S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         2865
                              2015-2016 Regular Sessions
                                   I N  S E N A T E
                                   January 29, 2015
                                      ___________
       Introduced  by  Sen.  O'MARA -- read twice and ordered printed, and when
         printed to be committed to the Committee on Investigations and Govern-
         ment Operations
       AN ACT to amend the alcoholic beverage control law and the state finance
         law, in relation to establishing the wine industry  and  liquor  store
         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.   Short title. This act shall be known and may be cited as
    2  the "wine industry and liquor store development act".
    3    S 2. Subdivision 8-b of section 17 of the alcoholic  beverage  control
    4  law,  as added by chapter 396 of the laws of 2010, is amended to read as
    5  follows:
    6    8-b. On and after January  first,  two  thousand  eleven,  the  report
    7  provided for in subdivision eight of this section shall include informa-
    8  tion  related to the number of licenses applied for, RENEWALS SOUGHT and
    9  the length of time required for the approval or denial  of  such  retail
   10  [license]  LICENSES  AND  RENEWALS  applied  for pursuant to subdivision
   11  two-c of section sixty-one,  section  sixty-four,  section  seventy-six,
   12  section seventy-six-a, section seventy-six-c, section seventy-six-d, and
   13  section seventy-six-f of this chapter.
   14    S  3.  Subdivisions  4  and  5 of section 63 of the alcoholic beverage
   15  control law, subdivision 4 as amended by chapter  603  of  the  laws  of
   16  1992,  are amended and two new subdivisions 7 and 8 are added to read as
   17  follows:
   18    4. (A) No licensee under this section shall be engaged  in  any  other
   19  business on the licensed premises. The SALE OF PRODUCTS COMPLEMENTARY TO
   20  THE  BUSINESS  OF THE LICENSED PREMISES SHALL NOT CONSTITUTE ENGAGING IN
   21  ANOTHER BUSINESS WITHIN THE MEANING OF THIS SUBDIVISION.  SUCH  PRODUCTS
   22  SHALL  INCLUDE  BUT  NOT BE LIMITED TO THE sale of lottery tickets, when
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD07922-01-5
       S. 2865                             2
    1  duly authorized and lawfully conducted, the sale of  corkscrews  or  the
    2  sale  of  ice  or  the sale of publications, including prerecorded video
    3  and/or audio cassette tapes, designed to help educate consumers in their
    4  knowledge  and  appreciation  of  wine  and wine products, as defined in
    5  section three of this chapter, or the sale of [non-carbonated,  non-fla-
    6  vored  mineral  waters, spring waters and drinking waters or the sale of
    7  glasses designed for the consumption of  wine]  BOTTLED  WATER,  MIXERS,
    8  JUICE  AND  SODA, OR THE SALE OF CIGARS, CIGAR ACCESSORIES INCLUDING BUT
    9  NOT LIMITED TO HUMIDORS, LIGHTERS AND CUTTERS,  CIGAR  RELATED  PUBLICA-
   10  TIONS DESIGNED TO HELP EDUCATE CONSUMERS IN THEIR KNOWLEDGE AND APPRECI-
   11  ATION  OF  CIGAR  PRODUCTS,  NEWSPAPERS  OR FOOD ITEMS INCLUDING BUT NOT
   12  LIMITED TO LOCALLY GROWN FARM PRODUCTS AND  ANY  FOOD  NOT  SPECIFICALLY
   13  PREPARED  FOR  IMMEDIATE ON PREMISES CONSUMPTION AND FOOD PRODUCTS TYPI-
   14  CALLY CONSUMED WITH ALCOHOLIC BEVERAGES, INCLUDING BUT  NOT  LIMITED  TO
   15  SNACK FOODS AND GOURMET FOODS, GIFTS, GIFT BAGS AND GIFT BASKETS, GLASS-
   16  WARE  AND DECANTERS RELATED TO THE CONSUMPTION OR STORAGE OF WINE AND/OR
   17  LIQUOR, WINE REFRIGERATORS AND COOLERS,  WINE  MAKING  PUBLICATIONS  AND
   18  SUPPLIES,  racks  designed for the storage of wine, and devices designed
   19  to minimize oxidation in bottles of  wine  which  have  been  uncorked[,
   20  shall  not constitute engaging in another business within the meaning of
   21  this subdivision].
   22    (B) THE INSTALLATION AND OPERATION OF AUTOMATED TELLER MACHINES  SHALL
   23  NOT  CONSTITUTE  ENGAGING IN ANOTHER BUSINESS WITHIN THE MEANING OF THIS
   24  SUBDIVISION.  FOR  PURPOSES  OF  THIS  SUBDIVISION,  "AUTOMATED   TELLER
   25  MACHINE" MEANS A DEVICE WHICH IS LINKED TO THE ACCOUNTS AND RECORDS OF A
   26  BANKING  INSTITUTION  AND  WHICH  ENABLES CONSUMERS TO CARRY OUT BANKING
   27  TRANSACTIONS, INCLUDING, BUT NOT LIMITED TO, ACCOUNT  TRANSFERS,  DEPOS-
   28  ITS, CASH WITHDRAWALS, BALANCE INQUIRIES, AND LOAN PAYMENTS.
   29    5.  [Not more than one license shall be] NOTHING IN THIS SECTION SHALL
   30  BE CONSTRUED TO PROHIBIT MULTIPLE LICENSES FROM  BEING  granted  to  any
   31  person under this section EXCEPT GROCERY AND DRUG STORES LICENSED PURSU-
   32  ANT TO SECTION SEVENTY-NINE-E OF THIS CHAPTER.
   33    7.  ANY LICENSE UNDER THIS SECTION GRANTED FOR LICENSED PREMISES OCCU-
   34  PYING LESS THAN THREE THOUSAND SQUARE FEET, INCLUDES THE  PRIVILEGES  TO
   35  SELL UP TO FIFTEEN BOTTLES OF LIQUOR AND/OR WINE IN ANY THIRTY DAY PERI-
   36  OD  TO  ANY  PERSON LICENSED UNDER THIS CHAPTER TO SELL LIQUOR AT RETAIL
   37  FOR CONSUMPTION ON THE PREMISES AND WINE TO ANY  PERSON  LICENSED  UNDER
   38  THIS  CHAPTER  TO  SELL  WINE AT RETAIL FOR CONSUMPTION ON THE PREMISES.
   39  SUCH SALES SHALL NOT BE SUBJECT TO THE PROVISIONS OF SECTION ONE HUNDRED
   40  ONE-AA OR ONE HUNDRED ONE-B OF THIS CHAPTER.
   41    8. EVERY LICENSEE UNDER THIS SECTION SHALL HAVE  AN  INDIVIDUAL  IN  A
   42  POSITION  OF MANAGEMENT AND CONTROL ASSIGNED TO IT WHO HAS BEEN ISSUED A
   43  CERTIFICATE OF COMPLETION FROM AN APPROVED  ALCOHOL  TRAINING  AWARENESS
   44  PROGRAM.
   45    S 4. Subdivision 2 of section 79 of the alcoholic beverage control law
   46  is  amended  and  two  new  subdivisions  5  and  6 are added to read as
   47  follows:
   48    2. [Not more than one license shall be] NOTHING IN THIS SECTION  SHALL
   49  BE  CONSTRUED  TO  PROHIBIT  MULTIPLE LICENSES FROM BEING granted to any
   50  person under this section EXCEPT GROCERY AND DRUG STORES LICENSED PURSU-
   51  ANT TO SECTION SEVENTY-NINE-E OF THIS ARTICLE.
   52    5. ANY LICENSE UNDER THIS SECTION GRANTED FOR LICENSED PREMISES  OCCU-
   53  PYING  LESS  THAN  THREE THOUSAND SQUARE FEET INCLUDES THE PRIVILEGES TO
   54  SELL UP TO FIFTEEN BOTTLES OF LIQUOR AND/OR WINE IN ANY THIRTY DAY PERI-
   55  OD TO ANY PERSON LICENSED UNDER THIS CHAPTER TO SELL WINE AT RETAIL  FOR
   56  CONSUMPTION  OFF  THE  PREMISES  OR  ANY PERSON HOLDING A SINGLE LICENSE
       S. 2865                             3
    1  GRANTED PURSUANT TO SECTION SEVENTY-NINE-E OF THIS ARTICLE.  SUCH  SALES
    2  SHALL  NOT BE SUBJECT TO THE PROVISIONS OF SECTION ONE HUNDRED ONE-AA OR
    3  ONE HUNDRED ONE-B OF THIS CHAPTER.
    4    6.  EVERY  LICENSEE  UNDER  THIS SECTION SHALL HAVE AN INDIVIDUAL IN A
    5  POSITION OF MANAGEMENT AND CONTROL ASSIGNED TO IT WHO HAS BEEN ISSUED  A
    6  CERTIFICATE  OF  COMPLETION  FROM AN APPROVED ALCOHOL TRAINING AWARENESS
    7  PROGRAM.
    8    S 5. The alcoholic beverage control law is amended  by  adding  a  new
    9  section 79-e to read as follows:
   10    S 79-E. GROCERY OR DRUG STORE WINE LICENSE. 1. ANY PERSON MAY APPLY TO
   11  THE  AUTHORITY  FOR A LICENSE TO SELL FROM THE LICENSED PREMISES WINE IN
   12  SEALED CONTAINERS FOR CONSUMPTION OFF SUCH PREMISES;  PROVIDED,  HOWEVER
   13  THAT  NO  PERSON LICENSED PURSUANT TO THIS SECTION MAY APPLY FOR A WARE-
   14  HOUSE PERMIT PURSUANT TO SECTION NINETY-SIX OF THIS CHAPTER.
   15    2. NO SUCH LICENSE SHALL BE ISSUED, HOWEVER, TO  ANY  PERSON  FOR  ANY
   16  PREMISES  OTHER THAN A GROCERY STORE, AS DEFINED IN SUBDIVISION THIRTEEN
   17  OF SECTION THREE OF THIS CHAPTER, OR A DRUG STORE, AS DEFINED IN  SUBDI-
   18  VISION TWELVE OF SECTION THREE OF THIS CHAPTER.
   19    3. (A) NOTWITHSTANDING ANY OTHER PROVISION OF THIS CHAPTER, EXCEPT FOR
   20  GOOD CAUSE SHOWN, THE AUTHORITY SHALL ISSUE A GROCERY OR DRUG STORE WINE
   21  LICENSE  TO  THE HOLDER OF A LICENSE TO SELL BEER AT RETAIL FOR CONSUMP-
   22  TION OFF THE PREMISES PURSUANT TO SECTION FIFTY-FOUR OF THIS CHAPTER, OR
   23  BEER AND WINE PRODUCTS AT RETAIL FOR CONSUMPTION OFF THE PREMISES PURSU-
   24  ANT TO SECTION FIFTY-FOUR-A OF THIS CHAPTER,  AT  THE  REQUEST  OF  SUCH
   25  LICENSEE.
   26    (B)  FOR THE PURPOSES OF THIS SUBDIVISION, THE PREMISES OF THE GROCERY
   27  OR DRUG STORE WINE LICENSEE SHALL BE THE SAME AS THE  PREMISES  LICENSED
   28  UNDER SECTION FIFTY-FOUR OR FIFTY-FOUR-A OF THIS CHAPTER.
   29    (C)  NOTWITHSTANDING ANY OTHER PROVISIONS OF THIS CHAPTER, ANY LICENSE
   30  ISSUED PURSUANT TO THIS SECTION SHALL RUN CONCURRENTLY WITH THE UNDERLY-
   31  ING LICENSE UNDER SECTION FIFTY-FOUR OR FIFTY-FOUR-A  OF  THIS  CHAPTER,
   32  AND  SHALL  BE  DEEMED  EXPIRED  AT  SUCH TIME AS THE UNDERLYING LICENSE
   33  EXPIRES.
   34    (D) ANY PERSON LICENSED TO SELL WINE PURSUANT TO THIS ARTICLE SHALL BE
   35  PERMITTED TO CONDUCT WINE TASTINGS. WINE TASTINGS  WHICH  ARE  CONDUCTED
   36  UNDER THE AUSPICES OF AN OFFICIAL AGENT OF A FARM WINERY, WINERY, WHOLE-
   37  SALER,  OR  IMPORTER  AND  WHERE SUCH AGENT IS PHYSICALLY PRESENT AT ALL
   38  TIMES DURING THE CONDUCT OF  THE  TASTING,  THEN,  IN  THAT  EVENT,  ANY
   39  LIABILITY  STEMMING FROM A RIGHT OF ACTION RESULTING FROM A WINE TASTING
   40  AS AUTHORIZED PURSUANT TO THIS  SECTION,  AND  IN  ACCORDANCE  WITH  THE
   41  PROVISIONS OF SECTIONS 11-100 AND 11-101 OF THE GENERAL OBLIGATIONS LAW,
   42  SHALL ACCRUE TO THE FARM WINERY, WINERY, WHOLESALER, OR IMPORTER.
   43    4.  NOTWITHSTANDING ANY OTHER PROVISION OF THIS CHAPTER, THE AUTHORITY
   44  MAY ISSUE A LICENSE UNDER THIS SECTION TO THE HOLDER  OF  A  LICENSE  TO
   45  SELL WINE AT RETAIL FOR CONSUMPTION OFF THE PREMISES PURSUANT TO SECTION
   46  SEVENTY-NINE  OF THIS ARTICLE, PROVIDED THAT: (A) THE LICENSEE MEETS THE
   47  REQUIREMENTS OF SUBDIVISION TWO OF THIS SECTION; AND (B)  UPON  ISSUANCE
   48  OF  A  LICENSE,  THE  LICENSEE UNDER THIS SECTION SURRENDERS THE LICENSE
   49  CERTIFICATE ISSUED PURSUANT TO SUCH SECTION SEVENTY-NINE.
   50    5. SUCH APPLICATION SHALL BE IN  SUCH  FORM  AND  SHALL  CONTAIN  SUCH
   51  INFORMATION AS SHALL BE REQUIRED BY THE RULES OF THE AUTHORITY AND SHALL
   52  BE  ACCOMPANIED BY A CHECK OR DRAFT IN THE AMOUNT REQUIRED BY THIS ARTI-
   53  CLE FOR SUCH LICENSE.
   54    6. NOTWITHSTANDING ANY OTHER PROVISIONS OF THIS  CHAPTER,  ANY  PERSON
   55  RECEIVING A LICENSE PURSUANT TO THIS SECTION SHALL NOT BE SUBJECT TO THE
       S. 2865                             4
    1  PROVISIONS  OF SUBDIVISION TWO, THREE OR FOUR OF SECTION SEVENTY-NINE OF
    2  THIS ARTICLE.
    3    7.  NOTWITHSTANDING  ANY  OTHER PROVISIONS OF THIS CHAPTER, ANY PERSON
    4  RECEIVING A LICENSE PURSUANT TO THIS SECTION SHALL NOT BE SUBJECT TO THE
    5  PROVISIONS OF PARAGRAPH (A) OF SUBDIVISION THREE OF SECTION ONE  HUNDRED
    6  FIVE OF THIS CHAPTER.
    7    8. (A) A ONE-TIME FRANCHISE FEE SHALL BE PAID BY EACH RETAIL OUTLET TO
    8  THE  STATE LIQUOR AUTHORITY. THIS FRANCHISE FEE IS HEREBY IMPOSED PURSU-
    9  ANT TO THE FOLLOWING SCHEDULE PER LOCATION BASED UPON GROSS SALES IN THE
   10  PREVIOUS YEAR:
   11  ANNUAL SALES               FRANCHISE FEE PER LOCATION
   12  $0-$249,999                $1,000
   13  $250,000-$499,999          0.39 OF ONE PERCENT OF TOTAL GROSS SALES
   14  $500,000-$999,999          0.39 OF ONE PERCENT OF TOTAL GROSS SALES
   15  $1,000,000-$2,499,000      0.49 OF ONE PERCENT OF TOTAL GROSS SALES
   16  $2,500,000-$4,999,999      0.49 OF ONE PERCENT OF TOTAL GROSS SALES
   17  $5,000,000-$9,999,999      0.49 OF ONE PERCENT OF TOTAL GROSS SALES
   18  $10,000,000-$24,999,999    0.99 OF ONE PERCENT OF TOTAL GROSS SALES
   19  $25,000,000-$39,999,999    1.5 OF ONE PERCENT OF TOTAL GROSS SALES
   20  $40,000,000 AND GREATER    1.7 PERCENT OF TOTAL GROSS SALES
   21  WAREHOUSE STORES           2.0 PERCENT OF TOTAL GROSS SALES
   22  FOR THE PURPOSES OF  THIS  PARAGRAPH,  "TOTAL  GROSS  SALES"  SHALL  NOT
   23  INCLUDE  SALES  RESULTING FROM THE SALE OF TOBACCO AS DEFINED BY ARTICLE
   24  TWENTY OF THE TAX LAW, MOTOR FUEL AS DEFINED BY ARTICLE TWELVE-A OF  THE
   25  TAX  LAW NOR SHALL IT INCLUDE A MEMBERSHIP FEE PURSUANT TO SECTION NINE-
   26  TY-SIX OF THIS CHAPTER.  FOR THE PURPOSES OF  THIS  PARAGRAPH,  NOTWITH-
   27  STANDING THE GROSS SALES OF THE APPLICANT, AN ESTABLISHMENT THAT CHARGES
   28  A MEMBERSHIP FEE TO ITS CUSTOMERS SHALL BE DEEMED A "WAREHOUSE STORE".
   29    (B)  IN  THE  EVENT  AN  APPLICANT  HAS BEEN IN BUSINESS FOR LESS THAN
   30  TWELVE MONTHS PRIOR TO THE FILING OF THE APPLICATION FOR  THIS  LICENSE,
   31  SUCH  APPLICANT  SHALL,  IN  ACCORDANCE WITH THE RULES OF THE AUTHORITY,
   32  REMIT AN ESTIMATE OF ITS FRANCHISE FEE BASED  ON  SQUARE  FOOTAGE  AT  A
   33  LICENSEE'S LOCATION PURSUANT TO THE FOLLOWING SCHEDULE:
   34  SQUARE FOOTAGE LICENSEE'S     FRANCHISE FEE PER LOCATION
   35  LOCATION
   36  0-999                         $825
   37  1,000-1,999                   $1,650
   38  2,000-3,999                   $3,300
   39  4,000-9,999                   $8,250
   40  10,000-19,999                 $16,500
   41  20,000-24,999                 $33,000
   42  25,000-29,999                 $82,500
   43  30,000-39,999                 $132,000
   44  40,000-79,999                 $250,000
   45  80,000 AND GREATER            $350,000
   46    WITHIN  SIXTY DAYS AFTER SUCH LICENSEE SHALL HAVE BEEN IN BUSINESS FOR
   47  TWELVE MONTHS, SUCH LICENSEE SHALL SUBMIT TO THE AUTHORITY,  IN  ACCORD-
   48  ANCE  WITH  THE  RULES  OF THE AUTHORITY, A STATEMENT SHOWING ITS ACTUAL
   49  TOTAL GROSS SALES FOR THE FIRST TWELVE MONTHS OF OPERATION AND THE FRAN-
   50  CHISE FEE DUE PURSUANT TO PARAGRAPH (A)  OF  THIS  SUBDIVISION.  IN  THE
   51  EVENT  THE  FRANCHISE  FEE DETERMINED PURSUANT TO SUCH PARAGRAPH EXCEEDS
   52  THE AMOUNT PAID PURSUANT TO THIS PARAGRAPH,  THE  LICENSEE  SHALL  REMIT
   53  PAYMENT  FOR  THE  BALANCE  OF  THE  REQUIRED  FRANCHISE FEE WITHIN SUCH
   54  SIXTY-DAY PERIOD. FAILURE TO REMIT PAYMENT WITHIN SUCH SIXTY-DAY  PERIOD
   55  SHALL  BE GROUNDS FOR CANCELLATION OR REVOCATION OF SUCH LICENSE. IN THE
   56  EVENT THAT THE FRANCHISE FEE DUE  PURSUANT  TO  PARAGRAPH  (A)  OF  THIS
       S. 2865                             5
    1  SUBDIVISION IS LESS THAN THE AMOUNT PAID PURSUANT TO THIS PARAGRAPH, THE
    2  LICENSEE  SHALL  BE ENTITLED TO A REFUND EQUAL TO THE DIFFERENCE BETWEEN
    3  THE FRANCHISE FEE PAID PURSUANT TO THIS PARAGRAPH  AND  THE  AMOUNT  DUE
    4  PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION.
    5    (C)  NO  LICENSE  SHALL  BE  ISSUED PURSUANT TO THIS SECTION UNTIL THE
    6  FRANCHISE FEE OR ESTIMATED FRANCHISE FEE UNDER THIS SUBDIVISION REQUIRED
    7  BY EITHER PARAGRAPH (A) OR (B) OF THIS  SUBDIVISION  HAS  BEEN  PAID  IN
    8  FULL.
    9    9.    EVERY  LICENSEE UNDER THIS SECTION SHALL HAVE AN INDIVIDUAL IN A
   10  POSITION OF MANAGEMENT AND CONTROL ASSIGNED TO IT WHO HAS BEEN ISSUED  A
   11  CERTIFICATE  OF  COMPLETION  FROM AN APPROVED ALCOHOL TRAINING AWARENESS
   12  PROGRAM.
   13    10. NOTWITHSTANDING SUBDIVISION EIGHT OF THIS  SECTION,  NO  FRANCHISE
   14  FEE  SHALL  BE REQUIRED FROM AN APPLICANT WHO IS PURCHASING THE BUSINESS
   15  OF A LICENSEE WHO HAS ALREADY PAID A FRANCHISE FEE, PROVIDED  THAT  SUCH
   16  APPLICANT  CONTINUES  THE  BUSINESS  OPERATION  AT  THE  SAME GEOGRAPHIC
   17  LOCATION AS THE  LICENSEE.  IN  THE  EVENT  THE  APPLICANT  SUBSEQUENTLY
   18  REMOVES  THE  BUSINESS  TO  ANOTHER LOCATION, PAYMENT OF THE APPROPRIATE
   19  FRANCHISE FEE SHALL BE REQUIRED PRIOR TO THE  APPROVAL  OF  THE  REMOVAL
   20  PURSUANT TO SUBDIVISION THREE OF SECTION NINETY-NINE-D OF THIS CHAPTER.
   21    11.  THE  AUTHORITY MAY MAKE SUCH RULES AS IT DEEMS NECESSARY TO CARRY
   22  OUT THE PROVISIONS OF THIS SECTION, HOWEVER, SUCH  RULES  SHALL  NOT  BE
   23  CONSTRUED  TO  PLACE ADDITIONAL LIMITATIONS UPON THE HOLDERS OF LICENSES
   24  ISSUED PURSUANT TO SECTION SEVENTY-NINE OF THIS ARTICLE UNRELATED TO THE
   25  SALE OF WINE.
   26    S 6.  Section 83 of the alcoholic beverage control law is  amended  by
   27  adding a new subdivision 9 to read as follows:
   28    9. THE ANNUAL FEE FOR A GROCERY OR DRUG STORE WINE LICENSE PURSUANT TO
   29  SECTION  SEVENTY-NINE-E  OF  THIS ARTICLE SHALL BE FIVE HUNDRED DOLLARS.
   30  WHERE, HOWEVER, THE  APPLICANT  IS  THE  HOLDER  OF  TWO  OR  MORE  SUCH
   31  LICENSES,  THE ANNUAL FEE FOR EACH ADDITIONAL LICENSE SHALL BE ONE THOU-
   32  SAND DOLLARS. TEN PERCENT OF THE OVERALL FEES PAID  UP  TO  ONE  MILLION
   33  DOLLARS  SHALL  BE  DEPOSITED  TO THE MISCELLANEOUS SPECIAL REVENUE FUND
   34  (339) WINE INDUSTRY MARKETING AND PROMOTION  ACCOUNT  FOR  APPROPRIATION
   35  AND ALLOCATION TO THE NEW YORK WINE MARKETING PROGRAM, AS ESTABLISHED IN
   36  SECTION  THREE-A  OF CHAPTER EIGHTY OF THE LAWS OF NINETEEN EIGHTY-FIVE,
   37  SUCH SECTION AS ADDED BY CHAPTER THREE HUNDRED THIRTY OF THE LAWS OF TWO
   38  THOUSAND FOUR. FURTHER, TEN PERCENT OF THE OVERALL FEES PAID UP  TO  TWO
   39  MILLION  DOLLARS PER YEAR SHALL BE APPROPRIATED TO MAKE STATE ASSISTANCE
   40  PAYMENTS  TO  NOT-FOR-PROFIT  CONSERVATION  ORGANIZATIONS  FOR  FARMLAND
   41  PROTECTION  PROGRAMS  PURSUANT TO SECTION THREE HUNDRED TWENTY-FIVE-A OF
   42  THE AGRICULTURE AND MARKETS LAW.
   43    S 7. The state finance law is amended by adding a new section  97-llll
   44  to read as follows:
   45    S  97-LLLL. NEW YORK WINE INDUSTRY MARKETING AND PROMOTION ACCOUNT. 1.
   46  THERE IS HEREBY ESTABLISHED IN THE JOINT  CUSTODY  OF  THE  STATE  COMP-
   47  TROLLER  AND  THE  COMMISSIONER OF TAXATION AND FINANCE AN ACCOUNT TO BE
   48  KNOWN AS THE NEW YORK WINE INDUSTRY MARKETING AND PROMOTION ACCOUNT.
   49    2. SUCH ACCOUNT SHALL CONSIST OF REVENUES  RECEIVED  FROM  GROCERY  OR
   50  DRUG  STORE  WINE  LICENSE  FEES PURSUANT TO SUBDIVISION NINE OF SECTION
   51  EIGHTY-THREE OF THE ALCOHOLIC BEVERAGE CONTROL LAW.
   52    3. MONEYS OF THE ACCOUNT, FOLLOWING APPROPRIATION BY THE  LEGISLATURE,
   53  SHALL  BE  EXPENDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION THREE-A
   54  OF CHAPTER EIGHTY OF THE LAWS  OF  NINETEEN  HUNDRED  EIGHTY-FIVE,  SUCH
   55  SECTION  AS  ADDED  BY  CHAPTER  THREE HUNDRED THIRTY OF THE LAWS OF TWO
   56  THOUSAND FOUR. MONEYS SHALL BE PAID OUT OF THE ACCOUNT ON THE AUDIT  AND
       S. 2865                             6
    1  WARRANT  OF  THE  STATE COMPTROLLER ON VOUCHERS CERTIFIED OR APPROVED BY
    2  THE COMMISSIONER OF AGRICULTURE AND MARKETS.
    3    S  8. Subdivision 2-a of section 100 of the alcoholic beverage control
    4  law, as amended by chapter 249 of the laws of 2002, is amended  to  read
    5  as follows:
    6    2-a.  No  retailer  shall  employ,  or permit to be employed, or shall
    7  suffer to work, on any premises licensed for retail sale hereunder,  any
    8  person  under the age of eighteen years, as a hostess, waitress, waiter,
    9  or in any other capacity where the duties  of  such  person  require  or
   10  permit  such  person  to  sell,  dispense or handle alcoholic beverages;
   11  except that: (1) any person under the age of eighteen years and employed
   12  by any person holding a grocery or drug  store  beer  license  shall  be
   13  permitted  to  handle and deliver beer and wine products for such licen-
   14  see, (2) any person under the age of eighteen employed as a cashier by a
   15  person holding a grocery or drug store beer license shall  be  permitted
   16  to  record  and  receive payment for beer and wine product sales when in
   17  the presence of and under the direct supervision of  a  person  eighteen
   18  years  of  age or over, (2-a) any person under the age of eighteen years
   19  and employed by a person holding a grocery  store  or  drug  store  beer
   20  license  as  either a cashier or in any other position to which handling
   21  of containers which may have  held  alcoholic  beverages  is  necessary,
   22  shall  be permitted to handle the containers if such have been presented
   23  for redemption in accordance with the provisions of title ten of article
   24  twenty-seven of the environmental conservation law, [and] (3) any person
   25  under the age of eighteen years employed as  a  dishwasher,  busboy,  or
   26  other  such  position  as to which handling of containers which may have
   27  held alcoholic beverages is necessary shall be permitted to do so  under
   28  the  direct  supervision  of a person of legal age to purchase alcoholic
   29  beverages in the state, (4) ANY PERSON UNDER THE AGE OF  EIGHTEEN  YEARS
   30  AND  EMPLOYED  BY  A PERSON HOLDING A GROCERY OR DRUG STORE WINE LICENSE
   31  SHALL BE PERMITTED TO HANDLE AND DELIVER WINE FOR SUCH LICENSEE, AND (5)
   32  ANY PERSON UNDER THE AGE OF EIGHTEEN YEARS  AND  EMPLOYED  BY  A  PERSON
   33  HOLDING  A  GROCERY  OR  DRUG  STORE  WINE LICENSE SHALL BE PERMITTED TO
   34  RECORD AND RECEIVE PAYMENT FOR WINE SALES WHEN IN THE  PRESENCE  OF  AND
   35  UNDER THE DIRECT SUPERVISION OF A PERSON EIGHTEEN YEARS OR OVER.
   36    S  9.  Section 100 of the alcoholic beverage control law is amended by
   37  adding a new subdivision 2-c to read as follows:
   38    2-C. NO PERSON SHALL SELL, DELIVER OR GIVE AWAY OR  CAUSE,  PERMIT  OR
   39  PROCURE  TO  BE SOLD, DELIVERED OR GIVEN AWAY ANY ALCOHOLIC BEVERAGES TO
   40  ANY PERSON, ACTUALLY OR APPARENTLY, UNDER THE AGE OF  TWENTY-ONE  YEARS.
   41  AS A PRECONDITION TO THE SALE OF ANY ALCOHOLIC BEVERAGE FOR OFF-PREMISES
   42  CONSUMPTION,  THE PURCHASER OF ANY ALCOHOLIC BEVERAGE MUST PROVIDE WRIT-
   43  TEN EVIDENCE OF AGE. NO LICENSEE, OR AGENT OR  EMPLOYEE  OF  A  LICENSEE
   44  UNDER  THIS CHAPTER, SHALL ACCEPT AS WRITTEN EVIDENCE OF AGE BY ANY SUCH
   45  PERSON FOR THE PURCHASE OF ANY  ALCOHOLIC  BEVERAGE,  ANY  DOCUMENTATION
   46  OTHER  THAN:  (A)  A VALID DRIVER'S LICENSE OR NON-DRIVER IDENTIFICATION
   47  CARD ISSUED BY THE COMMISSIONER OF MOTOR VEHICLES, THE  FEDERAL  GOVERN-
   48  MENT,  ANY    UNITED  STATES  TERRITORY, COMMONWEALTH OR POSSESSION, THE
   49  DISTRICT OF COLUMBIA, A STATE GOVERNMENT WITHIN THE UNITED STATES  OR  A
   50  PROVINCIAL GOVERNMENT OF THE DOMINION OF CANADA, OR (B) A VALID PASSPORT
   51  ISSUED  BY  THE UNITED STATES GOVERNMENT OR ANY OTHER COUNTRY, OR (C) AN
   52  IDENTIFICATION CARD ISSUED BY THE ARMED FORCES OF THE UNITED STATES.
   53    S 10. Paragraph a of subdivision 1 of section 101-aa of the  alcoholic
   54  beverage  control  law, as amended by chapter 84 of the laws of 2004, is
   55  amended to read as follows:
       S. 2865                             7
    1    a. "Credit period" means a period  beginning  on  the  date  alcoholic
    2  beverages  are  delivered and ending thirty days thereafter, EXCEPT THAT
    3  WITH REGARD TO LICENSEES LICENSED  UNDER  SECTION  SIXTY-THREE  OF  THIS
    4  CHAPTER  THE  "CREDIT PERIOD" MEANS A PERIOD BEGINNING ON THE DATE ALCO-
    5  HOLIC BEVERAGES ARE DELIVERED AND ENDING SIXTY DAYS THEREAFTER.
    6    S  11. Section 101-aa of the alcoholic beverage control law is amended
    7  by adding a new subdivision 3-a to read as follows:
    8    3-A. NOTWITHSTANDING THE  PROVISIONS  OF  SUBDIVISION  THREE  OF  THIS
    9  SECTION,  THE  HOLDER OF A LICENSE TO SELL LIQUOR AND WINE AT RETAIL FOR
   10  CONSUMPTION OFF THE PREMISES, PURSUANT TO SECTION  SIXTY-THREE  OF  THIS
   11  CHAPTER,  OR  A  LICENSE  TO SELL WINE AT RETAIL FOR CONSUMPTION OFF THE
   12  PREMISES PURSUANT TO SECTION SEVENTY-NINE OF THIS  CHAPTER,  WHO  IS  IN
   13  DEFAULT   EXCEPT   TO   A  FARM  WINERY  LICENSED  PURSUANT  TO  SECTION
   14  SEVENTY-SIX-A OF THIS CHAPTER MAY PURCHASE ALCOHOLIC BEVERAGES ON CREDIT
   15  EXCEPT FROM THE MANUFACTURER OR WHOLESALER WHO PLACED SUCH RETAIL LICEN-
   16  SEE IN DEFAULT.
   17    S 12. Paragraph (b) of subdivision 2 of section 101-b of the alcoholic
   18  beverage control law, as amended by chapter 669 of the laws of 1989,  is
   19  amended to read as follows:
   20    (b)  to  grant,  directly  or  indirectly,  any discount, rebate, free
   21  goods, allowance or other inducement of any kind  whatsoever,  except  a
   22  discount or discounts for quantity of liquor or for quantity of wine and
   23  a  discount not in excess of one per centum for payment on or before ten
   24  days from date of shipment. A DISCOUNT ON WINE PURCHASED ON  A  QUANTITY
   25  BASIS  SHALL  NOT BE AUTHORIZED ON THE PURCHASE OF MORE THAN ONE HUNDRED
   26  CASES OF WINE PER MONTH, OF THE SAME VARIETAL.
   27    S 13. Paragraph (b) of subdivision 3 of section 101-b of the alcoholic
   28  beverage control law, as amended by section 1 of part E of chapter 56 of
   29  the laws of 2006, is amended to read as follows:
   30    (b) No brand of liquor or wine shall be sold  to  or  purchased  by  a
   31  retailer  unless a schedule, as provided by this section, is transmitted
   32  to and received by the liquor authority, and is  then  in  effect.  Such
   33  schedule  shall  be  transmitted  to the authority in such form, manner,
   34  medium and format as the authority may  direct;  shall  be  deemed  duly
   35  verified by the person submitting such schedule upon its transmission to
   36  the  authority;  and shall contain, with respect to each item, the exact
   37  brand or trade name, capacity of package, nature of  contents,  age  and
   38  proof where stated on the label, the number of bottles contained in each
   39  case,  the  bottle  and case price to retailers, the net bottle and case
   40  price paid by the seller, which prices, in each instance, shall be indi-
   41  vidual for each item and not in "combination" with any other  item,  the
   42  discounts  for  quantity, if any, and the discounts for time of payment,
   43  if any. PROVIDED HOWEVER THAT,  FOR  THE  PURPOSES  OF  THIS  PARAGRAPH,
   44  DIFFERENT PRODUCTS OR DIFFERENT SIZED BOTTLES FROM THE SAME MANUFACTURER
   45  MAY  BE  COMBINED.  Such  brand  of  liquor or wine shall not be sold to
   46  retailers except at the price and discounts then in effect unless  prior
   47  written  permission of the authority is granted for good cause shown and
   48  for reasons not inconsistent with the  purpose  of  this  chapter.  Such
   49  schedule shall be transmitted by each manufacturer selling such brand to
   50  retailers and by each wholesaler selling such brand to retailers.
   51    S  14.  Subdivision 2 of section 105 of the alcoholic beverage control
   52  law is REPEALED.
   53    S 15. Subdivision 7 of section 105 of the alcoholic  beverage  control
   54  law is REPEALED.
   55    S  16.  Paragraphs (b) and (c) of subdivision 10 of section 105 of the
   56  alcoholic beverage control  law  are  REPEALED  and  paragraph  (a),  as
       S. 2865                             8
    1  amended  by  chapter  679  of  the  laws  of 1950, is amended to read as
    2  follows:
    3    [(a)]  Each  retail  licensee  of  liquor and/or wine for off-premises
    4  consumption shall have conspicuously displayed within  the  interior  of
    5  the  licensed  premises where sales are made and where it can be readily
    6  inspected by consumers a printed price list of the liquors and/or  wines
    7  offered for sale therein; and no liquor and/or wine shall be sold except
    8  at the price set forth in such list[;].
    9    S  17.  Paragraphs (a) and (b) of subdivision 14 of section 105 of the
   10  alcoholic beverage control law, paragraph (a) as amended by section 1 of
   11  part U of chapter 63 of the laws of 2003 and paragraph (b) as amended by
   12  chapter 334 of the laws of 2004, are amended to read as follows:
   13    (a) No premises licensed to sell liquor and/or wine  for  off-premises
   14  consumption shall be permitted to [remain open] SELL LIQUOR AND/OR WINE:
   15    (i)  On  Sunday  before  twelve  o'clock  post meridian and after nine
   16  o'clock post meridian.
   17    (ii) On any day between midnight and eight o'clock antemeridian.
   18    (iii) On the twenty-fifth day of December, known as Christmas day.
   19    In any community where daylight saving time is in  effect,  such  time
   20  shall be deemed the standard time for the purpose of this subdivision.
   21    (b) This subdivision shall only be interpreted to prohibit the sale of
   22  liquor  and/or  wine  for off-premises consumption [when it is closed to
   23  the public, provided however, retail licensees may undertake  all  other
   24  activities  allowed  during the course of normal business operations]. A
   25  LICENSEE MAY  ENGAGE  IN  ANY  OTHER  LAWFUL  ACTIVITY  ALLOWED  ON  THE
   26  LICENSEE'S PREMISES, including but not limited to:
   27    (i)  placing  orders  with  or  taking deliveries from wholesalers AND
   28  MANUFACTURERS;
   29    (ii) meeting with individuals who have valid solicitors permits issued
   30  by the liquor authority;
   31    (iii) stocking shelves;
   32    (iv) filling or building displays; [and]
   33    (v) rotating product on store shelves; AND
   34    (VI) IN THE CASE OF PERSONS LICENSED UNDER SECTION  SEVENTY-NINE-E  OF
   35  THIS  CHAPTER,  THE  SALE  OF  OTHER  PRODUCTS,  INCLUDING BEER AND WINE
   36  PRODUCTS IF THE PERSON IS ALSO  LICENSED  UNDER  SECTION  FIFTY-FOUR  OR
   37  SECTION FIFTY-FOUR-A OF THIS CHAPTER.
   38    S  18. Section 105 of the alcoholic beverage control law is amended by
   39  adding a new subdivision 24 to read as follows:
   40    24. FOR THE PURPOSES OF PURCHASING  ONLY,  ANY  TWO  OR  MORE  PERSONS
   41  LICENSED  PURSUANT  TO  SECTIONS SIXTY-THREE AND/OR SEVENTY-NINE OF THIS
   42  CHAPTER MAY JOIN IN AN AGREEMENT  TO  MAKE  JOINT  PURCHASES  OF  LIQUOR
   43  AND/OR  WINE  IN  LARGER  QUANTITIES  THAN MIGHT OTHERWISE BE PURCHASED;
   44  PROVIDED, HOWEVER, THAT ALL SUCH ALCOHOLIC BEVERAGES PURCHASED  PURSUANT
   45  TO ANY SUCH AGREEMENT SHALL BE DISTRIBUTED TO NONE OTHER THAN A LICENSEE
   46  WHO IS A PARTY TO SUCH AGREEMENT. THE COOPERATIVE AGREEMENTS, AS AUTHOR-
   47  IZED  UNDER  THIS  SUBDIVISION,  SHALL  BE VOID IF, WITHIN A CITY WITH A
   48  POPULATION OF ONE MILLION OR MORE AND THE PREMISES OPERATING  UNDER  THE
   49  COOPERATIVE  AGREEMENTS  AUTHORIZED IN THIS SUBDIVISION ARE LOCATED MORE
   50  THAN ONE MILE FROM ONE ANOTHER. THE COOPERATIVE AGREEMENTS,  AS  AUTHOR-
   51  IZED  UNDER THIS SUBDIVISION, SHALL BE VOID IF, OUTSIDE OF A CITY WITH A
   52  POPULATION OF ONE MILLION OR  MORE  AND  THE  PREMISES  OPERATING  UNDER
   53  AGREEMENTS  AUTHORIZED  IN  THIS SUBDIVISION ARE LOCATED MORE THAN FIFTY
   54  MILES FROM ONE ANOTHER.   THE AUTHORITY MAY PROMULGATE  SUCH  RULES  AND
   55  REGULATIONS  AS  MAY  BE  NECESSARY  TO CARRY OUT THE PROVISIONS OF THIS
   56  SUBDIVISION.
       S. 2865                             9
    1    S 19. This act shall  take  effect  immediately;  provided,  that  the
    2  amendments  to  subdivision  8-b of section 17 of the alcoholic beverage
    3  control law made by section two of this act shall  take  effect  on  the
    4  same  date  as the reversion of such section as provided in section 4 of
    5  chapter  118  of  the  laws  of 2012, as amended; provided further, that
    6  section nine of this act shall take effect on the one hundred  eightieth
    7  day after it shall have become a law; and provided further, that, effec-
    8  tive  immediately, the addition, amendment and/or repeal of any rules or
    9  regulations necessary for the implementation of this act  on  or  before
   10  its effective date are authorized to be made by the state liquor author-
   11  ity on or before such date.