WILLIAM DONALD SCHAEFER, Governor

Ch. 239

Article 2B - Alcoholic Beverages

19.

(q) (1) (i) In Montgomery County this license shall be issued by the Board of
License Commissioners only to the owner of any restaurant or hotel that has a minimum
dining area of 1,000 square feet located in the third, fourth, seventh, eighth, ninth, tenth,
or thirteenth election districts of the County except in the Town of Poolesville, Takoma
Park and Kensington. As a prerequisite for the initial issuance of a license under this
subsection, the owner shall attest in a sworn statement that gross receipts from food sales
in the restaurant or hotel will be at least equal to the gross receipts from the sale of
alcoholic beverages. As a prerequisite for each renewal of a license issued under this
subsection, the owner shall attest in a sworn statement that the gross receipts from food
sales in the restaurant or hotel for the 12-month period immediately preceding the
application for renewal have been at least equal to the gross receipts from the sale of
alcoholic beverages. The Board of License Commissioners by regulation shall provide for
periodic inspection of the premises and for audits to determine the ratio of gross receipts
from the sale of food to gross receipts from the sale of alcoholic beverages. Any
regulations adopted by the Board shall include a requirement of at least monthly physical
inspections of the premises during the initial license year of any licensee and the
submission by the licensee to the Board, during the initial license year, of monthly
statements showing gross receipts from the sale of food and gross receipts from the sale
of alcoholic beverages for the immediately preceding month. In the event that a licensee,
during the initial license year, fails to maintain the sales ratio requirement provided in
this paragraph for a period of three consecutive months or after the initial license year for
each license or calendar year, the Board, in its discretion, may revoke the license. The
Board may require any licensee to provide supporting data as it, in its discretion, deems
necessary, in order to establish that the requirements of this section relating to the ratio
of gross receipts from the sale of food to those from the sale of alcoholic beverages have
been met. For the purposes of this section the term "dining area" means the area
occupied by patrons for the purpose of the consumption of food. It may include also a
cocktail area where food need not be served if there is no separate outdoor entrance to
the cocktail area. A license issued under this subsection authorizes its holder to keep for
sale and sell alcoholic beverages for consumption on the premises only, and alcoholic
beverages may not be served to patrons or consumed at any bar, counter without seats, or
other room but in the dining area. However, the seats in the cocktail area may not exceed
25 percent of the seats normally available for the general public in the dining area,
including the cocktail area portion, but excluding special banquet and private party
facilities.

(ii) Signs visible from the exterior of the building, advertising the sale
of alcoholic beverages, are not permitted in connection with any restaurant or hotel
holding a license issued under the provisions of this section except for the display of the
menu then in use by the licensee.

(iii) The annual license fee for this license is $2,500.

(2) (i) In Montgomery County there is a special Class B license known as
Class B-BWL (H-M) which shall be issued only for hotels and motels that meet the
minimum requirements set forth in subsection (a)(3) of this section. All of the privileges

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