Bill Summary for H 91 (2019-2020)

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Summary date: 

Feb 18 2019

Bill Information:

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.

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Bill summary

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.