StateWays is the only magazine exclusively covering the control state system within the beverage alcohol industry, with annual updates from liquor control commissions and alcohol control boards and yearly fiscal reporting from control jurisdictions
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investigations. When it comes to alcohol, said Jeff Rogers, chief of enforcement, "Everyone who sells alcohol in the state of Alabama deals with us [the ABC]. We sell it and we control or regulate it." As a direct result of this system, "we are a high-tax, low-consumption state," said Gipson, which was exactly the intention of legislators 75 years ago when they crafted the Alabama Alcoholic Beverage Control Act, at the end of Prohibition. The Product Management Division is the business side of the ABC. It is in charge of pricing and purchasing distilled spirit products, running the warehouse and distribution operations, and selling, wholesale to licensees and retail to customers, distilled spirits throughout the state, through the operation of its 172 state stores. This division employs 59 people in the central office and warehouse and 615 people in the stores. The Distillers League W hen Administrator Gipson and William Thigpen, assistant administrator, arrived at their posts 23 months ago, one of the first things Gipson did was revive an organization called the Distillers League, which had been disbanded. This is Seen above is Emmit Hardie, Assistant Product Operations a group of brokers and supplier representaDirector, at one of the ABC's two warehouses at its headquarters in Montgomery. They generally contain about tives. "To me, it seemed like a good idea to 250,000 cases of distilled spirits (300,000 at peak times like allow the League to reorganize," said the holiday and football seasons) and ship those cases out, Gipson. "It helps us to have a good relaat the rate of 10 trailerloads, or about 45,000 cases, per tionship with suppliers and it serves as an week, to the state stores. advisory organization." Athens, AL, a package store is located directly next door The League meets once a quarter with the ABC. to a state store. "And it works well," he said. "We talk to them about our listing process, delisting process, store displays, codes and laws, pricing, even milLicensing & Enforcement itary sales," said Nick Ketter, product director. "Of n addition to its wholesaling and retailing operations, course, the ABC has the final say over everything, but the Alabama ABC is also charged with licensing and they are a very vital resource." enforcement. The 127 sworn police officers in the And it's with the Distillers League that the Alabama enforcement division of the ABC also license and regu- ABC has begun running two trade shows per year, for late the wholesalers and retailers of beer, wine and licensees. Suppliers are allowed to bring in products, for liquor and handle the enforcement required by tobacco licensees to see and to taste, and to offer discounted laws. The ABC enforcement division is also charged pricing on select items. (Spirit tastings are not allowed in with monitoring the sale of ephedrine products, such as state stores.) "It's great for us," said Randall Smith. "We, cold medications sold by drug stores, which are an in product management, do not get a lot of contact with ingredient necessary to produce methamphetamine. licensees otherwise. It builds good will." Finally, the ABC enforcement division is the main One problem area the ABC has been able to address agency in the state responsible for undercover drug through the trade shows is gift sets, the value-added I 12 StateWays I www.stateways.com I January/February 2013