CSHB 79(STA): "An Act relating to the sale, possession, purchase, taxation, and regulation of products containing tobacco and to the offense of possession of tobacco by a person under 19 years of age."
00CS FOR HOUSE BILL NO. 79(STA) 01 "An Act relating to the sale, possession, purchase, taxation, and regulation of 02 products containing tobacco and to the offense of possession of tobacco by a 03 person under 19 years of age." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. AS 11.76.100(b) is amended to read: 06 (b) Notwithstanding the provisions of (a) of this section, 07 (1) a person holding a business license endorsement issued under 08 AS 43.70.075, or an agent or employee of a person who holds a business license 09 endorsement issued under AS 43.70.075, may not be charged with a violation of 10 (a)(1) of this section if the customer presented proof of age indicating that the 11 owner and possessor of the proof of age was 19 years of age or over; 12 (2) a person who maintains a vending machine is not in violation of 13 (a)(2) of this section if the vending machine is located 14 [(1)] on premises licensed as a beverage dispensary under
01 AS 04.11.090, licensed as a club under AS 04.11.110, or licensed as a package store 02 under AS 04.11.150, [;] and 03 (A) at least 10 feet away from any entrance to the premises 04 that the public may use [AS FAR AS PRACTICABLE FROM THE 05 PRIMARY ENTRANCE]; and 06 (B) in a place that is directly and continually supervised by a 07 person employed on the licensed premises during the hours the vending 08 machine is accessible to the public [; OR 09 (2) IN AN EMPLOYEE BREAK ROOM OR OTHER CONTROLLED 10 AREA OF A PRIVATE WORK PLACE THAT IS NOT GENERALLY 11 CONSIDERED A PUBLIC PLACE]. 12 * Sec. 2. AS 11.76 is amended by adding new sections to read: 13 Sec. 11.76.102. Unlawful sale of products containing tobacco. (a) A person 14 commits the offense of unlawful sale of products containing tobacco if the person 15 (1) sells cigarettes 16 (A) that are not in their original, unopened package or container 17 obtained from the distributor; 18 (B) in their original, unopened package or container if the 19 cigarette package or container does not display a warning required by 15 20 U.S.C. 1333; or 21 (C) in packs of fewer than 20 cigarettes per pack; or 22 (2) holds a business license endorsement under AS 43.70.075 and sells 23 or offers for sale cigarettes, cigars, tobacco, or products containing tobacco at the 24 person's retail outlet 25 (A) without assuring that the cigarettes, cigars, tobacco, or 26 products containing tobacco are kept in a secure place as required by 27 AS 43.70.075(f)(1); 28 (B) at which the person has failed to post the warning sign 29 required by AS 43.70.075(f)(2); 30 (C) to a person under 19 years of age without complying with 31 AS 43.70.075(f)(3); or
01 (D) without first giving the notice to an employee required by 02 AS 43.70.075(g). 03 (b) The court shall forward a record of each person convicted under this 04 section who holds a business license endorsement under AS 43.70.075, or who is an 05 employee or agent of a person who holds a license endorsement under AS 43.70.075, 06 to the Department of Commerce and Economic Development. 07 (c) A person who violates this section is guilty of a violation. Upon 08 conviction, the court shall impose a fine of $300. 09 Sec. 11.76.104. Use of false identification to obtain tobacco by a person 10 under 19 years of age. (a) A person under 19 years of age may not knowingly 11 present false or fraudulent proof of age for the purpose of purchasing a tobacco 12 product. 13 (b) A person who violates this section is, upon conviction, guilty of a 14 violation. 15 * Sec. 3. AS 11.76.105 is amended to read: 16 Sec. 11.76.105. Possession of tobacco by a person under 19 years of age. 17 (a) A person under 19 years of age may not knowingly possess a cigarette, a cigar, 18 tobacco, or a product containing tobacco in this state. This subsection does not apply 19 to a person working in cooperation with a peace officer to make a controlled 20 purchase of a product containing tobacco in order to obtain evidence of the 21 commission of a violation of AS 11.76.100. However, if the person is under 18 22 years of age and is a person for whom the disabilities of minority have not been 23 removed under AS 09.55.590 and who has not arrived at the age of majority 24 under AS 25.20.020, the provisions of this subsection do not apply unless the 25 person has first obtained the approval of the person's parent or guardian to 26 participate in the controlled purchase of a product containing tobacco [WHO IS 27 A PRISONER AT AN ADULT CORRECTIONAL FACILITY]. 28 (b) Possession of tobacco or a product containing tobacco in violation of 29 (a) of this section by a person under 19 years of age [MINOR] is a violation. Upon 30 conviction, the court shall impose a fine of $300. 31 * Sec. 4. AS 11.76.107(a) is amended to read:
01 (a) A person commits the offense of failure to supervise a cigarette vending 02 machine if the person owns premises licensed as a beverage dispensary under 03 AS 04.11.090 or licensed as a club under AS 04.11.110 or licensed as a package store 04 under AS 04.11.150 and with criminal negligence fails to have an employee supervise 05 a vending machine on those premises that dispenses cigarettes, cigars, tobacco, or 06 products containing tobacco as required by AS 11.76.100(b)(2)(B) 07 [AS 11.76.100(b)(1)(B)]. 08 * Sec. 5. AS 11.76 is amended by adding a new section to read: 09 Sec. 11.76.109. Definitions for AS 11.76.100 - 11.76.109. In AS 11.76.100 - 10 11.76.109, unless the context requires otherwise, 11 (1) "person" has the meaning given in AS 11.81.900; 12 (2) "proof of age" means a valid driver's license or valid identification 13 card made of or encased in plastic that contains a photograph of the holder and a 14 statement of age or date of birth of the person; 15 (3) "tobacco product" or "product containing tobacco" means a product 16 that contains tobacco and is intended for human consumption; 17 (4) "vending machine" means a mechanical, electric, or electronic self- 18 service device that, upon insertion of money, tokens, or another form of payment, 19 automatically dispenses a tobacco product. 20 * Sec. 6. AS 29.10 is amended by adding a new section to article 1 to read: 21 Sec. 29.10.110. Home rule municipality taxing authority not preempted. 22 The provisions of AS 43.50, relating to taxes on products containing tobacco, and 23 AS 43.70.075, relating to business license endorsements authorizing sales of products 24 containing tobacco, do not preempt a home rule municipality from adopting and 25 enforcing additional requirements for the licensure, sale, and taxation of products 26 containing tobacco or from developing tobacco-related education programs. 27 * Sec. 7. AS 43.50.070 is amended to read: 28 Sec. 43.50.070. Revocation of licenses. (a) The department may suspend or 29 revoke a license issued under AS 43.50.010 - 43.50.180 30 (1) for a criminally negligent violation of AS 11.76.100, 11.76.107, or 31 a violation of AS 43.50.010 - 43.50.180 or a regulation of the department adopted
01 under AS 43.50.010 - 43.50.180; 02 (2) if a licensee ceases to act in the capacity for which the license was 03 issued; or 04 (3) if a manufacturer, distributor, or wholesale distributor negligently 05 sells tobacco or products containing tobacco to a nonlicensed retailer or a retailer 06 whose license endorsement under AS 43.70.075 has been suspended or revoked. 07 (b) A person whose license is suspended or revoked may not sell cigarettes or 08 permit cigarettes to be sold during the period of the suspension or revocation on the 09 premises occupied or controlled by that person. A disciplinary proceeding or action 10 is not barred or abated by the expiration, transfer, surrender, renewal, or extension of 11 a license issued under AS 43.50.010 - 43.50.180. The department shall comply with 12 the provisions of AS 44.62 ( [THE] Administrative Procedure Act [(AS 44.62)]. 13 * Sec. 8. AS 43.70.075 is amended to read: 14 Sec. 43.70.075. License endorsement. (a) A [UNLESS A PERSON HAS A 15 BUSINESS LICENSE ENDORSEMENT ISSUED UNDER THIS SECTION, A] 16 person may not 17 (1) sell cigarettes, cigars, tobacco, or products containing tobacco as 18 a retailer unless, for each retail outlet at which cigarettes, cigars, tobacco, or 19 products containing tobacco are to be sold, the person has obtained a business 20 license endorsement issued under this section; an [. AN] endorsement required 21 under this paragraph [SECTION] is in addition to any other license or endorsement 22 required by law; or 23 (2) renew the business license endorsement required by (1) of this 24 subsection unless the person complies with (i) of this section. 25 (b) The department, upon payment of a fee of $100 [$25], shall issue a 26 business license endorsement to a person who applies for a business license under this 27 chapter, and may renew the endorsement issued under this subsection for a fee of $100 28 [$25]. The endorsement expires at the same time as the business license to which it 29 attaches. 30 (c) The department 31 (1) shall refuse to issue an endorsement under this section to a
01 person who applies for an endorsement while an endorsement issued to the person 02 for another retail outlet is suspended or revoked; 03 (2) may refuse to issue an endorsement under this section if there is 04 reasonable cause to believe that the information submitted in the application is false 05 or misleading and is not made in good faith. 06 (d) Subject to (h) of this section, if [IF] a person who holds an endorsement 07 issued under this section, or an agent or an employee of a person who holds an 08 endorsement issued under this section acting within the scope of the agency or 09 employment, has been convicted of violating AS 11.76.100, 11.76.102, or 11.76.107, 10 or is found by the department to have violated [VIOLATES A PROVISION OF 11 THIS SECTION OR] a regulation implementing this section adopted under 12 AS 43.70.090, the department shall 13 (1) [MAY] suspend the endorsement for a period of 14 (A) 90 [NOT MORE THAN (1) 45] days; [OR] 15 (B) 180 [(2) 90] days [,] if within the past 24 months the 16 person has been previously convicted of violating AS 11.76.100, 11.76.102, or 17 11.76.107, or has been found by the department to have violated a provision 18 of [THIS SECTION OR] a regulation implementing this section adopted under 19 AS 43.70.090; 20 (C) one year if within the past 24 months the person has 21 been previously convicted two times of violating AS 11.76.100, 11.76.102, 22 or 11.76.107 or has been found by the department to have violated a 23 provision of a regulation implementing this section adopted under 24 AS 43.70.090; and 25 (2) permanently revoke the endorsement if within the past 24 26 months the person has been previously convicted three or more times of violating 27 AS 11.76.100, 11.76.102, or 11.76.107 or has been found by the department to 28 have violated a provision of a regulation implementing this section adopted under 29 AS 43.70.090. 30 (e) If a person who receives an endorsement under this section has multiple 31 retail outlets, a suspension or revocation imposed under (d) of this section applies
01 only to the retail outlet in which the violation occurs. 02 (f) A person who holds a business license endorsement issued under this 03 section 04 (1) may not sell or offer for sale cigarettes, cigars, tobacco, or 05 products containing tobacco at the person's retail outlet unless the cigarettes, 06 cigars, tobacco, or products containing tobacco are kept in a secure place; for 07 purposes of this paragraph, "secure place" means 08 (A) a secure room, locked cabinet, or similar repository that 09 is accessible only by the authorized employees of the person; or 10 (B) kept behind the counter accessible only to a salesperson 11 or an employee of the person holding the business license endorsement if 12 retail sales of the products containing tobacco are made at the counter; 13 (2) shall 14 (A) post on the licensed premises a warning sign as described 15 in this paragraph; a [SUBSECTION. A] warning sign required by this 16 paragraph [SUBSECTION] must be at least 6 inches by 18 inches and must 17 read, in lettering at least 1.25 inches high: "The sale of tobacco products to 18 persons under age 19 is illegal [.]"; 19 (B) [A PERSON HOLDING AN ENDORSEMENT ISSUED 20 UNDER THIS SECTION SHALL] display the warning sign in a manner 21 conspicuous to a person purchasing or consuming tobacco products on the 22 licensed premises; the [. THE] department shall, without charge, furnish 23 warning signs required under this paragraph [SECTION] to a person who 24 holds an endorsement issued under this section or a person who requests the 25 sign with the intention of displaying it; 26 (3) shall, if the person holding a business license endorsement under 27 this section or an agent or employee of the person holding the business license 28 endorsement questions or has reason to question whether a customer purchasing, 29 attempting to purchase, or otherwise procuring or attempting to procure 30 cigarettes, cigars, tobacco, or a product containing tobacco has attained the age 31 of 27 years, require the customer to furnish proof of age acceptable under this
01 paragraph; for purposes of this paragraph, a valid driver's license or a valid 02 identification card is acceptable as proof of age when used for identification in the 03 purchase of cigarettes, cigars, tobacco, or a product containing tobacco only if the 04 license or identification card is made of or encased in plastic and contains a 05 photograph of the license or card holder and a statement of age or date of birth. 06 * Sec. 9. AS 43.70.075 is amended by adding new subsections to read: 07 (g) A person engaged in the retail business of selling a tobacco product shall 08 notify each individual employed by that person as a retail sales clerk, before or at the 09 time the individual commences work as a retail sales clerk, that state law 10 (1) prohibits the sale or distribution of a tobacco product to any person 11 under 19 years of age and the purchase or receipt of a tobacco product by any person 12 under 19 years of age; and 13 (2) requires that proof of age be demanded from a prospective 14 purchaser or recipient if the person engaged in sale or distribution of the tobacco 15 product has reason to believe that the prospective purchaser or recipient is not at least 16 27 years of age. 17 (h) When the department acts under (d) of this section to suspend or revoke 18 an endorsement issued under this section, 19 (1) if suspension or revocation is based on a conviction under 20 AS 11.76.100, 11.76.102, or 11.76.107, notwithstanding AS 44.62.330 - 44.62.630 or 21 another provision imposing a requirement of a hearing to determine whether the 22 endorsement should be suspended or revoked, the department may act without holding 23 a hearing; 24 (2) except as provided in (1) of this subsection, the department may not 25 act without holding a hearing. 26 (i) The department shall develop and periodically offer a training course to 27 persons engaged in the sale of products containing tobacco. The course must provide 28 information to persons engaged in the sale of products containing tobacco regarding 29 federal and state laws and regulations that apply to sales of products containing 30 tobacco. Attendance at the course at least once in every two-year period is a condition 31 of renewal of a business license endorsement under (a) of this section. The department
01 shall establish a fee to defray the cost of developing and offering the training cost and 02 shall collect the fee from persons attending the training course. 03 * Sec. 10. AS 43.70.080 is amended to read: 04 Sec. 43.70.080. Disposal of money. Except as provided in (b) of this 05 section, [ALL] money collected by the department under this chapter shall be 06 deposited in the general fund. 07 * Sec. 11. AS 43.70.080 is amended by adding a new subsection to read: 08 (b) The money collected by the department under AS 43.70.075(b) shall be 09 deposited in the general fund and separately accounted for under AS 37.05.142. The 10 annual estimated balance in the account maintained by the commissioner of 11 administration under AS 37.05.142 may be used by the legislature to make 12 appropriations to establish and maintain a program that makes grants to support 13 enforcement of AS 11.76.100 - 11.76.109. The appropriations authorized by this 14 subsection are not intended to create a dedication in violation of art. IX, sec. 7, 15 Constitution of the State of Alaska. 16 * Sec. 12. AS 43.70.090 is amended to read: 17 Sec. 43.70.090. Regulations. The department 18 (1) may adopt regulations necessary to determine and collect the fees 19 imposed by this chapter; and 20 (2) shall adopt regulations necessary to implement AS 43.70.075. 21 * Sec. 13. AS 47.12.030(b) is amended to read: 22 (b) When a minor is accused of violating a statute specified in this subsection, 23 other than a statute the violation of which is a felony, this chapter and the Alaska 24 Delinquency Rules do not apply and the minor accused of the offense shall be charged, 25 prosecuted, and sentenced in the district court in the same manner as an adult; if a 26 minor is charged, prosecuted, and sentenced for an offense under this subsection, the 27 minor's parent, guardian, or legal custodian shall be present at all proceedings; the 28 provisions of this subsection apply when a minor is accused of violating 29 (1) a traffic statute or regulation, or a traffic ordinance or regulation of 30 a municipality; 31 (2) AS 11.76.104, relating to use of false identification for the
01 purpose of purchasing tobacco, or AS 11.76.105, relating to the possession of 02 tobacco by a person under 19 years of age; 03 (3) a fish and game statute or regulation under AS 16; 04 (4) a parks and recreational facilities statute or regulation under 05 AS 41.21; and 06 (5) AS 04.16.050, relating to possession, control, or consumption of 07 alcohol.