Thursday 10 December 2015

AN ACT relating to vapor products.

AN ACT relating to vapor products.

Be it enacted by the General Assembly of the Commonwealth of Kentucky:

âSection 1.   KRS 438.305 is amended to read as follows:

As used in KRS 438.305 to 438.340, unless the context requires otherwise:

(1)      "Manufacturer" means any person who manufactures or produces tobacco products within or without this Commonwealth;

(2)      "Nonresident wholesaler" means any person who purchases cigarettes or other tobacco products directly from the manufacturer and maintains a permanent location or locations outside this state at which Kentucky cigarette tax evidence is attached or from which Kentucky cigarette tax is reported and paid;

(3)      "Proof of age" means a driver's license or other documentary or written evidence that the individual is eighteen (18) years of age or older;

(4)      "Resident wholesaler" means any person who purchases at least seventy-five percent (75%) of all cigarettes or other tobacco products purchased by that person directly from the cigarette manufacturer on which the cigarette tax provided for in KRS 138.130 to 138.205 is unpaid, and who maintains an established place of business in this state at which the person attaches cigarette tax evidence or receives untaxed cigarettes;

(5)      "Sample" means a tobacco product or vapor product distributed to members of the general public at no cost;

(6)      "Subjobber" means any person who purchases tobacco products, on which the Kentucky cigarette tax has been paid, from a wholesaler licensed pursuant to KRS 138.195, and makes them available to a retail establishment for resale; and

(7)       "Vapor product" means any noncombustible product that employs a mechanical heating element, battery, or electronic circuit, regardless of shape or size, and that can be used to heat a liquid nicotine solution contained in a vapor cartridge. "Vapor product" includes an electronic cigarette, electronic cigar, electronic cigarillo, and electronic pipe. The term "vapor product" does not include any cessation product approved by the United States Food and Drug Administration and marketed and sold solely for that approved purpose.

âSection 2.   KRS 438.310 is amended to read as follows:

(1)      No person shall sell or cause to be sold any tobacco product or vapor product at retail to any person under the age of eighteen (18), or solicit any person under the age of eighteen (18) to purchase any tobacco product or vapor product at retail.

(2)      Any person who sells tobacco products or vapor products at retail shall cause to be posted in a conspicuous place in his establishment a notice stating that it is illegal to sell tobacco products or vapor products to persons under age eighteen (18).

(3)      Any person selling tobacco products or vapor products shall require proof of age from a prospective buyer or recipient if the person has reason to believe that the prospective buyer or recipient is under the age of eighteen (18).

(4)      A person who violates subsection (1) or (2) of this section shall be subject to a fine of not less than one hundred dollars ($100) nor more than five hundred dollars ($500) for a first violation and a fine of not less than five hundred dollars ($500) nor more than one thousand dollars ($1,000) for any subsequent violation. The fine shall be administered by the Department of Alcoholic Beverage Control using a civil enforcement procedure.

âSection 3.   KRS 438.311 is amended to read as follows:

(1)      Except for the provisions of KRS 438.330, it shall be unlawful for a person who has not attained the age of eighteen (18) years to purchase or accept receipt of or to attempt to purchase or accept receipt of a tobacco product or vapor product, or to present or offer to any person any purported proof of age which is false, fraudulent, or not actually his or her own, for the purpose of purchasing or receiving any tobacco product or vapor product. It shall not be unlawful for such a person to accept receipt of a tobacco product or vapor product from a family member, except if the child has been committed to the custody of the state under KRS Chapters 600 to 645, or from an employer when required in the performance of the person's duties.

(2)      Violation of this section shall be punishable by a fine of fifty dollars ($50) and twenty (20) hours of community service work for a first offense within a one (1) year period, and a fine of two hundred dollars ($200) and forty (40) hours of community service work for a second or subsequent offense within a one (1) year period.

(3)      This offense shall be deemed a status offense and shall be under the jurisdiction of the juvenile session of the District Court.

(4)      All peace officers with general law enforcement authority and employees of the Department of Alcoholic Beverage Control may issue a uniform citation, but not make an arrest or take a child into custody, for a violation of this section. If a child fails to appear in court in response to a uniform citation issued pursuant to the section, the court may compel the attendance of the defendant in the manner specified by law.

âSection 4.   KRS 438.313 is amended to read as follows:

(1)      No wholesaler, retailer, or manufacturer of cigarettes,[ or] tobacco products, or vapor products may distribute cigarettes, [or ]tobacco products, or vapor products, including samples thereof, free of charge or otherwise, to any person under the age of eighteen (18).

(2)      Any person who distributes cigarettes,[ or] tobacco products, or vapor products, including samples thereof, free of charge or otherwise shall require proof of age from a prospective buyer or recipient if the person has reason to believe that the prospective purchaser or recipient is under the age of eighteen (18).

(3)      Any person who violates the provisions of this section shall be fined not less than one thousand dollars ($1,000) nor more than two thousand five hundred dollars ($2,500) for each offense. The fine shall be administered by the Department of Alcoholic Beverage Control using a civil enforcement procedure for persons eighteen (18) years of age or older. For persons under the age of eighteen (18) years, the offense shall be deemed a status offense and shall be under the jurisdiction of the juvenile session of the District Court.

(4)      All peace officers with general law enforcement authority and employees of the Department of Alcoholic Beverage Control may issue a uniform citation, but may not make an arrest, or take a child into custody, for a violation of this section. If a child fails to appear in court in response to a uniform citation issued pursuant to this section, the court may compel the attendance of the defendant in the manner specified by law.

âSection 5.   KRS 438.315 is amended to read as follows:

(1)      The sale of tobacco products or vapor products dispensed through a vending machine is prohibited to any person under the age of eighteen (18) years.

(2)      The purchase of tobacco products or vapor products dispensed through a vending machine is prohibited to any person under the age of eighteen (18) years.

(3)[     Except for vending machines located in factories or vending machines located in bars or taverns to which minors are not permitted access, beginning one (1) year after July 15, 1994, any vending machine from which tobacco products are dispensed shall be located in the line of sight of the cashier for the retail establishment.

(4)]     Any owner of a retail establishment violating this section shall be subject to a fine of not less than one hundred dollars ($100) nor more than five hundred dollars ($500) for each violation. The fine shall be administered by the Department of Alcoholic Beverage Control using a civil enforcement procedure for persons eighteen (18) years of age or older. For persons under the age of eighteen (18) years, the offense shall be deemed a status offense and shall be under the jurisdiction of the juvenile session of the District Court.

(4)[(5)]          All peace officers with general law enforcement authority and employees of the Department of Alcoholic Beverage Control may issue a uniform citation, but may not make an arrest, or take a child into custody, for a violation of this section. If a child fails to appear in court in response to a uniform citation issued pursuant to this section, the court may compel the attendance of the defendant in the manner specified by law.

âSection 6.   KRS 438.320 is amended to read as follows:

Each resident wholesaler, nonresident wholesaler, or subjobber making tobacco products or vapor products available to a retail establishment for sale or distribution shall report the name and address of the owner of the retail establishment to the Department of Alcoholic Beverage Control in a manner specified by administrative regulations promulgated pursuant to KRS Chapter 13A.

âSection 7.   KRS 438.325 is amended to read as follows:

(1)      Each owner of a retail establishment selling or distributing tobacco products or vapor products shall notify each individual employed in the retail establishment as a retail sales clerk that the sale of tobacco products or vapor products to any person under the age of eighteen (18) years and the purchase of tobacco products or vapor products by any person under the age of eighteen (18) years are prohibited.

(2)      Each owner of a retail establishment selling or distributing tobacco products or vapor products shall notify each individual employed in the retail establishment as a retail sales clerk that proof of age is required from a prospective buyer or recipient if the person has reason to believe that the prospective purchaser or recipient is under the age of eighteen (18).

(3)      The notice to employees that is required in subsection (1) of this section shall be provided before the person commences work as a retail sales clerk[, or, in the case of a person employed as a retail sales clerk on July 15, 1994, within thirty (30) days of that date]. The employee shall signify receipt of the notice required by this section by signing a form that states as follows:

            "I understand that under the law of the Commonwealth of Kentucky it is illegal to sell or distribute tobacco products or vapor products to persons under the age of eighteen (18) years and that it is illegal for persons under the age of eighteen (18) years to purchase tobacco products or vapor products."

(4)      The owner of the retail establishment shall maintain the signed notice that is required pursuant to subsection (3) of this section in a place and in a manner so as to be easily accessible to any employee of the Department of Alcoholic Beverage Control or the Department of Agriculture conducting an inspection of the retail establishment for the purpose of monitoring compliance in limiting the sale or distribution of tobacco products or vapor products to persons under the age of eighteen (18) as provided in KRS 438.305 to 438.340.

(5)      Any owner of the retail establishment violating subsections (1) to (4) of this section shall be subject to a fine of not less than one hundred dollars ($100) nor more than five hundred dollars ($500) for each violation. The fine shall be administered by the Department of Alcoholic Beverage Control in a civil enforcement procedure.

âSection 8.   KRS 438.330 is amended to read as follows:

(1)      The Department of Alcoholic Beverage Control and the Department of Agriculture shall carry out annually-conducted random, unannounced inspections of retail establishments where tobacco products or vapor products are sold or distributed for the purpose of enforcing the provisions of KRS 438.305 to 438.340.

(2)       The inspections required by subsection (1) of this section shall be conducted to the extent necessary to ensure[assure] that the Commonwealth remains in compliance with Public Law 102-321 and applicable federal regulations. The Department of Alcoholic Beverage Control and the Department of Agriculture shall also ensure that targeted inspections are conducted at those retail establishments where, and at those times when, persons under the age of eighteen (18) years are most likely to purchase tobacco products or vapor products. Persons under the age of eighteen (18) years may be used to test compliance with the provisions of KRS 438.305 to 438.340 only if the testing is conducted under the direct supervision of the Department of Alcoholic Beverage Control, sheriff, or chief of police, or their employees, and written parental consent has been obtained. The Department of Alcoholic Beverage Control shall prepare annually, for submission by the Governor to the Secretary of the United States Department of Health and Human Services, the report required by Section 1926 of Subpart 1 of Part B of Title XIX of the Federal Public Health Service Act.

(3)[(2)]          The Department of Alcoholic Beverage Control shall develop and implement the survey sampling methodologies to carry out the inspections as described in this section.

âSection 9.   KRS 438.350 is amended to read as follows:

(1)      No person under the age of eighteen (18)  shall possess or use tobacco products or vapor products.

(2)      Any tobacco product or vapor product found in the possession of a person under the age of eighteen (18) and in plain view of the law enforcement officer shall be confiscated by the law enforcement officer making the charge.

(3)      This section shall not apply to persons exempted as provided by KRS 438.311 and 438.330.


(4)       As used in this section, "vapor product" has the same meaning as in Section 1 of this Act.

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