Tobacco products retailers; purchase, possession, and sale of retail tobacco products. (HB790)

Introduced By

Del. Patrick Hope (D-Arlington) with support from 6 copatrons, whose average partisan position is:

Those copatrons are Del. Nadarius Clark (D-Portsmouth), Del. Josh Cole (D-Fredericksburg), Del. Michael Feggans (D-Virginia Beach), Del. Phil Hernandez (D-Norfolk), Del. Holly Seibold (D-Vienna), Del. Josh Thomas (D-Gainesville)

Progress

Introduced
Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law

Description

Purchase, possession, and sale of retail tobacco products; retail tobacco products and liquid nicotine tax; penalties. Prohibits Internet sales of liquid nicotine or nicotine vapor products, except to a retail dealer, and prohibits the sale of retail tobacco products from vending machines. The bill updates, for the purpose of the crime of selling or distributing tobacco products to a person younger than 21 years of age, the definition of "retail tobacco products" by including in such definition products currently defined as "nicotine vapor products" or "alternative nicotine vapor products." The bill also removes provisions prohibiting the attempt to purchase, the purchase, or the possession of tobacco products by persons younger than 21 years of age. The bill provides that the punishment of a retail dealer that sells, gives, or furnishes a tobacco product to a person younger than 21 years of age or to a person who does not demonstrate that such person is at least 21 years of age is (i) a civil penalty of $1,000 for a first offense within a 36-month period, (ii) a civil penalty of $5,000 for a second offense within a 36-month period such retail dealer shall become subject to specific age-verification requirements, (iii) a civil penalty of $10,000 and a 30-day suspension of such retail dealer's distributor's license for a third offense within a 36-month period, and (iv) revocation of such license and such retail dealer shall be ineligible to hold a license for a period of three years following the most recent violation for a fourth offense within a 36-month period. The bill requires the Department of Taxation, in collaboration with the Virginia Alcoholic Beverage Control Authority and local law enforcement, to conduct a compliance check every 24 months on any retail dealer selling retail tobacco products and to use a person younger than 21 years of age to conduct such checks. The bill also imposes a tax upon liquid nicotine in closed systems, as defined in the bill, at the rate of $0.066 per milliliter and upon liquid nicotine in open systems, as defined in the bill, at the rate of 20 percent of the wholesale price for purchases on and after July 1, 2024. The bill applies licensing requirements to manufacturers, distributors, and retail dealers of liquid nicotine and creates new safety requirements related to the advertising, marketing, and labeling of liquid nicotine and nicotine vapor products. This bill is identical to SB 582. Read the Bill »

Notes

According to the fiscal impact statement, this legislation would result in the following fiscal impact estimates: - Expenditure Impact: - Fiscal Year 2023-24: $658,000; 4 positions - Fiscal Year 2024-25: $771,000; 4 positions - Fiscal Year 2025-26: $296,000; 4 positions - Fiscal Year 2026-27: $296,000; 4 positions - Fiscal Year 2027-28: $296,000; 4 positions - Fiscal Year 2028-29: $296,000; 4 positions - Fiscal Year 2029-30: $296,000; 4 positions - Fund: General Fund - Administrative Costs: - The Department of Taxation would incur administrative costs of $658,000 in Fiscal Year 2024, $771,000 in Fiscal Year 2025, and $296,000 in Fiscal Year 2026 and thereafter. These costs include four full-time employees and the necessary systems, processing, and forms changes. - Revenue Impact: - The revenue impact of the changes proposed by the bill to the excise tax on liquid nicotine in open systems is unknown as there is no data on the amount of tax collected on open systems versus closed systems. - The bill may result in an unknown positive state revenue impact to the extent that the Department is able to assess and collect the penalties authorized by this bill. Please note that these estimates are preliminary and subject to change.

Summary generated automatically by OpenAI.

Outcome

Bill Has Passed

History

DateAction
01/09/2024Committee
01/09/2024Prefiled and ordered printed; offered 01/10/24 24104754D
01/09/2024Referred to Committee on General Laws
01/26/2024Assigned GL sub: ABC/Gaming
02/05/2024Impact statement from TAX (HB790)
02/06/2024House subcommittee amendments and substitutes offered
02/06/2024Subcommittee recommends reporting with substitute (8-Y 0-N)
02/06/2024Subcommittee recommends referring to Committee on Appropriations
02/06/2024Reported from General Laws with substitute (20-Y 0-N) (see vote tally)
02/06/2024Committee substitute printed 24107284D-H1
02/06/2024Referred to Committee on Appropriations
02/07/2024Assigned App. sub: Transportation & Public Safety
02/09/2024Subcommittee recommends reporting with amendments (7-Y 0-N)
02/09/2024Reported from Appropriations with amendment(s) (20-Y 0-N) (see vote tally)
02/09/2024House subcommittee amendments and substitutes offered
02/11/2024Read first time
02/12/2024Committee substitute agreed to 24107284D-H1
02/12/2024Committee amendment agreed to
02/12/2024Read second time
02/12/2024Committee on General Laws substitute agreed to 24107284D-H1
02/12/2024Committee on Appropriations amendment agreed to
02/12/2024Engrossed by House - committee substitute with amendment HB790EH1
02/12/2024Printed as engrossed 24107284D-EH1
02/13/2024Read third time and passed House (87-Y 12-N)
02/13/2024VOTE: Passage (87-Y 12-N) (see vote tally)
02/14/2024Constitutional reading dispensed
02/14/2024Referred to Committee on Finance and Appropriations
02/25/2024Impact statement from TAX (HB790EH1)
02/27/2024Senate subcommittee amendments and substitutes offered
02/27/2024Committee substitute printed 24108318D-S1
02/27/2024Constitutional reading dispensed (39-Y 0-N) (see vote tally)
02/27/2024Reported from Finance and Appropriations with substitute (15-Y 0-N) (see vote tally)
02/28/2024Read third time
02/28/2024Reading of substitute waived
02/28/2024Committee substitute agreed to 24108318D-S1
02/28/2024Engrossed by Senate - committee substitute HB790S1
02/28/2024Passed Senate with substitute (39-Y 0-N) (see vote tally)
02/28/2024Senate substitute rejected by House 24108318D-S1 (1-Y 95-N)
02/28/2024VOTE: REJECTED (1-Y 95-N) (see vote tally)
02/28/2024Senate insisted on substitute (39-Y 0-N) (see vote tally)
02/28/2024Senate requested conference committee
02/28/2024House acceded to request
02/28/2024Conferees appointed by House
02/28/2024Delegates: Hope, Seibold, Leftwich
02/28/2024Conferees appointed by Senate
02/28/2024Senators: Ebbin, Favola, Pillion
03/07/2024C Amended by conference committee
03/07/2024Conference substitute printed 24108839D-H2
03/08/2024Conference report agreed to by House (86-Y 10-N)
03/08/2024VOTE: Adoption (86-Y 10-N)
03/08/2024Conference report agreed to by Senate (21-Y 19-N)
03/25/2024Enrolled
03/25/2024Bill text as passed House and Senate (HB790ER)
03/25/2024Signed by President
03/26/2024Signed by Speaker
03/27/2024Enrolled Bill communicated to Governor on March 27, 2024
03/27/2024G Governor's Action Deadline 11:59 p.m., April 8, 2024
04/08/2024Governor's recommendation received by House
04/17/2024House concurred in Governor's recommendation (88-Y 12-N)
04/17/2024VOTE: Adoption (88-Y 12-N)
04/17/2024Senate concurred in Governor's recommendation (33-Y 7-N)
04/17/2024G Governor's recommendation adopted
04/17/2024Reenrolled
04/17/2024Reenrolled bill text (HB790ER2)
04/17/2024Signed by Speaker as reenrolled
04/17/2024Signed by President as reenrolled
04/17/2024Enacted, Chapter 821 (effective 7/1/24)

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