[Ord. No. 2024-05, 8-8-2024]
This article governs applications for specially designated merchant
("SDM") licenses, specially designated distributor ("SDD") licenses,
and all licenses to sell beer, wine, or spirits for on-premises consumption
within the Township, including, but not limited to, Class B licenses,
Class C licenses, resort licenses, tavern licenses, club licenses,
hotel licenses, and tasting rooms operated by manufacturers, including,
but not limited to, brewers, micro-brewers, wine makers, small wine
makers, distillers, small distillers, mixed drink spirit manufacturers,
and brandy manufacturers. This article does not apply to applications
for special licenses granted by the Michigan Liquor Control Commission,
or one-day permits as allowed by statute.
The Township acknowledges the difference which the law recognizes
between applications for new licenses and the transfer, renewal, or
revocation of existing licenses. This article is designed to provide
a framework in which the Township can decide whether to approve or
deny an application for a new license or an application to transfer
an existing license. This framework, when followed, will show a reviewing
court that the Township's discretion was not exercised arbitrarily
or capriciously. The Township acknowledges that existing licensees
have certain property rights in those licenses. Thus, for the renewal
or revocation of existing licenses, the Township has adopted a system
in this article to meet procedural due process requirements.
[Ord. No. 2024-05, 8-8-2024]
(a) This article establishes an application and review process for the
issuance of both new licenses and the transfer of existing licenses
into the Township or between or among applicants. The process is intended
to ensure that the individuals and entities seeking licenses from,
or charged with operating licensed establishments within, the Township,
meet certain qualifications and minimum requirements, including, but
not limited to, criminal history, past conduct, zoning, and ongoing
business operation standards. It requires Township Board review of
application information in light of certain criteria that is established
for purposes of identifying the kinds of facilities that qualify for
a license. It reserves to the Township any and all discretion afforded
to it under applicable law relating to the issuance of licenses.
(b) As a general matter of policy, each applicant for a license will
need to demonstrate an identifiable benefit to the Township and its
inhabitants resulting from the granting of the license. The weight
to be given to each item of the criteria identified in this article,
and the determination whether a particular applicant meets or satisfies
those criteria, is intended to be within the sole discretion of the
Township Board. While all of the criteria set forth in this article
are relevant to the decision whether to grant a license, an applicant
must demonstrate in particular that the proposed business and licensed
premises:
(1) Will provide a service, product, or function that is not presently
available within the Township or that would be unique to the Township
or not presently available to an identifiable area within the Township;
(2) Is of a character that will foster or generate economic development,
employment opportunity, or growth within the Township, or an identifiable
area of the Township, in a manner consistent with the Township's
policies; or
(3) Represents an added financial investment on the part of a long-term
business or resident with recognized ties to the Township and the
local community.
[Ord. No. 2024-05, 8-8-2024]
The following definitions shall apply to this article. Terms
not otherwise defined herein shall have the meaning assigned in the
Michigan Liquor Control Code (MCL 436.1101 et seq.).
AFFILIATE
Any entity in which the applicant, including any key management
personnel, owner, member, shareholder thereof, owns 10% or more.
ALCOHOLIC LIQUOR
Any spirituous, vinous, malt, or fermented liquor, liquid
or compound, whether or not medicated, proprietary, or patented, and
by whatever name called, containing 0.5% or more of alcohol by volume
which are fit use for beverage purposes.
APPLICANT
Includes all persons and entities proposed to be owners of
the license and/or of the proposed licensed premises, all key personnel
involved in the management of the licensed business, and all persons
and entities proposed to be involved in the finance of the license
and/or licensed premises. In the case of a partnership, "applicant"
shall include all partners in the partnership. In the case of a corporation
other than a corporation with publicly traded stock, "applicant" shall
include all shareholders. In the case of a limited liability company,
"applicant" shall include all members.
IN WRITING
Includes written correspondence, including electronic mail.
LICENSE
An SDM license, SDD license, or on-premises license.
LICENSED PREMISES
The building, property, or facility upon or in which alcoholic
liquor is bought, sold, or manufactured in conjunction with a license.
LICENSEE
A person or entity holding a valid license in the Township.
ON-PREMISES LICENSE
A liquor license to sell alcoholic liquor at retail for consumption
on the licensed premises, including, but not limited to, Class B licenses,
Class C licenses, resort licenses, tavern licenses, club licenses,
hotel licenses, and tasting rooms operated by manufacturers including,
but not limited to, brewers, micro-brewers, wine makers, small wine
makers, distillers, small distillers, mixed drink spirit manufacturers,
and brandy manufacturers.
[Ord. No. 2024-05, 8-8-2024]
(a) Application required. Every applicant for a new on-premises license
shall submit to the Economic Development Director a fully completed
"Meridian Township Liquor License Application" on a form furnished
by the Economic Development Director, along with all additional documents
and materials referred to in the application form or otherwise required
under this article.
(b) Required information. The application shall include at least the
following information:
(1) Name and address of applicant. If the applicant is a partnership,
the name and address of each partner shall be provided, and a copy
of any partnership agreement attached. If the applicant is a privately
held corporation, the names and addresses of all corporate officers,
members of the board of directors, and stockholders shall be provided,
and a copy of the articles of incorporation, bylaws, shareholder agreement,
and applicable authorization resolution of the board of directors
shall be attached. If the applicant is a publicly held corporation,
the names and addresses of all corporate officers, members of the
board of directors, and stockholders who own 10% or more of the corporate
stock shall be provided. If the applicant is a limited liability company,
the names and addresses of all members, managers and assignees of
membership interests shall be provided, and a copy of the articles
of organization, operating agreement, and applicable authorization
resolution of the members shall be attached.
(3) The address and legal description of the property to become the licensed
premises.
(4) A location map that identifies any church, school, or other licensed
premises within 500 feet of the proposed licensed premises.
(5) Information and documents addressing all review criteria below.
(6) If the licensed premises is to be located in a proposed building
for which site plan approval has not yet been obtained, or in an existing
building that is to be remodeled, a conceptual plan showing proposed
building elevations, floor plans, seating arrangements, site dimensions,
and parking areas.
(7) A written statement and supporting documentation as to the applicant's
character, experience, and financial ability to meet the obligations
and business undertakings for which the license is to be issued.
(8) A written statement demonstrating that the location proposed, and
the methods of operation will not detrimentally and unreasonably impact
nearby property owners, businesses, and residents.
(9) Information and documents within the applicant's knowledge or
control regarding the criteria listed below.
(10)
Information of any previous license application(s) to the Michigan
Liquor Control Commission, license history, and denial history of
the applicant or any affiliate.
(11)
Any other information or documents pertinent to the applicant
and operation of the proposed licensed premises as may be required
by this article. The Township may require the applicant to provide
documentation to or from the MLCC.
(c) Nonrefundable application fee. The application shall include payment
of a nonrefundable fee, in an amount determined by the Township Board,
to be sufficient to cover the costs of investigation, review, and
inspection.
(d) Recommendations from Township departments.
(1) Following the receipt of the fully completed application, fees, and
other such information as may be requested by the Township, the Economic
Development Director shall forward the application to the Department
of Community Planning and Development, Police Department, Fire Department,
and such other departments as required by the Township Manager.
(2) All Township departments shall make their recommendations prior to
consideration by the Township Board.
(3) In making its review, the Township may request from the applicant
other pertinent information.
(4) All department reviews or processing of the application shall be
completed within 60 days of receipt of a complete application, any
additional information requested, and all required fees.
(e) Placement upon Township Board agenda. Upon receipt by the Economic
Development Director of the recommendations of all the departments
identified above, the Economic Development Director shall submit the
application and recommendations for placement upon the agenda of the
next regular Township Board meeting.
(f) Township Board action required.
(1) All applications are subject to the final approval of the Township
Board.
(2) The Township Board may grant the requested license, conditionally
grant the requested license, postpone consideration for a reasonable
period, or deny the license.
(3) If the license is either approved or denied, the Township Board shall
cause its decision to be transmitted to the Michigan Liquor Control
Commission and promptly give notice of the decision to the applicant,
in writing.
(4) The Township shall grant, grant with conditions, or deny the application
within 30 days of its placement on the agenda of a regular Township
Board meeting or within 120 days of the Economic Development Director's
receipt of the completed application.
a. The processing time may be extended upon written notice by the Township
for good cause.
b. Any failure to meet the required processing times shall not result
in the automatic grant of the application or license.
(g) Contingencies; Requirements after Board approval.
(1) Unless otherwise indicated by the Township Board, all approvals are
contingent upon the applicant obtaining any required building permits
and any other permits, licenses, or approvals from the Township or
other regulatory agencies within 60 days from the date of conditional
approval.
(2) The construction of new buildings and alterations of existing buildings
shall commence within six months after the date of conditional approval,
with a completion date of no more than one year after the issuance
of the relevant building permit. Extensions for completion of construction
or alteration may be granted by the Township Board for good cause.
(3) Failure to comply with any contingency shall render the license subject
to revocation.
(4) Upon completion and in accordance with a prior conditional approval
granted by the Township Board, the Township Board shall thereupon
recommend the applicant for approval of the license to the Liquor
Control Commission of the State of Michigan. The Township Board may
withhold or refuse recommendation and approval of the applicant if
such applicant fails to satisfy all conditions set forth under the
Township's prior conditional approval.
(h) Review criteria. In making its determination pursuant to subsections
above, the Township Board shall consider whether the applicant's
proposal is reasonable when measured against any and all of the criteria
listed below.
(1) General information regarding applicant:
a. The applicant's management experience in the alcohol or liquor
business.
b. The applicant's general business management experience.
c. The applicant's general business reputation.
d. The applicant's financial status and its ability to build or
operate the proposed licensed premises.
e. The applicant's or any affiliate's labor violations, civil
judgments, criminal arrests, criminal convictions, or any violations
arising out of or in connection with the Michigan Liquor Control Code
and its rules or regulations.
(2) Information related to proposed licensed premises:
a. The recommendations of the Police Department, Building Department,
Department of Community Planning and Development, Fire Department,
and such other departments as required by the Township Manager with
regard to the proposed licensed premises.
b. Whether the proposed licensed premises complies, or will comply,
with the applicable building, plumbing, electrical and fire prevention
codes, zoning ordinance, or other ordinances applicable in the Township.
c. The effects that the proposed licensed premises would have upon vehicular
and pedestrian traffic in the area.
d. The effects that the proposed licensed premises would have upon the
surrounding neighborhood or business establishments, including impacts
upon the area, district, or uses of residences, churches, and schools.
e. The availability of utilities to serve the proposed licensed premises.
f. The proximity of the proposed licensed premises to other similarly
situated licensed premises.
g. The proximity to complementary uses, such as office and commercial
development.
h. Availability of adequate parking, taking all circumstances of the
location into consideration.
(3) Benefits to community:
a. The effects that the issuance of the license would have upon the
economic development of the Township or the surrounding area.
b. Whether the applicant has demonstrated a public need or convenience
for the issuance of the license for the proposed licensed premises,
taking into consideration the following, together with other factors
deemed relevant by the Township Board:
1.
The total number of similar licensed premises in the Township,
considered both in terms of whether such number of similar licensed
premises are needed and whether there may be a need for other types
of licensed premises that could go unmet if the requested license
were granted;
2.
The proximity of the proposed licensed premises to other existing
licensed premises, the type of such licensed premises, whether such
other licensed premises are similar to that proposed, and the anticipated
impact of all such determinations;
3.
Whether the proposed licensed premises is in an area characterized
as developed, redeveloping, or undeveloped, and the anticipated impact
of approving the proposed licensed premises in light of such character,
taking into consideration the need for any type of additional licensed
premises in the area, and the need for the particular type of licensed
premises proposed;
4.
The impact of the proposed licensed premises on Township policing
and code enforcement activities;
5.
The overall benefits of the proposed licensed premises to the
Township;
6.
The overall detriments of the proposed licensed premises to
the Township; and
7.
Any other factors that may affect the health, safety, and welfare
relative to the need for or the convenience of the proposed licensed
premises in the Township.
c. The uniqueness of the proposed licensed premises when contrasted
against other existing or proposed licensed premises, and the compatibility
of the proposed licensed premises to surrounding architecture and
land use.
d. The permanence of the proposed licensed premises in the community,
as evidenced by the prior or proposed contributions to the Township
or community by the applicant or business, and the extent to which
the issuance of the license will assist in the further investment
of the applicant or business in the Township or the community.
e. The character and extent of investment in improvements to the building,
property, and general area.
f. Such other considerations as the Township Board may deem proper,
provided such considerations are reasonable under all of the circumstances.
(i) Restrictions on issuance of licenses. The Township may deny or refuse
to approve a license for any of the following reasons:
(1) The applicant previously had any liquor license revoked or not renewed
under this article, a comparable Township ordinance, other local ordinance,
or state law, whether in Michigan or otherwise.
(2) The applicant is a co-partnership or partnership in which less than
all members of a co-partnership or partnership would qualify to obtain
a license hereunder for any reason.
(3) The applicant is a corporation, other than a public corporation,
in which less than all officers, managers, directors, or stockholders
owning in the aggregate more than 10% of the stock of such corporation,
would qualify to obtain a license hereunder for any reason.
(4) The applicant is a limited liability company in which less than all
members, managers or assignees owing a 10% membership interest or
more would qualify to obtain a license hereunder for any reason.
(5) The applicant has been convicted of a crime punishable by death or
imprisonment in excess of one year under the law which he or she was
convicted; a crime involving theft, dishonesty, or false statement
(including tax evasion) regardless of punishment; a crime concerning
alcohol consumption, manufacture, possession, sale, or distribution;
an administrative violation of a federal or state law concerning alcohol
consumption, manufacture, possession, sale, or distribution; a crime
concerning controlled substance consumption, manufacture, possession,
sale, or distribution.
(6) The proposed licensed premises violate applicable building, electrical,
mechanical, plumbing, fire, or other codes; applicable zoning regulations;
applicable public health regulations; or any other applicable Township
ordinance.
(7) The applicant cannot establish that the license will be used within
six months of Township approval and will not be held for investment.
(8) The Township Board determines that the licensed premises is inappropriate
because of the compatibility with adjacent uses of the land; traffic
safety; accessibility to the site from abutting roads; capability
of abutting roads to accommodate the commercial activity; proximity
to churches or schools; proximity of an inconsistent zoning classification;
or accessibility from primary roads or state highways.
(9) The applicant has any personal property taxes, real property taxes,
or any other obligations that are past-due and payable to the Township.
(10)
The applicant omits or falsifies any information required by
this article.
(j) Reservation of authority. No applicant for a license has a right
to the issuance of such license to him, her, or it, and the Township
Board reserves the right to exercise reasonable discretion to determine
who, if anyone, shall be entitled to the issuance of such license.
[Ord. No. 2024-05, 8-8-2024]
(a) The transfer of any existing license to another individual or entity,
from a location in the Township to another location in the Township,
or from a location outside the Township into the Township, shall require
approval of the Township Board before any use and occupancy of the
proposed licensed premises to which the license is being transferred
is permitted. An applicant for approval of an license transfer and
the use and occupancy of such a licensed premises shall:
(1) Submit an application with all of the information required for a
new license as provided for in this article; and
(2) Pay the nonrefundable transfer application fee established by the
Township Board.
(b) Certain transfers may be placed on a Township Board agenda for consideration
without payment of a fee and without the necessity of furnishing the
information required for new licenses, including:
(1) The exchange of the assets of a licensed sole proprietorship for
all outstanding shares of stock or membership interests to be held
by the sole proprietor.
(2) The removal of a member of a firm, a stockholder, a member of a general
partnership, a member of a limited partnership, a member of a limited
liability company, or association of licensees from a license.
(3) The occurrence of any of the following events:
a. A corporate stock split of a licensed corporation.
b. To an existing member or stockholder holding 10% or more of a licensed
corporation or company, the issuance of previously unissued stock
or ownership interest to that member or stockholder as compensation
for services performed.
c. The redemption by a licensed corporation of its own stock.
d. A corporate public offering.
(c) Existing permits ancillary to license are transferred with the license
unless cancelled in writing. Transferees must present plans regarding
the operation they intend to conduct using the particular permit.
[Ord. No. 2024-05, 8-8-2024]
(a) The Township Board has determined that profiteering by a licensee
holding a newly issued On-Premises quota license is contrary to the
best interests of the Township. Accordingly, in order to prevent profiteering,
to the full extent authorized by law, the Township Board shall not
approve the transfer of an On-Premises license issued as a new quota
license under this article within three years of the date of the original
issuance of the quota license except under circumstances where the
licensee clearly and convincingly demonstrates that unusual hardship
will result if the Township does not consent to the transfer. An agreement
between the applicant, licensee, and the Township, following recommendation
by the Township Attorney, may be prepared and agreed upon to give
effect to this provision prior to final action being taken by the
Township Board on an application.
(b) The agreement shall provide that, unless excused by the Township
Board as provided above and following notice and an opportunity to
be heard, in the event a newly issued on-premises quota license is
proposed for transfer within three years from the date of issuance,
the licensee and applicant agree that the Michigan Liquor Control
Commission shall terminate the license and the Township Board may
approve the issuance of a new license to a new applicant without any
compensation to the licensee who placed the license at issue into
escrow, and that licensee waives any property interest in such license
upon placement of the license into escrow within such three-year period.
[Ord. No. 2024-05, 8-8-2024]
The application and review requirements for on-premises licenses
in this article shall apply to the application for new specially designated
merchant ("SDM") and specially designated distributor ("SDD") licenses
as well as to the application for transfer of an SDD or SDM license.
[Ord. No. 2024-05, 8-8-2024]
(a) Generally. The Township Board may object to a renewal of any license
or request the revocation of any license with the Michigan Liquor
Control Commission.
(b) Procedure. Before filing an objection to the renewal or request for
revocation of a license with the Michigan Liquor Control Commission,
the Township Board shall serve the licensee, by first class mail,
mailed not less than 10 days prior to the hearing, a notice of such
hearing, which notice shall contain the following information:
(1) Notice of the proposed action.
(2) Reasons for the proposed action.
(3) Date, time and place of such hearing.
(4) A statement that the licensee may present evidence and testimony,
and may confront witnesses and may be represented by a licensed attorney.
(c) Hearing and final decision. Such hearing may be conducted by the
Township Board as a whole, or by a hearing officer appointed by the
Township Board for such purposes. It shall be the duty of the Township
Board — or the hearing officer, if appointed — to undertake
such hearing, hear and take evidence and testimony from the interested
parties, especially including from the licensee or witnesses on its
behalf, in opposition thereto. The hearing officer cannot be the Economic
Development Director, the Community Planning and Development Director,
or a member of the Township Board. If appointed, the hearing officer
shall make a recommendation in writing to the Township Board. The
Township Board shall have ultimate final review and decision and may
adopt, adopt with modifications, or reject the recommendation of the
hearing officer. The Township Board shall submit to the licensee,
and the Michigan Liquor Control Commission, a written statement of
its ultimate findings and determination not less than 30 days before
the date of expiration of the license.
(d) Criteria for nonrenewal or revocation. The Township Board may recommend
nonrenewal or request revocation of a license upon a determination
by it that, based upon a preponderance of the evidence presented at
the hearing, any of the following exist:
(1) A violation of any applicable building, electrical, mechanical, plumbing,
or fire code; applicable zoning regulations; applicable public health
regulations; applicable rules and regulations of the County Health
Department; or any other applicable Township Code provision.
(2) Maintenance of a nuisance upon the premises.
(3) A material change in those conditions, statements or representations
contained in the written application by the licensee, upon which the
Township Board based its recommendation for approval, when that change
is found to be contrary to the best interest of the Township residents,
in the judgment of the Township Board.
(4) The licensee has been convicted of any federal or state law concerning
the manufacture, possession, or sale of alcoholic liquor or a controlled
substance.
(5) The licensed premises do not or will not reasonably soon have adequate
off-street parking, lighting, refuse disposal facilities, screening,
noise control, or nuisance control where a nuisance does or will exist.
(6) The licensee's operations are detrimental to the public health,
safety, or welfare of the Township, including, but not limited to,
a violation of any Township ordinance, any section of this article,
the Liquor Control Code, or of the rules and regulations of the Michigan
Liquor Control Commission.