S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    130
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                (PREFILED)
 
                              January 9, 2019
                                ___________
 
 Introduced by M. of A. CAHILL, PALMESANO, FITZPATRICK -- Multi-Sponsored
   by  --  M.  of  A.  RYAN -- read once and referred to the Committee on
   Economic Development
 
 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-G to read as follows:
                                ARTICLE 5-G
                  NEW YORK CRAFT BEVERAGE COUNCIL PROGRAM
 SECTION 181-M. SHORT TITLE.
         181-N. DEFINITIONS.
         181-O. GENERAL POWERS AND DUTIES OF THE COMMISSIONER.
         181-P. NEW YORK CRAFT BEVERAGE COUNCIL.
   §  181-M. SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED AS
 THE "NEW YORK CRAFT BEVERAGE COUNCIL PROGRAM".
   § 181-N. 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. "CIDERY" SHALL MEAN A BUSINESS THAT PRODUCES CIDER.
   5.  "BEER DISTRIBUTOR" SHALL MEAN A BUSINESS THAT SELLS CRAFT BREWS TO
 THE PUBLIC AND DELIVERS CRAFT BREWS TO RETAILERS.
   6. "BREW PUB" SHALL MEAN A PUB OR RESTAURANT THAT BREWS  BEER  ON  THE
 PREMISES.
   7. "CIDER" SHALL MEAN THE PARTIALLY OR FULLY FERMENTED JUICE OF FRESH,
 WHOLE  APPLES  OR OTHER POME FRUITS, CONTAINING MORE THAN THREE AND TWO-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD01937-01-9

 A. 130                              2
 
 TENTHS PER CENTUM BUT NOT MORE THAN EIGHT AND ONE-HALF PER CENTUM  ALCO-
 HOL BY VOLUME.
   8. "FARM DISTILLERY" SHALL MEAN A DISTILLERY WITH A CLASS D LICENSE.
   §  181-O.  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
 PURSUANT TO THIS PROGRAM THAT SHALL  PROMOTE  NEW  YORK  AS  A  PREMIERE
 PRODUCER OF HIGH QUALITY WINES, SPIRITS, CIDERS AND CRAFT BREWS.
   §  181-P. 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, CIDERS AND CRAFT BEVERAGES.  THE
 NEW  YORK  CRAFT  BEVERAGE  COUNCIL  SHALL BE MANAGED BY AND ITS POWERS,
 FUNCTIONS AND DUTIES SHALL BE EXERCISED THROUGH A BOARD OF DIRECTORS.
   (B) THE INITIAL BOARD OF DIRECTORS SHALL CONSIST OF TEN  MEMBERS:  SIX
 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 TEN 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 CIDERY, 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,
 CIDERS AND CRAFT BREWS, AND ONE SHALL BE  A  PERSON  FAMILIAR  WITH  THE
 ADVERTISING,  PROMOTION AND MARKETING OF COMMERCIAL PRODUCTS. THE DIREC-
 TORS 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 OFFICER OF A DISTIL-
 LERY, THE OWNER OR OFFICER OF A BEER DISTRIBUTOR AND THE OWNER OR  OFFI-
 CER  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 CIDERY, THE OWNER OR OFFICER OF A FARM
 DISTILLERY  AND  THE  PERSON  FAMILIAR  WITH  ADVERTISING, PROMOTION AND
 MARKETING OF COMMERCIAL 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.

 A. 130                              3
 
 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  OR HER ABSENCE THE VICE CHAIRMAN OR ON PETITION OF ANY
 THREE MEMBERS.  A MAJORITY OF THE MEMBERS OF THE BOARD  THEN  IN  OFFICE
 SHALL 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, CIDERS AND CRAFT BREWS. IN
 DOING SO THEY SHALL WORK TO MARKET NEW YORK STATE LABELED CRAFT BEVERAG-
 ES  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

 A. 130                              4
 
 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,  CIDERIES,
 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.
   § 2. This act shall take effect immediately.