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Mission Statement

The mission of Alcohol Beverage Services (ABS) is to provide licensing, wholesale and retail sales of beverage alcohol products, enforcement, effective education and training programs, while promoting moderation and responsible behavior in all phases of distribution and consumption. The Department diligently promotes, enforces, and obeys all laws and regulations governing beverage alcohol while generating revenue for the benefit of Montgomery County's General Fund. The Department strives to provide its customers with the added benefits inherent in the oversight provided by the Montgomery County Government.

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Budget Overview

The total recommended FY23 Operating Budget for the Alcohol Beverage Services is $68,265,868, an increase of $1,917,793 or 2.89 percent from the FY22 Approved Budget of $66,348,075. Personnel Costs comprise 57.38 percent of the budget for 334 full-time position(s) and 127 part-time position(s), and a total of 428.80 FTEs. Total FTEs may include seasonal or temporary positions and may also reflect workforce charged to or from other departments or funds. Operating Expenses account for the remaining 42.62 percent of the FY23 budget.

In FY23, Alcohol Beverage Services will transfer $35 million to the General Fund and make $8.9 million in debt service payments on Liqour Control Revenue Bonds for a total contribution of $43.8 million.

The above projections and proposed expenditures form the basis for working capital decisions concerning the ABS Enterprise Fund.

The following information is provided to facilitate County Council and public input for final County Executive decisions on the determination of adequate working capital within, and use of resources in, the Liquor Enterprise Fund and net proceeds to be deposited to the General Fund. Consistent with Article 2B, Section 15-207, the County Executive must make resource allocation decisions for the Fund.

In addition, this department's Capital Improvements Program (CIP) requires Current Revenue funding.


County Priority Outcomes

While this program area supports all eight of the County Result Areas, the following are emphasized:

  • A Growing Economy
  • A Greener County
  • Safe Neighborhoods
  • Effective, Sustainable Government

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Program Performance Measures

Performance measures for this department are included below (where applicable), with multi-program measures displayed at the front of this section and program-specific measures shown with the relevant program. The FY22 estimates reflect funding based on the FY22 approved budget. The FY23 and FY24 figures are performance targets based on the FY23 recommended budget and funding for comparable service levels in FY24.

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Initiatives

  • Maryland Local Program - Targeted towards helping small Maryland distilleries, wineries, and breweries build distribution and sales and partnering with them to ensure long term success.
  • Update all store point of sale register systems to remove technology barriers and enable ABS to do things like curbside pickup, buy online and pick up in store, and queue line checkout.

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Innovations and Productivity Improvements

  • Expanded business education through virtual trainings.

  • Opened a new retail concept and flagship store, Oak Barrel & Vine, now live at Cabin John which will be used as a prototype to remodel all stores.
  • Initiated business outreach to assist with restaurant recovery.

Program Descriptions

  Warehouse Operations

This program involves management of the County's beverage alcohol warehouse and includes the purchase, receipt, and storage of over 35,000 different stock and special order items....

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  Delivery Operations

This program includes the distribution of distilled spirits, wine, and beer to licensed establishments and County retail stores....

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  Retail Sales Operations

This program oversees sales of distilled spirits, wine, and beer to retail customers and licensees through the operation of retail stores that are located throughout Montgomery County....

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  Administration

The Administration Program provides comprehensive leadership for the department including strategic planning, policy development and implementation, accountability, maintenance of partnerships with non-governmental service providers, and human resource management. This program also provides all accounting, financial, procurement, and information technology services for the department. Finance and accounting staff perform special analyses,...

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  Licensure, Regulation and Education

This program includes issuance of beverage alcohol licenses; inspecting and investigating licensed facilities to ensure compliance with all applicable laws, rules, and regulations; and serving as support staff and providing expert testimony at hearings for issuance, fining, suspension, or revocation of licenses. This program also encompasses community partnerships by defining...

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  Marketing

This program leads the marketing efforts for the department, including design and branding, advertising, internal and external communications, events, and promotions....

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Budget Trends
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Program Contacts

Contact Courtney Orsini of the Alcohol Beverage Services at 240.777.1921 or Estela Boronat de Gomes of the Office of Management and Budget at 240.777.2785 for more information regarding this department's operating budget.

Related Links
Budget Summary
TitleActual
FY21
Budget
FY22
Estimate
FY22
Recommended
FY23
%Chg
Bud/Rec
LIQUOR CONTROL
EXPENDITURES
Salaries and Wages29577132.0028543742.00 26822337.00 29147659.002.1
Employee Benefits9108989.009926722.00 9177202.00 10023992.001.0
Liquor Control Personnel Costs38686121.0038470464.00 35999539.00 39171651.001.8
Operating Expenses20024119.0016795811.00 17914425.00 19112477.0013.8
Capital Outlay866281.00250800.00 250800.00 1120800.00346.9
Debt Service Other8704806.0010831000.00 9237460.00 8860940.00-18.2
Liquor Control Expenditures68281327.0066348075.00 63402224.00 68265868.002.9
PERSONNEL
Full-Time312.00332.00 332.00 334.000.6
Part-Time144.00130.00 130.00 127.00-2.3
FTEs442.50443.80 443.80 428.80-3.4
REVENUES
Bag Tax6687.000.00 0.00 0.000.0
Investment Income14379.0091900.00 11790.00 70380.00-23.4
Liquor Licenses137820.001206955.00 1206955.00 1206955.000.0
Liquor Sales95978072.0099717348.00 97109283.00 99051469.00-0.7
Miscellaneous Revenues1006842.000.00 0.00 0.000.0
Other Charges/Fees716.0023887.00 23887.00 23887.000.0
Other Fines/Forfeitures52834.0063383.00 63383.00 63383.000.0
Other Licenses/Permits61801.00117600.00 117600.00 117600.000.0
Liquor Control Revenues97259151.00101221073.00 98532898.00 100533674.00-0.7
 
GRANT FUND - MCG
EXPENDITURES
Salaries and Wages3764.000.00 0.00 0.000.0
Employee Benefits0.000.00 0.00 0.000.0
Grant Fund - MCG Personnel Costs3764.000.00 0.00 0.000.0
Operating Expenses156410.000.00 0.00 0.000.0
Grant Fund - MCG Expenditures160174.000.00 0.00 0.000.0
PERSONNEL
Full-Time0.000.00 0.00 0.000.0
Part-Time0.000.00 0.00 0.000.0
FTEs0.000.00 0.00 0.000.0
REVENUES
Federal Grants160174.000.00 0.00 0.000.0
Grant Fund - MCG Revenues160174.000.00 0.00 0.000.0
 
DEPARTMENT TOTALS
Total Expenditures68441501.0066348075.00 63402224.00 68265868.002.9
Total Full-Time Positions312.00332.00 332.00 334.000.6
Total Part-Time Positions144.00130.00 130.00 127.00-2.3
Total FTEs442.50443.80 443.80 428.80-3.4
Total Revenues97419325.00101221073.00 98532898.00 100533674.00-0.7
FY23 Recommended Changes
TitleExpendituresFTEs
LIQUOR CONTROL
FY22 ORIGINAL APPROPRIATION66348075443.80
Changes (with service impacts)
Enhance: New Retail Point of Sale System [Administration]20000000.00
Enhance: Six New Delivery Trucks [Delivery Operations]9000000.00
Other Adjustments (with no service impacts)
Increase Cost: Annualization of FY22 Compensation Increases8838240.00
Increase Cost: FY23 Compensation Adjustment7669220.00
Increase Cost: Risk Management Adjustment2716210.00
Increase Cost: Retail Store Leases [Retail Sales Operations]2572820.00
Increase Cost: IT Contracts [Administration]2224510.00
Increase Cost: New Material Handling Equipment [Warehouse Operations]1200000.00
Increase Cost: Motor Pool Adjustment853400.00
Increase Cost: Annualization of FY22 Personnel Costs531660.00
Increase Cost: Printing and Mail Adjustment187820.00
Decrease Cost: Mid-Year Abolishment - Pooled Truck Driver [Delivery Operations]0-3.00
Technical Adj: Midyear Position Adjustment [Retail Sales Operations]01.00
Decrease Cost: Elimination of One-Time Items Approved in FY22-1500000.00
Decrease Cost: Retirement Adjustment-2376940.00
Decrease Cost: OPEB Adjustment-5388100.00
Decrease Cost: Flex Clerk Conversions [Retail Sales Operations]-765031-13.00
Decrease Cost: Debt Service [Administration]-19700600.00
FY23 RECOMMENDED68265868428.80
Program Summary
Program NameFY22 APPR
Expenditures
FY22 APPR
FTEs
FY23 REC
Expenditures
FY23 REC
FTEs
Administration1650630623.201451842824.20
Delivery Operations660213677.00693709376.23
Licensure, Regulation and Education188123910.39189972610.39
Marketing7008592.006708672.00
Retail Sales Operations30623740229.9833132402216.98
Warehouse Operations10033795101.231110735299.00
Total66348075443.8068265868428.80
Funding Parameter Items ($000s)
TitleFY23FY24FY25FY26FY27FY28
LIQUOR CONTROL
EXPENDITURES
FY23 Recommended68266.00000068266.00000068266.00000068266.00000068266.00000068266.000000
No inflation or compensation change is included in outyear projections.
Elimination of One-Time Items Recommended in FY230.000000-3815.000000-3815.000000-3815.000000-3815.000000-3815.000000
Items recommended for one-time funding in FY23, including Retail Point of Sale System, New Delivery Trucks, and New Material Handling Equipment, will be eliminated from the base in the outyears.
Debt Service0.000000-207.000000-269.000000-622.000000965.000000963.000000
Debt service estimates include Liquor Control Revenue Bonds, Master Lease Agreements for Forklifts, Delivery Trucks, and ERP system.
Labor Contracts0.0000002249.0000002249.0000002249.0000002249.0000002249.000000
These figures represent the estimated annualized cost of general wage adjustments, service increments, and other negotiated items.
Subtotal Expenditures68266.00000066493.00000066431.00000066078.00000067665.00000067663.000000
Additional Documentation

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