Department of Alcoholic Beverage Control
Department Leadership:
Dennis Kellen, Executive Director
John Freeman, Deputy Director of Operations
Mission Statement:
The Utah Department of Alcoholic Beverage Control's mission is to provide a safe, responsible and efficient environment in which to regulate, distribute and facilitate the sale of alcoholic products to the public. The underlying goal is to eliminate consumption by minors as well as educate & promote responsible and lawful consumption by others.
Overview
Utah is one of 19 "control" jurisdictions in the nation that controls the sale of alcoholic beverages (there are 18 states and the county of Montgomery in Maryland ). These jurisdictions, which regulate their own retail and/or wholesale distribution of alcoholic beverages, account for nearly one-third of the U.S. population. The results: revenues that would otherwise go to profit for private retail sellers are, instead, funneled into state coffers and used to support public goals of moderation and government revenue enhancement.
The Utah Department of Alcoholic Beverage Control is governed by a five member, part time commission. The commission employs a full time director to oversee the day-to-day operation of the DABC. The policy of the DABC, as set by statute, is to operate as a public business using sound management principles and practices, and function with the intent of servicing the public demand for alcoholic beverages while protecting the public interest.
The DABC operates a statewide network of state stores and package agencies (contract stores) that sell all alcoholic beverages, except beer or malt beverages containing less than 4% alcohol by volume (which are sold in grocery and convenience stores). The DABC also administers the alcoholic beverage laws, and regulates the sale, service, storage, manufacture, distribution, and consumption of alcoholic products.
Utah 's liquor control system offers definite advantages to Utah 's citizens. Liquor sales provide a significant source of revenue to the State's general fund which serves to relieve the individual tax burden of Utah citizens. In addition, the school lunch program receives substantial funding from revenues on liquor sales.
Our Commitment to Responsible Moderation:
The DABC pursues the goal of a healthy and safe society in which alcohol is sold only to adults and is consumed responsibly. Through sound policies, eliminating alcohol access to minors, and vigorously ensuring the observance of the alcoholic beverage control laws, we are working to do our part to promote the safety and well-being of all those in our community.
Case Sales per FTE
Data Source: DABC
Why this is important:
Case sales per FTE is an important measure of DABC productivity. It measures the total number of cases sold in each fiscal year divided by the total number of DABC FTE (Full Time Equivalent personnel) for that year.
What we're doing about it:
The DABC is always looking for ways to increase productivity and efficiency. Advances in automated warehousing, technology and employee productivity have allowed case sales per FTE to increase from 0.5 to 7.5 percent over the past eight years. Through employee incentives and other initiatives, the DABC expects that case sales per FTE should continue to increase.
Profit Transfer
Data Source: DABC
Why this is important:
The profit transfer is the direct flow of the DABC's profit into the state's general fund. The DABC's profit is measured much like that of other “for-profit” businesses. Increasing profits provides the state with additional funds that would, otherwise, have to be provided from other sources.
What we're doing about it:
The DABC focuses on efficiency and productivity. This focus has resulted in a significant increase in profit transfer (from $29 million to over $53 million) over the past 8 years. The DABC continues to focus on initiatives that should provide for increasing profits in the future.
Sales & Other Taxes / Transfers
Data Source: DABC
Why this is important:
In addition to the transfer of liquor profits into the state's general fund, sales tax collected on liquor sales and monies earmarked for the school lunch program provide additional resources to the state and to local governments.
What we're doing about it:
Both sales tax and monies disbursed to the school lunch program are based on dollar sales of alcoholic beverages by the DABC. Although the DABC does not focus on increasing sales, it is a natural result of the increasing population, tourism, demographic make-up of the State, and many other factors. The DABC will continue to report all sales taxes, school lunch transfer, or other taxes as required by state law.Compliance Audits and Licensee Visits
Data Source: DABC
Why this is important:
The DABC tracks the frequency of audits and visits done by compliance officers during the calendar year with licensees. Compliance officers visit licensees to ensure that they understand state laws and rules related to the responsible sale and service of alcoholic beverages.
What we're doing about it:
The DABC is committed to working with current and perspective licensees to ensure that they understand state laws and DABC rules related to the sale of alcoholic beverages. In addition to licensee audits and visits, compliance officers provide comprehensive training sessions for licensees and their employees designed to promote a better understanding of liquor laws and help them avoid violations and punitive penalties. DABC separately tracks the number of training sessions conducted along with the number of licensee employees trained.