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Council approves resolution for ABC Store to create a reserve fund

COLUMBUS—The Town of Columbus is looking to stop leasing a building for its ABC store. 

Columbus Town Council met recently and approved a resolution to allow the ABC store to create a reserve fund to save money to buy or build a building. 

The town has leased a building for many years in the Food Lion shopping center off Mills Street for its ABC store. 

The resolution states that the ABC board wants to save money and improve the financial condition of the store by planning for future capital improvements and opportunities which may include relocation through the purchase of land and construction of a freestanding store or the purchase of an existing building. 

The resolution waives the agreement between the town and the ABC store for the store to distribute profits to the town and instead allows the ABC Board to save money for a new store. 

Following is the resolution approved by the town: 

Resolution approving distribution waiver and creation of a capital reserve fund for the Columbus ABC Board

WHEREAS, The Columbus ABC Board wishes to save money and improve the financial condition of the store by planning for future capital improvements and opportunities which may include relocation via purchase of land construction of a freestanding store or purchase of an existing building that suits the needs of the store; and

WHEREAS, The Town of Columbus Town Council understands the long-term value of this desire and agrees with the vision of the ABC Board; and

WHEREAS, The Town of Columbus Town Council understands that the goal of independence for the ABC store will be realized more quickly if profit distributions to the town are temporarily withheld in order to contribute to a capital reserve fund; 

NOW THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF COLUMBUS, That the Columbus ABC Board is hereby granted express permission to create a capital reserve fund in accordance with NCGS 18B-805 for the purpose of saving funds for the future purchase or construction of a new ABC store. 

BE IT FURTHER RESOLVED, that the Columbus ABC Board is hereby granted a waiver of profit distributions to the Town of Columbus for a period not to exceed 5 fiscal years, beginning in fiscal year 2021/2022, with explicit understanding that any funds which would have been allocated for profit distribution to the Town of Columbus be re-allocated as contributions to the capital reserve fund, which shall not be used for any other purpose unless declared by the Town of Columbus Town Council.