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ABC system should be maintained

The following is a Counterpoint:

By OWEN LEWIS
In response to Doug Clark's column, "ABC system needs adult leadership" (Jan. 25), Clark implies that all the profits from ABC stores go to the state. Actually, there are several local beneficiaries for these funds. Last year's figures for the Greensboro ABC Board profit distributions are:

•city of Greensboro, $2,468,732
•towns in Guilford County without ABC stores (and the county's share), $217,685
•law enforcement, $237,480
•alcohol rehabilitation, $226,973
•state of North Carolina, $5,586,445.

In addition, the city of High Point received about $900,000 from its ABC Board.

Second, Clark advocates abandoning the ABC system in favor of private stores. A little history and explanation are appropriate here.
At the end of prohibition in the 1930s, every state in the Union determined its own chosen method for the sale of alcoholic beverages. Nineteen states and Montgomery County, Md., opted for some form of control by the state and local government. The other states have private sales.

In North Carolina, the control method is left up to the individual governmental units — "local option." Under this system, each town or county decides in an election whether or not to have ABC stores, liquor by the drink and beer and wine sales.
There are 154 ABC boards in North Carolina. The proceeds from the sale of spirits in those jurisdictions directly benefit their counties and towns.

The state and local units provide education programs for schools, bar and restaurant personnel, and the general public. These programs espouse moderation, responsibility and adherence to the laws. State Alcohol Law Enforcement (ALE) officers and local ABC officers monitor and enforce these laws.

The state ABC commission must approve store locations, thus keeping the number of stores down and their locations appropriate.
The control system has had a successful 50-plus year run. It certainly should be continued.

The writer is chairman, Greensboro ABC Board.

Comments (9)

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Dan [TypeKey Profile Page] said:

I'll drink to that!

Paul Elledge [TypeKey Profile Page] said:

Of course the writer fails to mention the real issues regarding government control of liquor, such as:

1) It violates my right to sell liquor if I so choose. Perhaps Ayn Rand said it best: "There can be no such thing in law or morality as actions forbidden to an individual but permitted to a mob."

2) Precisely contrary to what the writer says, it diminishes people's sense of personal responsibility. By controlling liquor sales, the government is playing the nanny and telling us we are too stupid and irresponsible to sell liquor privately. It's about control and money, not making society a better place.

3) It's completely arbitrary. Why control liquor sales but not any other kind of alcohol?

neocon [TypeKey Profile Page] said:


"The state ABC commission must approve store locations, thus keeping the number of stores down and their locations appropriate.
The control system has had a successful 50-plus year run. It certainly should be continued."

Castro has been "successful" for 47 years himself. Amazing what the lack of competition can accomplish.

hugh [TypeKey Profile Page] said:

Don't forget the beauracratic cronyism that is woven throughout the ABC Beast. There's too much privilege, power and money involved for this thing to willingly submit to being nuetered and euthenized.

Nic Danger [TypeKey Profile Page] said:

The state has no business in business. Alcohol, gambling, whatever - if it's legal, it should be private enterprise. Issue a license, tax the profits, and let the market decide where stores should be located. Tax dollars can be distrubuted similarly to the way the revenues are now, if that system is working. But let business people take the risk and enjoy the benefits, or suffer the loss. Just because a system was set up in the 1930's does not mean it is the best system available today, as the writer implies.

mrproduce [TypeKey Profile Page] said:

Just because a system was set up in the 1930's does not mean it is the best system available today, as the writer implies.

So true, so true and that is why things in NC stayed in such a mess. No one wants to move out of the past because, "well that's the way we always done it". Sound like a lot of church memebers in a lot of churches I have been in. Never wanting to move forward because their Momma or daddy never did it that way, and then they wonder why the aren't moving ahead and growning.

Darryl [TypeKey Profile Page] said:

This current system is so wonderful!

To prove that, read the State Report (in the N & R online) about the boondoogle with the High Point ABC Board. See, the State DOES know what it's doing. If one does not believe that, just ask the state!

Shalom

Eddie Felson [TypeKey Profile Page] said:

Question to Mr. Lewis: Just how many individuals does the City of Greensboro ABC Board employ on a full tome basis in sworn law enforcement status and what are they getting in return for this investment ? What is it costing ? Does the Board also shell out funds to the Sheriff and/or the Greensboro Police Dept gfor these same duties?. Is there ant duplication of services.? And what is the money the Board is paying directly for enforcement of the ABC laws could not be handled bt the state ALE ? If lewis won't answer here maybe some reporter could ask him the same set of questins and some follow-up questions.

jwad [TypeKey Profile Page] said:

It is interesting how much most people don't understand how the ABC system in North Carolina works.

The first misconception is that the state of North carolina is in the liquor business. The state is not in the liquor business. Each of the 154 ABC Boards accross the state were established by a vote of the people, either in each county or municipality. This local option has been the centerpoint of the system since it was created. Each ABC Board is appointed by the local governing body and is operated by local citizens charged with the responsibility to oversee the operations.

The next misconception is that tax dollars are spent to operate the ABC system. In fact, the ABC system is one of the only entities of government that is a tax revenue generating system. All expenses of both the local ABC Board and the ABC Commission in Raleigh are paid through the sale of spiritous liquors. All profits generated by the local ABC boards are returned to their respective county and/or municipal governments quarterly.

The primary purpose of the ABC system in our state is to control the sale of spiritous liquors. That is the sale to minors, intoxicated individuals and illegal drink establishments. This is accomplished through employee training, employment of ABC Law Enforcement agents or through contracts with local Law Enforcement units. Local ABC boards are also required to spend a portion of their sales revenues on alcohol rehabilitation through their local county governments.

Unfortunately no business is totally immune from abuses. The incidents being reported at the High Point ABC Board were the direct result of a lack of oversite by the appointed ABC Board. The City Council seems more interested in criticizing how the invetigation was conducted rather accepting their reaponsibilities and taking the steps necessary to correct the problem.

One question for those who call for the privitazion of the ABC system.. Are you willing to pay more in local taxes to make up for the revenues that would be lost if the system were privatized? A private retailer of spiritous liquors would not be willing to pay anywhere near what is generated by the local ABC Board in fees every year to the local government and therefore it would be left to the citizens to make up the loss in revenues.

Instead of assuming that the whole system is corrupted it is time for the local City Council and ABC Board to step up to the plate and admitt that abuses have occurred and take whatever action is necessary to prevent similar actions in the future.

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