What's happening
This bill prohibits wholesalers from charging New York State licensed retailers any fees beyond the purchase price of alcoholic beverages.
Why it matters
Reduces hidden costs for retailers. By banning wholesalers from imposing extra fees beyond the purchase price, this bill ensures that retailers can better predict and control their operating expenses, potentially making it easier for small businesses to budget.
May lead to lower prices for consumers. If retailers face fewer unexpected costs, they may be less likely to pass those expenses on to customers, possibly resulting in more competitive pricing for alcoholic beverages.
Limits wholesaler leverage over retailers. The prohibition of additional fees restricts the ways wholesalers can extract revenue from retailers, potentially leveling the playing field between large wholesalers and smaller, independent retail shops.
Creates clearer business relationships. This change clarifies the financial terms of transactions between wholesalers and retailers, reducing confusion and disputes over ancillary charges and fostering greater transparency in the alcohol distribution system.
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Who cares
Headline styles
Ban Wholesaler Retailer Fees
Plain English, a few words. Used as the page title.
Sponsors
Senator · Senate District 42
No co-sponsors yet.
History
- Recommit, enacting clause stricken
- Referred to investigations and government operations
- Referred to investigations and government operations
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.
Ban Wholesaler Extra Fees
In Assembly Committee · Economic Development · Sponsor Albert A. Stirpe
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
341
2025-2026 Regular Sessions
IN SENATE (Prefiled)
January 8, 2025
Introduced by Sen. SKOUFIS -- read twice and ordered printed, and when printed to be committed to the Committee on Investigations and Government Operations
AN ACT to amend the alcoholic beverage control law, in relation to prohibited fees
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Section 104 of the alcoholic beverage control law is amended by adding a new subdivision 12 to read as follows:
12. Notwithstanding any provision of law to the contrary, no wholesaler shall assess any fee whatsoever upon any New York state licensed retailer in addition to purchase price of alcoholic beverages.
§ 2. This act shall take effect on the ninetieth 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.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01439-01-5
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 prohibited fees
Purpose
This bill would prohibit wholesalers of alcoholic beverages from impos- ing any fees upon New York State retailers.
Summary of provisions
Section 1: Amends section 104 of the alcoholic beverage control law by adding a new subdivision 12, which prohibits wholesalers from assessing any fee upon any NYS-licensed retailer in addition to the purchase price of alcoholic beverages.
Section 2: Sets effective date.
Justification
Wholesalers of alcoholic beverages routinely levy large fees on retail- ers as part of the purchase of alcoholic beverages. Many common services that should naturally occur within the course of business come with a value-added charge attached, and retailers largely cannot avoid them. This bill would ensure price certainty and fairness in the cost of goods for NYS retailers by precluding exploitative practices on behalf of wholesalers.
Legislative history
Senate
2021: S3808-A, Referred to Investigations and Government Operations
2022: S3808-A, Amended and Recommitted to Investigations and Government Operations
2023: S4351, Referred to Investigations and Government Operations
2024: S4351, Referred to Investigations and Government Operations
Assembly
2021: N/A
2022: A10392, Referred to Economic Development
2023: N/A
2024: A9078, Referred to Economic Development
Fiscal implications
None.
Effective date
This act shall take effect on the ninetieth 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.