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A BILL TO BE ENTITLED
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AN ACT
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relating to the prohibited sale of flavored cigarettes, |
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e-cigarettes, and tobacco products and administrative penalties |
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for the prohibited sales. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 161.081(1-a), Health and Safety Code, is |
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amended to read as follows: |
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(1-a) "E-cigarette" means an electronic cigarette or |
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any other device that simulates smoking by using a mechanical |
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heating element, battery, or electronic circuit to deliver nicotine |
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or other substances to the individual inhaling from the device or a |
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consumable liquid solution or other material aerosolized or |
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vaporized during the use of an electronic cigarette or other device |
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described by this subdivision, regardless of whether the liquid or |
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other material contains nicotine. The term does not include a |
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prescription medical device unrelated to the cessation of smoking. |
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The term includes: |
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(A) a device described by this subdivision |
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regardless of whether the device is manufactured, distributed, or |
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sold as an e-cigarette, e-cigar, or e-pipe or under another product |
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name or description; and |
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(B) a component, part, or accessory for the |
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device, regardless of whether the component, part, or accessory is |
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sold separately from the device. |
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SECTION 2. Section 161.083(d), Health and Safety Code, is |
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amended to read as follows: |
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(d) Notwithstanding any other provision of law, a violation |
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of this section is not a violation of this subchapter for purposes |
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of Section 161.0901 [154.1142 or 155.0592, Tax Code]. |
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SECTION 3. Subchapter H, Chapter 161, Health and Safety |
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Code, is amended by adding Section 161.0901 to read as follows: |
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Sec. 161.0901. DISCIPLINARY ACTION AGAINST CIGARETTE AND |
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TOBACCO PRODUCTS RETAILERS. (a) A retailer is subject to |
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disciplinary action as provided by this section if an agent or |
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employee of the retailer commits an offense under this subchapter, |
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Subchapter I, or Subchapter K. |
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(b) If the comptroller finds, after notice and an |
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opportunity for a hearing as provided by Chapter 2001, Government |
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Code, that a permit holder violated this subchapter, Subchapter I, |
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or Subchapter K at a place of business for which a permit is issued, |
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the comptroller may suspend the permit for that place of business |
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and assess an administrative penalty as follows: |
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(1) for a permit holder who has not been found to have |
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violated this subchapter, Subchapter I, or Subchapter K at that |
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place of business during the 24-month period preceding the |
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violation, the comptroller may impose on the permit holder a fine in |
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an amount not to exceed $1,000; |
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(2) for a permit holder who has been found to have |
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violated this subchapter, Subchapter I, or Subchapter K at that |
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place of business once during the 24-month period preceding the |
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violation, the comptroller may impose on the permit holder a fine in |
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an amount not to exceed $2,000; and |
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(3) for a permit holder who has been found to have |
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violated this subchapter, Subchapter I, or Subchapter K at that |
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place of business at least twice during the 24-month period |
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preceding the violation, the comptroller may: |
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(A) impose on the permit holder a fine in an |
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amount not to exceed $3,000; and |
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(B) suspend the permit for that place of business |
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for not more than five days. |
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(c) Except as provided by Subsection (e), if the permit |
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holder has been found to have violated this subchapter, Subchapter |
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I, or Subchapter K on four or more previous and separate occasions |
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at the same place of business during the 24-month period preceding |
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the violation, the comptroller shall revoke the permit issued under |
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Chapter 154 or 155, Tax Code, as applicable. If the permit holder |
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does not hold a permit under Chapter 154 or 155, Tax Code, the |
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comptroller shall revoke the permit issued under Section 151.201, |
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Tax Code. |
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(d) A permit holder whose permit has been revoked under this |
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section may not apply for a permit for the same place of business |
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before the expiration of six months after the effective date of the |
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revocation. |
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(e) For purposes of this section, the comptroller may |
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suspend a permit but may not revoke the permit under Subsection (c) |
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if the comptroller finds that: |
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(1) the employer has violated this subchapter, |
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Subchapter I, or Subchapter K seven or fewer times at the place of |
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business for which the permit is issued in the 48-month period |
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preceding the violation in question; |
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(2) the employer requires its employees to attend a |
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comptroller-approved seller training program; |
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(3) the employees successfully complete the |
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comptroller-approved seller training program; and |
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(4) the employer has not directly or indirectly |
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encouraged the employees to violate the law. |
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(f) The comptroller may adopt rules to implement this |
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section. |
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SECTION 4. Chapter 161, Health and Safety Code, is amended |
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by adding Subchapter I to read as follows: |
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SUBCHAPTER I. FLAVORED CIGARETTES, E-CIGARETTES, AND TOBACCO |
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PRODUCTS |
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Sec. 161.095. DEFINITIONS. In this subchapter: |
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(1) "Cigarette" has the meaning assigned by Section |
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154.001, Tax Code. |
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(2) "E-cigarette" has the meaning assigned by Section |
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161.081. |
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(3) "Tobacco product" has the meaning assigned by |
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Section 155.001, Tax Code. |
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Sec. 161.096. SALE OF FLAVORED CIGARETTES, E-CIGARETTES, OR |
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TOBACCO PRODUCTS PROHIBITED. (a) A person may not sell, give, or |
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cause to be sold or given a cigarette, e-cigarette, or tobacco |
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product with a distinguishable taste or aroma other than the taste |
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or aroma of tobacco, including the aroma or taste of: |
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(1) an alcoholic beverage; |
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(2) candy or dessert; |
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(3) chocolate, cocoa, or vanilla; |
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(4) fruit; |
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(5) an herb or spice; |
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(6) honey; |
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(7) menthol; or |
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(8) mint or wintergreen. |
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(b) There is a rebuttable presumption that a cigarette, |
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e-cigarette, or tobacco product has a distinguishable taste or |
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aroma prohibited under Subsection (a) if a person: |
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(1) makes a public statement or claim that the |
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cigarette, e-cigarette, or tobacco product imparts a taste or smell |
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other than the taste or smell of tobacco; |
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(2) uses text or images on the labeling or packaging of |
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the cigarette, e-cigarette, or tobacco product to indicate the |
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product imparts a taste or smell other than the taste or smell of |
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tobacco; or |
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(3) takes other action directed at consumers that |
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would reasonably be expected to cause consumers to believe the |
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cigarette, e-cigarette, or tobacco product imparts a taste or smell |
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other than the taste or smell of tobacco. |
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SECTION 5. The following provisions of the Tax Code are |
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repealed: |
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(1) Section 154.1142; |
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(2) Section 154.1143; |
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(3) Section 155.0592; and |
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(4) Section 155.0593. |
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SECTION 6. Section 161.0901, Health and Safety Code, as |
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added by this Act, applies only to a violation that occurs on or |
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after the effective date of this Act. A violation that occurs |
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before the effective date of this Act is governed by the law in |
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effect on the date the violation occurred, and the former law is |
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continued in effect for that purpose. |
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SECTION 7. This Act takes effect September 1, 2021. |