Senator William T. Stachowski (D, Lake View), Chairman of the Senate Committee on Commerce, Economic Development and Small Business, today announced the State Senate has passed legislation (S.6970) he sponsored that will allow local breweries to maximize the use of their facilities and equipment.
The legislation will allow licensed brewers at existing breweries to rent space and equipment in their business to other licensed brewers who wish to produce these beverages, but do not have all of the equipment or necessary space from which to work.
Currently, federal law allows breweries to lease space and equipment to a “tenant brewer.” The Stachowski bill would make New York State law consistent with federal law and give brewers the opportunity to easily operate under this arrangement .
“Most of our local brewers are just small business owners operating little family-run establishments,” said Senator Stachowski. “This measure is one more way to help them maximize the potential of their small businesses. It gives them another tool in their arsenal to remain economically viable and create more jobs at the same time. In addition, I expect this legislation to bring attention to the outstanding quality of these local beverages which, in most cases, are made from home grown New York agricultural products.”
According to recent industry growth data for US breweries, small independent craft brewers who contract with pre-existing breweries are an important sector of brewery production accounting for 4% of production and 6.3 % of retail sales.
The bill was sent to the Assembly.