BILL NO A01370
SAME AS No same as
SPONSOR Cahill (MS)
COSPNSR Magee
MLTSPNSR Cook, Gottfried
Add S106-c, ABC L
Allows two or more retail licensees for on-premises consumption to join in a
cooperative agreement for the purchase of alcoholic beverages in larger
quantity.
BILL NUMBER:A1370
TITLE OF BILL: An act to amend the alcoholic beverage control law, in
relation to allowing retail licensees for on-premises consumption to
join in a cooperative agreement for the purchase of alcoholic beverages
PURPOSE:
This legislation would establish a cooperative buying system to enable
groups of licensees to purchase alcoholic beverages.
SUMMARY OF PROVISIONS:
The bill would add a new section 106-c to the alcoholic beverage control
law to provide the above measure.
EXISTING LAW:
Not in the current law.
JUSTIFICATION:
The practice of groups of individuals or companies joining together to
make bulk purchases of goods is a well accepted method for reducing
business costs. Trade associations, purchasing groups and many other
organizations engage in this practice in order to save money for their
participants.
On-premises retail alcohol beverage licensees are currently prohibited
from benefiting from this practice to purchase alcoholic beverages from
suppliers, a restriction which is a remnant of a regulatory need which
has long passed. This increases costs and places small business owners
at considerable competitive disadvantage to larger, corporate chains
that can routinely afford to buy in bulk to keep costs at a minimum.
LEGISLATIVE HISTORY:
2011-2012 A312 Referred to Economic Development 2009-2010 A484 Referred
to Economic Development
2007-2008 A80 Referred to Economic Development
2006-2006 A3626 Referred to Economic Development
2003-2004 A207A referred to Economic Development
FISCAL IMPLICATIONS:
None.
LOCAL FISCAL IMPLICATIONS:
None.
EFFECTIVE DATE:
This act shall take effect on the one hundred eightieth day after it
shall have become a law.
S T A T E O F N E W Y O R K
________________________________________________________________________
1370
2013-2014 Regular Sessions
I N A S S E M B L Y
(PREFILED)
January 9, 2013
___________
Introduced by M. of A. CAHILL, MAGEE -- Multi-Sponsored by -- M. of A.
COOK, GOTTFRIED -- read once and referred to the Committee on Economic
Development
AN ACT to amend the alcoholic beverage control law, in relation to
allowing retail licensees for on-premises consumption to join in a
cooperative agreement for the purchase of alcoholic beverages
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
1 Section 1. The alcoholic beverage control law is amended by adding a
2 new section 106-c to read as follows:
3 S 106-C. COOPERATIVE AGREEMENTS BY LICENSEES TO SELL AT RETAIL FOR
4 CONSUMPTION ON THE PREMISES. ANY TWO OR MORE RETAIL LICENSEES FOR
5 ON-PREMISES CONSUMPTION MAY JOIN IN A COOPERATIVE AGREEMENT TO MAKE
6 JOINT PURCHASES OF ALCOHOLIC BEVERAGES IN LARGER QUANTITIES THAN MIGHT
7 OTHERWISE BE PURCHASED; PROVIDED, HOWEVER, THAT ALL ALCOHOLIC BEVERAGES
8 PURCHASED PURSUANT TO ANY SUCH AGREEMENT SHALL BE DISTRIBUTED TO NONE
9 OTHER THAN A LICENSEE WHO IS A PARTY TO SUCH AGREEMENT.
10 S 2. This act shall take effect on the one hundred eightieth day after
11 it shall have become a law; provided, however, that effective immediate-
12 ly, the addition, amendment and/or repeal of any rule or regulation
13 necessary for the implementation of this act on its effective date are
14 authorized and directed to be made and completed by the state liquor
15 authority on or before such effective date.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD03750-01-3
