AGENDA #8

 

MEMORANDUM

 

TO:                              Mayor and Town Council

 

FROM:                        W. Calvin Horton, Town Manager

 

SUBJECT:                   Consideration of a Resolution Regarding Alcoholic Beverage Control

 

DATE:                         June 10, 2002

RESUBMITTED:      June 24, 2002

 

 

INTRODUCTION

 

At its May 13 meeting, the Council received and referred to the Manager the attached petition from Mr. Dan Sykes, General Manager of the Orange County Alcoholic Beverage Control (ABC) Board.  Mr. Sykes requested that the Council adopt the attached resolution supporting the present ABC system.  Material presented by Mr. Sykes states that Senator Howard Lee sponsored legislation to study the benefits and costs of different systems of selling liquor, including private business.  

 

RECOMMENDATION

 

We believe that this is a policy matter for consideration by the Council. The Council may wish to consider the resolution offered by Mr. Sykes and provided in Attachment #1.  The Council also may decide to take no action, pending the outcome of the legislative study sponsored by Senator Lee.   

 

ATTACHMENT

 

  1. April 12, 2002 Letter from Dan Sykes, with accompanying Resolution and materials (p. 3).      

 

A RESOLUTION IN SUPPORT OF THE PRESENT SYSTEM OF ALCOHOLIC BEVERAGE CONTROL (2002-06-24/R-15)

 

WHEREAS, the people of the Town of Chapel Hill, Orange County, North Carolina voted to permit the sale of spirituous liquor through the establishment of the Orange County ABC Board, which is part of the State’s control system for the sale of spirituous liquors; and

 

WHEREAS, the Orange County ABC Board makes spirituous liquor available to consumers through local ABC stores while curtailing the intemperate use of alcohol through control over the distribution, sale and advertisement of spirits; and

 

WHEREAS, the State’s ABC system is self-sufficient in that consumers of spirits pay for the costs of operating the State ABC Commission and for the distribution and sale of spirits; and

 

WHEREAS, the Orange County ABC Board generates substantial revenue for Orange County and contributed in the most recent fiscal year which ended June 30, 2001, $400,000.00 to its general fund, $63,000 for alcohol education and rehabilitation, and $63,000 for alcohol law enforcement; and

 

WHEREAS, the North Carolina General Assembly recently created the Legislative Alcoholic Beverage Control Study Commission (ratified Senate Bill 166) which is required to study and address, among other things, the benefits of a “control” system and a “license” system for spirituous liquor, including privatization of alcoholic beverage sales;

 

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council supports the present control system for the sale and distribution of spirituous liquor and desires to retain the Orange County ABC Board.

 

This the 24th day of June, 2002.