S T A T E O F N E W Y O R K
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10761
I N A S S E M B L Y
May 17, 2018
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Introduced by M. of A. SCHIMMINGER -- read once and referred to the
Committee on Economic Development
AN ACT to amend the alcoholic beverage control law and the urban devel-
opment corporation act, in relation to promoting sustainable
production in the craft beverage industry
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Section 17 of the alcoholic beverage control law is amended
by adding three new subdivisions 15, 16 and 17 to read as follows:
15. ON OR BEFORE JANUARY FIRST, TWO THOUSAND NINETEEN, TO DEVELOP AND
IMPLEMENT A NEW YORK CRAFT BEVERAGE SUSTAINABLE PRODUCTION, MARKETING
AND LABELLING PROGRAM TO HIGHLIGHT ANY CRAFT BEVERAGE PRODUCERS IN NEW
YORK STATE THAT HAVE ADOPTED AND DEMONSTRATED SUSTAINABLE PRODUCTION
METHODS IN THE MANUFACTURE OF CRAFT ALCOHOLIC BEVERAGES. AS USED IN THIS
SECTION:
(A) "CRAFT BEVERAGE PRODUCERS" SHALL MEAN CRAFT BEVERAGES PRODUCED BY
NEW YORK FARM BREWERIES, FARM CIDERIES, FARM DISTILLERIES, FARM WINER-
IES, MICRO-BREWERS, AND MICRO-DISTILLERS.
(B) "SUSTAINABLE PRODUCTION", IN RELATION TO THE CRAFT BEVERAGE
PRODUCERS, SHALL MEAN MANUFACTURING PRACTICES, PROCESSES, AND PRODUCTION
METHODS THAT SEEK TO: IMPROVE ECONOMIC VIABILITY WHILE MINIMIZING NEGA-
TIVE ENVIRONMENTAL IMPACTS; UTILIZE BEST MANAGEMENT PRACTICES INCLUDING
BUT NOT LIMITED TO NEW TECHNOLOGIES TO PROMOTE ENERGY AND WATER CONSER-
VATION AND EFFICIENCY; NURTURE HEALTHY SOILS; ADOPT RESPONSIBLE SOLID
WASTE POLICIES THAT MINIMIZE WASTE AND ENCOURAGE COMPOSTING, AND RECYCL-
ING; PEST MANAGEMENT POLICIES THAT ENCOURAGE POLLINATOR HEALTH; UTILIZE
BEST MANAGEMENT PRACTICES THAT INCLUDE BUT ARE NOT LIMITED TO ADOPTING
TECHNOLOGY TO IMPROVE TRANSPORTATION EFFICIENCY; EMPLOY ENVIRONMENTALLY
SOUND PURCHASING AND PACKAGING IN THEIR PRODUCTION AND PROCESSES THAT
MINIMIZE HARMFUL CHEMICALS AND UTILIZE BEST MANAGEMENT PRACTICES TO
MINIMIZE WASTE AND INCREASE RECYCLING, AND A FOCUS ON THE USE OF POST-
CONSUMER RECYCLED AND REUSED CONTENT; AND ANY OTHER METHODS UTILIZED BY
PRODUCERS WHICH IMPROVE, PROTECT OR SUSTAIN NATURAL RESOURCES.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD15753-01-8
A. 10761 2
16. TO USE EMPLOYEES OF THE AUTHORITY AS DESIGNATED BY THE MEMBERS OF
SUCH AUTHORITY, TO WORK WITH: THE PRESIDENT OF THE URBAN DEVELOPMENT
CORPORATION, OR THEIR DESIGNEE; THE COMMISSIONER OF AGRICULTURE AND
MARKETS, OR THEIR DESIGNEE; THE COMMISSIONER OF ECONOMIC DEVELOPMENT, OR
THEIR DESIGNEE; THE COMMISSIONER OF ENVIRONMENTAL CONSERVATION, OR THEIR
DESIGNEE; THE COMMISSIONER OF TRANSPORTATION, OR THEIR DESIGNEE; THE
PRESIDENT OF THE ENVIRONMENTAL FACILITIES CORPORATION, OR THEIR DESIG-
NEE; THE PRESIDENT OF THE NEW YORK STATE ENERGY, RESEARCH AND DEVELOP-
MENT AUTHORITY, OR THEIR DESIGNEE; AND THE CHAIR OF THE POWER AUTHORITY
OF THE STATE OF NEW YORK, OR THEIR DESIGNEE, TO DEVELOP A TECHNICAL
GUIDANCE AND ASSISTANCE PROGRAM TO BE MADE AVAILABLE TO ANY NEW YORK
CRAFT BEVERAGE MANUFACTURER SEEKING TO INCORPORATE SUSTAINABLE
PRODUCTION METHODS IN THE MANUFACTURE OF CRAFT BEVERAGES. SUCH TECHNICAL
GUIDANCE AND ASSISTANCE SHALL BE MADE AVAILABLE ON THE AUTHORITY'S
WEBSITE AND SHALL AT A MINIMUM INCLUDE, BUT NOT BE LIMITED TO: CONTACT
INFORMATION FROM ALL RELEVANT STATE AGENCIES AND ENTITIES AND THE TYPE
OF ASSISTANCE THEY MAY BE ABLE TO PROVIDE; A LISTING OF AVAILABLE FEDER-
AL AND STATE FINANCIAL ASSISTANCE, APPLICATION DEADLINES AND INFORMATION
NECESSARY TO APPLY FOR FINANCIAL ASSISTANCE; AND ANY OTHER INFORMATION
THE CHAIR OF SUCH AUTHORITY DEEMS NECESSARY AND APPROPRIATE IN ORDER TO
HELP FACILITATE AND SUSTAIN PRODUCTION IN RELATION TO THE CRAFT BEVERAGE
PRODUCERS IN NEW YORK STATE.
17. TO DEVELOP AN ANNUAL RECOGNITION PROGRAM THAT RECOGNIZES THOSE
CRAFT BEVERAGE PRODUCERS THAT ARE IMPLEMENTING MODEL SUSTAINABLE
PRODUCTION AND PACKAGING PROCESSES, METHODS OR SYSTEMS.
§ 2. Section 1 of chapter 174 of the laws of 1968, constituting the
urban development corporation act, is amended by adding a new section
16-bb to read as follows:
§ 16-BB. NEW YORK CRAFT BEVERAGE SUSTAINABLE PRODUCTION PROGRAM. 1.
AS USED IN THIS SECTION, THE FOLLOWING WORDS AND TERMS SHALL HAVE THE
FOLLOWING MEANINGS:
(A) "CRAFT BEVERAGE PRODUCERS" SHALL MEAN CRAFT BEVERAGES PRODUCED BY
NEW YORK FARM BREWERIES, FARM CIDERIES, FARM DISTILLERIES, FARM WINER-
IES, MICRO-BREWERS, AND MICRO-DISTILLERS.
(B) "SUSTAINABLE PRODUCTION", IN RELATION TO THE CRAFT BEVERAGE
PRODUCERS, SHALL MEAN MANUFACTURING PRACTICES, PROCESSES, AND PRODUCTION
METHODS THAT SEEK TO: IMPROVE ECONOMIC VIABILITY WHILE MINIMIZING NEGA-
TIVE ENVIRONMENTAL IMPACTS; UTILIZE BEST MANAGEMENT PRACTICES INCLUDING
BUT NOT LIMITED TO NEW TECHNOLOGIES TO PROMOTE ENERGY AND WATER CONSER-
VATION AND EFFICIENCY; NURTURE HEALTHY SOILS; ADOPT RESPONSIBLE SOLID
WASTE POLICIES THAT MINIMIZE WASTE AND ENCOURAGE COMPOSTING, AND RECYCL-
ING; PEST MANAGEMENT POLICIES THAT ENCOURAGE POLLINATOR HEALTH; UTILIZE
BEST MANAGEMENT PRACTICES THAT INCLUDE BUT ARE NOT LIMITED TO ADOPTING
TECHNOLOGY TO IMPROVE TRANSPORTATION EFFICIENCY; EMPLOY ENVIRONMENTALLY
SOUND PURCHASING AND PACKAGING IN THEIR PRODUCTION AND PROCESSES THAT
MINIMIZE HARMFUL CHEMICALS AND UTILIZE BEST MANAGEMENT PRACTICES TO
MINIMIZE WASTE AND INCREASE RECYCLING, AND A FOCUS ON THE USE OF POST-
CONSUMER RECYCLED AND REUSED CONTENT; AND ANY OTHER METHODS UTILIZED BY
PRODUCERS WHICH IMPROVE, PROTECT OR SUSTAIN NATURAL RESOURCES.
2. THE CORPORATION IS AUTHORIZED, IN CONSULTATION WITH THE CHAIR OF
THE STATE LIQUOR AUTHORITY, THE COMMISSIONER OF AGRICULTURE AND MARKETS,
THE COMMISSIONER OF ECONOMIC DEVELOPMENT, THE COMMISSIONER OF ENVIRON-
MENTAL CONSERVATION, THE COMMISSIONER OF TRANSPORTATION, THE PRESIDENT
OF THE ENVIRONMENTAL FACILITIES CORPORATION, THE PRESIDENT OF THE NEW
YORK STATE ENERGY, RESEARCH AND DEVELOPMENT AUTHORITY, THE CHAIR OF THE
POWER AUTHORITY OF THE STATE OF NEW YORK, TO DEVELOP AND IMPLEMENT A NEW
A. 10761 3
YORK CRAFT BEVERAGE SUSTAINABLE PRODUCTION GRANT PROGRAM TO FACILITATE
THE MANUFACTURE OF CRAFT BEVERAGES, WHICH UTILIZE PROCESSES THAT PROMOTE
ECONOMIC VIABILITY AND MINIMIZE NEGATIVE ENVIRONMENTAL IMPACTS, CONSERVE
ENERGY, WATER, REDUCES PACKAGING AND OTHER NATURAL RESOURCES.
3. THE CORPORATION IS AUTHORIZED, WITHIN AVAILABLE APPROPRIATIONS IN
THE EMPIRE STATE ECONOMIC DEVELOPMENT FUND, ESTABLISHED PURSUANT TO
SECTION SIXTEEN-M OF THIS ACT, OR FROM ANY OTHER GRANT PROGRAMS APPRO-
PRIATE FOR MEETING THE PURPOSES OF THIS SECTION, TO AWARD CAPITAL GRANTS
OF UP TO FIFTY THOUSAND DOLLARS TO CRAFT BEVERAGE PRODUCERS, FOR THE
PURPOSE OF DEVELOPING AND IMPLEMENTING A NEW YORK CRAFT BEVERAGE
SUSTAINABLE PRODUCTION GRANT PROGRAM TO FACILITATE EXPANSION AND COMMER-
CIALIZATION OF CRAFT BEVERAGES IN NEW YORK STATE.
4. THE NEW YORK CRAFT BEVERAGE SUSTAINABLE PRODUCTION GRANT PROGRAM
WILL AWARD GRANTS BASED ON THE CRAFT BEVERAGE PRODUCERS THAT APPLY AND
WHO CAN DEMONSTRATE THEIR GOALS TO IMPROVE THEIR ECONOMIC VIABILITY AND
COMMITMENT TO THE ENVIRONMENT THROUGH THE ADOPTION OF SUSTAINABLE
PRODUCTION PRACTICES AND TECHNOLOGIES. SUCH GRANTS SHALL BE AWARDED ON A
COMPETITIVE BASIS TO CRAFT BEVERAGE PRODUCERS THAT RESPOND TO REQUESTS
FOR PROPOSALS ISSUED BY THE CORPORATION OR THROUGH ANY CENTRALIZED GRANT
FUNDING APPLICATION.
5. GRANTS AND CONTRACTS MADE BY THE CORPORATION PURSUANT TO THIS
SECTION SHALL BE SUBJECT TO THE FOLLOWING: GRANTS SHALL NOT EXCEED FIFTY
THOUSAND DOLLARS PER YEAR; AND GRANTS PROVIDED BY THE CORPORATION MAY
ONLY BE USED FOR ELIGIBLE COSTS.
6. APPLICATIONS FOR GRANTS AUTHORIZED UNDER THIS SECTION SHALL
DESCRIBE HOW THE GRANT WILL BE UTILIZED TO FURTHER THE CRAFT BEVERAGE
PRODUCERS' GOALS OF SUSTAINABLE PRODUCTION AND WHAT BENEFITS ARE
EXPECTED TO BE DERIVED FROM ANY CHANGES MADE TO EXISTING SYSTEMS OR
PROCESSES.
7. THE CORPORATION SHALL, IN CONSULTATION WITH THE NEW YORK STATE
ENERGY RESEARCH AND DEVELOPMENT AUTHORITY AND THE DEPARTMENT OF ENVIRON-
MENTAL CONSERVATION, DEVELOP CRITERIA TO BE USED IN EVALUATING GRANT
APPLICATIONS. SUCH CRITERIA SHALL INCLUDE, BUT NOT BE LIMITED TO: (A)
THE ECONOMIC IMPACT AS MEASURED BY VARIABLES SUCH AS POTENTIAL REVENUE,
JOB CREATION, EFFECTS ON THE LOCAL ECONOMY, COMPETITIVENESS, ENVIRON-
MENTAL AND ENERGY CONSERVATION AND EFFICIENCY, TRANSPORTATION EFFICIEN-
CY, AND THE VALUE OF PURCHASES FROM IN-STATE SUPPLIERS; (B) THE FINAN-
CIAL COMMITMENT OF THE APPLICANT; (C) THE APPLICANT'S COMMITMENT TO
ACHIEVING SUSTAINABLE PRODUCTION AND PACKAGING GOALS; (D) THE TECHNICAL
FEASIBILITY OF A SUSTAINABLE TECHNOLOGY; AND (E) THE LIKELIHOOD OF THE
APPLICANT TO MAKE CHANGES IN PRODUCTION AND PROCESSING THAT WILL RESULT
IN IMPROVEMENTS TO SUSTAINABILITY IN THE CRAFT BEVERAGE INDUSTRY.
8. THE CORPORATION SHALL, ON OR BEFORE DECEMBER THIRTY-FIRST, TWO
THOUSAND TWENTY AND ANNUALLY THEREAFTER, SUBMIT A REPORT TO THE GOVER-
NOR, THE TEMPORARY PRESIDENT OF THE SENATE, THE SPEAKER OF THE ASSEMBLY,
THE SENATE MINORITY LEADER, THE ASSEMBLY MINORITY LEADER, THE CHAIR-
PERSONS OF THE SENATE FINANCE COMMITTEE AND THE ASSEMBLY WAYS AND MEANS
COMMITTEE, AND TO ANY OTHER MEMBER OF THE LEGISLATURE REQUESTING SUCH
REPORTS ON THE EFFECTIVENESS AND ACCOMPLISHMENTS OF THE NEW YORK CRAFT
BEVERAGE SUSTAINABLE PRODUCTION GRANT PROGRAM. SUCH REPORT SHALL INCLUDE
FOR EACH GRANT AWARDED, THE NAME AND LOCATION OF THE RECIPIENT, A
DESCRIPTION OF THE SUSTAINABILITY PROJECT, THE AMOUNT OF THE GRANT, THE
TOTAL PROJECT COST, THE IMPACT OF THE PROJECT ON THE RECIPIENT'S BUSI-
NESS, THE NUMBER OF JOBS CREATED OR RETAINED, AND SUCH OTHER INFORMATION
AS THE CORPORATION SHALL DEEM APPROPRIATE.
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9. NOTHING IN THIS SECTION SHALL REQUIRE THE CORPORATION TO DISCLOSE
ANY MATTERS INVOLVING CONFIDENTIAL BUSINESS, INTELLECTUAL PROPERTY OR
WORK PRODUCT, WHETHER PATENTABLE OR NOT, INCLUDING ANY FORMULA, PLAN,
PATTERN, PROCESS, TOOL, MECHANISM, COMPOUND, PROCEDURE, PRODUCTION DATA
OR COMPILATION OF INFORMATION RELATED TO THE PRODUCTION OR MANUFACTURING
OF A CRAFT BEVERAGE PRODUCT OR PRODUCTS.
§ 3. This act shall take effect immediately; provided, however, that
section one of this act shall take effect upon the expiration and rever-
sion of section 17 of the alcoholic beverage control law as provided in
section 4 of chapter 118 of the laws of 2012, as amended.