Understanding the latest changes to the New York farm winery license

By Tracy P. Jong, Esq.

Manufacturing privileges:

• manufacture of wine or cider produced exclusively from grapes or other fruits or agricultural products grown or produced in New York state. No licensed farm winery shall manufacture in excess of two hundred fifty thousand finished gallons of wine annually and shall manufacture at least fifty gallons of wine per year.

• operate, or use the services of, a custom crush facility.

• manufacture, bottle and sell fruit juice, fruit jellies and fruit preserves, tonics, salad dressings and unpotable wine sauces on and from the licensed premises.

• custom wine production allowing individuals to assist in the production of wine for sale for personal or family use, provided, however, that the wine must be purchased by the individual assisting in the production of such wine; and the owner, employee or agent of such winery shall be present at all times during such production.

Sales privileges:

All wine or cider sold by such licensee for consumption off the premises shall be securely sealed and have attached thereto a label.

• sell in bulk from the licensed premises the products manufactured under such license to any winery licensee, farm winery licensee, any distiller licensee.

• sell from the licensed premises to a licensed winery, farm distiller, farm brewery, farm cidery, wholesaler or retailer.

• sell from the licensed premises at retail for consumption off the premises, wine or cider manufactured by the licensee.

• sell and deliver its own manufactured wine or cider to persons outside the state pursuant to the laws of the place of such sale or delivery.

• with an additional permit, sell wine by the bottle during wine tastings of New York state labelled wines in restaurants/bars with wine sale privileges.

• sell wines manufactured or produced by such licensee to a roadside farm market.

• sell cider and wine at retail for consumption on or off the premises.

• offer for sale or solicit any order in the state for the sale of

any New York state labelled wine manufactured by the licensee or any other winery or farm winery.

• sell New York state labelled wine or liquors produced or manufactured by any other New York state winery or farm winery licensee or by the holder of any distiller's license. Such wine or liquors may be purchased outright by the licensee from a New York winery or farm winery licensee or the holder of any distiller's license or obtained on a consignment basis pursuant to a written agreement between the selling and purchasing licensee.

• sell gift items incidental to the sale of wine. These gift items shall be limited to the following categories:

- Non-alcoholic beverages for consumption on or off premises,including but not limited to bottled water, juice and soda beverages.

- Food items for the purpose of complimenting wine tastings, shall mean a diversified selection of food which is ordinarily consumed without the use of tableware and can conveniently be consumed while standing or walking. Such food items shall include but not be limited to: cheeses, fruits, vegetables, chocolates, breads and crackers.

- Food items, which shall include locally produced farm products and any food or food product not specifically prepared for immediate consumption upon the premises. Such food items may be combined into a package containing wine or a wine product.

- Wine supplies and accessories, which shall include any item utilized for the storage, serving or consumption of wine or for decorative purposes. These supplies may be sold as single items or may be combined into a package containing wine or a wine product.

- Souvenir items, which shall include, but not be limited to artwork, crafts, clothing, agricultural products and any other articleswhich can be construed to propagate tourism within the region.

- Wine-making equipment and supplies including, but not limited to, grapes, grape juice, grape must, home wine-making kits, presses, pumps, bottling equipment, filters, yeasts, chemicals and other wine additives, wine storage or fermenting vessels, barrels, and books or other written material to assist wine-makers and home wine-makers to produce and bottle wine.

• sell at retail for consumption off the premises New York state labelled beer manufactured by a licensed brewer or farm brewery.

• sell at retail for consumption off the premises New York state labelled cider manufactured by a licensed brewer, licensed farm brewery, licensed farm winery, licensed cider producer or licensed farm cidery.

Tasting privileges:

• conduct wine tastings of New York state labelled wines in wine and liquor stores and restaurants/bars with wine sale privileges by an official agent, representative or solicitor of the farm wineries provided such agent, representative or solicitor shall be physically present at all times during the conduct of the tastings

• conduct wine tastings of New York state labelled wines and sell such wine by the bottle, during such tasting, for off-premises consumption at outdoor or indoor gatherings, functions, occasions or events, sponsored by a bona fide charitable organization.

• Conduct tastings of New York state labelled liquors manufactured by the holder of a class A-1, B-1, or C distiller's license.

• Conduct tastings of New York state labelled beer manufactured by a licensed brewer or farm brewery.

• conduct tastings of New York state labelled cider manufactured by a licensed brewer, licensed farm brewery, licensed farm winery, licensed cider producer or licensed farm cidery.

Other privileges:

• engage as a broker in the purchase and sale of New York state labelled wines for a fee or commission for or on behalf of any winery or farm winery

• deliver or transport any New York state labelled wine manufactured or produced by the licensee or any other winery or farm winery licensed pursuant to this article in any vehicle owned, leased or hired by the licensee. The New York state labelled wine can be delivered, transported or sold by the licensee to any holder of: (i) a winery or farm winery license, (ii) a license to sell alcoholic beverages for consumption on the premises, (iii) a license to sell alcoholic beverages for consumption off the premises, (iv) or any person that can receive or purchase wine from a farm winery. The licensee is not required to obtain from the liquor authority a trucking permit or pay any fees

• operate a restaurant, hotel, catering establishment, or other food

and drinking establishment in or adjacent to the licensed premises and sell at such place, at retail for consumption on the premises, wine, cider and wine products manufactured by the licensee and any New York state labeled wine, New York state labeled cider or New York state labeled wine product. With an additional on-premises restaurant, catering or hotel license, sell other alcoholic beverages at retail for consumption on the premises at such establishment.

• operate up to five branch offices located away from the licensed farm winery. Such locations, although not required to be on a farm, shall be considered part of the licensed premises and all activities allowed at and limited to the farm winery may be conducted at the branch offices. Such branch offices shall not be located within, share a common entrance and exit with, or have any interior access to any other business, including premises licensed to sell alcoholic beverages at retail.

• engage in any other business on the licensed premises that promote the expansion and profitability of wine production and of tourism in New York, thereby promoting the conservation, production and enhancement of New York state agricultural lands and the Authority shall consider the effect of particular businesses on the community and area in the vicinity of the farm winery licensee.

• maintain a warehouse on the premises for the warehousing of any New York state labelled wines manufactured by any winery or farm winery license