Maryland Code § ABC-13-1604

Section ABC-13-1604
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(a) In this section, "eligible transferor district" means an election district in
which the total number of Class B and Class D licenses, excluding exception licenses,
is 10% or greater than the total number of Class B and Class D licenses that are
allowed in an election district based on the rule of the Board that limits the total
number of licenses available in an election district by population.
(b) (1) Subject to paragraphs (2) and (3) of this subsection, the Board
may approve the transfer of a Class B or Class D license in existence in an eligible
transferor district on June 1, 2025, to another election district if:
(i) the approval occurs anytime from June 1, 2025, to May 31,
2028, both inclusive; and
(ii) prior to the transfer, the number of licenses in existence in
the election district to which the license is to be transferred is not greater than 25%
more than the number of licenses that would otherwise exist in that election district,
based on the rule of the Board that limits the total number of licenses available in an
election district by population.
(2) (i) The Board may not authorize the transfer of more than five
Class B or Class D licenses in existence on June 1, 2025, in total under this section.
(ii) Not more than two licenses may be transferred under this
subsection into any single election district.
(3) (i) When the Board receives an application to transfer a
license under this section, the Board shall notify the county Department of Economic
and Workforce Development.
(ii) 1. This subparagraph applies when the license holder
owns the property from which the license is to be transferred.

2. The application to transfer a license shall include
information on the status of the real property associated with the license to be
transferred and any plans for disposition and future use of the property after the
transfer of the license.
3. Except as provided in subparagraph (iv) of this
paragraph, the Board shall deny a transfer under this section if it determines, based
on an assessment provided by the county Department of Economic and Workforce
Development, that:
A. the applicant has not demonstrated that there is an
appropriate future use of the property from which the license is to be transferred after
the transfer; or
B. the transfer will result in significant negative
economic impact to the community that surrounds the property from which the
license is to be transferred.
(iii) 1. This subparagraph applies when the license holder
has no ownership in the property from which the license is to be transferred.
2. The county Department of Economic and Workforce
Development may submit a letter to the Board regarding the economic impact the
transfer of the license will have on the community that surrounds the property from
which the license is to be transferred.
3. The Board may deny a transfer under this section
based on the letter received in accordance with subsubparagraph 2 of this
subparagraph, unless the Board finds that the applicant has undertaken a good faith
effort to facilitate a future use of the property by advising the property owner of the
intention to transfer the license to another location.
4. The applicant may submit information to the Board
in support of the transfer of the license.
(iv) The Board may waive the requirement under
subparagraph (ii)3 of this paragraph if, with the concurrence of the county
Department of Economic and Workforce Development, the Board finds that the
license holder has undertaken good faith efforts to facilitate a future use of the
property and mitigate any negative economic impacts to the surrounding community.
(c) (1) A Class B Service Bar (SB) beer and wine license may be issued
only in compliance with this subsection.

(2) A Class B Service Bar (SB) license allows:
(i) sales of beer and wine for on-premises consumption; and
(ii) alcoholic beverages to be served to patrons only as part of
a meal.
(3) A Class B Service Bar (SB) license may be used only in the
operation of a restaurant, as defined by the Board and this article, that:
(i) has table service; and
(ii) maintains average daily receipts from the sale of food of at
least 60% of the total daily receipts of the establishment.
(4) A Class B Service Bar (SB) license does not allow service to a
customer who is standing or accepting delivery of purchased food or beverage items
other than while seated at a table.
(5) (i) Except as provided in subparagraph (ii) of this paragraph,
the proposed restaurant for which a Class B Service Bar (SB) license is sought shall
comply with the zoning ordinances of the county, including allowing seating for not
fewer than 30 customers and not more than 100 customers.
(ii) The license may not be used in conjunction with the
viewing of televised sporting events or the use of live bands, disc jockeys, karaoke, or
any other form of live entertainment.
(6) A Class B or D license transferred under subsection (b) of this
section or a Class B Service Bar (SB) license issued under this subsection may not
thereafter be transferred from the licensed premises or converted to another class of
license.
(d) The annual fee for a Class B Service Bar (SB) beer and wine license is
$5,000.
(e) (1) When a license is transferred from an eligible transferor district
to another election district under this section, the license does not continue to exist
in the eligible transferor district from which it was transferred.
(2) Subject to the 25% allowance authorized in subsection (b)(1)(ii) of
this section, the Board shall consider a license transferred under this section to be a
regular license and not an exception license for determining the total number of
licenses available in an election district based on the rule of the Board.

(f) (1) The Board:
(i) shall convert a Class D license that is transferred from an
eligible transferor district to any other election district to a Class B license; and
(ii) may not thereafter transfer the Class B license from the
licensed premises or convert the license to another class of license.
(2) The Board may not transfer from a licensed premises or convert
a license to another class of license:
(i) a new license issued by the Board based on an increase in
population under the rule of the Board limiting the total number of licenses available
by population; or
(ii) a license that has been revoked and reissued by the Board.

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