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North Carolina's Monopolistic System of Controlling Liquor Is Broken, but Will Lawmakers Fix

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North Carolina's Monopolistic System of Controlling Liquor Is Broken, but Will Lawmakers Fix POLITICS AND ELECTIONS 2018 CONSTITUTIONAL AMENDMENTS HIGHER EDUCATION Federal judges General Assembly What to do with reject N.C. con- approves rewritten Silent Sam? UNC gressional districts amendments for Board of Trustees after review November ballot will present plan ONLINE ONLINE ONLINE FOR DAILY UPDATES VISIT CAROLINAJOURNAL.COM AN AWARD-WINNING JOURNAL OF NEWS, ANALYSIS, AND OPINION FROM THE JOHN LOCKE FOUNDATION CAROLINAJOURNAL.COM VOL. 27 • NO. 9 • SEPTEMBER 2018 • STATEWIDE EDITION JOHN TRUMP Forgetting MANAGING EDITOR ead distiller Chris Jude steps through a door at the High Wire Distilling Co. in Charleston, South Carolina. Jude, Hwho’s from Boone, enters the tast- ing room and bar, making the short trip from the place spirits are made to the place spirits are served. our ABCs Customers sitting at the long bar can distract themselves by peer- ing through large glass windows, revealing the distillery. At the still and mash tuns, the grain and the barrels, filled with aging bourbon, sorghum, rye, and single malt whis- North Carolina’s monopolistic kies. A series of shelves to the left of the bar are filled with the distillery’s products, including amaro — a com- system of controlling liquor is pilation of macerated herbs, botan- icals, fruits — including Charleston Black Tea — and sweetened with broken, but will lawmakers fix it? sugar cane. So, what do you want to try, Ju- de, every bit the proud father, asks from behind the bar? A listing of the spirits has been laid in front of each bar stool, along with a small card — a cocktail rec- MORE STORIES IN THIS ISSUE: ipe made with High Wire products. Ruby Slippers to Old Fashioneds. Specials like a Strawberry Gin Fiz or PAGE 10: ABC cost state about $13.5 PAGE 13: Virginia is a control state, a Hat Trick Daisy, made with gin, million because it failed to properly but its model is friendly to that lemon, and habanero bitters. Whis- oversee contract, audit finds state’s distillers key flights and Irish coffee. A law passed in South Carolina PAGE 12: Recent turmoil at ABC PAGE 13: N.C. distillers want to be in summer 2017 allows the state’s suggests reforms are overdue, treated the same way state treats McGrady says breweries, wineries distilleries to sell cocktails and mixed drinks, and it doubles tasting limits — from 1.5 ounces to three. continued PAGE 8 Interview: CAROLINA JOURNAL 200 W. MORGAN STREET, #200 Steve Troxler RALEIGH, NC 27601 Ag commissioner CJ ONLINE PERMIT NO. 302 NO. PERMIT talks farms, trade, DURHAM, NC DURHAM, and tariffs. jlf.carolina.journal PAID @carolinajournal U.S. POSTAGE U.S. PAGE 18 NONPROFIT ORG. NONPROFIT www.carolinajournal.com [email protected] 2 CAROLINA JOURNAL // SEPTEMBER 2018 QUICK TAKES Former governors join Cooper in opposing two constitutional amendments t wasn’t about partisan politics, forming an official committee, rais- EDITOR-IN-CHIEF former Gov. Jim Martin said. It ing money, and running ad cam- Rick Henderson was something much worse. paigns. @deregulator Martin, and the four other liv- They also urged media outlets to MANAGING EDITOR Iing former North Carolina gov- inform the public about the amend- John Trump ernors, held a news conference ments and let voters make up their @stillnbarrel Aug. 13 in the State Capitol build- own minds on the measures — ing, standing in bipartisan opposi- though Perdue added she wanted EXECUTIVE EDITOR tion to two constitutional amend- voters to reject them. Don Carrington ments they say would limit execu- Democratic Gov. Roy Cooper [email protected] tive power. filed a lawsuit challenging the two Martin said he arranged the amendments. He argued the bal- ASSOCIATE EDITORS meeting with his colleagues Jim lot questions are misleading, unfair, Mitch Kokai Hunt, Mike Easley, Beverly Per- and incomplete. His lawyers say @mitchkokai due, and Pat McCrory because they they’re unconstitutional because Lindsay Marchello agreed the proposed amendments ballot questions must accurately CARRINGTON DON BY PHOTO CJ @LynnMarch007 — House Bill 913 and Senate Bill describe the effect of the amend- FORMER GOVERNORS. The five living former N.C. governors held a press Kari Travis 814 — would damage separation of ment. A three-judge panel agreed. conference Aug. 13 announcing their opposition to two constitutional amend- @karilynntravis powers. They also would shift too H.B. 913 creates a new ments. At lectern is Republican Jim Martin. From left, Democrats Jim Hunt, Dan Way much control away from the exec- eight-member Bipartisan Board of Mike Easley, Bev Perdue, and Republican Pat McCrory. @danway_carolina utive and judicial branches of gov- Elections and Ethics Enforcement ernment to the legislature. The gov- appointed by the legislature and INTERN ernors planned to meet with politi- outside the authority of the execu- governor to the legislature. S.B. 814 General Assembly, which would Julie Havlak cal strategist Paul Shumaker to dis- tive branch; it also wrests authori- deals with filling judicial vacancies. make nominations to the governor. [email protected] cuss ways to oppose the amend- ty for making other board and com- It creates merit commissions to rec- DESIGNER ments, including the possibility of mission appointments from the ommend judicial candidates to the Will Rierson Greg de Deugd [email protected] PUBLISHED BY Cooper urges patience as The John Locke Foundation Matthew victims wait for help 200 W. Morgan St., # 200 Raleigh, N.C. 27601 BENJAMIN PHILLIPS won’t forget as though he was living in a third- (919) 828-3876 • Fax: 821-5117 the day Hurricane Matthew plowed world country. www.JohnLocke.org into his house in Lumberton. He Repairs on his house began about Kory Swanson was watching a baseball game when two weeks before Cooper’s visit. President & Publisher news of the coming storm interrupt- The CDBG-DR grants aren’t the John Hood ed the broadcast. only disaster relief money available. “We never thought we were go- Other options include the Hazard Chairman ing to get hit like that,” Phillips said. Mitigation Grant Program, which Bill Graham, John M. Hood “You could be near the beach, and the Federal Emergency Manage- Ted Hicks, Christine Mele they got nothing like we got here.” ment Agency oversees. NCEM said Brad Muller, Paul Slobodian Matthew ravaged eastern North $82 million in HMGP funds for haz- David Stover, J.M Bryan Taylor Carolina almost two years ago in Oc- ard mitigation have been awarded Edwin Thomas tober, yet many communities strug- in North Carolina. The state has en- Board of Directors gle to recover. The storm took the couraged people to visit disaster re- lives of 31 North Carolinians and lief application sites or to call 211 for ISSN 2578-8167 Carolina Journal is a monthly journal of news, analysis, racked up at least $4.8 billion in information on the kind of help they and commentary on state and local damage. Thousands of homes and can receive. government and public policy issues businesses were destroyed in the MARCHELLO LINDSAY BY PHOTO CJ While Cooper was on his tour in North Carolina. storm and subsequent flooding. A SLOW RECOVERY. Brenda Jacobs, a Lumberton resident, shows Gov. Roy of eastern North Carolina, lawmak- ©2018 by The John Locke Foundation On Aug. 13, Gov. Roy Cooper Cooper the repairs done to her house nearly two years after Hurricane Mat- ers in Raleigh held the first meeting Inc. All opinions expressed in bylined toured Lumberton in Robeson Coun- thew tore through the area. of the re-established House Select articles are those of the authors and do not necessarily reflect the views ty and Fair Bluff in Columbus Coun- Committee on Disaster Relief. N.C. of the editors of CJ or the staff and ty to survey reconstruction efforts. Emergency Management Director board of the John Locke Foundation. Robeson and Columbus counties faced criticism over its handling of start receiving CDBG-DR money. Mike Sprayberry gave legislators an Material published herein may be re- printed as long as appropriate credit were some of the hardest hit in the the disaster. Other counties, including Columbus, update on recovery efforts. Legisla- is given. Submissions and letters are state. About $230 million in Commu- are awaiting an environmental im- tors were less hostile to NCEM than welcome and should be directed to Recovery efforts have been slow, nity Development Block Grants for pact assessment to wrap up before in previous meetings, in which they the editor. and reconstruction of damaged Disaster Relief was approved a few they can receive any CDBG-DR mon- aggressively questioned state offi- To subscribe, call 919-828-3876. buildings and roadways is still in the months after the hurricane by the ey. Cumberland, Edgecombe, and cials about the slow progress. Readers also can request Carolina works. The N.C. Emergency Manage- U.S. Department of Housing and Ur- Wayne are waiting for approval of Sprayberry said the CDBG-DR Journal Weekly Report, delivered each weekend by e-mail, or visit ment agency estimates more than ban Development. But a lengthy ap- environmental impact studies. program is ramping up. Seven appli- CarolinaJournal.com for news, links, $700 million in disaster relief money plication process and time-consum- Phillips was one of the few in cation centers are open in the state, and exclusive content updated each is on the ground, but millions in fed- ing environmental studies are keep- Robeson County to get aid through and more than 2,100 housing appli- weekday. Those interested in educa- tion, economics, higher education, eral aid has yet to reach thousands ing most of the money out of home- the HUD grant program. Phillips cations have been submitted. health care or local government also affected by the storm.
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