ARIZONA HOUSE OF REPRESENTATIVES

Fifty-sixth Legislature

First Regular Session

 

HB 2630: tobacco; alternative nicotine; vapor products

Sponsor: Representative Payne, LD 27

Committee on Regulatory Affairs

Overview

Increases, from 18 to 21 years, the age for purchasing, using or possessing tobacco, requires tobacco retailers to register with the Arizona Department of Revenue (DOR) and establishes related requirements.

History

It is a petty offense, with a maximum fine of $300, to knowingly sell, give or furnish a tobacco product or vapor product or any related instrument or paraphernalia solely designed for smoking or ingesting tobacco or shisha to a minor. Arizona law also prohibits selling tobacco-related products to minors, such as beedies or bidis, which are products that contain tobacco and which are wrapped in teburni or tendu leaves (A.R.S. § 36-798.01).  A minor who buys, possesses or knowingly accepts a tobacco product or vapor product, or who misrepresents the minor’s age to do so, is also guilty of a petty offense (A.R.S. §13-3622).  Tobacco products include cigars, cigarettes, cigarette papers and smoking and chewing tobacco. Statute also outlines other requirements related to the sale of these products.  Tobacco products cannot be sold through a vending machine except in bars and employee lounge areas not open to the public in businesses that do not employ minors (A.R.S. § 36-798.02), and are prohibited on school grounds except for use in a school-sanctioned tobacco-prevention program (A.R.S. § 36-798.03).  

On December 20, 2019, the federal government enacted legislation that raised the minimum age for the sale of any tobacco product, including cigarettes, smokeless tobacco, cigars, hookah tobacco and e-cigarettes, from 18 to 21 years of age nationwide. The law applies to all retail establishments in all states and on tribal lands.

Provisions

Products

1.   ☐ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal NoteIncreases the age, from 18 to 21, for a person to purchase, use or possess tobacco products, alternative products and vapor products (products).  (Sec. 1)

2.   Adds alternative nicotine products to the prohibitions on the following:

a)   Selling, giving or furnishing the product to a person under 21 years of age;

b)   A person under 21 buying, possessing or accepting the product;

c)   Misrepresenting the person's age by means of a written instrument of identification with the intent to induce a person to sell, give or furnish the product.  (Sec. 1)

3.   Removes knowingly as the state of mind for a person selling, giving or furnishing products or related paraphernalia to a person under 21 years of age.  (Sec. 1)

4.   Prohibits retail tobacco vendors from selling products by any means other than assisted sales in which the customer has no direct access to a product except through the assistance of the retail tobacco vendor. (Sec. 5)

5.   Adds alternative nicotine products and vapor products, in addition to tobacco products, to the prohibitions as follows:

a)   the use and possession on school grounds;

b)   selling through vending machines except in specified areas;

c)   unsolicited delivery to any Arizona residence. (Sec. 1, 5)

6.   Increases the fee from $300 to $1,000 for a first offense and a range of $1,000 to $2,500 for a subsequent offense as follows:

a)   selling, giving or furnishing products or related paraphernalia;

b)   selling products through a vending machine except in specified areas. (Sec. 5)

7.   Removes tobacco-prevention programs as an exception for having tobacco products on school grounds. (Sec. 6)

8.   Increases the maximum fee, from $300 to $500, for using or possessing products on school grounds. (Sec. 7)

9.   Increases the fine for a retail tobacco vendor to sell, furnish, give or provide beedies or bidis to a person under 21 years of age, from a maximum $500 to $1,000 for the first offense and a range of $1,000 to $2,500 for a subsequent offense. (Sec. 4)

Sales

10.  Prohibits a retail tobacco vendor from selling, offering to sell, furnishing or giving products:

a)   to a person who reasonably appears to be under 30 years of age without first examining the person’s government-issued photo identification to establish that the person is at least 21 years of age; or

b)   except in the manufacturer’s original packaging. (Sec. 8)

11.  Prohibits the retail tobacco vendor from opening packaging and selling a portion of products contained in such packaging. (Sec. 8)

12.  Classifies the above offenses as petty offenses and establishes fines of $500 for a first offense and a range of $1,000 to $2,500 for a subsequent offense. (Sec. 8)

Retailers

13.  Requires every retailer that sells or offers to sell tobacco products, alternative nicotine products or vapor products to consumers in Arizona to register each retail location with the Department of Revenue (DOR) on a form and in a manner prescribed by DOR.  (Sec. 10)

14.  Requires the Director of DOR to determine and charge an annual registration fee. (Sec. 10)

15.  Requires DOR to adopt rules to carry out these requirements. (Sec. 10)

16.  Prohibits retailers from selling products unless in compliance with these requirements and all applicable rules adopted by DOR, beginning January 1, 2024.  (Sec. 10)

17.  Requires DOR to do both of the following:

a)   publish on its website the name of every registered retailer; and

b)   update the list as needed and at least once each month. (Sec. 10)

18.  Classifies a violation of these requirements as a petty offense and establishes fines of $1,000 for a first offense and $1,000 to $2,500 for a subsequent offense.   (Sec. 10)

 

19.  Requires DOR to use the fees and penalties: 

a)   to administer and enforce registration and related requirements; and

b)   to share any remaining monies with local law enforcement agencies to conduct retailer compliance inspections, undercover investigations of retailers and activities to identify and intercept contraband or illicit products.  (Sec. 10)

Miscellaneous

20.  Delineates a sign that retail tobacco vendors must display, which states:

a)   it is illegal for someone under 21 to purchase cigarettes or products; and

b)   on conviction, a $300 fine may be imposed.  (Sec. 8)

21.  Preempts the following: 

a)   further regulation of the sale and marketing of products by a county, city, town or other political subdivision of this state; and 

b)   all inconsistent laws, rules, regulations, codes, ordinances or policies adopted by a county, city, town or other political subdivision.  (Sec. 8)

22.  Specifies that the preemption does not limit a political subdivision’s authority pursuant to the SmokeFree Arizona Act.  (Sec. 8)

23.  Defines alternative nicotine product as any non-combustible product that contains nicotine from any source and that is intended for human consumption, whether chewed, absorbed, dissolved, ingested or consumed by any other means.  (Sec. 1)

24.  Specifies that alternative nicotine products do not include:

a)   any tobacco product, vapor product or shisha; or

b)   any product regulated as a drug or device by the U.S. Food and Drug Administration under Chapter V of the federal Food, Drug, and Cosmetic Act.  (Sec. 1)

25.  Removes the requirement that a vapor product must be tobacco-derived to meet the definition.  (Sec.1)

26.  Makes technical and conforming changes.  (Sec. 1, 3, 4, 5, 6, 7, 9)

27.  Contains a severability clause.  (Sec. 11)

28.  Becomes effective on January 1, 2024.  (Sec. 12)

 

 

 

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                  HB 2630

Initials DC Page 0 Regulatory Affairs

 

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