Administrative Order NO 2015-02 - Distilled Spirit Value Added Packages

In the matter of Distilled Spirit Value Added Packages, distributed by the Authorized Distribution Agents General Wine and Liquor Company, Inc.; NWS Michigan, LLC; and Chinese Import and Export Co. at the March 3, 2015 meeting of the Michigan Liquor Control Commission (Commission) in Lansing, Michigan.

Present: Andrew J. Deloney, Chairman; Teri L. Quimby, Commissioner; Dennis Olshove, Commissioner

Administrative Order no. 2015-02

Distilled Spirit Value Added Packages

Under Article IV, Section 40, of the Constitution of Michigan (1963), the Commission shall exercise complete control of the alcoholic beverage traffic within this state, including the retail sales thereof, subject to statutory limitations. MCL 436.1201(2) provides the Commission with the sole right, power, and duty to control the alcoholic beverage traffic and traffic in other alcoholic liquor within this state, including the manufacture, importation, possession, transportation and sale thereof. Further, administrative rule R 436.1802(14) authorizes the Commission to establish, by order, further business operating procedures for Authorized Distribution Agents (ADAs) relative to the wholesaling and distribution of spirits.

The Commission finds that distilled spirit value added package requirements are necessary to regulate distilled spirit value added packages offered for sale within the state. The existing distilled spirit value added package requirements are outdated. The Commission is aware of national commercial trends in the distilled spirit industry. To better serve the retail licensees, vendors of spirits, and consumers in this state, new requirements are necessary.

After review and discussion of these issues at the meeting, the Commission finds that this Administrative Order should be approved to establish requirements for distilled spirit value added packages. Further, the Commission finds that Administrative Orders 2012-06 and 2012-08 dated September 11, 2012; Administrative Orders dated March 28, 2006, July 24, 2001, and November 4 1998; and Bulletins numbered 3145-17, 3120-17, 3099-17, 3067-17, 3024-17, and 2936-17, should all be rescinded immediately.

Therefore, it is ordered that: