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Montana bill would let licensees share alcohol proceeds on ‘net’ as well as ‘gross’ sales
Summary
Supporters of House Bill 391 told the House Business and Labor Committee the change is a narrow, two‑word fix to ease accounting and reduce frequent amendments to concession agreements; opponents urged additional vetting of concessionaires because they can effectively operate like licensees.
Representative Curtis Schomer, sponsor of House Bill 391, told the House Business and Labor Committee that the bill would add the word “net” to the statutory language governing compensation in concession agreements between alcohol licensees and concessionaires.
The change would allow parties to calculate a share of alcoholic beverage sales either on gross alcoholic beverage sales or on net alcoholic beverage sales, giving licensees and concessionaires another option for structuring compensation, proponents said.
Why it matters: Concession agreements let unlicensed entities in the same building as a licensed premise participate in alcohol sales. Proponents — including Jesse Luther of the Hospitality and Development Association of Montana, Brad Griffin of the Montana Restaurant Association, Jennifer Hensley of the Montana Distillers Guild, and several attorneys representing licensees — said the bill is a narrow, common‑sense fix that…
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