Senate Bill S7247

                                 BILL NUMBER:  S7247A

 TITLE OF BILL :
An act to amend the alcoholic beverage control law, in relation to the
definition of a grocery store


 PURPOSE OF THE BILL :
To update the definition of a grocery store in the Alcoholic Beverage
Control Law to include the kinds of products customers expect to find
in food states.

 SUMMARY OF SPECIFIC PROVISIONS :
§ 1- Amends § 3(13) of the Alcoholic Beverage Control Law to update
the definition of a grocery store to provide that such stores must
sell "foodstuffs" for off-premises consumption and that 50% or more of
the shelf space must be devoted to consumer commodities as defined in
§ 214-h of the Agriculture and Markets Law. Consumer commodities are
defined in the Agriculture and Markets Law to consist of foods, both
liquid and solid, for humans and domestic pets, paper products and
food wrappings, soaps and detergents, non-prescription drugs and
toiletries.

§ 2- Effective date.

 JUSTIFICATION :
              

Recently, the New York State Law Revision Commission released its
"Report on the Alcoholic Beverage Control Law and its Administration"
in which the . Commission made several recommendations to improve upon
the Law and streamline its management and enforcement.

This bill follows the recommendation of the New York State Law
Revision Commission in updating the definition of a grocery store to
include those other products consume~s expect ~o find in food stores
of all sizes. As per the Law Revision Commission recommendation, the
bill uses the definition of consumer commodities contained in § 214-h
of the Agriculture and Markets Law.

The definition of a grocery store contained in the Alcoholic Beverage
Control Law was adopted in 1934 and has remained unchanged since that
date. The law states that a grocery store is a retail establishment
where food stuffs are regularly and customarily sold for off-premises
consumption. However, the State Liquor Authority later adopted a
Divisional Order to provide that the definition in the statute was
limited to retailers who sell food and for off-premises consumption
and maintain 50% or more of the wholesale dollar value of its total
display in food products, not including beer and soda.  Other grocery
products such as over-the-counter drugs, health and beauty aids, soaps
and detergents, paper products and food wrappings are not counted
under the Divisional Order.

The bill is necessary because although the State liquor Authority
issues licenses to sell beer for off-premises consumption to small
stores which carry the traditional grocery product mix of food and
related products, it also often issues violation notices and then
fines these small stores which do not meet the Divisional Order
definition. Adoption of this act will rectify this inequity.

 PRIOR LEGISLATIVE HISTORY :
New bill.

 FISCAL IMPLICATIONS :
None.

 EFFECTIVE DATE :
This act shall take effect immediately.