2022 ABC OMNIBUS. (NEW)

View NCGA Bill Details2021
House Bill 768 (Public) Filed Monday, May 3, 2021
AN ACT TO MAKE VARIOUS CHANGES TO THE ALCOHOLIC BEVERAGE LAWS OF THIS STATE.
Intro. by Moffitt.

Status: Ch. SL 2022-44 (Jul 7 2022)

SOG comments (1):

Long title change

Senate committee substitute to the 2nd edition changed the long title. Original title was AN ACT TO DIRECT THE LEGISLATIVE RESEARCH COMMISSION TO STUDY THE ALCOHOLIC BEVERAGE CONTROL LAWS IN THIS STATE.

Bill History:

H 768/S.L. 2022-44

Bill Summaries:

  • Summary date: Jul 26 2022 - More information

    AN ACT TO MAKE VARIOUS CHANGES TO THE ALCOHOLIC BEVERAGE LAWS OF THIS STATE. SL 2022-44. Enacted July 7, 2022. Effective July 7, 2022, except as otherwise provided.


  • Summary date: Jun 28 2022 - More information

    Senate amendment to the 3rd edition makes the following changes.

    Section 2

    Amends new GS 18B-1110.1 to revise the permitted activities of the holder of a packaging and logistics permit. Authorizes receiving, in closed containers, malt beverages, unfortified wine, fortified wine, and spirituous liquor from a supplier, for the purpose of packaging, repackaging, storage, shipping, and for the purpose of labeling or relabeling the outer packaging, such as a box or carton (was, for the purpose of packaging, repackaging, labeling, relabeling, storage, and shipping); and (2) package or repackage malt beverages, unfortified wine, fortified wine, and spirituous liquor received from a supplier, and label or relabel the outer packaging (was, package, repackage, label, and relabel malt beverages, unfortified wine, fortified wine, and spirituous liquor received from a supplier). Now authorizes the permit holder to deliver or ship (no longer including authority to sell): malt beverages, unfortified wine, and fortified wine as provided in this statute in closed containers to suppliers and wholesalers licensed under GS Chapter 18B; spirituous liquor in closed containers at wholesale to exporters and local boards within the State; and malt beverages, unfortified wine, fortified wine, and spirituous liquor to out-of-state suppliers or at wholesale or retail to private or public agencies or establishments of other states or nations, subject to the laws of other jurisdictions. Further specifies that the permit does not allow the holder to manufacture alcoholic beverages except for packaging, repackaging, labeling, and relabeling as provided in subsection (a), as revised.

    Section 3

    Eliminates the proposed repeal of GS 18B-403.1 concerning purchase-transportation permits for keg or kegs of malt beverages.

    Eliminates the proposed changes to GS 18B-1115 which (1) removed the provision requiring a permit for each person transporting alcoholic beverages in excess of the specified amounts of malt beverages other than those in kegs, unfortified wine, fortified wine or spirituous liquor; (2) removed the prohibition on obtaining a permit to transport spirituous liquor unless the transportation is for delivery to a federal reservation over which North Carolina has ceded jurisdiction to the US, for delivery to an ABC store, or for transportation through this State to another; and (3) made language gender neutral and made a technical change.

    Section 4

    Revises and adds to the proposed changes to GS 18B-903(c), relating to the automatic expiration of all ABC permits upon change in ownership of the premises of an ABC permitted establishment. Modifies the language in new subdivision (2) to allow any person who becomes lawfully entitled to the use and control of the premises of a permitted establishment to continue its operation as a successor permittee to the same extent as the predecessor permittee until the person receives a temporary or new permit, subject to four limitations (previously, did not provide for permit types; provided for continuation of the permit to the same extent as the prior permittee so long as the person submits an application for a new permit to the ABC Commission within 60 days after the change in ownership, with the permit expiring automatically if the person does not apply for a new permit within 60 days after the change in ownership). Listed limitations now include: (1) requiring the person to provide written or electronic notice to the ABC Commission of the name of the non-permitted person, the name and address of the permitted establishment, and the date of the change in ownership (barring operation until notice is given); (2) requiring the person to submit a new permit to the Commission within 60 days after the change in ownership, with automatic expiration of all permits if the person does not apply within the 60-day period; (3) limits the 60-day period to file a new permit application to once per 24 months for each establishment that holds an ABC permit unless the establishment requests and the Commission grants a waiver due to determining that the public health, safety, and welfare would not be harmed by granting the waiver; and (4) limits the continuation provisions to establishments that hold ABC permits that are in good standing and that have not been found responsible by the Commission or a court of a gambling, assault, disorderly conduct, prostitution, or controlled substances violation within 12 months prior to the date the non-permitted person becomes entitled to use and control of the establishment. Makes technical and clarifying changes. 

    Section 6

    Replaces the proposed changes to the definition of private bar under Article 10, Retail Activity, GS Chapter 18B. Instead, eliminates the term entirely, and adds and defines bar to mean an establishment that is primarily engaged in the business of selling alcoholic beverages and that does not serve prepared food; excludes a brewery, winery, or distillery. 

    Adds and defines bar by statutory cross-reference in GS 130A-247, applicable to Part 6, Regulation of Food and Lodging Facilities, Article 8, GS Chapter 130A. Eliminates the term private bar.

    Replaces the terminology in GS 130A-248 and GS 130A-250, excluding bars (rather than private bars) from the Public Health Commission's rules governing the sanitation of establishments that prepare or serve drink or food, and the statutory regulations of food and lodging facilities set out in Part 6, Article 8, GS Chapter 130A. 


  • Summary date: Jun 23 2022 - More information

    Senate committee substitute deletes the content of the 2nd edition and replaces it with the following.

    Section 1

    Repeals GS 18B-1103, which allowed a winery holding an unfortified winery permit and that produces its wine principally from honey, grapes or other fruit or grain grown in this State to obtain a limited winery permit under which the winery could give visitors free tasting samples of the wine.

    Section 2

    Amends GS 18B-902 by adding a $300 fee for a packaging and logistics permit.

    Enacts new GS 18B-1110.1 which allows the holder of a packaging and logistics permit to perform six specified activities, including: (1) receiving, in closed containers, malt beverages, unfortified wine, fortified wine, and spirituous liquor from a supplier, for the purpose of packaging, repacking, labeling, relabeling, storage, and shipping; (2) subject to record-keeping requirements, transport into or out of the State in closed containers the maximum amounts of malt beverages, unfortified wine, fortified wine, and spirituous liquor allowed under federal law, if the transportation is related to the packaging, labeling, sale, or storage allowed by this statute, and (3) sell, deliver, and ship malt beverages, unfortified wine, and fortified wine as provided in this statute in closed containers to suppliers and wholesalers licensed under GS Chapter 18B. Specifies that the permit does not allow the holder to manufacture alcoholic beverages except for packaging, repackaging, labeling, and relabeling. Prohibits the permit holder from selling, delivering, or shipping malt beverages, unfortified wine, fortified wine, or spirituous liquor directly to consumers or to retail establishments in the State. Specifies that this statue does not abrogate the provisions of GS 18B-1119 (supplier's financial interest in wholesaler). Specifies that malt beverage and wine distribution agreements applicable between a wholesaler and an original supplier are governed by Articles 12 (Wine Distribution Agreements) and 13 (Beer Franchise Law) of GS Chapter 18B. 

    Effective August 1, 2022.

    Section 3

    Repeals GS 18B-403 which sets out provisions governing the issuance and use of a purchase transportation permit. Makes a conforming change to GS 18B-101 by removing the listed exclusion for a purchase transportation permit. Makes conforming changes to GS 18B-600, GS 18B-901, GS 18B-1001, GS 18B-1002, and GS 18B-1007.

    Repeals GS 18B-303 which limited what a person purchases at one time without a permit to: (1) not more than 80 liters of malt beverages, except draft malt beverages in kegs for off-premises consumption; (2) any amount of draft malt beverages by a permittee in kegs for on-premise consumption; (3) not more than 50 liters of unfortified wine; and (4) not more than eight liters of either fortified wine or spirituous liquor, or eight liters of the two combined. Included exceptions, including specified exceptions for individuals with a purchase-transportation permit and mixed beverage permittees, or their employees. Makes conforming changes to GS 18B-1002.1 and GS 18B-1006.

    Repeals GS 18B-400 which provided that a person may transport at one time the same amount of alcoholic beverages allowed to be bought under GS 18B-303(a), with exceptions allowed for those with a purchase-transportation permit and distillery representatives.

    Amends GS 18B-401 by removing the cap on how much fortified wine or spiritous liquor (or combination thereof) may be transported by each passenger in a for-hire passenger vehicle.

    Repeals GS 18B-402 which limited the amount of alcoholic beverages purchased out of state that a person may bring into North Carolina to the same amounts that may be legally transported within the State under GS 18B-400 or GS 18B-403 (also repealed in this act), with a cap on spirituous liquor of four liters.

    Repeals GS 18B-403.1 concerning purchase-transportation permits for keg or kegs of malt beverages.

    Repeals the following subsections of GS 18B-404: (1): (a) which allowed a mixed beverages permittee may designate an employee to purchase and transport spirituous liquor as authorized by the permittee's permit; (2): (b) which provided that if mixed beverages sales have been approved for an establishment the specified statutes, or for an establishment located in a township in which mixed beverages have been approved the purchase-transportation permit for that establishment may be issued by the local board of any city located in the same county as the establishment, provided the city has approved the sale of mixed beverages and specified that otherwise a licensed establishment may obtain a mixed beverages purchase-transportation permit only from the local board for the jurisdiction in which it is located; and (3): (d) which required a purchase-transportation permit for a mixed beverages permittee to authorize the purchase and transportation only of 355 milliliter or larger containers. Makes conforming changes to GS 18B-603 and GS 18B-1006.

    Repeals GS 18B-405 which allowed holders of a permit for the retail sale of malt beverages, unfortified wine, or fortified wine, to transport in the course of his business any amount of the alcoholic beverage he is authorized to sell, without a purchase-transportation permit or a commercial transportation permit.

    Repeals GS 18B-406 which made it illegal to transport a greater amount of alcoholic beverage than permitted by Article 4 (Transportation), unless the transportation is authorized under Article 11 (Commercial Activity).

    Repeals GS 18B-701(a)(7), thereby removing a local ABC board's authority to issue purchase-transportation permits.

    Amends GS 18B-1115 as follows: (1) removes the provision requiring a permit for each person transporting alcoholic beverages in excess of the specified amounts of malt beverages other than those in kegs, unfortified wine, fortified wine or spirituous liquor; (2) remove the prohibition on obtaining a permit to transport spirituous liquor unless the transportation is for delivery to a federal reservation over which North Carolina has ceded jurisdiction to the US, for delivery to an ABC store, or for transportation through this State to another; and (3) make gender neutral and makes a technical change.

    Section 4

    Revises the provisions of GS 18B-903(c), relating to the change in ownership of the premises of an ABC permitted establishment, which requires all ABC permits to automatically expire if ownership changes. Places the existing provisions regarding automatic expiration in new subdivision (1) of the subsection, including existing thresholds for acquired shares or stock of a partnership or corporation that constitutes a change in ownership. Enacts new language in subdivision (2) to allow any person who becomes lawfully entitled to the use and control of the premises of a permitted establishment to continue its operation to the same extent as the prior permittee, so long as the person submits an application for a new permit to the ABC Commission within 60 days after the change in ownership. Mandates that the permit expires automatically if the person does not apply for a new permit within 60 days after the change in ownership. Makes conforming changes.

    Section 5

    Enacts GS 18B-1006(a)(11), establishing a new exception to the prohibition against issuing permits to a business on the campus or property of a public school, college, or university. Allows for the sale of malt beverages, unfortified wine, fortified wine, or mixed beverages for consumption on the premises at a professional sporting event held at a stadium owned by a community college that is located in a township that has previously voted to allow the operation of ABC stores, if the Board of Trustees of the community college has voted to allow the issuance of permits for use at the stadium. Requires the Board of Trustees to give the ABC Commission written notice of its vote to allow the issuance of permits. Allows for the issuance of any ABC permits described in GS 18B-1001 (providing 23 distinct ABC permits), 18B-1002(a)(2) (providing a special one-time permit for nonprofit organizations for a fundraising event), or GS 18B-1002(a)(5) (providing for a special one-time permit for a local government or nonprofit for fundraising for the local government). Defines 'premises of a stadium' as the area within 500 feet of the furthest exterior building wall, perimeter fence, or permanent fixed perimeter; designated by the stadium in a map or written description and included in the permit application; and designated in a manner that enable the stadium to ensure compliance with GS Chapter 18B. 

    Section 6

    Replaces the definition of private bar under Article 10, Retail Activity, GS Chapter 18B. Defines the term as an establishment that is primarily engaged in the business of selling alcoholic beverages and that does not serve prepared food; excludes a brewery, winery, or distillery (previously, defined as an establishment organized and operated for-profit that is not open to the public but is open only to the members of the organization and their guests for the purpose of allowing its members and their guests to socialize and engage in recreation). 

    Section 7

    Amends GS 18B-1001(12) to allow a mixed beverages catering permit to also be issued to a distillery (currently, limited to hotels and restaurants). Specifies that a mixed beverages catering permit issued to a distillery allows the distillery to bring spirituous liquor onto the premises where a hotel or restaurant is catering food for an event and serve the liquor to guests at the event, regardless of whether the hotel or restaurant holds the same permit.

    Section 8

    Amends GS 18B-1105, expanding the authority of distillery permittees to allow a permittee to sell mixed beverages containing spirituous liquor produced at that distillery for consumption on the premises, upon obtaining a mixed beverages permit under GS 18B-1001, in an area where the sale of mixed beverages has not been approved by a local election. 

    Changes the act's titles. 


  • Summary date: May 11 2021 - More information

    House amendment to the 1st edition makes the following changes. Adds the following to the items that must be included in the Legislative Research Commission (LRC)'s study on revising the laws governing alcoholic beverages: (1) the feasibility and advisability of limiting the frequency of shelf resets that a malt beverage or wine wholesaler may perform each year for a licensed retailer, the times during which such resets may occur, and the number of wholesaler employee hours that can be provided during a reset; (2) the feasibility and advisability of a malt beverage or wine wholesaler offering discounted pricing to a licensed retailer on the condition that the retail price for the consumer is discounted by the same amount in the entire market designated for the promotion; and (3) the feasibility and advisability of limiting the frequency of draft line cleaning services that a malt beverage wholesaler may provide each year for a licensed retailer, and the times during which those services may occur. 


  • Summary date: May 3 2021 - More information

    Directs the Legislative Research Commission (LRC) to study revising the laws governing alcoholic beverages set forth in GS Chapter 18B. Details 11 required components of the study, including (1) a comparative analysis on regulation by the federal governmental and other states, (2) a comparative analysis on how other states regulate the sale of spirituous liquor, define and regulate alcohol consumables, define and issue permits for the manufacturing or sale of alcoholic beverages, and define and regulate hours for on-premises consumption at a reduced price, (3) how to modify the process for selecting which spirituous liquor products can be sold in ABC stores, and (4) how to streamline the ABC permitting process. Allows the LRC to also study any other matters it deems relevant. Directs LRC to report its findings and proposed legislation to the 2022 Regular Session of the NCGA upon its convening. 


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