BILL NUMBER: S3998

SPONSOR: KENNEDY
 
TITLE OF BILL:

An act to amend the alcoholic beverage control law, in relation to waiv-
ing certain liquor license renewal fees; and providing for the repeal of
such provisions upon expiration thereof

 
PURPOSE:

This legislation amends the alcoholic beverage control law, waiving
license renewal fees for on-premises retail liquor license holders for
the calendar year 2021.

 
SUMMARY OF SPECIFIC PROVISIONS:

The legislation would amend the alcoholic beverage control law by adding
a new subdivision 11 to section 66.

Section one waives the fees for any renewal of a license required pursu-
              

ant to sections sixty-four, sixty-four-a, sixty-four-b, sixty-four-c, or
sixty-four-d for the calendar year 2021.

Section two establishes the effective date and expiration date.

 
JUSTIFICATION:

The Covid-19 pandemic has ravaged New York State's restaurant, tavern,
and hospitality industries, leading to numerous temporary and permanent
closures of long-standing establishments, along with the furloughing of
hundreds of thousands of hospitality industry employees. Despite the
hardships caused by limited capacities and temporary bans on indoor
dining, license renewal fees have not been waived for these establish-
ments. These fees can run into the thousands of dollars for a two-year
renewal, forcing restaurants and taverns to spend money they can ill-af-
ford to lose in order to hold a license that, under current conditions,
does not provide much, if any, income. In light of these hardships, this
legislation would waive renewal fees for on-premises retail liquor
licenses during calendar year 2021.

While the state's fiscal situation is precarious, the loss of sales tax
revenue due to the permanent closure of many of these establishments
would undoubtedly be far greater than the loss due to waiving renewal
fees for one year.

 
LEGISLATIVE HISTORY:

New legislation

 
FISCAL IMPLICATIONS:

To be determined.

 
EFFECTIVE DATE:
This act shall take immediately.