Bill Text: NY S00556 | 2021-2022 | General Assembly | Introduced
Bill Title: Relates to direct interstate and intrastate cider shipments; establishes requirements regarding age verification and shipping limits.
Spectrum: Slight Partisan Bill (Democrat 10-4)
Status: (Engrossed - Dead) 2022-05-05 - referred to economic development [S00556 Detail]
Download: New_York-2021-S00556-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 556 2021-2022 Regular Sessions IN SENATE (Prefiled) January 6, 2021 ___________ Introduced by Sen. MAY -- 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, in relation to direct interstate and intrastate cider shipments The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The alcoholic beverage control law is amended by adding two 2 new sections 59-b and 59-c to read as follows: 3 § 59-b. Direct interstate cider shipments. 1. Authorization. Notwith- 4 standing any provision of law, rule or regulation to the contrary, any 5 holder of a license to manufacture cider in any other state who obtains 6 an out-of-state direct shipper's license, as provided in this section, 7 may ship no more than thirty-six cases (no more than nine liters each 8 case) of cider produced by such license holder per year directly to a 9 resident of New York who is at least twenty-one years of age, for such 10 resident's personal use and not for resale, provided the state in which 11 such person is so licensed affords lawful means for shipments of cider 12 to be received by a resident thereof who is at least twenty-one years of 13 age, for such resident's personal use and not for resale, from a person 14 licensed in this state as a manufacturer and, provided further, that the 15 state in which such out-of-state cider producer is located affords to 16 New York state cider producer, farm cidery, farm winery and farm brewery 17 licensees reciprocal cider shipping privileges, meaning shipping privi- 18 leges that are substantially similar to the requirements in this 19 section. No person shall place an order for shipment of cider unless 20 they are twenty-one years of age or older. Any common carrier with a 21 permit issued pursuant to this chapter to whom such out-of-state ship- 22 per's license is presented is authorized to make delivery of shipments 23 provided for hereunder in this state in compliance with this section. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD04462-01-1S. 556 2 1 2. License. Before sending any shipment hereunder to a resident in 2 this state, the out-of-state shipper shall first obtain a license from 3 the authority under procedures prescribed by rules and regulations of 4 the authority and after providing the authority with a true copy of its 5 current license to manufacture cider in the applicant's state of domi- 6 cile along with a copy of the applicant's federal basic permit after 7 payment of an annual fee of one hundred twenty-five dollars. Notwith- 8 standing the provisions of section one hundred ten of this chapter, the 9 authority in its discretion, may excuse an out-of-state cider producer 10 from the submission of such information. 11 3. Licensee's responsibilities. The holder of an out-of-state direct 12 shipper's license shall: 13 (a) ship no more than thirty-six cases (no more than nine liters each 14 case) per year of cider produced by such license holder directly to a 15 New York state resident who is at least twenty-one years of age, for 16 such resident's personal use and not for resale; 17 (b) ensure that the outside of each shipping container used to ship 18 cider directly to a New York resident is conspicuously labeled with the 19 words: "CONTAINS HARD CIDER--SIGNATURE OF PERSON AGE 21 OR OLDER 20 REQUIRED FOR DELIVERY--NOT FOR RESALE", or with other language specif- 21 ically approved by the New York state liquor authority; 22 (c) maintain records in such manner and form as the authority may 23 direct, showing the total amount of cider shipped into the state each 24 calendar year; the names and addresses of the purchasers to whom the 25 cider was shipped, the date purchased, the name of the common carrier 26 used to deliver the cider, and the quantity and value of each shipment; 27 (d) in connection with the acceptance of an order for a delivery of 28 cider to a New York resident, require the prospective customer to repre- 29 sent that he or she has attained the age of twenty-one years or more and 30 that the cider being purchased will not be resold or introduced into 31 commerce; 32 (e) require common carriers to: 33 (i) require a recipient, at the delivery address, upon delivery, to 34 demonstrate that the recipient is at least twenty-one years of age by 35 providing a valid form of photographic identification authorized by 36 section sixty-five-b of this chapter; 37 (ii) require a recipient to sign an electronic or paper form or other 38 acknowledgement of receipt as approved by the authority; and 39 (iii) refuse delivery when the proposed recipient appears to be under 40 twenty-one years of age and refuses to present valid identification as 41 required by subparagraph (i) of this paragraph; 42 (f) file returns with and pay to the New York state department of 43 taxation and finance all state and local sales taxes and excise taxes 44 due on sales into this state in accordance with the applicable 45 provisions of the tax law relating to such taxes, the amount of such 46 taxes to be determined on the basis that each sale in this state was at 47 the location where delivery is made; 48 (g) keep all records required by this section for three years and 49 provide copies of such records, upon written request, to the authority 50 or the department of taxation and finance; 51 (h) permit the authority or the department of taxation and finance to 52 perform an audit of such out-of-state shipper upon request; 53 (i) execute a written consent to the jurisdiction of this state, its 54 agencies and instrumentalities and the courts of this state concerning 55 enforcement of this section and any related laws, rules, or regulations, 56 including tax laws, rules or regulations; andS. 556 3 1 (j) prior to obtaining an out-of-state direct shipper's license, 2 obtain a certificate of authority pursuant to section eleven hundred 3 thirty-four of the tax law and a registration as a distributor pursuant 4 to sections four hundred twenty-one and four hundred twenty-two of the 5 tax law. 6 4. Situs. Delivery of a shipment in this state by the holder of an 7 out-of-state direct shipper's license shall be deemed to constitute a 8 sale in this state at the place of delivery and shall be subject to all 9 excise taxes levied pursuant to section four hundred twenty-four of the 10 tax law and all sales taxes levied pursuant to articles twenty-eight and 11 twenty-nine of such law. 12 5. Renewal. The out-of-state shipper may annually renew its license 13 with the authority by paying a one hundred twenty-five dollar renewal 14 fee, providing the authority with a true copy of its current license in 15 such other state as an alcoholic beverage manufacturer and by complying 16 with such other procedures as are prescribed by rule of the authority. 17 6. Rules and regulations. The authority and the department of taxation 18 and finance may promulgate rules and regulations to effectuate the 19 purposes of this section. 20 7. Enforcement. The authority may enforce the requirements of this 21 section including the requirements imposed on the common carrier, by 22 administrative proceedings to suspend or revoke an out-of-state ship- 23 per's license and the authority may accept payment of an administrative 24 fine in lieu of suspension, such payments to be determined by rules or 25 regulations promulgated by the authority. In addition, the authority or 26 the attorney general of the state of New York shall report violations of 27 this section, where appropriate, to the United States department of 28 treasury, tax and trade bureau, for administrative action to suspend or 29 revoke the federal basic permit. 30 8. Violations. In any action brought under this section, the common 31 carrier and the licensee shall only be held liable for their independent 32 acts. 33 § 59-c. Direct intrastate cider shipments. Any person having applied 34 for and received a license as a cider producer or farm cidery under 35 section fifty-eight or fifty-eight-c of this article, a farm winery 36 under section seventy-six-a or seventy-six-d of this chapter, or a farm 37 brewery under section fifty-one-a of this chapter may ship no more than 38 thirty-six cases (no more than nine liters per case) of cider produced 39 by such cider producer, farm cidery, farm winery or farm brewery per 40 year directly to a New York state resident who is at least twenty-one 41 years of age, for such resident's personal use and not for resale. 42 1. Licensee's shipping responsibilities. Notwithstanding any provision 43 to the contrary contained in this chapter, any above referred licensee 44 shall: 45 (a) ship no more than thirty-six cases (no more than nine liters) per 46 year of cider produced by such license holder directly to a New York 47 state resident who is at least twenty-one years of age, for such resi- 48 dent's personal use and not for resale; 49 (b) ensure that the outside of each shipping container used to ship 50 cider directly to a New York state resident is conspicuously labeled 51 with the words: "CONTAINS HARD CIDER -- SIGNATURE OF PERSON AGE 21 OR 52 OLDER REQUIRED FOR DELIVERY -- NOT FOR RESALE", or with other language 53 specifically approved by the New York state liquor authority; 54 (c) maintain records in such manner and form as the authority may 55 direct showing the total amount of cider shipped in the state each 56 calendar year, the names and addresses of the purchasers to whom theS. 556 4 1 cider was shipped, the date purchased, the name of the common carrier 2 used to deliver the cider, and the quantity and value of each shipment. 3 Such records shall be kept for three years and, upon written request, be 4 provided to the authority or the department of taxation and finance; 5 (d) in connection with the acceptance of an order for a delivery of 6 cider to a New York resident, require the prospective customer to repre- 7 sent that he or she has attained the age of twenty-one years or more and 8 that the cider being purchased will not be resold or introduced into 9 commerce; and 10 (e) require common carriers to: 11 (i) require a recipient, at the delivery address, upon delivery, to 12 demonstrate that the recipient is at least twenty-one years of age by 13 providing a valid form of photographic identification authorized by 14 section sixty-five-b of this chapter; 15 (ii) require a recipient to sign an electronic or paper form or other 16 acknowledgment of receipt as approved by the authority; and 17 (iii) refuse delivery when the proposed recipient appears to be under 18 twenty-one years of age and refuses to present valid identification as 19 required by paragraph (a) of this subdivision. 20 2. Violations. In any action brought under this section, the common 21 carrier and the licensee shall only be held liable for their independent 22 acts. 23 § 2. This act shall take effect on the thirtieth day after it shall 24 have become a law.
