2023 New York Laws › NYW - N. Y. wine/grape 80/85

Chapter 80 of the laws of 1985
New York state wine/grapes
Section  1.  Legislative  findings and purposes. The legislature finds
that the wine/grape industry  is  a  significant  part  of  the  state's
agricultural  industry  and  that  the  continued  production  of  wine,
unfermented juice and table grapes is of significant importance  to  the
economy of the state.
The legislature further finds that in recent years economic conditions
have  had an adverse effect on the wine/grape industry, especially grape
growers,  resulting  predominately  from  an  international  surplus  of
grapes.  Such  economic  disadvantages  have included various incentives
made available by their counties to European wine producers, tariff  and
non-tariff  barriers to United States wines entering other countries and
most recently, a strong United States dollar  which  has  increased  the
price  of  all  domestic  wines  in relation to foreign wines. All these
conditions have resulted in  a  decline  in  New  York's  share  of  the
national and international wine market.
The legislature further finds and recognizes that an important step in
strengthening  the  agricultural  and  economic  potential of New York's
wine/grape industry is to  encourage  the  long  term  operation  of  an
organization,  representative  of  all sectors of the grape industry for
the purpose of conducting an extensive and coordinated  promotional  and
applied  research  program  intended to stimulate and centralize the New
York wine/grape industry.
For these purposes, there shall be created  a  non-profit  corporation
known  as  the "New York wine/grape foundation", which may independently
initiate promotional and research projects to fulfill  essential  public
purposes  which  are necessary for the health, safety and welfare of the
people of this state.
§ 2. New York wine/grape foundation. 1.  There  is  hereby  created  a
non-profit  corporation which shall be known as the "New York wine/grape
foundation". Such foundation shall be  governed  by  the  not-for-profit
corporation  law except where such law conflicts with this act, in which
case the provisions of this act shall govern.
2. The  foundation  is  created  to  fulfill  the  public  purpose  of
providing for an effective and continuous program of research, promotion
and  education  to  strengthen  the  New  York wine and grape industry's
position in the marketplace including the maintenance and  expansion  of
domestic  and  foreign  markets  and uses for grapes grown and processed
within the state.
§ 3. Purposes and powers. 1. The foundation is authorized and directed
to plan and provide for the implementation of programs to:
(a) Engage in  research  into  market  development,  new  or  improved
methods  of  production,  packaging, and processing of wine, grapes, and
grape  products;  production  of  by-products  of  grape   manufacturing
processes  and  any other marketable products; improved methods of grape
breeding, virus resistance and control of pests  and  disease;  vineyard
conversion;  mechanization of brandy production; and overall improvement
in the production and quality of wines, grapes and grape products,
(b) Reduce agricultural unemployment  and  increase  state  and  local
revenues  by  developing methods and techniques to enhance the image and
quality of New York wine and grape products so  as  to  expand  existing
markets and develop new markets therefor,
(c) Advertise and promote the sale of wine and other grape products in
areas that will reach the greatest number of potential consumers,
(d)  Publish  and  distribute  to  producers,  retailers and consumers
information relating to the grape, wine and grape products industries,
(e) Facilitate educational and promotional activities to  enhance  the
image  of  New  York  wines  and  grape  products  through coordination,
promotional and educational activities with other organizations,
(f)  Carry  out  in  any  other way the declared policy of this act to
promote wine and other grape products and the  grape  industry  of  this
state.
2.  The  foundation  shall  have power: (a) to sue and be sued; (b) to
have a seal and alter the same at pleasure; (c)  to  acquire,  hold  and
dispose  of  personal  property for its corporate purposes; (d) to enter
into contracts with the state, political subdivisions or any  agency  or
instrumentality  thereof,  or  any  person,  firm or corporation; (e) to
accept gifts, funds, property or services from public or private sources
in furtherance of its corporate purposes; (f) to adopt, amend and repeal
by-laws for the management and regulation of its affairs; and (g) to  do
any  and  all  other  things  necessary  or  convenient to carry out its
purposes and effectively implement the provisions of this act.
§ 3-a. The New York wine marketing program is hereby created. The  New
York    wine/grape    foundation   is   authorized,   within   available
appropriations and/or other sources, to establish and  operate  the  New
York  wine  marketing program. The New York wine marketing program shall
market New York state labeled wine both within and outside of  New  York
state  with  the goal of promoting New York state wines. Notwithstanding
any provision of law to the contrary, no commitment from such foundation
shall be required in the case of  a  contract  for  the  New  York  wine
marketing program.
§  4.  Report.  The  foundation  shall  submit to the governor and the
legislature within ninety days after the end  of  its  fiscal  year,  an
annual  report  setting forth its operations and accomplishments, assets
and liabilities, receipts and expenditures during such  fiscal  year  as
set  forth  according  to generally accepted accounting practices, and a
list of its consultants and outside  contracts  with  the  purposes  and
amounts  thereof set forth. The report shall also include information on
the amount of money designated for applied research  and  the  types  of
research conducted; and the amount of money designated for promotion and
the  geographic distribution of promotion funds and the effectiveness of
this program.
§ 5. Board of directors of the foundation. 1. The foundation shall  be
managed  by,  and  its  powers,  functions and duties shall be exercised
through a board of directors.
2. The initial board of directors shall consist of eleven  members  of
whom  three  shall  be appointed by the governor, three by the temporary
president of the senate and three by the speaker of the assembly, one by
the minority leader of the senate and one by the minority leader of  the
assembly.  In  making the appointments, consideration should be given to
ensure that the four wine/grape regions of the state are  geographically
represented.  Of the eleven appointed members, one shall be a person who
receives the major portion of his or her income from the growing of wine
grapes, one shall be an officer or owner of  a  commercial  winery,  one
shall  be  a  person who receives the major portion of his or her income
from the operation of a farm/estate winery, one shall be  a  person  who
receives a major portion of his or her income from growing table grapes,
one  shall  be  a  person engaged in the manufacturing of grape products
other than wine, one shall be a person engaged in  the  retail  sale  of
wine  for off premises consumption, one shall be a person engaged in the
wholesale sale of wine, one shall be an owner or operator of a  licensed
establishment  engaged  in the sale of wine on premises, two shall be on
the staff of an educational institution which is engaged in the study of
viticulture, entomology and enology and one shall be a  person  familiar

with  the  advertising,  promotion and marketing of commercial products.
The directors so appointed shall serve for a term of three years, except
that, of the directors so appointed by the governor one shall serve  for
a  term  of two years and one shall serve for a term of one year; of the
three directors so appointed by the temporary president  of  the  senate
one  shall  serve for a term of two years and one shall serve for a term
of one year; and of the three directors so appointed by the  speaker  of
the assembly one shall serve for a term of two years and one shall serve
for a term of one year.
3. The commissioner of agriculture and markets and the commissioner of
commerce  shall  be  ex-officio  members of the board for that period of
time during which state moneys are available to the foundation.
4. If any vacancy other than by expiration of term occurs on the board
amongst  those  first  appointed  such  vacancy  shall  be   filled   by
appointment for the unexpired term by the appointing authority initially
appointing such member. Upon expiration of the initial terms, successors
shall  be elected by the remaining members of the board for a three year
term; such directors shall  have  the  qualifications  required  of  the
original   directors.   Members  shall  continue  as  such  until  their
successors have been duly elected.
5. The board of directors shall elect one of its members  as  chairman
and  one  of its members as vice chairman of such board, and may appoint
such officers and employees as it deems advisable.
6. Members of the board of directors shall serve without compensation,
but shall be reimbursed for actual expenses reasonably incurred  in  the
performance of their duties.
7.  The  board  shall  meet  four  times  annually  at the call of the
chairman or in his absence the vice chairman or on petition of any three
members.  A majority of the members of the board then  in  office  shall
constitute  a  quorum  for the transaction of any business. The board is
encouraged to conduct its meetings in a manner  which  will  ensure  the
active  participation of any person having an interest in the wine/grape
industry.
§ 6. Cooperation and coordination. 1. The foundation  shall  establish
and  maintain  working relationships with organizations and institutions
in the state directly involved in the production, processing  and  sales
of  wine,  grapes,  and  grape  products  and in related educational and
research activities.  Such  contact  should  also  include  governmental
agencies   which   may   have   promotional   or   economic  development
responsibilities or have jurisdiction over facilities at which  wine  or
grape products may be used or sold.
2.   The  foundation  shall  annually  request  from  the  groups  and
organizations with which its directors have affiliations and from  other
appropriate  organizations  and  interests  such as noted in subdivision
one, reports detailing their present and planned activities in the  area
of  promotion  and  research  for  wine  and  other  grape products. The
foundation shall review such activities and take them  into  account  in
development of its own plans and programs.
3.  The  foundation  should  annually make available to all interested
parties a description of its programs and plans and the  ways  in  which
the activities of others will be supplemented.
§  7.  Limitation  of liability. Neither the directors nor any member,
officer or employee of the corporation, while acting within the scope of
his or her  authority,  shall  be  subject  to  any  personal  liability
resulting from the activities of the corporation.
§  8. Inconsistent provisions of other laws superseded. Insofar as the
provisions of this act are inconsistent with the provisions of any other

law, general, special or local, the provisions  of  this  act  shall  be
controlling.
§ 9. Short title. Sections one through nine of this act shall be known
and may be cited as the New York wine/grape foundation act.
§  10.  1.  The  department  of agriculture and markets, within moneys
appropriated therefor, shall enter into a contract or contracts with the
New York wine/grape foundation created by section two of this act for:
(a) a research study or  studies  into  new  or  improved  methods  of
production,  packaging,  and  processing  of  wine,  grapes,  and  grape
products; production of by-products of grape manufacturing processes and
any other marketable products; improved methods of grape breeding, virus
resistance and  control  of  pests  and  disease;  vineyard  conversion;
mechanization  of  brandy  production;  and  overall  improvement in the
production and quality of wines, grapes and grape products;
(b)  a  demonstration  project  or  projects  to  reduce  agricultural
unemployment and increase state and local revenues by developing methods
and  techniques  to  enhance  the image and quality of New York wine and
grape products so as to expand existing markets and develop new  markets
therefor;
(c)  advertising  and  promotion  of  the sale of wine and other grape
products in areas that will  reach  the  greatest  number  of  potential
consumers;
(d) publication and distribution to producers, retailers and consumers
information relating to the grape, wine and grape products industries;
(e)  the  facilitating  of  educational  and promotional activities to
enhance  the  image  of  New  York  wines  and  grape  products  through
coordination,   promotional   and   educational  activities  with  other
organizations; and
(f) the carrying out in any other way the declared policy of this  act
to  promote wine and other grape products and the grape industry of this
state.
Not less than twenty-five percent and not more than forty  percent  of
the  sum  total  of moneys made available to the foundation through such
contract or contracts shall be applied for purposes of paragraph (a)  of
this  subdivision,  and  not  more than two and one-half percent of such
moneys  shall  be  applied  for  purposes  of  administration   of   the
foundation.
2.  Any  such  contract  shall provide that the cost of the work to be
performed thereunder during the state fiscal year  commencing  April  1,
1987  shall  be  at least one hundred eleven percent of the amount to be
paid by the state to such foundation. Any such  contract  shall  provide
that  the  cost  of the work to be performed thereunder during the state
fiscal year commencing April 1, 1988  shall  be  at  least  one  hundred
thirty-three  percent  of  the  amount  to  be paid by the state to such
foundation. Any such contract shall provide that the cost of the work to
be performed thereunder during the state fiscal year commencing April 1,
1989 shall be at least two hundred percent of the  amount  paid  by  the
state  to such foundation. Any such contract shall provide that the work
to be performed thereunder during the state fiscal year commencing April
1, 1990 shall be at least four hundred percent of the amount paid by the
state to such foundation. No such contract shall be entered into between
the foundation and the department of agriculture and markets unless  and
until  the  foundation  expressly  commits funds of the foundation in an
amount sufficient, together with the amount to be paid by the state,  to
pay  the  total  cost  of  the work to be performed under such contract;
provided, however, that no such commitment shall be required in the case
of a contract to be entered into prior to April 1, 1987.
§ 11. Separability. If any clause,  sentence,  paragraph,  section  or
part   of  this  act  shall  be  adjudged  by  any  court  of  competent
jurisdiction to be invalid, such judgment shall not  affect,  impair  or
invalidate the remainder thereof, but shall be confined in its operation
to  the  clause,  sentence,  paragraph, section or part thereof directly
involved in the controversy in  which  such  judgment  shall  have  been
rendered.