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

(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:

(1) Definitions. As used in this subdivision:

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

(ii) hard cider means the beverage derived only from apples, or from apple concentrate and water, that contains not less than one-half of one percent and not more than seven percent alcohol by volume.

(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.

The proposed rule will amend 1 NYCRR section 276.4 which currently exempts certain entities from having to obtain a food processing license that would otherwise be required. The proposed rule will exempt hops processors who process 100,000 lbs. or less of hops annually from the license fee that would otherwise have to be paid, and will exempt cideries from having to obtain a license entirely.

The proposed rule is non-controversial in that it will remove a regulatory burden upon certain hops processors and upon cideries. The removal of such burden may encourage people to enter those businesses and will improve the economic condition of those who already operate as hops processors or cideries. Agriculture is one of the State’s largest industries and has recently been growing, and this rule will contribute to that trend.

The proposed rule will not have an adverse impact upon regulated parties and is, therefore, non-controversial.

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.