Division of Alcohol Beverage Control

The Executive Budget recommends (analysis as of January 30, 2004):

• An overall FTE level of 153, 6 less FTEs than in SFY2003-04.  All FTE reductions occur in the Administration program and are to be accomplished by attrition. 
• An All Funds appropriation of $13,502,000 reflecting an increase of $204,500 or 1.5 percent from the enacted SFY 2003-04 appropriation.
• A $204,000 decrease in the personal service appropriation for the Administration Program which probably reflects the 6 FTEs to be lost through attrition.  The non-personal service appropriation for this program increases by $151,000.  According to the Assembly Ways and Means Committee this increase reflects $105,000 increase in fixed costs, $99,000 increase associated with the Division’s anticipated move to the Alfred E. Smith building, a $25,000 decrease achieved by transfer of certain administrative functions, such as payroll, to the Office of General Services and a $136,000 decrease achieved by closing the Division's Syracuse office.  According to Department of Civil Service data, PEF has one member currently working out of the Syracuse office.
• A $206,500 increase in the fringe and indirect costs appropriation in the Compliance program.  The Executive Budget offers no explanation for this increase but it may be related to Executives proposal to abolish the State Liquor Authority and retain two Commissioners only on a per-diem basis for disciplinary hearings.  The increased appropriation may cover the increased per-diem expenses for the two Commissioners.
• An $117,000 increase in the fringe and indirect costs appropriation in the License and Wholesaler Services program.  The Executive Budget offers no explanation for this increase but could be related to increased per-diem expenses for two Commissioners.
• The Executive proposes legislation to abolish the State Liquor Authority and transfer its functions to the ABC.  The proposal would retain two Commissioners on a per-diem basis for disciplinary hearings.  According to the Assembly Ways and Means Committee this proposal would save $225,000 in SFY2004-05.  This proposal also would no longer require that assistants, investigators and employees in the Division be in the competitive jurisdictional class of the state civil service, which may result in the loss of civil service rights for all employees at the Division.  PEF will oppose this provision.
• The Executive also proposes legislation to authorize the ABC to increase most new filing fees for alcoholic beverage licenses and permits to reflect State administrative costs.