SENATE BILL NO. 386

INTRODUCED BY D. MAHLUM

A BILL FOR AN ACT ENTITLED: "AN ACT PROVIDING FOR THE TRANSFER AND ADMINISTRATION OF LIQUOR LICENSES THAT WERE PURCHASED BY THE STATE WITH VIRGINIA CITY AND NEVADA CITY; PROVIDING THAT THE LICENSES BE HELD BY THE MONTANA HERITAGE PRESERVATION AND DEVELOPMENT COMMISSION; PROVIDING THAT THE LICENSES MAY BE LEASED TO PERSONS OR ENTITIES APPROVED BY THE DEPARTMENT OF REVENUE; PROVIDING THAT THE LICENSES ARE SUBJECT TO THE SAME LAWS GOVERNING THE USE AND OPERATION OF ALL OTHER RETAIL LIQUOR LICENSES; AND AMENDING SECTION 16-4-205, MCA."

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:

NEW SECTION. Section 1. Montana heritage retail alcoholic beverage licenses -- use -- quota. (1) (a) The Montana heritage preservation and development commission may use Montana heritage retail alcoholic beverage licenses within the quota area in which the licenses were originally issued, for the purpose of providing retail alcoholic beverage sales on property acquired by the state under Title 22, chapter 3, part 10. The licenses are to be considered when determining the appropriate quotas for issuance of other retail liquor licenses.

(b) The department may issue a wine amendment pursuant to 16-4-105(2) if the use of a Montana heritage retail alcoholic beverage license for the sale of beer meets all the requirements of that section.

(2) The Montana heritage preservation and development commission may lease a Montana heritage retail alcoholic beverage license to an individual or entity approved by the department.

(3) Montana heritage retail alcoholic beverage licenses are subject to all laws and rules governing the use and operation of retail liquor licenses.

(4) For the purposes of this section, "Montana heritage retail alcoholic beverage licenses" are all-beverages liquor licenses and retail on-premises beer licenses that have been transferred to the Montana heritage preservation and development commission under the provisions of [section 2].

NEW SECTION. Section 2. Transfer of certain liquor licenses to Montana heritage preservation and development commission. Notwithstanding the provisions of Title 16, chapter 4, the department shall transfer the ownership of the following alcoholic beverage licenses to the Montana heritage preservation and development commission:

(1) the all-beverages licenses owned by the Montana historical society foundation and by the Daly mansion trust; and

(2) the retail beer license for on-premises consumption owned by the Montana historical society foundation.

Section 3. Section 16-4-205, MCA, is amended to read:

"16-4-205. Limit one license to person -- business in name of licensee. (1) A person may not be issued more than one all-beverages license in any year, with the exception of a secured party issued an additional all-beverages license as the result of a default. A secured party shall transfer ownership of any additional all-beverages license within 180 days of issuance. A business may not be carried on under any license issued under this chapter except in the name of the licensee.

(2) The provisions of this section do not apply to licenses held by the Montana heritage preservation and development commission under the provisions of [section 1]."

NEW SECTION. Section 4. Codification instruction. [Section 1] is intended to be codified as an integral part of Title 16, chapter 4, part 3, and the provisions of Title 16, chapter 4, part 3, apply to [section 1].

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