Chief Patron: McDougle
Improvement of ABC Enforcement Efforts (language only)

Item 378 #2s

Language
Page 336, after line 24, insert:
"D.1. It is the intent of the General Assembly that the funds appropriated in this Item be expended primarily for activities involving the licensing of alcoholic beverage manufacturers, wholesalers, and retailers and the enforcement of administrative regulations.  The authority to enforce the criminal laws of the Commonwealth granted pursuant to Section 4.1-105, Code of Virginia, should only be exercised ancillary to such administrative enforcement.
2. No later than 90 days after enactment of this Act, the Department of Alcoholic Beverage Control shall formulate and begin to implement a plan to effect the following:
a. an increase in the number of administrative inspections conducted at licensed premises;
b. an increased review and analysis of the reports filed by mixed beverage licensees, and an increase in the number of audits to insure compliance with the food-to-beverage ratio required of such licensees; and,
c. an increase in specialized industry compliance services provided to the manufacturing and wholesale tiers of the alcoholic beverage industry.
A copy of the plan shall be forwarded to the Governor and the Chairmen of the House Committee on General Laws and the Senate Committee on Rehabilitation and Social Services.
3. No later than June 30, 2016, the Department of Alcoholic Beverage Control shall report to the Governor and the Chairmen of the House Committee on General Laws and the Senate Committee on Rehabilitation and Social Services on its progress on implementation of the plan."

Explanation
(This amendment expresses the intent of the General Assembly that the Department of Alcoholic Beverage Control should concentrate its enforcement efforts on the administrative regulation of the alcoholic beverage industry, and requires a plan within 90 days of the enactment of this Act and a report by June 30, 2016, to address this concern. From fiscal year 2009 to 2014 the number of annual licenses issued by the department has increased ten percent from 16,503 to 18,171, and the number of special agents has increased by a similar percentage from 90 to 100. However, the number of administrative inspections over the same period has declined over 14 percent, from 10,346 to 8,884 inspections. A similar concern exists with respect to the enforcement of the food-to-beverage ratio required of mixed beverage restaurants, so it is also the intent of this amendment that the department should significantly increase its inspections and audits of the annual reports submitted by mixed beverage licensees.)