By Mr. Nyman of Hanover, petition (accompanied by bill, House, No. 281) of Robert J. Nyman relative to the payment of fines in lieu of liquor license suspensions for certain violations.  Consumer Protection and Professional Licensure.

The Commonwealth of Massachusetts

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PETITION OF:

Robert J. Nyman

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In the Year Two Thousand and Seven.

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An Act authorizing fines in lieu of certain suspensions.

    Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:

SECTION 1. Section 23 of Chapter 138 of the Massachusetts General Laws, is hereby amended by striking paragraph 12 and inserting the following:

“The commission shall accept from any wholesaler licensee or supplier under this chapter a fine in lieu of suspension of any license or certificate of compliance previously suspended by the commission for violation of any economic statute or regulation.  A wholesaler licensee or supplier may petition the commission to assess such a fine within twenty days following notice of suspension.  The fine in lieu of suspension shall be imposed as follows:

(1) For the first violation in a twelve month period by a supplier, the commission shall impose a fine not to exceed $10,000. For the second violation for the same type of offense in a twelve month period, the commission shall impose a fine not to exceed $50,000.  For the third violation for the same type of offense in a twelve moth period, the commission shall impose a fine not to exceed $100,000.  For the fourth or any subsequent violation for the same type of offense the commission may not accept a fine in lieu of suspension, and shall suspend the license or impose any other penalties as authorized by this chapter.

(2) For the first violation in a twelve month period by a wholesaler or importer licensed under section 18 of this chapter the commission shall impose a fine not to exceed $5,000.  For the second violation in a twelve month period for the same offense, the commission shall impose a fine not to exceed $25,000.  For the third violation in a twelve month period for the same type of offense, the commission shall impose a fine not to exceed $50,000.  For the fourth or any subsequent violation for the same type of offense, the commission may not accept a fine in lieu of suspension, and shall suspend the license or impose any other penalties as authorized by this chapter.

The commission may accept from any licensee under this chapter not listed above an offer in compromise in lieu of suspension of any such license previously suspended by the commission.  Such a licensee may petition the commission to accept such an offer in compromise within twenty days following notice of such suspension.  The fine in lieu of suspension, when an offer in compromise is accepted, shall be calculated in accordance with the following formula.  Fifty percent of the per diem gross profit multiplied by the number of license suspension days, gross profit to be determined as gross receipts on alcoholic beverage sales less the invoiced cost of good sold per diem.  No such fine, in any event, shall be less than forty dollars per day.

Any sums of money so collected by the commission shall be paid forthwith into the general fund of the state treasury.

        For the purpose of this section, multiple counts resulting in a suspension shall be treated as one violation, and the term supplier shall mean a certificate of compliance holder, farmer-brewer, farmer winery, manufacturer or importer of malt beverages.  Further, the first violation in a twelve month period shall be the first violation resulting in a suspension occurring after the effective date of this section.