AAM-22-14-00003-A Licensing of Hops Processors and Cideries

8/20/14 N.Y. St. Reg. AAM-22-14-00003-A

NEW YORK STATE REGISTER

VOLUME XXXVI, ISSUE 33

August 20, 2014

RULE MAKING ACTIVITIES

DEPARTMENT OF AGRICULTURE AND MARKETS

NOTICE OF ADOPTION

 

I.D No. AAM-22-14-00003-A

Filing No. 698

Filing Date. Aug. 05, 2014

Effective Date. Aug. 20, 2014

Licensing of Hops Processors and Cideries

PURSUANT TO THE PROVISIONS OF THE State Administrative Procedure Act, NOTICE is hereby given of the following action:

Action taken:

Amendment of section 276.4 of Title 1 NYCRR.

Statutory authority:

Agriculture and Markets Law, sections 16, 18, 214-b, 251-z-4 and 251-z-9

Subject:

Licensing of hops processors and cideries.

Purpose:

To exempt small hops processors and cideries from having to pay a license fee or be licensed, respectively.

Text of final rule:

Subdivisions (e) and (f) of section 276.4 of 1 NYCRR are relettered to be subdivisions (g) and (h), respectively.

Section 276.4 of 1 NYCRR is amended by adding thereto a new subdivision (e), to read as follows:

(e) Processing of hops.

(1) Definitions. As used in this subdivision:

(i) hops means the seed cones of the hop plant, humulus lupulus,

(ii) person means a natural person, partnership, corporation, association, limited liability company or other legal entity.

(iii) processing means that term as defined in Agriculture and Markets Law section 251-z-2(4) except processing, as used in this subdivision, shall not mean non-mechanical drying.

(2) Any person who processes hops in a volume that does not exceed 100,000 lbs. annually shall be exempt from the license fee requirement of Agriculture and Markets Law section 251-z-3, provided that:

(i) such establishment is maintained in a sanitary condition and follows the current good manufacturing practices set forth in Part 261 of this Title; and

(ii) no other food processing operations for which licensing under article 20-C of the Agriculture and Markets Law is required are being conducted at the establishment.

Section 276.4 of 1 NYCRR is amended by adding thereto a new subdivision (f) to read as follows:

(f) Cideries.

(1) Definitions. As used in this subdivision:

(i) cidery means a food processing establishment that manufactures hard cider.

(ii) hard cider means the partially or fully fermented juice of fresh, whole apples or other pome fruits, containing more than three and two-tenths per centum but not more than eight and one-half per centum alcohol by volume: (a) to which nothing has been added to increase the alcoholic content produced by natural fermentation; and (b) with the usual cellar treatments and necessary additions to correct defects due to climate, saccharine levels and seasonal conditions. Nothing contained in this subparagraph shall be deemed to preclude the use of such methods or materials as may be necessary to encourage a normal alcoholic fermentation and to make a product that is free of microbiological activity at the time of sale. Hard cider may be sweetened or flavored after fermentation with fruit juice, fruit juice concentrate, sugar, maple syrup, honey, spices or other agricultural products, separately or in combination. Hard Cider may contain retained or added carbon dioxide.

(iii) person means a natural person, partnership, corporation, association, limited liability company or other legal entity

(2) Any person who maintains or operates a cidery shall be exempt from the licensing requirements of article 20-C of the Agriculture and Markets Law, provided that:

(i) such establishment is maintained in a sanitary condition and follows the current good manufacturing practices set forth in Part 261 of this Title; and

(ii) no other food processing operations for which licensing under article 20-C of the Agriculture and Markets Law is required are being conducted at the establishment.

Final rule as compared with last published rule:

Nonsubstantive changes were made in section 276.4(f)(1)(ii).

Text of rule and any required statements and analyses may be obtained from:

Stephen D. Stich, NYS Dept. of Agriculture and Markets, 10B Airline Drive, Albany, NY 12235, [phone], email: [e-mail]

Revised Job Impact Statement

The proposed rule will not have an adverse impact upon employment opportunities.

The proposed rule will exempt hops processors who process 100,000 lbs. of hops or less annually from having to pay the otherwise required food processing establishment license fee, and will exempt cideries from having to obtain such a license entirely. The proposed rule will, by removing a regulatory burden upon such businesses, therefore have no adverse impact upon jobs.

Assessment of Public Comment

Assemblymen William Magee, Robin Schimminger, and Kenneth P. Zebrowski submitted a letter to the Department in which they suggested that the definition of “hard cider”, set forth in proposed 1 NYCRR section 276.4(f)(1)(ii), should be amended so that it is consistent with the definition of “cider”, set forth in Alcoholic Beverage Control Law (ABCL) section 3(7-b). The Assemblymen suggested that the definition of hard cider set forth in the proposed rule be amended so that it is as expansive as the definition in the ABCL, thereby allowing more cideries to avoid having to be licensed as food processors which, in turn, would allow them to better compete in the marketplace, to the benefit of the State’s agricultural industry. The Assemblymen said in their letter that such an amendment “would not represent a substantial revision, as the changes would merely clarify the text to reflect current legal parameters”.

Based upon the Assemblymen’s suggestion, proposed 1 NYCRR section 276.4(f)(1)(ii) was amended as requested.