‘We Didn’t Have Time’: Inside TABC’s $ 8.5 million ‘stony’ web launch and how it affected Texas business
AUSTIN (KXAN) – Workers at the Texas Alcoholic Beverage Commission came on a deadline back in August. For two years, the agency worked on building a new web portal where bar and restaurant owners could apply for an alcohol license.
It was going to be a big step up from a system that required owners to apply for and renew their licenses in person.
“For years, I would take a trip up to headquarters for a renewal, and I would take two copies, stamped,” said Bob Woody, who owns more than 20 businesses in Austin. “I would post this, give it to all leaders, all, and we would be safe.”
In 2019, the Texas legislature allocated nearly $ 10 million to the TABC to update – what it called – an ‘obsolete’ system. (The agency had to return $ 1.3 million halfway through development due to budget cuts, according to the TABC Chief Financial Officer.) But the money came with a deadline.
TABC was to update its rules, application forms – and go live with the new website by September 1, 2021. Two years after taking on the project, the rollout of the new system, called AIMS, has been anything but hassle-free.
“Some have been forced to open without permission”
Nearly two months after its release, licensing consultants, business lawyers and commissioners, who had called about the problematic rollout of AIMS, spoke at a commission meeting in October about the countless flaws in the system.
A Dallas-based attorney who helps companies apply for alcohol-related licenses said virtually all encounters with the new AIM system have been a “technological problem or a communications problem.”
“Since the launch, some have [clients] have been forced to open without permits and unable to process their AIMS applications, ”said David Denney, who was invited by the commission to share his experience back in October. Denney added that TABC’s licensing department has worked diligently to create solutions for its customers.
His colleague told the commissioners that the instructions for AIMS were generally unclear, midway through filling out applications the portal forced them out, and emails asking for guidance were not answered for up to a week in some cases.
“Not only have we experienced problems, but we know with almost certainty that mom and pops trying to do this on their own will almost certainly run into them,” The Denney Law Groups lawyer Chelsea Masters told the commission in October. 28.
Austin-based attorney Kyle Hill told the commission it had been a ‘rocky’ road since AIMS was launched.
“The truth for us is that we’ve had dozens of licensing issues since Sept. 1. The truth for us is that it’s because we’ve found out the end around to get things filed in the system,” Hill said.
TABC Chairman Kevin Lilly, Commissioner Jason Boatright and Commissioner Hasan Mack also expressed concern after hearing from business owners – and licensed lawyers since the rollout.
“There is the suggestion that the problems are small and a driving force to minimize the problems,” TABC Commissioner Jason Boatright said at a Oct. 28 meeting. “The people who have reached out to me say, ‘Look, that thing does not work. It just does not.'”
TABC spokesman Chris Porter says since September that TABC has responded to more than 9,200 requests for assistance from businesses across the state. Porter clarifies, however, that not everyone fits the definition of a complaint. From November, the agency identified 64 problems with the system. TABC says it is still working to resolve 17 of these issues.
‘We ran out of time’
Back in 2019, TABC hired Texas-based web developer Sistema Technologies to build the new licensing portal. The company boasts on its website that it has developed a website for at least one other Texas government agency, Texas Health and Human Services.
According to TABC, Sistema Technologies will not be fined or penalized for errors in the AIMS system. However, the company is contractually obliged to bear the costs of remedying these deficiencies. TABC will pay for updates to the websites, according to Porter. Already, the agency has spent more than $ 67,000 on system updates. Porter says the agency anticipated the need for updates and budgeted $ 64,000 to do so.
“Defects and problems after launch are an expected part of a transformative technology launch like this,” Porter said. “The vendor has also gone out of its way to make changes at some point by implementing major updates to AIMS twice a week for about five weeks.”
In October, TABC Chief Information Officer Rheda Moseley told commissioners that the agency was only able to beta test the website with industry leaders for 8 days before it went live across the country. At that time, TABC was still working on migrating data to the new system.
“The money runs out on August 31st at the end of the biennial. We should have everything ready and ready to roll out. We did not have that time, “said Moseley. “If I had 60 days or even 30 days that I could have taken with the industry, I would have jumped at it.”
Porter said the money the state legislature allocated to the agency for its technology transition should be used within the correct deadline – and that the agency ran the risk of delaying the process further.
Porter says the agency has extended renewals, waived late fees, and has accepted paper applications from companies experiencing an AIMS issue.
“Companies rely on TABC to get their licenses active and be able to get started and any obstacle to it – whether it’s a statutory obstacle or something like AIMS where they are not used to the system or the system not working properly – we take this extremely seriously, “said Porter.” We understand that it will be a matter of livelihood for this business owner. “
Porter said 60 percent of eligible companies have successfully registered their licenses and licenses using AIMS. According to TABC, during the month of October alone, nearly 3,000 business units registered their licenses.
“I think the number of people starting a business in Texas has not been greatly affected by the launch of AIMS, and people are still able to do what they do, in slightly different ways, and in “In some cases, we have to resort to these older methods of getting people into the business,” said Porter.
Outside the Blind Pig at Austin’s 6th St, Woody says the web portal has worked for his businesses. He chalks the flaws with the side to necessary growth pains for the state.
“Everything is difficult in the beginning,” Woody said. “I support it. I think it’s a good thing. I think in time we will get more positive out of it.”

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