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NY Governor Signs Craft Bill

by | Nov 18, 2014 | alcohol beverage law

Today, New York Governor Cuomo signed the craft beverage bill which will help all New York alcohol beverage producers.

“New York produces some of the best wine, beer, spirits and cider in the world—an industry which not only creates jobs but supports farmers and brings in tourism dollars across every corner of the state,” Governor Cuomo said.

The new rules, which take effect in 30 days, provide benefits for New York producers including:

  • allowing producers to conduct tastings and serve “by the bottle” and “by the glass”;
  • permitting farm distilleries to increase the retail outlets where they can sell and offer samples of their products;
  • lowering the food requirement that must be met by manufacturers when offering tastings and consumption on premises;
  • allowing farm distilleries to obtain a permit to operate a branch office, eliminating the need for a separate license; and
  • reducing costs for small manufacturers by increasing the production cap and permitting the production of more product without increased fees.

The Governor also launched grant programs, providing $2 million for Craft Beverage Marketing and Promotion and $1 million for Craft Beverage Industry Tourism.
According to a press release, “the $2 million Craft Beverage Marketing and Promotion Grant Program, which was created to increase the profile, awareness and sales of New York State produced wine, beer, spirits, and hard cider, will provide matching funds for the marketing and promotion of craft beverages…This includes the purchase of recognized media advertising, production costs of print collateral and audio/visual, industry related tours, marketing materials, and website design, development, and updates.”

Meanwhile, the $1 million for the Craft Beverage Industry Tourism Promotion Grant will help grow tourism across New York State, understanding the craft beverage industry will attract visitors to New York State.

Assembly Speaker Sheldon Silver said, “With more opportunities available than ever before, New York’s craft beverage producers are increasing their product sales and creating numerous jobs. The Assembly is committed to supporting these businesses and ensuring that the industry continues the rapid growth we have seen over the past several years. This is a win for our hometown manufacturers, and further proof that we are working hard to keep New York State open for business and I thank Governor Cuomo for taking the lead on this issue.”

Nicole Austin, President, New York State Distillers Guild said, “The New York Craft Act is a major step forward in modernizing our regulations. The New York State Distillers Guild is grateful for Governor Cuomo’s commitment to supporting the craft beverage industry, and we are thrilled to have these opportunities to invest our visitor operations and promote local spirits. Each of our distilleries are growing enterprises – hiring new employees, working with other local businesses, and supporting New York farmers. The New York Craft Act creates a business climate that fosters this growth, and the Craft Beverage Grant Program gives us to support we need to really run with it. Cheers to that!”

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The foregoing was prepared as general information. It is not meant to provide legal advice granting any specific matter and should not be acted upon without professional counsel. If you have questions or require additional information regarding these or other related matters, please contact Malkin Law, P.A. This material may be considered attorney advertising under certain rules of professional conduct.

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