2006 Utah Code - 32A-1-113 — Department expenditures and revenues -- Liquor Control Fund -- Exempt from Division of Finance -- Annual audits.

     32A-1-113.   Department expenditures and revenues -- Liquor Control Fund -- Exempt from Division of Finance -- Annual audits.
     (1) (a) All money received by the department in the administration of this title, except as otherwise provided, together with all property acquired, administered, possessed, or received by the department, is the property of the state. Money received in the administration of this title shall be paid to the department and transferred into the state treasury to the credit of the Liquor Control Fund.
     (b) All expenses, debts, and liabilities incurred by the department in connection with the administration of this title shall be paid from the Liquor Control Fund.
     (c) The fiscal officers of the department shall transfer annually from the Liquor Control Fund to the General Fund a sum equal to the amount of net profit earned from the sale of liquor since the preceding transfer of funds. The transfer shall be made within 90 days of the end of the department's fiscal year on June 30.
     (2) (a) Deposits made by the department shall be made to banks designated as state depositories and reported to the state treasurer at the end of each day.
     (b) Any member of the commission and any employee of the department is not personally liable for any loss caused by the default or failure of depositories.
     (c) All funds deposited in any bank or trust company are entitled to the same priority of payment as other public funds of the state.
     (3) All expenditures necessary for the administration of this title, including the payment of all salaries, premiums, if any, on bonds of the commissioners, the director, and the department staff in all cases where bonds are required, and all other expenditures incurred in establishing, operating, and maintaining state stores and package agencies and in the administration of this title, shall be paid by warrants drawn on the state treasurer paid out of the Liquor Control Fund.
     (4) If the cash balance of the Liquor Control Fund is not adequate to cover the warrants drawn against it by the state treasurer, the cash resources of the General Fund may be utilized to the extent necessary. However, at no time may the fund equity of the Liquor Control Fund fall below zero.
     (5) (a) When any check issued in payment of any fees or costs authorized or required by this title is returned to the department as dishonored:
     (i) the department may assess a service charge in an amount set by commission rule against the person on whose behalf the check was tendered; and
     (ii) if the check that is returned to the department is from a licensee, permittee, or package agent, it is grounds for:
     (A) the suspension or revocation of the license or permit; or
     (B) the suspension or termination of the operation of the package agency.
     (b) The revocation of a license or permit under this Subsection (5) is grounds for the forfeiture of the bond of the:
     (i) licensee; or
     (ii) permittee.
     (c) The termination of the operation of a package agency under this Subsection (5) is grounds for the forfeiture of the bond of the package agency.
     (6) The laws that govern the Division of Finance and prescribe the general powers and duties of the Division of Finance are not applicable to the Department of Alcoholic Beverage Control in the purchase and sale of alcoholic products.

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     (7) The accounts of the department shall be audited annually by the state auditor or by any other person, firm, or corporation the state auditor appoints. The audit report shall be made to the state auditor, and copies submitted to members of the Legislature not later than January 1 following the close of the fiscal year for which the report is made.

Amended by Chapter 314, 2003 General Session