1.__Agency liquor store purchases.__Agency liquor stores shall buy their liquor from the alcohol bureau under section 606.

2.__Monthly specials.__The alcohol bureau may establish monthly specials for all agency liquor stores.__The issuance of an agency liquor store license and the operation of agency liquor stores licensed pursuant to this Part are governed by this chapter.

Sec. SS-4. 28-A MRSA c. 21 is enacted to read:

CHAPTER 21

WHOLESALE LIQUOR PROVIDER

§501.__Wholesale liquor provider; definition

As used in this chapter, unless the context otherwise indicates, "wholesale liquor provider" means an entity or entities contracted by the State as an agent of the State for the purpose of providing wholesale spirits and fortified wine to establishments licensed by the State to sell spirits and fortified wine for off-premises consumption.

§502.__Wholesale liquor provider prohibited from holding an

agency liquor store license

A wholesale liquor provider is prohibited from holding a retail license to sell liquor for off-premises consumption.

§503.__Sale to on-premises licensees prohibited

A wholesale liquor provider shall sell spirits and fortified wine to establishments licensed by the State to sell liquor for off-premises consumption.__A wholesale liquor provider is prohibited from selling spirits and fortified wine directly to establishments licensed by the State to sell liquor for on- premises consumption.

Sec. SS-5. 28-A MRSA §606, sub-§1-A, as repealed and replaced by PL 1993, c. 276, §3, is amended to read:

1-A. On-premises licensees; purchase from agency store. A person licensed to sell spirits for consumption on the premises may shall purchase spirits from an agency liquor store only in accordance with this subsection.

A. The sale price of spirits sold to a licensee under this subsection must equal the price for which a licensee would purchase liquor at a state store. Beginning November 30, 2003, the sale price of spirits sold to an establishment licensed for on-premises consumption must equal the price established by the alcohol bureau.

B. Upon completion of a transaction, the agency liquor store and the on-premise licensee shall each retain a copy of the licensee order form.

Sec. SS-6. 28-A MRSA §606, sub-§4, as amended by PL 1997, c. 373, §58, is further amended to read:

4. Discount for agency liquor stores. The alcohol bureau shall sell spirits and fortified wines to agency liquor stores for a price of at least 8% less than the list price established for the state liquor stores. Beginning November 30, 2003, the alcohol bureau shall set the price of spirits and fortified wine at a minimum discount of 9% of the list price.

Sec. SS-7. Closure of 13 state liquor stores. Notwithstanding any other provision of law, the Department of Administrative and Financial Services, Bureau of Alcoholic Beverages and Lottery Operations is directed to implement the closure of 13 state liquor stores commencing on the effective date of this Act and completed by November 30, 2003 and replace the state liquor stores with agency liquor stores in accordance with the Maine Revised Statutes, Title 28-A, section 453.

PART TT

Sec. TT-1. Revision clause. Wherever in the Maine Revised Statutes the words "Maine Learning Technology Endowment" appear or reference is made to those words, they are amended to read and mean "Maine Learning Technology Fund," and the Revisor of Statutes shall implement this revision when updating, publishing or republishing the statutes.

PART UU

Sec. UU-1. Tax expenditures. The following tax expenditures for fiscal years 2003-04 and 2004-05, in accordance with Title 5, section 1666, will continue in effect unless repealed or modified by the 121st Legislature.

General Fund Sales Tax 36 MRSA FY'04 FY'05