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S6293Senate2015-2016 Session

Requires a refundable deposit on kegs and taps

Sponsor Timothy M. KennedySD-63+2 co-sponsorsAffects Legal
Status
In Senate Committee
Investigations And Government Operations
Impact
Pending
Passage
Pending

Bill progress

Step 2 of 7

In committee · Investigations And Government Operations

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Sponsors

Primary sponsor
Timothy M. Kennedy

Senator · Senate District 63

History

  1. Referred to investigations and government operations

Full text

The text isn't available here yet. Check nysenate.gov.

Sponsor's memo

Title of bill

An act to amend the alcoholic beverage control law, in relation to the registration of kegs

Purpose

This bill creates requirements for identification tags attached to kegs, mandatory deposits for the rental of kegs, and mandatory deposits for the rental of a tap.

Summary of provisions

Section 1: adds section 105(c)to the alcoholic beverage control law, providing for mandatory identification labels attached to any keg provided for off-site consumption, provides the details to be included on each identification tag, provides for a 50 dollar deposit for each retail sale of beer by the keg for off-premises consumption, provides for a 25 dollar deposit for each tap provided by a retail licensee, and provides a fine for any individual who removes an identification tag or possesses a keg without the identification tag.

Section 2: sets the effective date.

Justification

The alcoholic beverage control law no longer requires identification tags on keg containers. However, this information that includes the name of the distributor and the purchaser of the beer, is vital in ensuring the keg returns to the proper distributor, and that any crime connected to the use of the keg is connected to the purchaser. Including an identification requirement will streamline the reporting requirements needed for all kegs, instead of having different suppliers use different processes.

Establishing a keg deposit at S50, and a tap deposit at S25, will help distributors properly cover the cost of items that fail to be returned. The cost of a new keg often exceeds $100 and the scrap value of an empty keg reaches upwards of $50, while the price of a new tap ranges from $30-$250. Setting a deposit level of $50 will ensure that the purchaser of the beer in the keg will not be able to profit by keeping the keg to sell as scrap. A $50 level also helps the distributor pay less when purchasing a replacement keg. Additionally, a $25 tap deposit would better ensure the return of rented taps, and would help distributors recoup the cost towards replacing a lost tap. Setting deposit levels results in distributors having to spend less money out of pocket when replacing lost items, representing a savings to these companies.

Legislative history

New Bill.

Fiscal implications

To be determined.

Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.