Bill Text: NY A10448 | 2019-2020 | General Assembly | Introduced
Bill Title: Authorizes the direct intrastate and interstate shipment of liquor.
Spectrum: Moderate Partisan Bill (Democrat 6-1)
Status: (Introduced - Dead) 2020-05-18 - referred to economic development [A10448 Detail]
Download: New_York-2019-A10448-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 10448 IN ASSEMBLY May 18, 2020 ___________ Introduced by COMMITTEE ON RULES -- (at request of M. of A. Gunther) -- read once and referred to the Committee on Economic Development AN ACT to amend the alcoholic beverage control law, in relation to authorizing the direct intrastate and interstate shipment of liquor The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The alcoholic beverage control law is amended by adding two 2 new sections 64-e and 64-f to read as follows: 3 § 64-e. Direct intrastate liquor shipments. Any person having applied 4 for and received a license as a distillery or farm distillery pursuant 5 to the provisions of section sixty-one of this article may ship no more 6 than thirty-six cases (no more than nine liters per case) of liquor 7 produced by such distillery or farm distillery per year directly to a 8 New York state resident who is at least twenty-one years of age, for 9 such resident's personal use and not for resale. 10 1. Licensee's shipping responsibilities. Notwithstanding any provision 11 to the contrary contained in this chapter, any above referred licensee 12 shall: 13 (a) in the case of a distillery or farm distillery licensee, ship no 14 more than thirty-six cases (no more than nine liters) per year of liquor 15 produced by such license holder directly to a New York state resident 16 who is at least twenty-one years of age, for such resident's personal 17 use and not for resale; 18 (b) ensure that the outside of each shipping container used to ship 19 liquor directly to a New York state resident is conspicuously labeled 20 with the words: "CONTAINS LIQUOR - SIGNATURE OF PERSON AGE 21 OR OLDER 21 REQUIRED FOR DELIVERY," or with other language specifically approved by 22 the New York state liquor authority; 23 (c) maintain records in such manner and form as the authority may 24 direct showing the total amount of liquor shipped in the state each 25 calendar year, the names and addresses of the purchasers to whom the 26 liquor was shipped, the date purchased, the name of the common carrier 27 used to deliver the liquor, and the quantity and value of each shipment. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD16324-01-0A. 10448 2 1 Such records shall be kept for three years and, upon written request, be 2 provided to the authority or the department of taxation and finance; 3 (d) in connection with the acceptance of an order for a delivery of 4 liquor to a New York resident, require the prospective customer to 5 represent that he or she has attained the age of twenty-one years or 6 more and that the liquor being purchased will not be resold or intro- 7 duced into commerce; and 8 (e) require common carriers to: 9 (i) require a recipient, at the delivery address, upon delivery, to 10 demonstrate that the recipient is at least twenty-one years of age by 11 providing a valid form of photographic identification authorized by 12 section sixty-five-b of this article; 13 (ii) require a recipient to sign an electronic or paper form or other 14 acknowledgment of receipt as approved by the authority; and 15 (iii) refuse delivery when the proposed recipient appears to be under 16 twenty-one years of age and refuses to present valid identification as 17 required by paragraph (a) of this subdivision. 18 2. Violations. In any action brought under this section, the common 19 carrier and the licensee shall only be held liable for their independent 20 acts. 21 § 64-f. Direct interstate liquor shipments. 1. Authorization. 22 Notwithstanding any provision of law, rule or regulation to the contra- 23 ry, any holder of a license to manufacture liquor in any other state, 24 who obtains an out-of-state direct shipper's license, as provided in 25 this section, may ship no more than thirty-six cases (no more than nine 26 liters each case) of liquor produced by such license holder per year 27 directly to a resident of New York who is at least twenty-one years of 28 age, for such resident's personal use and not for resale, provided the 29 state in which such person is so licensed affords lawful means for ship- 30 ments of liquor to be received by a resident thereof who is at least 31 twenty-one years of age, for such resident's personal use and not for 32 resale, from a person licensed in this state as a manufacturer and, 33 provided further, that the state in which such out-of-state distillery 34 is located affords to New York state distillery and farm distillery 35 licensees reciprocal shipping privileges, meaning shipping privileges 36 that are substantially similar to the requirements in this section. No 37 person shall place an order for shipment of liquor unless they are twen- 38 ty-one years of age or older. Any common carrier with a permit issued 39 pursuant to this chapter to whom such out-of-state shipper's license is 40 presented is authorized to make delivery of shipments provided for here- 41 under in this state in compliance with this section. 42 2. License. Before sending any shipment hereunder to a resident in 43 this state, the out-of-state shipper shall first obtain a license from 44 the authority under procedures prescribed by rules and regulations of 45 the authority and after providing the authority with a true copy of its 46 current license to manufacture liquor in the applicant's state of domi- 47 cile along with a copy of the applicant's federal basic permit after 48 payment of an annual fee of one hundred twenty-five dollars. Notwith- 49 standing the provisions of section one hundred ten of this chapter, the 50 authority in its discretion, may excuse an out-of-state distillery from 51 the submission of such information. 52 3. Licensee's responsibilities. The holder of an out-of-state direct 53 shipper's license shall: 54 (a) ship no more than thirty-six cases (no more than nine liters each 55 case) per year of liquor produced by such license holder directly to aA. 10448 3 1 New York state resident who is at least twenty-one years of age, for 2 such resident's personal use and not for resale; 3 (b) ensure that the outside of each shipping container used to ship 4 liquor directly to a New York resident is conspicuously labeled with the 5 words: "CONTAINS LIQUOR - SIGNATURE OF PERSON AGE 21 OR OLDER REQUIRED 6 FOR DELIVERY - NOT FOR RESALE," or with other language specifically 7 approved by the New York state liquor authority; 8 (c) maintain records in such manner and form as the authority may 9 direct, showing the total amount of liquor shipped into the state each 10 calendar year; the names and addresses of the purchasers to whom the 11 liquor was shipped, the date purchased, the name of the common carrier 12 used to deliver the liquor, and the quantity and value of each shipment; 13 (d) in connection with the acceptance of an order for a delivery of 14 liquor to a New York resident, require the prospective customer to 15 represent that he or she has attained the age of twenty-one years or 16 more and that the liquor being purchased will not be resold or intro- 17 duced into commerce; 18 (e) require common carriers to: 19 (i) require a recipient, at the delivery address, upon delivery, to 20 demonstrate that the recipient is at least twenty-one years of age by 21 providing a valid form of photographic identification authorized by 22 section sixty-five-b of this article; 23 (ii) require a recipient to sign an electronic or paper form or other 24 acknowledgement of receipt as approved by the authority; and 25 (iii) refuse delivery when the proposed recipient appears to be under 26 twenty-one years of age and refuses to present valid identification as 27 required by subparagraph (i) of this paragraph; 28 (f) file returns with and pay to the New York state department of 29 taxation and finance all state and local sales taxes and excise taxes 30 due on sales into this state in accordance with the applicable 31 provisions of the tax law relating to such taxes, the amount of such 32 taxes to be determined on the basis that each sale in this state was at 33 the location where delivery is made; 34 (g) keep all records required by this section for three years and 35 provide copies of such records, upon written request, to the authority 36 or the department of taxation and finance; 37 (h) permit the authority or the department of taxation and finance to 38 perform an audit of such out-of-state shipper upon request; 39 (i) execute a written consent to the jurisdiction of this state, its 40 agencies and instrumentalities and the courts of this state concerning 41 enforcement of this section and any related laws, rules, or regulations, 42 including tax laws, rules or regulations; and 43 (j) prior to obtaining an out-of-state direct shipper's license, 44 obtain a certificate of authority pursuant to section eleven hundred 45 thirty-four of the tax law and a registration as a distributor pursuant 46 to sections four hundred twenty-one and four hundred twenty-two of the 47 tax law. 48 4. Situs. Delivery of a shipment in this state by the holder of an 49 out-of-state direct shipper's license shall be deemed to constitute a 50 sale in this state at the place of delivery and shall be subject to all 51 excise taxes levied pursuant to section four hundred twenty-four of the 52 tax law and all sales taxes levied pursuant to articles twenty-eight and 53 twenty-nine of such law. 54 5. Renewal. The out-of-state shipper may annually renew its license 55 with the authority by paying a one hundred twenty-five dollar renewal 56 fee, providing the authority with a true copy of its current license inA. 10448 4 1 such other state as an alcoholic beverage manufacturer and by complying 2 with such other procedures as are prescribed by rule of the authority. 3 6. Rules and regulations. The authority and the department of taxation 4 and finance may promulgate rules and regulations to effectuate the 5 purposes of this section. 6 7. Enforcement. The authority may enforce the requirements of this 7 section including the requirements imposed on the common carrier, by 8 administrative proceedings to suspend or revoke an out-of-state ship- 9 per's license and the authority may accept payment of an administrative 10 fine in lieu of suspension, such payments to be determined by rules or 11 regulations promulgated by the authority. In addition, the authority or 12 the attorney general of the state of New York shall report violations of 13 this section, where appropriate, to the United States department of 14 treasury, tax and trade bureau, for administrative action to suspend or 15 revoke the federal basic permit. 16 8. Violations. In any action brought under this section, the common 17 carrier and the licensee shall only be held liable for their independent 18 acts. 19 § 2. This act shall take effect on the ninetieth day after it shall 20 have become a law. Effective immediately, the addition, amendment 21 and/or repeal of any rule or regulation necessary for the implementation 22 of this act on its effective date are authorized to be made and 23 completed on or before such effective date.