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

                                  5300

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                              May 16, 2013
                               ___________

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

AN  ACT to amend the economic development law, in relation to establish-
  ing the New York craft beverage council

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

  Section  1.  The  economic  development law is amended by adding a new
article 5-F to read as follows:
                               ARTICLE 5-F
                 NEW YORK CRAFT BEVERAGE COUNCIL PROGRAM
SECTION 181-F. SHORT TITLE.
        181-G. DEFINITIONS.
        181-H. GENERAL POWERS AND DUTIES OF THE COMMISSIONER.
        181-I. NEW YORK CRAFT BEVERAGE COUNCIL.
  S 181-F. SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED  AS
THE "NEW YORK CRAFT BEVERAGE COUNCIL PROGRAM".
  S  181-G.  DEFINITIONS.  THE  FOLLOWING TERMS SHALL HAVE THE FOLLOWING
MEANINGS FOR THE PURPOSES OF THIS SECTION:
  1. "WINERY" SHALL MEAN A BUSINESS THAT PRODUCES WINE.
  2. "DISTILLERY" SHALL MEAN A BUSINESS THAT PRODUCES SPIRITS.
  3. "MICROBREWERY" SHALL MEAN A BUSINESS THAT PRODUCES CRAFT BREWS.
  4. "BEER DISTRIBUTOR" SHALL MEAN A BUSINESS THAT SELLS CRAFT BREWS  TO
THE PUBLIC AND DELIVERS CRAFT BREWS TO RETAILERS.
  5.  "BREW  PUB"  SHALL MEAN A PUB OR RESTAURANT THAT BREWS BEER ON THE
PREMISES.
  6. "FARM DISTILLERY" SHALL MEAN A DISTILLERY WITH A CLASS D LICENSE.
  S 181-H. GENERAL POWERS AND DUTIES OF THE  COMMISSIONER.  THE  COMMIS-
SIONER  SHALL  DEVELOP  AND IMPLEMENT A NEW YORK CRAFT BEVERAGE PROGRAM.
THE NEW YORK CRAFT BEVERAGE COUNCIL SHALL DEVELOP A  MARKETING  STRATEGY

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD03962-05-3

              

S. 5300                             2

PURSUANT  TO  THIS  PROGRAM  THAT  SHALL  PROMOTE NEW YORK AS A PREMIERE
PRODUCER OF HIGH QUALITY WINES, SPIRITS AND CRAFT BREWS.
  S  181-I. NEW YORK CRAFT BEVERAGE COUNCIL. 1. (A) THE COMMISSIONER, IN
ACCORDANCE WITH THIS PROGRAM, SHALL CAUSE TO BE  DEVELOPED  A  NEW  YORK
CRAFT BEVERAGE COUNCIL TO BE TASKED WITH BRANDING, MARKETING AND PROMOT-
ING  FINE  NEW  YORK  STATE WINES, SPIRITS AND CRAFT BEVERAGES.  THE NEW
YORK CRAFT BEVERAGE COUNCIL SHALL BE MANAGED BY AND  ITS  POWERS,  FUNC-
TIONS AND DUTIES SHALL BE EXERCISED THROUGH A BOARD OF DIRECTORS.
  (B) THE INITIAL BOARD OF DIRECTORS SHALL CONSIST OF NINE MEMBERS: FIVE
OF  WHICH  SHALL  BE  APPOINTED  BY  THE GOVERNOR; TWO OF WHICH SHALL BE
APPOINTED BY THE TEMPORARY PRESIDENT OF THE SENATE;  AND  TWO  OF  WHICH
SHALL  BE APPOINTED BY THE SPEAKER OF THE ASSEMBLY. OF THE NINE MEMBERS,
ONE SHALL BE AN OFFICER OR OWNER OF A WINERY, ONE SHALL BE AN OFFICER OR
OWNER OF A DISTILLERY, ONE SHALL BE AN OFFICER OR OWNER OF A  MICROBREW-
ERY, ONE SHALL BE AN OFFICER OR OWNER OF A LIQUOR STORE, ONE SHALL BE AN
OFFICER OR OWNER OF A BEER DISTRIBUTOR, ONE SHALL BE AN OFFICER OR OWNER
OF  A  FARM  DISTILLERY, ONE SHALL BE AN OFFICER OR OWNER OF A BREW PUB,
ONE SHALL BE THE OWNER OR OFFICER OF A RESTAURANT LICENSED TO SELL  FINE
NEW  YORK  WINES,  SPIRITS  AND  CRAFT  BREWS, AND ONE SHALL BE A PERSON
FAMILIAR WITH THE ADVERTISING, PROMOTION  AND  MARKETING  OF  COMMERCIAL
PRODUCTS.  THE DIRECTORS SO APPOINTED SHALL SERVE A TERM OF THREE YEARS,
EXCEPT THAT, OF THE DIRECTORS SO APPOINTED BY  THE  GOVERNOR,  TEMPORARY
PRESIDENT  OF THE SENATE AND SPEAKER OF THE ASSEMBLY, THE OWNER OR OFFI-
CER OF A DISTILLERY, THE OWNER OR OFFICER OF A BEER DISTRIBUTOR AND  THE
OWNER  OR OFFICER OF A RESTAURANT SHALL SERVE FOR ONE YEAR, THE OWNER OR
OFFICER OF A BREWERY, THE OWNER OR OFFICER OF A  LIQUOR  STORE  AND  THE
OWNER  OR OFFICER OF A BREW PUB SHALL SERVE FOR TWO YEARS, AND THE OWNER
OR OFFICER OF A WINERY, THE OWNER OR OFFICER OF A  FARM  DISTILLERY  AND
THE PERSON FAMILIAR WITH ADVERTISING, PROMOTION AND MARKETING OF COMMER-
CIAL PRODUCTS SHALL SERVE FOR THREE YEARS.
  (C)  THE  CHAIR  OF  THE  URBAN DEVELOPMENT CORPORATION SHALL SERVE AS
CHAIR OF THE COUNCIL.
  (D) MEMBERSHIP WILL BE DEFINED AS MEMBERS IN  GOOD  STANDING  PER  THE
BYLAWS OF THE NEW YORK CRAFT BEVERAGE COUNCIL. EACH MEMBER WILL CONTRIB-
UTE  ANNUAL  DUES TO THE COUNCIL TO BE DETERMINED BY THE BOARD OF DIREC-
TORS.
  (E) THE EXECUTIVE DIRECTOR OF THE  NEW  YORK  CRAFT  BEVERAGE  COUNCIL
SHALL HAVE PREVIOUS EXPERIENCE IN MARKETING CRAFT BEVERAGES, EVENT PLAN-
NING  AND  BRAND MANAGEMENT AND WILL BE APPOINTED BY THE BOARD OF DIREC-
TORS, DECIDED BY A MAJORITY VOTE. THE EXECUTIVE DIRECTOR WILL  SERVE  AS
AN "AT WILL" EMPLOYEE AT THE DISCRETION OF THE BOARD OF DIRECTORS.
  (F)  IF  ANY  VACANCY  OTHER  THAN BY EXPIRATION OF TERM OCCURS ON THE
BOARD AMONGST THOSE FIRST APPOINTED SUCH  VACANCY  SHALL  BE  FILLED  BY
APPOINTMENT FOR THE UNEXPIRED TERM BY THE APPOINTING AUTHORITY INITIALLY
APPOINTING SUCH MEMBER. UPON EXPIRATION OF THE INITIAL TERMS, SUCCESSORS
SHALL  BE ELECTED BY THE REMAINING MEMBERS OF THE BOARD FOR A THREE YEAR
TERM; SUCH DIRECTORS SHALL  HAVE  THE  QUALIFICATIONS  REQUIRED  OF  THE
ORIGINAL DIRECTORS.
MEMBERS  SHALL  CONTINUE  AS  SUCH UNTIL THEIR SUCCESSORS HAVE BEEN DULY
ELECTED.
  (G) MEMBERS OF THE BOARD OF  DIRECTORS  SHALL  SERVE  WITHOUT  COMPEN-
SATION,  BUT SHALL BE REIMBURSED FOR ACTUAL EXPENSES REASONABLY INCURRED
IN THE PERFORMANCE OF THEIR DUTIES.
  (H) THE BOARD SHALL MEET FOUR TIMES ANNUALLY AT THE CALL OF THE CHAIR-
MAN OR IN HIS ABSENCE THE VICE CHAIRMAN OR  ON  PETITION  OF  ANY  THREE
MEMBERS.    A  MAJORITY OF THE MEMBERS OF THE BOARD THEN IN OFFICE SHALL

S. 5300                             3

CONSTITUTE A QUORUM FOR THE TRANSACTION OF ANY BUSINESS.  THE  BOARD  IS
ENCOURAGED  TO  CONDUCT  ITS  MEETINGS IN A MANNER WHICH WILL ENSURE THE
ACTIVE PARTICIPATION OF ANY PERSON  HAVING  AN  INTEREST  IN  THE  CRAFT
BEVERAGE INDUSTRY.
  (I) THE NEW YORK CRAFT BEVERAGE COUNCIL IS CHARGED WITH CREATING BRAND
RECOGNITION  FOR  FINE NEW YORK WINES, SPIRITS AND CRAFT BREWS. IN DOING
SO THEY SHALL WORK TO MARKET NEW YORK STATE LABELED CRAFT BEVERAGES BOTH
WITHIN AND OUTSIDE OF NEW YORK STATE WITH THE GOAL OF PROMOTING NEW YORK
CRAFT BEVERAGES.
  (J) THE NEW YORK CRAFT BEVERAGE COUNCIL SHALL, BY ONE  YEAR  FOLLOWING
THE  EFFECTIVE  DATE OF THIS ARTICLE, SUBMIT A PRELIMINARY REPORT TO THE
GOVERNOR AND  THE  LEGISLATURE  WITH  AN  ASSESSMENT  OF  MARKETING  AND
PROMOTION STRATEGIES TO IMPLEMENT THIS ARTICLE.
  2.  (A)  (I)  REGIONAL  ADVISORY  BOARDS  SHALL  BE ESTABLISHED, WHOSE
MEMBERS SHALL WORK WITH THE NEW YORK CRAFT BEVERAGE COUNCIL. THERE SHALL
BE FIVE REGIONAL MEMBERS OF THE ADVISORY BOARD FOR  EACH  REGION  ESTAB-
LISHED  PURSUANT  TO  THIS SECTION. FOR EACH REGION, ONE REGIONAL MEMBER
SHALL BE APPOINTED BY  THE  GOVERNOR,  TWO  REGIONAL  MEMBERS  SHALL  BE
APPOINTED  BY  THE  TEMPORARY  PRESIDENT OF THE SENATE, AND TWO REGIONAL
MEMBERS SHALL BE APPOINTED BY THE  SPEAKER  OF  THE  ASSEMBLY.  REGIONAL
ADVISORY  BOARD  MEMBERS  SHALL  HAVE THE QUALIFICATIONS REQUIRED OF THE
BOARD OF DIRECTORS.
  (II) REGIONAL MEMBERS SHALL NOT BE CONSIDERED TO  BE  MEMBERS  OF  THE
COUNCIL  FOR PURPOSES OF PARTICIPATION IN COUNCIL MEETINGS, EXCEPT WHERE
ITEMS RELATING SPECIFICALLY TO THAT MEMBER'S REGION ARE ON THE AGENDA OF
A COUNCIL MEETING.
  (B) FOR THE PURPOSES OF THIS ARTICLE, THERE SHALL BE TEN REGIONS:
  (I) WESTERN NEW YORK, CONSISTING OF ALLEGANY, CATTARAUGUS, CHAUTAUQUA,
ERIE AND NIAGARA COUNTIES;
  (II) FINGER LAKES, CONSISTING OF GENESEE, LIVINGSTON, MONROE, ONTARIO,
ORLEANS, SENECA, WAYNE, WYOMING AND YATES COUNTIES;
  (III) SOUTHERN TIER, CONSISTING OF BROOME,  CHEMUNG,  CHENANGO,  DELA-
WARE, SCHUYLER, STEUBEN , TIOGA AND TOMPKINS COUNTIES;
  (IV)  CENTRAL NEW YORK, CONSISTING OF CAYUGA, CORTLAND, MADISON, ONON-
DAGA AND OSWEGO COUNTIES;
  (V) MOHAWK VALLEY, CONSISTING OF FULTON, HERKIMER, MONTGOMERY, ONEIDA,
OTSEGO AND SCHOHARIE COUNTIES;
  (VI) NORTH COUNTRY, CONSISTING OF CLINTON, ESSEX, FRANKLIN,  HAMILTON,
JEFFERSON, LEWIS AND ST. LAWRENCE COUNTIES;
  (VII)  CAPITAL REGION, CONSISTING OF ALBANY, COLUMBIA, GREENE, SARATO-
GA, SCHENECTADY, RENSSELAER, WARREN AND WASHINGTON COUNTIES;
  (VIII) MID-HUDSON, CONSISTING OF DUTCHESS, ORANGE,  PUTNAM,  ROCKLAND,
SULLIVAN, ULSTER AND WESTCHESTER COUNTIES;
  (IX) NEW YORK CITY, CONSISTING OF BRONX, KINGS, NEW YORK, RICHMOND AND
QUEENS COUNTIES;
  (X) LONG ISLAND, CONSISTING OF NASSAU AND SUFFOLK COUNTIES.
  (C)  REGIONAL ADVISORY BOARD MEMBERS SHALL SERVE WITHOUT COMPENSATION,
AND SHALL HAVE THEIR PRINCIPAL RESIDENCE WITHIN  THE  REGION  FOR  WHICH
THEY  ARE  APPOINTED.  SUCH  REGIONAL ADVISORY BOARD MEMBERS MAY SOLICIT
INPUT FROM STAKEHOLDER INTERESTS WITHIN THEIR REGION, INCLUDING BUT  NOT
LIMITED  TO  LOCAL  GOVERNMENTS,  COMMUNITY  ORGANIZATIONS,  CHAMBERS OF
COMMERCE, BEVERAGE DISTRIBUTORS, WINERIES, DISTILLERIES, MICROBREWERIES,
RESTAURANTS, AND CONSUMERS AND SHALL TRANSMIT TO THE  COUNCIL  A  REPORT
CONTAINING  ANY  RECOMMENDATIONS  SPECIFIC  TO  THEIR REGION ONE HUNDRED
EIGHTY DAYS FOLLOWING THE EFFECTIVE DATE OF THIS SECTION.
  S 2. This act shall take effect immediately.