S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3278
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 29, 2019
                                ___________
 
 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".
   § 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.
   § 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.
              

                                                            LBD07223-01-9

 A. 3278                             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. 3278                             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. 3278                             4
 
 INGREDIENTS  INCLUDING, WITHOUT LIMITATION, WATER, ICE, A POWDER, SIMPLE
 SYRUP, FRUITS, VEGETABLES, FRUIT JUICE, VEGETABLE JUICE, OR  CARBONATION
 OR OTHER GAS.
   §  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.
   § 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.
   § 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.
   § 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.
   §  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. 3278                             5
 
 CONCENTRATE MAY CLAIM A CREDIT ON ITS RETURN FOR THE PERIOD IN WHICH THE
 SUBSEQUENT SALE OR DISTRIBUTION OCCURS.
   §  336.  COLLECTION  OF  TAX.    THE COMMISSIONER SHALL ADMINISTER AND
 COLLECT THE TAX IMPOSED BY THIS ARTICLE.
   § 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.
   §  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.
   § 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.
   §  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.
   § 3. The state finance law is amended by adding a new section 99-ff to
 read as follows:
   §  99-FF.  CHILDREN'S HEALTH PROMOTION FUND. 1. THERE IS HEREBY ESTAB-
 LISHED 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. 3278                             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.
   § 4. This act shall take effect July 1,  2020.  Effective  immediately
 the  addition,  amendment and/or repeal of any rule or regulation neces-
 sary for the implementation of  this  act  on  its  effective  date  are
 authorized to be made and completed on or before such date.