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

                                  7432

                       2013-2014 Regular Sessions

                          I N  A S S E M B L Y

                              May 16, 2013
                               ___________

Introduced  by M. of A. ORTIZ -- read once and referred to the Committee
  on Ways and Means

AN ACT to amend the tax law, in  relation  to  enacting  the  "sweetened
  beverage  tax law"; and to amend the state finance law, in relation to
  establishing the children's health promotion fund

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

  Section  1. This act shall be known and may be cited as the "sweetened
beverage tax law".
  S 2. The tax law is amended by adding a new  article  15  to  read  as
follows:
                                ARTICLE 15
                       SWEETENED BEVERAGE TAX LAW
SECTION 330. DEFINITIONS.
        331. EXCISE TAX.
        332. DISTRIBUTION INFORMATION.
        333. EXEMPTION.
        334. EXEMPTION CERTIFICATE.
        335. CREDIT.
        336. COLLECTION OF TAX.
        337. RULES AND REGULATIONS.
        338. TAXES DUE.
        339. ELECTRONIC FILING.
        340. REGISTRATION.
  S 330. DEFINITIONS. FOR PURPOSES OF THIS ARTICLE:
  (A)  "BEVERAGE CONTAINER" MEANS ANY CLOSED OR SEALED CONTAINER REGARD-
LESS OF SIZE OR SHAPE, INCLUDING,  WITHOUT  LIMITATION,  THOSE  MADE  OF
GLASS,  METAL,  PAPER,  PLASTIC, OR ANY OTHER MATERIAL OR COMBINATION OF
MATERIALS.
  (B) "BOTTLED SWEETENED BEVERAGE" MEANS A SWEETENED BEVERAGE  CONTAINED
IN A BEVERAGE CONTAINER.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10813-02-3
              

A. 7432                             2

  (C)  "BEVERAGE  DISPENSING  MACHINE" MEANS A DEVICE THAT MIXES CONCEN-
TRATE WITH ANY ONE OR MORE OTHER INGREDIENTS AND DISPENSES THE RESULTING
MIXTURE INTO AN OPEN CONTAINER AS A READY-TO-DRINK BEVERAGE.
  (D) "CALORIC SWEETENER" MEANS ANY CALORIC SUBSTANCE SUITABLE FOR HUMAN
CONSUMPTION  THAT HUMANS PERCEIVE AS SWEET AND INCLUDES, WITHOUT LIMITA-
TION,  SUCROSE,  FRUCTOSE,  INCLUDING  HIGH  FRUCTOSE  CORN   SWEETENER,
GLUCOSE,  OTHER SUGARS, AND FRUIT JUICE CONCENTRATES.  "CALORIC" MEANS A
SUBSTANCE THAT ADDS CALORIES TO THE DIET OF A PERSON WHO  CONSUMES  THAT
SUBSTANCE.
  (E)  "CONCENTRATE" MEANS A SYRUP, POWDER, OR BASE PRODUCT THAT IS USED
FOR MIXING, COMPOUNDING, OR MAKING SWEETENED  BEVERAGES  IN  A  BEVERAGE
DISPENSING  MACHINE.  FOR  PURPOSES OF THIS PART, "CONCENTRATE" DOES NOT
INCLUDE ANY OF THE FOLLOWING:
  (1) ANY PRODUCT THAT IS SOLELY USED IN PREPARING COFFEE OR TEA.
  (2) ANY PRODUCT FOR CONSUMPTION  BY  INFANTS  AND  WHICH  IS  COMMONLY
REFERRED TO AS "INFANT FORMULA."
  (3) ANY PRODUCT FOR USE FOR WEIGHT REDUCTION.
  (4) MILK OR MILK PRODUCTS.
  (5)  ANY  FROZEN CONCENTRATE OR FREEZE-DRIED CONCENTRATE TO WHICH ONLY
WATER IS ADDED TO PRODUCE A  SWEETENED  BEVERAGE  CONTAINING  MORE  THAN
FIFTY  PERCENT  NATURAL  FRUIT  JUICE OR MORE THAN FIFTY PERCENT NATURAL
VEGETABLE JUICE OR MORE THAN FIFTY PERCENT COMBINED NATURAL FRUIT  JUICE
AND NATURAL VEGETABLE JUICE.
  (6)  ANY  PRODUCT  THAT  IS  SOLD  AND  IS INTENDED TO BE USED FOR THE
PURPOSE OF AN INDIVIDUAL CONSUMER MIXING A SWEETENED BEVERAGE.
  (7) MEDICAL FOOD.
  (8) ANY PRODUCT TO WHICH NO CALORIC SWEETENERS HAVE BEEN ADDED.
  (F) "CONSUMER" MEANS A PERSON WHO PURCHASES A BOTTLED SWEETENED BEVER-
AGE OR CONCENTRATE FOR A PURPOSE  OTHER  THAN  RESALE  IN  THE  ORDINARY
COURSE OF BUSINESS.
  (G) "DISTRIBUTION" INCLUDES:
  (1)  THE  SALE  OF  BOTTLED  SWEETENED  BEVERAGES  OR CONCENTRATE TO A
RETAILER.
  (2) THE RECEIPT OF UNTAXED BOTTLED SWEETENED BEVERAGES OR  CONCENTRATE
IN THIS STATE FROM AN UNREGISTERED OUT-OF-STATE DISTRIBUTOR BY A RETAIL-
ER.
  (3)  THE RETAIL SALE OF UNTAXED BOTTLED SWEETENED BEVERAGES, SWEETENED
BEVERAGES, OR CONCENTRATE IN THIS STATE.
  (4) THE USE OR CONSUMPTION OF UNTAXED BOTTLED SWEETENED  BEVERAGES  OR
CONCENTRATE  IN THIS STATE BY A DISTRIBUTOR OR RETAILER. FOR PURPOSES OF
THIS PARAGRAPH, "USE OR CONSUMPTION" INCLUDES THE EXERCISE OF ANY  RIGHT
OR POWER OVER BOTTLED SWEETENED BEVERAGES OR CONCENTRATE INCIDENT TO THE
OWNERSHIP  THEREOF,  EXCEPT  THAT  IT  DOES NOT INCLUDE THE SALE OF THAT
PROPERTY OR THE KEEPING OR RETENTION THEREOF BY A DISTRIBUTOR OR RETAIL-
ER FOR THE PURPOSE OF SALE.
  (H) "DISTRIBUTOR" MEANS ANY PERSON WHO MAKES A DISTRIBUTION OF BOTTLED
SWEETENED BEVERAGES, SWEETENED BEVERAGES, OR CONCENTRATE IN  THE  STATE,
WHETHER OR NOT THAT PERSON ALSO SELLS THESE PRODUCTS TO CONSUMERS.
  (I)  "MEDICAL  FOOD"  MEANS  ANY  PRODUCT THAT MEETS THE DEFINITION OF
MEDICAL FOOD IN THE FEDERAL FOOD, DRUG, AND COSMETIC ACT (21 U.S.C. SEC.
360EE(B)(3)).
  (J) "MILK" MEANS NATURAL LIQUID MILK, REGARDLESS OF ANIMAL  SOURCE  OR
BUTTERFAT  CONTENT,  NATURAL  MILK CONCENTRATE, WHETHER OR NOT RECONSTI-
TUTED, REGARDLESS OF ANIMAL SOURCE, PLANT SOURCE, OR BUTTERFAT  CONTENT,
OR  DEHYDRATED NATURAL MILK, WHETHER OR NOT RECONSTITUTED AND REGARDLESS
OF ANIMAL SOURCE OR BUTTERFAT CONTENT.

A. 7432                             3

  (K) "NATURAL FRUIT JUICE" MEANS THE ORIGINAL LIQUID RESULTING FROM THE
PRESSING OF FRUIT, THE  LIQUID  RESULTING  FROM  THE  RECONSTITUTION  OF
NATURAL FRUIT JUICE CONCENTRATE, OR THE LIQUID RESULTING FROM THE RESTO-
RATION OF WATER TO DEHYDRATED NATURAL FRUIT JUICE.
  (L) "NATURAL VEGETABLE JUICE" MEANS THE ORIGINAL LIQUID RESULTING FROM
THE PRESSING OF VEGETABLES, THE LIQUID RESULTING FROM THE RECONSTITUTION
OF NATURAL VEGETABLE JUICE CONCENTRATE, OR THE LIQUID RESULTING FROM THE
RESTORATION OF WATER TO DEHYDRATED NATURAL VEGETABLE JUICE.
  (M)  "NONALCOHOLIC  BEVERAGE" MEANS ANY BEVERAGE THAT DOES NOT CONTAIN
ALCOHOL.
  (N) "PERSON" MEANS AN INDIVIDUAL, TRUST, FIRM,  JOINT  STOCK  COMPANY,
BUSINESS  CONCERN,  BUSINESS TRUST, RECEIVER, TRUSTEE, SYNDICATE, SOCIAL
CLUB, FRATERNAL ORGANIZATION, ESTATE, CORPORATION,  INCLUDING,  BUT  NOT
LIMITED  TO,  A  GOVERNMENT  CORPORATION, PARTNERSHIP, LIMITED LIABILITY
COMPANY, AND ASSOCIATION OR ANY OTHER GROUP OR COMBINATION ACTING  AS  A
UNIT.  "PERSON"  ALSO  INCLUDES  ANY  CITY,  COUNTY,  CITY  AND  COUNTY,
DISTRICT, COMMISSION, THE STATE, OR ANY DEPARTMENT, AGENCY, OR POLITICAL
SUBDIVISION THEREOF, ANY INTERSTATE BODY, AND THE UNITED STATES AND  ITS
AGENCIES AND INSTRUMENTALITIES TO THE EXTENT PERMITTED BY LAW.
  (O)  "POWDER"  OR  "BASE  PRODUCT"  MEANS A SOLID OR LIQUID MIXTURE OF
INGREDIENTS WITH ADDED CALORIC SWEETENER  USED  IN  MAKING,  MIXING,  OR
COMPOUNDING  SWEETENED  BEVERAGES  BY  MIXING THE POWDER OR BASE PRODUCT
WITH ANY ONE OR MORE OTHER INGREDIENTS, INCLUDING,  WITHOUT  LIMITATION,
WATER,  ICE, SYRUP, SIMPLE SYRUP, FRUITS, VEGETABLES, FRUIT JUICE, VEGE-
TABLE JUICE, OR CARBONATION OR OTHER GAS.
  (P) "RETAIL SALE" MEANS THE SALE OF SWEETENED BEVERAGES TO A CONSUMER.
  (Q) "RETAILER" MEANS ANY PERSON WHO  SELLS  IN  THIS  STATE  SWEETENED
BEVERAGES  TO A CONSUMER, WHETHER OR NOT THAT PERSON IS ALSO A DISTRIBU-
TOR AS DEFINED IN THIS SECTION.
  (R) "SALE" MEANS THE TRANSFER OF TITLE OR POSSESSION FOR CONSIDERATION
IN ANY MANNER OR BY ANY MEANS WHATEVER.
  (S) "SIMPLE SYRUP" MEANS A MIXTURE OF SUGAR AND WATER.
  (T) (1) "SWEETENED BEVERAGE" MEANS ANY SWEETENED NONALCOHOLIC BEVERAGE
SOLD FOR HUMAN CONSUMPTION THAT HAS CALORIC SWEETENERS AND CONTAINS MORE
THAN TWENTY-FIVE CALORIES PER TWELVE OUNCES, INCLUDING, BUT NOT  LIMITED
TO,  THE  FOLLOWING:  SODA  WATER,  GINGER ALE, ROOT BEER, ALL BEVERAGES
COMMONLY REFERRED  TO  AS  COLA,  LIME,  LEMON,  LEMON-LIME,  AND  OTHER
FLAVORED BEVERAGES, INCLUDING ANY FRUIT OR VEGETABLE BEVERAGE CONTAINING
LESS  THAN  FIFTY PERCENT NATURAL FRUIT JUICE OR NATURAL VEGETABLE JUICE
OR COMBINED NATURAL FRUIT JUICE AND NATURAL  VEGETABLE  JUICE,  AND  ALL
OTHER  DRINKS  AND BEVERAGES COMMONLY REFERRED TO AS "SODA," "SODA POP,"
"SOFT DRINKS," "SPORTS DRINKS," "ENERGY DRINKS,"  "JUICE  DRINKS,"  "ICE
TEAS," AND "VITAMIN FORTIFIED WATERS."
  (2) "SWEETENED BEVERAGE" DOES NOT INCLUDE ANY OF THE FOLLOWING:
  (A)  ANY PRODUCT SOLD IN LIQUID FORM FOR CONSUMPTION BY INFANTS, WHICH
IS COMMONLY REFERRED TO AS "INFANT FORMULA" OR ANY PRODUCT WHOSE PURPOSE
IS INFANT REHYDRATION.
  (B) ANY PRODUCT SOLD IN LIQUID FORM FOR USE FOR WEIGHT REDUCTION.
  (C) WATER, TO WHICH NO CALORIC SWEETENERS HAVE BEEN ADDED.
  (D) MILK OR MILK PRODUCTS.
  (E) MEDICAL FOOD.
  (F) ANY SWEETENED BEVERAGE CONTAINING FIFTY PERCENT OR MORE OF NATURAL
FRUIT JUICE OR NATURAL VEGETABLE JUICE OR COMBINED NATURAL  FRUIT  JUICE
AND NATURAL VEGETABLE JUICE.
  (U)  "SYRUP"  MEANS  THE LIQUID MIXTURE OF INGREDIENTS USED IN MAKING,
MIXING, OR COMPOUNDING SWEETENED  BEVERAGES  USING  ONE  OR  MORE  OTHER

A. 7432                             4

INGREDIENTS  INCLUDING, WITHOUT LIMITATION, WATER, ICE, A POWDER, SIMPLE
SYRUP, FRUITS, VEGETABLES, FRUIT JUICE, VEGETABLE JUICE, OR  CARBONATION
OR OTHER GAS.
  S  331.  EXCISE  TAX.  THERE  IS HEREBY IMPOSED AN EXCISE TAX ON EVERY
DISTRIBUTOR FOR THE PRIVILEGE OF DISTRIBUTING BOTTLED SWEETENED BEVERAG-
ES AND CONCENTRATE IN THE STATE, CALCULATED AS FOLLOWS:
  (A) THE TAX ON BOTTLED SWEETENED BEVERAGES DISTRIBUTED IN  THIS  STATE
SHALL BE ONE CENT ($0.01) PER FLUID OUNCE.
  (B)  THE  TAX  ON  CONCENTRATES  DISTRIBUTED  IN  THIS STATE EITHER AS
CONCENTRATE OR AS A SWEETENED BEVERAGE DERIVED  FROM  THAT  CONCENTRATE,
SHALL BE EQUAL TO ONE CENT ($0.01) PER FLUID OUNCE OF SWEETENED BEVERAGE
PRODUCED  FROM THAT CONCENTRATE. FOR PURPOSES OF CALCULATING THE TAX FOR
CONCENTRATE, THE VOLUME  OF  SWEETENED  BEVERAGE  TO  BE  PRODUCED  FROM
CONCENTRATE  SHALL  BE  THE  LARGEST  VOLUME  RESULTING  FROM USE OF THE
CONCENTRATE ACCORDING TO ANY MANUFACTURER'S INSTRUCTIONS.
  S 332. DISTRIBUTION INFORMATION. EACH DISTRIBUTOR  SHALL  INCLUDE  THE
FOLLOWING  INFORMATION  ON  EACH  RECEIPT,  INVOICE,  OR  OTHER  FORM OF
ACCOUNTING FOR  THE  DISTRIBUTION  OF  BOTTLED  SWEETENED  BEVERAGES  OR
CONCENTRATE:
  (A) THE NAME AND ADDRESS OF THE DISTRIBUTOR.
  (B) THE NAME AND ADDRESS OF THE PURCHASER.
  (C) THE DATE OF SALE AND INVOICE NUMBER.
  (D)  THE  KIND,  QUANTITY,  SIZE,  AND CAPACITY OF PACKAGES OF BOTTLED
SWEETENED BEVERAGES, SWEETENED BEVERAGES, OR CONCENTRATE SOLD.
  (E) THE AMOUNT OF EXCISE  TAXES  DUE  TO  THE  COMMISSIONER  FROM  THE
DISTRIBUTOR  ON  THE  SALE OF THE BOTTLED SWEETENED BEVERAGES OR CONCEN-
TRATE.
  (F) ANY OTHER INFORMATION AS REQUIRED BY THE COMMISSIONER.
  S 333. EXEMPTION. THERE IS EXEMPT FROM THE TAXES IMPOSED BY THIS ARTI-
CLE THE DISTRIBUTION  OF  BOTTLED  SWEETENED  BEVERAGES  OR  CONCENTRATE
DISTRIBUTED BY A DISTRIBUTOR TO:
  (A)  A DISTRIBUTOR REGISTERED WITH THE COMMISSIONER UNDER THIS ARTICLE
WHEN SUPPORTED BY A PROPERLY COMPLETED EXEMPTION CERTIFICATE.
  (B) TO A PERSON WHEN, PURSUANT TO THE CONTRACT OF  SALE,  THE  BOTTLED
SWEETENED  BEVERAGES  OR CONCENTRATES ARE REQUIRED TO BE SHIPPED AND ARE
SHIPPED TO A POINT OUTSIDE OF THIS STATE BY THE DISTRIBUTOR BY MEANS  OF
ANY OF THE FOLLOWING:
  (1) FACILITIES OPERATED BY THE DISTRIBUTOR.
  (2)  DELIVERY  BY  THE  DISTRIBUTOR  TO  A CARRIER, CUSTOMS BROKER, OR
FORWARDING AGENT, WHETHER HIRED BY THE PURCHASER OR NOT, FOR SHIPMENT TO
THE OUT-OF-STATE POINT.
  (C) TO A PERSON WHERE THE STATE IS PROHIBITED FROM TAXING  THAT  SALE,
USE,  OR CONSUMPTION UNDER THE CONSTITUTION OR LAWS OF THE UNITED STATES
OR UNDER THE CONSTITUTION OF THIS STATE.
  S 334. EXEMPTION CERTIFICATE. THE EXEMPTION CERTIFICATE TO BE PROVIDED
BY A DISTRIBUTOR TO ANOTHER DISTRIBUTOR AS REQUIRED BY  SUBDIVISION  (A)
OF SECTION THREE HUNDRED THIRTY-THREE OF THIS ARTICLE SHALL CONSIST OF A
STATEMENT  THAT  IS  SIGNED  UNDER  PENALTY  OF PERJURY BY A PERSON WITH
AUTHORITY TO BIND THE DISTRIBUTOR. THE CERTIFICATE SHALL  BE  DATED  AND
INCLUDE  THE  DISTRIBUTOR'S  NAME  AND ACCOUNT NUMBER. A NEW CERTIFICATE
SHALL BE GIVEN IF ANY INFORMATION IN THE  CURRENT  CERTIFICATE  CHANGES.
THE CERTIFICATE MAY BE INCLUDED AS PART OF ANY BUSINESS RECORDS NORMALLY
USED TO DOCUMENT A SALE OR DISTRIBUTION.
  S  335.  CREDIT.  A DISTRIBUTOR WHO HAS PAID A TAX, EITHER DIRECTLY TO
THE STATE OR TO ANOTHER DISTRIBUTOR REGISTERED UNDER THIS  ARTICLE,  AND
MAKES  A  SUBSEQUENT  DISTRIBUTION  OF  BOTTLED  SWEETENED  BEVERAGES OR

A. 7432                             5

CONCENTRATE MAY CLAIM A CREDIT ON ITS RETURN FOR THE PERIOD IN WHICH THE
SUBSEQUENT SALE OR DISTRIBUTION OCCURS.
  S  336.  COLLECTION  OF  TAX.    THE COMMISSIONER SHALL ADMINISTER AND
COLLECT THE TAX IMPOSED BY THIS ARTICLE.
  S 337. RULES AND REGULATIONS. THE COMMISSIONER IS HEREBY AUTHORIZED TO
PROMULGATE RULES AND REGULATIONS  RELATING  TO  THE  ADMINISTRATION  AND
ENFORCEMENT OF THIS ARTICLE, INCLUDING, BUT NOT LIMITED TO, COLLECTIONS,
REPORTING, REFUNDS, AND APPEALS.
  S  338. TAXES DUE. THE TAXES IMPOSED BY THIS ARTICLE ARE DUE AND PAYA-
BLE TO THE COMMISSIONER ON OR BEFORE THE LAST DAY OF THE MONTH FOLLOWING
EACH TAX QUARTER.
  S 339. ELECTRONIC FILING. (A) ON OR BEFORE THE LAST DAY OF  THE  MONTH
FOLLOWING EACH TAX QUARTER, A RETURN FOR THE PRECEDING TAX QUARTER SHALL
BE FILED USING ELECTRONIC MEDIA WITH THE COMMISSIONER.
  (B)  THE COMMISSIONER MAY PRESCRIBE THOSE FORMS AND REPORTING REQUIRE-
MENTS AS ARE NECESSARY TO IMPLEMENT THE TAX, INCLUDING, BUT NOT  LIMITED
TO, INFORMATION REGARDING THE TOTAL AMOUNT OF BOTTLED SWEETENED BEVERAG-
ES AND CONCENTRATE SOLD AND THE AMOUNT OF TAX DUE.
  (C) RETURNS SHALL BE AUTHENTICATED IN A FORM OR PURSUANT TO METHODS AS
MAY BE PRESCRIBED BY THE COMMISSIONER.
  S  340.  REGISTRATION.  EVERY  PERSON  REQUIRED TO PAY THE TAX IMPOSED
UNDER THIS ARTICLE SHALL REGISTER WITH THE COMMISSIONER. EVERY  APPLICA-
TION  FOR  REGISTRATION  SHALL  BE  MADE  UPON  A FORM PRESCRIBED BY THE
COMMISSIONER AND SHALL SET FORTH THE  NAME  UNDER  WHICH  THE  APPLICANT
TRANSACTS  OR  INTENDS  TO TRANSACT BUSINESS, THE LOCATION OF HIS OR HER
PLACE OR PLACES OF BUSINESS, AND SUCH OTHER INFORMATION AS  THE  COMMIS-
SIONER MAY REQUIRE. AN APPLICATION FOR AN ACCOUNT SHALL BE AUTHENTICATED
IN A FORM OR PURSUANT TO METHODS AS MAY BE PRESCRIBED BY THE COMMISSION-
ER.
  S  3.  The  state finance law is amended by adding a new section 81 to
read as follows:
  S 81. CHILDREN'S HEALTH PROMOTION FUND. 1. THERE IS HEREBY ESTABLISHED
IN THE JOINT CUSTODY OF THE COMPTROLLER AND THE COMMISSIONER OF TAXATION
AND FINANCE A FUND TO BE  KNOWN  AS  THE  "CHILDREN'S  HEALTH  PROMOTION
FUND".  THE CHILDREN'S HEALTH PROMOTION FUND SHALL CONSIST OF ALL TAXES,
INTEREST, PENALTIES, AND OTHER AMOUNTS  COLLECTED  PURSUANT  TO  ARTICLE
FIFTEEN OF THE TAX LAW.
  2.  ALL  MONEYS  IN  THE  CHILDREN'S HEALTH PROMOTION FUND SHALL, UPON
APPROPRIATION BY THE LEGISLATURE,  BE  ALLOCATED  FOR  THE  PURPOSES  OF
STATEWIDE  CHILDHOOD  OBESITY  PREVENTION  ACTIVITIES  AND  PROGRAMS  AS
FOLLOWS:
  (A) TWENTY PERCENT TO THE DEPARTMENT OF HEALTH TO COORDINATE STATEWIDE
CHILDHOOD OBESITY PREVENTION ACTIVITIES AND TO FUND  STATE-LEVEL  CHILD-
HOOD  OBESITY  PREVENTION  AND CHILDREN'S DENTAL PROGRAMS.  THIS FUNDING
SHALL SUPPORT PROGRAMS THAT USE EDUCATIONAL, ENVIRONMENTAL, POLICY,  AND
OTHER PUBLIC HEALTH APPROACHES THAT ACHIEVE THE FOLLOWING GOALS: IMPROVE
ACCESS  TO  AND  CONSUMPTION  OF HEALTHY, SAFE, AND AFFORDABLE FOODS AND
BEVERAGES; REDUCE ACCESS TO AND CONSUMPTION OF CALORIE-DENSE,  NUTRIENT-
POOR  FOODS;  ENCOURAGE  PHYSICAL ACTIVITY; DECREASE SEDENTARY BEHAVIOR;
AND RAISE AWARENESS ABOUT  THE  IMPORTANCE  OF  NUTRITION  AND  PHYSICAL
ACTIVITY TO CHILDHOOD OBESITY PREVENTION.
  (B)   THIRTY-FIVE   PERCENT   FOR  COMMUNITY-BASED  CHILDHOOD  OBESITY
PREVENTION PROGRAMS. THIS FUNDING SHALL SUPPORT PROGRAMS THAT USE EDUCA-
TIONAL, ENVIRONMENTAL, POLICY, AND OTHER PUBLIC HEALTH  APPROACHES  THAT
ACHIEVE  THE FOLLOWING GOALS: IMPROVE ACCESS TO AND CONSUMPTION OF HEAL-
THY, SAFE, AND AFFORDABLE FOODS AND  BEVERAGES;  REDUCE  ACCESS  TO  AND

A. 7432                             6

CONSUMPTION  OF  CALORIE-DENSE,  NUTRIENT-POOR FOODS; ENCOURAGE PHYSICAL
ACTIVITY; DECREASE SEDENTARY BEHAVIOR; AND  RAISE  AWARENESS  ABOUT  THE
IMPORTANCE  OF  NUTRITION  AND  PHYSICAL  ACTIVITY  TO CHILDHOOD OBESITY
PREVENTION.  THE  COMMISSIONER  OF  HEALTH  SHALL BE RESPONSIBLE FOR THE
DISTRIBUTION OF THESE FUNDS  TO  COMMUNITY-BASED  ORGANIZATIONS  AND  TO
LOCAL  HEALTH DEPARTMENTS, WITH PRIORITY GIVEN TO COUNTIES THAT HAVE THE
HIGHEST RATES OF CHILDHOOD OBESITY.
  (C) TEN PERCENT TO EVIDENCE-BASED PREVENTION, EARLY RECOGNITION, MONI-
TORING, AND WEIGHT MANAGEMENT INTERVENTION  ACTIVITIES  IN  THE  MEDICAL
SETTING. THE COMMISSIONER OF HEALTH SHALL BE RESPONSIBLE FOR IDENTIFYING
ACTIVITIES AND ALLOCATING THESE FUNDS.
  (D) THIRTY-FIVE PERCENT TO ELEMENTARY AND SECONDARY SCHOOLS FOR EDUCA-
TIONAL,  ENVIRONMENTAL,  POLICY  AND OTHER PUBLIC HEALTH APPROACHES THAT
PROMOTE NUTRITION AND PHYSICAL ACTIVITY. THE APPROACHES FUNDED  PURSUANT
TO  THIS PARAGRAPH CAN INCLUDE IMPROVING OR BUILDING SCHOOL RECREATIONAL
FACILITIES THAT ARE USED FOR RECESS AND  PHYSICAL  EDUCATION;  PROVIDING
CONTINUING  EDUCATION  TRAINING  FOR PHYSICAL EDUCATION TEACHERS; HIRING
QUALIFIED PHYSICAL EDUCATION TEACHERS; IMPROVING THE QUALITY AND  NUTRI-
TION  OF  SCHOOL  BREAKFASTS,  LUNCHES, AND SNACKS; ENSURING FREE, CLEAN
DRINKING WATER ACCESS THROUGHOUT THE SCHOOL DAY; AND INCORPORATING PRAC-
TICAL NUTRITION EDUCATION  INTO  THE  CURRICULUM.  THE  COMMISSIONER  OF
EDUCATION  IS  RESPONSIBLE  FOR THE ALLOCATION AND DISTRIBUTION OF THESE
FUNDS.
  3. ALL MONEYS  IN  THE  CHILDREN'S  HEALTH  PROMOTION  FUND  SHALL  BE
EXPENDED  ONLY  FOR THE PURPOSES EXPRESSED IN THIS SECTION, AND SHALL BE
USED ONLY TO SUPPLEMENT EXISTING LEVELS OF SERVICE AND NOT  TO  SUPPLANT
CURRENT FEDERAL, STATE, OR LOCAL FUNDING FOR EXISTING LEVELS OF SERVICE.
  4.  THE  COMMISSIONER  OF HEALTH AND THE COMMISSIONER OF EDUCATION ARE
HEREBY AUTHORIZED TO PROMULGATE SUCH RULES AND REGULATIONS, AND  PROVIDE
SUCH  PROCEDURAL  MEASURES,  AS  SHALL BRING INTO EFFECT THE PURPOSES OF
THIS SECTION.  THE  RULES  AND  REGULATIONS  MAY  PROVIDE  FOR  SPECIFIC
PROGRAMS  TO BE FUNDED CONSISTENT WITH THE ALLOCATION OF FUNDS SET FORTH
IN THIS SECTION.
  S 4. This act shall take effect July 1, 2014, provided, however,  that
effective immediately, the addition, amendment and/or repeal of any rule
or regulation necessary for the implementation of this act on its effec-
tive date is authorized to be made and completed on or before such date.