Governor/Legislature Authorize DABC to Reassign $1.4 Million in Funds to Keep Nine State Liquor Stores Open

Governor Gary R. Herbert announced today that he – in consultation with Legislative leadership – has authorized the Department of Alcoholic Beverage Control (DABC) to reassign $1.4 million in agency funds to forestall the closure of nine state liquor stores.

“I have always supported keeping our profitable state liquor stores open, and my budget called for zero cuts in DABC’s budget,” said Governor Herbert. “After the Legislature cut DABC’s budget, we identified $1.4 million in agency funds which could be reallocated to delay closure of some of the state liquor stores. I waited to instruct DABC to use the money until we had reached an agreement with Legislative leadership.”

It is anticipated that the $1.4 million will allow the nine stores to stay in operation until approximately February 2012. This fall, a legislatively-mandated study will be conducted to identify any possible efficiencies or changes which could be made at DABC. After that study is conducted, the Legislature will have to choose whether to appropriate further funds to prevent the closures of the stores.

The $1.4 million were originally part of funds which were appropriated for DABC building construction and which were not needed due to construction efficiencies. The reallocation of funds does not require further action by the Legislature.

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