Bill Text: NY S06966 | 2017-2018 | General Assembly | Introduced


Bill Title: Expands the items which may be sold by a licensed farm cidery and the licensees to whom a farm cidery may sell its cider for resale; authorizes the sale of cider and wine at places authorized to conduct games of chance.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Engrossed) 2018-03-26 - referred to economic development [S06966 Detail]

Download: New_York-2017-S06966-Introduced.html


                STATE OF NEW YORK
        ________________________________________________________________________
                                          6966
                               2017-2018 Regular Sessions
                    IN SENATE
                                    December 7, 2017
                                       ___________
        Introduced  by  Sen. VALESKY -- read twice and ordered printed, and when
          printed to be committed to the Committee on Rules
        AN ACT to amend the alcoholic  beverage  control  law,  in  relation  to
          promoting  economic  development  by  expanding  products sold by farm
          cideries and authorizing such cideries to sell cider to  other  licen-
          sees  for  resale; and to amend the general municipal law, in relation
          to authorizing the sale of cider and wine at games of chance
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section  1.    Subdivision 3-a of section 58 of the alcoholic beverage
     2  control law, as added by chapter 384 of the laws of 2013, paragraph  (b)
     3  as  amended  by  chapter  171 of the laws of 2017, is amended to read as
     4  follows:
     5    3-a. A licensed cider producer producing New York state labelled cider
     6  may:
     7    (a) sell such cider or any New York state labeled  cider  to  licensed
     8  farm  distillers, farm wineries, wineries, farm cideries [and], cideries
     9  and farm breweries.   All such cider  sold  by  the  licensee  shall  be
    10  securely  sealed  and have attached thereto a label as shall be required
    11  by section one hundred seven-a of this chapter;
    12    (b) conduct tastings at the licensed premises of  such  cider  or  any
    13  other New York state labeled cider;
    14    (c)  sell such cider or any New York state labeled cider at retail for
    15  consumption off the premises at the state  fair,  at  recognized  county
    16  fairs and at farmers markets operated on a not-for-profit basis;
    17    (d)  sell  and  conduct  tastings  of such cider or any New York state
    18  labeled cider at retail for consumption on the premises of a restaurant,
    19  conference center, inn, bed and breakfast or hotel  business  owned  and
    20  operated  by  the licensee in or adjacent to its farm cidery. A licensee
    21  who operates a restaurant, conference center, inn, bed and breakfast  or
    22  hotel  pursuant  to  such  authority  shall  comply  with all applicable
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD13721-01-7

        S. 6966                             2
     1  provisions of this chapter which relate to licenses  to  sell  cider  at
     2  retail for consumption on the premises;
     3    (e)  apply  for  a  permit  to conduct tastings away from the licensed
     4  premises of such cider or any New York state labeled cider.  Such permit
     5  shall be valid throughout the state and may be issued on an annual basis
     6  or for individual events. Each such permit and the exercise of the priv-
     7  ilege granted thereby shall be subject to such rules and  conditions  of
     8  the authority as it deems necessary. Tastings shall be conducted subject
     9  to the following conditions:
    10    (i)  tastings  shall be conducted by an official agent, representative
    11  or solicitor of the licensee. Such agent,  representative  or  solicitor
    12  shall be physically present at all times during the conduct of the tast-
    13  ings; and
    14    (ii)  any  liability  stemming from a right of action resulting from a
    15  tasting of cider as authorized [herein] in this paragraph and in accord-
    16  ance with the provisions of sections 11-100 and 11-101  of  the  general
    17  obligations law, shall accrue to the licensee.
    18    (f)  if  it holds a tasting permit issued pursuant to paragraph (e) of
    19  this subdivision, apply to the authority for a permit to sell such cider
    20  or any New York state labeled cider, for consumption off  the  premises,
    21  during  such  tastings  in  premises licensed under sections sixty-four,
    22  sixty-four-a, eighty-one and eighty-one-a of  this  chapter.  Each  such
    23  permit  and  the  exercise  of  the  privilege  granted thereby shall be
    24  subject to such rules and conditions of the authority as it deems neces-
    25  sary.
    26    § 2. Paragraphs (c) and (g) of subdivision 2 of section  58-c  of  the
    27  alcoholic  beverage control law, paragraph (c) as amended by chapter 171
    28  of the laws of 2017 and paragraph (g) as added by  chapter  384  of  the
    29  laws of 2013, are amended to read as follows:
    30    (c)  sell  cider  manufactured  by  the licensee or any New York state
    31  labeled cider to wholesalers and retailers licensed  in  this  state  to
    32  sell  such  cider,  to licensed farm distillers, licensed farm wineries,
    33  licensed wineries, licensed farm breweries, and any other licensed  farm
    34  cidery or licensed cidery.  All such cider sold by the licensee shall be
    35  securely  sealed  and have attached thereto a label as shall be required
    36  by section one hundred seven-a of this chapter;
    37    (g) sell cider manufactured by the licensee or any other licensed farm
    38  cidery, or any New York state labeled cider at  retail  for  consumption
    39  off  the  premises, at the state fair, at recognized county fairs and at
    40  farmers markets operated on a not-for-profit basis;
    41    § 3. Subdivision 5 of section 58-c of the alcoholic  beverage  control
    42  law,  as added by chapter 384 of the laws of 2013, is amended to read as
    43  follows:
    44    5. A licensed farm cidery may, under such rules as may be  adopted  by
    45  the  authority,  sell  cider  manufactured  by the licensee or any other
    46  licensed farm cidery, or any New York state labeled cider at  retail  in
    47  bulk  by the keg, cask or barrel for consumption and not for resale at a
    48  clam-bake, barbeque, picnic, outing or other similar  outdoor  gathering
    49  at which more than fifty persons are assembled.
    50    § 4. Subdivision 2 of section 76 of the alcoholic beverage control law
    51  is amended by adding a new paragraph (d-1) to read as follows:
    52    (d-1)  to sell from the licensed premises to licensed farm distillers,
    53  farm wineries, wineries, farm cideries, cideries and  farm  brewers  any
    54  New  York  state  labeled cider. All such cider shall be securely sealed
    55  and have attached thereto a label as shall be required  by  section  one
    56  hundred seven-a of this chapter;

        S. 6966                             3
     1    §  5.  Subdivisions  3  and  5 of section 76 of the alcoholic beverage
     2  control law, as amended by chapter 221 of the laws of 2011, are  amended
     3  to read as follows:
     4    3.  (a)  Any  person  having  applied  for and received a license as a
     5  winery under this section may conduct wine and  cider  tastings  of  New
     6  York  state  labelled  wines  or ciders in establishments licensed under
     7  sections sixty-three and seventy-nine of this chapter to sell  wine  for
     8  off-premises consumption.  Such winery may charge a fee for each wine or
     9  cider  sample  tasted. The state liquor authority shall promulgate rules
    10  and regulations regarding such tastings as provided for in this subdivi-
    11  sion.
    12    (a-1) Any person having applied for and received a license as a winery
    13  under this section may conduct wine and cider tastings of New York state
    14  labelled wines or ciders and apply to the liquor authority for a  permit
    15  to sell wine produced by such winery or any New York state labeled cider
    16  by  the  bottle,  during  such tastings in establishments licensed under
    17  section sixty-four, section sixty-four-a, section eighty-one or  section
    18  eighty-one-a  of  this chapter to sell wine for consumption on the prem-
    19  ises. Such winery may charge a fee of no more than twenty-five cents for
    20  each wine or cider sample  tasted.  The  state  liquor  authority  shall
    21  promulgate rules and regulations regarding such tastings as provided for
    22  in this subdivision.
    23    (b) Tastings shall be conducted subject to the following limitations:
    24    (i)  wine  and cider tastings shall be conducted by an official agent,
    25  representative or solicitor of one or more wineries. Such agent,  repre-
    26  sentative  or  solicitor shall be physically present at all times during
    27  the conduct of the tastings; and
    28    (ii) any liability stemming from a right of action  resulting  from  a
    29  wine  or  cider  tasting as authorized herein and in accordance with the
    30  provisions of sections 11-100 and 11-101 of the general obligations law,
    31  shall accrue to the winery licensee.
    32    (c)(i) Any person having applied for  and  received  a  license  as  a
    33  winery  under  this  section  may conduct wine and cider tastings of New
    34  York state labelled wines or ciders and sell such wine or cider  by  the
    35  bottle,  during such tasting, for off-premises consumption at outdoor or
    36  indoor gatherings, functions, occasions  or  events,  within  the  hours
    37  fixed by or pursuant to subdivision fourteen of section one hundred five
    38  of  this  chapter, sponsored by a bona fide charitable organization. For
    39  the purposes of this paragraph,  a  bona  fide  charitable  organization
    40  shall  mean  and include any bona fide religious or charitable organiza-
    41  tion or bona fide educational, fraternal or service organization or bona
    42  fide organization of veterans or volunteer firefighters,  which  by  its
    43  charter,  certificate  of  incorporation,  constitution,  or  act of the
    44  legislature, shall have among its dominant purposes one or more  of  the
    45  lawful  purposes  as  defined in subdivision five of section one hundred
    46  eighty-six of the general municipal law.
    47    (ii) Upon application, the liquor  authority  shall  issue  an  annual
    48  permit authorizing such winery to participate in outdoor or indoor gath-
    49  erings,  functions, occasions or events sponsored by a charitable organ-
    50  ization.   The winery must give  the  authority  written  or  electronic
    51  notice  of the date, time and specific location of each tasting at least
    52  fifteen days prior to the tasting. A winery that  obtains  a  permit  to
    53  conduct such wine or cider tastings does not need to apply for or obtain
    54  a temporary beer or wine permit pursuant to section ninety-seven of this
    55  chapter or any other permit to conduct such a tasting or to sell wine or
    56  cider by the bottle for off-premises consumption at such tastings.

        S. 6966                             4
     1    (iii) Such winery may charge a fee for each wine or cider sample tast-
     2  ed.  Tastings shall be conducted by an official agent, representative or
     3  solicitor of such winery. The  state  liquor  authority  may  promulgate
     4  rules  and  regulations  regarding such tastings as provided for in this
     5  subdivision.
     6    5.  Notwithstanding any provision of this chapter to the contrary, any
     7  one or more winery licensees, singly or jointly, may apply to the liquor
     8  authority for a license or licenses to sell wine and any New York  state
     9  labeled  cider at retail for consumption off the premises. For licensees
    10  applying singly, the duration of such license shall be coextensive  with
    11  the  duration  of  such  licensee's winery license, and the fee therefor
    12  shall be five hundred dollars if such  retail  premises  is  located  in
    13  cities having a population of one million or more; in cities having less
    14  than  one  million  population  and  more than one hundred thousand, two
    15  hundred fifty dollars; and elsewhere, the sum of one hundred twenty-five
    16  dollars. Such license shall entitle the holder thereof to sell at retail
    17  for consumption off the premises any New York  state  labelled  wine  or
    18  cider.  Such  license  shall  also entitle the holder thereof to conduct
    19  wine and cider tastings.  Such license shall also authorize the sale  by
    20  the  holder  thereof of New York state labelled wine or cider, in sealed
    21  containers for off-premises consumption,  from  the  specially  licensed
    22  premises of any person licensed pursuant to section eighty-one-a of this
    23  article  to sell wine at retail for consumption on premises in which the
    24  principal business is the operation of  a  legitimate  theater  or  such
    25  other  lawful adult entertainment or recreational facility as the liquor
    26  authority may classify for eligibility pursuant to  subdivision  six  of
    27  section  sixty-four-a  of this chapter. Not more than five such licenses
    28  shall be issued, either singly or jointly, to any licensed  winery.  All
    29  other  provisions  of  this chapter relative to licenses to sell wine at
    30  retail for consumption off the premises shall apply so far as applicable
    31  to such application. The liquor authority is hereby authorized to  adopt
    32  such  rules  as  it  may deem necessary to carry out the purpose of this
    33  subdivision, provided that all licenses issued pursuant to this subdivi-
    34  sion shall be subject to the same rules and regulations as are  applica-
    35  ble  to  the  sale of wine at retail for consumption off the premises of
    36  the winery licensee.
    37    § 6. Subdivisions 2 and 3 of section 76-a of  the  alcoholic  beverage
    38  control  law, as added by chapter 221 of the laws of 2011, paragraph (c)
    39  of subdivision 2 as amended by chapter 384 of the laws  of  2013,  para-
    40  graph  (e)  of  subdivision  2  as amended by chapter 328 of the laws of
    41  2016, paragraph (f) of subdivision 2 as amended by chapter  431  of  the
    42  laws of 2014, are amended to read as follows:
    43    2. A farm winery license shall authorize the holder thereof to:
    44    (a)  operate a farm winery for the manufacture of wine or cider at the
    45  premises specifically designated in the license;
    46    (b) sell in bulk from the licensed premises the products  manufactured
    47  under  such  license  or  any New York state labeled cider to any winery
    48  licensee, any other farm winery licensee, any distiller licensee or to a
    49  permittee engaged in the manufacture of products  which  are  unfit  for
    50  beverage  use  and  to  sell  or  deliver  such wine or cider to persons
    51  outside the state pursuant to the laws of the  place  of  such  sale  or
    52  delivery;
    53    (c) sell from the licensed premises to a licensed winery, farm distil-
    54  ler,  farm  brewery, farm cidery, wholesaler or retailer, or to a corpo-
    55  ration operating railroad cars  or  aircraft  for  consumption  on  such
    56  carriers,  or  at retail for consumption off the premises, wine or cider

        S. 6966                             5
     1  manufactured by the licensee or any New  York  state  labeled  cider  as
     2  above  set  forth  and  to sell or deliver such wine or cider to persons
     3  outside the state pursuant to the laws of the  place  of  such  sale  or
     4  delivery.  All  wine  or cider sold by such licensee for consumption off
     5  the premises shall be securely sealed and have attached thereto a  label
     6  setting forth such information as shall be required by this chapter;
     7    (d)  operate,  or  use  the  services  of,  a custom crush facility as
     8  defined in subdivision nine-a of section three of this chapter;
     9    (e) sell at the licensed premises cider and wine manufactured  by  the
    10  licensee  or  any other licensed farm winery, and beer and spirits manu-
    11  factured by any licensed farm brewery or farm distillery, at retail  for
    12  consumption on or off the licensed premises;
    13    (f) operate a restaurant, hotel, catering establishment, or other food
    14  and  drinking  establishment in or adjacent to the licensed premises and
    15  sell at such place, at retail for consumption  on  the  premises,  wine,
    16  cider  and  wine  products manufactured by the licensee and any New York
    17  state labeled wine, New York state  labeled  cider  or  New  York  state
    18  labeled  wine product. All of the provisions of this chapter relative to
    19  licenses to sell wine at retail for consumption on  the  premises  shall
    20  apply  so  far as applicable to such licensee. Notwithstanding any other
    21  provision of law, the licensed winery may apply to the authority  for  a
    22  license  under  article  four  of  this  chapter to sell other alcoholic
    23  beverages at retail for consumption on the premises at  such  establish-
    24  ment.
    25    3.  (a) Any person having applied for and received a license as a farm
    26  winery under this section may conduct wine and  cider  tastings  of  New
    27  York  state  labelled  wines and ciders in establishments licensed under
    28  section sixty-three of this chapter and  section  seventy-nine  of  this
    29  article to sell wine or any New York state labeled cider for off-premis-
    30  es consumption. Such farm winery may charge a fee for each wine or cider
    31  sample  tasted.  The  state  liquor authority shall promulgate rules and
    32  regulations regarding such tastings as provided for in this subdivision.
    33    (b) Any person having applied for and received a  license  as  a  farm
    34  winery  under  this  section  may conduct wine and cider tastings of New
    35  York state labelled wines and ciders and apply to the  liquor  authority
    36  for  a  permit to sell wine produced by such farm winery or any New York
    37  state labeled cider, by the bottle, during such tastings  in  establish-
    38  ments  licensed under sections sixty-four and sixty-four-a of this chap-
    39  ter and section eighty-one or section eighty-one-a of  this  article  to
    40  sell wine for consumption on the premises. Such farm winery may charge a
    41  fee  of  no  more  than  twenty-five cents for each wine or cider sample
    42  tasted. The state liquor authority  shall  promulgate  rules  and  regu-
    43  lations regarding such tastings as provided for in this subdivision.
    44    (c) Tastings shall be conducted subject to the following limitations:
    45    (i)  wine  or  cider tastings shall be conducted by an official agent,
    46  representative or solicitor of one or more farm  wineries.  Such  agent,
    47  representative  or  solicitor  shall  be physically present at all times
    48  during the conduct of the tastings; and
    49    (ii) any liability stemming from a right of action  resulting  from  a
    50  wine  tasting as authorized herein and in accordance with the provisions
    51  of sections 11-100 and 11-101 of  the  general  obligations  law,  shall
    52  accrue to the farm winery.
    53    (d) (i) Any person having applied for and received a license as a farm
    54  winery  under  this  section  may conduct wine and cider tastings of New
    55  York state labelled wines and ciders and sell such wine or cider by  the
    56  bottle,  during such tasting, for off-premises consumption at outdoor or

        S. 6966                             6
     1  indoor gatherings, functions, occasions  or  events,  within  the  hours
     2  fixed by or pursuant to subdivision fourteen of section one hundred five
     3  of  this  chapter, sponsored by a bona fide charitable organization. For
     4  the  purposes  of  this  paragraph,  a bona fide charitable organization
     5  shall mean and include any bona fide religious or  charitable  organiza-
     6  tion or bona fide educational, fraternal or service organization or bona
     7  fide  organization  of  veterans or volunteer firefighters, which by its
     8  charter, certificate of  incorporation,  constitution,  or  act  of  the
     9  legislature,  shall  have among its dominant purposes one or more of the
    10  lawful purposes as defined in subdivision five of  section  one  hundred
    11  eighty-six of the general municipal law.
    12    (ii)  Upon  application,  the  liquor  authority shall issue an annual
    13  permit authorizing such farm winery to participate in  such  outdoor  or
    14  indoor  gatherings, functions, occasions or events sponsored by a chari-
    15  table organization. The farm winery must give the authority  written  or
    16  electronic  notice of the date, time and specific location of each tast-
    17  ing at least fifteen days prior to  the  tasting.  A  farm  winery  that
    18  obtains a permit to conduct such wine or cider tastings does not need to
    19  apply  for or obtain a temporary beer or wine permit pursuant to section
    20  ninety-seven of this chapter or any other permit to conduct such a tast-
    21  ing or to sell wine or cider by the bottle for off-premises  consumption
    22  at such tastings.
    23    (iii)  Such farm winery may charge a fee for each wine or cider sample
    24  tasted.  Tastings shall be conducted by  an  official  agent,  represen-
    25  tative  or solicitor of such farm winery. The state liquor authority may
    26  adopt rules and regulations regarding such tastings as provided in  this
    27  subdivision.
    28    §  7.  Paragraph  (a) of subdivision 7-b of section 3 of the alcoholic
    29  beverage control law, as amended by chapter 384 of the laws of 2013,  is
    30  amended to read as follows:
    31    (a)  "Cider"  means  the  partially or fully fermented juice of fresh,
    32  whole apples or other pome fruits, containing more than three  and  two-
    33  tenths  per centum but not more than eight and one-half per centum alco-
    34  hol by volume: (i) to which nothing has been added to increase the alco-
    35  holic content produced by natural fermentation; and (ii) with the  usual
    36  cellar  treatments  and  necessary  additions  to correct defects due to
    37  climate, [saccharine] sugar  levels  and  seasonal  conditions.  Nothing
    38  contained  in  this  subdivision  shall be deemed to preclude the use of
    39  such methods or materials as may be  necessary  to  encourage  a  normal
    40  alcoholic  fermentation  and  to make a product that is free of microbi-
    41  ological activity at the  time  of  sale.  Cider  may  be  sweetened  or
    42  flavored  after  fermentation with fruit juice, fruit juice concentrate,
    43  sugar, maple syrup, honey, spices or other agricultural products,  sepa-
    44  rately  or  in  combination.  Cider may contain retained or added carbon
    45  dioxide.
    46    § 8. Subdivision 3 of section 194 of the  general  municipal  law,  as
    47  amended  by  chapter  550  of  the  laws  of 1994, is amended to read as
    48  follows:
    49    3.  [Service  of  alcoholic  beverages.]  Subject  to  the  applicable
    50  provisions  of  the alcoholic beverage control law, beer, cider and wine
    51  may be offered for sale during the conduct of games of chance  on  games
    52  of  chance premises as such premises are defined in subdivision nineteen
    53  of section one hundred eighty-six of this  article;  provided,  however,
    54  that nothing herein shall be construed to limit the offering for sale of
    55  any  other  alcoholic  beverage  in areas other than the games of chance

        S. 6966                             7
     1  premises or the sale of any other alcoholic beverage in  premises  where
     2  only the games of chance known as bell jar or raffles are conducted.
     3    § 9. This act shall take effect on the one hundred eightieth day after
     4  it  shall  have  become a law; provided, however, that if chapter 171 of
     5  the laws of 2017 shall not have taken effect before such effective date,
     6  the amendments to paragraph (b) of subdivision 3-a of section 58 of  the
     7  alcoholic beverage control law, made by section one of this act, and the
     8  amendments  to  paragraph  (c)  of  subdivision 2 of section 58-c of the
     9  alcoholic beverage control law, made by section two of this  act,  shall
    10  take  effect  on  the same date and in the same manner as chapter 171 of
    11  the laws of 2017 takes effect; and  provided,  further,  that  effective
    12  immediately,  the addition, amendment and/or repeal of any rule or regu-
    13  lation necessary for the implementation of this  act  on  its  effective
    14  date  are  authorized and directed to be made and completed on or before
    15  such effective date.
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