S T A T E O F N E W Y O R K
________________________________________________________________________
3836
2025-2026 Regular Sessions
I N S E N A T E
January 30, 2025
___________
Introduced by Sens. HINCHEY, SCARCELLA-SPANTON -- read twice and ordered
printed, and when printed to be committed to the Committee on Investi-
gations and Government Operations
AN ACT to amend the alcoholic beverage control law, in relation to the
sale of non-alcoholic versions of alcoholic beverages
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Section 3 of the alcoholic beverage control law is amended
by adding a new subdivision 20-h to read as follows:
20-H. "NON-ALCOHOLIC VERSION OF AN ALCOHOLIC BEVERAGE" MEANS A NON-AL-
COHOLIC BEVERAGE THAT CONTAINS FIVE-TENTHS PERCENT OR LESS ALCOHOL BY
VOLUME AND THAT IS MARKETED TO APPEAL TO PERSONS MORE THAN TWENTY-ONE
YEARS OF AGE AS A SUBSTITUTE FOR AN ALCOHOLIC BEVERAGE.
§ 2. Subdivision 4 of section 63 of the alcoholic beverage control
law, as amended by chapter 24 of the laws of 2024, is amended to read as
follows:
4. No licensee under this section shall be engaged in any other busi-
ness on the licensed premises. The sale of lottery tickets, when duly
authorized and lawfully conducted, the sale of reusable bags as defined
in section 27-2801 of the environmental conservation law, the sale of
corkscrews or the sale of ice or the sale of publications, including
prerecorded video and/or audio cassette tapes, or educational seminars,
designed to help educate consumers in their knowledge and appreciation
of alcoholic beverages, as defined in section three of this chapter and
allowed pursuant to their license, or the sale of non-carbonated, non-
flavored mineral waters, spring waters [and], drinking waters, OR THE
SALE OF NON-ALCOHOLIC VERSIONS OF ALCOHOLIC BEVERAGES, or the sale of
glasses designed for the consumption of wine or liquor, racks designed
for the storage of wine, and devices designed to minimize oxidation in
bottles of wine which have been uncorked, or the sale of gift bags, gift
boxes, associated gift or promotional items, or wrapping, for alcoholic
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD05349-01-5
S. 3836 2
beverages purchased at the licensed premises shall not constitute engag-
ing in another business within the meaning of this subdivision. Any fee
obtained from the sale of an educational seminar shall not be considered
as a fee for any tasting that may be offered during an educational semi-
nar, provided that such tastings are available to persons who have not
paid to attend the seminar and all tastings are conducted in accordance
with section sixty-three-a of this article. For the purposes of this
section, gift or promotional items shall only include those items that
are complimentary and directly associated with the sale of wine or
liquor they are promoting and shall mean: (i) items that are de minimis
in value, but in no instance shall merchandise be valued at more than
fifteen dollars in total; (ii) items that are imprinted with the wine or
liquor brand logo on the gift or promotional item; and (iii) items that
are included as part of a manufactured pre-sealed package with the wine
or liquor that is being gifted or promoted. Further, for the purposes of
this section, promotional items shall not include any food, non-alcohol-
ic beverage, or other drink or food mix, nor shall these items be
offered for sale to the general public as individual items, EXCEPT FOR
THOSE BEVERAGES SPECIFICALLY AUTHORIZED TO BE SOLD PURSUANT TO THIS
SUBDIVISION.
§ 3. Paragraph (a) of subdivision 1 of section 104 of the alcoholic
beverage control law, as amended by chapter 24 of the laws of 2024, is
amended to read as follows:
(a) No wholesaler shall be engaged in any other business on the prem-
ises to be licensed; except that nothing contained in this chapter
shall: (1) prohibit a beer wholesaler from (i) acquiring, storing or
selling non-alcoholic snack foods, as defined in paragraph (b) of this
subdivision, (ii) manufacturing, bottling, storing, or selling non-alco-
holic carbonated beverages, (iii) manufacturing, storing or selling
non-alcoholic non-carbonated soft drinks, mineral waters, spring waters,
drinking water, non-taxable malt or cereal beverages, juice drinks,
fruit or vegetable juices, ice, liquid beverage mixes and dry or frozen
beverage mixes, (iv) acquiring, storing or selling wine products, (v)
the sale of promotional items on such premises, or (vi) the sale of
tobacco products at retail by wholesalers who are licensed to sell beer
and other products at retail; (2) prohibit a wholesaler authorized to
sell wine from (I) manufacturing, acquiring or selling wine merchandise,
as defined in paragraph (d) of this subdivision OR (II) ACQUIRING,
TRANSPORTING, OR SELLING NON-ALCOHOLIC VERSIONS OF ALCOHOLIC BEVERAGES;
(3) prohibit a licensed winery or licensed farm winery from engaging in
the business of a wine wholesaler for New York state labeled wines
produced by any licensed winery or licensed farm winery or prohibit such
wine wholesaler from exercising any of its rights pursuant to sections
seventy-six and seventy-six-a of this chapter provided that the opera-
tion of such beer and wine wholesalers business shall be subject to such
rules and regulations as the liquor authority may prescribe; (4) prohib-
it a beer wholesaler who is authorized to sell beer at retail from sell-
ing at retail: (i) candy, chewing gum and cough drops; (ii) non-refri-
gerated salsa; (iii) cigarette lighters, lighter fluid, matches and
ashtrays; (iv) barbecue and picnic-related products and supplies, which
shall include, but not be limited to, charcoal, grills, propane gas,
plastic and paper cups, paper or plastic tablecloths and coolers; (v)
beer making and brewing supplies and publications, which shall include,
but not be limited to, books, magazines, equipment and ingredients; (vi)
steins, mugs and other glassware appropriate for the consumption of
beer, malt beverages and wine products; (vii) items typically used to
S. 3836 3
serve beer and malt beverages including, but not limited to, taps,
kegerators, koozies and beer socks; (viii) lemons, limes and oranges,
provided that no more than two dozen of each shall be displayed at any
one time; (ix) rock salt, ice and snow melting compounds, snow shovels;
windshield washer solvent; firewood; beach umbrellas; sunglasses and sun
block; and (x) prepaid telephone cards; (5) prohibit the installation
and operation of a single automated teller machine in the premises of a
beer wholesaler who is authorized to sell beer at retail; or (6) prohib-
it a liquor or a wine wholesaler from (I) transporting or selling gifts
or promotional items associated with wine or liquor products as provided
for in subdivision four of section sixty-three of this chapter OR (II)
ACQUIRING, TRANSPORTING, OR SELLING NON-ALCOHOLIC VERSIONS OF ALCOHOLIC
BEVERAGES. For the purposes of this subdivision, "automated teller
machine" means a device which is linked to the accounts and records of a
banking institution and which enables consumers to carry out banking
transactions, including but not limited to, account transfers, deposits,
cash withdrawals, balance inquiries and loan payments.
§ 4. This act shall take effect immediately.
This bill should be amened to NOT allow alcohol distributors to sell non alcoholic (NA) beer/wine/spirit drinks as this will provide an unfair advantage to the independent wine/spirit stores as they will not be allowed to compete vs the large retail chains that are also selling NA beer/wine/spirits. The large alcohol distributors will provide better pricing & more promotional support to the large retail chains at the expense of the independent wine/spirit stores so it will be hard for the wine/spirit stores to compete especially on pricing where Costco, Target, Walmart etc.., will be able to negotiate much lower pricing. The purpose of this bill is to help independent wine/spirit stores in NY to allow them to sell NA drinks in the fast growing NA sector & not to provide "Big Alcohol Distributors" another drink sector they can monopolize as they deem fit like they currently do with alcohol in NY & nationally. Small independent and LOCAL non-alcoholic drinks distributors are able to service NY wine/spirit stores so currently a route to market when NY allows wine/spirit stores to sell non-alcoholic beer/wine/spirits.