J. MILLARD TAWES, Governor                       141

CHAPTER 140
(House Bill 239)

AN ACT to repeal and re-enact, with amendments, Section 165 (d)
of Article 2B of the Annotated Code of Maryland (1957 Edition),
title "Alcoholic Beverages," subtitle "County Liquor Control
Boards and Dispensaries," to change the time in Kent County for
payment of the proceeds of profits from the operation of alcoholic
beverage dispensaries to Kent County and to incorporated towns
in the county.

Section 1. Be it enacted by the General Assembly of Maryland,
That Section 165 (d) of Article 2B of the Annotated Code of Mary-
land (1957 Edition), title "Alcoholic Beverages," subtitle "County
Liquor Control Boards and Dispensaries," be and it is hereby re-
pealed and re-enacted, with amendments, to read as follows:

165.

(d) (1) All net profits arising from the operation of said dis-
pensaries and branch dispensaries, as aforesaid, shall be first
applied toward payment of any and all sums, advanced to or borrowed
by the liquor control board. After such sums have been paid, the
said liquor control board shall be authorized to create and maintain
a reserve fund not to exceed one hundred thousand dollars ($100,-
000.00) including the total inventory of such stock and supplies on
hand, to provide adequate working capital and to meet any losses
that may be sustained by said board in the operation of such dis-
pensaries. Sixty-six and two-thirds percent (66⅔%) of all net
profits in excess of the above shall belong to and be paid over to the
County Commissioners of Kent County on or before [June] July 1
of each and every year, the remaining thirty-three and one-third
percent (33⅓%) of all net profits shall on or before [June] July 1
of each and every year, be paid to the governing body of each of the
several incorporated towns of Kent County in which dispensaries
are located, pro rata, in the proportion that the profits derived from
the sale of alcoholic beverages in said incorporated towns bear to
the total amount to be paid over to said incorporated towns.

(2)   The governing body of the Town of Betterton shall use its
share of the receipts from the dispensary located in said town for
improving the sewerage system and when these improvements have
been completed, then for improving the water supply system, and
such receipts shall not be used for any other purpose until the said
improvements have been made. The governing body of the Town of
Galena shall use its share of the receipts from the dispensary located
in said town for installing water mains and contracting for securing
water or for purchasing a water supply, and such receipts shall
not be used for any other purpose until the said improvements have
been made.

(3)   The governing body of the Town of Rock Hall shall use its
share of the receipts from the dispensary located in said town for
improving the water system or constructing a sewer system, as
said town commissioners shall determine, and such receipts shall not
be used for any other purpose until the said improvements have
been made.