Bill Text: NY S04648 | 2019-2020 | General Assembly | Introduced


Bill Title: Establishes the addiction prevention and recovery act of 2019; increases taxes on alcohol by fifty percent and allocates the increased revenue to a special fund to be used for the purposes of alcohol and substance abuse addiction prevention and recovery services and programs.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2019-03-19 - REFERRED TO BUDGET AND REVENUE [S04648 Detail]

Download: New_York-2019-S04648-Introduced.html


                STATE OF NEW YORK
        ________________________________________________________________________
                                          4648
                               2019-2020 Regular Sessions
                    IN SENATE
                                     March 19, 2019
                                       ___________
        Introduced  by  Sen.  COMRIE -- read twice and ordered printed, and when
          printed to be committed to the Committee on Budget and Revenue
        AN ACT to amend the tax law and the state finance law,  in  relation  to
          enacting the addiction prevention and recovery act of 2019
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1. This act shall be known and may be cited as the  "addiction
     2  prevention and recovery act of 2019".
     3    §  2.  Paragraphs  (a), (b), (c), (d), (e) and (f) of subdivision 1 of
     4  section 424 of the tax law, paragraphs (a), (b), (c) and (d) as  amended
     5  by  section  1  of part X-1 of chapter 57 of the laws of 2009, paragraph
     6  (e) as amended by chapter 190 of the laws of 1990 and paragraph  (f)  as
     7  amended  by chapter 508 of the laws of 1993, are amended and a new para-
     8  graph (h) is added to read as follows:
     9    (a) [Fourteen] Twenty-eight cents per gallon upon beers;
    10    (b) [Thirty] Sixty cents per gallon upon  still  wines,  except  cider
    11  containing  more  than  three  and  two-tenths  per centum of alcohol by
    12  volume, upon which the tax shall be  [three]  seven  and  [seventy-nine]
    13  fifty-eight hundredths cents per gallon;
    14    (c) [Thirty] Sixty cents per gallon upon artificially carbonated spar-
    15  kling  wines,  except artificially carbonated sparkling cider containing
    16  more than three and two-tenths per centum of  alcohol  by  volume,  upon
    17  which  the  tax  shall  be  [three] seven and [seventy-nine] fifty-eight
    18  hundredths cents per gallon;
    19    (d) [Thirty] Sixty cents per  gallon  upon  natural  sparkling  wines,
    20  except natural sparkling cider containing more than three and two-tenths
    21  per  centum  of  alcohol  by volume, upon which the tax shall be [three]
    22  seven and [seventy-nine] fifty-eight hundredths cents per gallon;
    23    (e) [Sixty-seven] One dollar and  thirty-four  cents  per  liter  upon
    24  liquors  containing  not  more than twenty-four per centum of alcohol by
    25  volume except liquors containing not more than two per centum of alcohol
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD09347-05-9

        S. 4648                             2
     1  by volume, upon which the tax shall be [one cent] two cents  per  liter;
     2  and
     3    (f)  [One  dollar]  Three  dollars and [seventy] forty cents per liter
     4  upon all other liquors; when sold or used within this state, except when
     5  sold or used under such circumstances that this state is  without  power
     6  to  impose  such  tax or when sold to the United States and except beers
     7  when sold to or by a voluntary unincorporated organization of the  armed
     8  forces  of  the  United  States  operating a place for the sale of goods
     9  pursuant to regulations promulgated by the appropriate executive  agency
    10  of the United States, to the extent provided in such regulations, direc-
    11  tives  and policy statements of such an agency applicable to such sales,
    12  and except when sold to professional  foreign  consuls-general,  consuls
    13  and  vice-consuls who are nationals of the state appointing them and who
    14  are assigned to foreign consulates in this state, provided that American
    15  consular officers of equal rank who are citizens of  the  United  States
    16  and who exercise their official functions at American consulates in such
    17  foreign  country  are  granted reciprocal exemptions; provided, however,
    18  that the commissioner may permit the sale of alcohol without  tax  to  a
    19  holder  of  any  industrial  alcohol  permit,  alcohol permit or alcohol
    20  distributor's permit, issued by the state liquor authority, and  by  the
    21  holder  of  an  alcohol  distributor's  permit,  class A, issued by such
    22  authority to a holder of a distiller's license, class  B,  or  a  winery
    23  license, issued by such authority and may also permit the use of alcohol
    24  for any purpose other than the production of alcoholic beverages by such
    25  holders  without tax; provided also that the commissioner may permit the
    26  sale of cider without tax by a holder  of  a  cider  producer's  license
    27  issued  by  the state liquor authority to a holder of a cider producer's
    28  license or a cider wholesaler's license issued by such authority.
    29    (h) Notwithstanding any other provision of this article, half  of  all
    30  taxes, interest, penalties and fees collected or received by the commis-
    31  sioner  from each gallon of beer, still wine, cider, artificially carbo-
    32  nated sparkling wines, artificially carbonated sparkling cider,  natural
    33  sparkling  wines,  natural sparkling cider and from each liter of liquor
    34  under paragraphs (a) through (f) of this subdivision shall be  allocated
    35  to  the  alcohol  and  substance abuse addiction prevention and recovery
    36  fund established pursuant to section ninety-nine-ff of the state finance
    37  law.
    38    § 3. The state finance law is amended by adding a new section 99-ff to
    39  read as follows:
    40    § 99-ff. Alcohol and substance abuse addiction prevention and recovery
    41  fund. 1.  There is hereby established in the joint custody of the  comp-
    42  troller  and  the commissioner of taxation and finance a special fund to
    43  be known as the "alcohol and substance abuse  addiction  prevention  and
    44  recovery fund".
    45    2. (a) Such fund shall consist of all revenues received by the depart-
    46  ment  of  taxation  and finance, pursuant to the provisions of paragraph
    47  (h) of subdivision one of section four hundred twenty-four  of  the  tax
    48  law,  and all other moneys appropriated, credited or transferred thereto
    49  from any other fund or source pursuant to law. Nothing contained in this
    50  section shall prevent the state from receiving grants, gifts or bequests
    51  for the purposes of the fund as defined in this section  and  depositing
    52  them into the fund according to law.
    53    (b) Monies expended from such fund shall be used to supplement and not
    54  supplant  any  other  funds which would otherwise have been expended for
    55  alcohol and substance abuse addiction prevention or recovery.  All  such
    56  funds  shall  be  used  to improve alcohol and substance abuse addiction

        S. 4648                             3
     1  prevention and recovery services in the state. Nothing in this paragraph
     2  shall preclude the state from decreasing funds  as  long  as  the  state
     3  demonstrates  to  the  office of alcoholism and substance abuse services
     4  that  the  quality  of services has been maintained or enhanced notwith-
     5  standing the use of state funds.
     6    3. Monies of the fund shall be expended only for alcohol and substance
     7  abuse addiction prevention and recovery. As used in this section, "alco-
     8  hol and substance abuse addiction prevention and recovery" shall include
     9  educational projects, including grants for alcohol and  substance  abuse
    10  addiction  education  and prevention programs, and alcohol and substance
    11  abuse addiction recovery services and programs which are approved by the
    12  department of health.
    13    4. Monies shall be payable from the fund on the audit and  warrant  of
    14  the  comptroller  on vouchers approved and certified by the commissioner
    15  of the office of  alcoholism  and  substance  abuse  services,  provided
    16  however that fifty percent of the funds shall be expended on alcohol and
    17  substance  abuse  addiction  prevention  and  fifty percent of the funds
    18  shall be expended on alcohol  and  substance  abuse  addiction  recovery
    19  services and programs.
    20    5.  To the extent practicable, the commissioner of the office of alco-
    21  holism and  substance  abuse  services  shall  ensure  that  all  monies
    22  received  during  a  fiscal  year  are  expended prior to the end of the
    23  fiscal year.
    24    6. On or before the first day of February each year, the  commissioner
    25  of the office of alcoholism and substance abuse services shall provide a
    26  written  report to the temporary president of the senate, speaker of the
    27  assembly, chair of the senate finance committee, chair of  the  assembly
    28  ways and means committee, chair of the senate committee on health, chair
    29  of  the assembly health committee, the state comptroller and the public.
    30  Such report shall include how the  monies  of  the  fund  were  utilized
    31  during the preceding calendar year, and shall include:
    32    (a)  the amount of money disbursed from the fund and the award process
    33  used for such disbursements;
    34    (b) recipients of awards from the fund;
    35    (c) the amount awarded to each;
    36    (d) the purposes for which such awards were granted; and
    37    (e) a summary financial plan for such monies which shall include esti-
    38  mates of all receipts and all disbursements for the current and succeed-
    39  ing fiscal years, along with the actual results from  the  prior  fiscal
    40  year.
    41    §  4. This act shall take effect April 1, 2020. Effective immediately,
    42  any rules or regulations necessary to implement the provisions  of  this
    43  act may be promulgated and any procedures, forms, or instructions neces-
    44  sary  for  such implementation may be adopted and issued on or after the
    45  date this act shall have become a law. The commissioners of taxation and
    46  finance and the office of alcoholism and substance  abuse  services  may
    47  take  any  steps  necessary to implement this act prior to its effective
    48  date.
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