Bill Summary for H 768 (2021-2022)

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Summary date: 

Jun 28 2022

Bill Information:

View NCGA Bill Details2021
House Bill 768 (Public) Filed Monday, May 3, 2021
Intro. by Moffitt.

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Bill summary

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.