S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  128--A
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                (PREFILED)
 
                              January 4, 2017
                                ___________
 
 Introduced  by  M.  of  A.  CAHILL, SKARTADOS, PALMESANO, FITZPATRICK --
   Multi-Sponsored by -- M. of A. RYAN -- read once and referred  to  the
   Committee  on  Economic  Development  --  committee  discharged,  bill
   amended, ordered reprinted as amended and recommitted to said  commit-
   tee

 AN  ACT to amend the economic development law, in relation to establish-
   ing the New York craft beverage council
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  The  economic  development law is amended by adding a new
 article 5-F to read as follows:
                                ARTICLE 5-F
                  NEW YORK CRAFT BEVERAGE COUNCIL PROGRAM
 SECTION 181-F. SHORT TITLE.
         181-G. DEFINITIONS.
         181-H. GENERAL POWERS AND DUTIES OF THE COMMISSIONER.
         181-I. NEW YORK CRAFT BEVERAGE COUNCIL.
   § 181-F. SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED  AS
 THE "NEW YORK CRAFT BEVERAGE COUNCIL PROGRAM".
   §  181-G.  DEFINITIONS.  THE  FOLLOWING TERMS SHALL HAVE THE FOLLOWING
 MEANINGS FOR THE PURPOSES OF THIS SECTION:
   1. "WINERY" SHALL MEAN A BUSINESS THAT PRODUCES WINE.
   2. "DISTILLERY" SHALL MEAN A BUSINESS THAT PRODUCES SPIRITS.
   3. "MICROBREWERY" SHALL MEAN A BUSINESS THAT PRODUCES CRAFT BREWS.
   4. "CIDERY" SHALL MEAN A BUSINESS THAT PRODUCES CIDER.
   5. "BEER DISTRIBUTOR" SHALL MEAN A BUSINESS THAT SELLS CRAFT BREWS  TO
 THE PUBLIC AND DELIVERS CRAFT BREWS TO RETAILERS.
   6.  "BREW  PUB"  SHALL MEAN A PUB OR RESTAURANT THAT BREWS BEER ON THE
 PREMISES.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD01582-02-7

 A. 128--A                           2
 
   7. "CIDER" SHALL MEAN THE PARTIALLY OR FULLY FERMENTED JUICE OF FRESH,
 WHOLE APPLES OR OTHER POME FRUITS, CONTAINING MORE THAN THREE  AND  TWO-
 TENTHS  PER CENTUM BUT NOT MORE THAN EIGHT AND ONE-HALF PER CENTUM ALCO-
 HOL BY VOLUME.
   8. "FARM DISTILLERY" SHALL MEAN A DISTILLERY WITH A CLASS D LICENSE.
   §  181-H.  GENERAL  POWERS AND DUTIES OF THE COMMISSIONER. THE COMMIS-
 SIONER SHALL DEVELOP AND IMPLEMENT A NEW YORK  CRAFT  BEVERAGE  PROGRAM.
 THE  NEW  YORK CRAFT BEVERAGE COUNCIL SHALL DEVELOP A MARKETING STRATEGY
 PURSUANT TO THIS PROGRAM THAT SHALL  PROMOTE  NEW  YORK  AS  A  PREMIERE
 PRODUCER OF HIGH QUALITY WINES, SPIRITS, CIDERS AND CRAFT BREWS.
   §  181-I. NEW YORK CRAFT BEVERAGE COUNCIL. 1. (A) THE COMMISSIONER, IN
 ACCORDANCE WITH THIS PROGRAM, SHALL CAUSE TO BE  DEVELOPED  A  NEW  YORK
 CRAFT BEVERAGE COUNCIL TO BE TASKED WITH BRANDING, MARKETING AND PROMOT-
 ING FINE NEW YORK STATE WINES, SPIRITS, CIDERS AND CRAFT BEVERAGES.  THE
 NEW  YORK  CRAFT  BEVERAGE  COUNCIL  SHALL BE MANAGED BY AND ITS POWERS,
 FUNCTIONS AND DUTIES SHALL BE EXERCISED THROUGH A BOARD OF DIRECTORS.
   (B) THE INITIAL BOARD OF DIRECTORS SHALL CONSIST OF TEN  MEMBERS:  SIX
 OF  WHICH  SHALL  BE  APPOINTED  BY  THE GOVERNOR; TWO OF WHICH SHALL BE
 APPOINTED BY THE TEMPORARY PRESIDENT OF THE SENATE;  AND  TWO  OF  WHICH
 SHALL  BE  APPOINTED BY THE SPEAKER OF THE ASSEMBLY. OF THE TEN MEMBERS,
 ONE SHALL BE AN OFFICER OR OWNER OF A WINERY, ONE SHALL BE AN OFFICER OR
 OWNER OF A DISTILLERY, ONE SHALL BE AN OFFICER OR OWNER OF A  MICROBREW-
 ERY, ONE SHALL BE AN OFFICER OR OWNER OF A LIQUOR STORE, ONE SHALL BE AN
 OFFICER OR OWNER OF A BEER DISTRIBUTOR, ONE SHALL BE AN OFFICER OR OWNER
 OF  A CIDERY, ONE SHALL BE AN OFFICER OR OWNER OF A FARM DISTILLERY, ONE
 SHALL BE AN OFFICER OR OWNER OF A BREW PUB, ONE SHALL BE  THE  OWNER  OR
 OFFICER  OF  A RESTAURANT LICENSED TO SELL FINE NEW YORK WINES, SPIRITS,
 CIDERS AND CRAFT BREWS, AND ONE SHALL BE  A  PERSON  FAMILIAR  WITH  THE
 ADVERTISING,  PROMOTION AND MARKETING OF COMMERCIAL PRODUCTS. THE DIREC-
 TORS SO APPOINTED SHALL SERVE A TERM OF THREE YEARS, EXCEPT THAT, OF THE
 DIRECTORS SO APPOINTED BY  THE  GOVERNOR,  TEMPORARY  PRESIDENT  OF  THE
 SENATE  AND  SPEAKER  OF THE ASSEMBLY, THE OWNER OR OFFICER OF A DISTIL-
 LERY, THE OWNER OR OFFICER OF A BEER DISTRIBUTOR AND THE OWNER OR  OFFI-
 CER  OF A RESTAURANT SHALL SERVE FOR ONE YEAR, THE OWNER OR OFFICER OF A
 BREWERY, THE OWNER OR OFFICER OF A LIQUOR STORE AND THE OWNER OR OFFICER
 OF A BREW PUB SHALL SERVE FOR TWO YEARS, AND THE OWNER OR OFFICER  OF  A
 WINERY, THE OWNER OR OFFICER OF A CIDERY, THE OWNER OR OFFICER OF A FARM
 DISTILLERY  AND  THE  PERSON  FAMILIAR  WITH  ADVERTISING, PROMOTION AND
 MARKETING OF COMMERCIAL PRODUCTS SHALL SERVE FOR THREE YEARS.
   (C) THE CHAIR OF THE URBAN  DEVELOPMENT  CORPORATION  SHALL  SERVE  AS
 CHAIR OF THE COUNCIL.
   (D)  MEMBERSHIP  WILL  BE  DEFINED AS MEMBERS IN GOOD STANDING PER THE
 BYLAWS OF THE NEW YORK CRAFT BEVERAGE COUNCIL. EACH MEMBER WILL CONTRIB-
 UTE ANNUAL DUES TO THE COUNCIL TO BE DETERMINED BY THE BOARD  OF  DIREC-
 TORS.
   (E)  THE  EXECUTIVE  DIRECTOR  OF  THE NEW YORK CRAFT BEVERAGE COUNCIL
 SHALL HAVE PREVIOUS EXPERIENCE IN MARKETING CRAFT BEVERAGES, EVENT PLAN-
 NING AND BRAND MANAGEMENT AND WILL BE APPOINTED BY THE BOARD  OF  DIREC-
 TORS,  DECIDED  BY A MAJORITY VOTE. THE EXECUTIVE DIRECTOR WILL SERVE AS
 AN "AT WILL" EMPLOYEE AT THE DISCRETION OF THE BOARD OF DIRECTORS.
   (F) IF ANY VACANCY OTHER THAN BY EXPIRATION  OF  TERM  OCCURS  ON  THE
 BOARD  AMONGST  THOSE  FIRST  APPOINTED  SUCH VACANCY SHALL BE FILLED BY
 APPOINTMENT FOR THE UNEXPIRED TERM BY THE APPOINTING AUTHORITY INITIALLY
 APPOINTING SUCH MEMBER. UPON EXPIRATION OF THE INITIAL TERMS, SUCCESSORS
 SHALL BE ELECTED BY THE REMAINING MEMBERS OF THE BOARD FOR A THREE  YEAR

 A. 128--A                           3
 
 TERM;  SUCH  DIRECTORS  SHALL  HAVE  THE  QUALIFICATIONS REQUIRED OF THE
 ORIGINAL DIRECTORS.
 MEMBERS  SHALL  CONTINUE  AS  SUCH UNTIL THEIR SUCCESSORS HAVE BEEN DULY
 ELECTED.
   (G) MEMBERS OF THE BOARD OF  DIRECTORS  SHALL  SERVE  WITHOUT  COMPEN-
 SATION,  BUT SHALL BE REIMBURSED FOR ACTUAL EXPENSES REASONABLY INCURRED
 IN THE PERFORMANCE OF THEIR DUTIES.
   (H) THE BOARD SHALL MEET FOUR TIMES ANNUALLY AT THE CALL OF THE CHAIR-
 MAN OR IN HIS OR HER ABSENCE THE VICE CHAIRMAN OR  ON  PETITION  OF  ANY
 THREE  MEMBERS.    A MAJORITY OF THE MEMBERS OF THE BOARD THEN IN OFFICE
 SHALL CONSTITUTE A QUORUM FOR THE TRANSACTION OF ANY BUSINESS. THE BOARD
 IS ENCOURAGED TO CONDUCT ITS MEETINGS IN A MANNER WHICH WILL ENSURE  THE
 ACTIVE  PARTICIPATION  OF  ANY  PERSON  HAVING  AN INTEREST IN THE CRAFT
 BEVERAGE INDUSTRY.
   (I) THE NEW YORK CRAFT BEVERAGE COUNCIL IS CHARGED WITH CREATING BRAND
 RECOGNITION FOR FINE NEW YORK WINES, SPIRITS, CIDERS AND CRAFT BREWS. IN
 DOING SO THEY SHALL WORK TO MARKET NEW YORK STATE LABELED CRAFT BEVERAG-
 ES BOTH WITHIN AND OUTSIDE OF NEW YORK STATE WITH THE GOAL OF  PROMOTING
 NEW YORK CRAFT BEVERAGES.
   (J)  THE  NEW YORK CRAFT BEVERAGE COUNCIL SHALL, BY ONE YEAR FOLLOWING
 THE EFFECTIVE DATE OF THIS ARTICLE, SUBMIT A PRELIMINARY REPORT  TO  THE
 GOVERNOR  AND  THE  LEGISLATURE  WITH  AN  ASSESSMENT  OF  MARKETING AND
 PROMOTION STRATEGIES TO IMPLEMENT THIS ARTICLE.
   2. (A) (I)  REGIONAL  ADVISORY  BOARDS  SHALL  BE  ESTABLISHED,  WHOSE
 MEMBERS SHALL WORK WITH THE NEW YORK CRAFT BEVERAGE COUNCIL. THERE SHALL
 BE  FIVE  REGIONAL  MEMBERS OF THE ADVISORY BOARD FOR EACH REGION ESTAB-
 LISHED PURSUANT TO THIS SECTION. FOR EACH REGION,  ONE  REGIONAL  MEMBER
 SHALL  BE  APPOINTED  BY  THE  GOVERNOR,  TWO  REGIONAL MEMBERS SHALL BE
 APPOINTED BY THE TEMPORARY PRESIDENT OF THE  SENATE,  AND  TWO  REGIONAL
 MEMBERS  SHALL  BE  APPOINTED  BY  THE SPEAKER OF THE ASSEMBLY. REGIONAL
 ADVISORY BOARD MEMBERS SHALL HAVE THE  QUALIFICATIONS  REQUIRED  OF  THE
 BOARD OF DIRECTORS.
   (II)  REGIONAL  MEMBERS  SHALL  NOT BE CONSIDERED TO BE MEMBERS OF THE
 COUNCIL FOR PURPOSES OF PARTICIPATION IN COUNCIL MEETINGS, EXCEPT  WHERE
 ITEMS RELATING SPECIFICALLY TO THAT MEMBER'S REGION ARE ON THE AGENDA OF
 A COUNCIL MEETING.
   (B) FOR THE PURPOSES OF THIS ARTICLE, THERE SHALL BE TEN REGIONS:
   (I) WESTERN NEW YORK, CONSISTING OF ALLEGANY, CATTARAUGUS, CHAUTAUQUA,
 ERIE AND NIAGARA COUNTIES;
   (II) FINGER LAKES, CONSISTING OF GENESEE, LIVINGSTON, MONROE, ONTARIO,
 ORLEANS, SENECA, WAYNE, WYOMING AND YATES COUNTIES;
   (III)  SOUTHERN  TIER,  CONSISTING OF BROOME, CHEMUNG, CHENANGO, DELA-
 WARE, SCHUYLER, STEUBEN , TIOGA AND TOMPKINS COUNTIES;
   (IV) CENTRAL NEW YORK, CONSISTING OF CAYUGA, CORTLAND, MADISON,  ONON-
 DAGA AND OSWEGO COUNTIES;
   (V) MOHAWK VALLEY, CONSISTING OF FULTON, HERKIMER, MONTGOMERY, ONEIDA,
 OTSEGO AND SCHOHARIE COUNTIES;
   (VI)  NORTH COUNTRY, CONSISTING OF CLINTON, ESSEX, FRANKLIN, HAMILTON,
 JEFFERSON, LEWIS AND ST. LAWRENCE COUNTIES;
   (VII) CAPITAL REGION, CONSISTING OF ALBANY, COLUMBIA, GREENE,  SARATO-
 GA, SCHENECTADY, RENSSELAER, WARREN AND WASHINGTON COUNTIES;
   (VIII)  MID-HUDSON,  CONSISTING OF DUTCHESS, ORANGE, PUTNAM, ROCKLAND,
 SULLIVAN, ULSTER AND WESTCHESTER COUNTIES;
   (IX) NEW YORK CITY, CONSISTING OF BRONX, KINGS, NEW YORK, RICHMOND AND
 QUEENS COUNTIES;
   (X) LONG ISLAND, CONSISTING OF NASSAU AND SUFFOLK COUNTIES.

 A. 128--A                           4
 
   (C) REGIONAL ADVISORY BOARD MEMBERS SHALL SERVE WITHOUT  COMPENSATION,
 AND  SHALL  HAVE  THEIR  PRINCIPAL RESIDENCE WITHIN THE REGION FOR WHICH
 THEY ARE APPOINTED. SUCH REGIONAL ADVISORY  BOARD  MEMBERS  MAY  SOLICIT
 INPUT  FROM STAKEHOLDER INTERESTS WITHIN THEIR REGION, INCLUDING BUT NOT
 LIMITED  TO  LOCAL  GOVERNMENTS,  COMMUNITY  ORGANIZATIONS,  CHAMBERS OF
 COMMERCE,  BEVERAGE  DISTRIBUTORS,  WINERIES,  DISTILLERIES,   CIDERIES,
 MICROBREWERIES,  RESTAURANTS,  AND  CONSUMERS  AND SHALL TRANSMIT TO THE
 COUNCIL A REPORT CONTAINING ANY RECOMMENDATIONS SPECIFIC TO THEIR REGION
 ONE HUNDRED EIGHTY DAYS FOLLOWING THE EFFECTIVE DATE OF THIS SECTION.
   § 2. This act shall take effect immediately.