North Carolina Boards 2012
NORTH CAROLINA ASSOCIATION OF ABC BOARDS
• It is the mission of the North Carolina Association of ABC
Boards to (a) strive to assure that the sale of alcoholic
beverages is handled in a responsible and controlled
manner, and that sales are made only to those individuals
legally entitled to make such purchases; (b) to foster good
relations among the local ABC boards and with other
entities by providing education and information on ABC
issues; (c) to assist local ABC boards in managing their
resources in order to enhance their operations and
maximize the revenues that they distribute to their local
governmental bodies; and (d) to work with governmental
agencies to preserve and improve the state’s ABC system.
Liquor Revenues Climb
General Fund
$229,226,025
County - City Distributions
NCABC & ABC Distribution Center
Local Alcohol Education
Local Law Enforcement
Counties - Rehabilitation
Dept. of Health & Human Resources
$55,044,565
$12,008,700
$9,308,118
$7,113,055
$2,570,187
$1,401,457
Revenues From Spirituous Liquor - North Carolina ABC Boards
July 1, 2011 - June 30, 2012
Liquor Sales - Regular
Mixed Beverage Sales
Total Sales
State Excise Tax
Liquor Sales Tax
Mixed Beverage Tax - Revenue
Mixed Beverage Tax - DHHS
Rehabilitation Tax
Cost of Goods Sold
Operating Expenses
Interest Income
Other Income
Profit Before Distribution
Profit Percent To Sales
Law Enforcement
Alcohol Education
Net Profit
County - City Distributions
Mixed Beverage Tax Retained
Surcharge Collected
Bailment Collected
Bottles Sold:
Regular
Mixed Beverage
Total
Miniatures
Number Of Stores
Note:
Sales tax decreased from 8% to 7% July 2011
06/30/12
639,985,257
155,392,184
795,377,441
170,378,967
44,832,810
14,014,248
1,401,457
2,570,187
409,940,662
120,032,781
343,690
737,810
78,172,584
9.83%
7,113,055
9,308,118
61,751,411
55,044,565
12,613,381
4,105,000
7,903,700
41,591,100
7,220,075
48,811,175
12,883,410
418
06/30/11
600,642,647
145,880,874
746,523,521
159,722,765
48,105,158
13,413,026
1,341,591
2,469,031
385,937,645
120,446,941
416,850
1,363,525
63,784,948
8.54%
6,999,731
8,577,516
48,207,701
42,815,167
12,071,627
3,895,342
5,206,081
924,774,645
40,163,447
6,957,667
47,121,114
11,242,824
421
Increase
-Decrease
39,342,610
9,511,310
48,853,920
10,656,202
-3,272,348
601,222
59,866
101,156
24,003,017
-414,160
-73,160
-625,715
14,387,636
113,324
730,602
13,543,710
12,229,398
541,754
209,658
2,697,619
108,364,042
1,427,653
262,408
1,690,061
1,640,586
-3
Percent
Change
6.55%
6.52%
6.54%
6.67%
-6.80%
4.48%
4.46%
4.10%
6.22%
-0.34%
-17.55%
-45.89%
22.56%
1.28%
1.62%
8.52%
28.09%
28.56%
4.49%
5.38%
51.82%
3.55%
3.77%
3.59%
14.59%
Wayne County Distributions
(Example)
Distributions and Revenue
● Provided by the Wayne County ABC Board to the state of
North Carolina, to Wayne County, and to the cities of
Goldsboro and Mount Olive in the year ending 30 Jun 2012
- NC General Fund
- NC Dept of Revenue
- NC Dept of HHS
$1,598,401
$74,964
$7,497
Wayne Co Alcohol Rehabilitation
Wayne County Law Enforcement
City of Mount Olive
City of Goldsboro
County of Wayne
$26,389
$21,327
$24,469
$150,317
$170,000
- Wayne Co Alcoholics Anonymous
- Educational Programs
$1,100
$14,430
-
- TOTAL Distributions
$2,088,894
● Provided by the Wayne County ABC Board to the state of North
Carolina for:
- Bailment (Operate/staff Raleigh Warehouses)
- Surcharge (NC ABC Commission)
$
$
78,055
41,924
- TOTAL Additional
$
119,979
- GRAND TOTAL
$2,208,873
1.
NC has controlled the sale of alcoholic beverages since the repeal of prohibition and is unique
among other control states in that North Carolina ABC boards are established by town or
county elections and the profits flow to that local government unit
2. North Carolina ranks 5th among the 50 states in revenue per capita from the sale of spirits
and 49th in per capita consumption
- NC's control system for the sale of sprits works, and it accomplishes
important public health and revenue objectives
- Research consistently shows that control states have lower consumption rates –
on average 14 percent less for sprits.
3.
No State funds are spent to distribute or sell spirits
- Privatization would not result in any downsize of State government
- The system generates substantial revenue for state and local governments, while
engaging in responsible sales
4.
Privatization will result in a marked increase in the number of outlets (currently
there are 418 ABC stores).
- More consumption results in greater harms and greater costs to society
- Cost of irresponsible and destructive use of all alcohol in this state is estimated to be
$6.9 billion/year. The North Carolina Institute of Medicine Task Force on Substance
Abuse Services reported to the North Carolina General Assembly in 2008 that the price
tag for underage drinking alone is estimated at $1.2 billion annually.
4.
- In 2006, alcohol abuse and addiction cost the nation $220 billion, more than cancer
($196 billion) or obesity ($133 billion)
Privatization would mean a loss of jobs for ABC board employees (2,331) and significant expense for
unemployment benefits for those employees
5. Privatization is a complex and controversial issue
- Washington State went private last year and the system has fallen apart
-- Prices have risen 33%
-- Projected income/revenue is significantly lower than estimated prior to
privatization
- Virginia has yet to formulate a workable plan that does not cause significant annual
revenues losses, and the Governor has pulled back on plans for a special session to
consider privatization
6. Bill 1717 introduced more regulation for the North Carolina ABC System. Requirements such as a
Finance Officer and mandatory training have increased transparency and accountability for local ABC
Boards. Information and communication are essential between local ABC Boards and their appointing
authorities.
7.
“North Carolina Customers give their local ABC Liquor Stores high Marks”.
(From Apr 2012 Report – UNC Frank Hawkins Kenan Institute of Private Enterprise)
8.
“This is a product that is extremely regulated for a purpose” North Carolina Governor Beverly Purdue
said as she announced her decision not to privatize last year and went further to call ABC a “core
service” for North Carolina.
9. Privatization does not make sense for North Carolina from a public health, public safety or economic
standpoint.
Our thanks to the hosting ABC Boards and
Cities:
High Country ABC --- Sugar Mountain, NC
Triad Municipal ABC ---- Winston-Salem, NC
Shallotte ABC ----- Shallotte, NC
Catawba Co. ABC ---- Newton, NC
Onslow Co. ABC ---- Jacksonville, NC
Pitt Co. ABC ----- Greeneville, NC
Anson Co. ABC ---- Wadesboro, NC
Cumberland Co. ABC ---- Faytteville, NC
Wake Co. ABC --- Raleigh, NC
Chowan Co. ABC ---- Edenton, NC
Sylva ABC ---- Sylva, NC