Senate Bill S3877A

                                
 
BILL NUMBER: S3877A

SPONSOR: GRIFFO
 
TITLE OF BILL:

An act to credit days to retail on-premises licensees that were unable
to operate as a result of the COVID-19 pandemic; and providing for the
repeal of such provisions upon expiration thereof

 
PURPOSE OR GENERAL IDEA OF BILL:

To allow for a credit to be applied on the renewal of a retail-on prem-
ise licensees such as restaurant or bar's liquor license relative to the
duration of time they were forced to cease on-premise sales as a result
of the COVID-19 pandemic.

 
SUMMARY OF PROVISIONS:

Section 1: Notwithstanding any other provision of law to the contrary,
any on-premises licensee and any manufacturing licensee with on-premises
retail privileges that is licensed pursuant to the alcoholic beverage
              

control law, shall receive a credit to the next renewal of their license
on a pro-rata basis for each inactive day, up to a maximum of 365 days.
An inactive day shall mean each day between March 7, 2020 and March 7,
2021 that, due to the COVID-19 pandemic or the government response to
the pandemic, the licensee i) was closed, or ii) ceased all on-premise
retail business functions that require a license under the alcoholic
beverage control law. The on-premises licensee and any manufacturing
licensee with on-premises retail privileges must document to the State
Liquor Authority, on a form provided by the Authority, the number of
inactive days up to a maximum of ninety-days that they are claiming for
a credit to be added to their next retail on-premise license renewal.

Section 2 marks the effective date.

 
JUSTIFICATION:

Despite an Executive Order allowing restaurants and bars to sell alcohol
with takeout orders during the COVID19 pandemic, the governor's closure
of these establishments prevented them from operating under the terms
which were established between them and the state when they paid for
their liquor license. This loss of business, due to the government's
response to the COVID-19 pandemic, necessitates that New York, in
particular the State Liquor Authority (SLA), should provide a credit to
these small business owners on their next liquor license. This bill
provides the SLA with the necessary statutory authority to provide a
credit on liquor license renewals for bars and restaurants that is in
direct proportion to the amount of time for which they were shut down
due to the COVID-19 pandemic.

 
PRIOR LEGISLATIVE HISTORY:

2019-2020: A.10563-A - Passed Assembly / S.8452-A - Referred to
Commerce, Economic Development and Small Business

 
FISCAL IMPLICATIONS:

To be determined.

 
EFFECTIVE DATE:
This act shall take effect immediately and shall expire and be deemed
repealed January 1, 2024.