Read the full stored bill text
SECOND REGULAR SESSION
[CORRECTED]
HOUSE BILL NO. 3206
103RD GENERAL ASSEMBL Y
INTRODUCED BY REPRESENT A TIVE ROBER TS.
6297H.01I JOSEPH ENGLER, Chief Clerk
AN ACT
T o repeal sections 149.01 1, 149.035, 149.160, 149.190, 407.924, 407.925, 407.926, 407.927,
407.928, 407.929, 407.931, and 407.934, RSMo, and to enact in lieu thereof seventeen
new sections relating to certain tobacco products, with penalty provisions.
Be it enacted by the General Assembly of the state of Missouri, as follows:
Section A. Sections 149.01 1, 149.035, 149.160, 149.190, 407.924, 407.925, 407.926,
2 407.927, 407.928, 407.929, 407.931, and 407.934, RSMo, are repealed and seventeen new
3 sections enacted in lieu thereof, to be known as sections 149.01 1, 149.035, 149.036, 149.037,
4 149.038, 149.039, 149.160, 149.190, 407.924, 407.925, 407.926, 407.927, 407.928, 407.929,
5 407.930, 407.931, and 407.934, to read as follows:
149.01 1. As used in this chapter , unless the context requires otherwise, the following
2 terms mean:
3 (1) "Alternative nicotine pr oduct", any noncombustible pro duct containing
4 nicotine or a nicotine analogue that is intended for human consumption, whether
5 chewed, absorbed, dissolved, or ingested by any other means. "Alternative nicotine
6 pr oduct" does not include any vapor pr oduct, tobacco prod uct, or any pr oduct
7 r egulated as a drug or device by the United States Food and Drug Administration under
8 Chapter V of the Food, Drug, and Cosmetic Act;
9 (2) "Cigar", any roll for smoking, except cigarettes, made chiefly of tobacco or any
10 substitute therefor;
EXPLANA TION — Matter enclosed in bold-faced brackets [thus] in the above bill is not enacted and is
intended to be omitted from the law . Matter in bold-face type in the above bill is proposed language.
11 [ (2) ] (3) "Cigarette", an item manufactured of tobacco or any substitute therefor ,
12 wrapped in paper or any substitute therefor , weighing not to exceed three pounds per one
13 thousand cigarettes and which is commonly classified, labeled or advertised as a cigarette;
14 [ (3) ] (4) "Common carrier", any person, association, company , or corporation
15 engaged in the business of operating, for public use, an agency for the transportation of
16 persons or property within the state;
17 (5) "Department", the department of revenu e;
18 [ (4) ] (6) "Director", the director of Missouri department of revenue;
19 [ (5) ] (7) "First sale within the state", the first sale of a tobacco product , alternative
20 nicotine prod uct, or vapor prod uct by a manufacturer , wholesaler , distributor , ret ailer , or
21 other person to a reta iler or other person who intends to sell such [ tobacco ] products at retail
22 or to a person at retail within the state of Missouri;
23 [ (6) ] (8) "Manufacturer", any person engaged in the manufacture or production of
24 cigarettes , tobacco pr oducts, alternative nicotine pr oducts, or vapor pr oducts ;
25 [ (7) ] (9) "Manufacturer's invoice price", the original net invoice price for which a
26 manufacturer sells a tobacco product , alternative nicotine pr oduct, or vapor pr oduct to a
27 distributor , wholesaler , ret ailer , or first seller in the state as shown by the manufacturer's
28 original invoice;
29 [ (8) ] (10) "Meter machine", a type of device manufactured for the use of printing or
30 imprinting an inked impression indicating that the cigarette tax has been paid on an individual
31 package of cigarettes;
32 (1 1) "Nicotine analogue":
33 (a) a. A substance, the chemical structur e of which is substantially similar to the
34 chemical structure of nicotine; or
35 b. A substance that has, purports to have, or is rep res ented to have an effect on
36 the central nervous system that is similar to or gr eater than the nicotine's effect on the
37 central nervous system;
38 (b) Factors releva nt to determining whether a substance is a nicotine analogue
39 include, but are not limited to, the marketing, advertising, and labeling of the substance
40 and whether the substance has been manufactur ed, formulated, sold, distributed, or
41 marketed with the intent to avoid the provi sions of this subdivision and other applicable
42 pr ovisions of law;
43 [ (9) ] (12) "Package of cigarettes", a container of any type composition in which is
44 normally contained twenty individual cigarettes, except as in special instances when the
45 number may be more or less than twenty;
46 [ (10) ] (13) "Person", any individual, corporation, firm, partnership, incorporated or
47 unincorporated association, or any other legal or commercial entity;
HB 3206 2
48 [ (1 1) ] (14) "Retailer", any person who sells to a consumer or to any person for any
49 purpose other than resale;
50 [ (12) ] (15) "Sale" in this instance is defined to be and declared to include sales,
51 barters, exchanges and every other manner , method and form of transferring the ownership of
52 personal property from one person to another . "Sale" also means the possession of cigarettes
53 [ or ] , tobacco products , alternative nicotine pro ducts, or vapor pr oducts by any person
54 other than a manufacturer , wholesaler , distributor , or retailer and shall be prima facie
55 evidence of possession for consumption;
56 [ (13) ] (16) "Smokeless tobacco", chewing tobacco, including, but not limited to,
57 twist, moist plug, loose leaf and firm plug, and all types of snuf f, including, but not limited to,
58 moist and dry;
59 [ (14) ] (17) "Stamped cigarettes", an individual package, containing twenty individual
60 cigarettes, more or less, on which appears or is af fixed or imprinted thereon a Missouri state
61 cigarette tax stamp or Missouri state meter machine impression;
62 [ (15) ] (18) "T ax stamp", an item manufactured of a paper product or substitute thereof
63 on which is printed, imprinted, or engraved lettering, numerals or symbols indicating that the
64 cigarette tax has been paid on each individual package of cigarettes;
65 [ (16) ] (19) "T obacco product", cigarettes, cigarette papers, clove cigarettes, cigars,
66 smokeless tobacco, smoking tobacco, or other form of tobacco products or products made
67 with tobacco substitute containing nicotine;
68 [ (17) ] (20) "Unstamped cigarettes", an individual package containing cigarettes on
69 which does not appear a Missouri state cigarette tax stamp or Missouri state meter machine
70 impression;
71 (21) "V apor pro duct", any noncombustible pr oduct containing nicotine or a
72 nicotine analogue that employs a heating element, power sour ce, electr onic cir cuit, or
73 other electr onic, chemical, or mechanical means, regard less of shape or size, that can be
74 used to pr oduce vapor from nicotine in a solution or other form. "V apor prod uct"
75 includes any electr onic cigarette , electr onic cigar , electr onic cigarillo, electr onic pipe, or
76 similar pr oduct or device and any vapor cartridge or other container of nicotine in a
77 solution or other form that is intended to be used with or in an electr onic cigar ette,
78 electr onic cigar , electr onic cigarillo, electr onic pipe, or similar pr oduct or device.
79 "V apor pr oduct" also includes any device classified by the United States Food and Drug
80 Administration as an electr onic nicotine delivery system. "V apor prod uct" does not
81 include any alternative nicotine pr oduct or tobacco pr oduct;
82 [ (18) ] (22) "Wholesaler", any person, firm or corporation or ganized and existing, or
83 doing business, primarily to sell cigarettes , alternative nicotine pr oducts, vapor pr oducts,
84 or tobacco products to, and render service to, retailers in the territory the person, firm or
HB 3206 3
85 corporation chooses to serve; that purchases cigarettes , alternative nicotine pro ducts, vapor
86 pr oducts, or tobacco products directly from the manufacturer; that carries at all times at his
87 or her or its principal place of business a representative stock of cigarettes , alternative
88 nicotine pr oducts, vapor products, or tobacco products for sale; and that comes into the
89 possession of cigarettes , alternative nicotine pr oducts, vapor pr oducts, or tobacco products
90 for the purpose of selling them to other wholesalers, distributors, retailers , or to persons
91 outside or within the state who might resell or retail the cigarettes , alternative nicotine
92 pr oducts, vapor pr oducts, or tobacco products to consumers. This shall include any
93 manufacturer , distributor , importer , jobber , broker , agent , or other person, whether or not
94 enumerated in this chapter , who so sells or so distributes cigarettes , alternative nicotine
95 pr oducts, vapor prod ucts, or tobacco products.
149.035. 1. Every wholesaler of cigarettes , alternative nicotine prod ucts, vapor
2 pr oducts, or tobacco products in this state, as a condition of carrying on such business, shall
3 annually , on or before February fifteenth of each year , secure from the director a written
4 license, and shall pay therefor an annual fee of one hundred dollars for the twelve-month
5 period beginning February fifteenth of each year . The license, application for which may be
6 made on forms prescribed and furnished by the director , shall be kept on public display in the
7 wholesaler's place of business at all times. The license shall not be assignable or transferable.
8 The director shall refuse a license to any wholesaler of cigarettes , alternative nicotine
9 pr oducts, vapor pr oducts, or tobacco products from another state if that wholesaler's state
10 refuses to license wholesalers of cigarettes , alternative nicotine prod ucts, vapor pr oducts,
11 or tobacco products from Missouri.
12 2. Every person making a first sale of tobacco products , alternative nicotine
13 pr oducts, or vapor pr oducts in the state of Missouri who does not have a wholesaler license
14 as required by this section shall make application for a tobacco products wholesaler license
15 on forms prescribed by the director of revenue. Such person shall, as a condition of acquiring
16 such license, file an instrument which may be a cash or surety bond, letter of credit, or other
17 instrument approved by the director which shall be in the amount of three times the average
18 tax liability , estimated in the case of a new applicant. At such time as the director of revenue
19 shall deem the amount of a bond insuf ficient to cover the liability , he may require the bond to
20 be adjusted to the level satisfactory to the director which shall cover the amount of such
21 liability . Minimum bond shall be five hundred dollars. A tobacco products wholesaler
22 license shall not be used as a substitute or in place of a cigarette wholesale license.
23 3. At such time as the director shall have reason to believe that any person has
24 violated any provisions of this chapter or any rules and regulations issued pursuant to such
25 provisions, the director shall refuse to issue or shall revoke or suspend any license issued
HB 3206 4
26 hereunder for such a period of time not to exceed one year . The person involved may seek
27 review of the decision of the director of revenue by the administrative hearing commission.
149.036. Every manufactur er of cigar ettes, alternative nicotine pr oducts, vapor
2 pr oducts, or tobacco pr oducts sold at reta il or to a consumer in this state, whether
3 dir ectly or thr ough an importer , wholesaler , distributor , r etailer , or similar intermediary
4 or intermediaries, shall annually , on or before February fifteenth of each year , secure
5 fr om the dir ector a written tobacco prod ucts manufactur er license and pay an annual
6 fee of one thousand dollars for the twelve-month period beginning February fifteenth of
7 each year . The license shall not be assignable or transferable. Manufactur ers of vapor
8 pr oducts shall be issued a license only if they also satisfy the req uirements of sections
9 149.037 to 149.038.
149.037. 1. Every vapor pr oduct manufactur er who sells or offers to sell vapor
2 pr oducts to a consumer in this state, whether dir ectly or thr ough an importer ,
3 wholesaler , distributor , ret ailer , or similar intermediary or intermediaries, shall obtain a
4 vapor pr oduct manufactur er license fr om the dire ctor . The license shall be valid for one
5 year and shall be r enewed annually .
6 2. Every application for a vapor prod uct manufactur er license shall be made
7 upon a form pr escribed, pr epar ed, and furnished by the dir ector and shall be
8 accompanied by a certification signed under penalty of perjury that includes the
9 following:
10 (1) The name and addr ess of the applicant or , if the applicant is a firm,
11 partnership, limited liability company , or association, the name and addre ss of each of
12 its members or , if the applicant is a corporation, the name and addr ess of each of its
13 officers and the addr ess of its principal place of business;
14 (2) The location of the principal place of the applicant seeking a license;
15 (3) Either:
16 (a) A copy of the Pr event All Cigar ette T rafficking (P ACT) Act Registration
17 Form (A TF Form 5070.1) as submitted by the applicant to the Bur eau of Alcohol,
18 T obacco, Fir earms and Explosives of the United States Department of Justice and an
19 attestation that the applicant is in compliance with, and will continue to comply with, all
20 applicable requ irem ents of 15 U.S.C. Sections 375 and 376; or
21 (b) A statement explaining why the P ACT Act is not applicable to the applicant
22 and its pr oducts;
23 (4) An attestation that the applicant will comply with all applicable laws of this
24 state and of the applicant's principal place of business;
25 (5) A list of each type or model of vapor pr oduct of the manufactur er that is sold
26 in this state, including for each prod uct:
HB 3206 5
27 (a) The pr oduct name, pro duct category , nicotine content (volume of nicotine by
28 weight), and total volume; and
29 (b) A description, if a formal authorization, appr oval, or order fr om United
30 States Food and Drug Administration under Section 387e(j) or 387j of the Food, Drug,
31 and Cosmetic Act (21 U.S.C. Section 301 et seq.), as amended, has been sought and, if so,
32 the status of any re quest for that authorization, appr oval, or order;
33 (6) An attestation that the applicant's pr oducts and all components or parts of
34 such pr oducts sold in this state were imported into the United States in conformity with
35 all United States Customs and Border Pr otection requ irem ents, whether or not such
36 importation was accomplished by the manufactur er or another entity . In addition, the
37 manufactur er shall obtain and submit copies of all Customs and Border Pr otection
38 entry forms submitted in the prior six months on which the prod ucts, or any
39 components or parts of the pr oducts, wer e declar ed;
40 (7) For an applicant with a principal place of business outside the United States,
41 a declaration, on a form pr escribed by the department, fr om each of its importers into
42 the United States of any of its brands to be sold in this state, that the importer accepts
43 joint and several liability with the applicant for all liability imposed in accordance with
44 this chapter , including any fees, costs, attorney's fees, and penalties imposed;
45 (8) A list of any warning letters issued by the United States Food and Drug
46 Administration in the last five calendar years that identified any vapor prod ucts
47 manufactur ed by the applicant as being adulterated or misbranded under federal law
48 and a description of how and when each warning letter was res olved;
49 (9) Records ref lecting the youth-access pr evention policies the applicant has
50 implemented with r espect to distributors and reta ilers that sell its vapor prod ucts in the
51 state; and
52 (10) Such other information as the dir ector may r equir e.
53 3. The applicant shall pay a nonr efundable fee of one hundr ed dollars for each
54 type or model of vapor pro duct that is included on the list of pro ducts in the certification
55 form.
56 4. A vapor pro duct manufactur er shall not cause to be sold at ret ail in this state
57 or to a consumer in this state any type or model of vapor prod uct not included in the
58 pr oduct list prov ided with the certification without first:
59 (1) Filing an amended certification form in a form and manner pr escribed by the
60 department; and
61 (2) Paying the appr opriate fee req uired under this section.
62 5. Each vapor pr oduct manufactur er who obtains a license under this chapter
63 shall submit to the dir ector:
HB 3206 6
64 (1) Within thirty days of any changes to its pr oduct list submitted with its
65 certification, a notice of such changes; and
66 (2) Every six months, an attestation confirming that the information submitted
67 in its license application rem ains accurate and all copies of Customs and Border Patr ol
68 Form 7501 submitted in the prior six months.
69 6. Submission of a false certification shall constitute an unfair trade practice
70 under the pro visions of sections 375.930 to 375.948. Nothing in this section shall be
71 construed to creat e or imply a private cause of action for a violation of sections 376.2050
72 to 376.2053. The dir ector may notify appr opriate federal and state agencies r egarding
73 false information submitted on a certification form.
74 7. Fees collected under the pr ovisions of this section shall be used by the dir ector
75 for the administration and enforcem ent of this chapter .
76 8. A person who obtains a license under this chapter has established minimum
77 contacts with the state and consents to the exerci se of personal jurisdiction over the
78 person in the courts of this state in any matter or issue arising under this chapter or
79 r elated to the sale of vapor pro ducts.
80 9. The direc tor shall maintain and make publicly available on the dir ector ’ s
81 official website a list of all vapor pr oducts included in the pro duct lists submitted by
82 licensed vapor pr oduct manufactur ers with their certification forms. The dire ctor also
83 shall maintain a list of all licensed entities, including information reg arding violations
84 and licenses that have been r evoked or suspended.
85 10. Beginning September 1, 2026, vapor prod ucts not included in the list shall
86 not be sold for r etail sale or to a consumer in this state, either dir ectly or thr ough an
87 importer , distributor , wholesaler , ret ailer , or similar intermediary or intermediaries.
149.038. 1. Any nonr esident manufactur er of vapor pr oducts that has not
2 r egister ed to do business in the state as a for eign corporation or business entity shall, as
3 a condition preced ent to recei ving a license, appoint and continually engage without
4 interruption the services of an agent in this state to act as agent for the service of pro cess
5 on whom all pr ocess, and any action or pr oceeding against it concerning or arising out
6 of the enfor cement of this chapter , may be served in any manner authorized by law .
7 Such service shall constitute legal and valid service of process on the manufactur er . The
8 manufactur er shall pr ovide the name, addr ess, telephone number , and pr oof of the
9 appointment and availability of such agent to the department.
10 2. The manufactur er shall pr ovide notice to the department thirty calendar days
11 prior to termination of the authority of an agent and shall further pr ovide proo f to the
12 satisfaction of the department of the appointment of a new agent no less than five
13 calendar days prior to the termination of an existing agent appointment. In the event an
HB 3206 7
14 agent terminates an agency appointment, the manufactur er shall notify the department
15 of the termination within five calendar days and shall include pr oof to the satisfaction of
16 the department of the appointment of a new agent.
17 3. Any nonr esident or for eign manufactur er of vapor prod ucts that has not
18 r egister ed to do business in the state as a for eign corporation or business entity shall, as
19 a condition prec edent to r eceiving a license, submit to the dir ector a sur ety bond or
20 other cash security payable to the state in the amount of twenty-five thousand dollars.
21 The bond shall be posted by a corporate sur ety located within the United States.
22 4. The bond described under subsection 3 of this section shall be conditioned on
23 the performance by the manufactur er of all requi rem ents and obligations imposed by
24 this chapter . A sur ety on a manufactur er's bond shall be liable up to the amount of the
25 bond, and the state may execute on such sur ety bond for the payment of fines and
26 penalties imposed on the manufactur er under this section and for the costs of seizure
27 and destruction of products sold in violation of this chapter . If the state executes on the
28 sur ety bond, it may r equir e the manufactur er to prov ide an additional bond as a
29 condition pr ecedent for reta ining the vapor prod uct manufactur er license.
30 5. A sur ety on a bond furnished by a manufactur er as pr ovided in this section
31 shall be r eleased and discharged fr om liability to the state accruing on the bond after
32 expiration of sixty days fr om the date upon which such sur ety lodges with the director a
33 written reque st to be released and discharged. This pro vision shall not operate to
34 r elieve, re lease, or discharge the sur ety fro m liability alread y accrued or which shall
35 accrue before the expiration of the sixty-day period. The dir ector shall, upon receivi ng
36 any such requ est, notify the manufactur er who furnished the bond. Unless the
37 manufactur er , on or before the expiration of the sixty-day period, files with the dir ector
38 a new bond, with the sur ety appr oved by and acceptable to the direc tor , the dir ector
39 shall r evoke the manufactur er's vapor pr oduct manufactur er license.
149.039. 1. Wholesalers and ret ailers shall pur chase cigarett es, alternative
2 nicotine prod ucts, vapor prod ucts, and tobacco pr oducts only fr om a manufactur er or
3 wholesaler who has obtained a valid tobacco prod uct manufactur er or wholesaler
4 license fr om the dir ector .
5 2. Retailers shall pur chase cigar ettes, alternative nicotine pr oducts, vapor
6 pr oducts, or tobacco pr oducts only fro m a wholesaler or manufactur er who has
7 obtained a license fr om the direc tor . Manufactur ers and wholesalers shall sell
8 cigar ettes, alternative nicotine pr oducts, vapor pro ducts, and tobacco pr oducts only to a
9 wholesaler or ret ailer who has obtained the applicable valid license or licenses fr om the
10 dir ector under the pr ovisions of this chapter and chapter 407.
HB 3206 8
11 3. Befor e selling cigar ettes, alternative nicotine pr oducts, vapor pr oducts, or
12 tobacco pro ducts to a wholesaler or reta iler , a manufactur er or wholesaler shall confirm
13 the purch aser has obtained the applicable valid license or licenses fro m the dir ector
14 under the pr ovisions of this chapter and chapter 407. Befor e pur chasing cigar ettes,
15 alternative nicotine pr oducts, vapor pro ducts, or tobacco prod ucts fr om a manufactur er
16 or wholesaler , a licensee shall confirm the seller has obtained the applicable valid license
17 or licenses fro m the dir ector .
18 4. Notwithstanding any other pr ovision of law , cigar ettes, alternative nicotine
19 pr oducts, vapor prod ucts, or tobacco pro ducts sold by a person or entity that lacks the
20 r equir ed license are contraband. The dir ector may seize and destr oy or dispose of such
21 pr oducts. The cost of such seizure and destruction or disposal shall be borne by the
22 person fr om whom the prod ucts ar e confiscated.
149.160. 1. A tax is levied upon the first sale of tobacco products, other than
2 cigarettes, within the state. The tax on tobacco products shall be at the rate of ten percent of
3 the manufacturer's invoice price before discounts and deals, and shall be paid by the person
4 making the first sale within the state. Licensed persons making first sales within the state
5 shall be allowed approved credit for returned merchandise provided the tax was paid on the
6 returned merchandise and the purchaser was given a refund or credit. Such licensed person
7 shall take such approved credit on the return for the month in which the purchaser was given
8 the refund or credit. For all tax years beginning on or after January 1, 2027, for the
9 purposes of the application of the tax imposed under this section, the term "tobacco
10 pr oducts" shall include alternative nicotine prod ucts and vapor pr oducts.
11 2. The tax shall not apply to tobacco products when the first sale within the state has
12 occurred on such tobacco products prior to October 1, 1993.
13 3. Amounts generated by the tax levied in this section shall be deposited in the health
14 initiatives fund created by section 191.831.
15 4. When the general assembly appropriates an amount equal to twenty-five percent of
16 the net federal reimbursement allowance to the health initiatives fund, this section shall
17 expire. As used in this section, "net federal reimbursement allowance" shall mean that
18 amount of the federal reimbursement allowance in excess of the amount of state matching
19 funds necessary for the state to make payments required by subsection 1 of section 208.471
20 or , if the payments exceed the amount so required, the actual payments made for the purposes
21 specified in subsection 1 of section 208.471.
149.190. 1. If the director is not satisfied that the report filed or the amount of tax
2 paid is accurate, he may , after investigating and upon finding such inaccuracy , make an
3 assessment of tax due based upon such investigation. The director shall give written notice
HB 3206 9
4 by registered or certified mail to the person of the assessment, addressed to the person at his
5 last known address.
6 2. If a person fails to file any return required by section 149.170, the director shall
7 make an estimate, based upon information available to him, for the period for which the
8 person failed to file the return and, upon the basis of the estimate, shall assess the tax due
9 from such person. The director shall give to the person written notice of the assessment by
10 registered or certified mail to the person's last known address.
11 3. Any person responsible for the tax imposed in section 149.160 who fails to pay
12 such tax within the time and manner required by law , shall pay , as part of the tax imposed, a
13 penalty equal to twenty-five percent of the tax liability , and the tax shall bear interest at the
14 rate established in section 32.065.
15 4. Any person not possessing a valid tobacco products manufactur er or wholesaler
16 license , a valid tobacco ret ail license as requ ired under section 407.934 if applicable, or
17 any other license requ ired by the department, and who is selling tobacco products ,
18 alternative nicotine pr oducts, or vapor prod ucts at retail within the state, [ when ] or any
19 person who possesses such valid license or licenses and is selling such prod ucts at reta il
20 within the state but such [ tobacco ] products have not been purchased from a licensed
21 wholesaler or manufactur er , shall be subject to all applicable provisions of subsections 1 to
22 3 of this section. Such person shall also be assessed an additional penalty equal to one
23 hundred percent of the tax owed.
24 5. Any person[ , other than a licensed wholesaler , ] making sales of tobacco products to
25 unlicensed retailers or wholesalers in the state shall be subject to all applicable provisions of
26 subsections 1 to 3 of this section. Such person shall also be assessed an additional penalty
27 equal to one hundred percent of the tax owed.
407.924. 1. The division of [ liquor ] alcohol and tobacco control within the
2 department of public safety shall implement and enforce the provisions of sections [ 407.925 ]
3 407.924 to 407.934.
4 2. Beginning January 1, 2003, the division of [ liquor ] alcohol and tobacco control
5 shall submit an annual report to the general assembly on the ef fectiveness of sections
6 [ 407.925 ] 407.924 to 407.934 in reducing tobacco prod uct, alternative nicotine pr oduct,
7 and vapor prod uct possession or use by minors and the enforcement activities by the
8 division for violations of sections [ 407.925 ] 407.924 to 407.934.
407.925. As used in sections [ 407.925 ] 407.924 to 407.934, the following terms
2 mean:
3 (1) "Alternative nicotine product", any noncombustible product containing nicotine
4 or a nicotine analogue that is intended for human consumption, whether chewed, absorbed,
5 dissolved, or ingested by any other means. Alternative nicotine product does not include any
HB 3206 10
6 vapor product, tobacco product , or any product regulated as a drug or device by the United
7 States Food and Drug Administration under Chapter V of the Food, Drug, and Cosmetic Act;
8 (2) "Center of youth activities", any playground, school or other facility , when such
9 facility is being used primarily by persons under the age of eighteen for recreational,
10 educational or other purposes;
11 (3) "Distribute", a conveyance to the public by sale, barter , gift or sample;
12 (4) "Division", the division of alcohol and tobacco control;
13 (5) "Minor", a person under the age of eighteen;
14 [ (5) ] (6) "Municipality", the city , village or town within which tobacco products,
15 alternative nicotine products or vapor products are sold or distributed or , in the case of
16 tobacco products, alternative nicotine products or vapor products that are not sold or
17 distributed within a city , village or town, the county in which they are sold or distributed;
18 (7) "Nicotine analogue":
19 (a) a. A substance, the chemical structur e of which is substantially similar to the
20 chemical structure of nicotine; or
21 b. A substance that has, purports to have, or is rep res ented to have an effect on
22 the central nervous system that is similar to or gr eater than the nicotine's effect on the
23 central nervous system;
24 (b) Factors releva nt to determining whether a substance is a nicotine analogue
25 include, but are not limited to, the marketing, advertising, and labeling of the substance
26 and whether the substance has been manufactur ed, formulated, sold, distributed, or
27 marketed with the intent to avoid the provi sions of this subdivision and other applicable
28 pr ovisions of law;
29 [ (6) ] (8) "Person", an individual, partnership, copartnership, firm, company , public or
30 private corporation, association, joint stock company , trust, estate, political subdivision or any
31 agency , board, department or bureau of the state or federal government, or any other legal
32 entity which is recognized by law as the subject of rights and duties;
33 [ (7) ] (9) "Proof of age", a driver's license or other generally accepted means of
34 identification that contains a picture of the individual and appears on its face to be valid;
35 [ (8) ] (10) "Rolling papers", paper designed, manufactured, marketed, or sold for use
36 primarily as a wrapping or enclosure for tobacco, which enables a person to roll loose tobacco
37 into a smokable cigarette;
38 [ (9) ] (1 1) "Sample", a tobacco product, alternative nicotine product, or vapor product
39 distributed to members of the general public at no cost or at nominal cost for product
40 promotional purposes;
41 [ (10) ] (12) "Sampling", the distribution to members of the general public of tobacco
42 product, alternative nicotine product or vapor product samples;
HB 3206 1 1
43 [ (1 1) ] (13) "T obacco products", any substance [containing tobacco leaf,] made or
44 derived fr om tobacco or nicotine that is intended for human consumption including, but
45 not limited to, cigarettes, cigars, pipe tobacco, snuf f, chewing tobacco, or dipping tobacco but
46 does not include alternative nicotine products, or vapor products;
47 [ (12) ] (14) "V apor product", any noncombustible product containing nicotine that
48 employs a heating element, power source, electronic circuit, or other electronic, chemical , or
49 mechanical means, regardless of shape or size, that can be used to produce vapor from
50 nicotine or a nicotine analogue in a solution or other form. V apor product includes any
51 electronic cigarette, electronic cigar , electronic cigarillo, electronic pipe, or similar product or
52 device and any vapor cartridge or other container of nicotine in a solution or other form that is
53 intended to be used with or in an electronic cigarette, electronic cigar , electronic cigarillo,
54 electronic pipe, or similar product or device. "V apor pr oduct" also includes any device
55 classified by the United States Food and Drug Administration as an electr onic nicotine
56 delivery system. V apor product does not include any alternative nicotine product or tobacco
57 product;
58 [ (13) ] (15) "V ending machine", any mechanical electric or electronic, self-service
59 device which, upon insertion of money , tokens or any other form of payment, dispenses
60 tobacco products, alternative nicotine products, or vapor products.
407.926. 1. Any person or entity who sells tobacco products, alternative nicotine
2 products, or vapor products shall deny the sale of such [ tobacco ] products to any person who
3 is less than eighteen years of age.
4 2. Any person or entity who sells or distributes tobacco products, alternative nicotine
5 products, or vapor products by mail or through the internet in this state in violation of
6 subsection 1 of this section shall be assessed a fine of two hundred fifty dollars for the first
7 violation and five hundred dollars for each subsequent violation.
8 3. Alternative nicotine products and vapor products shall only be sold to persons
9 eighteen years of age or older , shall be subject to local and state sales tax and licensing
10 r equir ements , [but shall not be otherwise] and shall be taxed [ or ] and regulated as tobacco
11 products.
12 4. (1) Any nicotine liquid container that is sold at retail in this state shall satisfy the
13 child-resistant ef fectiveness standards set forth in 16 CFR 1700.15(b) as in ef fect on August
14 28, 2015, when tested in accordance with the method described in 16 CFR 1700.20 as in
15 ef fect on August 28, 2015.
16 (2) For the purposes of this subsection, "nicotine liquid container" shall mean a bottle
17 or other container of liquid or other substance containing nicotine if the liquid or substance is
18 sold, marketed, or intended for use in a vapor product. A "nicotine liquid container" shall not
19 include a liquid or other substance containing nicotine or nicotine analogue in a cartridge
HB 3206 12
20 that is sold, marketed, or intended for use in a vapor product, provided that such cartridge is
21 prefilled and sealed by the manufacturer and not intended to be opened by the consumer .
22 (3) Any person who engages in retail sales of liquid nicotine containers in this state in
23 violation of this subsection shall be assessed a fine of two hundred fifty dollars for the first
24 violation and five hundred dollars for each subsequent violation.
25 (4) The department of health and senior services may adopt rules necessary to carry
26 out the provisions of this subsection. Any rule or portion of a rule, as that term is defined in
27 section 536.010, that is created under the authority delegated in this section shall become
28 ef fective only if it complies with and is subject to all of the provisions of chapter 536 and, if
29 applicable, section 536.028. This section and chapter 536 are nonseverable and if any of the
30 powers vested with the general assembly under chapter 536 to review , to delay the ef fective
31 date, or to disapprove and annul a rule are subsequently held unconstitutional, then the grant
32 of rulemaking authority and any rule proposed or adopted after August 28, 2015, shall be
33 invalid and void.
34 (5) The provisions of this subsection and any rules adopted hereunder shall be null,
35 void, and of no force and ef fect upon the ef fective date of the final regulations issued by the
36 federal Food and Drug Administration or from any other federal agency if such regulations
37 mandate child-resistant ef fectiveness standards for nicotine liquid containers.
407.927. The owner of an establishment at which tobacco products, alternative
2 nicotine products, vapor products, or rolling papers are sold at retail or through vending
3 machines shall cause to be prominently displayed in a conspicuous place at every display
4 from which tobacco products, alternative nicotine products, or vapor products are sold and on
5 every vending machine where [ tobacco ] such products are purchased a sign that shall:
6 (1) Contain in red lettering at least one-half inch high on a white background the
7 following: "It is a violation of state law for cigarettes, other tobacco products, alternative
8 nicotine products, or vapor products to be sold or otherwise provided to any person under the
9 age of eighteen or for such person to purchase, attempt to purchase or possess cigarettes, other
10 tobacco products, alternative nicotine products , or vapor products."; and
11 (2) Include a depiction of a pack of cigarettes at least two inches high defaced by a
12 red diagonal diameter of a surrounding red circle, and the words "Under 18".
407.928. No person or entity shall sell individual packs of cigarettes , tobacco
2 pr oducts, alternative nicotine prod ucts, vapor prod ucts, or smokeless tobacco products
3 unless such packs or pr oducts satisfy one of the following conditions prior to the time of
4 sale:
5 (1) It is sold through a vending machine; or
6 (2) It is displayed behind the check-out counter or it is within the unobstructed line of
7 sight of the sales clerk or store attendant from the checkout counter .
HB 3206 13
407.929. 1. A person or entity selling tobacco products, alternative nicotine products,
2 or vapor products or rolling papers or distributing tobacco product, alternative nicotine
3 product, or vapor product samples shall require proof of age from a prospective purchaser or
4 recipient if an ordinary person would conclude on the basis of appearance that such
5 prospective purchaser or recipient may be under the age of eighteen.
6 2. The operator's or chauf feur's license issued pursuant to the provisions of section
7 302.177, or the operator's or chauf feur's license issued pursuant to the laws of any state or
8 possession of the United States to residents of those states or possessions, or an identification
9 card as provided for in section 302.181, or the identification card issued by any uniformed
10 service of the United States, or a valid passport shall be presented by the holder thereof upon
11 request of any agent of the division [ of liquor control ] or any owner or employee of an
12 establishment that sells tobacco pr oducts , alternative nicotine products, or vapor products,
13 for the purpose of aiding the registrant, agent , or employee to determine whether or not the
14 person is at least eighteen years of age when such person desires to purchase or possess
15 tobacco products, alternative nicotine products, or vapor products procured from a registrant.
16 Upon such presentation, the owner or employee of the establishment shall compare the
17 photograph and physical characteristics noted on the license, identification card or passport
18 with the physical characteristics of the person presenting the license, identification card , or
19 passport.
20 3. Any person who shall, without authorization from the department of revenue,
21 reproduce, alter , modify , or misrepresent any chauf feur's license, motor vehicle operator's
22 license , or identification card shall be deemed guilty of a misdemeanor and upon conviction
23 shall be subject to a fine of not more than one thousand dollars, and confinement for not more
24 than one year , or by both such fine and imprisonment.
25 4. Reasonable reliance on proof of age or on the appearance of the purchaser or
26 recipient shall be a defense to any action for a violation of subsections 1, 2 and 3 of section
27 407.931. No person shall be liable for more than one violation of subsections 2 and 3 of
28 section 407.931 on any single day .
407.930. 1. For the purposes of this section, "tobacco substitute" means any
2 alternative nicotine pr oducts or vapor pr oducts that have not been appr oved by the
3 United States Food and Drug Administration for tobacco cessation or other medical
4 purposes.
5 2. No person shall market, advertise, sell, or cause to be sold a tobacco substitute
6 if the pr oduct's container , packaging, or advertising:
7 (1) Depicts a cartoon-like fictional character that mimics a character primarily
8 aimed at entertaining minors;
HB 3206 14
9 (2) Imitates or mimics trademarks or trade dr ess of prod ucts that are or have
10 been primarily marketed to minors;
11 (3) Includes a symbol that is primarily used to market pr oducts to minors;
12 (4) Includes an image of a celebrity; or
13 (5) Is designed to disguise the fact that it is a tobacco substitute.
14 3. No person shall market, advertise, sell, or cause to be sold a tobacco substitute
15 that has entertainment featur es, such as the ability to play games, play music or other
16 audio, display photos or video, or any similar electr onic entertainment featur es.
17 4. No person shall market, advertise, sell, or cause to be sold a tobacco substitute
18 that contains, is mixed with, or is marketed as containing or being mixed with any
19 cannabinoids, alcohol, kratom, kava, mushr ooms containing psilocybin or psilocin,
20 tianeptine, or any derivatives of those substances.
407.931. 1. It shall be unlawful for any person to sell, provide or distribute tobacco
2 products, alternative nicotine products, or vapor products to persons under eighteen years of
3 age.
4 2. All vending machines that dispense tobacco products, alternative nicotine products,
5 or vapor products shall be located within the unobstructed line of sight and under the direct
6 supervision of an adult responsible for preventing persons less than eighteen years of age
7 from purchasing any tobacco product, alternative nicotine product, or vapor product from
8 such machine or shall be equipped with a lock-out device to prevent the machines from being
9 operated until the person responsible for monitoring sales from the machines disables the
10 lock. Such locking device shall be of a design that prevents it from being left in an unlocked
11 condition and which will allow only a single sale when activated. A locking device shall not
12 be required on machines that are located in areas where persons less than eighteen years of
13 age are not permitted or prohibited by law . An owner of an establishment whose vending
14 machine is not in compliance with the provisions of this subsection shall be subject to the
15 penalties contained in subsection 5 of this section. A determination of noncompliance may be
16 made by a local law enforcement agency or the division [ of liquor control ]. Nothing in this
17 section shall apply to a vending machine if located in a factory , private club or other location
18 not generally accessible to the general public.
19 3. No person or entity shall sell, provide or distribute any tobacco product, alternative
20 nicotine product, or vapor product or rolling papers to any minor , or sell any individual
21 cigarettes to any person in this state. This subsection shall not apply to the distribution by
22 family members on property that is not open to the public.
23 4. Any person including, but not limited to, a sales clerk, owner or operator who
24 violates subsection 1, 2 or 3 of this section or section 407.927 shall be penalized as follows:
25 (1) For the first of fense, twenty-five dollars;
HB 3206 15
26 (2) For the second offense, one hundred dollars;
27 (3) For a third and subsequent of fense, two hundred fifty dollars.
28 5. Any owner of the establishment where tobacco products, alternative nicotine
29 products, or vapor products are available for sale who violates subsection 3 of this section, in
30 addition to the penalties established in subsection 4 of this section, shall be penalized in the
31 following manner:
32 (1) For the first violation per location within two years, a reprimand shall be issued by
33 the division [ of liquor control ];
34 (2) For the second violation per location within two years, the division [ of liquor
35 control ] shall issue a citation prohibiting the outlet from selling tobacco products, alternative
36 nicotine products, or vapor products for a twenty-four -hour period;
37 (3) For the third violation per location within two years, the division [ of liquor
38 control ] shall issue a citation prohibiting the outlet from selling tobacco products, alternative
39 nicotine products, or vapor products for a forty-eight-hour period;
40 (4) For the fourth and any subsequent violations per location within two years, the
41 division [ of liquor control ] shall issue a citation prohibiting the outlet from selling tobacco
42 products , alternative nicotine pr oducts, or vapor pr oducts for a five-day period.
43 6. Any owner of the establishment where tobacco products , alternative nicotine
44 pr oducts, or vapor pr oducts are available for sale who violates subsection 3 of this section
45 shall not be penalized pursuant to this section if such person documents the following:
46 (1) An in-house or other tobacco compliance employee training program was in place
47 to provide the employee with information on the state and federal regulations regarding sales
48 of tobacco products, alternative nicotine products, or vapor products to minors. Such training
49 program must be attended by all employees who sell tobacco products, alternative nicotine
50 products, or vapor products to the general public;
51 (2) A signed statement by the employee stating that the employee has been trained
52 and understands the state laws and federal regulations regarding the sale of tobacco products,
53 alternative nicotine products, or vapor products to minors; and
54 (3) Such in-house or other tobacco compliance training meets the minimum training
55 criteria, which shall not exceed a total of ninety minutes in length, established by the division
56 [ of liquor control ].
57 7. The exemption in subsection 6 of this section shall not apply to any person who is
58 considered the general owner or operator of the outlet where tobacco products, alternative
59 nicotine products, or vapor products are available for sale if:
60 (1) Four or more violations per location of subsection 3 of this section occur within a
61 one-year period; or
HB 3206 16
62 (2) Such person knowingly violates or knowingly allows his or her employees to
63 violate subsection 3 of this section.
64 8. If a sale is made by an employee of the owner of an establishment in violation of
65 sections [ 407.925 ] 407.924 to 407.934, the employee shall be guilty of an of fense established
66 in subsections 1, 2 and 3 of this section. If a vending machine is in violation of section
67 407.927, the owner of the establishment shall be guilty of an of fense established in
68 subsections 3 and 4 of this section. If a sample is distributed by an employee of a company
69 conducting the sampling, such employee shall be guilty of an of fense established in
70 subsections 3 and 4 of this section.
71 9. A person cited for selling, providing or distributing any tobacco product,
72 alternative nicotine product, or vapor product to any individual less than eighteen years of age
73 in violation of subsection 1, 2 or 3 of this section shall conclusively be presumed to have
74 reasonably relied on proof of age of the purchaser or recipient, and such person shall not be
75 found guilty of such violation if such person raises and proves as an affir mative defense that
76 such individual presented a driver's license or other government-issued photo identification
77 purporting to establish that such individual was eighteen years of age or older .
78 10. Any person adversely affected by this section may file an appeal with the
79 administrative hearing commission which shall be adjudicated pursuant to the procedures
80 established in chapter 621.
407.934. 1. No person shall sell , provi de, or distribute cigarettes, tobacco products,
2 alternative nicotine products, or vapor products unless the person has a retail sales tax license
3 and a tobacco ret ail license .
4 2. (1) The department of revenue shall permit persons to designate through the
5 internet or by including a place on all sales tax license applications for the applicant to
6 designate himself or herself as a seller of cigar ettes, tobacco products, alternative nicotine
7 products, or vapor products and to provide a list of all locations where the applicant sells such
8 products.
9 (2) All persons selling, pr oviding, or distributing tobacco pr oducts, alternative
10 nicotine prod ucts, or vapor prod ucts shall also apply to the department of reven ue for a
11 tobacco reta il license. The department of r evenue also shall make available thr ough the
12 internet the application for the tobacco ret ail license. A separate license is r equir ed for
13 each reta il location wher e the applicant sells such pr oducts. A license shall be valid for
14 twelve months and shall be r enewed annually . The fee for a license is two hundr ed
15 dollars per year .
16 (3) Retailers that sell tobacco prod ucts, alternative nicotine pr oducts, or vapor
17 pr oducts shall be subject to an initial inspection within ninety days of receiv ing a
18 tobacco ret ail license. Thereaf ter , re tailers shall be subject to, at minimum, two
HB 3206 17
19 unannounced inspections. The division shall seize any pr oducts not in compliance with
20 this chapter or chapter 149, and the reta iler shall be subject to a follow-up inspection
21 within thirty days following a violation.
22 (4) The department of reven ue may deny an application and re fuse to issue or
23 r enew a license, or may suspend or r evoke a license issued to any person if it determines
24 that the licensee or the principals or managers at the licensable location of the applicant
25 or licensee have been found guilty of any fraud or misr epresent ation in any connection;
26 convicted of ro bbery , extortion, burglary , lar ceny , embezzlement, fraudulent
2 7 conversion, gambling, perjury , bribery , tr eason, tax evasion, or racketeering; or
28 convicted of a felony within the last five years. The department of reve nue may deny an
29 application and re fuse to issue or renew a license if ther e is a reas onable basis to
30 determine the application is filed by a person as subterfuge for a differe nt party of
31 inter est whose license has previ ously been denied, canceled, or r evoked for cause or a
32 violation under this chapter , chapter 149, or other applicable prov ision of law .
33 (5) The department of reven ue and the division of alcohol and tobacco contr ol
34 may pr omulgate all necessary rules and regul ations for the administration of this
35 subsection.
36 3. On or before July first of each year , the department of revenue shall make available
37 to the division [ of liquor control ] and the department of mental health a complete list of every
38 establishment which sells cigarettes, other tobacco products, alternative nicotine products, or
39 vapor products in this state.
40 4. The division [ of liquor control ] shall have the authority to inspect stores and
41 tobacco outlets for compliance with all laws related to access of tobacco products, alternative
42 nicotine products, or vapor products to minors. The division may employ a person seventeen
43 years of age, with parental consent, to attempt to purchase tobacco for the purpose of
44 inspection or enforcement of tobacco laws.
45 5. The supervisor of the division [ of liquor control ] shall not use minors to enforce the
46 provisions of this chapter unless the supervisor promulgates rules that establish standards for
47 the use of minors. The supervisor shall establish mandatory guidelines for the use of minors
48 in investigations by a state, county , municipal or other local law enforcement authority which
49 shall be followed by such authority and which shall, at a minimum, provide for the following:
50 (1) The minor shall be seventeen years of age;
51 (2) The minor shall have a youthful appearance, and the minor , if a male, shall not
52 have facial hair or a receding hairline and if a female, shall not wear excessive makeup or
53 excessive jewelry;
HB 3206 18
54 (3) The state, county , municipal or other local law enforcement agency shall obtain
55 the consent of the minor's parent or legal guardian before the use of such minor on a form
56 approved by the supervisor;
57 (4) The state, county , municipal or other local law enforcement agency shall make a
58 photocopy of the minor's valid identification showing the minor's correct date of birth;
59 (5) Any attempt by such minor to purchase tobacco products, alternative nicotine
60 products, or vapor products shall be videotaped or audiotaped with equipment suf ficient to
61 record all statements made by the minor and the seller of the [ tobacco ] product;
62 (6) The minor shall carry his or her own identification showing the minor's correct
63 date of birth and shall, upon request, produce such identification to the seller of the tobacco
64 product, alternative nicotine product, or vapor product;
65 (7) The minor shall answer truthfully any questions about his or her age and shall not
66 remain silent when asked questions regarding his or her age;
67 (8) The minor shall not lie to the seller of the tobacco product, alternative nicotine
68 product, or vapor product to induce a sale of [ tobacco ] such products;
69 (9) The minor shall not be employed by the state, county , municipal or other local law
70 enforcement agency on an incentive or quota basis;
71 (10) The state, county , municipal or other local law enforcement agency shall, within
72 forty-eight hours, contact or take all reasonable steps to contact the owner or manager of the
73 establishment if a violation occurs;
74 (1 1) The state, county , municipal or other local law enforcement agency shall
75 maintain records of each visit to an establishment where a minor is used by the state, county ,
76 municipal or other local law enforcement agency for a period of at least one year following
77 the incident, regardless of whether a violation occurs at each visit, and such records shall, at a
78 minimum, include the following information:
79 (a) The signed consent form of the minor's parent or legal guardian;
80 (b) A Polaroid photograph of the minor;
81 (c) A photocopy of the minor's valid identification, showing the minor's correct date
82 of birth;
83 (d) An information sheet completed by the minor on a form approved by the
84 supervisor; and
85 (e) The name of each establishment visited by the minor , and the date and time of
86 each visit.
87 6. If the state, county , municipal or other local law enforcement authority uses minors
88 in investigations or in enforcing or determining violations of this chapter or any local
89 ordinance and does not comply with the mandatory guidelines established by the supervisor
90 of [ liquor ] alcohol and tobacco control in subsection 5 of this section, the supervisor of
HB 3206 19
91 [ liquor ] alcohol and tobacco control shall not take any disciplinary action against the
92 establishment or seller pursuant to this chapter based on an alleged violation discovered when
93 using a minor and shall not cooperate in any way with the state, county , municipal or other
94 local law enforcement authority in prosecuting any alleged violation discovered when using a
95 minor .
96 7. Any commissioned law enforcem ent officer in the state may inspect the
97 tobacco pr oducts, alternative nicotine pr oducts, or vapor pr oducts offer ed for sale by a
98 r etailer and shall seize any pr oducts not in compliance with the terms of this chapter or
99 chapter 149. The cost of such seizur e and destruction or disposal shall be borne by the
100 person fr om whom the prod ucts ar e confiscated.
✔
HB 3206 20