S.B. 524

VETOES

six of the City senators, including the sponsor of the bill, to veto the legislation for several
reasons. The amendment at issue was added to Senate Bill 524 in the final moments of
the Legislative Session. It was not the subject of any public hearing and was not reviewed
by either the Baltimore City Delegation or the Senate Economic and Environmental
Affairs Committee.

While the intent of the amendment, as explained on the Senate floor, was to prohibit
what are referred to as "mega bars," any establishment with a capacity of 150 or more
that serves alcoholic beverages would be prohibited unless it could satisfy the average
daily receipts requirement. It has been brought to my attention that many restaurants
with a capacity of over 150 persons would not be able to meet that requirement. The 1987
Census of Retail Trade indicates that a national average of 20.7 percent of total sales in
restaurants is from alcoholic drinks (79.3 percent in food). While on its face, the 80
percent daily food receipts requirement of the bill may seem reasonable, even the average
restaurant (79.3 percent) technically would not meet the requirement, and would be
prohibited. Furthermore, by virtue of that figure being an average, many establishments
would fall above the 20 percent figure, and also be prohibited. Whether the General
Assembly intended such a broad prohibition is unknown because this provision was not
subject to any public hearings or debate.

Additionally, no provision in the bill addresses the circumstance where a restaurant fails
to meet the 80 percent food requirement in a given year. The restaurant potentially could
lose its liquor license, an event that could severely impact the viability of the restaurant.

Like those who requested a veto, I appreciate the intent behind the amendment.
However, a bill could be more narrowly crafted to address the problem. The sponsor of
the original bill has pledged to work with the amendment's sponsor to fashion a bill that
more narrowly and appropriately addresses the problem. I support that endeavor.

For these reasons, I have vetoed Senate Bill 524.

Sincerely,

Parris N. Glendening

Governor                                                                     

Senate Bill No. 524

AN ACT concerning

Baltimore City - Alcoholic Beverages - Board of License Commissioners

FOR the purpose of prohibiting the transfer of an alcoholic beverages license into or within
certain areas of Baltimore City; establishing certain exceptions; including certain areas of
Baltimore City within a certain exception to certain restrictions on the issuance and
transfer of certain alcoholic beverages licenses; expanding the standards for removing
an employee of the Board of License Commissioners for Baltimore City; prohibiting
a commissioner or employee of the Board of License Commissioners for Baltimore
City from soliciting or receiving, directly or on behalf of another person, a political
contribution from certain persons; prohibiting a licensee or a person who is engaged
in the manufacture or sale of alcoholic beverages from making a political

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