Bill
SB 662
Baltimore City expands use of community MOUs to condition alcohol licenses, adds neighborhood-specific licenses with MOUs, and extends license transfer periods.
Chapter 814 (Approved by Governor, effective June 1, 2025)
Summary
SB 662 makes targeted changes to Baltimore City alcoholic beverages law that (1) broaden when community memoranda of understanding (MOUs) can be used in licensing decisions, (2) permit specific new or altered licenses in defined blocks of the 40th and 46th alcoholic beverages districts subject to conditions (including MOUs with local associations), and (3) extend the period during which certain expired licenses may be treated as unexpired for the limited purpose of completing transfers. The Act is local to Baltimore City and was enacted as Chapter 814, taking effect June 1, 2025.
Key provisions and concrete changes
- MOU authority expanded: The statute allowing the Board of License Commissioners to condition issuance/renewal on substantial compliance with a community association MOU is extended to apply to any alcoholic beverages license in Baltimore City (amends §12‑1406(b)).
- Requirement for license issuance/transfer near schools/places of worship (46th district): For establishments within 300 feet of a place of worship or school, the Board may issue or approve transfers only if the licensee has (a) a letter of support from the affected place of worship/school and (b) entered into an MOU with a community association located within the bounded area (amends §12‑1605(b)(5)).
- New/modified specific license authorizations in the 40th district (§12‑1603(c)):
- Authorizes a Class C (beer, wine & liquor) license on the odd side of the 800 block of North Howard Street provided strict conditions are met: no license-class conversion or relocation; sales indoors only; sales hours limited to 10:00 a.m.–9:00 p.m.; while receiving a regulated barbering service patrons may be offered no more than two 12‑oz beers, two 6‑oz wines, or two 1.5‑oz liquor servings; waiver of member‑only sales rules; and execution of an MOU with the Mount Vernon–Belvedere Association.
- Other neighborhood-specific authorizations (Penn North, Remington) remain part of the statute, with required MOUs.
- Waiver of 40% food‑sales rule: The Board may waive the requirement that restaurants obtain at least 40% of daily receipts from food for restaurants operating in the area bounded by South Eden St (W), Bank St (N), South Spring St (E) and Eastern Ave (S).
- Extensions for transfers (temporary, limited purpose):
- Extends the date through which certain expired licenses are to be treated as unexpired for completing transfers (notably the Class B license for premises on the 3500 block of Boston St is extended to July 1, 2028; other specific blocks/licenses have analogous extensions). Provisions regarding extensions for transfer purpose terminate June 30, 2030.
Who is affected
- Baltimore City Board of License Commissioners (new discretion/conditions).
- Applicants and holders of alcoholic beverages licenses in the specified blocks/neighborhoods (Mount Vernon, Penn North, Remington, Harborplace, Boston St., O’Donnell St., Eastern Ave., etc.).
- Community associations, places of worship, and schools that must provide letters of support or negotiate MOUs.
- Restaurants in the specified bounded area that may seek waivers of the 40% food receipts rule.
Fiscal and operational impact
- Maryland Legislative Services fiscal note: no material effect on State or Baltimore City finances or operations; minimal impact on small businesses. The Board retains discretion; many provisions are conditional (MOUs, limits, and temporary transfer extensions).
Procedural/timeline notes
- Introduced Jan. 25, 2025 (Sen. Ferguson) and received enactment as Chapter 814.
- Enrolled and presented to Governor in May 2025; approved and effective June 1, 2025.
- Some transfer‑extension provisions are time‑limited and terminate June 30, 2030.
For further detail
Refer to the enacted language in Chapter 814 (2025 Laws of Maryland) — Articles amended include §§12‑102, 12‑104, 12‑1406, 12‑1603, and 12‑1605 of the Alcoholic Beverages and Cannabis Article.
Compiled from official sources — confirm details with the bill’s official record.
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