North Carolina § 18B-204 - State warehouse.

§ 18B-204. State warehouse.

Contracting for Private Warehouse. - The Commission shall provide for the receipt, storage, and distribution of spirituous liquor by one of the following methods: By negotiated contract with a privately owned warehouse; By negotiated contract with privately owned warehouses in several regions of the State. The Commission shall choose locations for the warehouses to promote efficient distribution of spirituous liquor to all local boards, to maintain control of that liquor, and to insure the Commission's supervision of warehousing procedures; or By the construction of a warehouse, and by contracting for receipt, storage and distribution of spirituous liquor by an independent contractor, by negotiated contract or by the use of procedures for purchase and contract by State agencies, for the operation of that warehouse. Audits and Inspections. - Contracts entered into pursuant to this section shall provide the following: That an annual audited financial statement be prepared and submitted to the Commission by the person contracting with the Commission; That all warehouse records be available for inspection at all times by the Commission and the Department of Revenue; and That all warehouse accounts relating to the receipt, storage, or distribution of spirituous liquor be subject to audit by the State Auditor. Emergency or Temporary Operation. - If the independent operator of a warehouse changes, or if some other occurrence results in substantially impeded distribution of spirituous liquor from a warehouse, the Commission may operate that warehouse on an interim emergency or temporary basis. Rules. - The Commission may adopt rules regarding warehouse operations, and violations of those rules by a party with whom the Commission contracts shall be grounds for termination by the Commission of a contract entered into under this section. History (1937, c. 49, s. 4; cc. 237, 411; 1945, c. 954; 1949, c. 974, s. 9; 1961, c. 956; 1963, c. 426, s. 12; c. 916, s. 2; c. 1119, s. 1; 1965, c. 1063; c. 1102, s. 3; 1967, c. 222, s. 2; c. 1240, s. 1; 1971, c. 872, s. 1; 1973, c. 28; c. 473, s. 1; c. 476, s. 133; c. 606; c. 1288, s. 1; cc. 1369, 1396; 1975, cc. 240, 453, 640; 1977, c. 70, ss. 15.1, 15.2, 16; c. 176, ss. 2, 6; 1977, 2nd Sess., c. 1138, ss. 3, 4, 18; 1979, c. 384, s. 1; c. 445, s. 5; c. 482; c. 801, s. 4; 1981, c. 412, s. 2; 1981 (Reg. Sess., 1982), c. 1285, s. 3; 1987, c. 136, s. 2.) Editor's Note. - Session Laws 2018-100, s. 2(a)-(e), provides: "(a) Definition. - 'Distressed Liquor Rules' means 14B NCAC 15A.1603 (Requirements for Storage), 14B NCAC 15A.1604 (Prohibited Practices), and 14B NCAC 15A.1701 (Removal of Beverages from ABC Stores) for purposes of this section and its implementation. "(b) Distressed Liquor Rules. - Until the effective date of the revised permanent rule that the Alcoholic Beverage Control Commission is required to adopt pursuant to subsection (d) of this section, the Commission shall implement the Distressed Liquor Rules as provided in subsection (c) of this section. "(c) Implementation. - Notwithstanding subdivisions (6) and (7) of 14B NCAC 15A.1603, subsection (b) of 14B NCAC 15A.1604 (Prohibited Practices), and subsection (b) of 14B NCAC 15A.1701 (Removal of Beverages from ABC Stores), the Commission shall not require the presence of a distiller representative for the Commission, a privately owned bonded warehouse, or a local board to destroy distressed liquor. "(d) The Commission shall adopt rules to amend the Distressed Liquor Rules consistent with subsection (c) of this section. "(e) Sunset. - This section expires when permanent rules adopted as required by subsection (d) of this section become effective." Sessions Laws 2018-100, s. 8(a), is a severability clause. Session Laws 2019-182, s. 24, provides: "(a) Beginning October 15, 2019, and quarterly thereafter, the ABC Commission shall submit a written report to the chairs of the Joint Legislative Oversight Committee on Justice and Public Safety detailing the progress made in bidding and selecting an independent contractor for the receipt, storage, and distribution of spirituous liquor at and from the State warehouse in accordance with G.S. 18B-204(a)(3). The report required under this section shall include all of the following: "(1) The schedule for developing and issuing the Request for Proposal (RFP), including detailed explanations as to how the Commission is meeting the milestones identified on the schedule. "(2) An identification of State agencies, departments, and other entities providing the Commission with technical assistance on RFP development and contract negotiations, including a detailed description of the assistance that is being provided. "(3) A description of the Commission's consultation with local ABC boards, as that term is defined in G.S. 18B-101, to ensure the boards' concerns and expectations are addressed during the RFP development and contract negotiations. "(4) A copy of the RFP when it is released for bid. "(5) A copy of the final contract entered into pursuant to G.S. 18B-204(a)(3). "(6) An implementation schedule for transitioning from the existing contract for services described in G.S. 18B-204(a)(3) to the new contract. "(b) The reporting requirement set forth in subsection (a) of this section expires upon the earlier of the date of the award of the contract for services described in G.S. 18B-204(a)(3) or January 1, 2022."