Permits licensees under the alcoholic beverage control law to sell and deliver alcoholic beverages for off-premises consumption; provides for the repeal of such provisions upon the expiration thereof.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A3116 Revised 4/20/2021
SPONSOR: Fahy TITLE OF BILL:
An act in relation to permitting licensees under the alcoholic beverage
control law to sell and deliver alcoholic beverages for off-premises
consumption; and providing for the repeal of such provisions upon the
expiration thereof
SUMMARY OF PROVISIONS:
This bill would allow, for two years after the expiration of the COVID19
state disaster emergency, any on-premises licensee and any manufacturing
licensee with on-premises retail privileges to sell for off-premises
consumption any alcoholic beverages that it is licensed to sell for
on-premises consumption.
The bill would require such beverages to be sold in closed/sealed
containers, accompanied by the purchase of food, and comply with open
container laws. It would allow such beverages to be sold via takeout or
delivery, and provide certain specifications as to the type of vehicle
that can be used for deliveries.
The bill would require hours of takeout/delivery sales to be consistent
with the County's required on-premises hours of operation or the hours
of operation set forth in the licensee's method of operation with the
SLA.
To ensure community input, the bill would require the SLA to conduct
regular outreach to municipalities and community boards to solicit
comment and report to the Legislature and Governor within 6 months on
the implementation of the act. The SLA would also be required to hold
three hearings on the law between 4 months and 2 months before the law
is set to expire - One in NYC, one- in Western NY, and one in the Capi-
tal Region.
The bill would also permit the SLA to suspend or revoke a licensee's
ability to sell alcoholic beverages for off-premises consumption, after
a hearing. Municipalities and community boards would be permitted to
express an opinion for or against allowing the licensee to continue to
do so.
JUSTIFICATION:
New York's bars, restaurants, hotels, clubs, breweries, wineries, and
other businesses that engage in the sale of alcohol have been devastated
by the COVID-19 pandemic. According to a survey conducted by the New
York City Hospitality Alliance, 87.196 of the 483 businesses surveyed
could not pay their May rent, or only paid a portion of it.
Social distancing restrictions and close-down orders have prohibited
these businesses from offering dine-in service, forcing them to dras-
tically reduce their workforce and exacerbating economic struggles for
workers who were already more likely to face financial insecurity and
lack of comprehensive health care and benefits than workers in most
other industries.
Many iconic establishments are in such dire financial circumstances that
they may be forced to close forever. This would be a major, crushing
loss for our state = these businesses help make New York a unique,
exciting cultural destination unlike anywhere else on the planet-New
York must provide creative solutions for these businesses to help them
survive the pandemic and the resulting economic depression.
Executive Order 202.3 allowed any retail on-premises licensee under the
Alcoholic Beverage Control Law to sell any alcoholic beverages for off-
premises consumption that the licensee is permitted to sell for on-prem-
ises consumption. Given that consumers are likely to be cautious about
being in crowded spaces for an. extended period of time, this bill would
continue to grant this ability for two years after New York's COVID-19
state of emergency declaration expires. To ensure that local communi-
ties are able to provide input on the implementation of the law, it
would also require the SLA to regularly consult with municipalities and
community boards to solicit their feedback, and to conduct public hear-
ings across the state to solicit public comment about the effects of
this new policy.
PRIOR LEGISLATIVE HISTORY:
Al0550 od 2019-20
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
To be determined.
EFFECTIVE DATE:
This act shall take effect immediately, and shall expire and be deemed
repealed two years after the expiration of the state disaster emergency
as such term is defined in section 20 of the executive law, declared
pursuant to executive order 202 of 2020, as amended.
STATE OF NEW YORK
________________________________________________________________________
3116
2021-2022 Regular Sessions
IN ASSEMBLY
January 22, 2021
___________
Introduced by M. of A. FAHY, WOERNER, LUPARDO -- read once and referred
to the Committee on Economic Development
AN ACT in relation to permitting licensees under the alcoholic beverage
control law to sell and deliver alcoholic beverages for off-premises
consumption; and providing for the repeal of such provisions upon the
expiration thereof
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. a. Notwithstanding any other provision of law to the
2 contrary, any on-premises licensee and any manufacturing licensee with
3 on-premises retail privileges that is licensed pursuant to the alcoholic
4 beverage control law may sell for off-premises consumption any alcoholic
5 beverages that it is licensed to sell for on-premises consumption.
6 b. Alcoholic beverages sold for off-premises consumption pursuant to
7 this section:
8 (i) may be sold in any closed or any sealed container of any size,
9 provided that the sale of each container shall be accompanied by the
10 purchase of food, and provided further that sales of such alcoholic
11 beverages shall comply with any applicable municipal ordinances relating
12 to open containers;
13 (ii) may be sold for takeout from the licensed premises, or may be
14 delivered to the residence of a customer over the age of twenty-one,
15 provided that deliveries shall be made in a vehicle permitted by the
16 liquor authority or in a vehicle owned and operated or hired and oper-
17 ated by the licensee or its employee, and provided further that a copy
18 of the permit or license must be present in such vehicle while making
19 deliveries; and
20 (iii) may only be sold for off-premises consumption during the
21 on-premises hours of operation of the county in which the premises is
22 located or, if different, the hours of operation set forth in the
23 licensee's method of operation with the liquor authority.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD06514-01-1
A. 3116 2
1 c. The provisions of this section shall not be construed to modify or
2 limit any off-premises privileges afforded by a licensee's current
3 license.
4 d. The liquor authority shall conduct regular outreach to munici-
5 palities and community boards to solicit comment regarding the implemen-
6 tation of this act and the effects of this act on local communities. Not
7 later than six months after the effective date of this act, the liquor
8 authority shall report to the governor and the legislature on the imple-
9 mentation of this act, including a summary of comments the authority has
10 received from municipalities and community boards.
11 e. Not sooner than four months and not later than two months before
12 this act shall expire and be deemed repealed, the liquor authority shall
13 conduct at least three public hearings to solicit public comment on the
14 implementation of this act and the effects of this act on local communi-
15 ties, one of which shall take place in the City of New York, one of
16 which shall take place in Western New York, and one of which shall take
17 place in the Capital Region.
18 f. Notwithstanding any inconsistent provision of law to the contrary,
19 the liquor authority may on its own initiative or on complaint of any
20 person institute proceedings to suspend or revoke a licensee's ability
21 to sell alcoholic beverages for off-premises consumption pursuant to
22 this act after a hearing at which the licensee shall be given an oppor-
23 tunity to be heard. Such proceedings and such hearing shall be held in
24 such manner and upon such notice as may be prescribed by the rules of
25 the liquor authority, provided that:
26 (i) the liquor authority shall give written notice to the licensee and
27 the municipality or community board at least fifteen days in advance of
28 such hearing; and
29 (ii) a municipality or community board may express an opinion for or
30 against allowing such licensee to continue to sell alcoholic beverages
31 for off-premises consumption pursuant to this act. Any such opinion
32 shall be deemed part of the record upon which the liquor authority makes
33 its determination pursuant to this subdivision.
34 g. The liquor authority may promulgate rules and regulations to imple-
35 ment the provisions of this act.
36 § 2. This act shall take effect immediately, and shall expire and be
37 deemed repealed two years after the expiration of the state disaster
38 emergency, as such term is defined in section 20 of the executive law,
39 declared pursuant to executive order 202 of 2020, as amended.
