Bill Text: NY S06473 | 2023-2024 | General Assembly | Introduced


Bill Title: Relates to enacting the "New York wine & distilled spirits development act"; allows individuals to hold more than one seven day license to sell liquor at retail for off-premises consumption; establishes the New York distilled spirits and wine industry marketing and promotion fund.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-01-03 - REFERRED TO COMMERCE, ECONOMIC DEVELOPMENT AND SMALL BUSINESS [S06473 Detail]

Download: New_York-2023-S06473-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                          6473

                               2023-2024 Regular Sessions

                    IN SENATE

                                     April 21, 2023
                                       ___________

        Introduced  by  Sen.  COONEY -- read twice and ordered printed, and when
          printed to be committed to the Committee on Commerce, Economic  Devel-
          opment and Small Business

        AN ACT to amend the alcoholic beverage control law and the state finance
          law,  in  relation  to enacting the "New York wine & distilled spirits
          development act"; and to repeal certain provisions  of  the  alcoholic
          beverage control law relating thereto

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. This act shall be known and may be cited as the  "New  York
     2  wine & distilled spirits development act".
     3    § 2. Subdivision 6 of section 63 of the alcoholic beverage control law
     4  is REPEALED and subdivision 5 is amended to read as follows:
     5    5.  [Not]  (a)  Prior  to January first, two thousand twenty-four, not
     6  more than one license shall be granted to any person under this section.
     7  Beginning on and after January first, two thousand twenty-four, a person
     8  may be granted additional seven day licenses as follows, provided howev-
     9  er, the issuance of such seven day licenses shall be in accordance  with
    10  paragraphs (b), (c) and (d) of this subdivision:
    11    (i) On or after January first, two thousand twenty-four, not more than
    12  two  additional  seven  day  licenses may be granted to any person under
    13  this section, for a maximum of three seven day licenses any  person  may
    14  hold.
    15    (ii) On or after January first, two thousand twenty-six, not more than
    16  four  additional  seven  day licenses may be granted to any person under
    17  this section, for a maximum of five seven day licenses  any  person  may
    18  hold.
    19    (iii)  On  or after January first, two thousand twenty-eight, not more
    20  than six additional seven day licenses may  be  granted  to  any  person
    21  under this section, for a maximum of seven seven day licenses any person
    22  may hold.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD06841-01-3

        S. 6473                             2

     1    (iv)  On  or  after  January first, two thousand thirty, not more than
     2  eight additional seven day licenses may be granted to any  person  under
     3  this  section,  for  a maximum of nine seven day licenses any person may
     4  hold.
     5    (v)  On or after January first, two thousand thirty-two, not more than
     6  eleven additional seven day licenses may be granted to any person  under
     7  this  section, for a maximum of twelve seven day licenses any person may
     8  hold.
     9    (b) Commencing on the effective date of this paragraph, and every five
    10  years thereafter, the authority shall  determine  the  ratio  of  active
    11  seven day licenses in a county per adult residents over the age of twen-
    12  ty-one  years  residing in such county, using the most current decennial
    13  census as conducted by the United States Department  of  Commerce.  Such
    14  ratio shall be used by the authority when considering an application for
    15  a seven day license within any county provided for in paragraphs (c) and
    16  (d) of this subdivision.
    17    (c) No additional seven day licenses shall be granted by the authority
    18  in  any  county  in which the ratio of active seven day licenses in such
    19  county per adult residents over the age of twenty-one years residing  in
    20  such  county  is  equal to or less than one active seven day license per
    21  three thousand adult residents over the age  of  twenty-one  years.  The
    22  provisions of this paragraph shall not apply to:
    23    (i) the renewal, removal or continuance of a seven day license;
    24    (ii) an application for a seven day license filed before the effective
    25  date of this paragraph; or
    26    (iii) an application by a purchaser of all or substantially all of the
    27  assets of an existing licensee of a seven day license within the county.
    28  A  purchaser  under  this  subparagraph shall make an application to the
    29  authority, which the authority  shall  grant,  provided  that  (A)  such
    30  purchaser  is  otherwise  qualified to hold a seven day license, and (B)
    31  the premises sought to be licensed under this section shall comply  with
    32  the  requirements  of  this  article  and are not located in a different
    33  county.
    34    (d) The authority may, in its discretion, auction additional seven day
    35  licenses to be used in any  county  whose  ratio  of  active  seven  day
    36  licenses  in  such county per adult residents over the age of twenty-one
    37  years residing in the county  is  greater  than  one  active  seven  day
    38  license  per  three  thousand adult residents over the age of twenty-one
    39  years. No seven day license may be auctioned if such license would cause
    40  the county's ratio of active seven day licenses per adult residents over
    41  the age of twenty-one years residing in the county to  be  equal  to  or
    42  less  than  three  thousand  adult  residents over the age of twenty-one
    43  years.
    44    § 3. Subdivision 5 of section 66 of  the  alcoholic  beverage  control
    45  law,  as  amended  by  section  3 of part Z of chapter 85 of the laws of
    46  2002, is amended to read as follows:
    47    5. The annual fee for [a] each license to sell liquor at retail not to
    48  be consumed on the premises where sold shall be thirteen hundred  sixty-
    49  six  dollars in the counties of New York, Kings, Bronx and Queens; eight
    50  hundred fifty-four dollars in the  county  of  Richmond  and  in  cities
    51  having  a population of more than one hundred thousand and less than one
    52  million; and elsewhere the sum of five hundred twelve dollars.
    53    § 4. Subdivision 16 of section 105 of the alcoholic  beverage  control
    54  law,  as  amended by chapter 621 of the laws of 1944, is amended to read
    55  as follows:

        S. 6473                             3

     1    16. No retail licensee to sell liquors and/or wines  for  off-premises
     2  consumption shall be interested, directly or indirectly, in any premises
     3  where  liquors,  wines or beer are manufactured or sold at wholesale or,
     4  expect as set forth in section sixty-three of this  chapter,  any  other
     5  premises  where  liquor  or  wine  is  sold  at  retail for off-premises
     6  consumption, by stock ownership,  interlocking  directors,  mortgage  or
     7  lien  on any personal or real property or by any other means.  Any lien,
     8  mortgage or other interest or estate, however, now held by such retailer
     9  on or in the personal or real property of such  manufacturer  or  whole-
    10  saler,  which  mortgage,  lien,  interest  or  estate was acquired on or
    11  before December thirty-first, nineteen hundred thirty-two, shall not  be
    12  included  within  the provisions of this subdivision; provided, however,
    13  the burden of establishing the time  of  the  accrual  of  the  interest
    14  comprehended by this subdivision, shall be upon the person who claims to
    15  be entitled to the protection and exemption afforded hereby.
    16    § 5. The state finance law is amended by adding a new section 97-bbbbb
    17  to read as follows:
    18    § 97-bbbbb. New York distilled spirits and wine industry marketing and
    19  promotion  fund.  1. There is hereby established in the joint custody of
    20  the commissioner of taxation and finance and  the  state  comptroller  a
    21  special  fund  to  be  known as the "New York distilled spirits and wine
    22  industry marketing fund". As used in this section, the term  "the  fund"
    23  shall  mean  the  New York distilled spirits and wine industry marketing
    24  fund established pursuant to this section.
    25    2. (a) The fund shall consist of twenty-five percent of  all  revenues
    26  received  pursuant to subdivision five of section sixty-six of the alco-
    27  holic beverage control law, and all other money  appropriated,  credited
    28  or  transferred  thereto  from any other fund or source pursuant to law.
    29  Nothing contained in this section shall prevent the state from receiving
    30  grants, gifts or bequests for the purposes of the  fund  and  depositing
    31  them into the fund according to law.
    32    (b)  On or before the first day of February each year, the comptroller
    33  shall certify to the governor, temporary president of the senate, speak-
    34  er of the assembly, chair of the senate finance committee, and chair  of
    35  the  assembly  ways  and  means committee, the amount of money deposited
    36  into the fund during the preceding calendar year as the result of reven-
    37  ue derived pursuant to subdivision five  of  section  sixty-six  of  the
    38  alcoholic beverage control law and from grants, gifts and bequests.
    39    (c) On or before the first day of February each year, the commissioner
    40  of  economic development shall provide a written report to the temporary
    41  president of the senate, speaker of the assembly, chair  of  the  senate
    42  finance committee, chair of the assembly ways and means committee, chair
    43  of  the senate investigations and government operations committee, chair
    44  of the senate agriculture  committee,  chair  of  the  senate  commerce,
    45  economic development and small business committee, chair of the assembly
    46  economic  development,  job  creation,  commerce and industry committee,
    47  chair of the assembly agriculture committee, the state comptroller,  and
    48  the  public.   Such report shall include how the moneys of the fund were
    49  utilized during the preceding calendar year including  expenditures  for
    50  all promotional and marketing activity.
    51    3.  Moneys  for  the fund shall be expended only for the marketing and
    52  promotional campaigns and education  projects  on  behalf  of  New  York
    53  produced distilled spirits and wine that are approved by the commission-
    54  er of economic development.

        S. 6473                             4

     1    4.  Moneys  shall be payable from the fund on the audit and warrant of
     2  the comptroller on vouchers approved and certified by  the  commissioner
     3  of economic development.
     4    5. To the extent practicable, the commissioner of economic development
     5  shall  ensure  that all moneys received by the fund during a fiscal year
     6  are expended prior to the end of the fiscal year.
     7    § 6. This act shall take effect January 1, 2024.
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