House File 167 - Introduced
HOUSE FILE
BY McCARTHY and BAUDLER
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to the regulation of tobacco product retailers,
2 and making penalties applicable.
3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
4 TLSB 1597HH 81
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PAG LIN
1 1 Section 1. Section 453A.3, subsection 1, paragraphs a and
1 2 b, Code 2005, are amended to read as follows:
1 3 a. A person, other than a retailer as defined in section
1 4 453A.1 or 453A.42, who violates section 453A.2, subsection 1,
1 5 is guilty of a simple misdemeanor.
1 6 b. An employee of a retailer as defined in section 453A.1
1 7 or 453A.42, who violates section 453A.2, subsection 1, commits
1 8 a simple misdemeanor punishable as a scheduled violation under
1 9 section 805.8C, subsection 3, paragraph "b".
1 10 Sec. 2. Section 453A.5, subsections 1 and 2, Code 2005,
1 11 are amended to read as follows:
1 12 1. The alcoholic beverages division of the department of
1 13 commerce shall develop a tobacco compliance employee training
1 14 program not to exceed two hours in length for employees and
1 15 prospective employees of tobacco retailers, as defined in
1 16 sections 453A.1 and 453A.42, to inform the employees about
1 17 state and federal laws and regulations regarding the sale of
1 18 cigarettes and tobacco products to persons under eighteen
1 19 years of age and compliance with and the importance of laws
1 20 regarding the sale of cigarettes and tobacco products to
1 21 persons under eighteen years of age.
1 22 2. The tobacco compliance employee training program shall
1 23 be made available to employees and prospective employees of
1 24 tobacco retailers, as defined in sections 453A.1 and 453A.42,
1 25 at no cost to the employee, the prospective employee, or the
1 26 retailer, and in a manner which is as convenient and
1 27 accessible to the extent practicable throughout the state so
1 28 as to encourage attendance. Contingent upon the availability
1 29 of specified funds for provision of the program, the division
1 30 shall schedule the program on at least a monthly basis and the
1 31 program shall be available at a location in at least a
1 32 majority of counties.
1 33 Sec. 3. Section 453A.22, Code 2005, is amended by adding
1 34 the following new subsection:
1 35 NEW SUBSECTION. 8. For the purposes of this section,
2 1 "retailer" means retailer as defined in sections 453A.1 and
2 2 453A.42 and "retail permit" includes permits issued to
2 3 retailers under division I or division II of this chapter.
2 4 Sec. 4. NEW SECTION. 453A.47A RETAILERS == PERMITS ==
2 5 FEES == PENALTIES.
2 6 1. PERMITS REQUIRED. A person shall not engage in the
2 7 business of a retailer of tobacco products at any place of
2 8 business without first having received a permit as a tobacco
2 9 products retailer.
2 10 2. NO SALES WITHOUT PERMIT. A retailer shall not sell any
2 11 tobacco products until an application has been filed and the
2 12 fee prescribed paid for a permit and until such permit is
2 13 obtained and only while such permit is not suspended,
2 14 unrevoked, or unexpired.
2 15 3. NUMBER OF PERMITS. An application shall be filed and a
2 16 permit obtained for each place of business owned or operated
2 17 by a retailer.
2 18 4. RETAILER == CIGARETTES AND TOBACCO PRODUCTS. A
2 19 retailer, as defined in section 453A.1, who holds a permit
2 20 under division I of this chapter is not required to also
2 21 obtain a retailer permit under this division. However, if a
2 22 retailer, as defined in section 453A.1, only holds a permit
2 23 under division I of this chapter and that permit is suspended,
2 24 revoked, or expired, the retailer shall not sell any
2 25 cigarettes or tobacco products during the time which the
2 26 permit is suspended, revoked, or expired.
2 27 5. SEPARATE PERMIT. A separate retail permit shall be
2 28 required of a distributor or subjobber if the distributor or
2 29 subjobber sells tobacco products at retail.
2 30 6. ISSUANCE. Cities shall issue retail permits to
2 31 retailers within their respective limits. County boards of
2 32 supervisors shall issue retail permits to retailers in their
2 33 respective counties, outside of the corporate limits of
2 34 cities. The city or county shall submit a duplicate of any
2 35 application for a retail permit and any retail permit issued
3 1 by the entity under this section to the Iowa department of
3 2 public health within thirty days of issuance.
3 3 7. FEES == EXPIRATION.
3 4 a. All permits provided for in this division shall expire
3 5 on June 30 of each year. A permit shall not be granted or
3 6 issued until the applicant has paid the fees provided for in
3 7 this section for the period ending June 30 next, to the city
3 8 or county granting the permit. The fee for retail permits is
3 9 as follows when the permit is granted during the months of
3 10 July, August, or September:
3 11 (1) In places outside any city, fifty dollars.
3 12 (2) In cities of less than fifteen thousand population,
3 13 seventy=five dollars.
3 14 (3) In cities of fifteen thousand or more population, one
3 15 hundred dollars.
3 16 b. If any permit is granted during the months of October,
3 17 November, or December, the fee shall be three=fourths of the
3 18 above maximum schedule; if granted during the months of
3 19 January, February, or March, one=half of the maximum schedule,
3 20 and if granted during the months of April, May, or June, one=
3 21 fourth of the maximum schedule.
3 22 8. REFUNDS.
3 23 a. An unrevoked permit for which the retailer paid the
3 24 full annual fee may be surrendered during the first nine
3 25 months of the year to the officer issuing it, and the city or
3 26 county granting the permit shall make refunds to the retailer
3 27 as follows:
3 28 (1) Three=fourths of the annual fee if the surrender is
3 29 made during July, August, or September.
3 30 (2) One=half of the annual fee if the surrender is made
3 31 during October, November, or December.
3 32 (3) One=fourth of the annual fee if the surrender is made
3 33 during January, February, or March.
3 34 b. An unrevoked permit for which the retailer has paid
3 35 three=fourths of a full annual fee may be surrendered during
4 1 the first six months of the period covered by the payment, and
4 2 the city or county shall make refunds to the retailer as
4 3 follows:
4 4 (1) A sum equal to one=half of an annual fee if the
4 5 surrender is made during October, November, or December.
4 6 (2) A sum equal to one=fourth of an annual fee if the
4 7 surrender is made during January, February, or March.
4 8 c. An unrevoked permit for which the retailer has paid
4 9 one=half of a full annual fee may be surrendered during the
4 10 first three months of the period covered by the payment, and
4 11 the city or county shall refund to the retailer a sum equal to
4 12 one=fourth of an annual fee.
4 13 9. APPLICATION. Retailer permits shall be issued only
4 14 upon applications, accompanied by the fee indicated above,
4 15 made upon forms furnished by the department upon written
4 16 request. The failure to furnish such forms shall be no excuse
4 17 for the failure to file the form unless absolute refusal is
4 18 shown. The forms shall specify:
4 19 a. The manner under which the retailer transacts or
4 20 intends to transact business as a retailer.
4 21 b. The principal office, residence, and place of business,
4 22 for which the permit is to apply.
4 23 c. If the applicant is not an individual, the principal
4 24 officers or members of the applicant, not to exceed three, and
4 25 their addresses.
4 26 d. Such other information as the director shall by rules
4 27 prescribe.
4 28 10. RECORDS AND REPORTS OF RETAILERS.
4 29 a. The director shall prescribe the forms necessary for
4 30 the efficient administration of this section and may require
4 31 uniform books and records to be used and kept by each retailer
4 32 or other person as deemed necessary.
4 33 b. Every retailer shall, when requested by the department,
4 34 make additional reports as the department deems necessary and
4 35 proper and shall at the request of the department furnish full
5 1 and complete information pertaining to any transaction of the
5 2 retailer involving the purchase or sale or use of tobacco
5 3 products.
5 4 11. PENALTIES. The permit suspension and revocation
5 5 provisions and the civil penalties established in section
5 6 453A.22 shall apply to retailers under this division, in
5 7 addition to any other penalties imposed under this division.
5 8 EXPLANATION
5 9 This bill establishes permit requirements for tobacco
5 10 product retailers. The bill prohibits a person from engaging
5 11 in the business of a retailer of tobacco products at any place
5 12 of business without first having received a permit as a
5 13 tobacco product retailer. The bill provides for issuance of a
5 14 permit by a city or county board of supervisors, establishes
5 15 fees for a permit, provides for refunds, provides for
5 16 application for a permit, and provides that a cigarette
5 17 retailer who holds a permit is not required to also obtain a
5 18 tobacco product retailer permit. The bill authorizes the
5 19 director of revenue to prescribe the forms necessary for the
5 20 efficient administration of the tobacco product retailer
5 21 permit section and authorizes the director to require uniform
5 22 books and records to be used and kept by each retailer or
5 23 other person as deemed necessary. The bill requires tobacco
5 24 product retailers, when requested by the department of revenue
5 25 and finance, to make additional reports as the department
5 26 deems necessary and proper and, at the request of the
5 27 department, to furnish full and complete information
5 28 pertaining to any transaction of the retailer involving the
5 29 purchase or sale or use of tobacco products.
5 30 The bill also makes existing penalties and permit
5 31 suspension and revocation provisions for cigarette retailers
5 32 applicable to tobacco product retailers. The bill makes
5 33 conforming changes in the Code to reflect the establishment of
5 34 permit provisions for tobacco product retailers.
5 35 LSB 1597HH 81
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