Vaping & Gambling Addiction Prev. Strategies.

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025
S 1
SENATE BILL 533

Short Title: Vaping & Gambling Addiction Prev. Strategies. (Public)
Sponsors: Senator Burgin (Primary Sponsor).
Referred to: Rules and Operations of the Senate
March 26, 2025
*S533-v-1*
A BILL TO BE ENTITLED 1
AN ACT RAISING THE M INIMUM AGE TO ACCESS TOBACCO PRODUCTS, 2
INCLUDING SMART VAPES AND OTHER VAPOR PRODUCTS; BROADENING THE 3
REQUIRED VAPOR PRODU CTS LICENSE REQUIREM ENT; AND PROVIDING 4
FUNDING FOR GAMBLING ADDICTION EDUCATION AND TREATMENT 5
PROGRAMS THROUGH GAM ING REVENUES COLLECT ED BY THE LOTTERY 6
COMMISSION. 7
The General Assembly of North Carolina enacts: 8
9
PART I. REVISIONS TO RAISE THE MINIMUM A GE TO ACCESS TOBACCO 10
PRODUCTS, INCLUDING SMART VAPES AND OTHER VAPOR PRODUCTS 11
SECTION 1.1.(a) G.S. 14-313 reads as rewritten: 12
"§ 14-313. Youth access to tobacco products, alternative nicotine products, vapor products, 13
and cigarette wrapping papers. 14
(a) Definitions. – The following definitions apply in this section: 15
… 16
(2) Proof of age. – A drivers license or other photographic identification that 17
includes the bearer's date of birth that purports to establish that the person is 18
18 21 years of age or older. 19
… 20
(5) Vapor product. – Any noncombustible product that employs a mechanical 21
heating element, battery, or electronic circuit regardless of shape or size and 22
that can be used to heat a consumable product. The term includes an electronic 23
cigarette, electronic cigar, electronic cigarillo, and electronic pipe. The term 24
also includes smart vapes and related products that are vapor products that 25
have designs and functionalities that resemble smart technolog y, including 26
phones and gaming devices. The term does not include any product regulated 27
by the United States Food and Drug Administration under Chapter V of the 28
federal Food, Drug, and Cosmetic Act. 29
… 30
(b) Sale or Distribution to Persons Under the Age of 18 21 Years. – If any person shall 31
distribute, or aid, assist, or abet any other person in distributing tobacco products or cigarette 32
wrapping papers to any person under the age of 18 21 years, or if any person shall purchase 33
tobacco products or cigarette wrapping papers on behalf of a person under the age of 18 21 years, 34
the person shall be guilty of a Class 2 misdemeanor; provided, however, that i t shall not be 35
unlawful to distribute tobacco products or cigarette wrapping papers to an employee when 36
General Assembly Of North Carolina Session 2025
Page 2 Senate Bill 533-First Edition
required in the performance of the employee's duties. Retail distributors of tobacco products shall 1
prominently display near the point of sale a sign in letters at least five -eighths of an inch high 2
which states the following: 3
N.C. LAW STRICTLY PROHIBITS 4
THE PURCHASE OF TOBACCO PRODUCTS, ALTERNATIVE NICOTINE PRODUCTS, 5
VAPOR PRODUCTS, AND CIGARETTE WRAPPING PAPERS 6
BY PERSONS UNDER THE AGE OF 18.21. 7
PROOF OF AGE REQUIRED. 8
Failure to post the required sign shall be an infraction punishable by a fine of twenty-five dollars 9
($25.00) for the first offense and seventy-five dollars ($75.00) for each succeeding offense. 10
A person engaged in the sale of tobacco products or cigarette wrapping papers shall demand 11
proof of age from a prospective purchaser if the person has reasonable grounds to believe that 12
the prospective purchaser is under 18 21 years of age. Failure to demand proof of age as required 13
by this subsection is a Class 2 misdemeanor if in fact the prospective purchaser is under 18 21 14
years of age. Retail distributors of tobacco products or cigarette wrapping papers shall train their 15
sales employees in the requirements of this law. Proof of any of the following shall be a defense 16
to any action brought under this subsection: 17
(1) The defendant demanded, was shown, and reasonably relied upon proof of age 18
in the case of a retailer, or any other documentary or written evidence of age 19
in the case of a nonretailer. 20
(2) The defendant relied on the electronic system established and operated by the 21
Division of Motor Vehicles pursuant to G.S. 20-37.02. 22
(3) The defendant relied on a biometric identification system that demonstrated 23
(i) the purchaser's age to be at least th e required age for the purchase and (ii) 24
the purchaser had previously registered with the seller or seller's agent a 25
drivers license, a special identification card issued under G.S. 20-37.7, a 26
military identification card, or a passport showing the purchaser's date of birth 27
and bearing a physical description of the person named on the card. 28
(b1) Distribution of Tobacco Products. – Tobacco products shall not be distributed in 29
vending machines; provided, however, vending machines distributing tobacco products are 30
permitted (i) in any establishment which is open only to persons 18 21 years of age and older; or 31
(ii) in any establishment if the vending machine is under the continuous control of the owner or 32
licensee of the premises or an employee thereof and can be operated only upon activation by the 33
owner, licensee, or employee prior to each purchase and the vending machine is not accessible 34
to the public when the establishment is closed. The owner, licensee, or employee shall demand 35
proof of age from a prospect ive purchaser if the person has reasonable grounds to believe that 36
the prospective purchaser is under 18 21 years of age. Failure to demand proof of age as required 37
by this subsection is a Class 2 misdemeanor if in fact the prospective purchaser is under 18 21 38
years of age. Proof that the defendant demanded, was shown, and reasonably relied upon proof 39
of age shall be a defense to any action brought under this subsection. Any person distributing 40
tobacco products through vending machines in violation of this subsection shall be guilty of a 41
Class 2 misdemeanor. 42
(b2) Internet Distribution of Tobacco Products. – A person engaged in the distribution of 43
tobacco products through the Internet or other remote sales methods shall perform an age 44
verification through an independent, third -party age verification service that compares 45
information available from public records to the personal information entered by the individual 46
during the ordering process to establish that the individual ordering the tobacco products is 18 47
21 years of age or older. 48
(c) Purchase By Persons Under the Age of 18 21 Years. – If any person under the age of 49
18 21 years purchases or accepts receipt, or attempts to purchase or accept receipt, of tobacco 50
products or cigarette wrapping papers, or presents or offers to any person any purported proof of 51
General Assembly Of North Carolina Session 2025
Senate Bill 533-First Edition Page 3
age which is false, fraudulent, or not actually his or her own, for the purpose of purchasing or 1
receiving any tobacco product or cigarette wrapping papers, the person shall be guilty of a Class 2
2 misdemeanor; provided, however, that it shall not be unlawful for an employee to purchase or 3
accept receipt of tobacco products or cigarette wrapping papers when required in the performance 4
of the employee's duties. 5
(d) Sending or Assisting a Person [Less Than] 18 21 Years to Purchase or Receive 6
Tobacco Products or Cigarette Wrapping Papers. – If any person shall send a person less than 18 7
21 years of age to purchase, acquire, receive, or attempt to purchase, acquire, or receive tobacco 8
products or cigarette wrapping papers, or if any person shall aid or abet a person who is less than 9
18 21 years of age in purchasing, acquiring, or receiving or attempting to purchase, acquire, or 10
receive tobacco products or cigarette wrapping papers, the person shall be guilty of a Class 2 11
misdemeanor; provided, however, persons under the age of 18 21 may be enlisted by police or 12
local sheriffs' departments to test compliance if the testing is under the direct supervision of that 13
law enforcement department and written parental consent is provided; provided further, that the 14
Department of Health and Human Services shall have the authority, pursuant to a written plan 15
prepared by the Secretary of Health and Human Services, to use persons under 18 21 years of 16
age in annual, random, unannounced inspections, provided that prior written parental consent is 17
given for the involvement of these persons and that the inspections are conducted for the sole 18
purpose of preparing a scientifically and methodologically valid statistical study of the extent of 19
success the State has achieved in reducing the availability of tobacco products to persons under 20
the age of 18, 21, and preparing any report to the extent required by section 1926 of the federal 21
Public Health Service Act (42 USC § 300x-26). 22
…." 23
SECTION 1.1.(b) This Part becomes effective December 1, 2025, and applies to 24
offenses committed on or after that date. 25
26
PART II. REVISIONS T O BROADEN THE VAPOR PRODUCTS LICENSE 27
REQUIREMENT 28
SECTION 2.1.(a) G.S. 105-113.39A(a2) reads as rewritten: 29
"(a2) Vapor Products License. – A wholesale dealer or a retail dealer must obtain a vapor 30
products license for all of the following locations: 31
(1) Each location where a wholesale dealer makes vapor products. 32
(2) Each location where a wholesale dealer or a retail d ealer receives or stores 33
non-tax-paid vapor products. 34
(3) Each location from where a retail dealer that is a delivery seller or a remote 35
seller receives or stores non -tax-paid vapor products for delivery sales if the 36
location is a location other than the l ocation described in subdivision (2) of 37
this subsection. 38
(4) Each location from where a retail dealer receives or stores tax -paid vapor 39
products if the location is a location other than the location described in 40
subdivision (2) of this subsection." 41
SECTION 2.1.(b) This Part becomes effective December 1, 2025. 42
43
PART III. FUNDING FO R GAMBLING ADDICTION EDUCATION AND 44
TREATMENT PROGRAMS THROUGH GAMING REVENUES COLLECTED BY THE 45
LOTTERY COMMISSION 46
SECTION 3.1. G.S. 105-113.128 reads as rewritten: 47
"§ 105-113.128. Use of tax proceeds. 48
The Secretary shall distribute the taxes collected under this Article, less the allowance to the 49
Department of Revenue and reimbursement to the Lottery Commission for administrative 50
expenses, in accordance with this section. The Secretary may retain the cost of administering this 51
General Assembly Of North Carolina Session 2025
Page 4 Senate Bill 533-First Edition
Article, not to exceed five hundred thousand dollars ($500,000) a year, as reimbursement to the 1
Department. The Lottery Commission shall, no later than 20 days after the end of the month, 2
notify the Department of its unreimbursed expenses from administering the provisions of Article 3
9 of Chapter 18C of the General Statutes from the previous month. The Department shall 4
reimburse the Lottery Commission from the tax revenues collected under this Article no later 5
than the end of the month in which the Department was notified. The remainder of the net 6
proceeds of the tax collected under this Article are to be credited in the following priority: 7
(1) Two Twelve million dollars ($2,000,000) ($12,000,000) annually to the 8
Department of Health and Human Services for the following: 9
a. Five million four hundred thousand dollars ($5,400,000) for gambling 10
addiction education and treatment programs.programs and recovery 11
support services. 12
b. Four million two hundred thousand d ollars ($4,200,000) for 13
prevention initiatives, including school-based programs. 14
c. Two million four hundred thousand dollars ($2, 400,000) for a 15
statewide public awareness campaign. 16
…." 17
SECTION 3.2.(a) From the tax proceeds credited to the Department of Health and 18
Human Services pursuant to G.S. 105-113.128, as amended by this act, the Department of Health 19
and Human Services shall do all of the following: 20
(1) Develop a statewide public awareness campaign about gambling addiction. In 21
developing this campaign, the Department shall consult with addiction 22
specialists and individuals who have lived experience with gambling 23
addiction to (i) develop materials and initiatives to raise public awareness 24
about the risks, potential harms, and addictive nature of gambling and (ii) 25
promote resources for the prevention and treatment of gambling addiction. 26
The statewide public awareness campaign shall include at least all of the 27
following components: 28
a. Factual, evidence-based information about gambling addiction risks 29
and warning signs. 30
b. Specific messaging about youth gambling and digital gambling 31
platforms. 32
c. Real stories and testimonials from North Carolinians affected by 33
gambling addiction. 34
d. Clear information about how to access treatment and support services 35
for gambling addiction. 36
e. Availability of information in multiple languages reflecting North 37
Carolina's diverse population. 38
f. Targeted messaging for high-risk populations as identified by current 39
research. 40
g. Utilization of multiple media channels, including social media, 41
television, radio, and community-based outreach. 42
(2) Establish and administer a grant program that awards directed grants on a 43
competitive basis to nonprofit organizations to impleme nt or expand 44
evidence-based gambling prevention and treatment programs. The 45
Department of Health and Human Services shall develop an application 46
process and eligibility criteria for the grant program authorized by this 47
subdivision. 48
(3) Expand access to treatment programs and services for individuals and families 49
affected by gambling addiction. 50
General Assembly Of North Carolina Session 2025
Senate Bill 533-First Edition Page 5
(4) Support gambling prevention initiatives targeting students in grades K -12, 1
including efforts to raise awareness about gambling addiction among students 2
and provide educational resources on the risks associated with gambling. 3
SECTION 3.2.(b) Annually by February 28, beginning February 28, 2026, the 4
Department of Health and Human Services shall report to the Joint Legislative Oversight 5
Committee on Health and Human Services and the Fiscal Research Division on the use of the tax 6
proceeds credited to the Department of Health and Human Services pursuant to 7
G.S. 105-113.128, as amended by this act. The report shall include, at a minimum, all of the 8
following information for the preceding fiscal year: 9
(1) The number of grants awarded under Section 3.2(a)(2) of this act, the identity 10
and a brief description of each grantee, and the amount of grant funds awarded 11
to each grantee. 12
(2) An itemized list of gambling addiction tre atment programs and services 13
funded by these proceeds and for each, an itemized list of expenditures. 14
(3) The number of individuals served by each program or receiving services 15
described in subdivision (2) of this subsection. 16
(4) An evaluation of the effec tiveness of the programs and services funded by 17
these proceeds using objective performance evaluation metrics. 18
SECTION 3.2.(c) This section becomes effective July 1, 2025, and applies to gross 19
wagering revenue received on or after that date. 20
21
PART IV. EFFECTIVE DATE 22
SECTION 4.1. Except as otherwise provided, this act is effective when it becomes 23
law. 24