Assembly Bill A5001D

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

                                  5001

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                            February 10, 2009
                               ___________

Introduced  by  M.  of  A.  V. LOPEZ,  PERALTA, ESPAILLAT, DIAZ, LENTOL,
  BARRA, KOON, BOYLAND, STIRPE -- Multi-Sponsored by -- M. of  A.  BENE-
  DETTO,  DESTITO, HEVESI, ORTIZ, TOWNS -- read once and referred to the
  Committee on Economic Development, Job Creation, Commerce and Industry

AN ACT to amend the alcoholic beverage control law, in relation  to  the
  manner  of  posting and changing beer prices to wholesalers and retail
  licensees

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

  Section  1.  Section  55-b  of  the alcoholic beverage control law, as
added by chapter 899 of the laws of 1973, subdivision 2  as  amended  by
chapter  322 of the laws of 1978 and subdivision 4 as amended by chapter
176 of the laws of 1999, is amended to read as follows:
  S 55-b. Manner of  POSTING AND changing beer prices to wholesalers and
retail licensees. 1. It is hereby declared as the policy  of  the  state
that  the  sale  and  distribution  of  beer shall be subject to certain
restrictions, prohibitions and regulations which  tend  to  maintain  an
orderly market and prevent destructive competition. The necessity of the
provisions of this section is therefore declared as a matter of legisla-
tive necessity.
  2. AS USED IN THIS SECTION, THE FOLLOWING WORDS SHALL HAVE THE FOLLOW-
ING MEANINGS:
  A.  "BEER  WHOLESALER"  OR  "WHOLESALER"  MEANS THE HOLDER OF A WHOLE-
SALER'S LICENSE, PURSUANT TO SECTION FIFTY-THREE OF  THIS  ARTICLE,  WHO
PURCHASES,  OFFERS  TO SELL, MARKETS, PROMOTES, WAREHOUSES OR PHYSICALLY
DISTRIBUTES BEER SOLD BY A BREWER.
  B. "CASE", "DRAFT  PACKAGE"  OR  "SPECIAL  PACKAGE"  MEANS  A  PACKAGE
PRODUCED BY A BREWER AND SOLD TO A BEER WHOLESALER.
  C. "COD" MEANS CASH, CHECK OR ELECTRONIC PAYMENT AT THE TIME OF DELIV-
ERY.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08692-01-9

              

A. 5001                             2

  D. "FORKLIFT" MEANS ANY MECHANICAL SYSTEM ABLE TO UNLOAD PALLETS OFF A
DELIVERY VEHICLE.
  E.  "LOADING DOCK" MEANS A PLATFORM WHERE TRUCKS, SEMI-TRUCKS, AND SEA
OR RAIL CONTAINERS ARE UNLOADED BY FORKLIFTS.
  F. "NON-CONTRACTED WHOLESALER" MEANS  THE  HOLDER  OF  A  WHOLESALER'S
LICENSE  ISSUED  OR RENEWED PRIOR TO JULY FIRST, NINETEEN HUNDRED SIXTY,
AND THEREAFTER RENEWED OR TRANSFERRED WHO (1) PURCHASES PRODUCTS FROM  A
BEER WHOLESALER AND (2) IS NOT SUBJECT TO ANY AGREEMENT WITH A BREWER OR
BEER WHOLESALER PURSUANT TO SECTION FIFTY-FIVE-C OF THIS ARTICLE.
  G. "PALLET" MEANS A QUANTITY OF CASES, DRAFT PACKAGES OR SPECIAL PACK-
AGES  PRODUCED BY A BREWER AND STACKED ON A DEVICE MOVABLE BY A FORKLIFT
OR OTHER MECHANICAL METHOD.
  H. "TRUCKLOAD" MEANS A QUANTITY OF  PALLETS  CONTAINING  CASES,  DRAFT
PACKAGES  OR  SPECIAL  PACKAGES  OF  NOT  LESS THAN THE MAXIMUM QUANTITY
FITTING TYPE OF VEHICLE OR LEGAL WEIGHT LIMIT.
  3. No brewer or beer wholesaler may increase the price per case, draft
package or special package  of  beer  sold  to  beer  wholesalers  [or],
NON-CONTRACTED  WHOLESALERS (EXCEPT AS OTHERWISE PROVIDED IN SUBDIVISION
FOUR OF THIS SECTION) AND retail licensees until at  least  one  hundred
eighty  days  have  elapsed since his OR HER last price decrease on such
case, draft package or special  package,  provided,  however,  that  the
brewer  or  beer wholesaler may increase any price established by him OR
HER at any time in the amount of any direct tax increase on beer, or  on
containers thereof, actually paid by such brewer or beer wholesaler, and
provided  further,  however,  that  if  a  brewer or beer wholesaler has
increased his OR HER price to beer wholesalers at any time  pursuant  to
the provisions hereof, the beer wholesaler may increase the price estab-
lished  by  him  OR HER on such package in an amount equal to the direct
price increase to the beer wholesaler. The price per case, draft package
or special package of beer sold to beer wholesalers or retail  licensees
on the first day of the month following the effective date of this [act]
SECTION shall be deemed the base price, to or from which price increases
or  decreases  may  be  made  in  accordance with the provisions of this
section.
  [3.] 4. BEER WHOLESALERS SHALL POST WITH THE AUTHORITY THE  PRICE  PER
CASE,  DRAFT PACKAGE OR SPECIAL PACKAGE OF BEER SOLD TO RETAIL LICENSEES
EVERY ONE HUNDRED EIGHTY DAYS. THE POSTED  PRICE  ON  SUCH  CASE,  DRAFT
PACKAGE OR SPECIAL PACKAGE TO RETAIL LICENSEES MUST BE A MINIMUM OF
  A.  TWO  AND ONE-HALF PERCENT ABOVE THE PRICE TO NON-CONTRACTED WHOLE-
SALERS IF PURCHASED BY THE CASE, DRAFT PACKAGE OR SPECIAL PACKAGE;
  B. FIVE PERCENT ABOVE THE POSTED CASE, DRAFT PACKAGE OR SPECIAL  PACK-
AGE PRICE TO  NON-CONTRACTED WHOLESALERS IF PURCHASED BY THE PALLET;
  C.  SEVEN AND ONE-HALF PERCENT ABOVE THE POSTED CASE, DRAFT PACKAGE OR
SPECIAL PACKAGE PRICE TO NON-CONTRACTED WHOLESALERS IF PURCHASED BY  THE
TRUCKLOAD;
  D. TEN PERCENT ABOVE THE POSTED CASE, DRAFT PACKAGE OR SPECIAL PACKAGE
PRICE TO NON-CONTRACTED WHOLESALERS IF PURCHASED BY THE TRAILERLOAD; AND
  E.  IF  A FORKLIFT AND/OR A LOADING DOCK IS USED TO UNLOAD THE PALLETS
FROM THE DELIVERY VEHICLE, A MINIMUM OF AN ADDITIONAL TWO  AND  ONE-HALF
PERCENT  SHALL BE DEDUCTED FROM THE CASE, DRAFT PACKAGE OR SPECIAL PACK-
AGE PRICE.
  IF THE NON-CONTRACTED WHOLESALER PAYS COD FOR THE PURCHASE  A  MINIMUM
OF  TWO  AND ONE-HALF PERCENT SHALL BE DEDUCTED FROM THE PRICE PER CASE,
DRAFT PACKAGE OR SPECIAL PACKAGE. FURTHERMORE, NOTHING IN  THIS  SECTION
SHALL REQUIRE A NON-CONTRACTED WHOLESALER TO POST PRICING. THE PRICE PER
CASE,  DRAFT  PACKAGE  OR SPECIAL PACKAGE OF BEER SOLD TO NON-CONTRACTED

A. 5001                             3

WHOLESALERS OR RETAIL LICENSEES ON THE FIRST DAY OF THE MONTH  FOLLOWING
THE  EFFECTIVE  DATE OF THIS SUBDIVISION SHALL BE DEEMED THE BASE PRICE,
TO OR FROM WHICH PRICE INCREASES OR DECREASES MAY BE MADE IN  ACCORDANCE
WITH THE PROVISIONS OF THIS SECTION.
  5.  The  authority  is  authorized  and  empowered  to  do  such acts,
prescribe such forms and adopt rules and  regulations  as  it  may  deem
necessary  or  proper to carry into effect the purpose and provisions of
this section and to prevent circumvention or evasion thereof.
  Without limiting the generality of the foregoing, and in  addition  to
its  other  powers, the authority may, in its discretion, adopt rules or
regulations:
  a. Particularizing the standards of packaging which constitute a case,
special package and draft package of beer.
  b. Defining the guidelines relating to "price" within the  purview  of
this  section  which guidelines may provide, without limitation thereto,
that,
  (1) Whenever a brewer or beer wholesaler decreases his  OR  HER  price
per  case, draft package or special package of beer to beer wholesalers,
the beer wholesaler may decrease his OR HER price to retail licensees on
such reduced item or items by no more than the  amount  in  dollars  and
cents by which the brewer or beer wholesaler has decreased the price per
case, draft package or special package to the beer wholesaler.
  (2)  Whenever  the price per case, draft package or special package of
beer is increased to retail licensees by action of the  brewer  or  beer
wholesaler following a price decrease, the brewer or beer wholesaler may
not  increase its price to retailers on any item or items more than one-
half of the price decrease previously granted, nor  may  the  brewer  or
beer  wholesaler  selling  such  item  or  items  to the beer wholesaler
increase its price to such beer wholesaler more  than  one-half  of  the
price  decrease previously granted, provided, however, such restrictions
on price increases by both brewers and beer wholesalers shall remain  in
effect for the period of one hundred eighty days.
  (3)  Whenever  a  brewer or beer wholesaler lowers its price per case,
draft package or special package of beer to any beer wholesaler  in  New
York  state  it  must  lower its price on each item or items by the same
amount to all beer wholesalers throughout New York state  to  whom  such
item or items is offered for sale.
  (4)  Whenever a brewer or beer wholesaler, following a price decrease,
raises its price per case, draft package or special package of  beer  to
any  beer  wholesaler  in New York state it must raise its price on each
item or items by the same amount to all beer wholesalers throughout  New
York state to whom such item or items are offered for sale.
  c.  Providing  that  for  good  cause  shown  to its satisfaction, the
authority may grant waivers to  licensees  adversely  affected  by  this
section,  under  such terms and conditions as the authority deems appro-
priate.
  d. Requiring licensees to file with the authority  reports  certifying
their  prices of beer, the dates of any changes in the price of any item
of beer, and such other matters as the authority may determine from time
to time to be necessary to disclose accurately the price of beer  during
the  previous  twelve  months  and  requiring  licensees  to keep forms,
records and memoranda prescribed by the authority.
  [4.] E. REQUIRING BEER WHOLESALERS TO REGISTER WITH THE AUTHORITY EACH
CONTRACT AND AGREEMENT, INCLUDING THE NAMES  OF  BREWERS  AND  IMPORTERS
WITH  WHICH  SUCH  WHOLESALER HAS CONTRACTS OR AGREEMENTS, AND REQUIRING

A. 5001                             4

WHOLESALERS TO MAINTAIN FORMS, RECORDS AND MEMORANDA PRESCRIBED  BY  THE
AUTHORITY.
  6.  For the purpose of defraying the expenses incurred in the adminis-
tration of this section, there shall be paid to the  authority  by  each
person hereafter applying for a license as brewer or beer wholesaler the
following sums: brewer whose annual production is sixty thousand barrels
per  year  or more, one thousand dollars; brewer whose annual production
is less than sixty thousand barrels per year, one hundred dollars;  beer
wholesaler,  [one]  FIVE hundred dollars; FOR EACH CONTRACT OR AGREEMENT
ENTERED INTO BY A NON-CONTRACTED WHOLESALER, FIVE HUNDRED  DOLLARS.    A
like  sum  shall be paid by each person hereafter applying for the issu-
ance or renewal of any such license AND/OR FOR EACH CONTRACTOR OR AGREE-
MENT, and such sum shall accompany the application and the  license  fee
prescribed  by  this chapter for such license or renewal thereof, as the
case may be. The sums prescribed by this subdivision shall not  be  pro-
rated for any portion of the license fee and shall have no refund value.
  [5.]  7.  For any violation of any provision of this section or of any
rule or regulation duly promulgated under this section the authority may
revoke, cancel or suspend a license or recover, as provided  in  section
one  hundred  twelve of this chapter, the penal sum of the bond filed by
the licensee.
  S 2. This act shall take effect on the first of January next  succeed-
ing the date on which it shall have become a law.

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

                                 5001--A

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                            February 10, 2009
                               ___________

Introduced  by  M.  of  A.  V. LOPEZ, PERALTA, ESPAILLAT, LENTOL, BARRA,
  KOON, BOYLAND, STIRPE, CASTRO, JAFFEE, J. RIVERA, TITUS, WEISENBERG --
  Multi-Sponsored by -- M. of A. BENEDETTO, BENJAMIN, DESTITO,  HEASTIE,
  HEVESI,  ORTIZ, PHEFFER, SKARTADOS, TOWNS -- read once and referred to
  the Committee on Economic  Development,  Job  Creation,  Commerce  and
  Industry  --  committee discharged, bill amended, ordered reprinted as
  amended and recommitted to said committee

AN ACT to amend the alcoholic  beverage  control  law,  in  relation  to
  authorizing  non-contracted  wholesalers  to  purchase  beer  from any
  licensed wholesaler within the state

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

  Section  1.  The alcoholic beverage control law is amended by adding a
new section 53-b to read as follows:
  S 53-B. PURCHASE OF BEER BY NON-CONTRACTED WHOLESALERS. 1. IT IS HERE-
BY DECLARED AS THE POLICY OF THE STATE THAT  NON-CONTRACTED  WHOLESALERS
PLAY AN IMPORTANT ROLE IN THE STATE'S BEER DISTRIBUTION SYSTEM. NON-CON-
TRACTED  WHOLESALERS  PROVIDE  FOR  DISTRIBUTION OF BEER IN AREAS OF THE
STATE THAT ARE UNDERSERVED BY BEER WHOLESALERS AND  PROVIDE  FOR  LITTER
AND SOLID WASTE CONTROL PURSUANT TO TITLE TEN OF ARTICLE TWENTY-SEVEN OF
THE  ENVIRONMENTAL  CONSERVATION LAW. THE NECESSITY OF THE PROVISIONS OF
THIS SECTION IS THEREFORE DECLARED AS A MATTER OF LEGISLATIVE NECESSITY.
  2. AS USED IN THIS SECTION, THE FOLLOWING WORDS SHALL HAVE THE FOLLOW-
ING MEANINGS:
  A. "BEER WHOLESALER" OR "WHOLESALER" MEANS  THE  HOLDER  OF  A  WHOLE-
SALER'S  LICENSE,  PURSUANT TO SECTION FIFTY-THREE OF THIS  ARTICLE, WHO
PURCHASES, OFFERS TO SELL, MARKETS, PROMOTES, WAREHOUSES  OR  PHYSICALLY
DISTRIBUTES BEER SOLD BY A  BREWER.
  B.  "NON-CONTRACTED  WHOLESALER"  MEANS  THE  HOLDER OF A WHOLESALER'S
LICENSE ISSUED OR RENEWED PRIOR TO JULY FIRST, NINETEEN  HUNDRED  SIXTY,
AND  THEREAFTER RENEWED OR TRANSFERRED WHO (1) PURCHASES PRODUCTS FROM A

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08692-05-9
              

A. 5001--A                          2

BEER WHOLESALER AND (2) IS NOT SUBJECT TO ANY AGREEMENT WITH A BREWER OR
BEER WHOLESALER PURSUANT TO SECTION FIFTY-FIVE-C OF THIS ARTICLE.
  3.  NOTWITHSTANDING  THE  PROVISIONS  OF  SECTION FIFTY-FIVE-C OF THIS
ARTICLE OR ANY OTHER PROVISION OF LAW OR AGREEMENT TO THE  CONTRARY,  NO
WHOLESALER  SHALL  REFUSE  TO  SELL  BEER TO A NON-CONTRACTED WHOLESALER
BECAUSE OF THE LOCATION OF SUCH NON-CONTRACTED WHOLESALER.
  4. WHERE AN AGREEMENT BETWEEN A BREWER AND BEER WHOLESALER  IN  EFFECT
PRIOR  TO  THE EFFECTIVE DATE OF THIS SECTION IS CONTINUOUS IN NATURE OR
HAS NO SPECIFIC DURATION OR HAS NO  RENEWAL  PROVISION,  SUCH  AGREEMENT
SHALL  BE  CONSIDERED  FOR  THE  PURPOSES  OF  THIS SECTION TO HAVE BEEN
RENEWED SIXTY DAYS AFTER THE EFFECTIVE DATE OF THIS SECTION.
  5. FOR ANY VIOLATION OF ANY PROVISION OF THIS SECTION OR OF  ANY  RULE
OR  REGULATION  DULY  PROMULGATED  UNDER  THIS SECTION THE AUTHORITY MAY
REVOKE, CANCEL OR SUSPEND A LICENSE OR RECOVER, AS PROVIDED  IN  SECTION
ONE  HUNDRED  TWELVE OF THIS CHAPTER, THE PENAL SUM OF THE BOND FILED BY
THE LICENSEE.
  S 2. This act shall take effect on the first of January next  succeed-
ing the date on which it shall have become a law.

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

                                 5001--B

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                            February 10, 2009
                               ___________

Introduced  by  M.  of  A.  V. LOPEZ, PERALTA, ESPAILLAT, LENTOL, BARRA,
  KOON, BOYLAND, CASTRO, JAFFEE, J. RIVERA, TITUS, WEISENBERG --  Multi-
  Sponsored by -- M.  of A. BENEDETTO, BENJAMIN, DESTITO, HEASTIE, HEVE-
  SI,  ORTIZ, PHEFFER, SKARTADOS, TOWNS -- read once and referred to the
  Committee on Economic Development, Job Creation, Commerce and Industry
  -- committee discharged, bill amended, ordered  reprinted  as  amended
  and  recommitted  to  said  committee  --  committee  discharged, bill
  amended, ordered reprinted as amended and recommitted to said  commit-
  tee

AN  ACT  to  amend  the  alcoholic  beverage control law, in relation to
  authorizing non-contracted  wholesalers  to  purchase  beer  from  any
  licensed wholesaler within the state

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

  Section 1. The alcoholic beverage control law is amended by  adding  a
new section 53-b to read as follows:
  S 53-B. PURCHASE OF BEER BY NON-CONTRACTED WHOLESALERS. 1. IT IS HERE-
BY  DECLARED  AS THE POLICY OF THE STATE THAT NON-CONTRACTED WHOLESALERS
PLAY AN IMPORTANT ROLE IN THE STATE'S BEER DISTRIBUTION SYSTEM. NON-CON-
TRACTED WHOLESALERS PROVIDE FOR DISTRIBUTION OF BEER  IN  AREAS  OF  THE
STATE  THAT  ARE  UNDERSERVED BY BEER WHOLESALERS AND PROVIDE FOR LITTER
AND SOLID WASTE CONTROL PURSUANT TO TITLE TEN OF ARTICLE TWENTY-SEVEN OF
THE ENVIRONMENTAL CONSERVATION LAW. THE NECESSITY OF THE  PROVISIONS  OF
THIS SECTION IS THEREFORE DECLARED AS A MATTER OF LEGISLATIVE NECESSITY.
  2. AS USED IN THIS SECTION, THE FOLLOWING WORDS SHALL HAVE THE FOLLOW-
ING MEANINGS:
  A.  "BEER  WHOLESALER"  OR  "WHOLESALER"  MEANS THE HOLDER OF A WHOLE-
SALER'S LICENSE, PURSUANT TO SECTION FIFTY-THREE OF THIS   ARTICLE,  WHO
PURCHASES,  OFFERS  TO SELL, MARKETS, PROMOTES, WAREHOUSES OR PHYSICALLY
DISTRIBUTES BEER SOLD BY A  BREWER.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08692-06-9

              

A. 5001--B                          2

  B. "NON-CONTRACTED WHOLESALER" MEANS  THE  HOLDER  OF  A  WHOLESALER'S
LICENSE  ISSUED  OR RENEWED PRIOR TO JULY FIRST, NINETEEN HUNDRED SIXTY,
AND THEREAFTER RENEWED OR TRANSFERRED WHO (1) PURCHASES PRODUCTS FROM  A
BEER WHOLESALER AND (2) IS NOT SUBJECT TO ANY AGREEMENT WITH A BREWER OR
BEER WHOLESALER PURSUANT TO SECTION FIFTY-FIVE-C OF THIS ARTICLE.
  3.  NOTWITHSTANDING  ANY  PROVISION OF LAW OR WRITTEN AGREEMENT TO THE
CONTRARY, NO WHOLESALER SHALL REFUSE TO SELL BEER  TO  A  NON-CONTRACTED
WHOLESALER BECAUSE OF THE LOCATION OF SUCH NON-CONTRACTED WHOLESALER.
  4.  WHERE  AN AGREEMENT BETWEEN A BREWER AND BEER WHOLESALER IN EFFECT
PRIOR TO THE EFFECTIVE DATE OF THIS SECTION IS CONTINUOUS IN  NATURE  OR
HAS  NO  SPECIFIC  DURATION  OR HAS NO RENEWAL PROVISION, SUCH AGREEMENT
SHALL BE CONSIDERED, FOR THE PURPOSES OF  THIS  SECTION,  TO  HAVE  BEEN
RENEWED  SIXTY DAYS AFTER THE EFFECTIVE DATE OF THIS SECTION, IF A MATE-
RIAL MODIFICATION IS MADE TO SUCH AGREEMENT AFTER THE EFFECTIVE DATE  OF
THIS SECTION.
  5.  FOR  ANY VIOLATION OF ANY PROVISION OF THIS SECTION OR OF ANY RULE
OR REGULATION DULY PROMULGATED UNDER  THIS  SECTION  THE  AUTHORITY  MAY
REVOKE,  CANCEL  OR SUSPEND A LICENSE OR RECOVER, AS PROVIDED IN SECTION
ONE HUNDRED TWELVE OF THIS CHAPTER, THE PENAL SUM OF THE BOND  FILED  BY
THE LICENSEE.
  S  2. This act shall take effect on the first of January next succeed-
ing the date on which it shall have become a law.

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

                                 5001--C

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                            February 10, 2009
                               ___________

Introduced  by  M.  of  A.  V. LOPEZ, ESPAILLAT, LENTOL, BARRA, BOYLAND,
  CASTRO, J. RIVERA, TITUS -- Multi-Sponsored by -- M. of A.  BENEDETTO,
  HEASTIE,  HEVESI,  ORTIZ,  PHEFFER,  SKARTADOS, TOWNS -- read once and
  referred to the  Committee  on  Economic  Development,  Job  Creation,
  Commerce  and  Industry -- committee discharged, bill amended, ordered
  reprinted as amended and recommitted to said  committee  --  committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to  said  committee  -- again reported from said committee with amend-
  ments, ordered reprinted as amended and recommitted to said committee

AN ACT to amend the alcoholic beverage control law, in relation  to  the
  manner  of  posting and changing beer prices to wholesalers and retail
  licensees

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

  Section  1.  The alcoholic beverage control law is amended by adding a
new section 53-b to read as follows:
  S 53-B. MANNER OF POSTING AND CHANGING BEER PRICES TO WHOLESALERS  AND
RETAIL LICENSEES IN CITIES OF ONE MILLION OR MORE.
  1.  IT IS HEREBY DECLARED AS THE POLICY OF THE STATE THAT THE SALE AND
DISTRIBUTION OF BEER SHALL BE SUBJECT TO CERTAIN RESTRICTIONS,  PROHIBI-
TIONS  AND  REGULATIONS  WHICH  TEND  TO  MAINTAIN AN ORDERLY MARKET AND
PREVENT DESTRUCTIVE COMPETITION. THE NECESSITY OF THE PROVISIONS OF THIS
SECTION IS THEREFORE DECLARED AS A MATTER OF LEGISLATIVE NECESSITY.
  2. AS USED IN THIS SECTION, THE FOLLOWING WORDS SHALL HAVE THE FOLLOW-
ING MEANINGS:
  A. "BEER WHOLESALER" OR "WHOLESALER" MEANS  THE  HOLDER  OF  A  WHOLE-
SALER'S  LICENSE,  PURSUANT  TO SECTION FIFTY-THREE OF THIS ARTICLE, WHO
PURCHASES, OFFERS TO SELL, MARKETS, PROMOTES, WAREHOUSES  OR  PHYSICALLY
DISTRIBUTES BEER SOLD BY A BREWER.
  B.  "CASE",  "DRAFT  PACKAGE"  OR  "SPECIAL  PACKAGE"  MEANS A PACKAGE
PRODUCED BY A BREWER AND SOLD TO A BEER WHOLESALER.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08692-11-9
              

A. 5001--C                          2

  C. "COD" MEANS CASH, CHECK OR ELECTRONIC PAYMENT AT THE TIME OF DELIV-
ERY.
  D. "FORKLIFT" MEANS ANY MECHANICAL SYSTEM ABLE TO UNLOAD PALLETS OFF A
DELIVERY VEHICLE.
  E.  "LOADING DOCK" MEANS A PLATFORM WHERE TRUCKS, SEMI-TRUCKS, AND SEA
OR RAIL CONTAINERS ARE UNLOADED BY FORKLIFTS.
  F. "NON-CONTRACTED WHOLESALER" MEANS  THE  HOLDER  OF  A  WHOLESALER'S
LICENSE  ISSUED  OR RENEWED PRIOR TO JULY FIRST, NINETEEN HUNDRED SIXTY,
AND THEREAFTER RENEWED OR TRANSFERRED WHO (1) PURCHASES PRODUCTS FROM  A
BEER WHOLESALER AND (2) IS NOT SUBJECT TO ANY AGREEMENT WITH A BREWER OR
BEER WHOLESALER PURSUANT TO SECTION FIFTY-FIVE-C OF THIS ARTICLE AND (3)
SELLS  FIFTY-NINE PERCENT OF BEER TO RETAIL LICENSEES AND (4) IS LOCATED
IN A CITY OF ONE MILLION OR MORE.
  G. "PALLET" MEANS A QUANTITY OF CASES, DRAFT PACKAGES OR SPECIAL PACK-
AGES PRODUCED BY A BREWER AND STACKED ON A DEVICE MOVABLE BY A  FORKLIFT
OR OTHER MECHANICAL METHOD.
  H.  "TRUCKLOAD"  MEANS  A  QUANTITY OF PALLETS CONTAINING CASES, DRAFT
PACKAGES OR SPECIAL PACKAGES OF  NOT  LESS  THAN  THE  MAXIMUM  QUANTITY
FITTING TYPE OF VEHICLE OR LEGAL WEIGHT LIMIT.
  3.  BEER WHOLESALERS SHALL POST WITH THE AUTHORITY THE PRICE PER CASE,
DRAFT PACKAGE OR SPECIAL PACKAGE OF BEER SOLD TO RETAIL LICENSEES  EVERY
ONE HUNDRED EIGHTY DAYS. THE POSTED PRICE ON SUCH CASE, DRAFT PACKAGE OR
SPECIAL PACKAGE TO RETAIL LICENSEES MUST BE A MINIMUM OF:
  A.  TWO  AND ONE-HALF PERCENT ABOVE THE POSTED PRICE TO NON-CONTRACTED
WHOLESALERS IF PURCHASED BY THE CASE, DRAFT PACKAGE OR SPECIAL PACKAGE;
  B. FIVE PERCENT ABOVE THE POSTED CASE, DRAFT PACKAGE OR SPECIAL  PACK-
AGE PRICE TO NON-CONTRACTED WHOLESALERS IF PURCHASED BY THE PALLET;
  C.  SEVEN AND ONE-HALF PERCENT ABOVE THE POSTED CASE, DRAFT PACKAGE OR
SPECIAL PACKAGE PRICE TO NON-CONTRACTED WHOLESALERS IF PURCHASED BY  THE
TRUCKLOAD;
  D. TEN PERCENT ABOVE THE POSTED CASE, DRAFT PACKAGE OR SPECIAL PACKAGE
PRICE TO NON-CONTRACTED WHOLESALERS IF PURCHASED BY THE TRAILERLOAD; AND
  E.  IF  A FORKLIFT AND/OR A LOADING DOCK IS USED TO UNLOAD THE PALLETS
FROM THE DELIVERY VEHICLE, A MINIMUM OF AN ADDITIONAL TWO  AND  ONE-HALF
PERCENT  SHALL BE DEDUCTED FROM THE CASE, DRAFT PACKAGE OR SPECIAL PACK-
AGE PRICE. IF THE NON-CONTRACTED WHOLESALER PAYS COD FOR THE PURCHASE  A
MINIMUM OF TWO AND ONE-HALF PERCENT SHALL BE DEDUCTED FROM THE PRICE PER
CASE,  DRAFT  PACKAGE  OR  SPECIAL PACKAGE. FURTHERMORE, NOTHING IN THIS
SECTION SHALL REQUIRE A NON-CONTRACTED WHOLESALER TO POST  PRICING.  THE
PRICE  PER  CASE,  DRAFT  PACKAGE  OR  SPECIAL  PACKAGE  OF BEER SOLD TO
NON-CONTRACTED WHOLESALERS OR RETAIL LICENSEES ON THE FIRST DAY  OF  THE
MONTH  FOLLOWING  THE EFFECTIVE DATE OF THIS SUBDIVISION SHALL BE DEEMED
THE BASE PRICE, TO OR FROM WHICH PRICE INCREASES  OR  DECREASES  MAY  BE
MADE IN ACCORDANCE WITH THE PROVISIONS OF THIS SECTION.
  4.  THE  AUTHORITY  IS  AUTHORIZED  AND  EMPOWERED  TO  DO  SUCH ACTS,
PRESCRIBE SUCH FORMS AND ADOPT RULES AND  REGULATIONS  AS  IT  MAY  DEEM
NECESSARY  OR  PROPER TO CARRY INTO EFFECT THE PURPOSE AND PROVISIONS OF
THIS SECTION AND TO PREVENT CIRCUMVENTION OR EVASION THEREOF.
  WITHOUT LIMITING THE GENERALITY OF THE FOREGOING, AND IN  ADDITION  TO
ITS  OTHER  POWERS, THE AUTHORITY MAY, IN ITS DISCRETION, ADOPT RULES OR
REGULATIONS:
  A. PARTICULARIZING THE STANDARDS OF PACKAGING WHICH CONSTITUTE A CASE,
SPECIAL PACKAGE AND DRAFT PACKAGE OF BEER.
  B. DEFINING THE GUIDELINES RELATING TO "PRICE" WITHIN THE  PURVIEW  OF
THIS  SECTION  WHICH GUIDELINES MAY PROVIDE, WITHOUT LIMITATION THERETO,
POSTING OF PRICE ON THE AUTHORITY'S WEBSITE.

A. 5001--C                          3

  C. REQUIRING LICENSEES TO FILE WITH THE AUTHORITY  REPORTS  CERTIFYING
THEIR  PRICES OF BEER, THE DATES OF ANY CHANGES IN THE PRICE OF ANY ITEM
OF BEER, AND SUCH OTHER MATTERS AS THE AUTHORITY MAY DETERMINE FROM TIME
TO TIME TO BE NECESSARY TO DISCLOSE ACCURATELY THE PRICE OF BEER  DURING
THE  PREVIOUS  TWELVE  MONTHS  AND  REQUIRING  LICENSEES  TO KEEP FORMS,
RECORDS AND MEMORANDA PRESCRIBED BY THE AUTHORITY.
  D. REQUIRING BEER WHOLESALERS TO  REGISTER  WITH  THE  AUTHORITY  EACH
CONTRACT  AND  AGREEMENT,  INCLUDING  THE NAMES OF BREWERS AND IMPORTERS
WITH WHICH SUCH WHOLESALER HAS CONTRACTS OR  AGREEMENTS,  AND  REQUIRING
WHOLESALERS  TO  MAINTAIN FORMS, RECORDS AND MEMORANDA PRESCRIBED BY THE
AUTHORITY.
  5. FOR THE PURPOSE OF DEFRAYING THE EXPENSES INCURRED IN THE  ADMINIS-
TRATION  OF  THIS  SECTION, THERE SHALL BE PAID TO THE AUTHORITY BY EACH
PERSON HEREAFTER APPLYING FOR A LICENSE AS A BEER WHOLESALER THE FOLLOW-
ING SUMS: BEER WHOLESALER, FIVE THOUSAND DOLLARS; FOR EACH  CONTRACT  OR
AGREEMENT  ENTERED  INTO  BY A BEER WHOLESALER, FIVE THOUSAND DOLLARS; A
NON-CONTRACTED WHOLESALER, FIVE THOUSAND DOLLARS; A LIKE  SUM  SHALL  BE
PAID  BY  EACH  PERSON HEREAFTER APPLYING FOR THE ISSUANCE OR RENEWAL OF
ANY SUCH LICENSE AND/OR FOR EACH CONTRACT OR  AGREEMENT,  AND  SUCH  SUM
SHALL  ACCOMPANY  THE APPLICATION AND THE LICENSE FEE PRESCRIBED BY THIS
CHAPTER FOR SUCH LICENSE OR RENEWAL THEREOF, AS THE CASE MAY  BE.    THE
SUMS  PRESCRIBED  BY  THIS  SUBDIVISION  SHALL  NOT  BE PRORATED FOR ANY
PORTION OF THE LICENSE FEE AND SHALL HAVE NO REFUND VALUE.
  6. FOR ANY VIOLATION OF ANY PROVISION OF THIS SECTION OR OF  ANY  RULE
OR  REGULATION  DULY  PROMULGATED  UNDER  THIS SECTION THE AUTHORITY MAY
REVOKE, CANCEL OR SUSPEND A LICENSE OR RECOVER, AS PROVIDED  IN  SECTION
ONE  HUNDRED  TWELVE OF THIS CHAPTER, THE PENAL SUM OF THE BOND FILED BY
THE LICENSEE.
  S 2. This act shall take effect on the one hundred twentieth day after
it shall have become a law.