S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8899
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             December 30, 2019
                                ___________
 
 Introduced by M. of A. PAULIN -- read once and referred to the Committee
   on Economic Development
 
 AN  ACT  to  amend  the  alcoholic  beverage control law, in relation to
   providing for certain limited direct interstate shipments of wine  for
   off-premises consumption

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The section heading of section 79-c of the alcoholic bever-
 age control law, as amended by chapter 184  of  the  laws  of  2005,  is
 amended to read as follows:
   Direct interstate wine shipments BY LICENSEES TO MANUFACTURING WINE.
   §  2. Section 79-d of the alcoholic beverage control law is renumbered
 section 79-e and a new section 79-d is added to read as follows:
   § 79-D.  DIRECT INTERSTATE WINE SHIPMENTS BY RETAIL LICENSEES TO  SELL
 WINE FOR OFF-PREMISES CONSUMPTION. 1. AUTHORIZATION. NOTWITHSTANDING ANY
 PROVISION  OF  LAW,  RULE OR REGULATION TO THE CONTRARY, ANY HOLDER OF A
 LICENSE TO SELL WINE FOR OFF-PREMISES CONSUMPTION IN ANY OTHER STATE WHO
 OBTAINS AN OUT-OF-STATE DIRECT SHIPPER'S LICENSE, AS  PROVIDED  IN  THIS
 SECTION,  MAY  SHIP  NO  MORE  THAN  THIRTY-SIX CASES (NO MORE THAN NINE
 LITERS EACH CASE) OF WINE PER YEAR DIRECTLY TO A RESIDENT  OF  NEW  YORK
 WHO  IS  AT  LEAST TWENTY-ONE YEARS OF AGE, FOR SUCH RESIDENT'S PERSONAL
 USE AND NOT FOR RESALE. NO PERSON SHALL PLACE AN ORDER FOR  SHIPMENT  OF
 WINE UNLESS THEY ARE TWENTY-ONE YEARS OF AGE OR OLDER. ANY COMMON CARRI-
 ER  WITH  A  PERMIT ISSUED PURSUANT TO THIS CHAPTER TO WHOM SUCH OUT-OF-
 STATE SHIPPER'S LICENSE IS PRESENTED IS AUTHORIZED TO MAKE  DELIVERY  OF
 SHIPMENTS  PROVIDED  FOR HEREUNDER IN THIS STATE IN COMPLIANCE WITH THIS
 SECTION.
   2. LICENSE. BEFORE SENDING ANY SHIPMENT HEREUNDER  TO  A  RESIDENT  IN
 THIS  STATE,  THE OUT-OF-STATE SHIPPER SHALL FIRST OBTAIN A LICENSE FROM
 THE AUTHORITY UNDER PROCEDURES PRESCRIBED BY RULES  AND  REGULATIONS  OF
 THE  AUTHORITY AND AFTER PROVIDING THE AUTHORITY WITH A TRUE COPY OF ITS
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD14290-01-9

 A. 8899                             2
 
 CURRENT LICENSE TO SELL WINE FOR OFF-PREMISES CONSUMPTION IN THE  APPLI-
 CANT'S  STATE  OF DOMICILE AFTER PAYMENT OF AN ANNUAL FEE OF ONE HUNDRED
 TWENTY-FIVE DOLLARS.
   3.  LICENSEE'S  RESPONSIBILITIES. THE HOLDER OF AN OUT-OF-STATE DIRECT
 SHIPPER'S LICENSE SHALL:
   (A) SHIP NO MORE THAN THIRTY-SIX CASES (NO MORE THAN NINE LITERS  EACH
 CASE)  PER  YEAR  OF  WINE  TO A NEW YORK STATE RESIDENT WHO IS AT LEAST
 TWENTY-ONE YEARS OF AGE, FOR SUCH RESIDENT'S PERSONAL USE  AND  NOT  FOR
 RESALE;
   (B)  ENSURE  THAT  THE OUTSIDE OF EACH SHIPPING CONTAINER USED TO SHIP
 WINE DIRECTLY TO A NEW YORK RESIDENT IS CONSPICUOUSLY LABELED  WITH  THE
 WORDS:    "CONTAINS  WINE - SIGNATURE OF PERSON AGE 21 OR OLDER REQUIRED
 FOR DELIVERY - NOT FOR RESALE",  OR  WITH  OTHER  LANGUAGE  SPECIFICALLY
 APPROVED BY THE NEW YORK STATE LIQUOR AUTHORITY;
   (C)  MAINTAIN  RECORDS  IN  SUCH  MANNER AND FORM AS THE AUTHORITY MAY
 DIRECT, SHOWING THE TOTAL AMOUNT OF WINE SHIPPED  INTO  THE  STATE  EACH
 CALENDAR  YEAR;  THE  NAMES  AND ADDRESSES OF THE PURCHASERS TO WHOM THE
 WINE WAS SHIPPED, THE DATE PURCHASED, THE NAME  OF  THE  COMMON  CARRIER
 USED TO DELIVER THE WINE, AND THE QUANTITY AND VALUE OF EACH SHIPMENT;
   (D)  IN  CONNECTION  WITH THE ACCEPTANCE OF AN ORDER FOR A DELIVERY OF
 WINE TO A NEW YORK RESIDENT, REQUIRE THE PROSPECTIVE CUSTOMER TO  REPRE-
 SENT THAT HE OR SHE HAS ATTAINED THE AGE OF TWENTY-ONE YEARS OR MORE AND
 THAT  THE  WINE  BEING  PURCHASED  WILL NOT BE RESOLD OR INTRODUCED INTO
 COMMERCE;
   (E) REQUIRE COMMON CARRIERS TO:
   (I) REQUIRE A RECIPIENT, AT THE DELIVERY ADDRESS,  UPON  DELIVERY,  TO
 DEMONSTRATE  THAT  THE  RECIPIENT IS AT LEAST TWENTY-ONE YEARS OF AGE BY
 PROVIDING A VALID FORM  OF  PHOTOGRAPHIC  IDENTIFICATION  AUTHORIZED  BY
 SECTION SIXTY-FIVE-B OF THIS CHAPTER;
   (II)  REQUIRE A RECIPIENT TO SIGN AN ELECTRONIC OR PAPER FORM OR OTHER
 ACKNOWLEDGEMENT OF RECEIPT AS APPROVED BY THE AUTHORITY; AND
   (III) REFUSE DELIVERY WHEN THE PROPOSED RECIPIENT APPEARS TO BE  UNDER
 TWENTY-ONE  YEARS  OF AGE AND REFUSES TO PRESENT VALID IDENTIFICATION AS
 REQUIRED BY SUBPARAGRAPH (I) OF THIS PARAGRAPH;
   (F) FILE RETURNS WITH AND PAY TO THE  NEW  YORK  STATE  DEPARTMENT  OF
 TAXATION  AND  FINANCE ALL STATE AND LOCAL SALES TAXES DUE ON SALES INTO
 THIS STATE IN ACCORDANCE WITH THE APPLICABLE PROVISIONS OF THE  TAX  LAW
 RELATING TO SUCH TAXES, THE AMOUNT OF SUCH TAXES TO BE DETERMINED ON THE
 BASIS THAT EACH SALE IN THIS STATE WAS AT THE LOCATION WHERE DELIVERY IS
 MADE;
   (G)  KEEP  ALL  RECORDS  REQUIRED  BY THIS SECTION FOR THREE YEARS AND
 PROVIDE COPIES OF SUCH RECORDS, UPON WRITTEN REQUEST, TO  THE  AUTHORITY
 OR THE DEPARTMENT OF TAXATION AND FINANCE;
   (H)  PERMIT THE AUTHORITY OR THE DEPARTMENT OF TAXATION AND FINANCE TO
 PERFORM AN AUDIT OF SUCH OUT-OF-STATE SHIPPER UPON REQUEST;
   (I) EXECUTE A WRITTEN CONSENT TO THE JURISDICTION OF THIS  STATE,  ITS
 AGENCIES  AND  INSTRUMENTALITIES AND THE COURTS OF THIS STATE CONCERNING
 ENFORCEMENT OF THIS SECTION AND ANY RELATED LAWS, RULES, OR REGULATIONS,
 INCLUDING TAX LAWS, RULES OR REGULATIONS; AND
   (J) PRIOR TO  OBTAINING  AN  OUT-OF-STATE  DIRECT  SHIPPER'S  LICENSE,
 OBTAIN  A  CERTIFICATE  OF  AUTHORITY PURSUANT TO SECTION ELEVEN HUNDRED
 THIRTY-FOUR OF THE TAX LAW AND A REGISTRATION AS A DISTRIBUTOR  PURSUANT
 TO  SECTIONS  FOUR HUNDRED TWENTY-ONE AND FOUR HUNDRED TWENTY-TWO OF THE
 TAX LAW.
   4. SITUS. DELIVERY OF A SHIPMENT IN THIS STATE BY  THE  HOLDER  OF  AN
 OUT-OF-STATE  DIRECT  SHIPPER'S  LICENSE SHALL BE DEEMED TO CONSTITUTE A

 A. 8899                             3
 
 SALE IN THIS STATE AT THE PLACE OF DELIVERY AND SHALL BE SUBJECT TO  ALL
 SALES  TAXES LEVIED PURSUANT TO ARTICLES TWENTY-EIGHT AND TWENTY-NINE OF
 THE TAX LAW.
   5.  RENEWAL.  THE  OUT-OF-STATE SHIPPER MAY ANNUALLY RENEW ITS LICENSE
 WITH THE AUTHORITY BY PAYING A ONE HUNDRED  TWENTY-FIVE  DOLLAR  RENEWAL
 FEE,  PROVIDING THE AUTHORITY WITH A TRUE COPY OF ITS CURRENT LICENSE IN
 SUCH OTHER STATE TO  SELL  WINE  FOR  OFF-PREMISES  CONSUMPTION  AND  BY
 COMPLYING  WITH  SUCH  OTHER PROCEDURES AS ARE PRESCRIBED BY RULE OF THE
 AUTHORITY.
   6. RULES AND REGULATIONS. THE AUTHORITY AND THE DEPARTMENT OF TAXATION
 AND FINANCE MAY PROMULGATE  RULES  AND  REGULATIONS  TO  EFFECTUATE  THE
 PURPOSES OF THIS SECTION.
   7.  ENFORCEMENT.  THE  AUTHORITY  MAY ENFORCE THE REQUIREMENTS OF THIS
 SECTION INCLUDING THE REQUIREMENTS IMPOSED ON  THE  COMMON  CARRIER,  BY
 ADMINISTRATIVE  PROCEEDINGS  TO  SUSPEND OR REVOKE AN OUT-OF-STATE SHIP-
 PER'S LICENSE AND THE AUTHORITY MAY ACCEPT PAYMENT OF AN  ADMINISTRATIVE
 FINE  IN  LIEU OF SUSPENSION, SUCH PAYMENTS TO BE DETERMINED BY RULES OR
 REGULATIONS PROMULGATED BY THE AUTHORITY.
   8. VIOLATIONS. IN ANY ACTION BROUGHT UNDER THIS  SECTION,  THE  COMMON
 CARRIER AND THE LICENSEE SHALL ONLY BE HELD LIABLE FOR THEIR INDEPENDENT
 ACTS.
   §  3.  This  act shall take effect on the thirtieth day after it shall
 have become a law. Effective immediately, the addition, amendment and/or
 repeal of any rule or regulation necessary  for  the  implementation  of
 this  act  on its effective date are authorized to be made and completed
 on or before such effective date.