Bill Summaries: H909 (2015-2016 Session)

Tracking:
  • Summary date: Jun 22 2015 - View summary

    AN ACT TO MAKE VARIOUS CHANGES TO THE ALCOHOLIC BEVERAGE CONTROL COMMISSION LAWS. Enacted June 19, 2015. Effective June 19, 2015, except as otherwise provided. 


  • Summary date: May 27 2015 - View summary

    Senate committee substitute makes the following changes to the 3rd edition.

    Amends GS 18B-1105(a)(4) to clarify criteria governing the sale of spirituous liquor distilled on the the premises of a distillery to visitors for off-site consumption. Clarifies that spirituous liquor sold under this subdivision must be listed as a code item for sale in the state and be sold at the price set by the NC Alcoholic Beverage Control Commission (ABC Commission) for the code item pursuant to GS 18B-804(b). Makes conforming changes. Additionally clarifies that a distillery that sells spirituous liquor to visitors must limit its sales to no more than one bottle of spirituous liquor to each consumer per 12-month period (was, per calendar year). Requires the distillery to maintain searchable electronic records that include a purchaser's name, driver's license number, and date of birth for at least 12 months (was, at least one year) from the date of purchase. Makes conforming changes to GS 18B-800 and GS 18B-804(a).

    Provides that the provisions in Section 4 become effective when rules are adopted pursuant to subsection (h) of Section 4 of this act. Effective when the act becomes law, subsection (h) directs the ABC Commission to establish and adopt temporary rules to implement the provisions of Section 4 of this act no later than October 1, 2015.

    Amends GS 18B-903 to prohibit using alternating brewery proprietorships to allocate (was, to distribute) production quantities between affiliated breweries for the purpose of obtaining a malt beverage wholesaler permit under GS 18B-1104(8) when either brewery would not otherwise qualify for a permit.

    Makes conforming changes to GS 105-113.68(a) and GS 105-164.4(a)(7). Also provides in GS 105-164.4 that the combined general rate of tax applies to the sales price of antique spirituous liquor.


  • Summary date: May 21 2015 - View summary

    Senate committee substitute makes the following changes to the 2nd edition.

    Amends the short and long titles. 

    Adds the following provisions.

    Amends GS 18B-101, which defines terms as they are used in GS Chapter 18B, Regulation of Alcoholic Beverages. Adds a definition for powdered alcohol, meaning any powder or crystalline substance capable of being converted into a liquid alcoholic beverage fit for human consumption. Adds new subsection (a1) to GS 18B-102 to make it unlawful for any person to manufacture, sell, transport, import, deliver, furnish, purchase, consume, or possess powdered alcohol.

    Amends GS 18B-112, Tribal alcoholic beverage control, to provide that the Eastern Band of Cherokee Indians are authorized to issue the specified permits found in GS 18B-603(f) without approval at elections, including, special occasion permits, limited special occasion permits, and certain culinary permits, and in doing so the definitions found in GS 18B-1000 apply.

    Provides that the Eastern Band of Cherokee Indians are authorized to issue specified wine shipping permits found in GS 18B-1001.1, 1001.2, and 1001.3. Also provides for the issuance of permits for commercial activity in GS Chapter 18B, Article 11 as follows: (1) the tribal alcoholic beverage control commission can issue commercial activity permits to any qualifying applicant that establishes a commercial business wholly on Indian Country Land and retains the sole enforcement authority over such permittee to the extent the conduct occurs on Indian Country lands; (2) the Eastern Band of Cherokee Indians must recognize any permit issued by the NC Alcoholic Beverage Control Commission allowing commercial activity in the same manner as if such permit was issued by the tribal alcoholic beverage control commission, as well as vice versa; and (3) the NC Alcoholic Beverage Control Commission retains exclusive enforcement authority over all permits it issues to commercial activity permittees for violations of its rules or of GS Chapter 18B. Makes conforming changes. 

    Adds language providing that provisions of GS Chapter 18B, Articles 12 and 13, that have not been made applicable to the Eastern Band of Cherokee Indians act as a bar to engaging in the specified activity by the Eastern Band of Cherokee Indians.

    Amends GS 18B-101(14a), concerning the definition of a tourism ABC establishment, to provide that the Eastern Band of Cherokee Indian's tribal alcoholic beverage control commission maintains the exclusive authority to issue specified permits between Milepost 460 and the southern terminus of the national scenic byway at Milepost 469 for any restaurant or hotel that is located wholly on Indian Country lands. 

    Enacts new subdivision (5) to GS 18B-1105(a) authorizing distillery permit holders to sell spirituous liquor distilled on the premises to visitors to the distillery for consumption off the premises, if the distillery makes less than 100,000 proof gallons per year. Restricts sales under this subdivision to areas where establishing an ABC store has been approved under GS 18B-602(g). Directs that the spirits sold at a distillery under this subdivision be sold at a price set by the ABC Commission, including all excise taxes, bottle charges, and sales tax, and requires that the taxes and bottle charges be remitted to the Department of Revenue. Requires that spirits sold under this subdivision have a label on the bottle that has the words "North Carolina Distillery Tour Commemorative Spirit" in addition to any other labeling required by law. Limits the amount of liquor that a consumer may purchase under this subdivision per calendar year and limits the hours and days of retail sales of spirituous liquor under this subdivision to the hours and days of the sales provision in GS 18B-802.

    Amends GS 105-113.68 to add and define distillery permittee to the definitions for GS Chapter 105, Article 2C, Alcoholic Beverage License And Excise Taxes.

    Amends GS 105-113.80 to specify that liquor sold in permitted distilleries is subject to the 30% excise tax.

    Amends GS 105-113.81(e) to provide that breweries, wineries, and distilleries are not required to remit excise taxes on malt beverages, wine, or spirituous liquor given free at tastings. 

    Amends GS 105-113.83(a) to make conforming changes, providing that distillery permittees are required to submit collected excise taxes monthly to the Secretary of Revenue.

    Amends GS 18B-1001, deleting references to specified provisions of the NC Administrative Code that before deletion had the effect of only authorizing the sale of malt beverages, pursuant to on-premises malt beverage permits and off-premises malt beverage permits, when the packaging and sealing of the product was done in compliance with those specified provisions. Makes technical changes. Adds language concerning on-premises and off-premises unfortified wine permits and wine shop permits, authorizing the retail sale of unfortified wine dispensed from a tap connected to a pressurized container utilizing carbon dioxide or similar gas into a cleaned, sanitized, resealable container that is filled or refilled and sealed for consumption off the premises and that identifies the permittee and the date the container was filled or refilled.

    Adds language that provides that the NC Alcoholic Beverage Control Commission rules regulating the retail sale of malt beverages in growlers also apply to the retail sale of unfortified wine in growlers until such time that the Commission adopts administrative rules implementing this act.

    Enacts new GS 18B-903(c1), concerning the duration of ABC permits and renewal and transfer of such permits, providing that nothing in this statute limits alternating brewery proprietorships where the holder of a brewery permit leases or otherwise makes available its facility to another holder of a brewery permit. Sets out provisions concerning the issue of title to the malt beverages during the different stages of the brewing process. Authorizes alternating brewery proprietorships as long as they are not used as a means to distribute production quantities between affiliated breweries in order to obtain a malt beverage wholesaler permit as specified.

    Amends GS 18B-1104, concerning brewery permits, adding language which provides that permit holders are not prohibited from selling malt beverages to a nonresident wholesaler, vendor, bottler, or similar party for resale in North Carolina if such malt beverages are shipped from the brewery to licensed wholesalers.  Also provides that brewery permit holders can receive and sell malt beverages made in or outside of the state under contract at the brewery as well as at affiliated retail outlets of the brewery located on or adjacent to the brewery. Sets out other provisions regarding the sale of malt beverages. Provides that contract brewing is authorized as long as it is not used as a means to distribute production quantities between affiliated breweries in order to obtain a malt beverage wholesaler permit as specified.

    Amends GS 18B-1001(13) concerning guest room ABC permits, providing that 18-hole golf courses that (1) hold a mixed beverages permit or are located in a county where ABC stores are established and the sale of mixed beverages are not approved, (2) have management contracts for the rental of living units, and (3) are located in a county with a population greater than 20,000 by the last federal census can be issued a guest room cabinet permit. Makes technical and clarifying changes. 


  • Summary date: Apr 29 2015 - View summary

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

    Amends GS 18B-101, definitions concerning the regulation of alcoholic beverages, amending the definition for antique spirituous liquor, providing that it is a spirituous liquor that has not been (1) in production or bottled in the last 20 years, (2) is in the original manufacturer's unopened container, (3) is not owned by a distillery, and (4) is not otherwise available for purchase by an ABC Board except through special order. Also adds and defines the term antique spirituous liquor seller

    Amends proposed GS 18B-1001(20), concerning antique spirituous liquor permits, providing that acquisition of antique spirituous liquor, after September 1, 2015 (was, August 1, 2015), must be in accordance with the process established by the ABC Commission. Deletes language that required a complete inventory of the antique spirituous liquor in possession of an applicant for initial and renewal applications for a permit. Also deletes language which provided that permit holders are solely liable for violations occurring in connection with the sale of antique spirituous liquor and that required the ABC Commission to adopt rules concerning ownership and safety rules and standards. 

    Amends GS 18B-804 to require the sale price of spirituous liquor sold at the uniform state price to include the antique spirituous liquor seller's price (previously, required the price of antique spirituous liquor to include the price paid by the Alcoholic Beverage Control Commission to purchase the liquor). 

    Amends GS 105-113.80 to specify that spriituous liquor and antique spirituous liquor are subject to the 30% excise tax.

    Requires the ABC Commission to establish and adopt temporary rules to implement the provisions of this act by September 1, 2015 (was, August 1, 2015). 

    Deletes provisions that provided that a person that has a permit and has paid the excise tax to sell any antique spirituous liquor in his or her possession before or on the effective date of this act, or acquired by bequest or inheritance after the effective date of this act. 


  • Summary date: Apr 20 2015 - View summary

    Amends GS 18B-1001 to allow a mixed beverages permit holder to be issued an antique spirituous liquor permit, defined as spirituous liquor that has been bottled for at least 20 years, and is in the original, unopened bottle; intended for beverage use; and no longer in production. Allows the antique spirituous permit holder to sell antique spirituous liquor for use in mixed beverages for consumption on premises. Requires the permit holder to submit and maintain an inventory of the antique spirituous liquor in the permit holder's possession. Requires the acquisitions of antique spirituous liquor on or after August 1, 2015, to be in accordance with the process established for special orders of spirituous liquor that is not on the approved list.

    Amends GS 18B-902 to set the permit fee at $100.

    Amends GS 18B-804 to require the price of antique spirituous liquor to include the price paid by the Alcoholic Beverage Control Commission to purchase the liquor. 

    Amends GS 105-113.80 to set out how the price of antique spirituous liquor is to calculated for purposes of determining the tax.

    Makes conforming statutory changes.Allows a person who has a permit and has paid the excise tax to sell any antique spirituous liquor  in his or her possession before or on the effective date of this act, or acquired by bequest or inheritance after the effective date of this act. 

    Requires the ABC Commission to establish and adopt temporary rules to implement the provisions of this act by August 1, 2015. The act's statutory changes become effective upon the adoption of these rules.