NY State Senate Bill 2009-S5787

Archive: Last Bill Status - In Senate Committee Commerce, Economic Development And Small Business Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 06, 2010	referred to commerce, economic development and small business
Jun 05, 2009	referred to rules

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2009-S5787 (ACTIVE) - Details

See Assembly Version of this Bill:: A8632
Current Committee:: Senate Commerce, Economic Development And Small Business
Law Section:: Alcoholic Beverage Control Law
Laws Affected:: Rpld §105 subs 2 & 7, amd ABC L, generally
Versions Introduced in Other Legislative Sessions:: 2011-2012: S897
2013-2014: S3265
2015-2016: S3430
2017-2018: S6350
2019-2020: S4348
2021-2022: S3112
2023-2024: S3386

2009-S5787 (ACTIVE) - Summary

Enacts the wine industry and liquor store revitalization act; authorizes grocery and drug stores to sell wine on their premises for consumption off the premises.

2009-S5787 (ACTIVE) - Sponsor Memo

                                 BILL NUMBER:  S5787

 TITLE OF BILL :
An act to amend the alcoholic beverage control law, in relation to
enacting the wine industry and liquor store revitalization act; and to
repeal certain provisions of such law relating thereto


 PURPOSE OR GENERAL IDEA OF BILL :
This bill expands authorizations under the alcoholic beverage control
law to provide opportunities for vendors to expand their business

 SUMMARY OF SPECIFIC PROVISIONS :
Section one of the bill provides that this act shall be known as the
"wine industry and liquor store revitalization act".

Section two of the bill provides the expanded opportunity for liquor
stores to sell items complimentary to their business, allows such
stores to install ATM machines on the premises, provides for multiple
licenses, authorizes liquor stores to sell to retail establishments
licensed for consumption on the premises and provides for a limitation
on the number of licenses issued under section 63 of the alcoholic
beverage control law.

Furthermore, section two creates a "medallion" system, through which
existing store owners will be able to auction of their existing

licenses to the highest bidder, and sell the one additional license
this section allows them to obtain from the State Liquor Authority
(SLA). Additionally, the SLA is authorized to auction IS licenses
every two years to generate revenue for increased
enforcement/licensure demands.

Section three of the bill provides that no additional licenses to sell
wine for consumption off the premises shall be made available
complementary to the process that is authorized in section two.

Section four of the bill provides for an annual fee for the licensure
of grocery or drug stores to sell wine.

Section five of the bill provides that any person under eighteen years
of age may handle and deliver the wine and that any person under
eighteen years of age may record and receive payment for wine under
the supervision of a person who is eighteen years of age of older.

Section six of the bill provides that proof of age must be provided at
every sale for alcoholic beverages and provides the valid proof.

Section seven of the bill provides for expanded hours for the
operation of a liquor store.

Section eight of the bill provides for cooperative agreements so that
smaller liquor stores may agree to jointly purchase larger, more cost
effective, quantities than would be possible without cooperative
agreements.

Section nine of the bill authorizes licensed alcohol beverage venders
to purchase alcoholic beverages from those authorized by this chapter.

Section ten of the bill authorizes the authority to issue multiple
licenses.

Sections eleven, twelve and fourteen of the bill remove advertising
restrictions within the licensed premises.

Section thirteen of the bill provides for licensure of grocery stores
and drug stores to sell wine for consumption off the premises,
provides further opportunities for wine tastings, and institutes a fee
structure for such licensure, and authorizes grocery stores and drug
stores under 1,000 square feet to purchase wine from stores licensed
to sell such products.

Section fifteen of the bill provides for temporary permits to sell as
licensed in order for those premises awaiting licensure and renewals
may continue to do business uninterrupted by the extended licensure
process.

Section sixteen of the bill provides for, in the annual report from
the authority to the Legislature and the Governor, information related
to the length of time required for licensure and renewals applied to
pursuant to subdivision two-c of section sixty-one of this chapter and
sections sixty-four, seventy-six, seventy-six-a, seventy-six-c,
seventy-six-d and seventy-six-f of this chapter.

Section seventeen of the bill provides for the sale of mixed cases of
wine for resale.

Section eighteen of this bill provides that the effective date shall
be 180 days after its enactment.

 JUSTIFICATION :
The Wine Industry and Liquor Store Revitalization Act is comprehensive
legislation that provides stimulus to industries that are at the heart
of the New York economy and New York culture. A bill that provides
fairness and opportunity for a once nationally-recognized New York
wine and grape industry to recover from its fall from the top, this
bill also allows the small mom and pop liquor and wine stores to
compete and thrive in a new economy.  The New York wine and grape
industry, once the second highest producer of wine in the country, has
fallen from its prominence and will continue to do so without
increased opportunities. The New York wine and grape industry
stretches across the entire state and provides opportunity in several
sectors of the economy including agriculture, economic development and
tourism. The diverse economic reach of the industry, coupled with its
broad geographic reach, as well as its proven capacity for national
success, primes the New York wine and grape industry to generate
economic benefit when provided with opportunity for expansion.
Similarly, the liquor store industry has had to operate under
stringent, prohibition-era rules created in the 1930s, handicapping
the industry, not only preventing growth; but also, facilitating the
drastic reduction in the number of liquor stores. This bill provides
significant opportunity for liquor stores by repealing antiquated
statues that presently prevent them from expanding their businesses.
Furthermore, this bill institutes staunch identification requirements,
the most aggressive in the nation, mandating proof of the age of every
purchaser of alcohol in New York State. This provision will help
prevent underage drinking and curb drunk driving.  For many small
businesses across the State, opportunities to expand and policies that
provide fairness are essential. This legislation revives failing
industries and will return the New York wine and grape industry to its
rightful place among the most respected and prominent in the nation.

 PRIOR LEGISLATIVE HISTORY :
New bill.

 FISCAL IMPLICATIONS :
Enactment of this bill would provide $105 million in 2009-10 through
various franchise fees, excise taxes, sales taxes and license fees. In
2010-11 it is expected will generate $54 million and $3 million each
year thereafter.

 EFFECTIVE DATE :
This act shall take effect on the one hundred eightieth day after it
shall have become law.

2009-S5787 (ACTIVE) - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  5787

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                              June 5, 2009
                               ___________

Introduced   by   Sens.   KRUEGER,   AUBERTINE,  DILAN,  DUANE,  ESPADA,
  HASSELL-THOMPSON,  HUNTLEY,  KRUGER,  MONSERRATE,   PARKER,   SAMPSON,
  SCHNEIDERMAN -- 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
  enacting the wine industry and liquor store revitalization act; and to
  repeal certain provisions of such law relating thereto

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  This  act  shall  be  known and may be cited as the "wine
industry and liquor store revitalization act".
  S 2. Subdivisions 4 and 5 of section  63  of  the  alcoholic  beverage
control  law,  subdivision  4  as  amended by chapter 603 of the laws of
1992, are amended and five new subdivisions 7, 8,  9,  10,  and  11  are
added to read as follows:
  4.  (A)  No  licensee under this section shall be engaged in any other
business on the licensed premises. The SALE OF PRODUCTS COMPLEMENTARY TO
THE BUSINESS OF THE LICENSED PREMISES SHALL NOT CONSTITUTE  ENGAGING  IN
ANOTHER  BUSINESS WITHIN THE MEANING OF THIS SUBDIVISION.  SUCH PRODUCTS
SHALL INCLUDE BUT NOT BE LIMITED TO THE sale of  lottery  tickets,  when
duly  authorized  and  lawfully conducted, the sale of corkscrews or the
sale of ice or the sale of  publications,  including  prerecorded  video
and/or audio cassette tapes, designed to help educate consumers in their
knowledge  and  appreciation  of  wine  and wine products, as defined in
section three of this chapter, or the sale of [non-carbonated,  non-fla-
vored  mineral  waters, spring waters and drinking waters] NON-ALCOHOLIC
BEVERAGES FOR CONSUMPTION ON OR OFF PREMISES, INCLUDING BUT NOT  LIMITED
TO  BOTTLED  WATER,  JUICE  AND  SODA  BEVERAGES, OR THE SALE OF TOBACCO
PRODUCTS OR HERBAL  CIGARETTES,  PROVIDED  THE  LICENSEE  COMPLIES  WITH
SECTION THIRTEEN HUNDRED NINETY-NINE-CC OF THE PUBLIC HEALTH LAW, OR THE
SALE AT RETAIL OF CIGARS WHICH HAVE BEEN PREPACKAGED BY THE MANUFACTURER

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD11873-05-9

S. 5787                             2

IN  BOXES  OF  TEN OR MORE, OR THE SALE OF PUBLICATIONS DESIGNED TO HELP
EDUCATE CONSUMERS IN THEIR KNOWLEDGE AND APPRECIATION OF CIGAR PRODUCTS,
OR FOOD ITEMS, WHICH SHALL INCLUDE LOCALLY PRODUCED  FARM  PRODUCTS  AND
ANY  FOOD  OR  FOOD  PRODUCT  NOT  SPECIFICALLY  PREPARED  FOR IMMEDIATE
CONSUMPTION UPON THE PREMISES, OR THE SALE OF GIFT BAGS AND GIFT BASKETS
INCLUDING, BUT NOT LIMITED TO, SHOT GLASSES, SINGLE MALT SCOTCH GLASSES,
GRAPPA GLASSES, DECANTERS, OTHER GLASSWARE, FOOD OR  FARM  PRODUCTS  NOT
SPECIFICALLY  PREPARED  FOR IMMEDIATE CONSUMPTION UPON THE PREMISES, ALL
OF WHICH IS RELATED TO THE CONSUMPTION AND ENJOYMENT OF WINE AND SPIRITS
or the sale of glasses designed  for  the  consumption  of  wine,  racks
designed  for  the  storage  of  wine,  and devices designed to minimize
oxidation in bottles of  wine  which  have  been  uncorked[,  shall  not
constitute  engaging  in  another  business  within  the meaning of this
subdivision].
  (B) THE INSTALLATION AND OPERATION OF AUTOMATED TELLER MACHINES  SHALL
NOT  CONSTITUTE  ENGAGING IN ANOTHER BUSINESS WITHIN THE MEANING OF THIS
SUBDIVISION.  FOR  PURPOSES  OF  THIS  SUBDIVISION,  "AUTOMATED   TELLER
MACHINE" MEANS A DEVICE WHICH IS LINKED TO THE ACCOUNTS AND RECORDS OF A
BANKING  INSTITUTION  AND  WHICH  ENABLES CONSUMERS TO CARRY OUT BANKING
TRANSACTIONS, INCLUDING, BUT NOT LIMITED TO, ACCOUNT  TRANSFERS,  DEPOS-
ITS, CASH WITHDRAWALS, BALANCE INQUIRIES, AND LOAN PAYMENTS.
  5.  [Not more than one license shall be] NOTHING IN THIS SECTION SHALL
BE CONSTRUED TO PROHIBIT MULTIPLE LICENSES FROM  BEING  granted  to  any
person under this section.
  7.  ANY  LICENSE OBTAINED UNDER THIS SECTION INCLUDES AUTHORIZATION TO
SELL ALCOHOLIC BEVERAGES FOR RESALE TO LICENSED PREMISES FOR ON-PREMISES
CONSUMPTION   AS   LICENSED   BY   SECTIONS   FIFTY-FIVE,    SIXTY-FOUR,
SIXTY-FOUR-A, SEVENTY-NINE-B, AND EIGHTY-ONE OF THIS CHAPTER AS PROVIDED
IN  SUBDIVISIONS  THREE-A AND THREE-B OF SECTION ONE HUNDRED TWO OF THIS
CHAPTER.
  8. COMMENCING ON THE EFFECTIVE DATE OF THIS SUBDIVISION, NO ADDITIONAL
LICENSES SHALL BE ISSUED PURSUANT TO THIS SECTION EXCEPT AS OUTLINED  IN
SUBDIVISION  NINE  OF  THIS  SECTION. THE PROVISIONS OF THIS SUBDIVISION
SHALL NOT APPLY TO (A) THE RENEWAL, TRANSFER OR CONTINUANCE OF A LICENSE
PURSUANT TO THIS CHAPTER, (B) AN APPLICATION FOR A LICENSE FILED  BEFORE
THE EFFECTIVE DATE OF THIS SUBDIVISION, (C) THE ISSUANCE OF A LICENSE IN
ACCORDANCE  WITH  THE  PROVISIONS  OF  THIS  CHAPTER,  TO  A  PERSON WHO
PURCHASED THE BUSINESS OPERATIONS OF A LICENSEE, PROVIDED, HOWEVER, THAT
ANY PERSON LICENSED UNDER THIS SECTION SHALL MAKE AN APPLICATION TO  THE
LIQUOR AUTHORITY PRIOR TO SELLING ITS LICENSE TO ANOTHER PERSON.
  9. ANY EXISTING LICENSE ISSUED UNDER THIS SECTION WHICH IS CANCELED OR
REVOKED  BY  THE  LIQUOR  AUTHORITY  MAY BE AUCTIONED OFF TO THE HIGHEST
BIDDER, PROVIDED THAT THE PERSON MEETS ALL THE APPLICABLE  REQUIREMENTS.
THE  AMOUNT  OF  THE  SALE OF THE EXISTING LICENSE AS AUTHORIZED IN THIS
SUBDIVISION SHALL BE SUBJECT  TO  SALES  AND  COMPENSATING  USE  TAX  AS
IMPOSED BY SECTION ELEVEN HUNDRED FIVE OF THE TAX LAW.
  10.  EACH EXISTING LICENSEE SHALL BE AUTHORIZED TO APPLY FOR ONE ADDI-
TIONAL LICENSE FOR RETAIL SALE OF LIQUOR FOR CONSUMPTION OFF  THE  PREM-
ISES FOR USE IN THE ESTABLISHMENT OF ANOTHER LICENSED PREMISES, PROVIDED
HOWEVER,   THE   ADDITIONAL   PREMISES   COMPLIES  WITH  ALL  APPLICABLE
RESTRICTIONS AND REQUIREMENTS. THE  ADDITIONAL  LICENSE  ISSUED  BY  THE
AUTHORITY  UNDER  THIS  SUBDIVISION  MAY  BE SOLD PROVIDED THE PURCHASER
MEETS ALL APPLICABLE REQUIREMENTS, WHICH SALE SHALL BE SUBJECT TO  SALES
AND  COMPENSATING  USE  TAX AS IMPOSED BY SECTION ELEVEN HUNDRED FIVE OF
THE TAX LAW. THE AUTHORIZATION FOR THE ESTABLISHMENT OF A  NEW  PREMISES

S. 5787                             3

OR  SALE  OF  THE ADDITIONAL LICENSE UNDER THIS SUBDIVISION SHALL EXPIRE
THREE YEARS FROM THE EFFECTIVE DATE OF THIS SUBDIVISION.
  11.  THE AUTHORITY IS AUTHORIZED TO AUCTION OFF TO THE HIGHEST BIDDER,
PROVIDED THAT THE PERSON MEETS ALL THE  APPLICABLE  REQUIREMENTS,  ADDI-
TIONAL  LICENSES  FOR  THE  SALE OF LIQUOR OR WINE OR BOTH AT RETAIL FOR
CONSUMPTION OFF THE PREMISES. THE REVENUE FROM THIS SALE SHALL BE  ALLO-
CATED FOR THE INCREASED LICENSURE AND ENFORCEMENT EFFORTS OF THE AUTHOR-
ITY.  THE  AUTHORITY  SHALL  BE  AUTHORIZED TO SELL NO MORE THAN FIFTEEN
ADDITIONAL LICENSES EVERY TWO YEARS, BEGINNING ON APRIL FIRST, TWO THOU-
SAND ELEVEN.
  S 3. Subdivision 2 of section 79 of the alcoholic beverage control law
is amended and four new subdivisions 5, 6, 7, and 8 are added to read as
follows:
  2. [Not more than one license shall be] NOTHING IN THIS SECTION  SHALL
BE  CONSTRUED  TO  PROHIBIT  MULTIPLE LICENSES FROM BEING granted to any
person under this section.
  5. ANY LICENSE OBTAINED UNDER THIS SECTION INCLUDES  AUTHORIZATION  TO
SELL ALCOHOLIC BEVERAGES FOR RESALE TO LICENSED PREMISES FOR ON-PREMISES
CONSUMPTION    AS   LICENSED   BY   SECTIONS   FIFTY-FIVE,   SIXTY-FOUR,
SIXTY-FOUR-A, SEVENTY-NINE-B, AND EIGHTY-ONE OF THIS CHAPTER AS PROVIDED
IN SUBDIVISIONS THREE-A AND THREE-B OF SECTION ONE HUNDRED TWO  OF  THIS
CHAPTER.
  6. COMMENCING ON THE EFFECTIVE DATE OF THIS SUBDIVISION, NO ADDITIONAL
LICENSES  SHALL BE ISSUED PURSUANT TO THIS SECTION EXCEPT AS OUTLINED IN
SUBDIVISION SEVEN OF THIS SECTION. THE PROVISIONS  OF  THIS  SUBDIVISION
SHALL NOT APPLY TO (A) THE RENEWAL, TRANSFER OR CONTINUANCE OF A LICENSE
PURSUANT  TO THIS CHAPTER, (B) AN APPLICATION FOR A LICENSE FILED BEFORE
THE EFFECTIVE DATE OF THIS SUBDIVISION, (C) THE ISSUANCE OF A LICENSE IN
ACCORDANCE WITH  THE  PROVISIONS  OF  THIS  CHAPTER,  TO  A  PERSON  WHO
PURCHASED THE BUSINESS OPERATIONS OF A LICENSEE, PROVIDED, HOWEVER, THAT
ANY  PERSON LICENSED UNDER THIS SECTION SHALL MAKE AN APPLICATION TO THE
LIQUOR AUTHORITY PRIOR TO SELLING ITS LICENSE TO ANOTHER PERSON.
  7. ANY EXISTING LICENSE ISSUED UNDER THIS SECTION WHICH IS CANCELED OR
REVOKED BY THE LIQUOR AUTHORITY MAY BE  AUCTIONED  OFF  TO  THE  HIGHEST
BIDDER,  PROVIDED THAT THE PERSON MEETS ALL THE APPLICABLE REQUIREMENTS.
THE AMOUNT OF THE SALE OF THE EXISTING LICENSE  AS  AUTHORIZED  IN  THIS
SUBDIVISION  SHALL  BE  SUBJECT  TO  SALES  AND  COMPENSATING USE TAX AS
IMPOSED BY SECTION ELEVEN HUNDRED FIVE OF THE TAX LAW.
  8. EACH EXISTING LICENSEE SHALL BE AUTHORIZED TO APPLY FOR  ONE  ADDI-
TIONAL  LICENSE  FOR RETAIL SALE OF LIQUOR FOR CONSUMPTION OFF THE PREM-
ISES FOR USE IN THE ESTABLISHMENT OF ANOTHER LICENSED PREMISES, PROVIDED
HOWEVER,  THE  ADDITIONAL  PREMISES   COMPLIES   WITH   ALL   APPLICABLE
RESTRICTIONS  AND  REQUIREMENTS.  THE  ADDITIONAL  LICENSE ISSUED BY THE
AUTHORITY UNDER THIS SUBDIVISION AS WELL AS ANY EXISTING LICENSE  ISSUED
UNDER THIS SECTION MAY BE SOLD PROVIDED THE PURCHASER MEETS ALL APPLICA-
BLE  REQUIREMENTS, WHICH SALE SHALL BE SUBJECT TO SALES AND COMPENSATING
USE TAX AS IMPOSED BY SECTION ELEVEN HUNDRED FIVE OF THE  TAX  LAW.  THE
AUTHORIZATION  FOR  THE  ESTABLISHMENT  OF A NEW PREMISES OR SALE OF THE
ADDITIONAL LICENSE UNDER THIS SUBDIVISION SHALL EXPIRE THREE YEARS  FROM
THE EFFECTIVE DATE OF THIS SUBDIVISION.
  S  4.  Section  83 of the alcoholic beverage control law is amended by
adding a new subdivision 8 to read as follows:
  8. THE ANNUAL FEE FOR A GROCERY OR DRUG STORE WINE LICENSE PURSUANT TO
SECTION SEVENTY-NINE-E OF THIS ARTICLE SHALL BE ONE HUNDRED TEN DOLLARS.
WHERE, HOWEVER, THE  APPLICANT  IS  THE  HOLDER  OF  TWO  OR  MORE  SUCH

S. 5787                             4

LICENSES, THE ANNUAL FEE FOR EACH ADDITIONAL LICENSE SHALL BE DOUBLE THE
AMOUNT HEREINABOVE SET FORTH.
  S  5. Subdivision 2-a of section 100 of the alcoholic beverage control
law, as amended by chapter 249 of the laws of 2002, is amended  to  read
as follows:
  2-a.  No  retailer  shall  employ,  or permit to be employed, or shall
suffer to work, on any premises licensed for retail sale hereunder,  any
person  under the age of eighteen years, as a hostess, waitress, waiter,
or in any other capacity where the duties  of  such  person  require  or
permit  such  person  to  sell,  dispense or handle alcoholic beverages;
except that: (1) any person under the age of eighteen years and employed
by any person holding a grocery or drug  store  beer  license  shall  be
permitted  to  handle and deliver beer and wine products for such licen-
see, (2) any person under the age of eighteen employed as a cashier by a
person holding a grocery or drug store beer license shall  be  permitted
to  record  and  receive payment for beer and wine product sales when in
the presence of and under the direct supervision of  a  person  eighteen
years  of  age or over, (2-a) any person under the age of eighteen years
and employed by a person holding a grocery  store  or  drug  store  beer
license  as  either a cashier or in any other position to which handling
of containers which may have  held  alcoholic  beverages  is  necessary,
shall  be permitted to handle the containers if such have been presented
for redemption in accordance with the provisions of title ten of article
twenty-seven of the environmental conservation law, [and] (3) any person
under the age of eighteen years employed as  a  dishwasher,  busboy,  or
other  such  position  as to which handling of containers which may have
held alcoholic beverages is necessary shall be permitted to do so  under
the  direct  supervision  of a person of legal age to purchase alcoholic
beverages in the state, (4) ANY PERSON UNDER THE AGE OF  EIGHTEEN  YEARS
AND  EMPLOYED BY ANY PERSON HOLDING A GROCERY OR DRUG STORE WINE LICENSE
SHALL BE PERMITTED TO HANDLE AND DELIVER WINE FOR SUCH LICENSEE, AND (5)
ANY PERSON UNDER THE AGE OF EIGHTEEN EMPLOYED AS A CASHIER BY  A  PERSON
HOLDING  A  GROCERY  OR  DRUG  STORE  WINE LICENSE SHALL BE PERMITTED TO
RECORD AND RECEIVE PAYMENT FOR WINE WHEN IN THE PRESENCE  OF  AND  UNDER
THE DIRECT SUPERVISION OF A PERSON EIGHTEEN YEARS OF AGE OR OVER.
  S  6.  Section 100 of the alcoholic beverage control law is amended by
adding a new subdivision 2-c to read as follows:
  2-C. NO PERSON SHALL SELL, DELIVER OR GIVE AWAY OR CAUSE OR PERMIT  OR
PROCURE  TO  BE SOLD, DELIVERED OR GIVEN AWAY ANY ALCOHOLIC BEVERAGES TO
ANY PERSON, ACTUALLY OR APPARENTLY, UNDER THE AGE OF  TWENTY-ONE  YEARS.
AS  A  PRECONDITION TO THE SALE OF ANY ALCOHOLIC BEVERAGE, THE PURCHASER
OF ANY ALCOHOLIC BEVERAGE MUST  PROVIDE  WRITTEN  EVIDENCE  OF  AGE.  NO
LICENSEE,  OR  AGENT OR EMPLOYEE OF A LICENSEE UNDER THIS CHAPTER, SHALL
ACCEPT AS WRITTEN EVIDENCE OF AGE BY ANY SUCH PERSON FOR THE PURCHASE OF
ANY ALCOHOLIC BEVERAGE, ANY DOCUMENTATION OTHER THAN: (A) A VALID  DRIV-
ER'S LICENSE OR NON-DRIVER IDENTIFICATION CARD ISSUED BY THE COMMISSION-
ER OF MOTOR VEHICLES, THE FEDERAL GOVERNMENT, ANY UNITED STATES TERRITO-
RY,  COMMONWEALTH  OR  POSSESSION,  THE  DISTRICT  OF  COLUMBIA, A STATE
GOVERNMENT WITHIN THE UNITED STATES OR A PROVINCIAL  GOVERNMENT  OF  THE
DOMINION  OF CANADA, OR (B) A VALID PASSPORT ISSUED BY THE UNITED STATES
GOVERNMENT OR ANY OTHER COUNTRY, OR (C) AN IDENTIFICATION CARD ISSUED BY
THE ARMED FORCES OF THE UNITED STATES.
  S 7. Paragraph (a) of subdivision 14 of section 105 of  the  alcoholic
beverage control law, as amended by section 1 of part U of chapter 63 of
the laws of 2003, is amended to read as follows:

S. 5787                             5

  (a)  No  premises licensed to sell liquor and/or wine for off-premises
consumption shall be permitted to remain open:
  (i)  On  Sunday  before  [twelve  o'clock post meridian] EIGHT O'CLOCK
ANTEMERIDIAN and after nine o'clock post meridian.
  (ii) On any day between [midnight and] THREE O'CLOCK ANTEMERIDIAN  AND
eight o'clock antemeridian.
  [(iii) On the twenty-fifth day of December, known as Christmas day.]
  In  any  community  where daylight saving time is in effect, such time
shall be deemed the standard time for the purpose of this subdivision.
  S 8. Section 105 of the alcoholic beverage control law is  amended  by
adding a new subdivision 24 to read as follows:
  24. COOPERATIVE AGREEMENTS BY LICENSEES TO SELL AT RETAIL FOR CONSUMP-
TION  ON THE PREMISES. ANY TWO OR MORE RETAIL LICENSEES FOR OFF-PREMISES
CONSUMPTION MAY JOIN IN A COOPERATIVE AGREEMENT TO MAKE JOINT  PURCHASES
OF  ALCOHOLIC  BEVERAGES  IN  LARGER  QUANTITIES THAN MIGHT OTHERWISE BE
PURCHASED; PROVIDED, HOWEVER, THAT  ALL  ALCOHOLIC  BEVERAGES  PURCHASED
PURSUANT TO ANY SUCH AGREEMENT SHALL BE DISTRIBUTED TO NONE OTHER THAN A
LICENSEE WHO IS A PARTY TO SUCH AGREEMENT.
  S 9. Subdivisions 3-a and 3-b of section 102 of the alcoholic beverage
control  law, as amended by chapter 458 of the laws of 1993, are amended
to read as follows:
  3-a. No licensee or permittee shall purchase or agree to purchase  any
alcoholic  beverages  from  any  person within the state who is not duly
licensed to sell such alcoholic beverage as the case may be, at the time
of such agreement and sale nor give any order for any alcoholic beverage
to any individual who is not the holder of a solicitor's permit,  except
as  provided for in section eighty-five [or], ninety-nine-g, OR SEVENTY-
NINE-E, OR SUBDIVISION TEN OF SECTION SIXTY-THREE of this chapter.
  3-b. No retail licensee shall purchase, agree to purchase  or  receive
any  alcoholic  beverage  except  from a person duly licensed within the
state by the liquor authority to sell such  alcoholic  beverage  at  the
time  of  such  agreement  and  sale  to such retail licensee, except as
provided  for   in   section   eighty-five   [or],   ninety-nine-g,   OR
SEVENTY-NINE-E,  OR SUBDIVISION TEN OF SECTION SIXTY-THREE of this chap-
ter.
  S 10. Subdivision 2 of section 79 of the  alcoholic  beverage  control
law is amended to read as follows:
  2.  [Not more than one license shall be] NOTHING IN THIS SECTION SHALL
BE CONSTRUED TO PROHIBIT MULTIPLE LICENSES FROM  BEING  granted  to  any
person under this section.
  S  11.  Subdivision 2 of section 105 of the alcoholic beverage control
law is REPEALED.
  S 12. Subdivision 7 of section 105 of the alcoholic  beverage  control
law is REPEALED.
  S  13.  The  alcoholic beverage control law is amended by adding a new
section 79-e to read as follows:
  S 79-E. GROCERY OR DRUG STORE WINE LICENSE. 1. ANY PERSON MAY APPLY TO
THE AUTHORITY FOR A LICENSE TO SELL FROM THE LICENSED PREMISES  WINE  IN
SEALED CONTAINERS FOR CONSUMPTION OFF SUCH PREMISES.
  2.  NO  SUCH  LICENSE  SHALL BE ISSUED, HOWEVER, TO ANY PERSON FOR ANY
PREMISES OTHER THAN A GROCERY STORE, AS DEFINED IN SUBDIVISION  THIRTEEN
OF  SECTION THREE OF THIS CHAPTER, OR A DRUG STORE, AS DEFINED IN SUBDI-
VISION TWELVE OF SECTION THREE OF THIS CHAPTER.
  3. (A) NOTWITHSTANDING ANY OTHER PROVISION OF THIS CHAPTER, EXCEPT FOR
GOOD CAUSE SHOWN, THE AUTHORITY SHALL ISSUE A GROCERY OR DRUG STORE WINE
LICENSE TO THE HOLDER OF A LICENSE TO SELL BEER AT RETAIL  FOR  CONSUMP-

S. 5787                             6

TION OFF THE PREMISES PURSUANT TO SECTION FIFTY-FOUR OF THIS CHAPTER, OR
BEER AND WINE PRODUCTS AT RETAIL FOR CONSUMPTION OFF THE PREMISES PURSU-
ANT  TO  SECTION  FIFTY-FOUR-A  OF  THIS CHAPTER, AT THE REQUEST OF SUCH
LICENSEE.
  (B)  FOR THE PURPOSES OF THIS SUBDIVISION, THE PREMISES OF THE GROCERY
OR DRUG STORE WINE LICENSEE SHALL BE THE SAME AS THE  PREMISES  LICENSED
UNDER SECTION FIFTY-FOUR OR FIFTY-FOUR-A OF THIS CHAPTER.
  (C)  NOTWITHSTANDING ANY OTHER PROVISIONS OF THIS CHAPTER, ANY LICENSE
ISSUED PURSUANT TO THIS SECTION SHALL RUN CONCURRENTLY WITH THE UNDERLY-
ING LICENSE UNDER SECTION FIFTY-FOUR OR FIFTY-FOUR-A  OF  THIS  CHAPTER,
AND  SHALL  BE  DEEMED  EXPIRED  AT  SUCH TIME AS THE UNDERLYING LICENSE
EXPIRES.
  (D) WINE TASTING. ANY PERSON LICENSED TO SELL WINE  PURSUANT  TO  THIS
ARTICLE SHALL BE PERMITTED TO CONDUCT WINE TASTINGS. WINE TASTINGS WHICH
ARE  CONDUCTED UNDER THE AUSPICES OF AN OFFICIAL AGENT OF A FARM WINERY,
WINERY, WHOLESALER, OR IMPORTER AND WHERE SUCH AGENT IS PHYSICALLY PRES-
ENT AT ALL TIMES DURING THE CONDUCT OF THE TASTING, THEN, IN THAT EVENT,
ANY LIABILITY STEMMING FROM A RIGHT OF  ACTION  RESULTING  FROM  A  WINE
TASTING  AS  AUTHORIZED PURSUANT TO THIS SECTION, AND IN ACCORDANCE WITH
THE PROVISIONS OF SECTIONS 11-100 AND 11-101 OF THE GENERAL  OBLIGATIONS
LAW, SHALL ACCRUE TO THE FARM WINERY, WINERY, WHOLESALER, OR IMPORTER.
  4.  NOTWITHSTANDING ANY OTHER PROVISION OF THIS CHAPTER, THE AUTHORITY
MAY ISSUE A LICENSE UNDER THIS SECTION TO THE HOLDER  OF  A  LICENSE  TO
SELL WINE AT RETAIL FOR CONSUMPTION OFF THE PREMISES PURSUANT TO SECTION
SEVENTY-NINE  OF THIS ARTICLE, PROVIDED THAT: (A) THE LICENSEE MEETS THE
REQUIREMENTS OF SUBDIVISION TWO OF THIS SECTION; AND (B)  UPON  ISSUANCE
OF  A  LICENSE,  THE  LICENSEE UNDER THIS SECTION SURRENDERS THE LICENSE
CERTIFICATE ISSUED PURSUANT TO SUCH SECTION SEVENTY-NINE.
  5. SUCH APPLICATION SHALL BE IN  SUCH  FORM  AND  SHALL  CONTAIN  SUCH
INFORMATION AS SHALL BE REQUIRED BY THE RULES OF THE AUTHORITY AND SHALL
BE  ACCOMPANIED BY A CHECK OR DRAFT IN THE AMOUNT REQUIRED BY THIS ARTI-
CLE FOR SUCH LICENSE.
  6. NOTWITHSTANDING ANY OTHER PROVISIONS OF THIS  CHAPTER,  ANY  PERSON
RECEIVING A LICENSE PURSUANT TO THIS SECTION SHALL NOT BE SUBJECT TO THE
PROVISIONS  OF SUBDIVISION TWO, THREE OR FOUR OF SECTION SEVENTY-NINE OF
THIS ARTICLE.
  7. NOTWITHSTANDING ANY OTHER PROVISIONS OF THIS  CHAPTER,  ANY  PERSON
RECEIVING A LICENSE PURSUANT TO THIS SECTION SHALL NOT BE SUBJECT TO THE
PROVISIONS  OF PARAGRAPH (A) OF SUBDIVISION THREE OF SECTION ONE HUNDRED
FIVE OF THIS CHAPTER.
  8. (A) A ONE-TIME FRANCHISE FEE SHALL  BE  PAID  FOR  BY  EACH  RETAIL
OUTLET  TO  THE  STATE  LIQUOR  AUTHORITY.  THIS FRANCHISE FEE IS HEREBY
IMPOSED AT A RATE OF 0.46 OF ONE PERCENT OF THE TOTAL GROSS SALES AT THE
INDIVIDUAL LICENSED PREMISES OF THE LICENSEE IN THE PREVIOUS YEAR.
  (B) IN THE EVENT AN APPLICANT HAS  BEEN  IN  BUSINESS  FOR  LESS  THAN
TWELVE  MONTHS  PRIOR TO THE FILING OF THE APPLICATION FOR THIS LICENSE,
SUCH APPLICANT SHALL, IN ACCORDANCE WITH THE  RULES  OF  THE  AUTHORITY,
REMIT  AN  ESTIMATE  OF  ITS  FRANCHISE FEE BASED ON SQUARE FOOTAGE AT A
LICENSEE'S LOCATION PURSUANT TO THE FOLLOWING SCHEDULE:
SQUARE FOOTAGE AT             FRANCHISE FEE
LICENSEE'S LOCATION           PER LOCATION
        0-999                 $825
  1,000-1,999                 $1,650
  2,000-3,999                 $3,300
  4,000-9,999                 $8,250
10,000-19,999                 $16,500

S. 5787                             7

20,000-24,999                 $33,000
25,000-29,999                 $82,500
30,000-39,999                 $132,000
40,000 AND GREATER            $495,000
  WITHIN  SIXTY DAYS AFTER SUCH LICENSEE SHALL HAVE BEEN IN BUSINESS FOR
TWELVE MONTHS, SUCH LICENSEE SHALL SUBMIT TO THE AUTHORITY,  IN  ACCORD-
ANCE  WITH  THE  RULES  OF THE AUTHORITY, A STATEMENT SHOWING ITS ACTUAL
TOTAL GROSS SALES FOR THE FIRST TWELVE MONTHS OF OPERATION AND THE FRAN-
CHISE FEE DUE PURSUANT TO PARAGRAPH (A)  OF  THIS  SUBDIVISION.  IN  THE
EVENT  THE  FRANCHISE  FEE DETERMINED PURSUANT TO SUCH PARAGRAPH EXCEEDS
THE AMOUNT PAID PURSUANT TO THIS PARAGRAPH,  THE  LICENSEE  SHALL  REMIT
PAYMENT  FOR  THE  BALANCE  OF  THE  REQUIRED  FRANCHISE FEE WITHIN SUCH
SIXTY-DAY PERIOD. FAILURE TO REMIT PAYMENT WITHIN SUCH SIXTY-DAY  PERIOD
SHALL  BE GROUNDS FOR CANCELLATION OR REVOCATION OF SUCH LICENSE. IN THE
EVENT THAT THE FRANCHISE FEE DUE  PURSUANT  TO  PARAGRAPH  (A)  OF  THIS
SUBDIVISION IS LESS THAN THE AMOUNT PAID PURSUANT TO THIS PARAGRAPH, THE
LICENSEE  SHALL  BE ENTITLED TO A REFUND EQUAL TO THE DIFFERENCE BETWEEN
THE FRANCHISE FEE PAID PURSUANT TO THIS PARAGRAPH  AND  THE  AMOUNT  DUE
PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION.
  (C)  NO  LICENSE  SHALL  BE  ISSUED PURSUANT TO THIS SECTION UNTIL THE
FRANCHISE FEE OR ESTIMATED FRANCHISE FEE UNDER THIS SUBDIVISION REQUIRED
BY EITHER PARAGRAPH (A) OR (B) OF THIS  SUBDIVISION  HAS  BEEN  PAID  IN
FULL.
  (D)  THE  FRANCHISE FEE SHALL BE DEPOSITED AND DISPOSED OF IN THE SAME
MANNER AS ANY LICENSE FEE AS PROVIDED IN SECTION ONE HUNDRED TWENTY-FIVE
OF THIS CHAPTER.
  9. (A) ANY PERSON LICENSED  TO SELL WINE PURSUANT TO THIS ARTICLE THAT
OPERATES THE PREMISES OF THE GROCERY OR DRUG STORE  WINE  LICENSEE  THAT
OCCUPIES  LESS  THAN  ONE  THOUSAND  SQUARE  FEET MAY PURCHASE, AGREE TO
PURCHASE OR RECEIVE ANY ALCOHOLIC BEVERAGE FROM A PERSON LICENSED  UNDER
SECTION  SIXTY-THREE  OF  THIS  CHAPTER  TO  SELL  LIQUOR  AT RETAIL FOR
CONSUMPTION OFF THE PREMISES.
  (B) ANY PERSON LICENSED TO SELL WINE AT RETAIL FOR CONSUMPTION OFF THE
PREMISES UNDER SECTION SEVENTY-NINE OF THIS  ARTICLE  IS  AUTHORIZED  TO
SELL  WINE  TO PERSONS LICENSED TO SELL WINE UNDER THIS ARTICLE AND THIS
SECTION WHO OPERATE THE PREMISES OF  THE  GROCERY  OR  DRUG  STORE  WINE
LICENSEE THAT OCCUPIES LESS THAN ONE THOUSAND SQUARE FEET.
  10.  THE STATE LIQUOR AUTHORITY MAY MAKE SUCH RULES AS IT DEEMS NECES-
SARY TO CARRY OUT THE PROVISIONS OF THIS SECTION,  HOWEVER,  SUCH  RULES
SHALL  NOT BE CONSTRUED TO PLACE ADDITIONAL LIMITATIONS UPON THE HOLDERS
OF LICENSES ISSUED PURSUANT TO  SECTION  SEVENTY-NINE  OF  THIS  ARTICLE
UNRELATED TO THE SALE OF WINE.
  S  14. Subdivision 10 of section 105 of the alcoholic beverage control
law, paragraph (a) as amended by chapter 679 of the  laws  of  1950,  is
amended to read as follows:
  10.  [(a)] Each retail licensee of liquor and/or wine for off-premises
consumption shall have conspicuously displayed within  the  interior  of
the  licensed  premises where sales are made and where it can be readily
inspected by consumers a printed price list of the liquors and/or  wines
offered for sale therein; and no liquor and/or wine shall be sold except
at the price set forth in such list[;
  (b)  No  screen,  blind, curtain, partition, article or thing shall be
permitted in the windows or upon the doors of  such  licensed  premises,
which  shall  prevent  a  clear  view into the interior of such licensed
premises from the sidewalk, at all times; and

S. 5787                             8

  (c) No booth, screen, partition or other obstruction shall be  permit-
ted in the interior of said licensed premises].
  S  15.  The  alcoholic beverage control law is amended by adding a new
section 97-b to read as follows:
  S 97-B. TEMPORARY RETAIL PERMIT FOR NEW APPLICANTS. 1.  THE  AUTHORITY
IS  HEREBY AUTHORIZED TO ISSUE A TEMPORARY RETAIL PERMIT TO AN APPLICANT
OF A PREMISES THAT IS NOT LICENSED WHEN THE APPLICANT HAS FILED WITH THE
AUTHORITY AN APPLICATION FOR A RETAIL LICENSE AT SUCH  PREMISES  OR  HAS
FILED  RENEWAL OF SUCH LICENSE. SUCH APPLICATION SHALL BE IN WRITING AND
VERIFIED AND SHALL CONTAIN INFORMATION AS THE AUTHORITY  SHALL  REQUIRE.
SUCH  APPLICATION  SHALL  BE ACCOMPANIED BY A FILING FEE OF SEVENTY-FIVE
DOLLARS.
  2. UPON APPLICATION, THE AUTHORITY  SHALL  ISSUE  A  TEMPORARY  RETAIL
PERMIT  WHEN  THE  APPLICANT HAS FILED WITH THE AUTHORITY AN APPLICATION
FOR A RETAIL LICENSE AT SUCH PREMISES OR  A  RENEWAL  THEREOF,  TOGETHER
WITH  ALL REQUIRED FILING AND LICENSE FEES. A TEMPORARY PERMIT ISSUED BY
THE AUTHORITY PURSUANT TO THIS SECTION SHALL BE  FOR  A  PERIOD  NOT  TO
EXCEED NINETY DAYS. A TEMPORARY PERMIT MAY BE EXTENDED AT THE DISCRETION
OF THE AUTHORITY, FOR AN ADDITIONAL THIRTY DAYS.
  3.  PURSUANT  TO  THIS  SECTION  A  TEMPORARY RETAIL PERMIT MAY NOT BE
ISSUED FOR ANY PREMISES THAT IS IN VIOLATION OF THE PROVISIONS OF SUBDI-
VISION SEVEN OF SECTION SIXTY-FOUR, SUBDIVISION SEVEN OF SECTION  SIXTY-
FOUR-A,  SUBDIVISION FIVE OF SECTION SIXTY-FOUR-B, SUBDIVISION ELEVEN OF
SECTION SIXTY-FOUR-C,  SUBDIVISION  EIGHT  OF  SECTION  SIXTY-FOUR-D  OR
SUBDIVISION THREE OF SECTION ONE HUNDRED FIVE OF THIS CHAPTER.
  4. A TEMPORARY RETAIL PERMIT IS A CONDITIONAL PERMIT AND SHALL AUTHOR-
IZE THE HOLDER THEREOF TO, IN THE CASE OF ALL OTHER RETAIL APPLICATIONS,
PURCHASE  AND  SELL SUCH ALCOHOLIC BEVERAGES AS WOULD BE PERMITTED TO BE
PURCHASED AND SOLD UNDER THE PRIVILEGES OF THE LICENSE APPLIED  FOR;  TO
SELL  ALCOHOLIC  BEVERAGES  TO CONSUMERS ONLY AND NOT FOR RESALE; AND TO
PURCHASE ALCOHOLIC BEVERAGES ONLY BY PAYMENT IN CURRENCY  OR  CHECK  FOR
SUCH  ALCOHOLIC  BEVERAGES ON OR BEFORE THEY ARE DELIVERED TO SUCH PREM-
ISES.
  5. NOTWITHSTANDING ANY OTHER PROVISION OF LAW, A TEMPORARY PERMIT  MAY
BE  SUMMARILY CANCELLED OR SUSPENDED AT ANY TIME IF THE AUTHORITY DETER-
MINES THAT GOOD CAUSE FOR SUCH CANCELLATION OR  SUSPENSION  EXISTS.  THE
AUTHORITY  SHALL  PROMPTLY  NOTIFY  THE  HOLDER OF A TEMPORARY PERMIT IN
WRITING OF SUCH CANCELLATION OR  SUSPENSION  AND  SHALL  SET  FORTH  THE
REASONS FOR SUCH ACTION.
  6.  APPROVAL OF, OR EXTENSION OF, A TEMPORARY RETAIL LICENSE SHALL NOT
BE DEEMED AS AN APPROVAL OF THE RETAIL APPLICATION.
  7. NOTWITHSTANDING ANY INCONSISTENT PROVISION OF LAW TO THE  CONTRARY,
THE AUTHORITY MAY PROMULGATE SUCH RULES AND REGULATIONS AS MAY BE NECES-
SARY TO CARRY OUT THE PROVISIONS OF THIS SECTION.
  S  16.  Section 17 of the alcoholic beverage control law is amended by
adding a new subdivision 8-b to read as follows:
  8-B. ON AND AFTER JANUARY FIRST, TWO THOUSAND TEN, THE REPORT PROVIDED
FOR IN SUBDIVISION EIGHT  OF  THIS  SECTION  SHALL  INCLUDE  INFORMATION
RELATED  TO  THE NUMBER OF LICENSES APPLIED FOR, RENEWALS SOUGHT AND THE
LENGTH OF TIME REQUIRED FOR  THE  APPROVAL  OR  DENIAL  OF  SUCH  RETAIL
LICENSES  AND  RENEWALS  APPLIED  FOR  PURSUANT  TO SUBDIVISION TWO-C OF
SECTION SIXTY-ONE OF THIS CHAPTER AND SECTIONS SIXTY-FOUR,  SEVENTY-SIX,
SEVENTY-SIX-A,  SEVENTY-SIX-C,  SEVENTY-SIX-D  AND SEVENTY-SIX-F OF THIS
CHAPTER.

S. 5787                             9

  S 17. Paragraph (b) of subdivision 3 of section 101-b of the alcoholic
beverage control law, as amended by section 1 of part E of chapter 56 of
the laws of 2006, is amended to read as follows:
  (b)  No  brand  of  liquor  or wine shall be sold to or purchased by a
retailer unless a schedule, as provided by this section, is  transmitted
to  and  received  by  the liquor authority, and is then in effect. Such
schedule shall be transmitted to the authority  in  such  form,  manner,
medium  and  format  as  the  authority may direct; shall be deemed duly
verified by the person submitting such schedule upon its transmission to
the authority; and shall contain, with respect to each item,  the  exact
brand  or  trade  name, capacity of package, nature of contents, age and
proof where stated on the label, the number of bottles contained in each
case, the bottle and case price to retailers, the net  bottle  and  case
price paid by the seller, which prices, in each instance, shall be indi-
vidual  for  each item and not in "combination" with any other item, the
discounts for quantity, if any, and the discounts for time  of  payment,
if  any. FOR PURPOSES OF THIS PARAGRAPH, IN REGARDS TO PREMISES LICENSED
UNDER SECTION SIXTY-THREE  OF  THIS  CHAPTER,  "COMBINATION"  SHALL  NOT
INCLUDE WINES PROVIDED BY THE SAME VINEYARD OR DISTRIBUTOR TO A RETAILER
AND  WHERE  SUCH  WINES  MAY  BE DIFFERENT. Such brand of liquor or wine
shall not be sold to retailers except at the price and discounts then in
effect unless prior written permission of the authority is  granted  for
good  cause  shown  and for reasons not inconsistent with the purpose of
this chapter. Such schedule shall be transmitted  by  each  manufacturer
selling  such  brand  to  retailers  and by each wholesaler selling such
brand to retailers.
  S 18. This act shall take effect on  the  one  hundred  eightieth  day
after it shall have become a law.

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Senate Bill S5787

Sponsored By

Archive: Last Bill Status - In Senate Committee Commerce, Economic Development And Small Business Committee

co-Sponsors

2009-S5787 (ACTIVE) - Details

2009-S5787 (ACTIVE) - Summary

2009-S5787 (ACTIVE) - Sponsor Memo

2009-S5787 (ACTIVE) - Bill Text download pdf

Comments

Senate Bill S5787

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Sponsored By

Archive: Last Bill Status - In Senate Committee Commerce, Economic Development And Small Business Committee

co-Sponsors

2009-S5787 (ACTIVE) - Details

2009-S5787 (ACTIVE) - Summary

2009-S5787 (ACTIVE) - Sponsor Memo

2009-S5787 (ACTIVE) - Bill Text download pdf

Comments