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State Legislative Bill Introductions & Actions

The following is an update from the National Association of Tobacco Outlets (NATO) sourced through their June 26th online bulletin. Reposted with permission.

State Legislative Bill Introductions

State tobacco-related legislative bills that have been introduced in the past week are listed below alphabetically by state:

Georgia: House Bill 1229 increases the tax on cigarettes by $1.50 per pack, increases the OTP tax from 23% to 39% of the wholesale cost price, and imposes a tax on vapor products at the OTP tax rate of 39% of the wholesale cost price.

State Legislative Bill Actions

State tobacco-related legislative bills that have been acted on by a state legislative committee or state legislature are listed below alphabetically by state:

California:  Senate Bill 793, which prohibits the sale of all flavored tobacco products and flavored tobacco product enhancers, was amended to exempt shisha sales in hookah tobacco retailers and passed the Senate Appropriations Committee on June 18, 2020.

Georgia: House Bill 882, which was recently amended in the Senate Finance Committee, and increases the tax on cigarettes by $.98 per pack, imposes a tax on liquid nicotine at the rate of $1.25 per milliliter, reduces the tax on cigars from 23% to 12% of the wholesale cost price, and establishes a requirement for a vapor license, passed the Senate Finance Committee on June 19, 2020 and is awaiting consideration by the full Senate.  Senate Bill 375, which was amended on June 24, 2020, and now imposes a tax on vapor products at $.05 per fluid milliliter in closed system, and taxes consumable vapor products in open systems at the rate of 7% of the wholesale cost, passed the House and moved to the Senate for concurrence on June 25, 2020.  SB375 also requires a license to manufacture, ship, import, purchase, receive, sell or distribute alternative nicotine products and vapor products, and increases the legal age to purchase and possess tobacco products, alternative nicotine products, and vapor products from 18 to 21 years of age.

Michigan: The following bills passed the Senate and moved to the House Regulatory Reform Committee on June 17, 2020: Senate Bill 781, which as amended, imposes a new tax on vapor products at the rate of 18% of the wholesale price. The previous version of SB781 imposed a new tax on vapor products at the rate of 24% of the wholesale price; Senate Bill 782, which requires a license to sell alternative nicotine products, and vapor products; Senate Bill 783, which prohibits the advertising of vapor products in a manner that causes a minor to believe that health benefits may be derived from the use of vapor products. SB783 also allows the sale of flavored vapor products; Senate Bill 784, which increases the legal age to purchase tobacco products, alternative nicotine products, and vapor products from 18 to 21 years of age; and Senate Bill 785, which modifies the age requirement provisions in the penal code relating to the sale or distribution of tobacco products by mail or vending machines.

Tennessee:  Senate Bill 2202, which prohibits the sale of tobacco products, vaping products or smoking paraphernalia to persons under age twenty-one, was signed by the Governor on June 23, 2020. The General Assembly adjourned sine die on June 19. 2020.