ABC LAWS MODERNIZATION/PED STUDY.

View NCGA Bill Details2019-2020 Session
House Bill 91 (Public) Filed Monday, February 18, 2019
AN ACT TO EXEMPT MIXED BEVERAGE PERMITTEES FROM THE PURCHASE-TRANSPORTATION PERMIT REQUIREMENT FOR SPIRITUOUS LIQUOR; TO REQUIRE THE ABC COMMISSION TO SUBMIT A QUARTERLY REPORT ON ITS PROCESS FOR OBTAINING A CONTRACT FOR STATE WAREHOUSE SERVICES; TO ALLOW THE PURCHASE OF INDIVIDUAL BOTTLES WHEN PLACING A SPECIAL ORDER OF SPIRITUOUS LIQUOR; TO ALLOW LOCAL ABC BOARDS TO CHARGE A DELIVERY FEE WHEN DELIVERING SPIRITUOUS LIQUOR TO MIXED BEVERAGES PERMITTEES; TO ALLOW LOCAL GOVERNMENTS THE OPTION OF OPERATING ABC STORES ON SUNDAYS; AND TO ALLOW SPIRITUOUS LIQUOR TASTINGS AT ABC STORES, AS RECOMMENDED BY THE JOINT LEGISLATIVE PROGRAM EVALUATION OVERSIGHT COMMITTEE.
Intro. by McGrady, Boles, Horn, Willingham.

Status: Re-ref Com On Finance (House action) (Apr 16 2019)

SOG comments (2):

Identical bill

Identical to S 87, filed 2/19/19.

Long title change

House committee substitute to the 1st edition changed the long title.  Original title was AN ACT TO REQUIRE THE MERGER OF ABC SYSTEMS LOCATED IN A COUNTY WITH TWO OR MORE ABC SYSTEMS; TO REPEAL THE PURCHASE-TRANSPORTATION PERMIT REQUIREMENT FOR SPIRITUOUS LIQUOR; TO REQUIRE THE ABC COMMISSION TO SUBMIT A QUARTERLY REPORT ON ITS PROCESS FOR OBTAINING A CONTRACT FOR STATE WAREHOUSE SERVICES; TO ALLOW THE PURCHASE OF INDIVIDUAL BOTTLES WHEN PLACING A SPECIAL ORDER OF SPIRITUOUS LIQUOR; TO ALLOW LOCAL ABC BOARDS TO CHARGE A DELIVERY FEE WHEN DELIVERING SPIRITUOUS LIQUOR TO MIXED BEVERAGES PERMITTEES; TO ALLOW LOCAL GOVERNMENTS THE OPTION OF OPERATING ABC STORES ON SUNDAYS; AND TO ALLOW SPIRITUOUS LIQUOR TASTINGS AT ABC STORES, AS RECOMMENDED BY THE JOINT LEGISLATIVE PROGRAM EVALUATION OVERSIGHT COMMITTEE.

H 91

Bill Summaries:

  • Summary date: Apr 17 2019 - More information

    House committee substitute to the 1st edition makes the following changes.

    Amends the act's long title. Deletes Part I of the act, which amended GS 18B-700 and GS 18B-703 to require counties with multiple ABC systems to merge their systems by June 30, 2021.

    Part II.

    Deletes the proposed changes to GS 18B-303 and GS 18B-403 regarding purchasing and transporting spirituous liquor. Instead, amends GS 18B-303 to authorize a mixed beverage permittee or an employee of the permittee to purchase and transport any amount of fortified wine or spirituous liquor for use by the mixed beverage permittee without obtaining a purchase-transportation permit under GS 18B-403. Also authorizes an independent contractor employed to deliver spirituous liquor under GS 18B-701(a)(1), as amended, by either a mixed beverage permittee or a local ABC board to transport any amount of fortified or spirituous liquor for use by a mixed beverage permittee without obtaining a purchase-transportation permit. Makes conforming changes. Makes conforming changes to GS 18B-403, which provides for purchase-transportation permits. Maintains that the provisions apply to fortified wine and spirituous liquor purchased on or after July 1, 2019.

    Part IV.

    Eliminates the proposed changes to GS 18B-800(c) to instead maintain existing language to prohibit any ABC store from selling any alcoholic beverage that has not been approved by the ABC Commission (Commission). Modifies proposed subsection (c1), regarding the purchase of individual bottles from special orders, to more specifically refer to the special item list approved by the Commission and a special item case. Deletes the proposed authorization for the Commission to establish and charge a fee for special orders. Maintains the effective date of July 1, 2019.

    Now requires the Commission to develop and implement an online system to facilitate the sale, purchase, transport, delivery, of spirituous liquor items by and among local ABC boards, including listing items on the regular approved list of items and the special items list maintained by the Commission. Also requires the Commission to develop and implement an online system to allow mixed beverage permittees to track special orders from the special list online, including the date the special order is placed with the Commission by the local ABC board and the expected date the permittee can take possession of the special order. 

    Part V. 

    Modifies the proposed changes to GS 18B-701 to now authorize a local board providing delivery of spirituous liquor to a mixed beverage permittee to use its employees or contract with an independent contractor. Maintains that a local board can charge a delivery fee to the permittee, but removes the qualification that the fee be sufficient to cover actual costs of delivery. Also authorizes a mixed beverage permittee to contract with an independent contractor to provide delivery of spirituous liquor from an ABC board's store or warehouse to the permittee's premises. Maintains the effective date of July 1, 2019.

    Directs the Commission to adopt rules to implement the statute, including parameters for the delivery fee and requirements for independent contractors making deliveries.


  • Summary date: Apr 16 2019 - More information

    House committee substitute to the 1st edition is to be summarized. 


  • Summary date: Feb 18 2019 - More information

    Part I

    Applicable to all ABC systems, mandates a merger of ABC systems located in a county with two or more ABC systems.

    Enacts GS 18B-700(c1), prohibiting more than one local ABC board per county. Provides for merger following an ABC store election in a jurisdiction where an ABC board is already in operation. Specifies that the new subsection does not prohibit a local ABC board from serving multiple cities, counties, or cities and counties. Makes conforming changes to GS 18B-703(e), incorporating the limits set out in GS 18B-700(c1) into the statutory provisions concerning dissolution of merged ABC systems, and specifically providing for the option to merge with a different ABC system upon dissolution. Effective June 30, 2021.

    Part II

    Amends GS 18B-303 and GS 18B-403 regarding certain alcoholic beverage purchases and transport. Modifies to allow the purchase of any amount of fortified wine and spirituous liquor without a purchase-transportation permit (currently, a permit is required for amounts in excess of eight liters of either, with a permit limiting transport to a maximum of 40 liters or as specified by the permit). Makes conforming changes. Effective July 1, 2019.

    Part III

    Directs the ABC Commission to submit a quarterly report beginning October 15, 2019, to the specified NCGA committee detailing the progress made in bidding and selecting an independent contractor for the receipt, storage, and distribution of spirituous liquor (hereafter, liquor) at and from the State warehouse in accordance with GS 18B-204(a)(3). Sets out the parameters for the report. Terminates the reporting requirements upon the earlier date of the award of the contract for services described in GS 18B-204(a)(3) or January 1, 2022.

    Part IV

    Amends GS 18B-800, requiring ABC stores to allow the purchase of individual liquor bottles not on the ABC Commission’s approved list by special order through a process established by rule by the ABC Commission. Further, allows ABC stores to sell in store any bottles it receives in excess of what was purchased by the customer requesting the special order. Permits the Commission to establish and charge a fee for special orders. Effective July 1, 2019.

    Part V

    Amends GS 18B-701(a), authorizing a local ABC board to charge a fee for the provision of delivery of liquor to a mixed beverages permittee to cover actual costs incurred. Makes technical and clarifying changes. Applies to deliveries made on or after July 1, 2019.

    Part VI

    Enacts GS 153A-145.8 and GS 160A-205.4, authorizing counties and cities with at least one operating ABC store to adopt an ordinance allowing ABC stores under their operation to be open and sell alcoholic beverages on Sunday. Specifically requires consultation with the county or city ABC board, respectively, prior to adoption. Makes conforming changes to GS 18B-802(b), prohibiting ABC stores from being open and ABC employees from selling alcoholic beverages on any Sunday except as provided in new GS 153A-145.8 and GS 160A-205.4. Effective July 1, 2019.

    Part VII

    Amends GS 18B-1114.7, authorizing the holder of a supplier representative permit, brokerage representative permit, or distillery permit issued under GS 18B-1105 to obtain a spirituous liquor special event permit allowing the permittee to give free tastings of its liquor at ABC stores where the local ABC board has approved the tasting. Makes conforming changes to GS 18B-301(f)(1), excepting these consumer tastings from the prohibition against consuming or offering those beverages on the premises of an ABC store. Effective July 1, 2019.

    Part VIII

    Requires the ABC Commission to amend its rules consistent with the act.


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