided in accordance with this section by each holder of a State 17
125	125	or local alcoholic beverages license or permit, or applicant for a license or permit: 18
126	126
127	127	(1) shall: 19
128	128
129	129	(i) constitute confidential commercial information and confidential 20
130	130	financial information; and 21
131	131
132	132	(ii) be treated as confidential by the independent consultant and the 22
133	133	State; and 23
134	134
135	135	(2) may be: 24
136	136
137	137	(i) used only for purposes authorized under this section; and 25
138	138
139	139	(ii) disclosed to the public only in an anonymized or aggregated 26
140	140	format. 27
141	141
142	142	(h) On or before December 1, 2026, the Office shall submit the completed report 28
143	143	and recommendations, along with any additional information the Office considers 29
144	144	pertinent, to the Governor and, in accordance with § 2–1257 of the State Government 30
145	145	Article, the General Assembly. 31
146	146	4 SENATE BILL 542
147	147
148	148
149	149	SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect June 1
150	150	1, 2025. It shall remain effective for a period of 2 years and 1 month and, at the end of June 2
151	151	30, 2027, this Act, with no further action required by the General Assembly, shall be 3
152	152	abrogated and of no further force and effect. 4