Internal Audit at the Texas Alcoholic Beverage Commission as of June 26, 2017 Page: 4
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Executive Summary
Background Information
In 1935, the Legislature created the Texas Alcoholic Beverage Commission (formerly the Texas Liquor
Control Board).
The Texas Alcoholic Beverage Commission (Commission) is the state agency that regulates all phases of
the alcoholic beverage industry in Texas. The duties of the Commission include regulating sales,
taxation, importation, manufacturing, transporting, and advertising of alcoholic beverages.
The Commission collects in excess of $300 million annually in taxes and fees from alcoholic beverage
license and permit fees, alcohol beverages taxes, cigarette taxes, and revenue collected on audits. This
revenue aids in the financing of the state's public schools, local governments, research, human services,
and other areas in which state government provides services to all Texans and is deposited into the
General Revenue Fund.
The Licensing Division is authorized seventy-seven (77) full-time-equivalent employees for fiscal years
2016 and 2017. The Licensing Division functions are aligned at headquarters as well as in five regions
across the state with regional offices in Lubbock, Arlington, Houston, Austin, and San Antonio. The
Licensing Division investigates and processes applications for all phases of the alcoholic beverage
industry, including the manufacture, sale, purchase, transportation, storage, and distribution of alcoholic
beverages. The division must ensure that each applicant qualifies to hold such license/permit and adheres
to all applicable regulatory requirements. Licenses and permits are issued for a period of two years. In
fiscal year 2016 approximately 82,386 licenses and permits were issued.
Three web-based systems used by the Licensing Division in the processing of license/permit applications
in the state regional offices and TABC Headquarters are:
" Agency Reporting Tracking System (ARTS):
ARTS is the internal TABC database for used to track work processed by personnel
located at headquarters and in field offices. The system is used to track various license
applications (originals, renewals and supplementals), cases, complaints and protests.
Submitted license/permit original applications are entered into ARTS to begin
documenting the application activities which may also include results from inspections
and investigations conducted by Audit and Investigation and Enforcement Divisions.
" Versa:Regulation (VR):
(512) 380-0799 608 Morrow St., Suite 101, Austin, Texas 78752 Fax (512) 380-07974
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Monday Rufus & Co., P.C. Internal Audit at the Texas Alcoholic Beverage Commission as of June 26, 2017, report, June 26, 2017; Austin, Texas. (https://texashistory.unt.edu/ark:/67531/metapth1033199/m1/4/?rotate=180: accessed July 17, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu.; crediting UNT Libraries Government Documents Department.