Bill S7333-2009

Confers rule making authority on liquor authority

Confers rule making authority on liquor authority in connection with what constitutes a grocery store.

Details

Actions

  • Apr 27, 2010: REPORTED AND COMMITTED TO FINANCE
  • Mar 30, 2010: REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS

Votes

VOTE: COMMITTEE VOTE: - Investigations and Government Operations - Apr 27, 2010
Ayes (5): Johnson C, Stachowski, Klein, Espada, Winner
Ayes W/R (1): Nozzolio
Nays (2): Diaz, Golden

Memo

 BILL NUMBER:  S7333

TITLE OF BILL :

An act to amend the alcoholic beverage control law, in relation to conferring rule making powers upon the authority in connection with what constitutes a grocery store

PURPOSE :

This bill would confer upon the State Liquor Authority (SLA) rule-making powers in connection with what constitutes a grocery store.

SUMMARY OF PROVISIONS :

Section 1 of the bill would amend Alcoholic Beverage Control (ABC) Law § 3(13) to empower the SLA to adopt, promulgate, amend and repeal such rules and regulations as the SLA may deem necessary to carry out the provisions of ABC Law § 3(13).

Section 2 of the bill would provide for an immediate effective date.

EXISTING LAW :

ABC Law § 3(13) does not currently empower the SLA to promulgate rules to enforce the provisions of this section.

LEGISLATIVE HISTORY :

This is a new bill.

STATEMENT IN SUPPORT :

The SLA seeks to clarify, through rule making, the standards by which an establishment can be deemed a "grocery store" under the ABC Law. Only grocery stores and drug stores are eligible for a license to sell beer for off-premises consumption. The definition in the ABC Law dates back to 1934, before the development of convenience stores and mini-marts. Since many of these establishments do not fit into the definition of a traditional grocery store, the SLA issued a Divisional Order that imposes rigorous inventory standards that an applicant must meet to be considered a bona fide grocery store. However, with convenience stores expanding the types of services they provide, these establishments find it difficult, if not impossible, to meet those inventory standards.

In addition, the convenience store industry has questioned the SLA's ability to impose the inventory standard by use of the Divisional Order, rather than by regulation. The SLA does not have rule making power in this area. Clarifying the standards through limited rule making would permit the issuance of a grocery store beer or a grocery store beer and wine product license to persons operating convenience stores, and will ensure that affected parties will have an opportunity to participate in the process, and will provide ready access to standards once the rule is promulgated.

BUDGET IMPLICATIONS :

None.

EFFECTIVE DATE : This bill would be effective immediately.

Text

STATE OF NEW YORK ________________________________________________________________________ 7333 IN SENATE March 30, 2010 ___________
Introduced by Sen. C. JOHNSON -- (at request of the State Liquor Author- ity) -- read twice and ordered printed, and when printed to be commit- ted to the Committee on Investigations and Government Operations AN ACT to amend the alcoholic beverage control law, in relation to conferring rule making powers upon the authority in connection with what constitutes a grocery store THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Subdivision 13 of section 3 of the alcoholic beverage control law is amended to read as follows: 13. "Grocery store" means any retail establishment where foodstuffs are regularly and customarily sold in a bona fide manner for the consumption off the premises. THE LIQUOR AUTHORITY IS HEREBY EMPOWERED TO ADOPT, PROMULGATE, AMEND AND REPEAL SUCH RULES AND REGULATIONS AS THE AUTHORITY MAY DEEM NECESSARY TO CARRY OUT THE PROVISIONS OF THIS SUBDI- VISION. S 2. This act shall take effect immediately.

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