Control State News October 4, 2018

VA: Will you try the fusion of Taco Bell fare and alcohol? Region's NABCA HIGHLIGHTS first Taco Bell Cantina nears opening The Public Health Considerations of Fetal MI: Michigan Legislature votes to ban marijuana-infused Alcohol Spectrum Disorders (White Paper) Native American Nations & State Alcohol License State News Policies: An Analysis (White Paper) ND: Mandan looks to create 'beer and only on sale' Alcohol Technology in the World of license Tomorrow - (White Paper) The Control State Agency Info NJ: New Jersey Puts Microbrewery Regulations on Ice Sheets. Please view website for more information. International News NABCA Survey Database (members only) Ireland: After 1,000 days of debate, the government's landmark Upcoming NABCA Meetings alcohol legislation has been passed Statistical Data Reports Australia: New training requirement for NSW liquor licensees www.NABCA.org Industry News

Japanese craft beer association begins US marketing campaign California wine hopes to uncork Canada's alcohol policies in new trade agreement Education News How Fraternity Culture Encourages Excessive Drinking

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CONTROL STATE NEWS VA: Will you try the fusion of Taco Bell fare and alcohol? Region's first Taco Bell Cantina nears opening. Washington Business Journal By Michael Neibauer – Associate Editor, Washington Business Journal October 3, 2018 Start prepping your digestive system now: The region’s first Taco Bell Cantina is expected to open in a matter of weeks. A Taco Bell spokesperson tells us the Cantina, which sells traditional Taco Bell fare in addition to alcohol and shareable appetizers, should be open by mid-November at 417 King St. in Old Town Alexandria. A woman sitting outside the restaurant on Tuesday has been charged with hiring 35 people in advance of the opening, which she put at six to eight weeks. The Taco Bell Cantina will be located in a storefront fronting King Street within Square, a 171,0008-square- foot development bounded by King, Royal, Cameron and Pitts streets. The restaurant will have 52 seats inside and 20 outside and be open from 7 a.m to 2 a.m. Outdoor dining will close by 11 p.m., as the City Council required. The restaurants typically feature an open kitchen and alcohol — namely beer, wine and “twisted freezes.” TB Cantina LLC applied for its liquor license in July. It is still pending. Taco Bell Corp., a subsidiary of Louisville, Kentucky-based Yum! Brands Inc. (NYSE: YUM), has opened 17 Cantina restaurants across the U.S., with plans to open dozens more in 2019. Tavern Square was sold in June to a joint venture of funds managed by Wilton, Connecticut-based Westport Capital Partners LLC and affiliates of Galaxy Investments LLC. The new owners plan to revitalize the property by modernizing the lobbies, common areas and exterior, to add tenant amenities like a fitness center and conference facility.

MI: Michigan Legislature votes to ban marijuana-infused beer The Oakland Press October 3, 2018 LANSING (AP) — Legislation going to Gov. Rick Snyder for his expected signature would prohibit marijuana-infused alcoholic drinks in Michigan. The state House approved the bill Tuesday, on a 101-4 vote. The measure would the use, possession or sale of marijuana-infused beer, wine, liquor and mixed drinks. Supporters say the bill is a pre-emptive move in case Michigan voters next month legalize marijuana for recreational use. They say marijuana-infused alcohol could exacerbate intoxicated driving. Opponents say the legislation is a solution to a nonexistent problem because there is no commercial market for marijuana-infused beverages at this time. They say even if the ballot initiatives passes, liquor establishments could not sell marijuana beverages because of a federal pot ban. The bill includes an exception for research institutions. House Bill 4668.

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LICENSE STATE NEWS ND: Mandan looks to create 'beer and wine only on sale' liquor license KFYR TV October 3, 2018 MANDAN, N.D. - Mandan will soon see the creation of a new liquor license. The "beer and wine only on sale" liquor license. "On sale" meaning that beverages sold under this license should be consumed at the location. The difference between this and other licenses is that it isn't connected to food sales, and is cheaper. "People are interested in types of concepts, and places where you can enjoy a glass of wine in a more quiet atmosphere," said Mandan Business Development and Communications Director Ellen Huber. The license will come up one more time at the city commission where they will review the requirements and set the fees for the license.

NJ: New Jersey Puts Microbrewery Regulations on Ice Under a now-suspended regulation, New Jersey microbreweries would be limited in the private and public events they can host NBC 10 By Mike Catalini October 3, 2018 New regulations to limit the number of events craft breweries in New Jersey can hold were put on ice Tuesday. Just a few weeks after the state's Division of Alcoholic Beverage Control issued rules on Sept. 21 limiting the state's roughly 90 microbreweries to 25 on-site activities a year, the office said it was suspending the regulations. "We want to make sure that we get this right," ABC Director David Rible said in a statement. Rible says the division will work with stakeholders to understand concerns and consult with lawmakers on potential changes. The reversal comes after the initial rules led to some pushback from legislative leaders, including Democrats Senate President Steve Sweeney and Assembly Speaker Craig Coughlin. Democratic Gov. Phil Murphy said Monday the rules surprised him and pledged to look into it. A day later, the division announced the about-face. The rules stemmed from an attempt to clarify a 2012 law that allowed the breweries to serve their on-site. They would have limited microbreweries to 25 on-site activities each year, such as trivia nights and live performances. It also called for barring them hosting more than 52 private parties each year or showing sports on television unless it counted as one of their 25 special events. Eric Orlando, executive director of the Brewer's Guild of New Jersey, said the group is happy to now be included in the decision-making process and added that most brewers would say the latest development was good news. Though, he said, the degree to which the regulations would have affected breweries depended on each brewery's business model. New Jersey's liquor laws limit retail licenses based on population. With a limited number of licenses in each town, and with some towns choosing not to allow any alcohol sales, demand for the licenses can drive up the price retailers pay. NABCA Daily News Update (10/4/2018) 4

That leads establishments to worry that microbreweries could be diluting the value of their licenses. Some license holders, like bars and restaurants, also raised concerns that they faced a separate set of rules compared to breweries. Coughlin said in a statement he applauds the decision to halt the regulations and wants to work with the division and "address the needs of microbreweries and help New Jersey small businesses continue to thrive."

INTERNATIONAL NEWS Ireland: After 1,000 days of debate, the government's landmark alcohol legislation has been passed The bill, first introduced in 2015, finally passed through the Oireachtas this evening. TheJournal.ie By Christina Finn October 3, 2018 THE LONG-DELAYED Public Health Alcohol has finally passed all stages of the Oireachtas this evening, after more than 1,000 days of debate. The wide-ranging piece of legislation was first published in 2015, and provides for changes such as minimum pricing on alcohol, restrictions on advertising and stark warning labels on alcohol products. A range of amendments were proposed at the various stages of the Bill as it went through the Dáil and Seanad, before it was finally passed today. Speaking in the Dáil this evening, Health Minister Simon Harris praised advocates who had supported the legislation, and said it would bring about huge change in Ireland. “This is the first time in the history of our State we have endeavoured to use public health legislation to address issues in relation to alcohol, so it is therefore a groundbreaking measure,” Harris said. We are legislating for alcohol as it affects our health… we know we have a relationship with alcohol in this country that is not good, that damages our health, that harms our community. This will help to change the culture of drinking in Ireland over a period of time. The Bill is a landmark piece of legislation for the government, with the minister stating in the past that he is determined the new law will achieve its policy objectives of reducing alcohol consumption and the harms caused by the misuse of alcohol. Other provisions of the Bill include the separation and reduced visibility of alcohol products in mixed trading outlets and the regulation of the sale and supply of alcohol in certain circumstances. In a statement, Alcohol Action Ireland said it looks forward to the Bill being enacted in the near future. “Soon, Ireland will commence the implementation of the Bill; the measures as designed, when implemented coherently and cohesively, and in a timely manner, will make a significant difference, over time, to reducing Ireland’s excessive alcohol consumption, altering our and ultimately protect our children,” it said.

Australia: New training requirement for NSW liquor licensees The Shout By Andy Young October 4, 2018 Liquor and Gaming NSW has introduced two new higher level training courses for licensees and approved managers, to enhance liquor industry training standards across the state. The new courses will be available from 1 November and will become mandatory from 1 April 2019. NABCA Daily News Update (10/4/2018) 5

In a statement about the training Liquor and Gaming said: “The new Tiered Industry Training Framework recognises that managing a hotel, bar or club is an important job with a lot of responsibility. “Building on existing Responsible Service of Alcohol (RSA) training, the new framework ensures frontline staff, licensees and approved managers are trained at a level relevant to their roles. “The new courses are designed to support operators of licensed premises in meeting their obligations under NSW liquor laws, while providing safe, vibrant and welcoming environments for patrons.” The new courses consist of licensee training, which is for most licensees, approved managers and club secretaries and also advanced licensee training, which is an additional course for operators of licensed venues in higher risk environments, such as those trading after midnight. Liquor and Gaming said that any new licensees who apply for a licence from 1 September 2018 and need to undertake the training will initially have until 1 April 2019 to complete it, while new licensees who apply for a licence from 1 April 2019 will be required to complete the training before making an application. Then from 1 April 2019, existing licensees will be required to complete the training as their current NSW competency card expires over a five year transition period. The regulator also said that more information will be available when the new courses are rolled out from next month.

INTERNATIONAL NEWS Japanese craft beer association begins US marketing campaign FoodBev Media By Jules Scully October 4, 2018 An industry association of 22 Japanese craft beer makers has launched a US marketing campaign as it aims to showcase the “authenticity, richness and unique flavour profile” of its craft beer offer. The ‘Drink in a New Language’ initiative is being carried out by association Japanese Craft Beer and JFOODO (Japan Food Product Overseas Promotion Center) to target both industry professionals and consumers across the West Coast. Over the course of the next year, the group hopes to introduce new beer to the market through continuous trade marketing relations, consumer events, PR and social media. A recent study by JFOODO among 447 craft beer consumers in New York, San Francisco and Los Angeles found that 80% of respondents would want to try craft beer from Japan. The country’s beer offering is said to be positioned to answer a demand for low-malt beer in the US. “Japanese craft beer boasts unique attributes that are sure to appeal to American consumers,” said Hiroki Oizumi, JFOODO director general. “Beer lovers will discover quality brews of great character that are handcrafted with extreme attention to detail and unique ingredients from all corners of Japan such as yuzu, sansho (Japanese pepper) or matcha.” Born in 1994 following industry deregulation that allowed smaller beer makers to acquire brewing licenses, the Japanese craft beer movement has its roots firmly planted in traditional sake making. While German beer styles ruled at first in the 1990s and early 2000s, the industry has since widened its product portfolio to include seasonal pale ales, stouts and IPAs. To be considered craft brewers, Japanese beer makers need to produce a minimum of 60,000 litres of beer a year.

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Toshiyuki Kiuchi, vice president of Kiuchi Brewery which known for its Hitachino Nest Beer, said: “While our beer is inspired by Western traditions, many differentiating factors contribute to making our products unique, including the impact of 190-year-old sake brewing traditions, local ingredients and a dedication to craftsmanship that can only come from Japan.” Yusuke Miyakoshi, overseas sales manager at Yoho Brewing, added: “The American market is obviously a top market for Japanese craft beer exports. We want our beer to inspire Americans to be curious, try new things and realise the care and expertise Japanese craft brewers put into every single can of beer.”

California wine hopes to uncork Canada's alcohol policies in new trade agreement Los Angeles Times By Geoffrey Mohan October 4, 2018 Wine exporters in California and other states will get equal treatment for their bottles on the grocery shelves of Canada’s westernmost province under the terms of the renegotiated United States--Canada Agreement. The California-dominated wine industry has spent four years fighting a policy allowing grocery stores in British Columbia to favor domestically produced wine over imports. In a side letter that was part of the new trade agreement announced last weekend, the Canadian government agreed to end that policy by next year, and the U.S. said it would halt its complaint before the World Trade Organization. The U.S. exported $1.5 billion in wine last year, 97% of it from California. Canada was the biggest single-country destination, buying $444 million worth last year, second only to the 28-member European Union, which purchased $553 million in U.S. wine, according to the Wine Institute, a San Francisco-based association representing California winemakers. Canada has gradually been relaxing its policies on alcohol sales, allowing wine to move onto grocery shelves. But as in the U.S., Canadian provinces can set their own sales policies. British Columbia opted for a local-only approach, effectively segregating U.S. bottles to a store within a store at 29 grocery outlets licensed to sell alcoholic beverages. Grocery sales are by far the biggest market drivers in retail wine, so the move has been welcomed in California’s wine region, said Charles Jefferson, vice president of federal and international public policy for the Wine Institute. Still, the new pact does not alter discriminatory sales practices in Ontario, a market four times the size of British Columbia’s. Those practices predate the original North American Free Trade Agreement and were left intact both in that accord and the new agreement. In addition, the new agreement allows Quebec to limit sales to bottled in the province, according to the draft of the accord released Monday. Ottawa’s concession on British Columbia policy could be a wedge to pry open markets in larger provinces, particularly Ontario, which is set to expand wine sales to convenience stores, Jefferson said. “We think it sends a clear message to other provinces that discriminatory policies are not the way to go,” Jefferson said. Reaction from Canada was less enthusiastic. Miles Prodan, head of British Columbia’s Wine Institute, told the Vancouver Sun that the majority of the 29 retail licenses at grocery stores are “grandfathered” and won’t have to comply with the new regulations. The new trilateral deal among the U.S., Canada and Mexico rejiggers NAFTA to include more protection for the U.S. auto industry, additional protections for intellectual property rights and wider access to the highly controlled Canadian dairy sector. It will have to be ratified by all three countries. Congress probably won't act until next year, after midterm elections that could shift one or more branches toward Democrats. NABCA Daily News Update (10/4/2018) 7

EDUCATION NEWS How Fraternity Culture Encourages Excessive Drinking New research finds alcohol consumption is higher in chapters where members are expected to assert their masculinity. Pacific Standard By Tom Jacobs October 3, 2018 The intersection of excessive drinking, fraternity culture, and sometimes-violent misogyny has been highlighted in recent weeks, given the controversy surrounding Yale University graduate and Delta Kappa Epsilon brother Brett Kavanaugh. Many accounts have emerged linking DKE in general—and Kavanaugh in particular—with heavy drinking and abusive behavior. Sunday night, HBO's John Oliver referred to him as "Judge Animal House." Before the toga-party clichés start circulating, it's worth looking at the research and asking: Does fraternity membership encourage such behavior, or simply enable it? In other words, are hard-drinking, groping-prone guys attracted to fraternities, or does fraternity life shape them in that unfortunate direction? New research suggests the answer is: probably both. In a timely new study, Adam McCready of Salem State University reports both the level of alcohol consumption, and the level of hyper-masculinity that defines a fraternity's culture, varies enormously from one chapter to another. He also finds a strong link between the two. Comparing the attitudes of 76 chapters of the same fraternity at different universities across the United States and Canada, he found a relationship between the amount of drinking members indulge in, and the degree to which homosexuality is perceived as bad or shameful by chapter members. Altogether, 44 percent of the difference in alcohol consumption between chapters can be attributed to their culture regarding this issue. Basically, if you as a member are expected to act in stereotypically masculine ways, you're at a higher risk of drinking heavily and habitually. The study, in the journal Psychology of Men and Masculinity, analyzed the results of a large-scale survey of undergraduate members of a major fraternity (which is unnamed in the paper). Altogether, 2,678 members from 76 colleges or universities participated. All were asked a series of questions about their alcohol consumption, including how frequently they drink, how many drinks they have at a session, and how often they binge drink. They also filled out a detailed questionnaire designed to discover the extent to which they conform to traditional masculine norms. These norms include emotional control ("I never share my feelings"), winning ("In general, I will do anything to win"), sexual adventurousness ("If I could, I would frequently change sexual partners"), and violence ("I am willing to get into a physical fight if necessary"). One group of questions focused on "heterosexual self-presentation," or the perceived need to emphasize one's macho qualities. Participants noted the degree to which they agreed with statements such as "I would be uncomfortable if someone thought I was gay" and "I try to avoid being perceived as gay." McCready created composite scores for each participant, as well as overall scores for each chapter. The latter indicate the culture of the chapter, which members often feel pressured to conform to. He reports members of chapters with a strong affirm-your-straightness culture were more likely to drink heavily than those in less-homophobic chapters. As noted earlier, this effect was quite large, explaining 44.2 percent of chapter-to-chapter variation in alcohol use.

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"Alcohol consumption may serve as a mechanism for members of chapters with homophobic climates to maintain and prove their masculinity," he writes. Drinking may also increase "their willingness to be intimate with their peers, and engage in other perceived 'feminine' behaviors that would otherwise be acceptable in homophobic chapters." McCready emphasizes that this atmosphere is just one factor that contributes to heavy drinking. "Individual differences in conformity to traditional masculine norms may better explain the drinking behaviors of fraternity men than collective masculine-norm climates," he writes. He adds that other relevant experiences include "their pre-college socialization"—such as the drinking that was allegedly rampant at the exclusive prep school Kavanaugh attended before being admitted to Yale. So, it seems some male students who love beer are indeed drawn to fraternities—and the sexist culture at some fraternity chapters apparently exacerbates this proclivity. It's hard to "just say no" in an atmosphere where you're expected to assert your masculinity, and drinking is a conspicuous way to do just that.

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