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S7793Senate2017-2018 SessionSame asA10128

Allow Custom Liquor by Farms

Official title

“Relates to authorizing custom liquor production for a non-licensed individual by farm distilleries”

Sponsor David J. ValeskySD-53Affects Economy
Status
Senate Floor Calendar
Impact
4/10
Low
Outcome
Companion signed

Bill progress

Signed via A10128

What's happening

This bill allows New York farm distilleries to produce custom liquor for non-licensed individuals for personal use under specific conditions.

Why it matters

  1. Expands opportunities for personal involvement. Allows non-licensed individuals not only to commission, but also to actively assist in the production of their custom liquor at a farm distillery, giving enthusiasts a hands-on experience and fostering a deeper appreciation for local craft spirits.

  2. Ensures strict regulatory oversight and tax compliance. Farm distilleries remain responsible for all regulatory approvals (such as brand label authorization) and tax payments before delivering custom liquor, maintaining state control and revenue collection.

  3. Limits potential for commercial misuse. Custom liquors produced under this law must be labeled as “not for resale” and can only be sold for personal or family use, with explicit prohibitions on resale and sale through retail channels, thereby protecting established markets and discouraging illegal distribution.

  4. Supports local agriculture and production limits. Requires that all custom liquor be “New York labelled” (using New York ingredients), and any such production counts toward the farm distillery’s annual production cap, which helps support local farms while preventing large-scale, unregulated output.

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Who cares

Headline styles

Allow Custom Liquor by Farms

Plain English, a few words. Used as the page title.

Sponsors

Primary sponsor
David J. Valesky

Senator · Senate District 53

No co-sponsors yet.

History

  1. Substituted by A10128A
  2. Ordered to third reading cal.1951
  3. Committee discharged and committed to rules
  4. Print number 7793a
  5. Amend (t) and recommit to commerce, economic development and small business
  6. Referred to commerce, economic development and small business

Companion bill

The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.

A10128Assembly

Allow Personal Liquor Making

Signed by Governor · Sponsor Robin Schimminger

Impact 4 · LowSigned into law

Full text

2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗

STATE OF NEW YORK

7793--A

IN SENATE

February 26, 2018

Introduced by Sen. VALESKY -- read twice and ordered printed, and when printed to be committed to the Committee on Commerce, Economic Development and Small Business -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee

AN ACT to amend the alcoholic beverage control law, in relation to authorizing custom liquor production for a non-licensed individual by farm distilleries

The People of the State of New York, represented in Senate and Assembly, do enact as follows:

Section 1. Section 61 of the alcoholic beverage control law is amended by adding a new subdivision 8 to read as follows:

8. Notwithstanding any other provision of law to the contrary, a farm distillery licensed under subdivision two-c of this section may engage in custom liquor production for a non-licensed individual under the following conditions:

(a) the licensee may allow such non-licensed individual to assist in the production of such custom liquors;

(b) the licensee shall only sell such custom liquor to such non-licensed individual for that individual's personal or family use, and not for resale;

(c) the brand label of such custom liquor shall clearly state that the product is not for resale;

(d) such custom liquor shall not be offered for sale pursuant to section ninety-nine-g of this chapter;

(e) any tastings conducted pursuant to this subdivision shall be subject to the provisions of paragraph (c) of subdivision two-c of this section;

(f) the licensee or an employee or agent of the licensee shall be present at all times when the non-licensed individual is assisting in the production of the custom liquor;

(g) the licensee shall be responsible for obtaining approval of the liquor's brand label pursuant to section one hundred seven-a of this chapter and the payment of all taxes due before the custom liquor is delivered to the non-licensed individual;

EXPLANATION--Matter in italics (underscored) is new; matter in brackets

[ ] is old law to be omitted.

LBD14658-06-8

S. 7793--A 2

(h) any custom liquor produced under this subdivision must be a New York labelled liquor as defined in subdivision twenty-c of section three of this chapter; and

(i) any custom liquor produced under this subdivision shall be counted toward the maximum production limit set forth in paragraph (f) of subdivision two-c of this section.

§ 2. This act shall take effect on the sixtieth day after it shall have become a law. Effective immediately, the addition, amendment and/or repeal of any rule or regulation necessary for the implementation of this act on its effective date are authorized to be made and completed on or before such effective date.

Reflowed for reading: line numbers and page breaks removed. Cite the official text.

Sponsor's memo

Title of bill

An act to amend the alcoholic beverage control law, in relation to authorizing custom liquor production for a non-licensed individual by farm distilleries

Purpose of the bill

To allow any person holding a Class D Distillers' License, a farm distillery, the ability to engage in custom liquor production for a non-licensed individual for personal or family use, and not for resale.

Summary of specific provisions

§ 1 - Amends § 61 of the Alcoholic Beverage Control Law by adding a new subdivision 8 to allow any person holding a Class D Distillers' License the ability to engage in custom liquor production for a non-licensed individual for personal or family use, and not for resale.

§ 2 - Effective Date.

Difference between original and amended version (if applicable)

This amendment makes numerous changes to the legislation by changing the mechanism of custom liquor production from a license endorsement, as was the case with the original version, into an authorization allowed under the current Class C Distillers' License.

Justification

Creating craft spirits takes a considerable amount of time and resources. Tremendous investment is needed to secure an appropriate physical structure, secure the appropriate license and ultimately begin producing spirits. When a distillery sources agricultural products locally, as is the case with a farm distillery, the initial investment can be staggering, as the distillery is restricted to specific agricul- tural products' growing cycles, the seasons, and limited quantities of the right crops, in addition to the extended aging time of many spirits before a final product is available for sale.

Allowing licensed Class D Distillers to offer custom liquor production to individuals can alleviate some of the risk that these licensees undertake by allowing the farm distilleries to produce to order. If a farm distillery can take orders for custom liquor before it goes into production, they know what ingredients they will need and how much will be needed. This ability reduces the distillery's risk on the initial outlay of resources and allows for individuals to be involved in the process that goes into producing their batch of custom liquor. Ulti- mately, individuals will learn about how flavor is affected by the regions, seasons, soil and water conditions, microbes, and so on in order to formulate their own distinct custom liquor.

Custom manufacturing is already available at custom beer/cider/winemakers' centers for beer, cider and wine, but not for liquor. This bill will allow for greater parity among New York State's farm based alcohol industries.

Prior legislative history

New bill.

Fiscal implications for state and local governments

None.

Effective date

This act shall take effect on the sixtieth day after it shall have become a law. Effective immediately, the addition, amendment and/or repeal of any rule or regulation necessary for the implementation of this act on its effective date are authorized to be made and completed on or before such effective date.

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