MontanaHB 39169th Legislature, Regular Session (2025)HouseWALLET

Clarify alcohol concession agreement permissible revenue structure laws

Sponsored By: Curtis Schomer (Republican)

Became Law

Alcohol and Drugs

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Bill Overview

Analyzed Economic Effects

4 provisions identified: 0 benefits, 1 costs, 3 mixed.

New alcohol concession deals for license holders

The law lets liquor license holders under MCA 16-4-105 or 16-4-201 use concessionaires to serve alcohol. It does not allow this for licenses under 16-4-105(1)(e) or 16-4-201(8) issued on or after January 1, 2021. Each license can have up to three concession agreements at a time. The concession area must be part of the same indoor, contiguous premises, which can include multiple floors and shared halls and elevators. The licensee keeps full control—ordering, purchasing, selling and serving drinks, disciplining staff, and monthly money checks—and may end the deal for cause. If you offer gaming, only you may run it, and gaming rights do not pass to a concessionaire. You may share employees or use a management agreement, and the deal does not give the concessionaire ownership.

Fees for concession agreements

A concessionaire pays a $500 application fee for each new concession agreement and for any existing agreement that elects to operate under this law. Modifying an existing agreement does not trigger the $500 fee. Each concession agreement also has a $100 yearly renewal fee.

Allowed ways to pay concessionaires

You may pay a concessionaire only by a share of gross or net drink sales, a share of employee overhead, a fixed dollar amount, or any mix of these. If you change the pay method, you must give the department a copy. The department cannot deny the change if it follows these rules.

Approval timelines and standard concession forms

Most changes to a concession agreement must be sent to the department for approval. The department decides within 30 business days unless it needs more information, and your current agreement can keep running during review. You may request temporary operating authority for an ownership or operations change without ending an active concession. The department must provide a standard concession agreement form. If your deal existed before May 14, 2021 and you elect to use this law, you may keep operating under the old deal while the new one is approved.

Sponsors & Cosponsors

Sponsor

Curtis Schomer
Republican • House

Cosponsors

Denley Loge
Republican • Senate
Ed Buttrey
Republican • House

Roll Call Votes

All Roll Calls

Yes: 287 • No: 7

House vote • 4/14/2025

Do Concur

Yes: 44 • No: 4

House vote • 4/12/2025

Do Concur

Yes: 45 • No: 2

House vote • 2/20/2025

Do Pass

Yes: 98 • No: 1

House vote • 2/19/2025