Quick answer: The Texas Alcoholic Beverage Commission (TABC) generally sorts each alleged violation into one of two groups: public safety violations (conduct that threatens public health, safety, or welfare, such as selling to a minor or overserving) and regulatory violations (compliance failures with no direct public-safety threat, such as late excise-tax filings or improper advertising). The penalty charts for both groups are non-exclusive, so TABC can still act on conduct that is not specifically listed. The group a violation falls into drives how it is penalized, whether longer suspensions are likely, and how TABC handles the case.
Why classification matters
Two violations can carry very different consequences depending on their category. Public safety violations generally lead to longer administrative suspensions, and some underlying conduct, such as selling to a minor, can also carry criminal charges depending on the facts. Regulatory violations more often result in fines or shorter suspensions. The category also shapes what follows: a public safety violation puts the business on a priority list, and TABC agents conduct additional inspections at the location over the next six months to verify compliance. The category further affects whether an educational alternative, like the PACE program, is available.
The two violation categories
| Category | What it covers | Examples | Penalty tendency |
|---|---|---|---|
| <strong>Public safety</strong> | Conduct threatening public health, safety, or welfare | Selling or serving alcohol to a minor or an intoxicated person; overserving; allowing intoxicated persons on the premises; selling during prohibited hours | Longer suspensions; six months of follow-up priority inspections; possible criminal charges for some conduct |
| <strong>Regulatory</strong> | Compliance failures with no direct public-safety threat | Prohibited relationships between tiers; late excise-tax reports or payments; failure to display a license or post a required sign; improper advertising | Fines or shorter suspensions |
Public safety penalties come from 16 TAC §34.2 (the Schedule of Sanctions and Penalties for Health, Safety and Welfare), with the schedule itself set out in the figure at §34.2(e). Regulatory penalties come from §34.10. Both charts are non-exclusive: if a specific statute or rule is not listed, TABC still has authority to enforce it. For a violation that does not appear by name in either chart, the dividing question is the same one the categories are built on: does the conduct put the public at direct risk of harm, the way serving a minor or an intoxicated person does, or is it a compliance failure with no such danger, like a paperwork or display lapse? That question, not whether the exact violation is named, is what places it in one track or the other.
How a violation is scored
The two categories are scored under different rules. Within each, TABC assigns violations to severity-based tiers. For regulatory violations, the base penalty is $250, $500, or $1,000 (§34.10), depending on the violation type and license involved. That base can be increased or decreased based on the number of violations and the surrounding circumstances, following TABC’s published Penalty Policy.
A separate factor can raise a penalty for a repeat offender: when a licensee has previously violated the Code, TABC may add the economic benefit the business gained from a violation. This discretionary factor exists so that breaking the rules and paying a fine does not become, in effect, just a cost of doing business.
For public safety violations, the specific day counts are set per violation in the §34.2(e) schedule, and they vary by the conduct involved rather than following a single first-offense figure; a business should read the entry for the specific alleged violation. Each public safety sanction other than cancellation can also carry an optional monetary penalty of $300 per day of suspension.
What happens after a violation is found
When TABC finds a violation, it sends an administrative notice to the email listed as the “Primary” user on the business’s AIMS account. From there, the business can typically:
- Review the alleged violation in AIMS
- Accept a settlement offer, if one is made (a civil penalty and/or a temporary suspension or cancellation, confirmed by a waiver order)
- Reject the offer and request a hearing, which sends the case to TABC’s General Counsel’s Office and on to an administrative law judge
One important exception: a violation that directly or indirectly caused death or serious bodily injury is referred straight to TABC’s legal services division, without a settlement offer.
Is there an alternative to penalties for minor mistakes?
When TABC receives an initial, vague complaint alleging a nonviolent offense, it may enroll the business in the PACE program for two years instead of opening an investigation. Eligibility depends on the complaint’s seriousness and specificity, the business’s complaint and violation history, and the risk to public safety. PACE provides free educational materials; it does not stop TABC from investigating new complaints or running compliance operations, and a new violation during the two years ends it.
In practice
Picture a bar cited in the same month for two things: an employee was working while intoxicated, and an excise-tax report was filed late. These travel on different paths. The intoxicated-employee citation is a public safety violation, more likely to bring a suspension. The late report is a regulatory violation, more likely to draw a fine or, if it was a first and unintentional lapse, a warning. Same business, same week, two different tracks and two different likely outcomes.
FAQ
What is the difference between a public safety and a regulatory violation?
A public safety violation threatens the health or welfare of the community, like serving a minor. A regulatory violation is a compliance failure with no direct public-safety threat, like a late tax filing.
Does the category change the penalty?
Yes. Public safety violations tend to carry longer suspensions, and some underlying conduct (like selling to a minor) can also carry criminal charges; regulatory violations more often carry fines or shorter suspensions.
Where are the penalty amounts written?
Public safety penalties are in the figure at 16 TAC §34.2(e); regulatory base penalties ($250, $500, or $1,000) are in §34.10. TABC’s Penalty Policy explains how those amounts are adjusted.
Current as of June 2026. This article is general educational information, not legal advice. TABC rules and penalty schedules change; verify current provisions in the Texas Administrative Code (Title 16, Part 3) and the Texas Alcoholic Beverage Code before relying on them, and consult a qualified Texas attorney about your specific situation.