NYS Budget & 2022 End of Session Recap
With the recent conclusion of the 2022 Legislative Session, NYSH&TA has compiled a list of issues we worked on for the tourism industry, including details of next steps. We will be meeting with Legislative Staff throughout the summer to be well positioned when the legislators return in January.
ADA Website Legislation
Sponsored by Assemblymember Woerner and Senator Cooney, NYSH&TA worked alongside its industry partners to draft legislation to address the lawsuits that have plagued the hospitality industry in recent years, costing small businesses hundreds of thousands of dollars in attempts to resolve these allegations. This legislation would provide places of accommodation, resort, or amusement with a time to cure provisions of a website or mobile application, related to allegations of unlawful discriminatory practices with respect to visually and hearing-impaired individuals.
Short Term Rental Legislation
Sponsored by Senator Kennedy and Assemblymember Fahy, this legislation establishes a registration process and safety requirements for short term rentals outside of NYC and requires the collection of both sales and occupancy taxes, statewide. NYSH&TA advocated for this issue to be addressed as part of the budget. The Executive Budget proposal would have required the collection of sales taxes from short term rentals facilitated by third party platforms. However, the budget language was not sufficient and left may loopholes for reporting. NYSH&TA will continue its efforts during the 2023 legislative session with a newly written bill supported by multiple downstate and NYC Senators. The new bill will be more restrictive than the current version.
Plastic Toiletry Bottles
Legislation that banned the use of plastic toiletry bottles was signed by the Governor during the 2021 legislative session. This year, NYSH&TA worked with the Governor’s office to adopt a chapter amendment that would extend the effective date to 2025 for large hotels (more than 50 rooms) and 2026 for smaller lodging facilities, in order to allow for more time to implement the provisions of the bill. The agreed upon Chapter Amendments were signed by the Governor (Chapter 33 of 2022).
SLA Licenses for Catering/Banquet Establishments
This legislation would grant the ability for off-premises catering establishments to make an application to the State Liquor Authority for a license to sell liquor at a site remote from the licensed premises for a particular function, occasion, or event. This bill passed both houses and is awaiting the Governor’s signature upon delivery.
Human Trafficking Legislation
Sponsored by Senator Mayer and Assemblymember Paulin, this legislation requires lodging facilities to provide a human-trafficking recognition training program to all employees. We worked with the sponsors so ultimately the state is not creating a new program, and current training programs can be used. Due to concerns with the language, the bill was amended to address a few concerns, and subsequently passed both houses.
Wage Theft Legislation
Sponsored by Senator Ramos and Assemblymember Rosenthal, this legislation, titled the “Securing Wages Earned Against Theft (SWEAT)” bill, would allow for employees to place a lien on an employer’s property for allegations of wage theft, prior to court action. NYSH&TA joined a coalition of industry partners to oppose the bill and was successful in preventing the bill from passing both houses.
Expansion of Workers Compensation Laws
This legislation would amend the Workers Compensation Law to expand the definition of “employer” for the purposes of coverage for PTSD, so that it is not just limited to first responders. NYSH&TA joined its industry partners in its efforts to oppose this bill. This bill passed both houses but has not yet been delivered to the Governor and we are actively seeking chapter amendments.
Privacy Legislation
The “NY Privacy Act” would require certain companies to attain consent from consumers before processing personal data. This legislation would have significant, negative impacts on the hospitality industry, particularly with regard to rewards programs. NYSH&TA opposes this legislation, which did not pass either house this year.
Tourism Recovery Improvement Districts
Sponsored by Assemblymember Jean-Pierre and Senator Kennedy, this bill would enable local governments to pass a law creating a Tourism Recovery Improvement District. This bill only enables the municipality to explore the creation of a District via local legislation and is not a state mandate. The Senate was poised to move the bill and we are working with the Assembly to pave the way for some movement next Session.
Predictive Scheduling
This bill would require employers to provide notice of the minimum hours an employee is expected to be scheduled during a given month. This bill would also give employees seven days’ notice of expected work shifts, as well as allow covered employees to exchange shifts with similarly situated colleagues. The legislation includes a private cause of action to enforce provisions relative to monthly expected hours statements. This bill did not move out of Committee during the 2022 Legislative Session.
Schedules that Work Act
This legislation would require compensation for employees for being “on-call” if it is within 24 hours of the start of the work day. The bill would require at least one hour’s worth of pay for on-call employees and would also require up to four hours’ worth of compensation for employees who are sent home from work early after less than four hours of work, assuming they were scheduled for more time than that. The provisions of the bill only apply only to retailers, and food service and cleaning service businesses with more than fifty employees.
Tourism Promotion Matching Funds
The Governor’s Executive Budget proposal included a cut of $1 million for this critical program, which provides much needed funding for tourism promotion agencies. As a result of the advocacy efforts of our industry partners and continued commitment from our champions in the Legislature, the enacted budget restores that funding, so the appropriation will be at last year’s level of $3.45 million.
ESD Funding for Tourism Promotion
The enacted budget includes $16 million in funding to be used by Empire State Development to support tourism initiatives including state and local marketing, infrastructure, workforce, tourism, outdoor recreation, and leisure, business, and international travel.
Suspension of the Gas Tax
The enacted budget includes a 16 cent per gallon gas tax holiday that will last from June 1 through December 31, 2022. This provision would also allow counties to cap their sales tax at $4 per gallon. While not as early as hoped, the tax suspension will be in place during the busy summer travel months.
Market NY
The final budget includes $15 million for the Market NY program – the same amount funded in the previous budget.
Regional Economic Development Council (REDC)
The enacted budget includes $150 million, the same amount as last year, to fund an additional (11th) round for REDC.
Tax Credits for Small Businesses
The enacted budget includes a COVID Capital Costs Small Business Tax Credit, which would provide small businesses a 50% tax credit of up to $25,000 to cover related costs their small businesses had to incur, in response to the COVID-19 pandemic. The credit would apply to costs including the purchase of cleaning supplies, outdoor heaters, air purifiers and signage, as well as equipment to install and facilitate contactless payment.
Alcohol to Go
During the pandemic, Governor Cuomo signed an Executive Order that allowed for the sale of alcoholic beverages “to-go”, for off-premises consumption. This legislation allows, for a period of three years, bars and restaurants to sell alcoholic beverages "to-go" for off-premises consumption. The enacted budget includes legislation to authorize restaurants and bars licensed to sell liquor or wine for on-premises consumption, to also sell these products for off-premises consumption. The language would require an order of a substantial food item for to-go beverages to be sold. It would also require that any beverage sold be in a sealed container and sold during the county closing hours in effect where the business operates.
ADA Website Legislation
Sponsored by Assemblymember Woerner and Senator Cooney, NYSH&TA worked alongside its industry partners to draft legislation to address the lawsuits that have plagued the hospitality industry in recent years, costing small businesses hundreds of thousands of dollars in attempts to resolve these allegations. This legislation would provide places of accommodation, resort, or amusement with a time to cure provisions of a website or mobile application, related to allegations of unlawful discriminatory practices with respect to visually and hearing-impaired individuals.
Short Term Rental Legislation
Sponsored by Senator Kennedy and Assemblymember Fahy, this legislation establishes a registration process and safety requirements for short term rentals outside of NYC and requires the collection of both sales and occupancy taxes, statewide. NYSH&TA advocated for this issue to be addressed as part of the budget. The Executive Budget proposal would have required the collection of sales taxes from short term rentals facilitated by third party platforms. However, the budget language was not sufficient and left may loopholes for reporting. NYSH&TA will continue its efforts during the 2023 legislative session with a newly written bill supported by multiple downstate and NYC Senators. The new bill will be more restrictive than the current version.
Plastic Toiletry Bottles
Legislation that banned the use of plastic toiletry bottles was signed by the Governor during the 2021 legislative session. This year, NYSH&TA worked with the Governor’s office to adopt a chapter amendment that would extend the effective date to 2025 for large hotels (more than 50 rooms) and 2026 for smaller lodging facilities, in order to allow for more time to implement the provisions of the bill. The agreed upon Chapter Amendments were signed by the Governor (Chapter 33 of 2022).
SLA Licenses for Catering/Banquet Establishments
This legislation would grant the ability for off-premises catering establishments to make an application to the State Liquor Authority for a license to sell liquor at a site remote from the licensed premises for a particular function, occasion, or event. This bill passed both houses and is awaiting the Governor’s signature upon delivery.
Human Trafficking Legislation
Sponsored by Senator Mayer and Assemblymember Paulin, this legislation requires lodging facilities to provide a human-trafficking recognition training program to all employees. We worked with the sponsors so ultimately the state is not creating a new program, and current training programs can be used. Due to concerns with the language, the bill was amended to address a few concerns, and subsequently passed both houses.
Wage Theft Legislation
Sponsored by Senator Ramos and Assemblymember Rosenthal, this legislation, titled the “Securing Wages Earned Against Theft (SWEAT)” bill, would allow for employees to place a lien on an employer’s property for allegations of wage theft, prior to court action. NYSH&TA joined a coalition of industry partners to oppose the bill and was successful in preventing the bill from passing both houses.
Expansion of Workers Compensation Laws
This legislation would amend the Workers Compensation Law to expand the definition of “employer” for the purposes of coverage for PTSD, so that it is not just limited to first responders. NYSH&TA joined its industry partners in its efforts to oppose this bill. This bill passed both houses but has not yet been delivered to the Governor and we are actively seeking chapter amendments.
Privacy Legislation
The “NY Privacy Act” would require certain companies to attain consent from consumers before processing personal data. This legislation would have significant, negative impacts on the hospitality industry, particularly with regard to rewards programs. NYSH&TA opposes this legislation, which did not pass either house this year.
Tourism Recovery Improvement Districts
Sponsored by Assemblymember Jean-Pierre and Senator Kennedy, this bill would enable local governments to pass a law creating a Tourism Recovery Improvement District. This bill only enables the municipality to explore the creation of a District via local legislation and is not a state mandate. The Senate was poised to move the bill and we are working with the Assembly to pave the way for some movement next Session.
Predictive Scheduling
This bill would require employers to provide notice of the minimum hours an employee is expected to be scheduled during a given month. This bill would also give employees seven days’ notice of expected work shifts, as well as allow covered employees to exchange shifts with similarly situated colleagues. The legislation includes a private cause of action to enforce provisions relative to monthly expected hours statements. This bill did not move out of Committee during the 2022 Legislative Session.
Schedules that Work Act
This legislation would require compensation for employees for being “on-call” if it is within 24 hours of the start of the work day. The bill would require at least one hour’s worth of pay for on-call employees and would also require up to four hours’ worth of compensation for employees who are sent home from work early after less than four hours of work, assuming they were scheduled for more time than that. The provisions of the bill only apply only to retailers, and food service and cleaning service businesses with more than fifty employees.
Tourism Promotion Matching Funds
The Governor’s Executive Budget proposal included a cut of $1 million for this critical program, which provides much needed funding for tourism promotion agencies. As a result of the advocacy efforts of our industry partners and continued commitment from our champions in the Legislature, the enacted budget restores that funding, so the appropriation will be at last year’s level of $3.45 million.
ESD Funding for Tourism Promotion
The enacted budget includes $16 million in funding to be used by Empire State Development to support tourism initiatives including state and local marketing, infrastructure, workforce, tourism, outdoor recreation, and leisure, business, and international travel.
Suspension of the Gas Tax
The enacted budget includes a 16 cent per gallon gas tax holiday that will last from June 1 through December 31, 2022. This provision would also allow counties to cap their sales tax at $4 per gallon. While not as early as hoped, the tax suspension will be in place during the busy summer travel months.
Market NY
The final budget includes $15 million for the Market NY program – the same amount funded in the previous budget.
Regional Economic Development Council (REDC)
The enacted budget includes $150 million, the same amount as last year, to fund an additional (11th) round for REDC.
Tax Credits for Small Businesses
The enacted budget includes a COVID Capital Costs Small Business Tax Credit, which would provide small businesses a 50% tax credit of up to $25,000 to cover related costs their small businesses had to incur, in response to the COVID-19 pandemic. The credit would apply to costs including the purchase of cleaning supplies, outdoor heaters, air purifiers and signage, as well as equipment to install and facilitate contactless payment.
Alcohol to Go
During the pandemic, Governor Cuomo signed an Executive Order that allowed for the sale of alcoholic beverages “to-go”, for off-premises consumption. This legislation allows, for a period of three years, bars and restaurants to sell alcoholic beverages "to-go" for off-premises consumption. The enacted budget includes legislation to authorize restaurants and bars licensed to sell liquor or wine for on-premises consumption, to also sell these products for off-premises consumption. The language would require an order of a substantial food item for to-go beverages to be sold. It would also require that any beverage sold be in a sealed container and sold during the county closing hours in effect where the business operates.