New Jersey-2024-A4800-Introduced

An Act concerning winery marketing funding, supplementing Title 4 of the Revised Statutes, and making an appropriation.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. a. The Department of Agriculture shall establish a Winery Co-marketing Grant Program to reimburse wineries in this State for eligible costs related to certain marketing campaigns. The purpose of the program shall be to encourage and enhance the ability of New Jersey wineries to engage in co-marketing campaigns that promote agricultural tourism and local businesses.

b. The department shall be authorized to award a grant under the program to an applicant who is the holder of a plenary winery license or farm winery license, pursuant to subsections 2a. and 2b. of R.S.33:1-10, who incurred eligible costs in accordance with this subsection. Eligible costs shall include those that were directly incurred and paid by the grant applicant for marketing campaigns or other advertising that promote the winery owned or operated by the applicant and a winery owned or operated by another holder of a plenary or farm winery license; a restaurant located within the State; an inn, hotel, motel, bed and breakfast, or other similar place of public accommodation located within the State; a roadside market that sells "Jersey Fresh" designated products, as defined in subsection e. of P.L.2017, c.197 (C.54A:9-25.44); or agricultural tourism at a farm located within the State.

c. An applicant may apply for a grant under the program once annually.

d. The department shall award grants of up to $25,000 pursuant to the following schedule:

(1) 25 percent of the eligible costs incurred pursuant to subsection b. of this section if the marketing campaign or other advertising includes one other entity;

(2) 35 percent of the eligible costs incurred pursuant to subsection b. of this section if the marketing campaign or other advertising included two other entities; or

(3) 45 percent of the eligible costs incurred pursuant to subsection b. of this section if the marketing campaign or other advertising included three or more other entities.

2. a. One year following the effective date of this act, and annually thereafter until program funding is exhausted, the Secretary of the Department of Agriculture shall submit a written report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature, on the implementation and effectiveness of the Winery Co-marketing Grant Program.

b. Each annual report submitted pursuant to this section shall, at a minimum:

(1) identify the total number and dollar amount of grant awards issued during the reporting period;

(2) include a recommendation as to whether the grant program should be continued in future years; and

(3) identify the amount of previously appropriated funds that remains unexpended and available to finance future grant awards under the program, and, to the extent that the report recommends continuation of the program, recommend additional appropriations, as deemed by the secretary to be necessary to ensure the program's continued operation and ongoing success.

3. The Department of Agriculture shall adopt rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), as may be necessary to implement this act and the Winery Co-marketing Grant Program established pursuant thereto.

4. There is appropriated from the General Fund to the Department of Agriculture the sum of $500,000 for the purposes of financing reimbursement grants under the Winery Co-marketing Grant Program, established pursuant to this act.

5. This act shall take effect on the first day of the fourth month next following the date of enactment.

STATEMENT

This bill requires the Department of Agriculture to establish a Winery Co-marketing Grant Program to reimburse wineries in the State for eligible costs related to certain marketing campaigns. The purpose of the program is to encourage and enhance the ability of New Jersey wineries to engage in co-marketing campaigns that promote agricultural tourism and local businesses.

Under the bill, the department is authorized to award a grant under the program to an applicant who is the holder of a plenary or farm winery license who incurred eligible costs in accordance with the bill. Eligible costs are include those that were directly incurred and paid by the grant applicant for marketing campaigns or other advertising that promote the winery owned or operated by the applicant and a winery owned or operated by another holder of a plenary or farm winery license; a restaurant located within the State; an inn, hotel, motel, bed and breakfast, or other similar place of public accommodation located within the State; a roadside market that sells "Jersey Fresh" designated products or agricultural tourism at a farm located within the State. An applicant may apply for a grant under the program once annually.

The bill provides that the department would award grants of up to $25,000 pursuant to the following schedule: 25 percent of the eligible costs incurred marketing campaign or other advertising included one other entity; 35 percent if the marketing campaign or other advertising included two other entities; or 45 percent if the marketing campaign or other advertising included three or more other entities.

The bill requires the Secretary of Agriculture to submit annual reports to the Governor and Legislature. Each annual report submitted is required at a minimum to:

(1) identify the total number and dollar amount of grant awards issued during the reporting period;

(2) include a recommendation as to whether the grant program should be continued in future years; and