Compendium of Budget Information for the 2010 General Session

Commerce & Workforce Services
Appropriations Subcommittee

Line Item: Alcoholic Beverage Control

Function

Liquor sales provide a major source of income to the State's General Fund. Net profits are deposited in the General Fund and used to support state government operations. State law also requires a transfer of 10% of gross sales to support school lunch program. A portion of the tax on beer goes to local governments to help cover their costs of liquor law enforcement.

Funding Detail

Sources of Finance	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
General Fund, One-time	$0	$1,631,300	$0	$0	$0
Liquor Control Fund	$20,498,400	$23,396,400	$27,066,000	$28,704,500	$29,454,100
Transfers	$0	$0	$100,000	$0	$0
Beginning Nonlapsing	$0	$0	$125,100	$0	$0
Closing Nonlapsing	$0	($125,000)	$0	$0	$0
Closing Nonlapsing - Highway Safety	$0	$0	$0	$100,000	$100,000
Lapsing Balance	($90,200)	$0	$8,300	$17,200	$0
Total	$20,408,200	$24,902,700	$27,299,400	$28,821,700	$29,554,100

Programs:	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Executive Director	$1,392,400	$3,236,300	$1,393,500	$1,916,600	$1,361,200
Administration	$997,000	$1,070,800	$1,206,500	$1,116,500	$1,232,800
Operations	$1,888,100	$2,185,900	$2,432,500	$1,719,000	$2,210,100
Warehouse and Distribution	$1,524,500	$1,578,100	$1,310,200	$1,711,500	$1,554,600
Stores and Agencies	$14,606,200	$16,831,600	$19,023,100	$20,939,200	$21,854,700
Eliminate Alcohol Sales to Youth	$0	$0	$1,933,600	$1,418,900	$1,340,700
Total	$20,408,200	$24,902,700	$27,299,400	$28,821,700	$29,554,100

Categories of Expenditure	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Personnel Services	$12,425,200	$12,978,800	$14,290,600	$15,872,200	$16,507,400
In-state Travel	$25,200	$37,800	$68,700	$46,200	$68,700
Out-of-state Travel	$13,800	$12,300	$12,500	$319,000	$12,500
Current Expense	$6,887,900	$9,789,500	$10,696,800	$10,779,100	$11,015,700
DP Current Expense	$680,000	$1,832,800	$1,914,400	$1,633,900	$1,870,800
DP Capital Outlay	$187,300	$8,600	$217,000	$0	$50,200
Capital Outlay	$188,800	$242,900	$66,700	$171,300	$28,800
Transfers	$0	$0	$32,700	$0	$0
Total	$20,408,200	$24,902,700	$27,299,400	$28,821,700	$29,554,100

Other Indicators	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Budgeted FTE	340.0	345.0	341.5	352.0	352.0
Vehicles	21	20	20	20	20

Subcommittee Table of Contents

Program: Executive Director

Function

The Executive Director's Office sets Department policies and procedures. The Office provides information to the part-time Commission to decide where to locate liquor stores, product mark-up, and issuance of licenses and permits. Within this budget is funding for liquor compliance specialists. They train licensees to comply with Utah's liquor laws and make recommendations regarding license applications, suspensions, and revocations.

The Department of Public Safety also has liquor enforcement officers who police the licensees. They are funded through another subcommittee.

Funding Detail

The Department draws the majority of its funding from the Liquor Control Fund.

Sources of Finance	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
General Fund, One-time	$0	$1,631,300	$0	$0	$0
Liquor Control Fund	$1,482,600	$1,730,000	$1,160,100	$1,899,400	$1,361,200
Transfers	$0	$0	$100,000	$0	$0
Beginning Nonlapsing	$0	$0	$125,100	$0	$0
Closing Nonlapsing	$0	($125,000)	$0	$0	$0
Lapsing Balance	($90,200)	$0	$8,300	$17,200	$0
Total	$1,392,400	$3,236,300	$1,393,500	$1,916,600	$1,361,200

Categories of Expenditure	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Personnel Services	$1,290,500	$1,315,800	$1,206,900	$1,402,600	$1,224,800
In-state Travel	$6,500	$9,400	$11,900	$11,700	$11,900
Out-of-state Travel	$9,700	$10,400	$7,900	$18,400	$7,900
Current Expense	$80,900	$1,900,600	$133,900	$482,300	$116,400
DP Current Expense	$4,800	$100	$200	$1,600	$200
Transfers	$0	$0	$32,700	$0	$0
Total	$1,392,400	$3,236,300	$1,393,500	$1,916,600	$1,361,200

Other Indicators	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Budgeted FTE	19.0	18.0	17.0	17.0	17.0

Subcommittee Table of Contents

Program: Administration

Function

Administration provides centralized administrative services to other programs within the Department. This includes budgeting, accounting, and auditing stores and package agencies.

Funding Detail

The funding for the Administration of the Department of Alcoholic Beverage Control comes from the Liquor Control Fund.

Sources of Finance	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Liquor Control Fund	$997,000	$1,070,800	$1,206,500	$1,116,500	$1,232,800
Total	$997,000	$1,070,800	$1,206,500	$1,116,500	$1,232,800

Categories of Expenditure	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Personnel Services	$485,300	$547,200	$579,800	$605,400	$600,900
In-state Travel	$700	$600	$2,000	$2,800	$2,000
Out-of-state Travel	$0	$500	$0	$0	$0
Current Expense	$511,000	$480,200	$624,300	$465,000	$629,500
DP Current Expense	$0	$6,000	$400	$5,400	$400
Capital Outlay	$0	$36,300	$0	$37,900	$0
Total	$997,000	$1,070,800	$1,206,500	$1,116,500	$1,232,800

Other Indicators	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Budgeted FTE	9.0	9.0	9.0	9.0	9.0

Subcommittee Table of Contents

Program: Operations

Function

Operations provides data processing to the Department and manages the operation of the warehouse, delivery, stores and package agencies. All liquor is traced by computer from when it delivered to the warehouse to when it is sold to the consumer. Liquor is sold through several channels in the state including: state stores, package agencies, clubs, restaurants, airport lounges, and on premise banquet businesses.

Utah is one of eighteen liquor control states and one of only two that have totally state run systems. (Pennsylvania is the other state.) Utah buys from the manufacturer, stores, distributes and sells the products and collects the sales and excise taxes in state-run stores. The state sets the types of retail establishments by law, based on population.

The State operates 41 stores. These stores are located in large and medium-sized communities where the volume of business is high enough to support the costs of operating a store. The State owns 34 stores and leases the other 7. Employees working in the stores are state employees.

Package agencies are liquor outlets operated by private individuals or corporate entities under contract with the state for the purpose of selling packaged liquor, wine and heavy beer to the general public for off premise consumption. Package agencies are located in communities too small to warrant the establishment of a state store, and in resorts and hotels where the outlets exist primarily for the benefit of their guests. Package agencies are also located in Utah breweries, wineries, and Utah's newest distillery.

Funding Detail

The funding for the Operations of the Department of Alcoholic Beverage Control comes from the Liquor Control Fund.

Sources of Finance	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Liquor Control Fund	$1,888,100	$2,185,900	$2,432,500	$1,719,000	$2,210,100
Total	$1,888,100	$2,185,900	$2,432,500	$1,719,000	$2,210,100

Categories of Expenditure	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Personnel Services	$1,296,200	$293,200	$333,200	$349,900	$315,600
In-state Travel	$2,100	$0	$200	$0	$200
Out-of-state Travel	$3,700	$800	$0	$0	$0
Current Expense	$47,900	$58,800	$52,300	$42,300	$52,300
DP Current Expense	$538,200	$1,820,300	$1,885,600	$1,278,200	$1,842,000
DP Capital Outlay	$0	$0	$161,200	$0	$0
Capital Outlay	$0	$12,800	$0	$48,600	$0
Total	$1,888,100	$2,185,900	$2,432,500	$1,719,000	$2,210,100

Other Indicators	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Budgeted FTE	14.0	14.0	14.0	14.0	14.0
Vehicles	2	2	2	2	2

Subcommittee Table of Contents

Program: Warehouse and Distribution

Funding Detail

The funding for the Warehouse and Distribution of the Department of Alcoholic Beverage Control comes from the Liquor Control Fund.

Sources of Finance	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Liquor Control Fund	$1,524,500	$1,578,100	$1,310,200	$1,711,500	$1,554,600
Total	$1,524,500	$1,578,100	$1,310,200	$1,711,500	$1,554,600

Categories of Expenditure	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Personnel Services	$1,056,200	$1,122,500	$912,500	$1,299,900	$1,191,400
Out-of-state Travel	$0	$0	$200	$298,400	$200
Current Expense	$279,500	$347,700	$325,000	$39,300	$328,400
DP Capital Outlay	$0	$8,600	$5,800	$0	$5,800
Capital Outlay	$188,800	$99,300	$66,700	$73,900	$28,800
Total	$1,524,500	$1,578,100	$1,310,200	$1,711,500	$1,554,600

Other Indicators	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Budgeted FTE	22.0	25.0	22.0	25.0	25.0

Subcommittee Table of Contents

Program: Stores and Agencies

Funding Detail

The funding for the Stores and Agencies of the Department of Alcoholic Beverage Control comes from the Liquor Control Fund.

Sources of Finance	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Liquor Control Fund	$14,606,200	$16,831,600	$19,023,100	$20,939,200	$21,854,700
Total	$14,606,200	$16,831,600	$19,023,100	$20,939,200	$21,854,700

Categories of Expenditure	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Personnel Services	$8,297,000	$9,700,100	$11,146,300	$12,214,400	$13,055,700
In-state Travel	$15,900	$27,800	$52,200	$31,700	$52,200
Out-of-state Travel	$400	$600	$0	$2,200	$0
Current Expense	$5,968,600	$7,002,200	$7,747,100	$8,331,300	$8,674,900
DP Current Expense	$137,000	$6,400	$27,500	$348,700	$27,500
DP Capital Outlay	$187,300	$0	$50,000	$0	$44,400
Capital Outlay	$0	$94,500	$0	$10,900	$0
Total	$14,606,200	$16,831,600	$19,023,100	$20,939,200	$21,854,700

Other Indicators	2006 Actual	2007 Actual	2008 Actual	2009 Actual	2010 Approp
Budgeted FTE	276.0	279.0	279.5	287.0	287.0
Vehicles	19	18	18	18	18

Subcommittee Table of Contents