Distillery License Bill Approved By Legislature

OCEAN CITY — The bill in the General Assembly establishing a Class 9 craft distillery license in Worcester County sailed through the House and Senate this week.

House Bill 689, introduced by Delegate Mary Beth Carozza, and Senate Bill 523, introduced by Senator Jim Mathias, breezed through their respective chambers with unanimous votes. In mid-March, the House approved Carozza’s bill, 137-0. On Thursday, the Senate approved its version of the bill with a 47-0 vote, sending it to the governor’s desk for a signature.

“The passage of this legislation to create a new, limited distillery in Worcester County is excellent news for our local area,” said Carozza on Thursday after the Senate unanimously passed its version of the bill. “It will boost jobs in our community and also will help increase revenues for Ocean City and Worcester County.”

The bill establishes a Class 9 craft distillery license in Worcester, creating opportunities for those who obtain the license to distill spirits on their licensed premises and market them under their own label. While the new craft distillery license on the surface would be open to any business in Worcester that sought it, it is essentially tailored to Seacrets.

Last year, Seacrets launched its new line of craft distilled spirits including a white rum, spiced rum, vodka and gin under its own label. The Seacrets spirits are sold at the iconic nightclub and restaurant and are available to wholesalers for distribution, but the craft spirits are not produced locally. Seacrets reached out to the Delaware Distilling Company in Rehoboth, which crafted the unique alcoholic beverages under the Seacrets label.

The approved legislation allows Seacrets, and presumably other businesses that acquire the new Class 9 license to produce distilled spirits in Worcester County. The Class 9 license holders would open and operate distilleries right on site and would be able to conduct guided tours, tastings and other enhanced visitor experiences.

The craft distillery license would be available for holders of a Class D beer, wine and liquor license and would allow the licensee to establish and operate a plant for distilling and bottling spirits. The license would allow a Class 9 license holder in Worcester County to acquire bulk alcoholic beverages and store, sell and deliver its product. The licensee would be allowed to operate a distillery on its licensed premises and serve a certain number of samples to visitors under defined circumstances.