BILL NUMBER: S1914A

SPONSOR: RITCHIE
 
TITLE OF BILL:  An act to amend the highway law, in relation to desig-
nating a portion of the state highway system as the "North Country Craft
Beer Trails"

 
PURPOSE:

To designate specific craft beer trails in various craft beer regions
throughout the state.

 
SUMMARY OF PROVISIONS:

Section 1 amends the Highway Law by adding a new subdivision. The subdi-
vision creates the "North Country Craft Beer Trails" in the listing of
craft beer trails. Section 2 authorizes the commissioner of transporta-
tion to install and maintain ceremonial signs on the state highway
system pursuant to the designation of this act. Section 3 provides that
this act shall take effect immediately.

              

 
JUSTIFICATION:

With over 140 craft breweries in New York State, New York craft beer is
ranked third in the country with an economic impact of $2.2 billion
dollars. Craft brewery production in New York is increasing faster than
the national average and grew 26% from 2011 to 2012, while the national
craft beer segment grew only 15% during the same period. In 2012 New
York State was the 6th largest beer producing state in nation.

The popularity of craft breweries may be attributed to the farm-to-table
movement. In New York the movement has been fostered by new legislation
amending the alcoholic beverage control law to broaden the licenses and
permits relating to the manufacture of alcoholic beverages. The law,
enacted on November 13, 2014, removes and reduces fees and regulations
to the benefit of small brewers by providing them with greater opportu-
nities to market their products by expanding the activities that they
can conduct at their facilities, including selling their product "by the
bottle" and "by the glass."  The act also successfully reduces costs for
these small manufacturers by permitting them to produce more of their
product at lower fees and making their wares more available to consum-
ers.

Craft brewers want the public to see what they are doing, and symbioti-
cally, consumers want to observe the production process. The liberali-
zation of craft brewing will continue to strengthen the craft beer
industry in New York and result in more breweries. This in turn will
create a need for more local malt houses and hops farms to supply area
breweries as the industry continues to fill in. The craft beer industry
will certainly be strengthened but the local economies housing these
breweries will also thrive as residents and tourists seek out the readi-
ly available assortment of locally produced beer.

As craft breweries gain notoriety the organization of these destinations
becomes increasingly important. While wine trails already exist in many
parts of the state, there currently are no craft beer trails. Like wine
trails, craft beer trails will serve as a conduit of the farm-to-table
movement and stimulate regional economies by increasing tourism and
promoting the sale of local products. By designating specific craft beer
trails in various craft beer districts throughout New York State, this
bill will continue to bolster New York's craft beer industry and provide
a mechanism for the advertisement and sponsorship of these goods.

Specifically, the creation of the "North Country Craft Beer Trail" will
provide a unique attraction for residents and visitors to the North
Country. By highlighting the craft breweries in the North Country atten-
tion will be drawn to the many other local products available in this
region. Visiting the craft breweries along the trail will become another
exciting activity the North Country has to offer. Thus, the enactment of
this bill will invigorate and strengthen the craft brewing industry in
this region and throughout New York State. It is therefore imperative
that the bill creating the "North Country Craft Beer Trail" is ratified.

 
LEGISLATIVE HISTORY:

2015-2016: S.518-A Passed the Senate/A.6526-A
2017: S.1914 - Passed the Senate

 
FISCAL IMPLICATIONS:

Minimal.

 
EFFECTIVE DATE:
This act shall take effect immediately.