Part I.
Section 1.
Directs that, on or after July 1, 2028, but no later than July 1, 2029, the local ABC boards will cease operations of any ABC stores and transfer all real property owned by the board and any fixtures and inventory used in the operation of ABC stores by public sale to the highest qualified bidder or bidders. Lists three requirements governing the ABC store sales, including that the inventory, fixtures, permit, and store location, including real property (if owned by the local ABC board), be sold as a package. Specifies that if a city or county has authorized the establishment and operation of an ABC store prior to July 1, 2027, and that city or county votes against off-premises spirituous liquor sales before July 1, 2028, the local ABC board applicable to that city or  county must do both of the following: (1) sell any spirituous liquor within their possession in the applicable city or county to a liquor wholesaler permitted under GS 18B-1109.1, as enacted by Part IV of the act and (2) offer any real property and fixtures for sale in any manner otherwise authorized by law. Clarifies that the act does not relieve an ABC Board of its debts or liabilities and prioritizes payment of any funds received under the act to satisfy said debts or liabilities, with any remaining distributed pursuant to GS 18B-805(e).
Tasks the ABC Commission (Commission) with developing a bid process by March 1, 2028. Directs, on July 1, 2029, for the Commission to cease the operation of the State warehouse. On or after July 1, 2029, and no later than December 31, 2029, directs the Commission to sell any remaining inventory of spirituous liquor (spirits) held in the State warehouse to a liquor wholesaler, described above.  Directs for any funds received to be used first to pay any amount owed to a distiller for inventory held in the warehouse, and any remaining funds shall be remitted to the General Fund to be used to fund education. Tasks the Department of Administration (DOA) with initiating proceedings to separate off and sell the described real property after the Commission ceases operations and sells off its inventory of spirits. Provides for priority use of sale proceeds and an appraisal. Requires DOA to assign the Commission office space by December 31, 2030. Of the funds appropriated to the Department of Public Safety (DPS) in Section 40.4(a) of SL 2023-134 for advance planning on a new ABC campus, directs any unexpended and unencumbered funds to revert to the General Fund.
Effective July 1, 2027.
Part II.
Section 2.
Makes the following changes to Article 6 of GS Chapter 18B (ABC Elections).  Replaces references to “ABC store” with “Off-premises spirituous liquor (liquor)” or “off-premises sale of spiritous liquor” and “an ABC store that is designated as a mixed beverage ABC store” to “package store” throughout the Article. Removes references to the Commission’s authority to sell liquor throughout the Article. Makes technical and conforming changes throughout the Article.
Sets the following requirements for a city holding an off-premises spirituous liquor elections in GS 18B-600 (places eligible to hold ABC elections): (1) retains population requirement applicable to ABC stores; (2) the county where the city is located does not allow the off-premises sale of spiritous liquor; and (3) at least one other city in the county allows the off-premises sale of spirituous liquor. Authorizes the commission to issue liquor permits to qualified persons in the jurisdiction in GS 18B-603 if the off-premises sale of spirituous liquor is approved.
Deems any city or county that has authorized the establishment and  operation of an ABC store prior to July 1, 2027, to have authorized the off-premises sale of spirituous liquor for purposes of Article 6 , as amended by the act, unless the city or county votes against authorizing off-premises spirituous liquor sales before July 1, 2028. A city or county that votes against off-premises spirituous liquor sales before July 1, 2028, may continue to operate ABC stores until July 1, 2029. If any city or county holds an off-premises spirituous liquor election on or after July 1, 2027, but prior to July 1, 2028, and the off-premises sale of spirituous liquor is approved, no off-premises sale of spirituous liquor is allowed until July 1, 2028.
Effective July 1, 2027, and applies to elections held on or after that date.
Part III.
Section 3.
Makes the following changes to Article 7, “Local ABC Boards,” in GS Chapter18B. Replaces references to “ABC store” with “Off-premises spirituous liquor (liquor)” or “off-premises sale of spiritous liquor” and “an ABC store that is designated as a mixed beverage ABC store” to “package store” throughout the Article. Removes references to the Commission’s authority to sell liquor throughout the Article. Makes technical and conforming changes throughout the Article.
Modifies the mission of local ABC Boards in GS 18B-700 so that it is now monitoring the sale of spirits and managing funds received as a result (was, controlling the sale of spirits and promoting customer friendly, modern, and efficient stores). Removes provisions pertaining to compensation of general managers (GM) of local boards and nepotism. Removes GM’s from the list of persons requiring to be bonded under the statute.
Removes most of the provision of GS 18B-701, listing the powers and duties of the local ABC Boards, except the following new and existing duties: (1) to authorize the operation of package stores, (2) distribute funds received pursuant to GS 105-113.82, (3) employ local ABC officers or make other provisions for enforcing ABC law, and (4) performing any other activity authorized or required by ABC law. Limits the local board’s duty to comply with the Commission’s rules under GS Chapter 18B, and removes provisions specifying requirement to meet all standards for performance and training established by the Commission.  
Removes all of the provision of GS 18B-702, the financial operations ABC Boards, except as follows. Retains the provisions listing the duties and powers of the finance officer, but removes duty to file a statement of financial condition of the local board and to supervise the investment of idle funds. Narrows the compliance obligations governing disbursement of local board funds so that it just Chapter 18B (currently, also the budget, preaudit obligations, and disbursements). Removes references to supervising money handled by authorized employees. Adds provisions requiring a local board to make specified statutory distributions of funds received pursuant to GS 105-113.82. Provides for other distributions after making the statutory distributions to the general fund of the city or county where the board is established, so long as no other distribution or schedule is provided for by law. Provides for expenditures of alcoholism funds.  Now prohibits a local board from borrowing money. Retains provisions pertaining to the applicability of criminal statutes and local acts.
Replaces references to “ABC system” with “ABC board” throughout GS 18B-703 (merger of local ABC board (currently, operations)). Removes provisions governing agreements for joint store operations. Replaces reference to “stores operated by the systems of” with “package stores” in the subject jurisdiction that serve the same general area as one of the conditions for merger. Requires the involved parties to agree upon a formula to distribute the funds received pursuant to GS 105-113.82 (was, formula for profit distribution).
Repeals GS 18B-705 (compliance with performance standards), GS 18B-707 (authorization to sample spirituous liquor products) and GS 18B-708 (sale of certain spirituous liquors below distiller’s price).
Adds new GS 18B-709, pertaining to authorizations of additional package stores. Imposes the following population requirements on the amount of package stores that may be authorized by a local board:

If the jurisdiction of the local ABC board has a total population of less than 100,000, not more than one store per 20,000.
If the jurisdiction of the local ABC board has a total population of at least 100,000 but less than 250,000, not more than one store per 25,000.
If the jurisdiction of the local ABC board has a total population of 250,000 or more, not more than one store per 30,000.

Specifies that if a jurisdiction holds a liquor election and is required to merge with an existing local board, the merged local board may authorize at least one package store within the jurisdiction that held the election. Any additional stores must meet the above population requirements.  Requires Commission approval for the location of package stores, as described. Prevents a local board from placing a package store in a location where the municipality’s governing board has passed an ordinance barring package stores there after an evidentiary hearing on the matter. Allows for municipal objection to a location.
Specifies that any ABC store in operation by a local board on July 1, 2027, may be sold, and the authority to operate as a package store is  valid. From July 1, 2028, until June 30, 2029, specifies that the amendments to Article 7  apply to local ABC boards that have ceased operation of ABC stores. Local ABC boards that have not yet ceased operation of ABC stores during this period will continue to have any necessary authority provided by Article 7 as it reads on June 30, 2028. On July 1, 2029, the provisions of this section apply to all local ABC boards.
Effective July 1, 2028, except as provided above.
Part IV.
Section 4.
Makes the following changes to Article 9, “Issuance of Permits,” of GS Chapter 18B. Provides for an off-premises spirituous liquor (liquor) permit in GS 18B-900 (permit qualifications). Sets the liquor permit fee at $1,000 in GS 18B-902. Makes conforming changes to GS 18B-903 to account for new liquor permit.
Section 5.
Makes the following changes to Article 10, “Retail Activity” of GS Chapter 18B. Defines package store in GS 18B-1000 (definitions concerning establishments) and excludes a package store from a retail business. Allows off-premises fortified wine permits in GS 18B-1001 (kinds of ABC permits) to be issued for package stores. Creates the off-premises spirituous liquor permits, authorizing the retail sale of spirituous liquor in the manufacturer's original container for consumption off the premises, only issued to package stores. Requires warning signage. Makes conforming change to GS 18B-1004  (hours for sale and consumption) to account for liquor permits.
Section 6.
Makes the following changes to Article 11, “Commercial Activity” of GS Chapter 18B. Replaces references to “ABC store” with “Off-premises spirituous liquor (liquor)” or “off-premises sale of spiritous liquor” and “an ABC store that is designated as a mixed beverage ABC store” to “package store” throughout the Article. Removes references to the Commission’s authority to sell liquor throughout the Article. Makes technical and conforming changes throughout the Article.
Creates a liquor wholesaler commercial permit in GS 18B-1100 (commercial permits).  Expands the persons in GS 18B-1105 to whom holders of distillery permits may sell, deliver, and ship spirits to include licensed wholesalers under GS Chapter 18B so long as the spirits are not for resale in the State. Clarifies that the above does not prohibit the distiller from selling spirits to the described nonresident sellers for resale in the State if it’s shipped from the distillery to wholesalers licensed under GS Chapter 18B. Removes requirement that spirits sold must be listed as a code item and sold at a price set by the Commission. Authorizes the holder of a distillery permit to obtain a liquor wholesaler permit to sell, deliver, and ship at wholesale the described amounts of spirits. Provides for sales reports to the Commission.
Deletes the provisions of GS 18B-1105.1 (authorization of liquor importer bottler permit), except the following. Allows the holder of a liquor importer/bottler permit to import spirits from outside the US in closed containers and to bottle, package, or label imported spirituous liquor. Adds provisions allowing those permit holders to store and sell the spirits to liquor wholesalers for resale. Adds GS 18B-1109.1 (authorization of liquor wholesaler permits) enumerating four powers granted to those permit holders, including to receive, possess, and transport spirits.  Replaces reference to “local boards” with “liquor wholesalers” in GS 18B-1110.1 (authorization of packaging and logistic permit). Expands the authorizations for a holder of a salesman permit under GS 18B-1111 to sell and transport spirits for a liquor wholesaler. Makes conforming change to GS 18B-1113.1 to account for resale provisions of GS 18B-1005. Specifies that the spirits have to come to rest at the licensed premises of a liquor wholesaler in the State before being resold to a package store. Removes definition of distillery in the statute.
Prevents the sale of mixed beverages in conjunction with a consumer tasting at package stores under GS 18B-1114.7 (authorization of spirits for special events). Removes provisions placing additional limits on tastings on ABC stores. Now limits delivery of spirits to a liquor wholesaler, for delivery to an off-premises spirituous liquor permit holder, for delivery to a mixed beverages permit holder, or transport through the State to another state (was, delivery to ABC store or for transport to another state) in GS 18B-1115. Removes references to State code in requirements for a bill of lading. Expands the requirements for transportation by boat to spirits. Removes provisions pertaining to state warehouse carriers. Expands the purchase restrictions in GS 18B-1118 to liquor wholesalers and liquor importers/bottlers. Makes conforming change to account for sale of spirits by liquor wholesalers and liquor importers/bottlers.
Section 7.
Enacts Article 14, “Spirituous Liquor Franchise Law” to GS Chapter 18B, as follows. Provides for liberal construction of the Article to promote the four listed underlying purposes and policies. Emphasizes that the effect of new Article 14 may not be waived or varied by contract or agreement. Any contract or agreement purporting to do so is void and unenforceable to the extent of that waiver or variance. Exempts a North Carolina distillery holding a valid liquor wholesaler permit from new GS 18B-1404, 18B-1405, and 18B-1407. Defines four terms, including agreement (a commercial relationship between a liquor wholesaler and a distillery. The agreement may be of a definite or indefinite duration and is not required to be in writing. Lists five scenarios that are prima facia evidence of an agreement.)
Prohibits distilleries from engaging in or attempting to perform any of the four listed acts of inducement, coercion, or discrimination in GS 18B-1402.
Requires, in GS 18B-1403, for each agreement to designate the sales territory of the wholesaler. Prohibits distilleries from entering into more than one agreement for each brand of spirituous liquor or beverage it offers in any territory. Prevents wholesalers from distributing any brand of spirituous liquor to a package store whose premises are located outside the territory designated in the wholesaler's agreement for that brand. Allows a wholesale to distribute spirits outside of its territory with Commission approval under the circumstances described. Requires redesignations of sales territories after July 1, 2028, to be reported to the Commission in 30 days. Requires wholesalers to service package stores without discrimination and to make good faith efforts to provide any brand of spirits it is authorized to distribute in the territory. Prevents in GS 18B-1404 a distillery from acting to amend, cancel, terminate, or refuse to continue to renew any agreement, or cause a wholesaler to resign from an agreement, unless good cause (defined) exists for the refusal to continue with the agreement under GS 18B-1405. Provides process for a distillery’s notice of intent to terminate an agreement. Prohibits a distillery from acting to unreasonably withhold or delay consent to any transfer of the wholesaler's business whenever the wholesaler to be substituted meets the material and reasonable qualifications and standards required of the distillery's wholesalers under GS 18B-1406. Allows distilleries to object to a transfer of a wholesaler’s business to members of the wholesaler’s family (defined). Provides for judicial remedies. in GS 18B-1407, Prohibits price fixing, discrimination, and retaliatory action by a distillery. Prohibits a distillery from interfering with the wholesaler’s change of management or personnel unless the current or potential management or personnel fails to meet reasonable qualifications and standards required by the distillery. Prohibits a distillery from requiring a waiver of any of the conditions of GS Chapter 18B. Clarifies, in GS 18B-1413, that a purchaser of a distillery and their successors are subject to all the terms and conditions of an agreement, except if any of the four instances of good cause exist. Enumerates three prohibited practices in GS 18B-1414. Specifies the Article’s intent to prohibit discrimination on the basis of the listed protected classes in GS 18B-1415. Clarifies, in GS 18B-1416, that nothing in the Article relieves a distillery or wholesaler of any obligation, duty, or prohibition imposed by any other provision of GS Chapter 18B or by GS 75-1.1 or by any other provision of State law, and the remedies provided in the Article are nonexclusive.
Section 8.
Specifies that sections 4 through 7 become effective January 1, 2028. The Commission may issue liquor wholesaler permits beginning January 1, 2028, but must limit the permits such that a liquor wholesaler may not sell spirituous liquor to any package store until July 1, 2028.
Part V.
Section 9.
Makes the following changes to Article 1, “General Provisions” of GS Chapter 18B. Replaces references to the operation or establishment of an ABC store with “the off-premises sale of spirituous liquor is lawful” throughout the Article. Replaces references to “ABC stores” with “package stores.” Makes technical and conforming changes.
Expands the types of permits that the Native American tribes may issue in their territories under GS 18B-112 to include spirits.  
Section 10.
Makes the following changes to Article 2, “”state administration” of GS Chapter 18B. Replaces references to the operation or establishment of an ABC store with “the off-premises sale of spirituous liquor is lawful” throughout the Article. Replaces references to “ABC stores” with “package stores.” Makes technical and conforming changes.
Narrows the Commission’s authority under GS 18B-203 to approve or disapprove the location of package stores (currently approves the opening and location of ABC stores). Removes provisions from the enumerated list of Commission powers pertaining to construction of warehouse and distribution of spirits. Expands its power pertaining to warning signs to include providing them to spirituous liquor permittees. Deletes provisions of GS 18B-208 (Commission bonds and funds) except the following. Retains provisions of the ABC Commission Fund and makes the following changes. Removes outdated language. Removes provisions relating to bonds and bailment surcharges, as described.
Section 11.
Makes the following changes to Article 3, “sale, possession, and consumption to GS Chapter 18B. Removes references to ABC store in GS 18B-301. Makes it unlawful for a person to consumer the listed alc