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Liquor board opens discussion on festival permits, asks staff to research county and state options

5453259 · July 23, 2025
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Summary

Board members and local retailers discussed gaps in Maryland festival and caterer permit rules that limit retail stores from vending at festivals; the board asked staff to gather examples from other Maryland counties and return with options for September/October legislative outreach.

The Caroline County Board of License Commissioners discussed on July 23 whether to pursue changes to state or local rules to allow retail license-holders to vend alcohol at festivals and farmers’ markets.

Background: current Maryland rules largely permit breweries, wineries and distilleries specific rights to vend at festivals, and a separate state-level “festival” or brewer/winery carve-out exists for contiguous-county operation in some licenses. Retail stores, by contrast, have no straightforward avenue under current state law to sell mixed drinks or offer festival vending except through limited or confusing paths (for example, the state’s farmers’ market language that appears to limit retailer vending to three days a year at a farmers’ market, or requirements that a liquor caterer also hold a food-caterer permit).

Discussion highlights

Robin (representing Red Light Liquors and Purple Peak as a vendor) told the board that the current structure prevents many retail stores from responding to festival invitations and that the farmers’ market allowance is too restrictive in practice (the statute’s three-day phrasing conflicts with market organizers that want vendors for an entire season). She said the state’s festival/caterer rules are inconsistent and unclear, and that retail vendors are often blocked even when they have staff trained to serve alcohol responsibly.

Board direction

Board members asked staff to compile how other Maryland counties handle festival or special-event permits (examples cited included Anne Arundel County and Baltimore City) and return with draft language the board could consider proposing at the delegation meeting in September/October. The board noted this could require a state-level legislative change to create a useful, consistent permit for retail license-holders and clarified that any county-level step would likely only allow operation within Caroline County unless enacted statewide.

Clarifying points raised

- A state-issued retail festival permit currently allows some contiguous-county operation under specific, narrow conditions and has a high annual fee option that expands in-state reach; the language and eligibility rules are often drafted to favor manufacturers (breweries, wineries, distilleries) over retail sellers.

- The board and staff discussed the practical enforcement questions a new permit would create: how vendors would account for inventory, how open containers would be policed within festival boundaries, whether food-service rules create an unintended barrier for liquor-caterer permits, and whether small-format packaging (minis) or sealed containers would reduce health-department complications.

Next steps

Staff will collect sample festival-permit language from other counties, summarize practical enforcement implications and return to the board at an upcoming meeting so commissioners can decide whether to ask the county commissioners to pursue state legislative changes in the fall session.

Ending

Board members did not take an immediate vote; they asked staff to research existing county models and draft options for the board’s August meeting and the county’s delegation meeting in the fall.