By Zaffirini, et al. S.B. No. 373 Substitute the following for S.B. No. 373: By Tallas C.S.S.B. No. 373 A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the regulation of the sale, distribution or use of 1-3 cigarettes and tobacco products; providing penalties. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. This Act may be cited as the Children's Tobacco 1-6 Prevention and Enforcement Act. 1-7 SECTION 2. Subchapter H, Chapter 161, Health and Safety 1-8 Code, is amended by adding Section 161.083 to read as follows: 1-9 Sec. 161.083. PURCHASE OF CIGARETTES OR TOBACCO PRODUCTS BY 1-10 PERSONS YOUNGER THAN 18 YEARS OF AGE PROHIBITED. (a) A person 1-11 younger than 18 years of age commits an offense if the person 1-12 purchases a cigarette or other tobacco product. 1-13 (b) An offense under this section is subject to a fine not 1-14 to exceed $100 and the provisions of Article 45.521, Code of 1-15 Criminal Procedure. 1-16 SECTION 3. Subchapter H, Chapter 161, Health and Safety 1-17 Code, is amended by adding Section 161.084 to read as follows: 1-18 Sec. 161.084. ADMINISTRATION AND IMPLEMENTATION. (a) The 1-19 state treasurer shall be responsible for the administration and 1-20 implementation of this subchapter and for compliance with the 1-21 related provisions of the federal Alcohol, Drug Abuse, and Mental 1-22 Health Administration Reorganization Act, Pub. L. 102-321, except 1-23 as otherwise provided by state law. 1-24 (b) Upon disposition of a case relating to a violation of 2-1 Section 161.081, 161.082 or 161.083 of this subchapter, the clerk 2-2 of the court shall promptly notify the state treasurer of the 2-3 disposition of the case, regardless of whether the case resulted in 2-4 a conviction. 2-5 (c) The state treasurer with the cooperation of local law 2-6 enforcement agencies shall annually conduct random, unannounced 2-7 inspections at locations where tobacco products are sold to ensure 2-8 compliance with this subchapter. Persons under 18 years of age may 2-9 be enlisted by local law enforcement agencies to ensure compliance 2-10 with this subchapter, provided that such persons may be enlisted 2-11 only if the inspection is conducted under the direct supervision of 2-12 local law enforcement agency personnel. Each cooperating local law 2-13 enforcement agency shall file a report with the state treasurer 2-14 which summarizes findings regarding compliance with this section 2-15 and the number of violations occurring within their jurisdiction. 2-16 The state treasurer shall prepare the report required by section 2-17 one thousand nine hundred and twenty-six of subpart I part B of 2-18 title XIX of the federal Public Health Service Act (42 U.S.C. 2-19 300X-26) on an annual basis for submission to the Secretary of the 2-20 United States Department of Health and Human Services. 2-21 (d) Should the U.S. Department of Health and Human Services 2-22 issue rules under the federal Alcohol, Drug Abuse, and Mental 2-23 Health Administration Reorganization Act, Pub. L. 102-321, 2-24 requiring state action not provided for in Subsections (a), (b) and 2-25 (c) of this section, the state treasurer is authorized to adopt 2-26 rules, only to the extent necessary to avoid loss of federal 2-27 funding, to provide for administrative penalties and suspension and 3-1 revocation of permits issued under Chapter 154 and 155, Tax Code, 3-2 for a violation of Sections 161.081 or 161.082 by a permit holder. 3-3 (e) In promulgation of rules under Subsection (d), the state 3-4 treasurer shall provide for the following: 3-5 (1) any administrative penalties for violations of 3-6 Sections 161.081 or 161.082 shall not exceed the following 3-7 schedule: 3-8 (i) the penalty for the first violation may be 3-9 in an amount not to exceed $500; 3-10 (ii) the penalty for a second or subsequent 3-11 violation may be in an amount not to exceed $1000. 3-12 (iii) the penalty for a third or subsequent 3-13 violation of Section 161.081 may include the suspension or 3-14 revocation of a retailer's permit issued under Chapter 154 or 155, 3-15 Tax Code; provided however, that no suspension may exceed a period 3-16 of 10 days. Further, a permit may not be revoked until such permit 3-17 has been suspended at least once in the prior 12 month period. The 3-18 amount of a penalty shall be based on: 3-19 (A) the seriousness of the violation; 3-20 (B) the history of previous violations; 3-21 (C) the person's demonstrated good faith; and 3-22 (D) any other matter that justice may require. 3-23 (2) A determination that a violation has occurred 3-24 shall be made following written notice and hearing pursuant to the 3-25 Administrative Procedure and Texas Register Act (Article 6252-13a, 3-26 Vernon's Texas Civil Statutes). 3-27 (3) It shall be a defense to the imposition of 4-1 administrative penalties or suspension or revocation of a permit 4-2 for a violation of Sections 161.081 that the person to whom the 4-3 cigarette or tobacco product was sold or given presented to the 4-4 person apparently valid proof of identification that contained a 4-5 physical description and photograph consistent with the person's 4-6 appearance, purported to establish that the person is 18 years of 4-7 age or older, and was purportedly issued by a governmental agency. 4-8 The proof of identification may include a driver's license issued 4-9 by this state or another state, a passport or an identification 4-10 card issued by a state or the federal government. 4-11 (4) With respect to the revocation or suspension of a 4-12 permit, based on a violation of Section 161.081 by an employee, it 4-13 is a defense that the employer acted in good faith and did the 4-14 following: 4-15 (i) conspicuously posted and reasonably 4-16 maintained appropriate signs in areas frequented by employees, such 4-17 as near time cards or in lunchrooms, reminding the employees of the 4-18 provisions of this subchapter and the penalties provided hereunder; 4-19 (ii) conspicuously posted and reasonable 4-20 maintained signs on or near any cash register or comparable area 4-21 reminding employees to ask for proof of identification before 4-22 selling cigarettes or tobacco products if there is any doubt as to 4-23 the customer being younger than 18 years of age: 4-24 (iii) provided the employee a copy of this 4-25 subchapter or a reasonable summary of this subchapter and required 4-26 the employee to sign a statement that the copy or the summary was 4-27 received and understood and that the employee will uphold the law; 5-1 (iv) provided the employee with a written list 5-2 of the types of proof of identification that are deemed valid by 5-3 the state to establish legal age under this subchapter; and 5-4 (v) if the employee has violated this subchapter 5-5 more than once: 5-6 (A) promptly terminated the employee's 5-7 employment; or 5-8 (B) promptly reassigned the employee to a 5-9 position in which the employee is prohibited from selling and does 5-10 not sell cigarettes or tobacco products for a period of one year 5-11 from the date of the employee's last violation. 5-12 SECTION 4. Subchapter H, Chapter 161, Health and Safety 5-13 Code, is amended by adding Section 161.085 to read as follows: 5-14 Sec. 161.085. ENFORCEMENT. The provisions of Subchapter H, 5-15 Chapter 161, Health and Safety Code, and Chapters 154 and 155, Tax 5-16 Code, shall govern exclusively the sale and distribution of 5-17 cigarettes and other tobacco products in this state; provided, 5-18 however, that this section shall not affect an ordinance, 5-19 regulation, order, resolution or policy adopted by the governing 5-20 board of a political subdivision relating to the regulation of the 5-21 sale or distribution of cigarettes or other tobacco products in 5-22 effect on October 1, 1993. 5-23 SECTION 5. The change in law made by this Act applies only 5-24 to an offense committed on or after the effective date of this Act. 5-25 For the purposes of this subsection, an offense is committed before 5-26 the effective date of this Act if any element of the offense occurs 5-27 before that date. An offense committed before the effective date 6-1 of this Act is governed by the law in effect when the offense was 6-2 committed, and the former law is continued in effect for this 6-3 purpose. 6-4 SECTION 6. The importance of this legislation and the 6-5 crowded condition of the calendars in both houses create an 6-6 emergency and an imperative public necessity that the 6-7 constitutional rule requiring bills to be read on three several 6-8 days in each house be suspended, and this rule is hereby suspended.