Relates to pro rata license fees for seasonal bars

BILL NUMBER:S6764A

Title of bill

An act to amend the alcoholic beverage control law, in relation to lowering the alcohol license fees for seasonally operated bars

Purpose

To establish pro rata license fees, based on the number of months in operation, that owners of seasonal bars pay for licensure.

Summary of provisions

Section 1 amends subdivision 4 of section 100 of the Alcoholic Beverage Control Law to allow a licensed premise that operates a seasonal bar in addition to its licensed bar, to pay a prorated amount of the additional bar fee, based on the number of months in operation for its seasonal bar.

Section 2 authorizes the State Liquor Authority to promulgate any rules or regulations with regard to this act.

Section 3 makes the act effective on the ninetieth day after it becomes law, however, section 2 of this act shall take effect immediately.

Justification

This legislation was drafted on behalf of a constituent who operates his indoor bar year-round but also operates an outdoor tiki bar at the same establishment, which is open for about half the year during warm weather months.

The New York State Liquor Authority requires a license for each bar. Even though the outdoor bar is strictly seasonal, the Authority mandates that the fee for this additional bar be equivalent to the amount of the annual license fee paid by the licensee. Currently it is $1800 for a two-year license.

There is no objection to needing two separate licenses in this situation, but there are reservations about paying full price for a license that is only used part of the time. The Governor has repeatedly stated "New York is Open for Business" but this State requirement is certainly hurting my constituent as well as many other already struggling small business owners. This legislation will allow a prorated fee for the license, based on the number of months in operation.

This will be financially palatable to seasonal bar operators.

Legislative history

This is a new bill.

Fiscal implications

This bill would save many seasonally operated bars much needed money.

Effective date

This act shall take effect 90 days after it becomes law except effective immediately, any addition, amendment and/or repeal of any rule or regulation necessary for implementation of this act.