RECOGNIZING North CarolinaAlcoholic 70 YEARS Web Documents/Divisions/Public... · County and...

31
FY2005 ANNUAL REPORT North Carolina Alcoholic Beverage Control 70 YEARS RECOGNIZING 1935 Service Control Revenue 2005

Transcript of RECOGNIZING North CarolinaAlcoholic 70 YEARS Web Documents/Divisions/Public... · County and...

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North CarolinaAlcoholicBeverageControl

70 YEARSRECOGNIZING

1935

ServiceControl

Revenue2005

2005North Carolina

Douglas A. FoxChairman

Michael C. HerringAdministrator

Designed and Produced by:Danny Sellers

Director of Education

Written by:ABC Commission Staff

Circa 1935

Circa 2005

Table of Contents..............................................................................................

Letter from the Chairman..................................................................................

ABC Commission Organizational Structure......................................................

Control States...................................................................................................

County and Municipal ABC Boards...................................................................

ABC Board Locations........................................................................................

ABC Board Financial Highlights.........................................................................

ABC Commission Board Audits and Pricing Division........................................

Revenue and Distributions.................................................................................

Spirituous Liquor Pricing in North Carolina........................................................

ABC Warehouse Operations..............................................................................

ABC Commission Permit Division......................................................................

ABC Commission Legal Division........................................................................

ABC Commission Product Compliance Division................................................

ABC Commission Education and Training Division...........................................

North Carolina Alcoholic Beverage Control CommissionFY05 Annual Report

Table of Contents

iControl Service Revenue Since 1935

i

ii

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2

3 - 4

5 - 11

12

13

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16 - 17

18 - 20

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22 - 23

24 - 25

ii Control Service Revenue Since 1935

Letter from the Chairman

Douglas A. FoxChairman

October 15, 2005

Quality Control and Service

In 1933, following passage of the 21st Amendment to the U.S. Constitutionrepealing Prohibition, North Carolina voted to permit the sale of alcoholic beverages underlocal control. In 1935, the first county owned and operatedAlcohol Beverage Control (ABC)store was opened in Wilson County establishing a control system in the state unlike anyother in the country.

In 1937, the State ABC Commission consisting of three members appointed by thegovernor was established to ensure that the laws and regulations governing the sale ofalcoholic beverages were enforced. Through continued modernization and streamliningprocesses, the present Commission is committed to meeting the goals initially established70 years ago, while meeting the demands of a rapidly growing and changing state.

In the past decade, North Carolina has seen case shipments of spirituous liquorfrom the State ABC Warehouse increase by 30%. This growth required the installation of aracking system this fiscal year to better manage space and continue to offer a goodselection of products for the local ABC boards. Additionally, we have seen rapid growth inwine production with 48 wineries establishing residence in North Carolina. These wineriesharvested 3500 tons of grapes last year, which netted 400,000 cases of wine and rankedNorth Carolina 12th in the country in wine production.

As you will see throughout this publication, the ABC system generated significantrevenue for the state of North Carolina in 2005. We envision this growth will continue andthe ABC Commission looks forward to the challenges of regulating a contemporary andprofitable control system next year. The Commission will continue encouragingresponsible alcohol practices within the retail and commercial ABC industry and isconfident that it can balance the needs of a changing business climate while protecting thepublic welfare.

Best Regards,

DouglasA. Fox

Chairman

1Control Service Revenue Since 1935

Organizational Structure

North Carolina Alcoholic Beverage Control Commission

In 1935 the North Carolina Legislature authorized the Governor to appoint a commissionto study the question of control of alcoholic beverages for the purpose of makingrecommendations to the 1937 General Assembly. The commission examined two types ofcontrol under which spirituous liquor was being sold in other states, one being represented by aState Licensing system and the other by a State Monopoly system. After careful study, theAlcoholic Beverage Control bill was submitted to the General Assembly of 1937, and with a fewchanges a monopoly system was enacted into law. The Control Act provided for theestablishment of a State Board of Control consisting of a Chairman and two associate memberswho would be appointed by the Governor of the State.

The State Board of Control is today known as the North Carolina Alcoholic BeverageControl Commission. The Control Act provides for a local option plan under which no county orcity in the State would be required to sell alcohol unless first approved by the voters. TheCommission has the authority to administer the ABC laws, set the prices of alcoholic beveragessold in local ABC stores, determine the brands of alcoholic beverages sold in the state, issueABC permits, impose sanctions against permittees and adopt rules to carry out the provisions oftheABC laws.

Commission Member(Vacant)

Commission MemberMike A. Joyner

ChairmanDouglas A. Fox

Chief AdministratorMichael C. Herring

Deputy Director AdministrationDoyle D. Alley

Administrative Staff

Elizabeth Baker

Annette Taylor

Cathy Horne

Marilyn Lewis

Anna Wilson

Chief Counsel

Fred Gregory

DirectorEducation

Danny Sellers

DirectorPermits

Ann Johnson

DirectorBeer / Wine

Product Compliance

Lisa Nelson

DirectorField Audits

Vera Smith

DirectorSpirituous LiquorABC Board Audits

Laurie Lee

Tim Morse

Lorita Pinnix

Karen “Renee” Cowick

Counsel

John Ruth

Charlie Fuller

Jane Humble

Marnina Queen

LaTonya Mciver-Yellock

Education Trainers

Tami Clifton

Vickie West

Anna Mintz

Sally Blackmon

Christiel Rhem

LaToya Jones

Permit Assistants

Karen Gregory

Alicia Bagwell

Nancy Johnson

Product ComplianceAssistants

Field Auditors

Charlie Williams

Niya Carr

Carolyn Paysour

Sam Darakjy

Penny Starling - Tew

Pricing Manager

LB&B Associates

Graham Thompson

54 WarehouseEmployees

ABC WarehouseContractor

Project ManagerDiane DeWid

Audit AssistantLegal Assistants

Theresa Avery

Tiffany Goodsor

Dottie L. Taylor

2 Control Service Revenue Since 1935

Control States

Control States

It is the mission of the National Alcohol Beverage Control Association (NABCA) to supportand benefit alcohol control systems by providing research, fostering relationships, and managingresources to address policy for the responsible sale and consumption of alcoholic beverages.

Established in 1937, NABCA is the national association representing the Control States -those political jurisdictions that directly control the distribution and sale of beverage alcohol withintheir borders.

Headquartered in the Washington, DC area, NABCA serves its members as an informationclearinghouse and as liaison to federal, state and local governments, research and advocacygroups, the alcohol beverage industry, and other organizations impacting alcohol policy.

Management of the Association is vested in its Board of Directors with one director from eachof the voting member Control Jurisdictions and a President elected by the Board annually. Day-to-day administration is the responsibility of a full-time Executive Director and staff.

While the Control State systems were founded upon a common principle of market control,the exercise of that control has come to vary from state to state. Some now control only at wholesale;others have retained control at retail exclusively through government-operated stores; and somecontrol the sale of wine, as well as distilled spirits. Sale prices, customer service policies andoperating procedures also vary.

Those objectives have evolved over the past seven decades, as public attitudes towarddrinking have changed and as the demand for state revenues has increased. In response, theControl State systems have transitioned from their origins as ‘dispensaries of last resort’ to their roletoday as efficient, consumer-oriented service agencies.

The Control State systems have focused on achieving the delicate balance of responding tocustomer concerns; generating revenue for valuable and necessary state programs; improving theoverall safety of communities through education, regulation and enforcement; and providing qualityservice to their customers.

The Control State Systems

3Control Service Revenue Since 1935

County and Municipal ABC Boards

Municipal Boards

County Boards

No ABC Boards

Municipal Boards Only

Hayw

ood

YanceyM

itchell

Avery

Watauga Wilkes

AlleghanyAshe

Graham

Madison

Swain

ClevelandCherokee

Rutherford

McDowellBuncombe

PolkHenderson

Transylvania

JacksonMacon

Clay

Gaston

Lincoln

Rowan

IredellAlexander

Catawba

Burke

Caldwell

Davidson

Davie

Yadkin

Surry

Cabarrus

Stanly

AnsonUnion

Mecklenburg

Moore

Hoke

Scotland

Richmond

Montgom

ery

Person

Va

nc

e

Gra

nv

illeDu

rha

m

Ala

man

ce

Randolph

Guilford

Rockingham

Stokes Caswell

Ora

ng

eCum

berland

Columbus

Pender

Wake

Warren

Pitt

Harnett

RobesonBladen

NewHanover

FranklinEdgecombe

Lee

Brunswick

Onslow

Nash

Chatham

Pamlico

Carteret

BeaufortHyde

Dare

Ty

rrellWashington

Martin

Jones

Craven

Ch

ow

an

Perquimans

Pasquotank

Camden

CurrituckHertford

GatesNorthampton

Halifax

BertieForsyth

Wayne Lenoir

Duplin

Sampson

Johnston

Wilson

Greene

County and municipal ABC boards in North Carolina are local political subdivisions of theState. They operate as separate entities establishing their own policies and procedures.

Each local ABC board consists of a Chairman and two to four board members appointed bytheir city, town or county governing authority. They retain authority to set policy and adopt rules inconformity with ABC laws and Commission rules. They have authority to hire and fire local boardpersonnel, including law enforcement. There are presently 154 localABC boards.

Each local board has the authority and duty to operate at least one profitable ABC store.Additional stores may be operated with the approval of the Commission. A local ABC board maytransact business as a corporate body, except as limited by the ABC laws. A local ABC board shallnot be considered a public authority under GS 159-7(b)(10).

The system manager is responsible for the day-to-day operations of the store(s) and theadherence toABC laws, Commission Rules, and guidelines set forth by its local board.

4 Control Service Revenue Since 1935

County and Municipal ABC Boards

The Commission along with the North Carolina Association of ABC Boards continued theirefforts to stress the importance of modernization, better product selection and better customerservice at retail ABC stores in order to counter those who think that government cannot provide aconsumer friendly enjoyable shopping experience. The below picture of a modern store inMecklenburg County offers these services and more.

5Control Service Revenue Since 1935

ABC Board Locations

Clemmons ABC Store

Alamance Municipal ABC Board

Albemarle ABC Board

Andrews ABC Board

Angier ABC Board

Asheville ABC Board

Beaufort County ABC Board

Belville ABC Board

Bermuda Run ABC Board

603 W. Harden StreetGraham, NC 27253Phone: 336-226-6882Fax: 336-226-7093E-Mail: [email protected]

1930 East Main StreetAlbemarle, NC 28001Phone: 704-982-2246Fax: 704-982-2157E-Mail: [email protected]

1397 Main StreetAndrews, NC 28901Phone: 828-321-5706E-Mail: [email protected]

219 N. Raleigh StreetAngier, NC 27501Phone: 919-639-4881Fax: [email protected]

1 Cherry Street NorthAsheville, NC 28801Phone: 828-251-6192Fax: 828-251-1638E-Mail: [email protected]

750 Carolina AvenueWashington, NC 27889Phone: 252-946-2551Fax: 252-946-7658E-Mail: [email protected]

44 River RoadBelville, NC 28451Phone: 910-371-3383Fax: 910-371-3383E-Mail: [email protected]

317 Riverbend DrBermuda Run, NC 27006Phone: 336-998-5247E-Mail: [email protected]

Bertie County ABC Board

Bessemer City ABC Board

Black Mountain ABC Board

Blowing Rock ABC Board

Boiling Spring Lakes ABC Board

Boone ABC Board

Brevard ABC Board

Brunswick ABC Board

127 US 13-17 SouthWindsor, NC 27983Phone: 252-794-4959

208 West Alabama AvenueBessemer City, NC 28016Phone: 704-629-2271E-Mail: [email protected]

207 NC Hwy 9Black Mountain, NC 28711Phone: [email protected]

7960 Valley BlvdBlowing Rock, NC 28605Phone: 828-295-7513Fax: 828-295-7513:[email protected]

3130 George II Hwy SESouthport, NC 28461Phone: 910-845-2606Fax: 910-845-2606E-Mail: [email protected]

2067 Blowing Rock RoadBoone, NC 28607Phone: 828-262-3616Fax: 828-262-3515E-Mail: [email protected]

350-A N Broad StreetBrevard, NC 28712Phone: 828-883-8128E-Mail: [email protected]

1493 Vinson BlvdBrunswick, NC 28424Phone: 910-642-4670E-Mail: [email protected]

Brunswick County ABC Board

Bryson City ABC Board

Bunn ABC Board

Calabash ABC Board

Camden County ABC Board

Canton ABC Board

2567 Holden Beach Road SWSupply, NC 28462Phone: 910-842-8839Fax: 910-842-9228E-Mail: [email protected]

254 Veteran’s BlvdBryson City, NC 28713Phone: [email protected]

5435 NC Hwy 39 SouthBunn, NC 27508Phone: 919-496-4500E-Mail: [email protected]

10203 Beach RoadCalabash, NC 28467Phone: 910-579-2556Fax: [email protected]

395 W. 158 Camden CausewayCamden, NC 27921Phone: 252-335-1830Fax: 252-335-1830E-Mail: [email protected]

40 Main StreetCanton, NC 28716Phone: 828-648-7263Fax: 828-648-8287E-Mail: [email protected]

6 Control Service Revenue Since 1935

ABC Board Locations

Durham County Headquartersand Store

Carteret County ABC Board

Caswell County ABC Board

Catawba County ABC Board

Chatham County ABC Board

Cherryville ABC Board

Chowan County ABC Board

Clinton ABC Board

Columbus ABC Board

410 Live Oak StreetBeaufort, NC 28516Phone: 252-728-4269Fax: 252-728-1365E-Mail: [email protected]

1133 Old Hwy 86 NorthYanceyville, NC 27379Phone: 336-694-4851E-Mail: [email protected]

1910 Fairgrove Church RoadNewton, NC 28658Phone: 828-464-7192Fax: 828-464-0699E-Mail: [email protected]

11455-B Hwy 15-501Chapel Hill, NC 27517Phone: 919-942-1142Fax: 919-942-3886E-Mail: [email protected]

112A North Cherry StreetCherryville, NC 28021Phone: 704-435-2559Fax: 704-435-2559E-Mail: [email protected]

1328 North Broad StreetEdenton, NC 27932Phone: 252-482-2622Fax: 252-482-6939E-Mail: [email protected]

414 Southeast BlvdClinton, NC 28328Phone: 910-592-4355E-Mail: [email protected]

250 W. Mils St, Unit 3Columbus, NC 28722Phone: 828-894-3188Fax: 828-894-6308E-Mail: [email protected]

Concord ABC Board

Cooleemee ABC Board

Craven County ABC Board

Cumberland County ABC Board

Currituck County ABC Board

Dare County ABC Board

Dobson ABC Board

1255 Concord Pkwy N.Concord, NC 28025Phone: 704-786-5615Fax: 704-782-3916E-Mail: [email protected]

7768 Hwy 801 SouthCooleemee, NC 27014Phone: 336-284-4106

3493 Martin DriveNew Bern, NC 28562Phone: 252-638-1318Fax: 252-514-2389E-Mail: [email protected]

1705 Owen DriveFayetteville, NC 28304Phone: 910-484-8167Fax: 910-484-1255E-Mail: [email protected]

6664 Caratoke HwyGrandy, NC 27939Phone: 252-453-2828Fax: 252-453-9791E-Mail: [email protected]

2104 South Croatan HighwayNags Head, NC 27959Phone: 252-441-5121Fax: 252-441-2991E-Mail: [email protected]

816 E. Atkins StreetDobson, NC 27017Phone: 336-356-4103E-Mail: [email protected]

Dunn ABC Board

Durham County ABC Board

Eden ABC Board

Edgecombe County ABC Board

Elizabethtown ABC Board

Elkin ABC Board

Fairmont ABC Board

Fletcher ABC Board

555 Jackson RoadDunn, NC 28335Phone: 910-892-6608Fax: 910-892-6936E-Mail: [email protected]

3620 Chapel Hill BlvdDurham, NC 27707Phone: 919-419-6217 x25Fax: 919-489-0933E-Mail: [email protected]

318 N. Pierce StreetEden, NC 27288Phone: 336-627-8300E-Mail: [email protected]

414 West Wilson StreetTarboro, NC 27886Phone: 252-823-8147Fax: 252-823-8148E-Mail: [email protected]

2817 West Broad StreetElizabethtown, NC 28337Phone: 910-862-2332Fax: 910-862-6432Email: [email protected]

150 Brandwine CircleElkin, NC 28621Phone: 336-835-3450Fax: 336-835-3450E-Mail: [email protected]

200 N. Walnut StreetFairmont, NC 28340Phone: 910-628-7747Fax: 910-628-7747E-Mail: [email protected]

575 New Airport Road #10Fletcher, NC 28732Phone: [email protected]

7Control Service Revenue Since 1935

ABC Board Locations

Gastonia ABC Store

Forest City ABC Board

Forsyth-Municipal ABC Board

Franklin ABC Board

Franklinton ABC Board

Garland ABC Board

Gastonia ABC Board

430 Oak StreetForest City, NC 28043Phone: 828-247-4454Fax: 828-248-3777E-Mail: [email protected]

3127 Starlight DriveWinston-Salem, NC 27107Phone: 336-788-7141Fax: 336-784-0243E-Mail: [email protected]

149 Macon Plaza DriveFranklin, NC 28734Phone: 828-369-9247Fax: 828-369-8739E-Mail: [email protected]

3378 Franklinton Square, Hwy 1 N.Franklinton, NC 27525Phone: 919-494-7777E-Mail: [email protected]

35 North Ingold AveGarland, NC 28441Phone: 910-529-5361E-Mail: [email protected]

1840 S. York RoadGastonia, NC 28052Phone: 704-864-0364Fax: 704-853-0575E-Mail: [email protected]

Gates County ABC Board

Gibsonville ABC Board

Granite Falls ABC Board

Granville County ABC Board

Greene County ABC Board

Greensboro ABC Board

Halifax County ABC Board

Hamlet ABC Board

730 NC Hwy 32Corapeake, NC 27979Phone: 252-465-8149Fax: 252-465-8149E-Mail: [email protected]

112 Piedmont AvenueGibsonville, NC 27249-2449Phone: 336-449-0159Fax: 336-449-0159E-Mail: [email protected]

Twin Drive, Hwy 321 NGranite Falls, NC 28630Phone: 828-396-3204Fax: 828-396-3204E-Mail: [email protected]

111 New College StreetOxford, NC 27565Phone: 919-693-6531Fax: 919-603-5427E-Mail: [email protected]

217 SE Second StreetSnow Hill, NC 28580Phone: 252-747-3160

115 N. Cedar StreetGreensboro, NC 27401Phone: 336-274-6304Fax: 336-273-3708E-Mail: [email protected]

411 Hwy 301 SouthHalifax, NC 27839Phone: 252-583-3751Fax: 252-583-2430E-Mail: [email protected]

921 Hamlet AvenueHamlet, NC 28345Phone: 910-582-1504Fax: 910-582-0588E-Mail: [email protected]

Hendersonville ABC Board

Hertford ABC Board

Hertford County ABC Board

High Country ABC Board

Highlands ABC Board

High Point ABC Board

Hoke County ABC Board

Hyde County ABC Board

Johnson County ABC Board

205 South Church StreetHendersonville, NC 28792Phone: 828-693-4112Fax: [email protected]

US Hwy 17 Bypass & Church St.Hertford, NC 27944Phone: 252-426-5290Fax: [email protected]

US 13SAhoskie, NC 27910Phone: 252-332-4408E-Mail: [email protected]

4004 Hwy. 105, Suite 11Banner Elk, NC 28604Phone: 828-892-8282Fax: 828-898-8291, E-Mail:[email protected]

372 Oak StreetHighlands, NC 28741Phone: 828-526-5470Fax: 828-526-5422E-Mail: [email protected]

201 W. Fairfield RoadHigh Point, NC 28604Phone: 336-434-2146Fax: 336-434-6463E-Mail: [email protected]

384 Laurinburg RoadRaeford, NC 28376Phone: 910-875-2020E-Mail: [email protected]

20121 US 264Swan Quarter, NC 27885Phone: 252-926-6921Fax: 252-926-6921

417 S. Brightleaf BlvdSmithfield, NC 27577Phone: 919-934-7249Fax: 919-934-3324Email: [email protected]

8 Control Service Revenue Since 1935

ABC Board LocationsJones County ABC Board

Kenansville ABC Board

Kings Mountain ABC Board

Lake Lure ABC Board

Lake Waccamaw ABC Board

Laurel Park ABC Board

Hwy 58 NorthTrenton, NC 28585Phone: 252-448-3251Fax: [email protected]

119 Mallard StreetKenansville, NC 28349Phone: 910-296-0939

220 N. Cleveland AvenueKings Mountain, NC 28086Phone: 704-739-7449Fax: 704-730-1578E-Mail: [email protected]

2654 Memorial HwyLake Lure, NC 28746Phone: 828-625-2306Fax: 828-625-0902E-Mail: [email protected]

104 East Old Hwy 74/76Lake Waccamaw, NC 28450Phone: 910-646-3830E-Mail: [email protected]

1709 Brevard HwyHendersonville, NC 28791Phone: 828-692-5325E-Mail: [email protected]

Lenoir City ABC Board

Lenoir County ABC Board

Lexington ABC Board

Liberty ABC Board

Lillington ABC Board

Lincoln County ABC Board

Lincolnton ABC Board

Louisburg ABC Board

115 ABC CourtLenoir, NC 28645Phone: 828-754-6820/8387Fax: [email protected]

110 S. Heritage StreetKinston, NC 28501Phone: 252-523-0775Fax: 252-523-3472

419 N. Main StreetLexington, NC 27292Phone: 336-249-2528Fax: 336-249-6131E-Mail: [email protected]

423 West Swannanoa AvenueLiberty, NC 27298Phone: 336-622-3311Fax: 336-622-3269E-Mail: [email protected]

5 E. Duncan StreetLillington, NC 27546Phone: 910-893-4127E-Mail: [email protected]

7531 Waterside Crossing BlvdDenver, NC 28037Phone: 704-820-0665Fax: 704-820-0677E-Mail: [email protected]

1230 E. Main StreetLincolnton, NC 28092Phone: 704-735-4466Fax: [email protected]

605 N. Bickett BlvdLouisburg, NC 27549Phone: 919--496-3631Fax: 919-496-0395E-Mail: [email protected]

Lumberton ABC Board

Madison ABC Board

Maggie Valley ABC Board

Marion ABC Board

Martin County ABC Board

Maxton ABC Board

Mecklenburg County ABC Board

Monroe ABC Board

150 Wintergreen DriveLumberton, NC 28358Phone: 910-618-9022Fax: [email protected]

216 W. Academy StreetMadison, NC 27025Phone: 336-427-0440Fax: 336-427-2494E-Mail: [email protected]

3931 Soco RoadMaggie Valley, NC 28751Phone: 828-926-3481Fax: 828-926-3329E-Mail: [email protected]

484 E. Court StreetMarion, NC 28752Phone: 828-652-8770Fax: 828-652-8770E-Mail: [email protected]

301 West BlvdWilliamston, NC 27892Phone: 252-792-1992Fax: 252-792-1992E-Mail: [email protected]

703 West Martin Luther King Jr DrMaxton, NC 28364Phone: 910-844-3517E-Mail: [email protected]

3333 North Tryon StreetCharlotte, NC 28206Phone: 704-731-5900Fax: 704-333-6313E-Mail: [email protected]

1771 Dickerson BlvdMonroe, NC 28110Phone: 704-283-1033Fax: [email protected] ABC Store

9Control Service Revenue Since 1935

ABC Board Locations

Wrightsville Beach ABC Store

Nash County ABC Board

New Hanover County ABC Board

Newton Grove ABC Board

North Wilkesboro ABC Board

Northhampton County ABC Board

Norwood ABC Board

1206 Eastern AvenueNashville, NC 27856Phone: 252-459-2318Fax: [email protected]

523 South 17th StreetWilmington, NC 28401Phone: 910-762-7611Fax: 910-343-0491E-Mail: [email protected]

203 Raleigh StreetNewton Grove, NC 28366Phone: 910-594-0483

241 Wilkesboro AveN. Wilkesboro, NC 28659Phone: 336-838-4713Fax: 336-838-8391E-Mail: [email protected]

205 E. Jefferson StreetJackson, NC 27845Phone: 252-534-2011Fax: 252-534-2011

317 N. Main StreetNorwood, NC 28128Phone: 704-474-4120

Montgomery Municipal ABC Board

Moore County ABC Board

Mooresville ABC Board

Morganton ABC Board

Mount Airy ABC Board

Mount Holly ABC Board

Mount Pleasant ABC Board

Murphy ABC Board

509 East Main StreetBiscoe, NC 27209Phone: 910-428-2231E-Mail: [email protected]

273 N. E. Broad StreetSouthern Pines, NC 28387Phone: 910-692-8578Fax: 910-692-8242E-Mail: [email protected]

487 East Plaza DriveMooresville, NC 28115Phone: 704-663-6152Fax: 704-663-1173E-Mail: [email protected]

228 W. Fleming DriveMorganton, NC 28655Phone: 828-437-8919Fax: [email protected]

226 Starlite RoadMount Airy, NC 27030Phone: 336-789-9786Fax: [email protected]

2100-B Spring StreetMount Holly, NC 28120Phone: 704-827-3733Fax: 704-827-3715E-Mail: [email protected]

8840 E. Franklin StreetMount Pleasant, NC 28124Phone: 704-436-9711E-Mail: [email protected]

818 W. US 64Murphy, NC 28906Phone: 828-837-5514Fax: 828-837-0035E-Mail: [email protected]

Oak Island ABC Board

Ocean Isle ABC Board

Onslow County ABC Board

Orange County ABC Board

Pamilco County ABC Board

Pasquotank County ABC Board

Pembroke ABC Board

Pender County ABC Board

5402 E. Oak Island DriveOak Island, NC 28465Phone: 910-278-5551Fax: 910-278-6666 (call first)E-Mail: [email protected]

59 Causeway DriveOcean Isle, NC 28469Phone: 910-579-6374Fax: 910-579-6374E-Mail: [email protected]

409 Center StreetJacksonville, NC 28546Phone: 910-577-7186Fax: 910-577-5296E-Mail: [email protected]

122 Hwy 70 E.Hillsborough, NC 27278Phone: 919-732-3432Fax: 919-732-5829E-Mail: [email protected]

13932 NC Hwy 55Alliance, NC 28509Phone: 252-745-3561Fax: 252-745-3575E-Mail: [email protected]

860 Halstead BlvdElizabeth City, NC 27909Phone: 252-335-5501Fax: 252-335-4624E-mail: [email protected]

120 N. Vance StreetPembroke, NC 28372Phone: 910-521-9487E-Mail: [email protected]

207 Hwy 117 BypassBurgaw, NC 28425Phone: 910-259-2672Fax: 910-259-2673E-Mail: [email protected]

10 Control Service Revenue Since 1935

ABC Board Locations

Reidsville ABC Store

Person County ABC Board

Pitt County ABC Board

Pittsboro ABC Board

Randleman ABC Board

Red Springs ABC Board

Reidsville ABC Board

Rockingham ABC Board

Roseboro ABC Board

712 N. Madison BlvdRoxboro, NC 27573Phone: 336-599-8294Fax: 336-599-8326E-Mail: [email protected]

2307 S. Memorial DriveGreenville, NC 27834Phone: 252-756-2350Fax: 252-756-4844E-Mail: [email protected]

70 Sanford HwyPittsboro, NC 27312Phone: 919-545-0861Fax: [email protected]

620 Academy StreetRandleman, NC 27317Phone: 336-498-2253Fax: 336-498-3082E-Mail: [email protected]

904 East 4th AvenueRed Springs, NC 28377Phone: 910-843-5955E-Mail: [email protected]

102 Durwood CourtReidsville, NC 27320Phone: 336-349-6000Fax: 336-349-4266E-Mail: [email protected]

642 East Broad AvenueRockingham, NC 28380Phone: 910-895-9687E-Mail: [email protected]

501 East StreetRoseboro, NC 28382Phone: 910-525-5622E-Mail: [email protected]

Rowan County ABC Board

Rowland ABC Board

Rutherfordton ABC Board

Saint Pauls ABC Board

Sanford ABC Board

Scotland County ABC Board

Shallotte ABC Board

Shelby ABC Board

510 N. Lee StreetSalisbury, NC 28144Phone: 704-633-1641Fax: [email protected]

308 N. BondRowland, NC 28383Phone: 910-422-3400

441 S. Main StreetRutherfordton, NC 28139Phone: 828-287-2701E-Mail: [email protected]

948 W. Broad StreetSaint Pauls, NC 28384Phone: 910-865-5734Fax: 910-865-5675E-Mail: [email protected]

2116 S. Horner BlvdSanford, NC 27330Phone: 919-776-2520Fax: 919-718-1440E-Mail: [email protected]

224 Lauchwood CircleLaurinburg, NC 28353Phone: 910-276-7948E-Mail: [email protected]

4715 Main & Wall StreetShallotte, NC 28459Phone: 910-754-4474E-Mail: [email protected]

824 W. Warren StreetShelby, NC 28151Phone: 704-482-7921Fax: 704-482-8915E-Mail: [email protected]

Siler City ABC Board

Southport ABC Board

Sparta ABC Board

Statesville ABC Board

Sunset Beach ABC Board

Sylva ABC Board

1404 E. Eleventh StreetSiler City, NC 27344Phone: 919-663-2619Fax: 919-663-1295E-Mail: [email protected]

714 N. Howe StreetSouthport, NC 28461Phone: 910-457-6924Fax: [email protected]

48 N. Main StreetSparta, NC 28675Phone: 336-372-4696Fax: 336-372-4696E-Mail: [email protected]

311 S. Center StreetStatesville, NC 28687Phone: 704-873-5078Fax: 704-873-0870E-Mail: [email protected]

303 Sunset BlvdSunset Beach, NC 28468Phone: 910-579-6872Fax: 910-579-6872E-Mail: [email protected]

30 East Sylva Shopping CenterSylva, NC 28779-0496Phone: 828-586-6280Fax: 828-631-9325E-Mail: [email protected]

11Control Service Revenue Since 1935

ABC Board Locations

Wilson County ABC BoardComplex and Store

Wadesboro ABC Board

Wake County ABC Board

Wallace ABC Board

Walnut Cove ABC Board

Warren County ABC Board

Warsaw ABC Board

Washington County ABC Board

Waxhaw ABC Board

326 E. Caswell Street (Hwy 74)Wadesboro, NC 28170Phone: [email protected]

1212 Wicker DriveRaleigh, NC 27604Phone: 919-832-2726Fax: 919-829-1767E-Mail: [email protected]

301 N. Norwood StreetWallace, NC 28466Phone: 910-285-3335Fax: 910-285-3335E-Mail: [email protected]

521 N. Main StreetWalnut Cove, NC 27052Phone: 336-591-7447Fax: 336-591-5159E-Mail: [email protected]

305 B East Macon StreetWarrenton, NC 27589Phone: 252-456-3141E-Mail: [email protected]

114 S. Pine StreetWarsaw, NC 28398Phone: 910-293-4656Fax: 910-293-4656

696 US Hwy 64 EPlymouth, NC 27962Phone: 252-793-2217E-Mail: [email protected]

Hwy 16, Old Hickory Shopping CenterWaxhaw, NC 28173Phone: 704-843-4330E-Mail: [email protected]

Wayne County ABC Board

Waynesville ABC Board

West Columbus ABC Board

Whiteville ABC Board

Wilkesboro ABC Board

Wilson County ABC Board

Youngsville ABC Board

909 Landmark DriveGoldsboro, NC 27534Phone: 919-778-7731Fax: [email protected]

373 Walnut StreetWaynesville, NC 28786Phone: 828-452-4444Fax: 828-452-4222E-Mail: [email protected]

505 Joe Brown Hwy NorthChadbourn, NC 28431Phone: 910-654-4621E-Mail: [email protected]

122 S. Powell BlvdWhiteville, NC 28472Phone: 910-642-7241Fax: 910-642-8211E-Mail: [email protected]

798 Curtis Bridge RoadWilkesboro, NC 28697Phone: 336-667-7501Fax: 336-667-2536E-Mail: [email protected]

2612 Forest Hills Road SWWilson, NC 27893Phone: 252-243-2456Fax: [email protected]

101 N. College StreetYoungsville, NC 27596Phone: 919-556-3590Fax: [email protected]

103 N. 701 BypassTabor City, NC 28463Phone: 910-653-2624

42 NC Hwy 16 SouthTaylorsville, NC 28681Phone: 828-632-4628E-Mail: [email protected]

1414 National HighwayThomasville, NC 27360Phone: 336-882-5788Fax: 336-882-5592E-Mail: [email protected]

231 N. Trade Street Suite BTryon, NC 28782Phone: 828-859-9447Fax: 828-859-6653E-Mail: [email protected]

412 Scuppernong DriveColumbia, NC 27925Phone: 252-796-1371Fax: 252-796-1188E-Mail: [email protected]

111 S. Williams StreetHenderson, NC 27536Phone: [email protected]

Tabor City ABC Board

Taylorsville ABC Board

Thomasville ABC Board

Tryon ABC Board

Tyrrell County ABC Board

Vance County ABC Board

Wake County 17.01%

New Hanover County 16.38%

Dare County 15.65%

Southport 14.39%

Morganton 13.89%

Randleman 13.37%

Mecklenburg County 13.06%

Blowing Rock 12.78%

High County 12.33%

Elizabethtown 12.10%

(June 30, 2005)

12 Control Service Revenue Since 1935

ABC Board Financial Highlights

Spirituous Liquor Revenues Top 10 Most ProfitableABC Boards

Michael C. HerringAdministrator

“The local ABC Boards in North Carolinacompleted another record year of spirituousliquor sales in 2005 which netted the stateover $147 million in Tax revenues and nettedlocal governments over $48 million in profitdistributions.”

During the Legislative Session of 1935, itbecame apparent that many sections of the Statewere dissatisfied with North Carolina’s existingprohibition law. Before the session was over,legislation had been passed permitting 17 of the100 counties in the state to break away from theprohibition system and set up control ABC storesfor the legalized sale of whiskey within theircounties if passed by local referendums.

The first ABC store to open afterprohibition was in Wilson County on July 2, 1935.In the same year, stores opened in Beaufort,Craven, Edgecombe, Greene, Halifax, Lenior,Mart in, Nash, New Hanover, Onslow,Pasquotank, Pitt, Vance and Warren counties.Today, there are approximately 396 storesthroughout the state.

From the time Prohibition was repealed in1935 to present, the legal sale of spirituous liquorhas provided the State of North Carolina GeneralFund with over $2.6 billion in taxes.

It has also provided over $1 billion inprofits to local City and County general funds,$207 million for alcohol education andrehabilitation, and $142 million to local lawenforcement agencies.

Control Service Revenue Since 1935

Revenue and Distributions

14

Revenues from Spirituous Liquor - North Carolina ABC BoardsJuly 1, 2004 - June 30, 2005

Increase Percent

6/30/05 6/30/04 -Decrease Change

Liquor Sales - Regular 441,677,030 419,755,491 21,921,539 5.22%

Mixed Beverage Sales 113,106,697 100,651,062 12,455,635 12.38%

Total Sales 554,783,727 520,406,553 34,377,174 6.61%

State Excise Tax 102,220,684 95,825,879 6,394,805 6.67%

Liquor Sales Tax 26,500,622 25,176,924 1,323,698 5.26%

Mixed Beverage Tax - Revenue 11,221,248 10,259,079 962,169 9.38%

Mixed Beverage Tax - DHR 1,122,247 1,025,446 96,801 9.44%

Rehabilitation Tax 2,098,248 2,007,353 90,895 4.53%

Cost of Goods Sold 297,869,661 279,952,448 17,917,213 6.40%

Operating Expenses 85,324,905 80,824,716 4,500,189 5.57%

Interest Income 912,832 438,114 474,718 108.35%

Other Income 829,753 701,567 128,186 18.27%

Profit Before Distribution 56,965,724 51,751,478 5,214,246 10.08%

Profit Percent To Sales 10.21% 9.90% 0.31%

Law Enforcement 5,822,397 5,714,838 107,559 1.88%

Alcohol Education 7,187,266 6,338,968 848,298 13.38%

Net Profit 43,956,061 39,697,672 4,258,389 10.73%

County - City Distributions 33,278,803 33,508,117 -229,314 -0.68%

Mixed Beverage Tax Retained 10,100,581 9,233,481 867,100 9.39%

Surcharge Collected 3,027,459 2,945,736 81,723 2.77%

Bailment Collected 3,515,763 3,349,112 166,651 4.98%

Bottles Sold:

Regular 33,976,111 32,542,187 1,433,924 4.41%

Mixed Beverage 5,890,269 5,411,476 478,793 8.85%

Total 39,866,380 37,953,663 1,912,717 5.04%

Miniatures 10,367,333 10,956,061 -588,728 -5.37%

Number Of Stores 393 390 3

Regular 33,976,111 32,542,187 1,433,924 4.41%

Mixed Beverage 5,890,269 5,411,476 478,793 8.85%

Total 39,866,380 37,953,663 1,912,717 5.04%

Miniatures 10,367,333 10,956,061 -588,728 -5.37%

Number Of Stores 393 390 3

16 Control Service Revenue Since 1935

ABC Warehouse Operations

LB&B Associates Inc.

North Carolina has a state-owned centrally located warehouse in Raleigh, dedicated andnamed after Marvin L. Speight, Jr. Speight was Chairman of the North Carolina AlcoholicBeverage Control Commission from 1977 to 1985 and again from 1993 to 1996. He wasinstrumental in securing support and financing in the early 1980’s for the construction of the presentABC Complex.

The administrative oversight of the State Warehouse is the responsibility of the ABCCommission, which contracts with a privately owned services company, currently, LB&BAssociates, for the receipt, storage and distribution of spirituous liquor throughout the entire state.

The Warehouse operates under a bailment system, in which the ownership of the productremains with the distillery until it is delivered to the local ABC Boards. The State of North Carolinahas no public monies invested in spirituous liquor. The local ABC Boards pay the contractor’s feesfor the spirituous liquor indirectly. The fee, called “bailment charge”,” (currently 90 cents per case)is part of the mark-up formula of spirituous liquor and pays for the warehousing and delivery of theliquor to the local boards.

Inventory in the 200,000 square foot warehouse varies throughout the year. On average350,000 cases are maintained at any given time. The corresponding value will vary from $25million to $35 million.

There are currently 65 Distillers and nine (9) Distiller Brokerages representing 857 differentbrands with 1,612 actual product items available to be ordered.

In addition to distributing liquor to the localABC stores , the warehouse contractor also shipsproduct to several military bases in our state. In the 2004 calendar year, 3,806,924 cases wereshipped and for 2005 the projected shipments will exceed four (4) million cases.

The top five (5) spirits shipped this year wereAristocrat Supreme Vodka, Seagram Extra DryGin, Smirnoff Vodka, Seagram Crown Royal Canadian, and Burnett’s Vodka, accounting for571,517 cases sold this year.

17Control Service Revenue Since 1935

Racking System, installed 2005

ABC Warehouse Operations

North Carolina ABC Warehouse

Case Shipments -- Spirituous Liquor

2,900,000

3,000,000

3,100,000

3,200,000

3,300,000

3,400,000

3,500,000

3,600,000

3,700,000

3,800,000

3,900,000

4,000,000

October 1985

Federal

Excise Tax

Increase

$10.50 to

$12.50

per 100 proof

Gallon

January

1991

Federal Excise

Tax Increase

$12.50 to $13.50

per 100 proof

Gallon

1985

3.75

1986

3.75

1987

3.69

1988

3.58

1989

3.50

1990

3.53

1991

3.331992

3.33

1993

3.201994

3.19

1995

2.961997

3.21

1998

3.251999

3.38

2000

3.48

2001

3.46

2003

3.64

October1987

State Excise Tax

Increase

22 1/2% to 28%

1996

3.22

December2001

6% Sales Tax

Added at

register

2002

3.48

February

2002

State Excise

Tax Decrease

28% to 25%

20043.80

20054.00

October

2005

7% Sales Tax

Added at

register

18 Control Service Revenue Since 1935

Permit Division

The Commission’s Permit Division issues all retail ABC permits to qualified persons andestablishments in jurisdictions that have held ABC elections and approved the sale of alcoholicbeverages.

Factors the Commission considers in determiningwhether the applicant and the business location are suitableare: reputation, character and criminal record of theapplicant, the number of places already holdingABC permitswithin the neighborhood, parking, traffic conditions andkinds of businesses already in the neighborhood, distancethe establishment is located from a church or school, zoninglaws, and recommendations of the local governing body.

The Division also processes applications for non-profit organizations holding fund-raisers and for Limited Special Occasions like birthday parties,wedding receptions, etc.

The holder of an ABC permit must ensure that employees and patrons adhere to theCommission’s rules governing the sale, possession, storage and consumption of alcoholicbeverages on the licensed premises. Failure to comply with the statutes or the rules of theCommission by permittees, employees and patrons may result in the suspension or revocation of allABC permits held by a permittee.

There are 35 different retail permits and 27 commercial permits. The most expensive retailpermit is the Mixed Beverage permit ($1000). The least expensive retail permits are the SpecialOne-Time ($50) permit and Limited Special Occasion ($50) permit. Commercial permits range incost from $500 for a Liquor Importer/Bottler to $50 for a Vendor Representative. All permit feescollected are deposited in the state’s General Fund.

There are approximately 39,600 outstanding retail permits in North Carolina authorizing thesale of alcoholic beverages in approximately 15,200 retail establishments.

RENEWAL - Brown-bagging, Special Occasion, and Mixed Beverage permits expire on April30 of each year unless renewed by paying the appropriate renewal fees.

REGISTRATION - Beer and wine permittees must pay an annual $200 registration fee perbeer and/or wine permit. The fee must be paid by May 1 of each year.

The Commission has undertaken a project to improve services with an outline credit cardpayment system. This service initially will be available for duplicate permit requests beginningDecember 2005. Phase two, online payment for renewals and registration, has a projectedimplementation date of Spring 2006.

Visit our website at www.ncabc.com/permits.

19Control Service Revenue Since 1935

Permit Division

Permit Fees Collected

Application Fees

Beer and Wine $9,006,721.00

Brownbagging $148,550.00

Culinary $9,200.00

Duplicate Permits and Manager Changes $10,400.00

Fuel Alcohol $200.00

Limited Special Permits $165,050.00

Mixed Beverage $3,702,500.00

Nonresident Vendor $28,700.00

TOTAL: Application Fees $13,071,321.00

Miscellaneous Fees

TOTAL: Miscellaneous Fees $193,346.24

Chemical Analysis $58,180.00

Duplication Services $1,104.00

Fingerprint Fee $130,606.00

Publications and Forms $3,193.24

Shipping $263.00

July 01, 2004 - June 30,2005

20 Control Service Revenue Since 1935

Permit Division

50

11117

2247

9561712

39

808Malt Beverage Permits

Fortified Wine Permits

Unfortified Wine Permits

Brown Bagging Permits

Special Occasion Permits

Wine Tasting Permits

Culinary Permits

Mixed Beverage Permits

Retail Permit Activity

July 01, 2004 - June 30,2005

Total Retail Permits Issued

5,940

22 Control Service Revenue Since 1935

Legal Division

The Legal Division is responsible for establishing, maintaining, interpreting and enforcingABC laws and administrative rules for a uniform and consistent regulatory system of themanufacture, transportation, sale, purchase, possession and consumption of alcoholic beveragesin North Carolina. The division also researches and analyzes legal trends, both locally andnationally, and informs Commission members and government representatives on emergingissues.

The attorneys on staff handle inquiries on a broadrange of legal topics. These can include review ofadvertising and promotional materials, exemptions fromregulatory requirements, application of labor law to ABCpermit holders, analyzing the impact of corporatestructural change on the status of ABC permits andexplanation of ABC laws and regulations. The requestscome from a variety of sources including manufacturers,wholesalers, local ABC board members, ABCCommission staff, law enforcement, government officialsandABC permit-holders.

The Legal Division also processes and prosecutesviolations of ABC laws. Upon receipt of violation reports

from law enforcement agencies, the staff will send the permittee a “Notice ofAlleged Violation” and a“Proposed Stipulation and Offer in Compromise.” If the permit holder accepts the offer to settle thecase, the matter is placed on the agenda for ratification by the Commission at one of its monthlymeetings. When the case cannot be settled, a staff attorney files a Petition with the Office ofAdministrative Hearings and represents the ABC Commission at trial. Any monetary penaltiescollected from the settlement of the administrative cases are distributed to the local school systems.

The ABC Commission’s monthly agenda and meeting summaries can be viewed atwww.ncabc.com/legal.

23Control Service Revenue Since 1935

Legal Division

Violation Cases Before the CommissionJuly 01, 2004 - June 30, 2005

1032 Total Cases

Sale to Minor Cases

307725

Other Cases

$1,184,500.00

Total Fines Collected for Local School System

13Control Service Revenue Since 1935

ABC Board Audits and Pricing Division

FY 05 REVENUE DISTRIBUTION FROM SPIRITUOUS LIQUOR

NORTH CAROLINA ABC BOARDS

NC Department of

Human Resources

$1,122,247

NC ABC and ABC

Distribution Center

$6,543,222

Counties and Cities

General Fund

$33,278,803

Local Alcohol

Education

$7,187,266

Counties and Cities

Law Enforcement

$5,822,397County

Commissioners

Rehabilitation

$2,098,248

NC General Fund

Excise Tax $ 102,220,684

Sales Tax $ 26,500,622

Mixed Beverage Tax $ 11,221,248

$139,942,554

In North Carolina, all spirituous liquor sold in ABC stores is uniform in price throughout thestate as mandated by the North Carolina General Statute 18B-804 (Alcohol Beverage Pricing).

The price of spirituous liquor consists of an 82% markup. A 7% state sales tax is added to theretail price at the cash register. Spirituous liquor sold to mixed beverage permittees for resaleincludes an additional tax of $20 per four liters.

The Commission issues a North Carolina Liquor Quarterly price list that is effective on the firstday of February, May, August and November. The list includes on average 1,600 items. Pricechanges are made by distiller/suppliers quarterly.

The North Carolina ABC Commission was the first of 18 Control States to develop an Internetpricing system through which distillers/suppliers can update their pricing online. This paperlesspricing system was implemented in May 1999.

New brands of liquor are considered and approved each February for listing in the May pricebook. Likewise, items that are not selling well and delivering minimal profits are removed from the listat this time. The Commission also reserves the right to list or delist items each quarter. Specialholiday packages with glass sets or other novelty items are approved in June each year and areavailable for sale in the November price book quarter.

Spirituous liquor products that are not on the approved state price list can be special ordered infull case allotments. On average, the Commission receives 4 orders and 3-4 inquires for new itemseach day. To view the list of current items and prices in our Special Orders database, go to theSpecial Orders Price List on our website at www.ncabc.com/pricing/special_items.aspx.

15Control Service Revenue Since 1935

Spirituous Liquor Pricing in North Carolina

EXAMPLE: LEVY:

$ 52.57 Distiller’s Price25.68 Federal Excise Tax (750ml 80 proof)+.54 Distiller’s Freight

$ 78.79+.90 Bailment Charge

$ 79.69 Subtotal Case Cost+ 30.441580 Local ABC Board Markup (38.2%)$ 110.131580

27.532895 State Excise Tax (25%)+3.854605 Additional Markup (3.5%)

$ 141.519080 Case Cost to Six Decimals+.80 Bailment Surcharge

$ 142.32Divide Above Number by the Number of Bottles in a Case

$ 11.86.05 Add Bottle Charge

+.05 Additional Bottle Charge$ 11.96 Round the result to an integer evenly divisible by Five Cents (.05)

Retail before tax+.84

$ 12.79 Retail Selling Price Per Bottle

3.75 Mixed Beverage Tax ($3.75 for 75L)Selling Price to Mixed Beverage Permittees

State Warehouse Fee

Local Profit Markup

Local Profit Markup

ABC Commission Fee

Local Rehabilitation ChargeLocal Profit Markup

State/Local Tax

div 12

$ 11.95SALES TAX (7%) (Effective October 2005)

$ 15.70

Breakdown of Average 750ML 80 Proof Bottle

Rehab

$.05 = 1%

Surcharge $.05 = 1%Local Bot. Chg $.05 = 1%

Dist. Ft. $.045 = 1%

Bailment $.07 = 1%

ABC Board Mark-Up $2.5367 = 21%

Add'l Tax $.3212 = 3%

NC State ExciseTax

$2.2944 = 19%

Distiller Price $4.3808 =

29%

Federal Excise Tax

$2.14=18%

The Product Compliance Division is the first point of contact for an establishment orindividual engaged in the manufacture, importation, distribution, bottling, transportation orrepresentation of alcoholic beverages. There are 21 types of commercial permits outlined in theAlcoholic Beverage Control Laws and Rules of North Carolina publication. The Division managesapproximately 2,700 commercial permits of authorization.

The Division’s functions include commercial permits, malt beverage and wine label/productapprovals and classifications, supplier/wholesaler territorial assignments, and direct shipments toconsumers from in and out-of-state wineries. The Division is tasked with knowing the full range ofABC laws relating to permitting, product labeling, distribution and importation to advise both in andout-of-state business owners, wineries, breweries, micro-breweries, wine/malt beveragewholesalers and importers, as well as non-alcoholic beverage manufactures.

Presently, there are 15,256 wine brands and 1,677 malt beverage brands consisting of39,823 approved products.

During the fiscal year ending June 30, 2005 there were 5,154 new wines and 175 new maltbeverages approved for sale.

In North Carolina there are approximately 57 wineries, 32 breweries, 78 wine and maltbeverage importers and 217 distributors. There are 1,296 out-of-state vendors - wineries,breweries, importers and wine wholesalers. The number of North Carolina wineries has doubled inthe last few years.

North Carolina gained 14 new wineries, 4 new breweries, 19 beer and wine importers, 208Nonresident Vendors and 94 Wine Shippers in the last fiscal year.

To find out more about Commercial permits or product approval, visit our website at www.ncabc.com/product/approval.aspx.

To learn more about North Carolina’s grape industry visit the North Carolina Grape Councilwebsite at www.ncwine.org.

24 Control Service Revenue Since 1935

Product Compliance Division

Control Service Revenue Since 1935 25

Product Compliance Division

North Carolina Wineries and Breweries

20

10

1

11

6

14

17

57

32

NC Wineries NC Breweries

1985 1990 1995 2000 2005

Although a legal product, alcohol in thehands of underage persons often ends in tragicconsequences. Alcohol continues to be thedrug of choice for teenagers in the UnitedStates. A recent national survey conducted bythe Century Council (2004) indicates 65% ofyoung people surveyed obtained alcohol fromolder adults rather than businesses.

More than half of the ABC violationsreceived by the North Carolina AlcoholicBeverage Control Commission are for sales tounderage persons. A small number ofbusinesses account for the majority of this typeof violation. North Carolina currently hasapproximately 17,000 ABC permittedestablishments selling alcoholic beverages. Inaddition, there are 154 local ABC Boards whosell spirituous liquor in 393 ABC storesthroughout the state.

The Education and Training Division wasestablished in 2000 with several goals in mind.A the top of the list was the goal of promotingzero tolerance for underage possession andconsumption of alcohol. Other goals included:Educa t i ng adu l t s on the nega t i veconsequences of excessive and irresponsibleconsumption of alcoholic beverages;discouraging adults from providing alcohol tounderage persons and promoting responsiblesales and service of alcoholic beverages bypermittees to adults.

21Control Service Revenue Since 1935

Education and Training Division

FY2005 has been a very busy year forthe Division. Several new initiatives have beenlaunched including, “Teach Your Parents Well”program, designed to assist parents inunderstanding the dangers and legalconsequences of providing alcohol to children.

Prior to the start of this year’s busytourism season, the Division partnered with theCarteret County ABC Board and New HanoverCounty ABC Board in hosting two ResponsibleAlcohol Seller Program (RASP) workshops ineach of their counties. Over 300 peoplecombined attended the workshops.

The Education and Training Divisionalso partnered with the North Carolina AlcoholLaw, Enforcement (ALE) Division prior to thisyears US Open held in Pinehurst, to provideresponsible alcohol seller/server training.Every bartender working the event was trainedduring the two day workshop.

The ABC Commission joined theCentury Council in it’s National 65% AlcoholAwareness Campaign aimed at informingparents and the public about the dangers ofproviding alcohol to underage persons.

The Education and Training Division hastrained over 6000 employees since July of2004. Prevention through Education is thecornerstone of the Division’s overall mission.

ABC Commission Chairman Douglas A. Foxparticipating in Alcohol Awareness Campaign

Education and Training Director Danny Sellersconducting a RASP class for Bartenders and other

employees working at this yearsUS Open in Pinehurst

Control Service Revenue Since 1935

Notes

26

Douglas A. FoxMike A. Joyner

Michael C. Herring

, Chairman

, Commissioner

, Administrator

3322 Garner RoadRaleigh, NC 27610

For more information visit www.ncabc.com919-779-0700 Fax 919-662-3583

Email: [email protected] through Education