/>iDuring the 2025 New York legislative session, three notable bills affecting the Alcohol Beverage and Control (ABC) Law passed both houses of the Legislature and will be delivered to Gov. Kathy Hochul during the second half of 2025 for her approval or veto.
S. 409-A would permit some retail licensees to purchase a small amount of wine and liquor from certain other retail licensees. Under the three-tiered system of alcohol production, retailers purchase alcohol from wholesalers, who in turn receive the product from manufacturers. New York retailers have been prevented from purchasing alcohol from other retailers under New York’s tied-house law. As a result, when an on-premises liquor establishment such as a restaurant runs out of a particular product, it has not been permitted to purchase any wine or liquor from an off-premises retailer such as a liquor store to address this shortage on an emergency basis. S. 409-A would allow on-premises retailers to purchase up to six bottles of wine or liquor in the aggregate per week from off-premises retailers for sale and consumption. The law would take effect 90 days after the governor signs the bill.
A. 6277-A would add a new section to the ABC Law to establish a brand owner’s license, allowing its holder to contract with New York manufacturers for the production of alcohol, appoint a New York wholesaler as an exclusive brand agent to negotiate payment for alcohol beverages, and sell alcohol to New York wholesalers. According to the Sponsor’s Memorandum, the purpose of the legislation is to encourage business opportunities in the manufacturing sector by allowing alcohol beverage producers to engage in contract manufacturing with major or emerging brands. The bill would permit co-packing arrangements common in the food and beverage industries but not previously allowed by the ABC Law with regard to New York alcohol sales.
A. 7040-B would authorize private membership establishments to apply for on-premises liquor licenses. A new license category for For-Profit Clubs engaged in recreational, patriotic, political, benevolent, or other purposes would be created, with an annual fee of $20,000. To date, New York has only licensed not-for-profit membership clubs. The legislation sponsors assert that the measure would support the nightlife and hospitality industry, an important economic driver for the state.
Other efforts to reform the ABC Law to ease burdens on liquor license applicants, especially those in New York City, were unsuccessful this year. These include proposals to reform or repeal the “200-Foot Rule,” which prohibits new liquor establishments within 200 feet of a church or school, and the “500-Foot Rule,” which requires applicants seeking an on-premises license within 500 feet of three or more existing liquor licenses to demonstrate to the New York State Liquor Authority that granting an additional license in the vicinity is in the public interest.
