FILED SENATE
Apr 3, 2023
GENERAL ASSEMBLY OF NORTH CAROLINA
S.B. 490
SESSION 2023 PRINCIPAL CLERK
S D
SENATE BILL DRS35194-TQf-12
Short Title: ABC Omnibus 2023. (Public)
Sponsors: Senators Moffitt and Johnson (Primary Sponsors).
Referred to:
1 A BILL TO BE ENTITLED
2 AN ACT TO MAKE VARIOUS CHANGES TO THE ALCOHOL LAWS OF THIS STATE.
3 The General Assembly of North Carolina enacts:
4
5 EXCLUDE READY-TO-DRINK COCKTAILS FROM MIXED BEVERAGE TAX
6 SECTION 1.(a) G.S. 18B-101 reads as rewritten:
7 "§ 18B-101. Definitions.
8 As used in this Chapter, unless the context requires otherwise:
9 …
10 (8b) "Premixed cocktail" means a drink containing at least one-half of one percent
11 (0.5%), and no more than eleven percent (11%), alcohol by volume and
12 consisting of spirituous liquor premixed with any or all of the following:
13 nonalcoholic beverages, flavoring, or coloring. A premixed cocktail may
14 contain water, fruit juices, fruit adjuncts, sugar, carbon dioxide, preservatives,
15 and other similar products manufactured by fermenting fruit or fruit juices.
16 …
17 (10) "Mixed beverage" means either of the following:
18 a. A a drink composed in whole or in part of spirituous liquor and served
19 in a quantity less than the quantity contained in a closed package.
20 b. A premixed cocktail served from a closed package containing only one
21 serving.
22 …."
23 SECTION 1.(b) G.S. 18B-804(b)(8) reads as rewritten:
24 "(8) If the spirituous liquor is sold to a mixed beverage permittee for resale in
25 mixed beverages, a charge of twenty dollars ($20.00) on each four liters and
26 a proportional sum on lesser quantities. This subdivision shall not apply to
27 premixed cocktails sold to a mixed beverage permittee in a closed package for
28 resale in or from the closed package, and a mixed beverages tax stamp shall
29 not be required on such closed packages."
30 SECTION 1.(c) G.S. 18B-1007(b) reads as rewritten:
31 "(b) Handling Bottles. – It shall be unlawful for a mixed beverages permittee or the
32 permittee's agent or employee to do any of the following:
33 (1) Store any other spirituous liquor with liquor possessed for resale in mixed
34 beverages or from a guest room cabinet.
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 General Assembly Of North Carolina Session 2023
1 (2) Refill any spirituous liquor container having a mixed beverages tax stamp with
2 any other alcoholic beverage, or add to the contents of such a container any
3 other alcoholic beverage.
4 (3) Transfer from one container to another a mixed beverages tax stamp.
5 (4) Possess any container of spirituous liquor not bearing a mixed beverages tax
6 stamp, except for containers being brought onto the premises by the host of a
7 private function under a special occasion permit.permit or premixed cocktails
8 sold to a mixed beverage permittee in a closed package for resale in or from
9 the closed package."
10
11 ALLOW ABC COMMISSION MEMBERS AND STAFF TO SAMPLE PRODUCTS
12 SECTION 2.(a) Article 2 of Chapter 18B of the General Statutes is amended by
13 adding a new section to read:
14 "§ 18B-209. Authority to sample for sensory analysis and quality control.
15 Notwithstanding G.S. 18B-201(d) and G.S. 133-32, and any other provision of law, members
16 and employees of the Commission may consume samples of products under consideration for
17 approval for sale in this State, free of charge, for purposes of sensory analysis or quality control.
18 No person may consume more than one 0.25 ounce tasting sample of each product for this
19 purpose. Such a sample shall not constitute a gift for purposes of G.S. 133-32."
20 SECTION 2.(b) Article 7 of Chapter 18B of the General Statutes is amended by
21 adding a new section to read:
22 "§ 18B-707. Authority to sample for sensory analysis and quality control.
23 Notwithstanding G.S. 18B-201(d) and G.S. 133-32, and any other provision of law, members
24 of a local board may consume samples of products under consideration for approval for sale by
25 the local board, free of charge, for purposes of sensory analysis or quality control. No person
26 may consume more than one 0.25 ounce tasting sample of each product for this purpose. Such a
27 sample shall not constitute a gift for purposes of G.S. 133-32."
28
29 LOCAL ABC BOARD SUNDAY OPTION AND FLEXIBILITY ON CERTAIN
30 HOLIDAYS
31 SECTION 3.(a) G.S. 18B-802 reads as rewritten:
32 "§ 18B-802. When stores operate.
33 (a) Time. – No ABC store shall be open, and no ABC store employee shall sell alcoholic
34 beverages, between 9:00 P.M. and 9:00 A.M. On Sundays, where the appointing authority of a
35 local board has authorized Sunday sales, no ABC store shall be open, and no ABC store employee
36 shall sell alcoholic beverages, before 12:00 noon. The local board shall otherwise determine
37 opening and closing hours of its stores.
38 (b) Days. – No ABC store shall be open, and no ABC store employee shall sell alcoholic
39 beverages, on any Sunday, New Year's Day, Fourth of July, Labor Day, Sunday unless authorized
40 by an ordinance adopted pursuant to G.S. 18B-112(b2), 153A-145.7(b), or 160A-205.3(b),
41 Thanksgiving Day, or Christmas Day. A local board may otherwise determine the days on which
42 its stores shall be closed."
43 SECTION 3.(b) G.S. 18B-112 is amended by adding a new subsection to read:
44 "(b2) In accordance with G.S. 18B-802(b), and only if the tribal alcoholic beverage control
45 commission petitions the Eastern Band of Cherokee Indians tribe to do so, the Eastern Band of
46 Cherokee Indians tribe may adopt an ordinance allowing the tribal alcoholic beverage control
47 commission to operate ABC stores on Sundays."
48 SECTION 3.(c) G.S. 153A-145.7 reads as rewritten:
49 "§ 153A-145.7. Hours of certain alcohol sales.
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1 (a) In accordance with G.S. 18B-1004(c), a county may adopt an ordinance allowing for
2 the sale of malt beverages, unfortified wine, fortified wine, and mixed beverages beginning at
3 10:00 A.M. on Sunday pursuant to the licensed premises' permit issued under G.S. 18B-1001.
4 (b) In accordance with G.S. 18B-802(b), and only if a local ABC board appointed by the
5 board of county commissioners petitions the board of county commissioners to do so, a county
6 may adopt an ordinance allowing the local ABC board to operate ABC stores on Sundays."
7 SECTION 3.(d) G.S. 160A-205.3 reads as rewritten:
8 "§ 160A-205.3. Hours of certain alcohol sales.
9 (a) In accordance with G.S. 18B-1004(c), a city may adopt an ordinance allowing for the
10 sale of malt beverages, unfortified wine, fortified wine, and mixed beverages beginning at 10:00
11 A.M. on Sunday pursuant to the licensed premises' permit issued under G.S. 18B-1001.
12 (b) In accordance with G.S. 18B-802(b), and only if a local ABC board appointed by the
13 governing body of a city petitions the governing body of the city to do so, a city may adopt an
14 ordinance allowing the local ABC board to operate ABC stores on Sundays. For a local ABC
15 board with multiple municipal appointing authorities, the local ABC board may operate ABC
16 stores on Sundays in any municipality that is an appointing authority for the local ABC board
17 and that adopts an ordinance allowing the local board to do so."
18 SECTION 3.(e) G.S. 18B-1004(c) reads as rewritten:
19 "(c) Sunday Hours. – Except as authorized pursuant to G.S. 18B-112(b1), 153A-145.7, or
20 160A-205.3, 153A-145.7(a), or 160A-205.3(a), it shall be unlawful to sell or consume alcoholic
21 beverages on any licensed premises from the time at which sale or consumption must cease on
22 Sunday morning until 12:00 Noon on that day."
23
24 RAISE CAP ON POINT-OF-SALE ADVERTISING MATERIALS, PRODUCT
25 DISPLAYS, AND COOLERS
26 SECTION 4.(a) G.S. 18B-105 is amended by adding a new subsection to read:
27 "(c) An industry member may give, furnish, loan, rent, or sell retailer advertising specialty
28 items and product displays to a retail permittee, so long as the items have not been customized
29 for an individual retail permittee, and provided that the value of the items per brand does not
30 exceed one thousand dollars ($1,000) per year. For the purposes of this subsection, the following
31 definitions apply:
32 (1) Product displays. – Racks, bins, barrels, casks, shelving, and similar items
33 from which malt beverages, wine, or spirituous liquor are displayed and sold.
34 (2) Retailer advertising specialty items. – Items such as trays, coasters, mats, meal
35 checks, paper napkins, glassware, cups, foam scrapers, back bar mats,
36 thermometers, and other similar items that bear advertising matter, and shall
37 not include branded plug-in coolers."
38 SECTION 4.(b) G.S. 18B-809 reads as rewritten:
39 "§ 18B-809. Use of branded plug-in coolers.
40 No rule or decision of the Commission may limit or restrict the giving, lending, or selling by
41 industry members of branded plug-in coolers used to hold and display products, products in an
42 ABC store, provided that the total value of coolers are under the dollar limits set forth by the
43 Commission for product displays. per brand is less than one thousand five hundred dollars
44 ($1,500). A branded plug-in cooler shall have permanent and conspicuous branding that is
45 permanently attached or securely affixed to the cooler."
46
47 ALLOW TO-GO AND DELIVERY SALES OF MIXED BEVERAGES
48 SECTION 5.(a) G.S. 18B-1001(10) reads as rewritten:
49 "(10) Mixed Beverages Permit. – A mixed beverages permit authorizes the retail
50 sale of mixed beverages for consumption on the premises. The permit also
51 authorizes a mixed beverages permittee to obtain an antique spirituous liquor
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1 permit under subdivision (20) of this section and to use for culinary purposes
2 spirituous liquor lawfully purchased for use in mixed beverages. The permit
3 may be issued for any of the following:
4 a. Restaurants.
5 b. Hotels.
6 c. Private clubs.
7 d. Convention centers.
8 e. Community theatres.
9 f. Nonprofit organizations.
10 g. Political organizations.
11 h. Sports and entertainment venues.
12 i. Private bars.
13 j. The holder of a distillery permit authorized under G.S. 18B-1105.
14 Additionally, a mixed beverages permit authorizes a permittee that is a
15 restaurant, hotel, private club, bar, or the holder of a distillery permit to sell at
16 retail mixed beverages for consumption off the premises, including delivery
17 by the permittee or a delivery service permittee. A mixed beverage sold for
18 consumption off the premises shall be packaged in a container with a secure
19 lid or cap and in a manner designed to prevent consumption without removal
20 of the lid or cap. The container shall be no greater than 750 milliliters.
21 Notwithstanding G.S. 20-138.7, the transportation of a mixed beverage shall
22 not be unlawful if the container continues to be sealed and is in the passenger
23 area of a motor vehicle. Notwithstanding G.S. 18B-1010, the sale of more than
24 one mixed beverage drink at one time shall not be unlawful if the mixed
25 beverage drinks are sold for delivery and consumption off the permittee's
26 premises. No mixed beverage ordered for off-premises consumption shall be
27 provided to any person other than the purchaser of the mixed beverage, except
28 that in the case of delivery, the delivery service permittee may provide the
29 mixed beverage to a person other than the purchaser if the permittee verifies
30 that the person is over 21 years of age using age verification software requiring
31 the recipient to provide a form of photographic identification authorized in
32 G.S. 18B-302(d)(1)."
33 SECTION 5.(b) G.S. 20-138.7 reads as rewritten:
34 "§ 20-138.7. Transporting an open container of alcoholic beverage.
35 (a) Offense. – No person shall drive a motor vehicle on a highway or the right-of-way of
36 a highway:
37 (1) While there is an alcoholic beverage in the passenger area in other than the
38 unopened manufacturer's original container; andcontainer or a container that
39 remains securely sealed pursuant to G.S. 18B-1001(10).
40 (2) While the driver is consuming alcohol or while alcohol remains in the driver's
41 body.
42 …."
43 SECTION 5.(c) G.S. 18B-1001.4 reads as rewritten:
44 "§ 18B-1001.4. Authorization of delivery service permit.
45 (a) Authorization. – The holder of a delivery service permit, or the permit holder's
46 employee or independent contractor, may deliver malt beverages, unfortified wine, or fortified
47 wine wine, or mixed beverages meeting the requirements of G.S. 18B-1001(10), on behalf of a
48 retailer holding a permit issued pursuant to subdivisions (1) through (6) and (16) of
49 G.S. 18B-1001 G.S. 18B-1001, or a restaurant holding a mixed beverages permit issued pursuant
50 to G.S. 18B-1001(10) when delivered with food sold by the restaurant, to a location designated
51 by the purchaser. A delivery service permittee may also facilitate delivery through technology
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1 services that connect consumers and licensed retailers through the use of the Internet, mobile
2 applications, and other similar technology.
3 (b) Training and Payment. – Prior to making any deliveries, each individual delivering
4 alcoholic beverages pursuant to a delivery service permit shall successfully complete a course
5 approved by the Commission related to the delivery of alcoholic beverages. Upon receipt of a
6 proposed training program from a holder of a delivery service permit, the Commission shall have
7 15 business days to approve, deny, or request modifications to the proposed training program.
8 An individual delivering alcoholic beverages pursuant to a delivery service permit shall not
9 handle or possess funds used to purchase an alcoholic beverage that is to be delivered, but may
10 facilitate the sales transaction in a manner that does not involve taking possession of funds.
11 (c) Age of Recipient and Notice. – An individual may only deliver alcoholic beverages
12 pursuant to a delivery service permit to an individual who is at least 21 years of age and who
13 immediately takes actual possession of the alcoholic beverages purchased. Delivery of mixed
14 beverages shall be made in accordance with G.S. 18B-1001(10). A delivery of alcoholic
15 beverages in a package that obscures the manufacturer's original packaging shall have affixed to
16 the outside of the package a notice in 26-point type or larger stating: "CONTAINS ALCOHOLIC
17 BEVERAGES; AGE VERIFICATION REQUIRED."
18 (d) Limitations. – A delivery service permittee shall deliver alcoholic beverages only
19 within the time allowed for lawful sales and consumption in the jurisdiction where the delivery
20 is located. No delivery shall be made to any jurisdiction within the State that has not authorized
21 the sale of the purchased alcoholic beverages. A delivery service permittee shall not deliver
22 alcoholic beverages to the premises of another licensed retailer or more than 50 miles from the
23 retailer's licensed premises. Only alcoholic beverages purchased for personal consumption and
24 from a licensed retailer's existing inventory located on the retailer's premises may be delivered
25 pursuant to a delivery service permit.permit, except for mixed beverages in sealed containers
26 meeting the