MONTGOMERY, Ala. — Sen. Chris Elliott, R-Josephine, a member of Legislative Contract Review Committee, placed temporary holds on about $80 million in state contracts Thursday — the committee’s entire monthly agenda — in an effort to pressure the Alabama Alcoholic Beverage Control Board into complying with a 2023 law.
That legislation, sponsored by Elliott, mandated that the ABC Board accommodate online training for hospitality employees involved in alcohol service. About 18 months later, however, Elliott says the ABC Board has yet to fully comply with what is now state law, leading him to request that contracts from about two dozen state agencies be placed on hold in what he called a “fairly dramatic step.”
“Two legislative sessions ago at the request of many of my constituents, I sponsored (a bill) enabling Alabama liquor licensees to complete the Responsible Vendor Program training online; the ABC Board did not like this legislation and made several unsuccessful attempts to alter it during the legislative process,” Elliott said at the beginning of the meeting.
“The legislative intent of this law was to make it easier for Alabama businesses to train their employees in the responsible service of alcohol and to remove barriers which may impede their ability to do so, something you’d think our ABC Board would find desirable. Some 18 months have passed since the governor signed this statute into law, and the ABC Board has still not promulgated the rules as directed by this act.”
Other contracts before the committee Thursday included a more than $50 million design contract from the Alabama Department of Transportation related to the West Alabama Corridor Project, a priority of Gov. Kay Ivey. Also held up were a series of Department of Conservation and Natural Resources contracts for improvements at various state parks and a few Alabama Department of Education contracts with service vendors.
Still, Elliott did not budge, and further expressed his frustration over what he called the ABC Board’s effort to slow roll and sabotage a 2023 law he sponsored to require online training, administered by ABC, of alcohol servers in the state. He also said he’s had multiple conversations with ABC leadership in recent months, but still hasn’t seen an effort to implement the 18-month-old law.
Dean Argo, head of communications for the ABC Board, told Alabama Daily News Thursday in an email that online training is already allowed for the board’s Responsible Vendor Program, and “has been taking place for some time.”
The dispute has largely been over the ABC Board having yet to amend its rules related to training, specifically Administrative Code 20-X-12-09, which still requires that “the format of the course of instruction shall include face-to-face training and question and answer opportunities.”
Argo said that Elliott’s bill “did not require the ABC Board to promulgate rules or change any existing rules.”
Elliott and supporters want the training and testing to be completely remote.
“(Argo’s) correct, it did not specifically say they had to promulgate a rule, but they have rules that are contrary to the law, and they should update their rules to comply with the law,” Mindy Hanan, executive director of the Alabama Restaurant and Hospitality Association, told ADN.
Elliott said the ABC Board’s rules now “directly contradict” state law, and as they’re written today, are “obviously not conducive to online training.”
Elliott’s bill doesn’t require participation in the RVP, but does make it easier by putting the training and testing online.
There are two reasons participation is important, Hanan said: It allows for a discount on establishments’ liquor liability insurance and they can allow employees ages 18, 19 or 20 to serve alcohol. Those who don’t participate have to have servers age 21 and older. The age was lowered by state law for RVP users to address a workforce shortage, Hanan said. But currently, because the exam is burdensome, only about 20% of restaurants are certified within the program, Hanan said.
“I would think the state of Alabama would want as many people as possible trained in the responsible serving of alcohol,” she said.
Training includes identifying underage customers. The law went into effect immediately after it was signed in May 2023. An update on the rules is on the ABC board’s Nov. 14 agenda. They were also on last month’s agenda.
But Elliott said he’s tired of waiting. He told ADN he plans to pre-file a bill to mandate a course of action by the ABC Board that allows training and testing to be done solely online. And should the board not comply within 120 days of passage next year, “the board may no longer operate any liquor store,” Elliott said.
The ABC board operates about 170 retail stores and says they are revenue generators for the agency and state. Some lawmakers in recent years have said liquor sales should be privatized, but the board has fought those proposals.
The contract review committee cannot kill state contracts, but one member can delay a contract for up to 45 days. Never in recent history has an entire monthly agenda of contracts been delayed.
After Elliott’s announcement that he was holding all contracts, agency representatives were still allowed to present to the committee as usual. Several representatives asked the body to let their contracts move forward, saying a delay would disrupt their functions.
Among them was Joel Blankenship of the Alabama Athletic Commission, appearing before the committee with a $106,800 contract with Parris Enterprises for administrative services. Blankenship asked the committee to allow the contract to proceed.
“Parris Enterprises, their sole occupation is managing our board and commission,” Blankenship said. “If we do not have staff to do that, that will shut down all pro wrestling, MMA, Toughman (boxing), everything because we wouldn’t be able to ensure the health or anything, and it’s going to cost the loss of significant value to other people. With respect sir, we can’t control what the ABC Board does.”
One committee member, Sen. Billy Beasley, D-Clayton, took issue with Elliott holding all state contracts, expressing his concern with the body.
“I know that the senator must have a solid reason for holding up all the contracts, but I think it’s unfair for the agencies to come here and present their case and have a blanket objection to any of the contracts being approved,” Beasley said.
Rep. Chris Pringle, R-Mobile, said he “kind of” agreed with Beasley’s concerns, but that it was Elliott’s prerogative to do so as a member of the committee.
Elliott said that he will continue to hold the contracts until the ABC Board amends its rules, which he hopes happens next week. As to the concerns expressed by Beasley, Elliott said he agreed that holding the contracts was unfair to the other state agencies, but that the blame rested squarely on the ABC Board.
“It is unfair, and my answer to that is to call the ABC Board,” he told ADN. “It is unfair to the businesses that I represent that they can’t move forward with a statutorily authorized program; they need to move along on this. But (Beasley) is right, Rep. Pringle is also right.”
Alabama Daily News’ Mary Sell contributed to this report.