Senate File 2268 S-5058 Amend Senate File 2268 as follows: 1 1. By striking everything after the enacting clause and 2 inserting: 3 < Section 1. Section 321.216C, Code 2020, is amended to read 4 as follows: 5 321.216C Use of driver’s license or nonoperator’s 6 identification card by underage person to obtain tobacco, tobacco 7 products, alternative nicotine products, vapor products, or 8 cigarettes. 9 A person who is under the age of eighteen twenty-one , 10 who alters or displays or has in the person’s possession 11 a fictitious or fraudulently altered driver’s license or 12 nonoperator’s identification card and who uses the license 13 or card to violate or attempt to violate section 453A.2, 14 subsection 2 , commits a simple misdemeanor punishable as a 15 scheduled violation under section 805.8A, subsection 4 . The 16 court shall forward a copy of the conviction to the department. 17 Sec. 2. Section 453A.1, subsections 1, 23, 28, and 29, Code 18 2020, are amended to read as follows: 19 1. “Alternative nicotine product” means a product, not 20 consisting of or containing tobacco, that provides for the 21 ingestion into the body of nicotine, whether by chewing, 22 absorbing, dissolving, inhaling, snorting, or sniffing, or 23 by any other means. “Alternative nicotine product” does not 24 include cigarettes, tobacco products, or vapor products, or 25 a product that is regulated authorized for sale as a drug or 26 device by the United States food and drug administration under 27 chapter V of the federal Food, Drug, and Cosmetic Act. 28 23. “Retailer” shall mean and include every person in 29 this state who shall sell, distribute, or offer for sale for 30 consumption or possess for the purpose of sale for consumption, 31 cigarettes, alternative nicotine products, or vapor products 32 irrespective of quantity or amount or the number of sales. 33 28. “Tobacco products” means any product, or component, 34 part, or accessory of such product, containing, made in 35 -1- SF2268.3507 (3) 88 pf/jh 1/ 13 #1.

whole or in part from, ordinarily derived from, or designed 1 to deliver tobacco, a tobacco substitute, or nicotine, 2 and intended for human consumption whether by chewing, 3 absorbing, dissolving, inhaling, snorting, sniffing, ingesting, 4 vaporizing, or by any other means. “Tobacco products” includes 5 but is not limited to alternative nicotine products and vapor 6 products; cigars; little cigars as defined in section 453A.42, 7 subsection 6 ; cheroots; stogies; periques; granulated; plug 8 cut, crimp cut, ready rubbed, and other smoking tobacco; snuff, 9 snuff flour; cavendish; plug and twist tobacco; fine-cut and 10 other chewing tobaccos; shorts; or refuse scraps, clippings, 11 cuttings and sweepings of tobacco, and other kinds and forms of 12 tobacco , prepared in such manner as to be suitable for chewing 13 or smoking in a pipe or otherwise, or both for chewing and 14 smoking ; but does not mean cigarettes. 15 29. “Vapor product” means any noncombustible product , 16 which may or may not contain nicotine, that employs a heating 17 element, power source, electronic circuit, or other electronic, 18 chemical, or mechanical means, regardless of shape or size, 19 that can be used to produce vapor from a solution or other 20 substance or device that may be used to deliver any aerosolized 21 or vaporized substance to the person using the device . “Vapor 22 product” includes an electronic cigarette, electronic cigar, 23 electronic cigarillo, electronic pipe, electronic hookah, a 24 vape pen, or similar product or device, and any cartridge or 25 other container of a solution or other substance, which may 26 or may not contain nicotine, that is intended to be used with 27 or in an electronic cigarette, electronic cigar, electronic 28 cigarillo, electronic pipe, or similar product or device 29 includes any component, part, or accessory of the product 30 or device, and any substance intended to be aerosolized or 31 vaporized during the use of the device, whether or not the 32 substance contains nicotine . “Vapor product” does not include 33 a product regulated authorized for sale as a drug or device by 34 the United States food and drug administration under chapter V 35 -2- SF2268.3507 (3) 88 pf/jh 2/ 13

of the federal Food, Drug, and Cosmetic Act. 1 Sec. 3. Section 453A.2, subsections 1, 2, 3, and 8, Code 2 2020, are amended to read as follows: 3 1. A person shall not sell, give, or otherwise supply any 4 tobacco, tobacco products, alternative nicotine products, vapor 5 products, or cigarettes to any person under eighteen twenty-one 6 years of age. 7 2. A person under eighteen twenty-one years of age shall 8 not smoke, use, possess, purchase, or attempt to purchase any 9 tobacco, tobacco products, alternative nicotine products, vapor 10 products, or cigarettes. 11 3. Possession of tobacco, tobacco products, alternative 12 nicotine products, vapor products, or cigarettes by an 13 individual under eighteen twenty-one years of age does not 14 constitute a violation under this section if the individual 15 under eighteen twenty-one years of age possesses the tobacco, 16 tobacco products, alternative nicotine products, vapor 17 products, or cigarettes as part of the individual’s employment 18 and the individual is employed by a person who holds a valid 19 permit under this chapter or who lawfully offers for sale or 20 sells cigarettes or tobacco products. 21 8. a. A person shall not be guilty of a violation of this 22 section if conduct that would otherwise constitute a violation 23 is performed to assess compliance with tobacco, tobacco 24 products, alternative nicotine products, vapor products, or 25 cigarette laws if any of the following applies: 26 (1) The compliance effort is conducted by or under the 27 supervision of law enforcement officers. 28 (2) The compliance effort is conducted with the advance 29 knowledge of law enforcement officers and reasonable measures 30 are adopted by those conducting the effort to ensure that use 31 of tobacco, tobacco products, alternative nicotine products, 32 vapor products, or cigarettes by individuals under eighteen 33 twenty-one years of age does not result from participation by 34 any individual under eighteen twenty-one years of age in the 35 -3- SF2268.3507 (3) 88 pf/jh 3/ 13

compliance effort. 1 b. For the purposes of this subsection , “law enforcement 2 officer” means a peace officer as defined in section 801.4 and 3 includes persons designated under subsection 4 to enforce this 4 section . 5 Sec. 4. Section 453A.4, subsection 1, Code 2020, is amended 6 to read as follows: 7 1. If a person holding a permit under this chapter or an 8 employee of such a permittee has a reasonable belief based on 9 factual evidence that a driver’s license as defined in section 10 321.1, subsection 20A, or nonoperator’s identification card 11 issued pursuant to section 321.190 offered by a person who 12 wishes to purchase tobacco, tobacco products, alternative 13 nicotine products, vapor products, or cigarettes is altered 14 or falsified or belongs to another person, the permittee or 15 employee may retain the driver’s license or nonoperator’s 16 identification card. Within twenty-four hours, the card shall 17 be delivered to the appropriate city or county law enforcement 18 agency of the jurisdiction in which the permittee’s premises 19 are located, and the permittee shall file a written report of 20 the circumstances under which the card was retained. The local 21 law enforcement agency may investigate whether a violation 22 of section 321.216 , 321.216A , or 321.216C has occurred. If 23 an investigation is not initiated or probable cause is not 24 established by the local law enforcement agency, the driver’s 25 license or nonoperator’s identification card shall be delivered 26 to the person to whom it was issued. The local law enforcement 27 agency may forward the card with the report to the state 28 department of transportation for investigation, in which 29 case, the state department of transportation may investigate 30 whether a violation of section 321.216 , 321.216A , or 321.216C 31 has occurred. The state department of transportation shall 32 return the card to the person to whom it was issued if an 33 investigation is not initiated or probable cause is not 34 established. 35 -4- SF2268.3507 (3) 88 pf/jh 4/ 13

Sec. 5. Section 453A.5, subsection 1, Code 2020, is amended 1 to read as follows: 2 1. The alcoholic beverages division of the department of 3 commerce shall develop a tobacco compliance employee training 4 program not to exceed two hours in length for employees and 5 prospective employees of retailers, as defined in sections 6 453A.1 and 453A.42 , to inform the employees about state and 7 federal laws and regulations regarding the sale of tobacco, 8 tobacco products, alternative nicotine products, vapor 9 products, and cigarettes to persons under eighteen twenty-one 10 years of age and compliance with and the importance of laws 11 regarding the sale of tobacco, tobacco products, alternative 12 nicotine products, vapor products, and cigarettes to persons 13 under eighteen twenty-one years of age. 14 Sec. 6. Section 453A.13, subsections 1, 6, 9, and 10, Code 15 2020, are amended to read as follows: 16 1. Permits required. Every distributor, wholesaler, 17 cigarette vendor, and retailer, now engaged or who desires to 18 become engaged in the sale or use of cigarettes, upon which a 19 tax is required to be paid, and every retailer now engaged or 20 who desires to become engaged in selling, offering for sale, or 21 distributing alternative nicotine products or vapor products , 22 including through delivery sales, shall obtain a state or 23 retail permit as a distributor, wholesaler, cigarette vendor, 24 or retailer, as the case may be. 25 6. No sales without permit. A distributor, wholesaler, 26 cigarette vendor, or retailer shall not sell any cigarettes, 27 and shall not sell any alternative nicotine products , or vapor 28 products through delivery sales, until such application has 29 been filed and the fee prescribed paid for a permit and until 30 such permit is obtained and only while such permit is unrevoked 31 and unexpired. 32 9. Permit —— form and contents. Each permit issued shall 33 describe clearly the place of business for which it is issued, 34 shall be nonassignable, consecutively numbered, designating the 35 -5- SF2268.3507 (3) 88 pf/jh 5/ 13

kind of permit, and shall authorize the sale of cigarettes, 1 or alternative nicotine products , or vapor products through 2 delivery sale, in this state subject to the limitations and 3 restrictions herein contained. The retail permits shall 4 be upon forms furnished by the department or on forms made 5 available or approved by the department. 6 10. Permit displayed. The permit shall, at all times, 7 be publicly displayed by the distributor, wholesaler, or 8 retailer at the place of business so as to be easily seen by 9 the public and the persons authorized to inspect the place 10 of business. The proprietor or keeper of any building or 11 place where cigarettes, alternative nicotine products, vapor 12 products, tobacco, or tobacco products are kept for sale or 13 with intent to sell , or where alternative nicotine products 14 or vapor products are kept for delivery sale or with intent 15 to sell, shall upon request of any agent of the department or 16 any peace officer exhibit the permit. A refusal or failure to 17 exhibit the permit is prima facie evidence that the cigarettes, 18 alternative nicotine products, vapor products, tobacco, or 19 tobacco products are kept for sale or with intent to sell in 20 violation of this subchapter . 21 Sec. 7. Section 453A.36, subsection 6, Code 2020, is amended 22 to read as follows: 23 6. Any sales of tobacco, tobacco products, alternative 24 nicotine products, vapor products, or cigarettes made through a 25 cigarette vending machine are subject to rules and penalties 26 relative to retail sales of tobacco, tobacco products, 27 alternative nicotine products, vapor products, and cigarettes 28 provided for in this chapter . Cigarettes shall not be sold 29 through any cigarette vending machine unless the cigarettes 30 have been properly stamped or metered as provided by this 31 subchapter , and in case of violation of this provision, the 32 permit of the dealer authorizing retail sales of cigarettes 33 shall be revoked. Payment of the permit fee as provided 34 in section 453A.13 authorizes a cigarette vendor to sell 35 -6- SF2268.3507 (3) 88 pf/jh 6/ 13

tobacco, tobacco products, alternative nicotine products, vapor 1 products, and cigarettes through vending machines. However, 2 tobacco, tobacco products, alternative nicotine products, 3 vapor products, and cigarettes shall not be sold through a 4 vending machine unless the vending machine is located in a 5 place where the retailer ensures that no person younger than 6 eighteen twenty-one years of age is present or permitted to 7 enter at any time. Tobacco, tobacco products, alternative 8 nicotine products, vapor products, and cigarettes shall not be 9 sold through any cigarette vending machine if such products 10 are placed together with any nontobacco product, other than 11 matches, in the cigarette vending machine. This section does 12 not require a retail permit holder to buy a cigarette vendor’s 13 permit if the retail permit holder is in fact the owner of the 14 cigarette vending machines and the machines are operated in the 15 location described in the retail permit. 16 Sec. 8. Section 453A.36, subsection 7, paragraph a, Code 17 2020, is amended to read as follows: 18 a. It shall be unlawful for a person other than a retailer 19 as defined in section 453A.1 or 453A.42 who holds a valid 20 retail permit, as applicable, to sell tobacco, tobacco 21 products, alternative nicotine products, vapor products, or 22 cigarettes at retail. 23 Sec. 9. Section 453A.36A, subsection 1, Code 2020, is 24 amended to read as follows: 25 1. Except as provided in section 453A.36, subsection 6 , 26 a retailer shall not sell or offer for sale tobacco, tobacco 27 products, alternative nicotine products, vapor products, or 28 cigarettes through the use of a self-service display. 29 Sec. 10. Section 453A.39, Code 2020, is amended to read as 30 follows: 31 453A.39 Tobacco, tobacco products, alternative nicotine 32 products, vapor products, and cigarette samples —— restrictions 33 —— administration. 34 1. A manufacturer, distributor, wholesaler, retailer, 35 -7- SF2268.3507 (3) 88 pf/jh 7/ 13

or distributing agent, or agent thereof, shall not give 1 away cigarettes , tobacco, or tobacco products at any time 2 in connection with the manufacturer’s, distributor’s, 3 wholesaler’s, retailer’s, or distributing agent’s business or 4 for promotion of the business or product, except as provided in 5 subsection 2 . 6 2. a. All cigarette samples shall be shipped only to a 7 distributor that has a permit to stamp cigarettes or little 8 cigars with Iowa tax. All cigarette samples must have a 9 cigarette stamp. The manufacturer shipping samples under this 10 section shall send an affidavit to the director stating the 11 shipment information, including the date shipped, quantity, and 12 to whom the samples were shipped. The distributor receiving 13 the shipment shall send an affidavit to the director stating 14 the shipment information, including the date shipped, quantity, 15 and from whom the samples were shipped. These affidavits shall 16 be duly notarized and submitted to the director at the time of 17 shipment and receipt of the samples. The distributor shall 18 pay the tax on samples by separate remittance along with the 19 affidavit. 20 b. A manufacturer, distributor, wholesaler, retailer, 21 or distributing agent or agent thereof of a manufacturer, 22 distributor, wholesaler, retailer, or distributing agent shall 23 not give away any tobacco, tobacco products, alternative 24 nicotine products, vapor products, or cigarettes to any person 25 under eighteen twenty-one years of age, or within five hundred 26 feet of any playground, school, high school, or other facility 27 when such facility is being used primarily by persons under age 28 eighteen twenty-one for recreational, educational, or other 29 purposes. 30 c. Proof of age shall be required if a reasonable person 31 could conclude on the basis of outward appearance that a 32 prospective recipient of a sample may be under eighteen 33 twenty-one years of age. 34 Sec. 11. Section 453A.42, subsections 11 and 16, Code 2020, 35 -8- SF2268.3507 (3) 88 pf/jh 8/ 13

are amended to read as follows: 1 11. “Retailer” means any person engaged in the business 2 of selling tobacco , or tobacco products , alternative nicotine 3 products, or vapor products to ultimate consumers. 4 16. “Tobacco products” means any product, or component, 5 part, or accessory of such product, containing, made in 6 whole or in part from, ordinarily derived from, or designed 7 to deliver tobacco, a tobacco substitute, or nicotine, 8 and intended for human consumption whether by chewing, 9 absorbing, dissolving, inhaling, snorting, sniffing, ingesting, 10 vaporizing, or by any other means. “Tobacco products” includes 11 but is not limited to alternative nicotine products and vapor 12 products; cigars; little cigars as defined herein; cheroots; 13 stogies; periques; granulated, plug cut, crimp cut, ready 14 rubbed, and other smoking tobacco; snuff; snuff flower; 15 cavendish; plug and twist tobacco; fine-cut and other chewing 16 tobaccos; shorts; or refuse scraps, clippings, cuttings and 17 sweepings of tobacco, and other kinds and forms of tobacco , 18 prepared in such manner as to be suitable for chewing or 19 smoking in a pipe or otherwise, or both for chewing and 20 smoking ; but shall not include cigarettes as defined in section 21 453A.1, subsection 4 . 22 Sec. 12. Section 453A.42, Code 2020, is amended by adding 23 the following new subsection: 24 NEW SUBSECTION . 17A. “Vapor product” means any product or 25 device that may be used to deliver any aerosolized or vaporized 26 substance to the person using the device. “Vapor product” 27 includes an electronic cigarette, electronic cigar, electronic 28 cigarillo, electronic pipe, electronic hookah, a vape pen, or 29 similar product or device, and includes any component, part, or 30 accessory of the product or device, and any substance intended 31 to be aerosolized or vaporized during the use of the device, 32 whether or not the substance contains nicotine. “Vapor product” 33 does not include a product authorized for sale as a drug or 34 device by the United States food and drug administration under 35 -9- SF2268.3507 (3) 88 pf/jh 9/ 13

chapter V of the federal Food, Drug, and Cosmetic Act. 1 Sec. 13. Section 453A.47A, subsections 1, 2, 4, and 5, Code 2 2020, are amended to read as follows: 3 1. Permits required. A person shall not engage in the 4 business of a retailer of tobacco , or tobacco products, 5 alternative nicotine products, or vapor products at any place 6 of business, or of alternative nicotine products or vapor 7 products through delivery sales, without first having received 8 a permit as a retailer. 9 2. No sales without permit. A retailer shall not sell any 10 tobacco , or tobacco products, or sell any alternative nicotine 11 products , or vapor products through delivery sales until an 12 application has been filed and the fee prescribed paid for a 13 permit and until such permit is obtained and only while such 14 permit is not suspended, unrevoked, or unexpired. 15 4. Retailer —— multiple permits not required —— effect of 16 suspension. A retailer, as defined in section 453A.1 , who holds 17 a permit under subchapter I of this chapter is not required to 18 also obtain a retail permit under this subchapter . However, 19 if a retailer, as defined in section 453A.1 , only holds a 20 permit under subchapter I of this chapter and that permit is 21 suspended, revoked, or expired, the retailer shall not sell any 22 tobacco , or tobacco products, or sell any alternative nicotine 23 products , or vapor products through delivery sales during the 24 time which the permit is suspended, revoked, or expired. 25 5. Separate permit. A separate retail permit shall be 26 required of a distributor or subjobber if the distributor or 27 subjobber sells tobacco , or tobacco products at retail , or 28 sells any alternative nicotine products , or vapor products at 29 retail through delivery sales . 30 Sec. 14. Section 453A.47A, subsection 10, paragraph b, Code 31 2020, is amended to read as follows: 32 b. Every retailer shall, when requested by the department, 33 make additional reports as the department deems necessary and 34 proper and shall at the request of the department furnish full 35 -10- SF2268.3507 (3) 88 pf/jh 10/ 13

and complete information pertaining to any transaction of the 1 retailer involving the purchase or sale or use of tobacco , 2 or tobacco products , alternative nicotine products, or vapor 3 products . 4 Sec. 15. Section 453A.47B, Code 2020, is amended to read as 5 follows: 6 453A.47B Requirements for mailing or shipping —— alternative 7 nicotine products or vapor products. 8 A retailer shall not mail, ship, or otherwise cause to be 9 delivered any alternative nicotine product or vapor product in 10 connection with a delivery sale unless the retailer meets all 11 of the following apply conditions : 12 1. Prior to sale to the purchaser, the retailer verifies 13 that the purchaser is at least eighteen twenty-one years of age 14 through or by one of the following: 15 a. A commercially available database, or aggregate of 16 databases, that is regularly used by government and businesses 17 for the purpose of age and identity verification. 18 b. Obtaining a copy of a valid government-issued document 19 that provides the name, address, and date of birth of the 20 purchaser. 21 2. The retailer uses a method of mailing, shipping, or 22 delivery that requires the signature of a person who is at 23 least eighteen twenty-one years of age before the shipping 24 package is released to the purchaser. 25 Sec. 16. Section 805.8C, subsection 3, Code 2020, is amended 26 to read as follows: 27 3. Violations related to smoking, tobacco, tobacco products, 28 alternative nicotine products, vapor products, and cigarettes. 29 a. For violations described in section 142D.9, subsection 1 , 30 the scheduled fine is fifty dollars, and is a civil penalty, 31 and the criminal penalty surcharge under section 911.1 shall 32 not be added to the penalty, and the court costs pursuant 33 to section 805.9, subsection 6 , shall not be imposed. If 34 the civil penalty assessed for a violation described in 35 -11- SF2268.3507 (3) 88 pf/jh 11/ 13

section 142D.9, subsection 1 , is not paid in a timely manner, 1 a citation shall be issued for the violation in the manner 2 provided in section 804.1 . However, a person under age 3 eighteen shall not be detained in a secure facility for failure 4 to pay the civil penalty. The complainant shall not be charged 5 a filing fee. 6 b. For violations of section 453A.2, subsection 1 , by an 7 employee of a retailer, the scheduled fine is as follows: 8 (1) If the violation is a first offense, the scheduled fine 9 is one hundred dollars. 10 (2) If the violation is a second offense, the scheduled fine 11 is two hundred fifty dollars. 12 (3) If the violation is a third or subsequent offense, the 13 scheduled fine is five hundred dollars. 14 c. For violations of section 453A.2, subsection 2 , the 15 scheduled fine is as follows and is a civil penalty, and the 16 criminal penalty surcharge under section 911.1 shall not be 17 added to the penalty, and the court costs pursuant to section 18 805.9, subsection 6 , shall not be imposed: 19 (1) If the violation is a first offense, the scheduled fine 20 is fifty dollars. 21 (2) If the violation is a second offense, the scheduled fine 22 is one hundred dollars. 23 (3) If the violation is a third or subsequent offense, the 24 scheduled fine is two hundred fifty dollars. 25 Sec. 17. EFFECTIVE DATE. This Act, being deemed of 26 immediate importance, takes effect upon enactment. > 27 2. Title page, line 1 and 2, by striking < establishing the 28 minimum age relative to various activities > 29 ______________________________ JOE BOLKCOM -12- SF2268.3507 (3) 88 pf/jh 12/ 13 #2.