Non-nicotine Inhalation Product Amendments

42
4-41-102
4-41-402
26B-7-501
26B-7-505
26B-7-523
59-14-802
59-14-803
59-14-804
59-14-805
59-14-806
59-14-809
59-14-810
76-9-1101
76-9-1120
HB0265
HB0385
4-45a-101
0
Non-nicotine Inhalation Product Amendments
2026 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Jason E. Thompson
Senate Sponsor: Brady Brammer
LONG TITLE
General Description:
This bill addresses non-nicotine inhalation products.
Highlighted Provisions:
This bill:
requires a non-nicotine inhalation product and a non-nicotine inhalation substance to be
registered;
establishes civil penalties for selling an unregistered non-nicotine inhalation product or
non-nicotine inhalation substance;
creates the criminal offense of illegal distribution of a cannabinoid inhalation product or a
cannabinoid inhalation substance;
clarifies that a cannabinoid product does not include an electronic cigarette;
defines terms;
includes a clause coordinating this bill and H.B. 385, Specialized Product Sales
Amendments; and
makes technical and conforming changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
This bill provides a special effective date.
This bill provides a coordination clause.
Utah Code Sections Affected:
AMENDS:
4-41-102
, as last amended by Laws of Utah 2025, Chapter 114
4-41-402
, as last amended by Laws of Utah 2023, Chapters 146, 327
26B-7-501
, as last amended by Laws of Utah 2025, Chapter 173
26B-7-505
, as last amended by Laws of Utah 2025, Chapter 173
59-14-802
, as last amended by Laws of Utah 2020, Chapter 347
59-14-803
, as last amended by Laws of Utah 2020, Chapter 347
59-14-804
, as last amended by Laws of Utah 2023, Chapter 300
59-14-805
, as enacted by Laws of Utah 2020, Chapter 347
59-14-806
, as enacted by Laws of Utah 2020, Chapter 347
59-14-809
, as enacted by Laws of Utah 2023, Chapter 531 and last amended by
Coordination Clause, Laws of Utah 2023, Chapter 531
59-14-810
, as last amended by Laws of Utah 2025, Chapter 173
76-9-1101
, as renumbered and amended by Laws of Utah 2025, Chapter 173
ENACTS:
26B-7-523
, Utah Code Annotated 1953
76-9-1120
, Utah Code Annotated 1953
Utah Code Sections Affected by Coordination Clause:
4-45a-101
, as enacted by H.B. 385
Be it enacted by the Legislature of the state of Utah:
Section 1. Section
4-41-102
is amended to read:
4-41-102
. Definitions.
As used in this chapter:
(1)
"Adulterant" means any poisonous or deleterious substance in a quantity that may be
injurious to human health, including:
(a)
pesticides;
(b)
heavy metals;
(c)
solvents;
(d)
microbial life;
(e)
artificially derived cannabinoids;
(f)
toxins; or
(g)
foreign matter.
(2)
(a)
"Artificially derived cannabinoid" means a chemical substance that is created by a
chemical reaction that changes the molecular structure of any chemical substances
derived from the cannabis plant.
(b)
"Artificially derived cannabinoid" does not include:
(i)
a naturally occurring chemical substance that is separated from the cannabis plant
by a chemical or mechanical extraction process; or
(ii)
cannabinoids that are produced by decarboxylation from a naturally occurring
cannabinoid acid without the use of a chemical catalyst.
(3)
"Cannabidiol" or "CBD" means the cannabinoid identified as CAS# 13956-29-1.
(4)
"Cannabidiolic acid" or "CBDA" means the cannabinoid identified as CAS# 1244-58-2.
(5)
"Cannabinoid processor license" means a license that the department issues to a person
for the purpose of processing a cannabinoid product.
(6)
"Cannabinoid product" means a product that:
(a)
contains or is represented to contain one or more naturally occurring cannabinoids;
(b)
contains less than the cannabinoid product THC level, by dry weight;
(c)
contains a combined amount of total THC and any THC analog that does not exceed
10% of the total cannabinoid content;
(d)
does not exceed a total of THC and any THC analog that is greater than:
(i)
5 milligrams per serving; and
(ii)
150 milligrams per package;
and
(e)
unless the product is in an oil based suspension, has a serving size that:
(i)
is an integer; and
(ii)
is a discrete unit of the cannabinoid product
.
;
(f)
is not an electronic cigarette as that term is defined in Section
76-9-1101
; and
(g)
is not a cannabinoid substance that is intended for use in an electronic cigarette.
(7)
"Cannabinoid product class" means a group of cannabinoid products that:
(a)
have all ingredients in common; and
(b)
are produced by or for the same company.
(8)
"Cannabinoid product THC level" means a combined concentration of total THC and
any THC analog of less than 0.3% on a dry weight basis if laboratory testing confirms a
result within a measurement of uncertainty that includes the combined concentration of
0.3%.
(9)
"Cannabis" means the same as that term is defined in Section
26B-4-201
.
(10)
"Delta-9-tetrahydrocannabinol" or "delta-9-THC" means the cannabinoid identified as
CAS# 1972-08-3, the primary psychotropic cannabinoid in cannabis.
(11)
"Industrial hemp" means any part of a cannabis plant, whether growing or not, with a
concentration of less than 0.3% tetrahydrocannabinol by dry weight.
(12)
"Industrial hemp producer registration" means a registration that the department issues
to a person for the purpose of processing industrial hemp or an industrial hemp product.
(13)
(a)
"Industrial hemp product" means a product made by processing industrial hemp
plants or industrial hemp parts.
(b)
"Industrial hemp product" does not include cannabinoid material or a cannabinoid
product.
(14)
"Industrial hemp retailer permit" means a permit that the department issues to a retailer
who sells any viable industrial hemp seed or cannabinoid product.
(15)
"Key participant" means any of the following:
(a)
a licensee;
(b)
an operation manager;
(c)
a site manager; or
(d)
an employee who has access to any industrial hemp material with a THC
concentration above 0.3%.
(16)
"Licensee" means a person possessing a cannabinoid processor license that the
department issues under this chapter.
(17)
"Newly identified cannabinoid" means a cannabinoid that:
(a)
is not expressly identified by chemical name or CAS number in this chapter; and
(b)
is identified by the department under Section
4-41-405
.
(18)
"Non-compliant material" means:
(a)
a hemp plant that does not comply with this chapter, including a cannabis plant with
a concentration of 0.3% tetrahydrocannabinol or greater by dry weight;
(b)
a cannabinoid product, chemical, or compound with a concentration that exceeds the
cannabinoid product THC level; and
(c)
a cannabinoid product containing any of the following:
(i)
delta-9-tetrahydrocannabiphorol (THCP), the cannabinoid identified as CAS#
54763-99-4;
(ii)
delta-8-tetrahydrocannabiphorol (THCP), the cannabinoid identified as CAS#
51768-60-6;
(iii)
delta-9-tetrahyrdocannabinol (THC) acetate, the cannabinoid identified as CAS#
23132-17-4;
(iv)
delta-8-tetrahydrocannabinol (THC) acetate, the cannabinoid identified as CAS#
23050-54-6;
(v)
9(s)-hexahydrocannabinol (HHC), the cannabinoid identified as CAS#
36403-91-5; or
(vi)
9(r)-hexahyrdocannabinol (HHC), the cannabinoid identified as CAS#
36403-90-4.
(19)
"Permittee" means a person possessing a permit that the department issues under this
chapter.
(20)
"Person" means:
(a)
an individual, partnership, association, firm, trust, limited liability company, or
corporation; and
(b)
an agent or employee of an individual, partnership, association, firm, trust, limited
liability company, or corporation.
(21)
"Retailer permittee" means a person possessing an industrial hemp retailer permit that
the department issues under this chapter.
(22)
"Tetrahydrocannabinol" or "THC" means a delta-9-tetrahydrocannabinol, the
cannabinoid identified as CAS# 1972-08-3.
(23)
(a)
"THC analog" means a substance that is structurally or pharmacologically
substantially similar to, or is represented as being similar to, delta-9-THC.
(b)
"THC analog" does not include the following substances or the naturally occurring
acid forms of the following substances:
(i)
cannabichromene (CBC), the cannabinoid identified as CAS# 20675-51-8;
(ii)
cannabicyclol (CBL), the cannabinoid identified as CAS# 21366-63-2;
(iii)
cannabidiol (CBD), the cannabinoid identified as CAS# 13956-29-1;
(iv)
cannabidivarol (CBDV), the cannabinoid identified as CAS# 24274-48-4;
(v)
cannabielsoin (CBE), the cannabinoid identified as CAS# 52025-76-0;
(vi)
cannabigerol (CBG), the cannabinoid identified as CAS# 25654-31-3;
(vii)
cannabigerovarin (CBGV), the cannabinoid identified as CAS# 55824-11-8;
(viii)
cannabinol (CBN), the cannabinoid identified as CAS#
521-35-7
;
(ix)
cannabivarin (CBV), the cannabinoid identified as CAS# 33745-21-0; or
(x)
delta-9-tetrahydrocannabivarin (THCV), the cannabinoid identified as CAS#
31262-37-0.
(24)
"Total cannabidiol" or "total CBD" means the combined amounts of cannabidiol and
cannabidiolic acid, calculated as "total CBD = CBD + (CBDA x 0.877)".
(25)
"Total tetrahydrocannabinol" or "total THC" means the sum of the determined
amounts of delta-9-THC, tertrahydrocannabinolic acid, calculated as "total THC =
delta-9-THC + (THCA x 0.877)".
(26)
"Transportable industrial hemp concentrate" means any amount of a natural
cannabinoid in a purified state that:
(a)
is the product of any chemical or physical process applied to naturally occurring
biomass that concentrates or isolates the cannabinoids contained in the biomass;
(b)
is derived from a cannabis plant that, based on sampling that was collected no more
than 30 days before the day on which the cannabis plant was harvested, contains a
combined concentration of total THC and any THC analog of less than 0.3% on a dry
weight basis;
(c)
has a THC and THC analog concentration total that is less than 20% when
concentrated from the cannabis plant to the purified state; and
(d)
is intended to be processed into a cannabinoid product.
Section 2. Section
4-41-402
is amended to read:
4-41-402
. Cannabinoid sales and use authorized.
(1)
The sale or use of a cannabinoid product is prohibited:
(a)
except as provided in this chapter; or
(b)
unless the United States Food and Drug Administration approves the product.
(2)
The department shall keep a list of registered cannabinoid products that the department
has determined, in accordance with Section
4-41-403
, are safe for human consumption.
(3)
(a)
A person may sell or use a cannabinoid product that is in the list of registered
cannabinoid products described in Subsection
(2)
.
(b)
An individual may use cannabidiol or a cannabidiol product that is not in the list of
registered cannabinoid products described in Subsection
(2)
if:
(i)
the individual purchased the product outside the state; and
(ii)
the product's contents do not violate
Title 58, Chapter 37, Utah Controlled
Substances Act
.
(4)
Any marketing for a cannabinoid product shall include a notice to consumers that the
product is hemp or CBD and is not cannabis or medical cannabis, as those terms are
defined in Section
26B-4-201
.
(5)
A cannabinoid product that is designed to be inhaled shall include a warning on the
label regarding the possible health effects of inhaling cannabinoid products.
Section 3. Section
26B-7-501
is amended to read:
26B-7-501
. Definitions.
As used in this part:
(1)
"Community location" means the same as that term is defined:
(a)
as it relates to a municipality, in Section
10-8-41.6
; and
(b)
as it relates to a county, in Section
17-50-333
.
(2)
"Electronic cigarette" means the same as that term is defined in Section
76-9-1101
.
(3)
"Electronic cigarette product" means the same as that term is defined in Section
76-9-1101
.
(4)
"Electronic cigarette substance" means the same as that term is defined in Section
76-9-1101
.
(5)
"Employee" means an employee of a tobacco retailer.
(6)
"Enforcing agency" means the department, or any local health department enforcing the
provisions of this part.
(7)
"General tobacco retailer" means a tobacco retailer that is not a retail tobacco specialty
business.
(8)
"Local health department" means the same as that term is defined in Section
26A-1-102
.
(9)
"Manufacture" includes:
(a)
to cast, construct, or make electronic cigarettes; or
(b)
to blend, make, process, or prepare an electronic cigarette substance.
(10)
"Manufacturer sealed electronic cigarette product" means:
(a)
an electronic cigarette substance or container that the electronic cigarette
manufacturer does not intend for a consumer to open or refill; or
(b)
a prefilled electronic cigarette as that term is defined in Section
76-9-1101
.
(10)
(11)
"Manufacturer sealed electronic cigarette substance" means an electronic
cigarette substance that is sold in a container that:
(a)
is prefilled by the electronic cigarette substance manufacturer; and
(b)
the electronic cigarette manufacturer does not intend for a consumer to open.
(11)
"Manufacturer sealed electronic cigarette product" means:
(a)
an electronic cigarette substance or container that the electronic cigarette
manufacturer does not intend for a consumer to open or refill; or
(b)
a prefilled electronic cigarette as that term is defined in Section
76-9-1101
.
(12)
"Nicotine" means the same as that term is defined in Section
76-9-1101
.
(13)
"Nicotine product" means the same as that term is defined in Section
76-9-1101
.
(14)
"Non-nicotine inhalation product" means the same as that term is defined in Section
76-9-1101
.
(15)
"Non-nicotine inhalation substance" means the same as that term is defined in Section
76-9-1101
.
(14)
(16)
"Non-tobacco shisha" means any product that:
(a)
does not contain tobacco or nicotine; and
(b)
is smoked or intended to be smoked in a hookah or water pipe.
(15)
(17)
"Owner" means a person holding a 20% ownership interest in the business that is
required to obtain a permit under this part.
(16)
(18)
"Permit" means a tobacco retail permit issued under Section
26B-7-507
.
(17)
(19)
"Place of public access" means any enclosed indoor place of business,
commerce, banking, financial service, or other service-related activity, whether publicly
or privately owned and whether operated for profit or not, to which persons not
employed at the place of public access have general and regular access or which the
public uses, including:
(a)
buildings, offices, shops, elevators, or restrooms;
(b)
means of transportation or common carrier waiting rooms;
(c)
restaurants, cafes, or cafeterias;
(d)
taverns as defined in Section
32B-1-102
, or cabarets;
(e)
shopping malls, retail stores, grocery stores, or arcades;
(f)
libraries, theaters, concert halls, museums, art galleries, planetariums, historical sites,
auditoriums, or arenas;
(g)
barber shops, hair salons, or laundromats;
(h)
sports or fitness facilities;
(i)
common areas of nursing homes, hospitals, resorts, hotels, motels, "bed and
breakfast" lodging facilities, and other similar lodging facilities, including the
lobbies, hallways, elevators, restaurants, cafeterias, other designated dining areas, and
restrooms of any of these;
(j)
(i)
any child care facility or program subject to licensure or certification under this
title, including those operated in private homes, when any child cared for under
that license is present; and
(ii)
any child care, other than child care as defined in Section
26B-2-401
, that is not
subject to licensure or certification under this title, when any child cared for by the
provider, other than the child of the provider, is present;
(k)
public or private elementary or secondary school buildings and educational facilities
or the property on which those facilities are located;
(l)
any building owned, rented, leased, or otherwise operated by a social, fraternal, or
religious organization when used solely by the organization members or the
members' guests or families;
(m)
any facility rented or leased for private functions from which the general public is
excluded and arrangements for the function are under the control of the function
sponsor;
(n)
any workplace that is not a place of public access or a publicly owned building or
office but has one or more employees who are not owner-operators of the business;
(o)
any area where the proprietor or manager of the area has posted a conspicuous sign
stating "no smoking", "thank you for not smoking", or similar statement; and
(p)
a holder of a bar establishment license, as defined in Section
32B-1-102
.
(18)
(20)
(a)
"Proof of age" means:
(i)
a valid identification card issued under
Title 53, Chapter 3, Part 8, Identification
Card Act
;
(ii)
a valid identification that:
(A)
is substantially similar to an identification card issued under
Title 53, Chapter
3, Part 8, Identification Card Act
;
(B)
is issued in accordance with the laws of a state other than Utah in which the
identification is issued;
(C)
includes date of birth; and
(D)
has a picture affixed;
(iii)
a valid driver license certificate that is issued under
Title 53, Chapter 3, Uniform
Driver License Act
, or in accordance with the laws of the state in which the valid
driver license is issued;
(iv)
a valid United States military identification card that:
(A)
includes date of birth; and
(B)
has a picture affixed; or
(v)
a valid passport.
(b)
"Proof of age" does not include a valid driving privilege card issued in accordance
with Section
53-3-207
.
(19)
(21)
"Publicly owned building or office" means any enclosed indoor place or portion
of a place owned, leased, or rented by any state, county, or municipal government, or by
any agency supported by appropriation of, or by contracts or grants from, funds derived
from the collection of federal, state, county, or municipal taxes.
(20)
(22)
"Retail tobacco specialty business" means the same as that term is defined:
(a)
as it relates to a municipality, in Section
10-8-41.6
; and
(b)
as it relates to a county, in Section
17-50-333
.
(21)
(23)
"Shisha" means any product that:
(a)
contains tobacco or nicotine; and
(b)
is smoked or intended to be smoked in a hookah or water pipe.
(22)
(24)
"Smoking" means:
(a)
the possession of any lighted or heated tobacco product in any form;
(b)
inhaling, exhaling, burning, or carrying any lighted or heated cigar, cigarette, pipe, or
hookah that contains:
(i)
tobacco or any plant product intended for inhalation;
(ii)
shisha or non-tobacco shisha;
(iii)
nicotine;
(iv)
a natural or synthetic tobacco substitute; or
(v)
a natural or synthetic flavored tobacco product;
(c)
using an electronic cigarette; or
(d)
using an oral smoking device intended to circumvent the prohibition of smoking in
this part.
(23)
(25)
"Tax commission license" means a license issued by the State Tax Commission
under:
(a)
Section
59-14-201
to sell a cigarette at retail;
(b)
Section
59-14-301
to sell a tobacco product at retail; or
(c)
Section
59-14-803
to sell an electronic cigarette product or a nicotine product.
(24)
(26)
"Tobacco product" means:
(a)
a tobacco product as defined in Section
76-9-1101
; or
(b)
tobacco paraphernalia as defined in Section
76-9-1101
.
(25)
(27)
"Tobacco retailer" means a person that is required to obtain a tax commission
license.
Section 4. Section
26B-7-505
is amended to read:
26B-7-505
. Electronic cigarette products -- Labeling -- Requirements to sell --
Advertising -- Labeling of nicotine products containing nicotine.
(1)
The department shall, in consultation with a local health department and with input from
members of the public, establish by rule made in accordance with Title 63G, Chapter 3,
Utah Administrative Rulemaking Act, the requirements to sell an electronic cigarette
substance that is not a manufacturer sealed electronic cigarette substance regarding:
(a)
labeling;
(b)
nicotine content;
(c)
packaging; and
(d)
product quality.
(2)
On or before January 1, 2021, the department shall, in consultation with a local health
department and with input from members of the public, establish by rule made in
accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
requirements to sell a manufacturer sealed electronic cigarette product regarding:
(a)
labeling;
(b)
nicotine content;
(c)
packaging; and
(d)
product quality.
(3)
(a)
A person may not sell an electronic cigarette substance unless the electronic
cigarette substance complies with the requirements established by the department
under Subsection
(1)
.
(b)
Beginning on July 1, 2021, a person may not sell a manufacturer sealed electronic
cigarette product unless the manufacturer sealed electronic cigarette product complies
with the requirements established by the department under Subsection
(2)
.
(c)
Notwithstanding Subsections
(3)(a)
and
(3)(b)
, beginning on January 1, 2025, a
person may not sell an electronic cigarette product that is not
a premarket authorized
or pending electronic cigarette product as that term is defined in Section
76-9-1101
.
on the electronic cigarette product registry created in Section
59-14-810
.
(4)
(a)
A local health department may not enact a rule or regulation regarding electronic
cigarette substance labeling, nicotine content, packaging, or product quality that is
not identical to the requirements established by the department under Subsections
(1)

and
(2)
.
(b)
Except as provided in Subsection
(4)(c)
, a local health department may enact a rule
or regulation regarding electronic cigarette substance manufacturing.
(c)
A local health department may not enact a rule or regulation regarding a
manufacturer sealed electronic cigarette product.
(5)
A person may not advertise an electronic cigarette product as a tobacco cessation device.
(6)
(a)
Any nicotine product shall contain the statement described in Subsection
(6)(b)
if
the nicotine product:
(i)
(A)
is not a tobacco product as defined in 21 U.S.C. Sec. 321 and related federal
regulations; or
(B)
is not otherwise required under federal or state law to contain a nicotine
warning; and
(ii)
contains nicotine.
(b)
A statement shall appear on the exterior packaging of a nicotine product described in
Subsection
(6)(a)
as follows:
"This product contains nicotine."
Section 5. Section
26B-7-523
is enacted to read:
26B-7-523
. Non-nicotine inhalation product -- Penalty.
(1)
A person may not sell a non-nicotine inhalation product or a non-nicotine inhalation
substance unless the product is contained in the registry described in Section
59-14-810
.
(2)
The department, a local health department, and the Department of Agriculture and Food
shall enforce this section under the procedures of Title 63G, Chapter 4, Administrative
Procedures Act, as an informal adjudicative proceeding, including:
(a)
notifying a retailer of alleged violations;
(b)
conducting hearings;
(c)
determining violations; and
(d)
imposing civil administrative penalties.
(3)
If a violation is found in an investigation by an enforcing agency or law enforcement,
the enforcing agency shall:
(a)
on a first violation, impose a penalty of $1,500;
(b)
on a second violation, impose a penalty of $5,000; and
(c)
(i)
on a third violation, impose a penalty of $6,000; and
(ii)
revoke the permit of the retailer.
(4)
(a)
Except when a transfer described in Subsection
(5)
occurs, a local health
department may not issue a permit to:
(i)
a retailer for whom a permit is revoked under Subsection
(3)
; or
(ii)
a retailer that has the same proprietor, director, corporate officer, partner, or other
holder of significant interest as another retailer for whom a permit is revoked
under Subsection
(3)
.
(b)
A person whose permit is revoked under this section may not apply for a new permit
for a period of 24 months after the day on which an enforcing agency revokes the
permit.
(5)
Violations of this section shall stay on the record for the retailer unless:
(a)
the retailer is transferred to a new proprietor; and
(b)
the new proprietor provides documentation to the local health department that the
new proprietor is acquiring the tobacco retailer in an arm's length transaction from
the previous proprietor.
(6)
At a civil hearing for enforcement under Subsection
(2)
or
(3)
, evidence of the final
criminal conviction of a person for violating Section
76-9-1115
is prima facie evidence
of a violation of this section.
Section 6. Section
59-14-802
is amended to read:
59-14-802
. Definitions.
As used in this part:
(1)
"Licensee" means a person that holds a valid license to sell an electronic cigarette
product or a nicotine product.
(2)
(a)
"Manufacturer's sales price" means the amount that the manufacturer of an
electronic cigarette substance, a prefilled electronic cigarette, an alternative nicotine
product, a nontherapeutic nicotine device substance, or a prefilled nontherapeutic
nicotine device charges after subtracting a discount.
(b)
"Manufacturer's sales price" includes an original Utah destination freight charge,
regardless of:
(i)
whether the electronic cigarette substance, prefilled electronic cigarette,
alternative nicotine product, nontherapeutic nicotine device substance, or prefilled
nontherapeutic nicotine device is shipped f.o.b. origin or f.o.b. destination; or
(ii)
who pays the original Utah destination freight charge.
(3)
"Non-nicotine inhalation product" means the same as that term is defined in Section
76-9-1101
.
(4)
"Non-nicotine inhalation substance" means the same as that term is defined in Section
76-9-1101
.
(5)
"Premarket authorized or pending electronic cigarette product" means the same as that
term is defined in Section
76-9-1101
.
Section 7. Section
59-14-803
is amended to read:
59-14-803
. License to sell electronic cigarette product or nicotine product.
(1)
A person may not sell, offer to sell, or distribute an electronic cigarette product or a
nicotine product in this state without first:
(a)
except as provided in Subsection
(2)
, obtaining a license from the commission under
this section to sell an electronic cigarette product or a nicotine product; and
(b)
complying with any bonding requirement described in Subsection
(5)
.
(2)
A person that holds a valid license to sell cigarettes under Section
59-14-201
or a person
that holds a valid license to sell tobacco products under Section
59-14-301
may, without
obtaining a separate license in accordance with this section, sell, offer to sell, or
distribute an electronic cigarette product or a nicotine product in this state.
(3)
The commission shall issue a license to sell an electronic cigarette product or a nicotine
product to a person that submits an application, on a form created by the commission,
that includes:
(a)
the person's name;
(b)
the address of the facility where the person will sell an electronic cigarette product or
a nicotine product; and
(c)
any other information the commission requires to implement this chapter.
(4)
A license described in Subsection
(3)
is:
(a)
valid only at one fixed business address;
(b)
valid for three years;
(c)
valid only for a physical location; and
(d)
renewable if a licensee meets the criteria for licensing described in Subsection
(3)
.
(5)
(a)
The commission shall require a manufacturer, jobber, distributor, wholesaler, or
retailer that is responsible under this part for the collection of tax on an electronic
cigarette
substance, a prefilled electronic cigarette
product
, an alternative nicotine
product,
or
a nontherapeutic nicotine
device substance, or a prefilled nontherapeutic
nicotine device
product
to post a bond.
(b)
The manufacturer, jobber, distributor, wholesaler, or retailer may post the bond
required by Subsection
(5)(a)
in combination with any bond required by Section
59-14-201
or
59-14-301
.
(c)
Subject to Subsection
(5)(d)
, the commission shall determine the form and amount of
the bond.
(d)
The minimum amount of the bond shall be:
(i)
except as provided in Subsection
(5)(d)(ii)
or
(iii)
, $500;
(ii)
if the manufacturer, jobber, distributor, wholesaler, or retailer posts the bond
required by Subsection
(5)(a)
in combination with a bond required by either
Section
59-14-201
or
59-14-301
, $1,000; or
(iii)
if the manufacturer, jobber, distributor, wholesaler, or retailer posts the bond
required by Subsection
(5)(a)
in combination with a bond required by both
Sections
59-14-201
and
59-14-301
, $1,500.
(6)
The commission may make rules in accordance with
Title 63G, Chapter 3, Utah
Administrative Rulemaking Act
, to establish the additional information described in
Subsection
(3)(c)
that a person shall provide in the application described in Subsection
(3)
.
(7)
It is a class B misdemeanor for a person to violate Subsection
(1)
.
(8)
The commission may not charge a fee for a license under this section.
Section 8. Section
59-14-804
is amended to read:
59-14-804
. Taxation of electronic cigarette product, alternative nicotine product,
nontherapeutic nicotine product.
(1)
A tax is imposed upon:
(a)
an electronic cigarette product;
(b)
a nontherapeutic nicotine product; and
(c)
an alternative nicotine product.
(a)
Beginning on July 1, 2020, a tax is imposed upon the following:
(i)
an electronic cigarette substance; and
(ii)
a prefilled electronic cigarette.
(b)
Beginning on July 1, 2021, a tax is imposed upon the following:
(i)
a nontherapeutic nicotine device substance; and
(ii)
a prefilled nontherapeutic nicotine device.
(c)
Beginning on July 1, 2021, a tax is imposed upon an alternative nicotine product.
(2)
(a)
The amount of tax imposed under Subsections
(1)(a)
and
(b)
is .56 multiplied by
the manufacturer's sales price.
(b)
(i)
The tax under Subsection
(1)(c)
on an alternative nicotine product is imposed:
(A)
at a rate of $1.83 per ounce; and
(B)
on the basis of the net weight of the alternative nicotine product as listed by
the manufacturer.
(ii)
If the net weight of the alternative nicotine product is in a quantity that is a
fractional part of one ounce, a proportionate amount of the tax described in
Subsection
(2)(b)(i)(A)
is imposed:
(A)
on that fractional part of one ounce; and
(B)
in accordance with rules made by the commission in accordance with
Title
63G, Chapter 3, Utah Administrative Rulemaking Act
.
(3)
If a product is sold in the same package as a product that is taxed under Subsection
(1)
,
the tax described in Subsection
(2)
shall apply to the wholesale manufacturer's sale price
of the entire packaged product.
(4)
(a)
A manufacturer, jobber, distributor, wholesaler, retailer, consumer, or user shall
pay the tax levied under Subsection
(1)
at the time that an electronic cigarette
substance, a prefilled electronic cigarette
product
, an alternative nicotine product,
or
a nontherapeutic nicotine
device substance, or a prefilled nontherapeutic nicotine
device
product
is first received in the state.
(b)
A manufacturer, jobber, distributor, wholesaler, retailer, consumer, or user may not
resell an electronic cigarette
substance, a prefilled electronic cigarette
product
, an
alternative nicotine product,
or
a nontherapeutic nicotine
device substance, or a
prefilled nontherapeutic nicotine device
product
to another distributor, another
retailer, or a consumer before paying the tax levied under Subsection
(1)
.
(5)
(a)
The manufacturer, jobber, distributor, wholesaler, retailer, consumer, or user shall
remit the taxes collected in accordance with this section to the commission.
(b)
The commission shall deposit revenues generated by the tax imposed by this section
into the Electronic Cigarette Substance and Nicotine Product Proceeds Restricted
Account created in Section
59-14-807
.
Section 9. Section
59-14-805
is amended to read:
59-14-805
. Remittance of tax -- Returns -- Invoice required -- Filing
requirement-- Exception -- Penalty -- Overpayment.
(1)
(a)
The manufacturer, jobber, distributor, wholesaler, retailer, consumer, or user that
collects the tax imposed on an electronic cigarette
substance, a prefilled electronic
cigarette
product
, an alternative nicotine product,
or
a nontherapeutic nicotine
device substance, or a prefilled nontherapeutic nicotine device
product
shall remit to
the commission, in an electronic format approved by the commission:
(i)
the tax collected in the previous calendar quarter; and
(ii)
the quarterly tax return.
(b)
The tax collected and the return are due on or before the last day of April, July,
October, and January.
(2)
(a)
A manufacturer, jobber, distributor, wholesaler, retailer, or any other person
selling an electronic cigarette
substance, a prefilled electronic cigarette
product
, an
alternative nicotine product,
or
a nontherapeutic nicotine
device substance, or a
prefilled nontherapeutic nicotine device
product
to a person other than the ultimate
consumer shall furnish the purchaser with an itemized invoice showing:
(i)
the seller's name and address;
(ii)
the name and address of the purchaser;
(iii)
the date of sale;
(iv)
the name and price of the product; and
(v)
the discount, if any.
(b)
The invoice shall show whether the price includes the tax.
(c)
The seller and the purchaser shall retain copies of the invoice and make the invoice
available for inspection at the request of the commission or the commission's agent
for a period of three years following the sale.
(3)
(a)
A consumer that purchases an untaxed electronic cigarette
substance, prefilled
electronic cigarette
product
, alternative nicotine product,
or a
nontherapeutic nicotine
device substance, or prefilled nontherapeutic nicotine device
product
for use or other
consumption shall:
(i)
file with the commission, on forms prescribed by the commission, a statement
showing the quantity and description of the item subject to tax under this part; and
(ii)
pay the tax imposed by this part on that item.
(b)
The consumer shall file the statement described in
Subsection
(3)(a)
(i)
and pay the
tax due on or before the last day of the month immediately following the month
during which the consumer purchased an untaxed electronic cigarette
substance,
prefilled electronic cigarette
product
, alternative nicotine
device substance
product
,

or a
nontherapeutic nicotine product
, or prefilled nontherapeutic nicotine device
.
(c)
A consumer shall maintain records necessary to determine the amount of tax the
consumer is liable to pay under this part for a period of three years following the date
on which the statement required by this section was filed.
(4)
A tourist who imports an untaxed electronic cigarette
substance, a prefilled electronic
cigarette
product
, an alternative nicotine product,
or
a nontherapeutic nicotine
device
substance, or a prefilled nontherapeutic nicotine device
product
into the state does not
need to file the statement described in Subsection
(3)
or pay the tax if the item is for the
tourist's own use or consumption while in this state.
(5)
In addition to the tax required by this part, a person shall pay a penalty as provided in
Section
59-1-401
, plus interest at the rate and in the manner prescribed in Section
59-1-402
, if a person subject to this section fails to:
(a)
pay the tax prescribed by this part;
(b)
pay the tax on time; or
(c)
file a return required by this part.
(6)
An overpayment of a tax imposed by this part shall accrue interest at the rate and in the
manner prescribed in Section
59-1-402
.
Section 10. Section
59-14-806
is amended to read:
59-14-806
. Refund of taxes paid -- Exemption for exported electronic cigarettes
and nicotine products.
(1)
When an electronic cigarette
substance, a prefilled electronic cigarette
product
, an
alternative nicotine product,
or
a nontherapeutic nicotine
device substance, or a
prefilled nontherapeutic nicotine device
product
taxed under this chapter is sold and
shipped to a regular dealer in those articles in another state, the seller in this state shall
be entitled to a refund of the actual amount of the taxes paid, upon condition that the
seller in this state:
(a)
is a licensed dealer;
(b)
signs an affidavit that the electronic cigarette
substance, the prefilled electronic
cigarette
product
, the alternative nicotine product,
or
the nontherapeutic nicotine
device substance, or the prefilled nontherapeutic nicotine device
product
was sold
and shipped to a regular dealer in those articles in another state;
(c)
furnishes, from the purchaser, a written acknowledgment that the purchaser has
received the electronic cigarette
substance, the prefilled electronic cigarette
product
,
the alternative nicotine product,
or
the nontherapeutic nicotine
device substance, or
the prefilled nontherapeutic nicotine device
product
; and
(d)
reports the name and address of the purchaser.
(2)
A wholesaler or distributor in this state that exports an electronic cigarette
substance, a
prefilled electronic cigarette
product
, an alternative nicotine product,
or
a nontherapeutic
nicotine
device substance, or a prefilled nontherapeutic nicotine device
product
to a
regular dealer in those articles in another state shall be exempt from the payment of any
tax under this chapter upon furnishing proof of the sale and exportation as the
commission may require.
Section 11. Section
59-14-809
is amended to read:
59-14-809
. Commission study on enforcement and collection of tax.
(1)
The commission shall:
(a)
implement increased enforcement of the tax imposed by this part; and
(b)
study issues related to increased enforcement and compliance with the requirements
of this part.
(2)
The study shall include a review of:
(a)
the impact of increased enforcement on collections of the tax imposed by this part;
(b)
options for long-term funding of increased enforcement of the tax imposed by this
part;
(c)
the sufficiency of collections of the tax imposed by this part to fund distributions
from the Electronic Cigarette Substance and Nicotine Product Proceeds Restricted
Account under Section
59-14-807
;
(d)
impacts of a lack of federal regulation of electronic cigarettes on enforcement and
compliance efforts; and
(e)
potential impacts on compliance of changing the incidence of taxation to a tax
imposed on the retail sale of an electronic cigarette
substance or prefilled electronic
cigarette
product
.
(3)
The commission shall annually report the commission's findings and recommendations
on the study items described in Subsections
(2)(a)
through
(d)
(e)
to the Revenue and
Taxation Interim Committee on or before the September interim meeting.
(4)
The commission shall report the commission's findings and recommendations on the
study item described in Subsection
(2)(e)
to the Revenue and Taxation Interim
Committee on or before the September 2023 interim meeting.
Section 12. Section
59-14-810
is amended to read:
59-14-810
. Electronic cigarette product registry.
(1)
Beginning on August 1, 2024, every manufacturer of an electronic cigarette product that
is sold in this state, whether directly or through a distributor, wholesaler, retailer, or
similar intermediary or intermediaries, shall certify under penalty of perjury on a form
and in the manner prescribed by the commission, that
:
the manufacturer agrees to
comply with this section and:
(a)
the manufacturer agrees to comply with this section; and
(b)
the electronic cigarette product is a premarket authorized or pending electronic
cigarette product as defined in Section
76-9-1101
and will not be illegal to be sold in
the state as of January 1, 2025.
(a)
for an electronic cigarette product that contains nicotine, that the product is a
premarket authorized or pending electronic cigarette product;
(b)
for an electronic cigarette product that is a non-nicotine inhalation product, that the
product is approved for sale in interstate commerce by the United States Food and
Drug Administration; or
(c)
for an electronic cigarette product that is a non-nicotine inhalation substance, that the
product is a premarket authorized or pending electronic cigarette product.
(2)
When submitting the certification a manufacturer shall submit a form that separately
lists each electronic cigarette product that is sold in this state.
(3)
(a)
Each certification form shall include:
(i)
the name of the electronic cigarette product, nicotine content level by percentage,
and any flavors contained in the product;
(ii)
for an electronic cigarette product that contains nicotine:
(A)
a copy of the order granting a premarket tobacco product application of the
electronic cigarette product by the United States Food and Drug
Administration under 21 U.S.C. Sec. 387j(c)(1)(A)(i); or
(B)
evidence that the premarket tobacco product application for the electronic
cigarette product or nicotine product was submitted to the United States Food
and Drug Administration before September 9, 2020, and a final authorization
or order has not yet taken effect;
(iii)
for an electronic cigarette product that is a non-nicotine inhalation product,
evidence that the product is approved for sale in interstate commerce by the
United States Food and Drug Administration;
(iv)
for an electronic cigarette product that is a non-nicotine inhalation substance:
(A)
a copy of the order granting a premarket tobacco product application of the
electronic cigarette product by the United States Food and Drug
Administration under 21 U.S.C. Sec. 387j(c)(1)(A)(i); or
(B)
evidence that the premarket tobacco product application for the electronic
cigarette product was submitted to the United States Food and Drug
Administration before September 9, 2020, and a final authorization or order
has not yet taken effect;
(iii)
(v)
a nonrefundable $1,000 fee for an electronic cigarette product that is being
added to the registry in the first instance; and
(iv)
(vi)
information described in Subsection
(10)
if applicable.
(b)
The commission shall make the materials submitted under Subsection
(3)(a)

available to the Department of Health and Human Services for review and approval.
(c)
A manufacturer required to submit a certification form under this section shall notify
the commission and the Department of Health and Human Services in a manner
prescribed by the commission within 30 days of any material change making the
certification form no longer accurate, including:
(i)
the issuance or denial of a marketing authorization or other order by the United
States Food and Drug Administration under 21 U.S.C. Sec. 387j; or
(ii)
any other order or action by the United States Food and Drug Administration or
any court that affects the ability of the electronic cigarette product to be
introduced or delivered into interstate commerce for commercial distribution in
the United States.
(d)
On or before January 31 of each year and in a manner prescribed by the commission,
a manufacturer shall:
(i)
recertify that the information contained in the certification is correct and accurate;
(ii)
correct or amend information if necessary; and
(iii)
pay a $250 nonrefundable fee for each electronic cigarette product on the registry
that is manufactured by the manufacturer.
(e)
A manufacturer may amend a certification, including to add additional electronic
cigarette products to the registry, if all requirements of this section are met.
(f)
The commission shall:
(i)
provide an electronic notification to a manufacturer that has not submitted a
recertification under Subsection
(3)(d)
; and
(ii)
remove a manufacturer or an electronic cigarette product that is not recertified
from the registry by March 15.
(4)
(a)
The Department of Health and Human Services shall review materials described
in Subsection
(3)(a)
and notify the commission regarding whether an electronic
cigarette product should be included in the registry.
(b)
On or before October 1, 2024, the commission shall make publicly available on the
commission's website a registry that lists each electronic cigarette product
manufacturer and each electronic cigarette product for which certification forms have
been approved by the Department of Health and Human Services.
(c)
An electronic cigarette product may not be listed on the registry unless the
Department of Health and Human Services determines the requirements of
Subsection
(3)(a)
are met.
(d)
An electronic cigarette product that contains a cannabinoid may not be listed on the
registry.
(5)
(a)
If the Department of Health and Human Services obtains information that an
electronic cigarette product should not be listed in the registry, the Department of
Health and Human Services shall provide the manufacturer notice and an opportunity
to cure deficiencies before notifying the commission to remove the manufacturer or
products from the registry.
(b)
Except as provided in Subsection
(5)(c)
, the Department of Health and Human
Services shall comply with Title 63G, Chapter 4, Administrative Procedures Act,
before notifying the commission to remove an electronic cigarette product or
manufacturer from the registry.
(c)
Subsection
(5)(b)
does not apply to a manufacturer failing:
(i)
to decertify an electronic cigarette product;
(ii)
to provide fees and documentation described in Subsection
(3)(a)
or
(3)(d)
; or
(iii)
to comply with Subsection
(10)
.
(6)
(a)
If a product is removed from the registry, each retailer, distributor, and wholesaler
shall have 30 days from the day on which the product is removed from the registry to
remove the product from any inventory and return the product to the manufacturer for
disposal.
(b)
After the period described in Subsection
(6)(a)
, any electronic cigarette product of a
manufacturer identified in the notice of removal are contraband and are subject to
penalties under Subsection
(8)
and seizure, forfeiture, and destruction under Section
26A-1-131
.
(7)
(a)
Beginning on January 1, 2025, a person may not sell or offer for retail sale an
electronic cigarette product in this state that is not included in the registry.
(b)
A manufacturer may not sell, either directly or through a distributor, wholesaler,
retailer, or similar intermediary or intermediaries, an electronic cigarette product in
this state that is not included in the registry.
(8)
(a)
A wholesaler, distributor, or retailer who sells or offers for retail sale an electronic
cigarette product in this state that is not included in the registry shall be subject to a
civil penalty of:
(i)
$1,000 for each product offered for sale in violation of this section; and
(ii)
$100 per day until the offending product is removed from the market or until the
offending product is properly listed on the registry.
(b)
The commission shall suspend the person's license issued under Section
59-14-803

for a violation of Subsection
(8)(a)
as follows:
(i)
for a second violation within a 12-month period, at least 14 days;
(ii)
for a third violation within a 12-month period, at least 60 days; or
(iii)
for a fourth violation within a 12-month period, at least one year.
(c)
A manufacturer whose electronic cigarette products are not listed in the registry and
are sold in this state, whether directly or through a distributor, wholesaler, retailer, or
similar intermediary or intermediaries, is subject to a civil penalty of:
(i)
$1,000 for each product offered for retail sale in violation of this section; and
(ii)
$100 per day until the offending product is removed from the market or until the
offending product is properly listed on the registry.
(d)
A manufacturer that falsely represents any information required by a certification
form described in this section shall be guilty of a class C misdemeanor for each false
representation.
(e)
A repeated violation of this section shall constitute a deceptive act or practice as
provided in Sections
13-11-4
and
13-11a-3
and shall be subject to any remedies or
penalties available for a violation of those sections.
(9)
(a)
To assist in ensuring compliance and enforcement of this section and Section
26A-1-131
, the commission shall disclose to the following entities, upon request, any
information obtained under this section:
(i)
the Department of Health and Human Services;
(ii)
a local health department; or
(iii)
the attorney general.
(b)
The commission and attorney general shall share with each other information
received under this section, or corresponding laws of other states.
(10)
(a)
(i)
The commission may not list a nonresident manufacturer of an electronic
cigarette product in the registry unless:
(A)
(i)
the nonresident manufacturer has registered to do business in the state as a
foreign corporation or business entity; or
(B)
(ii)
the nonresident manufacturer appoints and maintains without interruption
the services of an agent in this state to receive any service of process on behalf of
the manufacturer.
(b)
The nonresident manufacturer shall provide the name, address, and telephone
number of the agent to the commission.
(c)
(i)
A nonresident manufacturer shall provide notice to the commission 30 days
before the termination of the authority of an agent and shall further provide proof
to the satisfaction of the commission of the appointment of a new agent no less
than five calendar days prior to the termination of an existing agent appointment.
(ii)
In the event an agent terminates an agency appointment, the manufacturer shall
notify the commission of the termination within five calendar days and shall
include proof to the satisfaction of the commission of the appointment of a new
agent.
(11)
Before May 31 of each year, the commission and the Department of Health and
Human Services shall provide a report to the Revenue and Taxation Interim Committee
and the Health and Human Services Interim Committee regarding:
(a)
the status of the registry;
(b)
manufacturers and products included in the registry;
(c)
revenue and expenditures related to administration of this section; and
(d)
enforcement activities undertaken under this section and Section
26A-1-131
.
(12)
All fees and penalties collected under this section shall be used for administration and
enforcement of this section and Section
26A-1-131
.
(13)
The commission, in consultation with the Department of Health and Human Services,
may make rules in accordance with Title 63G, Chapter 3, Utah Administrative
Rulemaking Act, to implement this section.
Section 13. Section
76-9-1101
is amended to read:
76-9-1101
. Definitions.
As used in this part:
(1)
(a)
"Alternative nicotine product" means a product, other than a cigarette, a
counterfeit cigarette, an electronic cigarette product, a nontherapeutic nicotine
product, or a tobacco product, that:
(i)
contains nicotine;
(ii)
is intended for human consumption;
(iii)
is not purchased with a prescription from a licensed physician; and
(iv)
is not approved by the United States Food and Drug Administration as nicotine
replacement therapy.
(b)
"Alternative nicotine product" includes:
(i)
pure nicotine;
(ii)
snortable nicotine;
(iii)
dissolvable salts, orbs, pellets, sticks, or strips; and
(iv)
nicotine-laced food and beverage.
(c)
"Alternative nicotine product" does not include a fruit, a vegetable, or a tea that
contains naturally occurring nicotine.
(2)
"Cigar" means a product that contains nicotine, is intended to be burned under ordinary
conditions of use, and consists of any roll of tobacco wrapped in leaf tobacco, or in any
substance containing tobacco, other than any roll of tobacco that is a cigarette.
(3)
"Cigarette" means a product that contains nicotine, is intended to be heated or burned
under ordinary conditions of use, and consists of:
(a)
any roll of tobacco wrapped in paper or in any substance not containing tobacco; or
(b)
any roll of tobacco wrapped in any substance containing tobacco which, because of
its appearance, the type of tobacco used in the filler, or its packaging and labeling, is
likely to be offered to, or purchased by, consumers as a cigarette described in
Subsection
(3)(a)
(4)(a)
.
(4)
(a)
"Electronic cigarette" means:
(i)
an electronic oral device:
(A)
that provides an aerosol or a vapor of nicotine or other substance; and
(B)
that simulates smoking through the use or inhalation of the device;
(ii)
a component of the device described in Subsection
(4)(a)(i)
; or
(iii)
an accessory sold in the same package as the device described in Subsection
(4)(a)(i)
.
(b)
"Electronic cigarette" includes an oral device that is:
(i)
composed of a heating element, battery, or electronic circuit; and
(ii)
marketed, manufactured, distributed, or sold as:
(A)
an e-cigarette;
(B)
an e-cigar;
(C)
an e-pipe; or
(D)
any other product name or descriptor, if the function of the product meets the
definition of Subsection
(4)(a)
.
(c)
"Electronic cigarette" does not mean a medical cannabis device, as that term is
defined in Section
26B-4-201
.
(5)
(a)
"Electronic cigarette product" means an electronic cigarette, an electronic
cigarette substance, or a prefilled electronic cigarette.
(b)
"Electronic cigarette product" includes a non-nicotine inhalation product and a
non-nicotine inhalation substance.
(6)
"Electronic cigarette substance" means any substance
, including liquid containing
nicotine,
containing nicotine that is
used or intended for use in an electronic cigarette.
(7)
(a)
"Flavored electronic cigarette product" means an electronic cigarette product that
has a taste or smell that is distinguishable by an ordinary consumer either before or
during use or consumption of the electronic cigarette product.
(b)
"Flavored electronic cigarette product" includes an electronic cigarette product that is
labeled as, or has a taste or smell of any fruit, chocolate, vanilla, honey, candy,
cocoa, dessert, alcoholic beverage, herb, spice, or mint.
(c)
"Flavored electronic cigarette product" does not include an electronic cigarette
product that has a taste or smell of only tobacco or menthol.
(8)
"Nicotine" means
:
(a)

a poisonous, nitrogen containing chemical that is made synthetically or derived
from tobacco or other plants
.
; or
(b)
a nicotine analog.
(9)
"Nicotine product" means an alternative nicotine product or a nontherapeutic nicotine
product.
(10)
(a)
"Non-nicotine inhalation product" means a product that:
(i)
is a manufacturer sealed prefilled electronic cigarette that the manufacturer does
not intend for a consumer to open;
(ii)
contains a substance other than nicotine;
(iii)
is designed specifically to be used with an electronic cigarette to produce an
aerosol or vapor of the substance described in Subsection
(10)(a)(ii)
;
(iv)
does not contain a cannabinoid; and
(v)
does not contain nicotine.
(b)
"Non-nicotine inhalation product" includes a product that contains a vitamin,
mineral, dietary supplement, or an alkaloid.
(c)
"Non-nicotine inhalation product" does not include:
(i)
a product that the manufacturer did not design to be placed directly on an
individual's mouth to simulate smoking; or
(ii)
a medical cannabis device, as that term is defined in Section
26B-4-201
.
(11)
"Non-nicotine inhalation substance" means any substance not containing nicotine or a
cannabinoid that is used or intended for use in an electronic cigarette.
(10)
(12)
(a)
"Nontherapeutic nicotine device" means a device that:
(i)
has a pressurized canister that is used to administer nicotine to the user through
inhalation or intranasally;
(ii)
is not purchased with a prescription from a licensed physician; and
(iii)
is not approved by the United States Food and Drug Administration as nicotine
replacement therapy.
(b)
"Nontherapeutic nicotine device" includes a nontherapeutic nicotine inhaler or a
nontherapeutic nicotine nasal spray.
(11)
(13)
"Nontherapeutic nicotine device substance" means a substance that:
(a)
contains nicotine;
(b)
is sold in a cartridge for use in a nontherapeutic nicotine device;
(c)
is not purchased with a prescription from a licensed physician; and
(d)
is not approved by the United States Food and Drug Administration as nicotine
replacement therapy.
(12)
(14)
"Nontherapeutic nicotine product" means a nontherapeutic nicotine device, a
nontherapeutic nicotine device substance, or a prefilled nontherapeutic nicotine device.
(13)
(15)
"Place of business" includes:
(a)
a shop;
(b)
a store;
(c)
a factory;
(d)
a public garage;
(e)
an office;
(f)
a theater;
(g)
a recreation hall;
(h)
a dance hall;
(i)
a poolroom;
(j)
a cafe;
(k)
a cafeteria;
(l)
a cabaret;
(m)
a restaurant;
(n)
a hotel;
(o)
a lodging house;
(p)
a streetcar;
(q)
a bus;
(r)
an interurban or railway passenger coach;
(s)
a waiting room; and
(t)
any other place of business.
(14)
(16)
"Prefilled electronic cigarette" means an electronic cigarette that is sold prefilled
with an electronic cigarette substance.
(15)
(17)
"Prefilled nontherapeutic nicotine device" means a nontherapeutic nicotine
device that is sold prefilled with a nontherapeutic nicotine device substance.
(16)
(18)
"Premarket authorized or pending electronic cigarette product" means an
electronic cigarette product that:
(a)
(i)
has been approved by an order granting a premarket tobacco product
application of the electronic cigarette product by the United States Food and Drug
Administration under 21 U.S.C. Sec. 387j(c)(1)(A)(i); or
(ii)
(A)
was marketed in the United States on or before August 8, 2016;
(B)
the manufacturer submitted a premarket tobacco product application for the
electronic cigarette product to the United States Food and Drug Administration
under 21 U.S.C. Sec. 387j on or before September 9, 2020; and
(C)
has an application described in Subsection
(16)(a)(ii)
(18)(a)(ii)

that either
remains under review by the United States Food and Drug Administration or a
final decision on the application has not taken effect; and
(b)
does not exceed:
(i)
4.0% nicotine by weight per container; or
(ii)
a nicotine concentration of 40 milligrams per milliliter.
(17)
(19)
"Retail tobacco specialty business" means the same as that term is defined in
Section
26B-7-501
.
(18)
(20)
"Smoking" means the possession of any lighted cigar, cigarette, pipe, or other
lighted smoking equipment.
(19)
(21)
(a)
"Tobacco paraphernalia" means equipment, product, or material of any
kind that is used, intended for use, or designed for use to package, repackage, store,
contain, conceal, ingest, inhale, or otherwise introduce a tobacco product, an
electronic cigarette substance, or a nontherapeutic nicotine device substance into the
human body.
(b)
"Tobacco paraphernalia" includes:
(i)
metal, wooden, acrylic, glass, stone, plastic, or ceramic pipes with or without
screens, permanent screens, hashish heads, or punctured metal bowls;
(ii)
water pipes;
(iii)
carburetion tubes and devices;
(iv)
smoking and carburetion masks;
(v)
roach clips, meaning objects used to hold burning material, such as a cigarette,
that has become too small or too short to be held in the hand;
(vi)
chamber pipes;
(vii)
carburetor pipes;
(viii)
electric pipes;
(ix)
air-driven pipes;
(x)
chillums;
(xi)
bongs; and
(xii)
ice pipes or chillers.
(c)
"Tobacco paraphernalia" does not include matches or lighters.
(20)
(22)
"Tobacco product" means:
(a)
a cigar;
(b)
a cigarette; or
(c)
tobacco in any form, including:
(i)
chewing tobacco; and
(ii)
any substitute for tobacco, including flavoring or additives to tobacco.
(21)
(23)
"Tobacco retailer" means:
(a)
a general tobacco retailer, as that term is defined in Section
26B-7-501
; or
(b)
a retail tobacco specialty business.
Section 14. Section
76-9-1120
is enacted to read:
76-9-1120
. Unlawful sale of a cannabinoid inhalation product or a cannabinoid
inhalation substance.
(1)
As used in this section:
(a)
"Cannabinoid inhalation product" means an electronic cigarette that contains a
cannabinoid.
(b)
"Cannabinoid inhalation substance" means a substance containing a cannabinoid that
is used or intended for use in an electronic cigarette.
(c)
"Compensatory service" means service or unpaid work performed by an employee, in
lieu of the payment of a fine or imprisonment.
(d)
"Employee" means an employee or an owner of a retailer.
(2)
An actor commits unlawful sale of a cannabinoid inhalation product or a cannabinoid
inhalation substance if the actor:
(a)
is an employee; and
(b)
intentionally or knowingly sells or gives a cannabinoid inhalation product or a
cannabinoid inhalation substance in the course of business to an individual.
(3)
A violation of Subsection
(2)
is:
(a)
on a first violation:
(i)
a class C misdemeanor; and
(ii)
subject to:
(A)
a fine not exceeding $1,000; or
(B)
compensatory service; or
(b)
on a subsequent violation:
(i)
a class B misdemeanor; and
(ii)
subject to:
(A)
a fine not exceeding $2,000; or
(B)
compensatory service.
(4)
This section does not prohibit or restrict the sale of medical cannabis or a medical
cannabis device if done in accordance with Title 26B, Chapter 4, Part 2, Cannabinoid
Research and Medical Cannabis, and with Title 4, Chapter 41a, Cannabis Production
Establishments and Pharmacies.
Section 15.
Effective Date.
This bill takes effect on
July 1, 2026
.
Section 16.
Coordinating H.B. 265 with H.B. 385.
If H.B. 265, Non-nicotine Inhalation Product Amendments, and H.B. 385, Specialized
Product Sales Amendments, both pass and become law, the Legislature intends that on July 1,
2026, Subsection 4-45a-101(9)(a) enacted in H.B. 385 be amended to read:
"(9)(a) "Specialized product" means any product intended to be ingested, inhaled, absorbed,
or introduced into the human body that is:
(i) a cannabinoid product, as defined in Section 4-41-102;
(ii) a kratom product, as defined in Section 4-45-102;
(iii) a tobacco product that is not tobacco paraphernalia;
(iv) a nicotine product;
(v) an electronic cigarette substance, as defined in Section 76-9-1101;
(vi) a prefilled electronic cigarette, as defined in Section 76-9-1101;
(vii) a product containing a substance:
(A) not generally recognized as safe for use in a conventional food product under
applicable federal food additive regulations; and
(B) that is known or intended to have psychoactive, euphoric, analgesic, sedative, or
intoxicating effects;
(viii) a non-nicotine inhalation product, as defined in Section 76-9-1101; or
(ix) a non-nicotine inhalation substance, as defined in Section 76-9-1101.".
3-12-26 9:32 AM